## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

**Annual Report and Accounts for the year ended 31 March 2025** 

**AUDITED** 



## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

## **Annual Report and Accounts for the year ended 31 March 2025** 

|**Contents**|**Page**|
|---|---|
|Trustees' Annual Report|1 - 4|
|Independent Auditor’s Report|5 - 7|
|Statement of Financial Activities|8|
|Balance Sheet|9|
|Statement of Cash Flows|10|
|Notes to the Financial Statements|11 - 15|





## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

## **TRUSTEES' ANNUAL REPORT** 

For the Year ended 31 March 2025 

## **Reference and administrative information** 

## **Introduction** 

Perth and Kinross Council ("the Council") acts as administrator for a large number of trusts and funds that have charitable status and are registered with the Office of the Scottish Charity Regulator (OSCR), as detailed in Note 14. 

The Council administers these funds, but their assets are not available to the Council and have not been included in the Council's own balance sheet. 

The ex officio Trustees of the Perth and Kinross Council Charitable Funds are the Convenor and Vice Convenors of the Finance and Resources Committee, the leader of the largest Opposition Group, and the Chief Finance Officer. The Senior Manager for Archives, Local and Family History and employed by Culture Perth and Kinross, is an additional Trustee for the Fothergill Bequest only. 

## **Charity trustees:** 

## **Registered office:** 


2 High Street Perth PH1 5PH 

## **Investment manager:** 

Brooks Macdonald Hobart House 80 Hanover Street Edinburgh EH2 1EL 

## **Auditor:** 

Audit Scotland 4[th ] Floor, 102 West Port, Edinburgh EH3 9DN 

1 



## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

## **TRUSTEES' ANNUAL REPORT** 

For the Year ended 31 March 2025 

## **Structure, governance and management** 

The trusts and funds that the Council administers are constituted in a variety of different ways. Full details of how each trust and fund was originally established are, where known, available from the Council. 

These trusts and funds are managed by a Committee comprising the charity trustees listed on page 1, who served throughout the period covered by these financial statements. The Trustees meet and communicate electronically on a regular basis to discuss how the funds should be expended (by reviewing applications for funding) and to review the financial position of each charity. 

These accounts are prepared under the connected charities provision which allows for registered charities which have a common or related purpose, or have a common controlling body or administration, to prepare a single set of accounts. 

## **Statement of trustees' responsibilities** 

The trustees 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). 

The law applicable to charities in Scotland requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity 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 of the Charities Statement of Recommended Practice 

- make judgments and estimates that are reasonable and prudent 

- state whether applicable 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 proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable funds and enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, Charities Accounts (Scotland) Regulations 2006 (as amended) and the provisions of each charity’s constitution. They are also responsible for safeguarding the assets of the charities and trusts and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 

## **Objectives and activities** 

The majority of the funds are held within the Welfare Trust (SC040516) for the purpose of the prevention or relief of poverty and the relief of those in need by reason of ill health, disability, financial hardship or other disadvantage. A full listing of the other funds administered by the Council on behalf of the charity trustees is shown in Note 14 and the purpose of each trust is provided on the Office of the Scottish Charity Regulator (OSCR) website. 

2 



## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

## **TRUSTEES' ANNUAL REPORT** 

For the Year ended 31 March 2025 

## **Risk management** 

The Management Committee has implemented systems and procedures to identify and mitigate the major risks that the charities and trusts face and to ensure a consistent quality of delivery for all operational aspects of the charitable funds. 

## **Achievements and performance** 

The reorganisation of the Perth and Kinross Council Charitable Funds continued during 2024/25 and J&H Mitchell WS assisted with the review of several small Trusts. Several Trusts had been identified, where no original trust deed could be found following extensive searches, and/or the purposes of the Trusts could no longer be fulfilled. This resulted in a total of £84,991 of these previously inactive Public Trusts being transferred to the Welfare Trust during the year. During the year, the Trust Deeds for the Clow Bequest and the Den O’Alyth Fund were updated, and these funds are now included in the Balance Sheet as Restricted Income Funds. In addition, a further and final distribution of £93,530 was received from the executors of the Fothergill Bequest on conclusion of dealing with the estate of The Late Miss Rhoda Agnes Fothergill. 

Detailed below are the other activities undertaken by the Perth and Kinross Charitable Funds during Financial Year 2024/25. 

- The following grants were paid from the Welfare Trust: - 

   - £111,340 to support 458 residents/families who were in financial need with dependent children and/or disabilities. The value of financial assistance payments ranged from £22 to £615 with an average grant award of £235. In comparison, £28,562 was awarded to 122 residents/families in 2023/24, with an average grant award of £234. 

   - £1,634 for the purchase of football kit for the Friendly Welcome League to provide for current and future asylum seekers. In 2023/24, £120 was awarded to 3 local residents for coal. 

## **Financial review** 

There is no explicit reserves policy for Perth and Kinross Council Charitable Funds (the Charitable Funds), however as a general principle the "Capital" of the funds is held as a permanent endowment with only the annual income from investments available for disbursement in the year. The exceptions to this relates to the Kinnoull Hill Endowment Fund, the St. Magdalene’s Hill Endowment Fund, the Clow Bequest and the Den O’Alyth Fund; whereby the Trust Deeds for these Funds were updated and these Funds are now included in the Balance Sheet as Restricted Income Funds. 

The main funding source for the Charitable Funds is income from the investments managed by an investment manager. In addition, one trust receives income from the rental of shop premises in Perth and interest is received on the revenue balances held on deposit with the Perth and Kinross Council Loans Fund. Funds are also received from donations and legacies, from time to time. The majority of funds, the exceptions being the Kinnoull Hill Endowment Fund, the St. Magdalene’s Hill Endowment Fund, the Clow Bequest and the Den O’Alyth Fund, are presently treated as endowment funds due to custom and practice over a long period of time and to ensure the long term sustainability of the funds. The Perth and Kinross Welfare Trust does provide the Trustees with powers to access capital balances if required, however, the Trust continues to be managed as an endowment fund. 

3 



PERTH AND KINROSS COUNCIL CHARITABLE FUNDS
TRUSTEES. ANNUAL REPORT
For the Year ended 31 March 2025
Financial review (continued)
The contract for the management of the investment portfolio was renewed and awarded to Brooks
Macdonald for a fijrther three years with effect from 1 November 2023. The contract includes the
option to extend the arrangement for a further tsvelve months from 1 November 2026.
The fund managed by the investrnent manager is invested for total retum through a diversified
portfolio of UK and overseas equtties and bonds. The portfolio is managed as medium risk with a
focus on income to achieve Ihe required retum.
This approach is appropriate for seeking a retum in excess of infiation over the long tem and the
Trustees are willing to take capital risk to achieve objectives. Portfolios are well diversified but may
contain a high allocation to a single asset class, such as equities. The investrnent manager provides
the Trustees with quarterly updates on the perfonnance of the portfolio: and provides an annual report
at a meets'ng of the Trustees following the financial year end.
In addrtion, the investment manager conducts an annual review to ensure that the investment
mandate remains suitable and in line wth the longer-tenn objectives of the Trustees. The investrnent
manager completed a portfolio suitabilty assessment at the meetj'ng of the Trustees on 26 March
2025 and there was no change to the investrnent objectives and risk wofile.
The investment portfolio made a gain for the year of £6.878 (gain of £139.923 in 2023124). The
income generated from investrnents. including interest on balances. is £82.941 (£83,222 in 2023124}.
Strateglc plans
The strategic plans to date have predominantly focussed upon the reorganisation of the trusts to
make best use of the funds and further the charttable activities of Perth and Kinross Welfare Trust. As
result of this 16 dormant and inactive trusts were reorganised and transfeThed to the Welfare Fund
during 2024125, thereby unlocking the balances and making them available to be applied in a rnanner
closely aligned with their original
ur
oses. 'Nhere known. The reorganisation process will continue
during Financial Year 2025126.
is engaged to pursue this task on behalf of the
Trustees, and the Trust Deed for
cation is in course of being updated.
raser
The administration of grants continues to be managed by the Welfare Rights Team within the Council,
and this has provided opportunty to award funding to individuals and families most in need of
financial assistance. Ad hoc requests for funding from charitable bodies operating within the Council
area will be considered by the Trustees, subject lo the available funding.
The longer-tenn consequences arising from ongoing worl(kwide events a￿ largely unknown and it is
anticipated that financial markets will respond accordingly. However, it is anticipated that the income
generated from the investment portfolio will remain largely in line with 2024125 and the beneficiaries of
the Fund during Financial Year 2025126 will continue to be the clients of the welfa￿ Rights Team.
04 December 2025
Trustee
Signed by one on behalf of all charity trustees

## **Independent auditor’s report to the trustees of Perth and Kinross Council Charitable Funds and the Accounts Commission** 

## **Reporting on the audit of the financial statements** 

## **Opinion on financial statements** 

I certify that I have audited the financial statements in the Annual Report and accounts of Perth and Kinross Charitable Funds for the year ended 31 March 2025 under Part VII of the Local Government (Scotland) Act 1973 and section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005. The financial statements comprise the Statement of Financial Activities, Balance Sheet, Statement of Cash Flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and the United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). 

In my opinion the accompanying financial statements: 

- give a true and fair view of the state of affairs of the charities as at 31 March 2025 and of their incoming resources and application of resources for the year then ended; 

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

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

## **Basis for opinion** 

I conducted my audit in accordance with applicable law and International Standards on Auditing (UK) (ISAs (UK)), as required by the Code of Audit Practice approved by the Accounts Commission for Scotland. My responsibilities under those standards are further described in the auditor’s responsibilities for the audit of the financial statements section of my report. I am independent of the charities in accordance with the ethical requirements that are relevant to my audit of the financial statements in the UK including the Financial Reporting Council’s Ethical Standard, and I have fulfilled my other ethical responsibilities in accordance with these requirements. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion. 

## **Conclusions relating to going concern basis of accounting** 

I have concluded that the use of the going concern basis of accounting in the preparation of the financial statements is appropriate. 

Based on the work I have performed, I have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charities' ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from when the financial statements are authorised for issue. 

## **Responsibilities of the trustees for the financial statements** 

As explained more fully in the Statement of trustees’ responsibilities, the trustees are responsible for the preparation of financial statements that give a true and fair view in accordance with the financial reporting framework, and for such internal control as the trustees determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. 

5 



In preparing the financial statements, the trustees are responsible for assessing the charities' 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 intend to discontinue the charities' operations, or have no realistic alternative but to do so. 

## **Auditor’s responsibilities for the audit of the financial statements** 

My 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 my 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. I design procedures in line with my responsibilities outlined above to detect material misstatements in respect of irregularities, including fraud. Procedures include: 

- using my understanding of the local government sector and charity sector to identify that the Local Government (Scotland) Act 1973, the Charities and Trustee Investment (Scotland) Act 2005, and The Charities Accounts (Scotland) Regulations 2006 are significant in the context of the charities; 

- inquiring of the trustees as to other laws or regulations that may be expected to have a fundamental effect on the operations of the charities; 

- inquiring of the trustees concerning the charities’ policies and procedures regarding compliance with the applicable legal and regulatory framework; 

- discussions among my audit team on the susceptibility of the financial statements to material misstatement, including how fraud might occur; and 

- considering whether the audit team collectively has the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations. 

The extent to which my procedures are capable of detecting irregularities, including fraud, is affected by the inherent difficulty in detecting irregularities, the effectiveness of the charities’ controls, and the nature, timing and extent of the audit procedures performed. 

Irregularities that result from fraud are inherently more difficult to detect than irregularities that result from error as fraud may involve collusion, intentional omissions, misrepresentations, or the override of internal control. The capability of the audit to detect fraud and other irregularities depends on factors such as the skilfulness of the perpetrator, the frequency and extent of manipulation, the degree of collusion involved, the relative size of individual amounts manipulated, and the seniority of those individuals involved. 

A further description of the auditor’s responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website www.frc.org.uk/auditorsresponsibilities. This description forms part of my auditor’s report. 

## **Reporting on other requirements** 

## **Other information** 

The trustees are responsible for the other information in the statement of accounts. The other information comprises the Trustees’ Annual Report. 

6 



My responsibility is to read all the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or my knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If I identify such material inconsistencies or apparent material misstatements, I am required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work I have performed, I conclude that there is a material misstatement of this other information, I am required to report that fact. I have nothing to report in this regard. 

My opinion on the financial statements does not cover the other information and I do not express any form of assurance conclusion thereon except on the Trustees’ Annual Report to the extent explicitly stated in the following opinion prescribed by the Accounts Commission. 

## **Opinions prescribed by the Accounts Commission on the trustees’ Annual Report** 

In my opinion, based on the work undertaken in the course of the audit, the information given in the Trustees' Annual Report for the financial year for which the financial statements are prepared is consistent with the financial statements and that report has been prepared in accordance with the Charities SORP (FRS 102). 

## **Matters on which I am required to report by exception** 

I am required by The Charity Accounts (Scotland) Regulations 2006 to report to you if, in my opinion: 

- proper accounting records have not been kept; or 

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

- I have not received all the information and explanations I require for my audit. 

I have nothing to report in respect of these matters. 

## **Use of my report** 

This report is made solely to the parties to whom it is addressed in accordance with Part VII of the Local Government (Scotland) Act 1973 and for no other purpose. In accordance with paragraph 108 of the Code of Audit Practice, I do not undertake to have responsibilities to members or officers, in their individual capacities, or to third parties. 


Senior Audit Manager Audit Scotland 4th Floor The Athenaeum Building 8 Nelson Mandela Place Glasgow G2 1BT 

05 December 2025 

Audit Scotland is eligible to act as an auditor in terms of Part VII of the Local Government (Scotland) Act 1973. 

7 



## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

## **Statement of Financial Activities for the year ending 31 March 2025** 

|**Notes**<br>**Income and endowments from:**<br>Donations and Legacies<br>3<br>Investments<br>4<br>**Total Income**<br>**Expenditure:**<br>Expenditure on raising funds<br>Investment management costs<br>Expenditure on charitable activities<br>Charitable activities<br>5<br>Governance and support costs<br>6<br>Other expenditure<br>Reorganisations to external<br>charities<br>**Total Expenditure**<br>Net gains/(losses) on investments<br>8<br>**Net income/(expenditure)**<br>**Reconciliation of funds:**<br>Total funds brought forward<br>Transfer to/(from)<br>**Total funds carried forward**<br>12|**Restricted**<br>**Funds**<br>**£**<br>**Endowment**<br>**Funds**<br>**£**<br>**0**<br>**181,022**<br>**1,498**<br>**90,723**<br>**1,498**<br>**271,745**<br>**214**<br>**11,661**<br>**0**<br>**112,973**<br>**415**<br>**9,411**<br>**0**<br>**0**<br> <br> <br>**629**<br>**134,045**<br>**124**<br>**6,754**<br>**993**<br>**144,454**<br>**29,506**<br>**2,406,204**<br>**16,019**<br>**(16,019)**<br>**46,518**<br>**2,534,638**|**Total Funds**<br>**£**<br>**181,022**<br>**92,221**<br>**273,243**<br>**11,875**<br>**112,973**<br>**9,826**<br>**0**<br> <br>**134,674**<br>**6,878**<br>**145,447**<br>**2,435,710**<br>**0**<br>**2,581,156**|**Prior Period**<br>**Total Funds**<br>**2024**<br>**£**<br>0<br>92,502|
|---|---|---|---|
||||92,502<br>11,323<br>28,682<br>10,156<br>0<br>|
||||50,161<br>139,923|
||||182,264|
||||<br>2,253,446<br>0|
||||2,435,710|



8 



## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

## **Balance Sheet as at 31 March 2025** 

|||**Total Funds**|**Prior year funds**|
|---|---|---|---|
||**Notes**|**31 March 2025**|**31 March 2024**|
|||**£**|£|
|**Fixed assets:**||||
|Investments|7 & 8|**2,260,635**|2,265,632|
|Total fixed assets||**2,260,635**|2,265,632|
|**Current assets:**||||
|Debtors|9|**5,249**|3,663|
|Cash at bank and in hand|10|**323,368**|174,361|
|Total current assets||**328,617**|178,024|
|**Liabilities:**||||
|Creditors: Amounts falling due within one year|11|**8,096**|7,946|
|Total current liabilities||**8,096**|7,946|
|Net current assets||**320,521**|170,078|
|Total assets less current liabilities||**2,581,156**|2,435,710|
|**Total net assets**||**2,581,156**|2,435,710|
|**The funds of the charity:**||||
|Endowment funds|12|**2,534,640**|2,406,204|
|Restricted income funds|12|**46,516**|29,506|
|**Total charity funds**||**2,581,156**|2,435,710|



The unaudited financial statements were issued on 25 June 2025 and the audited financial statements were authorised for issue on04 December 2025 


**Trustee** 04 December 2025 

9 



## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

## **Statement of Cash Flows for year ending 31 March 2025** 

||**Total Funds**|**Prior year funds**|
|---|---|---|
||**31 March 2025**|**31 March 2024**|
||**£**|£|
|**Cash flows from operating activities:**|||
|Net cash used in operating activities|**56,786**|(49,236)|
||**56,786**|(49,236)|
|**Cash flows from investing activities**|||
|Dividends, interest and rents from investments|**92,221**|92,502|
|**Net cash provided by investing activities**|**92,221**|92,502|
|**Change in cash and cash equivalents in the reporting period**|**149,007**|43,266|
|Cash and cash equivalents at the beginning of the reporting period|**174,361**|131,095|
|**Cash and cash equivalents at the end of the reporting period**|**323,368**|174,361|



## **Reconciliation of net expenditure to net cash flow used in operating activities:-** 

||**Total Funds**|**Prior year funds**|
|---|---|---|
||**31 March 2025**|**31 March 2024**|
||**£**|£|
|Net income/(expenditure) for the reporting period (as per the statement of|||
|financial activities)|**145,447**|182,264|
|Adjustments for:-|||
|(Gains)/Losses on investments|**(6,878)**|(139,923)|
|Management Fees|**11,875**|11,323|
|Dividends, interest and rents from investments|**(92,222)**|(92,502)|
|(Increase)/decrease in debtors|**(1,586)**|(1,128)|
|Increase/(decrease) in creditors|**150**|(9,270)|
|**Net cash used in operating activities**|**56,786**|(49,236)|
|**Analysis of cash and cash equivalents:-**|||
||**Total Funds**|**Prior year funds**|
||**31 March 2025**|**31 March 2024**|
||**£**|£|
|**Cash in hand**|**323,368**|174,361|



10 



## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

## **Notes forming part of the financial statements for the year ended 31 March 2025** 

## **1 Basis of preparation** 

These financial statements are prepared under the historical cost convention as modified by the inclusion of investments at market value and in accordance with the Charities Accounts (Scotland) Regulations 2006 (as amended) and the principles of 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 United Kingdom and Republic of Ireland (FRS 102), commonly referred to as the Charities SORP. 

In line with Regulation 7 of the 2006 Regulations, these financial statements have been prepared on the basis that the Trust funds for which the Trustees act are connected charities. As such, the accounts of the individual charities have been prepared on a collective basis. These financial statements contain all the relevant information that the individual charity accounts would have contained if they had been prepared on an individual basis. 

## **2 Principal accounting policies** 

## **(a) Going Concern** 

In accordance with the Code of Practice on Local Authority Accounting in the United Kingdom, the financial statements shall be prepared on a going concern basis; that is, the accounts should be prepared on the assumption that the functions of the Charities will continue for at least twelve months from the date of approval of the financial statements. The Trustees are responsible for making an annual assessment of whether it is appropriate to prepare the accounts on a going concern basis. The Trustees have put in place measures to ensure the continuing strong financial management of its activities which demonstrates its ability to continue as a going concern. It has therefore been determined that it remains appropriate to prepare the financial statements on a going concern basis, with no reason to suggest that future activities will not continue. 

## **(b) Incoming resources** 

All income is accounted for in the period in which the receipt due to the charitable trusts is notified, is probable and the amount can be measured reliably. 

## **(c) Donations and Legacies** 

Cash donations are recognised on receipt. Other donations are recognised once the Trust 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. 

Legacies are recognised on receipt or otherwise if the Trust has been notified of an impending distribution from an estate, the amount is known or can be reliably measured, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset. Legacy income is measured at fair value, generally the cash amount receivable and may be discounted if deferred for more than 12 months. 

## **(d) Resources expended** 

Expenditure and liabilities are recognised as soon as there is a legal or constructive obligation committing the charitable funds to pay out resources. 

Costs of raising funds comprise those costs directly attributable to managing the investment portfolio and raising the investment income. 

## **(e) Investments** 

Investments are included at market value at the balance sheet date. Any gain or loss on revaluation is taken to the Statement of Financial Activities. 

11 



## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

## **Notes (continued)** 

## **(f) Investment Property** 

Investment property is measured initially at cost and subsequently at fair value, being the price that would be received to sell such an asset in an orderly transaction between market participants at the measurement date. Investment properties are not depreciated and are instead revalued annually according to market conditions at year-end. 

## **(g) Accounting Estimates and Judgements** 

In preparing these accounts, the Trustees have to make judgements and estimates that are reasonable and prudent. In applying the accounting policies, the Trustees may have to make certain judgements about complex transactions or those involving uncertainty about future events. There were no critical judgements made in preparing the Statement of Accounts. 

However, the fair market value of the investment property is measured annually, and assessed at each reporting date. The valuation is carried out by Perth & Kinross Council’s surveyors, in accordance with the methodologies and bases for estimation set out in the professional standards of the Royal Institution of Chartered Surveyors. This includes consideration of all relevant up-todate market information and comparison to other similar types of property. The valuation has been used to inform the measurement of the investment property in the financial statements. The valuers have continued to exercise professional judgement in preparing the valuation and is, therefore, the best information available as at 31 March 2025 and can be relied upon. 

## **(h) Cash at bank and in hand** 

Cash at bank and in hand is held to meet short-term cash commitments as they fall due rather than for investment purposes. Perth and Kinross Council manages the funds on behalf of the trusts; the deposits are therefore held within the Council's Loans Fund and the trusts do not hold separate bank accounts. 

## **(i) Charitable funds** 

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes. 

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

Endowment and Income Restricted funds are subject to specific conditions by donors 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. Transfers from unrestricted funds are made to meet any shortfalls in restricted projects. 

## **3 Donations and Legacies** 

|Fothergill - Bequest<br>Welfare Trust - Non-Charitable Trust Reorganisation<br>Welfare Trust - Donation<br>**3**<br>**Investment Income**<br>Rental Income<br>Dividends and interest on listed investments|**2025**<br>**£**<br>**93,531**<br>**84,991**<br>**2,500**<br>**181,022**<br>**2025**<br>**£**<br>**9,280**<br>**82,941**<br>**92,221**|2024<br>£<br>0<br>0<br>0<br>0<br>2024<br>£<br>9,280<br>83,222<br>92,502|
|---|---|---|



12 



## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

## **Notes (continued)** 

## **4 Charitable activities** 

Information on the £112,973 (2023/24 £28,682) grants awarded to claimants is included in the Trustees' Annual Report on page 3 under "Achievements and performance". 

## **5 Governance and Support costs** 

No trustee received any remuneration or expenses during either of the two years ending 31 March 2025. There are no employees of the Perth and Kinross Council Charitable Funds. 

|Audit Fees<br>Legal Fees<br>Finance & Admin Support Costs|**2025**<br>**£**<br>**6,550**<br>**813**<br>**2,463**<br>**9,826**|2024<br>£<br>6,400<br>2,060<br>1,696<br>**10,156**|
|---|---|---|



## **6 Investment Properties** 

The Fraser Mortification Trust owns a property at 17 High Street, Perth. This was revalued by Mearns McCaskie MRICS, Estates Surveyor, on an open market basis as at 31 August 2024. There were no factors arising that affected its valuation between this date and 31 March 2025. 

|Balance at start of year<br>Balance at end of year<br>**7**<br>**Investments**<br>Market value at beginning of year<br>Management Fees<br>Net gain/(loss) on acquisitions, disposals and<br>revaluation<br>Market value at end of year<br>Analysis of investments at market value:<br>Overseas Equities<br>UK Equities<br>International Bonds<br>GBP Bonds<br>Structured Return<br>Hedge Funds<br>Overseas Bonds<br>UK Commercial Property<br>Cash Funds||||**2025**<br>**£**<br>**80,000**<br>**80,000**<br>**2025**<br>**£**<br>**2,185,632**<br>**(11,875)**<br>**6,878**|2024<br>£<br>80,000<br>80,000<br>2024<br>£<br>2,057,032<br>(11,323)<br>139,923|
|---|---|---|---|---|---|
|||||||
|||||**2,180,635**|2,185,632|
|||||**2025**<br>**£**<br>**534,256**<br>**446,867**<br>**366,139**<br>**307,149**<br>**175,725**<br>**172,648**<br>**101,362**<br>**55,580**<br>**20,909**|2024<br>£<br>542,349<br>463,739<br>398,777<br>282,534<br>119,848<br>199,567<br>101,436<br>56,164<br>21,218|
|||||**2,180,635**|2,185,632|



13 



## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

## **Notes (continued)** 

## **8 Debtors: amounts falling due within one year** 

|Investment Manager – income due|**2025**<br>**£**<br>**5,249**<br>**5,249**|2024<br>£<br>3,663|
|---|---|---|
|||3,663|



## **9 Related Parties** 

Perth and Kinross Council manage funds on behalf of the charities and trusts. The charitable and other trusts do not have separate bank accounts and the revenue balance is held within the Council's Loans Fund. The balance held at 31 March is noted within the Balance Sheet as 'Cash at bank and in hand' as the funds are held to meet short term cash commitments as they fall due. 

The balance held on deposit with Perth and Kinross Council was £323,368 at 31 March 2025 (2023/24 £174,361). 

There is a Finance & Administration recharge in respect of the time incurred by Council staff supporting the charitable trusts of £2,463 (£1,696 in 2023/24). 

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

|Audit Fee<br>Rents paid in advance<br>**unds of the charity**<br>Charitable trusts<br>Restricted income funds:<br>Kinnoull Hill Endowment Fund<br>St Magdalene’s Hill Endowment Fund<br>Clow Bequest<br>Den O’ Alyth Fund|**2025**<br>**£**<br>**6,550**<br>**1,546**<br>**8,096**<br>**2025**<br>**£**<br>**2,534,640**<br>**20,182**<br>**10,129**<br>**7,104**<br>**9,101**<br>**2,581,156**|2024<br>£<br>6,400<br>1,546|
|---|---|---|
|||7,946|
|||2024<br>£<br>2,406,204<br>19,645<br>9,860<br>0<br>0|
|||2,435,710|



## **11 Funds of the charity** 

The majority of funds are presently treated as endowment funds due to custom and practice over a long period of time and to ensure the long term sustainability of the funds. The Trust Deeds for the Clow Bequest and the Den O’ Alyth Fund were updated in 2024/25 and these funds are treated as Restricted due to the specific trust purposes, along with the Kinnoull Hill Endowment Fund and the St Magdalene’s Hill Endowment Fund. 

## **12 Post Balance Sheet Events** 

There were no adjusting events after the balance sheet date. 

14 



## **PERTH AND KINROSS COUNCIL CHARITABLE FUNDS** 

## **Analysis of charitable funds (continued)** 

## **13 Analysis of charitable funds** 

As detailed below there is one trust where there is no governance documentation, however there are details of the original purpose and this information is also held by OSCR. 

Detailed information for individual charities: summary of movements on funds during the year:- 

|**Name of fund**|**Charity**<br>**number**|**Governance**<br>**Documentation**|**Funds**<br>**brought**<br>**forward at**<br>**01/04/2024**<br>**£**|**Transfer**<br>**In/(Out)**<br>**£**|**Income in**<br>**year**<br>**£**|**Expenditure**<br>**in year**<br>**£**|**Gain/(loss)**<br>**on**<br>**investment**<br>**£**|**Funds**<br>**carried**<br>**forward at**<br>**31/03/2025**<br>**£**|
|---|---|---|---|---|---|---|---|---|
|Welfare Fund|SC040516|Yes|1,501,060|84,991|54,688|(126,142)|4,328|1,518,925|
|Fraser Mortification|SC017114|No|230,894|0|16,877|(1,917)|630|246,484|
|Kinnoull Hill<br>Endowment Fund|SC019650|Yes|19,645|0|646|(163)|54|20,182|
|St Magdalene’s Hill<br>Endowment Fund|SC009422|Yes|9,860|0|324|(82)|27|10,129|
|Perth and Kinross<br>Charitable Funds|SC025085|See below|16,019|0|527|(385)|44|16,205|
|Fothergill Bequest|SC051007|Yes|658,232|0|115,188|(5,985)|1,796|769,231|
||||**2,435,710**|**84,991**|**188,250**|**(134,674)**|**6,879**|**2,581,156**|



Several Trusts had been identified, where no original trust deed could be found following extensive searches, and/or the purposes of the Trusts could no longer be fulfilled. This resulted in a total of £84,991 of these previously inactive Public Trusts being transferred to the Welfare Trust during the year. 

## **Public Trusts included within Perth and Kinross Charitable Funds SCO25085:** 

|**Name of fund**|**Charity**<br>**number**|**Governance**<br>**Documentation**|**Funds**<br>**brought**<br>**forward at**<br>**01/04/2024**<br>**£**|**Transfer**<br>**In/(Out)**<br>**£**|**Income in**<br>**year**<br>**£**|**Expenditure**<br>**in year**<br>**£**|**Gain/(loss)**<br>**on**<br>**investment**<br>**£**|**Funds carried**<br>**forward at**<br>**31/03/2025**<br>**£**|
|---|---|---|---|---|---|---|---|---|
|Clow Bequest|Public<br>Trust|Yes|7,040||232|(187)|19|7,104|
|Den O’ Alyth Fund|Public<br>Trust|No|8,979||295|(198)|25|9,101|
||||**16,019**|**0**|**527**|**(385)**|**44**|**16,205**|



15