Registered number: 08945454 (England and Wales) **Charity number: 1165709**
## **BIRMINGHAM EDUCATION PARTNERSHIP LIMITED**
**TRUSTEES’ REPORT AND FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 MARCH 2021**
## BIRMINGHAM EDUCATION PARTNERSHIP LIMITED
## **CONTENTS**
||Page|
|---|---|
|**Reference and administrative details**|1|
|**Trustees' report**|2 - 10|
|**Independent auditor’s report**|11 – 13|
|**Statement of financial activities**|14|
|**Balance sheet**|15 – 16|
|**Statement of cash flows**|17|
|**Notes to the financial statements**|18 - 37|
BIRMINGHAM EDUCATION PARTNERSHIP
**(A Company Limited by Guarantee)**
## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2021**
## **Trustees**
Mr Timothy Boyes
Baroness Estelle Morris
Mrs Patricia Smart
Mr Andrew Hodge
Mr Nick Scully (Resigned 20 September 2021)
Ms Deborah James (Resigned 22 February 2021)
Mr James Howse
Mr Heath Monk (Resigned 31 August 2020)
Ms Jo Jones
Mr Mark Gregory (Appointed 2 November 2020)
Ms Vanessa Hanson (Appointed 26 January 2021)
## **Company registered number**
08945454
## **Charity registered number**
1165709
## **Registered Office**
1 St Saviour’s Road, Birmingham, B8 1HN
## **Chief Executive Officer**
Mr Timothy Boyes
## **Independent Auditor**
MHA MacIntyre Hudson Chartered Accountants Statutory Auditor Rutland House 148 Edmund Street Birmingham B3 2FD
Page 1
TRUSTEES' REPORT **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
The Trustees present their Annual Report together with the audited financial statements of the Charity for the year 1 April 2020 to 31 March 2021. The Trustees confirm that the Annual Report and financial statements of the charity comply with the current statutory requirements, the requirements of the charity's governing document and the provisions of the Statement of Recommended Practice (SORP), applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
Since the charity qualifies as a small company under section 383, the strategic report required of medium and large companies under The Companies Act 2006 (Strategic Report and Director's Report) Regulations 2013 is not required.
## OBJECTIVES AND ACTIVITIES
## PURPOSE AND AIMS
Birmingham Education Partnership Ltd (BEP) is a company limited by guarantee and registered with the Charity
Commission.
The charity’s purposes as set out in the company’s Articles of Association are to:
- advance the education of children and young people for the public benefit.
In particular but not exclusively by:
- forming schools’ partnerships to promote high quality teaching and learning; and
- acting as an umbrella brokerage for all schools in Birmingham and any other regions as the Trustees determine to advance the charitable purposes.
Our priorities in achieving our aims are to:
- ensure that no school is left isolated from advice and support.
- facilitate a school led improvement system; and
- to help schools provide a deeply good academic, social, and civic education for their pupils.
## **Ensuring our work delivers our aims**
We review our aims, objectives, and activities regularly.
This report looks at the activities and outcomes of the past 12 months and how this has impacted the children and young people involved.
The start of this financial year coincided almost exactly with the COVID 19 lockdown in March 2020. Due to a well-timed change to Microsoft Teams and cloud-based accounting in the previous financial year, BEP was able to move seamlessly to home working and online delivery of training and school support.
BEP is agile and responsive and has a unique knowledge of Birmingham’s schools. We have been able to adapt our work, with agreement from funders where necessary, to the needs of the schools, and to win COVID related funding to develop new projects.
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TRUSTEES' REPORT **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
Birmingham
- Has over 400 state funded schools serving more than 178,000 pupils.
- 200 Local Authority maintained schools excluding nursery schools made up of
- 173 primary and special primary & 27 secondary, all through and secondary special schools
- Ranks third of 153 English local education authorities for number of pupils
- Has more schools and pupils than any other core city (second is Leeds with 272 and approximately 105,000 pupils)
- Has 46 priority schools (maintained schools either judged by Ofsted to Require Improvement or be Inadequate or schools judged by BEP to be otherwise vulnerable).
A key contract, Birmingham City Council’s (BCC) School Improvement Contract, was extended by 12 months to 31 August 2021. During this time BCC issued an open market tender. In response to the service specification included, BEP developed a bid based on a new operating model. BCC determined that BEP had submitted the most appropriate tender and we are delighted to say we have been awarded the contract from 1 September 2021.
BEP delivers its objectives via four strands:
- Performance and Standards.
- Inclusion.
- Wider learning; and
- Business Support and development
Each strand has faced challenges in delivering services, but we are proud of the way we have adapted to support schools during the pandemic and will use the lessons learned to develop.
Our aims for this year and how we met them
|WE AIMED TO ….|WHAT ACTUALLY HAPPENED …|
|---|---|
|Tender for the contract for school improvement services for
Birmingham City Council (BCC) from spring 2021 using the
knowledge gained as their provider for the past five years
about both the challenges faced by the city and effective
vehicles for improvement.|BEP won the seven-year BCC contract as from 1st
September 2021.|
|Provide school improvement support to schools, targeted at
those most in need and designed to address shared priorities.|All Priority Schools were allocated a Priority Partner to
provide individual support.
Shared practice & resources, especially around remote
& blended learning, via the BEP website.
Continued our work focusing on reading and the
development of a city-wide literacy strategy for the
future.|
|Support school leaders and work with them to codesign and
deliver support services building on our work this year around
quality of curriculum, subject development, and the teaching
of reading.|Established a mentoring programme for new Head
Teachers.
Where possible, previously planned work was provided
virtually including our Curriculum Development
programme of Subject Development days & Network
Meetings for primary & secondary schools in
conjunction with National Subject Associations.
874 primary and secondary colleagues attended.|
|Continue to work with BCC to support city-wide partnership
work to improve the SEND offer and reduce exclusions building
on our experience from the Kings Norton Inclusion project.|Helped launch BCC’s Developing Local Provision (DLP),
especially at the secondary phase, to extend the
success of the Kings Norton project across Birmingham,
which reduced the level of exclusions in mainstream
schools using a model of collaboration.|
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TRUSTEES' REPORT **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
|Help facilitate school engagement and the commissioning of
support services.|Focus on engagement with all schools via blogs, emails,
phone calls & newsletters to ensure Head Teachers felt
connected, supported & encouraged during the COVID
19 lockdown.|
|---|---|
|Evaluate the workstreams created in the Wider Learning and
Inclusion areas developed as a part of the five-term plan and
continue with projects providing the best return to schools.|Commonwealth Connections project with the REP and
Youth Sports Trust, funded by the British Council, to be
delivered in 2022.
Peer Tutoring projects run in Birmingham and
Pembrokeshire.
Response to digital poverty need highlighted during
pandemic lockdown led to the Digital Education
Partnership (DEP) providing 970 recycled computers &
382 connectivity bundles across 50 schools.|
|Expand the work and size of the careers programme including
a hub for SEND children, extending the offer of support to
colleges and new secondary schools.|Increased number of schools from 80 to 100 including
36 SEND.
Employed additional staff.
Ran a virtual careers fair jointly with Solihull.
Expanded work with local employers to provide
volunteer support to schools.
Enabled both encounters with work and work
experience for young people including virtual work
experience during school closures.|
|Continue and expand the emotional wellbeing work in schools
via NewStart and the Trailblazer projects supported by mental
health training and development for school staff, and in the
South Asian Community via funding from the National Lottery.|NewStart adapted to the pandemic by responding to
need; providing weekly themed information for parents
& teachers & 61 NHS funded Mental Health Shorts
virtual training courses, attended by 1600 delegates,
both from Birmingham and nationally.
The pandemic highlighted the level of digital poverty in
the South Asian Community, so delivery in lockdown
was delayed. The workstreams have been revised to
increase family support as well as working with schools
& community groups.
National Lottery COVID 19 funding won, which
supported the South Asian community in the B8
postcode with Digital Literacy of women, transition of
SEND children starting school, to support DEP and to
deliver suicide first aid training (SFA) to 200, including
training two SFA tutors.|
|Offer training and support to improve the school arts
curriculum and in the short term deliver teacher networks. BEP
will continue to work with others to explore the potential for
the creation of the “Birmingham Arts School” that will bring
together a partnership of arts organisations to provide school
engagement and support.|Supported Communities of Practice & provision of CPD
to school arts leads
Undertook reviews of school curriculum and teaching
practice
Development of the Arts, with the successful bid for
funding of the Birmingham Arts School from Esmèe
Fairbairn & Arts Connect|
BEP has complied with the Fundraising Regulator’s voluntary regulation scheme. During the year we worked closely with a third party whose role was to apply for grants. The applications were overseen by the organisation.
Neither the charity nor any person acting on behalf of the charity was subject to an undertaking to be bound by any voluntary scheme for regulating fundraising, or any voluntary standard of fundraising in respect of activities on behalf of the charity.
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TRUSTEES' REPORT **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## PUBLIC BENEFIT
The trustees have had regard to the Charity Commission’s guidance on public benefit in exercising their powers and duties.
The majority of BEP’s support to schools is provided free or at a subsidised rate for the public benefit. This includes provision of consultants and training through all our strands of work.
## MEMBERSHIP
BEP is a membership organisation. All Birmingham schools are automatically members, with an enhanced package available to purchase. In the academic year 20/21 – 218 (49 %) schools have purchased Enhanced membership
## LEARNING TO SHAPE BIRMINGHAM CONFERENCE
A highlight of BEP’s year, this was delivered virtually and focussed on schools’ issues highlighted during the COVID 19 pandemic.
142 schools registered for the live conference as well as there being 1600 views of the recorded sessions on YouTube.
All our offerings were made in the knowledge that many schools were struggling to do more than keep up with the daily demands of pandemic-led changes.
## FINANCIAL REVIEW
BEP is funded via a mixture of contracts, grants, membership subscriptions, traded activity, and donations.
The largest single source of income is via a contract with BCC for the provision of School Improvement Services. BEP has been awarded a new seven-year contract starting on 1 September 2021.
Grant income is secured from a variety of public and other bodies. These vary in both value and length of engagement. The most substantial grants are received from:
- National Lottery Community Fund for the South Asian Young People’s Mental Health Project.
- two Clinical Commissioning Groups for the provision of services that address the emotional and mental health needs of young people in school
- Careers and Enterprise Company for the delivery of an Enterprise Advisor Network and a Careers Hub to improve the provision of careers advice in schools, and
- British Council funding for the Commonwealth Connections project celebrating the 2022 Commonwealth Games
Smaller amounts of income are achieved through membership subscription, the delivery of traded services and donations.
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TRUSTEES' REPORT **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## INVESTMENT POLICY
BEP tries to adopt an ethical investment policy to ensure that its investments do not conflict with its aims.
## RESERVES POLICY
It is the practice of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month's expenditure. The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity's current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
Unrestricted expenditure for the financial year totalled £1,609,235 (2020: £2,184,399)
Unrestricted reserves at the end of the financial year stood at £1,377,877 (2020: £1,643,805) the equivalent of 10 months of expenditure, or 9 when funds earmarked for specific projects are considered; a similar level to 2020 (9 months).
The level of reserves held at year end is slightly higher than that designated by the reserves policy but a prudent policy whilst waiting for the outcome of the BCC School Improvement contract. A deficit budget was again set for the year to 31 March 2022 which will be reviewed in the light of the contract outcome.
After making appropriate enquiries, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.
## FUTURE PLANS
BEP remains committed to the idea that school improvement is best delivered through collaboration to identify shared challenges and needs, and that provision should be based on elements of school to school support. Consequently, BEP will seek to engage with all Birmingham schools, continue to play a role in the identification and expression of shared needs and concerns, and facilitate inter school support.
During the year ahead our aims include:
- commencing the contract for school improvement services for Birmingham City Council (BCC) from September 2021, working in collaboration with BCC & schools to set up our new operating model.
- providing school improvement support to schools, targeted at those most in need and designed to address shared priorities.
- supporting school leaders and work with them to codesign and deliver support services building on our work this year around quality of curriculum, subject development, and the teaching of reading.
- continuing to work with BCC to support city-wide partnership work to improve outcomes for pupils with SEND in mainstream settings and reducing exclusions. This major area of work is part of a two year BCC priority to “Develop Local Provision” and builds on our experience from the Kings Norton Inclusion project.
- helping facilitate school engagement and the commissioning of support services.
- expanding the work and size of the careers programme including support of a project focussing on better careers outcomes for 16 to 18 year olds with special educational need and disabilities.
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TRUSTEES' REPORT **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
- expanding the emotional wellbeing work in schools via NewStart and the Trailblazer projects supported by mental health training and development for school staff, and in the South Asian Community via funding from the National Lottery.
- Develop the “Birmingham Arts School”, funded by the Esmée Fairbairn Foundation and Arts Connect, that will bring together a partnership of arts organisations to provide school engagement and support. In 2022 this will include delivering the Commonwealth Connections project in conjunction with the British Council, the Birmingham Repertory Theatre (the REP) & Youth Sports Trust to celebrate the 2022 Commonwealth Games.
BEP will continue to seek funding from grant funders and local business that can be used to deliver support to schools that addresses identified need and which will provide some core funding to maintain the charity.
## STRUCTURE, GOVERNANCE AND MANAGEMENT
## **Governing Document**
The charity is a company limited by guarantee, having no share capital.
The Trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Mr Timothy Boyes
Baroness Estelle Morris
Ms Patricia Smart
Mr Andrew Hodge
Mr Nick Scully (Resigned 20 September 2021)
Ms Debbie James (Resigned 22 February 2021)
Mr James Howse
Mr Heath Monk (Resigned 31 August 2020)
Ms Jo Jones
Mr Mark Gregory (Appointed 2 November 2020)
Ms Vanessa Hanson (Appointed 26 January 2021)
The Board is advised by Mr Steve Munby and Professor David Wood.
The Articles of Association provide that the participating schools (being Academies, free schools or maintained schools in the City of Birmingham and paying a subscription to BEP) have the right to appoint two directors - one representing primary schools and one representing secondary schools. Company members can appoint up to four directors and the System and Leadership Innovation Committee (SLIC) can appoint up to two directors.
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TRUSTEES' REPORT **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## RECRUITMENT AND APPOINTMENT OF BOARD OF TRUSTEES
A nominations committee receives relevant information regarding the qualifications and experience of prospective Trustees, interviews candidates and makes recommendations for appointment to the Board. The Board determines appointments dependent on the qualifications and experience of prospective Trustees, the recommendations of the nominations committee, and consideration of the skills and experience represented at the Board by existing Trustees.
## TRUSTEE INDUCTION AND TRAINING
Trustees receive an induction to the organisation and their role, including the Charity Commission document “The Essential Trustee”. No formal training took place during the financial year, but safeguarding training is planned and a review of other needs will take place.
## TRUSTEE MEETINGS
The Trustees meet at least six times a year at which they consider the delivery of school improvement services, strategic activities undertaken to further the objectives of the charity, finances, risks, and all matter relating to the efficient management of the charity.
## **Sub Committees of the Board of Trustees**
- **Finance and audit** meet between Board meetings to consider finance in detail and to recommend actions to the Board.
- **Nominations** considers applications from potential Trustees and makes recommendations to the Board; and
- • **Remunerations** considers and sets the pay of senior staff using scales within schools and the wider education system as a reference point. Senior staff appointments and the affordability of those are considered by Board and Board decisions are minuted. Pay grades are established for all other posts and staff are appointed within the agreed pay bands. All job descriptions and pay levels are benchmarked against national averages excluding London through an external HR provider.
The Chair of the Board meets regularly with the Chief Executive and periodically with other staff, whilst other Trustees have regular engagement with both members of the charity, and those in receipt of services from it. These activities ensure that Trustees have a good working knowledge of the activities completed by the charity.
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TRUSTEES' REPORT **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## SLIC (SYSTEM LEADERSHIP & INNOVATION COMMITTEE)
The Board is supported in evaluating its effectiveness and its planning of strategic and operational priorities by the SLIC which consists of 25 Headteachers from all areas of the city, across phases, selective, special, and mainstream. Two members of the Board are drawn from SLIC.
The day-to-day activities of the charity are carried out by a small team based at its office, with strategic and operational leadership provided to that team by a Chief Executive. The work of the staff team is supplemented by capacity and expertise provided by associates who are expert in the field of school improvement. During the COVID 19 lockdown, all office staff have been based at home with only essential, COVID safe, visits to the office. Now lockdown has been lifted, and following an office move, a gradual return to more face-to-face working has started. A review of working practices is ongoing.
## RISK MANAGEMENT
The Trustees have assessed the major risks to which the charity is exposed and are satisfied systems are in place to mitigate exposure to those risks.
- The most significant risk facing the organisation is uncertainty regarding income. In response the organisation has:
- maintained a reserve that will enable operations to continue for between three and six months if new funding is not secured.
- issued time limited contracts of employment to staff working on projects with time limited income; and adjusted staffing to reduce the speed at which funds are reduced to prolong services while other sources of funds are sought.
In the aftermath of the COVID 19 pandemic an additional risk has been identified relating to challenges of responding to schools as, hopefully, they return to a steadier state. Continued engagement with schools and work with consortia will monitor the changing need. The operating model will be reviewed as necessary, and reserves will be used, or additional funding will be sought to meet these needs where appropriate.
## AUDITORS
In accordance with the company's articles, a resolution proposing that MHA MacIntyre Hudson be re-appointed as auditor of the company will be put at a General Meeting.
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TRUSTEES' REPORT **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## TRUSTEES’ RESPONSIBILITIES STATEMENT
The Trustees (who are also directors of Birmingham Education Partnership Limited for the purposes of company law) are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the Trustees to prepare financial statements for each financial year. Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. 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 judgments and accounting estimates that are reasonable and prudent.
- state whether applicable Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity 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 charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## DISCLOSURE OF INFORMATION TO AUDITOR
Each of the persons who are Trustees at the time when this Trustees' report is approved has confirmed that:
- so far as that Trustee is aware, there is no relevant audit information of which the charity's auditor is unaware, and
- that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish that the charity's auditor is aware of that information.
This report was approved by the Trustees, signed on their behalf by:
……………………………………………………………………………………………..
Mr Timothy Boyes Trustee
Date ……10.11.21………
Page 10
INDEPENDENT AUDITOR'S REPORT **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BIRMINGHAM EDUCATION PARTNERSHIP LIMITED
## **Opinion**
We have audited the financial statements of Birmingham Education Partnership Limited (the ‘charitable company’) for the year ended 31 March 2021 which comprise Statement of Financial Activities, Balance Sheet, 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 March 2021 and of its incoming resources and application of resources, including its 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 of 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 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 of 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 other information comprises the information included in the Trustees’ annual report, other than the financial statements and our auditor’s report thereon. The Trustees are responsible for the other information contained in the Trustees’ annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements, or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
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INDEPENDENT AUDITOR'S REPORT **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION
We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:
- the information given in the financial statements is inconsistent in any material respect with the trustees’ report; or
- the charitable company has not kept adequate accounting records; or
- the financial statements are not in agreement with the accounting records and returns; or
- we have not received all the information and explanations we require for our audit.
## **Responsibilities of Trustees**
As explained more fully in the Trustees’ responsibilities statement, 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 intent 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**
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in 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:
- Obtaining an understanding of the legal and regulatory frameworks that the Charity operates in, focusing on those laws and regulations that have a direct effect on the financial statements;
- Enquiring of management and Trustees around known or suspected instances of non-compliance of laws and regulations and fraud;
- Discussing among the engagement team regarding how and where fraud might occur in the financial statements and any potential indications of fraud;
- Reviewing minutes of meetings of those charged with governance;
- Reviewing internal audit report;
- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; and
- Performing audit work in relation to the risk of management override, including testing of journal entries and other adjustments for appropriateness and reviewing accounting estimates for bias.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to
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INDEPENDENT AUDITOR'S REPORT
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**FOR THE YEAR ENDED 31 MARCH 2021**
become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
## USE OF OUR REPORT
This report is made solely to the charitable company’s trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. 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 trustees as a body, for our audit work, for this report, or for the opinions we have formed.
## **MHA MacIntyre Hudson (Statutory Auditor)**
Birmingham, United Kingdom
Date: 13 November 2021
_MHA Macintyre Hudson is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006_
Page 13
STATEMENT OF FINANCIAL ACTIVITIES **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
|**Note**
**Income from:**
Donations and legacies
3
Charitable activities
4
Other trading activities
Investments
6
**Total income**
**Expenditure on:**
Charitable activities
7
**Total Expenditure**
**Net (expenditure)/income**
**Transfers between funds**
14
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
14
Net movement in funds
14
**Total funds carried forward**|Unrestricted
Funds
**2021**
**£**
-
1,360,026
-
1,061
1,361,087
1,609,235
1,609,235
(248,148)
(17,780)
(265,928)
1,643,805
(265,928)
1,377,877|Restricted
Funds
**2021**
**£**
2,500
1,050,732
-
0
1,053,232
631,579
631,579
421,653
17,780
439,433
313,262
439,433
752,695|TOTAL
Funds
**2021**
**£**
2,500
2,410,758
-
1,061
2,414,319
2,240,814
2,240,814
173,505
-
173,505
1,957,067
173,505
2,130,572|TOTAL
Funds
_2020_
_£_
2,200
2,467,071
-
10,244|
|---|---|---|---|---|
|||||2,479,515|
|||||2,548,977|
|||||2,548,977|
||||||
|||||(69,462)|
|||||-|
|||||(69,462)|
|||||2,026,529
(69,462)|
|||||1,957,067|
The notes on pages 18 to 37 form part of these financial statements.
Page 14
BALANCE SHEET
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**AS AT 31 MARCH 2021**
**Registered number 08945454**
|**Fixed assets**
**Note**
Tangible assets
11
**Current assets**
Debtors
12
Cash at bank and in hand
17
Creditors: amounts falling due within one year
13
**Net current assets**
**Total net assets**
**Charity funds**
Restricted funds
14
Unrestricted funds
14
**Total funds**|**2021**
**£**
14,077
14,077
341,060
2,188,775
2,529,835
(413,340)
2,116,495
2,130,572
752,695
1,377,877
2,130,572|_2020_
_£_
_18,187_|
|---|---|---|
|||_18,187_
_508,485_
_1,889,206_|
|||_2,397,691_
_(458,811)_|
|||_1,938,880_|
|||_1,957,067_|
|||_313,262_
_1,643,805_|
|||_1,957,067_|
Page 15
BALANCE SHEET
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**AS AT 31 MARCH 2021**
**Registered number 08945454**
The entity was entitled to exemption from audit under section 477 of the Companies Act 2006.
The members have not required the entity to obtain an audit for the year in question in accordance with section 476 of the Companies Act 2006.
However, an audit is required in accordance with section 144 of the Charities Act 2011.
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies’ regime.
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
................................................
## **Mr Timothy Boyes**
Trustee
## Date: 10.11.21
The notes on pages 18 to 37 form part of these financial statements.
Page 16
STATEMENT OF CASH FLOWS
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**FOR THE YEAR ENDED 31 MARCH 2021**
|**Cash flows from operating activities**
Net cash provided by (used in) operating activities
**Cash flows from investing activities**
Interest received
Purchase of tangible fixed assets
**Net cash provided by/(used in) investing activities**
**Cash flows from financing activities**
**Net cash provided by financing activities**
**Change in cash and cash equivalents in the year**
Cash and cash equivalents at the beginning of the year
**Cash and cash equivalents at the end of the year**|**2021**
**£**
299,992
1,061
(1,484)
(422)
-
299,569
1,889,206
2,188,775|_2020_
_£_
_(219,104)_|
|---|---|---|
|||_10,244_
_(11)_|
|||_10,233_|
||||
|||_-_|
|||_(208,871)_
_2,098,077_|
|||_1,889,206_|
The notes on pages 18 to 37 form part of these financial statements
Page 17
NOTES OF FINANCIAL STATEMENTS
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**FOR THE YEAR ENDED 31 MARCH 2021**
## **1. General information**
Birmingham Education Partnership Limited is a private company, limited by guarantee, incorporated in England and Wales, and is also registered as a charity in England and Wales. The registered office and principal place of business is Adderley Nursery School, 1 St. Saviours Road, Birmingham B8 1HN.
## **2. Accounting policies**
## **2.1 Basis of preparation of financial statements**
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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 UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Birmingham Education Partnership Limited meets the definition of a public benefit entity under FRS.
102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
The financial statements are prepared in sterling, which is the functional and presentational currency of the Charity. Monetary amounts in these financial statements are rounded to the nearest £.
## **2.2 Company status**
The charity is a company limited by guarantee. The members of the company are the Trustees named on page 1. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity.
## **2.3 Going concern**
The Trustees assess whether the use of going concern 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 to continue as a going concern. The Trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements and have concluded that the Charity has adequate resources to continue in operational existence for the foreseeable future and there are no material uncertainties about the Charity’s ability to continue as a going concern, thus they continue to adopt the going concern basis of accounting in preparing the financial statements.
This consideration has taken into account the expected impact of Covid-19 on the charity, as far as it can be determined, and the Trustees remain satisfied that the going concern principle remains appropriate.
## **2.4 Income**
All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received, and the amount of income receivable can be measured reliably.
Trading income from sponsorships is measured at fair value of the consideration received or receivable in the period to which the sponsorship relates.
Grants are included in the Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.
Page 18
NOTES OF FINANCIAL STATEMENTS
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**FOR THE YEAR ENDED 31 MARCH 2021**
## **2. Accounting Policies (Continued)**
## **2.5 Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.
Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources.
Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management carried out at Headquarters. Governance costs are those incurred in connection with administration of the charity and compliance with constitutional and statutory requirements.
Charitable activities and Governance costs are costs incurred on the charity's operations, including support costs and costs relating to the governance of the charity apportioned to charitable activities.
## **2.6 Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
## **2.7 Tangible fixed assets and depreciation**
Tangible fixed assets costing £200 or more are capitalised and recognised when future economic benefits are probable, and the cost or value of the asset can be measured reliably.
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses.
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight line and reducing balance method.
Depreciation is provided on the following bases:
Fixtures and fittings - 15% reducing balance/33.33% straight line. Computer equipment - 33.33% straight line.
## **2.8 Debtors**
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
Page 19
NOTES OF FINANCIAL STATEMENTS
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**FOR THE YEAR ENDED 31 MARCH 2021**
## **2. Accounting Policies (Continued)**
## **2.9 Cash at bank and in hand**
Cash at bank and in hand 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.
## **2.10 Liabilities and provisions**
Liabilities are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
Provisions are measured at the best estimate of the amounts required to settle the obligation. W here the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of Financial Activities as a finance cost.
## **2.11 Financial instruments**
The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
## **2.12 Operating leases**
Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight-line basis over the lease term.
## **2.13 Pensions**
The Charity operates a defined contribution pension scheme, and the pension charge represents the amounts payable by the Charity to the fund in respect of the year
## **2.14 Fund accounting**
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
Page 20
NOTES OF FINANCIAL STATEMENTS
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**FOR THE YEAR ENDED 31 MARCH 2021**
## **2. Accounting Policies (Continued)**
## **2.15 Employee benefits**
The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
## **2.16 Retirement benefits**
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
## **2.17 Critical accounting estimates and areas of judgement**
In the application of the charity's accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
Critical areas of judgement:
## **Income recognition**
Income is recognised when the charity becomes entitled to the income, when receipt is probable, and when the amount of income can be measured reliably. Where income from grants or other sources span more than one year, determining the amount of income that should be recognised, accrued, or deferred can require the Trustees to make judgements or assumptions.
## **Allocation of support costs**
Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources, which is in part reliant upon judgements and assumptions made by the Trustees.
Page 21
NOTES OF FINANCIAL STATEMENTS **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
|**3.**|**Income from donations and legacies**|**Restricted**|**Total**|_Total_|
|---|---|---|---|---|
|||**funds**|**funds**|_funds_|
|||**2021**|**2021**|_2020_|
|||**£**|**£**|_£_|
|Donations||2,500|2,500|_2,200_|
In 2020, donations of £2,200 was included within restricted funds.
Page 22
NOTES OF FINANCIAL STATEMENTS **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## **4. Income from charitable activities**
|Wider Learning
Performance and Standards
Inclusion
Business Support & Development
**Total 2021**
Wider Learning
Performance and Standards
Inclusion
Business Support & Development
**Total 2020**|**Unrestricted**
**funds**
**2021**
**£**
39,220
963,356
237,243
120,207
1,360,026
_Unrestricted_
_funds_
_2020_
_£_
_24,725_
_1,137,521_
_612,457_
_143,430_
_1,918,133_|**Restricted**
**funds**
**2021**
**£**
715,538
18,250
316,944
-
1,050,732|**Total funds**
**2021**
**£**
754,758
981,606
554,187
120,207|
|---|---|---|---|
||||2,410,758|
|||_Restricted_
_funds_
_2020_
_£_
_243,341_
_-_
_305,597_
_-_
_548,938_|_Total funds_
_2020_
_£_
_268,066_
_1,137,521_
_918,054_
_143,430_|
||||_2,467,071_|
Included in the above are the following government grants received:
Birmingham City Council under a service level agreement 2021: £1,080,000 (2020: £1,426,674).
Page 23
NOTES OF FINANCIAL STATEMENTS **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## 4. **Income from charitable activities (continued)**
Included within restricted income are grants received from
||**2021**|2020|
|---|---|---|
||**£**|£|
|Birmingham City Council|54,310|39,200|
|The Careers and Enterprise Company|303,076|166,302|
|The Greater Birmingham and Solihull Local Enterprise Partnership|43,750|63,040|
|The National Lottery Community Fund|171,509|187,349|
|Arts Connect|10,819|14,000|
|NHS|120,355|118,248|
|The British Council|250,000|-|
The Charity has complied with the conditions attached to each government grant sufficiently as to be able to recognise each grant within income in the financial period to which the grant relates.
## **5. Net income/(expenditure)**
This is stated after charging:
||**2021**|2020|
|---|---|---|
||**£**|£|
|Depreciation of tangible fixed assets|5,594|10,581|
|Operating lease rentals|32,821|31,820|
## **Auditors' remuneration**
The Auditor's remuneration comprises audit fees of £8,500 (2020: £6,475) and fees for other non-audit services of £419 (2020: £5,547).
## **6. Investment income**
||**Unrestricted**|**Total**|_Total_|
|---|---|---|---|
||**funds**|**funds**|_funds_|
||**2021**|**2021**|_2020_|
||**£**|**£**|_£_|
|Interest receivable|1,061|1,061|_10,244_|
In 2020, interest receivable of £10,244 was included within unrestricted funds.
Page 24
NOTES OF FINANCIAL STATEMENTS
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**FOR THE YEAR ENDED 31 MARCH 2021**
## **7. Analysis of expenditure on charitable activities**
|**Summary by fund type**
Wider Learning
Performance and Standards
Inclusion
Business Support & Development
Wider Learning
Performance and Standards
Inclusion
Business Support & Development|**Unrestricted**
**funds**
**2021**
**£**
143,508
642,313
284,159
539,255
1,609,235
**Unrestricted**
**funds**
**2020**
**£**
191,616
1,073,011
315,018
604,754
2,184,399|**Restricted**
**funds**
**2021**
**£**
337,236
18,250
276,093
-
631,579
**Restricted**
**funds**
**2020**
**£**
204,346
-
160,232
-
364,578|**Total**
**funds**
**2021**
**£**
480,744
660,563
560,252
539,255|
|---|---|---|---|
||||2,240,814|
||||**Total**
**funds**
**2020**
**£**
395,962
1,073,011
475,250
604,754|
||||2,548,977|
Page 25
NOTES OF FINANCIAL STATEMENTS
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**FOR THE YEAR ENDED 31 MARCH 2021**
## **8. Analysis of expenditure by activities**
|Wider Learning
Performance and Standards
Inclusion
Business Support & Development
Wider Learning
Performance and Standards
Inclusion
Business Support & Development|**Activities**
**undertaken**
**directly**
**2021**
**£**
474,126
660,203
559,609
394,199
2,088,137
**Activities**
**undertaken**
**directly**
**2020**
**£**
389,297
1,068,568
468,865
417,240
2,343,970|**Support**
**costs**
**2021**
**£**
6,619
360
642
145,056
152,677
**Support**
**costs**
**2020**
**£**
6,665
4,443
6,385
187,514
205,007|**Total**
**funds**
**2021**
**£**
480,745
660,563
560,251
539,255|
|---|---|---|---|
||||2,240,814|
||||**Total**
**funds**
**2020**
**£**
395,962
1,073,011
475,250
604,754|
||||2,548,977|
Page 26
NOTES OF FINANCIAL STATEMENTS **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## **8. Analysis of expenditure by activities (cont’d)**
## **Analysis of direct costs**
|Staff costs
Consultancy costs
Computer supplies
Event Costs|**Wider**
**Learning**
**2021**
**£**
347,933
77,167
30,257
18,769
474,126|**Performance**
**and**
**Standards**
**2021**
**£**
366,478
267,090
-
26,635
660,203|**Inclusion**
**2021**
**£**
279,272
257,606
4,380
18,351
559,609|**Business**
**Support &**
**Development**
**2021**
**£**
280,514
107,029
176
6,480
394,199|**Total**
**funds**
**2021**
**£**
1,274,197
708,892
34,813
70,235
2,088,137|
|---|---|---|---|---|---|
|Staff costs
Consultancy costs
Event Costs|**Wider**
**Learning**
**2020 **
**£ **
278,703
91,875
18,719
389,297|**Performance**
**and**
**Standards**
**2020**
**£**
426,986
550,828
90,754
1,068,568|**Inclusion**
**2020 **
**£ **
253,739
195,979
19,147
468,865|**Business**
**Support &**
**Development**
**2020**
**£**
230,849
116,459
69,932
417,240|**Total**
**funds**
**2020**
**£**
1,190,277
955,141
198,552|
|---|---|---|---|---|---|
||||||2,343,970|
Page 27
NOTES OF FINANCIAL STATEMENTS **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## **8. Analysis of expenditure by activities (continued)**
## **Analysis of support costs**
|Depreciation
Staffing and services
Rent, rates, and repairs
Printing and postage
Telephone and fax
Computer expenses
Sundry expenses
Professional fees
Travelling expenses
Marketing
Governance costs|**Wider**
**Learning**
**2021**
**£**
-
18
97
715
195
-
4,783
144
667
-
-
6,619|**Performance**
**And**
**Standards**
**2021**
**£**
-
-
-
76
-
-
45
-
238
-
-
360|**Inclusion**
**Business**
**Support &**
**Development**
**2021**
**£**
**2021**
**£**
-
5,593
493
8,451
-
27,409
(5)
4,382
-
7,183
-
34,892
155
35,586
-
198
-
546
-
2,020
-
18,795
642
145,055|**Total**
**funds**
**2021**
**£**
5,593
8,962
27,506
5,168
7,378
34,892
40,570
342
1,451
2,020
18,795|
|---|---|---|---|---|
|||||152,677|
Page 28
NOTES OF FINANCIAL STATEMENTS
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**FOR THE YEAR ENDED 31 MARCH 2021**
## **8. Analysis of expenditure by activities (continued)**
## **Analysis of support costs (continued)**
|Depreciation
Staffing and services
Rent, rates and repairs
Printing and postage
Telephone and fax
Computer expenses
Sundry expenses
Professional fees
Travelling expenses
Marketing
Governance costs|**Wider**
**Learning**
**2020**
**£**
-
86
-
300
-
891
2,266
600
1,922
600
-
6,665|**Performance**
**and**
**Standards**
**2020**
**£**
-
694
-
636
-
-
381
-
1,205
1,527
-
4,443|**Inclusion**
**2020**
**£**
-
827
-
1,300
-
2,450
995
-
813
-
-
6,385|**Business**
**Support &**
**Development**
**2020**
**£**
10,576
11,222
34,758
20,049
7,303
31,910
46,187
11,910
4,762
2,562
6,275
187,514|**Total**
**funds**
**2020**
**£**
10,576
12,829
34,758
22,285
7,303
35,251
49,829
12,510
8,702
4,689
6,275|
|---|---|---|---|---|---|
||||||205,007|
Page 29
NOTES OF FINANCIAL STATEMENTS **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## **9. Staff costs**
|Wages and salaries
Social security costs
Other pension costs|**2021**
**£**
1,020,005
103,643
150,549
1,247,197|_2020_
_£_
_931,630_
_97,502_
_161,145_|
|---|---|---|
|||_1,190,277_|
The average number of persons employed by the Charity during the year was as follows:
||**2021**|_2020_|
|---|---|---|
||**No.**|_No._|
|Administrative and support|27|_24_|
The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:
||No. 2021|No 2020|
|---|---|---|
|In the band £60,001 to £70,000|1|1|
|In the band £100,001 to £110,000|-|1|
|In the band £110,001 to £120,000|1|-|
|In the band £120,001 to £130,000|1|1|
Page 30
NOTES OF FINANCIAL STATEMENTS **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## **10. Trustees' remuneration and expenses**
Key Management Personnel comprise the Trustees and the Senior Management Team.
Remunerated Key Management Personnel comprises Estelle Morris (Chair), Timothy Boyes (CEO), Tracy Ruddle, John Garrett. Key management personnel compensation for the financial year amounted to £424,482 (2020: £436,672), including one via subcontract agreement.
During the year retirement benefits were accruing to one Trustee (2020: one) in relation to a defined contribution pension scheme.
Further related party transactions included in note 21.
During the year ended 31 March 2021, expenses totalling £123 was reimbursed or paid directly to 1 Trustee _(2020 - £341 to 3 Trustees)_
## **Trustees’ remuneration:**
During the year ended 31 March 2021 the following trustees were paid via payroll, as authorised by the Articles of Association:
Estelle Morris received remuneration of £24,000 (2020 £24,000) for consultancy services. No employer pension contributions were made by BEP on her behalf.
Timothy Boyes received remuneration of £127,029 (2020 £125,597) and BEP paid employer pension contribution of £40,443 (2020 £38,294). This was for his role as CEO of BEP.
Trustees’ remuneration is only in respect of services they provide under their contracts of employment or consultancy agreements and not for their role as Trustees.
Page 31
NOTES OF FINANCIAL STATEMENTS
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**FOR THE YEAR ENDED 31 MARCH 2021**
|**11.**
**Tangible fixed assets**
**Cost or valuation**
At 1 April 2020
Additions
Disposals
At 31 March 2021
**Depreciation**
At 1 April 2020
Charge for the year
Disposals
At 31 March 2021
**Net book value**
At 31 March 2021
_At 31 March 2020_
**12.**
**Debtors**
Trade debtors
Other debtors
Prepayments and accrued income|**Fixtures**
**and**
**fittings**
**£**
33,912
-
-
33,912
23,698
1,034
-
24,732
9,180
_10,214_|**Computer**
**equipment**
**£**
50,551
1,484
(31,784)
20,251
42,578
4,560
(31,784)
15,354
4,897
_7,973_
**2021**
**£**
148,585
-
192,475
341,060|**Total**
**£**
84,463
1,484
(31,784)|
|---|---|---|---|
||||54,163|
||||66,276
5,594
(31,784)|
||||40,086|
||||14,077|
||||_18,187_|
||||_2020_
_£_
_124,306_
_372_
_383,807_|
||||_508,485_|
Page 32
NOTES OF FINANCIAL STATEMENTS **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## **13. Creditors: Amounts falling due within one year**
|Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income
**Deferred Income**
Deferred income at 1 April 2020
Resources deferred during the year
Amounts released from previous periods
**Deferred income at 31 March 2021**|**2021**
**£**
49,281
86,507
11,044
266,508
413,340
**2021**
**£**
148,944
111,104
(148,944)
111,104|_2020_
_£_
_84,373_
_78,112_
_28,699_
_267,627_|
|---|---|---|
|||_458,811_|
|||_2020_
_£_
_101,440_
_148,944_
_(101,440)_|
|||_148,944_|
Deferred income relates to traded activity invoiced in advance of service provided.
Page 33
NOTES OF FINANCIAL STATEMENTS
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
**FOR THE YEAR ENDED 31 MARCH 2021**
## **14. Statement of funds**
## **Statement of funds - current year**
|**Unrestricted funds**
General Funds
**Restricted funds**
Wider Learning
Performance & Standards
Inclusion
**Total of funds**|**Balance at 1**
**April 2020**
**£**
1,643,805
69,460
-
243,802
313,262
1,957,067|**Income**
**£**
1,361,087
718,038
18,250
316,944
1,053,232
2,414,319|**Expenditure**
**£**
1,609,235
337,236
18,250
276,093
631,579
2,240,814|**Transfers**
**in/(out)**
**£**
(17,780)
30,910
-
(13,130)
17,780
-|**Balance at 31**
**March2021**
**£**
1,377,877
481,172
-
271,523|
|---|---|---|---|---|---|
||||||752,695|
|||||||
||||||2,130,572|
**Wider Learning** restricted funds comprise:
Careers: to support secondary schools in the provision of careers and enterprise advice and in the provision of meaningful encounters with the world of work for their pupils.
Arts & Sport: to enable schools to improve the quality of their arts provision through sharing of best practice, supporting the commissioning of specific projects and recruitment of specialist staff, and engagement in school audits; to create a project to celebrate the Commonwealth Games in 2022 by twinning schools in the West Midlands with those in Commonwealth countries to develop arts and sports projects together.
Digital Poverty: Provision of computer equipment and connectivity to alleviate digital poverty in Birmingham schools
**Inclusion** restricted funds are to assist schools in building emotionally supportive environments that benefit all pupils, to identify vulnerable pupils who require individual support and to work with the South Asian community of postcode B8 in Birmingham to improve the mental health of young people.
Page 34
NOTES OF FINANCIAL STATEMENTS **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## **14. Statement of funds (continued)**
## **Statement of funds prior year**
|**Unrestricted funds**
General Funds
**Restricted funds**
Wider Learning
Inclusion|**Balance at 1**
**April 2019**
**£**
1,893,039
35,053
98,437
133,490
2,026,529|**Income**
**£**
1,930,577
243,341
305,597
548,938
2,479,515|**Expenditure**
**£**
(2,184,399)
(204,346)
£160,232)
(364,578)
(2,548,977)|**Transfers**
**in/(out)**
**£**
4,588
(4,588)
-
(4,588)
-|**Balance at 31**
**March 2020**
**£**|
|---|---|---|---|---|---|
||||||1,643,805|
||||||69,460
243,802|
||||||313,262|
||||||1,957,067|
## **15. Analysis of net assets between funds -**
## **current period**
|Tangible fixed assets
Current assets
Creditors due within one year
**Total**|**Unrestricted**
**funds**
**2021**
**£**
14,077
1,777,140
(413,340)|
**Restricted**
**funds**
**2021**
**£**
-
752,695
-
752,695|**Total**
**funds**
**2021**
**£**
14,077
2,529,835
(413,340)|
|---|---|---|---|
||1,377,877||2,130,572|
Page 35
NOTES OF FINANCIAL STATEMENTS **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## **15. Analysis of net assets between funds (continued)**
**Analysis of net assets between funds – prior period**
|Tangible fixed assets
Current Assets
Creditors due within one year
**Total**|**Unrestricted**
**Funds**
**2020**
**£**
18,187
2,084,429
(458,811)
1,643,805|**Restricted**
**Funds**
**2020**
**£**
-
313,262
-
313,262|**Total**
**Funds**
**2020**
**£**
18,187
2,397,691
(458,811)
1,957,067|
|---|---|---|---|
## **16. Reconciliation of net movement in funds to net cash flow from operating activities**
|Net income for the period (as per Statement of Financial Activities)
**Adjustments for:**
Depreciation charges
Investment income recognised in Statement of Financial Activities
Decrease/ (Increase) in debtors
(Decrease) / Increase in creditors
**Net cash provided by/ (used in) operating activities**|**2021**
**£**
173,505
5,594
(1,061)
167,425
(45,471)
299,992|_2020_
_£_
_(69,462)_
_10,581_
_(10,244)_
_(173,437)_
_23,458_|
|---|---|---|
|||_(219,104)_|
## **17. Analysis of cash and cash equivalents**
|Current accounts
Deposit accounts
**Total cash and cash equivalents**|**2021**
**£**
967,718
1,221,057
2,188,775|_2020_
_£_
_469,193_
_1,420,013_|
|---|---|---|
|||_1,889,206_|
Page 36
NOTES OF FINANCIAL STATEMENTS **FOR THE YEAR ENDED 31 MARCH 2021**
BIRMINGHAM EDUCATION PARTNERSHIP **(A Company Limited by Guarantee)**
## **18. Analysis of Net Debt**
|Cash at bank and in hand|**At 1 April**
**2020**
**£**
1,889,206
1,889,206|**Cash flows**
**£**
299,569
299,569|**At 31 March**
**2021**
**_£_**
2,188,775|
|---|---|---|---|
||||2,188,775|
## **19. Pension commitments**
The Charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charity in an independently administered fund. The pension cost charge represents contributions payable by the charity to the fund and amounts to £ 150,549 (2020: £161,144).
Contributions totalling £10,056 (2020: £14,873) were payable to the fund at the reporting date and are included in creditors.
## **20. Operating lease commitments**
At 31 March 2021 the Charity had commitments to make future minimum lease payments under non- cancellable operating leases as follows:
|Not later than 1 year
Later than 1 year and not later than 5 years|**2021**
**£**
10,277
1,962
12,239|_2020_
_£_
_32,821_
_12,893_|
|---|---|---|
|||_45,714_|
## **21. Related party transactions**
Details of payroll and consultancy-related transactions with the Trustees are included within note 9 to the financial statements pertaining to staff costs.
One of the Trustees, Andrew Hodge, is the husband of the Management Accountant for Birmingham Education Partnership. The Management Accountant provides her services through a limited company of which she is sole director. The amounts invoiced in the year totalled £ 34,328(2020 - £36,721). Amounts owing at the year-end totalled £3,034 (2020 - £2,852).
Trustees’ remuneration and expenses for the year are disclosed in note 10 to the financial statements. No other related party transactions have been noted.
## **22. Controlling party**
The Charity has no ultimate controlling party
Page 37