Registorod number: 02776914 Charity number.. 1023407 DURHAM CATHEDRAL SCHOOLS FOUNDATION (A company limited by guarantee) TRUSTEES, REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guarantee) CONTENTS Page Reference and administratlve detsils of tho Charitable Company. Its Trustees and advisers Trustees. report Independent audltors. rfjport on tho financial statements Consolldated statement of financial acttvities 3-11 12-15 16-17 Consolldated balance sheot 18 Charitable Company balance Sheet Consolidated statement of cash flo 19 20 NotOS to the financlal statements 21-45
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITABLE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2025 TTu5t•¥s S Dobson, Chairl K Ballantyne2 E Berry (appointed 29 November 202412 S Bryan lappointed 30 September 20241 A Cawkwell lappoinlgd 30 November 2024. resigned 24 June 20251 C Elliott1 M Hampel Iresigned 21 January 20251 R Hillier J Hind J Hindmaish lappoinled 19 June 202512 C Logue (appointed 19 June 202511 T Mallon (appointed 19 June 20251 Martin T Mole2 M Nangia (appointed 5 December 20241 P Plyrning (resigned 21 January 20251 K Richards (resigned 3 September 20241 Old Dunelmians (former pupils) Current or fomier parents Company registered number 02776914 Charity registered numbor 1023407 Registered office The Bursars Office Durham Schts)I Durham DH14SZ Company secretary G A Gardner Headmaster M Alderson {from 1 September 20251 Ind9pendent auditors Clive Owen LLP Chartered Accounlanls & statutory Auditors 140 Conis¢liffe Road Darfinglon County Durham DL3 7RT Banker5 Barclays Bank PLC Detta Hotels by Marriott Durham Royal County Old Elvet Durham DH1 3JN Page 1
DURHAM CATHEDFiAL SCHOOLS FOUNDATION IA company Ilmlted by guarantee} REFERENCE AND ADMINISTPATIVE DETAILS OF THE CHARITABLE COMPANY. ITS TRUSTEES AND ADVISERS ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2025 Solicitors Ward Hadaway LLP Sandgate House 102 Quayside Newcastle upon Tyne NE130X Page 2
DURHAM CATHEDRAL SCHOOLS FOUNDATION (A company limlted by guaranteel TRUSTEES, REPORT FOR THE YEAR ENDED 31 AUGUST 2025 The Trustees. who are also Directors of Durham Cathedral Schools Foundation present their annual rekX)rt together with the audited financial statements of the Charitable Company for the 1 Seplgmber 2024 10 31 August 2025. The Annual report serves the purposes of both a Tw$t8es' report and a directors, report under company law. The Tiuslees confim that the Annual report and financial statements of the charitable company comply wrth the current statutory requirements, the requirements of the charitable companls governing document and the prov¢sions of the Statement of Recommended Practice ISORPI applwble to chanties preparing their accounts in ac¢ordan¢e with the Fin?n¢ial Reporting Stsndard apPIable in the UK and Republic of Ireland {FRS102} leffecuve 1 January 20191. Objactiv8s and activities ObJectIv and aims As set out in the governing documents. the Foundation's purpose is the advancernenl of education of the public. Dutham Cathedral Schools Foundation aims lo.. Provide high qualty acadamic, moral, spirrtual and phy3ical educalton for pupils aged 3-18. Promote the values of Mor81 Inlegrf(y, Ambition, Respect and Kindness IMARKI. Ensure excellence in leaching and leaming. Expand access through bursarie5 and schdarships. Strengthen community impact in the city. region and beyond. The principal activity of the eharitable company continues to be the provision of training and instructton of pupils, dLJring the year ended 31 Augu812025 at Durham School and Chorister Schod based on Church of England principles in spiritual, moral, mental and physical training. Durham Cathedral Schools Foundation comprised Chorister School at Bow Sile (Nursery lo Year 21, Chorister School al the Cathedral Sile (Year 3 to Year 61. and Ourham School (Year 7 to Year 131 during the year. It is a registered chartty, and any and 811 surpluses are re invested in educat. The charitable purpose for which the Foundation exists is Education. In addition lo this, the Foundation has a vital role to play in the CcKnmunity, both local and fvrther afiéld. being 8 boarding and day schLYJI. During the year th& Foundation was dmded bettveen three sites, within a short walking distsnce from each other. The education of Day pupils aged 3 to 7 took place In the Nursery and Pffj-Pfep departments al Bow Site, Chorister School. Education of Day pupils, Choristers and Boarders aged 8 10 11 took place in the Prep department at Cathedral Sile, Chorislar School. The senior section at Durham School offered the choice of Day, Weekly Boarding and Full Boarding to pupils from the age of 11 to 18. Both Schools offered small classes and high-quality l&a¢hing and leaming. The Foundation promotes an environment where civilty, respect and a community spirit are expected of all pupils. The Foundation reeognises the followng standards which have been developed in conjunction with pupils. parents and staff and are slandaTds which all involved in the Foundation should aspire to.. M Moral integrity A Ambition R Respect K Kindness The broad strategies of improving academic perfermance, &hieving excellence in leaching and leaming, stabilising headcounl and continuing lo develop the Chorister Schcol as a long term feeder unf( for Durham School remain unchanged. Both Schools $trNe to ensure that pupils attain their full academic polenbal, and provide a robust cocurricular programme of adivf(ies, organised in such a way as lo develop skills which reflect our MARK values. For example, by empha8ising moral integrity to develop leadership and service, kindness to develop generosity of spirit, and ambrtion to set stretching academic and personal goals. Page 3
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guarantee) TRUSTEES, REPORT ICONTINUED) FOR THE YEAR ENDED 31 AUGUST 2025 Objectives and actlvltles Icontinuedl The charitable company continues to have a close relationship with the Chapter of Durham Cathedral, which is the charitable company's main landkjrd al both the Durham School and the Colhedral Site. The University of Durham is the landlord of the Bow Site. The charitable company owns the entire share capital of Durham School Trading Limited, which organises commercial activf(ies to benefrt Foundation including the letting of Foundation facilities. Public Benoflt The Trustees confinn that they have complied with the duly in section 17 of the Charrties Act 201110 have due regard to the Charity Commission's 9uidance on public benefit and have reported below hcm the Foundalion'8 activities further rls eharitsble purposes for the public benefrt. Igov.ukl. Ilegislation.gov.ukl How our purposes are carried out for public benefft.. 1. Educatlon of our own puplls, Includlng scholarshlps and bursarfes In 2024125. means tested bursaries tolalled £606,683.. scholarships £378,992., and Burkitt Trust awards £6,00(Wa cornbined £991,67617.1 of fee income) in fee assistance. Trustees regularly review bursary and scholarship policie5 to widen access, including through partnerships wrth Royal National Childn.$ SpringB¢ard Foundation. the Buttle Trust, Thornton Smith and the Emmott Foundation. 2. Savlngs to thg taxpayer By educating pupils ind8pendentty of the state 1246 Junior.. 499 Senior), DCSF estimatas a saving to the taxpayer of £5.341.000, based on published average stste sector spending per pupil for primary and secondary education. 3. Communlty partneyshlps and soclal Impact Durham School Cathedral Foundation provides extensive community programmes {holKlay camps in¢l. 625 free day places via the County Durham Fun ar F¢)od Piogrammel, active partnerships with local primaries and secondaries {including Castle View Enterprise Academy). significant sports access (Penlalhlon GB regional hub,. swimming for-SOO young people weekly., use of cricket. hockey. netball, rugby facilities), arts access lover 100 local musicians wegkly,. Durham Fringe Festival founding partngrl. and Chorister outreach with Durham Cathedral. 4. Support for other charities and volunteering Pupils and staff raised £16,868 for charitses and gwd causes in 2024r25, with every House supporting causes throughout Ihg year (including Young Minds, St Culhbert's Hospice, Royal British Legion and others). Volunteering inclu¢Jes Duke of Edinburgh's Award serVe and inlem81ional partnership with Zambezi Sunrise Trust linclLKling the donation of 10,CK)O items of new and pffjloved uniforms donated and packag at the Foundation). 5. Contribution of volunteers The Board of Govemors serves on a voluntary basis, alongside parent and alumni volunteers supporting ¢urrICUlar actiwties eg.rowing, productions, and careers engagement. While il is not practitsble to monelise volunteer hours. Trustees acknowkdge their subslanlial impad across Foundation life. Page 4
DURHAM CATHEDRAL SCHOOLS FOUNDATION (A company Ilmltad by guarante&) TRUSTEES, REPORT {CONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2025 Achievèments and perfomiance Maln a¢hlev•ments of the Charitable Group Pupll Numbers Durham School.. 499 Chorister Schod.. 246 Total.. 745 pupils. Pupil numbers remained stable al the senior school despite the imposition of VAT on fees during the acadomic year. Numbers at Chorister School were SQ down on the previous year. Part of this is due to demographic decline in these age groups, and part of this is pul down to worsening economic condrtions leading lo families delaying enty into independent educa*'on. Academic perforniance A level.. Pass rate 96.5V.12024'. 100%)., A-8 55.6OA"12024.' 62.4¢) GCSE.. Grades 7-9.. 44.30A 12024.. 520kl, PA. 64.4% {2024.' 69.1°hl', .. 92.1% 12024.. 92.1V•l', Grade 9. 14.6%12024'. 20.5%). No pandemic mrtigation applied in 2025 making comparison dthcull with previous years. Cocurrlcular and enrichment Over 100 clubs and societies are operate operated across both schools including a pupil newspaper The Durham Eye, which secured two awards and one mmmendalion al the 2025 Shine School Medi8 Awards. The FOundatn continues to operate a very sucssful Outdoor Soclety, Sport A standout year across girfs, and boys, prograrnrnes Inolabty rugby, netball, hockey and crickel}, with pupils progressing lo represenlalive and professional levels,. rugby will mark its 175th anniversary in October. Three Year 13 leavers progrg$sing to elite pathways. Mu$l¢ 134 ABRSM entries wf(h 27% Distinction, 38% Mertt, 340A Pass., Stand out performances included Handel, Messiah in Durham Cathedral in front of a paying audien of 750 raising £20,000+ for post chorister buisaries. This concert included four professional soloists, three of whom were ODS, including Alexander Amstrong. The choir and orchestra featured current and fomier pupils, parents and staff members from over 50 years of foundation music making. Drama A rich progr8mmg from Chorister School product10ns lo the Senior School's Pygmalion (March 202518nd Shrek Jr for Years 7-8 in The Luce. Intsrnatlonal schools partnershlps Ongoing Quality Assurance through policy and governance support lo partner schwls.. Durham School for Girls Doha Inaming rights, roll 1,3001. Durham Internatlonal School, Kenya {Nairobi,' bvo sf(es', 494 enrolrnentl. Durham School Dubal (opened 2022., roll 610 in 2024125}. Intemation81 actwty diversffies revenue and Supports bursary grcmth in Durham. Trustees vIeW e<lucatronal, financial and operational perforrnance regulady lo ensure that th8 Foundation continues to deliver its charitable objeclwes effectively and sustainably. Page 5
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company Ilmlted by guarantgel TRUSTEES. REPORT {CONTINUEOI FOR THE YEAR ENDED 31 AUGUST 2025 Achievements and porformance (contlnuedl Key performance indlcators Trustees moni(or a range of key perfomance indicators aligned wlh the Foundation's strategic priorities.. pupil recruilmenl and retention, academic outcomes, bmdening access through bursaries. cgmmunity engagement and long-tsrm financial $uslainabilty. During the year the Found*b)n maintaingd broadly stable pupil numbers across the schools despite the introduction of VAT on school fees. Academic outcomes remained strong relative to national benchmarks. and the Foundation continued to provide significant financi81 assistance to pupils. Inlemational partnerships continued to develop, wi(h substantial grovrth in enrolment at the Foundation's partner school$ in Dubai and Nairobi. The princip81 indicators used by Trustees are summarised below.. Key perfomance indicators over past Ihreg years KPI Total pupil numbers 22123 23124 738 757 24125 Commentary 745 Overall numbers remain stable despite the introduction of VAT on school fees. 499 Senior School enJItMent remains stron9. 246 Slight decline ffttlecting demographlc and economic pre5sure5 locally. 97.4% 100% 96.5% Consistently strong academic outcomes. 53.8% 62.4% 55.6% Remains abtsve historic averages. 355% 52% 44.3% Improvement since 2022123 despite national grade normali5ation. GCSE grados 4-9 90.8% 92.5% 92.1 % Conslslenlly high pass rates. Fund$ rni$gd for othor £7k £15.8k £16.9k Continued engagement in charitsble charities activity across the Foundation. EstTm•tsd S8vlngs to tha £5.Sm £5.7m £5.6m Based on a saving of £7,500 per pupil Public Purse ABRSM mu81¢ frxam •ntrio5 Intsmational school enrolment- Dubal Intsmational school onrolment- Nairobi Durham School roll Chorlster School roll 476 262 498 259 A Level pa55 rats A Lèvel grades A-8 GCSE grade$ 7-9 110 165 134 Strong participation in the musi programme. 610 Rapid groyth in our partner school. 164 445 -250 -250 494 Signifunt expansion during the year. Page 6
DURHAM CATHEDRAL SCHOOLS FOUNDATION (A Company Ilmked by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2025 Achlevemgnts and perforrnance Icontlnuedl Fundralslng As a fundraising charty subject to the Charities {Proledon and Social Inveslmenll A 2016 fundraising reporting requirements, the Trustees provide the following slalements for the year.. la) Our fundrai¥lng approach Durham Cathedral Schools Foundation undertakes fundraising primarily through the in-house Development Office (major gifts, bursary appeals, legacies, events and communrty fundraising). Ibl Regulation and standards We are registered wi(h the Fundraising Regulator and follow the Code of Fundraising Practice.. no failures to comply were identrfied in the year. The Development Director. our lead fundraiser, is a member of the Chartered Institute of Fundraising. {cl Pknnitoring of fundraising carried out on our behalf Where third parties act for or with us, we monrtor compliance via.. due diligence checks. written terms, briefings, spot checks, review of materials. and escalation predureS for complaints and safeguarding )CernS. Idl Fundraising complaints We received O fundraising related ccmplainls in 2024r25. lel Protocting people In vulnerable clrcumstances Our staff are trained on recognising vulnerabilty.. we prohibit unreasonable intrusion, persistent approaches, and undue pressure to give," we respect contsct p[eferens,. and we act promptly on concerns. These safeguards aln with the Code and Chanty Commission guidance CC20. fj Pald fundralsing staff There are three paid members of staff in the Development, Alumni and Events office who are paid to fundraise as part of their roles. Where third parties assist le.g.. event platforms), they act under written agreements and our ovgrsighl. Financial review Golng concern After making appropriate enqUirS, the TNstees have a reasonable expectatr.on that the Charitable Company and Group have adequate reSoUrS lo continue in operational existence for the foreseeable future. For this reason, they continue lo adopt the going concem basis in preparing the financial statements. Further delai15 regarding the adoption of the going concern basis can be found in the accounting policies. Reserves policy Our policy is lo achieve an annual operating sUlUS which secures (( fvture financial viability and allows continued investment in the infrastructure of the school. Our reseNes policy is to achieve free reserves of >6 months of operating expendrture. As at 31 August 2025, the Group held fund balances of1£933.7651 comprising 1£3,156,3841 unTestricted funds, £1,885,018 restricted funds and £337.601 endowmgnt funds. The unrestricted deficit reflects historic pension obligations and depre¢iation. We continue to focus on reducing that deficit principally through a combination of international income grovrth, fijndraising for bursaries and captsl expenditure, pupil recruitment, and cost control. Page 7
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company Ilmlted by guarantee) TRUSTEES. REPORT (CONTINUED} FOR THE YEAR ENDED 31 AUGUST 2025 Flnancial perfomianee The Trustees a pleased lo report that the actions that were taken, and which were outlined in their Report for the year ended 31 August 2024, have resulted in a good outcorne. Whilst the Tru$tge$ acknowledge Ihal the audit report contains a qualification, we note th81 It is limi(ed in its scope and rt does not reflect on the quality of the financial reporting that has taken place in respect of the year ended 31 ALrgusl 2025. This is a leslament lo the hard work of our Finance Team lead by our OperatKJns Manager. Our new accounting system is now fully opèrational and has already contributed lo a better understanding of our fin?n¢ial perforrnanee. Our new team members have demonslraled a gal deal of lenaeity and resilience to overcome the challenges that they inherited. The consolidated results for the year show a surplus of £70,89712024.. £403,879). The 2024 result reflect a revaluation surplus of £769,314. Whereas the Trustees acknowledge that further improvement in financial performance is raquired, the recent trend of Improvement is greatly welcomed, and is impressive against a backdrop of the liabiif(ies arising from the management and improvement of the school estate. Durham Cathedral Schools Foundation's cash posf(ion was managed within the facilities agreed wf(h our bankers which we note are due lo be renegotiated laler in 2026. A Company continues to purchase insurance for the Trustees during tho year lo indemnify them against liabilities arising from a¢ts as part of their duties Trustees of the company. Note 22 sets out an analysis of the assets attribulablg lo the various funds. The Trustees consider these assets lo be suffi'cient lo meet the companls obligations Dn a fund by fund basis. Prlnclpal sources of funds Predominantly pupil fees,. with philanthropic gifts. trading income Ivia the services company), investment income and overseas school income foming the remainder. Prlnclpal rlsks and uncertalntl•s Strategic.. pupil recruitmenvretenlion,. fee affordability lincluding VAT impactl-, estate maintenance and Capital planning. Operatlonal.. safeguarding & wetfare,. health & saf9ty, IT and data security. Financial". liquidity and cash flow management,. pension liabilities. Controls inelude enhaneed marketing and feeder links, expanding butsaries, robust safeguarding and H&S frameworks, cyber inveslmenls, loan facilrties with f0CaSting. and aduarial oversight. The risk register is reviewed termly by Senior Leadership and Trustees. PaJg 8
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA Company limited by guarantee) TRUSTEES. REPORT ICONTINUED) FOR THE YEAR ENDED 31 AUGUST 2025 Structure. governance and management Constitution and governance Durham Cathedral sChcls Found81ion is a charitable company limited by guarantee {incorporated 4 Jan 19931, governed by its Articlgs. Trustees (who are also company directors} set slralegy and ensure compliance with charity and company law. The Board meets once per term and delegates day lo day management lo the Principal and Senior Management Team. Board subcommittees include FIr¢an & General Purposes, Education, Estates, Development, Chorister, Search. Burkitt, Inlemalh)nal, Prep and Audit. The Senior Leadership Team as at 31 August 2025 is as follows.. Principal & Headm8Ster- Durham School Acting Principal - Durham Sch¢)ol Headmistress - Chorister School Deputy Head IA¢ademicl Deputy Head (Paslorall Assistsnl Head IBoarding and CothcUrrularI Assistsnl Head {Complianeel Operations Manager Development Director Director of Inlemalional Operation$ Director of Marketing & Admissions Company Secretary & Clerk to the Govemors Company Secretary & Clerk lo the Govemors K McLaughlin MA Icanlabl (resigned Apr 20251 A Pearson Bsc (Dunelml lfrom Apr 20251 S Harrod BA A Pearson Bsc IDunelml H Thompson MA (Oxonl, MSC, MA K Rc¢hester BA P Gerrard BEd H Bergensljerna Msc A Beales Msci {Dunelml, MBA, MCIOFIDipl K Hannah MA D Freeman Griffilhs BA E Mussell BA Iresigned Feb 20251 G A Gardner (from Feb 20251 The day to day running of the Schools is delegated to the Principal and the Senior Leadership Team. Appointment. induction and tralnlng of Trustees Trustees are appointed by the Board following search and due diligence,. they retire by rotation and may be reappointed. Induction covers safeguarding, finance. charity law and eduCan". On9n9 training is provided. Pay policy for key management pewnnol The Principal's remuneralK)n is detem)ined by the Chair and Finance & General Purposes, Senior Leadership pay is sel by the Principal and reviewed by Finance & General Purposes, benchmarked using sector data. Related parties All related party transactions are dI10$8d in note 30 to the accounts in accordance wrth SORP. Safeguardlng Safeguarding is overseen by the Board (via committee and named safeguarding lead Trustee) and led operationally by the Desynated Safeguarding Lead and team. Trustees receive regular reports, polities are reviewed at least annually, safer recruitment is in place, and external reviews are commi35ioned periodically. Trustges. Indomniti88 The group maintains Trustees. and Officefs, liats'lity Insuran for Trustees and officefs. Qualfying third party indemnty provisions (within the meaning of $.234 Companies Act 20061 were in force during the financial year and at the d*e of approval of this report. These do not extend lo fines or penalties or to liabililEs where prohibited by law. Page 9
DURHAM CATHEDRAL SCHOOLS FOUNDATION (A company limited by guarantee} TRUSTEES, REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2025 Structure, governance and management Icontinuedl Wlder networks and affiliations Durham Cathedral Schcjols Foundats"on is a member of AGBIS, ISI, HMC, IAPS, IDPE, Choir Schools AssOction. The British Boarding Seh¢Jols NethOrk, and ISC. Plans for futur8 porlods Priorities include.. Growth In bursary provision and philanthropy lo widen access_ International expansKJn and QA via Durham School Trading Limited, maintaining standards at Doha, Nairobi and Dubai and assessing new opportunities. Investment in teaching, digital learning and the estate to sUPPOrt excellence. Strengthening feeder school links and community engagement. Building adequate ieserves13-6 months OPEXI. Asset management and propety valuation mcniloring (freehold revalued Feb 20241. The Tfuslees remain confident that these priorities will support the long-term suslainabilily of the Foundation and enable il to extend the educational ¢Jppgrtunilies it provides for pr¢sent and future pupils. Statement of Trustees. responsibilities The Trustees Iwho are also the directors of the Charitable Company for the purposes of company lawl are responsible for preparing the Trustees, report and the financial statements in accordance with applicable law and Unilad Kingdom Accounting Standards (Unfied Kingdom Generally Accept Accounting Practice). Company law requires the Trustees to prepare financial statements for each financial . Under company law, the Trustees must not approve the financial stateménts unless they are satisfied that they give a true and fair view of the slate of affairs of the Group and the Charitable Company and of their incoming resources and application of resourcos, including their income and expenditure, for that period. In preparing these financial stalemenls, the Trustees are required to". select SUTtable accounting poli¢tes and then apply them consistently,. observe the meth¢)ds and principles of the Charities SORP IFRS 1021.. make judgments and accounting estimates that are reasonable and prudent,. slate whether applicable UK Accounth'ng Standards IFRS 1021 have been folkjwed, subject to any material departures disclosed and explained in the financial statements,. prepare the financial statements on the going conrn basis unless (( is inappropriate to presume that the Group wll continue in business. The Tnjstees are responsible for keeping adequate accounting reeords that are sufficient to show and explain the Group and the Charitable Companls transactions and disclose wth reasonable accuracy al any tirne the financial postiion of Ihg Group and the Charitsble Company and enable them to ensure that the financial statements comply with the Companies Act 20(kS. They are also responsiblo for safeguarding the assets of the Group and the Charitable Company and hence for tsking reasonable steps for the preventKJn and deltiOn of fraud and other irregularities. Page10
DURHAM CATHEDRAL SCHOOLS FOUNDATION {A Company limited by guarantee) TRUSTEES, REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2025 Disclosurn of Infomiallon to auditors Each of the persons who are Trustees at the time when this Trustees. report is approved has confirmed that so far as that Trustee is aware, there is no relevant audit infomiatrjn of which the charitable group's auditors are unaware, and that Trustee has taken all the steps that ought lo have been taken as 8 Trustee in order lo be aware of any relevant aud(£ information and to establish tha the charitable groLSP'S audf(ors are aware of that infomption. Audito The auditors, Clive Owen LLP. have indicated their willingness to continue in office. The designated Trustees will propose 8 motion reappointing the auditors al a meeting ofthe Trustees. Approved b order of the members of the board of Trustees on ............... and signed on their behalf by. SDob (Chair of Trustees) Page11
DURHAM CATHEDFIAL SCHOOLS FOUNDATION IA company limited by guarantgel INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF DURHAM CATHEDRAL SCHOOLS FOUNDATION Qualified Opinion We were engaged lo audit the financial statements of Durham Cathedral Schools Foundation (the 'parenl charitable companll and rts subsidiary (the 'group'l for the year ended 31 August 2025 which comprise the Consolidated stslernent of financial activities. the Consolidated balance sheet. the Charitable Company balance sh&t. the Consolidated statement of cash flows and the related notes, in¢luding a summary of significant accounting policies. The financial reporting framewoik 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 Republi¢ of Ireland, (Uniled Kingdom Generally Accepted Accounting Pro1¢). In OUT opinv)n, except for the effects of the matters described in the basis for qualrfied opinion section, the financial statements." give a true and fair view of the stale of the Group's and of the parent ch8rilable companls affairs as at 31 August 2025 and of the Group's incoming resources and application of resources. including ils income and expenditure for the year then ended", have been properly prepared in accordance wi(h United Kingdom Generally ApIe1 AontIng Practice.. and have been prepargd in accordance with the requirernenls of the Companies Ad 2006. Basis for qualrfied oplnlon In the Consolidated Statement of Financial Activities (SOFA} for the year ended 31 August 2024, an exceptional rtem of £358.178 was included within total income, arising from trade debtor and bank balance reconciliation differences. A prior year adjustment has subsequently reduced this amount to £203,048., however, we have been unable to Dblain sufficient appropriate audit eviden lo determine whether further adjustment may be necessary to the comparative figures for the year ended 31 August 2024 and the corresponding opening balances as al 1 September 2024. As a resu. we 8re unable lo delemine whether any consequential adjustments may be required lo income and reL*ed balances reported in the Consolidated SOFA for the year ended 31 August 2025. We have obtained Sufflent appropriate audit evidence in respect ol the closing balance sheet position as at 31 August 2025 and havg not identified material misstalemenls in the Current year cbsing balance5. Accordingly. we consider the possible effects of the matter deseribed above lo be material bul not peNasive to the consolidated financpl statements for the year ended 31 August 2025. We condu¢led our aLKlil in accordance wf(h International Standard$ on Auditing IUKI IISAS (UK)) and applicable L. Our responsibilities under those stsndards are further d$scribed in the Auditors. responsibilrties for the audrt of the financial statements section of our report. We are independent of the Group in accordance wlh the ethical requirements that are relevant to our audit of the financial $181emenls in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance wi(h these requiremonls. We believe that the audit evidence we have ¢btained is sufficient and appropriate to promde a basis for our opinK)n. Page 12
DURHAM CATHEDRAL SCH¢X)LS FOUNDATION {A company Ilmlted by guarnntee) INDEPENDEMT AUDITORS. REPORT TO THE MEMBERS OF DURHAM CATHEDRAL SCHOOLS FOUNDATION ICONTINUEDI Material uncertainty r•lated to 90ing concern We draw your attentn to note 1.2 of the financial statements. The group has n&t currgnt liabililies as al 31 Augu$t 2025. It is endent on th8 continuing support of the bank, who's facilities are due for renewal in January 2027. As stated in note 1.2, these conditions indicate that a material uncertainly exists that may Cast signffjicant doubl on the Group's or the Parent Charitable Company s abilty lo continue as a going concern. Our opinion 1$ not modified in respect of this matter. In auditing the financial stslements, we have concluded that the directors, use of the going concem basis of accounting in the preparation of the financial slalemenls is appropriate. Our responsibilrties and the responsibilities of the dirlor8 with respect to gcNng eoncem are descdbed in the relevant section of this report. Other InformaOn The other information comprises the information included in the Annual report other than the financial statements and our Audrtors, report thereon. The Trustees a responsible for the other infom)alion contained wf(hin the Annual report. Our opinion on the financial statements does not cover the other infonnalion and, except lo the extent othewise explicrtly stated in our report, we do not express any fom of assurance conclusion thereon. Our responsibility is lo read the other infomation and, in doing so. consider whether the other information is materially inconsistent with the financbal statements or our knowledge obtained in the course of the audrt, or otherwise appears to be materially misstated. If we identify su¢h material inconsistencies or apparent material misstatements, we are required to detemiine whether this gives rise to a material Misstatement in the financial statements themselves. If, based on the work we have perfolmed. we conclude that there is a materi81 misstatement of this other information, we are required to report that ft. We have nothing to report in this regard. Opinion on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the cours¢ of tha audit. the infomalion given in the Trustees, report for the financial year for which the financial slalemenls are prepared is consislenl with the linancial slaternenls. the Trustees, report has been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In the IKJhl of our kn¢)wledge and understanding of th& charitable company and ils environment oblain&J in the course of the audit. we have not idents'fied material misstatements in the Trustees. report. We have nothing lo report in respect of the following matters in relation lo which Companies Act 2006 requires us to report to you rf, in our opinion.. the panI charitable company has not kept adequate and sufficient accounting Cords, or returns adequate for our audrt have not been received from branches not visited by us., or the parent charitable company financial slalemenls are not in agreèment with the accounting records and relums., or certain disc105ures of Trust99s' remungration Specified by law are not mafle., or we have nol received all the information and explanations we require for our autjit. Page 13
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limitad by guarant981 INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF DURHAM CATHEDRAL SCHOOLS FOUNDATION ICONTINUEDI Respon$Tbilltles of trustees As explained more fully in the Trustees, responsibilities statement, the Trustees (who are also the directors of thè charitable company for the purposes of company lawl are $[K)nSible for the preparation of the financial statements and for being satisfied that they give 8 true and fair view, and for such intemal control as the Trustees detemiine is necessary Its enable the preparation of financial ststements that are free from material misstatement, whether due lo fraud or error. In preparing the financial $tslementS, the Trustees are re$pon5ible for assessing the Group's and the parent charitable companls abilty lo continu& as a going concern, disclosir¥J, as applicable, matters related to going concern and using the going concern basi$ of accounting unless the Trustees either intend to liquidate the Group or the parent charitsble company or lo cease operations, or have no realistic akemative bul to do so. Auditors. rosponslbilities for the audit of the financlal slatsments Our objectives are to obtain reasonable assuranee aboui whether the financial statements as 8 whde are free fTom material misstatement, whether due to fraud or error, and lo issue an Auditors. report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance wth ISAS IUKI will deted a material misslalemenl when it exists. Misstatements ean arise from ftaud or error and are considered material if, individually or in the aggregate, they could reasonably be expected lo influence the èconomic decisions of users taken on the basis of these ffinancial stalemenls. Ifregularf(ies, including fraud, are instances of non-cornpliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to delect material misstatements in re$t of irregularities, including fraud. The extent to which our procedures are capable of detecting irreguL2nb"es, including fraud is detsiled below.. We undertake the following proce(lures to identfy and respond to these risks of Tr)n-complianco'. Understsnding the key legal and regulatory frameworks that are applicable lo Ihg Group. We communicated idenlffied laws and regulations throughout the audrt team and remained alert to any indications of noncompliance throughout the audit. We determined the most significant of these to be around employment law, charity legislation, company legislation, heatth and safety. food and hygiene reguLgtions, 88feguarding. taxalton legislation, Independent Schools Regulator, Ofsled and GDPR Enquiry of trustees and management as to policies and procedures to ensure compliance and any known instan3 of non-compliance Review of board minLrtes and correspondence with regulators Enquiry of trustees and management as lo areas of the financial stat8ments susceptible to fraud and h¢)W these risks are managed Challenging management on key estimates, assumptions and judgements made in the preparation of the financial statemen15. These key areas of uncertainty are disclosed in the accounting policies Idenlfying and lesling unusual journal entries, with a parbcular focu5 on manual joumal entries. Through these procedures. we did not become aware of a¢tual or suspecta non-compliance. We planned and performed our audit in aordanCe with oudiling stsndards but ¢)wing lo the inherent limiL*ions of procedures required in these areas, there is an unavoidable risk that we may not have detected a material misslalernent in the accounts. The further removed non-compliance wrth laws and regulations 1$ from the events and transactions reflected in the financial statements. the bss likely we would become aware of r(. The risk of not detecting a matenal misslatemenl due to fraud is higher than the risk of not det¥ting one resulting from error, as fraud may invOe concealment, collusion, forgery, misrepresentations, or override of intemal Irols. We are not responsible for preventing nonwcompliance and cannot be expected tr) delect non- compliance with all laws and regulations. Page 14
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA wnpany Ilmlt•d by guar•nteel INDEPENDENT AUDrroR8' REPORT TO THE MEMBERS OF DURHAM CATHEDRAL SCHOOLS FOUNDATION {CONTINUED) A further dptIon of our re&FSIbIlItIeS for the audlt of the financial ststements 18 located on the Finanaal Reporttng Councll'$ website al: .frc.o .uklaudlloTsres nslbilrtles. This destt4)tion forms part of our Audltors, report. Usè of our report Th18 report Is made sok81y to the cTIlable companfs mernbers. as a body, In accordance wilh Chapler 3 of Part 16 of the Companies Act 20t6. Our audit work has been undertaken so Ihal we mlghl state to the charrtable companys members those matters we are required to state to them in an Auditor5. report and for olher purpe. To the fullest extent pemiltted by law. do not acupt (x assume responsibil lo anyone other than the charitable company end its members. as a boty. for our audlt work. for thls rerort. or for the opinkS we have foTmed. ciw, O CLQ Martln Hobson BA IHoTrsk FCCA (S•nlor stalutory audltorl for and on behaw of Cllve Owen LLP Chartered Acwuntants & stutory Audttors 140 Coniscliffe Road Darfington Cow Durham DL37 P*Je 15
DURHAM CATHEDRAL SCHOOLS F(MJNDATION (A company Ilmlled by guarant••) CONSOUDATED STATEMENT OF FINANCIAL ACTivmES (INCORPORATING INCOME AMD EXPENDMJRE ACCOUPffj FOR THE YEAR ENOED 31 AUGUST 2025 A8 restated Total nds 2024 Unreslllcled Restrlcted Endowment fund$ funds 2025 2025 Total 2025 2025 lTrcome and Donolions legac4es Chantable adi¥ittes Other IradiThJ aCtitieS Investments 107.768 13.544.117 156.985 275.672 58,301 166.069 13,544.117 156.985 275,672 303.711 12,872,341 213.486 385.001 203,048 Excepiv)nal items Total In¢om• and endowment¥ 14.084,542 58.301 14.142.843 13.977.587 Expendlture on- Ralsing lunds Charllable actitieS 475,421 13.5W.525 475.421 13.596,525 571.117 13.834.059 6.000 Tolal expendltur• 14.065,946 14.071.916 14.405.176 Net Incomel lexpendlturel before nel galns on Inv•stm•nts 18.596 52,301 70.897 (427,589> Ngt gains on invoslments Net m0Mnt In funds befor• oth•r recognl8ed galnsll1088es) 62.1S4 18.596 52.301 70,897 {365.435) othw rnwnlsed galnsl{losses): Gains on revalualh)n of fed assets 769.314 Net movem•rt fvnd# 18,596 52.301 70.897 403.879 Page 16
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guarantoel CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUND {CONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2025 As reslaled Total funds 2024 Unrestricted funds 2025 Restricted funds 2025 Endowment funds 2025 Total funds 2025 Note Reconcillatlon of funds.. Total funds brought forward as previously slated Prior year adjuslmenl 13,¢)01,9791 1173,0011 1.832,717 337,601 1831.6611 1173,0011 11,408,541) Total funds brought fOnard as reststed Net movement in funds 13,174,980) 1.832,717 337.601 11,004,662) 11,408,541) 18,596 52,301 70,897 403,879 Total funds carrled forward 13,1 $6,384) 1,885.018 337,601 1933,7651 11,004,662) The ConsolKlated statement of firnCilI activities includes all gains and losses recognis9d in the year. The notes on pages 2110 45 form part of these financial statements. Page 17
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company Ilmlted by guarantee) REGISTERED NUMBER: 02776914 CONSOLIDATED BALANCE SHEET AS AT 31 AUGUST 2025 As reslaled 2024 2025 Note Fixed assets Tangible assets Investments 14 15 5,762.226 258,896 5.781,442 258,896 6,021.122 6,040,338 Current assets Stocks Debt$ Cash at bank and in hand 17 2,138 1,089,089 3,219,844 7.968 1,524.997 1,682,079 18 4,291,071 3,215,044 Current Ilabllities CrediloT5'. amounts falling due within one year 19 17.271,9761 16.224.524) Net current liabilitios 12.980,9051 13.009,4801 Total ass8ts les$ current Ilabilltles 3.040,217 3,030,858 Credrtors.. amounts falling due after more than one year 20 13,973,982) 14,035.5201 Ngt IlabllFtles excludlng p&nsion asset (933.765) {1,004,6621 Totsl net assets 1933,7651 {1,004,6621 Charlty fund$ Endowment funds Restricted funds Unrestricted funds 337,601 1,885,018 13,156,384) 337,601 1,832,717 13,174,9801 Total funds 1933,765) 11,004,662) The Trustees a¢knOedge their responsibilities for complying wlh the requirement5 of the Act with respect to accounting records and preparation of financAal slalements. The financial slal8menls were approved and aulhorisgd for issue by th8 Trustees on signed ehaLI by.. and S Dobso (Chair of TN8teesl The ne$ on pages 2110 45 fomi part of these financial slalemenls. Page 18
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guarantee) REGISTERED NUMBER: 02776914 CHARITABLE COMPANY STATEMENT OF FINANCIAL POSITION AS AT 31 AUGUST 2025 As restat8d 2024 2025 Note Flxed assets Tangible assets Investments 14 5,762,226 258.721 5,781,442 258,721 15 6.020.947 6.040,163 Currnnt assBts Debtors Cash at bank and in hand 18 1.017,586 2,945,215 1,338.545 1,508,207 3,962,801 2,846.752 Curront Ilabllities Creditors.. amounts falling due within one 19 17.364,2181 16,109,569) Net current liabilitios 13,401,417> 13,262,817) Totsl assets lass curr•nt liabilities 2,619,530 2,777,346 Creditors.. amounts falling due after more than ong ar 20 13,973,982) 14,035.5201 Net Ilabllltles excludlng penslon asset 11,354,452) {1,258.1741 Total net assets 11,354,452) 11,258.174} Charity funds Endthvment funds Restried funds Unrestncted funds 22 22 337,601 1,885,018 13,577,071> 337,601 1.832,717 13.428,4921 Total funds 11,354,452 11,258,174) The Charitable Compatys net movoment in funds for the year was £196,278) {2024- £286,926>. The TnJslees acknowledge their responsibilities for complying with the r4uiremenl8 of the Act with respect to 8ccounts.ng records and preparation of financial statements. The financial slalemenls were approved and aulhorised for issue by the Trustees on signed on their beh and S Dobson (Chair of Trustees The notes on pages 21 to 45 fomi part of these financial slalemenls. Page19
DURHAM CATHEDRAL SCHOOLS FOUNDATION {A company Ilmited by guardnteel CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2025 2025 2024 Cash flows from 0rating activities Net cash used in operatin9 activities 1,894,628 952,829 Cash flow6 from investing activltles Dividends. interests and rents from investments Proceeds from the sale of investments Purchase of tangible fixed assets 14,400 13,000 1301,4231 13,200 828,082 {85,5361 Net cash lused inllprovided by investlng actfvities 1274,0231 755,746 Cash flows from flnanclng aCvItIes Repayrnenls of borrowing RepayTnenl$ of finan kases ReIpl of endowment le6.1871 116,6531 (87.8011 {21,4021 Net cash used In flnanclng acllvities (82,8401 {103,6431 Change in cash and cash equivalents in theyear Cash and cash equNalen15 al the beginning of the year 1,S37.765 1.604,932 1,682,079 77,147 Cash and cash equivalents at the end of tho year 3,219,844 1,682,079 The notes on pages 21 to 45 fomi part of these financial statements Page 20
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company Ilmlted by guaranteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 Accountlng pollcles 1.1 Basis of prnparation and consolldallon of flnanclal statsments The finaneial statements have been prepare(l in 8ccord8nce wth the Charities SORP (FRS 1021 Accounting and Reporting by Charities.. Statement of Recommended Practice applicable lo charities preparing their accounts in accordance with the Financial Reporting Stsndard applicable in the UK and Republi¢ of Ireland IFRS 1021 (effective 1 January 20191, the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 and the Companies Act 21X)6. There were no material departures frcwm the standard. Durham Cathedral Schools Foundation meets the definition of a public benefit enlily under FRS 102. Assets and liabilities are inf(ially recognised at historical cost or transaction value unless otherwise slated in thg rglevanl accounting policy. The Consolidated statement of financial 8Ctivilres {SOFA) and Consolidated balance sheet consolidate the financial statements of the Charitable Company and ils subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis. The Char(table Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of financial activities in these financial statements. The prinopal accounting policKgS adopted in the preparth'on of the financial slalements are sel out below and have remained unchanged frLYn the previous year, and also have been consistently applied wrf(hin the same accounts. The financial statements are leported in £ sterling. 1.2 Going conc•m The Group's charitable aclivf(ies. together wlh factor8 likely to affect i(s future development and performance, are set in the Trustees. Report. The terms of financing facilities provided by Barclays plc to the Group expire in January 2027. Based on discussions betsveen the parties it is not anlicipaled that these facilities will be withdrawn or indeed that the lemis of any new facil¢ties will be less favourable than the existing ones. The trustees have assessed the cash requirements of the Group for the period of at least one ygar from the date of issue of the financial statements. The trustees acknowledge that that the group has net current liabilities a131 August 2025. Given this, and the reliance placed on the bank funding facilities, a material uncertainly exists that may cast doubl on the Group's of the Parent Charitable Companls abilty to continue as a goin9 wncem. Despite this. the trustees believe that il is still appropriate to adopt the going coneem basis of acwunling in preparing the financial slalements. Page21
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guaranteo) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 ounting policies Icontlnuodl 1.3 Income All income is rec(gniseil once the Group has gntillemenl to the income, il is probable that the income will be received and the amount of income ra1Vable can be measured reliably. Grants are included in the Consolidated statement of financial activities on a receivable basis. The balance of income received for specrfic purposes but not expended during the period 15 shown in the relevant funds on the Balance sheet. Where income is received in advance of gntitlement of receipt, it5 recognition is deferred antl included in creditors 88 deferred income. Where entitlement occurs before income is received, the income is aeerued. On receipt, donated professional servi8 and facilities 8re recognised on the basis of the value of the gift to the Group which is the amount il would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open matket., a corrosponding amount is then recognised in expenditure in the period of reeeipt. Olhef incm is recognised in the period in which it is receivable and to the extent the good$ have been provided on completion of the service. Dividends are recognised once the dividend has been declared and notrfieation has been recieved of the dividènd due. This is nomially upon nolifKation by our investment advisor of the dividend yield of the inve*ment portfolio. 1.4 Expondituro Expenditu is recognised once there 1$ a legal or constructive oblig81ion to transfer economic benefrt lo a third party, il is probable that a transfer of economic benefits will be required in sèttlement and the amount of the obligation Can be measured reliably. Expenditure is classified by activity. The costs of each activty are made up of the lolal of direct costs 8nd shared costs, including sUPPOrt eosts involved in undertaking each activty. Direct costs attributable to a single actmty are all¢)cated directly to that activity. Shared costs which contribute lo more than one 8clivity and support costs which are not attributable to a single activity are apt)ortioned between those activities on a ba51$ nsIstent wi(h the use of resources. Expenditure on raising funds includes all expendrture incurred by the Group to raise funds for 118 charitable purposes and includes costs of all fundraising activitS events and non-charilable trading. Expenditure on charitable activities is incurred on directly undertaking the activitS which further the Group's objective5, as well as any associated support costs. Page 22
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limit8d by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 Accounting policies Icontlnuedl 1.5 Tanglble fixed assgts and dopreclatlon Tangible fixed assets are initially recognised al cost. After recognf(ion. under the cost model. tangible fixed assets a measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred lo bring a tangib fixed asset into ils intended working ondition should be included in the measurement of cosl. Freehold prcyety is under the revaluation model. Under the revaluation medel, freehold property shall be carried at a revalued amount. being their fair value at the dale of revaluation less any subsequont accumulated depreciation and subsequent accumulated impaimient kJ$ses. Revaluaions are made wtth sufficient regulartty lo ensure that the carrying amount does not drfFer materially from that which woukj be determined using fair value al the end of the reporting date. Fair values are determined from market-ba$ed evidence by appraisal that is nomially undertaken by professionally qualrfied valuers. If there is no market4)ased evidence of fair value because of tho specialisèd natu of the tangible fixed asset and it is rarely solcl, except as part of a contributing business, the Group may need to estimate fair value using an income or depreciated replament cost approach. G8ins and losses on revaluation are recognised in the Consolated statement of financial aclNrties, wf(h a separate revaluation reserve being shown in the Slatem&nl of funds note. Deprecialion is Charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated usehjl Iwes, using the straKJht-line methc¥l. Depreciation is provided on the following bases.. Freehold prcyety Long-lem leasehold propety Short-tem leasehold propety Motor vehicles Fixtu$ and fittings Computer equipment straight line over 50 years slraighl line over 10- 50 year8 slraighl line over 20 years slraighl line over 10 years straight line over 10- 15 years straight line over 5 years No depre¢iatKJn is provided on freehokl land. 1.6 Investments Fixed asset investrnenls are a form of financial instrument and are initially cogniSed at their transaction cost and subsequentty measured at fair value at the Balance sheet date, unless the value Canr be measured reliabty in which case ft is measured at ¢051 less impaimient. Invgstment gains and losses, whether realised or unreali5ed, are combined and presented as 'GainsllLosses) on inve5tmenls' in lh& consolidat slalement of financial activrties. Investments in subsidianes are valued at cost less provison for impairment. Investments in joint venlures ore stated at the amount of the Group's share of net assets. The Consolidated stslement of financial activities includes the Group's share of the joint ventures, net income or expenditure using the equity acetsunling basis. As the joint venture is a charity. the investment is presented within unrestricted fvnds. 1,7 Stocks Stocks are valued at the lower of cost and estimated selling price le88 Costs to so11. Page 23
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company Ilmlted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 Accountlng policles Icontinuod) 1.8 Debtors Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. 1.9 Cash at bank and in hand Cash at bank and in hand includes cash and Short-lerm highly IiquKI investment5 wi(h a short malurty of three months or less from the date of acquisition or opening of the deposit or similar account. 1.10 Liabiltti•s and provlslons Liabilities are recognised when there is an obligation al the Balan sheet dale as a $utt of a past event, it is probable that a transfer of economic benefit will be required in settlement. and the amount of the settlement Can be estimated reliably. 'abilities are recognised at the amount that the CharTtable Company anticipates il will pay to settle the debt or the amount il has receNed as advanced payments for the goods or services rt must provide. Provisions are measured al the best estimate of the amounts required lo settle the obligation. Where the effect of the time v8lLJe ol money is material, the provision 15 based on the presgnt value of those amounts, di$Unted at the pre-tax discount rate that reflects the risks specific lo the liability. The unwinding of the discount is recognised in the Consolidated statement of financial actmljes as a finance cost. 1.11 Taxatlon The ctyrpany is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tsx purposes. Accordingly, the company is potentially exempl from tsxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporab'on Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively lo charitable purposes. 1.12 Flnance leaseg and hire purchase Assets obtained under hire purchase contracts and finance leases are eapitslised as tangible fixed assets. A55ets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are tjepreciated over their useful Iwes. Finance leases are those where subslanlially all of the benefts and risks of ownership are assumed by the Group. The interest ekment of these obllgations is charged lo the Balance Sheet over the relevant period. The caprtal olement of the future payments is treated as a liability. 1.13 Operatlng leases Rentals paid under operating leases are chaffJed to the Consolidated statement of financial activities on a slraighl-line basis over the lease term. Page 24
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company Ilmlted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 Accounting policies {continued) 1.14 Pensions The Company makes contributions to the Teachers Pension Seheme for academie staff and lo a selective pension plan for non4cademic Staff. Contributions payable to the penwon Sehemes are charged to the Statement of Financial ActNities in the period to which they relate. The TPS is an unfunded Scheme and contributions are calculated lo spread the Gosl of pensions over employees. working lives with the school in such 8 way that the pension cost is a subslantl8lly 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. As staled in note 28. the TPS is a mutti-&mp5oyer scheme and there is insufficient information available lo use defined benefit accounting. The TPS is therefore treated as a defined Contribution scheme for accounting purposes and the eonlribulions are recognised in the period to which they relate. 1.15 Fund accounting General funds a unrestricted funds which are available for use al the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes. Endowment funds represent the pemanenl funds of the sch1. All income generated by these funds ar9 unreStrled and used for the purpose of the school. Restricted funds are funds which are lo be used in accordance with specific restrictions imposed by dcnors or which have been raised by the Group for particular purposes. The costs of raising and administering such funds are charged against the speafic fund. The aim and use of each restricted fund is Sel out in the notes to the financial statements. Inveslm&nt income, gains and losses are all(xaled lo the appropriate fund. Page 25
OURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guarant8el NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 Critlcal accounting ostirnates and oreas of judgment Eslimales and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events th* arg believed to be reasonable under the circumstances. Critical accounting estimates and assumptions.. The Group Tnakes estimates and a$surnpliDlls conceming the future. The reSu1ng accounting eslirnates and assuMptn$ wll, by definition, seldom equal the related actual results. The ests"mates and assumptsons that have 8 signfficant risk of causing a material adiuslment to the carrying amounts of assets and liabil(ties wi(hin the next financial year are discussed below. Bad debt provision.. The parent charitabkg MpanY has included provisvjns for bad and doubtful debts. Debts considered to be IrCOVerable aro provided for in full. The total bad debt provision at 31 August 2025 is £321,392 12024. £213,7441 Freehold property impaimienl.. The freehold property was last revalued in February 2024 on an open market basis. The judgement as lo whether or not an impairment is required includes the consideration of factors such as current market conditions and future eeonomic benefrts expeeted to be derived from the freehold property. Based on the assessment perfomied. the Trustees concluded that no impairment charge was required for the perilxl. The carrying value of the property 1$ £1.749,300 {2024." £1.767,1501 and this 1$ considered fair value as at 31 August 2025 Income from donations and legaclos As restated Total funds 2024 Unrestricted funds 2025 Restricted fvnds 2025 Total funds 2025 Donations DonalN)ns Unclaimed deposits released 107,768 107,768 58.301 225,828 77,883 58,301 107,768 58,301 166,069 303,711 Total 2024 as restated 225,828 77,883 303,711 Page 26
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limitad by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 Income from charftable athltles Unfestricted funds 2025 Reslricle funds 2025 Total lunds 2025 Total funds 2024 School fees income Bursaries, grants and allowances Other ancillary fees 14,036,718 11.789,2501 1.296,649 14,036,718 13,521,542 11.789,250} 11,990,785) 1.29S,649 1,341,584 13,544,117 13,544,117 12,872,341 Total 2024 12,847,341 25,000 12,872,341 The school fees income represents the total school fee prior lo any bursaries, grants or all¢Jwanceg that the pupil may receive. These are ineluded as a negaive value as per the above. Income from other trading actlvltles Unrestricted funds 2025 Total funds 2025 Total funds 2024 Trading subsidiary incomg 156.985 156,985 213,486 Totsl 2024 213,486 213.486 Invostrnent in¢omo Unrestricted funds 2025 Restricted Endowment funds funds 2025 2025 Totsl funds 2025 Totsl funds 2024 Investment income 275,672 275,672 385.001 Total 2024 366,241 13.200 385.001 Page 27
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guarant901 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 Exceptional items As resialgd Total funds 2024 Unrestricted funds 2025 Total funds 2025 EPIlonaI items- unknown differences 203.048 Total 2024 as restated 203,048 203,048 The eptIonal rtem in the prior year was in relation to unknown drfferences in bank and trade debtors as refereneed lo in the prior year audit report. Costs of ralslng fund5 Unrestricted funds 2025 Total funds 2025 Total funds 2024 Finan costs Trading subsidiary expendf(ure 407,928 67,495 407,926 67,495 397,359 173,758 475,421 475,421 571,117 Total 2024 571.117 571,117 Analysis of exp8nditure on charitable activitie¥ Summary by fund type Unrestricted fund8 2025 Restricted Endowment funds nds 2025 2025 As restated Total 2024 Total 2025 Educational charitable activities 13,454,230 Governance costs 136.295 6.000 13,460,230 13.743,560 136,295 90,499 13.590,525 6.000 13,596,525 13,834,059 Total 2024 as reslaled 13.486,012 338,013 10,034 13,834,059 Page 28
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 Analysis of expenditure on charltable activillas Icontinuedl Summary by fund type (continued} Summary by exp9ndtture type As reslaled Total 2024 Staff costs Depreckqtion 2025 2025 Other ¢osts 2025 Total 2025 Educional charitsble activities Governance 8,614,613 307,639 4.537,978 13.460,230 13,743,560 136.295 136.295 90,499 8,614,613 307,639 4,674,273 13.5.526 13,834,059 Totsl 2024 0$ restst¢d 8,110,488 311,393 5.412,178 13.834,059 10. Analysis of expenditure by activities As restated Total funds 2024 Support eosls 2025 Total funds 2025 Direct costs 2025 Educalional charitable activf(ies Governance 6,198,074 7,262,156 13,460,230 13,743,S60 136.295 136,295 ,499 6.198,074 7,398,451 13,5.525 13.834,059 Total 2024 as restated 6,243,262 7.590,797 13,834.059 Page 29
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 10. Analysis of expendStur• by activities (continued) Analysls of dlrect costs Educational charitable actwit$ 2025 As reslaled Total funds 2024 Total funds 2025 Staff costs Educational costs Welfare 5,679,820 414,676 103,578 5,679,820 414,676 103,578 5.435,S27 782,424 25,311 6,198,074 6,198,074 6,243,262 Total 2024 as restated 6,243,262 6,243,262 Analysis of support cost$ Edu&*ional ¢harilable activiti'es Governance 2025 2025 As restated Total nds 2024 Total fvnd8 2025 Staff costs Depreciation Weware Support costs of $¢h¢xJling Premises G¢)vernance costs 2,934,793 307,639 1,402,754 1,035,607 1.581,363 2,934,793 307,639 1,402,754 1,035,607 1.581,363 136,295 2,674,961 311,393 1,334,523 1,110,485 2,CE8,936 90,499 136,295 7,262,1 $6 136,295 7,398,451 7,590,797 Total 2024 83 restated 7.500,298 90,499 7.590,797 Page 30
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guaranto81 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 11. Net incomellexpenditurel Nel incomel{expendrf£urel is staled after ChargIn(Credlingl'. As restated 2024 2025 Depreciation - owned assets Depreciation - assets on finance lease ALKlf(ors' remuneration - audit Operating lease payments - land and buikling$ Operating lease payments - other Exceptional i(ems 291,626 16,013 37,500 357,895 23,693 303,800 7,593 22,000 373,222 35,625 (203,0481 12. Staff cost8 Charitsbl8 Group Charitsblg Company Group As restated Company As restated 2025 2024 2025 2024 Wages and salaries Social security costs Contribution to defined contribution pension schemes 6,553,497 732,164 6.357,745 610,525 6,404,738 710,593 6,143,877 610,525 1.328.952 1.142,218 1,323,956 1,142,218 8,614,613 8.110,488 8,439,287 7,8*,620 During the year, total r8dundancy and lemination payments amounted lo £62,35012024.. £37,267). The average number of persons employed by the Charitable Company during the ye8r was as follows.. Group 2025 No. Group 2024 No. Teaching staff Non-teaching staff 82 91 116 106 198 197 Page 31
DURHAM CATHEDRAL SCHOOLS FOUNDATION {A company limited by guarantee NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 12. Staff costs Icontinuedl The number ol gmployees whose employee benefits {excluding employer pension costs) exceeded £60,000 was.. Group 2025 No. Group 2024 No. In the band £60,W1- £70.000 In the band £70,001 - £80,000 In the band £90,001 - £100,000 In the band £110,001- £120,000 The totsl amount of employee remuneration and benefTis {including employer national insurance and pension conlribulionsl reeeived by key management personnèl for their services to the charitable company was £1,C63,92812024.. £969,199). 13. Truste8s' ramuneration and expons During the year, no Trustees received any remuneration or other beneffts12024- £NILI. During the year ended 31 August 2025, no Trustee expenses have been incur12024 - £NILI. Page 32
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 14. Tanglble fixed assets Group and Charitable Company Short- Long-tsrni term Freehold leasehold leasehold Motor property property property vehicles Fixture$ Computsr and equipmen fittings Total Cost Al 1 September 2024 Additions Disposals 1,785,OCQ 5,549,876 149,987 347,352 2,370,432 16.995 275,244 129,1411 413,240 10,615,887 9,184 301,423 {29,141} At 31 August 2025 1,785,000 5,549,876 149,987 335,206 2,645,676 422,424 10,888,169 Depreciation At 1 September 2024 Charge for the 17,850 2,216.536 149,987 111,413 1,983.594 355,5 4.834.445 17,850 133.592 31,250 112,628} 94,952 26,482 304,126 {12,628} On disposals At 31 August 2025 35,700 2,350, 128 149,987 130,035 2,078,546 381.547 5,125,943 Net book value At 31 August 2025 1,749,300 3,199.748 205,171 587,130 40,877 5,762.226 At 31 August 2024 1,767,150 3.333,340 235,939 388,838 58,175 5,781,442 The nel book value of the fixed assel$. included in the above and in the bèlow, which are held under finance leases is £105,29612024.. £151.7781. The freehold property was valued on 21 February 2024 by Bradley H811, Chartered SuNeyors on an open market existing basis. Previous revaluations on both freehold propety and long-lerrn leasehold had been arriod out Pfior to the Iran$K¢ion to FRS 102 when th8 revalued amount was used as deemed 51. The carrying amount undar the cost model of the assets which were revalued would hav& been £3,686,533 12024 - £3,732,916) Page 33
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guaranteo) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 15. Fixed asset investments Investment Sn joint ventures Unllsted Investments Total Group Cost or valuatlon At 1 September 2024 258,720 176 258,896 At 31 August 2025 258,720 176 258,896 Invgstmgnts in subsidiary companle5 Unllsted investments Total Charltable Company Cost or valuation At 1 Soptember 2024 258,720 258,721 At 31 August 2025 258,720 258,721 The Charitable Company has an investment in a subsidiary company, Dutham School Trading Limited. Further details can be found in note 16. The Grove, Durham Schtt)l. Quarryheads Lane, Durham, Co Durham. DH14SZ The Charitsble Company also has 8n unlisted investment represents a 10°A shareholding in DuTham Markets Company Limited. The $ub$idiary noted above has an investment in a joint venture, Durham Intemalional Infinity Schools Limited. Page 34
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limlted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2026 16. Prfnclpal subsidiaries and joint venturns The following was a subsrdiary undertaking of the Charitable Company. Mam• Company Principal actlvlty nUmr Class of Holding shares Included in consolidation Durham School Trading Lwniled 04175538 The letting of facilities Ordinary for events, meetings 8ntJ weddings. the sale of school unifomi and the adv8ncement of opportunrties for the development of international schools. 1CQVo Yes Name Income Expendlture Profit for the year Durham School Trading Limited 418.257 251,082 167,175 Not assets 420,688 17. Stocks Group 2025 Group 2024 Finished goods and goods for rfj$aLg 2,138 7,968 Page 35
DURHAM CATHEDI4AL SCHOOLS FOUNDATION {A company limitèd by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 18. Debtors Charitable Group Charitable Company Group As restated C(Impany As restated 2025 2024 2025 2024 Due within one ygar Trade debtors Amounts gwed by group undertakings Other debtors Prepayments and accrued inCLe 744,432 772,404 894,228 639.193 308.236 43,674 347,H2 52,919 271,738 88,298 664,295 52.919 270,439 1,069,089 1,524,997 1.017,586 1.338,545 The total bad debts written off during the year was £110,460. 19. Credltors: Amounts falllng due within one year Ch8fTtable Group Charitable Company Group As reslaled Company A5 restated 2025 2024 2025 2024 Bank loans Trade creditors Amounts owed to group undertakings Other taxation and social security Obligations undei finance lease and hire purchase contracts Other eredilo Accrual8 and deferr&J Income 66,187 568,408 87,801 1,012,3C6 66,187 537,289 438,485 702,265 87,801 903,351 708,784 171,063 171,C63 23.064 1,288,858 4,616.675 22,752 1,206,049 3,724,553 23,064 1,288,858 4.308,090 22,752 1,206,049 3,718,553 7,271,976 6.224,524 7,364,218 6.109.569 Charitable Company 2025 Charrt8b Company 2024 Group 2025 Group 2024 Deferred income at 1 September 2024 Resources deferred during the year Amount5 released from previous pgri¢)Js 3.554,636 2,222.369 3,554,636 2,222.369 4.334,348 3,554.636 4,032,363 3,554.636 13,554.6361 12,222.3691 I3,554,6361 12,222,369) Deferred income at 31 August 2025 4.334,348 3,554,636 4,032,363 3,554,636 Income deferd in the period relates to trips and visits and fees re1Ved in advance. Page 36
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 Craditors: Amounts falling due after more than one year Charitable Company 2025 Charitab C¢ynpany 2024 Group 2025 Group 2024 Bank loans Net rtsligalions under finance lease and hire purchase contracts 3.930,778 3,975,351 3,930,778 3,975,351 43,204 60,169 43,204 60,169 3,973.982 4,035,520 3,973,982 4,035.520 Secured debts Bank loans and overdrafts are secured over the freehold propety known as The Extension lo No. 1 Pimlico, No. 2 Pimlico, No. 4 Pimlico. Toll Bar Cottage. Dutham together with an addi(ional legal charge over the leasehold propety known as Durham School Area 1. The bank loan is repayable by monthly inslalmenls to 22 January 2027. Interest is eharged en a floating rate basis, under which the interest rale will never be less that the margin of 3.15Dk per annum. Finance lease$ and hire purchase contraets are Secured over the assets to which they relate. 21. Prior year adjustrnents Prior year adjustments We made in relation to several areas, which mainly relat to the identrfication of items which were included as an exceptional item in the Stalernent of Financial Acliv(£ies for the year ended 31 August 2024. Those items ielated lo Unidentif bank and trade debtor reconciliation differen$. AS a result the previously slated exceptional item has reduced by £155,130 to the amount detailed in note 7. The other element of the £173,001 prior year adjustment being minor amandments lo other credftors, other debtors and charitable actThiffcies èxpenditure. The total impact of the above adjustments is as folk)ws: ststement of Financial Activitias Impact: Decffjase in exceptional f(em Increase in charitable activities gxpendrture £155.130 £17.871 Decrease in unrestricted funds £173.001 Statement of Flnanclal Poslllon Impact: Decrease in trade dgblors Increase in other Creditors Increase in other debtors £190,143) £187,429) £4,571 Decrease in unrestricted funds 173.0011 Page 37
DURHAM CATHEDIIAL SCHOOLS FOUNDATION IA Company Ilmlt?d by guarantO9} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 statement offunds Statement of funds - current year As restated 8alance at 1 September 2024 Balance at 31 August 2025 Transfers inlout Income Expenditure Unrestricted funds General Funds Revaluation reserve 17,852,098) 14,084,542 114,C65,9461 85,059 17,748.443} 4,677,118 185,0591 4,592,059 13,174,980) 14,084,542 114,065,946) {3,156,3841 Endowment funds Davies Leoacy 337,601 337,601 Restrlcted fund8 The Peter E.1. Lee Scholarship Fund Hunt + Wrigley Legacy Donated Deposits Burkitt Scholarship8 Trust Fund 789,110 20,000 423,574 34,650 565,383 789,110 20,000 481.875 28.650 565.383 58,301 {6,0001 1,832,717 58,301 {6,0001 1.885,018 Total of funds 11,004,662) 14.142,843 {14,071,946) {933,765) Page 38
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limlted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 22. Statoment of funds {continuedl The purpose of each fund i% as folbws.. Unrestrlcted funds neral Fund These fvnds represent the unrestricted reSOurS available for the general work of the charilab company and ils subsidiaries. Revaluation Reserve The revaluation reserve reft8 the total revaluaion of the freehold propety. The transfer is in r8spect of the add(fional depreciation charged on the assets at their revalued amounts in comparison lo their historical cost values. Restricted funds Trust Fund Trust funds represent VarUS funds Iransferrod from the Dean and Chapter of Durham. The Dean and Chapter of Durham 1$ still tha apsy)inted Trustee, although the fijnds are now in the custody of Durham Sch¢JOI. The Peter E.1. Lee Scholarshi Fund The Peter E.1. Lee Scholarship fund is to be used for the granting of scholarships under the name of 'The Lee Scholarships" and is lo be awarded lo academically qualrfied students of whom frfty percent should be of the Chinese ra or of Hong Kong Chinese ancestry and the remaining fity pent lo be awarded to similarty qualifi candidates of any race or nalionalty. Hunt & Wri ac This money is to be utiltsed in supporting the school with the costs of maths and engineering. Donated De osits This balance represents student depostts where the pupil has left the School more than e months prior, and the initial deposit hasn't been reclaimed by the parent. In line with lemis and conditions, all unreturned deposits are usgd lo support the awarding of bursaries through the Langley Founéotion c the School. The Burti holarshi Fund The Butkill Scholarships Fund is to be used to award academically qualrfied students entering year 12. BurkTit students gaining entry to Oxford or Cambridge receive further awards frtyn this fund. Endowment funds Davies L The Davies Legacy was received from the Estate of the late Mr E W Davies. The income geneoled from the legacy is reslrictsd lo the use of educating children of Warrant and Non<ommissioned Officers in HM Forces. Page 39
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company limited by guarant8•1 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 22. Statement of funds Icontlnuedl Statement of funds - prior year As restated Balance at 31 August 2024 Balance al 1 September 2023 Transfeis inloul Gainsl ILossesl Income Expendf(ure Unrestrictsd funds General Funds Revaluation reserve (7.708,4141 13.855,944 114,057,129> 3,965.305 57,501 157,5011 17,852,098) 4.677.118 769,314 13,743,109) 13,855,944 114,057,129) 769,314 13.174,9801 Endobvment funds Oavie$ Legacy 317,990 5.560 110,0341 24,085 337,601 Restrl¢led funds The Peter E.1. Lee Scholarship Fund The Catherine Cookson Charitable Trust Hunt + Wrigley Legacy Self Funded Balances Don*ed Depos$ 8urkrtt Scholarships Trust Fund 829,296 13.2C¥) 153,3861 789.110 248.213 1248,2131 20,000 24,714 34S,691 21.3SO 527.314 20,000 {24.7141 77,883 25,000 423.574 34,650 s,383 {11,7001 38.069 2,016,578 116,083 1338,013) 38.069 1,832,717 Total of fund$ {1,408,S411 13.977.587 (14,405,176) 831,468 {1,004,6621 P&Je 40
DURHAM CATHEDIIAL SCHOOLS FOUNDATION IA company Ilmited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2026 Analysis of net assets between funds Analysis of net assets between funds- current year unstrICted funds 2025 Reslrictsd Endowment funds funds 2025 2025 Totsl funds 2025 Tangible fixed assets Fixed asset investments Current assets Creditors due within one year Creditors due in more than one year 5,762,226 258,8 2,068,452 17.271,97ei 13,973,982) 5,762,226 258,896 4,291,071 17,271,976) 13,973,982) 1,885,018 337,601 Total 13.156,384) 1,885,018 337,601 {933,7651 Analys18 of net assets between funds - prlor year As restated Unrestricted ftjnds 2024 As reslaled Total funds 2024 Reslricled Endovmienl nds funds 2024 2024 Tangible fix assets Fixed asset investments Current assets Creditors due within one year CredTtors due in more than ono yfjar 5,781.442 258,896 1.044,726 16,224,524) 14,035,520) 5,781,442 258,896 3.215,044 16.224,524) 14,035.5201 1,832,717 337,601 Total As restated 13, 174,9801 1,832,717 337.601 11,004,662) Page41
DURHAM CATHEORAL SCHOOLS FOUNDATION {A company limited by guarnntèèl NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 24. R•¢onciliation of net movement in funds to net cash flow from operating activities Group Group As restated 2025 2024 Net incomelexpenditure for the year las per S181emenl of Financial ActThiities1 70,897 1365,4351 Adjustments for: Depreciation charges Gainslllosses) on investments Dividends, interests and rents from investments Loss on the sale of fixed assets Decreasellincreasel in stocks Decreasejlincreasel in debtors Increase in creditors Income allribulable lo endowment 304,126 311,393 162.1541 113.2001 114,400) 3,513 5,830 455,908 1,068,754 11,8031 1132,2221 1.221,810 15,5601 Not cash provldod by operatlng actlvltlos 1,894,628 952,829 25. And115 of cash and cash equ5valents Group 2025 Group 2024 Cash in hand Cash at bank 1.460 3,218,384 783 1.681,296 Total cash and cash equlvalgnts 3,219.844 1.682,079 Page 42
DURHAM CATHEDRAL SCHOOLS FOUNDATION {A company IlmSted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 Analysls of changes in net debt A11 September 2024 Cash flows At 31 Au9USt 2025 Cash at bank and in hand Debt due within 1 year Debt due after 1 year Finance leases 1,682.079 {87,8011 {3,975,3511 (82,921 } 1,537,765 3.219,844 21,614 186,1871 44,573 {3,930,7781 16,653 {66.2681 12,463,994) 1,620,605 1843,3891 27. Contingent liabilitles Properties transferred frtyn the Dean and Chapter of Durharn. On 1 January 1995 the properties ofthe Schod as part of the Dean and Chapter of Durt)am were transferred lo the charitable company on a variety of freehold, long and short leasehold agreements. The agreements provide that in the event of the sale of certain of the properties leased by the charitable company, 8 proportion of the proceeds generated are due lo the Dean and Chapter of Durham as Landlords. The total contingent liability would amount lo £4.365,00012024.. £4,385,C4JOI based on valuations of market values of propety of £7.275,000 al 27 FebNary 2024. 28. Penslon commltments Define(I Contribution Scheme The group operates a defined contribution pension schemes for academic and non-academic staff The assets of the schemes are held separately from those of the group in an independenlly administered fvnd. Defined Benefit Schemes Some of the group's employees are members of the Teachers, Pension Scheme (England & Wales). This is a multi*mployer defined benefit scheme for which the assets and liabilities attributable lo the group ean not be identrfied and is treated as a defined contribution scheme under FRS 102. Group contributions charged to 811 of the group's schemes during the year amount lo £1,328,95212024_' £1,125,986). As al 31 August 2025 contributions of £168,747 were payabk to the 8chemes12024.' £nill and are inciuded wrthin other creditors. Teacher's Pension Scheme The Teachers, Pension Scheme ITPSI is a statutory. contributory, defined benefit scheme, govemed by the Teachers, Pension Scheme Regulations 2014. Membership is automatic for full-time teachers in academies. All teachers havè the option to opt-out of the Trs following enrolmenl. The TPS is an unfunded scheme to whh both the member and employer makes conlribulions, as a percentage of salary- these contributions a creililed to the Exehequer. Ret1ment and other pension benefrts are paKI by public funds providerj by Parliament. Page 43
DURHAM CATHEDRAL SCHOOLS FOUNDATION IA company Ilmlted by guarantgel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 28. P•nsion commitments leontinuedl Valuation of the Teacherfs Pension Scheme The Government Actuary, using normal actuarial principles, conducts a formal actuarial vieW of the TPS in ac¢ordan¢e wrth the Publ SeNice Pensions (Valuations and Employef Cost Capl Directions 2014 lamendedl published by HM Treasury gvery 4 years. The aim of the review is lo ensure scheme eosls are recognised and managed appropriately and the review specifies the level of future onlributions. Actuarial schgrne valuations are dependent on assumptions about the value of future costs, design of benefrts and many other factors. The lalesl actuarial valuation ofthe TPS was carried out as al 31 March 2020. The Valuation pOrt was published by the Department for Education on 27 October 2023, WTth the SCAPE rate, set by HMT, applwng a notional investment return based on 1.70A above the rate of CPI. The key dements of the valuation outcome are.. employer contribution Tate$ sel at 28.68°h of pensionable pay {including a 0.08Vo employer adminislralion charge). This is an increase of So in employer contributions and the eost control. lolal scheme liabilities (pensions currently in paymenl anol the eslimaled cost of future benefrtsl for Se lo the effective date of £262.000 million, and notional assets leslimated future conlTibulions logelhor wth the notional investments held al the valuation dale) of £222,200 million giving a notional past Serv deficit of £39,800 million. The nexl valuation resutt is due to be implemented from 1 April 2028. A copy of the valuation report and supporting documentslion is on the Teachers, Pen&ons website. Under the defin(tion$ sel out in FRS 102, the TPS is an unfunded multi*mployer pension scheme. The chartsble eompany is unable lo entIfy its shafft of the undedwng assets and liabilities of the plan. According, the charitable company has taken advantage of the exemption in FRS 102 and has accounted for its contributions lo the scheme as if il were a defined contribution scheme. The charrtable company has sel out above the infomialion available on the scheme. Operatingloaso commltments Al 31 August 2025 the Group and the Charitable Company had eommrfcmenls to make future minimum lease payments under non-cancellable operating leases as follow$'. Charftsble Company 2025 Charitab Company 2024 Group 2025 Group 2024 Not later than 1 year Later than 1 year and not later than 5 yèars Later than 5 years 359,685 1,317,220 3,217.554 375,949 1,344,670 3,540.888 359,685 1.317,220 3,217,554 375.949 1,344.670 3,540.888 4,894,459 5,261.507 4,894,459 5,261.507 Page 44
DURHAM CATHEDPAL SCHOOLS FOUNDATION IA company Ilmited by guarantsg) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 Members. Ilability The charitable company is incorporated under the Companies Act and does not have a Share Caprtal and is Limi(ed be Guarantee. Each member of the charitable company undertakes to ¢onlribule lo the assets of the company in the event of it being wound up while they are a member, or within one year after they aSe to be a member, such amount as may be required, not exceeding £1 for the debts and liabilities contracted before they ceased to be a member. 31. Relatod party transadions The group has taken advantsge of exemption, under the terms of Finan¢ial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ir@land', not lo disel¢se related party transactions wrth wholly owned subsidiaries wrthin the group. Transactions with associated charrtable eom anies.. During the year, the group was charged £nil12024.' £11,700) to cover secretarial and administration costs and received 5eholatships on behalf of pupils tolalling £6,00012024'. £25,000) from The Burkrtt Scholarship Fund, which is a separately administered charitable company, in whieh thè previous Headmaster, K McLaughlin, was a Trustee. As at 31 August 2025 the balance owed by the Burkrtt SchoLarship Fund was £32,94912024.. £31.1991. Transartions with com anies where a non-controllin Interest is held.. During the year, dividend Income of £14,400 12024.. £13,2001 was received from Durham Markets Company Limited. During the yeartolal inc(*me of £261,272 was received from the joint V8nturg Durham Infinity International Schools Limited. Transactions wlh Trustees During the year donations were iecieved from trustee5 of £nil12024.. £400}. Page 45