Registered numbgr: 10326313 Charlty number: 1170217 THE RGSW AND AOS FOUNDATION (A company Ilmlted by guarantse) TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
THE RGSW AND AOS FOUNDATION IA company limited by guaranto9) CONTENTS Page Reference and admlnlstratlve detalls of the Company• its Trustèèg and advlsers Trustees. report 3-12 Independent auditorfs report on tho finanGlal 8tatomgnts 13-16 Statsment of fln•nclal actlvltl68 17 Balanco shaet 18 Statsment of ¢h Il¢)w8 19 Note8 to the flnanclal ¥tatgmgnts 20-34
THE RGSW AND AOS FOUNDAnON IA eompany Ilmtted by guarnnt801 REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2022 Trustees Mr Timothy Curtis {Chairl Mrs Rosernary Frances Ham, (resigned as Deputy Chair 21 October 2021) Mrs Rhe1 Wyatt Mrs Emma Jan8 Benlley-Hughes {re5igngJ 27 February 2022> Mr Jwalhan David Arr. lappoinled 83 Deputy Chair 21 Octoter 20211 Mr Andrew Hampden Greenway Mr Gary Paul Rouse Mr John Mad( Gibson Mrs Katherine Mary w¢)IngtOn Mrs Yvonne Wood {appointed 26 May 2022) Company regl8terod numb•r 10326313 Ch•rlty rtylstsred numb¢r 1170217 Reglstered offic• The Royal Grammar SchcKI Worcester Upper Tything Worcester WR11HP Senlor management team Scott MaCDca1d. FOundat)rt Director Independent audltor Crowe U,K. LLP Blaek Country House Rounds Green Road Oldbury Wesl Midlands B69 2DG 8ank8rs Lloyds Bank 4 The Cross Worcester WR13PY Page 1
THE RGSW AND AOS FOUMDATION {A company Ilmlted by guarantoe) REFERENCE AND ADfvIINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022 Solieitorn Stallard March and E¢)Iv8rds ISME so11105} 8 Sansome Walk Worcester WR1 1LW Page 2
THE RGSW AND AOS FOUNDATION IA company limited by guaranteè) TRUSTEES. REPORT FOR THE YEAR ENDED 31 AUGUST 2022 The Trustees present their annual report together with the 8udf(ed financial statements of the Company for the 1 September 2021 10 31 August 2022. The Annual report seNes the purposes of both a Trustees. report and a directors, report under company law. The Trustees confimi that thè Annual report and financial stslements of the charitable company cerfnply wth the current statutory requirements, Ihe requirerrents of the chariiable Gompanls goveming document arKI the provisions of the Statement of Recommended Pract8 ISORPI 8pplicabl8 to charities preparing thr accounts in accordance with the Financial R8Wting Standaré applble in the UK and Republic of Ireland {FRS1021 leffective 1 January 2019). Slnce th8 Company qualifies as small under seclion 382 of the Comp8ni88 Act 2006, th8 Slratagic report raquired of medium and large companie8 under the Companies Act 20C6 Islrategie Report and Directors, R8PQrt) Règulations 2013 has been omitted. Oblectlve8 and actlvltl . PolScl•8 and objèctlvèg The Found81ion is a separate charity lo RGS Worcester Ithe 'School'} 1¢h ¢omprises RGS Worcester, RGS SprirwJfield. RGS The Grange and RGS Dodderhill Reference to the SchcKJlls}. RGS or RGSW in the follthng raport should bè tak6n lo mean any andlor all of the four RGSW schools. The Foundalty?n undertakes 8ctivitie5 solely to 8UF¥lOrt the School and ils pupils The Foundation is governed by its Article8 of Association. It also has pollcie8 lo cover its operation including the recruitment of suilabb Irusleas. their ongoing fitness to bè a trustee. ¢onfltls of int8re#l, the running of d8CiSK*n making meetings. and ils ethical approach lo fundraisin9. Trustees arg bound by its Code of Praciice and sUrt declarab'ons of int8resl. All Iru8tees are subjeci to D8S checks. The Foundation's Oblectg from the Articles of Ass¢xiatKJn are." lal advancing the education of the pupils at th8 Schools ty. lil providing and as$isling in the provisbn of facilitles and re80urces {induding prorni88S, equipment and services) for education al the Schools., lill awarding lo pupils al the Schwls {or for their tenefftl bursaries. scholarships, maintenancè allowances or grants, or making loans tc pupils or for their benefit. or providing pupils with books, equipment or ¢lclhing for the purpo$e5 of thèir education- lili) providing any part of their edallOn (Indling the study ol music or other art$ or wcial or physical education)., INI assisting them lo undertake travd in furtherare of their èdLKation,' Iv) helping them lo prepare for entry into any other educational establishment or into any oG¢upation, trade or profession on leaving the Sthools. Ivi) developing their mental. physKo1 and moral capabilriies through lSUre time %tivitie8. Ibl advancing the educalion of persons who are educated by or with the support of the Schc4)Is Charty by supporting the charitable objecls of the Schwls Charity, by.. lil making giants or loans or otherwise prowding financial support lo ts Sthools Charty for its general charitable purposes or for speeffie charitable purposes., lill doing in relalion lo Ihe Schools Charity and its charty benefiorIeS any of the things which are permitted in relation to the Schods artd their pupils by article 2_1 lal., Icl in connection wth the Schools or the Sch Charity. promoting the education of people underthe age of 25 years in county of W0stershIre in such voys as the Trustees think fit, including by.. lil enabling them lo have access to and to make use of educatKJnal facilities and resourees of the Schools or of the Schools Charrty; or lil) attending the SchLxJIs. Page 3
THE RGSW AND AOS FOUNDATION IA company Ilmlted by guarant88) TRUSTEES. REPORT {cO1lNUEO) FOR THE YEAR ENDED 31 AUGUST 2022 Ob}eGtives and activiti88 (contlnu&d) b. Advltles for achlevlng obJoGtlve¥ To support thè School wh financial donations to provhje.. additional means-l8st bursary plw and hardship funding; Improvements lo the RGS Schods, estatè", the ability to undértaké other smaller projects lo further educath?n provision within thè Schoc4$. The Truslees have tasked the Foundatson Offic6 led by the FoundatM)n Director to in$ligat8 fundralsing across th8 following areas.. dirècting fundraising 8ppeals to alumnl, ex-staff and paffjnls with the requèst they support the provision of additional bursary places at RGS Schools. Donations will be used lo lund places al th6 Sch¢XJl to enable children wh¢)$8 famili0$ who ¢ould Tr31 otheis8 affd ts f6as to receive 8n RGS education., directing fvndraislng appeals lo alumni, parents and ex-stsff seeking donations t¢)wards the development of Capital Projects that the Sch&)I Is planning, namèty a Hockey Centr8 al Perdiswg11 and an Indwr Tennis and Netball Centre on the RGS Woreesler campus., réquesting parents of each Upper Sixth leaving group donate their child's r8fiJndable ioining deposit to support bursaries or hardship awards or other initiative$ identifia(I by the Hoadmasler, dlrectiro fundraising appeals to alumni. ex-staff and parents with the request they make a legacy gift lo tho Foundation in order to provide funding in support of bursaries al RGS or other aspects they would most like lo support in the School", applwng for grants to awarding foundations and organisatKsn$ in Support of the Foundation's objeGtive$', publishing an annual Impact Rewl that eyplains vthat fvnds have been raised and htYV they hgve been appld to generate OLrtcomes aligned lo the Charty's Obiecls. c. Maln actlvltles undertaken to further the charity's pun)oses for the publlc benefit In setting obj8Ctiv@s and planning activitses, the Schoofs G¢)vemors have gNen careful consideration lo the Charity Comm18sion'8 general guidance on Publlc Benefft. The Foundation works to adVae the education of pupils al the RGS Woreesler Famity of SchcK)Is and in doiThJ so, actively helps lo deliver the Public Benefit delivered by RGS. It will do this by wvjening access to the Sch] through the pruvision of additn?1 bursary $upport&d places. These wll be available to chiklren from local families who meet the acadèmic entrance requirements bul would not otherM5e be able to afford the sthod fees. P18ces fund8d by donations wll be in addition lo those futKled by the Sthool. Bursaries wll be means4ested to ensure all recipients are in gènuin8 neéd of the financlal support. The Foundation will also raise funds to suppy)rt capital Pfojects al RGS Worcester that wll further the provision of edueation and where appropriate wll benefit the local community. For example, during 2020-21 the Foundation Office raised funds for the new Worcester Inlemabonal Hockey Centre that is being developed by RGS In partnership wrth Worcester Hockey Club. wtih the full support of w0$ter City Council. The new f8¢ility openoj in November 2021 and offers intemabonal standard pilehes th81 will artrad top waches and will widen community access to the sport. This Centre wll be used by RGS pupils bul will also be available to Worcester Hoekey Club membets. pupils from other loGal sclKK)ts and Stlents ftom the Universty of wOrSter. Page 4
THE RGSW AND AOS FOUNDATION (A company limitèd by guarant•e) TRUSTEES. REPORT {CONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2022 Objectives and activities Icontlnuodl Achl•v•ments and p•rforniance . Revlew of actlvltles Tim Curtis eonlinu•d as Chalr of the Foundat)n. The dlS1On wa8 taken by the Board to rotate the role of Deputy Chair annualty lo widen experiènce am¢)ngst Tnjstees and to a5S15t wrth suc$510n planning. At the AGM on 21 OCtor 2021, Jonny Arr bacar the Deputy Chwr. taking over from Rosemary H8m. Gary Rouse remained as Chair of th8 FlnanGe Cornm8e. On8 Trustee re8lgn&d from the Board in Febnjary 2022.. Emma BentIey-Hug$, the Board expre8sed tis gralilude for her service lo the F¢ndatIon. One Trustee was appointed lo the Board in May 2022, Yvonnè Wood. Yvonne worked at Doddarhill School for a number of years as PA lo the Headmistress and brings a wealth of knowledge lo th8 FoundatKJn relaliTha to Dojdèrhill School She wll work with the Foundation Officg 10 establish gagement with Dodderhill fomw pupils and ex-$taff. The Trustees have idèntifled 12 as being the optimal number of Trustees on the Board and will appoint Board members when suitable candidate$ have been identified. Durlng 2021 the Trustees continued to work reelY to minimise the ri8k of Covid-19 tran6mi85ion. It was wkh great ple8sure thet meetings resumed in perwn 81 RGS Worcester dudNJ 2022. Covid prevention measures were adopted ond the onl1r facility remained in place lo 8nable hlorKJ meetings which provèd successful. The use of online and hyorid m8•1ings enabled the charity to fulfil its ro on behalf of the School and (És pupIIs. Hybrid working will conlinue lor the foreseeable fulure to mMIse Trustee p8rtiGipalion al meetings and to ¢er onvenience lo Ihe Trustees, who a all volunteers. The year was marked by signfficanl Pefwinel Changes in the Foundation Office. The long seNing Foundation Offiee Administrator left their post in September 2021 and thè Sehcol deferred recruitment until 2022 to enable a review of Support Staff requirements in loht of wbder chan9e5 across a number of departments. The Development and Alumni Relations Manager who joined in Septembèr left thelr wst in February 2022. Thi5 meant that the Foundation Director ran thg department ah)ne for periods of time whith had an impact of what was achievabk. The Foundation Director made a series of successful apwntmenls during 2022 to implement the Foundatlon Off$ team slructvre rècommended by the Graham-Pelt¢)r¢ Reviw in 2020. An 8xperiend schools Development and Alumni Relations Manager joined in April 2022, 8 Foundation Office Assistant was appointed in June 2022 and a Database Assistsnt started in September 2022. Fdl¢)wing onboarding actmlies, these roles have ft88d up time for Ihe FoundalK)n Director lo focus on major gift fundraising while ensuring all aspects of the operation receive dedicated fccus. Burnaries remained the Prrty fvndrdising cknjective forthe Foundab'on to support the Schod. Existing bursary SF*JnsoTr coniinued to provide support to pupils they alre funded wrth one Sponsor commilling to funding a 100Yo bursary reapient from Year Seven through to the Upper Sixth lend of their school carèerl. The donations made by indNklual sponsors were 5uppleftnted with smaller donations made as single grfts and 05 recurring gifts. A total of £93,881 was Iransferred frcth the Foundatv)n to RGS during 2021122 to fund bursary places representing 13.6% of Ihe means4esl8J bursary funding awarded by the School during the academiG year. Pag8 5
THE RGSW AND AOS FOUNDAnoN (A Company limited by guarantw) TRUSTEES. REPORT ICONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022 A¢hl•vaments and perfomiance {cOntinU The laTgesl single gift to the Foundatk)n was receNed in June 2022 when a Us-basèd fomer pupil of RGS transferred ownérshlp of his former famity home in maern and ils contents to the charity wr(h the express intent that the Trustees s811 the propety as soon as wssible to raise funds that are to be usad to provide additional bursory placès al RGS. The property 15 unique and al the year end was valued al over £500.000 by e$tsle agents. Al th8 lime of compiling the report it is being ¥lNely markel8d lor sale and lh8 Trusl88s havo aecgpled an offer of £475,OCQ (subject lo contract). This price r8nects the mathet conditions and othloc&. The planning application for an Indoor Tennis and Netball Cenlre on the RGS Worc8sler campus lo be developed by RGS in partnership wrth the Ln Tennis Association (LTAI remains temporarily deferd lo enabk further eonsult8tion wilh local reSents in reL4tion to traffic mowenls. It is an11Pated that th& planning application will be submitted in earty 2023 and fijndraising activities will follow when pemii8sion has been granted. The donor from the alumni communty who has pledgèd a sKJnificanl donation lo the Foundation for u88 In the project remains committed and a grant awarding bcrtyy has pledged a 8ignrficanl contribution through tha Foundation when plannlng pemiission Is granted. The Trustées will be able lo Gall on these gifts to support the School when conslnjcb'on commences. b. Fundralslng •¢ttvltles The Foundation chanty i¥ run by the Foundation Officè whlch is part of the Schogl and its 8taff are employees of RGS Woreeslar. The Found81ion Offits seeks donations ftom tha alumnl of RGS Worce¥ter. the Alice Ottley School IAOSI arKI Dodderhill School, as well as from parents of pupils at the four RGS schools. Grant applications arg made to awarding bcilies that can help the FOundat)n to support the wo¢K of the School. Prospective donors are asked lo support burnar8. capital projects and the provision of Smalr items to further the eduGal)n of pupils at RGS. The Foundation Office man9$ an alumni website Iwww.rg$wgndaos.foundationl which provides detsils of the areas for whieh funds are required and provwjes an online giwng faeillty that incorporate5 Grft Aid, whore 8pplicable. Opportunities to thjnale will also be outlined In the inaugural annual Impact Report which wll be circulated in December 2022, as well as in direct mailing requests and on SO81 media post$. The Trustees provKb the overslght 8nd sd th8 strategic fundraising objectives for the charity. The Foundation subscribes lo the Fundraising Regulator. The Foundalion Office eonducts fundraising for the Charity and abides by th8 Fundraising Code published by the Fundraising Regulator. There were no failures to report from th8 reping period. Trustees regularty revithv the actNilies of th8 Foundation Office arKI meet with its staff fomialty each term to discuss fundraising activities and priorities. Trustees also speak wrth the Foundation Office staff beeen fomal Board meetings Ihrcmjgh Working Grtsjps meetings and individual CAJnlact when relevant. No cJ)mplainls have been recewed to dale regardiro the FoundatDn, the Foundation oirtc¢ staff or the Trustee& The Foundation Office provides mechanisms for alumni, ex-staff and parents to change their communicatio preferences whieh include enaIng anyone lo stop further contact from the Foundalion Office within all ils communications. As soon as an indimdual makes a wu8St to cease receiving contact from the Foundation Office either via a particular channel or from all channds, this is actioned and recorded lo prevent staff in the future from inadvertently Tnaking contxt. When made aware. Ihe Foundation Office promptty ceases cofflmunication8 with anyone may rM)t have the capacty to understand a fundraising request le.g. when an individual move8 into a care home or a parenvpartnerlchild infomis of a health issue impading someone who would otherwise wish lo receive communication51. Page 6
THE RGSW AND AOS FOUNDATION (A Company Ilmited by guarantee) TRUSTEES. REPORT ICONTINUEO) FOR THE YEAR ENDED 31 AUGUST 2022 Achl•vom8nts and perfomianco Icontlnuedl c. Invostmant policy and p•rfomianca The Trustee$ have maintsined a cautious appnxh to investments during a perlcd of considerab18 global mark81 unc8rtainly, due largely to the war in Ukraine, increasing energy costs and high inflation. Thè Foundation'$ Investment Policy frame5 the Board's approach to investing, reviewing performance and daclslon making. All investments will be made with ethtcal consideration$ being central to th8 decision making process. The Board retained tho chority's Investments in CCL4's Chanties Ethical Investsnent FuTrJ throughout thg year. Th8 COIF Charities Elhlcal Inveslm&nl Fund has a numbar of eXclus)n8 lo ils portfolio, for example.. Companies Ihal derive more than 5% of théir ince4ne from the exira¢tion of oil Sands or energy coal.. Companles that derivè more than 10% of their revenue from extracting and refining eoal. dl or gas., Investment is prohibited if companies are involved in the production of nuck*ar weapons, landmines or ¢lu8tar munitions.. no Sovereign Debt from countn89 identified by the Ethical Fund Advisory Committee as being the most cppre5sIvè', Companies that derive 10°h or rnCe from tobacco. 8kohol or gambling. A full list of exclusitin criteria can be viewed on tho fund factsheet whKh 18 available on fv websrte Iwww.CCLA.co.ukl. Perfomanc6 wlll continue lo be monrtored by the Finance Committea in line the Foundation's Investment Policy. Tha Trustees have committed lo investing endowed funds in products that &lively pursue ethical investing policies because this reflects the values of the Trustees, as well as of the S¢h¢)ol which the Foundation exists to support. The Financè Committee tracks th8 value of invasted funds an(1 reviews the inveslmenl strategy regularly to ensure it satisfies a medium4ow risk approach and meets ethical and responsible investment criteria. When total funds held by the charity reaches £1m the Trustees will enggga the seryices of profe8slonal investment speualisls to review eptions and adw'se the Board to enable decisions to be taken. The Alltè Ottl•y Bursary Fund. In D?rnber 2017, 1.718 units hgkl In COIF Charille8 Investment Fund (valued at £25,266} which had been purchased with donalions for the AO Bursary fund were transferred from The Royal Grammor Schcx)I Worcester to The RGSW and AOS Foundation. Funds of £&8,626 were held in COIF Chgrilies Ethical Investment Fund as al 31 August 2022. The Anthony Reay Wheeler Bursary Fund. This fvnd was designated in May 2013 with Ihè legacy from a former Master of the School. In December 2017, 24,163 unrts held in COIF Charitles Investment Fund (valued at £355.3351 including some re51rKted funds were transferred from The Royal Grammar School Worceslar lo The RGSW and AOS Foundation. The funds w6ra transferred as unrestricted fvnds and deSnated by the Trustees of The RGSW and AOS Foundatson. Funds of £521.169 were held in COIF Charitles Ethical Investment Fund 88 at 31 August 2022. The Foundation Annual Fund. This lund compnses bursary thnalions to the Foundation other than those given for the two named end0yent bursary. This fund includes the advance payments of fees for pupils being $ponsored by donors which will be drawn dwn for payment to thè School wi(hin five years. Funds of £107.754 were held as al 31 August 2022 Page 7
THE RGSW AND AOS FOUNDAnoN IA company limited by guarantee) TRUSTEES. REPORT (CONTiNUED) FOR THE YEAR ENDED 31 AUGUST 2022 Financial review . Golng concom Al the lime of porting, the Covid-19 pandemic 8ppeaTS to have ended In terms of impact but the war In Ukraine, the projecled incr8ase in energy costs, the high infiab'on rate and the market volatility affecting the value ol sleding mean that the charity is operats'ng in uncertain times. HL)wever, RGS has managed the pandem exceptnallY well Ihrough its globally recognised Oigilal Leaming Programme, pupil numbws have 9r¢)wn and the School remains in a stable finanGial position. The Trustees continue lo monitor the Foundation'$ ebilty to conduct fundraising operalthis. Despite the current circumstances, the Tmslees believe that the charitys financial resoure8s and contingency p&qnning is SLrfficienl to ensure th8 ability of the company to continue as a going concem for ts foreseeable fvlure, bn9 at lea81 8lve months Irom the date of approval of these financial stalements arKI tharaforé havè prepared th8 financial 8ts1amants on a going concern basis. Please see the Ri¥k Management sectlon of th18 report for moro detaits of Ihe prciected impa¢t on the Foundation b. Flnanclal r•vlew The Trustees conshder the Foundab'on lo be in a soun¢J financial positfjon suffiGi8nt resoNa8. c. R•8•rrf•8 pollcy The Trustees will 8ndeavour lo transfer to the SchthJ as much of the funds raisad as soon as possible while ob8eNing the conslrainls placed on restricted gift$ and any slalemenl of wishes made on unre5tricled gifts, thereforè mainlalning minimal reserves. Where grfts have been r1ved for either of the named bursary funds these will be added to grow the capital base Ireating these as endov4m*nl funds. The annual incom8 8amed from the capltal will be tr8nsferred to fund bursary plaees at the School Donations to the Foundation Bursary Fund which Is not an endowment fund wll be nomially bo Iransferred lo the Sch¢x)I within 12 months lo Support bursary places on ?n ongoing basis. The gifts receiv&J lo support Hardship will be allocated as awards for spechfic pupils to the SC)01 as ne8ded. usualty within hvetve months of receipL Bursary gifts covering muMipk8 y8ats Ihal are donated In advance by sponsors for partUlar pupi18 wll be held by the Foundation and drawn from investments as wuired each year for transfer lo RGS. Commitments to the SchcN)I for bursary pla¢es or capital proiecls may not be enl8red into by the Trustees if the projected costs cannot be met by anlicpated ineomè. At th? yoar end tha Foundation restricted funds of £919,137 12021.. £424,534) and designated funds of £349.74412021. £348,9111. UnrestJiGte(l arKI free reserves at the year end are £21,37212021'. £16.3721. This Is set out in note 14 on page 29. The Foundation is able to maintain unrestricted and free reserves as £nil as Th6 Rtsyal Grammar School WOrSter meets all eosts ol running the Foundation Office, including the costs of events ar publicalioris and the salari8s ol the Foundation Office staff. Page 8
ThE RGSW AND AOS FOUNDATION {A company Ilmlted by guaranlg8) TrUSTEES' REPORT (CONTINUED FOR THE YEAR ENDED 31 AUGUST 2022 Structure govgrnante and management . Constltutlon The company is constituted under a mOI8ndum of Associat)n dated 11 August 2016 8fKI v6 a ragistered charity number 1170217. The company was incorporated on 11 August 2016 and commenc trading on Ihat é8te. The principal oblect of the company is to advance the educatKJn of pupils al RGS Wtsreester. It undertakes lundraising lo support bursary provision and to assist wrth capital projeets aeross the RGS Schools. b. Mèthods of appolntment or olectlon of Truste88 New Trustee8 are normally appointed at lem)ly meetings on thè basis of nominations from a committee ol Truslees. All nominalK¢ns are m*Jg on tho ba$1$ of eli9lI1ty, personal competence. specialist skills and availability. The management of the MpanY Is tho re$pM8ibility of th& Trustees who are elected and o>Opte under the lems of the Artid88 of Assxiation. Policies adopt for the induction and training of Trusle8s. New Trustees undertake a fomial indudb)n pr¢Xè8S under the guidance of a fellow Trustee aThJ the Foundation Director which covers the wothing8 of the Charty. induding polS, Prctedures. Financès and Governan. Truslaes ar8 required to be DBS checked. c. Pay pollcy for key managemgnt peTsonn¢l Nts payments have been made by the FoundatK)n to any of tha Trustees and the Foundation Office staff remaln employed by RGS w00$t9r are stsbject to the polry implwnenled by the &hool. d. Organisational structure and declslon maklng The Board of Trustees convenes formally once per schcol lemi to review the wth of the Foundation ofFI and to formally make decisions to enable the FoUndatn grow. In betsveen these Board méètings smaller working groups or sub committees le.g. the Finance Commitieel can and do meet. If time critical decisions need lo be taken the Chair circulates the information etrOnllY lo Trustees lo enable agreement to b8 rèached. This is thén conveyed lo the Foundation Direct for implementstion. Hybrid working has led to the use of video conferencing and this has worked well for the Trustees. Trusteas are appointed for a three year tem and minimum of three RGS Govemors will serve as Trustees. The Trustees are aware of the charity govemanee ccKle and the Fndation volunlarity subscribes to the Fundraising Regulator code of pr8Ctice. Periodically, Truste8s will review the guidance in ¢xder to ensure that the Charily is working in line with the cod8, In all ways Whe it is prtical to do so. e. Related party T•tIOnshIpS The Foundation exists to advance educab'on at the RGS Worcester Family of Schcnls. At least thr88 Trustees are also Govemors of the School to ensure strategic alignment i8 Maintain between the entities. The School finances and staffs th8 Foundatpjn offi and the Headmasters and Headmistresses of the ftsur RGS Schools attend the Trustee Board meeting, as dces Ihe Director of Finance and Op8ration5. Page 9
THE RGSW AND AOS FOUNDATION IA company Ilmrted by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2022 Slructurep governancè and management Icontinuad) f, Risk manag•mont The Trustees have assessed the m4or ri8k8 to which the ccmpany is exposed. in particular those related to the operations and finances of the company. and are Satisf that systems and procedures ar8 in place lo mitNJate its exposure to the major risks. The Trustees ar8 mindful of the need to maximise tho Income gènérated from the capi181 base of the tsvo endowment bursary funds held within thè Foundation, as w811 a5 to preserve the value of other donalions ahead of them being Iransf8rred to RGS. This must be done against the backdrop of volatile market conditions, so the Board tasked members of the Finance Committae to review and monitor th8 choic8 of Investments hekd in COIF units and lo Lyjnsidor altemative opticS to m'rtigate again$1 stock matkel fluclualions Plans for future perlods a. Futur• d•v•lopments The Board will recruit additlonal Trustees lo help fvrther the of thp FoUndatn Office and will sgek guidan¢• where necessary to help them to fvKIl their roles for the Foundation. The full findings from the Rewew of the Foundation Office undertaken by Graham Pelton (UK) Ltd Ccn5ultsnls will continue to be implemented by the Foundatft Office ncw that staffing leveb are commen8urale with the recommendations for Increasing fundraising actwity and alumni engagement. The updated Case for Support for bursaries at RGS will be witlety GirGulgted along with the inaugural 1rnpt R8port which will feature testimonials from bursary recipients. Further teslimonral¥ will be gathered gnd shared acr088 communicgtion channels to encour4e gNirvJ. Long term fundraising targets linked to the School's revised strateg Develgpmenl Plan will bè set by the Trustee5 for tha Foundation offe. During the coming year a Strategic plan with miloslones will bo agreed lo deliver the targets with KPIS monitored to track progress. The primary focus for fundrai$ing in 2022-23 will rnmain on buT5ari•s in order lo widen acces5 to the School. An inaugurdl Giving Day will be held in March 2023 which will ask alumni. parer¢ts, stsff and friends of the School lo donate lo th8 Foundation's Buis8ry Fund. The Foundation Director. wilh the endorsemant of the Trustees, wll complete the sale of the house which was donated lo the Charity in support of bursaries. Trustees will make available funds to support up to fv40 new SOQA bur3ary places al the School each year until the fijnds are exhausted. To help wruit dorr5 the number of alumni engagemertt events will ina80 significantly during 2022-23 with a rolling programme of gatherings designed to solicit gffts and to inform alumni about the impact the Foundation is making on YOU lives. Planning wll coMMee for an inaugural Old Elizabethans Weekend in September 2023.Truslees will support the Foundats'on Office team arKI School Leadership al a number of these events. Targeted engagement wrth current and prospective major donofs will be undertaken by the FoundatK)n Director lo solicit major gifts which wll COMpment increasing the donor FWI by recruiting a numbèr ol additional regular donors. Legacy pledges will continue to be solicited to ensure fvlure donations are in the pyetine and larger gifts and a Legacy Society will be established in 202310 stlward these donors. Page10
THE RGSW AND AOS FOUNDATION IA company limited by guarnntse) TRUSTEES. REPORT (CONTINUED FOR THE YEAR ENDED 31 AUGUST 2022 Plans for future periods Icontlnuedl Subject lo planning pemiissKin being achieved. the opportunty Io 8UPPOrt th8 Schoofs dev8lcymant of the Indoor Tennis and Netball Centra will also be maximised. The Foundation Trustees will work with the School's L•eJhiP to asslst where r( can with ihe ongoing clo8er working of thè 8lumni association with RGS. Statsment of Trusteos. responsibilities Th8 Trustee5 Iwho are also the director5 of the Company for the puOse5 of company lawl are responsible lor preparing the Trustees, report and the financial Statements in a¢wrdanGe with 4)plicable law and Unitad Kingdom A¢¢ounting Stsndards (United Kingdom General Accepted Accounting Practice). Company law r8quire5 the Trustees to prepare financial stalamanl8 for 8ach financiol . Undor company law. the TNslè88 musl not approve the financial statements unless they are satisfied that they 9Ne a true and fair view of the slate of affairs of the Company arKI of its incoming resources an(1 application ol resourcas. including ils Income and expenditure. for that peri¢>J. In pryring Ihe9e finanual statements, the Trustee¥ are requlred to.. s&le¢t suitable &ntIr0 poli¢*$ and then appty them consistentty., observe Ih@ methods and prinCleS of the Charities SORP IFRS 1 D21 make Iudgmenls and accounting estimates that aré tsaSOnab and prudent., stale whether applicable UK Accounting Standards IFRS 1021 have been foll¢)wed, Subject lo any malarial departures discbsed and 8yplain8d in Ihe financial 5talemènls' prepare the finandal stslemenls on the goiry concern basis unless it is inappropriate lo presume th81 the Company will continue In business. The Trustees are responsible for keeping 8dequate a¢¢ounting re¢ord$ th818re Sufficient lo show and explain the Company's transactions and disclose with reasonab accuracy al any timè the financial position of the Company and enable Ihem to ensure that Ihe f1nancial Stalements comply wfth the Companie5 Act 20C6. They are also responsible for safeguarding the assets of the Company and hènce lor taklng reasonable steps for the prevention and detection of fraud and other irregularities. Page11
THE RGSW AND AOS FOUNDATION {A company limÈtod by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YFAR ENDED 31 AUGUST 2022 Disclosure of Informatlon to audltor Each of the persons who are Truste88 at the tlme when this Tru5tees' rsp)rt is approved has confirnl that.. so far as that TNstee is aware. there is no relevant audit Infomwtion of which the charity8 auditor is unawar6, and that Trustee has taken all the steps Ihal ought lo h8ve been taken gs a Trust In order to be aware of any relevant aud(f infomiation and to establish that the chartys audf(or Is aware of that information. Audltor The auditor. Crtswè U.K. LLP. has indicated hks wllingnes5 to ¢ontinu6 in office. Th• d•$HJnated Twsl80s will propose a motion reappointing the auditor at a maeling of th8 Trusloas. Approved by ordar of tha members of th8 board of Trustees and 8gn8d on their behalf ty. Mr Tlmothy Stophen Curtls Chair Dale.. 2 March 2023 Page12
THE RGSW AND AOS FOUNDATION IA company limited by guarathtso) INDEPENDE1 AUDITOR'S REPORT TO THE MEMBERS OF THE RGSW AND AOS FOUNDATION Opinion We have audited the financial statements of The RGSW AOS Foundation lthe'charitable companl) for th8 yaar ènded 31 Augusl 2022 which comprise the Statement of financial aclivilie8, th8 Balance sheet, the statement of cash flow5 gnd the related notès, including a summary of snnI accounting policies. The fin8ncial reporting framework that has been applied in their preparation is applicable United Kingdom A¢¢ounling St8ndards, including Finanrjal Reporting Stsndard 102 'The Financial Reporting Standard applicable in th8 UK atKI Republic of Irèland, {Unrteé Kingdom Generally Accepted Atcounling Practice). In opinion the financial statenIs.. gNe a true and fair view of the stsle of the charitable ¢orr¢anVs 8ffairs as gt 31 August 2022 and of tts incomlng resources arnl appliGatKJn of resources. includlng its income and expendrture for the year then ended; have been propedy prepared in xcordance United Kingdom Generally Accepted Accounting Praclico., and have been prepared in accordance wrth tho requirements ofthe Charitiés Act 2011. 8a819 for oplnlon We Conducted our audit in acrdanCe with InlematK•nal Standard8 on Auditing IUKI {ISAs (UK)) and applicable law. Our rtspensibililies under those Standards are further described in the Audrtorfs responsibilities for the audit of the financial statements 88clion of our report. We are independerbt of Ihe chantable company in accordanrA with the ethical requirenpnls Ihat are relevant lo our audit of the financial statements in the United Kingdom, including the Flnancial Reporting C¢)uncif8 Ethkal Standard, and we have fUilled our other 81hlcal responsibiir¢ies in 8¢wrdanee wrth these requirements. We bdieve that tha audit evidence we have obtsined is sufficient ané appropriate to provhle a baS for our opinion. ConGlu3lon8 r•latlng to golng concom In auditing the fingncial gtalanents, we have concluded that the Trusl•os' u$e of the going Concern basi8 of accounllng in the preparat of the financial statements is appropriate. Based on the work we have performed, havé not identified any merial uncertainties relating lo events or condicions that. individually OT eol*ively. may cast svJnific8nt doubt on the charitable companys ability to continue as a going coneem a perp)d of at least tWee months from when the financial statèments are aulhorised for i88ue. Our responsibilittes and the responsft>ilrties of the Trustees with resFect to going concem are described in the relevant sections of Ihis reporL Page 13
THE RGSWANDAOS FOUNDAnoM (A company limited by guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEM8ERS OF THE RGSW AND AOS FOUNDATION (CONTINUED) Other Information The other information comprises the infomation indude(l in thé AnnL1 report other than the financial statements and our Auditorfs report Ihereon. Thè Trustees are responsible for the other information contawied within the Annual report. Our opinion on lh& f nancial slalements doe$ not cover the other information and, 8x¢ept to the extent otheN4i$e explicitly 818led in our report. do ncrt express any form of assurance conclusion thereon. Our responsibility is lo read tha other Informat and, in dn9 so. consider whethèr thè other information Is materially inconsi81enl with the financral stslements or our knowlèdge obtsined in the course of the audit, or othérwise appears to be malerialty misslaled. If we idenlfy such material inconsistenc8 or apparent material misslalemenls, we are required lo determine whelh&r this gives rise lo a matérial misstatèment In the financial slalemenls themselves. If, based on th8 work we have rfOrmed. we conclude that there is a matérial mis$tstemenl of this other Infom)ation, wg are required to report that fact. We hav8 nothing to repjrt in this regard. Matt•r8 on whlch wa aro raqulred to report by •xcoPtlon We have nothing lo report in respe¢l of the folknwng malL8r8 vthere th8 Chorities {Actounts and Reports) Regulations 2008 requires us to report lo you if. in our ¢¥inbJn.' the infom)ation given in the Truslee$' rewl is Ino)n$i$tent in any material respect with the finandal stslemenls., ¢x sufficient accountin9 r8cord8 have not been kept, or the ffinanclal statements are nol in agreement with the xcounting rewrds and retums., or we have not re¢eive¢J all the Infornalion and expL3nalions requir8 for our audlt. R•sponslbllltles ol trustees As èxplain6d mra fully in the Trustees, rewnsibilrties stalement, th& Trustee5 (who are also the dlrectors of the charitable company for the purposes of company lawl are responble for the preparation of the financi81 Slalemènls and for being satisfied that they gwe a tnje and fair VMV. arKI for such inlemal control as the Trustees determine is necessary to enabk the preparation of financial statements that are free from material mi88latemenl. whether due lo fraud or error In preparing the financial ststements. the Trustees are responsible for assessing the ¢h8ritable compgnls ability to continue as a going concern. discbsing, as applicable, matters Tplaled lo going concem and using the golng ncern bgsis of accounting unless the Trustees either intend to liquidate the charrtaile company or to cease operations, or have no realistic allemative but lo do so. Page 14
THE RGSW AND AOS FOUNDATION IA company Ilmited by guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE RGSW AND AOS FOUNDATION (CONTINUED) Audltofs responslbllltles for tho audit of the financlal statements We have b8en appointed as auditor under sKtK)n 145 of the Charrties Act 2011 and report in accordance with the AGt and levant re9ulalion8 made or having 8ffed Ihereunder. Our objectives are lo obtain reasonable assurance aboLrt wh8ther the financial statements as a whde are free from material misstatement. whelh8r due lo fraud or error. and to issuè an Audilorfs r8POrt that in¢lude8 our opinion. Reasonable a5sur8nce is a high level of assuranea. bul Is not a guarantee that an audf( conducted in accordance with ISA5 IUKI will aKvays detect a material misslalement wh8n r( exists. Misslal8menls can arise from Iraud or error and 8re considered material if, indNKlually or in thè aggregate, they could reasonably be expected to influence the ¢eonomic d•s1on$ of US taken on Ihe ba815 of these financial slatem8nl8. Irrggulanties, Including fraud, are in$tanc88 of notlllcomplianc8 w6th laws and regulatic$. Wè déswn proc8dures in linè with our regponsibilities, outlined above. lo detect material misstatements in r8spect of irregularities. including fraud. The exlent to which our procedures are capablé ol éelecting irregularitias, induding fraud Is detailad below.. Wè ebtalned an understanding of the legal and r¢gulalory frameworks within which the charitabl8 company operates, focusing on Ih05è lawg and regu18tion8 th* have a dirnct effect thè detemination of mat8rial amounts and disclosures in the financial slalemenls. The laws and regutations we consKlered in thi8 conlaxt were the Ccfflpanies Act 2006. lgxalion legislation. together with the Charrtlès SORP IFRS 1021. We assessed the requir•d complianee wth these laws and regulalKJn5 as part of our 8udf( pro¢edures on the lated financlal 8talement items. In addition, we eonsidered prowsions of other laws and regulations that do not have a direct effe¢t on the financial slalements but etsmpliance wrth which might be fvndamentsl lo the tharilable company's ability lo operate or to avoid a material penatty We also considered the opportunities and incentives Ihol may exist wilhln the charitsble Gomp¥ny for fraud. The laws and regulations we considered in this nIeI for the UK operation8 were General Data Protection Regulation IGDPRI, Health aTrJ Safety legislatn and employment legi81alions. Auditing standards limil the wulred audit procedures to identify ncfi-complianct with these laws and regulatr'ons to enquiry of the Trustees and other management and inspection of regulatory and legal correspondence. if any. We identified the greatest risk of mal&ial impact on the financ1 statements from Irregularities. including fraud, to b8 within the timing of rewJnition of incom? and the ¢)verride of controls by management. Our audrt procedures lo respond io these risks included enqviries of management, and the Finance & General Purpose Committee about their own Klentification and assessment of the risks of irregular((s, sample lesling on the posting of journals. rewewing accounting estimates for biases, revthving regulatory correspondence with the Charity C(xnmission. Indednt Schools Inspectorate, OFSTED and reading minutes of meeting8 of th08e charged w(th governance. Owing to the inherent limitalng of an audil, the is an unawJKlable risk that we m8y not have detected some material Misstaterrls in the fina101 stalemenls, even though we have propety planned and perfomed our audtt in a¢cordan¢e with auditing standards. For example. the further removed non-eomplianc8 with laws and regulations lirregularilies) is from the events and InsactIOnS reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards WoUj idenlfy it. In adf(ion. as wlh any audit, there r8mained a higher risk of nonrflelectN)n of irregularities, as these may involve collusion, forgery, intentional omissions. misrepresentations, or the override of intemal controls. We are not responsible for preventing non- ompliance and cannot be expected io detect rnndc0mpllan wth all laws and règulations. Bause of the inherent limitalw)ns of an audit. there is a risk thal we will nol detect all irregularities. including those leading to a matèrial misstatement in the finala1 statements or non-compliance with regulation. This risk increases the more that compliance wilh a law or regulatton is removed from the events and transactions refiected in the financial statements, as wll be te5s I1[e to trCe aware of instances of non<ompliance. Page 15
THE RGSW ANO AOS FOUNDATION IA company Ilmtted by guarnnteg INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE RGSW AND AOS FOUNDATION (CONTINUED) The risk is also greater gardIng irregulare5 ctturring due to fraud rather than error, as fraud involves Intentional concealment. forg6ry. edlusion, omission or misrepresentation. A further desGrfptton of our responsibilitiès for the audit of the financial statem8nl$ Is located on the Financial Reporting Council's website at.. uditorsres onsibililie5. This descripti forms part of our Audilols report. U86 of our report This ffjport Is made solely lo the charitable companrfg trustees, a8 a Lb)Jy. in accordance wf(h Part 4 of the Chariti&s IA¢Gounts and Raportsl Regulations 2008. Our aud'rt work has been undertaken so that we might slate lo the charrtable companys Iruslees Ihose matters wa are required lo st*e lo them in an Audilofs report and for no other purpose. To the fvlkst extent p8mitte(I by law. we do not accèpt or assume respon$ibilty to anyone other than the ¢harilable company and its manbers. as a bcéy, for our audll work, for thls report, or for tho opinlon8 we have fonned. LXW LLf Crowe U.K. LLP Slalulory Auditor Black Country House Rounds Green Road Oldbury Wast Midlands B69 2DG Date,. 24 May 2023 Cr¢)we U.K. LLP are eligible to act a3 auditors in len5 of section 1212 of the Companies Act 20C6. Page 16
THE RGSW AND AOS FOUMDATION (A company limllod by guarant•81 STATEMENT OF FINANCIAL AcnvmES {INCORPORATING INCOME AND EXPENDITURE ACCOUNTI FOR THE YEAR ENDED 31 AUGUST 2D22 Restrlcted Unr•8trlet funds funds 2022 2022 Total funds 2022 Total funds Note Income from,. Donations and legacies Investsnents 124,819 19,913 725.808 19,913 447,607 16,279 Total Incomg 6.989 144,732 745,721 463,886 Expenditu on: Raising funds Charrtable athitie8 117.819 21,913 117,819 96.376 91,053 356, 829 74.463 Total expendlture 74,463 139.n2 214.195 447,8&2 Net Incomo b•fore not IlLvJso¥ygalns on Invèstmènis Net IIDssesllgains M inve8tment8 526.526 131,923} s.000 15,9531 631.526 137,8761 16,ck)4 97,649 Not movomfrnt In funds 494,603 19531 493,650 173,653 Reconclllatlon of funds: Total funds brought foard Nat movanent in fund8 372.069 19531 796,603 493.650 682,9&) 113,653 494.603 Total fund8 carrled fOard 919.137 371,116 1.290.253 796,603 Tho Statement of financial activities indudes 911 gains and losses recognised in Iha year. Th8 notes on pages 20 to 34 fomi part ofthe59 finandal statements. P8ge17
THE RGSW AND AOS FOUNDAnoN IA company limitod by guaranto8) REGISTERED NUMBER.. 10326313 BALANCE SHEET AS AT 31 AUGUST 2022 2022 2021 Note Flxed assets Investments Investment prop8rty 11 10 685,549 600.000 723,426 1.185.549 723.426 Current assets Debtors Cash at bank and in hand 12 103.200 73. 177 104.704 73,177 Net current assets 104.704 73.177 Total not assots 1,290,263 T96,603 Charlty lund8 Restricted funds Unrestricted funds 14 14 919,137 371.116 424,534 372,069 Total funds 1,290,2S3 T96,603 The entity wa8 enb'tled to exemptlon from audit Urer section 477 of the Companigs Act 2006. The members have not required the entsty to obtain an audit for the year in question in CordanCe with SeI)n 476 of the CompanEs 2006. However, an audit is required in Kcordanca sectK)n 145 of the Charilies Act 2011. The Trustees acknthege their 5onSIbIlitIeS for cOmpln9 with the requirernents of the Act wilh r8spect to eccounting record5 and preparation of financial statements. Th8 finaneial statements have been prepared in accordance with the prowsions applicable to enlrtie5 subject to the small companies regime. Th8 financial ststemenls weré approved and authorised for issue by the Trustéès and signed on their behaff by.. Mr Tlmothy Curtis Chair Dale.. 2 March 2023 The notes on pages 20 to 34 fom part ofthese financial stslems. Page 18
THE RGSW AND AOS FOUNDATION IA company Ilmlted by 9uaranteel STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2022 2022 Cash Ilows from operatlng •ctNItIos Net cash used In operating activiti 10,110 (306J Cash flovd¥ from Investlng aGtlvltles Dividend8, interests and rents from irwestmnts Purchase of inve81ments 19.913 16,280 f182,922) Not cash provlded byllused In) Inv05tIDg adlvltles 19,913 1166.6421 Cash flows from flnanclng acllvltl Net cash proVId by financlng JGtlvltl Change In cash and cash equlv*lent8 In theyear Cash and cash gquivalenls al the beginning of the year 30,023 73,177 {186,9481 240, 125 Cash and eash equlvalents at tho end of the y•ar 18 103,200 73, 177 The notes on page$ 2010 34 fom part of these financial stalemen18 Poge 19
THE RGSW AND AOS FOUNDATION IA company limltod by guaiantso} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 Accountlng pollcle¥ 1.1 Basls of pr•paratlon of finanelal strtements The financial statements have been prepared In a¢cordance vth the Charit6 SORP IFRS 1021- Accovnling and Reporb"ng by Charilies.. Slalement of Recommended Practic8 applicable to charf(ie$ preparing their accounts in acwrdance with the Financial RaportiThJ Standard appIlble in the UK and Republic of Ireland {FRS 102} (effective 1 January 20191, the Finaneial Reporting Standard applicable In the UK and Reptsbllc of Ireland (FRS 102) and the Companies Act 2006. Th8 RGSW and AOS Foundation maels the definition of a public benefrt enlty under FRS 102. Assets and 1iabiifts 8re Inlhally recc*3nised at historical ¢ost or transa¢tK)n value unle8$ olhejwse slated in the relevant gccounting pcllcy. 1.2 Company itstus The company is a company limrted by guarantee, registered in England an(1 Wales. number 10326313. The company is also registered as a charty, number 1170217. The member8 of tho Company are the Trustees narned on page 1. In the event of the MpanY being wound up, the liabilty in respect of the guaranlèa is limrted to £1 per member of the ¢omp8ny. The companls registered offiee and pnncipal place of business is The FouThJath)n Office, The Royal Grammar Sthcol Worce¥lor. Upper TWhing. Worce8ler, WR1 IHP. 1.3 Golng conc•m The Trustees have undertaken planning and ¢onlinue to cbsely monitor the Covid-19 $iluatlon. Despit8 the current circumstances the Trustees b#lie thal the Charity's financial re60urces gnd contingency plannlng is sufrient lo ensura the ability of the company to continue as a going concem for the foreseeable future, beiThJ at ast months from the date of approval of these finanoal statements and therefore have prepared the financial Slatements on a going wncem basis. Page 20
THE RGSW AND AOS FOUNDATION IA company limlted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 Accountlng pollGles {contlnued 1A Incom• All in¢ome is recognised once the CpanY has enlltkment to th8 IrLom8, it 1$ probable th the income will be received and tha amount of irKome receivabbe can b8 measured reliably. For gaes, enlitlemenl 18 taken as the eadi8r of the dale on which either.. the company ts aware that probate has been granted, the estste has been finalised and nolificalion has been made by the executorls} lo the Trusl that a distnbutts)n will be m&aa, or when a dislributs'on 1$ received from the estate. Receipt of algyacy. in whol8 or in part. is only tonsidered probable when the amount can be measured reliably and the Company has been of the exeGutorfs intention to make d1stributi. Where legacies hav8 been notsfied to the company, or the company Is #ware of the grantsng ol probala, and the criteria for income recognrtffi not been m6t, then the legacy is treated as a ¢onlingent a58Ot and disdcsed rf malarial. Donatéd services or facilit3 are re¢ognised when the company has control over the itgm, any condrtion5 8$80ciated with th8 donated ilem have been m&1, the receipt of économic benefit from tho use of the company of th8 rtem B probable and thal economic nefit can be mea8urod reliably. In a¢tordance with the Charf(ies SORP IFRS 1021, thè general volunteer time of thè Frignds is not recognis&d and refer lo the Tru5te&s' rewi for more information about their contribution. On receipt, donatèd professional servw and donat&J facilittes arè recognisod on the basis of the value of the gift to the company whKh is the amount the company VY)uld have been willing lo pay to obtain servie6s or facilities of eqUivant econcfft benefit on the ¢Jp8n market: a corr88ponding amount is then re¢ognised in expenditure in the pericd of receipl. 1.S Expondltur• Expenditure is recognised once there Is a legal or conslfU¢tNe obllgation to transfer econorroc benefll lo a third party, rt is probab that a transfer of econom bgnèfrts will be required in s8tllemenl and the amount of the obligation can be measured reliably. Expenditure is Classrfd by actNty. The costs of each actiwty are rnade up of Ihe lotal cf direct costs and shared c0515, including support costs Involved in urKlertaking each activity. Direct costs attributable to a Single activty are all¢xated directly to that activity. Shared costs which contribute to more than one activity and support wsls whh are not altributsble lo a single actiwty are apportioned betsve8n those activities on a basis consis18nt with ihe use of resources. Central staff costs are alhxate(l on the basis of line spent, and depreciati¢ harges all*ed t)n the portion of the asset's use. Fundraising costs are those incuThed in seeking voluntsry contributions and do not include the costs of disseminating information in supwt of the charrtable &tivilies. Support cosls are those costs incurred direetty in support of expendiiure on the objects of the company and indude project management carrbed out at Headquarters. Costs of gefterat1 funds are wsts incurred in 8ttrdCting voluntary ineome. and those incurred In trading ac¢ivilEs that raise funds Charitable actrt$ and Governance costs are costs incurred on the companls operations. including support costs and eosls relating to the govemanee of the wmpany apportDned to ch3ritable actiwties. Page 21
THE RGSW AND AOS FOUNDAnON IA Gompany limitsd by guarnnteg) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 Accounting pollclès IcontlnuedTr 1.5 Exponditure (continu) Grants payable are eharged in the year when the offer is made except in those casès whère the offer 18 condi(ional, such grant5 being recognlsed as expenditure when the conditions attaching are fulfill8d. Grants oftered SU.ect to condilKJn$ which have not been met al the year end are noted as a ommitmenl. but not accrued as expendrture. 1.6 Investments Fixed asset investments are a forn of financial instrument and are inilialty rec&anised al their transaction cost and subsequently measur8d at fair value al the Balance sheet dale, unless the vglu6 cannot be measured reliably in which case rt is measured al cost less impainnent. Investm8nl gains and losses, whether rea115ed or unrealised. are ccrfnbingj and presènted as 'GainsllLossesl on investments, in the Stslemenl of financial activslias. Th¢ Fou[atIon vras gifted a property during the yeaT which 18 held at falr value as an Invgstmenl property whil$l ils sale is pènding. 1.7 D•btorn Tr8de an¢J other debtors aTe r8ccJnised 8t thg settlement amunl after any tradè dis¢ounl offered. Prepayments are valued at the am¢)unl prepaid net of any trade discounts due. 1.8 Cash at bank and In hand Ca$h at bank and in hand includes cash and short4em highty IiquKI Investments with a short maturity of three months e< less frcffl the date of acquisit)ft or opening of th8 deposit or similar a¢wunl. 1.9 Flnanclal Instruments The charty onty enters Into t)asic fingncial Instrumènt transactions that result in Iho recoanilion of financial assets and liabilr(S like trade and other accounts receivable and payabbe. Debtors Short lemi debtors are aSured at transadion price,1gss any Impairm?nt. Cr•dltors Short term Creditors are measured at Iransxtion price. Cash Cash is represented by cash in hand and deFJSits with financial in5ti(ulions repayable without penaty on notice of not more than 24 hours. Page 22
THE RGSW AND AOS FOUNDATION IA company limrted by guaratrto8) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 Accounting polici08 Icontlnued) 1.10 Fund accounting General funds are unresffieted funds which are available for use at the discret of the Trustee8 in fvrtheranee of the general o14'eGtives of the c1panY and whh have not beèn designated for other purposes. 0•sNated fltnds comprise unrestricted funds that have been Set aside by the Trustees for particular purposes. The aim and use of designat&J fund is sèt out in the to the financial ststements. Restrided fiJnd8 are funds which are to be used in aCCdanCe with sFecifiG restrictions Imposed by donors or which have been raised by th8 Company for particular purposes. Th8 costs of ralsing and administering such funds are charged against the Bpecific fund. The alm and u80 of each restri¢t8d fund 1$ sel out In the notes lo the financial stslemenls. Investment Income, gains and bsses are allrKaled to the appropriate fvnd. Crltlcal accountlng estlmates •nd arna8 oljudgmgnt E8tlmates arKI judgment$ ar8 conlinu81ty 6valuated and are based on hlstorical 8xp&ri6nce other factors, including expe¢talion8 of fiJtuTe events Ihal are b81iev8d to be reasonable under the circumstsnce8. Critlcal accounting estirn*es and 88sumption8'. The Company makes esllmates and assumptn3 conceming the futur8. The re$ullir4J a¢counling estimates 8nd assumptions will. by definrh'on. equal the related adual results. The estimates and assumptions that have a signifan1 risk of causing a material adjustm8nl lo the rrying ount$ of assets and liabilities within the next financial yèar are discussgj belvw. Crftlcal accountlng estimates and areas of ludgmenl Estimates and judgments are conlinualty evaluat and are based on hislorieal experien and other ItOrs, including expectations of future events that are belVed lo be rea5CabLe undèr the circumstances. Crrtical accounting 9Stimalès and assumptvjns: Donated services and faeilrties The Foundation received donated seNces and facilities from the Royal Grammar School Worcester relating lo staff c051s, fundraising Costs, office space and audit fees. The staff etssls are calculated based on the percentage of each siaff member¥, time spent on providing SeN1 to the charity. Premises costs are estimated by apptying a market fate to the svz8 of the office occupied. Page 23
THE RGSW AND AOS FOUNDATION IA MpanY Ilmited by guaranto?) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 Income from donatlons anql 1ogaGies Re5trictsd Unrestrlded funds lunds 2022 2022 Total funds 2022 Donations Donated services and fadlllles 600.989 600,989 124,819 124,819 61)0,989 124.819 725.608 Restn¢ted Unrestricted fiinds funds 2021 2021 Total funds 2021 DOnaOn8 Donated servKes and f¥ilities 354, 171 354, 171 93,436 93,436 354, 171 93,436 447,607 Investmont Income Unrestrtcted funds 2022 Total funds 2022 Income from COIF units 19,913 19,913 Unfftslricted funds 2027 Total funds 2021 Incomefrom COIF units 16,279 16.279 Page 24
THE RGSW AND AOS FOUNDATION IA wnpany Ilrnited by guarant88) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 Expgndlturg on raiglng funds Unrostricted fund# 2022 Total funds 2022 Events and publicat#)ns Staff costs 27.314 90,505 27,314 90,005 117.819 117,819 Unmslncled funds 2021 Totsl funds 2021 Events and publl¢aUons Staff c08ts 14,371 76,682 14,37t 76,682 91,053 91,053 Page 25
THE RGSW AND AOS FOUNDATION IA company Ilmited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 Analysls of expendltur8 on Gharitsble actlvlties Restrfcted Unr6strfcted funds funds 2022 2022 Total 2022 Grants to RGS Worcester Eslablishmenl tt*sts Management and admini31ralion 74.463 19,913 500 1.5C 94,376 600 1.500 74,483 21,913 96.376 RestsiGted un87C1ed funds funds 2021 2021 Total 2021 Grants to RGS Worcester I Worcester Intomational Hc¢key Eslablishmenl costs Management and lminiStration 354,446 354.446 1,883 1,883 354,446 2,383 356,829 Audltols remunerntlon The audilorfs remunefation amounts to an auditor fee of £1,450 (2021 £1,365), and 8 fee for the preparation of th8 finanGial ¥latements of £75012021- £ -1. Page 26
THE RGSW AND AOS FOUNDATION {A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 staff costs 2022 2021 Wage$ and salaries 90,505 76,682 90.505 76, 682 The average number of persons empksywj ty the Company dunng the was as follm". No employee received rernuneralion arnuntiTrJ to more than £60,0(K) in erthor yaar. All staff are employed by and paid for by Thè R¢)yal GranNnar School Worcasler. Thesé eost$ a shown 88 donated services and facilrties. Key managemènt personnel are ¢onsKlered lo be thè Trustaes and Senlor Managemènt. T¢)tsl remuneration of key management personnel amounted lo £57,08312021.. £36,503} of which all cost8 were m81 by The Royal Grammar S¢hcol Worcester. l O. Invo8tm•nt property Frnohold Investment property Valuatlon AdditiC6 61)0,1)00 At 31 August 2022 SW.000 The Investment property has been valued at the Trustees. best esb'mats of its fair value as at the 31 August 2022. The propety is uniqua and has been valued al over £500,000 by 8stale agenlg and since the year end Trustées have accepted an offer of £475.000 (subject lo contract}. Page 27
THE RGSWAND AOS FOUNDATION IA company Ilmlted by guardnteg1 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 11. Flxad asset Investments Unlisted Investments Cost or valuatlon Al 1 Seplambar 2021 Revaluations 723.426 137,8771 Al 31 August 2022 685,549 Ngt book valuo Al 31 August 2022 685,549 Al 31 August 2021 723,426 12. Dobtor• 2022 2021 Due wlthln ono year Other debtors 1,504 13. Flnanclal In¥truments 2022 2021 Financlal assets Financral assets measured at faif value through irKcKne and expendi(ure 788,749 716,640 Financlal assets measured at frdir value through inecffÈ and expenditure corryrise investments. Page 28
THE RGSW AND AOS FOUNDATION IA company limlted by guarantse) NOTES TO THE FINANCIAL STATEMEKrs FOR THE YEAR ENDED 31 AUGUST 2022 14 Ststèmont of funds Statement of funds- curront yoar Balanc• at 1 Septsmber 2021 Balancè at Gainsl 31 August {Lo$sl 2022 Income Expndlture Unr#8trlcted funds Designaled fund¥ A R Wheeler Bursary Fund 355.697 16.953) 349.744 G•noral funds General Fundo- all funds 16.372 144.732 1139,7321 21,372 Total Unrestrlctod funds 372,069 144.732 1139,7321 {5.9531 371,116 Re8trlcted funds A R Wheeler Bur8ary Fund Alice i)ttley Bursary Fund Hardship Fund Alumni Sponsorship WIHL Buy a Briek WIHL Buy a Tree Foundat Bursary Fund Parent MusiG Scholarship The Christopher and Dorothy Dyer SenCe and Technology Bursary Fund RGSW Tree Contemplatn Area 189,789 55,661 4,111 158.806 15.667 128,7941 13,129) 168.295 54.853 4,863 150,575 15,667 600 21,904 490 2.321 742 65.738 173,969) 21.904 soo,000 14941 2,000 424.634 600.989 174,463) 131,923) 919.137 Total of funds 796.603 745,721 {214.195) 370761 1.290.253 Page 29
THE RGSW AND AOS FOUNDATION (A company Ilmited by guarantepl NOTES TO THE FINANCiAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 14. Ststèmènt of funds Iconunued De8lgnated funds: The A R Wheelèr Bursary Fund {ARW Bursary Fund) was set up in 2013 and ha8 bean designat&J by thè Govemors as 8 fund lo generate bursarial support Thls Fund was transferred to The RGSW and AOS Foundation on it's formation. Rè#trlct•d funds.. The Anthony Reay Wheeler Bursary Fund IARW Bursary Fund).. monies recalved for investlng In the ARW 8ursgry Fund. The AIKe Otlley Bursary Fund.. Mon re¢eNed for investing in Alice Ottley Bursary Fund. The Foundation Bursary Fund.. for donalh)ns given in support of bursariès at RGS bul unlike gifts to the vo buary endowm1 funds, these monies are lo be transfèrred to the Sch¢)ol within 18 months of being donated. Fundraising aGtivities will ensure that the fund is contsnu8lly replenishod. The Parent Mu$l¢ Scholarship.. an nual donation given by an RGS fanrrily to mr the musical Inslrumenl tuition fees for a burgary recpienl pupil. The Christopher and t)orothy Dyer Science and Technology Bursary Fund.. u8es fvnd8 from the sale of Laurel Cottage to provide tsursary places * RGS. Chris [er is a fomier pupil of RGS Wore8sltr. He and hi$ wife, Dorothy, live in the USA and Laurd Cottage was his UK family hcme which he grfted lo the Foundation to help children access education al RGS. Chris has stipulated that up lo h¥c bursarles par year may be awarded at 50% of 8chwl until the funds are exhausted. The RGSW Tre6.. a oneryoff gift lo plant a tree al RGS from a fom)er pupil, Kenneth Amson, who devoted his professional career10 Stewarding forests in Canad8. The Conlernplalion A8.. a one-off grft from Kenneth ASon who wishes to provmle a dedicated area In the grDunds al RGS WDre8ster for pupils and staff who may valu& a Spa for quiet refl&ctitin. Hardship Fund.. this is used to make Smaller. one off 'in yparf grants lo pupils whose families have often unexpected finan81 eonslraints. The grants can used lo assist with fees to help prevent disruption lo the the educali¢M of pupils affected. The gTanls can also be appld lo further the education of pupils in these circumstances by helping to fijnd ath"vslies such a$.. aeademic field trips or study courses., uniform purehases., provision of ne55ary indmdual elassroom materialslequipmenl., the purchasè of sport8 equipmenl., Mnlribulions towards the eosts of sports lours and other co<urricular events. Alumni Sponsorship.. these are donat)ns m to fund means4ested bursary places at the Schcol for individual pupils. Worcester Inlernalh?nal Hwkey Cenlre:_ donations made to the Foundatlon in support of the £400,000 capitsl RGS had lo contnbute lo the development of th8 new Centre, Funds raised through 'Buy-a-Brick', sponscf a tree and grant awards. Page 30
THE RGSW AND AOS FOUNDATION {A company Ilmtted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR EMDED 31 AUGUST 2022 14. Statement of funds Icontinuédl Statement of funds- prior year Balan¢• 81 I Septembgr 2020 Bal8nc& 81 31 Augusl 2021 Gains/ {Lossos) Income Eypenditure Unrestricted funds Doslgnatgd funds A R Wheél8r Bursary Fund 294. T36 60,961 355,697 Gènèral funds Gener81 Funds- all funds 93 109. 715 {93,436? 16,372 Total Unr•8trlcted funds 294.829 109, 715 193,436) 60,961 372,069 Restrlcted funds A R Wheeler Bursary Fund Alice OttY Bursary Fund Digttal ArchNe Hardship Fund Alumnl Sponsorship WIHL Fund WIHL Buy a Bri¢k WIHL Buy a Tree 154, 186 44,207 2.7 39.sll 147.467 7,271 28,332 8,356 189,789 55,661 (2, 760) (40,807) (56,781J f250,OOOJ (4.098) &417 68, 120 2YJ,C 19.T65 4,111 158,806 15, $67 388, 121 354. IT1 (354,448) 36,688 424,534 Total of funds 682.950 463,886 (447,882) 97,649 796,603 Page31
THE RGSW AND AOS FOUNDATION (A company Ilmited by guarantse NOTES TO THE FIMANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 16. Summary offunds Summary of funds- cuffgntyear Balance at 1 September 2021 Balance at Gainsl 31 August ILo8Seg) 2022 Ineomo Expendltur8 Designated fvnds General funds Reslricted funds 355,697 16.372 424,534 16.9531 349.744 21,372 919,137 144,732 600,989 1139.7321 174,4631 131,9231 796,603 745.721 1214.1951 137,876) 1,290,253 Summary of funds - prfor year Balance al 1 Seplemb6T 2020 8818nce 81 31 August 2021 G8in* (Losses) lrtome Expenditure Designgted funds General funds ReslriGted funds 294,736 93 388. 121 60,961 355,697 16,3T2 424,534 109, 715 354, 171 (93,436) (354.446) 36,688 682,9XI 463,886 (447,882) 91,649 T96,603 16. Analysls of n•t as8èts between funds Anatysis of net assets between funds- current yoar Restricted Unrnstrlcted funds funds 2022 2022 Total funds 2022 Fixed asset inv851monts 577,795 500,000 {158,6581 107.754 685.549 500,000 104.704 Inveslrnent propety Current assets 283,362 Totsl 919.137 371,116 1,290,253 Page 32
THE RGSW AND AOS FOUNDATION (A company lirnited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 16. Analy519 of net assots tWo•n funds (continued) Analysls of net Sets b•twn funds- prlor year Restrictad Unmst17cled funds funds 2021 2021 Total funds 2021 Fixed asset Investments Current 8ssels 609,718 (185. 184) 113, 708 258,361 723,426 73,177 Total 424,U4 372,069 796,603 17. RoGonclllatlon of net mov•m•nt In funds to net Gash flow from operatln9 actlvltles 2022 2021 Net income for the year las per St8twnenl of FInarla1 Athitié$) 493,650 113. 653 Adjustments for: Galns ors investments Divid6nds, interests and rents from investrnents IlncreasellDecrease in debloTS Increaselldecrea5el in ¢reditors Capital Donations 37,877 (19,913) {1.5041 (90,8631 (1S.280? (30) {600.0001 Not cash provldgd by 0ratIng actlvlllgs 10,11Q 6,480 18. Analysls of cash and cash equivalents 2022 2L721 Cash in hand 103.200 73,177 Total cash and equlvalgnts 103.200 73, 177 Page 33
THE RGSW ANO AOS FOUNDATION IA company liffllt8d by guarantsel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 19. Analysls of Ghangeg in net dobl At1 Septamber At31 2021 Cash flows August 2022 Cash at bank and in hand 73,177 30,023 103,200 73.177 30.023 103.200 20. Connectod partt The Foundatlon exlsts to advanca educati( Ot th& RGS W¢ycesler Family of Schoo19. A mlnlmum of Ihree Trustees are also G¢)vemors of the Schcol to ensure strategic alignment r8 maintsined befv4een the o enlilies. The School funds and $laffs the Foundation offi and the Headmaster8 and Headmi5tres8es of the RGS Schcols otteThJ the Twstee Board meetings, a8 does the Director of Finance and Operations. In Déeember 2017, the A R Wheeler Bursary Fund and the restric18d elemént of the Alice Ottley Bursary Fund were transferred fTOrn the SchocA to the Foundation. The A R Wheeler Bursary Fund was valued at £355,335 and the Alice Otlley Bursary Fund was valued al £25.266. £5.8¢X of other restrided funds were also transferred lo the Foundation. Thè Foundation made grants to the School in the year tolalling £94,376 {2021.. £115,625) of whth £Nil 12021- £40,802) related lo Hardship grants. £Nil12021.. £2,760} related lo the Digital Archfve, £494 {2021. £Nil) related to a tree. aNI the re81, £90.5051£72,C631 18 to be spent on bursaries. The Foundation made a grant to Woreester Internanl Hockey Limi(ed, of which thg School is a Joint ownar, in the year lotalling £Nil12021' £250.OC(11 An amount ol £Nil12021: £Nill was trmng from the Foundation lo thè Schcd at 31 August. Th& School paid for the running costs of the Foundation OffiGe. indudiThJ.' salaries amounb'ng to £90.50512021.' £76.6821. events and publications amounting to £27,314 (2021- £14,371). management and adminislration costs amwnting lo £1.50012021.. £1,883) provision of office Spa amunting lo £5fY) {2(Y21.. £S(h)). Page 34