OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2023-07-31-accounts

Lady Margaret Hall

Annual Report and Financial Statements Year ended 31 July 2023

LADY MARGARET HALL Annual Report and Financial Statements Contents

Page Number
Governing Body, Officers and Advisers 2-5
Report of the Governing Body 6-16
Auditor’s Report 17-19
Statement of Accounting Policies 20-24
Consolidated Statement of Financial Activities 25
Consolidated and College Balance Sheets 26
Consolidated Statement of Cash Flows 27
Notes to the Financial Statements 28-44

1

LADY MARGARET HALL Governing Body, Officers and Advisers Year ended 31 July 2023

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, known as Fellows, who served in office as Trustees during the year, or subsequently, are detailed below.

During the year, the activities of the Governing Body were carried out through ten main committees. The membership of these committees for the academic year 1 October 2022 to 30 September 2023 is also shown below for each Fellow.

(1) (2) (3) (4) (5) (6) (7) (8) **(9) ** (10)
Professor Stephen Blyth,
Principal		 (appointed 1 October
2022)		 ● ● ● ● ● ● ●
Professor Aziz Aboobaker ●
Mr Bart Ashton ● ● ● ●
Dr Rachael Bashford-Rogers (appointed 17
September 2022)
Ms Anna Bates (appointed 19 June
2023)
Professor PhilipBiggin ●
Professor Sanja Bogojevic ●
Dr David Campbell (appointed 22
November 2022)		 ●
Dr Ann Childs
Professor Xon de Ros (retired 30 September
2023)
Professor Francis DiTraglia ●
Professor Ana Domingos
Dr Hanne Eckhoff
Professor Xiaowen Dong
Professor Vanessa Ferreira
Dr Mike Fraser
Professor AntonyGalione ●
Professor Christine Gerrard ● ● ●

2

LADY MARGARET HALL Governing Body, Officers and Advisers Year ended 31 July 2023

(1) (2) (3) (4) (5) (6) (7) (8) **(9) ** (10)
Professor Christina
Goldschmidt		 ●
Professor Gianluca Gregori ●
Professor Nicholas Hankins
Professor Robin Harding
Professor Li He
Dr Ben Higgins
Dr Max Hogdson (1 September 2022 to 30
September 2023)
Professor Todd Huffman ● ● ● ● ● ●
Mr. Richard Hunt (resigned 19 August 2023) ● ● ●
Professor Varun Kanade ●
Professor Marie-Chantal
Killeen
Professor Jochen
Koenigsmann
Professor Christina Kuhn ● ●
Mr Andrew Macdonald ● ● ● ● ● ● ●
Professor David Macdonald ●
Professor Michael Monoyios
Dr Anne Mullen ● ● ● ●
Professor Jill O’Reilly
Professor Gascia Ouzounian
Dr Yujia Qing (appointed 2 October
2022)
Dr Natalie Quinn ●
Professor Sophie Ratcliffe ●
Dr Fiona Spensley ● ●
Professor Robert Stevens ●
Dr James Studd
Dr Grant Tapsell ● ● ●
Professor Adrian Thomas
Professor Marion Turner (appointed 17 October
2022)
Professor Denise van der
Kamp
Professor Jan Westerhoff

3

LADY MARGARET HALL Governing Body, Officers and Advisers Year ended 31 July 2023

Investment Committee, Development Committee, Strategy Committee, Buildings Committee and Garden Committee have appropriately qualified external members. The Remuneration Committee consists of six individuals, only one of whom can be a Fellow who does not receive pecuniary emolument from the College, and at least five external members who receive no remuneration of any kind from the College.

COLLEGE SENIOR STAFF

The senior staff of the College, to whom day to day management is delegated, are as follows.

A Prof Stephen Blyth Principal
B Prof Todd Huffman Vice-Principal
C Mr Andrew Macdonald Treasurer
D Dr Anne Mullen Senior Tutor
E Dr Fiona Spensley Tutor for Graduates
F Mr Bartholomew Ashton Domestic Bursar
G Mr Richard Hunt Development Director (resigned 19 August 2023)
G Ms Anna Bates Acting Development Director from 19 June 2023

4

LADY MARGARET HALL Report of the Governing Body Year ended 31 July 2023

COLLEGE ADVISERS

Auditor

Critchleys Audit LLP Beaver House 23-38 Hythe Bridge Street Oxford OX1 2EP

Bankers

Barclays Bank plc Level 4 Apex Plaza Forbury Road Reading RG1 1AX

Solicitors

Mills & Reeve LLP Botanic House 98-100 Hills Road Cambridge CB2 1PH

Surveyors

Carter Jonas Anchor House 269 Banbury Road Summertown Oxford OX2 7LL

College address

Norham Gardens Oxford OX2 6QA

Website

www.lmh.ox.ac.uk

5

LADY MARGARET HALL Report of the Governing Body Year ended 31 July 2023

The Members of the Governing Body present their Annual Report for the year ended 31 July 2023 under the Charities Act 2011 together with the audited financial statements for the year.

REFERENCE AND ADMINISTRATIVE INFORMATION

The Principal and Fellows of the College of the Lady Margaret in the University of Oxford, which is known as Lady Margaret Hall, (“the College”) is an eleemosynary chartered charitable corporation aggregate. It was founded as Lady Margaret Hall Oxford in 1878 by a group led by the Reverend Edward Talbot. It was incorporated in 1913 under the Companies Acts and later, in response to a petition dated 17 March 1926 from Cyril Bailey and Lynda Grier, under a Royal Charter of His Majesty King George V.

The College registered with the Charities Commission on 6 July 2011 (registered number 1142759). The names of all Members of the Governing Body and of those in office during the year, together with details of the senior staff and advisers of the College, are given on pages 2-5.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing documents

The College is governed by its Charter of 17 March 1926 and Supplemental Charters of 31 December 1953, 23 December 1960, 1 June 1978 and 7 June 2012 and Statutes last amended 15 February 2012.

Governing Body

The Governing 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.

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 under the chairmanship of the Principal and is advised by ten main committees.

Recruitment and training of Members of the Governing Body

New Members of the Governing Body, apart from the Principal, Treasurer, Development Director, Senior Tutor, Domus Fellows and Tutor for Graduates, are elected on the basis of the association of a College Fellowship with a post in the Collegiate University. They are inducted into the workings of the College, including Governing Body policy and procedures, by the Principal, Senior Tutor and Treasurer.

Members of the Governing Body attend external trustee training and information courses to keep them informed on current issues in the sector and on regulatory requirements.

Remuneration of Members of the Governing Body and Senior College Staff

Members of the Governing Body, who are primarily Fellows, are teaching and research employees of the College (and University, in some cases) and receive no remuneration or benefits from their trusteeship of the College. Those trustees who are also employees of the College receive remuneration for their work as employees of the College, which is set based on the advice of the College’s Remuneration Committee, members of which are independent or Fellows not in receipt of remuneration from the College. Where possible, remuneration is set in line with that awarded to the University’s academic staff, and other criteria include: other colleges’ policies on remuneration; principles of equality and fairness; and trends in remuneration in other academic institutions in the UK and internationally and in the relevant levels of the UK public and private sectors.

The remuneration of senior College staff is proposed by the College’s Salaries Committee, taking account, as far as possible, of remuneration levels in other Oxford colleges, reviewed by the Remuneration Committee and then approved by Governing Body.

6

LADY MARGARET HALL Report of the Governing Body Year ended 31 July 2023

Organisational management

The members of the Governing Body meet at least 6 and up to 9 times a year. The work of developing their policies and monitoring the implementation of these is carried out by ten main Committees:

Finance Committee - is responsible for the financial administration of the College.

Investment Committee - considers all business relating to the College's investments (including those of trust funds).

Academic Policy Committee - advises on:

Development Committee - is responsible for implementing, monitoring, and reviewing the College's fund-raising objectives and alumni engagement objectives. It provides guidance to the Development Office on priorities in achieving these objectives, and keeps under review the resources necessary, including staff and finances, to achieve them.

Remuneration Committee - acts as an independent body to review and make recommendations to Governing Body on proposed changes to the level of remuneration and direct and indirect benefits for the Principal and Fellows of the College.

Strategy Committee - advises on major strategic issues, especially those which do not fall within the remit of any one other main committee.

Equality Committee - is responsible for the development, implementation, monitoring, prioritisation and review of policies, procedures and practice to support the College's Equality Policy in relation to staff, students, visitors, and others closely associated with the College.

Garden Committee - advises on all matters concerning the College gardens.

Buildings Committee - advises on all matters concerning new buildings.

Statutes Committee - advises on all matters concerning the College Charter and Statutes.

The day-to-day running of the College is delegated to the Principal, supported by College senior staff. The Principal attends all meetings of the Governing Body’s main committees, apart from Remuneration Committee.

Group structure and relationships

The College also administers many special trusts, as detailed in Notes 18 and 19 to the financial statements.

The College also has three wholly owned non-charitable subsidiaries: LMH Hospitality Services Limited, Lady Margaret Hall Properties Limited and Lady Margaret Hall Trading Limited. LMH Hospitality Services Limited is the vehicle for the trading activities of the College, Lady Margaret Hall Trading Limited is the vehicle for managing very large capital building projects (none underway during the year), and Lady Margaret Hall Properties Limited was the vehicle for managing the letting of rooms in the College's properties but has been dormant since 1 August 2010. The subsidiaries’ aims, objectives and achievements are covered in the relevant sections of this report.

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.

7

LADY MARGARET HALL Report of the Governing Body Year ended 31 July 2023

Fund-raising

The College has a professional alumni engagement team which has fund-raising within its remit. The team’s purpose is to connect and engage alumni in the work of the College and to generate funds to support the College’s long-term strategy and in-year activities.

During the financial year, the College worked with a fund-raising consultant to oversee the telephone campaigns. The College subscribes to and has adhered to the Fundraising Regulator’s Code of Fundraising Practice during the financial year.

The alumni engagement team is overseen by the Development Director who reports to the Principal. The College Development Committee meets three times a year. The minutes of these meetings are reported to and discussed by the Governing Body of the College. The College did not receive any complaints relating to fundraising during the year.

The College has an approved and published Policy on fundraising with and responding to people in vulnerable circumstances which accords to the Fundraising Regulator’s Code of Fund-raising practice. Under the policy, incidents are reported to the College’s Development Committee and noted by Governing Body.

OBJECTIVES AND ACTIVITIES

Charitable Objects and Aims

The College’s Object is: “To advance education and research, in particular by providing for members of the University of Oxford a college conducted according to the principles of the Church of England, but with full provision for the liberty of those who are not members of that Church.”

The Governing Body has considered the Charity Commission’s guidance on public benefit and in keeping with its objects, the College’s aims for the public benefit are the same as its overall aims:

The College remains committed to providing public benefit, with the members of the College, both students and academic staff, who are directly engaged in education and/or research, being the primary beneficiaries.

Beneficiaries include: students and academic staff from other colleges in Oxford and the University of Oxford more widely, visiting academics from other higher education institutions and visiting schoolchildren and alumni of the College who have an opportunity to attend educational events at the College and use its facilities. The general public are also able to attend various educational activities in the College, such as exhibitions in the library or Conversations with the Principal, and benefit from the general research output from members of the College, including in Medicine, Science, Public Policy, Arts and Culture.

The College admits as students those who have the highest potential for benefiting from the education provided by the College and the University; and recruits as academic staff those who are able to contribute most to the academic excellence of the College, regardless of their financial, social, religious or ethnic background:

8

LADY MARGARET HALL Report of the Governing Body Year ended 31 July 2023

The focus of the College is strongly academic and students need to satisfy high academic entry requirements, in line with the University and other colleges in the University of Oxford.

The College uses a range of measures to monitor its success, including:

Students’ fees, grants and outreach

The College charges the following fees:

a) Tuition fees to undergraduates entitled to student finance at externally regulated rates (with those undergraduate fees being paid by grant funding through arrangements approved by the Government), and to graduate students; and

b) Accommodation and meal charges at reasonable rates.

In order to assist undergraduates entitled to student support, the College provides, through a scheme operated in common with the University and other colleges, bursary support for those of limited financial means. For the academic year 2022-23, the number of awards made was 93, out of a Home/EU undergraduate population of 409, with a total value of £402,000, of which £92,000 was provided by the College. The scheme is approved by the Office for Students (OfS) and provides benefits at a substantially higher level than the minimum OfS requirement. The College also has various scholarships and prizes available to reward undergraduate academic excellence and provided £65,000 for this purpose in 2022-23. To support the costs of graduate students, the College provides substantial financial assistance. This includes scholarships of £283,000 in the academic year 2022-23. The College also makes awards for academic development and provided £38,000 in academic development grants, covering both graduates and undergraduates, in 2022-23.

In addition to its other programmes, the College operates a hardship scheme for all students in financial hardship and provided £106,000 of support in 2022-23. The College also provides access to hardship schemes operated by the University.

2022-23 was our first post-Covid opportunity to re-launch our in-person outreach programme which has included visits by schools to the College, open days and summer schools, admissions symposia for teachers, as well as visits to schools and guidance and information on the College website for prospective applicants. LMH continues to work with the University to develop “Outreach Consortia” activity involving groups of colleges and Local Education Authorities (LEAs) to increase visibility and impact. Since summer 2019 our “consortia reach” includes schools in South Gloucestershire and Bristol, working alongside Merton and Exeter. We continue to reinforce our close working relationship with the University’s Undergraduate Admissions and Outreach teams. The College was pleased to offer an in-person visit day for all our confirmed undergraduate freshers in April 2023.

In 2016-17, the College operated the first Foundation Year under a four-year pilot project. Funding has been secured for a total of seven years ahead of the launch of the University’s own Astrophoria Foundation Year, with its first intake in 2023. The College ran its seventh and final year of the Foundation Year in 2022/23 funded by the University on a 50:50 basis with the College. The Foundation Year is a one-year academic and personal preparation

9

LADY MARGARET HALL Report of the Governing Body Year ended 31 July 2023

for up to 12 students (reduced to 8 for year 6; and 2 for year 7) from any part of the UK who may not have the grades to make a competitive application for an undergraduate degree course for socioeconomic reasons.

The aim is for these students to make an application for an undergraduate degree course at the University of Oxford during the Foundation Year, though progression to the degree course is not automatic. The students are equipped to progress to other top UK universities. Students who have achieved academically in a disadvantaged context and entirely within the state sector are the targets for the programme; and students are selected on the basis of a range of financial, social and cultural indicators. In 2022-23 the two participants of the seventh cohort successfully completed the course and have progressed onto full-time undergraduate study at LMH. Twelve students successfully completed their Final Honours Degrees: two First Class, eight 2:1, one 2:2 and one Pass.

Activities and Objectives of the College

The College’s overarching objective is to provide a collegiate educational experience that is the best of its kind in the world. The objectives set for the College’s subsidiaries are to help finance the achievement of the College’s aims as above. The College’s principal activity is the advancement of education and research.

The College provides, in conjunction with the University of Oxford, an education for approximately 400 undergraduate and 350 graduate students, which is recognised internationally as being of the highest standard. This education develops students academically and advances their communication and interpersonal skills, and so prepares them to play full and effective roles in society.

In particular, the College provides:

The College advances research through:

The College maintains an extensive Library (including important special collections), so providing a valuable resource for students and Fellows of the College. On a discretionary basis, the College makes its library and archives available to members of other colleges and the University of Oxford more widely, external scholars and researchers.

10

LADY MARGARET HALL Report of the Governing Body Year ended 31 July 2023

ACHIEVEMENTS AND PERFORMANCE

The College’s key achievements in 2022-23 were:

Key Goals Achievements
Academic distinction:
undergraduate		 Held constructive Senior Tutor/Tutor and Principal/Senior Tutor
meetings with students to incentivise continued excellent academic
performance and the fulfilment of academic potential.
To date, 92.2% of undergraduates achieved a First or an Upper
Second class degree. 2 classifications remain to be declared as a
result of the Marking and Assessment Boycott (MAB).
To date, 29 out of 119 students were awarded Distinctions in their
Preliminary Examinations. A number of outcomes have yet to be
declared as a result of the MAB. (See above).
Recruited 122 undergraduates for 2023 entry and 4 for 2024 entry.
Recruited two Astrophoria (University) Foundation Year (AFY)
students for a 2023 start, and celebrated the academic success of two
LMHFY “graduates” who completed the course with Distinction and
who are starting undergraduate study at LMH.
Recruited six new (Associate Professor) Tutorial Fellows in: Inorganic
Chemistry, History, Law, Indian Philosophy, Classics and
Experimental Psychology.
Recruited two College-only Tutorial Fellows in Law and in English.
Recruited one Junior Research Fellow in Modern Languages
(German).
Recruited five Non-Stipendiary Junior Research Fellows in:
Biophysics (x2), Computer Science, Education, Materials Science
(supported by the Oxford Pakistan Programme).
Recruited new tutors: 24 Lecturers.
Recruited a total of 37.5 FTE Visiting Students for 2023-24.
Launched a refreshed “Study Skills” department with two Lecturers.
c.184 hours of support provided to students (LMH) in one-to-one and
group sessions, with Study Skills now overseen by Wellbeing.
Academic distinction:
postgraduate
Recruited 160 new graduates for 2023-24, of which 20 are part time.
72 graduates selected LMH as their first choice college.

Accommodated 85 graduates in 2022-23: on site, in one leased off-
site building and through rental agreements with the central
University.

To date, 65 Masters students successfully completed their degrees,
with 52 obtaining Distinction or Merit. 27 students successfully
completed their Doctorates (D Phil). (Masters students complete by
30 September each year.)

Continued work to identify and grow financial support for
postgraduate scholarships, including working closely with the
University.

Continuing successful association with the Oxford Pakistan
Programme, supporting scholars and postgraduates.

11

LADY MARGARET HALL Report of the Governing Body Year ended 31 July 2023

Academic distinction: teaching
and research mission
Maintained a range of online teaching, learning and support
resources (Library, Study Skills Centre), and online examinations in
Trinity Term 2023, informed and supported by University and College
IT provision.

Publicised academic results and prizes for undergraduates,
graduates and tutors. Annual celebratory Scholars’ Dinner was held
in the first academic term of the year.

Undertook further Academic Office restructuring to bolster support
and coherent and timely services for students, academic tutors and
support staff colleagues.

Continued and improved budgetary controls; and continued close
and collaborative working with the College Accounts’ tTeam.
Health, Wellbeing and Welfare
The new Head of Wellbeing has been in post since August 2022,
working 0.6 FTE. The job-share position was recruited and started in
July 2023, increasing the post to 1.1 FTE.

Working as a Wellbeing team, the Co-Heads of Wellbeing, College
Nurse and Junior Welfare Deans, continued to ensure the provision
of 24/7 support in College during term time. Developed processes for
information sharing between the team and, where appropriate, with
other members of staff, to ensure continuity of care.

Reviewed Safeguarding with the support of external consultants,
GirlingHughes. The Governing Body accepted all the
recommendations and undertook to implement all the improvements.

Reviewed all policies and procedures relating to health, wellbeing
and welfare, including safeguarding and harassment.

Developed additional policies on confidentiality and a student privacy
notice to ensure clarity and transparency about the way information
relating to student wellbeing and welfare is used, shared and stored.

Continued to run College Wellbeing Weeks in Michaelmas Term and
Trinity Term.

Conducted a student survey to gain feedback on Wellbeing weeks
and the provision of wellbeing activities throughout the term.

Encouraged students and staff to get involved in the College gardens
through initiatives, including fitness programmes, garden tours and
planting sessions during Wellbeing weeks.

Developed a weekly newsletter to provide information and resources
about wellbeing-related topics to all students.
A Diverse/Inclusive College
Participated in a range of joint University initiatives to improve
accessibility and inclusivity.

Engaged students in outreach and University participation activities.

Refreshed a range of digital content for outreach purposes.

Appointed a new Head of Access and Admissions Support (in post
since May 2023).

Continued the transition of Outreach, Access and Recruitment to the
Academic Office from Communications.
Strengthening the LMH
Community
Held a series of successful ‘In Conversation’ events, many on a
virtual basis, attended by LMH students, staff, alumni and
prospective applicants. Live audience numbers ranged from 30-80.

Continued with a working group to address equality and racism
concerns within the community.

Supported a number of student-organised events and activities on
gender and race equality.
Alumni engagement
Raised over £4.5m of new funds.

12

LADY MARGARET HALL Report of the Governing Body Year ended 31 July 2023


Major gift and legacy income performed particularly well.

A varied programme of UK and international events was held for
alumni and friends, including visits by the Principal to Asia and the
USA.
Conferences and other
Commercial Developments
Delivered Conference turnover of £2.35m and net income of £1m.

Grew the Short Academic Programmes business, creating and
delivering new in-person and online programmes in August 2022 and
June/July 2023 and widening international participation.
Finances, Endowment, Estate,
Gardens, IT and Governance
Repaid £0.6m of outstanding debt.

Maintained compliance under data protection, GDPR and Prevent
regulations.

Submitted and updated reports of serious incidents (RSI) to the
Charities Commission.

Continued efforts to encourage Near Miss reporting following incidents
and to minimise the risks of and occurrence of accidents.

Continued the Privy Council review process for the updated College
Statutes.

The College successfully retained its Investors in People Gold
accreditation.

The College undertook energy efficiency improvements in Eleonor
Lodge, partly financed by a £1.2m grant from Salix, a government
infrastructure fund.

FINANCIAL REVIEW

The financial results for 2022-23 show a net movement in funds of £4.325m, increasing the Funds of the College to £74.351m.

Total Incoming Resources were £17.291m including donations of £5.757m and investment income of £1.01m. Incoming resources excluding these two items came to £10,524m, an increase of 25% on the previous year which was affected by the later stages of the Covid-19 pandemic. Academic income and residential income from members was up 22% year-on-year, largely due to the increase in Conference income.

The resources expended in achieving this income of £10.524m were £13.120m, being Total Resources Expended of £13.245m, less investment management expenses of £0.125m. These resources expended were 8% lower than the previous year’s equivalent figure and include a £1.203m decrease in the pension provision.

Scholarships, prizes and grants awarded to students increased to £0.385m, up 20%, while bursaries and hardship awards increased to £0.106m, up 38%. There was an increase in the number of hardship cases as a result of inflation in the cost of living. The College received £0.250m of support for buildings maintenance from the College Contributions Scheme during the year.

The incoming resources of £10.524m, less the resources expended of £13.120m, gives an “operating deficit” of £2.596m. The College covers this deficit in three ways: (1) using donations to Unrestricted Funds of £1.746m; (2) drawing on Endowment Funds and designated capital funds within Unrestricted Funds under a sustainable spending rule for £1.870m; and (3) drawing on Restricted Funds, where both income and capital are available for spending, for £0.964m.

After these drawdowns and donations, the “operating surplus” was £1.984m. The surplus was calculated after a depreciation charge of £1.263m and a pension provision decrease of £1.203m. Adding back these non-cash items gives an “operating cash inflow” of £2.044m. The College repaid £0.600m of its outstanding debt during the year.

The “total return” on investments was £1.164m, net of investment expenses of £0.125m, and the amount withdrawn from the investment portfolio under a sustainable drawdown formula was £1.869m.

13

LADY MARGARET HALL Report of the Governing Body Year ended 31 July 2023

The net movement in funds of £4.325m comprises: the surplus of £1.984m; the “total return” on investments of £1.164m; new donations received for Endowment Funds of £1.393m and for Restricted Funds of £2.618m; less amounts withdrawn from Endowments of £1.869m and from Restricted funds of £0.964m.

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 and to allow the College to be managed efficiently and to provide a buffer that would ensure uninterrupted services.

Total funds of the College and its subsidiaries at the year-end amounted to £74.351m (2022: £70.026m). This includes endowment capital of £43.209m and unspent restricted income funds totaling £5.377m. Unrestricted reserves at the year-end were £25.765m (2022: £23.779m), of which £20.105m is designated to cover the £29.135m net book value of fixed assets net of their associated funding arrangements. A further £8.209m is designated as capital funds and a reserve of £2.735m reflects the provision for future payments to fund the pension scheme deficits.

At the year-end, general Unrestricted Funds were £0.186m with a cash balance of £4.496m, making a net overall positive position of £4.682m. The College’s strategy is to restore its general Unrestricted Funds through accumulating positive surpluses after servicing loan repayments.

In the event of a serious downturn, the College has the option to remove the “capital funds” designation from part of its Unrestricted Funds, thereby freeing such funds to cover the expected shortfall.

Risk management

The College has on-going processes which operated throughout the financial year for identifying, evaluating and managing the principal risks and uncertainties faced by the College and its subsidiaries in undertaking their activities.

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 Committees, chaired by the Principal, the Treasurer or the Domestic Bursar. Financial risks are assessed by the Finance Committee and investment risks are monitored by the Investment Committee. In addition, the Domestic Bursar and domestic staff heads meet regularly to review health and safety issues. Training courses and other forms of career development are available, when requested, to members of staff to enhance their skills in risk-related areas. Data protection issues are overseen by an external Data Protection Officer, the head of the shared IT services company supporting the College and three other colleges in North Oxford.

The Governing Body, who have ultimate responsibility for managing any risks faced by the College, have reviewed the processes in place for managing risk, and the principal identified risks to which the College and its subsidiaries are exposed; and have concluded that adequate systems are in place to manage these risks.

The principal risks and uncertainties faced by the College and its subsidiaries that have been identified are categorised as follows:

14

LADY MARGARET HALL Report of the Governing Body Year ended 31 July 2023

Strategies for managing the risks identified by the College as described above include, for example:

Investment policy, objectives and performance

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

To meet these objectives, the College’s investments as a whole are managed on a total return basis, maintaining diversification across a range of asset classes in order 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. The investment policy and strategy are set by the Governing Body, as advised by the Investment Committee from time to time, and performance is regularly monitored by the Investment Committee.

At the year end, the College’s long-term securities investments totaled £51,305k. The total securities investment return was 1.73% in the year to 31 July 2023. This compared to 4.31% for the relevant benchmark return and 12.2% for the target total return in the year to 31 July 2023, given the significant increase in CPI inflation during the year, making it particularly challenging for investors to generate satisfactory returns. A somewhat defensive positioning of the portfolio was maintained, given the continued market uncertainty.

On the total return basis of investing, it is the Governing Body’s policy to extract as income up to 4% (plus costs) of the value of the relevant investments. However, a formula is applied to smooth and moderate the amounts withdrawn.

The equivalent of 3.81% of the opening value of the securities and property investments, plus costs, was extracted as income on the total return basis in the year. The Governing Body will keep the level of income withdrawn under review to balance the needs and interests of current and future beneficiaries of the College’s activities.

15

LADY MARGARET HALL Report of the Governing Body Year ended 31 July 2023

FUTURE PLANS

The College’s objectives for 2023-24 are as follows:

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. Under that law the Governing Body have prepared the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102: The Financial Reporting Standard Applicable in the UK and Republic of Ireland (FRS 102).

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:

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 the Charities Act 2011. 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 29 November 2023 and signed on its behalf by:

Prof. Stephen Blyth Principal

16

LADY MARGARET HALL Report of the Auditor to the Members of the Governing Body of Lady Margaret Hall

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE GOVERNING BODY OF LADY MARGARET HALL

Opinion

We have audited the financial statements of Lady Margaret Hall (the “Charity”) for the year ended 31 July 2023 which comprise the Statement of Accounting Policies, the Consolidated Statement of Financial Activities, the Consolidated and College Balance Sheets, the Consolidated Cash Flow Statement and the related notes numbered 1 to 34. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

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

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Members of the Governing Body’s use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Charity’s ability to continue as a going concern for a period of at least 12 months from when the financial statements are authorised for issue.

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

Other information

The Governing Body are responsible for the other information. The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. 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.

17

LADY MARGARET HALL Report of the Auditor to the Members of the Governing Body of Lady Margaret Hall

Matters on which we are required to report by exception

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

Responsibilities of the Governing Body

As explained more fully in the Governing Body responsibilities statement set out on page 18, the Governing Body is 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 they 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 Governing Body is 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 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 the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists.

Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

18

LADY MARGARET HALL

Report of the Auditor to the Members of the Governing Body of Lady Margaret Hall

To address the risk of fraud through management bias and override of controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the Members of Governing Body and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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

Use of our report

This report is made solely to the College’s Governing Body in accordance with section 144 of the Charities Act 2011 and the regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to 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 anyone other than the College and its Governing Body, for our audit work, for this report, or for the opinions we have formed.

Critchleys Audit LLP (Statutory Auditor) 23-28 Hythe Bridge Oxford OX1 2EP

Date: 30 November 2023

Critchleys Audit LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006.

19

LADY MARGARET HALL Statement of Accounting Policies Year ended 31 July 2022

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 subsidiaries LMH Hospitality Services Limited and Lady Margaret Hall Trading Limited. The subsidiaries have been consolidated from the date of their formation being the date from which the College has exercised control through voting rights in the subsidiaries. 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 12.

2. Basis of accounting

The College’s individual and consolidated 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 individual and consolidated 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 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.

FRS 102 makes the distinction between a group plan and a multi-employer scheme. A group plan consists of a collection of entities under common control typically with a sponsoring employer. A multiemployer scheme is a scheme for entities not under common control and represents an industry-wide scheme such as Universities Superannuation Scheme or one for employers in the same locality such as the University of Oxford Staff Pension Scheme. The accounting for a multi-employer scheme where the employer has entered into an agreement with the scheme that determines how the employer will fund a deficit results in the recognition of a liability for the contributions payable that arise from the agreement (to the extent that they relate to the deficit) and the resulting expense in profit or loss in accordance with section 28 of FRS 102. The trustees are satisfied that Universities Superannuation Scheme and the University of Oxford Staff Pension Scheme both meet the definition of a multi-employer scheme and have therefore recognised the discounted fair value of the contractual contributions under the recovery plans in existence at the date of approving the financial statements.

Key sources of estimation uncertainty. The pension deficits recorded are dependent on estimates of future employment patterns and interest rates. The effects of changes to these assumptions are shown in note 22.

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.

20

LADY MARGARET HALL Statement of Accounting Policies Year ended 31 July 2022

In the view of the Governing Body, no assumptions concerning the future or estimation uncertainly 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.

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, Office for Students support and other charges for services Fees receivable, less any scholarships, bursaries or other allowances granted from the College unrestricted funds, Office for Students 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.

c. Investment income

Interest on bank balances is accounted for on an accrual basis with interest recognised in the period to which the interest relates.

Dividend income and similar distributions are recognised on the date the share interest becomes exdividend or when the right to the dividend can be established.

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.

All expenditure including support costs and governance costs are allocated or apportioned to the applicable expenditure categories in the Statement of Financial Activities (the SOFA).

Support costs which includes governance costs (costs of complying with constitutional and statutory requirements) and other indirect costs are is 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

21

LADY MARGARET HALL Statement of Accounting Policies Year ended 31 July 2022

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. 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.

7. 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 40 years Building improvements 10 - 40 years Equipment 3 - 10 years

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

At the end of each reporting period, the residual values and useful lives of assets are reviewed and adjusted if necessary. In addition, if events or change in circumstances indicate that the carrying value may not be recoverable then the carrying values of tangible fixed assets are reviewed for impairment.

8. 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 which 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.

22

LADY MARGARET HALL Statement of Accounting Policies Year ended 31 July 2022

9. 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.

10. 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.

11. Foreign currencies

The functional and presentation currency of the College and its subsidiaries is the pound sterling.

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.

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

13. Fund accounting

The total funds of the College and its subsidiaries are allocated to unrestricted, restricted or endowment funds based on the terms set by the donors or set by the terms of an appeal. 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 specified that the funds are to be used for particular 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 or permitted the capital to be maintained and with the intention that the income will be used for specific purposes within the College’s objects.

Permanent endowment funds arise where donors specify that the funds should be retained as capital for the permanent benefit of the College. Any part of the total return arising from the capital that is allocated to income will be accounted for as unrestricted funds unless the donor has placed restrictions on 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

23

LADY MARGARET HALL Statement of Accounting Policies Year ended 31 July 2022

benefit of the College. However, the Governing Body may at their discretion determine to spend all or part of the capital.

14. Pension costs

The College participates in the 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 trustee-administered 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) with related expenses being recognised through the profit and loss account.

The College also operates a defined contribution pension scheme. Contributions to these arrangements are charged to the SOFA in the period in which they are payable.

24

LADY MARGARET HALL Consolidated Statement of Financial Activities For the year ended 31 July 2023

----- Start of picture text -----
Unrestricted Restricted Endowed 2023 2022
Funds Funds Funds Total Total
Notes £'000 £'000 £'000 £'000 £'000
INCOME AND ENDOWMENTS FROM:
Charitable activities:
Teaching, research and residential 1 9,412 - - 9,412 7,744
Other Trading Income 3 831 - - 831 655
Donations and legacies 2 1,746 2,618 1,393 5,757 3,753
Investments
Investment income 4 166 - 844 1,010 824
Total return allocated to income 13 1,505 - (1,505) - -
Other income 33 281 - - 281 49
Total income 13,941 2,618 732 17,291 13,025
EXPENDITURE ON: 5
Charitable activities:
Teaching, research and residential 10,751 968 - 11,719 13,104
Generating funds:
Fundraising 653 - - 653 580
Trading expenditure 748 - - 748 629
Investment management costs 20 - 105 125 149
Total Expenditure 12,172 968 105 13,245 14,462
Net Income/(Expenditure) before gains 1,769 1,650 627 4,046 (1,437)
Net gains/(losses) on investments 10, 11 214 - 65 279 484
Net Income/(Expenditure) 1,983 1,650 692 4,325 (953)
Transfers between funds 18 3 30 (33) - -
Other recognised gains/losses
Gains/(losses) on revaluation of fixed assets - - - - -
Actuarial gains/(losses) on defined benefit pension schemes - - - - -
Net movement in funds for the year 1,986 1,680 659 4,325 (953)
Fund balances brought forward 18 23,779 3,697 42,550 70,026 70,979
Funds carried forward at 31 July 25,765 5,377 43,209 74,351 70,026
----- End of picture text -----

25

LADY MARGARET HALL Consolidated and College Balance Sheets As at 31 July 2023

----- Start of picture text -----
2023 2022 2023 2022
Group Group College College
Notes £'000 £'000 £'000 £'000
FIXED ASSETS
Tangible assets 9 29,135 29,301 29,135 29,301
Property investments 10 493 - 493 -
Other Investments 11 51,293 49,475 51,305 49,479
Total Fixed Assets 80,921 78,776 80,933 78,780
CURRENT ASSETS
Stocks 155 159 155 159
Debtors 14 1,113 2,173 920 2,448
Investments 1,354 2,941 1,354 2,941
Cash at bank and in hand 4,496 1,381 4,496 744
Total Current Assets 7,118 6,654 6,925 6,292
LIABILITIES
Creditors: Amounts falling due within one year 15 2,628 2,541 2,450 2,174
NET CURRENT ASSETS/(LIABILITIES) 4,490 4,113 4,475 4,118
TOTAL ASSETS LESS CURRENT LIABILITIES 85,411 82,889 85,408 82,898
CREDITORS: falling due after more than one year 16 8,325 8,925 8,325 8,925
Provisions for liabilities and charges 17 - - - -
NET ASSETS/(LIABILITIES) BEFORE PENSION ASSET OR
LIABILITY 77,086 73,964 77,083 73,973
Defined benefit pension scheme liability 22 2,735 3,938 2,735 3,938
TOTAL NET ASSETS/(LIABILITIES) 74,351 70,026 74,348 70,035
FUNDS OF THE COLLEGE
Endowment funds 43,209 42,550 43,209 42,550
Restricted funds 5,377 3,697 5,377 3,697
Unrestricted funds
General funds 186 (336) 186 (336)
Designated funds 28,314 28,053 28,311 28,062
Revaluation reserve - - - -
Pension reserve 22 (2,735) (3,938) (2,735) (3,938)
74,351 70,026 74,348 70,035
----- End of picture text -----

The financial statements were approved and authorised for issue by the Governing Body of Lady Margaret Hall on 29th November 2023

Trustee: Signed by: Professor Stephen Blyth, Principal

Trustee: Signed by: Andrew MacDonald, Treasurer

26

LADY MARGARET HALL

Consolidated Statement of Cash Flows For the year ended 31 July 2023

----- Start of picture text -----
2023 2022
Notes £'000 £'000
Net cash provided by (used in) operating activities 25 4,440 (1,488)
Cash flows from investing activities
Dividends, interest and rents from investments 1,010 824
Proceeds from the sale of property, plant and equipment - -
Purchase of property, plant and equipment (1,389) (592)
Proceeds from sale of investments 13,581 1,895
Purchase of investments (15,320) (2,205)
Net cash provided by (used in) investing activities (2,118) (78)
Cash flows from financing activities
Repayments of borrowing (600) (600)
Cash inflows from new borrowing - -
Receipt of endowment 1,393 1,397
Net cash provided by (used in) financing activities 793 797
Change in cash and cash equivalents in the reporting period 3,115 (769)
Cash and cash equivalents at the beginning of the
reporting period 1,381 2,150
Change in cash and cash equivalents due to exchange rate
movements - -
Cash and cash equivalents at the end of the reporting
period 26 4,496 1,381
----- End of picture text -----

27

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

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		 2023
£'000
1,791
1,573
622
221
268
4,937
9,412
9,412
9,412		 2022
£'000
1,861
1,264
462
222
280
3,655
7,744
7,744
7,744

The above analysis includes £3,585k received from Oxford University from publicly accountable funds under the CFF Scheme. (2022: £3,348k)

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 £nil (2022: £nil). These are not included in the fee income reported above.

Donations and Legacies
Unrestricted funds
Restricted funds
Endowed funds
INCOME FROM OTHER TRADING ACTIVITIES
Unrestricted funds
Subsidiary company trading income
Other trading income
INVESTMENT INCOME
Unrestricted funds
Agricultural rent
Commercial rent
Other property income
Equity dividends
Income from fixed interest stocks
Interest on fixed term deposits and cash
Other investment income
Bank interest
Other interest
Endowed funds
Agricultural rent
Commercial rent
Other property income
Equity dividends
Income from fixed interest stocks
Interest on fixed term deposits and cash
Other investment income
Bank interest
Other interest
Total Investment income		 2023
£'000
1,746
2,618
1,393
5,757
2023
£'000
831
-
831
2023
£'000
-
-
-
-
-
-
166
-
-
166
-
-
-
844
-
-
-
-
-
844
1,010		 2022
£'000
605
1,751
1,397
3,753
2022
£'000
655
-
655
2022
£'000
-
-
-
-
-
-
145
-
-
145
-
-
-
679
-
-
-
-
-
679
824

28

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

5 ANALYSIS OF EXPENDITURE

Charitable expenditure
Direct staff costs allocated to:
Teaching, research and residential
Public worship
Heritage
Other direct costs allocated to:
Teaching, research and residential
Public worship
Heritage
Support and governance costs allocated to:
Teaching, research and residential
Public worship
Heritage
Total charitable expenditure
Expenditure on raising funds
Direct staff costs allocated to:
Fundraising
Trading expenditure
Investment management costs
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		 2023
£'000
6,536
-
-
4,033
-
-
1,150
-
-
11,719
514
-
-
134
402
125
5
346
-
1,526
13,245		 2022
£'000
5,641
-
-
3,041
-
-
4,422
-
-
13,104
446
-
-
126
308
149
8
321
-
1,358
14,462

The College is liable to be assessed for Contribution 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 £nil (2022: £nil).

6 ANALYSIS OF SUPPORT AND GOVERNANCE COSTS

Financial administration
Domestic administration
Human resources
IT
Depreciation
Loss/(profit) on fixed assets
Bank interest payable
Other finance charges
Governance costs		 Generating
Funds
£'000
132
49
-
-
165
-
5
-
-
351		 Teaching
and
Research
£'000
398
145
240
151
1,098
(1)
300
(1,203)
22
1,150		 2023
Total
£'000
530
194
240
151
1,263
(1)
305
(1,203)
22
1,501

29

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

Financial administration
Domestic administration
Human resources
IT
Depreciation
Loss/(profit) on fixed assets
Bank interest payable
Other finance charges
Governance costs		 Generating
Funds
£'000
120
39
-
-
163
-
7
-
-
329		 Teaching
and
Research
£'000
356
118
211
128
1,110
-
272
2,206
21
4,422		 2022
Total
£'000
476
157
211
128
1,273
-
279
2,206
21
4,751

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.

No amount has been included in Governance Costs for the direct employment costs or reimbursed expenses of the College Fellows on the basis that these payments relate to the Fellows' involvement in the College's charitable activities. Details of the remuneration of the Fellows and their reimbursed expenses are included as a separate note within these financial statements.

Governance costs comprise:
Auditor's remuneration - audit services
Auditor's remuneration - assurance services other than audit
Auditor's remuneration - tax advisory services
Auditor's remuneration - other services
Legal and other fees on constitutional matters
Other governance costs		 2023
£'000
22
-
-
-
-
-
22		 2022
£'000
21
-
-
-
-
-
21

No amount has been included in governance costs for the direct employment costs or reimbursed expenses of the College Fellows on the basis that these payments relate to the Fellows involvement in the College's charitable activities. Details of the remuneration of the Fellows and their reimbursed expenses are included as a separate note within these financial statements.

GRANTS AND AWARDS
During the year the College funded research awards and
bursaries to students from its funds as follows:
Unrestricted funds
Grants to individuals:
Scholarships, prizes and grants
Bursaries and hardship awards
Grants to other institutions
Total unrestricted
Endowment and Restricted funds
Grants to individuals:
Scholarships, prizes and grants
Bursaries and hardship awards
Grants to other institutions
Total restricted
Total grants and awards		 2023
£'000
-
92
-
92
385
106
-
491
583		 2022
£'000
-
81
-
81
322
77
-
399
480

7 GRANTS AND AWARDS

The figure included above represents the cost to the College of the Oxford Bursary scheme. Students of this college received £92k (2022: £81k).

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

30

LADY MARGARET HALL

Notes to the financial statements For the year ended 31 July 2023

8
STAFF COSTS
The aggregate staff costs for the year were as follows.
Salaries and wages
Social security costs
Pension costs:
Defined benefit schemes
Defined contribution schemes
Staff costs related to pension liability
The average number of employees of the College, excluding Trustees,
on a full time equivalent basis was as follows.
Tuition and research
College residential
Public worship
Heritage
Fundraising
Support
Total
The average number of employed College Trustees during the year was as follows.
University Lecturers
CUF Lecturers
Other teaching and research
Other
Total		 2023
£'000
6,385
469
753
246
(1,203)
6,650
2023
32
88
1
-
5
38
164
22
6
13
8
49		 2022
£'000
5,507
383
718
166
2,206
8,980
2022
32
89
1
-
8
40
170
20
8
10
10
48

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 3
1
£70,001-£80,001 -
-

The number of the above employees with retirement benefits accruing was as follows:

In defined benefits schemes 3 1

31

LADY MARGARET HALL

Notes to the financial statements For the year ended 31 July 2023

Group and College
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
Impairment
At end of year
Net book value
At end of year
At start of year		 Freehold
land and
buildings
£'000
38,471
1,153
(376)
39,248
11,518
1,011
(84)
-
12,445
26,803
26,953		 Plant and
machinery
£'000
669
20
-
689
580
21
-
-
601
88
89		 Fixtures,
fittings and
equipment
£'000
4,306
216
(10)
4,512
2,047
231
(10)
-
2,268
2,244
2,259		 Total
£'000
43,446
1,389
(386)
44,449
14,145
1,263
(94)
-
15,314
29,135
29,301

No fixed assets are held under finance leases (2022: nil)

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.

10 PROPERTY INVESTMENTS

(See note 34 b) for comparatives)

Group & 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
-
-
-
-
-		 Commercial
£'000
-
-
-
-
-		 Other
£'000
-
292
-
201
493		 2023
Total
£'000
-
292
-
201
493		 2022
Total
£'000
1,775
-
(1,775)
-
-

The College holds two property investments. A formal valuation of each property was carried out at the year end by an independent third party.

11 OTHER INVESTMENTS

All investments are held at fair value.

Group investments
Valuation at start of year
New money invested
Amounts withdrawn
Reinvested income
Investment management fees
(Decrease) / increase in value of investments
Group investments at end of year
Investment in subsidiaries
College investments at end of year		 2023
£'000
49,475
2,724
(1,869)
1,010
(125)
78
51,293
12
51,305		 2022
£'000
46,906
3,116
(1,706)
824
(149)
484
49,475
4
49,479

32

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

Group investments comprise:
Equity investments
Global multi-asset funds
Property funds
Fixed interest stocks
Alternative and other investments
Fixed term deposits and cash
Total group investments		 2023
Held outside
the UK
£'000
14,104
-
-
-
5,893
-
19,997		 2023
Held in the UK
£'000
11,729
-
5,010
-
5,946
8,611
31,296		 2023
Total
£'000
25,833
-
5,010
-
11,839
8,611
51,293		 2022
Held outside
the UK
£'000
14,930
2,536
-
-
6,095
-
23,561		 2022
Held in the UK
£'000
10,246
-
6,217
-
5,011
4,440
25,914		 2022
Total
£'000
25,176
2,536
6,217
-
11,106
4,440
49,475

12 PARENT AND SUBSIDIARY UNDERTAKINGS

(See note 34 c) for comparatives)

The College holds 100% of the issued share capital in LMH Hospitality Services Limited, a company providing conference and other event services on the College premises, and 100% of the issued share capital in Lady Margaret Hall Trading Limited, a company providing design and build construction services to the College.

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

Income
Expenditure
Donation to College under gift aid
Result for the year
Total assets
Total liabilities
Net funds at the end of year		 £'000
831
(303)
(528)
-
710
(182)
528
LMH
Hospitality
Services Ltd		 £'000
-
-
-
-
-
(8)
(8)
LMH Trading Ltd

Associate undertaking

The College holds 25% of the share capital in North Oxford Colleges Shared Services Limited (2022: 25%), a company providing IT and administrative services to its affiliated entities. The turnover for this company was £639k (2022: £811k) with £nil profit (2022: £nil).

13 STATEMENT OF INVESTMENT TOTAL RETURN

(See note 34 d) for comparatives)

The Trustees have adopted a duly authorised policy of total return accounting for the College investment returns with effect from 1st August 2005. The investment return to be applied as income is calculated according to the sustainable spending rule, as follows:

(a) Income on funds held for general purposes

This currently permits the transfer in each year of up to: (70% of the previous financial year’s transfer + 3%) + (30% of 4% of the value of the endowments as at close of business on 31 July in the previous year).

(b) Income on funds held for specific purposes

This currently permits the transfer in each year of up to: (70% of the previous financial year’s transfer + 3%) + (30% of 4% of the value of the endowments as at close of business on 31 July in the previous year), only to the extent expended for that purpose in the period.

The preserved (frozen) value of the invested endowment capital represents its open market value in July 2003 together with all subsequent endowments valued at date of gift.

33

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

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 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
14
DEBTORS
Amounts falling due within one year:
Trade debtors
Amounts owed by College members
Amounts owed by Group undertakings
Prepayments and accrued income
Other debtors
15
CREDITORS: falling due within one year
Bank loans
Trade creditors
Amounts owed to College Members
Taxation and social security
Accruals and deferred income
Other creditors		 Trust for
Investment
£'000
9,794
-
-
9,794
136
-
-
-
-
-
136
-
-
-
136
9,930
-
-
9,930
Per		 Unapplied
Total
Return
£'000
-
8,270
-
8,270
-
-
-
360
28
(45)
(20)
323
(614)
-
(614)
(291)
-
7,979
-
7,979
2023
Group
£'000
371
68
-
636
38
1,113
2023
Group
£'000
600
416
169
214
525
704
2,628
manent Endowm		 Total
£'000
9,794
8,270
-
18,064
136
-
-
360
28
(45)
(20)
459
(614)
-
(614)
(155)
9,930
7,979
-
17,909
2022
Group
£'000
473
123
-
1,545
32
2,173
2022
Group
£'000
600
322
171
193
974
281
2,541
ent		 Expendable
Endowment
£'000
-
-
24,486
24,486
1,257
-
-
484
37
(60)
(13)
1,705
(787)
(104)
(891)
814
-
-
25,300
25,300
2023
College
£'000
248
68
-
571
33
920
2023
College
£'000
600
416
169
214
347
704
2,450		 Total
Endowments
£'000
9,794
8,270
24,486
42,550
1,393
-
-
844
65
(105)
(33)
2,164
(1,401)
(104)
(1,505)
659
9,930
7,979
25,300
43,209
2022
College
£'000
360
123
697
1,238
30
2,448
2022
College
£'000
600
322
171
192
608
281
2,174

34

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

16 CREDITORS: falling due after more than one year

Bank loans
Obligations under finance leases
Other creditors		 2023
Group
£'000
8,325
-
-
8,325		 2021
Group
£'000
8,925
-
-
8,925		 2023
College
£'000
8,325
-
-
8,325		 2022
College
£'000
8,925
-
-
8,925

Bank loans

(a) An unsecured new buildings bank loan originally for £6m is repayable at £300,000 per annum over 20 years from February 2010. The balance outstanding at the year-end is £2.025m of which £0.730m incurs interest at a fixed-rate of 3.7% per annum for the remainder of the loan term and £1.295m incurs interest at a fixed rate of 2.58% per annum above bank base rate.

(b) A further unsecured new buildings bank loan facility of £6m was agreed in June 2014 which was fully drawn down in the year ended at 31 July 2016. This is a term loan for a maximum of 10 years. £3m is repayable by final maturity in December 2024, the balance being repayable in 40 quarterly instalments with a balance outstanding at the year end of £3.9m. The interest has been fixed at 1.66% above base rate.

(c) A third unsecured loan of £3m was drawn down by July 2016. £1m of the loan was to repay the £1m bullet loan due for repayment in June 2016. The additional £2m covers the cost of the kitchen refurbishment project. This is a bullet loan where the entire capital balance was originally due in June 2021. This loan was refinanced in December 2019 and the capital balance now falls due in December 2024. The interest is fixed at 1.915%.

17 PROVISIONS FOR LIABILITIES AND CHARGES

At 31 July 2023 there were no provisions for liabilities and charges.

18 ANALYSIS OF MOVEMENTS ON FUNDS

(See note 34 e) for comparatives)
Endowment Funds - Permanent
General purpose funds
Tutorial and research fellowship funds
Student support funds
Other purpose funds
Endowment Funds - Expendable
General purpose funds
Tutorial and research fellowship funds
Student support funds
Other purpose funds
Total Endowment Funds - College
Endowment funds held by subsidiaries
Total Endowment Funds - Group
Restricted Funds
Buildings funds
Tutorial and research fellowship funds
Student support funds
Other restricted funds
Transfers from specific purpose endowments:
Applied total return
Other transfers
Total Restricted Funds - College
Restricted funds held by subsidiaries
Total Restricted Funds - Group
Unrestricted Funds
General funds
Fixed Asset Designated funds
Designated capital funds
Designated other funds
Revaluation reserve
Pension reserve
Total Unrestricted Funds - College
Unrestricted funds held by subsidiaries
Total Unrestricted Funds - Group
Total Funds		 At 1 August
2022
£'000
6,929
8,036
2,756
347
7,284
7,456
8,174
1,568
42,550
-
42,550
-
907
1,209
1,581
-
-
3,697
-
3,697
(336)
19,672
8,381
-
-
(3,938)
23,779
-
23,779
70,026		 Incoming
resources
£'000
138
296
55
7
145
222
831
543
2,237
-
2,237
4
498
396
1,720
-
-
2,618
-
2,618
12,270
-
166
-
-
-
12,436
-
12,436
17,291		 Resources
expended
£'000
(17)
(20)
(7)
(1)
(18)
(18)
(20)
(4)
(105)
-
(105)
-
(222)
(280)
(466)
-
-
(968)
-
(968)
(12,092)
(1,263)
(20)
-
-
1,203
(12,172)
-
(12,172)
(13,245)		 Transfers
£'000
(278)
(287)
(55)
(14)
(268)
(392)
(210)
(34)
(1,538)
-
(1,538)
(4)
34
-
-
-
-
30
-
30
143
1,696
(331)
-
-
-
1,508
-
1,508
-		 Gains/
(losses)
£'000
11
12
4
1
11
11
13
2
65
-
65
-
-
-
-
-
-
-
-
-
201
-
13
-
-
-
214
-
214
279		 At 31 July
2023
£'000
6,783
8,037
2,753
340
7,154
7,279
8,788
2,075
43,209
-
43,209
-
1,217
1,325
2,835
-
-
5,377
-
5,377
186
20,105
8,209
-
-
(2,735)
25,765
-
25,765
74,351

35

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

19 FUNDS OF THE COLLEGE DETAILS

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

Endowment Funds - Permanent: General purpose funds A consolidation of gifts and donations where income, but not capital, can be used for the general purposes of the charity Tutorial and research fellowship funds, student Capital balance of past donations where related income, but not the original capital, support funds and other purpose funds can be used for named specific purposes of the charity Endowment Funds - Expendable: General purpose funds A consolidation of gifts and donations where either income, or income and capital, can be used for the general purposes of the charity Tutorial and research fellowship funds, student Capital balance of past donations where related income, or income and capital, support funds and other purpose funds can be used for named specific purposes of the charity Restricted Funds: Tutorial and research fellowship funds, student A consolidation of gifts and donations where both income and capital can be support funds and other purpose funds used for named restricted purposes Designated Funds Fixed asset designated Unrestricted Funds which are represented by the fixed assets of the College and therefore not available for expenditure on the College's general purposes Designated capital funds Unrestricted Funds allocated by the Trustees for the purpose of preserving the capital and maintaining a long-term income stream in support of the College's activities Other designated funds Unrestricted Funds allocated by the Trustees for other purposes

The General Unrestricted Funds represent accumulated income from the College's activities and other sources that are available for the general purposes of the College

20 ANALYSIS OF NET ASSETS BETWEEN FUNDS

Tangible fixed assets
Property investments
Other investments
Net current assets
Pension deficit liability
Long term liabilities
Tangible fixed assets
Property investments
Other investments
Net current assets
Pension deficit liability
Long term liabilities		 Unrestricted
Funds
£'000
29,135
-
8,589
(899)
(2,735)
(8,325)
25,765
Unrestricted
Funds
£'000
29,301
-
6,929
412
(3,938)
(8,925)
23,779		 Restricted
Funds
£'000
-
-
-
5,377
-
-
5,377
Restricted
Funds
£'000
-
-
-
3,697
-
-
3,697		 Endowment
Funds
£'000
-
493
42,716
-
-
-
43,209
Endowment
Funds
£'000
-
-
42,550
-
-
-
42,550		 2023
Total
£'000
29,135
493
51,305
4,478
(2,735)
(8,325)
74,351
2022
Total
£'000
29,301
-
49,479
4,109
(3,938)
(8,925)
70,026

21 TRUSTEES' REMUNERATION

The trustees of the college comprise the governing body, primarily fellows who are teaching and research employees of the college and who sit on governing body by virtue of their employment.

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. Where possible, these salaries are paid on external scales and often are joint arrangements with the University of Oxford. The College has a Remuneration Committee. The role of the Committee is to act as an independent body to review and make recommendations to Governing Body on proposed changes to the level of remuneration and direct and indirect benefits for the Principal and Fellows of the College. The Committee consists of three individuals, only one of whom can be a Professorial Fellow, Supernumerary Fellow or other Fellow who does not receive pecuniary emolument from the College and at least two external members of the College whom the College's Governing Body believes would be suitable members of the Committee and who receive no remuneration of any kind from the College.

36

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

Trustees of the college fall into the following categories: Principal Official Fellows Professorial Fellows Supernumary Fellows Domus Fellows

There are five trustees (Principal, Treasurer, Development Director, Senior Tutor and Domestic Bursar) who work full time on management and fundraising.

Some trustees are eligible for college housing schemes. Eight trustees lived in college accommodation in the year. Others may be eligible for a housing allowance which is disclosed within the salary figures below. Details of trustees who live in houses owned jointly with the college are provided in note 30.

Some trustees receive additional allowances for additional work carried out as part time college officers (for example, Vice-Principal, Dean). These amounts are included within the remuneration figures below.

The total remuneration and benefits shown below is £1,677k (2022: £1,691k). The total of pension contributions is £307k (2022: £306k).

Remuneration paid to trustees

Range
£0 - £999
£1,000 - £1,999
£2,000 - £2,999
£3,000 - £3,999
£6,000 - £6,999
£7,000 - £7,999
£8,000 - £8,999
£10,000 - £10,999
£12,000 - £12,999
£15,000 - £15,999
£16,000 - £16,999
£17,000 - £17,999
£18,000 - £18,999
£19,000 - £19,999
£20,000 - £20,999
£21,000 - £21,999
£22,000 - £22,999
£23,000 - £23,999
£24,000 - £24,999
£25,000 - £25,999
£26,000 - £26,999
£28,000 - £28,999
£33,000 - £33,999
£35,000 - £35,999
£37,000 - £37,999
£38,000 - £38,999
£46,000 - £46,999
£51,000 - £51,999
£52,000 - £52,999
£59,000 - £59,999
£60,000 - £60,999
£62,000 - £62,999
£63,000 - £63,999
£64,000 - £64,999
£66,000 - £66,999
£73,000 - £73,999
£76,000 - £76,999
£92,000 - £92,999
£93,000 - £93,999
£94,000 - £94,999
£101,000 - £101,999
£102,000 - £102,999
£103,000 - £103,999
£106,000 - £106,999
£110,000 - £110,999
£116,000 - £116,999
Total		 9
0
1
1
1
1
2
1
1
1
0
0
1
2
1
2
1
1
0
0
14
1
0
0
1
0
1
1
1
0
0
1
1
1
1
1
0
0
0
0
2
1
0
1
1
0
55
Number of
Trustees/Fellows		 62,621
0
364,934
7,084
6,413
0
202,178
1,676,922
2,991
28,166
38,650
15,083
0
0
12,085
37,628
0
22,815
0
0
46,218
18,160
23,792
20,823
73,431
64,814
63,871
£
2023
Gross remuneration, taxable
benefits and pension
contributions
10,046
42,728
0
52,907
2,363
3,292
16,487
0
51,434
0
0
0
66,662
102,923
106,081
110,242
0
0
0
0		 8
0
1
0
0
0
0
0
0
0
2
1
2
0
1
1
1
0
9
2
0
3
1
1
1
1
1
0
2
1
1
1
0
0
0
1
1
1
2
0
1
1
48
Number of
Trustees/Fellows		 0
0
33,415
37,006
0
116,621
1,691,697
0
22,416
0
0
0
50,364
0
85,264
0
223,352
51,426
37,567
38,486
0
35,282
33,834
20,304
21,968
17,620
0
0
62,476
119,994
63,766
0
92,741
76,018
£
2022
0
2,452
Gross remuneration, taxable
benefits and pension contributions
3,260
93,294
188,645
0
0
0
0
0
103,371
60,755
0

37

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

Other transactions with trustees

Fellows also receive reimbursement of personal expenses necessarily incurred in connection with their services to the College as Trustees. During the year a total of £nil (2022: £nil) was reimbursed to zero (2022: zero) of the Trustees.

See also note 30 Related Party Transactions

Key management remuneration

The total remuneration, including pension contributions, paid to key management was £535k (2022: £603k)

Key management are considered to be the College Officers: Principal (appointed 1 October 2022) Vice Principal Treasurer Development Director (resigned 17 August 2023, appointed 19 June 2023) Senior Tutor Tutor for Graduates Domestic Bursar

22 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 each scheme are held in separate trustee-administered funds. USS and OSPS are contributory mixed benefit schemes (i.e. they provide benefits on a defined benefit basis – based on length of service and pensionable salary – and on a defined contribution basis – based on contributions into the scheme). Both are multi-employer 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 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 USS and OSPS defined benefits 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 March 2020 31 March 2022
Date valuation results published: 30 September 2021 27 June 2023
Value of liabilities: £80.6bn £914m
Value of assets: £66.5bn £961m
Funding surplus / (deficit): (£14.1bn) £47m
Principal assumptions:
Fixed Interest gilt yield curve plus
· Discount rate 1%-2.75% a Gilts +0.5%-2.25% b
· Rate of increase in salaries n/a RPI
· Rate of increase in pensions CPI+0.05%c Average RPI/CPId
Assumed life expectancies on retirement at age 65:
· Males currently aged 65 24.0 yrs
· Females currently aged 65 25.6 yrs
· Males currently aged 45 26.0 yrs
· Females currently aged 45 27.4 yrs
Funding Ratios:
· Technical provisions basis 83% 105%
· Statutory Pension Protection Fund 64% 98%
· ‘Buy-out’ basis 51% 62%
Recommended employer’s contribution rate (as
21.4% to 21.6% from		 19% down to 16.5% for DB
% of pensionable salaries): 01/04/2022 members from 1 Oct 23
Effective date of next valuation: 31 March 2023 31 March 2025

38

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

a. The discount rate (forward rates) for the USS valuation was:

Fixed interest gilt yield curve plus: Pre-retirement 2.75%, post-retirement 1.00%

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 1.1% p.a. to 2030, reducing linearly by 0.1% p.a. to a long term difference of 0.1% p.a. from 2040.

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. pre-2030 and 0.1% p.a. post-2030).

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.

Sensitivity of actuarial valuation assumptions

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

USS
Assumption
Initial pre-retirement discount rate
Post-retirement discount rate
CPI
Life expenctancy
Rate of mortality
OSPS
Assumption
Valuation rate of interest
Rate of pension increases		 increase by 0.25%
decrease by 0.1%
decrease by 0.25%
Change in assumption
more prudent assumption
(reduce the adjustment to the
base mortality table by 5%)
Change in assumption
increase by 0.25%
more prudent assumption
(increase the annual mortality
improvements long-term rates
by 0.2%
decrease by 0.25%		 decrease by £1.5bn
increase by £1.2bn
increase by £0.6bn
Impact on USS liabilities
decrease by £1.3bn
Impact on OSPS technical
provisions
increase by 2% of pensionable
salaries
increase by 1.5% of
pensionable salaries
increase by £2.8bn

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 principle assumptions used in these calculations are tabled below:

2022 / 23 2022 / 23 2021 / 22 2021 / 22
OSPS USS OSPS USS
Finish Date for Deficit Recovery Plan 30/09/2023 31/03/2038 30/01/2028 31/03/2028
Average staff number increase 0% 0% 0% 0%
Average staff salary increase 4.00% 4.00% 4.00% 4.00%
Average discount rate over period 5.49% 5.49% 3.19% 3.34%
Effect of 0.5% change in discount rate £24k £102k £24k £116k
Effect of 1% change in staff growth £55k £204k £55k £258k

A provision of £2,735k has been made at 31 July 2023 (2022: £3,938k) 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

39

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

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:

----- Start of picture text -----
Scheme 2023 2022
£000's £000's
Universities Superannuation Scheme 583 537
University of Oxford Staff Pension Scheme 402 327
Other schemes – contributions 14 19
Total 999 883
----- End of picture text -----

These amounts include £231k (2022: £166k) contributions payable to defined contribution schemes at rates specified in the rules of those plans.Included in other creditors and accruals are pension contributions payable of £130k (2022: £105k).

23 TAXATION

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 liability to corporation tax arises in the College's subsidiary companies because the directors of these companies have indicated that they intend to make donations each year to the College equal to the taxable profits of the company under the Gift Aid scheme. Accordingly no provision for taxation has been included in the financial statements.

24 FINANCIAL INSTRUMENTS

There are no items held at fair value within the financial statements.

25
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 current asset investments
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
26
ANALYSIS OF CASH AND CASH EQUIVALENTS
Cash at bank and in hand
Notice deposits (less than 3 months)
Bank overdrafts
Total cash and cash equivalents
27
ANALYSIS OF CHANGES IN NET DEBT
Cash
Cash Equivalents
Loans Falling due within one year
Loans falling due after more than one year
Total		 At 1 August
2022
1,381
2,941
(600)
(8,925)
(5,203)		 2023
Group
£'000
4,325
(1,010)
(279)
(1,393)
1,263
(1)
1,587
4
1,060
87
-
(1,203)
4,440
2023
£'000
4,496
-
-
4,496
Cash flows
3,115
(1,587)
-
600
2,128		 2022
Group
£'000
(953)
(824)
(484)
(1,397)
1,276
-
(650)
2
(1,461)
797
-
2,206
(1,488)
2022
£'000
1,381
-
-
1,381
At 31 July 2023
4,496
1,354
(600)
(8,325)
(3,075)

28 FINANCIAL COMMITMENTS At 31 July 2023 the College had no annual commitments under non-cancellable operating leases (2022: nil).

40

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

29 CAPITAL COMMITMENTS

The College had no capital commitments at 31 July 2023.

30 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.

Included within income for the year is an amount of £93k (2022: £nil) relating to services donated by Trustees who donated an element of their remuneration for the year.

The College has properties with the following net book values owned jointly with trustees under joint equity ownership agreements between the trustee and the College.

Trustee
Prof J Goicoechea
Prof N Hankins
Prof BT Huffman
Prof R Harding
Prof H Scott
Total net book value of properties owned jointly with trustees		 2023
£'000
-
86
94
257
-
437		 2022
£'000
112
90
97
264
182
745

All joint equity properties are subject to sale on the departure of the trustee from the College. Two Fellows left College during the year and interest on the Joint Equity is being charged at Newbury Building Society variable rates until the sales are completed.

31 CONTINGENT LIABILITIES

There are no contingent liabilities which require disclosure.

32 POST BALANCE SHEET EVENTS

There are no post balance sheet events that require disclosure.

33 OTHER INCOME

Other income relating to interest received on cash balances in the year was £238k. (2022: £1k)

41

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

34 ADDITIONAL PRIOR YEAR COMPARATIVES

a) Consolidated Statement of Financial Activities For the year ended 31 July 2022 (See SOFA for current year)

Notes
INCOME AND ENDOWMENTS FROM:
Charitable activities:
Teaching, research and residential
1
Public worship
Heritage
Other Trading Income
3
Donations and legacies
2
Investments
Investment income
4
Total return allocated to income
13
Other income
33
Total income
EXPENDITURE ON:
Charitable activities:
Teaching, research and residential
5
Public worship
Heritage
Generating funds:
Fundraising
Trading expenditure
Investment management costs
Total Expenditure
Net Income/(Expenditure) before gains
Net gains/(losses) on investments
10, 11
Net Income/(Expenditure)
Transfers between funds
18
Other recognised gains/losses
Gains/(losses) on revaluation of fixed assets
Actuarial gains/(losses) on defined benefit pension schemes
Net movement in funds for the year
Fund balances brought forward
18
Funds carried forward at 31 July
b)
Property Investments
For the year ended 31 July 2022 (See note 10 for current year)
Group & College
Valuation at start of year
Additions and improvements at cost
Disposals
Revaluation gains/(losses) in the year
Valuation at end of year		 Unrestricted
Funds
£'000
7,744
-
-
655
605
145
1,367
49
10,565
12,236
-
-
580
629
21
13,466
(2,901)
55
(2,846)
6
-
-
(2,840)
26,619
23,779
Agricultural
£'000
-
-
-
-
-		 Restricted
Funds
£'000
-
-
-
-
1,751
-
-
-
1,751
868
-
-
-
-
-
868
883
-
883
28
-
-
911
2,786
3,697
Commercial
£'000
-
-
-
-
-		 Endowed
Funds
£'000
-
-
-
-
1,397
679
(1,367)
-
709
-
-
-
-
-
128
128
581
429
1,010
(34)
-
-
976
41,574
42,550
Other
£'000
1,775
-
(1,775)
-
-		 2022
Total
£'000
7,744
-
-
655
3,753
824
-
49
13,025
13,104
-
-
580
629
149
14,462
(1,437)
484
(953)
-
-
-
(953)
70,979
70,026
2022
Total
£'000
1,775
-
(1,775)
-
-

42

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

c) Parent and Subsidiary Undertakings

For the year ended 31 July 2022 (See note 12 for current year)

The results and their assets and liabilities of the parent and subsidiaries at the year ended 31 July 2022 were as follows.

Income
Expenditure
Donation to College under gift aid
Result for the year
Total assets
Total liabilities
Net funds at the end of year		 £'000
655
(250)
(405)
-
1,039
(634)
405
LMH
Hospitality
Services Ltd		 £'000
-
-
-
-
29
(37)
(8)
LMH Trading Ltd

d) Statement of Investment Total Return For the year ended 31 July 2022 (See note 13 for current year)

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 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		 Trust for
Investment
£'000
9,767
-
-
9,767
27
-
-
-
-
-
27
-
-
-
27
9,794
-
-
9,794
Per		 Unapplied
Total
Return
£'000
-
8,521
-
8,521
-
-
-
311
117
(45)
(20)
363
(614)
-
(614)
(251)
-
8,270
-
8,270
manent Endowm		 Total
£'000
9,767
8,521
-
18,288
27
-
-
311
117
(45)
(20)
390
(614)
-
(614)
(224)
9,794
8,270
-
18,064
ent		 Expendable
Endowment
£'000
-
-
23,285
23,285
1,370
-
-
368
312
(83)
(13)
1,954
(667)
(86)
(753)
1,201
-
-
24,486
24,486		 Total
Endowments
£'000
9,767
8,521
23,285
41,574
1,397
-
-
679
429
(128)
(33)
2,344
(1,281)
(86)
(1,367)
977
9,794
8,270
24,486
42,550

43

LADY MARGARET HALL Notes to the financial statements For the year ended 31 July 2023

e) Analysis of Movements on Funds

For the year ended 31 July 2022 (See note 18 for current year)

Endowment Funds - Permanent
General purpose funds
Tutorial and research fellowship funds
Student support funds
Other purpose funds
Endowment Funds - Expendable
General purpose funds
Tutorial and research fellowship funds
Student support funds
Other purpose funds
Total Endowment Funds - College
Endowment funds held by subsidiaries
Total Endowment Funds - Group
Restricted Funds
Buildings funds
Tutorial and research fellowship funds
Student support funds
Other restricted funds
Transfers from specific purpose endowments:
Applied total return
Other transfers
Total Restricted Funds - College
Restricted funds held by subsidiaries
Total Restricted Funds - Group
Unrestricted Funds
General funds
Fixed Asset Designated funds
Designated capital funds
Designated other funds
Revaluation reserve
Pension reserve
Total Unrestricted Funds - College
Unrestricted funds held by subsidiaries
Total Unrestricted Funds - Group
Total Funds		 At 1 August
2021
£'000
7,050
8,129
2,760
353
7,240
7,249
7,721
1,072
41,574
-
41,574
-
872
1,142
772
-
-
2,786
-
2,786
90
19,756
8,505
-
-
(1,732)
26,619
-
26,619
70,979		 Incoming
resources
£'000
120
165
47
6
96
544
578
520
2,076
-
2,076
4
331
312
1,104
-
-
1,751
-
1,751
9,053
-
145
-
-
-
9,198
-
9,198
13,025		 Resources
expended
£'000
(17)
(20)
(7)
(1)
(44)
(18)
(19)
(2)
(128)
-
(128)
-
(329)
(244)
(295)
-
-
(868)
-
(868)
(12,513)
1,274
(21)
-
-
(2,206)
(13,466)
-
(13,466)
(14,462)		 Transfers
£'000
(269)
(290)
(62)
(13)
(217)
(366)
(156)
(28)
(1,401)
-
(1,401)
(4)
33
(1)
-
-
-
28
-
28
3,034
(1,358)
(303)
-
-
-
1,373
-
1,373
-		 Gains/
(losses)
£'000
45
52
18
2
209
47
50
6
429
-
429
-
-
-
-
-
-
-
-
-
-
-
55
-
-
-
55
-
55
484		 At 31 July
2022
£'000
6,929
8,036
2,756
347
7,284
7,456
8,174
1,568
42,550
-
42,550
-
907
1,209
1,581
-
-
3,697
-
3,697
(336)
19,672
8,381
-
-
(3,938)
23,779
-
23,779
70,026

44