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2021-08-31-accounts

REGISTERED COMPANY NUMBER: 03777308 (England and Wales) REGISTERED CHARITY NUMBER: 1100021

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GOVERNORS’ REPORT AND

AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

FOR

SEVENOAKS PREPARATORY SCHOOL LIMITED

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SEVENOAKS PREPARATORY SCHOOL LIMITED

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

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SEVENOAKS PREPARATORY SCHOOL LIMITED GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

The governors who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 August 2021, The governors have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). OBJECTIVES AND ACTIVITIES Objectives and aims The school seeks to provide an education for life. It aims to achieve this through the Pre-Prep 'Golden Rules' and the ‘Way of Life’ in the Prep, together with an academic approach that focuses on the needs of the individual. In addition, the school sets out to encourage every pupil to be the best they can be, both inside and outside the classroom. The school's ethos is central to its aims and emphasizes strong pastoral care of pupils, nurturing each one and supporting parents and children alike

Our aims are:

"to ensure the safeguarding of all pupils "to afford all pupils opportunities to succeed both inside and outside the classroom "to recruit and retain the highest calibre of teaching and support staff who embody our Way of Life. "to provide excellent pastoral care and nurture outstanding relationships between staff, pupils and parents. "to be a warm, friendly, family school. "to provide individualised learning which we believe is best provided for in small class sizes. "to utilise technology to aid student learning and to ensure that our ICT provision complements existing and future teaching strategies "to progress the School's commitment to bursaries "to"to developmaintain theand School'senhance involvementthe school's withenvironmentlocal, nationaland andfacilities.international charities. “to maintain a balanced budget approach to managing its financial resources and expenditures

Sevenoaks Prep "Way of Life" "| ought to think at all times how my every action will affect others in my life: parents, friends, relations, teachers and everyone younger than myself, "| ought to treat all others as | would want to be treated myself, and take a personal interest in how other people _ feel. "| ought not to touch anything that is not mine, unless with permission or unless | am being helpful. "| ought to be polite to everybody at all times and be positive in my actions. "| ought to take responsibility for my own maturity by ensuring | assist in the smooth running of-the schoo! and my home. "| ought to take ownership of my studies, concentrating and applying myself to achieve to the best of my ability. "| ought to obey in the right spirit the instructions of my teachers and parents. "| ought to report immediately any damage or unfortunate behaviour to my teachers and/or my parents. "| ought to remember that in life my aim should be to solve problems not cause them, to build bridges rather than knock them down, to trust others and to be trusted, to put the needs of others first and mine last, to improve and make better whatever or whoever | am involved with. "| ought, at all times, to be totally honest to myself and to others. The School gives means tested financial assistance to the parents of some pupils who might otherwise find the full fee a limiting factor to sending and retaining their sons and daughters at the School.

The School works with educational establishments in the Maintained Sector, but the COVID pandemic and the infection controls that have been put in place have limited the amount that it has been possible to offer. CHARITABLE OBJECTS

The objects of the School as set out in the Articles of Association, are to establish and carry on in Great Britain (and any other countries) Schools at or by means of which students may obtain education and instructions in languages, mathematics, geography and history, and all other subjects whatsoever that may be included in a commercial, technical, scientific, classical or academic education,

In setting the objectives the Governors have given careful consideration to the Charity Commissions’ general guidance on public benefit.

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SEVENOAKS PREPARATORY SCHOOL LIMITED

GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

OBJECTIVES AND ACTIVITIES Significant activities Although the school began the academic year with everyone on site, as the pandemic restrictions were brought in the Government moved the school from the bubble restrictions back into a full lockdown after the Christmas break. Whilst the school continued to care for the children of key workers and the youngest classes of Nursery and Kindergarten on site, it also moved to offering remote learning for all children using a variety of platforms and programmes. The previous experience and feedback proved a useful building block to allow the school to improve the remote offering and increase the amount of live teaching provided remotely to children of all ages. (It was a joy to everyone that the children were allowed back on site for the last two weeks of the Spring term, and our older children adjusted well to the demands of face mask wearing and regular testing that were placed on them. The summer term continued to be restricted by the Government rules and the school overcame the disappointment caused by the delay in moving the Phase 4 of lockdown easing by switching to COVID restriction compliant sports days, concerts and assemblies in a mix of online and restricted attendance on-site events. This allowed our children to really showcase the hard work that they had put in both remotely and back at school. The school is fortunate to benefit from extensive grounds and this outdoor space was utilised fully to ensure we were minimising the risk to our children and staff through infection control. The strength and commitment of the staff in responding to all the challenges and restrictions placed on them was exceptional and this resulted in the provision of an excellent standard of teaching through a variety of different mediums and particular attention to the children's welfare.

Arts With the COVID restrictions affecting so many of our musical lessons and groups, the children really appreciated the opportunity to perform in small group and recorded concerts in the summer term to display their improvements and hard work Sports We started back at school in September full of optimism and positivity to try and get Prep sport back with pupils returning to matches, These hopes were dashed slightly with the announcement of no fixtures or competitions. But, in typical Prep spirit the sport department set about putting an exciting programme in place for Games lessons that focused on skills coaching and fitness. The girls started on some hockey at the Hollybush Lane Astroturf and netball training in their year group bubbles alongside some fitness lessons. The boys did football training and although the fixtures were missed, the opportunity to train three hours a week enabled us to spend time not only improving the pupils’ technical ability but working on our style of play, which we hope will be rewarded next football term. Unfortunately, the Thomas Trophy was cancelled because of the restrictions, but the school staged a house cross country competition for Years 3-8 which we all thoroughly enjoyed. The winning house was Vine and runners up were Seal The New Year started with us all back in lockdown which put paid to the rugby and netball seasons but again the sport department set about planning live Games lessons in the form of Joe Wicks style routines and circuits. Lessons included fancy dress, army-themed drills, online Pilates, and fitness testing. Pre-prep children had the same opportunities in their Games lessons and Miss Ablett and Mrs Baker enjoyed doing some dance and gymnastics with the younger children in PE (Physical Education) as well. We were delighted to have the children back just before the Easter break and it gave us a chance to do some mixed hockey and football which included some year group house matches As we returned from the Easter holidays the summer term sun began to shine, the ground firmed up and the smell of fresh cut grass filled the air which not only signalled the start of spring but a long-anticipated cricket season. With fixtures back on the table we started the first term playing matches in our year group bubbles and we continued our journey towards fully integrated cricket between the boys and girls. Trips and workshops As we started the year, year 8 were able to take part in a river project trip, but increased restrictions and the full lockdown imposed on the school from January 2021 meant that eternal trips were severely curtailed. The school made the most of the wonderful grounds, allowing the children to go on walks and to investigate and enjoy the outdoors and natural world without moving beyond the school campus. Online events such as live lectures on the polluting of marine life by plastic also brought us together with other schools around the country. Workshops continued to take place on site covering such topics as a whole school languages day, World War 2 themed days, and Clubs were maintained as much as possible and when lockdown was lifted, day trips were organised for Year 5 to go to Carroty Wood, year 6 to have their camping overnight at the school and year 7 and 8 going to Chessington. Year 8 managed a residential Bushcraft trip at the end of the summer term to finish their time at the school. Volunteers D During the year the school accepted a volunteer work placement for a student on his gap year. The volunteer period was extended to cover the whole of the winter and spring term to Easter. In recognition of this extended period the governors made an ex-gratia payment of £3,000 in recognition of the volunteers hard work. Page 2 ,

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SEVENOAKS PREPARATORY SCHOOL LIMITED GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

OBJECTIVES AND ACTIVITIES

Scholarships The following Scholarships were awarded to our pupils: -

13+ - 5 Sports Scholarships - 3 Academic Scholarship - 2 Drama Scholarships - 1 All rounder scholarship - 1 Music Scholarship Destination Schools Pupils gained places at their chosen 11+ / 13+ senior independent schools and many were awarded places at two or more schools. This ranged across 7 7 different independent school and and 2 grammar grammar schools. FINANCIAL REVIEW Financial position The income of the School arises from fees and donations received and interest earned on short term deposits with the bank. The charitable expenditure is all met from this income. The Governors consider the assets and the operation of the School are sufficient in the short term to maintain its obligations in full. The total incoming resources during the year ended 31 August 2021 were £4,908,812 (2020: £4,566,672) and the resources expended were £4,557,187 (2020: £4,246,801) which resulted in a surplus for the year of £351,625 compared to a surplus of £319,871 generated in the previous year. All of the School's expenditure was spent in advancement of its charitable objectives.

Pupils gained places at their chosen 11+ / 13+ senior independent schools and many were awarded places at two or more schools. This ranged across 7 7 different independent school and and 2 grammar grammar schools.

Investment policy and objectives

The Governors investment powers are governed by the Memorandum and Articles of Association which permit the Governors to make any investments they deem fit. Most of the funds generated by the School are used in the short term in achieving the charitable aims and objectives. There are no funds available for external long term investments. Short term surplus funds are held on deposit with the bank.

Reserves policy

The Governors have a policy of achieving an operational surptus to continue to invest in maintaining educational facitities that meet and exceed the current recommendations and standards. :

The School holds restricted funds of £33,445 (2020: £28,043) which have been donated for the funding of bursaries. Unrestricted funds of £4,217,345 (2020: £3,879,026) allow the school to carry out it's charitable objectives. The total funds held were £4,250,790 (2020: £3,907 ,069). FUTURE PLANS Our Centenary Centre was completed in February 2020. This building provides teaching and communication space primarily for our year 6-8 students, in particular providing specialist space for Art, Science and Digital Learning. The completion of the planned improvements to the Pre-Prep is planned, but this and other projects have been delayed by the COVID pandemic. REPORTABLE INCIDENTS There have been no reportable incidents. STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document _ ote The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006, Appointment and re-appointment of Governors : The Articles of Association allow for there to be between seven and twenty appointed Governors. There are currently fourteen on the Board. Governors are appointed by the existing Board members in the first instance and they are re appointed for 3 years and can serve up to a maximum of 3 terms of 3 years unless there are extenuating circumstances. Page 3 :

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SEVENOAKS PREPARATORY SCHOOL LIMITED

GOVERNORS' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

STRUCTURE, GOVERNANCE AND MANAGEMENT

Organisational structure None of the Governors has any beneficial interest in the company. All the Governors are members of the company and guarantee to contribute £10 in the event of a winding up

The Board of Governors met once per term on 14 October 2020, 18 March 2021 and 11 June 2021.

The main Sub Committee of the Governors is the Executive Committee which meets once a month to discuss the day to day matters concerned with the running of the School. Major items are passed to the Main Board for discussion, with the Executive Committee's recommendations. The Chairman and Vice Chairman sit on this Committee with the Headmaster, Bursar, Deputy Head and Head of Pre-Prep in attendance.

The other permanent Sub Committees are as follows:

Academic Committee D Wiltshire Chair Appointments and Succession Planning J Berry Chair Finance and Risk Committee J Berry Chair Bursary Committee C Sutton-Mattocks Chair The Governors bring many years of experience in a wide variety of professional fields, such as finance, education, law, human resources and the law. The "day to day" running of the School is delegated to the Headmaster Luke Harrison and the Bursar, Elizabeth Walsh. They work in cooperation with the Senior Management Team, who are the Deputy Head, Head of the Pre-Prep, Assistant Heads and Deputy Head of Pre-Prep and Head of Learning Support SENco

Induction and training of new Governors

Mrs T L Hornshaw, Mr P Cheveley and Mr K Rush attended a new Governors Course in November 2020.

K Rush attended an online course regarding "Creating an impactful leading edge learning experience” in January 2021

Mrs T L Hornshaw attended training on "Education Matters - action on the curriculum", and also an online Safeguarding course for Governors in March 2021.

A Governors Planning-Day was held in June 2021 and all Governors are made aware of briefing documents provided by AGBIS, ISBA and other recognised bodies

The cost of Governors’ courses to the School during the year was £320.

Key management remuneration

In line with pay for all staff, key management pay is considered by the Governors’ Finance and Risk Committee who make recommendations to the full board. In deciding the level of remuneration, the Committee consider the current market demand for pupils, the financial strength of the School and the economic outlook. The key management roles are detailed in note 12 of the accounts

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SEVENOAKS PREPARATORY SCHOOL LIMITED GOVERNORS' REPORT FOR THE YEAR ENDED 31 AUGUST 2021 STRUCTURE, GOVERNANCE AND MANAGEMENT

COMMUNITY LINKS AND PUBLIC BENEFIT

Due to the COVID restrictions there were much fewer opportunities to allow local organisations to use the grounds, however, we did manage to allow the following organisations which offer education to young people to use School facilities this year: Otford Netball club summer training facility. Elite Sabre fencing school holiday training school Playball holiday clubs donatingDuring thediscontinued year the schoo!stocksalsoof supportedschool uniformlocal fromcharitiesthe schoolsuch asshop.FriendsAnotherfor Familiesbeneficiarynot onlyof theseby fundraisingstocks wasbut alsothe Ruralby Zimbabwe relief fund. Local food banks were supported by the school and its families, and staff raised money for both Macmillan and Alzheimers charities. Christmas presents were donated for the use of Salvation Army and many of the schools families participated in the local Sevenoaks litter picking weekend in March 2021. The School offered Bursaries and Fees subsidies. 13 Pupils received Means Tested Bursaries of which:

2 were 60% of fees,

8 were 50% of the fees,

2 were 40% of the fees and 1 was 25% of the fees.

Three Pupils received a Sibling Discount (5%).

Five members of staff act as Governors at other independent and maintained schools.

Engagement with employees

The School is an equal opportunities employer. Full and fair consideration is given to job applications from disabled persons and due consideration is given to their training and employment needs. Consultation with employees has continued at all levels with the aim of taking their views into account when decisions are made that are likely to affect their interests. The staff council continued to be consulted and to contribute suggestions to the executive

Risk management Sevenoaks Prep Schoot Board of Governors is responsible for the management of the risks faced by the School. Risks are identified, assessed and controls established throughout the year. The Board reviews the full Risk Register annually at the autumn governor's meeting and Risk is a standing item on the agenda for other Board Meetings and all Executive Committee meetings. The Governors consider the major potential risks to the School to be: " A chatlenging economic environment adversely affecting pupil numbers & fee levels. " Inflationary pressures on certain costs. " Competition from both independent and state schools for pupils. " Ensuring Safeguarding & Inspection in an increasingly regulated environment.

The key controls used by the School to mitigate risks include: “ Formal agenda for Committee and Board activities " Detailed Terms of reference for all Committees. " Comprehensive strategic planning, budgeting and management accounting " Established organisational structure and lines of reporting.

" Formal written policies

" Robust scrutiny of policies

" Clear authorisation and approval levets.

" Safer recruitment as required by law for the protection of the vulnerable. " Staff training, Child Protection and safeguarding.

Through the risk management processes established by the School, the Governors are satisfied that the major risks identified have been adequately mitigated where necessary, It is recognised that the systems can only provide reasonable but not absolute assurance that major risks have been adequately managed.

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SEVENOAKS PREPARATORY SCHOOL LIMITED

GOVERNORS' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

STRUCTURE, GOVERNANCE AND MANAGEMENT Bursary Policy This year the Charity awarded Bursaries of £84,871 (1.7% of fee income) 2020: £57,908 (1.3% of fee income) from unrestricted funds. The Governors’ policy, in line with that of most other independent schools, is to award Bursaries on the basis of need. All Bursaries are means tested on application. A Bursary fund has been established and is overseen by a subcommittee of 3 Governors, the Head and the Bursar. Our aim is to build up a fund which will support a child attend the Prep. This would be over and above the funds already set aside by the School.

Asset cover for funds Note 18 sets out an analysis of the assets attributable to the restricted and unrestricted funds and a description of the funds. These assets are considered sufficient to meet the Charity's obligations on a fund by fund basis.

Pension schemes

The School participates in the Teachers' Pension Scheme (TPS) for its teaching Staff and an auto enrolment scheme run by People's Pensions for support staff.

The TPS is an unfunded multi-employer defined benefits scheme governed by the Teachers’ Pension Scheme Regulations 2014. Members contribute on a ‘pay as you go' basis with contributions from members and the employer being credited to the Exchequer. Retirement and other pensions benefits are paid by public funds provided by Parliament The employer contribution rate is set following scheme valuations undertaken by the Government Actuary’s Department. The current employer contribution rate for the TPS is 23.68%. During the year the school began a consultation with those eligible for the scheme and their elected representative on a proposal from the Governors to limit contributions to the scheme and offer an alternative defined contribution pension. This consultation continued into the following academic year

For the Support Staff Pension administered by the People's Pension the employer contribution was 3%. The employee rate increased to 5% on 6th April 2019. REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number 03777308 (England and Wales)

Registered Charity number

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1100021

Registered office Fawke Cottage Godden Green Sevenoaks Kent TN15 OJU

Trustees Ms J S Berry - Chairman Dr S Bailey (appointed 24.11.21) R Burgess Dr M J Carboni P Cheveley (appointed 14.10.20) T C Dickinson A Durtnell A G Fernando (resigned 13.10.21) Mrs T L Hornshaw (appointed 14:10.20) Mrs M L Ismail C Jones (appointed 18.3.21) E Oatley - Vice Chairman K R Rush (appointed 14.10.20) C J Sutton-Mattocks P D Wiltshire (resigned 13.10.21)

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Company Secretaries Miss M Peirce Mrs E Walsh

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SEVENOAKS PREPARATORY SCHOOL LIMITED

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GOVERNORS' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

REFERENCE AND ADMINISTRATIVE DETAILS Auditors

Deeks Evans Audit Services Ltd First Floor, West Barn, North Firth Farm Ashes Lane Hadlow Tonbridge Kent T™N11 9QU Solicitors Thackray Williams Kings House 32-40 Widmore Road Bromley Kent

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BR1 1RY
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Bankers Handelsbanken Sevenoaks Branch 1st Floor 50-52 London Road Bligh's Meadow Sevenoaks Kent TN13 1AS

STATEMENT OF GOVERNORS’ RESPONSIBILITIES The governors (who are also the directors of Sevenoaks Preparatory School Limited for the purposes of company law) are responsible for preparing the Governors’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland”

Company law requires the governors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those’ financial statements, the governors are required to

The governors are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to 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. In so far as the governors are aware:

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S Berry - Governor
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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SEVENOAKS PREPARATORY SCHOOL LIMITED Opinion We have audited the financial statements of Sevenoaks Preparatory School Limited (the ‘charitable company’) for the year ended 31 August 2021 which comprise the Statement of Financial Activities, the Statement of Financial Position, the Statement of Cash Flows 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 (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’. 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, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland’; - andhave 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 Auditors' 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.

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

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

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

Other information The other information comprises the information included in the governors annual report, other than the statements and our auditor's report thereon

financial

The governors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

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 course of 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 this gives rise to a material misstatement in the financial statements themselves. 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.

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Matters on which we are required to report by exception In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Governors’ Report

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SEVENOAKS PREPARATORY SCHOOL LIMITED

Responsibilities of governors

As explained more fully in the Statement of Governors' Responsibilities, the governors (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 governors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SEVENOAKS PREPARATORY SCHOOL LIMITED

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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercia! and sector experience, through verbal and written communications with those charged with governance and other management, and via inspection of the charitable company's regulatory and legal correspondence. We discussed with those charged with governance and other management the policies and procedures regarding compliance with laws and regulations We communicated identified laws and regulations to our team and remained alert to any indicators of non-compliance throughout the audit, we also specifically considered where and how fraud may occur within the company. The potential effect of these laws and regulations on the financial statements varies considerably. Firstly, the charitable company is subject to laws and regulations that directly affect the financial statements, including: the charitable company's constitution, relevant financial reporting standards and company law, and we assess the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items. Secondly the charitable company is subject to many other laws and regulations where the consequences of non-compliance could have a material effect on the amounts or disclosures in the financial statements, for instance through the imposition of fines and penalties, or through losses arising from litigation. We identified the following areas as those most likely to have such an affect: child safeguarding, adults at risk safeguarding, employment legislation, health and safety legislation, operating licences regarding the charitable company's operating premises, data protection legislation and anti-bribery and corruption legislation. International Standards on Auditing (UK) limit the required procedures to identify non-compliance with these laws and regulations to the procedures, and no procedures over and above those already noted are required. These limited procedures did not identify any actual or suspected non-compliance which laws and regulations that could have a material impact on the financial statements. In relation to fraud, we performed the following specific procedures in addition to those already noted: " Identifying and testing journal entries, in particular any entries posted with unusual nominal ledger account combinations, journal entries crediting cash or any revenue account and journal entries posted by senior management; " Performing analytical procedures to identify unexpected movements in account balances which may be indicative of fraud; and “ Ensuring that testing undertaken on transactions and the Balance Sheet includes a number of items selected on a random basis. These procedures did not identify any actual or suspected fraudulent irregularity that could have a material impact on the financial statements. Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some matenal misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with International Auditing Standards UK). For example, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the procedures that we are required to undertake would identify it. In addition, as with any audit, there remains a high risk of non-detection of irregularities, as these might involve collusion, forgery, intentional omissions, misrepresentation, or the override of internal controls. We are not responsible for preventing non-compliance with laws and regulations or fraud, and cannot be expected to detect non-compliance with all laws and regulations or every incidence of fraud. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www. frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SEVENOAKS PREPARATORY SCHOOL LIMITED

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 auditors’ 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.

or Richard Young (Senior Statutory Auditor) for and on behalf of Deeks Evans Audit Services Ltd First Floor, West Barn, North Firth Farm Ashes Lane Hadlow Tonbridge Kent T™N11 9QU Date: ..\7V. ay Mask L071

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SEVENOAKS PREPARATORY SCHOOL LIMITED

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2021

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||||||||| |---|---|---|---|---|---|---|---| |2021|2020| |Unrestricted|Restricted|Total|Total| |Notes|funds£|fund£|funds£|funds2| |INCOME AND ENDOWMENTS|FROM| |Donations and|legacies|2|50,891|5,399|56,290|79,575| |Charitable|activities|5| |Education|4,840,623|-|4,840,623|4,382,480| |Other trading|activities|3|11,618|-|11,618|102,537| |Investment|income|4|278|3|281|2,080| |Total|4,903,410|5,402|4,908,812|4,566,672| |EXPENDITURE|ON| |Raising|funds| |Raising|donations and|legacies|6|500|.|500|19,776| |500|-|500|19,776| |Charitable|activities|?| |Education|4,562,299|-|4,562,299|4,230,292| |Other|2,292|-|2,292|(3,267)| |Total|4,565,091|-|4,565,091|4,246,801| |NET INCOME|338,319|5,402|343,721|319,871| |RECONCILIATION|OF|FUNDS| |Total|funds|brought forward|3,879,026|28,043|3,907,069|3,587,198| |TOTAL FUNDS|CARRIED FORWARD|4,217,345|33,445|4,250,790|3,907,069|

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The notes form part of these financial statements

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SEVENOAKS PREPARATORY SCHOOL LIMITED

STATEMENT OF FINANCIAL POSITION 31 AUGUST 2021

2021 2020
Notes Unrestricted
funds
£		 Restricted
fund
oa		 Total
funds
£		 Total
funds
£
FIXEDASSETS
Tangible assets 15 6,948,582 - 6,948,582 7,201,543
CURRENTASSETS
Debtors
Cash atbank		 16 71,622
1,776,321		 -
33,445		 71,622
1,809,766		 377,126
955,403
1,847,943 33,445 1,881,388 1,332,529
CREDITORS
Amounts falling due within one year 17 (1,271,654) - (1,271,654) (4,347,207)
NETCURRENTASSETS 576,289 33,445 609,734 (3,014,678)
TOTALASSETS LESSCURRENT LIABILITIES 7,524,871 33,445 7,558,316 4,186,865
CREDITORS
Amounts falling due aftermore than oneyear 18 (3,307,526) - (3,307,526 ) (279,796)
NETASSETS 4,217,345 33,445 4,250,790 3,907,069
FUNDS
Unrestricted funds
Restricted funds		 22 4,217,345
3,879,026
33,445
28,043
eee
TOTALFUNDS 4,250,790
SSS		 3,907,069
$n

These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime. .

The financial statements were approved by the Board of Governors and authorised for issue on PAR Hod he 202.2. and were signed on its behalf by:

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S Berry - Governor
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The notes form part of these financial statements

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SEVENOAKS PREPARATORY SCHOOL LIMITED

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2021

2021 2020
Notes p2 2
Cashflowsfrom operating activities
Cashgenerated from operations 1 1,035,573 445,348
Netcash provided byoperating activities 1,035,573 445,348
Cashflows from investing activities
Purchase oftangible fixed assets (179,816) (2,562,321 )
Sale oftangible fixed assets (1,675) 3,267
Interest received 281 2,080
Net cash used in investing activities (181,210) (2,556,974 }
Cash flows from financing activities
New loans in year . 2,586,610
Net cashprovidedbyfinancing activities - 2,586,610
Change incash and cash equivalents in
the reporting period 854 363 474,984
Cash and cash equivalents atthe
beginning ofthe reporting period 955,403 480,419
Cashand cash equivalents attheend of
thereporting period 1,809,766 955,403
————— SS

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The notes form part of these financial statements

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SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2021

1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES

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||||||||| |---|---|---|---|---|---|---|---| |2021|2020| |£|£| |Net income|for the|reporting|period|(as|per the|Statement|of Financial| |Activities)|343,721|319,871| |Adjustments|for:| |Depreciation|charges|432,160|296,231| |Loss/(profit)|on|disposal|of fixed|assets|2,292|(3,267)| |Interest|received|(281)|(2,080)| |Decrease/(increase)|in|debtors|305,504|(27,374)| |Decrease|in creditors|(47,823)|(138,033)| |Net cash|provided|by|operations|1,035,573|445,348| |||—-—_____———..|—<—=<<| |2.|ANALYSIS|OF CHANGES|IN|NET|DEBT|

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|||||||||||| |---|---|---|---|---|---|---|---|---|---|---| |At|1.9.20|Cash|flow|At|31.8.21| |£|£|£| |Net|cash| |Cash|at bank|955,403|854,363|1,809,|766| |955,403|854,363|1,809,766| |Debt| |Debts|falling|due within|1|year|(3,000,000)|3,000,000|-| |Debts|falling|due|after|1|year|-|(3,000,000|}|(3,000,000|)| |(3,000,000)|-|(3,000,000)| |Total|(2,044,597)|854,363|(1,190,234)|

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The notes form part of these financial statements

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SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

  1. ACCOUNTING POLICIES

Basis of preparing the financial statements The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) ‘Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)’, Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of lreland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention. Preparation of the accounts on a going concern basis Accounting standards require the governors to consider the appropriateness of the going concern basis when preparing financial statements. The governors confirm that they believe no material uncertainties exist. The governors have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern. Income All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received, and the amount can be measured reliably. School fee income is accounted for on a receivable basis and consists of charges billed for the school year ended 31 August 2021, less bursaries and allowances. No value added tax is chargeable on the fees rendered Fees received in advance for education to be provided in future years are carried forward as deferred income Donations are accounted for once the school has entitlement to the gift, it is probable that the income will be received, and the amount can be measured reliably. Investment income is accounted when it is receivable, and the amount can be measured reliably. Expenditure and irrecoverable value added tax (vat) Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.

Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings, they have been allocated to activities on a basis consistent with the use of resources. The irrecoverable element of value added tax is included with the related expense.

Administration costs are allocated to the cost of raising funds and charitable activities on the basis of an appropriate apportionment of resources and activities

Governance costs have been allocated in line with administration costs and include those costs associated with meeting the constitutional and statutory requirements of the charity and include audit fees and costs linked to the strategic management of the charity.

Raising funds Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the governors. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. Tangible fixed assets Tangible fixed assets are stated at cost less depreciation. Depreciation is provided on all fixed assets at rates calculated to write off their cost, less estimated residual value, over their expected useful lives by equal annual instalments as follows:

Improvements to leasehold property - 4 to 10% on cost Fixtures and fittings - 25% on cost and 20% on cost Motor vehicles - 15% on cost

Assets under construction are not depreciated.

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SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 AUGUST 2021

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  1. ACCOUNTING POLICIES - continued

Tangible fixed assets

It is the school's policy to capitalise all items of a capital nature over £500.

Impairment of fixed assets

Impairment reviews are carried out if events of changes in circumstances indicate that the carrying value of an asset may not be recoverable. When an impairment review is necessary the carrying amount of an asset is compared with the higher of its net realisable value and value in use and any permanent diminution in value is written off to the Statement of Financial Activities,

Taxation The charity is exempt within the meaning on schedule 3 of the Charities Act 2011 and is considered to pass the tests set out in paragraph 1 schedule 6 to the Finance Act 2020 and therefore meets the definition of a charitable company for UK tax purposes

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease

Donations of goods, services and facilities Donated goods, professional services and facilities are recognised as income when the school has control over the item or has received the service, any conditions associated with the donation have been met, the receipt of the economic benefit from the use of an item by the school is probable, and that economic benefit can be measured reliably On receipt, donated goods, professional services and facilities are recognised on the basis of the value of the gift to the school which is the amount the school would have been willing to pay to obtain the goods, services or facilities on the open market; a corresponding amount is then recognised in expenditure in the period of receipt Goods donated for on-going use by the school in carrying out its day to day activities are recognised as tangible fixed assets Debtors Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid net of any trade discounts due.

Cash at bank and in hand

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Creditors and provisions

Creditors and provisions are recognised when the school has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due Financial instruments The school only has financial assets and financial liabilities of a kind that qualify as basic financial instruments under FRS102. 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

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straighttine basis over the period of the lease.

Pension costs and other post-retirement benefits

Many of the teaching staff are members of the Teachers’ Pension Scheme (TPS), a defined benefit scheme administered by the Teachers' Pension Agency. The Teachers’ Pension Scheme is a multi-employer pension scheme which is unfunded. Actuarial valuations are carried out on a notional set of investments.

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SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 AUGUST 2021

4: ACCOUNTING POLICIES - continued

Debtors

The school is unable to identify its share of the underlying (notional) assets and liabilities of the scheme. Accordingly, under FRS102, the scheme is accounted for as if it were a defined contributions scheme. The school’s contributions, which are in accordance with the recommendations of the Government Actuary, are charged to the Statement of Financial Activities in the period in which the salaries to which they relate are payable

The school also contributes to personal pension schemes for other teachers and non-teaching staff. These schemes are defined contribution schemes. The assets of the schemes are held separately from those of the school in independently administered funds. Contributions payable for the year are charged to the Statement of Financial Activities. The school has no other liabilities under these schemes.

Employee benefits Short ; periodtermin which employeethe servicebenefits isincludingrendered.holidayTerminationpay are benefitsrecognisedareinaccounted the Statementfor onof Financialan accrualActivitiesbasis andin thein accordance with FRS102.

Public benefit

The school is a Public Benefit Entity

2. DONATIONS AND LEGACIES

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||||||||| |---|---|---|---|---|---|---|---| |2021|2020| |Unrestricted|Restricted|Total|Total| |funds|funds|funds|funds| |£|£|£|£| |Donations|27,694|5,399|33,093|79,575| |Gift|aid|23,197|-|23,197|-| |50,891|5,399|56,290|79,575| |3:|OTHER|TRADING|ACTIVITIES| |2021|2020| |Unrestricted|Restricted|Total|Total| |funds|funds|funds|funds| |£|£|£|(3| |External|hire|2,438|-|2,438|2,974| |CJRS|Furlough|grant|claims|9,180|-|9,180|99, 563| |11,618|-|11,618|102,537| |4.|INVESTMENT|INCOME| |2021|2020| |Unrestricted|Restricted|Total|Total| |funds|funds|funds|funds| |£|£|£|FE| |Deposit account|interest|278|3|281|2,080|

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SEVENOAKS PREPARATORY SCHOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 AUGUST 2021

6. INCOME FROM CHARITABLE ACTIVITIES
2021 2020
Total
Education
£		 activities
f
School fees 5,130,648 4,852,279
Registration fees
Bursaries, scholarships and di scounts		 10,377
(299,722)		 9,965
(493,007)
School shop (680) 13,243
4,840,623 4,382,480
6. RAISING DONATIONSAND LEGACIES
Unrestricted
funds		 Restricted
funds		 2021
Total
funds		 2020
Total
funds
£ a 3 £
Fundraising costs 500 - 500 19,776
Ts CHARITABLE ACTIVITIES COSTS
Support
costs (see
note 8)
£
Education 4,562,299
8. SUPPORT COSTS
Finance Welfare
costs		 Development
costs		 Teaching
costs
£ £ £ £
Education 83,942 220,693 34,435 2,577,787
Premises
costs
£		 Support
costs
£		 Governance
costs
gs		 Totals
£
Education 1,135,673 478,455 31,314 4,562,299
Support costs, included in the above, are as follows:
Finance
2021 2020
Total
Education
£		 activities
£
Bank interestand charges 83,942 66,675
Welfare costs
2021 2020
Total
Education
£		 activities
£
Contracted catering staff 129,180 117,633
Costofmeals 91,513 94,272
220,693 211,905

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SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR - continued THE YEAR ENDED 31 AUGUST 2021

8. SUPPORT COSTS- continued
Developmentcosts		 2021
Education		 2020
Total
activities
2 £
Wages
Social security		 31,704
1,944		 25,291
1,091
Pensions 787 493
34,435 26,875
Teaching costs
2021 2020
Total
Education
£		 activities
£
Wages
Socialsecurity
Pensions
Tutors and instructors
Training
Subscriptions
Classroom supplies		 1,903,273
177,627
315,602
20,685
10,632
6,687
143,281
2,577,787		 1,856,635
172,348
328,844
29,058
6.512
9,907
142,697
2,546,001
Premises costs
2021 2020
Education Total
activities
£ £
Wages 92,066 93,436
Social security
Pensions		 9,058
2,762		 8,533
3,532
Rent and rates
Insurance
Heat and light
Repairsandmaintenance
Grounds		 211,828
37,151
59,489
89,769
77,924		 211,003
34.273
66,881
73,765
21,766
Cleaning
Motor& travelling expenses
Depreciation oftangible fixed assets		 115,045
8,421
432,160		 82,079
9,272
296,231
1,135,673 900,771
Support costs
2021 2020
Total
Education
£		 activities
£
Wages
Social security
Pensions		 312,198
30,927
8,463		 291,266
28,298
7,004
Hire ofequipment 25,614 24,534
Telephone
Advertising & marketing
Headmasters entertainment		 8,574
25,727
2,299		 7,458
25,660
1,155
Sundry expenses
Postageand stationery
Legal & professional fees		 145
22,778
41,730		 148
16,830
43,291
478,455 445,644

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SEVENOAKS PREPARATORY SCHOOL LIMITED NOTESFOR THETOYEAR THE FINANCIALENDED 31 AUGUST STATEMENTS2021 - continued 8. SUPPORT COSTS Governance costs- continued

SUPPORT COSTS- continuedcontinued
Governance costs- continued
2021 2020
Total
Education activities
£ £
Governors'expenses 371 548
Auditors' remuneration 8,760 8,800
Accountancyfees 22,183
31,314		 23,073
32,421
NETINCOME/(EXPENDITURE)
Net income/(expenditure) is stated after charging/(crediting):
2021 2020
¢ 5
Depreciation - owned assets
Hire ofplantand machinery		 432,160
25,614		 296,232
24,534
Other operating leases 211,828 211,003
(Deficit)/surptus on disposal offixed assets 2,292 (3,267)
a a
  1. NET INCOME/(EXPENDITURE)

10. AUDITORS' REMUNERATION

Auditors' remuneration for the year totalled £8,760 (2020: £8,800).

  1. GOVERNORS' REMUNERATION AND BENEFITS

None of the Governors (or any persons connected with them) received any remuneration or other benefits from any employment with the school during the current or previous year.

No amounts were due to or from the Governors at the balance sheet date (2020: Enil).

Governors’ expenses
2021- 2020
£ £
Trustees’ expenses 371 548
12. STAFF COSTS
2021 2020
£ £
Wagesandsalaries
Social security costs
Otherpension costs		 2,339,241
219,556
327,614		 2,266,628
210,270
339,873
2,886,411 2,816,771
,
The average monthly number ofemployees during the yearwas as follows:
2021 2020
Employees 85 86

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SEVENOAKS PREPARATORY SCHOOL LIMITED

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NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2021

12; STAFF COSTS - continued

The number of employees whose employee benefits (excluding employer pension costs) exceeded was:

£60,000

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||||||||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---| |2021|2020| |£60,001|-|£70,000|2|2| |£70,001|- £80,000|4|4| |£80,001|- £90,000|-|1| |£90,001|-|£100,000|1|-| |44| |==| |Contributions|totalling|£39,092|(2020:|£36,761)|were|made|during|the|year|to|pension|schemes|on|behalf|of| |employees|whose|employee|benefits|exceed|£60,000.| |The|key|management|personnel|of|the|schoo!|comprise|the|Headmaster,|the|Bursar,|the|Deputy|Head,|the|Head| |of|Pre-Prep,|the|Head|of|Learning|Support|SENco,|Assistant|Heads|and|the|Deputy|Head|of|Pre-Prep.|The|total| |employee|benefits|including|pension|contributions|for|the|key|management|personnel|were|£573,318|(2020:| |£529,280)| |COMPARATIVES FOR THE STATEMENT FOR THE STATEMENT THE STATEMENT STATEMENT|OF|FINANCIAL|ACTIVITIES| |Unrestricted|Restricted|Total| |funds|fund|funds| |£|£|£| |INCOME AND|ENDOWMENTS|FROM| |Donations|and|legacies|72,275|7,300|79,575| |Charitable|activities| |Education|4,382,480|-|4,382,480| |Other|trading|activities|102,537|-|102,537| |Investment|income|2,017|63|2,080| |Total|4,559,309|7,363|4,566,672| |EXPENDITURE|ON| |Raising|funds| |Raising|donations|and|legacies|19,776|-|19,776| |19,776|s|19,776| |Charitable|activities| |Education|4,230,292|-|4,230,292| |Other|(3,267)|e|(3,267)| |Total|4,246,801|-|4,246,801| |NET|INCOME|312,508|7,363|319,871| |RECONCILIATION|OF FUNDS| |Total|funds|brought forward|3,566,518|20,680|3,587,198| |TOTAL|FUNDS CARRIED FORWARD|3,879,026|28,043|3,907,069|

----- End of picture text -----

Contributions totalling £39,092 (2020: £36,761) were made during the year to pension schemes on behalf of employees whose employee benefits exceed £60,000.

  1. COMPARATIVES FOR THE STATEMENT FOR THE STATEMENT THE STATEMENT STATEMENT OF FINANCIAL ACTIVITIES

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SEVENOAKS PREPARATORY SCHOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 AUGUST 2021

  1. LEGAL STATUS

The company, which is registered in England & Wales, is limited by guarantee and has no share capital. The liability of the members in the event of a winding up is limited to £10 each per member.

No one party has overall control of the school.

15. TANGIBLE FIXED ASSETS
Capitalised
finance
lease for
classrooms
E		 Improvements
to
leasehold
prop erty
£		 Fixtures
and
fittings
£		 Motor
vehicles
£		 Totals
£
COST
At1September2020
Additions
Disposals		 134,026
-
-		 8,951,828
170,546
-		 901,636
9,270
-		 76,119
-
(6,171)		 10,063,609
179,816
(6,171)
At 31 August2021 134,026 9,122,374 910,906 69,948 10,237,254
DEPRECIATION
At 1 September2020		 134,026 1,954,456 703,752 69,832 2,862,066
Charge foryear
Eliminated on disposal		 -
-
ne		 350,547
-
SS		 80,398
-
——————		 1,215
(5,554)
———		 432,160
(5,554)
—————
At 31 August 2021 134,026 2,305,003 784,150 65,493 3,288,672
NET BOOKVALUE
At 31 August 2021 - 6,817,371 126,756 4,455 6,948,582
At 31 August2020 - 6,997,372 197,884 6,287 7,201,543
Leasehold property has been pledged as security fora bank loan.
16. DEBTORS
2021 2020
£- 2
Amounts falling due within one year:
Trade debtors 21,194 67,217
Rental deposit
Otherdebtors		 -
-		 19,200
8,081
Prepaid expenses 50,428 32,241
71,622 126,739
Amounts falling due after more than one year:
Retention collateral - 250,387
Aggregate amounts 71,622 377,126
—_—___— ——
  1. DEBTORS

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SEVENOAKS PREPARATORY SCHOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 AUGUST 2021

17. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

17. CREDITORS: AMOUNTS FALLINGAMOUNTS FALLINGFALLING DUE WITHIN ONE YEARWITHIN ONE YEARONE YEARYEAR 2021 2020
£ -
Bank loans and overdrafts (see note 19) - 3,000,000
Trade creditors 67,745 253,037
Social securityand othertaxes
Other creditors		 54,035
39,934		 47,779
40,021
Fees received in advance 1,066,430 974,420
Accrued expenses 43,510 31,950
1,271,654 4,347,207
18. CREDITORS: AMOUNTS FALLING DUE AFTERMORE THAN ONEYEAR
2021 2020
£ £
Bank loans (see note 19) 3,000,000 -
Long term feedeposits 307,526 279,796
3,307,526
-		 279,796
a
19. LOANS
An analysis ofthe maturity of loans isgiven below:
2021 2020
£ £
Amounts falling due within one yearon demand:
Bank loans - 3,000,000
Amounts falling due between two and five years:
Bankloans-2-5years 3,000,000 é

Interest is charged at a fixed rate of 4.01% and is interest only until 28 June 2022 and which point capital repayments start. The loan is repayable after 5 years and will be refinanced at that stage.

  1. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2021 2020
£ £
Within one year
Between one and five years		 207,104
789,903		 209,312
813,407
Inmorethan five years 2,815,200 2,998,800
3,812,207 4,021,519

The charity operates from premises subject to a lease that expires in December 2041 at an annual rental of £183,600 per annum. The rent is reviewed every five years with the next review due in September 2022.

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SEVENOAKS PREPARATORY SCHOOL LIMITED

NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 AUGUST 2021

21. SECURED DEBTS

The following secured debts are included within creditors:

2021 2020
£ £
Bank loans 3,000,000 3,000,000
The bank loan from Handelsbanken has been secured against the land registered
with the		 title
mumber
K739282
MOVEMENT INFUNDS Net
movement At
At 1.9.20 in funds 31.8.21
£ a 3
Unrestricted funds
General fund 3,859,320 339,208 4,198,528
Designated capital fund 19,706 (889) 18,817
3,879,026 338,319 4,217,345
Restricted funds
Restricted Fund 28,043 5,402 33,445
TOTALFUNDS 3,907,069 343,721 4,250,790
Netmovement in funds, included in the above are as follows:
Incoming
resources
£		 Resources
expended
£		 Movement
in funds
£
Unrestricted funds
General fund 4,903,411 (4,564,203 ) 339,208
Designated capital fund (1) (888) (889)
4,903,410 (4,565,091 ) 338,319
Restricted funds
Restricted Fund 5,402 - 5,402
TOTALFUNDS 4,908,812 (4,565,091 ) 343,721
Comparatives formovement infunds
Net
At 1.9.19 movement
in funds		 At
31.8.20
£ £ £
Unrestricted funds
General fund 3,545,924 313,396 3,859,320
Designated capital fund 20,594 (888) 19,706
3,566,518 312,508 3,879,026
Restricted funds
Restricted Fund 20,680 7,363 28,043
TOTALFUNDS 3,587,198 319,871 3,907,069

The bank loan from Handelsbanken has been secured against the land registered with the title mumber K739282 22. MOVEMENT IN FUNDS Net

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SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 AUGUST 2021

  1. MOVEMENT IN FUNDS- continued

----- Start of picture text -----
Comparative net movement in funds, included in the above are as follows:
Incoming
resources Resourcesexpended Movementin funds
£ 7a £
Unrestricted funds
General fund 4,559,309 (4,245,913) 313,396
Designated capital fund - (888) (888)
4,559,309 (4,246,801 ) 312,508
Restricted funds
Restricted Fund 7,363 - 7,363
TOTAL FUNDS 4,566,672 (4,246,801 ) 319,871
----- End of picture text -----

The restricted funds are held as part of the company's bank balance. The bursary fund represents a donation towards a bursary. Also a transfer from the general fund to the bursary fund was made during the year ended 31 August 2017. A separate bursary committee has been established to oversee this fund. The fund aims to support families who may succumb to unforeseen disasters such as sudden bereavement, divorce, redundancy or the collapse of a family business and will provide assistance in paying school fees. The designated capital fund relates to donations received in 2014 to assist with the redevelopment of the junior school. The redevelopment was completed during 2015 and all costs relating to the project were capitalised in the financial statements. A proportion of the depreciation of these costs is being charged to the designated fund each year

23. CAPITAL COMMITMENTS

2021 2020 £ £ Contracted but not provided for in the financial statements . 57,481 The 2020 balance represents the gross retention on the construction of the Centenary Centre. This was financed by reserves, donations and the bank loan. ‘

24. OTHER FINANCIAL COMMITMENTS

PENSION COMMITMENTS

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 £302,998 (2020: £301,715) and at the year-end £24,617 (2020 - £36,419) 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.

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SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 AUGUST 2021 24. OTHER FINANCIAL COMMITMENTS- continued 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. The government announced on 4 February 2021 that it intends to proceed with a deferred choice underpin under which members will be able to choose either legacy or reformed scheme benefits in respect of their service during the period between 1 April 2015 and 31 March 2022 at the point they become payable. 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 a consultation was launched on 24 June on proposed changes to the cost control mechanism following a review by the Government Actuary. The consultation closed to response on 19 August 2021 and the Government is currently analysing the responses. 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 suitabiy revised assumptions would yield different results than those contained in the Actuarial Valuation. Until the cost cap mechanism review is 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 Valuation of the Teachers' Pension Scheme The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014 published by HM Treasury every 4 years. The aim of the review is to specify the level of future contributions. Actuarial scheme valuations are dependent on assumptions about the value of future costs, design of benefits and many other factors. The latest actuarial valuation of the TPS was carried out as at 31 March 2016. The valuation report was published by the Department for Education on 5 March 2019. The key elements of the valuation and subsequent consultation are: o employer contribution rates set at 23.68% of pensionable pay (including a 0.08% administration levy) © total scheme liabilities (pensions currently in payment and the estimated cost of future benefits) for service to the effective date of £218,100 million and notional assets (estimated future contributions together with the notional investments held at the valuation date) of £196,100 million, giving a notional past service deficit of £22,000 million o the SCAPE rate, set by HMT, is used to determine the notional investment return. The current SCAPE rate is 24% above the rate of CPI. assumed real rate of return is 2.4% in excess of prices and 2% in excess of earnings. The rate of real earnings growth is assumed to be 2.2%. The assumed nominal rate of return including earnings growth is 4.45%

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The next valuation result is due to be implemented from 1 April 2023.

A copy of the valuation report and supporting documentation is on the Teachers’ Pensions website.

Under the definitions set out in FRS 102, the TPS is an unfunded multi-employer pension scheme. The Charity has accounted for its contributions to the scheme as if it were a defined contribution scheme.

Government pension scheme

The Charity pays pension contributions to into defined contribution pension schemes for those employees who do not participate in the TPS. The amount recognised as an expense in the year was £24,617 (2020 - £36,419). The amount owed to the pension schemes at the year end was £5,483 (2020 - £5,003).

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NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 AUGUST 2021

25. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31 August 2021,

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SEVENOAKS PREPARATORY SCHOOL LIMITED

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2021

2021 2020
£ £
INCOME ANDENDOWMENTS
Donations and legacies
Donations 33,093 79,575
Gift aid 23,197 -
56,290 79,575
Other trading activities
External hire 2,438 2,974
CJRS Furlough grant claims 9,180 99,563
11,618 102,537
Investment income
Depositaccount interest 281 2,080
Charitable activities
School fees 5,130,648 4,852,279
Registration fees 10,377 9,965
Bursaries, scholarships and di scounts (299,722) (493,007)
School shop (680) 13,243
4,840,623 4,382,480
Total incoming resources 4,908,812 4,566,672
EXPENDITURE
Raising donations and legacies
Fundraising costs 500 19,776
Other
Loss on sale oftangible fixed assets 2,292 (3,267)
Support costs
Finance
Bank interest and charges 83,942 66,675
Welfare costs
Contracted catering staff 129,180 117,633
Cost ofmeals 91,513 94,272
220,693 211,905
Development costs
Wages
Social security
Pensions		 31,704
1,944
787		 25,291
1,091
493
34,435 26,875
Teaching costs
Wages
Social security
Pensions		 1,903,273
177,627
315,602		 1,856,635
172,348
328,844
Carriedforward 2,396,502 2,357,827

This page does not form part of the statutory financial statements

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SEVENOAKS PREPARATORY SCHOOL LIMITED

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2021

2021 2020
Teachingcosts
Brought forward		 >
2,396,502		 £
2,357 827
Tutors and instructors 20,685 29,058
Training 10,632 6,512
Subscriptions
Classroom supplies		 6,687
143,281		 9,907
142,697
2,577,787 2,546,001
Premises costs
Wages 92,066 93,436
Social security 9,058 8,533
Pensions
Rentand rates		 2,762
211,828		 3,532
211,003
Insurance 37,151 34,273
Heatand light 59,489 66,881
Repairsand maintenance
Grounds		 89,769
77,924		 73,765
21,766
Cleaning 115,045 82,079
Motor& travelling expenses 8,421 9,272
Improvements to property 350,547 216,239
Fixturesand fittings 80,398 76,773
Motor vehicles 1,215 3,219
1.135.673 900,771
Support costs
Wages 312,198 291,266
Social security 30,927 28,298
Pensions 8,463 7,004
Hire ofequipment 25,614 24,534
Telephone 8,574 7,458
Advertising & marketing 25,127 25,660
Headmasters entertainment 2,299 1,155
Sundry expenses 145 148
Postage and stationery
Legal &professional fees		 22,778
41,730		 16,830
43,291
478,455 445 644
Governance costs
Governors’ expenses 371 548
Auditors’ remuneration 8,760 8,800
Accountancy fees 22,183 23,073
31,314 32,421
Total resources expended 4,565,091
SSS		 4,246,801
—_
Netincome 343,721 319,871

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