SIC - Orkney & Shetland valuation joint board

More cuts on the cards?

POOR returns on its investments could force Shetland Charitable Trust to cut back its support for local sport, arts and amenities as well as the voluntary sector.

Trustees heard on Thursday that the charity had only earned £9 million from investments of £215 million last year.

The trust has managed over the past decade to reduce its annual budget from £15 million to £11 million, but was left £2 million short of income to cover its 2011/12 budget.

International investments yielded a three per cent return on £180 million, while local investments of £30 million brought in eight per cent.

Trustee Alastair Cooper, who chairs the council’s economic development committee, urged the trust to explore more local investment opportunities in the new year when a new board is formed.

Vice chairman Jonathan Wills suggested it would be prudent to scale back spending by £700,000 a year over the next three years with little sign of world markets recovering in the near future.

But chairman Drew Ratter insisted they stick to their current three year plan, as various trustees voiced concern about more cuts being implemented.

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