REGISTeRED COMPANY NUM8ER: 03777308 (England and Walo$1 REGISTERED CHARITY NUMBER: 1102% GOVERNORS, REPORT AND AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 FOR SEVENOAKS PREPARATORY SCHOOL LIMITED
SEVENOAKS PREPARATORY SCHOOL LIMITED CONTEKts OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 Pgge Govginors. Rèport 1 to 9 Report of thè Indopgndont Audltors 10 to 11 statemen¢ of Finan¢lal A¢tlvlVe$ 12 Balonce Sheet 13 Cash Flow Statem?nt 14 Notes to the Cash Flow Statsm¢nt 15 Notes to the Flnanclal Statèmènts 16 10 30
SEVENOAKS PREPARATORY SCHOOL UMITED (REGISTERED NUMBER: 037773081 GoveRNORS' RepoRT FOR THE YEAR ENDED 31 AUGUST 2023 The govemors who are 81$0 dire¢tors of the charity for the purposes of the Companies Act 2006, pSent their report the financial s1818ments of Ihe charity for th? year ended 31 Augusl 2023. The governors hav8 adopted the provisions of Ac¢ounting and Reporting by Charitses.. Statement of R8comrn8nd8d Practi( applirab18 to ch8ri1i8s pr8paring their accounts in accordance with th& Financial Reporting Sland8rd applicable in the UK and Republic ol Ireland IFRS 1021 leffectiV8 1 January 20791. OBJECTIVE5 AND ACTIVITIES Oblectlves and aims The School 5eek5 to promde an education for life. 11 a(ms to achieve thi5 through the Way of Life.. together wilh a acadofnic approach that focuses on thg neads of tho individual. In adiJil¢on, th¢ Schoo¢ sets out to encourage evory pupil lo be the b8St they can be. bolh inside and outside the classroom. The School's elh05 Is central to Ils hirns and 8rnph8SIZ85 Strong pasloral care of pupils, nurturing 8ach one arid supporting parenls and childrtsn alike. Our airns are.. - to ensure the saleguardSng of all pupils. to afford all pupils opportunities to su¢wd both inside and outside the Classroom. lo recrult and relain the highest Calibre ol teaching and support staff who ernbody our Way of Lile. - to provide Èxcellent pastoral ¢afe and nurtuie outstanding latk)nshIpS between staff, pupils and par8nts. - to be è wam. friendly. family school. - to provide individualised leamirng which we believe Is best provided for in smal dass 3Ye$. - to utilise technology lo aid student leaming and lo ensure that our ICT proviston complements existing and futuro teaching siraiegi•s - to progress the School's ¢ommilmenl to tsursaries. to deveIop the S¢hool's involvement with local, national and intemationaj charitie5. to malntsin and enhance the S¢hool's environment and facilities. - to rnaintain a balanced budget approa¢h to managing its fi'nancial resources and expenditures. Se¥enoaks Pp Way of Life. l ought to think at all time5 how rny 8v8ry action will 8ffoct othets in my lilè.. parents. friènds, relatK)ns. toach9rs and everyone younger than myself. l ought lo Ir8al all others as I would want to be Irealed mysev. and lake a personal inlerost in how other peopb feel. l ought not lo louch anything thai is not mine. unless with permission or unkss l am being helpfvl, l ought to be polite lo everybody al all times and be positive In my actions. l ought to take responsibllity for my own maturity t)y ensurlro l asslst In the smooth wnning of Ihe $choDI and my home. l ought 10 take ownership of My studies. concentrating and appty1 myself to a¢hieve to the be8l of my ability. l ought to obey in the right spirit the instructsons ol my loachers and parents. l ought lo report immediately any damage or unfortunate behaviour to my teachers andlor my parents. l oughi 10 romomber that in life my aim should be to solve pro$m$ not cause them, lo build bridges rather than knock them down. lo trust others and lo be twsted. lo put tr needs of others first and min8 last, to irnprove and mak8 better whatevef or whoever l am invdved with. l ought. al all bmtss. to be totally honesl to myself and to oth8rs. CHARITABLE 08JECTS The objects of the School as set out in the Artirjes ol As5cciation, are to establish and carry on in GTe4t Britain land any other ¢ountriesl Schools at or by mean5 of which student5 m8y oblain education and instructions in langu8ges. mathematics, geography and history, and al other Subjects whatSO8V8r that may be iKlud8d in a comrnercial, technical. $¢ientffi¢, dassical or academic education. In $8tts'Ag the objectivès the governors h8V8 giv8n car8ful cor¢5ideration lo th8 ChaHty Cornffli5sions' general guKlae on publi¢ benefit. Page 7
SEVENOAKS PREPARATORY SCHOOL LIMITED IREGISTERED NUMBER.. 037773081 GOVERNORS. REPORT FOR THE YEAR ENDED 31 AUGUST 2023 OBJECTIVES AND ACTIVITIES Signlflcant a[¥1t1S Sevenoak5 Pp conb.nues to develop 115 broad 8nd challengsng curriculum 10 eqP children with tho kFKwAedge. ski115 and experience needed for tomorrow. Our location, in 25 acres of well-managed playing fields woodlaTrd. provides not only a vast playground but a150 the opportunity to extend the classroom and deliver hands learnlng indo)rs and out in the open. We are focussed on improving the mental health and wellbeing of all our pupils and staff. A wellbeing team has been Created and rnenlal health prefects appoiftled lo a¢bvety support the emotyonal w&llbÈlng and mental hèalth of the whole school. Arts The ¢hoir inilialty satw outside at both OUT farnily day and the Christmas Bazaar and we returned lo St Niek)18s' Church for the Chri5trna$ Seryre. Throughout the school year. we put on a number of music and drama performances and produclSons suc as the Pre-prep'5 summ8f show as well as the S8nior S¢hool production of'The War of th8 WOrS, 8nd the Middle School production of liver1. The annual House Music Compebtion loc place in October and the House Drama compets.tion look place in July allowing the pupils in Year 8 lo develop th&r leadership skills by running their Houses reheatsals and performance. Our Art scholar3 ware lucky enough to Vl8lt a variety of exhibitions to enhance their studies atKI the Schoofs entry in th8 DSWF Gk)bal canvas art compÈblion was a finalist. Prep Idol, our annual poplro¢k CCert, totsk place in the sumrner lemi. and our largest Èver audierKe. neafy 500 people. witnessed th8 largest number ot bands and perfomiers ever take the st8g8 and perform brillianlly. Pre pr8P Students from KG - Year 2 perfomd in Christrnas shows and in sufntner shows. Sports Tennis On the Tennis front w8 ach8ived an excellent r¥sul¢ at the Kent Championships with iwo boys retaining their title a5 Kent Scho5 Tenni5 Champions and another pupll was selected for the U9 Kent tennis Programme. Football We hèd a su¢cessfvl temi of Football in th8 Colts Football tournaments al Hilden Grange and Somerhill. We entered 5 teams a93inst all the local Prep schools with some excellent perfomian¢es." the cdis A team won the Cup, Colts B lost a clos? s8mtfinal. thÈ Colts C also lost a light Setni Fir¥al, with Ihe Colts E finishing runners up in their Plate competilion. In the annual Sl Michaes's U10 and U11 Ioufnaments we had teams reach the semifina15 losing on penaM'8s and
lden Goal. The Senior first ieam had a difficult season tNJt tnade the semffinal of Ihe New Beawn toumarnent. The Senior 2nd team went unbe8ten which 15 P05itsve indication for next year. Cross Country The Prep had an excellent season of (xoss country with ifflpres5ive individual and team performanc8s Ihroughoul Ihe SQason. We once again held a very successful Thomas Trophy here at the Prep over 400 runners, froln local Independent and 51ate schod5. wllh all part5upan15 electronically lirne¢J. The U11 Boys team won ther race with Individual rneda15 for 1s1 and 3rd places. In thè U13 Boys ra¢é a Prep pupil finished 2nd an¢J the U13 Girt5 were the overall wnners. Dobson Trophy For Ihe first Ume in many year5 we entored the Dobson trophy run at Claremont. After a long drive down to Sl Leonanjwn-sea the U9 gid5 finished 2nd, U11 Boys winning their race wilh 1st and 2nd places. Brncken Cup Somerhlll In the Bracken and Woodmanssie cup held at Somerhill the U11 boys put in th8ir most impr8ssN8 rf0mlOnee of the season wllh four t)Oy8 finishino in Ihe top four places leading lo an impressive le8m score. Hlldon Grangg At the Hilclen Gtange race il was the YeaT 2's tum to take ¢entre stage wrth both the boy5 and girf5 winning their race5 with pupils In both boys 8nd girfs races dairning the winning spot as well a5 a third place in the boys rac8. In the U9 Girls race the Prep placed 3rd. Rugby We had a very enloyable and competitive s8ason of rugby this yeat performing well with some plea5irg results in our fixtures. There was a lol of enjoyrnent and progression throughout the season which was excellent 10 see. In the loumatnents the U11 had a strong showing in the Sd8field toumament with some ImpsSIve resulls. Unfortunately, the Oldroyd 7s IU111 was c8ncelled tw¢e due to Ihe appalling w&alher we witnessed in March but miraculously we man4ge# to hold the Culley Cup IU131. In allrltlonal conditions Ihe standard of rugby was very high wth the Prep finishing 3rd In bhl¢h was a very irnportant 8venl for us considering lan Culley's passiTVJ earfier in Ihe year. Page 2
SEVENOAKS PREPARATORY SCHOOL UMITED IREGISTERED NUMBER: 037773081 GOVERNORS, REPORT FOR THE YEAR ENDED 31 AUGUST 2023 OBJECTVrfES AND ACnVITIES Crlrkel Another fantasti¢ season of tket was had with Ihe 9rowing sye$S of our mlxed cricket programme. Th9 out of tho five senior teams p18yed hardball cricket with a number of glds appearing in the 1st team. The Colts put out 8 teams. 4 of which 8Yed regular hardball matches with Ihe E team also having some experience of hardball matches as the season progres39d. In the Rose Hill T10 Tourrtamenl the Colts A team were crowned champions for the first lime in over a de¢ade. The manner ol wn was particularty notable with a numter of observers highlighting how impressed they were not only with their abilily. but the la¢tu employe¢ and their teamwork and support of each other. One sludenl finished th? sea$on with 3 half cgntunos and was selected for the Kent U11 learn for the summer, a fantastic and well4eserved ach*vement. Ho¢k¥y Hock&y al The Prep continues to go from strength to strength. The U13 won the Sevenoaks School toumament and at the end of the Easter temi the U12 tearn travelled lo the Regional$, having been crown8d Kent U12 hockey charnpion$. We were incr&dibty proud of Ihe way the gids pLqyed against much bigGer sehools. The locus on hockey starting at Year 2 is really paying divmlends and with lots of h8rd work from the girfs., they are irnpioving all the lirne and we have great Jpes for them in years to come. Netball After a very wet th8n frosty start to the netball season we were finally paS&ll to stsrt playing mètthes arKS getbng (xrt lo train. At the start of th8 Season, w8 welcoFTE8d 50rn8 netball 5p8cialist t8ach8r5 frorn Mayfield again ar had an exc8118nl session g8tting back Into th8 swng of things. Y8ar 3 played 88e netball - so fNe 8 sid8 with lots ol chaThging ol position5 and lots of tITne on court trying lo perfecl our footwork. passing. catching and shooting. Year 4 gids transitioned from Bee Neiball to 7-a-slde. Introducing new posittons lo the game.. wng atlack ènd wing defence. Atter a frustrating start lo the season because of the cold and icy courts, Year 5 rnatch85 got under way and the girf5 showed r8al talent by changing p05itiofis whon needed and working as a leam. This attitucje was a150 a strength in the Ul 1s who have shown strOg teamwork aad ¢ollaboration in all of their learn5 and compeled in local IouTnornen15. Two of the U13 pupils w9re awaréed thoiT s¢hool ¢olours for netball by the end of the season and we look loTwaid to hearing about Ih&r progress in the fuluro. Athl•tl¢$ Our Year 5-8 pupils competed in the Dislrfcl Schools, Championship$ in June. 11 was an extremely Suc$$fUl day a bronze medal In the U12 800m and sllver and bronze In the U13 hurdl&s. We were incredibly proud that our pupil$ who pla¢eiJ 1st in Ihe high jump an(J 2nd in the shot put and 2nd in both the 800m and hurdles went on to compete in the National Athleth"cs in 8imiingham on thè 3rd ol J. Trlp$ w0$0p9 Wv have been able to schedule many more trips and workshops for the chitdren ovar the year, som8 of whh are listed below.. The Royal Observatory in Gfeenwith Hasting$ Tonbridge Cast18 Rornan Day The British Museum Horton Kirkby Environmental C8ntre The Whit8 Clrffs of Dov8 River 8oum8 Bushcraft Knol8 House WW1 Battlefi8ld5- Ffance1881gium PGL Marchanls Hill House General Kntswledge Qu Thè Royal ObsaNatory, Greanwich Godstone Fami Sl Nicholas, Church Hastings Chadie and the Choct>late Factory, Wimbledon Frozen, Wsst End The ¢hildren's learning is 81s0 supported during the ye8r by putting on and ailending 8 wde T8ry of workshops, such as STEAM day Whe pupils ma¢5e rockets. Wortd Book Oay, author visits, th8 yearfy Scholastic Book Fair. Readathon, On interactsve science day, Owali and Henna painbng workshop8. visiting perfomiance$ of pantomimes, a zoo v&$it. a screen prinlmg workshop, speciatsst netball tuition, and the ever popular Duck Watch of hat¢hing duckling5. Page 3
SÉVENOAK5 PREPARATORY SCHOOL LIMITED IREGISTERED NUMBER: 037773081 GOVERNORS. REPORT FOR THE YEAR eNDE0 31 AUGUST 2023 OBJECTP4ES AND ACTIVITIES Our regular schod events that invofve our community of children, parènts and staff got back underway including the Quiz Night. the Golf Day. F8mity Cricket Day, Prep Idol, PTrpslock Festival, Grandparents Day, the Maypole Dancing, our Kindergarten Grand Prix, Famity Day and the Christmas Bazaar. Th8 School encourages a more enviTonmental approath wherever il can, and thi5 year has been building on the Eco School ststus with rnore work being done by the children on our Eco Comrnittee lo reduce our impact on the environment. Abngside Ihis, Ihe whole School have benefitted frorn outdoor learning aTid use of wr out(k)or 'foresl' das5rooms and nalural afea5 in our lovely grounds. We havè highly qualified spsaalist siatf wnning these sessions which support thihyren's independence and bve ol nalure os wdl as lea¢hing them new s11$. Publ1¢ benefit Our conhnuing involvernenl as a school Mlh local, national and inlemational charities supports the WO we do in makir children aware of the wkjef enviiotltnent and to lai58 funds for those in need. During th8 school year we hav8 collected food bank donations for Sevenoaks Larder, and the Spring B811 organised by th8 parents rai$6d a large amount of nneY ror Fr+Ènds for Familie$, which is a l(Kal charity supporbng the work of social workers with deppived families. We h8¥e several stsff who a 9overnor5 al otheT local sch(N)Is and donate their time alld skills. and nationally we rais8d lunds for Ihe Salvation Army, M8crnillan Cancer. and Ihe Ptsppy Appeal. Int9matnJ1lY w9 also supptrrted Ihe HalleT C¢mTnunity charity in Kenya and Wè See Hope In Kenya. Molawi. Tanz8nia. Uganda and Zimbabwe frotll WdriOUS iniliaiives that the children Ihemselves set up ènd fan. During each school holiday we host a variety of Clubs and activities run by extemal providers to offer fun and ¢hanenging experiences and in holiday childcare. Our facilities are used for this and they are available to all viorking families whether they attend our school or not. Scholarshlps IYeaTS 6 and 81 The folk)wing Scholarships were awarded to our gupils.. - - 3 Sports Seholarshps 12 Acadetnic Scholarships 1 Musi Scholarship - 2 Arts Stholarships 1 Drama Scholarship Destlllation Schools Pupils gain places al their chosen 11+ 1134 senior independent xhools and many were awarded pla¢es at Iwo or rnore schools. Thi$ Tanged across 14 different ndendent Sthool and 4 grarnrnar 5th¢)ols. FINANCIAL REVIEW Financial pos*tion The incorne of the School arises from fees and donations received and interest eamed on short tem) deposits wilh the bank. The charitable expenditu is all met from this income. The governors consider the assets and the operation of the S¢hool are sufficient in the short term to rnaintain ils oL4igations in lull. The total income duting the year ended 31 August 2023 was £5.700.032 12022.. £5,3.477} and the eXPeIllUre w85 £5.101.20412022.. £4.954.4251 which resulted in a surplus for the year of £598.828 compargd lo a surplus of £379,052 g8nerated in the previous year. Al of the School's expendIlu was spent in advancetnent of it5 charitable obiectwes. Investment pollcy and obloCtlve$ The governois itTrveslment powers are governed by the Mernorandum aa# Articles of As$o¢ialion which permit the govemors lo make any investrnents they deern fit. Most of the funds generated by the School are used in the short temi in achieving the charitable aims and objectives. There a no funds available for external Ion9 lemi investmenls. Short ierm surplu5 funds are held on dep0511 with the bank. Pa98 4
SEVENOAKS PREPARATORY SCHOOL UmED IREG15TERED NUMBER: 037773081 GOVERNOR5. REPORT FOR THE YEAR ENDED 31 AUGUST 2023 FINANCIAL RVrfIEW Re5erye5 poII¢y The govemor5 have a Oicy of holding untricted ¢a5h equal to at lea$1 three months budgeted expenditu to bo retainod as a fyserve which equates to beiween £1.1 m and £1.25m12022.. £1.1rn and £1.25ml.This is intended lo alkjw Ihe school to fund planned maintenan¢e of the buiklings and facilities. to provid8 for future capit81 proj8Ct expenditure on improving the educational faci41ies and for the support of the financial heallh of the business. As this lund is buitt up it may also be depleted a$ the Spend is likeby to take place in large tranthes rather than ¢onts"nuous amounts. and it will then be replenished over th8 following nurnber of year5. Th8 governors are ahvays mindftsl of the need to maintain prudent financial provisions. The School holds r8slriclecJ funds of £58,614 12022.. £52,710) which havè boon donat8d for the fvndiftg of bursariès. Unrestricted fijnds of £5,170,056 12022.. £4,577,1321 allow the school to carry out rt's charitable objectives. The total funds held were £5228,67012022.. £4,629,842). FUTURE PLANS Given the uncertain 8conomic 51tuation lh8 school does not havè any Immedlate pLans for ¢apital devebprnenl However, planned repairs and improvements to the caT path and upgrading of the Sports Hall w511 take place to ensure that we make the best us of the buildings and grounds and contsnue lo provKle high quality. REPORTABLE INCIDENTS Ther8 have been no repK)rtalAè incidents. STRUCTURE. GOVERNANGE ANO MANAGEMENT Govemlng document Th8 charity is controllèd by its governing document. a deed ol IWSL and ThMsbiules a limrted cornpany, limited by guarantee, as defined by the Companies Acl 2006. AppolNtsn•ni and rO•appoin¢m¢nt of gov¢mors The Artides Of Assouation albw lor the to be befv4e8n 88ven and hventy appointed gov8mor5. There are (xjrrenlly 12 on the 8oard. Governors are appointed by the existing Board members in th8 first inslarKe and th8y are re appoiTil8d for 3 yeats and can serve up to a maximum of 3 tem)s of 3 years un19S8 th8r8 are extenuating urcumstallc85. Organl$atlono18tructurg None of the govemors has any benefiaal inter8St in the company. AJI the govermrg &re Members of the company and guarantee to rnntribute £10 in the event of a wnding up The b08rd of governors met at lea51 on(x per terrn on 12 Odober 2022, 16 Mar¢ 2023. 3 May 2023 and 16 June 2023. The main Sub Committse of the govemors is the Executive Commrttee which meets once a month lo dlscuss the day to dèy matters concemed with the running of th8 Schod. Majof itern5 3Fe passed to the Main Boa for discussion. with the Executive Commit18e's recomrnendations. The Chairtnan and Vice Chairman sit on tris Commltlee wilh the Headmaster. Bursar. Deputy Head and H$ad of Pre-Prep in attendan. The other pernn8t Sub Cornmittees are as folli)ws.' Academic Committee Finance and Risk Committee Bursary Committee Estates and Facilities Cofflrnitteo Safaguarding and W8llb8ing Comrnittee C Jones J 8erry K Rush A Durtnell T Homshaw Cbalr Chair Chair Chair Chair The govemors bring many years of experien( in a wide v8ri8ty of professional fields, such as finance. educatton and rnedicine. The 'day to day. runnln9 of the School is delegated to the Headmas18r Luke Harrison and Ihe Bursar, Elizabeth Walsh. Thèy Wofk in cooperation with the Senior Management Team, who are Deputy Head, Head of Pre-Prep. Assistant Heads and Head of Earfy Yeats. Induct and training of ntw governors The Sch1 has appointed one new governor duriny thè year, and she has benefited from onlin8 training including S8f8guarding training. Th8 chair of govgmors attende¢5 the Asso¢iats"on of Gov8ming Bodi8s of Indep8ndent Schools IAG81SI conferen. The Cost ol govemors, CO¥Tses to the School during the year was £195. Page 5
SEVENOAKS PREPARATORY SCHOOL LIMrrED IREGISTERED NUMBER.. 037773081 GOVERNORS. REPORT FOR THE YEAR ENDED 31 AUGUST 2023 STRUCTURE, GOVERNANCE AND AIANAGEMENT Key rnanagem•nt remunernllon In line with pay for all 51aff. key rnanagement pay is considered by the governor5, Finance and Risk Committee who make re¢otnM8nda'9ns lo the full board. In deciding the level of retnuneFatson, the ¢ommiiiee coasider the ujrrent market demand for pupils. the fjnanaal strength of the Sthool and the economic Qullook. The key management rd85 are detailed in rK)le 12 of lh& accounts. COMMUNITY LINKS AND PUBLIC 8ENEFfT Part of the School's aims is to develop involvement with local. nabonal and international charities. This 18 an important W8y of developirlg children's u#rterstanding of wi(ter soetY. During the school year we have collected food bank donations for Seven08ks Larder, and the children, parents and staff worked lo raise money for local charities such as Friends lof Familigs and by donaling Christmas gifts to th& Salvation Amiy. We SUFWTied raising money for national harilie5 such as Macmillan Cancer, the Poppy Appeal and the Red Cross Appe81 for Ukraine, and Intemationally as we raised and donated funds lo Phoenix Fooltsall Acaderny in Ghana, the Haller Community charity in Keny3 and We See Hope in Kenya. Malawi, Tanzania, Uganda and Zimbabwe. During each school holiday we host a WarlY OT clubs and activib.es Nn by extemal provlders to tsffer fun and challeTrJing experierlces arKI in holiday child¢a lo all workn9 families whether they attend our school or not. Engagem•nt wlth employeès The Schod is an equal opportLJnities employer. Full ènd fair ¢on$ideration Is gwen to job appli¢ation$ from d(sabled persons and e consideration is givÉ>n lo their trdining and employment ed$. Consult8t*on with employees has continued al all levels with the aim of taking ih8ir views Into accA)unl whèn decisions are mad8 that ar8 likely to affe¢l their interests. The 51aff Counc continued to be consulted and to contribute sug9Èslions io the •xecliVe. Rlsk management Sevenoaks Pp &hool Board of govemors is responsib for th8 man2gemenl of the risks faced by the School. Risks are identifi¥d. assessed and ntrOL% established throughokjl the year. Th8 full Risk r8gisier is reviewed annLJally by th8 Finance and Risk sub ¢omrnittee of the Board and it 15 a standing item on their t8rmly agenda. The govemofs consider the mator pot?ntial risks to Ihe Schcx)I to be-. - A challenging economic environment adversety affecting pupll numbers & fee Ve1$. Inflationary pressures on certain costs. competiti Irom tK>th independent and state sthools for pupils. Ensuring Safeguarding & Inspection In an increasingly regulated environment. - The unknown impact of the proposed imrK)srtion ol VAT on sckK)ol fees by future Labour Govemmenl. The key ¢orrtrols used by the School to mibgate risks incsude.. Formal agenda for Cofflmitlee and Board activities. Detaile(l Tems of referen for all Commitloes. Comprehensive stralegit planning. bud9etsn9 and rnanagement accounting. Eslablish8d organisaiionat $tw¢lU and lines of reporting. Formal written policies. - Robust 5CnJtiny of Clear authorisation an(J approval levels. - Safer recruitment as required by law for thp protecti)n of th8 vulnerable. - si3V training. Child PTotect¢on 8nd safeguarding. Data piote¢bon measures in ace to prolect the cyber se¢unty of Sthool data including iestriction of access uthenliob"on. the IK)Iding of backpS and purchase of insura Through the risk managernent processes established by the S¢htsol, the governor5 are satisfied that the maiDr risks identified have been adequately rntligate(J where necessary. 11 Is recognised that the systems Can onty provid r8asonabk but not absolute assuran that major risks h8vÈ been adequately managed. Page 6
SEVENOAKS PREPARATORY SCHOOL LIMITED (REGISTERED NUM8ER.' 037773081 GOVERNORS. REPORT FOR THE YEAR ENOED 31 AUGUST 2023 STRUCTURE. GOVERNANCE AND MANAGEMENT Bursary Pollcy This year ltte Charity awarded Bursaries of £47,54610.830A of fee income) 2022.. £39.330 10.75Yo of tee income) from unrgstricted funds. Th8 gOver[r5, policy. in line with that of most other independent schools, Is to award 8ursaries on thg basis of need. M BursarE5 are mean5 tested on applkalon. A Bur58ry fund ha5 been 6Stsblished and is ovetseen by a subcommittee of 3 govemors, the Head and the Bursar. Our airn is to build up a fvnd which will sUPPOrt a child attend the S¢hool. This would be over and above the funds already set aside by the Schoot. Penslon schemes The School participates in the Teachers. Pension Scheme (TPSI for its t8aching Staff and an auto enrolmoni sch8m8 lur¢ by People's Pen5KJns for support staff. The TPS ts an unfunded mutti-employer defined b8n8fits scheme govemod by thè Taa¢hers' Penslon Scheme Regulation$ 2014. Members contribut8 on a 'pay as you go, basis with contribub.ons from members arHJ the employer being credited to the Exchequer. Retirement and oth8r p8nsions benafits are paid by publlc funds provided by Padiament. The employer contribution rate 1$ sel following scheme valuations undertaken by the Goyèmmenl A¢tuary's Dpartmenl. The Current employer contribution rate for the TPS is 23.68%. Following the cOmpb0 of 8 ¢onsJltation process the govemors have limited the contribution as employers to 20.lyn froFn Seplamber 2022 and hav provided a Total Reffluneralion Package ITRPI whiott gives leach8rs th8 option to leathers of either remaining in the TPS or joining an aiiefnative defined contiibulion pension. For the Support Staff Pension administered by Ihe Petsple's PertsloTI the empbyer contribvtion w85 30h. The employee rate increased to 5°h on 61h April 2019. Page 7
SEVENOAKS PREPARATORY SCHOOL LIMITED (REGISTERED NUMBER.. 037773081 GOVERNORS. REPORT FOR THE YEAR ENDED 31 AUGUST 2023 REFERENCE AND ADMINISTRATIVE DETAILS Reglstered Company number 03T17308 IEAgland and Wales) Reglstsrod Charlty rbUmr 1100021 Rggisterod offlce Fawke Cottage Godden Green Sevenoaks Kent TNISOJU Tru¥tee$ Chawman- Ms J S Bery Vice Chairman- E Oalley Dr S BaeY R Burgess Dr M J Carboni Iresignad 16.03.231 P Cheveley T C Dickinson A Durtnell Mrs T L Homshaw Mrs M L 15mail C Jone5 KRRU C J Sution-Ma#¢Kks Iresigned 23.11.221 Mrs A M Stuart lappoinlgd 12.10.221 Company SKretarl&¥ Miss M Peirce Mrs E Wa15h Audltors Azeis Audil Semces RNer House 1 Maidslone Road Sidrup Kènt DA14 SRH SoliGltor¥ Thackray Williams Kings House 3240 Widmore Road Bromley Kent BR1 1RY Bankars Hynddsbanken Sevenoaks BraTKh 1st Fl(x)r 50-52 London Road Bligh5 M9Bdow Sevenvaks Kent TN13 1AS S•nlor Ltrad•rship T•arn H8admastèr- Luke Harrigon Butsar- Elizabelh Wa15 Deputy Head- Jatnes Ashcroft He8d of Pre-Prep- Helen Cook AssBtsni He8d- ktry $ge 31Direclor of AdrriÈsKJn8- Clare HarOn AssL8tsni Head- kèy stage 2- Robin Collings Assistant H8ad- ktry stsge 1- Shannon Wake Head of Earty Years- Louisa Rand Page 8
SEVENOAKS PREPARATORY SCHOOL UMrrED IReGISTERED NUM8ER.' 03Yn3081 GOVERNORS, REPORT FOR THE YEAR ENDED 31 AUGUST 2023 STATEMENT OF GOVERNORS, RESPONSIBIUTIES The governo (who are also the dire¢ttsts of Sevenoaks Preparatory School Limited for th? purpose5 of rMpanY lawl ar8 respon5ib18 for pr8parin9 Iho Govemors. Roport and th8 finanu31 slalement$ in accordanc8 with applicable law and United Kingdom Accounting Stsndards (United Kingdom Generally Ar£8pled Accounting Practice) induding Financial Reporting Staridartl 102'The Financial Reporting Standard applic2ble in the UK and Republic of Ireland.. Company law requires the governoTS to prepare fin8ncial Statements for each financial yèar which give a true and fair view ol the stale of affairs of the Charitable company and of the incorning resourc8s and application of r8sources. including the in¢ome and expenditure, ol the ch8rit8ble cornp8ny for that P8ri. In pr8P8rin9 those financSal Slatornent5, th& 9ovemors are required lo sele¢l suitable a¢¢ounting policies and then apply them consistenuy,. otr)$eNe Ihe methods and principl8s in the Charity SORP.. m8ke judg8menls and 85tirn818S that are reasonable and prudent., prepare the finan¢ial statements on the going concem basis unle55 It k% inappropnate lo presume that the charitable company will conltnue in bjsiness. The govemors a responsible for keepng proper accounting records which disclose with ¥SOnable ac¢ura¢y al any lime the finan¢lal positton of the ¢harilabl8 company and to enable th8rn to ensure that Ihtr finan¢ial statements Comply with the Companies Act 2006. They are 8150 responsible for safeguarding the assets ol the Charitable company and hgnca for taking reaSale steps for th8 pr8velltion and deleclitsA of trauEI and other irregularities. In 80 far as the gov8mors are aware.. there is relevant aUdt inforTnation of whrh the Charitab Company's auditors are unaw8re', and Ihe govemors have taken all gleps that they ought to have taken to make themsdves aware of any relevant 8rt infom)81ion and to establish that the auditors are aware ol that Inlofmation. Approved by order of tho board of govemors on . . I'd .W.. &- 7y..-. and signed on its behalf by.. L. '" M$ J S B8rry-eDvernor Page 9
REPI)RT OF THE INDEPENDENT AUDITORS TO THE MEM8ERS OF SEVENOAKS PREPARATORY SCHOOL UMITED Oplnlon We have audi¢ed the financial statements of Sevenoaks PparatOry Sch¢)ol Limited (the ¢haritsble ¢Dmpany'l for Ihe year ended 31 kngu5t 2023 which eornprise the Stat8menl of Financial Activities. thè Balance Sheet. the Cash Flow Statement and notes lo the financial statetnenls, including a summary of significant atTh11ng policies. The financial reporting framework that has been applied in their pr8paralion is applicable law aTFd United Kingdom Accounting Slanoards IUni18d Kingdom Generally Acc8Pted Accounting Praclicel, including Financi81 Roporting Slandard 102 'fhe Financial R&portino Slandard applicable in the UK and Republic of Ireland.. In our opinlon Ihe financial stat8m8nts'. give a true and fair view ol Ihe slète of the ¢harilable Company's affairs as at 31 August 2023 and of its incorniThJ resour¢es and application of resources, includin9 its income and expenditure, for the year then ended.. have been properfy prepared in accordance wth United Kingdtsm Genwally ACpIed Accounting Practice, induding Financial Rew)rting Slandard 102 The Finantial Repttrts Slandard appli¢able in Ihe UK and Republie ol Ireland,; and have been ppared in accordanc8 With the ruIrementS Of the Companies Ad 2006. 8a8is for oplnlon We conducted our audil in accordance with Intemational Standards on Auditing IUKI IISAS IVKII and applicab law_ Our responsibs'lities under Ihose stalldards are further described in th8 Athitors. responsibilities for Ihe a(ttJit of the financial ststernenls section of our report. We are independent of the charitable compary in accordan with the Èthical Tequiremenis that are Televanl lo our audit ol the financial statements in the UK, including the FRC'S Elhical Standard. and we hav8 fvlfilled our other ethical responsibilrties in accordance wth these requIrnents. We belwe thal the audrt evvjence we h8vo obtained Is suffi¢ienl and appropFiate lo provide a basis for our opènion. on¢luslon$ relatirlg to going concern In auditing the financial stalemenls, we have Cond8 Ihal the governors, use of the gThng concem b8si$ ol accounting in the preparation of the finanaal statements Is appropriate. Based on the work we have performed, we have not idenirfied any material uncèrtainties relatiry to events or eoThlitK)ns that. individually or collectively. may ¢a$t $ignifi¢anl doubl on the charitable company's ability to continue as 8 going concern for a wricxj of at least Melve months from when the financial slaternent5 are auth0ri5ed for issue. Our r&S81b11itles and thè Tespon5ibilities of the governors with $1¢t to going conrn are described in the revant sections of this report. l)ther information The governor5 are responsi for the other inforrnation. The other inlorrnabon comprises th& information iKluded in the Annual Report, otherthan the firancial statemen15 and our Report of the Independent Auditors Ihereon. Our opinion on the financh?l statements does not cover Ihe other information ar)d, 8x¢ept to the extent otrervAse expliot ststad in our report. we do not express any fomi Df assurance conclusion Ihereon. In conne¢lion with ojtsr audit of the financial $tstemenl$. our re5Fv)rsibility is to read th8 Other infom7alton 8nd. in doing so. consider whether the other information is malÈTially 1nconsislgTr1 with the financia slat&men(s or our knOWge oblained in th8 audit or olhgThw58 app8ars lo bg malenally m155taie(S. If we identify 5uth mat8rial inconsislenc18s or appant m81erial mis$l8ietnents. we are reqUid lo determine whether this give5 rise lo a material mis51alemenl in the financial 51atements themselve5. If, based on the work we have performed. we ctsncde that there 15 8 m8lerial missiaM0nt of this other Snlormation. we are required lo report that fa¢t. We have nothing to pOrt in this regard. Oplnions on other mattefs prg$¢rtbed by Companl8s Act 2006 In our opinion, based on th work undertaken in Ihe Course of the audit.. the Infotmahon gwen in the Govemors, RÈport for the financial y8ar for which the financial slalements a prepared consistent with th& financial slalernents,. and the Governors. Rew)rt has b8en prepared in a¢¢or¢Jance wth applicable legal r8quirements. Mattèrs rjn whl¢h we are requlred to report by exception In the light of the kn¢)wledge and understanding of ¢harilats wmpany and ils environrnoTr1 obtained in the course of the audit, we hav8 not identified Tnatell misstat8mnls in the Governors, Report. We have nothing to pOrt in re5P8Ct of the lolknr¥J mattets where th9 Companie5 Act 21K16 requires us to rel lo you if, in our opinion.. dequate aCColing Cor{l5 have r¥)t been kepl or fÈtorfts adequate lor our audit have not be8n recved Irom branches not Visited by us". or the fwancial stat8ments a not in agreefflent with the ac¢ounlin9 words alld retums.. or certain disclosures of govertr$, retnunerakn'on specified by law are not made." or we have not receiv8d all ihe infom)ation and explanation8 we require for our audil.- or the oovernots were mt 8ntilled lo take advantsge of the small compani8s exèmption from the requirement to prepar a Slralegi¢ Report Of in pr8parin9 the govemots. ReporL Page 10
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SEVENOAKS PREPARATORY SCHOOL LIMITED R•spon$tb115th$ of gov•mors As expkined MO fvlly in the Statement of Govemors, Responsibilities, the governors Iwhts are also the d1clOrS of th8 charitable company for Itie purposes of cornpany lawl are spOnsible for the prtparation of the finan¢ial Ststements and for b¢ing satisfied thai they give a true and fair vigw. aThJ for such lftlemal ¢ontrcl as the govemors dètetmine is necessary to enab¢e the preparation of ffinan¢lal statements that are free from material misstatement. Nvhether due lo fraLtd or error. In pp?rfng Ihe finawial statements. the govemors are responsible for assessing the charitsble ¢ompany'$ ablllty to ¢onts"nue as a going concern, dClos4n9, as applicable, matters related lo goin9 concem and using the going concem basis of accounts'ng ufiles5 the governor5 erther intend to INuidate the tharilable Company or to cease operth"on5, or have no realisb¢ allemative but its do so. Our rgsponsibiliti•s for th• Oudil of ihe finan¢ial $tstgmonts Our objoctivos are 10 obiain reasonable assurance ab(>ul whether Ihe financial statements as a whole 8fe free from material mssstalemenl. whether due to fraud or error. and lo issue a Report of the Independtnl Auditors that indudes our opinion. Reasonable assurance is a high level of assurance, tAJl is not a guarantee th81 an audit conducted In accordance with ISAS IUKI will always deie¢t a material misstatement when it exists. Misststements can aris8 from fraud or error and are ¢on%dered material rf, individually Dr in th8 aggregate, they could r8asonably be expected to influence the economlc derisions of users taken on the basis of thgse financi81 staLernents. The extent to our ppo¢edure$ are cap2bl8 of detecling irregulaTrli8s, including fraud i% detailed below.. o Enquiry of managemenl and th058 charg8d with govemarsce around actual and potential litigation and daim8 as wdl as actual, suspected and all8ged fraud., o Revwng minutes of mget1ngs ofthos8 charged with govÈmanc8', o Ass&ssing the exlenl of compliance wilh the laws and regulations consid8red lo have a dirett material effect on th8 financial statem8nts or th8 OP8rations of the cornpany through enquiry and >n5pection'. o Reviewing financial statement disclosures and testiThJ to Supporting do¢umentstK)n to assess compliance with applicable laws an(J gulatiOns.. o PÈrtorming audit work over the risk of management bias and override of controls, including testirvJ of journal entries aTrd other adjustments for approprial8ness, evaluating the business ratnal8 01 5ignificallt transactions outside Ihe normal course of business and reviewing accounlifjg estimatos for indicatots of potential bias. B8cause of the inherent lirnitalions of an audit. there is a risk that we wdl not detect all irre9ularilies. including those le8d¢ng to a mateiial misstatement in the finan¢ial statements or non-complian¢e wlh wulation. r4$k in¢3$e$ Ihe rnore Ihat Corn1#n with a law or regulation is rnVe from the events and transactions ffected in the financ31 stalemenis, as we w4l be less Ilkety lo become awa of inslances of non-¢ompllancs. The risk Is also greater regardlng irregularitie5 occurring due to fraud rather than errtsr. as fraud involves irtenlional CA)n¢ealmenl. forgery. collusion, omission or misr8pr858lttation. A further description of our responsiivlities lor the audit of the finanual stalemenl$ 1$ located on the Fn8ncial Reporting Council's wtrbsitè at www.fr¢.tsrg.uklauditorsresponsibililios. This description fom)s part ol our Rep(t ol the Ind#pondent Auditors. of our r•port This report 1$ made solely to Ihe tharilablÈ compar¢y's members, as a body, in 8ccordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so thal we Might slate to th8 Charitab company'$ members those matter$ we are required to state to th8m in an auditor5, r8POrt and for no other purpose. To the knllest extent pemiitted by law. we do not accept OT 8ssume responsibility to anyon8 other than the Charitabl8 cornpany and the ¢haritable ¢ompanWs m&mbers as a ty, for our audit work, for this report, or for the opinions we have fomied. Kl Wilkes FCA (Senior Statutory Auditorl for and on beh81f ofA2ets Audrt ServKes River House 1 Maid5ton8 Road Sidcup Kent DA14 5RH Dato.1a..May.2.Q2.4................ Page11
SEVENOAKS PREPARATORY SCHIJOL UMITED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 202J 2023 2022 Designated fixed assgt fund UnTestric18d fund Restricted fund Total funds Totsl fun(ts Noles INCOME AND ENDOWMENTS FROM Donations and legacles 84.909 5,OlJ) 89,909 57,417 Charitsble activitles Edu¢aJon 5,570.149 5.570.149 5.265,499 Other trading aclivities Investment Inwme Other in¢ome 6,140 26,695 6.235 6.140 27,599 6.235 2.636 3,040 904 Totsl 5,694.128 5.904 5.700.032 5 333 477 EXPENDITURE ON Ralslng lunds Raising donations and legaoes 46.663 46.663 46,663 4fj,663 17,482 Charttable activrlie$ Education 5,052,910 889 5,053,799 4.936,347 Other 742 742 Total 5,11)0,315 889 5.101,204 4.954 425 NET INCOMEIIEXPENDITUREI 593,813 3,649.5901 18891 3.649.5) 598.828 379.052 TTansf•Ts betsmen ful$ 23 Net movemènt In fund$ 13,055,777) 3,648.701 5,904 598.828 379,052 RE¢ONCIUATrON OF FUNDS Total fund5 brought foN¥ard 4,559.203 17,929 52,710 4,629.842 4.2SO,790 TOTAL FUNDS CARRIED FORWARO 1.503.426 3,666,630 58,814 5,228,670 4,629.842 CONTINUING OPERATIONS All Income and expenditvre has arisen from continuing activities. The Statetn8nl of Financial A¢tMtie$ includ65 all gains and losses cogniSed In the year. The notes forn part of Ihese finanoal statements Page 12
SEVENOAKS PREPARATORY SCMOOL LIMITED IReGISTEReD NUMBER: 0377n081 BALANCE SHEET 31 AUGUST2023 2023 2022 Notes FIXED ASSETS Tanglbl¥ assets 15 8.312,173 8,562,839 CURRENT ASSETS Debtors Investments Cash at bank 16 17 132,818 200,000 2 749,534 70.806 2,487,348 3,082,352 2,558,154 CREDITORS Amounts fallin9 due withirÈ one y8af 18 11,145,947) 11,173,936) NET CURRENT ASSETS 1,936,405 1.384,218 YOTAL ASSETS LESS CURRENT LIABILITIES 8,248,578 7,947.057 CREDITORS Amounis faHing due after more than on8 year 19 13,019,9081 13,317,215) NET ASSETS 5,228.670 4.629.842 FUNLIS Unrestricted funds.. General fund Designated fixed asset fund 23 1,SD3,426 3,666,630 4.559,203 17.929 5 170,D56 4,577,132 Rèsrricled funds 58,614 52,710 TOTAL FUNDS 5.228.670 4.629.842 Those financial statements have been prepared in ac¢ordan¢e with the provÈ5ions appluble to ¢harit8ble companies subject to the small ¢ompanies regime. e fina[181 slat nts were approvett by the Board of Gov8mors and Aulhorsèd for issue on and were Sned on ils by.. 4 P- J S 88ry- Governor The no188 fom part olthèsè finana81 stalemonts Pag• 13
SEVENOAKS PREPARATORY SCHOOL UMITED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 AUGUST 2023 2023 2022 Note$ Cash flows from operatlng acdvltles Cash generated from operdtions Interest element of finance le8se payrnents paid 766.240 682,527 7421 Nel cash PTovided by operating activities 765.498 681.931 Cash flows from Investing activltles Purchase of tangible fixed assets S3le ol langible fix8d assets Investfflent in fixed term deposits Intere51 received 1185,7161 9,475 1200,0001 27,599 132,1821 4,885 3.040 Net cash used in investh.ng 3clNrties 348,6421 24.257} Cash ljows from flnanclng actlvltJ•s Loan paYrnent5 in year Finance lease repayments 1150.0001 19.908 Net cash lu$ed inyprovided by finanong acti¥ili8S 154,6701 hange in cash and cash equivalents In th typortlng perlod Cash and cash equivalents at the beglnnln9 01th¢ r•porting period 262,186 677,582 2,487,348 1 809 766 Cash and tash quival¥nts at the end of the roportlng wilo 2,749,534 2 487 348 notes form payt of these financial statements Page 14
SEVENOAKS PREPARATORY SCHOOL LIMED NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 31 AUGUST 2023 RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPEIiAYING ACTIVITIES 2023 2022 Not incom• for thp r•porting P•Tiod la$ per Ihe Stst•m¢nt of Flnan¢lal A¢tlvltl8s1 Adlu$tment$ for.. DepreGiation charges Profil on disposal of fixed assets Inte$t received Int$resl &lem¢nt ol hi purd)ase and f nance lease rent81 payments Iln¢reaseyde¢rease In debtors De¢reas$ in ¢redrtors 598,828 379,052 433,143 16,2351 127,5991 742 162.0131 170,6261 417,925 14,8851 13,0401 596 816 107 9371 N•t ¢•sh provlded by op¢ratl¢)n$ 766.240 682.527 ANALYSIS OF CHANGES IN NET IDEBT>IFUNDS Al 1.9.22 Cash 1kn4 Al 31.8.23 Net caah Cash et bank 2,487.348 262,186 2,749,534 2 487 348 262,188 2 749,534 Llould re$ouTces Deposits included in sh Curr8nt 8s88t investments 200.DOO 200.000 200.000 200.000 Dgbt Finance leases Debts fallin9 due within 1 year Debts falling rjue after 1 year 119,9081 1150,0001 2 850,000 4,670 115.2381 1150.0001 2.700.0001 150.000 3,019,908 154.670 2 865 2381 Total 532,560 616.856 84,296 The note8 forn part of Ihe5e financial statements Page 15
SEVENOAKS PREPARATORY SCHOOL UMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 ACCOUNTING POLICIES Ba$1$ of preparing the financlal statements The financial statem8nls of Ihe charitsbl& company. whi¢h is a public benefit enlty under FRS 102, have been prepared in accord8fFce with the Charties SORP IFRS 1021 'A¢¢ounting and Reporting by Chariti8s'. Sl8lem8nl of Re¢¢mmended Practice applicable lo eharilies preparing their accounts in accordance with the Financ481 Reporbng Standard appll¢able in the UK and Republic of Ireland IFRS 1021 leffective 1 January 20191,. Financial Reporbng Standard 102 'The Financial Reporting Standard applicable In the UK and Republic of Ireland,. the Charit$ Act 2011 and the Cornpanies Act 2006. The financial slalernents have been prepared under the historical cost c¢nventK)n. Sevenoaks Preparatory School Limitsd is govemed un¢Jer 115 Mernoranclurn and Article5 of A550ciation. The address of lh& pnncipal offr8 is giv$n In the Informati on page 8 of these financial statemenis. The rnalure ol Ihe School's operations and principal activities are sel out on pages 110 4. The flnancial slalements are prepared on 8 90in9 ¢on¢em basis under the histori¢al cost convention. modif18d to include rIa&n items al fair value. The financial statèments are prepared in slertin9 which is the funclKJnal currency of the charity. The $1gnffi¢ant accounting policies applied in the preparation of thes¥ finan¢ial statements are Set out bgbw. These rM)lides have been consi5tenUy applied lo all years prèsented unless otherbtrise ststed. Crltlcal accountlng ludg¢mtnts and k•y sources of e5tlmation uncertalnty Accounting esiimates an¢J judgements a continually evalualed and are base¢J on hislorc&l eXrienCe and olher factors, includlng expe¢tab"ons of futu events that are belie¥e£l lo be reaSonae under the circuln51ate$. The following judgemenls18part from those invdvtng eslimatesl have been made in the pro¢ess of applying the above a¢counting poliCS that have had the most signifi¢ant effeci afflounls recogni5ed in the financwl statements". Bad debt provision Useful oconomic Ilvès of tangible assets The annual depreciation charge for tangible a55ets is sensitive to changes in the estimated useful economic liwes and residual values of Ihe 85sets. The useful economic lives and residual values are re-assessed annually. They are amended when neSary to reflect current eslirnates, based on technological advancement. future inveslrnents, economic utilisation and the physical £onL*lln of the assets. See note 13 for the carrying amount of the property aTht and equipment. an4J note 1 for the useful eC0fMiC lives foreach class of assets. There are no key assumptions conceming the futu and other key sour5 of estirnation uncertainly al Ihe repong date Ihal have 8 srgnificanl ftsk of ¢ausing a maiwal adju5trnenl to the carrying arnount5 of assets and liabilitie$ wilhin the nextfinarrid year. Income All income is ¢09n1$ed in Ihe Statement of Financial Aclivrties once Ihe charity has ents"tlement lo the funds. tt i8 Prob8b that the incomo will be received, and th8 affiount can be measured fiay. Schod fee in¢ome 15 accounted ft)r on a recwvabl& basts and consists of Charges billed for the Scho year 8nded 31 Augusi, les5 but5ari85 and allohvdnces. No valu8 added tax is Ghargeable on the fees rendered. Fees received in advance lor education to be provided in future years ar& carried forwar0 as deferred income. DonalK)ns are accounted for on¢e the school has entitlement lo the gift, it B probable that the in¢ome will be recewed. and the 8mounl be measured reliably. Investment incotne Is accounted when it is ceIVable. and the amount can be rnea5ured reliably. Expendltui• and Irrecoverable value added tax Ivati Liabilities are recognised as 8xpenditurÈ as soon 35 there 15 a legal or constfuctnie obligation committing the charity tri that expenditure, it is probable that a transf$r of economic benefi15 will b8 required I s8th8m8nt and th8 amount of the obligation can be measured reliably. EXpeIlure is accounted for on an aCCfu8ls basis and has been classif ed under headlngs Ihal agg9te all cost related to the category. Where costs cannot be directly allributed lo parti¢ular headings, they have been allo¢aled t0 3cliviiies on a basis conststent with the use of resources. Page 16 conlinued...
SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS - ¢ontlnu•d FOR THE YEAR ENOED 31 AUGUST 2023 ACCOUNTING POUCIES- eontlnuod Expendtture 8nd Irro¢overablo valuo add•d tax l¥atl The irr8COV8rable element tsf value a(kSed tax Is included with th8 related expens8. Admlnislratiw o)sts are allocated to the cost of raising funds and charitable activitles On the basis of an appropriate apportionment ol resources aNI a¢tniities. Govemancè Costs have been allocated in line wth 8drninistr8tion costs and indude those Costs assotyaled with meeting the constSlutK)nal and statutory requiiern8nts of th8 charity and includ8 audit rees anij costs linked lo thè strategic rnanagement of the th8rity. Funds Unrestrtcte(I funds Can be used in arxordance with the charitable objectNe5 at the discretion of the govemors. DesKJnated funds late to Ihe net bk value of fixed awt$ held by thè sthool l&ss the outstandng loans held. Restrlcied funds can only be used for particitlar purposes wh1n the object5 of th8 school. ReStrtIonS arise when specified by the doThor or when funds are raised lor particular restrict pUoSeS. Further explanation ol the naturo and purpose of each lund is induded in the notes to the finan081 statements. T•nglbl& fixod a$$•ts Tangible fixed assets are stated at cost less depreciation. Depreciation is provided on all fixed assets al rates ¢al¢ulated to write oll thgir eosl, 18ss eslimaled residual value. over their expected usèful lives by equal annual instslments as follows.. Capita118ed financ8 188se for classroorns- 10Yo on cosl Improvements lo leasehold property - 4 to 10% on cost Fixtures and fittings - 25% on cost and 20% tsn cost Motor vehic18S 15Vp on cost It is the schr5 policy to capiialiso all items of a Capital nati1 over £500. lrnpalrmont of flxed as$•ts 1rnpairfflent rpviews are carria out if events of changes in urcumslances indlcate that the carrying value of an assei may not be recoverable. When an irnpairrnenl revi8W 15 necessary the Garwng amount of an asset is compared with the higher of nel realisable valuè and valua in use and any perman¢nt diminution in value writien ott to the Staletnent ol F*nan¢id Adivites. Taxation The Eharity is exempt wilhin Ihe meaniag on sch8dule 3 of the Charities Act 2071 and is ¢Onsrfled lo pass the tests set out in pardgraph 1 schedule 6 to the Fnar8 Act 2020 and therelore meets Ihe definitKJn of a charitable company for UK tax purrK)ses. Hire pur¢has• and leaslng ¢ommltments Assets obtained urK5ef hire purchase contracts or financ8 18a585 aro capttali5ed in Ihe Balancè Sheet. TkM)$0 held under hire purchase conlfacts are d8preciat8d ov8r their estimated usgful lives. Those held under fin8n¢e loases are depreriated over their estimated useful lives or the lease term. whichever is $hort8r. The interest element of these obligations is charged to the siatemenl of Flnancial Activiti85 OV8T the relevant p&rH)d. The Capital element of the luture paym8nts 15 Ireaied as a liabilfty. Rentsls paid under op8ralirg leases are charged to the Statement of Finanaal Activities on 8 Straht line b8515 over the period of the lease. Donatlon$ o19ood$, s8rvlc•s and facilltie$ Donated wods, prof8Ssional 88NC85 and facllits.es are recognised as incorne wh8n th8 School has control ovor the item or has reiVed the service, any conditions assOQated wth the donation have been met, the receipt of the e¢onomi¢ benefit from the use of an it8m by tbo s¢h¢)ol Is probable. and that econofflic bonefil can be measured reliably. Page 17 )ntinu8d...
SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 AUGUST 2023 ACCOUNTING POUCIES- continued Donatlons of good$, 6•rvl¢•s and facilltl8S On receipt, donated goods, professional 5erwces and falitS are recognis8d on th8 basis ol the value of th8 gift to the school which is anUnt the school would have been wlling lo pay lo obtain the goods, ser¥ic8s or 18clities on the open market.. ? corresponding arnount 15 then cOgnised in expendilure in the period of receipt. Goods donated lor on-going use by the school in carrying out 11$ day to day acDvits'e5 are cognised a5 lan9ible fixed assels. Debtors Trade and oth¢r debtors are recognised at Ihe s8tt18m8nl arTh)unt due. Prepayments are valued at the amount prepaid net of any trade di5coun15 due. Cash at bank and In hand Cash 81 bank and in h8nd ndleS ¢ash and short lern highly liqu inveslrn8nts with a short mat¢¢rity of three onths or18S8 from the dale of acquisition 01 opening of the deposit or similar a(X0nI. Current aSS•t investnnts CU(nt asset investsnonts include long-lemi IiquTd investments with maturity of three months or more are inttk8lly slated at ttan5action value and subsequenuy measured al Iheir selllemenl value. Credltors and provi51ons Creditors and provisKJns a recDgnised when the school has a pr8s&nl oNigalion resulttng frorn a past evenl thal will probably resull In the Iransf8r of fvnds lo a third party and the amount due to setue the obligatK)n can b8 measured or eslimaled reliably. Creditors and provisk)ns are nonnally rectsgnised al Iheir seluernent amount after allowing for any trade discoufjts due. Financial in$trum*nts The scknl only has financial assets and financial liabilitTes ol a kn.nd that qualify as basic financial instNments under FRS102. Basic finanGial Instruments are initially recogni5ed al transaction value and subsequently measured at their selllèmenl value with the 8Xe8Ption of bank loans whl¢h are subs•quenUy rneasuie(J at amorknse(I cost using th8 gffeclive 1rnteSt method. Hlré purchaso and leaslng commblmènts Rentals paid under operating leas88 a Charged to the Statement of Financial Activities on a slrayht-line basis over the peii(Kl of the lease. Penslon ¢osts and other post-retlrement benelits Many of the teaching staff are mernbers of the Tgachers. Ponsw)n Scheffl8 ITPSI, a defined benefit s¢heme administered by the Tea¢her5' Pension ncy. The Teachers, Pension Scheffle is a mulli-employer non scheme which 1$ unfunded. Actuarial valuations are ¢amEd out on a notional sg10l inveslrnenls. The schwl is unablg to identify its 5har8 of Ihe und8rlying Inolionall a5set5 and liatm11t of th? schem8. Accotdingly, under FRS102. the srherne 15 accounted for as If il We a defined ¢oniribulions scheme. The School's ¢ontributK)ns. which are Jn aOrdance with Ihe reeommendations of the (>)verntnent Actuary. are charged to the Staternent of Financial A¢tiwlie5 in Ihe period in whith the salaries to which they relate aro p8yable. The sthool also contri)utes lo personal scherngs for other teachers tK)n-teathing staff. Thesg 5ehemes are defined ¢onlribution schemes. The assets of the schernes are held separately from those of the school in indep8ndÈnlly admlllistered funds. Contnbutions payable for the year are charged to the Statement tsf Finanoal Aclivi118s. The sth(y)I has no other liabilities under thèse schernes. Employee benefits Short term employee benefits in¢luding hdiday pay are CognISed in the Stalefflent of Financial Aclivih"8s in the peri)d in which the setvi¢e Is rendered. Termination benefits a accounted for on an accrual basis arKI i accordance with FRSIO2. Public benefit Thè s¢hool is a PuL4ic Benefit Entity Pagb 18 continued...
SEVEMOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS- corttlnu•d FOR THE YEAR ENDED 31 AUGUST 2023 DONATIONS AND LEGACIES 2023 Total lunds 2022 Total funds un$t11cle0 funds R8strEted funds Donatlons Gift aid 83,855 1.054 5,000 88,855 1,054 52,651 4,766 84.909 89.909 57.417 OTHER TRADING ACTNITIES 2023 Total fund$ 2022 Total funds Unr8Stricted funds R8Stricted lunds Extern81 hire 6.140 6,140 2.636 INVESTMENT INCOME 2023 Total lund5 2022 Totsl fund¥ Unigslrictod funds Restri¢ted funds Deposit ac¢ounl interest 26,695 904 INCOME FROM CHARITABLE ACTIVITIES 2023 2022 School fees R8gi8tralion f88S Bur58ries, scholarship5 and discounts Sehcol shop 5.728.084 7,775 1169.8991 3,989 5,372.877 6,310 1141.3431 27,65S 5.570.149 5.265.499 RAISING DONATIONS AND LEGACIES 2023 Total lunds 2022 Total funds unrestrted funds Restricted funds Fundraisin9 costs 46,663 46 663 17,482 CHARITABLE ACTNMES COSTS Support cosis l$ee note 81 Education 5.053.799 Page 19 con*'nued...
SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS . ¢onllnued FOR THE YEAR ENDED 31 AUGUST 2023 SUPPORT COSTS Welfar& ¢osts Devement ost$ Teaching ¢osls Finance Education 121.213 329.924 20,070 2,828.832 Prernise5 costs Support costs Gov8rnanc8 costs Totals Educalv)n 1248.956 475,459 5,053,799 Support costs, included in the above, a as lollows. Flnance 2023 2022 Total adNities Edu&qtion Bank Ir>tesI and charyes 121,213 123,246 Welfare costs 2023 2022 Total a¢tivib"es Education ConlraGteil catering staff Cost of mea15 173,487 156,437 167.879 132.444 329.924 300,323 Devobopmnl eostS 2023 2022 Total activities Education Wages Social security Pensons 18,243 1,280 547 28.745 1,943 830 20.070 31.518 TeaGhlng costs 2023 2022 Tolal adivits8S Education Wages Social security Pensions Tutors and instructors Tiaining Subscriptions Ca5sroom supplies 2.070,584 202,8 326,918 28,306 23,266 9,102 167,760 1.991,008 200,604 346,047 44.120 13,466 7.235 237,298 2.828,832 2.839.778 Page 20 continued...
SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS- ¢ontlnu8d FOR THE YEAR ENDED 31 AUGUST 2023 SUPPORT COSTS- ¢ontIn Prmi$t$ ¢05ts 2023 2022 Tot81 activities Educèlion W8ge5 Social security Pensions Rent and rates Insurance Heat and light ReparS and matnlenarKe Grounds Cleaning Motor & travelling exp8ns8S Depr&a.0 of tar#Jitle fixed assets 103.311 10,638 3,099 229,305 48.657 120.359 92,348 47.990 129.622 30.484 433.142 100.608 10,555 2,905 214,579 35.609 88.990 70.807 38.035 113.190 10.977 417.923 1248.955 1 104,176 Support Costs 2023 2022 Total activities EdueatK)n Wages Soci81 security PensK)ns Hife of eqvipmeni Telephone Advert+5ing & markellng Headmasters entsrtainment Sundry expeA$es Postage and stationery Legal & professional fe8$ 317,414 31,803 9,523 23,223 9,082 28,816 827 2.466 20,684 31.621 314,388 31,922 8,334 35,705 8,392 33,325 1,961 3.198 22.601 49.362 475.4S9 509.188 Governance costs 2023 2022 Total actNities EduCatn Govemors, expen5tsS Auditor5. retnuneralon AcCnIanCY fees 954 10.125 18.266 448 9.315 18.353 29,345 28,116 NET INCOMEIIEXPENDITUREI Net incomellexpendilurel is stated aft8r charglngllcreditingl.. 2023 2022 Dopr8aation- owned assgls Depreoation- assets on hi purchase contracts and financ818a5S Hire of plani and rna¢hinery Other operating leas8$ su¥Us on dispos81 of fixed assets 428.678 4.464 23,223 229,305 6.2351 413.461 4.464 35.705 214.579 4.6851 Paga 21 c4)ntinuod...
sevENOAKS PREPARATORY SCHOOL LIMrrED NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENOED 31 AUGUST 2023 10. AUDITORS. REMUNERATION Audsto¥s' rernun8r3bon for the year totalled £10.125 12022.. £9.3151. 11. GOVERNORS. REMUNERATION AND BENEFITS None of the gowernors lor any person5 connected with them) r8CaiV8d any 18rnUn8ration or 0th8r benefits fr(x any employment wrth the 5¢hool during the current or premous year. No amounts were due tts or from the governors at the balance sh8et d8te12022.. £nill. Govemor5' expen8e$ 2023 2022 Tru5le&s' exp8ns8s 954 448 12. STAFF CQSTS 2023 2022 Wages 8nd salar4es Social security costs Other pension costs 2,509,552 246,617 2.434,749 245,024 358,116 3.096,256 3.037.889 Th8 average monihly number of employees duriThJ the ar was as follows.. 2023 83 2022 Ernployees The number of employees whose ernployee benefits lexckttling employer pÈnsion ¢ost$l ex¢eeded £60,000 %WdS'. 2023 2022 £70,001- £80,000 £80.001 - £90,000 £90,001 _ £100,000 Conthbutions totalling £48.283 12022: £55,716) were made duwing the year to pension schemes on behalf of employees whose employee benefits exce8d £60,000. The key management pet50nnel of the schrA)I comprise the Headffla5ter, the eursar. the Deputy Head. the Head of Pre-Prep,. Assistant Mead5 and the Head ol Earty Years. Thè totsl ernployee b8nefils inckjding wnsion ¢ontsibubons for the key management personnel were £694.251 12022 £675.2861. Page 22 continued...
SEVENOAKS PREPAIIATORY SCHOOL UMITED NOTES TO THE FINANCIAL STATEMENTS- ¢ontlnu FOR THE YEAR ENDED 31 AUGUST 2023 13. C¢)MPARATIVES FOR THE STATEMENT OF FINANCIAL ACTMTIES Dasigna18d f5xed ass81 rund UnreslrKt8d fnd Restricted fund Totsl lunds INCOME AND ENDOWMENTS FROM Donations and leg8CI8S 38,217 19,200 57,417 Charftablo actlvltFO$ Education 5.265.499 5.265,499 Other Iradlng activities Investment inctsme Other income 2,638 2.974 2,636 3.040 Total 5314211 5 333 477 EXPENDITURE ON Ralsln9 funds Rai5Mg donations and l8gacE8S 17,482 17,482 Charitable actlvttles Education 4,935,459 4.936,347 Othei 596 596 Total 4,953,537 887 4.954,425 NET INCOMEIIEXPENDITUREI 360,874 18871 19.265 379,052 RECONCILIATION OF FUNDS Total fund$ brought lOard 4.198,528 18.817 33.445 4,250.790 TOTAL FUNDS CARRIED FORWARD 4,559,202 17.930 52,710 4,629,842 14. LEGAL STATUS The company. whh is regi5t8Ted in England & Wales, is limiied by gUarlee and has no share capital. Th8 liability of the memb8rs in the event of a winding up is limi18d to £10 8ach per memb8f. No oThe party has ove¥811 control of the schoDI. Pag• 23 continued...
SEVENOAKS PREPARATORY SCHOOL UMtrED NOTES TO THE FINANCIAL STATEMENTS- ¢ontlnued FOR THE YEAR ENDED 31 AUGUST 2023 1S. TANGIBLE FIXEO ASSETS Capitalised rinance le8se lor classrooms Improvements lo leasehold property Fixtures and fittin95 Motor vehicles Towis COST At 1 S¢ptember 2022 Additions Disposals 134,026 9.122,374 106,835 913,328 78.881 79.485 10.249.213 185.718 8.1001 At 31 August 2023 134.026 9.229.209 992.209 71.385 10.426,829 DEPRECIATION At 1 S8ptember 2022 Charge for year Elirn&naled on disposal 134.026 2.657.155 358,317 844.244 72,361 50.949 4.464 4,8601 3.688,374 433,142 4,860 At 31 August 2023 134.026 3 013,472 916.605 50.553 4.114.656 NEf BOOK VALUE At 31 August 2023 8.215.737 75,604 20.832 6.312.173 Al 31 August 2022 6,465219 69,084 28.536 6,562 839 Leasehold property has been pledged as se¢urity for & bank loan. Fixed assets, snduded in the above, are held underfinarKe leases are as fdlows.. Molor vehtel&s COST Al 1 SeptÈmbor 2022 and 31 August 2023 29.760 DEPRECIATION At 1 September 2022 Charge for year 4.464 4,464 At 31 August 2023 8,928 NET BOOK VALUE Al 31 August 2023 20,832 At 31 August 2022 25,2% 16. OEBTORS: AMOUNTS FALUNG DUE WITHIN ONE YEAR 2023 2022 Trade debtors Olh8r deblors Pr8paid eMp8n8es 7,293 1,170 124.35S 11,486 $9,320 132,818 70.806 17. CURRENT ASSET INVESTPAENTS 2023 2022 Fixe¢ tem) deposit 200,000 Pag8 24 ¢ontinued...
SEVENOAKS PREPARATORY SCHOOL LIMITeD NOTES TO THE FINANCIAL STATEMENTS- contlFtued FOR THE YEAR ENDED 31 AUGUST 2023 18. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2023 2022 Bank loans and overdrafts (sèe note 201 Flnan¢e leases Isee note 211 Trade creditors Social security anrs Olher taxes Other Creditors Fee d$rx)slts Fees ceIVed in advance A¢uu8d expenses 150,000 4.869 128,735 54,299 31.946 39,000 651,569 85,529 150,000 4,670 97.360 52.037 42.405 48,000 742,630 38,834 1.145.Y47 1.173938 19. CREDITORS.. AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR 2023 2022 Bank loans Ise8 note 201 Financ818ases Is88 note 211 Long tenn fee deposits Fees received in advance 2,700.000 10.389 280.949 28.590 2.850,000 15.238 268,632 3,019.908 3.317.215 LOANS An analysis of the matunly of108n$ is gNen below.. 2023 2022 Amounts falling du8 Wthin ona year on demand.. Bank loan5 150.000 150.000 150,000 150.000 Arnounts falling due belv8 iwo and five yaars.. Bank loans- 2-5 years 2 700.000 2.850.000 Inte$t is charged at a fixed rate of 4.01Yo and is interest only until 28 June 2022 and which ptynt upilal payments starl. The loan is payable èfter S years and will be refinanced at thal stage. The bank loan from Handelsbanken has been wured a98inst the land wistered wilh the title number K739282. Pago 25 ¢Ontinu8d...
SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCEAL STATEMENTS - ¢tsntinued FOR THE YEAR ENDED 31 AUGUST 2023 21. LEASING AGREEMENTS Minimum lease paynnts fall due as follows.. Fin8n¢e le8S8S 2023 2022 Gros5 obligatons r&payable'. Wilhtn one year Between one and fve aT5 5,412 10.825 5,412 16,237 16,237 Finance charges repayable.. Wlthin one year Between one and five ye8r8 543 456 742 999 999 1,741 Nel obligations paya).. Within one year Betsween one and five years 4,869 10,369 4,670 15,238 15,238 19.908 NorKancellab18 operating leases 2023 2022 Within one yeai Between one and five years In more than five years 246.247 953.557 2,803,899 214,547 893,637 4,122,OS7 4 003,703 5,230.241 The School operates from p[niseS subj'ect lo a lease Ihal expires in December 2041. The rent is reviewed every five ye8FS, th8 last review was ¢ondLtded January 2023. A phased increas8 in rent was agreed beiween Septetnbor 2022 and June 2024. Increasing trom £183,600 per annurn to £211.500 per annum from June 2024. In¢luded Wit. operating leases is £3,854.644 12022. £4,046,962) relating to land and buikjing and £149,058 12022.. £75,095) relalThJ to othgr ¢ommitmeDIS. Pa98 26 ¢onts"nu&1.
SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS . ¢ontlnu¢d FOR THE YEAR ENDED 31 AUGUST 2023 22. ANALYSIS OF NET ASSETS BETWEEN FUNDS 2023 2022 Designalecl fixe¢S as$8t fund Unrestthtsd fund Restricted hjnd Tolal funds Total funds Fixed assets Ct assets cut1 liabllities Long tern) Iiabilllios 6.312.173 1642,8921 11.145,9471 3,019,908) 6,312,173 6,562,839 3,082,352 2,558.154 11,145.9471 11,173,9361 3,019 9081 33172151 3,666,630 58,614 1.503.426 3,666,630 58,614 5,228 670 4 829,842 23. MOVEMENT IN FUNDS Net movement in funds Transfer5 between fund5 At 31.8.23 At 1.9.22 Unr•$lrl¢t¢d lunds Gener31 fund Dosignaied fixed asset fund 4.559.203 17,929 593,813 8891 13,649,590) 3 649.590 1,503,426 3 666.630 4.577,132 592,924 5,170,056 Restricted funds R8stricled Fun 52,710 5,904 58,614 TOTAL FUNDS 4.629.842 598,828 5,228,670 Net mov9ment in lunds, induded in the above are as folows.. Incorning resources Resources expended Movernent in funds Unrostrlcted funds General fund Designated fixed assel fund 5.694.128 15.100.315) 8891 S93.813 8891 5,694,128 15.101.204) 592,924 Rostrlcted funds Restricted Fund 5.904 5.904 TOTAL FUNDS 5 700 032 5,101.2041 598 828 Page 27 tinu8d...
SEVENOAKS PREPARATORY SCHOOL LIMITED NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 AUGUST 2023 23. MOVEMENT IN FUNDS- contlnu•d CornparatiVe5 for movemenl In fun(ts Net ovement in funds Al 31.8.22 At 1.9.21 Unrestrlded lunds General fund Designated fixed asset fund 4,198.528 360.675 8881 4.559,203 17,929 4.217,345 359,787 4,577.132 Ra8trlcted fitrt)d$ Restricted Fund 33,445 19.265 52,710 TOTAL FUNDS 4 250,790 379.052 4 629.842 Comparative Det movetnen¢ in funds, induded in th¢ above are as fottows.. Incoming resources Resources exp8nd8d Movemenl in funds Unrostrict8d funds Generdl fund Designated fixed asset fund 5,314,211 14,953,536) 8881 360.675 5.314,211 14,954.4241 359,787 Restricted fijnds Reslrided Fund 19,266 19.265 TOTAL FUNDS 5,333,477 4,954,4251 379.052 The restrided lund5 are held as part of the cornpanls bank balance. The bursary lund represents a donatiQFI towards a bursary. Mso a transfer Irorn the general fund lo the bursary was made 4Juririg the yeaf ended 31 August 2017. A separate bursary committee has beefi established to oversee this fund. The Th aims lo support families who may succumb lo unforeseen disastÈrs suth a5 sud(JÈn bereavement. dNor¢e. dunancY or the collapse ot a family business and will provKle as$i$ianee in payiNJ s¢hool fees. The balance sheet has been am8nd8d to show the property assets of the school 85 dislincl. This d&snated fixéd assot fund gquate5 to the nel book value of the fixed assets of th8 schwl 188S th8 oulstsnding 8rnount of bank loan. CApifAL COMMITMENTS 2023 2022 Contracted bul not provided for in the fillanal slatements 49,888 The play equipment that we have on both the Pr8p and Pre-Pr8p sides of the schtt)I has reached the of it, life and we have cofflmitled lo il being replaced ir* the beginning ol Ihe new s¢kK)ol year. This wsll im¥Kove and bullrl upon the faalities provided for the children to enjoy durlng break limes as well as alding thelr physical devebpment. Page 28 conb'Trued...
SEVENOAKS PREPARATORY SCHOOL UMIYEO NOTES TO THE FINANC5AL STATEMENTS- conllnued FOR THE YEAR ENDED 31 AUGUST 2023 25. OTHER FINANCIAL COMMITMENTS PENSION COMMITMENTS The S¢Pwl parb¢ipate$ in the Teachers, Pension S¢heme I'th8 TPS'I for its t8aching stsff. The pensh)n charge for th8 year includes contribution$ payable to the TPS of £222,556 12022.. £334,567) and al the yearnd £28,281 12022.. £37,380) was accrued in respect of contributions lo this scheme. The TPS is an unfunded muttimployer defined ben8fits pension $theme governed by The Teaeher$' Pensions R8gulations 2010185 amended) and The Teachers, Pension Scheme Regulations 2014 la$ am8nd8(11. Memtyers contrsbule on a pay as you go. basis with contributions from m8mb8rs and th8 8rnployer being cr8dit84 to the Exchequer. Reliremenl and othef pensKJn ben8fits are paid by publi¢ fund$ provkled by Partiam8nt. The employer contribution rale is set by the Secretary of Slate followng schen7e valuations undertaken by Ihe Government Actuary's Department. The rnosl recent acluarial valuation of the TPS was prepared as at 31 March 2016 and the Valuatkjn Report, which was published in March 2019, confirmed that the employer contribution rate for th& TPS would incr8358 from 16.4UA lo 23.6Y4 troffl 1 Sepl8rnber 2019. Empbyor5 are also required to pay a 5chem8 adrntnistratiotF18vy of o.oe?h gwlng 8 total ernploy8T Contribution rate of 23.68 The 31 March 2016 Valuation Report W8s pr8par8d in accordance with the ben8fi1S 58t oLrt in th8 schem8 regulation$ and und8r the appr08ch specified ill the Directions, 85 Ihey appl¢ed 8t 5 March 2019. However, the as5urrption5 w8re con5hered and s81 by the Department lor Educats'on wor lo the Nling in th8 'McCloudlS8rgeallt ca58'. Thts case has required th8 Courts to consKJef case5 regardiThJ the implam8nta'tsn of the 2015 refomis lo Public S8rvice Pensions induding the Teacher5. Pensions. On 27 June 2019 the Supreme Court denled the govemment permission to appoal the Court of Aw>e81' judgment that Iran51tional provision5 ItFtroduced lo the ref0ell PenS)n schemes in 2015 gave Yise to unlawtul age discrimination. The govarnment is respecting lh8 Court's decision and has said it will 8ngage fully with the Employrnenl Tribunal as well 85 employer and mernber representatives to agree how the discrirnination5 will be remedied. The governmellt announced on 4 February 2021 that it intends to proceed with a deforred choice underpin under whi¢h rnembefs will be able lo choose either legacy OT reformed scherne benefils in respect of their durin9 the penod between 2 April 2015 and 31 March 2022 al the point Ihey befie payablg. The TPS is subject lo a ¢o$t ¢ap me¢han16m wh(ch was put in pla¢e lo prole¢l taxpayers against unforeseen changes in scheme costs. The Chief Secretary lo the Treasury, having in 2018 arnnounced that there would be a review of this cost cap m8cfonism, in January 2019 announced a pause to the cost cap m8chanisfn following the Court of Appeal's fuling in th8 McCloudlSarg&ant ease and tsntil there is certainty atrM)Ut the valu8 of pensions lo employees from April 2015 onwards. The pause was lifted in July 2020. and a ¢onsuttalion was launched on 24 June on proposed changes 10 the cost control mechanism following a review by the Govemmenl Actuary. The consultation dosed to response on 19 August 2021 and the Government is currentty analysing the resportses. In view of the above rulings and decisions the assumptions used in the 31 March 2016 Actuarial Valuation may b8com8 inappropriat8. In this scenario, a valuation pieparad in accordance wilh revi58d ben8fils and suilabty revised assurnptions would yidd drfferent re5uIt5 than those contained in the Actuarial Valuation. Until the cosi cap mochanism rèview ts cofflpleted il is nol possiNe to eondude on any financial impact or future changes lo the cOntribut)n rates of the TPS. Accordingty no provision tof any addi'onal past benefft pensKJn osts is iFFdu4Jed in these financial 51atements valatiON oltht T•a¢hers' Pension Schefflo The Govemmenl Aciuary. using nom)al actuarial principles. 1lucts a fr)rm81 aduai81 review of the TPS in aGwrdance with the Public S8fvice Penon5 IValualion5 and Employer C05t Capl Direcb'on5 2014 published by HM Treasury evèry 4 yoars. Tho aim of tho rèview is lo specify th8 level of fulur8 contributions. Actuarial sch8mg valuations are dependent on assumption$ at)out the value of future costs, design of benefits and many other factors. The lalesl aduarial valuation of the TPS was Carried out as al 31 March 2016. The valuation report was published by Ihe Department for EducAtton on 5 March 2019. Thtr key elements of the valuation and subsequent ¢on$ullation are. o employer contribulioD rates set at 23.68% of pensionable pay linduding a 0.08% admini5tralK)n levyl o total scheme liabilities (pensions ¢urr8ntly in payment and the esbmated cost of fuluTe benefrtsl for 5erwico to the effective (Sale of £218,100 millKJn 8nd notional assets leslimaled future ¢onlributsons together with Ihe otional investments h81d at the valuation dal81 of £196,100 mulion, giving a notional past $ervi(t d&fic4t of £22.000 million Page 29 ¢ontint$8d...
SEVENOAKS PREPARATORY SCHOOL UMITED NOTES TO THE FINANCIAL STAfEMENTS- continued FOR THE YEAR ENDEO 31 AUGUST 2023 25. OTHER FINANCIAL COMMITMEMfs- continued o the SCAPE rate, set by Hmt. is Used to deletmine the notional inve$lmenl retum. The eurr8nt SCAPE rate 15 2.4% atM)ve the Tate of CPI. assumed real rate of Tetum Is 2.4°A in &x¢ess of pitces and 2% in 8xcass of eamings. The rate (kf real earnings grolyth 15 as5urned lo be 2.2%. The assumed nominal rale ol retum inclL¥Jing eamirvJ$ growth 1$ 4.45%. The next valvalKJn result is due to b8 iMpmented frorn 1 Apiil 2024. A copy of the valuation report 8nd supporting documentation is on the Teachers. Pensions webslle. Under the defi'nilK)n8 sel out in FRS 102, the TPS is an unlunded rnulli-employer pension s¢hm&. The Charity has accounted for its conlribulion5 to the scheme as if il were a defitied contnbutK)n stheme. G¢)vemmvnt P91151on 5eheme The Charrty pays pensi¢)n conlribulions lo inlo definèd contiibutron pensi Sfemes for those employ8es WIK) do not participate in the TPS. The atnount recognised as an expense in the year was £117.591 12022. £13,887). The amount owed lo the p$10 schemes at the year end was £5,66512022.' £5.1711. RELATED PARTY DISCLOSURES The were no related party transacliw$ for the year ended 31 August 2023. Page 30