THE GAThON TRUST LIMITED TRUSTEES, ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 COMPANY REGISTERED NUMBER: 4216691 REGISTERED CHARITY NUMBER: 1101467
THE GAThON TRUST LIMITED CONTENTS Page{sl Report of the Trustees Independent Auditors, Report 10-14 Statement of Financial Activities 15 Balance Sheet 16 Notes to the Financial Statements 17-26
THE GAThON TRUST LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31AUGUST 2021 The Trustees present their annual report which includes the requirements of a directors, report under company law and the audited financial statements of The Gatton Trust Limited I'the ChariW'I for the vear ended 31" August 2021. The financial statements have been prepared in accordance with FRS 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland" and the accounting policies set out in Note 3 to the accounts, the Companies Act 2006, the Charities Act 2011, and Accounting and Reporting by Charities: Statement of Recommend Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland I'FRS 102,1. In preparing these financial statements the Trustees confirm that they have had regard to the Charity Commission guidance on public benefit. OBJECTIVES AND ACTIVITIES FOR THE PUBLIC BENEFIT The purposes of Gatton Trust which are set out in the Memorandum and Articles of Association are to: restore, conserve, protect and improve the physical and natural environment of the parkland, gardens and historic buildings of Gatton Park. to develop and enhance the means of access to Gatton Park for as wide a section of the community as possible; advance education for the whole community and facilitate the study of subjects such as natural history, history and environmental education,. and advance the education of the pupils of the Royal Alexandra and Albert School. The Trustees, current priorities to further the Charity's purposes for the public benefit are.. to continue the ongoing programme of conservation and maintenance of the grounds and gardens; through a programme of open days, events and special projects continue to expand visitors of all age groups includinE those with disabilities and the community generally: to maintain and build on the relationship between the Charity and other users of Gatton Park; to maintain a pool of volunteers to assist with all aspects of the Charity's work- to fundraise for all of the above. ACHIEVEMENTSAND PERFORMANCE This year the ongoing COVID-19 pandemic has continued to affect our work. Lockdowns, government restrictiorbs and safety guidelines have all had an impact on our activities, income and staffing. The School has undertaken a large-scale project to install boreholes in some fields and pipework in the lakes to provide ground source heat to all of the school buildings and boarding houses. The system is now up and running but during this year, the impact on the parkland has continued, while landscaping works were finished and grassland recovered. This will continue into the next year.
THE GAThON TRUST LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31AUGUST 2021 Icontlnuedl Pro ects durin the ear The Japanese Garden Restored The second element of the project of improvement works to the Japanese Garden, to replace the steps to the teahouse and install a handrail, was postponed until this year and completed in the autumn. Fundingfor this project was provided by The Postcode Lottery Trust, The Jeremiuh Colm(yn Gift Trust, ond Reigate und 8anstead Borough Council Councillors Awards Sakura Cherry Tree Project The Japanese Embassy donated l(x) Sakura Cherry Trees to Gatton Park, as part of a nation-wide celebration of the relationship between japan and the UK. The trees have been planted on the approach to the Japanese Garden. Trees for the Future During the winter, Gatton Trust worked with students from Royal Alexandra and Albert School to plant ten disease-resistant elm trees in the parkland. The funding for these trees was provided by The Tree Council. Grants have been received from the Toyota Fund for a Better Tomorrow and the Netherby Trust to contribute to a larger project which will involve local schools in learning about trees, helping to plant tree seeds in a new nursery and planting more elm trees in the parkland. This will take place in the winter of 2021122. Fundingfor this project Wos provided by The Tree Council, Toyot(J (GB) Charitoble Trust, ond Netherby Trust Forest School For All We have secured funding for a second project to provide Forest School sessions to Merstham families, in partnership with Red Oak Children's Centre. This will take place in Autumn 2021. Fundingfor this project was provided by Merstham Millennium Trust Visitors and Education During this period 12,09312020= 6,4221 visits were made to the park as part of our events, activities and educational work. The park is home to 75 resident staff and their families, and 495 boarding pupils11,140 school pupils in totall. The site is also used by groups using buildings in the school holidays and using Gatton Hall. Parts of the park are accessible as part of the North Downs Way. Open Days The Park is normally open once a month between February and October, with additional days in February for visitors to enjoy the snowdrops. During the winter lockdown, the park could continue to open and we had high visltor numbers. Total attendance was 3671 adults and 1448 children12020.' 1,647 adults, 429 children).
THE GAThON TRUST LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31AUGUST 2021 Icontlnuedl Guided Tours Limitations on groups of people gathering together meant that we ran only I guided tour for 24 visitors this year12020.. 2 visitors). Events For the second year, we were unable to run Gatton Country Fair, as restrictions for large-scale events were not lifted until very close to the date of the event. Other events were organised to be outdoor and socially-distanced to allow them to go ahead. Our regular Santa's Grotto event was changed to a Winter Welly Walk and attracted good numbers of visitors. The Easter Egg Hunt was run over four days for the first time and 2,985 visitors attended. We ran two days of open air cinema in the summer totalling 169 visitors. Family Leaming and Children's Activities When government restrictions permitted, our family activities were able to operate, sometimes with reduced numbers. A smaller staff also placed some limitations on activities. Activities include our regular "Little Seeds Forest School" for pre-schoolers and parents and school holiday sessions - in total these events involved 665 children and 531 adults12020: 665 children, 667 adults). Our regular Trails and Tales activities for toddlers and their parents attracted 526 children and 479 adults12020.. 623 children, 529 adults). Groups of children from orBanisations such as Young Carers also visited for activities in the park, totalling 2(X) visitors12020.' 188 visitors). Children's birthday parties were attended by 141 visitors12020.. 368 visitors) School Visits Educational activities was one of the areas hardest hit by the lockdown. A small number of schools attended during the Autumn Term 2020, but the winter restrictions were not eased until spring and this meant school visits did not resume until mid-may. This year only 588 school children visited the park, compared to 842 children last year, which is significantly fewer than a rbormal year12019.. 3,2881. Volunteers There are 87 volunteers12020.. 931 who regularly support the work of the Trust. In total they provided 3,199 volunteer hours12020'. 4,8141- Volunteering (except to support open days) had to stop when the local area was placed under Tier 4 restrictions (November 20201 and could not restart until the end of the national lockdown lend of March 20211. The last two years have highlighted the importance of volunteering for the Trust, but also for the volunteers themselves. IO% of volunteers are vulnerable adults with issues such as mental health problems or physical disabilities, and the Trust works with local orBanisations to support these volunteers.
THE GAThON TRUST LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31AUGUST 2021 Icontlnuedl Corporate Volunteerlng Corporate volunteer teams were an important part of our volunteer workforce before the pandemic. In 2019 we hosted 17 groups. This year only one group of Duke of Edinburgh staff came for a volunteering day. There is more interest already for autumn 2021. Staffin The Trust continued to benefit from the government furlough scheme for members of the education team and some of the park team who work with volunteer groups who were unable to continue their normal work throughout periods of this year. The Education Officer resigned in April 2021 and it was decided not to fill this role until there was more certainty that income from visiting groups could be maintained. During this year, the Volunteering and Events Officer role (vacant since March 20201 was not replaced, for the same reason. The Garden and Park Manager, Park Warden and part-time Gardener are employed directly by the RAAS Foundation. Fundin External funding from charitable trusts and businesses usually supports our education work, but as group visits were not possible for much of the year, fundraising was directed to projects taking place in the next financial year. We continue to rely on our volunteer fundraiser for this work. Park and Gardens The Gardens The appearance of our park and gardens continues to improve, despite limited volunteering and reduced staff levels this year. The Japanese Garden has developed with the cherry trees being planted on its approach, new steps and a handrail to the tea house. On the approach to the garden some trees and an area of laurel was removed to open up views across Engine Pond. We plan to develop this with cherry trees, a lantern and bench in the forthcoming year. The focus in the Rock and Water Garden this year has been the continuing improvement of the beds in the central part of the garden- lifting tree canopies, clearing the ground and replanting. The general appearance of the garden has benefitted from removal of areas of bramble around the edges. Work has continued on the restoration of The Old World Garden which currently lies hidden amongst trees in the Pleasure Gardens. Restorative pruning of the yew trees which once formed a hedge around the pond and rose garden has continued. The orchard has been maintained throughout the year and our nursery and greenhouse facilities have shown real improvement this year. Our new propagation volunteer team has increased plant stock and sales at our open days.
THE GAThON TRUST LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31AUGUST 2021 Icontlnuedl Parkland The maintenance of the parkland carried out this year included grassland management through herbicide spraying in some areas, a hay-cut and grazing with sheep with the aim of promoting biodiversity in the grasslands. Some areas of grassland will still require restoration following the ground source heat project. Horse paddocks in the lower park were fenced this year, greatly improving their appearance. Some fences were also placed around the ancient trees to protect them. Tree planting over the winter included a new hedge along the Serpentine, ten disease-resistant elms and a number of cedars along Cedar Walk. Tree surveys were carried out as usual this winter and later in the year for ash dieback. Our strategy to deal with ash dieback is to continue to monitor and fell as required, spreading the landscape impact and cost over a number of years. FINANCIAL REVIEW Income and expenditure The surplus for the year ended 31 August 2021 was £31,64512020.. deficit £12,725). There was a surplus within unrestricted funds of £23,62212020= deficit £11,355) showing some recovery from the COVID-19 pandemic, but also contributed to by reduced staffing expenditure. Restricted funds had a surplus of £8,02312020'. deficit £1,370) owing to funding received for the Trees For The Future and Forest School projects not yet being spent. Income for the year ended 31 August 2021 amounted to £93,66212020.' £59,278). Donations and voluntary income received amounted to £12,55612020: £6,236). A list of all donations of £750 or more is included in the Notes to the Financial Statements. Open day and related income amounted to £32,26412020.. £18,9521. Despite national lockdowns in November and January, COVID-1g restrictions were less obstructive and many more activities could be run during this year than last year. Details of the activities are included in this report. Staffing expenditure represents the salary and related costs of the Chief Executive and her education team which have not been recharged to specific projects. Net current assets These comprise principally cash at bank. Reserves At 31 August 2021, reserves amounted to £127,37712020'. £95,732) of which £102,06812020'. £78,4461 comprise unrestricted reserves. As at 31 August 2021, unrestricted reserves included no funds12020.' none) designated to future projects. After the year end, the Trustees agreed to designate £70,000 of unrestricted funds to various projects. Details are given in Note 15. Of the £25,309 restricted reserves at 31 August 202112020.. £17,286), £14,613 comprised general education reserves which were transferred at the time of the merger of Gatton Trust with Gatton Park Education Trust Limited in 2009.
THE GAThON TRUST LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31AUGUST 2021 Icontlnuedl Going Concern Having made appropriate enquiries, the Trustees are satisfied that the Charity has adequate resources to continue for the foreseeable future. For this reason, the Trustees have continued to adopt the going concerrb basis of accounting. RISK MANAGEMENT As part of their normal procedures, the Trustees assess the major risks to which the Charity is exposed, in particular those related to the operations and finances of the Charity. The assessment comprises= a review of all the risks that the Charity may face in its normal operations for the financial year ahead,. an assessment of the likelihood of those risks occurring, together with an assessment of their impact,. the establishment of procedures, actions and systems to mitigate the risks identified and to minimise any potential impact on the Charity. The principal risks and uncertainties that the Charity faces are summarised as.. insufficient funds raised from fundraising activities withdrawal of support from the parent undertaking.. Royal Alexandra and Albert School The Trustees manage the risks by ensuring that there is regular monitoring of financial performance and forecast fundraising activities. Special projects are not undertaken unless fully funded. Regular meetings are held with the Trustees and the parent undertaking is kept informed of the Charity's current and planned operations. RESERVES POUCY The Trustees seek to ensure there are sufficient funds to cover six months ongoing operational expenses. This equates to £29,301 which represents the sum total of all payroll costs along with all other unrestricted and designated spend in the year. Unrestricted and Designated reserves at 31 August 2021 was £102,068 which implies there was a reserves surplus of £72,767. This policy is reviewed annually. STRUCTURE, GOVERNANCE AND MANAGEMENT The Gatton Trust Limited I"Gatton Trust" or'the Charity'l, (registered company number 42166911, a charitable company limited by guarantee, was incorporated on 15 May 2001. The company became a registered charity on 12 January 2004 Iregistration number 11014671. The governing documents are the Memorandum and Articles of Association. The sole member of the company is the charitable corporation Royal Alexandra and Albert School I'the Foundation" or"RAAS"1.
THE GAThON TRUST LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31AUGUST 2021 Icontlnuedl Dlrertors The Board of Directors comprise the Charity Trustees who are responsible for the general control and management of the Charity. New Trustees, who are selected for their relevant expertise and experience are nominated by the member Royal Alexandra and Albert School. Upon appointment, Trustees are provided with detailed information regarding the Charity and are invited to attend detailed briefing sessions with the Chairman. All Trustees give of their time freely and no Trustee remuneration was paid in the year. Trustees are required to disclose all relevant interests and register them with the Chairman and to withdraw from decisions where a conflict of interest arises, Royal Alexandra and Albert School, the parent charity, maintains liability insurance for the Trustees and officers of its subsidiary undertakings including the Charity, which qualifies as a third party indemnity provision for the purposes of the Companies Act 2(X)6. This insurance was in force during the financial year and at the date of approval of the financial statements. REFERENCE AND ADMINISTRATIVE INFORMATION Trustees Graham I Williams (resigned 29 September 20201 Peter Dawson David Frank Margaret Kippen Alan Mortlock Helen Neve lappointed 21 July 20211 Gail Sperrin Chief Executive Louise Miller Principal Office Foundation Office Gatton Park Reigate Surrey RH2 OTW Charity Number: 1101467 Auditors Moore KinESton Smith LLP Betchworth House 57-65 Station Road Redhill Surrey RHI IDL Banker5 CAF Bank 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ Solicitors Farrer & Co LLP 66 Lincoln's Inn Fields London WC2A 3LH
THE GAThON TRUST LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31AUGUST 2021 Icontlnuedl STATEMENT OF TRUSTEES, RESPONSIBILITIES The Trustees Iwho are also directors of The Gatton Trust Limited for the purposes of company lawl are responsible for preparing the Trustees, Annual Report and the financial statements in accordance with applicable law and regulation. Comp3ny13w requires the Trustees to prepare financial statements for each financial year. Under that law the Trustees have prepared the financial statements in accordance with United Kingdom Accounting Standards, comprising FRS 102 'Yhe Financial Reporting Standard applicable in the UK and Republic of Ireland" and applicable law (United Kingdom Generally Accepted Accounting Practice). Under company law the Trustees must not approve the financial statements unless they are satlsfied that they give a true and fair view of the state of the affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to: select suitable accounting policies and then apply them consistently- observe the methods and principles in the Statement of Recommended Practice= Accounting and Reporting by Charities120151; make judgements and estimates that are reasonable and prudent,. state whether applicable UK Accounting Standards, comprising FRS 102, have been followed, subject to any material departures disclosed and explained in the financial statements,. and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The Trustees are responsible for the maintenance and integrity of the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
THE GAThON TRUST LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31AUGUST 2021 Icontlnuedl DISCLOSURE OF INFORMATION TO AUDITORS In accordance with Section 418 of the Companies Act 2006, directors, reports shall include a statement, in the case of each director in office at the date the directors, report is approved, that.. lal so far as the director is aware, there is no relevant audit information of which the charitable compan5 auditors are unaware- and Ibl he has taken all the steps that he ought to have taken as a Trustee in order to make himself aware of any relevant audit information and to establish that the charitable company's auditors are aware of that information. Under the Companies Act, s414B, The Gatton Trust Limited is entitled to small tompanies exemption in relation to the strategic report for the financial yearended 31 August 2021 as it is entitled to prepare accounts for the year in accordance with the small companies regime. INDEPENDENT AUDITORS A resolution proposing that Moore Kingston Smith LLP be re-appointed as auditors will be put to the forthcoming annual general meeting. On behalf of the Board.. .r.kJ David Frank Chairman 30 November 2021 The Gatton Trust Limited Company registered number= 4216691
THE GAThON TRUST LIMITED INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE GArroN TRUST LIMITED OPINION We have audited the financial statements of The Gatton Trust Limited for the year ended 31 August 2021 which comprise the Statement of Financial Activities, the Balance Sheet and notes to the financial statements, including significant accountin8 policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 'The Financial Reporting Standard Applicable in the UK and Republic of Ireland, (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements.. give a true and fair view of the state of the charitable company's affairs as at 31 August 2021 and of its incoming resources and application of resources, includin8 Its income and expenditure, for the year then ended; have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice.. and have been prepared in accordance with the requirements of the Companies Act 2006. BASIS FOR OPINION We conducted our audit in accordance with International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. CONCLUSIONS RELATING TO GOING CONCERN In auditing the financial statements, we have concluded that the Trustees, use of the going concern basis of accounting in the preparation of the financial statements is appropriate. 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 Trustees 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 annual report, other than the financial statements and our auditor's report thereon. The Trustees 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. io
THE GAThON TRUST LIMITED INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE GArroN TRUST LIMITED {continuedl OTHER INFORMATION Icontinuedl 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 there is 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. OPINIONS ON OTHER mAER5 PRESCRIBED BY THE COMPANIES ACT 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the Trustees, Annual Report for the financial year for which the financial statements are prepared is consistent with the financial statements,. and the Trustees, Annual Report has been prepared in accordance with applicable legal requirements. MAThERS 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 Trustees, Annual Report. We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion.. adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us. or the financial statements are not in aEreement with the accounting records and returns- or certain disclosures of Trustees, remuneration specified by law are not made,. or we have not received all the information and explanations we require for our audit,. or the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies exemption in preparing the Trustees, Annual Report and from preparing a strategic report. RESPONSIBILITIES OF TRUSTEES As explained more fully in the Trustees, responsibilities statement set out on page 8, the Trustees (who are also the directors of the charitable company for the purposes of company lawl are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. li
THE GAThON TRUST LIMITED INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE GArroN TRUST LIMITED {continuedl AUDITOR'S RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL sfATEMENTS Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS IUKI will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if. individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. As part of an audit in accordance with ISAS IUKI we exercise professional judgement and maintain professional scepticism throughout the audit. We also.. Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is hiEher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the charitable company's internal control. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Trustees. Conclude on the appropriateness of the Trustees, use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exist5 related to events or conditions that may cast significant doubt on the charitable company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the charitable company to cease to continue as a going concern. Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. 12
THE GAThON TRUST LIMITED INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE GArroN TRUST LIMITED {continuedl EXPLANATION AS TO WHAT EXTENT THE AUDIT WAS CONSIDERED CAPABLE OF DETEcfiNG IRREGULARITIES, INCLUDING FRAUD 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. The objectives of our audit in respect of fraud, are- to identify and assess the risks of material misstatement of the financial statements due to fraud,. to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks,. and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with Eovernance of the charitable company. Our approach was as follows: We obtained an understanding of the legal and regulatory requirements applicable to the charitable company and considered that the most significant are the Companies Act 2006, the Charities Act 2011, the Charity SORP, and UK financial reporting standards as issued by the Financial Reporting Council. We obtained an understanding of how the charitable company complies with these requirements by discussions with management and those charged with Bovernance. We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance. We inquired of management and those charged with Eovernance as to any known instances of non-compliance or suspected non-compliance with laws and regulations. Based on this understanding, we designed specific appropriate audit procedures to identify instances of non-compliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining additional corroborative evidence as required. There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detectinE a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. 13
THE GAThON TRUST LIMITED INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE GArroN TRUST LIMITED {continuedl 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 compan5 members those matters we are required to state to them in an auditorfs report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to any party other than the charitable company and charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. David Montgomery (Senior Statutory Auditor) 16 December 2021 for and on behalf of Moore Kingston Smith LLP Statutory Auditor Betchworth House 57- 65 Station Road Redhill Surrey RHI IDL 14
THE GAThON TRUST LIMITED STATEMENT OF FINANCIAL ACTIVITIES INCORPORATING THE INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 AUGUST2021 Note Unrestrirted funds Restrirted funds 2021 Total 2020 Total INCOME FROM Charitable activities Open days and related income Environmental educatio 32,264 36,794 32,264 36,794 18,952 17,633 Donatlons Grants from government and other public bodies Voluntary income 12,048 12,048 16,457 2,318 10,238 12,556 6,236 TOTAL 83,424 10,238 93,662 59,278 EXPENDITURE ON Charltable actlvltles Park and garden conservation Open day and event costs Non project staffing cost5 Environmental education projects 3,379 4,347 48,867 2,501 2,215 5,594 4,347 48,867 2,501 3,844 4,169 54,908 5,209 Raising funds Marketing 708 708 3,873 TOTAL 59,802 2,215 62,017 72,003 NET INCOMEIIEXPENDITUREI AND NET MOVEMENT IN FUNDS 23,622 8,023 31,645 112,72SI Reconclllatlon of Funds FUND BAL4NCES brought foTh¥ard at I September 78,446 17,286 95,732 108,457 FUND BALANCES carrled forward at 31 127 August The results shown above are attributableto continuin8operations only. The Charity had no other comprehensive income or losses other than those dealt with in the Statement of Financial Activities. There are no material differences between the net lexpenditurel/ income and the fund balances carried fonNard stated above and their historical cost equivalents, The accounts have been prepared in line with FRS 102. 15
THE GAThON TRUST LIMITED BALANCE SHEET AS AT 31 AUGUST 2021 Note 2021 2020 FIXED ASSETS Tangible assets io CURRENT ASSETS Debtors Cash at bank and in hand Total current assets li 2,556 131,239 133,795 986 98.520 99,506 LIABILITIES Creditors: Amounts falling due within one year 12 16,4181 13,7741 NET CURRENT ASSETS 127,377 95,732 NET ASSETS 127,377 95,732 THE FUNDS OF THE CHARITY: Restricted income funds Unrestricted income funds 13,14,16 13,14,15 25,309 102,068 17,286 78,446 TOTAL CHARITY FUNDS 127,377 95,732 The financial statements on pages 15 to 26 were approved by the Board on 30 November 2021 and were signed on its behalf by.. . r. David Frank Chairman Company registration number: 4216691 16
THE GAThON TRUST LIMITED NOTESTO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 I. GENERAL INFORMATION The Gatton Trust Limited I'the CharitW'I is a charitable company limited by guarantee, incorporated in the United Kingdom (registered company number 42166911 and is a charity domiciled in the United Kingdom (registered charity number 11014671. The Charity's registered office and operational address is.. Royal Alexandra and Albert School, Gatton Park, Reigate, Surrev RH2 OTW. The Gatton Trust Limited is a public benefit entity. 2. ACCOUNTING CONVENTION The financial statements have been prepared in accordance with FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" Accounting and Reporting by Charities.. Statement of Recommended Practice Icharities SORP IFRS 10211, the Charities Act 2011 and the Companies Act 2006. The financial statements are prepared in sterling, which is the functional currenry at the charitable company. Monetary amounts in these financial statements are rounded to the nearest £. The Charity is a qualifying entity for the purposes of FRS 102 as it is part of the publicly available consolidated financial statements of the parent charity, Royal Alexandra and Albert School. The Charity has taken advantage of the following exemptions.. lil Under FRS 102 paragraph 1.12 Ibl, from preparing a statement of cash flows lill Certain disclosure requirements of section 11 in respect of financial instruments liiil Disclosure of the Charity's key management personnel compensation 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The financial statements have been prepared under the historical cost convention. The principal accounting policies applied in the preparation of these financial statements, consistently applied to all the years presented, are set out below. Going concern The results for the year show a surplus despite the impact of the ongoing COVID-19 pandemic. In the face of two national lockdowns and COVID-19 restrictions limiting the number and types of activities that could be run, the charity has adapted its activity programme and staffing to ensure a year end surplus. Having made appropriate enquiries, the Trustees are satisfied that the Charity has adequate resources to continue for the foreseeable future being at least twelve months from the date of approval of the financial statements. For this reason, the Trustees have continued to adopt the Eoing concern basis when preparing the financial statements. 17
THE GAThON TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 {continuedl 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES {continued) Incoming resources All incoming resources are included in the statement of financial activities when the Charity is legally entitled to the income and the amount can be quantified with reasonable accuracy. LeBacies, donations and other voluntary income represent income from legators, donors Iwhether individual or corporatel, and grants from charitable trusts. Grants from government and other public bodies are accounted for where full approval has been received. Interest is accounted for when receivable. Income from charitable activities is accounted for when receivable. Charitable expenditure and management and administration expenditure Costs of generating funds comprise the costs of marketing the Charity to attract funds. Costs of charitable activities comprise all expenditure directly relating to the objects of the Charity. Expenditure is accounted for on an accruals basis as a liability arises. Allocation of support costs Support costs are those functions that assist the work of the Charity but are not directly incurred in the performance of charitable activities. Support costs include office costs apportioned on the basis of expenditure for each unrestricted fund activity in relation to the total cost. The allocation of support costs is analysed in Note 7. Pension costs The Charity pays contributions for those employees who elect to become members, into a qualifying pension scheme established with the National Employment Savings Trust. Contributions for one employee are paid into a personal pension scheme with Friends Provident. Both Scheme's assets are invested separately from the Charitls assets and payments are charged to the statement of financial activities as they are incurred. Irrecoverable Value Added Tax Any irrecoverable Value Added Tax is charged to the statement of financial activities, or capitalised as part of the cost of the related asset, as appropriate. Tangible fixed assets and depreciation Tangible fixed assets, costing £2,000 or more, are stated at historic cost less accumulated depreciation. Cost includes the original purchase price of the asset and the costs attributable to bringing the asset to its working condition for its intended use. Depreciation is recognised so as to write off the cost of the assets, less their residual values, over their expected useful lives on the following bases.. Motor Vehicles Plant and machinery 50% straight line 25% straight line The useful economic lives and residual value of fixed assets are reviewed at the end of each accounting period. 18
THE GAThON TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 {continuedl 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES {continued) Unrestricted funds Unrestricted funds comprise accumulated surpluses on general funds. They are available for use at the discretion of the Trustees in furtherance of the objects of the Charity. Designated funds Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aims and uses of the designated funds are set out in Note 15. Restricted funds These are funds for which the donor has specifically restricted the purpose for which the funds can be used. The amounts in the funds represent the monies still remaininE for future expenditure. Transfers between funds Transfers are made from and within unrestricted funds in line with charitable objectives. Critical accounting judgements and estimation uncertainty Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstance5. The Charity makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. It Is in the opinion of the Trustees that there are no estimates and assumptions that have a significant risk of causing a material adjustment of the carrying amounts of assets and liabilities within the next financial year. 4. STATUS The charitable company is limited by guarantee and has no share capital. The liability of the member in the event of a winding up is limited to £1. 5. DONATIONS AND VOLUNTARY INCOME 2021 £'ooo 2020 Grants and donations comprise.. Grants from government and other public bodies Donations and other voluntary income 12,048 12,556 24,604 16,457 6,236 22,693 Grants from government and other public bodies comprise grants from the government of £12,04812020.. £16,457) claimed through the Coronavirus Job Retention Scheme to cover employees, wages. 19
THE GAThON TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 {continuedl 5. DONATIONS AND VOLUNTARY INCOME (continued) Donations and other voluntary income include the following amounts received of £750 and over: 2021 2020 Netherby Trust Merstham Millennium Trust Toyota IG81 Charitable Trust The Tree Council Jeremiah Colman Gift Trust Postcode Local Trust CLA Charitable Trust 5,000 2,010 2,000 1,228 750 750 2,108 1,500 6. ANALYSIS OF STAFF COSTS, TRUSTEE REMUNERATION AND EXPENSES The monthly average number of employees was 2.712020.. 4.61. Calculated as full time equivalents the employee number was 1.512020.. 2.31. All employees are involved in the delivery of education activities. Staff costs 2021 2020 Wages and salaries Social security costs Other pension costs 41,133 2,720 2,239 46,092 49,208 2,876 3,221 55,305 None of the employees earned more than £60,00012020'. nonel. None of the Trustees received any remuneration or expenses12020'. none). Audit fees of £2,15012020= £2,050) were borne by the parent charity who made no recharge. 7. EXPENDITURE ON CHARITABLE ACTIVITIES BY AcfiviTY TYPE Direct Support Costs 2021 Current year costs Park and garden conservation Open day and event costs Non project staffing costs Environmental education projects Marketing 5,254 4,082 45,893 2,349 665 58,243 340 265 2,974 152 5,594 4,347 48,867 2,501 708 62,017 43 3,774 20
THE GAThON TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 {continuedl 7. EXPENDITURE ON CHARITABLE ACTIVITIES BY AcfiviTY TYPE (continued) Comparative year Direct costs Support costs 2020 Park and garden conservation Open day and event costs Non project staffing costs Environmental education projects Marketing 3,694 4,006 52,764 5,006 3,722 69,192 150 163 2,144 203 3,844 4,169 54,908 5,209 3,873 72,003 151 2,811 8. EXPENDITURE ON CHARITABLE ACTIVITIES BY FUND TYPE Unrestrirted funds Restrlcted funds Current year 2021 Direct costs Support costs 56,028 3,774 59,802 2,215 58,243 3,774 62,017 2,215 Comparative year Unrestricted funds Restricted funds 2020 Direct costs Support costs 62,954 2,811 65,765 6,238 69,192 2,811 72,003 6,238 9. TAXATION The Gatton Trust Limited, as a registered charity, is exempt from taxation on capital gains and income arising and expended on its charitable activities. 21
THE GAThON TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 {continuedl 10. TANGIBLE FIXED ASSETS Plant and Machinery Motor vehicles Total COST At I September 2020 Additions Oisposals At 31 August 2021 4,347 2,500 6,847 4,347 2,500 6,847 ACCUMULATED DEPRECIATION At I September 2020 Charge for year Disposals At 31 August 2021 4,347 2,500 6,847 4,347 2,500 6,847 NET BOOK VALUE At 31 August 2020 At 31 August 2021 11. DEBTORS 2021 2020 Trade debtors Accrued income and prepayments 1,240 1,316 2,556 467 519 986 12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2021 2020 Trade creditors Amounts owed to group undertakings Accruals and deferred income 224 434 2,490 850 3,774 4,206 1,988 6,418 Amounts owed to the charitable corporation, Royal Alexandra and Albert School, are unsecured, interest-free and payable upon demand. 22
THE GAThON TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 {continuedl 13. ANALYSIS OF NET ASSETS BETWEEN FUNDS Unrestricted funds Restricted funds Total funds 2021 Fixed assets Current assets Current liabilities 108,486 16,4181 102,068 25,309 133,795 16,4181 127,377 Net assets 25,309 Unrestricted funds Restricted funds Total funds 2020 Fixed assets Current assets Current liabilities Net assets 82,220 13,7741 78,446 17,286 99,506 13,7741 95,732 17,286 14. STATEMENT OF FUNDS At I Sept 2020 Fund Tr3nsfers At31 Aug 2021 Income Expenditure Unrestricted funds.. General funds Designated funds 78,446 83,424 159,8021 102,068 Restricted funds 17,286 95,732 10,238 93.662 12,2151 162,0171 25,309 127,377 At I Sept 2019 Fund Transfers At31 Aug 2020 Income Expenditure Unrestricted funds.. General funds Designated funds 76,455 54,410 165,7651 13,346 78,446 Restricted funds 32,002 108.457 4.868 59.278 16,2381 172,0031 113,3461 17,286 95,732 23
THE GAThON TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 {continuedl 15. DESIGNATED FUNDS At 31 August 2021 there were no designated funds12020'. none). After the year end, it was agreed by the Trustees to designate £70,OCX) of the unrestricted funds as follows: Glasshouse Restoration Footpaths in Rock Garden Pulhamite Pond and Waterfall Japanese Garden Old World Garden 30,000 15,000 15,000 5,000 5,000 70,000 16. RESTRICTED FUNDS At I Sept 2020 Fund Transfers At 31 Aug 2021 Income Expenditure Joint funds Orchard Project 68 68 68 68 Parkland funds Japanese Garden Trees For The Future I,ios 19871 11,2281 12,2151 118 7,000 7,118 8,228 8,228 1,105 Education fund5 General Education Reserves Forest School For All London School Project 14,613 14,613 2,010 2,010 I,soo 18,123 1,500 16,113 2,010 Total Restricted Funds 17,286 10,238 12,2151 25,309 Restricted Funds comprise furbds donated for the specific use of the projects noted above. Any amounts unspent in anv vear are carried forward to the next. The General Education Reserves comprise the general funds of Gatton Park Education Trust Limited which were transferred at the time of the merger and which will continue to be restricted as per their original purpose. 24
THE GAThON TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 {continuedl 16. RESTRICTED FUNDS Icontinuedl At I Sept 2019 Fund Transfers At 31 Aug 2020 Income Expenditure Joint funds Orchard Project 68 68 68 68 Parkland funds Japanese Garden 550 550 2,858 2,858 12,3031 12,3031 1,105 1,105 Education funds General education 29,584 11,6251 113,3461 14,613 reserves Forest School For All London School Project 1,800 510 1,500 2,010 12,3101 1,500 16,113 55,833 13,9351 113,3461 Total Restricted Funds 32,002 4,868 16,2381 113,3461 17,286 17. ULTIMATE CONTROLLING PARTY AND PARENT CHARITY The charitable corporation, Royal Alexandra and Albert School, is the parent undertaking and ultimate controlling party of the smallest and largest group to consolidate these financial statements as at 31 August 2021. Royal Alexandra and Albert School is a charity registered in the United KinEdom (registered charity number 3119451 whose principal address is Gatton Park, Rei8ate, Surrey, RH2 OTW and its consolidated financial statements can be obtained from this address. Royal Alexandra and Albert School is an educational charity whose principal purpose is to accommodate and educate 'Foundationers', children who are without one or both parents or whose special circumstances make it desirable for attending a boarding school. The parent charity's activities include the provision of an education centre for the benefit of the School and the public, as well as the conservation of the historic landscape and buildings within Gatton Park. The parent charity exercises its control through the power to appoint or remove the majority of Trustees. 25
THE GAThON TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 {continuedl 18. RELATED PARTY TRANSAcfioNS 2021 2020 Donations received from related parties: Netherby Trust Merstham Millennium Trust G Sperrin 5,000 2,010 400 Sales to related parties: G Sperrin 200 Purchases from related partles: Gatton CommunityTheatre 810 During the year, the charity purchased a long-service retirement gift for former Trustee Graham Williams at a cost of £125. 26