Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation**
**(A Company Limited by Guarantee)**
## **Incorporated in England and Wales No. 03345004 Registered Charity No. 1068844**
## **GOVERNORS' REPORT AND FINANCIAL STATEMENTS**
**For the year ended**
**31 August 2025**
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation CONTENTS**
for the year ended 31 August 2025
||**Page**|
|---|---|
|Governors' Report|1 - 15|
|Auditors' Report|16 - 20|
|Statement of Financial Activities|21|
|Balance Sheet|22|
|Cash Flow Statement|23|
|Notes to the Financial Statements|24 - 40|
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation TRUSTEES’ REPORT**
for the year ended 31 August 2025
|**Trustees**|Mr C Pike|
|---|---|
||Mr A Phillips|
|**Governors**|Antony Phillips (CoG)|
||Andy Sutch|
||Fiona Stewart|
||Brian Giffen|
||Tom Hill|
||Sam Madden (Safeguarding)|
||Peter Marr|
|**Headmaster**|Mr N Lunnon|
|**Bursar & Clerk to Governors**|Ms H Ali|
|**Company registered number**|03345004|
|**Charity registered number**|1068844|
|**Registered Office**|188 Sheen Lane|
||East Sheen|
||London|
||SW14 8LF|
|**Bankers**|National Westminster Bank|
||341 Upper Richmond Road West|
||East Sheen|
||London|
||SW14 8QP|
|**Auditors**|Moore Kingston Smith LLP|
||9 Appold Street|
||Floor 6|
||London|
||EC2A 2AP|
|**Investment Managers**|Rathbone Brothers Plc|
||8 Finsbury Circus|
||London|
||EC2M 7AZ|
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Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation**
## **TRUSTEES’ REPORT (continued)**
for the year ended 31 August 2025
## **OBJECTIVES AND ACTIVITIES**
Tower House School’s aim as an educational charity for children is to benefit the public by providing a firstclass education independent of the State system. We are a mixed ability school and we aim for the highest quality of academic tuition and the development of wider sporting, artistic, musical, and social skills in all our pupils. We offer an environment where each pupil can develop and fulfil his potential, in order to help build self-confidence and inculcate a lifelong desire to contribute to the wider community _._ Objectives are set up in accordance with the whole school development plan.
The Foundation has continued seeking to act as a good citizen in the local community and elsewhere. The school maintains a close liaison between parents/guardians, teachers, the governing body as well as other local charities/organisations that can benefit from the school’s facilities.
In setting our objectives and planning our activities, our Governors give full weight to the Charity Commission’s guidance on public benefit in the context of charities such as Tower House.
Ongoing and future objectives of the school are to:-
- Maintain the schools’ same high level of academic performance and sports achievements with the present 10:1 pupil/teacher ratio. Ensuring all leavers attend their senior schools of choice. Support application of Year 8 pupils for scholarships at destination senior schools, including Academic, Drama, Sport, Music, Art and All-Rounder.
- Expand the teaching of Performing Arts and extend performances and opportunity to participate to the wider community, including increasing use of local facilities such as Christ Church for public services and collaboration with local state primary schools, as well as local community groups such as FiSH. Increase opportunities for boys to perform in the local community, such as Richmond May Fair and FiSH Christmas Carols.
- Maintain the expertise of teaching staff, with succession-planning and continual professional development – staff professional development through externally provided courses and by a series of internal staff training workshops. Participate in teacher training programmes to support bringing new teachers into the profession and provide regular work experience opportunities to school aged pupils.
- Continue to develop and resource the Special Educational Needs Department to ensure the appropriate level of support for both the talented and gifted and those with specific learning difficulties.
- Increased use of Tower House facilities and resources for local nurseries and state primary schools such as use of multi-purpose hall for Nativity and creative performances.
- To embed a scheme of work which addresses the pupils’ wellbeing. Such a scheme to be integrated into the PSHE curriculum and its efficacy measured using regular pupil surveys and discussion groups. To embed a full and comprehensive Relationships and Sex Education (RSE) curriculum. Consultation with parents of the same and feedback acted upon. Staff and boys to receive awareness training of equality and diversity aspects – staff also to receive awareness training on unconscious bias.
- To further embed the PSHE provision by the addition of a series of talks and workshops by external providers, combining where appropriate with our sister school, OVS. This will allow deeper study/discussion of the topics already in the scheme and also allow for the introduction of new topics such as economic literacy. Introduction of guest speaker programme (ThED Talks) to widen discussion and debate of social and global affairs, such as inviting in local MP and the introduction of Junior ThEDs, pupil-led talks programme.
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## **The Tower House School Charitable Foundation**
## **TRUSTEES’ REPORT (continued)**
for the year ended 31 August 2025
## **OBJECTIVES AND ACTIVITIES (continued)**
- Increase support of local charitable organisations, focusing on local charities as well as national and international institutions. Develop ways for boys to work within the local community such as visits to the Roehampton Community Hub project.
- Increase the opportunity for boys to explore their specific interests and passions through project work such as the introduction of The Governors Project, the Tower House Art Fair, the Tower Project for business entrepreneurship, Pupil-led Junior ThED Talks, as well as entering boys for national competitions such as Young Geographer of the Year, Townsend-Warner History Competition and Maths Olympiads.
- Further develop the extensive residential trip and day visit programmes allowing pupils to experience different lifestyles and traditions, to face challenges and to see how in the future they may be able to contribute to the different aspects of society.
- Further develop liaison with environmental agencies to enable voluntary work to be carried out in the community.
- Continue to develop and resource the Sports Department, and extend the opportunity for boys to experience a wide range of Sports and Physical Development, including national competitions at Bisham Abbey and St Georges Park. To enter sporting competitions within the local Borough to enable boys to compete with pupils from the local Primary Schools. To continue to invest in swimming tuition for the younger age groups by utilising the purpose-built training pool which has been built locally.
- To further invest in Assessment strategies for Senior School and Junior School – these should include an investment in online assessment models leading to standardized scores for national comparison.
- Further increase the numbers of boys learning musical instruments and participating in ensembles – including specialist ensembles such as ‘woodwind’. This year over 160 boys participated in extracurricular music lessons, ensembles and groups.
Tower House School Values
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## **The Tower House School Charitable Foundation TRUSTEES’ REPORT (continued)** for the year ended 31 August 2025
## **OBJECTIVES AND ACTIVITIES (continued)**
Tower House School Strategic Aims 2024 - 2029
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Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation**
## **TRUSTEES’ REPORT (continued)**
for the year ended 31 August 2025
## **OBJECTIVES AND ACTIVITIES (continued)**
The Governors are mindful of the need to consider activities for the wider Public Benefit, although the priority is still to ensure that pupils already at the school should be able to continue and complete their education at the School. They continue to keep abreast of legal developments, taking particular note of any guidance on general public benefit issued by the Charity Commission. The Governors continue to consider ways to benefit the wider community within the financial constraints affecting the school, and resources/facilities available.
As part of the education of its pupils the school encourages them to offer service and philanthropy as part of the privileged education that they enjoy.
This includes arranging fund raising for local, national and international charities and distributed to the following charities: -
- Whole School: Racket Cubed – Roehampton Community Box Hub
- Whole School: Cure DHDDS
- Junior school: London Air Ambulance
- Senior School: FiSH Neighbourhood Care
- Jeans for Genes Day
- Red Nose Day
- Harvest Festival, Christmas and Easter collections – donations to Roehampton Community Box Hub (through Rackets Cubed)
There has been an emphasis in the year to closely support local charities within a short radius from the school. Members of FiSH Community Care were invited to join the 80[th] VE Celebrations with an afternoon tea and musical performance. Members of the school choir sing with the FiSH choir. The school continues to support Rackets Cubed, through donations and visits to support at the Roehampton Community Box Hub.
65 boys competed in the Restless Development Schools Triathlon in the year, raising £4,604.
The Evans Hall is made available to local charities such as Christ Church Choir, Members of East Sheen Society (MESS), drama and music groups who work with children, to a local Mandarin teaching group and to local musicians for sound recording. All local nurseries and local Primary Schools have been offered the use of the Evans Hall without charge. A wide variety of after-school and holiday clubs run throughout the year and are, where possible, open to children in the local area. These include:- sports, art, pottery, drama.
The Governors are continuing to identify ways in which they can make the facilities available to the local community and particularly to under-privileged children and groups. The Governors are looking forward to letting out the new multipurpose hall to groups within the community, once completed.
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# **The Tower House School Charitable Foundation**
**TRUSTEES’ REPORT (continued)**
for the year ended 31 August 2025
## **Key Management Personnel**
The key management personnel of the school are made up as follows:-
Trustees Charles Pike Antony Phillips
Governors Antony Phillips – Chair of Governors Sam Madden – Safeguarding Governor Andy Sutch – Health and Safety Governor Fiona Stewart Brian Giffen Tom Hill – Teaching and Learning Governor Peter Marr – Finance Governor
Senior Leadership Team (SLT) Neill Lunnon - Headmaster Huma Ali – Director of Finance and Operations & Clerk to Governors Ben Peyton – Deputy Head Kerry Hogan – Head of Junior School Edmund Orme – Deputy Head Academic Vicky Singlehurst – Head of Admissions, Marketing and Communications
The Trustees and Governors are responsible for the overall management of Tower House School. Governors have the legal responsibility for ensuring that the school complies fully with the law, is solvent and complies with all the financial regulations for charities as well as with Independent School Inspectorate (ISI), and Early Years Foundation Stage (EYFS) regulations. The school should be run in accordance with its charitable objects, including public benefit. Governors set the school's vision, ethos, and direction, regularly review the school's performance against targets and monitor the risks to which the charity is exposed. They are responsible for ensuring that proper measures are taken by the school to mitigate all risks, by safer recruitment and child protection, compliance with health and safety and appropriate insurance. They are responsible for the Trustee structure. Governors have a duty to keep in mind the interests of pupils, staff and parents as well as those of the community. The Board of Governors meet formally at least 3 times per year. Governors also have specific responsibilities, such as safeguarding and child protection, special educational needs, health and safety, education, and inclusion. This aids Governors to attain an in-depth knowledge of issues affecting the school within their area of responsibility. They can also create links with the relevant staff in school. Governors are welcome and encouraged to visit the school at any time to observe lessons or audit their area of responsibility. Relevant training for governors is promoted and provided. The trustees and governors give their time voluntarily and are not remunerated.
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## **The Tower House School Charitable Foundation**
## **TRUSTEES’ REPORT (continued)**
for the year ended 31 August 2025
## **Selection, Appointment, and Induction of Governors**
Governors are responsible for the selection, safe recruitment, and appointment of new Governors. The aim is to achieve a balanced board, with individuals with an educational, legal, business, financial, property and marketing backgrounds. All Governors complete a selection process, which requires the submission of a CV, a meeting with a senior Governor and a meeting with the Head. Every Governor has an enhanced DBS check. Each appointment is made/ratified by the full Board for period of 3 years. The school
for all new governors to receive a thorough induction in child safeguarding and in the compliance and fiduciary duties of governance. New Governors visit the school in order to meet the key personalities and to gain an insight into the curriculum and to meet groups of pupils.
All new Governors receive a briefing pack on appointment that contains:
- The Governing Instrument
- List of fellow Governors and their contact details
- Dates of meetings for the ensuing year
- Minutes of most recent meetings
- AGBIS/ISC "Guidelines for Governors"
- School staff list
- The School Development Plan
- The School's Risk Register
- The School's Conflict of Interest Policy
- The School Calendar and list of functions
- A list of School policies
- The most recent school accounts
- Statement of governor responsibilities
- Conflicts of interest policy
- Staff handbook
- School prospectus
- Declaration of interest form
- Declaration of eligibility form
## **Management and Remuneration**
The day-to-day management of the school is delegated to the Head, Deputy Head and Director of Finance and Operations, supported by the other members of the Senior Leadership Team. All members of the Senior Leadership Team are placed on the appropriate scale point of the Tower House School leadership pay scale, which is derived from the IAPS (Independent Prep Schools Association) Guide to Salaries. The remuneration for the Head and Bursar is reviewed annually by the governing body. The Head and Bursar review the pay for the other members of the SLT annually. Delivery of the School’s charitable vision and purpose is primarily dependent upon key management personnel and as is the case with most schools, staff costs are the largest single element of our charitable expenditure.
## **Review of Achievements and Performance**
The school has invested heavily in further education qualifications studied by staff; these include an MA in Advance Educational Practice (UCL), a Senior Leaders Masters Degree Apprenticeship, (Salford), a Senior Leaders Masters Degree Apprenticeship (Coventry), a Primary Education Foundation Degree (St Mary’s) and a Level 5 Diploma in HR Management, CIPD (Chartered Institute of Personnel and Development).
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## **The Tower House School Charitable Foundation**
## **TRUSTEES’ REPORT (continued)**
for the year ended 31 August 2025
## **Financial Review and Future Developments**
The Governors are pleased to report that the School continues to operate from a position of financial strength, supported by a robust balance sheet and healthy reserves.
This position is underpinned by strong financial processes and rigorous governance in line with the School’s charitable objectives.
Despite the well-documented challenges facing the independent education sector in recent years, pupil numbers have remained strong and demand for places continues to be high.
This resilience has enabled the School to continue investing in its facilities and educational provision. Following the successful completion of the new Senior School building, the Governors are now turning their attention to the refurbishment of the remaining school buildings, ensuring that all pupils benefit from a first-class learning environment that reflects the School’s ethos and long-term strategic vision.
## Academic Success
Once again, all Year 8 pupils achieved places at their chosen schools. These include both boarding and day schools, in the area and further afield. 100% success rate at Common Entrance. Ten pupils were awarded scholarships by his chosen senior school (Academic x2, Drama x4, Art x2, Sport x2).
## **DESTINATION SCHOOLS - SEPTEMBER 2025**
Total of 10 scholarships for this cohort of 20 boys
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Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation TRUSTEES' REPORT (continued)**
for the year ended 31 August 2025
## **Financial Review and Future Developments (continued)**
## Sports and Fitness
Sporting achievements have been numerous this year; with excellent results in all three main sports (Football, Rugby and Cricket). Specialist professional sports coaches have continued to be utilised for both Rugby and Cricket, with great success. A biennial cricket tour to Barbados (next trip Spring 2026) serves to provide a fantastic experience to Tower House pupils, whilst also opportunity to donate cricketing equipment to their hosts. Two of our pupils received the offer of a Sports Scholarship from their chosen senior school. Boys took part in numerous sporting competitions to include Prep4sport U10 and U13 football tournaments at Bisham Abbey and St George’s Park respectively, IAPS Regional and National Swimming Galas, IAPS Squash Competition, Epsom College X-Country and Richmond Borough X-Country.
## Music
Music continues to develop at Tower House. A new dynamic Director of Music will arrive in September 2025 to take excellence in quantity and quality of music provision and performance to a new level. The Senior Choir now accounts for 80% of the pupils who are eligible to join and they have enjoyed performing for the School community and beyond, including opening the Richmond May Fair. The Junior Choir attracts a large proportion of boys in that stage of the school. The addition of a Chamber Choir to the singing repertoire has allowed elite singers to perform in external venues. The number of music ensembles has expanded to include jazz band, swing band, guitar group, rock band, strings ensemble and school orchestra. Combined music concerts with the Old Vicarage School in school and at external venues is a welcome addition to our musical provision. Bagpipes have been added to the list of instrumental lessons.
## The Arts (including the performing arts)
Art throughout the school is in rude health. There is an inclusive exhibition every year with a variety of age groups represented as part of the Creative Arts Concert. A fully curated Art Fair was a huge success in the Summer Term 2025. The addition of a laser cutter and 3D printer in art has allowed for development of the curriculum and increased use of different media. The school’s own kiln remains a central part of art lessons and art clubs. Art club remains one of the most over-subscribed clubs in school.
Drama productions continue to set new standards. This year THS performed an outstanding production of The Hobbit, involving a record 87 boys on stage for speaking parts, the vast majority of the Senior School. High standards do not preclude inclusivity – all those that want to be a part of the production are included. This year a record 4 boys in Year 8 were awarded Drama Scholarships by their chosen senior school. Plans to take a production of 12 Angry Men to the Edinburgh Fringe in summer 2026 are already in train.
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## **The Tower House School Charitable Foundation**
## **TRUSTEES’ REPORT (continued)**
for the year ended 31 August 2025
## **Financial Review and Future Developments (continued)**
Projected plans for the future:
To continue to support the Head and Senior Leadership Team of Tower House School in delivering on the strategic aims.
To improve facilities to both develop the educational experience for pupils and to retain and attract the highest calibre of staff. Plans to be agreed for the refurbishment of 188 Sheen Lane building to improve library facility, technology studio, science laboratory, teaching classrooms, Head’s office, staff work space and entry to school.
The Evans Hall building has been operational for two full academic years and has transformed the provision for the pupils at the school and use by external groups such as Sheen Montessori, PlayBall and Mandarin Club on the weekends.
## **Fees, Bursaries and Hardship Fund**
The fees are inclusive of all residential and curriculum related trips costs and also lunch, to ensure that the highly beneficial trips and excursions are open to all.
To assist the school to attract and retain high calibre staff, we offer a fees discount scheme to staff that enrol their children at our school. The Governors of Tower House School are committed to broadening access to the school by offering to eligible parents/guardians means-tested financial support with the payment of school's fees. Bursaries may be awarded in the form of a discount of up to 100% on tuition fees payable, depending on the financial, compassionate, or other pertinent circumstances of applicants. For transparency, all applications are assessed by an independent agency who are experienced in administering bursary applications for the independent sector.
Bursary awards are subject to repeat testing of parental means each year and may be varied upwards or downwards, depending on parental circumstances, compassionate or other pertinent considerations.
Requests for financial support usually fall into two categories:
- New applicants to the school, where a place has been offered but parents/guardians are unable to fund the tuition fees.
- Existing pupils where a change in parents/guardians’ circumstances has resulted in difficulty in meeting tuition fees and may result in the child being withdrawn part way through a stage of education.
Information provided by the school alerting the parents/guardians of potential pupils to the possibility of gaining means-tested financial support with the payment of school's fees is included in:
- The school prospectus.
- The school website.
- The local press by means of advertisements.
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## **The Tower House School Charitable Foundation**
## **TRUSTEES’ REPORT (continued)**
for the year ended 31 August 2025
## **Principal Risks and Uncertainties**
|**_Category_**|**_Description_**|**_Control Procedures_**|
|---|---|---|
||||
|Operational|Safeguarding Issue|
All staff DBS checked, together with strict Safer
Recruitment procedures (Head, Deputy Head, Chair of
Governors and Safeguarding Governor all trained in safer
recruitment)
All staff attend Child Protection Level 2 training at least
once every 3 years
DSL and Deputy DSL attend Level 3 training course every
2 years
All visitors escorted and badged
Access through front door via intercom
CCTV coverage throughout exterior areas of premises
All unscheduled visitors challenged
Encourage culture of awareness in all site staff, including
facilities and
security to challenge children leaving the site.
Lockdown procedures developed and practiced
Whistle blowing procedure|
|Legal and
Regulatory|Non-compliance
leading to serious
inspection|
Dedicated Compliance Manager to audit current to serious
inspection regulatory compliance and ensure that all
processes are and press issues adhered to
Responsibility for all areas of School operations assigned
to individual SMT members
Information sources identified and monitored
Policies and practices regularly updated with rolling
reviews at all school staff meetings
Governor's review and agree major changes to regulatory
Policies each term.|
|Competition|The opening of a free
school or primary
school in the area|
Maintenance of high standards of curricular and extra-
curricular provision together with continuous improvement
of facilities (e.g. 4 new classrooms and multipurpose hall)
Profile and understand beneficiary needs
Use marketplace analysis to establish future funding
requirements and/or threats to business
Strategic marketing, publication of the schools excellent ISI
Inspection report, and constant high performance or our
boys in all areas of education; academic, music, sport,
drama|
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## **The Tower House School Charitable Foundation TRUSTEES’ REPORT (continued)**
for the year ended 31 August 2025
## **Principal Risks and Uncertainties (continued)**
|**_Category_**|**_Description_**|**_Control Procedures_**|
|---|---|---|
||||
|Operational|Cyber Attack/Data
Breach|
The school, once again, has successfully completed the
annual renewal and subscription process for the
CyberEssentials accreditation. To help mitigate and
manage the risk in data protection and the threat of a cyber
attack.
5 controls within the CyberEssentials Scheme are
designed to protect the school against cyber-attacks and
guard the internet connection, devices, data, and services.
The scheme is designed to protect charities against 80% of
the most common cyber-attacks, which can impact
charities of all sizes.
Weekly backups of all data are taken, encrypted, and kept
offsite as a precaution against data loss/damage.|
|Financial|Global and Economic
Forces|
The current economic downturn and increase in the cost of
energy, due in the most part to the war in Ukraine, has
created an additional risk for the school, as it has to most
areas of life. The general cost of living crisis could affect
pupil numbers and the school’s operational costs.
The school has taken steps to maintain pupil numbers by
appointing a Marketing and Communications Manager;
and the school has fixed energy tariffs at an affordable
level. The Governors regularly review the effectiveness of
current plans and strategies for managing all identified
major risks via The Risk Register. The management of risk
and the flexibility of the school to react was tried and tested
successfully, during the recent Pandemic. The Governors
have a policy of ensuring the school has sufficient reserves
to withstand a severe downturn in income. The Governors
believe that on this basis the School can continue to meet
its ongoing obligations and liabilities for the foreseeable
future and is therefore a going concern.|
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## **The Tower House School Charitable Foundation**
## **TRUSTEES’ REPORT (continued)**
for the year ended 31 August 2025
## **Financial Revenue and Reserves**
The financial statements for the year ended 31 August 2025 are set out in the pages following this report. Including the Statement of Financial Activities and the Balance Sheet. The Trustees are of the opinion that the balance sheet position is satisfactory.
The principal funding source is the parents of the children it educates. All income of the school is applied for educational purposes, in line with its Objectives.
During the year income amounted to £3,288,732 (2024: £3,015,184), an increase of 9.1%. Expenditure this year amounted to £3,200,805 (2024: £3,141,796), an increase of 1.8%, which has enabled the School to continue to provide the high level of education to pupils, and to continue to provide the excellent extracurricular activities that are included in the tuition fees and therefore available to all, e.g. educational residential trips to support the learning of; French, Geography, History, Science, Sport and personal development/confidence building.
After taking into account unrealized capital gains in the Trustees’ investment portfolio of £16,873 (2024: £98,573) overall the charity made a surplus of £104,800 (2024: net expenditure of £28,039) which will be used to fund future capital works and maintain and develop the School’s buildings, to ensure the School can continue to operate at full of near full capacity for the foreseeable future.
## Teachers’ Pension Scheme
Following the completion of negotiations, the School has withdrawn from the Teachers’ Pension Scheme (TPS). While membership of the TPS was previously viewed as a strong recruitment tool, the Governors carefully considered the significant increase in the employer’s contribution rate from 2019 and, again in 2025, reviewed sector trends. The School has now implemented an alternative pension arrangement and will continue to monitor the education sector closely to ensure that staff benefits remain competitive.
## **Reserves Policy**
Primarily reserves are held to enable the continuity of services and activities that we undertake.
Reserves are held for the following reasons:
- to handle any sudden reduction in income
- to handle fluctuations in the market value of the investment portfolio
- to cover for other key risks crystalizing resulting in unplanned expenditure
- to take advantage of unexpected opportunities
In considering the level of reserves that should be held, we test the policy level against various scenarios to ensure adequate levels of reserves are held. The Trustees review what an adequate level of reserves is regularly. Currently set level of free reserves at £500k
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## **The Tower House School Charitable Foundation TRUSTEES’ REPORT (continued)** for the year ended 31 August 2025
## **Investment Policy**
The school has an investment portfolio managed by one of the UK’s leading investment managers; Rathbones Investment Management. Surplus funds are transferred to expand the portfolio when sufficient funds have accrued in the school's bank account to warrant a long-term approach to investment. The objectives of the school’s investment policy are to ensure the creation of sufficient income and capital growth to enable funds to be used for the continued improvement of education of children and major capital projects, such as the development of the recently acquired 190 Sheen Lane site. The current valuation of these funds is £985,434 (2024: £945,234). Investment Income for this year is £31,800 (2024: £8,545). £813k is held in the cash account attracting 0.65% interest, in anticipation of draw down as the 190 Project Development nears completion. The Board reviews the portfolio regularly and the investment manager is invited to present to the Board annually.
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## **The Tower House School Charitable Foundation**
## **TRUSTEES’ REPORT (continued)**
for the year ended 31 August 2025
## **Trustees responsibilities' statement**
The Trustees (who are also Directors of Tower House School for the purposes of company law) are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and regulations.
Company law requires the trustees to prepare financial statements for each financial year. Under that law the trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:
- select suitable accounting policies and then apply them consistently;
- make judgements and accounting estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## **Disclosure of information to auditors**
In so far as the Trustees are aware:
there is no relevant audit information of which the charity's auditors are unaware; and the Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
This report has been prepared in accordance with the provisions applicable to companies entitled to small companies exemption.
On behalf of the board
Antony Phillips (Trustee)
Date: 29/5/2026
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## **The Tower House School Charitable Foundation**
## **INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE TOWER HOUSE SCHOOL CHARITABLE FOUNDATION**
for the year ended 31 August 2025
## **Opinion**
We have audited the financial statements of The Tower House School Charitable Foundation (‘the company’) for the year ended 31 August 2025 which comprise the Statement of Financial Activities, the Summary Income and Expenditure Account, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 ‘The Financial Reporting Standard Applicable in the UK and Republic of Ireland’ (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
- give a true and fair view of the state of the charitable company’s affairs as at 31 August 2025 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Companies Act 2006.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the trustees’ 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 material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company'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 trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. 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.
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Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE TOWER HOUSE SCHOOL CHARITABLE FOUNDATION (continued)**
for the year ended 31 August 2025
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 course of 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 themselves. 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.
## **Opinions on other matters prescribed by the Companies Act 2006**
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the trustees’ annual report for the financial year for which the financial
- statements are prepared is consistent with the financial statements; and
- the trustees’ annual report have been prepared in accordance with applicable legal requirements.
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of trustees’ remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit. or
- the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies exemption in preparing the trustees’ annual report and from preparing a strategic report.
## **Responsibilities of trustees**
As explained more fully in the trustees’ responsibilities statement, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the 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 charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
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Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE TOWER HOUSE SCHOOL CHARITABLE FOUNDATION (continued)** for the year ended 31 August 2025
## **Auditor’s Responsibilities for the audit of the financial statements**
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the charitable company’s internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees.
Conclude on the appropriateness of the trustees’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charitable company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the charitable company to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
Page 18
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE TOWER HOUSE SCHOOL CHARITABLE FOUNDATION (continued)**
for the year ended 31 August 2025
## **Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud**
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. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.
The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the charitable company.
Our approach was as follows:
- We obtained an understanding of the legal and regulatory requirements applicable to the charitable company and considered that the most significant are [the Companies Act 2006, the Charities Act 2011, the Charity SORP, and UK financial reporting standards as issued by the Financial Reporting Council
- We obtained an understanding of how the charitable company complies with these requirements by discussions with management and those charged with governance.
- We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance.
- We inquired of management and those charged with governance as to any known instances of noncompliance or suspected non-compliance with laws and regulations.
- Based on this understanding, we designed specific appropriate audit procedures to identify instances of non-compliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining additional corroborative evidence as required.
There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.
Page 19
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE TOWER HOUSE SCHOOL CHARITABLE FOUNDATION (continued)** for the year ended 31 August 2025
## **Use of our report**
This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to any party other than the charitable company and charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Shivani Kothari (Senior Statutory Auditor) for and on behalf of Moore Kingston Smith LLP, Statutory Auditor 6[th] Floor
9 Appold Street London EC2A 2AP
29/5/2026
Page 20
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation STATEMENT OF FINANCIAL ACTIVITIES (including the income and expenditure statement)** for the year ended 31 August 2025
|Notes
**INCOME FROM:**
**Charitable Activities**
School fees
3
Other educational income
4
**Other income**
Other trading income
**Investments**
Investment Income
5
**Total income and endowments**
**EXPENDITURE ON:**
**Costs of raising funds**
6
Investment Management
Interest and other costs
**Charitable activities**
6
Education
**Total expenditure**
6
**Net operating income/(expenditure)**
Pension Provision change
Other Profit or Loss on sale of assets/property
Net gain/(loss) on investments
11
**Net income/(expenditure)**
Transfer between funds
**Net movement in funds**
Fund balances brought forward
Fund balances carried forward
17|Unrestricted
£
3,153,150
93,777
10,005
31,800
3,288,732
5,755
20,672
3,174,378
3,200,805
87,927
-
-
16,873
104,800
-
104,800
6,558,379
6,663,179|Restricted
funds
£
-
-
-
-|**Total**
**2025**
**£**
**3,153,150**
**93,777**
**10,005**
**31,800**
**3,288,732**
**5,755**
**20,672**
**3,174,378**
**3,200,805**
**87,927**
**-**
**-**
**16,873**
**104,800**
**-**
**104,800**
**6,559,489**
**6,664,289**|Total
2024
£
2,927,499
70,307
8,833
8,545|
|---|---|---|---|---|
|||-||3,015,184|
|||-
-
-||5,768
48,553
3,087,475|
|||-||3,141,796|
|||-
-
-
-||(126,612)
-
-
98,573|
|||-
-||(28,039)
-|
|||-
1,110||(28,039)
6,587,528|
|||1,110||6,559,489|
The statement of financial activities includes all gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared.
All of the above amounts relate to continuing activities.
The accompanying notes form part of these financial statements.
Page 21
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation BALANCE SHEET** as at 31 August 2025
|Notes
**2025**
**£**
**FIXED ASSETS**
Tangible assets
10
**7,115,619**
Investments
11
**985,434**
**8,101,053**
**CURRENT ASSETS**
Debtors
12
**295,202**
Investments
**209,048**
Cash at bank and in hand
**821,082**
**1,325,332**
**CREDITORS**: Amounts falling due within one year
13
**(1,232,902)**
**NET CURRENT ASSETS**
**92,430**
**TOTAL ASSETS LESS CURRENT LIABILITIES**
**8,193,483**
**CREDITORS:**Amounts falling due after more than one year
14
**(1,529,194)**
**NET ASSETS**
**6,664,289**
**FUNDS**
Restricted funds
15
**1,110**
Unrestricted funds
15
**6,663,179**
**6,664,289**
29/5/2026|2024
£
7,152,272
945,234|
|---|---|
||8,097,506
130,010
200,776
1,019,092|
||1,349,878
(1,107,077)|
||242,801|
||8,340,307
(1,780,818)|
||6,559,489|
||1,110
6,558,379|
||6,559,489|
|||
Approved and authorised for issue by the Board of Governors on …......................... and signed on their behalf by:
Antony Phillips Chairman of the Board of Governors
The accompanying notes form part of these financial statements. Company Number: 03345004
Page 22
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation CASHFLOW STATEMENT** for the year ended 31 August 2025
|**CASH FLOW STATEMENT**
Notes
Net cash inflow from operating activities
20
Cash flows from investing activities:
Investment in current asset Investment
Bank interest received
Dividends received
Interest paid
Payments to acquire fixed assets
Payments to acquire investments
Net cash outflow from investing activities
Financing:
Loans repaid
Cash received from Fees in Advance Scheme
Net cash outflow from financing activities
Increase/(decrease) in cash
beginning of the reporting period
end of the reporting period
Cash and cash equivalents at the
Cash and cash equivalents at the|**2025**
**£**
**17,591**
**(8,271)**
**17,325**
**14,475**
**(20,672)**
**(109,617)**
**(23,327)**
**(130,087)**
**(85,514)**
**-**
**(85,514)**
**(198,010)**
**1,019,092**
**821,082**|2024
£
386,973
(776)
8,545
-
(48,553)
(224,346)
(11,099)|
|---|---|---|
|||(276,229)|
|||(57,632)
387,500|
|||329,868|
|||440,612
578,480|
|||1,019,092|
Page 23
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation ACCOUNTING POLICIES** for the year ended 31 August 2025
## **1** ACCOUNTING POLICIES
The Tower House School Charitable Foundation is a company limited by guarantee with registered number 03345004, incorporated and domiciled in England and Wales. Its registered office is 188 Sheen Lane, East Sheen, London, SW14 8LF.
## **1.1** BASIS OF PREPARATION
The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). The Charitable Company is a public benefit entity for the purposes of FRS 102 and therefore the Charity also prepared its financial statements in accordance with the 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 (The FRS 102 Charities SORP), the Companies Act 2006 and the Charities Act 2011.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest pound.
These financial statements are prepared on the going concern basis, under the historical cost convention as modified by the revaluation of investments and in accordance with the Companies Act 2006 and applicable accounting standards in the United Kingdom. The principal accounting policies, which have been applied consistently throughout the year, are set out below.
## **1.2** GOING CONCERN
The financial statements are prepared on a going concern basis which assumes the school will continue in operation for the foreseeable future. The trustees have assessed whether the use of the going concern assumption is appropriate in preparing these financial statements. The trustees have made this assessment in respect to a period of one year from the date of approval of these financial statements.
The school is dependent on students applying to it and on parents to pay their fees. Long term forecasting of student numbers is difficult but work continues to raise the profile of the school and to maintain and enhance relationships with parents, feeder schools and nurseries and destination schools. In particular the governors have considered the forecasts and projections and have taken account of pressures on fee income, particularly in the light of the current economic uncertainty. After making enquiries the governors have concluded that there is a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Accordingly, they continue to adopt the going concern basis in the preparation of the financial statements.
## **1.3** COMPANY LIMITED BY GUARANTEE
The charitable company is limited by guarantee. In the event of the charitable company being wound up the liability in respect of the guarantee is limited to £10 per member of the charity.
Page 24
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation ACCOUNTING POLICIES** for the year ended 31 August 2025
## **1.4** INCOME RECOGNITION
All incoming resources are included in the Statement of Financial Activities (SoFA) when the Charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.
School fees are recognised within income when they become due. Fees are charged on a termly basis. Fees raised in advance are deferred until the School becomes entitled to the funds.
In accordance with current UK VAT legislation applicable to independent schools, tuition fees are treated as standard-rated supplies where applicable. Accordingly, income is recognised net of VAT where VAT is chargeable and collected on behalf of HMRC. Any VAT collected is not included in income but is recorded as a liability until remitted to HMRC. Where income streams remain exempt from VAT (for example, certain educational activities or closely related supplies, subject to prevailing legislation), these are recognised gross.
Investment income is earned through holding assets for investment purposes such as shares and property. It includes dividends and interest and is recognised when the amount can be measured reliably and the charity’s
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the bank.
Other income (including registration fees, extras and retained deposits) is recognised when the charity has entitlement to the funds, any performance conditions have been met, it is probable that the income will be received, and the amount can be measured reliably. Where such income is subject to VAT, it is recognised net of VAT in line with the treatment above.
## **1.5** DONATIONS
Donations received for the general purposes of the school are included as unrestricted funds. Donations restricted by the wishes of the donor or the terms of an appeal are taken to restricted funds.
## **1.6** EXPENDITURE
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably.
Expenditure is categorised under Expenditure on charitable activities, which includes all costs incurred on furthering the objects of the Charity.
Support costs are those costs incurred directly in support of expenditure on the objects of the Charity and include project management carried out at the School.
Charitable activities and governance costs are costs incurred on the Charity's educational operations, including support costs and costs relating to the governance of the Charity apportioned to charitable activities.
Irrecoverable VAT is included within the relevant expenditure category to which it relates. Where VAT is recoverable, the expenditure is recognised net of VAT. VAT payable or recoverable is included within creditors or debtors in the Balance Sheet as appropriate.
## **1.7** FUND ACCOUNTING
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity. Designated funds are unrestricted funds earmarked by the governors for particular purposes. Restricted funds are subjected to restrictions on their expenditure imposed by the donor.
Page 25
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation ACCOUNTING POLICIES** for the year ended 31 August 2025
## **1.8** FIXED ASSETS AND DEPRECIATION
All fixed assets are used in direct furtherance of the school’s objectives. Fixed assets are included in these financial statements at their original cost less depreciation and accumulated impairment losses provided to date. Assets over £1,000 are capitalised.
Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the costs less estimated residual value of each asset, by equal annual instalments, over their expected useful lives which are considered to be:
Freehold property 2% on straight line Fixtures and fittings 20% on straight line
## **1.09** PENSIONS
The charity contributes to three pension schemes: the Teacher's Pension Scheme, the National Employment Savings Trust and Independent Schools Pension Scheme.
Retirement benefits to employees of the Charity are provided by the Teacher's Pension Scheme ("TPS") and the Independent Schools' Pension Scheme. These are defined benefit schemes and the assets and liabilities are held separately from those of the Charity. Defined contributions retirement benefits to the employees of the Charity are also provided under the National Employment Savings Trust.
The TPS is an unfunded scheme and contributions are calculated so as to spread the cost of the pensions over employee's working lives with the Charity in such a way that the pension cost is a substantially level percentage of current and future pensionable payroll. The contributions are determined by the Government Actuary on the basis of quadrennial valuations using a prospective unit credit method. As stated in Note 19, the TPS is a multi employer scheme and there is insufficient information available to use defined benefit accounting. The TPS is therefore treated as a defined contribution scheme for accounting purposes and the contributions recognised in the period in which they relate.
The Charity participates in the Independent School's Pension Scheme (Note 19). Included in the scheme is an employer's debt which would become payable if the Charity left the scheme and this is explained in Note 19. As a multi-employer scheme within the definitions of FRS 102, none of the assets or liabilities of the scheme are included on the Charity's Balance Sheet. The pension charge represents amounts payable by the Charity to each scheme in respect of the year. Contributions are expensed as they become payable.
## **1.10** LEASES
Rentals paid under operating leases are charged to the Statement of Financial Activities evenly over the period of the lease.
## **1.11** INVESTMENTS
The charity has equity investments in listed entities. Investments are valued in the balance sheet at their midmarket value at the balance sheet date. Investment management costs are accounted for as incidental costs of the acquisition or disposal where transaction-based, while investment income management costs are charged as expenditure out of the relevant income funds. All gains and losses are taken to the Statement of Financial Activities as they arise.
## **1.12** CASH AND CASH EQUIVALENTS
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid
Page 26
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation ACCOUNTING POLICIES** for the year ended 31 August 2025
## **1.13** FINANCIAL INSTRUMENTS
The company 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 in the company's balance sheet when the company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when 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.
With the exceptions of prepayments and deferred income all other debtor and creditor balances are considered to be basic financial instruments under FRS 102. See notes 12, 13 and 14 for the debtor and creditor notes.
## **1.14** TAXATION
The company is a registered charity and is exempt from taxation as afforded by Section 505 ICTA 1988.
## **1.15** EMPLOYEE BENEFITS
The costs of short-term employee benefits are recognised as a liability and an expense.
- **2** KEY ESTIMATES & JUDGEMENTS
In the application of the company's accounting policies, the Board is required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an on-going basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised, if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
In the opinion of the board, the estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are outlined below.
## **Critical judgements**
## _Useful economic lives_
The annual depreciation charge for property, plant and equipment is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are reassessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets. See note 10 for the carrying amount of the property, plant and equipment and note 1.8 for the useful economic lives for each class of asset.
## _Recoverable value of fee debtors_
The company makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience. See note 13 for the net carrying amount of the debtors and associated impairment provision.
## _Deficit pension scheme_
The net present value of the calculation for the pension deficit has been based on an estimated percentage based on potential future events.
## _Investments_
Included in investments are judgements made on the value of property and alternative assets.
Page 27
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
|**3 FEE INCOME**
The School’s activities are carried out within the UK.
The school's fee income comprised:
Gross fees
Less: Scholarships, bursaries and discounts
**4 OTHER EDUCATIONAL INCOME**
Extras and disbursements
Registration fees
Retained deposits
Other income|**2025**
**£**
**3,207,119**
**(53,969)**
**3,153,150**
**2025**
**£**
**28,604**
**6,200**
**46,450**
**12,523**
**93,777**|2024
£
2,960,138
(32,639)|
|---|---|---|
|||2,927,499|
|||2024
£
13,456
7,600
7,568
41,683|
|||70,307|
Included within the above is an amount of £Nil (2024: £24,039) which relates to restricted income.
## **5 INVESTMENT INCOME**
|Interest received
Dividend income|**2025**
**£**
**17,325**
**14,475**
**31,800**|2024
£
8,545
-|
|---|---|---|
|||8,545|
Page 28
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
|**6 EXPENDITURE**
**(a) Costs of Raising Funds**
Investment Management Fees
Finance Costs
**Total Costs of Raising Funds**
**Charitable expenditure**
Teaching
Welfare
Premises and Estates
Administration
Governance
**Total Charitable Expenditure**
**Total Expended**|£
-
-
**-**
£
1,527,702
-
-
666,516
-
2,194,218
2,194,218
Staff costs
(note 8)
Staff costs
(note 8)|Other
£
5,755
20,672|Depreciation
£
-
-
**-**
Depreciation
£
-
-
146,269
-
-
146,269
146,269|**Total**
**2025**
**£**
**5,755**
**20,672**|
|---|---|---|---|---|
|||26,427||**26,427**|
|||Other
£
186,906
223,513
223,944
175,508
24,020||**Total**
**2025**
**£**
**1,714,608**
**223,513**
**370,213**
**842,024**
**24,020**|
|||833,891||**3,174,378**|
|||860,318||**3,200,805**|
Included within Staff Costs is an amount of £Nil (2024: £24,659) relating to restricted expenditure.
|**_Prior year_**
**Costs of Raising Funds**
Investment Management Fees
Finance
**Total Costs of Raising Funds**
**Charitable expenditure**
Teaching
Welfare
Premises and Estates
Administration
Governance
**Total Charitable Expenditure**
**Total Expended**|£
-
-
**-**
£
1,531,907
-
-
624,328
-
2,156,235
2,156,235
Staff costs
(note 8)
Staff costs
(note 8)|Other
£
5,768
48,553|Depreciation
£
-
-
**-**
Depreciation
£
-
-
134,532
-
-
134,532
134,532|Total
2024
£
5,768
48,553|
|---|---|---|---|---|
|||54,321||54,321|
|||Other
£
199,244
212,645
203,065
162,363
19,391||Total
2024
£
1,731,151
212,645
337,597
786,691
19,391|
|||796,708||3,087,475|
|||851,029||3,141,796|
Page 29
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
## **6 EXPENDITURE (continued)**
|**(b) Other Governance Costs include:**
Auditors' remuneration
- Audit Fees
- under provision from previous year
- Accountancy Fees
**(c) Administration Costs**
Salaries
National Insurance
Pension Costs
Staff Training
Staff travel
Operating Leases
IT support
Postage and stationery
Telephones
Marketing and advertising
Memberships
Inspection costs
Legal and Professional Fees
Other Administration Costs
Bank charges and interest
**7 STAFF COSTS**
Wages and salaries
Social security costs
Other pension costs
Other staff costs
The average monthly number of employees during the year was as follows:
Teaching
Welfare
Support|**2025**
**£**
**18,600**
**2,520**
**2,900**
**2025**
**£**
**558,839**
**55,065**
**35,060**
**17,551**
**779**
**7,483**
**69,112**
**9,909**
**9,195**
**28,573**
**4,168**
**3,263**
**23,286**
**17,945**
**1,796**
**842,024**
**2025**
**£**
**1,689,387**
**180,129**
**277,031**
**47,671**
**2,194,218**
**2025**
**No.**
**22**
**-**
**18**
**40**|2024
£
17,720
(1,099)
2,770
2024
£
531,779
48,227
32,654
11,668
449
10,058
40,633
17,131
8,716
37,645
6,153
3,250
35,484
2,042
803|
|---|---|---|
|||786,692|
|||2024
£
1,644,961
174,259
310,254
26,760|
|||2,156,234|
|||2024
No.
23
1
19|
|||43|
Page 30
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
## **7 STAFF COSTS (continued)**
|£60,000 in the year was as follows:
£60,000 - £70,000
£70,001 - £80,000
£80,001 - £90,000
£90,001 - £100,000
£100,001 - £110,000
The number of employees|**2025**
**No.**
**2**
**-**
**-**
**1**
**1**
**4**|2024
No.
**1**
1
-
1|
|---|---|---|
|||3|
Pension contributions for the year amounted to £72,051 (2024: £51,725) for the above employees.
Key management personnel include the Governors and the senior executives which are made up of the head, the bursar and the deputy heads. The total pay and benefits received by key management personnel were £555,315 (2024: £484,259).
## **8 GOVERNORS REMUNERATION AND EXPENSES**
There were no Governors' remuneration or other benefits for the year ended 31 August 2025 nor for the year ended 31 August 2024.
No governors were reimbursed any expenditure in the year (2024: £Nil).
## **9 NET INCOME FOR THE YEAR**
|**NET INCOME FOR THE YEAR**|||
|---|---|---|
||**2025**|2024|
||**£**|£|
|Net income is stated after charging:|||
|Depreciation of tangible fixed assets|**146,269**|134,532|
|Loan Interest|**20,672**|48,553|
|Operating lease rentals – other|**21,460**|18,265|
|Auditor’s remuneration|||
|Audit services for the school- current year|**18,600**|17,720|
|Audit services for the school- prior year under provision|**2,520**|(1,099)|
|Non-audit services|**2,900**|2,770|
Page 31
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
## **10 TANGIBLE FIXED ASSETS**
|Cost:
At 1 September 2024
Additions
Disposals
Transfer
At 31 August 2025
Depreciation:
At 1 September 2024
Charge for year
Disposals
Transfer
At 31 August 2025
Net book value:
At 31 August 2025
At 1 September 2024|Freehold
Property
£
7,563,527
2,025
-
-|Fixtures &
Fittings &
Motor Vehicles
£
1,016,458
107,592
-
-
1,124,050
894,233
37,658
-
-
931,891
192,159
122,225|**Total**
**£**
**8,579,985**
**109,617**
**-**
**-**|
|---|---|---|---|
||7,565,552||**8,689,602**|
||533,480
108,612
-
-||**1,427,713**
**146,270**
**-**
**-**|
||642,092||**1,573,983**|
||6,923,460||**7,115,619**|
||7,030,047||**7,152,272**|
Within the cost of freehold property is land totalling £2,135,000 (2024: £2,135,000) which is not depreciated.
Page 32
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
|**11 INVESTMENTS**
Cost/valuation At 1 September 2024
Additions
Disposal proceeds
Gains/(Losses) arising on investments
Cost/valuation At 31 August 2025
UK equities
Historical Cost
**12 DEBTORS**
Fees and extras
Other debtors
Prepayments and accrued income
**13 CREDITORS**
Amounts falling due within one year:
Bank loan
Trade creditors
Taxation and social security costs
Fee Deposits
Fees in advance
Other creditors
Accruals
Deferred income:
Brought forwards
Released in year
Received in year
Carried forwards|Listed
investments
£
945,234
23,327
-
16,873|**2025**
**£**
**945,234**
**23,327**
**-**
**16,873**
**985,434**
**985,434**
**985,434**
**915,376**
**2025**
**£**
**98,915**
**7,440**
**188,847**
**295,202**
**2025**
**£**
**85,513**
**220,022**
**231,914**
**25,770**
**574,033**
**41,360**
**54,290**
**1,232,902**
**2025**
**£**
**833,062**
**(833,062)**
**574,033**
**574,033**|2024
£
835,562
11,099
-
98,573|
|---|---|---|---|
||985,434||945,234|
||||945,234|
||||945,234
892,049|
||||2024
£
5,260
13,136
111,614|
||||130,010|
||||2024
£
57,635
84,479
43,404
20,000
833,062
42,420
26,077|
||||1,107,077|
||||2024
£
536,547
(536,547)
833,062|
||||833,062|
Deferred income relates to schools fees received in advance for the following term.
Page 33
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
|**14 CREDITORS DUE AFTER ONE YEAR**
Amounts falling due after more than one year:
Bank loan
Other creditors
School fee deposits
Fees in advance
Movement on loans
In one year or less
Between one and two years
Between two and five years
After five years
Movement on deposits:
In one year or less
Between one and two years|**2025**
**£**
**975,561**
**15,665**
**269,000**
**268,968**
**1,529,194**
**2025**
**£**
85,514
85,514
256,541
633,505
**1,061,074**
**2025**
**£**
**25,770**
**269,000**
**294,770**|2024
£
1,088,953
22,095
282,270
387,500|
|---|---|---|
|||**1,780,818**|
|||2024
£
57,635
57,635
172,905
858,413|
|||1,146,588|
|||2024
£
20,000
282,270|
|||302,270|
The bank loans provided to the Charity by NatWest Bank Plc are secured by a fixed and floating charge over the assets of the Charity, including the properties at 28 Sheen Gate Gardens, 188 Sheen Lane and 190 Sheen Lane, London. The loan is to be repaid over 20 years from 17 February 2017 and interest charges at 1.75% above the base rate on an offset basis.
Page 34
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
## **15 STATEMENT OF FUNDS**
|Unrestricted funds:
General reserve
Restricted funds:
190 project
Extra learning support
Total restricted
Total funds
Unrestricted funds:
General reserve
Restricted funds:
190 Project
Extra learning support
Total restricted
Total funds|£
6,558,379
1,110
-
At 1
September
2024|Income
£
3,288,732
-
-
-
3,288,732
Income
£
2,991,145
24,039
24,039
3,015,184|Expenditure
£
(3,200,805)
-
-|Gains/
(losses)
& transfers
£
16,873
-
-
-
16,873
Gains/
(losses)
£
141,523
(42,950)
-
(42,950)
98,573|**£**
6,663,179
1,110
-
At 31 August
2025|
|---|---|---|---|---|---|
||1,110||-||1,110|
|||||||
||6,559,489||(3,200,805)||6,664,289|
||£
6,542,848
At 1
September
2023||Expenditure
£
(3,117,137)||£
6,558,379
At 31 August
2024|
||44,680
-||(620)
(24,039)||1,110
-|
||44,680||(24,659)||1,110|
|||||||
||6,587,528||(3,141,796)||6,559,489|
## _Restricted funds_
190 Project - these relate to donations received for the 190 project. Extra learning support - grant funding for extra learning support
Page 35
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
## **16 ANALYSIS OF NET ASSETS BETWEEN FUNDS**
|Tangible fixed assets
Investments
Current assets
Current liabilities
Long term liabilities
Total net assets
Tangible fixed assets
Investments
Current assets
Current liabilities
Long term liabilities
Total net assets|Unrestricted
funds
£
7,115,619
985,434
1,324,222
(1,232,902)
(1,529,194)|Restricted
funds
£
-
-
1,110
-
-
1,110
Restricted
funds
£
-
-
1,110
-
-
1,110|**2025**
**Total**
**£**
**7,115,619**
**985,434**
**1,325,332**
**(1,232,902)**
**(1,529,194)**|
|---|---|---|---|
||6,663,179||**6,664,289**|
||Unrestricted
funds
£
7,152,272
945,234
1,348,769
(1,107,077)
(1,780,818)||2024
Total
£
7,152,272
945,234
1,349,879
(1,107,077)
(1,780,818)|
||6,558,380||6,559,490|
## **17 COMMITMENTS UNDER OPERATING LEASES**
At 31 August 2025, the company had outstanding commitments for future minimum lease payments under noncancellable operating leases, which fall due as follows:
|Due within one year
Due between two and five years|**2025**
**Office**
**equipment**
**27,106**
**81,558**
**108,664**|2024
Office
equipment
20,796
33,994|
|---|---|---|
|||54,790|
## **18 RELATED PARTIES**
There were no related party transactions during the year.
## **19 CONTINGENT LIABILITY**
In the event of the charity being wound up, the liability in respect of the guarantee is limited to £10 per member of the charity.
Page 36
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
## **20 NOTES TO THE CASHFLOW STATEMENT**
|Reconciliation of operating result to net cash inflow from
operating activities
Net movement in funds
(Gains)/loss on investments
Depreciation
Bank interest received
Dividends received
Interest payable
Increase/(Decrease) in creditors
(Increase)/Decrease in debtors
**Analysis of changes in net debt**
**At 1**
**September**
**2024**
**Cash and cash equivalents**
Cash
1,019,092
Overdrafts
-
Cash Equivalents
-
**1,019,092**
**Borrowings**
Debt due within one year
(57,635)
Debt due after one year
(1,088,953)
(1,146,588)
**Total**
**(127,496)**|**Cash flows**
(198,010)
-
-|**2025**
**£**
**104,800**
**(16,873)**
**146,269**
**(17,325)**
**(14,475)**
**20,672**
**(40,285)**
**(165,192)**
**17,591**
**Other non-**
**cash**
**changes**
-
-
-
**-**
(27,878)
27,878
-
**-**|2024
£
(28,039)
(98,573)
134,532
(8,545)
-
48,553
338,913
132|
|---|---|---|---|
||||386,973|
||||**At 31 August**
**2025**
821,082
-
-|
||**(198,010)**
-
85,514||**821,082**
(85,513)
(975,561)|
||85,514||(1,061,074)|
||**(112,496)**||**(239,992)**|
## **21 CAPITAL COMMITMENTS**
There were no capital commitments at the year end (2024: £Nil).
Page 37
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
## **22 PENSION COMMITMENTS**
The charity contributes to three pension schemes: The Teacher's Pension Schemes ("TPS"), the Independent Schools Pension Scheme ("ISPS") and the National Employment Savings Trust ("NEST").
## **Teachers' Pension Scheme**
The School participates in the Teachers’ Pension Scheme (“the TPS”) for its teaching staff. The pension charge for the year includes contributions payable to the TPS of £241,971 (2024: £277,600) and at the yearend £31,626 (2024: £35,652) was accrued in respect of contributions to this scheme.
The TPS is an unfunded multi-employer defined benefits pension scheme governed by The Teachers’ Pensions Regulations 2010 (as amended) and The Teachers’ Pension Scheme Regulations 2014 (as amended). Members contribute on a “pay as you go” basis with contributions from members and the employer being credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.
The employer contribution rate is set by the Secretary of State following scheme valuations undertaken by the Government Actuary’s Department. The most recent actuarial valuation of the TPS was prepared as at 31 March 2020 and the Valuation Report, which was published in October 2023.
Following the McCloud judgement, the remedy proposed that when benefits become payable, eligible members can select to receive them from either the reformed or legacy schemes for the period 1 April 2015 to 31 March 2022. The actuaries have assumed that members are likely to choose the option that provides them with the greater benefits, and in preparing the 2020 valuation have valued the ‘greater value’ benefits for groups of relevant members.
The valuation confirmed that the employer contribution rate for the TPS would increase from 23.6% to 28.6% from 1 April 2024. Employers are also required to pay a scheme administration levy of 0.08% giving a total employer contribution rate of 28.68%.
The School left the TPS scheme on 1 January 2025, a full withdrawal from the TPS for all teaching staff who remained in the scheme.
## **Independent School's Pension**
The company participates in the scheme, a multi-employer scheme which provides benefits to some 51 nonassociated employers. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore it accounts for the scheme as a defined contribution scheme.
The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK.
The scheme is classified as a 'last-man standing arrangement'. Therefore the company is potentially liable for other participating employers' obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme.
A full actuarial valuation for the scheme was carried out with an effective date of 30 September 2023. This actuarial valuation was certified on 11 December 2024 and showed assets of £99.2m, liabilities of £151.5m and a deficit of £52.3m. To eliminate this funding shortfall, the trustees and the participating employers have agreed that additional contributions will be paid, in combination from all employers, to the scheme as follows:
## **Deficit contributions**
From 1 September 2025 to 30 June 2034: (payable monthly an increasing by 3% on each 1st September)
£6,000,000 per annum
Page 38
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
## **22 PENSION COMMITMENTS (continued)**
Note that the scheme’s previous valuation was carried out with an effective date of 30 September 2020. This valuation showed assets of £201.1m, liabilities of £256.3m and a deficit of £55.2m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme as follows:
## **Deficit contributions**
From 1 September 2022 to 30 April 2032: £2,687,000 per annum (payable monthly an increasing by 3% on each 1st September)
The recovery plan contributions are allocated to each participating employer in line with their estimated share of the scheme liabilities.
Where the scheme is in deficit and where the company has agreed to a deficit funding arrangement the company recognises a liability for this obligation. The amount recognised is the net present value of the deficit reduction contributions payable under the agreement that relates to the deficit. The present value is calculated using the discount rate detailed in these disclosures. The unwinding of the discount rate is recognised as a finance cost.
## **Present values of Provision**
|**31-Mar-25**
**(£s)**
Present value of provision
126,219
**Reconciliation of opening and closing provisions**
Provision at start of period
Unwinding of the discount factor (interest expense)
Deficit contribution paid
Remeasurements - impact of any change in assumptions
Remeasurements - amendments to the contribution schedule
Provision at end of period|**31-Mar-25**
**(£s)**|**31-Mar-24**
**(£s)**
41,806
**Period**
**ending**
**31-Mar-25**
**(£s)**
41,806
1,823
(5,754)
(540)
88,884
126,219|**31-Mar-23**
**(£s)**|
|---|---|---|---|
||126,219||43,425|
||||**Period ending**
**31-Mar-24**
**(£s)**
43,425
2,340
(5,586)
1,627
-|
||||41,806|
## **Income and Expenditure Impact**
||**Period**
**ending**
**31-Mar-25**|**Period ending**
**31-Mar-24**|
|---|---|---|
||**(£s)**|**(£s)**|
|Interest expense|1,823|2,340|
|Remeasurements - impact of any change in assumptions|(540)|1,627|
|Remeasurements - amendments to the contribution schedule|88,884|-|
Page 39
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **The Tower House School Charitable Foundation NOTES TO THE FINANCIAL STATEMENTS** for the year ended 31 August 2025
## **22 PENSION COMMITMENTS (continued)**
## **Assumptions**
Rate of discount
**31-Mar-25 31-Mar-24 31-Mar-23** % per annum % per annum % per annum 4.79 4.68 5.79
The discount rates shown above are the equivalent single discount rates which, when used to discount the future recovery plan contributions due, would give the same results as using a full AA corporate bond yield curve to discount the same recovery plan contributions.
## **Deficits Contributions Schedule**
|||**31-Mar-25**|**31-Mar-24**|**31-Mar-23**|
|---|---|---|---|---|
|||**(£s)**|**(£s)**|**(£s)**|
|Year|1|16,310|5,754|5,586|
|Year|2|16,799|5,927|5,754|
|Year|3|17,303|6,104|5,927|
|Year|4|17,823|6,288|6,104|
|Year|5|18,357|6,476|6,288|
|Year|6|18,908|6,671|6,476|
|Year|7|19,475|6,871|6,671|
|Year|8|20,059|5,897|6,871|
|Year|9|8,609|-|5,897|
## **ISPS and Nest**
Total employers contributions for the year to both pension schemes is £35,060 (2024: £26,312).
The amount of pension outstanding at year end is £nil (2024: £nil).
Page 40
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **LETTER OF REPRESENTATION**
**The Tower House School Charitable Foundation 188 Sheen Lane East Sheen London SW14 8LF**
Moore Kingston Smith LLP Chartered Accountants 6[th] Floor 9 Appold Street London EC2A 2AP
Dear Sirs,
We confirm to the best of our knowledge and belief the following representations given to you in connection with your audit of the company's financial statements for the year ended 31 August 2025. We confirm that they are made on the basis of enquiries of management and staff with relevant knowledge and experience (and, where appropriate, of inspection of supporting documentation) sufficient to satisfy ourselves that we can properly make each of the following representations to you.
## **General**
- 1) We acknowledge and have fulfilled our responsibility for keeping adequate accounting records which disclose with reasonable accuracy at any time the financial position of the company and enable us to ensure that the financial statements comply with the Companies Act 2006.
- 2) We acknowledge our responsibility for preparing financial statements in accordance with the Companies Act 2006 and United Kingdom Accounting Standards (UK Generally Accepted Accounting Practice/UK GAAP) and are satisfied that the financial statements give a true and fair view of the business/entity’s financial position, and the results of its operations and its cash flows.
- 3) We acknowledge it is our responsibility to design, implement and maintain internal control systems to prevent and detect fraud and error in safeguarding the assets of the company. We confirm that we have appropriately fulfilled our responsibilities in this regard.
- 4) We confirm that the accounting policies selected are suitable to the company's circumstances and that they have been applied consistently; that any judgements and estimates made are reasonable and prudent; and that it is appropriate to prepare the financial statements on a going concern basis.
- 5) We confirm that the methods, significant assumptions and the data used by us in making accounting estimates and their related disclosures, including those measured at fair value, are appropriate to achieve recognition, measurement or disclosure that is reasonable in the context of our adopted financial reporting framework.
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **Information Provided**
- 6) We have provided you with:
- a) Access to all information, including minutes of all management and board meetings, of which we are aware that is relevant to the preparation of the financial statements such as records, documentation and other matters;
- b) Additional information that you have requested from us for the purpose of the audit; and
- c) Unrestricted access to persons within the company from whom you determined it necessary to obtain audit evidence.
- 7) All transactions have been recorded in the accounting records and are reflected in the financial statements.
- 8) We have disclosed to you the identity of all of the company’s related parties, related party relationships and transactions of which we are aware and the name of the ultimate controlling party of the company. Related party relationships and transactions have been appropriately accounted for and disclosed in line with the requirements of accounting standards.
## **Assets and Liabilities**
- 9) All known assets and liabilities as at the balance sheet date have been included in the financial statements.
- 10) We confirm the school has satisfactory title to all assets and there are no liens or encumbrances on the school’s assets.
- 11) We confirm that the financial statements disclose appropriately all liabilities, actual and contingent, and have disclosed all guarantees given to third parties.
- 12) The value and classification of assets and liabilities in the financial statements is not materially affected by management's plans and intentions.
- 13) We confirm that there has been no review of the loan facility and the current conditions of the loan still exist to date, with no amendments.
- 14) We confirm that the two new minibuses leased in the year are under the same terms and are reflected as such in the operating lease commitment note to the financial statements.
## **Transactions Involving Directors and Connected Persons**
- 15) We confirm that there are no transactions with, or on behalf of, the directors or their associates, or contracts in which the directors or their associates have an interest, which are required to be disclosed in the financial statements under the provisions of the Companies Act 2006 other than those detailed in the notes to the financial statements.
## **Fraud**
- 16) We have disclosed to you the results of our assessment of the risk that the financial statements may be materially misstated as a result of fraud.
- 17) We have disclosed to you all information in relation to fraud or suspected fraud that we are aware
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
of and that affects the entity and involves management, employees who have significant roles in internal control and others where the fraud could have a material effect on the financial statements.
- 18) We have disclosed to you all information in relation to allegations of fraud, or suspected fraud, affecting the entity’s financial statements communicated by employees, former employees, analysts, regulators or others.
- 19) We confirm that we are not aware of any fraud, suspected fraud or allegations of fraud in the period under review.
## **Contingent Liabilities**
- 20) Provision has been made where a material loss is expected to result from any litigation or claim against the company. Other contingent liabilities at the balance sheet date, none of which are expected to result in a material loss to the company or in commitments which it cannot meet, have been disclosed in the financial statements. We confirm we have disclosed all known actual or possible litigation and claims whose effects should be considered when preparing the financial statements.
## **Going Concern & Future Cash Requirements**
- 21) In our opinion the company will have adequate working capital available to finance its trading and meet its obligations during the course of the twelve months following the date of approval of the financial statements. Accordingly, the financial statements have been drawn up on a going concern basis. We confirm that the disclosures in the accounting policies are an accurate reflection of the reasons for our consideration that the financial statements should be drawn up on a going concern basis. We confirm that we have disclosed to you details of our plans for future actions relating to our going concern assessment including the feasibility of these plans.
## **Post Balance Sheet Events**
- 22) All events subsequent to the date of the financial statements and for which the financial statements require adjustment or disclosure have been adjusted or disclosed.
## **Data Protection Act**
- 23) We confirm that the company complied with the statutory requirements of the Data Protection Act during the year.
## **Laws and regulations**
- 24) We confirm that we are not aware of any possible or actual instance of non-compliance with those laws and regulations which provide a legal framework within which we conduct our business and which could affect the financial statements. We confirm that we have disclosed to you all those events which we are aware of which involve actual or possible non-compliance with laws and regulations, together with the actual or contingent consequences which may arise therefrom.
- 25) We confirm that the company has complied with all aspects of contractual agreements that could have a material effect on the financial statements in the event of non-compliance.
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **Adjustments**
- 26) We have approved the adjustments set out on the attached schedule, in Appendix A, including reclassifications adjustments, which you have proposed after the trial balance was provided to you on 4 November 2025 and have adjusted the financial statements accordingly as we consider them to be material to the financial statements.
- 27) We have approved the disclosure adjustments set out on the attached schedule, in Appendix B, which you have proposed after the trial balance was provided to you on 4 November 2025 and have adjusted the financial statements accordingly.
## **Unadjusted Errors**
- 28) We acknowledge the unadjusted errors on the attached schedule, in Appendix C, identified from your audit work, which you have requested that we correct, but consider that adjustments are not necessary as they are not considered material.
We acknowledge our legal responsibilities regarding disclosure of information to you as auditors and confirm that so far as we are aware, there is no relevant audit information needed by you in connection with preparing your audit report of which you are unaware. Each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that you are aware of that information.
Yours faithfully
For and on behalf of the Board
**----- Start of picture text -----**
29/5/2026
........................................ ........................................
Trustee Date
**----- End of picture text -----**
For and on behalf of Management
29/5/2026 ........................................ ........................................ Bursar Date
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **Appendix A – Adjustments made to the financial statements**
||||||||
|---|---|---|---|---|---|---|
|**#**|**Description**|**Balance sheet**||||**Effect on net**
**income/**
**(expenditure)**|
|||||**Statement of Financial**
|||
|||||**Activities**|||
|||**Dr**|**Cr**|**Dr**|**Cr**||
|**Draft net income/(expenditure) for the year:**||||||**£209,364**|
||||||||
||||||||
|1|P7609 Sundries
B3999 Profit & Loss A/c B/f
_Being: agreed correction to opening balances_||893.00|893.00||(893.00)
-|
||||||||
|2|P7550 IT costs (software & hardware)
B2600 Prepayments
_Being: reversal of old prepayment balance not released_||25,089.00|25,089.00||(25,089.00)
-|
||||||||
|3|B1005 Assets Under Construction
B3999 Profit & Loss A/C B/f
_Being: Correction to MCS Construction & DD Building and Landscaping_
_invoices recognised in prior year_|32,754.76|32,754.76|||-
-|
||||||||
|4|B2003 Depn – IT Equipment
B2001 Depn Fixtures & Fittings
P9025 Depreciation Provision
_Being: Requested correction to depreciation charge_|303.34|262.17||41.17|-
-
41.17|
||||||||
|5|B1601 Listed Investments
P9035 Investments revaluation SOFA
P5095 Investment income
_Being: Movement in valuation of investment portfolio_|40,200.07|||16,873.47
23,326.60|-
16,873.47
23,326.60|
||||||||
|6|P9012 Investment management fee
P5095 Investment income
B2501 Rathbones Capital A/c
_Being: Missed transactions in investment capital/income accounts_||5,553.40|5,754.49|201.39|(5,754.79)
201.39
-|
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
||||||||
|---|---|---|---|---|---|---|
|**#**|**Description**|**Balance sheet**||**Statement of Financial**
**Activities**||**Effect on net**
**income/**
**(expenditure)**|
|||**Dr**|**Cr**|**Dr**|**Cr**||
|7|B2503 Reserve Cash Account
P5095 Investment Income
_Being: Missed interest on Rathbones deposit account_|||||-
8,271.98|
|||8,271.98|||8,271.98||
||||||||
|8|P9025 Depreciation Provision
B2000 Depn – Freehold Property
_Being: Correction to depreciation charge on freehold property_||73,826.00|73,826.00||(73,826.00)
-|
||||||||
|9|B1004 190 Sheen Lane Purchase
B1005 Assets Under Construction
_Being: Requested transfer of assets under construction_|3,480,994.68|3,480,994.68|||-
-|
||||||||
|10|B2600 Prepayments
P7501 Rates
B3100Trade Creditors
_Being: Removal of rates relief on 25/26 bill_|71,108.36|121,900.00|50,791.64||-
(50,791.64)
-|
||||||||
|11|P7609 Sundries
P5029 Sundry Items
_Being: Agreed correction to ‘pupils recharged’ adjustment posted to_
_incorrect account_|||16,197.29|16,197.29|(16,197.29)
16,197.29|
||||||||
|12|Bank account – Barbados Trip
Teaching costs – Trip Expenditure
Charitable activities – Trip Income
_Being: Recognition of THS Trip bank account and transactions_|3,075.63||4,434.37|7,510.00|-
(4,434.37)
7,510.00|
||||||||
|13|B1005 Assets Under Construction
B1002 Freehold Improvements
_Being: Allocation of prior year adjustment corrected_|31,185.00|31,185.00|||-
-|
|||**Final net income/(expenditure) for the year**||||**£104,800**|
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **Appendix B – Corrected disclosure misstatements**
||||||||
|---|---|---|---|---|---|---|
|**#**|**Description**|**Balance sheet**||||**Effect on net**
**income/**
**(expenditure)**|
|||||**Statement of Financial**
|||
|||||**Activities**|||
|||**Dr**|**Cr**|**Dr**|**Cr**||
|1|Fees received in advance
Fee debtors
_Being: Presentation of fees in advance within trade debtors_|||||-
-|
|||567,929.00|567,929.00||||
||||||||
|2|Fixtures and fittings – additions
Fixtures and fittings – accumulated depreciation b/f
Freehold property – additions
Freehold property – accumulated depreciation b/f
Fixtures and fittings – cost b/f
Fixtures and fittings – depreciation charge
Freehold property – cost b/f
Freehold property – depreciation charge
_Being: Presentation of movement in fixed assets_|107,592.00
37,658.00
2,025.00
108,612.00|107,592.00
37,658.00
2,025.00
108,612.00|||-
-
-
-
-
-
-
-|
||||||||
|3|Investments – additions
Investments – fair value movement
Investments – cost b/f
_Being: Presentation of movement in investments_|23,326.60
16,873.47|40,200.07|||-
-
-|
||||||||
|4|Investment income – interest income
Investment income – dividend income
_Being: Presentation of dividend and interest income on investments_|||14,475.40|14,475.40|(14,475.40)
14,475.40|
||||||||
|5|Bank loan – amounts due within one year
Bank loan – amounts due in more than one year
_Being: Presentation in split of bank loan_|975,561.00|975,561.00|||-
-|
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
||||||||
|---|---|---|---|---|---|---|
|**#**|**Description**|Balance sheet||Statement of Financial Activities||Effect on net
income/
(expenditure)|
|||Dr|Cr|Dr|Cr||
|6|Administration costs – National insurance
Administration costs – Pension costs
Teaching costs – National insurance
Teaching costs – Pension costs
_Being: presentation of admin and teaching payroll costs_|||||(55,065.00)
(35,060.00)
55,065.00
35,060.0|
|||||55,065.00
35,060.00|55,065.00
35,060.00||
||||||||
|7|Fee deposits – amounts due within one year
Fee deposits – amounts due in more than one year
_Being: presentation of fee deposits split_|269,000.00|269,000.00|||-
-|
||||||||
|8|Fees received in advance – amounts due within one year
Fees received in advance – amounts due in more than one year
_Being: presentation of fees received in advance split_|268,968.00|268,968.00|||-
-|
||||||||
|9|Administration costs – legal and professional fees
Governance costs – audit
_Being: presentation of unreleased accrual_|||21,161.00|21,161.00|(21,161.00)
21,161.00|
Docusign Envelope ID: 6D438128-1115-84E1-80DD-822E9FDAFA05
## **Appendix C – Unadjusted misstatements**
||||||||
|---|---|---|---|---|---|---|
|**#**|**Description**|**Balance sheet**||**Statement of Financial**
**Activities**||**Effect on net**
**income/**
**(expenditure)**|
|||**Dr**|**Cr**|**Dr**|**Cr**||
|1|Fee debtors
Other creditors
_Being: Presentation of credit balances within trade debtors_|||||-
-|
|||25,297.00|25,297.00||||
||||||||
|2|B1002 Freehold Improvements
P9025 Depreciaton Provision
B2000 Depn – Freehold Property
P7515 Building Repaids
_Being: Missed capital expenditure and corresponding depreciation_|4,825.00|965.00|965.00|4,825.00|-
(965.00)
-
4,825.00|
||||||||
|3|P6061 Ers Pension
B3410 Teachers Pensions
_Being: Difference in pension postings between reports and TB_||7,691.00|7,691.00||(7,691.00)
-|
||||||||
|4|P7609 Sundries
B3450 VAT
_Being: Difference between VAT returns and TB_||4,677.00|4,677.00||(4,677.00)
-|
||||||||
|5|B2101 Fees in Advance Scheme
P5012 Fees in Advance Discount
P5003 Fee Y4 to Y8
P5002 Fee Y2 – Y3
_Being: Correction to release of fees in advance scheme_|16,666.60||410.00|8,466.60
8,610.00|-
(410.00)
8,466.60
8,610.00|
||||||||
|||**Total impact to net income/(expenditure)**||||**£8,158.60**|