2022-06-30-accounts

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The University of Notre Dame (USA) in England Annual report and financial statements for the year ended 30 June 2022

Registered Charity Number: 1098673 Company Number: 4780870

The University of Notre Dame (USA) in England

Directors’ Report including Strategic Report Independent Auditors’ Report Statement of financial activities Balance sheet Cash flow statement Notes to the financial statements	Page(s) 1 - 18 19 – 21 22 24 25 26 - 48

The University of Notre Dame (USA) in England

Directors’ Report including Strategic Report

The Directors of the University of Notre Dame (USA) in England (the “University”) present their report

and audited financial statements for the year ended 30 June 2022.

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, THE DIRECTORS AND ADVISERS

Directors Shannon Cullinan Robert Conway John Hahn Andrew Paluf William Kennedy Michael Pippenger Anna Rowlands Marcus Cole Madison Faller

Company Secretary Broadway Secretaries Limited

The Directors of the University who were in office during the year and up to the date of signing the financial statements are listed above.

Independent Auditors Academic Directors PricewaterhouseCoopers LLP Joshua Copeland, Executive Director 1 Embankment Place London Rev. James Lies, C.S.C., Senior Director for WC2N 6RH Academic Initiatives and Partnerships Solicitors Michael Addo, Director, London Law Program

Solicitors BDB Pitmans LLP One Bartholomew Close London EC1A 7BL

Bankers Citibank NA Citigroup Centre 25 Canada Square Canary Wharf London E14 5LB

Registered Office Principal Office One Bartholomew Close 1-4 Suffolk Street London London EC1A 7BL SW1Y 4HG

Status

The University of Notre Dame (USA) in England is a charity registered in England and Wales under number 1098673, and a company limited by guarantee number 4780870.

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STRUCTURE, GOVERNANCE AND MANAGEMENT

The University of Notre Dame in England was established by a Trust Deed dated 28 November 1980 for the advancement of education. The Trustees of the University determined at the end of fiscal 2004 that the business and affairs of the charity could be carried out more efficiently through the medium of a charitable company rather than, as in years prior, that of an unincorporated trust. Thus, the University of Notre Dame in England was wound up effective 30 June 2004. Concurrent with the winding up of the University of Notre Dame in England, the assets and activities of this entity were transferred to the current entity, the University of Notre Dame (USA) in England.

The University’s governing document comprises a Memorandum and Articles of Association. The University plans to maintain charitable objectives and, as such, the University remains exempt from taxation on income derived from its charitable activities.

Directors of the University are recruited and nominated through consultations with the sitting Directors and appointed by the charity’s patron, the University of Notre Dame du Lac based at Notre Dame, Indiana, USA (the “Parent University” or “Notre Dame”), who acts through the patron’s representative. The Parent University provides the Charity’s Directors with personal indemnity insurance. The Directors also act as trustees for the charitable activities of the University. Training of new Directors is provided by internal management, both from the Parent University and the University. Directors meet at least twice annually. Directors are educated on the history of the organization and advised as to the most important elements of the management and administration of the charity, including identification of the charity’s key personnel and their operational roles. Directors also receive periodic training by a third party which covers such topics as the Directors’ responsibilities, the Companies Act 2006, the Charities Act 2011, data protection and employment law.

The pay of the key personnel is reviewed annually and subject to annual merit increases as available, determined on a yearly basis through market analysis and a process of recommendations following an annual performance review. Key personnel compensation is evaluated on appointment and reviewed regularly based on survey market data where the positions are matched to comparable positions within similar organizations (size, complexity) within the UK.

As stated in sections one and two of the employee handbook, the University of Notre Dame (USA) in England (“UNDE”) is dedicated to equal employment opportunity and to the implementation of positive programs designed to ensure the prevention of any discriminatory practices either intentional or inadvertent. The University advertises for and subsequently recruits, hires, trains and promotes persons in all job titles on the basis of merit and ability.

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Under the Charities (Protection and Social Investment) Act 2016, charities are required to include information on fundraising activities in the trustees’ annual report. University of Notre Dame (USA) in England has no fundraising activities.

OUR AIMS

The Parent University established the charity for the advancement of education. In serving the public benefit, the objectives of the University are to enable students to undertake a period of study in the United Kingdom, to enhance their understanding of British culture, and to take advantage of the many educationally enriching opportunities that London offers as a global city with unique cultural, economic, and political institutions. In setting its aims, Directors have given careful consideration to the Charity Commission’s guidance on public benefit in terms of academic programs, financial aid and other charitable activities.

Academic Programs

Each of the academic programs run by the University comprises the academic lecturers based in England or visiting faculty from the Parent University as well as administrative staff members – all administrative staff are UK based. Day-to-day management of all programs is delegated to the respective program directors who have regular communications with their respective academic and administrative managers at the Parent University. Major decisions are taken by the program directors of the University in consultation with senior management of the Parent University.

Conway Hall, a historic building near Waterloo Station, supports student accommodations, provides greater flexibility in scheduling, and enables the University to manage costs associated with lodging for all programs.

Further information regarding the objectives and activities, achievements and performance, and plans for future periods for the academic programs can be found in the respective sections of this report.

Financial Aid

The principal beneficiaries of the University are the students of the Parent University and, accordingly, the financial aid policies of the Parent University have a direct and important impact upon all students attending the University. The Parent University’s undergraduate financial aid policy is based on the goal of making the Parent University’s costs reasonably affordable for all applicants, regardless of family resources. This need-based commitment begins at the point of admission, where students’ ability to pay is not a consideration in the process. Complementing this “need-blind” admissions policy is the Parent University’s firm commitment to meet the demonstrated full “financial need” of every student.

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Financial aid at the Parent University in the form of scholarships, grants, loans and campus employment, is determined primarily on the basis of financial need with the most generous packages being awarded to the neediest students from the lowest income families, including decisions to give some students full grants in respect of their University tuition and fees. For the year ended 30 June 2022, the Parent University once again graduated 62% of its students free of federal loan debt. Investing $201.1 million (USD) in financial aid across all forms of grants and scholarships for the year ended 30 June 2022 ($183.7 million USD in 2021). This reflects approximately 30% of the total tuition for 2022 (26% for 2021). Approximately 70% of the undergraduate student body received some form of aid during the year (48% during 2021). The portion of Parent University financial aid provided specifically to students participating in the University’s academic programs can be found at the end of this section on page 5.

The Parent University focuses specific outreach efforts to recruit potential low-income students. These efforts include the following:

Admissions representatives are in contact with students across the United States stressing that Notre Dame has a “need-blind” admissions policy. In addition, the counsellors share that Notre Dame annually meets the full demonstrated need of students. All printed materials and the website for admissions and financial aid include this information.
The Parent University sponsors several pre-college programs for high school students. Special summer programs are held annually for high school students, including those from socioeconomically disadvantaged families, to introduce them to Notre Dame and to encourage them to apply. Many of these programs returned to in-person residential experiences in summer 2022; seeing almost 550 talented high school students living and learning on campus.
This spring the Parent University resumed all-expense paid two-day campus visits on three separate occasions for incoming talented admitted students from disadvantaged socioeconomic backgrounds, adding support this year for a parent or guardian to experience Notre Dame along with their scholar. Participants attend classes, meet with current students, faculty and staff, and engage in numerous community activities. For those students unable to attend an on-campus experience, several virtual experiences were offered.
Special efforts to recruit students that diversify the campus community's make-up and socioeconomic spectrum are made by four additional groups of alumni: the Black Alumni of Notre Dame, the Hispanic Alumni of Notre Dame, the Asian Pacific Alumni of Notre Dame, and the Native American Alumni of Notre Dame. Approximately 150 Notre Dame alumni clubs typically award need-based scholarships to students from their communities to enhance their ability to attend.

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Parent University has also partnered with such organizations as QuestBridge, Posse Foundation, Cristo Rey Network, KIPP Public Charter Schools, Say Yes to Education, and AnBryce to attract, enroll and support scholars who are first-generation or underrepresented.
Parent University predominately provides students from families with incomes below $60,000 per year a financial aid offer that contains no loans.
The Office of Enrichment at the Parent University addresses the social and personal needs of high financial need students with the transition and management of the collegiate experience.

The financial aid programs referred to above are applicable to the academic year international programs at the Parent University and all admitted students of the Parent University are offered the opportunity to study abroad in London. Students in both the London Law Program and the Summer London Law Program are eligible for a number of scholarships based upon need and merit. In addition, loan programs are made available to all Law students and can be applied to study both at the Parent University and the University.

In person academic programming in London resumed for the academic year ended 30 June 2022 after a year where University faculty taught virtual courses. The table below displays financial aid provided specifically to students participating in academic programs at the University for the year ended 30 June 2022.

Program	Total no. of students	No. of students receiving financial aid	Total financial aid provided (USD)	Total financial aid provided (GBP)	Percentage of students receiving aid
Undergraduate	319	130	$2,982,104	£ 2,242,446	41%
Law	53	52	$1,101,400	£ 828,217	98%

Other Charitable Activities

While in London, Undergraduate and Law students are encouraged to volunteer with local charities. While there is no formal requirement to do so and participation varies from year to year, students regularly work with the charitable organizations in and around London. There are two elective courses on the undergraduate level that integrate such service opportunities into the course, placing students in local charities and Catholic schools, respectively, where each student contributes a day and a half per week.

In addition, the University continues to focus on ways to increase the use of its historical and centrally located facility, Marian Kennedy-Fischer Hall (“Fischer Hall”), in London as a venue for academic symposia, readings, meetings, cultural events, book launches, seminars and conferences.

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This continued focus, described in greater detail in the following sections, will connect the University with British institutions while providing those organizations and the general public with unique educational opportunities.

OBJECTIVES AND ACTIVITIES

The aims of the University are carried out through its objectives and activities. Below is an overview of the Objectives and Activities of the University.

Fischer Hall and Conway Hall provide Notre Dame an attractive stage in the middle of one of the world’s most influential global cities. London is the ideal location for showcasing Notre Dame’s academic strengths and unique characteristics to the global educational community. It attracts students from around the world and has become a major hub for international education.

All programs of study in London have seen swift growth in numbers with the return of in person study, and it is expected that these higher levels of numbers will sustain in the future. In addition to resources required to support this growth, the impact of the pandemic and associated rising costs has required further investment of resources in the University for sustained success.

Each unit within the overall University program has unique attributes and objectives but certain common themes emerge from the current overview. These are:

the staged incremental growth of University programs in terms of both the number of current and future students and course offerings;
the building of relationships between the University and British universities and cultural institutions that will result in joint programming in terms of courses, conferences and student interactions;
an expansion of outreach activities of the University that involves the entire Notre Dame community including alumni and friends of the University;
an enhancement of the academic quality of each of the programs;
a broadening of the commitment to engage students in the London community in academic engagement, service work and internship offerings;
expanding global reach of Notre Dame faculty members’ scholarship and research through collaborations and academic events, such as conferences, workshops, and symposia;
supporting undergraduate and graduate students’ and postdoctoral fellows’ research and training;
promoting the closer integration of all the programs at the University;

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maintaining and upgrading Fischer Hall to maximise its use as an educational and conference facility; and
a deepening of students’ global awareness and commitment to ideals of global citizenship.

The University’s Undergraduate and Law Programs during both the academic year and the summer set as their fundamental goals the provision of a rigorous international education for undergraduate and law students and the sustained promotion of the University as an international hub of cultural and scholarly activity that contributes significantly to the elevation of Notre Dame’s international prestige.

Progress towards these objectives are measured through key performance indicators which include levels of student attendance; the quality of conferences and events held throughout the year; and opportunities for undergraduate, graduate and faculty research and internships and externships for students.

STRATEGIC REPORT

Achievements and Performance

Program Enrolment

Due to Covid-19, University in person programs resumed for the first time in fall 2021 after being paused for the previous academic year. University program enrolment for the year ending 30 June 2022 can be found in the table below.

Program	Term	Total no. of students for year ending 30 June 2022
Undergraduate	Fall	126
Undergraduate	Spring	192
Undergraduate	Summer	141
Law	Fall	18
Law	Spring	44

As of spring 2021, the undergraduate program has reached its growth target of approximately 200 students per semester. It is anticipated that the program will continue at this level in future semesters. This anticipated growth is in line with the University’s strategic objectives.

The internship program restarted within the undergraduate program with 42 students in placements in fall 2021 and 21 in spring 2022.

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The Kennedy Scholars Program, a course for exceptional juniors in the Parent University’s College of Arts and Letters to develop independent research skills and ideas for their upcoming senior thesis, also saw growth, with 7 students participating in fall 2021, and 8 in spring 2022.

In spring 2021, the group had 7 students participating in the course online (spring 2020: 3 students participated in person).

Faculty, Graduate & Postdoctoral Research

In addition to providing research opportunities for undergraduates, the University intends to provide more opportunities for advanced graduate students to conduct research for their dissertations in London. In fall 2021, the graduate student research and teaching position recommenced with one graduate student in residence in Conway Hall.

Alongside this, a post-doc scholar worked on setting up the Chesterton Collection while pursuing her own research.

The University launched the Faculty research residential grants in spring 2022, which provided an opportunity for Notre Dame faculty and up to 2 graduate student dissertation scholars to conduct shortterm research in London, while in residence at the University.

With the resumption of in-person teaching alongside the appointment of world class faculty, the London Law program enrolment numbers have continued to grow to the point of almost full capacity of 50. In the spring of 2022, 44 students joined the program; 10 for the full year with 21 third year law and 23 second year law students, 27 of whom are female and 17 are male. 110 students had applied to join the program and so for the first time it has become a competitive selection process. It is expected that these high enrolment numbers will be maintained.

Law Program

New and exciting courses continue to be added to the curriculum as the Dean continues to implement his strategy for revamping the program. In fall 2021 three new classes: Philosophical Foundations of Human Rights; International Religious Liberty; and Transnational Corporate Finance Law, were added to the curriculum. In spring 2022, an additional four new courses: English Legal History; Comparative Law; International Refugee Law; and Comparative Corporate Governance were added onto the curriculum. All were taught by faculty new to the program. The Dean has since met with more scholars who have expressed an interest to contribute to the London Law program.

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The London Law externship program remains especially valuable due to the diversity of partner employers. Ranging across government departments, private commercial firms, legal professional, community law centres and other non-governmental organizations, the program allows for every career and professional interest to be catered for. Interest in the externship program from both students and employers is increasing and it remains an important component of the strategy behind the curriculum review to complement student learning with the externship opportunities.

In the fall of 2021, 6 students applied and successfully undertook externships with British Institute of International and Comparative Law (BIICL); Business and Human Rights Centre (BHRRC); Cleveland Scott York; Fraser Chambers; NNU Immigration; and with Rodney Dixon. In the spring of 2022, 12 students undertook externships with BHRCC; Catholic Education Service; Finnegan; Fraser/Goldsmith Chambers; Justice; LawinSport; McIllroy-Forum Chambers; NNU Immigration; Orrick; Rodney Dixon; and the US Embassy. It is a measure of the strength of the program that some externship partners continued to offer externship positions (some virtually) to students since the resumption of in-person teaching in London.

The London Law program continues to develop its relationship with the London Law alumni community who have always been generous with their time and expertise. This has been especially valuable in terms of finding externship opportunities and providing networking and career advice to the students.

The Law Program provides an excellent hub for research collaboration with UK and European scholars as well as with researchers from all over the world. Some colleagues including Professors Bruce Huber and Patrick Corrigan from the Law School have taken advantage of this opportunity with conferences, workshops and book launches.

The continuing expansion of the Law program brought about opportunities for the administrative team and so in the fall of 2021, the Dean appointed Mary Denyer as Program Manager to help support the administration of the Law Program.

Chesterton Collection

The Chesterton Collection is in place with further cataloguing and assessment of the Collection taking place during 2021 and 2022. A fixed-term archivist was hired for the fall of 2021, and ongoing work has continued through the spring and summer with a postdoctoral fellow working on the archive.

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With support from Notre Dame Research, work began in the spring semester, 2021, on a digitization project in collaboration with the British Library, focusing primarily on a toy theatre that exists within the Chesterton Collection.

Engagement with the Collection is growing, with several faculty using the Collection for teaching purposes in the fall and spring semesters.

Conferences / Events

The University began gradually rebuilding its events and conferences program as caution around public gathering lessened. Consequently, the summer break, fall semester and beginning of the spring semester was quiet, but from March 2022, academic conferences and events were being held more regularly. Since then, demand for conferences and events has grown, with 14 academic conferences and events happening between the beginning of March through the end of June. Highlights include The Barrett Lecture with the Nanovic Institute, where Lord Chris Patten discussed UK/China relations, giving a lecture entitled “Is there a New World Order?” There was also the return of the Annual Shakespeare Lecture, with Prof. Carol Rutter discussing “Widening the Shakespeare Circle.”

Events organized on behalf of the Law Program have continued to grow. In addition to the conferences and events organized by London and Parent University based law faculty, there were three high profile events at the University in the last year. The first of these, the annual Peace Through Law Lecture, was delivered in the fall of 2021 on the subject of “The Interests of Peace and the Right to Reparation,” given by Emmanuel Giakoumakis, law clerk to the former President of the International Court of Justice. This was followed in spring 2022 by the Law and Justice Lecture delivered by Professor Christopher McCrudden of the Queen’s University, Belfast on the subject of “What Does Human Dignity Mean and Why Should We Care?” This event was organized in collaboration with the Edmund Plodman Trust. Both events are scheduled to be annual events of the program. In fall 2021, a farewell conference was held in honour of the distinguished scholar, Professor John Finnis, attended by leading scholars from all over the world. The Dean hosted a dinner at the Athenaeum for all participants.

Financial Review

The University expended £6,754,257 (2021: £4,503,263) on its charitable activities during the year, of which £2,011,899 (2021: £456,233) was expended on activities undertaken directly and £4,742,358 (2021: £4,047,030) was expended on support costs. The University experienced an increase in charitable activities undertaken directly as the centre resumed in-person student programs in the fall of 2021. Support costs also increased as Fischer and Conway Halls were once again occupied during the

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year. Budgets are approved by the Parent University and reports on expenditures are sent to the Parent University every month for monitoring.

Recurring operations of the University were funded by a combination of donations from the Parent University and charges as outlined in the Agreement for the Supply of Services between the University and the Parent University. In 2022, donations from the Parent University were £795,114 (2021: £980,975). The year over year decrease in donations is mainly due to the reduction in gift in kind which helps offset direct and indirect program costs but such costs were down this year mainly due to funding supporting education and supplemental services. Charges for the supply of education and supplemental services for other charitable activities were £3,130,000 (2021: £2,395,000) and £316,000 (2021: £181,000), respectively.

Rental income of £578,533 (2021: £58,056) which includes student accommodation rental income from third party tenants leasing a portion of Conway Hall increased year over year with the opening of the building after Covid-19.

Trafalgar Hall, within Fischer Hall Building was updated during the year with total capitalized costs of £62,810. Additionally, the Fischer Hall classrooms are in the process of updating audio visual equipment with some updates still in progress as of 30 June. Total amount capitalized was £53,738 and the amount in progress as of 30 June 2022 was £20,266. In Conway Hall, several kitchens were also re-tiled during the year with total capitalized cost of £43,440 and the elevator was upgraded with total capitalized cost of £21,918.

As a result of the centre having a full year of operations, there was an overall increase in total expenditures and incoming resources as described in the previous paragraphs, the net decrease in funds for the year, as shown in the statement of financial activities, amounted to £1,228,012 (net decrease 2021: £967,996). The value of the University’s net assets at 30 June 2022 amounted to £39,514,105 (2021: £40,742,117).

Plans for Future Periods

Undergraduate Program

With the increased number of students, the University has added a number of courses which have provided opportunities for students that in the past they may not have had, including in health sciences. The University is currently in the process of hiring for six faculty positions which will strengthen the offerings in Computer Science, Aerospace Engineering, Organic Chemistry, and the Liberal Arts.

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These targeted courses, particularly in the sciences and engineering, will make it possible to continue to host students from majors with historically little flexibility in their curricula.

The University is having ongoing conversations with departments about expanding undergraduate research. The Kennedy Scholars Program continues to thrive, with the largest cohort since the foundation of the program currently being hosted. The University has been in communication with the Institute for Advanced Studies to bring sophomores annually during Fall Break for a research opportunity with the Chesterton Collection.

Graduate Research

In addition to providing research opportunities for undergraduates, the University intends to provide more opportunities for advanced graduate students to conduct research for their dissertations in London. The University plans to continue hosting a graduate student to spend a semester or a year teaching and doing research in London.

Law Programs

The review of the London Law Program curriculum will continue in the coming academic years with the addition of new courses and faculty, strengthening the Program’s offerings in the three thematic pathways.

As with the curriculum review, the externship program is expected to evolve in the next academic year to take advantage of the employability needs of the legal environment. The Dean has plans to increase participation of law students in the externship program and to diversify the placements available.

During the next academic year, the Law School hopes to continue and expand the mentorship offered by the London Law alumni to the students. Going further, the Law Program hopes to explore the possibility of engaging London Law alumni as adjunct faculty for the program.

The Program looks to continue building on the range of conferences and events hosted by colleagues in the Law School alongside the world class London faculty. The plans include providing Research Assistants to support London faculty in their research and to encourage all faculty to contribute to a regular faculty or other seminar series.

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Chesterton Collection

The inaugural events for the Chesterton Collection, including a dedication and a conference, will take place October 27-28, 2022 and have a strong presence from University leadership. Planning is currently underway for these events, as well as for future archival preservation and digitization.

Principal Risks and Uncertainties

Management of Risk

The Directors of the University confirm that the major risks to which the charity is exposed, as identified by the Directors, have been reviewed and systems have been established to mitigate those risks. These risks include:

Risks related to oversight and compliance which includes financial oversight and compliance and General Data Protection Regulations (“GDPR”). These risks are mitigated by the close working relationship between University staff and Notre Dame International, Finance Division, and General Counsel’s Office of the Parent University and include:
Regular meetings held with the University and Parent University finance teams.
Quarterly forecasting completed to identify any financial risks, and develop mitigation plans prior to year-end.
The Parent University’s Information Technology Director, in collaboration with General Counsel and the Office of Information Technology, monitoring for potential changes or amendments the UK may establish around GDPR.
Risk related to facilities and infrastructure. This risk has been mitigated by integrating the maintenance of facilities into the long-term maintenance program run by the Parent University and collaborating with the Office of Information Technology and Facilities Design and Operations at the Parent University to assess technology and address as needed. Recent improvements include:
Turnstiles installed in both Conway and Fischer Halls that require an ID swipe to enter the building beyond the lobby and CCTV systems have been upgraded in both buildings.
An intruder alarm system and intercom system has been installed in Fischer Hall.
Further coverage upgrades with security contractors for both Conway and Fischer Halls is planned for the coming year, including 24-hour coverage in Fischer Hall and a second guard in Conway Hall. This will commence in summer 2022, providing for a safer and more secure environment for all members of the University community.

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Risk related to health and safety for students and staff. This risk is mitigated by working closely with the Parent University to replicate best safety and security practices and maintaining close relationships with the Metropolitan Police, Fire Brigade and the State Department at the US embassy for a smooth exchange of information and a clear understanding of responsibilities and is illustrated by the following:
The Parent University has partnered with International SOS, the world's leading international medical and travel security assistance company. The University utilizes International SOS' emergency communications platform to keep students, faculty and staff informed of changes events and send messages proactively in emergency situations.
The Parent University and the University hold annual campus safety meetings to review local safety policies, systems, training, and compliance.
The University student support staff participate in regular safety and security refresher training. The next security tabletop exercise between the University and Parent University is planned and will take place in-person in London in Fall 2022, now that international travel has resumed.
The University continues to require students to register their personal leisure travel to better inform and account for travellers due to the fluidity of the pandemic and changing travel restrictions.
Risk related to world events. A risk identified and brought to the Parent University’s formal risk mitigation process in January 2020 has clearly superseded many of the other risks in recent months. Academic programs resumed in person for the fall of 2021 but Covid-19 continues to present several risks for the coming year in the following ways:
The pandemic poses financial risks if the University is unable to physically gather for academic instruction, faculty research, and service to the community in London.
Government policies in the United Kingdom and the United States evolve and change frequently, limit the ability to plan, convene, and in some cases, travel to and from the University. The Omicron wave of Covid-19 in December 2021/January 2022 created travel challenges and increased mitigation measurements for Spring 2022.
The Parent University and the University together create and implemented Covid-19 mitigation measures for the return to in-person programs in Fall 2021. Mitigations include, but are not limited to: isolation of positive cases and quarantine of close contacts; masks in indoor and enclosed areas; sanitization stations throughout both buildings; rapid testing of symptomatic cases and asymptomatic close contacts; and ventilation and fresh air in enclosed spaces.

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The Parent University and the University together created a Covid-19 Policies and Protocols document for the fall 2021 semester in which vaccination is required for students studying abroad. This document is updated in accordance with local UK health guidance for each semester or summer term of study.

The Directors continue to assess potential risks and review them on an annual basis.

FINANCIAL RISKS

The Directors believe the charity does not have exposure to price, credit, liquidity, and financial asset risks as these risks along with any other financial risks are supported by the Parent University. There is no exposure to foreign exchange risk as all transactions with the Parent University are denominated in sterling.

RESERVES POLICY

The designated fund represents the University’s tangible fixed assets and deferred reverse lease premiums. Any residual monies in the General Fund reserves after meeting current operating costs are held solely for the purpose of meeting future budgeted operating costs in subsequent periods.

Designated fund reserves at 30 June 2022 were £39,373,111 (2021: £40,166,727). The General fund surplus at 30 June 2022 was £140,994 (2021: £575,390).

In consultation with the Parent University, the Directors review on an annual basis the unrestricted general funds and are satisfied that resources available to the University are adequate to meet any and all on-going operational needs. In the event of unexpected funding needs, the Parent University would have adequate resources to ensure continued operations of the University. For this reason the reserves target for the General fund is £nil (2021: £nil).

The Memorandum and Articles of Association authorises the Directors to invest at their discretion any monies not immediately required for the furtherance of the University’s objectives. Such monies are currently invested in interest bearing bank accounts held with the University’s bankers.

GOING CONCERN

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continuing full financial support from Parent University as proven by the letter of support signed annually, the directors therefore consider that it is appropriate to prepare the financial statements of the University on the going concern basis and have a reasonable expectation that the University has adequate resources to continue in operational existence for the foreseeable future.

PUBLIC BENEFIT

The Strategic Report clearly sets out in detail the University’s charitable activities, which have been carried out in line with the charitable objectives. The case for public benefit is supported by, but not limited to, providing educational services to advance those objectives and financial assistance for the benefit of students, their families and communities they work in. As such, the Directors, as Trustees of the University are confident the University has complied with the duty in section 17 of the Charities Act 2011 to have due regard to public benefit guidance published by the Charity Commission.

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The trustees (who are also directors of The University of Notre Dame (USA) in England for the purposes of company law) are responsible for preparing the Directors’ Annual Report (including the Strategic Report) and the financial statements in accordance with applicable law and regulations.

Company law requires the trustees to prepare financial statements for each financial year. Under that law the trustees have prepared the financial statements in accordance with United Kingdom Accounting Standards, comprising FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”, and applicable law (United Kingdom Generally Accepted Accounting Practice). Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of the affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Statement of Recommended Practice: Accounting and Reporting by Charities (2019);
make judgments and estimates that are reasonable and prudent;
state whether applicable UK Accounting Standards, comprising FRS 102, have been followed, subject to any material departures disclosed and explained in the financial statements; and
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.

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STATEMENT OF TRUSTEES’ RESPONSIBILITES (continued)

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees are responsible for the maintenance and integrity of the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

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Directors’ Report including Strategic Report (continued)

INDEPENDENT AUDITORS

PricewaterhouseCoopers LLP were appointed by the Directors as the first independent auditors of the University. A resolution to reappoint PricewaterhouseCoopers LLP as auditors of the University will be proposed at the annual general meeting.

The Directors’ report, including the Strategic Report, was approved by the Board of Directors and authorised for issue on date 11 November 2022.

………………………… ……. ………………………… ……. Shannon Cullinan Director

Independent auditors’ report to the members of The University of Notre Dame (USA) in England

Report on the audit of the financial statements

Opinion

In our opinion, The University of Notre Dame (USA) in England’s financial statements (the “financial statements”):

give a true and fair view of the state of the charitable company’s affairs as at 30 June 2022 and of its incoming resources and application of resources, including its income and expenditure, and cash flows, for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards, comprising FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”, and applicable law); and
have been prepared in accordance with the requirements of the Companies Act 2006.

We have audited the financial statements, included within the Annual report and financial statements (the “Annual Report”), which comprise: the balance sheet at 30 June 2022; the statement of financial activities (incorporating the income and expenditure account) for the year ended 30 June 2022; the cash flow statement for the year ended 30 June 2022; and the notes to the financial statements, which include a description of significant accounting policies.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (“ISAs (UK)”) and applicable law. Our responsibilities under ISAs (UK) are further described in the Auditors’ responsibilities for the audit of the financial statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Independence

We remained independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, which includes the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements.

Conclusions relating to going concern

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

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

However, because not all future events or conditions can be predicted, this conclusion is not a guarantee as to the charitable company’s ability to continue as a going concern.

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

Reporting on other information

The other information comprises all of the information in the Annual Report other than the financial statements and our auditors’ report thereon. The trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and, accordingly, we do not express an audit opinion or, except to the extent otherwise explicitly stated in this report, any form of assurance thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If we identify an apparent material inconsistency or material misstatement, we are required to perform procedures to conclude whether there is a material misstatement of the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report based on these responsibilities.

Based on our work undertaken in the course of the audit, the Companies Act 2006 requires us also to report certain opinions and matters as described below.

Directors’ Report including Strategic Report

In our opinion, based on the work undertaken in the course of the audit the information given in the Directors’ Report including Strategic Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and the Directors’ Report including Strategic Report has been prepared in accordance with applicable legal requirements.

In addition, in light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we are required to report if we have identified any material misstatements in the Directors’ Report including Strategic Report. We have nothing to report in this respect.

Responsibilities for the financial statements and the audit

Responsibilities of the trustees for the financial statements

As explained more fully in the Statement of Trustees’ Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements in accordance with the applicable framework and for being satisfied that they give a true and fair view. The trustees are also responsible for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditors’ responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors’ report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Based on our understanding of the charitable company/industry, we identified that the principal risks of non-compliance with laws and regulations related to the Charities Act 2011, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the financial statements such as the Companies Act 2006. We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to inappropriate journal entries to manipulate financial results. Audit procedures performed included:

Identifying and testing journal entries, in particular any journal entries posted with unusual account combinations;
Obtaining independent confirmations of cash balances as at 30 June 2022 and testing management’s year-end bank reconciliations;
Enquiring of management and the board of directors, including consideration of known or suspected instances of non-compliance with laws and regulations and fraud;
Reading minutes of meetings of the board of directors and significant contracts; and
Assessing financial statement disclosures, and testing to supporting documentation, for compliance with applicable laws and regulations.

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations or through collusion.

A further description of our responsibilities for the audit of the financial statements is located on the FRC’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditors’ report.

Use of this report

This report, including the opinions, has been prepared for and only for the charity’s members as a body in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and for no other purpose. We do not, in giving these opinions, accept or

assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing.

Other required reporting

Companies Act 2006 exception reporting

Under the Companies Act 2006 we are required to report to you if, in our opinion:

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

adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or

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

the financial statements are not in agreement with the accounting records and returns.

We have no exceptions to report arising from this responsibility.

Daniel Chan (Senior Statutory Auditor) for and on behalf of PricewaterhouseCoopers LLP Chartered Accountants and Statutory Auditors London 11 November 2022

The University of Notre Dame (USA) in England

Statement of financial activities (incorporating the income and expenditure account) for the year ended 30 June 2022

Note Income from: Donations 2 Charitable activities: Fees from summer programs Fees from educational services Fees from supplemental services Other: Rental income Conferences and event income Reverse lease premium 16 Other income Total Expenditure on: Charitable activities 3 Other Costs 6 Total Net expenditure and net movement in funds 7 Reconciliation of funds: Total funds brought forward at the beginning of the year Total funds carried forward at the end of the year	£ Unrestricted Funds £ Restricted Funds £ Total Funds 2022 £ Total Funds 2021
	108,860 686,254 795,114 980,975 707,183 - 707,183 - 3,130,000 - 3,130,000 2,395,000 316,000 - 316,000 181,000 578,533 - 578,533 58,056 8,860 - 8,860 - 4,395 - 4,395 4,395 51,614 - 51,614 2,957
	4,905,445 686,254 5,591,699 3,622,383
	6,068,003 686,254 6,754,257 4,503,263 65,454 - 65,454 87,116
	6,133,457 686,254 6,819,711 4,590,379
	(1,228,012) - (1,228,012) (967,996)
	40,742,117 - 40,742,117 41,710,113
	39,514,105 - 39,514,105 40,742,117

All of the University’s activities are derived from continuing operations.

All gains and losses recognised in the year are included in the Statement of Financial Activities therefore no separate statement of comprehensive income has been prepared.

There is no difference between the net movement in funds for the year stated above, and its historical cost equivalent, and as such, a separate note on historical gains and losses has not been produced.

The University of Notre Dame (USA) in England

Statement of financial activities (incorporating the income and expenditure account) for the year ended 30 June 2021

Note Income from: Donations 2 Charitable activities: Fees from educational services Fees from supplemental services Other: Rental income Conferences and event income Reverse lease premium 16 Other income Total Expenditure on: Charitable activities 3 Other Costs 6 Total Net expenditure and net movement in funds 7 Reconciliation of funds: Total funds brought forward at the beginning of the year Total funds carried forward at the end of the year	£ Unrestricted Funds £ Restricted Funds £ Total Funds 2021
	711,044 269,931 980,975 2,395,000 - 2,395,000 181,000 - 181,000 58,056 - 58,056 - - - 4,395 - 4,395 2,957 - 2,957
	3,352,452 269,931 3,622,383
	4,233,332 269,931 4,503,263 87,116 - 87,116
	4,320,448 269,931 4,590,379
	(967,996) - (967,996)
	41,710,113 - 41,710,113
	40,742,117 - 40,742,117

The University of Notre Dame (USA) in England

Balance sheet at 30 June 2022

		£	£
	Note	2022	2021
Fixed assets
Tangible assets	10	39,623,738	40,421,749
Current assets
Debtors	11	98,121	82,768
Cash at bank and in hand	15	459,319	836,232
Total current assets		557,440	919,000
Creditors: Amounts falling due within one year	12	(420,841)	(348,005)
Net current assets		136,599	570,995
Total assets less current liabilities		39,760,337	40,992,744
Creditors: Amounts falling due after more than one year	13	(246,232)	(250,627)
Total net assets	18	39,514,105	40,742,117
The funds of the charity
Restricted income funds	20	-	-
Unrestricted funds	19	39,514,105	40,742,117
Total charity funds		39,514,105	40,742,117

The company number for The University of Notre Dame (USA) in England is 4780870.

The financial statements on pages 22-48 were approved by the Directors on date 11 November 2022 and were signed on their behalf by:

………………………… …….

……………………………….

Shannon Cullinan Director

The University of Notre Dame (USA) in England

Cash flow statement for the year ended 30 June 2022

Note Cash flows from operating activities Net cash (outflow)/inflow from operating activities 14 Cash flows from investing activities: Purchase of property, plant and equipment 10 Change in cash and cash equivalents in year 15 Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year	£ 2022 £ 2021
	(174,741) 270,603
	(174,741) 270,603 (202,172) (26,040)
	(376,913) 244,563
	836,232 591,669
	459,319 836,232

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022

NOTE 1.

PRINCIPAL ACCOUNTING POLICIES

The financial statements have been prepared in accordance with Financial Reporting Standard (FRS 102) in the United Kingdom, the Statement of Recommended Practice on Accounting and Reporting by Charities issued by the Charity Commission in October 2019 (the “Charities SORP”), the Companies Act 2006, and the Charities Act 2011.

BASIS OF PRESENTATION

The financial statements are prepared in accordance with the historical cost convention and accounting policies have been applied on a consistent basis from year to year. The University is a Public Benefit Entity.

GOING CONCERN

The University is dependent on support from the Parent University through both donations and fees from the Agreement for the Supply of Services relating to the provision of education (the “agreement”). The Parent University will continue to support any ongoing operating costs and liquidity needs not covered by the agreement. The Parent University is committed to the strategic objectives of the University and is financially capable as evident by its strong credit rating. As the University has continuing full financial support from Parent University as proven by the letter of support signed annually, the directors therefore consider that it is appropriate to prepare the financial statements of the University on the going concern basis and have a reasonable expectation that the University has adequate resources to continue in operational existence for the foreseeable future.

FUND ACCOUNTING

General funds represent monies received for the general purposes of the University.

Designated funds represent the tangible fixed assets of the University, as well as the reverse lease premiums.

Restricted funds are monies received for a specific purpose, or donation subject to donor-imposed restrictions.

INCOME AND EXPENDITURES

Income and expenditures are accounted for using the accrual basis. The University is entitled to income when receipt is probable and the amount can be measured reliably. Expenditures are inclusive of any Value Added Tax (VAT) which cannot be recovered.

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 1. PRINCIPAL ACCOUNTING POLICIES (continued)

DONATIONS

Donations include cash transfers to the University from the Parent as well as expenditures paid directly by the Parent on behalf of the University

FEE INCOME

Summer program fees are collected by the Parent and transferred to the University. Revenues are credited in the Statement of Financial Activities (“SOFA”) in the period in which the relevant program is conducted. Fees received in advance are deferred until the period in which the respective program is conducted.

EDUCATIONAL AND SUPPLEMENTAL SERVICE FEES

Fees are calculated annually and received in accordance with the Agreement for the Supply of Services dated 1 July 2014 between the Parent and the University. Revenues are credited in the Statement of Financial Activities (“SOFA”) in the period in which the fee is earned. Fees received in advance are deferred until the appropriate period.

RENTAL INCOME

A third party education service and other universities provide student accommodation in a portion of Conway Hall under contractual agreements with the University. Rental revenues from these arrangements are at a fixed amount. Rental revenue from University students participating in the summer programs and residing at Conway Hall are credited in the SOFA in the period in which the respective summer program is conducted. Rent payments received in advance are deferred until the period in which the respective program is conducted.

REVERSE LEASE PREMIUM

A reverse lease premium received by the University has been deferred and is released to the SOFA over the life of the lease.

PENSIONS

The pension fund operated by the University is a defined contribution scheme. The pension costs charged to the SOFA in respect of the scheme represent the amount of contributions payable to the scheme for the benefit of the employees in respect of the accounting year. Contributions are allocated between activities and between restricted and unrestricted funds based on where the related salary expense has been charged.

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 1. PRINCIPAL ACCOUNTING POLICIES (continued)

EXPENDITURES

Costs of charitable activities comprise the costs of activities undertaken directly by University programs, as well as support costs that facilitate, but are not directly attributable to charitable programs. Support costs, including support staff costs, depreciation, and interest, are allocated to charitable programs on the basis of the number of students participating and the length of the program term. Other costs include expenditures on compliance with constitutional and statutory requirements.

TAXATION

The University is a registered charitable company and accordingly is exempt from taxation on income derived from its charitable activities, since the activities fall within the scope of sections 466 to 489 of the Corporation Tax Act 2010 and section 256 of the Taxation of Chargeable Gains Act 1992. The University receives no similar exemption in respect of Value Added Tax (VAT). Irrecoverable VAT is included within the appropriate expenditure heading.

TANGIBLE FIXED ASSETS AND DEPRECIATION

Tangible fixed assets are stated at cost less accumulated depreciation. Depreciation is calculated so as to write off the cost or valuation of tangible fixed assets on a straight line basis over their expected useful economic lives as follows:

Freehold buildings Building systems Furniture and fixtures Computers and other office equipment Leasehold improvements

Freehold land

Construction in progress

50 years
25 years
- 10 years
4 years
Over the period of the relevant lease or the useful life of the leasehold improvement, whichever is lower.
No depreciation charged
No depreciation charged

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 1. PRINCIPAL ACCOUNTING POLICIES (continued)

The University applies a full month of depreciation in the month a capitalised asset is placed into service. Tangible fixed assets acquired for less than £1,500 and building projects for less than £20,000 are generally not considered for capitalisation. Such items are expensed in the period of acquisition. The carrying value of fixed assets is annually reviewed for impairment if events or changes in circumstances suggest that their carrying amount may not be recoverable.

HERITAGE ASSETS

In July 2019, archival materials comprising the G.K. Chesterton Collection were gifted to the University including 44.5 linear metres of books and pamphlets, 27 standard archive boxes of paper materials (a mixture of primary archive documents and duplicates) and a small collection of artifacts and artwork owned or created by G.K. Chesterton. The collection was enhanced during the fiscal year through a gift of several books. Prior to acquiring the collection, the University commissioned a professional archivist to make a preliminary report on the collection, evaluating its heft and condition. A space in Fischer Hall has also been reconfigured to allow access to the collection for researchers and the general public.

These assets are not included in the tangible fixed assets and no value has been assigned as it is not practical to determine the value, nor would this reflect the nature and use of the heritage assets. Therefore, the summary disclosures outlined in paragraphs 18.28 to 18.31 of the Charities SORP were not provided.

OPERATING LEASES

Rentals applicable to operating leases are charged to the SOFA on a straight line basis.

FOREIGN CURRENCY

Transactions in foreign currencies are translated into sterling at the exchange rate ruling at the date of the transaction. All exchange differences are taken to the SOFA.

CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION

UNCERTAINTY

In the application of the University’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. These judgements, estimates and assumptions are made based on a combination of past experience, professional expert advice and other relevant evidence. However, the nature of estimation means the actual outcomes could differ from those estimates. The following areas are considered to

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 1. PRINCIPAL ACCOUNTING POLICIES (continued)

involve the critical judgements and key sources of estimation uncertainty when applying the University’s accounting policies

Critical Judgements

Revenue Recognition

Revenue recognition of educational and supplemental services fees, summer program fees and third party rental income are areas that requires judgement to appropriately apply income both in the amount and period when earned. Donations are recognized upon receipt. As discussed in the Income and Expenditures accounting policy, the University records income when receipt is probable and the amount can be measured reliably.

Cost Allocation

The cost allocation methodology requires a judgement as to what are the most appropriate bases to use to apportion support costs. These are reviewed annually for reasonableness and the basis of student numbers and the length of the program terms continues to be used. Support costs, and other expenditures judgements, are detailed in the Expenditures accounting policy.

Contingent Assets

Contingent assets are recognized and disclosed when a possible asset arises from past events. Management must use judgement to determine if the existence of the asset is probable and if the disclosure of such asset may prejudice seriously the position of the entity in a dispute with other parties on the subject matter of the contingent asset.

Key Sources of Estimation Uncertainty

Provisions

Provisions are made for future obligations and contingencies. These provisions require management’s best estimate of the costs that will be incurred based on contractual and other requirements.

Impairment of property

The charity undertakes an impairment review of property as discussed in the Tangible Fixed Assets and Depreciation accounting policy. If impairment is determined, management’s best estimate is used to determine the charge. No property impairment is included in the financial statements.

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 2.

DONATIONS

The University received income from donations as follows:

Donations received from the Parent University Donations received from the Parent University	£ £ £ Unrestricted Funds Restricted Funds Total Funds 2022
	108,860 686,254 795,114
	108,860 686,254 795,114
	£ £ £ Unrestricted Funds Restricted Funds Total Funds 2021
	711,044 269,931 980,975 711,044 269,931 980,975

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 3.

CHARITABLE ACTIVITIES

Undergraduate Program Law Centre Staff costs (Note 8) Lodgings, meals & travel Depreciation Printing, supplies & equipment Sundry expenses Repairs and maintenance Rent, rates and utilities Legal and other professional fees Cleaning and security Telephone, internet & postage Insurance	£ £ £ Activities undertaken directly (Note 4) Support costs (Note 5) Total 2022
	1,545,867 4,168,779 5,714,646 466,032 573,579 1,039,611
	2,011,899 4,742,358 6,754,257
	£ £ £ Activities undertaken directly Support Costs Total 2022
	932,995 1,284,771 2,217,766 867,756 35,076 902,832 - 1,000,183 1,000,183 49,399 200,056 249,455 54,547 60,557 115,104 - 433,385 433,385 - 1,160,787 1,160,787 32,590 84,048 116,638 - 429,412 429,412 11,503 12,771 24,274 63,109 41,312 104,421
	2,011,899 4,742,358 6,754,257

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 3. CHARITABLE ACTIVITIES (continued)

Undergraduate Program Law Centre Staff costs (Note 8) Lodgings, meals & travel Depreciation Printing, supplies & equipment Sundry expenses Repairs and maintenance Rent, rates and utilities Legal and other professional fees Cleaning and security Telephone, internet & postage Insurance	£ £ £ Activities undertaken directly (Note 4) Support costs (Note 5) Total 2021
	253,867 3,481,155 3,735,022 202,366 565,875 768,241
	456,233 4,047,030 4,503,263
	£ £ £ Activities undertaken directly Support Costs Total 2021
	378,924 1,343,701 1,722,625 8,123 2,483 10,606 - 988,600 988,600 12,128 137,295 149,423 21,335 84,011 105,346 - 205,945 205,945 - 1,001,285 1,001,285 30,003 57,273 87,276 - 168,747 168,747 5,720 17,299 23,019 - 40,391 40,391
	456,233 4,047,030 4,503,263

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 4.

COST OF ACTIVITIES UNDERTAKEN DIRECTLY

Staff costs (Note 8) Lodgings, meals & travel Printing, supplies & equipment Sundry expenses & other Repairs and maintenance Legal and other professional fees Telephone, internet & postage	£ £ £ Undergraduate Program Law Centre Total 2022
	604,490 328,505 932,995 782,122 85,634 867,756 33,449 15,950 49,399 91,841 25,815 117,656 - - - 32,223 367 32,590 1,742 9,761 11,503
	1,545,867 466,032 2,011,899

Staff costs (Note 8) Lodgings, meals & travel Printing, supplies & equipment Sundry expenses & other Repairs and maintenance Legal and other professional fees Telephone, internet & postage	£ £ £ Undergraduate Program Law Centre Total 2021
	221,159 157,765 378,924 (1,788) 9,911 8,123 4,033 8,095 12,128 6,913 14,422 21,335 - - - 21,874 8,129 30,003 1,676 4,044 5,720
	253,867 202,366 456,233

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 5.

SUPPORT COSTS

Staff costs (Note 8) Depreciation Lodgings, meals & travel Printing, supplies & equipment Sundry expenses & other Repairs and maintenance Rent, rates and utilities Legal and other professional fees Cleaning and security Telephone, internet & postage Insurance Staff costs (Note 8) Depreciation Lodgings, meals & travel Printing, supplies & equipment Sundry expenses & other Repairs and maintenance Rent, rates and utilities Legal and other professional fees Cleaning and security Telephone, internet & postage Insurance	£ £ £ Undergraduate Program Law Centre Total 2022
	1,054,523 230,248 1,284,771 900,165 100,018 1,000,183 32,858 2,218 35,076 180,446 19,610 200,056 55,404 5,153 60,557 389,478 43,907 433,385 1,044,708 116,079 1,160,787 75,973 8,075 84,048 386,487 42,925 429,412 11,556 1,215 12,771 37,181 4,131 41,312
	4,168,779 573,579 4,742,358
	£ £ £ Undergraduate Program Law Centre Total 2021
	1,101,665 242,036 1,343,701 869,968 118,632 988,600 2,185 298 2,483 120,820 16,475 137,295 73,965 10,046 84,011 181,664 24,281 205,945 881,131 120,154 1,001,285 50,490 6,783 57,273 148,497 20,250 168,747 15,226 2,073 17,299 35,544 4,847 40,391
	3,481,155 565,875 4,047,030

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 6.

OTHER COSTS

Other costs included governance costs during the year ended 30 June as follows:

Audit, legal and professional	£ £ 2022 2021
	65,454 87,116

NOTE 7.

NET EXPENDITURE AND NET MOVEMENT IN FUNDS

The University’s net movement in funds is stated after charging:

Auditors’ remuneration for the audit (including VAT) Tax advisory services provided by auditors’ firm (including VAT) Depreciation (Note 10) Operating leases of land and building (including VAT)	£ £ 2022 2021
	48,480 44,035 18,536 11,096 1,000,183 988,600 821,274 840,000

Amounts net of VAT for auditors’ remuneration for the audit is £40,400 (2021: £36,696), Tax advisory services provide by auditors’ firm is £18,536 (2021: £11,096), and operating leases of land and building £684,395 (2021: £700,000).

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 8.

EMPLOYEES

Staff costs during the year ended 30 June were as follows:

Wages and salaries Social security costs Medical insurance Other pension costs	£ £ 2022 2021
	1,796,386 1,378,574 224,656 146,260 66,506 73,889 130,218 123,902
	2,217,766 1,722,625

Staff costs, analysed by function, were as follows:

Activities undertaken directly (Note 4) Support costs (Note 5)	£ £ 2022 2021
	932,995 378,924 1,284,771 1,343,701
	2,217,766 1,722,625

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 8. EMPLOYEES (continued)

The number of employees during the year who earned £60,000 per annum or more (including benefits) was as follows:

£60,001 - £70,000 per annum £70,001 - £80,000 per annum £80,001 - £90,000 per annum £90,001 - £100,000 per annum £100,001 - £110,000 per annum £110,001 - £120,000 per annum £120,001 - £130,000 per annum	No. 2022 No. 2021
	3 1 2 3 - 1 1 - - 1 1 - - 1
	7 7

These employees are also accruing benefits under defined contribution (money purchase) benefits schemes. University contributions on behalf of these employees for the provision of such benefits amounted to £38,916 for the year ended 30 June 2022 (2021: £49,458). No other employees earned more than £60,000 per annum during the year.

The average monthly number of staff, analysed by function, for the year was:

Activities undertaken directly Support functions	No. 2022 No. 2021
	15 14 20 20
	35 34

There are three Academic Directors who are part of key management personnel of the charity. Staff costs for key management personnel during the year ended 30 June were as follows:

Wages and salaries Social security costs Medical insurance Other pension costs	£ £ 2022 2021
	250,642 260,183 24,758 23,091 18,313 18,905 24,420 25,845
	318,133 328,024

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 9.

DIRECTORS’ REMUNERATION

No Director (defined as a University Director for purposes of this note, opposed to an Academic Director) received remuneration in respect of services to the University, nor did any Director receive any reimbursement of expenses from the University related to their role as Director during the year ended 30 June 2022 (2021: £nil).

The Parent University provided the Charity’s Directors with personal indemnity insurance during the year ended 30 June 2022 at cost of £nil to the University (2021: £nil).

NOTE 10.

TANGIBLE ASSETS

		£			£
		Freehold			Computers
	£	building,	£	£	& other	£
	Freehold	building	Leasehold	Furniture &	office	Construction	£
	land	systems	improvements	fixtures	equipment	in progress	Total
Cost
At 1 July 2021	2,867,644	41,790,839	5,368,025	203,380	275,775	-	50,505,663
Purchases	-	92,861	-	26,796	62,249	20,266	202,172
Disposals	-	-	-	(11,585)	(205,819)	-	(217,404)
At 30 June 2022	2,867,644	41,883,700	5,368,025	218,591	132,205	20,266	50,490,431
Accumulated depreciation
At 1 July 2021	-	8,318,582	1,416,644	79,717	268,971	-	10,083,914
Charge for the year	-	905,128	72,024	14,863	8,168	-	1,000,183
Disposals	-	-	-	(11,585)	(205,819)	-	(217,404)
At 30 June 2022	-	9,223,710	1,488,668	82,995	71,320	-	10,866,693
Net book value
At 30 June 2022	2,867,644	32,659,990	3,879,357	135,596	60,885	20,266	39,623,738
At 30 June 2021	2,867,644	33,472,257	3,951,381	123,663	6,804	-	40,421,749

The carrying value of tangible fixed assets is reviewed for impairment in years where events or changes in circumstances indicate the carrying value may not be recoverable. All assets are used for direct charitable purposes. Leasehold improvements are depreciated over 50 years or more.

The University of Notre Dame (USA) in England

Notes to the financial statements

for the year ended 30 June 2022 (continued)

NOTE 11.

DEBTORS

Other debtors Prepayments and accrued income	£ £ 2022 2021
	5,995 11,274 92,126 71,494
	98,121 82,768

Other debtors are stated after provisions for impairment of £nil (2021: £nil).

NOTE 12.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade creditors Taxation and social security Deferred reverse lease premium (Note 16) Accruals and deferred income	£ £ 2022 2021
	159,299 88,635 95,374 44,383 4,395 4,395 161,773 210,592
	420,841 348,005

The deferred income portion of the accruals and deferred income line is £nil (2021: £nil). Accrued pension commitments total £11,745 as of 30 June 2022 (2021: £8,153).

The University of Notre Dame (USA) in England

Notes to the financial statements

for the year ended 30 June 2022 (continued)

NOTE 13.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Deferred reverse lease premium (Note 16)	£ £ 2022 2021
	246,232 250,627

NOTE 14.

RECONCILIATION OF NET MOVEMENTS IN FUNDS TO NET CASH FLOW FROM OPERATING ACTIVITIES

Net expenditures (Increase)/decrease in debtors Increase in short term creditors Decrease in deferred revenue Depreciation Cash flows from operating activities	£ £ 2022 2021
	(1,228,012) (967,996) (15,353) 106,867 72,836 147,527 (4,395) (4,395) 1,000,183 988,600
	(174,741) 270,603

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 15.

ANALYSIS OF CHANGES IN NET FUNDS

Cash at bank and in hand Net funds Cash at bank and in hand Net funds	£ At 1 July 2021 £ Cash flow £ At 30 June 2022 836,232 (376,913) 459,319
	836,232 (376,913) 459,319
	£ At 1 July 2020 £ Cash flow £ At 30 June 2021 591,669 244,563 836,232
	591,669 244,563 836,232

NOTE 16.

REVERSE LEASE PREMIUM

Reverse lease premiums on No. 1 Suffolk Street are recognised evenly over the life of the lease. Related deferred income to be recognised in future years is as follows:

Due within one year (Note 12) Due after one year (Note 13)	£ £ 2022 2021
	4,395 4,395 246,232 250,627
	250,627 255,022

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 17.

FINANCIAL COMMITMENTS

At 30 June minimum payments under non-cancellable operating leases fall due as follows:

Within one year Between one and five years In more than five years	£ £ 2022 2021
	715,887 697,214 2,800,000 2,575,887 37,275,000 34,080,000

The University leases its Suffolk Street facility under an operating lease. The lease contains a 5- year rent review provision, potentially exposing the rent paid by the charity to market review every five years. The most recent review resulted in an annual rent for the Suffolk Street facility of £700,000 per year, retroactive to October 2020. The rent is effective through October 2025.

As of 30 June, there are no non-cancellable operating lease minimum payments due within one year to the University.

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 18.

ANALYSIS OF NET ASSETS

Unrestricted funds at 30 June 2022 are represented by:

Fixed assets (Note 10) Current assets Creditors: Amounts falling due within one year (Note 12) Amounts falling due after more than one year (Note 13) Total net assets	£ Designated Funds £ General Funds £ Total Funds
	39,623,738 - 39,623,738 - 557,440 557,440 (4,395) (416,446) (420,841) (246,232) - (246,232)
	39,373,111 140,994 39,514,105

Unrestricted funds at 30 June 2021 were represented by:

Fixed assets (Note 10) Current assets Creditors: Amounts falling due within one year (Note 12) Amounts falling due after more than one year (Note 13) Total net assets	£ Designated Funds £ General Funds £ Total Funds
	40,421,749 - 40,421,749 - 919,000 919,000 (4,395) (343,610) (348,005) (250,627) - (250,627)
	40,166,727 575,390 40,742,117

Designated funds represent the University’s tangible fixed assets net of deferred reverse lease premiums.

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 19.

UNRESTRICTED FUNDS

Designated funds General funds Designated funds General funds	£ At 1 July 2021 £ Income £ Expenditures £ Transfers £ At 30 June 2022
	40,166,727 - (1,000,183) 206,567 39,373,111 575,390 4,905,445 (5,133,274) (206,567) 140,994
	40,742,117 4,905,445 (6,133,457) - 39,514,105
	£ At 1 July 2020 £ Income £ Expenditures £ Transfers £ At 30 June 2021
	41,124,892 - (988,600) 30,435 40,166,727 585,221 3,352,452 (3,331,848) (30,435) 575,390
	41,710,113 3,352,452 (4,320,448) - 40,742,117

Transfers reflect general fund resources expended to acquire tangible fixed assets.

NOTE 20.

RESTRICTED INCOME FUNDS

	£	£	£	£
	At 1 July			At 30 June
	2021	Income	Expenditures	2022
Concannon endowment	-	663,264	(663,264)	-
Kennedy Family London Thesis Seminar
Endowment for Excellence endowment	-	10,178	(10,178)	-
Kennedy Family Premier Undergraduate
Research Fellowship endowment	-	2,221	(2,221)	-
Dr. Paul and Constance Noonan, Sr.
Excellence Fund endowment	-	10,591	(10,591)	-
	-	686,254	(686,254)	-

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 20. RESTRICTED INCOME FUNDS (continued)

	£	£	£	£
	At 1 July			At 30 June
	2020	Income	Expenditures	2021
Concannon endowment	-	266,053	(266,053)	-
Kennedy Family London Thesis Seminar
Endowment for Excellence endowment	-	132	(132)	-
Dr. Paul and Constance Noonan, Sr.
Excellence Fund endowment	-	3,746	(3,746)	-
	-	269,931	(269,931)	-

Investment income earned from the endowment’s assets held by the Parent University is passed to the University to support various programs and expenditures:

The Concannon endowment was established at the Parent University in 1976 to provide resources to conduct a program of international law studies and is used by the University to fund the program of international law studies conducted in London.
The Kennedy Family London Thesis Seminar Endowment for Excellence endowment was established at the Parent University in 2015 to provide resources to conduct a program which includes a semester course in London to educate students on the process of creating thesis proposals related to London or the United Kingdom.
The Kennedy Family Premier Undergraduate Research Fellowship endowment was established at the Parent University in 2015 to provide resources to provide students an opportunity to return to London for research after completing the Kennedy Family London Thesis Seminar. Due to the impacts of Covid-19, there was no student travel to London in fiscal year 2021, and therefore, no expenditures. As such, endowment earnings were reinvested by the Parent University in fiscal year 2021.
The Dr. Paul and Constance Noonan, Sr. Excellence endowment was established at the Parent University in 2012 to help fund work visas and travel expenses to undergraduates participating in the London program.

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 21.

RELATED PARTY TRANSACTIONS

During the year to 30 June 2022 the University received donations from the Parent University amounting to £795,114 (2021: £980,975), as set out in Note 2. Based on the Agreement for the Supply of Services between the University and the Parent University, fees from educational services in the amount of £3,130,000 (2021: £2,395,000) and fees from supplemental services in the amount of £316,000 (2021: £181,000) were received from the Parent University for the year ending 30 June 2022. The fees related to the Agreement for the Supply of Services is computed annually based upon the underlying costs of the University. As of 30 June 2022, amounts due from and due to the Parent University are £nil (2021: £nil). During the spring 2022 semester Mr. William Kennedy, a trustee of the University of Notre Dame (USA) in England, taught an investment class as part of the Parent University academic programming. Mr. Kennedy did not receive any consideration for his services. There were no further transactions with any related party during the year.

NOTE 22.

FINANCIAL INSTRUMENTS

Financial assets held at amortised cost Financial liabilities held at amortised cost	£ £ 2022 2021
	465,314 847,506
	416,446 343,610

Financial assets at amortised cost represents cash, staff loans and other debtors. Financial liabilities held at amortised cost represents trade creditors and accrued expenses.

The University of Notre Dame (USA) in England

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 23.

COMPANY BY LIMITED GUARANTEE

The Guarantee given by the members comprises an undertaking that they will each contribute the maximum sum of £1 in the event that the University is wound up owing money to its creditors.

NOTE 24.

ULTIMATE PARENT

The ultimate parent undertaking and the smallest and largest group to consolidate these financial statements is the University of Notre Dame du Lac (EIN 35-0868188), a tax exempt entity under section 501(c)(3) of the Internal Revenue Code incorporated in the United States of America. Control is exercised through the power to appoint directors as outline in the Memorandum and Articles of Association. The University of Notre Dame du Lac is a teaching and research university with a distinctive Catholic character and provides undergraduate and post-baccalaureate education. The consolidated accounts of University of Notre Dame du Lac are available from the Office of the Controller, University of Notre Dame, 801 Grace Hall, Notre Dame, Indiana 46556, United States of America.

Contents

Directors’ Report including Strategic Report

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, THE DIRECTORS AND ADVISERS

Status

Directors’ Report including Strategic Report (continued)

STRUCTURE, GOVERNANCE AND MANAGEMENT

Directors’ Report including Strategic Report (continued)

OUR AIMS

Academic Programs

Financial Aid

Directors’ Report including Strategic Report (continued)

Directors’ Report including Strategic Report (continued)

Other Charitable Activities

Directors’ Report including Strategic Report (continued)

OBJECTIVES AND ACTIVITIES

Directors’ Report including Strategic Report (continued)

STRATEGIC REPORT

Achievements and Performance

Directors’ Report including Strategic Report (continued)

Faculty, Graduate & Postdoctoral Research

Law Program

Directors’ Report including Strategic Report (continued)

Chesterton Collection

Directors’ Report including Strategic Report (continued)

Conferences / Events

Financial Review

Directors’ Report including Strategic Report (continued)

Plans for Future Periods

Undergraduate Program

Directors’ Report including Strategic Report (continued)

Graduate Research

Law Programs

Directors’ Report including Strategic Report (continued)

Chesterton Collection

Principal Risks and Uncertainties

Management of Risk

Directors’ Report including Strategic Report (continued)

Directors’ Report including Strategic Report (continued)

FINANCIAL RISKS

RESERVES POLICY

GOING CONCERN

Directors’ Report including Strategic Report (continued)

PUBLIC BENEFIT

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

Directors’ Report including Strategic Report (continued)

STATEMENT OF TRUSTEES’ RESPONSIBILITES (continued)

Directors’ Report including Strategic Report (continued)

INDEPENDENT AUDITORS

The Directors’ report, including the Strategic Report, was approved by the Board of Directors and authorised for issue on date 11 November 2022.

Report on the audit of the financial statements

Opinion

Basis for opinion

Independence

Conclusions relating to going concern

Reporting on other information

Directors’ Report including Strategic Report

Responsibilities for the financial statements and the audit

Responsibilities of the trustees for the financial statements

Auditors’ responsibilities for the audit of the financial statements

Use of this report

Other required reporting

Companies Act 2006 exception reporting

Statement of financial activities (incorporating the income and expenditure account) for the year ended 30 June 2022

Statement of financial activities (incorporating the income and expenditure account) for the year ended 30 June 2021

Balance sheet at 30 June 2022

Cash flow statement for the year ended 30 June 2022

Notes to the financial statements for the year ended 30 June 2022

NOTE 1.

PRINCIPAL ACCOUNTING POLICIES

BASIS OF PRESENTATION

GOING CONCERN

FUND ACCOUNTING

INCOME AND EXPENDITURES

Notes to the financial statements for the year ended 30 June 2022 (continued)

NOTE 1. PRINCIPAL ACCOUNTING POLICIES (continued)

DONATIONS

FEE INCOME

EDUCATIONAL AND SUPPLEMENTAL SERVICE FEES

RENTAL INCOME