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2024-08-31-accounts

Central Language School Cambridge

Registered charity no: 1056074

TRUSTEES' REPORT

and

ACCOUNTS

for the year ended

31 August 2024

CONTENTS

CONTENTS
Page
Legal and administrative details 2
Trustees' report 3 - 4
Statement of financial activities 5
Balance sheet 6
Notes to the accounts 7 - 9
Independent examiner's report 10

CENTRAL LANGUAGE SCHOOL CAMBRIDGE LEGAL AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 AUGUST 2024

CHARITABLE STATUS

Registered charity no: 1056074

MISSION STATEMENT

The Central Language School is a small, friendly, city-centre School founded in 1996 by a group of Christians in Cambridge.

Our aim is to give students a warm welcome and an excellent opportunity to learn English in a caring, community atmosphere. Our general English courses, from Elementary to Advanced level, are run throughout the year for adults.

TRUSTEES

Mr Michael Priestley (Chairman) Mrs Christine Bromwich Mr Richard Colledge Mr David Farrer (Treasurer) Mrs Anna Lowe Mr Andrew Watts - resigned December 2024 Mrs Elizabeth Watts Mr Bartow Wylie

SCHOOL MANAGEMENT

Mrs Sian Serrano (Business Manager) Mr James Dennis (Director of Studies)

REGISTERED OFFICE

Stoneyard Centre, 41B St Andrews Street, Cambridge CB2 3AR

BANKERS

Lloyds TSB, Cambridge

INDEPENDENT EXAMINER

Geoff Mann, Geoff Mann Ltd, Cambridge

2

CENTRAL LANGUAGE SCHOOL CAMBRIDGE TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2024

The Trustees present their Report for the year ended 31 August 2024, which incorporates the Legal and Administrative Details on Page 2.

STRUCTURE, GOVERNANCE AND MANAGEMENT

The Trust was established by Trust Deed and registered as a Charity with the Charity Commission in 1996. Under this Trust Deed the power to appoint Trustees is vested in the Trustees for the time being.

The Charity has a Board of Trustees who meet quarterly and are responsible for its strategic direction and policy. Senior management are appointed by the Trustees to manage the day to day operations of the charity.

OBJECTS, ORGANISATIONS AND ACTIVITIES

The Mission Statement of the Charity is stated on Page 2.

During 2023/24 the Charity continued to provide English Language teaching services at The Stoneyard Centre, 41B St Andrew's Street, Cambridge. The Tustees record with thanks the encouragement and assistance received from our landlords, St Andrew's Street Baptist Church.

.

During the past year we have had 212 full time students studying for a total of 1,069 student weeks on various courses. Students independently passed B2 First, C1 Advanced, C2 Proficiency and IELTS exams. There have also been 51 part time students. The Trustees record their thanks to the staff for their dedication to the work of the school and pastoral care of the students.

The language school continues to be fully accredited by the British Council and registered by the UK Border Agency. We also have membership of the English UK which is a national association of accredited English language schools and centres. The Trustees record their thanks to Mrs Sian Serrano (Business Manager), Mr James Dennis (Director of Studies) and all the staff for maintaining high standards of teaching, management and welfare at the school especially with the additional challenges posed by the Covid pandemic.

Many of our students have been accommodated with host families and the Trustees are grateful to all host families for their support of the school.

FINANCES

The attached accounts on pages 5 to 9 reflect the Trust’s activities for the year and show the state of the finances at 31 August 2024. The Trustees are grateful to Mr Geoff Mann for his independent examination of the accounts.

3

CENTRAL LANGUAGE SCHOOL CAMBRIDGE TRUSTEES' REPORT continued FOR THE YEAR ENDED 31 AUGUST 2024

RESERVES POLICY

The Trustees have conducted a risk assessment and considered the level of unrestricted funds not committed or invested in tangible fixed assets ("the free reserves") that should be maintained by the charity to meet its liabilities and to sustain the organisation in the event of any unforeseen shortfalls in income. The Trustees have assessed the reliability of the charity's main sources of income and taken into account seasonal and market trends.The Trustees have examined the requirement for free reserves, i.e. those unrestricted funds not invested in tangible fixed assets, designated for specific purposes or otherwise committed. The Trustees consider that, given the nature of the organisation’s work, the level of free reserves should be approximately four month’s unrestricted funds expenditure (not including accommodation costs). This would equate to £67,100 based on current year expenditure. The Trustees are of the opinion that this provides:

• sufficient flexibility to cover temporary shortfalls in incoming resources due to timing differences in income flows

• adequate working capital to cover core costs

• an allowance to enable the organisation to cope and respond to unforeseen emergencies whilst specific actions are implemented.

Current free reserves amount to £83,807 and we will be working towards maintaining this level during the current financial year.

RISK REVIEW

The Trustees have conducted their own review of the major risks to which the charity is exposed and have agreed a risk management strategy which comprises :

(i) an annual review of the risks which the charity may face;

(ii) the establishment of systems and procedures to mitigate those risks identified in the plan; and (iii) the implementation of procedures designed to minimise any potential impact on the charity should any of those risks materialise.

On behalf of the Trustees David Farrer

23 June 2025

4

CENTRAL LANGUAGE SCHOOL CAMBRIDGE STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2024

Note
INCOMING RESOURCES
Fees & Accommodation
2
Student Excursions
Exam Fees
Airport Transfers
Book Sales
Miscellaneous
Donations
Bank Interest
Total Incoming Resources
RESOURCES EXPENDED
Costs of Generating Funds
Publicity
3
Charitable Expenditure
Operating Costs
6
Governance Costs
4
Total Resources Expended
NET MOVEMENT IN FUNDS
FUND BALANCES
Brought forward 1 September 2023
Carried forward 31 August 2024
TOTAL
Unrestricted
Funds
2024
320,485
4,490
2,010
320
97
121
2,495
1,743
331,761
657
306,384
830
307,871
23,890
59,917
83,807
TOTAL
Unrestricted
Funds
2023
£
252,250
6,024
420
129
85
111
1,900
349
261,268
671
232,997
820
234,488
26,780
33,137
59,917

5

CENTRAL LANGUAGE SCHOOL CAMBRIDGE BALANCE SHEET AS AT 31 AUGUST 2024

Note
CURRENT ASSETS
Debtors
7
Bank Balances
Cash in Hand
CURRENT LIABILITIES
Creditors
8
TOTAL NET ASSETS
FINANCED BY:
ACCUMULATED SURPLUS
Unrestricted Funds
Approved by the Trustees on 23 June 2025
David Farrer
Treasurer
2024
£
2,554
128,506
69
131,129
47,322
83,807
83,807
83,807
2023
£
9,530
121,394
11
130,935
71,018
59,917
59,917
59,917

6

CENTRAL LANGUAGE SCHOOL CAMBRIDGE NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024

1 ACCOUNTING POLICIES

(a) BASIS OF PREPARATION OF ACCOUNTS

The accounts have been prepared under the historical cost convention and include the the results of the charity's operations, which are described in the Report of the Trustees and all of which are continuing. They have been prepared in accordance with the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and the Republic of Ireland (FRS 102) revised with effect from 1 January 2019.

Central Language School meets the definition of a public benefit entity under FRS 102.

The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.

The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

(b) INCOMING RESOURCES

Incoming resources are recognised in the year in which the charity is entitled to the receipt, and the amount can be measured with reasonable certainty. Income is only deferred when the charity has to fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be expended in a future period.

(c) RESOURCES EXPENDED

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is reported as part of the expenditure to which it relates.

(d) PENSIONS

The charity contributes to money purchase, defined contribution schemes, on behalf of its employees. No liability exists in respect of pensions other than monthly contributions due which is included within creditors.

(e) DEBTORS

Trade debtors and other debtors are recognised at their settlement amount due after any discounts. Prepayments are valued at the amount prepaid net of any trade discount due.

7

CENTRAL LANGUAGE SCHOOL CAMBRIDGE NOTES TO THE ACCOUNTS continued FOR THE YEAR ENDED 31 AUGUST 2024

1 ACCOUNTING POLICIES (continued)

(f) CREDITORS AND PROVISIONS

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

2
FEES & ACCOMMODATION
2024
£
Fees & Accommodation
322,365
Less Agents Fees
1,880
320,485
3
COSTS OF GENERATING FUNDS
2024
£
Publicity, Printing and Literature
657
657
4
GOVERNANCE COSTS OF THE CHARITY
2024
£
Independent Examination Fee
500
Other Administration and Professional Fees
330
830
5
STAFF COSTS
2024
£
The staff costs were:
Wages and salaries
133,938
Social Security costs
2,709
Pension costs
3,249
139,896
The average number of staff employed by the charity during the year was:
Business Manager
1
Director of Studies
1
Part time administrators
1
Full time teachers
2
Part time teachers
7
12
2023
£
254,256
2,006
252,250
2023
£
671
671
2023
£
490
330
820
2023
£
113,588
1,378
2,577
117,543
1
1
1
1
6
10

8

CENTRAL LANGUAGE SCHOOL CAMBRIDGE NOTES TO THE ACCOUNTS continued FOR THE YEAR ENDED 31 AUGUST 2024

6
OPERATING COSTS
Staff Costs
Accommodation
General Office
Teaching Aids & Materials
IT Equipment/Website
Rent
Furniture
Stationery
Telecoms
Insurance
Student Excursions
Refreshments
English UK
Travelling & airport transfers
Bank & Credit Charges
Exam Fees
Social Activities
Misc
7
DEBTORS
Students
8
CREDITORS
Fees & Accommodation received in advance
Accruals
2024
£
139,896
106,543
1,302
2,361
6,438
28,244
1,761
1,701
687
1,289
4,234
584
3,020
427
3,965
1,755
2,118
59
306,384
2024
£
2,554
2,554
2024
£
41,276
6,046
47,322
2023
£
117,543
64,355
1,714
757
4,512
26,051
0
1,641
586
1,254
5,982
879
2,411
0
4,055
195
1,062
0
232,997
2023
£
9,530
9,530
2023
£
57,621
13,397
71,018

9 PAYMENTS TO TRUSTEES

An amount of £968 (2023 £594) was paid to David Farrer, a trustee of the charity, for the provision of accountancy services. No other payments were made to trustees nor were any expenses reimbursed to them.

10 RELATED PARTY TRANSACTIONS

There were no related party transactions in the year that required disclosure.

9

CENTRAL LANGUAGE SCHOOL CAMBRIDGE INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE CENTRAL LANGUAGE SCHOOL CAMBRIDGE

I report to the trustees on my examination of the accounts of the charity for the year ended 31 August 2024 set out on pages 2 to 9.

RESPECTIVE RESPONSIBILITIES OF TRUSTEES AND EXAMINER

As the charity's trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Acts 2011 ("the Act").

I report in respect of my examination of your charity's accounts carried out under section 145 of the Act, and in carrying out my examination I have followed the applicable directions given by the Charity Commission under section 145(5)(b) of the Act.

INDEPENDENT EXAMINER'S STATEMENT

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

the accounting records were not kept in respect of the charity as required by section 130 of the Act; or

the accounts do not accord with those records; or

the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination

I have no concerns and have come across no other matters in connection with the examination to which attention should be brought in this report in order to enable a proper understanding of the accounts to be reached.

Geoff Mann Geoff Mann Ltd Dee House Highworth Avenue Cambridge

23 June 2025

10