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Registered number: 00454793 Charity number: 1092221
THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION
(A company limited by guarantee)
UNAUDITED
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2021
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
CONTENTS
| Page | |
|---|---|
| Reference and administrative details of the Charity, its Trustees and advisers | 1 |
| Trustees' report | 2 - 8 |
| Independent examiner's report | 9 |
| Statement of financial activities | 10 |
| Balance sheet | 11 |
| Notes to the financial statements | 12 - 18 |
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2021
| Trustees | Mr P Hill, FCMA, CGMA, CPFA, Chairman |
|---|---|
| Mr A K M H Rashid, JP, MA, M Phil | |
| Mr M Masters (Old Royal) | |
| Company registered number 00454793 Charity registered number 1092221 Registered office The Royal Wolverhampton School Pern Road Wolverhampton West Midlands WV3 0EG Change of name On 17 November 2021 the Charity changed its name from The Royal Wolverhampton School to The Royal Wolverhampton School Foundation Accountants Cooper Parry Group Limited Chartered Accountants Argosy Road East Midlands Airport Castle Donington Derby DE74 2SA |
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021
The Trustees present their annual report together with the financial statements of the Charity for the year 1 September 2020 to 31 August 2021. The Annual report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the Annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).
Since the Company qualifies as small under section 382 of the Companies Act 2006, the Strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted
Reference and Administration Information
The Royal Wolverhampton School Foundation (RWSF) is constituted as a charitable company. The company itself is registered under Charity Number 1092221, and as a company limited by guarantee (under Company Number 454793) and is regulated by its Memorandum and Articles of Association dated 15 March 2002, subsequently amended in June 2004, January 2005, August 2011 and August 2016.
Change of name to The Royal Wolverhampton School Foundation
This legal change has been long anticipated and referred to in earlier Reports and Accounts but further delayed by Covid. A Certificate of Incorporation on Change of Name to The Royal Wolverhampton School Foundation (‘RWSF’ or ‘the Foundation’) was issued by Companies House on 17 November 2021. This name change was reviewed and accepted by the Charity Commission on 31 March 2022. The organisation is referred to in this report as ‘the Foundation’ although at the date of this document, the change had not been legally effected. Using the term ‘Foundation’, better fits its objects and avoids potential confusion between the Foundation and the current School.
Charities administered
A Charity Commission Scheme dated 16 June 2016 was created to permit The Royal School, Wolverhampton in effect to convert to an Independent Free School, The Royal School Wolverhampton (‘RSW’ or ‘the School’), on 1 September 2016. All assets and specified liabilities were transferred to the Free School except for the Leaving Exhibition Fund which continued, as mandated by the Charity Commission.
Consequently, the Foundation continued to administer the following unincorporated charities and their objects:
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The Royal Wolverhampton School Endowment Charity (529007)
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a. The advancement of education of persons of school age, in particular pupils who have, or are, attending the School.
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The Charles Hayward Scholarship Fund
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a. The advancement of education by the award of bursaries, scholarships or other assistance to pupils at the School.
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The Orphan Scholarship Fund
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a. The advancement of education by the award of financial assistance to pupils at the School who are without one or both parents or who are no longer resident with one or both parents or who are otherwise in financial need.
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The Leaving Exhibition Fund
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a. The advancement of education by the award of grants (which may be known as Leaving Exhibitions) to beneficiaries to enable them to attend any place of higher or further education or an equivalent course of study (including an apprenticeship). ‘Beneficiaries’ means persons under the age of 25 years who have been registered pupils at the School for at least two years.
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021
The funds held in the first three of these charities were fully applied in the Commercial Transfer Agreement enacted on 31 August 2016 enabling, inter alia, the Free School to become operative from 1 September 2016. Consequentially they contain no funds. The Royal Wolverhampton School Endowment Charity continues in the Charity Commission register although it currently has no funds. The other two funds are considered as effectively closed. However, the objects of the Endowment Charity fit within the remit of the Foundation itself as in practice ‘School’ refers to the Royal School Wolverhampton and it is focused on financial support for individual pupils.
The Leaving Exhibition Fund contains those funds held on 31 August 2016, which due to low interest rates have basically remained constant.
Objectives and activities
Policies and objectives
The Foundation’s objects, as set out in the Memorandum of Association, are the advancement of education of persons of school age. Given that the Leaver’s Exhibition Fund, required to continue under the scheme agreed with the Charity Commission, is specifically aimed at supporting former RWS and RSW pupils who have recently left school, the Trustees consider the objects to include them.
The Foundation only has assets transferred on the setting up of the Free School, which comprise The Leaving Exhibition Fund, plus any later donations, legacies and bequests received. Certain donations, legacies and bequests may have conditions attached to them restricting the purposes to which they may be used. That may be to fund boarding at the School or to finance an infrastructure project. Priority is generally given to supporting individual pupils whose needs cannot be financed by the School and/or Social Services and whose funding request is made by the School Principal. Other similar Foundations and funding bodies may be approached to help share the costs.
There are facilities in the School which are not funded by the DfE or the ESFA. Costs to ensure regulatory compliance and costs of operating them must be carried by the School. An example is the School Chapel, which is used for Daily Assemblies by pupils in the Primary and Senior Schools and is intrinsic to the operation of the school and the well-being of those pupils. The Foundation may be asked to donate in support of such facilities. It is anticipated that an appeal for the renovation and enhancement of the Chapel and adjacent Lodge will be launched in the near future. The Foundation is registered as a charity for tax purposes and as such would be able to process claims for Gift Aid on appropriate donations. Donations and bequest from this appeal would be ring-fenced from others – in effect like an endowment.
Donations and bequests may be made to the Foundation which are for a specified purpose which may indirectly benefit pupils or former pupils. For example, a large bequest has been made for the renovation for the fountain in front of the Senior School in memory of an Old Royal, Frank Nelson, and his wife Gwen. In this case the work is being managed by the School using these funds passed on by the Foundation.
The Foundation’s aims are therefore to manage these funds and make such disbursements as decided by the Trustees of The Foundation. It is expected that such disbursements will be mainly for the benefit of pupils at the Royal School Wolverhampton during their education at the School.
In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021
Achievements and performance
Main achievements of the Charity
Donations received
During the year income of £67,531 was received in donations and bequests. This includes the bequest from Frank Nelson. The Foundation is grateful for the generosity of those who have contributed. Many of them are from former pupils of the School – Old Royals and Old Rowans – who regularly donate.
The COVID-19 outbreak has affected the Foundation just as it has many other charities. Organisations and individuals have found themselves unable to provide the support they have traditionally managed. We all look forward to post-COVID-19 life when matters return to a more normal situation.
Donations Made
The Foundation may be contacted by the School to help support pupils in need who are attending the school. These are generally vulnerable pupils whose home circumstances were such that they required a period in the School as Boarders.
In the period under review, the Foundation was not called on by the School to make any donations.
Financial review
Going concern
After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.
Reserves policy
The Foundation does not possess large endowment reserves to generate income to assist in the financing of the charity. The Trustees are of the view that it is appropriate to retain sufficient funds to protect The Foundation against uninsurable risks and future uncertainties.
Structure, governance and management
Methods of appointment or election of Trustees
The Directors of the charitable company are its Trustees for the purpose of charity law and throughout this report are collectively referred to as the Trustees.
The Trustees are also members of the company for the purpose of company law. The Trustees who served during the year are named on page 1.
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021
Structure, governance and management (continued)
Policies adopted for the induction and training of Trustees
The management of the charitable company is the responsibility of the Trustees who are elected and co-opted under the terms of the Memorandum of Association. The Foundation has three trustees – the minimum as permitted by a change in the Articles on August 2016. It is looking to recruit another trustee to replace one wishing to retire.
The Trustees are mindful that the Board should contain members drawn from a broad range of backgrounds. Prospective Trustees are encouraged to visit RSW, meet the staff and pupils and have a brief introduction to the way in which the School works and how the Foundation might assist pupils and former pupils especially those who are vulnerable and in need of support.
Trustees are elected at a Trustees meeting after a diligent recruitment process. They are interviewed by the Chair of Trustees of the Foundation prior to any decision by the Trustees. Trustees are appointed for a term of 5 years and for a maximum uninterrupted period of 15 years.
On appointment Trustees are given the opportunity to participate in an induction course. Existing Trustees are encouraged to attend training courses on an ad hoc or on demand basis. Trustees may also receive presentations in advance of Trustee meetings about aspects of the School's or Foundation’s activities or topics of importance that may impact on the Foundation's decisions. Trustees may be given specific training in areas such as child protection and to maintain awareness of developments in the education and charitable sectors.
Plans for future periods
The Company will continue to operate in accordance with the aims of The Foundation as set out above.
Response to the IICSA Report
Although the IICSA report was published in 2022, the Trustees consider it right to include their response in this report because of its importance and to ensure it is published with minimal delay.
On 1 March 2022, the report into historic abuse in residential schools was published (IICSA), with harrowing stories involving 160 schools and numerous instances of terrible abuse for us all to learn from. The School and the Foundation have responded together, and the following statement, set out below in full, was published on the RSW web site in March 2022.
Statement of the Boarding Schools Association to which The Royal School Wolverhampton and the Royal Wolverhampton School Foundation have committed.
“The Boarding Schools’ Association (BSA) welcomes the publication of this report and we will be examining its findings in full. What is clear from the report is the terrifying and truly shocking behaviour of individuals who abused the trust of the young people under their care in the most sickening, vile and abhorrent way.
“The BSA continues to stand firmly with all survivors of any form of abuse and has the greatest respect and admiration for their courage in speaking out. This report would not have been possible without them, and we would encourage anyone who has experienced abuse in any form to contact the appropriate authorities immediately so it can be investigated fully.
“We wholeheartedly support the recommendation that ‘Schools need to accept that “it could happen here”, and in the case of harmful sexual behaviour between pupils that “it probably is happening here”.’
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021
“We have a zero-tolerance policy to all forms of abuse. In 2016, we developed a Commitment to Care Charter, which all our member schools must follow, placing the safety and wellbeing of all students at the forefront of everything they do. We also provide guidance and training to staff working in boarding schools, including on dealing with peer-on-peer situations and supporting survivors of abuse.
There has been strong progress made in recent years to keep our young people safe. However, this report reminds us all just how vital it is that the education sector continues to strive to provide the highest standards of safeguarding and offer the very best pastoral care for students from professionally trained staff.
Once again, we would also repeat our call to the UK government and devolved administrations in Scotland and Wales to introduce the mandatory reporting of abuse, like in Northern Ireland and many other countries around the world, to improve safeguarding and child protection even further.”
Robin Fletcher, CEO, BSA and BSA Group
We, as The Royal School, (a state funded Academy – Free School) are absolutely committed to doing what we can to support any person, whether related to The Royal or not, and assist in whatever way that individual or group feels is helpful within our resources. We have worked closely in recent years with former pupils who have made contact with the school to support all of our community.
The trustees of The Royal Wolverhampton School Foundation, which once owned the predecessor school, will strive to support those who have suffered abuse as part of a unified and supportive approach of School and Foundation.
We publish above the BSA (Boarding School Association) statement regarding that report and how we as a school community support both the spirit and recommendations that arise for residential schools and settings
The Principal of The Royal School, Wolverhampton has stated:
“I am desperately sorry for any hurt pupils have experienced in the past and we as a community are absolutely determined that we put in place such measures to make it impossible for those activities to be repeated and to support within our resources those who seek it.
Sadly, we cannot change the past, but we are determined to learn from it and are committed to support anyone harmed by such activity. We can only assist though where people come forward and engage productively to find some form of solution, if it exists, to address those past experiences.
Where we find safeguarding issues in our current ‘free school’ (Academy) we speedily and actively engage with relevant external authorities, in a multi-agency approach of transparency and openness. We have developed a reputation with Wolverhampton Safeguarding Together (WST), the police, local authorities, and social care systems so much so that they place with us a significant number of vulnerable young people in day and boarding school settings.
That does not change the experience of those former pupils I know, but indicates our approach to putting children first to enabling them to be successful young people, able to contribute to society in a positive and confident manner.
I would encourage former pupils to engage and work collaboratively with us to try to find solutions and support for those who may have suffered in their experience. I do believe that together we can help begin that recovery process for those and I would very much commit myself to be an agent of that process if considered appropriate.”
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021
Chair of trustees of The Royal Wolverhampton School Foundation, Peter Hill, has said :
“We are all saddened and appalled by the experiences recorded in the IICSA collation of testimony and echo the School’s comments. We have heard similar stories concerning the predecessor school. These experiences have been frighteningly common amongst people who attended residential and other schools in the 1960s, 70s, and 80s. There is no excuse for what happened at the predecessor school.
I and my other Trustees, absolutely deplore and deeply regret the abusive actions of some pupils and staff of the predecessor Royal School, which clearly took place and often went unpunished.
I experienced a 1960’s education, though not the extremes of treatment outlined in the report, and joined the Board of the predecessor school partly to ensure the lack of support and harsh, callous treatment of pupils I experienced would not occur at any school for which I had a responsibility. During that 28-year period the behaviour of pupils and staff significantly improved to the extent that the current school is widely recognised for its outstanding support of vulnerable young people and particularly boarders for whom it is their home.
We meet former pupils, from recent times and from long ago, at school events. They often come to see what it is like now and how much it has changed. We hear too the positive experience of many who would wish their voice to be heard, as well as hearing of those who had such a hard and damaging time and may still be struggling to live with that damage. Some would not want to visit the school. We will strive to support them as part of a unified and supportive approach of School and Foundation.
The predecessor school, sometimes known colloquially as the ‘Ophney’ no longer exists. The Foundation, as it is now called, operates independently of the Free School (Academy) to “advance the education of persons of school age”. It receives donations and bequests, from Old Royals and others and responds to requests from the school to support needy pupils, often by helping to fund a period in boarding. It has no staff, property or other assets apart from a permanent endowment to support recent leavers. As such, its ability to offer support to those who were abused at that school is limited.
Two of the three current Trustees were former pupils from that period. As Trustees we commit to aligning ourselves with the commitments referred to above and play a part in meeting former pupils, understanding their experiences and trying to offer some personal comfort where appropriate.”
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021
Statement of Trustees' responsibilities
The Trustees (who are also the directors of the Charity for the purposes of company law) are responsible for preparing the Trustees' 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 Trustees to prepare financial statements for each financial year. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees 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 of the Charities SORP (FRS 102);
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make judgments and accounting estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards (FRS 102) 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 Charity will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Charity 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 Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by order of the members of the board of Trustees and signed on their behalf by:
Mr P Hill, FCMA, CGMA, CPFA Chairman Date: 17 May 2022
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 AUGUST 2021
Independent Examiner's Report to the Trustees of The Royal Wolverhampton School Foundation ('the Charity')
I report to the charity Trustees on my examination of the accounts of the Charity for the year ended 31 August 2021.
Responsibilities and Basis of Report
As the Trustees of the Charity (and its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').
Having satisfied myself that the accounts of the Charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the Charity's accounts carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent Examiner's Statement
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
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accounting records were not kept in respect of the Charity as required by section 386 of the 2006 Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination; or
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the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
This report is made solely to the Charity's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the Charity's Trustees those matters I am required to state to them in an Independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the Charity and the Charity's Trustees as a body, for my work or for this report.
Signed: Dated: 18 May 2022
Simon Atkins FCA
Cooper Parry Group Limited
Chartered Accountants Argosy Road East Midlands Airport Castle Donington Derby DE74 2SA
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION
(A company limited by guarantee)
STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2021
| Note Income and endowments from: Donations and legacies 3 Total income and endowments Expenditure on: Charitable activities 4 Total expenditure Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward |
Unrestricted funds 2021 £ 7,431 7,431 8,747 8,747 (1,316) 53,918 (1,316) 52,602 |
Restricted funds 2021 £ 60,100 60,100 - - 60,100 6,700 60,100 66,800 |
Endowment funds 2021 £ - - - - - 78,564 - 78,564 |
Total funds 2021 £ 67,531 67,531 8,747 8,747 58,784 139,182 58,784 197,966 |
Total funds 2020 £ 6,227 |
|---|---|---|---|---|---|
| 6,227 14,468 |
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| 14,468 (8,241) 147,423 (8,241) |
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| 139,182 |
The Statement of Financial Activities includes all gains and losses recognised in the year.
The notes on pages 12 to 18 form part of these financial statements.
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee) REGISTERED NUMBER: 00454793
BALANCE SHEET AS AT 31 AUGUST 2021
| Note Current assets Debtors 8 Cash at bank and in hand Creditors: amounts falling due within one year 9 Net current assets Total net assets Charity funds Endowment funds 10 Restricted funds 10 Unrestricted funds 10 Total funds |
13,456 187,010 200,466 (2,500) |
2021 £ 197,966 197,966 78,564 66,800 52,602 197,966 |
4,098 136,884 140,982 (1,800) |
2020 £ 139,182 |
|---|---|---|---|---|
| 139,182 | ||||
| 78,564 6,700 53,918 |
||||
| 139,182 |
The Charity was entitled to exemption from audit under section 477 of the Companies Act 2006.
The members have not required the company to obtain an audit for the year in question in accordance with section 476 of Companies Act 2006.
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
Mr P Hill, FCMA, CGMA, CPFA Chairman Date: 17 May 2022
The notes on pages 12 to 18 form part of these financial statements.
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021
1. General information
The Royal Wolverhampton School Foundation is a private company limited by guarantee (registered number 00454793), which is incorporated and registered in England and Wales. Its charity registration number is 1092221. The registered office and principal place of business is Penn Road, Wolverhampton, West Midlands, WV3 0EG.
It's principal activity is to support the provision of education at The Royal School, Wolverhampton.
The members of the company are the Trustees named on page 1. In the event of the company being wound up, the liability in respect of the guarantee is limited to £1 per member of the company.
2. Accounting policies
2.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
The Royal Wolverhampton School Foundation meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
2.2 Going concern
After making appropriate enquiries, the trustees have a reasonable expectation that the company has adequate resources to continue in existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements.
2.3 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021
2. Accounting policies (continued)
2.4 Income
All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
The recognition of income from legacies is dependent on establishing entitlement, the probability of receipt and the ability to estimate with sufficient accuracy the amount receivable. Evidence of entitlement to a legacy exists when the Charity has sufficient evidence that a gift has been left to them (through knowledge of the existence of a valid will and the death of the benefactor) and the executor is satisfied that the property in question will not be required to satisfy claims in the estate. Receipt of a legacy must be recognised when it is probable that it will be received and the fair value of the amount receivable, which will generally be the expected cash amount to be distributed to the Charity, can be reliably measured.
Donations received for the general purpose of the Foundation are credited to unrestricted funds, where the donor or appeal has imposed trust law restrictions, voluntary income is credited to the relevant restricted fund and incoming endowments are accounted for as permanent trust capital or expendable trust capital, according to whether the donor intends retention is to be permanent or not. Gifts in kind are valued at estimated open market value at the date of the gift, in the case of assets for retention or consumption, or at the value to the Foundation in the case of donated services or facilities.
2.5 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
2.6 Financial instruments
The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments.
2.7 Debtors & Creditors
Short term debtors are measured at transaction price, less any impairment.
Short term creditors are measured at transaction price.
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021
3. Income from donations and legacies
| Donations Legacies Total 2021 Total 2020 |
Unrestricted funds 2021 £ 6,431 1,000 7,431 6,227 |
Restricted funds 2021 £ 60,100 - 60,100 - |
Total funds 2021 £ 66,531 1,000 67,531 6,227 |
Total funds 2020 £ 6,227 - |
|---|---|---|---|---|
| 6,227 | ||||
4. Analysis of expenditure on charitable activities
Summary by fund type
| Donation to the Royal School, Wolverhampton Support costs and governance Total 2020 |
Unrestricted funds 2021 £ - 8,747 8,747 14,468 |
Total funds 2021 £ - 8,747 8,747 14,468 |
Total funds 2020 £ 14,053 415 |
|---|---|---|---|
| 14,468 | |||
Support costs include administration costs, bank charges, legal fees and governance costs relating to the independent examiners fees.
5. Independent examiner's remuneration
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Fees payable to the Charity's independent examiner for the independent | ||
| examination of the Charity's annual accounts | 2,500 | 2,200 |
6. Employees
The average number of employees during the year was Nil (2020: Nil).
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021
7. Trustees' remuneration and expenses
During the year, no Trustees received any remuneration or other benefits (2020: £Nil).
During the year ended 31 August 2021, no Trustee expenses have been incurred (2020:~ £Nil).
8. Debtors
| Due within one year The Royal School, Wolverhampton Prepayments and accrued income 9. Creditors: Amounts falling due within one year Accruals and deferred income |
2021 £ 3,456 10,000 13,456 2021 £ 2,500 |
2020 £ 4,098 - |
|---|---|---|
| 4,098 | ||
| 2020 £ 1,800 |
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021
10. Statement of funds
Statement of funds - current year
| Unrestricted funds Foundation General Funds Endowment funds The Leaving Exhibition Fund Restricted funds Organ Fund Fountain Fund Total of funds Statement of funds - prior year Unrestricted funds Foundation General Funds Endowment funds The Leaving Exhibition Fund Restricted funds Organ Fund Total of funds |
Balance at 1 September 2020 £ 53,918 78,564 6,700 - 6,700 139,182 Balance at 1 September 2019 £ 62,159 78,564 6,700 147,423 |
Income £ 7,431 - - 60,100 60,100 67,531 Income £ 6,227 - - 6,227 |
Expenditure £ (8,747) - - - - (8,747) Expenditure £ (14,468) - - (14,468) |
Balance at 31 August 2021 £ 52,602 |
|---|---|---|---|---|
| 78,564 | ||||
| 6,700 60,100 |
||||
| 66,800 | ||||
| 197,966 | ||||
| Balance at 31 August 2020 £ 53,918 |
||||
| 78,564 | ||||
| 6,700 | ||||
| 139,182 |
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021
10. Statement of funds (continued)
The Leaving Exhibition represents the permanent endowment capital of a fund to be applied for the advancement of education by the award of grants (which may be known as Leaving Exhibitions) to beneficiaries to enable them to attend any place of higher or further education or an equivalent course of study (including an apprenticeship).
For the purposes of the Scheme "Beneficiaries" means persons under the age of 25 years who have been registered pupils at the School for at least two years and "School" means The Royal Wolverhampton School and upon its closure the Royal School, Wolverhampton.
The Organ Fund was created by a legacy intended to cover the renovation and upkeep of the organs of The Royal School, Wolverhampton.
The Fountain Fund was created by a donation intended to cover the restoration of the Foundation of The Royal School, Wolverhampton. Any unapplied funds on completion of the project may be applied to further the purposes of the Charity at the Trustees' discretion.
11. Analysis of net assets between funds
Analysis of net assets between funds - current year
| Current assets Creditors due within one year |
Unrestricted funds 2021 £ 55,102 (2,500) 52,602 |
Restricted funds 2021 £ 66,800 - 66,800 |
Endowment funds 2021 £ 78,564 - 78,564 |
Total funds 2021 £ 200,466 (2,500) |
|---|---|---|---|---|
| 197,966 |
Analysis of net assets between funds - prior year
| Current assets Creditors due within one year |
Unrestricted funds 2020 £ 55,718 (1,800) 53,918 |
Restricted funds 2020 £ 6,700 - 6,700 |
Endowment funds 2020 £ 78,564 - 78,564 |
Total funds 2020 £ 140,982 (1,800) |
|---|---|---|---|---|
| 139,182 |
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THE ROYAL WOLVERHAMPTON SCHOOL FOUNDATION (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021
12. Related party transactions
The Royal School Wolverhampton is a related party due to the fact that Mr P Hill is both the chairman of The Royal Wolverhampton School Foundation and a director of The Royal School Wolverhampton (Mr P Hill retired on 31 August 2021 from The Royal School, Wolverhampton). During the year the Foundation made a donation to The Royal School Wolverhampton of £Nil (2020: £14,053), the correct voting practices were observed to ensure independence. The Foundation collected and paid across boarders fees of £22,923 (2020: £5,738). In addition it initially paid and has been reimbursed for, bank charges of £2,558 (2020: £2,494) on behalf of The Royal School Wolverhampton. The Royal School, Wolverhampton paid Independent Examiners fees of £1,800 (2020: £Nil).. At the year end The Royal Wolverhampton School Foundation were owed by The Royal School Wolverhampton £3,456 (2020: £4,098).
There were no further related party transactions other than those disclosed in note 7.
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