Charity registration number SC031917 (Scotland)
ROYAL BRITISH LEGION LERWICK BRANCH
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2025
ROYAL BRITISH LEGION LERWICK BRANCH
LEGAL AND ADMINISTRATIVE INFORMATION
| Trustees | J Best | |
|---|---|---|
| D Laverty | ||
| I Sandilands | ||
| L Duncan | ||
| I Cluness | ||
| I Gallacher | ||
| G Irvine | ||
| R Cluness | ||
| S Sales | ||
| D Robertson | ||
| Charity registration | 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 2025
The trustees present their annual report and financial statements for the year ended 31 October 2025.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the 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 2025 was £297,942 after allowing for funds tied up in tangible fixed assets of £267,365 funds were in surplus of £,30,577
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:
J Best
D Laverty I Sandilands L Duncan I Cluness I Gallacher G Irvine R Cluness S Sales D Robertson
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ROYAL BRITISH LEGION LERWICK BRANCH
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2025
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.
..............................
D Laverty
Trustee
Date: .............................................
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ROYAL BRITISH LEGION LERWICK BRANCH
INDEPENDENT EXAMINER'S REPORT
TO THE TRUSTEES OF ROYAL BRITISH LEGION LERWICK BRANCH
I report on the financial statements of the charity for the year ended 31 October 2025, which are set out on pages 4 to 12.
Respective responsibilities of trustees and examiner
The charity’s trustees are responsible for the preparation of the financial statements in accordance with the terms of the Charities and Trustee Investments (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006. The charity's trustees consider that the audit requirement of Regulation 10(1)(a) to (c) of the 2006 Accounts Regulations does not apply. It is my responsibility to examine the financial statements as required under section 44(1)(c) of the Act and to state whether particular matters have come to my attention.
Basis of independent examiner's statement
My examination is carried out in accordance with Regulation 11 of the Charities Accounts (Scotland) Regulations 2006. An examination includes a review of the accounting records kept by the charity and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently I do not express an audit opinion on the view given by the financial statements.
Independent examiner's statement
Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.
I understand that this has been done in order for the financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
In connection with my examination, no other matter except that referred to in the previous paragraph has come to my attention:
-
(a) which gives me reasonable cause to believe that in any material respect the requirements:
-
(i) to keep accounting records in accordance with section 44(1) (a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations; and
-
(ii) to prepare financial statements which accord with the accounting records and comply with Regulation 8 of the 2006 Accounts Regulations;
have not been met or
- (b) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the financial statements to be reached.
Martin R Watt FCCA Thyme Accounting & Tax Ltd 36 Angusfield Avenue Aberdeen AB15 6AQ
Dated: .........................
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ROYAL BRITISH LEGION LERWICK BRANCH
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 OCTOBER 2025
| Unrestricted Restricted funds funds 2025 2025 Notes £ £ Income and endowments from: Donations and legacies 3 1,500 - Charitable activities 4 16,090 - Other income 5 - - Total income 17,590 - Expenditure on: Charitable activities 6 34,868 1,210 Total expenditure 34,868 1,210 Net expenditure and movement in funds (17,278) (1,210) Reconciliation of funds: Fund balances at 1 November 2024 315,220 56,429 Fund balances at 31 October 2025 297,942 55,219 |
Total Unrestricted Restricted funds funds 2025 2024 2024 £ £ £ 1,500 1,366 - 16,090 23,283 - - 468 - 17,590 25,117 - 36,078 33,258 1,210 36,078 33,258 1,210 (18,488) (8,141) (1,210) 371,649 323,361 57,639 353,161 315,220 56,429 |
Total 2024 £ 1,366 23,283 468 25,117 34,468 34,468 (9,351) 381,000 371,649 |
|---|---|---|
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 2025
| Notes Fixed assets Tangible assets 11 Current assets Debtors 12 Cash at bank and in hand Creditors: amounts falling due within one year 13 Net current assets Total assets less current liabilities The funds of the charity Restricted income funds 14 Unrestricted funds 15 |
2025 £ 8,615 21,997 30,612 (35) |
£ 322,584 30,577 353,161 55,219 297,942 353,161 |
2024 £ 4,726 43,022 47,748 (858) |
£ 324,759 46,890 |
|---|---|---|---|---|
| 371,649 | ||||
| 56,429 315,220 |
||||
| 371,649 |
The financial statements were approved by the trustees on .........................
..............................
G Irvine Trustee
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ROYAL BRITISH LEGION LERWICK BRANCH
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2025
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 2025
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 2025
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 | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2025 | 2024 | |
| £ | £ | |
| Donations and gifts | 1,500 | 1,366 |
| Income from charitable activities | ||
| Unrestricted | Unrestricted | |
| funds | funds | |
| 2025 | 2024 | |
| £ | £ | |
| Subscriptions | 15,486 | 17,283 |
| Charitable rental income | - | 6,000 |
| Other income | 604 | - |
| 16,090 | 23,283 |
4 Income from charitable activities
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ROYAL BRITISH LEGION LERWICK BRANCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2025
| 5 | Other income | ||
|---|---|---|---|
| Unrestricted | Unrestricted | ||
| funds | funds | ||
| 2025 | 2024 | ||
| £ | £ | ||
| RBL Income | - | 468 | |
| 6 | Expenditure on charitable activities | ||
| 2025 | 2024 | ||
| £ | £ | ||
| Direct costs | |||
| Depreciation and impairment | 16,107 | 12,513 | |
| Welfare expenses | 6 | - | |
| Donations | 620 | 817 | |
| Travel & confernce fees | 371 | 468 | |
| Repairs | 2,698 | 7,415 | |
| Office costs | 264 | 158 | |
| RBS exepenses | 12,990 | 10,156 | |
| Sundry | 858 | 49 | |
| Entertainmnet expenses | 1,684 | 2,412 | |
| 35,598 | 33,988 | ||
| Share of support and governance costs (see note 7) | |||
| Governance | 480 | 480 | |
| 36,078 | 34,468 | ||
| Analysis by fund | |||
| Unrestricted funds | 34,868 | 33,258 | |
| Restricted funds | 1,210 | 1,210 | |
| 36,078 | 34,468 | ||
| 7 | Support costs allocated to activities | ||
| 2025 | 2024 | ||
| £ | £ | ||
| Governance costs | 480 | 480 |
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ROYAL BRITISH LEGION LERWICK BRANCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2025
8 Trustees
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
9 Employees
The average monthly number of employees during the year was:
| 2025 | 2024 | |
|---|---|---|
| Number | Number | |
| Total | - | - |
There were no employees whose annual remuneration was more than £60,000.
10 Taxation
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
11 Tangible fixed assets
| Freehold land and buildings Plant and equipment £ £ Cost At 1 November 2024 587,053 103,246 Additions - 13,930 At 31 October 2025 587,053 117,176 Depreciation and impairment At 1 November 2024 264,577 100,962 Depreciation charged in the year 11,741 4,365 At 31 October 2025 276,318 105,327 Carrying amount At 31 October 2025 310,735 11,849 At 31 October 2024 322,476 2,283 12 Debtors 2025 Amounts falling due within one year: £ Other debtors 8,615 |
Total £ 690,299 13,930 |
|---|---|
| 704,229 | |
| 365,539 16,106 |
|
| 381,645 | |
| 322,584 | |
| 324,759 | |
| 2024 £ 4,726 |
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ROYAL BRITISH LEGION LERWICK BRANCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2025
13 Creditors: amounts falling due within one year
| Creditors: amounts falling due within one year | ||
|---|---|---|
| Trade creditors Other creditors |
2025 £ 35 - 35 |
2024 £ 550 308 |
| 858 |
14 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 2024 Resources expended At 31 £ £ SIC Refurbishement Fund 56,429 (1,210) Previous year: At 1 November 2023 Resources expended At 31 £ £ SIC Refurbishement Fund 57,639 (1,210) |
October 2025 £ 55,219 |
|---|---|
| October 2024 £ 56,429 |
15 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 2024 Incoming resources Resources expended At 31 £ £ £ General funds 315,220 17,590 (34,868) Previous year: At 1 November 2023 Incoming resources Resources expended At 31 £ £ £ General funds 323,361 25,117 (33,258) |
October 2025 £ 297,942 |
|---|---|
| October 2024 £ 315,220 |
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ROYAL BRITISH LEGION LERWICK BRANCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2025
16 Analysis of net assets between funds
| Unrestricted Restricted funds funds 2025 2025 £ £ At 31 October 2025: Tangible assets 267,365 55,219 Current assets/(liabilities) 30,577 - 297,942 55,219 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 |
Total 2025 £ 322,584 30,577 |
|---|---|
| 353,161 | |
| Total 2024 £ 324,759 46,890 |
|
| 371,649 |
17 Related party transactions
There were no disclosable related party transactions during the year (2024 - none).
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