## REGISTERED COMPANY NUMBER: 08432843 (England and Wales) REGISTERED CHARITY NUMBER: 1151692 

REPORT OF THE TRUSTEES AND 

AUDITED FINANCIAL STATEMENTS 

FOR THE YEAR ENDED 31 AUGUST 2023 

FOR 

LEICESTER DIOCESAN BOARD OF EDUCATION (A COMPANY LIMITED BY GUARANTEE) 



LEICESTER DIOCESAN BOARD OF EDUCATION 

EEE 

## CONTENTS OF THE FINANCIAL STATEMENTS For The Year Ended 31 August 2023 

|||Page||
|---|---|---|---|
|Reference and Administrative Details|1|to|2|
|Report ofthe Trustees|3|to|10|
|Report ofthe Independent Auditors|j1|to|13|
|Statement of Financlal Activities||14||
|Balance Sheet||15||
|Notes tothe Financial Statements|16|to|28|
|DetailedStatementofFinancialActivities|29|to|30|



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## LEICESTER DIOCESAN BOARD OF EDUCATION 

## REFERENCE AND ADMINISTRATIVE DETAILS For The Year Ended 31 August 2023 

Chair Mr R Andrews Diocesan Director of Education Canon C Lewis and Secretary to the Board Treasurer Mr R Andrews Ex officio Rt Revd M Snow (Bishop of Leicester) Ven R Worsfold (Archdeacon of Leicester} Ven C Wood (Archdeacon of Loughborough) Elected by Diocesan Synod Mr R Andrews Revd P Watson Revd Canon P O'Reilly Mrs M Green Mr D Jones Revd D Cowie Revd J Hargreaves Revd Canon E Davies Revd A Hall Dr C Spencer Revd E Wilson Mrs E Wayne-Hawker Mrs C Bampton (resigned 14 Sep 2023) Revd J Taylor (resigned 2 Nov 2022) Co-opted by the Board Mr N J Bardsley Mrs A Leadbetter Mrs S Batstone Mrs J Stilwell Mr Blaylock (appointed 12 Dec 2023) Mrs N Boyce (appointed 12 Dec 2023) Bishop's nominees Canon $ Adshead Ms M Wang Registered Office St Martins House 7 Peacock Lane Leicester Leicestershire LE1 SPZ Registered company number 08432843 (England and Wales} Registered charity number 1151692 Auditors TC Group 31 High View Close Hamilton Office Park ieicester Leicestershire £E4 9LJ Solicitors Stone King LLP Boundary House 91 Charterhouse Street s:ondon EC1M 6HR 

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LEICESTER DIOCESAN BOARD OF EDUCATION 

For The Year Ended 31 August 2023 

## REFERENCE AND ADMINISTRATIVE DETAILS 

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## BANKERS 

Barclays Bank pic Dominus Way Meridian Business Park Leicester LE19 1RP 

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## LEICESTER DIOCESAN BOARD OF EDUCATION 

## REPORT OF THE TRUSTEES For The Year Ended 31 August 2023 

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 August 2023. The trustees have adopted the provisions of 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 t January 2019). 

## Vision and strategy 

The Board's vision and strategy is derived from our key partners, our Bishop and the wider Diocese, the Churen of England's Vision for Education and the Board's own evaluation of the needs of our Church school family. 

The Diocesan Purpose is driven from our Christian Vision: The Kingdom of God. We seek to support one another across our Diocesan family to consider how we are 'Shaped by God! and how our daily lives reflect ten marks of mission. This then extends to asking ourselves three key questions about how we are deepening discipleship, growing the number of disciples and offering loving service of the world, 

The Church of England's Education Office has published its vision for Education, 'Deeply Christian, Serving the Common Good’. This vision, for all of education and not simply Church schools, embraces the spiritual, physical, intellectual, emotional, moral and social development of children and young people. The Church of England, as a whole, seeks a vision of human flourishing for all, one that embraces excellence and academic rigour, but sets them in a wider framework. This is worked out theologically and educationally through four basic elements which permeates the vision: 

- Wisdom - Hope - Community - Dignity 

The vision, in line with the Church of England's role as the established Church, is for the common good of the whole human community and its environment, whether national, regional or local. This reflects the Boards responsibility as a charity to provide benefit to the public. It is hospitable to diversity, respects freedom of religion and belief, and encourages others to contribute from the depths of their own traditions and understandings. 

The Board believes that it makes its own, unique and distinct, contribution fo the work of the wider diocesan purpose and the national Church. First of all, we recognise that we predominantly serve our family of Church schools and we aspire for them to contribute positively and effectively to the ‘healthily plural educational system’ by offering a distinctively Christian ethos. This, of course, must be delivered alongside academic rigour and excellence. 

The Board also believe that our schools can and many already do, echo the marks of mission seen in ‘Shaped by God.' Our schools can be places of transformation, inspiration, celebration and welcome. 

The DBE'ss vision has captured the hearts and minds of many within our Church school family. As the school systems evolves, we believe that it is important to be consistent and steadfast in our work. We invite all schocls to consider how their work reflects this vision and how they can play their part in the diocese and national network. 

The Vision of the Board is: 

## ‘Transforming the lives of children and young people’ 

Effective : As a result of visionary leadership and inspirational teaching, children and young people in the Diocese of Leicester achieve excellence. They are well-rounded and confident with a strong sense of self-worth. As earners transformed, they in turn transform their communities. 

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LEICESTER DIOCESAN BOARD OF EDUCATION 

REPORT OF THE TRUSTEES For The Year Ended 31 August 2023 a 

Distinctive : Unequivocally Christ-like, our schools offer chiidren and young people the opportunity to hear the Christian response fo life's big questions. Christian Worship is invitational, offering the whole school community an opportunity for renewal and to encounter the person of Jesus Christ. Religious Education is exemplary, enabling a genuine understanding of the role of faith and belief in modem society. 

Rooted : Our schools are rooted in prayer, partnership with parish and wider community and the teachings of Jesus Christ. Children and young people receive excellent Religious Education equipping them with a firm knowledge of the Christian faith and other key faiths. Inclusive: Like Jesus himself, our schools are ‘scandalously inclusive’. Children and families from all faiths and none are welcomed, respected and cherished. Serving the community in which they are placed, our schools exemplify, ‘love your neighbour. In supporting 97 church schools across the Diocese of Leicester to realise this vision provides benefit to the public. This is achieved by training and equipping school leaders and governors to make educational provision of the highest quality, which in tum enables children and young people to contribute positively to society. OBJECTIVES AND ACTIVITIES Objectives and aims The Board's objectives are the same as its statutory functions determined by the Diocesan Boards of Education Measure 2021 ("the measure"). They Diocesan Board of Education must: - promote or assist in the promotion of education in the diocese that is consistent with the faith and practice of the Church of England; ~ promote or assist in the promotion of religious education and religious worship in schools in the diocese; - promote or assist in the promotion of church schools in the diocese; - promote co-operation between itself and other persons concerned with education in the diocese: - The functions assigned to the Board by the measure; and The Board's principal objective during the year was the promotion of lifelong learning throughout the Diocese, effect being given to the belief that all true education must be based on Christian principles, and the promotion and stimulation of religious education according to the doctrines of the Church of England. To achieve this the Board appoints staff to support the work of the church schools and the development of the ministry of ordained and lay peopte. An additional aim of the Board's work is to promote and facilitate building work in Church of England schools within the Diocese. Creating and maintaining high quality learning environments has clear public benefit. The Board operates a system which enabies Voluntary Aided maintained schools fo have their Devolved Formula Capital (DFC) Grant money lodged with the Board pending work being canied out, In addition to this, the Board is a member of a diocesan consortium, which receives School Condition Allocation (SCA} Grant money for capital work in Voluntary Aided maintained schools. An administration charge is levied for this service and details are published in the Boara's Partnership Agreement with schools. Any interest received on these funds is re-invested for the purposes previously described. The Board invests the majority of its funds through CCLA investment Management who are accountable for investment performance. An element of the Board's funds need to be kept liquid because of its role in ‘bridging’ building projects in schools between payment of invoices to contractors and the receipt of grant funding. 

The principal beneficiaries of the charity's services are the children and young people attending the 97 Church of England schools and academies in the Diocese. Wider than this, the Board also aims to promote and assist in the promotion of education consistent with the faith and practice of the Church of England. 

————__--ooseeseSeSeeFsesFeFeesSSSsssFesFFsSsSsMeFFFfsseseseseseserr — a Page 4 



REPORT OF THE TRUSTEES For The Year Ended 31 August 2023 

## LEICESTER DIOCESAN BOARD OF EDUCATION 

## ne 

OBJECTIVES AND ACTIVITIES Achievements and performance the Board develops a 3-year strategic plen which includes ascirational success indicators. Progress towards these is routinely monitored by the Board. During the financial year, the Board aimed to provide and support work amongst children and young people in church contexts by providing professional, pastoral and theological support. The principal public benefit of this work & the support offered by the Board for the provision of worthwhile organised activities ‘or Children and young people. 

The Board continued to support this work through: 

- Regular meetings and leadership development for school and trust leaders of church schools 

- - Support for schools in preparation for cenominational inspections - Giving advice and support to governirg bodies and trust boards - Managing the admission appeals on behalf of schools - Advice and training on religious educction and collective worship - Working with strategic partners to ensure school effectiveness ~ Development and oversight of building projects - Advising governing bodies and trust boards in the appointment of head teachers 

- Key activities for achieving objectives - Providing school and trust leaders with pastorai and professional support. - Organising training and developmenta’ opportunities for schoo! and trust leaders and lay leaders, - The appointment, support and training of foundation governors. - Offering legal advice for trustees, governing bodies and schcol leaders. - Liaison with officers of national and ocal bodies, including Multi Academy Trusts, Local Authorities, Department for Education, Regional Director and Ofsted. 

- - Partnership working with the Church of England Education Office and other Diocesan Board of Education teams. 

- ~ educationRepresentationissues on those committees of Leicestershire County and City Councils, which deal with 

The trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidancepolicy for theon period.public benefit when reviewing the charity's aims and objectives and setting the grant making In light of the changing educational environment, there is an expectation that the Board become increasingly responsible for the quality of provision within their schools. 

Grant making During the period the Board made available capital grants to the governors of aided schools in relation to the statements,Department for Education (DfE) scheme. Details of the grants mace may be found in note 6 of these financial 

Fundraising The charitable company does not carty out sgnificant fundraising activities. 

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. 

## LEICESTER DIOCESAN BOARD OF EDUCATION 

## REPORT OF THE TRUSTEES For The Year Ended 31 August 2023 

## Deeneeeeee eee 

## FINANCIAL REVIEW 

## Financial position 

In financial terms during 2022-23 the Board planned to: 

- ensure that expenditure from general reserves did not exceed income before any realised or unrealised gains or losses on investments, for the period 

- ensure that expenditure from s554 funds did not exceed those funds’ income, before capital receipts and any realised or unrealised gains or losses on investments, for the period. 

- In the year the Board: - made a surplus before any realised or unrealised gains or losses on investments on its general fund of £134,158 (2022: £112,861). 

- made a deficit before any realised or unrealised gains or losses on investments on its endowment funds of £129,930 (2022: £60,608}. 

- made a transfer from general funds to endowment funds of £129,929 (2022: £112,519) 

The Board has reviewed all available information, taking account of the current position and principal risks and have a reasonable expectation that the charity will be able to continue in operation and meet its liabilities as they fall due. 

Principal funding sources 

The principal funding sources for the charity are currently by way of grants from the Diocese of Leicester Board of Finance and investment income. 

## Investment policy and objectives 

## The investments of the Board are represenied by: 

- properties held under trusts 

- - investments in the CBF Investment and Property funds managed by CCLA Investment Management Limited and Savills Investment Managemeni. 

The movements in the Board's investments are shown at notes 11 and 12 to these financial statements. 

In the light of the market conditions prevalent during the period the Trustees consider the performance of the Board's investments to be satisfactory. It is the policy of the Board to adhere to the ethical investment guidelines issued by the Church of England. 

## Reserves policy 

The reserves of the Board comprise those which may be expended for the normal objectives of the Board and those arising from Educational Foundations within the trusteeship of the Board (the Consolidated Fund), which may only be expended for specific purposes as shown in the notes to the financial statemenis. As at 31 August 2023 the total funds are £3,755,086 (2022: £3,888,373} as shown in the balance sheet. 

Having considered financial tisk, liquidity requirement and the timing of cashflows throughout the year, the Board's policy is to hold a balance of readily available realisable assets equivalent to 3 months of budgeted expenditure. As at 31 August 2023, the minimum amount required under this policy totalled £95,000 (2022: £93,000). 

Actual free reserves in general and endowment funds totalled £3,047,142 (2022: £3,046,886). Free reserves in unrestricted funds were positive by £391,962 (2022: positive £399,869). 

Actual free reserves are higher than the Boara's policy due to prudent fiscal management. 

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LEICESTER DIOCESAN BOARD OF EDUCATION 

REPORT OF THE TRUSTEES For The Year Ended 31 August 2023 $$$ 

STRUCTURE, GOVERNANCE AND MANAGEMENT Structure, governance and management The Diocesan Board of Education is constit ted in line with the Diocesan Boards of Education Measure 2021 and its Articles of Association. Recruitment and appointment of new trustees Trustees are recruited through advertisement within the Diocese of Leicester. This is mainty through the Diocesan Synod. Some trustees are ex-officio appointments and some are appointed by the Bishop of Leicester. Co-opted trustees are recruited 01 the basis of their skills and experience in church schools. Trustees are appointed under the categories showr in the Reference and Administrative information provided in this repon, Organisational structure and decision making The Board is part of the Synodicat structure of the Church of England and is responsible to and reports fo the Synod of the Diocese of Leicester. The Board operates through its meeting and those of the various sub-committees. The Board makes all major decisions, including those relating to financial matters. Sub-committees scrutinise issues and make recommendations to the Board. Sub-committees have certain delegated powers under their Terms of Reference, 

The Board adopted and continue to operate within the core objectives and remit of the Board and had the following sub-committees in the period to 31 August 2023: Church Schools Business & Finance Committee The principal responsibilities of this sub-committee are formulating and overseeing a coherent strategy for existing and future schoo! provision across the Diocese and to monitor local and national developments that impact upon the strategy. The committee also monitors and manages all financial and property matters appertaining to the Board including maintenance and repair of voluntary aided schools in the Diocese, management of the Boara's trustee responsibilities and investments and scrutiny of the Board's financial position and risk management policy and procedures. 

Supporting Church Schools Committee This sub-committee is responsible for formulating and overseeing a coherent strategy for existing and future church school provision across the Diocese in respect of effectiveness, distinctiveness and inclusivity. Also, to provide support and training services to schools, govemors, clergy and teachers, to provide guidance on policy and cuniculum issues, respond to resolutions from General Synod in relation to church schools and promote and pursue partnerships with Local Authorities, Multi-Academy Trusts and the Department for Education. The committee oversees the appointment of Foundation Governors and reviews the ouicomes of denominational and Ofsted inspections. The committee overseas the Board's Admissions guidance and its support for schools in these matters. 

Strategic Group This sub-committee works with the Director or all matters of strategy and monitors the Board's progress towards its vision. The committee regularly reviews the development and growth of Multi Academy Trusts. induction and training of new trustees Aft the first meeting of a new triennium the Board's role and function is explained, All members receive a copy of all the terms of reference for the sub-committees. Trustees receive training. At the first meeting of each sub-committee the terms of reference are discussed, and the sub-committee's remit clarified. During triennium the Board has a variety of on-going opportunities to discuss the strategic plan for the coming three years. 

## —_—i 

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## LEICESTER DIOCESAN BOARD OF EDUCATION 

## REPORT OF THE TRUSTEES For The Year Ended 31 August 2023 

## STRUCTURE, GOVERNANCE AND MANAGEMENT 

## Key management remuneration 

Key management personnel are deemed to be those having authority and responsibility, delegated to them by the trustees, for planning, directing and controlling the activities of the Charitable Company. During 2023 this was the Diocesan Director of Education and Secretary of the Board, 

During the year, remuneration {including Employers National Insurance and pension) amounting to £125,230 was paid (2022: £106,958). 

## Related parties 

Through the Synodical structure the Board is related to the Leicester Diocesan Board of Finance from whom it receives grant support, details of which are shown in the notes to the financial statements. 

## Risk management 

The Trustees are required, under the Charities SORP 2019, to confirm as part of the Trustees’ annual report that they have reviewed and taken steps to mitigate the major risks to which the Board is exposed. The following are assessed by the Board as major risks: 

## - All Schools and Trusts: Governance. 

   - Failure to understand roles and responsibilities. This represents a reputational risk of failure, including financial and educational. 

- All Schools and Trusts: Provision. Faiture to maintain good & outstanding provision, leading to reputational risks for the DBE; difficulty in finding suitable sponsor for school in an Ofsted category. 

## - DBE: Funding. 

- DBE unable to finance staffing levels required to meet charitable objects / strategic aims. Income from investments and from DBF grant at risk due to wider financial constraints. 

## ~ DBE: Staffing capacity for Statutory Functions. 

- DBE does not have sufficient capacity to undertake core statutory functions through loss or personnel or government legislation. 

## - DBE: Staffing Capacity. 

- Maior Incident. DBE does not have sufficient capacity to respond to a major incident, which impacts on the charity. 

## - DBE: Staffing Capacity. 

Land and capacity. Officer time required io manage land and property reduces capacity for core role. 

in respect of each risk identified above, the Trustees have implemented strategies to mitigate and monitor the relevant issue. These mitigations include ensuring the relevant support, systems and expentise is available for schoois and trusts as well as within the Board itself. 

The responsibilities of the Trustees cover the identification and assessment of risks, taking appropriate steps to mitigate those highlighted as major risks to the Board and an annual review of risk, so as to ensure that the measures taken are adequate. 

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REPORT OF THE TRUSTEES For The Year Ended 31 August 2023 

## LEICESTER DIOCESAN BOARD OF EDUCATION 

## RR 

## STRUCTURE, GOVERNANCE AND MANAGEMENT 

## Modern Slavery Statement 

The Board and the Charitable Foundations for which we are Trustees, are strongly opposed to slavery and human trafficking. We strive to act ethically and with integrity ir all our business dealings and relationships to ensure that slavery and human trafficking cre not taking piace within our organisation or our supply chains. 

Safeguarding The Board aspires for the lives of children and young people to be transformed through their experiences of a self-worth.Church School education. Children should leave a Church school with confidence and a strong sense of Safeguarding is taken very seriously by the Board. The Church of Englana’s Safeguarding policy has been adopted by the Board. All trustees complete school or church-based safeguarding training. 

Ail diocesan schools are expected to maintain the highest stancards in safeguarding policy and practice. All diocesan schools regardless of their status (VC, VA, Academy) come under the statutory oversight of their area.Local Authority (LA). LAs maintain statutory responsibility for ensuring the protection of the children within their 

## FUNDS HELD AS CUSTODIAN TRUSTEE 

The Board acts as custodian trustee for a number of small religious education funds. These funds are availabie to parishes to promote and deliver religious education to the younger society within their parishes. 

The assets of these funds consist of either cash deposits or shares in the CBF Investment Fund. All such assets are held in accounts separate from those of the Board. 

Theorganisations:jotal value of the assets held as custodian trustee is £89,234 (2022: £88,226) and relate to the following 

||2023|2022|
|---|---|---|
|St Nicholas House Education Foundation<br>Hugglescote REFund<br>Walcote<br>REFund<br>HobySchool Fund<br>Syston JuniorRE Fund<br>SystonInfant REFund<br>Stony Sfanton JuniorSchool REFund<br>Syston JuniorREFund (Shares)|&<br>-<br>15,837<br>26,333<br>10,000<br>3,179<br>24,691<br>1,749<br>7,445|£<br>60<br>15,378<br>25,570<br>10,000<br>2,881<br>23,975<br>2917<br>7,445|
||82.234|_88,226|



’ STATEMENT OF TRUSTEES' RESPONSIBILITIES 

the trustees (who are also the directors of Leicester Diocesan Board of Education for the purposes of company law} are responsible for preparing the Repor of the Trustees and the financial statements in accordance with appficable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), 

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## LEICESTER DIOCESAN BOARD OF EDUCATION 

## REPORT OF THE TRUSTEES For The Year Ended 31 August 2023 

## Denneneeeeee 

## STATEMENT OF TRUSTEES’ RESPONSIBILITIES - continued 

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of 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. In preparing those financial statements, the trustees are required to 

- select suitable accounting policies and ihen apply them consistently: 

- - observe the methods and principles in the Charity SORP; - make judgemenis and estimates that are reasonable and prudent: - prepare the financial statements on the going concem basis unless it is inappropriate to presume that the charitable company will continue in business. 

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to 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 auditors are unaware; and 

- - the trustees have taken all sieps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information. 

## AUDITORS 

The auditors, TC Group, will be proposed for re-appointment at the forthcoming Annual Genera! Meeting. 

Approved by order of the board of trustees on 7 February 2024 and signed on its behalf by: 

KI Ae? Mr R Andrews - Trustee (Zhair) / ts 

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## REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF LEICESTER DIOCESAN BOARD OF EDUCATION 

Opinion We have audited the financial statements of Leicester Diocesan Board of Education (the ‘charitable company’) for the year ended 3] Augusi 2023 which comprise the Statement of Financial Activities, the Balance Sheet and notes to the financial s-atements, 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 {United Kingdom Generally Accepted Accounting Practice). 

- In our opinion the financial statements: - give a true and fair view of the state o* the charitable company's affairs as at 37 August 2023 and of its ended;incoming resources and application of resources, including its income and expenditure, for the year then Practice; and 

- ~ have been properly prepared in accerdance with United Kingdom Generally Accepted Accounting ~ have been prepared in accordance witr the requirements of the Companies Act 2006. 

Basis for opinion We conducted our audit in accordance with Intemational Standards on Auditing (UK) (ISAs (UK}) and applicable law. Our responsibilities under those standards are further described in the Auditors’ responsibilities for the audit of the financial statements section of our report. We are independent of the 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 concem In auditing the financial statements, we have concluded that the trustees’ use of the going concem basis of accounting in the preparation of the financial statements js 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 authorisedcontinue asfor a issue. going concer for a period of at least twelve months from when the financial statements are 

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 infomation comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon, Our opinion on the financial statements dees 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 s-atements, 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 otFerwise 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 matsrial 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 n the course of the audit: ; ~ the information given in the Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the financial statements; and - fhe Report of the Trustees has been prepared in accordance with applicable legal requirements. 

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF LEICESTER DIOCESAN BOARD OF EDUCATION 

## Ea 

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 Report of the Trustees. 

- We have nothing to report in respect of the following matiers where the Companies Act 2006 requires Us to report to you if, in our opinion: - adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or 

- - the 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 - wehave not received all the information and explanations we require for our audit; or . the trustees were not entitled to take advantage of the small companies exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Trustees. 

Responsibilities of trustees As explained more fully in the Statement of Trustees’ Responsibilities, 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 frustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concem and using the going concem 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. 

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF LEICESTER DIOCESAN BOARD OF EDUCATION eete Our responsibilities for the audit of the financial statements Our objectives are fo 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 a Report of the Independent Auditors 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 aways detect a maierial 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 our procedures are capable of detecting irregularities, including fraud is detailed below: 

We obtained an understanding of the legal and regulatory frameworks that are applicable to the charitable company and determined that the most significant frameworks which are directly relevant so specific assertions in the financial statements are those that relate to the reporting framework (UK GAAP and the Companies Act 2006) and the relevant tax compliance regulations in the UK. 

We understood how the charitable company is complying witn those frameworks by making enquiries of management and those responsible for legal and compliance procedures. We corroborated our enquiries through review of board minutes and discussions with those charged with governance. 

We assess the susceptibility of the charitable company's financial statements to material misstatement, including how fraud might occur, by discussion with management from various parts of the business to understand where they considered there was a susceptibility to fraud. We considered the procedures and controls that the company has established to prevent and detect fraud, and how these are monitored by management, and also any enhanced risk factors such as performance targets. 

Based on our understanding, we designed our audit procedures to identify any nor-compliance with laws and regulations identified in the paragraphs above. 

We also performed audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias. 

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www. frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors. 

## 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 auditors’ 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. 

Richard Buckby FCA (Senior Statutory Auditor} for and on behalf of TC Group 31 High View Close Hamilton Office Park Leicester Leicestershire LE4 OLS 

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## LEICESTER DIOCESAN BOARD OF EDUCATION 

## STATEMENT OF FINANCIAL ACTIVITIES For The Year Ended 31 August 2023 eeee ee 


**----- Start of picture text -----**<br>
|||||||||
|---|---|---|---|---|---|---|---|
|2023|2022|
|Unrestricted|Endowment|Total|Total|
|fund|fund|funds|funds|
|INCOME AND|ENDOWMENTS|FROM|Notes|£|£|£|&|
|Donations and legacies|176,590|-|176,590|180,509|
|Charitable|activities|
|Admission appeal|costs|10,570|-|10,570|7,375|
|Other income|11,896|-|11,896|48,596|
|Partnership|agreement|& courses|61,684|-|61,684|54,629|
|Other trading|activities|3|24,732|-|24,732|23,596|
|Investment income|4|32,786|95,208|127,994|87,472|
|Total|318,258|95,208|413,466|401,877|
|EXPENDITURE ON|
|Raising funds|5|-|-|-|22,414|
|Charitable|activities|
|Advice|to and work with|schools|109,053|-|109,053|62,957|
|Governance|costs|4,839|14,517|19,356|13,535|
|Support costs|70,208|210,621|280,829|250,718|
|Total|184,100|225,138|409,238|349,624|
|NET INCOME/(EXPENDITURE)|134,158|(129,930)|4,228|52,253|
|Transfers|between funds|16|(129,929)|129,929|-|-|
|Other recognised|gains/(losses)|
|Gains/{losses)|on revaluation|of fixed|assets|(14,930)|{122,586)|(137,516)|(143,370)|
|Net movement|in funds|(10,701)|(122,587)|(133,288)|(91,117)|
|RECONCILIATION OF|FUNDS|
|Total funds|brought|forward|405,607|3,482,767|3,888,374|3,979,490|
|TOTAL FUNDS CARRIED FORWARD|394,906|3,360,180|3,755,086|3,888,373|

**----- End of picture text -----**<br>


> The notes form part of these financial statements 

eee 

Page 14 



## LEICESTER DIOCESAN BOARD OF EDUCATION 

## BALANCE SHEET 

31 August 2023 


**----- Start of picture text -----**<br>
||||||
|---|---|---|---|---|
|eee|
|2023|2022|
|FIXED|ASSETS|Notes|£|£|
|Tangible|assets|10|2,944|5,737|
|Investments|
|Investments|1]|3,011,607|3,012,950|
|Investment|property|12|705,000|835,750|
|3:719,551|3,854,437|
|CURRENT ASSETS|
|Debtors|13|68,673|67,872|
|Cash in hand|680,736|798,433|
|749,409|866,305|
|CREDITORS|
|Amounts|falling due within one year|14|{713,874)|(832,369)|
|NET CURRENT ASSETS|35,535|33,936|
|TOTAL ASSETS|LESS CURRENT|LIABILITIES|3,755,086|3,888,373|
|NET ASSETS|3,755,086|3,888,373|
|FUNDS|16|
|Unrestricted funds|394,906|405,606|
|Endowment|funds|3,360,180|3,482,767|
|TOTAL FUNDS|3,755,086|3,888,373|

**----- End of picture text -----**<br>


These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime. 

The financial statements were approved by the Board of Trustees and authorised for issue on 7 February 2024 and were signed on its behalf by: 

The notes form part of these financial statements 

eee 

Page 15 



LEICESTER DIOCESAN BOARD OF EDUCATION 

Is GENERAL INFORMATION 

2: ACCOUNTING POLICIES 

NOTES TO THE FINANCIAL STATEMENTS For The Year Ended 31 August 2023 

Tne Charitable Company is a public benefit entity and a private company limited by guarantee without share capital, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is St Martins House, 7 Peacock Lane, Leicester, LE] 5PZ. 

The principal activity of the charity is to promote lifelong learning throughout the Diocese, effect being given to the belief that all true education must be based on Christian principles, and the promotion and stimulation of religious education according to the doctrines of the Church of England. 

Statement of compliance The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance wiih 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}, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice. 

## Basis of preparing the financial statements 

The financial statements are prepared on a going concern basis under the historical cost convention, modified to include the revaluation of investment properties and fixed asset investments which are measured at their market value through income or expenditure. 

The financial statements are presented in GBP £ sterling which is the functional currency of the charity. 

The significant accounting policies applied in the preparation of these financial statements are set out below, These policies have been consistently applied to all years presented unless otherwise stated. 

## Financial reporting standard 102 - reduced disclosure exemptions 

The charitable company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’: 

- the requirements of Section 7 Statement of Cash Flows. 

## Going concem policy 

The trustees regularly assess whether the use of going concer is appropriate, i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity fo continue as a going concern. 

The Board have considered the charitable company’s income and operating cost base. They have prepared forecasts of income and expenditure for the period to 31 August 2025, which shows that they have sufficient reserves and cash to be able to continue for the foreseeable future. 

The Board have concluded therefore that the entity remains a going concern and continue to adopt the going concern basis of preparation for these financial statements. 

## Group accounts policy 

The Charitable Company are members of 10 academies (single and multiple academy trusts) and the Diocese of Leicester Educational Trust. 

The Board's policy is for non-consolidation of either of the academies, trust or company into the Board accounts as if can demonsirate that no parent / subsidiary relationship exists. 

## Seeeeeee eee Page 16 continued... 



LEICESTER DIOCESAN BOARD OF EDUCATION 

## NOTES TO THE FINANCIAL STATEMENTS - continued For The Year Ended 31 August 2023 ieeeses—“‘#RN 

## 2. ACCOUNTING POLICIES - continued 

Group accounts policy The policy is reviewed annually to ensure compliance with the national guidance and any developments in the relationship between the Board and the Trusts. 

## income 

All incoming resources are included in the Statement of Financial Activities when the charity is legally entitled to the income, the amount can be measured reliably, and it is prooable that the income will be received. 

All monetary donations and gifts are included in full in the statement of financial activities when receivable, provided there are no donor- imposed restrictions as to the timing of any related expenditure, in which case recognition is deferred until the pre-condition is met. 

Revenue grants included in donations and legacies are credited as income when they are receivable provided conditions for receipt have been complied with, unless they relate to a specified future period, in which case they are deferred. 

Expenditure All expenditure is included in the financial statements on an accruals basis. Expenditure includes any VAT which cannot be fully recovered and is classified under headings of ~he statement of Financial Activities to which it relates: 

- expenditure on charitable activities includes all costs incurred by a charity in undertaking its charitable activities, including those support costs and costs relating to the governance of the charity apportioned to charitable activities. - cost of other trading activities includes expenditure that relates to the delivery of courses to schools. 

Expenditure is allocated to those cost categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. 

Support costs are apportioned between the activities on a reasonable and consistent basis based upon specific nominals. 

## Grants payable 

Grants to schools are accrued for as expenditure when the recipient is notified of the grant. 

Investments Investments are shown at market value at the balance sheet date with any gain or loss taken to the Statement of Financial Activities. Investments held by the Board as custodian trustee are not included in these financial statements. 

Realised gains or losses on investments are recognised when investments are sold. Unrealised gains or losses are accounted for on the revaluation of investments. 

Investments and their gains and losses are allocated to funds based upon tre nature of the investment SOUICE. 

Debtors Trade and other debtors are recognised at the settlement amount due after any trade discount offered, Prepayments are valued at the amount prepaid net of any trade discounts due. 

Cash at bank and deposits 

Cash at bank and deposits includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. 

## Se 

Page 17 

continued... 



LEICESTER DIOCESAN BOARD OF EDUCATION 

NOTES TO THE FINANCIAL STATEMENTS - continued For The Year Ended 31 August 2023 

## a 

## 2. ACCOUNTING POLICIES - continued 

## Cash at bank and deposits 

## Creditors 

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are nomally recognised at their settlement amount after allowing for any trade discounts due. 

## Employee benefits 

Short-term employee benefits and contributions to defined contribution plans are recognised as an expense in the period in which they are incurred. 

Critical accounting judgements and key sources of estimation uncertainty 

In the application of the company's accounting policies, which are described above, the trustees are required to make judgements, estimates and assumptions about the carrying amounts 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 trom these estimates. 

The estimates and underlying assumptions are reviewed on an ongoing basis. Management do not deem there to be any key sources of estimation uncertainty. Revisions to accounting estimates are recognised in the period in which the estimate is revisec 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. 

The critical judgement that the directors have made in the process of applying the company’s accounting policies and that have the most significant effect on the amounts recognised in the financial statements is the valuation of the investment properties. These are valued by the trustees using guidance from an independent professional vatuer. Investment properties are measured at each year end at their open market value. 

## Property investments 

Property investments are held at open market value based upon external property valuations. Their valuations are derived from the most recent valuation, performed by Andrew Granger & Co Ltd as at 31 August 2021, with the exception of the land at Plungar which was valued as at 31 August 2022 based on the post balance sheet sale vatue. 

## Tangible fixed assets 

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. Fixtures and fittings - Straight line over 7 years Computer equipment - Straight line over 3 years 

Fund accounting 

Fund balances are split between unrestricted and endowment (restricted) funds: 

-the general fund is an unrestricted fund, which may be used at the Trustees' discretion; - the endowment (restricted) fund consists of funds where there are imposed restrictions on their use. 

Further details of these funds are given in note 16. 

eee Page 18 continued... 



## LEICESTER DIOCESAN BOARD OF EDUCATION 

## NOTES TO THE FINANCIAL STATEMENTS - continued For The Year Ended 31 August 2023 

## ESSE 


**----- Start of picture text -----**<br>
||||||
|---|---|---|---|---|
|3.|OTHER TRADING|ACTIVITIES|
|2023|2022|
|Rents|£|£|
|received|24,732|23,596|
|4.|INVESTMENT INCOME|
|2023|2022|
|Investment|ra|£|
|Deposit|income|124,540|85,650|
|account interest|3,454|1,522|
|127,994|87,172|
|§.|RAISING|FUNDS|
|Raising|donations and|legacies|
|2023|2022|
|Support|[costs]|€|£|
|ie|7|22,414|
|6.|NET INCOME/(EXPENDITURE)|
|Net|income/(expenditure}|is|stated|after charging/{crediting}:|
|2023|2022|
|Auditors'|&|&|
|remuneration|9,625|8,660|
|Depreciation|- owned|assets|2,793|2,793|

**----- End of picture text -----**<br>


## 7. TRUSTEES’ REMUNERATION AND BENEFITS 

There were no trustees' remuneration or other benefits for the year ended 31 August 2023 nor for the year ended 31 August 2022. 

## Trustees’ expenses 

There were no trustees’ expenses paid for the year ended 31 August 2023 nor for the year ended 31 August 2022. 

## 8. STAFF COSTS 


**----- Start of picture text -----**<br>
|||||
|---|---|---|---|
|2023|2022|
|Wages|&|&|
|Social|and salaries|199,060|156,148|
|Other|security costs|15,327|18,202|
|pension|costs|38,205|29,240|
|252592|203,590|
|The average monthly number of employees|during|the year was|as follows:|
|Administration|2023|2022|
|and|support|3|3|

**----- End of picture text -----**<br>


## eee 

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continued... 



LEICESTER DIOCESAN BOARD OF EDUCATION 

## NOTES TO THE FINANCIAL STATEMENTS - continued 

For The Year Ended 31 August 2023 

## 8. STAFF COSTS - continued 

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was: 


**----- Start of picture text -----**<br>
2023 2022<br>£80,001 - £90,000 - ]<br>£90,001 - £100,000 | —__<br>a | |<br>**----- End of picture text -----**<br>


Pension payments of £21,786 were made for the highest paid employee (2022: £20,122). 

No other employees eamed £60,000 or more in the current or preceding period. 

## Key management personnel 

Key management personnel are deemed to be those having authority and responsibility, delegated to them by the trustees, for planning, directing and controlling the activities of the Charitable Company. During 2023 this was the Diocesan Director of Education and Secretary of the Board. 

During the year, remuneration (including Employers National Insurance and pension) amounting to £125,230 was paid (2022: £118,369). 

## 9. 

## COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES 

||Unrestricted|Endowmenttotal|Endowmenttotal|
|---|---|---|---|
||fund|fund|funds|
||£|£|£|
|INCOME AND ENDOWMENTS FROM||||
|Donationsand legacies|180,509|-|180,509|
|Charitable activities||||
|Admission appeal costs|7375|-|7375|
|Otherincome|(3,317)|51,913|48,596|
|Partnership agreement & courses|54,629|-|54,629|
|Other trading activities|-|23,596|23,596|
|Investmentincome|25,775|61,397|87,172|
|Total|264,971|136,906|401,877|
|EXPENDITURE ON||||
|Raising funds|14,845|7,569|22,414|
|Charitable activities||||
|Advice toandworkwith schools|62,957|-|62,957|
|Governance costs|13,535|-|18,535:|
|Support costs|60,773|189,945|250,718|
|Total|152,110|197,514|349,624|
|NETINCOME/(EXPENDITURE)|112,861|(60,608)|52,253|
|Transfers between funds<br>Other recognised gains/(losses)|114,394|(114,394}|-|
|Gains/({losses) on revaluation of fixed||||
|assets|246,199)|102,829|(143,370)|



eet Page 20 continued... 



LEICESTER DIOCESAN BOARD OF EDUCATION 

## NOTES TO THE FINANCIAL STATEMENTS - continued 

## For The Year Ended 31 August 2023 


**----- Start of picture text -----**<br>
||||||||||
|---|---|---|---|---|---|---|---|---|
|9.|COMPARATIVES|FOR|THE|STATEMENT OF|FINANCIAL|ACTIVITIES|-|continued|
|Unrestricted|Endowmenttotal|
|fund|fund|funds|
|£|&|£|
|Net movement|in funds|(18,944)|(72,173)|{91,317)|
|RECONCILIATION|OF|FUNDS|
|Total|funds|brought|forward|424,550|3,554,940|3,979,490|
|TOTAL|FUNDS|CARRIED|FORWARD|405,606|3,482,767|3,888,373|
|10.|TANGIBLE|FIXED|ASSETS|
|Fixtures|
|and|Computer|
|fittings|equipment|Totals|
|re|£|£|
|COST|
|At|1|September|2022|and|31|August|2023|
|13,735|2,060|15,795|
|DEPRECIATION|
|At|1|September 2022|8,684|1,374|10,058|
|Charge|for|year|2,107|686|2199|
|At|31|August|2023|10,791|2,060|12,851|
|NET|BOOK|VALUE|
|At|31|August|2023|2,944|-|2,944|
|At|31|August|2022|9,051|686|5,737|
|11.|~FIXED|ASSET INVESTMENTS|
|Investment|Unlisted|
|properties|invesiments|Total|
|£|£|£|
|Cost or|valuation|
|At|1|September 2022|835,750|3,012,950|3,848,700|
|Additions|at|cost|-|116,827|116,827|
|Disposals|(130,750)|-|{130,750)|
|Revaluation|adjustment|-|118,170)|(118,170)|
|At|31|August 2023|705,000|3,011,607|3,716,607|
|2023|2022|
|Historical|cost|(unlisted investments|only}|1,887,281|1,770,933|

**----- End of picture text -----**<br>


investment properties do not have any historical cost as the Board received legacies and gifts. The difference between historical cost and market value is included within the relevant funds. 

jhe investment properties were valued as at 31 August 2021 by the Board's jand agents, Andrew Granger & Co Ltd, Chartered Surveyors. The basis of valuation was on an open market basis based on existing use and prevailing permissions. The Board undertakes valuations every 3 years. 

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LEICESTER DIOCESAN BOARD OF EDUCATION 


## HH. FIXED ASSET INVESTMENTS - continued 

The Leicester Diocesan Board of Education acts as a custodian of two properties on behalf of The Saint Nicholas House Educational Foundation. These properties have not been recognised in the accounts of Leicester Diocesan Board of Education as it does not have beneficial interest. The valuation of these properties is £700,000. 

All the unlisted investments of the Board are in CBF Church of England Common Investment Funds managed by CCLA Investment Management Limited & Savills investment Management 

|||2023|2022|
|---|---|---|---|
||CBFInvestment Fund<br>SavillsProperty Fund|£<br>2,580,856<br>430,751|£<br>2,497,304<br>515,646|
|||3,011,607|3,012,950|
|12.|INVESTMENT PROPERTY|||
||FAIR VALUE||£|
||At 1 September2022<br>Disposals||835,750<br>(130,750)|
||At31 August2023||705,000|
||NETBOOK VALUE|||
||At31 August2023||705,000|
||At 31 August2022||835,750|
||Fairvalueat 31 August 2023 is represented by:|||
||Valuation in 2021||£|
||||705,000|
|13.|DEBTORS: AMOUNTS FALLING DUEWITHINONEYEAR|||
|||2023|2022|
||Otherdebtors<br>Prepaymentsandaccruedincome|£<br>30,335<br>38,338|£<br>53,147<br>14,725|
|||68,673|67,872|



Page 22 

continued... 



## LEICESTER DIOCESAN BOARD OF EDUCATION 

## NOTES TO THE FINANCIAL STATEMENTS - continued For The Year Ended 31 August 2023 

## 14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 

|14.|CREDITORS: AMOUNTS FALLING DUE WITHIN|ONE YEAR||||
|---|---|---|---|---|---|
|||||2023|2022|
|||||£|£|
||Trade creditors|||45,938|90,104|
||Social security and othertaxes|||10,809|9,798|
||VAT|||186|3,016|
||Othercreditors|||502,45}|639,691|
||DFC funds|||134,809|80,019|
||Accrualsand deferredincome|||19,681|9,74)|
|||||713,874|832,369|
|15.|ANALYSIS OF NET ASSETS BETWEEN FUNDS|||||
|||||2023|2022|
|||Unrestricted<br>fund|Endowment<br>fund|Total<br>funds|Total<br>funds|
|||£|—|£|&|
||Fixed assets|2,944|-|2,944|5,737|
||Investments|356,427|3,360,180|3,716,607|3,848,700|
||Current assets|749,409|-|749,409|866,305|
||Current liabilities|713,874)|-|(713,874)|(832,369)|
|||394,906|3,360,180|3,755,086|3,888,373|
|16.|MOVEMENT iN FUNDS|||||
||||Net|Transfers||
||||movement|between|At|
|||AT 1.9.22|in funds|funds|31.8.23|
|||&|£|£|£|
||Unrestricted funds|||||
||General fund|405,607|119,228|(129,929)|394,906|
||Endowmentfunds|||||
||$554 Income Fund|-|(129,929)|129,929|-|
||$554 Capital Fund|3,059,930|(122,588)|(3,413)|2,933,929|
||Baxter Hall Fund|305,000|-|-|305,000|
||Other Foundations|117,838|-|3,413|121,25]|
||TOTALFUNDS|3,888,374|(133,288)|_i;|3,755,086|



## 15. ANALYSIS OF NET ASSETS BETWEEN FUNDS 

Page 23 

continued... 



LEICESTER DIOCESAN BOARD OF EDUCATION 

## NOTES TO THE FINANCIAL STATEMENTS - continued For The Year Ended 31 August 2023 

: 

## 16, MOVEMENT IN FUNDS - continued 


**----- Start of picture text -----**<br>
||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
|Net|movement|in|funds,|included|in|the|above|are|as|follows:|
|incoming|Resources|Gains|and|Movement|
|resources|expended|losses|in|funds|
|£|z|£|£|
|Unrestricted|funds|
|General|fund|318,258|(184,100)|(14,928)|119,228|
|Endowment|funds|
|$554 tncome|Fund|95,208|(225,138)|-|{129,929}|
|$554 Capital|Fund|-|-|(122,586)|{122,572}|
|Baxter|Hall|Fund|-|-|=|.|
|Other|Foundations|-|-|~|-|
|TOTAL FUNDS|413,466|(409,238)|(137,516)|(133,288)|
|Comparatives for movement|in|funds|
|Net|Transfers|
|At|1.9.21|movementin|funds|betweenfunds|31.822At|
|Unrestricted|funds|ra|£|Fa|£|
|General|fund|424,550|93,576|(112,519)|405,606|
|Endowment funds|
|$554|Income|funds|-|{135,850)|135,850|-|
|$554|Capital|funds|3,130,558|(70,628)|-|3,059,930|
|Baxter|Hall|Fund|305,000|23,331|(23,331)|305,000|
|Other|Foundations|119,382|(1,544)|-|117,838|
|TOTAL|FUNDS|3,979,490|(91,117)|-|3,888,373|
|Comparative|net movement|in|funds,|included|in|the|above|are|as|follows:|
|Incoming|Resources|Gains|and|Movement|
|resources|expended|losses|in|funds|
|£|£|£|£|
|Unrestricted|funds|
|General|fund|264,97]|(152,110)|(19,286)|93,576|
|Endowment|funds|
|$554 Income|Fund|61,398|(197,250)|-|(135,850)|
|$554 Capital|Fund|51,913|-|(122,540)|(70,628)|
|Baxter|Hall|Fund|23,596|(265}|-|23,331|
|Other Foundations|-|-|(1,544)|(1,554)|
|TOTAL FUNDS|401,877|(349,624)|{143,370}|(71|el|sliZ)|

**----- End of picture text -----**<br>


## TOO 

## ee 

Page 23 

continued... 



## LEICESTER DIOCESAN BOARD OF EDUCATION 

## NOTES TO THE FINANCIAL STATEMENTS - continued For The Year Ended 31 August 2023 ——— i eesi‘(‘(#(((ON 

16. MOVEMENT IN FUNDS - continued The transfer in the year, between the General fund and the 5554 Income Fund is to fund the deficit on this fund, as costs allocated exceeded the income generated. 

Revaluation Reserve Included in the fund balances above is a revaluation reserve of £1,809,501 (investment property £705,000 and investments £1,104,501). As at 3Ist August 2023, the revaluation reserve is allocated as follows, general fund £196,908, Baxter Hall £300,000, $554 capital fund £1,273,073 and other foundations £40,320. 

## Endowment funds 

$554 Income and Capital funds These principally represent funds and income held under trusts arising from the sale of redundant educational properties. The Board as trustees may, after payment of cny expenses incurred in connection with the administration of the trusts, apply the capital and income of the relevant trust assets for any of the following purposes: 

- in or towards the purchase of a site for, or the erection, improvement or enlargement of: e the premises of any relevant school in the area e the premises of a teacher's house for use in connection with any relevant school in the area * for the maintenance of any relevant school in the area or of a teacher's house for use in connection with any relevant school in the area. 

The income arising from these trusts may additionally be used, after payment of any expenses incurred in connection with the administration of the trust, for any of the following purposes: 

- in or towards the provision of advice, guidance and resources {including materials) in connection with any matter related to the management of, or education provided at, any relevant school in the area 

- - the provision of services for the carrying out of any inspection of any re-evant school in the area required by Part | of the School Inspection Act 1996(a); and 

- - to defray the cost of employing or engaging staff in connection with the application of capital or income of the relevant trust assets. 

## The Baxter Hall fund 

This represents the book value of the Baxter Hall! property as revalued from time to time. 

|Other Foundations|Total2023|Total2022|
|---|---|---|
|Gilmorton, EdwardChandler<br>Leicester,GARobinson<br>Stoke<br>Golding<br>RevTowers Earl Shilton<br>Hatherm, OldSchoo! House|&<br>3,768<br>12,344<br>410<br>42,278<br>62,45]<br>121,251|&<br>3,823<br>12,214<br>397<br>41,732<br>60,641<br>118,807|



eee Page 25 continued... 



## LEICESTER DIOCESAN BOARD OF EDUCATION 

## NOTES TO THE FINANCIAL STATEMENTS - continued For The Year Ended 31 August 2023 

## 16. MOVEMENT IN FUNDS - continued 

During any year the Board can become aware of redundant schools and/or schooihouses of which it has no record. When this occurs, the Board acts under current legislation to acquire the asset for its work, The Board has no means of identifying such cases in advance. 

## 17. EMPLOYEE BENEFIT OBLIGATIONS 

## Pension costs 

Three employees of the Board participated in pension schemes administered by the Church of England Pensions Board, which holds the assets of the schemes separately from those of the Board and the other participating employers. This is the Church Workers Pension Fund. The Church Workers Pension Fund has a section known as the Defined Benefits Scheme, a deferred annuity section known as Pension Builder Classic and a cash balance section known as Pension Builder 2014. 

These schemes are multi-employer last man standing defined benefit pension schemes for which the Board is unable to identify its share of the underlying assets and liabilities as each employer is exposed to actuarial risks associated with the current and former employees of other entities participating in the scheme. 

Church Workers Pension Fund - Pension Builder Scheme The Board participates in the Pension Builder Scheme section of the Church Workers Pension Fund for lay staff. The scheme is administered by the Church of Engiand Pensions Board, which holds the assets of the schemes separately from those of the empioyer and the other participating employers. 

The Pension Builder Scheme of the Church Workers Pension Fund is made up of two sections, Pension Builder Classic and Pension Builder 2014, both of which are classed as defined benefit schemes. 

Pension Builder Classic provides a pension for members for payment from retirement, accumulated from contributions paid and converted into a deferred annuity during employment based on terms set and reviewed by the Church of England Pensions Board from time to time. Bonuses may also be declared, depending upon the investment returns and other factors. 

Pension Builder 2014 is a cash balance scheme that provides a lump sum that members use to provide benefits at retirement. 

Pension contributions are recorded in an account for each member. This account may have bonuses added by the Board before retirement. The bonuses depend on investment experience and other factors. There is no requirement for the Board to grant any bonuses. The account, plus any bonuses declared, is payable from members’ normal pension age. 

There is no subdivision of assets between employers in each section of the Pension Builder Scheme. The scheme is considered to be a multi-employer scheme, this means it is not possible to attribute the Pension Builder Scheme's assets and liabilities to specific employers and that contributions are accounted for as if the scheme were a defined contribution scheme. The pension costs charged to the SoFA in the year represent contributions payable. The most recent scheme valuation completed was carried out as at 31 December 2019. This revealed, on the ongoing assumptions used, an overall deficit of £10.4m. The scheme's actuaries have proposed that the deficit is to be eliminated within 7 years without the need for additional contributions from the employers involved in the scheme. There is therefore no requirement for deficit payments at the current time. 

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continued... 



## LEICESTER DIOCESAN BOARD OF EDUCATION 

## NOTES TO THE FINANCIAL STATEMENTS - continued For The Year Ended 31 August 2023 

## ee 

## 17, EMPLOYEE BENEFIT OBLIGATIONS - continued 

The Board contributes 10% of basic salary. There is no minimum contribution for employees. The pension costs for the period of £4,083 (2022: £9,119) are equal to the contributions paid by the Board and there were no contridutions outstanding at the period end. 

## Teachers’ Pension Scheme 

The Teachers’ Pension Scheme (TPS) is a statutory, contributory, defined benefit scheme, governed by the Teachers' Pension Scheme Regulations 201 4. 

The Diocesan Director of Education and Deputy Director of Education are members of the TPS. 

The TPS is an unfunded scheme and members contribute on a ‘pay as you go’ basis - these contributions along with those made by employers are credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament. 

## Valuation of the Teachers’ Pension Scheme 

The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS in accordance with the Public Service Pensions {Valuations and Employe- Cost Cap) Directions 2014 published by HM Treasury every 4 years. The aim of the review is to specify the level of future contrioutions. Actuarial scheme valuations are dependent on assumptions about the value of future costs, design of benefits and many other factors. The latest actuarial valuation of the TPS was carried out as at 31 March 2016. The valuation report was published by the Depertment for Education on 5 March 2019. 

The key elements of the valuation and subsequent consultation are: 

- ° employer contribution rates set at 23.68% of pensionable pay {including a 0.08% administration levy) 

- ® total scheme liabilities (pensions currently in payment and the estimated cost of future benefits) for service to the effective date of £218,100 million, and notional assets (estimated future contributions together with the notional investments held at the valuat’on date) of £196,100 million giving a notional past service deficit of £22,000 million 

- ° the SCAPE rate, set by HMT, is used to determine the notional investment retum. The current SCAPE rate is 2.4% above the rate of CPI. Assumed real rate of return is 2.4% in excess of prices and 2% in excess of earnings. The rate of real earnings. The rate of real earnings growth is assumed to be 2.2%, The assumed nominal rate of return including earnings growth is 4.45%. 

The next valuation result is due to be implemented from 1 April 2023. 

the employer’s pension costs paid to TPS in the period amounted to £33,873 i2022: £18,477). 

A copy of the valuaiion report and supporting documentation is on the Teachers’ Pensions website. 

Under the definitions set out in FRS 102, the TPS is an unfunded multi-employer pension scheme. The charity has accounted for its contributions to the scheme as if it were a defined contribution scheme. 

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continued... 



LEICESTER DIOCESAN BOARD OF EDUCATION 

NOTES TO THE FINANCIAL STATEMENTS - continued For The Year Ended 31 August 2023 

## ja, 

## 18. RELATED PARTY DISCLOSURES 

The Board is related to Leicester Diocesan Board of Finance (LDBF}. 

During the year grants were received from LDBF of £113,522 (2022: £119,826) 

## 19. SCHOOLS’ DFC FUNDS 

With effect from 1 April 2006 the DfE paid over to schools the funds available for 2006/07 plus any unspent funds from prior years, which could be used for the 90% cost of building works, previously reimbursed by the DfE. 

The Voluntary Aided Schools agreed that the Board should hold these funds and meet any 90% coniributions from them. The value of the funds at 31st August 2022 was £137,255 (2022: £80,01 9}, 

Each school's unspent amount of the total is identifiable. 

## 20. ANALYSIS OF TRANSFERS BETWEEN FUNDS 

Overheads are apportioned based upon the allocation of staff time and is split between general and endowment fund. Transfers between funds and the reasons behind them are disclosed in Note 16. 

aeeei—“(‘iststC 

i—“(‘iststC 

Page 28 



## LEICESTER DIOCESAN BOARD OF EDUCATION 

## DETAILED STATEMENT OF FINANCIAL ACTIVITIES For The Year Ended 31 August 2023 

## eee 

||2023|2022|
|---|---|---|
||£|&|
|INCOME AND ENDOWMENTS|||
|Donationsand legacies|||
|Donations<br>Grantfrom LeicesterDBF<br>Recharge to Derby DBE|650<br>113,522<br>62,418|6<br>119,826<br>60,677|
||176,590|180,509|
|Othertrading activities|||
|Rents received|24,732|23,596|
|Investment income|||
|Investmentincome<br>Deposit account interest|124,540<br>3,454|85,650<br>1,522|
||127,994|87,172|
|Charitable activities|||
|Admissionappeal costs<br>Otherincome<br>Partnershipagreemeni&course|10,570<br>11,896<br>61,684|7,375<br>48,596<br>54,629|
||84,150|110,600|
|Total incoming resources|413,466|401,877|
|EXPENDITURE|||
|Othertrading activities|||
|Other trading activities|-|21,380|
|Charitable activities|||
|Advice to schools|109,053|62,957|
|Support costs|||
|Management|||
|Wages|199,060|156,148|
|Social security<br>Pensions|15,327<br>38,205|18,202<br>29,240|
|Office costs|25,443|44,335|
|Fixtures and fittings|2,107|2,106|
|Computerequipment|___687|____687|
||280,829|250,718|
|Governance costs|||
|Auditors’ remuneration|9,625|8,660|
|Legaland professionat fees|__9,731|__4,875|
||19,356|13,535|



This page does not form part of the statutory financial statements 

Page 29 



LEICESTER DIOCESAN BOARD OF EDUCATION 

## DETAILED STATEMENT OF FINANCIAL ACTIVITIES For The Year Ended 31 August 2023 

a 

Total resources expended Net income 

|2023|2022|
|---|---|
|£|£|
|409,238|349,624|
|4,228|52,253|



This page does not form part of the statutory financial statements Se nn eee eee 

Page 30