National Lottery Distribution Fund Annual Report and Accounts For the year ended 31 March 2014 HC 883 SG/2014/276
National Lottery Distribution Fund Annual Report and Accounts For the year ended 31 March 2014 Presented to Parliament Pursuant to Section 34(3) of the National Lottery etc. Act 1993 Ordered by the House of Commons to be printed 17 December 2014 Laid before the Scottish Parliament by the Scottish Ministers December 2014 HC 883 SG/2014/276
Creative Scotland 2014 The text of this document (this excludes, where present, the Royal Arms and all departmental and agency logos) may be reproduced free of charge in any format or medium providing that it is reproduced accurately and not in a misleading context. The material must be acknowledged as Creative Scotland copyright and the document title specified. Where third party material has been identified, permission from the respective copyright holder must be sought. Any enquiries regarding this publication should be sent to us at Stephen Vallely Creative Scotland 249 West George Street Glasgow G2 4QE stephen.vallely@creativescotland.com You can download this publication from www.creativescotland.com This publication is also available at www.gov.uk/government/publications Print ISBN 9781474112017 Web ISBN 9781474112024 Printed in the UK by the Williams Lea Group on behalf of the Controller of Her Majesty s Stationery Office ID 06111401 12/14 44428 19585 Printed on paper containing 75% recycled fibre content minimum
Contents Creative Scotland Chairman s Report... 3 Chief Executive s Report... 5 Director s Report...... 7 Strategic Report...... 10 Remuneration Report... 16 Statement of Accountable Officer s responsibilities... 19 Governance Statement... 20 Independent auditor s report to the members of Creative Scotland, the Auditor General for Scotland and the Scottish Parliament... 23 Statement of Comprehensive Income...... 25 Statement of Financial Position... 26 Statement of Cash Flows... 27 Analysis of changes in net funds... 27 Statement of Changes in Taxpayers Equity...... 27 Notes to the financial statements...... 27 Accounts Direction... 39 Appendix 1 List of hard commitments over 100,000... 43 2
Chairman s Report Our focus at Creative Scotland during 2013/14 has been on improving the way we work, rebuilding relationships and creating forward plans, all so that we can do better for those we are here to support across the arts, screen and creative industries. We have been determined to fulfil the commitments to change made by our Board in December 2012. These commitments covered important issues such as our language and ethos, moving to simpler, longer term funding models providing better support and security for individuals and organisations and better access to the knowledge and expertise of our staff. Since then, Creative Scotland staff and the Senior Leadership Team, initially under the stewardship of Iain Munro as Acting Chief Executive, and then under the leadership of the Chief Executive Janet Archer, have been working to deliver positive change in partnership with many people and organisations from across the arts, screen and creative industries. I would particularly like to congratulate Janet, who, following her appointment in July 2013, has led the organisation with energy and enthusiasm, coupled with clear decisionmaking and strategic thinking. The Creative Scotland team has conducted a programme of listening to those we are here to support through wellattended and lively open sessions across Scotland; through online consultation; through onetoone conversations; and through the creation of a formal reference group, whose members are drawn from all the sectors we serve. What we have heard has enabled us to develop a new funding approach which more closely meets the needs of those we are here to support. By listening we have also been able to develop and publish a 10year plan, Unlocking Potential, Embracing Ambition, setting out a clear set of ambitions and priorities for Creative Scotland. Listening is not a oneoff activity and what we hear back from those we work with will be used continuously to improve all aspects of our work. There is much still to be done, and we can always get better, but I m confident that under Janet s leadership, with the continued commitment the Senior Leadership Team and of our dedicated and knowledgeable staff, that Creative Scotland will be a trusted partner, effectively supporting the arts, screen and creative industries through our funding, advocacy, influence and development. In the past year, Creative Scotland has funded more than two thousand different projects to the value of 91.3m and we have been proud to support individuals and organisations, both across the length and breadth of Scotland, and the full range of art forms and areas of creative practice. The development of Culture 2014, the cultural programme for the Commonwealth Games in Glasgow, has been a major highlight. This has involved a huge number of people and organisations from across Scotland, collaborating successfully to produce one of the biggest arts programmes Scotland has ever seen, echoing the success of the Games themselves. The artists bursaries programme, providing funding for individual artists across all areas of practice, has also been extremely successful, if heavily oversubscribed. This is something we hope will be alleviated from autumn 2014 when individual artists will be able to apply to the new Open Funding Programme on a rolling basis. 3
I have also been pleased this year to see the launch of our new website, making for easier access to funding information that is presented in a clearer and more user friendly manner, while also acting as a platform for those we fund to present their work to a broader audience. In practical terms, the Board has met six times during the year in Edinburgh, Glasgow, Greenock, Dumfries and Shetland. Again, this year, our Board members have made a significant, positive contribution to the direction of Creative Scotland and have devoted a considerable amount of time, voluntarily, to this work. Our focus this year has been to support Janet Archer in her first year as Chief Executive, the Senior Leadership Team and all Creative Scotland staff through another year of change and development and to offer positive guidance and direction. I would like to thank all of our Board members for their time effort. I announced earlier this year that I would not be seeking a second term as Chair, although I have agreed to continue until my successor is appointed. It has been an honour to serve as the first Chair of Creative Scotland, and, despite the issues of the early years, to have been entrusted with ensuring the organisation is travelling in the right direction and delivering against its promises and plans. As such, I hope the new Chair will enjoy leading the Creative Scotland Board as much as I have, and ensuring Creative Scotland plays its part in helping our arts, screen and creative industries develop and grow. I would like to take this opportunity to thank everyone at Creative Scotland for their hard work and commitment, everyone working in the arts, screen and creative industries for the fantastic creative work they produce and their constructive dialogue with myself and my Board colleagues, and the Scottish Government for their continued support of arts and culture in Scotland both in terms of policy and in terms of funding in the face of continued economic challenges. In particular, I would like to thank the Cabinet Secretary for Culture and External Affairs, Fiona Hyslop, for her support to myself, the Board and Creative Scotland over the past year and throughout my time as Chair. Her counsel and advice has been invaluable. We recognise at Creative Scotland the importance of public funding for the arts, screen and creative industries, through Grant in Aid from the Scottish Government and as a UK Lottery Distributor. We will continue to work to ensure this funding is carefully managed, and that our operations are as efficient as they can be, so that as much of that funding as possible reaches those in need of it. Assisted, when and as required by us, I feel sure that the extraordinary creativity that exists across the arts, screen and creative industries in Scotland will continue to flow, both to the benefit of those who work in those sectors and the people of this country. Sir Sandy Crombie Chair of Creative Scotland Board 25 September 2014 4
Chief Executive s Report 2013/14 has been another significant year for the arts, screen and creative industries in Scotland and an important year of development for Creative Scotland. In my first full year as Chief Executive, we have focused firmly on delivering the promise of positive change made previously by our Board. Central to this has been the development of our 10year plan, Unlocking Potential, Embracing Ambition, which we published in April 2014. The publication of the plan followed an intensive period of open consultation, conversation and dialogue with more than 1000 people from across the arts, screen and creative industries contributing to the final plan through open sessions, online consultation and our external reference group. I am very grateful for the time and the thinking that people contributed to this work. As such, we hope everyone sees this as a shared plan, setting out clear ambitions and priorities for the arts, screen and creative industries in Scotland and providing a framework for, not only the work of Creative Scotland, but also the work of the people and organisations that we support and those we work in partnership with. The 10year plan is supported by our Annual Plan, the first of which we published for the 2013/14 year. The Annual Plan sets out our budgets and priority areas of work for the year and how we will measure successful delivery of this work. We are committed to publishing an Annual Plan as early as possible in each new financial year and will report against the previous year s objectives. As part of our plans, we have also made significant progress in introducing a new, simplified approach to funding with three routes regular, open and targeted. The groundwork for the introduction of this new funding approach was started in 2013/14 and the funds are being rolled out in 2014/15. Parallel to the new funding approach are clearer processes for applicants, with a continued commitment to simple language, clear guidance and better feedback. In 2013/14 we also put in place a new senior structure, with Directors for Arts & Engagement; Film & Media and Creative Industries all appointed to provide dedicated support to each of the sectors we serve. This will also inform the revision of our broader staff structure, taking place during 2014/15, with the aim of making the most of the artform and specialism specific knowledge and expertise that we have at our disposal, and to provide access to this knowledge and expertise. As a backdrop to this work, after a period of redevelopment, in March 2014 we launched our new website. The site is now clearer, more user friendly and also acts, alongside our social media channels, as a platform for those we fund to promote their work to a wider audience. We would like this aspect of the site to continue to expand and grow through 2014/15 and beyond. Scottish Government support for the arts, screen and creative industries continues to be strong and, in times that continue to be financially challenging, I d like to thank the Government and the Cabinet Secretary for Culture and External Affairs for this ongoing support which is not only significant but both recognised and welcome. In terms of our funding in 2013/14; we supported the arts, screen and creative industries through 91.3m of funding, from both the Scottish Government and the National Lottery. This took the form of 2,078 different awards across a broad range of creative practice and across all parts of Scotland. Again this year, our staff continued to work closely with individuals and organisations in order to help support them in bringing such fantastic creative work to life. I d like to thank all staff, Senior Leadership Team and the Board for all their hard work across the year. I continue to be impressed by their knowledge, commitment and the positive energy that they bring to the work of Creative Scotland, supporting Scotland s arts, screen and creative industries. 5
The past year has been hugely successful in terms of the quality and range of artistic and creative work that has happened in and from Scotland, across all areas of practice, and I continue to be inspired by the richness of ideas, ambition and energy among Scotland s creative community. One of the highlights of the year has been the work to develop Culture2014, the biggest cultural programme ever delivered in Scotland, with over 1500 events, performances, exhibitions and creative happenings across the country to accompany the Commonwealth Games. Key elements of the programme, such as Generation, Festival2014 and Get Scotland Dancing have involved a huge amount of work and been many months, even years, in gestation. The Culture2014 programme would not happen without such longterm planning and active and open collaboration among artists, performers, producers and a host of partner organisations and this spirit of collaboration is to be both recognised and commended. Another significant development in 2013/14 was the launch of Scotland s very first Youth Arts Strategy, Time to Shine, and the subsequent creation of nine Youth Arts Hubs across the country. This has been an important step for arts provision, engagement with young people and inclusion and, again, this is something that has only happened through effective collaborative working involving a range of partner organisations. In the coming year, we will continue to work hard to support the arts, screen and creative industries through our funding, our advocacy, our influence and our commitment to development of the sectors we serve. W e will also be publishing detailed 3 year strategies for the arts, screen and creative industries in 2014/15.. We will continue to work in partnership with people and organisations across all areas of practice to ensure that Scotland is a place where everyone actively values and celebrates arts and creativity as the heartbeat for our lives; which continually extends its imagination and ways of doing things; and where the arts, screen and creative industries are confident, connected and thriving. Janet Archer Chief Executive and Accountable Officer 25 September 2014 6
Director s Report Introduction Creative Scotland is the national body responsible for distribution of lottery funds towards the support of artistic and creative activities. Through the National Lottery etc. Act 1993 (Amendment of section 23) (Creative Scotland) Order 2010, all sums held for distribution by Scottish Screen and the Scottish Arts Council are now held for distribution by Creative Scotland. Under the financial directions issued by the Scottish Ministers, Creative Scotland is required to produce separate statements of accounts relating to these activities. An Annual Report for the National Lottery activity as required by the financial directions is incorporated within this Annual Report and Accounts. The accounts have been prepared in a form directed by the Scottish Ministers in accordance with Section 34(3) of the National Lottery etc. Act 1993. The Accountable Officer authorised these annual report and accounts for issue on 25 September 2014. National Lottery Distribution Fund At 31 March 2014 the Statement of Financial Position held under the stewardship of the National Lottery Distribution Fund (NLDF) available to Creative Scotland was 19.1 million (2013: 28.2 million). During the year to 31 March 2014, 38.8 million was called down from the NLDF for the payment of approved awards and administration of Creative Scotland s Lottery Fund (2013: 34.6 million). Creative Scotland Board The Public Services Reform (Scotland) Act allows for up to a maximum of fourteen members, in addition to the Chair, all to be appointed by Scottish Ministers. The membership of the Board during the year was as follows: Date of appointment Term End of current term Sir Sandy Crombie (Chairman) 1 July 2010 2nd 31 December 2014 Peter Cabrelli 1 July 2010 2 nd 17 January 2014 Steve Grimmond 1 July 2010 2 nd 30 June 2016 Sandra Gunn 1 July 2012 1 st 30 June 2016 Professor Robin MacPherson 1 July 2010 1 st 30 June 2015 May Miller 1 July 2012 1 st 30 June 2016 Fergus Muir 1 July 2012 1 st 30 June 2016 Barclay Price 1 July 2010 2 nd 30 June 2016 Richard Scott 1 July 2012 1 st 30 June 2016 Dr Gary West 1 July 2010 1 st 30 June 2015 Ruth Wishart 1 July 2010 1 st 30 June 2015 * Peter Cabrelli resigned from the Board on 17 January 2014 following a period of illness. He sadly died on 11 March 2014. The Board has ultimate decision making responsibility, but to facilitate effective management appropriate levels of delegated authority have been approved by the Board for the Accountable Officer. 7
The Board is supported by an Audit and Risk Committee, a Financial and General Purposes Committee and a Chairs Committee. Members of these committees are appointed by the Board from their membership. A register of interests for Board members is maintained and is available on the Creative Scotland website. Neither the Chair, nor any of the Board are remunerated for their roles. The Board has corporate responsibility for ensuring that Creative Scotland fulfils the aims and objectives set by the Scottish Ministers; for promoting the efficient use of staff and other resources, in accordance with the principles of Best Value and for establishing the overall strategic direction for Creative Scotland. Further details on the responsibilities of the Board are reflected within the Management Statement and Financial Memorandum available on the Creative Scotland website. Political and Charitable Donations There have been no political or charitable donations during the year or in the prior year. Grants and Awards have been made to charitable organisations but these are not classed as donations. Creative Scotland was established on the 1st July 2010 through enactment of the Public Services Reform (Scotland) Act 2010. Creative Scotland has the status of a Non Departmental Public Body (NDPB) and has a Board, appointed by the Scottish Ministers. Risk management The risks faced by Creative Scotland are reflected within the Business Risk Assessment Register. The register is reviewed regularly at management meetings, with additional substantive periodic reviews also undertaken during the year. The register is also a standing item at each Audit and Risk Committee meeting, and the register is also presented annually in full to the Board. Sickness absence In the year to 31 March 2014, an average of 5.8 working days (2013: 7.7 days) was lost per staff working in the year. Data loss There were no reported incidents of unauthorised exposure or loss of personal data during the financial year. 8
Information provided to the external auditor Creative Scotland s external auditor is appointed by the Auditor General for Scotland, and for the year ended 31 March 2014, KPMG LLP is the appointed auditor. So far as the Accountable Officer is aware, there is no relevant audit information of which the auditor is unaware and the Accountable Officer has taken all the steps that she ought to have taken in order to make herself aware of any relevant audit information and to establish that the auditor is aware of that information. Janet Archer Chief Executive of Creative Scotland and Accountable Officer 25 September 2014 9
Strategic Report Structure, Governance and Management Creative Scotland was established on the 1st July 2010 through enactment of the Public Services Reform (Scotland) Act 2010. It has the status of a Non Departmental Public Body (NDPB) and has a Board, appointed by the Scottish Ministers. Creative Scotland is the public body that supports the arts, screen and creative industries across all parts of Scotland on behalf of everyone who lives, works or visits here. We enable people and organisations to work in and experience the arts and creative sectors in Scotland by helping others to create culture through developing great ideas and bringing them to life. Creative Scotland s role as a development agency is to be an intelligent funder of the arts, screen and creative industries, to be a national and international advocate on their behalf and to positively influence attitudes, behaviours and policies. We distribute funding from the Scottish Government and the National Lottery. A separate National Lottery Distribution Fund Annual Report and Accounts is produced for the activities undertaken as a Lottery Distributor. These accounts have been prepared under an Accounts Direction issued by the Scottish Government on page 39. Unlocking Potential, Embracing Ambition A major development in 2013/14 was the development and publication of Creative Scotland s 10 Year Plan, Unlocking Potential, Embracing Ambition. Following on from the Board s commitments to change, made in December 2012, and the subsequent appointment of Janet Archer as Chief Executive in July 2013; the Plan sets out a clear set of longer term ambitions, underpinned by shorter term priorities, to ensure that the arts, screen and creative industries in Scotland continue to thrive. Importantly, this Plan is a shared plan, developed collaboratively with the people and organisations that Creative Scotland is here to support and also with partners in other public sector organisations and in Government. Throughout 2013/14, Creative Scotland opened its doors to discussion and dialogue through a programme of open sessions across Scotland, the creation of a sector representative reference group, online public consultation and many onetoone conversations. In all, around 1000 different people and organisations contributed to the development of the 10 Year Plan. This process of dialogue was instrumental in creating a shared vision of a Scotland where everyone actively values and celebrates arts and creativity as the heartbeat for our lives and the world in which we live; which continually extends its imagination and ways of doing things; and where the arts, screen and creative industries are confident, connected and thriving The five ambitions that underpin this ambition over the next ten years are: Excellence and experimentation across the arts, screen and creative industries is recognised and valued Everyone can access and enjoy artistic and creative experiences 10
Places and quality of life are transformed through imagination, ambition and an understanding of the potential of creativity Ideas are brought to life by a diverse, skilled and connected leadership and workforce Scotland is a distinctive creative nation connected to the world An important part of the implementation of the 10 Year Plan has been the development of our new, simplified, approach to funding. Through 2013/14, much work has been undertaken listening to feedback from those we are here to support and subsequently designing a funding approach that reflects their needs. We developed a three route funding approach consisting of regular funding for organisations over three years; open project funding for individuals and organisations for time limited projects; and a small number of targeted funds to deliver specific strategic aims (including restricted funds provided to us by Government for specific purposes, such as the Youth Music Initiative). Details of this new funding approach were published alongside our 10 Year Plan and the approach is being rolled out through 2014/15. More details on Creative Scotland s 10 Year Plan and funding approach can be found in Unlocking Potential Embracing Ambition: a shared plan for the arts, screen and creative industries 20142024 at creativescotland.com Review of the year In 13/14 Creative Scotland committed 91.2 million of funding to the arts, screen and creative industries in Scotland made up of 48.1 million of Scottish Government Grant In Aid funding and 43.1 million of National Lottery funds. The following highlights have been supported through Grant in Aid funding from the Scottish Government, through National Lottery funding or from a combination of both. This is accompanied by support given through advocacy, strategic development and to regularly and annually funded organisations which provide significant cultural and artistic benefit and celebrate the vibrancy of the arts, screen and creative industries in Scotland. 2013/14 was another important year for the arts, screen and creative industries, and Creative Scotland s increased grant expenditure continued to support a broad range of organisations, individuals and projects across Scotland, across a broad range of artforms and types of creative practice, and across a broad range of scale. Some highlights include: Grant in Aid funded activity The Youth Music Initiative (YMI) continued to create access to high quality music making opportunities for young people, offering them the chance to achieve their potential through music making, and supporting the development of the youth music sector. Creative Scotland distributed 9.8 million in funding from the Scottish Government in support of YMI. This was the third year of Creative Scotland s participation in the CashBack for Communities initiative, which has seen over 45 million recovered through the Proceeds of Crime Act, reinvested back into communities to benefit Scotland s young people. 2.25 million has been allocated over the three years towards arts, music and dance activities through Cashback for Creativity. 2013/14 also saw the publication of Scotland's first National Youth Arts Strategy (Time to Shine) setting out a vision and recommendations to enable Scotland s children and young 11
people to flourish through the arts and creativity. In 2013/14, Creative Scotland provided 2 million in funding to establish nine youth arts hubs across the country, as part of an overall 3.1 million in support. This project will continue to run through 2014/15. Creative Scotland also funds projects with an international ambition in order to support the promotion of Scotland s arts, screen and creative industries across the world. Key projects supported in 2013/14, included Scotland + Venice, Scotland s presentation as part of the Venice Biennale; Scotland Week in the United States and Canada; Made in Scotland, a curated showcase promoting high quality music, theatre and dance to international promoters and audiences at the Edinburgh Festival Fringe; and participation by Scottish bands in the South by South West Festival in Texas. Lottery funded activity Work continued through 2013/14, in partnership with Glasgow Life and other organisations, to develop Culture 2014, the largest cultural programme that Scotland has ever seen to accompany the Commonwealth Games. Over 1500 different projects and events make up the programme taking place in Glasgow across Scotland, showcasing some of the best of Scotland s arts, screen and creative industries talent. 2013 was the Year of Natural Scotland, the designated annual initiative of the Scottish Government, and a series of projects highlighted Scotland s great natural assets and celebrate its reputation as a land of outstanding beauty. Creative Scotland, working with partners such as Scottish Natural Heritage, supported a number of projects as part of the yearlong celebrations. Get Scotland Dancing a project to support the Scottish Government s aim to provide an unparalleled opportunity to raise the profile of dance as a creative, participative and physical art form. Creative Scotland are committing 1.5 million across a four year period, creating an inclusive celebration of dance across Scotland, linking into the wider UK and marking Scotland s place in the world. The Creative Place Awards 2013 saw the second annual Creative Place Awards ceremony. The Awards were established to celebrate and recognise the hard work and imagination that contribute to the rich cultural life of a community, as well as its social and economic wellbeing. Pelmsdale, Peebles and Falkirk were the successful nominees for 2014. These are just some examples of the range of work supported by Creative Scotland in 2013/14 in our role as funder, advocate, influencer and development body on behalf of the arts, screen and creative industries in Scotland. Financial Review Creative Scotland s share of proceeds from the National Lottery Fund during the year to 31 March 2014 was 29.7 million, (2013: 34.6 million). A total of 79,000 (2013: 139,000) was recouped from projects funded in previous years. Other income of 1.2 million (2013: 1 million) brought the total income to 30.9 million (2013: 35.7 million). The decrease in our share of proceeds from the National Lottery Fund reflects lower ticket sales in the year and increased marketing costs associated with the introduction of the 2 lotto game. In addition, we adjusted the opening balance of NDLF funds arising from a revised fund balance provided by DCMS after the 201213 accounts were approved. Other income includes jointly funded projects associated with Glasgow 2014 and the Arts and Criminal Justice programme. 12
Commitments relating to lottery funding entered into during 2013/14 totalled 43.2 million (2013: 28.4 million). Expenditure on projects during the year was 1.1 million (2013: 1.2 million). Expenditure on staff and other operating costs was 2.5 million (2013: 2.6 million). Decommitments during 2013/14 of prior year awards amounted to 145,000 (2013: 74,000). Staff, overhead and related costs were recharged from Creative Scotland s grant in aid funded statements. The net result for the period is a deficit of 15.7 million, (2013: surplus of 1.7 million). The planned deficit is in line with expectations and reflects Creative Scotland s plan to forward commit lottery balances in 201314 to provide funding for a number of projects including Glasgow 2014. The planned deficit is manageable based on continuing proceeds from the National Lottery and the large balances held in the NDLF to meet commitments as they fall due. Following the forward commitment plans for 201314, there are net liabilities of 722,000 (2013: net assets of 15 million). The Board and Senior Management have robust financial plans for the ongoing operation of the fund which support the going concern basis of preparation as stated in section 1.3 of the accounting policies on page 28. Environmental Sustainability Creative Scotland is committed to reducing the environmental impact of its operations, as well as promoting carbon efficiency and sustainable behaviours across the arts, screen and creative industries. An environment policy sets out Creative Scotland s statutory requirements under the Climate Change (Scotland) Act 2009 and to assist the Scottish Government s target of cutting CO2 emissions by 42% by 2020. Creative Scotland works in conjunction with Creative Carbon Scotland in promoting the environment to support funded organisations, enabling them to report on their sustainable behaviour and contribution to CO2 emission reduction. Working with Creative Carbon Scotland, Creative Scotland will run a pilot on this in the latter half of 2013/14, inviting organisations to report if they can. The aim to have full support for reporting in place for 2014/15. More information on our environment policy can be found at creativescotland.com Social, community and human rights issues Creative Scotland positions the work that we fund at the heart of creative, artistic, cultural, social and economic development. We contribute to the Scottish Government s aim of establishing a more equal and inclusive society and to the National Outcome (7) which states: We have tackled the significant inequalities in Scottish society. In our 10 year plan, equalities is a key connecting themes across the five ambitions. Our plan states: We aim to put equalities and diversity at the heart of all our activity enabling people from different backgrounds, from diverse communities and of all ages to access increased opportunity through access to arts and culture. We have set Equality Outcomes, which help us to address inequalities but also relate to more specific human rights challenges, including race and gender discrimination, and the rights of children and disabled people. Our funding aims to tackle inequalities and the Public Engagement funding programme was set up to address persistent inequalities in arts provision, to widen participation and address barriers to engagement in high quality arts. We also support organisations and individuals to deliver arts programmes which help to address the inequalities in society and promote human rights. 13
Breakdown of employee groups by gender At 31 March 2014, Creative Scotland employed 105 members of staff, and the table below shows the breakdown by employment grade across the two genders. Grade Males Females A 2 8 B 7 12 C 14 28 D 11 13 F 4 3 Deputy Chief Executive 1 Chief Executive 1 Total 39 66 Future developments In April 2014, Creative Scotland published its 10 Year Plan: Unlocking Potential Embracing Ambition: a shared plan for the arts, screen and creative industries 20142024. The Plan highlighted Creative Scotland s five ambitions and the priorities over the next 3 years to help achieve these ambitions. Key tasks to be undertaken in 2014/15 financial year include: Supporting the delivery and evaluation of the Glasgow 2014 Commonwealth Games Cultural Programme, in partnership with the Glasgow 2014 Organising Committee and Glasgow Life. Delivery of the Time to Shine, Scotland s art strategy for people aged 0 to 25. Completion of the major Capital Programme awards, with the award of stage 2 awards for a number of successful projects. Creative Scotland will continue to develop strategies for our three key areas of responsibility; the Arts, Screen and Creative Industries during 2014/15. The following reviews and strategies will be published during the year: A Film Strategy will be developed and published in September 2014 in response to the Film Sector Review which was published in 2013/14 and subsequent open online consultation in summer 2014. A Creative Industries Strategy will be developed drawing on evidence from a major mapping study of the creative industries and the ongoing work of SCIP (Scottish Creative Industries Partnership) and this will be published by December 2014 With specific regard to the Arts; we will be carrying out the following sector reviews in 2014/15: o o o o o An Equalities Review will look at how we can best support an increasingly diverse culture in Scotland, and inform our future priorities An International Strategy will be developed and published, working alongside the Scottish Government, and partners such as the British Council and Visit Scotland A Visual Arts Sector Review A Literature and Publishing Sector Review We also plan to develop a Scots Language plan to consider Scots in the cultural life of Scotland During 2014/15, there will be significant changes to the funding programmes, with the launch of Creative Scotland s new approach to Regular Funding, for the period 2015 to 2018. This will provide around 90 million in regular funding over 3 years, and is one of the key means by which the ambitions, priorities and connecting themes highlighted in the 10 Year Plan will be addressed. It will provide stable support for a range of organisations and consortia across Scotland who make an 14
important contribution to the development of the arts, screen and creative industries, enabling them to plan and deliver activities over a 3 year period. In addition, a new Open Fund for grants between 1,000 and 150,000 will be available to support projects up to a maximum duration of two years. This will be available for application from October 2014, with a number of transitional programmes being run in the interim to provide ongoing funding support. Janet Archer Chief Executive of Creative Scotland and Accountable Officer 25 September 2014 15
Remuneration Report The Chair, Board and Chief Executive are appointed by the Scottish Ministers. The Chair and Board receive no remuneration, the Chair having declined the offer of a remuneration package linked to the role. Incidental travel and subsistence expenditure are reimbursed to Board members in accordance with established expenses policies. Board expenses for the year to 31 March 2014 were 5,424 (2012/13: 3,791). The Chief Executive s remuneration arrangements comply with the Scottish Government Public Sector Pay Policy for Senior Management. Senior management s remuneration falls within the organisations pay grades. Remuneration paid is for employment with Creative Scotland and is not additional in respect to the Fund The following parts of the Remuneration Report are subject to audit. Salary entitlements of the Creative Scotland Senior Leadership Team* 2013/14 2012/13 Name Salary/(Bonus) Benefits in Total Salary/(Bonus) Benefits Total 000 kind 000 in kind 1 Janet Archer Chief Executive (from 1 July 2013) 2 Iain Munro Deputy Chief Executive (from 13 August 2013) Caroline Parkinson Director of Creative Industries Kenneth Fowler Director of Communications & External Relations Karen Lannigan Director of HR & Office Services (from 1 July 2013) 3 Ian Stevenson Director of Finance (from 8 April 2013) Leonie Bell 3 Director of Arts & Engagement (from 1 May 2013) Phillip Deverell 3 Director of Strategy (from 6 January 2014) Gerard Kelly 3 Director of Funding Operations (from 13 January 2014) Laura McKenzie Stewart Director of Creative Development (from 1 May 2013 to 28 March 2014 ) Alyson Hagan Director of Finance and Operations (to 12 April 2013) Janine Hunt Interim Director of Operations (to 9 January 2014) 7580 (0) 7580 (0) 6570 (0) 6570 (0) 5055 (0) 5055 (0) 5055 (0) 1015 (0) 1015 (0) 5055 (0) 05 (0) 4045 (0) 510 8590 6570 (0) 6065 (0) 6065 (0) 4045 (0) 05 1520 6570 (0) 05 (0) 6570 6065 6065 4045 6570 05 1 2 3 Full year FTE salary is in the range 110,000 to 115,000 Iain Munro served as Acting Chief Executive from 5 December 2012 to 30 June 2013 Full year FTE salaries are in the range 55,000 to 60,000 16
Salary Salary includes gross salary; overtime; recruitment and retention allowances; private office allowances and any other allowance to the extent that it is subject to taxation. This report is based on accrued payments made by Creative Scotland to the individuals. Bonus Bonuses are based on performance levels attained and are made as part of the appraisal process. Bonuses are recorded according to the year in which they are paid. No bonuses were paid during the period (2012/13 Nil). Benefits in kind The monetary value of benefits in kind covers any benefits provided by Creative Scotland and treated by HM Revenue and Customs as a taxable emolument, as well as any nontaxable emoluments not subject to taxation. During the year, Creative Scotland paid benefits in kind for relocation expenses for the Chief Executive and Director of Strategy, who both relocated to Edinburgh for their roles. Senior staff pension accrued as at 31 March 2014 and 2013: Name Accrued pension (lump sum) 31 March 2014 '000 Janet Archer 05 (05) Iain Munro 1520 (4550) Caroline 05 Parkinson (510) Kenneth Fowler 05 (510) Karen Lannigan 510 (510) Ian Stevenson 05 (05) Leonie Bell 05 (510) Philip Deverell 05 (05) Gerard Kelly 05 (05) Laura McKenzie 05 Stewart (510) Alyson Hagan 1015 (1520) Accrued pension (lump sum) 31 March 2013 '000 1015 (3540) 05 (510) 05 (05) 05 (510) 05 (510) 05 (510) 1015 (1520) Real increase in pension (lump sum) '000 05 (05) 05 (510) 05 (05) 05 (05) 05 (05) 05 (05) 05 (05) 05 (05) 05 (05) 05 (05) 05 (05) CETV 31 March 2014 000 CETV 31 March 2013 000 Real increase in CETV 000 15 12 193 165 30 36 28 7 25 16 7 62 48 11 7 5 26 20 6 2 2 2 2 17 11 6 127 127 Pension scheme Pension benefits are provided through the Arts Council Retirement Plan (1994) for Creative Scotland and legacy Scottish Arts Council staff. Legacy Scottish Screen staff are members of the Strathclyde Pension Fund. The members of the Senior Management Team are members of the two schemes on the same basis as other employees. Cash Equivalent Transfer Values A Cash Equivalent Transfer Value (CETV) is the actuarially assessed capitalised value of the pension scheme benefits accrued by a member at a particular point in time. The benefits valued are the member s accrued benefits and any contingent spouse s pension payable from the scheme. A CETV is a payment made by a pension scheme or arrangement to secure pension benefits in another pension scheme or arrangement when the member leaves a scheme and chooses to transfer the benefits accrued in their former scheme. The pension figures shown relate to the benefits that the individual has accrued as a consequence of their total membership of the pension scheme, not just their service in a senior capacity to which disclosure applies. 17
The figures include the value of a pension benefit in another scheme or arrangement which the individual has transferred to Creative Scotland s pension arrangements. They also include any additional pension benefit accrued to the member as a result of their purchasing additional pension benefits at their own cost. CETVs are worked out within the guidelines and framework prescribed by the Institute and Faculty of Actuaries and do not take into account of any actual or potential reduction to benefits resulting from Lifetime Allowance Tax which may be due when pension benefits are taken. Real increase in CETV This reflects the increase in CETV that is funded by the employer. It does not include the increase in accrued pension due to inflation, contributions paid by the employee (including the value of any benefits transferred from another pension scheme or arrangement) and uses common market valuation factors for the start and end of the period. Exit packages Exit package cost band Total number of packages by Total number of packages by cost band cost band (2013/14) (2012/13) Less than 10,000 10,000 to 24,999 25,000 to 49,999 1 50,000 to 100,000 1 Over 100,000 Total number of exit packages 2 Median pay multiples Reporting bodies are required to disclose the relationship between the remuneration of the highest paid director in their organisation and the median remuneration of the organisation s workforce. The banded remuneration of the highest paid director in Creative Scotland in the financial year 2013/14 was 115,000 to 120,000 (2012/13: 160,000 to 165,000). This was 4.1 times (2012/13: 5.6 times) the median remuneration of the workforce, which was 29,145 (2012/13: 28,859.). The reduction in the median pay multiples relates to the fact that the remuneration of the highest paid director for 2012/13 included benefit in kind and payment in lieu of notice. In 2013/14 there were no employees receiving remuneration in excess of the highestpaid director (2012/13: none). Total remuneration includes salary, nonconsolidated performancerelated pay, benefitsinkind as well as severance payments. It does not include employer pension contributions and the cash equivalent transfer value of pensions. Janet Archer Chief Executive of Creative Scotland and Accountable Officer 25 September 2014 18
Statement of Accountable Officer s responsibilities Under the Public Services Reform (Scotland) Act 2010, the Scottish Government has directed Creative Scotland to prepare for each financial year a statement of accounts in the form and on the basis set out in the Accounts Direction. The accounts are prepared on an accruals basis and must give a true and fair view of the state of affairs of Creative Scotland and of its income and expenditure, changes in taxpayers equity and cash flows for the financial year. In preparing the accounts, the Accounting Officer is required to comply with the requirements of the Government Financial Reporting Manual and in particular to: observe the Accounts Direction issued by the Scottish Government, including the relevant accounting and disclosure requirements, and apply suitable accounting policies on a consistent basis; make judgements and estimates on a reasonable basis; state whether applicable accounting standards as set out in the Government Financial Reporting Manual have been followed, and disclose and explain any material departures in the financial statements; and prepare the financial statements on a going concern basis. The Accountable Officer of the Scottish Government s Governance and Communities Directorate has designated the Chief Executive as Accountable Officer of Creative Scotland. The responsibilities of an Accountable Officer, including responsibility for the propriety and regularity of the public finances for which the Accountable Officer is answerable, for keeping proper records and for safeguarding Creative Scotland s assets, are set out in the Accountable Officer s Memorandum issued by Scottish Ministers. Janet Archer Chief Executive of Creative Scotland and Accountable Officer 25 September 2014 19
Governance Statement Scope of Responsibility As Accountable Officer, I have responsibility for maintaining a sound system of internal control that supports the achievement of the organisation's policies, aims and objectives set by the Scottish Ministers, whilst safeguarding the public funds and assets for which I am personally responsible, in accordance with the responsibilities assigned to me. Governance framework Creative Scotland s governance framework is based on the legislative powers of the organisation as stated in the Public Services Reform (Scotland) Act 2010 and the Financial Memorandum with the Scottish Government. The Scottish Public Finance Manual (SPFM) is issued by the Scottish Ministers to provide guidance to the Scottish Government and other relevant bodies on the proper handling and reporting of public funds. It sets out the relevant statutory, parliamentary and administrative requirements, emphasises the need for economy, efficiency and effectiveness, and promotes good practice and high standards of propriety. Creative Scotland applies relevant sections of the SPFM to its governance framework arrangements. The Board has corporate responsibility for ensuring that Creative Scotland fulfils the aims and objectives set by the Scottish Ministers. The Board is supported in its activities by three standing committees: the Audit and Risk Committee; the Finance and General Purposes Committee (previously known as the Remuneration and Governance Committee); and the Chairs Committee. The purpose of the Chairs Committee is to give the Board the flexibility to deal with matters out with the programmed Board meeting schedule. As is good practice, terms of reference are in place for the Board and its standing committees. These pull together the Board s statutory and regulatory responsibilities, as detailed within key governance documentation including the Public Services Reform (Scotland) Act 2010 and Creative Scotland s Management Statement and Financial Memorandum. Operation of the Board During 201314, the Board met on six occasions in line with its agreed schedule of meetings. During the year, the Board approved a financial management policy which covers the process for delegating responsibility for budgets and the approval process for amendments to the budget. The Board also reviewed a three budget plan and approved new structures for Creative Scotland s investment programmes across three funding streams: regular funding, open project funding and targeted funding. These programmes will be launched for applications during 201415. The Audit and Risk Committee met four times during the year and is responsible for reviewing and monitoring all aspects of and issues relating to the preparation and production of all annual financial statements for Creative Scotland, including consideration of accounting policies, levels of disclosure, risk management policies, internal control systems, compliance with applicable corporate governance requirements and reviewing any relevant matters relating to financial statements and reports raised by external or internal auditors as a result of their audit work. The Remuneration and Governance Committee met two times during the year to review the performance against objectives and remuneration for the Chief Executive; consider and approve proposals on remuneration for staff, via review of pay remit submissions and consider and approve any new HR policies. The remit of the committee was expanded for 2014/15 financial year, and it was renamed the Finance and General Purposes Committee. The new remit allows the Committee to 20
review financial performance and outturn, and other important operational matters at a more detailed level. The Chairs Committee met twice in the period. The Committee continued to support the Board by allowing flexibility to deal with significant matters arising throughout the year in a timely manner. All findings are reported to the Board at the next scheduled meeting. All activities undertaken by committees are reported to the Board through presentation and discussion of committee minutes, with matters escalated as required. Accountable Officer The Accountable Officers covering the period to 31 March 2014 were: Iain Munro (Acting Chief Executive) from 1 February 2013 to 30 June 2013 Janet Archer (Chief Executive) from 1 July 2013. In order to obtain assurances over the system of internal controls over the year, I obtained assurances in the form of a Certificate of Assurance from senior staff. Assessment of corporate governance in the period The system of internal control is designed to manage rather than eliminate the risk of failure to achieve the organisation's policies, aims and objectives. It can therefore only provide reasonable and not absolute assurance of effectiveness. The system of internal control is based on an ongoing process designed to identify the principal risks to the achievement of the organisation's policies, aims and objectives; to evaluate the nature and extent of those risks and to manage them efficiently, effectively and economically. The process within the organisation accords with guidance from the Scottish Ministers provided in the Scottish Public Finance Manual and has been in place for the year ended 31 March 2014 and up to the date of approval of the annual report and financial statements. The Accountable Officer is responsible for reviewing the effectiveness of the system of internal control and is informed by: the executive managers who have responsibility for the development and maintenance of the internal control framework; the work of the internal auditors, who submit to the organisation's Audit and Risk Committee regular reports which include an independent and objective opinion on the adequacy and effectiveness of the organisation's systems of internal control together with recommendations for improvement; comments made by the external auditors in their management letters and other reports. All recommendations from Internal and External audit are responded to by management and both the recommendations and responses for implementation are reviewed by the Audit and Risk Committee before being either approved or amended, for implementation. The findings from audit are then reported to the Board. The independent Internal Auditor s Annual Report found that Creative Scotland has a framework of governance, risk management and control, including operational, financial and ICT controls, which provide reasonable assurance regarding the effective and efficient achievement of the organisation s objectives. More generally, the organisation is committed to a process of continuous development and improvement: developing systems in response to any relevant reviews and developments in best practice in this area. In particular, in the period covering the year to 31 March 2014 and up to the 21
signing of the financial statements, the organisation has continued progressing through transition, in the development and establishment of effective and appropriate systems, processes and controls. The organisation continued with its project to implement a new CRM and grants management system, as part of an overall project which has seen new finance and HR systems successfully implemented. The new grants management module, was launched in October 2014, and is now used for processing all current grants issued over the last 3 years. The next stage of the project, to manage the new Creative Scotland funding programmes, will be undertaken during 201415, and will include a new online application process. Risk management The Accountable Officer and Board have ultimate responsibility for the control of all identified organisational risks. The Business Risk Assessment Register identifies the organisation s risks and relevant the control strategy for each. The Business Risk Assessment Register has been developed in line with relevant guidance issued by the Scottish Ministers and with clearly defined processes and specific areas of responsibility. There is an established process for the register to be reviewed and updated to reflect any changes in potential risks and or developments of the controls in place. Risk management is a regular agenda item at senior management meetings and risk management is fully incorporated into the corporate planning and decision making processes of the organisation. The Register is a standing item at each Audit and Risk Committee meeting and in addition to ongoing reporting through the Audit and Risk Committee minutes the Register is also presented annually in full to the Board. To ensure effective daily control, each identified risk is allocated to one or more members of the senior management team, based on their appropriate skills/knowledge within the area concerned and they have responsibility to ensure that current controls are maintained. Initiatives for improvement are undertaken and that any new risks identified within their areas or within the wider organisation are immediately highlighted to the Accountable Officer/Chief Executive. To fully support the senior management in this process, any newly identified risks; decisions on controls, new initiatives, reviews of risks and reassessment controls etc. are discussed at the management team meetings and further guidance is given before any action is taken. Janet Archer Chief Executive of Creative Scotland and Accountable Officer 25 September 2014 22
Independent auditor s report to the members of Creative Scotland, the Auditor General for Scotland and the Scottish Parliament We have audited the financial statements of Creative Scotland National Lottery Distribution Fund for the year ended 31 March 2014 set out on pages 25 to 38. The financial reporting framework that has been applied in their preparation is applicable law and International Financial Reporting Standards (IFRSs) as adopted by the European Union, and as interpreted and adapted by the Government Financial Reporting Manual 2013 14. This report is made solely to Creative Scotland and to the Auditor General for Scotland in accordance with sections 21 and 22 of the Public Finance and Accountability (Scotland) Act 2000. Our audit work has been undertaken so that we might state to those two parties those matters we are required to state to them in an auditor s report and for no other purpose. In accordance with the Code of Audit Practice approved by the Auditor General for Scotland, this report is also made to the Scottish Parliament, as a body. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Creative Scotland and the Auditor General for Scotland, for this report, or the opinions we have formed. Respective responsibilities of Accountable Officer and auditor As explained more fully in the Statement of the Accountable Officer s responsibilities set out on page 19, the Accountable Officer is responsible for the preparation of financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland) as required by the Code of Audit Practice approved by the Auditor General for Scotland. Those standards require us to comply with the Auditing Practices Board s Ethical Standards for Auditors. Scope of the audit of the financial statements An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or error. This includes an assessment of: whether the accounting policies are appropriate to the body s circumstances and have been consistently applied and adequately disclosed; the reasonableness of significant accounting estimates made by the Accountable Officer; and the overall presentation of the financial statements. In addition, we read all the financial and nonfinancial information in the Annual Report to identify material inconsistencies with the audited financial statements and to identify any information that is apparently materially incorrect based on, or materially inconsistent with, the knowledge acquired by us in the course of performing the audit. If we become aware of any apparent material misstatements or inconsistencies we consider the implications for our report. Opinion on financial statements In our opinion the financial statements: give a true and fair view of the state of the body s affairs as at 31 March 2014 and of its deficit for the year then ended; have been properly prepared in accordance with International Financial Reporting Standards as adopted by the European Union, as interpreted and adapted by the Government Financial Reporting Manual 2013 14; and have been prepared in accordance with the requirements of the National Lottery etc. Act 1993 and directions made thereunder by the Scottish Ministers. 23
Opinion on regularity prescribed by the Public Finance and Accountability (Scotland) Act 2000 In our opinion in all material respects the expenditure and income in the financial statements were incurred or applied in accordance with any applicable enactments and guidance issued by the Scottish Ministers. Opinion on other matters prescribed by the National Lottery etc. Act 1993 In our opinion: the part of the Remuneration Report to be audited has been properly prepared in accordance with the National Lottery etc. Act 1993 and directions made thereunder by the Scottish Ministers; and the information given in the Strategic Report, Directors Report and the part of the Remuneration Report that is not audited for the financial year for which the financial statements are prepared is consistent with the financial statements. Matters on which we are required to report by exception We have nothing to report in respect of the following matters where the Public Finance and Accountability (Scotland) Act 2000 requires us to report to you if, in our opinion: adequate accounting records have not been kept; or the financial statements and the part of the Remuneration Report to be audited are not in agreement with the accounting records; or we have not received all the information and explanations we require for our audit; or the Governance Statement does not comply with guidance from the Scottish Ministers. David Watt for and on behalf of KPMG LLP, Statutory Auditor Chartered Accountants 191 West George Street Glasgow G2 2LJ 1 October 2014 24
Statement of Comprehensive Income For the year ending 31 March 2014 Creative Scotland Notes 2013/14 2012/13 000s 000s Income National Lottery Fund proceeds 3 29,689 34,638 Other income 4 1,238 1,023 30,927 35,661 Expenditure Grants, awards and investments 5 43,161 28,410 Less: decommitment of prior year awards 5 (145) (74) Project expenditure 1,130 1,224 Staff costs 6 1,661 1,602 Other operating expenditure 7 848 1,013 Transfer to the Olympic Lottery Distribution Fund 3 1,799 46,655 33,974 Surplus/(Deficit) (15,728) 1,687 All the results of the Fund relate to continuing activities. The notes on pages 28 to 38 form part of these annual report and accounts. 25
Statement of Financial Position As at 31 March 2014 Notes 31 March 31 March 2014 2013 000s 000s Current assets Trade and other receivables 9 225 149 Loan receivables 10 76 78 Investments in the NLDF 11 19,106 28,233 Cash and cash equivalents 12 79 237 Total current assets 19,486 28,697 Current liabilities Trade and other payables 13 19,548 13,616 Total current liabilities 19,548 13,616 Net current assets/(liabilities) (62) 15,081 Noncurrent liabilities Trade and other payables 13 590 5 Provisions Total noncurrent liabilities 14 70 660 70 75 Net assets/(liabilities) (722) Reserves (722) 15,006 15,006 The Accountable Officer authorised these financial statements for issue on 25 September 2014. Janet Archer Chief Executive of Creative Scotland and Accountable Officer 25 September 2014 The notes on pages 28 to 38 form part of these annual report and accounts. 26
Statement of Cash Flows Notes 2013/14 2012/13 Cash flows from operating activities (Deficit) / surplus on ordinary activities Movements in working capital Decrease/(Increase) in trade receivables (Decrease)/Increase in trade payables (Decrease)/Increase in provisions Decrease/(Increase) in NLDF investments Net cash flow from operating activities 000s (15,728) (75) 6,517 9,127 15,569 000s 1,687 (37) (3,197) (52) 1,537 (1,749) Net increase / (decrease) in cash and cash equivalents (158) (62) Net cash and cash equivalents as at 1 April Net cash and cash equivalents as at 31 March 237 79 299 237 Analysis of changes in net funds 1 April 2013 Cash flows 31 March 2014 Cash at bank and in hand 237 (158) 79 Net cash and cash equivalents 299 (62) 237 Statement of Changes in Taxpayers Equity 2013/14 2012/13 Opening general reserve at 1 April Transferred from Statement of Comprehensive Income Closing general reserve at 31 March 000s 15,006 (15,728) (722) 000s 13,319 1,687 15,006 The notes on pages 28 to 38 form part of these annual report and accounts. 27
Notes to the financial statements (Forming part of the financial statements) Creative Scotland 1. Accounting Policies a) Basis of accounting and preparation In accordance with the accounts direction issued by Scottish Ministers under section 35 of part II of the National Lottery etc. Act 1993, these financial statements have been prepared in accordance with the 2013/14 Government Financial Reporting Manual (FReM) issued by HM Treasury. The accounting policies contained in the FReM apply International Financial Reporting Standards (IFRS) and IFRIC Interpretations as adapted or interpreted for the public sector context. The financial statements are prepared using accounting policies, and, where necessary, estimation techniques, which are selected as the most appropriate for the purpose of giving a true and fair view in accordance with the principles, set out in International Accounting Standard 8, Accounting Policies, Changes in Accounting Estimates and Errors. Changes in accounting policies which do not give rise to a prior year adjustment are reported in the relevant note. Separate accounts have been prepared for the activities funded from grantin aid, in accordance with the directions issued by the Scottish Ministers. The particular policies adopted by Creative Scotland are described below. They have been applied consistently in dealing with items that are considered material to the accounts. b) Accounting Convention These accounts have been prepared under the historical cost convention. c) Going Concern These accounts have been prepared on the going concern basis. The Board is of the view that the financial plan for the future operation of the fund provides an adequate level of assurance that the going concern basis remains appropriate. This financial plan provides assurance around how the net liabilities position will be resolved in the forthcoming years and includes scenarios as to how variances in future income levels would be addressed. The settlement of commitments will be met by continuing cashflow from lottery proceeds and sufficient cash will be maintained to meet commitments as they fall due. d) Accruals Convention All income and expenditure is taken into account in the financial year to which it relates. Projects awarded over a multiyear basis are accounted for on an annualised basis whereby awards are spread across the financial years of the project as outline in the contract. e) Accounting for funding awards As required by the Scottish Ministers, a distinction is made in respect of National Lottery Fund awards between hard commitments, where Creative Scotland has made a firm offer of grant which (together with the appropriate conditions) has been accepted by the recipient and the soft commitments where Creative Scotland has agreed to fund a project and made an offer but the offer has not yet been formally accepted. Hard commitments are recognised in the income and expenditure account, whereas soft commitments are disclosed by way of a note. Due to the nature of the projects supported it is not possible to reliably 28
identify creditors over 12 months, therefore all hard commitments payable are prudently recognised in the Statement of Financial Position as current liabilities. Those payable in more than one year from the Statement of Financial Position date are shown as Grants: amounts falling due after one year. f) Project development awards Creative Scotland makes awards which are for the development of projects to progress them to production. Some or all of these awards may be repayable in the event of a project reaching completion. Income is only accrued when the repayment conditions are fulfilled. g) Property, Plant & Equipment (PPE) No property, plant and equipment are held solely for Lottery use. h) National Lottery Distribution Fund Balances held in the National Lottery Distribution Fund remain under the stewardship of the Secretary of State for Culture, Media & Sport. However, the share of these balances attributable to Creative Scotland is as shown in the Accounts and, at the Statement of Financial Position date has been certified by the Secretary of State for Culture, Media & Sport as being available for distribution by the body in respect of current and future commitments subject to: Completion of the Statement of Assurance of Payments due to the National Lottery Distribution Fund for 2013/14 by the National Lottery Commission. Completion of the audit of the National Lottery Distribution Fund accounts for 2013/14 by the National Audit Office. The NLDF balance is brought to account at market value reflecting the requirements of IFRS. i) Business Development Loans Business Development Loans are provided to Scottish based companies who contribute to the development of the screen sector with an opportunity to sustain, develop or grow an aspect of their business for a period of up to two years, without having to repay the loan or interest during this period. At the point at which the loan is made (satisfying the definition of a hard commitments) it is taken to the Statement of Financial Position initially at the full value of the award made. The loans are determined using discounted future cash flows. The asset value is reduced in line with the repayment schedule. It is anticipated that the investments will be recovered in full as the company will not be eligible to apply for further funding if repayments are not made. j) Financial instruments Creative Scotland measures and presents financial instruments in accordance with International Accounting Standards 32 and 39 and International Financial Reporting Standard 7 as interpreted by the Government Financial Reporting Manual (FReM). IFRS 7 requires the classification of financial instruments into separate categories for which the accounting treatment is different. Creative Scotland has classified its financial instruments as follows: Financial Assets Loans and receivables are nonderivative financial assets with fixed or determinable payments that are not quoted in an active market. They are included in current assets. Receivables comprise cash and cash equivalents trade and other receivables and in the statement of financial position. Receivables are recognised at cost. A provision for impairment of loans and receivables is established when there is objective evidence that the Board will not be able to collect all amounts due according to the original terms of the receivables. 29
Other financial liabilities Other financial liabilities are included in current liabilities. There are no other financial liabilities held that mature greater than 12 months. The Lottery Fund s other financial liabilities comprise trade and other payables in the statement of financial position. Other financial liabilities are recognised at cost. Recognition and measurement Financial liabilities are recognised when Creative Scotland becomes party to the contractual provisions of the financial instrument. A financial liability is removed from the statement of financial position when it is extinguished, that is when the obligation is discharged, transferred, cancelled or expired. Embedded Derivatives Derivatives embedded in other financial instruments or other host contracts are treated as separate derivatives when their risks and characteristics are not closely related to those of host contracts and the host contracts are not measured at fair value with changes in fair value recognised in profit and loss k) Pensions Creative Scotland as an employer Pension costs for Creative Scotland staff are recharged to the Lottery Fund for staff employed on lottery related activities. Past employees of Scottish Screen are covered by the provisions of the Strathclyde Pension Scheme and past employees of the Scottish Arts Council are covered by the Arts Council Retirement Plan 1994. On 1 July 2010 the Strathclyde Pension Scheme was closed to new members of Creative Scotland and all new starts are now admitted to the Arts Council Retirement Plan 1994. As Creative Scotland is the employer of staff, the pension schemes are accounted for under International Accounting Standard 19 (revised), Employee Benefits, within the financial statements of Creative Scotland. W ithin the Lottery Fund therefore, the recharged share of the pension contributions is expensed to the Statement of Comprehensive Income in the year. l) Provisions Provisions are made for legal or constructive obligations which are of uncertain timing or amount at the statement of financial position date on the basis of the best estimate of the expenditure required to settle the obligation. Where material they have been discounted using the appropriate discount rate as prescribed by HM Treasury. m) Segmental Reporting International Financial Reporting Standard 8, Operating Segments, requires operating segments to be identified on the basis of internal reports about components of the Fund that are regularly reviewed by the chief decision maker in order to allocate resources to the segments and assess their performance. n) Cash and Cash Equivalents Cash and cash equivalents includes cash in hand, deposits held at call with banks, other shortterm highly liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities on the statement of financial position. 30
o) Short Term Employee Benefits Short term employee benefits for Creative Scotland staff are recharged to the Lottery Distribution Fund for staff employed on lottery related activities. A liability and an expense is recognised for holiday days, holiday pay, nonconsolidated performance related pay and other shortterm benefits when the employees render service that increases their entitlement to these benefits. As a result an accrual has been made for holidays earned but not taken. p) VAT Creative Scotland is not registered for VAT and therefore does not charge VAT on supplies or reclaim VAT on eligible expenditure. q) Corporation tax Creative Scotland is liable for corporation tax on its taxable activities. Corporation tax figures for 2013/14 have been based on the advice of our tax advisors and correspondence with Her Majesty s Revenue and Customs. r) IFRSs not Applied in Financial Statements The following Adopted IFRSs have been issued but have not been applied in these financial statements. Their adoption is not expected to have a material effect on the financial statements unless otherwise indicated: Amendments to IFRS 7 Financial Instruments: Disclosures Offsetting Financial Assets and Financial Liabilities ; Amendments to IAS 1 Presentation of Items of Other Comprehensive Income ; Amendments to IAS 32 Financial Instruments: Presentation Offsetting Financial Assets and Financial Liabilities ; IFRS 10 Consolidated Financial Statements and IAS 27 (2011) Separate Financial Statements ; IFRS 12 Disclosure of Interests in Other Entities ; and IFRS 13 Fair Value Measurement. 31
2 Segmental analysis at 31 March 2014 During the financial year, the following grants were made, broken down into hard commitments, soft commitments and other. Only hard commitments are shown in the Statement of Comprehensive Income, whereas soft and other commitments are disclosed by way of a note Award commitments Hard 000 Soft 000 Other 000 Legacy programmes Legacy Awards (Scottish Screen and Scottish Arts Council 3 96 Creative Scotland current programmes Flexible Funded Organisation Network Agencies and Annual Clients Artists & Creative Talent Film & Broadcasting Quality Artistic Production Touring, Festivals & Events Public Engagement Capital Place Cultural Economy National Events Programme 2012/14 Education Strategic Development Equalities Strategic Development Sector Development Project Forming Programmes Awards for All 78 2,138 1,949 4,359 6,387 3,673 2,922 3,011 1,732 2,649 8,276 53 215 338 4,878 500 40 114 1,407 915 156 416 275 423 990 1,018 145 90 150 93 79 25 46 3,525 326 43,161 6,235 4,094 Other expenditure Project expenditure Staff costs Other operating costs Decommitment of prior year awards Total expenditure 1,130 1,661 848 (145) 46,655 Income National Lottery proceeds Other income Total income (29,689) (1,238) (30,927) Deficit for the financial year (15,728) 32
3 National Lottery proceeds 2013/14 2012/13 000s 000s Share of income from NLDF 30,067 34,453 Investment income 138 185 Movement in revaluation reserve Adjustment to 201213 opening balance (516) Total National Lottery proceeds 29,689 34,638 National Lottery proceeds are notified to Creative Scotland by the Department of Culture, Media and Sport (DCMS). 4 Other income 2013/14 2012/13 000s 000s Legacy Trust UK 779 Project Income 1,159 105 Award repayments Total other income 79 1,238 139 1,023 Legacy Trust UK income represents income due from that organisation to the Fund for a series of joint projects. The programme ended during 201213. Project income related to third party funding received for the Glasgow 2014 programme, and the Arts and Justice project. Award repayments represent payments due to the Fund from royalties etc. from investments in film and media productions. 5 Award commitments 2013/14 2012/13 000s 000s Legacy Awards (SS/SAC) 3 159 Flexible Funded Organisation 78 495 Artists & Creative Talent 1,949 907 Film & Broadcasting 4,359 3,912 Quality Artistic Production 6,387 4,380 Touring, Festivals & Events 3,673 2,708 Public Engagement 2,922 2,157 Capital 3,011 1,887 Place 1,732 824 Cultural Economy 2,649 2,027 National Events 2012/14 8,276 7,184 Education Strategic Development 53 130 Equalities Strategic Development 215 41 Network Agencies and Annual Clients 2,138 1,101 Sector Development 338 Project Forming Programmes 4,878 Awards for All Total award commitments 500 43,161 498 28,410 33
6 Staff costs 2013/14 2012/13 000s 000s Staff costs during the year Wages and salaries 1,306 1,286 Social security costs 102 101 Pension costs 270 219 Holiday accrual Total staff costs (17) 1,661 (4) 1,602 All employment contracts are with Creative Scotland, and relevant amounts are recharged to the Fund based on a recharge methodology. The average recharge for the year was 40% (2012/13: 43%). 7 Other operating expenditure Direct Recharged Total Total 2013/14 2013/14 2013/14 2012/13 000s 000s 000s 000s HR costs Establishment costs 379 379 359 ICT costs 56 56 69 Operations costs 2 2 39 Office services costs 37 37 40 Audit fees 30 12 42 38 Depreciation Legal & professional fees 113 113 145 Communications costs 14 14 1 External Relations 47 47 121 Direct delivery (inc. eternal assessors) 83 83 88 Policy and Research 28 28 62 Awards for all overheads 47 47 51 Total other operating expenditure 350 498 848 1,013 8 Corporation Tax Corporation tax is due on the bank interest received in the year based on the standard rate of corporation tax for the year. For the year ending 31 March 2014, corporation tax of 18 was payable to HMRC. 34
9 Trade receivables and other current assets Creative Scotland 31 March 31 March 2014 2013 000s 000s Trade receivables 217 105 Sundry 8 44 Total trade receivables and other current assets 225 149 10 Loan receivables 31 March 31 March 2014 2013 000s 000s Balance at 1 April 78 167 New loan advances in the year Repayments (2) (52) Impairment Balance at 31 March 76 (37) 78 Loan receivables consist of Business Development Loans that were provided by Scottish Screen to a number of organisations for the purposes of providing financial support, and any new loan advances made by Creative Scotland. An impairment charge has been recognised to reflect the risks of the organisations not repaying the loans in line with the agreed payment schedules. 11 Investment balance in the NLDF 31 March 31 March 2014 2013 000s 000s Balance at 1 April 28,233 29,770 Adjustment to opening balances (516) 1 Brought forward balance 27,717 29,771 Lottery proceeds 30,067 34,453 Investment income 138 185 Funds drawn down (38,816) (34,377) Transfer to the Olympic Distribution Fund (1,799) Carried forward to 31 March 19,106 28,233 Movement in revaluation reserve Balance at 31 March 19,106 28,233 The closing market value as at 31 March 2014 reflects the balances available to the Fund from the National Lottery Distribution Fund as advised by the interim statement of balance provided by the Secretary of State for Culture, Media and Sport. In accordance with the National Lottery etc. Act 1998, National Lottery income receivable by Creative Scotland is passed by the NLDF to the Commissioners for the Reduction of National Debt (CRND) whose role is to apportion funds received into the NLDF correctly between the distributing bodies; and 35
to invest the funds held in the NLDF, in accordance with directions issued by HM Treasury, until such time as they are required by the bodies to make payments to successful grant applicants. The CRND invest the income in a narrow band of low risk assets such as government bonds and cash. Creative Scotland has no control over the investment of funds on their behalf. The management of the National Lottery Distribution Fund meets with representatives of the Commissioners for the Reduction of National Debt on a regular basis to manage the risks associated with the investment of these monies 12 Cash and cash equivalents 31 March 31 March 2014 2013 000s 000s Balance at 1 April 237 299 Net change in cash and cash equivalents (158) (62) Balance at 31 March 79 237 The following balances at 31 March were held at: Commercial banks 79 237 Cash in hand 13 Trade payables and other current liabilities 31 March 31 March 2014 2013 000s 000s Trade Creditors 30 35 Awards outstanding (hard commitments) 18,374 12,501 Accruals 920 399 Due to Creative Scotland 224 681 Total project income 19,548 13,616 Noncurrent liabilities Awards outstanding (hard commitments) 590 5 36
14 Provisions Dilapidations 2014 Total 2014 Total 2013 000s 000s 000s Balance at 1 April 70 70 122 Arising in the year (78) Utilised in the year 70 Reversal (44) Balance at 31 March 70 70 70 The Dilapidation provision relates to the costs of reinstatement under the leases for our Glasgow and Edinburgh offices, and is based on externally commissioned reports. The provision will be utilised towards the end of the lease terms subject to negotiation with the landlords. 15 Soft commitments 2013/14 2012/13 000s 000s Balance at 1 April 5,696 5,921 Awards withdrawn (14) (757) Accepted in year (4,960) (4,669) Amounts committed in year* 5,513 5,201 Balance at 31 March 6,235 5,696 * Awards made but not accepted at 31 March 2014 In addition to soft commitments Creative Scotland approved investments ( other ) of 4.1 million, (2012/13 6.7 million) within the year, for which offers had not been issued as at 31 March 2014. 16 Hard commitments 2013/14 2012/13 000s 000s Balance at 1 April 12,506 13,439 Decommitment of prior year awards (120) (74) Committed in year 42,661 27,911 Paid in year Balance at 31 March (36,083) 18,964 (28,770) 12,506 17 Financial instruments International Accounting Standard 32, Financial Instruments: Presentation, requires disclosure of financial instruments that are complex or play a significant medium to longterm role in the financial risk profile that the Fund faces in undertaking its activities. Cash requirements for lottery expenditure are met by drawing down against monthly forecasts of need from the balances held on behalf of Creative Scotland by the National Lottery Distribution Fund (NLDF). 37
At 31 March 2013, the balance held at the NLDF was 28.2 million. This has decreased to 19.1 million by 31 March 2014, at which point there were 18.9 million of hard commitments yet to be paid out. In budgeting for current expenditure Creative Scotland balances the anticipated outflow of cash payments against grant commitments along with forward forecasts of Lottery income. 17 a) Liquidity risk During the financial year, 96% of the Fund s income derived from National Lottery proceeds. The remaining income is derived from bank interest and award repayments of 0.3%, and from other income in relation to the project income, of 3.7%. 17 b) Cash flow projections over the next financial year We do not believe that we are exposed to significant liquidity risks, and are satisfied that we have sufficient current liquid resources to cover our projected payments over the next financial year. 17 c) Interest rate risk In accordance with the National Lottery etc. Act 1998, National Lottery income receivable by Creative Scotland is passed by the NLDF to the Commissioners for the Reduction of National Debt (CRND) whose role is to apportion funds received into the NLDF correctly between the distributing bodies; and to invest the funds held in the NLDF, in accordance with directions issued by HM Treasury, until such time as they are required by the bodies to make payments to successful grant applicants. The CRND invest the income in a narrow band of low risk assets such as government bonds and cash. Creative Scotland has no control over the investment of funds on their behalf. The management of the National Lottery Distribution Fund meets with representatives of the Commissioners for the Reduction of National Debt on a regular basis to manage the risks associated with the investment of these monies. At the balance sheet date, the market value of Creative Scotland s share of the National Lottery Distribution Fund was 19.1 million. In the year, the average return on these investments was 0.72%. Cash balances which are drawn down by Creative Scotland from the National Lottery Distribution Fund to pay grant commitments and operating costs are held in a business current account. The cash balance at the yearend was 79,000. We consider that we are not exposed to significant interest rate risks on our cash balances. 17 d) Foreign currency risk Our exposure to foreign currency risk is not significant as less than 1% of transactions by value are processed in currencies other than sterling when compared to total operating costs. 18 Related party transactions All transactions with related parties are completed at arms length and the relevant party does not take part in the decision. Related party transactions in respect of Creative Scotland Lottery Distribution Fund are detailed in the Financial Statements for the year ended 31 March 2014. During the year, Creative Scotland invoiced the Lottery Distribution Fund for 2.2 million in respect of recharges for the year for staff, overhead and related costs. The Scottish Government s Directorate of Culture, External Affairs and Tourism is regarded as a related party. During the year Creative Scotland had various material transactions with the Scottish Government Directorate of Culture, External Affairs and Tourism. 38
Accounts Direction CREATIVE SCOTLAND DIRECTION BY THE SCOTTISH MINISTERS 1. The Scottish Ministers, in pursuance of Section 35 of Part II of the National Lottery etc. Act 1993, hereby give the following direction. 2. The statement of accounts which, it is the duty of Creative Scotland to prepare in respect of its National Lottery distribution activities for the financial year ended 31 March 2012, and subsequent financial years, shall comply with the accounting principles and disclosure requirements of the edition of the Government Financial Reporting Manual (FReM) which is in force for the year for which the statement of accounts are prepared. 3. The accounts shall be prepared so as to give a true and fair view of the income and expenditure and cash flows for the financial year, and of the state of affairs as at the end of the financial year. 4. Clarification of the additional disclosure requirements are set out in Schedule 1 attached. Signed by the authority of the Scottish Ministers Dated 39
SCHEDULE 1 ADDITIONAL DISCLOSURE REQUIREMENTS 1. This schedule details the nonstandard accounting policies, any special treatment needed, and any additional disclosure requirements as agreed by the Scottish Ministers and Creative Scotland, in respect of its National Lottery Fund distribution activities. 2. The Income and Expenditure Account shall show inter alia: a. the total amount of Lottery proceeds receivable; b. any other income (detailed between bank interest, recoveries of grant and other income); c. the total amount of new Lottery grants paid in the period (i.e. amounts paid in respect of projects which have been approved during the year); d. the change in the provision for net grant commitments; e. the total expenses incurred by Creative Scotland in respect of its National Lottery distribution activities, separately identifying direct costs and costs initially incurred elsewhere in the organisation and apportioned to the National Lottery distribution activity. The calculation of the costs to Creative Scotland s National Lottery activities will be on a full cost recovery basis and should cover all costs that are directly and demonstrably related to Lottery activities. 3. The Balance Sheet shall show, inter alia: a. Within the heading Cash and cash equivalents the balance held on behalf of the body at the National Lottery Distribution Fund; b. under the heading Noncurrent liabilities the provision for grants committed on a hard basis and falling due for payment after more than one year ; (see note 6 below on commitments) c. under the heading Represented by the balance on the Income and Expenditure Account. 4. The Notes to the Accounts shall, inter alia, include: a. a statement of the accounting policies. This must include a statement explaining the nature of the balances held on Creative Scotland s behalf in the National Lottery Distribution Fund as follows: Balances held in the National Lottery Distribution Fund remain under the stewardship of the Secretary of State for Culture, Media & Sport. However, the share of these balances attributable to Creative Scotland is as shown in the Accounts and, at the Balance Sheet date has been certified by the Secretary of State 40
for Culture, Media & Sport as being available for distribution by Creative Scotland in respect of current and future commitments. ; b. an analysis of the income and expenditure relating to the Lottery; c. an analysis of the other operating charges over appropriate subject headings (writeoffs, audit fee, leasing charges, travel, subsistence and hospitality (costs for staff and body members should be separately identified); e. the amounts committed in respect of capital expenditure for administrative purposes, and amounts authorised in respect of capital expenditure for administrative purposes but not contracted ; f. the amounts committed in respect of National Lottery grants split between hard and soft commitments identifying the amount falling due (see note 5 below). Where these commitments exceed available resources shown on the Balance Sheet, there should also be a note explaining the rationale for the overcommitment in terms of the benchmark being applied and the assumptions behind it, taking into account any advice received from the Scottish Ministers as appropriate. 5. The nature of the Distributing Bodies' Lottery activities means that they will be making commitments for future expenditure which will need to be shown in the annual financial statements. Commitments should be categorised and shown as follows: 6. Soft Commitments These will occur when there is agreement in principle by Creative Scotland to fund a scheme. Once a formal offer and acceptance of the terms and conditions of the grant has been concluded this will become a hard commitment. The total of soft commitments will be shown in a note to the Balance Sheet. Changes in soft to hard commitments which arise after the accounting year end and before publication of the Accounts will not be adjusting events in terms of IAS 10 (Events after the Reporting Period). A tabulation should accompany the Notes to the Accounts and show: a) Hard Commitments i) Soft commitments brought forward; ii) Soft commitments transferred to hard commitments; iii) Soft decommitments; iv) Soft commitments made; v) Balance of soft commitments outstanding carried forward. A hard commitment is analogous to a commitment arising from a legally binding contract, carrying with it an obligation on the distributor to pay the agreed Lottery grant provided only that all the conditions of grant are met, and that the National Lottery continues to operate. For the purposes of recording a charge in the Income and Expenditure Account, a hard commitment arises when a firm offer of a grant from the National Lottery proceeds has been made by Creative Scotland and accepted in writing by the recipient. A firm offer will 41
only be made if there is a reasonable expectation that conditions attached to the offer will be met. A provision for grant commitments should be shown on the Balance Sheet and would be written down as the commitments mature. As part of the notes to the Balance Sheet a tabulation illustrating the changes in hard commitments should be shown as follows: b) Decommitments i) Hard commitments brought forward; ii) Hard commitments met in the last year; iii) Hard decommitments (withdrawal of an offer); iv) Hard commitments made; v) Balance of hard commitments outstanding carried forward; vi) A breakdown of the provision for the grant commitments should be reported separately for each year up to and including 5 years and for over 5 years. i) Soft Commitments If a soft commitment fails to become hard for any reason and there is no prospect of a formal offer letter being issued and accepted then the soft commitment should be deleted from Creative Scotland s records. It will be shown in the table accompanying the notes to the Balance Sheet in the soft decommitments line. ii) Hard Commitments c) Repayments Should a hard commitment fail to become a cash payment within the expected time frame, and there is little possibility of it crystallising, Creative Scotland may withdraw the offer formally in writing. A reverse entry to the commitment should then be made in the Income and Expenditure Account. The table in the Notes to the Accounts will correspondingly be reduced. The circumstances of a grant repayment are as described in the Statement of Financial Requirements. A repayment will not affect commitment unless the payment is part of a phased scheme for which commitments for later phases have been included in the Balance Sheet. A repayment will be reflected as an adjustment in the Income and Expenditure Account. If a repayment occurs after the year end but before the Accounts have been signed by Creative Scotland s Accountable Officer and is material (5% of the total grants paid in the year or 1m whichever is the lower,) it will be necessary to treat the repayment as an adjusting event in terms of IAS 10 42
Appendix 1 List of hard commitments over 100,000 Creative Scotland Hard commitments of awards totalling 43.2 million (2013: 28.4 million) were made during the year in support of a range of projects. List of hard commitments over 100,000: Investment Programme Project Annual Clients Lochandale 350,000 Centre for Contemporary Arts (CCA) 335,000 Enterprise Music Scotland 225,000 Artists Collective Gallery Ltd 220,000 Federation of Scottish Theatres 190,000 National Piping Centre 150,000 NVA (Europe) Ltd 150,000 The National Youth Orchestras of Scotland 103,158 Quality Artistic Production Pitlochry Festival Theatre 350,000 Sunset Song Ltd 300,000 Makar Productions Ltd 300,000 Young Films Ltd 300,000 Castles Film Ltd (Black Camel Pictures) 300,000 Sigma Films 300,000 What We Did On Our Holiday (Origin Pictures) 250,000 Move On Up Ltd 205,000 Thistle Films Ltd 200,000 LBP Outlander Ltd 170,000 Scottish Book Trust 165,000 SDI Productions Ltd (Scottish Documentary Institute) 165,000 Dance Base 125,000 Skyline Productions Ltd 120,000 Festival City Theatre Trust 105,000 Public Engagement TRACS 150,000 Shape 150,000 Enterprise Music Scotland (A9 Partnership Ltd) 120,000 Education Scotland 112,596 Cultural Economy Cultural Enterprise Office Creative Carbon Scotland Centre For The Moving Image 244,000 170,000 157,000 Place Scottish Opera Theatre Royal 2,000,000 Inverclyde Council 250,000 Scottish Borders Council 200,000 South Ayrshire Council 200,000 North Ayrshire Council 200,000 Highland Council 200,000 Dance Base 125,000 Perth and Kinross Council 120,000 National Events Programme EventScotland 440,000 201214 Conflux Scotland 250,000 Scottish Book Trust 250,000 Citizens Theatre 200,000 The Common Guild 200,000 National Theatre of Scotland 200,000 43
Investment Programme Project Faction North Ltd 182,337 Active Events 180,000 Pachamama Productions 180,000 The Artists Collective Gallery Ltd 178,000 Janice Parker 153,555 Centre For Moving Image (CMI) 150,000 We Are Panel 150,000 National Events Programme Chemikal Underground Ltd 150,000 201214 Sonica: Cryptic 150,000 IronOxide Ltd 150,000 Scottish Opera Theatre Royal 150,000 Falkirk Community Trust 150,000 Scottish Book Trust 130,000 Tron Theatre Ltd 118,000 Starcatchers Productions Ltd 110,000 Strategic Development Regional Screen Scotland 262,500 Project Forming Programmes Vanishing Point 330,000 Sonica: Cryptic 247,000 Red Note Ensemble Ltd 227,879 Visible Fictions 220,000 Centre for Contemporary Arts (CCA) 215,000 Solar Bear 200,000 Fire Exit 175,000 Edinburgh Mela 174,218 Scottish National Jazz Orchestra 164,500 Stills Ltd 160,000 Ankur Productions Ltd 156,307 David Hughes Dance Scotland 155,000 Vox Motus 154,800 The Common Guild 150,000 Stellar Quines Ltd 138,000 Lung Ha s 136,172 Gala Scotland Ltd / Glasgay! 130,000 Drake Music Scotland 115,530 Birds of Paradise Theatre 114,000 Deveron Arts 110,000 Grid Iron Theatre Company 110,000 Catherine W heels Theatre Company 106,875 Promote YT 105,000 Mischief La Bas Ltd 102,500 44