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2023-08-31-accounts

Company No. 10814894 Registered in England Charity No. 1174356

DULWICH PREP LONDON

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 3! AUGUST 2023

DULWICH PREP LONDON ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

The Governors present their annual report together with the audited financial statements of Dulwich Prep London (the “School”) for the year ended 31 August 2023.

The Governors confirm that the annual report and financial statements of the School comply with the current statutory requirements, the requirements of the School's governing document and the provisions of the Statement of Recommended Practice "Accounting and Reporting by Charities" (Charities SORP FRS102).

STATUS AND ADMINISTRATION

The School is a company limited by guarantee (Company Number | 0814894) and is registered with the Charity Commission under Charity Number | | 74356. The School, together with Dulwich Cranbrook (previously Dulwich Prep Cranbrook), is a subsidiary of Dulwich Preparatory Schools Trust (the “Trust”), which is also a company limited by guarantee and a registered charity, from which the School leases its property.

GOVERNORS' RESPONSIBILITIES

The Governors (who are also directors of the School for the purposes of company law) are responsible for preparing the Governors’ report (including the strategic report) and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Companylaw requires the Governors to prepare financial statements for each financial year. Under company law the Governors 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 School and of the incoming resources and application of resources, including the income and expenditure, of the School for that period. In preparing these financial statements, the Governors are required to:

The Governors are responsible for keeping adequate accounting records that are sufficient to show and explain the School's transactions and disclose with reasonable accuracy at any time the financial position of the School and enable them to ensure that the financial statements comply with the Companies Act 2006. They arealso responsible for safeguarding the assets of the Schooland hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Each of the persons who is a Governor at the time when this Governors’ report is approved has confirmed that:

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DULWICH PREP LONDON ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

STRUCTURE, GOVERNANCE AND MANAGEMENT

The School was created as an independent charity governed by its Articles of Association with effect from |stSeptember 2017. The Articles reflect the Companies Act 2006 and the Charities Act 201 | and were approved by the Charity Commission and passed by written resolution on 16+ June 2017. Prior tounder that date the School was part of the Trust.At the School's inception, the Trust donated to the School a Transfer of Undertakings Agreement dated | st September 2017 the assets and undertakings necessary to fulfil its objects. The School is supported in the provision of education by the Trust from which the School leases its facilities. The Trust, Dulwich Prep London and Dulwich Cranbrook make up the Group (the “Group’).

Governing Body

The Governors are the trustees of the School under charity law and the directors of the School under company law. All Governors are “members”of the Trust and the School's Chairman and one other Governor also serve as Trustees of the Trust.

The members of the Governing Body who served in office as Governors during the year and subsequently are detailed below:

E K Kelleher TN Chairman
LPH Carling IN
AFCrow PF — Appointed toTrustPension Scheme in October2022and TrustFinance
Committee in November 2023
LMDavidson Retired31August2023

WMA Land

J Lovett Appointed 10 May 2023

J] Rhodes Appointed 15 November 2023 M S Shale PF Vice Chairman, retired from Trust Pension Schemein October 2022 and from the board 19 March 2024, S Smith Appointed 14 June 2023 J DH Steel TN N Kolotneva Appointed 31 January 2024

T Trustee of the Trust

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DULWICH PREP LONDON ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

F Member of the Trust Finance Committee

N Member of the Nominations and Remuneration Committee Key Management Personnel

Head Master: L. A Davidson, BA (Hons), PGCE Bursar & Clerk to the Governors: C A Skillings, LLB (Hons), ACA

Professional Advisers

Bankers: | NatWest Bank ple, 120-122 Fenchurch Street, London EC3M 5BA Solicitors: Farrer & Co LLP, 66 Lincoln's Inn Fields, London WC2A 3LH Stone King, Boundary House, 91 Charterhouse Street, London, ECIM 6HR Auditors: Crowe U.K. LLP, 55 Ludgate Hill, London EC4M 7JW

Management Structure

The Governing Body meets at least twice every term. Sub-committees for specific purposes are established as and when needed. The Head Master and Bursar/Clerk to the Governors attend the Governing Body meetings and any sub-committees as required. The day-to-day management of the School is delegated to the Head Master and Bursar/Clerk to the Governors who collectively comprise the key management personnel and are supported by the School's Senior Leadership Team. The Head Master has overall responsibility for the appointment and supervision of all staff, but delegates this function to the Bursar and HR Director for non-academic staff.

Remuneration is set by the GoverningBody with the policy objective of providingappropriate incentives to encourage enhanced performance and of rewarding fairly and responsibly individual contributions to the School's success, Theappropriateness and relevance of the remuneration policy is reviewed annually, including reference to comparisons with other independent schools, to ensure that the School remains sensitive to the broader issues of pay and employment conditions elsewhere. Following an external review of pay and benefits forall staff,and a staff consultation, the Governor's approved a new Pay Policy which came into effect on | September 2022. The School aims to recruit, subject to experience, at the lower to medium point within a band, providingscope for rewarding excellence. Delivery of the Schools charitable vision and purpose is primarily dependent on the senior leadership. Staff costs are the largest single element of the charitable expenditure.

Governing Body Recruitment & Training

New Governors are identified by the existing Governing Body, supported by the Head Master and Clerk to the Governors, and appointed by the Governing Body following agreement by the Trust. Governors serve for an initial term of four years, but may offer themselves for re-election for a second term of four years and then a final term of two years, making ten years in total, which may only be exceeded in exceptional circumstances.

New members of the Governing Body are elected on the basis of the candidates’ professional qualities, experience, personal competence and the specific needs of the School. New Governors are inducted into the management and ethos of the School via a programme organised by the Head Master and Clerk to the Governors.The Clerk to the Governors also notifies members of the Governing Body of relevant

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DULWICH PREP LONDON ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

internal and external trustee training and information courses and seminars designed to keep them informed and updated on current issues in the sector and regulatory requirements.

Charity Code of Governance

The School's Governing Body takes its governance responsibilities seriously and aims to have a governance framework that is fit for purpose, compliant and efficient. The Governing Body has established a solid foundation in governance in which all of its Governors are clear about their roles and legal responsibilities, are committed to supporting the School in delivering its objects most effectively for the benefit of its beneficiaries and to contributing to the School's continued improvement.

The Charity Governance Code has seven principles: Organisational Purpose, ‘Leadership, Integrity, Decision Making, Risk and Control, Board Effectiveness, Diversity and Openness and Accountability. Complying with the Codeis nota legal or regulatory requirement and the Code describes its aims as ‘deliberately aspirational’. The Governing Body meetsa very significant proportion of the recommended and best practice for governance contained within the Charity Governance Codeacross the seven areas,

Employment policy

The School is an equal opportunities employer. Full and fair consideration is given to job applications from persons with any of the seven protected characteristics and due consideration is given to their training and employment needs. Consultation with employees, or their representatives, has continued at all levels with the aim of taking the views of employees into account when decisions are made that are likely to affect their interests. Employees are made aware of the financial and economic performance of the School.

Employees are also aware of the public benefit necessarily provided by the School as a charity and of their part in supporting the School's contribution to the local community.

Communication with employees continues through normal management channels in a variety of forms and also through exceptional channels to make staff aware of current issues.

STRATEGIC REPORT

The remainderof the report of the Governors also constitutes the strategic report for the purposes of the Companies Act 2006.

Principal activity and objects of the School

The objects of the charitable company are the advancement of education of children in the United KCingdom and elsewhere for the public benefit principally through the operation of Dulwich Prep London and support of the Trust.

The Governing Body is mindful of the long-standing need to provide public benefit and of the requirements of the Charities Act 2011. In this connection the Governing Body has monitored closely the guidance on public benefit produced by the Charity Commission, together with its supplemental guidance on advancing education and on fee-charging.

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DULWICH PREP LONDON ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

Aim

The Governors’ aim is that pupils should have every opportunity to fulfil their potential - academic, inspirationalartistic, dramatic,teaching,musical,opportunitiessporting, socialto buildandtheirmoralself-confidence— by providinganda richsupportand fordynamictheir curriculum,emotional, physical and intellectual needs. The School inculcates a desire to contribute to the wider community and provides the pupils with a launch pad for the opportunities, responsibilities and experience of later life, The School supports this by using its values as a basis around which the curriculum and pastoral care are developed.

Primary objectives

The School seeks to achieve its aim through the following primary objectives:

Strategies to achieve the primary objectives

The School's Strategic Development Plan (the “Plan”) is updated and reviewed annually with input from the Governing Body.

In May 2023 the School announced its intention to extend to age 16. Itis intended that this will provide support for anumber of the boys within the School to relieve pressure on the exams required to move schools at 11+ and 13+, This will also support the continuing financial viability of the school going forward. The announcement will require some building projects to be undertaken to provide appropriate premises for the older age range. Planning consent was given for the redevelopment of the reception space and these works have been completed. There isa further planning application that has beenBuilding.approvedThe buildingby Southwarkcosts for Councilthis willregardingbe supportedthe developmentofby the Trust. the Pre-Prep buildingand the Betws

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DULWICH PREP LONDON ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

The Plan defines investrnent initiatives and major projects in pursuit of the primary objectives. During 2023 the main premises developments were:

PUBLIC BENEFIT

The School remains committed to the aim of providing public benefit in accordance with its founding principles.

The School actively supports the attainment of the highest standards of education through rigorous and continuous evaluation of quality and performance, the application of best practice and a widespread desire to improve standards, We co-operate with local schools and educational bodies in ongoing endeavours to widen public access to the schooling provided, to optimise the use of the cultural and sporting facilities and to awaken in the pupils an awareness of the social context of the all-round education they receive at the School.

Bursaries

This year the School awarded means-tested bursaries totalling £409,120 to 25 pupils (2022: £298,547 to 22 pupils), including 19 where the bursary exceeded 70% of full fees. The School continues to refine means-testing through a rigorous and detailed process which includes a home visit.

Sharing our facilities and resources

The School has engaged in a range of partnerships with local maintained schools, making facilities available to those schools and including them in teaching and educational events. Our regular French and Italian language and cultural schools on Saturdays returned in the academic year 2021/22.

The School is currently involved in several initiatives, including support of a primary school, Paxton Green School, part of the Gipsy Hill Federation, with the involvementof senior management, the recruitment and training of teachers and the provision of a music outreach programme. Local schools and sports clubs also use the playing fields, swimming pool (and swimming teacher) and sports hall ona regular basis.

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DULWICH PREP LONDON ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

Charitable fundraising

Pupil fundraising for charitable causes is encouraged and is strongly underlined by the School's values. Highlights from 2022/23 include:

The School does not engage with any external third-party fundraisers. There have been no complaints in the period regarding inappropriate or intrusive contact in relation to fundraising activities,

PENSIONS

TheSchool withdrew from the Teachers’ Pension Scheme with effectfrom | September 2021 and joined the Aviva Pension Trust for IndependentSchools. Teaching staff also became part of a salary sacrifice scheme, which means that all pension contributions were paid by the employer in the year for the teachers.

CHANGES TO FACILITIES

In February 2021, the Trust signed agreements with the Dulwich Estate for 50-year lease extensions until 2081 for the school sites at 38-42 Alleyn Park, Grange Lane and the Early Years. In January 2022, the School entered into new lease agreements with the Trust for these properties and certain other properties owned by the Trust and used by the School. The leases between the School and the Trust are on substantially similar terms (as to rent review and duration) to the leases between the Trust and the Dulwich Estate.

SAFEGUARDING

The School has its own designated Safeguarding Governor and there is regular communication and meetings between this Governor and the School's Designated Safeguarding Lead ("DSL"). The DSL reports to the Governing Body oncea term, there is an annual safeguarding audit and the Single Central Record is inspected by the Safeguarding Governor on a termly basis. All Governors receive full safeguarding training when they join the Governing Body. All are required to scrutinise and approve the School's Safeguarding (Child Protection) Policy annually,

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Whilst the Governors are respectful of the boundary between governance and management, they normally exercise appropriate oversight of safeguarding and are deliberately more visible to staff and parents, by attending many school events and getting to know not just the Head Master and Senior Leadership Team, but staff in all areas of the School.

As well as modelling a culture of greater openness, Governors have in recent years prioritised changes to make the School not only compliant but, on broader practical and cultural levels, a safer place for the pupils.

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DULWICH PREP LONDON ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

EMOTIONAL WELL-BEING AND MENTAL HEALTH

The School places great importance on the quality of its pastoral support and has a full-time counsellor on site. The Counsellor provides child mental health awareness to parents and staff. The School has developed a well-being suite to provide a calm and relaxing space for the children to visit. The Counsellor runs | :1 sessions with a few pupils as the need is identified. The School has trained a number of staffas mental health first aiders to support both the pupils and their colleagues. There is wide reaching pastoral support, which is led by the Heads of Sections.

ACHIEVEMENTS AND PERFORMANCE

In 2023, 96 Year 6 and 8 boys went on to 27 different senior schools (2022: 98 and 26): all destinations 47)can scholarshipsbe seen on theandSchoolawards. website. The SchoolThe Yearhas 5 toalways8 leaversconsideredof 2023the receivedimportancea totalof aofferbroad of 42education (2022: alongside academic achievement and over half of the awards offered by these senior schools were for art, design and technology, music or sport. The Independent Schools Inspectorate (“ISI”) visited in September 2022 to conduct a Compliance inspection, The School metall the standards. In October 2018 the ISI visited the School to conducta Focused Compliance and Educational Quality Inspection on the School. All eight standards required under the compliance section were met; in respect of the educational quality element of the Inspection, the School achieved the highest grade: ‘Excellent’. The Department for Education has approved a material change to adjust the age range of the school from 3-13 to 2-16, The School competed in a number of competitive sports fixtures. In the Summer Term, the Schaol won the UI | London Schools Swimming Association Championship and competed in the Athletics Finals at Battersea Park.

There was a range of drama performances including School of Rock and the Year 8 drama projects.

Music remains very strong at the School. Throughout the year, the School held regular Pupil Concerts and seasonal events in the School Concert Hall. The School also had a Christmas Service at Southwark Cathedral, a Spring Choral Concert at Southwark Cathedral and a Summer Serenade on the School grounds, Three sessions of face to face ABRSM and Trinity College music exams took place with a near 100% pass rate and a high percentage of merit and distinction passes.

The School ran a variety of different single day and residential trips, including:

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DULWICH PREP LONDON ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023 aa

FINANCIAL REVIEW

The income for the year was £1 6,910,969 (2022: £1 5,963,001) and expenditure of £1 6,646,357 (2022: £16,091 ,644). The net book value of fixed assets amounted to £2,170,908 (2022: £1,521,744).

In addition to the income it receives in respect of school fees the School seeks to enhance its income through letting its facilities and through rents received for residential property. Besides casual lettings of sports facilities, classrooms and halls, the School also operates a holiday activity club, AVP, which provides a wide variety of holiday activities for children between the ages of 4 and | I.

In the year, the School donated £770,000 to its parent Trust, Dulwich Preparatory Schools Trust, leading to a surplus for the year of £220,412. This cost is included within the expenditure for the year. This donation was made from surpluses relating to 2021-22. The Trust supports the School with development of the School's assets.

Reserves

The Governors aim to maintain a positive level of overall reserves and for the unrestricted reserves, excluding the pension reserve, to be maintained at the approximate level of at least one month's expenditure to meet the day to day running costs of the School and the costs associated with the maintenance of the fabric of its buildings. This will allow the School to ensure sufficient liquidity for normal operations.

Unrestricted reserves held at the year-end totalled £3,439,697 (2022: £3,254,285), The year end funds were sufficient to cover two months’ expenditure of the day to day running costs of the School.

Following the end of the academic year the School operates an ongoing policy of donating any excess surplus to the Trust to permit capital expenditure in supportof the Trust's schools. In evaluating the amount of any donation, the School's Governing Body need to balance its objectives of supporting the forTrusteducation. with those of maintaining the viability of the School and deliveringits other charitable objectives

lt is clear that the transfer of surpluses is ultimately at the discretion of the Governing Body so as not to prejudice the Governors’ obligations to the School as directors. Therefore, the School has a free reserves policy which is formally assessed at least annually as part of the preparation of the financial results. This also provides comfort that any donation being made is covered by distributable profits in accordance with Company Law requirements.

Going concern

Having assessed the School's financial position, its plans for the foreseeable future, the risks to which it is exposed and the support available from the parent Trust, the Governors are satisfied that it is appropriate to prepare the statements on a going concern basis.

Post balance sheet events

There were no post balance sheet events.

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DULWICH PREP LONDON ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

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PRINCIPAL RISKS AND UNCERTAINTIES

The Governors consider (i) the current economic and political turbulence, especially that arising from the cost of living crisis and changes to the taxation regime as they affect schools, (ii) the affordability of fees for parents and (iii) senior school entrance procedures across the independent sector, to be the principal risks faced by the School. Pupil numbers were marginally higher in 2022/23 than in 202 I/22butthereis no room for complacency. Fees were increased in September 2022 by 5% to support increase in costs.

Health and Safety is always a significant area for risk management. The risks range from pandemic, fire and infrastructure to personal risks (most notably when away from the campuson trips and expeditions), The level and breadth of activity at the School is impressive and the risks associated with all activities are minimised by thorough planning and risk assessment.

Detailed consideration of risk is undertaken for the School by the Governors, in conjunction with the Head Master, Bursar and Senior Leadership Team. A risk register is maintained, reviewed termly by the Governors and updated as necessary. The risk management process and the resulting register identify risks, assess their impact and likelihood and, where necessary, recommend controls to mitigate and monitor those risks which are assessed as high.

The generic controls used by the School to minimise risl include:

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The Governors regularly review the effectiveness of current plans and strategies for managing all
identified major risks for the School.
Approved by the Governing Body of Dulwich Prep London, including, in their capacity as company
directors, approving the Directors’ and Strategic Report contained therein, and signed on its behalf by:
EK Kellei
Chalrrfian
Date: (> S WAL Jo Lae
J)
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DULWICH PREP LONDON INDEPENDENT AUDITORS REPORT FOR THE YEAR ENDED 31 AUGUST 2023

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF DULWICH PREP LONDON

Opinion

We have audited the financial statements of Dulwich Prep London, the ‘charitable company’ for the year ended 31 August 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including 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:

Basis for opinion

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

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the governors’ 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 governors with respect to going concern are described in the relevant sections of this report.

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DULWICH PREP LONDON INDEPENDENT AUDITORS REPORT FOR THE YEAR ENDED 31 AUGUST 2023

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Other information

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

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors’ report included within the governors’ report.

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

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DULWICH PREP LONDON INDEPENDENT AUDITORS REPORT FOR THE YEAR ENDED 31 AUGUST 2023

Responsibilities of Governors

As explained more fully in the governors’ responsibilities statement set out on page 4, the governors (whoare also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the governors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion, Reasonable assurance is a high level of assurance, butis nota guarantee that an audit conducted in accordance with ISAs (UI<) 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.

Details of the extent to which the audit was considered capable of detecting irregularities, including fraud and non-compliance with laws and regulations are set out below.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www. fre.org.ul/auditorsresponsibilities. This description forms part of our auditor’s report.

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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficientand appropriate to provide a basis for our opinion.

We obtained an understanding of the legal and regulatory frameworks within which the charitable company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006, the Charities Act 201 I, taxation legislation, together with the Charities SORP (FRS 102). We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items.

In addition, we considered provisions of other laws and regulations that do not havea direct effect on the financial statements but compliance with which might be fundamental to the charitable company's ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charitable company for fraud.

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DULWICH PREP LONDON INDEPENDENT AUDITORS REPORT FOR THE YEAR ENDED 31 AUGUST 2023 a ,

The laws and regulations we considered in this context for the UI¢ operations were The Education (Independent School Standards) Regulations 2014, the General Data Protection Regulation (GDPR), Health and safety legislation and employment legislation.

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Governors and other management and inspection of regulatory and legal correspondence, if any.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the override of controls by management. Our audit procedures to respond to these risks included enquiries of management and the Finance Committee about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting estimates for biases, reviewing any regulatory correspondence with the Charity Commission, Independent Schools Inspectorate, Ofsted and reading minutes of meetings of those charged with governance.

Owing to the inherent limitations of an audit, there is an unavoidablerisk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed noncompliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

Use of our report

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

Tina Allison Senior Statutory Auditor For and on behalf of Crowe U.I¢. LLP Statutory Auditor London Date 28 May 2024

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DULWICH PREP LONDON STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2023 (Incorporating an income and expenditure account)

Unrestricted Restricted Total Total
Notes , funds funds
2023 2023 2023 2022
Income from:
Charitable activities: £ iL £ £
School fees receivable 2 15,636,968 . 15,636,968 15,013,923
Other educational income 3 880,670 - 980,670 673,758
Ancillary income 4 235,209 5,000 240,209 198,832
Other trading activities
Non-ancillary trading income 5 78,050 - 78,050 70,310
Investments
Bank and other interest 39,572 ” 39,572 2,087
Voluntary sources
Donations and legacies - 35,500 35,500 4,091
Total income 16,870,469 40,500 16,910,969 15,963,001
Expenditure on:
Raising funds
Financing costs 6 (16,041) - (16,041) (20,552)
Charitable activities
Education 6 (16,624,816) (5,500) (16,630,316) (16,071,092)
Total expenditure (16,640,857) (5,500) (16,646,357) — (16,091,644)
Net income 229,612 35,000 264,612 (128,643)
Pension scheme actuarial (loss)/gain 16 (44,200) - (44,200) 91,800
Net movement in funds for the year 185,412 35,000 220,412. (36,843)
Fund balances b/fwd
 Sept 2022 15 3,254,285 3,591 3,257,876
Fundbalancesc/fwd31Aug2023 3,439,697 38,591 3,478,288 3,257,876

The notes on pages 20 to 30 form part of these financial statements

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DULWICH PREP LONDON BALANCE SHEET

AS AT 31 AUGUST 2023

a a a a a a a a a a a
Notes 2023 2022
£
£		 t £
FIED ASSETS
Tangible assets 9 2,170,907 1,521,744
CURRENT ASSETS
Debtors 10 4,152,626 3,847,984
Cash at bank and in hand 1,029,843 1,605,469
5,182,469 5,453,453
CREDITORS: A
ts
falling
d
_
nee
within one year		 I (3,875,088) (3,717,321)
NETCURRENTASSETS 1,307,381 1,736,132
TOTAL ASSETS LESS CURRENT
°
LIABILITIES 3,478,288 3,257,876
CREDITORS: amounts
more than
 year fallingdue after 12
NETASSETS EXCLUDING
PENSION SCHEME LIABILITY 3,478,288 3,257,876
Defined benefit pension scheme liability 16 . -
NET ASSETS INCLUDING
PENSION SCHEME LIABILITY 3,478,288 .
3,257,876
7
CHARITY FUNDS
Unrestricted funds excluding pension
reserve		 15 3,439,697 3,254,285
Pension reserve 16 - -
Restricted funds 15 38,591 3,591
TOTAL FUNDS 3,478,288 3,257,876
The financial statements, were approved py fe Governors ontgMay2024 and signed on their behalf by:
E K Kelleher
ChairmanofBoard
The notes on pages Z0 th
30 form
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ViceChairman ofBoard
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DULWICH PREP LONDON STATEMENT OF CASH FLOVY FOR THE YEAR ENDED 31 AUGUST 2023

Note 2023 2022
£ £ £ E
Net cash inflowfrom operations
Net cash provided by/(used in) operating activities (i) 306,652 (16,211)
Cash flows from investing activities:
Additions to fixed assets (921,850) (725,277)
Investment income and bank interest received 39,572 2,087
Net cash (used in) investing activities (882,278) (723,190)
Change in cash and cash equivalents in the reporting (575,626) (739,401)
period
Cash and cash equivalents at the beginning of period 1,605,469 2,344,870
€ash and cash equivalents atthe end ofthe
reportingperiod (ii) 1,029,843 1,605,469
The notes on pages 20 to 30 form part of
thesefinancialstatements

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DULWICH PREP LONDON STATEMENT OF CASH FLOW FOR THE YEAR ENDED 31 AUGUST 2023

2023 2022
€ £ i £
(i) Reconciliation ofnet income to net cash
flowfrom operating activities
Net incoming/(outgoing) resources 264,612 (128,643)
Elimination ofnon-operating cash flows:
Depreciation and amortisation charges 262,878 180,349
Loss on Disposal ofFixed Assets 9,810 -
Investment income and bank interest received
(39,572) (2,087)
(Increase) in debtors (304,643) (125,310)
Increase in creditors (excluding fees in advance
scheme and deposit) 166,196 21,653
Increase in fees in advance scheme creditors 52,561 44,227
(Decrease)/Increase in parents’ deposits (60,990) 26,100
Difference between pension contributions paid
and charges made (44,200) (32,500)
42,040 112,432
Net cash (outflow)/inflowfrom operations 306,652 (16,211)
2.023 2022
£ £
(ii) Analysis ofcash and cash equivalents
Cashatbankandinhand 1,029,843 1,605,469

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DULWICH PREP LONDON NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

eee

| ACCOUNTING POLICIES

1.1 Basis of preparation

The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Companies Act 2006 and the 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 accounts are drawn up on the historical cost basis of accounting.

The School is a Public Benefit Entity registered as a charity in England and Wales (charity number: 1174356 and a company limited by guarantee, (company number: 10814894). Its registered office is 42 Alleyn Park, Dulwich, London SE21 7AA, The charitable company started trading on | September 2017.

The ultimate parent company and controlling party of Dulwich Prep London is Dulwich Preparatory Schools Trust ("the Trust”), a charitable company incorporated in the United Kingdom (company number: 00579923). The accounts of the School have been consolidated into the ultimate parent entity's financial statements. Copies of these financial statements can be obtained from the registered office, 42 Alleyn Park, Dulwich, London SE2I 7AA, Control is exercised by the parent company by virtue of board representation.

The principal activity of the Trust is the operation of preparatory schools at Dulwich London and at Cranbrook Kent. The objects of the Trust are the advancement of education primarily by the provision and conduct of schools in Dulwich and Cranbrook for boys and girls and by ancillary or incidental educational activities and other associated activities for the benefit of the communities.

1.2 Going Concern

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Having reviewed the cash position of the School together with the expected ongoing demand for places and the School's future projected cash flows, the Governors have a reasonable expectation that the School has adequate resources to continue its activities for the foreseeable future and consider that there were no material uncertainties over the Schools’s financial viability. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.

1.3 Critical accounting judgements and key sources of estimation uncertainty

In the application of the accounting policies, Trustees are required to make judgement, estimates, and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

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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 if the revision affects only that period, or in the period of the revision and future periods if the revision affected current and future periods.

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DULWICH PREP LONDON NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

| ACCOUNTING POLICIES (CONTINUED)

1.3 The School's liability for the Non-Teaching Staff defined benefit pension scheme involves a number of cont'd assumptions as disclosed in note 16.

The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the School's financial statements. In the view of the Governors, no other assumptions concerning the future or estimation uncertainty affecting assets or liabilities at the balance sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year.

1.4 Income

All income is included in the statement of financial activities when the School has entitlement to the funds, receipt is probable and the amount can be measured with sufficient reliability. Fees consist of charges for the school year ending August, less bursaries and allowances. Fees received in advance are deferred and released to income in the period to which the fees relate. Grant income is recognised as and when entitlement arises, when it can be reliably quantified and benefit is probable.

1.5 Expenditure

Expenditure is accrued as soon as a liability is considered probable, discounted to present value for longerterm liabilities, and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activities they have been allocated on a basis consistent with the use of the resources,

Support costs include all costs relating co management, administration and running the functions of the School. Governance costs are those incurred in connection with administration of the charitable company and compliance with constitutional and statutory requirements.

1.6 Tangible fixed assets

Fixed assets costing more than £500 are capitalised. Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases.

Leasehold improvements - 2% straight line Motor vehicles - 25% reducing balance Fixtures and fittings - 10% straight line Computer equipment - 25-50% straight line

1.7 Fund accounting

Unrestricted Funds are the accumulated surplus on the School's income and expenditure account which is available for use at the discretion of the Governors in furtherance of the general objectives of the charity including supporting the Trust.

Restricted Funds may only be spent on the charitable purpose specified by the donor.

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DULWICH PREP LONDON NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

eet

| ACCOUNTING POLICIES (CONTINUED)

Retirement benefits to employees of the School were provided in the year through two pension schemes (Teachers and Non-Teachers), both defined contribution schemes, replacing two defined benefit schemes. The schemes are as follows:

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Aviva Pension Trust for Independent Schools (APTIS) Teachers Pension plan, which Dulwich Prep London joined with effect from September 2021. This is a defined contribution group personal pension plan, replacing the teachers defined benefit group (TPS). Employer's pensions costs are charged in the period in which the salaries to which they relate are payable. The Dulwich Preparatory Schools Trust Non-Teaching Staff Group Personal Pension plan, which Dulwich Prep London joined with effect from January 2005. This is a defined contribution group personal pension plan with Aviva. Employer's pensions costs are charged in the period in which the salaries to which they relate are payable. The Dulwich Preparatory Schools Pension Scheme. This is an occupational defined benefit scheme for nonteaching staff. The scheme closed on 31 December 2004 so there are no current service costs other than administration expenses which are borne directly by the Schools. The expected return on the scheme assets less the scheme interest costs are credited within other interest. The scheme actuarial gains and losses are recognised immediately as other recognised gains and losses. The defined benefit scheme assets are measured at fair value at the balance sheet date. Scheme liabilities are measured on an actuarial basis at the balance sheet date using the projected unit method and discounted ata rate equivalent to the current rate of return ona high quality corporate bond of equivalent term to the scheme liabilities. The resulting defined benefit asset or liability is presented separately after other net assets on the face of the balance sheet.

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1.10 Financial instruments
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Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised cost, Financial assets held at amortised cost comprise cash at bank and in hand, together with trade and other debtors. A specific provision is made for debts for which recoverability is in doubt. Cash at bank and in hand is defined as all cash held in instant access bank accounts and used as working capital. Financial liabilities held at amortised cost comprise all creditors except social security and other taxes and provisions.

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DULWICH PREP LONDON NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

2 FEES RECEIVABLE 2023 2022
£ £
Fees receivable consist of:
School fees 16,197,659 15,440,731
Less: total awards and concessions (560,691) (426,808)
15,636,968 15,013,923
Included within awards and concessions are means-tested bursaries totalling £409,120 which were paid
to 25 pupils (2022: £298,547 for 22 pupils).
3 OTHER EDUCATIONAL INCOME 2023 2022
£ £
Entrance and registration fees 38,251 40,275
Extra-Curricular activities 529,860 348,820
Courses and sub-lettings 179,883 177,759
AVP sports activities income 132,676 106,904
880,670 673,758
4 ANCILLARYANDOTHER INCOME 2.023 2022
£ £
School trips, School shop, and Other income 240,209 198,832
5 OTHERTRADING ACTIVITIES 2.023 2022
£ £
Rentsreceivable 78,050 70,310

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DULWICH PREP LONDON NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

aeeeeeeeeSeSeSFSFSSSSSSSSSSSSSSSSSSSSSSeSSsSseeeeeeeee

6 ANALYSIS OF EXPENDITURE

Staffcosts Depreciation Depreciation Other costs Total Total
(Note 7) (Note 9) 2023 2022
Raisingfunds é £ £ £ £
Financing costs (3,000) - 19,041 16,041 20,552
a
Total costs ofraisingfunds (3,000) - 19,041 16,041 20,552
Charitable expenditure
Teaching 7,458,604 - 1,335,975 8,794,579 8,260,518
Welfare 77,079 . 1,284,594 1,361,673 1,239,952
Premises 554,174 262,878 2,699,761 3,516,313 3,463,834
Support costs 1,620,157 . 567,094 2,187,251 2,006,788
Donations to parent entity ae - 770,000 770,000 1,100,000
Total
charitabl
eee
expenditure		 9,710,014 262,878 6,657,424 “16,630,316 ‘16,071,092
Total expenditure a
ne
ee
9,707,014
262,878
6,676,465
16,646,357
16,091,644
a
I
Governance included in support costs: 2023 2022
£ £
Governor costs 6,486 6,051
Legal & Consultancy fees - -
Remuneration paid to auditor for audit services 19,560 16,800
7 STAFF COSTS 2023 2022

£
£
i
The aggregate payroll costs for the yearwere as follows:
Wages and salaries 7,423,335 7,002,423
Social security costs 776,257 744,858
Other pension costs 1,507,422 1,433,029
9,707,014 9,180,310

The total employment costs of key management personnel, who are considered to consist of the Headmaster and the Bursar were £280,562 (2021/22 £268,393) including pension contributions of £36,475 (2021/22 £35,866).

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DULWICH PREP LONDON NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

i

7
STAFF COSTS (Continued)
2.023 2022
Number of higher paid employees in bands of:
£60,001 to £70,000 7 8
£70,001 to £80,000 4 4
£80,001 to £90,000 3 2
£120,001 to £130,000 °
£130,001 to £140,000 I “
Thenumberwith retirement benefitsaccruing
- in Defined Contribution schemeswas		 15 15
ofwhich the contributions amounted to £251,729 £255,895
- in Defined Benefit schemes was - %
The average number of the School's employees during the year, calculated on headcount, was:
2023 2022
Teaching Hl 110
Domestic and estates 17 15
Administrative 81 75
209 200

During the year there were no redundancy or termination payments (2021/22 £28,932).

§ TRUSTEE COSTS AND RELATED PARTY TRANSACTIONS

During the year no Governors received any remuneration or travel and subsistence expenses (2021/22 travel and subsistence expenses £53).

In 2022/23 the School donated £770,000 to the Trust (2021/22 £1,100,000).

The School donated staff time to the Trust totalling £18,676 (2021/22 £18,164) which has been recognised in these accounts as other costs.

The School paid the Trust rental income of £1,851,694 for the use of it's premises (2021/22 £1,765,988).

Cash resources for the Group are managed centrally by the Trust and as a consequence £3,700,046 was owed by the Trust at 31 August 2023 (2021/22 £3,477,053)

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DULWICH PREP LONDON NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

seeee ee, 9 TANGIBLE FIXED ASSETS

9 TANGIBLE FIXED ASSETSASSETS 9 TANGIBLE FIXED ASSETSASSETS
Leasehold
i
Improvements		 Furniture
.
Fixtures and
;
Equipment		 Computer
Equipment		 ;
Vehicles		 Total
£ £, é £ £
Cost
At
 September 2022 726,647 1,585,962 1,104,281 68,683
Additions 314,721 223,755 337,455 45,918 921,850
Disposal in the year (6,240) (971,496) (477,541) 0 (1,455,277)
At 31 August 2023 1,035,129 838,221 964,196 114,601 2,952,147
Depreciation
At
 September 2022 18,800 1,144,461 763,207 37,361
Charged in year 17,899 77,513 151,907 15,559 262,878
Disposal in the year (180) (969,752) (475,535) 0 (1,445,467)
At 3] August 2023 36,519 252,221 439,579 52,920 781,239
Net book values
At 31 August 2022
3		 707,847
998,610		 441,501
585,999		 341,074
524,617		 31,322
61,681		 1,521,744
2,170,907
10 DEBTORS 2023 2022
£ é
Fee debtors 131,921 55,542
P Sundry debtors 118,731
Prepayments and accrued income 201,928 218,850
Amounts due from parent undertaking 3,700,046 3,477,053
4,152,626 3,847,984
Il CREDITORS: amounts falling due within one year 2023 2022

f
£

Trade creditors
715,153
633,704
Social securityand other taxation 205,986 199,105
Fees in advance 1,449,581 1,397,020
Other creditors 24,861 36,817
Feedeposits
Accruals and deferred income		 1,369,525
109,982		 1,430,515
20,160
3,875,098 3,717,32

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DULWICH PREP LONDON NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

a

a a a
12 FEES IN ADVANCE 2023 2022
£ £
Within one year 1,449,581 1,397,020
Within one to two years ” -
Movements in fees in advance
Opening fees in advance 1,397,020 1,352,793
Amountreleased toincome during the year (1,397,020) (1,352,793)
Amount deferred during the year 1,449,581 1,397,020
1,449,581 1,397,020

13 OPERATING LEASE COMMITMENTS

At 31 August 2023 the Company had future minimum lease payments under non-cancellable operating leases as

follows:

follows:
Land and Other Land and Other
Buildings ;
Buildings
2023 2023 2022 2022
£ £
Within
 year 1,728,399 53,455 1,601,694
Between 2 and 5 years 8,079,535 282,823 7,843,124 11,686
After more than 5 years 106,996,930 - 109,015,740 -
The charge in the yearwas £1,674,013 (2021/22 £1,842,311).
SUMMARY OF MOVEMENTS ON MAJOR FUNDS
he
t
September
2022		 Incoming
resources		 Resources
expended		 Losses At 31 Auguste
2023
Unrestricted Funds 3,254,285 16,870,469 (16,640,857) (44,200) 3,439,697
Restricted Funds 3,591 40,500 (5,500) 0 38,591
3,257,876 16,910,969 (16,646,357) (44,200) 3,478,288

14 SUMMARY OF MOVEMENTS ON MAJOR FUNDS

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DULWICH PREP LONDON NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

15 SUMMARY OF NET ASSETS BY FUNDS

Unrestricted Restricted
Total Funds
Funds Funds
2.023 £ £ £
Tangible Assets 2,170,907 - 2,170,907
Net Current Assets 1,268,790 38,591 1,307,381
LongTerm Creditors “ - -
3,439,697 38,591 3,478,288
2.022
Tangible Assets 1,521,744 - 1,521,744
Net Current Assets 1,732,541 3,591 1,736,132
LongTerm Creditors - - -
3,254,285 3,591 3,257,876

16 PENSION SCHEMES

Aviva Pension Trust for Independent Schools (APTIS)

Dulwich Prep London joined the Aviva Pension Trust for Independent Schools (APTIS), a defined contribution scheme, for their teaching staff with effect from | September 2021. The pension charge for 2023 for the year including contributions payable to APTIS in respect of salary sacrifice was £1,1 78,803 (2021/22 £1,148,900) and at the year-end £101,613 (2021/22 £94,277) was accrued in respect of contributions to this scheme.

Aviva Support Staff Group Personal Pension plan

The pension cost charge in the year in respect of the support staff defined contribution scheme was £214,611 (2021/22 £190,869).

The Dulwich Preparatory Schools Pension plan

The parent Trust operated this Scheme, a defined benefit contribution pension plan, which was closed to new entrants from | January 2005, both in respect of new members and accrual for existing members.

On Ist September 2017 the Trust transferred the obligations to contribute to the Scheme to each of the Schools in proportions determined by the actuary based on the staff who participated in the scheme. The valuation in these accounts uses that proportion and has been derived by projecting the results of the last comprehensive actuarial valuation of the Scheme as at | January 2018 and has been prepared by an independent qualified actuary.

,

28

DULWICH PREP LONDON NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

16 PENSION SCHEMES (Continued)

Following the latest actuarial valuation a revised Schedule of Contributions was agreed between the Trust, the Schools and the Scheme Trustees with the aim of eliminating the deficit over a period of 5 years from | January 2021. Under this Schedule of Contributions the School expects to contribute £41,220 to the Scheme in 2023/24 (2022/23 £41,220).

The FRS102 calculation by the actuary calculated a scheme surplus of £113,500 (2022/23 £47,000). However, in accordance with paragraph 28.22 of FRS102, an entity shall recognise a plan surplus as a defined benefit plan asset only to the extent that it is able to recover the surplus either through reduced contributions in the future or through refunds from the plan. As such, it is not probable that any current surplus will lead to economic benefits being transferred to the entity as there are many variables which are lilely to impact the value of the surplus in the period until the scheme is wound-up. The net pension asset has been restricted and therefore becomes f£nil.

a) The amounts recognised in the balance sheet are as follows: 2023 2022
£ ft
f Presentvalue offunded obligations (573,100) (630,200)
Fair value ofscheme assets 686,600 677,200
Restriction on recoverable surplus (113,500) (47,000)
Net , z
b) Changes in the present value of the defined benefit 2023 2022
obligati
gation		 £ f
Opening defined benefit obligation 630,200 725,300
Interest cost 25,600 12,100
Actuarial (gains)/losses (69,400) (101,900)
Benefits paid (13,300) (5,300)
Closingdefinedbenefitobligation 573,100 630,200

29