Charity number: 1190556 Company Number: 11740783
Clervaux Garden School (A Company Limited by Guarantee)
Trustees’ report and financial statements for the year ended 31 August 2020
1
CLERVAUX GARDEN SCHOOL
CONTENTS
| Page |
|---|
| Legal and administrative information 1 |
| Report of the Trustees 2 |
| Statement of Trustees’ Responsibilities 8 |
| Independent Auditor’s report to the Trustees 10 |
| Statement of Financial Activities 13 |
| Balance Sheet 14 |
| Notes to the Financial Statements 15 |
2
CLERVAUX GARDEN SCHOOL
LEGAL AND ADMINISTRATIVE INFORMATION
Registered office Ruskin Mill Millbottom Nailsworth Stroud Gloucestershire GL6 0LA
Principal office Clow Beck Centre Jolby Lane Croft-on-Tees North Yorkshire DL2 2TF
Trustees
H M Kippax C A Hindmarsh L Bown O Cheney Constantin Court
Company Secretary Elisabeth Johnson
Key Management Personnel
Aonghus Gordon – Founder and Executive Chair Tara Gratton – Director of Schools and Rise Shazuli Iqbal – Chief Financial Officer Constantin Court – Director of PSTE Quality Assurance Lindsay Wilkinson – Trust Head of Human Resources
Auditors
Grant Thornton UK LLP The Colmore Building 20 Colmore Circus Birmingham B4 6AT
Bankers
Lloyds Bank Plc 12 Rowcroft Stroud Gloucestershire GL5 3BD
Solicitors
Royds Withy King LLP 69 Carter Lane London EC4V 5EQ
1
CLERVAUX GARDEN SCHOOL
REPORT OF THE TRUSTEES
The Trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year to 31 August 2020.
• Governing document
Clervaux Garden School is a registered charity (registered no. 1190556) and a company limited by guarantee (registered no. 11740783), as defined by the Companies Act 2006. Its Governing Instrument is the Memorandum and Articles of Association dated 24 December 2018, as amended on 20 April 2020. Clervaux Garden School was registered as a charity on the 24 July 2020.
STRUCTURE, GOVERNANCE AND MANAGEMENT
• Group Structure
Ruskin Mill Trust Limited is the sole member of Clervaux Garden School. Clervaux Garden School is part of the Ruskin Mill Trust Group.
Clervaux Garden School sub-leases from Ruskin Mill Land Trust (related party) the Clow Beck Centre and its surrounding 33 acres of land and 70 acres of adjoining farmland, for the purposes of a specialist school and children’s home delivering therapeutic education and work experience services for children and young people with special educational needs, both day and residential.
The registered office of Clervaux Garden School is Ruskin Mill, Millbottom, Nailsworth, Stroud, GL6 0LA and the principal office is Clow Beck Centre, Jolby Lane, Croft on Tees, Darlington, DL2 2TF.
• Recruitment and appointment of new Trustees
The charity’s practice regarding recruitment has been for members of the Board to make recommendations for suitably skilled and experienced people who are then appraised by Ruskin Mill Trust’s Board of Trustees, which makes the final decision.
Induction and training are carried out during the meeting cycle, and members are also invited to training at Ruskin Mill Trust’s other centres. During the year, individual Trustees undertook a range of appropriate training.
• Organisational Management
The Trustees delegate the day-to-day running of the school and children’s home to a local management team which oversee operations and report to Ruskin Mill Trust’s Director of Schools and Rise. The key management personnel are listed on page 1.
2
CLERVAUX GARDEN SCHOOL
The Trustees did not receive any remuneration from Clervaux Garden School in the current or previous period.
• Directors and Trustees
The Trustees during the period are listed on page 1.
OBJECTS AND AIMS
• Objects
The charity’s objects are:
To advance the education of young people with learning difficulties and/or behavioural problems and/or mental health issues and/or having suffered trauma and/or having special educational needs including those with autistic spectrum disorder by providing training and educational provision in the areas of arts, crafts, agriculture and environmental sciences based upon the indications and insights of Rudolf Steiner in these areas, in particular (but not exclusively) at an independent Special School and Children's Home. To conduct and promote research and study into the practice and development of those areas of education provided that the useful results of such work are disseminated to the public at large.
• Aims
Clervaux Garden School offers day and residential places in Darlington and the wider area to children and young people with complex learning and behavioural difficulties. Using Ruskin Mill Trust’s method of Practical Skills Therapeutic Education children have the opportunity to learn in the rural setting of the Clow Beck Centre farm at Croft-on-Tees, which provides sessions in crafts and land work. Clervaux Garden School provides a nourishing and therapeutic environment for students who have been failed by previous educational establishments.
Clervaux Garden School opened with its first pupil in February 2020. However, due to the Covid-19 pandemic, it has not yet fully functioned as a school. The school has the capacity for 20 pupils and aims to grow over the next 12 months to increase day and residential pupil numbers.
• Public benefit
In carrying out its activities in the year under review, the Trustees confirm that they have complied with their duty under Section 17 of the Charities Act 2011 to have regard to the public benefit guidance issued by the Charity Commission for England and Wales.
3
CLERVAUX GARDEN SCHOOL
STRATEGIC REPORT
• Achievements & Performance
Clervaux Garden School achieved registration in December 2019 and opened with its first pupil in February 2020. Over the year, the school has continued to take in new pupils. Growth has been slow because of the impact of the Covid-19 pandemic, but the school has remained consistently open providing both on-site and remote education to pupils. Situated on a 100-acre biodynamic farm, the school’s innovative and holistic curriculum has enabled pupils who have otherwise struggled in mainstream and/or indoor school settings to engage and thrive.
A focus of the first academic year has been to review and streamline assessment, planning and recording processes as well as work with staff to deliver training.
The school’s designated children’s home received registration in May 2020.
• Financial Review
o Results
Trustees value the deficit of £240,010 made during the period to 31 August 2020 (2019: £74,738). The total income for Clervaux Garden School relates to fees.
o Fundraising
-
Fundraising throughout the Ruskin Mill Trust Group is managed by an inhouse Fundraising Department which is led by a Director of Fundraising. No use is made of any external, professional fundraiser or any commercial participator, so no fundraising activities were carried out on Clervaux Garden School’s behalf during the year nor were any approaches made to vulnerable individuals in pursuit of the raising of funds for the charity.
-
Clervaux Garden School’s parent charity, Ruskin Mill Trust, has signed up to the Fundraising Regulator’s Code of Fundraising Practice and it pays an annual levy to the Regulator. During the year there was no failure to comply with a scheme or standard cited nor were any complaints received about the fundraising activities conducted by the Ruskin Mill Trust.
-
Money raised by Clervaux Garden School through fundraising activities are used by it as agreed with the donor and comply with any conditions attached by the donor.
4
CLERVAUX GARDEN SCHOOL
o Reserves
The Trustees review the charity’s financial plans and results regularly throughout the year. This is done through monitoring income and expenditure against budget forecasts and monitoring cash flow
The Trustees feel it prudent to build the level of reserves on an annual basis with the purpose of ensuring that the charity has sufficient reserves to act as a buffer against unexpected drops in income or increases in expenditure. The reserves currently held are restricted funds -£314,747 (2019: -£74,738) and unrestricted funds £Nil (2019: £Nil).
• Risks and Uncertainties
The Trustees review the risks to which the charity is exposed such as the health and safety of service users, visitors, volunteers and staff on an on-going basis and are satisfied that systems are in place to manage exposure to the major risks. They maintain appropriate levels of insurance cover for all foreseeable risks.
Specific areas of risk and uncertainty are:
o Financial Viability:
Clervaux Garden School has had slow growth in the first year because of the Covid-19 pandemic. The result is that numbers of pupils are below budget and it may be harder to recruit new pupils in the following year as the school has not had the opportunity to fully demonstrate success. The risk will be mitigated through a practice marketing approach, reaching out to parents and local authorities in the area. The Covid-19 pandemic has had little impact on Clervaux Garden School, the school has been able to remain open during this time and has continued to provide SEND education both via home learning and on-site.
o Poor Inspection result:
The risk of Clervaux Garden School receiving a poor grade following an inspection by Ofsted and/or Ofsted Social Care. This is being mitigated through a rigorous system of internal Quality Assurance, including use of a specialist external consultant and investment in staff training.
5
CLERVAUX GARDEN SCHOOL
o Regulatory non-compliance:
The risk of regulatory non-compliance requires constant review and the upskilling of staff and Trustees to meet an ever-changing regulatory landscape and student profile. Specifically:
-
Keeping service users safe: The potential risks associated with keeping service users across the whole of the Ruskin Mill Trust Group safe has required continued vigilance and mitigation by robust risk assessment and action plans, assessments, appropriate training, the appointment of safeguarding managers at each of the main centres and improved internal meeting and reporting arrangements. This has been further augmented by the appointment of Directors who are members of Ruskin Mill Trust’s Executive Team and to whom local Safeguarding Managers and Ruskin Mill Trust’s Head of Safeguarding and the Trust’s Head of Health & Safety report. In addition, a Trustee of Clervaux Garden School holds lead responsibility for maintaining oversight of Safeguarding and Health & Safety across the charity’s activities.
-
GDPR: Clervaux Garden School has engaged an external Data Protection Officer to oversee all data protection compliance. A rigorous programme of staff training will be implemented to ensure compliance.
-
Charity Law: To assist compliance with Charity Law, the Trustees receive regular Charity Law updates which are supplemented by advice on further provisions as they come into force.
o Staff Recruitment:
As the school has not been able to grow at the anticipated rate, it has not yet been able to recruit the number of staff as originally planned. Teachers and/or support staff may be reluctant to join a new organisation that has not yet demonstrated stability. In addition, the staff required for the roles require a very specific level of skills and expertise, which may not be easy to recruit. The SLT of the School will monitor the progress of staff recruitment closely, with focussed support from HR services.
o IT disaster:
The charity continues to monitor and improve IT cyber security arrangements to ensure a robustness and preparedness for any future attacks. Clervaux Garden School benefits from technical and MIS services and support provided by Ruskin Mill Trust’s central services.
6
CLERVAUX GARDEN SCHOOL
o Reputational Risk:
The risk of reputational harm is being mitigated through the vigilance of the charity including implementing a Code of Conduct and ensuring staff are suitably supported and trained.
o Risks to Ruskin Mill Trust Group’s Method (PSTE):
Vigilance is maintained to ensure that the Ruskin Mill Trust Group’s educational method is not compromised.
• Future Plans
The aim for the future is that the School grows to 20 pupils and, in so doing, increases the number of residential pupils. The school will continue to market in the local area and nationally to try and recruit pupils and the staff required. Trustees and Senior Managers are considering the creation of a 6[th] Form offer in Darlington which could include a range of skills training and work experience opportunities in a café and bakery setting.
7
CLERVAUX GARDEN SCHOOL
STATEMENT OF TRUSTEES’ RESPONSIBILITIES
The Trustees (who are also directors of Clervaux Garden School for the purposes of company law) are responsible for preparing the Report of the Trustees and the Financial Statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards).
Company law requires the Trustees to prepare financial statements for each financial year. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to:
-
select suitable accounting policies and then apply them consistently;
-
observe the methods and principles in the Charities SORP;
-
make judgments and estimates that are reasonable and prudent;
-
state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions, disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006 and the provisions of the charity’s constitution. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
8
CLERVAUX GARDEN SCHOOL
• Provision of information to Auditor
Each of the persons who are Trustees at the time when this Report of the Trustees is approved has confirmed that:
-
so far as that Trustee is aware, there is no relevant audit information of which the charitable company’s auditor is unaware; and
-
that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any information needed by the charitable company’s auditor in connection with preparing its report and to establish that the charitable company’s auditor is aware of that information.
Qualifying third party indemnity provisions
Directors’ indemnity insurance, indemnifying each director against liability to third parties, has been in place throughout the year ended 31 August 2020 and up to the date of approval of this report.
- Auditor
The auditor, Grant Thornton UK LLP, will be proposed for reappointment at the Annual General Meeting.
Approved by the Trustees on 15/02/2021 and signed on their behalf by:
………………………………………
Aonghus Gordon Trustee
9
CLERVAUX GARDEN SCHOOL
INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF CLERVAUX GARDEN SCHOOL
Opinion
We have audited the financial statements of Clervaux Garden School (the ‘charitable company’) for the year ended 31 August 2020, which comprise the Statement of Financial Activities, the Balance Sheet and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards including Financial Reporting Standard 102; The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the financial statements:
-
give a true and fair view of the state of the charitable company's affairs as at 31 August 2020 and of its incoming resources and application of resources including, its income and expenditure for the year then ended;
-
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-
have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We have been appointed as auditor under the Companies Act 2006 and report in accordance with regulations made under that Act. 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.
The impact of macro-economic uncertainties on our audit
Our audit of the financial statements requires us to obtain an understanding of all relevant uncertainties, including those arising as a consequence of the effects of macro-economic uncertainties such as Covid-19. All audits assess and challenge the reasonableness of estimates made by the trustees and the related disclosures and the appropriateness of the going concern basis of preparation of the financial statements. All of these depend on assessments of the future economic environment and the charitable company’s future prospects and performance.
Covid-19 is amongst the most significant economic events currently faced by the UK, and at the date of this report its effects are subject to unprecedented levels of uncertainty, with the full range of possible outcomes and their impacts unknown. We applied a standardised firm-wide approach in response to these uncertainties when assessing the charitable company’s future prospects and performance. However, no audit should be expected to predict the unknowable factors or all possible future implications for a charitable company associated with these particular events.
Conclusions relating to going concern
We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:
- the trustees' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or
10
CLERVAUX GARDEN SCHOOL
- the trustees have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charitable company's ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.
In our evaluation of the trustees' conclusions, we considered the risks associated with the charitable company's business, including effects arising from macro-economic uncertainties such as Covid-19, and analysed how those risks might affect the charitable company's financial resources or ability to continue operations over the period of at least twelve months from the date when the financial statements are authorised for issue. In accordance with the above, we have nothing to report in these respects. However, as we cannot predict all future events or conditions and as subsequent events may result in outcomes that are inconsistent with judgements that were reasonable at the time they were made, the absence of reference to a material uncertainty in this auditor's report is not a guarantee that the charitable company will continue in operation.
Other information
The trustees are responsible for the other information. The other information comprises the information included in the Trustees’ Report and Financial Statements, 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. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinion on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
-
the information given in the Strategic Report and the Directors’ Report, prepared for the purposes of company law, included in the Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the financial statements.
-
the Strategic Report and the Directors’ Report included in the Report of the Trustees have been prepared in accordance with applicable legal requirements.
Matter on which we are required to report under the Companies Act 2006
In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors’ Report included in the Report of the Trustees.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
-
adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
-
the financial statements are not in agreement with the accounting records and returns; or
-
certain disclosures of trustees' remuneration specified by law are not made; or
-
we have not received all the information and explanations we require for our audit.
11
CLERVAUX GARDEN SCHOOL
Responsibilities of trustees for the financial statements
As explained more fully in the Statement of Trustees' Responsibilities set out on pages 5 and 6, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Use of our report
This report is made solely to the charitable company’s 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.
William Devitt Senior Statutory Auditor for and on behalf of Grant Thornton UK LLP Statutory Auditor, Chartered Accountants Birmingham
Date: 31 March 2021
Grant Thornton UK LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006
12
CLERVAUX GARDEN SCHOOL
STATEMENT OF FINANCIAL ACTIVITIES
(NET INCOME AND EXPENDITURE ACCOUNT) PERIOD ENDED 31 AUGUST 2020
| Notes INCOME FROM: Donations Charitable activities Other trading activities Investment income Other TOTAL 3 EXPENDITURE ON: Raising funds Charitable activities TOTAL 4 NET INCOME AND MOVEMENT IN FUNDS RECONCILIATION OF FUNDS Total funds brought forward 17 RECONCILATION OF FUNDS Total funds carried forward 17 |
Unrestricted Funds £ - 49,948 - - - 49,948 - 299,958 299,958 (240,010) (74,738) (314,747) |
Restricted Funds £ - - - - **- ** |
Total Funds Year to 31 August 2020 £ - 49,948 - - - |
Total Funds Year to 31 August 2019 £ - - - - - |
|---|---|---|---|---|
| **- ** | 49,948 |
- | ||
| - **- ** |
- 289,958 |
- 74,738 |
||
| **- ** | 289,958 |
74,738 | ||
| **- ** | (240,010) |
(74,738) | ||
| **- ** | (74,738) |
(74,738) | ||
| **- ** | (314,747) |
(74,738) |
The notes on pages 15 to 28 form part of these financial statements
13
CLERVAUX GARDEN SCHOOL
BALANCE SHEET AS AT 31 AUGUST 2020 REGISTERED COMPANY NUMBER: 1740783
| FIXED ASSETS: Notes Tangible assets 10 CURRENT ASSETS: Debtors 11 Cash at bank and in hand LIABILITIES: Creditors falling due within one year 12 NET CURRENT (LIABILITIES)/ASSETS NET (LIABILITIES)/ASSETS FUNDS Unrestricted funds Restricted funds 16 |
31 August 2020 £ 52,973 52,973 12,738 2,239 14,977 (382,697) (367,720) (314,747) (314,747) - (314,747) |
31 August 2019 £ 4,710 |
|---|---|---|
| 4,710 | ||
| 4,051 438 |
||
| 4,489 | ||
| (83,936) | ||
| (79,447) | ||
| (74,738) | ||
| (74,738) - |
||
| (74,738) |
The financial statements were approved by the Board of Trustees on 15/02/2021 and were signed on its behalf by:
……………………………………..
Aonghus Gordon
Trustee
14
CLERVAUX GARDEN SCHOOL
The notes on pages 15 to 28 form part of these financial statements
15
CLERVAUX GARDEN SCHOOL
NOTES TO THE FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2020
1. ACCOUNTING POLICIES
Legal status of the Charity
Clervaux Garden School was incorporated in England and Wales as a company limited by guarantee (registered no. 11740783) and has no share capital.
The liability of members in the event of winding up is limited to an amount not exceeding £10 per member; the number of members as at 31 August 2020 was three.
Clervaux Garden School is also registered as a charity with the Charity Commission (registered no. 1190556).
Registered and principal office
The registered office of Clervaux Garden School is Ruskin Mill, Millbottom, Nailsworth, Stroud, Gloucestershire GL6 0LA.
The principal office of Clervaux Garden School is Clow Beck Centre, Jolby Lane, Darlington DL2 2TF.
Basis of accounting
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)) and the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
The financial statements have been prepared under the historical cost convention.
The financial statements are presented in sterling (£) which is the functional currency of the charity. Clervaux Garden School meets the definition of a public benefit entity under FRS 102.
16
CLERVAUX GARDEN SCHOOL
Clervaux Garden School has taken advantage of the exemption from the requirement to prepare a statement of cash flows in accordance with section 7 of FRS 102. The statement of cash flows is included within the parent company’s financial statements.
The comparative figures cover the period from incorporation on 24 December 2018 to 21 August 2019.
Going concern
The charitable company meets its financing requirement through funding provided by other group companies, and Ruskin Mill Trust Limited, the ultimate parent undertaking, has provided assurances that such group financial support will continue to be made available.
The group, headed by Ruskin Mill Trust Limited, has substantial net assets.
After making detailed enquiries and taking into account the factors discussed above, the Board is confident that the charitable company has adequate scope to continue its operational existence for the foreseeable future. There are no material uncertainties surrounding going concern and accordingly the charitable company continues to prepare the financial statements on a going concern basis.
17
CLERVAUX GARDEN SCHOOL
NOTES TO THE FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2020
1. ACCOUNTING POLICIES (CONTINUED)
Fixed assets and depreciation
Assets with a cost below £500 are not capitalised.
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life:
| Leasehold property | - 2% pa | - straight line |
|---|---|---|
| Equipment | - 25% pa | - straight line |
| Fixturesandfittings | - 25% pa | - straight line |
| Motor vehicles | - 25% pa | - straight line |
Income
Donations are credited to revenue when the charitable company has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received, and the amount can be measured reliably.
Income from charitable and other trading activities is accounted for in the period in which the income is earned.
Investment income is accounted for on an accruals basis.
Cash and cash equivalents
The cash and cash equivalents of Clervaux Garden School, currently comprise the cash in hand, bank deposits and short-term deposits net of bank overdrafts.
Expenditure
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Where costs cannot be directly attributed to particular headings, they have been allocated to activities on a basis consistent with the use of resources.
18
CLERVAUX GARDEN SCHOOL
Termination payments
Termination payments are accounted for as soon as the charitable company is aware of the obligation to make the payment.
Pension costs
The charitable company contributes to a defined contribution scheme. Amounts paid in relation to this scheme are charged to the Statement of Financial Activities when they fall due. All pension costs are allocated to unrestricted funds.
Debtors
Short-term debtors are initially measured at transaction price, less any impairment. Prepayments are measured at the amount prepaid.
Creditors
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are recognised at their settlement amount after allowing for any trade discounts due.
19
CLERVAUX GARDEN SCHOOL
NOTES TO THE FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2020
1. ACCOUNTING POLICIES (CONTINUED)
Funds
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the Trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Financial instruments
Clervaux Garden School only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. Please see note 14.
Significant estimates and judgements
Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
The items in the financial statements where these estimates and judgements have been made include the following:
Useful economic lives of tangible assets
The annual depreciation charges for the tangible assets are sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on economic utilisation and the physical condition of the assets.
20
CLERVAUX GARDEN SCHOOL
Operating leases
Rentals applicable to operating leases where substantially all the benefits and risks of ownership remain with the lessor are charged to the Statement of Financial Activities on a straight line basis over the term of the lease. Lease incentives are recognised over the life of the lease on a straight line basis as a reduction to the expense.
Taxation
The company is a registered charity and as such is entitled to tax exemption on all its income and gains, properly applied for its charitable purposes.
21
CLERVAUX GARDEN SCHOOL
NOTES TO THE FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2020
2. STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR to 31.8.20
| Notes INCOME FROM: Donations Charitable activities Other trading activities Investment income Other TOTAL 3 EXPENDITURE ON: Charitable activities TOTAL 4 NET INCOME AND MOVEMENT IN FUNDS RECONCILIATION OF FUNDS Total funds brought forward 16 Total funds carried forward 16 |
Unrestricted Funds £ - - - - - |
Restricted Funds £ - - - - - |
Total Funds Year to 31.8.20 £ - - - - - |
|---|---|---|---|
| - | - | - | |
| 74,738 | - | 74,738 | |
| 74,738 | - | 74,738 | |
| (74,738) | - | (74,738) | |
| - |
- |
- | |
| (74,738) | - | (74,738) |
22
CLERVAUX GARDEN SCHOOL
NOTES TO THE FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2020
3. INCOME
----- Start of picture text -----
Year to 31 Year to 31 August
August 2019
2020
£ £
Charitable activities
Fees 49,948 -
TOTAL INCOME 49,948 -
----- End of picture text -----
4. EXPENDITURE
| Charitable activities Provision of education services TOTAL EXPENDITURE |
Direct costs (See Note 5) Support costs (See Note 6) Yearto 31 August 2020 £ £ £ 234,391 55,566 289,958 234,391 55,566 289,958 |
Yearto 31 August 2019 £ 74,738 |
|---|---|---|
| 74,738 |
23
CLERVAUX GARDEN SCHOOL
NOTES TO THE FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2020
5. DIRECT COSTS OF CHARITABLE ACTIVITIES
| Staff costs Independent workers Training and welfare Project costs Household costs Motor and transport Governance |
Year Ended 31 August 2020 Year Ended 31 August 2019 £ £ 178,204 34,429 (958) 9,690 642 - 272 - 45,198 691 6,305 1,728 4,729 3,997 |
|---|---|
| 234,391 50,535 |
6. SUPPORT COSTS
| Provision of education services Provision of education services |
Finance £ 321 Finance £ 105 |
Other Depreciation £ £ 44,715 10,530 Other Depreciation £ £ 23,784 314 |
Total Year to 31 August 2020 £ 55,566 |
|---|---|---|---|
| Total Year to 31 August 2019 £ 24,203 |
24
CLERVAUX GARDEN SCHOOL
NOTES TO THE FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2020
7. NET INCOME
Net income is stated after charging:
| Year Ended | Year Ended | ||
|---|---|---|---|
| 31 August | 31 August | ||
| 2020 | 2019 | ||
| £ | £ | ||
| Auditor's | remuneration for the provision of: | ||
| - | statutory audit | 2,500 | 2,000 |
| - | preparation of financial statements | - | - |
| Operating lease payments | - | - | |
| Depreciation - owned assets | 10,531 | 314 |
8. STAFF COSTS
| 8. STAFF COSTS |
|
|---|---|
| Staff Costs: Wages and Salaries Social security costs Pension costs |
Year Ended 31 August 2020 Year Ended 31 August 2019 £ £ 164,911 34,429 10,505 - 2,788 - |
| 178,204 34,429 |
The monthly average headcount number of employees during the period was as follows:
| Care, support and administration Management |
Year Ended 31 August 2020 Year Ended 31 August 2019 No No 11 8 - - |
|---|---|
| 11 8 |
No key management personnel received remuneration in the current or previous period.
No employees received emoluments in excess of £60,000 in the current or previous period.
25
CLERVAUX GARDEN SCHOOL
NOTES TO THE FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2020
9. TRUSTEES’ REMUNERATION AND BENEFITS
No Trustees received remuneration in the current or previous period.
No Trustee expenses were reimbursed in the current or previous period.
10. TANGIBLE FIXED ASSETS
| Cost At 31 August 2019 Additions Disposals At 31 August 2020 Depreciation At 31 August 2019 Charge for the year Disposals At 31 August 2020 NBV At 31 August 2020 At 1 September 2019 |
Leasehold Property Equipment Fixtures and Fittings Motor Totals £ £ £ £ £ - 5,024 - - 5,024 50,599 1,200 - 6,995 58,794 - - - - - |
|---|---|
| - 6,223 - 6,995 63,818 |
|
| - 314 - - 314 8,853 1,531 - 147 10,531 - - - - - |
|
| 8,853 1,845 - 147 10,845 |
|
| 41,746 4,379 - 6,848 52,973 |
|
| - 4,710 - - 4,710 |
11. DEBTORS: AMOUNTS DUE WITHIN ONE YEAR
| Trade Debtors Amounts due from group undertakings Prepayments Other Debtors |
31 August 2020 31 August 2019 £ £ 8,430 - - - 2,308 2,051 2,000 2,000 |
|---|---|
| 12,738 4,051 |
26
CLERVAUX GARDEN SCHOOL
NOTES TO THE FINANCIAL STATEMENTS
PERIOD ENDED 31 AUGUST 2020
12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| Trade creditors Other creditors Amounts owed to group undertakings Social security and other taxes VAT Accruals and deferred income |
31 August 2020 £ 3,751 7,936 366,417 3,514 - 1,080 382,697 |
31 August 2019 £ 9,753 - 63,500 1,183 - 9,500 |
|---|---|---|
| 83,936 |
13. OPERATING LEASE COMMITMENTS
At the period end the charitable company has total commitments due under noncancellable operating leases, for items of equipment only, as set out below:
| Operating Lease commitments due: Within 1 year Within 2 – 5 year |
Year Ended 31 August 2020 Year Ended 31 August 2019 £ £ - - - - |
|---|---|
| - - |
27
CLERVAUX GARDEN SCHOOL
NOTES TO THE FINANCIAL STATEMENTS
PERIOD ENDED 31 AUGUST 2020
14. FINANCIAL INSTRUMENTS
| 31 August | 31 August | ||
|---|---|---|---|
| 2020 | 2019 | ||
| £ | £ | ||
| Financial | assets measured at settlement value | 12,6694,051 | |
| Financial | liabilities measured at settlement value | 371,248 | 83,031 |
Financial assets measured at settlement value comprise cash, trade debtors, other debtors and amounts due from group undertakings.
15. RECONCILIATION OF MOVEMENT IN FUNDS
| Unrestricted funds General fund Restricted funds Other funds TOTAL Unrestricted funds General fund Restricted funds Other funds TOTAL |
At 31 August 2019 £ (74,738) - - (74,738) At 24 December 2018 £ - - - - |
Income £ 49,948 - - 49,948 Income £ - - - - |
Expenditure £ (289,958) - - (289,958) Expenditure £ (74,738) - - (74,738) |
At 31 August 2020 £ (314,747) - |
|---|---|---|---|---|
| - | ||||
| (314,747) | ||||
| At 31 August 2019 £ (74,738) - - (74,738) |
28
CLERVAUX GARDEN SCHOOL
NOTES TO THE FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2020
16. ANALYSIS OF NET ASSETS BETWEEN FUNDS
| 2020 Unrestricted funds Restricted Funds 2019 Unrestricted Funds Restricted Funds |
Fixed Assets Net Current Liabilities Fund Balance £ £ £ 52,973 (367,721) (314,747) - - - |
|---|---|
| 52,973 (367,721) (314,747) |
|
| 4,710 (79,447) (74,738) - - - |
|
| 4,710 (79,447) (74,738) |
17. ULTIMATE PARENT COMPANY AND CONTROLLING PARTY
Ruskin Mill Trust Limited (registered in England and Wales; company number: 07252866 and charity number: 1137167) is the sole member and controlling party of Clervaux Garden School. The objects of Ruskin Mill Trust Limited include the advancement of the education of young people with learning difficulties and/ or behavioural problems or special educational needs; the promotion of research into the practice and development of those areas of education; and the promotion of Rudolf Steiner education establishments. The charitable company runs six special educational needs schools/colleges. A copy of their financial statements can be obtained from the Registrar of Companies, Companies House, Crown Way, Cardiff CF14 3UZ.
18. RELATED PARTIES
The ultimate parent undertaking is Ruskin Mill Trust Limited. As a wholly controlled subsidiary the company is exempt from the requirements of FRS 102 Section 33 to disclose transactions with other wholly owned members of the group headed by Ruskin Mill Trust Limited.
29