Spurgeon's COLLEGE REPORT OF THE GOVERNORS and FINANCIAL STATEMENTS FOR THE YEAR ENDED 31" July 2022 Comp•ny numb•r: 04418151 Ch•rlty r•glslratlon numb•r: 1096721 R•glst•r•d offlc•: 189 south Norwood Hlll, London SE25 8DJ W•b•lt•: www.8 ns.ac.uk SPURGEON'S COLLEGE Roglst•r•d charlty no. 1098721 In¢orporatlng trust property hold In ¢onnoCtlon wlth Spurgeon's College roglstered charfty no. 312888 and Falkland Park Trust reglstered ¢harlty no. 1096721-1 REPORT OF THE GOVERNORS and FINANCIAL STATEMENTS FOR THE YEAR ENDED 31•1 JULY 2022 Cont•nt• Pago Ref8renc8 and administrativ8 details Report of the Govemors Report of the Independont Audltor 20 ststement ol flnancial actlvlts'es 25 Balance sheet 27 Statement of c88h flow8 28 Notes to the financlal statsments SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED ST 31 JULY 2022 REFERENCE AND ADMINISTRATIVE DETAIL8 Spurgeon's College is a Company limlled by guarantee registered in England and is also a charlty registered wllh th8 Charity Commission. Th& govemors are both the directors of the company and trustees of the charity. Company r8olstr8tlon number 04418151 Charity registration number 1096721 Reglstered office Spurgeon'6 Colleg8 189 South Norwood Hill London SE25 60J Govemor8 R8v'd Stuart Davison (V￿6-Cha￿) Prol Sir L6sli6 Ebdon (Chaw- from Awll 2022) Rev'd Jonalhan Edwards Mrs Joann& Gale Mrs Charlotte Kirby-Thomson Mrs Sarah King (Chair- to Apnl 2022) Rev'd Prof Philip Mccomiack {Principal) Ms Charmalne Mhlanga {Sludgnl governor) Mr Davld Locke (Trea8ur8rJ Mr Nell Sherrlngham Pastor Micha81 Whlte Senior staff R￿d Prof Philip Mccomiack {Prlncipat) Rev'd Helon Stokley (Ch￿1 Oper81ing Offlcer) Rev'd Dr Staphan Wright, {Vlce Princip81- Icademic Dlreclor) Rev'd Slmon Jon&s (Vlce PrlnGlpal- Dtreclor ol Tralnlng & Minlsterial Fonnation to 12th February 2022) Rev d Seidel Abel Boanerges (Dean of Mlnisterlal Formation- Designal8) (from 141 Seplember 2021 and Dean from 12th Fébr(wy 2022) Page I SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FI￿￿CIAL STATEmE￿s FOR THE YEAR ENDED 31ST JULY 2022 Principal &d￿"s•T8 Solldtors Muckle LLP Tlme Central 32 Gallowgale Newcastle Up￿ TyneNE14BF Bankers Nalwest Bank Addl8comb8 Branch 209 Lower Add18r￿nbe Road Croydon Surrey CR06RB Audltor8 Mtsore Klng8ton Smllh LLP 9 Appold Street LorKlon EC2A 2AP Investment Managers Ralhbon8S 159 New Bond Street London W1S 2UD Indepandent Ftnanclal Advlsern AW Flnanclal Management LLP Rlver House 1 M8ld8tone Road Sklcup Kent DA14 SRH Page 2 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 GOVERNORS, ANNUAL REPORT The gov9mors have pleasure in presenling their report and the financial statements of Spurgeon's College for the year ended 3181 July 2022 which are also prepared to meèt lh8 requirements for a directors, report and accounts for Companies Act6 purpose8. The financial statements comply wlth the CoMpan￿S Act 2006. the Charllies Act 2011. tha Memorandum and Articles of Association, and follow the Sl8lement of Recommended Practice applicable lo Charities preparing their accounts in accordance with the Financial Reporting Standard 8ppli¢able In the UK and the Republic of Ireland {FRS 102). Structur•, gov•manco and managomont Gov•rnlnq docunmnt Spurgeon'8 College ig govemed by its Mides of Association as adopted by Council on 18th June 2020. The members of Ihe charfty are the members of the Councll. In the event of Ihe College wlndlng up, eath member ol tha Councll undertakes to contrSbute an amount not exceadlng £10. Upon the vAndlng up or dls801ution of the Collaga, all remalnln9 888els Shall be given or tran5feTred to.'anolher charity having th8 Same or SIMI￿r oblect8 to the C•oll8g8 in atsx*rdance wlth charlly law. The Collage occuples land and buildings in South Norwood, London. These, induding a residential property, are owned by the Falkland Park Trust {Charfly No.. 1096721-1, previously Charity No.. 1017769). Under a Charity Commlsslon Scheme dated 131h February 2003, tha company (Spurgeon's Collegg) berAme sole Corporate Tru6lee ol th8 Falk18nd Park Trust. On 29th Aprll 201 g Spurgeon'8 Colleg6 Development Limited was incorporgled as a wholly owned subsldlary of Spurgeon's College. Thé company has been dormant slnce Incorporatlon and wlll be used for future College devalopmenl projects. V•lld•don andr•gulatlon On 18 May 2022, Ihe Office for Students {OfS) the Regulator for Hlgher Education In England, granled Spurgeon's College Full Taught Degree Awarding Powers ITDAPB). The effect of this order 18 that Spurgeon'8 College Is authorised to gr8nt all taught aw8rds (including foundation degrees, bachelor5, degr888 and laughl masters. degrees) for a tlme- Ilmlted perlod be9innlng on 1 September 2022 and explrlng on 1 December 2025. The College has a150 been granted the power lo aulhorisa other Institutlons to. grant academic awards, as spectfied in tho order. on its Èéhalf. These powers came into effect Sn UK law 1 September 2022. TDAPS are eagerly soughl by hlgher education prowders in England, despite the slgnlficant Gost of obtaining TDAP and.the cornplexity of the proc88s lo achieve TDAP. Thls Is because TDAP is seen lo offer confirmation of reputation (the most precious commodity in higher education). greater autonomy. flexibility, leadership and economic benefits. As the first theological college to hold degree awarding power8 in the UK, the reputslion of the College is not only greaty enhanced. it confims Spurgeon's as the leading such college in the Page 3 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 United Kingdom. As a dègre8 8wardlng power, Spurgeon'8 College has the legal author+ty lo diversify its courses, for example a degree pro9rarnm6 in counselling, new pathways in ministerial training, degree programmes in the li￿ra1 arts and social sciences.Idevelopm&nts which W8re Im￿sSIble as a validated HE provider). A modest 20% Increase In student numb8rs will generat8 an addllion81 £200K per year. most of whlch would flow dlrectly through lo the bottom line, as new students could be accommodated Into the exlsting academlc structure 8stabllshed by th8 Colleg8 in preparation for DAP8. There Is con8lderable opportunlty for Spurgeon's College, as the only Theologlcal College to h8ve TDAP, lo valida18 Other colleges, The theology sectlon In UK hlgher educallon18 under increasing pressure and traditional unlversllles have eilher ended existed valldallon agreements with theological colleges or are con8hJering the medium-lemi value of such relatlonships. As a degre& awarding authorlty, Spurgeon's College h88 th8 Opportunity to a8s1s1 in socuring the provision of theologlc81 educatlon In the UK at unlversity level. The Impact upon churches withln tho Baptist Family nationally and the Flee chU￿h Movement. more generally, could be slrategiGally important. Spurgeon's College contlnues as an approved partner of the University of Manchester (on tsa¢h-oull, Llverpool k4op8 Unlver61ty {on teach-out), and the Inslilule of Paslorai Counselling, and is an approved leaching centre for tho Counselling and Psychotherapy Central Awarding Body. The College ha8 validation links with the University of Chester for some postgr8duale degrees. whlch are al80 on tsach-oul. Spurgeon's College Is regulated by the Offic8 for Students (Ofs), the Quallty A88ur8nce Agency {QA4). which rev14VWS 8nd assur88 HNJh8r Education stsndards, and $ub6cribe6 to the Hlgher Educatlon StatlstiC8 Agancy IHESA). vthich collects, processes ond publishes data about hlgher educatlon In the UK, and the Office of the Indepgndenl Adjudicator (OIA), th8 ind8pend8nt body $81 up to review sludant complainl8. Thé Collège is also a member college of the Bapllst Un5on of Great Brltain, and a member of the Evang8li¢al Alliance and the Mi¢ah Ne1W￿k. Page 4 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED ST 31 JULY 2022 Oryanlsarfonal structure and declslon maklng The management of the College 15 vested in the Board of Governors. The govemors are dlrectors of the company liffliled by guaranlae and trustèes of the charity. The Board meets on al least four occasions each year 8nd is responsible for delivery of the College's Charitable objects, selling the strategic direction and upholdlng the values of the College. The Council is the body to whom the govemors are accountable. The Coundl 8180 provides advlce, acts in advocacy for the College and appoints the governors. Th8 Councll compri888'. up lo tsvelve members appolnted by the current membgrs of the College Confer8nc8 (fom18r slud8nts)'. for éach of the London, East6m and South Eastefn 8aptisl Associations, up to four members, including one Reglonal Minislor and up to three Lay Members who ara Interested In furthering the work of the Colleg8. appolnl8d by the directors of the Assodatlon8', up to three repre50ntatlve$ of the Particular Baptl8t Fund appointed by the M8nager8 ol the Fund: Ihe govemor8: the Chlel Operatlng Offlcer. the IYicfrPrincipal arid Dean of Mlnlslerlal Formation; up to slx mambars of Collego staff Includlng thr88 tutorial staff and thre8 othor members of 8taff', one representative of the Baptist Union of Great Brllaln 8ppolnled by Ils Iru8te88: one represenlatlva ol BMS Worfd Mlsslon appolnled by Ils trustees: up to three represenlatlves of the 81ud6nt body., up to thr88 paopI8 co-opted by th8 Gov8rnors in1181son wlth 8cum8nlc81 bodles In South London; and up to four other people co-opted by the Governors. The Board of Govemors is assi81ed in its work by a number of advisory committees formed of governors. Council members. Collége supporters and membèrs of staff. The Board sats tho terms of reference for oach commlltee, whSch are revS6wed regularly, and appoints commTtl88 m8mbers wllh relevant expertS3e and experience. The advlsory commlltees meet as and whgn required. provide minulos of oach meeting to th8 govemors, and also report on Ihelr activities to thè annual general m68ting of the Council. The advisory commitlees are as follow8.' Buildings Group - provldes advlce and assistance on all matters conceming the Coll898 properties. Marketing, PR and Income Generation Group- provldes advlce and asslslance on all matters concerning income g8nerotion, including recruitm8nt. promotion of College activities, Equality, Diversity and Incluslon Monltortng Group - advises on matters relallng to equality, dlversity 8nd Incluslon Issues and ensures compllance with the law and best pr8cIIcè. Finance Committee - provides advice and assistance on all matters Gonceming the Page 5 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 Colleg8 finances Audit & Risk Committee-provides advlce and ass18tsnce on all matters wnceming rlsk management and audit. Govemance Group- provides advlce and assistahce on all matters concemlng gov8mance. Nomination5 Group - provides advic8 on the selectlon of new governors. Academic Board- oversees th8 courses. standards and outcomes of tha coursés offered throughout the Collég8. Academlc Board 18 the body entrusted by the govemors with overseelng the educational work of the College. The members durtng tha year ended 31 It July 2022 were as follows.. Rerfd Prof Philip McCorn8¢k, Prlnclpal. (Chalr) Katie Walsh. (Senlor Reglslrar), Rev'd Dr Sleph8n Wrlght. IAcad8mlc Dir8cior), Rev'd Seldel Ab818oanerge8'. Revd DothB Blackwood., Mr Rob Bradshaw., Dr Thomas Breiiiiaier" Revd Slmon Jones. Dr Debra Reid. Dr Zollan Schwab." Dr Joshua Searle. R6v'd Martin Slokley. Revd DT Pete Phllllps. Dr Jonas Kurlberg" Representing tha associate 8nd online lulors: Rev'd Robert May. Representing the College of Preacher8'. R8v'd Domlnic Robinson Counsalliiiq course leader.. Mr8 Jlll Parnham. Representing the Governors.. Prof Slr Les Ebdon Representing the Council and also wider academic Ilfe- Chrlsline Dunmow Represenllng wkler academlc Ilfe: Prof. James CarpBnter: Dr Andrew Jones. Prof. G8offrey Cook., Prof. Jerry Forrester,. Dr Trevor Stamrner8 and Prof. Andrew Thoma80n. Thra6 reprnsentallves ol undergraduat8 Studenls (from different pathways> and up to throe r8presentstlves of postgraduate students (trom different pathways) "Denole8 m8mbw8 of Slaff who are remun8ral￿l for Ih8ir 8orvlce relalrwJ to tho lexhlng and admln18tralive actlvltle5 of Ihe College rather than in ihelr role as membots of thè Academic 808rd. Page 6 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 The Board delegates the m8nagemenl of all operalSonal, financial and academic matters to the Principal who in lum delegates relevant 8clivilies to the senior management of the College, the Heads of Departments: the Chief Operating Offlcer.. the Academlc Director, and the Director of Ministy Formation and Training. The Heads of Departments aro invited to att8nd 8ach Board meeting and are required to provide a report detailing the 8clivitles of their departments to infonn Governors of their oversight of each department. GovernorrKrultment and appolntment The Board of Govemors comprises not less than nln8 and not more than 13 members. The quorum for the IransaGtl¢M of the business is the graaler of one third of Iho govemor8 or three. Al every annual g8ner81 maeling one-third, or the number nearest lo {but not greater than) on8 Ihlrd, of the govemor8 (other than the PrinGipal lex-officio) and Student Governor (appolnt8d by the governorsll retlre from offic8. but are eliglble for re-appointment by the Councll members. Govèrnors, other than the Pfincip818fKI Student Govemor, are normally 8ppolnled for a le￿ of three years. They s8Ne for no more than nine years, unless the governors 8xception8lly resolve to pem)It a further term for no more than one governor at a time. The Student Covemor 18 appolnted for a lemi of one year renewable for fijrther periods of one yeai. up to 8 maxlmum of four years. The Board of Governors ha5 the power lo co-opt new govemor8 bul th088 COaOPtéd have to sland for election al the following annual general meeting. co￿tIOnS are made on th8 recommendation of the Nomlnations Group whose rnernbers revlow the skills matrix of the Board 8nd role descripllons, and Sdenlify sultable candldates for appointment to th8 Board. Candidates are recruited from direcl approache8. recommendations and referrals, and by advertising, as appropriate. The Board endeavours to refiect the diverslly of the student body In Its own ￿Mposition, ènsuring there is diversity of gender. age, 8lhnicily and denomlnatlonal alleglance. Potenti81 new govemor8 meet tha Nominations Group lo d18CUS8 the role requirements. Followlng appolntmenl, 811 new govemors are Issu8d wlth 8 Govemance Handbook and other appropriate documentatlori. Guld8nce is given on the roles and responslbilities of belng a charlty trustee and govarnor. and on the College's governan￿ structure. Megtings wllh key College personnel are arranged. R•mun•ratlon The govemors aro cornmitled to 8nsurfng a balanc8 belw80n paylng staff to attract and retain the b8s1 people for the job and careful management of charltable fund8. In delerniining the remuneration paid to academic staff, the governors are cognisant of the remuneratlon glven lo those working in similar roles in other theological and Bible Colleges, and lo minSsters Sn tha Baptist Union. I￿e￿ possible. remun8r8tion attached lo jobs in support functions is b8nchrnarked agalnsl similar jobs in the local jobs market. Cost of living increases may b8 awarded annually to all staff on the basis of a recommendation from the Page 7 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 Finance Committee in the contexl of the annual budgat setting process. following consideratlon of the incr8ase in Retail and Consumer Price Indices and the College, flnancial position. Objoctlv•8 and activiti08 ObJe¢ts The Coll8g8'8 charitable objacts are lo advanc8 the Christian religion in accordence with th8 beliefs and practices of Baplisls and the inlerpretalion of sud) beliefs and praclicas usually Called 8v8ngelical, in particular through the prcvision of education. tralning, vocational preparallon and 8UPPOrt lo Chri8tsans for m1581on and ministy. Our Mlsslon To traln men and women for Chrls118n ml68Son, mlni6try aNI leadership in the ¢onlemporary world Our Vlslon The College draws 118 V181on from thr88 GourceB: g, A Gonles8ion81 ft)undat￿i- 'Istablish811 by GFI Spurgeon In 1856 as the Pa8lor8' College, Spurgeon's College is a Chrisl-cenlred, evangelical cfjllege In the Baptist tradition, 8ngaged In biblical and theological education. b. A fonnative ethos- this flows from our life as a cornmunity that meels daily for worship, where preparalK*n for Chrlslian servlce Is enrlched by the practice of gatherln9 daily as 8 community to glorlfy God, who Is F8lh8r. Son and Holy Spirft. c. A geogr8plJlc81 Ioo8llon- th8 Collage18 Intenllon811y London based, wlth a n8tlon81 focus and a global reach. The College Vi61on for the next ten y8ar8 18. To cultlV8tè 8 cr8aliv818amlng 6nvironmenl 811owlng every 8tudenl lo develop spirltually. academlcally. emotlonally and goclally. To deliver a relevant, 6truclured ¢urri¢ulum tailored to trainlng men and women for mi8sion. ministy and leadership for all who wish to d88p8n Ihelr underslandlng of th Scriptures and theology. To develop the College's posltlon, In the global and diverse city of London, as re8earch-led, exparience-based, centre of excellence d6livering positive outcomes for $tudenl8. To maintain the highest professional and ethical st8ThJards in every aréa of College Page 8 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 Our Values As a Chrisllan Hlgh8r Education Theological College our values are directly drawn from and allgned wlth blblical prlnciples. In particular. We believe in the inherent moral equality, dignity and worth of avory individual. We valu6 th& unique distinctiveness of each member of the College community. We celebratè the richness of beino a diverse and inclusiv& community. We believe that as a community meeting daily for worship w8 musl be careful lo list6n to God and discern his will and purpose. We wlll promote the gener81 wellbeing of all members of the Student community 8nd College staff. We are committed to as818ting every Student In rg8ching their potentl81. The College's Values are consistent with and build upon 'The 7 prlnciples of publi¢ Ilfg, 0ft8n r6f6rred to as the 'Nolan Principles.. Students The College's main activity the provision of excell8nl education In a supportlve iivlronmenl, In particular tralning those c811gd to Christian mission, ministry and leader8hlp in the contemporary world is the provision of theological educatlon and mlnlslerlal andpractlcal Iralnlng for Chrlstian mission and mlnislry. Spurgeon'$15 W8lcomlng and Incluslve communlly- w6 béllèvé th81 all aré erèalèd In God's Image and lov8d by hlm so we value each 8lud8nt and thelr unlquo contrlbulSon lo the corporate Ilfe of the College. Spurgeon's College contlnuas to prepare candldates for ordlnallon lo Bapllsl mlnlstry wllhln the Baptlst Unlon of Great Brllain, and traln pastor8 and leaders from other denominations. The College also Sncludes students who are pursuing a theological education for ils own merlls in its dlverse learnlng community. and th18 fvrther en￿cheS the life and experience of all communlty members. Since11s foundauon, over 5,000 churches worldwtde have be•n served by Spurgeon's ministers and its Irain6d mlnister8 ar8 activ8 Sn ov8r 35 countries. The Colley has also developed posl%raduate provision for continuing ministerial dev8lopment training and has a thriving post-graduate re88arch community. It offers other accessible training package¥ for churth members seeking to sorve inlay capacities or pastoral supenrflsion roles. The College's ￿unSelling provislon continues lo grow 8rKI flourlsh and is considered a gold st8nd8rd in the provision of counselling edLJC81ion in the South of England. One of the now programmas the College is working oll 18 a new undergraduate degree in counselllng. whlch wlll ba qualifylng. Publlc b•n•fie The gO￿rnor$ carefully conslder th Charlty Commlsslon's gutdance on publlc benefft In determining whal work Is done, and the guidance infom16 the College's aims, plans and activiti88. The governors take serbousty thelr r•sponsibility lo offer hlgh quality academi provislon that a180 rnpresents valu8 for maney to 8tudent8 ar￿ to taxpayers. Isee overflmen lonsll 168-ol- ubli 4ifel he.7- Pa8e 9 8PURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 Th056 who benefit from the College's work directly are the students. Those who study andl or Irainfor ministry, both ordained and lay, and also, indirectly. thosé who worship in and b8n8fit from the minlstry of churche$ In the UK and around tho wodd which ar8 served by Students and fomier students. Those who study to become professional coun8ellor8 and enrich.thdr communlty through the skills they learn at Spurgeon's College. The students benefit through: Enhanced knowledge and skllls Academic and professlonal study 8nd quollficallon6 Broadened persp6Gliv8s on faith and the world Deeper and Stronger personal spirituality gained from living, studylng 8nd wor8hipping In a Christian ¢ommunity. The benefit to th8 o8neral public comes through: Leadership by properly tralned and equlpped ordain8d ministers,1gy leaders and counsellors of churches which 8r8 open for publlc worship. Leadership of arKI Involvement in Christian charitsble and s(xial action work by current and former students of the College who have been motivated, Inspi￿d and equlpp8d by their cour888 al Colbg8. The governors ensure the cours88 81 Spurgeon'8 College are d081gned for thos8 who 8eek lo further their knowledge of Chrlslian theology or traln for Chrlstian mln18try and Iraln to become coun5ellors. Whilst the College is part of the Baptist Unlon of Great Brilaln, a wlde varialy of church tradillons are represented wllhin the student body and tha LY)nt8nt of the cour5e8 offered refi8cl8 Ihls dlver81ty. The Colleg6'8 Acc&ss 8nd P8rt1clpallon Plan demonstrates the Colleg8'8 commltment to falr acc888 and opportunity. The Coll8g8 helps those 8eeklng to come lo the College to identify the cour86 that is appropriate to Ihelr current and future n68ds, depending on Ih8ir inlèr88ts and IrKllvldual calllng. The College has a wlde range of cour8e8 8nd 8tudy options avallabl6 with 81mi18rly wlde range of fees. Fees are Set at rates which are 8ppfopTlate be8rlng In mlnd slmSlar courses offered by other Bapt15t ar￿ 8ible Colleges and ¢enlres delivering counselllng courses. All courses are subsidisad 86 the income from fees 18 less than the cost of provKlin9 course5. Donations and legacies from supporters, Income derived from use of proportles and 98S8t8, and Investment Income. all contrlbule to the subsidy. Students who are training for the Baptist ministry have acce5S to the Baptist Union Bursary Fund. They and other students have access to bursary funds administered by the College 9nd to gr8nts from charitable trusts. The College ￿ activa in ensuring that students with financlal needs have information about raising money to fund Ihelr Irainlng and are able to apply for buTsaries. Clvlc conlrfbutlon As a higher education institution with the sama p￿erS as any UK unlverslty to creale, validate and offer acad8mlc degrees. the College has ¢ons¢iousty worked to develop the ¢ivi¢ rolo it Pa8e 10 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 3187 JULY 2022 quietly p ays in t roy on. ur ngl vl -19pan emlc. the ege became aware of a communily lunch club, serving senior clllz8ns with specific needs, that had been made homeless. For the last elghleen months the College has hosted the lunch club thra8 days pgr weak, free of charge, wlth lunch club 81aff using the College's indu81ri8l clas8 kitchen facililles to prepare aTrd cook hot meals for their dient8. The three distinct groups that fomi the lunch club look fornard to their weekly visit to the College and students on a ministerial track have enjoyed their Interactlon with a wonderful group of people form the local comfflunity. The College's proactive engagement with local communlty group8 r88ulted in it becomlng aware of Amity Youth Development. a community organisation working with young people aged 17- 30 who live in the London and Greater London Region. Amlly 8UPPOrts young people by helping them lo anter into employment, 8ducallon or training. Thg College learned Ihat Amity had become hom81888. After discussion with the youth devetopmenl group, the College provided an office and classroom wlthin Its maln educatlonal facility for Amity lo use. To date, Scoras of young peopl& have been trained by Amlty at Spufgeon's and have gone into employment or further education. Before the Covid-19 pandemlc. Croydon Cwncil'8 Educalional Officers vlslted the College and asked rf11 was wllllng to as81st In provldlng a brldge for A Level students in terms of helping them prepare for higher educatton. As a major highér educatlon In81ilutlon In the South of Lontlon, the College recognised Its clvlc r85ponslblllly and agreed to asslst. In 2022, the Co118ge r8n a pllot Tran511ion to Higher Educatlon coursa lor A Level stud8nls from the local Harrts Academy. The cours8 was deswned In p8rtn8r8hlp with Harrls Academy and delivered b￿ the College's faculty ai Its main ¢8mpus. Three cohorts of A Lèvèl students volunlartly took the three week coursa 8t the Collggè and received a certlficate of att8ndance. Harr18 Academy has asked the College lo deliv8r this course again In 2023. One ol the maln civic contrlbutlon8 tho College qulevy makeg to the communlty In Croydon and more wldely across the UK.18 the WO￿ its minlsters In tralnlng do wllhln thelr local Commun1￿09 Ihrough Ihelr ministerial placements in k)¢al chur¢he8. In the financlal year to 3111 Juty 2022, ovar 70 ministerial students from Spurg8on's worked as mlni$ter8 In training In local churches, often 88 the sole minister. The imp8¢1 of this minislry upon local communilles Is often Immense. Many . churche6 run foodbank8 and provide vital community supportto the m08t marglnallsed wlthln those communities. The academic and Iheologlcal stL*Jies undertaken by the Coll898'8 mlnl8ler6 In tralnlng Is pul into practice in scores of vlllages, towns and cilies 8cross the country. Co118ge staff actively d81iver placement support for mini51ers in training and ensure that both the Bludent and tho local church Is support8d. The College expects to work closety with the Borough of Croydon In 2023 as a higher educalion institution with the same academic power and aulhorlly as any UK university. The College will work wllh the C¢)uncll In identrfying how it can assist in developing academic courses that will contrlbute to creation of the skllls and knowledg8 new businesses require in the contemporary workplac9. This potential diverslfication of educational offer will not only assist in possible regeneration of the local Gommunily but also contribute to the improving financial position of the College moving forward. Page 11 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 Additional publlc int•r•st govornanc• principles The governors monitor good practice within both the Gharily end Higher Education sectors. This means that Spurgeon's College is seeking lo align ils governan￿ processes, in regard lo Higher Educallon, with the current guldance from the Committae of University Chairs ontained in The Higher Educatlon Code of Governance.2 The govemors are sallsfied Ihal adequate and effective measures are in place to ensure that wh8n th8 College is in reGeipl of public funds they are appropriately used. in line with the conditions of the grant and the principles of regularlly, propriety and value for money lo protect the Interest of taxpayers and consistent with ils Charitable objects. Volun¢••rs •nd Don¢ys The College's work is supported by a nurn￿r of volunte8rs whose contrlbutlon Is Invaluable and underpins the success of the College. In addillon to those involvad wllh th8 Colleg8'6 govern8n¢e, volunteers assist with the Llbrary. with the Learning Support D8partment, ￿th church plaeemenls, and In varlous admlnlslratlon 8UPPOrt roles. In ils 166-ye8r h1810ry. th8 College has b8nefited from tho gener081ty of Its 8UPPOrters and donors. The College has remained faithful lo the desire of its founder Charfes Spurgeon thal11 should live by lalth. The many small and large donations both encourage and practically help the College to remain faithful to ils mlssion and visk)n and the govemors wish to acknowledge tha kindness of 115 Stakehoklers. friends and supporters. Strat•glc roport Agr••d slrntegy The progr858 In relallon to Ihg College's oblectlves 88 d&flned In 20181£ reported as follow8: To register with the Office for Students 88 soon gs posslble after 31￿ August 2018 in the Approved (Fee Cap) category. The Co118ge w88 registered with the Office for Students In Nov8mber 2019 8rKI therefore this objecllve has been achieved. To apply for and achlev8 Taught Degrèo Awardlng Powers from the Office for Students by August 2019. Thg College applied for Taught t)egr88 Awarding Powers ITDAPS) in September 2020. It was aw8rded Full TDAPS 18 May 2022 and therefore this obje¢tlve has been achieved. To socure'indèfinite, Taught Degree Awarding Powers. To apply for Research Oegree Awarding Powers {RDAPs) upon securlng 'indefinite' TaughlDegree Awarding Powers. The College wlll work tOW8rds applying for RDAPS in 2023 with the intension of making an application In September 2024. To explore attaining unlverslty till6 onc6 indefinite Taught Degree Awarding Powers have been secured. Page 12 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED sr 31 JULY 2022 Oblective8. c, d and 8 wlll be pursued once Taught Degree Awarding Powers are achieved. To provide excellenl and continually improving levels ol education, formath?n and learning resources for all students across the board. The College continues to provide 8xc8118nl and continually improving levels of 8ducalion, fomiation and leamln9 resourGes as demonstrated by 100% of students agreeing in the National Students Survey that they ar8 satisfied with the Collègé. Student feedback al a unit. course and instilullon level also r8cords high rates of satisfaction. Continued registration with the Office for Students and the College'5 continuing commitment lo excellenc& demonslrale8 the College's commilment lo Contlnually Improve. To encourage and facilitate access and partlclpatlon In Higher Education. Th8 govemors have ¢ommls8lon8d and Implemented an Acc8ss and Participation Plan 12020121 to 2024151 whlch 18 ava118blo on th8 Colleg6 websi18 and Is monitored by the Access and Partlclpatlon Monltorlng Group. chaired by a governor. To dBvelop a School and community outreach progr8mme, utllislng our connecllons wilh our AXlSting and now partnerships, to en¢ouf8ge youn9 people from all backgro'Jnd¥ to conBider Higher Educ8tlon. The Prlndpal and COO continuo to disCUSS Wlth Cioydon Council ways in which the College could help raise attainment of the young people within the borough. The Community Worker conllnues to acllvely reach oul lo and work wlth community groups In Soulh Croydon and engaging wllh local secondary schools. To foster relallonshlps wlth the growlng church, 8sp8elally In rélation to the growlng Black, Aslan and Mlnorlty Ethnic (BAME) movemenls in London and the UK. The di8logue ￿th BAME movements in London and the UK continued during the pand8mic. Thé Prln¢ip81 and Vice Principal Ministerial continued the College'8 engagement with a national churth wlth a view lo assisting it in Ihe dev8lopm8nt of mlnls18rlal Ir8lnlng. To explore with leaders from the BAME communllles the creatlon of a range of burs8rf8s and scholarshlps to en[￿Urage students from Under Repr858nlad Groups to study at Spurgeon's College. The College committed i158lf to give St￿ent bursari85 and scholarshipg lo those from BAME and IMD communities with household incomes under £25,000 In 2021122. Thls commitmenl was honoured In the r8portlng perlod of thls f8POrt. To develop the College's capacily to resource th& churches locally in London and natSonally across the Unitad Kingdom. The College's Inv8slm8nt in its dlgitsl Capabilit￿ ènsured that durlng thls reportlng perfod it Gontlnued to resource churches in London and across tha UK. Thls is evidenced in 118 ¢reation of new online course callod Equipped for Digital Ministry. Page 13 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 315T JULY 2022 To maintain and dpvelop the College's reputath)n as a centre of excellence for counselling Courses. The r8POrt from CPCAB. In thls reporting perlod, praised the couns&lling centra for continulng lo be a centre of excellence. To develop partnerships with Inl8malional univ8r8iUes and IheoFogical colleges, for 8xamp16, through our Inlemab'on81 Distinguished Visiting Scholar programma. The Colleg& conllnues lo be in partnership wlth Anderson Universlly In South Carolina and Is engaged in continuing lalks with a number of int&rnational partners, with whom the Collegé Is foming partnershlps and pro9rammes. To foster and develop partnershlps wlth Inl8matlonal B8PtI8t Associ8tlon8 and Unlons. Tho Prlncip8113 8 member of the Bapt181 Wodd Alllance of Churches giving the opportunlty to develop rel81ionshlp8 and dlscuss 8tral8glc p8rtnership8. To deliver capltal bulld projec18 that contribute. to Income generation and th8 research and Higher Educallonal objfftclives of Spur9&on's College. For example.. Build apartment blockls) as a 8our¢e of Income g8ngratlon and addltlonal accommodation space for intemational students. Bulkl a CH Spurg8on heritsge and conferenc8 centre that 1$ financially 881f- suslainlng and incomè generating. 8uikl a 8pirilu81 retreat centre In Ihe wood, Manage our bulldlnq portfollo to support the d8lNery of the capltal build projects. The plènnlng p8milssion app11￿tIon Bubmllied for the Ralelgh Park Ba￿tISt Church site In Brfxton via8 granted In th8 pr8vlous reportlng perlod. Th8 Bale of thi5 Slte com ￿eted in the currenl reportlng porlod. releaslng subs18nllal funds for th6 College. The College 8xpects lo be in recelpt of a nkni church I communlty bullding in thé summer of 2023 as part of thg d8v81opment deal cornploted in the current reporting perigd. To develop and maintaln a finandal 81rategy that will deliver the College'8 objectiv88. The gov8mors, fin8nce commSttge gnd 8enior management teams continue to monltor aTrJ Implement Ihe financial stralegy adopled by the governors to diversify the In￿rne Streams ol the College through building development and revenue from propety managemenl. 2Soeh Pa8e 14 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 Fln8ncial r•vl•w G•n•ral (unrnstrlct•d) fund Total Sncome for th8 y8ar was £1,088,793 (2021: £1.873.622) and the expenditure was £2,213,459 (2021.. £2,290,923). The College recorded a deficit on the General Fund in 202112022 of £1.126,666. (2021.. £403,848) The major incom8 Stream is the fees charged lo students. The College continuos lo be thanklul for the donations gnd legacies which also contribute to the College's in¢omg. The College conllnued to receive public furKls from the Officè for Students In the fom of a te8chlng and leamlng grant. Thls has been recorded in olh8r income wlth 8n explanatory note 38. It should be noted that the Colleg8'8 acwmmodabon income has continued to be reduced because lettings were not possible due to Covid-19 restrictions. In the 202112022 period, 99% expendlture was on charitable activities and on generating funds1202012021, 99% and 1 % respectively). Tho Coll&g8's operating costs remaln8d consistènt wlth the prevlous year, with staff worklng lo en6ur8 the Coll8g8 was best pLgc8d lo meet the Increased regulatory and reportlng burden 8ssocl8ted wllh Ihe Office for Students and the 8ppIIc8tlon proce88 for degree awardlng POW8r8. R••trlct•d and •ndowm•nt funds A range of reslri¢ted funds appear In the accounts, bélng money donated lor specific purposes such as Sludenl support through bursaries and enhanced teachlng f8cllltles. The govemors are grateful for incomo recelved that has supported a range of $pocifi¢ projects. Total Income for the year w88 £104,945 {2021'. £118,564) and total exp8ndlture was £78,966 (2021- £126,119). Al the yearend tolal restricted funds were £583.188. Total endowment funds at Ihe yoarend were £448,762 (2021:£281.902). Invostmontpollcy The College's invostmont portfollos are managad on a dlscrellonary ba818 by Investment m8nagers. The Investment obleGtlves of the re5pecllve portfollos are sel out in an Investment pollcy 6tatement, which also rK8scribes the elhScal pollcies lo bo lollow8d by the Investment managers. Investments are managed lo achiev8 a balanced relurn betsveen incom8 and capital growlh. generating income for use for current purposes whilst maintalnlng the valu8 of investments for the benafil of future students. Th8 Finance Commltt88 conducts a review meeting once a year with the investment managers and Ihe Indepèndènt financlal advlser and reviews the perfomance of investmentg regularSy. R•s•rve$ polky al￿ futurn prospKts In 8ccord8nce with Charity Commission guidance, the governors monltor the level of funds held In unrestrlcted reseNes, ￿cOgnis1n9 the pressur&s causad by the imbalanc8 between income and expenditure al certain time8 of the year. Whilst income fluctuates over the course of a College year, salaries and other regular monthly c08ts continu8 throughout the year. Given the annual shortfa116 belween College income and expenditure in recent years,it is also n8cessary to maintain reserves which can help fund 8hortfall8 as and when they occur whilst th8 governors continu8 work to return G8neral Fund income and 8xpenditur8 after the receipt of donations to equllibrlum. Page IS SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 The govemors have determined that the optimum level of free re¥erves that the College should hold to ensure its survival should be sufficiént to cover six month's tyjdgeled operational expenditure, which equals £1,103,000. This compares with the reported unrestricted free re5erv05 of £118,230 as al 31 July 2022 - see Note 15'An8lysis of Net Assets by Fund" for Total Urirestri¢ted Funds less Fixed Assets and ￿lated loan fundlng (Long Temi Creditor). In ordar to secure the financial future of Ihe College, the goverrnr6 have been working on 8 project to release value from the CoM6g& slle to provlde an ongoing income stream. an in¢rease in reserves, and new buildings for academic use. In this penod continued progress has been made on a major development pro1￿¢ whlch wlll achiev8 Ihese aims. A conslderable amount ol work hes been done on 8 prolact that will provlde a substantial numb8r of houslng unils for Sale and rent whllst prot8Cting the majorlty of th8 si18 for continued use by th& College for ils purpos88. The College has strategically invested in this prolact In order lo maximise th8 return and had been exp8Cting the planning applICa￿On to be approved In 2023. Due to combln8tlon of the ongoing Impact of Covld-19 r6strlGtlons and well-publicls8d fin8nclal pressures impacting upon Croydon Council, the CoUege'8 planning application 18 now anticipated to be approved in 2023. Fundralslng pc¢lvlty The College dogs not curréntly empkly anyone d8dlc8ted to fundraislng, nor does it use external fundralsers or eommerclal partlclpators. Th8 fundralslng focus 58 on d8v8loplng relatlonshlp8 wllh College sUPPOrters, whlch Is done through th8 Colleg8 Boaal medla ch8nn8ls, e18ctronlc communicaiSons and events. It ha6 been more difficult to meet with 6UPPCrter8 in the period due to th8 pandamlG. The College has not received any complalnts about its fundraislng activit188 and pracllces. cov1￿19 Th8 scale and spread of Covld-19 {coron8vlrusl wrus woddwlde an'd the aclions tsken by the governmenl caused disruption to the Colleg8's activities and Income. During 2021-2022 tha outbreak had a slgnificant Impact on the way the Coll8g8 delivered 118 educatlon. Throughout the pandemic. the governors conllnued to monitor thè sltuation very dosety. wlth Covid-19 and the College's approach lo mitigating risk a sianding item on each Board meeting 898nda. Golng concern Th8 gov8mor5 have assessed whether the use of the going concem b8sls Is approprfate and have considered p05sible evenls or conditions that might cast significant doubt on the ability of the charitable company trj continue a6 a golng concem. The trustees have made this assessment for a period of at least 12 months from Ihe date of approval of the financial slalemenls. Further detail of this assessment is fouTrJ in note 1, page 29. The govamors have a reasonable exp8Ctation th81 the Colleg8 has adequate resource8 to continue in operational e￿$tenCe for the foreseeable future. They continue to adopt the going conG8rn basis of accounting in preparing th8 financial 5tatemonls. Page 16 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 Princlpal rlsks, uncortalntles and opportunltles Th8 College has continued lo Implement 8 number of actlons that resulted In a comprehensive governance ￿VieW undartaken In November 2019. The Audit and Risk committee has bean functioning effectively and is now embedded within the Collega's normal rhythm of operations. The introduction of three new middle managers within the Operations Department, BS a consequence of the govemance rev￿W, has been yielding the antlcipated results, which have been and are being felt across the instituth?n. Maintalning the wld6 varlety of actlville6 of the Collage is not without ils challenges and the govemors have sought to manage the risks of such a fallh undertaklng by identifylng the are86 of major potents'al rfsks a8: the Coll8ge'8 ongolng challenging flnancial position. where operating Income Is18ss than. op8rating expenditure and the College Is dependent on receiving charitabla donations and lagacies and genérating Income from other sources.. failur& to compty wlth legal requirements and Ofs regulauon,. and the loss of key employees ond Inability to replace key Slaff effectively. The Collag•18 vulnerable to 8 decllne in student number8 at a tlme when church attendancè Is decreasing and congregations find it more difficult to afftird to pay a minister and the e￿noMIC silualion makes il harder for students to afford even the subsidised fees charged. Many independenl theological and bible colleges are Struggling to attract suffSclent number8 of students and are facing Ilnancial problem8. The College's locatlon In London wllh a growing and dlverse church scerii*, Its evangelical tradition and reputation for excellenc8, and the v8rtety of courses and rnodes of study offered 811 continue help mlllgate the rlsk of a d•clino in reCrU￿Ment. AS Set out In the financlal review Section above. a considerable amount of work ha8 beon done lo reallse value from th8 College's slte lo e8se the challenging financial posltion. The proposed major development wlll provlde annual ￿ntaI income, a onewoff incre8se in reserves, and enabkg the College to bulld new academic building8 from whlch Ihe Collage will be able to operate into the future. provlding capacily to increase sludenl numbers and Cutting-ed￿ facilill8s. In Ihls reporting period the College conlinuod to make progress In refinlng Ils plan to develop the 811e to help secure the flnancial future of the College. The project to develop tha 81te of R8l8lgh Park Baptlst Church. whlch Closed 31 D8¢8mb8r 2018, successfully achleved full planning perm13slon. Th8 site was offered for sale In 2021 and recelved number of competitive offers from developers. The sal8 of the slte wlll dellver a slgnlflcanl rinancial retum for the College. The Govemors are eware that the College comp8res well on c08t pér student in all areas other Ihan regulation and compliance- due to the slze of the Student body. the cost of fees paid to regulatory bodies. staff costs in academic administration, regulation and compliance areas. and IT costs as50cialed with these arga5, 15 ￿nsiderablY higher p8r $ludent than for other larger HE providers. This is a source of concern and every effort is made to operate efficlenlly and co81 effectively. A8 part of its stralegi¢ education81 plan the College contlnues to look at th8 diversification of income stream and has a long-term plan lo explore increasing its educational offering. for example offering dual honours dagrees In subjects like sociology, counselling and philosophy. The College successfully concluded a partn8rship agreement with Liverpool Hope University ILHU). whlGh enables LHU to deliver ils own programmeG from the London site In the evenings and weekends. These additional courses, in Business Management and Marketing BA (Hons), Inlemational Relations and Social Policy BA (Hon8), and Medla & Communication and Creative Writing BA (Honsl. are exp8¢led to inuease the College'$ tuitson fee incom8 in the Page 17 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED ST 31 JULY 2022 coming years. The continued hlghly respected repulation of the College is crucial to its existence. The College participates actlvely in the Baptist Union of Great Britain and Evangelical Alliance. and maintains links locally. nationally and internationally. The Council, College Conference {alumni network) and the College's supporter base play a key role as ambassadors for the College. Govornors, responsibiliti08 for tho flnanclal statements The governors (who ar8 also dir8Ctors of Spurgeon's College for the purposes of company law) are responsible for preparing the Report of the Governors (including th8 Strategic R8POrt} and the financial statements in accordancè with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practices including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ir8land). Company law requires the govemors to prepare financial statements for each financlal y88r which give a true and fair view of the state of affalrs of th8 charitable company and of the income and expenditur8 of th8 charitable company for that period. In preparing these financial stalem8nls the governors are required to.. salect suitable accounting policies and then apply them consistently; observe th8 m8thods and principles in the Charilies SORP IFRS 102)., make judgements and estimates that are reasonable and prudent., state whether applicable UK Accounting Standards have been followed, subject toany material departures disclosed and explained in the financial statements; prepare Ihe financial Stalements on the going concern basls unless it Is [napprop￿ate1o presume that the charitable company will contlnue In buslness. Th8 govemors are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable Company and which enable them to ensure Ihal th8 financial statements comply with the Companie5 Act 2006. They are also responsible for safeguarding the assets of the charitable company and hencefor taking reasonable steps for the prevention of fraud and other irregularities. Dl8closure of Infomiatlon to audltor8 To the knowledge and belief of the govemors, there is no relevant infomiation that the College's auditors are not aware of, ané the govemors have taken all the necessary care to ensure and establish that the auditors are aware of any relevant information. Audltors Moore Kingston Srnith LLP will be proposed for reappointment in accordance wlth the provisions of the Companies Act 2006 and the Charltiés Act 2011. This report has been prepared in accordan￿ with the provisions applicable to companies subject to the small companies, regime and was approved by the Board of Governors (in their Capacity as company directors) on 17th January 2023. Page 18 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 the small companies, ￿gIMe and was approved by the Board of Governors (ln thelr capacity as company directors) on 17th January 2023. SIKned on behalf of the governors LES EBDON Chalr 17th January 2023 Page 19 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF SPURGEON'S COLLEGE Opinion We have audited th8 financial statements of Spurgeon's College I'lhe company,) for the year ended 31 Juty 2022 which compris8 the Statement of Financial Activities, the Balan¢e Sheet, th8 Statement of Cash Flows and notss to the financial statements. Induding significant accounting policies. The finaneAal reportlng framework that has been applled in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 'The Financial Reportlng Standard Applicable in the UK and Republic of Ireland, (Unlted Klngdom Generally Acceptad Accounting Practice). In our oplnlon the finencial statements: give a true and falr vlew of the statè of the charitable company'¥ affalrs 83 at 31 July 2022 and of Ils incoming resources and applicatSon of resources, including Ils income and expendiluro, for the year then ended: have been properly prepared in accorda￿8 wlth Unltsd Klngdom Generally Accepted Accounting Pradlce", have been prepared In 8¢cordance with tha roqulremenls of the Companies AGt 2006., funds from whatever SDUI tse adminSslered by the College for 8pedflc purpo3e8 havL begn propedy applied to those purposes and iiianaged in accordance wlth relevari legislation., funds provided by the Offlce for Students {OfS) have been epplied In accordance with th8 relevantlgrms and conditlons; and the requirements of the Ofs's Accounts Directions have been mel. Bis18 for oplnlon We conducted our audlt In accordance wlth Inlemational Standards on Audltlng (UK) {ISA6 {UKII and applicable law. Our responsibilities under those standards are further de8crlbod In the Auditor's R8sponsibilili8s for the audit of th8 financial slalements Section of our report. We are Independent of the charltable company in accordance wllh th8 ethical requiiements that are r818V8nl lo our audit of Ihe financlal st8t8m8nts in the UK, Including the FRC'S Elhlcal Standard, and we have fulfilled our other èlhlcal responsibililies in 8ccordanee wlth these requirements. We believe that the audit 8vSdence we have obtained is sufficlent and appropriate to provlde a basis for our opinion. Concluslonj r•latlng to golng ¢oncarn In audillng the financial statements, w8 hav8 concluded that thé Iruslees. use of the golng conc8rn basis of aGwunting In the preparation of the financial statements is approprlale. Bas8d on the work we have performed. we hava nol Identlfied any material uncertalnties relating to events or conditlons that, individually or collectively. may cast significant doubl on the company's ability to continue as a going con￿rn for a period of al least twelve months from when the financial statements are authoriged for issue. Our responslbilities and the r8sponsibllilies of the directors wtth re5peGt to going concem are described in the r8levanl sections of this report Page 20 SPURGEON'S CQLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR ThE YEAR ENDED 31ST JULY 2022 Oth•r inforniation The other infomiation compri8e8 the infomialion included in the annual report. other than the financial statements and our auditor's report thereon. The Irtsstses are responsible for th6 other Informatlon contalned wllhin th£ annual r&port. Our oplnion on the financial stalaments does not o)ver the other information and, except lo the exlenl olh&nMise explicity ststed in our report. we do not express any fomi of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other Information is materially inconsislenl wlh the fin8ncial statement$ or our knowledge obtained in the course of the audit or Otherwise appears to be materially mlsslaled. If we identify such molerSal incons16tendes or apparent materlal misstatemants, wa are required to detemiine whether there Is a material misst8tement in the flnancial statements themselves. If. b8sed on the work we have performed, wo conclude that there is a material misstatement of thls other information, we are required lo report that facL We have nothlng to report In thls regard. Oplnlon• on othgl mattorn pr•scrlbed by tho Compan1•• Aet 2006 In our oplnlon, based on th8 work undertaken in tha ￿urse of the audll: the information glven In Ihe report of the govemors for the financial year for whlch the financlal st8lemenls arè prepared is wnsistent with the financial statements- and the report ol the govemor8 has been prepared In accordance wllh applicable 18g81 requirement5. Matter8 whlch wo ar• r•qulr•d to r•port by oxcoptlon In tha Ilght of the knowledge and understandlng of the company and ils 8nvlronm8nt obtained In the course of the audlt, we have not Identifled mat8rial mi88tatem8nls in the report of the govemors. We have nothlng to report In respe¢l of the followlng matt8rs wh8r8 the Companles Acl 2008 requires us to report lo you If, In our opinS0n'. adequate accounting records have not been kept, or returns adequate for our audll have not been received from branchas not visitéd by us: or the financial 5tatement8 are not in agreemenl Mlh the accounting records and returns; or certain dlsdosures of trustees, remunef8tlon 8peclfSed by law are not made: we have not received all the infomation and explanations we require for our audit. or the Irusl88s were not 8ntitled to prepare the flnancial statements In accordance wllh the small companles reglme and lake advantag6 of thé small companles exemption in preparing the report of th8 govemors and from preparing a strategic report. Page 21 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 Rosponslblllties of tru8t•e• As explained mor8 fully in the trustees, responsibilities statement Sel out on page 15 the Iruslees (who are also the directors of the charitable company for the purposes of Company law) are responsible for the preparalion of the financial stalemenls and for belng satisfied that they give a Inje and fair view. and for such int81nal ¢ontrol as the trustees determine Is necessary to enable the preparallon of financial sl8lemgnts thal are Ifae from material misslalement, whether due to fraud or error. In pr8paring the financial slalements, the Iruslees are responsible for 8sse55ing the charitab16 company's ability to continue as a going concern, disclosing, as applicable, matters related to golng concern and using the going concern basis of accounting unless the Iru81ee5 elther Intend to liquidate the charltable Company 'or to cease operations, or have no realistic alternative but to do so. Audltor'• R•8pon•lbllttl•8 for th• audlt of th• flnanclal 8t•temonts Our oblectlves ar8 to oblaln reasonabl8 assurance about whether the financial $t2tem8n18 as 8 wholg ar8 free from malerl81 misstatement, whether due to fraud or error, and to Issue an audilor's report Ihal Includes our oplnlon. Reasonable a6surance Is a high level of 35surance, bul is not a gbaranlee that an audit conducted In ac￿rdanCe wlth ISAS (UK) will always detect a material mis$latem8nt wh8n it 8xlsl8. Misslalem8nts can adse Irom fraud or error and are constdered m8lerial ff. individually or In 8ggregale. they could reasonably be expected to Influence the economic decisions of u88rs taken on the basls of these financbal slalements. As part of an audll In accordance w51h ISAS {UK) we exerase profe88lonal judg&ment and maintain FYof8ssional 8cepticism throughout the audil. We al80'. IdentNy and assess tho r18ks of mat8rlal mls61alamenl of the financlal stalemenls, whether due to fraud or error. deslgn and perform audit proceduras responslve to Ihoso risks, and obtain audit evidence that is sufficient and approprlate lo provlde a basls for our opinion. The risk of not detecting a rnaleTlal misstatement r85ulting from fraud Is higher than for one tesulting from error, as fraud may involve collusion, forgery, Intentlonal omisslon8, m18representallon8, or th8 overrldo 01 intemal control. Obtain an understanding of Intern81 control relevant lo th8 8udit in order to design audit procedures that are appropriate in th8 circumstances, bul not for the purposes of expressing an opinion on the effecliveness of Ihe charitable company's intemal control. Evalvate the approprial8ne88 of accountlng pollcles used and the raasonab19n8ss of accounting estimat6$ and related disclosures made by the Iruslees. Conclude on the appropriateness of the trustees, use of the going concern basis of ac￿UntIng and, based on the audit evidenco obtained. whether a materi81 uncertainly exists related to events or conditions thal may cast significant doubt on the charitable ¢ompany's ability to continue as a golng concern. If we concludg th81 a rnalerial uncertainty exist$. we are required to draw attention In our auditols report lo the related di5Glosures in the financial slalements or, rf suth disclosures are Inadequate, to modfy Page 22 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 our opinion. Our concluslons are based on the audlt evlden¢e oblalned up to the datg of our auditor's report. However, future events or ¢ondition8 may cause the chanlable company to cease to continu8 as a going concern. Evaluate the overall presentation. 8truclure and content of the flnan¢ial 5taiements, including the disclosuffjs, and whether thè finand81 8tstem8nts represent the underlying tiansoGtions and events In a manner that achi8ves fair presentation. We communlcate with Ihose charged with govemance regarding, among other matters, Ihe plann8d scope and timing of the audit and significant audit findings, including any slgnificant deficiencies in intem81 control that we Identify during our audit. Explanatlon a• to what •xtsnt th• audlt was con8lder•d capabl• of d•t•ctlng Irr•gularltl••, Includlng fraud Irregularitle6, Including fraud. aro instances of non-eomplknce with laws and ragulatlons. We deslgn procedures In Ilne wllh our responslbllltles, outlinad above, lo detect material mlsstalements in respect of Irregularlll88, Including fraud. Tha extent to which our proc8dur88 are capabl8 of d8t8ctlng Irregularitl8s. Sncludlng fraud Is de1811ed below. 'rhe oblectiV8s of our audit in resp8Ct ol fraud. are., to idenllfy and assess th8 rlsks of material mlsstaloment of the financial slalements due to fraud.. to obtain suffident approprlale audit evldence regarding the assessed rlsks of material misslalement du8 to fraud, through de51gning and impl8m8rsling appropriate responses to those 86Gessed risks; and to respond appropriately io instances of fraud or suspected fraud Identlfled during the audit. However, the primary responsibility for the prevention and detection of fraud reBt8 wlth both m8nagement arKI those charged wilh govem8n¢a of the charltable company. Our 8pproach was as follows; We obtsin8d an understandin9 of ih818g81 and rogulatory requlrements applicabla to the charitable company and considered Ihat the most sSgnificant are the Companles Act 2006. the Charities Act 2011, the Charity SORP, UK financial reporting standards as Issued by the Flnancial R8POrting Council and UK taxation legislation. We obtained an under8tandSng of how the charlt8bl8 company compl588 wlth the88 requlrements by dlscussions with management and those charged wlth govémance. We assessed the risk of malerial mi88tatement of the financial stalaments, Indu¢Jing the risk of material rni551atement due to Iraud and how il might occur, by holding di$cussi(Jns with management and those charged with govemance. We Inqui￿￿ of managemenl and those th8rg8d wllh gov8rnancé as to any known instancgs of non-compliance or suspected non-compliance wlth laws and regulalons. Based on this understanding, we designed speclfic appropriate audit proGedures to Identify instance¥ of non-compliance with laws and regu18tions. This included making enquiries of management and those charged wlth govemance and obt8lnSng addS1ionaS corToborative evidence as required. Pa8e 23 SPURGEON'S COLLEGE REPORT OF THE GOVERNORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST JULY 2022 There are inherent limitations in the audit procedures described above.. We are188s likely to becom8 aware of instances of non-compliance with laws and regulations that are not closely related to events and transaGtion5 refleGted In the financial slatomen15. Also. the risk of not detecting 8 material misstatement due to fraud is higher than the r18k of not det8cting on8 resulting from error, as fraud may Involve d81ib8rate concealm8nt by. for 8xample, for98ry or intentional mlsrapresentalions, or through collusion. Uge of our r•port Thls report Is mad8 solely lo the Gharitable compan￿6 members, as a tody, in a¢¢ordanco wlth Chapter 3 of Part 16 of the Companles Act 2006. Our audll work has been undert8ken so that we might state to the company'8 members those matters wa are required to Stale to them In an auditor'8 r8POrt and for no other purpos8. To Ihe fullest extent permilled by law, w8 do not accept or assume responsibllily lo any party olher than the charltable company and charitable compan￿8 members as a body, for our audit work, for this report. or for the opinions we have fomied. J.A LL* Neil Finlayson (Senlor Slatulory Auditor) for and on behalf of Moor8 Kingston Smith LLP. Statutary Audltor Dale: 23 January 2023 9 Appold Street London EC2A 2AP Page 24 SPURGEON'S COLLEGE STATEMENT OF FINWICIAL PCTIVITIES lincluding the In¢¢n* and Expondlture kcount} FOR THE YEAR ENDED 31st JULY 2022 UnroBtricted Restrlcted Endowmènt Funds FurNIs Funds 2022 Total 2021 Total Note Incom• from: Donations and legacles 143.603 40,752 184.355 774.062 Charita￿8 act{￿be$ 2b 884.822 1,632 886,454 973,933 Investments 4,922 11.661 16,583 16,562 Other 53,446 51,217 104.683 109.065 Totsl Incomg 1,086,793 105,262 1.192,055 1873.622 Expondltur• R8i$lng Funds Costs of ralslng voluntary income 18,432 6,251 24,883 23,653 Chwllable 8cl1vil￿$ Sludenl-relaled expgndllure 2.195,027 79,283 2,274,310 . 2,267,270 Total •xp•ndlture 2,213,459 79.283 6,251 2.298,993 2.290,923 N•t •xpgndltur• bofor• galnslllos808) on Inve¥tnwnt$ 11.126,666) 25,979 {6,2511 (1,106,938) 1417,3011 Tran•f•rs b•¢￿•n fund8 12 {251 25 GaSns on the 88b of flxed 8sset8 Gain5 on Investments Gains on rev8luaUon of fixgd assets Acluarial gains on DB Penslon Scheme Net nK*v•m•nt In fvnds 372,531 11,5891 233.CQO 372,531 18,4781 472,000 (8,8891 76,032 7,￿0.0 239,000 {522,749) 265,004 113,140) 1270,8651 7,158,731 Fund balances blfvvd las prwlc¥Jsly 8latedl P￿)r ye8r adjustmenls Fund balances Lvtwd lag f8Btat•YI 8,117,004 557,184 461.902 9,136,090 1,927,770 49.589 1,9TT.359 21 8,117,(IM 557,184 461,902 9,136,OS4J Fund balances ¢￿d at 31st Juty 2022 7,594,255 822.188 448,762 8,865,205 9.136,0 18mounts rdale to continuing activit￿$ aThJ there are recognlsed gains or Ios8e8 other than Ihose included a￿ve The notes on pages 29 to 40 fomi pwt of thesg financia statgments Page 25 SPURGEON'S COLLEGE STATEMENT OF FINANCIAL KTiinTIES - DETALED COMPPRATIVE FIGURES FOR THE YEAR ENDED 31st JULY 2022 (continued) UnroStrlct•d Restricted Endowrnnt Funds Funds Funds 2021 TOL Noto Ineon)• fron Oonatlons and18gacies 2a 672,601 101,461 774,062 Charltable activities 2b 972.301 1,632 973,933 Investments 11,662 16,562 Other 105.256 3,809 109,065 Total Incon 1,751058 118,564 1,873,622 Expondltur• Rasing Funds Costs of ralslng voluntary Income 11,921 5,834 5,898 23,653 Chanlable 8Ctlvltles Stulent-rel8led expenditure 2,148,985 120,285 2,267,270 Total •xpondlturn 2,158,906 126,119 S,898 2,290,923 N•t •xpondlturo before galns on Inv•8tm•nt8 {403,848) 17,555) 14898) (417,301) Transfor8 betK•on fund$ 19,016 (773) 118,243) Ggins on the sale of fixed assets Gains on Investments Gains on revaluation of flxed assets Acluatial gains on DB PensSon Scheme Net nJ)vernnt In fund$ 14,395 7,5(X),ooo 61,637 76,032 7,500,(￿) 7,129,563 18,328) 37,496 7.158,731 Fund balances bthd (as wemousty stated) Prfor year adjustments Fund balances bl￿d las restat&a) 970,140 17,301 987,441 533.224 32,288 565,512 424,4( 1,927.770 49.589 1.977,359 21 424.406 Fund balances rJfMI al 31st July 2021 8.117,CK14 557,184 461,902 9,136,090 Page 26 SPURGEON'S COLLEGE Cory•ny N￿nb•1. 4418151 B*LANCE SHEET AS AT 31•t JULY 2022 2022 2021 2021 Fly•d P4••ts Tangibl• Fixad &8$el# Inwsbner 10,473,354 534,045 10.408.619 $57,772 11,007,399 10,986,391 Curr•nt *A*ot• Prcperty to be 8okl D•btlX8 & Prepaymfjrt• Cash 540,CfvJO 311,809 329,490 1,181,099 827,639 380,832 208,954 1.397.425 10 Creditorn ." AM¢￿1& fallir¥J du• w￿Nn ona yaar Cr•drtors & kcru•l8 F•M r•c•lv•d kn thar￿• 617,505 48,205 e65,710 828,677 66,524 892,201 Curr•nt h•••t• 515.389 505,224 T¢)tal •u•t• l••• curr•nt Il•blllll•• 11,522,786 11,471,615 ¢redltor•: ￿n￿unt0 f•lllng du• •ft•r ft￿r• thin on• y••r Ilb Provl•lon• lor D•fln•d B•nfits P•n•lon 8ch•m•• 18 2,657,583 2,258,050 79.475 N•t *A••t• 8.885.205 9.136,090 R•pr•Mnt•d by Fund• G￿or•I Fund• 7.594,255 ,117,004 Total Unr••trkt•d Fund• 7,S94,255 8.117,004 R••trict•d Fund8 Endtrwm•nt Fur 13 14 822,188 448,762 557,184 461,902 8,a65,206 9,138,090 Th•8• financlal •tAt•m•n¢B havo be•n pr•p8red In accLYd•w wtth th• prow8lon8 apF4k*bl• to comp•nh• subject to ￿ •mall comp8ni•# regimo, Th• noto• on pag8• 29 to 40 frym part 0fth￿• fin￿rIal 8t•tem•t*8 prowd by th• Gmmors 17 Jar¥Jary 2(Y23 •r¥J sfjgn•d on thdr bohaw by.. Prole88or Sir LÈ8 El)dc CHPJR Dawkj Lock? ￿￿￿RAR Y TREASURER Page 27 SPURGEON'S COLLEGE STATEMENT OF CASH FLOW6 FOR THE YE*R ENDED 31st JULY 2022 2022 2022 2021 2021 C￿h￿Ow9 from op•ratlnp o¢tlvbtlos Net expenditur• (270,8851 1341,2661 djustments for.. Oepre¢ialkJn LossllGalnl on Investments 8rKJ investrnenl property Decreasollincrèasg) in debtors hcreaSellD￿reaseI in craditors IlncludirrfJ kJan81 kncreasellDecreasèl in currenl loans hcr6asrfd8crgasel in provislon5 hvestment hcome hteresl payable LossllGainl disposed fixed assets LossllGainl r8valualth lixed 888e¢s 30,453 B,478 49,223 1226,4911 201.544 179,4751 140,0301 163,372 1372,5311 472.0(X) 1737.4S71 25,552 176.0351 193,0141 587.243 1525,1411 16,4871 147,9581 112,025 443.747 Ca•h Ilow8 u*•d In op•ratlon8 11.008.342} 1385,0801 Cash flows from In¥•￿ing actlvltl•• Proce￿8 Irorn sales of tgngit49 8$86ts Non-cuttent as$&l InvoBtmenl dL8posal bvestrnenl hcome Purchas• of property plsnl 8nd ￿UIpm9￿t Purchase of inve51menls 1,550.C￿0 110,892 40,031 1513,0201 95,643 65,316 47,958 1980,2111 1.092.280 1937,5B11 Ca•hflow8 Iromflnanclng t￿s1 pald on bans Proc8eds from nw lo￿3 Rq)8yrnenl cl kjans 1183,3711 1112,0261 1.834.467 (1,634.4781 525,L 142,9101 799,989 120.536 482,0 932,597 N•t {d•er•aMllln¢r•aM In ca•h cash at th8 begimiffj ofihè year Cash al the end of ts yaar 208,954 329,490 1.141,551 208.954 aly81• of ¢a8h ond c￿h •qulval•nts and chang0• In n•t d•bt Al lslAy8USi 2021 Cothftow• At31stJuly 2022 C85h at Bank 208,954 120,S36 329,4 12,e02,1101 119a.9891 13,(J)2,0991 2,593.156 320.525 2.672.609 Cothllow• At31stJuly 2021 2020 Cash at Bank 1,141,551 1932.5971 12,320.0201 14W2.0901 12.802.110) 1.178,469 1,414,687 2,&J3.156 Page 28 SPURGEON'S COLLEGE NOTES TO THE FINPI4CIPL STATEMENTS FOR THE YEPR ENDEO 31st JULY 2022 1 KCOUNTING POLICIES 1.1 Basis of accounting The financial stalgmenls have been prepared in accordancg with applicable ￿COunting siandards, and accordance with The Statement of Recommanded Practice applic8ble to charities preparing their financi81 slalemenl8 in aCCLYdance with the Financial Reporting Standard applicable in the UK and the Republic of Ireland IFRS 1021 and the Charities kl 2011. They are ¢Jrawn up effl the histor￿31 accounts'ng basis, except as Stat￿ in sub paragraph 1.5. The charity meets the dèfiniticn of a public ben8fil entity under FRS 102. Golng concorn The g)vemors havè assèssed whether the us8 of the wng concern basis is appropriate and have ¢onsi¢J8red P05sible events (Y c￿d1￿.0nS that might casl signiflcanl doubl on the ability of the charitable c¢Jmp8ny to COn￿n￿6 as a gc4ng c￿Cern. The governors have made thi8 assessment for a peric#J cl al168s112 months from Ihe date of aFipfov81 of the financ￿1 stalemenls, The govenors have a reasonable expecta￿an that the Ccllege has adequala re8¢JJrc¢8 lo ¢onlinu& in operallonal existence for th8 f0rSeea￿fj futures. Thgy Gonts'nue to 8dopl the 90ing concern bosls ol accounting in preparing the financial slalem8nls. As desGrlbed In not8 21 (Post balance Sheet evenlsl, subs8qu8nl lo the year end the Cdlege 8dd 8 propety lo Improve the 8h¢yt ierm cash flow poslllon 8ntJ reGwved additional loan funding from TAB lo provide refinancing 1.2 Stud•nt f••s* grants r•celvable. Incomo Irom stud•nt xwmnKd•tlon and donatlon8 F888 ar8 reccgnlsed in th• y•Jr lo which they r81ale. Where debts e￿¢¢d 3 years 8 1CXJ•/o provision is made. 1.3 L•gacl08 Legacies are ntymally acccunled for when recelv&J, and 8diustsd for legacles no11f￿a during the year bul received after the year end. 1.4 Fix•d awts and dgproGlatlon The company owns Ihe land and buildings of lh• c¢4lege slle al Spurgwn's College, S¢xth M)rwood Hill. London SE25 6DJ. the past, the charlty h?¥ taken the advantage of the option to u$0 th¢ value of land and buiklings at the dale of transition lo FRS 102 (1st September 20141 as dogmed cost and no depreclation was charg8d in respecl ol freehold land atKI buildings. Ourlng the 2020121 year. the trustees chose to Gh8ngg the aCC￿nting polKy to hc4a18nd and buildings al fair value. Prcp8rties are malntsined in a good slate of repair prolonglng thdr useful hfe 8nd enhancing their residu81 value. The directors consider the useful ec(￿C￿lC life gf the property lo b8 in excess of 50 years, and Ihat il did rK)t diminish durirvJ the perK)d under remew. Consequenly, no charge for depreciab.on is made. The Trustees carry out 8n annual rewew to crmsider th8 useful Ilfe eslmated residual value of Ihg propgthes., Ihts includes miewing for any impaimienl. Tangible fixed assets c05ting £1,OCQ or more are c8pltallsed at oost. Depr&iatiw Is provided on all langlble fixed assets calculated lo wrrte off the cost on a slraighl line basis over their exwled useful economic life a5 follows... Computer equipment Furniture and office gquipment Heating Plant Building improvements 3 years 5 years 10 years 20 years Page 29 SPURGEON'S COLLEGE NOTES TO THE FINW4CIPL STATEMENTS FOR THE YEPR ENDED 31st JULY 2022 continugd 1.5 Inv•stn*nts Investments are stalaj in th8 financial stal8m8nts al market value. The historical cost Is set wt in M)le 9. 1.6 Funds Cortain items of income and expendiknre whlch rdate lo such fijnds created for specific wrposes are taken direcuy to the appropriate resldcted and endowment funds. 1.7 Taxatlon The CrAl8ge 18 8 registered chartly under the Chariligs kl 2011 & has b88n recogni8ed by Har ￿18$￿$ Revenue and Cuslom$.Therefore no Ilability lo corporation laxats'on arises on ils charitsNe acliviti8s. 1.8 Exponditur• Expenditure Is a¢¢ounled for on an accruals basis. Al ch8rit8ble expenditure in fUrt￿8n¢0 of the charitys objeGlives r91ale lo Ihe prO￿S1￿ of education818erM¢eS. Costs of raislng funds includes co81 dlreclty attri￿table for the provision of the Gharitable Objecti￿$. 1.9 Oporatlng Leafj• Poll¢y Rentals PaYa￿e under cFerating loases are charged on a slraighl Ilne basi8 lo tha $talemenl d fin￿￿181 a¢llwbes over the term ol the lease. 1.10 Crltl¢•l accountlng ostlmatos and aroa8 of Judgom•nt In preparing flnanGlal stalemenl8 ￿ Is necess8ry lo make certain ludg$menls, estim81es and assumptions Ihal aff6¢1 the amounts recognised in the f￿ancial statements. The fdlowing judgements and eslirnale8 are con$idergd by the governc*$ to have the most slgnifi¢anl effect on amounlg recognised Sn the financlal ststem￿l￿. Thg annu81 dewecialk)n ¢horgo for propety, planl ¥rKI equipment18 8enslliv8 lo ¢hange8 In Ihe esllmaled usef e¢(￿(¥￿￿ lives arKJ r8sidual values of th8 assels. The useful economic Ilve8 and resldu81 values are re-assessed annually. Th8y are amended when n¢cessary lo refiect curr8nl 8slimales, based cfi t•¢hnological advanc¢menl, future Inveslmenls, economic ulilisation and Ihe physical condition of the assets. Sso note 8 for the carrwng amount of the proFety. plant 8nd equipment 8nd note 1.4 above for the useful acorK)miG lives tr each class of asset, Pag¢ 30 SPURGEON'S COLLEGE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 318tJULY2022 continued 2022 2021 Unr••trlct•d Funds Restrlctsd Funds EndowThvnt Funds Tot 2a DONATIONS 1140 LEGKIES Donation5 and orants reca¥8d Legaci&8 rtei 111,194 32,409 40.752 151.946 32,409 199,541 574,521 143,603 40,752 184,355 774.CE2 2b INCOIAE FROM CHAIITfvBLE KTllnTIE8 sIL￿ntI88$ 8nd rn8lntenanc& Discounts ènd unr8cover•Y charg06 840,164 22,842 840,164 ¥2,842 993,043 150,5051 ee3,Cl)6 942.538 Aocommodation ch8rGes Rent Irorn properties 21,816 1.832 23.448 31,395 21,818 23,448 31,395 684,822 1.632 888,454 973,933 J IN￿ESTMENT INCOME DNKJend8 and Inter881 on *ve8tm8nts Bank Intwest 2,510 2.412 11,e81 14.171 2.412 14,172 2,3K) 4,922 11,661 18,583 16.562 3• OTHER SuTrJry Inccffl6 Grants and SUPkKJrt Incom8 41,566 11,880 41,5e6 63,097 r2,783 36,282 51,217 51,217 104.663 10P.Cf5 4 COSTS OF RPISING FUNDS PuNkty 8rKI Fundrai8irvJ 17.087 17.087 16.461 hvestment man￿9M￿l Charges eral Funcl G8neral Bursary Fwd Priryle Fund Veckn's Fund Copley Fund 1,294 1,828 733 2.748 1,935 777 2,913 1,935 777 2,913 626 18,432 fj,251 24.683 21653 Pag¢31 SPURGEON'S COLLEGE NOTES TOTHE FINMCIPLSTATEMENTS FOR THE YE*R ENDED 318tJULY 2022 ¢ontlnu•d S STUDENT RELATED EXPENDThURE 2022 2021 SUMMPRY OF EXPENDITURE Unrostrlctg+J Funds Restrlcted Fund5 Total Total Tuition Costs Oome5kn"c Costs E51aNishm8nt Costs Administrat￿n EKpen$es GMrnanc9 Cost INots 71 1,170,021 137,318 208,177 41,644 37,889 75,415 1.245,436 137.316 208,177 645,S12 37,869 1.346.043 101,073 250.133 552.784 17,237 2,195.ff27 79,283 2,274,310 2,267,270 TUITION COSTS Tutors. salwles. Nl & rAnsion contrlbutlons siting tutors 8￿j examining cos Travd allowanc￿ and eynses Cornpuler ancl ngtrrfofk supwrt Property expanses st￿le￿i regi5trallon and vaKJ8tion lees $ea118n8(xJ5 luilkM expenses LitrKary purchases Deryeci8tKJn of comwter ¢quipmenl Siudeni SUPkKlrt 8rKI othw di$txJrBements Sundry expenses 696,074 25,859 10,85 191,3S9 10.315 134,e88 696.074 26.022 11,265 191.731 10.560 134.688 7S1,$57 30,244 3,296 149.589 372 245 183,264 56.529 30,935 5,110 97,256 28,912 42,887 9.240 10,4C4) 153 9,240 84,37e 73.976 1,170,021 7S,415 1,245.436 1,340,D43 DOMESTIC COSTS C¢Mir8ci Catgri Dom8slt expenses DepreCiat￿n of equipmant 56,442 79,379 1,495 58,442 79,379 1,495 26,818 73.803 442 137,31e 137,318 101,073 EST￿LIsHmENT COST8 Lb3hl heal R81es #nd msurance Repairs In8lnten8n¢0 Repairs- MJr58ries HJu5e Salar￿, Nl aN1 pensi)n ctwtribub'or Oepreclauon 61.241 28,777 31,589 2,718 74,134 19,718 51,241 28,777 31,589 2,718 74,134 19,718 44,Cfj1 27,297 26,164 1,65e 130.954 20.000 208.177 208.177 250,133 DMINISTRATION EXPENSES SaL9r￿, Nl & pèn5K)n ContrlNJl(￿S PrIThlir￿ pJst8ge stat￿nery Telepmres Tra¥d, TiaiThrKJ apKI entOrtainiTrJ Finance ex￿n589 Prol8ssk)nal fees sU￿ry e¥pen$6s Equikxnent 345.ns 25,202 17,003 747 218,653 27,713 6,256 335 345,735 26,202 17.003 747 218,653 27,713 10,124 335 324,e07 25,619 5,596 117,670 70,571 3,￿8 1,265 e41,OH 045.512 552,784 Page 32 SPURGEON'S COLLEGE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEPA ENOED 31st JULY 2022 IcontIn￿￿} CESS P￿TICIPATIoN Acluals PDr Pl•n Acce88 Investment FinarKial Support Support for disabled Students Research 8nd Evaluation 11,750 21.991 11.750 59,890 9,953 9,953 7 Go￿ERmIN¢E COSTS Genernl Fund 2022 2021 Audkors. remuner8tbn Annual Budrt Prior year adjustment 37,141 15,540 37,141 728 17,2C6 Govèrntsrn, •xpgn8e8 reimbursed 37.869 17,236 8 TANGIBLE FIXED ASSET8 Bulldlng et• Und•r Prop•rtl•8 Inyrovom?nt• Equlpn*nt Contytructlon TOTAL Currgnt A••o1• to b• •old For by Ch•rlty Co•t & V#luatlon At 1st 2021 RevaluatK)n8 Addib'on8 Transler to current a88et8 Dispo#als 9,348,000 472,000 199,816 281,%0 960,319 10,789,695 472.000 237,382 540,0001 173055 827,839 9,152 228,230 275,638 540,000 1.103.277 {540.0001 A 318t Jul 2022 9,210,000 188.578 200.895 1,188,549 10,788.023 540,000 D•prgcSatlon At 1¥t 2021 122,821 19,718 258,455 10,735 381,078 30,453 ChÈrèèa Di8po¥al$ CharvJè for porb At 318t Jul 2022 10,674 133,295 179,0821 179,373 168,4081 312,e68 N•t Book V•luo At 1Bt Aig 2021 At 31¥t Jul 2022 9,348.000 77.195 23,105 980,319 10,408,619 1 188 549 10473354 827,839 9 210 000 53.283 The freehokl land and bulkllngs now known as Spur9eon'3 College were transferred to tho Colloge as part ol the transfer of th• trusteeship of the Falkland Park Trust In 2003. The Govemors had PT8viousW excluded thè value of thè knd and buildings frcm th¢ a¢¢ounls. Al fixed assets are held for direct charitable use. The property and land at Spurg¢on'$ Cgllege, South Noriwood Hll, London SE25 6DJ has been revalued by Ger8ld to £7,$00.000 on the basis of Existing Use Value 0ri9inalty as at 30th October 2020 and wrth an Pddendum dated 22nd Fèbruary 2022 a8 a D1 property In the wthr London market, 8$ per R￿s valua￿￿ standwd¥ in a report dated 22nd February 2022. The Cdlog8 tecewed 3 legacy receipt of a reBidential property with gn ￿tirnated value of £550,000., this wgs revalued wrth an Impaimient of £1 LI,000 and is slmmn on the balance sheet urvjer ProFerty to be Sold. This property has been sold ptr¥t y end as 8hown In nots 21. The properties ofthe college beyond th¢ rngin site were revalued by Kemoon Croft and arg nw held at market valL* as t Vérch 2022. Tho 13wn8d a property which was ￿t to a Frf¢Vh?us member of 8taff. This Fyefjerty had a value of£70,OCKJ, ￿th Builth'ng Improvements of ngt book value £4.194, and was sold wlth procèad8 of£100,000. The net book value at 31st 2022 represents f￿ed assets used for charitgblg purrA)seB. P￿¢￿slY fully dwecK9t8d equipment has been disposed ￿ the year under review. Asset8 under cOnstr￿t￿ represent costs i[￿urred in the developmeni ol the Colleg& e8mPU¥ that will be for a mixture of Chèritable and NOn-charitab￿ purposes. Pag¢ 33 SPURGEON'S COLLEGE NOTES TOTHE FIN￿CIAL STATEMENTS FOR THE YEAR ENDED 31st JULY 2022 eontinu•d 9 IN*STMENTS a) Flx•d int•r•st and oqult*baMd Inv•JtmBnls G•Mr G•n•ral Prfngl Fund Bursary Fund Fund Vect55 Fund Cophy Fund C￿J11P F￿d Valua¢lon At 1st 2021 103.646 131.923 52,968 198,509 42.664 28,C62 5S7.772 Pwchasej DL4posa$ 16,9 119.6391 24,372 9,784 36.670 128,2551 111.3441 142,5161 7,881 19,1381 95,643 1110,8921 G81rollLoss881 639 503 131st July 2022 126. 50.613 189,e88 40,768 27.559 534,045 R•presonied by- Flxed interest securitles Equities knvastm￿t & unil trusts 11,720 20,420 6T,214 16,863 29,379 25,374 11,795 44,206 32 048 120 108 88,180 115,301 27.559 352 564 9,501 25,814 Valu• of In￿￿•1￿￿￿1 V•l¥• 89,354 126,063 50,613 189,688 40,768 27,$59 534,045 S•curl￿o8 at Hl•torleal C￿t 1st Aousl 2021 83.984 105.218 42.244 158,322 34,026 28,628 452,422 At 318¢ Juty2072 84,514 105,980 42,S50 159,469 34,273 28,828 455,414 these inveBlments are Ilsted on a reccgNsed Stock ExcharKJe or ￿ ono9 val￿￿ by rsforw¢¢ lo inve8tm¥nt8. iu¢h 8$ urdt tr￿ts comrnon Inveslmenllundg, 10 DEBTOR8 2022 20 Amount• l•llln9 ¥u• wlthln on• y••r Trade debtors Gift ￿.￿ receiv8trAe Pr8payrnents SuThJrydebtcws 173.083 6,213 127.293 4,420 2￿,287 27,423 127.945 5,177 Pag¢ 34 SPURGEON'S COLLEGE NOTES TO THE FINw4Cl￿ STATEMENTS FOR THE YEAR ENDED 31st JULY 2022 (contin￿dI 11 CREDITORS 2022 2021 iounts falllng du• wlthln one yoar Loans Other Credllors & kcruals Taxation and Sc¢ial Security Fees re¢elved in adwance 344,516 250.202 22.787 48.205 865.710 546,060 258.859 21.768 65.524 892.201 b. Amounts lalllng due after one y¢•r Loans 2,657,583 2.256,050 There are four Inleresl-bearing loans.. oalnsl 191 South No￿ood Hlll Repayment oainsl 189 S(xJth Nornood Hlll Interest ainsl 76 South Norwood Hill knleresl oain314 Ticehursl Ro8d hleresl DuratSon l•ft Ratg ATr￿unt ol¥ 11 yegrs 2 years 2 years 3 months 8oE base rale + 3¥. 8oE base rale + 5Yo 8oE base rale + 7Yo BOE base rale + 70/1 346,784 2,001,373 327,179 328,783 Loans falling due wllhln 1 year.. Loans falling due after 1 year.. Tot81.' 344,516 2.657,583 3,002,099 3,002,099 See notes 18 and 21 for addits'onal Informalion In relatth lo Ihese loans. 12 RM4SFERS BL.TIfyEEN FUNDS Transl8r from Genoral Fund to Ro8trfcted fund• A transfer was required to clear a small overspend1£25) kn the reslrfcled Copley Income fund. 13 RESTRICTED FUNDS Fund Balan¢• 1st I￿guIt 2021 Incon Expondlture Transf•r• Fund Balanc• 31st July 2022 Frank Fitzsimmonds Bursary Fund Bgptr'sl Union Bursary Fund General Bursary- Income Prlngle Burs8ry- Income V&lis Fund- hcome Copley Fund- I￿oMe L*mpJighlers Bursary Conference CommLsnKJn 11 Fund Reslricled Gifts Oversea Student Leamlng Support Pioneer Project Principal's fund Siudenl Rep EBA Hardship fund Theology of Law Course The Rev Dr Curdell VcLeod Bursary FurKI Raiser 15.400 31,023 13.589 7,747 18,915 3,907 14,917 174 412,472 12,227 600 94 20,744 1.059 2.117 17,2001 134,0251 50,900 3,923 1,750 5,433 1,168 2.278 47,898 17,512 3,497 16.0001 115,0001 15.1001 (4.[￿7) 25 13,195 175 413,859 10,228 1,632 12451 (3,2071 380 474 20,744 4,745 1,916 5,341 11,6551 12011 16001 18001 {1,2501 799 1.250 30.000 557,184 105,262 (79,2831 25 583,188 Page 35 SPURGEON'S COLLEGE NOTES TO THE FINANCIfvL STATEMENTS FOR THE YEAR ENDED 31st JULY 2022 contlnued Movonwnts In coThparatEvo ￿rIOd Fund Balanco In¢on 1st ￿gUSt 2020 Exp9ndltur• Translgrs Fund Balance 31$t July 2021 Fr￿k Fitzsirnmonds Bursary Fund Baptist Union Bur¥8ry Fund General BuTr8ry - Income Prfngle Bur$8ry- Income Veclis FuThl- Income Copley FU￿ - I￿oMe Cudlip Fund- Incorne Limplightw? Bursary Con*rence COMMU￿On )tl FuTrJ Raslricled (Ms 0￿se8 Student Leafnlng Su￿¢￿t Pioneer Project Princip*'s Sludenl Rep E8A Hardshlp fijnd ThgL4ogy of Law Course The Rev Dr Curddl McLood Burnwy OB H8rd8hip Fundlng 21,(￿0 32,288 9,978 10.896 19.472 7,739 773 18,137 174 412.013 16.2 60J 1,570 6,829 2.388 2.305 15.6001 148,465} 15,4 31.023 13.589 7.747 18,915 3.907 47,2tK) 3.611 1.749 5.434 1,168 14.8981 15,9911 {5,OCIJI {7731 4,740 17,960} 14,917 174 412.472 12.227 600 94 20,744 1,059 2,117 1.832 140 11.1731 14.1631 360 40,000 4,59J 11,8381 {26,0851 15,919) 1188} 12.OtK)I 11.7821 {1,2501 3.809 2,881 1,250 3,809 1,599 565,512 118,564 {126,119} 17731 557,184 Frank Fblz4mmond* Buwwry Fund- A beque81 91￿7 to ay8lst de8eTh4ro ￿dergrad￿ste students %*ith their couTre fees whilst in 11 timè 1r8inir*J al spurgeOn￿ c￿1898 for Ihe B8pIIsi Min151ry. B•pllat Unlon Bur#ry Fund- fiJTrJ is from 'B&p115t8 Togethert aTrJ Ls lo halp Bapllst ￿lOn Minig18rg In Tr8lrlng wlth thelr fees aThYor cgSt5. Fund5 ($09 141 Is app1￿j io asslslAncè vAth 8tudentB' fee& and chargo5. or In the cage Oft￿ Cuclip L&Jacy, for general Cdlege pur￿1$e9. Lampllghtsr• Fund - Tg recehe ￿c￿tIonS Ir)m 'L8mplighters' 8nd othar5 wh) wsh io dirrti assistarKe to students are unat49 to pay fvii fees. Conforencg Communlon Fund. A pastoral fvjnd. admin1ste￿ ty the PdnciW, est￿15￿ by past and preseni studentB ofthe Ilege fi)r the tenèfii ofcdleaoues exr4rtancing pers￿￿ financial dlfficulties. Nott Fund- In 1976 Mlss Lknrothy Nolt madè a bequest (o the CollvJg of the residue of her eslale for the purwsè of helping rellred ministers and missionaries who fomer 51udent8 of the Collegè. A property In Beckenharn, T Glanfiekj Road. wlued 8t £388,{￿0, is Wd fur th8 beneffil of re¢wed memters of the College. R•*wlct•d Gfft Fund- Thls lrtludes gifts Iwardg specific projKtS. Ovgr*a Student- Ths was eslatrAished to prolide a551Sta￿e to 0￿r$eaS slud8nls. Loarnlng Support- A establish&J to asslst sbJdent5 Wth *ition81 gUPkW)rt n8￿8 in th•r stL¥lles. Plono•r Fund- Grant Trcel*d from BU Newr#Jlon CL)urt kn the ￿tIr¥ 018 tyorieer p8lkhvay tr ministerial training. Prlnclpal'B Fund This Includes gifts $r￿lfiCallY for use #t the Priwip91S dlscrelDn. Student Rop- A fiJn¢J e$la￿ls￿ed to ba used by the student rewe5entalikes. EBA Hardthlp fund- Thi8 fvjnd is for 8aptiSl Union Minist￿$ In Trainiry on rJ8¢ement in th? Esstem B8pllsl A5x￿latiOn. Th•ology of Law Cour* - This is lo hdp with the fees olstudenls sludying on tr* theology of18w urwl. Tho Rov Dr curdell M¢Lood Bursary- Ihls bJrsary 18 gi￿ to students of C￿bbean heritage %tho are training ministry. Ofs Hardthlp Fundlng- This fur¥J was recehed froffl the Office for Students to help students wue slrugglirvJ financialy. Page 36 SPURGEON'S COLLEGE NOTES TO THE FINA￿CI￿L STATEMENT? FOR THE YE*R ENDED 315t JULY 2022 contlnued 14 ENDOWJMENT FUNDS FuTrY Balance 1s1 USI 2021 Transfer Itoyfrom G8wal FuTrJ Investment fvknagem&nt Ch8rg85 estm￿l GainsllLosse51 Fund Baarrt8 31stthJly 2W22 Genera 8urswy Priryle Bwsary v￿ti5 FUTh Co￿@Y Fund Cuollp Legacy 134,332 53.934 202.132 43.442 28,[￿2 11,9361 17771 12,9131 16261 11,9771 17951 12.9751 16391 15031 130,420 52.362 198,244 42,177 27,55V 461,9)2 16.2511 16,8891 448.7e2 MovoTrnts In conwratlve pgrlod FU￿ Baiir¢e 1st Tr8nsf8rlto)IlrDm JJgU5t 2020 G8wal Fund Irwestsnent n8g8mgnt Char9e8 ve5tfflent Galn51lL055asl FurMI Balance 3181 July2021 Ger￿r8 Burswy Prirole Bursary Vect+s Fund co￿eY Fund CL*llip Legacy 133,888 52,716 176,819 38,308 22,697 11.8261 17331 12,7481 15911 17,423 6,996 26,218 5,6&5 5.3e5 134,332 $3,934 202.132 43.442 28,082 15,0451 1.843 go 424.406 118,2431 15,8981 81,837 4e1.902 The Income ewned on the flrst lourof Ih¢8e éndowm8n15 T￿Ord& kn the relaled mlricied fij￿515ee TKle 131. The incorneon Ihe CL¥Jlip legacy is creditad to th8 General Fund. whlch Is 8 ccKrection ofthe previDUS accOun￿ng, 89 st81￿1 In note 12 ￿ Iranslers L￿88n fund5. Goneral Burury Fund- hcorne d￿Ned frryn Ihe knvestments he￿ In IhK8 FU￿ Is 8PF4itd Io VOVK* assbla￿e wllh stud￿te. leej and charges. Prlngle 8urnary- Thh fund Kq ￿ elthment os18bli8h•J in memoryof Day￿ PAr¥Jkg to prowde 8s5istartt with leés and charges for 8 pastord Sludles Sludent rniOlhèrwi8e receivir( 8ny fin8ncl81 ass1sta￿e from puL4ic fvrKls. Preference is trj te given to 8 sludenl Th)rmally rèsidanl ￿ the area af t￿ former L8ncashlre & Chesh*è 8aplislA8scciaibn Irth¥ the Myth Western Baptist ASS0G￿tion1. The V8ctlJ Fund- Thls fund i8 Sn ernaowment established in 2003 aThJ added to in 2011 to wo¥￿8 85SiSt8ncg io dtsr.'- 111 studen15 frgm the ble ofwb3hl, Hwnpshire or Dorsel who;. have Ihe ins¥hl 8nd abillly lo develop a strong p8s¢ual roltt. or are yepariro for over8e85 ml$sKm, or are slucSOng on the ev8ngdi5ts' course., 121 exceptlond StsJd￿1g frcfn ov8rsw who Inte￿￿ to return lo ther own country. Th Coplby Fund- Thb fu￿ was sei up in 2003 by 8 bequest under Ihe wl of Edllh Copley h memory of her parents John Swah nn co￿eY. The object of tha b8w85t was to provKle assistsnce to any p8rson$, wilh wefer8nce glven lo t￿88 frorD YorksNfe, who wBh to st￿Y at Swrgwns CdbJe wilh a to enteriw tha Bapti51 rnini5try. whom Ihe governing bcéy CCKBhYers wwld bg un8Nè to th) so wllh)ut such asskstance. The Cu4111p LOU￿Y- A beqwt from the 8stateol Mss Edfth Vay CudNp dknd in fvknrch 2008. Underthe lemis of l*rwill ths Cudlip left the College 8 one thirt￿nIh sharè of th8 re8K￿8183￿1e with the kyovtso Ihal thg amount re81￿& shoukj invested 8nd Ihe interest reCe￿￿j skno￿d Lw used as a ¢SJnabon. 15 WIPLYSIS OF NET A8SETS BET￿EEN FUNDS General Restrkted EndovThnt Total 2022 TangiWe fixed assets Investments Cash at bank 8nd in harn1 Oth8r net Current Assets LorvJ twrn credit( 9,605.355 99.354 118,230 195,899 12,65T,5831 386,CK)D 9,991,￿5 534.044 329.490 195.899 2,657,583 434,6￿) 14,072 197,188 7,361.255 583,188 448,762 I393,205 Page 37 SPURGEON'S COLLEGE NOTES TO THE FINWICI*L STATEMENTS FOR THE YEPR ENDED 31stJULY2022 ntlnuod 16 STAFF COSTS OF PERm￿ENT EMPLOYEES 2022 2021 Salarfes Nalv)nl hsurance costs Pension ¢osls'. Scottish Life- 121131 members Bapfisl Penslon Scheme- 231181 members 1,025,122 93,235 36,144 59,892 1.059,148 93.144 36.595 49.050 1,214.393 1,237,937 The average weekly number of em ￿tsY88S during the year. calculated on a full-llme equbvalenl basis, w85 33 12021.'341. The Aver￿8 head count was 5212021..561. No employee recelved remun8ralion of more than £60,000 in the Gurrenl or prior ye¥. The salary. employerfs nallonal insurdnce and pension contributions pakl during the year In respect of the College Principal (who is also a Govomor of Ihe col￿ge). in respect ol his teachlNJ and admlnistr81ive duties, as aulhorised by the *ticlos of Assoclation, amountèd to £54.62812021.. È54,4951. The co81 of emplo￿￿ent of key managomenl staff whkh Includes Salary, Nalthal InSurar￿¢ and Pwbslon ConlrlbutifMS amounted to £177,01212021.. £145,714), The key m￿agement staff Include Mce Prlnclpal {kademlc Dlreclorl, Wce Prfnclpal IDlrgCtor ol Mni51erial Formalionl and the Chief Operatlng Offlcer. The medlan pay for Ihe year was £28,01412021.' 35,1581,. Prfnclpal's pay was 1.9 (2021.. 1.61 bmes Ihls. Duriro the year lo 31st Juty 2022, the College made penslon Contribut￿n$ in resFocl of 12 memlxrs of slaff12021: 131 Snlo a defined contribullon pensk)n scheme where the assets arg held separately from those of the Charlly In IrKJepèndenlly ￿mInIstered funds. The Cdlegè 8180 partlclpales. on beWI of ￿0ther 2312021.. 181 members of sl#ff, as an emF4oyer In the Bapllsl Penslon Scheme 1.the Scheme'l, which Is adminlslered by the Pension Tru$lee (Baplisl Pension Trust Llmiledl. The Scheme Is 8 separ8le10901 enlity ar￿ Ihe assets of the scheme aro held seperalely from those ol Ihe Employer and the other participating employers. For any M￿th, each parlclpaliro empbyer In Schwne p8ys conlrlbullons as sel out In thg &hedub of Contributions Sn force al that lime. The Scheme Is conSKlered to be a multi-￿pI0Yer scheme as described In Secllon 28 01 FRS 102. Thls Is because il is rKsl possi￿8 lo attrllxjle Ihe Scheme's assets and liabilllies 10 S￿1[* employers and means Ihal C¢)nlrlbulkJns are accounted for 8$ il the Scheme were a defined c￿tribution scheme. The penslons costs ch8rged lo the SOFA in yèar are GontribulKJns pay8ble lowards benefits and expenses accrued In Ih81 year, plus any Impact of deficiency conlribulkjns {see bd¢yw). The Mnislers and memEers olthe staff are ellgible lo106n the Schema. Since Janiwy 2012, penslon promsion has been made 1fr￿U￿b the Defined c¢￿tribull0n {DCI Plan within the Scheme. kn gener81, members pay 80A oftheir PenslonatAe Income end employers pay 6V. of members, Penslonable Income Into I￿l￿d￿al pensbn accounls. whlch are operated and managed on behalf of the Pension Trustee by Legal and Gener81 LS18 AssLrance Society Limited. In addition, the employer pays a fvrther 4Vo ol Pensionable kncome lo cover De81h in Serwce Benefits. adminislralion costs. and an asswi8led illSUTance policy wFHch pro￿ld9$ income protection for Scheme members in Ihg event that Ihey are unable lo work due lo long-lerm incapaclty. This Inc￿le proleclon p)licy has been inswed ty the B8plisl Unlon of Great 8rilain with Awva. IVEmbers ol the Basic SeclSon pay r￿UCed contrfbulions of 5¥. of Pènslonabb Income, a￿1 em ￿0yerS also pay a lotsl 015Yp.I Benefit$ in respecl of s￿l¢e wlor lo 1st J8nuary 2012 are pThided Ihrough the Defined Benefit IDBI Plan within the Scheme. Tho main t￿nefitS for pre-2012 seNce were a defin&1 bengfil pension of one eightieth ol Final Mnimum Pensionablg I￿oMe for each year of Pen5wJnable Service, together with additional pensiw in respect of ￿emIum5 paid on Pensionable kncome in excess of Mnimum Pensionable Income. The Scheme, previously kn￿Nn as the aptisl Mnisters, Pension FuThJ, Stsrt￿ in 1925. bul was cbsed io fvjtwe accrual of defined benefits on 31st Page 38 SPURGEON'S COLLEGE NOTES TO THE FINA￿CIpL STATEMENTS FOR THE YEPR ENDED 315t JULY 2022 contlnuod 16 STPFF COSTS OF PERMPNENT EMPLOYEES {contlnu•dl tuarlal Valuation Al Ihe erKJ of June 2022 the Baptist Pension Scheme signed an agreement with the insuranc8 company Ju51 Group ('Jus1'1 lo Secu￿ members, penslon knefils under the Defined 88nefil I'D8'1 Pl￿. As a resLAI. lh8 Scheme no longer has a shortfall. A rewsed statement ol contributions was announced In July 2022 with defi¢il c¢JnlrSbuUons from each participab'ng empbyer In the DB PLgn reducing to just £1 p8r m￿th Irom Ajjousl 2022. •AoY9nwnt In Balancè Sh••t Ilabll¢ty SOCI￿ 28.11A of FRS 102 requlrgs agrged dgficll recovery paymgnls to be recognlsed 8s a IlabS11ty. The movement In the pro￿slon Is sel out below.. 2022 2021 Bdance Sheet liat41ity al the start of the year Mnus dencSèncy ¢onlribulions pald Plus knleresl c￿1 Acluarlal Ig8lnsylosse8 on re-measuremgnl of Ilablllty Balance sheet Ilabllbty al Iha end of the period 79,475 115,1981 85,962 11 t,8761 1,398 3,992 79,475 164,2771 he key flnanclal 8ssumplbns underlyiro Ihe v8lUad￿ were as fdknv: Accountlng dal¢ 3110712022 3110712021 3110712020 Dlscounl rate Future Incfeases to Mnlmum PensIC￿ab1e kncome 3.8% 0.0% 1.8% 3.2% 1.7% 3.3% 17 GOVERNORS. REMUNERATION AND LOANS GoverrK)rs are not pald lor their services as govomors lexcepl a5 regards Ihe Cdl8g8 Principal- see note 16 on the premous pagel. R￿mbursernen1s of£72812021.. £301 were pald lo four govern￿6 for directly Incurred travel and olher expenses. Durlng th8 year none of tho gowmors rKeived a loan from the charfty. 18 RELATED PARTY TRI￿5￿TIONs The Cdlege Principal 15 also 8 Bapllsl Unbn Iruslee. The College ha5 four loans wllh th8 8aplsl Unlon Corporatlon Isee note 111. DurirKJ thè yew a lurther £77.000 was 8dd&J lo ol Ihe108ns. The lolal amount wtstanding 85 al 31st Jul 2022 was £3.002,099 {2021.. £2.802,110). The College also re¢dved Bap(Isl Unlcn or8nl money for the year lotslling £50,gLKI {2021. £76,384). During the 2021122 year the charity obtzin8d person81 loans lolalling £107,467 from the govetKsrs, Including trustee, which were repaid dUr￿g the year, except for £30,CLX) of the Iruslee's loan which was given to the ¢olbgg as a donallon, The £200,(￿ loans from staff In 2020121 were 81so repaid In full In the per1￿j U￿jer remew. Interest was charged on these Forsonal loan9. Durfr4J the year donalons lolalling £31,18012021: £9601 froln the Iru5tees were rnGovied by charfty. See note 21 {Posl b81ance sheel events) for futher Information re￿tiTh3 to loans gfter the year end. 19 STATUS OF THE COMPPI4Y The ¢￿panY is limlied by guarantee. The nurnber of members of the Cethicil at the year end was 26 {2021.. 361. In the evenl of a windiro-up of the company, Ihe M8￿mLIn lithlity of each Council member is £10. Page 39 SPURGEON'S COLLEGE NOTES TO THE FINMCIPL STATEMENTS FOR THE YEMI ENDED 31st JULY 2022 contlnu•d 20 COMkfjlTMENTS UNDER OPERATING LEASES At 31st Jul 2022 the college was committed to making the following payments f￿ operating leases.. 2022 2021 Within-. Less than Onè Year h to flve years Greater than five years 18,141 4,085 15.834 10.040 22 25,896 22,262 21 POST B￿￿￿CE SHEET EVENTS The Cdlege was left a propety, 4 Ticehursl Road, shown on the balance sheet as a current asset on the balance sheet at 31 July 2022 undw property to be 5dd. k was scld with Proce￿13 of £650,000 which were used to pay off the £326.763 inleresl 0￿Y Baptist Ithmjn loan shown In note 11. In order lo achieve short term refinancing, the college look ¢xA a loan from TAB of £S.OSO,CI)O over a p8fKKI of 24 months al an interest rale irf Bank of EnglarKI base rale plus 10.75%. £1,313.000 wwe retained by the lender to pay the first 24 months Interest. Parl of the remalniry p￿eedS wwe used to pay off the £2,(￿)1,373 inte￿1 only Bapllsl Loan shown In note 11. Page 40