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2020-08-31-accounts

RENDCOMB COLLEGE

REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

Charity Registration Number: 1115884 Company Registration Number: 5891198

RENDCOMB COLLEGE

REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2020

CONTENTS PAGE
Reference and administrative details 1
Governors’ report 2 – 9
Report of the auditors 10 – 11
Statement of financial activities 12
Balance sheet 13
Cash flow statement 14
Notes to the accounts 15 - 27

RENDCOMB COLLEGE

REFERENCE AND ADMINISTRATIVE DETAILS

Governors and Directors: S E Arkle
N J Ford
S Hanbury
P A Hornby
A R Marchand
N J Nettleton
I I H Ormerod
S D E Parsons TD
Sir Francis Richards KCMG CVO (Chair)
The Venerable H S Ringrose
H C W Robinson DL
L H Singer
Major General P G Williams
R H Wills
Headmaster: R Jones
Secretary: E L Sharman
Registered office: Rendcomb College
Cirencester
Gloucestershire
GL7 7HA
Solicitors: Charles Russell Speechlys
5 Fleet Street Place
London
EC4M 7RD
Auditors: Haysmacintyre LLP
10 Queen Street Place
London
EC4R 1AG
Investment Managers: Cazenove Capital Management Limited
1 London Wall Place
London
EC2Y 5AU
Bankers: Lloyds TSB Bank plc
14 Castle Street
Cirencester
Gloucestershire
GL7 IQJ
Company Registration Number: 5891198
Charity Registration Number: 1115884

1

GOVERNORS’ REPORT

RENDCOMB COLLEGE

FOR THE YEAR ENDED 31 AUGUST 2020

The Governors present their report for the year ended 31 August 2020, together with the audited financial statements for the year which comply with the Companies Act 2006, the Statement of Recommended Practice “Accounting and Reporting by Charities”, effective 1 January 2015 (FRS102).

REFERENCE AND ADMINISTRATIVE INFORMATION

Legal and charitable status

The College was constituted as a separate company limited by guarantee on 31 July 2006 (Company Registration No. 5891198) and as a separate charity on 22 August 2006 (Charity Registration No. 1115884) and commenced trading on 1 September 2006.

Governors and advisers

Details of the Governors, who are trustees of the charity, key officers and advisors, are shown on page 1. There was one addition to the Governing Body this year.

Governing document

The College is governed by its Memorandum and Articles of Association dated 31 July 2006 and amended on 21 August 2006.

Organisational structure

The Members of the College are the Trustees of Rendcomb College Foundation. Accordingly, the Foundation is treated as a connected charity to the College. The Governors of the College are responsible for the general policy of the College. The Governors have convened a number of committees and working groups to address more detailed issues as follows:

Development Committee (currently in abeyance) Education and Personnel Committee Finance and Audit Committee General Purposes Committee

The day to day management of the College is delegated to the Head and the Bursar. They are also supported by their Senior Leadership Team and together this group are the key management personnel. Remuneration is set by the Board, with the objective of providing appropriate incentives to encourage enhanced performance and of rewarding fairly and responsibly individual contributions to the College’s success. The appropriateness and relevance of the remuneration is reviewed annually, including reference to comparisons with other independent schools where publicly available via benchmarking data, to ensure that the College remains sensitive to the broader issues of pay and employment conditions elsewhere.

Recruitment, induction and training of Governors

Typically Governors serve two to three terms, i.e. six to nine years although this can be extended through mutual consent and often is. Governors are recruited who have the appropriate skills to benefit the College. The induction of Governors involves the provision of information concerning the College, details of their role as set out in the Governors’ handbook, Charity Commission guidance on the role of Trustees and visits to the College to meet senior management. Training is provided to Trustees and Governors based on identified needs. The Governors have the opportunity to attend training courses run by AGBIS.

Investment powers

The College’s portfolio of securities is managed by Cazenove & Co. who act with delegated authority under the terms of a discretionary agreement.

2

RENDCOMB COLLEGE

GOVERNORS’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

OBJECTS, AIMS AND OBJECTIVES

Objects

The object for which the College is established is to advance education for the public benefit including the provision and maintenance of a boarding and day school or schools for boys and girls in the United Kingdom.

Mission Statement

Our mission is to develop thoughtful , adventurous and academically ambitious young people who are life-long learners. We aim to prepare them with the character and skills to succeed in the ever-changing world after school. Our pupils have the freedom to experience, explore and enquire about the world around them. We aim to encourage independence and tolerance in a safe, caring community and magnificent natural environment.

To achieve this we will:

STRATEGIC REPORT

Activities

The year ended 31[st] August 2020 has been unprecedented in so many ways. Whilst we started 2020 in a joyous mood as we entered our Centenary year, the ensuing global lockdowns proved to be challenging in all regards.

Academic:

In a year where results were such a political topic, we were delighted with the performances both before and after the changes to the grading system. After their success at GCSE we had been confident that year 13 pupils would produce exceptional results, and this proved to be the case under either measure of result allocations.

Pupils received particularly strong results in English, History, Computing and Geography, plus an incredible 100% distinction rate in BTEC Business Studies, the equivalent of an A.

Particular congratulations go to:

Other courses secured include Mathematics, Computer Science for Cyber Security, Biological Sciences and Economics plus many others. In addition, we were delighted with the award of a scholarship for one student to read Music at the Welsh Conservatoire.

3

RENDCOMB COLLEGE

GOVERNORS’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

STRATEGIC REPORT (continued)

Activities (continued)

Rob Jones, Headmaster, commented: "It is fair to say that this has been a year like no other in the history of education. Our founder Noel Wills would be incredibly proud of what our students have achieved in this, our centenary year.

Students have risen to the challenge and demonstrated great resilience and drive, something that we encourage them to develop at Rendcomb College, and will benefit them long into the future. I am very proud of all of them. Small classes, dedicated teaching staff, and remote support have enabled us to focus on the individual and bring out the best in them. It has also meant that we can be very confident in our assessment and tracking of their progress.”

GCSE grades were awarded from the outset based only on school assessed grading. The results awarded were as follows:

Throughout the lockdown period all students, including years 11 and 13, were engaged in a full programme of online learning. For the exam years of year 11 and 13 this blended enrichment learning with mentoring advice, with year 13 students able to select a professional mentor from amongst the staff based on their university choices.

In the week when the closure of schools was announced we had already communicated to all pupils and parents what our Remote Learning Strategy would be. This meant that when we were told to close our physical doors on Friday 20[th] March, we were able to open our remote doors on Monday 23[rd] March, ensuring that all students were given educational opportunities as close as possible to those of face-to-face learning immediately after we were closed by the Government. From the outset our expectations were:

In order to monitor our performance against these objectives we carried out parent and pupil surveys to gauge satisfaction levels. Responses included: “I think you've all done an amazing job getting this in place, set up and preparing the pupils. It is hugely appreciated” and “I can't really see how you would improve on what's already being done. Great work and everyone pulling together.”

We remained open throughout for keyworker children, including during the entire Easter holiday period. This provided a lifeline for key workers to be able to continue to work in the national interest whilst ensuring that their children were safe each day.

The educational pathway continued throughout the lockdown period and into the time when Junior pupils were able to return in June. We maintained a full internal exam period for Senior pupils and as a result we have been able to return seamlessly to face-to-face education in September whilst maintaining a remote learning platform for those who may be self-isolating or otherwise unable to attend the school in person.

When the Government announced the partial re-opening of schools in early June we welcomed back our Nursery, Reception, Year 1 and Year 6 pupils. Later in June we were able to extend this to being the entire Junior school who wanted to return; we were pleased that so many chose to and were able to take part in a varied and immersive range of educational activities using the extensive site and facilities.

We continue to support the academic aspirations of all our students with initiatives beyond the normal curriculum. Prior to school closure, these were varied and challenging opportunities for self-development and teamworking.

4

RENDCOMB COLLEGE

GOVERNORS’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

STRATEGIC REPORT (continued)

Activities (continued)

After similar successes in recent years, a group of year 8 girls were successful in reaching the semi-finals of the CyberFirst Girls’ Competition, a fun but challenging environment designed to enthuse and encourage girls to consider cyber security as a career option.

Once again we were delighted to hear that one of our Junior pupils had made in into the top 5% of the 500 Words storywriting competition with an imaginative piece called The Big Bad Yeti.

We have been able to use links with local businesses to expand on our very successful business networking events, and to bring financial education talks to year groups across the school including the younger age groups. Our Sixth Form enterprise teams have been busy creating innovative ideas such as recycling used plastic bottles into 3D printer filament and creating an age appropriate board game using recycled materials; they were able to pitch their ideas during a presentation to the local Chamber of Commerce and also take part in the Cirencester Youth Market. Comments from the judges included:

"This idea is a game to educate children about the environment. It has already been developed and I liked the attention to detail of aligning the game with the school curriculum for pupils in a specific age group. The importance of education in looking after the environment is hugely important."

"I think this is an innovative and great idea as 3D printing is so important now and, of course, so is recycling and for them to be able to recycle their own plastic waste means no carbon road miles between recycler and user..."

"This young enterprise team recycled 200kg of plastic and spotted a niche market for 3d printing. Smart thinking and great action!"

"This is a fantastic initiative that is already being used and could be rolled out into the wider market place on a global scale."

Alongside these initiatives our cross-age eco-team were also busy at school, carrying out an extensive programme of tree planting on site and distributing the reusable water bottles provided for each pupil by the parents’ association.

Founder’s Day, due to be held in May 2020, was to have been the start of the formal Centenary celebrations. We were unable to hold a live event, however we maintained the tradition of the head, alongside the Head boy and Head girl, speaking to the school. In addition we used the opportunity for our planned guest speaker, Doug Ellison OR, to deliver interactive sessions for pupils across the school. Doug is the engineering lead on the Mars Rover mission, whose day to day life epitomises remote working with the cameras 101 million miles from his physical workplace. Doug was able to deliver a live lecture to pupils and answer questions from them about how the rovers work, what they are discovering and many other topics. We are looking forward to welcoming Doug in person next year and being able to celebrate in a more appropriate manner.

Music and Drama:

We Will Rock You was performed as the whole school production in the early part of the Lent term, featuring performers and technical support crew from across the school. This was a highly successful event which allowed many of our talented performers to showcase their skills.

Two pupils successfully completed their Gold Arts Award, with portfolios being completed during lockdown and submitted electronically. One pupil focused on Music Theatre, which is her preferred career, whilst a fellow pupil looked at blacksmithing, creating his own garden sculpture of a bird at home by recycling scrap materials to produce the finished piece.

Music has remained a strength in the School with a range of concerts covering informal lunchtime and morning concerts to the annual Carol Service. Further events were planned, however these were unable to take place in a live format. Throughout the physical closure period, our pupils were able to continue with their individual music lessons and also provide music concerts in line with the normal timetabled programme. This allowed pupils a welcome degree of flexibility from the online learning programme and ensured that their musical education continued without interruption. These performances were broadcast to the whole school community via secure links, allowing parents and pupils alike to enjoy the events.

5

RENDCOMB COLLEGE

GOVERNORS’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

STRATEGIC REPORT (continued)

Sporting Achievements:

We celebrate all sporting achievements our pupils are involved in; whilst the major sports remain as hockey, rugby, cricket, lacrosse and tennis, we also encourage all other sporting opportunities. These culminated in the annual Sports’ Award presentations to pupils across the school.

Early in the academic year all pupils and staff took part in a Race For Life, utilising part of the extensive campus to provide a 5km circuit. This was an event that allowed the entire school to come together and raise significant funds for charity.

We were delighted to be able to introduce a new Strength & Conditioning programme to our students; this, alongside the Athletic Performance Programme for our gifted & talented students, will give all pupils the ability to develop themselves to the best of their ability.

Once again our Duke of Edinburgh scheme was very popular and attracted large numbers of students to all three levels of the scheme. A record number of students successfully achieved their respective awards. We were particularly pleased that even during lockdown our pupils continued to make progress on their awards, resulting in a large number successfully completing them. The total number of hours of volunteering over the course of the year was 663.

Although the lockdown prevented many of the normal sporting commitments at school, we instead challenged the school community to the ‘One Million Metres’ weekly challenge. This enabled all members of the community, young and old, to take part by recording their daily exercise on Strava.

On an individual basis we continue to watch and applaud the successes of our racing driver pupil, who successfully navigated his way through to take up a seat in Formula 4 for the coming season.

Staff

There were some additions to members of staff across the school, with a total of 18 joining us in disciplines as diverse as a school nurse to a cello teacher. During the course of the academic year 2019/20 we were sad to lose the services of a total of 20 teaching and support staff. Many of these were to take up promotions elsewhere or to take retirement following long service to the school. A total of £6,943 was paid in termination payments. Our thanks go to all staff for their continued dedication and commitment to the school, particularly for the creative and enthusiastic way in which they embraced a new teaching and support style during lockdown.

Admissions and Marketing

Although so much of the normal pattern of events has been disrupted this year, we have maintained a full and active presence in the marketing and admissions areas of the school. Virtual Open Morning replaced a physical one, and by June we were able to welcome parents back for physical tours and visits. We were pleased to see a strong level of local and national interest for pupils to join us in September.

Development and Property

During the year we were proud to open 2 new spaces for pupils. Godman House re-opened in September 2019 after a successful complete re-development which has seen it transformed into a modern co-educational day and boarding space for pupils aged between 11 and 14. The opening was marked by a visit from the Chief Executive of the Boarding Schools’ Association, Robin Fletcher, who was delighted to see the imaginative and pupil-friendly features that had been incorporated into the building. In January 2020 we opened the new Sixth Form Centre, which has been imaginatively designed within the historic setting of the Old Rectory, a listed building which has been a key part of Rendcomb life for many years. The new Sixth Form Centre provides bespoke private and collaborative study areas alongside a social space and classrooms for Economics and Psychology. This work sits alongside the normal requirements of maintaining and updating a grade 2* listed Mansion House and the many other buildings around the estate.

6

RENDCOMB COLLEGE

GOVERNORS’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

STRATEGIC REPORT (continued)

Development and Property (continued)

Working closely with the Old Rendcombian Society (ORs) and the Friends of Rendcomb (FoR), the overall aims and objectives of the Development stream are:

Commercial Events

This year saw a continuation of our commercial arm, with various events and gatherings using many parts of the estate. The Griffin theatre has a growing reputation for being a venue to attract large numbers in a professional environment, including highly successful events featuring Thomasina Miers and Nigel Owens. Unfortunately the national lockdown prevented a full use of the facilities we have on offer during the period from March through to August 2020.

Public benefit

The Governors have had regard to the guidance issued by the Charity Commission in accordance with section 17 of the Charities Act 2011 in ensuring that the College’s objectives are for the public benefit.

College support for fees

The school has the ability to offer the Noel Wills Scholarship, a means-tested award which is awarded to a State Primary School pupil annually entering the college at the age of 11. This is an entirely free place for the duration of a pupil’s time at the school. In addition the College has an extensive Scholarships and Bursaries Policy which is designed with the intention that funding goes to families most in need, in keeping with the Founder’s intentions. To support this aim, the services of Bursary Administration Limited are used to undertake home visits and in-depth analysis of financial situations. Within this financial year, bursary support amounting to 6.5% of total fee income has been granted to pupils attending Rendcomb. The Sinclair Bursary Fund money provided by Rendcomb College Foundation to the College is also used to fund support to families, as are funds raised by The Friends of Rendcomb trustees.

In September 2019 we welcomed our first Centenary Scholarships. These are available at year 4 and year 12 entry, and are fully funded places for the most worthy candidates.

Charitable and Outreach work

Many of the direct projects with local schools within the past twelve months can be seen on www.schoolstogether.org We enjoy being able to share our site, our facilities and our expertise with other schools, and hope that it makes a positive contribution to them and to the educational opportunities for the children. We now have three members of the school’s senior leadership team undertaking Governor roles in maintained schools which allows for excellent crossfertilisation of ideas and expertise between the sectors. These have led to significant programmes with Coberley Primary School and Henley Bank High School.

During the lockdown period we recognized that we would be able to make small but significant contributions to the wellbeing of the local community. At the outset we were able to offer a supermarket style food ordering system which enabled the staff from our local doctor’s surgery to order essential food items without having to visit the supermarket. Following this we put in place a community programme which allowed members of the local community who were vulnerable or self-isolating to order a hot, nutritious meal which was delivered to their homes. This proved to be a lifeline for many members of the community, and allowed for much needed human interaction during the most intense lockdown period. We were proud to be a founder member of the Thomas Franks Feeding Communities initiative, which saw our catering team preparing 1200 meals to go out to vulnerable people. This was in conjunction with The Grace and The Long Table, who support those in need in the Gloucestershire, Cirencester and Cheltenham area.

7

RENDCOMB COLLEGE

GOVERNORS’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

STRATEGIC REPORT (continued)

Charitable and Outreach work (continued)

On a practical note, our DT department was able to produce visors for the local healthcare needs. Members of staff acted either as volunteers via the NHS volunteering scheme, or returned to the NHS to take up emergency roles. Many of our former pupils played an active part in the pandemic with roles in the NHS and it was pleasing to see them sharing their experiences and stories via our social media platforms. We are grateful to them and all other keyworkers for their commitment and hard work throughout the lockdown period.

Charity plays a major part in the College’s fundraising supporting local, national and overseas charities. We have hosted charitable events for various local organisations during the year, and we actively support local organisations in making use of our grounds and facilities as appropriate. Support has been given to other charitable organisations such as the Friends of Rendcomb to support their own charitable work. We have welcomed pupils from a number of local schools to attend immersive days, and in making the Griffin Centre available for their use.

The College has loaned minibuses as required to North Cerney Primary School (Maintained Sector Primary School) to transport pupils; daily school meals are also provided for North Cerney School at cost. Rendcomb undertakes the grass cutting of St Peter’s Church Rendcomb, and also provides the cleaning and general day to day maintenance of the church building. The College prints the monthly parish newsletter each month at no charge, and has supplied refreshments for the annual village Christmas party at no charge. The College makes land available for the siting of the village recycling and charity collection bins. During poor weather, the school salts and clears the roads in the village and the doctors’ surgery car park.

Parents of pupils often make significant sacrifices to pay the fees. During the year the school educated UK based children at negligible cost to the state, providing a tangible indirect benefit to public finances in the region of £1.2m. Similarly, unlike schools in the maintained sector, Rendcomb College pays irrecoverable VAT on most of its purchases of goods and services.

In summary, the College continues to fulfil its aims admirably and intends to do so in future years. Further details about the College can be found on the website www.rendcombcollege.org.uk.

Financial review

Details of incoming and outgoing resources in the year are shown in the Statement of Financial Activities on page 12.

Fees income net of bursaries, scholarships and allowances increased from £5,563,385 in 2019 to £5,659,855. Other educational income decreased from £492,787 to £483,229 and donations totalled £864,961 compared with £381,818. The Foundation donated £599,306 to the College in 2020 (2019: £296,100). The increase in fees income arose from increased pupil numbers in 2019 when compared with 2018, especially in the Junior section of the school, and was achieved despite a substantial discount in fees which was offered to parents during the Summer Term to reflect the altered school provision under government restrictions.

The College’s net expenditure before investment gains was £264,064 (2019: £638,797). After taking account of the increase in value of investments, the funds of the College at 31 August 2020 fell from £994,054 to £656,838.

Reserves policy and going concern

The College’s unrestricted funds at 31 August 2020 stood at £600,030, of which £1,198,255 represents designated funds to be utilised as part of the provision of bursaries, school improvements and the development of the Performing Arts Centre. There is currently a deficit of £598,225 on the general funds, hence the total for unrestricted funds is lower than the designated funds. At the 31 August 2020 there is also a restricted fund balance of £56,808 to be used in the development of Science, Technology, Engineering and/or Maths education within the College. The College has received a further grant during the autumn of 2020 from the Foundation.

This year has seen difficult trading conditions owing to the Covid 19 pandemic and as such the policy that the College should seek to generate a surplus of income over expenditure each year has not been able to be met. The Governors look to balance the required improvements and enhancements to the estate within the overall running of the school’s finances.

8

RENDCOMB COLLEGE

GOVERNORS’ REPORT (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

STRATEGIC REPORT (continued)

Reserves policy and going concern (continued)

Reserves may be restricted for bursary, scholarship, development or other purpose if this is a specific request of a donor. It therefore remains the policy of the Governors to seek to build up reserves out of operating surpluses, subject to the demands for future expenditure to support the school.

During the financial year the completion of the Old Rectory project used some funds which came via a donation from the Foundation. In addition, the unexpected financial implications of the pandemic were supported via a grant from the Foundation. A further grant has been agreed to support the school during the year 2020-2021.

The school is viewed as a viable business. It has no debt, and has the backing of funds held within the Foundation for emergency use should this be required.

Risk management

The Governors ensure that the major risks to which the College is exposed are reviewed annually and that systems are in place to mitigate or minimise such risks. The Governors are satisfied that the risks identified are being managed effectively and to the greatest extent possible. The risk management process is managed firstly by the Finance and Audit sub-committee and subsequently to the full Governing Body.

Principal Risks and Uncertainties

Risks are identified as being Strategic, Regulatory, Governance, External, Operational, Personnel, Environmental, Technological, Academic or Financial; control measures are clearly identified where risk factors suggest a higher level of risk. The College has a well-developed Emergency Plan in place which has undergone external review and critique as well as internal testing. In common with many other smaller independent Colleges the major risks are around pupil numbers and the ongoing financial viability of the College; strategic work is therefore undertaken to mitigate these risks by measures including efficient and targeted marketing and promotional activity, and key decisions such as numbers of international pupils. The pandemic has highlighted areas of possible exposure and suitable mitigating actions will be put in place to meet these.

During the course of the year the school underwent an ISI material change inspection and met the required standards in all areas. The purpose of the inspection was to obtain a higher capacity number of students able to be educated. This indicates that the school has robust and clearly managed policies around all areas of compliance including safer recruitment, anti-bullying and complaints.

Plans for future periods

The Covid 19 pandemic has had a severe impact on some areas of the school’s operation (in particular the number of international boarders has reduced significantly) but it is our expectation that this will be a situation which will give opportunities in other areas. Post-pandemic it is expected that there will be a modest growth in overall pupil numbers in the coming years, whilst still maintaining the school’s family-feel and caring ethos. The opening of the new Godman House and the refurbished Old Rectory as a Sixth Form Centre are likely to mark the end of the current period of significant investment into educational and pastoral buildings. The school will seek to re-establish its commercial operations once restrictions allow and it can be done safely and without impacting on pupil provision.

The Governors’ Report, which incorporates the Strategic Report, was approved by the Governors on 26 November 2020 and is signed on their behalf by:

………………………………. Sir F Richards - Chairman

9

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF

RENDCOMB COLLEGE

Opinion

We have audited the financial statements of Rendcomb College for the year ended 31 August 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement 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:

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 UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Responsibilities of governors’ for the financial statements

As explained more fully in the Governors’ responsibilities statement set out on page 9, the governors (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the governors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the governors are responsible for assessing the charitable company’s ability to continue as a going 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 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.

Conclusions relating to going concern

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

10

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF

RENDCOMB COLLEGE (continued)

Other information

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

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

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

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

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

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 the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Adam Halsey (Senior Statutory Auditor) 10 Queen Street Place For and on behalf of Haysmacintyre LLP, Statutory Auditors London EC4R 1AG

11

RENDCOMB COLLEGE

STATEMENT OF FINANCIAL ACTIVITIES (Including Income and Expenditure Account)

FOR THE YEAR ENDED 31 AUGUST 2020

General Designated Restricted Total Total
Funds Funds Funds 2020 2019
Note £ £ £ £
INCOME FROM:
Charitable activities
School fees receivable 3 5,659,855 - - 5,659,855 5,563,385
Other educational income 4 483,229 - - 483,229 492,787
Trading activities 5 131,732 - - 131,732 267,672
Investments
Investment income 6 35,962 - - 35,962 39,364
Bank and other interest 6 870 - - 870 1,896
Voluntary services
Grants and donations 7 864,961 - - 864,961 381,818
--------------------- ----------------- --------------------- --------------------- ---------------------
Total income 7,176,609 - - 7,176,609 6,746,922
--------------------- ---------------- --------------------- --------------------- ---------------------
EXPENDITURE ON:
Raising funds
Trading costs 8 13,532 - - 13,532 42,422
Charitable activities - -
Education and grant making 8 7,427,141 - - 7,427,141 7,343,297
-------------------- ------------------ -------------------- --------------------- ---------------------
Total expenditure 8 7,440,673 - - 7,440,673 7,385,719
-------------------- ----------------- -------------------- --------------------- ---------------------
Net expenditure before investment (264,064) - - (264,064) (638,797)
gains
(Losses)/gains on investment assets: - (73,152) - (73,152) (23,837)
-------------------- ----------------- -------------------- --------------------- ---------------------
Net movement in funds (264,064) (73,152) - (337,216) (662,634)
Fund balances at 1 September 2019 (334,161) 1,271,407 56,808 994,054 1,656,688
------------------- ---------------------- ------------------ --------------------- ---------------------
Fund balances at 31 August 2020 15,16 (598,225) 1,198,255 56,808 656,838 994,054
========= ========== ======== ========== ===========

All the activities included above were continuing during the year.

The notes on pages 15 to 27 form part of these financial statements. The Statement of Financial Activities for the comparative period has been presented in note 23.

12

Company Number: 5891198

RENDCOMB COLLEGE

BALANCE SHEET

AT 31 AUGUST 2020

2020 2019
Note £ £
Fixed assets
Tangible assets 10 300,830 249,538
Investments 11 1,008,436 1,085,026
-------------------- --------------------
1,309,266 1,334,564
-------------------- --------------------
Current assets
Debtors 12 420,595 1,071,705
Short term deposits 13 110,642 210,563
Cash at bank and in hand 13 368,166 1,101,706
--------------------- ---------------------
899,403 2,383,974
Creditors: amounts falling due within one year 14 (1,551,831) (2,724,484)
--------------------- ---------------------
Net current liabilities (652,428) (340,510)
--------------------- ---------------------
Net assets 656,838 994,054
=========== ===========
Represented by:
Funds
Designated Funds 15 1,198,255 1,271,407
General Funds 15 (598,225) (334,161)
Restricted Funds 15 56,808 56,808
--------------------- ---------------------
656,838 994,054
=========== ===========

The financial statements were approved and authorised for issue by the Governors on 28 November 2020 and were signed below on their behalf by:

……………………………..

Sir F Richards - Chairman

The notes on pages 15 to 27 form part of these financial statements.

13

RENDCOMB COLLEGE

CASHFLOW STATEMENT

FOR THE YEAR ENDED 31 AUGUST 2020

2020 2019
Note £ £
Cash flows from operating activities
Net (outgoing) resources before investment gains (264,064) (638,797)
Investment income (35,962) (39,364)
Interest received (870) (1,896)
Management fees charged 3,440 4,617
Depreciation charge 132,378 123,905
Profit on sale of assets (2,850) (2,064)
Decrease/(increase) in debtors 651,110 618,736
(Decrease)/increase in creditors (1,172,653) 327,136
------------------- -------------------
Net cash used in operating activities (689,471) 392,273
Cash flows from investing activities
Purchase of tangible fixed assets (183,672) (118,793)
Proceeds on sale of tangible fixed assets 2,850 2,064
Cash transfer from investments - -
Investment income 36,832 41,260
-------------------- --------------------
Net cash used in investing activities (143,990) (75,469)
Net decrease in cash and cash equivalents (833,461) 316,804
Cash and cash equivalents at the beginning of the year 1,312,269 995,465
-------------------- --------------------
Cash and cash equivalents at the end of the year 13 478,808 1,312,269
========== ==========
Analysis of cash and cash equivalents At 31 August At 31 August
2020 2019
£ £
Cash at bank 368,166 1,101,706
Short term deposits 110,642 210,563
-------------------- --------------------
13 478,808 1,312,269
========== ==========

14

RENDCOMB COLLEGE

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 AUGUST 2020

1. GENERAL INFORMATION

Rendcomb College is a charitable company limited by guarantee incorporated in England and Wales and registered with the Charity Commission. The address of its registered office is Rendcomb College, Cirencester, Gloucester, GL7 7HA. The members of the company are the Governors. 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.

Rendcomb College was incorporated on 31 July 2006 (company number 05891198) and registered as a charity on 22 August 2006 (charity number: 1115884)

2. ACCOUNTING POLICIES

A summary of the more important accounting policies, which have been applied consistently, is set out below.

Accounting convention

The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102), the Companies Act 2006 and the 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 (FRS102) – effective 1 January 2015.

The accounts are drawn up on the historical cost basis of accounting, as modified by the revaluation of investments.

Critical accounting judgements and key sources of estimation uncertainty

In the application of the accounting policies, Governors are required to make judgements, estimates, and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The Governors do not believe that there are any areas subject to significant accounting estimation or judgement and no assumptions concerning the future or estimation uncertainty affecting assets or liabilities at the balance sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year.

2.1 Consolidation

Rendcomb College has taken the exemption from preparing consolidated financial statements as its subsidiary, Rendcomb College Services Limited is wholly owned and consolidated financial statements are prepared by the ultimate controlling party, Rendcomb College Foundation, for the year ended 31 August 2020.

2.2 Going Concern

The Governors consider that there are no material uncertainties regarding the charities ability to continue as a going concern, on the basis that it has committed and ongoing financial support from its parent undertaking, Rendcomb Foundation.

2.3 School fees

Fees receivable and charges for services and use of premises are accounted for in the year in which the service is provided. Fees receivable are stated after deducting allowances, scholarships and other remissions granted by the College, but include contributions received from restricted funds for scholarships, bursaries and other grants.

2.4 Investment income

Investment income from dividends, bank balances and fixed interest securities is accounted for on an accruals basis.

2.5 Donations income

Donations receivable for the general purposes of the College are credited to unrestricted funds. Donations for purposes restricted by the wishes of the donor are taken to “restricted funds” where these wishes are legally binding on the Governors. Donations that are identified by the Governors for particular purposes are shown as designated funds.

15

RENDCOMB COLLEGE

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 AUGUST 2020

2. ACCOUNTING POLICIES (continued)

2.6 Grant income

Grant income relates to the Government’s Coronavirus Job Retention Grant (CJRG) and is recognised under the accruals basis in line with staff costs.

2.7 Expenditure

Expenditure is accounted for on an accruals basis. It is allocated between categories on the basis of actual costs. Cost of charitable activities includes expenditure associated with the running of the College and include both direct and support costs.

Support costs represent indirect costs relating to raising funds and the charity’s charitable activities. Support costs, including governance costs, are allocated to activities on bases that represent the Governors’ best estimate of actual use.

Governance costs comprise the costs of running the charity, including auditors’ remuneration and expenses reimbursed to Governors attending meetings.

2.8

Fixed assets

Fixed assets for use by the charity are stated at cost less depreciation. Depreciation is calculated on a straightline basis over the estimated useful life of an asset at the following rates:

Equipment and motor vehicles

20 – 25%

2.9 Investments

Investment in subsidiary is stated at cost less provision for impairment.

Listed investments are stated at market value at the balance sheet date.

Realised gains and losses on investments represent the difference between sale proceeds and opening market value (or cost at date of purchase if later). Unrealised gains and losses represent the change in market value of the investment portfolio in the year.

Unrealised gains and losses arising on revaluation of investments are credited or charged to the Statement of Financial Activities and allocated to the appropriate fund according to the “ownership” of the underlying assets.

2.10 Cash at bank and in hand

Cash at bank and cash 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.

2.11 Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments, including trade and other debtors, creditors and investments in non-puttable ordinary shares are initially recognised at transaction value and subsequently measured at their settlement value. Cash is measured at fair value through the profit or loss.

2.12 Creditors and provision

Creditors and provisions are recognised where the charitable company has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably.

16

RENDCOMB COLLEGE

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 AUGUST 2020

2. ACCOUNTING POLICIES (continued)

2.13 Fund accounting

Restricted funds are funds which have been received for specific purposes as indicated by the donor.

Unrestricted funds are funds whose use is wholly at the discretion of the Governors.

Designated funds, such as the Foundation Fund, are funds which are identified for particular purposes by the Governors.

2.14 Pensions

The College contributes to the Teachers’ Pension Defined Benefits Scheme at rates set by the Scheme actuary and advised to the Board by the Scheme Administrator. The scheme is a multi-employer pension scheme and the College does not have any commitment to contribute to any deficit or receive any surplus arising on the Scheme. In accordance with FRS102, therefore, the Scheme is accounted for as a defined contribution scheme. The College also operates a money purchase scheme for non-teaching staff. Contributions are charged to the Statement of Financial Activities as incurred.

2.15 Operating leases

Rentals payable are charged on a time basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.

2.16 Foreign currency translation

The charities functional and presentation currency is pound sterling. Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction. All differences are recognised in the Statement of Financial Activities.

3. CHARITABLE ACTIVITIES – FEES RECEIVABLE
CHARITABLE ACTIVITIES – FEES RECEIVABLE 2020 2019
£ £
Fees receivable consist of:
School fees 6,719,544 6,658,988
Less total bursaries, scholarships and allowances (1,059,689) (1,095,603)
--------------------- ---------------------
5,659,855 5,563,385
Add back:
Bursaries funded by Martin Wills Bequest - -
Bursaries funded by Francis Dutton Bequest - -
-------------------- --------------------
Total school fees received 5,659,855 5,563,385
========== ==========

Means tested scholarships, bursaries and other awards totalling £387,964 (2019: £430,336) were paid to 52 pupils (2019: 55). Within this, no pupils (2019: nil) were in receipt of the Francis Dutton Scholarship.

17

RENDCOMB COLLEGE

NOTES TO THE ACCOUNTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

4. CHARITABLE ACTIVITIES – OTHER CHARITABLE ACTIVITIES – OTHER INCOME INCOME 2020 2019
£ £
Additional courses 392,317 372,448
School transport 34,926 46,771
Additional accommodation 43,635 66,658
Ancillary income 12,351 6,910
------------------ ------------------
483,229 492,787
========= =========
5. OTHER TRADING ACTIVITIES 2020 2019
£ £
Trading income
Functions 32,997 159,972
Rental income 98,735 107,700
------------------ ------------------
131,732 267,672
========= =========
Rental income relates to properties which are owned by Rendcomb College Foundation, for which the rent is
payable to the College in accordance with the relevant agreements.
6. INVESTMENT INCOME 2020 2019
£ £
Income from investment portfolio 35,962 39,364
Interest 870 1,896
----------------- -----------------
36,832 41,259
======== ========
7. GRANTS AND DONATIONS Total Total
Unrestricted Designated Restricted 2020 2019
£ £ £ £ £
Donations to the College:
Rendcomb College Foundation 599,306 - - 599,306 296,100
Building improvements 2,000 - - 2,000 35,718
Rural payment 21,483 - - 21,483 -
Centenary - - - - 50,000
Grants:
Furlough income 242,172 - - 242,172 -
----------------- ------------------ ------------------ ---------------------- ----------------------
864,961 - - 864,961 381,818
========= ======== ========= =========== ===========
GRANTS AND DONATIONS (2019)
Unrestricted Designated Restricted 2019 2018
£ £ £ £ £
Donations to the College:
Rendcomb College Foundation 296,100 - - 296,100 1,033,000
Building improvements 35,718 - - 35,718 40,520
Astroturf - - - - 125,000
Centenary - - 50,000 50,000
----------------- ------------------ ------------------ ---------------------- ----------------------
331,818 - 50,000 381,818 1,198,520
========= ======== ========= =========== ===========

18

RENDCOMB COLLEGE

NOTES TO THE ACCOUNTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

8a. TOTAL EXPENDITURE Total Total
Staff costs Depreciation Other 2020 2019
£ £ £ £ £
Raising funds
Trading costs - - 13,532 13,532 42,422
Charitable activities
Education and grant making
Teaching 3,629,739 43,811 163,495 3,837,045 3,639,477
Welfare 411,764 28,328 703,887 1,143,979 1,227,258
Premises 204,488 58,251 665,100 927,839 1,004,720
Marketing - - 67,148 67,148 67,680
Administration 522,194 1,987 927,003 1,451,130 1,404,162
Donation to the Foundation - - - - -
-------------------- -------------------- --------------------- --------------------- ---------------------
4,768,131 132,377 2,526,632 7,427,141 7,343,297
-------------------- -------------------- -------------------- --------------------- ---------------------
4,768,131 132,377 2,540,165 7,440,673 7,385,719
========== ========== ========== ========== ===========
TOTAL EXPENDITURE (2019) Total Total
Staff costs Depreciation Other 2019 2018
£ £ £ £ £
Raising funds
Trading costs - - 42,422 42,422 42,012
Charitable activities
Education and grant making
Teaching 3,343,970 51,892 243,615 3,639,477 3,682,874
Welfare 801,663 19,979 405,616 1,227,258 1,176,247
Premises 204,981 44,082 755,657 1,004,720 1,344,781
Marketing - - 67,680 67,680 72,230
Administration 554,445 7,952 841,765 1,404,162 1,309,619
Donation to the Foundation - - - - -
-------------------- -------------------- --------------------- --------------------- ----------------------
4,905,059 123,905 2,314,333 7,343,297 7,586,751
-------------------- -------------------- -------------------- --------------------- ----------------------
4,905,059 123,905 2,356,755 7,385,719 7,628,763
========== ========== ========== ========== ===========
2020 2019
8b. Governance included in other costs: £ £
Remuneration paid to auditor for audit services 12,900 15,000
Remuneration paid to auditor for other services 1,500 2,910
Reimbursement of personal expenses to Governors – travel costs - 607
---------------- --------------
14,400 18,517
======== =======

No Governors were remunerated during the year. Travel expenses were reimbursed to nil (2019: three) Governors during the year. Two (2019: one) Governor had 3 children (2019: two children) at the College during the year and paid fees at the full rate.

19

RENDCOMB COLLEGE

NOTES TO THE ACCOUNTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

9. STAFF COSTS 2020 2019
£ £
Wages and salaries 3,773,353 4,058,293
Social security costs 346,507 363,053
Pension contributions (note 20) 648,271 478,358
Termination payments - 5,355
--------------------- ---------------------
4,768,131 4,905,059
=========== ===========
2020 2019
The average monthly number of employees in the year was: No. No.
Teaching:
Full time 48 53
Part time 31 42
Welfare 36 33
Premises 8 7
Administration 23 17
---------- ----------
146 152
===== =====
Aggregate employee benefits paid to key management personnel during the year were £348,900 (2019: £489,403).
Number of higher paid employees in bands of 2020
2019
60,000 - 69,999 - -
70,000 - 79,999 - -
80,000 – 89,999 - -
90,000 – 99,999 - 1
100,000 – 109,999 1 -

20

RENDCOMB COLLEGE

NOTES TO THE ACCOUNTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

10. TANGIBLE FIXED ASSETS

Equipment and Total
motor vehicles £
£
Cost
At 1 September 2019 2,550,231 2,550,649
Additions 183,672 183,672
Disposals (13,016) (13,016)
-------------------- --------------------
At 31 August 2020 2,720,887 2,720,887
-------------------- --------------------
Depreciation
At 1 September 2019 2,300,693 2,300,693
Charge for the year 132,378 132,378
Eliminated on disposal (13,014) (13,014)
-------------------- --------------------
At 31 August 2020 2,420,057 2,420,057
-------------------- --------------------
Net Book Value
31 August 2020 300,830 300,830
========= =========
31 August 2019 249,538 249,538
========= =========

The College has use of the properties owned by the Foundation, consisting of:-

21

RENDCOMB COLLEGE

NOTES TO THE ACCOUNTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

11. FIXED ASSET INVESTMENTS

FIXED ASSET INVESTMENTS
Listed Cash Total
investments
£ £ £
Market value at 1 September 2019 1,053,962 31,061 1,085,023
Additions 878,473 (878,473) -
Disposals (902,169) 902,169 -
Gains (77,364) 4,213 (73,152)
Management fees paid - (3,435) (3,435)
---------------------- ---------------------- ----------------------
Market value at 31 August 2020 952,902 55,535 1,008,436
=========== =========== ===========

The historic cost of investments held is £ 937,847 (2019: £945,568). Investments are in global equities and funds, with the exception of a £1 investment in the subsidiary company.

The College owns the entire share capital of Rendcomb Services Limited of £1. The aggregate share capital and reserves of the company as at 31 August 2020 and profit for the year then ended was as follows:

Aggregate of share
capital & reserves Loss
£ £
Rendcomb Services Limited (46) (1)
======= =======
12. DEBTORS 2020 2019
£ £
Fees 180,306 571,823
Prepayments and accrued income 159,649 185,875
Due from Rendcomb Services Limited (Note 21) - -
Due from Rendcomb College Foundation (Note 21) 68,374 300,666
Other debtors 12,266 13,341
------------------ ------------------
420,595 1,071,705
========= =========
13. CASH AND CASH EQUIVALENTS 2020 2019
£ £
Short term deposits 110,642 210,563
Cash at bank 368,166 1,101,706
-------------------- --------------------
478,808 1,312,269
========== ==========

Short term deposits comprise temporary deposits of surplus funds with Lloyds TSB Bank plc.

22

RENDCOMB COLLEGE

NOTES TO THE ACCOUNTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

14. CREDITORS – due in less than one year 2020 2019
£ £
Bank overdraft - 8,330
Trade creditors 129,043 230,562
Accruals 19,408 95,742
Registration and guarantee fees 499,489 682,257
Fees received in advance of Michaelmas Term 667,921 1,568,462
Other creditors 14,085 22,861
Due to Rendcomb Services Limited 28,671 24,494
Other tax and social security 143,214 91,776
Bounce Back Loan 50,000 -
---------------------- ----------------------
1,551,831 2,724,484
=========== ===========
15. FUND MOVEMENTS
1 September Investment 31 August
2019 Income Expenditure Transfers Gains 2020
£ £ £ £ £ £
Unrestricted Funds
General Fund (334,161) 7,176,609 (7,440,673) - - (598,225)
Designated Funds
Foundation Fund 1,218,242 - - - (73,152) 1,145,090
Francis Dutton Bequest 53,165 - - - - 53,165
Restricted Funds:
Longitude grant 6,808 - - - - 6,808
Centenary fund 50,000 - - - - 50,000
--------------------- -------------------- ---------------------- ---------------- ------------------ ---------------------
994,054 7,176,609 (7,440,673) - (73,152) 656,838
=========== ========== =========== ======== ========= ===========

The Foundation Fund consists of the investment portfolio transferred by Rendcomb College Foundation. The current intention is to retain the Fund and use the income generated to help fund the activities of the College.

The Francis Dutton Bequest is utilised for scholarships, no such scholarships were identified during the year.

The Longitude grant consists of funds awarded at the Longitude Explorer Challenge and is being used to develop Science, Technology, Engineering and/or Maths education within the College.

The Centenary fund consists of amounts received for the Centenary celebration.

FUND MOVEMENTS (2019)
1 September Investment 31 August
2018 Income Expenditure Transfers Gains 2019
£ £ £ £ £ £
Unrestricted Funds
General Fund 354,204 6,696,922 (7,385,287) - - (334,161)
Designated Funds
Foundation Fund 1,242,079 - - - (23,838) 1,218,242
Francis Dutton Bequest 53,165 - - - - 53,165
Restricted Funds:
Longitude grant 7,240 - (432) - - 6,808
Centenary fund - 50,000 - - - 50,000
--------------------- -------------------- ---------------------- ---------------- ------------------ ---------------------
1,656,688 6,745,922 (7,385,719) - (23,838) 994,054
=========== ========== =========== ======== ========= ===========

23

RENDCOMB COLLEGE

NOTES TO THE ACCOUNTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

15. FUND MOVEMENTS (continued)

The Foundation Fund consists of the investment portfolio transferred by Rendcomb College Foundation. The current intention is to retain the Fund and use the income generated to help fund the activities of the College.

The Francis Dutton Bequest is utilised for scholarships, resources expended include the transfer of £nil (2019: £4,725) in respect of scholarships funded during the year by the Francis Dutton Bequest.

The Longitude grant consists of funds awarded at the Longitude Explorer Challenge and is being used to develop Science, Technology, Engineering and/or Maths education within the College.

The Astroturf fund consists of amounts received for the replacement of the astroturf surface. These amounts were expended in the year.

16.

NET ASSETS BY FUND
Tangible fixed Investments Net current Total
assets assets/(liabilities
)
£ £ £ £
Unrestricted Funds
Designated Funds - 1,008,436 189,821 1,198,257
General Funds 300,830 - (899,057) (598,227)
Restricted - - 56,808 56,808
------------------- -------------------- ------------------ --------------------
300,830 1,008,436 (652,428) 656,838
========= ========== ========= ==========

17. CAPITAL COMMITMENTS

At the balance sheet date there were no capital commitments (2019: £Nil.)

18.

FINANCIAL INSTRUMENTS 2020 2019
£ £
Cash and cash equivalents 478,808 1,312,269
Financial assets that are debt instruments measured at amortised cost 180,306 578,177
--------------------- ---------------------
659,114 1,890,446
=========== ===========
Financial liabilities measured at amortised cost (861,049) (1,821,855)
=========== ===========

Financial assets measured at amortised cost include fee debtors and accrued income.

Financial liabilities measured at amortised cost include fees in advance, trade creditors and other creditors.

24

RENDCOMB COLLEGE

NOTES TO THE ACCOUNTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

19. OPERATING LEASE COMMITMENTS

At 31 August 2020, the College had annual commitments under non-cancellable operating leases as set out below:

2020 2019
Fixtures & Fixtures &
Vehicles fittings Vehicles Fittings
£ £ £ £
Operating leases which expire:
Within one year 3,763 62,645 9,428 130,271
In one to two years - 60,375 1,133 53,802
In two to five years - 60,112 - 111,048
------------- ---------------- ------------- ----------------
3,763 182,132 10,561 295,121
======= ======= ======= ========

Total costs incurred in the year in respect of rental charges for assets held under operating lease of £139,700 (2019: £142,681)

20. PENSION COSTS

(a) The Teachers’ Pension Scheme

The School participates in the Teachers’ Pension Scheme (“the TPS”) for its teaching staff. The pension charge for the year includes contributions payable to the TPS of £544,209 (2019: £386,295) and at the year-end £nil (2019: £Nil) was accrued in respect of contributions to this scheme.

The TPS is an unfunded multi-employer defined benefits pension scheme governed by The Teachers’ Pensions Regulations 2010 (as amended) and The Teachers’ Pension Scheme Regulations 2014 (as amended). Members contribute on a “pay as you go” basis with contributions from members and the employer being credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.

The employer contribution rate is set by the Secretary of State following scheme valuations undertaken by the Government Actuary’s Department. The most recent actuarial valuation of the TPS was prepared as at 31 March 2016 and the Valuation Report, which was published in March 2020, confirmed that the employer contribution rate for the TPS would increase from 16.4% to 23.6% from 1 September 2020. Employers are also required to pay a scheme administration levy of 0.08% giving a total employer contribution rate of 23.68%.

The 31 March 2016 Valuation Report was prepared in accordance with the benefits set out in the scheme regulations and under the approach specified in the Directions, as they applied at 5 March 2020. However, the assumptions were considered and set by the Department for Education prior to the ruling in the ‘McCloud/Sargeant case’. This case has required the courts to consider cases regarding the implementation of the 2015 reforms to Public Service Pensions including the Teachers’ Pensions.

On 27 June 2020 the Supreme Court denied the government permission to appeal the Court of Appeal’s judgment that transitional provisions introduced to the reformed pension schemes in 2015 gave rise to unlawful age discrimination. The government is respecting the Court’s decision and has said it will engage fully with the Employment Tribunal as well as employer and member representatives to agree how the discriminations will be remedied.

The TPS is subject to a cost cap mechanism which was put in place to protect taxpayers against unforeseen changes in scheme costs. The Chief Secretary to the Treasury, having in 2019 announced that there would be a review of this cost cap mechanism, in January 2020 announced a pause to the cost cap mechanism following the Court of Appeal’s ruling in the McCloud/Sargeant case and until there is certainty about the value of pensions to employees from April 2015 onwards.

In view of the above rulings and decisions the assumptions used in the 31 March 2016 Actuarial Valuation may become inappropriate. In this scenario, a valuation prepared in accordance with revised benefits and suitably revised assumptions would yield different results than those contained in the Actuarial Valuation.

25

NOTES TO THE ACCOUNTS (continued)

RENDCOMB COLLEGE

FOR THE YEAR ENDED 31 AUGUST 2020

20. PENSION COSTS (continued)

Until a remedy to the discrimination conclusion has been determined by the Employment Tribunal it is not possible to conclude on any financial impact or future changes to the contribution rates of the TPS. Accordingly no provision for any additional past benefit pension costs is included in these financial statements.

During the year the Governors undertook a consultation with staff regarding the ongoing membership of the TPS. The outcome of that was to retain membership at present, pending review of measures put in place to mitigate the costs incurred.

The College operates a money purchase scheme for non-teaching staff. The assets of the scheme are held separately from those of the College. At the year end there were 65 (2019: 77) members of the money purchase scheme. Employer’s contributions totalled £104,029 (2019: £92,064) during the year and at the year-end £nil (2019: £Nil) was accrued in respect of contributions to this scheme.

21. RELATED PARTY TRANSACTIONS

Rendcomb College is a connected charity with Rendcomb College Foundation as the Trustees of the Foundation are the members of the College. During the year the Foundation donated £367,000 (2019: £296,100) to the College. During the year ended 31 August 2020, the College incurred expenses of £33,665 (2019: £100,666). At 31 August 2020 the balance receivable from the Foundation was £68,375 (2019: £300,666).

During the year the College purchased services of £286,546 (2019: £193,802) from Rendcomb Services Limited and at the year end owed a net balance of £28,669 (2019: £24,494). Rendcomb Services Limited is a wholly owned subsidiary of Rendcomb College.

During the year two Governors (2019: one) had three (2019: two children) enrolled at the College, and fees charged were at the full rate.

As at 31 August 2020 a balance was due from The Friends of Rendcomb College of £nil (2019: £Nil).

22. CONTROLLING PARTY

Rendcomb College Foundation is the immediate parent undertaking of Rendcomb College. Consolidated accounts are prepared by Rendcomb College Foundation, registered Charity number 311713. The consolidated accounts are available from the Charity Commission.

26

RENDCOMB COLLEGE

NOTES TO THE ACCOUNTS (continued)

FOR THE YEAR ENDED 31 AUGUST 2020

23. COMPARATIVE STATEMENT OF FINANCIAL ACTIVITIES (2019)

General Designated Restricted Total
Funds Funds Funds 2019
Note £ £ £
INCOME FROM:
Charitable activities
School fees receivable 3 5,563,385 - - 5,563,385
Other educational income 4 492,787 - - 492,787
Trading activities 5 267,672 - - 267,672
Investments
Investment income 6 39,364 - - 39,364
Bank and other interest 6 1,896 - - 1,896
Voluntary services
Grants and donations 7 331,818 - 50,000 381,818
--------------------- ----------------- --------------------- ---------------------
Total income 6,696,922 - 50,000 6,746,922
--------------------- ---------------- --------------------- ---------------------
EXPENDITURE ON:
Raising funds
Trading costs 8 42,422 - - 42,422
Charitable activities
Education and grant making 8 7,342,865 - 432 7,343,297
-------------------- ------------------ -------------------- ---------------------
Total expenditure 8 7,385,287 - 432 7,385,719
-------------------- ----------------- -------------------- ---------------------
Net expenditure before investment (688,365) - 49,568 (638,797)
gains
(Losses)/gains on investment assets: - (23,837) - (23,837)
-------------------- ----------------- -------------------- ---------------------
Net movement in funds (688,365) (23,837) 49,568 (662,634)
Fund balances at 1 September 2018 354,204 1,295,244 7,240 1,656,688
------------------- ---------------------- ------------------ ---------------------
Fund balances at 31 August 2019 15,16 (334,161) 1,271,407 56,808 994,054
========= ========== ======== ==========

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