THE fees are as stunning as the views. Loch Lomond Golf Club, home of the Scottish Open, charges new members GBP55,000 just to sign up. It also, its accounts reveal, loses millions every year.

The privately owned club posted pre-tax losses of GBP6.2m for 2004, the last year forwhich it has published accounts. In 2003 the loss was even bigger, GBP8m.

Officials yesterday declined to reveal more recent figures but insisted the losses could be explained by Loch Lomond's "complex financial structures".

The latest accounts were made up as the club, which is based at the elegant 18th-century headquarters of the Colquhoun clan near Luss, underwent a massive restructuring.

Over 2003 and 2004 it priced around half of its members out in a bid to make itself even more exclusive and paving the way, its American-based directors said, for long-term growth.

Its 2004 losses of GBP6.2m were incurred on slightly increased turnover of just GBP8.6m but amid warnings of a dip in business in 2005 as membership fell.

The clientele, however, is now by far the most prestigious in Scotland and the championship course, designed by Tom Weiskopf, one of the nation's international showcases.

On Loch Lomond's books are Sir Sean Connery; Glasgow restaurateur Satty Singh; David Murray's son David; milk tycoons Alan and Robert Wiseman and golfers Arnold Palmer, Nick Faldo, Bernard Gallacher and Hale Irwin. Its international captain is Prince Andrew. One of the few big name members with a Dunbartonshire connection is local boy made good, Sir Jackie Stewart.

All told, there are said to be just over 500 members on the list, which, until this summer, was kept a closely guarded secret. Around nine out of 10 are understood to have given addresses outside Scotland.

"We went through a huge membership conversion, " a spokeswoman said yesterday. "We have more than halved the membership from where we were at. It gave us a significant loss in members and usage of club facilities, from golf to food and beverages."

Directors Lyle Anderson and Philip Schneider, both American-based entrepreneurs, warned in their annual report for 2004 that they expected to see a dip in business in 2005.

They said: "Directors expect the general level of business activity to decrease slightly in 2005 due to a smaller number of members retained.

"However, due to changes in the membership structure, the business is now on a more stable long-term base and business levels will grow again with the introduction of new members over the coming years."

The club, which also owns a course in Dundonald, Ayrshire, has recently sought to branch out with new spa facilities. This summer it started allowing new members to sign up for just GBP6000 - as long as they didn't actually play golf.

The membership system doesn't help the bottom line though, at least not in the harsh black and white of accountancy.

Its hefty joining fees for the club are returnable, effectively deposits that can be reclaimed by members when they retire. That means they are listed as liabilities on the club's balance sheet. Overall, as of the end of 2004, the club's liabilities outweighed its assets by nearly GBP49m, up from GBP42.5m the year before.

The club's annual dues - paid on top of the joining-up deposit - aren't cheap either. The annual bill is GBP2200. Anyone looking to save a bob or two might consider another parkland club, at nearby Cardross, which has a joining fee of just GBP1200 followed by annual dues of GBP610.

Fare ways

Carnoustie Golf Club Combination tickets from GBP108. Round price from GBP16 (junior) to GBP105 (Championship course)

Turnberry Golf Course Membership prices GBP1400 + GBP800 joining fee. Round prices up to GBP190

Gleneagles Golf Course Membership prices GBP1850 + GBP500 joining fee. Round prices up to GBP115

Cardross Golf Club Membership prices GBP1200 joining fee + GBP610 annually. Round prices up to GBP50 (day ticket)