Charity registration number SC031917 (Scotland)
ROYAL BRITISH LEGION LERWICK BRANCH
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2024
ROYAL BRITISH LEGION LERWICK BRANCH
LEGAL AND ADMINISTRATIVE INFORMATION
Trustees
(Appointed 1 November 2023) (Appointed 1 November 2023)
Charity number (Scotland) SC031917
Principal address 72 Commercial Road Lerwick Shetland Scotland ZE1 0NL
Independent examiner Thyme Accounting & Tax Ltd 36 Angusfield Avenue Aberdeen AB15 6AQ
ROYAL BRITISH LEGION LERWICK BRANCH
CONTENTS
| Page | |
|---|---|
| Trustees' report | 1 - 2 |
| Independent examiner's report | 3 |
| Statement of financial activities | 4 |
| Balance sheet | 5 |
| Notes to the financial statements | 6 - 12 |
ROYAL BRITISH LEGION LERWICK BRANCH
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 OCTOBER 2024
The trustees present their annual report and financial statements for the year ended 31 October 2024.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019).
Objectives and activities
To bring about co-operation between ex-service men and women, and to establish branches of The Legion.
To perpetuate the memory of those who died in the service of their country
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
Achievements and performance
Our club continues to go from strength to strength with memberships ay an all-time high for us. We now have 700 members with about 100 new members joining us this year and lots of lapsed members returning. One of the reasons for new members is a change to the clubs licence which now allows children to access Games Bar and Function room old licence was not fit for purpose anymore
Financial review
It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
The balance held as unrestricted funds at 31 October 2024 was £312,220 after allowing for funds tied up in tangible fixed assets of £268,330 fund are in surplus by £46,890 Actual 3 month cash payments totalled £5,489.
Structure, governance and management
The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.
The trustees who served during the year and up to the date of signature of the financial statements were:
(Resigned 1 November 2023)
(Resigned 1 November 2023)
(Appointed 1 November 2023) (Appointed 1 November 2023)
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ROYAL BRITISH LEGION LERWICK BRANCH
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
Bankers
Bank of Scotland 117 Commercial Street Lerwick Shetland ZE1 0FD
THE HEADQUARTERS OF THE LEGION SHALL BE IN EDINBURGH Royal British Legion Scotland - Lerwick Branch Commercial Road Lerwick Shetland ZE1 0NL
The trustees' report was approved by the Board of Trustees.
20 March 2025
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ROYAL BRITISH LEGION LERWICK BRANCH INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF ROYAL BRITISH LEGION LERWICK BRANCH I repon on the financial statemenis of ihe charity for ihe year ended 31 October 2024. which are sei out on pages 4 to 12. Re5pertlve responslbllltles of trustees and examlner The charity's trustees are responsible for the preparation of the financial statements in accordance with the terms of the Charities and Trustee Investments (Scotlandl Act 2005 and the Charities Accounts (Scotlandl Regulations 2006. The charity's trustees consider that the audit requirement ol Regulation Iollllal to Icl of the 2(K)6 Accounts Regulations does not applv. It is my responsibility to examine the financial statements as required under section 44llllcl ol the Act and to state whether particular matters have come to my attention. Bosls of Ind•pènd•nt examlnérfs statement My examination 15 tAriied out in accordance with Regulation 11 of the Charitie5 Accounts (Scotlandl Re8ulations 2006. An examination include5 a review ol the accountln8 record5 kept by the charity and a comparison ol the financial statements presented with those records. It a150 includes consideration ol any unusual items or disc105ufes in the financi31 statement5, and 5eekin8 eKplanation5 from the tru5tee5 concerning any such mattef5. The procedure5 undertaken do not provide 311 the evidence that would be required in an audit and consequeThtly I do not expres5 an audit opinion on the view given by the financial 5taternents. Independent emamlner's statement Your attention is drawn io ihe faci thar the chariiv has prepared financial siaiemenis in accordance with Accouniin8 and reporting by Charities preparing their èccounis in accordance with the Financial Reportin8 Standard applicable in the UK and Republic ol Ireland IFRS 1021 in preference to ihe Accouniin8 and Reporrin8 by Chariiies.. siaiement of Recommènded Practice issued on l April 25 which is referred io in the ean1 re8ulaiions but has now been withdrawn. l understand rhat ihis has been done in order for the financial siatemenis to provide a true and lair view in accordance with enerally Accepted Accountin8 Praaice effective for reportin8 periods be8innin8 on or after l January 2015. In connèciion wlih my examinaiSon, no othèr matter excepi ihai rèfèrred to In thè preouS paiagraph has come to mv attention.. lal which 8ives me reasonable cause to believe that in any material respect the requirements.. to keep accountin8 records in accordance with section 4411) lal of the 2(X)5 Act and Re8ulation 4 of the 2006 Account5 Re8ulation5,' and lill to prepare financial siaiements which accord with the accounting records and comply with Regulation 8 of the 2(MJ6 Accounts ReBulaiions,' have not been met or Ibl io whiih, in my opinion, attention should be drawn in order to enable a propel undèrstandin8 of thè financial I hyme AccoUting & lax Ltd 36 Angusfield Avenue Aberdeen AB156AQ Dated.. 20 March 2025
ROYAL BRITISH LEGION LERWICK BRANCH
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 OCTOBER 2024
| Unrestricted Restricted funds funds 2024 2024 Notes £ £ Income and endowments from: Donations and legacies 3 1,366 - Charitable activities 4 23,283 - Other income 5 468 - Total income 25,117 - Expenditure on: Charitable activities 6 33,258 1,210 Total expenditure 33,258 1,210 Net income/(expenditure) (8,141) (1,210) Transfers between funds - - Net movement in funds 8 (8,141) (1,210) Reconciliation of funds: Fund balances at 1 November 2023 323,361 57,639 Fund balances at 31 October 2024 315,220 56,429 |
Total Unrestricted Restricted funds funds 2024 2023 2023 £ £ £ 1,366 9,805 6,661 23,283 15,572 - 468 793 - 25,117 26,170 6,661 34,468 25,216 1,210 34,468 25,216 1,210 (9,351) 954 5,451 - 6,661 (6,661) (9,351) 7,615 (1,210) 381,000 315,746 58,849 371,649 323,361 57,639 |
Total 2023 £ 16,466 15,572 793 |
|---|---|---|
| 32,831 26,426 |
||
| 26,426 | ||
| 6,405 - |
||
| 6,405 374,595 |
||
| 381,000 |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
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ROYAL BRITISH LEGION LERWICK BRANCH
BALANCE SHEET
AS AT 31 OCTOBER 2024
| Notes Fixed assets Tangible assets 12 Current assets Debtors 13 Cash at bank and in hand Creditors: amounts falling due within one year 14 Net current assets Total assets less current liabilities The funds of the charity Restricted income funds 15 Unrestricted funds 16 |
2024 £ 4,726 43,022 47,748 (858) |
£ 324,759 46,890 371,649 56,429 315,220 371,649 |
2023 £ 4,177 40,332 44,509 (337) |
£ 336,828 44,172 |
|---|---|---|---|---|
| 381,000 | ||||
| 57,639 323,361 |
||||
| 381,000 |
The financial statements were approved by the trustees on 20 March 2025
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ROYAL BRITISH LEGION LERWICK BRANCH
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2024
1 Accounting policies
Charity information
Royal British Legion Lerwick Branch is a unincorporated charity
.
1.1 Accounting convention
The financial statements have been prepared in accordance with the charity's governing document, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.
The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.
1.2 Going concern
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
1.4 Income
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
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ROYAL BRITISH LEGION LERWICK BRANCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
1 Accounting policies
(Continued)
1.5 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.
Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
1.6 Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold land and buildings at varying rates on cost Plant and equipment at varying rates on cost
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
1.7 Impairment of fixed assets
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
1.8 Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.9 Financial instruments
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
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ROYAL BRITISH LEGION LERWICK BRANCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2024
1 Accounting policies
(Continued)
1.10 Employee benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
2 Critical accounting estimates and judgements
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3 Income from donations and legacies
| Unrestricted Restricted funds funds 2024 2024 £ £ Donations and gifts 1,366 - Grants - - 1,366 - |
Total Unrestricted Restricted funds funds 2024 2023 2023 £ £ £ 1,366 9,805 - - - 6,661 1,366 9,805 6,661 |
Total 2023 £ 9,805 6,661 |
|---|---|---|
| 16,466 |
4 Income from charitable activities
| Unrestricted | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2024 | 2023 | |
| £ | £ | |
| Subscriptions | 17,283 | 9,560 |
| Key fob | - | 412 |
| Charitable rental income | 6,000 | 5,600 |
| 23,283 | 15,572 |
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ROYAL BRITISH LEGION LERWICK BRANCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
5 Other income
| Unrestricted | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2024 | 2023 | |
| £ | £ | |
| RBL Income | 468 | 793 |
| Expenditure on charitable activities | ||
| 2024 | 2023 | |
| £ | £ | |
| Direct costs | ||
| Depreciation and impairment | 12,513 | 12,387 |
| Donations | 817 | 720 |
| Travel & confernce fees | 468 | 1,134 |
| Repairs | 7,415 | 9,090 |
| Office costs | 158 | 301 |
| RBS exepenses | 10,156 | 1,304 |
| Sundry | 49 | - |
| Entertainmnet expenses | 2,412 | 1,154 |
| 33,988 | 26,090 | |
| Share of support and governance costs (see note 7) | ||
| Governance | 480 | 336 |
| 34,468 | 26,426 | |
| Analysis by fund | ||
| Unrestricted funds | 33,258 | 25,216 |
| Restricted funds | 1,210 | 1,210 |
| 34,468 | 26,426 | |
| Support costs allocated to activities | ||
| 2024 | 2023 | |
| £ | £ | |
| Governance costs | 480 | 336 |
6 Expenditure on charitable activities
7 Support costs allocated to activities
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ROYAL BRITISH LEGION LERWICK BRANCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
| 8 | Net movement in funds | 2024 | 2023 |
|---|---|---|---|
| £ | £ | ||
| The net movement in funds is stated after charging/(crediting): | |||
| Fees payable for the independent examination of the charity's financial statements | - | - | |
| Depreciation of owned tangible fixed assets | 12,513 | 12,387 |
9 Trustees
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
10 Employees
The average monthly number of employees during the year was:
| 2024 | 2023 | |
|---|---|---|
| Number | Number | |
| Total | - | - |
There were no employees whose annual remuneration was more than £60,000.
11 Taxation
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
12 Tangible fixed assets
| Freehold land and buildings Plant and equipment £ £ Cost At 1 November 2023 587,053 102,802 Additions - 444 At 31 October 2024 587,053 103,246 Depreciation and impairment At 1 November 2023 252,836 100,191 Depreciation charged in the year 11,741 772 At 31 October 2024 264,577 100,963 Carrying amount At 31 October 2024 322,476 2,283 At 31 October 2023 334,217 2,611 |
Total £ 689,855 444 |
|---|---|
| 690,299 | |
| 353,027 12,513 |
|
| 365,540 | |
| 324,759 | |
| 336,828 |
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ROYAL BRITISH LEGION LERWICK BRANCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
| 13 Debtors Amounts falling due within one year: Other debtors 14 Creditors: amounts falling due within one year Trade creditors Other creditors |
2024 £ 4,726 2024 £ 550 308 858 |
2023 £ 4,177 |
|---|---|---|
| 2023 £ 337 - |
||
| 337 |
15 Restricted funds
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
| At 1 November | Incoming | Resources | Transfers | At 31 October | |
|---|---|---|---|---|---|
| 2023 | resources | expended | 2024 | ||
| £ | £ | £ | £ | £ | |
| SIC Refurbishement Fund | 57,639 | - | (1,210) | - | 56,429 |
| Previous year: | At 1 November | Incoming | Resources | Transfers | At 31 October |
| 2022 | resources | expended | 2023 | ||
| £ | £ | £ | £ | £ | |
| - | 6,661 | - | (6,661) | - | |
| SIC Refurbishement Fund | 58,849 | - | (1,210) | - | 57,639 |
| 58,849 | 6,661 | (1,210) | (6,661) | 57,639 |
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ROYAL BRITISH LEGION LERWICK BRANCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2024
16 Unrestricted funds
The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.
| At 1 November 2023 Incoming resources Resources expended Transfers At 31 £ £ £ £ General funds 323,361 25,117 (33,258) - Previous year: At 1 November 2022 Incoming resources Resources expended Transfers At 31 £ £ £ £ General funds 315,746 26,170 (25,216) 6,661 Analysis of net assets between funds Unrestricted Restricted funds funds 2024 2024 £ £ At 31 October 2024: Tangible assets 268,330 56,429 Current assets/(liabilities) 46,890 - 315,220 56,429 Unrestricted Restricted funds funds 2023 2023 £ £ At 31 October 2023: Tangible assets 279,188 57,640 Current assets/(liabilities) 44,172 - 323,360 57,640 |
October 2024 £ 315,220 |
|---|---|
| October 2023 £ 323,361 |
|
| Total 2024 £ 324,759 46,890 |
|
| 371,649 | |
| Total 2023 £ 336,828 44,172 |
|
| 381,000 |
17 Analysis of net assets between funds
18 Related party transactions
There were no disclosable related party transactions during the year (2023 - none).
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