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2022-08-05-accounts

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

Registered number: 01391805 Charity number: 276787

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED

(A Company Limited by Guarantee)

GOVERNORS' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2022

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

CONTENTS

Page
Reference and Administrative Details of the Charity, its Governors and Advisers 1
Governors' Report 2 - 6
Independent Auditors' Report on the Financial Statements 7 - 10
Statement of Financial Activities 11
Balance Sheet 12 - 13
Statement of Cash Flows 14
Notes to the Financial Statements 15 - 33

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS GOVERNORS AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2022

Governors Mr J F Attwater (appointed 21 December 2022)
Mr D J Day (appointed 21 December 2022)
Mr N F W Longford
Ms K M Milne
Ms N Mitchell
Mr C M Sanderson
Mr A Headland (resigned 28 November 2022)
Mr N Jay (resigned 26 November 2022)
Ms E Lunn (resigned 22 December 2022)
Ms V L Parry (resigned 25 November 2022)
Mr M J Parsons (resigned 25 November 2022)
Mr J A Thomas (resigned 16 April 2022)
Company registered
number
01391805
Charity registered
number
276787
Registered office
Fairstead House
Fordham Road
Newmarket
Suffolk
CB8 7AA
Company secretary
Mrs C L Freer (resigned 5 August 2022)
Dr R L Axworthy (appointed 24 November 2022)
Headmaster
Mr M. Radford, B.Ed. (Hons.) M.Ed.
Independent auditors
Peters Elworthy & Moore
Chartered Accountants
Salisbury House
Station Road
Cambridge
CB1 2LA
Bankers
Barclays Bank
Hammonds Bank
Newmarket
CB8 8NH
Virgin
10 Church Street
Peterborough
PE1 1XB
Solicitors
Stone King LLP
82-88 Hills Road
Cambridge
CB2 1LQ

Page 1

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

GOVERNORS' REPORT FOR THE YEAR ENDED 31 AUGUST 2022

The Governors present their annual report together with the audited financial statements of the Charity for the year 1 September 2021 to 5 August 2022. The Annual Report serves the purposes of both a Governors' report and a Directors' report under company law. The Governors confirm that the Annual Report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (second edition - October 2019) effective January 2019.

Since the Charity qualifies as small under section 382 of the Companies Act 2006, the Strategic Report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.

AIMS, OBJECTIVES AND POLICY

On 18 March 2022 the Governors agreed to merge the School with The King's School, Ely. The objectives of The King's School, Ely align closely with Fairstead House in providing for the advancement of education of children for the public benefit and in connection therewith to acquire and carry on in the United Kingdom any nursery, preparatory or senior school or schools for the education of children of either sex or both sexes. Fairstead House was welcomed into the The King’s Ely family of schools on 7 August 2022.

In setting objectives and planning for activities, the Governors have given due consideration to general guidance published by the Charity Commission on Public Benefit.

It is the School's aim to provide a friendly, caring and happy community with its unique family system and ethos. Over the years the School has carefully nurtured this family atmosphere to provide pupils with real leadership challenges, a sense of personal responsibility and the opportunities to grow into mature, intelligent and socially responsible individuals.

The School aims to excite each child's boundless sense of wonder, capture their natural enthusiasms and foster a huge range of talents. A broad, balanced, creative and exciting curriculum develops each pupil's full potential and ensures they are well prepared for the challenges of their next school.

The School aims to also encourage and develop self-discipline and to promote caring, polite and well-mannered children.

The general philosophy of the School is based on Christian values although all faiths are welcomed. The children are encouraged to work as part of the community and to think about others. The School has links with St Mary's Church in Newmarket, where services are held for Christmas and End of Year.

Strategies to achieve this year's objectives

The Board of Governors met regularly to receive reports from the Acting Head and the Bursar. The Governors have responded to the issues arising from these reports.

The merger with The King's School, Ely strengthens the capacity for Fairstead House to achieve its ongoing objectives in the face of external economic pressures.

Public Benefit

Community links are very strong in School. The School supports several different local charities:

Page 2

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED

(A Company Limited by Guarantee)

GOVERNORS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022

Through fundraising activities the children have also supported, amongst others:

The Governors are continually exploring ways of making the School's facilities available to the local community. A local adult choir, Viva Voices, used the Performing Arts Centre.

Bursary Policy

The Governors' award bursaries to pupils on the basis of advice from an independent bursary company. These awards are reviewed annually by both the company and the Bursary committee. There are also scholarships awarded for merit.

This year the level of support totalled £23,489 for 10 families, including staff discounts.

ACHIEVEMENTS AND PERFORMANCE

Progress, both academic and social, is carefully monitored by a variety of regular assessments.

Progression

Fairstead House pupils progress to both independent and state schools. They are prepared for these schools as appropriate for the senior school of their choice.

Fundraising policy

The School does not engage in public fundraising. During 2021/22 the School did not engage any external professional fundraisers. Donations in the year totalled £5,651 (2021 - £3,018).

Investment policy

The Memorandum and Articles of Association govern the School's investment policy, which permits the Governors to invest monies not immediately required in investments as may be thought fit. The Governors have invested in the Prudential Growth Fund which takes a long term view of investments and has a highly diverse portfolio of holdings, mitigating investment risk. This year the unrealised gain was £14,782 compared to a prior year of £45,111 in 2021.

On the 10 August 2022, the investments were withdrawn with the intention is to utilise a proportion of the funds to facilitate the developments that the School will be going ahead with as part of the The King’s Ely family of schools.

Change to Accounting Period End

On 5 August 2022, the School merged with The King's School, Ely. Under this agreement, the net assets of the School transferred to The King's School, Ely. Accordingly, the financial statements have been prepared on a basis other than going concern as the legal entity will be wound up once the transfer is complete.

FINANCIAL REVIEW

Going concern

The accounts have been prepared on a basis other than going concern. On 18 March 2022, the Governors

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DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

GOVERNORS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022

signed a merger agreement with The King's School, Ely. Under this agreement, the net assets of the School transferred to The King's School, Ely on 5 August 2022, subsequently the current legal entity of Fairstead House School Trust Limited will be dissolved. The assets and liabilities will transfer to The King's School, Ely and the operations of the School will continue.

Annual review

The Governors review the finances, budgets and cash flow at the bi-termly meetings. The policy of the School is to reinvest reserves in the School facilities and this policy was maintained for the year.

The majority of the Trust's income is derived from school and nursery fees. These amounted to £966,671 in the year to 31 August 2022 (2021 - £1,050,328) before deducting financial assistance of £23,489 (2021 - £48,322). All expenditure in the year under review arises from the operation of the School and Nursery and in carrying out the educational objectives of the Trust. The Financial Statements illustrate how the funds have been applied.

Reserves policy

When the School merged with The King's School, Ely, on 5 August 2022, the reserves were transferred to The King’s School, Ely. Following the merger, the reserves policy will be assessed by the joint Governing Body.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Document

Fairstead House School Trust Limited is a company limited by guarantee governed by its Memorandum and Articles of Association dated 8 September 1978 (revised November 2016). It is registered as a charity with the Charity Commission. Once the merger is complete the company and the charity will be wound up.

Fairstead House was founded in 1950 by Rosamonde Taylor and, following her retirement, ownership passed to a charitable trust. Fairstead House School is situated close to the centre of historic Newmarket, headquarters of the 'Sport of Kings', and adjacent to the famous gallops. Until 5 August 2022, every parent or guardian of a child who is accepted as a pupil of the main school shall be qualified to become a member of the Trust. The number of the members of the Trust shall not exceed 150.

Appointment of Governors

Going forward from 5 August 2022 the appointment of Governors will follow the procedures laid down in the Memorandum and Articles of The King's School, Ely. The Governing Board of the School will be dissolved. Following the merger two Governors from Fairstead House, K Milne and N Longford, were co-opted to The King's School, Ely Board. There will be an Education Committee for Fairstead House that will be chaired by a former Fairstead House Governor and will have two further representatives from Fairstead. This committee will report into the King's Board. During the year and until 5 August 2022, full board meetings were held twice a term.

Organisational structure and decision making

During the period to 5 August 2022 Mr Michael Radford was recruited to the role of Head. The day to day management of the School is delegated to the Head and the management team. The Board of Governors may comprise up to 10 members including a maximum of 3 parent governors. There are sub-committees covering Finance, Education and Premises (including Health and Safety). Governors define, in consultation with the senior management team of the School, individual policies on a wide range of matters to meet the legislative requirements for running the School and to facilitate its operation.

Following 5 August 2022 the day to day management remains with the Head and Management team reporting into the Principal and COO of King’s Ely. The Head is a member of the King’s Ely Senior Leadership Team. The

Page 4

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

GOVERNORS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022

educational and operational management of the school is overseen by the Fairstead Education Committee which reports into the Governing Board of The King’s School, Ely.

Governor induction and training

On appointment, a new Governor is issued with:

Governor induction and training will be under the jurisdiction of The King's School, Ely going forward.

Pay policy for senior staff

During the period to 5 August 2022 the School considers its key management personnel comprise the Board of Directors, who are the Charity's Trustees, the Head, and the Bursar. They are in charge of directing and controlling, running and operating the charity on a day to day basis. All Trustees give of their time freely and no Trustee received remuneration in the year. Details of the Trustees' expenses are disclosed in the notes to the financial statements. The salary of all staff is reviewed by the Governors annually. The level of salary is periodically benchmarked to ensure that the remuneration set is fair and in line with that generally paid for similar roles.

Risk management

During the period to 5 August 2022 the Governors examined the major risks that the School faces each financial year, in particular at the time of preparing the School Development Plan and related budgets. Systems have been developed to monitor and control these risks in order to minimise any impact they may have on the School's future operations. Risk Management and the Risk Register follow the Charities Commission and Risk Management (CC26) guidance. The Governors have identified sustainability of income through maintenance of pupil numbers as the principal risk faced by the School. The merger with King's Ely will bring opportunities for the School to develop the marketing for the School and provide other savings through synergies.

STATEMENT OF GOVERNORS' RESPONSIBILITIES

The Governors (who are also the directors of the Charity for the purposes of company law) are responsible for preparing the Governors' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the 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 Charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Governors are required to:

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DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

GOVERNORS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022

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 are also responsible for safeguarding the assets of the School and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

DISCLOSURE OF INFORMATION TO AUDITORS

Each of the persons who are Governors at the time when this Governors' Report is approved has confirmed that:

AUDITORS

As part of the merger with The King’s School, Ely, from 5 August 2022 auditors will not be required for Fairstead House School Trust Limited due to the intention to dissolve the Trust.

Approved by order of the members of the board of Governors and signed on their behalf by:

Mr D J Day (Trustee)

Date: 25 May 2023

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DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FAIRSTEAD HOUSE SCHOOL TRUST LIMITED

OPINION

We have audited the financial statements of Fairstead House School Trust Limited (the 'charity') for the year ended 31 August 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes, 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:

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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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.

EMPHASIS OF MATTER - FINANCIAL STATEMENTS PREPARED ON A BASIS OTHER THAN GOING CONCERN

We draw attention to note 2.2 in the financial statements which explains that the financial statements have been prepared on a basis other than that of a going concern. On 5 August 2022 the assets and liabilities of the charitable company were transferred to The King's School, Ely and all activities ceased within this legal entity. Accordingly the Governors have prepared the financial statements on a basis other than the going concern. Our opinion is not modified in respect of this matter.

OTHER INFORMATION

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The Governors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

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DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (CONTINUED)

OPINION ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006

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

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

In the light of our 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 Governors' Report.

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

RESPONSIBILITIES OF TRUSTEES

As explained more fully in the Governors' Responsibilities Statement, the Governors (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 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.

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DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (CONTINUED)

AUDITORS' 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 Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

We assessed the susceptibility of the School’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

To address the risk of fraud through management bias and override of controls, we;

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DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (CONTINUED)

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the Governors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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 Auditors' 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 Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Kathryn Hebden (Senior Statutory Auditor)

for and on behalf of Peters Elworthy & Moore

Chartered Accountants Statutory Auditors

Salisbury House

Station Road

Cambridge CB1 2LA

Date: 25 May 2023

Page 10

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED

(A Company Limited by Guarantee)

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2022

Note
INCOME FROM:
Donations and legacies
4
Charitable activities
5
Investments
6
Other income
7
TOTAL INCOME
EXPENDITURE ON:
Raising funds
8
Charitable activities
10
Transfer to The King's School, Ely
9
TOTAL EXPENDITURE
NET (EXPENDITURE)/INCOME BEFORE NET GAINS
ON INVESTMENTS
Net gains on investments
15
NET MOVEMENT IN FUNDS BEFORE OTHER
RECOGNISED GAINS
OTHER RECOGNISED GAINS:
Gains on revaluation of fixed assets
14
NET MOVEMENT IN FUNDS
RECONCILIATION OF FUNDS:
Total funds brought forward
20
Net movement in funds
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
2022
£
5,651
1,949,502
15
-
1,955,168
2,768
1,946,420
2,613,638
4,562,826
(2,607,658)
14,782
(2,592,876)
756,061
(1,836,815)
1,836,815
(1,836,815)
-		 Total
funds
2022
£
5,651
1,949,502
15
-
1,955,168
2,768
1,946,420
2,613,638
4,562,826
(2,607,658)
14,782
(2,592,876)
756,061
(1,836,815)
1,836,815
(1,836,815)
-		 Total
funds
2021
£
3,018
1,930,955
4
23,824
1,957,801
3,646
1,926,970
-
1,930,616
27,185
45,111
72,296
-
72,296
1,764,519
72,296
1,836,815

The Statement of Financial Activities includes all gains and losses recognised in the year.

All amounts relate to discontinued operations of the School.

The notes on pages 15 to 33 form part of these financial statements.

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DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee) REGISTERED NUMBER: 01391805

BALANCE SHEET AS AT 31 AUGUST 2022

Note
FIXED ASSETS
Tangible assets
14
Investments
15
CURRENT ASSETS
Debtors
16
Cash at bank and in hand
Creditors: amounts falling due within one
year
17
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
Creditors: amounts falling due after more
than one year
18
TOTAL NET ASSETS
CHARITY FUNDS
Unrestricted funds
20
TOTAL FUNDS		 2022
£
-
-
-
-		 2022
£
-
-
-
-
-
-
-
-
-		 2021
£
371,155
333,124
704,279
(505,213)		 2021
£
1,409,945
310,195
1,720,140
199,066
1,919,206
(82,391)
1,836,815
1,836,815
1,836,815

The Governors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

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

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DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee) REGISTERED NUMBER: 01391805

BALANCE SHEET (CONTINUED) AS AT 31 AUGUST 2022

The financial statements were approved and authorised for issue by the Governors and signed on their behalf by:

Mr D J Day (Trustee)

Date: 25 May 2023

The notes on pages 15 to 33 form part of these financial statements.

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DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED

(A Company Limited by Guarantee)

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2022

Note
CASH FLOWS FROM OPERATING ACTIVITIES
Net cash used in operating activities
22
CASH FLOWS FROM INVESTING ACTIVITIES
Dividends, interests and rents from investments
Purchase of tangible fixed assets
NET CASH USED IN INVESTING ACTIVITIES
CASH FLOWS FROM FINANCING ACTIVITIES
Repayments of borrowing
Repayment of finance leases
NET CASH USED IN FINANCING ACTIVITIES
CHANGE IN CASH AND CASH EQUIVALENTS IN THE YEAR
Cash and cash equivalents at the beginning of the year
CASH AND CASH EQUIVALENTS AT THE END OF THE YEAR
23		 2022
£
(121,764)
-
(107,835)
(107,835)
(99,814)
(3,711)
(103,525)
(333,124)
333,124
-		 2021
£
32,427
4
(20,564)
(20,560)
(8,626)
-
(8,626)
3,241
329,883
333,124

The notes on pages 15 to 33 form part of these financial statements

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DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

1. GENERAL INFORMATION

The Company is a company limited by guarantee and incorporated in England and Wales. The members of the company are the governors named on page 1. In the event of the company being wound up, the liability in respect of the guarantee is limited to £1 per member of the company.

2. ACCOUNTING POLICIES

2.1 BASIS OF PREPARATION OF FINANCIAL STATEMENTS

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Fairstead House School Trust Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

2.2 GOING CONCERN

On 18 March 2022, the Trustees entered into a merger agreement with The King's School, Ely. The transfer took place on 5 August 2022 at which point the net assets of the School transferred to The King's School, Ely. The assets and liabilities at the date of transfer are summarised in note 19. Accordingly the financial statements have been prepared on a basis other than going concern.

A fair value exercise at the date of transfer was undertaken and the freehold property was revalued as a result. Other assets have been assessed for recoverability and provisions made where appropriate and any future commitments under onerous contracts assessed accordingly.

2.3 INCOME

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

2.4 EXPENDITURE

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.

Expenditure on raising funds includes all expenditure incurred by the Charity to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Page 15

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

2. ACCOUNTING POLICIES (CONTINUED)

2.4 EXPENDITURE (CONTINUED)

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs.

All expenditure is inclusive of irrecoverable VAT.

2.5 GOVERNMENT GRANTS

Grants of a revenue nature are recognised in the Statement of Financial Activities in the same period as the related expenditure is incurred.

2.6 INTEREST RECEIVABLE

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

2.7 TANGIBLE FIXED ASSETS AND DEPRECIATION

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following bases:

Freehold property - no depreciation charged where, in the opinion
of the Governors, the estimated residual
value is in excess of the net book value
Leasehold property - over the term of the lease
Motor vehicles - 5 years
Fixtures and fittings - 5 to 10 years
Computer equipment - 3 years

2.8 INVESTMENTS

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance Sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Statement of Financial Activities.

2.9 DEBTORS

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

Page 16

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

2. ACCOUNTING POLICIES (CONTINUED)

2.10 CASH AT BANK AND IN HAND

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

2.11 LIABILITIES AND PROVISIONS

Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of Financial Activities as a finance cost.

2.12 FINANCIAL INSTRUMENTS

The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

2.13 FINANCE LEASES AND HIRE PURCHASE

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the Charity. Obligations under such agreements are included in creditors, net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the Statement of Financial Activities so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

Page 17

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

2. ACCOUNTING POLICIES (CONTINUED)

2.14 PENSIONS

The Charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charity to the fund in respect of the year.

Retirement benefits to teachers are provided by the Teachers' Pension Scheme ('TPS'). This is a defined benefit pension scheme.

The TPS is an unfunded scheme and contributions are calculated so as to spread the cost of pensions over employees’ working lives with the School in such a way that the pension cost is a substantially level percentage of current and future pensionable payroll. The contributions are determined by the Government Actuary on the basis of quadrennial valuations using a prospective unit credit method. TPS is an unfunded multi-employer scheme with no underlying assets to assign between employers. Consequently, the TPS is treated as a defined contribution scheme for accounting purposes and the contributions recognised in the period to which they relate.

2.15 FUND ACCOUNTING

General funds are unrestricted funds which are available for use at the discretion of the Governors in furtherance of the general objectives of the Charity and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Governors for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Page 18

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

3. CRITICAL ACCOUNTING ESTIMATES AND AREAS OF JUDGMENT

Estimates and judgments 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.

Critical accounting estimates and assumptions:

The Charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Investments are measured at fair value for financial reporting purposes. Information about the valuation technique is included in accounting policy 2.7.

Critical areas of judgment:

Useful economic lives of tangible fixed assets

Depreciation is charged annually based on the management's estimate of economic useful life of the asset per the accounting policies above.

Provision of fee debtors

Management consider whether fee debtors are recoverable. Where there is indication that recoverability is unlikely, the amounts are recognised as a provision for bad debts. This assessment required an estimation of likely future cash flows.

Freehold property valuation

The valuation of freehold property is affected by many variables, including rental yields, the particular circumstances of the properties in question and interest rates.

4. INCOME FROM DONATIONS AND LEGACIES

Unrestricted
funds
2022
£
Donations
5,651
TOTAL 2021
3,018		 Total
funds
2022
£
5,651
3,018		 Total
funds
2021
£
3,018

Page 19

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

5. INCOME FROM CHARITABLE ACTIVITIES

Unrestricted
funds
2022
£
Tuition fees
966,971
Bursaries and scholarships
(23,489)
Nursery fees
901,972
Specialist teaching
33,480
Registration fees
7,900
After school club
40,580
Holiday club
22,088
Fee rebates
-
1,949,502
TOTAL 2021
1,930,955		 Total
funds
2022
£
966,971
(23,489)
901,972
33,480
7,900
40,580
22,088
-
1,949,502
1,930,955		 Total
funds
2021
£
1,050,328
(48,322
869,050
35,227
5,168
12,982
17,380
(10,858
1,930,955

6. INVESTMENT INCOME

Unrestricted
funds
2022
£
Investment income
15
TOTAL 2021
4		 Total
funds
2022
£
15
4		 Total
funds
2021
£
4

Page 20

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

7. OTHER INCOMING RESOURCES

Government grants
TOTAL 2021		 Unrestricted
funds
2022
£
-
23,824		 Total
funds
2022
£
-
23,824		 Total
funds
2021
£
23,824

Government grants in the previous year related to the Coronavirus Job Retention Scheme (£20,674) and the Coronavirus Business Interruption Loan Scheme (£3,150).

8. EXPENDITURE ON RAISING FUNDS

COSTS OF RAISING VOLUNTARY INCOME

Unrestricted
funds
2022
£
Bank interest, charges and investment management fees
2,768
TOTAL 2021
3,646		 Total
funds
2022
£
2,768
3,646		 Total
funds
2021
£
3,646

Page 21

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

9. DONATION TO THE KING'S SCHOOL, ELY

Unrestricted Total Total
funds funds funds
2022 2022 2021
£ £ £
The King's School, Ely 2,613,638 2,613,638 -

The transfer to The King's School, Ely represents the donation of the net assets of the Trust. Details of the transfer are included in note 19.

10. ANALYSIS OF EXPENDITURE BY ACTIVITIES

School running costs
TOTAL 2021		 Activities
undertaken
directly
2022
£
1,374,456
1,423,209		 Support
costs
2022
£
571,964
503,761		 Total
funds
2022
£
1,946,420
1,926,970		 Total
funds
2021
£
1,926,970

ANALYSIS OF DIRECT COSTS

Staff costs
Classroom resources
Catering supplies
School trips
TOTAL 2021		 School
running
costs
2022
£
1,265,644
32,153
70,949
5,710
1,374,456
1,423,209		 Total
funds
2022
£
1,265,644
32,153
70,949
5,710
1,374,456
1,423,209		 Total
funds
2021
£
1,339,807
20,765
60,633
2,004
1,423,209

Page 22

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

ANALYSIS OF SUPPORT COSTS

School
running
costs
2022
Governance
2022
£
£
Staff costs
159,109
-
Property expenses
120,288
-
Administrative expenses
131,713
14,635
Transport and travel expenses
5,490
610
Equipment repairs and renewals
1,057
-
Classroom support
12,527
-
General expenses
10,117
-
Depreciation
40,509
-
Health and safety
15,352
-
Inspection
2,407
-
Management information
15,515
-
Audit and Accountancy
-
15,267
Bad debts
25,345
-
Development projects
17,209
-
Interest payable on finance
80
-
556,718
30,512
TOTAL 2021
483,482
20,279
11.
AUDITORS' REMUNERATION
Fees payable to the Charity's auditor for the audit of the Charity's annual
accounts
Fees payable to the Charity's auditor in respect of:
All non-audit services		 Total
funds
2022
£
159,109
120,288
146,348
6,100
1,057
12,527
10,117
40,509
15,352
2,407
15,515
15,267
25,345
17,209
80
587,230
503,761
2022
£
8,000
1,750		 Total
funds
2021
£
157,458
97,340
112,160
4,654
1,745
8,968
6,634
54,321
16,835
2,712
12,643
9,500
-
9,332
9,459
503,761
2021
£
6,700
1,200

Page 23

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED

(A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

12. STAFF COSTS

Wages and salaries
Social security costs
Contribution to defined contribution pension schemes		 2022
£
1,211,358
95,610
117,785
1,424,753		 2021
£
1,261,124
99,496
136,645
1,497,265

Included in the staff costs above is a statutory redundancy payment amounting to £4,283, redundancy pay of £15,751 paid in lieu of a term's notice and compensation payment of £8,336.

The average number of persons employed by the Charity during the year was as follows:

Teaching staff and assistants
Other		 2022
No.
58
11
69		 2021
No.
59
12
71

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

2022 2021
No. No.
In the band £60,001 - £70,000 - 2

The key management personnel of the Charity comprise the Governors, Head and Bursar (2021 - Governors, Head, Deputy Head and Bursar). The total employee benefits (including employer's pension contributions and employer's national insurance contributions) received by key management personnel of the Charity were £132,340 (2021 - £176,359).

13. GOVERNORS' REMUNERATION AND EXPENSES

During the year, no Governors received any remuneration or other benefits (2021 - £NIL).

During the year ended 31 August 2022, no Governor expenses have been incurred (2021 - £NIL).

Page 24

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

14. TANGIBLE FIXED ASSETS

At 1 September 2021
Additions
Transfer to The King's
School, Ely
Revaluations
At 31 August 2022
At 1 September 2021
Charge for the year
Transfer to The King's
School, Ely
At 31 August 2022
NET BOOK VALUE
At 31 August 2022
At 31 August 2021		 Freehold
property
£
1,241,266
2,673
(2,000,000)
756,061
-
-
-
-
-
-
1,241,266		 Long-term
leasehold
property
£
55,104
-
(55,104)
-
-
51,104
2,525
(53,629)
-
-
4,000		 Fixtures and
fittings
£
401,220
105,162
(506,382)
-
-
236,541
37,983
(274,524)
-
-
164,679		 Motor
vehicles
£
41,000
-
(41,000)
-
-
41,000
-
(41,000)
-
-
-		 Total
£
1,738,590
107,835
(2,602,486)
756,061
-
328,645
40,508
(369,153)
-
-
1,409,945

The net book value of assets held under hire purchase contracts is £NIL (2021: £8,241). This is included within fixtures and fittings above.

Page 25

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED

(A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

15. FIXED ASSET INVESTMENTS

At 1 September 2021
Revaluations
Transfer to The King's School, Ely
AT 31 AUGUST 2022		 Listed
investments
£
310,195
14,782
(324,977)
-

16. DEBTORS

Trade debtors
Other debtors
Prepayments and accrued income		 2022
£
-
-
-
-		 2021
£
265,244
55
105,856
371,155

17. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Bank loans
Trade creditors
Other taxation and social security
Obligations under finance lease and hire purchase contracts
Other creditors
Accruals and deferred income		 2022
£
-
-
-
-
-
-
-		 2021
£
20,000
28,132
25,069
5,689
49,014
377,309
505,213

The amounts due under hire purchase agreements are secured on the related assets acquired.

Page 26

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED

(A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

Deferred income movements
Deferred income at 1 September 2021
Resources deferred during the year
Amounts released from previous periods
Transferred to The King's School, Ely		 2022
£
332,417
50,497
(332,417)
(50,497)
-		 2021
£
323,412
332,417
(323,412)
-
332,417

18. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Bank loans
Trade creditors		 2022
£
-
-
-		 2021
£
80,000
2,391
82,391

Bank loans include a Government backed Coronavirus Business Interruption Loan (CBILs) which was drawn down in August 2020. This loan is 100% guaranteed by the Government and there are no fees or interest payable in the first 12 months. After this 12 month period, interest will be charged at 3.15% above the base rate. The loan is repayable in 60 equal monthly installments from August 2021.

The loan was repaid in full during the year.

Page 27

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

19. BUSINESS COMBINATIONS

On 5 August 2022, the net assets of Fairstead House School Trust were transferred to The King's School, Ely.

The statement below shows the fair value of the assets at 5 August 2022 (the date of the merger) and the resulting donation.

Book value
Fair value
adjustments		 Book value
Fair value
adjustments		 Fair value
£ £ £
FIXED ASSETS
Tangible assets 1,477,272 756,061 2,233,333
Investments 324,977 - 324,977
1,802,249 756,061 2,558,310
CURRENT ASSETS
Debtors 124,125 - 124,125
Cash at bank and in hand 196,779 - 196,779
TOTAL ASSETS 2,123,153 756,061 2,879,214
CREDITORS
Due within one year (265,576) - (265,576)
TOTAL IDENTIFIABLE NET ASSETS 1,857,577 756,061 2,613,638
Donation (2,613,638)
TOTAL PURCHASE CONSIDERATION -

Page 28

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

20. STATEMENT OF FUNDS

STATEMENT OF FUNDS - CURRENT YEAR

UNRESTRICTED
FUNDS
DESIGNATED
FUNDS
Fixed Assets Fund
Transfer to The
King's School, Ely
(note 19)
GENERAL FUNDS
General Funds
Transfer to The
King's School, Ely
(note 19)
TOTAL
UNRESTRICTED
FUNDS		 Balance at 1
September
2021
£
1,409,945
-
1,409,945
426,870
-
426,870
1,836,815		 Income
£
-
-
-
1,955,168
-
1,955,168
1,955,168		 Expenditure
£
(40,508)
(2,233,333)
(2,273,841)
(1,908,680)
(380,305)
(2,288,985)
(4,562,826)		 Transfers
in/out
£
107,835
-
107,835
(107,835)
-
(107,835)
-		 Gains/
(Losses)
£
756,061
-
756,061
14,782
-
14,782
770,843		 Balance at
31 August
2022
£
2,233,333
(2,233,333)
-
380,305
(380,305)
-
-

The Fixed Assets Fund represents the balance of the Trust's funds that are invested in fixed assets. The transfer represents the net additions to fixed assets.

Page 29

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

20. STATEMENT OF FUNDS (CONTINUED)

STATEMENT OF FUNDS - PRIOR YEAR

UNRESTRICTED
FUNDS
DESIGNATED
FUNDS
Fixed Assets Fund
GENERAL FUNDS
General Funds
TOTAL
UNRESTRICTED
FUNDS		 Balance at
1 September
2020
£
1,443,702
320,817
1,764,519		 Income
£
-
1,957,801
1,957,801		 Expenditure
£
(54,321)
(1,876,295)
(1,930,616)		 Transfers
in/out
£
20,564
(20,564)
-		 Gains/
(Losses)
£
-
45,111
45,111		 Balance at
31 August
2021
£
1,409,945
426,870
1,836,815

21. ANALYSIS OF NET ASSETS BETWEEN FUNDS - PRIOR YEAR

Unrestricted
funds
2021
£
Tangible fixed assets
1,409,945
Fixed asset investments
310,195
Current assets
704,279
Creditors due within one year
(505,213)
Creditors due in more than one year
(82,391)
1,836,815		 Total
funds
2021
£
1,409,945
310,195
704,279
(505,213)
(82,391)
1,836,815

Page 30

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASH FLOW FROM OPERATING 22. ACTIVITIES

Net income/expenditure for the year (as per Statement of Financial
Activities)
ADJUSTMENTS FOR:
Depreciation charges
Losses on investments
Dividends, interests and rents from investments
Decrease in debtors
Decrease in creditors
Add transfer of non-cash assets to The King's School Ely
NET CASH PROVIDED BY/(USED IN) OPERATING ACTIVITIES
23.
ANALYSIS OF CASH AND CASH EQUIVALENTS
Cash in hand
TOTAL CASH AND CASH EQUIVALENTS
24.
ANALYSIS OF CHANGES IN NET DEBT
Debt due within 1 year
Debt due after 1 year
Finance leases
At 1
September
2021
Cash flows
£
£
(20,000)
20,000
(80,000)
80,000
(5,689)
-
227,435
(233,124)		 2022
£
(2,592,876)
40,508
(14,782)
-
247,030
(217,202)
2,415,558
(121,764)
2022
£
-
-
cash
changes
£
-
-
5,689
5,689
Other non-		 2021
£
72,296
54,321
(45,111)
(4)
10,503
(59,578)
-
32,427
2021
£
333,124
333,124
At 31
August
2022
£
-
-
-
-

Page 31

DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

25. PENSION COMMITMENTS

Teaching staff

The School participates in the Teachers' Pension Scheme (England and Wales) ("the TPS") for its teaching staff.

The pension charge for the year includes contributions payable to the TPS of £84,989 (2021 - £103,696) and at the year end £nil (2021 - £10,195) was accrued in respect of contributions to this scheme.

The Teachers' Pension Scheme (TPS) is a statutory, contributory, defined benefit scheme, governed by the Teachers' Pension Scheme Regulations 2014. Membership is automatic for full-time teachers in academies. All teachers have the option to opt-out of the TPS following enrolment.

The TPS is an unfunded scheme to which both the member and employer makes contributions, as a percentage of salary - these contributions are credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.

Valuation of the Teachers' Pension Scheme

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

The key elements of the valuation and subsequent consultation are:

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

A copy of the valuation report and supporting documentation is on the Teachers' Pensions website (https://www.teacherspensions.co.uk/news/employers/2019/04/teachers-pensions-valuation-report.aspx).

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

Non-teaching staff

The school also contributes to the personal pension arrangements of non-teaching staff via the St James' Place pension scheme or via a group stakeholder pension scheme with Scottish Widows.

The pension charge for the year includes contributions of £32,796 (2021 - £32,949) and at the year end

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DocuSign Envelope ID: 78782873-78D7-4CA0-A32B-BE6FD3A8A968

FAIRSTEAD HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

25. PENSION COMMITMENTS (CONTINUED)

£NIL (2021 - £5,495) was accrued in respect of contributions to this scheme.

26. OPERATING LEASE COMMITMENTS

At 31 August 2022 the Charity had commitments to make future minimum lease payments under noncancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years		 2022
£
-
-
-		 2021
£
730
365
1,095

27. RELATED PARTY TRANSACTIONS

In the normal course of funding its activities, the majority of the charity's income is derived from education fees paid by parents, some of whom are members and/or Govenors of the school.

In the ordinary course of business the charity has acquired professional indemnity and Governors' liability cover at a cost of £7,197 (2021 - £3,384).

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