**REGISTERED CHARITY NUMBER: 1057370** 

**CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

**FOR** 

**EASTBROOK EDUCATION TRUST** 



**EASTBROOK EDUCATION TRUST** 

## **CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

||**Page**|
|---|---|
|**Reference and Administrative Information**|2|
|**Report of the Trustees**|3 to 5|
|**Report of the Independent Auditors**|6 to 8|
|**Statement of Financial Activities - Consolidated**|9|
|**Statement of Financial Activities - Parent Charity**|10|
|**Balance Sheet - Consolidated and Parent Charity**|11|
|**Cash Flow Statement - Consolidated**|12|
|**Notes to the Financial Statements - Consolidated and Parent Charity**|13 to 27|



Page 1 



**EASTBROOK EDUCATION TRUST** 

## **REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 DECEMBER 2021** 

**Registered charity number** 1057370 

## **Principle address** 

7 Eastbrook Road Gloucester Gloucestershire GL4 3DB 

## **Trustees** 

B Freeman N Freeman (resigned on 24 February 2022) C Haughton G Knappett (resigned on 24 February 2022) D Pomeroy G Tomkins A Trigwell 

## **Auditors** 

Richards Sandy Audit Services Limited Thorneloe House 25 Barbourne Road Worcester Worcestershire WR1 1RU 

## **Bank** 

19 Eastgate Street Gloucester GL1 1NU 

Page 2 



**EASTBROOK EDUCATION TRUST** 

## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2021** 

The trustees present their report with the financial statements of the charity for the year ended 31st December 2021. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). 

## **OBJECTIVES AND ACTIVITIES** 

## **Objects** 

The charitable objects of the charity are the advancement of the education of children and young people from ages five to eighteen in particular by assistance to their parents to enable such children to be taught otherwise than as school as defined in the Education Acts and any other charitable purpose for the benefit of the worldwide Christian fellowship known as the Plymouth Brethren Christian Church. 

## **Activities** 

In furtherance of its objects, the charity provides two premises under formal lease for an independent school based in Eastbrook Road, Gloucester, which has been run by OneSchool Global UK (OSGUK). 

The charity also provides grant funding and other financial support to OSGUK at the discretion of the trustees in order to enable OSGUK to provide a well balanced education at primary and secondary levels, for children and young people whose parents appreciate the Christian ethos. 

Success is measured in terms of the provision of appropriate facilities to OSGUK whilst minimising expenditure. This in turn, frees up funds for raising standards of education for all concerned and for the improvement of facilities for pupils and staff alike. 

## **Public benefit** 

The trustees have referred to the guidance contained in the Charity Commission’s general guidance on public benefit and have regard to it when reviewing their aims and objectives, and in planning their future activities. In particular they consider how planned activities will contribute to the educational aims and objectives they have set. 

## **Volunteers** 

Volunteers are an integral part of the community ethos and values of the charity and there are strong and willing group of volunteers who assist and support the charity throughout the year. 

The trading activities of the charity's trading subsidiary Spectrum Products (UK) Limited, which operates a small chain of convenience stores, are undertaken by volunteers. 

## **ACHIEVEMENT AND PERFORMANCE** 

## **Significant activities** 

Throughout the year the charity has continued to provide educational premises in support of the educational activities of OSGUK. 

The charity has a wholly owned subsidiary company, Spectrum Products Ltd (Company Registration No. - 06333795) which undertakes trading activities. All profits chargeable to corporation tax are gifted to the charity in support of the charitable activities of the charity. 

## **Significant post year end events** 

In April 2022 the charity acquired a site at Gloucester Road, Tewkesbury, Gloucestershire on which work is commencing to provide one site on which primary and secondary schooling can take place.  It is intended that this site will open in September 2023. 

## **FINANCIAL REVEW** 

## **Principal funding sources** 

The charity's primary source of income is from the trading activities of its subsidiary Spectrum Products (UK) Limited. The majority of the customer base of Spectrum Products (UK) Limited are local members of the Plymouth Brethren Christian Church. 

## **Financial position** 

In the year the charity reported a net deficit of £84,383 (2020 - deficit of £126,926). The group reported a net surplus of £51,013 (2020 - surplus of £49,841). 

At the year end the charity had net current liabilities of £194,900 (2020 - £263,349). The group had net liabilities of £482,678 (2020 - £417,387). 

Page 3 



**EASTBROOK EDUCATION TRUST** 

## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **Principal risks** 

The principal risks to the charity are: 

- the risk of damage to the property held by the charity (although the charity holds property insurance); 

- the risk of closure or relocation of the school by OneSchool Global UK (which is considered unlikely to occur); and 

- the risk of fall in trading activities of Spectrum Products (UK) Limited, either due to a fall in customer loyalty or due to significant supplier price increases (which the directors of Spectrum Products (UK) Limited monitor and take appropriate action). 

The trustees' have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. There were no serious incidents relating to the charity over the year to report. 

The charity is supported and financed principally by profits from its trading subsidiary Spectrum Products Ltd (Company Registration No: 06333795) plus other ad hoc donations and those raised by fundraising events and post year end grants from the Grace Trust. The trustees believe that the charity’s funds are sufficient to mitigate any short to medium term risk of reduced funding. 

## **Reserves policy** 

The trustees’ policy is to maintain minimum free reserves of the charity at a level which equates to six months’ unrestricted expenditure. This is approximately £55,500 based on next year's budget. At the year end the charity had free reserves of the charity was £138,895 (2020 - £86,308), with the increase in retained reserves at the end of the current year due to funds needed for the post year end purchase of additional school land and buildings. 

The charity also had at the year end restricted reserves of £926,623 (2020 - £1,063,593), of which £870,616 (2020 - £886,550) was held in fixed assets. 

The charity’s trading subsidiary delays distributing taxable profits to the charity by up to 9 months in order to hold a reserve of up to 3 months of expenditure. This is done as to mitigate the effects to both the charity and the group should the trading subsidiary suffer a significant future loss (as the trading subsidiary is the charity’s primary source of funding). Total expenditure of the trading subsidiary in the year was £1,530,248 (2020 - £1,033,568) and 3 months expenditure for the current year is approximately £380,000 (2020 - £260,000). At the year end the group had free reserves of £426,671 (2020 - £240,344), of which £287,777 (2020 - £154,039) related to the trading subsidiary. Although this is slightly higher than the level calculated this is seen only as a timing difference and mainly due to a significant increase in trading seen following the lifting of Covid-19 lockdown part way through the year. 

## **Going concern** 

After making appropriate enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, it continues to adopt the going concern basis in preparing the financial statements. 

## **FUTURE PLANS** 

The trustees plan to continue to support OSGUK to provide a quality and deliver a consistent and high level of educational experience and outcome for all students and staff, in accordance with the charity's ethos and values. 

## **STRUCTURE, GOVERNANCE AND MANAGEMENT** 

## **Governing document** 

Eastbrook Education Trust is constituted by a Deed of Trust dated 25th June 1996 and is registered with the Charity Commission for England and Wales. 

## **Recruitment and appointment of trustees** 

New trustees are appointed at charity meetings and training given by the outgoing trustee being replaced, along with support from fellow trustees. 

## **Holding Trustees** 

The freehold property is held in the names of all of the current trustees (including 2 trustees who resigned after the year end) of the charity. 

The shares of the charity's subsidiary Spectrum Products (UK) Limited are held in the names of B Freeman and G Knappett. 

Page 4 



ASTBR
K EDUCATION TRUST
EPORT OFTHE TRUSTEES
FOR T
YEAR ENDED 31 DECEMBER 202
Approach to fundralslng
The tharrfws fundraising events principalty operate wilhln the Brethren community and professional fundraisers are nol used.
Neilher the chafily nor any person acllng on behaK of the T￿s1 was subject lo an undert8king lo be bound by any vdunlary scheme
for regulating fund-raisino. or ¥olunlarysl4ndard for fund-raisiw In respect of aclfvth¢s on behalf tsf the charity.
TRUSTEES, RESPONSIBILITIES
ThÈ Iruslees. are responsblè for prepallng the Report of the Trustees Ihe financial slalemenls in accordance with app1kab￿ law
and United Klngdom Accounting Slandards Iuniled Kingdom Genwally Accepted Accoijnling PraclKal.
The law 8pplicable lo charities in EnglÈnd and W218S. the Charities Act 2011, Charity (Accounts 8nd Reporisl Regulations 2008 and
the prov￿￿0￿5 of lh& tharily deed. requires Ihe Iruslees lo prepare financial slatemenls for each financlal year ￿1th gwe a true and
fair view of the stale of affairs of Ihe charity ano the group and of lh8 inconiing resourtes and appI￿l￿n of resources. including the
income and expenditure, of the chaity for that period. In prep8fFng Ih05e financi85 slatemenls. the Irusiees 8re requlred to..
select sullable at¢ounling poli¢ie5 and Ih&n apply them consislenlty.,
obseNe the methods and prinaples in the CharilEs SORP..
mak8 judgemenls and accounllng e51imales Ihai are ieasonabfe and prudent.,
state whether Èpplicable UK aGGounliw standards have been follow8d, svE4eGt lo any maieri81 departures disclosed and
explained in the financi81 slatemenls..
prep&re the fin8ntsal*tatemt)ts on Ihe going toncetn basi$ unjess it.￿ ll18pwop￿a1e lo presLk>* Ihal the c17arity wiu conlinu8
business.
Thè Iruslees a￿ responsible for keeplru proper accounting recotds which,di5cbse wrfh reasonabb .accuraGy. ¥li any likne the,
financial positlon of the Gharity and 10 enable them to ensure that the financial slalerllents comply with the Charit￿5 Acl 2011, Charlly
IAccoun15 and Reports) Regulations 21NJ8 and the provisions of the charity deed, They are also responsible for s3fegU8rding the
assets of the charrty and hence for taking reasonabk steps for thè pTrvenlion and delection of fraud and olh8r Irr&gularllie8.
STATEMENTS AS TO DISCLOSURE TO OUR AUDITORS
In so f8r as the Iwstees are aware ai th& limè of approving our l¥uslees' annual report..
Ihare isino relevant inferm81ion, being information ￿e￿ed ty the a￿lIor In ¢onnection with preparing Iheir.rÈport., of whtth the
oup's4udilor 1$ unaware. and
the Irustees, having made enquir*s Df fallow trustees and the group's 8uditor Ihal they ought lo have ind￿d￿)I￿ taken. have
eaGh taken all Steps that hel$hÈ 15 oblYJed lo lake as a Tru51ee in ord8r to make themse￿¢$ aware of any relevant audit
infotmglion 8nd lo establish Ihal the auditor is aware ofthal infottnalion.
Approved ty ord&r of the Board of TtU51ees on .
and Signed on ils behalf by..
ee
P8ge 5

**EASTBROOK EDUCATION TRUST** 

## **REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF EASTBROOK EDUCATION TRUST FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **Opinion** 

We have audited the financial statements of Eastbrook Education Trust (the 'parent charity') and its subsidiary (the 'group') for the year ended 31st December 2021 which comprise the Consolidated Statement of Financial Activities, the Consolidated 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 (United Kingdom Generally Accepted Accounting Practice). 

In our opinion the financial statements: 

- give a true and fair view of the state of the group's and the parent charity's affairs as at 31st December 2021 and of its incoming resources and application of resources 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 Charities Act 2011. 

## **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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and the provisions available for small entities, in the circumstances set out in note 24 to the financial statements, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. 

## **Conclusions relating to going concern** 

In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate. 

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

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

## **Other information** 

The trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our Report of the Independent Auditors 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. 

## **Matters on which we are required to report by exception** 

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion: 

- the information given in the Report of the Trustees is inconsistent in any material respect with the financial statements; or 

- sufficient accounting records have not been kept; or 

- the financial statements are not in agreement with the accounting records and returns; or 

- we have not received all the information and explanations we require for our audit. 

Page 6 



**EASTBROOK EDUCATION TRUST** 

## **REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF EASTBROOK EDUCATION TRUST FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **Responsibilities of trustees** 

As explained more fully in the Statement of Trustees Responsibilities, the trustees are responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. 

In preparing the financial statements, the trustees are responsible for assessing the group's and parent charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so. 

## **Our responsibilities for the audit of the financial statements** 

We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. 

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 a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. 

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. 

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, we have: 

- obtained an understanding of the nature of the industry and sector, including the legal and regulatory framework that the group operates in and how the group is complying with the legal and regulatory framework; and 

- inquired of management, and those charged with governance, about their own identification and assessment of the risks of irregularities, including any known actual, suspected or alleged instances of fraud. 

As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011 (and related legislation). 

We performed audit procedures to detect non-compliances which may have a material impact on the financial statements, which included reviewing the financial statement disclosures. 

Significant laws and regulations effecting the group that may have an indirect impaction on the financial statements are the Food Standards Act 1999 (and related legislation), the Licensing 2003 Act (and related legislation) and the Data Protection Act 2018 (and related legislation). We have confirmed that the group has registered with the Food Standards Agency for all store that it operates, holds premises licences for all locations where it sells alcohol and is registered with the Information Commissioner's Office. 

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

A further description of our responsibilities 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 Report of the Independent Auditors. 

Page 7 



CA
THE YEA
U#• oftyjr
ThK8 report Is made lo the ¢hwtys lrnstÉts, as 8 tK*. in acconlant* wih P•rt 4 01 the CharilEs (Accourts 8nd Reports)
R&Julations 2006. Our audit ha5 ljeen undertaken so that ￿ rnhjht stale lo the thar￿$ tntstses those rnatterd are required
lo stato to them m an 8￿jrtOrS. repryl and ts no other puwe. To the fuk5t ex1ent F￿￿rtled by L**, do not accwl w assume
ponsibilty to anyo￿ ol
an the charty •nd thè chW8 trustees a5 9 for ow for thts report. er foT the
wk)K)n$ ￿ ho￿ formed
Nicholas PJul Sbndy FCA ISeniN St
Athlknr)
For and on behaifolThe Richards Santy AL￿rt Servres IStaithyAu(thl
El'9ibKT to ata as an In OfS•ca￿ 1212 ofth Ad 2Tr
Thomel¢e
25 Barbaurr* Road
w¢1￿1¢¢r
WR1 1RU
>oi3
Poge 8

**EASTBROOK EDUCATION TRUST** 

## **CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2021** 

|**_Note_**<br>**INCOME FROM:**<br>Donations and legacies<br>2<br>Charitable activities<br>3<br>Other trading activities<br>4<br>**TOTAL INCOME**<br>**EXPENDITURE ON:**<br>Raising funds<br>6<br>Charitable activities<br>7<br>-<br>Property management<br>-<br>Grants issued to OneSchool Global UK<br>**TOTAL EXPENDITURE**<br>**NET INCOME/(EXPENDITURE)**<br>**TRANSFERS BETWEEN FUNDS**<br>**NET MOVEMENT IN FUNDS**<br>**TOTAL FUNDS**<br>Brought forward<br>Carried forward<br>21|**Unrestricted**<br>**Fund**<br>£<br>**25,279**<br>**5,000**<br>**2,081,388**<br>**2,111,667**<br>**1,674,187**<br>**75,403**<br>**174,094**<br>**1,923,684**<br>**187,983**<br>**-**<br>**187,983**<br>**263,073**<br>**451,056**|**Restricted**<br>**Fund**<br>£<br>**-**<br>**-**<br>**-**<br>**-**<br>-<br>**136,970**<br>**-**<br>**136,970**<br>**(136,970)**<br>**-**<br>**(136,970)**<br>**1,063,593**<br>**926,623**|**Year Ended**<br>**31 December**<br>**2021**<br>**Total**<br>**Funds**<br>£<br>**25,279**<br>**5,000**<br>**2,081,388**<br>**2,111,667**<br>**1,674,187**<br>**212,373**<br>**174,094**<br>**2,060,654**<br>**51,013**<br>**-**<br>**51,013**<br>**1,326,666**<br>**1,377,679**|Year Ended<br>31 December<br>2020<br>(Restated)<br>Total<br>Funds<br>£<br>30,111<br>5,000<br>1,416,782<br>1,451,893<br>1,141,715<br>262,955<br>(2,618)<br>1,402,052<br>49,841<br>-<br>49,841<br>1,276,825<br>1,326,666|
|---|---|---|---|---|



Page 9 



**EASTBROOK EDUCATION TRUST** 

## **INDIVIDUAL PARENT STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2021** 

|**_Note_**<br>**INCOME FROM:**<br>Donations and legacies<br>2<br>Charitable activities<br>3<br>Investment income<br>5<br>**TOTAL INCOME**<br>**EXPENDITURE ON:**<br>Charitable activities<br>7<br>-<br>Property management<br>-<br>Grants issued to OneSchool Global UK<br>**TOTAL EXPENDITURE**<br>**NET INCOME/(EXPENDITURE)**<br>**TRANSFERS BETWEEN FUNDS**<br>**NET MOVEMENT IN FUNDS**<br>**TOTAL FUNDS**<br>Brought forward<br>Carried forward<br>21|**Unrestricted**<br>**Fund**<br>£<br>**1,604**<br>**5,000**<br>**290,594**<br>**297,198**<br>**70,517**<br>**174,094**<br>**244,611**<br>**52,587**<br>**-**<br>**52,587**<br>**86,308**<br>**138,895**|**Restricted**<br>**Fund**<br>£<br>-<br>-<br>-<br>**-**<br>136,970<br>-<br>**136,970**<br>**(136,970)**<br>**-**<br>**(136,970)**<br>**1,063,593**<br>**926,623**|**Year Ended**<br>**31 December**<br>**2021**<br>**Total**<br>**Funds**<br>£<br>**1,604**<br>**5,000**<br>**290,594**<br>**297,198**<br>**207,487**<br>**174,094**<br>**381,581**<br>**(84,383)**<br>**-**<br>**(84,383)**<br>**1,149,901**<br>**1,065,518**|Year Ended<br>31 December<br>2020<br>(Restated)<br>Total<br>Funds<br>£<br>4,486<br>5,000<br>228,000<br>237,486<br>255,475<br>108,937<br>364,412<br>(126,926)<br>-<br>(126,926)<br>1,276,827<br>1,149,901|
|---|---|---|---|---|



Page 10 



EAST8
OK EDUCATIONIRUST
COIISOLIDATED BALANCE SHEET
OR T
YEAR ENDED 31 DECEMBER 202
Group
2021
Group
2020
IReslaled)
Parent
2021
Parent
2020
IRÈsialedl
Noto
FIXED ASSErs
Tangible fixed 8ssels
Social Investment in properly
InvesimeDIs
14
15
16
525,001
370,00
539,279
370,000
500,616
370,000
516,550
370.000
895,001
909,279
870,618
888,552
CURRENT ASSETS
Slocks
Debiors
Cash al bank and in hand
17
18
176,088
169,658
419,981
76S,707
191,726
55.878
333,087
580,691
5.957
295,571
301.528
5,337
273.612
278,949
LIABILITIES
Amoun15 f8111￿9 due Within one ye8r
19
1283,0291
1163.3041
1106,6281
115,6001
NET CURRENT ASSETS
482,678
417,387
194 900
263.349
TOTAL ASSETS LESS CURRENT LIABILITIES
1 377,679
1,326,666
1,065.518
1,149.901
PROVISIONS FORLIABILIYIES
20
NET ASSETS
1 377,679
1,326,666
1.065.$18
1 1.,149'9D1
FUNDS
Unre51ricled Funds
Restricled Funds
21
451,056
926,623
1,377 679
263.073
1.063,593
1,326.666
138,895
926,623
1066518
86,308
l,l￿3,593
1,149.901
The fiD8nd8J slalemenls w6r8 approved by the Board of fruslees on .
£..,.o.I :Z4ZS
and were 5￿Jnad by on ils behalf by".
Page11

**EASTBROOK EDUCATION TRUST** 

## **CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2021** 

|**Notes to the**<br>**consolidated**<br>**cash flow**<br>**statement**<br>**Cash flows from operating activities:**<br>Cash generated from operations<br>1<br>Cash collected as agent of OneSchool Global UK (see note 20)<br>**Net cash provided by operating activities**<br>**Cash flows from investing activities:**<br>Purchase of tangible fixed assets<br>**Net cash used in investing activities**<br>**Change in cash and cash equivalents in the year**<br>**Cash and cash equivalents at the beginning of the year**<br>**Cash and cash equivalents at the end of the year**<br>2<br>Amounts paid to OneSchool Global UK in regard to amounts owing<br>under the transfer agreement (see note 20)|**Group**<br>**2021**<br>**£**<br>**225,434**<br>**5,407**<br>**(5,407)**<br>**225,434**<br>**(138,540)**<br>**(138,540)**<br>**86,894**<br>**333,087**<br>**419,981**|Group<br>2020<br>(Restated)<br>£<br>53,299<br>276,433<br>(384,062)<br>(54,330)<br>(8,389)<br>(8,389)<br>(62,719)<br>395,806<br>333,087|
|---|---|---|



## **NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT** 

**1 RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES** 

|**Net expenditure for the year**<br>_(as per the statement of financial activities)_<br>**Adjustments for:**<br>Depreciation charges<br>Charge for the transfer of school activities to OneSchool Global UK<br>(Increase)/decrease in stocks<br>(Increase)/decrease in debtors<br>Increase/(decrease) in creditors<br>**Net cash provided by operating activities**<br>**2**<br>Cash at bank and in hand<br>**ANALYSIS OF CHANGES IN NET DEBT**|(see note 20)<br>**At the start**<br>**of the year**<br>**£**<br>333,087<br>333,087|**Group**<br>**2021**<br>**£**<br>**51,013**<br>**152,818**<br>**-**<br>**15,658**<br>**(113,780)**<br>**119,725**<br>**225,434**<br>**Cash flows**<br>**in the year**<br>**£**<br>86,894<br>86,894|Group<br>2020<br>(Restated)<br>£<br>49,841<br>195,803<br>(111,555)<br>(71,966)<br>4,980<br>(13,804)<br>53,299<br>**At the end**<br>**of the year**<br>**£**<br>419,981<br>419,981|
|---|---|---|---|



Page 12 



**EASTBROOK EDUCATION TRUST** 

**NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **1 ACCOUNTING POLICIES** 

## **Charity information** 

Eastbrook Education Trust is an unincorporated charity registered with the Charity Commission for England and Wales. 

The registered office and principal activities of Eastbrook Education Trust are set out in the Report of the Trustees. 

## **Basis of preparation** 

The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention. 

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

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated. 

## **Group financial statements** 

These consolidated financial statements incorporate the accounts of Eastbrook Education Trust and its wholly owned subsidiary Spectrum Products (UK) Limited on a line by line basis. Both entities prepare their individual entity financial statements adopting accounting policies not considered different from those of these consolidated financial statements and prepared to a year end of 31 December 2021. All intra-group transactions and balances are eliminated on consolidation. 

The charity is exempt from disclosing Cash Flow Statement for the individual parent charity's results as the individual parent charity is a qualifying entity. 

## **Going concern** 

At the time of approving these financial statements, the trustees have a reasonable expectation that the group and parent charity has adequate resources to continue in operational existence for the foreseeable future, being a period of at least twelve months from the date these financial statements were approved. The trustees continue to adopt the going concern basis of accounting in preparing these financial statements. 

## **Incoming resources** 

All income is recognised once the group has entitlement to the funds, it is probable that the income will be received and the 

amount can be measured reliably. 

Donation and grant income is recognised when the group has been notified of the amounts. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled. 

Income from the sale of goods is recognised when the significant risks and rewards of ownership of the goods has passed to the buyer (usually on delivery of the goods) and the amount of turnover can be measured reliably. 

Rental income is recognised on a straight line basis over the lease period. 

Page 13 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **1 ACCOUNTING POLICIES** (Continued) 

## **Resources expended** 

Liabilities are recognised as resources expended as soon as there is a legal or constructive obligation committing the group to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. 

The cost of generating funds indicates only those costs directly related to fundraising activities. 

Charitable activity costs relate to those costs that directly relate to the running of the school. 

Support costs are costs incurred to facilitate an activity. Unlike direct costs, which result directly from undertaking the activity, support costs do not change directly as a result of the activity undertaken. Support costs include property maintenance costs, including rates and utilities costs, depreciation of tangible fixed assets and legal and accountancy fees. 

The irrecoverable element of Value Added Tax is included with the item of expenses to which it relates. 

## **Stock** 

Stock is valued at the lower of cost and net realisable value, after making due allowance for obsolete stock and slow moving items. 

## **Tangible fixed assets** 

Tangible fixed assets, other than freehold and leasehold property, are stated at cost less depreciation. The trustees have reviewed the value of the freehold property and leasehold agreement and have made an appropriate impairment provision for any change in circumstances. 

Depreciation of other assets are provided at rates calculated to write off the excess cost over the estimated residual amount evenly over the estimated useful economic life of each class of asset as follows: 

|**_Used for charitable activities_**||
|---|---|
|Freehold property|: not depreciated|
|Freehold improvements|: 25% reducing balance|
|Leasehold improvements|: 25% reducing balance|
|Motor vehicles|: 20% reducing balance|
|Fixtures, fittings and equipment|: 20% on cost|
|**_Used for trading activities_**||
|Leasehold improvements|: 20% reducing balance|
|Fixtures, fittings and equipment|: 25% on cost|



Freehold property is not depreciated on the basis that its residual value is not expected to be materially lower than its original cost. 

If there is an indication that any tangible fixed assets is impaired, then such assets are then written down to their value in use, considered to be the present value of the asset’s remaining service potential plus the net amount that will receive from its disposal. 

## **Social investments in property** 

Property is classified as a social investment in property only when it is held specifically to enable a third party to undertake particular activities using the property that contribute to the charity’s charitable purposes. 

Social investment in property is measured at cost and is not depreciated on the basis that its residual value is not expected to be materially lower than its original cost. 

## **Investments in subsidiaries** 

Investments in subsidiaries in the parent charity's individual balance sheet are measured at cost less impairment. 

## **Taxation** 

The charity is exempt from tax on income and gains falling within section 505 of the taxes Act 1988 or section 252 of the Taxation of chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. 

Page 14 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **1 ACCOUNTING POLICIES** (Continued) 

## **Fund accounting** 

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. 

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. 

## **Donated services** 

Where services or use of premises are donated (provided free of charge), the donated service is measured at fair value, unless it is impractical to measure this reliably. The gain is recognised as income from donations and a corresponding amount is included in the appropriate expenditure category. 

The charity benefits from volunteers' time and organisations donating use of their facilities for free. The value to the charity of such donations is not quantifiable and is therefore not included within the financial statements. 

## **Operating leases** 

Rentals payable and receivable under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease. 

## **Financial instruments** 

The charity has elected to apply the provisions of Section 11' Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments. Financial instruments are recognised when the charity becomes party to contractual provisions of the instrument. 

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

## _**Basic financial assets**_ 

Basic financial assets, which include trade and other receivables and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. 

## _**Basic financial liabilities**_ 

Basic financial liabilities, including trade and other payables, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of future receipts, discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. 

Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of the operations from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction cost. 

## **Concessionary loans** 

Concessionary loans are measured at cost. 

## **Foreign currencies** 

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are charged or credited to the Statement of Financial Activities. 

## **Provisions** 

Provisions are recognised with the group as a legal or constructive obligation as a result of a past event, it is probable that the group will be required to settle that obligation and a reliable estimate can be made of the amounts of the obligation. The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the balance sheet date, taking into account the risks and uncertainties surrounding the obligation. 

## **Agency accounting** 

Amounts collected by the group as agent of OneSchool Global UK have not been accounted for as income of the group. 

Page 15 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **Significant judgements and key sources of estimation uncertainty** 

In the application of the group's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. These estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. 

The setting of depreciation policies for tangible fixed assets (which are stated in the accounting policies) are considered a significant judgement. In addition significant judgement is considered to be applied in the review for impairment of tangible fixed assets. The net book value and movements in the year of tangible fixed assets are disclosed in note 14 of the financial statements. 

The measurement of the provision for future amounts to be paid to OneSchool Global UK under the transfer agreement between OneSchool Global UK and Eastbrook Education Trust is considered to involve both significant judgement in the decisions made in its accounting treatment. Further details regarding the accounting treatment of the transfer agreement can be found in note 20 of these financial statements. 

## **2 DONATIONS AND LEGACIES** 

|Donations|**Group**<br>**2021**<br>**£**<br>**25,279**<br>**25,279**|Group<br>2020<br>(Restated)<br>£<br>30,111<br>30,111|**Parent**<br>**2021**<br>**£**<br>**1,604**<br>**1,604**|Parent<br>2020<br>(Restated)<br>£<br>4,486<br>4,486|
|---|---|---|---|---|



## **Donated services** 

The subsidiary Spectrum Products (UK) Limited was last year provided free use of building space used by some of its stores, as well as from November 2021 a delivery van. However, no reliable estimate of the market value can be made of the value of the waived lease costs, and as such no provision for income and relating rental costs have been made. 

Spectrum Products (UK) Limited also benefits from the volunteers who run the convenience stores. 

## **3 INCOME FROM CHARITABLE ACTIVITIES** 

|Building service charge income|**Group**<br>**2021**<br>**£**<br>**5,000**<br>**5,000**|Group<br>2020<br>(Restated)<br>£<br>5,000<br>5,000|**Parent**<br>**2021**<br>**£**<br>**5,000**<br>**5,000**|Parent<br>2020<br>(Restated)<br>£<br>5,000<br>5,000|
|---|---|---|---|---|



## **4 INCOME FROM OTHER TRADING ACTIVITES** 

|Convenience store sales<br>Commission income<br>Rental income|**Group**<br>**2021**<br>**£**<br>**2,027,533**<br>**5,105**<br>**48,750**<br>**2,081,388**|Group<br>2020<br>(Restated)<br>£<br>1,297,156<br>79,026<br>40,600<br>1,416,782|**Parent**<br>**2021**<br>**£**<br>**-**<br>**-**<br>**-**<br>**-**|Parent<br>2020<br>(Restated)<br>£<br>-<br>-<br>-<br>-|
|---|---|---|---|---|



Page 16 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **5 INVESTMENT INCOME** 

|Gift aid distributions received from subsidiary|**Group**<br>**2021**<br>**£**<br>**-**<br>**-**|Group<br>2020<br>(Restated)<br>£<br>-<br>-|**Parent**<br>**2021**<br>**£**<br>**290,594**<br>**290,594**|Parent<br>2020<br>(Restated)<br>£<br>228,000<br>228,000|
|---|---|---|---|---|



## **6 RAISING FUNDS EXPENDITURE** 

|Convenience store stock purchases<br>Rent<br>Rates and utilities<br>Equipment hire<br>Insurance<br>Telephone<br>Property maintenance<br>Bad debts<br>Bank and card charges<br>Depreciation<br>Sundry|**Group**<br>**2021**<br>**£**<br>**1,530,248**<br>**43,577**<br>**35,261**<br>**4,916**<br>**4,554**<br>**3,857**<br>**11,059**<br>**159**<br>**8,599**<br>**15,849**<br>**16,108**<br>**1,674,187**|Group<br>2020<br>(Restated)<br>£<br>1,033,508<br>36,673<br>7,762<br>2,998<br>1,860<br>4,502<br>14,406<br>(176)<br>11,115<br>14,977<br>14,090<br>1,141,715|**Parent**<br>**2021**<br>**£**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**|Parent<br>2020<br>(Restated)<br>£<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-|
|---|---|---|---|---|



## **7 CHARITABLE ACTIVITIES COSTS** 

|Direct costs<br>(see note 8)<br>Grants issued<br>(see note 9)<br>Support costs<br>(see note 10)|**Group**<br>**2021**<br>**£**<br>**64,317**<br>**174,094**<br>**148,056**<br>**386,467**|Group<br>2020<br>(Restated)<br>£<br>63,700<br>(2,618)<br>199,255<br>260,337|**Parent**<br>**2021**<br>**£**<br>**64,317**<br>**174,094**<br>**143,170**<br>**381,581**|Parent<br>2020<br>(Restated)<br>£<br>63,700<br>108,937<br>191,775<br>364,412|
|---|---|---|---|---|



## **8 DIRECT COSTS** 

|**Property management activities**<br>Books and stationery<br>Rent<br>Building insurance<br>Vehicle leasing costs<br>Transport costs<br>Sundry|**Group**<br>**2021**<br>**£**<br>**10**<br>**53,500**<br>**5,709**<br>**2,178**<br>**459**<br>**2,461**<br>**64,317**|Group<br>2020<br>(Restated)<br>£<br>1,058<br>48,233<br>9,245<br>3,266<br>564<br>1,334<br>63,700|**Parent**<br>**2021**<br>**£**<br>**10**<br>**53,500**<br>**5,709**<br>**2,178**<br>**459**<br>**2,461**<br>**64,317**|Parent<br>2020<br>(Restated)<br>£<br>1,058<br>48,233<br>9,245<br>3,266<br>564<br>1,334<br>63,700|
|---|---|---|---|---|



Page 17 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **9 GRANTS ISSUED** 

|Grants issued to OneSchool Global UK<br>- as part of transfer of school activities<br>(see note 20)<br>- funded out of trading income|**Group**<br>**2021**<br>**£**<br>**-**<br>**174,094**<br>**174,094**|Group<br>2020<br>(Restated)<br>£<br>(111,555)<br>108,937<br>**(2,618)**|**Parent**<br>**2021**<br>**£**<br>**-**<br>**174,094**<br>**174,094**|Parent<br>2020<br>(Restated)<br>£<br>-<br>108,937<br>**108,937**|
|---|---|---|---|---|



## **10 SUPPORT COSTS** 

|Accountancy fees<br>Depreciation<br>Rates and utilities<br>Property maintenance|**Group**<br>**2021**<br>**£**<br>**11,087**<br>**136,969**<br>**-**<br>**-**<br>**148,056**|Group<br>2020<br>(Restated)<br>£<br>12,280<br>180,825<br>4,275<br>1,875<br>199,255|**Parent**<br>**2021**<br>**£**<br>**6,200**<br>**136,970**<br>**-**<br>**-**<br>**143,170**|Parent<br>2020<br>(Restated)<br>£<br>4,800<br>180,825<br>4,275<br>1,875<br>191,775|
|---|---|---|---|---|



## **11 NET INCOME / (EXPENDITURE) CHARGES** 

Net income / (expenditure) per the Statement Of Financial Activities is stated after charging / (crediting): 

|||**Group**|Group|**Parent**|Parent|
|---|---|---|---|---|---|
|||**2021**|2020|**2021**|2020|
||||(Restated)||(Restated)|
|||**£**|£|**£**|£|
|Operating lease income||**(48,750)**|(40,600)|**-**|-|
|Operating lease expenditure||**104,171**|91,170|**55,678**|51,499|
|Depreciation||**152,818**|195,803|**136,970**|180,825|
|Provision movement|for future amounts payable to|**-**|(111,555)|**-**|-|
|OneSchool Global UK|(see note 20)|||||
|Bad debts||**159**|33,744|**-**|-|
|Auditor's remuneration|- audit fee|**7,200**|12,250|**7,200**|4,800|
|Auditor's remuneration|- other services|**500**|30|**-**|-|



## **12 STAFF COSTS, TRUSTEE REMUNERATION AND EXPENSES** 

## **Staff costs** 

There were no employees in either the current or comparative years. 

## **Trustees remuneration and expenses** 

The trustees were not paid nor received any other benefits from employment with the charity or its subsidiary during either the current or previous years. 

During the year none of the trustees were reimbursed expenses (2020 - 1 trustee was reimbursed expenses totalling £745). 

Page 18 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **13 COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - CONSOLIDATED** 

These figures have been restated (see note 26). 

|**Unrestricted**<br>**Notes**<br>**Fund**<br>£<br>**INCOME FROM:**<br>Donations and legacies<br>2<br>30,111<br>Charitable activities<br>3<br>5,000<br>Other trading activities<br>4<br>1,416,782<br>**TOTAL INCOME**<br>**1,451,893**<br>**EXPENDITURE ON:**<br>Raising funds<br>6<br>1,141,715<br>Charitable activities<br>7<br>-<br>Property management<br>82,130<br>-<br>Grants issued to OneSchool Global UK<br>(2,618)<br>**TOTAL EXPENDITURE**<br>**1,221,227**<br>**NET INCOME/(EXPENDITURE)**<br>**230,666**<br>**TRANSFERS BETWEEN FUNDS**<br>**-**<br>**NET MOVEMENT IN FUNDS**<br>**230,666**<br>**TOTAL FUNDS**<br>Brought forward<br>**32,407**<br>Carried forward<br>21<br>**263,073**<br>**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - PARENT CHARITY**<br>These figures have been restated (see note 26).<br>**Unrestricted**<br>**Notes**<br>**Fund**<br>£<br>**INCOME FROM:**<br>Donations and legacies<br>2<br>4,486<br>Charitable activities<br>3<br>5,000<br>Investment income<br>5<br>228,000<br>**TOTAL INCOME**<br>**237,486**<br>**EXPENDITURE ON:**<br>Charitable activities<br>7<br>-<br>Property management<br>74,650<br>-<br>Grants issued to OneSchool Global UK<br>108,937<br>**TOTAL EXPENDITURE**<br>**183,587**<br>**NET INCOME/(EXPENDITURE)**<br>**53,899**<br>**TRANSFERS BETWEEN FUNDS**<br>**-**<br>**NET MOVEMENT IN FUNDS**<br>**53,899**<br>**TOTAL FUNDS**<br>Brought forward<br>**32,409**<br>Carried forward<br>21<br>**86,308**|**Restricted**<br>**Fund**<br>£<br>-<br>-<br>-<br>**-**<br>-<br>180,825<br>-<br>**180,825**<br>**(180,825)**<br>**-**<br>**(180,825)**<br>**1,244,418**<br>**1,063,593**<br>**Restricted**<br>**Fund**<br>£<br>-<br>-<br>-<br>**-**<br>180,825<br>-<br>**180,825**<br>**(180,825)**<br>**-**<br>**(180,825)**<br>**1,244,418**<br>**1,063,593**|**Total**<br>**2020**<br>£<br>**30,111**<br>**5,000**<br>**1,416,782**<br>**1,451,893**<br>**1,141,715**<br>**262,955**<br>**(2,618)**<br>**1,402,052**<br>**49,841**<br>**-**<br>**49,841**<br>**1,276,825**<br>**1,326,666**<br>**Total**<br>**2020**<br>£<br>**4,486**<br>**5,000**<br>**228,000**<br>**237,486**<br>**255,475**<br>**108,937**<br>**364,412**<br>**(126,926)**<br>**-**<br>**(126,926)**<br>**1,276,827**<br>**1,149,901**|
|---|---|---|



Page 19 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **14 TANGIBLE FIXED ASSETS - GROUP** 

|**14 TANGIBLE FIXED ASSETS - GROUP**|**14 TANGIBLE FIXED ASSETS - GROUP**|||||
|---|---|---|---|---|---|
|**Freehold**<br>**improvements **<br>**£**<br>**COST**<br>At 1 January 2021<br>865,418<br>Additions<br>121,036<br>Disposals<br>-<br>At 31 December 2021<br>986,454<br>**DEPRECIATION:**<br>At 1 January 2021<br>(378,629)<br>Charge for the year<br>(124,219)<br>Disposals<br>-<br>At 31 December 2021<br>(502,848)<br>**NET BOOK VALUE:**<br>At 31 December 2021<br>483,606<br>At 31 December 2020<br>486,789<br>**TANGIBLE FIXED ASSETS - PARENT CHARITY**<br>**Freehold**<br>**improvements **<br>**£**<br>**COST**<br>At 1 January 2021<br>865,418<br>Additions<br>121,036<br>Disposals<br>At 31 December 2021<br>986,454<br>**DEPRECIATION:**<br>At 1 January 2021<br>(378,629)<br>Charge for the year<br>(124,219)<br>Disposals<br>-<br>At 31 December 2021<br>(502,848)<br>**NET BOOK VALUE:**<br>At 31 December 2021<br>483,606<br>At 31 December 2020<br>486,789<br>**15 SOCIAL INVESTMENT IN PROPERTY**||**Leasehold**<br> **improvements**<br>**£**<br>499,893<br>145<br>(1,795)<br>498,243<br>(499,237)<br>(160)<br>1,795<br>(497,602)<br>641<br>656<br>**Leasehold**<br> **improvements**<br>**£**<br>498,044<br>-<br>498,044<br>(498,044)<br>-<br>-<br>(498,044)<br>-<br>-|**Motor**<br>**vehicles**<br>**£**<br>18,746<br>-<br>(18,746)<br>-<br>(18,266)<br>(480)<br>18,746<br>-<br>-<br>480<br>**Motor**<br>**vehicles**<br>**£**<br>18,746<br>-<br>(18,746)<br>-<br>(18,266)<br>(480)<br>18,746<br>-<br>-<br>480|**Fixtures,**<br>**fittings &**<br>**equipment**<br>**£**<br>439,982<br>17,359<br>(1,222)<br>456,119<br>(388,628)<br>(27,959)<br>1,222<br>(415,365)<br>40,754<br>51,354<br>**Fixtures,**<br>**fittings &**<br>**equipment**<br>**£**<br>376,128<br>-<br>376,128<br>(346,847)<br>(12,271)<br>-<br>(359,118)<br>17,010<br>29,281|**Totals**<br>**£**<br>**1,824,039**<br>**138,540**<br>**(21,763)**<br>**1,940,816**<br>**(1,284,760)**<br>**(152,818)**<br>**21,763**<br>**(1,415,815)**<br>**525,001**<br>**539,279**<br>**Totals**<br>**£**<br>**1,758,336**<br>**121,036**<br>**(18,746)**<br>**1,860,626**<br>**(1,241,786)**<br>**(136,970)**<br>**18,746**<br>**(1,360,010)**<br>**500,616**<br>516,550|
||**COST**<br>At 1st January 2021 and 31st December 2021<br>**NET BOOK VALUE**<br>At 31 December 2021<br>At 31 December 2020||||**Freehold**<br>**property**<br>**£**<br>**370,000**<br>**370,000**<br>**370,000**|



|**SOCIAL INVESTMENT IN PROPERTY**||
|---|---|
|**COST**<br>At 1st January 2021 and 31st December 2021|**Freehold**<br>**property**<br>**£**<br>**370,000**|
|**NET BOOK VALUE**<br>At 31 December 2021|**370,000**|
|At 31 December 2020|**370,000**|



Following the transfer of the trade of the school to OneSchool Global UK, the freehold property held by the charity is now held for the purpose of renting it to OneSchool Global UK for a peppercorn rent. 

Page 20 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **16 FIXED ASSET INVESTMENTS - PARENT CHARITY** 

**Shares in subsidiary £** 

|**COST**<br>At 1st January 2021 and 31st December 2021<br>**NET BOOK VALUE**<br>At 31 December 2021<br>At 31 December 2020|**2**<br>**2**<br>**2**|
|---|---|



## **Spectrum Products (UK) Limited** 

Spectrum Products (UK) Limited operates a small chain of convenience stores. 

All of the issued share capital of Spectrum Products (UK) Limited (company number 06333795) is held by holding trustees of Eastbrook Education Trust. 

The registered office of Spectrum Products (UK) Limited is 7 Eastbrook Road, Gloucester, Gloucestershire, GL4 3DB. 

At the year end Spectrum Products (UK) Limited had assets and liabilities as follows: 

|Tangible fixed assets<br>Stocks<br>Debtors<br>Cash at bank<br>Creditors<br>Issued share capital<br>Retained earnings<br>ctrum Products (UK) Limited had trading results for the year as follows:<br>Turnover<br>Cost of sales<br>Administrative expenses<br>Other operating income<br>Net profit<br>Gift aid distribution to the parent charity<br>Net movement in retained earnings|**2021**<br>**£**<br>**24,385**<br>**176,068**<br>**163,702**<br>**124,410**<br>**(176,403)**<br>**312,162**<br>**2**<br>**312,160**<br>**312,162**<br>**2021**<br>**£**<br>**2,032,640**<br>**(1,530,248)**<br>**(148,828)**<br>**72,425**<br>**425,989**<br>**(290,594)**<br>**135,395**|2020<br>£<br>22,728<br>191,726<br>50,541<br>59,476<br>(147,704)<br>176,767<br>2<br>176,765<br>176,767<br>2020<br>£<br>1,376,182<br>(1,033,568)<br>(115,627)<br>66,225<br>293,212<br>(228,000)<br>65,212|
|---|---|---|



Spectrum Products (UK) Limited had trading results for the year as follows: 

## **Prior year adjustment relating to Spectrum Products (UK) Limited** 

The 2020 figures for Spectrum Products (UK) Limited have been restated as follows: 

- Gift aid distribution to the parent charity is recognised on a cash basis (previously recognised in line with the corporation tax declaration). The 2020 figures have been amended to reduce the intercompany creditor by £176,734, increasing retained earnings brought forward by £111,522 and reducing gift aid distribution for the year by £65,212. 

- Concessionary loans of £20,000 received in 2018 had previously been incorrectly accounted for as donations received (reported as income in Eastbrook Education Trust via the intercompany loan account). The 2020 figures have been amended to reduce the intercompany creditor by £20,000 and including other creditors of £20,000. 

See note 26 for further details. 

Page 21 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **17 STOCKS** 

|Convenience store goods held for resale<br>**BTORS: AMOUNT FALLING DUE WITHIN ONE YEAR**<br>Trade debtors<br>Prepayments|**Group**<br>**2021**<br>**£**<br>**176,068**<br>**176,068**<br>**Group**<br>**2021**<br>**£**<br>**138,255**<br>**31,403**<br>**169,658**|Group<br>2020<br>(Restated)<br>£<br>191,726<br>191,726<br>Group<br>2020<br>(Restated)<br>£<br>36,597<br>19,281<br>55,878|**Parent**<br>**2021**<br>**£**<br>**-**<br>**-**<br>**Parent**<br>**2021**<br>**£**<br>**-**<br>**5,957**<br>**5,957**|Parent<br>2020<br>(Restated)<br>£<br>-<br>-<br>Parent<br>2020<br>(Restated)<br>£<br>-<br>5,337<br>5,337|
|---|---|---|---|---|



## **18 DEBTORS: AMOUNT FALLING DUE WITHIN ONE YEAR** 

## **19 CREDITORS: AMOUNT FALLING DUE WITHIN ONE YEAR** 

|Trade creditors<br>Social security and other taxation<br>Other creditors<br>Concessionary loans<br>Accruals|**Group**<br>**2021**<br>**£**<br>**208,376**<br>**20,791**<br>**20,333**<br>**20,000**<br>**13,529**<br>**283,029**|Group<br>2020<br>(Restated)<br>£<br>87,244<br>18,362<br>13,531<br>20,000<br>24,167<br>163,304|**Parent**<br>**2021**<br>**£**<br>**99,335**<br>**-**<br>**-**<br>**-**<br>**7,293**<br>**106,628**|Parent<br>2020<br>(Restated)<br>£<br>-<br>-<br>-<br>-<br>15,600<br>15,600|
|---|---|---|---|---|



## **20 PROVISIONS** 

## **Amounts payable to OneSchool Global UK under the transfer agreement** 

During 2019 the trustees of Eastbrook Education Trust agreed to transfer the operations of the school operated as the Gloucester Campus of the OneSchool Global chain of schools to the newly established UK charity OneSchool Global UK, as part of a wider programme to bring the operations of all UK schools operating under the OneSchool Global brand into a single charity. 

Under the transfer agreement, during a transition period during which OneSchool Global UK arranges with suppliers for the transfer of operating lease, utilities and other service contracts to be transferred over to them, the trade debts and operating cash relating to the school are to be held and managed by Eastbrook Education Trust as agent of OneSchool Global UK, with full ownership passing to OneSchool Global UK at a future date. However the transfer agreement does give OneSchool Global UK the authority to request payments on account to be made to them out of the operating cash prior to the end of the transition period. 

Under this agreement, until the end of the transition period, any future expenditure incurred by Eastbrook Education Trust in regard to the activities of the school are still the liabilities of Eastbrook Education Trust. However OneSchool Global UK has provided a guarantee that if Eastbrook Education Trust has such expenses that exceed their operating cash, then OneSchool Global UK will pay Eastbrook Education Trust the difference. This in effect creates a contingent asset to Eastbrook Education Trust equal to the value of all future qualifying expenditure will result that any future qualifying expenditure will have no net impact on the net funds of Eastbrook Education Trust, as OneSchool Global UK will compensate Eastbrook Education Trust either directly or indirectly by way of a reduction in the value of operating cash to be paid to OneSchool Global UK at the end of the transition period. 

Also under the transfer agreement, Eastbrook Education Trust is to pay all future donations received over to OneSchool Global UK. 

Page 22 



**EASTBROOK EDUCATION TRUST** 

**NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **20 PROVISIONS** (continued) 

Also under the transfer agreement, other than computer equipment which was transferred to OneSchool Global UK on 31 July 2020 for no consideration, ownership of the tangible fixed assets is to be retained by Eastbrook Education Trust, was are to be leased to OneSchool Global UK for a peppercorn rent under a separate lease agreement. Under this lease agreement, which coves the period from 1 January 2021 to 31 December 2027, a service charge will be payable by OneSchool Global UK to Eastbrook Education Trust of £5,000 per year, subject to a review on 1 January 2025. 

In addition to Eastbrook Education Trust's obligations to manage trade debtors as at 31 July 2020 on behalf of OneSchool Global UK and to pay over any amounts collected during the transition period in regard to these trade debtors, Eastbrook Education Trust has raised invoice for school fees in regard to periods after 31 July 2020 as agent of OneSchool Global UK (under an informal arrangement not considered covered by the transfer agreement). These transitions have been accounted for under agency accounting policies. 

OneSchool Global UK has provided assurances that they have waived their rights to amounts receivable from the charity under the transfer agreement. The date of effect of this waiver was backdated to 31 December 2020. 

The total charge to the Statement Of Financial Activities in regard to the transfer agreement is as follows: 

|**Group**<br>**2021**<br>**£**<br>**-**<br>**-**<br>Amount recognised in the Statement Of Financial Activities in<br>regard<br>to<br>the<br>provision<br>for<br>future<br>amounts<br>payable<br>to<br>OneSchool Global UK|Group<br>2020<br>(Restated)<br>£<br>(111,555)<br>(111,555)|**Parent**<br>**2021**<br>**£**<br>**-**<br>**-**|Parent<br>2020<br>(Restated)<br>£<br>-<br>-|
|---|---|---|---|



The movement in the year of the provision for future amounts payable to OneSchool Global UK is as follows: 

|Opening balance as at 1 January 2021<br>Less payments on account made to OneSchool Global UK<br>**Closing balance as at 31 December 2021**<br>Plus bank receipts that relate to OneSchool Global UK trade<br>debtors received as agent<br>Amount recognised in the Statement Of Financial Activities in<br>regard to the provision for future amounts payable to<br>OneSchool Global UK|**Group**<br>**2021**<br>**£**<br>**-**<br>**-**<br>**5,407**<br>**(5,407)**<br>**-**|Group<br>2020<br>(Restated)<br>£<br>219,184<br>(111,555)<br>276,433<br>(384,062)<br>-|**Parent**<br>**2021**<br>**£**<br>**-**<br>**-**<br>**5,407**<br>**(5,407)**<br>**-**|Parent<br>2020<br>(Restated)<br>£<br>107,629<br>-<br>276,433<br>(384,062)<br>-|
|---|---|---|---|---|



Page 23 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

|**21 MOVEMENT IN FUNDS - GROUP**<br>**As at 1**<br>**January**<br>**2021**<br>**£**<br>**Unrestricted funds**<br>General fund<br>263,073<br>**263,073**<br>**Restricted funds**<br>Capital fund<br>1,063,593<br>**1,063,593**<br>**1,326,666**<br>Movement in funds for the comparative year (as restated) was<br>**As at 1**<br>**January**<br>**2020**<br>**£**<br>**Unrestricted funds**<br>General fund<br>32,407<br>**32,407**<br>**Restricted funds**<br>Capital fund<br>1,244,418<br>**1,244,418**<br>**1,276,825**<br>**MOVEMENT IN FUNDS - PARENT CHARITY**<br>**As at 1**<br>**January**<br>**2021**<br>**£**<br>**Unrestricted funds**<br>General fund<br>86,308<br>**86,308**<br>**Restricted funds**<br>Capital fund<br>1,063,593<br>**1,063,593**<br>**1,149,901**|**Incoming**<br>**resources**<br>**£**<br>2,111,667<br>**2,111,667**<br>-<br>**-**<br>**2,111,667**<br>as follows:<br>**Incoming**<br>**resources**<br>**£**<br>1,451,893<br>**1,451,893**<br>-<br>**-**<br>**1,451,893**<br>**Incoming**<br>**resources**<br>**£**<br>297,198<br>**297,198**<br>-<br>**-**<br>**297,198**|**Resources**<br>**expended**<br>**£**<br>(1,923,684)<br>**(1,923,684)**<br>(136,970)<br>**(136,970)**<br>**(2,060,654)**<br>**Resources**<br>**expended**<br>**£**<br>(1,221,227)<br>**(1,221,227)**<br>(180,825)<br>**(180,825)**<br>**(1,402,052)**<br>**Resources**<br>**expended**<br>**£**<br>(244,611)<br>**(244,611)**<br>(136,970)<br>**(136,970)**<br>**(381,581)**|**Transfer**<br>**between**<br>**funds**<br>**£**<br>-<br>**-**<br>-<br>**-**<br>**-**<br>**Transfer**<br>**between**<br>**funds**<br>**£**<br>-<br>**-**<br>-<br>**-**<br>**-**<br>**Transfer**<br>**between**<br>**funds**<br>**£**<br>**-**<br>-<br>**-**<br>**-**|**As at 31**<br>**December**<br>**2021**<br>**£**<br>**451,056**<br>**451,056**<br>**926,623**<br>**926,623**<br>**1,377,679**<br>**As at 31**<br>**December**<br>**2020**<br>**£**<br>**263,073**<br>**263,073**<br>1,063,593<br>**1,063,593**<br>**1,326,666**<br>**As at 31**<br>**December**<br>**2021**<br>**£**<br>**138,895**<br>**138,895**<br>**926,623**<br>**926,623**<br>**1,065,518**|
|---|---|---|---|---|



Page 24 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **21 MOVEMENT IN FUNDS** (continued) 

Movement in funds for the comparative year (as restated) was as follows: 

|**Unrestricted funds**<br>General fund<br>**Restricted funds**<br>Capital fund|**As at 1**<br>**January**<br>**2020**<br>**£**<br>32,409<br>**32,409**<br>1,244,418<br>**1,244,418**<br>**1,276,827**|**Incoming**<br>**resources**<br>**£**<br>237,486<br>**237,486**<br>-<br>**-**<br>**237,486**|**Resources**<br>**expended**<br>**£**<br>(183,587)<br>**(183,587)**<br>(180,825)<br>**(180,825)**<br>**(364,412)**|**Transfer**<br>**between**<br>**funds**<br>**£**<br>-<br>**-**<br>-<br>**-**<br>**-**|**As at 31**<br>**December**<br>**2020**<br>**£**<br>**86,308**<br>**86,308**<br>**1,063,593**<br>**1,063,593**<br>**1,149,901**|
|---|---|---|---|---|---|



## **RESTRICTED FUNDS** 

## **Capital Fund** 

This fund exists for the purchase and maintenance of the charity's assets with the main source of income being donations restricted for capital use by the donor. 

## **NET ASSETS HELD BY EACH FUND - GROUP** 

|**2021**<br>**2021**<br>**Unrestricted**<br>**Restricted**<br>**funds**<br>**funds**<br>Tangible fixed assets<br>**24,385**<br>**500,616**<br>Social investment in property<br>**-**<br>**370,000**<br>Stocks<br>**176,068**<br>**-**<br>Debtors<br>**169,658**<br>**-**<br>Cash<br>**363,974**<br>**56,007**<br>Creditors<br>**(283,029)**<br>**-**<br>**451,056**<br>**926,623**<br>**NET ASSETS HELD BY EACH FUND - PARENT CHARITY**<br>**2021**<br>**2021**<br>**Unrestricted**<br>**Restricted**<br>**funds**<br>**funds**<br>Tangible fixed assets<br>**-**<br>**500,616**<br>Social investment in property<br>**-**<br>**370,000**<br>Fixed asset investments<br>**2**<br>**-**<br>Debtors<br>**5,957**<br>**-**<br>Cash<br>**239,564**<br>**56,007**<br>Creditors<br>**(106,628)**<br>**-**<br>**138,895**<br>**926,623**|**2021**<br>**Total**<br>**funds**<br>**525,001**<br>**370,000**<br>**176,068**<br>**169,658**<br>**419,981**<br>**(283,029)**<br>**1,377,679**<br>**2021**<br>**Total**<br>**funds**<br>**500,616**<br>**370,000**<br>**2**<br>**5,957**<br>**295,571**<br>**(106,628)**<br>**1,065,518**|2020<br>Unrestricted<br>funds<br>22,729<br>-<br>191,726<br>55,878<br>156,044<br>(163,304)<br>263,073<br>2020<br>Unrestricted<br>funds<br>-<br>-<br>2<br>5,337<br>96,569<br>(15,600)<br>86,308|2020<br>Restricted<br>funds<br>516,550<br>370,000<br>-<br>-<br>177,043<br>-<br>1,063,593<br>2020<br>Restricted<br>funds<br>516,550<br>370,000<br>-<br>-<br>177,043<br>-<br>1,063,593|2020<br>Total<br>funds<br>539,279<br>370,000<br>191,726<br>55,878<br>333,087<br>(163,304)<br>1,326,666<br>2020<br>Total<br>funds<br>516,550<br>370,000<br>2<br>5,337<br>273,612<br>(15,600)<br>1,149,901|
|---|---|---|---|---|



Page 25 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS** 

## **FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **22 LEASING ARRANGEMENTS** 

Minimum lease payments under non-cancellable operating lease fall due as follows: 

|Within one year<br>Between one and five years|**Group**<br>**2021**<br>**£**<br>**21,916**<br>**2,048**<br>**23,964**|Group<br>2020<br>£<br>19,916<br>6,964<br>26,880|**Parent**<br>**2021**<br>**£**<br>**-**<br>**-**<br>**-**|Parent<br>2020<br>£<br>-<br>-<br>-|
|---|---|---|---|---|



After the year end the charity entered into an operating lease for 18 months from 1 February 2022 for £50,000 per year. 

On 13 January 2020 the parent charity entered into a lease agreement in effect from 1 January 2020 to 31 December 2027, whereby the tangible fixed assets held by the parent charity are rented to OneSchool Global UK for a peppercorn rent, although a service charge of £5,000 per year, subject to a review on 1 January 2025, will be received by the parent charity from OneSchool Global UK. 

## **23 RELATED PARTY TRANSACTIONS** 

## **Transactions with trustees** 

During the year the group received convenience store income from trustees totalling £75,364 (2020 - £52,307). At the year end the group had convenience store trade debtors due from trustees totalling £1,196 (2020 - £202). 

## **Companies in which at least one of the trustees have an interest in** 

During the year the group paid costs to companies with at least one of the trustees is a director and shareholder of totalling £2,877 (2020 - £3,024). At the year end the charity owed these companies a total of £nil (2020 - £57). 

During the year the group received from such companies convenience store income totalling £75,195 (2020 - £31,689) and other income totalling £6,904 (2020 - £3,150). At the year end the group had trade debtors due from trustees totalling £11,799 (2020 - £6,219). 

## **24 FRC ETHICAL STANDARD - PROVISIONS AVAILABLE FOR AUDIT OF SMALL ENTITIES** 

In common with many other entities of our size and nature we use our auditors to assist with the preparation of the financial statements and also to prepare and submit returns to the tax authorities for Spectrum Products (UK) Limited. 

## **25 SIGNIFICANT POST YEAR END EVENTS** 

In April 2022 the Trust acquired a site at Gloucester Road, Tewkesbury, Gloucestershire on which work is commencing to provide one site on which primary and secondary schooling can take place. It is intended that this site will open in September 2023. 

Page 26 



**EASTBROOK EDUCATION TRUST** 

## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **26 PRIOR YEAR ADJUSTMENTS** 

## **Concessionary loans** 

Concessionary loans of £20,000 received in 2018 by Spectrum Products (UK) Limited had previously been incorrectly accounted for as donations received by Eastbrook Education Trust (via the intercompany loan account). The 2020 figures have been amended to reduce the intercompany debtor by £20,000 in the charity and including the loan balance in the group and reducing unrestricted funds brought forward by £20,000 in both the charity and the group. 

## **Treatment of Transfer agreement with OneSchool Global UK** 

OneSchool Global UK has provided assurances that they have waived their rights to amounts receivable from the charity under the transfer agreement. The date of effect of this waiver was backdated to 31 December 2020. The comparatives have been restated to remove the provision for liability that arose under this agreement and increase unrestricted funds by £248,996 in both the charity and the group. 

## **Point of recognition of gift aid distribution receivable from Spectrum Products (UK) Limited** 

Gift aid distribution receivable from Spectrum Products (UK) Limited is recognised on a cash basis (previously recognised in line with the corporation tax declaration). The 2020 figures have been amended to reduce both the intercompany debtor and unrestricted funds by £176,734 in the charity (but not the group). 

Page 27