**HALCYON LONDON INTERNATIONAL SCHOOL (A Company Limited by Guarantee)** 

**GOVERNORS’ REPORT AND FINANCIAL STATEMENTS** 

**FOR THE YEAR ENDED 31st JULY 2021** 

Registered Company Number: 08120017 Registered Charity Number: 1150105 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

**GOVERNORS’ REPORT AND FINANCIAL STATEMENTS** 

## **CONTENTS** 

||**Page**|
|---|---|
|Reference and Administrative Information|1|
|Governors’ Report|2 – 12|
|Independent Auditor’s Report|13 – 14|
|Statement of Financial Activities|15|
|Balance Sheet|16|
|Cash Flow Statement|17|
|Notes to the Financial Statements|18 – 29|





**HALYCON LONDON INTERNATIONAL SCHOOL** 

**REFERENCE AND ADMINISTRATIVE INFORMATION** 

## **YEAR ENDED 31 JULY 2021** 

|**Registered Charity Name**|Halcyon London International School|
|---|---|
|**Charity Number**|1150105|
|**Company Registration Number**|08120017|
|**Registered Office**|33 Seymour Place, London, W1H 5AU|
|**Trustees**|Julia Alden (resigned December 2020)|
||Achim Beck|
||Rita Halbright|
||Philippa Harris|
||Alastair Marke|
||Pamela Sears|
||Douglas Blausten (appointed Nov 2020)|
||Rebecca Threlfall (appointed Nov 2020)|
|**School Director**|Barry Mansfield|
|**Chair**|Rita Halbright|
|**Vice-Chair**|Achim Beck|
|**Auditors**|Haysmacintyre LLP|
||10 Queens St. Place|
||London|
||EC4R 1AG|
||_from 08/04/2021_|
|**Bankers**|Barclays Bank|
||Lloyds Bank|
|**Solicitors**|Veale Wasbrough Vizards|
|**Website**|www.halcyonschool.com|



The Trustees, who are also directors for the purposes of the Companies Act, have pleasure in presenting their report for the year ended 31 July 2021 under the Companies Act 2006 and the Charities Act 2011. The audited financial statements for the year comply with the requirements of the Companies Act 2006, the Company's Memorandum and Articles of Association and the Charities SORP (FRS 102). 

## **REFERENCE & ADMINISTRATIVE INFORMATION** 

Halcyon London International School is a charitable company founded in 2012 and incorporated as a company limited by guarantee in June 2012. 

Reference and administrative details are shown in the schedule of Trustees and professional advisers on page 1 of the financial statements. 

## **Founding Members** 

The Founding Members of the charity were: Achim Beck Rita Halbright Julie Matthaeus Pamela Sears 

1 



**HALYCON LONDON INTERNATIONAL SCHOOL** 

**GOVERNORS’ REPORT** 

## **YEAR ENDED 31 JULY 2021** 

## **Trustees** 

The Trustees, who are members of the charity, during the period were as follows and the grid below shows details of the various committees on which they served: 

||GC|PC|FC|Fa C|DEI|Dev.|CP|L&T|
|---|---|---|---|---|---|---|---|---|
|Rita<br>Halbright<br>(Chair)|✓||✓|✓|C|C|||
|AchimBeck<br>(Vice-<br>Chair)|✓||C|C|||||
|Julia Alden<br>(to<br>31/12/2020)|||||||||
|Douglas<br>Blausten<br>(from<br>11/2020)|||||||||
|Philippa<br>Harris<br>(from<br>19/11/2020)|✓|✓|||✓||✓|✓|
|Alastair<br>Marke||✓||||✓|||
|Pamela<br>Sears|C|C|||||✓||
|Rebecca<br>Threlfall<br>(from<br>11/2020)|✓||||✓||||



GC (Governance Committee), PC (Policy Committee), FC (Finance Committee), Fa C (Facilities Committee), DEI  (Diversity, Equity and Inclusion Committee), Dev (Development Committee), (CP Safeguarding Lead), L&T (Learning and Teaching Lead), C (Chair). 

2 



**HALYCON LONDON INTERNATIONAL SCHOOL** 

**GOVERNORS’ REPORT** 

**YEAR ENDED 31 JULY 2021** 

## **STRUCTURE, GOVERNANCE & MANAGEMENT** 

## **Governing Document** 

Halcyon London International School (Halcyon) is a charitable company limited by guarantee, incorporated on 26 June 2012, and registered as a charity on 10 December 2012. The company was established under a Memorandum of Association and is governed under its Articles of Association which established the objects and powers. In the event of the winding up of the charitable company the liability of the members is not to exceed £1 each. 

## **Governing Board** 

The members of the Board, as the charity Trustees, are legally responsible for the overall management and control of the School. They meet at least five times per year and additionally hold strategic planning days throughout the year. 

The Board is committed to delivering and developing the School’s mission statement: “to provide an exceptional education that draws out the unique potential of each student” 

The key strands of the mission statement are: 

_Innovation - building a creative and questioning culture Collaboration - learning and succeeding together Community- valuing one another and learning together_ 

Trustees have established the following committees to support the work of the Board and all Trustees have access to papers for all committees to enable them to stay informed: 

- The Governance Committee is responsible for supporting the board by acting as the coordinating committee in the planning and organisation of the Board’s workload, recruitment, training needs, succession planning and board and director assessment. 

- The Finance Committee provides financial oversight and sets long-term financial goals. 

- The Facilities Committee supports the Board in the formulation and implementation of strategy, policies and guidelines covering all aspects of the facilities required for teaching, learning, extracurricular, administration, growth, and all other operations. 

- The Policy Committee supports the School and Board in managing and reviewing policies to ensure that the School is fully compliant in all areas and has clear systems and procedures in place to support the day to day operation of the School. 

- The Diversity, Equity and Inclusion Committee works collaboratively with School staff to develop and deliver the School’s diversity, inclusion and equality practices and policies. 

- The Development Committee collaborates with the School on developing its fundraising strategy and oversees its implementation. 

- The Safeguarding Leads support the School and the Board in managing Safeguarding and Safer Recruitment, overseeing that all stakeholders are aware of and are fulfilling their responsibilities, and ensuring that Safeguarding and Safer Recruitment remain a key School and Board priority. The Designated Safeguarding Board Members serve to support the School and liaise with the Director, the DSL and Wellbeing Team in the event of a safeguarding incident. 

- Whilst the Board has overall responsibility to ensure the quality of the overall educational programming of the school, the Learning and Teaching Lead has a more focused purpose, working with the Director and members of the SLT, to identify specific focus areas or educational projects at the beginning of each academic year, usually derived from or linked to the Strategic Plan and to receive updates on these on behalf of the Board. 

3 



**HALYCON LONDON INTERNATIONAL SCHOOL** 

**GOVERNORS’ REPORT** 

## **YEAR ENDED 31 JULY 2021** 

Trustees meet with parents annually to update them on strategic policies, share new developments and respond to any queries. They hold an event in the autumn for new families, attend school events throughout the year and take part in some CPD events with staff. This enables them to form good relationships with all stakeholders. Whilst this has been challenging during the current year, Trustees were able to hold the annual meeting with parents virtually, attend graduation virtually and in person and meet with members of the Halcyon Parents Community (HPC). 

All Trustees give of their time freely and no remuneration was paid in the year. No Trustee or person connected with a Trustee has received any benefit from their position. 

The Trustees determine the general policies of the School and entrust the day to day running of the School to the School Director. He is supported by a Leadership Team including the Director of Finance and Operations, Learning Systems Coordinator, IBMYP and IBDP Coordinators, Wellbeing Leader, Digital Leader, HR & Compliance Manager, Admissions Director and Marketing Leader. This team is supported by administrative and teaching staff. The School Director undertakes the key leadership role overseeing educational, pastoral, and administrative functions. The day to day administration of the school is undertaken within the policies and procedures approved by the Board. Trustees are committed to partnership working. The Director and Director of Finance and Operations (DFO) attend all Board meetings. In addition, the Director sits on all committees and the DFO sits on both the Facilities and Finance Committees meetings. 

## **Remuneration** 

The School is an equal opportunities employer, full and fair consideration is given to all job applications and the School does not discriminate. This is evident in the diverse staff population which represent 25 different countries and has a gender split of 38 females and 16 males. The senior leadership team of eight employees is comprised of three men and five women. 

Staff have access to a generous staff development programme and are consulted when key decisions which directly impact on them are being made so that their views can be taken into account. All staff receive regular updates on the financial performance of the School. 

The School aims to recruit the most capable and well-qualified staff, paying a premium to staff offering qualifications at Masters level. Salaries are reviewed on an annual basis in an open and transparent way, balancing developments in the sector with the fact that the School is small and runs as a not for profit organisation. 

The pay and remuneration of all salaried staff is reviewed annually and approved by the Board. 

## **Trustee Recruitment and Training** 

On-going training for Trustees (with the Director) is in the form of bespoke governance workshops, together with the offer to attend specific training courses and conferences run by organisations such as Education Across Frontiers, Realization Ltd, and similar relevant bodies. 

The aim is to develop greater understanding of effective school governance as well as the School's operations, programming and curriculum. All Trustees have completed statutory training through EduCare in Safeguarding, Safer Recruitment, Health & Safety, Fire Safety and Data Protection. Two Trustees have completed Level 3 Safeguarding. During the year Trustees, as part of the Board’s commitment to Diversity, Equity and Inclusion have been involved in the following training session: 

- Intercultural Development Inventory Training alongside school staff. 

- Facing History and Ourselves events including Examining Race and Wellbeing in the Workplace. 

- Diverse Governance Webcasts and Bespoke Training. 

- Sessions on the role of Trustees in promoting DEI. 

4 



**HALYCON LONDON INTERNATIONAL SCHOOL** 

**GOVERNORS’ REPORT** 

## **YEAR ENDED 31 JULY 2021** 

Additionally Trustees attended an in-house training session looking at their role in development and fundraising.  Trustees have continued to access online materials and webinars relating to Covid to ensure that they have had access to the most up-to-date and accurate information to inform Board decision-making. 

Following a Board skills assessment, a decision was taken to expand the Board. The Board welcomed two new Trustees in November 2020 and the process has continued through the summer of 2021 with the Board aiming to have a minimum of two new Trustees in place by September 2021. 

## **Organisational Management** 

The Senior Leadership Management Team meets weekly to implement the general policy of the School and review its overall management and control. The financial management of the company is overseen by the members of the Finance Committee who meet at least once in each School term. 

During the year the Director and the Board jointly implemented a strategic review, together with members of each stakeholder group (Board, staff, students, and parents) to develop the next phase of the School’s Strategic Plan. 

The Senior Leadership Learning Team (IB Curriculum Coordinators, Wellbeing Leader, Learning Systems Coordinator and Director) meets weekly and through these meetings drive the interdisciplinary approach that the School takes in delivering the curriculum. 

## **Risk Management** 

The risk management process was reviewed by the Board over the summer of 2020 with the management of risk being brought into line with the strategic priorities and a traffic light risk rating system implemented. 

The Trustees regard the possible risks to the School as: 

- Potential challenge of managing financial pressures caused by situations outside of the School’s control. 

The annual cost and income budget is set on a conservative basis to ensure that the School would be able to continue to operate during a temporary significant reduction in student numbers. If such a fall in numbers looked likely to be sustained the Trustees would look first to cost reduction while prioritising curriculum and staffing. The Trustees continue to keep the School's activities under review, particularly with regard to any major unexpected risks which might arise from time to time. They monitor the effectiveness of the system of internal controls and other viable means, including insurance cover where appropriate, by which those risks already identified by the Trustees can be mitigated. 

- 

- Inadequate premises to continue to provide for the School’s educational aims. 

Managing the growth of the School and ensuring that the premises provide the facilities to support the School’s educational aims is a key element of the strategic plan and is under constant review. 

- 

- Potential failure to attract sufficient students, with the consequence of falling numbers of students on roll. 

5 



**HALYCON LONDON INTERNATIONAL SCHOOL** 

## **GOVERNORS’ REPORT** 

## **YEAR ENDED 31 JULY 2021** 

The School has a marketing plan which includes recruitment which is reviewed and monitored on a regular basis by the Board and adapted as necessary 

- Potential damage to the School’s reputation. 

The School has robust systems and procedures in place to ensure that it is fully compliant in all areas. 

- The political climate and potential impact on the School. 

It is difficult to identify control measures but the School continues to work with representative bodies and wherever possible promote the positive contribution that it makes to society. As the School grows, ways in which public benefit can be extended (especially through bursaries) are being reviewed. 

- The impact of the Covid 19 pandemic on the School. 

The School was well placed to respond to the challenges posed by the pandemic. Thanks to responsive and innovative leadership and a high level of digital integration, the School was able to make a seamless transition to remote learning. 

In order to ensure that the School could respond promptly to the pandemic a working group comprising Trustees and members of the SLT was created. This working group has continued to operate as necessary anticipating that the key risks to be managed in the coming year will be: 

- 1) the impact of the pandemic on recruitment and admissions. 

- 2) the operational implications of managing the School through a period of uncertainty. 

- 3) managing the implementation of changing government policy. 

- 4) delivering the highest standards of health and safety to ensure the safety of staff and pupils. 

- 5) continuing to deliver an outstanding academic and wellbeing programme. 

- 6) ensuring flexibility within financial planning to enable the School to manage through a period of change. 

- 7) continuing to ensure that the School can provide innovative and flexible digital provision. 

## **OBJECTS, PUBLIC BENEFIT, AIMS, OBJECTIVES AND PRINCIPAL ACTIVITIES** 

The objective of the Charity for the public benefit is to advance education. 

In setting the objectives and planning the activities the Trustees have given careful consideration to the Charity Commission's general guidance on public benefit and in particular to its supplementary public benefit guidance on advancing education and on feecharging. Halcyon London International School is a charitable trust which seeks to benefit the public through the pursuit of its stated aims. Its fees are set at a level to ensure the financial viability of the School at a level that is consistent with its aim of providing a first-class education to all students. 

The School's charitable objective is “to advance education”. This objective is recognised as benefiting the public when pursued in the context of formal education in a body where all surplus funds are reinvested. Halcyon is a company limited by guarantee, with no external shareholders and no possibility of making distributions, including in the form of dividends. All surpluses are re-invested in education at Halcyon and projects outside of the School that support the students’ educational experience. 

The School's HR and Admissions practices aim to recruit on a fair and non-discriminatory basis, to create an inclusive and diverse community that better reflects our society and best prepares students for life. 

6 



**HALYCON LONDON INTERNATIONAL SCHOOL** 

## **GOVERNORS’ REPORT** 

## **YEAR ENDED 31 JULY 2021** 

In the furtherance of this objective, the Trustee Directors, as the charity Trustees, have complied with the duty in Section 17 of the Charities Act 2011 to have due regard to the Charity Commission's published general and relevant sub-sector guidance concerning the operation of the public benefit requirement under that Act. In shaping the objectives and planning activities for the year, the Trustees have considered the Charity Commission's guidance on public benefit, including the guidance 'Public benefit: running a charity (PB2). 

## **Strategic Aim and Intended Effect Halcyon Mission:** 

## Education: from educe meaning “to draw out” 

To provide an exceptional education that draws out the unique potential of each student. 

## **Objectives for the year** 

Objectives for the 2020-2021 academic year were: 

## **A. Governance** 

To secure continuity and growth on the School Board by: 

1. Expanding and diversifying the Board by recruiting a minimum of two new Trustees and developing a strategy for succession planning 

## 2. To continue to develop the governance structure to drive forward the School’s ambitious strategic goals. 

## **B. Learning and Teaching** 

1.  To develop more effective use of data in support of learning 

2.  To continue to build learner autonomy 

3.  To expand and develop social emotional learning (SEL) 

4. To review the International Baccalaureate Approaches to Learning (ATL) and align these with social emotional learning. 

## **C. Admissions** 

To improve the experience of transition for families new to the School. 

## **D. Finance & Facilities** 

## 1. To deliver outstanding facilities to accommodate the School’s strategic growth plan. 

2. To optimise the current premises: undertake a strategic review of the use of the Seymour Place site, to ensure the most effective use of space in support of learning outcomes. 

3. To further develop the Bursary Programme by better defining the scope of, and access to the programme by establishing relationships with feeder schools and bursary organisations. 

## **E. Community Engagement** 

To assess and renew the intentional creation of an equitable, inclusive and diverse community. 

## **F. Human Resources** 

To attract and retain high quality, diverse staff. 

## **Principal Activity** 

The principal activity continues to be the provision of an innovative, life-readying education that is not-for-profit, co-educational, International Baccalaureate (IB), international day school, in central London for students aged 11 to 18 and that places a high emphasis on student-centred learning and wellbeing. 

7 



**HALYCON LONDON INTERNATIONAL SCHOOL** 

## **GOVERNORS’ REPORT** 

## **YEAR ENDED 31 JULY 2021** 

## **Bursaries** 

The School has a framework and policies for a means-tested bursary programme. This programme has received annual support from donors and since 2018 has received a contribution from the School that will increase as the School grows. The aspirational goal is that the annual contribution will reach   £90,000. In the current year the School awarded £110,000 bursary funding to six candidates who met and exceeded Halcyon's admissions criteria but could not afford all or part of the tuition. 

## **Public Benefit** 

In setting the School’s objectives the Trustees have paid due regard to the public benefit guidance published by the Charity Commission. 

## **Community partnership links** 

The service learning aspect that runs through the curriculum for all grades was significantly impacted by the restrictions imposed to preserve public health in wake of the Covid-19 pandemic. From September 2021, the School will work hard to re-establish links to the wider community as society finds a new normality. 

## **Equal Opportunities** 

Halcyon London International School is an equal opportunities organisation and is committed to a working and educational environment that is free from any form of discrimination on the grounds of age, disability, gender reassignment, marriage and civil partnership, pregnancy and maternity, race,religion or belief, sex and sexual orientation. To recognise the importance that the School places on Diversity, Equity and Inclusion a Board Committee was established in September 2019 to ensure that the School moves towards being a leader in best practice and this has been an area of focus in the current year for the Board and the School. 

## **Safeguarding** 

The School is committed to safeguarding and promoting the welfare of pupils and expects all stakeholders to share this commitment. 

Trustees monitor that safeguarding arrangements are effective by: 

- ensuring that safeguarding is an agenda item at every Board meeting. 

- appointing a Trustee with responsibility for safeguarding who oversees and monitors arrangement and who collaborates with School leadership. 

- reviewing an annual report compiled by the DSL detailing how School procedures are working and providing an update on staff training. 

- undertaking the necessary training as required. 

8 



**HALYCON LONDON INTERNATIONAL SCHOOL** 

**GOVERNORS’ REPORT** 

**YEAR ENDED 31 JULY 2021** 

## **REVIEW OF ACHIEVEMENTS AND PERFORMANCE FOR THE YEAR** 

## **Projects** 

School wide projects - initiatives to support learning and wider school development - provide the central, shared, mechanism for change at Halcyon. Four whole school projects ended this year: Staff Wellbeing, Sustainability, Data, and English Plus. 

- **Staff Wellbeing** 

Wellbeing services embedded in weekly Thursday workshops, supported by shared digital, and human, wellbeing resources. 

- **Learning Data** 

A new online data site has been created, hosting all academic learning data (semester grades, criteria levels, and final IB Diploma scores). 

- **English Plus** 

   - Published exit criteria for the programme; WIDA testing and data analysis protocols adopted to admit and evaluate students; student-facing documentation created; EAL accommodations incorporated within SEN system. 

- **Sustainability** 

Sustainability Policy Statement adopted by School Board; Sustainability Policy developed, pending approval by the School Board; Sustainability embedded in all subject learning outcomes, evidenced in unit planners in Managebac and in planning protocols; annual days - Outdoor Classroom and Earth Day - on Staff and Whole School calendars 

Other projects in place during the school year, and continuing through 2021/22, were: 

- **Student Voice** 

Researching and presenting areas where student voice and choice are already present in the curriculum. Supporting faculty in creating opportunities for student voice and autonomy in curriculum development. Exploring opportunities in the curriculum where students can contribute to planning and decision making. Developing peer coaching programme where Grade 11/12 mentor Grade 9/10 by teaching skills necessary for the transition to the Diploma Program. 

- **Diversity, Equity and Inclusion** 

   - Creating committees to manage each of the following areas: curriculum, finance, HR and admissions/communications. All committees include staff, students and parents. Staff training to build culturally responsive practice and audit curriculum accordingly. Revision of admissions practice, pending a review of admissions policy. 

- **Community Partnerships** 

Developing a parent network for community partnership initiatives (guest speakers etc.) Developing an alumni network for community partnership initiatives (guest speakers etc.) Creating a guest speaker series (unfortunately, undermined by Covid) Developing partnerships with other London-based schools for interview and admissions testing preparation. 

- **Approaches to Learning [ATL] & Design Thinking** 

   - Carrying out research from a variety of educational platforms into effective ATL integration (published literature, school visits). 

To audit the areas of strength, and opportunities for improvement, and supporting each subject area at Halcyon in completion of unit planners and in summative assessment tasks. 

9 



**HALYCON LONDON INTERNATIONAL SCHOOL** 

**GOVERNORS’ REPORT** 

## **YEAR ENDED 31 JULY 2021** 

- **Extended Essay** 

Auditing student and staff experience. 

   - Providing staff and students with a revised framework for the Extended Essay process and deadlines, beginning January 2021 and completing in October 2022. 

- **Intercultural Competency** 

Training for staff- leaders to deliver, to all staff and Board members, an Intercultural Competency Inventory, and reporting back to key stakeholders. Embedding the findings of the inventory into changed staff practice, and into new staff orientation. 

Within the project team, we liaised with the Communications and Engagement Team to support their objective this year, to audit and improve transition from primary school into Grade 6. 

## **Evaluation** 

The School successfully completed an International Baccalaureate Middle Years Programme Evaluation. The School met or exceeded all IB Standards and there were no matters to be addressed. 

## **Public Examination Results** 

The School enjoyed a very successful IBDP examination session. All candidates passed the IB Diploma, with an average score of 35.2; 50% scored 39 points or higher, and 27% were awarded a bilingual diploma. All Diploma students were accepted at their first choice university. 

## **Extra-Curricular Offer** 

The School reviewed extracurricular activities, with a focus on creating the opportunity for additional sports, especially team sports. We also reviewed and strengthened areas such as robotics, to provide a stronger STEM profile. 

## **Scheduling** 

The School schedule changed significantly to accommodate Covid protocols. This included longer lesson blocks (3 hours) to minimise movement and mixing. We will maintain the three hour lessons for MYP arts and PHE, G6 - 9. The remaining MYP schedule would revert back to the 2+1 model (one 120 minutes class, and one 60 minute class, each on different days). 

## **Covid 19** 

Halcyon complied with all applicable government Covid guidelines through the school year, providing an uninterrupted education for all students. 

Further, owing to its digitally integrated offering, Halcyon was able to adapt quickly and effectively to the changing governmentmandated requirements for in-school and remote learning. Halcyon also diverted certain resources typically used for in-school activities so as to increase its digital wellbeing provision to help the community to remain connected and supported through a challenging period of uncertainty. 

## **PLANS FOR FUTURE PERIODS** 

Objectives for the 2021-2022 academic year are to continue to pursue the objectives set out in the School’s published Strategic Outlook document, and to continue to pursue the projects outlined above. Operationally, this will include a particular focus on the following: 

- Social and Emotional Learning (SEL), and the integration of this programme into the IB Approaches to Learning framework. 

- Implementation of the IB Action Plan, following evaluation visits for both the MYP and DP. 

10 



**HALYCON LONDON INTERNATIONAL SCHOOL** 

**GOVERNORS’ REPORT** 

## **YEAR ENDED 31 JULY 2021** 

- A review of Admissions policy. 

- The implementation of a new sustainability policy. 

- Preparation for NEASC accreditation visit, scheduled for Autumn 2022. 

## **FUNDRAISING DISCLOSURES** 

Halcyon does not raise funds from the public and does not work with professional fundraisers or commercial participators. The School has not subscribed to any fundraising standards or schemes for fundraising regulation. 

There were no complaints received in the period. 

## **FINANCIAL REVIEW AND RESULTS FOR THE YEAR** 

The charitable activities of Halcyon were severely disrupted by the effects and responses to the Global Covid-19 pandemic. International recruitment into London slowed to a trickle, while a number of families moved out of London. For the first time in the history of the School, student admissions dipped. As a result, operating income fell by 13% to £4.6million and reported net income fell by 44% to £410,314. 

A decline in student admissions by 15% pressed tuition fee income down to £4.3million, while operating costs were shaved by just under 9%. Staffing remained largely unchanged in terms of numbers and expenditure as the School maintained a high quality education offer. Indeed, there were a number of expanded subject options within maths, languages and the sciences. Nonetheless, the full year operational result was just ahead of forecast. 

Despite the difficult year, Halcyon was able to pay down £126,000 loan capital, reducing net debt to £274,000 while raising cash holdings to £3.4million. The business model remained robust in trying times. 

The forecasts going into the next year look somewhat more positive than at this time last year. Pupil admission data shows the largest number of new students joining Halcyon, ever. Grade 6 admissions are almost double previous years, while the numbers in Grade 11 are swelled by 40% more joining pupils. As these two grades represent important UK school transition points; 11+ and 6th Form, the School is hopeful that these trends will continue over the next few years. 

## **Investment powers and policy** 

These are governed by the Memorandum and Articles of Association, which permit funds to be invested in any security listed on the London Stock Exchange. The School currently has no investments. 

## **Reserves** 

At the end of the accounting period, total unrestricted free reserves stood at £1,587,988 which is in excess of the policy target of holding 3 months of unrestricted expenditure. This figure includes £153,685 held as general funds with the designated purpose to support the bursary programme. These funds will be expended over the next two years. 

## **RESPONSIBILITIES OF THE TRUSTEES** 

The Trustees (who are also directors of Halcyon London International School for the purposes of company law) are responsible for preparing the Report of Halcyon London International School and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice.) 

Company law requires Trustees to prepare financial statements for each financial year which give a true and fair view of the state of the affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. 

11 



**HALYCON LONDON INTERNATIONAL SCHOOL** 

## **GOVERNORS’ REPORT** 

## **YEAR ENDED 31 JULY 2021** 

In preparing these financial statements, the Trustees are required to: 

- select suitable accounting policies and then apply them consistently; observe the methods and principles in the Charities SORP; make judgements and estimates that are reasonable and prudent; 

- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. 

The Trustees are responsible for keeping proper accounting records that 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 the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 

In so far as the Trustees are aware: 

- there is no relevant audit information of which the charitable company's auditor is unaware; and 

- The Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information. 

## **AUDITORS** 

The appointment of auditors will be proposed at the annual general meeting in accordance with section 487 of the Companies Act 2006. 

This report has been prepared in accordance with the special provisions of the Companies Act 2006 relating to small companies. 

Approved by the Board and signed on its behalf: 


Rita Halbright (Chair) 

Date: 7 October 2021 

12 



## **INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF HALCYON LONDON INTERNATIONAL SCHOOL** 

## **Opinion** 

We have audited the financial statements of Halcyon London International School for the year ended 31 July 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). 

In our opinion, the financial statements: 

- give a true and fair view of the state of the charitable company’s affairs as at 31 July 2021 and of the charitable company’s net movement in funds, including the income and expenditure, for the year then ended; 

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

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

## **Basis for opinion** 

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

## **Conclusions relating to going concern** 

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

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

## **Opinions on other matters prescribed by the Companies Act 2006** 

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

- the information given in the Governors’ Report (which includes the directors’ report prepared for the purposes of company law) for the financial year for which the financial statements are prepared is consistent with the financial statements; and 

- the directors’ report included within the Governors’ Report have been prepared in accordance with applicable legal requirements. 

## **Matters on which we are required to report by exception** 

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

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

- adequate accounting records have not been kept by the charitable company; or 

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

- certain disclosures of trustees’ remuneration specified by law are not made; or 

- we have not received all the information and explanations we require for our audit; or 

13 



- the trustees were not entitled to prepare the financial statements in accordance with the small companies’ regime and take advantage of the small companies’ exemptions in preparing the trustees’ report and from the requirement to prepare a strategic report. 

## **Responsibilities of trustees for the financial statements** 

As explained more fully in the trustees’ responsibilities statement (set out on page 11), the trustees (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 trustees 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 trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. 

## **Auditor’s responsibilities for the audit of the financial statements** 

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

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

Based on our understanding of the charitable company and the environment in which it operates, we identified that the principal risks of non-compliances with laws and regulations related to the regulatory requirements of the Charity Commission, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities Act 2011, Charities SORP (2019), Companies Act 2006 and payroll taxes. 

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to the recognition of voluntary income and loan creditors (including associated disclosures). Audit procedures performed by the engagement team included: 

- Enquiries of management regarding correspondence with regulators and tax authorities; 

- Discussions with management including consideration of known or suspected instances of non-compliance with laws and regulation and fraud; 

- Reviewing the controls and procedures of the charity, particularly in relation to the recording of income and processing of payments and payroll, to ensure these were in place throughout the year, including during the Covid-19 remote working period; 

- Evaluating management’s controls designed to prevent and detect irregularities; 

- Reviewing loan agreements, bank statements and minutes to ensure loan creditors are complete and their associated terms are appropriately disclosed in the financial statements; 

- Reviewing and testing journal entries made in the year, particularly those made as part of the year end financial reporting process; and 

- Challenging assumptions and judgements made by management in their critical accounting estimates which comprise depreciation, bad debt provision, accruals and deferred income. 

## **Use of our report** 

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


Siobhan Holmes (Senior Statutory Auditor) 10 Queen Street Place For and on behalf of Haysmacintyre LLP, Statutory Auditors London Date:  28 October 2021 EC4R 1AG 

14 



## **HALCYON LONDON INTERNATIONAL SCHOOL** 

## **STATEMENT OF FINANCIAL ACTIVITIES (including the income and expenditure statement) FOR THE YEAR ENDED 31 JULY 2021** 

|||**Unrestricted/**||||
|---|---|---|---|---|---|
|||**Designated**|**Restricted**|**Total**|**Total**|
|||**Funds**|**Funds**|**2021**|**2020**|
||**Notes**|**£**|**£**|**£**|**£**|
|**INCOME FROM:**||||||
|**Charitable activities**||||||
|School fees|3|4,253,560|-|4,253,560|4,813,664|
|Other educational income|4|323,519|-|323,519|450,594|
|**Investments**|||-|||
|Investment Income|5|311|-|311|2,316|
|**Voluntary sources**||||||
|Grants and donations|6|35,911|-|35,911|94,336|
|||------------------|------------------|-------------------|-------------------|
|**Total income and endowments**||4,613,301|-|4,613,301|5,360,910|
|||-------------------|------------------|--------------------|--------------------|
|**EXPENDITURE ON:**||||||
|**Charitable activities**||||||
|Education||4,202,987|-|4,202,987|4,628,924|
|||-----------------|------------------|-------------------|-------------------|
|**Total Expenditure**|3|4,202,987|-|4,202,987|4,628,924|
|||-----------------|------------------|--------------------|--------------------|
|**Net income**||410,314|-|410,314|731,987|
|**Transfer between funds**||-|-|-|-|
|||---------------------|---------------------|---------------------|---------------------|
|**Net movement in funds**||410,314|-|410,314|731,987|
|**Fund balances brought forward**||1,605,313|-|1,605,313|873,326|
|||--------------------|------------------|-------------------|-------------------|
|**Fund balances carried forward**||2,015,627|-|2,015,627|1,605,313|
|||==========|=========|==========|==========|



The statement of financial activities includes all gains and losses in the year and therefore a statement of total recognized gains and losses has not. 

All of the above amounts relate to continuing activities. 

The accompanying notes form part of these financial statements. 

15 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

## **BALANCE SHEET AS AT 31 JULY 2021** 

|||**2021**|**2020**|
|---|---|---|---|
||**Notes**|**£**|**£**|
|**FIXED ASSETS**||||
|Tangible assets|12|427,639|449,401|
|||-----------------------|-----------------------|
|||427,639|449,401|
|**CURRENT ASSETS**||||
|Debtors|13|129,880|133,418|
|Cash at bank and in hand||3,611,093|3,409,305|
|||----------------------|----------------------|
|||3,740,973|3,542,722|
|**CREDITORS: Amounts falling**||||
|**due within one year**|14|(2,004,985)|(2,112,810)|
|||-----------------------|-----------------------|
|**NET CURRENT ASSETS**||1,735,988|1,429,912|
|||-----------------------|-----------------------|
|**TOTAL ASSETS LESS CURRENT LIABILITIES**||2,163,627|1,879,313|
|**CREDITORS: Amounts falling due after one year**|15|(148,000)|(274,000)|
|||------------------------|------------------------|
|**NET ASSETS**||2,015,627|1,605,313|
|||=============|=============|
|**FUNDS:**||||
|Restricted funds|16|-|-|
|Unrestricted funds – general|16|1,861,969|1,367,160|
|Unrestricted funds - designated|16|153,658|238,153|
|||-----------------------|-----------------------|
|**TOTAL FUNDS**||2,015,627|1,605,313|
|||============|============|



These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime within Part 15 of the Companies Act 2006. 

These financial statements were approved by the members of the Board on 7 October 2021 


…………………………………………… 

Rita Halbright Chairman of the Board of Governors 

The accompanying notes form part of these financial statements. Company Number: 08120017 

16 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

## **CASH FLOW STATEMENT FOR THE YEAR ENDED 31 JULY 2021** 

||**Notes**|**2021**|**2020**|
|---|---|---|---|
|||**£**|**£**|
|**Net cash inflow from operating activities**|21|433,897|786,263|
|**Cash flows from investing activities:**||||
|Bank interest received||311|2,316|
|Interest paid||(11,325)|(15,438)|
|Payments to acquire fixed assets||(107,945)|(90,439)|
|||---------------|---------------|
|**Net cash outflow from investment activities**||(119,581)|(103,561)|
|||---------------|---------------|
|**Financing:**||||
|Loans repaid||(126,000)|(125,775)|
|||---------------|---------------|
|**Net cash flow from financing activities**||(126,000)|(125,775)|
|**Increase in cash**||201,788|556,927|
|**Cash and cash equivalents at the beginning of the reporting period**||3,409,305|2,852,378|
|||---------------|---------------|
|**Cash and cash equivalents at the end of the reporting period**||3,611,093|3,409,305|
|||==========|============|



17 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

**ACCOUNTING POLICIES FOR THE YEAR ENDED 31 JULY 2021** 

## **1. ACCOUNTING POLICIES** 

Halcyon London International School is a company limited by guarantee with registered number 8120017, incorporated and domiciled in England and Wales. It’s registered office is 33 Seymour Place. London, W1H 5AU. 

## **a) Basis of Preparation** 

The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). The Charitable Company is a public benefit entity for the purposes of FRS 102 and therefore the Charity also prepared it’s financial statements in accordance with the Statement of Recommended Practise applicable to charities preparing their accounts in accordance with the Financial Reporting Standard appliable in the UK and Republic of Ireland (The FRS 102 Charities SORP), the Companies Act 2006 and the Charities Act 2011. 

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest pound. 

The financial statements are prepared on the going concern basis, under the historical cost convention as modified by the revaluation of investments and in accordance with the Companies Act 2006 and applicable accounting standards in the United Kingdom. The principal accounting policies, which have been applied consistently throughout the year, are set out below. 

## **b) Going Concern** 

The Trustees have reviewed the funding facilities available to the School together with the expected ongoing demand for places and the School’s future projected cash flows in light of the impact of the coronavirus. Whilst there has been a decrease in student numbers, the Trustees have a reasonable expectation that the School has adequate resources to continue its activities for the foreseeable future and consider that there were no material uncertainties over the School’s financial viability. Accordingly, they also continue to adopt the going concern basis in preparing the financial statements. 

## **c) Company Limited by Guarantee** 

The company is limited by guarantee, the guarantors at the present time being the Governors, to the extent of £1 each. 

## **d) Fees Receivable and Similar Income** 

Fees receivable and charges for services and use of premises are accounted for in the period in which the service is provided. Fees receivable are stated after deducting allowances, scholarships and other remissions granted by the school. 

## **e) Donations and Fund Accounting** 

Donations received for the general purposes of the school are included as unrestrictive funds. Donations restricted by the wishes of the donor of the terms of an appeal are taken to restricted funds. Donations required to be retained as capital in accordance with the donor’s wishes are accounted for as endowments – permanent or expendable according to the nature of the restriction. 

## **f) Expenditure** 

Expenditure is allocated to expense headings, which aggregate all costs relating to the category either on a direct cost basis, or apportioned according to time spent. The irrecoverable element of VAT is included with the item of expense to which it relates. 

All costs associated with the provision of education are allocated to Charitable Expenditure. Only the costs directly associated with, or incurred solely in, Raising Funds are allocated to this category. For example, the costs of kitchen and domestic staff who are employed on a short term basis during the school holidays are allocated to the Cost of Raising Funds whereas the costs of the permanent staff are allocated to Charitable Expenditure because they would have to be paid in any event. Likewise, only premises costs that are incurred because of, or to support, the letting activities are allocated to the Costs of Raising Funds. 

Governance costs compromise the costs of running the Trust, including strategic planning for it’s future development, external audit, and all other costs of complying with constitutional and statutory requirements. 

18 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

## **ACCOUNTING POLICIES FOR THE YEAR ENDED 31 JULY 2021** 

## **g) Teaching Costs** 

Supplies of games equipment, books, stationery and sundry materials are written off when the expenditure is incurred. 

## **h) Fixed assets and depreciation** 

All fixed assets are used in direct furtherance of the School’s objectives. Fixed assets are included in these financial statements at their original cost less depreciation and accumulated impairment losses provided to date. 

Assets that are expected to have a useful economic life of less than two years and/or cost less than £1,000 are not capitalised and are written off in the year of purchase. 

Depreciated is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the costs less estimated residual value of each asset, by equal annual instalments, over their expected useful lives which are considered to be: 

Leasehold improvements - Over the life of the lease Computers - 33% on cost Fixtures and fittings - 25% on cost 

## **i) Pensions** 

The school contributes to a money purchase retirement benefit scheme for staff. The pension cost charged in the financial statements represent the contributions payable by the school during the year. 

## **j) Leases and Hire Purchase Contracts** 

Rentals paid under operating leases are charged to the Statement of Financial Activities evenly under the period of the lease. 

## **k) Cash and Cash Equivalents** 

Cash and cash equivalents include cash in hand, deposits held at call with banks 

## **l) Financial Instruments** 

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the company’s balance sheet when the company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. 

With the exceptions of prepayments and deferred income all other debtor and creditor balances are considered to be basic financial instruments under FRS 102. See notes 13, 14 and 15 for the debtor and creditor notes. 

## **m)** 

## **Taxation** 

The company is a registered charity and is exempt from taxation as afforded by Section 505 ICTA 1988. 

## **n) Employee Benefits** 

The costs of short-term employee benefits are recognised liability and an expense. 

## **2. KEY ESTIMATES & JUDGEMENTS** 

In the application of the company’s accounting policies, the Council is 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. 

19 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

**ACCOUNTING POLICIES FOR THE YEAR ENDED 31 JULY 2021** 

The estimates and underlying assumptions are reviewed an on-going basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised, if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. 

In the opinion of the Trustees, the estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are outlined below. 

## **Critical judgements** 

## **Useful economic lives** 

The annual depreciation charge for property, plant and equipment is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets. See note 12 for the carrying amount of property, plant and equipment and note 1.8 for the useful economic lives for each class of asset. 

## **Recoverable value of fee debtors** 

The company makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the aging profile of debtors and historical experience. See note 12 for the net carrying amount of debtors and associated impairment provision. 

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

20 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021** 

|**3.**|**FEE INCOME**|||
|---|---|---|---|
||The School’s activities are carried out within UK.|**2021**|**2020**|
||The School’s fee income comprised:|**£**|**£**|
||Gross fees|4,363,816|4,909,581|
||Less: Scholarships and bursaries|(110,256)|(95,916)|
|||--------------------|--------------------|
|||4,253,560|4,813,664|
|||==========|==========|
|**4.**|**OTHER EDUCATIONAL INCOME**|||
|||**2021**|**2020**|
|||**£**|**£**|
||Extras and disbursements|178,855|257,835|
||Registration fees|20,789|19,459|
||Other income|123,875|173,300|
|||--------------------|--------------------|
|||323,519|450,594|
|||==========|==========|
|**5.**|**INVESTMENT INCOME**|||
|||**2021**|**2020**|
|||**£**|**£**|
||Interest received|311|2,316|
|||--------------------|--------------------|
|||311|2,316|
|||==========|==========|
||Included within the above is an amount of £nil (2020: £nil) which relates to restricted income.|||
|**6.**|**DONATIONS AND GRANTS**|||
|||**2021**|**2020**|
|||**£**|**£**|
||Donations and gifts|35,911|94,336|
|||--------------------|--------------------|
|||35,911|94,336|
|||==========|==========|



Included within the above is an amount of £nil (2020: £10,000) which relates to restricted income. 

21 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021** 

## **7. EXPENDITURE** 

|**EXPENDITURE**|||||
|---|---|---|---|---|
|||||**Total**|
|**Charitable expenditure**|**Staff costs**|**Other**|**Depreciation**|**2021**|
||**£**|**£**|**£**|**£**|
|Teaching|2,583,906|432,689|-|3,016,595|
|Welfare|-|95,799|-|95,799|
|Premises and Estates|-|333,215|72,927|406,142|
|Administration|220,489|350,888|39,519|610,896|
|Finance Costs|-|11,325|-|11,325|
|Governance|39,858|22,372|-|62,230|
||------------------|------------------|--------------------|-------------------|
|Total expenditure|2,844,253|1,246,288|112,446|4,202,987|
||=========|=========|=========|==========|



Included within the above is an amount of £nil (2020: £10,000) relating to restricted expenditure. 

|||||**Total**|
|---|---|---|---|---|
|**Charitable expenditure**|**Staff costs**|**Other**|**Depreciation**|**2020**|
||**£**|**£**|**£**|**£**|
|Teaching|2,626, 907|662,470|-|3,289, 377|
|Welfare|-|94,402|-|94,402|
|Premises and Estates|-|421,776|58,957|480,733|
|Administration|289,716|345,250|54,177|689,142|
|Finance Costs|-|15,438|-|15,438|
|Governance|31,500|28,330|-|59,830|
||------------------|------------------|--------------------|-------------------|
|Total expenditure|2,948,123|1,567,667|113,134|4,628,924|
||=========|=========|=========|==========|



22 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021** 

|**7.**|**EXPENDITURE (Continued)**|**2021**|**2020**|
|---|---|---|---|
|||**£**|**£**|
|**(b)**|**Governance Costs include:**|||
||Auditors remuneration|||
||- Audit fees|13,200|10,470|
||- Under provision from previous year|-|2,040|
||- Accountancy Fees|-|2,460|
||Trustees’ expenses and meetings|9,172|10,361|
||Legal and Professional Fees|-|2,999|
||Staff costs|39,858|31,500|
|||--------------------|-------------------|
|||62,230|59,830|
|||========|========|
|**(c)**|**Administration Costs**|**2021**|**2020**|
|||**£**|**£**|
||Salaries|214,994|277,497|
||Other Staff Costs|5,496|12,219|
||Staff Travel|3,284|4,482|
||Insurance|30,085|30,014|
||IT Consultants|104,212|89,938|
||Computer costs|53,296|77,706|
||Postage and Stationery|9,428|10,190|
||Telephones|15,677|15,934|
||Marketing and advertising|58,516|30,977|
||Accountancy|12,101|4,748|
||Miscellaneous – Administration|15,437|13,136|
||Bad debts|-|15,532|
||Depreciation|39,519|54,177|
||Recruitment Costs|30,219|41,203|
||Legal and Professional Fees|18,632|11,390|
|||--------------------|-------------------|
|||610,896|689,142|
|||========|========|



|**8.**|**STAFF COSTS**|||
|---|---|---|---|
|||**2021**|**2020**|
|||**£**|**£**|
||Wages and salaries|2,480,698|2,566,173|
||Redundancy and settlement costs|-|8,056|
||Social security costs|268,053|273,830|
||Other pension costs|90,006|87,846|
||Other staff costs|5,496|12,219|
|||-------------------|--------------------|
|||2,844,253|2,948,123|
|||========|========|



There were redundancy costs of £nil (2020: £8,056) paid in the year to no members of staff (2020: 1). 

23 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021** 

## **8. STAFF COSTS (continued)** 

The average monthly number of employees during the year was as follows: 

||**2021**|**2020**|
|---|---|---|
||**No.**|**No.**|
|Teaching|30|29|
|Premises|17|17|
|Support|6|6|
||-------------------|--------------------|
||53|52|
||========|========|



The number of employees whose emoluments £60,000 in the year was as follows: 

||**2021**|**2020**|
|---|---|---|
||**No**|**No**|
|£60,001 - £70,000|4|6|
|£70,001 - £80,000|4|3|
|£80,001 - £90,000|-|1|
|£90,001 - £100,000|1|-|
|£140,001 - £150,000|-|1|
|£150,001 - £160,000|1|0|
||-------------------|--------------------|
||10|11|
||=========|=========|



The school considers that the key management personnel comprise of the trustees and the senior management team – who are the Director, the Admissions Directors, the Well Being Leader, the MYP Coordinator, the DP Coordinator, the Systems Learning Coordinator and the Finance Director. The total employee benefits including pension costs of the key management personnel of the school were £685,776 (2020: £671,804). 

## **9.      GOVERNORS RENUMERATION AND BENEFITS** 

There were no Governors’ renumeration or other benefits for the year ended 31 July 2021 nor for the year ended 31 July 2020. 

Travel and training expenses of £927 (2020: £4,414) for 3 (2020: 3) governors were paid by the Charity during the year. 

## **10.      PENSIONS** 

The school operates a defined contribution pension scheme. The scheme and its assets are held by independent managers. The pension charge represents contributions due from the school and amounted to £90,006 for the year (2020: £87,846). 

24 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021** 

## **11. NET INCOME FOR THE YEAR** 

||**2021**|**2020**|
|---|---|---|
||**£**|**£**|
|Net income is stated after charging:|||
|Depreciation of tangible fixed assets|112,446|113,134|
|Loss on tangible fixed assets|4,909|-|
|Loan interest|11,325|15,438|
|Operating lease rentals|255,448|333,088|



## **12. TANGIBLE FIXED ASSETS** 

|**TANGIBLE FIXED ASSETS**|||||
|---|---|---|---|---|
||**Leasehold**|**Fixtures &**|**IT**||
||**Property**|**Fittings**|**Equipment**|**Total**|
||**£**|**£**|**£**|**£**|
|**Cost**|||||
|As at 1 August 2020|640,503|221,841|92,437|954,781|
|Additions|71,154|7,961|28,380|107,495|
|Disposals|(1,298)|(15,368)|(63,352)|(80,018)|
||-------------------|--------------|-----------------|--------------------|
|At 31 July 2021|710,359|214,434|57,465|982,258|
||-------------------|--------------|-----------------|--------------------|
|**Depreciation**|||||
|As at 1 August 2020|292,244|145,195|67,941|505,380|
|Charge for the year|72,927|19,453|20,066|112,446|
|Disposals|(519)|(11,238)|(51,453)|(63,209)|
||-------------------|--------------|-----------------|-------------------|
|At 31 July 2021|364,652|153,410|36,554|554,617|
||-------------------|--------------|-----------------|--------------------|
|**Net Book Value**|||||
|At 31 July 2021|345,707|61,024|20,911|427,641|
||==========|=======|========|==========|
|**Net Book Value**|||||
|At 31 July 2020|348,259|76,646|24,496|449,401|
||==========|=======|========|==========|



## **13. DEBTORS** 

||**2021**|**2020**|
|---|---|---|
||**£**|**£**|
|Fees and extras|4,957|14,979|
|Other debtors|-|-|
|Prepayments and accrued income|124,923|118,439|
||-------------------|-----------------|
||129,880|133,418|
||==========|=========|



25 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021** 

## **14. CREDITORS** 

|**14.**|**CREDITORS**|||
|---|---|---|---|
|||**2021**|**2020**|
||Amounts falling due within one year:|**£**|**£**|
||Loans|126,000|126,000|
||Trade creditors|12,534|86,441|
||Fee Deposits|242,855|266,872|
||Fees in advance|1,551,347|1,559,323|
||Other creditors|33,248|40,308|
||Accruals|39,000|33,867|
|||-------------------|-----------------|
|||2,004,985|2,112,810|
|||==========|=========|
||Deferred income:|||
||Brought forwards|1,559,323|1,791,166|
||Released in year|(1,559,323)|(1,791,166)|
||Received in year|1,551,347|1,559,323|
|||-------------------|-------------------|
||Carried forwards|1,551,347|1,559,323|
|||==========|==========|
||Deferred income relates to schools fees received in advance for the following term.|||
|**15.**|**CREDITORS DUE AFTER ONE YEAR**|||
|||**2021**|**2020**|
|||**£**|**£**|
||Amounts falling due after more one year:|||
||Loans|148,000|274,000|
|||-------------------|-----------------|
|||148,000|274,000|
|||==========|=========|
||Movement on loans:|||
||In one year or less|126,000|126,000|
||Between one and two years|126,000|126,000|
||Between two and five years|22,000|148,000|
|||-------------------|-------------------|
|||274,000|400,000|
|||==========|==========|



The loan is repayable in equal annual instalments over 5 years and interest of 3% is applied on an annual basis. 

26 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021** 

## **16. SUMMARY OF FUNDS** 

||**At**|||**Transfer**||**At**|
|---|---|---|---|---|---|---|
||**1 August**|||**Between**|**Gains and**|**31 July**|
||**2020**|**Income**|**Expenditure**|**Funds**|**Losses**|**2021**|
||**£**|**£**|**£**|**£**|**£**|**£**|
|Unrestricted funds:|||||||
|General reserve|1,367,160|4,613,301|(4,202,987)|84,495|-|1,861,969|
|Designated fund:|||||||
|Bursary fund|238,153|-|-|(84,495)|-|153,658|
|Restricted funds:|||||||
|Restricted Fund|-|-|-|-|-|-|
||---------------------|---------------------|---------------------|---------------------|---------------------|---------------------|
|Total funds|1,605,313|4,613,301|(4,202,987)|-|-|2,015,627|
||==========|==========|==========|==========|==========|==========|
||**At**|||**Transfer**||**At**|
||**1 August**|||**Between**|**Gains and**|**31 July**|
||**2019**|**Income**|**Expenditure**|**Funds**|**Losses**|**2020**|
||**£**|**£**|**£**|**£**|**£**|**£**|
|Unrestricted funds:|||||||
|General reserve|668,592|5,350,910|(4,618,924)|(33,419)|-|1,367,160|
|Designated fund:|||||||
|Bursary fund|204,734|-|-|33,419|-|238,153|
|Restricted funds:|||||||
|Restricted Fund|-|10,000|(10,000)|-|-|-|
||---------------------|---------------------|--------------------|---------------------|---------------------|---------------------|
|Total funds|873,326|5,360,910|(4,628,924)|-|-|1,605,313|
||==========|==========|==========|==========|==========|==========|



## _Designated funds:_ 

The Bursary Fund relates to amounts set aside by the Trustees for the school to provide bursaries. The transfer in the year represents additional amounts set aside for future years less the spend on bursaries in the year from this fund. 

## _Restricted funds:_ 

The Stenmo Fund relates to funds received by the school to be spent on capital goods with a focus on digital products and in support of the Exploration Programme. 

27 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021** 

## **17. ANALYSIS OF NET ASSETS BETWEEN FUNDS** 

||**Unrestricted**|**Restricted**|**2021**|
|---|---|---|---|
||**Funds**|**Funds**|**Total**|
||**£**|**£**|**£**|
|Tangible fixed assets|427,639|-|427,639|
|Current assets|3,740,973|-|3,740,973|
|Creditors liabilities|(2,004,985)|-|(2,004,985)|
|Long term liabilities|(148,000)|-|(148,000)|
||-----------------|-------------------|---------------------|
|Total net assets|2,015,627|-|2,015,627|
||=========|==========|===========|
||**Unrestricted**|**Restricted**|**2020**|
||**Funds**|**Funds**|**Total**|
||**£**|**£**|**£**|
|Tangible fixed assets|449,401|-|449,401|
|Current assets|3,542,722|-|3,542,722|
|Creditors liabilities|(2,112,810)|-|(2,112,810)|
|Long term liabilities|(274,00)|-|(274,000)|
||-----------------|-------------------|---------------------|
|Total net assets|1,605,313|-|1,605,313|
||=========|==========|===========|



## **18. COMMITMENTS UNDER OPERATING LEASES** 

At 31 July 2021, the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows: 

|||**2021**|||**2020**||
|---|---|---|---|---|---|---|
||**Land &**||**Office**|**Land &**||**Office**|
||**Buildings**||**Equipment**|**Buildings**||**Equipment**|
||**£**||**£**|**£**||**£**|
|Due within one year|226,099||-|226,099||-|
|Due between two and five years|486,109||-|712,212||-|
|Due after more than five years|-||-|-||-|
||--------------------||---------------------|---------------------||---------------------|
|Total funds|712,208||-|938,311||-|
||==========||==========|==========||==========|



## **19.         RELATED PARTIES** 

During the year, the Trustees donated a total of £NIL (2020: £940) to the School. 

During the year, one Trustee paid the School Tuition Fees and Other Fees totalling £54,592. 

At the year end, the school owed four trustees £96,000 (2020: £138,000) as a result of loans given to the school. During the period interest payable of £3,745 (2020: £5,223) was charged to the school on these loans. 

## **20.         CONTROL** 

The ultimate controlling party is the Board of Governors. 

28 



**HALCYON LONDON INTERNATIONAL SCHOOL** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021** 

## **21. NOTES TO THE CASHFLOW STATEMENT** 

|**NOTES TO THE CASHFLOW STATEMENT**|||
|---|---|---|
||**2021**|**2020**|
||**£**|**£**|
|Reconciliation of operating result to net cash inflow from|||
|operating activities|||
|Net movement in funds|410,314|731,988|
|Depreciation|112,446|113,134|
|Bank interest received|(311)|(2,316)|
|Interest payable|11,325|15,428|
|Loss on sale of Fixed Assets|4,409|-|
|(Decrease)/Increase in creditors|(107,821)|(195,220)|
|Decrease in debtors|3,535|123,239|
||-------------------|-------------------|
||433,897|786,263|
||==========|==========|



## **22. ANALYSIS OF NET DEBT** 

||**At 1 August**|**Cashflows**|**At 31 July**|
|---|---|---|---|
||**2020**||**2021**|
||**£**|**£**|**£**|
|Cash in hand|3,409,305|201,788|3,611,093|
|Loans|(400,000)|126,000|(274,000)|
||-----------------|-----------------|-----------------|
|Total cash and cash equivalents|3,009,305|327,788|3,337,093|
||-----------------|-----------------|-----------------|



29