Staff go unpaid as 'lifeline' university charity goes bust

A CHARITY which has been running in the Capital for more than 100 years has collapsed, leaving 40 staff and more than 200 learners out in the cold.

• ANGER: Nicola O'Rourke, left, and Ana Calixto have been affected.

Edinburgh University Settlement (EUS) provided learning opportunities for disadvantaged people across the city. It operated a number of programmes and commercial enterprises from its properties including the Community Learning Centre at Regent's Road, Stepping Stones at the Old Fire Station in Norton Road, and the Roxy Art House in Roxburgh Place.

Staff were told on Thursday afternoon that they were being made redundant and would not receive payment for the month they have just worked.

According to liquidators PricewaterhouseCoopers (PwC), the charity's outgoings have exceeded its income by 300,000 for the last few years.

Staff were faced with the difficult task of informing their students, many of whom are vulnerable adults, yesterday.

Ana Calixto, core skills programme leader, who has worked for EUS for the past 12 years, said: "We feel like we are letting our learners down.

"We have had to phone very vulnerable people and tell them that EUS is no more. I feel a mixture of anger and sadness."

Nicola O'Rourke, 37, was one of the adult learners who viewed the service as a lifeline.

She had been on the access to nursing course with a view to applying to university next year. She said: "This has come as a big shock.

"Me and my family have been through a lot recently and this is the one thing I have enjoyed doing.

"I don't know what I'll do now. "

Jane Tecelli, SureStart childcare project leader, added: "As horrendous as it is for us to lose our jobs, you have to think about the impact this will have on the students.

"This has been a lifeline to many people."

The EUS was funded by private and public sector organisations, including the city council, RBS, Edinburgh University and Scottish Screen.

A bankruptcy order was granted by Edinburgh Sheriff Court on Wednesday with PwC partner, Bruce Cartwright, appointed as trustee.

Mr Cartwright said: "Our first priority has been to carry out a thorough review of the charity's activities, during which we discovered that EUS was not only operating with a substantial cost base but it did not have the income to support its ongoing activities.

"Over the coming weeks, we will be carrying out a more detailed review. What is clear, however, is that there is no funding to meet the ongoing liabilities including the payment of salaries.

"The majority of the 40 employees have been made redundant with immediate effect, however, we have retained a small team to help with the maintenance and disposal of the charity's property."