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← Rykneld Hall Education Trust Limited

2023-07-31-accounts

Charity registration number 1015449

Company registration number 02739356 (England and Wales)

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JULY 2023

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees, directors and governors Mr J Pugh-Lewis Mrs M Viles Mr | Louch Mr N G Chattle Mrs K N Hopkinson (Appointed 9 December 2022)

Secretary MrG R Nixey
Charity number 1015449
Company number 02739356
Registered office and Rykneld Hall
business address Rykneld Road
Littleover
Derby
DE23 4BX
Auditor HSKSGAudit
18 St Christopher'sWay
Pride Park
Derby
DE24 8JY
Bankers Barclays BankPLC
Derby
Sollcitors Flint Bishop LLP
Patron Sir Nige! Rudd
Head MrPLogan

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

CONTENTS

Page
Trustees’ report 1-9
Statement oftrustees' responsibilities 10
Independent auditor's report 11-14
Statement offinancial activities 15
Balance sheet 16
Statement ofcash flows 17
Notestothefinancialstatements 18-36

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

TRUSTEES’ REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 JULY 2023

The trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their annual report and financial statements for the year ended 31 July 2023.

The financial! statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019).

Since the company qualifies as small under section 383 of the Companies Act 2006, the strategic report required of medium and large companies, is not required.

On 28 March 2024 the company’s name was changed from Derby Grammar Schoo! Trust Limited to Rykneld Hall Education Trust Limited.

Objectives and activities

The charity's principal objective for which the company was established is to educate children in the City of Derby, South Derbyshire and Burton-upon-Trent.

At Derby Grammar School we aim not only to teach, but to inspire a passion for leaming that remains with our pupils throughout their lives. Combining intellectual challenge with a real breadth of experience, we encourage each pupil to harness their strengths, work on their weaknesses, and realise their full potential. An education with us provides a strong basis for higher education, for a subsequent career and for a wel-Lrounded life, whilst having fun and being happy in our school environment.

Founded in 1995, our aim is to provide an excellent education for boys and girls in the East Midlands. Our high quality education allows pupils to flourish in an atmosphere that provides intellectual challenge and celebrates success. Our education extends far beyond the classroom to the sports field, the debating tabie, the concert hail, the race track, and even the Tanzanian plains. We aim to equip our pupils with a breadth of skills and knowledge which will enable them to perform outstandingly wel! at school and in later life.

We strive to encourage independent thought, expression and learning, in an environment where learning is fun. Pupils and staff share high expectations and all of our staff are committed to helping and encouraging our pupils to succeed.

The school is fortunate in having staff who are more than willing to devote time to a substantial number of extramural activities, designed to give pupils experience over and above the academic curriculum, with the aim that by the time pupils leave the school, they will be confident, articulate, self-assured and well prepared for life after school.

Inspiring a passion for learning that remains with pupils throughout their lives is central to our values and our motto embodies this - ‘vita sine litteris mors’; it transtates as ‘life without learning is death’. Three principles lie at our core: excellence, enrichment and encouragement. We provide superb teaching, incredible opportunities and a supportive, friendly atmosphere. These are the things that make us special. They are the reasons our pupils come into schoo! every day with a smile, eager to learn and expand their minds.

Finally, we aim to increase the number of pupils and further develop links with local state schools, particularly those without their own sixth forms, with a view to being able to offer sixth form places to their pupils; bursaries, the level of which will be means tested, will be made available for this purpose.

Public benefit

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

TRUSTEES' REPORT (INCLUDING DIRECTORS’ REPORT) (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

Grant making policy

Grantmaking

The Governors of Derby Grammar School are committed to broadening access to the Schoo! by offering to eligible parents/guardians means-tested financial support with the payment of the school's fees. Such support is known as a bursary and these may be awarded in the form of a discount of up to 100% on tuition fees payable, depending on the financial, compassionate or other pertinent circumstances of applicants.

Grants and bursaries are subject to repeat testing of parental means each year and may be varied upwards or downwards, depending on parental circumstances.

We also recognise gifted pupils with a wide range of scholarships and assist families of multiple children with sibling discounts.

Achievements and performance

Significant activities and achievements against objectives

Curriculum

The National Curriculum provides the basis for our Primary Department's broad and balanced curriculum, which focuses on developing excellence in literacy and numeracy, whilst encouraging every pupil to discover her or his own individual strengths across many other subject areas. Class sizes are small which means that we carefully track progress and ensure each pupil is suitably challenged and guided to maximise their potential. Trips and residential visits, as well as a variety of school and community-based activities, also stimulate pupils’ interests and enrich the curriculum further as they're encouraged to explore, enjoy, imagine, create, experience, and achieve to the best of their ability.

In Years 7 to 9, the curriculum is designed to broaden pupils’ interests and explore their strengths in a wide range of subjects. A limited number of options are introduced in Years 8 and 9.

As pupils progress on to Year 10 the curriculum is divided into core and options which enables each student to study up to ten subjects to GCSE in Year 11. Individual support and guidance is given to each pupil as they make these important choices.

Pupils choose three A levels to study at Derby Grammar School. The range of 22 subjects we offer ensures a wide curriculum to meet pupils’ strengths and aspirations, preparing them for undergraduate study at the best universities. The Extended Project Qualification can also be pursued by pupils in the Sixth Form.

GCSE Subject Headlines

Computer Science — 100% grade 7-9

GCSE Pupil Headlines

The top scoring candidate achieved 9 grade 7- 9’s.

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT) (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

A Level Trends

In Summer 2023, public examinations results were below those achieved by the school in 2022, reflecting the return to pre-pandemic grading and the national trend.

Percentage of A*-A grades: 20%

Percentage of A*-B grades: 44%

A Level Pupil Headlines

5 pupils achieved 3 or more A*-B grades

A Level Subject Headlines Music - 100% A

The House System

Inter-house competitions take place involving all pupils in sports, curricular and co-curricular activities. Sporting House Competitions during 2022/23 included football, rugby, cross-country running, tug-of-war, hockey, cricket and athletics. In addition, there have been House Competitions in art, music, debating , chess and writing.

Music and Co-curricular

Weekly co-curricular opportunities across the school have returned to pre-covid levels. For the Primary Department clubs (excluding music and sport) included:- Three Bears Cookery Club, Soccer Stars UK, Monday Morning Mile, Fiction Library, Art and Craft, Lego Club, Coding Club, Authorfy and Gardening Club.

Forest School (NB the School has official accreditation) is imbedded in the Primary Schoo! as part of the curriculum, but is offered as an after schoo! co-curriculum activity to Senior School pupils.

Senior Schoo! clubs for 2022-23 (excluding music and sports) include:- Foreign Languages Film Club, Arts and Crafts Club, Robotics, Year 7 Film Club, Senior Forest School, Senior Chess Club, Y7-9 Science Club, Table Tops Games Club, Warhammar, Psychology Club, Archery and Code Club. The School's Formula 24 racing team won national competitions during summer 2023.

Music continues to be a strength of Derby Grammar School. Choirs, bands and jazz ensembles rehearse weekly and perform at concerts the School, city and county. Significant numbers of pupils are members of Hot House Music and rehearse in School on several evening each week and pupils also play with the County Youth Orchestra.

The Duke of Edinburgh Award programme has engaged large numbers of pupils. All pupils in Year 9 took part in Bronze expeditions in Summer 2023. There has also been notable success at Silver and Gold level with a record breaking number of pupils attending a Gold Award Ceremony at Buckingham Palace during summer 2023.

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

TRUSTEES’ REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)

FOR THE YEAR ENDED 31 JULY 2023

Pupils have continued to enjoy success in regional and national competitions, including the UK Mathematics Chailenge at ali levels. The Formula 24 team has raced at Goodwood, Aintree and Castle Combe.

Co-curricular trips during Activities Week in summer 2023 saw pupils in Years 7-12 sailing, canoeing and climbing and at the start of the autumn term Year 7 enjoyed an outdoor education residential at Whitemoor Lakes,

Speech and Drama

Speech and Drama lessons remain a popular peripatetic lesson choice, with over 40 pupils participating from Years 3 to 13. LAMDA exams are taken in house at the end of each term

Charitable support

Tanzania

Our partnership with Amani School in Mwanza, Tanzania and orphanages in the vicinity is now in its 2nd year. We continue to raise money for the project in school (over £2000 in this year's School Charities Week). Pupils were able to visit Tanzania in the summer of 2023 for the first time since 2019.

YMCA

Our Harvest Festival and Christmas Shoebox appeals provided food, provisions, toiletries and gifts for homeless young people in the Derby area.

During 2023 the schoo! has also raised money for Children in Need.

Sport

Sport continues to be a very popular subject and plays a vital role in the life of ali Derby Grammar School pupils. The School benefits from having a well qualified and experienced Sports Department of specialist PE teachers, delivering high quality PE and Games lessons to pupils across the whole Schooi. This provision is continued within the co-curricular offer and ensures pupils receive excellent input from specialist physical educators at all times.

Pupils participate in regular inter-school matches against other schools and have frequent opportunities for school representation in a competitive environment. The School has a well developed sports scholarship programme that provides pupils with an off field sporting education where pupils have access to leading experts from the Derbyshire Institute of Sport covering a wide range of sports performance topics such as nutrition, strength and conditioning, sports psychology, sleep, injury and prevention. This both attracts and retains gifted and talented pupils to the school.

The Schools core sports provision of migby, hockey and cricket is offered termly and provides pupils with the opportunity to represent the School within a well balanced, competitive and enjoyable set of sports fixtures throughout the year. The Schoo! is weil resourced in terms of practice and playing facilities, both on site and at its sports facility at Rykneld Sports Centre.

In addition to the core sports provision, the School offers its pupils the opportunity to explore and develop their personal, physical, social and moral qualities across a wide variety of sporting activities, at various key stages, including; health related fitness, basketball, short tennis, badminton, swimming, gymnastics, dance, invasion games, ball skills, football, table tennis, striking and fielding, and athletics.

Schoo! Trips

Our commitment to trips and visits to enrich pupils’ education continues to be important. During 2023 the Primary Department visits have included Year 6 to PGL for outdoor education, Bikability Week for various Year groups and Activities Week visits to Cadbury’s World and the Sea Life Centre in Birmingham. In the Senior Schoo! the priority has been to support academic studies with GCSE Geography fieldwork at Cannock Chase and in Stafford and A Level Geography field work in Cheshire. History fieldwork has seen GCSE pupils visit Hacrian’s Wall.

Rykneld Sports Centre

At Rykneld Sports Centre investment in new gym equipment has benefited the pupils. The astro turf is swept on a regular basis and is annually ‘refreshed’, with the addition of sand to the base. This has not only benefited our pupils but also improved schoo!l-club links have resulted in external clubs now using the facility as an additional venue for their senior and junior hockey teams.

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

Financial review

Business Review

This was an extremely challenging year for the Independent School Sector in general as families and schools experienced high levels of inflation, rising interest rates and substantial increases in food and energy costs in particular.

Against this backdrop, the focus of our attention has continued to be on the quality of education provision alongside increased pastoral care to support our pupils as we emerge from the aftermath of the global pandemic and its impact on our pupils‘ learning and personal welfare. The Trustees were therefore particularly pleased to see another strong year for both GCSE and A-Level exam results whilst recognising the re-alignment of national marking standard to pre-pandemic levels.

This is credit to the diligence and hard work of the pupils, staff and support of their families.

Regrettably the School moved from a break-even in 2022 to a deficit in 2023 as a direct result of a decline in pupil numbers, due to a higher than anticipated level of attrition in a number of year groups, allied to a lower than forecast conversion of registered enquiries into new pupil intake. This coupled with considerable increases in food, energy and by necessity having to provide a standalone transport facility at short notice came at a considerable but unavoidable cost. The Schoo! is acutely aware of the financial! pressures that its pupils’ parents are under and has limited the fee increases wherever possible whilst taking appropriate measures to manage the rising costs.

In light of the underlying financial performance of the School over recent years and difficult economic conditions the Trustees elected to engage the services of various specialist advisors to assist in the assessment of the strategic options open to The School in order to secure its long term future. Legal advice was taken from law firm VWV and financial & business advice from BDO LLP as well as other regulatory bodies.

Having considered the various options the Trustees concluded that it was in the best interests of The School to identify and actively engage with a suitable partner / investor. With the assistance of VW and BDO, given their inherent knowledge of the Independent School Sector, a target list was agreed and a pro-active marketing and promotional initiative implemented. It was conducted in strictest confidence with interested parties entering into appropriate NDAs. it was not in the Schools best interests to promote this in the open market in order to avoid any uncertainty as to the School's future for pupils and staff alike.

Through a rigorous selection process a suitable school operator was identified with a view to selling the School to them to secure its future. Heads of Terms completed (22 February 2024) and Contract exchanged (7 March 2024) with completion on 28 March 2024. The Charity Commission and DfE have been advised accordingly

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

TRUSTEES’ REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

Reserves policy

Reserves Policy

During the year ended 31 July 2023 the charity's reserve policy was to maintain a level of free reserves equal to two terms expenses. In light of the difficult trading conditions experienced, as at the balance sheet date the charity had a deficit in free reserves (being total funds less fixed assets and endowment funds) of £1,443,974 (2022 - £1,133,487 deficit). In view of this being the charity's position, the trustees undertook the actions detailed in the review of financial position above.

As at the balance sheet date total reserves were £237,760 (2022 - £1,537,710) of which £10,722 (2022 - £10,722) was restricted.

Following the sale of the school on 28 March 2024, the charity retained an assured minimum reserve of £50,000 from which to meet its future financial obligations.

Major risks

Principal risks and uncertainties

The following were applicable throughout the year under review and up to 28 March 2024.

The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. Where risks are identified, any required action is delegated to the Senior Leadership Team or other appropriate school personnel to implement, with appropriate oversight by the Governors to ensure any required action is undertaken.

The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

in the Trustees’ opinion, the principal areas of risk to which the School is exposed are:

The market in which the School operates is highly competitive and the ongoing uncertainty in relation to the economy and the government's policies with regard to education means that maintaining and increasing the level of pupi! numbers remains a key focus. Pupils achieve excellent results and the Schoo! continues to be placed as one of the top performing schools in the East Midlands. We constantly monitor the educational standards of our School in order to attract and retain pupils and we are increasing our marketing effort to ensure that our success is more widely known.

As for any school, the level of regulation and compliance is high. Specifically, the safeguarding of pupils and the health and safety of staff and pupils remains a key priority.

To ensure any risks are considered and addressed, the School has appropriate risk assessments, policies and procedures in place. Staff undertake appropriate and regular training with accredited training providers. Consultation is sought where necessary from external expert agencies, particularly with regards to Health and Safety and safeguarding training.

The Board of Governors is a member of AGBIS which gives expert advice and training to ensure the Governors are suitably trained to oversee the School! in this regard. There are sufficient members of the Board to specialise in their sub-committee structure.

With effect from 28 March 2024, following the sale of the schoo! and the terms of this, future risks to the charity are currently considered minimal.

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

TRUSTEES' REPORT (INCLUDING DIRECTORS’ REPORT) (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

Plans for future periods

As at the balance sheet date plans for future periods were as follows:

With the recent opening of provision for Reception, Year 1 and Year 2 and the Primary School going fully co educational in September 2022 and the trustees are embarking upon an ambitious phase of growth. Links with local nurseries, pre-schools and Primaries are being reinstated, with community events planned for 2024, including stay and play and forest schoo! events.

The school has expanded its sports provision through the opening of a gym and weights room. This is open to the public and offered free to staff at certain times to enhance well-being. Additions to the programme of girls' games have been well received, and we are looking to embed and develop this further as the school attracts increasing numbers of girls into the fully co-educational School.

The trustees are seeking to further develop the IT facilities and infrastructure of the School. Investment has been made in in-class technology, purchasing the latest SMART interactive white boards for a number of subject areas, with more or better alternatives to be installed in 2024. As a Google Education Suite School, more Chromebooks have been bought to enable further IT-based learning, independent learning and research skills to be developed. In addition, a new rolling programme of external and internal redecoration has begun.

Having rolled out a successful online learning programme for pupils during the COVID pandemic, investment has been made in new hardware, such as in-class webcams and visualisers, new educational software, staff training and virtual educational platforms such as Microsoft Teams, to enhance this provision. Any future necessity of online education is therefore fully resourced.

However, in light of the ongoing trading pressures and difficulties, the subsequent sale of the schoo! on 28 March 2024 has revised these plans with it expected that the charity will continue for a period sufficient to fulfil its obligations prior to its eventual winding-up.

Structure, governance and management

The charity is a company limited by guarantee.

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

MrA Gentiles (Resigned 28 March 2024) Mr J Pugh-Lewis

Mrs M Viles

Mr | Louch

Mrs D M Cadman (Resigned 28 March 2024) Mrs N K Virk (Resigned 27 Juty 2023) Mr N G Chattle Mr RS Atwal (Resigned 28 March 2024) Mrs K N Hopkinson {Appointed 9 December 2022)

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

Recruitment and appointment of trustees

The company's Articles of Association allow for Trustees to serve for a three year term. Trustees must retire at the annual general meeting following their completion of three years' service but may stand for re-election.

The Board has the power at any time, and from time to time, to appoint any person to be a Trustee, either to fill a casual vacancy or as an addition to the existing Trustees, subject to the total number of Trustees at any time not exceeding sixteen. Any Trustee appointed holds office only until the next following annual general meeting, and then becomes eligible for re-election.

New Trustees are generally found from the contacts and networking of existing Trustees to provide for the school a wide range of skills.

None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.

The Board of Trustees administers the charity. The Board meets four times a year, as do the Govemors, and there are sub-committees covering education, finance, property, health and safety and safeguarding which also meet at least four times a year.

The Head, appointed by the Trustees, manages the day to day operations of the school.

induction and training of trustees

Induction and training of new Trustees

The school foliows the guidelines in respect of this matter issued by the Independent Schools Association and AGBIS.

Relationship with related parties

Related parties

Derby Grammar School Foundation (DGSF) (Charity Number 1078193) is a connected charity within the meaning of the Statement of Recommended Practice, by virtue of the majority of its Trustees also being Trustees of this company.

The Trustees are grateful to DGS Foundation for its continued support throughout the year that included the provision of an interest free !oan. This loan, to a value of £40,656 ,was cleared on the balance sheet date when it was converted into a contribution towards bursary costs paid by the school.

Auditor

The trustees re-appointed HSKSG Audit as auditors for the school

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT) (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

Disclosure of information to auditor

Each of the trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.

The Trustees would like to register their thanks and appreciation to all staff for their tireless efforts, desire and willingness to do the very best for our pupils.

The Trustees are once again extremely grateful for the ongoing support of its benefactors, past Governors and former teachers for their indication of and willingness to support The School.

The trustees’ report was approved by the Board of Trustees.

SON Mr J Pugh-Lewis Trustee

24 May 2024

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

FOR THE YEAR ENDED 31 JULY 2023

The trustees, who are also the directors of Rykneld Hall Education Trust Limited (formerly known as Derby Grammar Schoo! Trust Limited) for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company Law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financia! position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

Opinion

We have audited the financial statements of Rykneld Hall Education Trust Limited (formerly known as Derby Grammar Schoo! Trust Limited) (the ‘charity’) for the year ended 31 July 2023 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opInion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concem basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified materia! misstatements in the directors’ report included within the trustees‘ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the statement of trustees’ responsibilities, the trustees, who are also the directors of the charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibllities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whok are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a materia! misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

We considered the nature of the Charitable Company's activities and its contro! environment. We also enquired of management about their identification and assessment of the risks of irregularities.

We obtained an understanaing of the legal and regulatory framework in which the Charitable Company operates and identified key laws and regulations that:

We discussed among the audit engagement team the opportunities and incentives that may exist within the organisation for fraud and how / where fraud might occur in the financial statements.

In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. In addressing the risk of fraud through management override of controls, we tested the appropriateness of accounting adjustments and journal entries, assessed whether accounting estimates were reasonable and accurate and reviewed the accounting records for any significant and unusual transactions. In addition, our procedures to respond to the risks identified included:

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financia! statements, as we are less likely to become aware of instances of non-compliance. This risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

-13-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE MEMBERS OF RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

Philip Handley FCA (Senior Statutory Audtory——OOSCS~S~S . for and on behaif of HSKSG Audit 24

24 May 2024

Chartered Accountants Statutory Auditor

18 St Christopher's Way Pride Park Derby DE24 8JY

-14-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 JULY 2023

Unrestricted Endowment Total Unrestricted Endowment Total
funds funds funds funds
2023 2023 2023 2022 2022 2022
Notes £ £ £ £ £ £
Income from:
Donations and legacies		 3 - - - 11,582 - 11,582
Charitable activities 4 3,126,766 - 3,126,766 3,179,530 - 3,179,530
Investments ) 30 - 30 30 - 30
Total income 3,126,796 - 3,126,796 3,191,142 - 3,491,142
Expenditure
on:
Charitable activities 6 4,361,092 - 4,361,092 3,236,351 - 3,236,351
Other 11 35,435 - 35,435 32,955 - 32,955
Total expenditure 4,396,527 - 4,396,527 3,269,306 - 3,269,306
Net gains/(losses) on
investments 12 22,391 - 22,391 - - -
Net outgoing resources (1,247,340) ~ (1,247,340) (78,164) - (78,164)
Other recognised gains and losses
Revaluation of tangible
fixed assets (52,610) - (52,610) - - -
Netmovement in funds (1,299,950) - (1,299,950) (78,164) - (78,164)
Fund balances at 1 August
2022 1,526,988 10,722 1,537,710 1,605,152 10,722 1,615,874
Fund balances at 31 July
2023 227,038 10,722 237,760 1,526,988 10,722 1,537,710

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

-15-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

BALANCE SHEET

AS AT 31 JULY 2023

2023 2022
Notes £ £ £ £
Fixed assets
Tangible assets 15 1,620,284 2,632,138
Investments 16 50,728 28,337
4,671,012 2,660,475
Current assets
Stocks 17 8,994 2,803
Debtors 18 215,595 127,900
Cash at bank and in hand 216 948
224,805 131,651
Creditors: amounts falling due within
oneyear 20 (868,453) (398,533)
Net current liabilities (643,648) (266,882)
Total assets less current liabilities 1,027,364 2,393,593
Creditors: amounts falling due after
morethan one year 21 (789,604) (855,883)
Net assets 237,760 1,537,710
Capital funds
Endowmentfunds - general 24 10,722 10,722
Income funds
Unrestricted funds
General unrestricted funds 227,038 1,474,378
Revaluation reserve - 52,610
227,038 1,526,988
237,760 4,537,710

The financial statements were approved by the Trustees on 24 May 2024

Mr J Pugh-Lewis Trustee

Company Registration No. 02739366

-16-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 JULY 2023

2023 2022
Notes £ £ £ £
Cash flows from operating activities
Cash absorbed by operations 29 (274,720) (6,326)
Investing activities
Purchase oftangible fixed assets (68,192) (82,233)
Repayment ofinvestment loans and
receivables (18,664) -
Investment income received 30 30
Netcash used in Investing activities (86,826) (82,203)
Financing activities
Repayment ofborrowings (40,656) (10,823)
Proceeds ofnew bank loans - 750,000
Repayment ofbank loans (23,534) (777,899)
Net cash (used in)/generated from
financing activities (64,190) 21,278
Net decrease in cash and cash equivalents (425,736) (67,251)
Cash and cash equivalents at beginning ofyear (39,737) 27,514
Cash and cash equivalents atend ofyear (465,473) (39,737)
Relating to:
Cash at bank and in hand 216 948
Bank overdrafts included in creditors
payablewithinoneyear (465,689) (40,685)

-17-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JULY 2023

Charity information

Rykneld Hali Education Trust Limited (formerly known as Derby Grammar Schoo! Trust Limited) is a private company limited by guarantee incorporated in England and Wales. The registered office is Rykneld Hall, Rykneld Road, Littleover, Derby, Derbyshire, DE23 4BX.

With effect from 28 March 2024 the name of the company was changed from Derby Grammar Schoo! Trust Limited to Rykneld Hall Education Trust Limited.

The financial statements have been prepared in accordance with the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102,

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £1.

The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain assets which are included at market value. The principal accounting policies adopted are set out below.

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concer basis of accounting in preparing the financial statements.

The School has traditionally met its day to day working capital requirements through occasional use of an overdraft facility, being £500,000 in 2023, increased from £450,000 in 2022. Fees are generally paid by parents on a termly basis and as a result there is considerable variation in the levels of cash. At the 31 July 2023 the overdraft balance was £465,689 (2022 - £40,685).

The School also had key benefactors who had signified their willingness to support the school. This has proven not to be required.

Following the sale of the school on 28 March 2024, the bank indebtedness was repaid in full and facilities withdrawn. The company also retained assured minimum reserves of not less than £50,000 that are considered sufficient for it to meet its future financial obligations.

1.3 Charitable funds Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

The endowment fund is in respect of funds for prizes awarded on Speech Day every year. Further explanation of each fund is detailed in note 21.

-~18-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

1 Accounting policies

{Continued}

1.4 Income Income is recognised when the charity is legatly entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

Govemment and other grants are recognised in the Statement of Financial Activities in the period to which they relate when there is a reasonable assurance that the charity will comply with conditions attaching to them and the grants will be received.

School fees receivable represent invoiced fees for education supplied and are recognised in the year to which they relate. School fees recognised are reported net of any scholarships, bursaries or other allowances granted by the charity.

Income from other trading activities, including non-ancillary trading income is recognised as it is earned from any services supplied.

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reasonably.

Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Grants and bursaries, all of which are made from unrestricted funds, are treated as a deduction from fee amounts billed. More details with regards to the charity's bursary programme can be found in the Trustees’ report.

1.6 Tangible fixed assets

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives, or if held under a finance lease, over the lease term, whichever is the shorter, on the following bases:

Freehold land and buildings straight line over varying numbers of years Plant and equipment at varying rates on cost Motor vehicles 25% on cost

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

-19-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

1 Accounting policies

(Continued)

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred. Surpluses and deficiencies arising on sale are reflected in the year of disposal.

1.8 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Stocks are stated at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Net realisable value is the estimated selling price tess all estimated costs of completion and costs to be incurred in marketing, selling and distribution.

1.10 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.11 Financial instruments

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

-20-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

(Continued)

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractua! obligations expire or are discharged or cancelled.

1.12 Taxation

The charity is exempt from corporation tax on its charitable activities, but can reciaim income tax on certain voluntary income.

1.13 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.14 Retirement benefits

The charity participated in a multi employer pension scheme, the Governments’ Teachers Pension Defined Benefits Scheme, for its teaching staff until 31 December 2019. The pension liability is the responsibility of the Teachers Pension scheme. As a result it is not possible to identify the assets and liabilities of the scheme that are attributable to the charity. Accordingly, under Section 28 of FRS 102 the scheme is accounted for as if it were a defined contributions scheme.

From 1 January 2020 the charity has operated a defined contribution scheme for teaching staff.

The charity also operates a money purchase scheme for non teaching staff.

Contributions to all schemes are charged in the Statement of Financial Activities as they become payable in accordance with the rules of the scheme.

1.15 Foreign exchange

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of the transaction. Exchange differences are taken into account in arriving at the operating result.

-21-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

(Continued)

1.16 Concessionary loans

Concessionary loans are initially measured at the amount received or paid.

In subsequent years the carrying amount of concessionary loans will be adjusted to reflect any accrued interest payable or receivable, where such interest is charged.

Trade and other debtors are recognised at the settlement amount due after any trade discount offered.

Trade and other creditors are recognised at the settlement amount due after any trade discount received.

2 Critical accounting estimates and judgements

tn the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

3 Income from donations and legacies

Unrestricted Unrestricted
funds funds
2023 2022
£ £
Donations and gifts - 10,823
Govemment grants - 759
- 11,582

-22-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 JULY 2023

4 Income from charitable activities

Unrestricted Unrestricted
funds funds
2023 2022
£ £
Education
School fees 2,812,854 2,856,748
Registration fees 3,630 2,785
Rents received 10,327 2,970
Other income 141,296 145,182
Welfare
Schoo! fees 128,680 139,657
Support
Other income 29,979 32,188
3,126,766 3,179,530
5 Income from investments
Unrestricted Unrestricted
funds funds
2023 2022
£ £
Otherinvestmentincome 30 30

-23-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

6 Charitable activities

Education Welfare Premises Support Finance Total Total
2023 2022
2023 2023 2023 2023 2023
£ £ £ £ £ £ £
Staff costs 2,051,024 75,085 33,254 494,158 - 2,353,521 2,424,459
Depreciation
and
impairment - - 1,027,436 - - 1,027,436 77,095
Hire ofplant
and
machinery - - - 23,501 - 23,501 27,840
Rates and
refuse
collection - - 5,728 - - 5,728 5,115
Insurance - - 36,950 - - 36,950 39,500
Utilities - - 108,417 - - 108,417 116,787
Telephone - - - 4,202 - 4,202 3,510
Postage and
stationery - - - 12,354 - 12,354 14,604
Marketing - - - 55,441 - 55,441 67,309
Sundry
expenses 871 80 - 29,733 - 30,684 25,015
Motor
expenses 3,123 1,682 - - - 4,805 5,957
Repairs and
maintenance - - 87,247 79,161 - 166,408 121,320
Legal and
professional
fees - - - 100,321 - 100,321 47,108
Bankcharges - - - - 9,867 9,867 4,049
Other school
operating
costs 141,298 162,448 20,699 85,753 - 410,198 242,711
Bad debts (475) - - - - (475) -
2,195,841 239,295 1,319,731 584,624 9,867 4,349,358 3,222,379
Share of
govemance
costs (see
note 7) - - 544 11,190 - 11,734 13,972
2,195,841 239,295 1,320,275 595,814 9,867 4,361,082 3,236,351
Analysis
by fund
Unrestricted
funds 2,195,841 239,295 1,320,275 595,814 9,867 4,361,092 3,236,351

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

6 Charitable activities (Continued)
Forthe year ended 31 July 2022
Education Welfare Premises Support Finance Total
2022
£ £ £ £ £ £
Staffcosts 2,066,520 106,472 41,430 210,037 - 2,424,459
Depreciation and
impairment - - 77,095 - - 77,095
Hire of plant and machinery - - - 27,840 - 27,840
Rates and refuse collection - - 5,115 - - §,115
Insurance - - 39,500 - - 39,500
Utilities - - 116,787 - - 116,787
Telephone - - - 3,510 - 3,510
Postage and stationery - - - 14,604 - 14,604
Marketing - - - 67,309 - 67,309
Sundry expenses - - - 25,015 - 25,015
Motorexpenses 3,248 2,709 - - - §,957
Repairs and maintenance - - 49,089 72,231 - 121,320
Lega! and professional fees - - - 47,108 - 47,108
Bank charges - - - - 4,049 4,049
Other school operating
costs 120,470 65,409 15,941 40,891 - 242,711
2,190,238 174,590 344,957 508,545 4,049 3,222,379
Share ofgovernance costs
(see note 7) - - 2,452 11,520 - 13,972
2,190,238 174,590 347,409 520,065 4,049 3,236,351
Analysis by fund
Unrestrictedfunds 2,190,238 174,590 347,409 520,065 4,049 3,236,351

~25-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

==> picture [490 x 284] intentionally omitted <==

----- Start of picture text -----
||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---| |7|Support costs| |Support|Governance|2023 Support|costs|Governance|2022| |costs|costs|costs| |£|£|£|£|£|£| |Audit fees|-|8,393|8,393|-|8,640|8,640| |Accountancy|-|2,797|2,797|-|2,880|2,880| |Insurance|-|544|544|-|2,452|2,452| |-|11,734|11,734|-|13,972|13,972| |Analysed|between| |Charitable|activities|-|11,734|11,734|-|13,972|13,972| |8|Net|movement|in|funds|2023|2022| |£|£| |The|net|movement|in|funds|is|stated|after charging/(crediting):| |Fees|payable|for|the|audit|of|the|charity's|financial|statements|8,393|8,640| |Depreciation|of owned|tangible|fixed|assets|69,538|77,095| |Impairment|of owned|tangible|fixed|assets|957,898|-|

----- End of picture text -----

9 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.

10 Employees

The average monthly number of employees during the year was:

==> picture [466 x 136] intentionally omitted <==

----- Start of picture text -----
||||| |---|---|---|---| |2023|2022| |Number|Number| |School|45|47| |Catering|4|5| |Administration|8|10| |Property|6|6| |Marketing|2|3| |Sports|Centre|3|4| |Total|68|75|

----- End of picture text -----

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

10 Employees (Continued)
Employment costs 2023 2022
£ £
Wages and salaries 1,902,856 1,924,045
Social security costs 223,795 252,733
Other pension costs 226,870 247,684
2,353,521 2,424,459

The charity participated in the Teachers’ Pension Scheme (England and Wales) ("the TPS") for its teaching Staff until 31 December 2019. The pension charge for the year includes contributions payable to the TPS of Enil (2022 - £nil) and at the year-end Enil (2022 - Enil) was accrued in respect of contributions to this scheme.

The TPS is an unfunded multi-employer defined benefits pension scheme governed by the Teachers’ Pensions Regulations 2014. Members contribute on a “pay as you go" basis with contributions from members and the employer being credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.

The employer contribution rate is set following scheme valuations undertaken by the Goverment Actuary's Department. The latest actuarial valuation of the TPS was prepared as at 31 March 2016 and the valuation report, which was published in March 2019, confirmed an employer contribution rate for the TPS of 23.6% from 1 September 2019. Employers are also required to pay a scheme administration levy of 0.08% giving a total employer contribution rate of 23.68%.

Had the charity not left the scheme on 31 December 2019 this employer rate would have been payable until the outcome of the next actuarial valuation which was due to be prepared as at 31 March 2020, with any resulting changes to the employer rate expected to take effect from 1 April 2023. This valuation will also determine the opening balance of the cost cap fund and provide an analysis of the cost cap as required by the Public Service Pensions Act 2013.

In October 2019 the charity commenced a defined contribution scheme with Aviva which became the sole scheme for teaching staff from 1 January 2020. The cost for the year represents the charity's contributions to this scheme of £196,583 (2022 - £210,010).

The school also administers an auto enrolment scheme, The People’s Pension, for its non-teaching staff. The cost for the year represents the charity's contributions to the auto enrolment scheme of £9,101 (2022 - £10,494).

The number of employees whose annual remuneration was more than £60,000

is as follows:

2023 2022
Number Number
£70,001 - £80,000 - 1
£80,001 - £90,000 1 -

Pension contributions made in respect of higher paid employees totalled £7,020 (2022 - £6,759).

-27-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

11. Other

==> picture [465 x 97] intentionally omitted <==

----- Start of picture text -----
||||| |---|---|---|---| |Unrestricted|Unrestricted| |funds|funds| |2023|2022| |Financing|costs|35,435|32,955| |35,435|32,955|

----- End of picture text -----

12 Gains and Josses on investments

==> picture [465 x 72] intentionally omitted <==

----- Start of picture text -----
|||||| |---|---|---|---|---| |Unrestricted|Unrestricted| |funds|funds| |2023|2022| |Gains/(losses)|arising|on:|£|£| |Revaluation|of investments|22,391|-|

----- End of picture text -----

Details on the revaluation of fixed asset investments are given in note 15.

13 Taxation

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

14 Impairments

As detailed in notes 16 and 27, on 28 March 2024 the assets of the school were disposed of at an agreed value.

Given this subsequent disposal, the value of such assets are included in the financial statements at an impaired vaiue.as at 31 July 2023. The resulting impairment losses, which are considered exceptional, are included in the Statement of Financial Activities for the year ended 31 July 2023, within Expenditure on Charitable activities, as follows:

==> picture [464 x 48] intentionally omitted <==

----- Start of picture text -----
||||||| |---|---|---|---|---|---| |2023|2022| |£|£| |!n|respect|of:| |Property,|pliant|and|equipment|957,898|-|

----- End of picture text -----

-28-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

16 Tangible fixed assets

Tangible fixed assets
Freehold land Plantand Motorvehicles Total
and buildings equipment
£ £ £ £
Cost or valuation
At 1 August2022 3,100,162 1,234,261 63,830 4,398,253
Additions - 68,192 - 68,192
Revaluation and impairment (52,610) - - (52,610)
At 31 July 2023 3,047,552 1,302,453 63,830 4,413,835
Depreciation and impairment
At 1 August 2022 680,256 1,122,029 63,830 1,766,115
Depreciation charged in the year 21,572 47,966 - 69,538
Impairment losses 855,442 102,456 - 957,898
At 31 July 2023 1,457,270 1,272,451 63,830 2,793,551
Carrying amount
At 31 July 2023 1,590,282 30,002 - 1,620,284
At31July2022 2,519,906 112,232 - 2,632,138

The school's properties were independently valued on an operating unit basis on 17 March 2022 by Jonathan Barnett BSc (Hons) MRICS of Lambert Smith Hampton at a total valuation of £2,625,000 of which £2,100,000 is attributable to the schoo! and £525,000 to the sports centre. Of these valuations respective amounts of £1,992,157 and £514,680 are attributable to land and buildings with the remaining balances being the net book values of respective plant and equipment assets.

The directors have considered the value of properties as at the balance sheet date, and based on subsequent trading results and sales value of the properties, consider their value to be lower and have accordingly impaired these values by the amounts detailed above.

At 31 July 2023, had the revalued assets been carried at historic cost less accumulated depreciation and accumulated impairment losses, their carrying amount would have been approximately £1,590,282 (2022 - £2,467 ,296).

All freehold land and buildings were pledged to secure the bank borrowings and the loans from benefactors. This security terminated on 28 March 2024 when the properties were sold.

-29-

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

16 Fixed asset investments

Untisted
investments
£
Cost orvaluation
At 1 August 2022 28,337
Valuation changes 22,391
At 31 July 2023 §0,728
Carrying amount
At 31 July 2023 §0,728
At31July2022 28,337

There were no investment assets outside the UK.

The unrestricted fund investments comprise historic assets donated to the charity.

After the year end date the respective items were valued by various professional valuers, including Christies and Sothebys, and based on these valuations an assured value of £50,000 was placed on these assets within the sale agreement for the schoo! that was enacted on 28 March 2024. Based on this valuation the directors deemed this to be a fair value of the assets concerned at the balance sheet date and have accordingly refiected this value in these financial statements with the uplift in value of £22,391 included in the Statement of Financial Activities.

17 Stocks

17 Stocks
2023 2022
£ £
Siocks 8,994 2,803
18 Debtors
2023 2022
Amounts falling due within one year: £ £
Trade debtors 55,853 §5,245
Other debtors 57,692 30,849
Prepayments and accrued income 102,050 41,806
215,595 127,900

~ 30 -

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

19 Loans and overdrafts

Loans and overdrafts
2023 2022
£ £
Bank overdrafts 465,689 40,685
Bank loans 726,400 749,934
Other loans 34,222 74,878
1,226,311 865,497
Payable within one year §24,507 98,445
Payable afterone year 701,804 767,052
Amounts included above which fall due after five years:
Payabie by instalments (119,618) 149,421
Payable other than by instalments (470,825) 470,825
(590,443) 620,246

There was in place an overdraft facility of £500,000. This facility subsequently ceased in March 2024 following repayment of the overdraft.

Prior to its repayment, this facility carried interest at a variabie rate set at 2.25% above the base rate of Barclays Bank Plc.

A bank loan of £726,400 (2022 - £749,934) was repayable over a period of 10 years in the first instance, repayments having started in April 2022. The bank had the right to ask for immediate repayment of the whole of the loan outstanding if any of the terms and conditions of the loan were breached. As part of the agreement for the sale of the school on 28 March 2024 this loan was repaid in full in March 2024.

The bank loan carried interest at a fixed rate for the initial term set at 4.79%.

Other loans comprise a concessionary loan of £ni! (2022 - £40,656) and a benefactor loan of £34,222 (2022 - £34,222).

The concessionary loan advanced to Derby Grammar School Trust Limited by Derby Grammar School Foundation was for the purpose of furthering the objectives of the public benefit entity, was interest free and had no fixed repayment date. The school was relieved of its obligation to repay this !oan during the year.

Loans from benefactors totalling £34,222 (2022- £34,222) were also interest free, had no fixed date for repayment. and were secured against freehold iand and buildings. This loan has since been repaid in full in March 2024.

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

==> picture [489 x 298] intentionally omitted <==

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||||||||||| |---|---|---|---|---|---|---|---|---|---| |20|=|Creditors:|amounts|falling|due within one|year| |2023|2022| |Notes|£|£| |Bank|loans|and|overdrafts|19|490,285|64,223| |Other|borrowings|34,222|34,222| |Other taxation|and|social|security|44,621|46,530| |Payments|received|on|account|61,683|63,033| |Trade|creditors|158,534|96,756| |Other|creditors|60,977|75,162| |Accruals|and|deferred|income|18,131|18,607| |868,453|398,533| |21.|Creditors:|amounts|falling|due|after|more|than|one|year| |2023|2022| |:|Notes|£|£| |Bank|loans|19|701,804|726,396| |Other|borrowings|-|40,656| |Other creditors|87,800|88,831| |789,604|855,883|

----- End of picture text -----

22 Secured debts

Information about secured debts is given in notes 15 and 19.

23

==> picture [464 x 61] intentionally omitted <==

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||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---| |~=Retirement|benefit|schemes| |2023|2022| |Defined|contribution|schemes|£|£| |Charge|to|profit|or|loss|in|respect|of defined|contribution|schemes|226,870|247,681|

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The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.

24 Endowment funds

Endowment funds represent assets held by the charity to fund prizes awarded on Speech Day each year. Further details of each fund are given below.

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----- Start of picture text -----
||||||| |---|---|---|---|---|---| |At|1|August|At|31|July| |2022|2023| |£|£| |Permanent|endowments| |Prize|funds|10,722|10,722|

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

24 Endowment funds

(Continued)

Previous year: At 1 August At31 July
2021 2022
£ £
Permanent endowments
Prizefunds 10,722 10,722

The Caroline Booth Memorial Prize Funds of £2,196 (2022 - £2,196) were established in 1997 by J H Booth in memory of his mother to fund music prizes.

The Dr WR C Chapman Prize Fund of £1,075 (2022 - £1,075) was established in 1999 by Sir Nigel Rudd in memory of a past headmaster of Bemrose School, Derby to fund a mathematics prize.

The Duke of Devonshire Prize Fund of £2,082 (2022 - £2,082) was established in 2000 by His Grace the Duke of Devonshire to fund a prize for natural sciences.

The Dermot Murray Prize Fund of £2,658 (2022 - £2,658) was established to promote interest in science and to encourage the formal presentation of short papers on matters of scientific interest.

The MacMillan Prize Fund of £1,216 (2022 - £1,216) was established in 2004 by Mr John Blackton in memory of Mr H B MacMillan to fund a senior mathematics prize.

The Thomas Dakin Prize Fund of £972 (2022 - £972) was established in 2004 by Mr S Critchell-Ward to fund the Esprit de Corps prize.

The Roger Waller Fund of £523 (2022 - £523) was established in 2008 by a former headmaster to fund a chemistry prize.

25 Unrestricted funds

The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

At 1 August
2022		 Incoming
resources		 Resources
expended		 Gainsand
losses		 At31 July
2023
£ £ £ £ £
Generai funds 1,526,988 3,126,796 (4,396,527) (30,219) 227,038
Previous year: At 1 August Incoming Resources Gains and At31 July
2021 resources expended losses 2022
£ £ £ £ £
Generalfunds 1,605,152 3,191,142 (3,269,306) - 1,526,988

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

26 = Analysis of net assets between funds

Unrestricted Endowment Total
funds funds
2023 2023 2023
£ £ £
Fund batances at 31 July 2023 are represented by:
Tangibleassets 4,620,284 - 1,620,284
Investments 50,000 728 60,728
Current assets/(liabilities) (653,642) 9,994 (643,648)
Long term liabilities (789,604) - (789,604)
227,038 10,722 237,760
Unrestricted Endowment Total
funds funds
2022 2022 2022
£ £ £
Fund balances at 31 July 2022 are represented by:
Tangible assets 2,632,138 - 2,632,138
Investments 27,609 728 28,337
Current assets/(liabilities) (276,876) 9,994 (266,882)
Longterm liabilities (855,883) - (855,883)
1,526,988 10,722 1,537,710

27 ~=Events after the reporting date

On 7 March 2024 an agreement was entered into with inspired Learning Group (UK) Limited whereby they would purchase the business (comprising the assets) as a going concem on the terms and conditions set out in this agreement.

The terms of this agreement were such that:

The sale of the school on the agreed terms was completed on 28 March 2024.

On 27 March 2024 the name of the company was changed from Derby Grammar School Trust Limited to Rykneld Education Trust Limited.

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RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

28 ~=Related party transactions

Transactions with related parties

During the year the charity entered into the following transactions with related parties:

As at the balance sheet date amounts owed by (2022- to) the affiliated charitable organisation, as noted in the Report of the Trustees, totalled £18,664 (2022 - £40,656). These loans are interest free and have no fixed date for repayment.

During the year the charity was released from the obligation to repay amounts owed in respect of this loan to a total of £40,656 as referred in Trustees’ Report and note 19.

At the year end date the charity owed £34,222 (2022 - £34,222) to former trustees. During the year loans amounting to £nil (2022 - £10,823) were forgiven by these individuals and are reflected in donations and gifts in the statement of financial activities.

Two governors have children who attend the School. No fee discounts or benefits are provided to those families due to their positions on the Board of Trustees.

29 Cash generated from operations 2023 2022
£ £
Deficit for the year (1,247,340) (78,164)
Adjustments for:
Investment income recognised in statement offinancial activities (30) (30)
Fair value gains and losses on investments (22,391) -
Depreciation and impairment oftangible fixed assets 1,027,436 77,095
Movements in working capital:
(increase) in stocks (6,191) (1,418)
(Increase) in debtors (69,031) (19,740)
increase in creditors 42,827 15,931
Cashabsorbedbyoperations (274,720) (6,326)

RYKNELD HALL EDUCATION TRUST LIMITED (FORMERLY KNOWN AS DERBY GRAMMAR SCHOOL TRUST LIMITED)

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 JULY 2023

30 =Analysis ofchanges in net (debt)}/funds
At 1 August 2022 Cash flows Othernoncash At31 July 2023
changes
£ £ £ £
Cash at bank and in hand 948 (732) - 216
Bank overdrafts (40,685) (425,004) - (465,689)
(39,737) (425,736) - (465,473)
Loans fallingdue within oneyear (57,760) 23,534 (24,592) (58,818)
Loans falling due aftermorethan oneyear (767,052) 40,656 24,592 (701,804)
(864,549) (361,546) - (1,226,095)