2025-07-31-accounts

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

Registered number: 05664801 Charity number: 1114424

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Annual report

31 July 2025

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Contents

	Page
Reference and administrative details	1 - 2
Governors' report	3 - 15
Independent auditor's report to the members of The Newcastle upon Tyne Royal Grammar	16 - 19
School
Consolidated statement of financial activities	20
Consolidated income and expenditure account	21
Consolidated balance sheet	22 - 23
Company balance sheet	24 - 25
Consolidated statement of cash flows	26
Notes to the financial statements	27 - 59

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Reference and administrative details Year ended 31 July 2025

Governors	A C Fletcher, Co-opted Governor (Chair)
	X Brock, Co-opted Governor
	J Fitzpatrick, Co-opted Governor
	S A Green, Co-opted Governor
	N J McMinn, Co-opted Governor
	S Milligan, Co-opted Governor
	M D Robinson, Co-opted Governor (resigned 14 January 2025)
	J Ryan, Co-opted Governor (appointed 26 November 2024)
	R S Sanghera, Co-opted Governor
	T N Thorne, Nominated by Northumberland County Council
	S Vadhera, Co-opted Governor
	S Woodroofe, Co-opted Governor (resigned 20 June 2025)
Company registered number 05664801 Charity registered number 1114424 Registered office Eskdale Terrace Newcastle upon Tyne NE2 4DX Company secretary C F Black Headmaster G Stanford Independent auditor UNW LLP Chartered Accountants Citygate St James' Boulevard Newcastle upon Tyne NE1 4JE Bankers Barclays Bank PLC PO Box 379 71 Grey Street Newcastle upon Tyne NE99 1JA National Westminster Bank plc 2nd Floor 1 Trinity Gardens Broad Chare Newcastle upon Tyne NE1 2HF Investment advisors CCLA 1 Angel Lane London EC4R 3AB

1

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Reference and administrative details (continued) Year ended 31 July 2025

Insurance broker

Zurich Municipal Zurich House 2 Gladiator Way Farnborough GU14 6GB

2

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report Year ended 31 July 2025

The Governors present their annual report together with the audited financial statements for the year 1 August 2024 to 31 July 2025. The annual report serves the purposes of both a trustees' report, a directors' report and a strategic report under company law. The Governors confirm that the annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

AIMS AND OBJECTIVES

Charitable Objectives

The charitable objectives of The Newcastle upon Tyne Royal Grammar School (RGS) are set out in the school’s Memorandum of Association as follows and state that we are established for public benefit to deliver:

• The education of children and young persons in the North East of England; and

• Facilities in the interests of social welfare for the education, recreation or other leisure facilities (including but not limited to the arts) of the public at large with a view to improving the conditions of life in Newcastle upon Tyne and the North East of England.

Our Purpose, Vision and Values

RGS remains connected to the purpose for which we were established and has a very clear vision as to what we wish to achieve:

• We believe in inspiring young people and equipping them to make a positive contribution to society; and

• The RGS as a school should promote excellence and is committed to raising aspiration and attainment across the North East.

Our values run through everything we do to deliver the above vision, in our work both within our school and outside in the wider community. Our values are integral to our prioritisation of activities both in the school and our work in the broader community, and are explicit in the standards and behaviour we expect of our students and staff:

• Belief In Each Other is the value of trust. When self-belief seems in short supply, we understand how believing in others can bolster confidence, make someone glow and foster their faith in themselves once again. Belief can break all sorts of ceilings and there are no limits to what can be achieved with tenacity, sheer graft and people you trust at your back. We celebrate everyone’s achievements and allow ourselves to be guided by those we believe in. We catch when others fall but most importantly, we help them get back up again. Pastoral care and wellbeing is at the heart of this value. We work hard and believe that others will do the same.

• Love for Learning seems self-evident in a school built on RGS’s formidable academic reputation. We communicate unashamedly how passionate we are, we encourage everyone to enjoy school and believe that a positive approach each day can bring out the best in every learner. Teaching happens in the most surprising and diverse ways and the best learning often happens by stealth, when it is least expected, in the nooks and crannies of the curriculum. The thirst for knowledge and freedom to explore can help that love of learning grow. We support self-expression, critical thinking and creativity in both teaching and learning – for academic success but also to enable people to be their best selves.

3

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report (continued) Year ended 31 July 2025

• We value a Sense of Belonging, combining our kinship with each other in the school community with our heritage on Newcastle soil, where we took root five hundred years ago. We are place and people. We respect those around us, are openminded and non-judgemental. Everyone belongs. We are northern, where clanship is strong and bonds forged last a lifetime but we are of the global age. Borders and boundaries are transcended as the RGS family connects like other families spread across the world. We rest in the heart of our Tyneside community, where our Partnership work sees us collaborate within the wider educational and social landscape. Unity with our neighbours means an increased sense of belonging: we want to nurture good citizens: part of a network of people who strive for the greater good.

• Ambition to Succeed is to push forwards, move and innovate. It might be our final value but it doesn’t act as a full stop. This is the thread that ties our other values together. We must never stand still, unless it is to reflect on what we have done and how we might do it differently next time. We have the intellectual freedom to explore and take risks – so we can push boundaries in and out of the classroom. We have a strong support network, both internally and externally, which helps us to change, adapt and respond together. We are constantly evolving and are ambitious for the future – because it is our future and we are excited by its opportunities. We recognise that success looks different for each individual, but whatever it looks like, we hope everyone in our community can strive to challenge themselves. We can be brave with academic content and co-curricular opportunities, encouraging that first small spark of ambition to flare. Conventional, eccentric, classic, left-field, surprising and delightful, we celebrate ambition in all its forms.

Our Public Benefit

RGS is driven by the social impact we can make, not only to the trajectory of the lives of students who attend our school, but also to our broader community and wider society.

Founded 500 years ago during Henry VIII’s reign, Thomas Horsley, five time mayor of Newcastle, endowed RGS as the City’s first school; that early philanthropic gift and social vision has been a constant throughout our half a millennium of existence. Our social responsibility remains at the forefront of our minds and is central to our future endeavours.

We believe that RGS is uniquely placed to stretch and challenge bright young people and consequently we have a well-deserved reputation for academic excellence, consistently outstripping national averages. Our students deliver phenomenal, nationally and internationally recognised achievements, with RGS often cited as an asset when encouraging inward investment to the North East. However, we are an exceptional school in a relatively deprived area of the UK. While we are convinced of the infinite potential of young people from the North East, the social mobility statistics in our region are some of the worst in the country and the challenges have been compounded by the pandemic. Too many children are missing opportunities afforded to others born elsewhere.

We believe that our model of a highly academic education ought to be available to any child who is intellectually curious, able and aspiring, and who would benefit from a fast paced and challenging curriculum through:

1. RGS as a School

2. RGS – Social Impact through offering Bursaries and engaging in Partnerships with other schools in the region.

The Governors have considered the public benefit guidance issued by the Charity Commission and have set out throughout this report the benefits that our activities bring, to both pupils and the wider community.

4

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report (continued) Year ended 31 July 2025

STRATEGIC REPORT

REVIEW OF ACHIEVEMENTS AND ACTIVITIES

1. RGS School delivers our core educational activities. Pupil numbers at our Senior school increased to 1,061 (2024: 1,055) and the number of pupils at our Junior school increased to 270 (2024: 267). Our fees for the current year were:

Junior School - £15,249 per year (including VAT) Senior School - £18,100 per year (including VAT)

RGS SCHOOL ACHIEVEMENTS

1,331 students attended RGS, which would have otherwise cost the taxpayer an annual c£10m if educated in the state system. 90 of those students were on transformational means tested bursaries

In GCSEs, 80.7% of grades achieved were grades 9-7 and 41.4% were grade 9.

In A Level, 86.3% of grades achieved were A-B and 62.7% were A-A.

Over 5,000 hours of volunteering were delivered by over 200 RGS students.

15 members of RGS staff are Governors at local schools and 2 are in Director/Trustee positions.

42 local community groups and organisations accessed RGS school buildings and facilities for their events and activities.

RGS students and staff ran more than 80 partnership projects in over 105 schools, regularly engaging with over 10,000 students and supporting more than 400 teachers.

RGS SCHOOL ACTIVITIES

Operations

Academic year 2024/25 was a year of marked by exceptional achievements across every facet of school life. The school was inspected by ISI in November and was noted for having a “significant strength” in our approach to diversity and inclusion. It was also a year in which we were awarded Independent Senior School of the Year for the whole of the UK at the TES awards in London. While this accolade is tremendous, it really is not news to us that there is immense talent in the North East and our young people and school deserve national recognition.

In the Spring term, the School commenced its Quincentenary celebrations with a concert at the Glasshouse international music venue in Gateshead. 500 performers from across the Junior School, Senior School, alumni and community choir took part. We look forward with optimism and enthusiasm to the challenges and opportunities that lie ahead.

Academic

Academically, our students continue to set a high standard, consistently achieving outstanding results that reflect both their talent and dedication. Strong 2025 exam results were a testament to the commitment and resilience shown by our students, with notable successes across all disciplines. According to Alps Education the achievements of our A level students were in the top 10% nationally for value added relative to cohorts of similar ability elsewhere and our GCSE results were in the top 1%. Pleasingly, our SEND students were in the top 1% across both GCSE and A Level. The depth of academic inquiry demonstrated by those completing their A-levels and GCSEs is a reflection not only of their personal ambition but also of the dedication of our teaching staff.

5

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report (continued) Year ended 31 July 2025

Co-curricular

Our co-curricular achievements this year have been nothing short of exceptional. The performing arts department has once again set the standard with a range of productions that have captivated audiences, showcasing the breadth of talent within our school. From our musicals and plays to the music ensembles and choirs that have performed locally, nationally and even internationally, our students have demonstrated creativity, discipline, and a flair for performance. Sport continues to be a cornerstone of life at the Royal Grammar School, with our teams achieving national success. Our sports programme not only develops physical prowess but also instils in our students the values of teamwork, perseverance, and leadership. In recent years our taking part in Engineering and Robotics competitions has become a significant part of our cocurricular programme and this year a team from the RGS qualified for the VEX robotics world championships in Texas where they won a judges’ award.

Pastoral

At the Royal Grammar School, we are committed to the belief that education extends far beyond the classroom. This year, our pastoral care system has continued to ensure that each student is supported holistically, with their mental well-being and personal growth receiving as much attention as their academic progress. Our peer mentoring programme has continued to empower students to take responsibility for one another, further consolidating our strong, empathetic school community where every child feels valued and supported.

RGS SOCIAL IMPACT

The foundations of our sense of social responsibility belong in our 500 year-old history; Thomas Horsley, the original settler of RGS pledged his legacy in 1525 to create the city’s first learning institution.

Half a millennium later, during our Quincentenary year, in 2024-25 the school’s ambition of social impact remains front and centre to everything we do. We believe in the infinite potential of our region and are driven to raise the attainment and aspiration of young people from across the North East.

We believe in inspiring young people and equipping them to make a positive contribution to society. We promote excellence and are committed to raising aspiration and attainment across the North East. By inspiring and nurturing hearts and minds, we can give those around us the freedom to create and shape their own futures.

We aim to reach young people of the north, regardless of background and circumstance: from Carlisle to Stockton-upon Tees, to Berwick-upon-Tweed and back to our heartland in the city of Newcastle.

We work alongside teachers from all institutions interested in curriculum innovation, collegiality and sharing methodologies; and any parent wanting to explore a range of exciting opportunities for their children.

We collaborate with further and higher education, and businesses wishing to invest in the education and training of young people in this region.

We galvanise the RGS community to give back to the North East region, to support this ambition.

We believe together we can do more.

6

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report (continued) Year ended 31 July 2025

RGS BURSARIES ACHIEVEMENTS

90 (1 in 15) students at RGS attended on transformational means-tested RGS Bursaries.

93.78% average bursary awarded, focussing finite funds where we can make most difference.

193 donors gifted £1.2m in the year to support bursaries.

500 bursary students have been supported since RGS Bursaries were established in 2002.

RGS PARTNERSHIPS ACHIEVEMENTS

10 RGS colleagues are partly externally funded to dedicate time to RGS Partnerships work, with countless more RGS teachers supporting outreach activities.

Over 10,000 individual students in local state schools benefitted from 88 RGS Partnerships activities.

105 different schools across the region were involved in RGS Partnerships activities.

More than 400 teachers received around 1,500 hours of CPD or collaborated on curriculum development.

Over 80 RGS Partnerships projects took place, including Maths, Physics, Engineering, Robotics, Computer Science, Sport, Languages, Classics, Debating, UCAS Mentoring and much more.

Statement by the governors in performance of their statutory duties in accordance with s172(1) of the Companies Act 2006

The board of governors consider, both individually and collectively, that they have acted in the way they consider, in good faith, would be most likely to promote the success of the Charity for the benefit of its members as a whole, and in doing so have regard (amongst other matters) to:

• a. The likely consequences of any decision in the long term – as covered in the Section on Principal Risks and Uncertainties on page 9.

• b. The interests of the company's employees as covered in the section on Engagement with Staff on page 12. c. The need to foster the Charity’s relationships with third party stakeholders such as parents, students, partner state schools. Alumni, donors, contractors, suppliers as well as independent school organisations and national and local government. This is covered throughout this Report although primarily in the Review of Activities and Achievements section on page 5.

• d. The impact of the Charity’s operations on the community and the environment as covered in the Greenhouse gas emissions and energy section on page 13 as well as in the section detailing our Community work on page 6.

• e. The desirability of the Charity maintaining a reputation for high standards of business conduct as covered in the Financial Review on page 8.

• f. The need to act fairly as between members of the company which we do by ensuring all members of the community are fully represented and is covered in the section on Engagement with Staff on page 12.

7

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report (continued) Year ended 31 July 2025

FINANCIAL REVIEW

Student numbers were above budget for the year and are anticipated to remain robust in 2025-26. Careful management of expenditure and cashflow led to an operating surplus of £652,657. Full details of the school’s financial performance are set out in other sections of these Accounts.

The school generated a surplus before losses on investment assets of £669,359 (2024: £787,518). Investment losses amounted to £19,388 (2024: gains £72,315) resulting in a net surplus of £649,971 (2024: £859,833).

The school's subsidiary trading company, RGS Trading Limited, generated a surplus of £5,043 (2024: £1,023) which is included in the above figures.

The net current assets of the school excluding long-term liabilities total £5.7 million (2024: £4.5 million).

The introduction of VAT on school fees, alongside increased employer National Insurance and the removal of business rates relief, has impacted the school’s financial position, though a strong surplus was maintained during the year.

In all our dealings the school ensures that the businesses we contract with are dealt with fairly by adhering to payment terms and complying with all legal agreements and responsibilities. We put out to tender for all large projects to ensure we support local suppliers and ensure suppliers are giving value for money and are also adhering to the high standards which we would expect. We strive for high levels of integrity in all that we do and choose to work with companies who echo our values.

Going concern

The Governors have reviewed budgets and cash flow forecasts extending at least twelve months from the date of approval of these financial statements. The School maintains a strong cash position and continues to see healthy pupil numbers and fee collection.

The introduction of VAT on school fees from January 2025 has been factored into financial planning. The School adjusted its fee structure and absorbed part of the VAT cost to support families, resulting in an effective increase of around 10% for parents in 2025/26. Forecasts reflect this change, and the School remains financially resilient.

The Governors are satisfied that there are no material uncertainties that cast doubt over the School’s ability to continue as a going concern, and the financial statements have been prepared accordingly.

Investment policy and performance

The Governors are authorised to invest the School’s funds in a manner they consider most appropriate to support the School’s charitable objectives. Investment income is recognised when receivable, and both realised and unrealised gains are reported within the Statement of Financial Activities.

The Governors have delegated the management of the investment portfolios to CCLA and appraise their performance at regular intervals; the Governors’ policy is to maintain income while preserving the market value of the investments.

'The total returns (capital growth with income received and after investment management fees), for the year ended 31 July 2025 were +2.95% (2024: +2.95%) on the Peter Taylor Fund, +2.95% (2024: +2.95%) on the J R Howarth Bequest Fund and +2.95% (2024: 2.95%) on the Storrow Scott Trust. All three portfolios are invested in the COIF Charities Investment Fund (Income Units).'

8

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report (continued) Year ended 31 July 2025

Reserves policy

The Governors continue to take steps to review their reserves policy. Their intention is to continue to develop the school facilities with a focus on sustainability whilst at the same time containing increases in tuition fees to a reasonable level. Note 17 to the financial statements shows the assets and liabilities attributable to the various funds by type, describes the various funds and summarises the movements on each fund.

Unrestricted funds in total amounted to £38.6 million. Of this, designated bursary funds totalling £2.7 million have been set aside; the purpose of which is to provide fee assistance for pupils from lower income families who would not otherwise be able to attend the school. The fund is available for use to supplement the funds generated for bursaries by the activities of the bursary campaign as and when the school’s cash availability allows.

Also within unrestricted funds are fixed assets totalling £42.6 million. Free reserves (i.e. those not tied up in fixed assets or designated by Governors) are in deficit at the year end by £6.6 million (2024: deficit of £8.7 million) due to loans of £10.1 million (2024: £10.9 million) which were taken out to fund building projects.

The Governors are satisfied with the reserves position of the school.

Principal funding

The school's day to day charitable activities are self funding.

Principal risks and uncertainties

The School faces a range of strategic and operational risks, which are regularly reviewed by the Governors and senior leadership. The main risk areas include safeguarding, political and economic uncertainty, and financial pressures.

Safeguarding remains a top priority. All staff and Governors undergo annual safeguarding training, and procedures are regularly reviewed to ensure compliance with statutory requirements and best practice.

The most significant financial risks in the current year relate to the introduction of VAT on school fees from January 2025 and the loss of charitable business rates relief from April 2025. These changes have the potential to impact fee income, pupil numbers, and overall affordability for families. The School has responded by adjusting its fee structure, implementing cost-saving measures, and phasing in increases to mitigate the impact on parents while maintaining educational provision.

Fee income remains a key risk area. The School recognises the impact of economic conditions on families and their ability to meet fee commitments. The Educational Trust’s support for bursaries may also be affected by reduced donations and investment income. Detailed financial modelling and sensitivity analysis are conducted regularly to monitor and manage these risks.

Liquidity risk is managed through careful cash flow forecasting and the use of long-term loans to finance capital projects. The School maintains sufficient liquid assets to meet working capital needs and banking covenants.

9

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report (continued) Year ended 31 July 2025

STRUCTURE, GOVERNANCE AND MANAGEMENT

 Constitution

The school was founded and endowed at the beginning of the sixteenth century by Thomas Horsley who was, more than once, the Lord Mayor of Newcastle upon Tyne. By virtue of a Charter granted in 1600 by Queen Elizabeth it became “The Free Grammar School of Queen Elizabeth in Newcastle upon Tyne”. It subsequently assumed the title “The Newcastle upon Tyne Royal Grammar School”. Prior to the 2006/07 year, the school was regulated by a 1909 Scheme made by the Board of Education under the Charitable Trust Acts 1853 to 1894 and a 1975 Scheme made by the Charity Commissioners with subsequent amendments. The membership of the Governing Body was subsequently amended by resolutions of the Governors dated 1 January 1997, 15 June 2012 and 28 February 2020.

On 1 August 2006, the assets, liabilities and undertaking of the school were transferred to a charitable company (company number 5664801) and its associated Property Trust pursuant to a Charity Commission scheme sealed on 12 July 2006. At the same time the Company was appointed sole corporate trustee of the Property Trust (The Newcastle Upon Tyne Royal Grammar School Property Trust) within which the permanent endowment is held.

By a linking direction made by the Charity Commission on 12 July 2006 the Company and Property Trust are linked for registration and accounting purposes. The Company's charity registration number is 1114424 and the Property Trust's charity registration number is 1114424-1.

 Method of appointment or election of Governors

The Governing Body consists of up to twenty Co-opted Governors serving for a term of up to three years. They can be re-elected, and a Governor may be reappointed for a maximum of three consecutive terms of office. The Governors are Trustees of the Charitable Body. On joining the Board all Governors receive an induction and undergo appropriate training, both at induction, and throughout their tenure.

The Co-opted Governors are co-opted by the existing Governors.

 Pay policy for senior staff

The Nominations and Remuneration Committee review the pay of the Headteacher, Deputy Head and Director of Finance & Operations on an annual basis. The pay of senior staff is guided by the current pay scales and for the few staff who are beyond the highest point, due consideration is taken of benchmarked information for schools of a similar size and location.

 Organisational structure and decision making

The membership of the Governing Board has reduced by one during the year, with two resignations and one new appointment, and continues to focus on the strategy of the school.

The Governing Board regularly reviews the mix of skills, experience and diversity in the Governors that are essential to deliver the school’s vision.

The Governing body is supported by three sub-committees, the Finance and General Purposes Committee, the Education Committee and the Nominations and Remuneration Committee.

Governors meet three times a year, at least once every term, to review the activities of the school and its subsidiary. Financial control is exercised over the activities of the school by means of an agreed Annual Budget.

10

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report (continued) Year ended 31 July 2025

More detailed issues are dealt with in advance of Governors’ meetings by the Education Committee, the Finance and General Purposes Committee and the Nominations and Remuneration Committee.

The Finance and General Purposes Committee is responsible for ensuring the sound management and auditing of the School's finances and resources, including proper planning, monitoring and probity.

Governors who served on the Finance and General Purposes Committee during the period were: Mr Sanjeev Vadhera (Chair) Mr Alan Fletcher Mr Nigel McMinn Mr Jim Ryan (appointed 26 November 2024)

The Nominations and Remuneration Committee is responsible for identifying and nominating for the approval of the Governing body candidates to fill Governing body vacancies as and when they arise; to manage the process for the appointment of the Chair and Vice-Chair and consider the remuneration of the Head, Deputy Head and Director of Finance & Operations annually.

Governors who served on the Nominations and Remuneration Committee during the period were: Mr Jasan Fitzpatrick (Chair) Mr Alan Fletcher Mrs Sally Green Miss Scarlett Milligan

The Education Committee is responsible for providing an initial discussion forum for all matters of the education provided by the school including the pastoral, co-curricular, quality of teaching and staff development (of educational staff) as well as to have an oversight of other areas such as SEND, EDI, examination results and safeguarding.

Governors who served on the Education Committee during the period were: Mrs Sally Green (Chair) Mr Alan Fletcher Mrs Sue Woodroofe Dr Xanthe Brock

Other Governors were in attendance at meetings across the year.

The day to day running of the school is vested in the Headmaster and Director of Finance and Operations alongside seven other members of the Senior Leadership Team:

The Headmaster The Director of Finance and Operations The Deputy Head The Head of Junior School The Deputy Head Academic The Deputy Head Pastoral The Deputy Head of Co-curricular The Head of Sixth Form The Director of External Relations The Director of Partnerships

Mr Geoffrey Stanford Mrs Rachel Amey, succeeded by Mrs Nicola Miller in April Mr Tom Keenan Mr James Miller Mr Chris Quayle Miss Sarah Longville Mr Andrew McBride Ms Polly Enevoldson Mrs Susan Beck Mr John Smith

11

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report (continued) Year ended 31 July 2025

 Engagement with staff and equal opportunities

The Governors are very conscious of the need to engage fully with staff, to inform and consult on matters of importance to staff. During the year there have been a number of significant issues to staff including the introduction of VAT on school fees and removal of rates relief, and the impact on the financial position of the school. The school has an Information and Consultation Committee (ICC) that meets regularly (usually termly). Members of the ICC represent both teaching and operational staff. The committee serves as a key forum for the school to share information with staff - including feedback from Governors’ meetings - and for staff to be given a fair opportunity to understand that information, to form a view on it, and express that view. In addition, there have been a number of specific meetings between staff and Governors, and communications from Governors to staff on the issues above which have provided a direct line of communication between Governors and staff that have been very productive.

When recruiting staff the school looks to appoint individuals from a wide variety of backgrounds. Not just because it is the right thing to do but because at the RGS we?recognise?that those different experiences provide fresh perspectives, opportunities to challenge existing beliefs and provide opportunities to act as excellent role models for our diverse student body. We are committed to creating an inclusive and diverse school culture and our staff are at the heart of this. We are proud to be an equal opportunities employer and all qualified applicants will receive consideration for employment regardless of age, disability, sex, gender reassignment, sexual orientation, pregnancy and maternity, race, religion or belief and marriage and civil partnerships. RGS works with all staff to ensure appropriate training is provided and adjustments made should an individual’s circumstances change during their employment, and that ongoing training, development and progression is available to all staff regardless of their circumstances.

 Related party relationships

The school shares some trustees with the RGS Educational Trust, a charity, the main purpose of which is to provide income towards bursaries for some pupils of the school. The school maintains a bank account on behalf of the Trust in respect of donations towards the Trust’s campaign appeal and the school meets the Trust's campaign appeal costs.

 Risk management

The Governors examine the major risks that the school faces each year, in the course of reviewing their strategic planning for the development of the school. The charitable company has developed systems to monitor and control these risks in order to mitigate any impact which they may have on the school in the future. The principal risks faced by the school are covered under principal risks and uncertainties above / [on page x]

12

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report (continued) Year ended 31 July 2025

Greenhouse gas emissions, energy consumption and energy efficiency action

UK Greenhouse gas emissions and energy use data for 2024 and 2025

Category	2024	2025
Energy Consumption used to calculate emissions (kWh)	4,814,823	4,251,565
Scope 1 emissions (metric tonnes CO2e)
 Gas consumption	631	540
 Transport fuel	18	17
 Total Scope 1	649	557
Scope 2 emissions (metric tonnes CO2e)
 Purchased electricity	265	215
Scope 3 emissions (metric tonnes CO2e)
 Business travel in employee owned vehicles	4	4
Total gross emissions (metric tonnes CO2e)	918	776
Intensity ratio tonnes CO2e per pupil	0.69	0.58
Quantification and reporting methodology

We have followed the 2019 HM Government Environmental Reporting Guidelines. We have also used the GHG Reporting Protocol Corporate Standard and have used the 2020 UK Government Conversion Factors for Company Reporting.

Intensity measurement

The chosen intensity measurement ratio is total gross emissions in metric tonnes CO2e per pupil, the recommended ratio for this sector.

Measures taken to improve energy efficiency and sustainability

The intensity ratio has decreased to 0.58 tonnes of CO? emissions per pupil (2024: 0.69), primarily due to the School receiving the full-year benefit of the solar panel installation. In the prior year, the benefit was only partial, as the panels were installed in September 2023.

LED lights are installed across the school site, including the use of PIR sensors and daylight dimming in appropriate spaces to further reduce the School’s energy consumption.

The school recognises that its activities and actions have an impact on the environment, locally and nationally. RGS is committed to becoming a more sustainable School as part of our 2030 vision, by reducing our negative impact on the environment and enhancing our positive impact.

13

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report (continued) Year ended 31 July 2025

Sustainability at RGS

Sustainability means meeting our own needs without compromising the ability of future generations to meet their own needs. This encompasses not only the environment, but also social factors and economic resources.

Educating the RGS community about the need to live and learn in a sustainable way is fundamental to the school’s vision and ethos of treating everything and everyone with care and respect along with recognising it belongs in the city and that its operations should not compromise future inhabitants.

RGS will celebrate its 500th Anniversary in 2025. The current generation of RGS staff and pupils wish to ensure that we shape a School that is able to flourish for at least another half millennium.

RGS has identified the following areas of focus:

• An estate built to last : RGS will ensure the Estate is built and managed in a sustainable way.

• Lowering our carbon emissions: The school quantified its carbon emissions for the first time in 2021 and will seek to establish targets in order to quantify the decarbonisation of the Estate.

• A culture of using less: The RGS community commits to using less, encompassing all aspects of school life, from pens and paper to reducing printing and electricity.

• Sustainable purchasing: RGS will embed life cycle considerations into all purchases and make environmentally friendly choices regarding products and suppliers.

• Environmentally friendly catering: RGS will ensure its catering operation minimises food miles, reduces its carbon footprint, and educates the community about healthy and sustainable food choices.

PLANS FOR FUTURE PERIODS

The School will continue to pursue its long-term strategic vision, rooted in a 500-year legacy and focused on delivering an outstanding, inclusive education. Looking ahead, the School remains committed to:

• Enhancing the pupil experience, with planned investments in wellbeing, pastoral care, and leadership development to ensure students thrive both academically and personally.

• Supporting staff development, through expanded professional learning opportunities, wellbeing initiatives, and recruitment strategies that reflect a commitment to excellence and diversity.

• Broadening educational opportunities, including curriculum enrichment, co-curricular expansion, and the thoughtful integration of digital technologies and innovation.

• Strengthening community engagement, through anticipated bursary growth, partnership work, and outreach initiatives designed to increase access and opportunity across the North East.

• Maintaining financial sustainability and stewardship, with a focus on long-term planning, income diversification, and capital investment aligned to educational priorities.

To support these aims, the School will implement a series of capital projects informed by strategic priorities. A key development will be the refurbishment of the junior school, scheduled to begin in the second half of 2026. This project will focus on upgrading the building’s façade and entrance, including the creation of a dedicated reception area, to enhance the functionality, accessibility, and presentation of the site.

In addition, the School is transitioning its IT service delivery model by establishing an in-house IT team. This move is expected to improve responsiveness and service quality while delivering cost efficiencies over the coming years through reduced reliance on external providers.

Financial governance will remain a key focus, with initiatives planned to strengthen budget holder accountability through updated financial delegation, targeted training, and a comprehensive review of financial regulations. The School will also explore new opportunities to diversify income, including external facility hire and strategic partnerships.

14

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Governors' report (continued) Year ended 31 July 2025

The School acknowledges the potential impact of external factors on future performance. In particular, the introduction of VAT on private school fees from January 2025 presents a significant financial risk. This change may influence family decision-making regarding school choice, with possible implications for enrolment levels, fee income, and operational planning. In response, the Governors and leadership team will continue to review financial forecasts, conduct scenario modelling, and evaluate strategic options to mitigate this risk. Measures under consideration include phased fee adjustments, cost control initiatives, and enhanced bursary support to ensure the School remains accessible and resilient, while continuing to deliver its charitable objectives.

All future developments will be guided by the School’s ethos; fostering a love for learning, belief in each other, ambition to succeed, and a strong sense of belonging. They will reflect a commitment to delivering impact, pursuing excellence, and securing a sustainable future for generations to come.

STATEMENT OF GOVERNORS' RESPONSIBILITIES

The Governors (who are also directors of The Newcastle upon Tyne Royal Grammar School for the purposes of company law) are responsible for preparing the Governors' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Governors to prepare financial statements for each financial year. Under company law the Governors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period. In preparing these financial statements, the Governors are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the Charities SORP;

• make judgments and accounting estimates that are reasonable and prudent;

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable group will continue in operation.

The Governors are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company and the group's transactions and disclose with reasonable accuracy at any time the financial position of the charitable group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditor

Each of the persons who are Governors at the time when this Governors' Report is approved has confirmed that:

• so far as that Governor is aware, there is no relevant audit information of which the charitable company and the group's auditors are unaware, and

• each Governor has taken all the steps that ought to have been taken as a Governor in order to be aware of any information needed by the charitable company and the group's auditors in connection with preparing their report and to establish that the charitable company and the group's auditors are aware of that information.

This report, which includes the strategic report, was approved by the Governors on 11 February 2026 and signed on their behalf by:

A C Fletcher

(Chair of Governors)

15

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

Independent auditor's report to the members of The Newcastle upon Tyne Royal Grammar School

Opinion

We have audited the financial statements of The Newcastle upon Tyne Royal Grammar School ('the parent charitable company') and its subsidiaries ('the group') for the year ended 31 July 2025 which comprise the consolidated statement of financial activities, the consolidated income and expenditure account, the consolidated balance sheet, the company balance sheet, the consolidated statement of cash flows and the related notes, 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:

• give a true and fair view of the state of the group's and of the parent charitable company's affairs as at 31 July 2025 and of the group's incoming resources and application of resources, including its income and expenditure for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) ('ISAs (UK)') and applicable law. Our responsibilities under those standards are further described in the 'Auditor's responsibilities for the audit of the financial statements' section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

16

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

Independent auditor's report to the members of The Newcastle upon Tyne Royal Grammar School (continued)

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 governors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

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

• the information given in the governors' report including the strategic report for the financial year for which the financial statements are prepared is consistent with the financial statements.

• the governors' report and the strategic report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the governors' report including the strategic report.

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

• the parent charitable company has not kept adequate and sufficient accounting records, or returns adequate for our audit have not been received from branches not visited by us; or

• the parent charitable company financial statements are not in agreement with the accounting records and returns; or

• certain disclosures of governors' remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit.

17

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

Independent auditor's report to the members of The Newcastle upon Tyne Royal Grammar School (continued)

Responsibilities of governors

As explained more fully in the governors' responsibilities statement, the governors (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the governors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the governors are responsible for assessing the group's and the parent 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 governors either intend to liquidate the group or the parent 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.

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.

Extent to which the audit was considered capable of detecting 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. However, it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity’s operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

We obtain and update our understanding of the charitable company, its activities, its control environment, and likely future developments, including in relation to the legal and regulatory framework applicable and how the charitable company is complying with that framework. Based on this understanding, we 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. This includes consideration of the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud.

Based on our understanding of the charitable company, we identified that the principal risks of non-compliance with laws and regulations related to laws and regulations that directly affect the financial statements including financial reporting legislation (including related companies legislation), pension legislation and UK tax legislation. In addition, the charitable company is subject to many other laws and regulations where the consequences of non-compliance could have a material effect on amounts or disclosures in the financial statements, for instance through the imposition of fines and litigation. We considered the extent to which non-compliance with laws and regulations might have a material effect on the financial statements and we have assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.

18

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

Independent auditor's report to the members of The Newcastle upon Tyne Royal Grammar School (continued)

We also evaluated managements’ incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks related to posting inappropriate journal entries to manipulate financial results, management bias in accounting estimates, as well as improper revenue recognition which includes fraudulent posting of journal entries to revenue.

Audit procedures performed by the engagement team included:

• Inquiry of management and those charged with governance regarding actual and potential litigation or claims, any potential non-compliance with laws and regulations, as well as whether they have knowledge of any actual, suspected or alleged fraud;

• Reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;

• Identifying journal entries based on risk criteria and testing the identified entries to supporting documentation, in particular journal entries with unusual account combinations; and

• Challenging assumptions and judgments made by management in their significant accounting estimates and evaluating whether there was any evidence of bias by the governors that represented a risk of material misstatement due to fraud.

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.

Use of our report

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

Anne Hallowell BSc DChA FCA (Senior Statutory Auditor) for and on behalf of UNW LLP Statutory Auditor Chartered Accountants Newcastle upon Tyne

11 February 2026

19

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Consolidated statement of financial activities Year ended 31 July 2025

Note Income from: Donations and legacies 3 Charitable activities 4 Other trading activities 5 Investments 6 Other income Total income Expenditure on: Raising funds Charitable activities 7 Total expenditure Net (losses)/gains on investments Net income Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward 18	Unrestricted funds 2025 £ 1,516,776 19,666,117 197,853 285,545 215,826 21,882,117 221,756 21,040,876 21,262,632 - 619,485 619,485 38,010,764 619,485 38,630,249	Restricted funds 2025 £ 265,321 - - 50,954 - 316,275 1,080 265,321 266,401 - 49,874 49,874 105,860 49,874 155,734	Endowment funds 2025 £ - - - - - - - - - (19,388) (19,388) (19,388) 1,382,464 (19,388) 1,363,076	Total funds 2025 £ 1,782,097 19,666,117 197,853 336,499 215,826 22,198,392 222,836 21,306,197 21,529,033 (19,388) 649,971 649,971 39,499,088 649,971 40,149,059	Total funds 2024 £ 1,699,564 20,096,602 149,046 320,667 110,317
					22,376,196
					159,680 21,428,998
					21,588,678
					72,315
					859,833
					859,833
					38,639,255 859,833
					39,499,088

The notes on pages 27 to 59 form part of these financial statements.

20

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Consolidated income and expenditure account Year ended 31 July 2025

Gross income in the reporting period Less: Total expenditure Net income for the reporting period	Total funds 2025 £ 22,198,392 (21,529,033) 669,359	Total funds 2024 £ 22,376,196 (21,588,678) 787,518

The notes on pages 27 to 59 form part of these financial statements.

21

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Consolidated balance sheet At 31 July 2025

Note Fixed assets Tangible assets 12 Investments 13 Investment property 14 Current assets Stocks Debtors 15 Cash at bank and in hand Creditors: amounts falling due within one year 16 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 17 Total net assets Charity funds Endowment funds 18 Restricted funds 18 Unrestricted funds: - Designated funds - Revaluation reserve - General funds Total unrestricted funds 18 Total funds	30,046 1,681,573 7,336,113 9,047,732 (3,316,793) 2,674,404 12,941,804 23,014,041	2025 £ 42,580,239 998,076 365,000 43,943,315 5,730,939 49,674,254 (9,525,195) 40,149,059 1,363,076 155,734 38,630,249 40,149,059	18,904 361,277 7,253,358 7,633,539 (3,168,070) 2,674,404 12,941,804 22,394,556	2024 £ 44,015,755 1,017,464 365,000 45,398,219 4,465,469 49,863,688 (10,364,600) 39,499,088 1,382,464 105,860 38,010,764 39,499,088

22

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Consolidated balance sheet (continued) At 31 July 2025

The governors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the governors on 11 February 2026 and signed on their behalf by:

A C Fletcher

(Chair of Governors)

The notes on pages 27 to 59 form part of these financial statements.

23

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Balance sheet At 31 July 2025

Note Fixed assets Tangible fixed assets 12 Investments 13 Investment property 14 Current assets Stocks Debtors 15 Cash at bank and in hand Creditors: amounts falling due within one year 16 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 17 Total net assets Charity funds Endowment funds 18 Restricted funds 18 Unrestricted funds: - Designated funds 18 - Revaluation reserve 18 - General funds Total unrestricted funds Total funds	12,206 1,699,090 7,297,366 9,008,662 (3,296,895) 2,674,404 12,941,804 22,994,871	2025 £ 42,580,239 998,077 365,000 43,943,316 5,711,767 49,655,083 (9,525,195) 40,129,888 1,363,075 155,734 38,611,079 40,129,888	12,739 361,171 7,241,999 7,615,909 (3,164,285) 2,674,404 12,941,804 22,380,712	2024 £ 44,015,755 1,017,465 365,000 45,398,220 4,451,624 49,849,844 (10,364,600) 39,485,244 1,382,464 105,860 37,996,920 39,485,244

24

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Company balance sheet (continued) At 31 July 2025

The company's net movement in funds for the year was £644,644 (2024: £858,810).

The governors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the governors on 11 February 2026 and signed on their behalf by:

A C Fletcher

(Chair of Governors)

Company registered number: 05664801

The notes on pages 27 to 59 form part of these financial statements.

25

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Consolidated statement of cash flows Year ended 31 July 2025

Note Cash flows from operating activities Net cash generated from operating activities 20 Cash flows from investing activities Dividends, interests and rents from investments Purchase of tangible fixed assets Net cash used in investing activities Cash flows from financing activities Repayments of borrowing Interest paid Net cash used in financing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year 21	2025 £ 1,468,754 336,499 (512,315) (175,816) (840,000) (370,183) (1,210,183) 82,755 7,253,358 7,336,113	2024 £ 1,619,844 320,667 (376,404) (55,737) (840,000) (401,533) (1,241,533) 322,574 6,930,784 7,253,358

The notes on pages 27 to 59 form part of these financial statements

26

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

1. General information

The Newcastle upon Tyne Royal Grammar School ('the charitable company') and its subsidiaries (together, 'the group') are engaged in the education of children and young persons in the North of England.

The charitable company is a private company limited by guarantee, incorporated in the United Kingdom and registered in England and Wales. The address of the registered office is Eskdale Terrace, Newcastle upon Tyne, NE2 4DX.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The Newcastle upon Tyne Royal Grammar School meets the definition of a public benefit entity under FRS 102.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The financial statements are presented in pounds sterling which is the functional currency of the company and are rounded to the nearest £1.

2.2 Company status

The charitable company is a company limited by guarantee. The members of the charitable company are the governors named on page 1. In the event of the charitable company being wound up, the liability in respect of the guarantee is limited to £1 per member of the charitable company.

2.3 Basis of consolidation

The financial statements consolidate the accounts of The Newcastle upon Tyne Royal Grammar School and its wholly owned subsidiary, RGS Trading Limited, on a line by line basis. RGS Trading Limited covenants taxable profits to The Newcastle upon Tyne Royal Grammar School.

The accounts of The Newcastle upon Tyne Royal Grammar School include the results of the charitable company's Property Trust, charity reference number 1114424-1, the Newcastle upon Tyne Royal Grammar School Prize Funds Charity and the Storrow Scott Charitable Will Trust reference 1114424-2 which are linked to the charitable company for reporting purposes.

The charitable company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own statement of financial activities in these financial statements.

27

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

2. Accounting policies (continued)

2.4 Going concern

The school recorded a net surplus of income over expenditure in the year ended 31 July 2025 and has net assets at the year end of £40.1 million (2024: £39.5 million) with a positive cash position. Working capital is funded through long term loan finance secured on the school buildings; the school is not reliant on short term loans or overdraft facilities.

The governors have reviewed budgets and cash flow forecasts extending at least twelve months beyond 31 July 2025. The school maintains a strong cash position and continues to see healthy pupil numbers and fee collection. The introduction of VAT on school fees from January 2025 has been factored into financial planning. The school adjusted its fee structure and absorbed part of the VAT cost to support families, resulting in an effective increase of around 10% for parents in 2025/26. Forecasts reflect this change, and the school remains financially resilient.

The governors have a reasonable expectation that the charitable group has adequate resources to continue to meet its liabilities as they fall due for the foreseeable future. Consequently, they continue to believe the going concern basis of accounting is appropriate in preparing these financial statements.

2.5 Income

All income is recognised when the group has entitlement to the funds, any performance conditions attached to the items of income have been met, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Fees and similar income

Fees receivable and charges for services and use of premises are accounted for in the period in which the service is provided. Fees receivable are stated after deducting allowances and other remissions granted by the group from its unrestricted funds.

Voluntary income and fund accounting

Voluntary income is received by way of grants and donations and is included in full in the statement of financial activities when receivable.

The group receives a grant from the Hospital of St Mary the Virgin charity, and recognises all grants receivable from that charity, including amounts not yet paid by the year end, but which under the terms of that charity's trust deed, it must pay over in due course to the group.

Grants and donations received for the general purposes of the group are included as unrestricted funds. Grants and donations for activities restricted by the wishes of the donor are taken to restricted funds if these wishes are legally binding on the governors. Donations required to be retained as capital in accordance with the donor's wishes are accounted for as endowments - permanent or not, according to the nature of the restriction.

Investment income

Investment income is accounted for in the period in which the group is entitled to receipt. Incoming resources from endowment funds are restricted.

28

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

2. Accounting policies (continued)

2.5 Income (continued)

Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the group; this is normally upon notification of the interest paid or payable by the bank.

2.6 Expenditure

Expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activities they have been allocated on a basis consistent with the use of the resources.

Support costs are those costs incurred directly in support of expenditure on the objects of the group, including those incurred in connection with the administration of the group and compliance with constitutional and statutory requirements. They are apportioned against the activities of the group in line with the estimated usage of those costs.

Grants are included as expenditure in the period for which the award is given.

Expenditure on raising funds includes all expenditure incurred by the group to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the group's objectives, as well as any associated support costs.

2.7 Investment properties

Investment properties are included in the balance sheet at their open market value. Revaluation gains are recognised in the statement of financial activities.

2.8 Tangible fixed assets and depreciation

Tangible fixed assets costing £3,000 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

All freehold land and buildings are included in the financial statements based on the latest independent valuation of their value to the group plus the cost of subsequent major additions. Replacements and minor improvements to the fabric of the school are written off in the statement of financial activities as they are incurred.

Expenditure incurred during design and construction phases is capitalised and included in assets under construction. The assets are transferred to freehold land and buildings on the earlier of the completion of the project or occupancy by the group.

A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable.

29

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

2. Accounting policies (continued)

2.8 Tangible fixed assets and depreciation (continued)

Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value.

Depreciation is provided on the following bases:

• Freehold property 50 years Leasehold land and buildings - over the life of the lease Motor vehicles - 4 years - Fixtures and fittings 3 - 10 years - Trading subsidiary equipment 4 years

Assets under construction are not depreciated until they are transferred to freehold land and buildings.

Revaluation of fixed assets

The group has adopted the revaluation model to revalue items of property whose fair value can be measured reliably. The revaluations shall be made with sufficient regularity to ensure that the carrying amount does not differ materially from that which would be determined using fair value at the end of the reporting period.

The fair value of land and buildings is usually determined from market-based evidence by appraisal that is normally undertaken by professionally qualified valuers.

Revaluation gains and losses are recognised in the statement of financial activities.

2.9 Investments

Listed investments are stated at their fair value at the balance sheet date. Any gain or loss on revaluation is taken to the statement of financial activities.

In the charitable company balance sheet, investments in subsidiary undertakings are measured at cost less accumulated impairment losses.

2.10 Stocks and work in progress

Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks.

2.11 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

2.12 Cash at bank and in hand

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

30

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

2. Accounting policies (continued)

2.13 Liabilities and provisions

Liabilities are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the group anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the consolidated statement of financial activities as a finance cost.

2.14 Financial instruments

The group only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade, intercompany and other accounts receivable and payable, cash and bank balances, bank loans and loans to or from related parties, including fellow group companies.

All such instruments are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, in which case the transaction is measured at the present value of the future receipts discounted at a market rate of interest. All financial instruments are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period, financial assets are assessed for impairment, and their carrying value reduced if necessary. Any impairment charge is recognised in the statement of financial activities.

2.15 Operating leases

Rentals under operating leases are charged to the statement of financial activities on a straight line basis over the lease term.

31

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

2. Accounting policies (continued)

2.16 Pension costs

The group operates two main schemes:

The group participates in the Teachers' Pension Scheme ('TPS'), which is a defined benefit scheme for teaching staff only. The TPS is an unfunded scheme and contributions are calculated so as to spread the cost of pensions over employees’ working lives with the group in such a way that the pension cost is a substantially level percentage of current and future pensionable payroll. The contributions are determined by the Government Actuary on the basis of quadrennial valuations using a prospective unit credit method. The TPS is a multi-employer scheme and there is insufficient information available to use defined benefit accounting. The TPS is therefore treated as a defined contribution scheme for accounting purposes and the contributions recognised in the period to which they relate.

The group also operates a defined contribution scheme for non-teaching staff. The assets of the scheme are held separately from those of the group in an independently administered fund. The charge to the statement of financial activities is the amount payable in the period.

2.17 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the governors in furtherance of the general objectives of the group and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the governors for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the group for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Endowment funds are funds which are held for the permanent benefit of the group. There is no power to convert capital into income.

32

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

2. Accounting policies (continued)

2.18 Critical accounting estimates and areas of judgment

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 circumstances.

Significant judgments in applying the group's accounting policies

In preparing these financial statements, the governors do not consider there to have been any other significant judgments that were required in the process of applying the group's accounting policies.

Key sources of estimation and uncertainty

Estimates included within these financial statements include the valuation of land and buildings owned by the group, depreciation rates, accruals for employment costs (holiday pay), and asset impairments (for example provisions against stock and debtors).

A VAT debtor has been recognised in relation to VAT to be recovered through the Capital Goods Scheme. Although not expected to change signicantly, there is an estimate in relation to the partial exemption recovery rate and this will be reassessed annually over the 10 year Capital Goods Scheme adjustment period.

None of the estimates made in the preparation of these financial statements are considered to carry significant estimation uncertainty, nor to bear a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next financial year.

33

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

3. Income from donations and legacies

Unrestricted funds 2025 £ Hospital of St Mary the Virgin 200,918 The Royal Grammar School Educational Trust 530,000 Other income - Legacies 785,858 1,516,776 Unrestricted funds 2024 £ Hospital of St Mary the Virgin 311,640 The Royal Grammar School Educational Trust 1,275,000 Other income - 1,586,640	Restricted funds 2025 £ - - 265,321 - 265,321 Restricted funds 2024 £ - - 112,924 112,924	Total funds 2025 £ 200,918 530,000 265,321 785,858
		1,782,097
		Total funds 2024 £ 311,640 1,275,000 112,924
		1,699,564

34

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

4. 5.	Income from charitable activities Unrestricted funds 2025 £ Provision of school services 19,666,117 School fees	Income from charitable activities Unrestricted funds 2025 £ Provision of school services 19,666,117 School fees	Total funds 2025 £ 19,666,117 2025	Total funds 2024 £ 20,096,602 2024
			£	£
	Gross fees		20,685,694	21,179,232
	Less: Free school places		(1,354,395)	(1,365,229)
	Less: Grants and allowances		(581,654)	(574,683)
	Catering income		916,472	857,282
			19,666,117	20,096,602
	Income from other trading activities Income from fundraising events Unrestricted funds 2025 £ Facilities lettings income 93,818 Income from non charitable trading activities Unrestricted funds 2025 £ Subsidiary trading 104,035		Total funds 2025 £ 93,818 Total funds 2025 £ 104,035	Total funds 2024 £ 85,838 Total funds 2024 £ 63,208

35

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

6. Investment income

Unrestricted funds 2025 £ Property rental income - Dividend income - Prize fund dividend income 3,551 Bank interest 281,994 285,545 Unrestricted funds 2024 £ Property rental income - Dividend income - Prize fund dividend income 4,003 Bank interest 256,874 260,877	Restricted funds 2025 £ 34,594 16,360 - - 50,954 Restricted funds 2024 £ 35,868 23,922 - - 59,790	Total funds 2025 £ 34,594 16,360 3,551 281,994
		336,499
		Total funds 2024 £ 35,868 23,922 4,003 256,874
		320,667

36

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

7. Analysis of expenditure on charitable activities

Summary by fund type

Unrestricted funds 2025 £ Provision of school services 20,848,195 Bursaries provided 192,681 21,040,876 Unrestricted funds 2024 £ Provision of school services 20,912,307 Bursaries provided 199,767 Donations 204,000 21,316,074	Restricted funds 2025 £ 265,321 - 265,321 Restricted funds 2024 £ 112,924 - - 112,924	Total 2025 £ 21,113,516 192,681
		21,306,197
		Total 2024 £ 21,025,231 199,767 204,000
		21,428,998

37

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

8. Cost of raising funds

Unrestricted funds 2025 £ Fundraising costs 2,874 Marketing costs 99,402 500th anniversary 21,859 Market research 13,323 Costs of letting facilities - Professional fees 780 Subsidiary trading costs 83,518 221,756 Unrestricted funds 2024 £ Fundraising costs 10,787 Marketing costs 89,415 Costs of letting facilities - Professional fees 2,823 Subsidiary trading costs 55,215 158,240	Restricted funds 2025 £ - - - - 1,080 - - 1,080 Restricted funds 2024 £ - - 1,440 - - 1,440	Total funds 2025 £ 2,874 99,402 21,859 13,323 1,080 780 83,518
		222,836
		Total funds 2024 £ 10,787 89,415 1,440 2,823 55,215
		159,680

38

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

9. Analysis of expenditure by activities

Provision of school services Bursaries provided	Activities undertaken directly 2025 £ 19,449,607 - 19,449,607	Support costs 2025 £ 1,663,909 192,681 1,856,590	Total funds 2025 £ 21,113,516 192,681
			21,306,197

Provision of school services Bursaries provided Donations	Activities undertaken directly 2024 £ 19,375,585 - - 19,375,585	Grant funding of activities 2024 £ - - 204,000 204,000	Support costs 2024 £ 1,649,646 199,767 - 1,849,413	Total funds 2024 £ 21,025,231 199,767 204,000
				21,428,998

39

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

9. Analysis of expenditure by activities (continued)

Analysis of direct costs

Depreciation Teachers' salaries Teaching resources Other educational costs Other teaching staff costs Premises costs Catering costs Academic support expenditure Prizes and awards	Total funds 2025 £ 1,252,510 11,208,432 639,033 1,131,883 242,901 2,342,174 1,036,087 1,588,689 7,898 19,449,607	Total funds 2024 £ 1,250,905 10,796,233 786,665 1,036,182 209,131 2,922,363 941,443 1,423,680 8,983
		19,375,585

Analysis of support costs

Administration costs Financial costs Other central costs Governance	Provision of school services 2025 £ 1,024,973 553,183 50,182 35,571 1,663,909	Bursaries provided 2025 £ 192,681 - - - 192,681	Total funds 2025 £ 1,217,654 553,183 50,182 35,571
			1,856,590

40

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

9. Analysis of expenditure by activities (continued)

Analysis of support costs (continued)

Administration costs Financial costs Other central costs Governance	Provision of school services 2024 £ 970,975 488,835 153,864 35,972 1,649,646	Bursaries provided 2024 £ 199,767 - - - 199,767	Total funds 2024 £ 1,170,742 488,835 153,864 35,972
			1,849,413

10. Auditor's remuneration

	2025	2024
	£	£
Fees payable to the group's auditor for the audit of the charitable company's
annual accounts	15,600	14,700
Fees payable to the group's auditor in respect of:
- The auditing of accounts of associates of the group	9,650	9,000
- All assurance services not included above	1,500	1,300

11. Staff costs

Staff costs Wages and salaries Social security costs Pension contributions	2025 £ 11,215,053 1,268,428 2,410,542 14,894,023	2024 £ 10,901,616 1,140,665 2,134,193
		14,176,474

Included in staff costs are non-statutory/non-contractual severence payments of £20,054 to 3 individuals (2024: £3,542 to 2 individuals).

41

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

The number of employees receiving remuneration of more than £60,000 per annum is as follows: £60,001 - £70,000 £70,001 - £80,000 £80,001 - £90,000 £100,001 - £110,000 £120,001 - £130,000 £160,001 - £170,000	2025 No. 38 4 6 1 1 1 51	2024 No. 34 5 5 1 1 1
		47

Key management personnel has been determined to be the governors and the 10 (2024: 10) members of the senior management team. The total remuneration of the senior management team, excluding employer's national insurance costs, was £1,226,268 (2024: £1,182,057).

During the year, no governors received any remuneration (2024: £nil). No expenses were reimbursed to governors in either year.

Staff numbers Teaching staff Other staff	Headcount 2025 No. 148 134 282	Headcount 2024 No. 147 138
		285

42

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

12. Tangible fixed assets

Group

Cost or valuation At 1 August 2024 Additions Disposals VAT reclaimed under Capital Goods Scheme At 31 July 2025 Depreciation At 1 August 2024 Charge for the year On disposals At 31 July 2025 Net book value At 31 July 2025 At 31 July 2024	Freehold property £ 51,870,004 - (44,400) (624,080) 51,201,524 9,189,596 942,139 (44,400) 10,087,335 41,114,189 42,680,408	Motor vehicles £ 219,272 - - - 219,272 144,750 24,495 - 169,245 50,027 74,522	Fixtures and fittings Assets under construction £ £ 4,285,027 - 68,947 443,368 (12,567) - (71,100) - 4,270,307 443,368 3,024,202 - 285,876 - (12,426) - 3,297,652 - 972,655 443,368 1,260,825 -	Total £ 56,374,303 512,315 (56,967) (695,180) 56,134,471 12,358,548 1,252,510 (56,826) 13,554,232 42,580,239 44,015,755

43

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

12. Tangible fixed assets (continued)

Company

Cost or valuation At 1 August 2024 Additions Disposals Transfers between classes At 31 July 2025 Depreciation At 1 August 2024 Charge for the year On disposals At 31 July 2025 Net book value At 31 July 2025 At 31 July 2024	Freehold property £ 51,870,004 - (44,400) (624,080) 51,201,524 9,189,596 942,139 (44,400) 10,087,335 41,114,189 42,680,408	Motor vehicles £ 219,272 - - - 219,272 144,750 24,495 - 169,245 50,027 74,522	Fixtures and fittings Assets under construction £ £ 4,272,960 - 68,947 443,368 (12,567) - (71,100) - 4,258,240 443,368 3,012,135 - 285,876 - (12,426) - 3,285,585 - 972,655 443,368 1,260,825 -	Total £ 56,362,236 512,315 (56,967) (695,180) 56,122,404 12,346,481 1,252,510 (56,826) 13,542,165 42,580,239 44,015,755

Included in land and buildings is freehold land at valuation of £6,700,000 (2024: £6,700,000), cost unknown, which is not depreciated.

The freehold land and buildings were revalued by Lambert Smith Hampton, external Chartered Surveyors, as at 25 June 2020 on a depreciated replacement cost basis of £46,250,000. Subsequent additions are included at cost.

At 31 July 2025, included within the net book value of land and buildings is £41,723,212 (2024: £42,664,378) relating to freehold land and buildings and £15,057 (2024: £16,030) relating to long term leasehold land and buildings.

Following VAT registration, the capitalised cost of certain assets has been reduced to reflect recoverable VAT under the Capital Goods Scheme (CGS). The amount recoverable is based on the school's estimated partial exemption recovery rate and will be reassessed annually over the 10-year CGS adjustment period in line with the actual taxable use. A corresponding amount has been recognised in debtors - see Note 14.

44

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

13. Fixed asset investments Group Cost or valuation At 1 August 2024 Revaluations At 31 July 2025 Net book value At 31 July 2025 At 31 July 2024 Company Cost or valuation At 1 August 2024 Revaluations At 31 July 2025 Net book value At 31 July 2025 At 31 July 2024	Investments in subsidiary companies £ 1 - 1 1 1	Listed investments £ 1,017,464 (19,388) 998,076 998,076 1,017,464	Listed investments £ 1,017,464 (19,388) 998,076 998,076 1,017,464 Total £ 1,017,465 (19,388) 998,077 998,077 1,017,465

45

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

14. Investment property

Group and company

	Freehold
	investment
	property
	£
Valuation
At 1 August 2024 and 31 July 2025	365,000

The Storrow Scott Charitable Will Trust owns the freehold property situated at 3 St Mary's Place, Newcastle upon Tyne. The property is valued at open market value of £365,000 with a formal valuation performed in 2020 by Lambert Smith Hampton, external Chartered Surveyors.

15. Debtors

Due after more than one year VAT recoverable Due within one year Trade debtors Amounts owed by group undertakings Other debtors Prepayments and accrued income VAT recoverable	Group 2025 £ 534,369 534,369 203,297 - 222,020 561,076 160,811 1,681,573	Group 2024 £ - - 30,485 - 53,186 277,606 - 361,277	Company 2025 £ 534,369 534,369 203,297 20,858 218,679 561,076 160,811 1,699,090	Company 2024 £ -
				- 30,485 - 53,080 277,606 -
				361,171

VAT recoverable includes amounts recoverable under the Capital Goods Scheme - see Note 11.

46

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

16. Creditors: amounts falling due within one year

Group 2025 £ Bank loans 840,000 Trade creditors 690,734 Pension creditor 227,019 Other taxation and social security 304,134 Other creditors 254,774 Accruals and deferred income 954,674 Fees received in advance 12,058 Deposits 33,400 3,316,793 The movement in deferred income in the year is as follows: Group 2025 £ Deferred income at the beginning of the year 106,176 Resources deferred during the year 45,458 Amounts released from previous periods (106,176) 45,458	Group 2024 £ 840,000 135,474 241,850 268,694 299,155 1,276,721 72,776 33,400 3,168,070 Group 2024 £ 123,489 106,176 (123,489) 106,176	Company 2025 £ 840,000 673,488 227,019 304,134 254,774 952,022 12,058 33,400 3,296,895 Company 2025 £ 106,176 45,458 (106,176) 45,458	Company 2024 £ 840,000 134,475 241,850 268,694 299,155 1,273,935 72,776 33,400 3,164,285 Company 2024 £ 123,489 106,176 (123,489) 106,176

47

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

17. Creditors: amounts falling due after more than one year

Group 2025 £ Bank loans 9,267,000 Deposits 258,195 9,525,195 Included within the above are amounts falling due as follows: Group 2025 £ Between one and two years Bank loans 840,000 Between two and five years Bank loans 2,520,000 Over five years Bank loans 5,907,000		Group 2024 £ 10,107,000 257,600 10,364,600 Group 2024 £ 840,000 2,520,000 6,747,000	Company 2025 £ 9,267,000 258,195 9,525,195 Company 2025 £ 840,000 2,520,000 5,907,000	Company 2024 £ 10,107,000 257,600
				10,364,600
				Company 2024 £ 840,000
				2,520,000
				6,747,000

The aggregate amount of liabilities payable or repayable wholly or in part more than five years after the reporting date is:

	Group	Group	Company	Company
	2025	2024	2025	2024
	£	£	£	£
Payable or repayable by instalments	5,907,000	6,747,000	5,907,000	6,747,000

The bank loans and overdrafts are secured by a first legal charge over the freehold land and buildings of the group and a debenture. At 31 July 2025, bank loans, including amounts falling due within one year, comprise the following loans:

• £11.5 million term loan, of which £7.6 million remained outstanding at the year end, secured on the group's freehold land and buildings, repayable by instalments over a 15 year term and bearing interest at market rates; and

• £3.5 million facility, of which £2.5 million remained outstanding at the year end, secured on the group's freehold land and buildings and repayable by instalments over a 15 year term and bearing interest at market rates.

48

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

18. Statement of funds Statement of funds - current year Balance at 1 August 2024 £ Designated funds Bursary Fund 2,674,404 Revaluation reserve 12,941,804 15,616,208 General funds School general fund 22,380,429 RGS Trading 14,127 22,394,556 Total unrestricted funds 38,010,764 Endowment funds Prize Funds Charity 129,598 J R Howarth Bursary Fund 156,163 Peter Taylor Bursary Fund 100,235 The Storrow Scott Trust 996,468 1,382,464	Income £ - - - 21,776,157 105,960 21,882,117 21,882,117 - - - - -	Expenditure £ - - - (21,161,749) (100,883) (21,262,632) (21,262,632) - - - - -	Gains/ (Losses) £ Balance at 31 July 2025 £ - 2,674,404 - 12,941,804 - 15,616,208 - 22,994,837 - 19,204 - 23,014,041 - 38,630,249 (2,067) 127,531 (3,047) 153,116 (1,955) 98,280 (12,319) 984,149 (19,388) 1,363,076	Gains/ (Losses) £ Balance at 31 July 2025 £ - 2,674,404 - 12,941,804 - 15,616,208 - 22,994,837 - 19,204 - 23,014,041 - 38,630,249 (2,067) 127,531 (3,047) 153,116 (1,955) 98,280 (12,319) 984,149 (19,388) 1,363,076
				15,616,208
				22,994,837 19,204
				23,014,041
				38,630,249
				127,531 153,116 98,280 984,149
				1,363,076

49

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

18. Statement of funds (continued) Restricted funds J R Howarth Bursary Fund 4,669 Peter Taylor Bursary Fund 19,708 The Storrow Scott Trust 81,483 Reece Foundation - British Engines - 105,860 Total of funds 39,499,088	1,846 2,879 46,229 223,336 41,985 316,275 22,198,392	- - (1,080) (223,336) (41,985) (266,401) (21,529,033)	- - - - - - (19,388)	6,515 22,587 126,632 - -
				155,734
				40,149,059

50

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

18. Statement of funds (continued) Statement of funds - prior year Balance at 1 August 2023 £ Income £ Designated funds Bursary Fund 2,878,404 - Revaluation reserve 12,941,804 - 15,820,208 - General funds School general fund 21,291,258 22,134,112 RGS Trading 13,104 69,370 21,304,362 22,203,482 Total unrestricted funds 37,124,570 22,203,482 Endowment funds Prize Funds Charity 120,387 - J R Howarth Bursary Fund 145,064 - Peter Taylor Bursary Fund 93,111 - The Storrow Scott Trust 951,587 - 1,310,149 -	Expenditure £ (204,000) - (204,000) (21,201,967) (68,347) (21,270,314) (21,474,314) - - - - -	Transfers in/out £ - - - 157,026 - 157,026 157,026 - - - - -	Gains/ (Losses) £ - - - - - - - 9,211 11,099 7,124 44,881 72,315	Balance at 31 July 2024 £ 2,674,404 12,941,804
				15,616,208
				22,380,429 14,127
				22,394,556
				38,010,764
				129,598 156,163 100,235 996,468
				1,382,464

51

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

18. Statement of funds (continued)

Restricted funds J R Howarth Bursary Fund Peter Taylor Bursary Fund School Bursary Fund Cricket Fund The Storrow Scott Trust Reece Foundation British Engines Total of funds	1,970 15,499 123,552 432 63,083 - - 204,536 38,639,255	2,699 4,209 - - 52,882 72,406 40,518 172,714 22,376,196	- - - - (1,440) (72,406) (40,518) (114,364) (21,588,678)	- - (123,552) (432) (33,042) - - (157,026) -	- - - - - - - - 72,315	4,669 19,708 - - 81,483 - -
						105,860
						39,499,088

Donations are credited to the appropriate fund and the impact of market valuation and investment transactions are also included.

Unrestricted designated funds - Bursary fund

The bursary fund is to be used to provide fee assistance for pupils from lower income families who would not otherwise be able to attend the school.

Unrestricted general funds

Unrestricted general funds may be used for any of the charitable objects of the charitable company.

ENDOWMENT FUNDS

Endowment funds are all permanent.

J R Howarth Bursary Fund - The original bequest of £121,132 from James Ronald Howarth was provided to give assistance to able boys attending the Royal Grammar School, for scholarships and bursaries. If, at any time, the Royal Grammar School loses it independence, as defined by the Governors of the school, the whole sum shall be paid to the Rector and Fellows of Exeter College, Oxford, to be used at their discretion for the benefit of the college.

The Peter Taylor Bursary Fund - In 1998, the family of the late Lord Taylor of Gosforth set up a bursary fund to assist with the tuition fees of pupils entering the 6th form of the RGS, who, for financial reasons, might not otherwise be able to attend the school.

52

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

The Prize Funds Charity - This is a separate charitable trust formed in 2008. It comprises many small donations made for various reasons to provide a variety of school prizes. The funds have been managed by COIF Charities Investment Fund. The fund is under control of the school.

The Storrow Scott Trust - This is described below within the information on linked charities.

RESTRICTED FUNDS

Income from endowment funds is credited to restricted funds to be applied for the purposes specified by the fund.

Restricted funds also include:

• Funds provided by the Royal Grammar School Educational Trust and other donors for the provision of school bursaries;

• Funds provided by British Engines for the provision of a robotics techer to support RGS and Partner schools in the North East; and

• Funds provided by Reece Foundation to support Maths and Physics provision in Partnership schools.

LINKED CHARITIES

The charitable company is the governor of, or is required to manage, the following two charities which have been linked by the Charity Commission for administration and reporting purposes:

The Newcastle upon Tyne Royal Grammar School Property Trust

The Newcastle upon Tyne Royal Grammar School Property Trust is the charity under which the school operated prior to the incorporation of the school under a charity commission scheme in 2006. The object of the charity is to advance education by the provision of a school in or near the city of Newcastle upon Tyne and by ancillary or incidental educational activities and other associated activities for the benefit of the community.

Under the 2006 Scheme of the Property Trust retains the group’s permanent endowments. Land and buildings must be managed by the group in accordance with the objects of this charity and various prize funds held by the charity must be managed by the group in accordance with their trusts.

The Storrow Scott Charitable Will Trust

The Storrow Scott Charitable Will Trust represents the capital and unapplied income of The Storrow Scott Charitable Will Trust which was established by the Will of W J S Scott who died on 10 May 1989. The school became the sole Governor of the Trust under a Charity Commission Order dated 18 August 2014 at the request of the retiring Governor. The Charity Commission has linked The Storrow Scott Charitable Will Trust to the school for administration and reporting purposes. Accordingly, the Charitable Will Trust’s capital is reported as an endowment fund of the school and the income is restricted income of the school to be applied as stated below.

Under the terms of the Will of W J S Scott (“the Will”) the Trust Fund as defined in the Will was held for the benefit of Northumberland County Cricket Club in the event of various conditions being satisfied.

By a Deed of Variation dated 1 October 2007 and confirmed by the Charity Commission with effect from 29 October 2007 the Central Register of Charities was amended to reflect the terms of the Deed of Variation. Following the 2014 Charity Commission Order the Will and Deed of Variation now determine the Objects of The Storrow Scott Charitable Will Trust Endowment and Restricted Funds.

The Endowment Fund

The principal object of The Storrow Scott Charitable Will Trust Endowment Fund is for the fund to be used either to enlarge the existing cricket ground at Osborne Avenue, Jesmond, Newcastle upon Tyne by acquiring part of the adjoining cemetery land or to create an entirely new playing field on the adjoining cemetery land and for cricket and if possible hockey to be played there on grass.

53

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

The capital of The Endowment Fund is now to be held at the discretion of the Governor subject to various conditions being satisfied for the benefit of one of a number of possible beneficiaries each of which must be a charity as defined by the Charities Act 2006. The beneficiaries include The Newcastle upon Tyne Royal Grammar School, The National Playing Friends Association and the Northumberland Playing Fields Association. However if residential, commercial or other buildings are built on the adjoining cemetery land making it impossible for the condition of the Trust Deed to be satisfied and for the principal object of the Charity to be achieved the capital of the Endowment Fund is to be held for the benefit of the Northumberland Playing Fields Association, failing them the National Playing Fields Association, failing them then for such a similar Charity or Charities as the Governors in its discretion shall select in the hope that it will be used for the development and promotion of hockey in Northumberland.

The Restricted Fund

Until such time as the conditions are satisfied the income from the Endowment Fund is restricted to be payable to such registered charities as the Governor shall in its absolute discretion from time to time determine with preference being given to those based in the North of England. Such income is received into the Storrow Scott Charitable Will Trust Restricted Fund in order that it will be separately identified from the school's other funds. In the Deed of Retirement and indemnity it was acknowledged that the school may indirectly benefit from the application of the income of the Endowment to be applied to The Royal Grammar School Educational Trust for the benefit of the Newcastle upon Tyne Royal Grammar School bursary fund (payments to benefit such bursary fund being a preference expressed by the retiring governors, Mr Scott having been a pupil at the school).

19. Analysis of net assets between funds

Analysis of net assets between funds - current year

Unrestricted funds 2025 £ Tangible fixed assets 42,580,239 Fixed asset investments - Investment property - Debtors due after more than one year 534,369 Current assets 8,357,629 Creditors due within one year (3,316,793) Creditors due in more than one year (9,525,195) Total 38,630,249	Restricted funds 2025 £ - - - - 155,734 - - 155,734	Endowment funds 2025 £ - 998,076 365,000 - - - - 1,363,076	Total funds 2025 £ 42,580,239 998,076 365,000 534,369 8,513,363 (3,316,793) (9,525,195) 40,149,059

54

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

19. Analysis of net assets between funds (continued)

Analysis of net assets between funds - prior year

Tangible fixed assets Fixed asset investments Investment property Current assets Creditors due within one year Creditors due in more than one year Total	Unrestricted funds 2024 £ 44,015,755 - - 7,527,679 (3,168,070) (10,364,600) 38,010,764	Restricted funds 2024 £ - - - 105,860 - - 105,860	Endowment funds 2024 £ - 1,017,464 365,000 - - - 1,382,464	Total funds 2024 £ 44,015,755 1,017,464 365,000 7,633,539 (3,168,070) (10,364,600) 39,499,088

20. Reconciliation of net movement in funds to net cash flow from operating activities

Net income for the year (as per Statement of Financial Activities) Adjustments for: Depreciation charges Interest paid Losses/(gains) on investments Dividends, interests and rents from investments Profit on the sale of fixed assets (Increase)/decrease in stocks (Increase)/decrease in debtors Increase/(decrease) in creditors Decrease in fixed assets cost as a result of VAT reclaimed under Capital Goods Scheme Net cash provided by operating activities	Group 2025 £ 649,971 1,252,510 370,183 19,388 (336,499) 141 (11,142) (1,320,296) 149,318 695,180 1,468,754	Group 2024 £ 859,833 1,250,904 401,533 (72,315) (320,667) - 4,147 57,141 (560,732) - 1,619,844

55

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

21. Analysis of cash and cash equivalents

	Group	Group
	2025	2024
	£	£
Cash in hand	7,336,113	7,253,358

22. Analysis of changes in net debt

Cash at bank and in hand Debt due within 1 year Debt due after 1 year	At 1 August 2024 £ 7,253,358 (840,000) (10,107,000) (3,693,642)	Cash flows £ 82,755 840,000 - 922,755	Other non- cash changes £ - (840,000) 840,000 -	At 31 July 2025 £ 7,336,113 (840,000) (9,267,000)
				(2,770,887)

56

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

23. Pension commitments

The group's employees belong to two principal pension schemes: the Teachers' Pension Scheme England and Wale ('TPS') for academic and related staff, and the RGS Support Staff Pension Scheme for support staff. In September 2023, the school introduced an optional defined contribution scheme provided by Aviva Pension Trust for Independent Schools (APTIS). This scheme was already available for operational staff, as detailed below, and has now been extended to teachers.

Teachers' Pension Scheme

The Teachers' Pension Scheme is a statutory, contributory, defined benefit scheme, governed by the Teachers’ Pension Scheme Regulations 2014. Membership is automatic for teachers in academies. All teachers have the option to opt-out of the TPS following enrolment. The TPS is an unfunded scheme to which both the member and employer makes contributions, as a percentage of salary - these contributions are credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.

The pension cost charge represents contributions payable by the company to the fund and amounted to £1,962,736 (2024: £1,843,969). Contributions totalling £220,518 (2024: £234,231) (including employees' contributions) were payable to the fund at the balance sheet date and are included in creditors.

Valuation of the Teacher's Pension Scheme

The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014 published by HM Treasury every 4 years. The aim of the review is to ensure scheme costs are recognised and managed appropriately and the review specifies the level of future contributions.

Actuarial scheme valuations are dependent on assumptions about the value of future costs, design of benefits and many other factors. The latest actuarial valuation of the TPS was carried out as at 31 March 2020. The valuation report was published by the Department for Education on 27 October 2023, with the SCAPE rate, set by HMT, applying a notional investment return based on 1.7% above the rate of CPI. The key elements of the valuation outcome are:

• Employer contribution rates set at 28.68% of pensionable pay (including a 0.08% administration levy). This is an increase of 5% in employer contributions and the cost control result is such that no change in member benefits is needed.

• Total scheme liabilities (pensions currently in payment and the estimated cost of future benefits) for service to the effective date of £262,000 million and notional assets (estimated future contributions together with the notional investments held at the valuation date) of £222,200 million, giving a notional past service deficit of £39,800 million.

The result of this valuation was implemented from 1 April 2024. The next valuation result is due to be implemented from 1 April 2028.

RGS Support Staff Pension Scheme

The RGS Support Staff Pension Scheme is a fully insured money purchase scheme for all permanent RGS staff who are not entitled to join the TPS, as well as being an option for teachers. The assets of the scheme are held separately from those of the group in an independently administered fund.

The pension cost charge represents contributions payable by the company to the fund and amounted to £447,806 (2024: £290,224). Contributions totalling £6,500 (2024: £7,619) (including employees' contributions) were payable to the fund at the balance sheet date and are included in creditors.

57

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

24. Operating lease commitments

At 31 July 2025 the group and the company had commitments to make future minimum lease payments under non-cancellable operating leases as follows:

Not later than 1 year Later than 1 year and not later than 5 years Later than 5 years	Group 2025 £ 523,145 629,827 202,300 1,355,272	Group 2024 £ 526,786 1,145,714 216,951 1,889,451	Company 2025 £ 523,145 629,827 202,300 1,355,272	Company 2024 £ 526,786 1,145,714 216,951
				1,889,451

25. Related party transactions

Some governors are also trustees of The Royal Grammar School Educational Trust, a charity, the main purpose of which is to provide income towards bursaries for some pupils of the school. The grant made towards bursaries in the year amounted to £530,000 (2024: £1,275,000). The group's administrative staff provide assistance with the charity's record keeping at no charge to the charity. The group maintains a bank account on behalf of the Trust in respect of donations towards the Trust's campaign appeal and the school has met the Trust's campaign appeal costs totalling £142,494 (2024: £149,951). The group made donations of £nil to the charity during the year (2024: £204,000).

The Trust has provided Hardship funds to help support families (e.g. purchasing suitable clothes for Sixth formers, transportation expenses to the school) to the group totalling £346 (2024: £6,255).

The Storrow Scott Charitable Will Trust, a charity controlled by the school, applies its income to the Royal Grammar School Educational Trust. Grants paid or payable in the year amounted to £nil (2024: £33,042).

The School purchased merchandise from RGS Trading Limited in the year totalling £3,476 (2024: £nil) as and the School recharged costs of £17,382 (2024: £19,103) to RGS Trading in relation to staff and administration costs. The balance owed by RGS Trading Limited at year end is £20,858 (2024: £nil).

58

Docusign Envelope ID: B6EBDE93-F1DF-44FB-B03B-F046B0F2D4F8

The Newcastle upon Tyne Royal Grammar School

(A company limited by guarantee)

Notes to the financial statements Year ended 31 July 2025

26. Principal subsidiaries

The following was a subsidiary undertaking of the company:

Name	Company	Class of	Holding	Included in
	number	shares		consolidation
RGS Trading Limited	04063794	Ordinary	100%	Yes
The financial results of the subsidiary for the year were:
Name	Income	Expenditure	Profit for	Net assets
	£	£	the year	£
			£
RGS Trading Limited	105,960	(100,883)	5,043	19,172

59