2025-08-31-accounts

Company registered number: 04270330 Charity registered number: 1090757

PARAYHOUSE SCHOOL

(A company limited by guarantee) Annual Report and Financial Statements For the year ended 31 August 2025

PARAYHOUSE SCHOOL

REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

CONTENTS	Page
Legal and Administrative Details	1
Introductory overview	2
Chair of Trustee Governors’ Statement	3
Message from the Co-Headteachers	4
Trustee Governors’ Report	6
Statement of Trustee Governors Responsibilities	19
Independent Auditor’s Report	24
Statement of Financial Activities	27
Balance Sheet	28
Cash Flow Statement	29
Notes to the Financial Statements	30

PARAYHOUSE SCHOOL

LEGAL AND ADMINISTRATIVE INFORMATION

FOR THE YEAR ENDED 31 AUGUST 2025

Chair of Trustee Governors	Ms D Schwartz
Vice Chair of Trustee Governors	Ms H Elansari
Board of Trustee Governors: A full list is provided on page 14 of this report
Co-Headteachers	Ms H Bristow
	Ms V Carnevale
Charity number	1090757
Company number	04270330
Registered office	Hammersmith & Fulham College
	Gliddon Road
	London W14 9BL
Auditor	Haralambos Hambi
	Alpha Accountants (London) Limited
	585a Fulham Road
	Fulham
	London
	SW6 5UA
Bankers	HSBC Bank UK plc
	315 Fulham Road
	Chelsea
	London SE10 9QJ
Solicitors	Veale Wasbrough Vizards
	86 Fetter Lane
	London EC4A 1AD

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PARAYHOUSE SCHOOL

INTRODUCTORY OVERVIEW

FOR THE YEAR ENDED 31 AUGUST 2025

Parayhouse School is a non-maintained special school for students with significant speech, language and communication needs, moderate/severe learning difficulties and associated social, emotional, behavioural and medical difficulties. The school caters for students from 7-16 years of age.

Parayhouse School is committed to ensuring that each and every student reaches his or her full potential. The school delivers its mission in three essential ways:

• (1) It provides a safe and nurturing environment where students feel secure and are confident and eager to learn;

• (2) It creates a highly specialised and individualised curriculum, with speech and language at its heart, empowering students to learn; and

• (3) It establishes close working relationships between parents, carers, students and staff to support learning and behaviour at home as well as at school.

The school is governed by a registered charity, which takes the school’s name, and is run by a Board of Trustee Governors. Senior leadership of the school and its staff are ultimately accountable to this Board and work closely together to actively manage the risks the school faces and help to deliver the coHeadteachers’ vision and development of the school.

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PARAYHOUSE SCHOOL

CHAIR OF TRUSTEE GOVERNORS’ STATEMENT

FOR THE YEAR ENDED 31 AUGUST 2025

“We place the education and wellbeing of our students front and centre in all that we do.

In this context, we are excited to have finalised our growth strategy for Parayhouse School, which will entail the provision of a sixth form, as well as a training centre to share our SEND expertise with mainstream schools and other SEND providers.”

Daniela Schwartz

Chair of Trustee Governors

This has been another year of development and thinking ahead to ensure that Parayhouse School not only delivers the best education for our students but also represents a future-fit organisation - the initiation of our long-term ICT strategy with the integration of artificial intelligence in our teaching and our students’ learning is one example. The Trustee Governors also commend the continued focus of our senior leadership team on equality and inclusion. The targeted support for neurodivergent staff and the broader commitment to being a fully inclusive employer demonstrate a genuine culture of care and respect.

Equally, it has also been wonderful to see the positive impact of returning and newly-appointed colleagues, particularly within Leadership and our specialist area Speech and Language Therapy. Likewise, the deepening of our positive behaviour support approach - through staff training, leadership development, and cross-disciplinary collaboration - has reinforced the calm, supportive environment in which our students thrive. Furthermore, the Trustees Governors are particularly excited about the growing engagement with stakeholders beyond our school through a renewed focus on network with other SEND providers and through the expansion of our social media presence to contribute to the public debate about the future direction of SEND support in the UK.

As Chair of the Trustee Governors Board, I also want to call out the outstanding efforts of our headteachers and our FLM committee, led by Steve Hussey, to find a new school site that will allow us to expand. This continues to be a tiring and often frustrating process, and I applaud the dedication and persistence of our FLM committee members who have been engaging with Local Authorities, various dioceses, and other external stakeholders for over two years now.

Finally, we are all aware that the cost environment has been challenging since the end of the pandemic and the UK’s decision to leave the EU. However, we are pleased to report again that the charity and our school continue to be in a healthy financial situation, allowing us to ringfence money for our anticipated move to new premises and to offer a first class SEND provision to more children going forward.

On behalf of the Board of Governor Trustees, I express our sincere gratitude to our outstanding team of teachers, learning assistants, therapists, senior and middle managers, and administrative staff for their dedication, professionalism, and tireless commitment throughout the 2024/25 school year. The progress outlined by our Headteachers is a testament to everyone’s hard work, creativity, and shared vision to equip our students with skills that will help them to live a happy and fulfilled life.

Daniela Schwartz Chair of Trustee Governors

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PARAYHOUSE SCHOOL

MESSAGE FROM THE CO-HEADTEACHERS

FOR THE YEAR ENDED 31 AUGUST 2025

Holly Bristow

Verity Carnevale

As we reflect on the academic year 2024–25, we are proud of the progress made across key strategic areas and the continued commitment of our staff to delivering high-quality, inclusive education.

A significant development this year has been the initiation of a longer-term ICT strategy. This includes laying the groundwork for a whole-school approach to artificial intelligence, ensuring our staff and students are equipped to engage with emerging technologies in meaningful and ethical ways. This foundational work will continue into the next academic year as we explore how AI can enhance learning, operations, and accessibility.

In line with our ongoing commitment to equalities, we have taken further steps to ensure we are a fully inclusive employer. This includes targeted support for neurodivergent staff, with plans to expand this work in 2025–26. We remain dedicated to fostering a workplace culture where all staff feel valued and supported. The return of one of our middle leaders from maternity leave provided a welcome boost to our operational capacity. Their leadership has been instrumental in driving forward the embedding of key policies and practices, particularly in the latter part of the year.

We have strengthened our Speech and Language provision with the addition of a new speech therapist, creating a robust and diverse team with a wide breadth of expertise. Looking ahead, the team will be expanding the range of strategies used to support student development, including broader implementation of AAC (Augmentative & Alternative Communication) and targeted work around specific disorders such as stammering.

Our positive behaviour support philosophy has been further embedded into practice through a comprehensive programme of staff training, leadership observations, and policy updates. This work will continue into the next academic year, with a particular focus on reviewing the role of therapies in supporting consistent and effective behaviour strategies.

We have begun to build our social media presence and will be exploring additional avenues to raise awareness of our provision. This includes outreach initiatives, the potential development of a training centre, and strengthening relationships with key partners and stakeholders. We also hope to support Governors in promoting the school and identifying new premises to enable our growth plans, including the establishment of a sixth form.

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PARAYHOUSE SCHOOL

MESSAGE FROM THE CO-HEADTEACHERS

FOR THE YEAR ENDED 31 AUGUST 2025

We continue to process a high volume of consultations. Given the increasing complexity of student needs, we will be reviewing our fee structure to ensure we can continue to provide high-quality support while maintaining the long-term financial stability of the school.

As we look ahead to 2025–26, we remain focused on innovation, inclusion, and excellence. We are excited about the opportunities to further develop our provision and strengthen our community.

Holly Bristow & Verity Carnevale Co-Headteachers

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

Trustee Governors’ Report

The Trustee Governors (who are also directors of the charity for the purposes of the Companies Act 2006) present their report and accounts for the year ended 31 August 2025.

The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity's Memorandum and Articles of Association, the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2019).

Objectives and activities

Charitable Objects

The object for which the charity is established is to advance education by carrying on in Great Britain a school or schools for the public benefit at which infants, children and students may obtain education and instruction in academic, sporting, musical, cultural, scientific, technical, religious, vocational, social and commercial subjects, activities and crafts of every description. The charity provides a specialist education for students with speech, language and communication needs, moderate and severe learning difficulties and behavioural, emotional & social difficulties.

Aims of the charity

The school's primary aim is to provide a first-class education by high quality tuition and by developing sporting, artistic and social/ life skills in all its students. The school intends to provide an environment where each student can develop and fulfil his or her potential, to help build self-confidence, independence, and social awareness. The school focuses its work on preparing students with special educational needs for the challenges they will meet when leaving school. The school recognises that it is the development of social, language and thinking skills that enable students to express themselves, to understand and to function optimally in the world.

We also believe in the power of collaborative practice. Together, we face challenges, celebrate achievement, and aspire to do our very best.

We deliver our mission in three essential ways:

• (1) We provide a safe and nurturing environment where students feel secure and are confident and eager to learn;

• (2) We create a highly specialised and individualised curriculum, with speech and language at its heart, empowering students to learn; and

• (3) We establish close working relationships between parents, carers, students and staff to support learning and behaviour.

Strategies for achieving aims and objectives

• (1) Ensure that all of our staff are given access to the training and equipment required for their roles and that there are opportunities available for their personal future development;

• (2) Ensure that we use the most appropriate and effective tools for the safeguarding, teaching and assessment of our students;

• (3) Create a safe and positive environment for all of our staff and students, with a welcoming, collaborative and open approach;

• (4) Implement a programme to ensure the school always has access to the therapists that it needs and which are key to its offering;

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

• (5) Review and evaluate proposed growth opportunities for the school that enhance and expand our student experience;

• (6) Identify and secure new Central London premises for the existing school, with additional growth capacity;

• (7) Be proud of what we do and build a strong identify/ brand with a regular programme of contact/ communication with all stakeholders, e.g. Local Authorities, existing/ potential parents, local schools, neighbours;

• (8) Maintain a close and positive working relationship between the senior management of the school and its governing body

Compliance with Charity Commission guidance

The Trustee Governors have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

Staff involvement

One of the keys to the school’s success is the aim to foster an engaged and highly motivated staff. By consulting staff, including more regular use of staff surveys, we endeavour to get feedback on a regular basis, not only in ways we can improve the learning experience for our students, but also to improve the well-being of staff. The senior leadership team aims to be pro-active in making sure staff are kept informed of the school’s progress. We seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the school’s performance.

Employment of disabled persons

Applications for employment by disabled persons are always fully considered, bearing in mind the aptitudes of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the charity continues and that the appropriate training is arranged. It is the policy of the charity that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other staff.

Grant making policies

The school does not currently have a grant making policy.

Use of volunteers

A number of parents and carers of children attending the school volunteer to provide support for various activities during the year. The Trustee Governors would like to take this opportunity to say how much we appreciate their continuing and valuable support for our work. Furthermore, a regular number of students from within higher education are offered unpaid, temporary work experience placements.

Fundraising

Historically, the school has not had an organised fundraising function. In general, we have been able to maintain strong unrestricted reserves that allow us to fund specific projects and activities as they arise, as well as using restricted grants to fund other specific projects. We anticipate that some of these unrestricted reserves will be used when we move premises and so we would look to establish a formal fundraising function thereafter. In the short- to medium-term these are likely to be focused on applying for various grants to match-fund specific projects and activities as they arise.

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

Main Achievements

• ➢ The school has continued to operate without any serious safeguarding issues, which is testament to the procedures and policies in place, as well as comprehensive training for staff and Trustee Governors;

• ➢ Our comprehensive programme of SMSC events has supported our students’ wider development. Events included charity days, celebration assemblies, and focus weeks;

• ➢ Following on from establishing our curriculum leads we have introduced a Lead Learning Support Assistant role in each class to support the teachers and help line-manage other LSAs with an additional pay award attached to formalise the role and its expectations;

• ➢ We have placed all our leavers in appropriate post-16 settings and have supported them, and their parents, throughout the transition, with workshops, activities, visits and tailored advice;

• ➢ We have recruited an additional Speech and Language Therapist to build a strong team of five, with a wide range of expertise and training;

• ➢ The school has processed a high number of consultations for places and secured seven new students for the next academic year, taking the total to 50 students;

• ➢ Led by our assistant head, we have continued to make excellent progress in establishing clear curriculum pathways for our students and producing new curriculum maps to provide clarity around coverage and progression of learning. Our focus has been on embedding SaLT into all curriculum maps and embedding individual OT and sensory integration strategies across the school with an LSA taking on more responsibility for implementing the plans;

• ➢ We have introduced a school therapy dog who has settled successfully into the school and is supporting students' social communication skills, emotional wellbeing and functional skills;

• ➢ The return of our Operational Support Manager from maternity leave has allowed to us work on streamlining and reorganising our EHCP review processes to best support families in a timely way, in the midst of an often challenging system;

• ➢ We have restructured our parents' evenings to maximise this face-to-face meeting opportunity - offering time to talk to a range of professionals, information and workshops on aspects of school life and 1-2-1 sessions with key staff if required;

• ➢ Our SaLT team are working closely with Smartbox (an AAC specialist) and we are embedding whole school total communication approach using the Smartbox resources including communication books/boards and hi tech AAC. This is linked to our ICT strategy to roll out to the whole school over the next 3 years.

• ➢ We have applied for and started the process of achieving the Leading Parent Partnership accreditation which will be completed by Easter 2026;

• ➢ The school is committed to its equalities and diversity objectives and is proud to be an inclusive employer - we have updated our recruitment procedures and staff support strategies to ensure a staff team who feel valued, encouraged and confident in their roles;

• ➢ We have continued to embed a Positive Behaviour Support model, which sees staff employing a relational approach to behaviour management influenced by trauma informed approaches. This approach allows us to focus on behaviour as communication, supporting students to better access learning opportunities and feel safe and understood in our environment; and

• ➢ Having re-established school trips and annual residential trips a couple of years ago(post-Covid), we built further upon these enjoyable outings, which offer students invaluable experiences and opportunities to support learning and work on life-skills and social interaction.

Criteria used to measure success

• ➢ The school has been able to maintain strong student numbers (at or near capacity), as well as continuing to attract high numbers of referrals and applications for places from prospective students. This continues to reflect positively on the quality of teaching, therapy and support provided, which is helping students progress and strive to reach their full potential;

• ➢ Aside from strong progress against student Individual Education Plans (IEPs), we are encouraged by the ability of student leavers to find good post-16 provision in other schools;

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

• ➢ We continue to conduct staff, student and parent surveys, and we are proud about the positive feedback we receive;

• ➢ We have been able to maintain a core stable and contented staff base and are encouraged by our ability to attract quality new staff, especially in-demand therapists, which is testament to the school’s welcoming atmosphere and opportunity for staff advancement;

• ➢ We also place great importance on periodic Ofsted inspections and feedback (positive reinforcement), which provide an invaluable independent assessment of the school’s progress;

• ➢ The charity retains a significant surplus of unrestricted funds, which provides reserves to cover unforeseen losses or required expenditures, as well as allowing the school to run budgeted short-term deficits in more volatile periods.

Plans for the future

In the short- to medium-term the school’s leaders are focused on continuing to expand and embed a range of speech and language strategies and targeted interventions, in particular expanding our implementation of AAC device-use and supporting families to utilise these at home. We will be focusing on the development and improvement of a holistic curriculum for the school, with an emphasis on how therapeutic input can be used to support students’ learning and behaviour throughout the whole school day. We continue to review our curriculum and delivery of learning to ensure it is offering our students the best chances for progress and success.

As ever, we remain committed to providing a safe, nurturing environment which challenges and supports our students in their development with functional skills and language and communication at its core. Alongside this, we remain committed to recruiting and retaining motivated, engaged, enthusiastic and skilled staff, offering a rewarding work environment and providing opportunities for career advancement.

We have begun work on planning and developing a therapeutic out-reach and consultancy service. We aim to support mainstream schools and other SEN providers in meeting the needs of students with Speech, Language and Communication Needs (SLCN) and the associated challenges they face. We anticipate that we might offer a number of different support ”packages”, tailored to the needs of each provision, to include (but not limited to) workshops and training, advice, consultation, resource development, assessments, coaching and mentoring. In the initial phase we are consulting with potential interested parties to gauge the right level of support, how we will cost it and timetable required staff involvement. We are also starting to build a first round of ready made packages that we can trial and use to promote the concept.

We also continue to explore the potential to expand the school in a number of different areas, including: (i) potentially providing a sixth class within our current pre-16 provision; (ii) the creation of a post-16 provision; and (iii) the potential to expand the current age range by offering a class for early-years pupils. These would require additional space (both internally and externally), which is not available in our current setting on the Hammersmith & Fulham College campus. Also, given that our current lease at the site comes to an end in September 2026, we continue our search process for an alternative site for the school, which will provide the necessary space to accommodate these expansion plans.

Given the current spate of primary school closures in London, as primary age student numbers decline, we have identified vacated primary school sites as a key focus in our search. While these would likely require some re-modelling to accommodate our educational needs, they do, on the whole, offer the required internal and external space we are looking for, in order to grow our offering. We are engaging with local authorities, dioceses and multi-academy trusts (MATs) that own these sites, building dialogues and relationships, to explore the potential to lease or buy one of these vacated sites. We are cognisant that most of these sites in our current search area (West- and South-West London) are a valuable asset for their owners and that there is demand from other SEN and mainstream, early-years educational providers, as well as the potential to re-purpose the sites for a commercial and/ or residential use. Aside from the social benefits we provide, we see strong and growing demand for our offering, which supports our business case.

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

Financial Review

The charity’s financial aim is to maintain sufficient “unrestricted” reserves to provide flexibility for the school to operate through various scenarios (e.g. a temporary lack of funding, reduced student numbers, uninsured costs in a disaster or unforeseen scenario), as well as to support the school in achieving its medium- and long-term objectives from time to time (e.g. school improvement, school expansion, capital projects). Our reserves policy (see below) sets out this minimum requirement and is calculated on an annual basis based on the financial year budget.

Our annual accounts, in terms of our income statement, are fairly straight-forward: with revenue/ income driven mainly by student numbers and fee levels, and expenses largely driven by staff costs. We generally budget to break-even or to generate a small net surplus in most years to help build reserves. However, we are cognisant that there may be years where we might make a net deficit, or perhaps make a much larger surplus than budgeted for. The latter generally occurs when we take on extra students during the course of the school year, with relatively low related costs (i.e. un-budgeted) and/or where we receive un-budgeted grants.

As outlined above, potentially moving to larger premises some time over the next couple of years will likely incur sizeable costs, hopefully to be largely covered by the designated premises reserves we’ve built up. Nevertheless, we would expect higher annual lease costs for larger premises and to take on additional staff as/when we expand our offering, with related student fee income potentially coming in on a lagged basis. This might be a specific example of where maintaining significant unrestricted reserves will prove their worth in allowing us to carry on a business-as-usual basis.

Review of financial position

For the financial year 2024-25 the charity reported a surplus of £193,231 (vs £111,441 surplus in FY202324), which, as retained income, boosted our net assets (total reserves) to just over £1.9mln, which are split between unrestricted reserves of £1,810,770 and restricted reserves of £94,673. We would expect to run down the latter over time as we allocate those reserves (grants) to specific projects and as we look to better match grants received during the year, within a shorter timeframe.

Aside from working cash held in the school’s bank account to cover short-term expenses, the majority of our unrestricted reserves are held on the CAF Flagstone investment platform, which allows us the flexibility to allocate amounts up to the £85,000 insured limit per account across a wide number of individual bank savings accounts in an efficient manner. We maintain a diversified portfolio of accounts by maturity, including a proportion on instant access or short maturities to cover potential cash strains in the school.

Another way of thinking about total net assets of £1,905,443 is to consider the charity’s balance sheet, and specifically the difference between its total assets of £2,069,542, split between: -

• Tangible assets of £63,851 (incl. leasehold improvements of £41,698); plus

• Cash balances of £1,814,302 (retained annual net surpluses); plus

• Debtors – accounts receivable and accrued income of £133,668; plus

• Current assets of £57,721;

• And its total liabilities of £164,099 (all due within one year and an increase from the £67,441 at end FY202324).

Significant items arising during the year

1. VAT on school fees

In July 2024 the new UK government announced that, as of 1[st] January 2025, all education provided for a charge (fee) by a private school in the UK will be subject to VAT at the standard rate of 20% (previously exempt under 1994 VAT Act). “Private” schools in this instance include “Non-Maintained Special Schools” (NMSS), such as our school, and so we had to implement the new tax on fees charged to local authorities and/or parents.

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

Where placed by a local authority with the school through an Education, Health & Care Plan (EHCP) (where the pupil’s needs can only be met in a private school), the local authority is able to reclaim the VAT on fees from HMRC. However, complexities arise where parental preference comes into play. Where two schools are named in the EHCP - one maintained or state-funded, and the other private - and the parental preference prevails despite the local authority determining that the state school would be sufficient to meet needs, the financial responsibility shifts. In such instances, parents are typically expected to cover the cost of fees for the private school, and, under the new rules, this includes the additional 20% VAT.

Where the school has applied VAT to the fees charged to a local authority, and which the local authority will reclaim back from HMRC, we then are liable to pay the VAT received back to the government (so, in effect, it is a net zero sum gain for the government as they cover the local authorities’ reclaim-payments). The school has to make these VAT returns to the government on a quarterly basis during the financial year.

Ahead of the introduction of this VAT application, the school registered for VAT in November 2024, which allows it to access pre-registration “input tax recovery” options that were previously unavailable (e.g. capital expenditure and the purchase of educational supplies) – during the FY2024-25 the school reclaimed around £13,500 on prior expenses. In part, this helped off-set some of the cost of the additional administrative burden the school faced in setting up this new VAT system (including accountancy and legal fees), as well as the opportunity cost of school staff diverted to make sure the school was in compliance.

Alongside these VAT changes, the government also announced that schools in England with charitable status would lose their eligibility to business rates charitable relief (which provides an 80% discount on the rates they pay on their premises) from April 2025, subject to parliamentary passage of separate legislation. Nevertheless, under our current lease agreement, we are not liable for business rates.

2. Core Schools Budget Grant (CSBG)

The Core Schools Budget Grant (CSBG) is a new government funding payment in England, introduced in 2024, that supports schools with increased costs, including those from the National Insurance contributions (NICs) and teachers’ pay awards. For “non-maintained special schools” (NMSS), such as our school, this is funded directly by the DfE.

This new grant was in addition to the existing Teachers’ Pay Additional Grant (TPAG) and the Teachers’ Pension Employer Contribution Grant (TPECG), which were granted up to and including the FY2024-25, but which will be formally combined into the CSBG from FY2025-26 (to simplify the process), but no decision has been made by the government on whether the grant will be continued further into the FY2026-27.

The school received a TPAG payment of £35,475 in November 2024, which we believe was part of the CSBG plan and then a specific CSBG payment, of which £49,691 being in relation to FY2024-25.

3. Interest received on bank deposits

The charity places unrestricted reserves on deposit across a number of bank accounts via the CAF Flagstone platform. This conveniently allows us to allocate balances, up to an insured maximum of £85,000 per account, diversified across different maturities. The underlying Bank of England base rate (upon which individual banks benchmark savings account interest rates) rose rapidly from late 2021 (from 0.1% postCovid), peaking at 5.25% in August 2023, plateauing there for a year, before a slow and steady decrease to 4% by end-August 2025.

As such, interest rates on bank deposit accounts rose during this period and the school was able to benefit from a surge in interest income from our invested reserves. For the FY2024-25 we recorded interest income of £87,748 (£43,746 in FY2023-24), with a number of longer-dated accounts maturing that we had invested in during the previous financial year.

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

Annual net surplus

As reported above, the school recorded an annual net surplus for the FY2024-25 of £193,231 (vs £111,441 surplus in FY2023-24), which compared with our FY2024-25 budget that projected a small deficit of £32,643. This significant variance was largely the result of the much higher than expected interest income on invested reserves (£87,748) (as discussed above), as well as well-controlled costs. The net surplus can be split into: (1) a surplus of £203,073 on unrestricted activities (that includes the CSBG and interest income); and (2) a deficit of £ (9,846) on restricted activities (i.e. grants with a defined criteria for spend).

Income generation

During the year under review unrestricted income totalled £1,940,054 (FY2023-24: £1,663,605), with the YoY increase (+£276,449 or +16.6%), mainly driven by the unexpected CSBG and interest income, as described above. Other income, principally student fees, was broadly in-line with budget. Restricted income totalled £47,297 (FY2023-24: £220,218)

When considered together, unrestricted and restricted income is mainly made up of student fees from placing local authorities (£1,144,608 vs £982,861 in FY2023-24, with the increase reflecting YoY fee inflation, and was despite one fewer pupil on roll) and EFA student grants from the DfE (£480,833 vs £553,333 in FY2023-24, with the decrease reflecting fewer pupils), supplemented in FY2024-25 by the extraordinary CSBG and higher interest income from our CAF Flagstone savings accounts.

Expenditure

The total cost of operation of the school amounted to £1,794,120 (vs £1,772,382 in FY2023-24), representing a £21,738 or 1.2% increase YoY. Expenditure coinciding with unrestricted income/ operations of £1,707,572 (£1,489,148 in FY2023-24), an increase of £218,424 or 14.7% YoY, reflecting wage inflation, one more staff member on average over the course of the year, higher national insurance contributions from April 2025 and higher general inflation across many cost lines. Staff costs continue to account for the bulk of overall costs (~79% in FY2024-25), with the next largest cost items being premises costs (~6% of the total), and then a drop down to capital equipment (~3%), school lunches (~1.5%), staff courses (~1.5%) and Insurances (~1.4%), and then a further drop down to a host of smaller line items.

Nevertheless, this increase in unrestricted expenditure was more than off-set by a hefty decrease in restricted expenditure (-£196,686 YoY) as more costs were aligned with the unexpected CSBG (see above).

Historical 10-year view

£	FY15-16	FY16-17	FY17-18	FY18-19	FY19-20	FY20-21	FY21-22	FY22-23	FY 23-24	FY24-25
Net income	129,028	101,640	121,755	239,741	403,810	300,539	23,023	11,150	111,441	193,231
Fund balances	399,113	500,752	622,508	862,249	1,226,059	1,566,598	1,589,621	1,600,771	1,712,212	1,905,443
Restricted	81,837	97,569	99,283	133,823	166,289	174,984	123,698	167,535	104,519	94,673
Unrestricted	317,276	403,183	523,225	728,426	1,099,770	1,391,614	1,465,923	1,433,236	1,607,693	1,810,770
Av # students	48	45	47	56	51	55	53	52	53	52
Av # staff	31	31	33	36	35	39	45	44	44	45

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

Reserves policy

Beyond our aim to continue as a going concern, our reserves policy sets out minimum unrestricted reserves, which are calculated by considering the following scenarios:

• (1) A temporary loss of income: reserves required to cover 3 months of operating costs;

• (2) A temporary reduction in student numbers: reserves required to cover a temporary reduction in income as a result of a 20% reduction in numbers;

• (3) Sudden school closure: Separately, we calculate closure costs (staff redundancy and other costs, e.g. service-level agreements, leases) over a run-off period (6 months). This reserve is considered fungible with (1) and (2) above, as it would only occur in a closure and so would negate the need for (1) and (2); and

• (4) Other operational risks not currently covered by insurance, if appropriate.

Based on these scenarios, we calculate the minimum unrestricted reserves required to be just shy of £800,000. In addition, we calculate an amount of “designated” unrestricted reserves, separate from this general pool, specifically designated to help achieve our medium- and long-term objectives and which currently cover three main areas: (i) premises move; (ii) school expansion project; and (iii) school outreach project. These totalled close to £750,000. As such, together we estimate required unrestricted reserves to total close to £1.55mln as of 31[st] August 2025. At this date we reported unrestricted reserves of £1.81m and so comfortably exceed this minimum requirement.

As part of the above consideration, we also factor that these reserves provide a reasonable period of time for staff to apply for alternative employment and for students to be placed in an alternative provision. It assumes that student funding ceases over the period, which might not be the case.

Investment policy

The Trustee Governors have overall responsibility for the investment of the charity’s cash balances, other unrestricted reserves and any unspent restricted reserves. In turn, this responsibility is delegated to its Finance, Leadership & Management (FLM) sub-committee to monitor on an on-going basis. This subcommittee reports to the Board of Trustee Governors on a periodic basis, including a summary of the various investments, their performance and risks.

The FLM sub-committee’s primary investment objectives are:

• (1) To ensure adequate cash balances are available in an approved bank account to cover day-to-day working capital requirements of the school’s operations, without the account becoming overdrawn; and

• (2) To protect the real long-term capital value of the unrestricted reserves, minimising risks and optimising returns, with due consideration taken of the flexibility and term of investments.

The committee analyses and monitors the various market risks associated with these investments on an on-going basis, with working cash balances and other unrestricted reserves distributed across potentially three main investment types, depending on the total balances at-hand: -

• (1) Bank current/ business accounts;

• (2) Savings accounts and other similar savings vehicles; and

• (3) Investment funds.

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

Historically, given the relatively limited unrestricted reserves available (at least by the levels required to employ an external investment mandate) and the low-risk appetite, the majority has been placed in (1) and (2) above. Given the administrative burden of applying for individual saving accounts (in (2) above), we invest across bank savings accounts offered on the CAF Flagstone investment platform, which allows us to allocate balances across a wide range of accounts in a timely and efficient manner (albeit constrained to a max £85,000 insured limit per account). As/ when these unrestricted reserves grow in value more significantly above our projected minimum requirements (see Reserves policy above), the FLM subcommittee would expect to explore options within (3) above, albeit with a focus on capital preservation and risk diversification. At this time external professional advice would be sought as a key input to any decision.

Investment returns

For the FY2024-25, balances invested on the CAF Flagstone investment platform (£1,472,636 as at 31 August 2025) returned £87,748 in interest (vs £43,746 in FY2023-24).

Going concern

After making appropriate enquires, the Trustee Governors have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. In the first instance this is based on the number of students on roll (both current and projected, given strong on-going demand for places) and their associated fees covering current and projected expenses of running the school. Beyond this, the charity’s sizeable surplus funds provide more than additional comfort that the charity could cover any potential short-term deficits to continue as a going concern with no interruption to its core teaching provision. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

Principal funding

The principal funding is from local authorities, with top-up school fees in some instances from parents, plus grants from the central Education and Skills Funding Agency (ESFA).

The statement of Financial activities for the year is set out on page 27 of the financial statements. A summary of the financial results and the work by the charity is set out below.

How principal sources of funding support the key objectives of the charity

• Fees from local authorities along with fees charged to parents facilitate the day-to-day running of the school, providing resources to cover staff salaries, teaching resources (incl. books, stationery supplies, computers) and other operating overheads.

• Grants received from the ESFA provide a top-up to fees received from placing local authorities and help subsidise student fees and enable disadvantaged students with parents who would not otherwise be able to afford the school's fees (i.e. on free school lunches) to benefit from the high-quality education provided.

• The Devolved Formula Capital grant enables the purchase of classroom and IT equipment to further learning.

• The Capital Maintenance grant ensures premises are fit for purpose and remain in good repair, and enable improvements for the benefit of the pupils, such as the construction of the all-weather playing surface.

• The Sports and PE grant facilitates the purchase of sports equipment, training and attendance at sporting events to develop the sporting skills of the pupils.

• The Teachers’ Pay and Teachers’ Pension grants provide additional resources to build teachers’ overall compensation.

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

Material Investments policy

Under the Memorandum and Articles of Association, the charity has the power to make any investment that the Trustee Governors see fit. The Trustee Governors have assessed the major risks to which the charity is exposed and are satisfied that systems are in place to mitigate exposure to the major risks.

Risk Review

Risk management

The Trustee Governors are ultimately responsible for the management of the risks faced by the school. This involves identifying the types of risks the charity faces, prioritising them in terms of potential impact and likelihood of occurrence (based on an in-house scoring model), and identifying means of mitigating risks. A record of these is kept in a risk register, which is formally reviewed at each main Board of Trustee Governor meeting, and by the three separate sub-committees of the main Board on a periodic basis. In addition, a comprehensive list of school policies is regularly reviewed and updated for best practice, including input from an independent, third party HR firm.

As of the balance sheet date, the key risks identified by the Trustee Governors can be split across three main categories as follows:

• (1) Strategic and reputational risks , including, but not limited to: -

• (a) A major safeguarding or health and safety incident;

• (b) A future pandemic;

• (c) Competition risk arising from new or re-purposed schools in the area;

• (d) Loss of Chair of Trustee Governors and inability to promote or recruit a replacement;

• (e) A breach of staff code of conduct; and

• (f) A poor Ofsted inspection;

• (2) Operational risks , including, but not limited to: -

• (a) A permanent loss of premises and/or inability to find new suitable premises when current tenancy ends;

• (b) A temporary loss of premises due to fire, flood or other emergency;

• (c) IT capability risk – out-dated/ unsupported systems causing loss of data and/or operational issue;

• (d) Breach of GDPR or e-security; and

• (e) Staffing issues, e.g. loss of multiple staff at one time and/or significant employment law issues;

• (3) Financial risks , including, but not limited to: -

• (a) Financial fraud;

• (b) Loss of student numbers making the school’s financial model unviable;

• (c) Reserves risk – lack of sufficient funds in reserves to allow school to carry on operations for a limited time under stress; and

• (d) Investment policy risk – capital loss by inappropriate investments of the charity’s reserves.

• (e) Loss of key financial personnel.

Mitigating actions are regularly reviewed, assessed for appropriateness and updated where necessary, and with the proviso that some are a work-in-progress given the scale involved. Key strategies implemented to help mitigate some of these risks include, but are not limited to: -

• (i) Maintenance of a comprehensive set of reference policy documents;

• (ii) Continuous offering of staff and Trustee Governor training across all risk categories, as well as regular skills-gap audits;

• (iii) Access to independent, third-party specialist advice, e.g. in HR, IT, data protection (and cyber risk evaluation), insurance and property management;

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

• (iv) Continuing development of senior management of the school and succession planning, where relevant, and including a review of recruitment and staff retention;

• (v) Maintenance of a strong working relationship with the school’s current property landlord (Hammersmith & West London College);

• (vi) Creation of a business continuity plan, including search for alternative settings required in an emergency;

• (vii) Expectation to be able to implement a fundraising strategy to help broaden the charity’s resources and expand the school’s offering;

• (viii) A regular review of reserves and investment policies, with strict oversight and schemes of delegation, and ultimate approval/ ratification by the main Board of Trustee Governors;

• (ix) Consistent control and forecasting of student numbers, frequent review of management accounts and budgets by an appointed school finance officer; and

• (x) Monitor and evaluate student achievement on a termly basis, provide regular training to staff and create a staff culture where peer observation, feedback and discussion about learning are commonplace.

Through the risk management process outlined above, the Trustee Governors are satisfied that the major risks identified will be adequately mitigated where necessary. It is recognised the systems can only provide reasonable, but not absolute, assurance that the major risks have been adequately managed.

The Trustee Governors have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the charity, and are broadly satisfied that systems and procedures are in place to mitigate our exposure to these major risks. Nevertheless, the Trustee Governors are acutely aware of the need to continually review and, where necessary, evolve these risk mitigations to enhance overall risk management. This includes working closely with the school’s senior leadership team, which takes ownership of many of these mitigating actions on a day-to-day basis, as well as helping it to shape and attain key strategies on its School Improvement Plan and to draw up a longer-term vision for the school.

No means exhaustive and very much aspirational realising that we are at the start of a long journey, but we aspire to transform school values and champion sustainable behaviours through a number of broad ambitions to include:

• ➢ Trustee Governors and the senior leadership team of the school to lead by example and support the drive to embed culture change across the school, including to ensure that relevant sustainability issues feature on the agenda of Full Board and sub-committee meeting, where relevant – in effect applying an ESG lens to all we do, as well as continuing to embed and promote a strong compliance culture across the school.

• ➢ Continue to promote staff engagement (surveys, conversations etc.), an inclusive (“speak-up”) culture, diversity, empowerment (offer leadership opportunities), remain committed to fair and equal pay, and create an attractive workplace that aids staff well-being (mental health) as much as possible.

• ➢ Continue to focus on maintaining the strength of our balance sheet and financial position that provide the security and stability to support the school as a going concern over the long-term and help make it resilient to various risks. We are acutely aware of our 40-year history and our stewardship of its legacy.

Structure, Governance and Management

Constitution

The company is a charitable company limited by guarantee and was set up by constitution in 2001. It is constituted under a Memorandum and Articles of Association dated 2001 (updated 2018) and is a registered charity (charity number 1090757). The principal objective of the company is to provide education to children. During the year 2024-25 the school averaged 52 pupils and 45 staff.

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

Governance structure

Trustee Governor Membership & Committees

		Appointed	Trustee	Main Board	Committees*	Committees*	Committees*
			Governor		FLM	PDBW	TLA
			Type
	Trustee Governors Daniela Schwartz (Chair) Jul-14 Co-opted ■ Hala Ensari (Vice-Chair) (resigned Jul-25) Nov-18 Parent ■ Steve Hussey Jun-17 Parent ■ Thomas Cowley (resigned Jul-25) Dec-21 Co-opted ■ Jakub Koper Dec-21 Staff ■ Yvonne Woodford (resigned Jul-25) Oct-22 Parent ■ Basma Atassi (resigned Mar-25) Mar-24 Co-opted ■ Victoria Coleman Mar-24 Co-opted ■ Elena Ermakova Mar-25 Parent ■ Raphael Pasquier Mar-25 Parent ■ Emma Dawn Mar-25 Local Auth. ■ Associate members Nick Herrtage (Real Estate Advisor) - External Verity Carnevale (co-Head) - Staff Holly Bristow (co-Head) - Staff Claire Huntington - Staff Jenny Newell - Staff Phoebe Buret - Staff Steve Williams (Finance Officer) - Staff Lorraine Morgan (Business Manager) - Staff Number of meetings 4				X X X ■ ■ ■ ■ ■ ■ ■ ■ ■ Eo Eo Eo Eo Eo Eo Eo Eo IoA IoA 6 4 4

X Chair/ ■ Member/ Eo Ex-officio/ IoA Invited to attend

*FLM=Finance, Leadership & Management [N.B. The previous separate Finance and the Leadership & Management committees were combined to form the FLM committee in January 2019.] PDBW=Personal Development, Behaviour & Welfare TLA=Teaching, Learning & Assessment.

Management structure

The Board of Trustee Governors administers the charity. The Trustee Governors of the charity are legally responsible for the overall management and control of the school. The main Board of Trustee Governors is convened four times a year, with separate sub-committees held more often across the year. The work of implementing their policies is carried out by the Co-Headteachers and their staff. The Co-Headteachers attend all the regular meetings of the Board of Trustee Governors (ex-officio) and its sub-committees.

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

Method of appointment or election of Trustee Governors

The management of the company is the responsibility of the Trustee Governors who are elected and coopted under the terms of the Articles of Association.

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PARAYHOUSE SCHOOL

TRUSTEE GOVERNORS’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2025

None of the Trustee Governors has any beneficial interest in the company. All of the Trustee Governors are members of the company and guarantee to contribute £10 in the event of a winding up.

Polices adopted for the induction and training of Trustee Governors

New Trustee Governors are included into the workings of the charity and the school, including Board policy and procedures, by attending a meeting as an observer and interviewing with the Co-Headteachers and separately the Chair of Trustee Governors. Training is provided for existing members to ensure that they remain fully conversant with relevant current legislation, policy and procedures. Governing documentation states that the time limit for serving on the Board of Trustee Governors is 4 years (although can be reelected to serve a second term).

Remuneration Policy

Posts for staff are advertised in the relevant arena. Pay is based on set pay-scales, where they exist, and the experience of the candidate. Similar posts are scrutinised to ensure fair and relevant salary levels.

Group structure

The charity does not have any non-charitable subsidiary, and is not engaged in any form of trading.

Funds held as custodian

No funds are held as custodian.

Significant events after the year-end

None

SMALL COMPANY EXEMPTIONS

In preparing this report the directors have taken advantage of small company exemptions.

The Trustees report was approved by the Board of Trustee Governors.

D. Schwartz

S. Hussey

Ms D Schwartz Trustee Governor Dated: 10[th] March 2026

Mr S Hussey Trustee Governor Dated: 10[th] March 2026

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PARAYHOUSE SCHOOL

STATEMENT OF TRUSTEE GOVERNORS’ REPONSIBILITIES

FOR THE YEAR ENDED 31 AUGUST 2025

The Trustee Governors (who are also the directors of Parayhouse School for the purposes of company law) are responsible for preparing the trustees’ annual report and the financial statements in accordance with applicable law and regulation.

Company law requires the trustees to prepare financial statements for each financial year. Under that law, the trustees have prepared the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law).

Under company law, the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company, and of the incoming resources and application of resources, including income and expenditure, of the charitable company for that period.

In preparing those 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 accounting estimates that are reasonable and prudent;

• State whether applicable UK Accounting Standards have been followed subject to any material departures disclosed and explained in the financial statements; and

• Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and 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 Companies Acts 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 the legislation in other jurisdictions.

Statement as to Disclosure of Information to the Auditor

The trustees at the date of approval of this trustees’ annual report confirm that so far as each of them is aware, there is no relevant audit information of which the charitable company’s auditor is unaware, and the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information.

Environmental, Social and Governance (ESG)

As the charity behind Parayhouse School we are acutely aware of the importance of applying environmental, social and governance (ESG) standards to the running of our school with the aim to make a tangible difference to our students, to our wider community, and to society as a whole.

We are determined to minimise any negative environmental impact of our operations, continue to be a diverse and inclusive employer, strengthen relationships with local communities and suppliers, and to operate with strong corporate governance and behaviour. Furthermore, we want to inspire our colleagues and students to have meaningful conversations around environmental and social challenges and how to successfully address those as part of our curriculum and through extra-curricular activities.

We have established a sustainability lead position within both the Trustee Governors and the school’s staff, who continue to work together to hone a comprehensive framework that sets out our sustainability ambitions and how we will work together to reach these goals. This will include setting out how we might align ourselves with the United Nations’ Sustainable Development Goals (UN SDGs), where applicable, and how these might inter-link the partnerships of our various stakeholders.

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PARAYHOUSE SCHOOL

STATEMENT OF TRUSTEE GOVERNORS’ REPONSIBILITIES

FOR THE YEAR ENDED 31 AUGUST 2025

These include school staff, students, Trustee Governors, parents, carers, our local community, local authorities and the Department for Education who fund our student places, our college landlord, and suppliers. As a starting point we have identified the following goals as best aligning with our objectives across E, S and G factors (with specific relevant sub-goals set out in the Appendix below):

The ‘E’ in ESG: Environmental considerations

We are somewhat beholden to our college landlord in terms of our carbon footprint as it supplies our various forms of energy, but we can control how efficiently we use that energy (for example, making sure windows are closed in winter, lights and other electrical equipment are switched off when not in use).

Hence, we reinforce best practice amongst our colleagues and students about energy efficiency while using the school buildings. Equally, we are committed to reduce waste where possible and champion recycling.

Until the end of our lease, we will look to work more closely with the college to minimise carbon emissions where possible and to jointly agree on an environmental action plan. In addition, we will begin to analyse how we might set up our operations in a potentially new site to better control and align management of environmental considerations.

The ‘S’ in ESG: Social considerations

As a school catering for young people with speech, language and communication difficulties and other special needs, we offer a hugely relevant social provision to the wider London community, giving access to education for this dis-advantaged cohort of students.

Safeguarding our students is paramount to our school. This extends to data safeguarding and related cyber risks, and to maintaining an extensive set of policies to set internal Safeguarding standards.

Furthermore, we are committed to be an inclusive school and practice diversity in our admissions policy as well as prioritise diversity and inclusion within our staff base while providing colleagues with a safe, supportive and friendly environment to work in – which is reflected in our Code of Conduct. We follow fair pay - with salaries benchmarked to inner London levels - and aim to offer as many additional staff incentives as possible.

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PARAYHOUSE SCHOOL

STATEMENT OF TRUSTEE GOVERNORS’ REPONSIBILITIES

FOR THE YEAR ENDED 31 AUGUST 2025

We aspire to work closely with our parent and carer community and our local community, and we continue to establish relationships with other schools and with local companies, aiming to focus on local suppliers where possible.

We continue to regularly review all suppliers with a view to estimating their environmental impacts, expecting all suppliers to comply with applicable laws and regulations in place. Similarly, we expect our suppliers to abide to all applicable laws and regulations with regards to modern slavery, human trafficking or forced labour.

The ‘G’ in ESG: Governance

The structure, governance and management section in the Trustees report sets out details on the charity’s governance and school’s management structures.

Parayhouse School’s ESG ambitions

By no means exhaustive and very much aspirational realising that we are at the start of a long journey, but we aspire to transform school values and champion sustainable behaviours through a number of broad ambitions to include:

• ➢ Trustee Governors and the senior leadership team of the school to lead by example and support the drive to embed culture change across the school, including to ensure that relevant sustainability issues feature on the agenda of Full Board and sub-committee meeting, where relevant – in effect applying an ESG lens to all we do, as well as continuing to embed and promote a strong compliance culture across the school.

• ➢ Continue to promote staff engagement (surveys, conversations etc.), an inclusive (“speak-up”) culture, diversity, empowerment (offer leadership opportunities), remain committed to fair and equal pay, and create an attractive workplace that aids staff well-being (mental health) as much as possible.

• ➢ Aim to put together a “climate action plan”, which aligns with the DfE’s sustainability and climate change strategy, including an appropriate teaching plan to incorporate climate change in our curriculum, where possible, with the aim of inspiring our students. The latter should include integrating student views on how the school is run sustainably, which should hopefully motivate the students to improve environmental awareness, which in turn might include projects on biodiversity, making use of our external space.

• ➢ Step up efforts to engage with parents and carers, as well as other external stakeholders, to drive change.

• ➢ Engage with other schools to learn from best practice on various ESG issues, as well as access government resources and tools.

• ➢ Explore the potential to become signatories to various initiatives, pledges and accreditations.

• ➢ Better understand our energy usage and conduct an energy audit, to target where we can save energy and develop a plan to encourage good practices and behaviours in all those who use the school. This might include promoting and facilitating more environmentally-friendly travel for staff and students to and from school, as well as a comprehensive review of energy usage, waste and recycling, paper and printing, food and food waste and water usage within the school.

• ➢ Continue to focus on maintaining the strength of our balance sheet and financial position that provide the security and stability to support the school as a going concern over the long-term and help make it resilient to various risks. We are acutely aware of our 40-year history and our stewardship of its legacy.

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PARAYHOUSE SCHOOL

STATEMENT OF TRUSTEE GOVERNORS’ REPONSIBILITIES

FOR THE YEAR ENDED 31 AUGUST 2025

Appendix: Applicable UN SDGs (and sub-goals)

• Goal 4: Ensure inclusive and equitable quality education and promote life-long learning opportunities for all

• 4.1 Ensure that all girls and boys complete free, equitable and quality primary and secondary education leading to relevant and effective learning outcomes

• 4.4 Substantially increase the number of youths and adults who have relevant skills, including technical and vocational skills, for employment, decent jobs and entrepreneurship

• 4.5 Eliminate gender disparities in education and ensure equal access to all levels of education and vocational training for the vulnerable, including persons with disabilities, indigenous peoples and children in vulnerable situations

• 4.7 Ensure that all learners acquire the knowledge and skills needed to promote sustainable development, including, among others, through education for sustainable development and sustainable lifestyles, human rights, gender equality, promotion of a culture of peace and nonviolence, global citizenship and appreciation of cultural diversity and of culture’s contribution to sustainable development.

• 4.a. Build and upgrade education facilities that are child, disability and gender sensitive and provide safe, non-violent, inclusive and effective learning environments for all

• Goal 5: Achieve gender equality and empower all women and girls

  • 5.1 End all forms of discrimination against all women and girls everywhere

• 5.5 Ensure women’s full and effective participation and equal opportunities for leadership at all levels of decision-making in political, economic and public life

• 5.b. Enhance the use of enabling technology, in particular information and communication technology, to promote the empowerment of women

• 5.c. Adopt and strengthen sound policies and enforceable legislation for the promotion of gender equality and the empowerment of all women and girls at all levels

• Goal 8: Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all

• 8.5 Achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value

• Goal 10: Reduce inequality within and among countries

• 10.2 Empower and promote the social, economic, and political inclusion of all, irrespective of age, sex, disability, race, ethnicity, origin, religion or economic or other status

• Goal 12: Ensure sustainable consumption and production patterns

• 12.2 Achieve the sustainable management and efficient use of natural resources

• 12.5 Substantially reduce waste generation through prevention, reduction, recycling and reuse

• • 12.6 Encourage companies to adopt sustainable practices and to integrate sustainability information into their reporting cycles

• 12.7 Promote public procurement practices that are sustainable, in accordance with national policies and priorities

• 12.8 Ensure that people everywhere have the relevant information and awareness for sustainable development and lifestyles in harmony with nature

• Goal 16: Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels

• 16.2 End abuse, exploitation, trafficking and all forms of violence against and torture of children

• • 16.6 Develop effective, accountable and transparent institutions at all levels

• 16.7 Ensure responsive, inclusive, participatory and representative decision-making at all levels

• 16.10 Ensure public access to information and protect fundamental freedoms, in accordance with national legislation and international agreement.

23

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF PARAYHOUSE SCHOOL

Opinion

We have audited the financial statements of Parayhouse School for the year ended 31 August 2025 which comprise the Statement of Financial Activities, Balance Sheet, Statement of Cash Flows, and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

• In our opinion, the financial statements:

• give a true and fair view of the state of the charitable company’s affairs as at 31 August 2025 and of the charitable company’s net movement in funds, including the income and expenditure, for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit Charities Act 2011 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 Trustee Governor’s use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

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

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

Other information

The Trustee Governors are responsible for the other information. The other information comprises the information included in the Trustee Governors’ Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

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.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

• the information given in the Trustee Governors’ Report (which includes the directors’ report prepared for the purposes of company law) for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the directors’ report included within the Trustee Governors’ Report has been prepared in accordance with applicable legal requirements.

24

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF PARAYHOUSE SCHOOL

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustee Governors’ Report (which incorporates the directors’ report).

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

• adequate accounting records have not been kept by the charitable company; or

• the charitable company financial statements are not in agreement with the accounting records and returns; or

• certain disclosures of trustees’ remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit; or

• the Trustee Governors were not entitled to prepare the financial statements in accordance with the small companies’ regime and take advantage of the small companies’ exemptions in preparing the Trustee Governors’ report and from the requirement to prepare a strategic report.

Responsibilities of Trustee Governors for the financial statements

As explained more fully in the Trustee Governors’ responsibilities statement set out on page 20, the trustee governors (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustee Governors 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 Trustee Governors are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustee governors either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in 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 is detailed below:

Based on our understanding of the charitable company and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to the regulatory requirements of the Charity Commission, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006, the Charities Act 2011, and UK tax law.

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries and management bias in certain accounting estimates and judgements such as the recognition of income from legacies and grants. Audit procedures performed by the engagement team included:

• Inspecting correspondence with regulators and tax authorities;

• Discussions with management including consideration of known or suspected instances of noncompliance with laws and regulation and fraud;

• Evaluating management’s controls designed to prevent and detect irregularities;

25

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF PARAYHOUSE SCHOOL

• Reviewing minutes of all Trustee Governor meetings during the year;

• Identifying and testing journals, in particular journal entries posted with unusual account combinations, postings by unusual users or with unusual descriptions; and

• Challenging assumptions and judgements made by management in their critical accounting estimates

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

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our 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 charitable company's members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members, as a body, for our audit work, for this report, or for the opinions we have formed.

Haralambos Hambi (Senior Statutory Auditor)

for and on behalf of Alpha Accountants (London) Limited, Statutory Auditor

585a Fulham Road Fulham London SW6 5UA

Date:

26

PARAYHOUSE SCHOOL

STATEMENT OF FINANCIAL ACTIVITIES INCORPORATING THE INCOME & EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 AUGUST 2025

		Unrestricted	Restricted	Total	Total
		Funds	Funds	2025	2024
	Notes	£	£	£	£
INCOME FROM:
Donations, legacies and grants	4	627,155	47,297	674,452	773,609
Charitable activities	5	1,144,608	-	1,144,608	982,861
Investments	6	87,748	-	87,748	43,746
Other income	7	80,543	-	80,543	83,607
		──────────	──────────	──────────	──────────
Total income		1,940,054	47,297	1,987,351	1,883,823
		──────────	──────────	──────────	──────────
EXPENDITURE ON:
Charitable activities	8	1,707,572	86,548	1,794,120	1,772,382
		──────────	──────────	──────────	──────────
Total expenditure		1,707,572	86,548	1,794,120	1,772,382
		──────────	──────────	──────────	──────────
NET INCOME		232,482	(39,251)	193,231	111,441
Transfers between funds		(29,405)	29,405	-	-
		──────────	──────────	──────────	──────────
NET MOVEMENT IN FUNDS		203,077	(9,846)	193,231	111,441
		──────────	──────────	──────────	──────────
RECONCILIATION OF FUNDS
Fund balances brought forward
At 1 September 2024		1,607,693	104,519	1,712,212	1,600,771
		──────────	───────────	──────────	──────────
Fund balance carried forward
At 31 August 2025		1,810,770	94,673	1,905,443	1,712,212
		==========	==========	==========	==========

The notes on pages 30 to 42 form part of these financial statements.

27

PARAYHOUSE SCHOOL

BALANCE SHEET

AT 31 AUGUST 2025

		2025	2024
	Note	£	£
FIXED ASSETS
Tangible assets	14	63,851	97,060
CURRENT ASSETS
Debtors	15	191,389	23,571
Cash at bank and in hand		1,814,302	1,659,022
		──────────	──────────
		2,005,691	1,682,593
CREDITORS
Amounts falling due within one year	16	(164,099)	(67,441)
		──────────	──────────
NET CURRENT ASSETS		1,841,592	1,615,152
		──────────	──────────
NET ASSETS		1,905,443	1,712,212
		==========	==========
THE FUNDS OF THE CHARITY
Restricted funds	17	94,673	104,519
Unrestricted funds		1,810,770	1,607,693
		──────────	──────────
TOTAL CHARITY FUNDS		1,905,443	1,712,212
		==========	==========

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31st August 2025, although an audit has been carried out under section 144 of the Charities Act 2011. No member of the company has deposited a notice, pursuant to section 476, requiring an audit of these financial statements under the requirements of the Companies Act 2006.

The Trustees responsibilities for ensuring that the charity keeps accounting records which comply with section 386 of the Act and for preparing accounts which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its incoming resources and applications of resources including its income and expenditure for the financial year in accordance with the requirements of sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to accounts, so far as applicable to the company.

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.

The financial statements on pages 27 to 42 were approved by the trustees and authorised for issued and are signed on their behalf by:

Ms D Schwartz Trustee Governor Dated: 10[th] March 2026

Mr S Hussey Trustee Governor Dated: 10[th] March 2026

28

PARAYHOUSE SCHOOL

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 AUGUST 2025

	2025	2024
	£	£
CASH FLOWS FROM OPERATING ACTIVITIES
Net income for the year	193,231	111,441
Adjustments for
Depreciation	54,676	61,972
Investment income	(87,748)	(43,746)
Decrease in stocks	-	-
(Increase)/decrease in debtors	(167,818)	6,721
Increase/(decrease) in creditors	96,658	(325,091)
	──────────	──────────
Net cash used in operating activities	88,999	(188,703)
	──────────	──────────
CASH FLOWS FROM INVESTING ACTIVITIES
Investment income	87,748	43,746
Purchase of tangible assets	(21,728)	(16,139)
Sale of tangible fixed assets	261	1,279
	──────────	──────────
Net cash (used in)/provided by investing activities	66,281	28,886
	──────────	──────────
CHANGE IN CASH AND CASH EQUIVALENTS IN THE
REPORTING PERIOD	155,280	(159,817)
Cash and cash equivalents at the beginning of the reporting period	1,659,022	1,818,839
	──────────	──────────
Cash and cash equivalents at the end of the reporting period	1,814,302	1,659,022
	==========	==========

29

PARAYHOUSE SCHOOL

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

1. GENERAL INFORMATION

The charity (number 1090757) is limited by guarantee, incorporated in England & Wales (number 04270330), and consequently does not have share capital. Each of the Trustee Governors is liable to contribute an amount not exceeding £10 towards the assets of the charity in the event of liquidation.

The address of its registered office is:

Hammersmith and Fulham College Gliddon Road London W14 9BL

2. ACCOUNTING POLICIES

Accounting convention

The accounts have been prepared in accordance with the charity’s governing document. the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (as amended for accounting periods commencing from 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.

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

The financial statements have been prepared under the historical cost convention, modified to Include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

Going concern

At the time of approving the accounts, the Trustee Governors have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus, the Trustee Governors continue to adopt the going concern basis of accounting in preparing the accounts.

Charitable funds

Unrestricted funds are available for use at the discretion of the Trustee Governors in furtherance or their charitable objectives unless the fund have been designated for other purposes.

Restricted funds are subject to specific; conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.

Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met. The amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

30

PARAYHOUSE SCHOOL

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

2. ACCOUNTING POLICIES (Continued)

Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of business. net of discounts, VAT and other sales related taxes.

Expenditure

Expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to activities, they have been allocated on a basis consistent with the use of the resources.

Support costs are those costs incurred directly in support of expenditure on the objects of the company and include project management carried out at the School Governance costs are those incurred in connection with administration of the company and compliance with constitutional and statutory requirements.

All pension costs and associated liabilities are allocated to unrestricted funds.

Tangible fixed assets

Expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to activities, they have been allocated on a basis consistent with the use of the resources.

Support costs are those costs incurred directly in support of expenditure on the objects of the company and include project management carried out at the School Governance costs are those incurred in connection with administration of the company and compliance with constitutional and statutory requirements.

Leasehold improvements Over the life of the leasehold Plant and machinery 25% straight line Fixtures, fittings & equipment 25% straight line Motor vehicles 20% straight line

Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment annually, and whenever there is an indication that the asset may be impaired.

Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks. other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

31

PARAYHOUSE SCHOOL

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

2. ACCOUNTING POLICIES (Continued)

Financial instruments

The charity has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's ·balance sheet when the charity becomes party to the contractual provisions of the instrument. ··

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

Financial assets and liabilities

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where tile transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets Classified as receivable within one year are not amortised.

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities as payable within one year are not amortised. Debt instruments are subsequently carried at amortised cost. using the effective interest rate method

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities. if payment is due within one year or less. If not, they are presented as non-current liabilities trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Financial liabilities are derecognised when the charity's contractual obligations expire or are discharged or cancelled.

Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.

Termination benefits are recognized immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits. ·

Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to net income/(Expenditure) for the year so as to produce a constant periodic rate of interest on the remaining balance of the liability. ·

32

PARAYHOUSE SCHOOL

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

3. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the charity's accounting policies, the Trustee Governors are required to make judgements estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future period.

4. DONATIONS, LEGACIES & GRANTS

NATIONS, LEGACIES & GRANTS
	Total	Total
	2025	2024
	£	£
Donations and legacies	-	58
Grants, including capital & government grants	674,452	773,551
	──────────	──────────
	674,452	773,609
	==========	==========

During the year, government grant funding totalled £674,452 (2024: £773,551), including Nonmaintained Special Schools funding from the Education & Skills Funding Agency, pupil premium, capital project funding, and assistance towards teachers’ pay costs.

5. INCOME FROM CHARITABLE ACTIVITIES

5.	INCOME FROM CHARITABLE ACTIVITIES
		Total	Total
		2025	2024
		£	£
	School fees receivable	1,144,608	982,861
		──────────	──────────
		1,144,608	982,861
		==========	==========
6.	INVESTMENTS
		Total	Total
		2025	2024
		£	£
	Interest receivable and similar income	87,748	43,746
		──────────	──────────
		87,748	43,746
		==========	==========

33

PARAYHOUSE SCHOOL

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2025

7.	OTHER INCOME
		Total	Total
		2025	2024
		£	£
	Other income	59,709	61,266
	Lunch money	20,291	21,671
	Excursion money	543	670
		──────────	──────────
		80,543	83,607
		==========	==========
8.	EXPENDITURE ON CHARITABLE ACTIVITIES
		Total	Total
		2025	2024
		£	£
	Staff costs	973,069	932,361
	Depreciation	48,659	49,778
	Courses	26,354	27,905
	Education materials	13,350	9,577
	Functions and outgoing	220	289
	Support costs (see note 9)	732,468	752,472
		──────────	──────────
		1,794,120	1,772,382
		==========	==========
9.	SUPPORT COSTS
		Total	Total
		2025	2024
		£	£
	Staff costs	254,777	249,144
	Depreciation	6,016	12,193
	School lunches	27,787	25,488
	Insurance	25,364	25,479
	Caretaking costs	(261)	10,612
	Hire of equipment	10,787	15,723
	Motor costs	8,498	9,657
	Rent and rates	102,664	115,538
	Governance costs (see note 10)	208,883	199,767
	Other expenditure	87,953	88,871
		──────────	──────────
		732,468	752,472
		==========	==========

34

PARAYHOUSE SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 AUGUST 2025

10. GOVERNANCE COSTS

VERNANCE COSTS
	Total	Total
	2025	2024
	£	£
Staff costs	186,570	175,982
Auditors remuneration
Statutory audit	12,000	14,400
Non-audit services	3,900	5,400
Accountancy fees	6,413	3,985
	──────────	──────────
	208,883	199,767
	==========	==========

11. RELATED PARTY TRANSACTIONS

No Trustee Governors, nor any persons connected with them, have received any remuneration from the charity during the year. Additionally, no Trustee Governors have received any reimbursed expenses or any other benefits from the charity during the year.

There were no transactions or balances with related parties during the year requiring disclosure (2023: none).

12. STAFF COSTS

AFF COSTS
	2025	2024
	£	£
Staff costs for the above persons:
Wages and salaries	1,259,938	1,229,333
Social security costs	110,257	89,854
Other pension costs	44,221	38,300
	──────────	──────────
	1,414,416	1,357,487
	==========	==========

The monthly average number of persons (including senior management team) employed by the charity during the year expressed as full-time equivalents was as follows:

Average employees in the year	45	44
	==========	==========
The number of employees whose emoluments fell within the following bands was:
£60,001 - £70,000	1	2
£70,001 - £80,000	2	-
	==========	==========

The total remuneration of the key management personnel of the charity were £276,681 (£288,029 FY2023-24).

35

PARAYHOUSE SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 AUGUST 2025

13. OPERATING LEASE COMMITMENTS

As at 31[st] August 2025 the school’s annual commitment under un-cancellable operating lease:

			2025	2024
			£	£
Operating lease which expired within	1	year	45,000	45,000
			──────────	──────────
			45,000	45,000
			==========	==========

36

PARAYHOUSE SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 AUGUST 2025

14. TANGIBLE FIXED ASSETS

		Leasehold	Furniture and	Motor
		improvements	equipment	vehicles	Total
		£	£	£	£
	Cost:
	1 September 2024	241,469	229,727	30,172	501,368
	Additions	7,782	13,946	-	21,728
	Disposals	-	(4,981)	(30,172)	(35,153)
		──────────	──────────	──────────	──────────
	31 August 2025	249,251	238,692	-	487,943
		==========	==========	==========	==========
	Depreciation:
	1 September 2024	169,810	204,326	30,172	404,308
	Charge for year	37,743	16,933	-	54,676
	Eliminated on disposal	-	(4,720)	(30,172)	(34,892)
		──────────	──────────	──────────	──────────
	31 August 2025	207,553	216,539	-	424,092
		==========	==========	==========	==========
	Net book value:
	31 August 2025	41,698	22,153	-	63,851
		==========	==========	==========	==========
	31 August 2024	71,659	25,401	-	97,060
		==========	==========	==========	==========
15.	DEBTORS
					2025 2024
					£ £
	Trade debtors			113,296 1,229
	Accrued income				20,372 -
	Prepayments				46,745 22,342
	Other debtors				10,976 -
				────────── ──────────
				191,389 23,571
				========== ==========

37

PARAYHOUSE SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 AUGUST 2025

16. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

	2025	2024
	£	£
Loans and borrowings	2,897	56
Trade creditors	28,316	3,725
Taxation and social security	38,759	37,154
Accruals and deferred income	94,127	26,506
	──────────	──────────
	164,099	67,441
	==========	==========

38

PARAYHOUSE SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 AUGUST 2025

17. RESTRICTED FUNDS

RESTRICTED FUNDS
	1			Transfers
	September			Between	31 August
	2024	Income	Expenditure	Funds	2025
	£	£	£	£	£
Restricted funds
School Condition	41,261	-	(35,588)	29,405	35,078
Allocation (previously
Capital maintenance)
School Condition	10,236	-	(2,617)		7,619
Allocation – Energy
Efficiency Grant
Devolved Formula Capital	21,585	7,649	(7,596)	-	21,638
PE & Sports	16,518	7,000	(5,173)	-	18,345
Pupil Premium	2,061	30,058	(32,056)	-	63
Pupil Premium +	1,532	2,590	(1,087)	-	3,035
Recovery Premium	11,326	-	(2,431)	-	8,895
Teacher pay	-	-	-	-	-
Teacher pension	-	-	-	-	-
School Led Tutoring	-	-	-	-	-
	──────────	────────	──────────	──────────	──────────
	104,519	47,297	(86,548)	29,405	94,673
	==========	========	=========	==========	==========
	1			Transfers
	September			Between	31 August
	2023	Income	Expenditure	Funds	2024
	£	£	£	£	£
Restricted funds
School Condition	86,729	-	(45,468)	-	41,261
Allocation (previously
Capital maintenance)
School Condition	13,290	-	(3,054)	-	10,236
Allocation – Energy
Efficiency Grant
Devolved Formula Capital	19,121	6,654	(4,190)	-	21,585
PE & Sports	13,463	10,000	(6,945)	-	16,518
Pupil Premium	4,255	24,703	(26,897)	-	2,061
Pupil Premium +	-	2,685	(1,153)	-	1,532
Recovery Premium	11,276	26,077	(26,027)	-	11,326
Teacher pay	7,364	56,583	(63,947)	-	-
Teacher pension	12,037	88,757	(100,794)	-	-
School Led Tutoring	-	4,759	(4,759)	-	-
	──────────	──────────	──────────	──────────	──────────
	167,535	220,218	(283,234)	-	104,519
	==========	==========	==========	==========	==========

Breakfast club

Kellogg’s Breakfast Ltd provided grants to schools to help fund Breakfast Clubs for pupils who were primarily entitled to Free School Meals/Pupil Premium. There is a clear link between students who have eaten breakfast and attendance/attainment.

School Condition Allocation (previously known as Capital maintenance)

Ensures premises are fit for purpose and remain in good repair and enable improvements for the benefit of the pupils.

39

Devolved Formula Capital

The Devolved Formula Capital grant enables works to update infrastructure, the purchase of classroom and IT equipment to further learning.

PE & Sports

The Sports and PE grant is a DfE grant that facilitates the purchase of sports equipment, training and attendance at sporting events to develop the sporting skills of the pupils.

Pupil Premium

The Pupil Premium grant is funding to improve education outcomes for disadvantaged pupils in schools in England. Evidence shows that disadvantaged children generally face additional challenges in reaching their potential at school and often do not perform as well as other pupils.

Recovery Premium

The Recovery Premium grant is part of the governments package of funding to support pupils whose education has been impacted by COVID-19. It is focused on Pupil Premium eligible pupils in specialist settings such as special schools, special units and pupil referral units. This is because of the pandemic on these students.

Teachers pay

The teachers' pay grant is a DfE grant that provides funding for schools to support the annual teachers' pay awards.

Teachers’ pension

The teachers’ pension employer contribution grant supports schools and local authorities with the cost of the increase in employer contributions to the teachers’ pension scheme.

School Led Tutoring

The School Led tutoring grant is to support disadvantaged pupils in catch-up learning and schools will select the pupils in need of support. This will focus on providing tuition to pupils eligible for Pupil Premium but also includes pupils with other types of disadvantage or additional needs.

40

PARAYHOUSE SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 AUGUST 2025

18. ANALYSIS OF NET ASSETS BETWEEN FUNDS

----- Start of picture text -----
||||| |---|---|---|---| |Unrestricted|Restricted|TOTAL| |funds|Funds|2025| |£|£|£| |Tangible fixed assets|12,294|51,557|63,851| |Current assets|1,957,504|48,187|2,005,691| |Current liabilities|(159,028)|(5,071)|(164,099)| |──────|──────|──────| |1,810,770|94,673|1,905,443| |=========|=========|==========|

----- End of picture text -----

ANALYSIS OF NET ASSETS BETWEEN FUNDS – PRIOR YEAR

----- Start of picture text -----
||||| |---|---|---|---| |Unrestricted|Restricted|TOTAL| |funds|Funds|2024| |£|£|£| |Tangible fixed assets|7,580|89,480|97,060| |Current assets|1,663,656|18,937|1,682,593| |Current liabilities|(63,513)|(3,898)|(67,411)| |──────|──────|──────| |1,607,693|104,519|1,712,212| |=========|=========|==========|

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PARAYHOUSE SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (Continued)

FOR THE YEAR ENDED 31 AUGUST 2025

19. PRIOR YEAR STATEMENT OF FINANCIAL ACTIVITIES

	Unrestricted	Restricted	Total
	Funds	Funds	2024
	£	£	£
INCOME FROM:
Donations, legacies and grants	553,391	220,218	773,609
Charitable activities	982,861	-	982,861
Investments	43,746	-	43,746
Other income	83,607	-	83,607
	──────────	──────────	──────────
Total income	1,663,605	220,218	1,883,823
	──────────	──────────	──────────
EXPENDITURE ON:
Charitable activities	1,489,148	283,234	1,772,382
	──────────	──────────	──────────
Total expenditure	1,489,148	283,234	1,772,382
	──────────	──────────	──────────
NET INCOME	174,457	(63,016)	111,441
Transfers between funds	-	-	-
	──────────	──────────	──────────
NET MOVEMENT IN FUNDS	174,457	(63,016)	111,441
	──────────	──────────	──────────
RECONCILIATION OF FUNDS
Fund balances brought forward	1,433,236	167,535	1,600,771
	──────────	───────────	──────────
Fund balance carried forward	1,607,693	104,519	1,712,212
	==========	==========	==========

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