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2021-08-31-accounts

COMPANY REGISTRATION NUMBER: 02736338 CHARITY REGISTRATION NUMBER: 1018815

Glebe House School Trust Limited Company Limited by Guarantee Financial Statements

31 August 2021

STEPHENSON SMART (EAST ANGLIA) LIMITED

Chartered accountants & statutory auditor 22-26 King Street King's Lynn Norfolk PE30 1HJ

Glebe House School Trust Limited

Company Limited by Guarantee

Financial Statements

Year ended 31 August 2021

Page
Trustees' annual report (incorporating the director's report) 1
Independent auditor's report to the members 14
Statement of financial activities (including income and
expenditure account) 20
Statement of financial position 21
Statement of cash flows 22
Notes to the financial statements 23
The following pages do not form part of the financial statements
Detailed statement of financial activities 45
Notes to the detailed statement of financial activities 47

Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report)

Year ended 31 August 2021

The trustees, who are also the directors for the purposes of company law, present their report and the financial statements of the charity for the year ended 31 August 2021.

Reference and administrative details

Registered charity name Glebe House School Trust Limited Charity registration number 1018815 Company registration number 02736338 Principal office and registered 2 Cromer Road office Hunstanton Norfolk PE36 6HW

The trustees

Dr S Bottomley Mr R H Chalk Mr N D Crane Mr P R Searle Mr P J Haslam Mrs S L Ratchford Mrs E J Saunders

Trustees in post are Governors of the school. The chairman and secretary are the nominated trustees of Glebe House School Trust Limited for the purposes of complying with the Charities Act.

A quorum of not less than five members personally present must be achieved before any business may be transacted at any General meeting.

On a day-to-day basis the Trustees delegate management of the charity to the Headmaster, Mr L Taylor.

Website www.glebehouseschool.co.uk

Auditor Stephenson Smart (East Anglia) Limited Chartered accountants & statutory auditor 22-26 King Street King's Lynn Norfolk PE30 1HJ Bankers Barclays Bank plc 91-92 High Street King's Lynn Norfolk PE30 1BL

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Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2021

Structure, governance and management

Governing Document

Glebe House School was founded in 1874 and was incorporated on 19 November 1992 under the Companies Act 1985 as Glebe School Trust Limited, a Charitable Company limited by guarantee without share capital. The guarantees of members are limited to a contribution of £1 each in the event of the company being wound up. At 31 August 2021 there were 7 members (2020: 7). The governing document of the charity is its Memorandum and Articles of Association.

Recruitment and appointment of new trustees

Potential Governors are identified by members of the Board and are considered against specifications concerning eligibility, competence, specialist skills and local availability. Induction and training is provided for all Governors and is tailored specifically to the individual.

Organisational Structure

The Governing body of the school is the Board of Trustees.

The members of the Governing Body are legally responsible for the overall management and for determining the general policy of the school. The Governing Body meets at regular intervals during the year in order to ensure it retains effective control over the management and policies of the school. Much of the preparation for these meetings is undertaken in sub committees of the Board which include Finance, Health and Safety and Marketing.

The school is registered with The Department of Education as School Number 926/6004. As required under current legislation the Criminal Records Bureau and The Department of Education have confirmed Mr N D Crane as suitable to be the Chairman of the Board and this is shown in the Register of Independent Schools in accordance with the terms of the Education (Independent School Standards) (England) (Amendment) Regulations 2004. All the school Governors have been cleared by the Criminal Records Bureau.

The day to day management of the school is delegated to the Headmaster and his senior team. The Headmaster has a senior management team, comprising the Bursar, the Deputy Head, Head of Pre-Prep and Nursery Area Manager, which meet regularly to manage the day to day running of the school.

2

Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2021

Structure, governance and management (continued)

Risk Management

The Governors are responsible for overseeing the risks faced by the school. Detailed consideration of the risks is delegated to the senior management of the school. Through the risk management processes established by the school, the Governors are satisfied that the major risks have been identified and mitigated where possible.

Financial risks such as liquidity risk arises due to seasonal payments of fee income. School fees are either paid annually in advance or termly, meaning that the majority of income arises on a termly basis, whilst costs arise on a monthly basis. Nursery fees are paid monthly in advance. This risk is managed by carefully controlling expenses and, if required, the use of short term borrowings which are used to meet day to day obligations as and when required. The Trust also deals with credit risk by by ensuring that trade debtors are reviewed regularly and chased accordingly to ensure debts do not turn bad.

It is recognised that the management of risks can only provide reasonable but not absolute assurance that the impact of major risks will be adequately mitigated. The key controls used by the school include:

3

Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2021

Objectives and activities

Objectives and aims

In accordance with its Memorandum of Association the school is a mixed day and weekly boarding school with the object of educating its pupils to a high standard so enabling them to move to the senior school of their choice.

The school provides an all round education for all genders from 6 months to 13 years of age. The Trust aims to give all the children a stable, stimulating, safe, moral and family orientated environment, in which they can develop skills required to succeed in the 21st century.

The School undertakes to:

The school welcomes children from all faiths (and none) and through the Assembly and Religious Education programmes strongly supports the understanding of different cultures, in sympathy with British Values.

The school encourages the traditional values of courtesy, consideration for others, self discipline and a desire to contribute to society. The school is committed to harnessing the best of modern educational practice. The success of this approach can be seen in the scholarships our pupils have won to leading independent schools throughout the country.

Music, sport and drama are a significant part of a child's life at the school. Pupils are encouraged to participate, to show commitment and to try different things. Many excel; we aim to give all the opportunity to enjoy themselves.

4

Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2021

Objectives and activities (continued)

Public benefit and community access

The school seeks to play a part in the life of the local community participating in many local civic activities and competing in events with other local schools. As part of the schools commitment to the local community it provides access to education not just to those that can afford to pay the full fees.

The school has a programme of bursaries, scholarship and teaching links with local schools and runs sports academies open to the wider community. The Trustees believe that by doing this they provide just regard to the Charities Commissions public benefit guidance.

Bursary policy and application

The Governors view bursary awards as important in helping children from families that would otherwise not be able to afford the fees to benefit from the education provided by the school. The school does not have specific entry requirements and bursaries are awarded on the basis of parental means or to relieve hardship as a result of changed circumstances of families of existing pupils. Bursaries are generally awarded for between 20% and 50% of the fees. Our policy is designed to widen access to our school.

The school seeks to ensure that those provided with a bursary in the school are able to obtain similar support from their secondary education provider.

Scholarships

Scholarships are awarded for outstanding potential in sport or general academic ability.

The school's scholarship policy demonstrates that scholarships are there to provide additional support and opportunities for the most able, as opposed to providing financial support.

5

Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2021

Objectives and activities (continued)

Family discounts policy

To underline the value we place in continuity for families, we offer discounts where parents have more than one child at the school.

Assistance for our teaching staff

As part of our emphasis on attracting and retaining high calibre teaching staff, we offer a discount scheme where staff members choose to educate their children at the school.

Teaching links

The school offers access to its specialist teaching skills and facilities to other local state funded schools. Children from those schools are encouraged to attend lessons with our pupils and join in the life of the school where these arrangements can be made.

Summer camps

The school runs summer camps and also hires the school out to other providers who give value for money opportunities for extended care during school holidays.

The school gives use of its swimming facilities to local schools with no charge.

The school also has an agreement with a local charity, The Hunstanton Mens' Shed, who is given space and safe access to an area in the school to run charitable activities that support the community.

Through these initiatives, the trustees have complied with the duty in section 17 of the Charities Act 2011 to have due regard to public benefit guidance published by the Charity Commission and in particular to its supplementary public benefit guidance on advancing education and fee- charging. The trustees consider that they have met the public benefit requirements of the Act.

Strategic report

The following sections for achievements and performance and financial review form the strategic report of the charity.

Achievements and performance

Charitable activities

The school has continued to build upon its reputation for educating its pupils to a high standard, whilst also providing them with a full and rounded education through a programme of extra-curricular activities.

Academic achievements

The academic progress of all the children continues to be a strength of the school. Children of all abilities make consistent progress. Children leaving from Division VIII all gained a place at their chosen school.

SEND

Good systems are in place to assist children with special educational needs and differences.

6

Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2021

Achievements and performance (continued)

Music achievements

The year has included a full programme of informal concerts for all children who learn instruments or having singing lessons as well as a music competitions, where this has been possible with regards to the Covid-19 pandemic - in the summer term we hold the House Show which includes all Prep school children.

Drama achievements

Considerable work outside the classroom goes into producing plays throughout the school. A full programme of plays and activities continue throughout the year where this is possible with regards to the Covid-19 pandemic.

Other extracurricular activities

The school offers a wide range of other activities including organised visits and trips to events, museums and cities throughout the country and abroad.

Governors are satisfied that the school was achieving its stated objectives throughout the year in question.

7

Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2021

Financial review

Funds

The Governors regularly review the level of reserves needed to meet the charities needs effectively.

Restricted funds, representing the application of specific funds towards specific projects produced a deficit for the year of £144,001 (2020: a surplus for the year of £11,149). The deficit is attributable to the NCC & Community Funding which is deemed unrestricted.

The unrestricted funds, representing the schools trading, produced a surplus for the year of £132,290 (2020: a surplus for the year of £28,100). The Governors recognise the importance of sustainable profits and have produced a comprehensive business plan detailing how the Trust assess the current situation and how growth can occur moving forward. The one issue identified is that the demographic of the current parents, both at the school and within the local area, have changed significantly to that of of old, thereby requiring a review of fees; with this in mind the Governors are applying a 5 year strategy to increase pupil numbers and will continue to actively recruit further pupils. The Trust have recently taken over the running of two new nurseries, both of which will be cash and profit generating.

The Governors have reviewed the level of reserves, defined as funds which are unrestricted and not designated and which are not represented by tangible fixed assets for charitable use, on the balance sheet as at 31 August 2021 of £355,705 deficit (2020: £260,975 defecit) as disclosed in the attached accounts and continue to take action to ensure the school can continue to meet its stated objectives.

As in previous years, cash had been tight for the Trust, who had been operating through their overdraft. In the current year, the Trust, mainly through the help of Government related grants from the Covid-19 pandemic, have managed to reassess their cashflow position resulting in little to no short term financing required for the day to day running of the Trust. The board have renegotiated the Norwich Diocese loan which is now repayable over the next 8 years and interest rates fell during the financial year reducing the interest per payment on all loans. The new Business Plan has been implemented by the Board and early indications are showing positive changes within the Trust's financials. With the detailed business plan forecasting future profits and support from the Governors, the Trustees believe that there is an ongoing viability of the school.

Reserves Policy

The Governors reserves policy is to maintain a positive balance on the reserves by actively managing the schools finances and thus ensure that its activities are sustainable.

Going Concern

Credit control within the charity has improved during the year, and some non-trade creditors renegotiated on longer terms to assist cash flow. In prior years, the Trust has breached loan covenants, but with the support of the bank the Trust has managed to maintain these covenants during the year under review within these financial statements. The Trust are hopeful that other loan balances will be able to be renegotiated also whilst interest rates remain low.

The Trustees turnaround plan for the Charity so to return to positive reserves, is well underway; however, the COVID-19 pandemic has been an unforeseen phenomenon which has hindered this progression, impacting projected school and nursery income and that available from ancillary trades.

The financial statement statements do not include the adjustments that would result if the charity was unfit to continue as a going concern; the financial statements have been prepared on a going concern basis.

8

Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2021

Financial review (continued)

Significant events affecting the financial performance and position

The investment property land held by the Trust has had its' planning application rejected. The Governors are now in the process on reassessing the options available to them and what will be the most advantageous action for the Trust to take moving forward.

The school built upon its outstanding and excellent inspection results of November 2018 through the addition of numerous students, with the number of pupils registered to start in September 2021 standing at 143 (Reception to Div VIII), up from 120 in September 2020.

The numbers of pupils in nursery continued to increase over the course of the year and growth continues to be predicted in this area. Further growth will occur in the coming year as the Trust have taken on the running and responsibility for two local nursery schools, Gaywood Nursery, King's Lynn and Hunstanton Nursery.

The new school timetable is planned for September 2021 which will allow tighter financial management of staff wages and more efficiency in teaching schedules.

Principal risks and uncertainties

The main risks and uncertainties faced by the charity are increasing costs and reduced revenue from decreasing pupil numbers. The Governors are actively seeking to increase pupil numbers in the coming year, along with making structural changes within the Trust to fully maximise the efficiencies of the existing staff members.

Covid-19 Pandemic

Following the outbreak of the Coronavirus (COVID-19) pandemic, the Trust immediately addressed and discussed the implications and impacts on the Charity. Health and safety risk assessments are carried out by the Headmaster for the School and by the Nursery Area Manager for each Nursery setting. The risk assessments identify the risks, who is at risk, the level of those risks and control measures in place with a clear indication on who is responsible.

All areas of expenditure are constantly reviewed to make savings where possible and budgets maintained to control expenditure. Investments are made to become more efficient and save costs as appropriate, such as a change to the lighting meaning a vast reduction in the carbon footprint, improvement in the lighting for the children in the school and nursery, and a further modernisation to the building. The Trust were able to take advantage of the Coronavirus Job Retention Scheme where possible.

The Trust offered a Covid-19 reduction in Summer Term fees for those who required it, and for anyone in receipt of a bursary or other financial award, the reduction was applied to their fees at the same percentage. For those who were not in financial difficulties and did not require this assistance, the difference between the fees they usually paid and this reduced amount, went into a Covid-19 Hardship Fund. This was designed to assist the Trust in providing financial assistance to those families who needed slightly longer term support, in order to assure essential continuity in education for the pupils.

Principal funding sources

The school's principal funding source is its fee income. During the year there have also been significant donations from Trustees to assist the Trust.

Fundraising

The school will fundraise primarily from parents and local attendees to events run by the school, such as the Christmas Carol Service, school plays and the Car Boot events held throughout the summer months. Staff members will present buckets to attendees in the hope of donations for the school; no

9

Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2021

Financial review (continued) personal information of the donor is obtained or held.

10

Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2021

Plans for future periods

Whilst the Governors recognise that small class sizes are a benefit to the education of the children, they also seek to maintain sufficient numbers in each year group to ensure that each class is viable and that the fees required to cover the school's costs can be maintained at a reasonable level. The Governors retain a sharp focus on the recruitment of new pupils to the school and the tight control of its cost base.

Demand for places in the early years of the nursery provide the Governors with confidence that there are realistic opportunities to grow the number of pupils in the school in the medium term.

The Trust have seen that the expansion into running four nurseries has helped add considerable stability to the Trust as a whole, and potentially open up the upper school to potential new pupils that may have not previously considered the Trust.

Trustees' Indemnity Insurance

A Trustees' Indemnity Policy is in place. The premium for the year was £560 (2020: £560).

11

Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2021

Trustees' responsibilities statement

The trustees (who are also the directors for the purpose of company law) are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the trustees to prepare financial statements for each financial year. Under that law the trustees must prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period.

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

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company 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 company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees confirm that so far as they are aware, there is no relevant audit information (as defined by section 418(3) of the Companies Act 2006) of which the charitable company's auditors are unaware. They have taken all the steps that they ought to have taken as trustees in order to make themselves aware of any relevant audit information and to establish that the charitable company's auditors are aware of that information.

Auditor

Each of the persons who is a trustee at the date of approval of this report confirms that:

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Glebe House School Trust Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2021

The trustees' annual report and the strategic report were approved on 30 May 2022 and signed on behalf of the board of trustees by:

Mr N D Crane Trustee

13

Glebe House School Trust Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Glebe House School Trust Limited

Year ended 31 August 2021

Opinion

We have audited the financial statements of Glebe House School Trust Limited (the 'charity') for the year ended 31 August 2021 which comprise the statement of financial activities (including income and expenditure account), statement of financial position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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 concern 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.

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Glebe House School Trust Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Glebe House School Trust

Limited (continued)

Year ended 31 August 2021

Material uncertainty related to going concern

In forming our opinion on the financial statements, which is not qualified in this respect, we have considered the adequacy of the disclosure made in the financial statements concerning the company's ability to continue as a going concern. The charitable company made a net deficit of £11,711 (2020: net surplus of £39,249) during the year ended 31 August 2021 and, at that date, the charitable company had net assets of £365,835 (2020: net assets £377,546).

The reserves as defined in the Trustees Report at 31 August 2021 show a current deficit of £355,705 (2020: £260,975). These conditions, along with other matters explained in the financial statements, indicate the existence of a material uncertainty which may cast significant doubt about the company's ability to continue as a going concern. The financial statements do not include the adjustments that would result if the charitable company was unable to continue as a going concern.

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. 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.

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

Opinions on other matters prescribed by the Companies Act 2006

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

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Glebe House School Trust Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Glebe House School Trust

Limited (continued)

Year ended 31 August 2021

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 material misstatements in 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 trustees' responsibilities statement, the trustees (who are also the directors for the purposes 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 charity or to cease operations, or have no realistic alternative but to do so.

16

Glebe House School Trust Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Glebe House School Trust Limited (continued)

Year ended 31 August 2021

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole 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 material 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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Discussions with and enquiries of management and those charged with governance were held with a view to identify those laws and regulations that could be expected to have a material impact on the financial statements. During the engagement team briefing the outcomes of these discussions and enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the entity.

The following laws and regulations were identified as being of significance to the entity:

 Those laws and regulations considered to have a direct effect on the financial statements include the UK financial reporting standards, company law, charity law, taxation and pension legislation and distributable profits legislation.

 Those laws and regulations for which non-compliance may be fundamental to the operating aspects of the business and therefore may have a material effect on the financial statements include but are not limited to; child protection legislation; health and safety regulations, employment law.

Audit procedures undertaken in response to the potential risks relating to irregularities (which includes fraud and non-compliance with laws and regulations) comprised of: Inquiries of management and those charged with governance as to whether the entity complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation or claims; inspection of relevant legal correspondence; testing the appropriate of journal entries; and the performance of analytical review to identify unexpected movement in account balances which may be indicative of fraud.

No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity's controls and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than those irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements might not be detected, even though the audit has been planned and performed in accordance with the ISAs (UK).

17

Glebe House School Trust Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Glebe House School Trust Limited (continued)

Year ended 31 August 2021

As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

· Conclude on the appropriateness of the trustees' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the charity to cease to continue as a going concern.

18

Glebe House School Trust Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Glebe House School Trust

Limited (continued)

Year ended 31 August 2021

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Use of our report

This report is made solely to the charity'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 charity's members those matters we are required to state to them in an auditor's 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 charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed.

19

Glebe House School Trust Limited

Company Limited by Guarantee

Statement of Financial Activities (including income and expenditure account)

Year ended 31 August 2021

2021 2020
Unrestricted Restricted
funds funds Total funds Total funds
Note £ £ £ £
Income and endowments
Donations and legacies 5 27,100 10,000 37,100 22,334
Charitable activities 6 1,614,798 42,122 1,656,920 1,296,813
Other trading activities 7 22,903 – 22,903 6,546
Investment income 8 – – – 1
Other income 9 112,025 – 112,025 246,977
----------------------------------------- ---------------------------- ----------------------------------------- -----------------------------------------
Total income 1,776,826 52,122 1,828,948 1,572,671
========================================= ============================ ========================================= =========================================
Expenditure
Expenditure on charitable activities 10,11 (1,779,184) (61,475) (1,840,659) (1,533,422)
----------------------------------------- ---------------------------- ----------------------------------------- -----------------------------------------
Total expenditure (1,779,184) (61,475) (1,840,659) (1,533,422)
========================================= ============================ ========================================= =========================================
----------------------------------------- ---------------------------- ----------------------------------------- -----------------------------------------
Net (expenditure)/income (2,358) (9,353) (11,711) 39,249
========================================= ============================ ========================================= =========================================
Transfers between funds 134,648 (134,648) – –
----------------------------------------- -------------------------------- ----------------------------------------- -----------------------------------------
Net movement in funds 132,290 (144,001) (11,711) 39,249
Reconciliation of funds
Total funds brought forward (103,864) 481,410 377,546 338,297
----------------------------------------- -------------------------------- ----------------------------------------- -----------------------------------------
Total funds carried forward 28,426 337,409 365,835 377,546
========================================= ================================ ========================================= =========================================

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

The notes on pages 23 to 43 form part of these financial statements.

20

Glebe House School Trust Limited

Company Limited by Guarantee

Statement of Financial Position

31 August 2021

2021 2020
Note £ £
Fixed assets
Tangible fixed assets 18 1,619,994 1,612,077
Current assets
Stocks 20 900 900
Debtors 21 303,693 314,560
Cash at bank and in hand 235,850 131,855
-------------------------------- --------------------------------
540,443 447,315
Creditors: amounts falling due within one year 23 (860,801) (671,116)
-------------------------------- --------------------------------
Net current liabilities (320,358) (223,801)
----------------------------------------- -----------------------------------------
Total assets less current liabilities 1,299,636 1,388,276
Creditors: amounts falling due after more than one year 24 (933,801) (1,010,730)
----------------------------------------- -----------------------------------------
Net assets 365,835 377,546
========================================= =========================================
Funds of the charity
Restricted funds 337,409 481,410
Unrestricted funds 28,426 (103,864)
-------------------------------- --------------------------------
Total charity funds 27 365,835 377,546
================================ ================================

These financial statements were approved by the board of trustees and authorised for issue on 30 May 2022, and are signed on behalf of the board by:

Mr N D Crane Trustee

The notes on pages 23 to 43 form part of these financial statements.

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Glebe House School Trust Limited

Company Limited by Guarantee

Statement of Cash Flows

Year ended 31 August 2021

2021 2020
Note £ £
Cash flows from operating activities
Net (expenditure)/income (11,711) 39,249
Adjustments for:
Depreciation of tangible fixed assets 40,012 36,341
Other interest receivable and similar income – (1)
Interest payable and similar charges 42,717 46,079
Changes in:
Trade and other debtors 10,868 319,915
Trade and other creditors 92,893 (262,053)
-------------------------------- --------------------------------
Cash generated from operations 174,779 179,530
Interest paid (5,539) (21,074)
Interest received – 1
-------------------------------- --------------------------------
Net cash from operating activities 169,240 158,457
================================ ================================
Cash flows from investing activities
Purchase of tangible assets (48,373) (10,046)
Proceeds from sale of tangible assets 444 –
-------------------------------- --------------------------------
Net cash used in investing activities (47,929) (10,046)
================================ ================================
Cash flows from financing activities
Repayments of borrowings (53,636) (18,803)
Interest paid (37,178) (25,004)
-------------------------------- --------------------------------
Net cash used in financing activities (90,814) (43,807)
================================ ================================
Net increase in cash and cash equivalents 30,497 104,604
Cash and cash equivalents at beginning of year 131,855 27,251
-------------------------------- --------------------------------
Cash and cash equivalents at end of year 22 162,352 131,855
================================ ================================

The notes on pages 23 to 43 form part of these financial statements.

22

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements

Year ended 31 August 2021

1. General information

The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is 2 Cromer Road, Hunstanton, Norfolk, PE36 6HW.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Companies Act 2006.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on a going concern basis under the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

Going concern

The Trustees assessment indicates the existence of uncertainty which may cast doubt over the company's ability to continue as a going concern.

Whilst the Trust has made progress and necessary steps in ensuring the future profitability of the charity, free reserves remain negative at the balance sheet date.

The Trust has worked hard on improving its liquidity and cashflow. Credit control within the charity has improved during the year, and some non-trade creditors renegotiated on longer terms to assist cash flow. In prior years, the Trust has breached loan covenants, but with the support of the bank the Trust has managed to maintain these covenants during the year under review within these financial statements. The Trust are hopeful that other loan balances will be able to be renegotiated also whilst interest rates remain low.

The Trustees turnaround plan for the charity to ensure that the charity returns to positive reserves, is well underway and the Trustees are hopeful to ensure free reserves return to surplus.

The financial statement statements do not include the adjustments that would result if the charity was unfit to continue as a going concern; the financial statements have been prepared on a going concern basis.

23

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

3. Accounting policies (continued)

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

(i) Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancements, future investments, economic utilisation and the physical condition of the assets. See note 17 for the carrying amount of tangible assets and note 3 for the useful economic lives for each class of assets.

(ii) Impairment of trade debtors

The company makes an estimate of the recoverable value of trade debtors. When assessing the impairment of trade debtors, management considers factors including the current credit rating, the age profile and the historical experience. See note 20 for the net carrying amount of trade debtors and the associated impairment provision.

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.

Incoming resources

All income is included in the statement of financial activities when entitlement has passed to the charity, it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

24

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

3. Accounting policies (continued)

Incoming resources (continued)

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

Operating leases

Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.

Tangible assets

Tangible assets costing in excess of £200 are capitalised. Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

25

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

3. Accounting policies (continued)

Tangible assets (continued)

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Freehold property - 50 years straight line
Long leasehold property - over the remaining period of the lease; up to 25 years
Plant and machinery - 15% reducing balance basis
Motor vehicles - 25% reducing balance basis
Computer equipment - 25% reducing balance basis

Investment property

Investment property is initially recorded at cost, which includes purchase price and any directly attributable expenditure.

Investment property is revalued to its fair value at each reporting date and any changes in fair value are recognised in income or expenditure.

If a reliable measure of fair value is no longer available without undue cost or effort for an item of investment property, it shall be transferred to tangible assets and treated as such until it is expected that fair value will be reliably measurable on an on-going basis.

Debtors

Debtors are measured at their recoverable amounts; the amount the charity anticipates it will receive from a debt or the amount it has paid in advance for goods or services.

Creditors

Creditors are recognised for the amount that the charity anticipates it will pay to settle the debt or the amount it has received as an advance payment for goods or services it must provide.

26

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

3. Accounting policies (continued)

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those units.

Stocks

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock to its present location and condition.

27

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

3. Accounting policies (continued)

Financial instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the amount receivable or paable including any related transaction costs, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.

Debt instruments are subsequently measured at amortised cost.

Other financial instruments are subsequently measured at fair value, with any changes recognised in profit or loss, with the exception of hedging instruments in a designated hedging relationship (see hedge accounting policy).

Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised under the appropriate heading in the statement of financial activities in which the initial gain was recognised.

Any reversals of impairment are recognised immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.

Retirement benefits to teachers at Glebe House School Trust Limited are provided by the Teachers' Pension Scheme ("TPS"). This is a defined benefit scheme and the assets are held separately from those of the Trust. The TPS is an unfunded scheme and contributions are calculated so as to spread the cost of pensions over employees’ working lives with the Trust in such a way that the pension cost is a substantially level percentage of current and future pensionable payroll. The contributions are determined by the Government Actuary on the basis of quadrennial valuations using a prospective unit credit method. The TPS is a multi-employer scheme and there is insufficient information available to use defined benefit accounting. The TPS is therefore treated as a defined contribution scheme for accounting purposes and the contributions recognised in the period to which they relate.

4. Limited by guarantee

The company is a company limited by guarantee. The members of the company are the Governors named on page 1. The liability of each member, in the event of the company being wound up, is limited to £1. The number of members as at 31 August 2021 was 7 (2020: 7).

28

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

5. Donations and legacies

Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Donations
Donations to the Trust 27,100 – 27,100
Legacies
Earl & Stuart Charitable Trust – 10,000 10,000
---------------------------- ---------------------------- ----------------------------
27,100 10,000 37,100
============================ ============================ ============================
Unrestricted Restricted Total Funds
Funds Funds 2020
£ £ £
Donations
Donations to the Trust 12,334 – 12,334
Legacies
Earl & Stuart Charitable Trust – 10,000 10,000
---------------------------- ---------------------------- ----------------------------
12,334 10,000 22,334
============================ ============================ ============================
6. Charitable activities
Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Pre-prep school fees (including bursaries and
scholarships) 205,238 – 205,238
Prep school fees (including bursaries and
scholarships) 585,448 – 585,448
Nursery fees (including bursaries and scholarships) 304,756 26,222 330,978
Boarding 23,773 – 23,773
Payments from governments or public authorities in
the normal course of trading 478,742 15,900 494,642
Ancillary trades 16,841 – 16,841
----------------------------------------- ---------------------------- -----------------------------------------
1,614,798 42,122 1,656,920
========================================= ============================ =========================================

29

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

6. Charitable activities (continued)

Unrestricted Restricted Total Funds
Funds Funds 2020
£ £ £
Pre-prep school fees (including bursaries and
scholarships) 146,387 – 146,387
Prep school fees (including bursaries and
scholarships) 482,708 – 482,708
Nursery fees (including bursaries and scholarships) 197,117 – 197,117
Boarding 20,586 – 20,586
Payments from governments or public authorities in
the normal course of trading 403,722 36,482 440,204
Ancillary trades 9,811 – 9,811
----------------------------------------- ---------------------------- -----------------------------------------
1,260,331 36,482 1,296,813
========================================= ============================ =========================================
Other trading activities
Unrestricted Total Funds Unrestricted Total Funds
Funds 2021 Funds 2020
£ £ £ £
Fundraising events 3,770 3,770 4,361 4,361
Letting and licensing 19,133 19,133 2,185 2,185
---------------------------- ---------------------------- ----------------------- -----------------------
22,903 22,903 6,546 6,546
============================ ============================ ======================= =======================
Investment income
Unrestricted Total Funds Unrestricted Total Funds
Funds 2021 Funds 2020
£ £ £ £
Bank interest receivable – – 1 1
============== ============== ============== ==============

7. Other trading activities

8. Investment income

Interest receivable is derived from financial assets measured at amortised cost.

9. Other income

Unrestricted Total Funds Unrestricted Total Funds
Funds 2021 Funds 2020
£ £ £ £
Government grant income 107,025 107,025 246,977 246,977
Insurance claim 5,000 5,000 – –
-------------------------------- -------------------------------- -------------------------------- --------------------------------
112,025 112,025 246,977 246,977
================================ ================================ ================================ ================================

Government grant income represents the values reclaimed from the UK government under the Coronavirus Job Retention Scheme, claimed to support the wages costs of those employees furloughed during the COVID-19 pandemic. There are no unfulfilled conditions or other contingencies attached the grants recognised as income; the income is not classified as state aid.

30

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

10. Expenditure on charitable activities by fund type

Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Provision of primary education 1,396,739 61,475 1,458,213
Support costs 382,445 – 382,446
----------------------------------------- ---------------------------- -----------------------------------------
1,779,184 61,475 1,840,659
========================================= ============================ =========================================
Unrestricted Restricted Total Funds
Funds Funds 2020
£ £ £
Provision of primary education 1,185,108 56,817 1,241,925
Support costs 291,497 – 291,497
----------------------------------------- ---------------------------- -----------------------------------------
1,476,605 56,817 1,533,422
========================================= ============================ =========================================

11. Expenditure on charitable activities by activity type

Activities
undertaken Total funds Total fund
directly Support costs 2021 2020
£ £ £ £
Provision of primary education 1,458,213
338,646		 1,796,859 1,512,534
Governance costs –
43,800		 43,800 20,888
----------------------------------------- -------------------------------- ----------------------------------------- -----------------------------------------
1,458,213
382,446		 1,840,659 1,533,422
========================================= ================================ ========================================= =========================================

12. Analysis of support costs

Provision of
primary
education Total 2021 Total 2020
£ £ £
Staff costs 246,264 246,264 172,521
Communications and IT 5,953 5,953 10,643
General office 36,953 36,953 27,584
Finance costs 42,717 42,717 46,079
Governance costs 43,800 43,800 20,888
Marketing 6,759 6,759 13,782
-------------------------------- -------------------------------- --------------------------------
382,446 382,446 291,497
================================ ================================ ================================

31

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

13. Net (expenditure)/income

Net (expenditure)/income is stated after charging/(crediting):

2021 2020
£ £
Depreciation of tangible fixed assets 40,012 36,341
Operating lease rentals – 5,904
Bank interest payable and other charges 42,217 46,079
============================ ============================

Interest payable is derived from financial liabilities measured at amortised cost.

14. Auditors remuneration

2021 2020
£ £
Fees payable for the audit of the financial statements 5,200 5,200
======================= =======================
Fees payable to the charity's auditor and its associates for other services:
Other non-audit services 8,966 10,316
======================= ============================
Fees payable in respect of the charity's pension scheme:
Audit of the pension scheme 798 798
============== ==============

15. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as follows:

2021 2020
£ £
Wages and salaries 1,224,748 1,007,075
Social security costs 69,883 53,215
Employer contributions to pension plans 83,322 67,463
Other employee benefits 6,945 6,895
----------------------------------------- -----------------------------------------
1,384,898 1,134,648
========================================= =========================================
The average head count of employees during the year was 81 (2020: 76).
2021 2020
No. No.
Teaching and support staff 21 20
Nursery 45 42
Domestic 7 6
Grounds 3 3
Office and administration 5 5
-------------- --------------
81 76
============== ==============

No employee received employee benefits of more than £60,000 during the year (2020: Nil).

32

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

15. Staff costs (continued)

Key Management Personnel

Key management personnel include all persons that have authority and responsibility for planning, directing and controlling the activities of the charity. The total compensation paid to key management personnel for services provided to the charity was £106,864 (2020:£102,324).

16. Trustee remuneration and expenses

No remuneration or other benefits from employment with the charity or a related entity were received by the trustees.

Expenses totalling £Nil were reimbursed to Trustees (2020: £Nil).

17. Transfers between funds

The Norfolk Community Foundation fixed asset fund has been transferred to unrestricted funds during the year, as the specific assets acquired using the funds are fully spent and the Trust is now free to use the assets purchases as they so wish.

18. Tangible fixed assets

Long
Freehold leasehold Plant and Motor
property property machinery vehicles Equipment Total
£ £ £ £ £ £
Cost
At 1 Sep 2020 1,674,082 90,829 116,719 22,093 20,215 1,923,938
Additions 40,626 – 2,048 – 5,699 48,373
Disposals – – (444) – – (444)
----------------------------------------- ---------------------------- -------------------------------- ---------------------------- ---------------------------- -----------------------------------------
At 31 Aug 2021 1,714,708 90,829 118,323 22,093 25,914 1,971,867
========================================= ============================ ================================ ============================ ============================ =========================================
Depreciation
At 1 Sep 2020 95,735 90,829 96,329 19,601 9,367 311,861
Charge for the
year 33,053 – 3,107 623 3,229 40,012
----------------------------------------- ---------------------------- -------------------------------- ---------------------------- ---------------------------- -----------------------------------------
At 31 Aug 2021 128,788 90,829 99,436 20,224 12,596 351,873
========================================= ============================ ================================ ============================ ============================ =========================================
Carrying amount
At 31 Aug 2021 1,585,920 – 18,887 1,869 13,318 1,619,994
========================================= ============================ ================================ ============================ ============================ =========================================
At 31 Aug 2020 1,578,347 – 20,390 2,492 10,848 1,612,077
========================================= ============================ ================================ ============================ ============================ =========================================

The freehold property is provided as a security on the bank loans detailed within creditors with a net book value carrying amount of £1,585,920 (2020: £1,578,347).

Included within freehold property is land which is held at deemed cost of £162,500 (2020: £162,500), valued at its historic fair value.

33

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

19. Investments

Total
£
Carrying amount
At 31 Aug 2021 –
==============
At 31 Aug 2020 –
==============
All investments shown above are held at valuation.
20. Stocks
2021 2020
£ £
Finished goods and goods for resale 900 900
============== ==============
21. Debtors
2021 2020
£ £
Trade debtors 222,710 246,673
Prepayments and accrued income 79,033 67,887
Other debtors 1,950 –
-------------------------------- --------------------------------
303,693 314,560
================================ ================================

Included within trade debtors is a bad debt provision of £70,837 (2020: £40,573).

22. Cash and cash equivalents

Cash and cash equivalents comprise the following:

2021 2020
£ £
Cash at bank and in hand 235,850 131,855
Bank overdrafts (73,498) –
-------------------------------- --------------------------------
162,352 131,855
================================ ================================

34

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

23. Creditors: amounts falling due within one year

2021 2020
£ £
Bank loans and overdrafts 120,635 34,467
Payments received on account 15,257 50,720
Trade creditors 27,073 30,610
Accruals and deferred income 593,234 327,559
Social security and other taxes 36,973 117,639
Other creditors - Trustee loan 13,716 5,571
Other creditors - Norwich Diocese 14,942 14,465
Other creditors 38,971 90,085
-------------------------------- --------------------------------
860,801 671,116
================================ ================================

The aggregate liability included within creditors under one year of which security is held is £125,577 (2020: £47,265) relating to Metro Bank and Norwich Diocese.

The company holds an overdraft facility of £75,000 and a loan due under one year of £37,137 (2020: £32,800) with Metro Bank Plc. Metro Bank Plc holds a charge over the Freehold Property at 2 Cromer Road, Hunstanton, PE36 6HW. A debenture is held over all of its assets and undertaking. Deed of priority is held between Metro Bank Plc and Glebe House School Trust Limited and the Norwich Diocesan Board of Finance Ltd.

An overdraft facility of £25,000 is held with Barclays Bank Plc of which the overdraft is secured by limited guarantee given by Mr A Poulter and Mr N D Crane.

The Barclays Bank loan due under one year amounting to £10,000 (2020: £1,667) is secured by the government backed Bounce Back Loan Scheme (BBLS).

The Norwich Diocese Bank loan due under one year amounting to £14,942 (2020: £14,465) is secured by way of a charge over the land adjoining to 2 Cromer Road, Hunstanton, PE36 6HW.

24. Creditors: amounts falling due after more than one year

2021 2020
£ £
Bank loans and overdrafts 516,922 563,190
Other creditors - loans 392,306 420,964
Other creditors 24,573 26,576
-------------------------------- -----------------------------------------
933,801 1,010,730
================================ =========================================

The aggregate liability included within creditors over one year of which security is held is £578,348 (2020: £630,392) relating to Metro Bank and Norwich Diocese.

The Metro Bank loan due over one year amounting to £477,755 (2020: £514,857) is secured by way of a charge over the Freehold Property at 2 Cromer Road, Hunstanton, PE36 6HW. A debenture is held over all of its assets and undertaking. Deed of priority is held between Metro Bank Plc and Glebe House School Trust Limited and the Norwich Diocesan Board of Finance Ltd.

35

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

24. Creditors: amounts falling due after more than one year (continued)

The Norwich Diocese Bank loan due over one year amounting to £100,593 (2020: £115,535) is secured by way of a charge over the land adjoining to 2 Cromer Road, Hunstanton, PE36 6HW.

The Barclays Bank loan due over one year amounting to £39,167 (2020: £48,333) is secured by the government backed Bounce Back Loan Scheme (BBLS).

Included within creditors: amounts falling due after more than one year is an amount of £Nil (2020: £665,296) in respect of liabilities payable or repayable by instalments which fall due for payment after more than five years from the reporting date.

The Metro bank loan is repayable in monthly instalments, with the final repayment of the loan, interest and any other amounts outstanding to be made in 2032. Interest on the loan is charged at 4.0% per annum over the Bank's Sterling Base Rate.

The Barclays bank loan is repayable in monthly instalments, with the final repayment of the loan, interest and any other amounts outstanding to be made in 2026. Interest on the loan is charged at 2.5% per annum with the first 12 months being interest free.

The Norwich Diocese loan is repayable in monthly instalments, with the final repayment of the loan, interest and any other amounts outstanding to be made in 2028. Interest on the loan is charged at 3.25% per annum.

The Trustee loan is repayable in monthly instalments, with the final repayment of the loan, interest and any other amounts outstanding to be made in 2038. Interest on the loan is charged at 3.50% per annum over the Bank's Sterling Base Rate.

25. Deferred income

2021 2020
£ £
At 1 September 2020 297,622 722,156
Amount released to income (682,313) (689,758)
Amount deferred in year 932,047 265,225
-------------------------------- --------------------------------
At 31 August 2021 547,356 297,623
================================ ================================

Deferred income relates to school fees having been invoiced in full in advanced for the following academic year.

26. Pensions and other post retirement benefits

Defined contribution plans

The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £83,322 (2020: £67,463).

36

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

26. Pensions and other post retirement benefits (continued)

The school participates in the Teacher's Pension Scheme (England & Wales) ("the TPS") for its teaching staff. The Pension Charge for the year includes employer contributions payable to the TPS of £73,025 (2020: £59,375). Employee and employer contributions amounting to £8,179 were payable to the scheme at 31 August 2021 (2020: £81,206) and are included within creditors. This balance has been paid in full shortly after the balance sheet date.

The TPS is an unfunded multi-employer defined benefits scheme governed by the Teachers' Pensions Regulations 2010 and from 1 April 2014, 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 Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014 published by HM Treasury. The aim of the review is to specify the level of future contributions. Actuarial scheme valuations are dependent on assumptions about the value of future costs, design of benefits and many other factors. The latest actuarial valuation of the TPS was carried out as at 31 March 2016 . The key elements of the valuation and subsequent consultation are:

The next valuation of the TPS is due to implemented from 1 April 2023.

A copy of the valuation report and supporting documentation is on the Teachers’ Pensions website.

Under the definitions set out in FRS 102, the TPS is a unfunded multi-employer pension scheme. The trust has accounted for its contributions to the scheme as if it were a defined contribution scheme. The trust has set out above the information available on the scheme.

37

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

27. Analysis of charitable funds

Unrestricted funds

Unrestricted funds
At At
1 Sep 2020 Income Expenditure Transfers 31 Aug 2021
£ £ £ £ £
General funds (103,864) 1,776,826 (1,779,184) 134,648 28,426
================================ ========================================= ========================================= ================================ ============================
At At
1 Sep 2019 Income Expenditure Transfers 31 Aug 2020
£ £ £ £ £
General funds (131,964) 1,526,189 (1,476,605) (21,484)
(103,864)
================================ ========================================= ========================================= ============================ ================================

Included in unrestricted funds is land which has been revalued by £162,499. This amount is within tangible fixed assets as seen in note 18.

Restricted funds

Restricted funds
At At
1 Sep 2020 Income Expenditure Transfers 31 Aug 2021
£ £ £ £ £
Restricted fixed assets 444,236 – (25,393) (134,648)
284,195
Restricted 37,174 52,122 (36,082) – 53,214
-------------------------------- ---------------------------- ---------------------------- -------------------------------- --------------------------------
481,410 52,122 (61,475) (134,648)
337,409
================================ ============================ ============================ ================================ ================================
At At
1 Sep 2019 Income Expenditure Transfers 31 Aug 2020
£ £ £ £ £
Restricted fixed assets 454,571 – (10,335) – 444,236
Restricted 15,690 46,482 (46,482) 21,484 37,174
-------------------------------- ---------------------------- ---------------------------- ---------------------------- --------------------------------
470,261 46,482 (56,817) 21,484 481,410
================================ ============================ ============================ ============================ ================================

38

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

27. Analysis of charitable funds (continued)

Restricted fixed asset

The restricted fixed asset fund is comprised of monies donated for the purchase of fixed assets as follows:

Pavilion Improvement Fund- To provide financial assistance to upgrade the existing school pavilion. The opening balance on the fund was £15,731; Expenditure during the year totalled £336; Closing fund balance £15,395.

Nursery Playground Fund- To provide financial assistance towards the cost of refurbishing the nursery rubber playtop surface. The opening balance on the fund was £4,671; Expenditure during the year totalled £100; Closing fund balance £4,571.

Parents Committee Equipment & Activities Fund- To provide financial assistance towards additional resources and activities for the enjoyment of the pupils as designated by the parents committee. The opening balance on the fund was £909; Expenditure during the year totalled £167; Closing fund balance £742.

Norfolk County Council Two Year Grant- To improve resources for 2-year-old children attending nursery. The opening balance on the fund was £1,561; Expenditure during the year totalled £234; Closing fund balance £1,327.

Norwich Diocese Donation of Property- The value of the donation that, in the event of the sale of the land and buildings, would revert back to the Diocese. The opening balance on the fund was £283,422; Expenditure during the year totalled £6,052; Closing fund balance £277,370.

Restricted funds

The restricted funds monies arise from gifts for express purposes as specified:

Earle & Stuart Charitable Trust Scholarship Fund- To provide a scholarship, presenting a proportion of annual fees for a pupil from the Docking area of Norfolk. The income is not guaranteed and is strictly renewable annually. The opening balance on the fund was £10,000; Income during the year totalled £10,000, expenditure during the year totalled £10,000; Closing fund balance £10,000.

Norfolk Community Foundation- To provide funding to aide the improvement of the nursery garden and its' facilities. The opening balance on the fund was £820; Expenditure during the year totalled £Nil on garden works; Closing fund balance £820.

Norfolk County Council- To provide funding for the property rent at Hunstanton and Gaywood nurseries. The opening balance on the fund was £Nil; Income during the year totalled £15,900; Expenditure during the year totalled £15,900 on garden works; Closing fund balance £Nil.

Covid-19 Hardship Fund- To provide funding to cover students fees for struggling parents resulting from the Covid-19 pandemic. The opening balance on the fund was £21,484; Income during the year totalled £Nil; Expenditure during the year totalled £21,090; Closing fund balance £394.

The Glebe House School Foundation- established to raise funds to support the long-term future of Glebe House School. The initial programme will be to move into the third decade of this century offering the opportunity for all pupils of ability to benefit from a Glebe House School education and to develop facilities that both benefit our pupils, but also ones which can be shared with the local

39

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

27. Analysis of charitable funds (continued)

community. The opening balance on the fund was £4,870; Income and Expenditure during the

40

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

27. Analysis of charitable funds (continued)

year totalled £Nil; Closing fund balance £4,870.

The Sandringham and West Newton Nursery Fund- Transferred on the handing over of management to the Trust from the existing owners; to be spent on the nurseries of Sandringham and West Newton only. The opening balance on the fund was £Nil; Income during the year totalled £26,222; Expenditure during the year totalled £4,301; Closing fund balance £21,921.

28. Analysis of net assets between funds

Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Tangible fixed assets 1,320,589 299,405 1,619,994
Current assets 475,946 64,497 540,443
Creditors less than 1 year (831,651) (29,150)
(860,801)
Creditors greater than 1 year (933,801) – (933,801)
----------------------------------------- -------------------------------- -----------------------------------------
Net assets 31,083 334,752 365,835
========================================= ================================ =========================================
Unrestricted Restricted Total Funds
Funds Funds 2020
£ £ £
Tangible fixed assets 1,167,841 444,236 1,612,077
Current assets 396,891 50,424 447,315
Creditors less than 1 year (657,866) (13,250)
(671,116)
Creditors greater than 1 year (1,010,730) – (1,010,730)
----------------------------------------- -------------------------------- -----------------------------------------
Net assets (103,864) 481,410 377,546
========================================= ================================ =========================================

29. Transfers between funds

Initially, the funds were introduced through schooling fees; however, when Covid-19 affected the teaching a reduction of 40% was issued to parents. Of those parents who did not take up the offer, their reduction was transferred to a restricted fund called 'Covid-19 hardship fund'. Those who chose to partake in the relief were made clear the intention and usage of the fund.

30. Financial instruments

The carrying amount for each category of financial instrument is as follows:

2021 2020
£ £
Financial assets measured at fair value through income and expenditure
Financial assets measured at fair value through income and
expenditure – 162,500
============== ================================
Financial assets that are debt instruments measured at amortised cost
Financial assets that are debt instruments measured at amortised
cost 536,863 434,911
================================ ================================

41

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

30. Financial instruments (continued)

2021 2020
£ £
Financial liabilities measured at amortised cost
Financial liabilities measured at amortised cost 1,742,372 1,513,488
========================================= =========================================

31. Analysis of changes in net debt

At At
1 Sep 2020 Cash flows 31 Aug 2021
£ £ £
Cash at bank and in hand 131,855 103,995 235,850
Bank overdrafts – (73,498)
(73,498)
Debt due within one year (34,467) (12,670)
(47,137)
Debt due after one year (563,190) 46,268 (516,922)
-------------------------------- -------------------------------- --------------------------------
(465,802) 64,095 (401,707)
================================ ================================ ================================

32. Operating lease commitments

The total future minimum lease payments under non-cancellable operating leases are as follows:

2021 2020
£ £
Not later than 1 year 5,740 5,390
Later than 1 year and not later than 5 years 18,998 11,054
Later than 5 years 11,250 2,434
---------------------------- ----------------------------
35,988 18,878
============================ ============================

33. Charges on assets

Freehold property held within tangible fixed assets are pledged as security in relation to the bank loan as detailed in notes 22 and 23 to these financial statements.

42

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2021

34. Related parties

The charity is controlled by the board of Trustees as a whole.

During the year, the aggregate unrestricted donations received from the Trustees totalled £20,000 (2020: £5,500).

As at the balance sheet date the Trust owed a Trustee £305,429 (2020: £311,000) in loan balances. During the year the Trust repaid £16,734 (2020: £15,861) of the loan balance, including interest payments of £11,163 (2020: £15,861).

During the year, some Trustees received services for Schooling for their children of £37,332 (2020: £17,151). All transactions have been undertaken on normal commercial terms.

No further related party transactions were undertaken during this or the prior reporting period which require disclosure.

43

Glebe House School Trust Limited

Company Limited by Guarantee

Management Information

Year ended 31 August 2021

The following pages do not form part of the financial statements.

44

Glebe House School Trust Limited

Company Limited by Guarantee

Detailed Statement of Financial Activities

Year ended 31 August 2021

2021 2020
£ £
Income and endowments
Donations and legacies
Donations to the Trust 27,100 12,334
Earl & Stuart Charitable Trust 10,000 10,000
---------------------------- ----------------------------
37,100 22,334
---------------------------- ----------------------------
Charitable activities
Pre-prep school fees (including bursaries and scholarships) 205,238 146,387
Prep school fees (including bursaries and scholarships) 585,448 482,708
Nursery fees (including bursaries and scholarships) 330,978 197,117
Boarding 23,773 20,586
Payments from governments or public authorities in the normal course of
trading 494,642 440,204
Ancillary trades 16,841 9,811
----------------------------------------- -----------------------------------------
1,656,920 1,296,813
----------------------------------------- -----------------------------------------
Other trading activities
Fundraising events 3,770 4,361
Letting and licensing 19,133 2,185
---------------------------- -----------------------
22,903 6,546
---------------------------- -----------------------
Investment income
Bank interest receivable – 1
-------------- --------------
Other income
Government grant income 107,025 246,977
Insurance claim 5,000 –
-------------------------------- --------------------------------
112,025 246,977
-------------------------------- --------------------------------
----------------------------------------- -----------------------------------------
Total income 1,828,948 1,572,671
========================================= =========================================

45

Glebe House School Trust Limited

Company Limited by Guarantee

Detailed Statement of Financial Activities (continued)

Year ended 31 August 2021

2021 2020
£ £
Expenditure
Expenditure on charitable activities
School curriculum and trip costs 38,304 26,593
Wages and salaries 1,224,748 1,007,075
Employer's NIC 69,883 53,215
Pension costs 83,322 67,463
Staff training and recruitment 6,945 6,895
Operating leases – 5,904
Rent 15,150 15,150
Rates and water 17,820 13,869
Light and heat 52,469 44,762
Insurance 19,589 21,873
Other establishment 63,999 53,885
Motor vehicle expenses 13,013 14,183
Other motor/travel costs 51,171 42,798
Legal, audit, accountancy and marketing costs 44,304 34,234
Telephone 8,541 9,167
Other office costs 25,872 13,611
Depreciation 40,012 36,341
Interest on bank loans and overdrafts 31,554 30,218
Other interest payable and similar charges 11,163 15,861
Computer expenses 5,953 10,643
Bad debt 8,052 4,440
Subscriptions, licences and ISI fees 8,795 5,242
----------------------------------------- -----------------------------------------
1,840,659 1,533,422
----------------------------------------- -----------------------------------------
----------------------------------------- -----------------------------------------
Total expenditure 1,840,659 1,533,422
========================================= =========================================
----------------------------------------- -----------------------------------------
Net (expenditure)/income (11,711) 39,249
========================================= =========================================

46

Glebe House School Trust Limited

Company Limited by Guarantee

Notes to the Detailed Statement of Financial Activities

Year ended 31 August 2021

2021 2020
£ £
Expenditure on charitable activities
Provision of primary education
Activities undertaken directly
School curriculum and trip costs 38,304 26,593
Wages and salaries 993,651 844,061
Employer's NIC 59,477 46,569
Pension costs 80,860 66,123
Staff training and recruitment 4,646 5,374
Operating leases – 5,904
Rent 15,150 15,150
Rates and water 17,820 13,869
Light and heat 52,469 44,762
Insurance 19,589 21,873
Other establishment 63,999 53,885
Motor vehicle expenses 13,013 14,183
Housekeeping and provisions 51,171 42,798
Depreciation 40,012 36,341
Bad debt 8,052 4,440
----------------------------------------- -----------------------------------------
1,458,213 1,241,925
----------------------------------------- -----------------------------------------
Support costs
Wages and salaries 231,097 163,014
Employer's NIC 10,406 6,646
Pension costs 2,462 1,340
Staff training and recruitment 2,299 1,521
Marketing 6,759 13,782
Telephone 8,541 9,167
Office expenses 19,617 13,175
Interest on bank loans and overdrafts and other bank charges 31,554 30,218
Trustees loan interest 11,163 15,861
Computer expenses 5,953 10,643
Subscriptions, licences and ISI fees 8,795 5,242
-------------------------------- --------------------------------
338,646 270,609
-------------------------------- --------------------------------
Governance costs
Accountancy fees 10,562 11,283
Audit fees 5,200 5,200
Legal and other professional fees 21,783 3,969
Other costs 6,255 436
---------------------------- ----------------------------
43,800 20,888
---------------------------- ----------------------------
----------------------------------------- -----------------------------------------
Expenditure on charitable activities 1,840,659 1,533,422
========================================= =========================================

47