DRAFT
LOCHINVER HOUSE SCHOOL (Limited by guarantee)
REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025
Charity Number: 1091045 Company Number: 04374254
LOCHINVER HOUSE SCHOOL
HEAD’S REPORT
FOR THE YEAR ENDED 31 AUGUST 2025
As Headmaster, I am delighted to report on another remarkable year at Lochinver House, one that has seen our school community continue to flourish and take confident strides into an exciting new chapter of its story. Throughout the year, our pupils, staff, and parents have demonstrated the values that define Lochinver House; Kindness, Honesty, and Respect, ensuring that the spirit of our school remains strong, inclusive, and forward-looking.
Our ethos remains rooted in nurturing each child to feel valued, supported, and inspired to achieve their very best. Whether in the classroom, on the sports field, in the concert hall, or through our wide range of cocurricular opportunities, pupils have continued to approach every challenge with enthusiasm, courage, and a sense of curiosity. Their achievements are a source of great pride and a testament to the exceptional care and dedication of our staff.
This year has been particularly notable for the successful launch of Little Lochies , our new nursery provision for three and four-year-olds. From its opening in September 2024, Little Lochies has thrived as a warm, nurturing environment where our youngest learners take their first joyful steps into education, supported by an ambitious programme of learning. The positive response from parents and the happy, confident children who fill the nursery each day confirm the success of this exciting addition to our school.
Looking ahead, the academic year 2024–25 will also be remembered for the introduction of girls into Reception and Little Lochies from September 2025; the first girls to join Lochinver House in its proud history. This development marks a natural and thoughtful evolution for our school. We have already begun a series of engaging events to welcome our newest members and their families into the community, ensuring that every pupil continues to feel that vital sense of belonging that defines the Lochinver experience. The enthusiasm and interest from prospective families has been overwhelmingly positive, reaffirming our belief that coeducation will strengthen and enrich our school community.
Perhaps the most significant milestone of this year came in May 2025, with the announcement of our merger with Haberdashers’ Elstree Schools from September 2025. This partnership represents a bold and visionary step in Lochinver House’s continued journey from strength to strength. In a period of increasing uncertainty across the independent education sector, this merger demonstrates a shared confidence in our future and a commitment to providing the very best education, academically, pastorally, and in personal development, for generations to come. The values and ethos of both schools are closely aligned, and together we will be able to offer even greater opportunities to our pupils, ensuring that they continue to flourish in a dynamic and inspiring environment.
Amidst these exciting developments, the essence of Lochinver House remains unchanged: a community where every child is known, encouraged, and challenged to become the very best version of themselves. Our vision: “a school that shapes global citizens, empowered with the skills and knowledge to make a positive difference in the world” continues to guide every aspect of our work.
The continued strength of our academic results, the breadth of our co-curricular programme, and the warmth of our school community reflect the dedication of our staff, the support of our parents, and the remarkable energy of our pupils. Together, they embody the spirit of Lochinver House; a school that looks to the future with optimism, purpose, and ambition.
In summary, the 2024–25 year has been one of success, innovation, and exciting transformation. I am deeply grateful to all the staff, parents and pupils who have contributed to our ongoing story and to the bright future that lies ahead.
Jonathan Wadge
Headmaster
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LOCHINVER HOUSE SCHOOL
GOVERNORS’ REPORT
FOR THE YEAR ENDED 31 AUGUST 2025
The Directors present their report and audited financial statements for the year ended 31 August 2025.
Reference and Administrative Information
Lochinver House School was founded by Trust Deed in 1947. A Company Limited by Guarantee, Lochinver 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 it commenced its educational activities. The school is a registered charity, number 1091045 and is constituted as a company limited by guarantee. Its objects, powers and other constitutional 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 2011 and 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. During the year ended 31 August 2025 they were also the company’s members. Throughout this report they are collectively referred to as the Governors. Those who served during the year and since the year end were:
| H Rosethorn | Chair - Appointed 1 September 2025 |
|---|---|
| N Gilbert | Chair – Resigned 1 September 2025 |
| A Walker | Vice Chair |
| D A Taylor | Resigned 11 December 2024 |
| B Aitken | Resigned 1 September 2025 |
| H Chapman | Resigned 1 September 2025 |
| D Hamalis | Resigned 1 September 2025 |
| S Joshi | Resigned 1 September 2025 |
| R Lane | Resigned 1 September 2025 |
| J Le Couilliard | |
| D Martin | Appointed 1 September 2025 |
| C Mills | Resigned 15 November 2024 |
| K Owen | |
| A Sachdev | Appointed 1 September 2025 |
| G Sriskanthan | Resigned 1 September 2025 |
| D Thompson | Appointed 1 September 2025 |
| J Taylor-Cummings | Resigned 1 September 2025 |
| A Ward | Resigned 1 September 2025 |
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 least twelve calendar months except by resolution of the Board.
On 1 September 2025, the Worshipful Company of Haberdashers became the sole member of the company.
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LOCHINVER HOUSE SCHOOL
GOVERNORS’ REPORT (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
Key Executives and Professional Advisers
The Head J Wadge BA (Hons), PGCE, NPQH Bursar / Company Secretary J Stronach Address Lochinver House School Heath Road Little Heath Potters Bar Hertfordshire EN6 1LW Bankers National Westminster Bank Commercial Banking 1st Floor 30 Clarendon Road Watford, Hertfordshire WD17 1GQ Solicitors Veale Wasbrough Vizards Orchard Court Orchard Lane Bristol BS1 5WS Auditors Haysmac LLP 10 Queen Street Place London EC4R 1AG
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LOCHINVER HOUSE SCHOOL
GOVERNORS’ REPORT (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
Structure, Governance and Management
Governing Document
The Company is governed by its Articles of Association. The Articles were reviewed and updated in 2025. The objects 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, Potters Bar’.
Governing 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.
Governor Training
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 attend suitable training courses which deal with their responsibilities in relation to the Companies Act, Charity Law and Department for Education requirements as the need arises and are encouraged to attend new Governor induction courses.
Organisational 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 Finance and General Purposes Committee meet to review budgets, accounts and reports and makes recommendations to the Board of Governors. The Governors have a programme of regular visits to the school to witness and monitor the charity's work in action. Day to day running of the School is delegated to 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 Relationships
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-operate with as many local charities, clubs and associations as we can to widen public access to the education we provide and promote the educational benefits of using our sporting facilities. We have an arrangement with a local state junior school that use our science laboratories each week which makes a positive contribution to their education.
Objects, Public Benefit, Aims, Objectives and Principal Activities
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.
Strategic 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.
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LOCHINVER HOUSE SCHOOL
GOVERNORS’ REPORT (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
Our wider admission policy enables us to help a small number of children from lower income or otherwise disadvantaged families to benefit from the core educational provision and the extracurricular programme. The school also aims to draw out all children’s abilities and academic potential and to develop their wider interests in life within a secure and stable environment to enable them to participate in society and their community.
Principal Activity
The school’s principal activity continues to be the provision of an excellent standard of education for children aged four to thirteen.
Objectives
The Board's main objective is to educate all pupils to a high standard each year, which benefits their chosen senior school for the completion of their education. The school is in the process of developing a new five-year strategy under the leadership of the new Head. The school is committed to reviewing its academic syllabus and teaching methods. The facilities are upgraded regularly to provide modern buildings and amenities, which stimulate the pupils in all areas of their development.
The Board's other objective is to develop bursaries with a view to further increasing the School's intake of children from lower income families and to extend working arrangements with other charities and state schools to provide access to our facilities for those who cannot come to the School itself. We set aside funds for bursary awards to help a few children in need of assistance with school fees.
Review of Achievements and Performance for the Year
Academic
The achievements of pupils demonstrate the school's continued success. Lochinver pupils are in demand and in the last 10 years we have sent them to over 20 different schools. Our leavers gain successful entry to their chosen senior schools. In the last year 27 boys transitioned at 13+: Aldenham 2, Haileybury 3, Mill Hill 2, Merchant Taylors 1, St Albans 13, St Columba’s College 2, St Margaret’s 2, St Edmund’s 2. A further 24 boys left us at 11+: Aldenham 2, Ashmole Academy 1, Chancellors 2, Dame Alice Owen 2, Haberdashers’ Boys 5, Haileybury 2, Latymer 1, Merchant Taylors’ 2, Richard Hale 1, St Albans School 7. In each year group 4 scholarships were awarded to our pupils. These accomplishments have been made possible by the recruitment of the highest quality staff and by maintaining a high teacher to pupil ratio which ensures that teaching methods can be suited to individual needs. Teaching staff regularly attend training courses to enhance their personal performance and to improve the quality of the curriculum. The school reviews its academic syllabus and teaching methods to benchmark standards and value-added criteria.
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Extra-Curricular activities
During the year the School ran a range of overseas trips alongside a full summer programme of UK-based, term-time residential visits available to every pupil in Years 3–8. We sustained a broad extra-curricular offer to maximise opportunities for pupils, delivering a variety of educational visits. Extended care at the start and end of the day continued to enhance pupils’ experiences and provide vital support for working parents. Music at the School remains strong, with high participation levels. Many children take instrumental lessons and around half of those learn two or more instruments, progressing to ABRSM graded exams. Our weekly composition club, which builds on classroom work and uses Sibelius software, culminated in pupils hearing their own pieces performed by a visiting professional string quartet. The School continues to field a very large number of sports teams, balancing inclusive participation with high-performance opportunities. This year we again competed widely against other schools across basketball, rugby, football, athletics, cricket and cross country.
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LOCHINVER HOUSE SCHOOL
GOVERNORS’ REPORT (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
Developments in the School
We continue to improve the school buildings and grounds to make day-to-day life better for pupils and staff.
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Roofs were renewed over the theatre foyer and the Art room.
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More pupil toilets in the Salter building were installed and replaced to improve capacity and comfort.
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The kitchen servery and the school gates were replaced.
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The IT classroom was refurbished and redecorated to create a better learning space.
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The playground was upgraded and new equipment added, including a climbing wall.
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Our Forest School area has new play features and plans are in place to plant trees and hedges.
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With help from the PTA we created a Quiet or Meditation garden for outdoor study and reflection.
Public Benefit
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 children from applying for a place at the School but they are committed to widening the access to the education offered. Accordingly, the Governors set a fixed sum to provide bursaries for those children whose parents could otherwise not afford to send them to our School. The Governors have a formal Bursary Policy and a Bursary Award Committee assesses all applications and report to the Board. Details of bursaries are included on the School Website. The Governors budgeted £157,080 for bursaries in 2024/2025 (2023/2024: £110,000) an amount which is reviewed on an annual basis.
In 2024/25 the School supported thirteen (2023/24: eleven) pupils through our Bursary Scheme. The support which is available on a needs basis as determined by the Governors' Bursary Award Committee reduced annual income from scale fees by £123,014 (2023/24 £127,436). The Governors have increased the level of funding for bursaries for the financial year 24/25 and continue to seek to recruit bursary candidates via the Admissions process.
Other Public Benefit
The school continues to support various good causes via the Year 8 Charities. The donations support various national and local charities which benefit the community. In 2024/23 the charities were Anthony Nolan (stem cell transplant), Pumping Marvellous (heart) and The Children’s Cancer & Leukaemia Group. The School hosted a Rugby Dinner to raise funds to support a school in South Africa to seed a playing field.
The facilities of the school are made available to outside organisations to benefit the education of children and adults. School links with the community continue with our association with the local youth organisations. We also have strong links with the residents’ association, printing their newsletters in-house.
Equality Diversity and Inclusion (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.
Charity Fundraising
The school has not made any fundraising appeals to 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 result, the charity is not registered with the fundraising regulator and received no fundraising complaints in the year.
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LOCHINVER HOUSE SCHOOL
GOVERNORS’ REPORT (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
Volunteers
Volunteers from the parent body continue to be an essential part of school life, regularly helping in classrooms and supporting our educational programme. Their time and commitment, particularly those who provide oneto-one reading support, make a real difference to the quality of education we offer, and the Governors warmly thank everyone who contributes.
The Parent Teacher Association meets regularly to organise and run social fundraising events. In 2024/25 their activities included a MacMillan coffee morning, the Christmas Fayre including charity Christmas cards designed by the children, Family Bingo, an Easter Egg Hunt, and the Summer Fete.
Looking ahead
With effect from 1 September 2025, Lochinver House School entered a formal partnership with Haberdashers School. The arrangement comprises two stages: (1) the establishment of a new governing body, incorporating the existing governors of Lochinver House and a Chair and majority of governors nominated by Haberdashers; and (2) a subsequent merger with Haberdasher Elstree Schools to be completed in a later phase.
The new governing body will assume strategic oversight of Lochinver House with immediate effect. The governors welcome the appointment of Helen Rosethorn as Chair, whose leadership will support the governing body during the transition period and the implementation of the partnership’s strategic objectives. This forward -looking partnership with Haberdashers School, whose supportive collaboration will strengthen our curriculum, pastoral provision, and strategic development, ensuring the best possible future for our pupils.
We are also delighted to welcome girls to our School for the first time for the start of the autumn term as the school becomes co-educational. This change strengthens our community, enriches classroom life, and broadens opportunities for every pupil. Our staff, governors, pupils and parents, look forward to a year of exciting and positive change, high standards and a stronger, more inclusive school community.
Financial Results
The results are shown in the accompanying financial statements on pages 14 to 27. During the financial year, the School generated income of £5,748,938 (2024: £5,824,1940) from school activities.
Expenditure of £5,918,902 (2024: £5,896,333) was incurred.
Additions to fixed assets totalled £462,121 (2024: £244,412) and included £51,455 (2024: £47,963) for computer equipment, £197,912 (2024: £112,003) on building improvements and equipment, £nil (2024: £28,740) on motor vehicles, and £212,754 (2024; £55,706) on fixtures & fittings.
The School has an objective to achieve a surplus each year to ensure that there are sufficient reserves to manage the School prudently and to provide funds for future capital 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 £169,964 (2024: deficit of £71,393) because of several non-recurring costs including legal fees to support the merger with Haberdashers School.
Notes 13 to 16 split the reserves between those held for a specific purpose (restricted funds) and those 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 reviewing market benchmarks.
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LOCHINVER HOUSE SCHOOL
GOVERNORS’ REPORT (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
Investment Performance
The Articles of Association permit funds to be invested in such investments, securities 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 determined by the Bursar, to whom such responsibilities are delegated by the Governors under the Terms of Reference of the Treasury Policy.
Resources and reserve policy
The school’s unrestricted funds represent general reserves to cover normal fluctuations in working capital, to finance the continuing development of the School and to help fund provision for bursaries. As a minimum they should be three months of normal expenditure. The balance is £9,521,079 (2024: £9,691,021). The balance of restricted funds is £7,748 (2024: £7,770) which represent funds raised by the children for external charitable purposes.
Principal Risks & Uncertainties - update
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 Committee, 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 identified the following as the principal risks it faces: –
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The turmoil in the sector that has resulted from the current government’s introduction of VAT on School fees, the removal of the Business rates relief and the increase in National Insurance on the employment of staff. Recognising the dynamic shifts taking place in the sector, the Governors concluded their monitoring of the market and commenced and concluded work to find the best partner school to join with to protect and enhance the future growth and prosperity of Lochinver House School.
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Maintaining pupil numbers when birth rates are declining nationally poses a financial risk. We also know that the imposition of VAT on school fees puts further pressure on parents, many of whom are already making significant sacrifices to support the cost of the children’s education. Strategies for managing this risk included the introduction of Little Lochies in September 2024 and the move to coeducation in the current year. We have also invested in a new website and additional marketing to assist in pupil recruitment and retention.
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The capacity of the school to adapt practically and efficiently to changes in the legislative requirements for the education and charity sectors. Strategies for managing this risk include detailed financial planning to ensure that the school has robust plans to mitigate external changes to parent’s ability to afford the School fees. 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 that it is impossible to guarantee that all risk has been eliminated entirely but strives to ensure strategies, systems and plans are in place to mitigate identifiable risks.
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LOCHINVER HOUSE SCHOOL
GOVERNORS’ REPORT (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
STATEMENT OF DIRECTORS’ RESPONSIBILITIES
The Governors (who are also Directors of Lochinver House School for the purposes of company law) are responsible for preparing the Governors' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the Governors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charity for that year. In preparing these financial statements, the Governors are required to:
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Select suitable accounting policies and then apply them consistently;
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Observe the methods and principles in the Charities SORP;
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Make judgements and estimates that are reasonable and prudent;
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State whether applicable UK Accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The Governors are responsible for keeping proper accounting records that are sufficient to show and explain the School’s transactions, disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
So far as each of the Governors is aware at the time the report is approved:
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there is no relevant audit information of which the company's auditors are unaware; and
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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 resolution proposing their re-appointment will be submitted at the Annual General Meeting.
In approving this Governors Report, the Board are also approving the Strategic Report included herein their capacity as company directors.
Approved by the Board of Directors at its meeting on and signed on its behalf by:
Helen Rosethorn Chair
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF LOCHINVER HOUSE SCHOOL
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Opinion
We have audited the financial statements of Lochinver House School for the year ended 31 August 2025 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 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:
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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;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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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 evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the Governors’ 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 Governors with respect to going concern are described in the relevant sections of this report.
Other information
The Governors are responsible 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 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:
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the information given in the Governors’ Report (which includes the strategic report and 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
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the strategic report and the directors’ report included within the Governors’ Report have been prepared in accordance with applicable legal requirements.
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INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF LOCHINVER HOUSE SCHOOL (continued)
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 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 requires us to report to you if, in our opinion:
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adequate accounting records have not been kept by the charitable company; or
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the charitable company financial statements are not in agreement with the accounting records and returns; or
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certain disclosures of Governors’ remuneration specified by law are not made; or
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we have not received all the information and explanations we require for our audit
Responsibilities of Governors for the financial statements
As explained more fully in the Governors’ responsibilities statement set out on page 10, the Governors 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 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 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 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 ISI regulations, health and safety law, safeguarding regulations, GDPR and employment law. We considered the extent to which noncompliance 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 bias in accounting estimates. Audit procedures performed by the engagement team included:
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Inspecting correspondence with regulators and tax authorities;
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Discussions with management including consideration of known or suspected instances of noncompliance with laws and regulation and fraud;
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Evaluating management’s controls designed to prevent and detect irregularities;
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Identifying and testing journals, in particular journal entries posted with unusual account combinations, postings by unusual users or with unusual descriptions; and
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Challenging assumptions and judgements made by management in their critical accounting estimates
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INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF LOCHINVER HOUSE SCHOOL (continued)
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.
Thomas Wilson (Senior Statutory Auditor) 10 Queen Street Place For and behalf of Haysmac LLP, Statutory Auditor London Date EC4R 1AG
LOCHINVER HOUSE SCHOOL
14
STATEMENT OF FINANCIAL ACTIVITIES (Incorporating income and expenditure account)
FOR THE YEAR ENDED 31 AUGUST 2025
| Restricted | Unrestricted | Unrestricted | Total Total |
Total Total |
Total Total |
||
|---|---|---|---|---|---|---|---|
| Fund | Fund | 2025 2024 |
|||||
| Note | £ | £ | £ £ |
||||
| INCOME FROM: | |||||||
| Voluntary Income | |||||||
| Donations | 8,978 | 53,811 | 62,789 | 20,730 | |||
| Charitable activities | |||||||
| School Fees receivable | 2 | 5,326,712 | 5,326,712 | 5,508,912 | |||
| Registration fees and other income | 3 | 270,725 | 270,725 | 184,581 | |||
| Other trading activities | |||||||
| Rents and lettings | 7,294 | 7,294 | 13,067 | ||||
| Investment income | 6 | - | 81,418 | 81,418 | 87,888 | ||
| Other Income | - | - | - | 9,762 | |||
| --------------------- | --------------------- | --------------------- --------------------- |
|||||
| Total income | £8,978 | £5,739,960 | £5,748,938 | £5,824,940 | |||
| --------------------- | --------------------- | --------------------- --------------------- |
|||||
| EXPENDITURE ON: | |||||||
| Charitable Activities | |||||||
| School Operating costs | 9,000 | 5,909,902 | 5,918,902 | 5,896,333 | |||
| -------------------- | -------------------- | -------------------- -------------------- |
|||||
| Total expenditure | 7 | 9,000 | 5,909,902 | 5,918,902 | 5,896,333 | ||
| Net (expenditure)/income | (22) | (169,942) | (169,964) | (71,393) | |||
| Transfers between funds | - | - | - | ||||
| -------------------- | -------------------- | ------------------ -------------------- |
|||||
| Net movement in funds | (22) | (169,942) | (169,964) | (71,393) | |||
| Balances brought forward | 7,770 | 9,691,021 | 9,698,791 | 9,770,184 | |||
| -------------------- | ------------------ | ------------------ ------------------ |
|||||
| Balances at carried forward | 13 | £7,748 | £9,521,079 | £9,528,827 | £9,698,791 | ||
| ========= | ========== | ========= ========== |
There were no acquisitions or discontinued activities during 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 2025
| 2025 | 2025 | 2024 | |||||||
|---|---|---|---|---|---|---|---|---|---|
| Notes | £ | £ | £ | £ | |||||
| FIXED ASSETS | |||||||||
| Tangible assets | |||||||||
| School land, |
buildings | and | 9 | 6,485,707 | 6,397,336 | ||||
| equipment | |||||||||
| CURRENT ASSETS | |||||||||
| Debtors | 10 | 2,124,684 | 203,635 | ||||||
| Cash at bank and in | hand | 3,860,414 | 4,364,304 | ||||||
| -------------------- | -------------------- | ||||||||
| 5,985,098 | 4,567,939 | ||||||||
| CREDITORS:amounts falling | due | ||||||||
| within one year | 11 | (2,792,092) | (1,120,609) | ||||||
| --------------------- | --------------------- | ||||||||
| NET CURRENT ASSETS | 3,193,006 | 3,447,330 | |||||||
| --------------------- | |||||||||
| TOTAL ASSETS LESS CURRENT | 9,844,666 | ||||||||
| LIABILITIES | 9,678,713 | ||||||||
| CREDITORS:amounts falling | due | 12 | (149,886) | (145,875) | |||||
| after one year | |||||||||
| --------------------- | --------------- | ||||||||
| TOTAL NET ASSETS | £9,528,827 | £9,698,791 | |||||||
| ========== | ========== | ||||||||
| CAPITAL AND RESERVES | 13 | ||||||||
| Unrestricted funds | |||||||||
| General funds | 15 | 9,521,079 | 9,691,021 | ||||||
| --------------------- | --------------------- | ||||||||
| 9,521,079 | 9,691,021 | ||||||||
| Restricted funds | 16 | 7,748 | 7,770 | ||||||
| ----------------------- | ---------------------- | ||||||||
| £9,528,827 | £9,698,791 | ||||||||
| =========== | =========== |
Approved by the Board of Directors at its meeting on and signed below on its behalf by:
H Rosethorn Chair of Governors
16
LOCHINVER HOUSE SCHOOL
CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 AUGUST 2025
| 2025 | 2024 | |||
|---|---|---|---|---|
| £ | £ | |||
| Cash flows from operating activities: | ||||
| Net cash provided by operating activities | A | (125,287) | (364,877) | |
| Cash flows from investing activities: | ||||
| Interest received | 81,418 | 87,888 | ||
| Proceeds from sale of fixed assets | 2,100 | 17,401 | ||
| Payments for tangible fixed assets | (462,121) | (244,412) | ||
| ----------------- | ----------------- | |||
| Net cash used in investing activities | (378,603) | (139,123) | ||
| ----------------- | ----------------- | |||
| Change in cash in the reporting year | (503,890) | (504,000) | ||
| Cash at the beginning of the reporting year | 4,364,304 | 4,868,304 | ||
| ------------------ | ------------------ | |||
| Cash at the end of the reporting year | B | £3,860,414 | £4,364,304 | |
| ========= | ========= | |||
| A.Reconciliation of net income to net cash flow from operating activities | ||||
| 2025 | 2024 | |||
| £ | £ | |||
| Net (deficit) income for the reporting year | ||||
| (as per the statement of financial activities) | (169,964) | (71,393) | ||
| Adjustments for: | ||||
| Depreciation charges | 325,283 | 291,206 | ||
| Loss (Profit) on disposal of fixed assets | 46,367 | (9,762) | ||
| Interest received | (81,418) | (87,888) | ||
| (Increase) in Debtors | (1,921,049) | (43,409) | ||
| (Decrease) Increase in creditors | 1,675,494 | (443,631) | ||
| --------------------- | ---------------------- | |||
| Net cash provided by operating activities | £ (125,287) | £ (364,877) | ||
| =========== | ========= | |||
| B.Analysis of cash and cash equivalents | 2025 | 2024 | ||
| £ | £ | |||
| Cash at bank | 3,860,414 | 4,364,304 | ||
| ---------------------- | ----------------------- | |||
| Total cash and cash equivalents | £3,860,414 | £4,364,304 | ||
| ========== | =========== |
17
LOCHINVER HOUSE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2025
1. 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 with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (Charities 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 the currency of the primary economic environment 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 (company number: 04374254 and charity number: 1091045).
a) Basis of preparation
The accounts are prepared under the historical cost convention.
b) Going concern
Having reviewed the funding facilities available to the school together with the expected ongoing 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 continue to adopt the going concern basis in preparing the financial statements as outlined in the Statement of Accounting and Reporting Responsibilities on page 11. As of 1[st] September 2025 Lochinver House school has commenced a merger with the Haberdashers’ Elstree Schools. The merger will be created in two stages. The first stage has been completed with the Worshipful Company of Haberdashers becoming the sole member of Lochinver House School on 1[st] September 2025. The second stage will see Lochinver House School merged with the Haberdashers’ Elstree Schools. This is hoped to further strengthen the longer-term financial stability and future of the school.
c) Critical accounting judgements and key sources of estimation uncertainty
In the application 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 factors 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 year in which the estimate is revised if the revision affects only that year, or in the year of the revision and future years if the revision affected current and future years.
Judgements made by the Governors, in the application of these accounting policies that have significant effect on the financial statements and estimates with a significant risk of material adjustment in the next year are deemed to be in relation to the depreciation rates of tangible fixed assets and are discussed below.
In the view of the Governors, no assumptions concerning the future or estimation uncertainty affecting assets or liabilities at the balance sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year.
d) Fees and Similar 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 activities.
e) Investment income
Investment income from bank balances and fixed interest securities is accounted for on an accruals basis.
18
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2025
LOCHINVER HOUSE SCHOOL
1. ACCOUNTING POLICIES (continued)
f) Donations, legacies, grants and other voluntary income
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) Expenditure
Expenditure is accounted for on an accruals basis and are allocated to expense headings on a direct cost basis. The irrecoverable VAT is included with the item of expense to which it relates. Governance costs comprise costs incurred in meeting statutory and constitutional requirements of the School.
h) Tangible Fixed Assets
No depreciation is provided on freehold land. For all other assets, depreciation is calculated to write off the cost of the item over the anticipated useful life as follows:
Freehold buildings 2% straight line basis Fixtures, fittings and equipment 25% straight line basis Long-term fixtures, fittings and equipment 4% straight line basis Computer equipment 25% straight line basis Motor vehicles 25% reducing balance basis
Items costing less than £1,000 are written off as an expense as acquired. Items are depreciated only for six months in the year of acquisition.
i) Pension contributions
The company contributes to the Teachers' Pension Scheme at rates set by the scheme actuary. It is part of a multi-employer scheme and it is not possible to attribute a value to the scheme assets and liabilities which would be appropriate to the company. In accordance with FRS 102 the scheme is accounted for as if it were a defined contribution scheme. The assets of the scheme are held separately from those of the company. The pension cost charge represents the amount of the contributions payable to the scheme in respect of the year.
With effect from 1 August 2024, the school’s pension provider for teachers joining 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 nonteaching staff (Scottish Widows) and contributions to both these schemes are charged to the Statement of Financial Activities in the year in which they are incurred.
j) Unrestricted Funds
Unrestricted Funds are funds applied at the discretion of the Governors in furtherance of the objects of the School.
k) Restricted funds
This represents the monies received for specific purposes as disclosed in note 16.
l) Financial instruments Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised apart from investments which are held at fair value. Financial assets held amortised cost comprise 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 instant access bank accounts and used as working capital. Financial liabilities held at amortised cost comprise all creditors except social security and other taxes and provisions
.
19
LOCHINVER HOUSE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2025
1. ACCOUNTING POLICIES (continued)
m) Trade and Other Debtors
Trade and other debtors are recognised at the settlement amount due after any trade discount 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) Creditors and provisions
Creditors and provisions are recognised where the School has a present obligation resulting from a past event that will probably result in the transfer of funds to a third 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 (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
| 2. | FEES RECEIVABLE | Unrestricted | Unrestricted |
|---|---|---|---|
| funds | funds | ||
| 2025 | 2024 | ||
| £ | £ | ||
| Gross fees | 5,475,360 | 5,659,722 | |
| Less: total bursaries and staff concessions | (148,648) | (150,810) | |
| ------------------- | ------------------- | ||
| Fees Receivable | £5,326,712 | £5,508,912 | |
| ========= | ========= | ||
| 3. | REGISTRATION FEES AND OTHER INCOME | Unrestricted | Unrestricted |
| funds | funds | ||
| 2025 | 2024 | ||
| £ | £ | ||
| Registration and other fees including initial deposits forfeited | 47,096 | 60,001 | |
| Sundry income | 112,682 | 25,317 | |
| Before & After School clubs and music tuition | 110,947 | 99,263 | |
| ----------------- | ----------------- | ||
| £270,725 | £184,581 | ||
| ======== | ======== | ||
| 4. | STAFF COSTS | 2025 | 2024 |
| £ | £ | ||
| Staff costs incurred were as follows: | |||
| Wages and salaries | 3,245,263 3,109,256 |
||
| Social security costs | 363,573 | 314,889 | |
| Other pension costs | 611,169 | 545,962 | |
| Other costs | 95,573 | 131,176 | |
| ------------------- | ------------------- | ||
| £4,315,578 £4,101,283 |
|||
| ========= | ========= |
Included in Wages and Salaries, there is a termination payment made in the year totalling £24,012 (2024: £21,000)
The average number of employees during the year within each category of persons was:
| Number | Number | |
|---|---|---|
| Teaching | 65 | 64 |
| Welfare and premises | 18 | 21 |
| Administration | 12 | 10 |
| ---------- | ---------- | |
| 95 | 95 | |
| ===== | ===== |
The Governors received no remuneration. One Governor was reimbursed expenses during the year of £4,117 (2024: £nil).
| £ | £ | |
|---|---|---|
| Aggregate employee benefits of key management personnel | £251,862 | £180,732 |
| ======== | ======== |
21
LOCHINVER HOUSE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
4. STAFF COSTS (continued)
The number of higher paid employees (including taxable benefits but excluding employers' pension contributions) to 31 August 2024 was:
| n contributions) to 31 August 2024 was: | ||
|---|---|---|
| 2025 | 2024 | |
| Number | Number | |
| £60,001 - £70,000 | 2 | 4 |
| £70,001 - £80,000 | 1 | 1 |
| £80,001 - £90,000 | 2 | - |
| £100,001 - £110,000 | - | 1 |
| £120,001 - £130,000 | 1 | - |
| ===== | ====== |
The School participates in the Teachers’ Pension Scheme (“the TPS”) for most of its teaching staff. The pension charge for the year includes contributions payable to the TPS of £417,581 (2024: £427,337) and at the year-end £46,149 (2024: £55,634) was accrued in respect of contributions to this scheme.
The TPS is an unfunded multi-employer defined benefits pension scheme governed by The Teachers’ Pensions Regulations 2010 (as amended) and The Teachers’ Pension Scheme Regulations 2014 (as amended). Members contribute on a “pay as you go” basis with contributions from members and the employer being credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.
The employer contribution rate is set by the Secretary of State following scheme valuations undertaken by the Government Actuary’s Department. The most recent actuarial valuation of the TPS was prepared as at 31 March 2020 and the Valuation Report was published in October 2023. The Valuation Report shows notional assets of £222.2bn and liabilities of £262bn, resulting in a scheme deficit of £39.8bn.
The employer contribution rate for the TPS is 28.6%, and employers are also paying a scheme administration levy of 0.08% giving a total employer contribution rate of 28.68%. For teaching staff outside the TPS, the employer contributes 17% to APTIS; for non-teaching staff, it contributes 9% to Scottish Widows.
22
LOCHINVER HOUSE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
| 5. | EXPENDITURE | EXPENDITURE | |||||||
|---|---|---|---|---|---|---|---|---|---|
| 2025 | 2024 | ||||||||
| £ | £ | ||||||||
| Direct charitable expenditure includes: | |||||||||
| Depreciation | £325,283 | £291,206 | |||||||
| ======== | ======== | ||||||||
| Governance costs include: | |||||||||
| Auditors’ remuneration | |||||||||
| - | audit | 17,000 | 18,000 | ||||||
| - | non audit | 1,750 | 1,920 | ||||||
| ======== | ======== | ||||||||
| 6. | INVESTMENT INCOME | Unrestricted | Unrestricted | ||||||
| funds | funds | ||||||||
| 2025 | 2024 | ||||||||
| £ | £ | ||||||||
| £81,418 | £87,888 | ||||||||
| Bank interest | |||||||||
| ======== | ========= | ||||||||
| 7. | ANALYSIS OF TOTAL EXPENDITURE | ||||||||
| Staff | Total | ||||||||
| costs | Other | Depreciation | 2025 | ||||||
| £ | £ | £ | £ | ||||||
| Charitable activities | |||||||||
| School Operating Costs: | |||||||||
| Teaching | 3,369,581 | 397,794 | - | 3,767,375 | |||||
| Welfare | 141,624 | 152,517 | - | 294,141 | |||||
| Premises and equipment | 263,160 | 462,020 | 325,283 | 1,050,463 | |||||
| Support and governance costs | 541,213 | 256,710 | - | 797,923 | |||||
| Year 8 charitable donations | - | 9,000 | - | 9,000 | |||||
| --------------------- | --------------------- | --------------------- | --------------------- | ||||||
| £4,315,578 | £1,278,041 | £325,283 | £5,918,902 | ||||||
| ========== | =========== | ========= | ========== |
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 | |||||
|---|---|---|---|---|---|
| Staff | Total | ||||
| costs | Other Depreciation |
2024 | |||
| £ | £ | £ | £ | ||
| Charitable activities | |||||
| School Operating Costs: | |||||
| Teaching | 3,216,360 | 324,407 | - | 3,540,767 | |
| Welfare | 132,198 | 133,235 | - | 265,433 | |
| Premises and equipment | 252,176 | 689,666 | 291,206 | 1,233,048 | |
| Support and governance costs | 500,549 | 346,786 | - | 847,335 | |
| Year 8 charitable donations | - | 9,750 | - | 9,750 | |
| --------------------- | ------------------------ -------------------- |
---------------------- | |||
| £4,101,283 | £1,503,844 | £291,206 | £5,896,333 | ||
| ========= | =========== ========= |
========== |
8. PENSION COMMITMENTS
Staff costs include payments by the company to the Teachers' Pensions Scheme of £417,581 (2024: £427,337) and to individual defined contribution schemes on behalf of certain employees of £75,974 (2024: £82,040). The amount owing at the year-end in respect of TPS was £46,149 (2024: £55,634). There was nothing owing in respect of the defined contribution schemes (2024 £nil).
24
LOCHINVER HOUSE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
| 9. | TANGIBLE FIXED ASSETS | TANGIBLE FIXED ASSETS | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Fixtures | ||||||||||
| Freehold | Freehold | Fittings & | Computer | Motor | ||||||
| Land | Buildings | Equipment | Equipment | Vehicles | Total | |||||
| £ | £ | £ | £ | £ | £ | |||||
| Cost | ||||||||||
| At 1 September | 425,806 | 7,377,201 841,538 | 524,186 | 173,120 | 9 | |||||
| 2024 | ||||||||||
| Additions | - | 197,912 212,754 |
51,455 | - | 462 | |||||
| Capital Goods | ||||||||||
| Scheme | - | (48,466) - |
- | - | (48 | |||||
| Disposals | - | - | - | (11,600) | - | (11 | ||||
| -------------------- | ------------------------ | ---------------------- | -------------------- | ------------------ | -------------------- | |||||
| - | ||||||||||
| At 31 August 2025 | £425,806 | £7,526,647 £1,054,292 £564,041 |
£173,120 | 9 | ||||||
| -------------------- | ------------------------ | ---------------------- | -------------------- | ------------------ | -------------------- | |||||
| - | ||||||||||
| Depreciation | ||||||||||
| At 1 September | - | 2,162,065 258,715 | 422,613 | 101,122 | 2 | |||||
| 2024 | ||||||||||
| Charge for the year | - | 148,578 107,732 |
50,973 | 18,000 | 325 | |||||
| Disposals | - | (11,600) | (11 | |||||||
| -------------------- | ------------------------ | ---------------------- | -------------------- | ------------------ | -------------------- | |||||
| - | ||||||||||
| At 31 August 2025 | - | £2,310,643£366,447 | £461,986 | £119,122 £3,258,198 |
||||||
| -------------------- | ------------------------ | ---------------------- | -------------------- | ------------------ | -------------------- | |||||
| - | ||||||||||
| Net Book Value | £425,806 | £5,216,004£687,844 | £102,055 | £53,998 £6,485,707 |
||||||
| At 31 August 2025 | ||||||||||
| ======== | ========= | ======== | ========= | ======== | ========== | |||||
| At 31 August 2024 | £425,806 | £5,215,136£582,823 | £101,573 | £71,998 £6,397,336 |
||||||
| ======== | ========= | ======== | ========= | ======== | ========== |
The above assets include those acquired from Lochinver 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 acquired by that Trust in 1957 when the School was founded by Trust Deed and since that date, various improvements and extensions had been made to the buildings.
| 10. | DEBTORS | 2025 | 2024 | |
|---|---|---|---|---|
| £ | £ | |||
| Fees receivable | 2,004,025 | 31,225 | ||
| Other debtors and prepayments | 120,659 | 172,410 | ||
| ---------------------- | ----------------- | |||
| £2,124,684 | £203,635 | |||
| ========== | ======== | |||
| Fee debtors include £1,990,511 relating to the Autumn term 2025 | ||||
| fees which were billed in August 2025 (2024: £Nil). | ||||
| 11. | CREDITORS: amounts falling due within one year | 2025 | 2024 | |
| £ | £ | |||
| Fees in advance and initial deposits | 2,087,494 | 492,381 | ||
| Trade creditors | 88,714 | 152,728 | ||
| Other creditors and accruals | 615,884 | 475,500 | ||
| ----------------------- | ------------------------ | |||
| £2,792,092 | £1,120,609 |
25
==========
===========
Fees received in advance include £1,990,511 relating to the Autumn term 2025 fees which were billed in August 2025 (2024: £Nil)
26
LOCHINVER HOUSE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
| 12. | CREDITORS: amounts falling due after more than one year | CREDITORS: amounts falling due after more than one year | CREDITORS: amounts falling due after more than one year | CREDITORS: amounts falling due after more than one year | CREDITORS: amounts falling due after more than one year | 2025 | 2024 | |||
|---|---|---|---|---|---|---|---|---|---|---|
| £ | £ | |||||||||
| Long term deposits held | £149,885 | £145,875 | ||||||||
| ======== | ========= | |||||||||
| 13. | MOVEMENT IN FUNDS | |||||||||
| Balance at 1 | Transfer | Balance | at | |||||||
| September | to/(from) | 31 August | ||||||||
| 2024 | Income | Expenditure | fund | 2025 | ||||||
| £ | £ | £ | £ | £ | ||||||
| Unrestricted funds | ||||||||||
| Other reserves | 9,691,021 | 5,739,960 | (5,909,902) | 9,521,079 | ||||||
| ---------------- | ----------------- | ----------------- | --------------- | ----------------- | ||||||
| 9,691,021 | 5,739,960 | (5,909,902) | 9,521,079 | |||||||
| =========== | =========== | =========== | ========== | =========== | ||||||
| = | ||||||||||
| Restricted funds | 7,770 | 8,978 | (9,000) | 7,748 | ||||||
| ---------------- | ----------------- | ----------------- | --------------- | ----------------- | ||||||
| Total | £9,698,791 | £5,748,938 | £(5,918,902) | £9,528,827 | ||||||
| =========== | =========== | =========== | ========== | =========== | ||||||
| = | ||||||||||
| MOVEMENT IN FUNDS | Balance at | Balance | at | |||||||
| (Prior Year) | 1 September | Transfer | to/ | 31 August | ||||||
| 2023 | Income | Expenditure | (from) fund | 2024 | ||||||
| £ | £ | £ | £ | £ | ||||||
| Unrestricted funds | ||||||||||
| School Buildings fund | 5,671,812 | - | - | (5,671,812) | - | |||||
| Other reserves | 4,090,086 | 5,815,706 | (5,886,583) | 5,671,812 | 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 | |||||
| ---------------- | ----------------- | ----------------- | --------------- | ----------------- | ||||||
| £9,770,184 | £5,824,940 | £(5,896,333) | - | £9,698,791 | ||||||
| =========== | =========== | =========== | ========== | =========== | ||||||
| = | ||||||||||
| 14. | ANALYSIS OF NET ASSETS BETWEEN | FUNDS | ||||||||
| 2025 | ||||||||||
| Unrestricted | Restricted | Total | ||||||||
| £ | £ | £ | ||||||||
| Fixed assets | 6,485,707 | - | 6,485,707 | |||||||
| Debtors | 2,124,684 | - | 2,124,684 | |||||||
| Cash at bank and in hand | 3,852,666 | 7,748 | 3,860,414 | |||||||
| Creditors | (2,941,977) | - | (2,941,977) | |||||||
| ------------------------ | ---------------------- | ----------------------- | ||||||||
| - | ||||||||||
| £9,521,079 | £7,748 | £9,528,827 | ||||||||
| =========== | ========= | ========== |
27
LOCHINVER HOUSE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
ANALYSIS OF NET ASSETS BETWEEN FUNDS
| (Prior Year) | 2024 | |||
|---|---|---|---|---|
| Unrestricted | Restricted | Total | ||
| £ | £ | £ | ||
| Fixed assets | 6,397,336 | - | 6,397,336 | |
| Debtors | 203,635 | - | 203,635 | |
| Cash at bank and in hand | 4,356,534 | 7 | 4,364,304 | |
| Creditors | (1,266,484) | - | (1,266,484) | |
| ------------------------ | ---------------------- | ----------------------- | ||
| - | ||||
| £9,691,021 | £7 | £9,698,791 | ||
| =========== | ========= | ========== |
15. UNRESTRICTED FUNDS
The School’s unrestricted funds amount to £9,521,080 (2024 - £9,691,021). The unrestricted funds represent free reserves to cover normal fluctuations in working capital and to finance the continuing development of the School including maintaining and improving the underlying fixed assets.
16. RESTRICTED FUNDS
The restricted funds of £7,748 (2024: £87,770) relate to monies held by the School on behalf of pupils for external charitable purposes. Transfers from restricted funds have been made to reflect the assets funded from restricted donations becoming unrestricted upon purchase.
17. CAPITAL COMMITMENTS
There were no capital commitments at the year-end (2024 - £nil).
18. FINANCIAL COMMITMENTS
At 31 August 2024 the charity had annual commitments under non-cancellable operating leases of £8,450 due within one year (2024: £6,682) and £8,450 due between two and five years (2024: £6,676).
19. TRANSACTIONS WITH RELATED PARTIES
During the year the company paid for the Directors' liability insurance. The cost of the premium is included within the total cost of insurance and amounted to £602 (2024: £1,548).
During the year, the School paid £nil (2024 £3,360) to a previous Governor of the School for her services as a supply teacher.
There were no other related party transactions during the year (2024: None).
20. LIABILITY OF THE COMPANY’S MEMBER
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The company is limited by guarantee and as such the company’s sole 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.
29
LOCHINVER HOUSE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS (continued)
FOR THE YEAR ENDED 31 AUGUST 2025
21. NET DEBT RECONCILIATION
| At 1 | Other non- | At 31 | ||
|---|---|---|---|---|
| September | cash | August | ||
| 2024 | Cashflows | changes | 2025 | |
| £ | £ | £ | £ | |
| Cash at bank and in hand | £4,364,304 £ (503,891) | £3,860,413 | ||
| ========== | =========== | ========= | ========== | |
| At 1 | Other non- | At 31 | ||
| September | cash | August | ||
| 2023 | Cashflows | changes | 2024 | |
| £ | £ | £ | £ | |
| Cash at bank and in hand | £4,868,304 £ (504,000) - |
£4,364,304 | ||
| ========== | =========== | ========= | ========== |
22. POST BALANCE SHEET EVENT
At the start of the year, we welcomed girls to the school and commenced a merger with the Haberdashers’ Elstree Schools.
Our newly established governing body commenced work with Helen Rosethorn as Chair.
30