OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2026-03-31-accounts

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Company Registration No: SC190351

Atrium Homes

Report and Financial Statements

For the year ended 31 March 2026

Atrium Homes

Report and Financial Statements For the year ended 31 March 2026

Contents Page
Board of Directors, Executives and Advisers 3
Report of the Board of Directors 4
Statement of Board of Directors’ Responsibilities 7
Board of Directors’ Statement of Internal Control 8
Independent Auditor’s Report to the Members of Atrium Homes on Internal 9
Financial Controls
Independent Auditor’s Report to the Members of Atrium Homes 10
Statement of Comprehensive Income 13
Statement of Other Comprehensive Income 14
Statement of Financial Position 15
Statement of Changes in Reserves 16
Statement of Cashflows 17
Notes to the Financial Statements 18

Registration Particulars:

Companies House Company Limited by Guarantee SC190351 Scottish Housing Regulator Registered number 305 Charity Registered number SC028506

2

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Board of Directors, Executives and Advisers For the year ended 31 March 2026

Board of Directors

Alistair Reid Chairperson Carolyn Hope Kenneth Tudhope Dominic O’Donnell Alan White Craig Leitch Jon Hopkins Appointed 9[th] October 2025 Joshua Hopkins Appointed 9[th] October 2025 Julie Anne Templeton Martin Gilbertson Appointed 6[th ] November 2025 Maureen Gimby Ronald Sharpe Scott Cunningham Resigned 6[th] November 2025

Vice-Chairperson and Convenor of the Property Services Sub-Committee Convenor of the Finance, Audit and Staffing Sub-Committee Convenor of the Housing & Community Services Sub-Committee

Executive Officers

Shannon Watson Chief Executive Brian Praties Interim Director of Property Services Joyce McCroskie Director of Housing & Community Services Barry Lees Director of Property Services

Appointed 27 February 2026 Resigned 8 May 2026 Resigned 12 March 2026

Registered Office

14 Central Avenue Shortlees Kilmarnock KA1 4PS

External Auditor

Internal Auditor

Wbg (Audit) Limited 168 Bath Street Glasgow G2 4TP

Cameron Audit Limited GF 4 Grosvenor Gardens Edinburgh EH12 5JU

Bankers

Clydesdale Bank plc 30 The Foregate Kilmarnock KA1 1JH

The Royal Bank of Scotland plc Nationwide Building Society Kirkstane House Kings Park Road 139 St Vincent Street Northampton Glasgow NN3 6NW G2 5JF

Solicitors

Harper MacLeod LLP 65 Haymarket Terrace Edinburgh EH12 5HD

3

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Report of the Board of Directors For the year ended 31 March 2026

The Board of Directors presents its report and audited financial statements for the year ended 31 March 2026. The Board of Directors has chosen to include the strategic report within their report in accordance with section 414C(11).

Legal Status

Atrium Homes is a company limited by guarantee under the Companies Act 2006 No.SC190351 and is governed by its Articles of Association. Atrium Homes is a registered Scottish Charity with the charity number SC028506, and a registered social landlord with the number 305.

Principal Activities

The principal activity of Atrium Homes is the provision and management of quality affordable rented accommodation.

Our Strategic Aims

In April 2026 we published our new group corporate strategy for 2026 to 2031.

The Atrium Group mission is to “create better life chances for people by delivering quality and affordable homes in thriving neighbourhoods”. Our vision is that “We will transform our homes, places and the way we work”.

This vision sets out our ambitions to:

To deliver our vision over the next five years, our objectives will be:

  1. To deliver quality homes and a sustainable asset base;

  2. To enhance customer experiences and improve our product offer;

  3. To transform our operating model and develop our people;

  4. To optimise our financial position for investment; and

  5. To create opportunities to deliver new homes.

Business Model and Background

Atrium began its landlord activities on 14 September 2000, when it bought 909 housing units and 99 lockup garages from Scottish Homes, at a cost of £8.5m.

Since 2005, Atrium has pursued a strategy of prudently managed growth and as well as delivering core customer services, investing in stock and managing its financial health, Atrium has added to its portfolio through new build activity and selective acquisitions.

To support its developments and investment in tenants’ homes, Atrium secured borrowings via facilities with the Royal Bank of Scotland and the Nationwide Building Society.

Financial and Operational Highlights

The Company made a surplus of £1,376k (2025: £1,460k). The main source of income for the Company continued to be rental income from social lettings. This comprises 95.1% (2025: 95.3%) of total income received in the year. During the year Atrium Homes invested this surplus, supplemented by cash reserves and borrowings on £3,739k of improvements to tenants’ homes.

Atrium Homes continues to grow its balance sheet and as a result, reduce its gearing. Without the drawdown of the £6,3m loan (detailed below) cash balances would have reduced in the year by £1,258k, mainly due to the Homes Fit for 21[st] Century Living Standard (HFF21CLS) works successfully

4

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Report of the Board of Directors

For the year ended 31 March 2026

completing 118 properties in the year as well as a number of properties receiving external wall insulation to improve their energy efficiency, supported by Grant funding from the Scottish Government.

During the year Atrium drew down £6.3m of new loan funding from the Royal Bank of Scotland. This money will ensure that we can continue to invest in the quality of our tenants’ homes over the coming years, and is reflected in our year end bank balance. The level of cash held by the Company continues to be above the minimum level required by the Treasury Management Policy.

The defined benefit pension liability at 31 March 2026 is £401k (2025: £440k). This has resulted in a decrease in the liability at 31 March 2026 of £39k. This decrease in liability is due to market conditions at year end resulting in the plan liabilities decreasing by the end of the year. This change in value does not affect the cash outgoings of Atrium Homes and has no impact on our financial covenants.

Future Prospects

Atrium Homes acquired six homes on the open market with the aid of grant funding during 2025/26. Atrium is committed to exploring opportunities to deliver new homes through new build and acquisition.

An important part of our activities involves keeping customers informed. In Summer 2024 we carried out a Customer Satisfaction survey and we reviewed the results of this to identify improvements to our service that we might be able to make. We undertook a Day of Connectivity in Summer 2025, visiting tenants in their homes, and asked them what they think our priorities for our strategy should be. This feedback was able to shape the development of our 2026-2031 group corporate strategy. We continue to encourage tenants to engage with us through our Armchair Panel and Tenant Scrutiny Group.

Governance

Atrium Homes has continued to strengthen its governance arrangements within the year, with Board training, and new appointments. Atrium Homes Board was again able to present a positive Annual Assurance Statement to the Scottish Housing Regulator before 31 October 2025.

We welcomed three new Board members during the year and one Board member stepped down. We continue to focus on succession planning to ensure our governing body has the necessary blend of skills and experience to discharge its duties.

Risk Management Policy

The Board has a formal risk management process to assess, monitor and manage business risks. This involves identifying the types of risks that the Company faces, prioritising them in terms of potential impact and likelihood of occurrence, in addition to identifying means of mitigating these risks. As part of this process the Board has reviewed the adequacy of the Company's current internal controls.

The Board has set policies on internal controls which cover the following:

The Board has identified the main areas of risk for the Company and has identified specific controls around these in order to mitigate risks to an acceptable level. Assurance is gained on the effectiveness of these controls through a combination of internal and external audits which are reviewed by the Board.

5

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Report of the Board of Directors

For the year ended 31 March 2026

Internal Audit

Cameron Audit Ltd (formerly Quinn Internal Audit Ltd) was appointed as the Internal Auditor of Atrium Homes at the start of the 2024. During the year they reviewed our approaches to Regulatory Compliance and Governance, Tenant Safety and Treasury Management, providing reassurance to Board that controls and systems in all three areas are adequate. A number of suggestions for strengthening our approach in each of these areas have been adopted and will be implemented as part of our commitment to ongoing improvement.

Key Performance Indicators (financial and non-financial)

The Board monitors the Company's performance against a number of financial and non-financial indicators. These include net surplus, cash balances held, rental losses due to voids and bad debts, level of arrears and balance sheet ratios, as well as a range of operational targets. Performance of these KPIs against budget and targets set has been positive during the year.

Going Concern

The Board has reviewed the results for this year and has reviewed the financial projections for the next five years. These include the cost of proposed improvements to our tenants’ homes. The funding requirements required for this work have also been considered.

The organisation’s financial projections are being reviewed regularly and stress tested as we continue to deal with the impacts of the socio-economic uncertainties both locally and on an international level.

The organisation has worked with its lenders to make changes to its financial covenants which allow us greater flexibility in our capital investment programme.

The Board has concluded that the present arrangements in place for the Company are adequate for the Company to meet its liabilities as they fall due for the foreseeable future. Accordingly, it continues to adopt the Going Concern basis in preparing the financial statements.

Disclosure of Information to the Auditor

The members of the Board of Directors at the date of approval of these financial statements have confirmed, as far as they are aware, that there is no relevant information of which the auditors are unaware. They confirm that they have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that it has been communicated to the auditors.

Auditor

Wbg (Audit) Limited was appointed five years ago. The audit service was competitively tendered during 2026 and Wbg (Audit) Limited has been awarded the new contract.

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies’ exemption.

By Order of the Board of Directors

Shannon Watson Company Secretary

Date: 30 June 2026

6

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Statement of Board of Directors’ Responsibilities For the year ended 31 March 2026

The Board of Directors is responsible for preparing the Report of the Board of Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the Board of Directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law).

Under company law the Board of Directors must not approve the financial statements unless it is satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period.

In preparing those financial statements, the Board of Directors is required to:

The Board of Directors is responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. The directors are responsible for the maintenance and integrity of the corporate and financial information included on the Atrium Homes website. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

7

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Board of Directors’ Statement on Internal Control For the year ended 31 March 2026

The Board of Directors acknowledges its ultimate responsibility for ensuring that the Company has in place a system of controls that is appropriate for the business environment in which it operates. These controls are designed to give reasonable assurance with respect to:

It is the Board’s responsibility to establish and maintain systems of internal financial control. Such systems can only provide reasonable, and not absolute, assurance against material financial misstatement or loss, or failure to meet objectives. Key elements of the Company’s systems include ensuring that:

The effectiveness of the Company’s system of internal financial control has been reviewed by the Board for the year ended 31 March 2026. No weaknesses were found in internal financial controls which resulted in material losses, contingencies, or uncertainties which require disclosure in these financial statements or in the auditor's report on the financial statements.

By Order of the Board of Directors

Shannon Watson Company Secretary

Date: 30 June 2026

8

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Independent Auditor’s Report to the Members of Atrium Homes on Internal Financial Controls For the year ended 31 March 2026

In addition to our audit of the Financial Statements, we have reviewed your statement on page 8 concerning the Company’s compliance with the information required by the Regulatory Standards in respect of internal financial controls contained within the publication “Our Regulatory Framework” and associated Regulatory Advisory Notes which are issued by the Scottish Housing Regulator.

Basis of Opinion

We carried out our review having regard to the requirements to corporate governance matters within Bulletin 2006/5 issued by the Financial Reporting Council through enquiry of certain members of the Management Committee and Officers of the Company and examination of relevant documents. The Bulletin does not require us to review the effectiveness of the Company’s procedures for ensuring compliance with the guidance notes, nor to investigate the appropriateness of the reason given for noncompliance.

Opinion

In our opinion the Statement on Internal Financial Control on page 8 has provided the disclosures required by the relevant Regulatory Standards within the publication “Our Regulatory Framework” and associated Regulatory Advisory Notes issued by the Scottish Housing Regulator in respect of internal financial controls and is consistent with the information which came to our attention as a result of our audit work on the Financial Statements.

Wbg (Audit) Limited Statutory Auditor 168 Bath Street Glasgow G2 4TP

Date 30 June 2026

9

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Independent Auditor’s Report to the Members of Atrium Homes For the year ended 31 March 2026

Opinion

We have audited the financial statements of Atrium Homes (the ‘company’) for the year ended 31 March 2026 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Other Comprehensive Income, the Statement of Changes in Reserves, the Statement of Cash Flows 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:

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 company 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 directors' 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 company'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 directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information contained within the report of the board of directorsand financial statements. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, 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.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report and the directors’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act

10

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Independent Auditor’s Report to the Members of Atrium Homes

For the year ended 31 March 2026

Responsibilities of directors

As explained more fully in the directors’ responsibilities statement, the directors 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 directors 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 directors are responsible for assessing the company’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 directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Explanation as to what extent the audit was considered capable of detecting irregularities

including fraud

We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures in response to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.

In identifying and assessing the risks of material misstatements in respect of irregularities, including fraud and non-compliance with laws and regulations we considered the following:

Based on our understanding of the company and the industry we identified that the principal risks of non-compliance with laws and regulations related to, but were not limited to;

We considered the extent to which non-compliance might have a material impact on the financial statements. We also considered those laws and regulations which have a direct impact on the preparation of the financial statements, such as the Companies Act 2006. We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of management override of controls), and determined that the principal risks were related to;

Audit response to the risks identified:

Our procedures to respond to the risks identified included the following:

11

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Independent Auditor’s Report to the Members of Atrium Homes For the year ended 31 March 2026

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

There are inherent limitations in the audit procedures described above and the further removed noncompliance with laws and regulations is from events and transactions reflected in the financial statements, the less likely we would be to become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

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

Use of our report

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Wbg (Audit) Limited Statutory auditor 168 Bath Street Glasgow G2 4TP

Date 30 June 2026

12

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Statement of Comprehensive Income For the year ended 31 March 2026

Notes
REVENUE
2
Other Operating Income
3
Operating costs
2
OPERATING SURPLUS
9
Loss on disposal of housing stock
7
Interest receivable and other income
Interest receivable from group undertakings
Interest payable and similar charges
8
SURPLUS FOR THE YEAR		 2026
£
2025
£
7,401,249
7,043,013
-
-
(5,084,660)
(4,769,238)
2,316,589
2,273,775
(129,688)
(89,938)
155,642
88,593
-
883
(966,190)
(812,934)
1,376,353
1,460,379

The accompanying notes form part of these financial statements.

13

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Statement of Other Comprehensive Income For the year ended 31 March 2026

Notes
Surplus for the year
Actuarial (loss) / gain in respect of pension scheme
23
TOTAL COMPREHENSIVE INCOME FOR THE YEAR		 2026
£
2025
£
1,376,353
1,460,379
(19,000)
11,000
1,357,353
1,471,379

14

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Company Number: SC190351

Atrium Homes

Statement of Financial Position As at 31 March 2026

Notes
NON-CURRENT ASSETS
Housing properties
11(a)
Other non-current assets
11(b)
Intangible assets
11(c)
Investments in subsidiaries
12
CURRENT ASSETS
Debtors
15
Cash and cash equivalents
Cash Investments
Creditors: amounts falling due within one year
16
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT LIABILITIES
Creditors: amounts falling due after more than one year
17
Pension liability:
Defined benefit net liabilities
23
Provisions
20
TOTAL NET ASSETS
EQUITY
Revenue reserve
Revaluation reserve		 2026
£
2025
£
44,273,797
41,674,885
942,787
990,637
91,462
91,200
45,308,046
42,756,722
100
100
544,174
240,123
9,256,100
4,213,651
-
-
9,800,274
4,453,774
(2,539,472)
(1,656,328)
7,260,802
2,797,446
52,568,948
45,554,268
(27,012,546)
(21,319,653)
(401,000)
(440,000)
(25,195)
(21,761)
25,130,207
23,772,854
18,101,006
16,743,653
7,029,201
7,029,201
25,130,207
23,772,854

These financial statements have been prepared in accordance with the provisions applicable to companies entitled to the small companies’ exemption

The financial statements were approved by the Board of Directors and authorised for issue and signed on their behalf on 30 June 2026 by:

Chairperson Alistair Reid

Vice Chairperson Secretary Carolyn Hope Shannon Watson

15

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Statement of Changes in Reserves For the year ended 31 March 2026

Notes
Balance at 1 April 2024
Transfer from revaluation reserve
Surplus for the year
Other comprehensive income
Balance at 31 March 2025
Transfer from revaluation reserve
Surplus for the year
Other comprehensive (loss)
Balance at 31 March 2026		 Revaluation
reserve
Revenue
reserve
Total
£
£
£
7,029,201
15,272,274
22,301,475
-
-
-
-
1,460,379
1,460,379
-
11,000
11,000
7,029,201
16,743,653
23,772,854
-
-
-
-
1,376,353
1,376,353
-
(19,000)
(19,000)
7,029,201
18,101,006
25,130,207

16

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

Statement of Cash Flows For the year ended 31 March 2026

Notes
Net cash generated from operating activities
18
CASH FLOW FROM INVESTING ACTIVITIES
Acquisition and construction of properties
Purchase of housing assets
Purchase of other assets
Purchase of intangible asset
Social housing grant received
NET CASH USED IN INVESTING ACTIVITIES
CASH FLOW FROM FINANCING ACTIVITIES
Interest received on cash and cash equivalents
Interest paid on loans
Loan principal repayments
Loan principal drawn down
Maturity of investment deposit
NET CASH USED IN FINANCING ACTIVITIES
NET DECREASE IN CASH AND CASH EQUIVALENTS
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR
CASH AND CASH EQUIVALENTS AT END OF YEAR		 2026
£
2025
£
3,836,405
3,464,624
(555,742)
(288,500)
(3,546,667)
(7,597)
(2,789,400)
(30,217)
(5,050)
(91,200)
883,103
140,000
(3,231,953)
(3,059,317)
155,642
89,476
(966,190)
(812,934)
(1,051,455)
(806,084)
6,300,000
-
-
-
4,437,997
(1,529,542)
5,042,449
(1,124,235)
4,213,651
5,337,886
9,256,100
4,213,651

The accompanying notes form part of these financial statements.

17

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes ACCOUNTING POLICIES (continued) For the year ended 31 March 2026

1. ACCOUNTING POLICIES

LEGAL STATUS

The Company is registered as a company limited by guarantee under the Companies Act 2006 and is registered with the Scottish Housing Regulator under the Housing (Scotland) Act 2010.

The address of the Company’s registered office and principal place of business is Atrium House, 14 Central Avenue, Shortlees, Kilmarnock, East Ayrshire, KA1 4PS.

The Company’s principal activities are the provision and management of quality affordable rented accommodation.

BASIS OF ACCOUNTING

These financial statements have been prepared in accordance with UK Generally Accepted Accounting Practice (UK GAAP) including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”), the Housing SORP 2018 “Statement of Recommended Practice for Registered Housing Providers” and the comply with the Determination of Accounting Requirements 2019, and under the historical cost convention.

The financial statements are prepared in Sterling (£).

The company is a Public Benefit Entity (PBE).

CONSOLIDATION EXEMPTION

The Directors have taken advantage of the exemption under Section 398 of the Companies Act 2006 of the necessity to prepare consolidated financial statements of the group.

CRITICAL ACCOUNTING ESTIMATES AND AREAS OF JUDGEMENT

Preparation of the financial statements requires management to make critical judgements and estimates concerning the future. Estimates and judgements are continually evaluated and are based on historical experience, advice from qualified experts and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are included below.

Critical accounting estimates

Recoverable amount of rent arrears and other debtors

The Company assesses the recoverability of rent arrears through a detailed assessment process which considers: tenant payment history, arrangements in place, and court action.

Useful lives of properties, plant and equipment

The Company assesses the useful lives of its properties, plant and equipment and estimates the annual charge to be depreciated based on this.

Components of housing properties

The Company assesses the useful lives of major components of its housing property with reference to surveys carried out by external qualified surveyors.

18

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes ACCOUNTING POLICIES (continued) For the year ended 31 March 2026

  1. ACCOUNTING POLICIES (continued)

CRITICAL ACCOUNTING ESTIMATES AND AREAS OF JUDGEMENT (continued)

Valuation of property and impairment review

The Company’s properties are reviewed annually for indicators of impairment in line with the Company’s impairment policy.

Obligations under a defined benefit pension scheme

The Company participates in the Scottish Housing Association Defined Benefits Pension Scheme and retirement benefits in employees of the Company are funded by the contributions from all participating employers and employees in the scheme. Payments are made in accordance with periodic calculations by consulting Actuaries and are based on pension costs applicable across the various participating Associations taken as a whole.

In determining the Company’s share of the underlying assets and liabilities of the Scottish Housing Association Defined Benefit Scheme (SHAPS), the valuation prepared by the Scheme actuary includes estimations in relation to life expectancy, salary growth, inflation and the discount rate on corporate bonds. Variation in these assumptions may significantly impact the liability and the annual defined benefit expenses (as analysed in Note 23).

Critical areas of judgement

Categorisation of Housing Properties

In the judgement of the Board of Directors the entirety of the Company’s housing stock is held for social benefit and is therefore classified as Property, Plant and Equipment in accordance with FRS 102.

Identification of cash generating units for impairment assessment purposes

The Company considers its cash-generating units to be the schemes in which it manages its housing property for asset management purposes.

Financial Instrument Break Clause

The Company has considered the break clauses attached to the Financial Instruments that it has in place for its loan funding. In the judgement of the Board these break clauses do not cause the Financial Instrument to be classified as a Complex Financial Instrument, and therefore they meet the definition of a Basic Financial Instrument.

Categorisation of leases

In categorising leases as finance leases or operating leases, management makes judgements as to whether significant risks and rewards of ownership have transferred to the Company as lessee, or the lessee, where the Association is a lessor.

GOING CONCERN

The Board has reviewed the results for this year and has reviewed the financial projections for the next 5 years.

The Company has sufficient financial resources and availability of borrowing to fund its ambitious programme of investment to improve the quality of tenants’ homes.

The Board of Directors therefore has a reasonable expectation that the Company has adequate resources to continue in operational activities for the foreseeable future. Thus, they continue to adopt the going concern basis of accounting in preparing the annual financial statements.

19

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes ACCOUNTING POLICIES (continued) For the year ended 31 March 2026

  1. ACCOUNTING POLICIES (continued)

TURNOVER AND REVENUE RECOGNITION

Turnover comprises rental and service charge income receivable in the period, other services provided at the invoice value (excluding VAT) and revenue grants receivable in the period.

Rental income is recognised from the point when properties under development reach practical completion or otherwise become available for letting, net of any voids.

Revenue grants are receivable when the conditions for receipt of agreed grant funding have been met.

GOVERNMENT GRANTS

Government grants include grants receivable from the Scottish Government, local authorities and other government bodies. Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met, and the grants will be received.

Government grants received for housing properties are recognised in income over the useful economic life of the structure of the asset and, where applicable, the individual components of the structure (excluding land) under the accruals model.

On disposal of an asset for which government grant was received, if there is no obligation to repay the grant, then any unamortised grant remaining is derecognised as a liability and recognised as income. Where there is a requirement to repay a grant, a liability is included in the Statement of Financial Position to recognise this obligation.

OTHER GRANTS

Grants received from non-government sources are recognised using the performance model. Grants are recognised as income when the associated performance conditions are met.

OTHER INCOME

Interest income

Interest income is accrued on a time-apportioned basis, by reference to the principal outstanding at the effective interest rate.

TANGIBLE FIXED ASSETS – HOUSING PROPERTIES

Housing properties are properties for the provision of social housing or to otherwise provide social benefit and are principally properties available for rent.

Completed housing properties are stated at deemed cost less accumulated depreciation and impairment losses.

Cost includes the cost of acquiring land and buildings, and expenditure incurred during the development period.

20

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes ACCOUNTING POLICIES (continued) For the year ended 31 March 2026

  1. ACCOUNTING POLICIES (continued)

Exploratory costs for prospective developments have not been capitalised and are expensed to the Statement of Comprehensive Income in the year incurred.

Works to existing properties which replace a component that has been treated separately for depreciation purposes, along with those works that enhance the economic benefits of the assets, are capitalised as improvements. Such enhancements can occur if improvements result in either:

DEPRECIATION OF HOUSING PROPERTIES

Freehold land or assets under construction are not depreciated.

The Company separately identifies the major components of its housing properties and charges depreciation so as to write-down the cost of each component to its estimated residual value, on a straight line basis over the following years:

Structure 60 years
Land Nil
Assets under construction Nil
Windows 30 years
Doors 25 years
Kitchens 15 years
Bathrooms 30 years
Roof 40 years
Boilers 15 years
Central Heating 30 years
Electrical works 25 years

IMPAIRMENTS OF FIXED ASSETS

An assessment is made at each reporting date of whether there are indications that a fixed asset (including housing properties) may be impaired or that an impairment loss previously recognised has fully or partially reversed. If such indications exist, the Company estimates the recoverable amount of the asset.

Shortfalls between the carrying value of fixed assets and their recoverable amounts, being the higher of fair value less costs to sell and value-in-use of the asset based on its service potential, are recognised as impairment losses in the income and expenditure account.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Reversals of impairment losses are recognised in income and expenditure. On reversal of an impairment loss, the depreciation or amortisation is adjusted to allocate the asset’s revised carrying amount (less any residual value) over its remaining useful life.

21

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

ACCOUNTING POLICIES (continued) For the year ended 31 March 2026

Atrium Homes

1. ACCOUNTING POLICIES (continued)

OTHER TANGIBLE FIXED ASSETS

Tangible fixed assets are initially measured at cost, net of depreciation and any impairment losses. Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost or valuation of each asset on a straight line basis over its expected useful life, as follows:

Office Premises 3.33% Furniture and Fittings 10% to 20% Computer Equipment 20% Office Equipment 33%

BORROWING COSTS

All borrowing costs are expensed as incurred.

INTANGIBLE FIXED ASSETS

Intangible fixed assets are initially measured at cost, net of amortisation and any impairment losses. Amortisation is provided on all intangible fixed assets, at rates calculated to write off the cost or valuation of each asset on a straight line basis over its expected useful life, as follows:

Software under Development 20%

Software under Development is not amortised until it is brought into use, at which point it will be amortised over its remaining useful life.

BORROWING COSTS

All borrowing costs are expensed as incurred.

TAXATION

Atrium Homes has charitable status and is registered with the Office of Scottish Charities Regulator and is therefore exempt from paying Corporation Tax on charitable activities.

VALUE ADDED TAX

The Company is VAT registered, however a large proportion of income, namely rents, is exempt for VAT purposes therefore giving rise to a Partial Exemption calculation. Expenditure is shown inclusive of VAT.

DEPOSITS AND LIQUID RESOURCES

Cash comprises cash in hand and deposits repayable on demand less overdrafts repayable on demand. Liquid resources are current asset investments that are disposable without curtailing or disrupting the business and are readily convertible into known amounts of cash at or close to their carrying value.

LEASES

Operating Leases

All other leases are operating leases and the annual rentals are charged to income and expenditure on a straight line basis over the lease term.

22

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes ACCOUNTING POLICIES (continued) For the year ended 31 March 2026

1. ACCOUNTING POLICIES (continued)

EMPLOYEE BENEFITS

The costs of short-term employee benefits are recognised as a liability and an expense.

Employees are entitled to carry forward up to 5 days of any unused holiday entitlement at the reporting date. The cost of any unused entitlement is recognised in the period in which the employee’s services are received.

The best estimate of the expenditure required to settle an obligation for termination benefits is recognised immediately as an expense when the RSL is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

RETIREMENT BENEFITS

Defined benefit plans

The Company participates in a funded multi-employer defined benefit scheme, the Scottish Housing Association Pension Scheme (SHAPS).

The scheme assets are measured at fair value. Scheme liabilities are measured on an actuarial basis using the projected unit credit method and are discounted at appropriate high quality corporate bond rates.

As at the year ended 31 March 2026, the net defined benefit pension deficit liability was £401k, which has been included within the pensions liability in the financial statements.

In the year ended 31 March 2026, the current service cost and costs from settlements and curtailments are charged against operating surplus. Interest is calculated on the net defined benefit liability. Remeasurements are reported in other comprehensive income. Refer to Note 23 for more details.

FINANCIAL INSTRUMENTS

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

The Company’s debt instruments are measured at amortised cost using the effective interest rate method.

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument and are offset only when the Company currently has a legally enforceable right to set off the recognised amounts and intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

FINANCIAL ASSETS

Debtors

Debtors which are receivable within one year and which do not constitute a financing transaction are initially measured at the transaction price. Trade debtors are subsequently measured at amortised cost, being the transaction price less any amounts settled and any impairment losses.

Where the arrangement with a trade debtor constitutes a financing transaction, the debtor is initially and subsequently measured at the present value of future payments discounted at a market rate of interest for a similar debt instrument.

23

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes ACCOUNTING POLICIES (continued) For the year ended 31 March 2026

1. ACCOUNTING POLICIES (continued)

A provision for impairment of debtors is established when there is objective evidence that the amounts due will not be collected according to the original terms of the contract. Impairment losses are recognised in profit or loss for the excess of the carrying value of the trade debtor over the present value of the future cash flows discounted using the original effective interest rate. Subsequent reversals of an impairment loss that objectively relate to an event occurring after the impairment loss was recognised, are recognised immediately in income and expenditure.

FINANCIAL LIABILITIES

Trade creditors

Trade creditors payable within one year that do not constitute a financing transaction are initially measured at the transaction price and subsequently measured at amortised cost, being the transaction price less any amounts settled.

Where the arrangement with a trade creditor constitutes a financing transaction, the creditor is initially and subsequently measured at the present value of future payments discounted at a market rate of interest for a similar instrument.

PROVISIONS

Provisions are recognised when the RSL has an obligation at the reporting date as a result of a past event which it is probable will result in the transfer of economic benefits and that obligation can be estimated reliably. Provisions are measured at the best estimate of the amounts required to settle the obligation.

24

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2026

2. PARTICULARS OF TURNOVER, OPERATING COSTS AND OPERATING SURPLUS OR DEFICIT

Notes
Affordable letting activities
3
Other activities
4
Other operating income
3
Total
Total for previous reporting period		 2026
2025
Operating
Operating
Operating
Turnover
costs
surplus/(deficit)
surplus/(deficit)
£
£
£
£
7,153,604
4,857,146
2,296,458
2,273,963
247,645
227,514
20,131
(188)
7,401,249
5,084,660
2,316,589
2,273,775
-
-
-
-
7,401,249
5,084,660
2,316,589
2,273,775
7,043,013
4,769,238
2,273,775

25

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

3. PARTICULARS OF TURNOVER, OPERATING COSTS AND OPERATING SURPLUS OR DEFICIT FROM AFFORDABLE LETTING ACTIVITIES

Revenue from Lettings
Rent receivable net of service charges
Service charges
Gross income from rents and service charges
Less voids
Net income from rents and service charges
Grants released from deferred income
Total turnover from affordable letting activities
Expenditure on affordable letting activities
Management and maintenance administration costs
Planned and cyclical maintenance including major repairs costs
Reactive maintenance costs
Bad debts - rents and service charges
Depreciation of affordable let properties
Impairment of Social Housing
Operating Costs for affordable letting activities
Operating surplus for affordable letting activities
Operating surplus for affordable letting activities for previous reporting
period		 General Needs
Total
Social Housing
2026
£
£
7,069,770
7,069,770
6,287
6,287
7,076,057
7,076,057
(38,548)
(38,548)
7,037,509
7,037,509
116,095
116,095
7,153,604
7,153,604
1,940,988
1,940,988
439,621
439,621
1,070,686
1,070,686
32,042
32,042
1,373,809
1,373,809
-
-
4,857,146
4,857,146
2,296,458
2,296,458
2,273,963
2,273,963		 Total
2025
£
6,798,350
7,440
6,805,790
(34,692)
6,771,098
111,300
6,882,398
1,838,485
478,813
1,000,972
11,749
1,278,416
-
4,608,435
2,273,963

26

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

4. PARTICULARS OF TURNOVER, OPERATING COSTS AND OPERATING SURPLUS OR DEFICIT FROM OTHER ACTIVITIES

Support activities
Care and repair
Contracted out services
undertaken for other
organisations
Development and
construction of property
activities
Other activities – Tenancy
Sustainment
Other activities
Total from other activities
Total from other activities
for the previous reporting
period		 Grants
From
Scottish
Other
revenue
Supporting
people
Other
Total
Operating
costs
Other
operating
Operating
surplus /
Ministers
grants
income
income
turnover
bad debts
costs
(deficit)
£
£
£
£
£
£
£
£
-
-
-
15,586
15,586
-
11,613
3,973
-
106,461
-
-
106,461
-
106,461
-
-
-
-
101,982
101,982
-
101,982
-
-
-
-
-
-
-
-
-
-
7,458
-
-
7,458
-
7,458
-
-
-
-
16,158
16,158
-
-
16,158
-
113,919
-
133,726
247,645
-
227,514
20,131
-
43,206
-
117,409
160,615
-
160,803
(188)		 Operating
(deficit) /
surplus
for previous
reporting
Period
£
156
(1,344)
-
-
-
1,000
(188)

27

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

5. KEY MANAGEMENT PERSONNEL

Key management personnel (KMP) are defined as the members of the Board of Directors and Senior Management.

The number of key management personnel who received emoluments (excluding employers’ pension contributions) in excess of £60,000 during the reporting period fell within the following bands:

£60,001 to £70,000
£70,001 to £80,000
£80,001 to £90,000
£90,001 to £100,000
Aggregate emoluments for the key management personnel:
Wages and salaries
Pension contributions
Social security costs
Emoluments payable to Chief Executive (excluding pension
contributions)
6.
EMPLOYEES
The average monthly number of full-time equivalent persons
(including key management personnel) employed by the
Association during the year was:
Staff costs of the above were:
Wages and salaries
Social security costs
Other pension costs
7.
LOSS ON DISPOSAL OF HOUSING STOCK
Disposal proceeds
Carrying value of fixed assets disposed of
Loss on disposal of housing stock		 2026
No.
2025
No.
1
1
-
-
1
1
2
-
257,789
234,012
29,368
28,731
34,902
28,528
322,059
291,271
97,152
92,861
2026
No.
2025
No.
26
26
£
£
1,182,746
1,081,199
136,074
114,679
94,313
88,506
1,413,133
1,284,384
2026
£
2025
£
-
-
129,688
89,938
129,688
89,938

28

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

8.
INTEREST PAYABLE & SIMILAR CHARGES
On bank loans
9.
OPERATING SURPLUS OR DEFICIT
Operating surplus is stated after charging:
Depreciation – tangible owned fixed assets
Amortisation – intangible assets
Operating lease rentals - other		 2026
£
2025
966,190
812,934
2026
£
2025
£
1,429,256
4,788
1,336,398
-
2,814
2,570

Fees payable to Wbg (Audit) Limited and their associates in respect of both audit and nonaudit services are as follows:

2026 2025
£ £
Audit-related assurance services 14,364 13,602
All other non-audit services - -

10. TAX ON SURPLUS ON ORDINARY ACTIVITIES

The Company is a Registered Scottish Charity and is not liable to United Kingdom Corporation Tax on its charitable activities.

29

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

11. NON-CURRENT ASSETS

Housing Properties
COST
As at 1stApril 2025
Transfers
Additions
Disposals
As at 31stMarch 2026
DEPRECIATION
As at 1stApril 2025
Charge for the year
Disposals
As at 31stMarch 2026
NET BOOK VALUE
As at 31stMarch 2026
As at 31stMarch 2025		 Housing
Properties
Held for
Letting
£
Housing
Properties
Under
Construction
£
Total
£
52,398,424
14,677
52,413,101
-
2,928,554
-
1,173,855
-
4,102,409
(443,367)
-
(443,367)
54,883,611
1,188,532
56,072,143
10,738,216
-
10,738,216
1,373,809
-
1,373,809
(313,679)
-
(313,679)
11,798,346
-
11,798,346
43,085,265
1,188,532
44,273,797
41,660,208
14,677
41,674,885

Additions to housing properties include capitalised development administration costs of £Nil (2025 - £Nil).

Total expenditure to improve existing properties in the year amounted to £3,738,546 (2025 - £3,028,448) of which £2,216,362 is capitalised retrofit works under the Homes Fit for 21[st] Century Living Standards programme (2025 -£2,303,744), £1,185,872 was EWI works and £144,433 was ad hoc capitalised major repairs (2025 -£111,796). The balance is charged to the statement of comprehensive income. The amounts capitalised all relate to component replacements.

During the year six properties were acquired on the open market at a cost of £555,742 (2025 – 3 properties at a cost of £288,500).

All land and housing properties are freehold.

The Company’s Lenders have standard securities over Housing Property with a carrying value of £26,281,250 (2025 - £25,434,412).

Included within Housing Properties Held for Letting is land held at £7,612,710 (2025 - £7,594,722).

30

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

  1. NON-CURRENT ASSETS (continued)

  2. b) Other Tangible Assets

Cost
As at 1StApril 2025
Additions
Disposals
As at 31stMarch 2026
Aggregate
Depreciation
As at 1stApril 2025
Charge for the year
Disposals
As at 31stMarch 2026
Net Book Value
As at 31stMarch 2026
As at 31stMarch 2025
c) Intangible Assets
Cost
As at 1StApril 2025
Additions
Disposals
As at 31stMarch 2026
Aggregate
Depreciation
As at 1stApril 2025
Charge for the year
Disposals
As at 31stMarch 2026
Net Book Value
As at 31stMarch 2026
As at 31stMarch 2025		 Computer
Equipment
£
Office
Equipment
£
Office
Premises
£
Office
Furniture
&
Fittings
£
Total
£
228,921
13,830
1,361,076
38,094
1,641,921
-
-
-
7,597
7,597
-
-
-
-
-
228,921
13,830
1,361,076
45,691
1,649,518
192,653
13,830
407,765
37,036
651,284
9,485
-
45,369
593
55,447
-
-
-
-
-
202,138
13,830
453,134
37,629
706,731
26,783
-
907,942
8,062
942,787
36,268
-
953,311
1,058
990,637
Software
under
development
£
Total
£
91,200
91,200
5,050
5,050
-
-
96,250
96,250
-
-
4,788
4,788
-
-
4,788
4,788
91,462
91,462
91,200
91,200

31

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

12. INVESTMENTS
Investments in Subsidiaries 2026 2025
£ £
As at 31stMarch 2026 and 31stMarch 2025 100 100

In the opinion of the Board of Directors the aggregate value of the assets of the subsidiary is not less than the aggregate of the amounts at which those assets are stated in the Company’s balance sheet.

The Company has a 100% owned subsidiary Atrium Initiatives Limited (14 Central Avenue, Kilmarnock, KA1 4PS). The relationship between the Company and its subsidiary is set out in an independence agreement between both parties.

The Company has taken the exemption allowed in FRS102 (para 33.1A) from disclosing related party transactions with 100% owned subsidiaries.

The aggregate amount of capital and reserve and the results of the Atrium Initiatives for the year is:

Capital & Reserves
Profit / (Loss) for the year		 2026
£
2025
£
164,889
150,929
28,960
(2,773)

32

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

13.
CAPITAL COMMITMENTS
Capital Expenditure that has been contracted for but has not
been provided for in the Financial Statements
The above commitments will be financed by the following:
Social housing grant receivable
Private finance
Own reserves
14.
COMMITMENTS UNDER OPERATING LEASES
At the year end, the total future minimum lease payments under
non-cancellable operating leases were as follows: -
No later than one year
Later than one year and not later than five years
15.
DEBTORS
Amounts falling due within one year:
Arrears of rent & service charges
Less: provision for doubtful debts
Other debtors
Amounts due from group undertakings		 2026
£
2025
£
2,830,122
2,941,853
464,128
-
2,365,994
2,941,853
-
-
2,830,122
2,941,853
2026
£
2025
£
2,814
2,814
1,676
4,477
4,490
7,291
2026
£
2025
£
127,069
131,419
(65,373)
(66,386)
61,696
65,033
447,315
166,227
35,163
8,863
544,174
240,123

33

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

  1. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Housing loans (note 17)
Trade payables
Rent in advance
Other taxation and social security
Amounts due to group undertakings
Other payables
Deferred capital grant (note 19)
Accruals and deferred income		 2026
£
2025
£
1,137,669
841,299
373,124
104,312
200,821
191,937
36,500
27,523
-
-
628
6,833
139,792
113,186
650,938
371,238
2,539,472
1,656,328

At the balance sheet date there were pension contributions outstanding of £nil (2025 - £nil).

17. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Deferred capital grant (note 19)
Housing loans
Housing loans
Amounts due within one year
Amounts due in one year or more but less than two years
Amounts due in two years or more but less than five years
Amounts due in more than five years
Less: amount shown in current liabilities		 2026
£
2025
£
6,728,745
5,988,343
20,283,801
15,331,310
27,021,546
21,319,653
1,137,669
841,299
1,159,779
863,756
3,636,864
2,736,329
15,487,158
11,731,225
21,421,470
16,172,609
(1,137,669)
(841,299)
20,283,801
15,331,310

The Company has a number of long-term housing loans the terms and conditions of which are as follows:

Lender Security Average
Interest
Rate		 Interest
Rate
Ranges
Fixed
Rate
Expiring
Between		 Variable/
Fixed
RBS Standard security over
236 properties		 4.61% 2.28% - 6.07% 2026 Both
Nationwide Standard security over
637 properties and 99
garage units		 4.82% 3.7% - 5.13% 2032 Both

All of the Company’s bank borrowings are repayable on a monthly basis with the principle being amortised over the term of the loans.

34

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

18. STATEMENT OF CASH FLOWS

Reconciliation of operating surplus to net cash inflow from
operating activities:
Operating surplus
Depreciation
Amortisation of Intangible Assets
Amortisation of capital grants
Amortisation of loan
(Increase)/ Decrease in debtors
Increase /(Decrease) in creditors
Loss on disposal of fixed assets
Impairment of housing properties
Net Cash Inflow from Operating Activities
Reconciliation of Net Cash Flow to Movement in Net Debt
(Increase) /Decrease in cash at bank
Loan advances received
Loan repayments made
Net debt at 1 April
Net debt at 31 March
At
01/04/2025
Cash at bank and in hand
4,213,651
Debt due within one year
(841,299)
Debt due after one year
(15,331,310)
Total
(11,958,958)
19.
DEFERRED CAPITAL GRANT
Social housing grants
Balance as at 1stApril 2025
Additions in the year
Amortisation in the year
Balance as at 31stMarch 2026		 Reconciliation of operating surplus to net cash inflow from
operating activities:
Operating surplus
Depreciation
Amortisation of Intangible Assets
Amortisation of capital grants
Amortisation of loan
(Increase)/ Decrease in debtors
Increase /(Decrease) in creditors
Loss on disposal of fixed assets
Impairment of housing properties
Net Cash Inflow from Operating Activities
Reconciliation of Net Cash Flow to Movement in Net Debt
(Increase) /Decrease in cash at bank
Loan advances received
Loan repayments made
Net debt at 1 April
Net debt at 31 March
At
01/04/2025
Cash at bank and in hand
4,213,651
Debt due within one year
(841,299)
Debt due after one year
(15,331,310)
Total
(11,958,958)
19.
DEFERRED CAPITAL GRANT
Social housing grants
Balance as at 1stApril 2025
Additions in the year
Amortisation in the year
Balance as at 31stMarch 2026		 Reconciliation of operating surplus to net cash inflow from
operating activities:
Operating surplus
Depreciation
Amortisation of Intangible Assets
Amortisation of capital grants
Amortisation of loan
(Increase)/ Decrease in debtors
Increase /(Decrease) in creditors
Loss on disposal of fixed assets
Impairment of housing properties
Net Cash Inflow from Operating Activities
Reconciliation of Net Cash Flow to Movement in Net Debt
(Increase) /Decrease in cash at bank
Loan advances received
Loan repayments made
Net debt at 1 April
Net debt at 31 March
At
01/04/2025
Cash at bank and in hand
4,213,651
Debt due within one year
(841,299)
Debt due after one year
(15,331,310)
Total
(11,958,958)
19.
DEFERRED CAPITAL GRANT
Social housing grants
Balance as at 1stApril 2025
Additions in the year
Amortisation in the year
Balance as at 31stMarch 2026		 2026
£
2025
£
2,316,589
2,273,775
1,429,256
4,788
1,336,398
-
(116,095)
(111,300)
316
2,531
(304,051)
166,138
505,602
(203,281)
-
363
-
-
3,836,405
3,464,624
2026
£
2025
£
(5,042,449)
1,124,235
6,300,000
-
(1,051,138)
(803,554)
206,413
320,681
11,958,958
11,638,277
12,165,371
11,958,958
Cash
Flows
At
31/03/2026
5,042,449
9,256,100
(296,370)
(1,137,669)
(4,952,492)
(20,283,802)
(11,958,958) (206,413)
(12,165,371)
2026
£
2025
£
6,101,529
6,072,829
883,103
140,000
(116,095)
(111,300)
6,868,537
6,101,529

35

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

19.
DEFERRED CAPITAL GRANT (continued)
Amounts due within one year
Amounts due in one year or more
20.
PROVISIONS
1 April 2025
Utilised in the year
Released in the year
Additional provision in year
31 March 2026		 2026
£
139,792
6,728,745		 2025
£
113,186
5,988,343
6,868,537 6,101,529
Holiday
Pay
£
21,761
(21,761)
-
25,195
25,195

Holiday Pay

This represents holiday accrued as a result of services rendered in the current period and which employees are entitled to carry forward. The provision is measured as the statutory cost payable for the period of absence.

21. HOUSING STOCK

The number of units of accommodation in management at the
year-end was:
General needs – new build
General needs – rehabilitation		 2026
No.
2025
No.
399
399
820
814
1,219
1,213

22. RELATED PARTY TRANSACTIONS

Members of the Board of Directors are related parties of the Company as defined by Financial Reporting Standard 102.

Board Members cannot use their position to their advantage. Any transactions between the Company and any entity with which a Board Member has a connection with is made at arm’s length and is under normal commercial terms.

During the year there were two tenant members of the Board (2025: two). During the year they paid £11,497 (2025: £11,119) in respect of social letting services.

Board members received £NIL in the year by way of reimbursement of expenses (2025 - £NIL). No remuneration is paid to Board members in respect of their duties in the Company.

36

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

Atrium Homes

23. RETIREMENT BENEFIT OBLIGATIONS

The company participates in the Scottish Housing Associations’ Pension Scheme (the Scheme), a multi-employer scheme which provides benefits to some 150 non-associated employers. The Scheme is a defined benefit scheme in the UK.

The Scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK.

The last triennial valuation of the scheme for funding purposes was carried out as at 30 September 2024. This valuation revealed a deficit of £79.5m. A Recovery Plan was put in place to eliminate the deficit which runs to 31 March 2030.

The Scheme is classified as a 'last-man standing arrangement'. Therefore the company is potentially liable for other participating employers' obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the Scheme. Participating employers are legally required to meet their share of the Scheme deficit on an annuity purchase basis on withdrawal from the Scheme.

For accounting purposes, a valuation of the scheme is carried out with an effective date of 30 September each year. The liability figures from this valuation are rolled forward for accounting year-ends from the following 31 March to 28 February inclusive.

The latest accounting valuation was carried out with an effective date of 30 September 2025. The liability figures from this valuation were rolled forward for accounting year-ends from the following 31 March 2026 to 28 February 2027 inclusive.

The liabilities are compared, at the relevant accounting date, with the company’s fair share of the Scheme’s total assets to calculate the company’s net deficit or surplus.

PRESENT VALUES OF DEFINED BENEFIT OBLIGATION, FAIR VALUE OF ASSETS AND DEFINED BENEFIT LIABILITY

Fair value of plan assets
Present value of defined benefit obligation
Deficit in plan
Unrecognised surplus
Defined benefit liability to be recognised
Deferred tax
Net defined benefit liability to be recognised		 2026
£000s
2025
£000s
3,260
3,119
3,661
3,559
(401)
(440)
-
-
(401)
(440)
-
-
(401)
(440)

37

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

RECONCILIATION OF OPENING AND CLOSING BALANCES OF THE DEFINED BENEFIT OBLIGATION

Defined benefit obligation at start of period
Current service cost
Expenses
Interest expense
Contributions by plan participants
Actuarial gains due to scheme experience
Actuarial gains due to changes in demographic assumptions
Actuarial losses due to changes in financial assumptions
Benefits paid and expenses
Defined benefit obligation at end of period
Fair value of plan assets at start of period
Interest income
Experience on plan assets (excluding amounts included in
interest income) – loss
Contributions by the employer
Contributions by plan participants
Benefits paid and expenses
Fair value of plan assets at end of period		 2026
£000s
3,559
15
6
207
69
(36)
34
(60)
(133)
3,661
2026
£000s
3,119
183
(81)
103
69
(133)
3,260

DEFINED BENEFIT COSTS RECOGNISED IN STATEMENT OF COMPREHENSIVE INCOME (SOCI)

INCOME (SOCI)
2026
£000s
Current service cost 15
Expenses 6
Net interest expense 24
Defined benefit costs recognised in statement of
comprehensive income (SOCI) 45
DEFINED BENEFIT COSTS RECOGNISED IN OTHER COMPREHENSIVE INCOME
2026
£000s
Experience on plan assets (excluding amounts included in net
interest cost) - loss (81)
Experience gains and losses arising on the plan liabilities - gain 36
Effects of changes in the demographic assumptions underlying
the present value of the defined benefit obligation - loss (34)
Effects of changes in the financial assumptions underlying the
present value of the defined benefit obligation - gain 60
Total amount recognised in other comprehensive income - loss (19)

38

Docusign Envelope ID: F8623AF4-D8D2-8E87-810E-B747283589DC

Atrium Homes

NOTES TO THE FINANCIAL STATEMENTS (continued) For the year ended 31 March 2026

ASSETS
Absolute return
Alternative Risk Premia
Cash
Corporate Bond Fund
Credit
Credit Relative Value
Distressed Opportunities
Emerging Markets Debt
Currency Heding
Global Equity
High Yield
Infrastructure
Insurance-Linked Securities
Investment Grade Credit
Liability Driven Investment
Long Lease Property
Net Current Assets
Over 15 Year Gilts
Private Debt
Private Equity
Private Credit
Property
Real Assets
Risk Sharing
Secured Income
Opportunistic Illiquid Credit
Opportunistic Credit
Liquid Credit
Total Assets
Discount rate
Inflation (RPI)
Inflation (CPI)
Salary Growth
Allowance for commutation of pension for cash at retirement		 2026
£000s
2025
£000s
-
-
-
1
-
17
-
149
-
133
-
-
-
-
-
-
-
5
431
-
361
-
-
1
6
137
12
143
900
878
-
1
49
4
-
-
-
7
420
-
3
389
170
323
154
372
-
-
44
72
-
-
-
-
623
574
3260
3,119
2026
% per
annum
2025
% per
annum
6.08%
5.85%
3.31%
3.09%
3.03%
2.79%
4.03%
3.79%
75% of
maximum
75% of
maximum

The mortality assumptions adopted at 31 March 2026 imply the following life expectancies:

Male retiring in 2026
Female retiring in 2026
Male retiring in 2046
Female retiring in 2046		 Life
expectancy
at age 65
20.7
22.9
21.9
24.4

39