TWICKENHAM PREPARATORY SCHOOL (A Company LiEllited by Guarnntse) REPORT AND F￿ANCIAL sTATEmEr￿[s FOR THE YEAR ENIDED 31 AUGL.ST 2021 Company Number: 3475951 Registered Charity Number: 1067572 TWICKENHAM PREPARATORY SCHOOL REPORT AND FINANCIAL STATEMEiYrs FOR THE YEAR ENDED 31 AUGUST 2021 coNrENrs Page Directors, report It]dependent auditors, report 10 Ststemelrt of financial acttvities 13 Balance sheet 14 Casb flow statement 15 Changes in net debt 16 Notes lo the financial statements 17-27 TWICKENHAM PREPARATORY SCH(K)L DIREcfoRS' REPORT FOR THE YEAR ENDED 31 AUGUST 2021 The Dir￿torS pre%nt their annual re￿rt for the year ended 31 August 2021 under the CotnpaDies Act 2006 and the Charities Act 1993, together with the audited f]nan¢ial 51atemeDts for the )'ear. and confjrni that the lattrr ¢omply with the requirements of the Companies Act 2006, th¢ CoTnFthny's Articles of Associatio￿ the Cl]arities Act2011 and the Charities SORP (FRS 102). REFERENCE AND ADMINISTRATIVE INFORMATION DIRECTORS The Directors of the Conjpany, who are also the charity tn￿leeS and the Governors of the SchiN)l. who Se￿ed during the year subsequendy were: Mr Harry Bates Mr Michael J Fisher Mr Philippe L Buron Mr Gavin J Donaldson Mrs Elizabeth M Ferguson Miss Barbard A Flight Mrs Jessica A Haryey Mr Brian M Jones Mrs Ruby Jones Mr Mike Michael Mr Andr¢w J Murray Mr Thomas JJ Owens Mr Nigel G Rickard (Chairman) (Deputy Chairn￿) (Apw*inted 25 N0ve￿ber 2020) (Apw)inted 25 November 2020) (Resigned 10 June 2021) KEY MANAGEMENT PERSONNEL AND PROFESSIONAL ADVISERS HEADMASTER Mr Oliver Barrett (Appotnted I Sep￿rnber 2020) KEY MANAGEMENT PERSONNEL Key management personnel includes the Headmaster, four members of the Senior tudership Team and two others. BANKEIL Barclays Bank plc Onslow Hall Little Gree Richmond Surrey TW9 IQS AUDITORS HaysmacintyTe LLP 10 Queen Street Place London EC4R IAG SOLICITORS Veale Wasbrough Vizards LLP Nanow Quay Holls¢ Nkrrow Quay Bristol BSI 4QA TWICKENHAM PREPARATORY SCHOOL DIRECTORS, REPORT (CODlinued) FOR THE YEAR ENDED 31 AUGUST 2021 STRUCTURE. GOVERNANCE AfqD MANAGEMENT Twickenlwn Preparatory School (TPS) w&5 founded in 1969. The School is incoTporated a5 a CompaDy Limiied by Guardniee and is a registered ch2Tity. number 1067572. Its resi￿ered company number 15 3475951. The Registered Office and address of the school is at 43 High Str¢¢L Hampton. Middlese4 TW12 2SA. During the year, the Company wLg governed by its Articles of Association odopted on 7 November 2019 which wer¢ modernised to reflect change% in legislatio￿ best practice in the charities and independent school sectors, and the maDDer in which the charity is goveTned and 0￿￿t¢S in practice. The Directors are ¢leded at a fvll Directors, Meeting on the basi5 of their eligibiliry, pet￿onal competence. specialisi skills and local availability. New Governors are inducted into the WOTkings ofthe School. and also ofthe CoDJpany as aregistered Charity. All Governors are encouTaged to attend relevant Tn]#ee trainTng opwrtunities. The Directors me¢t a5 a BoaTd at lea￿ three times a yearto ddennine the geDeral wlicy of the charÈtable company and to review its overall Tnanagement and Control, for which they are legalls, responsible. Sub-comrnittees ofthe Board comprising Directo￿. together witb some key Tnanagernent personnel representation, a]50 meet ai leasi three times a year Or &s required to undertake more detailed reviews of operatio[￿] managemeni. these rommittees rewt directly to the Board and make recotnmendations for Board approwdl. Currently. there are fo￿ sUtTrcornmittees of the B(bard: Education and Strategic Planning. Finance. Risk and Prernises. The welfare and safety of th¢ School c¢)nllnunitJ' is of paralnount importance and a school Health and Safety eommitte¢, cornprising employees and wtth Director representstiOT4 reports to the Rtsk Conllniuee. The day-t(pday running of the School is delegated to the Headmaster supp)ned by the Senior Lead¢rship Team and two others and together this group are the key ￿￿lageMent pe￿Mie1. Rernunemion is set by the BoarQ with the policy objective of ensuring appropriate incentives to encourdge enhanced perforniance and rewarding individual contributions to the School's success. The appropriateness and relevance of the pay policy is reviewed annually in¢ludin8 ref¢rence to coinpari50ns with otherindependent schoo]sto ensure th￿we remain sensTtive to the broaderissue5 ofpay alld employment conditlODS within the sector. Delivery of tbe Sch￿1,$ charitsble vision and purpose is primarily dependent on our key allagetnent p¢rsonnel' staff costs are the largest single elemeni of our ¢haritable expenditure. OUR AIMS The objects, set out in the Articles of Association adopted on 7 Novelntra 2019. are to advance ¢th￿atIOn iucluding Ibut not limited to) the provision of a schcK)l or sch(K)Is in Gre￿ Britain. The5¢ UFthTrd objects clarify the clwitable purpose and will allow the charity to further its purposes for the public benefit in a broader manner. (htr ttii55iOn 5taternent is". "To be the Prepararory School of ehoice pnwiding an £rcellent. ipwoV￿1v¢ inspiring educ¢thon where perJonal SIICCe55 is achieved Éhrotsgh our nurhlring and caring eihos" The key elettLeats of this staiement undertie all our strategic decision n]okiD& We aim to provide a first class educatioll within a smJc(ured th]viroTunent that develops our pupi15' capabilitie cornpeiences and skills enabling them to fijlfil their potential. We prolnote the academic. mornl and physical develOp￿¢￿t of ourpupi15 through (Trur academic ¢1￿11¢U1ullL P&Storal care. sporting and otheractivities. We actively seekto build pupils. self-confidence and re5iiien¢e and to inculcate in them a desire ￿ contr]l)ute to the wider community. In so doiJJ& we aim to prepare our pupils for the OPPOTtuniues. resw)J]sibiliiies and experience of later life. OUR ORTECTIVES Our tsbje£tives are set to reflect the educational ain￿ and ethos of the School. In setting our objectives and plantiing our activitie& the DiT¢rtors have given ¢areful consideration to the Charity Commis510n's public benefit guidance. TWICKENHAM PREPARATORY SCHOOL DIRECTORS, REPORT (eoDtiDued) FOR THE YEAR ENDED 31 AUGUST 2021 OUR OWECTIVES (contlDued) Key objectives for the year were.. Academic and Pastoral To e￿hallce t￿rther the ¢urriculurn in¢luding the development of a strategic p]an for ICT. To deliver Icr provision in the Hub@51 which will See staff use a mobile device Solutio￿ both in classrooms and the shared workspaces. To review the curriculum taught in Year 7 and Year 8 ill line wxtb Twional expectations and through feedba¢k from l(Kal senior schoo15 (deferred to 2021.r22)' To revlew and irnplemeni th¢ chaDges associated with the directives on Relationships and Sex Ethication {RSE), consultin8 WLth staff and parents over the narure of the changes" To improve the provision for our more able pupi15 through esrablishing stsff specificalty r¢swnsible for Gifted and Talenied provision acros5 the Prep and Pre-Prep (defeTred to 2021r22)' To pla¢e wellbeing of the sthff and pupils &% a high prtority in all aspects of School de¢ision•nMkin Communiry To conlimie to develop the principle of'illvohTement for all. and engagement with the local COryllDunity, in¢ludtng fi￿her ¢ollabordtion and shared use of facilities, particularly with our partriership school. To ensure that the School has a stronger presence locally 8nd regionalty through initiatives which see the ¢Stablishtnent of links with tbe l(Kal cornmunity and asSociatioT￿ whi15t using m&keting in a targeted rnatmer to share news about School's partherships and charitable work. Infrastructure To continue refurbishmeni of the School and uP￿dIng of equipment including completion of the refiwbisl)rnent of our premises at the Hub@51 and use of the building through the remainder of th¢ school year, with specific focus on the older boys in the Prep S¢h¢)ol. REVIEW OF ACTIvrriES AND ACHIEVEMENTS Coronavlrus pandemic As with other education estsblishments, the con)navirus pandeTni¢ continued to inwact our school life for a second a¢adetni¢ year. W&ilst pupils were able to atteT]d school the Autumn. year group 'bubbl¢s' were put in place and additional heklth and safety measures were continued to protect against any spread of the iryrus. A second "lockdown" resulted iti th¢ School premises being closed in the Spring ternj frorn Janu8ry until the reopeTring to pupi15 on 8 Mar¢h 202I. As in the Sunllner Temi 2020. both teachers and pupils eTnbTa¢eil the challenges and we reverted to our re￿0t¢ learnin¥ model to deliver a robus( high quality online curriculurn progrdrnme to the pupils. The onlille provision a150 covered co-rurricular activities and p&doral suppon for the year group5. Children of kejryvorkers were welcomed into school during this perii)d alld the School was pleased ￿ be able to 51rpwrt their parents in this way. The ullprttedented situation a]so had inwlic&ith]s for the School business operdiions. We value greatly the relationship with the par¢ntsl body and with due regard to them and the ongoing financial health of the School. the Directors decided lo award a di5coiint on the Summer ierni fres, Thwnely a flat IOO/o of Spring Temi net tuttion fee for th¢ duration of the period of school closure. The School Tnade cost savings wherever p)&sible, including placing staff on fi]rlough and freezing ¢ontractual obligations. and were gratefi]I for government support received under the Job ￿ention Scheme. On apracti¢a] leveL sally. n￿llY of thetraditional pwyil events could not tske place: siwting fixtures, 5win]ming ga]as and residential trips. Virtual technology was n]ade good use of for events such as pattnt evenings and Board and staff meetings. Our new 5gcial media suite equipment gave us the capabilitv to stream production p¢rfonnances alld prize-givings to parents who were ￿ateful for the opportunity 10 Palicipate, a]beit remotely. in th¢5e key events. Althougb this was stressful year for all. there have been many posiiive out¢oTnes: new technology plarforn]s embedded in day-io-day op¢rntiotJs. the blended learning for pupils, the 'can do, attl￿de of the resilience of pupi]s and the supportive conimunity within our TPS fatnily. TWICKENHAM PREPARATORY SCHOOL DIRECTORS, REPORT (eolltinutd) FOR THE YEAR ENDED 31 AUGUST 21lll REVIEW OF ACTivrrtES AND ACHtEVEMEhTS (continued) Coronavirus pandeThie (conti￿lled) Following the return to school. the Direoors place wellbeing of ihe staff and pupils as a high priority in all aspects of School decision-rnaking and seek io establish w'ays in ￿h7¢h they can develop resili¢D¢e and the skills to manage work expectations. Severdl sthff have trained in mental hea]th first aid in order io offerpastoral suppon to pupils and colleagues. Aeademie achievements The School achieved excellent results again thisyear in girls. and boys, senior school I l+ examtnations and boys. 13+ entrdnce io a variety of secondary schi)015, solne highly academically selective. There was wide variety in destination schools for our Year 6 wls with Surbiton High. St Catherine'5, Lady Eleanor Holles and Sir William Perkins's schools being the popular. Year 6 bovs, re5uIt5 were also very Strong with offers to Harnpton, St George's. Reeds, Hallifor(L RGS Guildford. King's Wimbledon and Si James. Scholarships were achieved for a¢ademi¢s, sport Jnusic and the arts ￿ a range of destIn￿10n schools froTn applications from the Y¢ar 6 and Year 8 cohorts. The Coronavinjs pandemtc cbangedthe requiTements forcommon Entrance exams again inthe Surntnerand sensor %hoo]s were more flexible in tbeir expectstions. At TPS the academic staff decided to continue with the prO￿at￿Me, with the boys completing the CE syllabus and associated examiti*ion4 with a group of boys also ¢ompleting the ￿holarship progrdmne in prepardiioJL for the a8se%sments in May. Strategic curriculum aetivitles and #ehieyements Mr Barrett has enjoyed a highly successfill first year at the School. Despite the additiot]al challenges of the pandemic, he has brought a fresh insigbt to many are&g of the whool aDd has gained a thorough understanding of the school operations. He has worked ¢losely with the Senior t£adership Tram ts) review work previously undertaken on the Schi)ol setf- evaluation to ensure that high sthlldards of education and cojnpliance are being mainrained throughout the scbool. This has Infor￿ed bis visign for the School and will be invaluable in supporting the Directors with their ￿tUre strategic planning objectives. The School corttinues to seek new initiatives to enRMllce the curriculum further for the benefit of our pupils. During the year a strategic plan laullched for the development of ICT throughout the s¢hool. We aim to increase flexibility for staff attd pupils in accessing learning resources whi]si a]so improving effiei¢n¢y and the slwing of inforn]ation through the systems used. The f]rst phase of the plan has been implementrd with a rolling programme of providing knth staff and pupils with Microsoft Surface devices. The ICT curriculum has also betn ¢Tthanced fimher and now includes the teaching of a rallge of prOgrarr￿1ng languages. includitig Srtch: P￿h0n and HTML. with senior pupils also learning how to develop website content. The PSHE progra￿[￿¢ has been further develo￿1 t(Tr include revised Relationships and Sex Education (RSE) and Health Education in line with statutory guidance and will b¢ launched in the new academic year. During the year, preparatiOU5 were ]nade to laullcb a n¢w Maths progran￿e and an English reading initiative which enhance individual pupils, reading experience and comprehension. both these exciting developments will also be introduced in the llew acade￿iC year. We continue to enhance our STEM offering M'ith specialist tbird pty Science wot*shops, with cross-curricular PSHE and career focus, and the introduction of a ScÉen¢e club which has proved very Fxipular wtth pupils. During the year, art etirichtnent cl&sse5 were fither entwiced with the intrThJucuon ofan Art Scholanhipclub. especially beneficial to thos¢ pupils preparing a portfolio for awards to senior schools. The School conliDuesto embrdce Think Tank MindLab. a thinking skills programtne taught throughout the School which promotrs different methods and technique5 for dealing withproblem solvin8 activities alld ethances the academic curricu]wn. The prowsed review of curriculum for Years 7 and 8 was deferred to academic year 2021122. However, changes in the Common Entrance curriculum across key academic subjects will be fully adopted from September 2021. The provision for our senior cohort aud their personal developjnent is being considered ¢arefvlly and we aim to m￿]mist their beneficial use of the llew facility at the Hub@51. TWICKENHAM PREPARATORY SCHOOL DIRECTORS, REPORT {continued) FOR THE YEAR ENDED 31 AUGUST 2021 REVIEW OF ACTtvrriES AI¥D ACHtEvEMEP￿s (coThtinued) Co4urricular activities and aehievements The SchoL)I continues to place ￿eal ijnpottsnce on OPPOTtw)ities forthe children beyond the eurriculurn in orderto broaden their leamiDg experiences and rdnge of skills. FolIowiEJg a parental consul￿10n. the co4urricularprowsion was enhanc¢d to offer sports camps within the holiday periods throu￿ an associauon with Premier Educatioty with the first activities offered in the sumjner holidays. Extra-c4Jrricular club5 continue to thrive and there wa% a flury of educatioJ]al trips, once pernitted, organised for pupils throughollt the School. In addition. after school 5POTts provision was enhanc¢d for the younger pupils and a wider rdnge of languag¢ option& including a Spanish Club, were 11rtr￿juced. Further plaBs were tnade to otTer dance and thama activities in association with Little Voices in the next a¢ademicyear. Seniorpupils are encouraged to assume positkons of resEx)nsibility. with all of the gir15 in Year 6 and boys in Year 8 taking on roles, following a fornkl appointment process. The sporting programme was very SI￿lficantlY affected by the Coronttvirlls pandemic with fjxtures againsi other schools suspended for the majoriry of the year. In r¢sponse. the s￿rts Department aTfdnggJ a number of internal events and initiative5 to encourdge physical activity and COIn￿titio￿ whilsi retaining the need to keep children in distinct'bubbles., Many of the children and staff very much enjoyed taking part in the 'Trdvel to Toyko. cornpetition to log activities in ¢¢lebration of the Olympics. tn the second half of the Surnmer Temi. the childr¢n were able to take part in cricket f]xture5 and cross ¢ounty events, and the School hosted 3 Spons t>ay events at Kempton Cricket Club with limited numbers of par¢nts in attendance to enjoy the events. Other aetivities aDd achievements to support the Sebool The Hub@51 was opened in November 2020 pmvxding a bespoke Art ar￿ Desi￿ Te¢lJnology facility, c]&ssrooms aDd office space alld is a great ¢nhan¢emeni to our existing facilities. We are extremely proud of the vibrant and ereativ¢ teachitig space that ha5 been achieved for pupi]s to enhance their learning experience. The previous art room h&% been refitrbisbed to becorne a well-apwTrinted general cl&stroom. In additiotl three Pre-Prep Classr￿MS have been refurbished and enballcements have beell rnade io the Pre-Prep garden. The School's ongoing upgrade of IT equipment continued as did the rolling decoratioll and refi￿bl5hMent pro￿nMe. A digital ]nedia suite w&s created ithich has enabled ￿Ore professional virtua] preseDlations to parents and proS￿tIve parents aDd streaming of school events and productions. The populasAudio Visual club, comprising Yrar7 boy& is I￿l￿g trdinedas crew to1￿1$t with filming ofevents and subsequent editillg of reeordings. PUBLIC BENEFIT The Directors cOnf]r￿ tbat they hav¢ complied with the duty in section 17 of the Charities Act 2011 to have due regard to the public benefit guidallce publtsbed by the Cojnmission in deminingthe actiTrities undenakeD by the charitable company. Th¢ School is registered with Scboo]s Together, a website fonun tDaintained by th¢ tDdependent Schoo]5 Couneil in ¢ollaboration with th¢ Departtiient for Education io higbligbt the projects and partser5hips which currently exist between our School and mainthined SCh￿IS or conllnunity groups. Widenillg public aceess to the Sehool Th¢ S¢hool grants scholarships al￿ means-tested bursaries into Year 7 and 8 to widen public access to the School within the constraints of available filnding and &5 approprAate to a school of its rype and size. We cutTently support some younger children and hope to widen such access in the tuiure. In fi]Dding our awards, M'e are mindful thai we must ells￿re equity between fee paying parents, mauv of whom considerable ￿rSOnal sacrifices to fund their child{ren)'s education. alld those benefiting from the awards. We are also restM)nsiI)le for ensuring the ongoiDg fmancial Sustsinability of the School and the development of our facilities to remain attractive in a competitive markeL Within these constraints, funding for bursaries and allowances represent¢d 4.7Y• (2020.. 4.7Y.) of gross tijition fee income ID the academic year 2020Q I. In conjunction wittlthe IA)lldon Bon)ugb ofRicbmoDd w Thame& the School also opet*es the EarlyEdllcation Funding initiative for eligible pupils in th¢tr Reception year. TWICKEMIAM PREPARATORY SCHOOL DIRECTORS, REPORT (eontinued) FOR THE YEAR ENDED 31 AUGUST 2021 PUBLIC BENEFIT {eoDtinued) Fostering links with the local commuDity The School actively 5eek5 to foster links with the local community. Unf0m￿(ely. the Coronavirus pandemic prevent¢d many events involving participatsL% from local schools from tsking p]a¢e but we look fon¥ard to resuming our contacts in the new acadelnic year. Likewise, we were unable to rnak¢ use of the local sporting facilities of Colets and Powerleague Feltham but were gratefi]l that pupi]5 could eDjOy StxTrrting actiyiiies at The L£nsbury and KemptOD Cricket Club. A variety of out-of-hours School clubs alld activtties ar¢ offered to our pupils, at no addttiona] ch￿ge, iticluding a Breakfast Club. Services to parents have been enhanced with exteJ)ded hours of wrdparound care providing cover from 7.30am to 6.30pm on weekda>'s. with ourafter-school care now outsourced toa specialist provider. These initiatives benefit working parents in the proNrysion of wraparound childcare. A home to school millibus service is D￿ratedt0 benefit parents and ihe School Travel Plan was updated. Partnership opportllnlties Whilst partnership oppornmities are limi￿d for a school ofoursize and profile. we are delightedto have agreed an infornial partnership with St Mary's Hampton CE Primary. School. During the year. we have n￿l￿tained contact and hope to resu]ne 50me Ltra-cu￿lcu1ar actiyiiies with pupils from l)0th 5choo15 in th¢ new academic year. We are excited at this opportunity which we hope will enrich the outcomes for all pupils involv¢4L Charity support Pupils activety assisi local and national charities by undertsktng a number of fundraising iniliatives. This year, donations totalling £2,846 were made to various local and national chariiies with a fi]rther £564 don￿ed to Africall Vision Mala (for Songwe School). The School also spolls￿ a child living in Uganda ihrougb the Cornpassion UK charity, and pupils COTrespond ￿'1th our beneficiary and send gifts. We are also forging new IiDks with pupils from Songwe School alld corresponding with pupils there. Our pupils have also done eI￿rItable works outside school hours. rdising money for wotthy cause5. Members of staff held a coffee morning in aid of Macmillan Cancer Support and they are a]so involved it] local church cottununities alld Forest School Courses for youth careTS in the Ri¢hmond Borough. FINANCIAL REVIEW The School had net incoJning resourc¢s for the yearof £113,339 ￿]Ch have been added toreserves. The Director5 consider this a positive outtum, given the Sumrner Tern) discount a￿arded on tuition fees which iotailed £78,680. They also reco￿ls¢ the fmancial support provided by the government's Job Retention Scheme. Net incoming resources included r¢stri¢ted donations of £1,588.. £356 via the online Just Giving platform towards equipment for our new digital Tnedia suite and three donations from parents ￿thI11￿g £1232 for the Coronavirus Hardship fund. Both these donations were fully utilised (h￿ints the year. In totsl. £52,702 transferred from restricted to unrestricted re5¢rves during the )'ear. This was attribufable io donations totalling £35,850 towdrds th¢ purchas¢ of equipment for the Hub@51, £20.81M) from the Parents, Commitree and £15,050 from two other donors" £4.286 frorn the Parents, Committee for the minibus lease funding: and £12210 of £50.0(K) reeeived frorn a benefactor in 2017 was utilised to fifftd a place at the S¢hool for an academically able child who would not otherwise be able to afford the fe£s. The School is extren)ely 2ppreciativ¢ of this additional financial supwjrt. At 31 August 2021, the School had r¢5erves of £3.OiO,034 of whi¢h £6.637 are restricted fimds relating to the bursary fi]nd balance descnl)ed above. Th¢ unrestricted funds of £3,023,397 are a]1 inve￿4 together with bank boTroMryng% in the fixed sets of £3,544.179. The net assets ar¢ sufficient to meet the Company's obligation%. The School ig in sound financial health, with secure financial management and healthy registration numbers for future years. The Dire¢tors haye regularly reviewed the finwcial perfomiance throughoutth¢ yearand continue to Monitor closely the ¢urr¢nt ¢¢onoraic climate and iw of the pffijdemic. TWICKENHAM PREPARATORY SCHOOL DIRECTORS, REPORT (continued) FOR THE YEAR ENDED 31 AUGUST 2021 RESERVES POLICY The Directors regularly review the level and nature of the reseTves of th¢ School, and the reserves ￿l1¢Y is reviewed annually. The Directors aim to n)aintain an a[￿Ual operating sw)Iu5 to finance capital expenditure on improving buildings. equipjnent and otber facilities and to create a snjall Charity reserve. This enables the Chariry to provide a ¢on5iStently high quality of education to the public and ts) meet coniingencie5. The Directors r￿ognise that the level of free reserves (as defmed by the C]wity CoJn]ni&%ion) fluctuates with inv¢sttn¢ni and building activities. IUSK MANAGEMENT The Board continue ts) keep the School's activities under review, particularly with rewd to ony major risks that rnay arise from time io time, and to monitor the effectiven¢55 of the system of in(ernal controls and other viable means, tn¢luding insurance cover wbere approprtate, by which the risks identified by the DirectOTS ￿5t be mitigated. A Risk Comrnittee, comprising Directors and stsff and T¢wrting directly to the Board monithT¥ risk and compliance and a Human Resources and Cojnpliance Officer sw)ports further this rol¢. Risk assessments are in place and are being maintained for all aspects of the School's activities and operations. Detailed consideration of risk is delewed to other coTnTnittees as appropriate and includes review of repo]ts from senior management and independent p￿f￿10nal advisors. A review of risk management pr(Kesse5 is undertaken by th¢ Board. The ISI Regulatory Compliance inspection ID June 2017 wa% a detailed review of all aspects ofRegulation and Cornpliance and conf]rrned that the School met the regulatory stst￿rdS In all are& Key areas (Trf risk are seen to exill in the following areas. common to all independent s¢hool5'. Governance including compliance with applicthle regulations and legis]ation; Financial control; Disaster pLalltiin8; Lo%8 of repuktion; Health and safery: alld Recruittnellt and retention of pupi]s given economic conditions. The current CoronaTrirns pand¢mic has focused attention OD tDany of these key risk area5. pthicular. the s¢rious nattre of the Coronavirus pandemic has resulted in detsiled risk mitigwion planning by Directors and stsff at all the various stsges of the lockdOM￿ periods and transition back to school. All aspects of ihe quality of £d￿atIonal provtsion and the hcahh and well-being of both *aff and pupils have been given carefvl consideration to ensure compliance with government guidelines. The Finance Covnrnittee also held numerous meetings throughow the year to stay abre&5t of the impact of the pandemic on the school finances regular reforecasiing and conting¢n¢y plannin& Thec0]D￿1tte¢ continues to monitor the situation closely in order to take decisive action if required. At the tim¢ of writing there ts DO indication as to when the virus may be curbed and the leadership of the S¢hool remains ever vigilani and adheres strictty to the procedures to protect the community as far as is possible. In assessing risks, the Board has in place key Controls that include: Fornial ]nechani5rns for th¢ operntion of the Board of Governors. Terms of reference for all commÈttees; Close personal involvement of the DiTectors in the activiti¢s of the Scbool. Comprehensive 5trdtegic planDin& budgeting and accounting procedures. Formal written policies aDd procedures. Review and developjnent of the curriculum and extra-eurri¢ular activiries: and Early identificatioll of staffiTrg needs and professional development opporiwhities. TWICKENHAM PREPARATORY SCHOOL DIRECTORS, REPORT (CODtiDued) FOR THE YEAR ENDED JI AUGUST 2021 RISK MANAGEIIIEiYf (eontinued) Through the strategic plaT￿Ing prw¢55, specific Ti5ks (other than Coronavirus) facing the Scbool have been identified &8: Pot¢niial restrucfuring of senior ￿hth)I adtni55iOll5' Potential preference for deferred ellty to indeF¢n(knt schth)l educatio Significant number of whools Tn the aTei and Th¢ affordability of fees given economic conditions. These specific risks are being addressed througjh inyesrment in the Pre-Prep deparrment and targeted nwketin& emphasising the many benefits of an independent %hool education and in particular the key points of difference off¢red by a TMry¢kenham Prep schooling. We seek io strengthen our admission lists furtber, particularly for enty to Reception and Year 3, by offering an excelleni'*alue*added" s¢rvice at a fair price maknng us a destination school of choice. Thiough the risk Mar￿geMent processes establishe4 the Direci¢xs are satisfied that th¢ major risks bave been idelltified and appropriately Miti￿ed. However. it is recO￿ls¢d that systems ￿ only provide reasonable but not absolute ￿VranCe that major risks have been adequately manage4t PLANS FOR FUTURE PEIUODS The School is colnmitted to maintaining high stsndards in atl areas of school life. During ihe academic year 2021122, the Directors together with the HeadMaS￿r and other se￿10r leaders and stakeholders will collaFK)tzte to advance the School's vision and $tr&¢gic plan for the medium ierni. Key objeciives for the next academic year include: Academic and P&8toral To enhance fi￿herthe curriculum including the introductioll of a new whole sch(K)l Maths s¢heme and a reading PTogramm¢ to foster a love of reading whi15t at the same time enabling teachers the opportunity to n￿nage and monitor Teading practice- To enhance fi]rther the co, alldthe charitsble cotnpany's member3, as a body, for our audit worL for this reprt or for the opinio￿S we bave for[[￿. Richard Weaver {Senior Statlltory Auditor) For and on behalf of Haysrnacintyre LLP, StattkÉory Auditor 22 November 2021 10 Queen Street Place London EC4R IAG 12 TWICKENHAM PREPARATORY SCHOOL STA TEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGL'ST 2021 Unrestrieted Restrieted fut)ds funds Total 2021 Totsl 2020 Not INCOME FROM: Cbarilable activities School fees receivable Other educational incotne Catering and Welfare income Other Èncorne DonAtioia5 and Jkgacies Donations and grdnt income Investmellls Interest receivable 3,190,986 87,356 146,145 32,446 (1232) 3,189,754 87.356 146.145 32.446 3.006,149 79,117 146.219 27.230 42,964 1,588 44.552 135,749 459 459 5,549 TOTAL INCOME i,500,356 356 3,500,712 3.400,013 EXPENDITURE ON: Charitable aetivities: School operatitig costs - Teaching costs Welfare cost5 - Premises costs - Support Costs of 5¢hooling 2,333,933 172,119 499,037 360,142 2,333,933 172.119 499.037 360.142 2,330,145 184,852 356,028 424,460 3.365231 R#isiRg funds Finkutce costs 3,365.231 3.295,485 22,142 22,142 20.096 TOTAL EXPENDITURE 3.387,373 3,387,373 3,315,581 NET INCOME 112.983 356 113,339 84,432 TRANSFERS Gross transfers ￿tW¢ell funds 52.702 (52.702) NET ll¥COME FOR THE YEAR 165.685 {52,346) 113,339 84,432 Funds broughi forward at I Septemtr*r 2020 2.857.712 58,983 2,916,695 2.832,263 Funds earried forward at 31 August 2021 £3.023,397 £6,637 £3,030,034 £2,916,695 There were no ￿Ognised gains and lo&se% other than those shown in the al)ove Ststement of Fi￿￿la1 Activities. The notrs on page5 17 to 27 fonn part of these accounts. 13 TWICKENHAM PREPARATORY scH￿L REGISTERED COMPANY NO: 3475951 BALANCE SHEET AT31 AUGUST2021 2021 2020 Note5 FIXED ASSETS Tangible fixed assets li 3.544,179 3,499,085 CURRENT ASSETS Stock5 Debtors Cash at bank and in hand 4.319 135.351 887.870 5,755 162.020 854.071 12 1.027,540 1,021,846 CREDITORS.. amounts falling due within one year 13 {683.072} (742,716) 344,468 279,130 TOTAL ASSETS LESS CVRREKT LIABILITIES 3.888.647 3,778.215 CREDITORS: arnounts falling dwe after ￿ore than one y￿r 14 (858.613) 1861,520) £3,030,034 £2,916.695 15 Unrestricted funds Restricted funds 3,023,397 6,637 2.857,712 58,983 TOTAL £3,030,034 £2,916.695 The notes on pages 17 10 27 part of these accounts. The financial siatemenis were approved and auth0ri5ed for issue by the Board of Directiys on 17 NovembeT 2021 and w¢re signed below on its bebalf b)": HArry Bates Mike Ic ael 14 TWICKENHAM PREPARATORY SCHOOL STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2021 2021 2020 CASH FIA)WS FROM OPERATING ACTIVITIES Net movement ID funds for the reportitig period (as per the 5tatemettt of financial activities) Adjustrnents for: Depreciauon chaJges tTJvestmeni income FinanciDg costs De¢r¢asel(increase) in debtht tncrease in creditors (excluding fees in advance at]d b&)k loan5) Decre&sel{in¢rease) in stock {De¢reaseyin¢rease in fees in advance I 13.339 84,432 159.782 (459) 12.997 26.669 8.745 105,983 {5,5491 15,727 (13,6561 55,361 ,436 {43,901) (268) 17,954 165.269 175,552 Net eash provided by operating ¥4Ctivities 278,608 259,984 CASH FLOWS FROM INVESTING ACTIVITIES Invesiment incotlle Paymerbts for tangible fixed &ss¢ts 459 1204,876) 5,549 (553,214) Net cash used in inve5tillg adivities (204,417) {547.665) CASH FLOWS FROM FINANCING ACTtvrriES Finan¢ing costs Capital repayment of loall5 (12,997) 127,395) (15,727) (18240) Net cash provided by activities (40,392) (33,967) CHANGE IN CASH AND CASH EQUIVALEI%TS IN THE REPORTING PERIOD 33.799 {321,648) Cash and £a5h equivalents at btginDiDg of the reportlDg period 854.071 1,175,719 Cash eash equiYal¢nts at the end of the reporting period £887.870 £854,071 ANALYSIS OF CASH AND CASH EQUIVALENrs 2021 2020 Cash at bank and in hand Cash on dcp05il 887,870 854.071 Total cash #nd cash ¢qUlvak￿ts £887.870 £854,071 The notes on page5 17 to 27 forni part of tbes¢ accounts. 15 TWICKENHAM PREPARATORY SCHOOL ANALYSIS OF CHANGES IN NET DEBT FOR THE YEAR ENDED 31 AUGUST 2021 Analysis of changes Det debt At start of y¢aT Cash flows Other ovemellts At end of year Cash Loans falling due withtn one year Loans falling due after one year 854,071 (27,034) (649270) 33,799 {4,012) 31,407 887,870 (31,046) {617,863) Totsl £177.767 £61,194 £238.961 The notes on pages 17 to 27 form part of these ac£ounts. 16 TWTCKENHAM PREPARATORY SCHOOL NOTES TO THE FINANCIAL sTATEME￿￿s FOR THE YEAR ENDED 31 AUGUST 2021 ACCOUNTING POLICIES Accountillg CQDventlOD The financial statetnents l]AV¢ b¢enpr¢pared Underthe historical eost eonv¢Dtion and in accordance with the applicable Fitmncial R¢porting Standard IFRS102, issued March 2013), the StsteTnent of Recommended Prncti¢e for Charities (SORP 2015, se¢ond edition efifective January 2019) and the Companies Ad 2006. Incoming resources School fees ¢ornprise Charges for the school legs bursaries and allow￿ceS. Other educatio1￿1 inc4)me and catering iucotne is a￿oUnted for on a receivable basis. Dollations Donations are re¢ognised in the Ststement of Financial Activiti¢5 when receivable. Gratkt Incojne Grant ineome, including government grant income. relating to revenue is recognised in th¢ Ststement of Financial Activities on all accrua]s basis iD the saEn¢ peri￿ as the related costs for which the grant ]% intended to colnpensate provided tbat there is evidence of entitlem¢n( receipt is probable and the amount can be mea8ur¢d reliably. Depreciation Depreciation of tangible r￿ed assets is calculawl so as w write offthe cost overther estimated useful economic lives. Deprec1￿10ll rates were reviewed and revised in Sep￿mber20I9 35 follo￿ Freehold buildings - a straight line basis over 50 years Freehold improvemenis - on a strdi£ht line basis over 10 years Fixtures, fittings and furniture - on a strai&hi liDe basis over 10 years (previously at 15Q/ Eleetronic equipment - on a straight IiDe basis over 5 year5 (Previously over 3 y¢aTS) Stocks Stocks are staled at the lower of cost and nct reali5able value. Eipenditur¢ Expenditllre is all￿ated io expense beadiD8S on an accruals basis. The irrecovetable VAT ¢l¢ment is included with the itern of expense to which it re￿e$. GoYernaM£e costs Govemance costs include the costs of the audit ol the statutory accounts and advice on leg8L property and other matters. Pensioll eoDtributions The Company contributes to the Teachers, Pensioll Scheme. Payments are rnade to the Teachers, Pensions Agency in a¢cordance with the Teacher5, Superannuation (Consolidation) Regul&ions 1988. as atne#ded. Contributions payable in respect of the accounting period are charged to dtreci charitsble expenditure. The Company contributes to a separdte defined contribution ￿herne for non-teaching staff. Contributions payable in respect of the accounting peraod ar¢ charged to dtrect ¢haritsble ewnditure. Lease transactions Rentals under operating leas¢5 ar¢ Charged to the Statement of Financial Activities as they fa]1 due. Unrestrieted funds Unrestricted funds comprise fi￿dS notsubjeci to any restrictions regarding theIr￿e andaTeavailable for any charitable purpose of the Company. Restricted fund5 Restricted fund5 cornpris¢ funds don￿ed to the Company to be applied towards specific capitsl and revenue items. 17 TWICKENHAM PREPARATORY SCHOOL iYOTES TO THE FINAf4ciAL STATEMEYfs (continued) FOR THE YEAR ENDED 31 AUGUST2021 ACCOUF4TING POLICIES (¢ontiDlled) Taxation The Company is a registered clwity. Any swplus is applied solely for th¢ PWFrf)se of the charity and is exempt from ¢orporation tax. Financial Instruments Basic financial instrnments are initially recognised & transaction value and subsequent]y measured at amortised cost. Finan¢ial assets held at atnortised cost comprise c&8b at bank and in ban( together wilh trade and other debtors. A specific provision is made for debts for which recoverability is in doubL Casb at bank and in hand is defined &s all c&sh held in instant ac¢es5 bank accounts and used as ￿orking capital. Financial liabilities held at amort15ed cost comprise all creditors except social Security and other ￿XeS and provisions. Assets and liabiliti¢s held in foreign currency are trasjslated to GBP at the balan¢e sheet d￿e at an appropri81e year end exchange rate. Critieal aeeouDting judgements key sources of estimatioD uncertainty tn tbe view of the Dire¢tors there are DO are&s of nhatrrial ¢rilical accounting judgements OT material estimation uncertainly ill the accoullts. Going Ctsllcern The Director5 believe thkt th¢r¢ ar¢ no material unceAtiinties ov¢rthe School's abiliry ￿ continue operating &s a going concem. In makillg this assertion th¢ Directors have considered detailed budgets forboth the next twelve months and strategic plans for the ￿edium term and are salisfjed the liquidity of the b￿lneSS is suffici¢nt to meet the business requirements including ally obtigatioDs arisillg from fllwclal. operating and other conditions. 18 TWICKENHAM PREPARATORY SCHOOL NOTES TO THE FINANCIAL STATEMELYTS {coDtinued) FOR THE YEAR ENDED 31 AUGUST 2021 SCHOOL FEES RECEIVABLE 2021 2020 Full fees for pupils at the School t£ss: Summer Terni ftt discount Less: bursaries and allowances t£ss: staffsalary sacrifice scheme fre adjuslment 3.435,077 (78.680} (162.166) (4,477) 3,435,207 (259,521) (162,903) {6,634} £3.189.754 ,006,149 OTHER EDUCATIONAL INCOME 2021 2020 Private tuition income Registration fees School trips 43,991 7,650 35,715 54,321 3,1H)O 21,796 £87,356 £79,117 OTHER INCOME 21121 2020 School f¢es protection insurance Book and uniforn) sales Horne to S¢hool minibus service Rental inc(Trm¢ Other income 7,761 2,862 9,765 6,351 5,707 8.016 3.702 9.772 173 5,567 £32,446 £27230 DONAT10Tr4S 2021 2020 Ut]restricted dollations Restricted doDation5 Grant incotne- governtDent grant (Job Rdemion &heme) 157 1,588 42,807 359 25,986 109.404 £44,552 £135,749 EXPENDITURE 2021 2020 Charitable expenditure includes.. D¢pre¢iation Operating leases- other 159,782 37,045 105,983 36,794 Governance costs include%'. Audttors. remuneration- for audit 13.224 12,840 19 TWICKENHAM PREPARATORY SCHOOL NOTES TO THE FJNANCIAL STATEMENTS {CODtiDued) FOR THE YEAR ENDED 31 AUGUST 24lll CHARITABLE ACTMTIES Staff eosts (note 8) Oth¢r Depreciation Total 2021 Charitable activities School operatijg costs - Teaching costs Welfare costs - Premi5¢S Support costs 2.130,012 119,513 75,749 212,883 203.921 52.606 263,506 147,259 2,333.933 172,119 499,037 360,142 159,782 £2.538.157 £667292 £159,782 £3,365,231 Stsff costs (note 8) Other Deprffiation To¢al 2020 Charitable aetivlties School operating costs - Teaching cosis - Welfare costs - Premises Support cost5 2.099,014 134,945 51,668 221,349 231,131 49.W7 198.377 203.111 2,330,145 184,852 356,028 424,460 105,983 £2,506,976 £682,526 £105,983 £3,295,485 All costs relate to the one activity of orthiing the School. Included witbin other sup￿Trrt Costs are governance osts of £16,172 (2020- £16260). STAFF COSTS 2021 2020 Salaries and w2ges Social security costs Pension costs 1,969,925 192,194 376,038 1,950,074 186,717 370,185 £2,538,157 £2,506,976 The total value of all competi￿1￿n Ènd benefits provided ￿ th¢ key management petsotmel in the year was £573,408 (2020: £564,147). There were no terniination payments made during the y¢ar (2020: £2.160). The average number of employe¢5 during the year w&8 made ￿ as follows: Teaching Full tim¢ Part time 17 20 17 19 Full iitne Part titne 24 23 67 65 20 TWICKENHAM PREPARATORY SCHOOL NOTES TO THE FINANCIAL STATEMENTS (contiThutd) FOR THE YEAR ENDED 31 AUGUST 2021 STAFF COSTS (tontiDued) The number of employees whose emoluments exceeded £60.O¢MI were.. £ioo,ooi - £1 io,o(M) £90,(K)I - £IOO,000 £60,001- £70,000 The above etDployees have retir¢m¢nt benefits accruing under a defined b¢nefits %beme. FINANCE COSTS 2021 2020 Bank charges Bank inteTest on loaT]s repayable within five years Bad and doubtful debts Fees in advallce di￿oUnt 689 12.997 3.593 4,863 830 15.727 (657) 4,196 £22,142 £20,096 io. GOVERNORS, REMUNERATION AND EXPENSES No remunerdiion or benefits were provided to aDy Govemor. No expens￿ were r¢imbutsoJ to ally Governor during the year (2020= £nil). Four of the governors during the year (2020.. three) had thildren in the school #nd paid fi￿1 fees. TANGIBLE FIXED ASSETS Freehold land and building5 Fixtures. rittings and rurThiture Freebold improi'emellts Elettronie ipmeNt Total Cost At I Septejnber 2020 Additions DisFosals 4,035,361 100213 280,147 6.709 435,769 53263 250.603 44,691 5,001.880 204,876 At 31 August 2021 4,135,574 286,856 489,032 295,294 5,206,756 Depreciation At l gepiember 2020 Charge for the year Disposals 827,820 82,712 181,460 27,402 286,787 26,242 206,728 23.426 1,502.795 159.782 Ai 31 August 2021 910,532 208.862 313,029 230,154 1,662,577 Net Book Value At 31 August 2021 £3225,042 £77.994 £176,(HJ3 £65,140 £3.544,179 At 31 August 2020 £3207,541 £98.687 £148,982 £43.875 £3.499,085 21 TWICKENHAM PREPARATORY SCHOOL NOTES TO THE FINANCIAL STATEMENTS (rontinued) FOR THE YEAR ENDED 31 AUGUST 2021 12. DEBTORS 2021 21120 Fees receivable Other debtors 10,887 124,461 8,155 153,865 £135,351 £162.020 13. CREDITORS: amounts fauing dut within ollt year 2021 2020 Bank loat)s Trdde creditors Fees received in advance Social security payable and other taxation Pupil deposits Sundry creditors and accnmjs 31.046 72.806 380.480 46.862 28.0(M) 123,878 27,034 81,028 424,381 44,210 34,750 131,313 £683.072 £742,716 14. CREDITORS: amounts falling due 2021 2020 afttr one year Pupil deposits 240.750 212,250 BaDk loans Due between one and two years tkne between two and five years 31,660 586,203 30,051 619,219 617,863 649,270 £858,613 £86l.520 The ba￿t loan fA¢ility of £700.LN)O was drawft down on 3 Awtl 2019. The temi of the IoaD is 5 Yea￿ with a 20 year alnortisation profile. The loan of £648,909 is repayable by 3 April 2024. The repayment is by illstaltnents and the loan bears interest at a floating ratr of 1.860/0 over base Ta￿. An int¢rest only period (capital repaiThent hoiidav) was agrttd from 3 April 2020 with monthly repayment in5ta]ments recommencing on 2 lknber 2020. b) The ballk loan is secured by a legal charge over the freehold property of the Sch(￿1 at 43 High Stree( Hampton. 22 TWICKENHAM PREPARATORY SCHOOL NOTES TO THE FINANCIAL sTATEmEr￿ (continued) FOR THE YEAR ENDED 31 AUGUST 2021 IS. FUNDS Balance at 31 August 2020 Transfers beh4.een Fullds Balance at 31 August 2021 Totsl Totsl eIpeDditure MOVEMENT IN FUNDS The inovement in funds during the year was made up as follows.. Unrestri¢ted fi￿d5 2,857,712 3,500,356 (3,387,373) 52.702 3.023,397 Restr]￿ed funds Parents, CoTnmitte¢ Bursary Fund 51 High Street Digitsl Media Suite 25,086 18.847 15.050 (25.086) (12210) {15.0501 (356) 6,637 356 £2.916,695 £3,500,712 q3,387,373) £3.030.034 "Pareffls, Committee" relates io donations received frorn the Parents. CotDmittee towards various projects. During the year, the fllnd was fully utili5ed: £20,800 was assigned towards equipmellt for th¢ premises at 51 High StreeL Hampion and £4286 expended on the continued fimding of the lease of a millibus. "Bursary Fund" relates lo a donation received from a benefactor to fimd an academic means tested award for a child(ren) who would not otherwise Ee able to attend the School. One pupil's fees are currently being met by this Fund. "51 High Street" relates io an an0n￿OuS donation towards fitting out of the premis¢s at 51 Higb StreeL Hampto The funds were fully utilised Tn Autulnn 202110 purchase fillniture for the refi]rbished building. Donations were received from parents towards the provision of financial assistance to paretLts facing hardship as a reylllt of the pandemic. £1.232 wL8 received and fully utili5ed in the year. ANALYStS OF NET ASSETS BETWEEYI FUNDS UDrestricted ds Restricted fuDds Totsl fund$ Fund balances * 31 August 2021 are represented by.. Fixed assets Net current 855ets Long tem liabilities 3.544.179 337,831 (858,613) 3,544,179 344,468 1858,613) 6,637 £3.023,397 £6.637 £3.030,034 I& SHARE CAPITAL The Compatty is limited by gUarall￿e and therefore h&% no issued share capital. In the event of a winding up each member, currently 12 in total. agrees io Contnlyu￿ £1. 23 TWICKETr4HAM PREPARATORY SCHOOL NOTES TO THE FINANCIAL STATEMEIYTS (eontinthed) FOR THE YEAR E.YDED 31 AUGUST 2021 17. PENSION COSTS The School participates in the Teachers, Pension Scheme for its teaching staff. The pension charge for the year includes contributions payable of £321.451 (2020: £317.872) and at the year en4 £37.535 (2020-. £35,640) w&s accrued respect of contributiOJL8 to this scheme. The Teachers, Pension Scheme is an unfi￿ded Tnulti-employer defined benefits pension wheme governed by The Teachers. Pensions Regu￿l￿nS 2010 (&$ alnended) and The TeacheJ5' Pension Scherne Regulaiiolls 2014 (as amended). Mejnbers contnTrJute Ona￿aY &% you go" basis H'ith contributions from meTnber5 and the employer being credited to the Exchequer. Retirement and other ￿nSiOn benefits are paid by publi¢ fuDds provided by Parliament. The employer contnl)ution ra￿ is set by the Secrewy of S(&e following s¢h¢me v￿UationS undertaken by the Govemtneni Actuary's DeparnnenL The most recent actharial valuation of the Teacher5, Pension Scheme was prepared as at 3 1 March 2016 and the Valuation Repor( which was published in Mawh 2019. confirjned that the employer contribution rate for the scheme would in¢rease from 16.4/• tt) 2i.6O/0 from I September 2019. Employers are also required to pay a scheme administr*ion leNy of 0.08 /0 givinga total eTnploy¢rcontr5bution rdt¢ of 23.68 /ts. The 31 March2016 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 applie41 at 5 March 2019. However, the assumptions were considered and set by the Depwtreni for Education prior to the rnling in the 'McClou(VSargeant ￿se.. This c&%e has required the courts to consider ¢a8es regarding the implementation of th¢ 2015 refonns to Public Service Pensions illcluding th¢ Teachers, Pensions. OD 27 June 2019 the sup￿rne Court denied the governrnent pern]i￿10D to appeal the Court of Appeal'5 judwent ttmt traDSitiODal provisions intr￿ced tt) the reformed pension schemes in 2015 gave rise to unlawful age discrimitiatio￿ The government is re5￿Ct)llg the Court's decision and h&s said it wll engage ￿1]Y wilh the Employment Tribllnal &5 well as employer and MeM￿r r¢pre5eDratives to agree how the discriminations will be remedied. The govemm¢Trt announced on 4 Febnw 2021 that it Intends (o proceed with a deferred choice underpin under which ￿eMberS will be able to Ch￿Se either legac). or refornied scheme benefits respect of their service during the period between l April 2015 and 31 Marth 2022 at the Point they become payable. The Teachers, Pension Scheme is subject to a cosi cap mechanism which was put in pla¢¢ to protret t&xpayers against unforeseen changes ill ￿he￿e costs. The Cbief Seereliry lo the Treasury. having in 2018 &]nounced that there would be a review of thi5 C05t cap rnechanism. in JaDUAry 2019 announced a pause to the cost cap Tnechanism following ihe Court of Ap[￿al,5 ruling in the mcCloU￿sargeaDt case and until there ig c¢rfainty aknut the value of pensions to employees from April 2015 onwards. The pa￿se wls lifted in July 2020, andaconsultation was launched on 24 June on proposed cbattges to the cijst control Mecha￿lS￿ following a review by the Government Actuary. The consultation closed io response oll 19 Augllsi 2021 and tbe Government is cu￿entlY analysing the resp(Trnses. In view of the aknve ru]ings and decisioDs the assumptions used in the 31 March 2016 Aduarial Valuation may become inappropriate. In this ￿e￿ar10, a valU￿10n prepared in a￿OrdanCe wilh revÈsedbeneffts and suitsbly revised asslltnptions M'ould yield different Ee5ults thall those contsilled ID th¢ Athwial Valuation. Until the ¢ost cap mechanism review is coMple￿d it is not p)ssible to conclude on any financial impact or ¢hang¢s io the conrributioll rates of the scheme. Accordingly, no provision for any additional past benefit pension costs is inclUd￿J in these financial statements. The Company contributes to a separate scheme for non-teacbillg staff under The Indyndellt Association of Prep Schools. This is a defthed contributioll scheme. The &8seis of the scheme are held separately from those of the Company in an independently adtnillistered fund. Contributions are paid based on the recommeDdations of a qualified actuary and are charged to resources expended wh¢n they become payable. The pension charge for th¢ year in respect of this schejne wa5 £54,587 {2O20.. £51,747). Ai the year en& £4.899 (2020.. £4,653) was ac£Jued in respect of contributions to thKs Sche￿¢. 24 TWICKEf4HAM PREPARATORY SCHOOL NOTES TO THE FINANCIAL STATEMENTS {eoDtinued) FOR THE YEAR ENDED 31 AUGUST 2021 17. PENSION COSTS {eODtinued) The Cornpany contribut¢s to the NEST pension schelne for non-teachtng workers meeting the criteria for auto- enrolment. This is a defin¢d contribution scheme sei up by the Goverlltnellt. Th¢ assets of the scherne are held separately from those of the co￿panY in an independently admiDi5tered fi]niL Contributions paid b&8ed on the regulatory contributiolls and are charged to resources expended M'bell they be￿rne payable. There was no pension charg¢ forth¢ year in re4)ectof this SChe￿e (2020: £566). No contrib￿lOnS (2020.. £Nil) were outstanding at the year end. 18. CAPITAL COMMITMENTS 2021 2020 Future capital expeDditsTe Authorised and contracted for. £31,076 £56,888 19. OPERATING LEASE COMMITMENrs At 31 August 2021 the total future minimwn lease payments undern0n-c￿¢ellable operating leases were as follows: 2021 2020 Not later than one year Between one and five years Later than five years 32,207 52,023 33,507 78,032 £84,230 £111.539 20. RELATED PARTY TRANSACTIONS During the year the School employed the of Mik¢ Michael. a Governor of th¢ sch£￿1, as a part time teaching 18sist3nt. Her appointment in December 2014 Wds rJrried out in accordallc¢ with standard school recruitment procedures under the same conditions as that offered to all other stsff ￿nt￿bers. No Govemor w&s involved in the Tecruiim¢Dt process. During th¢ year the school engaged Brittatii Hadley a5 Charrered Building Surveyors and ProFty Consultants for professional services. Nigel Ri¢kar(L aGoYernorof the School until June 2021 anda chartered surveyor, is a director of Brittain Hadley. During the year (and also in 2020), professional service5 in respect of a paty wall were undertakeft by another dTreetor of the firni with all costs met by a third pty. There were no other related party transactions. 25 TWICKENHAM PREPARATORY SCHOOL NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 AUGUST 2021 21. STATEMENT OF FINANCIAL ACTIVITIES FOR THE PRIOR YEAR UDrestricttd funds Restricted funds Total 2020 Notts [NCOl￿E FROM: Ch*rithble activities School fees receivable OtheT educational in¢om¢ Catering and Welfare income Other income Donations and Legaeies Donations and grant income Investments Interest receivable 3.007J99 79,117 146219 27230 (1250) 3.(K)6,149 79.117 146,219 27,230 109,763 25,986 135,749 5.549 5.549 TOTAL INCOl¥fE 3,375277 24,736 3.41M).013 EXPENDITURE ON: Charitable aetlvities: School operating costs - Teaching costs . Welfare cos - Premises costs - Support Costs of schooling 2,330,145 184,852 3i6,028 424,460 2.330.145 184.852 356.028 424,460 3,295,485 3.295,485 R#i5iDg funds Finance costs 20,096 20.096 TOTAL EXPEf4DITURE 3.315,581 3.315,581 NET tNCOME 59,696 24.736 84,432 TRANSFERS Gro&% transfers between funds 15267 (15,267) NET INCOME FOR THE YEAR 74,963 9,469 84,432 Futtds brought fonvaTd at I September 2019 2,782,749 49,514 2,832,263 Fullds earried forward at 31 August 2020 £2.857.712 £58,983 £2,916,695 There were no r¢cognis¢d gains and10%8es other than those shown tn the above Statement of Financial Activities. 26 TWICKENHAM PREPARATORY SCHOOL IYOTES TO THE FINANCIAL STATEMENTS (coTrtinued) FOR THE YEAR ENDED 31 AUGUST2021 22. FUNDS MOVEMENT FOR THE PRIOR YEAR Balance at 31 Augus1 2019 Transfers betwee Fullds Balanee at 31 August 2020 Total iDcome Total expenditsre m0vETr￿NT IN FUNDS The movement in fi￿d5 dwing the yeor Tnade up as follow5: UThr¢5tri¢ted funds 2.782,749 3.375,277 (3J15.581) 15267 2,857,712 R¢stri¢t¢d funds Parents, Committee Bursary Fund 51 High Street 4,678 29,836 15,000 24.686 (4.278) (10,989) 25,086 18,847 15,050 50 £2.832.263 £3,400.013 q3,315,581) £2,916,695 "Parents, Conjmittee" relates to donalioDS received frorn the Parents. Committe£ toward5 vario￿8 projects. The opeJLing balance relates ￿ the proposed purch&se of a weather station and the funding of a lease of a minibu4 acquired in Summer 2018. The Committee has pledged £20,400 iowards equipment for the premise5 at 51 Hig StreeL Hajnpton and has weed that the weather swion fi￿d5 Hill also be Teassigned to this project. A furrher donation of £4286 was received during the year for ihe continued funding of the le&8e of a minibus aud £4,278 was transferred to utrestrlcied in respect of the current year minibus lease charge. "Bursary Fund" relates th a donation received frojn a benefa¢tor to fijnd all academi¢ means tested award for a child(ren) who would not othetivise be able io attend the School. One pupil's fees are currently being ]D¢t by this Fund. "51 High Street" relates to all an0n￿1￿u5 dO[￿tIOn iowards fitting out of the premise5 at 51 High Street, Hajnpton. Another donaiion of £50 was received during the }'ear for this sarne project. The fimds will be utilised ill 2020 to pu￿base firniture for the refutbtshed buildin A donation was received from a pareni iowards the provision of financial assistsnce to parents facing hardsl)ip a result of th¢ pandemic. £1,250 w&% received and fully utilised in the year. Af4ALYSIS OF NET ASSETS BETWEELY FUNDS Unrestricted Restricted fu￿dI Totgl funds Fulld ba]ance5 at 31 August 2020 are represented by.. Fixed assets Net current &85ets Long term liabilitie5 3,499,085 220,147 (861,520) 3,499,085 279,130 (861,520) 58,983 £2.857.712 £58,983 £2.916,695 27