2020-08-31-accounts - The Grammar School At Leeds

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Company Registration No.: 03075826 Registered Charity No.: 1048304

THE GRAMMAR SCHOOL AT LEEDS

A Company Limited by Guarantee

Report and Financial Statements

31 August 2020

THE GRAMMAR SCHOOL AT LEEDS REPORT AND FINANCIAL STATEMENTS 2020

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||||||||| |---|---|---|---|---|---|---|---| |CONTENTS|Page| |Governors|and|charity|trustees,|officers|and|advisers|1| |Governors’|report|4| |Reference|and|administrative|information|4| |Structure,|governance|and|management|4| |Risk|management|5| |Objects,|aims,|objectives|and|activities|7| |Review|of achievements and|performance|for the|year|10| |Financial|review and|results for the year|13| |Consolidated|statement|of financial|activities|17| |Consolidated|cash|flow statement|19| |Notes|to|the|financial|statements|20| |Consolidated|statement|of financial|activities|34| |Schedule|of charitable|donations|paid|36|

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THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020

GOVERNORS AND CHARITY TRUSTEES, OFFICERS AND ADVISERS

GOVERNORS AND CHARITY TRUSTEES

The Governors are the charity Trustees and company directors of The Grammar School at Leeds (the charity). The Board is a self-appointing body and the Governors, who have served in office during the year and subsequently, are shown below. Changes from last year are indicated in italics.

		Committees served as at 31/08/20
Name ofGovernor	Dateof appointment	Q < So es a @ a\ e cs\ > @ 2. 3 S s	86 mS 3 B
MrsEEBailey 10November1995 SirStephenBrown 23 September2013 12December2012_ MrMR Curle 28September2018 ProfAHarrisonMoore	30November2017PX		Px
MriMJones DrALKhan	13December2006 140ctober2010 28November2018
MrsCLyons (Joint Vice Chair,	01September2016	Xx X	November
______ MrAMMartin(Chair)	12November2014 MrsJSemple O1September2017 MrsCVilarrubi 18January2018 MrMWaldron 24September2019 Mr TJWalsh 23 September2014		Px fofff x
Mr JWoodward (Joint		, ,
__

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THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020

GOVERNORS AND CHARITY TRUSTEES, OFFICERS AND ADVISERS

OFFICERS

Principal S Woodroofe Clerk to the Governors E Carruthers Company Secretary and Director of Finance S Kingston and Operations

KEY MANAGEMENT PERSONNEL

The GSAL Leadership Team as at 31 August 2020

Sue Woodroofe , BA (Hons), MEd, NPQH Principal Helen Clapham, BA (Hons), CIM, Pg Dip Director of External Relations Mark Cramoysan, BSc (Hons), D Phil Deputy Head (Data and Systems) Debbie Danks, BA (Hons), D Phil Senior Deputy Head (Academic) Chris Freeman, MA (Hons) Deputy Head (Pastoral & Co-Curricular) Stephen Kingston, BA (Hons), FCA Director of Finance and Operations Graham Purves, MPhys, D Phil Vice Principal and Head of Senior School Paul Rushworth, BA (Hons), MEd Director of Sixth Form Gabrielle Solti, BA (Hons), NPQH Vice Principal and Head of Primary School Helen Stansfield, BEd (Hons) Senior Deputy Head (Pastoral) Gill Wetherill, MCIPD, MCMI Head of Human Resources

ADDRESSES AND CONTACT DETAILS

The Grammar School at Leeds

Senior and Junior Schools Alwoodley Gates Harrogate Road Leeds LS17 8GS 0113 229 1552 enquiries@gsal.org.uk

www.gsal.org.uk

THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020

GOVERNORS AND CHARITY TRUSTEES, OFFICERS AND ADVISERS

ADVISERS

INVESTMENT MANAGERS

CCLA Investment Management Limited 80 Cheapside London EC2V 6DZ

INSURANCE BROKERS

Bartlett and Company Limited Broadway Hall Horsforth Leeds LS18 4RS

BANKERS

Royal Bank of Scotland Group PO Box No 154 8 Park Row Leeds LS1 1QS

INDEPENDENT AUDITOR

Saffery Champness LLP Mitre House North Park Road Harrogate HG1 5RX United Kingdom

SOLICITORS

Lupton Fawcett LLP Yorkshire House East Parade Leeds LS1 5BD

Wrigleys Solicitors LLP 19 Cookridge Street Leeds LS2 3AG

Walker Morris LLP Kings Court 12 King Street Leeds LS1 2HL

CMS Cameron McKenna LLP Cannon Place 28 Cannon Street London ECA4N 6AF

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THE GRAMMAR SCHOOL AT LEEDS / ANNUAL REPORT AND FINANCIAL STATEMENTS 2020

GOVERNORS’ REPORT (INCLUDING THE STRATEGIC REPORT)

The Governors of The Grammar School at Leeds (GSAL) present their annual report (including the Strategic Report) for the year ended 31 August 2020 under the Charities Act 2011, together with the audited financial statements for the year, and confirm that the latter comply with the requirements of the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and the Statement of Recommended Practice “Accounting and Reporting by Charities (SORP 2015)” applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) effective 1 January 2015.

REFERENCE AND ADMINISTRATIVE INFORMATION

The charity was formed as a company limited by guarantee on 4 July 1995 (registration number 03075826) and is registered with the Charity Commission, (registration number 1048304).

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Document

The charity is governed by the Articles of Association of The Grammar School at Leeds, which were adopted by special resolution dated 15" June 2005.

Governing Body

The Governing Body, as detailed on page 1, acts as the sole Governing Body for all sections of school, i.e. Primary and Senior.

Recruitment and training of Governors

The Corporate Governance Committee has carefully defined the job description and person specification for a Governor of The Grammar School at Leeds and has appraised the existing structure of the Governing Board. Its aim is to recruit responsible people who are actively interested in our charity and who can give the necessary time commitment. We look over a wide range for a person with the specific expertise required to maintain a balanced, diverse and effective Board in accordance with our governing documents.

An induction procedure is in place for new Governors when appointed. All Governors are made aware of training opportunities available to them.

Governors’ engagement with suppliers, parents and other stakeholders

Where appropriate the Governors’ will consult with professionals to assist with decision making and help consider the likely consequences of the decision in the long term. The interests of all key stakeholders including the GSAL’s employees, suppliers, parents and the wider community are considered as part of the decision-making process. The GSAL actively engages with key stakeholders through employee, parent and supplier feedback.

Organisational management

The Governors, as the charity’s trustees, are legally responsible for the overall management and control of the school and met 6 times in the year. There are a number of sub-committees which meet on a regular basis and report back to the main Governing Body, as detailed below. Membership of these bodies is noted in the details on page 1.

		Number of
Committee	CommitteeChair	meetings inyear	Executive officers attending /secretary
Audit and Risk	MrJ Cross	3	Principal
			Director ofFinance& Operations
			Clerk to the Governors
Education	MrsDKenny	3	Principal Vice Principal.& HeadofSeniorSchool
			Vice Principal & Head ofPrimary School
			Clerk to the Governors
External Relations	MrsC Lyons	4	Principal
			DirectorofExternal Relations
			Clerk to the Governors
Business andManagement	MrAMMartin	9	Principal
			Vice Principal&Head ofSenior School
			Vice Principal&HeadofPrimary School
			DirectorofFinance& Operations
			Clerk to the Governors
Corporate Governance	Mrs E E Bailey	3	Principal
			ClerktotheGovernors

THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020 GOVERNORS’ REPORT (INCLUDING THE STRATEGIC REPORT)

The day-to-day running of the school is delegated to the Principal supported by the GSAL Senior Leadership Team. The Principal, Vice Principal & Head of Senior School, Vice Principal & Head of Primary School and the Director of Finance & Operations attend meetings of the Governing Body in addition to attendance at sub-committees as outlined above.

Group Structure and Relationships

The charity has two wholly owned non-charitable trading subsidiaries, GSAL Enterprises Limited and GSAL Transport Limited whose annual profits are donated to the charity under the Gift Aid Scheme.

The trading activities of GSAL Enterprises Limited relate to revenue from letting of the school campus facilities when not in use by the charity.

Those of GSAL Transport Limited relate largely to the provision of transport services to the charity with some additional revenue generated through providing transport services to third parties, primarily local state schools. This company was created in August 2015 to address operational issues that the charity was experiencing in the provision of before and after school transport for its pupils and thus removea significant element of external risk.

Both subsidiaries are incorporated in England and Wales. The financial results of both GSAL Enterprises Limited and GSAL Transport Limited are included in the consolidated financial statements.

Whilst not qualifying as related parties, Leeds Girls High School & Leeds Grammar School Foundation, the Morley House Trust and LGS General Charitable Trust share similar charitable objectives that support the School in meeting its own objectives, including provision of bursary funding for pupils and provision of buildings facilities for the education of children.

STRATEGIC REPORT

RISK MANAGEMENT

Principal risks and going concern for the charity and group

The principal ongoing financial risks facing the charity are adherence to sole and aggregated banking covenants and the guarantees given by the charity in respect of the LGS General Charitable Trust’s (the Trust) borrowings. In addition, the Covid-19 pandemic presents a further risk in the current circumstances.

a) Adherence to banking covenants

The principal covenant for the charity itself relates to pupil numbers and the impact that inadequate pupil recruitment and retention has on the charity’s ability to meet the covenant. Pupil numbers are monitored closely throughout the year, including the mix of pupils between school sections, forecasts of future numbers and analysis of demographic trends in the local population. The charity actively markets the school to. new pupils in order to generate interest and potential applications, and has procedures in place to address individual pupil retention issues as and when they arise.

Additionally, the charity and the Trust are required to meet a cash flow covenant on an aggregated basis. This risk is addressed through the preparation of detailed budgets and aggregated financial forecasts and sensitivity analyses, which are closely monitored against actual performance to ensure that acceptable levels of cash are generated on an aggregated basis to enable the cash flow covenant to be met.

b) Bank Guarantees

The charity provides guarantees to the Bank as disclosed in note 19 to the financial statements. After making enquiries of the trustees of the Trust, the Governors have a reasonable expectation that the Trust will have adequate resources to make the required capital and interest repayments to its bankers as and when they fall due.

c) Covid-19 pandemic

The Covid-19 pandemic resulted in the closure of the school for a period in 2019-20 and continues to provide operational challenges in 2020-21. Risks relating to Covid-19 persist either directly, through further partial or full closures of the school, or indirectly, through the future impact on the wider economy, and could result in consequences for fee income, pupil numbers and costs.

The charity has conducted a thorough financial review, including the production of detailed medium and long term forecasts with associated sensitivity analysis, and has concluded that sufficient headroom exists in cash and reserves for the going concern basis to be appropriate.

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| THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020

GOVERNORS’ REPORT (INCLUDING THE STRATEGIC REPORT)

After consideration of the charity’s own risks, and having received confirmation from the Trust that they are able to meet their financial obligations, the Governors believe that the charity is well placed to operate successfully in the future and that the banking covenants will be met. Accordingly, the Governors have determined that the financial statements should be prepared on a going concern basis.

Management of risk

The Board of Governors is responsible for the management of the risks faced by GSAL. An on-going process has been established for identifying, evaluating and managing risks, streamed into educational, financial, external relations and governance risk areas.

The Board of Governors, supported by the Audit and Risk Committee, has identified and prioritised the key strategic and operational risks, and approved the process for dealing with these risks.

Detailed consideration and management of each risk area is delegated to the Audit and Risk Committee, which meets termly and consists of four Governors and key members of the Executive Leadership Team. The Audit and Risk Committee reports to every meeting of the Governing Board.

The key controls used by the charity include:

e Formal written policies covering all aspects of school operations including keeping children safe in education, health and safety, staff recruitment and financial procedures, including bribery and corruption.
e Comprehensive strategic planning, revenue and capital budgeting, cash flow and management accounting, reporting and monitoring.
e Detailed tracking of pupil number movements weekly as well as annual recruitment forecasts. e Annual review of key objectives in the Strategic Development Plan, including the results of pupils in public examinations.
e Termly review of strategic and operational risks including cyber threats. e Compliance with statutory requirements and external guidelines as appropriate. e Formal agendas and minutes for all Committee and Board activity.
e Clearly defined organisational responsibilities and limits of authority. e Clear authorisation and approval levels.

Through the above risk management procedures the Governors are satisfied that the major risks identified have been adequately mitigated where necessary. It is recognised that systems can only provide reasonable but not absolute assurance that major risks have been adequately managed.

Employment and employee engagement

GSAL actively invites opinion, and endeavours to understand the issues important to employees to ensure they have a voice which is heard and respected. GSAL is committed to establishing collaborative and constructive employment relationships with its staff, to enable both parties to achieve common objectives relating to the efficiency and prosperity of GSAL. The School believes in the value of representation for its staff, in a culture of fairness, openness and equality. In order to implement these principles, GSAL as an employer has entered into a formal agreement with the staff to meet with staff representatives on a regular basis via the Staff Consultative Forum to discuss workplace issues.

Diversity

GSAL’s commitment to promoting equality and valuing diversity is outlined in its Equality and Diversity policy within the Staff Employment Manual. The policy describes how GSAL will comply with race relations legislation, the Sex Discrimination Act 1975, the Equality Act 2010 and the Disability Discrimination Act 1995.

Remuneration

Remuneration is set annually by the Board taking into account national pay body settlements and the. broader issues of pay and employment conditions within the independent sector and the local market. Remuneration of the Senior Leadership Team is reviewed by the Business & Management committee annually, and recommendations made to the main Board.

THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020 GOVERNORS’ REPORT (INCLUDING THE STRATEGIC REPORT)

Disabled employees

Applications for employment by disabled persons are always fully considered, bearing in mind the abilities of the applicant concerned. In the event of members of staff becoming disabled every effort is made to ensure that their employment with the group continues and that appropriate training is arranged. It is the policy of the charity that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

OBJECTS, AIMS, OBJECTIVES AND ACTIVITIES

Charitable objects

The objects of the charity are the advancement of education and training for boys and girls.

Public benefit aims and intended impact

As a registered charity, the Governors of GSAL aim to ensure that our activities in support of this charitable aim are of benefit to the public, and have given careful consideration to the Charity Commission’s general guidance on public benefit and in particular to its supplementary public benefit guidance on advancing education and on fee charging.

In meeting the above objects, the school’s public benefit aim is to provide pupils with a friendly and caring learning community in which their abilities and talents are developed by superb teachers. We aim to produce confident and versatile young people, capable of high achievement, rising to any challenge, and having a positive contribution to make to the wider community.

Our pastoral system — widely regarded as a model of excellence and recognised as such by Independent Schools Inspectorate (ISI) inspection — promotes and rewards good social skills and consideration for others. As a result, friendships formed at GSAL often endure for many years and unite nationalities and cultures.

Bursarial support is offered to assist pupils who may otherwise have been unable to attend GSAL on the grounds of financial cost. The extent of these bursaries is detailed further in the review of achievements and performance for the year.

GSAL encourages pupils to consider their place in the wider community, to develop a strong sense of social responsibility, and to support those less fortunate than themselves. This is achieved through many avenues, with pupils voluntarily taking part in charity and community projects, as well as making contributions to our weekly charity collection and organising fundraising events throughout the year including competitions, concerts, food sales, fun runs, carol singing, coffee mornings and non-uniform days to benefit local, national and global charities,

A wide range of community groups benefit from our provision of sports, meetings and event facilities. For some - charities, fundraisers and those offering activities which benefit children - use of the school’s facilities and/or equipment is free or substantially discounted.

Partnerships with local schools and organisations

The school takes its civic role very seriously, and works hard to ensure that it serves a community well beyond its school gates. The school delivers an extensive primary and secondary school outreach programme and it also works in partnership with a number of organisations which share its objectives and values. The aim of these projects are to provide high quality activities which enrich the lives of our community, with the aim of helping Leeds be the best city in the UK for children and young people.

Our partners include:

e Iikley Literature and Milim Literature Festivals to increase access to leading literature festivals.
° Leeds City Museum to provide free family fun days during the school holidays.
e Otley Science Festival to inspire children about the wonders of science.
e Leeds Catholic Schools’ Partnership and the White Rose Academy chain to raise aspirations. and provide opportunities for young people.
e A joint Combined Cadet Force with Bishop Young Community Academy. e White Rose and Yorkshire Schools’ Teaching Alliances to support teacher training and development. e LEAP (Leeds Enterprise and Advisory Programme) to develop students enterprise skills.
e Kamuzu Academy, Malawi whereby we collaborate on a range of projects.

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THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020 GOVERNORS’ REPORT (INCLUDING THE STRATEGIC REPORT)

These partnerships and our school outreach programme enable the school to deliver activities to over 2,000 children and young people a year drawn from across Leeds, West.and North Yorkshire take part in high quality cross-curricular activities. Events include maths and science workshops, arts performances and access to our higher education and careers support. One of our outreach projects saw its first graduate secure a place at Cambridge University to study history. We have also established a Young Scholars Network to raise aspirations and help to build the ‘cultural capital’ of over 100 year 10 gifted and talented pupils who are in receipt of free school meals. We also provide specific support and assistance through our student volunteers.

Our facilities are available for use by community groups, charities, educational organisations and businesses. Recent activities have included a summer sports camp for a local senior school to help prepare their students prepare for returning to school following the lockdown, guest lectures delivered by Zoom open to the public and a collection of unbranded school uniform which was distributed to children across the city. This year also saw the formal opening of our 3G pitch by Eddie Jones the England Rugby Coach who ran a training session for the junior sections of local rugby clubs.

We are also active supporters of Leeds Community Foundation, Child Friendly Leeds, West and North Yorkshire Chamber of Commerce, who like the school are committed to ensuring that Leeds is a an economically successful and compassionate city.

Due to the COVID-19 pandemic our art & design technology (ADT) department produced thousands of pieces ofPPE which were distributed to hospitals, doctor surgeries and nursing homes across the country.

Principal activities of the year

The principal activity has been to continue to provide a high quality education for boys and girls. The school consists of three sections; Primary School (age 3-11), Senior School (age 11-16) and Sixth Form (age 16-18).

GSAL prides itself on being the “best of both”; offering the best of both single-sex and co-educational environments under the diamond model. We also offer the best of both through our sharp focus on academic success, being mirrored in our staff's devotion to providing a co-curricular programme that is second to none. These aspects are both underpinned by our pastoral care system that ensures every pupil is nurtured and supported throughout their GSAL journey to reach their full potential.

Review of progress in the year against the whole school development plan

Our operational objectives are set to reflect our charitable purpose, our educational mission, and our ethos. 2019-20 saw the commencement of the first year of our new three-year whole schoo! development plan. The forthcoming academic year aims to build on the results achieved this year.

Key achievements from the 2019-2022 whole school development plan

e Mission and vision; progress has continued to be made against our aim of providing the most inspiring and successful educational experience. The relocation of Rose Court to the Alwoodley Gates site has created an age 3-18 all through school on one campus. We received the highest possible rating of ‘excellent’ following a full inspection by the Independent Schools Inspectorate (ISI) in November and we were also named the Sunday Times North Independent School of the Year for 2020 in the same week.
¢ Teaching and learning; with the new age 3 — 11 years Primary School on one site, the curriculum was completely redesigned to ensure a coherent development of skills and knowledge through the primary phase and provide greater opportunities to develop higher order thinking and questioning. With the final roll-out of 1-1 devices in Senior School, further developments to enhance the use of technology were introduced (which proved essential when lockdown struck).
e Pastoral and co-curricular; the school successfully rolled out its new pastoral approaches to students based on the concept of THINK (when you want to say or do something, is. it True, Helpful, Inspiring, Necessary, Kind). The Student Support Services area and use of school counsellors continued to develop and provided a huge resource to parents and pupils, with an additional nurse appointed to further improve the coverage on site and at weekends. Although the co-curricular programme was disrupted by COVID-19, work has continued on developing the range and breadth of activities and opportunities, helped by a new structure in the Music department and the new 3G pitch for sport.
e Staff; the Executive Leadership Team has been embedded with the two new Vice Principals having started in September 2019 whilst the Primary School has been restructured following the relocation of Rose Court. The staffing structure in Primary School has been completely redesigned, including a new Senior

THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020

GOVERNORS’ REPORT (NCLUDING THE STRATEGIC REPORT)

Leadership Team. Our staff wellbeing and professional development initiatives have continued to progress during the year.
e School culture and external relations; initial scoping work has taken place to review and streamline both internal and external communications. Significant progress has been made on recruitment and retention of pupils, driven partly by the quality of our new Primary School and our single site offer, together with the strength of our online teaching provision.
e Capital investments, operational resources and investments; we successfully relocated Rose Court to the Alwoodley Gates site, completing all of the required redevelopment work as planned in time for the start of the 2020-21 academic year. The challenges of COVID-19 cut short some excellent progress on the green agenda and, beyond that, necessitated continual updates to our financial and operational scenario planning. Progress continued to be made with our IT systems and infrastructure during the year.

Objectives for the coming year

The key objectives from the 2019-22 development plan for 2020-21 are summarised below:

Mission & Vision

e Uphold the aims of the school’s strategic review, ethos and values, providing the most inspiring and successful educational experience.

Teaching & Learning

e To ensure that assessment and monitoring is used coherently, clearly and consistently across the school to inform and improve teaching & learning and enable staff, students and parents to better measure and monitor student progress.
e To review 6" form structure and provision to maximise quality and appeal of the GSAL offer. © To develop anew, whole school approach to sport and wellbeing.

Pastoral & Co-Curricular

e To continue to develop pastoral focus, including safeguarding training and best practice, the wellbeing agenda, counselling service, support for children as individuals.
° Pupil voice: to make best use of student leadership and representatives across the school to ensure effective, on-going dialogue and feedback to make a positive change for students.
e To ensure that GSAL is a kind and respectful school from age 3-18 with the highest standards of behaviour and care for all, evident at all times.

Staff

e Tocontinue to develop the programme for staff wellbeing so that GSAL is known to be a positive and edifying environment to work and grow professionally. To build a sense of team that sees staff as a part of the whole, support and teaching staff working together and equally valued.
e To maintain strong and positive staff morale and sense of belonging through turbulent times from external threats facing the sector, e.g. cost of Teachers’ Pension Scheme, review of Business Rates and other political pressures with budgetary implications.

School Culture & External Relations

® To promote the development strategy to include improved alumni relations and increased fundraising capacity to meet objectives of strategic review.
e To improve recruitment and retention of pupils. ° To streamline and improve parent communications via a parent app.

Capital Investments, Operational Systems and Resources

e To improve the healthy eating options in school for staff and pupil wellbeing.

THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020 GOVERNORS’ REPORT (INCLUDING THE STRATEGIC REPORT)

e To develop GSAL into a green school, ensuring the resources available to us are used in.a socially responsible manner.

Grant-making policy

While authority to provide additional funds to support bursaries rests with the Governing Body, the discretionary distribution of those funds rests with the Principal in accordance with agreed criteria and procedures.

All applicants are assessed according to means and bursary provision awarded according to a common means-tested scale.

REVIEW OF ACHIEVEMENTS AND PERFORMANCE FOR THE YEAR

Section 172(1) statement

The Governors recognise the importance of their governance structure in supporting the operational performance and long term success and sustainability of the school. Details of the training and governance structure are included within section ‘structure, governance and management’, the details of which can be found on page 4, and details of how the school engages with other key stakeholders is included within the relevant section of the Governors’ Report.

Operational performance

The academic year 2019-20 was a challenging year, which included many successes, but one which was ultimately overshadowed by the COVID-19 pandemic.

COVID-19 pandemic

In line with Government policy, the school closed on 20 March 2020 to all pupils with the exception of key worker children. GSAL responded by switching to remote learning to enable pupils to continue their education virtually, with timetabled lessons via video link, bespoke video content, remote work setting and marking and scheduled form times to provide pastoral as well as academic support. The provision was especially strong in the senior school where all pupils are provided with a 1-2-1 laptop as standard.

As of 1 June 2020, GSAL welcomed back Nursery, Reception, Year 1 and Year 6 in line with government advice for : the remainder of the summer term whilst Year 10 and Year 12 were invited to attend a proportion of lessons in person | from 15 June 2020.

In addition to this, the school also provided holiday childcare provision free of charge for key worker children during the Easter and half term breaks and significantly contributed to the cost of provision over the summer holidays.

COVID-19 has presented significant operational challenges during the year. This has included running a physical school for key worker children and restricted year groups whilst simultaneously running a virtual school for all other pupils along with having to implement the additional health and safety measures required to keep our staff and pupils safe. All of these factors have had a significant financial impact on the year, which is covered in the financial review and results for the year section.

We recognise that this has been a very difficult and testing time for our parents and we are extremely grateful for the support that they have continued to show the school.

Sale of Rose Court

The Rose Court site, which accommodated our children from nursery to year 2, was sold to Leeds City Council on 20 July 2020. It will be retained for educational purposes in the city, providing much needed additional places for children with special educational needs from 2021, which is particularly pleasing as it is in line with our stated objectives.

The sale proceeds have been reinvested in the Alwoodley Gates site, which has been redeveloped to accommodate the additional children from Rose Court. This included the creation of a newly refurbished and expanded state of the art primary school. Despite the challenges of COVID-19, all works were completed in time for the start of the 2020-21 academic year. GSAL is now an all through school located on a single site, achieving one of our key strategic objectives.

Inspection and awards

Following a full inspection by the Independent Schools Inspectorate (ISI) in November 2019, GSAL received the highest possible rating of ‘excellent’. The full inspection, covering compliance and educational quality, assesses every

THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020 GOVERNORS’ REPORT (INCLUDING THE STRATEGIC REPORT)

aspect of the school from nursery through to sixth form. The report highlighted the pupils’ exceptional personal development, behaviour and positive attitude, as well as their academic and co-curricular attainment.

In addition to this, GSAL was named The Sunday Times North Independent Secondary School of the Year, where it was described as “an outstanding school that serves the children of Leeds and the surrounding area well, offering myriad opportunities to succeed, learn and acquire skills that will benefit them throughout life”.

Exam performance

Although awarded under different circumstances this year, exam results still reflect the efforts of our hardworking pupils and dedicated staff. Out of an A-Level student cohort of 170, 90% of grades achieved were A* to B. 92% of students progressed to higher education and 76% of students achieved places at Russell Group universities with nine students obtaining Oxbridge places. 12 students secured places on highly selective courses for medicine, dentistry or veterinary sciences.

From a cohort of 198 GCSE students, 56% of students achieved grades of 7 (formerly grade A) or above in every subject, including eight who secured the highest possible grade in every subject. Individually, in 2020, 54% of the GCSE grades were at an 8 or above, more than three times the national average.

Co-curricular, sporting and academic achievements

Despite opportunities being reduced by COVID-19, 2019-20 still saw another year of individual and team successes across many areas, both within and outside GSAL. Highlights included:

e The GSAL netballers won recognition at the Leeds Sports Awards; following their success at the inaugural World Schools Netball Cup last June, the teams were shortlisted in the School Sport category of the Leeds Sports Awards, and were thrilled to be named award winners at a glittering awards ceremony in the First Direct Arena.
e Language students have shown winning ways in three competitions during the year. A Year 13 pupil won a translation competition run by Manchester Metropolitan University’s Languages, Linguistics and ESOL department, competing against Spanish A-level students from over 20. other schools around the UK. The same pupil earned a bronze certificate at the Linguistics Olympiad (Advanced Level) with a fellow Year 13 pupil achieving silver. A third Year 13 pupil was awarded a Juvenes Translatores special mention diploma, in a year in which only 271 out of the 3,116 participants were recognised for the quality of their translations.
e A student-led fundraiser raised over £5,000 for the relief of people affected by the earthquake in Kashmir last. September. Concerned at the plight of thousands in the disaster-hit region, the school’s Muslim faith leaders decided to organise a fun family event, with all proceeds in aid of the charity Penny Appeal.
e A Year 12 pupil spent money awarded through the prestigious Arkwright Engineering Scholarship on a 3D printer to enable production of personal protective equipment (PPE) for frontline NHS workers to use throughout the pandemic.

Co-curricular, sporting and academic achievements are celebrated regularly within school and at the annual speech days and prize giving ceremonies. Further details can be obtained from the school’s website www.gsal.org.uk and in the GSAL Life and Memento publications.

Bursary support

During the year, we provided some form of financial assistance to 303 pupils amounting to £1,799k, equivalent to 7.0% of fees receivable (see note 14). Of this, 117 means-tested fee bursaries, at an average value of 79% ofthe senior school fee, were awarded totalling £1,365k, analysed as follows:

e 39 (33.3%) at 100% ofthe fee e 44 (37.6%) between 75% and 99% of the fee © 18 (15.4%) between 50% and 74% of the fee e 15 (12.8%) between 25% and 49%ofthe fee e 10.9%) below 25% of the fee

Of the total £1,799k of assistance, £370k of temporary financial support grants were awarded to 155 pupils and scholarships and music awards totalling £64k were awarded to 31 pupils.

Fundraising Performance

Members of GSAL’s staff and student body organise various fundraising events and co-ordinate a variety of activities both within the school and the wider community to raise funds for an array of charitable cases throughout each year,

THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020

GOVERNORS’ REPORT (INCLUDING THE STRATEGIC REPORT)

The school does not use any professional fundraisers or involve commercial participators in its fundraising efforts. GSAL is registered with the Fundraising Regulator and, as a result, has signed up to the Code of Fundraising Practice. No complaints have arisen this year with regards to the school’s fundraising activity. All marketing/advertisement of events and activities is overseen by the External Relations department to ensure that it is not unreasonably intrusive or persistent.

It is appropriate to record appreciation for many individual and corporate donations that the school has received during the year. Donations towards the bursary provision have been received from the three Leeds Grammar School and Leeds Girls’ High School Foundation Award funds (£367k in total) and an individual family donation (£45k).

Other restricted funds include weekly donations and collections from pupils (Seniors £17k; Juniors £7k; Rose Court £2k), for local and national charities, and £3k was raised through sales and fundraising events in the year for Malawi.

Over £26k was raised for charity by pupils through a wide variety of fundraising events. Details of the donations made during the year are included in the additional information section at the end of these financial statements.

STREAMLINED ENERGY AND CARBON REPORTING (SECR)

This report was undertaken in accordance with the SECR reporting requirements. This report contains details on our annual UK energy consumption across our UK business, and energy efficiency actions implemented.

UK Greenhouse gas emissions and energy use data for the period 1 September 2019 to 31 2019/20 August 2020 Energy consumption used to calculate emissions (kWh) 6,601,327 Energy consumption break down (kWh):

gas * electricity * transport fuel Scope 1 emissions in metric tonnes CO2e

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||||||| |---|---|---|---|---|---| |Gas|consumption|868| |Owned|transport ~ mini-buses|5| |Scope|2|emissions|in|metric tonnes|CO2e|

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Purchased electricity 432 Scope 3 emissions in metric tonnes CO2e Business travel in employee owned vehicles 1.44 Total gross emissions in metric tonnes CO2e 1307 Intensity ratio Tonnes CO2e per pupil 0.64

Quantification and reporting methodology

We have followed the 2019 HM Government Environmental Reporting Guidelines. We have also used the GHG Reporting Protocol — Corporate Standard and have used the 2020 UK Government's Conversion Factors for Company Reporting.

Intensity measurement

The chosen intensity measurement ratio is total gross emissions in metric tonnes CO2e per pupil, the recommended ratio for the sector.

THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020

GOVERNORS’ REPORT (INCLUDING THE STRATEGIC REPORT)

Measures taken to improve energy efficiency

During the year we have implemented a building management system (BMS) which allows us to control the temperature in areas of the school on an individual basis versus supporting a continuous temperature throughout. We have removed circa. 200 fluorescent lights and replaced them with LED fittings which consume approximately 1/3rd ofthe amount of power required to support the old fittings. Our swimming pool has undergone some plant replacement and we have undertaken a process of lagging our heating pipes to improve efficiency. The sale of Rose: Court in July 2020 means we will now operate from one single site, reducing gas and electricity usage as well as removing the need for travel between sites.

FINANCIAL REVIEW AND RESULTS FOR THE YEAR

2019-20 was an unusual year with the underlying financial performance being impacted by a combination of the sale of Rose Court and the Covid-19 pandemic.

Consolidated net income before transfers for the year was £2,205k (2019: £682k). This comprised an underlying deficit of (£795k) which was offset by the £3,000k one off receipt in respect of the sale of the Rose Court property in Headingley. The majority of this receipt was reinvested in capital and associated expenditure to redevelop of the Alwoodley Gates site in order to accommodate the relocation of the children from Nursery to. Year 2 to Alwoodley Gates.

The underlying deficit of (£795k) was materially influenced by Covid-19. Some of the key items contributing to the deficit were:

e Fee remissions provided to parents in respect of the summer term of (£1,405k) © Temporary support grants awarded to assist parents experiencing temporary financial hardship of (£370k) © Support received as a result of furloughing appropriate staff via the Government’s Coronavirus Job Retention Scheme of £925k
e Further operational cost savings being exceeded by losses to catering, transport.and facilities hire income, whilst the school was closed.

In 2019-20, the school provided additional support to parents of £1,775k through fee remissions and temporary financial support. This additional support was in excess of the cost savings generated during the school closure period and represented a significant net cost in the financial year.

In line with our charitable objectives, GSAL provided £1,799k (2019: £1,391k) of bursary, scholarship and temporary financial hardship support to parents in 2019-20, the equivalent of 7.28% of gross fee income. This included an additional contribution from the school of £985k (2019: £576k) to support restricted funds over and above the £402k (2019: £388k) transfer required by the Memorandum and Articles, representing 2% of Senior School fees.

Tn total, the school provided support to parents of £3,204k through a combination of fee remissions, bursaries, scholarships and temporary financial assistance in the academic year 2019-20.

After these. transfers total funds carried forward were £12,678k (2019: £10,473k), split between unrestricted funds £12,610k and restricted funds £68k.

Reserves policy

Notes 15 and 16 to the financial statements show movements on the unrestricted funds and the assets and liabilities attributable to the unrestricted funds respectively.

Unrestricted funds amount to £12,610k of which £4,440k is invested in fixed assets and £760k is the GSAL proceeds of the sale of Rose Court. .

£7,410k is uncommitted reserves, though this is funded through long-term debtors of £5,632k. These debts are considered to be recoverable, but do not represent liquid reserves available.to spend.

The Governors have determined that the appropriate minimum level offree revenue reserves held should be one terms’ expenditure on salaries, approximately £5.6m. Total free reserves currently exceed this level, at £7.4m (2019: £6.8m)

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THE GRAMMAR SCHOOL AT LEEDS ANNUAL REPORT AND FINANCIAL STATEMENTS 2020 GOVERNORS’ REPORT (INCLUDING THE STRATEGIC REPORT)

and thus. have met the requirement. Excess free reserves above the minimum are currently being held due to the ongoing uncertainty surrounding the Covid-19 pandemic.

Investment powers and policy

The Articles of Association allow the Governing Body to invest any part of the funds of the charity in such manner as they consider being most beneficial for the achievement of the objects of the charity. Investment income is accounted for as income when receivable and realised and unrealised investment gains are recognised in the SOFA under other recognised gains and losses.

STATEMENT OF GOVERNORS’ RESPONSIBILITIES

The Governors (who are also the trustees and directors of The Grammar School at Leeds for the purposes of charity and company law) are responsible for preparing the Governors’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Governors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period. In preparing these financial statements, the Governors are required to:

° select suitable accounting policies and then apply them consistently;
e observe the methods and principles in the Charities SORP (FRS 102);
° make judgements and estimates that are reasonable and prudent;
° state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
° prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.

The Governors are responsible for keeping proper accounting records that 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 charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the Governors are aware:

e there is no relevant audit information of which the charitable company’s auditor is unaware; and
® the Governors have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information.

The Governors are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the reparation and dissemination of financial statements may differ from legislation in other[jurisdictions.]

AUDITOR Saffery Champness LLP has expressed their willingness to continue in office as auditor and their reappointment will be considered at the forthcoming Annual General Meeting. The Governors’ Report, including the Strategic Report, is approved by the Governing Body and signed on behalf of the Board. _——

M Martin ee LY Chairman. x

26 November 2020

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE GRAMMAR SCHOOL AT LEEDS

Opinion

We have audited the financial statements of The Grammar School at Leeds for the year ended 31 August 2020 which comprise the consolidated statement of financial activities (incorporating income and expenditure account), the consolidated balance sheet, the charity balance sheet, the consolidated cash flow statement and notes to the financial statements, 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 Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and Republic of Jreland (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements:

° give a true and fair view of the state of the affairs of the group and the parent charitable company as at 31 August 2020 and of the group’s incoming resources and application of resources, including its income and expenditure, for the year then ended;
° have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and ° have been prepared in accordance with the requirements of the Companies Act 2006.

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 group and the parent charitable company 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

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

e the Governors’ use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or

° the Governors have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the group’s or the parent charitable company’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.

Other information

The Governors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. 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.

Other matters prescribed by the Companies Act 2006

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

° the information given in the Governors’ Annual Report which includes the Directors’ Report and the Strategic Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
° the Governors’ Annual Report which includes the Directors’ Report and the Strategic Report has been prepared in accordance with applicable legal requirements.

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INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE GRAMMAR SCHOOL AT LEEDS

Matters on which we are required to report by exception

In the light of the knowledge and understanding ofthe group and the parent charitable company and its environment obtained in the course ofthe audit, we have not identified material misstatements in the Governors’ Annual Report and Strategic Report.

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

° the group or parent charitable company has not kept adequate and sufficient accounting records, or returns adequate for our audit have not been received from branches not visited by us; or
° the parent charitable company financial statements are not in agreement with the accounting records and returns; or ° certain disclosures of Governors’ remuneration specified by law are not made; or e we have not received all the information and explanations we require for our audit.

Responsibilities of Governors

As explained more fully in the Statement of Governors’ Responsibilities set out on page 14, the Governors (who are also the directors of the charitable company 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 Governors determine is necessary to enable the preparation of the financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Governors are responsible for assessing the group’s and parent charitable company’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 Governors either intend to liquidate the group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditors under the Companies Act 2006 and report in accordance with that Act.

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.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company’s members and the Governors, as a body, in accordance with Chapter 3 of Part 16 ofthe Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members and Governors 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 charitable company, the charitable company’s members and Governors as a body, for our audit work, for this report, or for the opinions we have formed.

Saffery Champnoss LLP

Sally Appleton (Senior Statutory Auditor) for and on behalf of Saffery Champness LLP

Chartered Accountants Harrogate

Statutory Auditors

Date: 17 December 2020

Saffery Champness LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

THE GRAMMAR SCHOOL AT LEEDS CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (incorporating income and expenditure account) Year ended 31 August 2020

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||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---| |:|:|Total|Total| |Unrestricted|Restricted|funds|funds| |"|2020|2019| |Note|£000|£000|£000|£000| |INCOME|FROM:| |Charitable|activities —|education;| |Tuition|fees|24,726|-|24,726|25,483| |Other|income|2|2,219|-|2,219|1,595| |26,945|-|26,945|27,078| |Other trading|activities|-|trading|income|228|-|228|423| |DonationsDonations —||-|RosegeneralCourt|sale|proceeds|--|2,240445|2,240445|577-| |Investments|195|-|195|198| |Other|income|—|surplus|on|sale|of|Rose|760|.|760|| |Court| |TOTAL INCOME|28,128|2,685|30,813|28,276| |EXPENDITURE|ON:| |Raising|funds:| |Trading expenditure|(1,173)|-|(1,173)|(1,266)| |Charitable|activities|-|education:| |Education|and|grant|making|7|(25,409)|(2,026)|(27,435)|(26,328)| |TOTAL EXPENDITURE|(26,582)|(2,026)|(28,608)|(27,594)| |NET INCOME|1,546|659|2,205|682| |Transfers|between|funds:| |pransfer to Expendable Bursary & Hardship|3|(402)|402|.|.| |Additional|Transfer|to|Expendable|Bursary| |& Hardship Fund|3|(985)|985|°|°| |Transfer|to|unrestricted|— Rose|Court|2,044|(2,044)|-|-| |NET MOVEMENT|IN FUNDS|4|2,203|2|2,205|682| |RECONCILIATION|OF|FUNDS:| |Total|funds|brought forward|10,407|66|10,473|9,791| |Net movement|in|funds|for the|year|2,203|2|2,205|682| |TOTAL FUNDS CARRIED|FORWARD|§|14,15,16|12,610|68|12,678|10,473|

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All income and expenditure derives from continuing operations.

There are no recognised gains and losses for the current and prior period other than as stated above See note 22 for comparative Consolidated Statement of Financial Activities analysed by fund.

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THE GRAMMAR SCHOOL AT LEEDS

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CONSOLIDATED AND CHARITY BALANCE SHEETS At 31 August 2020

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||||||||||| |---|---|---|---|---|---|---|---|---|---| |Group|Charity| |2020|2019|2020|2019| |Note|£7000|£7000|£7000|£7000| |FIXED|ASSETS| |Tangible|assets|8|2,479|2,801|2,459|2,778| |Assets|under|construction|9|1,961|553|1,961|553| |Investments|10|25|25|25|25| |4,465|3,379|=|4,445|3,356| |CURRENT ASSETS| |Stocks|18|13|16|11| |Debtors|due|within|one|year|1]|1,974|1,740|2,190|1,766| |Debtors|due|after|one|year|11|5,632|5,632|5,632|5,632| |Bank|balances|and|cash|14,790|12,718|14,470|12,598| |22,414|20,103|22,308|20,007| |CREDITORS:|amounts|falling| |due within|one year|12|(13,740)|(12,612)|(13,614)|=|(12,493)| |NET CURRENT ASSETS|8,674|7,491|8,694|7,514| |TOTAL ASSETS|LESS| |CURRENT LIABILITIES|13,139|10,870|13,139|10,870| |CREDITORS:|amounts|due| |after more than one year|8|(461)|(397)|(461)|(397)| |NET ASSETS|12,678|10,473|12,678|10,473| |FUNDS| |Restricted|funds|14|68|66|68|66| |Unrestricted|funds|15|12,610|10,407|12,610|10,407| |TOTAL FUNDS|16|12,678|10,473|12,678|10,473|

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These financial statements of The Grammar School at Leeds, Company Registration Number 03075826 were approved by the Governing Body and authorised for issue on 26 November 2020 and signed on their behalf by:

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‘A M Martin “
Chairman
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THE GRAMMAR SCHOOL AT LEEDS

CONSOLIDATED CASH FLOW STATEMENT Year ended 31 August 2020

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||||||||||| |---|---|---|---|---|---|---|---|---|---| |2020|2019| |Note|£'000|£'000| |Net|cash|flows|from|operating|activities|A|2,784|1,604| |Cash|flows|from|investing|activities:| |Interest Received|195|198| |Purchase|of|tangible|fixed|assets|(1,667)|(1,445)| |Sale|of|tangible|fixed|assets|760|-| |Increase|in|cash|and cash|equivalents|in year|2,072|357| |Cash|and|cash|equivalents|at|beginning|of|year|12,718|12,361| |Cash and cash equivalents|at end of|year|—|«14,790|12,718|

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Cash and cash equivalents are represented by bank balances and cash.

NOTE A: RECONCILIATION OF NET INCOMING RESOURCES TO NET CASH INFLOW FROM OPERATING ACTIVITIES

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||||||||| |---|---|---|---|---|---|---|---| |2020|2019| |£7000|£'000| |Net|incoming|resources|2,205|682| |Interest|receivable|(195)|(198)| |(Profit)/Loss|on|disposal|of fixed|asset|(706)|2| |Depreciation|527|434| |(Increase)/Decrease|in|stocks|(5)|7| |Increase|in|creditors|lyr|64|(97)| |(Increase)/Decrease|in debtors|(234)|349| |Net|cash|inflow|from|operating|activities|2,784|1,604|

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THE GRAMMAR SCHOOL AT LEEDS NOTES TO THE FINANCIAL STATEMENTS

ACCOUNTING POLICIES

Company and charitable status

The Grammar School at Leeds, a public benefit entity, is incorporated in England and Wales as a company limited by guarantee not having a share capital. There are currently 16 Governors who are also the members of the company. Each member has undertaken to contribute to the assets in the event of winding up a sum not exceeding £1. If upon winding up or dissolution of the company there remains, after the satisfaction of all debts and liabilities, any assets these should be given or transferred to Leeds Grammar School and Leeds Girls’ High School Foundation or to some other charitable body or bodies having objects similar to the objects of the company.

The charity is a registered charity. The registered office is given on page 2.

Basis of accounting

The financial statements have been prepared under the historical cost convention and in accordance with Statement of Recommended Practice “Accounting and Reporting by Charities (SORP 2015)” applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), effective 1 January 2015; and the Companies Act 2006.

The charity meets the definition of a qualifying entity under FRS 102 and has therefore taken advantage of the disclosure exemption available to it in respect of its separate financial statements in relation to presentation of a cash flow statement.

The principal accounting policies are summarised below.

Preparation of financial statements — going concern basis

a) The principal financial risk facing the charity is a reduction in income if there were to be a reduction in pupil numbers.

This risk is being addressed through preparation of detailed financial forecasts and sensitivity analyses, which demonstrate that the charity will continue to generate acceptable levels of cash. Pupil numbers are monitored closely throughout the year, including the mix of pupils between school sections, forecasts of future numbers and analysis of demographic trends in the local population. The charity actively markets the schoo! to new pupils in order to generate interest and potential applications, thus helping to preserve and grow pupil numbers, as well as identifying potential leavers and addressing any concerns these may have in order to increase retention of pupils, particularly at potential break points in the school.

After consideration of the charity’s business risks, the Governors believe that the charity is well placed to operate successfully in the future.

b) Bank Guarantees given in respect of third parties

The charity has provided guarantees under a Senior Facility Agreement and a Bridging Loan Agreement between the Royal Bank of Scotland (the Bank) and the LGS General Charitable Trust (the Trust) as disclosed in note 19 to the financial statements. The facility agreements embody covenants both for the charity and the Trust.

After making enquiries of the trustees of the Trust, the Governors have a reasonable expectation that the Trust will have adequate resources to make the required capital and interest repayments to its bankers as they fall due and that the associated covenants will be met.

c) Covid-19 pandemic

In accordance with the above considerations, the Governors have determined that the financial statements should be prepared on a going concern basis.

Basis of consolidation

The consolidated financial statements of the group comprise the financial statements of The Grammar School at Leeds and its trading subsidiaries, GSAL Enterprises Limited and GSAL Transport Limited.

THE GRAMMAR SCHOOL AT LEEDS NOTES TO THE FINANCIAL STATEMENTS

A separate Statement of Financial Activities (incorporating Income and Expenditure Account) for the charity has not been presented, because the group has taken advantage of the exemption afforded by section 408 of the Companies Act 2006.

Income

All income is recognised in the statement of financial activities when the charity has entitlement to the funds, conditions for receipt have been met, it is probable that the income will be received and the amount can be measured reliably. Where a claim for repayment of income tax has or will be made, such income is grossed up for the tax recoverable. The following accounting policies are applied to income.

Tuition fees - credit is taken for fees relating to the school year. Tuition fees received in advance in respect of future academic years are deferred until the above criteria for income recognition are met.

Investment income - investment income is accounted for when receivable and the amount can be measured reliably by the group; this is normally upon notification of the interest paid or payable by the bank.

Donations - donations and all other receipts from fundraising are reported gross and the related fundraising costs are reported under fundraising expenditure.

Legacies - Legacy income is included when the charity is advised by the personal representative of an estate that payment will be made, and the amount involved can be quantified.

Other — school catering, pupil transport, and any other miscellaneous income is accounted for when the above criteria for income recognition are met.

Expenditure

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. The charity’s operating costs include staff costs, premises costs and other related costs. Such costs are allocated as follows: ;

Cost of raising funds - includes costs relating to fundraising and trading company expenditure.

Direct charitable expenditure - includes all expenditure directly related to the sole activity of the charity, being the education of children. Expenditure is categorised between teaching costs, welfare costs, premises costs, financing costs, support costs, governance costs and grants, awards and prizes.

Fund accounting

The charity maintains the following funds:

Restricted funds - represent grants, donations and legacies received which are allocated by the donor for specific purposes, including donations received and collections made on site for direct payment to specific third party beneficiaries.

Unrestricted funds - represent funds which are expendable at the discretion of the Governing Body in the furtherance of the objects of the charity and include designated funds representing monies allocated from unrestricted reserves by the Governors for designated purposes. Such funds may be held in order to finance both working capital and capital investment.

Fixed assets and depreciation

Tangible fixed assets are stated at cost, less accumulated depreciation and any provision for impairment. Tangible fixed assets are capitalised and depreciated in equal annual instalments over their estimated useful lives as follows:

Vehicles	4years
Plantand machinery	7 years
Office and computer equipment	3 years
Furnitureandfixtures	10years

The school buildings at Alwoodley are the property of the LGS General Charitable Trust. The land at Alwoodley is the property of the Leeds Grammar School and Leeds Girls’ High School Foundation. The Governors are required to maintain the fabric of the buildings under the terms of the leases.

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THE GRAMMAR SCHOOL AT LEEDS NOTES TO THE FINANCIAL STATEMENTS

Investments

Investments are stated in the financial statements at market value. Realised and unrealised gains and losses on investments are disclosed in the statement of financial activities.

In the parent charity balance sheet, investments in subsidiary undertakings are measured at cost less impairment.

Stocks

Stocks of food and merchandise for re-sale are valued at the lower of cost and net realisable value.

Employee benefits

Contributions made by the charity to the Teachers’ Pension Agency superannuation scheme (a defined benefit scheme) and the group personal pension schemes for support staff (a defined contribution scheme) are charged directly to the statement of financial activities.

Operating leases

The group classifies the lease of land and buildings and vehicles and equipment as operating leases, as the title to the leased items remains with the lessor and the economic life of the leased items is substantially longer than the lease term. Rentals due under operating leases are charged to the statement of financial activities on a straight-line basis over the lease term.

Financial instruments

Financial assets and financial liabilities are recognised when the group becomesa party to the contractual provisions of the instrument. All financial assets and liabilities are initially measured at transaction price (including transaction costs).

The charity and group only have financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

Critical accounting judgements and key sources of estimation uncertainty

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In the application of the Group’s accounting policies, which are described above, the Trustees are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

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

The Trustees do not consider there are any critical judgements or sources of estimation uncertainty requiring disclosure beyond the accounting policies listed above.

OTHER INCOME (UNRESTRICTED)

OTHER INCOMEINCOME (UNRESTRICTED)
	2020	2019
	£7000	£7000
School catering	787	1111
Miscellaneous	123	104
Coronavirus Job Retention Scheme grant	925	-
Pupil transport	284	380
GTL other income	100	-
	2,219	1， 1,595

Included within unrestricted income is £925k received under the Coronavirus Job Retention Scheme, which has been fully expended in the year on the wages and salaries of furloughed staff. The equivalent costs have been included within unrestricted. expenditure.

THE GRAMMAR SCHOOL AT LEEDS NOTES TO THE FINANCIAL STATEMENTS

3. TRANSFERS BETWEEN FUNDS

Expenditure on Bursaries, Scholarships and Hardship Awards is accounted for as restricted fund expenditure in the SOFA and is funded by restricted fund donations from the Leeds Grammar School and Leeds Girls’ High School Foundation Award Funds and other external third parties, with the balance being provided by GSAL as a transfer from unrestricted funds. The Memorandum and Articles requires the Governors to apply a minimum of 2% of the Senior School Independent fees towards Bursaries.

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||||||||||| |---|---|---|---|---|---|---|---|---|---| |2020|2019| |£7000|£7000| |2%|of Senior|School|Independent|fees|402|388| |Additional|bursary transfer|from|GSAL|unrestricted|funds|985|576| |Net proceeds|of donation from|sale|of|Rose|Court transfer to|unrestricted|funds|(2,044)|-| |4,|NET MOVEMENT|IN|FUNDS| |Net movement|in|funds|is|stated|after|charging/|(crediting):| |2020|2019| |£'000|£'000| |(Profit)/loss|on|disposal|of fixed|assets|(706)|-| |Depreciation|-|owned|assets|527|434| |Fees|payable|to|the|charitable|company's|auditor:| |For|audit|related|assurance|services|23|22| |For|other|services|-|taxation &|project advice|-|6| |Rentals|under|operating|leases|-|buildings|3,540|3,545| |Rentals|under operating|leases|-|vehicles|and|equipment|475|532|

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The charity’s net income for the year in accordance with the Companies Act 2006 was £2,205k (2019: £682k expenditure).

5. GOVERNING BODY REMUNERATION AND RELATED PARTY TRANSACTIONS

During the year, travel expenses necessarily incurred in attending meetings amounting to £1,430 (2019: £823) were reimbursed to five (2019: three) members of the Governing Body.

No governors were remunerated during the current or prior years.

The children of governors and staff that attend the school do so under normal commercial terms.

All transactions between the charity and its subsidiaries, GSAL Enterprises and GSAL Transport Ltd, are eliminated on consolidation. In the year, the following transactions took place between GSAL and its subsidiaries:

GSAL Transport Limited

Income to GSAL from GSAL Transport £51k donation under gift aid (2019: £1k) Income to GSAL from GSAL Transport £10k in respect of support services provided (2019: £10k). Expenditure paid by GSAL to GSAL Transport £986k in respect of transport services and advertising (2019: £1,014k).

A balance of £173k was owed to GSAL from GSAL Transport limited at 31 August 2020 (2019: £76k). A balance of£0 was owed to GSAL Transport Limited from GSAL at 31 August 2020 (2019: £3k).

GSAL Enterprises Limited

Income to GSAL from GSAL Enterprises £101k donation under gift aid (2019: £172k) Income to GSAL from GSAL Enterprises £1k in respect of the provision of consumables (food) for events (2019: £4k).

Expenditure paid by GSAL to GSAL Enterprises £10k in respect of the provision of consumables (drinks) for events (2019: £3k).

A balance of £101k was owed to GSAL from GSAL Enterprises limited at 31 August. 2020 (2019: £62k).

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THE GRAMMAR SCHOOL AT LEEDS

NOTES TO THE FINANCIAL STATEMENTS

6. INFORMATIONREGARDING EMPLOYEES
	Consolidated		Charity
	2020 2019		2020	2019
	No.	No.	No.	No.
Averageheadcountofpersons employed
Teachers	212	206	212	206
Supportstaff	241	235	223	216
	453	441	435	422
Average number ofpersons employed (fulltimeequivalents)	No.	No.	No.	No.
Charitable activities:
Teachers	185	192	185	192
Support staff	168	164	154	147
	353	356	339	339
	2020		2019
Staffcosts during the year:	£000		£000
Wagesand salaries	13,198		13,042
Social security costs	1,288		1,230
Pension costs	2,335		1,684
	16,821		15,956
Duringtheyeartherewereredundancy/termination paymentsmadebytheCharitywhichamounted to£0 (2019: £35,000). As atyear end £0 (2019: £15,000) remained outstanding.
There were 14 staff(FTE) directly employed by the charity’s subsidiaries in the year		(2019: 17).
ThenumberofGroup employees whose emoluments, excluding pension contributions but including employer’s
national insurance contributions and benefits in kind, were in excess of £60,000	of £60,000 was:
			No.	No.
£60,001 - £70,000 £70,001 -£80,000 £80,001 - £90,000 £110,001 -£120,000 £120,001 - £130,000 £140,001 -£150,000 £190,001 -£200,000 £220,001 £60,001 - £70,000 £70,001 - £80,000 £80,001 - £90,000 £110,001 - £120,000 £120,001 - £130,000 £140,001 - £150,000 £190,001 - £200,000 £220,001 - £230,000			14 4 3 2 - 1 - 1	10 3 4 - 1 1 1 -
			25	20
Ofthe above staffmembers, 21 (2019: 17)have benefits accruingunder defined benefit pension			schemes and	4
(2019: 3) had benefits accruing underthe defined contributionscheme.	Employer’s contributions for the defined
contribution scheme were £30k (2019: £24k).
The keymanagement personnel ofthe parent charity, TheGrammar School atLeeds		(‘GSAL’), are listed onpage 2.
The total employee benefits, including employer’s national insurance and pension contributions,			ofthe key
management personnel ofGSAL were £1,328k (2019: £1,318k).
Thekeymanagementpersonnel ofthegroupcomprisethose ofGSALandthe keymanagementpersonnelofits				its
whollyowned subsidiaries GSAL EnterprisesLtd andGSAL Transport Ltd. There are not considered to be any key
managementpersonnel ineitherofthe subsidiaries. The total employee benefits ofkey management personnel for
thegroupweretherefore£1,328k(2019:£1,318k).

THE GRAMMAR SCHOOL AT LEEDS

NOTES TO THE FINANCIAL STATEMENTS

ANALYSIS OF EDUCATION AND GRANT MAKING EXPENDITURE

	StaffCosts	Other Costs	Depreciation	Total 2020
Direct costs
Teaching costs Welfare costs Premises Non-teaching support costs	13,551 895 - 658 506 - 780 5,260 294 1,329 1,457 233			14,446 1,164 6,334 3,019
Bursaries, prizes and specific fund expenditure	-	2,026	-	2,026
Support costs
Governance costs	46 193 - 239
Finance and other costs	-	207 - 207
Consolidated total
2019 Comparatives
	StaffCosts		OtherCosts	Depreciation
Direct costs	£'000	£'000	£'000	£'000
Teaching costs	12,752 1,282 - 14,034
Welfare costs Premises	605 629 - 718 5,171 257			1,234 6,146
Non-teaching support costs Bursaries, prizes and specific fund expenditure	1,355 1,435 177 - 1,515 -			2,967 1,515
Support costs
Governance costs	38 264 - 302
Finance and other costs	-	130 - 130
Consolidatedtotal	15,468 10,426 26,328

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THE GRAMMAR SCHOOL AT LEEDS NOTES TO THE FINANCIAL STATEMENTS

FIXED ASSETS

. Consolidated& Company	. Vehicles	Plant& Machinery	Office & Computer Equi ment	Furniture _ & Fixtures	Furniture _ & Fixtures	Charity Total	Trading Companies	Consolidated Total
	£000	£000	£000		£7000	£000	£7000	£000
Cost
At	September2019	55	643	1,978		2,833	5,509	25
Additions	-	72	136		51	259	-	259
Disposals	-	(29)	(31)		(85)	(145)	-	(145)
At 31 August 2020	55	686	2,083		2,799	5,623	25	5,648
Accumulated
depreciation
At I September2019	31	485	1,375		820	2,731	2	2,733
Charge for the year	1	39	229		255	524	3	527
Disposals	-	(27)	(15)		(49)	(91)	;	(91)
At 31 August 2020	52	497	1,589		1,026	3,164	5	3,169
Net book value
At31 August 2020	3	189	494		1,773	2,459	20	2,479
	a
At31August2019 4 158 603					2,013	2,778	23	2,801

All of the above assets were in use at year end and were depreciated accordingly.

ASSETS UNDER CONSTRUCTION

Consolidated	RoseCourtRelocation	CharityTotal	TradingCompanies	Consolidated Total
	£000	£7000	£000	£°000
Cost
At 1 September 2019	553	553	-	353
Additions	1,408	1,408	-	1,408
At31August2020	1,961	1,961	~	1,961

The above assets were under construction at the year end and as such have not been depreciated.

INVESTMENTS HELD AS FIXED ASSETS

	Consolidated& Charity	Consolidated& Charity
	2020	2019
	£7000	£°000
Marketvalue at 1 September 2019 and 31 August2020	25	25
Investments comprise the following:
Investments listed on aUK stock exchange:
Charity unit trusts	5	5
Cash deposits held as fixed assetinvestments	20	20
	25	25
Historicalcostat31August2020	24	24

THE GRAMMAR SCHOOL AT LEEDS NOTES TO THE FINANCIAL STATEMENTS

11. DEBTORS AND PAYMENTS IN ADVANCE

DEBTORS AND PAYMENTS IN DEBTORS AND PAYMENTSPAYMENTS IN ADVANCE
	Consolidated		Charity
	2020	2019	2020	2019
Amounts fallingdue within one year:	£， £， £7000 £000 £7000 £°000
Tuition fee debtors	21 48 21 48
Trade debtors	4 66		-	-
Other debtors	130 93		91 62
Amounts duefrom trading subsidiaries Prepayments and accrued income	- - 274 138 1,236 366 1,221 351
Rent paid inadvance	583 1,167 583 1,167
Amounts fallingdue after more than oneyear:
Amounts due from LGS General Charitable Trust	2,990	2,990	2,990	2,990
Amounts duefromLGS&LGHS Foundation	2,642	2,642	2,642	2,642
Rentpaidinadvance	-	-	-	-

The loan due from LGS General Charitable carries a fixed rate of interest, is unsecured and is due for repayment no later than 31 December 2033 or by instalments commencing on 31 December 2021.

The loan due from LGS & LGS Foundation is interest free, partly secured on a property owned by the Foundation, and due for repayment on the earlier of 31 December 2067 or by instalments after 31 December 2028.

12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

	Consolidated	Consolidated	Charity	Charity
	2020	2019	2020	2019
	£000	£000	£000	£000
Tuition fee payments received in advance	9,802	10,005	9,802	10,005
Trade creditors Amounts owed to subsidiaries	1,318 -	$47 1,229 450 - - 3
Other taxes and social security costs Other creditors Acceptance deposits Accruals	298 320 289 304 717 609 708 609 26 40 26 40 1,579 1,091 1,560 1,082
	13,740 12,612 1361412 493:

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

	Consolidated& Charity	Consolidated& Charity
	2020	2019
	£000	£7000
Tuition fees payments received in advance	-	-
Acceptance deposits	461	397
	461	397

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THE GRAMMAR SCHOOL AT LEEDS NOTES TO THE FINANCIAL STATEMENTS

14. RESTRICTED FUNDS

In accordance with Statement of Recommended Practice “Accounting by Charities”, the restricted funds of the charity comprise the following unexpended balances of funds for specific purposes:

	Eapenda’ ry ¢ Hardship Fund	Lightwing& Headingley Funds	Chapel P Fund	RoseCourt Restricted . Donation	Specific Restricted ; Donations	Total
	£000	£7000	=£000	£°000	£7000	=£000
Consolidated& Charity
Balance at 1 September2019	-	16	5	-	45	66
Income	412	-	-	2,240	33	2,685
Expenditure	(1,799)	-	-	(196)	(31)	(2,026)
Transferto unrestricted funds	-	-	-	(2,044)	-	(2,044)
Transferfrom unrestricted funds	1,387	-	-	-	-	1,387
Balance at31 August 2020	-	16	5	-	47	68
2019 Comparatives
	Expendable Bursary& . Hardship Fund	y i shtwing & ghtwing Headingley Funds	Chapel Fund	RoseCourt 0 Restricted . Donation	_Specific pe Restricted ; Donations	Total
	£7000	£7000	= £000	£000	£7000	=£000
Consolidated & Charity
Balance at 1 September2018 Income	- 16 6 - 69 91 427 - - - 99 526
Expenditure Transfer from unrestricted funds Balance at31 August 2019	(123) (1,391) - (1) - (123) (1,515) 964 - - - - 964 - 16 5 - 45 66
The balances on the funds are included in the balance sheet under			fixed asset	investments	and bank balances, as
analysedinnote16.

All bursary transactions are accounted for through the Expendable & Hardship Bursary Funds. Bursaries paid out by GSAL amounted to £1,799k offset by donations from third parties and the Foundation Award Funds of £412k, with the balance being funded by transfers from GSAL unrestricted funds amounting to £1,387k.

Total specific restricted donations income of£33k includes monies received from the Malawi charity (£3k) and pupils’ weekly charity collection (£26k). Specific restricted donations expenditure of £31k includes the donations to various charities from the pupils’ weekly collections (£20k), to Malawi (£7k), plus other specific expenditure. This has resulted in net income for specific restricted donations of £47k.

The Rose Court restricted donation comprises of income of £2,240k received from the LGHS and LGS Foundation. This donation is equivalent to the remaining proceeds received by other parties in relation to the sale of the Rose Court site at Headingley. The use ofthe donation was restricted to the maintenance and development ofthe Alwoodley Gates site. Rose Court restricted expenditure of £196k included the costs associated with the relocation of Rose Court. The net proceeds of the sale of Rose Court (£2,044k) were transferred to GSAL unrestricted funds. These net proceeds have now been fully utilised in the development of the Alwoodley Gates site during 19/20 in order to facilitate and accommodate the Rose Court pupils into the Primary School.

THE GRAMMAR SCHOOL AT LEEDS

NOTES TO THE FINANCIAL STATEMENTS

UNRESTRICTED FUNDS

	Building
	Maintenance (Designated	School Reserve	Charity Total	Trading © Companies	Consolidated Total
	Fund)
	£000	£， £， £9 £7000 £7000 £7000			£5 £000
Consolidated& Charity
Balance at 1 September 2019 Income	270 10,137 10,407 - - 27,851 27,851 277				10,407 28,128
Expenditure Transfer to restricted funds	- -	(26,406) (1,387)	(26,406) (1,387)	(176) -	(26,582) (1,387)
Transfer from restricted funds Transferto school reserve Transferfrom designated fund	- 2,044 (270) - - 270		2,044 - 2,044 (270) - (270) 270 - 270
Transfer fromtradingcompanies Balanceat31August2020	- -	12,610 101 101 (101) - 12,610 12,610 - 12,610

2019 Comparatives

2019 Comparatives
	Building
	Maintenance (Designated Fund) £000	£’ £， £， £， School Charity Trading Consolidated Reserve Total Companies Total £000 £7000 £000 £000
Consolidated & Charity
Balance at 1 September 2018 Income Expenditure Transferto restricted funds Transferfrom trading companies	270 9,430 - 27,329 - (25,830) - (964) - 172		9,700 - 27,329 421 (25,830) (249) (964) - 172 (172)	9,700 27,750 (26,079) (964) -
Balanceat31August2019	10,137 270 10,137		10,407 - 10,407

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THE GRAMMAR SCHOOL AT LEEDS NOTES TO THE FINANCIAL STATEMENTS

ANALYSIS OF ASSETS AND LIABILITIES BETWEEN FUNDS

	Fixed Assets and : investments	Fixed Assets and : investments	Debtors due in morethan	Current assets	Current e per ye liabilities	Longterm eb epege liabilities	Longterm eb epege liabilities	Total
		£， £， £， £， one year £7000 £000 £°000 £000 £°000						£， £°000
Restricted funds
Expendable Bursary
& Hardship Fund		.	7	-	.		°	.
Lightwing& HeadingleyFunds		20	7	:	(4)		-	16
Chapel Fund		5	-	-	-		-	5
Specific Restricted Donations		.	.	47	.		.	47
		25	-	47	(4)		-	68
Unrestricted funds
School Reserve		4,440	5,632	16,735	(13,736)		(461)	12,610
BuildingMaintenance				;	:		.	°
Fund
		4,440	5,632	16,735	(13,736)		(461)	12,610
Consolidatedtotal		16,782 4,465 5,632 16,782			(13,740) (461)			12,678
2019Comparatives	: Fixed Assets and . investments		Debtors duein more than	Current assets	Current « panegs liabilities	Long term mae liabilities		Total
			one year
		£， £? £， £， £7000 £7000 £7000 £7000 £000						£， £7000
Restricted funds
Expendable Bursary
&Hardship Fund		.	.	.	.		.	.
Lightwing& HeadingleyFunds		20	°		(4)		.	16
Chapel Fund		5	-	-	-		-	5
Specific Restricted Donations		:	-	AS	.		-	45
		25	-	45	(4)		-	66
Unrestricted funds
School Reserve		3,354	5,632	14,156	(12,608)		(397)	10,137
BuildingMaintenance Fund		7	.	270	.		.	270
		3,354	5,632	14,979	(12,608)		(397)	10,407
Consolidated total		3,379	5,632	14,471	(12,612)		(397)	10,473

TAXATION

The charity’s activities are exempt from taxation under chapter 3 of part I] to the Corporation Tax Act 2010.

THE GRAMMAR SCHOOL AT LEEDS NOTES TO THE FINANCIAL STATEMENTS

18. EMPLOYEE RETIREMENT BENEFITS

The School participates in the Teachers’ Pension Scheme (“the TPS”) for its teaching staff. The pension charge for the year includes contributions payable to the TPS of £2,013k (2019: £1,396k) and at the year-end £212k (2019 - £185k) was accrued in respect of contributions to this scheme.

The TPS is an unfunded multi-employer defined benefits pension scheme governed by The Teachers’ Pensions Regulations 2010 (as amended) and The Teachers’ Pension Scheme Regulations 2014 (as amended). Members contribute on a “pay as you go” basis with contributions from members and the employer being credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.

The employer contribution rate is set by the Secretary of State following scheme valuations undertaken by the Government Actuary’s Department. The most recent actuarial valuation of the TPS was prepared as at 31 March 2016 and the Valuation Report, which was published in March 2019, confirmed that the employer contribution rate for the TPS would increase from 16.4% to 23.6% from 1 September 2019. Employers are also required to pay a scheme administration levy of 0.08% giving a total employer contribution rate of 23.68%.

The 31 March 2016 Valuation Report was prepared in accordance with the benefits set out in the scheme regulations and under the approach specified in the Directions, as they applied at 5 March 2019. However, the assumptions were considered and set by the Department for Education prior to the ruling in the “McCloud/Sargeant case’. This case has required the courts to consider cases regarding the implementation of the 2015 reforms to Public Service Pensions including the Teachers’ Pensions.

On 27 June 2019 the Supreme Court denied the government permission to appeal the Court of Appeal’s judgment that transitional provisions introduced to the reformed pension schemes in 2015 gave rise to unlawful age discrimination. The government is respecting the Court’s decision and has said it will engage fully with the Employment Tribunal as well as employer and member representatives to agree how the discriminations will be remedied. A consultation was launched by the government on 16 July 2020, and closed to responses on 11 October 2020.

The TPS is subject to a cost cap mechanism which was put in place to protect taxpayers against unforeseen changes in scheme costs. The Chief Secretary to the Treasury, having in 2018 announced that there would be a review of this cost cap mechanism, in January 2019 announced a pause to the cost cap mechanism following the Court of Appeal’s ruling in the McCloud/Sargeant case and until there is certainty about the value of pensions to employees from April 2015 onwards. The pause was lifted in July 2020 and the government is preparing to complete the cost control-element of the 2016 valuations, which is expected to be completed in 2021.

In view of the above rulings and decisions the assumptions used in the 31 March 2016 Actuarial Valuation may become inappropriate. In this scenario, a valuation prepared in accordance with revised benefits and , suitably revised assumptions would yield different results than those contained in the Actuarial Valuation.

Until the consultation and the cost cap mechanism review are completed it is not possible to conclude on any financial impact or future changes to the contribution rates of the TPS. Accordingly no provision for any additional past benefit pension costs is included in these financial statements.

The school also contributes to two group personal pension plans for support staff, the costs of which are also charged directly to the statement of financial activities.

The total pension costs are broken down as follows: -

total pension costs are broken down as follows: -
	2020	2019
	£000	£7000
Teachers	2,129	1,486
Supportstaff	188	183

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THE GRAMMAR SCHOOL AT LEEDS NOTES TO THE FINANCIAL STATEMENTS

CONTINGENT LIABILITIES Under a loan agreement entered into in July 2016 between the Royal Bank of Scotland plc (the Bank) and the LGS General Charitable Trust (the Trust) the charity has provided the following securities: -
e adebenture containing fixed and floating charges over all of its assets as security for all liabilities without limit from time to time due and owing to the Bank
e a first-party first legal charge in respect of the Alwoodley sublease
e a deed of sub-ordination subordinating the loan to the Trust to the indebtedness of the Bank.
At 31 August 2020, the liabilities of the Trust to the bank amounted to £33,380,464 (2019: £34,712,709).
INVESTMENT IN SUBSIDIARIES

					2020	2019
					£	£
Investment	in	subsidiaries	at	cost	3	3

In addition to the investments shown in note 10, the charity owns the following; 100% of the ordinary share capital of GSAL Enterprises Limited (registration no. 02314911), incorporated in England and Wales. The principal activity of GSAL Enterprises. Limited is letting and associated activities at the Alwoodley site.

The charity owns 100% of the ordinary share capital of GSAL Transport Limited (registration no. 09393247), incorporated in England and Wales. The principal activity of GSAL Transport Limited is the operation of passenger transport services.

transport services.
	2020	2019
GSAL Enterprises Ltd - financial summary	£'000	£'000
Turnover	138	222
Costofsales	(18)	(25)
Gross profit	120	197
Admin expenses	(19)	(25)
Operating profit	101	172
Donation toGSAL	(101)	(172)
Resuit for the financial year	-	-
Assets Liabilities	111 (111)	81 (81)
Funds	-	-
	2020	2019
GSALTransport Ltd - financial summary	£'000	£000
Turnover Cost of sales	1,189 (1,100)	1,223 (1,175)
Gross profit	89	48
Admin expenses	(38)	(47)
Operating profit	51	1
Donation toGSAL	(51)	(i)
Result forthe financial year	-	-
Assets Liabilities	289 (289)	179 (179)
Funds	-	-

THE GRAMMAR SCHOOL AT LEEDS

NOTES TO THE FINANCIAL STATEMENTS

21. OPERATING LEASES COMMITMENTS

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

	2020		2019
	Land and buildings	Other	Land and buildings	Other
	£000	£000	£000	£000
Group
- within one year	3,500	267	3,545	367
-between one and five years	14,000	152	14,180	456
- after five years	158,667	-	163,070	-
	176,167	419	180,795	823
Charity
- within one year	3,500	267	3,545	367
- between one and five years	14,000	152	14,180	456
- after five years	158,667	-	163,070	-
	176,167	419	180,795	823

The lease of land and buildings relate to a long term rental commitment that expires in 2070.

THE GRAMMAR SCHOOL AT LEEDS NOTES TO THE FINANCIAL STATEMENTS

22. CONSOLIDATED STATEMENT OF FINANCIAL ACTIVIES — COMPARATIVE FIGURES BY FUND-TYPE

Year ended 31 August 2019

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----- Start of picture text -----
|||||||||| |---|---|---|---|---|---|---|---|---| |Unrestricted|Restricted|Total| |funds|funds|2019| |£7000|£000|£°000| |INCOME FROM:| |Charitable|activities|— education;| |Tuition|fees|25,483|-|25,483| |Other|income|1,595|-|1,595| |27,078|-|27,078| |Other|trading|activities|-|trading|income|423|-|423| |Donations|51|526|577| |Investments|198|-|198| |TOTAL INCOME|27,750|526|28,276| |EXPENDITURE|ON:| |Raising|funds:| |Trading|expenditure|(1,266)|-|(1,266)| |Charitable|activities|-|education:| |Education|and|grant making|(24,813)|(1,515)|(26,328)| |TOTAL EXPENDITURE|(26,079)|(1,515)|(27,594)| |NET INCOME/(EXPENDITURE)|1,671|(989)|682| |Transfers|between|funds:| |Transfer to Expendable Bursary & Hardship|(388)|388|.| |Additional|Transfer|to|Expendable|Bursary| |& Hardship Fund|(576)|576|°| |NET MOVEMENT|IN FUNDS|707|(25)|682| |RECONCILIATION OF FUNDS:| |Total|funds|brought|forward|9,700|91|9,791| |Net movement|in|funds|for|the|year|707|(25)|682| |TOTAL FUNDS CARRIED FORWARD|10,407|66|10,473|

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THE GRAMMAR SCHOOL AT LEEDS

ADDITIONAL INFORMATION NOT FORMING PART OF THE FINANCIAL STATEMENTS

The additional information, which comprises charitable donations paid by The Grammar School at Leeds for 2018/19 and 19/20 has been prepared from the accounting records of the charity. While it is unaudited and does not form part of the statutory financial statements, it should be read in conjunction with them and the independent auditor’s report thereon.

This schedule shows donations paid during the year and so includes funds raised in 2018/19 but not paid until 2019/20 and excludes funds raised in 2019/20 not paid by the year end, which are held within restricted funds pending payment in 2020/21.

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THE GRAMMAR SCHOOL AT LEEDS

ADDITIONAL INFORMATION NOT FORMING PART OF THE FINANCIAL STATEMENTS

SCHEDULE OF CHARITABLE DONATIONS PAID DURING THE YEAR

SENIORSCHOOL	£	£
ALLDog andCatRescue BeA Hero		310 950
Bone Cancer Trust BrainTumour Research	479 - 300
BreastCancerNow C-R-Y	520 421 -
CancerResearchLeeds	1,106 357
Candlelighters Carlton Lodge	170 233 -
Children inNeed Comic Relief	560 890 2,385
Danby Rovers DementiaUK	310 300 370
Disasters Emergency Committee		1,391
Focus4Hope		-
ForeverAngels Foundation Leeds	325 340 220
Friends ofA Martin Friends ofGrahamstown& District Development		310 4,302
Gareth Dunn Ghurkha Welfare Trust Guide Dogs ForThe Blind	1,434 221 300 355 -
Homeless Street Angels Leeds Lymphoma	340 - 460
Macmillan Cancer Care Malawi Marie Curie	1,843 1,573 6,590 13,478 259
Marketplace Martin House Mary’sMeals	160 200 505 814 .
MENCAP MercuryPhoenix Mind MoorAllerton Elderly Care	280 132 - 428 250 -
Muscular Dystrophy Campaign MyName’5 Doddie		4,384 1,016
One SkyFoundation Otley andDales Riding for the Disabled		278 230
Oxfam PAFRAS ParkinsonsUK	365 385 117 125 -
PICU Prostate Cancer	155 220 -
Read ForGood Readathon.	468 - 1,065
RNIB Royal British Legion Samaritans	345 454 866 138
Save The Children SimonOn The Streets	890 368 -
Sinclair Davidson Spinal Injuries	245 300 -
SportsAid St Gemma’s Hospice SVP Children’s Camps	540 335 5,845 1,000
Team RubiconUK TeenageCancerTrust	410 345	- -

THE GRAMMAR SCHOOL AT LEEDS

ADDITIONAL INFORMATION NOT FORMING PART OF THE FINANCIAL STATEMENTS

The StrokeAssociation VisionRomania	2020	2019 246 87
Winstons Wish WWF	230 2,378 -
Yorkshire AirAmbulance Yorkshire Cancer Research		152 246
	19,947	50,452
JUNIORSCHOOL
Children inNeed	5,913	1,438
Jeans forGenes Leeds Cares	- -	364 3,811
Martin House NSPCC	- -	150 89
PhysCap YorkshireAirAmbulance	- -	110 105
	§,913	6,064
ROSE COURT
Children inNeed	367	292
Felicia’s Courage	-	150
Macmillan Cancer Support	245	-
NSPCC	97	122
Save the Children	-	104
WWF	-	60
	709	728
TOTAL	26,569	57,244