2020-07-31-accounts

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St Edmund Hall

Annual Report and Financial Statements

Year ended 31 July 2020

St Edmund Hall

Annual Report and Financial Statements

	Page
Governing Body, Officers and Advisers	2
Report of the Governing Body	5
Independent Auditor’s Report	14
Statement of Accounting Policies	17
Statement of Financial Activities	22
Balance Sheet	23
Cash Flow Statement	24
Notes to the Financial Statements	25

St Edmund Hall

Governing Body, Officers and Advisers Year Ended 31 July 2020

MEMBERS OF THE GOVERNING BODY

The Members of the Governing Body are the College’s charity trustees under charity law. The members of the Governing Body who served in office as Trustees during the year or subsequently are detailed below.

Trustee	Notes	(1)	(2)	(3)	(4)
Professor David Bannerman
Dr Joanna Bell	Appointed 10 October 2019
Professor Roger Benson
Professor Adrian Briggs
Professor Peter Bruce
Ms Eleanor Burnett	Appointed 10 October 2019	●	●	●	●
Professor Maia Chankseliani			●
Professor Gordon Clark
Professor Nicholas Cronk	Demitted 30 September 2019
Professor Nicholas Davidson		●
Professor Stuart Ferguson	Demitted 31 October 2019
Professor Jason Gaiger
Professor Michael Gill
Professor Leslie Goldberg		●
Professor Paul Goulart			●
Professor Cameron Hepburn					●
Professor Lars Jansen	Appointed 1 January 2020
Professor Heidi Johansen-Berg					●
Professor Paul Johnson
Professor Andrew Kahn				●
Professor Max Kasy	Appointed 1 January 2020
Professor Aileen Kavanagh	Demitted 30 September 2019
Professor Henrike Lähnemann
Professor David Manolopoulos		●
Professor Erica McAlpine					●
Professor Philip Mountford
Professor Karma Nabulsi		●
Professor Luc Nguyen				●
Professor Mauro Pasta

St Edmund Hall

Governing Body, Officers and Advisers Year Ended 31 July 2020

Professor Ian Pavord
Professor Philipp Podsiadlowski	Retired 30 September 2020
Professor David Priestland
Professor Oliver Riordan		●
Professor Peter Rothwell
Dr Charlotte Sweeney			●	●
Professor Jeffrey Tseng
Professor Dimitrios Tsomocos
Professor Richard Walker				●
Professor Robert Whittaker		●	●	●	●
Professor Robert Wilkins		●	●
Professor Richard Willden		●
Professor Mark Williams
Professor Wes Williams			●
Professor Katherine Willis		●	●	●	●
Professor Jonathan Yates				●
Professor Linda Yueh			●
Professor Amy Zavatsky					●

During the year, the activities of the Governing Body were carried out through four core committees. The membership of these committees during the 2019/20 academic year is shown above for each Fellow.

(1) Academic Committee
(2) Finance Committee
(3) General Purpose & Bursarial Committee
(4) Development Committee

The Remuneration Committee is comprised solely of independent members, as follows:-

Mr Peter Johnson (Chair)	Appointed Chair 01 October 2019
Sir Jon Shortridge (Chair)	Demitted 30 September 2019
Professor Derrick Wyatt
Ms Carolyn Davies
Mr Robert Price
Ms Mary Waldner	Appointed 01 October 2019
Dr Mark Pobjoy

St Edmund Hall

Governing Body, Officers and Advisers Year Ended 31 July 2020

COLLEGE SENIOR STAFF

The senior staff of the College to whom day-to-day management was delegated during the year were as follows:-

Professor Katherine Willis	Principal
Professor Robert Whittaker	Vice Principal
Professor Robert Wilkins	Senior Tutor
Ms Eleanor Burnett	Finance Bursar
Dr Charlotte Sweeney	Domestic Bursar
Ms Stephanie Hanks	College Accountant
Mr Luke Bradshaw	Academic Registrar
Mr Gareth Simpson	Director of Development

COLLEGE ADVISERS

Investment Managers

Oxford University Endowment Management, 27 Park End Street, Oxford OX1 1HU

Rathbone Greenbank Investment Managers, 8 Finsbury Circus, London EC2M 7AZ

Investment Property Managers

Cluttons LLP, 7400 The Quorum, Alec Issigonis Way, Oxford Business Park, Oxford OX4 2JZ

Auditor

Moore Kingston Smith LLP, Devonshire House, 60 Goswell Road, London EC1M 7AD

Bankers

NatWest PLC, Mimms Business Park, 7 West Way, Willow Court, Oxford OX2 0JB

Solicitors

Blake Morgan LLP, Seacourt Tower, West Way, Botley, Oxford OX2 0FB

Mills & Reeve, Botanic House, 100 Hills Road, Cambridge CB2 1PH

Surveyors

Cluttons LLP, 7400 The Quorum, Alec Issigonis Way, Oxford Business Park, Oxford OX4 2JZ

College Address

St Edmund Hall, Queen’s Lane, Oxford OX1 4AR

Website

www.seh.ox.ac.uk

St Edmund Hall

Report of the Governing Body

Year Ended 31 July 2020

The Members of the Governing Body present their Annual Report for the year ended 31 July 2020 under the Charities Act 2011 together with the audited financial statements for the year.

REFERENCE AND ADMINISTRATIVE INFORMATION

The Principal, Fellows and Scholars of St Edmund Hall in the University of Oxford, which is commonly known as St Edmund Hall (the “College” or the “Hall”), is an eleemosynary chartered charitable corporation aggregate. It was incorporated under a Royal Charter dated 15 February 1957, although the Hall has been in existence since the 13th Century.

The College registered with the Charity Commission on 13 August 2010 (registered number 1137470).

The names of all Members of the Governing Body at the date of this report and of those in office during the year, together with details of the senior staff and advisers of the College, are given on pages 2 to 4.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Documents

The College is governed by its Statutes in accordance with the Universities of Oxford and Cambridge Act 1923 (the current Statutes having been approved on 12 April 2017).

Governing Body

The Governing Body of the College comprises the Principal and Fellows. This body is constituted and regulated in accordance with the College Statutes, the terms of which are enforceable ultimately by the Visitor, who is the Chancellor of The University of Oxford. The Governing Body is self-appointing: new members are generally elected according to the nature of their Fellowships at the College; retirements generally occur on the same basis.

The Governing Body determines the ongoing strategic direction of the College and regulates its administration and the management of its finances and assets. It meets regularly, with the Principal as Chair, and is advised by its four core Committees, the Remuneration Committee and the Investment Sub-committee.

The Finance Committee is responsible for the operational budgeting and financial control of the College and the Investment Sub-committee is responsible for the governance and management of the College’s investment assets, making recommendations to the Finance Committee for approval.

The Investment Sub-committee comprises Fellows of the College and five independent members with professional investment experience, who serve in a voluntary capacity. The Investment Sub-Committee is further supported by an investment adviser, Rathbone Greenbank, which evaluates funds and other investments that may be incorporated within the portfolio and provides asset allocation and market strategy guidance. The College investments are maintained in accordance with an investment policy which is approved by the Governing Body and reviewed periodically.

The academic operations of the College are guided by the Academic Committee.

Recruitment and Training of Members of the Governing Body

Fellows of the College are recruited through open competition to their teaching and research positions or to offices of the College (such as Finance Bursar or Development Director) as such vacancies arise, except for the few Fellows whose Fellowship arises from a University appointment. Vacancies are advertised on the College website, in the University Gazette, on the Jobs.ac.uk website and in such professional or national journals as may be appropriate.

All Fellows are inducted into the workings of the College and given information on the duties of a trustee. They are advised that they will carry such responsibilities as members of Governing Body at the time they are

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Report of the Governing Body

Year Ended 31 July 2020

offered their job and are required to confirm that they have read and understood those obligations as a condition of taking up their appointment.

Members of the Governing Body understand the importance of being kept informed on current issues in the sector and on regulatory requirements; it offers a formal programme for Trustee training to new Fellows offered by the Conference of Colleges.

Trustee indemnity insurance is in place for the College.

Remuneration of Members of the Governing Body and Senior College Staff

Members of the Governing Body, all of whom are Fellows, are administrative, teaching or research employees of the College or University and receive no remuneration or benefits from their trusteeship of the College.

Those trustees that are also employees of the College receive remuneration for their work as employees of the College which is determined on the advice of the College’s Remuneration Committee, members of which are Fellows not in receipt of remuneration from the College. For academic staff, remuneration is set in line with that awarded to the University’s academic staff according to the published academic scales.

The remuneration of senior college staff is set with reference to the seniority and qualifications required for such a post and in most cases the remuneration is set by reference to the published University of Oxford academic-related scales.

Organisational Management

The Governing Body meets ten times per year. The work of developing its policies and monitoring the implementation of these is carried out by various committees. The standing committees of the College are the Nominating Committee, the Remuneration Committee, the General Purposes & Bursarial Committee (GPBC), the Academic Committee, the Tutorial Committee, the Finance Committee, the Development Committee and the Disciplinary Committee. The Domestic sub-committee, the Wine sub-committee, the Garden subcommittee and the College & Welfare sub-committee report to the GPBC. The Investment sub-committee and the Wages sub-committee report to the Finance Committee. The responsibilities of the four key committees are detailed below:

The Academic Committee is responsible for the admissions policy of the College and oversees the admissions process, considers all matters relating to the provision of tuition for and supervision of students, and considers the creation of certain Fellowships.
The Finance Committee is responsible for the operational finances of the College, recommending charges to students, reviewing the annual budget and statutory accounts, managing the investments of the College, managing purchases, sales and leases of College property, managing any loans held by the College and approving all contractual arrangements of the College.
The General Purpose & Bursarial Committee is responsible for overseeing the domestic arrangements for students, both accommodation and catering, room provision for all members of the College, makes recommendations on building maintenance and capital projects, and advises the Governing Body on all matters concerning health and safety, including legislative requirements.
The Development Committee makes recommendations to the Governing Body on matters relating to fundraising and alumni relations.

In addition, the Remuneration Committee advises on the remuneration of the Principal and Fellows of the College, including matters such as salaries, benefits, allowances, expenses, and pensions.

The key management personnel are the College Officers set out on page 4. The day-to-day running of the College is overseen by the Principal. Academic matters are delegated primarily to the Senior Tutor, supported by the Academic Registrar. Administrative and financial matters are delegated primarily to the Finance Bursar, supported by the College Accountant; the Finance Bursar is a member of all four core Committees, and

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Report of the Governing Body

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attends the Remuneration Committee as its Secretary. Domestic and estates matters are delegated primarily to the Domestic Bursar, supported by the Estates Manager.

Group Structure and Relationships

The College administers many special trusts, as detailed in Notes 18 and 19

to the financial statements.

The College has three wholly-owned non-charitable trading subsidiaries, two of which are dormant: St Edmund Hall Enterprises Ltd and St Edmund Hall Trading Ltd. The third subsidiary which undertakes the College’s building works, St Edmund Hall Design & Build Ltd, began trading in the year.

The College is part of the collegiate University of Oxford. Material interdependencies between the University and the College arise as a consequence of this relationship.

OBJECTIVES AND ACTIVITIES

Charitable Object and Aims

The College’s charitable object, as specified in the Statutes, is to promote the advancement of university education, learning and research as a College in the University of Oxford (including maintaining its historic buildings and other patrimony, and pastoral care of its students).

The Governing Body is mindful of the long-standing requirement to provide public benefit and of the disclosure requirements of the Charities Act 2011. In this connection, the Governing Body, through the College’s senior staff, has monitored closely the general and supplemental guidance produced by the Charity Commission, and in particular its public benefit guidance on advancement of education and on fee-charging.

Activities and objectives of the College

Accordingly, the College engages in activities to achieve its objects including:

Carrying out education and research activities jointly with the University, involving payment of salaries and the provision of infrastructure including office space and administrative support;
Supplementing the education provided jointly with the University with tutorial teaching provided by College-only appointed teachers, and by provision of its own Library and IT facilities, and welfare, social, cultural and recreational facilities, to enable each of its students to realise their academic and personal potential to their fullest extent;
Supplementing the research activities it promotes jointly with the University by providing College-only funded research Fellowships, and by providing an environment for interaction between researchers and facilities for visiting researchers, including access to a valued library;
Admitting undergraduate and graduate students without any restriction subject only to satisfaction of publicised academic criteria; Home/EU undergraduate students are eligible for Student Loans from Student Finance England, and for Oxford Bursaries on a means-tested basis;
Providing various forms of financial assistance to both undergraduate and graduate students through prizes, scholarships, and grants, to allow them to pursue projects which further their studies, and to provide targeted support in cases of hardship;
Supporting a number of access-related activities, ensuring that the information needed to apply for admission to the University is disseminated as effectively as possible;
Maintaining and enhancing its buildings, fabric and grounds to ensure they are fit-for-purpose for teaching and accommodation of current and future generations of undergraduate and graduate students;
Employing welfare officers to provide counselling and pastoral care to members of the College.

St Edmund Hall

Report of the Governing Body

Year Ended 31 July 2020

Public Benefit

The College is committed to the aims of providing public benefit in accordance with its objects, and has continued to conduct its affairs during the year to 31 July 2020 in furtherance of these aims. The Trustees confirm that they have complied with the duty in Section 17 (5) of the Charities Act 2011 to have due regard to the guidance issued by the Charity Commission on public benefit.

More specifically, the College’s public benefit activities include the following:

The College admits students those who have the highest potential for benefiting from the education provided by the College and University and employs academic staff who are best able to contribute to the academic excellence of the College, regardless of financial, geographical, ethnic, social, age or religious background.
The College provides accommodation and meals to students at rates that are as reasonable as finances allow, and it offers accommodation to all first and final year undergraduates, and to all first year graduates. The College provides a substantial subsidy for student meals and other activities.
In order to assist undergraduates entitled to financial support, the College provides funds to the Oxford Bursary scheme. In addition, the College provides a significant number of academic and academic-related awards, including book, equipment and writing-up support, and funding for individual and group non-academic pursuits through our Masterclass and Amalgamated Clubs funds. Further, the College operates a targeted Hardship Scheme, which makes awards to undergraduates and graduates who face unexpected financial issues.
The College operates an outreach programme to raise educational aspirations within schools, and to attract outstanding applicants who might not otherwise have considered applying to the College; each year we engage with around 3,000 students distributed in around 100 schools. It employs a full-time Schools Liaison Officer, and the programme involves visits by schools to the College, open days, and guidance and information to applicants and teachers.
The College takes part annually in ‘Oxford Open Doors’, including opening the College library to the public and offering guided tours of the College’s facilities and runs its own ‘Access Hall areas’ weekend where the College is opened to the public to view talks, displays and guided tours around the College site.
The College makes many of its talks and lectures available to the public in the form of videos on its YouTube channel, www.youtube.com/StEdmundHall.
During term-time, the Chapel hosts Sunday services that are open to the public, and other services at College events and other occasions. The Choir has also sung at venues around the country, and visited Pontigny in France, where St Edmund is buried. In addition, the College hosts, free of charge, a number of concerts by both College musicians and other Oxford-based ensembles. The College maintains its long-standing policy of not charging members of the public who wish to visit.

ACHIEVEMENTS AND PERFORMANCE

During the academic year 2019-20, 114 undergraduates passed final examinations of which 45%, representing many disciplines, achieved First Class degrees. Both Final Honours students and those in earlier years won many individual prizes and awards and a full list of these is presented in the annual Hall Magazine. The graduate population of the College has been maintained with a thriving Middle Common Room. The College now exhibits a good balance of Masters and DPhil students and reflects Oxford’s Academic Divisions and their expertise and position as world-class research groupings within the University.

Although the College managed to sustain in-person undergraduate teaching until the end of Hilary Term, the lockdown that subsequently ensued required students to return home and necessitated a move to online platforms in Trinity Term. Everything that would ordinarily have been conducted in person - start of term meetings and collections, tutorials, Principal’s Collections - was conducted remotely. Despite some

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challenges, there was outstanding engagement with the online teaching that was provided and the consensus of the academic tutors is that this enforced change was far more rewarding than any could have hoped for.

The Collegiate University maintains a number of bursary schemes for both undergraduate and graduate students. The College contributes to the funding of these schemes (in particular the Oxford Bursary Scheme for Home/EU undergraduates) and admits students on bursary schemes, both as undergraduate and graduate students.

In addition to the Oxford Bursary Scheme, which is operated and funded equally by the University of Oxford and the colleges, St Edmund Hall offers generous financial support to its students through hardship grants and academic grants. The total value of student support through bursaries and scholarships, including Oxford Bursaries, was £443k (2019: £519k).

The talents of the Fellowship were recognised in many ways:

Professor Andrew Kahn FBA, Professor of Russian Literature and Vladimir Potanin Tutorial Fellow of Russian Literature and Modern Languages at St Edmund Hall, was awarded joint second prize for the Modern Language Association (MLA)’s Aldo and Jeanne Scaglione Prize for Slavic languages and Literatures;

The Middle East Studies Association of North America (MESA) presented its prestigious Undergraduate Education Award to Professor Karma Nabulsi, Fellow and Tutor in Politics , and Abdel Razzaq Takriti, AAEF Chair in Modern Arab History at the University of Houston, and former Junior Research Fellow in Political History at St Edmund Hall for their work on the digital anthology The Palestinian Revolution.

Professor Zhanfeng Cui and his team which includes Hall Fellow Professor Wei Huang were one of the winners of the Royal Academy of Engineering’s President’s Special Awards for Pandemic Service for their rapid viral RNA test for COVID-19.

Professor Sergio Lozano-Perez, George Kelley Senior Research Fellow at the Hall, has been presented by Framatome with their first Excellence in Nuclear Reactor Science in the UK Award. The award recognises his significant contributions to nuclear science and research, and was presented during a ceremony at the French Embassy in London.

Professor Robert Wilkins, American Fellow and Tutor in Physiology, Senior Tutor and Tutor for Admissions, was appointed as the University’s Director of Pre-clinical Studies at the start of Trinity Term 2020.

In line with its strategy, the College appointed five new Early Career Teaching and Research Fellows in Earth Sciences, Materials, Medical Sciences, History and Economics.

The College’s students continued to impress with non-academic activities, and this year the College saw an inspiring series of performances in music, drama, art, writing and sport. Students at the College won 14 Full Blues and 5 Half Blues. Although the intra-collegiate sports competitions were curtailed by lockdown, the Hall’s sports men and women still recorded some notable successes. The Gymnastics team triumphed in their Cuppers. Both the Men’s and Women’s Football teams reached the semi-finals of their Cuppers and the Men’s Football Third team were champions of their league. The Men’s Rugby team stood on the brink of reaching the Cuppers final when their semi-final meeting with Keble was cancelled.

FINANCIAL REVIEW

Even before the impact of the Covid-19 pandemic, the College operated in difficult financial conditions, requiring the setting of tight budgets without adversely affecting the standard of education, learning and research it provides and promotes – and it has continued with its policies of maximising income and controlling expenditure.

In March 2020, as a result of the pandemic, students were sent home and on-line teaching resumed for the rest of the academic year. The Easter and Summer Conferences were also cancelled and the impact on the College’s finances during this period resulted in a reduction in student residential income of around £750k and a reduction in anticipated conference income of nearly £400k. The College is able to weather this storm over the short term, as it has a healthy balance sheet and sufficient unrestricted reserves to support short term losses. The reduction in income was mitigated by a reduction in costs and the College also made use of the Government’s Coronavirus Job Retention Scheme, as the domestic and catering operations ceased to function once lockdown commenced, receiving £392k in the financial year.

St Edmund Hall

Report of the Governing Body Year Ended 31 July 2020

In terms of the figures, in 2020, total expenditure decreased by 18.8% to £9.2m (2019: £11.4m). Before accounting for donations and legacies, the College’s 2020 operating loss before investment losses was £184k (2019: £1.9m). Donations and legacies for 2020 were £1.8m (2019: £4.4m). Investment losses for 2020 were £3.65m (2019: gain of £5.7m). The College’s net assets decreased by 2% to £87.0m (2019: £89.1m). With the disclosure and calculation of a defined benefit pension scheme deficit liability from 2016, the balance sheet holds a liability against its general funds of £1.5m (2019: £1.9m).

The investment assets delivered a total return of -1.5%, with private equity mitigating the losses that were experienced within the public equity holdings. The balance of cash held within the portfolio during the year was relatively high compared with the agreed asset allocation, which also contributed to mitigating the potential losses. Overall, the investment sub-committee is satisfied with this outcome. During the year, the College appointed discretionary investment managers, Rathbone Greenbank, to manage that part of the investment portfolio not held with OUEM. The key aim is to transition the entire portfolio to holdings that meet strict environmental, social and governance (ESG) criteria and Rathbone has significant expertise in this area. A new and expanded investment policy has been approved which reflects this investment path.

In June 2017, the College issued a debt private placement of £20.2 million with a fixed interest rate of 2.525%, repayable in 2067, of which £20.0 million was invested with Oxford University Endowment Management; the Governing Body operates this portion of the College’s investment portfolio as a ring-fenced investment, the future yields from which will be used solely to help permanently secure the College’s academic, financial, and physical assets. The value of the ring-fenced investment at the year end was £22.146m (2019: £22.86m) and the Governing Body approved the use of this investment to support the accommodation upgrade in the Besse building, along with donations received for the project.

Covid-19 has caused a significant financial impact on the College. However, students did return in Michaelmas 2020 ensuring student fee and residential income for the entire 2021 academic year. The Development Office ran a very successful Giving Day in September 2020 and will follow up with a telethon in December 2020 and a campaign launch in February 2021. There will be a financial impact from cancelled conferences and visiting student receipts in 2021, however, it is anticipated that by Summer 2021 (and potentially Easter 2021) conference business will resume successfully.

Reserves Policy

The College’s reserves policy is to maintain sufficient free reserves to enable it to meet its short-term financial obligations in the event of an unexpected revenue shortfall, to allow the College to be managed efficiently, and to provide a buffer that would ensure uninterrupted services.

The Governing Body has reviewed the free reserves and is satisfied that the level of free reserves, the current cash flow projections and the availability of external financing facilities would provide an adequate safety net in the event of adverse operating conditions. The Governing Body is satisfied that there is sufficient unrestricted cash and liquid assets at the year end to meet its financial obligations.

Total funds of the College and its subsidiary at the year end amounted to £87M (2019: £89m). This includes endowment capital of £62.8m (2019: £65.1m) and restricted funds of £1.4m (2019: £1.4m). The College’s general funds at the year end, after pension provision, are £22.8m (2019: £22.5m). The College’s free reserves at the year-end amounted to £5.1m (2019: £5.2m), representing retained unrestricted income reserves excluding an amount of £17.7m (2019: £17.3m) for the net book value of fixed assets less associated funding arrangements. There are additional designated funds of £2.1m which are designated for the Besse capital refurbishment project and £1.2m for other purposes, the latter of which could be used for operational needs, if required. These funds are detailed further in note 17.

Risk Management

The College is engaged in risk assessment on an ongoing basis. When it is not able to address risk issues using internal resources, the College takes advice from experts external to the College with specialist knowledge. Policies and procedures within the College are reviewed by the relevant College Committee, chaired by the Principal or one of the Bursars. Financial risks are assessed by the Finance Committee and investment risks are monitored by the Investment Sub-Committee. In addition, the Domestic Bursar and domestic staff heads meet regularly to review health and safety issues. The College uses the services of

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external consultants from Peninsula who visit the site and carry out Health and Safety audits three times a year and provide reports with action plans. There is also a Health and Safety committee with representation across the departments. During the financial year, the Domestic Bursar initiated drop-in sessions twice per term for anyone to come and give H&S concerns.

Training courses and other forms of career development are available, as required, to members of staff to enhance their skills in risk-related areas.

The Governing Body, which has ultimate responsibility for managing risks faced by the College, has given consideration to the major risks to which the College is exposed, and has concluded that adequate systems are in place to manage these risks. It is recognised that risk-assessment systems can provide only reasonable but not absolute assurance that major risks have been managed. The impact of Covid-19 on the operations of the College and on its finances, have been continually reviewed throughout the year and the risk register has been updated accordingly.

These particular risks have been identified by the College:

The potential impact of the UK leaving the European Union on students, academics and funding. The decision to leave the EU may have a significant adverse impact on research funding and on the College’s ability to attract EU students and EU academics. The Governing Body is monitoring this area closely.
The potential impact of the Teaching Excellence Framework on College funding and its academic reputation. An inappropriate application of the TEF may lead to the reputation of the College’s teaching being damaged. There are controls in place in relation to the application of funding.
The impact of reduced government funding on teaching and research. Reduced government funding risks eroding the quality of teaching and research and risks damaging Oxford University’s and the College’s ability to compete internationally for the best academics and the best students. The Governing Body, with the University, is considering this impact.
The long-term rental stream from College-owned shops on Oxford High Street. Appointment of external advisors aims to maintain strong relationships with tenants and react to tenancy changes, mitigating any potential for lost income from empty units.
Long-term adverse investment returns which could reduce the College’s income and threaten its ability to service the loan or invest in its capital infrastructure. The Investment Sub-Committee and investment advisers review performance, risk and the investment climate termly (or more frequently if required), which is considered sufficient for reacting to market changes.
Impact of a pandemic on the operations and finances of the College. Implementation of business contingency planning meetings to review and consider cash forecasts, use of Government schemes and consideration of projects that could be put on hold.

Investment policy, objectives and performance

The College’s investment objectives are to balance the needs of current and future beneficiaries by:

maintaining (at least) the value of the investments in real terms over the long term;
producing a consistent and sustainable annual transfer to support the general expenditure of the College; and
delivering these objectives within acceptable levels of risk.

To meet these objectives, the College’s investments are managed on a total return basis, maintaining diversification across a range of asset classes to produce an appropriate balance between risk and return. In line with this approach, the College statutes allow the College to invest permanent endowments to maximise the related total return and to make available for expenditure each year an appropriate proportion of the unapplied total return.

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Under the total return accounting basis, it is the Governing Body’s policy to operate a spend rule which calculates the total transfer to income according to a smoothing mechanism based on 3.8% of the average of the market value of the assets over the last twelve quarters of the year in question. In 2018, the Governing Body agreed to reduce the spend rule rate by 0.1% each year, from an initial rate of 4.0% reducing to an agreed rate of 3.5% in 2023. The Investment Committee keeps this policy under review in the light of investment returns to maintain an equable balance between present and future beneficiaries.

The investment policy, objectives and performance of the College are monitored by the Investment Subcommittee which reports through the Finance Committee to Governing Body. At year end, the College’s longterm investments including securities and property totalled £79.6m (2019: £78.5m).

Development, alumni relations and fundraising

St Edmund Hall fundraises via face-to-face meetings, correspondence, telephone, video-calling and online. All fundraising is carried out by staff or members of the College (including current students). 2019/20 was a difficult year with the impact of the Covid-19 pandemic, resulting in the March 2020 telethon being postponed to December 2020 and the annual Giving Day being postponed from May to September 2020. The usual events were also cancelled meaning that alumni were unable to visit the College or engage in activities that they would normally be able to do. Despite these difficulties, the Development Office successfully raised £2.1m (2019: £4.4m), including £698k to endow a Fellow in Biomedical Science and a variety of donations for scholarships, student support and capital projects.

Fundraising activity is managed on a day-to-day basis by the Development and Alumni Relations Office. This office comprises of five full time employees, including the Fellow responsible for fundraising activity. The Office is overseen by the College Principal and reports to the Development Committee and the Governing Body.

Fundraising activity is predominantly carried out to members of the College (alumni). The College does not carry out any fundraising with members of the general public.

No complaints were received in relation to the College’s fundraising activity in 2019/20.

In 2019/20 the College employed Buffalo Fundraising (Registered in England Number 5602547) as its fundraising consultant and as a data processor.

In line with data and fundraising regulation and best practice the College updated its privacy statement in 2017/18 and carried out a personal information campaign to enable College Members to update their contact permissions. Members can update their permissions at any time.

FUTURE PLANS

In October 2019, the Governing Body published its 10-year strategy for the College. Five key areas of the College’s activities were examined, namely: teaching and research; access, equality and diversity; culture; estates; and finance. This document provides a road-map for the collective direction in these key areas over the next decade. The strategy document is published on the College’s website.

To enable the College to implement its strategy, it will be launching a fundraising campaign in 2021 to help the support the College achieve its aims in endowing Fellowship posts, providing student support and embarking upon capital projects.

A key aim for the College is to update its estate to meet the requirements of students and academics in the 21[st] Century. During the year, the College embarked on its first student accommodation upgrade for many years, with the commencement of the upgrade and refurbishment of student rooms in the Besse building, located above the stretch of High Street Shops. The project will see the creation of six cluster flats providing separated dwellings for groups of third year undergraduates, with an increase in student bedrooms from 46 to 52 rooms, of which 36 will become ensuite. The works also include the necessary re-wiring of the building, the removal of remaining asbestos and improving the sustainability of the building by increasing insulation and secondary glazing to the rear of the property, a key aim of the strategy. The main contractor, Beard, has been appointed and the works will be completed in time for the students to occupy the site in Michaelmas Term 2021.

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The College continues its search of suitable sites to purchase and develop to enable it to house its secondyear undergraduates, who currently have to rent on the open market. This is a key strategy for the College, as it endeavours to ensure all undergraduates can be housed for their entire undergraduate course. Another option being considered is to build in the gardens on the North Oxford site, with the potential opportunity to create eighty further student bedrooms.

STATEMENT OF ACCOUNTING AND REPORTING RESPONSIBILITIES

The Governing Body is responsible for preparing the Report of the Governing Body and the financial statements in accordance with applicable law and regulations.

Charity law requires the Governing Body to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards) and applicable law.

Under charity law, the Governing Body 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 College and of its net incoming or outgoing resources for that period. In preparing these financial statements, the Governing Body is required to:

Select the most suitable accounting policies and then apply them consistently;
Make judgments and accounting estimates that are reasonable and prudent;
State whether applicable accounting standards, including FRS102, have been followed, subject to any material departures disclosed and explained in the financial statements;
State whether a Statement of Recommended Practice (SORP) applies and has been followed, subject to any material departures disclosed and explained in the financial statements; and
Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the College will continue to operate.

The Governing Body is responsible for keeping proper accounting records that are sufficient to show and explain the College’s transactions and disclose with reasonable accuracy at any time the financial position of the College and enable them to ensure that the financial statements comply with FRS102. They are also responsible for safeguarding the assets of the College and ensuring their proper application under charity law and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Approved by the Governing Body on 2 December 2020 and signed on its behalf by:

Professor Katherine J Willis CBE Principal

St Edmund Hall

Independent Auditor’s Report to the Members of the Governing Body of St Edmund Hall Year Ended 31 July 2020

Independent Auditor’s Report to the Trustees of St Edmund Hall

Opinion

We have audited the financial statements of St Edmund Hall for the year ended 31 July 2020 which comprise the Consolidated Statement of Financial Activities, the Consolidated and College Balance Sheets, the Consolidated Cash Flow Statement, and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 ‘The Financial Reporting Standard Applicable in the UK and Ireland’ (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

give a true and fair view of the state of the of the College’s and the group’s affairs as at 31 July 2020, and of the incoming resources of the group and application of resources, 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 Charities Act 2011.

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

Conclusions relating to going concern

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:

the Members of the Governing Body’s use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or
the Members of the Governing Body have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charity’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.

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 Members of the Governing Body are responsible for the other information. 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.

St Edmund Hall

Independent Auditor’s Report to the Members of the Governing Body of St Edmund Hall Year Ended 31 July 2020

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities Act 2011 requires us to report to you if, in our opinion:

the information given in the Members of the Governing Body’s Annual Report is inconsistent in any material respect with the financial statements; or
the charity has not kept adequate accounting records; or
the financial statements are not in agreement with the accounting records and returns; or
we have not received all the information and explanations we required for our audit.

Responsibilities of the Members of Governing Body

As explained more fully in the Members of the Governing Body’s responsibilities statement set out on page 13, the trustees 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 Members of the Governing Body 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 Members of the Governing Body are responsible for assessing the charity’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 Members of the Governing Body either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.

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 aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the charity’s internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Members of the Governing Body.
Conclude on the appropriateness of the Members of the Governing Body’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charity’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in

St Edmund Hall

Independent Auditor’s Report to the Members of the Governing Body of St Edmund Hall Year Ended 31 July 2020

our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the charity to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Use of our report

This report is made solely to the Members of the charity’s Governing Body, in accordance with Chapter 3 of Part 8 of the Charities Act 2011. Our audit work has been undertaken so that we might state to the Members of the Governing Body 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 any party other than the charity and the Members of the Governing Body as a body, for our audit work, for this report, or for the opinion we have formed.

Moore Kingston Smith LLP Devonshire House Statutory Auditor 60 Goswell Road London Date: 15 December 2020 EC1M 7AD

Moore Kingston Smith LLP is eligible to act as auditor in terms of Section 1212 of the Companies Act 2006.

St Edmund Hall Statement of Accounting Policies Year Ended 31 July 2020

1. Scope of the financial statements

The financial statements present the Consolidated Statement of Financial Activities (SOFA), the Consolidated and College Balance Sheets and the Consolidated Statement of Cash Flows for the College and its wholly owned subsidiary; St Edmund Hall Design & Build Limited. The subsidiary has been consolidated from the date of the company started trading activity and the College owns 100% of the share capital. No separate SOFA has been presented for the College alone as currently permitted by the Charity Commission on a concessionary basis for the filing of consolidated financial statements. A summary of the results and financial position of the charity and each of its material subsidiaries for the reporting year are in note 13.

2. Basis of accounting

The financial statements have been prepared in accordance with United Kingdom Accounting Standards, in particular ‘FRS 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland’ (“FRS 102”).

The College is a public benefit entity for the purposes of FRS 102 and a registered charity. The College has therefore also prepared its financial statements in accordance with ‘The Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with FRS 102’ (The Charities SORP (FRS 102)).

The financial statements have been prepared on a going concern basis and on the historical cost basis, except for the measurement of investments and certain financial assets and liabilities at fair value with movements in value reported within the Statement of Financial Activities (SOFA).

The Members of the Governing Body have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the College to continue as a going concern, including the impact of the current COVID-19 emergency. The College has prepared cash flow and other forecasts, taking into account the potential pressures on income, which confirm the College will have sufficient liquidity to operate for at least the next twelve months from the date of approval of these financial statements. The College therefore continues to adopt the going concern basis in preparing its financial statements.

The principal accounting policies adopted are set out below and have been applied consistently throughout the year.

3. Accounting judgements and estimation uncertainty

In preparing financial statements it is necessary to make certain judgements, estimates and assumptions that affect the amounts recognised in the financial statements. The following judgements and estimates are considered by the Governing Body to have most significant effect on amounts recognised in the financial statements.

The College participates in a multi-employer defined benefit pension plan. In the judgement of the Governing Body there is insufficient information about the plan assets and liabilities to be able to reliably account for its share of the defined benefit obligation and plan assets in the financial statements and therefore the plan is accounted for as a defined contribution scheme (see note 22).
The College and its subsidiaries carry investment property at fair value in the balance sheet, with changes in fair value being recognised in the income and expenditure section of the SOFA. Independent valuations are obtained to determine fair value at the balance sheet date.
Before legacies are recognised in the financial statements, the Governing Body has to exercise judgement as to what constitutes sufficient evidence of entitlement to the bequest. Sufficient entitlement exists once notification of payment has been received from the executor(s) of the estate or estate accounts are available which indicate there are sufficient funds in the estate after meeting liabilities for the bequest to be paid.

St Edmund Hall Statement of Accounting Policies Year Ended 31 July 2020

In the view of the Governing Body, no other assumptions concerning the future or estimations of uncertainty affecting assets and liabilities at the balance sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year.

With respect to the next financial year, the other most significant areas of uncertainty that affect the carrying value of assets held by the College are the level of investment return and the performance of investment markets.

4. Income recognition

All income is recognised once the College has entitlement to the income, the economic benefit is probable and the amount can be reliably measured.

a) Income from fees, OFS support and other charges for services

Fees receivable, less any scholarships, bursaries or other allowances granted from the College unrestricted funds, HEFCE support and charges for services and use of the premises are recognised in the period in which the related service is provided.

b) Income from donations, grants and legacies

Donations and grants that do not impose specific future performance-related or other specific conditions are recognised on the date on which the charity has entitlement to the resource, the amount can be reliably measured and the economic benefit to the College of the donation or grant is probable. Donations and grants subject to performance-related conditions are recognised as and when those conditions are met. Donations and grants subject to other specific conditions are recognised as those conditions are met or their fulfilment is wholly within the control of the College and it is probable that the specified conditions will be met.

Legacies are recognised following grant of probate and once the College has received sufficient information from the executor(s) of the deceased’s estate to be satisfied that the gift can be reliably measured and that the economic benefit to the College is probable.

Donations, grants and legacies accruing for the general purposes of the College are credited to unrestricted funds.

Donations, grants and legacies which are subject to conditions as to their use imposed by the donor or set by the terms of an appeal are credited to the relevant restricted fund or, where the donation, grant or legacy is required to be held as capital, to the endowment funds. Where donations are received in kind (as distinct from cash or other monetary assets), they are measured at the fair value of those assets at the date of the gift receipt.

c) Investment Income

Interest on bank balances is accounted for in the period to which the interest relates.

Dividend income and similar distributions are recognised in the period in which they become receivable.

Income from investment properties is recognised in the period to which the rental income relates.

5. Expenditure

Expenditure is accounted for on an accruals basis. A liability and related expenditure is recognised when a legal or constructive obligation commits the College to expenditure that will probably require settlement, the amount of which can be reliably measured or estimated.

Grants awarded that are not performance-related are charged as an expense as soon as a legal or constructive obligation for their payment arises. Grants subject to performance-related conditions are expensed as the specified conditions of the grant are met.

St Edmund Hall Statement of Accounting Policies Year Ended 31 July 2020

All expenditure including support costs and governance costs are allocated or apportioned to the applicable expenditure categories in the SOFA.

Support costs which include governance costs (costs of complying with constitutional and statutory requirements) and other indirect costs are apportioned to expenditure categories in the SOFA based on the estimated amount attributable to that activity in the year, either by reference to staff time or the use made of the underlying assets, as appropriate. Irrecoverable VAT is included with the item of expenditure to which it relates.

Intra-group sales and charges between the College and its subsidiaries are excluded from trading income and expenditure in the consolidated financial statements.

6. Leases

Leases of assets that transfer substantially all the risks and rewards of ownership are classified as finance leases. The costs of the assets held under finance leases are included within fixed assets and depreciation is charged over the shorter of the lease term and the assets’ useful lives. Assets are assessed for impairment at each reporting date. The corresponding capital obligations under these leases are shown as liabilities and recognised at the lower of the fair value of the leased assets and the present value of the minimum lease payments. Lease payments are apportioned between capital repayment and finance charges in the SOFA so as to achieve a constant rate of interest on the remaining balance of the liability.

Leases that do not transfer all the risks and rewards of ownership are classified as operating leases. Rentals payable under operating leases are charged in the SOFA on a straight line basis over the relevant lease terms. Any lease incentives are recognised over the lease term on a straight line basis.

7. Tangible fixed assets

Land is stated at cost. Buildings and equipment are stated at cost less accumulated depreciation and any accumulated impairment losses.

Expenditure on the acquisition or enhancement of land and on the acquisition, construction and enhancement of buildings which is directly attributable to bringing the asset to its working condition for its intended use and amounting to more than £5,000 together with expenditure on equipment costing more than £5,000 is capitalised.

Where a part of a building or equipment is replaced and the costs capitalised, the carrying value of those parts replaced is derecognised and expensed in the SOFA.

Other expenditure on equipment incurred in the normal day-to-day running of the College and its subsidiaries is charged to the SOFA as incurred.

8. Depreciation

Depreciation is provided to write off the cost of all relevant tangible fixed assets, less their estimated residual value, in equal annual instalments over their expected useful economic lives as follows:

Freehold properties, including major extensions 50 years Leasehold properties 50 years or period of lease if shorter Building improvements 50 years Equipment 4-8 years

Freehold land is not depreciated. The cost of maintenance is charged in the SOFA in the period in which it is incurred.

St Edmund Hall Statement of Accounting Policies Year Ended 31 July 2020

The cost of major renovation projects that increase the service potential of buildings is capitalised and depreciated over applicable periods.

9. Investments

Investment properties are initially recognised at their cost and subsequently measured at their fair value (market value) at each reporting date. Purchases and sales of investment properties are recognised on exchange of contracts.

Listed investments are initially measured at their cost and subsequently measured at their fair value at each reporting date. Fair value is based on their quoted price at the balance sheet date without deduction of the estimated future selling costs.

Investments such as hedge funds and private equity funds that have no readily identifiable market value are initially measured at their costs and subsequently measured at their fair value at each reporting date without deduction of the estimated future selling costs. Fair value is based on the most recent valuations available from their respective fund managers.

Changes in fair value and gains and losses arising on the disposal of investments are credited or charged to the income or expenditure section of the SOFA as ‘gains or losses on investments’ and are allocated to the fund holding or disposing of the relevant investment.

10. Other Financial Instruments

a. Cash and cash equivalents

Cash and cash equivalents include cash at banks and in hand and short term deposits with a maturity date of three months or less.

b. Debtors and creditors

Debtors and creditors receivable or payable within one year of the reporting date are carried at their transaction price. Debtors and creditors that are receivable or payable in more than one year and not subject to a market rate of interest are measured at the present value of the expected future receipts or payment discounted at a market rate of interest.

11. Stocks

Stocks are valued at the lower of cost and net realisable value, cost being the purchase price on a first in, first out basis.

12. Foreign Currencies

The functional and presentation currency of the College and its subsidiaries is pound sterling, rounded to the nearest thousand.

Transactions denominated in foreign currencies during the year are translated into pounds sterling using the spot exchange rates at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies are translated into pounds sterling at the rates applying at the reporting date.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation of monetary assets and liabilities denominated in foreign currencies at the exchange rates at the reporting date are recognised in the income and expenditure section of the SOFA.

13. Total Return investment accounting

The College statutes authorise the College to adopt a ‘total return’ basis for the investment of its permanent endowment. The College can invest its permanent endowments without regard to the capital/income distinctions of standard trust law and with discretion to apply any part of the accumulated total return on the investment as income for spending each year. Until this power is exercised, the total

St Edmund Hall Statement of Accounting Policies Year Ended 31 July 2020

return is accumulated as a component of the endowment known as the unapplied total return that can either be retained for investment or released to income at the discretion of the Governing Body.

14. Fund Accounting

The total funds of the College and it subsidiary are allocated to unrestricted, restricted or endowment funds based on the origins of the funds and the terms set by the donors. Endowment funds are further sub-divided into permanent and expendable.

Unrestricted funds can be used in furtherance of the Objects of the College at the discretion of the Governing Body. The Governing Body may decide that part of the unrestricted funds shall be used in future for a specific purpose and this will be accounted for by transfers to appropriate designated funds.

Restricted funds comprise gifts, legacies and grants where the donors have earmarked funds for specific purposes. They consist of either gifts where the donor has specified that both the capital and any income arising must be used for the purposes given or the income on gifts where the donor has required that the capital be maintained and the income used for specific purposes.

Permanent endowment funds arise where donors specify that the funds should be retained as capital for the permanent benefit of the College. Any income arising from the capital will be accounted for as unrestricted funds unless the donor has restricted the use of that income, in which case it will be accounted for as a restricted fund.

Expendable endowment funds are similar to permanent endowment in that they have been given, or the College has determined based on the circumstances that they have been given, for the long-term benefit of the College. However, the Governing Body may at its discretion determine to spend all or part of the capital.

15. Pension Costs

The College participates in Universities Superannuation Scheme and the University of Oxford Staff Pension Scheme. These schemes are hybrid pension schemes, providing defined benefits (for members), as well as defined contribution benefits. The assets of the schemes are each held in a separate trusteeadministered fund. Because of the mutual nature of the schemes, the assets are not attributed to individual Colleges and scheme-wide contribution rates are set. The College is therefore exposed to actuarial risks associated with other Universities and Colleges employees and is unable to identify its share of the underlying assets and liabilities of the scheme on a consistent and reasonable basis. As required by Section 28 of FRS 102 “Employee benefits”, the College therefore accounts for the schemes as if they were wholly defined contribution schemes. As a result, the amount charged to the profit and loss account represents the contributions payable to each scheme.

Since the College has entered into agreements (the Recovery Plans) that determine how each employer within the schemes will fund the overall deficit, the college recognises a liability for the contributions payable that arise from the agreements (to the extent that they relate to the deficit) and therefore an expense is recognised.

St Edmund Hall

Consolidated Statement of Financial Activities For the Year Ended 31 July 2020

Unrestricted Funds £'000 5,842 479 164 904 1,159 417	Restricted Funds £'000 - - 537 - 1,120 -	Endowed Funds £'000 - - 1,085 1,445 (2,279) -	2020 Total £'000 5,842 479 1,786 2,349 - 417	Restated 2019 Total £'000 6,370 840 4,432 2,263 - 10
8,965 6,114 492 634 515	1,657 1,417 41 7 -	251 - - - 51	10,873 7,531 533 641 566	13,915 9,557 549 767 539
7,755	1,465	51	9,271	11,412
1,210	192	200	1,602	2,503
(1,049)	-	(2,601)	(3,650)	5,659
161	192	(2,401)	(2,048)	8,162
91	(159)	68	-	-
252 22,535	33 1,436	(2,333) 65,104	(2,048) 89,075	8,162 80,913
22,787	1,469	62,771	87,027	89,075

St Edmund Hall

Consolidated and College Balance Sheet As at 31 July 2020

2020 Group £'000 17,686 2,809 76,504	2019 Group £'000 17,299 3,114 75,433	2020 College £'000 17,691 2,809 76,504	2019 College £'000 17,299 3,114 75,433
96,999	95,846	97,004	95,846
165 959 11,257	168 1,719 14,757	165 943 11,241	168 1,719 14,757
12,381 822	16,644 1,485	12,349 790	16,644 1,485
11,559 108,558 20,052	15,159 111,005 20,052	11,559 108,563 20,052	15,159 111,005 20,052
88,506 1,479	90,953 1,878	88,511 1,479	90,953 1,878
87,027	89,075	87,032	89,075
62,771 1,469 21,077 3,189 - (1,479)	65,104 1,436 22,089 2,324 - (1,878)	62,771 1,469 21,077 3,194 - (1,479)	65,104 1,436 22,089 2,324 - (1,878)
87,027	89,075	87,032	89,075

The financial statements were approved and authorised for issue by the Governing Body of St Edmund Hall on 2nd December 2020

Trustee:

St Edmund Hall

Consolidated Statement of Cash Flows For the Year Ended 31 July 2020

Notes Net cash provided by (used in) operating activities 24 Cash flows from investing activities Dividends, interest and rents from investments Proceeds from the sale of property, plant and equipment Purchase of property, plant and equipment Proceeds from sale of investments Purchase of investments Net cash provided by (used in) investing activities Cash flows from financing activities Repayments of borrowing Cash inflows from new borrowing Receipt of endowment Net cash provided by (used in) financing activities Change in cash and cash equivalents in the reporting period 25 Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period Change in cash and cash equivalents in the reporting period	2020 £'000 (1,561)	2019 £'000 2,999
	2,349 - (957) 3,543 (8,264)	2,263 - (2,205) 3,811 (280)
	(3,329)	3,589
	- - 1,085	- - -
	1,085	-

	(3,805)	6,588
	14,757 (3,805)	8,169 6,588
	11,257	14,757

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

1 INCOME FROM CHARITABLE ACTIVITIES

Teaching, Research and Residential Unrestricted funds Tuition fees - UK and EU students Tuition fees - Overseas students Other fees Other HEFCE support Other academic income College residential income Total Teaching, Research and Residential Total income from charitable activities	2020 £'000 1,698 1,309 658 187 105 1,885 5,842 5,842	2019 £'000 1,746 1,109 706 177 124 2,508
		6,370

		6,370

The above analysis includes £3,196k received from Oxford University from publicly accountable funds under the CFF Scheme (2019: £1,860k).

Under the terms of the undergraduate student support package offered by Oxford University to students from lower income households, the college share of the fees waived amounted to £0k (2019: £7k). These are not included in the fee income reported above.

2 DONATIONS AND LEGACIES

Donations and Legacies Unrestricted funds Restricted funds Endowed funds 3 INCOME FROM OTHER TRADING ACTIVITIES Conference and Function Income Other trading income 4 OTHER INCOME Coronavirus Job Retention Scheme Other income 5 INVESTMENT INCOME Unrestricted funds Commercial rent Other property income Equity dividends Bank interest Other interest Restricted funds Bank interest Endowed funds Commercial rent Equity dividends Bank interest Total Investment income	2020 £'000 164 537 1,085 1,786 2020 £'000 479 - 479 2020 £'000 392 25 417 2020 £'000 - 12 846 43 3 904 - - 108 1,295 42 1,445 2,349	2019 £'000 364 412 3,656
		4,432
		2019 £'000 840 -
		840
		2019 £'000 - 10
		10
		2019 £'000 181 12 1,034 51 4
		1,282
		7
		7
		- 974 -
		974

		2,263

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

6 ANALYSIS OF EXPENDITURE Charitable expenditure Direct staff costs allocated to: Teaching, research and residential Other direct costs allocated to: Teaching, research and residential Support and governance costs allocated to: Teaching, research and residential Total charitable expenditure Expenditure on generating funds Direct staff costs allocated to: Fundraising Trading expenditure Other direct costs allocated to: Fundraising Trading expenditure Investment management costs Support and governance costs allocated to: Fundraising Trading expenditure Investment management costs Total expenditure on raising funds Total expenditure	2020 £'000 4,206 2,230 1,095 7,531 349 285 86 230 55 98 126 511 1,740 9,271	Restated 2019 £'000 4,850 3,081 1,626
		9,557
		310 314 126 313 28 113 140 511
		1,855

		11,412

The 2020 resources expended of £9,271k represented £7,755k from unrestricted funds, £1,465k from restricted funds and £51k from endowed funds. The 2019 resources expended of £11,412k represented £10,241k from unrestricted funds, £1,156k from restricted funds and £15k from endowed funds. The College is liable to be assessed for contributions under the provisions of Statute XV of the University of Oxford. The Contribution Fund is used to make grants and loans to colleges on the basis of need. Contributions are calculated annually in accordance with regulations made by the Council of the University of Oxford.

The teaching and research costs include College Contribution payable of £-4k (2019: £0k).

7 ANALYSIS OF SUPPORT AND GOVERNANCE COSTS

Financial administration Human resources IT Depreciation Bank interest payable Other finance charges Governance costs Financial administration Human resources IT Depreciation Bank interest payable Other finance charges Governance costs		Generating Funds £'000 142 15 38 29 511 - - 735 Generating Funds £'000 169 17 37 30 511 - - 764	Teaching and Research £'000 667 65 201 541 - (399) 20 1,095 Teaching and Research £'000 771 68 216 533 - 907 18 2,513	Public Worship £'000 - - - - - - - - Public Worship £'000 - - - - - - - -	Heritage £'000 - - - - - - - - Heritage £'000 - - - - - - - -	2020 Total £'000 809 80 239 570 511 (399) 20
						1,830
						Restated 2019 Total £'000 940 85 253 563 511 907 18
						3,277

Financial and domestic administration, IT and human resources costs are attributed according to the estimated staff time spent on each activity. Depreciation costs and profit or loss on disposal of fixed assets are attributed according to the use made of the underlying assets. Interest and other finance charges are attributed according to the purpose of the related financing. Governance costs are allocated according to the core business of the college.

Governance costs comprise: Auditor's remuneration - audit services No amount has been included in governance costs for the direct employment costs or reimbursed expenses of the College Fellows on the basis the Fellows' involvement in the College's charitable activities. Details of the remuneration of the Fellows and their reimbursed expenses are incl these financial statements.	2020 2019 £'000 £'000 20 18 20 18 that these payments relate to uded as a separate note within	2019 £'000 18
		18

Governance costs comprise:

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

GRANTS AND AWARDS Unrestricted funds Grants to individuals: Scholarships, prizes and grants Bursaries and hardship awards Grants to other institutions Total unrestricted Restricted funds Grants to individuals: Scholarships, prizes and grants Bursaries and hardship awards Grants to other institutions Total restricted Total grants and awards During the year the College funded research awards and bursaries to students from its restricted and unrestricted fund as follows:	2020 £'000 113 38 - 151 182 110 - 292 443	2019 £'000 176 117 -
		293
		180 46 -
		226

		519

8 GRANTS AND AWARDS

The figure included above represents the cost to the College of the Oxford Bursary scheme. Students of this college received £185k (2019: £150k). Some of those students also received fee waivers amounting to £0k (2019: £7k).

The above costs are included within the charitable expenditure on Teaching and Research.

9 STAFF COSTS

STAFF COSTS The aggregate staff costs for the year were as follows. Salaries and wages Social security costs Pension costs: Defined contribution schemes Defined benefit schemes Movement in pension deficit Liability The average number of employees of the College, excluding Trustees, was as follows. Tuition and research College residential Fundraising Support Total The average number of employed College Trustees during the year was as follows. University Lecturers CUF Lecturers Other Total	2020 £'000 4,603 371 72 590 (427) 5,209 2020 30 69 6 8 113 24 5 6 35	Restated 2019 £'000 4,566 366 34 542 887
		6,395
		2019 37 78 6 10
		131
		24 4 4
		32

The College also benefits from temporary staff, agency workers and those part-time external tutors who are not on the College payroll.

Redundancy payments are accounted for in the period in which the employee was informed of the decision. Where redundancy costs are uncertain, the figure in the accounts represents best estimate. These costs will be met through unrestricted funds.

The following information relates to the employees of the College excluding the College Trustees. Details of the remuneration and reimbursed expenses of the College Trustees is included as a separate note in these financial statements.

The number of employees (excluding the College Trustees) during the year whose gross pay and benefits (excluding employer NI and pension contributions) fell within the following bands was:

£60,001-£70,000 £80,001-£90,000 The number of the above employees with retirement benefits accruing was as follows: In defined benefit schemes In defined contribution schemes The College contributions to defined contribution pension schemes totalled	1 116 20 £'000 72	1 1
		109 18
		£'000 34

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

10 TANGIBLE FIXED ASSETS Group Cost At start of year Additions Disposals At end of year Depreciation and impairment At start of year Depreciation charge for the year Depreciation on disposals At end of year Net book value At end of year At start of year College Cost At start of year Additions Disposals At end of year Depreciation and impairment At start of year Charge for the year On disposals At end of year Net book value At end of year At start of year	Leasehold land and buildings £'000 - - - - - - - - - - Leasehold land and buildings £'000 - - - - - - - - - -	Freehold land and buildings £'000 23,770 846 - 24,616 6,825 461 - 7,286 17,330 16,945 Freehold land and buildings £'000 23,770 851 - 24,621 6,825 461 - 7,286 17,335 16,945	Plant and machinery £'000 - - - - - - - - - - Plant and machinery £'000 - - - - - - - - - -	Fixtures, fittings and equipment £'000 1,437 111 (7) 1,541 1,083 109 (7) 1,185 356 354 Fixtures, fittings and equipment £'000 1,437 111 (7) 1,541 1,083 109 (7) 1,185 356 354	Total £'000 25,207 957 (7)
					26,157
					7,908 570 (7)
					8,471
					17,686
					17,299
					Total £'000 25,207 962 (7)
					26,162
					7,908 570 (7)
					8,471
					17,691
					17,299

The College has substantial long-held historic assets all of which are used in the course of the College’s teaching and research activities. These comprise listed buildings on the College site, together with their contents, comprising works of art, ancient books and manuscripts and other treasured artefacts. Because of their age and, in many cases, unique nature, reliable historical cost information is not available for these assets and could not be obtained except at disproportionate expense. However, in the opinion of the Trustees, the depreciated historical cost of these assets is now immaterial.

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

11 PROPERTY INVESTMENTS

Group Valuation at start of year Additions and improvements at cost Disposals Revaluation gains/(losses) in the year Valuation at end of year College Valuation at start of year Additions and improvements at cost Disposals Revaluation gains/(losses) in the year Valuation at end of year	Agricultural £'000 - - - - - Agricultural £'000 - - - - -	Commercial £'000 3,114 - (305) - 2,809 Commercial £'000 3,114 - (305) - 2,809	Other £'000 - - - - - Other £'000 - - - - -	2020 Total £'000 3,114 - (305) - 2,809 2020 Total £'000 3,114 - (305) - 2,809	2019 Total £'000 2,789 - - 325
					3,114
					2019 Total £'000 2,789 - - 325
					3,114

A formal valuation of the commercial properties was prepared by Cluttons Styles & Whitlock (Chartered Surveyors) as at 31 July 2019 in accordance with the current RICS Valuation- Global Standards, which incorporates the International Valuation Standards (the ‘RICS Global Red Book’). A formal valuation of the other properties was prepared by Berrys (Chartered Surveyors and Valuers) as at 31 July 2019, the basis being market value. In both cases, the members of the Governing Body do not consider the values as at 31 July 2020 to be materially different.

12 OTHER INVESTMENTS

All investments are held at fair value.

Group investments Valuation at start of year New money invested Amounts withdrawn (Decrease)/increase in value of investments Group investments at end of year Investment in subsidiaries College investments at end of year	2020 £'000 75,433 8,264 (3,543) (3,650) 76,504 - 76,504	2019 £'000 73,630 280 (3,811) 5,334
		75,433 -
		75,433

Group investments comprise: Global multi-asset funds Alternative and other investments Total Group investments	Held outside the UK £'000 - 153 153	Held in the UK £'000 76,351 - 76,351	2020 Total £'000 76,351 153 76,504	Held outside the UK £'000 - 186 186	Held in the UK £'000 75,247 - 75,247	2019 Total £'000 75,247 186
						75,433

13 PARENT AND SUBSIDIARY UNDERTAKINGS

The College holds 100% of the issued share capital in St Edmund Hall Enterprises Ltd, St Edmund Hall Trading Ltd and St Edmund Hall Design & Build Ltd. St Edmund Hall Design & Build Ltd commenced trading during the year.

The results and their assets and liabilities of the parent and subsidiaries at the year end were as follows.

Income Expenditure Losses on Investments Donation to College under gift aid Result for the year Total assets Total liabilities Net funds at the end of year	£'000 10,873 (9,266) (3,650) (2,043) 109,353 (22,321) 87,032 Parent College	£'000 221 (221) - - St Edmund Hall Design & Build Ltd
		-
		49 (49)
		-

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

14 STATEMENT OF INVESTMENT TOTAL RETURN (see note 31 for 2019 comparatives)

The Trustees have adopted a duly authorised policy of total return accounting for the College investment returns with effect from 17th June 2015. The investment return to be applied as income is calculated as 3.8% (2019: 3.9%) of the average of the values of the relevant investments in each of the last 3 years. The preserved (frozen) value of the invested endowment capital represents its open market value in 2015 together with all subsequent endowments valued at date of gift.

At the beginning of the year: Gift component of the permanent endowment Unapplied total return Expendable endowment Total Endowments Movements in the reporting period: Gift of endowment funds Investment return: total investment income Investment return: realised and unrealised gains and losses Less: Investment management costs Other transfers Total Unapplied total return allocated to income in the reporting period Expendable endowments transferred to income Net movements in reporting period At end of the reporting period: Gift component of the permanent endowment Unapplied total return Expendable endowment Total Endowments DEBTORS Amounts falling due within one year: Trade debtors Amounts owed by College members Loans repayable within one year Prepayments and accrued income Other debtors Amounts falling due after more than one year: Loans CREDITORS: falling due within one year Trade creditors Amounts owed to College Members Taxation and social security College contribution Accruals and deferred income Other creditors	Trust for Investment £'000 50,676 - - 50,676 139 - - - (961) (822) - - - (822) 49,854 - - 49,854 Pe	Unapplied Total Return £'000 - 13,405 - 13,405 - 1,380 (2,483) (49) - (1,152) (2,223) - (2,223) (3,375) - 10,030 - 10,030 2020 Group £'000 207 133 6 314 99 200 959 2020 Group £'000 295 71 43 - 141 272 822 rmanent Endowm	Total £'000 50,676 13,405 - 64,081 139 1,380 (2,483) (49) (961) (1,974) (2,223) - (2,223) (4,197) 49,854 10,030 - 59,884 Restated 2019 Group £'000 375 108 3 930 103 200 1,719 2019 Group £'000 737 188 144 11 237 168 1,485 ent	Expendable Endowment £'000 - - 1,023 1,023 946 65 (118) (2) 1,029 1,920 - (56) (56) 1,864 - - 2,887 2,887 2020 College £'000 207 133 6 298 99 200 943 2020 College £'000 249 71 60 - 138 272 790	Total Endowments £'000 50,676 13,405 1,023
					65,104 1,085 1,445 (2,601) (51) 68
					(54) (2,223) (56)
					(2,279)
					(2,333) 49,854 10,030 2,887
					62,771
					Restated 2019 College £'000 375 108 3 930 103 200
					1,719
					2019 College £'000 737 188 144 11 237 168
					1,485

15
16 CREDITORS: falling due within one year

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

17 CREDITORS: falling due after more than one year Bank loans Other creditors	2020 Group £'000 20,011 41 20,052	2019 Group £'000 20,011 41 20,052	2020 College £'000 20,011 41 20,052	2019 College £'000 20,011 41
				20,052

18 ANALYSIS OF MOVEMENTS ON FUNDS (see note 31 Endowment Funds - Permanent General Fund Scholarships, Grants & Awards Funds Bursary & Hardship Funds General Fellowship Funds Claude Jenkins Benefaction William Miller Fellowship Fund Fellowship in Geology Fund Dr Emden Trust Other Funds Endowment Funds - Expendable General Fund Scholarships, Grants & Awards Funds Bursary & Hardship Funds Other Funds Total Endowment Funds - College Endowment funds held by subsidiaries Total Endowment Funds - Group Restricted Funds Scholarships, Grants & Award Bursary & Hardship General Fellowship Other permanent General Fellowship Funds Claude Jenkins Benefaction William Miller Fellowship Fund Fellowship in Geology Fund Dr Emden Trust Other expendable Total Restricted Funds - College Restricted funds held by subsidiaries Total Restricted Funds - Group Unrestricted Funds Designated funds General funds Revaluation reserve Pension reserve Total Unrestricted Funds - College Unrestricted funds held by subsidiaries Total Unrestricted Funds - Group Total Funds	for 2019 comparatives) At 1 August 2019 £'000 32,703 6,780 1,787 12,039 1,774 2,769 2,020 1,724 2,485 23 388 94 518 65,104 - 65,104 367 158 287 530 - - 5 - - 89 1,436 - 1,436 22,089 2,324 - (1,878) 22,535 - 22,535 89,075	Incoming resources £'000 708 187 87 357 39 44 38 59 26 135 122 728 2,530 - 2,530 35 21 108 373 537 - 537 7,806 7,806 - 7,806 10,873	Resources expended £'000 (27) (5) (1) (11) (1) (1) (1) (2) - (1) - (1) (51) - (51) (228) (92) (798) (208) (62) (77) (1,465) - (1,465) (141) (8,008) 399 (7,750) (5) (7,755) (9,271)	Transfers £'000 (1,431) (397) (60) 1,960 (64) (2,769) (73) (62) (287) (1) 963 (3) 13 (2,211) - (2,211) 274 60 751 (202) (5) 62 21 961 - 961 (871) 2,121 1,250 - 1,250 -	Gains/ (losses) £'000 (1,272) (262) (72) (571) (70) (79) (68) (89) (2) (58) (8) (50) (2,601) - (2,601) - - - - - - - - - - - - - (1,049) (1,049) - (1,049) (3,650)	At 31 July 2020 £'000 30,681 6,303 1,741 13,774 1,678 - 1,911 1,631 2,166 46 1,427 205 1,208
						62,771
						-
						62,771
						448 147 348 493 - - - - - 33
						1,469
						-
						1,469
						21,077 3,194 - (1,479)
						22,792
						(5)
						22,787
						87,027

During the year a review of the College's funds were undertaken; due to this several of the College's funds were recategorised; these extraordinary transfers are included within the transfers column.

Transfers from endowment funds of £2,279k, relate to the total return transfer, which is shown in the income section of the SOFA. The General Unrestricted Funds represent accumulated income from the College's activities and other sources that are available for the general purpose of the College.

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

19 FUNDS OF THE COLLEGE

The following is a summary of the origins and purposes of each of the Funds.

Endowment Funds - Permanent
General Fund	To generate income for the general purposes of the charity.
Scholarships, Grants & Award Funds	To generate income to fund scholarships, gants and awards.
Bursary & Hardship Funds	To generate income for bursary and hardship awards.
General Fellowship Funds	To generate income for the funding of teaching fellowships.
Claude Jenkins Benefaction	To generate income to fund a St Edmund Hall Junior Research Fellowship.
William Miller Fellowship Fund	Capital balance of past donations where related income, but not the original capital,
	can be used to fund a Fellowship in Biochemistry, a Junior Research Fellowship
	in Life Sciences or Physical Sciences and three graduate scholarships.
Fellowship in Geology Fund	To generate income to fund a Fellowship in Geology.
Dr Emden Trust	To generate income for the maintenance of the Libraries, Chapels and Gardens.
Other Funds	To generate income to fund a variety of College expenditure.
Endowment Funds - Expendable
General Fund	To generate income for the general purposes of the charity.
Scholarships, Grants & Award Funds	To generate income to fund scholarships, gants and awards.
Bursary & Hardship Funds	To generate income for bursary and hardship awards.
Other Funds	To generate income to fund a variety of College expenditure.
Restricted Funds
Scholarships, Grants & Award Funds	Gifts, donations and unspent income to fund scholarships, grants and awards.
Bursary & Hardship	Gifts, donations and unspent income to fund bursary and hardship awards.
General Fellowship	Gifts and donations for the funding of teaching fellowships.
Other	Gifts and donations to fund a variety of College expenditure.
General Fellowship Funds	Income not spent to fund future fellowship costs.
Claude Jenkins Benefaction	Income not spent to fund a St Edmund Hall Junior Fellowship.
William Miller Fellowship Fund	Capital balance of past donations where related income, but not the original capital,
	can be used to fund a Fellowship in Biochemistry, a Junior Research Fellowship
	in Life Sciences or Physical Sciences and three graduate scholarships.
Fellowship in Geology Fund	Income not spent to fund a Fellowship in Geology.
Dr Emden Trust	Income not spent to fund future expenditure on the maintenance
	of the Libraries, Chapels and the Gardens.
Other Funds	Income not spent to fund a variety of College expenditure.

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

20 ANALYSIS OF NET ASSETS BETWEEN FUNDS

ANALYSIS OF NET ASSETS BETWEEN FUNDS
Tangible fixed assets Property investments Other investments Net current assets Long term liabilities Defined benefit pension scheme liability Tangible fixed assets Property investments Other investments Net current assets Long term liabilities Defined benefit pension scheme liability	Unrestricted Funds £'000 17,686 - 21,810 4,822 (20,052) (1,479) 22,787 Unrestricted Funds £'000 17,299 - 13,443 13,946 (20,275) (1,878) 22,535	Restricted Funds £'000 - - - 1,469 - 1,469 Restricted Funds £'000 - - - 1,436 - 1,436	Endowment Funds £'000 - 2,809 54,694 5,268 - 62,771 Endowment Funds £'000 - 3,114 61,990 - - 65,104	2020 Total £'000 17,686 2,809 76,504 11,559 (20,052) (1,479) -
				87,027
				2019 Total £'000 17,299 3,114 75,433 15,382 (20,275) (1,878)
				89,075

21 TRUSTEES' REMUNERATION

The Fellows who are the Trustees of the College for the purposes of charity law receive no remuneration for acting as charity trustees but are paid by either or both of the University and the College for the academic services they provide to the College.

Trustees of the college fall into the following categories: Head of House Professorial Fellow Official Fellow Fellow by Special Election Research Fellow

No trustee receives any remuneration for acting as a trustee. However, those trustees who are also employees of the college receive salaries for their work as employees. These salaries are paid on external academic and academic-related scales and often are joint arrangements with the University of Oxford.

All Official and Research Fellows are eligible for a Housing Allowance, which is disclosed within the salary figures below. Seven trustees live in houses owned by the college and pay market rent on a monthly basis.

The College has a Remuneration Committee which makes recommendations to Governing Body on pay and benefits which are outside of external scales. The composition of the Remuneration Committee is set out in page 3 of the section, Governing Body, Officers and Advisers.

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

Remuneration paid to Trustees

Range £1,000-£1,999 £4,000-£4,999 £6,000-£6,999 £8,000-£8,999 £13,000-£13,999 £14,000-£14,999 £15,000-£15,999 £16,000-£16,999 £19,000-£19,999 £22,000-£22,999 £23,000-£23,999 £24,000-£24,999 £25,000-£25,999 £26,000-£26,999 £27,000-£27,999 £28,000-£28,999 £31,000-£31,999 £32,000-£32,999 £42,000-£42,999 £44,000-£44,999 £46,000-£46,999 £47,000-£47,999 £49,000-£49,999 £50,000-£50,999 £56,000-£56,999 £57,000-£57,999 £59,000-£59,999 £84,000-£84,999 £88,000-£88,999 £106,000-£106,999 £128,000-£128,999 £164,000-£164,999 Total	1 1 1 1 3 1 1 2 3 4 2 2 2 3 1 1 2 1 1 1 1 1 36 Number of Trustees/Fellows 2	£ 1,960 4,764 6,231 8,220 42,096 15,309 16,975 45,173 72,625 102,438 53,308 55,601 57,450 97,441 42,564 47,783 99,655 50,343 59,458 84,387 88,593 128,688 020 1,181,062 Gross remuneration, taxable benefits and pension contributions	1 1 1 1 1 7 5 4 1 2 1 1 1 1 1 1 1 1 1 33 Number of Trustees/Fellows	£ 1,794 6,003 13,593 16,563 19,901 163,801 122,419 101,031 26,993 57,167 31,335 32,130 44,708 46,030 47,319 56,695 57,031 106,419 164,724 Gross remuneration, taxable benefits and pension contributions 2019
				1,115,656

12 Trustees are not employees of the college and do not receive remuneration.

All Trustees may eat at common table, as can all other employees who are entitled to meals while working.

Other transactions with Trustees

Fellows also receive reimbursement of personal expenses necessarily incurred in connection with their services to the College as Trustees. No Fellow claimed any expenses for work as a Trustee.

See also note 27 Related Party Transactions

Key management remuneration

The total remuneration paid to key management was £525k (2019: £611k).

Key management are considered to be the Principal, Senior Tutor, Senior Bursar (Estates & Finance), Academic Administrator & Registrar, Domestic Bursar and College Accountant.

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

22 PENSION SCHEME PROVISIONS

The College is a member of the Universities Superannuation Scheme (USS) and University of Oxford Staff Pension Scheme (OSPS), which are multi-employer pension schemes both of which are in deficit. The College has recognised a provision for its commitments under the agreed deficit reduction plans for each scheme; in calculating these provisions the College has estimated that salary expense will increase at 2% p.a. and the liabilities are discounted at a 15 year corporate bond rate of 0.63% (2019: 1.6%) and 0.74% (2019: 1.25%) respectively.

PENSION SCHEMES

The College participates in two principal pension schemes for its staff - the Universities Superannuation Scheme (USS) and the University of Oxford Staff Pension Scheme (OSPS). The assets of the schemes are each held in separate trustee-administered funds. USS and OSPS schemes are contributory mixed benefit schemes (ie they provide benefits on a defined benefit basis - based on length of service and pensionable salary and on a defined basis - based on contributions into the scheme). Both are multiemployer schemes and the College is unable to identify its share of the underlying assets and liabilities relating to defined benefits of each scheme on a consistent and reasonable basis. Therefore, in accordance with the accounting standard FRS 102 paragraph 28.11, the College accounts for the schemes as if they were defined contribution schemes. As a result, the amount charged to the Income and Expenditure Account represents the contributions payable to the schemes in respect of the accounting period.

In the event of the withdrawal of any of the participating employers in USS or OSPS, the amount of any pension funding shortfall (which cannot be otherwise recovered) in respect of that employer will be spread across the remaining participating employers and reflected in the next actuarial valuation of the scheme.

The College has also made available the National Employment Savings Trust for non-employees who are eligible under automatic enrolment regulations to pension benefits but not eligible for either USS or OSPS.

Schemes accounted for under FRS 102 paragraph 28.11 as defined contribution schemes

Actuarial Valuations

Qualified actuaries periodically value the USS and OSPS schemes using the ‘projected unit method’, embracing a market value approach. The resulting levels of contribution take account of actuarial surpluses or deficits in each scheme. The financial assumptions were derived from market conditions prevailing at the valuation date. The results of the latest actuarial valuations and the assumptions which have the most significant effect on the results were:

	USS	OSPS
Date of valuation:	31/03/2018	31/03/2019
Date valuation results published:	16/09/2019	19/06/2020
Value of liabilities:	£67.3bn	£848m
Value of assets:	£63.7bn	£735m
Funding surplus / (deficit):	(£3.6bn)	(£113m)
Principal assumptions:
· Discount rate	CPI - 0.73% to CPI +2.52%a	Gilts +0.5%- 2.25%b
	n/a	RPI
· Rate of increase in salaries	CPIc	Average RPI/CPI d
· Rate of increase in pensions
Assumed life expectancies on retirement at age 65:
· Males currently aged 65	24.4 yrs	21.7 yrs
· Females currently aged 65	25.9 yrs	24.4 yrs
· Males currently aged 45	26.3 yrs	23.0 yrs
· Females currently aged 45	27.7 yrs	25.8 yrs
Funding Ratios:
· Technical provisions basis	95%	87%
· Statutory Pension Protection Fund basis	76%	74%
· ‘Buy-out’ basis	56%	60%
	21.1%
Employer contribution rate (as % of pensionable salaries):	increasing to 23.7% on	19%
	01/10/21
Effective date of next valuation:	31/03/2020	31/03/2022
a. The discount rate (forward rates) for the USS valuation was:
Years 1-10:	CPI + 0.14% reducing linearly to CPI – 0.73%
Years 11-20:	CPI + 2.52% reducing linearly to CPI + 1.55% by year 21
Years 21 +:	CPI + 1.55%
b. The discount rate for the OSPS valuation was:
Pre-retirement:	Equal to the UK nominal gilt curve at the valuation date plus 2.25% p.a. at each term.
Post-retirement:	Equal to the UK nominal gilt curve at the valuation date plus 0.5% p.a. at each term.

c. Pensions increases (CPI) for the USS valuation were:

Term dependent rates in line with the difference between the Fixed Interest and Index Linked yield curves, less 1.3% p.a.

d. Increases to pensions in payment for the OSPS valuation were:

RPI inflation is derived from the geometric difference between the UK nominal gilt curve and the UK index-linked curve at the valuation date, less 0.3% p.a. at each term. CPI inflation is derived from the RPI inflation assumption, less the Scheme Actuary’s best estimate of the long-term difference between RPI and CPI inflation as applies from time to time (1.0% p.a. as at 31 March 2019).

For pension increases linked to inflation, a pension increase curve is constructed based on either the RPI, CPI or the average of the RPI and CPI inflation curves described above, adjusted to allow for the different maximum and minimum annual increases that apply, and the Scheme Actuary’s best estimate of inflation volatility as applies from time to time.

e. The USS and OSPS employer contribution rates include provisions for the cost of future accrual of defined benefits, deficit contributions, administrative expenses and defined contributions.

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

Sensitivity of actuarial valuation assumptions

Surpluses or deficits which arise at future valuations may impact on the College's future contribution commitment. The sensitivities regarding the principal assumptions used to measure the scheme liabilities are set out below:

	USS	Impact on USS
Assumption	Change in assumption	liabilities
Initial discount rate	increase by 0.1%	decrease by £1.2bn
Asset values	reduce by 10%	increase by £6.4bn
RPI – CPI spread	increase by 0.1%	decrease by £0.7bn
	more prudent
Rate of mortality	assumption (mortality rated down by a further	increase by £1.6bn
	year)
	OSPS
Assumption	Change in assumption	Impact on OSPS technical provisions
Valuation rate of interest	decrease by 0.25%	increase by £45m
RPI	increase by 0.25%	Increase by £40m

Deficit Recovery Plans

In line with FRS 102 paragraph 28.11A, the College has recognised a liability for the contributions payable for the agreed deficit funding plan. The principal assumptions used in these calculations are tabled below:

	OSPS	USS
Finish Date for Deficit Recovery Plan	30/01/2028	31/03/2028
Average staff number increase	5%	5%
Average staff salary increase	2.00%	2.00%
Average discount rate over period	0.74%	63.00%
Effect of 0.5% change in discount rate	£12k	£57k
Effect of 1% change in staff growth	£53k	£125k

A provision of £1,479k has been made at 31 July 2020 (2019: £1,878k) for the present value of the estimated future deficit funding element of the contributions payable under these agreements, using the assumptions shown. The provision reduces as the deficit is paid off according to the pension recovery scheme.

Pension Charge for the Year

The pension charge recorded by the College during the accounting period (excluding pension finance costs) was equal to the contributions payable after allowance for the deficit recovery plan as follows:

Scheme Universities Superannuation Scheme University of Oxford Staff Pension Scheme Other Schemes - contributions Total	2019/20 £000s 400 253 9 662	2018/19 £000s 309 262 5 576

These amounts include £9k (£2019: £5k) contributions payable to defined contribution schemes at rates specified in the rules of those plans

Defined benefit pension scheme liability

The total provision below includes the balance for USS and OSPS.

Scheme		2020	2019
Universities Superannuation Scheme (USS) University of Oxford Staff Pension Scheme (OSPS) Total		£'000s 952 527 1,479	£'000s 1,390 488 1,878

The College is able to take advantage of the tax exemptions available to charities from taxation in respect of income and capital gains received to the extent that such income and gains are applied to exclusively charitable purposes. No provision for taxation has been included in the financial statements.

23 TAXATION

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

24 RECONCILIATION OF NET INCOMING RESOURCES TO NET CASH FLOW FROM OPERATIONS Net income/(expenditure) Elimination of non-operating cash flows: Investment income (Gains)/losses in investments Endowment donations Depreciation (Surplus)/loss on sale of fixed assets Decrease/(Increase) in stock Decrease/(Increase) in debtors (Decrease)/Increase in creditors (Decrease)/Increase in provisions (Decrease)/Increase in pension scheme liability Net cash provided by (used in) operating activities	2020 Group £'000 (2,048) (2,349) 3,650 (1,085) 570 - 3 760 (663) - (399) (1,561)	2019 Group £'000 8,162 (2,263) (5,659) - 563 - 7 935 347 - 907
		2,999

25 NET DEBT Cash flow 2019 movements £'000 £'000 Cash at bank and in hand 14,757 (3,500) Loans due more than one year (20,011) 0 Total cash and cash equivalents (5,254) (3,500) 26 FINANCIAL COMMITMENTS RECEIVABLE At 31 July 2020 the College was due to receive the following under non-cancellable operating leases in respect of investment properties. Land and buildings expiring within one year expiring between two and five years expiring in over five years	Other movements £'000 0 0 - 2020 £'000 124 469 141 734	2020 £'000 11,257 (20,011)
		(8,754)
		2019 £'000 124 298 188
		610

27 CAPITAL COMMITMENTS

The College had contracted commitments at 31 July for future capital projects totalling £267k (2019: £649k).

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

28 RELATED PARTY TRANSACTIONS

The College is part of the collegiate University of Oxford. Material interdependencies between the University and of the College arise as a consequence of this relationship. For reporting purposes, the University and the other Colleges are not treated as related parties as defined in FRS 102

Members of the Governing Body, who are the Trustees of the College and related parties as defined by FRS 102, receive remuneration and facilities as employees of the College. Details of these payments and reimbursed expenses as Trustees are disclosed separately in these financial statements.

The number of loans outstanding at 31 July with the balances in the following bands were as follows:

£90,000 - £100,000

2020	2019
£'000	£'000
2	2

Interest is charged on the above loans at 1% above the Bank of England base rate per annum. All loans are repayable on the 10th anniversary of the loan being made or upon any of the following events if earlier:

1 At any time, at the request of the recipient Fellow (partial repayments being allowed, subject to a minimum of £10,000.

2 If the recipient Fellow makes any payment of principal on the first mortgage (other than by monthly payments on a repayment mortgage).

3 Upon the sale of the property for any reason.

4 If the recipient Fellow ceases to reside in the property.
5 When the recipient Fellow ceases to be a Governing Body Fellow for any reason.
6 Upon the recipient fellow's retirement.
7 Within one year of the recipient Fellow's death.
8 If the recipient Fellow declares bankruptcy.

9 Upon any breach of the terms of the loan. For the avoidance of doubt, a reduction in the market value of the property will not in itself constitute a breach or default event.

During the year the subsidiary company, St Edmund Hall Design & Build Limited, charged the College a total of £221k (2019: £nil) in respect of design and build services

29 CONTINGENT LIABILITIES

At 31 July 2020 the College had no contigent liabilities (2019:£0k).

30 POST BALANCE SHEET EVENTS

There are no post balance sheet events that require disclosure at 31 July 2020 (2019: £0k).

31 ADDITIONAL PRIOR YEAR COMPARATIVES

(a) STATEMENT OF FINANCIAL ACTIVITIES

Notes INCOME AND ENDOWMENTS FROM: Charitable activities: Teaching, research and residential 1 Other Trading Income 3 Donations and legacies 2 Investments Investment income 5 Total return allocated to income 14 Other income Total income EXPENDITURE ON: 6 Charitable activities: Teaching, research and residential Generating funds: Fundraising Trading expenditure Investment management costs Total Expenditure Net Income/(Expenditure) before gains Net gains/(losses) on investments 11 Net Income/(Expenditure) Transfers between funds 18 Net movement in funds for the year Fund balances brought forward 18 Funds carried forward at 31 July	Unrestricted Funds £'000 6,370 840 364 1,282 401 10 9,267 8,394 541 767 539 10,241 (974) 1,184 210 1,404 1,614 20,921 22,535	Restricted Funds £'000 - - 412 7 974 - 1,393 1,148 8 - - 1,156 237 19 256 (1,040) (784) 2,220 1,436	Endowed Funds £'000 - - 3,656 974 (1,375) - 3,255 15 - - - 15 3,240 4,456 7,696 (364) 7,332 57,772 65,104	Restated 2019 Total £'000 6,370 840 4,432 2,263 - 10 13,915 9,557 549 767 539 11,412 2,503 5,659 8,162 - 8,162 80,913 89,075	2018 Total £'000 6,396 912 6,895 2,065 - 22
					16,290 8,091 520 747 547
					9,905
					6,385
					3,944
					10,329
					-
					10,301 70,612
					80,913

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

(b) STATEMENT OF INVESTMENT TOTAL RETURN (refer to note 14)

The Trustees have adopted a duly authorised policy of total return accounting for the College investment returns with effect from 17th June 2015. The investment return to be applied as income is calculated as 3.9% (2018: 4%) of the average of the values of the relevant investments in each of the last 3 years measured quarterly. The preserved (frozen) value of the invested endowment capital represents its open market value in 2015 together with all subsequent endowments valued at date of gift.

At the beginning of the year: Gift component of the permanent endowment Unapplied total return Expendable endowment Total Endowments Movements in the reporting period: Gift of endowment funds Recoupment of trust for investment Allocation from trust for investment Investment return: total investment income Investment return: realised and unrealised gains and losses Less: Investment management costs Other transfers Total Unapplied total return allocated to income in the reporting period Net movements in reporting period At end of the reporting period: Gift component of the permanent endowment Unapplied total return Expendable endowment Total Endowments	Trust for Investment £'000 47,256 - - 47,256 3,618 - - - - - (198) 3,420 - 3,420 50,676 - - 50,676 Pe	Unapplied Total Return £'000 - 9,724 - 9,724 - - 946 4,418 - - 5,364 (1,375) 3,989 - 13,713 - 13,713 rmanent Endowm	Total £'000 47,256 9,724 - 56,980 3,618 - - 946 4,418 - (198) 8,784 (1,375) 7,409 50,676 13,713 - 64,389 ent	Expendable Endowment £'000 - - 792 792 38 - (15) 28 41 - (166) (74) - (74) - - 718 718	Total Endowments £'000 47,256 9,724 792
					57,772 3,656 - (15) 974 4,459 - (364)
					8,710 (1,375)
					7,335 50,676 13,713 718
					65,107

St Edmund Hall Notes to the financial statements For the Year Ended 31 July 2020

(c ) ANALYSIS OF MOVEMENTS ON FUNDS (refer to note 18)

Endowment Funds - Permanent General Fund Scholarships, Grants & Awards Funds Bursary & Hardship Funds General Fellowship Funds Claude Jenkins Benefaction William Miller Fellowship Fund Fellowship in Geology Fund Dr Emden Trust Other Funds Endowment Funds - Expendable General Fund Scholarships, Grants & Awards Funds Bursary & Hardship Funds Other Funds Total Endowment Funds - College Endowment funds held by subsidiaries Total Endowment Funds - Group Restricted Funds Scholarships, Grants & Award Bursary & Hardship General Fellowship Other permanent General Fellowship Funds Claude Jenkins Benefaction William Miller Fellowship Fund Fellowship in Geology Fund Dr Emden Trust Other expendable Total Restricted Funds - College Restricted funds held by subsidiaries Total Restricted Funds - Group Unrestricted Funds Designated funds General funds Revaluation reserve Pension reserve Total Unrestricted Funds - College Unrestricted funds held by subsidiaries Total Unrestricted Funds - Group Total Funds	At 1 August 2018 £'000 30,036 5,900 1,629 8,717 1,683 2,677 1,916 1,636 2,786 23 279 89 401 57,772 - 57,772 391 154 54 1,556 - - 7 - - 58 2,220 - 2,220 16,177 5,715 - (971) 20,921 - 20,921 80,913	Incoming resources £'000 26 562 120 2,927 63 99 72 62 632 - 46 3 18 4,630 - 4,630 10 39 - 370 - - - - - 419 - 419 794 8,072 - 8,866 - 8,866 13,915	Resources expended £'000 - - - - - - - - - - (7) - (8) (15) - (15) (180) (68) (321) (284) (63) (99) (72) (62) (7) (1,156) - (1,156) (1,312) (8,022) - (9,334) - (9,334) (10,505)	Transfers £'000 (419) (1) (50) (96) (63) (149) (72) (62) (965) - 55 (3) 86 (1,739) - (1,739) 137 29 552 (1,114) 63 97 72 62 36 (66) - (66) 5,246 (3,441) - 1,805 - 1,805 -	Gains/ (losses) £'000 3,060 319 88 491 91 142 104 88 32 - 15 5 21 4,456 - 4,456 9 4 2 2 - - - - 2 19 - 19 1,184 - (907) 277 - 277 4,752	At 31 July 2019 £'000 32,703 6,780 1,787 12,039 1,774 2,769 2,020 1,724 2,485 23 388 94 518
						65,104
						-
						65,104
						367 158 287 530 - - 5 - - 89
						1,436
						-
						1,436
						22,089 2,324 - (1,878)
						22,535
						-
						22,535
						89,075

St Edmund Hall

St Edmund Hall

Annual Report and Financial Statements

Contents

MEMBERS OF THE GOVERNING BODY

St Edmund Hall

Governing Body, Officers and Advisers Year Ended 31 July 2020

Governing Body, Officers and Advisers Year Ended 31 July 2020

COLLEGE SENIOR STAFF

COLLEGE ADVISERS

Investment Managers

Investment Property Managers

Auditor

Bankers

Solicitors

Surveyors

College Address

Website

REFERENCE AND ADMINISTRATIVE INFORMATION

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Documents

Governing Body

Recruitment and Training of Members of the Governing Body

Remuneration of Members of the Governing Body and Senior College Staff

Organisational Management

Group Structure and Relationships

OBJECTIVES AND ACTIVITIES

Charitable Object and Aims

Activities and objectives of the College

Report of the Governing Body

Year Ended 31 July 2020

Public Benefit

ACHIEVEMENTS AND PERFORMANCE

FINANCIAL REVIEW

Reserves Policy

Risk Management

Year Ended 31 July 2020

Investment policy, objectives and performance

Development, alumni relations and fundraising

FUTURE PLANS

Year Ended 31 July 2020

STATEMENT OF ACCOUNTING AND REPORTING RESPONSIBILITIES

St Edmund Hall

Independent Auditor’s Report to the Members of the Governing Body of St Edmund Hall Year Ended 31 July 2020

Independent Auditor’s Report to the Trustees of St Edmund Hall

Opinion

Basis for opinion

Conclusions relating to going concern

Other information

St Edmund Hall

Independent Auditor’s Report to the Members of the Governing Body of St Edmund Hall Year Ended 31 July 2020

Matters on which we are required to report by exception

Responsibilities of the Members of Governing Body

Auditor’s responsibilities for the audit of the financial statements

St Edmund Hall

Independent Auditor’s Report to the Members of the Governing Body of St Edmund Hall Year Ended 31 July 2020

Use of our report

1. Scope of the financial statements

2. Basis of accounting

3. Accounting judgements and estimation uncertainty

4. Income recognition

a) Income from fees, OFS support and other charges for services

b) Income from donations, grants and legacies

c) Investment Income

5. Expenditure

6. Leases

7. Tangible fixed assets

8. Depreciation

9. Investments

10. Other Financial Instruments

a. Cash and cash equivalents

b. Debtors and creditors

11. Stocks

12. Foreign Currencies

13. Total Return investment accounting

14. Fund Accounting

15. Pension Costs

St Edmund Hall

Consolidated Statement of Financial Activities For the Year Ended 31 July 2020