2025-03-31-accounts - Traditional Arts and Culture Scotland

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Charity registration number SC043009 (Scotland)

TRADITIONALARTS AND CULTURE SCOTLAND ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

TRADITIONALARTS AND CULTURE SCOTLAND CONTENTS

Page

Trustees' report 1 - 8

Independent auditor's report 9 - 11

Statement of financial activities 12 - 13 Balance sheet 14

Statement of cash flows 15

Notes to the financial statements 16 - 29

TRADITIONALARTS AND CULTURE SCOTLAND TRUSTEES' REPORT

FOR THE YEAR ENDED 31 MARCH 2025

The trustees present their annual report and financial statements for the year ended 31 March 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

Traditional Arts and Culture Scotland (TRACS) is a Scottish Charitable Incorporated Organisation (SCIO), regulated by OSCR, the Scottish Charity regulator. It supports and contributes to the work of national networks for Storytelling, Traditional Music and Traditional Dance, and of the Scottish Storytelling Centre.

The aims of TRACS are set out in Section Two of its constitution as follows: 2.1. To increase knowledge and understanding of Scotland's culture, traditions, languages and living heritage. 2.2. To advance the practice of the arts in Scotland by: 2.2.1. perpetuating, propagating and developing creative skills grounded in Scotland's cultural traditions of music, storytelling, dance, song and crafts, and their shared development. 2.2.2. widening access to these creative practices and skills across all sectors of Scottish society and all age groups. 2.3. To advance cultural heritage in Scotland by: 2.3.1. enabling individuals and communities to source, interpret and express their intangible or living heritage as a resource for the arts, lifelong learning, and community life and wellbeing. 2.3.2. fostering cultural exchange and understanding between diverse communities of place, culture, faith and language, and between such minority communities and Scottish society as a whole. 2.4. To increase international understanding of Scotland's living cultural traditions and artistic heritage. For the purposes of clause 2, “Culture” is understood to include artistic expression, heritage education, beliefs, language, customs and ways of life as defined in the UNESCO Universal Declaration on

Cultural Diversity (2001).

Achievements and performance

2024-25 was a year of consolidation in year two of new leadership, with the initial period focussed on the completion and submission of a Multi-Year Funding (MYF) bid to Creative Scotland at the end of April 2024. The result of

this

collaborative effort across the staff team and TRACS and Forum Boards was the successful award in January 2025

of £1.75m over three years for traditional arts until financial year 2027-28. This signalled an end to an extended period of uncertainty through repeated extensions of annual funding at standstill levels.

The finalising of the 2025-28 Business Plan for MYF required a revisiting of TRACS’ aims and objectives,

establishing key principles to take forward the organisation’s vision of Living Heritage at the heart of life in Scotland.

TRADITIONALARTS AND CULTURE SCOTLAND TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

The work of TRACS’ nationwide networks was again embodied in the following areas:

· The Forums for Traditional Music, Dance and Storytelling which are the founding members of TRACS, and their individual programmes of events, festivals, workshops, apprenticeships, residencies and sector support.

· The TraditionalArts Mentoring programme, supported by Creative Scotland targeted funds.

· The network of creatives connected with the Scottish Storytelling Centre

· The Scottish International Storytelling Festival’s place-based work through the PlaCE (Platforms for Creative

Excellence) programme, supported by the Scottish Government and

the City of Edinburgh Council · Athird phase of the People's Parish local cultural development work, alongside project documentation and case studies, supported by further funds from the Culture Collective initiative via Creative Scotland / Scottish Government.

With a core commitment to supporting creative practitioners and communities, these networks continued to develop and strengthen their activity, aided by our dedicated staff team. The Board offers its sincere thanks to all staff for their exceptional contribution to this collective work. The Board also wishes to give special mention to the significant contribution of , one of the cofounders of TRACS, who retired in January 2025 after more than a decade of service to the organisation, helping position TRACS as a key advocate for our collective traditional arts in local communities and right up to the highest levels in the public policy arena. In particular, the Board is grateful for decision to postpone his retirement by several months while delayed funding decisions were awaited.

A key development during the year was in the establishment of TRACS’ status as an adviser to UNESCO on the 2003 Convention for Intangible Cultural Heritage, working alongside the national bodies Museums Galleries Scotland, Historic Environment Scotland and Creative Scotland as a member of the ICH Scotland Partnership, advising government at Scottish and UK level. It is from this position that TRACS seeks to build through the period of MYF a platform to support traditional cultural practices in a wide range of cultural and language communities.

Scottish Storytelling Centre (SSC)

The SSC programme produced in partnership with the Church of Scotland has fully delivered its aims to engage

audiences in Scottish culture, across languages, mental health and wellbeing, creative opportunities and artistic development.

Engaging approximately 200 freelance artists over the period, events have included monthly Easy Sundays - wellbeing events in partnership with The Thrive Network -and the Scottish Mental Health Arts Festival; and regular Café Ceilidhs in partnership with the Scots Music Group alongside hosting Gaelic arts events with Bothan Dhùn Èideann, Queer Folks Tales, Moonspinners, Sensing Stories and Hearth Fire Sessions, all celebrating traditional culture in a contemporary setting, alongside access and inclusion objectives. Following notification in March 2024 of an intended change to the future ownership of the Scottish Storytelling Centre, TRACS worked with the Church of Scotland and the Scottish Historic Buildings Trust during the year to explore the future stewardship and operation of the Centre. Discussions continue at the time of writing, with a feasibility study carried out in autumn 2025 to inform next steps.

Festivals

The Scottish International Storytelling Festival (SISF) 2024 took place on the theme of ‘Bridges Between’ as the event celebrated its 35th anniversary. International partnerships with practitioners from Ireland, Germany and India were forged, with SISF providing opportunities for the staging of new work, while drawing on and celebrating the bedrock of traditional storytelling practice. Through SISF's workshop programme, Go Local, Edinburgh 900 and the Story Ripple, SISF delivered a total of 319 events attracting almost 49,000 attendances. The SISF 2024 programme opened up narrative as a learning and creative resource for people of all age groups, abilities, and diverse cultural and creative interests. The SISF 2024 international programme was successful with audiences and diverse communities across Edinburgh. Exploring the 35th anniversary of the Berlin Wall falling, alongside co-hosting the

international Cities of Literature conference were highlights. 11% of the live and 34% of the digital audience were from beyond the UK. - 2

TRADITIONALARTS AND CULTURE SCOTLAND TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

The newer festivals of TRACS’ member Forums, including Pomegranates Festival of international traditional dance and the North Atlantic Song Convention (NASC) were developed and supported, with TRACS also contributing to the springtime Edinburgh Tradfest programme once more. Exploratory visits were undertaken with the Europeade festival of European traditional dance in April 2024 with a view to considering whether Scotland might host the event in future. Support for practitioners: Traditional Arts Mentoring

Support for individual practitioners was again offered through a range of initiatives including workshops, residencies and apprenticeships via the member Forums, and a TRACS-wide Mentoring programme, supported once more through targeted funding from Creative Scotland. A mentoring gathering was held in March 2025 bringing together past and current participants, enabling a review of the principles and successes of the programme for practitioners, partners and TRACS staff. The programme is underpinned by the principles and training offered by the Scottish Mentoring Network and TRACS plans to continue this work on an annual basis. This work is being mainstreamed

in TRACS’MYF activity plan for future years.

People’s Parish

The third phase of this programme funded through the Scottish Government and Creative Scotland’s Culture Collective scheme took place in three communities: Arbroath, Morton (Dumfries and Galloway) along with the extension of work in Nether Lochaber. This third round brought TRACS’involvement up to 14 communities across Scotland since 2021, supporting a range of freelance practitioners, often based in the local area. Known as ‘Creative Fieldworkers’, they work with communities for a sustained period of time, connecting with local organisations, community groups and schools to tell the story of the local place through creative means. A third tranche of funding from Culture Collective supported the recruitment of a Project Documentation Officer to collate materials from completed projects, updating the project website and compiling case studies.

While largely paused for 2025-26, years two and three of MYF will mainstream this approach from spring 2026, with a refined delivery model, with a view to establishing a greater focus on ICH safeguarding approaches. Intangible Cultural Heritage (ICH) / UNESCO

TRACS’ formal accreditation as an ICH non-governmental (NGO) advisor to UNESCO on the 2003 Convention on the Safeguarding of Intangible Cultural Heritage was confirmed in Paris in June 2024, coinciding with the UK Government’s ratification of the Convention in spring 2024. With the ICH Scotland Partnership, TRACS co-hosted the second national conference on ICH in Birnam, Perthshire in November 2024, attended by cultural organisations and practitioners, including speakers from international organisations working on ICH. The event was introduced by

video messages from both the UK and Scottish Governments.

TRACS developed its online messaging around ICH including the production of a simple guide to ICH for the general public. At the invitation of the UK Government’s Department for Culture Media and Sport (DCMS), TRACS attended the 19.COM UNESCO meeting on ICH in Paraguay in December 2024 along with colleagues from Museums Galleries Scotland and Heritage Crafts, fellow NGOs for ICH. Internal awareness-raising workshops on ICH were held for TRACS staff, and various presentations on ICH were given as part of the FEST Conference in Glasgow, for Creative Lives, at SISF, Celtic & Scottish Studies at Edinburgh University, and the Scottish Government’s Culture division. Regular meetings of the ICH Scotland Partnership were held to develop collaborative work on ICH including the submission of a bid to the National Lottery Heritage Fund to support community safeguarding projects.

Traditional Crafts

The research commissioned on Traditional Crafts was delayed during the year owing to ill health of the main researcher, although key initial findings were presented to the ICH Conference in November 2024. Modest additional funding was secured from Creative Scotland to support the completion of the report. MYF includes funding towards traditional crafts development and TRACS continues to work on finalising this research to be taken forward by a crafts officer due to be recruited in 2026. - 3

TRADITIONALARTS AND CULTURE SCOTLAND TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

City of Edinburgh Council: Literature Partnership

TRACS’ involvement in the Literature Partnership with the Scottish Poetry Library, Scottish Book Trust and the Edinburgh UNESCO City of Literature Trust continued with the award of fresh three-year funding from 2024-27. TRACS was lead organisation in this collaborative grouping of cultural and literary organisations in the Netherbow area, supported by strategic funding from the Council’s revenue grant programmes.

Networks and Advocacy

TRACS continues to be committed to international co-operation in support of UNESCO’s frameworks on Intangible Cultural Heritage, Cultural Diversity, and Creative and Cultural Education. TRACS liaises with the Scottish Government and other partners to help shape Scotland’s policies and actions in this regard. Through the Traditional Arts Working Group, convened by Creative Scotland, TRACS has contributed to discussions and initiatives to develop the sector. TRACS is also a member of the European Folk Network, advancing the international profile of folk arts and participating in European Folk Day every September. TRACS supports the Culture Counts campaign, with the CEO joining the Steering Group in early 2025 to represent the traditional arts sector, and TRACS continues to participate in Festivals Edinburgh as well as the Scottish Community Alliance. In the public arena, TRACS again

sponsored categories at the Scots Language Awards and the Scots Trad Music Awards.

Financial review

Results for the year ended 31 March 2025 are given in the Statement of Financial Activities. The assets and liabilities are given in the Balance Sheet. The financial statements should be read in conjunction with the related notes.

In summary

income amounted to £665,642 (2024 -£694,627) and expenditure totalled £750,475 (2024 -£765,347) resulting in a net deficit for the year before gains and losses, of £84,833 (2024 - £70 720).

With the securing of MYF and ongoing City of Edinburgh Council support, the organisation’s funding position is stable for the next three years, providing much needed certainty to allow TRACS to focus on progressing its core aims.

TRACS was again able to secure specifically targeted funding from Creative Scotland for a further Traditional Arts Mentoring Programme, with additional support from the Culture Collective fund also carried forward, and the Festivals EXPO and PlaCE programmes totalling £175,000 towards the Scottish International Storytelling Festival. A third grant from Bòrd na Gàidhlig towards Gaelic arts work in storytelling and music was secured. Funders’ confidence in TRACS’ capacity to deliver a diverse programme of work is reflected in their sustained financial support. This investment enables TRACS to resource its member Forums, the Scottish Storytelling Centre, an expanding portfolio of festivals, and national network activity rooted in local communities.

However, TRACS recognises the continued importance of broadening its funding base and will continue to develop this work over the next three years. As in the previous year, a number of ongoing projects were delivered using Restricted Funds carried forward or deferred from earlier periods. Consequently, TRACS’ expenditure once again reflects the completion of these projects, with fund balances reduced in line with their delivery. Although a substantial range of Designated Funds were confirmed at the beginning of the year, limited capacity, the demands of ongoing organisational transition, and the multi-year funding announcement delay meant that much of this allocation was postponed for use in 2025-26, pending the funding decision which may have required mitigation in the case of a less positive outcome. With MYF achieved,

with a solid base of reserve and designated funds now at its disposal, TRACS retains a positive and stable financial outlook, supporting the continuation of its operations in compliance with the duties of trustees.

Reserves policy

It is the policy of the charity to maintain suitable reserves to cover core operational costs, should there be a shortfall in funding. The charity’s Stability Reserve Fund in Designated Funds in 2024-25 was £100,000, and remains in a separate savings account, accruing a modest amount of interest. This reserve figure is kept under regular review, with TRACS aiming to augment its reserves in future years, relative to increased operating costs following an uplift in multi-year funding. Since last year’s report, TRACS has also taken the step of lodging reserves in higher interest savings accounts to generate additional income for the charity.

TRADITIONALARTS AND CULTURE SCOTLAND TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

Structure, governance and management

The trustees who served during the year and up to the date of signature of the financial statements were:

SCIO Number SC043009

Trustees

Key Management Principal Address The Scottish Storytelling Centre 43-45 High Strt Edinburgh EHI ISR Auditor Thomson Cooper Statutory Auditor 3 Castle Court Carnegie Campus Dunfermline KYII 8PB Bankers Bank of Scotland PO Box 23581 Edinburgh EHI IWH Solicitors Blackadders LLP 30 & 34 Reform Strt Dundee

DD1 1RJ

TRADITIONALARTS AND CULTURE SCOTLAND TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

Appointment and recruitment of trustees

Trustees are selected on the basis of their knowledge and experience of the Traditional Arts and Culture in Scotland and beyond, and their experience of the governance and management of such activities. Potential trustees can be proposed by any of the TRACS members and a panel chaired by the Chair considers the suitability of those proposed and brings formal nominations to the AGM for appointment.

In addition to the Charity trustees the three members -the Traditional Music Forum, the Scottish Storytelling Forum and the Traditional Dance Forum of Scotland, were invited to be represented at all meetings through their Chair, if not already a Trustee.

Governance and staffing

A number of new Trustees joined the board in December 2024 and a new Treasurer was appointed with a strong financial background. During the year a committee system was formalised, empowering the TRACS Board to actively contribute to planning and monitoring around specific areas between board meetings including governance, finance & risk, and HR, which has supported staff and management in particular. Further board training opportunities were offered to both TRACS and Forum trustees. TRACS wishes to acknowledge the substantial volunteer time contributed to the organisation by all Trustees of both TRACS and its Member Forums, particularly those members who retired from the board after extended service.

TRACS also welcomed new members of staff in the shape of a new Director of the Traditional Music Forum of

Scotland and TRACS Project Documentation Officer, with further recruitment planned through MYF.

Contact

The point of information and contact is , Chief Executive Officer, TRACS, Scottish Storytelling Centre, 43-45 High Street, Edinburgh, EH1 1SR, Tel: 0131 558 8137

Conclusion

TRACS has again delivered on its commitments to Creative Scotland as a Regularly Funded Organisation, to the City of Edinburgh Council and to the Scottish Government in relation to the Scottish International Storytelling Festival, and secured MYF for its future endeavours until March 2028. Re-affirming its founding principles of co-operative working and grassroots development, as well as the resilience of its organisational networks and methodology, TRACS looks forward with renewed optimism and confidence to playing its part in Scotland’s creative and cultural futures. The trustees wish to record their thanks to the staff team for their tireless work, and to all partners and funders who have helped sustain traditional arts in communities across Scotland. In emphasising the value of everyday culture as a key mode of local expression, we collectively recognise and celebrate the importance of local traditions as a vehicle for connecting with the wider world. Through the 2025-28 Business Plan, following the successful MYF funding award, TRACS has a significant opportunity ahead of it to support the traditional arts sector across storytelling, music, dance and crafts -Scotland’s living heritage -in the coming years, with an enhanced profile in local communities, as well as nationally and internationally.

The Trustees acknowledge the significant work of the TRACS team, supported by TRACS and Forum Board members, in delivering an ambitious programme that strengthens TRACS’

multi-artform network and expands the reach and impact of traditional arts nationwide.

TRADITIONALARTS AND CULTURE SCOTLAND TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

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 year.

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 Charities SORP;
make judgements 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; and -prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. The trustees are responsible for keeping sufficient accounting records that 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 Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the provisions of the trust deed. 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.

The trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Auditor

In accordance with the company's articles, a resolution proposing that Thomson Cooper be reappointed as auditor of the company will be put at a General Meeting.

Acknowledgements

TRACS is indebted to the members of its three constituting Forums for their work, and to all those who give generously and freely of their time to support the Traditional Arts of Scotland and their wider social and educational benefits.

TRACS is profoundly grateful for the strategic and financial support accorded to it by Creative Scotland and by the City of Edinburgh Council.

TRADITIONALARTS AND CULTURE SCOTLAND TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

Disclosure of information to auditor

Each of the trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.

The trustees' report was approved by the Board of Trustees.

Trustee

12 December 2025

TRADITIONALARTS AND CULTURE SCOTLAND

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF TRADITIONALARTS AND CULTURE SCOTLAND

Opinion

We have audited the financial statements of Traditional Arts and Culture Scotland (the ‘charity’) for the year ended 31 March 2025 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements: -give a true and fair view of the state of the charity’s affairs as at 31 March 2025 and of its 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 Charities and Trustee Investment (Scotland) Act 2005 and regulation 8 of the Charities Accounts (Scotland) Regulations 2006.

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.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements

are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

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 contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities Accounts (Scotland) Regulations 2006 requires us to report to you if, in our opinion: -the information given in the financial statements is inconsistent in any material respect with the trustees' report; or -proper accounting records have not been kept; or -the financial statements are not in agreement with the accounting records; or -we have

not received all the information and explanations we require for our audit.

TRADITIONALARTS AND CULTURE SCOTLAND

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF TRADITIONALARTS AND CULTURE SCOTLAND

Responsibilities of trustees

As explained more fully in the statement of trustees' responsibilities, the trustees 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 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 report in accordance with the Act and 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.

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

Extent to which the audit was considered capable of detecting irregularities, including fraud

We considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas: existence and timing of recognition of income, posting of unusual journals along with complex transactions and non-compliance with laws and regulations. We discussed these risks with management, designed audit procedures to test the timing and existence of revenue and tested a sample of journals to confirm they were appropriate. In addition, we reviewed areas of judgement for indicators of management bias to address these risks.

We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our sector experience through discussion with the officers and other management (as required by the auditing standards).

We reviewed the laws and regulations in areas that directly affect the financial statements including applicable charity and company law and considered the extent of compliance with those laws and regulations as part of our procedures on the related financial statement items.

With the exception of any known or possible non-compliance with relevant and significant laws and regulations, and as required by the auditing standards, our work in respect of these was limited to enquiry of the officers and management of the charity.

We communicated identified laws and regulations and potential fraud risks throughout our team and remained alert to any indications of non-compliance or fraud throughout the audit. However the primary responsibility for the prevention and detection of fraud rests with the trustees.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations.

TRADITIONALARTS AND CULTURE SCOTLAND

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF TRADITIONALARTS AND CULTURE SCOTLAND

Use of our report This report is made solely to the charity's trustees, 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 stste to the cha rity's trustees those matters we are required to stste to them in an auditorfs 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 trUStS as a body, for our audit work, for this report, or for the opinions we have formed. ooper, Ststutory Auditors Dunfermline Thomson Cooper is eligible for appointment as auditor of the charty by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006. 11 TRADttIONALARTS AND CULTURE SCOTLAND ATEMENT OF FINANCIALAvEs INCLUDING INCOME AND EXPENDuRE ACCOUP FOR THE YEAR ENDED 31 MARCH 2025 Current financial year Income from: Donations and legacies Charitable activities Investments Notes

3 4 Unrestricted Dfunds general 2025 £ 374,553 1,122 1,125 esignated funds 2025 £ --Restricted funds 2025 £ 270,921 17,921 - Total 2025 £ 645,474 19,043 1,125 Total 2024 £ 676,986 16,770 871 Total income 376,800 -288,842 665,642 694,627 Expenditure on: Charitable activities 5 411,047 31,993 307,435 750,475 765,347 Net outgoing resources before transfers (34,247) (31,993) (18,593) (84,833) (70,720) Gross transfers between funds (25,073) 25,073

--Net expenditure for the year/ Net movement in funds (59,320) (6,920) (18,593) (84,833) (70,720) Fund balances at 1 April 2024 104,619 251,008 129,063 484,690 555,410 Fund balances at 31 March 2025 45,299 244,088 110,470 399,857 484,690

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

TRADITIONALARTS AND CULTURE SCOTLAND

STATEMENT OF FINANCIALACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2025

Prior financial year Income from: Donations and legacies Charitable activities Investments Notes 2 3 4 Unrestricted Designated funds funds

general 2024 2024 £ £ 359,198 - 16,770 - 871 - Restricted funds 2024 £ 317,788 -- Total 2024 £ 676,986 16,770 871 Total income Expenditure on: Charitable activities Net outgoing resources before transfers Gross transfers between funds Net expenditure for the year/ Net movement in funds Fund balances at 1 April 2023 Fund balances at 31 March 2024 5 376,839 421,069 (44,230) (4,618) (48,848) 153,467 104,619 - 23,739 (23,739) (1,300) (25,039) 276,047 251,008 317,788 320,539 (2,751) 5,918 3,167 125,896 129,063 694,627

765,347 (70,720) - (70,720) 555,410 484,690

TRADITIONALARTS AND CULTURE SCOTLAND BALANCE SHEET

AS AT 31 MARCH 2025

2025 2024 Notes ££££ Current assets Debtors 10 46,061 34,149 Cash at bank and in hand 419,941 538,256 466,002 572,405 Creditors: amounts falling due within 11 one year (66,145) (87,715) Net current assets 399,857 484,690 The funds of the charity Restricted income funds 14 110,470 129,063 Unrestricted funds - general 15

45,299 104,619 Unrestricted funds - designated 16 244,088 251,008 399,857 484,690

The financial statements were approved by the trustees on 12 December 2025

Trustee

TRADITIONALARTS AND CULTURE SCOTLAND STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 MARCH 2025

Notes 2025 £ £ 2024 £ £ Cash flows from operating activities Cash absorbed by operations Investing activities Investment income received 19 1,125 (119,440) 871 (140,603) Net cash generated from investing activities Net cash generated from financing activities Net decrease in cash and cash equivalents Cash and cash equivalents at beginning of year

Cash and cash equivalents at end of year 1,125 - (118,315) 538,256 419,941 871 - (139,732) 677,988 538,256

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

1 Accounting policies

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 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 £.

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 a period not less than 12 months. 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 has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably. Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred. Income received in advance or for the provision of other specified service is deferred until the criteria for income recognition are met.

1.5 Expenditure Expenditure is recognised once there is a legal or constructive obligation to make a payment

to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:

· Expenditure on charitable activities includes the costs of supporting Traditional Arts in Scotland and other activities undertaken to further the purposes of the charity and their associated support costs.

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred. Allocation of Support Costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance, personnel, payroll and governance costs which support Traditional Arts and Culture Scotland’s activities. These costs have been allocated on the basis of time spent by staff on each activity.

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

1 Accounting policies (Continued)

Volunteer time

The Charity benefits greatly from the involvement and enthusiastic support of its many volunteers. In accordance with FRS 102 and the Charities SORP (FRS

102), the economic contribution of general volunteers is not recognised in the accounts. 1.6 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.

1.7 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.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

1.8 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.

1.9 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

Accounting policies (Continued)

1.10 Fund Structure

· Unrestricted funds are funds that can be used in accordance with the objectives of the charity at the discretion of the trustees.

· Designated funds are unrestricted funds set aside by the trustees for specific future purposes or projects.

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

1.11 VAT The charity is registered for VAT, and accordingly all income and expenditure are stated net of tax. 2 Donations and legacies Unrestricted funds general 2025 £ Restricted funds

2025 £ Total Unrestricted funds general 2025 2024 £ £ Restricted funds 2024 £ Total 2024 £ Donations and gifts Grants 11,394 363,159 3,522 267,399 14,916 630,558 3,815 355,383 - 317,788 3,815 673,171 374,553 270,921 645,474 359,198 317,788 676,986 Grants receivable for core activities Creative Scotland Edinburgh City Council Funding ICH SISF Culture Collective Place Programme Traditional Arts Mentoring Bòrd na Gàidhlig Traditional Crafts Research SSC Partnership Scottish Community Alliance Maoin nan Ealain

Gàidhlig Young Scots Singers 313,333 41,000 8,326 -----500 - -- 192,100 35,000 - 35,000 2,000 2,375 - - 924 313,333 41,000 8,326 192,100 35,000 - 35,000 2,000 2,375 - - 924 500 313,333 41,000 200 ----850 - -- - - 4,928 155,626 16,254 100,000 24,000 10,480 -- 6,500 -- 313,333 41,000 5,128 155,626

16,254 100,000 24,000 10,480 - 850 6,500 -- 363,159 267,399 630,558 355,383 317,788 673,171

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

3 Charitable activities Box Office Income 2025 £ 19,043 2024 £ 16,770 Analysis by fund Unrestricted funds - general Restricted funds 1,122 17,921 19,043 16,770 - 16,770 4 Investments Interest receivable 2025 £ 1,125 2024 £ 871

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

5 Charitable activities 2025 £ 2024 £ Staff costs Advocacy and communications Freelance development support SISF Courses, workshops and languages General Events Venue Base Culture Collective SSC 222,481 43,304 60,426 181,067 12,806 3,987 30,000 54,080 95,000 205,096 35,808 81,958 185,013 15,050 21,285 30,000 49,467 94,000 703,151 717,677 Share of support costs (see note 6) Share of governance costs (see note 6) 35,301 12,023 39,850 7,820 750,475 765,347 Analysis by fund

Unrestricted funds - general Unrestricted funds - designated Restricted funds 411,047 31,993 307,435 421,069 23,739 320,539 750,475 765,347 6 Support costs Support Governance costs costs £ £ 2025 £ Support Governance costs costs £ £ 2024 £ Operational costs Travel costs General admin expenses 19,403 15,266 632 --19,403 15,266 632 22,606 16,137 1,107 --22,606 16,137 1,107 Audit fees Legal and professional Accountancy fees --5,750 3,500 2,773 5,750 3,500 2,773

5,550 -

2,270 5,550 -

2,270 35,301 12,023 47,324 39,850 7,820 47,670 7 Trustees

None

of the trustees (or any persons connected with them) received any remuneration during the year, but three of them were reimbursed a total of £285 for board expenses (2024 - four were reimbursed £268).

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

8 Employees

The average monthly number of employees during the year was:

2025 2024 Number Number

Employment costs 2025 2024 ££

Wages and salaries 201,193

185,384 Social security costs 14,413 13,054 Other pension costs 6,875 6,658 222,481 205,096

The key management personnel of the charity comprises of Steve Byrne, Chief Executive. He received

remuneration of £57,982 in the year (2024: £50,516).

There were no employees whose annual remuneration was more than £60,000.

9 Taxation

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

10 Debtors 2025 2024 Amounts falling due within one year: £ £

Trade debtors 41,001 30,796 Prepayments and accrued income 5,060 3,353 46,061 34,149

11 Creditors: amounts falling due within one year 2025

2024 Notes £ £

Other taxation and social security 16,273 13,611 Deferred income 12 26,400 56,750 Trade creditors 8,106 1,121 Other creditors 1,321 328 Accruals 14,045 15,905 66,145 87,715 - 21

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025 12 Deferred income 2025 2024 ££ Other deferred income 26,400 56,750 SISF Bursaries 20,000 -

Bòrd na Gàidhlig - Fianna Phase 3 6,400 PLACE -56,250 Wee Scots Grant -500

26,400 56,750 Deferred income is included in the financial statements as follows:

2025 2024 ££ Deferred income is included within: Current liabilities 26,400 56,750 Movements in the year: Deferredincome at 1 April 2024 56,750 111,670 Released from previous periods (56,750) (111,670) Resources deferred in the year 26,400 56,750 Deferred income at 31 March 2025 26,400 56,750 13 Retirement benefit schemes 2025 2024 Defined contribution schemes £ £

Charge to profit or loss in respect of defined contribution schemes 6,875 6,658

The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

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.

Movement in funds

Balance at Incoming Resources Transfers Balance at 1 April 2024 resources expended 31 March 2025 £££££

Traditional Arts Mentoring 10,718 35,000 (13,964) -31,754 Culture Collective 80,286

35,880 (70,679) -45,487 Traditional Crafts Research 625 2,375 (1,000) -2,000 PLACE - SISF 37,434 75,000 (87,140) -25,294 SISF EXPO -120,681 (120,659) -22 Maoin nan Ealain Gàidhlig -924 (150) -774 SISF E900 -16,982 (13,843) -3,139 Bòrd na Gàidhlig - Fianna Phase 2 -2,000 --2,000 129,063 288,842 (307,435) -110,470 Balance at Incoming Resources Transfers Balance at 1 April 2023 resources expended 31 March 2024 £££££ Traditional Arts Mentoring 1,225 24,000 (14,507) -10,718 Culture Collective

123,546 16,254 (59,514) -80,286 Bòrd na Gàidhlig -10,480 (11,188) 708 - Traditional Crafts Research 1,125 -(5,000) 4,500 625 ICH Conference -4,928 (5,283) 355 PLACE - SISF -100,000 (62,566) -37,434 Scottish Community Alliance -6,500 (6,500) -SISF -155,626 (155,981) 355 125,896 317,788 (320,539) 5,918 129,063 - 23

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 14 Restricted funds (Continued)

Traditional Arts Mentoring -Targeted funds from Creative Scotland aimed at supporting

the exchange of

knowledge, skills and experience for practitioners in the Traditional Arts and Scotland's languages of Scots and Gaelic. This is currently an annual programme.

Culture Collective -Supporting a further round of the People's Parish project initiated through Scottish Government Covid Recovery funds disbursed by Culture Collective / Creative Scotland. Five local projects took place in communities across Scotland during 2023/24.

Bòrd na Gàidhlig

-Funds from the Colmcille scheme, fostering communication and collaboration between the language communities of Scottish and Irish Gaelic. The funds supported a second phase of the Òrain & Sgeulachdan na Fèinne (Songs and Stories of the Fianna) project, with Scottish and Irish musicians and storytellers.

Traditional Crafts Research -Research and survey work into the Trad Crafts sector, funded equally by TRACS and partners Museums Galleries Scotland, Craft Scotland and Creative Scotland. This is the Creative Scotland grant portion.

PLACE -SISF -Platforms for Creative Excellence funding to support local creatives and activities through the Scottish International Storytelling Festival. PlaCE was a partnership between Scottish Government, City of Edinburgh Council, and the Edinburgh Festivals to support creative development and community engagement in Edinburgh.

SISF EXPO

-Festivals Expo Fund, administered by Creative Scotland on behalf of Scottish Government, aiming to foster innovation across festivals and ensure international opportunities for participating Scottishbased artists.

Maoin nan Ealain Gàidhlig -Application to Gaelic Arts Fund to fund Sgeul is Seanchas Gaelic podcast project -these funds were transferred from Scottish Storytelling Forum to TRACS to complete the project which

was originally commissioned during Covid. Expected to be fully expended during 2025/26.

SISF E900 -CEC fund for 900th anniversary of Edinburgh City £10,000 + additional £4000 for Through our Eyes project.

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

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.

At 1 April Incoming Resources Transfers At 31 March 2024 resources expended 2025 £££££

General Funds 104,619 376,800 (411,047) (25,073) 45,299

Previous year: At 1 April Incoming Resources Transfers At 31 March 2023 resources expended 2024 £££££ General Funds

153,467 376,839 (421,069) (4,618) 104,619

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

16 Designated funds

The designated funds of the charity comprise funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

Balance at Resources Transfers Balance at 1 April 2024 expended 31 March 2025

££££

International 3,646 (3,639) 3,926 3,933 Stability Reserve Fund 100,000 --100,000 Local Networks and People's Parish Development 50,000 (1,500) -48,500 Digital Development Fund 35,000 --35,000 Organisational Transition Fund 11,181 (7,437) -3,744

SISF Development Fund 50,000 --50,000 Intangible Culture Heritage 1,181 (14,714) 13,533 - Trad Treasures -(3,426) 6,250 2,824 Young Scot Singers -(873) 960 87 Bord na Gaidhlig - Fianna Phase 2 -(404) 404 251,008 (31,993) 25,073 244,088

Balance at Resources Transfers Balance at 1 April 2023 expended 31 March 2024 ££££ International 4,547 (901) -3,646 Stability Reserve Fund 100,000 --100,000 Local Networks and People's Parish Development 50,000 --50,000 Digital Development Fund 35,000 --35,000 Organisational Transition Fund 30,000 (18,819)

-11,181 SISF Development Fund 50,000 -50,000 Intangible Culture Heritsge 5,000 (4,019) 200 1,181 Traditional Crafts Research 1,500 -(1,500) 276,047 (23,739) (1,300) 251,008 26 TRADttIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL ATEMEs (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 16 Designated funds (Continued) International Funds designated to support TRACS, international partnership working. Stability Reserve Fund -To support wind-up costs in the event of the charity no longer being able to operate. This fund has been modestly increased year on year, and from 2023-24 has been hed separately from general operational funds in a business re*rve account. Local Networks and People's Parish Development -sustaining the work of projects initiated through Culture Collective funding from 2021, this additional fund has been identified to develop the

programme further as a core part of TRACS’activities once Culture Collective funding concludes.

Digital Development Fund -Funds designated to overhaul the TRACS website and wider online marketing and communications, with work deferred to 2025.

Organisational Transition Fund -Funds designated to facilitate the transfer to new Chief Executive in 2023, including office equipment upgrades and additional administrative support.

SISF Development Fund -To continue the Scottish International Storytelling Festival’s programme of local events, first supported by PLACE funding, as well as the planning of the festival’s future direction, programming and leadership.

Intangible Cultural Heritage (ICH) -Funds designated towards TRACS’ participation in the national UNESCO ICH partnership including advocacy, training and workshops, including traditional crafts development.

Traditional Crafts Research -A research project for which four partners contributed £1,500 each for work valued at £6,000. This was TRACS portion of this project.

Trad Treasures -Private donations from James Robertson and Marianne Mitchelson for project to record and document key living trad arts figures: £6250 inc Gift Aid.

Young Scots Singers -Private donations in memory of Donald Barr, used to run a workshop programme to support the learning of young singers in the Scots language, Nov 2024. Future work intended subject to

further fundraising.

Bord na Gaidhlig -Fianna Phase 2 -to support the completion of the Fianna project supported by Bòrd na Gàidhlig Restricted fund.

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

17 Analysis of net assets between funds Fund balances at 31 March 2025 are represented by: Current assets/(liabilities) Unrestricted funds 2025 £ 45,299 Designatedfunds 2025 £ 244,088 Restricted funds 2025 £ 110,470 Total 2025 £ 399,857 45,299 244,088 110,470 399,857 Fund balances at 31 March 2024 are represented by: Current assets/(liabilities) Unrestricted funds 2024 £ 104,619 Designated funds 2024 £ 251,008

Restricted funds 2024 £ 129,063 Total 2024 £ 484,690 104,619 251,008 129,063 484,690

TRADITIONALARTS AND CULTURE SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

18 Related party transactions Transactions with related parties

The trustees act in an honorary capacity and are not remunerated for their services as trustees of the charity. However, during the year ended 31 March 2025 the trustees received payment for other services provided to the charity during the year. The payments, comprising fees amounted to £3,619 in the current year (2024: £12,739).

19 Cash absorbed by operations 2025 2024 ££ Deficit for the year (84,833) (70,720) Adjustments for:

Investment income recognised in statement of financial activities (1,125) (871) Movements in working capital: (Increase) in debtors (11,912) (23,674) Increase in creditors 8,780 9,582 (Decrease) in deferred income (30,350) (54,920) Cash absorbed by operations (119,440 (140,603 20 Analysis of changes in net funds The charity had no material debt during the year. 29