COMPANY REGISTRATION NUMBER.. 03015275 CHARifY REGISTRATION NUMBER.. 1072327 The Hampstead School of Art Company Limited by Guarantee Financial Statements 31 August 2023 11111 'ADAJMTEA' 2M024 COIAPW41ES pfousE A12
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BRIAN PAUL LIMITED Chartered Accountants & Statutory Auditors Chase Green House 42 Chase Side Enfield Middlesex EN2 6NF
The Hampstead School ofArt Company Limited by Guarantee Financial Statements Year ended 31 August 2023 Page Trustees. annual report (incorporating the directorfs report) Independent auditorfs report to the members Statement of financial activities (including incorne and expenditure account} 14 Statement of financial position 15 Statement of cash flows 16 Notes to the financial statements 17
The Hampstead School ofArt Company Llmited by Guarantee Trustees. Annual Report (Incorporating the Directorfs Report) Year ended 31 August 2023 The trustees, who are also the directors for the purrxjses of company law, present their report and the fancIal statements of the charity for the year ended 31 August 2023. Reference and administrative details Registered charity name The Hampslead School of Art Charity iegistration nurnber 1072327 Company registration number 03015275 Principal office and registe1 2 Penrose Gardens offlce London NW8 7BF England The trustees Julk3 Simpson (Chairperson) Reginakl BOo[ Ivice Chair) Cynthia Badow OBE Robert Goodall ITTeasurer) Nolette Aubury Wendy MacKinnon Patrons Sir Frank 8Ing OBE, RA Alan Gouk Francis Gazitua MRSS Dolores Sinaga Rachel Bowling Angela Leible Auditor Brian Paul Limrted Chartered Accountants & Statutory Audrto Chase Green House 42 Chase Side Enfield MKldlesex EN2 6NF
The Hampstead School ofArt Company Limited by Guarantee Trustees, Annual Report (Incorporating the Directorfs Report) (¢onllnu¢dJ Year ended 31 August 2023 The TrStee$ present their annual repcKI logether with the audite(l financial slalements of Hampstead School of Art for the year 1 September 2022 to 31 August 2023. The Annual Report serves the purposes of both a Trustees. retM)rt and a directors. report under company law. The Trustees confirm that the Annual Report and financial statements of the charitable company comply with the current Statutory requirements. Ihe requirements of the charitable ¢ompany's governing document and the provisions of the Statement of Recommended Practice ISORP) applicable to charitses preparing their accounts in accordan with the Financial Reporting Stsndaid applicable in the UK and Republ of Ireland IFRS1021 (effective 1 January 2019). Since the Company qualrfies as small under section 382 of the Companies Act 20C6, the Strategic Report required of medium and Large companies undei the Companies Act 20C6 (Strategic Report and Directors, Report) Regulatsons 2013 has been omrtied. Objectives and activities The lasting objeclive of the Charty is to offer publ benefrt through the provision of specialist learning in fine art and the applied arts. a. Objectives cOnUnity. inclusivty and Self*Xp51n diive our culiure. Hampstead School of Art IS eornrnrtted to widening participation in inter-generatsonal learning additionally provhling wellness and giving people of all ve15 and abilrties the Confidence to find their own artist voice. In setting objectives and planning foi aclivities. the Trustees have due consideration lo general gui¢Jance published by the Charity Commission relating lo public benefrt. including the guKlance 'Publt¢ benefrt.. running a charty IPB21'. b. Public benefit Hampstead School of Art IHSOA) eroUrageS part1patx)n in and provides access to tradrf(ional Fine Art and Applied Art leaming for everyone, at any agel The art school is commrtted to widening partieipalion in Inlergeneralv)nal learning and wellness and giving people of all levels and abilities the confidence to find their own artisti¢ voice. HSOA also provides a range of spaces Whe artists ean work and grow and where lrtal communrts can &cess art and crealNrty. HSOA'S work achieves htqh levels of economic, social and cujtural impact by providing extensive iesources that promote the advancement of art education which includes.. . Out-reach art classe5." for communty members who are Unab to 3cce5S the art school buildings b. In-reach classe5". for learneis wrth complex drfrUrtle5 and or mobilty challenge ¢. Our open-door policy". anyone with an inleiest in art can access art making d. Supporting the homeless". HSOA offers aid via leaming bursaries lo people affected by homele5sne5S e. Bursary programme.. Financial support for Foundation Courses and the Sir Frank Bowling and Lady Rachel Scott Bowling Bursaries and, the Mara Trust Printrnaking Bursary which are awarded annual f. A comp henswe programme of support for the loeal community is well established and includes many activities lor the publ, businesses and other small Charrties. These Include a range ol annual adivities such as openly available workshops al l(Kal festivals, art Fairs and communty events, HSOA Exhibitions, the Hampstead Summer FestNal and Art Fair Day which including kxal chil¢Jren's art compelilions often exhibited at the leslivals and The Art Street Mural Festival. g. Free lectu$ and exhibrtions a available to the local commun((y and visitors. h. Cultural space5 such a5 the HSOA Arttst in Resthnce Pr¢yJramme.
The Hampstead School of Art Company Llmited by Guarants• Trusts•s' Annual R•port (Incorporatlng the Dlrectorfs Report) Year ended 31 August 2023 ACtfvIe$ undertaken to achleve obJectlves HSOA offers a comprehensive programTh of temity day and evening dasses, full time courses, workshops and exhibltions for students. visi1 and the local Cornmty as well as a wogramme of free lectures and events. Unleashlng the artlst In everyone HSOA'S success is based on our commitment kn wovide a wide range of fine art skills taught by practicing artists delivering specialist texhing in order lo help de¥8P indNidual abilitios. A¢¢essibilty to all with an interest in art and appl arL Our goal is to ensure that Ihe art s¢hool.. . Provides a high standard of art lewning from Family Classes to full time we Universty and post University courses . Offers bursaries irrespedive of age, background or alxhty Delivers fysl-rate and a comprehensive range of fine art and applied art skills Suth as.. drawir¥J, painting, sculpture, printmakirvj, installation, drtaI art, film, performance and [enbaSed work$, studio ceramic5, mosaics. jeweltery. brush and silk paintiw. portfol buildiThJ, Pfounda1n. foundation diplomo ¢wrses art exam support and advarKed ¢¢urses in arL Athl•v•m•nts and p•rfomianc• a. Maln achl•vem•nts of th• cOmnY Growth: Since mong into the new pren¥ses, the number of $ludents attending the school have grown significantly. The leaming offer has expanded to Meet the growng demand for a range of subjects and w0shopS for $ehool children and families with pre•SC1Kl Children. There are approximalely 2.$00 learning places subscribed to yearty offered by the Art School Inclusivity: HSOA'S open-door polcy endeavours to provide access to fine art 8nd applied art leaming for everyone. Inthreach and outreach c¢)UTses have been al Ihe core of many su¢ces8es in personal development by helping students reach their next step in higher education or lifetong teaming. This has been achieved acr$ a diverse student population irrespectNe of age. background, abilty or experience. A¢ademic excellence.. As HSOA'S reputation grows our 5uccesse5 continue. We are prcojd that 100% of our Foundation students applying to univetsity degrees achieve their goal. some remain to Study HSoA's Advanced Course. Our teathing-artists exhibit around the worfd and recebve accolades on a regular basis. Intèmational repulation and partn¢rships: HSOA Intemational reputation and partnwships: HSOAS Internat)nal reputation and partnerships are growing as the Prinupal Isabel H Langtry leads the path in collaboraling with inlemational projects. appointing patrons aTrJ realising the making of intemationalty requested public sculptures. collaborate5 with scientists and artists in environmental and creatwe projects and publishing these T•sutt$. cCneCtIonS in Clule. China, Italy, Spain, Singapore. Bermuda. Indonesra. l$tria. Saudi Arabia. Shariah. Sweden. Holland. Austria and Australia. have been forged resulling in 6 hKJhly aedaimed Patrons. Aan Gouk. Sir Frank Bowliro. Fran¢is¢o Gazitua MRSS. Dolorosa Sinaga, Lady Rachel Scott Bowling and Angela Lelible whose contribuln$ to our art school leaming is invaluable. The Principal lecturès. judges and awards intemationalty. oflen invited to ialk about the art schools aims and obiedbves.
The Hampslead School of Art Company Llmlted by Guarant•• Trustees. Annual Report {Incorporatlng the Directorfs Report) Year ended 31 Augusl 2023 HSOA publishwvJ was estsblishod in 2012. this is a very aclpie department of the arl school whh publishing approx. 3 main catalogues eath year, introduclions and essays WTitten and edited by the principal who often provHles the photography and cdkborates with highly regardod ¢8ntres such as The Resilience Research Centre of StoCklM University's Anlhropocene Laboratory. Royal Swedish Academy of Sciences and The Wageningen Universty & Research Centre. Netherfands. The collaboration with arbsls and galkries 1$ fundanntal to the work and thè catslogues have been requested by Hauser and Wirth Gallery. Make Gallery and Ihè Tate Gallery io reprnsent thetr own exhibit. b. Flnan¢l•l r•vl•w The preferred business model of Hampslead SchTh)l ofArt is lo achieve independent financial stablty by generating most of ils income from tuition fees lor traditional and nteMporary Fine Art and plied Art leaming, Foundation and Advanced Courses. Although fundraising is conducted by the school. it is not dependent on grants or other exlemal fundirKJ to maintain its daY-daY a¢tivitifrs. Robust operational a1 financial policies. inCding generation and maintenance of sJnificant cash reseNe$ prior to COVID helped us to lulfil QUT goal of achieving long-term suslainabilty and fmarKial security. HSOA continues to invest in camal projects such as prenwses and IT upgrades to meet the demands of the expanding curriculum and the growth in student numbers. Investment in a high calibre management team and specialisl tutots in an eVer&exparIng and excitsng pr¢)gramme of classes supports this obie¢trrfe. The results for the year show a surplus of £308,450 {2022: £82.1811 after deprecratn tharge of £52.219. This surplus was mainly attributable to a one-off donation receNed in the year of £250.C4)0 together With prudent financtal management. The bance sheet shows rtet current assets or worki capital of £256.604 (2022- net cwrent liabilities £43.007). The net b(K>k value of tangibte fixed assets held amounled lo £1,441.917 (2022- £1,487,321) c. Invèstm•nt pollcy and perf0mne+ The Art Scl)ool is currenty building up tts reserves and all funds are used operationalty. Our inveslmenl policy is to en$uTe fvnds that the Art School does nol immedialety need to cover antieipaled expendrture. these are invegled to maximise the Art Schools income bul wrth minimal risk. The aim is to research where fvnts may be deposited applwNJ pruderry in oftsur*w there is minimum risk. d. Res•tv•s poll¢y HSOA'S reserves pcAicy 1$ based on continued operatiorts of its activities and havo Mlentified to maintain free r8seNes equivalent lo at a$1 6 nthS running cost to enable HSOA to meels ils obligation In the shorter term and to tover any unforeseen defi¢its or revenue shorttalls. Total funds at the balance sheet date were £1,134,106 (2022: £825,656) of whith £370,462 {2022: £374.$65) were restricted. Details of resITted fvrKls are Provided in note 20. Flnanclal rfsk management obJectlv•s and polkles The Trustees have assessed the major nsks to which HSOA is exF$•d. in particular those relating to the operations and finances and are SatiSfd that systems and predureS are in pla¢9 to milwJale our exposure lo the major risks.
The Hampstead School of Art Company Limlted by Guarante• Trustees. Annual Report (Incorporating the Directorfs Report) (¢Qftllftu¢dJ Year ended 31 Augusi 2023 Golng ¢on¢ern After making appropriate enquiries. the Trustees have a reasonab eXpectatn thal the Company has adequate resources to continue in operational existencè for the foreseeable future. For this reason. they wnlinue to adopt the going concern basis in preparing the financial statements. Further dgtails regarding the adoption of the going concem basis can be found in the auntIng policies. Plans for the future Our goal lo create a IhrivirwJ art sch4 underpinned by a pemanenl home has been realised. This has allowed HSOA to Continue devewing its robust rinancial growth. stimulate new inilwtN8S. contribute to positive life change and continuing leaming. Social engagement: A key focus of the art sehcAII wll be 9rowlh of HSOA'S SOCFal erKJa9emont programme developed to inspire new aThJ existing audiences to part1p81e with art via studio. wrtual and extemal 8ngagement. Bursary programme expanslon.. Expanding our internal seholarshiplbursaries and eommunty projects programmes for those with greater social or edueational needs that would otheTwise not be met is also a key objective. Unleashing the Artist in Everyone.. To provide additnal programme and bursar$ a greater numbèr of students and continue to 'Unlpash the Artist in Everyone. by creating opportunities for any person. of any age. who comes to the school wshing to develop their creative abilities and understanding. School Expansion.. We aim to continue securing lurther prernises in which to encourage artistsnearners to create work that is aeSsIble for the k1 community. create new performalNe spaces and further enrich the learning of our students. International partnerships and reputation building.. Our aim is to build on the success lo dale by deepening new connections and building new and excrfing opp¢)rtunilies nationally and internationally. Outrea¢h: W8 aim to rebuild pre COVID partnerships wlM¢h have been availabl8 for Iclcal community groups to undertake art classes. Financial Securty.. In view of the current economic climate re costryof4iving crisis. HSOA will look at generating more funds lo siyport students and to protecl Ihe financial security of the school. Structure, governance and management . Constilution The company is registered as a company limited by guarantee. govemed by ils Memorandum and Artieles of Association dated 27 January 1995. and is registered as a charty wrth the Charity Commission. The company, Hampstead School of (HSOAI. operates as a traditional Fine Art and Applied Art communty art educabon charity. b. M•thods of appolntment or electlon ol Trustees
The Hampstead School ofArt Company Limited by Guarantee Trustees. Annual Report (Incorporating the Directorfs Report) (r•ntrnu¢ Year ended 31 August 2023 The management ofthe Company is the responsibility of the Trustees who are apwinled by the Trustees at the Annual General Meeting in accordance wilh Artides of Asso¢k4tion. There must be at least two Trustees and not more than twelve indrviduals aw of whom must be m8mb8rs. The trustees have no beneficial interest in the school other than as members. The Trustees are also the directors of the school and as members are guaranteed lo contribute £1 each the event of winding up. . Ory•nisational structur• and deci5ionwmaking polici•$ HSOA is administered by the Board of TTUStees. Subcommittees meet regularfy and fvll board meetings are temily. Day to day management and running of the Art School is deFegaled to Isabel H Langtry. the Principal, appointed in 2011. The Principal makes deciSn$ in accordance wtth Board policy and Hampstead School of Art Business Plan deVeped to meet the school stralegic objectives sel out by the Board of Trustees together with the Principal. d. Pollcles adopted for the Inducllon and tralnlng of Trusleos Trainlng on HSOA policies and procedures tor new Trustees is provided. where necessary. by the exists'ng Trustees, the Principal and the Executive Bursar. e. Staff and r•muneratlon pollcy HSOA conlinues to operat¢ with a latiVelY small number of dedicated and skilled core staff. augmented by a larger netwth of freelance tutors. HSOA is committed lo paying staff fairfy for the work that they do. whilst reC3n151ng that Ihe chanty operates with limited financial resources. The remuneration and benefits of HSOA senior management team are decided by the Trustees, on the recommendation ol the finance committefj. laking account of market rates and athievemenls of perfomiance objectives. f. Related Party NorE of the TnJstee5 re1ve any remunefatvjn or benefits for work on behalf of the school. Any ciyttractual arrangements wth Trustees need to be disdosed in the notes to the financial statements.
The Hampstead School of Art Company Limited by Guarantee Trustees, Annual Report (Incorporating the Directorfs Report) (¢ontsnu¢d) Year ended 31 August 2023 Trustees. respon5ibiltties statsrnent The trustees. who are 81s0 directors for the purposes of company law. 8ie responsible for preparing the Iru51ees' report and the financial staternents in accordance wrth applicable law and Unrted Kingdom Accounb"ng Standards IUnf(ed KIngdn Generalty Accepted Accounting Practicel. Company law requires the charity truslees to prepare financial slalements for each year which give a true and fair view of the stste of affairs of the charitable company and the incoming resources and application of resources, induding the income and expendiiure. for thal period. In prepanng these financial statements, the tru$lees are required to-. select suitable accounting pleS 8rKI then appty them ¢SIStentIy." observe the methods arKI principles in the appluble Chantie5 SORP.. make judgments and accounting estimates that are reasonable and prudent., stsle whether applicab UK Accounting Standards have been folkwed. subject to any material departures disclosed and explained in the financial stalemenls", prepare the financial staternents on the going basis unless rt is inappropriate lo presume that the Charity will continue in business. The trustees are responsible for keeping adequate accounting records that are SLrfficient to show and explain the charitls transactions and disclose wrth reas¢inable accuracy at any time the financial position of the charty and enable them lo ensure Ihal the finan¢K41 statements compty with the CompanEs Act 20(A. They are also responsibk for safeguarding the assets of the charty and hence for taking reasonable steps for the preventKJn and deteCt)n of fraud arK4 other irregularities. Auditor Each of the persons who is a trustee at the date of approval of this pOrt confims that.. so far as they are aware. there is no ielevant audrt infoffnation of which the charity's audilof is unaware., and Ihey have tsken all steps that they ought lo have tsken as a twslee lo make Ihemsefves aware of any relevant audit informatK)n and lo estsblish th* the chariWs auditor is aware of that information. The trustees. annual report and the Strateg reFM)rt were approved on on behaff of the board of trustees by_. and signed The auditors. Brian Paul Limited. have induted t wllingness lo eonlinue in office. The designated Tfuslees wll propose a motion apPOInting the audi(ors al a meeting of the Trustees. Julia Simpson Trustee
The Hampstead School of Art Company Limited by Guarantee Independent Auditor's Report to the Members ofThe Hampstead School of Art Year ended 31 August 2023 Opinion We have audited the financial statements of The Hampstead School of Art (the '¢harity'l for the year ended 31 AugLtsl 2023 whh comprise the statement of financial activities (including income and expenditure account}, statement of financial position. statemeni of cash flows and the related notes. including a svmmary of signrfi¢ant accounting polie$ The financial reporting framework that has been applied in their preparation is applicab law and Unrted Kingdom Accounling Standards. including FRS 102 The Financial Reporling Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted AOnting Pract). In our opinion the financial statements- give a true and fair view of the slate of the charty's affairs as at 31 August 2023 and of ifs incoming resources and appItstn of resour¢es. including its income and expenditure, for Ihe year then ended., have been property prepad in accordance with United Kingdom Generalty A¢cepled Accounting Praclice.. have been prepared in accordance with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance vnth Intemational Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilrties undei those standards are further described in the auditorfs responsibilities for the audit of the ftnancial statements section of our report. We are Independent of the charity in accordance with the ethal quirementS that are relevant to our auért of the financial slalemenls in the UK, Including the FRC'S Eth1 Standard, and we have fulfilled our other ethical re5ponsibililies in accordance with these ¥equiremenls. We believe that the audit evpJence we have obtained is sufficiént and appropriate to p¥ovide a basis for our opinion. Con¢lu$ions relating to going concern In audrting the financpl stements, we have concluded that the trustees. use of the going COern basis of accounting in the preparation of the financial 51atemertts is appropriate. Based on the work we have perfomd, we have not identid any material uncertainb'es relating to events or conditions that. Èndividu81ty or collectivety, may cast signffjcanl doubl on the charity's ability to continue as a going concem for a period ol at least twelve months from when the financial slalemgnts are aulhorise¢J for issue. Our responsibilities and the responsOilities of the trusteès wilh respect to going concem ale described in Ihe relevant sectKJns of this rep)rt.
The Hampstead School of Art Company Limited by Guarantee Independent Auditorfs Report to the Members of The Hampstead School of Art Year ended 31 August 2023 Other inforniation The other infomiation comprises the rnfomialion included in the annual report, olhec than the financial ststemenls and our auditorfs report Ihereon. The Irustees are responsible for Ihe other infomation. Our opinion on the financial statements does not cover the olhei infom)alion and, except lo the extent olheJwise explicrtty slated in our reF)rt. we do not expres5 any fom of assurance conclusion Ihereon. In connection with our audit of the financial statements. our responsibility is to read the other infofmation and, in doing so. consi¢Jer whether the other informion is materialty inconsistent with the financial statements or our knowkdge obtained in the audit or otherwise appears to be materially misstated. If we identfy such material inconsistencies or apparent materkgl misstatements, we are required to detemiine whether there is a material misstaiemenl in the financkAI stslemenls or material misstatement of the olher information_ If. based on the work we have performed. we conclude that there is a materKAI misstatement of this other information, we are required to report that fact. We have nothing to report In thbs regard. Opinions on other matters prescribed by the Companies Act 2006 In our ¢pinion. based on the VKJrk undertaken in the course of the audit.. the infomialton given in the tru5tees' report for the financial year for which the financial statennts are piepared consistent wf(h the financial statements.. and the trustees, report has been prepared tn accordance wrth applicable legal requirements. Matters on which we are required to report by exception In the light of the knowledge and understanding of the charity and its environment obtainet1 in the ourse of the audit. we have not idenlifie(I merial misststen*nts in the trustees, report. We have nothing lo cep¢rt in respect of the folk)w"ng matters in reLAtion to whKh the Companies Act 2006 requires us to report to you rf. in our opinion". adequate accounting records have not been kept. or retuins adequate for our audit have not been received from branches not Msrted by us.. or the financol stslemenls are not in agreenI with the accounting records and relums.. or certain disclosures of trustees, muneratIOn specthed by law are not made., or we have not received all Ihe information and explanations we require fN Ouf audil.
The Hampstead School ofArt Company Limited by Guarantee Independent Auditor's Report to the Members of The Hampstead SGhool of Art (Continued) Year ended 31 August 2023 Responsibilities of trustees As explained more fulty in the trustees. iesponsibililies st*emenl, the trustees (who are also the directors for the purposes of company lawl are responsible for the preparation of the financial slalemenls and for being satisfied that they give a true and fair view. and for such Internal control as the trustees determine is necessary lo enable the preparation of financial 51aternents that are free from matenal misslatemenl. whether due to fraud or error. In preparing the financial statements. the trustees are reSFonsIb for assessing the charity's ability to continue as a going concern, disclosing. as appluble, matters related lo going concern and using the going concem basis of accounting unless the truslees either intend to IVate the tharrty or to cease operations, or have no realistic altemative but to do so. 10
The Hampstead School ofArt Company Limited by Guarantee Independent Auditor's Report to the Members of The Hampstead School of Art (contintse Year ended 31 August 2023 Auditor's responsibilities for the audit of the finan¢ial statements Our objectives are lo obtain reasonable assurance about whether the financial statements as a whole are free from material misslalement, whether due to fraud or eiror, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guaranlee Ihat an audit conducted in accordance wrth ISAS (UK} will avaYS detect a material misslalemenl when il exists. Misstatements can arise from fraud or e¥ror and are considered material rf, individually or in Ihe aggregate. they could reasonabty be expected lo influence the economic decisions of users tsken on the basis of these financial slalements. Irregularities, including fraud, are instances of non<ompliance with laws and regulations. Vve design procedures in line with our responsibilrties. outlined above, lo delect materHI misstatements In respect of irregularities, including fraud. The exlent to which our prOdureS are capabk of deleeting irregularrties, including fraud is detailed below_" The extent to which the audii was consKJered capable of detecting iffegukArities including fraud. Our approach lo idenlrfying and assessing the risks of material misstaleffnt in Spect of Irregularrf(ies, including fraud ansj non<omplHnce wf(h laws and regulation5, was as follows.. the engagement partner ensured that the engagement team collectivety had the appropriate competen, capabilrties and skills lo klentify or renISe rbon-compli?nce wrth applicable laws and re9ulations'. we identrfied the laws and regulations applicable to the company through discussions with directors and other management, and from our knowledge and experience of the charty sector, - we focused on speCrf laws and regulatKJns whh we considered may have a direct material effect on the financial statements or the operatKJns of the company. including the Charities Act 2011. UK Taxes Acts, data protection, ants"-britrry. eMOyMent, enwr(M)menlal and he0h and safety legislation., - we assessed the extent of compliance with the bw5 and regulations identrfed above through making enquiries of management and inspecting gaI correspondence- and identifd laws and regulations were communicated %wthin the audit team regularty and the team remained alert to instances of non-conwliance throughout the aLKIrt We assessed the susceptibilrty of the companWs financial statemenls to material missl8lement, including obtaining an understanding of how fraud might occur. by. - making enquiries of management as to where they consKlered there was susceptibilty lo frau(J. their knowledge of actual, suspected and alleged fraud. considering the internal controls in place to MItal8 rkS of fraud and non<ompliance.wilh laws and regulations., and To address the risk of fraud thrcKJgh management bias and override of eonlrols, we.. performed anatytical procedures to identfy any unusual or unexpected relationships- - tested joumal entries to identfy unusual transactions.. investigated the ratnale behind signrfunl or unusual IrantiOnS., and 11
The Hampstead School of Art Company Limited by Guarantee Independent Auditorfs Report to the Members of The Hampstead School of Art (continuedj Year ended 31 August 2023 In response to the risk of irregularities and non<omplk?nce wf(h laws and gUlatnS, we designed procedu$ whh included, but were not limited to." ageIng financial statement dtsck)suies lo underlying supporting documentstKJn', enquiring of managemenl as to actual antj tentIal li(igalion and claims" There are Inhe nt limrtations in our audit procedures described above. The more reftKJved that laws and regulatk)ns are from financial transactions. the less likety it is Ihal we would become aware of non<ompliance. Audifing standards also limit the audit Pr(edureS requsred to enIfy non-compliance with laws and reguLotions to enquiry of the d1ctOrS and other manwJemenl and the inspeclion of regulatory and legal correspondence. rf any. As part of an audit in accordan with ISAS (UK), we exercise professional judgment and maintain professional scepticism throughout the audit_ We also.. Identrfy and assess the risks of material misstslemenl of the finarrial statements. whether due lo fiaud or error. design and perform audrt procedures responsive 1¢ those risks, and obtain audil evidence that is sufficient and appropriate to provide a basis for our opinion. The rtsk of not detecting a material misstatement resutting from fraud is higher than for one resulbng from error, as fraud may involve collusion, forgery. intentional omissions. MiSrepSentatsOns, or the override of internal control. Obtain an understanding of internal ltrOl ielevant lo the audit in order to design audit pfocedures that are appropriate in the ¢ir¢umstan¢es, but not for the purpo$8 ol expressing an opinion on the effectivenes5 of the intemal control. Evaluate the appropriateness of accounting pol1eS used and the ceasonableness of aOuntIng estimates and related disclosures made by the trLJStees. Conclude on the appropriateness of the Iruslees. use ol the going concern basis of accounting and, based on the audit evKlence obtained. whether a materK81 uncertainty exists related to events or conditions that may cast signrfi¢anl doubt on the charty's ability lo continue as a going concern. If we conclude that a material uncertainty exists. we are required to draw attention in CHJr audrtor's report to the re&ted discbsures in the financial statements or, if such disclosures are inadequate, lo modfy our opinion Our conclusions are based on the audit evhlen¢e obtained up lo the date of our audrto¢s report. However. fvture events or c0ndrtnS may cause the ¢harity lo cease lo continue as a going concern. Evaluate the overall presentatson. strudure and content of the financial statements, Including the di5ch)sures. and whether the financial statements represent the underlying transactions and events in a manner that achEves fair preSentstn. 12
The Hampstead School ofArt Company Limited by Guarants• Independent Auditors Report to the M•mb•rs of The Hampstead School of Art f¢onllnu8d) Year ended 31 August 2023 We communicate with those charged wilh governance regarding, among other matters, the planned scope and timing of the audit and signifunl audil findiThJs. indudirKJ any significant deficigncie$ in intemal control thal we identsfy during our audit. Use of our report This report is made solety to the charity's members, as a bcwty. in accordance with Chapter 3 of Part 16 of thg Companies Act 20CO. OUT audit work has been uThd¢rtaken so that we might state to the charitys members those matters we are required to ststè to them in an auditorfs report and for no other purpose. To the fullest extent permitted by law. we do not accept or assume responsibility to anyone other than the charity and the charity's members as a bolly. for our audrt work. for Ihis report, or for the opin ns we have fonned. Paul Phllllps (Senlor Slatutory Audltor) For and on behall of Brian Paul Limited Chartered Accountants & statOry Audltors Chase Green House 42 Chase Skle Enfield Middlesex EN2 6NF 13
The Hampstead School ofArt Company Limited by Guarantee Statement of Financial Activities (including Income and expenditure accounl) Year ended 31 August 2023 2023 Restricted funds Totrl fvnds Total funds 2022 Unrestricted funds Income and endowments Donations and legacies Charitable aclivjties Other trading activities Inveslrr*nl income 283.474 908,000 91,756 1,641 283.474 908.000 91,756 1.641 28,774 915,661 72,584 27 Total incomo 1.284.871 1.284.871 1.017.046 Expenditur• Expendilure on charitable activities Totsl exp•ndltur• 9,10 972,318 4.103 976.421 934,865 972.318 4.103 976.421 934.865 Net Income l {expendllure) and n•t movement in funds 312.553 {4.103) 308.450 82.181 Reconclllatlon of funds Total funds brought forward Total fvnds carrled flxward 451.091 374.565 825,656 743.475 763.644 374.$65 1.134.106 825,656 statement of financial acknvities includes all gains and loss recognised in Ihe year. All income and expenditure derive from ntinuiry aelivtlies. Th• notes on pages 17 to 27 fomi part 01th financlal $tal•m•nts. 14
The Hampstead School ofArt Company Limited by Guarantee Statement of Financial Position 31 August 2023 2023 2022 Fixed assets Tangible fixed assets 15 1,441,917 1,487.322 Current assets Debtors Cash at bank and in hand 16 17,430 618,864 76.891 268,836 636.294 345,727 Creditors: amounts falllng due wlthln one year Net current assets 17 379.690 388.734 256,604 143,0071 1,444,315 Total assets less Current liabiltties 1.698,521 Creditors: amounts falllng due after moTr than one year Net assets 18 564,415 618.659 1.134,1C6 825,S56 Funds ofthe Charity Restricted funds Uniestricled funds 370,462 763,644 1.134,1C 374,565 451,091 Total charity funds 20 825,656 These financial Stslements were approved by the board of trustees and a(rlhorised lor issue on Q.7.1.p..gl i.4...-.....-.....-. and a signed on behalf ofthe board by". Julia Simpso Trustee The notes on pages 17 to 27 form part of these financial statements. 15
The Hampstead School of Art Company Limited by Guarantee Statement of Cash Flows Year ended 31 August 2023 2023 2022 Cash flows from opeThting activities Nel incorne 308.450 82,181 Adjuslmenls for Depreciation of tangible fixed assets Government grant income Olher interest receivable and similar incc Interest payable and similar charges Accrued lincomellexpenses 52,219 59,303 {3,6141 127} 22,990 61,357 11,641} 21,874 147,0311 Changes in." Trade and other debtors Trade and other creditors 59,461 15,754 {51,3361 {70,2651 100,589 Cash generated from Operatn5 409,086 Inleresl paKI Inlerest received 121,8741 1,641 {22,9901 27 Net cash from opeialing actwilies 388,853 77.626 Cash flows from investing activlties Purchase of tangle assets Nel cash used in investing activit$ (6,8141 16,8141 Cash flows from financing activities Proceeds from borrowings Govemment grant income Nel cash used in financing acts"vilies {32.0111 {80.929} 3,614 {32,0111 {77.315) Net irease in ¢a$h and cash equivalents Cash and cash equtvalents at beginning of year Cash and cash equlvalents at end ofyear 350,028 268,836 311 268,525 268,836 618,864 The notes on pages 17 to 27 fonn part of finan¢ial statements. 16
The Hampstead School of Art Company Limited by Guarantee Notes to the Financial Statements Year ended 31 August 2023 General inforniation The charity is a public benefft entity and a private company limiled by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered offtce ts 2 Penrose Gardefts, London. NW3 78F. England Statement of ¢omplian¢e These financial slalemenls have been prepared in compliance with FRS 102. 'The Financial Reporting Standard applicable in the UK and the Republic of ITeland', the Ststemenl of Recommended Pr8clice applicable to charities preparing their account5 ITI accordance wf(h the Financial Reporting Stsndard applicable in the UK and Republic of Ireland IFRS 1021 (Charities SORP IFRS 102)) and the Companies Act 2006. The Hampslead School of Arts meel the definrtn of a public benefrt enbty under FRS102. Assets and liabilities are initially recognised at histoiical cost or transactn value unless otherwise stated in the rekvanl accounting polw. A¢¢ounting policies Basis of preparation The financial stslemenls have been prepared on the historical cost basis. The finarrial slalements are prepared in sleding rounded to the nearest pound, whKh is the fijnctional cUneY of the entty. Judgements and key sources of estimation uncertainty The Company makes estimates and assumptions concerning the future. Estimates and judgments are continualty evaluated and are based on historal experience and other fadors, including expectations of future events that are believed to be reasonable under the circumstances. The resulting accounting estimates and assumptions will. by definrf(ion, seldom equal the related actual results. The estimales and assumptions that have a significant risk of causing a materol adjustment to the carrying amounts of assets and liabilities within the next financial yeai are discussed beknv. Critical a¢counting estimates and assumplion$'. Tangible assets are depreciated over their usefvl Itves tsking into accounl residual values. where appropriate. The a¢lual lives of the assets and residual values are assessed annually and may vary depending on the number of factor5. In re-assessing asset lives. factors such as technologica1 innovation. product lrfe cycles and maintenance programmes are lakerh into account. Residual value assessments consider is5ue5 such as future market condrtions. the remaining life of the asset and projected disposal value5. 17
The Hampstead School ofArt Company Limited by Guarantee Notes to the Financial Statements lconiinu Year ended 31 August 2023 Accounting policies (Contini) Fund accountlng Unrestricted funds are avai18ble for use at the discrelv)n of the Iruslees lo further any of Ihe charity's purposes. DeSnated lunds are unrestricted funds earmarked by the Iiustees for particular future proje or commitinent. Restricted funds are subjected lo restrictions on their expendilure declared by the donor or Ihrough the terms of an appeal. and fall into one of two sub<lasses' restred income funds or endowment funds. Incoming resources All inwming resources are in¢lu¢Jed in Ihe statement of finan¢kal a¢lMties when enlillemenl has passed lo the charty. it is probable that the economic benefrts associated with the transaction will flow to Ihe charty and the amount can be reliably nwsured. The following specific policies are appld to particular categories of income.. Student fees represent tuition and other fees due and are accounted for on an accruals basis. Deferied Irlme psents students fees received in reLqtw)n to tuition provided in the following year. Bank intefest and other inwme is accounted for on an ac¢ruals basis. Income tax re¢ovetsble in relation to donations recewed under Grft or deeds of covenant is recognised at the time of the donatn. Income tax recoverable in lation lo investment income is recognised at the lime the investment income is r1Vable. Resources expended Expenditure is recognised on once Ihere is a legal or constructive obligation lo transfer economic benefit to a third paty. It is Probab that a transfer of economic benefits will be required in settlement and the amunt of the obligatn can be measured reliabty. Expendrfcure is classified by activty. The Costs of each activity are made up of the total of direct costs and shared Costs including support costs involved in undertaking each actwity. Direct Costs attributable lo a single adivty are all(ated direclty lo that activrty. Shared cos15 which contribute to more than one activty and support costs which aTe not attributable to a 51ngle aGtNty are apportioned between those activities on a basis consistent WTth the use of resources. Central staff costs are allocated on the basis of time spent. and depreciation charges alk)cate(l on the portion of the asset's use. Expenditure on raising funds includes all expenditure incurred by the Company lo raise fvnds for its charitable purwses and includes costs of all fundraising activities events and non-charitable trading. Expenditure on chacitable activilies is incurred on directty undertaking the a¢tNilies which further the Cornpany's objectives. as well as any associated sUpt cosls. 18
The Hampstead School of Art Company Limited by Guarantee Notes to the Financlal Statements (¢wA¥odJ Year ended 31 August 2023 Accountlng pollcles (MrthJ Golng concern The Sclw)ol meets its day to day wothing capilal requirements through Ihe utilisation of its own fund$ and a bank loan rèFating to the acquisition of the freehold. The School in¢urred a Sufplus in the year of £308.450 aThJ as at Ihe balance sheet date was showin9 a bank balance of £618.864 and net current assets of £256,604. The trustees have prepared utmjated f(Yecasts and proiections based on a number of potential scenarios and these. together with reserves held and cost savings made indicate that the School ha$ adequate resources to witinue its operath)ns. After reviewing thè fore¢a$ts and proiectK>ns. al the time ol approwrrfj Ihese finan¢ial slalements the tNstees have a reasonable exFclation that the charity has adequate resources to continue in 0ratIOnal existence fty the next 12 months. The truslees therefore consider it appropriate to conlinue to adopt the wng cceM basis in weparing Ihe charivs financial stateThnts. Tanglbh assets Tangible assets are initsalty recorded at cos( subsequentty stated at (at $5 any aceumulated depreckq11c and impaimnt ICSes. Any langible assets carried at Tevalued amounts are recorded at the fair valuè at the dat• ol revaluats'on bo$$ any subsequent a¢¢umulated deprecialron and subsequent ae¢umulatsd impaimient1058es. An increase in tro carying amounl of an asset as a resurt of a rnvaluation. is recognised in other recognised gains and losses, unless it reverses a charge for ImpalmnI that has previously been recognFsed as expenditure within the slalement of financk?l activities. A decrease in the carying amount of an asset as a resum of revaluation. is recogni%ed in other recogni%ed gains and losses. except to which it offsets any previous revaluaiion gain. in which case the k>ss is shjwn within other recognised gains and losses on the slalement of financial aclivilies. Depreclatlon Depreciation is ¢alculated 50 a5 to write off the c05t or valuation of an asset. less its residual value. over the uselul economic life of that assel as follows.. Long leasehold propety FumFture Fixtures & Equlpment 2% Straht line 25% reducing balan¢• Gov•rnm•nt grants Govemment grants are recognised at the fair value of the asset receNed or re(Nable. Grant$ are not recognised until there is reasonable assurance that the charity will comply wilh the conditions attaching to them and Ihe grants will be received. Where the grant does not impose specIfd future perfonnancevl•led conditions on the recipient, it is recognised in income when the 9rant proceeds a received or receivable. Where the grant does impose specified future perfomante•related conditions on the recipient. it Is recognised in income only when the perf¢)mianee•related Cond"0n$ have been met. Where grants received are prior to sats'sty"NJ the revenue re¢c*Jnition criteria. they are recogni58d as a liabilty. 19
The Hampstead School of Art Company Llmltsd by Guarants• Notes to the Financial Statements (¢M(* Year ended 31 August 2023 Ac¢ountlnq pollcl•s (¢onhnu Fln•n¢l•l In$lrum•nts A fir)ancial assot or a financial liaklIty is reco9nised only when the charity becc¥nes a paty to the ¢ontra¢tual pr¢visM)ns ol the instrument. Basic financial instruments are initbalty recognised at the amounl receivablg or payable including any related transaction eosl$. Current assets and current liabilities are subsequentry Measur at tr£ cash or other consKJeration expected to be paid or received arKI not discount. D¢bl instruments are subsewenty measured at amortised cosl. Finan¢ial assets that are measured at cost or amortised cost are reviewed for oLy'ectivè evidence of impairment al the end of each reporting date. 11 there is objecti've evidence of impairment. an impaimenl loss is recognised under the appropriate heading in Ihe statement of financial activities in which Ihe initial gain was recc8nis•d. Operatlng leases Rental paid undèr operating lèas¢$ are tharged to the Statement of Financial A¢tivities on a straight-line basis over the lease tenm. Penslon company operates a defined conlribulion pension scheme and pension charge represents the aThiunt payable by the Company lo Ihe fvr in respect of year.
The Hampstead School of Art Company Limited by Guarantee Notes to the Financial Statements (continued) Year ended 31 August 2023 Limited by guarantee The cornpany is registe as a company limited by guarantee. govemeé by its Memorandum and Articles of Assocrdlion dated 27 January 1995. and is registered as a charity with the Charity Commission. In the event of being wound up. the liabilty in respect of the guarantee is limrf(ed lo £1 per member of the company t)onations and lega¢i•s Unrestrted Totsl Fund$ unreStrted Total FurHJs Funds 2023 Funds 2022 Donations and a¢leS 283.474 283.474 25.160 25,160 Govemment grant income 3,614 3,614 283.474 283,474 28,774 28.774 Charitable activitie5 Unrestricted Funds Reslricled Total Funds Fund5 2023 Tuition fees and other income 908.000 908,000 un$tLled Funds Restricted Total Funds Funds 2022 Turtion fees and other income 912.461 3.200 915.661 Other trading activities Unrestricted Total Funds Unrestricted Total Funds Funds 2023 . Funds 2022 Cafe income Gallery exhibrtion income Miscellaneous sales 42,549 15,438 33,769 42,549 1 S,438 33,769 42,781 10,600 19,203 42,781 10.600 19.203 91,756 91,756 72.584 72,584 Investment income Unieslricted Total Funds unrestried Total Funds Funds 2023 Funds 2022 Bank interest 1.641 1.641 27 27 21
The Hampstead School of Art Company Limited by Guarantee Notes to the Financial Statements (contin{) Year ended 31 August 2023 Expenditure on charitable activities by fund type Unrestre Funds Restricted Total Funds Funds 2023 Direct costs Café $1S Exhibilion costs Support costs 368.902 41.728 20,082 541,6( 368,902 41,728 20,082 545,709 4,103 972.318 4,103 976,421 Unrest[ed Funds Restricted Total Funds Funds 2022 Direct costs Cafe costs EXhibIt)n costs Support costs 345.015 42.008 14.977 524.194 345.015 42,008 14,977 532.865 8.671 926,194 8,671 934.865 10. Expenditure on charltable activities Analysi5 of direct costs 2023 2022 Purchases of materials Wages and salaries Models Computer expenses Adverb'sing 29.033 300.588 35.608 540 3,133 25,486 282.001 34.705 518 2.305 368.902 345,015 Activities undertaken directly Exhib(tion costs 20,082 14.977 Analysis of support costs Wageslsalar*s Rent LKJhl & heat Repairs. maintenance & CanIng Insurance Computer expenses Travelling expenses Audrt fees Legal and other professional fees Bank chaiges Telephone Printing. postage and ststionery Depreciation Mortgage interest Sundry expenses 287.132 43,699 7,654 56,729 4,974 12,441 4.888 4,800 7,116 17,733 2.507 6.660 52.219 21.874 15,283 545.709 293.106 38.105 8,059 31.433 4,595 12.010 4.646 9,760 6,567 16,576 2,517 7,328 59,302 22,990 15.871 532.865 22
The Hampstead School ofArt Company Llmited by Guarantee Notes to the Flnancial Statements It¢*ed) Year ended 31 August 2023 11. Net Income Net income i8 Stated after chaning1{credtling): 2023 2022 DrecFati0n of tangible fixed assets 52,219 59.303 11 Audltors r•mun•r•tlon 2023 2022 Fees payable for the audit of the financial statements 4.800 9.760 13. Slaff costs The lolal staff Costs and employee benefits lor the POrts.j riod are analysed as follows: 2023 2022 Wages and salaries Social security costs Contrilxrtion to defined contr11110n pension schemes 565,539 31,524 9,428 606.491 594.276 32.121 7.212 594.276 The average number of frjktime equivalent employees durin9 the year is analysed as follows.. 2023 2022 No. Number of staff 26 27 The number of employees whose remunerab'on for Ihè yèar fell within the following bands, were: 2023 2022 No. No. £60.000 10 £69,999 £80.000 to £89,999 23
The Hampstead School of Art Company Llmited by Guarantse Not•s to the Financial Statements Year ended 31 August 2023 13. Staff costs {¢ortvnu•dJ Key Management Personn•l Key management personnel inckKlg all persons thal have auth and respsibility for planning. directing and controlling the activities of the charrty. The total compensation paid lo key management prsonnèl for services prov*Jed lo the tharity wa$ £196,684 {2022.. £187,420}. 14. Truslee r•muneratlon and •xp•ns•s During the year. no Trustees recevMI any rernuneTatn or other benefits (2022- £NIL). During the year ended 31st August 2023. no Trustee expenses have been incJJrred 12022 - £NIL). 15. Tanglble fix•d assets Long leasehold propety Equipment Total Cost Al 1 September 2022 Addrtions 1.523,661 281.182 6.814 1.804,843 6,814 Al 31 August 2023 Doprgclallon Al 1 September 2022 Charge for the year At 31 August 2023 Carryln9 •mount At 31 August 2023 Al 31 August 2022 1.523.661 287,996 1.811.657 159.997 30.967 157.524 21,252 317.521 52.219 190,964 178.776 369,740 1,332,697 109,220 1.441,917 1.363.664 123,658 1.487.322 16. Debtors 2023 2022 Trade debl(Ks Prepayments an(1 accrued inccrf Other debtors 9.221 2.252 5,957 56,640 19,609 642 17.430 76,891 24
The Hampstead School of Art Company Llmlt•d by Guarantee Notes to tho Finan¢ial Statements (eMltsw•dJ Year ended 31 August 2023 17. Credltors: amounts falllng due wfthln on• year 2023 2022 Bank loans Tra(le ¢reditors Accruals and deferred income Social sè¢urity and other tsxes other Crgdilors 31.651 10.025 329.929 9.867 7,262 23.284 282.898 12.184 7.440 379,69) 388,734 18. Cr•dllors: amounts falllng due after rnor• than one y•ar 2023 2022 Bank knans 564,415 618,659 The loan from HSBC to assist in fundw19 the purchase of the 999 year lease. is repayable ovèr 20 years complgting in 2038. Interest is to be tharged at approximatety 4% per annum for the duration of the loan. The bank loan is secufed by a fixed and tloatiThJ char9ed over all of the cornpany's assots. 19. Government grants The amounts reeognised in the financial Statements for govemment grants are as folows: 2023 2022 Recognised in income from dOnatS and legac. Govemment grants irKome 3.614 20. Anatysls of charllable funds Unrestrlcted funds At 31 August 2023 1 Septsmbar 2022 Income Expenditure General funds 451.091 1.284.871 1972.318) 763,644 1 September 2021 At 31 August 2022 Incorne Expenditure General funds 363.439 1.013,846 (926.1941 451.091 25
The Hampstead School ofArt Company Limlted by Guarantee Notes to the Flnanclal Statements (¢ontthwdJ Y•ar ended 31 August 2023 20. Analysls of Gharltable fvnds Restrlcted funds At 31 August 2023 1 Seplember 2022 Income Expenditure Restricted fund London Borough of Camden 358.154 16.411 358.154 12.308 14,103) 374,565 14.103) 370.462 1 September 2021 At 31 August 2022 Income Expenditure Olh•r fund$ (Contributi to Sala$) London Borough of Carnden Restricted fund 3.200 {3.2001 {5,471) 21.882 358.154 16.411 358.154 380,036 3.2¢)0 {8.6711 374.585 The London Borough of Camden Grant relates to a govemmenl grant recerved with a restriction that it is spent on the purchase of fixed assets. At the roF*Ytin9 dale it had been spenl in full and the reslricted expenditure relates to depreciatic. 21. Anatysls of net assets between funds Unrestricled Fund$ Restricted Total Funds Funds 2023 Tangible fixed assets culnt assgts Creditors less Ihan 1 yèar Creditors grealer Ihan 1 year N•1 assets 1.071.455 636.294 {379.69)) {564,415) 763.644 370.462 1.441,917 636.294 1379,690) 1564,415) 1.134.106 370.462 Unrestricted Funds Restricted Total Funds FuThls 2022 Tangible fixed assets Current assets CredrtOTS less than 1 year Creditors grealer than 1 year N•t a$s•ts 1.112,757 345.727 1388.7341 (618,6591 451.091 374.565 1,487,322 345.727 1388.7341 {618,6591 825,656 374.565 26
The Hampstead School ofArt Company Limited by Guarantee Notes to the Detailed Stat•ment of Financial Activities Year •nd•d 31 August 2023 22. Anatysls of Changes In net debt At Al 1 Sep 2022 Cash flows 31 Aug 2023 Cash at bank and in haThl Debt due within one year Debt due after one year 268.836 131.6511 (618,659) (381,474) 350.028 (22,233) 54.244 618,864 153,884) 1564.4151 565 382.039 23. Penslon commltments The charity operates a d&finod contribution pension scheme. The assets of the scheme are held separatety from thosè of the group in an independent administered fund. The pension cost charge represents contributions paYae by the charity to the fund and amounted to £9,428 (2022.. £7,815}. Contributions lolalling £2.139 12022: £2.2501 were payable to the fund at the balance sheet date and are Iuded in Cdi10T5. 24. Op•rating lease commitments At 31 August 2023 the Company had commitments to make fLrture minimum lease payments under non-cancellable operaling leases as follows= 2023 2022 Not later than 1 year Later than 1 year and not later Ihan S yeafs Later than 5 years 35.596 96.425 16,000 148,602 21,337 58.158 39.444 118.939 25. Relaled party transactlons At the balance sheet date. the eharity owed £nil 12022: £1.176} to a former trustee. Thts loan is interest free and repayable in full by 31 October 2023. 27