## **London School of Osteopathy** (A Company Limited by Guarantee) **Company No. 04037209 Charity No. 1085391** ## **Report and financial statements** **For the year ended 31 August 2023** **London School of Osteopathy** |**For the year ended 31 August 2023**|**For the year ended 31 August 2023**|| |---|---|---| |**Contents**||| |||**Page**| |**Reference and administrative information**||**1**| |||**2 - 8**| |**Independent auditors' report**||**9 -11**| |**Statement of financial activities**||**12**| |(incorporating an income and expenditure account)||| |**Balance sheet**||**13**| |**Statement of cash flows**||**14**| |**Notes to the financial statements**||**15**| **London School of Osteopathy Reference and administrative information For the year ended 31 August 2023** |**Trustees:**|Chair||Andrew|**Duguid**|**Duguid**| |---|---|---|---|---|---| ||Trustee||Rajarshi**Bhattacharyya**||| ||Trustee||Linda**Gregory**||| ||Trustee||David**Marriott**(resigned 04.04.23)||| ||Trustee||Vicky**Morgan**||| ||Trustee||Yelena**Walters**||| ||Trustee||Ian**Harrison**(appointed 04.10.22)||| ||Trustee||Amran**Hussain**(appointed 05.10.23)||| |**Company Secretary:**|||||| ||Nigel Martin (appointed 31.08.23)||||| |**Chief Executive:**|Fiona|Hamilton|||| |**Company number:**|04037209||||| |**Charity number:**|1085391||||| |**Registered office:**|12, Grange Road, London, SE1 3BE||||| ||www.lso.ac.uk||||| |**Auditors:**|Goldwins Limited||||| ||75 Maygrove Road||||| ||West Hampstead||||| ||London NW6 2EG||||| ||www.goldwins.co.uk||||| |**Bankers**|HSBC||Lloyds Bank PLC||| ||Retail|Unit 8|25 Gresham Street||| ||38 Canada Place||London||| ||Canary Wharf||EC2V 7HN||| ||London||||| ||E14 5AH||||| Page | 1 **London School of Osteopathy For the year ended 31 August 2023** The trustees, who are also directors under company law, present their report and financial statements for the year ended 31 August 2023. The trustees confirm that the financial statements comply with current statutory requirements, the memorandum and articles of association and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102. ## **Objectives and activities** ## **Purposes and aims** The London School of Osteopathy is a registered Charity, whose objectives are: The LSO Charity is primarily active through the osteopathy courses and clinic. The school has a Senior Management Team (SMT) who give effect to the vision of the Board, and manage the day to day affairs. The LSO currently only provides degree level education in osteopathy. There are four courses: BSc (hons) Osteopathy full-time or part-time Most (an undergraduate integrated Masters degree) full-time or part-time. The courses are validated by Anglia Ruskin University, and accredited by the General Osteopathic Council. The programme is managed and delivered at the London School of Osteopathy, Bermondsey London SE1, with the teaching clinic at Bethnal Green, London E2. Clinical education is a fundamental element of the courses. The costs of running the clinic are subsidised by the fees paid by patients. Fees are modest, and concessions are available, in keeping with the charitable aims of the LSO. ## **Mission:** To be an effective, efficient and supportive learning organisation committed to the generation, provision and development of high quality osteopathic education which meets the needs and requirements of all stakeholders. The LSO will continue to make significant contributions to the health care of its diverse local population. ## **Public benefit** The outpatient teaching clinic provides low cost and subsidised osteopathic healthcare to the local community. Patients confirm that for many recipients, if the LSO clinic were not present, there would be no provision for musculo-skeletal health needs, particularly those with complex or chronic problems. The clinic runs at a loss, and is subsidised by student fees. This is appropriate as the teaching clinic forms part of their osteopathic training. The LSO offers four pathways all leading to access to the statutory register for osteopaths (under level. Both full-time and part-time options are available, to give the widest and most flexible choice 2 **London School of Osteopathy For the year ended 31 August 2023** options. Many of our students come to osteopathy as 2nd career choices, and balance work and home lives with study. During their studies (and on graduation) students contribute to the health and wellbeing of the local population, both through the teaching clinic, and through research undertaken ## **Achievements and performance** ## **Reporting performance** **----- Start of picture text -----**
Inputs Activities Outputs Outcomes Impact
Design of Delivery of Professional Acquisition of Personal and
the MOst / the MOst / & vocational knowledge and skills, professional
BOst BOst training. participation in development.
pathways. pathways. Patients research, and transition Graduates join
Outpatient seen at the to autonomous GOsC and
teaching clinic. teaching osteopathic practice. contribute to
clinic. Improved patient healthcare in their
health; education locality.
regarding posture, Patient access to
exercise, lifestyle etc. osteopathic
healthcare.
**----- End of picture text -----**
## **Course completions: Classifications awarded 2022-23** |||||| |---|---|---|---|---| |**MOst**|**Distinction**|**Merit**|**Pass**|| |||||| ||3 (16%)|1 (5%)|2 (11%)|| |||||| |**BOst**|**First**|**Upper second**|**Lower second**|**Third**| |||||| ||1 (5%)|10 (53%)|2 (11%)|0| |||||| With regards the teaching clinic, in past years over 7,000 appointments were delivered to a diverse patient base, ranging from 1 week to over 90 years old, across the socio-economic spectrum. A high proportion of these appointments were at concessionary rates (for example elderly, children, jobseekers). The gradual resumption of services post COVID shutdown has seen a welcome return to on-site activities and the withdrawal of telehealth (although this is still available for the initial case history if a patient prefers this option). Numbers are at about 65% of pre-pandemic levels. The baby clinic was slow to resume, but after some targeted publicity, now has waiting lists. 3 **London School of Osteopathy For the year ended 31 August 2023** ## **Financial review** The Charity made a surplus of £239,454 for the year ended 31 August 2023 compared to a surplus of £105,469 in the previous financial year. All of the surplus relates to unrestricted funds except for £1,178 relating to restricted funds. There were no periods of operating at a deficit. Overall, income increased by 10.9% whilst expenditure decreased by 0.12%. The main income stream is via student fees. These increased by 6.5% to £1,014k due mainly to improved student recruitment and retention. Related grant funding from the Office for Students, determined by grant rates applied to the number of full-time equivalent students following each mode of study, increased by 4.6% to £145k. Income from the outpatient clinic increased by 21.2% to £135k as a result of increasing capacity and patient bookings. Restricted income from the Hospital Saturday Fund and Mission Practice totalling £572 was received to fund the clinic charges of two patients; of this, £264 was used in the year and £308 is carried forward. The Charity received an interim legacy payment from an estate of £25k during the year. The timing and amount of the final legacy payment is not yet known. No conditions were attached to the legacy payment and it is therefore unrestricted income. Restricted income of £870 arising from donations has been recognised in these accounts. The decrease in expenditure of £1k comprises: increased staff costs (£17k) primarily due to pay award inflation, increased student bursary costs (£3k), new costs incurred for digital marketing/social media management (£4k) and increased repairs and renewals costs (£6k) offset by lower depreciation costs (£6k), reduced general expenses (£9k - the previous year having included the settlement of a historic PAYE liability) and an overall credit to the bad debt provision instead of a charge (£16k) following recovery of amounts from prior years which had previously been provided against. Bank and cash balances increased to £650k from £411k in the previous year. The outstanding balance on the mortgage loan reduced by £61k to £463k. The Charity offers a government pension scheme administered by Nest pensions; the Charity has no control over the assets of the scheme or how it is administered. The Charity does not hold any investments. ## **Reserves policy** The reserves policy takes into account the need to: - - Deal with short-term volatility of income without having to suddenly cut expenditure. This allows the charity to spend a portion of reserves, subject to a replenishment plan being in place. - Provide funding to cover unavoidable charity staff and other costs in the extreme case of closure. The trustees have assessed that a target range for free reserves of between £140k and £170k is appropriate for these purposes. The reserves policy and target level are reviewed by the trustees on an annual basis, together with any steps necessary to align the actual level with the target over time. As of 31 August 2023, total reserves stood at £1,318k, of which £1.2k were restricted. Of the total unrestricted reserves, £235k was designated by the trustees for a Building Development fund with £195k being transferred to this fund during the year. Of the remainder, £862k is taken up by fixed assets, leaving £220k as free reserves. The trustees have considered medium term forecasts and assessed that free reserves will fall within the target range within this timeframe. 4 **London School of Osteopathy For the year ended 31 August 2023** ## **Going concern** The t to continue its activities. The accounts have therefore been prepared on the basis that the charity is a going concern. ## **Principal risks and uncertainties** The risk register is kept under review, and any changes considered at Trustee Board meetings. In 2022-23 the critical risks associated with the pandemic have receded, with other aspects largely unchanged. For 2023-24, there are still legacy issues related to the pandemic and BREXIT, not least of which inflation and the cost of living crisis which are impacting both student retention and student recruitment across the sector. - Recruitment and retention of students (including the impact of inflation / cost of living) - Continued provision of our courses (validation, accreditation, Office for Students) Building / site accessibility and maintenance, and energy costs - External policy changes (business rates; data protection; teaching excellence framework) Risk mitigation principally lies with: - Support aimed at staff and student retention (whilst exercising restraint in salary review) Additional emphasis on marketing and recruitment - Review of energy efficiency and strategies to enhance sustainability - Good communication with internal & external stakeholders to ensure currency of provision. ## **Plans for the future** A full curriculum review is underway to ensure that provision remains in line with employment needs, and is provided in the most cost effective way possible to students. ## **Structure, governance and management** The Charity is also a company limited by guarantee, which gives certain advantages and protection to the Board. According to the Memorandum & Articles of Association, the LSO Charity has a Board of between 2 and 15 Trustees. A Chair is nominated by the Board. At each AGM, 1/3[rd] of the Board stands down in rotation, but may be re-appointed. (See the M&A document for more detail). The Trustee Board has the responsibility for determining strategy and policy, and then monitoring the delivery and results of the Strategic Plan so created. Occasional meetings may be called to consider the setting of such policy and the Board has the ability to create working groups or subcommittees as required. The Board usually meets once per quarter on-site at the Grange or by Zoom. At every meeting, the Finance Manager presents the management accounts (the income and expenditure for the last period & year to date). The autumn meeting agrees the budget for the year; the winter meeting usually considers the audited accounts. The spring meeting coincides with the AGM. Other items on 5 **London School of Osteopathy For the year ended 31 August 2023** the standing agenda are monitoring the Strategic Plan and the Risk Register, and a report from the Principal. New trustees are provided with an induction pack, which includes information from the Charity Commission. This includes the legal and societal expectations of charities and their Boards in detail, but in a very accessible format. New trustees are selected according to the skill set needed by the Board, and if they have shown a particular interest in osteopathy. There is a mix of lay and professional members. The LSO Charity is primarily visible through the osteopathy courses and clinic. The school has a Senior Management Team (SMT) who operationalise the vision of the Board, and manage the day to day affairs. The Principal is de facto the Chief Executive Officer. In the last year there have been some changes in personnel, and a shift in role titles away from Director and towards Manager, to more consistently identify the activities and duties require of the posts. Constitution of SMT 2022-23 **----- Start of picture text -----**
Position Name
Principal Ms Fiona Hamilton
Registrar (to August 2023)
Finance Manager Mr Nigel Martin
Course Leader (to August 2023) / Quality Dr Maria Fitzgerald (PhD)
Assurance & Student Experience Manager
(from September 2023)
Director of Clinical Studies (to February Dr Lucy MacKay-Tumber (EdD)
2023)
Clinic Manager (from February 2023) Julia Empey
Operations Manager (from September 2023) Marlene Davis
Programme Manager (from September Trevor England
2023)
**----- End of picture text -----**
Academic standards are monitored by the validating University, and the External Examining system. Academic and professional standards are monitored by Mott MacDonald on behalf of the General Osteopathic Council. The LSO operates a continuous cycle of quality maintenance and enhancement, utilising feedback from a range of sources and stakeholders. The detailed course aims and learning outcomes are specified in the Course Specification Forms, which are lodged with the University. They were devised to enable students to meet the requirements set out in the Benchmark Statement (QAA 2019), Osteopathic Practice Standards (GOsC 2018), Graduate Outcomes for Osteopathic Pre-Registration Education & Standards for Education and Training (GOsC 2022) and the Quality Code (QAA). Each module is mapped to the course learning outcomes, ensuring that the curriculum matches the course aims. The learning outcomes and content of each module are enshrined in the Module Definition Forms (housed electronically within the University), and are communicated to students annually via more detailed Module Guides. 6 **London School of Osteopathy For the year ended 31 August 2023** ## **Remuneration policy for key management personnel Procedure:** - SMT salaries are subject to annual review. - The Principal is responsible for making recommendations to the Board regarding the salaries of the other members of the SMT. - The Principal is responsible for producing a memorandum to the Chairman of the Board for consideration by the t - The ultimate decision on any uplift would remain with the Board. - The SMT remains responsible for pay scales of all other staff at the LSO within agreed budgets. ## **Statement of responsibilities of the trustees** The trustees (who are also directors of a charitable company for the purposes of company law) are responsible for preparing the applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to: Select suitable accounting policies and then apply them consistently Observe the methods and principles in the Charities SORP - Make judgements and estimates that are reasonable and prudent - State whether applicable UK Accounting Standards and statements of recommended practice 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 charity will continue in operation The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable 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 charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The total number of such guarantees at 31 August 2023 was 6. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity. 7 London School of Osteopathy For the year ended 31 August 2023 Trustees, report Statement a5 to dls¢losur• to our audStors In so far as ts Irustees are a*ra￿. •There is no rekvant audit Infonnati￿ (rf which the Gharitsble (xjmpanys audiiors are unaware: and •Tr trustees have taken ai steps that they to have lak8n to make themse*48s aware of any relavant audit infmtion and to estsbmsh thatthe auditors are aware of that lnfrmnatK￿. Auditorn Goldwins Limited were re-appoirthd as the 8uditors of the charitable company during year aNI have expressed their willingness to continue in that waryty. The trustees, annual rewyt has be8n approved by the trustees on 30.0124 and SIgr￿ on their Andrew Duguld, Chair **INDEPENDENT AUDITOR ʼS REPORT TO THE MEMBERS OF THE LONDON SCHOOL OF OSTEOPATHY** ## **Opinion** We have audited the financial statements of The London School Of Osteopathy (the ‘Charity’) for the year ended 31 August 2023 which comprise the Statement of Financial Activities, the Balance Sheet, statement of cash flows and the related notes. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). ## **Opinion on financial statements** 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 2023 and of 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 Auditorʼs responsibilities for the audit of the financial statements section of our report. We are independent of the Charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRCʼs 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 charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. ## **Other information** The trustees are responsible for the other information. The other information comprises the information included in the annual report other than the financial statements and our auditorʼs report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. 9 ## **INDEPENDENT AUDITOR ʼS REPORT TO THE MEMBERS OF THE LONDON SCHOOL OF OSTEOPATHY** ## **Opinion on other matter 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’ report (incorporating the directors’ report) for the financial year for which the financial statements are prepared is consistent with the financial statements; and - the trustees’ report (incorporating the directors’ report) has 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 Charity 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. ## **Responsibilities of the 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 they 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 Charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the Charity or to cease operations, or have no realistic alternative but to do so. ## **Our responsibilities for the audit of the financial statements** 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 auditorʼs 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 the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud are set out below. 10 ## **INDEPENDENT AUDITOR ʼS REPORT TO THE MEMBERS OF THE LONDON SCHOOL OF OSTEOPATHY** In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following: - We enquired of management, which included obtaining and reviewing supporting documentation, concerning the charity's policies and procedures relating to: - identifying, evaluating, and complying with laws and regulations and whether they were aware of any instances of non-compliance; - Detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected, or alleged fraud; - The internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations. - We inspected the minutes of meetings of those charged with governance. - We obtained an understanding of the legal and regulatory framework that the charity operates in, focusing on those laws and regulations that had a material effect on the financial statements or that had a fundamental effect on the operations of the charity from our professional and sector experience. - We reviewed the financial statement disclosures and tested these to supporting documentation to assess compliance with applicable laws and regulations. - We performed analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud. - In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments, assessed whether the judgements made in making accounting estimates are indicative of a potential bias and tested significant transactions that are unusual or those outside the normal course of business. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Councilʼs website at: [www.frc.org.uk/auditorsresponsibilities]. This description forms part of our auditor’s report. ## **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 charity’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 anyone other than the charity and the charity’s members as a body, for our audit work, for this report, or for the opinions we have formed. > ………………………………. A Wn ony Epton **Anthony Epton (Senior Statutory Auditor) for and on behalf of Goldwins Limited Statutory Auditor Chartered Accountants 75 Maygrove Road West Hampstead London NW6 2EG** 19 February 2024 11 The London School Of 05teopathy Statement of financial activities (incorporating an income and expenditure account) For the ear ended 31 Au ust 2023 2023 2022 Unrestricted Fund Restricted Fund Total Fund Total Fund Note Income from: Donations and legacies Charitable activities Education, training and profe55ional development Inve5tment5 Other 25.000 870 25.870 1,307,039 11.767 572 ,307,611 11,767 1.211,034 1,073 469 Total income 1,343,806 1,442 ,345,248 1,212,576 Expenditure on.. Charitable aitivities Education, Iraining and professional developmeni Other 1,105,530 264 ,105,794 1,107,107 Total expenditure 1,105.530 264 ,105,794 1,107,107 Net income I lexpendlture) for the year 238,276 1.178 239,454 105,469 Transfers between funds Net income l {expenditurel before other recognised gains and losses 238.276 1.178 239,454 105,469 Net movement in fund5 238,276 1,178 239.454 105,469 Reconciliation of funds.. Total funds brought forward 1,079.003 ,079,003 973,534 Total funds carried forward 1,317.279 1.178 ,318,457 1 ,079,003 All of the above results are derlved from continuing actIV￿tIeS. There were no other recognised galns or losses other than those stated above. Movement5 in fund5 are disclosed in Nore 19 to the financial statements. London Sthool Of Osteopathy Balance sheet Company no. 04037209 As at 31 Ust 2023 2023 2022 Note Fryed a55ets: Tangible assets 12 1.27&283 1.305.677 1.27&283 1,305.677 Current assets: Debtors Cash at bank and in hand 29.743 650.334 21.424 411,030 680.077 432.454 Uabllhl Creditor5: amounrs falling due within one year 268.380 215.77S Net CU￿ent a55ets l OlaNllties) 411.697 216.679 Total ass•ts less curr•rt Ilabllhi•s 1.689.980 1.522.356 editors.. amoun¢5 falling due after one year (371.523) {443.353) Totsl net assets l Olablldes) 1.318.457 1,079.003 The funds of the tharlty. Restricted income funds Unrestricted income fvnds- Fixed assets fund Building development fvnd General funds 1.178 862.S13 235.000 219.766 830.369 40.000 208.634 Total unrestricted funds 1.317279 1,079.003 Total chartty fvnd5 1.314457 1.079,003 The financial statements have been prèpared in accordance with the special provisions for small companies under Partl 5 of the Companies Act 21x16. Approved by the trustees on ... . and signed on their behalf by Andrew Duguid Ch￿r The London School Of Osteopathy Statement of cash flows For the ear ended 31 Au ust 2023 Note 2023 2022 Cash flows from operating activities 20 Net cash provided by I (used in) operating activities 308,640 224,900 Cash flows from investing activities.. Purchase of fixed a55et5 13,1861 Net cash provided by I (used in) investing activities 13,1861 Cash flows from financing activities.. Repayment5 of borrowing Cash Inflows from new borrowing 169.3361 166,9481 Net cash provided by I (used in) financing activities 169,3361 166,9481 Change in cash and cash equivalents in the year 239,304 154.766 Cash and cash equivalents at the beginning of the year 411,030 256.264 Cash antl cash equivalents at the end of the year 650,334 411,030 The London School Of Osteopathv Notes to the financial statements For the arended 31 A st 2023 Accounting policie5 a) Basis of preparation The financial Statements have been prepared in accordance with Accounting and Reponin9 by Charitie5'. Statemenr of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in rhe UK and Republic of Ireland IFRS 102 effective l January 20151- (Chariries SORP FRS 1021 and the Cornpanie5 Act 2006. The charitable company meets the definition of a public benefit enrity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless Otherwise stated in the relevant accounting policy or note. bl Golng concern The trustees consider that there are no material uncertainties about the charitable company's ability to continue as a going concern. The irusiee5 do not consider that there are any source5 of estimation uncertainly ai Ihe reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the nexr reporting period. cl Income Income 15 recognised when the charity ha5 entitlernent to the fund5. any perforrnance conditions attached to the income have been met, it Is probable that the income will be received and that the amount can be measured reliably. Income from governmeni and other grants, whether 'capital' grants or 'revenue' grant5. 15 recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that ihe income will be received and the amount can be measured reliably and is not deferred. For legacies, eniitlernent 15 taken a5 Ihe earlier of the dale on which either.. the charity 15 aware that probate has been granted, the estate has been finalised and notification has been made by the executorlsl to the charity that a di5triburion will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be rneasured reliably and the charity has been notified of the executor's intention to make a distribution. Where legacies have been notified ro the charity, or the charity is aware of the granting of probate. and the criteria for income recognition have not been Met. then the legacy 15 a treated a5 a conringent asset and disclosed if material. Income received in advance of the provision of a specified service is deferred until the criteria for income recognition are met. dl Donation5 of gift5. setvice5 and facilitie5 Donated professional services and donaiÈd facilities are recognised as income when the charity has control over the item or received the service, any condition5 a550ciated with the donation have been Met, the receipt of economic benefit from the use by the charity of the item Is probable and that economic benefit can be measured reliably. In accordance with the Charitie5 SORP IFRS 1021, volunieer tirne 15 noi recogni5ed 50 refer to the tru5tees' annual report for more Informatlon about thelr contrlbutlon. On receipt, donated gifts, profe55ional 5ervice5 and donared faciliries are recogni5ed on the basis of the value of Ihe gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefii on the open market., a corresponding amouni is ihen recogni5ed in expenditure in rhe period of receipt. The London School Of Osteopathv Notes to the financial statements For the arended 31 A st 2023 Accounting policies Icontinuedl el Interest receivable Interest on funds held on dep051t 15 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. f) Fund accounting Resrricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria 15 charged to the fund. Unresirlcted funds are donatlons and oiher Incomlng resources recelved or generated for the charltable purposes. Designated funds are unrestricted funds Èarmarked by the trustees for particular purposes. 91 Expendlture and Irrecoverable VAT Expenditure 15 recognised once there is a legal or constructive obligation to rnake a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity heading5'. C05t5 of raising fund5 relaie io the cost5 incurred by the charirable company in inducing rhird panie5 10 make voluntary contributions to it. as well as the cost of any activities with a fundraising purpose Expenditure on charitable activitie5 includes the cost5 of delivering service5. undertaken to further the purpose5 of the charity and their associated support costs. Other expenditure represents those itern5 not falling into any other heading Irrecoverable VAT is charged as a cost againsr the activity for which the expendirure was incurred. h) Allocation of support Costs Re50urce5 expended are allocated to the particular activity where ihe c05t relate5 directly ro that aciiviry. However, the cost of overall direction and administration of each activity. comprising the salary and overhead costs of the central function, is apportioned on the basis which are an estimate, based on staff time, of the amount artributable to each activity. Where information aboui ihe aim5. objectives and projects of ihe charitv 15 provided to potential beneficiaries, the costs associated with this publicity are allocated to charitable expenditure. Where such informaiion about the aim5, objective5 and projec15 of the charity 15 also provided to potential donor5, attivity cosis are apportioned between fundralslng and charitable actlvltles on the basls of area of Ilteraiure occupled by each aciivity. 11 Operatlng leases Rental charges are charged on a straight line basis over the term of the lease. 11 Tanglble flxed assets Items of equipment are capltalised where the purchase prlce exceeds £500. Depreclatlon costs are allocated to activitie5 on Ihe basis of the use of Ihe relaied a5set5 in ihose activitie5. A55ets are reviewed for irnpairrnent if clrcumstances Indlcate thelr carrylng value may exceed thelr net reallsable value and value in use. Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows.. Freehold building 100 year5 Ifreehold land not depreciated) Leasehold cost5 over the terrn5 of the lease Medical equipment l O year5 Office equipment 5-1 O year5 k) Debiors Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amounr prepaid net of any trade discounts due. 11 Cash at bank and In hand Cash ai bank and cash In hand includes cash and short term highly Ilquld Investments with a short maturlty of three monihs or less from the date of acquisition or opening of ihe dep051t or similar account. Cash balances exclude anv funds held on behalf of service users. The London School Of Osteopathv Notes to the financial statements For the arended 31 A st 2023 Accountlng pollcles Icontlnuedl ml Creditors and provisions Crediiors and provisions are recogni5ed where the charity has a present obligation resulting from a past event rhai will probably result in the transfer of funds to a third party and the amount due to settle the obllgation can be measured or e51imated reliably. Creditor5 and provi5ion5 are normally recognised at their 5etilement amount after allowing for any trade discounts due. n) Financial instruments The charity only has financial assets and financial liabilitie5 of a kind that qualify a5 basic financial in5trumenis. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method. ol Pensions The charity operate5 a siakeholder pension scheme. 2 Detailed comparatives for the siatement of financial aniviiie5 2022 Total Unrestricted Restricted Income from.. Charitable activities Education, tralnlng and professional development Investments Other 1,211.034 1,073 469 1,211,034 1,073 469 Total income Expenditure on.. Charitable activities Education. training and professional development 1.212,576 1.212.576 1.107,107 1 107.107 Total expendlture 1,107,107 1 107,107 Net Income l expendlture before galns I Ilossesl on Investmenis Net gains I Ilossesl on investments 105,469 105,469 Net income l expenditure Transfer5 between funds 105,469 105,469 Net movemeni In funds Total fvnds brought fO￿ard 105,469 973,534 105,469 973,534 Total fund5 carried forward 1,079,003 1,079,003 The London School Of Osteopathv Notes to the financial statements For the arended 31 A st 2023 3 Income from donations and legacies 2023 Total 2022 Total Unrestricted Restricted Legacies 25.000 870 25,870 25,000 870 25,870 4 Income from charltable acrlvlrles 2023 Total 2022 Total Unrestriaed Restricted Education, training and professional development Funding frorn Office for Student5 Student fee5 CPD, access courses and other fees Room hire 145,417 1.013.893 843 12.190 145,417 1,013,893 843 12.190 138,964 952.130 316 8,038 Outpatlents cllnlc Income 134,696 572 135.268 Total income from charitable activities 1,307,039 572 1.307,611 1,211,034 S Income from inve5tment5 2023 Total 2022 Total Unrestricted Restricted Investment income 11.767 11,767 1,073 11,767 11,767 1,073 The Landon Sthool Of 05teDpathy Notes to the financlal statements For the ear ended 31 Au ust 2023 6 Analysis of expenditure Charitable adI￿lieS development 2023 Tot 2022 Total stsff Costs (Note 8} Dlrect Cost 372,822 282.914 655,736 638,957 171.702 37.958 3,0sg 3,667 Teaching aid5. slide5 and book5 6.436 4,396 6,436 4,396 Support costs Reni and service charges Rates 36.500 22.255 18,203 38.194 34.920 3.556 36.500 22,255 8,203 28,194 34.920 3.556 519 8,414 4,987 15.875 8.919 2.600 36.500 17,000 25,F60 2B.983 Covid-19 costs Telephone and internel Adveriising and marketing Depreciaiion- freehold property Depreciation Leasehold improvement Mayfield House Depreciation leasehold costs and equipment Travel eKpen5es Println¥, Postage and ststltsnery Mortgage interest and other charges 2.663 7,082 1,200 15.875 8,414 4.987 8.919 2.600 2.748 2,124 19.802 1.999 850 2,124 19.802 2.594 850 21.950 2.173 1.089 10,766 4,800 5.772 595 Loan Interest and other finance charge5 General expenses 5.280 5,280 6.832 12.256 (10,266) 1,105,794 Membership & subscripiion Legal and profession& fees Bad debt provision 6.832 4.333 7.923 6.198 807.323 298.471 ,105,794 298.471 Support COSIS Total expÈndiiurt 2023 Total expenditure 2022 1,105,794 Analysi5 of exppndi¢ure (prior yearl Charitsble actlvltles development Support C05tS 2022 Total Sraff cost5 (Nore 8) Direcr cost Anglia Ruskin University 357.453 281.504 638.957 student fee5 171,388 37,958 3.059 3.667 37.958 3.059 3.667 Teaching aids. slides and books Support CQ515 Rent and Service charge5 Rates 36,500 36,500 17.000 25.760 28.983 17.000 25.760 28.983 Repair5 and renewa15 Covid-19 costs Telephone and Inierntl Advertising Lnd marketing Depreciation freehold property Depreciaiion- Leasehold Improvement Mayfield Mouse 2.663 7.082 1.200 2.663 7.082 1.200 2.748 2.748 Travel expenses Printing. postage and st3tionery Mortgage Interesl and other charges 1.775 21.950 2,086 1.089 21,gSO 2,173 1.089 10.766 4.800 5,772 87 General expenses 10.766 4.$00 Membership & subscription Legal and professionai fÈes 5,772 9.412 6,198 800.896 8.889 6,198 Support costs Total e¥penditure 2022 The London School Of Osteopathy Notes to the financial statements For the year ended 31 August 2023 Net incoming resources for the year This is stated after charging I crediting.. 2023 2022 Depreciation Operating lease rentals.. Property Auditors, remuneration (excluding VATI.. Audit 27.394 33,776 36.500 36,500 4,400 4,000 Analysls of staff costs, trustee remuneratlon and expenses, and the COSL of key management personnel Staff t05t5 were as follows.. 2023 2022 Salaries and wages Social security cosrs Employer's contribution to defined pension schemes Freelance staff c05t5 Staff training and recruitment 582.189 28,183 13.810 29.732 1,822 570,325 29,675 11,467 26,044 1,446 655.736 638,957 No employee earned more than £60,000 during the year12022.' nill. The roral employee benefits including pension and national insurance conrribuiions of rhe key management personnel were £120,29012022.' £116,386). The Charity trustee5 were not paid or received any other benefits from employment with the charity in the year12022.. £nill. One charity trustee received the amount of £551 for professional service 12022.. £nill. Trustee5' reimbursement of travel and 5ubsi5tence costs is £Nil Siaff numbers As In previous years, all employees are emplc>yed on a part-time basis. The average number of employees (head count based on number of staff employed) during the year was as follows". 2023 No. 2022 No. Education, training and professional Outpatients clinic Support 19.3 21.2 13.0 13.0 37.6 39.5 l O Related party transactlons One trustee was paid £55 1 in the year for the guest lecture5. There are no donations from related parties which are outside the Normal course of busine55 and no restricted donation5 from related parties. 20 The London School Of Osteopathy Notes to the financial statements For the year ended 31 August 2023 I l Taxatlon The charitable company is exempt from corporarion tax as all its income is charitable and is applied for charitable purposes. 12 Tangible fixed assets Freehold Property Leasehold Costs Medical Equipment Office Equipment Total Cost At the start of the year Addiiions in year Disposals in year 1.455,182 151.526 25.961 155.289 ,787,958 At the end of the year 1.455,182 151,526 25.961 155,289 ,787.958 Depreclatlon At the start of the year Charge for the year Eliminated ON disposal 165,159 15,875 142,607 8.919 25.961 148,554 2.600 482,281 27,394 At the end of the year Net book value At the end of the year 181,034 151,526 2S,961 151,154 509,675 1.274,148 4,135 1,278,283 At the start of the year 1.290,023 8,919 6,735 1,305,677 The freehold property at 12 Grange Road, London, SEI 3BE (where the School is run), is pari funded by a mortgage Isee Note 161. The cost above includes rhe estimated cosr of freehold land of £327,000 that is not depreciated. Leasehold costs relate to the Charity's l O year lease (starting in April 20131 of Mayfield House. 202b Cambridge Heath Road, London E2 9U where its clinic is based. The lease had ended on 16th April 2023 and the new l O-year lease had started on 17 April 2023. All of the above assets are used for charitable purposes. 13 Debtors 2023 2022 Other debtors Prepayments 3.914 25,829 8,594 12,830 29,743 21,424 21 The London School Of Osteopathy Notes to the financial statements For the year ended 31 August 2023 14 Credltors.. amounts falllng due wlthln one year 2023 2022 Mortgage repayable in one year Isee Note 171 Bank loans Trade creditors Overpaid by Anglia Ruskin University Student fee5 due by Anglia Ruskin University Other creditors Accruals Deferred income 63.276 10,043 5,330 148.383 198,2031 3,267 53,193 83.091 61,027 9,798 4,302 121,468 185,5471 13,967 56,306 34,454 268.380 215,775 15 Deferred Income Deferred income comprises student fees received in advance of £81,690 12022." £34.4541 and letting income in advance £1 ,401 12022. £nill. 2023 2022 Balance at the beginning of the year Amount released to income in the year Amount deferred IN the year 34.454 134.4541 83.091 22,567 122,5671 34,454 Balance at the end of the year 83,091 34,454 16 Creditors.. amounts falling due after one year 2023 2022 Morrga9e (see below) Mortgage related costs Bank loan5 399,800 147,3061 19.029 463,076 148,7951 29,072 871.523 443,353 The freehold property was part financed by a mortgage repayable over 15 years. The fixed mortgage (with balance outsrandin9 ar the year end of £463,076) has interesi Iharged ai 3.69% p.a. which is subject to renegotiation in the future. 2023 2022 The outstanding balance ai the year end wa5 repayable as follows.. In more than five years Between two and five year5 Total due after one year Less than one year Total 121,874 277 926 399,800 195,247 267 829 463,076 463.076 524,103 The outstanding mortgage represents 34% of the cost of the property at the year end. 22 The London School Of Osteopathy Notes to the financial statements For the year ended 31 August 2023 17 Penslon scheme The charity operates a srakeholder pension scheme and has a pension liabiliry of £2,306 as at the year end. 18 Analysls of net assets between funds General unrestricred Designated Restricted Total funds Tangible fixed assets Net current a55etS Long term liabilities 415,770 175,519 1371,5231 862.513 235.000 ,278.283 411,697 1371,5231 1.178 Net assets at the end of the year 219.766 1,097.513 1,178 ,318,457 19 Movements in funds Incoming At the start resources & of the year gains Outgoing resources & losses At the end of the year Transfers Restricted funds.. Robin Kirk Legacy Fund H05Pltal Saturday Fund Mission Pracrice 870 460 870 308 11521 Total restrlcted funds 1 ,442 12641 1.178 Unrestricted funds.. Designated funds= Fixed assets fund Building development fund 830,369 40,000 127.3941 59.538 195,000 862,513 235,000 Total designated funds 870,369 127,3941 254.538 ,097,513 General funds 208,634 1.343,806 11,078,136) 1254,5381 219,766 Total unrestricted fund5 1,079,003 1,343,806 11,105,530) ,317,279 Total funds 1,079,003 1,345,248 11,105,794) ,318,457 Purposes of designated fund5 The Fixed assets fund reflect5 the resources tied up in fixed assets, le55 Outstanding amounts on loans to finance them (the mortgage in Note 161. The Building developmeni fund has been established to pay for major repairs at 12 Grange Road. Purposes of restricted funds Income, which is received for specific projects. as - for example grants, donations and earned income accounted for as restricted funds, with expenditure usually attributed over a spetifii period of time. We manage restricted funds carefully, keep expenditure under regular review, and aim to keep to the specified budget. 23 The London School Of Osteopathy Notes to the financial statements For the year ended 31 August 2023 20 Reconciliation of net income I lexpenditurel to net cash flow from operating activities 2023 2022 Net Income I lexpenditurel for the reporting perlod {as per the statement of flnanclal actlvltles) Depreciation charges Ilncreaselldecrease in debtors Increaselldecreasel in creditors 239,454 105,469 27.394 18.3191 50.11 I 33,776 7,419 78,236 Net cash provided by I (used inl operating activities 308,640 224,900 21 Analysis of cash and cash equivalents Atl September 2022 At31 August 2023 Other changes Cash flows Cash in hand 411,030 239.304 650,334 Total Cash and cash equivalents 411,030 239.304 650,334 22 Operating lease commitments Total future minimum lease payments under non-cancellable operating leases on the leasehold property are as follow5.. Restated Leasehold Property 2023 2022 Less than one year One to five year5 36,500 59,300 22,800 9S,800 22,800 The current lease had ended on 16th April 2023. The new l O-year lease is starting from 17 April 2023 with an open market rent review which is due in year 5 and with the mutual break clauses at the end of years 3 and 5. The rent has been agreed at £36,500 per annum. 23 Legal status of the charlty The charity is a company limired by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £ I 24 The London School Of Osteopathy Notes to the financial statement5 For the year ended 31 August 2023 Summary analysis of previous reporting period 24 lal Analysis of net assets between funds120221 General unrestricted Designated Restricted Total funds Tangible fixed assets Net current a55etS Long term liabilities 475,307 176,680 1448,3531 830,369 40,000 1,305.676 216.680 1443.3531 Net assets at the end of the year 208,634 870,369 1,079.003 {bl Movements In funds {20221 Incoming At the Start re50urce5 & of the year gain5 Outgoing resources & 105ses At the end of the year Tran5fer5 Unrestricted funds.. Designated funds- Fixed asset5 fund Building development fund 803.570 40,000 133,7771 60,576 830.369 40.000 Total deslgnated funds 843,570 133,7771 60,576 870.369 General funds 129,964 1,212,576 11,073,330) 160,5 761 208,634 Total unrestricted funds 973.534 1.212,576 11.107,1071 1,079.003 Total funds 973,534 1,212,576 11.107,1071 1,079.003 25