**COMPANY REGISTRATION NUMBER: SC194864 CHARITY REGISTRATION NUMBER: SC028838** 

**Centre of Therapy & Counselling Studies Company Limited by Guarantee** 

**Financial Statements 31st August 2025** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Financial Statements** 

**Year ended 31st August 2025** 

||**Page**|
|---|---|
|Trustees' annual report (incorporating the director's report)|**1**|
|Independent auditor's report to the members|**6**|
|Statement of financial activities (including income and expenditure||
|account)|**11**|
|Statement of financial position|**12**|
|Statement of cash flows|**14**|
|Notes to the financial statements|**15**|





**Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Trustees' Annual Report (Incorporating the Director's Report)** 

## **Year ended 31st August 2025** 

The trustees, who are also the directors for the purposes of company law, present their report and the financial statements of the charity for the year ended 31st August 2025. 

## **Reference and administrative details** 

|**Registered charity name**|Centre of Therapy & Counselling|Studies|
|---|---|---|
|**Charity registration number**|SC028838||
|**Company registration number**|SC194864||
|**Principal office and registered**|8 Newton Place||
|**office**|Park Circus||
||Glasgow||
||G3 7PR||
|**The trustees**|||
||K Carroll|(Resigned 26th March 2026)|
||C McMaster||
||Sir T Clarke||
||C Forde||
||A McNaughton|(Appointed 4th September 2024)|
|**Auditor**|PB Audit Limited||
||Statutory Auditors||
||18 North Street||
||Glenrothes||
||Fife||
||KY7 5NA||
|**Bankers**|Bank of Scotland||
||54 - 62 Sauchiehall Street||
||Glasgow||
||G2 3AH||
|**Solicitors**|Mitchells Roberton||
||36 North Hanover Street||
||Glasgow||
||G1 2AD||



**1** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

**Trustees' Annual Report (Incorporating the Director's Report)** _**(continued)**_ 

**Year ended 31st August 2025** 

## **Structure, governance and management** 

## **Governing document** 

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006. 

## **Organisational structure** 

The Centre of Therapy & Counselling Studies is constituted as a company limited by guarantee and has no share capital. In the event of the company being wound up, members are required to contribute an amount not exceeding £1. The company is recognised as a charity by HM Revenue and Customs for the purposes of Section 505 of the Income and Corporation Taxes Act 1988. 

Operation of the charity is vested in a management committee consisting of trustees currently in post. The trustees meet four times a year to review the operations and ensure the financial progress of the Centre of Therapy & Counselling Studies is in order. 

The Board of Trustees delegate responsibility for the day to day leadership, strategic planning, management and delivery of clinical operations and vocational courses to the Chief Executive Officer Jacqueline Zemmoura. 

## **Recruitment and appointment of new trustees** 

New trustees may be sought to enhance or increase the range of expertise available to the charity. New trustees are appointed by the existing trustees. There is no formal induction programme for any newly appointed trustees. New trustees are given information including a brief history of the charity, copies of most recent annual reports and accounts, advice on powers and responsibilities of trustees, a copy of the trust deed and a copy of the Scottish Charity Regulator's Guidance: Guidance for Charity Trustees. 

## **Induction and training of new trustees** 

All trustees complete an application form which identifies their key skills and experience which makes them suitable for the position of trustee. The current trustees provide the following skills: 

- Education 

- Legal issues 

- Psychotherapy 

- Local and national politics 

## **Risk management** 

The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. The major risks to which the charity is exposed have been identified and systems established to mitigate them. 

**2** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

**Trustees' Annual Report (Incorporating the Director's Report)** _**(continued)**_ 

**Year ended 31st August 2025** 

## **Objectives and activities** 

The objectives and activities of the Centre of Therapy & Counselling Studies continue to be in line with our mission statement of helping people in our community by providing full vocational training in Cognitive Behavioural Therapy for those wishing to enter the profession of counselling and psychotherapy and by offering help to people with mental health issues. 

The principle activity of the charity during the year was to continue to provide vocational training in CBT (Cognitive Behavioural Therapy) for students in Glasgow and Edinburgh with a total student population of around 140 Diploma students plus 100 students completing the preparatory COSCA (Counselling and Psychotherapy in Scotland) Certificate courses. It should be noted that following the pandemic lockdowns, the transfer to remote study has gained vast popularity as has CBT as a modality. For many years, we were the main Scottish provider of training in CBT whereas now there is fierce competition in the field. 

## **Achievements and performance** 

We managed to achieve an improved intake of Diploma students for the academic year 2024/25 undoubtedly boosted by some return of our credibility with the Abertay partnership being achieved. It was again a difficult year during which we had to try to find cost savings wherever possible. 

## **Financial review** 

The results for the year as disclosed in the Statement of Financial Activities indicates a deficit of £67,107 (2024: £147,705) resulting in a cumulative surplus to carry forward of £634,487 (2024: £701,594). This figure includes a revaluation adjustment of £509,903. Without the revaluation, reserves at the balance sheet date would be £124,584. 

While the Abertay partnership was a great achievement, it incurred an additional annual cost of between £50k and £60k. We already increased fees and a further increase will be implemented in 2025/26. Certain cost savings have been implemented in this financial year. Examples include the reduction of management staff and rather than covering the entire substantial costs of clinical supervision for trainees, they will be required to contribute to the costs. Together these savings amount to around £100k. 

## **Reserves policy** 

We are confident that the cost-saving measures taken will help towards a slow recovery of our depleted reserves. We have attempted to seek financial assistance during this year but without any success. We had thought that Triodos, our mortgage provider, would be willing to release a small portion of the £800k equity in the property but they changed their policies and no longer lend to charities. 

**3** 



**Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

**Trustees' Annual Report (Incorporating the Director's Report)** _**(continued)**_ 

**Year ended 31st August 2025** 

## **Plans for future periods** 

Our building at 8 Newton Place was valued by surveyors at £900,000 with outstanding mortgage of around £180,000. Close monitoring of cash flow will be critical moving forward. 

## **Trustees' responsibilities statement** 

The trustees, who are also directors for the purposes of company law, are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). 

Company law requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the incoming resources and application of resources, including the income and expenditure, for that period. 

In preparing these financial statements, the trustees are required to: 

- select suitable accounting policies and then apply them consistently; 

- observe the methods and principles in the applicable Charities SORP; 

- make judgments and accounting estimates that are reasonable and prudent; 

- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; 

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business. 

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 

**4** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

**Trustees' Annual Report (Incorporating the Director's Report)** _**(continued)**_ 

## **Year ended 31st August 2025** 

## **Auditor** 

Each of the persons who is a trustee at the date of approval of this report confirms that: 

- so far as they are aware, there is no relevant audit information of which the charity's auditor is unaware; and 

- they have taken all steps that they ought to have taken as a trustee to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information. 

## **Small company provisions** 

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

The trustees' annual report was approved on 27 May 2026 and signed on behalf of the board of trustees by: 


A McNaughton Trustee 

**5** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Independent Auditor's Report to the Members of Centre of Therapy & Counselling Studies** 

**Year ended 31st August 2025** 

## **Opinion** 

We have audited the financial statements of Centre of Therapy & Counselling Studies (the 'charity') for the year ended 31st August 2025 which comprise the statement of financial activities (including income and expenditure account), statement of financial position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). 

In our opinion the financial statements: 

- give a true and fair view of the state of the charity's affairs as at 31st August 2025 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended; 

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

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

## **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. 

## **Material uncertainty related to going concern** 

We draw your attention to note 3 in the financial statements, the Charity has suffered a decline in free reserves which, were this to continue, could see the Charity have insufficient funds to meet payments as they fall due. However, the new partnership with a high-ranking University should result in improved results. As stated in note 3, these events on conditions indicate that a material uncertainty exists that may cast significant doubt on the Charity's ability to continue as a going concern. 

Our opinion is not modified in respect of this matter. 

**6** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

**Independent Auditor's Report to the Members of Centre of Therapy & Counselling Studies** _**(continued)**_ 

## **Year ended 31st August 2025** 

## **Other information** 

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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: 

- the information given in the trustees' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and 

- the trustees' report has been prepared in accordance with applicable legal requirements. 

## **Matters on which we are required to report by exception** 

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report, included within the trustees' annual report. 

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: 

- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or 

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

**7** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

**Independent Auditor's Report to the Members of Centre of Therapy & Counselling Studies** _**(continued)**_ 

## **Year ended 31st August 2025** 

- certain disclosures of directors’ remuneration specified by law are not made; or 

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

- the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies exemption in preparing the directors reports and take advantage of the small companies exemption from the requirement to prepare a strategic report. 

## **Responsibilities of trustees** 

As explained more fully in the trustees' responsibilities statement, the trustees (who are also the directors for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. 

In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or 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 under the Companies Act 2006, and report in accordance with the Acts, and the 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. 

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: 

**8** 



**Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

**Independent Auditor's Report to the Members of Centre of Therapy & Counselling Studies** _**(continued)**_ 

## **Year ended 31st August 2025** 

Based on our understanding of the Charity and sector, we identified that the principal risks of noncompliance with laws and regulations related to breaches of UK regulations and prohibited business practices, and we considered that the extent to which non-compliance might have a material effect on the financial statements.  We also considered those laws and regulations that 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 override controls), and determined that the principal risks were related to the potential posting of inappropriate journal entries to manipulate financial results and management bias in accounting estimates. 

Audit procedures performed by the engagement team included: 

- Enquiry of management, those charged with governance and the entity's solicitors around actual and potential litigation and claims. 

- Reviewing minutes of meetings of those charged with governance including the Board. 

- Identifying and testing journal entries based on risk criteria. 

- Designing audit procedures to incorporate unpredictability around the nature, timing or extent of our testing. 

- Investigated the rationale behind significant or unusual transactions. 

- Reviewed accounting estimates for evidence of bias. 

- Performed analytical review and proof in total income test. 

- Agreed financial statement disclosures to supporting documentation. 

There are inherent limitations in the audit procedures described above.  We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements.  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. As part of an audit in accordance with ISAs (UK), we exercise professional judgment 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 audit 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. 

- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. 

- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Trustees. 

- Conclude on the appropriateness of the Trustees' use of the going concern basis of 

**9** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Independent Auditor's Report to the Members of Centre of Therapy & Counselling Studies** _**(continued)**_ 

## **Year ended 31st August 2025** 

accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the charity to cease to continue as a going concern. 

- Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. 

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. 

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

## **Use of our report** 

This report is made solely to the charity's members, as a body, in accordance with Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charity'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 charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed. 


Craig Wallace B.Acc.(Hons), F.C.C.A. (Senior Statutory Auditor) 

For and on behalf of PB Audit Limited Statutory Auditors 18 North Street Glenrothes Fife KY7 5NA 

PB Audit Limited are eligible to act as auditors under the terms of Section 1212 of the Companies Act 2006. 

27 May 2026 

**10** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Statement of Financial Activities (including income and expenditure account)** 

## **Year ended 31st August 2025** 

|||**2025**|**2025**|2024|
|---|---|---|---|---|
|||Unrestricted|||
|||funds|**Total funds**|Total funds|
||**Note**|**£**|**£**|£|
|**Income and endowments**|||||
|Charitable activities|**5**|580,760|**580,760**|562,776|
|Investment income|**6**|316|**316**|2,560|
|||--------------------------------------|--------------------------------------|--------------------------------------|
|**Total income**||581,076|**581,076**|565,336|
|||======================================|======================================|======================================|
|**Expenditure**|||||
|Expenditure on charitable activities|**7,8**|648,183|**648,183**|713,041|
|||--------------------------------------|--------------------------------------|--------------------------------------|
|**Total expenditure**||648,183|**648,183**|713,041|
|||======================================|======================================|======================================|
|||--------------------------------------|--------------------------------------|--------------------------------------|
|**Net expenditure**||(67,107)|**(67,107)**|(147,705)|
|||======================================|======================================|======================================|
|**Other recognised gains and losses**|||||
|Gains from revaluation of fixed assets||–|**–**|509,903|
|||--------------------------------------|--------------------------------------|--------------------------------------|
|**Net movement in funds**||(67,107)|**(67,107)**|362,198|
|**Reconciliation of funds**|||||
|Total funds brought forward||701,594|**701,594**|339,396|
|||--------------------------------------|--------------------------------------|--------------------------------------|
|**Total funds carried forward**||634,487|**634,487**|701,594|
|||======================================|======================================|======================================|



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

**The notes on pages 15 to 25 form part of these financial statements.** 

**11** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Statement of Financial Position** 

## **31st August 2025** 

|||**2025**|2024|
|---|---|---|---|
||**Note**|**£**|£|
|**Fixed assets**||||
|Intangible assets|**14**|**–**|20,000|
|Tangible fixed assets|**15**|**900,656**|900,919|
|||--------------------------------------|--------------------------------------|
|||**900,656**|920,919|
|**Current assets**||||
|Debtors|**16**|**450,243**|30,687|
|Cash at bank and in hand||**16,734**|53,797|
|||--------------------------------------|---------------------------------|
|||**466,977**|84,484|
|**Creditors: amounts falling due within one year**|**17**|**531,390**|91,211|
|||--------------------------------------|---------------------------------|
|**Net current assets**||**(64,413)**|(6,727)|
|||--------------------------------------|--------------------------------------|
|**Total assets less current liabilities**||**836,243**|914,192|
|**Creditors: amounts falling due after more than one year**|**18**|**201,756**|212,598|
|||--------------------------------------|--------------------------------------|
|**Net assets**||**634,487**|701,594|
|||======================================|======================================|
|**Funds of the charity**||||
|Unrestricted funds:||||
|Revaluation reserve||**509,903**|509,903|
|Other unrestricted income funds||**124,584**|191,691|
|||--------------------------------------|--------------------------------------|
|**Total unrestricted funds**||**634,487**|701,594|
|||--------------------------------------|--------------------------------------|
|**Total charity funds**|**21**|**634,487**|701,594|
|||======================================|======================================|



These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime. 

## The statement of financial position continues on the following page. 

**The notes on pages 15 to 25 form part of these financial statements.** 

**12** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Statement of Financial Position** _**(continued)**_ 

**31st August 2025** 

These financial statements were approved by the board of trustees and authorised for issue on 27 May 2026, and are signed on behalf of the board by: 


A McNaughton Trustee 

**The notes on pages 15 to 25 form part of these financial statements.** 

**13** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Statement of Cash Flows** 

## **Year ended 31st August 2025** 

||**2025**|2024|
|---|---|---|
||**£**|£|
|**Cash flows from operating activities**|||
|Net expenditure|**(67,107)**|(147,705)|
|_Adjustments for:_|||
|Depreciation of tangible fixed assets|**263**|372|
|Amortisation of intangible assets|**20,000**|20,000|
|Other interest receivable and similar income|**(316)**|(2,560)|
|Interest payable and similar charges|**16,842**|19,636|
|Accrued expenses|**1,043**|265|
|_Changes in:_|||
|Trade and other debtors|**(419,556)**|11,416|
|Trade and other creditors|**443,140**|13,842|
||--------------------------------------|--------------------------------------|
|Cash generated from operations|**(5,691)**|(84,734)|
|Interest paid|**(16,842)**|(19,636)|
|Interest received|**316**|2,560|
||---------------------------------|--------------------------------------|
|Net cash used in operating activities|**(22,217)**|(101,810)|
||=================================|======================================|
|**Cash flows from investing activities**|||
|Purchase of tangible assets|**–**|(602)|
||---------------------------------|--------------------------------------|
|Net cash used in investing activities|**–**|(602)|
||=================================|======================================|
|**Cash flows from financing activities**|||
|Proceeds from borrowings|**(14,846)**|(19,081)|
||---------------------------------|--------------------------------------|
|Net cash used in financing activities|**(14,846)**|(19,081)|
||=================================|======================================|
|**Net decrease in cash and cash equivalents**|**(37,063)**|(121,493)|
|**Cash and cash equivalents at beginning of year**|**53,797**|175,290|
||---------------------------------|--------------------------------------|
|**Cash and cash equivalents at end of year**|**16,734**|53,797|
||=================================|======================================|



**The notes on pages 15 to 25 form part of these financial statements.** 

**14** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Notes to the Financial Statements** 

**Year ended 31st August 2025** 

## **1. General information** 

The charity is a public benefit entity and a private company limited by guarantee, registered in Scotland and a registered charity in Scotland. The address of the registered office is 8 Newton Place, Park Circus, Glasgow, G3 7PR. 

## **2. Statement of compliance** 

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Companies Act 2006. 

## **3. Accounting policies** 

## **Basis of preparation** 

The financial statements have been prepared on the historical cost basis. 

The financial statements are prepared in sterling (GBP), which is the functional currency of the entity. 

## **Going concern** 

The financial statements have been prepared on a going concern basis which assumes the charity will be able to continue its operations for the foreseeable future and will be able to realise its assets and discharge its liabilities and commitments in the normal course of business. 

For the year ended 31 August 2025, the Charity has incurred net expenditure of £67,107. General funds have declined from £191,691 to £124,584. Were this level of net expenditure to continue the Charity could face difficulty in making payments as they fall due. As a result of the partnership with a high-ranking University, the Charity's forecasts for the coming year show a much improved financial position. These factors create material uncertainty that may cast significant doubt with respect to the ability of the charity to continue as a going concern. 

Dependent on the Charity's ability to attract sufficient student numbers to generate a surplus from its operations, the trustees acknowledge that the ability of the Charity to continue as a going concern and to realise the carrying value of its assets and discharge its liabilities when due is dependent on the continued support of its principle funder. 

**15** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Notes to the Financial Statements** _**(continued)**_ 

**Year ended 31st August 2025** 

## **3. Accounting policies** _**(continued)**_ 

## **Judgements and key sources of estimation uncertainty** 

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. 

## **Income tax** 

The charity is exempt from tax on income and gains falling within section 505(1) 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. The charity is not registered for VAT and therefore expenditure is stated inclusive of VAT. 

## **Fund accounting** 

Unrestricted funds are funds that, within the bounds of the charitable objectives of the charity have no restrictions on their use. 

Restricted funds are funds that can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. 

## **Incoming resources** 

## **Income** 

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income be received and the amount can be measured reliably. 

## **Resources expended** 

## **Expenditure** 

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. 

**16** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Notes to the Financial Statements** _**(continued)**_ 

**Year ended 31st August 2025** 

## **3. Accounting policies** _**(continued)**_ 

## **Operating leases** 

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease. 

## **Intangible assets - intellectual property** 

The Investment in Scotacs LLP was to acquire the Intellectual Property owned by their business. This has now been reclassified as Intellectual Property. The Intellectual Property is continuously improved and updated to keep pace with current research. The Intellectual Property is amortised over twenty years. 

Intangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated amortisation and impairment losses. Any intangible assets carried at revalued amounts, are recorded at the fair value at the date of revaluation, as determined by reference to an active market, less any subsequent accumulated amortisation and subsequent accumulated impairment losses. 

## **Amortisation** 

Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows: 

Intellectual Property 

- 10% straight line 

If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates. 

## **Tangible assets** 

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. 

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities.  A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities. 

**17** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Notes to the Financial Statements** _**(continued)**_ 

## **Year ended 31st August 2025** 

## **3. Accounting policies** _**(continued)**_ 

## **Depreciation** 

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows: 

Freehold property - 2% straight line Plant and machinery - 25% straight line Fixtures and fittings - 25% straight line Computer equipment - 33% straight line 

## **Impairment of fixed assets** 

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. 

## **Financial instruments** 

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are measured at the carrying value plus accrued interest less repayments. The financing charge to expenditure is at a constant rate calculated using the effective interest method. 

## **Defined contribution plans** 

The charity operated a defined contribution scheme on behalf of its employees. Such contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. 

## **4. Limited by guarantee** 

The charity is a company limited by guarantee without share capital; each member of the charity has undertaken to contribute an amount not exceeding £1 towards any deficit in the event of the charity being placed in liquidation. 

**18** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Notes to the Financial Statements** _**(continued)**_ 

## **Year ended 31st August 2025** 

## **5. Charitable activities** 

||Unrestricted|**Total Funds**|Unrestricted|Total Funds|
|---|---|---|---|---|
||Funds|**2025**|Funds|2024|
||£|**£**|£|£|
|Student course fees|574,078|**574,078**|557,014|557,014|
|Memberships|3,462|**3,462**|2,212|2,212|
|Room hire|3,220|**3,220**|3,550|3,550|
||--------------------------------------|--------------------------------------|--------------------------------------|--------------------------------------|
||580,760|**580,760**|562,776|562,776|
||======================================|======================================|======================================|======================================|



## **6. Investment income** 

||Unrestricted|**Total Funds**|Unrestricted|Total Funds|
|---|---|---|---|---|
||Funds|**2025**|Funds|2024|
||£|**£**|£|£|
|Bank interest receivable|316|**316**|2,560|2,560|
||================|================|===========================|===========================|



## **7. Expenditure on charitable activities by fund type** 

||Unrestricted|**Total Funds**|Unrestricted|Total Funds|
|---|---|---|---|---|
||Funds|**2025**|Funds|2024|
||£|**£**|£|£|
|Vocational training|337,293|**337,293**|319,172|319,172|
|Support costs|310,890|**310,890**|393,869|393,869|
||--------------------------------------|--------------------------------------|--------------------------------------|--------------------------------------|
||648,183|**648,183**|713,041|713,041|
||======================================|======================================|======================================|======================================|
|**Expenditure on charitable activities by activity type**|||||
||Activities||||
||undertaken|Support|**Total funds**|Total fund|
||directly|costs|**2025**|2024|
||£|£|**£**|£|
|Vocational training|337,293|288,632|**625,925**|688,077|
|Governance costs|–|22,258|**22,258**|24,964|
||--------------------------------------|--------------------------------------|--------------------------------------|--------------------------------------|
||337,293|310,890|**648,183**|713,041|
||======================================|======================================|======================================|======================================|



## **8. Expenditure on charitable activities by activity type** 

**19** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Notes to the Financial Statements** _**(continued)**_ 

## **Year ended 31st August 2025** 

## **9. Analysis of support costs** 

||Vocational|||
|---|---|---|---|
||training|**Total 2025**|Total 2024|
||£|**£**|£|
|Staff costs|197,357|**197,357**|271,290|
|Premises|26,953|**26,953**|25,481|
|Communications and IT|3,815|**3,815**|8,326|
|General office|23,251|**23,251**|23,800|
|Finance costs|16,842|**16,842**|19,636|
|Governance costs|22,409|**22,409**|24,964|
|Other costs|20,263|**20,263**|20,372|
||--------------------------------------|--------------------------------------|--------------------------------------|
||310,890|**310,890**|393,869|
||======================================|======================================|======================================|
|**Net expenditure**||||
|Net expenditure is stated after charging/(crediting):||||
|||**2025**|2024|
|||**£**|£|
|Amortisation of intangible assets||**20,000**|20,000|
|Depreciation of tangible fixed assets||**263**|372|
|Operating lease rentals||**5,504**|5,850|
|||=================================|=================================|
|**Auditor’s remuneration**||||
|||**2025**|2024|
|||**£**|£|
|Fees payable for the audit of the financial statements||**5,860**|5,292|
|||===========================|===========================|



## **10. Net expenditure** 

Net expenditure is stated after charging/(crediting): 

## **11. Auditor’s remuneration** 

## **12. Staff costs** 

The total staff costs and employee benefits for the reporting period are analysed as follows: 

||**2025**|2024|
|---|---|---|
||**£**|£|
|Wages and salaries|**184,131**|247,028|
|Social security costs|**11,469**|21,502|
|Employer contributions to pension plans|**1,757**|2,760|
||--------------------------------------|--------------------------------------|
||**197,357**|271,290|
||======================================|======================================|



The average head count of employees during the year was 4 (2024: 5). 

**20** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Notes to the Financial Statements** _**(continued)**_ 

## **Year ended 31st August 2025** 

## **12. Staff costs** _**(continued)**_ 

|The number of employees whose remuneration for the year fell within the following|The number of employees whose remuneration for the year fell within the following|bands, were:|
|---|---|---|
||**2025**|2024|
||**No.**|No.|
|£60,000 to £69,999|**1**|–|
|£90,000 to £99,999|**–**|1|
||----------------|----------------|
||**1**|1|
||================|================|



## **Key Management Personnel** 

Key management personnel include all persons that have authority and responsibility for planning, directing and controlling the activities of the charity. The total compensation paid to key management personnel for services provided to the charity was £67,535 (2024:£155,384). 

## **13. Trustee remuneration and expenses** 

There were no trustees' remuneration or benefits for the year ended 31 August 2025 (2024: £nil). 

## **14. Intangible assets** 

||**Intellectual**|
|---|---|
||**Property**|
||**£**|
|**Cost**||
|**At 1 Sep 2024 and 31 Aug 2025**|**200,000**|
||======================================|
|**Amortisation**||
|At 1 Sep 2024|**180,000**|
|Charge for the year|**20,000**|
||--------------------------------------|
|**At 31 Aug 2025**|**200,000**|
||======================================|
|**Carrying amount**||
|**At 31 Aug 2025**|**–**|
||======================================|
|At 31 Aug 2024|20,000|
||======================================|



**21** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Notes to the Financial Statements** _**(continued)**_ 

## **Year ended 31st August 2025** 

## **15. Tangible fixed assets** 

||Freehold|Plant and|Fixtures|Computer||
|---|---|---|---|---|---|
||property|machinery|and fittings|Equipment|**Total**|
||£|£|£|£|**£**|
|**Cost**||||||
|**At 1 Sep 2024 and**||||||
|**31 Aug 2025**|900,000|6,879|15,227|20,761|**942,867**|
||======================================|===========================|=================================|=================================|======================================|
|**Depreciation**||||||
|At 1 Sep 2024|–|6,879|14,710|20,359|**41,948**|
|Charge for the year|–|–|129|134|**263**|
||--------------------------------------|---------------------------|---------------------------------|---------------------------------|--------------------------------------|
|**At 31 Aug 2025**|–|6,879|14,839|20,493|**42,211**|
||======================================|===========================|=================================|=================================|======================================|
|**Carrying amount**||||||
|**At 31 Aug 2025**|900,000|–|388|268|**900,656**|
||======================================|===========================|=================================|=================================|======================================|
|At 31 Aug 2024|900,000|–|517|402|900,919|
||======================================|===========================|=================================|=================================|======================================|
|**Debtors**||||||
|||||**2025**|2024|
|||||**£**|£|
|Trade debtors||||**439,043**|27,556|
|Prepayments and accrued income||||**1,297**|1,157|
|Other debtors||||**9,903**|1,974|
|||||--------------------------------------|---------------------------------|
|||||**450,243**|30,687|
|||||======================================|=================================|
|**Creditors:** **amounts falling due within one year**||||||
|||||**2025**|2024|
|||||**£**|£|
|Bank loans and overdrafts||||**9,596**|13,600|
|Trade creditors||||**17,036**|30,441|
|Accruals and deferred income||||**459,516**|30,798|
|Social security and other taxes||||**15,588**|15,215|
|Other creditors||||**29,654**|1,157|
|||||--------------------------------------|---------------------------------|
|||||**531,390**|91,211|
|||||======================================|=================================|



## **16. Debtors** 

## **17. Creditors: amounts falling due within one year** 

**22** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Notes to the Financial Statements** _**(continued)**_ 

## **Year ended 31st August 2025** 

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

||**2025**|2024|
|---|---|---|
||**£**|£|
|Bank loans and overdrafts|**201,756**|212,598|
||======================================|======================================|



Included within creditors: amounts falling due after more than one year is an amount of £117,511 (2024: £128,353) in respect of liabilities payable or repayable by instalments which fall due for payment after more than five years from the reporting date. 

Triodos Bank NV hold a bond and floating charge over the property and assets of the charity. 

SIS (Community Finance) Limited hold a standard security over the property owned by the charity. 

Triodos Bank NV hold a standard security over the property owned by the charity. 

## **19. Deferred income** 

||**2025**|2024|
|---|---|---|
||**£**|£|
|At 1st September 2024|**25,241**|30,800|
|Amount released to income|**(25,241)**|(30,800)|
|Amount deferred in year|**452,916**|25,241|
||--------------------------------------|---------------------------------|
|**At 31st August 2025**|**452,916**|25,241|
||======================================|=================================|



Deferred income is represented by deposits and fees paid by students whose courses do not commence until after the end of the accounting period. 

## **20. Pensions and other post retirement benefits** 

## **Defined contribution plans** 

The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £1,757 (2024: £2,760). 

**23** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Notes to the Financial Statements** _**(continued)**_ 

## **Year ended 31st August 2025** 

## **21. Analysis of charitable funds** 

## **Unrestricted funds** 

|**Unrestricted funds**||||||
|---|---|---|---|---|---|
||At|||Gains and|**At**|
||1 Sep 2024|Income|Expenditure|losses|**31 Aug 2025**|
||£|£|£|£|**£**|
|General funds|191,691|581,076|(648,183)|–|**124,584**|
|Revaluation reserve|509,903|–|–|–|**509,903**|
||--------------------------------------|--------------------------------------|--------------------------------------|----------------|--------------------------------------|
||701,594|581,076|(648,183)|–|**634,487**|
||======================================|======================================|======================================|================|======================================|
||At|||Gains and|At|
||1 Sep 2023|Income|Expenditure|losses|31 Aug 2024|
||£|£|£|£|£|
|General funds|339,396|565,336|(713,041)|–|191,691|
|Revaluation reserve|–|–|–|509,903|509,903|
||--------------------------------------|--------------------------------------|--------------------------------------|--------------------------------------|--------------------------------------|
||339,396|565,336|(713,041)|509,903|701,594|
||======================================|======================================|======================================|======================================|======================================|



## **22. Analysis of net assets between funds** 

||Unrestricted|**Total Funds**|
|---|---|---|
||Funds|**2025**|
||£|**£**|
|Intangible assets|–|**–**|
|Tangible fixed assets|900,656|**900,656**|
|Current assets|466,977|**466,977**|
|Creditors less than 1 year|(531,390)|**(531,390)**|
|Creditors greater than 1 year|(201,756)|**(201,756)**|
||--------------------------------------|--------------------------------------|
|**Net assets**|634,487|**634,487**|
||======================================|======================================|
||Unrestricted|Total Funds|
||Funds|2024|
||£|£|
|Intangible assets|20,000|20,000|
|Tangible fixed assets|900,919|900,919|
|Current assets|84,484|84,484|
|Creditors less than 1 year|(91,211)|(91,211)|
|Creditors greater than 1 year|(212,598)|(212,598)|
||--------------------------------------|--------------------------------------|
|**Net assets**|701,594|701,594|
||======================================|======================================|



**24** 



## **Centre of Therapy & Counselling Studies** 

## **Company Limited by Guarantee** 

## **Notes to the Financial Statements** _**(continued)**_ 

## **Year ended 31st August 2025** 

## **23. Financial instruments** 

The carrying amount for each category of financial instrument is as follows: 

||**2025**|2024|
|---|---|---|
||**£**|£|
|**Financial assets measured at fair value through income and expenditure**|||
|Financial assets measured at fair value through income and|||
|expenditure|**1,367,633**|1,005,403|
||=================================================|=================================================|
|**Financial liabilities measured at fair value through income and**|**expenditure**||
|Financial liabilities measured at fair value through income and|||
|expenditure|**733,146**|303,809|
||======================================|======================================|



## **24. Analysis of changes in net debt** 

||At||**At**|
|---|---|---|---|
||1 Sep 2024|Cash flows|**31 Aug 2025**|
||£|£|**£**|
|Cash at bank and in hand|53,797|(37,063)|**16,734**|
|Debt due within one year|(13,600)|4,004|**(9,596)**|
|Debt due after one year|(212,598)|10,842|**(201,756)**|
||--------------------------------------|---------------------------------|--------------------------------------|
||(172,401)|(22,217)|**(194,618)**|
||======================================|=================================|======================================|



**25**