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2021-08-31-accounts

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

GOVERNORS’ REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

Pages for filing

Charity Number: 1143359

Company Registered Number: 07724623

Registered in England

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

INDEX TO THE GOVERNORS’ REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

Page
Governors, Officers and Advisers 1 - 2
Governors’ Annual Report, including Strategic Report 3 - 25
Independent Auditor’s Report 26 - 28
Consolidated Statement of Financial Activities 2021 29
Consolidated Statement of Financial Activities 2020 30
Consolidated and Charitable Company Balance Sheets 31
Consolidated Cash Flow Statement 32
Charity Cash Flow Statement 33
Notes to the Financial Statements 34 - 58

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

GOVERNORS, DIRECTORS AND CHARITY TRUSTEES

The Governors of Lord Wandsworth College (“the College”) are the charity trustees under Charity Law and the directors of the charitable company. The members of the Governing Body who served in office as Governors during the year and subsequently and their committee memberships are detailed below:

R J Hannington (Chairman) - a), d), f)

D W Watts (Vice Chairman) - f), i)

A E Britton – c)

C J Cazenove - c), e), f)

S A Clements - b), e), f)

L Fleming - b), c), f)

N C Goulding - a), g), h)

D Gowan - a), d), f), g), i)

R Henshilwood – d), e)

R G Janaway - a), d), i)

A J Kennedy - b)

T R Prideaux - b), e), f), i) (retired 15[th] January 2021)

J P Robinson – a) M S E Scoggins – c)

During the year the activities of the Governing Body were conducted through 6 committees noted on page 4, as well as through the Stern Farm Trustees.

GOVERNING BODY AND COLLEGE OFFICERS – KEY MANAGEMENT PERSONNEL

A J Williams, MA Headmaster B W Bennett Chief Operating Officer/Clerk to the Governors (appointed 25[th] January 2021)

OTHER KEY MANAGEMENT PERSONNEL

A J Battison Senior Deputy Head S L Badger, MA Deputy Head J J Davies Deputy Head P D German Director of Admissions and Marketing S Corfield Fundraising Director T Rimmer Head of Sixth Form

PRINCIPAL ADDRESS AND REGISTERED OFFICE

Lord Wandsworth College, Long Sutton, Hook, Hampshire, RG29 1TB

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

Advisers

Investment Advisers Quilter Cheviot Limited Senator House 85 Queen Victoria Street London EC4V 4AB Sarasin & Partners LLP Juxon House 100 St. Paul’s Churchyard London EC4M 8BU Bankers Lloyds Bank Plc 174 Fleet Road Fleet Hampshire, GU51 4DD Solicitors Charles Russell Speechlys LLP One London Square Cross Lanes Guildford Surrey GU1 1UN Accountancy and Tax Advice RSM UK Tax and Accounting Limited Highfield Court, Tollgate Chandlers Ford Eastleigh Hampshire, SO53 3TY Auditors RSM UK Audit LLP Highfield Court, Tollgate Chandlers Ford Eastleigh Hampshire, SO53 3TY Insurance Brokers Marsh Limited Capital House 1-5 Perrymount Road Haywards Heath West Sussex, RH16 3SY

WEBSITE www.lordwandsworth.org

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

The members of the College Governing Body present their Annual Report for the year ended 31 August 2021 under the Charities Act 2011, including the Governors’ and Strategic Reports, under the Companies Act 2006, together with the audited financial statements for the year.

REFERENCE AND ADMINISTRATIVE INFORMATION

The College was founded in 1912, is constituted as a company limited by guarantee registered in England & Wales, No 07724623 and registered with the Charity Commission, No 1143359. Details of the members of the Governing Body, together with the College’s officers and principal advisers, are given on pages 1 and 2.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing documents

The College is organised and managed in accordance with the Articles of Association incorporated on 1 August 2011.

GOVERNING BODY

The Governors, who are also the Directors and Charity Trustees are legally responsible for the overall management and control of the College, normally meet four times a year. The work of detailed formulation and implementation of most of their policies is carried out by members of the Finance Committee, who meet approximately two weeks before each meeting of the Governing Body, and by other executive subcommittees. The Chairman of Governors is a member of the Finance Committee.

Governors are appointed at a meeting of the College Board of Governors on the basis of nominations received from the Governors and Headmaster, specifying the candidates’ professional qualities, experience, personal competence and availability. The appointment of new Governors takes care to ensure that the relevant skills and experience are represented and current Governors bring a great depth of experience in charity work, education, finance, legal, health, safeguarding and building/property development. The Governing Body is self-appointing, with members appointed initially for five years in accordance with AGBIS guidelines, and subject to re-appointment every three years thereafter.

The Governors receive no remuneration or other benefit from their role with the College, nor are they directly related to the College in any way. Any matters involving connections between Governors and College staff or beneficiaries, or indeed any interests, such as contractual relationships with a related party, must be disclosed to the full Board and registered in the Interests Register held in the College.

RECRUITMENT AND TRAINING OF GOVERNORS

New Governors are comprehensively inducted into the workings of the College, including Governing Body policy and procedures, at an induction workshop organised for them by the Head and Clerk to the Governors. The new Governors also attend specialist external courses, including training on the role and responsibilities of trustees. Governors attend external trustee training and information courses designed to keep them informed and updated on current issues in the sector and on regulatory requirements. They also benefit from in-house training opportunities, spending time with staff and pupils and meetings with the Headmaster.

Organisation and Leadership

The members of the Governing Body, as the charity trustees, are legally responsible for the overall management and control of the College. They meet four times a year. The work of implementing their policies is carried out by eight sub-committees, of which the following six are key (the Finance Committee is assisted by Enterprise Directors and Pensions Trustees who convene separately):

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021 (Continued)

Organisation and Leadership (Continued)

The day to day running of the College is delegated to the Headmaster, Mr Adam Williams, and the Chief Operating Officer (COO), Mr Barry Bennett (who also served as Clerk to the Governing Body), supported by the Headmaster’s Senior Leadership Team; both attend meetings of the Governing Body and all other governor sub-committees. The role of COO and Clerk to the Governors was gapped from 1[st] September 2020 until 25[th] January 2021. During this period the role was covered by the COO’s Deputies notably; Operations, Estates and Finance, together with the Headmaster.

College Structure and Relationships

Until 1976, the Foundation ran the College but, in order to protect the assets of the Foundation in the light of the Government’s stance on independent schools at the time, the College activities were separated from the Foundation. Between 1976 and 2011, the College and the Foundation operated separately. In 2011, having considered all the factors, the respective Governors/Trustees of the College/Foundation decided it would be in the best interests of both entities if the activities of the two re-merged. A new charitable company, Lord Wandsworth College, company number 07724623, registered charity number 1143359, was established on 15 August 2011. The College provides means-tested financial and material assistance to pupils of the College, including to those pupils known as Foundationers who meet specific criteria; and, it awards scholarships and prizes based on assessed merit and is trustee of the permanently endowed land and investments. With effect from 1[st] August 2013, the Charity Commission approved the linking of The Lord Wandsworth College charity and The Lord Wandsworth Foundation to Lord Wandsworth College, with registration numbers 1143359-001 and 1143359-006. The reporting entity is Lord Wandsworth College which has two wholly owned non-charitable subsidiaries, LWC Enterprises Limited and Stern Farms Limited, and is the Corporate Trustee to two charitable subsidiaries, Lord Wandsworth Foundation and Lord Wandsworth College. The trading activities of LWC Enterprises Limited primarily comprise letting of campus facilities when not in use by the College. The principal trading activity of Stern Farms Limited is arable farming.

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021 (Continued)

Employment

The College is an equal opportunities employer. Consultation with employees, or their representatives, has continued at all levels with the aim of taking the views of employees into account when decisions are made that are likely to affect their interests. Employees are made aware of the financial and economic performance of the College. Communication with employees continues through normal management channels in a variety of forms and also to apprise staff of current issues. Remuneration is set by the Board, with the objective of enhanced performance and of rewarding fairly and responsibly our employees’ contribution to College success. The appropriateness and relevance of remuneration is reviewed annually, including reference to comparisons with other schools to ensure that the College remains sensitive to the broader issues of remuneration and employment conditions elsewhere. The College aims to recruit teachers, subject to experience, at the lower to medium point within a band, providing scope for rewarding competence and experience. Delivery of the College’s charitable vision and purpose is primarily dependent on its Senior Leadership Team and on all staff, the costs of whom are the largest single element of charitable expenditure. Due to the uncertainty of the COVID-19 pandemic, the College made use of the Government’s Job Retention Scheme during the period.

Disabilities

The College encourages applications from disabled persons, makes adjustments to application and interview processes accordingly, and supports staff who become disabled through the course of their employment via reasonable workplace adjustments and access to continuous professional development and staff training.

INVESTMENT POLICY AND OBJECTIVES

The College’s investment objectives are focused upon supporting the College’s Charitable Objects. This involves emphasis upon the current and future needs by: maintaining (at least) the value of the investments in real terms; producing a consistent and sustainable amount to support expenditure; and, delivering these objectives within acceptable levels of risk. Specific investment objectives are set for the Endowment Fund, Foundationers’ Fund, Capital Fund, and for the College’s surplus liquidity. The income from the Foundationers’ Fund helps finance grant-making activities to Foundationers. The investment strategy and associated distribution policy are reviewed annually by The Finance Committee. Investments are only those considered suitable for a charity, including in respect of social, environmental or ethical considerations, and external investment managers provide reports on a quarterly basis for review by The Finance Committee. Performance is monitored by the Finance Committee.

OBJECTS, ACTIVITIES AND PUBLIC BENEFIT

Charitable Objects

The Charitable Objects are the advancement of education by maintaining and conducting a boarding and day school or schools (including that known as Lord Wandsworth College) for boys and girls for their primary and secondary education with preference for children who have lost one or both parents or whose parents are separated or divorced, including awarding scholarships and prizes based on assessed merit; and, providing bursaries on the grounds of means-tested financial need to pupils of the School or any other school maintained or conducted by the School.

College Mission

Lord Wandsworth College is a socially inclusive, non-denominational boarding and day foundation school for boys and girls. It focusses on the needs of each individual, while developing in each child a concern for others and a loyalty towards the College community. It ensures that each pupil shapes their values and aspirations within a stimulating and supportive environment, and strives constantly to improve the quality of teaching and learning.

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

(Continued)

Intended Impact (of the College Mission)

Lord Wandsworth College pupils will have the character attributes of passion, resourcefulness, independence, skills, knowledge and qualifications so they can become the best possible version of themselves and make a valuable contribution to a changing world.

Primary Objectives

The focus has continued to be the advancement of education in a boarding and day school for pupils aged 11-18, with foundation support for children who have lost the support of one or both parents or whose parents are separated or divorced. The College strives: to deliver the best possible academic outcomes for pupils; to engage with the wider community; to promote the College’s distinctive boarding ethos; to continue to develop Public Benefit through, for example, access to education and facilities; and, to develop the involvement of pupils in cocurricular activities. In doing so, the College has developed a Strategic Vision, which reinforces its approach to promoting boarding, developing character education, extending pupil voice and focusing upon improved standards of teaching and learning, and the associated facilities. To fulfil these aims, it is striving to:

The College’s subsidiaries seek to facilitate the achievement of the College’s objectives.

Principal Activity

The College’s principal activity, as specified in the Memorandum of Association, is the advancement of education and, in this, the College has again had a successful year. The College provides secondary education to boys and girls aged 11-18 years, both boarding and day. In September 2020 there were 644 pupils at the College of whom 51% (2020: 59%) board in some capacity, 39% (2020: 38%) were girls and 7% (2020: 7%) were from overseas. Waiting lists exist, thus providing a measure of confidence that the College can continue to operate at full capacity for the foreseeable future. This success is a result of the resolve to maintain the high standards for which the College is known.

Public Benefit

The Governors give careful consideration to the Charity Commission’s guidance on Public Benefit. The Governors are content that the Charitable Objects are being followed and that significant Public Benefit is being achieved by the College. The College remains committed to the aim of providing Public Benefit in accordance with its founding principles and the disclosure of its Public Benefit aims. The Governors have complied with the duty in section 17 of the Charities Act 2011.

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021 (Continued)

Scholarships

This year the value of scholarships and prizes awarded to pupils amounted to £490,705 (2020: £467,207). Scholarships are awarded on the basis of merit and selection is by examination, interviews and assessments in each individual field: academic, sport, performing arts, art and character.

Foundation Bursaries

The awarding of bursaries for ‘the needy’ is a measurable means of providing Public Benefit. Bursaries are awarded to Foundationers in accordance with the Objects, specifically selection criteria that focus upon:

Priority is given to children who have lost a parent through death and meet the above criteria to the fullest extent. This year the College supported forty six Foundationers at a cost of £878,864 (2020: £663,261). These pupils are from diverse backgrounds; some have been bereaved, some have parents with significant health problems and are carers themselves; others are living in kinship care with members of extended family. Several have been witness to or have survived domestic abuse or violence. The College works with partners who make referrals and it continues to offer means-tested support.

This year the College was delighted to win the Boarding Schools’ Association’s award for Looking After Vulnerable Children.

Community Outreach Activities

In addition to providing means-tested bursaries for Foundation pupils, the College provides Public Benefit through an extensive range of additional activities in accordance with the Objects. Examples of the types of benefit accessible to the wider community are: helping to train teachers; the commitment of teaching staff as external and chief examiners; providing facilities to local schools/community groups. Our leading musicians perform, Covid allowing, with county-level orchestras and in more normal times various external groups are supported by the loan of specialist material, such as instruments from the Music Department.

Plans for action within the local community had to be significantly revised due to Covid. Unfortunately, that meant that visits previously arranged to vulnerable groups had to be cancelled. Pupils had been engaging in a number of projects within the local community, such as visiting support offered at Bentley Lodge Care Home, helping out in the Long Sutton community, and volunteering at Treloar’s College, Alton, one of the country's leading providers of education, care and therapy for disabled young people. The Digital Workshop also had to be cancelled. We planned to extend the Workshop Day and offer it to a number of other schools but were unable to do so because of Covid-19. It is hoped we can do so this coming year. LWC continued its collaboration with the University of Surrey and Red Hat in running the Open Source coding Competition for well over 140 schools and 1000 children. The good news is that through the ‘Make me Smile’ letter writing initiative many letters were sent to the Bentley Lodge Care home and were delightedly received.

Sadly the new addition to our Outreach programme, Sailability, helping disabled students learn to sail was also hit by Covid-19. It is hoped this initiative will run again next Summer term. We did manage to run various collections of second-hand clothes and kit. We sent a car load of mainly men’s clothing to Care 4 Calais. We had planned to take students over to the camp for a weekend but this proved impossible. In addition, we appealed for second hand sports shoes, in particular rugby boots. The Harris Academy in South Norwood had started a girls’ rubgy team but were having to play in their school shoes. They were delighted to receive a car full of shoes roundly padded out by second-hand rugby tackling padding and other equipment. There was barely room for the driver!

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

(Continued)

As well as providing College resources and facilities, many national and local charities have been supported including of late the food banks at Alton and Basingstoke, Miller's Ark, UNICEF Children in Yemen, Mary's Meals, Wear it Pink, Movember, Macmillan Coffee Morning, Just Like Us, akt, Mind Out, Robbie's Rally, the school charity of the year, CALM, as well as the ongoing partnership with Egyei Krom School in Ghana. Pupils' awareness of and compassion for those in need was evident in their boarding houses. Our annual participation in the Devizes to Westminster canoe race had to change somewhat and a school canoeing expedition was organised instead. This still managed to raise significant funds for the charity of each pupil's choice. Selling Krispy Kremes has been another popular way to raise funds for the school charity.

Volunteering

Volunteers help the College to achieve its objectives in many areas including the Duke of Edinburgh Award Scheme, the Combined Cadet Force, sport and the Friends of Lord Wandsworth College, which organises fundraising and social events during the year. The Governors express their thanks and appreciation for this work in the furtherance of the Objects, and they are, of course, volunteers themselves in their governance of these.

Provision of Facilities and Expertise

The College is renowned for some of the best facilities in the local area and these are made available to a wide range of users for the advancement of sport, education, health and development. Our swimming facilities are used by Long Sutton Primary School, St Mary ’ s Primary School (Bentworth), Wey Kayak Club and four local swimming clubs (Farnham, Hart, Rushmoor and Reading Royals). Also, the Dive Ability charity use the pool for teaching disabled people to scuba dive. Hampshire Hockey and Hampshire Cricket Board regularly use a range of our facilities. Two local junior football clubs, Hartley Wintney and Manor Colts, along with Alton Hockey Club, all make use of our astro and football pitches, while six local cricket clubs (Odiham & Greywell, Alton, Hartley Wintney, Farnham, Yateley and Medstead) use our wide-ranging cricket facilities. Also, three local running clubs (Hart, Sandhurst and Fleet & Crookham) stage cross-country events in the woodland and surrounding landscape, while the 8th Alton Scout Group also use these areas for camping activities.

STRATEGIC REPORT

Achievements and Performance

Achievements in the College are in many ways unquantifiable, being as they are so closely related to the holistic development of the rounded pupils who spend several years at the College. That said, the College benchmarks its performance closely against key sector performance indicators, including academic outcomes. The emphasis here is on inclusiveness; the needs of each individual child; engendering concern for and loyalty towards others, and ensuring that pupils shape their own values; striving always to improve teaching and learning; equipping pupils with appropriate character attributes, and finally becoming an opinion-forming school. The College is making considerable headway in all of these areas. Non-denominational, the College fosters the intellectual, moral and spiritual development of all the young people in its care. It seeks to ensure that each pupil realises their full potential within a stimulating environment which emphasises concern for others. The College educates children from a diverse range of backgrounds and seeks to develop to the maximum the skills and abilities of every member of its community: pupils, teachers and business staff.

The College is organised into eight boarding houses, one co-ed Junior House (years 7 & 8) and seven single gender senior houses. The boarding houses remain central in the pastoral support of the pupils with houseparents, tutors and matrons offering excellent pastoral care. The College is assisted by a chaplain and a health centre including a counsellor who offers support to the pupils. The demand for counselling continues to increase year on year and the College has attracted external funding for the provision of counselling services to Foundationers. The College delivers academic lessons Monday to Friday and offers a series of academic clinics on Saturday morning to stretch those that require it and to allow others an opportunity to consolidate and catch-up. This has been widely recognised by the pupil body as a significant improvement to their lives.

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

(Continued)

The College engenders an appetite for learning, encourages self-discipline and pupil independence, as well as self-motivated enquiry and personal responsibility. Its strong tutorial and pastoral care gives appropriate and individual support and guidance. Through this it encourages understanding and tolerance of others, with a strong focus upon co-curricular activities and working with the wider community. Part of the approach is to ensure that all staff and pupils are aware of the bursaries and the support offered to Foundationers and that this reflects the College's distinctive boarding ethos.

All exam results this year were achieved through Teacher Assessed Grades. Exam pupils sat a range of assessments that reflected the content studied and the variety of assessment methods used by individual subjects. Heads of Department and teachers set, marked, moderated, and graded all pupils, with most pupils sitting 5 assessments in every subject. A number of safeguards were also put in place to ensure that pupils had the best possible chance to perform, including full access arrangements for every in-class assessment and the opportunity to sit an additional paper if the teacher felt that the pupil met specific criteria with regard to their performance in one of the assessments. At both A Level and GCSE, a robust process was in place to ensure that departmental and whole-school results were ‘optimistically realistic’. All analysis that follows in this paragraph should bear in mind that this year’s results are again somewhat anomalous. Last year, grades were produced without pupils sitting any formal exams, whereas this year’s grades are the result of the rigorous process set out above. At A Level, 56% of grades were at A/A, with 27 pupils achieving straight As and As. Some 71% of leavers again went to their first-choice university, a significant increase on 2019. Cumulative A*-B was 78.7%. At GCSE, results were again high. Some 87% achieved the 9-5 grades. 10 pupils achieved at least 8 grade 9s. 24 pupils achieved straight 9-7 grades, with those continuing at LWC awarded honorary academic scholarships. Whilst many departments performed admirably, of particular note at GCSE were the successes in the larger departments of Art, English, Maths, Physics, Biology and Chemistry. Mandarin and Astronomy results were also excellent, especially since pupils studied for these enrichment subjects outside the normal timetable. At A Level, departments that performed particularly well included Chemistry, French, Physics, Politics, as well as the smaller departments of Latin, Music and Design.

The most significant impact on teaching and learning for a second consecutive year was the Covid-19 pandemic, but we can again be rightly proud of the College’s robust, innovative, and successful response that ensured all classes were taught and able to progress. The College again moved quickly to using Microsoft Teams to conduct lessons and OneNote to share and mark lesson content/pupil work, improving significantly on our provision through excellent sharing of good practice amongst teachers. Heads of Department and teachers responded admirably to a complex situation with pupils seated in rows and masked during the first term, working from home in the second until March, and then combining the numerous demands of preparing exam pupils for TAGs and then marking and moderating them, alongside delayed exam sessions for 1st, 2nd, 3rd, 4th and L6, that had to be slotted into the summer term around the 5-week TAG process.

At Key Stage 3, the College’s First- and Second-Form pupils continue to respond positively to the restructured curriculum, with greater emphasis on subject-specific skills taught through topic-specific content. Second-Form pupils also selected options for study in Third Form, in advance of the new, slimmed-down 3rd-Form curriculum starting in September. This new curriculum offers the same breadth but reduces the number of subjects studied from 15/16 to 10/11, giving all subjects significantly more classroom time.

The Fourth-Form cohort have been robustly taught during the second-term lockdown, with pupils’ work again coming under far greater scrutiny than would normally be the case, as every page of their work is visible on OneNote. We again noted a number of mental health concerns and have worked together with the safeguarding team to ensure that all pupils are supported. We await confirmation from JCQ about the changes to next year’s GCSEs to take account of lockdown to review and modify our teaching over the coming year. At A Level, the Lower-Sixth pupils have continued to prepare for their exams next year. The College awaits JCQ guidance as to how the exams will be amended to take account of lockdown issues. The College were able to run a full set of inschool mock exams, offering initial predictive data for A-Levels and useful if the College should undergo a further lockdown next year.

Although the year has generated a number of challenges, the College has continued to innovate in terms of its curriculum offering and are looking forward to the introduction of two new BTecs (Creative Digital Media and Enterprise and Entrepreneurship) as well as a new A Level in Photography, and the successful implementation of the new Third-Form curriculum.

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

(Continued)

Spiritual, Moral, Social and Cultural education

This is embedded into school life and linked to school and house assemblies, tutor periods as well as Parental Engagement talks, which look to support parents in their role as 'character coaches' for their children. Pupils are encouraged to lead lectures and talks such as our Upper 6th Form being trained as Peer Support and then leading an online Café Connect during the pandemic. Our Cultural Committee lead discussions on discrimination, joining staff briefings and creating initiatives such as celebrating the World Day for Cultural Diversity. The newly formed LWC Pride Group organised the first LWC Pride week where speakers for the 6th Form were invited to lead discussions on LGBTQ+ issues and a poetry workshop on identity for the A level English class was organised, as well as painting a rainbow bench to raise nearly £1,000. The Personal, Social, Health and Economic Education (PSHEE) spiral curriculum covered a wide variety of topics such as Anti-racism, Democracy, First Aid, Economics, My Sense of Self, Relationships and Sex Education (RSE) and Online safety. These topics were followed up in tutor periods to encourage further debate. Parents are sent a biweekly PSHEE newsletter with details of the topics studied and a wealth of resources given to further their understanding and to encourage further learning and debate as a family. Despite the pandemic the College still managed to engage exciting and impactful outside speakers for workshops and talks using Zoom to deepen understanding on topics such as Addiction and RSE. A Parental Working Party was created with parents from a wide variety of year groups and experience to look at the delivery of RSE within the PSHEE curriculum. A new RSE and PSHEE policy is now available on the school website. Spiritual, Moral, Social and Cultural development (SMSC) is at the heart of all that takes place at LWC and is seen in every department in every lesson and in each co-curricular activity as well as being specifically taught in PSHEE lessons. The 6th Form are particularly good at role-modelling the outcome of this education and the ideas and initiatives that they drive forward benefit the whole community.

Sport

Not taken for granted anymore, like so many other things in the lives of the LWC community, sport has proved to be one of those key areas missed by all pupils, staff and parents alike. The pupils endured the first two terms of 2020 with very few sporting fixture opportunities due to national lockdowns and the school wide cautious, but necessary approach to large group meetings.

Despite the winter lockdown, netball, girl’s hockey, and boy’s hockey managed to get in some late fixtures so that our U6th were honoured for all the hard work they have put in over the years at LWC. The Assistant Director of Sport assisted by Danny Mugridge, Assistant Head coach for Surrey Storm Super League team, ran biweekly live skill sessions that focused on the needs of the court. Even during this difficult time all our key main sports have increased, not only in participation, but also in the number of teams we run. For example, netball numbers have grown so that the College now run twenty-two teams, up from sixteen in 2019.

Although still cautious, the shackles were off for the summer term 2021. The College cricket programme, the most popular summer term sport for both boys and girls, with over half the student body representing LWC in a fixture, continued to bear fruit with some stellar performances. The girls 1st XI game v The MCC, the pick of the bunch, with a win for the girls by nine wickets. The U14A Boys and U14A girls also notched 100% records with the 2nd XI senior boys recording an 83% win rate. The programme has also seen a number of elite players progress through its system in recent times, with a number of boys and girls earning professional contracts upon leaving in the sixth form. As a result of the success on and off the pitch, LWC has been inducted into The Cricketer magazine’s top 100 UK cricketing schools for seven straight years - something the College is extremely proud of.

LWC athletes were not to be outdone by the cricketers. The College hosted a handful of events with 18 different schools across the summer term. Our fourth formers were the stand out year group achieving several school records in the discus and the 100m. Because of the athletes’ efforts, LWC sent twelve athletes to the School County Championships. The juniors were fortunate enough to be a part of the 2021 District Championships coming home with two 2nd place silverware trophies. As a result, eight of the junior athletes were selected to represent the district at the school county championships. The College witnessed a breakthrough as one of the athletes branched into Multi-Events winning the School County Championships and being selected to compete for Hampshire in the Regionals. The year ended on a high, closing out the school season with the whole school sports day, which was enjoyed in a competitive, friendly atmosphere on the once again glorious grass track.

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

(Continued)

The College continues to cement local links with London Irish RFC, Chelsea Football Club, Surrey Storm, Alton Hockey Club, Basingstoke Athletics Club, Wellington riding stables, Totally Tennis Basingstoke, and have also established new links with Rushmore Netball Club and Odiham and Greywell Cricket Club. With many more of the pupils now actively involved in the local clubs, these are crucial links to the success of the pupils and the LWC sports programme. The results speak for themselves with many of the pupils playing in Regional and National leagues in various sports. Some have gone further and achieved international success such as William Meek - Wales U16 Hockey, Charlie Johnson - Wales U18 Hockey, Monica Watkins - England U16 Hockey, Finty Trussler - Southern Vipers Cricket and Gemma Lane - Southern Vipers Cricket, both with professional contracts .

CCF

COVID has curtailed the normal activities. Where the CCF would normally have completed a series of overnight camps, field days and competitions, they have been unable to train outside College grounds and even this training has been in a more restricted way. The CCF have however been able to provide two late evening training sessions and an overnight camp in Sheephouse Copse for the cadets where they could put into practice skills that have been learnt and developed on Friday afternoons. Subject areas included use of radios, moving stealthily at night and in daylight, and more advanced skills such as Section Attacks.

The College were able to arrange two different Summer camps for the cadets from LWC and Costello, something of an achievement as many schools were not able to offer a camp of any sort this year. The CCF were fortunate that it could call on Junior House for accommodation and travel out from there each day on a variety of different activities. Some of the Army cadets attended a camp at Longmoor near Petersfield, and for those who were not able to gain a place on that camp LWC laid on another camp whose programme was devised in-house. One of the activities was the inaugural walk from St Neots to LWC: the cadets had to navigate themselves cross-country between the two schools finishing up at the War Memorial at LWC.

As ever we look to develop leadership potential at every level and the cadets rise to the occasion. LWC had two cadets selected to attend the highly competitive Air Cadet Leadership Course at the RAF College Cranwell and another two for the National Aerospace Camp for the top cadets in the country. To cap it all, one of the Officers, Lt Jess McKinnon, was selected as one of a very few cadet force adults to receive the Lord Lieutenant of Hampshire’s Meritorious Service Award.

LWC cadets continue to work closely in a successful partnership with cadets from the Costello School in Basingstoke who bring two minibuses of cadets to join LWC training, camps and exercises. This partnership benefits both schools in equal measure.

Music

An exceptionally challenging and difficult year nationally for the Arts and any practical music making, but the Music Department still managed to shine with some impressive virtual performances. The College’s ‘Lunchtime Lockdown Live’ series connected students and staff from a variety of remote locations in an informal virtual performance space. Members of the Concert Band practised and recorded their parts from home, which were then edited together. Following months of rehearsals via Teams, and then socially distanced/bubbled sectionals, the Band was finally able to play together in July 2021. An emotional musical reunion for pupils, staff and the U6 leavers, the recordings were ‘aired’ at Prize Giving. Other virtual performances include musical items for the Carol Service and at weekly assemblies. The Performing Arts Cabaret Evening was another success, being recorded live, and then released via the VLE for the community to watch with some impressive student-led performances, managed superbly by the prefect leadership team. The Cotterill Cup Open Section took place live at the end of the year, with some highly skilled performances from our 6th Form. Junior House were also able to hold an InterHouse Music competition.

Links were established with the Academy of Contemporary Music in Guildford, who provided a variety of online workshops and masterclasses for our students. These included sessions on Songwriting, Performance Anxiety, Games Development and Streaming. We were also able to publicise a ‘Concert of the Week’ streamed by a variety of professional musicians and ensembles.

Notable pupil successes included:

• U6th former Felix Sandberg (under his artist pseudonym ‘Tirand’), who was signed to Milan-based record label ONLY THE BEST. His first track with the label – called ‘Rocking You’ – was released in April on streaming services such as Spotify, Apple Music, Amazon etc.

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(Continued)

• 3rd former Olivia McBeth performed at the Summer Sessions Festival in Newbury in August, and also performed as part of a live podcast event entitled ‘It’s Good to Talk’ at the Electric Theatre, Portobello Road, London, during the summer. She has recorded the vocals for numerous new tracks using LWC music technology facilities over the past year, and appeared on BBC Radio Berkshire in February for a live interview and broadcast of her song ‘Losing Me’. During 2021 she acquired a manager.

• Charlie Warren and Libby Bellmore co-produced a track entitled ‘Same Girl’ which has been broadcast on BBC Radio, as part of the BBC’s ongoing ‘BBC Music Introducing’ initiative.

2021/22 will be focussed on musical recovery, and the reintroduction of a live concert programme. The College looks forward to reinvigorating musical experiences across the school and performing in the newly refurbished Nadine Uppal Theatre.

Drama

In Performing Arts, the College continues to promote 'pupil voice' and this remains at the forefront of the academic and co-curricular programme by continuing to embed student-led events and workshops. Outside of the classroom , the Drama department led by Miss Reeks, presented the Senior Production of '’The 39 Steps’ which was a massive achievement for the students, having tackled many elements surrounding the pandemic. This was another successful and highly comedic production. Mid year students performed “Chicken” by Mark Wheeler. Students were also lucky enough to take part in a workshop and professional talk with the playwright. In the Sumer term, the Juniors performed a series of comedy sketches, which were devised by the students and led by Mr Andrews.

As ever, LAMDA lessons continue to be a popular co-curricular activity for pupils with our largest number of participants to date. Grades continue to exceed expectations. This included 2 students achieving the highest grade 8 distinction. Students in 4th form participated in the online Shakespeare festival, performing their interpretation of socially distanced ‘Macbeth.’

Over the Summer holidays, the fantastic renovation of the Music and Drama Centre has taken place. The Nadine Uppal Theatre has been transformed into a superb studio theatre. This is a wonderful opportunity for the staff and students at LWC. We look forward to offering many future events.

Capital Expenditure

The Board's commitment to maintaining the College's excellence has been reinforced by the capital programme. Expenditure on capital projects this year amounted to £6.1m (2020: £3.1m). The extensive range of capital projects in recent years has included ongoing refurbishment of the boarding houses (and modest extensions to capacity for girls and boys boarding), redevelopment of the Sutton and Gavin Halls, artificial sports pitch upgrading, a rolling programme of refurbishment of classrooms (Humanities, English and Art), a new Health Centre, a new dining hall and improved pedestrianisation, all of which enhance teaching and learning and pastoral support. The major ongoing capital project is to construct a new Science Centre, which will be completed shortly.

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021 (Continued)

ST NEOT’S COLLABORATION

On 19 April 2021 the College entered into a formal collaboration with St Neot’s Preparatory School, Eversley. The school approached Lord Wandsworth College and requested the collaboration to take place. After careful consideration and due diligence the Trustees felt that a collaboration was in the interests of the College. Key rationale for this decision included a similar and shared interest, St Neot’s being a key feeder school to Lord Wandsworth College and trust in Lord Wandsworth leadership to assist St Neot’s moving forward.

Since the collaboration took place a number of key evolutions have taken place notably:

Many regular operational exchanges are starting to take place, which are being seen as mutually beneficial to both educational establishments. The College does not exercise a controlling interest.

Investment performance

At the year-end, the Group’s investments totalled £12.8m (2020: £11.1m). The Governors keep the level of income withdrawn or re-invested under review to balance the needs and interests of current and future beneficiaries of the College’s activities. The Governors are satisfied with the performance of the investments, and with the external managers of these investments.

Fundraising performance

Gill Kelly, LWC’s long-standing Alumni Relations Manager retired at the end of August 2020. Due to the pandemic, recruitment for this role was put on hold until the end of the Summer Term (Justine Lammin joined in July 2021) leaving a gap for almost a year. This, coupled with the ongoing effect of COVID-19 on parents and Sternians, resulted in the campaign being halted in its current form. Focus shifted to supporting LWC families who were struggling due to the impact of the pandemic on their finances and personal situations.

The COVID-19 Appeal for Single Term Bursaries was launched mid-August 2020 and gained further traction throughout 2020/21, raising circa £47,000 in the year and over £60,000 in total. Fifty Six (56) Single Term Bursaries were awarded, ensuring continuity of education for these children during such an unsettling period.

The Development Office also concentrated on engaging with the LWC Community as a whole, providing opportunities to bring people together virtually. The LWC Virtual 5k was launched in September 2020 giving pupils, parents, staff, governors and Sternians the opportunity to complete their 5km in any way they wanted, wherever they were in the world, all at the same time, whilst also raising money for the COVID-19 Appeal. Other virtual events followed e.g. a series of LWC Focus talks delivered by Sternians and parents on a wide variety of topics, as well as donor events for the 1912 Society and Quercus Club. These virtual events also provided the opportunity for Sternians from all over the world to reconnect in a way they had not been able to do before. Other College events were recorded or live streamed and shared with parents and Sternians to maintain the link with LWC as in-person events were not possible. These were all well attended and appreciated. LWC Connect, the networking platform, continued to go from strength to strength, and was particularly important throughout the pandemic.

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THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

(Continued)

Publications continued. The Sternian E-News increased in frequency. The Sternian magazine was refocussed as there were not the usual events to report back on, but it was well received. The Supporter Update went out in November 2020 and May 2021 giving insights to donors on the impact of their support, whether for the Foundation or capital projects.

A small appeal was successfully launched towards the end of the Autumn Term to fund ceremonial items (Banners, colour belts, swords etc.) for the Combined Cadet Force. Parents and Sternians donated c£11,000 to fund these items and a new flight simulator. A Blessing of the Banners ceremony is planned for Autumn 2021.

An opportunity arose in the Spring Term to launch another appeal to refurbish the theatre in the Music and Drama centre. This was instigated by a significant initial donation which meant we could proceed with this long-over due project. Circa £140,000 was raised. The work was carried out over the summer holidays and the new theatre is set to open in the Autumn term 2021.

These two projects, combined with the Science Centre were brought together under a new initiative: Aspirations, the umbrella campaign for capital projects, large or small. As projects are funded, new ones will be added. This gives donors more choice and the opportunity to support an area of College life that is of particular interest to them.

A new donor club was launched in March 2021. The Cedrus Club recognises donors who make significant gifts to LWC of £5,000 or more, as a one-off gift or an accumulation of gifts over time. Gold membership is reserved for gifts over £50,000.

Towards the end of the Spring Term, parents were offered a fees rebate due to pupils virtual learning off-site during the majority of the term. A campaign was launched asking parents to donate back all or part of their rebate. There was an exceptional response with 90 families (17% of families) donating a total of £68,000 (circa £83,000 with gift aid). 38% of funds were unrestricted (and directed to the theatre project), 35% of funds were for the COVID-19 Appeal, 24% for the Foundation, with the remaining being directed to other smaller projects.

Income for the Foundation was, unfortunately, down significantly on the previous year by approximately 38%. This is partly due to diverting attention to other projects (COVID-19 Appeal and Aspirations), but also several regular donors (including some major donors) needed to reduce or suspend their donations to enable them to support family members who have been affected by the pandemic. Income from legacies was also low this year, circa £12,000.

This year saw donations from individuals and legacies totalling £402,204 (2020: £338,020). This represents a 20% increase.

In addition, the sum of £231,079 (2020: £242,322) towards fees and extras (for uniform, sports equipment, major educational trips, musical instrument tuition and other co-curricular activities) was received from the following trusts and charities: Achieving for Children; The Alchemy Foundation; Armed Forces Education Trust; The Benevolent; BMTA Trust Limited; Bordon and Liphook Endowment Fund; The Brewers Company; British Orthopedic Association; The BT Benevolent Fund; Buttle UK; Eleanor Hamilton Educational Trust; Emmott Foundation; Fashion & Textile Children’s Trust; The Hale Trust; Hampshire and Isle of Wight; Community Foundation; Hampshire County Council; Mr Samuel Whitbread’s Trusts; The NFL Trust; Reeds Foundation; Royal National Children’s Springboard Foundation; The Royal Pinner School Foundation; The School Fees Charitable Trust; The Sternians Trust Fund; Thornton-Smith and Plevins Trust; Wandsworth Borough Council; William Brake Charitable Trust. Parents/guardians also make an important (means-tested) contribution to Foundationer costs.

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(Continued)

We also work in partnership with numerous other charities who help support our Foundationers or refer families to the Foundation: Action for Carers; Action on Addiction; Army Families Federation; Army Widows Association; Child Bereavement UK; Childhood Bereavement Network; Childhood Poverty Action Group; The Compassionate Friends; CRUSE; Bereavement Care; Daisy’s Dream; DrugFAM; Eastside Young Leaders’ Academy; Family Action; Gingerbread; Grandparents Plus; Hope in Tottenham; Jigsaw South East; Jigsaw4u; London Youth; MIND; National Association for Children of Alcoholics; Safe Bridges; SANE; SeeSaw; Simon Says; Southside Young Leaders’ Academy; Survivors of Bereavement by Suicide; WAY Widowed and Young; Winston’s Wish.

Overall, £633,283 has been received this year (2020: 580,324), bringing the total for the last 3 years to a little over £1.7m which is pleasing since the pandemic has affected the last 18 months. The College is immensely grateful to all donors, past and present who make its various charitable activities possible.

Section 172 Statement

Section 172 Statement

The Governors have complied with section 172 of the Companies Act 2006 as follows:

The Governors understand the importance of maintaining excellent relationships with all the College’s stakeholders in order to fulfil the primary objective of delivering the best possible education it can for all its pupils. The College has established a Strategic Vision to fulfil this, and its other objectives, as noted under ‘Objects, Activities and Public Benefit’.

Governing Body Committees

The Governing Body comprises several committees noted on page 1, which undertake to concentrate on specific areas of the organisation in order to achieve the best possible outcome for the College.

Long term decisions

The committees make decisions with the Strategic Vision in mind at all times which are ratified at the full Governing Body meetings.

Employees

Employee welfare is of great importance to the Governing Body, who recognise its importance to the successful running of the College on a daily basis. Where possible staff are able to work flexibly, and they are encouraged to undertake training courses in order for them to grow and develop. Meals are provided during term-time, sports facilities are made available and there is access to the School Counsellor if required. The board receives regular updates on staff well-being, health and safety, and safeguarding.

Relationships with parents, donors and suppliers

The board recognises the importance of maintaining excellent relations with parents, and together with the Headmaster, the Senior Leadership Team, and other staff, endeavours to ensure that the parents are given the most positive experience possible by giving the best possible all round education to their children, together with regular parents’ meetings, communications on a weekly basis, invitations to sports fixtures, and other events such as musical, and theatrical evenings.

The Fundraising Committee and the fundraising staff have regular contact with donors including regular updates and invitations to events. The update has been extremely positive and support for Single Term bursaries, the 1912 society, LWC Connect and sporting events are continuing to increase in numbers.

The board understands the importance of engaging and maintaining productive relationships with suppliers in order to achieve the smooth running of the College.

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THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

(Continued)

Principal Risks and Uncertainties

The principal risk this year has been the COVID-19 pandemic.

The College adhered to all Government lockdowns and reopened on 8[th] March 2021. Although back on site a number of COVID-19 measures remain in place and are reviewed weekly in line with Government guidelines and the situation on the ground.

The College continued online learning for the lockdown periods using Microsoft Teams and One Note, with academic staff impressively using technology to deliver their lessons remotely. This has continued to be extremely successful.

During the lockdown periods a significant number of support staff were furloughed (those that had no work given the physical loss of students/lettings) but pay remained at 100%. Those that weren’t furloughed were asked to work from home, where possible. For those not able to work from home, the College continued social distancing and increased health measures, including additional cleaning regimes, mask wearing and one way systems where practical.

The risk register has been updated to include the coronavirus issues.

The Governors consider the economic circumstances of recent years and the impact upon the affordability of fees across the independent sector to be one of the main risks faced by the College. The College is currently full, but there is no room for complacency, notably with an eye to the potential economic impact of Covid-19. The Governors awarded Covid-19 rebates to all parents which took into consideration the lockdown period from January to March 2021. The total amount reimbursed was £816,773, to reflect the loss of on-site education, boarding and transport. For September 2021 the Governing Body introduced fee changes, consistent with the College's costs and plans. The College recognises that it is not immune from price risks, which are managed (and monitored) closely by the Finance Committee. Safeguarding, Child Protection and Health and Safety remain a significant area for risk management. The risks range from ensuring proper control of off-site activities, compliance with statutory requirements (e.g.fire), vehicle/pedestrian interfaces, College closure due to snow and physical abuse of pupils or staff. HR risks are monitored closely and mitigated by a range of measures including comprehensive policies and, recruitment, compliance and remuneration strategies. The level and breadth of activity at the College is impressive and the risks associated with all activities are minimised by thorough effective planning and risk assessment. Credit, liquidity and cash flow risks are overseen by the Finance Committee and managed directly by the Headmaster, COO and the Senior Leadership Team.

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

(Continued)

Principal Risks and Uncertainties (Continued)

Risk is monitored in detail by the Governing Body, and also scrutinized by all sub-committees. All sub-committees also report risk regularly to the Governing Body. The separate Regulatory and Safeguarding Committee comprises three members of the Governing Body, who provide oversight of the Senior Leadership Team in such matters. The risk management process and the resulting Register identifies risks, assesses their impact and probability and, where necessary, recommends controls to further mitigate and monitor those risks that are assessed as the highest. The generic controls used by the College to minimise risk include:

The Governors regularly review the effectiveness of current plans and strategies for managing all identified major risks for both the College and its subsidiaries.

Benchmarking and KPIs

Benchmarking with like schools is frequent, detailed and scrutinised robustly. The Board regularly reviews benchmarking and key performance indicators such as pupil numbers, % fee remissions, remuneration, investment performance and operating surplus to net fees.

FINANCIAL REVIEW

Following the previously reported arrangement of the £15m 3.36% long-term private placement, the College has moved forward with delivering its development vision and plans. This approach provides the basis and confidence for proceeding with various campus development plans, including further pedestrianisation (to improve safety), a redeveloped dining hall, a new science building (under construction and due completion in late 2021) and further improvements to teaching and learning, classrooms , boarding and other activities. The College is in the interest only phase of the placement, with capital repayments starting in 2022-23.

Results for the year

The group’s net income for the year after gains/(losses) on investments amounted to £4,823,392 (2020: £2,236,678). In addition to the group’s results a distribution to the College of £34,835 (2020: £4,715) was achieved by Stern Farms Ltd in respect of 2019-20 and donated to the College. Gift Aid from LWC Enterprises Ltd amounted to £3,019 (2020: £nil). There was no Gift Aid from the 2020-21 accounts of Stern Farms Ltd. Group support is available to the trading subsidiaries if required .

RESERVES LEVEL POLICY AND FINANCIAL VIABILITY

The College’s reserves policy is to maintain sufficient unrestricted income reserves to enable it to meet its shortterm financial obligations in the event of an unexpected revenue shortfall and to rely on the readily realisable investments as adequate cover for the College’s longer-term capital expenditure commitments and any longerterm financial obligations .

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021 (Continued)

RESERVES LEVEL POLICY AND FINANCIAL VIABILITY (Continued)

The Group’s total reserves of £41.9m (2020: £36.9m) at the year-end included £11.2m (2020: £11m) endowment capital, £5m unspent restricted income (2020: £4.3m) and £25.7m (2020: £21.6m) unrestricted income after taking account of the £905k pension asset (2020: £291k asset). £14.6m (2020: £9.4m) of this represented the net book value of fixed assets less associated internal funding arrangements, leaving free reserves of £11,160,117 (2020: £12,290,324) for the group and £11,044,806 (2020: £12,151,314) for the College at the year-end.

FUTURE PLANS

The College’s current Strategic Plan is subject to ongoing development and regular review by the Governors. The primary elements remain:

STATEMENT OF ACCOUNTING AND REPORTING RESPONSIBILITIES

The members of the Governing Body (who are also the directors of the College for the purposes of company law) are responsible for preparing the Annual Report and the financial statements with applicable law and United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards).

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

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

(Continued)

STATEMENT OF ACCOUNTING AND REPORTING RESPONSIBILITIES (Continued)

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

AUDITOR

The auditor, RSM UK Audit LLP, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

RELEVANT AUDIT INFORMATION

In so far as each of the Directors, as members of the Governing Body, at the date of approval of this report, is aware there is no relevant audit information (information needed by the Company’s auditor in connection with preparing the audit report) of which the Company’s auditor is unaware. Each member of the Governing Body has taken all the steps that he or she should have taken as a member of the Governing Body in order to make himself or herself aware of the relevant audit information and to establish that the Company’s auditor is aware of that information.

CARBON REPORT

Energy usage, associated emissions, energy efficiency actions and energy management for Lord Wandsworth College.

Streamlined Energy & Carbon Reporting

This report summarises our energy usage, associated emissions, energy efficiency actions and energy performance under the government policy Streamlined Energy & Carbon Reporting (SECR), as implemented by the Companies (Directors’ Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018.

It also summarises, in the appendix, the methodologies utilised for all calculations related to the elements reported under Energy & Carbon.

Lord Wandsworth College are a large UK incorporated business. Under the new SECR legislation we are mandated to include energy consumption, emissions, intensity metrics and all energy efficiency improvements implemented in our most recent financial year. An organisational boundary has been applied for the purposes of the reporting.

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021 (Continued)

CARBON REPORT (Continued)

We are proud to say we achieved 100% verifiable data coverage with no estimations required.

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

(Continued)

CARBON REPORT (Continued)

Year 2

Lord Wandsworth College’s Scope 1 and 3 direct emissions (combustion of natural gas and transportation fuels) for this year of reporting are 870 tCO2e, resulting from the direct combustion of 4,871,475 kWh of fuel. This represents a carbon reduction of 26% from last year.

Scope 2 indirect emissions (purchased electricity) for this year of reporting are 292 tCO2e, resulting from the consumption of 1,375,539 kWh of electricity purchased and consumed in day-to-day business operations. This represents a carbon increase of 12% from last year.

Our operations have an intensity metric of 1.81 tCO2e per Pl (pupil) for this reporting year.

This represents a reduction in operational carbon intensity of 20% from our previous reporting year.

Organisational Structure and Qualification

There are no businesses within the corporate group that qualify for SECR in their own right for this reporting year. In the event of any subsidiary of the group qualifying individually for SECR, the breakdown of consumption and emissions will be detailed in this report, ensuring transparency and compliance throughout the group.

Data Completeness

All Lord Wandsworth College’s electricity and gas invoices have been entered into a fully managed energy database up to 31[st] August 2021, and data quality checks have been carried out for data completeness and accuracy. All transport information has also been entered into the energy database up to 31[st] August 2021.

There is no missing invoice data, so 100% data coverage has been achieved without the need to calculate estimated consumption to fill any gaps.

Annual Reporting Figures

The total consumption and emissions figures for energy supplies reportable by Lord Wandsworth College.

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THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

(Continued)

CARBON REPORT (Continued)

Consumption (kWh) and Greenhouse Gas emissions (tCO2e) Totals

The following figures show the consumption and associated emissions for this reporting year for our operations, with figures from the previous reporting period included for comparison.

Scope 1 consumption and emissions relate to direct combustion of natural gas, and fuels utilised for transportation operations, such as company vehicle fleets.

Scope 2 consumption and emissions relate to indirect emissions relating to the consumption of purchased electricity in day-to-day business operations.

Scope 3 consumption and emissions relate to emissions resulting from sources not directly owned by us. This relates to grey fleet (business travel undertaken in employee-owned vehicles) only.

Totals

The total consumption (kWh) figures for reportable energy supplies are as follows:

Utility and Scope 2020/21 Consumption
(kWh)		 2019/20 Consumption
(kWh)
Grid-Supplied Electricity
(Scope 2)
1,375,539
1,113,823
Gaseous and other fuels
(Scope 1)
4,446,970
6,125,647
Transportation
(Scope 1 and 3)
424,505
266,693
Total
6,247,014
7,506,163

The total emission (tCO2e) figures for reportable energy supplies are as follows. Conversion factors utilised in these calculations are detailed in the appendix:

Utility and Scope 2020/21 Consumption
(tCO2e)		 2019/20 Consumption
(tCO2e)
Grid-Supplied Electricity
(Scope 2)
292
260
Gaseous and other fuels
(Scope 1)
766
1,112
Transportation
(Scope 1 and 3)
104
64
Total
1,162
1,436

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021

(Continued)

CARBON REPORT (Continued)

Intensity Metric

An intensity metric of tCO2e per Pupil has been applied for the annual total emissions of Lord Wandsworth College. In addition, an intensity metric of tCO2e per Pupil has also been applied to the annual total emissions of LWC & LWCE only and an intensity metric of tCO2e per Hectare has been applied to the annual total emissions of Stern Farms. The methodology of the intensity metric calculations is detailed in the appendix, and results of this analysis is as follows:

Intensity Metric 2020/21 Intensity Metric 2019/20 Intensity Metric
tCO2e per Pupil
1.81
2.27
LWC& LWCE - tCO2e per Pupil
1.73
2.10
Stern Farms - tCO2e per Hectare
0.14
0.324

Lord Wandsworth College is made up of three entities, LWC, LWCE Enterprises, and Stern Farms. The consumption and emission figures are shown below:

LWC & LWCE Combined

Utility and Scope 2020/21 Consumption
(kWh)		 2019/20 Consumption
(kWh)
Grid-Supplied Electricity
(Scope 2)
1,351,885
1,103,524
Gaseous and other fuels
(Scope 1)
4,446,970
5,719,180
Transportation
(Scope 1 and 3)
258,255
262,358
Total
6,057,110
7,085,062
Utility and Scope 2020/21 Consumption
(tCO2e)		 2019/20 Consumption
(tCO2e)
Grid-Supplied Electricity
(Scope 2)
287
257
Gaseous and other fuels
(Scope 1)
766
1,008
Transportation
(Scope 1 and 3)
61
63
Total
1,114
1,328

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LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

THE GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2021 (Continued)

CARBON REPORT (Continued)

Stern Farms

Utility and Scope 2020/21 Consumption
(kWh)		 2019/20 Consumption
(kWh)
Grid-Supplied Electricity
(Scope 2)
22,970
10,299
Gaseous and other fuels
(Scope 1)
0
406,467
Transportation
(Scope 1 and 3)
166,250
4,335
Total
189,220
421,101
Utility and Scope 2020/21 Consumption
(tCO2e)		 2019/20 Consumption
(tCO2e)
Grid-Supplied Electricity
(Scope 2)
5
2
Gaseous and other fuels
(Scope 1)
0
104
Transportation
(Scope 1 and 3)
43
1
Total
48
107

Energy Efficiency Improvements

Lord Wandsworth College are committed to year on year improvements in their operational energy efficiency.

Energy Efficiency Improvements

We are committed to year on year improvements in their operational energy efficiency. As such, a register of energy efficiency measures available to us has been compiled, with a view to implementing these measures in the next 5 years.

Measures ongoing and undertaken throughout 2020/21:

  1. Replaced hand held petrol machinery with electric.

  2. Increased insulation in various buildings by adding insulation.

  3. Program of front door replacements for domestic dwellings.

  4. Installation of LED lighting in boarding houses.

  5. New more efficient boilers installed for the stable block wing, swimming pool and sports centre.

Measures prioritised for implementation in 2021/22:

To be confirmed.

24

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE) THE GOVERNORS. REPORT FOR THE YEAR ENDED 31 AUGUST 2021 (Continued) CARBON RepoRT (Contlnued In$pired Energy This report has been prepared by Nel Zero Compliance la division of Inspired Energy PLCI for Lord Wandsworth College by means of interpreting the Companies (Directors, Report) and Limited Liability Partnerships (Energy and Carbon Rewrtl Regulations 2018 as they apply lo infornation supplied by Lord Wandsworth Cdlege and its energy suppliers. Lord Wand5WOrth College's regislere¢J CEO and CFO ale ultimately re5por15ible for complying vAth the Regulations. They musl be satisfied that lo the best of their knowledge all relevant information Con￿rning Lord Wandsworth College'b viganib¢ili(m blru¢lure, prvpEtlieb, acliviliei¥ and energy supplies has been provided to Inspired Energy. This includes details of any complex ownership structures le.g. private equity funds, franchise5 for private finance initialivesl and. energy generated on-site {including CHPI, or supplied lolfrom a third party li.e. not a licenrA energy supplier or a landlordllenanll. Appendlx Reportlng Methodology Scope 1 and 2 consumption and C02e emission ¢Yata has been calculale¢Y in lirse with the 2019 UK Govemmenl environmental reporting guidance. The following Emission Factor D8lab85e5 consistent with the 2019 UK Govemmenl environmental reporbng guidance have been used, utslising the current published kwh gross calorific value ICVI and kgC02e emissions factors relevant for reporting year 0110912020- 3110812021.. Database 2020, Version 1.U. All consumption data for Lord Wandsworth College was complete for the re￿tIng year. and as such no eslimalions were required. Pupils Hectares (Hal {Stem Fami Only) 643 333 Approved by the Goveming Bc4Jy of Lord Wandsworth College, including. in their capacity as company directors. approving the Dire¢iors' and Straiegic Reports ¢ontained therein. and signed on ils behaK by.. Robert H Chaimi nlngton of Goveming Body Dale 13 January 2022 2S

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITOR’S REPORT TO THE GOVERNORS OF LORD WANDSWORTH COLLEGE

Opinion

We have audited the financial statements of Lord Wandsworth College (the ‘parent charitable company’) and its subsidiaries (the ‘group’) for the year ended 31 August 2021 which comprise the Group Statement of Financial Activities, the Group and Charity Balance Sheets, the Group and Charity Cash Flow Statements and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

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

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 this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

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

26

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITOR’S REPORT TO THE GOVERNORS OF LORD WANDSWORTH COLLEGE (Continued)

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the Directors’ Report or the Strategic Report included within the Governors’ Report.

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

Responsibilities of trustees

As explained more fully in the Statement of Governors’ responsibilities set out on page 17, the governors (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the governors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements

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

The extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities are instances of non-compliance with laws and regulations. The objectives of our audit are to obtain sufficient appropriate audit evidence regarding compliance with laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements, to perform audit procedures to help identify instances of non-compliance with other laws and regulations that may have a material effect on the financial statements, and to respond appropriately to identified or suspected non-compliance with laws and regulations identified during the audit.

In relation to fraud, the objectives of our audit are to identify and assess the risk of material misstatement of the financial statements due to fraud, to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud through designing and implementing appropriate responses and to respond appropriately to fraud or suspected fraud identified during the audit.

However, it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, the group audit engagement team:

27

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE) INDEPENDEMT AUDITOR'S REPORT TO THE GOVERNORS OF LORD WANDSWORTH COLLEGE Icontlnuedl dlscus8ed matters about non-compliance lavrd and regulations and how fraud might occur including a$$essment of how and where the financial statements may be susceptible to fra￿J. As a resu￿ of these procedures we consider the most signfficant lav•B and regulations that have a direct impact on the financtal stslements are FRS 102, Charities SORP IFRS 1021, Companies Act 2006, Charibes Act 2011, the parent tharitsble companls goveming document. tsx legislation and Charibes (Protection and Social Investment) Act 2016. We perfomied audit procedures to detect non-compliances vknich may h8ve 8 mater￿1 impact on the financial statements which induded reviewtng the financial statements including the Trustees. Report, remainirg alert to new or unusual transactions vthich may not be in ac¢ordan¢e wth the goveming documents, inspe¢kn'rKJ ¢orresponden¢e local lax aulhoribes and evaluating advice r￿1Ved from inlemavextemal advisors. The most signfficant lav+3 ar￿ regulations that have an indirect impact on tr¢e financial Statements are The Education (Independent School Standards) RegulatDns 2014, Keeping Children Safe in Education under section 175 of the Education Act 2002, and the UK General Data Protection Regulation (UK GDPRI. We performed audit procedures to inquire of management and Ihose ¢harged vAth governance ￿ether the charitable company is in mpliance wth these law and regulations and inspected correspondence wth regulatory authorities. The group audit engagement team identified the rssk of management override of Controls and the cut off of oncillary fee income as the areas where the financial statements were rnosl susceptible to material misstatement due to fraud. Audit proce(lures perfomed induded were nol limited to testing manual joumal entries and other adjuslments, evaluating the business rationale in relation to significant, unusual transactions and transactions entered into outside the nornial COUTSe of b¥Jsiness. challenging judgments and eslimates and substantively tesling the ancillary fee income around the year end. A further ¢J?￿riptiOn of our responsibilities for the audrf( of the financial statements is prowded on the Financial Reporting Council's ￿Ebsite at http'.IfvMw.frc.org.ukJauditorswpon8ibilities. This description fomi$ part of our auditof s report. Use of our rnport Thi5 report is made solely to the charitable company5 members. as a body, in at￿rdan￿ with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that ￿ might stste lo the charitable companls members those matters we are required to state to them in an auditorfs report and for no other purpose. To the fullest extent permitied by law, we do not accept or assume responsibilty to anyone other than the charitable company and the ¢harital￿e company's members as a body. for our aL￿rt work. for this report, or for the opinions y￿ have fomied. Kevin Bamck (Senior Statulory Auditor) For and on beha￿ of RSM UK AUDIT LLP. Statutory Audi(or and Chartered Accountant Highfield Court Tollgate Chandlers Ford Eastleigh Hampshire S053 3TY Date 28

(COMPANY LIMITED BY GUARANTEE)

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNTS) FOR THE YEAR ENDED 31 AUGUST 2021

Notes
Income and endowments from:
Charitable activities
School fees receivable
4
Ancillary trading income
5
Other trading activities
Non-ancillary trading activities
6
Other activities
7
Investments
Investment income
8
Bank and other interest
Voluntary sources
Donations and legacies
9
Total income
Expenditure on:
Raising funds
Non-ancillary trading
Financing costs
Investment management
Fundraising and development
Total deductible costs
Charitable activities
Education and grant making
Total expenditure
10
Gains on investments
17
Net income for the year
Pension scheme actuarial gains
12
Net movement in funds for the
year before transfers
Funds expended
25
Transfers between funds
25
Net movement in funds for the
year
Funds brought forward
25
Funds carried forward
25		 Unrestricted
Funds
£
Restricted
Funds
£
Permanent
Endowment
Funds
£
Total
Funds
2021
£
15,086,206
-
-
15,086,206
210,196
-
-
210,196
417,581
-
-
417,581
1,813,802
-
-
1,813,802
217,035
96,818
-
313,853
29,757
-
-
29,757
83,106
321,097
-
404,203
17,857,683
417,915
-
18,275,598
332,987
-
-
332,987
534,258
-
-
534,258
27,770
-
-
27,770
134,618
-
-
134,618
1,029,633
-
-
1,029,633
13,850,028
27,901
-
13,877,929
14,879,661
27,901
-
14,907,562
840,725
478,329
136,302
1,455,356
3,818,747
868,343
136,302
4,823,392
306,000
-
-
306,000
4,124,747
868,343
136,302
5,129,392
-
(148,823)
-
(148,823)
(50,000)
-
50,000
-
4,074,747
719,520
186,302
4,980,569
21,655,798
4,294,763
10,988,524
36,939,085
25,730,545
5,014,283
11,174,826
41,919,654

The Statement of Financial Activities has been prepared on the basis that all operations are continuing.

There are no other recognised gains or losses other than those passing through the Statement of Financial Activities.

29

(COMPANY LIMITED BY GUARANTEE)

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNTS) FOR THE YEAR ENDED 31 AUGUST 2020

Notes
Income and endowments from:
Charitable activities
School fees receivable
4
Ancillary trading income
5
Other trading activities
Non-ancillary trading activities
6
Other activities
7
Investments
Investment income
8
Bank and other interest
Voluntary sources
Donations and legacies
9
Total income
Expenditure on:
Raising funds
Non-ancillary trading
Financing costs
Investment management
Fundraising and development
Total deductible costs
Charitable activities
Education and grant making
Total expenditure
10
(Losses)/gains on investments
17
Net income for the year
Pension scheme actuarial (losses)
12
Net movement in funds for the
year before transfers
Funds expended
25
Transfers between funds
25
Net movement in funds for the
year
Funds brought forward
25
Funds carried forward
25		 Unrestricted
Funds
£
Restricted
Funds
£
Permanent
Endowment
Funds
£
Total
Funds
2020
£
14,512,985
-
-
14,512,985
192,452
-
-
192,452
484,347
-
-
484,347
539,072
-
-
539,072
328,490
81,600
-
410,090
37,289
-
-
37,289
167,095
170,923
-
338,018
16,261,730
252,523
-
16,514,253
403,683
-
-
403,683
544,284
-
-
544,284
40,436
6,934
-
47,370
144,167
-
-
144,167
1,132,570
6,934
-
1,139,504
13,194,992
4,372
-
13,199,364
14,327,562
11,306
-
14,338,868
(131,855)
150,225
42,923
61,293
1,802,313
391,442
42,923
2,236,678
(240,000)
-
-
(240,000)
1,562,313
391,442
42,923
1,996,678
-
(176,073)
-
(176,073)
(50,000)
-
50,000
-
1,512,313
215,369
92,923
1,820,605
20,143,485
4,079,394
10,895,601
35,118,480
21,655,798
4,294,763
10,988,524
36,939,085

The Statement of Financial Activities has been prepared on the basis that all operations are continuing.

There are no other recognised gains or losses other than those passing through the Statement of Financial Activities.

30

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMtTED BY GUARANTEE) CONSOLIDATED AND CHARrrABLE COMPANY BALANCE SHEEfs AS AT 31 AUGUST 2021 2021 2020 Group Charity Group Charity Fixed Assets Tangible assets Investment properties Investments 15 16 17 39.252,575 150.000 12.803.732 52 2C6.307 38.￿.219 150,000 12.958.809 52,015.028 34,047.621 150,000 11.102,548 45,300,169 33,729.195 150,000 11,257 625 45.136,820 Current Assets Stocks Debtors Investments Cash at bank and in hand 18 19 20 234.198 3,041.879 203,744 678,393 3.000.000 6.486.551 10.368.688 2,986.227 604.377 3,000,000 6.357,046 9,961.423 5.396,325 8,672.402 5.254.943 8.241.170 Creditors.. Amounts falling due within one year 21 (4.125.575) (3.983,481) (3,472,671 } {3.377.300) Net Current assets 4.257.689 6.896,017 6,584.123 Total assets less current liabilities Creditors.. Amounts falling due after more than one year Net Assets before pension adjustment 56.753.134 56.272.717 52.196,186 51.720,943 15 738.480 41,014.654 15.719.730 40,552,987 15,548,101 36,648.085 15.530,294 36,190,649 Penslon Scherne fvndlng asset 12 9)5.000 291.000 291.000 NET ASSETS 41.919.654 41,457.987 36.939,085 36,481.649 Unrestrl¢ted funds Designated funds 25 25 24,028.762 1.701,783 25.730.545 23.567.095 1.701,783 25.268,878 20,275,173 1,380.625 21,655.798 19,817,737 1,380,625 21,198.362 Restricted funds 25 5,014.283 5.014.283 4,294.763 4,294,763 Pern)anent Endowment fvnds 11,174.826 11.174.826 10,988,524 10.988,524 TOTAL CHARrrY FUNDS 41.919.654 41.457,987 36,939.085 36,481,649 As permitted by s408 Companies Act 2006, the Charity has not presented its own Statement of Financial Activtties and related notes as it prepares group accounts. The Charity's net movement in funds for the year were £4,976,338 {2020.' £1.787,411 }. The finanaal statements on page$ 29 10 58 were approv￿1 by the Board of Governors and signed its behalf by.. R J Hannington Chaimian Dated.. 13 January 2022 J P Robinson Chairman Finants Committee Dated: 13 January 2022

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2021

Net cash inflow from operating activities (Note (i))
Cash flows from investing activities
Payments for tangible fixed assets
Receipts from sale of tangible fixed assets
Movements in investments
Investment income and bank interest
Net cash (used in)/provided by investing
activities
Cash flows from financing activities
Addition/repayment of hire purchase
Finance costs paid
Change in cash and cash equivalents in the
reporting period
Cash and cash equivalents at 1 September
2020
Cash and cash equivalents at 31 August 2021
Relating to:
Short term bonds
Cash at bank and in hand
(i) Reconciliation of net income to net cash
inflow from operating activities
Net income for the year
(Gains) on investments
Investment income and bank interest
Finance costs
Funds expended
Investment management charges
Depreciation charges
(Profit) on disposal of fixed assets
Pension finance (income)
LWC 1989 pension scheme contributions
(Increase)/decrease in stocks
(Increase)/decrease in debtors
Increase/(decrease) in creditors (excluding
fees in advance and deposits)
Increase in fees in advance
Increase in parents’ deposits
Net cash inflow from operating activities		 2021
2020
£
£
£
£

922,696
3,631,610
(6,236,039)
(3,376,972)
1,708,877
70,000
(273,598)
5,724,457
317,795
(4,482,965)
447,379
2,864,864		 2021
2020
£
£
£
£

922,696
3,631,610
(6,236,039)
(3,376,972)
1,708,877
70,000
(273,598)
5,724,457
317,795
(4,482,965)
447,379
2,864,864		 2021
2020
£
£
£
£

922,696
3,631,610
(6,236,039)
(3,376,972)
1,708,877
70,000
(273,598)
5,724,457
317,795
(4,482,965)
447,379
2,864,864		 2021
2020
£
£
£
£

922,696
3,631,610
(6,236,039)
(3,376,972)
1,708,877
70,000
(273,598)
5,724,457
317,795
(4,482,965)
447,379
2,864,864
4,301
(534,258)		 (3,560,269)
(20,235)
(529,957)
(544,284)		 6,496,474
(564,519)
(4,090,226)
9,486,551
5,396,325
-
5,396,325
5,396,325
2021
£
4,823,392
(1,455,356)
(317,795)
534,258
(148,823)
27,770
945,675
(1,623,467)
(8,000)
(300,000)
(30,454)
(2,363,486)
423,284
386,331
29,367
922,696		 5,931,955
3,554,596
9,486,551
3,000,000
6,486,551		 5,931,955
3,554,596
9,486,551
9,486,551
2020
£
2,236,678
(13,923)
(447,379)
544,284
(176,073)
47,370
945,837
(25,300)
(7,000)
(125,000)
16,162
713,592
(106,397)
23,432
5,327
3,631,610

32

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

CHARITY STATEMENT OF CASHFLOWS FOR THE YEAR ENDED 31 AUGUST 2021

Net cash inflow from operating activities (Note (i))
Cash flows from investing activities
Payments for tangible fixed assets
Receipts from sale of tangible fixed assets
Movements in investments
Investment income and bank interest
Net cash (used in)/provided by investing
activities
Cash flows from financing activities
Repayment of hire purchase
Finance costs paid
Change in cash and cash equivalents in the
reporting period
Cash and cash equivalents at 1 September
2020
Cash and cash equivalents at 31 August 2021
Relating to:
Short term bonds
Cash at bank and in hand
(i) Reconciliation of net income to net cash
inflow from operating activities
Net income for the year
(Gains) on investments
Charitable Donations
Investment income and bank interest
Finance costs
Funds expended
Investment management charges
Depreciation charges
Profit on disposal of fixed assets
Pension finance (income)/cost
LWC 1989 pension scheme contributions
(Increase)/decrease in debtors
Increase/(decrease) in creditors (excluding
fees in advance and deposits)
Increase in fees in advance
Increase in parents’ deposits
Net cash inflow from operating activities		 2021
2020
£
£
£
£

867,503
3,680,403
(6,081,589)
(3,260,374)
1,610,377
-
(273,598)
5,724,457
324,855
(4,419,955)
454,479
2,918,562
(3,552,452)
6,598,965
(15,393)
(22,603)
(534,258)
(549,651)
(544,284)
(566,887)
(4,102,103)
6,032,078
9,357,046
3,324,968
5,254,943
9,357,046
-
3,000,000
5,254,943
6,357,046
5,254,943
9,357,046
2021
£
2020
£
4,781,307
2,198,769
(1,455,356)
(13,923)
37,854
63,447
(324,855)
(454,479)
534,258
544,284
(148,823)
(176,073)
27,770
47,370
904,565
895,239
(1,610,377)
-
(8,000)
(7,000)
(300,000)
(125,000)
(2,381,850)
688,436
395,312
(9,426)
386,331
23,432
29,367
5,327
867,503
3,680,403		 2021
2020
£
£
£
£

867,503
3,680,403
(6,081,589)
(3,260,374)
1,610,377
-
(273,598)
5,724,457
324,855
(4,419,955)
454,479
2,918,562
(3,552,452)
6,598,965
(15,393)
(22,603)
(534,258)
(549,651)
(544,284)
(566,887)
(4,102,103)
6,032,078
9,357,046
3,324,968
5,254,943
9,357,046
-
3,000,000
5,254,943
6,357,046
5,254,943
9,357,046
2021
£
2020
£
4,781,307
2,198,769
(1,455,356)
(13,923)
37,854
63,447
(324,855)
(454,479)
534,258
544,284
(148,823)
(176,073)
27,770
47,370
904,565
895,239
(1,610,377)
-
(8,000)
(7,000)
(300,000)
(125,000)
(2,381,850)
688,436
395,312
(9,426)
386,331
23,432
29,367
5,327
867,503
3,680,403		 2021
2020
£
£
£
£

867,503
3,680,403
(6,081,589)
(3,260,374)
1,610,377
-
(273,598)
5,724,457
324,855
(4,419,955)
454,479
2,918,562
(3,552,452)
6,598,965
(15,393)
(22,603)
(534,258)
(549,651)
(544,284)
(566,887)
(4,102,103)
6,032,078
9,357,046
3,324,968
5,254,943
9,357,046
-
3,000,000
5,254,943
6,357,046
5,254,943
9,357,046
2021
£
2020
£
4,781,307
2,198,769
(1,455,356)
(13,923)
37,854
63,447
(324,855)
(454,479)
534,258
544,284
(148,823)
(176,073)
27,770
47,370
904,565
895,239
(1,610,377)
-
(8,000)
(7,000)
(300,000)
(125,000)
(2,381,850)
688,436
395,312
(9,426)
386,331
23,432
29,367
5,327
867,503
3,680,403		 2021
2020
£
£
£
£

867,503
3,680,403
(6,081,589)
(3,260,374)
1,610,377
-
(273,598)
5,724,457
324,855
(4,419,955)
454,479
2,918,562
(3,552,452)
6,598,965
(15,393)
(22,603)
(534,258)
(549,651)
(544,284)
(566,887)
(4,102,103)
6,032,078
9,357,046
3,324,968
5,254,943
9,357,046
-
3,000,000
5,254,943
6,357,046
5,254,943
9,357,046
2021
£
2020
£
4,781,307
2,198,769
(1,455,356)
(13,923)
37,854
63,447
(324,855)
(454,479)
534,258
544,284
(148,823)
(176,073)
27,770
47,370
904,565
895,239
(1,610,377)
-
(8,000)
(7,000)
(300,000)
(125,000)
(2,381,850)
688,436
395,312
(9,426)
386,331
23,432
29,367
5,327
867,503
3,680,403		 2021
2020
£
£
£
£

867,503
3,680,403
(6,081,589)
(3,260,374)
1,610,377
-
(273,598)
5,724,457
324,855
(4,419,955)
454,479
2,918,562
(3,552,452)
6,598,965
(15,393)
(22,603)
(534,258)
(549,651)
(544,284)
(566,887)
(4,102,103)
6,032,078
9,357,046
3,324,968
5,254,943
9,357,046
-
3,000,000
5,254,943
6,357,046
5,254,943
9,357,046
2021
£
2020
£
4,781,307
2,198,769
(1,455,356)
(13,923)
37,854
63,447
(324,855)
(454,479)
534,258
544,284
(148,823)
(176,073)
27,770
47,370
904,565
895,239
(1,610,377)
-
(8,000)
(7,000)
(300,000)
(125,000)
(2,381,850)
688,436
395,312
(9,426)
386,331
23,432
29,367
5,327
867,503
3,680,403
(15,393)
(534,258)
(3,552,452)
(22,603)
(549,651)
(544,284)
(4,102,103)
9,357,046
5,254,943
-
5,254,943
5,254,943
2021
£
4,781,307
(1,455,356)
37,854
(324,855)
534,258
(148,823)
27,770
904,565
(1,610,377)
(8,000)
(300,000)
(2,381,850)
395,312
386,331
29,367
867,503
9,357,046
3,000,000
6,357,046
9,357,046
2020
£
2,198,769
(13,923)
63,447
(454,479)
544,284
(176,073)
47,370
895,239
-
(7,000)
(125,000)
688,436
(9,426)
23,432
5,327
3,680,403

33

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

1 ACCOUNTING POLICIES

The accounting policies adopted by the Group are as follows:

Charity information

Lord Wandsworth College is a private company limited by guarantee, incorporated in England and Wales. The principal activity and registered office are disclosed in the Governors’ Report.

Going concern

Having reviewed the demand for places and the College’s future projected cash flows, the Governors have a reasonable expectation that the College has adequate resources to continue its activities for at least twelve months from the date of sign off, and consider that there were no material uncertainties over the College’s financial viability. The COVID-19 pandemic issues have been reviewed and included in the College’s risk register. A rolling 5-year cash flow is prepared and reviewed at each Governing Body and Finance Committee meeting. In the year to 31 August 2021 the financial impact of the pandemic was mitigated through the support provided by the Government in the form of the Coronavirus Job Retention Scheme. The Governors have considered the financial implications of the pandemic in the forecasts and despite this believe that the College has sufficient resources to continue as a going concern for a period of at least 12 months from the date of this report.

Basis of accounting

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Lord Wandsworth College meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.

Basis of consolidation

The consolidated financial statements incorporate the financial statements of the charitable company and all group undertakings.

As a consolidated Statement of Financial Activities is published, a separate Statement of Financial Activities for the parent charitable company is omitted from the charitable group financial statements by virtue of Section 408 of the Companies Act 2006.

Fee income

Fee income, net of bursaries, awards and remissions, represents the fees receivable by the Charity for education provided in the normal course of activities, in the year to which it relates.

Fees in advance

Fees paid in advance of the education provided are taken to deferred income, and released to income in the period in which the education is given.

Letting income

Letting income represents amounts receivable by LWC Enterprises Limited for goods and services net of VAT.

Investments and Investment income

Trade investments are stated at market value. The original cost value is stated in note 17. The policy adopted by the Group is to keep valuations up to date. The Statement of Financial Activities distinguishes between realised and unrealised gains/losses.

Investment income is accounted for on an income receivable basis.

Current asset investments are measured at amortised cost.

Investments in subsidiaries are held at cost less any impairment losses.

Donations and Grants

Donations and grants are accounted for on a receivable basis when the amount can be reliably measured. Donations and grants received for the general purposes of the Charity are included as unrestricted funds. Donations and grants for activities restricted by the wishes of the donor are taken to restricted funds, and released as the related expenditure is incurred.

34

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

1 ACCOUNTING POLICIES (Continued)

Government grants

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received. Government grants relating to turnover are recognised as income over the periods when the related costs are incurred.

Legacy income

Legacy income is accounted for at the point of notification, in writing, by the personal representative of the estate making the legacy, provided that the value of the legacy can be reasonably estimated.

Property income

Rental income is received and recognised in the month to which it relates. If any rental income is received in advance of the relevant rental period then the balance is deferred until the period it relates to.

Farming income

Farming income represents amounts receivable for the sale of, and subsidies for, arable crops by Stern Farms Limited. Turnover is recognised when the company has the right to the income. The Single Farm Payment is recognised on an accruals basis in accordance with European Commission Regulations.

Farming stock

Stock is valued at the lower of cost, being purchase price of materials used plus the cost of the farming methods undertaken, and net realisable value. Subsidies are provided where the cost of production is greater than the net realisable value of the stock on the open market. These subsidies have therefore been included in calculating the net realisable value of the stock held at the year end.

Expenditure

Expenditure is accounted for on an accruals basis.

Expenditure is analysed into such categories as to reasonably enable the user to gain an appreciation of the Group’s expenditure during the year.

Governance costs comprise the cost of running the Group, including strategic planning for its future development, also external audit, any legal advice and costs of complying with constitutional and statutory requirements.

Leasing and hire purchase commitments

Assets held under finance leases, which are leases where substantially all the risks and rewards of ownership of the asset have passed to the company, and hire purchase contracts, are capitalised in the balance sheet at their fair value and are depreciated over their useful lives. The capital elements of future obligations under the leases and hire purchase contracts are included as liabilities in the balance sheet.

The interest elements of the rental obligations are charged in the profit and loss account over the periods of the leases and hire purchase contracts and represent a constant proportion of the balance of capital repayments outstanding.

Operating leases

Operating lease costs are charged in the Statement of Financial Activities for the period to which they relate on a straight line basis.

Rentals payable under operating leases, including any lease incentives received, are charged to income on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the lease asset are consumed.

Stock

Stock is stated at the lower of cost and net realisable value. The main components are stationery, household and maintenance items, and catering supplies. Where necessary, provision is made for obsolete and defective stock.

35

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

1 ACCOUNTING POLICIES (Continued)

Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost less accumulated depreciation. Fixed assets with a value under £1,000 are not capitalised. Land is not depreciated.

Depreciation is calculated to write off the cost of fixed assets less estimated residual value over their expected useful lives. The annual depreciation rates and methods of calculation are as follows:

Boarding houses - Straight line over one hundred and twenty five years Equipment, fixtures and fittings - Straight line over three to ten years Motor vehicles - Straight line over three to ten years Other buildings - Straight line over twenty to seventy years Assets under construction - Not depreciated Stern Farms Ltd Property improvements - 5% straight line Plant and machinery - 15% straight line

The properties are reviewed for impairment on an annual basis.

Funds held by the Charity and subsidiary undertakings Permanent Endowment Funds a) The capital account comprising land and buildings and quoted investments which are the permanent endowment of the Foundation

Unrestricted Funds

These funds constitute the general income of the Group, and their application is at the discretion of the Governors.

Designated Funds Designated funds are funds set aside out of unrestricted general funds for specific future purposes or projects as identified by the Governors.

Capital Recoupment

Capital expenditure financed through proceeds of disposal of restricted capital account assets is recouped at a rate not less than that recommended by the Charity Commission, provisionally over a period of 60 years.

Pension costs and other post-retirement benefits

The Lord Wandsworth College 1989 Pension and Life Assurance Scheme (“The Scheme”) provides retirement benefits to qualifying employees, including Administrative and Support Staff and Housemasters.

The Scheme was closed to new members in March 2000, and closed to existing members as at 31 August 2004. Employee members are now treated as deferred pensioners, and there are therefore no charges to the Statement of Financial Activities.

The Scheme is a defined benefit scheme which is externally funded and contracted out of the State Earnings Related Pension Scheme.

The pension charge is calculated on the basis of actuarial advice. Pension scheme assets are valued at market value at the balance sheet date. The pension scheme asset or deficit is recognised in full on the balance sheet.

A Group Personal Pension Plan is available to employees, which is a defined contribution scheme. Both the assets of this scheme and the LWC 1989 scheme above are held separately from those of the Charity in independently administered funds.

36

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

1 ACCOUNTING POLICIES (Continued)

Pension costs and other post-retirement benefits (Continued)

The Charity also participates in a multi employer pension scheme, the Government’s Teachers Pension Defined Benefits Scheme, for its teaching staff. This scheme is administered by the Teachers’ Pension Agency. The pension liability under this scheme is the responsibility of the Agency. It is not possible to identify the assets and liabilities of the scheme that are attributable to the Charity/Group. Accordingly, under Financial Reporting Standard 102, the scheme is accounted for as if it were a Defined Contribution scheme.

Recognition of liabilities

Liabilities are recognised within the financial statements in respect of all expenditure for which the entity has a measurable obligation, be it constructive or legal, at the balance sheet date. Any expenditure which is committed to, but not measurable at this time, is disclosed within the notes to the financial statements as a contingent liability.

Financial instruments

The Group has elected to apply the provisions of section 11 ‘Basic Financial Instruments’ and section 12 ‘Other Financial Instruments Issues’ of FRS102, in full, to all of its financial instruments.

Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as either financial assets or financial liabilities.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including creditors are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Liabilities are recognised within the financial statements in respect of all expenditure for which the entity has a measurable obligation, be it constructive or legal, at the balance sheet date. Any expenditure which is committed to, but not measurable at this time, is disclosed within the notes to the financial statements as a contingent liability.

Liquid resources

Liquid resources include cash held on long term deposit where penalties will be suffered if funds are withdrawn before maturity.

Deferred taxation

Deferred tax is recognised in respect of all material timing differences that have originated but not reversed at the balance sheet date, where transactions or events that result in an obligation to pay more or a right to pay less tax in the future have occurred by the balance sheet date with certain limited exceptions.

Deferred tax is calculated on an undiscounted basis at the tax rates that are expected to apply in the periods in which the timing differences are expected to reverse, based on tax rates and laws enacted or substantively enacted at the balance sheet date.

Distribution of profits

The subsidiary LWC Enterprises Ltd is mandated, as per the Articles of Association, to pay gift aid of an amount up to the taxable profits each year to Lord Wandsworth College, the ultimate parent undertaking. However, the Stern Farms Ltd gift aid is not mandated and so gift aid distribution will be recognised in the entity’s accounts upon payment. In line with ICAEW Technical Release ‘Tech 16/14BL’, the subsidiaries treat this donation as a distribution of reserves and it is paid either pre year end or within 9 months of the year end. Any donation made in this manner is capped to the level of distributable reserves available. The Boards are responsible for formally agreeing the amount to be distributed each year.

37

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

1 ACCOUNTING POLICIES (Continued)

Investment property

Investment property, which is property held to earn rentals and/or for capital appreciation, is measured using the fair value model and stated at its fair value as at the reporting end date. The surplus or deficit on revaluation is recognised in the Statement of Financial Activities.

Where fair value cannot be achieved without undue cost or effort, investment property is accounted for as tangible fixed assets.

Redundancy and termination payments

Redundancy and termination payments are made after taking applicable legal advice. Expenditure is recognised immediately as an expense when the group is demonstrably committed to terminate the employment.

Refundable deposits

Refundable deposits are currently classified between long term and short term in the financial statements. These deposits are refundable in the event that pupils leave the school on one term’s notice and as such the deposit would be refunded to the parents at that point. However the financial statements are prepared on a going concern basis and it is assumed that the majority of children will remain in the school for their full years of education and therefore the deposit will be refunded to them when they leave the school. Short term deposits reflect those pupils who will be leaving the school within one year, and the long term element reflects those pupils who will be leaving the school after 12 months from the balance sheet date.

2 JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

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

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows;

Pension asset

The present value of the defined benefit pension asset depends on a number of factors that are determined on an actuarial basis using a variety of assumptions. The assumptions used in determining the net cost (income) for pensions include the discount rate. Any changes in these assumptions, which are disclosed in note 13, will impact the carrying amount of the pension asset. A full actuarial valuation performed at 31 August 2018 has been used by the actuary in valuing the pensions asset.

Farm stock

Stock is valued at the lower of cost, being purchase price of materials used plus the costs of the farming methods undertaken, and the net realisable value. Subsidies are provided where the cost of production is greater than the net realisable value of the stock on the open market. These subsidies have therefore been included in calculating the net realisable value of the stock held at the year end.

Classification of leases

In categorising leases as finance leases or operating leases, management makes judgements as to whether significant risks and rewards of ownership have transferred to the group.

GMP equalisation

An additional obligation arose to the defined benefit pension scheme in the prior year due to the equalisation adjustment which was shown as a past service cost. There were assumptions used in determining this additional cost to the pension scheme, which was calculated by the scheme actuary and approved by management.

3 LEGAL STATUS OF LORD WANDSWORTH COLLEGE

The College is a company limited by guarantee and has no share capital.

38

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

4 SCHOOL FEES RECEIVABLE
School fees
Less: Bursaries, awards and remissions
Less: Covid-19 rebates
5 ANCILLARY TRADING INCOME
Occasional boarding fees
Insurance commissions
Transport
Registration fees
6 NON ANCILLARY TRADING INCOME
Trading income – LWC Enterprises Limited
Trading income – Stern Farms Limited
7 OTHER ACTIVITIES
CJRS grant income
Other income
Sale of Shepewood House
8 INVESTMENT INCOME
Unrestricted
Securities
Rents receivable
Restricted
Securities
9 DONATIONS AND LEGACIES
Unrestricted
Donations
Legacies
Restricted
Donations
Legacies		 2021
£
17,895,155
(1,992,176)
(816,773)
15,086,206
2021
£
11,934
19,906
87,445
90,911
210,196
2021
£
56,433
361,148
417,581
2021
£
156,057
63,218
1,594,527
1,813,802
2021
£
217,035
-
217,035
96,818
313,853
2021
£
77,936
5,170
83,106
314,097
7,000
321,097		 2020
£
16,325,052
(1,644,909)
(167,158)
14,512,985
2020
£
30,244
23,732
76,673
61,803
192,452
2020
£
53,311
431,036
484,347
2020
£
491,207
47,865
-
539,072
2020
£
312,590
15,900
328,490
81,600
410,090
2020
£
152,095
15,000
167,095
150,923
20,000
170,923

39

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

10 TOTAL EXPENDITURE

Staff Costs
£
Depre-
ciation
£
Other
Costs
£
Non ancillary
trading
81,087
41,110
210,790
Financing costs
Investment
Manager Fees
-
-
-
-
534,258
27,770
Fundraising and
development
98,387
-
36,231
Charitable activities
7,988,343
904,565
4,985,021
8,167,817
945,675
5,794,070
Of the above £27,901 (2020: £11,306) relates to restricted expenditure.
OTHER COSTS:
Non ancillary trading
Financing costs
Investment Manager Fees
Fundraising and development
School running costs:
Academic
Catering
Household and medical
Grounds
Maintenance
Other premises costs
Minibus
Support costs
Total other costs
11 NET INCOME FOR THE YEAR
This is after charging/(crediting):
Operating leases
Depreciation: owned assets
Depreciation: assets held under HP agreements
Auditor’s remuneration:
Audit fees
Accountancy services
Gain on disposal of assets		 Total
2021
£
332,987
534,258
27,770
134,618
13,877,929
14,907,562
2021
£
210,790
534,258
27,770
36,231
576,862
370,353
809,832
152,600
793,501
690,246
186,214
1,405,413
4,985,021
5,794,070
2021
£
101,845
892,152
53,523
52,458
3,788
1,623,467		 Total
2020
£
403,683
544,284
47,370
144,167
13,199,364
14,338,868
2020
£
229,069
544,284
47,370
22,716
635,142
365,921
207,608
163,942
569,993
668,686
163,046
737,923
3,512,261
4,355,700
2020
£
102,797
893,414
52,423
49,566
3,272
25,300

40

(COMPANY LIMITED BY GUARANTEE)

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

12 STAFF COSTS
a)Staff costs
Wages and salaries
Employers’ National
Insurance contributions
Pension contributions		 2021
Group
£
6,616,970
624,929
925,918
8,167,817
Charity
£
6,541,199
622,882
922,649
8,086,730		 2020
Group
£
6,943,732
641,291
968,421
8,553,444		 Charity
£
6,828,175
636,975
964,278
8,429,428

Contributions were made for 76 (2020: 80) employees to the Teachers’ Superannuation Scheme which is a defined benefits scheme. For non-teaching staff, contributions were paid to the Group Personal Pension Plan, a defined contribution scheme, of which there were 110 members at the end of the year (2020: 117). During the year no (2020: 8) employees were made redundant, (2020: the total amount being £88,282 for redundancy and £61,167 for Pay In Lieu of Notice).

b)Particulars of staff
The average monthly number of staff employed by the Group during the
year was:
The average number of full time equivalent persons employed
by the Group (including part-time staff) during the year was:
Teaching and academic support staff
Administration and other staff
The number of employees whose emoluments exceeded £60,000 was:
£60,001 - £70,000
£110,001 - £120,000
£120,001 - £130,000
£130,001 - £140,000		 2021
Number
226
188
98
90
188
7
-
-
1		 2020
Number
253
205
108
97
205
3
1
1
-

The number of higher paid staff who contribute into a pension scheme is 7 (2020: 5), at a cost of £110,439 (2020: £85,836).

Key Management Personnel, of which there are 8 (2020: 6), are listed on page 1, their remuneration amounted to £724,072 (2020: £759,419).

c) Governors’ expenses

The Governors received no remuneration for their services during the year. 4 (2020: 5) Governors were reimbursed a total of £251 (2020: £577) for travel and other costs.

d) Pension obligations

Teachers’ Pension Scheme

The School participates in the Teachers’ Pension Scheme (“the TPS”) for its teaching staff. The pension charge for the year includes contributions payable to the TPS of £776,119 (2020: £780,274) and at the yearend £90,284 (2020: £94,789) was accrued in respect of contributions to this scheme, which included members’ contributions.

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

41

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

12 STAFF COSTS (Continued)

Teachers’ Pension Scheme (Continued)

The employer contribution rate is set by the Secretary of State following scheme valuations undertaken by the Government Actuary’s Department. The most recent actuarial valuation of the TPS was prepared as at 31 March 2016 and the Valuation Report, which was published in March 2019, confirmed that the employer contribution rate for the TPS would increase from 16.4% to 23.6% from 1 September 2019. Employers are also required to pay a scheme administration levy of 0.08% giving a total employer contribution rate of 23.68%.

The 31 March 2016 Valuation Report was prepared in accordance with the benefits set out in the scheme regulations and under the approach specified in the Directions, as they applied at 5 March 2019. However, the assumptions were considered and set by the Department for Education prior to the ruling in the ‘McCloud/Sargeant case’. This case has required the courts to consider cases regarding the implementation of the 2015 reforms to Public Service Pensions including the Teachers’ Pensions.

On 27 June 2019 the Supreme Court denied the government permission to appeal the Court of Appeal’s judgment that transitional provisions introduced to the reformed pension schemes in 2015 gave rise to unlawful age discrimination. The government is respecting the Court’s decision and has said it will engage fully with the Employment Tribunal as well as employer and member representatives to agree how the discriminations will be remedied. A consultation was launched by the government on 16 July 2020, and closed to responses on 11 October 2020.

The TPS is subject to a cost cap mechanism which was put in place to protect taxpayers against unforeseen changes in scheme costs. The Chief Secretary to the Treasury, having in 2018 announced that there would be a review of this cost cap mechanism, in January 2019 announced a pause to the cost cap mechanism following the Court of Appeal’s ruling in the McCloud/Sargeant case and until there is certainty about the value of pensions to employees from April 2015 onwards. The pause was lifted in July 2020 and the government is preparing to complete the cost control element of the 2016 valuations, which is expected to be completed in 2021.

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

Until the consultation and the cost cap mechanism review are completed it is not possible to conclude on any financial impact or future changes to the contribution rates of the TPS. Accordingly no provision for any additional past benefit pension costs is included in these financial statements.

LWC 1989 Pension and Life Assurance Scheme

The Charity/Group operates a funded defined benefit scheme in the UK which provides both pensions in retirement and death benefits to members. Pension benefits are related to the members’ final salary at retirement or earlier withdrawal and their length of service.

Since 1 September 2004 the Scheme has been closed to new members. As the recovery plan ended on 31 August 2018 there are not expected to be any formal contributions to the Scheme for the year ending 31 August 2022. However, the Charity/Group has been paying £25,000 per month into the Scheme since April 2020 to help meet cashflow requirements. This monthly contribution is being kept under regular review but currently seems likely to finish in February 2022.

42

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

12 STAFF COSTS (Continued)

LWC 1989 Pension and Life Assurance Scheme (Continued)

A full actuarial valuation was carried out as at 31 August 2020, and has been updated to 31 August 2021, based on membership data as at 31 August 2020, updated to take account of expected outgo since August 2020, using actuarial assumptions at 31 August 2021. The major assumptions used by the actuary (in nominal terms) were as follows:

At 31/08/21 At 31/08/20
(per annum) (per annum)
% %
Discount rate 1.6 1.5
Rate of increase in pensionable salaries n/a n/a
Rate of increase of LPI linked pensions until 2030 2.7 2.3
Rate of increase of LPI linked pensions after 2030 3.5 3.1
Inflation assumption (RPI) 3.7 3.3
Assumed life expectancies on retirement at age 65 are:
Retiring today Males 22.0 22.1
Females 24.3 24.4
Retiring in 20 years time Males 23.3 23.4
Females 25.8 25.9

The assumptions used by the actuary are the best estimates chosen from a range of possible actuarial assumptions which, due to the time scale covered, may not necessarily be borne out in practice.

The assumptions used in determining the overall expected return of the assets of the Scheme have been set having regard to yields available on government bonds and bank base rates and incorporating appropriate risk margins. The fair value of the scheme’s assets, which are not intended to be realised in the short term and may be subject to significant change before they are realised, and the present value of the scheme’s liabilities, which are derived from cash flow projections over long periods and thus inherently uncertain, were:

Equities and Property
Fixed Interest
Cash and Other
Index linked gilts
Fair value of assets
Present value of liabilities
Surplus in the funded scheme and
Net pension asset		 Fair
value at
Fair
value at
31/08/21
31/08/20
£’000
£’000
2,246
2,172
3,173
3,059
106
796
86
601
6,321
5,918
(5,416)
(5,627)
905
291

43

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

12 STAFF COSTS (Continued)

LWC 1989 Pension and Life Assurance Scheme (Continued)

None of the assets of the Scheme are invested in the College’s/Group’s own financial instruments and none of the assets are properties or other assets used by the College/Group.

Changes in the present value of the Scheme Obligations
Obligations at the beginning of the year
Movement in year:
Interest cost
Benefits paid
Actuarial loss
Past service cost
Obligations at the end of the year
Changes in the fair value of the Scheme Assets
Fair value at the beginning of the year
Movement in year: Return on assets
Interest income
Employer contributions
Benefits paid
Fair value of Scheme assets at the end of the year
2021
2020
£’000
£’000
5,627
5,743
81
90
(346)
(244)
54
38
-
-
5,416
5,627
2021
2020
£’000
£’000
5,918
6,142
360
(202)
89
97
300
125
(346)
(244)
6,321
5,918

No contributions were due to the scheme at the year end (2020: £nil).

Actuarial gains/ losses on the defined pension scheme can be analysed as follows:

Scheme Obligations:
Change in CPI market conditions
Return on assets, excluding interest income
Actuarial surplus/(loss) in the Statement of Financial Activities		 2021
£’000
(54)
360
306		 2020
£’000
(38)
(202)
(240)

44

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

13 RESULTS OF SUBSIDIARIES

LWC Enterprises Limited
2021
£
Turnover
162,533
Cost of sales
(95,304)
Gross profit
67,229
Administrative expenses
(46,374)
Profit/(loss) on ordinary activities before interest
20,855
Other interest receivable and similar income
18
Profit/(loss) on ordinary activities
20,873
Distribution of reserves to charity
(3,019)
Retained profit/(loss) for the financial year
17,854
Reconciliation of trading subsidiary profits to the Statement of Financial Activities: -
Profit/(loss) on ordinary activities
20,873
Group supplies receivable
(106,100)
Group supplies payable
95,304
Group interest receivable
-
Group interest payable
21
Trading subsidiary results
10,098
Included on pages 29 and 30 Statement of Financial Activities as:
Bank interest
18
Trading income – within non ancillary trading activities
56,433
Trading expenditure – within non ancillary trading expenditure
(46,353)
10,098		 2020
£
161,761
(112,363)
49,398
(78,501)
(29,103)
815
(28,288)
-
(28,288)
(28,288)
(108,450)
97,485
-
306
(38,947)
815
53,311
(93,073)
(38,947)

45

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

13 RESULTS OF SUBSIDIARIES (Continued)

Lord Wandsworth Foundation

With effect from 1 August 2013, the Charity Commission linked Lord Wandsworth Foundation to Lord Wandsworth College for accountancy and registration purposes. The following analyses the results, assets and liabilities of each fund held by Lord Wandsworth Foundation.

Income and Expenditure
Sale of property
Rents receivable
Investment income
Legacy income
Total income
Investment Manager Fees
Charitable donations to LWC
Total expenditure
Net (expenditure)
Unrealised gain on investments
Realised profit on disposal of
investments
Recoupment transfer from LWC
Net movement in funds
Balance Sheet
Fixed Assets
Tangible assets
Investments
Investment properties
Current Assets
Debtors
Creditors:Amounts falling due within
one year
Net Current Assets/(Liabilities)
Total assets less current
liabilities
Creditors:Amounts falling due after
more than one year
NET ASSETS
Unrestricted funds
Permanent Endowment funds
TOTAL FUNDS		 Unrestricted
Funds
Restricted
Funds
Permanent
Endowment
2021
2021
2021
£
£
£
1,594,527
-
-
67,012
-
-
36,141
-
-
12,170
-
-		 Total
Total
2021
2020
£
£

1,594,527
-

67,012
82,726

36,141
34,505
12,170
35,000
1,709,850
-
-		 1,709,850
152,231
-
-
-
1,709,850
-
-
-
1,709,850
(152,231)
1,709,850
-
-		 1,709,850
(152,231)
-
-
-
-
-
136,302
-
-
-
-
-
50,000
-

136,302
42,923

-
-

50,000
50,000
-
-
186,302
186,302
92,923
2021
2020
£
£
9,682,147
9,682,147
1,342,679
1,156,377
150,000
150,000
11,174,826
10,988,524
3,520,949
3,520,949
(1,263,653)
(1,263,653)
2,257,276
2,257,296
13,432,122
13,245,820
-
-
13,432,122
13,245,820
2,257,296
2,257,296
11,174,826
10,988,524
13,432,122
13,245,820

Included in permanent endowment funds is the revaluation reserve of £108,750 (2020: £108,750).

46

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

13 RESULTS OF SUBSIDIARIES (Continued)

Stern Farms Limited
2021
£
Turnover
361,148
Cost of sales
(137,177)
Gross profit
223,971
Administrative expenses
(197,168)
Other operating income
3,755
Profit on ordinary activities before interest
30,558
Other interest receivable and similar income
693
Interest payable
(10,039)
Profit on ordinary activities before taxation
21,212
Tax on profit on ordinary activities - Note 14
-
Profit on ordinary activities
21,212
Distribution of reserves to charity
(34,835)
Retained (loss)/profit for the financial year
(13,623)
Reconciliation of trading subsidiary profits to the Statement of Financial Activities: -
Profit on ordinary activities
21,212
Group rent payable
50,000
Group interest payable
7,750
Trading subsidiary results
78,962
Included on pages 29 and 30 Statement of Financial Activities as:
Other activities
3,755
Bank interest
693
Trading income – within non ancillary trading activities
361,148
Trading expenditure – within non ancillary trading expenditure
(286,634)
78,962		 2020
£
431,036
(171,705)
259,331
(187,404)
3,380
75,307
141
(9,251)
66,197
-
66,197
(4,715)
61,482
66,197
50,000
7,750
123,947
3,380
141
431,036
(310,610)
123,947

14 TAXATION

The College is a registered charity and as such has been granted exemption under Section 505 of the Income and Corporation Taxes Act 1988.

All taxable profits of LWC Enterprises Limited have been distributed out of reserves to the College.

Stern Farms Limited taxable profits will be distributed to the College but the distribution has not been accounted for in Stern Farms Limited’s Financial Statements.

47

(COMPANY LIMITED BY GUARANTEE)

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

15 TANGIBLE FIXED ASSETS – GROUP

Cost
At 1 September 2020
Additions
Disposals
At 31 August 2021
Depreciation
At 1 September 2020
Charge for the year
Disposals
At 31 August 2021
Net Book Value
At 31 August 2021
At 31 August 2020		 Freehold
Land and
Buildings
Plant and
Machinery
Equipment
fixtures
and fittings
Motor
vehicles
Total
£
£
£
£
£
35,054,901
473,135
3,847,171
377,599
39,752,806
5,819,653
154,450
201,014
60,922
6,236,039
-
(120,750)
(225,987)
(41,506)
(388,243)
40,874,554
506,835
3,822,198
397,015
45,600,602
2,442,708
141,989
2,886,678
233,810
5,705,185
537,500
39,407
314,881
53,887
945,675
-
(35,340)
(225,987)
(41,506)
(302,833)
2,980,208
146,056
2,975,572
246,191
6,348,027
37,894,346
360,779
846,626
150,824
39,252,575
32,612,193
331,146
960,493
143,789
34,047,621

Included within the net book value of £39,252,575 is £353,717 (2020: £295,396) relating to assets held under hire purchase agreements. The depreciation charged to the financial statements in the year in respect of such assets amounted to £53,523 (2020: £52,423).

48

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

15 TANGIBLE FIXED ASSETS – CHARITABLE COMPANY

Cost
At 1 September 2020
Additions
Disposals
At 31 August 2021
Depreciation
At 1 September 2020
Charge for the year
Disposals
At 31 August 2021
Net Book Value
At 31 August 2021
At 31 August 2020
Direct charitable purposes
Other purposes - management
and administration of the charity		 Freehold
Land and
Buildings
Equipment
fixtures
and fittings
Motor
vehicles
Total
£
£
£
£
35,071,874
3,739,157
371,104
39,182,135
5,819,653
201,014
60,922
6,081,589
-
(225,987)
(41,506)
(267,493)
40,891,527
3,714,184
390,520
44,996,231
2,440,630
2,784,995
227,315
5,452,940
537,500
313,178
53,887
904,565
-
(225,987)
(41,506)
(267,493)
2,978,130
2,872,186
239,696
6,090,012
37,913,397
841,998
150,824
38,906,219
32,631,244
954,162
143,789
33,729,195
37,913,397
840,989
150,824
38,905,210
-
1,009
-
1,009

Included within the net book value of £38,906,219 is £62,909 (2020: £91,353) relating to assets held under hire purchase agreements. The depreciation charged to the financial statements in the year in respect of such assets amounted to £28,444 (2020: £28,444).

Included within the group and company freehold land and buildings additions is £4,957,607 (2020: £2,449,868) which relates to assets under the course of construction as at 31 August 2021. The value of the assets under construction at the year end is £7,407,475 (2020: £2,449,868).

16 INVESTMENT PROPERTY

2021 £

Fair value
As at 1 September 2020 and 31 August 2021 150,000

The fair value of the investment property has been arrived at on the basis of a valuation carried out in August 2016 by Simmons & Sons, who are not connected with the charity. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.

If investment properties were stated on an historical cost basis rather than a fair value basis, the amounts would have been included as follows:

Cost and carrying amount 31 August 2021
2020
£
£
41,250
41,250

49

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

17 FIXED ASSET INVESTMENTS

GROUP
Quoted Investments
Market value at 1 September 2020
Additions
Disposals
Net realised investment gains for the year
Net unrealised investment gains/(losses) for the year
Market value of quoted investments
Cash held in portfolio
Market value at 31 August 2021		 2021
2020
£
£
10,655,206
15,239,355
726,581
5,064,002
(489,677)
(9,709,444)
84,632
911,599
1,370,724
(850,306)
12,347,466
10,655,206
456,241
447,317
12,803,707
11,102,523

The net realised and unrealised gains/(losses) for the year amounted to £1,455,356 (2020: £61,293). Investment Manager Fees amounted to £27,770 (2020: £47,370).

Market value of UK quoted investments at 31 August 2021 is analysed as follows:

Value of investments
Cash
Unquoted Investments
Cost at 1 September 2020 and 31 August 2021
Total Investments for group
Historical cost of UK quoted investments at 31 August
CHARITY
Quoted Investments
Market value at 1 September 2020
Additions
Disposals
Net realised investment gains for the year
Net unrealised investment gains/(losses) for the year
Market value of quoted investments
Cash held in portfolio
Market value at 31 August 2021		 2021
£
2020
£
12,347,466
10,655,206
456,241
447,317
12,803,707
11,102,523
25
25
12,803,732
11,102,548
10,078,746
9,733,669
2021
2020
£
£
10,655,206
15,239,355
726,581
5,064,002
(489,677)
(9,709,444)
84,632
911,599
1,370,724
(850,306)
12,347,466
10,655,206
456,241
447,317
12,803,707
11,102,523

The net realised and unrealised gains/(losses) for the year amounted to £1,455,356 (2020: £61,293).

Investment Manager Fees amounted to £27,770 (2020: £47,370).

Market value of UK quoted investments at 31 August 2021 is analysed
as follows: 2021 2020
£ £
Value of investments 12,347,466 10,655,206
Cash 456,241 447,317
12,803,707 11,102,523
Unquoted Investments
Cost at 31 August 2021:
Shares in subsidiary undertakings 102 102
Debenture loan to subsidiary undertaking 155,000 155,000
155,102
 155,102
Total Investments for Charity 12,958,809
 11,257,625
Historical cost of UK quoted investments at 31 August 10,078,746
 9,733,669

Historical cost of UK quoted investments at 31 August

50

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS (COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

17 FIXED ASSET INVESTMENTS (Continued)

The analysis of investments between Funds is shown in note 25.

Details of the split of investments held by the group at the year end are as follows:-

UK Fixed Interest
Overseas Fixed Interest
UK Equities
Global Equities
Alternative
Property
Cash		 2021
2020
£
£
1,029,489
154,770
1,184,325
152,180
1,621,487
1,237,993
8,346,946
7,146,319
815,952
527,731
378,822
406,658
456,241
447,317
12,803,707
11,102,523

The Charity has shareholdings in the ordinary share capital of the companies listed below, which are registered in England and Wales.

Company Shareholding Activity Capital & Results for
Reserves the year
LWC Enterprises Ltd 100% ordinary shares Hire of residential and
Co Number 02142457 sports facilities 38,799 20,873
Stern Farms Ltd 100% ordinary shares Farming 442,021 21,212
Co Number 01304753

Stern Farms Limited is incorporated in England and Wales. There is a debenture loan due from Stern Farms Limited of £155,000 (2020: £155,000) which carries interest at 5% per annum.

The registered office of both LWC Enterprises Limited and Stern Farms Limited is Lord Wandsworth College, Long Sutton, Hook, Hampshire, RG29 1TB.

18 STOCK

18 STOCK
Finished goods for resale
Arable farming grain in store and
n ground		 2021
Group
Charity
£
£
-
-
234,198
-
234,198
-		 2020
Group
Charity
£
£
-
-
203,744
-
203,744
-
-

51

(COMPANY LIMITED BY GUARANTEE)

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

19 DEBTORS

Due within one year:
Fees receivable
Trade debtors
Amounts owed by group undertakings:
LWC Enterprises Limited
Stern Farms Limited
Other debtors
Prepayments
Due after more than one year:
Loan to St Neots		 2021
Group
Charity
£
£
128,204
128,204
133
-
-
3,551
-
-
276,824
266,203
510,903
462,454
916,064
860,412
2,125,815
2,125,815
3,041,879
2,986,227		 2020
Group
Charity
£
£
22,366
22,366
10,731
-
-
9,201
-
-
139,728
126,720
505,568
446,090
678,393
604,377
-
-
678,393
604,377		 2020
Group
Charity
£
£
22,366
22,366
10,731
-
-
9,201
-
-
139,728
126,720
505,568
446,090
678,393
604,377
-
-
678,393
604,377
604,377
-
604,377

20 INVESTMENTS HELD AS CURRENT ASSETS

Short term bond 2021
Group
Charity
£
£
-
-		 2020
Group
Charity
£
£
3,000,000
3,000,000

21 CREDITORS - AMOUNTS FALLING DUE WITHIN ONE YEAR

Deposits by parents
Fees received in advance
Trade creditors
Taxes and social security
Other creditors
Deferred income
Hire Purchase agreements		 2021
Group
Charity
£
£
49,493
49,493
2,204,363
2,204,363
939,127
894,711
158,592
156,979
721,078
661,460
1,082
1,082
51,840
15,393
4,125,575
3,983,481		 2020
Group
Charity
£
£
44,000
44,000
1,998,987
1,998,987
584,407
556,985
183,758
181,903
627,348
578,950
1,082
1,082
33,089
15,393
3,472,671
3,377,300

Hire purchase agreements are secured on the assets to which they relate.

52

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

22 CREDITORS - AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Deposits by parents
Fees received in advance
Loan notes
Hire Purchase agreements		 2021
Group
Charity
£
£
363,495
363,495
333,569
333,569
15,000,000
15,000,000
41,416
22,666
15,738,480
15,719,730		 2020
Group
Charity
£
£
339,621
339,621
152,614
152,614
15,000,000
15,000,000
55,866
38,059
15,548,101
15,530,294		 2020
Group
Charity
£
£
339,621
339,621
152,614
152,614
15,000,000
15,000,000
55,866
38,059
15,548,101
15,530,294
15,530,294

Hire purchase agreements are secured on the assets to which they relate.

Fees in advance

Parents may enter into a contract to pay the College up to the equivalent of seven years tuition fees in advance. The money may be returned subject to certain conditions. Assuming pupils will remain at the College, advance fees will be applied as follows:

Due within one year
Due between 1 and 2 years
Due between 2 and 5 years
Balance at 1 September 2020
Amount released to income earned from charitable
activities
Amount deferred in the year
Balance at 31 August 2021		 2021
2020
Group
Charity
Group
£
£
£
2,204,363
2,204,363
1,998,987
220,015
220,015
99,173
113,554
113,554
53,441
2,537,932
2,537,932
2,151,601
Group
Charity
£
£
2,151,601
2,151,601
(2,061,134)
(2,061,134)
2,447,465
2,447,465
2,537,932
2,537,932		 2021
2020
Group
Charity
Group
£
£
£
2,204,363
2,204,363
1,998,987
220,015
220,015
99,173
113,554
113,554
53,441
2,537,932
2,537,932
2,151,601
Group
Charity
£
£
2,151,601
2,151,601
(2,061,134)
(2,061,134)
2,447,465
2,447,465
2,537,932
2,537,932		 Charity
£
1,998,987
99,173
53,441
2,151,601
2,537,932

Loan notes

Due within one year
Due between 1 and 2 years
Due between 2 and 5 years
Due after more than 5 years		 2021
2020
Group
Charity
Group
Charity
£
£
£
£
-
-
-
-
500,000
500,000
-
-
1,500,000
1,500,000
1,500,000
1,500,000
13,000,000
13,000,000
13,500,000
13,500,000
15,000,000
15,000,000
15,000,000
15,000,000

The Group holds financial instruments in the form of a fixed interest loan, payable at an interest rate of 3.36%.

During 2016/17 Lord Wandsworth College issued and sold £15m of 3.36% senior unsecured notes to BAe Systems Pension Funds, the capital being repayable from August 2023 to July 2047. This loan was taken out to better enable various improvements around the campus over a number of years (‘Project Beanstalk’).

53

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

22 CREDITORS - AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR (Continued)

Hire purchase agreements

Future commitments under hire purchase agreements are as follows:

Due within one year
Due between 1 and 2 years
Due between 2 and 5 years
Due after more than 5 years
23
FINANCIAL INSTRUMENTS
Investments measured at fair value
through profit or loss		 2021
Group
Charity
£
£
51,840
15,393
31,638
12,888
9,778
9,778
-
-
93,256
38,059
2021
Group
£
Charity
£

12,347,466
12,347,466

 2020
Group
Charity
£
£
33,089
15,393
33,200
15,393
22,666
22,666
-
-
88,955
53,452
2020
Group
£
Charity
£
10,655,206
10,655,206		 2020
Group
Charity
£
£
33,089
15,393
33,200
15,393
22,666
22,666
-
-
88,955
53,452
2020
Group
£
Charity
£
10,655,206
10,655,206

24 OPERATING LEASES

Lessee

At the reporting end date the charitable group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Due within one year
Due between 1 and 5 years		 2021
2020
Group
Charity
Group
Charity
£
£
£
£
67,102
-
38,700
-
196,107
-
24,300
-
263,209
-
63,000
-

Lessor

At the reporting end date the charitable group had contracted with tenants for the following minimum lease payments:

Due within one year
Due between 1 and 5 years		 2021
2020
Group
Charity
Group
Charity
£
£
£
£
-
50,000
-
50,000
-
200,000
-
200,000
-
250,000
15,900
250,000

54

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

25 ACCUMULATED FUNDS – GROUP

Balance at 1 September 2020
Net income
Gains on investments
Transfer
Funds expended
Recoupment charge transfer
Actuarial gains on pension scheme
Balance at 31 August 2021		 Permanent Endowment Funds
Restricted Funds
Unrestricted Funds
Capital
Recoupment
Permanent
William and
Designated
General
Account
Fund
Endowment
Jesse Flower
Other
Restricted
Foundationers
Reserve
Unrestricted
TOTAL
Total
Fund
Total
Fund
Total
£
£
£
£
£
£
£
£
£
£
9,702,484
1,286,040
10,988,524
4,007,644
287,119
4,294,763
1,380,625
20,275,173
21,655,798
36,939,085
-
-
-
96,818
293,196
390,014
38,320
2,939,702
2,978,022
3,368,036
-
136,302
136,302
478,329
-
478,329
193,238
647,487
840,725
1,455,356
-
-
-
-
-
-
89,600
(89,600)
-
-
-
-
-
-
(148,823)
(148,823)
-
-
-
(148,823)
-
50,000
50,000
-
-
-
-
(50,000)
(50,000)
-
-
-
-
-
-
-
-
306,000
306,000
306,000
9,702,484
1,472,342
11,174,826
4,582,791
431,492
5,014,283
1,701,783
24,028,762
25,730,545
41,919,654

ACCUMULATED FUNDS – CHARITABLE COMPANY

Balance at 1 September 2020
Net income
Gains on investments
Transfer
Funds expended
Recoupment charge transfer
Actuarial gains on pension scheme
Balance at 31 August 2021		 Permanent Endowment Funds
Restricted Funds
Unrestricted Funds
Capital
Recoupment
Permanent
William and
Designated
General
Account
Fund
Endowment
Jesse Flower
Other
Restricted
Foundationers
Reserve
Unrestricted
TOTAL
Total
Fund
Total
Fund
Total
£
£
£
£
£
£
£
£
£
£
9,702,484
1,286,040
10,988,524
4,007,644
287,119
4,294,763
1,380,625
19,817,737
21,198,362
36,481,649
-
-
-
96,818
293,196
390,014
38,320
2,935,471
2,973,791
3,363,805
-
136,302
136,302
478,329
-
478,329
193,238
647,487
840,725
1,455,356
-
-
-
-
-
-
89,600
(89,600)
-
-
-
-
-
-
(148,823)
(148,823)
-
-
-
(148,823)
-
50,000
50,000
-
-
-
-
(50,000)
(50,000)
-
-
-
-
-
-
-
-
306,000
306,000
306,000
9,702,484
1,472,342
11,174,826
4,582,791
431,492
5,014,283
1,701,783
23,567,095
25,268,878
41,457,987

Within the permanent endowment funds for both the Group and Charity is £108,750 in respect of the fair value reserve for the investment property.

55

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

25 ACCUMULATED FUNDS – GROUP

Balance at 1 September 2019
Net income/(expenditure)
Gains on investments
Transfer
Designated funds expended
Recoupment charge transfer
Actuarial losses on pension scheme
Balance at 31 August 2020
ACCUMULATED FUNDS –
Balance at 1 September 2019
Net income/(expenditure)
Gains on investments
Transfer
Designated funds expended
Recoupment charge transfer
Actuarial losses on pension scheme
Balance at 31 August 2020		 Balance at 1 September 2019
Net income/(expenditure)
Gains on investments
Transfer
Designated funds expended
Recoupment charge transfer
Actuarial losses on pension scheme
Balance at 31 August 2020
ACCUMULATED FUNDS –
Balance at 1 September 2019
Net income/(expenditure)
Gains on investments
Transfer
Designated funds expended
Recoupment charge transfer
Actuarial losses on pension scheme
Balance at 31 August 2020		 Capital
Recoupment
Permanent
William and
Designated
General
Account
Fund
Endowment
Jesse Flower
Other
Restricted
Foundationers
Reserve
Unrestricted
TOTAL
Total
Fund
Total
Fund
Total
£
£
£
£
£
£
£
£
£
£
9,702,484
1,193,117
10,895,601
3,782,753
296,641
4,079,394
1,164,408
18,979,077
20,143,485
35,118,480
-
-
-
74,666
166,551
241,217
95,895
1,838,273
1,934,168
2,175,385
-
42,923
42,923
150,225
-
150,225
60,922
(192,777)
(131,855)
61,293
-
-
-
-
-
-
59,400
(59,400)
-
-
-
-
-
-
(176,073)
(176,073)
-
-
-
(176,073)
-
50,000
50,000
-
-
-
-
(50,000)
(50,000)
-
-
-
-
-
-
-
-
(240,000)
(240,000)
(240,000)
9,702,484
1,286,040
10,988,524
4,007,644
287,119
4,294,763
1,380,625
20,275,173
21,655,798
36,939,085
CHARITABLE COMPANY
Permanent Endowment Funds
Restricted Funds
Unrestricted Funds
Capital
Recoupment
Permanent
William and
Designated
General
Account
Fund
Endowment
Jesse Flower
Other
Restricted
Foundationers
Reserve
Unrestricted
TOTAL
Total
Fund
Total
Fund
Total
£
£
£
£
£
£
£
£
£
£
9,702,484
1,193,117
10,895,601
3,782,753
296,641
4,079,394
1,164,408
18,554,835
19,719,243
34,694,238
-
-
-
74,666
166,551
241,217
95,895
1,805,079
1,900,974
2,142,191
-
42,923
42,923
150,225
-
150,225
60,922
(192,777)
(131,855)
61,293
-
-
-
-
-
-
59,400
(59,400)
-
-
-
-
-
-
(176,073)
(176,073)
-
-
-
(176,073)
-
50,000
50,000
-
-
-
-
(50,000)
(50,000)
-
-
-
-
-
-
-
-
(240,000)
(240,000)
(240,000)
9,702,484
1,286,040
10,988,524
4,007,644
287,119
4,294,763
1,380,625
19,817,737
21,198,362
36,481,649

Within the permanent endowment funds for both the Group and Charity is £108,750 in respect of the fair value reserve for the investment property.

56

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

(COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

25 ACCUMULATED FUNDS (Continued)

Analysis of net
assets between
funds - Group
Capital account
Recoupment account
Restricted Funds
Unrestricted Fund
Analysis of net
assets between
funds – Charity
Capital account
Recoupment account
Restricted Funds
Unrestricted Fund		 Tangible
Fixed
Assets
Investments
Current
Assets
Current
Liabilities
Long
Term
Creditors
Total
£
£
£
£
£
£
9,832,147
-
-
(129,663)
-
9,702,484
-
1,342,679
129,663
-
-
1,472,342
9,832,147
1,342,679
129,663
(129,663)
-
11,174,826
-
3,883,722
1,130,561
-
-
5,014,283
29,570,428
7,577,331
7,412,178
(3,995,912)
(14,833,480)
25,730,545
39,402,575
12,803,732
8,672,402
(4,125,575)
(14,833,480)
41,919,654
Tangible
Fixed
Assets
Investments
Current
Assets
Current
Liabilities
Long
Term
Creditors
Total
£
£
£
£
£
£
9,832,147
-
-
(129,663)
-
9,702,484
-
1,342,679
129,663
-
-
1,472,342
9,832,147
1,342,679
129,663
(129,663)
-
11,174,826
-
3,883,722
1,130,561
-
-
5,014,283
29,224,072
7,732,408
6,980,946
(3,853,818) (14,814,730)
25,268,878
39,056,219
12,958,809
8,241,170
(3,983,481) (14,814,730)
41,457,987

Capital Account

Land, buildings and investments form the permanent endowment.

Recoupment Account

Expenditure of restricted funds on capital projects is recouped in a separate account under Orders of the Charity Commission. The balance of £4,422,125 will be recouped over 60 years. On completion, funds recouped are transferred to the Capital Account.

Designated Foundationers Fund

Funds designated by the Governors for the purpose of creating allocated funds to be used to finance the bursaries awarded to Foundationers in future years.

Unrestricted Funds

Within unrestricted reserves is The Benefactors Fund which arose from general donations received by the College. Its application is at the discretion of the Governors as no specific objectives have been set by the individual donors. The balance of this fund as at 31 August 2021 was £71,033 (2020: £64,963).

Restricted Funds

The Foundation has received approx. £2.15m in total from the Flower legacy. The legacy is required to be invested in an account from which the interest can be used to assist a female Foundationer. This was recognised and accrued for as income in the 2011/12 financial statements. The final instalment amounting to £168,333 was received during 2015/16.

Other Restricted Funds

Included in Other Restricted Funds is a donation of £50,000 towards the education of Foundation pupils.

57

(COMPANY LIMITED BY GUARANTEE)

LORD WANDSWORTH COLLEGE AND SUBSIDIARY UNDERTAKINGS

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

26 ANALYSIS OF CHANGES IN NET FUNDS

Cash
Debt due after one year:
Bank loans
Total net		 At 1 September
2020
£
6,486,551
(15,000,000)
(8,513,449)		 Cash
flows
£

(1,090,226)

-

(1,090,226)		 At 31 August
2021
£
5,396,325
(15,000,000)
(9,603,675)

27 CAPITAL COMMITMENTS

At the year end there were no capital commitments other than the Science Block. The commitment for this at the year end was in the region of £1.2m.

At the previous year end the college was contractually committed to £5.9m for the ongoing Science Block project.

28 RELATED PARTY TRANSACTIONS

The following Governor of Lord Wandsworth College is a director of LWC Enterprises Ltd:

N C Goulding

The following Governors of Lord Wandsworth College are directors of Stern Farms Ltd:

Danny Gowan R G Janaway D W Watts

Subsequent to the year end LWC Enterprises Ltd will distribute £3,019 (2020: £nil) from its reserves to Lord Wandsworth College.

Subsequent to the year end Stern Farms Ltd will distribute £nil (2020: £38,835) from its reserves to Lord Wandsworth College and will be paid in the following year. Stern Farms Ltd paid rent of £50,000 (2020: £50,000) and £7,750 (2020: £7,750) debenture interest to Lord Wandsworth College. Lord Wandsworth College holds a fixed and floating charge over the assets of Stern Farms Ltd in respect of the debenture.

29 ULTIMATE CONTROLLING PARTY

The Governors of the College are considered to represent the ultimate controlling party.

58