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2022-08-31-accounts

THE GRESHAM’S FOUNDATION

(A company limited by guarantee)

REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

Company Number: 05428934 Charity Number: 1109441

THE GRESHAM’S FOUNDATION

REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2022

CONTENTS Page
Trustees’ Report 1 – 8
Auditor’s Report 9 – 11
Statement of financial activities 12
Balance sheet 13
Cash flow statement and notes 14
Notes to the financial statements 15 – 22

THE GRESHAM’S FOUNDATION

TRUSTEES’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2022

The Trustees present their report and audited financial statements for the year ended 31 August 2022.

Reference and Administrative Information

Charity Name The Gresham’s Foundation
Operating Name The Foundation
Company Number 05428934
Charity Number 1109441
Registered Office Gresham’s School
Cromer Road
Holt
NR25 6EA
Trustees Andrew Martin Smith (Chairman)
Diana Brocklebank-Scott
Benjamin Du Brow
Michael Goff
Paul Marriage
Roderick Peacock
Development Director Edward Margetson
Auditors Haysmacintyre LLP
10 Queen Street Place
London
EC4R 1AG
Bankers Barclays Corporate
3 St James Court
Whitefriars
Norwich
NR3 1RJ
Solicitors Birketts LLP
22 Station Road
Cambridge
CB1 2JD
Investment Advisors Waverton Investment Management Ltd
16 Babmaes Street
London
SW1Y 6AH
Phillip Newell Memorial Fund:
Charles Stanley & Co. Limited
25 Luke Street
London
EC2A 4AR

1

THE GRESHAM’S FOUNDATION

TRUSTEES’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The Gresham’s Foundation was incorporated under the Companies Act 1985 on 19 April 2005 as a company limited by guarantee, and is governed by its Memorandum and Articles of Association as amended by certificate of incorporation on change of name dated 3 July 2013, as amended by certificate of incorporation on change of name dated 26 July 2013, as amended on 29 June 2018. The company is registered with the Charity Commission.

Recruitment and appointment of Trustees

It is the Board of Trustees’ collective responsibility to ensure that the organisation is fit for purpose and to determine and support its strategic direction in order to enable it to attain its stated objectives. The charity aims to recruit Trustees with a wide range of relevant experience. Following a governance review carried out by existing Trustees, in consultation with a major donor, the Fishmongers’ Company, the Constitution of the Gresham’s Foundation was changed in June 2018. Under the new constitution, Fishmongers, Gresham’s School and the Old Greshamian Club can each appoint two Trustees.

Induction and training of Trustees

All new Trustees are provided with copies of:

In addition, Trustees are encouraged to read Charity Commission and other relevant publications and to attend courses designed to keep them abreast of their duties and responsibilities.

Risk management

The Trustees have examined the major strategic, business and operational risks which the Charity faces and confirm that systems have been established to mitigate identified risks.

Organisational structure

The Trustees, who meet on a regular basis, administer the Charity, whilst the day to day running of the Charity is delegated to the Development Director and administrative team. The Development team consists of a Director of Development, an Alumni Manager and a Development Administrator, located on the ground floor of the main reception building at Senior School.

Related parties

Gresham’s School (Company Registration number 5196298 and Charity Commission Registration number 1105500) benefits directly from the objects of the charity.

OBJECTIVES AND ACTIVITIES

The objects of the charity are:

Public Benefit

The Trustees have considered the guidance contained in the Charity Commission’s general guidance on public benefit when exercising their powers and duties and planning the future activities of the charity.

2

THE GRESHAM’S FOUNDATION

TRUSTEES’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

ACHIEVEMENTS AND PERFORMANCE

The primary fundraising focus throughout the year has been to seek support for the newly set-up endowment fund honouring the late Headmaster, Logie Bruce-Lockhart, that will help to support and underpin means tested bursaries at Gresham’s. Numerous fundraising appeals were sent out, whilst promotion of the fund featured heavily in a telephone campaign run in April 2022. The Bruce-Lockhart Fund is the first endowment fund of its kind within the Foundation that will support bursaries at Gresham’s in perpetuity.

A number of other small, targeted fundraising appeals were sent out over the course of the year, most of which were proposed amongst individuals or OG peer-groups. This resulted in sizeable support for the School’s growing access and outreach programme, the bursary programme at Gresham’s, support for boarding houses and scholarship support for pupils coming from overseas.

Overall, the financial year proved to be particularly successful in terms of donations received.

Events

As reported last year, a large-scale memorial service was held on 11 September in honour of the late, great Headmaster, Logie Bruce-Lockhart. More than 350 members of the Gresham’s community returned to the School to pay their respects, and it coincided with the Dyson STEAM Building having very recently opened, allowing guests to have a complete tour of the new building.

The following events were organised and funded by the Old Greshamian Club, the alumni association for former pupils of Gresham’s School:

The annual Old Greshamian drinks at Fishmongers’ Hall took place on 25 November and was once again a great success with high numbers of OGs returning for the event. It is a perfect opportunity for those London based alumni and alumnae to meet fellow OGs and hear about the School’s progress, as well as meet in a special and particularly relevant setting given the longstanding relationship between the Fishmongers’ Company and Gresham’s.

A Bursary Fund breakfast meeting, also held at Fishmongers’ Hall, occurred on 8 October. A number of the School’s key supporters attended, as did members of the senior leadership teams at both the School and the Fishmongers’ Company. A recent bursary recipient at Gresham’s spoke about their time at the School and the impact of the support they received. It was an ideal opportunity for a number of interested and invested parties to meet and discuss the School’s overarching bursary and access & outreach programmes.

A number of year group reunions were held throughout the year, some of which occurred at Gresham’s and others in London or further afield. The plan during this coming year is to hold 10, 20, 30 and 40 year reunions, as well as other year group reunions and regional reunions in both the South West of England and in Yorkshire and the Humber.

Looking ahead still, a stewardship event for all of the School’s and Foundation’s supporters in recent years was held at School on 8 October 2022. An extensive OG sports calendar remains in place and adds a great deal to the affinity so many OGs have for their school. We hope to be able to expand this offering over the coming years.

Training

The Development Office database was upgraded during the latter part of the year. It has moved onto a secure, cloud-based system provided by the Access Group, one of the leading software specialists in the UK. This upgrade has required a great deal of preparation and familiarisation.

Graduway continue to provide ongoing support in relation to Gresham’s Global Connect platform, which has become more of a directory for OGs to search and contact one another.

3

TRUSTEES’ REPORT (continued)

THE GRESHAM’S FOUNDATION

FOR THE YEAR ENDED 31 AUGUST 2022

ACHIEVEMENTS AND PERFORMANCE (continued)

FUNDRAISING INITIATIVES

A number of email-based fundraising appeals were sent out in promotion of the Bruce-Lockhart Fund, whilst the OG Magazine, produced in November 2021, was sent to approximately 6,000 OGs and included a booklet promoting the Fund, along with a request for people’s support.

The School and the Gresham’s Foundation ran its first telephone campaign in eight years during the Easter break. It again proved to be a successful way to engage with a large number of OGs in a short space of time, talk about the School in the past and discuss recent and proposed developments. The vast majority of those who had calls were extremely receptive and willing to give their time, knowledge and support to the campaign.

Plans for the year ahead involve the launch of an annual fund programme in October – which will be seeking support amongst OGs and current Gresham’s parents for house, sport and departmental projects/equipment and on a regular basis – as well as a number of appeals that continue to seek support for the Bruce-Lockhart Fund and Sports projects at the School. A Giving Day event is being planned for later in the year, which will largely be online and require significant involvement from the whole School.

There will be ongoing efforts to increase regular giving amongst OGs, former parents and Friends of the School, which will greatly benefit the opportunities afforded to pupils and help underpin the School’s bursary commitment.

Securing legacy commitments remains a long term aim of the Foundation.

The Gresham’s Foundation is registered with the Fundraising Regulator. The Development Office will continue to ensure that relationships with our current supporters are strengthened and that opportunities for continued or increased giving are available.

DONATIONS

The Fishmongers’ Company continues to offer a significant level of support in aid of bursarial provision at Gresham’s. Their support of the Foundation’s Bursary Fund amounted to £268,000, which is providing lifechanging bursary support to a number of pupils at the School.

More than £250,000 has so far been pledged towards the Bruce-Lockhart Fund, with sizeable support expected over the course of the next financial year.

A £1 million endowment gift was received at the turn of 2022, in aid of US scholarships at Gresham’s – a quite remarkable show of support from a most generous Old Greshamian.

Prior to the telephone campaign starting in April, a pledge of £50,000 from an OG was received, matching donations during the campaign on a 1:1 basis and until the support was exhausted. The campaign ended up raising £50,000, meaning the generous OG’s support in its entirety matched all new donations received during the telethon.

A family foundation generously agreed to underpin a new STEAM outreach programme at the School over the next three years. The programme involves inviting and engaging with Year 6 pupils in state schools across North Norfolk, inviting them to Gresham’s so they can take part in multiple STEAM activities, tasks and projects. The programme, which has just finished its first year, has been a great success: More than 500 young people from 25 local state schools attended. In 2022/23, 650 pupils from over 30 schools are expected to come to Gresham’s as part of the programme.

Three OGs have collectively helped to support a German Scholarship programme for a pupil who requires financial support in order to study here.

4

THE GRESHAM’S FOUNDATION

TRUSTEES’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

DONATIONS (continued)

A number of longstanding, individual donors continue to offer considerable support in aid of life changing bursaries at Gresham’s. These bursaries support pupils who have experienced hardship or bereavement or are from low income households.

Very generous parents of a pupil in Queens’ House have committed sizeable support to help the building of a veranda and pergola on the outside of the house – a project which will have a lasting impact on the pupils in Queens’.

14 members of the Gresham’s community (2021: 12) gave major donations (totalling £5,000 or more) over the course of the year. The number of overall donors to the Foundation was 229 (2021:231). There were 71 new donors to the Foundation throughout the year (2021: 98).

Income received from three legacies amounted to £4,310.

The Foundation’s Bursary Fund provided significant funding to the School that covered more than 22% of the total value of Senior School bursaries awarded throughout the year.

PUBLIC BENEFIT

The School’s Strategic Plan 2020-25 emphasises the need to continue to widen access to Gresham’s and the importance of doing so. The School wishes to ensure young people, regardless of background or ability to pay fees, are able to benefit from, and add to, what makes Gresham’s such a special school. Providing pupils with bursary support and offering a challenging and enlightening education are at the heart of the School’s ethos.

Donations to the Foundation in support of bursaries have greatly helped to ensure the School can maintain its level of bursary support. The Foundation makes significant, annual contributions towards the School’s bursary commitment, a commitment which consistently provides approximately 20% of pupils in the Senior School with bursarial support each year.

In 2022, 38 pupils received life-changing awards, which cover between 76% and 100% of school fees (2021: 43). The remaining support is for top-up bursaries; crucial support that enables families to send their child to Gresham’s.

Thanks to donations from the Fishmongers’ Company, in particular, up to four life-changing awards in total are made every year to pupils across North Norfolk. Pupils who have received such awards in recent years have had great success whilst at Gresham’s, both in and outside of the classroom. Two recent award holders began undergraduate courses at Cambridge in September 2020.

The aforementioned STEAM Outreach programme is an example of the increasing efforts by the School to engage with and support young people across the local community, in this case by getting them further involved in and excited by STEAM subjects.

Gresham’s continues to develop links with many state schools across Norfolk, as well as with UK social mobility charities – whose aims include widening access to leading independent schools – such as the Springboard Bursary Foundation. The Foundation helps support these partnerships and initiatives, ensuring a growing number of young people will benefit from the support, teaching and opportunities that Gresham’s can offer.

DATA PROTECTION

The Development Office continues to comply with GDPR and action any opt-out from communications.

5

THE GRESHAM’S FOUNDATION

TRUSTEES’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

WEBSITE, MARKETING & FURTHER ENGAGEMENT WITH OGs

Gresham’s Global Connect and the OG Club’s Facebook and LinkedIn pages continue to provide a great source of information and opportunities for OGs who wish to have close ties to the School and offer their support where possible.

The Foundation’s webpages are continually updated to ensure content is accurate and social media in the form of Facebook, Twitter newsfeeds and Gresham’s Global Connect allow frequent communication with the OG and School network, highlighting news and successes.

The 2021 OG Magazine was mailed out in November 2021 to over 6,000 OGs. The 2022 issue has been collated throughout the year, with advertising secured, and is expected to be circulated by the middle of November 2022.

The E-newsletter lends itself to supporting our fundraising initiatives and GDPR responsibilities, and allows for granular tracking and metrics to help refine our approach and report feedback.

More than 50 Old Greshamians gave in-person or virtual talks to Gresham’s pupils this past academic year, whilst many more came back for our STEAM Fair and Business Breakfast events.

The Development Team regularly provides updates to Governors, the OG Committee and content for inclusion in the Headmaster’s Senior School Newsletters.

FINANCIAL REVIEW

The net inflow of funds for the year amounted to £1,249,000 (2021: £531,000). The permanent Endowment Fund increased by £1,060,000 (2021: increased by £228,000) due to large endowment donations received during the year. The Philip Newell Memorial Fund fell by £8,000 (2021: increase by £13,000). The bursary fund for pupils at Gresham’s School had a year-end balance of £1,640,000 (2021: £1,578,000).

Reserves policy

The total reserves of the Foundation amount to £6,567,000 (2021: £5,318,000) of which £2,493,000 (2021: £2,424,000) is unrestricted reserves and £1,391,00 are free reserves (2021: £815,000). The objectives of the Foundation require substantial funds so the Trustees’ priority is to build up reserves to meet the annual cost of bursaries and operating costs and help fund capital projects.

Restricted reserves were £1,865,000 (2021: £1,745,000) at 31 August and endowment reserves were £2,209,000 (2021: £1,149,000).

Investment policy

Investments continue to be managed by Waverton Investment Management Ltd, who were appointed in 2020/21 following competitive tender process. The Trustees’ policy continues to be to maximise the total return on the Foundation’s investments whilst maintaining a balance between rising income and long term capital growth. Performance during the year has been as expected given the impact of wider economic factors.

6

THE GRESHAM’S FOUNDATION

TRUSTEES’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

RISK MANAGEMENT

On an ongoing basis the Trustees assess the major risks to which the Foundation is exposed and they are satisfied that systems are in place to manage all identified risks.

The Foundation was registered with the Fundraising Regulator in October 2019. This step will help ensure OGs and the wider Gresham’s Community alike are well informed of the intentions of the Foundation and Development Office, as well as their rights to request less or no contact from the School with regards to marketing and fundraising appeals.

The Trustees view the risks in terms of impact and probability. They have identified the following as the most significant to the ongoing operation of the Foundation:

Maintaining and increasing the levels of support for the Foundation: The Trustees are conscious of the ongoing negative impact that the current economic situation could have on both maintaining the level of support from donors to the Foundation and expectation that such philanthropic support should increase in comparison to recent years. A repercussion could be that individuals, trusts and foundations might be less willing or able to support the Foundation and School. However, in light of the ongoing generosity of a number of loyal donors, including that of The Fishmongers’ Company, as well as the fundraising opportunities and discussions that are ongoing, the Trustees are confident that the level of support shown for the Foundation will likely not diminish but instead grow and offer increased support for the School’s charitable objectives in the coming year.

Governance: The School and the Foundation returned to a fully operational site in 2021/22 following the pandemic. This meant the termly Foundation Trustees’ meeting could once again revert to being in person and held at Gresham’s.

Correct use of Restricted Funds . All gifts are logged according to an established protocol ensuring that the donor’s wishes are met regarding the allocation of their gift.

KEY MANAGEMENT

The key management of the Foundation are the Trustees. They give their time freely.

FUNDRAISING POLICY

The Foundation informs supporters of its fundraising activity via direct mail, email and fundraising events and email in line with the Fundraising Code of Practice set by Fundraising Regulator. Our fundraising promise ( which is under our privacy policy ) is as follows:

When you support you can be sure of the following:

We have a training programme for all our fundraising staff to regularly reinforce our fundraising ethics.

There were no complaints about fundraising activity received in the year.

7

THE GRESHAM’S FOUNDATION

TRUSTEES’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

TRUSTEES’ RESPONSIBILITIES

Company law requires the Trustees to prepare financial statements for each financial year. Under that law the Trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that year. In preparing these financial statements, the Trustees are required to:

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

Members of the Board of Trustees, who are directors for the purpose of company law and Trustees for the purpose of charity law, who served during the year and up to the date of this report are set out on page 1. In accordance with company law, as the company’s directors, we confirm that:

AUDITOR

Haysmacintyre, LLP Chartered Accountants, have indicated that they are willing to be reappointed as auditor at the forthcoming Annual General Meeting.

On behalf of the Trustees on 5 December 2022

Andrew Martin Smith Chairman

8

INDEPENDENT AUDITORS’ REPORT

TO THE TRUSTEES OF THE GRESHAM’S FOUNDATION

FOR THE YEAR ENDED 31 AUGUST 2022

Opinion

We have audited the financial statements of Gresham’s Foundation for the year ended 31 August 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement, and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 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:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity 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 Trustees are responsible for the other information. The other information comprises the information included in the Trustees’ 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.

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

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

9

INDEPENDENT AUDITOR’S REPORT

TO THE TRUSTEES OF THE GRESHAM’S FOUNDATION (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Report (which incorporates the directors’ report).

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of Trustees for the financial statements

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 law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements

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

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

Based on our understanding of the charitable company and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to GDPR and charity law, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and the Charities Act 2011.

10

INDEPENDENT AUDITOR’S REPORT

TO THE TRUSTEES OF THE GRESHAM’S FOUNDATION (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

Auditor’s responsibilities for the audit of the financial statements (continued)

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to the improper recognition of revenue and management bias in accounting estimates. Audit procedures performed by the engagement team included:

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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

Use of our report

This report is made solely to the charitable company's trustees, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's trustees those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's trustees, as a body, for our audit work, for this report, or for the opinions we have formed.

Tracey Young, (Senior Statutory Auditor) 10 Queen Street Place Haysmacintyre LLP, Statutory auditors London EC4R 1AG

2022

11

THE GRESHAM’S FOUNDATION

STATEMENT OF FINANCIAL ACTIVITIES (Incorporating income and expenditure account)

FOR THE YEAR ENDED 31 AUGUST 2022

Unrestricted Restricted Endowment
Fund Funds Fund 2022 2021
INCOME FROM: Notes £000 £000 £000 £000 £000
Donations 4 430 1,130 1,564 361
Profit on sale of property 198 - - 198 26
Investment income 2 45 50 - 95 88
------------ ------------ ------------ ------------ ------------
Total Income 247 480 1,130 1,857 475
------------ ------------ ------------ ------------ ------------
EXPENDITURE ON:
Raising funds 3 4 34 - 38 50
Charitable activities 3 54 323 - 377 450
------------ ------------ ------------ ------------ ------------
Total expenditure 58 357 - 415 500
------------ ------------ ------------ ------------ ------------
Surplus/(loss) before investment
gains and losses 189 123 1,130 1,442 (25)
(Losses)/gains on investment
assets (124) 1 (70) (193) 556
------------ ------------ ------------ ------------ ------------
Net movement in funds before
transfers 65 124 1,060 1,249 531
Transfers 9 4 (4) - - -
------------ ------------ ------------ ------------ ------------
Net movement in funds 69 120 1,060 1,249 531
Reconciliation of funds
Fund balances at 1 September 9
2021 2,424 1,745 1,149 5,318 4,787
------------ ------------ ------------ ------------ ------------
Fund balances at 31 August 9
2022 2,493 1,865 2,209 6,567 5,318
====== ====== ====== ====== ======

The statement of financial activities includes all gains and losses in the year. All incoming resources and resources expended derive from continuing activities. The comparative year’s Statement of Financial Activities is included in note 14.

The notes set out on pages 15 to 22 form an integral part of these financial statements.

12

THE GRESHAM’S FOUNDATION
BALANCE SHEET
AS AT 31 AUGUST 2022
Company number: 05428934
2022 2021
Notes £000 £000 £000
£000
Restated
FIXED ASSETS
Tangible fixed assets 4 1,102 1,609
Investments 5 5,045 3,159
------------ ------------
6,147 4,768
CURRENT ASSETS
Debtors 6 27 55
Cash at bank 401 600
------------ ------------
428 655
CURRENT LIABILITIES
CREDITORS- amounts falling due
within one year 7 (8) (105)
------------ ------------
NET CURRENT ASSETS 420 550
------------ ------------
NET ASSETS 6,567 5,318
====== ======
FUND BALANCES
Bruce Lockhart endowment fund 9 170 44
Bacon Foundation endowment fund 9 978 -
Permanent endowment fund 9 1,061 1,105
Restricted funds 9 1,865 1,745
Unrestricted general fund 9 2,493 2,424
------------ ------------
6,567 5,318
====== ======

The financial statements were approved and authorised for issue by the Trustees on 5 December 2022 and signed on their behalf by:

Andrew Martin Smith Chairman of the Trustees

Roderick Peacock Trustee

The notes set out on pages 15 to 22 form an integral part of these financial statements.

13

THE GRESHAM’S FOUNDATION

CASH FLOW STATEMENT

FOR THE YEAR ENDED 31 AUGUST 2022

2022 2021
£000 £000
Net cash inflow from operating activities
Net income/(expenditure) 1,442 (25)
Investment income and interest receivable (95) (88)
Profit on sale of property (198) (26)
Depreciation charge 13 20
Decrease/(increase) in debtors 28 (32)
(Decrease)/increase in creditors (97) 14
------------ ------------
1,093 (137)
------------ ------------
Cash flow from investing activities
Investment income and interest receivable 45 93
Proceeds from sale of property 672 445
Payments to acquire investments (4,082) (3,296)
Proceeds from sale of investments 2,074 3,238
------------ ------------
(1,292) 480
------------ ------------
Net change in cash and cash equivalents in the reporting period (199) 343
Cash and cash equivalents at the beginning of the reporting period 600 257
------------ ------------
Cash and cash equivalents at the end of the reporting period 401 600
====== ======
Analysis of Cash and cash equivalents At At
31 August 31 August
2021 Cash 2022
flow
£000 £000 £000
Cash at bank and in hand 600 (199) 401
------------ ------------ ======

The analysis of net debt is not required as no debt held by the Foundation.

The notes set out on pages 15 to 22 form an integral part of these financial statements.

14

THE GRESHAM’S FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2022

1. ACCOUNTING POLICIES

Basis of Preparation

The financial statements have been prepared under the historical cost convention, as modified by the inclusion of fixed assets investments at market value. The format of the financial statements has been presented to comply with the Companies Act 2006, FRS102 The Financial Reporting Standard applicable in the UK and Ireland and the Statement of Recommended Practice Accounting and Reporting by Charities , second edition (“SORP 2019”). Figures are presented in sterling and rounded to the nearest pound.

The Charity is a Public Benefit Entity as defined by FRS102.

Going concern

The Trustees consider that there are no material uncertainties which would cast doubt on the Charity’s ability to continue as a going concern. The Trustees review the financial information of the Charity and consider whether it is a going concern for at least twelve months from the date of approval of the accounts. The Trustees have assessed the major risks to which the Charity is exposed and is satisfied that systems are in place to manage exposure to major risks. Appropriate consideration of risks through normal risk management processes mean that the Trustees consider it appropriate for the going concern basis to be adopted for these accounts.

General information

The Charity is a company limited by guarantee, incorporated in England and Wales (company number: 05428934) and a charity registered in England and Wales (charity number: 1109441).

Significant Judgements

In preparing these financial statements the Trustees have had to make estimates and assumptions that affect the amounts recognised in these financial statements. Estimates and judgements 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 circumstances. Key areas subject to judgement and estimation is as follows:

Fixed asset depreciation. Judgement is applied when assigning anticipated average lives to the fixed assets of the school.

Legacy income. The key estimates include the valuation of residual estates due to the Foundation and assessing the probability of receipt.

Fund accounting

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of the general objects of the Charity.

Restricted funds are funds where the income is restricted by conditions of the donor.

Endowment funds are permanent and are represented by investments.

Income

All income is included in the Statement of Financial Activities when the Charity is entitled to the income, receipt is probable and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:

Voluntary income is received by way of grants and donations and is included in full in the Statement of Financial Activities when receivable.

Investment income is included when receivable.

15

THE GRESHAM’S FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2022

1. ACCOUNTING POLICIES (continued)

Expenditure

Charitable expenditure comprises those costs incurred by the Charity in the delivery of its activities and services for its beneficiaries

Expenditure is recognised on an accruals basis as a liability is incurred. The irrecoverable element of VAT is included with the item of expense to which it relates:

Costs of raising funds comprise the costs associated with attracting voluntary income.

Governance costs include those costs associated with meeting the constitutional and statutory requirements of the Charity and include the audit fees and costs linked to the strategic management of the Charity.

All costs are allocated between the expenditure categories of the Statement of Financial Activities on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly. Other costs are apportioned on an appropriate basis.

Tangible Fixed Assets

The buildings donated to the Gresham’s Foundation by the Fishmongers’ Company have been recognised at market value, which is therefore treated as deemed cost.

Depreciation

Depreciation is calculated to write off on a straight line basis the cost, less estimated residual values, of tangible fixed assets over their estimated useful lives to Foundation. The annual depreciation rate is as follows:

Buildings 1%

The carrying values of tangible fixed assets are reviewed for impairment in accordance with the requirements of FRS102.

Financial instruments

Basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable are accounted for on the following basis:

Investments

Investments held for the long-term to generate income or capital growth are carried at fair value as fixed assets. The Statement of Financial Activities includes the net gains and losses arising on revaluations and disposals throughout the year.

Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposits held at banks, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. Bank overdrafts, when applicable, are shown within current liabilities.

Debtors and creditors

Debtors and creditors are measured at the transaction price less any provision for impairment. Any losses arising from impairment are recognised as expenditure.

16

THE GRESHAM’S FOUNDATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

2. INVESTMENT INCOME

2022 2021
£000 £000
Investment income 95 88
------------ ------------
95 88
====== ======
EXPENDITURE
Cost of
Raising Charitable
Funds activities 2022
£000 £000 £000
Fundraising costs 24 - 24
Investment fees 3 - 3
Administration costs 11 - 11
Donations paid - 77 77
Bursaries paid - 282 282
Auditors’ remuneration - 5 5
Depreciation - 13 13
------------ ------------ ------------
38 377 415
====== ====== ======
Comparative Analysis: Cost of
Raising Charitable
Funds activities 2021
£000 £000 £000
Fundraising costs 9 - 9
Investment fees 14 - 14
Administration costs 27 - 27
Donations paid - 87 87
Bursaries paid - 338 338
Auditors’ remuneration - 5 5
Depreciation - 20 20
------------ ------------ ------------
50 450 500
====== ====== ======

3. EXPENDITURE

Key Management Personnel

The only key management personnel during the year were the Trustees. No Trustee received any remuneration during the year.

17

THE GRESHAM’S FOUNDATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

4. TANGIBLE FIXED ASSETS Buildings 2022
£000 £000
Cost
At 31 August 2021 1,645 1,645
Disposals (500) (500)
------------ ------------
At 31 August 2022 1,145 1,145
------------ ------------
Depreciation
At 31 August 2021 36 36
Charge for the year 13 13
Disposals (6) (6)
------------ ------------
At 31 August 2022 43 43
------------ ------------
Net Book Value
At 31 August 2022 1,102 1,102
====== ======
At 31 August 2021 1,609 1,609
====== ======
5. INVESTMENTS
Restricted Unrestricted Endowment
Funds general fund Funds 2022
£000 £000 £000 £000
Market value at 1 September 2021 1,503 543 1,113 3,159
Additions 461 1,441 2,251 4,153
Disposals (215) (728) (1,131) (2,074)
Gains/(losses) 1 (124) (70) (193)
------------ ------------ ------------ ------------
Market value at 31 August 2022 1,750 1,132 2,163 5,045
====== ====== ====== ======

18

THE GRESHAM’S FOUNDATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

6. DEBTORS 2022 2021
£000 £000
Debtors 27 55
------------- -------------
27 55
====== ======
7. CREDITORS: amounts falling due within one year 2022 2021
£000 £000
Other creditors and accruals 8 105
------------ ------------
8 105
====== ======
8. ANALYSIS OF NET ASSETS BETWEEN FUNDS
Permanent Unrestricted
Endowment Restricted General 2022
Fund Fund Fund Total
£000 £000 £000 £000
Tangible Fixed Assets - - 1,102 1,102
Investments 2,163 1,750 1,132 5,045
Debtors - - 27 27
Cash at bank 46 115 240 401
Creditors - - (8) (8)
------------ ------------ ------------ ------------
2,209 1,865 2,493 6,567
====== ====== ====== ======
Permanent Unrestricted
Endowment Restricted General 2021
Fund Fund Fund Total
£000 £000 £000 £000
Tangible Fixed Assets - - 1,609 1,609
Investments 1,113 1,507 539 3,159
Debtors - 30 25 55
Cash at bank 36 307 257 600
Creditors - (99) (6) (105)
------------ ------------ ------------ ------------
1,149 1,745 2,424 5,318
====== ====== ====== ======

19

THE GRESHAM’S FOUNDATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

9. FUNDS
31 August Gains/ 31 August
2021 Income Expenditure (losses) Transfers 2022
£000 £000 £000 £000 £000 £000
Phillip Newell Memorial
Fund (travel awards) 73 2 (1) (7) (3) 64
Fund for the benefit of
pupils at Gresham’s 1,582 401 (302) 8 - 1,689
School
Donations toward Auden
seats 13 - (12) - (1) -
Donations toward Music
Fund 15 1 - - - 16
Donations toward
Eccles Pavilion 53 17 (3) - - 67
Other donations 9 59 (39) - - 29
------------ ------------ ------------ ------------ ------------ ------------
Restricted funds 1,745 480 (357) 1 (4) 1,865
Bruce Lockhart
endowment fund 44 130 - (4) - 170
Bacon Foundation
endowment fund - 1,000 (22) - 978
Permanent endowment
fund 1,105 - - (44) - 1,061
------------ ------------ ------------ ------------ ------------ ------------
Endowment funds 1,149 1,130 - (70) - 2,209
Unrestricted general
fund 2,424 247 (58) (124) 4 2,493
------------ ------------ ------------ ------------ ------------ ------------
5,318 1,857 (415) (193) - 6,567
====== ====== ====== ====== ====== ======

The permanent endowment fund of investments generates income to support the charity’s aims to provide support to Gresham’s School.

The Bruce Lockhart endowment fund will generate income to support bursaries for pupils at Gresham’s School. The Bacon Foundation endowment fund will generate income to support US scholarships to Gresham’s School.

20

THE GRESHAM’S FOUNDATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

9.
FUNDS (continued)
31 August Income Expenditure Gains/ Transfers 31 August
Comparative movements 2020 (losses) 2021
£000 £000 £000 £000 £000 £000
Phillip Newell Memorial -
Fund (travel awards) 59 6 (5) 13 73
Fund for pupils at 1,384 253 (284) 223 2 1,578
Gresham’s School
PM Bursary Fund 12 7 (36) 17 - -
Donations towards Auden
seats 13 - - - - 13
Donations toward Theatre - 31 (31) - - -
Stage
Donations toward Pre-Prep - 9 (9) - - -
Playground
Donations towards Music
Centre 14 1 - - - 15
Donations toward Eccles
Pavilion 75 1 (25) - 2 53
Other donations 13 13 (7) - (10) 9
------------ ------------ ------------ ------------ ----------- ------------
Restricted funds 1,570 321 (397) 257 (6) 1,745
Logie Bruce Lockhart - 44 - - - 44
endowment fund
Permanent endowment 921 - - 184 - 1,105
fund
Unrestricted general fund 2,296 110 (103) 115 6 2,424
------------ ------------ ------------ ------------ ------------ ------------
4,787 475 (500) 556 - 5,318
====== ====== ====== ====== ====== ======

10. TRUSTEE REMUNERATION

No Trustee received any remuneration or other benefits during the year. No Trustee received a reimbursement of expenses in 2022 (2021: £nil).

11. TAXATION

The charity is exempt from Corporation Tax as surplus income and gains are applied for charitable purposes.

12. CONNECTED CHARITIES

Gresham’s School (charity number 1105500: company number 05196298) is a charitable company limited by guarantee.

Gresham’s School Trust (charity number: 311268), of which Gresham’s School is the sole corporate Trustee, supports the School from a permanent endowment fund which is represented by the land from which the School operates.

21

THE GRESHAM’S FOUNDATION

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2022

13. RELATED PARTIES

A Trustee made donations totalling £20,000 to the Foundation, restricted for use for bursaries (2021: £30,000).

In 2021 a Trustee made donations totalling £5,000 restricted for use for professional fees related to the investment fund manager tender process.

14. STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2021

Unrestricted Restricted Endowment Total
Fund Funds Fund
INCOME FROM: Notes £000 £000 £000 £000
Donations 38 279 44 361
Profit on sale of property 26 - - 26
Investment income 2 46 42 - 88
------------ ------------ ------------ -----------
Total Income 110 321 44 475
------------ ------------ ------------ ------------
EXPENDITURE ON:
Raising funds 3 27 23 - 50
Charitable activities 3 76 374 - 450
------------ ------------ ------------ ------------
Total expenditure 3 103 397 - 500
------------ ------------ ------------ ------------
Surplus before investment gains 7 (76) 44 (25)
Other recognised gains
and losses
Gains on investment assets 115 257 184 556
------------ ------------ ------------ ------------
Net movement in funds before 181 228 531
transfers 122
Transfers 6 (6) - -
------------ ------------ ------------ ------------
Net movement in funds 128 175 228 531
Reconciliation of funds
Fund balances at 31 August 2020 2,296 1,570 921 4,787
------------ ------------ ------------ ------------
Fund balances at 31 August 2021 2,424 1,745 1,149 5,318
====== ====== ====== ======

22