Worried about Merchiston Castle school.

[MerchistonTrouble]

Name changed for this. Has anyone heard what is happening at Merchiston Castle? No accounts filed this year, so now 4 months overdue, hearing terrible things about numbers. My son is due to start boarding there next September so beginning to panic. I’ve asked the school directly and have been told everything is fine, but I can’t shake the worry about why the accounts haven’t been filed.

The late accounts is a bad sign. There was lots in the news about Fernhill School near Glasgow, they had late accounts, then posted dormant company accounts for a couple of years despite the school still running, followed by closure and sudden liquidation on the last day of term. Right up to the last few months Fernhill was saying they would accept new pupils, and their website was advertising admissions meetings right up to liquidation. Obviously Fernhill and Merchiston are owned by different organisations.

Try to speak to Merchiston parents if you can find any. Try the private education boards and boarding school boards on here. Maybe try local Edinburgh online groups to see if anyone knows anything.

Merchiston has lost a lot of it's facilities hire business due to having to charge VAT on the use of facilities e.g. NYCOS have moved their 3 weeks of holiday courses away due to the cost increase.

If you are in doubt, contact Merchiston and ask them for a specific date when the accounts will be published, and tell them you are not confident that your son should join when you cannot ascertain their financial position. Their response should tell you something.

Find out how much you will lose if your son doesn't start... that may be quite different from leaving during a term. What other schools was he accepted for?

Thank you. I don’t know any other Merchiston parents to actually ask sadly. I’ve searched all the Edinburgh groups online for info but can’t see anything. It’s just the fact that they haven’t filed accounts that is setting off alarm bells for me.

Our other choice would be Dollar.

I know the junior side of things has shrunk from all recognition. What year is your son starting in? I understand the sixth form is still healthy, but whether that sustains it…

I thought the expansion into Early Years was an interesting choice and slightly at odds with their USP.

4th form. He was due to start last year with our original plan but then they stopped offering boarding until 4th form.

I absolutely loved the school and so did my son but

I’m concerned it will close part way through his GCSEs.

We were considering their new forrest junior school that runs as a coed day school. Decided against it in the end partly because of location but also it seemed like an odd set up that at the end of primary, all the girls would have to go else where but the boys could stay. Staff we spoke to were fairly convinced the whole school would be coed by the time my daughter needed to move to senior school but of course the senior school would only refute those rumours.

I’d look at it in another way - if you’re a way away from GCSEs, small numbers/small class sizes are excellent value in terms of quality attention. But yes get reassurance on the accounts question of course.

It does not seem a great sign that they are rolling back boarding start dates.

A friend of mine has her sons there, they received an email this week about a piece of land being sold off.

Because the historic abuse inquiry led by Lady Smith formally concluded on 25 June 2025 that Merchiston "protected abusers" for six decades, a wave of civil compensation claims is actively working through the system. And a coming new criminal case.

The primary reason accounts are held up during massive legal battles is UK accounting standard FRS 102.

Under this rule, if an institution faces multiple civil lawsuits or pending legal claims, the school's auditors and governors must calculate and disclose "contingent liabilities" (provisions for potential multi-million-pound compensation payouts and legal fees).

Arriving at an accurate financial figure for how much money the school needs to set aside for these payouts is incredibly difficult. If the school and its auditors disagree on how catastrophic these legal assessments will be to the school's cash reserves, the auditors will refuse to sign off on the accounts, triggering an automatic delay.

They seem to struggling for numbers in the younger part of the school.

I think we are going to go with Dollar instead. I can’t shake the fear that it’ll close part way through his GCSE years or that it will be bought by some Chinese investment firm and will totally change. Dollar just seems like a safer bet. DS joining is still a year out so we haven’t paid a deposit or fees yet so nothing to lose financially.

As far as I know, Dollar follows the Scottish curriculum, not GCSEs, so if you want them, you might need need to look elsewhere. There are very few Scottish schools doing GCSEs - Fettes maybe?

Not sure where the rumours are circulating from , but as a parent of several years , I've haven't heard of it. There have been slithers of land sold and numbers dipped after VAT raids but the school has a very forward thinking board of experienced financiers and entrepreneurs.
They have 100+ acres, releasing a bit for capital investment is prudent.
It's a very vibrant school with strong traditions but a really lovely place.
It's been an excellent choice for our family.

Merchiston Castle School hasn't sold any land. That's Napier University's "Merchiston campus" that has been sold off.

Merchiston's accounts are late because it's gearing up for being sued.

Because the historic SCAI inquiry led by Lady Smith formally concluded on 25 June 2025 that Merchiston "protected abus**s" for six decades, a wave of civil compensation claims is actively working through the system. And a coming new criminal case.

The primary reason accounts are held up during massive legal battles is UK accounting standard FRS 102.

Under this rule, if an institution faces multiple civil lawsuits or pending legal claims, the school's auditors and governors must calculate and disclose "contingent liabilities" (provisions for potential multi-million-pound compensation payouts and legal fees).

Arriving at an accurate financial figure for how much money the school needs to set aside for these payouts is incredibly difficult. If the school and its auditors disagree on how catastrophic these legal assessments will be to the school's cash reserves, the auditors will refuse to sign off on the accounts, triggering an automatic delay.

Because the historic abuse inquiry led by Lady Smith formally concluded on 25 June 2025 that Merchiston "protected abus*rs" for six decades, a wave of civil compensation claims is actively working through the system. And a coming new criminal case.

The primary reason accounts are held up during massive legal battles is UK accounting standard FRS 102.

Under this rule, if an institution faces multiple civil lawsuits or pending legal claims, the school's auditors and governors must calculate and disclose "contingent liabilities" (provisions for potential multi-million-pound compensation payouts and legal fees).

Arriving at an accurate financial figure for how much money the school needs to set aside for these payouts is incredibly difficult. If the school and its auditors disagree on how catastrophic these legal assessments will be to the school's cash reserves, the auditors will refuse to sign off on the accounts, triggering an automatic delay.

They have sold land .
The land and old squash courts on Katesmill road at the back of the school were sold off last term
Recently the board announced the sale of East Lodge on Paties Road.

• 70 Katesmill Road: The 1.265-acre property containing the former squash club is currently on the market as a development opportunity via commercial agents like Graham + Sibbald. However, public records indicate this site belonged to the Colinton Castle Sports Club, an independent facility that hosted its farewell event in May 2023, rather than being land owned or recently sold off by Merchiston Castle School itself. It's nearby but it's not Merchiston-owned.
• 27 Paties Road (known as East Lodge) is not owned by Merchiston Castle School. It is a privately owned, three-bedroom detached residential bungalow located in the Colinton area of Edinburgh. Merchiston is only mentioned in listings as it sits on the edge of Merchiston's property.