**Charity Registration No. 1099060**
**Company Registration No. 4788370 (England and Wales)**
**SJS REALISATIONS LIMITED (FORMERLY ST JAMES’ SCHOOL, GRIMSBY LIMITED) DIRECTORS’ REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST AUGUST 2021**
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **CONTENTS**
||**Page**|
|---|---|
|Company information|1 – 2|
|Directors’ report|3 – 13|
|Strategic Report|7 – 13|
|Statement of Directors’ Responsibilities|12|
|Independent Auditor’s report|14 – 16|
|Statutory financial statements of the company|17 – 38|
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **CONTENTS**
## _**DIRECTORS AND ADVISORS**_
R.D. England (Resigned 22[nd] March 2021) **Directors** A.M. Whitworth (Vice Chair) (Resigned 17[th] December 2020) I.R. Sanderson (Chairman) J.J.M. Shaw (Resigned 6[th] November 2020) Mrs. R.L. Haith (Resigned 11[th] November 2020) A.E. Baxter (Resigned 10[th] December 2020) J. Pridgeon (Resigned 8[th] November 2020) J.M. Woolner (Resigned 18[th] October 2020) T.Furneaux (Resigned 10[th] November 2020) B.L.K. Allen (Appointed 20[th] December 2019) J.M. Bowman (Appointed 3[rd] March 2020) L. O’Leary (Resigned 11[th] September 2020) **Charity No.** 1099060 **Company No.** 4788370 **Principal address and Registered Office** Woodard Corporation High Street Abbots Bromley Rugeley WS15 3BW **Key Management Personnel Head** R.G. Murray **Auditors** RSM UK Audit LLP 5th Floor, Central Square 29 Wellington Street Leeds LS1 4DL **Bankers** Svenska Handelsbanken Unit 7, Europa Park Appian Way Grimsby DN31 2UT
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**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **CONTENTS**
|**Solicitors**|Bridge McFarland|
|---|---|
||19 South St. Mary’s Gate|
||Grimsby|
||DN31 1JE|
||Wilkin Chapman|
||Cartergate House|
||26 Chantry Lane|
||Grimsby|
||DN31 2LJ|
|**Insurance Brokers**|Zurich Municipal|
||Zurich House|
||2 Gladiator Way|
||Farnborough|
||Hampshire|
||GU14 6GB|
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**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **DIRECTORS’ REPORT (** _**incorporating the Strategic Report**_ **)** _**YEAR ENDED 31ST AUGUST 2021**_
The directors present their report and financial statements for the year ended 31[st] August 2021 and confirm they comply with the requirements of the Charities Act 2011, including the Directors’ Reports, under the Companies Act 2006.
## _**REFERENCE AND ADMINISTRATIVE INFORMATION**_
The charity was formed in June 2003 and is registered with the Charity Commission as charity number 1099060. The charity is a limited liability company and wholly owned subsidiary of The Woodard Corporation (charity number 1096270). Directors of the Company are also Fellows (members) of the Woodard Corporation and participate in the election of its board of management and are committed to its charitable objects.
## _**CESSATION OF SCHOOL OPERATIONS**_
The School business and certain assets were sold on 11[th] May 2021 and the name of the Company was changed to SJS Realisations Limited by Special Resolution dated 28[th] April 2021 and filed at Companies House on 12[th] May 2021. As a result of this sale all trade attributable to the company therefore ceased on 11[th] May 2021. The contents of this report, including the aims and primary objectives of the entity remain relevant to the period ended 11[th] May 2021.
## _**STRUCTURE, GOVERNANCE AND MANAGEMENT**_
## **Governing Document**
The Company is governed by Articles of Association as adopted by Special Resolution dated 20[th] March 2013, replacing those dated 8[th] June 2003 amended by Special Resolutions dated 25[th] January 2006, 28[th] April 2009 and 23[rd] June 2009. They permit funds to be managed in such a manner as the directors see fit, provided that such powers are only exercised for the purposes of attaining the objects and in a manner which is legally charitable. The Articles of Association forbid the distribution of any property or funds, which are to be applied solely towards the promotion of the objects of the Company.
## **Governing Body**
The governors are the directors and charitable trustees of the Company and comprise the governing body of SJS Realisation Limited and are elected to hold office for five years. The school is governed by the governing body which operates using a number of committees. Membership of each committee is outlined later in this report.
## **Recruitment and Training of Governors**
All governors are Corporate Fellows of the Woodard Corporation. Corporate Fellows are responsible for electing the Woodard Corporation Board. Governors are recruited on the basis of nominations from school contacts and from selection when a post becomes available. The governing body look to ensure a mix of skills and select new governors on the basis of background, competence, specialist skills and, in the case of Fellows, Christian commitment. Governors are provided with induction training by the Head, Bursar and staff and a wider programme of training events is organised by the Woodard Corporation. The school is also a member of the Association of Governing Bodies of Independent Schools (AGBIS). This allows the governors to attend further training and access a wide variety resources.
Where possible the governors consider that the skills and experience of the Board should comprise the following:
A Governor with a financial/accounting background.
A Governor with education experience.
A Governor with senior managerial or business experience.
A Governor with experience of equal opportunities or disability needs.
One Governor may have one or more of these skills.
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**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **DIRECTORS’ REPORT (** _**incorporating the Strategic Report**_ **)** _**YEAR ENDED 31ST AUGUST 2021**_
## **Volunteers**
Governors are volunteers providing their time for free to support the governance of the school. The school also relied on a number of others to undertake volunteer roles including parents who assisted with trips and sports fixtures, members of the PTA who organised parties and various events, and work placement students who were invaluable within the classroom.
## **Organisational Management**
The school is governed by the governing body which delegates work to a number of committees. Membership of each committee is outlined later in this report. The directors determine the general policy of the company.
Finance and Resources Committee _–_ the Finance Committee has a remit to consider budgets, both revenue and capital, cash flow information and financial reports, including the financial statements. It also considers financial policies and the financial regulations. It makes recommendations to the governing body for approval.
Academic Committee – the Academic Committee is responsible for oversight of the academic performance of the school and educational policy, making recommendations to the governing body.
Strategy Committee – This matter is the responsibility of the School Council.
The day to day management of the Company is delegated to the Head and the Bursar as the key management personnel, overseeing educational, pastoral and administrative functions in consultation with the senior staff. The day to day administration is undertaken within the policies and procedures approved by the governors which provide for only significant expenditure decisions and major capital projects to be referred to the governors for prior approval.
The Head oversees the recruitment of all educational staff, whilst under delegated authority the Bursar oversees the recruitment of administrative and non-teaching support staff. The Head and Bursar are invited to attend governors’ meetings.
The remuneration of key management personnel is set by the Board, with the policy objective of providing appropriate incentives to encourage enhanced performance and of rewarding them fairly and responsibly for their individual contributions to the school’s success.
The appropriateness and relevance of the remuneration policy is reviewed annually, including reference to comparisons with other independent schools to ensure that the school remains sensitive to the broader issues of pay and employment conditions elsewhere.
We aim to recruit, subject to experience, at the lower to medium point within a band, providing scope for rewarding excellence. Delivery of the school’s charitable vision and purpose is primarily dependent on our key management personnel and staff costs are the largest single element of our charitable expenditure.
## **Group Structure and Relationships**
The school has developed links with a wide range of organisations to ensure the widest possible access to our facilities and schooling. Through membership of ISA and through networking with peer groups we ensure that we are able to attain the highest standards of quality and performance. We encourage our pupils to develop an awareness of the social context of the all-round education they receive at the school and they are engaged in a number of activities to enhance their understanding. We have a thriving alumni group, the Old Jacobeans, who are generous in supporting the work of the school and whose support we greatly appreciate. We also cooperate with many local charities (NSPCC, R.N.L.I., St. Andrew’s Hospice) in our ongoing endeavours to widen public access to the schooling we can provide, to optimise the educational use of our cultural and sporting facilities and to awaken in our pupils, in the public interest, an awareness of the social context of the all-round education they receive.
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**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **DIRECTORS’ REPORT (** _**incorporating the Strategic Report**_ **)** _**YEAR ENDED 31ST AUGUST 2021**_
## **Employment Policy**
We are an equal opportunity organisation and are committed to a working environment that is free from any form of discrimination on the grounds of colour, race, ethnicity, religion, sex, sexual orientation or disability. We will make reasonable adjustments to meet the needs of staff or pupils who are or become disabled.
## _**CHARITABLE OBJECTS, AIMS, OBJECTIVES AND ACTIVITIES**_
## **Charitable Objects**
The charity’s objects, as set out in the Articles of Association, are to promote and extend education (including spiritual, moral, social, cultural and physical education) in accordance with the doctrines and principles of the Church. The Church is defined as being the Church of England and churches in full communion with the See of Canterbury.
## **Intended impact**
Woodard schools strive for the best all round education of every aspect of each individual; they ensure high standards of religious education; and they see themselves as communities working together for the benefit of all members, the Church and the nation. They are strong Christian foundations which adhere to catholic belief as found in the Church, to Christian worship focused in the Eucharist, and to the care of each individual and the whole school community particularised in the ministry of the Chaplain.
## **Aims**
SJS Realisations is a boarding and day school for pupils from the ages of 2 to 18. It aims to support children in reaching their potential in all areas of their activity at the school, and in the wider community. This may be in academic subjects but could just as easily be reflected in success in art, drama, sport, music or dance. We produce ‘well rounded’ individuals who are able to make a positive contribution to society. All Woodard schools aim to provide a rounded education to help the pupils to make their way in adult life.
## **Primary objectives**
The primary objectives of SJS Realisations to fulfil these aims are:
- to provide a stimulating learning environment in which pupils can develop their academic potential to the full;
- to provide a happy and secure pastoral environment in which pupils can learn to live together and thus foster a sense of community, respect for one other and good citizenship;
- to provide pupils with the opportunity to take advantage of a breadth of co-curricular activities in order to develop positively all aspects of their character;
- to provide pupils with the opportunity to take decisions based on their own judgment and to communicate those decisions appropriately and effectively;
- to provide financial support to enable children whose parents are unable to afford the full fees to benefit from a SJS Realisations Limited education;
- to provide a clear, simple and effective management structure capable of taking timely decisions and allocating necessary resources appropriately, and
- to provide the necessary administrative and logistical framework to meet the needs of members of staff and pupils alike.
## **Strategies to achieve the primary objectives**
This year the main focus for the school has been on the continuing education for all pupils as well as ensuring the transfer of activities to the Alpha School (Holdings) Limited on 11[th] May 2021 went ahead as smoothly as possible with little disruption to or pupils and staff. We believe this transfer was executed successfully.
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**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED) DIRECTORS’ REPORT (** _**incorporating the Strategic Report**_ **)** _**YEAR ENDED 31ST AUGUST 2021**_
## **Principal Activities of the Year**
The principal activity of the school is the delivery of education to pupils ranging from 2 to 18 years of age. We also run a number of summer school activities and the school is open at other times for use by the local community. Pupil numbers at the school during the year were as follows:
|Senior School
Preparatory School
Pre-Preparatory School
Total
Senior School
Preparatory School
Pre-Preparatory School
Total|2020/2021
98
(15 boarders)
65
(1 boarder)
37
200
2020/2021
Boys
Girls
49
49
31
34
19
18
99
101||2019/2020
100
(30 boarders)
74
(1 boarder)
46
220
2019/2020
Boys
Girls
56
44
40
34
20
26
116
104|
|---|---|---|---|
|||||
|||||
## **Public Benefit**
Within the objects, the school aims to create an environment to nurture children, to get the best from them and to allow them to develop and fulfil their potential. We provide them with a first class independent education and a wide range of sporting and artistic opportunities. Our public benefit aim is that all pupils will be self-confident and desire to contribute to the wider community.
In the furtherance of these aims the SJS Realisations Limited governors, as the charity trustees, have complied with the duty in s.17 of the Charities Act 2011 to have due regard to the Charity Commission’s published general and relevant sub-sector guidance concerning the operation of the public benefit requirement under that Act.
Woodard and its schools provide a significant benefit to the public. The school strives to ensure that measures of public benefit are appropriate, and that significant sections of the public are not excluded from the opportunity to benefit from the education and facilities offered due to the need to pay a fee. In addition to significant provision of bursaries and other forms of financial support, the school provides a wide range of opportunities for community benefit and facilities and events are often open to all. Further detail of the public benefit offered is included in the section entitled ‘Review of Achievements and Performance for the Year’ below.
It is a key requirement of evidencing public benefit that any private benefit to individuals or elements of the charity will be incidental to the charity's objectives. An example of private benefit may be the reimbursement of travelling expenses for trustees attending training courses: any private benefit to individuals or elements of Woodard are incidental to delivery of the charitable objectives.
## **Bursaries & Scholarships**
## _**Bursaries**_
The governors view our bursary awards as important in helping to ensure children from families who would otherwise not be able to afford the fees can access the education we offer. Our bursary awards are available to all who meet our general entry requirements and are made solely on the basis of parental means or to relieve hardship where a pupil’s education and future prospects would otherwise be at risk for example in the case of redundancy. In assessing means we use the methodology promulgated by the Independent Schools’ Bursars Association, which takes a number of factors into consideration including family income, investments and savings and family circumstances for example
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**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **DIRECTORS’ REPORT (** _**incorporating the Strategic Report**_ **)** _**YEAR ENDED 31ST AUGUST 2021**_
dependant relatives and the number of siblings. Our school does not have an endowment and in funding our awards we have to be mindful that we must ensure a balance between fee-paying parents, many of whom make considerable personal sacrifices to fund their child’s education, and those benefiting from the awards.
The bursary awards range from 5% to 100% remission of fees. We also advertise the awards each year in the local press and social media. Where further assistance is required, scholarship awards may be supplemented by a means tested bursary. Further details of our bursary policy and how to apply are available on our website.
This year the value of means tested bursaries totalled £11,266 and represented 0.9% of our gross fees. They provided assistance to 7 of our pupils.
## _**Scholarships**_
The purpose of our scholarship awards is to recognise high academic potential or the ability to excel in our co-curricular activities. Our scholarships are awarded on the basis of the individual’s academic potential or evidence of exceptional abilities which will contribute to our co-curricular activities. In addition, awards may be subject to conditions imposed by the original donor.
Scholarships are awarded with a fixed remission of fees of between 5% and 50%. We advertise the availability of scholarship awards each year in the local press. Further details of our scholarship policy are available on our website.
The school awarded academic scholarships to 25 pupils, based on their educational merit and potential, totalling £60,015 and representing 5% of our gross fees. The school also awarded a Golf Scholarship to 1 pupil, totalling £3,330, and a Choral Scholarship to 1 pupil, totalling £1,498. Total Scholarships awarded of £64,842 represents 5.6% of the school’s gross fees. Of this number, 3 also qualified for means-tested bursary support and are included in the figures relating to bursary awards.
## _**Review**_
The school includes details of the various concessions in the prospectuses and on the website. All parents making enquiries about possible entry are provided with a description of the criteria for bursaries and scholarships. In most cases the budget for bursaries is allocated using a “needs blind” approach as far as possible, whilst giving priority to the continuity of education of those pupils already at the school. All criteria and policies relating to concessions are kept under review and are updated when necessary.
## _**STRATEGIC REPORT**_
## **REVIEW OF ACHIEVEMENTS AND PERFORMANCE FOR THE YEAR**
## **The Promotion of Education**
During the year we educated an average of 200 children between the ages of 2 and 18. The school provides a very high standard of education and this is validated in review of the academic results, our measurements of added value and through external inspection. The school offers a broad curriculum and educates children with a wide range of ability. We can demonstrate particular excellence in Mathematics and Science. Our aim is to support children in reaching their potential in all areas of their activity at the school. This may be in academic subjects but could just as easily be reflected in success in art, drama, sport, music or dance. We produce ‘well rounded’ individuals who are able to make a positive contribution to society.
Two important contributors to our success are the strength of our pastoral care (where pupils feel secure and therefore able to learn) and our extra-curricular provision. We offered over twenty five clubs a week and compete successfully against many local State schools in a variety of sporting activities. As a Centre for both the Associated Board of Music and LAMDA, a very high proportion of our pupils successfully take examinations to the highest level and our Centre welcomes candidates from other
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**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **DIRECTORS’ REPORT (** _**incorporating the Strategic Report**_ **)** _**YEAR ENDED 31ST AUGUST 2021**_
## schools as well.
Parents of pupils at the school often make significant sacrifices to pay the fees. In educating over 184 UK based pupils, parents help to relieve the state of the financial burden of paying for their children’s education. The saving to the public purse is estimated to have a value in the last year of £1,199,496.
Unlike schools in the maintained sector, the school is unable to recover the VAT on most of the purchases that we make. During the past year, we paid an estimated £35,000 in VAT on goods and services.
## **Academic Results**
The school aims to provide a rounded education to help the pupils to make their way in adult life and a very high proportion of students actively participate regularly in a wide variety of academies, clubs and extra-curricular activities, including golf, horse riding, tennis, squash, shooting, debating, computing, karate, to back up the more traditional music, football, netball, swimming, table-tennis and academic clubs.
## **Arts, Music and Drama**
One of the important elements of any Woodard school is the concentration on arts, music and drama. SJS Realisations Limited is involved in all different aspects of these activities with a number providing the training necessary to pass graded exams set by national institutions.
Our pupils and staff pride themselves on the quality of our choirs and related choral work. Events vary in their nature and complexity and choirs are often invited to support civic and community events.
We also have smaller ensembles, chamber groups, and other groupings that flourish alongside the large choirs and orchestras.
## **Sport**
The enormous range of sports offered at SJS Realisations Limited reflects the importance given to sporting activity and physical education. Sports include swimming, badminton, football, tennis, table tennis, cross country, basketball, athletics, rounders, and golf.
## **Impact of Coronavirus Pandemic**
Schools were ordered to close to all except the children of ‘Key Workers’ in March 2020 and much of the education was moved online. In brief the impact has been to raise the level of uncertainty and risk for the whole education sector.
In reflection of the COVID pandemic the decision was made not to increase the tuition fee rates for the 2020-21 academic year in the hope of supporting our families through this period.
The majority of pupils returned in September 2020, including Boarding and international pupils, and the school has made a number of adaptations to make social distancing possible including creating year group bubbles to reduce the number of interactions occurring. The bubbles are Day-Care to Reception, Yrs. 1 and 2, Yrs. 3 and 4, Yrs. 5 and 6, Yrs. 7 to 9 and Yrs. 10 to 13. One of the many advantages of SJS Realisations Limited is our small class sizes. This has meant that by increasing the number of year group bubbles, rather than Pre-Prep, Prep and Senior, if we have a positive test returned for either a pupil or staff member we are able to minimise the impact on the wider school community. All pupils are required to wear face coverings when travelling on school transport. Also the school minibuses are cleaned each week with X-Mist, an aerosol product which provides seven days protection by creating a film on all surfaces. In the Senior Dept. all staff and pupils are required to wear a face covering when moving internally around the campus, and these are to remain in place until seated in the classrooms / Dining Hall etc.
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**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **DIRECTORS’ REPORT (** _**incorporating the Strategic Report**_ **)** _**YEAR ENDED 31ST AUGUST 2021**_
## **Wider Education**
We are committed to providing opportunities for students at university to gain practical teaching experience as part of their PGCE teacher training course.
## **Community**
Through development of, and provision of access to new facilities, the school remains at the heart of the community. Facilities made open to the public include:
- We operate an after-school and holiday club for local children.
- The Grimsby, Cleethorpes and District Youth Orchestra make use of our Markham Hall and Master’s Room on a weekly basis.
- We enter external candidates for examinations which they would not otherwise be able to access.
- Our sports field is now the home of Grimsby Borough Junior Football Club.
## **Outreach**
The senior school has a formal partnership scheme with the local College, Grimsby Institute, whereby the younger sibling from abroad may be educated and board at SJS Realisations Limited and the older sibling may attend the Institute/University to study and be resident there.
The partnerships with Cottagers Plot Riding School and White Ledge Shooting School continued to grow during this academic year.
## **Charitable Activities**
The school community takes part in a wide range of sponsored events and other fundraising activities.
## **Fundraising Performance**
Fundraising and the ongoing work of raising voluntary funding for the school in Grants and donations totalled £NIL (2020: £69,749), including restricted income donations of £NIL (2020: £7,500).
## **FINANCIAL REVIEW**
## **Results for the Year**
The net outgoing resources for the year amounted to (£403,333) and this was the operating loss on school activities. Gross fee income for the year was down by some 40% on last year. The drop in fee income reflects the fact the school business was sold on 11[th] May 2021 and includes only two terms fees rather than the normal three terms.
## **Reserves Level and Policy, and Financial Viability**
Unrestricted funds decreased by £403,333 to total a deficit of (£444,769), as shown in note 23.
The school’s total reserves of (£430,494) at the year-end, £14,275 were restricted funds and (£444,769) were unrestricted funds.
As detailed further in the going concern section of the Directors’ Report, the trade of the company and certain business assets were sold to Alpha Schools (Holdings) Limited on 11[th] May 2021. It is intended that SJS Realisations Limited will commence the necessary steps to undertake a voluntary winding up of the company as soon as practicable.
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**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **DIRECTORS’ REPORT (** _**incorporating the Strategic Report**_ **)** _**YEAR ENDED 31ST AUGUST 2021**_
## **PRINCIPAL RISKS AND UNCERTAINTIES**
## **Coronavirus Pandemic**
It should be noted that these financial statements were compiled during the Covid 19 global pandemic. Like most trustees, the governors keep under consideration the impact of a catastrophic event on the school’s ability to continue, but that event may come about from many causes and being specific about the source is not possible. The consideration of risks in the paragraphs below is therefore reflective of a more stable environment and does not specifically look at the pandemic, or other similar events, but offers a wider view of common events plus a specific risk looking at those events that could impact the continuity of education.
The governors consider the economic turbulence of recent years and the affordability of fees by parents across the independent sector to be the principal risk faced by the school. From September 2020 the governing body has not increased fees to help support our families.
Health and Safety is always a significant area for risk management. The risks range from fire and infrastructure to personal risks (most notably when away from the campus on trips and expeditions). The level and breadth of activity at the school is impressive and the risks associated with all activities are minimised by thorough planning and risk assessment. The governing body is responsible for the identification with the support from staff involved in these areas of activity.
The governing body is responsible for the identification and management of risks. The major risks to which the charity is exposed, as identified by the directors, have been reviewed and systems or procedures have been established to manage those risks. Detailed examination of the risks and establishment of controls to mitigate them is delegated to the School Council and the process is overseen by the Finance and Resources (F & R) Committee on behalf of the governing body. A formal review of the risk management processes is undertaken annually.
The principal risks to which the school is exposed include those affecting protection of pupils and security and preservation of charitable assets both now and in the future. Significant risk areas:
- the governors consider possible catastrophic events and ensure that the school has a plan in place to allow education to continue in a range of different scenarios;
- the market in which the school operates is highly competitive and we monitor developments in education to ensure that pupils always receive a first class, holistic and varied educational experience in our school;
- we strive to ensure that all staff are able to work in a safe and supportive environment and policies, procedures and training in Human Resource management and Health and Safety help to ensure that the school meets expectations;
- the school operates in a highly regulated sector, including in matters of child protection, and we appoint appropriate professional advisers to ensure that we can keep up to date with all requirements; school or individual membership of bodies being the constituent associations of the Independent Schools Council also ensure that we have access to up to date information and support;
- • the school operates in an increasingly litigious environment and we appoint appropriate professional advisers and purchase insurance using specialist brokers and advisers to ensure that we can keep up to date with all requirements and meet all challenges;
- all organisations face difficult economic conditions and directors and senior managers in the school keep abreast of economic conditions locally, nationally and internationally to identify trends and develop plans to address issues;
- amendments to the Teachers’ Pension Scheme, and the impact of any future increases, are being closely monitored by the Board, who are reviewing the membership position of the school.
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**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **DIRECTORS’ REPORT (** _**incorporating the Strategic Report**_ **)** _**YEAR ENDED 31ST AUGUST 2021**_
The key controls used by the school include:
- formal agenda and minutes for all meetings of the governing body and committees
- terms of reference for all committees
- comprehensive strategic planning, financial forecasting, budgeting and management accounting
- established and identifiable organisational structures and reporting lines which are regularly reviewed
- comprehensive formal written policies
- clear authorisation limits
- vetting procedures, as required by law, for protection of the vulnerable
The school plans strategically having regard for risk. The F & R committee provides the governing body with regular reports which include details of the principal strategic objectives and the activity to achieve those objectives. The school also records significant achievements and updates the governing body and Woodard on short-term plans.
The strategy is discussed between the governing body and the Woodard Board and protocols have been developed and agreed which outline the relationship between the two bodies.
## **Financial risk management objectives and policies**
The school uses financial instruments, other than derivatives, comprising loans, cash and other liquid resources and various other items such as trade debtors and creditors that arise directly from operations. The main purpose of these financial instruments is to raise finance for the school’s operations.
The main issues arising from the school’s financial instruments are liquidity risk and interest rate risk in the longer term. The school’s directors adopt policies for managing each of the risks and these are summarised as follows:
- Liquidity risk – the school seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs by negotiating adequate facilities from banks and other lenders
- Interest rate risk – the school finances operations through a mixture of retained surpluses and bank and other borrowings. The exposure to interest rate fluctuations is managed by the use of both fixed and floating facilities.
## **FUTURE PLANS**
As discussed in more detail in the basis of preparation section of Accounting Policies, the directors consider that the preparation of the financial statements on a non-going concern basis that reflects the sale of the trade and certain assets of SJS Realisations Limited to Alpha Schools (Holdings) Limited on 11 May 2021. It is intended that SJS Realisations Limited will realise its remaining assets, settle outstanding liabilities and then the parent company will commence the necessary steps to undertake a voluntary winding up of the company.
## **DIRECTORS**
The directors who served during the year and up to the date of the accounts being signed, and the committees of which they are members, are:
R.D.England (Resigned 22[nd] March 2021) Finance, Marketing, H.R, Boarding A.M. Whitworth (Resigned 17[th] December 2020) Finance, Marketing, H.R I.R. Sanderson Academic J.J.M. Shaw (Resigned 6[th] November 2020) Marketing Mrs. R.L. Haith (Resigned 11[th] November 2020) Academic, Finance, Marketing, Boarding, H.R
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**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **DIRECTORS’ REPORT (** _**incorporating the Strategic Report**_ **)** _**YEAR ENDED 31ST AUGUST 2021**_
A.E. Baxter (Resigned 10[th] December 2020) Council, Marketing J. Pridgeon (Resigned 8[th] November 2020) Council J.M. Woolner (Resigned 18[th] October 2020) Academic, Finance, H.R T.Furneaux (Resigned 10[th] November 2020) Finance B.L.K Allen (Appointed 20[th] December 2019) Academic, Boarding J.M. Bowman (Appointed 3[rd] March 2020) Academic L O’Leary (Resigned 11[th] September 2020)
None of the directors has any beneficial interest in the company. One Governor is a parent of one student attending the school.
## **AUDITORS**
RSM UK Audit LLP, having expressed their willingness to continue in office, will be deemed reappointed for the next financial year in accordance with section 487(2) of the Companies Act 2006 unless the company receives notice under section 488(1) of the Companies Act 2006.
## **DIRECTORS’ RESPONSIBILITIES STATEMENT**
The directors are responsible for preparing the directors’ report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law) including FRS 102, the Financial Reporting Standard applicable in the UK and Republic of Ireland. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the 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 directors are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP (FRS 102);
- make judgments and accounting estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company and group will continue in business.
The directors 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 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 directors confirm that:
- so far as each trustee is aware, there is no relevant audit information of which the charitable company’s auditor is unaware; and
- the directors have taken all the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that the charitable company’s auditor is aware of that information.
12
SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL,
GRIMSBY LIMITED)
DIRECTORS, REPORT (incorporating the Strategic Report)
YEAR ENDED 31STAUGUST2021
Qualifying third party indemnity provisions
The charitable company has made quallfying third party indemnity provisions for the benefit of ils
directors during the year. These provislons remain in force at the reporting dale with an indemnity
limit of £2.000.000.
The directors are responsible for the malntenan¢e and Integrity of the corporate and financial
information included Dn the charitable company's website. Legislation in the United Kingdom governing
Ihe preparation and dissèmination of finan¢lal slalemenls may differ from legislation in other
jurisdi¢lions.
Approved by the 8oard of Directors of SJS Realisallons Llmlled on 1 Slh March 2022 including, in thelr
capacity as ¢ompany directors, approving the Directors, and Strateg1¢ Reports contained therein, and
signed on ils behalf by..
IL
l.R. Sanderson
ACTING CHAIRMAN
13
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF SJS REALISATIONS LIMITED (FORMERLY ST.JAMES SCHOOL, GRIMSBY LIMITED)** _**YEAR ENDED 31ST AUGUST 2021**_
## **Opinion**
We have audited the financial statements of SJS Realisations Limited (formerly St. James’ School, Grimsby Limited) (the ‘charitable company’) for the year ended 31 August 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
- give a true and fair view of the state of the charitable company’s affairs as at 31 August 2021 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Companies Act 2006.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Emphasis of matter – non-going concern basis of accounting**
We draw attention to Note 1 of the financial statements, the basis of accounts preparation policy, which describes the preparation of the financial statements on a non-going concern basis, due to the sale of the school’s business activities and certain assets to Alpha Schools (Holdings) Limited which was completed on 11 May 2021. Following the transfer of its activities, trade and certain assets, it is intended that SJS Realisations Limited (formerly St. James’ School, Grimsby Limited) will commence the necessary steps to undertake a voluntary winding up of the company. There have been no adjustments made to the financial statements as a result of the application of the non-going concern basis of accounting. Our opinion is not modified in respect of this matter.
## **Other information**
The trustees are responsible for the other information. The other information comprises the information included in the Directors’ Report other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
## **Opinions on other matters prescribed by the Companies Act 2006**
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Directors’ Report, which includes the Directors’ Report and the Strategic Report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Directors’ Report and the Strategic Report included within the Directors’ Report have been prepared in accordance with applicable legal requirements.
14
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF SJS REALISATIONS LIMITED (FORMERLY ST.JAMES SCHOOL, GRIMSBY LIMITED)** _**YEAR ENDED 31ST AUGUST 2021**_
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Directors’ Report or the Strategic Report included within the Directors’ Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of trustees’ remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.
## **Responsibilities of Directors**
As explained more fully in the Statement of Trustees’ responsibilities set out on page 12 and 13 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 and for being satisfied that they give a true and fair view, and for such internal control as the trustees 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.
## **Auditor’s responsibilities for the audit of the financial statements**
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
## **The extent to which the audit was considered capable of detecting irregularities, including fraud**
Irregularities are instances of non-compliance with laws and regulations. The objectives of our audit are to obtain sufficient appropriate audit evidence regarding compliance with laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements, to perform audit procedures to help identify instances of non-compliance with other laws and regulations that may have a material effect on the financial statements, and to respond appropriately to identified or suspected non-compliance with laws and regulations identified during the audit.
In relation to fraud, the objectives of our audit are to identify and assess the risk of material misstatement of the financial statements due to fraud, to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud through designing and implementing appropriate responses and to respond appropriately to fraud or suspected fraud identified during the audit.
However, it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, the group audit engagement team:
- obtained an understanding of the nature of the industry and sector, including the legal and regulatory framework that the group and parent company operates in and how the group and parent company are complying with the legal and regulatory framework;
15
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF SJS REALISATIONS LIMITED (FORMERLY ST.JAMES SCHOOL, GRIMSBY LIMITED)** _**YEAR ENDED 31ST AUGUST 2021**_
- inquired of management, and those charged with governance, about their own identification and assessment of the risks of irregularities, including any known actual, suspected or alleged instances of fraud;
- discussed matters about non-compliance with laws and regulations and how fraud might occur including assessment of how and where the financial statements may be susceptible to fraud.
As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are FRS 102, the Companies Act 2006 and tax compliance regulations. We performed audit procedures to detect non-compliances which may have a material impact on the financial statements which included reviewing financial statement disclosures.
The most significant laws and regulations that have an indirect impact on the financial statements are The Education (Independent School Standards) Regulations 2014, Keeping Children Safe in Education under section 175 of the Education Act 2002, and the UK General Data Protection Regulation (UK GDPR). We performed audit procedures to inquire of management and those charged with governance whether the charitable company is in compliance with these law and regulations and inspected correspondence with regulatory authorities.
The group audit engagement team identified the risk of management override of controls as the area where the financial statements were most susceptible to material misstatement due to fraud. Audit procedures performed included but were not limited to testing manual journal entries and other adjustments and evaluating the business rationale in relation to significant, unusual transactions and transactions entered into outside the normal course of business, and challenging judgments and estimates applied throughout the financial statements.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
## **Use of our report**
This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
## Dale Thorpe
DALE THORPE (Senior Statutory Auditor) For and on behalf of RSM UK Audit LLP, Statutory Auditor Chartered Accountants Central Square 5[th] Floor 29 Wellington Street Leeds LS1 4DL
> Date: 16/03/22
16
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **STATEMENT OF FINANCIAL ACTIVITIES (Incorporating an Income and Expenditure Account)** _**YEAR ENDED 31ST AUGUST 2021**_
|Notes
**Income and endowments from:**
**Charitable Activities**
School fees receivable
2
Ancillary trading income
3
**Other trading activities**
Non-ancillary trading income
4
**Investments**
Investment income
5
Bank and other interest
5
**Other – Grants and donations**
Grants and donations
6
**TOTAL INCOMING**
**RESOURCES**
**Expenditure on:**
**Raising funds**
Financing costs
8
**TOTAL**
**Charitable Activities**
Education and grant making
Loss on disposal of business
7
20
**TOTAL EXPENDITURE**
**Net income and expenditure**
**before transfers**
**NET INCOME**
Pension scheme actuarial losses
**Net Movement in funds for the**
**year**
Fund balances at 1st September
2020
**FUND BALANCES AS AT 31ST**
**AUGUST 2021**|Unrestricted
Funds
£
968,046
152,367
3,659
426
1
28,294
1,152,793
250,878
250,878
1,257,435
47,813
1,556,126
(403,333)
(403,333)
-
(403,333)
(41,436)
(444,769)|Restricted
Funds
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
14,275
14,275|**2021**
**£**
**968,046**
**152,367**
**3,659**
**426**
**1**
**28,294**
**1,152,793**
**250,878**
**250,878**
**1,257,435**
**47,813**
**1,556,126**
**(403,333)**
**(403,333)**
**-**
**(403,333)**
**(27,161)**
**(430,494)**|2020
£
1,630,490
278,895
13,962
409
9
270,310|
|---|---|---|---|---|
|||||2,194,075|
|||||110,285|
|||||110,285
2,239,968
-|
|||||2,350,253|
|||||(156,178)|
|||||(156,178)
-|
|||||(156,178)
129,017|
|||||(27,161)|
All recognised gains and losses in the current and prior year are included in the statement of financial activities. The notes on pages 20 to 38 form part of these financial statements.
17
SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL,
GRIMSBY LIMITED)
BALANCE SHEET
YEAR ENDED 31ST AUGUST2021
Note
2021
2020
FIXED ASSETS
Tanglble assets
Securlties Inveslm6nls
1,330,868
150
12
150
150
1,331,018
CURRENT ASSETS
Stock
Debtors due within one year
Debtors due after more than one
year
Cash at bank and in hand
35.085
700,681
13
14
16,656
300,000
138 738
455,394
742,639
CURRENT LIABILITIES
Creditors payable within one year
15
1885,9381
11,709,394)
NET CURRENT LIABILITIES
1430,5441
1966,7551
TOTAL ASSETS LESS CURRENT
LIABILITIES
LONG TERM LIABILITIES
Creditors payable after one year
(430,394}
364,263
16
1391,3241
TOTAL NET LIABILITIES
{430,394)
127,061)
REPRESENTED 8Y:
CALLED UP SHARE CAPITAL
20
100
100
RESTRICTED FUNDS
UNRESTRICTED FUNDS
General reserve
23
14,275
14,275
23
(444,7691
(41,436)
1430,3941
127,0611
The financlal stal8m8nls were approved and authorised for Issue by the Board on 1Slh March 2022 and
signed on ils behalf by
l.R. Sanderson ACTING CHAIRMAN
Company registration number 4788370
The notes on pages 20 to 38 form part of these financial statements
18
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **STATEMENT OF CASH FLOWS** _**YEAR ENDED 31ST AUGUST 2021**_
|**Notes**
**Cash flows from operating activities:**
**Net cash provided by operating activities**
28
**Cash flows from investing activities:**
Dividends, interest and rents from investments
5
Proceeds from the sale of property, plant and equipment
Purchase of property, plant and equipment
11
Proceeds from sale of investments
Purchase of investments
**Net cash used in investing activities**
**Cash flows from financing activities:**
Repayments of borrowing
Cash inflows from new borrowing
Financing costs
8
**Net cash provided (used in) / by financing activities**
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
29
**Cash and cash equivalents at the end of the year**
29|**2021**
**£**
**(74,233)**
**427**
**1,000,000**
**(7,206)**
**-**
**- **
**993,221**
**(464,791)**
**-**
**(37,561) **
**(502,352)**
**416,636**
**(277,898)**
**138,738**|2020
£
131,541|
|---|---|---|
|||418
-
(9,625))
-
-|
|||(8,847)
(44,263)
-
(110,285)|
|||(154,548)|
|||(31,854)
(246,044)|
|||(277,898)|
19
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 1. **ACCOUNTING POLICIES**
The principal accounting policies, all of which have been applied consistently throughout the year and in the preceding year are:
## a) **Basis of Accounting**
The accounts have been prepared under the Companies Act 2006 and in accordance with the Statement of Recommended Practice for Charities (‘SORP (FRS102)’) and with applicable UK Accounting Standards. They are drawn up on the historical cost accounting basis.
SJS Realisations Limited meets the definition of a public benefit entity under Financial Reporting Standard (FRS) 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
The preparation of financial statements in conformity with FRS 102 requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgements about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates. Further details are provided in the accounting policies for depreciation of fixed assets, for pensions and for bad debts. The financial statements are presented in Sterling (£), and the functional currency is also sterling (£).
## b) **Going Concern**
The school’s business activities and certain assets of SJS Realisations Limited were sold to Alpha Schools (Holdings) Limited on 11[th] May 2021. Following the transition, it is intended that SJS Realisations Limited will commence the necessary steps to undertake a voluntary winding up of the company as soon as practicable. The parent company, The Woodard Corporation, will ensure that all external liabilities are settled and will endeavour to recover monies owed. It is likely that there will ultimately be a shortfall in funds, and monies owed to The Woodard Corporation by SJS Realisations Limited are unlikely to be repaid in full.
The directors therefore consider that the preparation of the financial statements on a non-going concern basis is appropriate. There have been no adjustments made to the financial statements as a result of the application of the non-going concern basis of accounting.
## c) **School Fees Receivable and Similar Income**
Fees receivable and other educational income are accounted for in the period in which the service is provided. Fees receivable are stated after deducting allowances, scholarships and other remissions by the school, but include contributions received from restricted funds for scholarships, bursaries and other grants. Fees in Advance Scheme Contracts are those fees received in advance of education to be provided in future years under a specific contract. The fees are held as investments in interest bearing assets until either taken to income to match liabilities in the term when used, or else refunded. Any surplus of assets over liabilities is held within the fund as a buffer. Debts are provided for if not recovered within one term. Estimating amounts to provide against recovery of debts is a matter of judgement.
## d) **Ancillary and Non-Ancillary Trading Income**
Ancillary trading income represents amounts from activities to generate funds within the charitable objects for example, school shop sales, coaches to and from school and school trips. Non-ancillary trading income represents amounts from activities not directly related to the charitable objects, for example lettings of school facilities out of term time and rental from spare school buildings. Income from these activities is recognised in the SOFA when the goods are sold or services provided.
## e) **Voluntary sources, Grants and Donations**
Voluntary incoming resources are accounted for as and when entitlement arises, the amount can reliably be quantified and the economic benefit is considered probable.
Voluntary income for general purposes is accounted for as unrestricted and is credited to the General Reserve. Where the donor or an appeal has imposed trust law restrictions, voluntary income is
20
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
credited to the relevant restricted fund and incoming endowments are accounted for as permanent trust capital or expendable trust capital, according to whether the donor intends retention to be permanent or not. Gifts in kind are valued at estimated open market value at the date of gift, in the case of assets for retention or consumption, or at the value to the school in case of donated services or facilities.
## f) **Coronavirus Job Retention Scheme (CJRS) income**
The CJRS grant is receivable as compensation for staff costs incurred and for the purpose of giving immediate financial support to the schools with no future related costs. It is recognised in income in the period in which it becomes receivable.
## g) **Expenditure**
Expenditure is accrued as soon as there is a contractual obligation or a liability is considered probable, discounted to present value for longer term liabilities. Expenditure is allocated to expense headings either on a direct cost basis or apportioned according to time spent. The irrecoverable element of VAT is included with the item of expense to which it relates. Bad debts are provided for in accordance with the group bad debt policy.
The cost of refurbishing and converting existing buildings is written-off in the year in which it is incurred except where the useful life has been extended.
## h) **Finance and Other Costs**
Other costs include amounts accrued in accordance with the terms of Fees in Advance Scheme Contracts.
## i) **Pension Costs**
The school company participates in the Teachers' Pensions scheme, which is an unfunded government scheme which provide benefits based on final pensionable pay. The funds of the schemes are separate from the company, although the company’s share of the schemes cannot be identified as the schemes are multi-employer schemes, and so the pension costs are accounted for as defined contribution schemes. The company also contribute to other defined contribution pension schemes for non-teaching staff.
## j) **Tangible Fixed Assets and Depreciation**
Tangible fixed assets are stated at cost less depreciation. Individual capital items, or projects, with a value greater than £10,000 are capitalised.
Where tangible fixed assets have been acquired with the aid of specific grants they are included in the balance sheet at cost and depreciated over their expected useful economic life. The related grants are credited to a restricted fixed asset fund (in the statement of financial activities and carried forward in the balance sheet). The depreciation on such assets is charged in the statement of financial activities over the expected useful economic life of the related asset on a basis consistent with the depreciation policy.
Depreciation is provided at rates calculated to write off the cost, less estimated residual value of each asset based on current market prices, over its expected useful life, as follows:
|Freehold land is not depreciated||
|---|---|
|Freehold Buildings:|- Variable according to the building and written off over the|
||expected useful life (see note below)|
|Freehold improvements|- Over the useful economic life of the improvement|
|Leasehold land|- Over the shorter of the economic life of the asset or the life of|
||the lease|
|Leasehold enhancement|- Over the economic life of the asset|
|Computer equipment|- 25% on cost|
|Plant and Equipment|- 10% on cost|
|Fixtures and fittings|- 25% on cost|
21
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
The company has reviewed its tangible assets, which comprise land, buildings and initial fixtures and fittings. The company undertakes an annual review of all buildings assessing their useful economic life. In some cases the useful economic life of a building is anticipated to be of considerable length, often in excess of 100 years. The buildings are capitalised in the financial statements at historic cost. Where the calculated depreciation charge is a material figure, it is charged in these accounts but, where the carrying value is not more than the estimated recoverable amount and the depreciation on the building is not material to these financial statements, it has been assessed, but not charged. The directors will continue to carry out annual assessments of the recoverable amount and the estimated useful life of all buildings and where the depreciation is a material value, it will be charged. The review is based on the directors’ assessments of the market value and the future economic benefit derived from an asset versus its carrying value in the financial statements.
When the company undertakes a significant refurbishment project that will have an economic benefit, the cost of the refurbishment is capitalised, recorded separately under ‘Freehold Improvements’, its useful life is estimated and it is depreciated over that useful life.
SJS Realisations Limited exercises judgement in selection of appropriate rates for depreciation of fixed assets, and for matters of impairment.
## k) **Financial Instruments**
SJS Realisations Limited only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
## l) **Securities and Fees in Advance Investments**
Securities and Fees in Advance investments are carried at fair value, which is deemed to be market value as at the balance sheet date.
Unrealised gains and losses arising on the revaluation of investments are credited or charged to the Statement of Financial Activities and are allocated to the appropriate fund according to the ‘ownership’ of the underlying assets. Realised gains and losses are the difference between sales proceeds and opening market value where the investment was held at the beginning of the year, or sales proceeds less cost of purchase where the investment was acquired in the year. The revaluation reserve reflects the accumulated total of unrealised gains. Uninvested cash is the balance of liquid cash, held as an investment, which has not been invested in securities.
## m) **Stocks**
Stocks comprise raw materials, consumable stores and goods held for resale: they are valued at the lower of cost and net realisable value.
## n) **Leasing Commitments**
Assets held under finance leases and hire purchase contracts are capitalised in the balance sheet and are depreciated over their useful lives or the period of the lease whichever is the shorter. The interest element of the obligations is charged to the SOFA over the period of the lease. Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the SOFA on a straight-line basis over the lease term. Lease incentives are accounted for over the lease term on a straight-line basis.
## o) **Fund Accounts**
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Designated funds comprise funds which have been set aside at the discretion of the directors for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements.
## p) **Taxation**
SJS Realisations Limited is a registered charity and as such is exempt from income tax and corporation tax under the provisions of Section 478 of the Corporation Tax Act 2010. There is no similar exemption for VAT, which is included in expenditure or in the cost of assets as appropriate.
22
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 2. **CHARITABLE ACTIVITIES - SCHOOL FEES RECEIVABLE**
|The school fees income comprises
Gross fees
Less: Total scholarships, bursaries, etc.|**2021**
**£**
**1,157,920**
**(189,874)**
**968,046**|2020
£
1,968,407
(337,917)|
|---|---|---|
|||1,630,490|
Scholarships, bursaries and other awards were paid to 90 pupils (2020: 81 pupils). Within this, meanstested bursaries totalling £11,266 were paid to 7 pupils (2020: £13,956 to 8 pupils).
## 3. **CHARITABLE ACTIVITIES – ANCILLARY TRADING INCOME**
|Extra Subjects
Entrance fees and registration fees
Fees in lieu of notice
School meals
Pupil Transport
New Clothing Sales
Second Hand Clothing Sales
Other Income
**OTHER TRADING ACTIVITIES**
**Non-ancillary trading income**
Lettings Income
Interest receivable – pupil bills|**2021**
**£**
**23,661**
**2,076**
**36,540**
**36,763**
**12,908**
**6,202**
**-**
**34,217**
**152,367**
**2021**
**£**
**30**
**3,629**
**3,659**|2020
£
131,893
4,384
24,762
53,297
8,572
13,906
-
42,081|
|---|---|---|
|||278,895|
|||2020
£
4,225
9,737|
|||13,962|
## 4. **OTHER TRADING ACTIVITIES**
23
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 5. **INVESTMENTS - BANK AND OTHER INTEREST RECEIVABLE**
|Bank interest
Investment income|Unrestricted
£
1
426
427|**Total**
**2021**
**£**
**1**
**426**
**427**|Total
2020
£
9
409|
|---|---|---|---|
||||418|
6. **OTHER - GRANTS AND DONATIONS**
|General Donations
IT Donation
Pelham House
Refurbishment
Art Room Donation
Masters Room Appeal
Job Retention Scheme|Unrestricted
£
25
-
-
-
-
28,269
28,294|Restricted
£
-
-
-
-
-
-
-|**Total**
**2021**
**£**
**25**
**-**
**-**
**-**
**-**
**28,269**
**28,294**|Total
2020
£
-
7,500
61,649
600
-
200,561|
|---|---|---|---|---|
|||||270,310|
24
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
|7.**ANALYSIS OF EXPENDITURE**
a)**Total expenditure**
Staff costs
(note 9)
£
**Costs of raising funds**
Financing cost (note 8)
-
Total cost of generating
funds
-
**Charitable expenditure**
Education and grant making
Teaching
684,108
Welfare
136,880
Premises
31,882
School administration
83,401
Governance
Loss on disposal of business
-
-
**Total charitable**
**expenditure**
936,271
**Total Expended**
936,271|Depreciation &
Impairment
(note 11)
£
-
-
5,400
-
17,557
-
-
-
22,957
22,957|Support
Costs
£
250,878
250,878
73,001
36,671
103,435
41,640
43,460
47,813
346,020
596,898|**Total**
**2021**
**£**
**250,878**
**250,878**
**762,509**
**173,551**
**152,874**
**125,041**
**43,460**
**47,813**
**1,305,248**
**1,556,126**|Total
2020
£
110,285|
|---|---|---|---|---|
|||||110,285|
|||||1,325,473
254,855
423,280
205,665
30,695
-|
|||||2,239,968|
|||||2,350,253|
## b) **Total resources expended include:**
SJS Realisations reimburses governors for out-of-pocket expenses including travel subsistence and accommodation. There were no claims by the governors during the year (2020:NIL).
|Remuneration paid to auditor for audit services
Remuneration paid to auditor for non-audit services
Reimbursement of personal expenses to governors
Depreciation & impairment of tangible fixed assets:
-Owned by the Charitable Company
(Profit)/loss on disposal of assets and business
Operating Lease rentals:
-land and buildings
-other assets|**2021**
**£**
**20,160**
**-**
**-**
**22,957**
**47,813**
**-**
**-**
**90,930**|2020
£
18,280
-
-
119,415
-
51,928
15,248|
|---|---|---|
|||204,871|
25
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
|8.**FINANCING COSTS**
Bank Interest Payable
Other Interest Payable
Bank charges
Provision for bad and doubtful debts
9.**STAFF COSTS**
The aggregate payroll costs for the year were:
Wages and salaries
Social security costs
Other pension costs
Private Medical insurance|**2021**
**£**
**16,026**
**13,637**
**7,898**
**213,317**
**250,878**
**2021**
**£**
**769,281**
**58,241**
**107,932**
**817**
**936,271**|2020
£
24,978
4,957
6,654
73,696
110,285
2020
£
1,297,638
101,600
175,531
1,273|
|---|---|---|
|||1,576,042|
The Head and Bursar are classed by the school as being Key Management Personnel with a combined remuneration of £67,073 (2020: £104,500).
None of the governors received remuneration or other benefits from SJS Realisations or from any connected body.
|Aggregate employee benefits of key management personnel|**817**|1,273|
|---|---|---|
|The number of higher paid employees whose annual emoluments were|||
|£60,000 or more was:|||
||**2021**|2020|
||**No**|No|
|£70,001 - £80,000|**0**|1|
|Of which the contributions amounted to|||
|- in Defined Benefit schemes was|
**£11,520**|£17,050|
26
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 9. **STAFF COSTS** (Continued)
The average number of employees during the year calculated on a head count basis was 65 (2020: 74).
|Teaching
Welfare
Premises
Support|**2021**
**No**
**35**
**12**
**10**
**8**
**65**|2020
No
42
13
10
9|
|---|---|---|
|||74|
## 10. **TAXATION**
The company is a registered charity and therefore no liability to taxation arises on its charitable activities.
27
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 11. **TANGIBLE FIXED ASSETS**
|**Cost**
At 1stSeptember 2020
Additions
Disposal
**At 31st August 2021**
**Depreciation & Impairment**
At 1stSeptember 2020
Charge for the year
Disposal
**At 31st August 2021**
**Net book value at 31st August**
**2021**
Net book value at 31stAugust 2020|Freehold Land &
Buildings
£
1,317,783
-
(1,317,783)
**-**
113,718
4,283
(118,001)
**-**
**-**
1,204,065|Plant &
Equipment
£
238,729
7,207
(245,936)
**-**
123,591
13,274
(136,865)
**-**
**-**
115,138|Computer
Equipment
£
80,602
-
(80,602)
**-**
68,937
5,400
(74,337)
**-**
**-**
11,665|Total
£
**1,637,114**
**7,207**
**(1,644,321)**|
|---|---|---|---|---|
|||||**-**|
|||||**306,246**
**22,957**
**(329,203)**|
|||||**-**|
|||||**-**|
|||||
1,330,868|
On 11[th] May 2021, the trade and certain assets of SJS Realisations Limited were sold, and as part of the sale agreement proceeds were allocated against certain assets such as the buildings.
## 12. **SECURITIES INVESTMENTS**
|**Investments comprise:**
**Listed investments**
Fixed interest
**Company investments**|**2021**
**£**
**150**
**150**|2020
£
150|
|---|---|---|
|||150|
28
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 13. **DEBTORS due within one year**
|School fees receivable
Other debtors
Prepayments and accrued income|**2021**
**£**
**8,792**
**7,864**
**-**
**16,656**|2020
£
666,133
577
33,971|
|---|---|---|
|||700,681|
## 14. **DEBTORS due after more than one year**
At the year end, a total of £307,864 was still due in respect of the sale of the business activity and certain assets from Alpha Schools (Holdings) Limited on 11[th ] May 2021. Of this £300,000 is due after one year, with instalments to be paid 18 months, 30 months and 42 months after the date of sale.
## 15. **CREDITORS: amounts falling due within one year**
|
Bank loans and overdrafts
Deposits from parents
Fees received from parents in
advance of term
Trade creditors
Taxation and social security
Accruals
Other creditors
Deferred Income
Amounts owed to the parent
company
|**2021**
**£**
**-**
**-**
**-**
**35,751**
**-**
**20,836**
**132,018**
**-**
**697,333**
**885,938**|2020
£
358,238
48,513
156,616
179,033
20,456
94,535
64,300
387,703
400,000|
|---|---|---|
|||1,709,394|
## 16. **CREDITORS: amounts falling due after one year**
|
Bank loans and overdrafts
|**2021**
**£**
**-**
**-**|2020
£
391,324|
|---|---|---|
|||391,324|
29
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 17. **BANK LOAN**
|The bank loan is repayable in instalments:
Due after 5 years
Due within 2 to 5 years
Due within 1 to 2 years
Due after more than one year
Due within 1 year|**2021**
**£**
**-**
**-**
**- **
**-**
**-**
**-**|2020
£
177,457
140,400
73,467|
|---|---|---|
|||391,324
73,467|
|||464,791|
The carrying amount of the loans payable as at 31 August 2021 is £NIL (2020: £464,791). The bank loans were repaid in full upon the sale of the business and certain assets.
## 18. **COMMITMENTS UNDER OPERATING LEASES**
The future minimum commitments under non-cancellable operating leases are:
|Expiry date:
Within 1 year
Between 2 and 5 years
After 5 years|**Land and**
**2021**
**£**
**-**
**-**
**-**
**-**|**buildings**
2020
£
42,500
49,292
43,000
134,792|**Other**
**2021**
**£**
**-**
**-**
**-**
**-**|2020
£
15,248
20,599
-|
|---|---|---|---|---|
|||||35,847|
30
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 19. **FINANCIAL INSTRUMENTS**
|FINANCIAL ASSETS:
**Debt instruments at amortised cost**
Trade debtors
Other debtors
FINANCIAL LIABILITIES:
**Financial liabilities at amortised cost**
Trade creditors
Other creditors
Bank overdrafts
Borrowings - bank and other loans
Accruals
Deposit from Parents
**SHARE CAPITAL**
**Authorised**
100 Ordinary Shares of £1 each
**Allotted, called up and fully paid**
100 Ordinary Shares of £1 each|**2021**
**£**
**8,792**
**307,864**
**316,656**
**£**
**35,751**
**132,018**
**-**
**697,333**
**20,836**
**-**
**885,938**
**2021**
**£**
**100**
**100**|2020
£
666,133
577|
|---|---|---|
|||666,710|
|||£
179,033
64,300
284,771
864,791
94,535
48,513|
|||1,535,943|
|||2020
£
100
100|
## 20. **SHARE CAPITAL**
The shares shall not be transferable. Any invitation to the public to subscribe for any shares or debentures of the company is prohibited.
31
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 22. **DISPOSAL OF THE BUSINESS**
The business and certain assets of the company were sold to Alpha Schools (Holdings) Limited on 11[th] May 2021. All fixed assets were sold, as well as any stocks held and petty cash. The agreed sale price was £1,300,000 with the residual net book value of the assets sold being £1,347,813, resulting in a loss of £47,813. As stated in the sale agreement, Trinity (Summer) term fees belonged to Alpha Schools (Holdings) Limited. As part of the transfer of funds, monies collected by SJS Realisations Limited in respect of Trinity term were taken into account as well as outstanding trade debtors relating to Trinity term and costs incurred after the sale date by SJS Realisations Limited which related to Alpha Schools (Holdings) Limited. As at the year end SJS Realisations Limited were owed £307,864 on the sale. £7,864 was received in September 2021 and the remaining £300,000 is to be paid in 3 equal instalments of £100,000 18 months, 30 months and 42 months after the sale date. SJS Realisations Limited paid Alpha Schools (Holdings) Limited £82,139.65 on 20 December 2021 and a further £11,758.48 on 18[th] January 2022 in respect of the calculation of the combined apportionment of Trinity terms fees, outstanding debtors and costs incurred by SJS Realisations Limited.
## 23. **FUNDS**
SJS Realisations Limited funds are analysed under the following headings:
## **a) RESTRICTED FUNDS**
## **St. James’ Music Fund**
This represents funds received for the purpose of the musical activities of the school.
## **LF Funding Grant**
This represents a grant received for the purpose of the early years activities of the School.
## **Sports Fund**
These are various grants and donations towards the cost of new sports equipment and events.
## **Chaplaincy**
This is a contribution towards the cost of a chaplain.
## **Masters Room Appeal**
This is monies raised towards the refurbishment of the Masters room.
## **IT Fund**
This is monies received for the purchase of IT equipment during the Coronavirus Pandemic.
## **b) UNRESTRICTED FUNDS**
Unrestricted funds represent accumulated income from the school’s activities and other sources that are available for the general purposes of the school.
32
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
|24.**ANALYSIS OF NET ASSETS BETWEEN FUNDS**
Unrestricted
Restricted
£
£
Tangible fixed assets
-
-
Securities investments
-
150
Net current asset / (liabilities)
(444,769)
14,125
Long term liabilities
-
-
(444,769)
14,275
_Prior year comparative figures_:
Unrestricted
Restricted
£
£
Tangible fixed assets
1,330,868
-
Securities investments
-
150
Net current asset / (liabilities)
(980,880)
14,125
Long term liabilities
(391,324)
-
(41,436)
14,275|**Total**
**2021**
**£**
**-**
**150**
**(430,644)**
**-**
**(430,494)**
**Total**
**2020**
**£**
**1,330,868**
**150**
**(966,755)**
**(391,324)**
**(27,161)**|Total
2020
£
1,330,868
150
(966,755)
(391,324)|
|---|---|---|
|||(27,161)|
|||Total
2019
£
1,441,018
150
(876,465)
(435,586)|
|||129,117|
33
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 25. **SUMMARY OF MOVEMENTS ON MAJOR FUNDS**
|.**SUMMARY OF MOVEMENTS**|**ON MAJOR**|**FUNDS**||||
|---|---|---|---|---|---|
|**Restricted Funds**
St. James’ Music Fund
LF Funding Grant
Sports Fund
Chaplaincy
Masters Room Appeal
IT Fund
**Unrestricted Funds**
General Reserve
**Total Funds**
_Prior year comparative figures_:
**Restricted Funds**
St. James’ Music Fund
LF Funding Grant
Sports Fund
Chaplaincy
Masters Room Appeal
IT Fund
**Unrestricted Funds**
General Reserve
**Total Funds**|At 1 Sept
2020
£
**6,622**
**20**
**790**
**-**
**4,848**
**1,995**
**14,275**
**(41,436)**
**(41,436)**
**(27,161)**
At 1 Sept
2019
£
**6,622**
**20**
**790**
**4,583**
**4,848**
**-**
**16,863**
**112,154**
**112,154**
**129,017**|Incoming
resources
£
-
-
-
-
-
**-**
1,152,793
**1,152,793**
**1,152,793**
Incoming
resources
£
-
-
-
-
-
7,500
**7,500**
2,186,575
**2,186,575**
**2,194,075**|Resources
expended
£
-
-
-
-
-
-
**-**
(1,556,126)
**(1,556,126)**
**(1,556,126)**
Resources
expended
£
-
-
-
-
(4,583)
-
(5,505)
**(10,088)**
(2,340,165)
**(2,340,165)**
**(2,350,253)**|Transfers
£
-
-
-
-
-
-
**-**
-
**-**
**-**
Transfers
£
-
-
-
-
-
-
**-**
-
**-**
**-**|At 31
August
2021
£
**6,622**
**20**
**790**
**-**
**4,848**
**1,995**|
||||||**14,275**|
||||||**(444,769)**|
||||||**(444,769)**|
|||||||
||||||**(430,494)**|
||||||At 31
August
2020
£
**6,622**
**20**
**790**
**-**
**4,848**
**1,995**|
||||||**14,275**|
||||||**(41,436)**|
||||||**(41,436)**|
|||||||
||||||**(27,161)**|
## 26. **CAPITAL COMMITMENTS**
At 31 August 2021, the group had capital commitments as follows:
Expenditure contracted for but not provided in the accounts
|**2021**|2020|
|---|---|
|**£**
|£|
|**-**|-|
34
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 27. **PENSION SCHEMES**
## **Teachers’ Pension Scheme**
The School participates in the Teachers’ Pension Scheme (“the TPS”) for its teaching staff. The pension charge for the year includes contributions payable to the TPS of £100,857 ( _2020: £167,961_ ) and at the year-end £NIL ( _2020 - £18,319_ ) was accrued in respect of contributions to this scheme.
The TPS is an unfunded multi-employer defined benefits pension scheme governed by The Teachers’ Pensions Regulations 2010 (as amended) and The Teachers’ Pension Scheme Regulations 2014 (as amended). Members contribute on a “pay as you go” basis with contributions from members and the employer being credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.
The employer contribution rate is set by the Secretary of State following scheme valuations undertaken by the Government Actuary’s Department. The most recent actuarial valuation of the TPS was prepared as at 31 March 2016 and the Valuation Report, which was published in March 2019, confirmed that the employer contribution rate for the TPS would increase from 16.4% to 23.6% from 1 September 2019. Employers are also required to pay a scheme administration levy of 0.08% giving a total employer contribution rate of 23.68%.
The 31 March 2016 Valuation Report was prepared in accordance with the benefits set out in the scheme regulations and under the approach specified in the Directions, as they applied at 5 March 2019. However, the assumptions were considered and set by the Department for Education prior to the ruling in the ‘McCloud/Sargeant case’. This case has required the courts to consider cases regarding the implementation of the 2015 reforms to Public Service Pensions including the Teachers’ Pensions.
On 27 June 2019 the Supreme Court denied the government permission to appeal the Court of Appeal’s judgment that transitional provisions introduced to the reformed pension schemes in 2015 gave rise to unlawful age discrimination. The government is respecting the Court’s decision and has said it will engage fully with the Employment Tribunal as well as employer and member representatives to agree how the discriminations will be remedied. A consultation was launched by the government on 16 July 2020, and closed to responses on 11 October 2020.
The TPS is subject to a cost cap mechanism which was put in place to protect taxpayers against unforeseen changes in scheme costs. The Chief Secretary to the Treasury, having in 2018 announced that there would be a review of this cost cap mechanism, in January 2019 announced a pause to the cost cap mechanism following the Court of Appeal’s ruling in the McCloud/Sargeant case and until there is certainty about the value of pensions to employees from April 2015 onwards. The pause was lifted in July 2020 and the government is preparing to complete the cost control element of the 2016 valuations, which is expected to be completed in 2021.
In view of the above rulings and decisions the assumptions used in the 31 March 2016 Actuarial Valuation may become inappropriate. In this scenario, a valuation prepared in accordance with revised benefits and suitably revised assumptions would yield different results than those contained in the Actuarial Valuation.
Until the consultation and the cost cap mechanism review are completed it is not possible to conclude on any financial impact or future changes to the contribution rates of the TPS. Accordingly, no provision for any additional past benefit pension costs is included in these financial statements.
35
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 28. **STATEMENT OF FINANCIAL ACTIVITIES – COMPARATIVE FIGURES BY FUND TYPE FOR THE YEAR ENDED 31[ST] AUGUST 2020**
|Notes
**Income and endowments from:**
**Charitable Activities**
School fees receivable
2
Ancillary trading income
3
**Other trading activities**
Non-ancillary trading income
4
**Investments**
Investment income
5
Bank and other interest
5
**Other Donations**
Grants and donations
6
**TOTAL INCOMING**
**RESOURCES**
**Expenditure on:**
**Raising funds**
Non-ancillary trading
Financing costs
8
**TOTAL**
**Charitable Activities**
Education and grant making
7
**TOTAL EXPENDITURE**
**Net income and expenditure**
**before transfers**
**NET INCOME**
Pension scheme actuarial losses
**Net Movement in funds for the**
**year**
Fund balances at 1st September
2019
**FUND BALANCES AS AT 31ST**
**AUGUST 2020**|Unrestricted
Funds
£
1,630,490
278,895
13,962
409
9
262,810
2,186,575
-
110,285
110,285
2,229,880
2,340,165
(153,590)
(153,590)
-
(153,590)
112,154
(41,436)|Restricted
Funds
£
-
-
-
-
-
7,500
7,500
-
-
-
10,088
10,088
(2,588)
(2,588)
-
(2,588)
16,863
14,275|**2020**
**£**
**1,630,490**
**278,895**
**13,962**
**409**
**9**
**270,310**
**2,194,075**
**-**
**110,285**
**110,285**
**2,239,968**
**2,350,253**
**(156,178)**
**(156,178)**
**-**
**(156,178)**
**129,017**
**(27,161)**|2019
£
1,945,683
335,786
37,987
397
10
4,674|
|---|---|---|---|---|
|||||2,324,537|
|||||1,583
64,820|
|||||66,403
2,244,676|
|||||2,311,079|
|||||13,458|
|||||13,458
-|
|||||13,458
115,559|
|||||129,017|
36
**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
|29.**RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH**
**OPERATING ACTIVITIES**
**2021**
**£**
**Net income for the year (as per the statement of financial**
**activities)**
**(403,333)**
**Adjustments for:**
Depreciation & impairment charges
**22,957**
Dividends, interest and rents from investments
**(427)**
Loss/(profit) on the sale of fixed assets
**15,117**
Financing costs
**37,561**
(Increase)/decrease in stocks
**35,085**
(Increase)/decrease in debtors
**684,025**
Increase/(decrease) in creditors
**(465,218)**
**Net cash provided by operating activities**
**(74,233)**
30.**ANALYSIS OF CASH AND CASH EQUIVALENTS**
**2021**
**£**
Cash at bank and in hand
**138,737**
Overdraft facility repayable on demand
**-**
**Total cash and cash equivalents**
**138,737**|**INFLOW FROM**
2020
£
(156,178)
119,415
(418)
-
110,285
(4,176)
(28,351)
90,964
131,541
2020
£
6,873
(284,771)
(277,898)|
|---|---|
## 31. **ULTIMATE CONTROLLING PARTY**
The Woodard Corporation Limited is the ultimate controlling party, a registered charity number 1096270, which is incorporated in England and Wales. Copies of the financial statements of the Woodard Corporation can be obtained from High Street, Abbots Bromley, Rugeley, Staffordshire, WS15 3BW. The accounts of St James’ School Grimsby Limited are included within the consolidated financial statements of the Woodard Corporation Limited.
## 32. **RELATED PARTIES**
The Company is wholly owned subsidiary of The Woodard Corporation, a registered charity number 1096270, which is incorporated in England and Wales. An amount of £4,283 (2020: £9,200) was paid during the year to the Corporation by way of a levy to meet Corporation running costs and £NIL (2020: £4,250) for the carbon reduction Liability. The Corporation also provided a loan of £100,000 in 2013, upon which interest of £4,599 (2020: £4,957) is payable for the year ended 31[st] August 2021. Interest was charged during the year at a rate of 5.25% until 10[th] March and 4.75% until 18[th] March and then 4.60%. The Corporation also provided a further loan of £300,000 in June 2020. It is repayable over 5 years and interest was charged at 2.25% over the Bank of England base rate. Interest charged during the year amounted to £6,222. Repayment of this loan and interest commenced on the 30[th] September 2020. During the year the Corporation provided a further loan of £307,333. Interest has been charged during the year at a rate of 2.25% over the Bank of England base rate and the interest charged for the year amounted to £2,206. The amount owing to the Woodard corporation at 31[st] August 2021, excluding the loan is £46,641 (2020: £33,613).
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**SJS REALISATIONS LIMITED (FORMERLY ST. JAMES SCHOOL, GRIMSBY LIMITED)**
## **NOTES TO THE FINANCIAL STATEMENTS** _**YEAR ENDED 31ST AUGUST 2021**_
## 31. **RELATED PARTIES** (Continued)
None of the directors (or any persons connected with them) received any remuneration during the year. Last year one director’s spouse was employed by the school and they received remuneration of £6,157. No director’s (2020: 1) have a child attending the school. The director paid fees in the total of £10,878 in 2020, no bursaries were awarded to them. There were no travel expenses (2020: £NIL) reimbursed to any director (2020:NIL) during the year.
Staff remissions totalling £27,957 were awarded to 2 Key Personnel.
There are no further related party transactions.
## 33. **CONTINGENT LIABILITIES**
There are no contingent liabilities during the year.
## 34. **ACCOUNTING ESTIMATES AND JUDGEMENTS**
In preparing the financial statements, the directors are required to make estimates and judgements. The matters detailed below are considered to be the most important in understanding the judgements that are involved in preparing the financial statements and the uncertainties that could impact the amounts reported in the results of operations, financial position and cash flows. Accounting policies are shown at note 1 to the financial statements.
## _Provision for bad debts_
Debts are provided for if not recovered within one term. Estimating amounts to provide against recovery of debts is a matter of judgement.
## _Depreciation, impairment and residual values of fixed assets_
Judgement is exercised in estimating the residual values of fixed assets, the selection of appropriate rates for depreciation, and for matters of impairment.
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