LOCHINVER HOUSE SCHOOL (Limited by guarantee) REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2024 Charlty Number: 1091045 Company Number: 04374254
LOCHINVER HOUSE SCHOOL HEAD'S REPORT FOR THE YEAR ENDED 31 AUGUST 2024 HEAD>S REPORT As Headmaster, l am pleased to reflect on another year of joyful and successful learning at Lochinver House. The past twelve months have seen our school community thrive, with a shared commitment from staff and parents to ensure the very best outcomes for our pupils. Lochinver House is a special place, defined by its close-knit community. We understand that for our pupils to excel, they need to feel secure, valued, and supported in their learning. This year, we have continued to prioritise pastoral care, offering a wide range of support systems that our pupils appreciate and trust. With this solid foundation, they flourish academically and personally, embracing the numerous curricular and co-curricular opportunities available to them. At the heart of our ethos are the core values of Kindness, Honesty, and Respect. These values are more than just words-they are embedded in daily life and guide the character development of every child. We are dedicated to nurturing well-rounded individuals, equipping them with th8 skills, aptitudes, and moral compass needed to navigate an ever-changing world. We recognise that the future is both exciling and increasingly complex. As such, we continuously assess how best to prepare our pupils for the challenges and opportunities that lie ahead. With dlverse pupil body representing a wide range of cultural backgrounds and global p8rsp8Ctives, we are committed to fostering an inclusive environment where every pupil is encouraged to think independently and globally. This year, we unveiled our new vision. A school that shapes global citizens, empowared with the skills and knowledge to make 8 Posltive difference in the world," Our updated School Aims reflect this vision, focusing on.. Nurture well-mannered pupils with moral courage, at ease with themselves, and who are inclusive of others Inspire pupils through an education of breadth and depth, with a global minds8t Encourage pupils to be intellectually curious, ambitious and not to fear failure Challenge pupils to be independent thinkers, who value different perspectives These principles resonate deeply within our school community and appeal to prospective families. Over the past year, w8've seen significant interest in our new nursery, Little Lochies, which opens in September 2024. Enrollment inquiries have exceeded expectations, underscoring the demand for our early years provision. In response to evolving parental preferences, we have also made the exciting decision to transition to co-education starting in September 2025. This phased introduction will begin with our youngest pupils, allowing us to ensure a smooth and thoughtful transition. The response from prospective parents has been ovemhelmingly positive, with growing interest from families of both boys and girls. This year has been filled with remarkable achievements. Our pupils have excelled in sports, music, drama, technology, and academic competilions. Highlights include the U11 football team becoming regional champions, qualifying for the ISFA National Finals, and our U13 basketball team winning the IAPS Nationals. Our pupils also enjoyed memorable trips, including a ski tour to the Dolomites and cultural excursions to Italy and France. Outdoor learning is highly valued, and our Forest School programme has continued to excite and provide wonderful personal development opportunities. as have our outward-bound trips. In technology, our pupils reached the National Vex Robotics championships, showcasing their innovation and problem-solving skills.
LOCHINVER HOUSE SCHOOL HEAD'S REPORT FOR THE YEAR ENDED 31 AUGUST 2024 The arts remain a cornerstone of life at Lochinver House. Over 200 individual music lessons take place each week, with pupils achieving up to Grade 8 in various instruments. Our younger choir members had the unforgettable experience of performing at the 02 Arena for the Young Voices national event, while we were once again invited to sing at St Paul's Cathedral. Drama, too, has flourished, with Year 8's final production being a highlight of the year. Our artists have excelled in competitions and taken part in some amazing exhibitions. Their self-expression has shone through a range of mediums, with great success. Academically, we continu8 to see very strong success in 11 + and 13+ exams, with a high proportlon of pupils gaining entry to their first-choice senior schools. This success is a testament to our purpose- built curriculum and the dedication of our talented staff, who go above and beyond to ensure each child reaches their full potential. Our destination senior schools are aspirational, and the number of places gained by our pupils is exceptionally high. Our relatlonship with parents Is central to our success. We value the close partn8rship bebNeen home and school and are grateful for the ongoing support of our proactive PTA, whose events further strengthen our vibrant community. In summary, the 2023-24 academic year has been one of growth, achievement, and innovation. I extend my deepest gratitude to our dedicated staff, enthusiastic parants, and, most importantly, our wonderful pupils, whose successes we celebrate with pride. Jonathan Wadgo Headmaster
LOCHINVER HOUSE SCHOOL GOVERNORS, REPORT FOR THE YEAR ENDED 31 AUGUST 2024 The Directors present thelr report and audited financial statements for the year ended 31 August 2024. Referènce and Admlnlstrative Information Lochinver House School was founded by Trust Deed In 1947. A Company Limited by Guarantee. Lochlnver House School, was incorporated on 14 February 2002 to own and manage the school. The assets and liabilities of the school were transferred from Lochinver House School Trust to the Limited Company on 1 April 2002 when il commenced its educational activities. The schciol is a reglstered charity, number 1091045 and is constituted as a company limited by guarantee. Its objects, powers and other constitulional matters are set out in its Memorandum and Articles of Association. It is governed by a Board of Governors which is responsible for setting the strategic direction of the school and for establishing policy. The financial statements and report comply with the current statutory Memorandum and Articles of Association and the Statement of Recommended Practice- Accounting and Reporting by Charities (SORP 2015), The Charities Act 20118nd the Companies Act 2006. Directors The governing body of the company is known as the Board of Governors. The Members of the Board are also the charity Governors for the purposes of charity law and Directors for the purpose of company law. They are also the company members. Throughout this report they are collectively referred to as the Governors. Those who served during the year and since the year end were.. N Gilbert D A Taylor B Aitken H Chapman M Collier S Coombs A Engllsh J Gillesple D Hamalis Chair Vice Chair & Chair: Nominations and Governance Committee Chair.. Finance and General Purposes Committee Appoinled.. 1 September 2024 Resigned.. 15 February 2024 Resigned,. 4 October 2023 Resigned,. 6 December 2023 Reslgned., 11 July 2024 Chair.. Education Committee, Safeguarding Lead Resigned: 19 June 2024 Appointed: 1 September 2024 Appointed: 1 September 2024 O Jacobs S Joshi R Lane J Le Couilliard C Mllls Appointed: 4 October 2023 Appointed: 1 September 2024 Resigned: 20 March 2024 Appointed: 1 September 2024 K Owen H Philp G Sriskanthan J Taylor-cummings A Walker A Ward The Governors are elected at a full Governors, Meeting for a term of three years. They can be re-elected for up to three further consecutive terms of three years but shall not then be eligible for re-election without a break of at leasl twelve calendar months except by resolution of the Board.
LOCHINVER HOUSE SCHOOL GOVERNORS, REPORT (continued) FOR THE YEAR ENDED 31 AUGUST 2024 Key Executives and Professional Advisars The Hoad J Wadg8 BA (Hons), PGCE, NPQH Bursar I CompanySecr8tary J Long Address Lochinver House School Heath Road Little Heath Potters Bar Hertfordshire EN61LW Bankers National Westminster Bank Commercial Banklng 1st Floor 30 Clarendon Road Watford, Hertfordshire WD171GQ Sollcltors Veale Wasbroughvizards Orchard Court Orchard Lane Bristol BS15WS Audltors Haysmac LLP 10 Queen Street Place London EC4R 1AG
LOCHINVER HOUSE SCHOOL GOVERNORS, REPORT {¢ontinued) FOR THE YEAR ENDED 31 AUGUST 2024 Structurè, Governance and Managemènt Governing Document The Company is governed by its Articles of Association. The Articles were reviewed and updated in 2024. The objecls of the Company are 'to advance education for the public benefit, including (but not limited to) the operation of the school known as Lochinver House School, Potlers Bar,. Govornlng Body The Governors are Directors and are elected at a meeting of the Board of Governors. Governors are recruited by nomination taking regard of special skills, personal qualities and the principles of diversity and inclusion to ensure that the Board retains an effective balance of expertise to strengthen the management of the Charity and reflects the composition of its stakeholders. Governors are eligible to serve for an initial period of three years. Gov•rnorTralnlng New Governors are provided with an induction pack containing Board policy and procedures, schemes of governance and information regarding the work and operations of the School. Governors are encouraged to allend suitable training courses which deal with their responsibilities in relation lo the Companies Act, Charity Law and Department for Education requirements as the need arises and are encouraged to attend new Governor induction courses. Organisatlonal Management There are normally three full Board Meetings each year where the Governors meet and review the policies of the Charity for which they are responsible, The Flnance and General Purposes Committee meet to review budgets, accounts and reports and makes recommendations to the Board of Governors. The Governors havea programme of regular visits to the school to witness and monitor the charity's work In actlon. Day lo day running of the School is delegated lo the Head and the Bursar. supported by the School Senior Leadership Team. The school, through its officers, is represented in several organisations including the Association of Governing Bodies of Independent Schools {AGBIS), the Independent Association of Prep Schools (IAPS) and the Independent Schools, Bursars'Association (ISBA). Structure and Relatlonshlps The Head is an active member of IAPS which promotes and maintains standards in preparatory schools. The school takes an active part in numerous professional Studies for the evaluation of quality and performance. We co-operale with as many local charities, clubs and associaiions as we can to widen public access to the education we provide and promote the educational benefiis of using our sporting facilities. We have an arrangemenl with a local state junior school that use our sclence laboratories each week which makes a positive contribution to their education. Objects, Publlc Beneflt, Alm8, Objectlves and Prlnclpal Actlvltles The school's aim is to provide public benefit, in compliance with the duty in Section 17(5) of the Charities Act 2011 to have due regard to the Charity Commission's published general and relevant sub-sector guidance. and in accordance with its Articles of Association, which is to advance education through the operation of Lochinver House School. Strateglc Aim and Intended Effect The Board's strategic aim is to reach its annual objective for the public benefit as a charitable Independent School through the provision of a high-quality education for children between the ages of four and thirteen to allow them to achieve the highest academic standards in preparation for entry into the senior school of their own and their parents, choice.
LOCHINVER HOUSE SCHOOL GOVERNORS, REPORT (continued) FOR THE YEAR ENDED 31 AUGUST 2024 Our wider admission policy enables us to help a small number of boys from lower income or otherwise disadvantaged families to benefit from the core educational provision and the extra-curricular programme. The school also aims to draw out all boys, abilities and academic potential and to develop their wider interests in life within a secure and stsble environment to enable them to participate in society and their community. Prlnclpal Actlvlty The school's princlpal activlty continues to be the provision of an excellent standard of education for boys aged four to thlrteen. Objectlvos The Board's main objectlve is to educate all puplls to a high standard each year, whlch beneflts their chosen senior school for the completion of their educatlon. The school is in the process of developing a new five-year strategy under the leadership of the new Head. The schoo5 is committed to reviewing its academlc syllabus and teachlng methods. The facilities are upgraded regularly to provlde modern buildings and amenities, whlch stlmulate the puplls in all areas of their development. The Board's other objective is to develop bursaries wlth a view to further Increaslng the School's Intake of boys from lower Income families and to extend working arrangements with other charities and state schools to provlde access to our facilities for those who cannot come to the School itself. We set aside funds for bursary awards to help a few boys in need of asslstance with school fees. Revlew ofAchlevements and Performan¢• for the Year Academlc The achievements of pupils demonstrate the school's continued success. Lochinver puplls are In demand and In the last 10 years we have sent them to over 20 different schools. Our leavers gain successful entry to thelr chosen senlor schools. 29 boys transitioned at 13+: Aldenham 3, Haileybury 3, Harrow 1, Merchant Taylors 2, Mount House 1, St Albans 11, St Columba's College 2, St Margaret's 3, St Edmund's 1 and Habs Boys 1. A further 18 boys left us at 11 +: Aldenham 1, Alexandra Park Academy 1. Ark Pioneer Academy 2, Dame Alice Owen 2, Goffs Academy 1, Haileybury 1, Latymer 1, Manchester Grammar School 1, QE Boys 1, Sevenoaks School 1, St Albans School 3 and Habs Boys 3. These accomplishments have been made possible by the recruitment of the highest quallty staff and by maintaining a hlgh teacher to pupil ratio whlch ensures that teaching methods can be sulted to individual needs. Teachlng staff regularly attend training courses in order to enhance their personal performance and to improve the quality of the curriculum, The school reviews its academlc syllabus and teachlng methods to benchmark standards and value-added criteria. Extra-currlcular actlvltles Durlng the year the School ran various overseas trips, as well a full summer programme of UK-Based residentlal term-time trips that were offered to every pupil in Years 5-8. The School mainiained its wide educational programme to provide as many extra-curricular activities for the children as possible. Hence, educational visits have been undertaken and workshops have been provided. Extended care at both ends of the day has enriched children's experlence and has supported and enabled working parents. Music remains very strong at the school with a large uptake of participants. Many of our boys learn an instrument with half of those learning or more to progress through ABRSM grade exams Our weekly composition club which builds on class music lessons and the use of Sibelius soare led to boys hearing thelr own compositions being played by a visiting professional string quartet. The school contlnues to put out a tremendous number of sports teams, supporting inclusion as well as performance at the highest level. This year, once again. we compeied against other schools across a wide range of sports including, basketball, rugby, football, athletics, cricket and cross country.
LOCHINVER HOUSE SCHOOL GOVERNORS, REPORT {¢ontinued> FOR THE YEAR ENDED 31 AUGUST 2024 Developments in tho School During the year the schod commissioned a range of projects to improve the fabric of the school and enhance facilities for the boys. Two significant projects were undertaken during the summer holidays. One was the redevelopmenl of the building adjacent to the central playground and the second project was to develop the Pre Prep Building in readiness for our incoming Little Lochies in September 2024. We have installed a sail to provide protection from the elemenls in Ihe pre prep play area, improved toilet facilities in the Pre-Prep building, re-developed the Atrium lo provide a ftexible space for welfare aclivities. completed the installation of LED lighting throughout the School and redecorated many areas as part of our annual maintenance programme. We continue to invest in IT and digital resources for the benefit of the boys, including a full upgrade of the school Wi-Fi and firewall, All boys in year 5 and above have the use of their own iPad, with classes in lower year groups all havlng dlrect access to one-to-one portable devices. Publlc Beneflt The Governors have considered the requirements explained in guidance produced by the Charity Commission, on their duty to report in the Annual Report on public benefit. Bursaries The Governors recognise that the level of independent education fees may exclude many boys from applylng for a place at the School bul they are committed to widening the access to the educ8tion offered. Accordingly. the Governors set a fixed sum to provide bursaries for those boys whose parents could otherwise not afford to send them to our School. The Governors have a formal Bursary Policy and a Governors, Bursary Award Committee assesses all applications and r8POrt to the Board. Details of bursaries are included on the School Website. The Governors budgeted £110,000 for bursaries in 2023124 (202212023: £134,000) an amount whlch is reviewed on an annual basis. In 2023124 the School supported eleven (2022123.. seven) pupils through our Bursary Scheme, one (2022123.. one} of whom were on a full bursary. The support which is available on a needs basis as determined by the Governors, Bursary Award Committee reduced annual income from scale fees by £127,436 (2022123 £77,599). The Governors have increased the level of funding for bursaries for the financial year 24125 and continue to seek to recruit bursary candidates via the Admissions process. Other Publlc Boneflt The school continues to support various good causes via the Head Boys, Charities, The donatlons support various national and local charities which benefit Ihe community. In 2023124 the charities were Downs Syndrome Association. Herts Young Homeless and British Heart Foundation. The facilities of the school are made available to outside organisations to benefit the education of children and adults. School links wilh the community continue with our association with the local yOLJth organisations. We also have strong Ilnks wlth the residents, association, printing their newsletters in-house. Equallty Dlverslty and Incluslon (EDI) The Board views EDI as an "all school" strategic priority in which all stakeholders are involved in the development and implementation, allowing us to gain a better understanding of the lived experiences of our pupils, staff, parents and community. Our EDI strategy sits alongside our Equal Opportunities Policies. A key mission is to achieve an enriched community becoming more equitable, diverse and inclusive. strengthened and anchored by our Core Values of Honesty, Kindness and Respect. Charlty Fundraising The school has nol made any fundraising appeals io the public during the year and is unlikely to do so in the future. There has been no outsourced fund raising via professional fundraisers or other third parties. As a resull. the charity is not registered wilh the fundraising regulator and received no fundraising complaints in the year.
LOCHINVER HOUSE SCHOOL GOVERNORS, REPORT (contlnued) FOR THE YEAR ENDED 31 AUGUST 2024 Volunteers Volunteers from our parent body continue to provide invaluable support to our educational programme. The school continues to enjoy the support of volunteers and parental helpers in the classroom. The level of this voluntary service is Invaluable to the school in providing the excellent level of education to which the school is committed. The Governors would like to thank all those volunteers for their valuable support. The school also appreciates the number of parents who donate their time to take boys for readingsupport. The Parent Teacher Association meets regularly to organlse and run social events to raise funds for the school. In 2023124 these included the Christmas Fayre, Easter Egg Hunt, Summer Fete and the ever-popular Bingo Night. Looklng ahead In September 2024 we wlll open our pre-prep, welcoming Little Lochies into our growlng community. The following year we are excited to welcome girls into Little Lochies, Receptlon and Years 1 and 2 as we mark Ihe start of our joumey as a coeducational prep school. From September 2024, throughout the pre-prep we will be following the Intarnatlonal Early Years Currlculum and the International Prlmary Curriculum, which offers a hollstlc approach to learning, Integrating multiple subjects, encouraging Inqulry-based learning and promoting the development of key skllls, knowledge and understanding across varlous dlsclpllnes. In September 2024 we are also excited to have appolnted our first Forest School teacher to support the broad holistic approach to learning outside of the classroom. Flnanclal Results The results are shown In the accompanying financlal statements on pages 15 to 28. Durlng the financial year, the School generated Incorne of £5,824.940 {2023: £5,514,176) from school actlvltles. Expendllure of £5,896,333 (2023: £5,377,292) wa8 Incurred. Additions to fixed assets totalled £244,412 (2023: £1,128,859) and included £47,963 {2023'. £46,513) for computer equipment, £112,003 (2023: £559.450) on building improvements and equipment, £28.740 (2023,, £48,261) on motor vehicles, and £55,706 (2023., £474.635) on fixtures & fittings. The School has an objective to achleve a surplus each year to ensure that there are sufficient reserves to manage the School prudently and to provide funds for future capilal expenditure. The accumulation of reserves to date enables the ongoing implementation of the School's Development Plan. However. in the year under review there was a deficit of £71,393 (2023: surplus of £122,134) as a result of a number of non-recurring costs includlng legal and actuarial fees to support the TPS consultation, preparing for the opening of Little Lochies, legal costs in connection wlth the decision to go co-educational from September 2025 and marketlng and strategic advice to support the School in navigating the challenges that the sector is facing. Notes 13 to 16 split the reserves between those held for a speclfic purpose (restricted funds) and Ihose available for the day-to-day requirements of the School (unrestricted funds). The School's assets are considered sufficient to meet its obligations. Key management personnel The Governors have identified the Head and Bursar as key management personnel. The salary of these key management personnel is set by the Board of Governors after assessing their performance and reviewlng market benchmarks.
LOCHINVER HOUSE SCHOOL GOVERNORS, REPORT {contlnued FOR THE YEAR ENDED 31 AUGUST 2024 Investment Pèrformance The Articles of Association permit funds to be invested in such investments, securitles and property as may be thought fit. At present investment income is generated by placing funds with up to three separate banks to minimise risk. as determlned by the Bursar, to whom such responsibilities are delegated by the Governors under the Terms of Reference of the Treasury Policy. Resources and reserve poll¢y The school's unrestricted funds represent two types of fund. The designated School Buildings" of £5,671.812 (2023: £5,671.812) represents unrestricted funds retained to finance the freehold property of the school. The balance of the unrestricted funds of £4,019.209 (2023.. £4.090.086) represents general reserves to cover normal fluclualions in working capital, to finance the continuing development of the School and to help fund provision for bursaries. The balance of restricted funds is £7,770 {2023'. £8.286) which represent funds raised by the boys for external charitable purposes. Prlnclpal Rlsks & Uncertalntle8 The Governors carry out regular reviews of the school's activities and operations. As part of that review process the Nominations and Governance Committee reviewed the actions taken, or proposed to be taken, by the School to identify and manage the main risks to which the School is exposed. Through the reports and recommendations of the Nominations and Governance Cornmittee, the Governors monitor the effectiveness of the school's internal policies and procedures for the management of such risks, including the adequacy of the school's insurance cover, The school has identlfled the following as the principal risks it faces: The turmoil in the sector that has resulted from the current government's pledge to introduce VAT on School fees. All schools are considering their long-term viabllity, and this has resulted in unprecedented changes in the way the sector meets the shifting demand for independent school education. The number of school mergers, acquisitions and closures is on scale that is creating waves in a normally stable sector. The Governors at Lochinver continue to closely monitor developments and wlll continue to respond to local developments to secure the future of the school. Mainlaining pupll numbers when birth rates are declining nationally poses a financlal rlsk. We also know that the imminent impositSon of VAT on school fees will pul further pressure on parents, many of whom are already making significant sacrifices io support the cost of the children's education. Strategies for managing this risk include the introduction of Little Lochles In September 2024 and the move to coeducation the following year. We have also Invested in marketing which is fundamental to pupil recruitment and retention. The capacity of the school to adapt practlcally and efficiently to changes in Ihe legislativ8 requirements for the education and charity sectors. Stralegies for managing this risk include detailed financial planning to ensure that the school has robust plans to mitigate the impact of the imposition of VAT on school fees and other such changes when implemented. The School also has a dedicated HR & Compliance Manager and compliance is addressed at every meeting of the Board of Governors. Senior staff and Governors undertake frequent training and receive sector updates to ensure they remain well informed of upcoming legislative changes. The Board recognises thal it is impossible to guaranlee that all risk has been eliminated entirely but strives to ensure strategies, systems and plans are in place to mitigate identifiable risks. 10
LOCHINVER HOUSE SCHOOL GOVERNORS, REPORT (continued) FOR THE YEAR ENDED 31 AUGUST 2024 STATEMENT OF DIRECTORS, RESPONS181LITIES The Governors (who are also Directors of Lochinver House School for the purposes of company law) are responsible for preparing the Governors, Report and th8 finanGial stat8ments in accordance with applicable law and United Kingdom Accounting Standards (Unlted Klngdom Generally Accepted Accounting Practice). Company law requires the Governors to prepare financial 5taternents for each financial year which give a true and falr vlew of the state of affairs of the charitable company and of the incoming resources and applicatlon of resources, Including the income and expenditure, of the charity for that year. In preparing these financial statements, the Governors are required to: Select suitable accounting poll¢les and then apply them ¢on8lstently', Observe the methods and principles in the Charities SORP: Make Judgements and estimates that are reasonable and prudent., State whether applicable UK Accounting standards have been followed, subject to any materSal departures disclosed and explalned In the financlal statements., Prepare the financial statements on the going concern basis unless it Is inappropriate to presume that the charltable company will continue in business. The Governors are responslble for keeplng proper accounting records that are sufficient to show and explaln the School's transactlons, disclose with reasonable accuracy at any time the financial position of the charltable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charltable company and hence for taklng reasonable steps for the preventlon and detectlon of fraud and other Irregularltles. So far as each of the Governors Is aware at the tlme the report Is approved.. there is no relevant audlt Informatlon of which the company's audltors are unaware; and the Governors have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information. AUDITOR Haysmac LLP have expressed their willingness to continue In office as auditors and a resolutlon proposing their re-appointment will be submitted at the Annual General Meeting. In approving thls Governors Report, the Board are also approving the Strategic Report Included herein their capacity as company directors. Approved bythe Board of Directors at its meeting on 11 11. 2aw and signed on Its behalf by: kJ3¥M- N D Gilb¢rt Chalr
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF LOCHINVER HOUSE SCHOOL Opinion We have audlted the financial slatements of Lochinver House School for the year ended 31 August 2024 which comprise of the Statement of Financial Activities, the Balance Sheet. the Cash Flow Statement 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 Financlal 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 2024 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 Accountlng Practice., and have been prepared in accordance with the requlrements of the Companies Act 2006. Basis for oplnlon 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 responsibilitles forthe 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 wlth these requirements. We believe thal the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Concluslons relatlng to golng concern In auditing the financial statements, we have concluded that the Governors, use of the going concern basis of accounting in the preparation of Ihe financial slatements is appropriate. Based on the work we have performed, we have not Identified any material uncertainties relaiing to events or conditions that, individually or collectively. may cast significanl doubt on the charitable Company's abillty 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 Governors with respecl to going concern are described in the relevant sections of this report. Other Informatlon The Governors are responslble for the other Information. The other information comprises the information included In the Governors, Report. Our opinion on the financial statements does not cover the other Information and, except to the extent othemise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial slalements. our responsibility is to read the other information and, in doing so, consider whelher the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or olherwise appears to be malerially 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 materlal mlsstalement of thls other informatlon, we are required to report that fact. We have nothing to report in Ihis regard. Oplnlons on other matters prescribed by the Companles Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the Governors. Report (which includes the strategic report and the directors, report prepared for Ihe purposes of company law) for the financial year for which the financial statements are prepared is consislent with the financial statements., and the strategic report and the directors, report included within the Governors, Report have been prepared in accordance with applicable legal requirements. 12
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF LOCHINVER HOUSE SCHOOL (Continued) Matters on which we are requlred to report by exceptlon In the light of the knowledge and understanding of the charitable company and its envlronment obtained in the course of the audit, we have not identified material m15Statements in the Governors. Report (which incorporates the strategic report and the directors, report). We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requlres 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 relurns,. or certain disdosures of Governors, remuneration specified by law are not made; or we have not recelved all the information and explanations we require for our audit Re8ponslbllltles of Gov•rnors for tha flnanclal 8tatement8 As explained more fully in the Governors, responsibilities statement set out on page 10, the Governors are responsible for the preparatlon of the financial statements and for being satlsfied that they give a true and falr vlew. and for such internal control as the Governors determine is necessary to enable the preparation offinancial statements that are free from material misstatement, whether due to fraud or error. In preparlng the financial statements, the Governors are responsible for assessing the charltable company's ability to continue as a going concern, dlsclosing, as applicable. matters related to golng concern and using the going concern basls of accountlng unless the Governors either Intend to liquidate the charltable company or to cease operations, or have no realistic alternative but to do so. Audltorf8 re8ponslbllltle8 for the audlt of tha flnanclal statement8 Our objeclives are to obtaln reasonable assurance about whether the flnancla5 statements as a whol8 are free from material mlsstatement, whether due to fraud or error, and to Issue an audltor'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 materlal misstatement when it exists. Misstatements can arlse from fraud or error and are considered material If, Indlvldually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basls of these financial statements. Irregularltles, Includlng fraud, are Instances of non-compliance wlth laws and regulations. We desSgn procedures in line with our responsibilitSes. outlined above, to detect materlal misstatements in respect of irregularities, Including fraud. The extent to which our procedures are capable of delecting irregularities, including fraud is detalled below: Based on our understandlng of the charitable company and the environment In whlch It operates, we identified that the principal risks of non-compliance with laws and regulatlons related to ISI regulations, health and safety law, safeguarding regulatlons, GDPR and employment law. 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 211 and payroll tax. 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 journals to revenue and management blas In accounting estimates. Audit procedures performed by the engagement team included: Inspecting correspondence wlth regulators and tax authorities,. Discussions with management including consideration of known or suspected instances of non- compliance wilh laws and regulation and fraud,. Evaluating management's controls designed to prevent and detect Irregularities., Identifying and testing journals, in particularjournal enlries 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 13
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF LOCHINVER HOUSE SCHOOL (contlnued) 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.or .uklauditorsres sibilities. 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. kLJ Thomas Wibon (Senior Statutory Auditor) For and behalf of Haysmac LLP, Statutory AudStor Date 18112124 10 Queen Street Place London EC4R 1AG 14
LOCHINVER HOUSE SCHOOL STATEMENT OF FINANCIAL ACTIVITIES {Incorporatlng Income and expendlture account) FOR THE YEAR ENDED 31 AUGUST 2024 Restrlcted Unrestrlcted Fund Fund Total 2024 Total 2023 Note INCOME FROM: Voluntary Incomo Donations 9,234 11,496 20.730 24,506 Charltabl• actlvltles School Fees receivable Registration fees and other Income 5,508,912 184,581 5,508,912 184,581 5,295,335 139.885 Other tradlng actlvltles Rents and letllngs Investment income 13,067 87,888 13,067 87,888 7,871 46,579 Other Income 9,762 9,762 Total Incom• 9,234 5,815,706 5,824,940 5.514,178 EXPENDITURE ON.. Charltabl• Actlvltles School Operating costs 9,750 5,886,583 5,896,333 5,392,042 Total oxpendlture 9,750 5,886,583 5,896,333 5,392,042 Net (oxpendlture)Iln¢ome (516) (70,877) {71,393) 122,134 Transfers between funds Net movement In funds (516) (70,877) {71,393) 122,134 Balances brought forward 8,286 9,761,898 9,770,184 9,648,050 Balance8 at carrled forward 13 £7,770 £9,691,021 £9,698,791 £9,770,184 There were no acquisitions or discontinued activities durlng the year. There were no other recognised gains or losses during the year. The accompanying notes form part of these accounts. 15
LOCHINVER HOUSE SCHOOL Company No. 04374254 BALANCE SHEET AS AT 31 AUGUST 2024 2024 2023 Notes FIXED ASSETS Tanglblé assets School land. buildings and equipment 6,397,336 6.451,769 CURRENT ASSETS Debtors Cash at bank and In hand 10 203,635 4,364,304 160,226 4,868,304 4,567,939 5.028,530 CREDITORS: amounts falling due within one year 11 (1,120,809) (1,556.390) NET CURRENT ASSETS 3,447,330 3,472.140 TOTAL ASSETS LESS CURRENT LIABILITIES 9,844,666 9,923,909 CREDITORS: amounts falling due after one year 12 (145,875) (153,725) TOTAL NET ASSETS £9,698,791 £9,770,184 CAPITAL AND RESERVES Unrestricted funds Designated.. School Buildlngs General funds 13 5,671,812 4,090,086 9,691.021 15 9,691,021 9,761,898 Restricted funds 16 7.770 8,286 £9,698,791 £9,770,184 Approved by the Board of Directors at its meeting on i l Trd Cernty 2LX4 and slgned below on ils behalf by". N D Gilbert Chair of Governors 16
LOCHINVER HOUSE SCHOOL CASH FLOW STATEMENT FOR THE YEAR ENDED 31 AUGUST 2024 2024 2023 Cash flows from operatlng actlvltles: Net cash pmvided by operatlng activltios (364,877) 809,164 Cash flows from Investlng actlvltles: Interest received Proceeds from sale of fixed assets Payments for tanglble fixed assets 87,888 17,401 {244,412) 46,579 3,050 (1,128,860) Net cash used In Investlng actlvltles {139,123) (1,079.231) Change In cash In the reportlng year (504,000) (270,067) Cash at the beglnnlng of the reportlng year 4,868,304 5,138,371 Ca8h at tho end of the reportlng year £4.364,304 £4,868,304 Reconclllatlon of net Incomo to nat ca8h flow from operatlng actlvltl•s 2024 2023 N•t (doflclt) Income for tho roportlng year {a8 per the statement of flnanclal actlvltles) Adjustments for: Depreciation charges Loss (Profit) on dlsposal of flxed assets Interest received (Increase) in Debtors (Decrease) Increase in credltors (71.393) 122,134 291,206 (9,762) (87,888) (43,409) (443,631) 252,755 68,934 (46,579) (52,365) 464,285 N•t ¢ash provlded by oporatlng actlvltles £(364,877) £809,164 Analys18 of ¢ash and cash equlvalents 2024 2023 Cash at bank 4,364,304 4.868,304 Total cash and cash equivalent8 £4,364,304 £4,868,304 17
LOCHINVER HOUSE SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2024 ACCOUNTING POLICIES The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance wlth the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (Charitles SORP Second Edition, effective 1 January 2019). the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The functional currency of the school is considered to be GBP because that is Ihe currency of the primary economic environmenl in which the school operates. The school is a Public Benefit Entity registered as a charity in England and Wales and a company limited by guarantee (Gompany number.. 04374254 and charity number.. 1091045). a) Ba818 of Preparatlon The accounts are prepared under the historical cost conventlon. b) Golng concern Having reviewed the funding facilities available to the school together with the expected ongolng demand for places and the school's future projected cash flows. the Governors have an expectation that the school has adequate resources to continue its activities for the foreseeable future and consider that there were no material uncertainties over the school's financial viability. Accordingly, they also conlinue to adopt the going concern basis in preparing the financial statements as outlined in the Statement of Accounting and Reporting Responsibilities on page 11. c) Crltlcal accountlng Judgements and key sources of estlmatlon unc•rtalnty In the applicalion of the accounting policies, Governors are required to make judgement. estimates, and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other f8Ctors that are 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 ye8r in whlch the estimate is revised if Ihe revision affects only that year, or In the year of the revision and future years if the revision affected currenl and fulure years. Judgements made by the Governors, in the application of these accounting policies that have significant effect on th8 financial statements 2nd eslimates with a significant risk of material adjustment in the next year are deemed to be in relation to the depreciation rales of tangible fixed assets and are discussed below. In the view of the Governors, no assumptions concerning the fulure or estimation uncertainly affecting assets or liabilities at the balance sheet date are likely to result in a material adjuslmenl to their carrying amounts in the next financial year. d) Fees and Slmllar Income Fees receivable and other fees are accounted for in the year in which the service is provided. Fees receivable represent fees less bursaries and allowances and other income derived from the School's continuing activilies. e) Investment Income Investment income from bank balances and fixed interest securitles is accounted for on an accruals basis. 18
LOCHINVER HOUSE SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2024 ACCOUNTING POLICIES (Gontlnued) fj Donatlons, legacle8, grants and other voluntary Incorne Voluntary income is accounted for as and when entitlement arises, the amount can be reliably quantified and the economic benefit to the School is considered probable. g) Expendlture Expenditure is accounted for on an accruals basis and are allocated to expense headings on a dlrect cost basis. The irrecoverable VAT Is Included wlth the Item of expense to whlch It relates. Governance costs comprise costs incurred in meetlng statutory and constitutlonal requirement8 of the School. h) Tanglble Flxed Assets No depreciation is provided on freehold land. For all other assets, depreciation is calculated to write off the cost ofthe item over the anticipated useful life as follows: Freehold buildings Fixtures, flttlngs andequipment Long-iem) fixtures, fittings and equlpment Computer equipment Motor vehicles 2Vo Stralght Ilne basls 250/0 Straight line basis 40A straight line basis 25¥0 Straight line basis 25% reduclng balance basls Items costlng less than £1,000 are wrltten off as an expense as acqulred. Items are depreclatedonly for six months in the year of acquisition, l) Penslon contrlbutlon8 The company contributes to the Teachers, Penslon Scheme at rates set by the scheme actuary. It is part of a multi-employer scheme and it is not possible to atlrlbute a v81ue to the scheme assets and liabilities which would be appropriate to the company. In accordance with FRS 102 Ihe scheme Is accounted for as rf it were a defined contribution scheme. The assets of the scheme are held separately from those of the company. The pension cosl charge represents the amount ofthe contributions payable to the scheme Sn respect of the year. With effect from 1 August 2024, the school's penslon provider for teachers Jolnlng the School and for teachers choosing to opt out of the Teachers, Pension Scheme is the Aviva Pension Trust for Independent Schools (APTIS). The company also contributes to personal pension schemes for non-teaching staff and contributions to both these schemes are charged to the Statement of Flnanclal Actlvitles In the year in which they are incurred. J) Unrestrlcted Funds Unrestricted Funds are funds applied at the discretion of the Governors In furtherance of the objects of the School. k) Restrlcted funds This represents the monies received for specific purposes as disclosed in note 16. 19
LOCHINVER HOUSE SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2024 ACCOUNTING POLICIES (¢ontlnued) l) Financlal instrument8 Basic financial instruments are initially recognised at transaction value and subsequently measured at amortlsed apart from investments which are held at falr value, Financlal assets held amortised cost Gomprise cash at bank and in hand, together with trade and other debtors. A specific provision is made for debts for which recoverability is in doubt. Cash at bank and in hand is defined as all cash held in instanl access bank accounts and used as worklng capital. Financlal liabilities held at amortised cost comprise all creditors except social security and other taxes and provisions m) Trade and other debtors are recognised at the settlement amount due after any trade dlscount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. n) Cash at bank and In hand Cash at bank and cash In hand includes cash and short term highly liquid investments. o) Credltors and provl8lon8 Creditors and provisions are recognised where the School has a present obllgation resulting from a past evenl that will probably result in the transfer of funds to a Ihird party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. 20
LOCHINVER HOUSE SCHOOL NOTES TO THE FINANCIAL STATEMENTS (contlnued) FOR THE YEAR ENDED 31 AUGUST 2024 FEES RECEIVABLE Unr6strlcted funds 2024 Unrestrlcted funds 2023 Gross fees Less.. tolal bursaries and staff concessions 5,659,722 {150,810) 5.402.652 (107,317) Fees Receivable £5,508,912 £5,295,335 REGISTRATION FEES AND OTHER INCOME Unrestrlcted Unrestrlcted funds funds 2024 2023 Registration and other fees includlng Inltlal deposits forfeited Sundry income Before & After School clubs and muslc tultlon 60,001 25,317 99,263 54,641 13,555 71,689 £184,581 £139,885 STAFF COSTS 2024 2023 Staff costs incurred were asfollows: Wages and salarles Social securlty costs Other pension costs Other Costs 3,109,258 314,889 545,962 131,176 2,867,763 288,420 476,770 132,897 £4,101,283 £3,765,850 Included in Wages and Salaries, there Ss a termination payment made in the year totalllng £21,000. The average number of employees during the year within each category of persons was,. Number Number Teachlng Welfare and premlses Administration 84 21 10 18 95 The Governors received no remuneration. No Governors were reimbursed expenses durlng the year (2023.. £nil). Aggregate employee benefits of key management personnel £180,732 £166,517 21
LOCHINVER HOUSE SCHOOL NOTES TO THE FINANCIAL STATEMENTS (contlnued) FOR THE YEAR ENDED 31 AUGUST 2024 STAFF COSTS (contlnued) The number of higher paid employees (including taxable benefit5 but excluding employers, pension contributions) to 31 August 2024 was: 2024 Number 2023 Number £60.001- £70,000 £70,001 - £80,000 £100,001- £110.000 The School participates in the Teachers, Pension Scheme ("the TPS"), for Its teaching staff. The pension charge for the year includes Contributions payable to the TPS of £427,337 (2023: £424.402) and at the year- end £55,634 (2023.. £44,574) was accrued In respect of contributions to this scheme. The TPS is an unfunded multi-employer defined benefits pension scheme governed by The Teachers. Pensions Regulations 2010 (as amended) and The Teachers, Pension Scheme Regulations 2014 las amended). Members contribute on a "pay as you go" basis wilh contributions from members and the employer being credited 10 the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament. The employer contribulion rate is sel by Ihe Secretary of State following scheme valuations undertaken by the Government Actuary's Department. The most recent actuarial valuation of the TPS was prepared as at 31 March 2020 and the Valuation Report was published in October 2023. Following the Mccloud judgement, the remedy proposed that when benefits become payable, eligible members can select to receive them from either the reformed or legacy schemes for the period 1 April 2015 to 31 March 2022. The actuaries have assumed thal members are likely to choose the option thal provides them with the greater benefits, and in preparing the 2020 valuation has valued the 'greater value, benefits for groups of relevant members. The employer contribution rate for the TPS is 28.60/0, and employers are also required to pay a scheme administration levy of 0,08°k giving a tolal employer contribution rate of 28.680/0. 22
LOCHINVER HOUSE SCHOOL NOTES TO THE FINANCIAL STATEMENTS {contlnued) FOR THE YEAR ENDED 31 AUGUST 2024 EXPENDITURE 2024 2023 Direct charitable expendlture includes: Depreciation £291,206 £252,755 Governance costs Include: Auditors, remuneration audlt non audit Dlr8Qtors liability insurance 18,000 1,920 13,250 1,500 1,548 INVESTMENT INCOME Unrestrlcted fund8 2024 Unrestrlctod funds 2023 Bank interest £87,888 £46,579 7. ANALYSIS OF TOTAL EXPENDITURE Staff cost8 Total 2024 Other Deproclatlon Charltable a¢tlvltla8 School Operating Costs: Teaching Welfare Premises and equipment Support and governance costs Head Boys, charltable donations 3,216.360 132,198 252,176 500,549 324,407 133,235 689,666 346,786 9,750 3,540,767 265,433 1,233,048 847,335 9,750 291,206 £4,101.283 £1,503,844 £291,206 £5,896,333 23
LOCHINVER HOUSE SCHOOL NOTES TO THE FINANCIAL STATEMENTS {continued) FOR THE YEAR ENDED 31 AUGUST 2024 ANALYSIS OF TOTAL EXPENDITURE (Prior Year) Year-ended Total 2023 Staff C08ts Other Depreclatlon Charltable a¢tlvltl•s School Operating Costs.. Teaching Welfare Premises and equipment Support and governance costs Head Boys, charitable donations 3,008,396 113,664 237,333 406,457 262,579 126,827 749,060 227,171 7,800 3,270,975 240,491 1,239,148 633,628 7,800 252,755 £3,765,850 £1,373,437 £252,755 £5,392,042 PENSION COMMITMENTS Staff costs include payments by the company to the Teachers, Pensions Scheme of £427,337 (2023: £424,402) and to individual defined contribution schemes on behalf of certain employees of £82,040 (2023.. £52,368). The amount owing at the year-8nd in respect of TPS was £55,634 (2023.. £44,574). There was nothing owing in respect of the defined conlribution schemes (2023 £nil). 24
LOCHINVER HOUSE SCHOOL NOTES TO THE FINANCIAL STATEMENTS (contlnued) FOR THE YEAR ENDED 31 AUGUST 2024 9. TANGIBLE FIXED ASSETS Flxtures Flttlngs & Computer Motor Equlpment Equipment Vehicles Freehold Land Freehold Bulldlngs Total Cost At 1 September 2023 Additions Disposals 425.806 7,265,198 875,459 476,223 168,525 9,211,211 112.003 55,706 (89,627) 47,963 28,740 244.412 {24,145) (113.772) At 31 August 2023 425,806 7,377,201 841.538 524,186 173.120 9.341,851 Depreclatlon At 1 September 2023 Charge for the year Dlsposals 2,019,191 273,565 368,268 98,418 2,759,442 142,874 74,777 (89,627) 54,345 19,210 291,206 (16,506) (106,133) At 31 August 2024 2,162.065 258,715 422,613 101.122 2,944,515 Net Book Valuo At 31 August 2024 425,806 5,215,136 582,823 101.573 71,998 6,397.336 At 31 August 2023 425,806 5,246,007 601,894 107,955 70,107 6,451,769 The above assets Include those acqulred from Lochlnver House School Trust on 31 March 2002 for £2,985,449 being the net book value to the Trust at the date of transfer. The land and buildings were originally acqulred by that Trust In 1957 when the School was founded by Trust Deed and since that date, various Improvements and extenslons had been made to the buildings. The remainder of the assets have been acquired slnce the company was incorporated and are stated at cost less depreciatlon. 10. DEBTORS 2024 2023 Fees receivable Other debtors and prepayments 31,225 172,410 43,915 116,311 £203,635 £160,226 11. CREDITORS: amounts falllng due wlthln one year 2024 2023 Fees in advance and initial deposlts Trade creditors Other creditors and accruals 492,381 152,728 475,500 523,027 115,142 918,221 £1,120,609 £1,556,390 25
LOCHINVER HOUSE SCHOOL NOTES TO THE FINANCIAL STATEMENTS (contlnued) FOR THE YEAR ENDED 31 AUGUST 2024 12. CREDITORS: amounts falling due after more than ono year 2024 2023 Long term deposits held £145,875 £153,725 13. MOVEMENT IN FUNDS Balance at 1 September 2023 Transfer tol(from) fund Balance at 31 August 2024 Income Expenditure Unrestricted funds School Buildings fund Other reserves 5,671,812 4,090,086 (5.671,812) 5,671,812 5.815,706 (5,886,583) 9,691,021 9,761,898 5,815,706 (5,886,583) 9,691,021 Restricted funds 8.286 9,234 (9,750) 7,770 Total £9,770,184 £5,824,940 £{5,896,333) £9,698,791 MOVEMENT IN FUNDS (Prior Year) Balance at 1 September 2022 Balance at 31 August 2023 Transfer tol Expendlture (from) fund Income Unrestricted funds School Buildings fund Other reserves 5,280,099 4,359,657 391,713 (5.384,242) (391.713> 5,671,812 4,090.086 5,506,384 9,639,756 5,506,384 (5,384,242) 9,761,898 Restricted funds 8.294 7.792 (7,800) 8,286 £9.648,050 £5,514.176 £(5,392.0421 £9,770,184 14. ANALYSIS OF NET ASSETS BETWEEN FUNDS 2024 Total Unrestrlcted Restrlcted Fixed assets Debtors Cash at bank and in hand Creditors 6,397,336 203,635 4.356,534 (1,266.484) 6,397,336 203,835 4,364,304 {1,266,484) 7,770 £9,691,021 £7,770 £9.698,791 26
LOCHINVER HOUSE SCHOOL NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 AUGUST 2024 ANALYSIS OF NET ASSETS BETWEEN FUNDS (Prior Year) 2023 Total Unrestrlcted R•strlcted Fixed assets Debtors Cash at bank and in hand Creditors 6,451,769 160,226 4,860,008 (1.710,115) 6.451,769 160,226 8,296 4.868,304 (1,710,115) £9.761,888 £8,296 £9,770,184 15. UNRESTRICTED FUNDS The School's unrestricted funds amount to £9,675,804 {2023 - £9,761,898). During the year the Governors decided to combine the School Bullding Fund (a nominal designated fund) with other general reserves as the designatlon was no longer requlred. The unrestricted funds represent free reserves lo cover normal fluctuations In working capital and to finance the contlnuing development of the School Including maintaining and Improving the underlying fixed assets. 16. RESTRICTED FUNDS The restricted funds of £7,770 (2023: £8,286) relate to monies held by the School on behalf of pupils for external charitable purposes. Transfers from restrlcted funds have been made to reflect the assets funded from restricted donations becoming unrestricted upon purchas8. 17. CAPITAL COMMITMENTS There were no capltal commltments at the year end {2023 - £nll). 18. FINANCIAL COMMITMENTS At 31 August 2024 the charlty had annual commitments under non-cancellable operating leases of £6,682 due withln one year {2023: £6,682) and £6,676 due between two and five years (2023: £13,358). 19. TRANSACTIONS WITH RELATED PARTIES During the year the company paid for the Directors, 118bility insurance. The cost of the premium is Included within the total Cost of insurance and amounted to £1,548 {2023: £1,548). During the year, the School pald £3,360 (2023 £2,946) to Helen Phllp. a Governor of the School for her services as a supply teacher. There were no other related paty transactions durlng the year (2023.. None). 20, LIABILITY OF MEMBERS The Company is limited by guarantee and as such each member has guaranteed to contribute a sum not exceeding £10 to the assets of the company in the event of it being wound up and unable to pay its debts. 27
LOCHINVER HOUSE SCHOOL NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 AUGUST 2024 21. NET DEBT RECONCILIATION At1 Septemb•r 2023 Other non- cash changes At31 August 2024 Cashflow8 Cash at bank and in hand £4,868.304 £(504,000) £4,364,304 Other non- cash changes At31 August 2023 September 2022 Cashflows Cash at bank and in hand £5.138,371 £{270,067) £4,868,304 28