Registered number.. 1468693 Charity number.. 279267 HOLMEWOOD HOUSE SCHOOL (A company limited by guarantee) TRUSTEES, REPORT AND CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) CONTENTS Pa9e Reference and administrative details of the Company. its Trustees and advisers Trustees, report 2-12 Indepgnd&nl auditor's report on the financial statements 13-18 Consolidated slatement of financial activltles 17 Consolldated balance shegt 18-19 Company balanco sheel 20-21 Consolldated statement of cash flows 22 Notes to the flnancial statements 23-47
HOLMEWOOD HOUSE SCHOOL IA company limited by guarant¢el REFERENCE AND ADMINISTRAnVE DETAILS OF THE COMPANY. ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2021 Trustees N Allan lappoinled 30 November 20211 A J B Barnes J M Donora N D Hammond G J Piper J J Thompson M J Ringer M Sloan A M Wakefield Company regislered number 1468693 Charity regislered number 279267 R9gist&r6d office Barrow Lane Langton Gree Tunbridge Wells Kenl TN3 OEB Company secretary J E E Dix Ped(in Independent audltor Crowe U.K. LLP Riverside House 40- 46 High Street Maidslone Kent ME14 1JH Solicitors Thomson Snell and PassrYK)re 3 Lonsdale Gardens Tunbridge Wells Kent TN11NX Page 1
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) TRUSTEES. REPORT FOR THE YEAR ENDED 31 AUGUST 2021 The Truslees present their annual report together with the audited financial slalemenls for the period 1 September 2020 10 31 Augusl 2021. The Trustees confirm Ihat the Annual Report and financial slalemenls ol the company comply with the currenl slalulory requ1MentS, the qUIrementS ol the company's governing document and the provisions ol the Slalemenl of Recommended Practice {SORPI, applicable to charities preparing their accounts in accordance with the Financial Reporting Stsndard applicable in the UK and RepLiblic ol Ireland IFRS 1021 leffeclive 1 January 2015} as amended by Update Bulletin 1 {effective 1 January 20151 and Update Bulletin 2 {effeclive 1 January 20191. Structure, governance and management Constitution The Company is incorporated under Ihe Companies Act and is registered in England & Wales under number 14e8893.11 is limited by guarantee and a registered charty under number 279267. govemed by its Memorandum and Articles of Association, and does not have a share capital. The liability of its members is limited lo £1 each. b. Organisation The Governors, who are also the charrty trustees. are responsible for the overall management and control ol the School and meet as a Board at least three limes per year. More detailed work is undertaken Ihrough a committee slruclure." Ihe Education and Pastoral Commillee. Premises Committee and Finance Committee. Each CDmmillee mee15 lermly. There are a number of Governors with indimdual responsibilities lor example, there is a Governor responsible for Saleguarding. Governor responsible lor Heallh and Safely and a Governor responsible for Boarding. All Governors give freely ol their lime and no remuneration or expenses were paid in the year. No Governor or person ¢onne¢led wrth a Governor recewed any benefil from erther means lesled bursaiies or scholarships awarded lo our pupils. Governors attach gieal importance lo the strongest possible safeguarding arrangements, effective pastoral care and lo ensuring that the Schwl's teaching methods meet and will continue lo meet pupils, needs $0 that all pupils reach Iheii lull potential. Recruilment and tralning of Governors to Ensure Governance Standards The Governing Bcxly requires breadth and depth of experien lo carry out ils duties effectively and efficiently. When iecruiling new trustees a key allribule is a passion lor the work ol our School and an understanding of education as a holisti¢ and rounded experience of personal growth. We invile senior Iwal business people lo consider joining our Board and aayS ensure that the majorrty of our Governors have had personal experience ol Ihe School either as a pupil or as a parent whose child or children allended the School. Where ptsssible, the Governors consider Ihal Ihe skills and experience of the Board should indude the following.. A Governor with a legal background., A Governor with a financial andlor accounting bat*ground' A Governor with education experience", A Governor with senior managerial or business experience-, A Governor with expertise in buildings. land andlor property". A Governor wrth experience of equal opportunitie5 or disability needs," and Al least one female Govemor and al least one male Govemor. One Governor may have one or more of these skills. The Board aims lo ensLtre a good balance of male and female members and lo reflect the diversity ol our pupil Ily. All new Governors are encouraged lo altend courses run by the AssockAlion of Goveming Bodies ol Independent Schools IAGBISI lo help understand their role. Govemois also keep up lo date with other courses such as the lalesl Safeguarding training. Governors with Specif responsibililies le.g. safeguarding, boarding etcl allend Page 2
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2021 Structur¢, governance and management Icontinuedl relevant courses and, excepting during the ongoing pandemic. Governors regularty visit the School lo see il in action and spend lime with pupils and staff. The Board of Governors continues lo review its effectiveness and is mindful of the seven key principles of good governance laid out in the Chality Governa[e Code lo ensure the besl possible delNery of the charitls aims. d. Key management personnel The Goveinors consider that they, logelhei wth the Headmaster, Bursar, Finance Bursar and Senior Management Team comprise the key management personnel of the School. Arrangements are in place for selling the remuneration lor key management personnel and, the board has taken into consideration benchmath information and market pay for these roles. This exercise, logether with the overall remuneration of other personnel, forms part of the board's annual salary review, as part of the budget process. which again lakes account of market rates of pay and relevant benChalk reports. Organlsalional Management The Governors delemiine the general poliw of Ihe School. The day40-day running of the School is delegated lo the Headmaster, supported by senior staff. The Headmaster undertakes the key leadership role overseeing educ81ional. pastoral and adminislralive functions in consullation with the senior slaff. The day-Ic>-day adminislralion of the School is undertaken within the policies and piocedures approved by the Governors which provide for only significant expenditure decisions and major capital projects lo be referred to the Governors foi prior approval. The Headmaster oversees the reciuitment of all educalional staff, whilst under delegated authority the Bursar oversees the recruilment of adminislralive and non4eaching support staff. The Headmaster and Bursar are invited to attend all Govemors, meetings. with other specialist 51aff invited as required and appropriate. f. Risk management The Governors are responsible for the overseeing of the risks facej by the School. Detailed consideralions ol risk are delegated to the Senior Management ol the School. Risks are identified, a55essed and conlrols established throughout the year. The key Controls used by the Company include." Budgeting and budget accounlabilrty Monitoring of pupil intake and ielention. yeaf on year Formal wrillen policies Safeguarding, including ongoing review of policy and an annual audit presented to Governors Aulhorisalion procedures Internal health and safety idenlrficalion, assessment and implementation PToclUreS Teims of reference, regular meeting dales and ¢o-oplh)n pr¢xedures for all comm111ees The School has control of a subsidiary company. Holmewood House Properties Limited. This Company owns some of the land and buildings from whh the School operates. The School purchased a controlling interest in Holmewood House Properties in May 2003 lo ensure ils continued use of the giounds and buildings. Objectives and activities a. Charitable objectlves of the Company. The Memorandum of A$SlatIOn of Holmewood House School restricts the Company lo the piovision ol education but permits the directors, powers lo ¢ondu¢t a wide range of actwities in support of its aims. This is the responsibility of the goveinors. who are also the diieclors of the Company and the trustees of the Charity. None Page 3
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2021 Objectives and activitiès (continued) ol the directors receives any remuneration. b. Ethos We aim lo be a caring School wthing for the benefrt of our pupils and serwng our local community and society. We a a Charity which seeks lo benefil the public through the pursuit ol ils staled aims. Our fees are sel al a level lo ensure the finan¢ial viability of the School and al a level that is con5151ent with our aim of providing a first class education lo boys and girls. Our School welcomes pupils from all backgrounds. To admrt a prospective pupil we need to be satisfied that our School will be able lo educate and develop a prospective pupil to the best of their potential. Entran¢e assessments and "taster days" are undertaken lo satisfy parenls and ourselves that potential pupils can cope with the pace of learning and benefit from the education we provide. An individual's economic slalus. gender, elhnicty, race, religion or disability do not form part of our assessment processes. We are an equal opportunrty organisalion and are commilled lo a working environment that is free from any form of discrimination on the grounds of colour. race, ethnicity. religion. sex, sexual orientalion, disability or any other "pioleded ¢hara¢lerislic'. We wll make reasonable adiuslments to meet the needs of staff or pupils who are or become disabled. Our School is committed lo safeguarding and promoting the welfare of our pupils and expeels all staff and volunteers lo share Ihis ¢ommilmenl. In the School's most recent Educational Qualrty Independent Schools, Inspeclorale report, the quality of our pupils. personal developmenl was rated as Excellent Ilhe highest rating of the Inspecloralel. The report noted how our pupils were highly confidenl. molivaled and sell-assured and Ihal pupils develop high levels of self-esleem. The S¢hool also successfully completed ils Regulatory Compliance inspection during 201912020 meeting all standards in the Independent School Standards Regulations. Parents are given regular information aboul their children's so¢kal and academic progress through parent evenings in addition lo the tradrtional end of lenn and year reports. We mainlain regular ¢onlact with parents throughout the year through informal contsct and our newsletter. Oltyer pupils have a Foim Tutor and House Tutor responsible for pastoral care arsd academic development. In line wlth Government Policy, we actively promote "British Values. and meet the obligations upon us arising from Ihe-Prevenl- anli-radicalisalion strategy. The School's values are SeSf-Belief, Aspiration and Kindness. c. Aims The School operates as a charitable company limited by guarantee whose Articles of Association include the regulations lor appointment ol Governors. all of whom are Iiustees of the Charity and directors of the Company. The objects ol the SchLY)l are the a1JvanMen1 of education lincludinu social and physical Irainingl ol boys and girls. We aim lo provide a first class education lo boys ar girfs from the ages of 3 10 13. We seek to provide a slruclured educational environment that develops our pupils. capabilities, competences and skills. We promote the academic, moral and physical development ol our pupils through our academic curriculum, nurturin9 pastoral care, appiecialion of and engagement wilh the arts, sport and other activities. We provide an educational environment where each student can develop and fulfil his or her polenlial, building their sell-confidence and fostering a desire lo conliibule lo the wider community. In so doing, we prepare our pupils lor the opportunities, responsibilities and experience of later life. d. Objectives Our Govemors are responsible for setting a strategy and objeclNes that fIe¢l the educational aims, ethos and values of the School. The focus for the School is on the development of our pupils. their conlinLJed high levels of academic and COrrICUlar achievement and lo lurthei widen acce5S to Ihe education our School provides. 11 is importanl Ihal we continue lo enhance Ihe academic, pastoral and broader educational provision of the School to achieve this. In setling our objectives and planning our activities. our Govemors have given careful consideration Page 4
HOLMEWOOD HOUSE SCHOOL IA company limlted by guararbtee TRUSTEES, REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2021 Objectives and actlvlties Icontinugdl lo the Charity Commission's Publ benefit guvjance. Our key objedives for the year included- Furthering the new 5 year Strategic Vision through the implementation ol the School Development Plan and ils pillars of Teaching and Learning. Pastoral and Boarding, Commercial and Eslales Development Continuing a programme lo review antl improve the curriculum delwered throughout the School. Review and benchmark the School's academic syllabus, leaching prae5 and examination results Further development ol the first class pastoral care and cO<Urr{l1ar activities, so that all pupils will be ready, al the end of their time th us. lo move to Ihe senior schod most appropriate for their further develDpmenl Investing in the lechnolo9y. infrastructu. buildings and grounds of our School lo beller support the educational provision Continuing lo improve the School's benefrt to the public through supporting pupils in awarding bursaries and scholarships lo ensure wider access from all backgiounds.. playing a part in the life of our local community Ihrough providing acces5 to facilities to the public, dubs and associations.. cooperating and sharing reSoUrS wifh local s¢hools A¢hievement5 and performance a. Revlew of activities Impacl of Coronavlrus Pandemic Once again. in January 2021, as a sU11 of the ongoing pandemic, schools sites weie required lo close lo all pupils lexcepl Nursery and key worker Children) as part of a naliThide lockdown. The School responded by immediately moving to our remote leaming provision. 'Holmewood@Home'. This provision was enriched further from our experiences in the first lockdown in 2020 to ensure the very best possible academic, pastoral and co- curricular offering could continue. The School was very grateful for the excellent parental support and feedback the school received. Toward the end of the Spring lemi, the School was able lo welcome back our pupils. This was a complex logistical exercise lo ensure adherence lo rapidty changing Goveinmenl guidance, bul the school's le8¢hing and support staff worked tirelessly lo make the process 8$ smooth, welcoming and reassurin9 for OUT parents and pupils. The Governors were very keen lo ensure ongoing support lo all members ol the Holmewood Community and the Community Support Fund was able lo continue lo support parents and staff suffering financial distre55 as a result of the pandemic. The fund has been able lo support a large number of parents and staff in need thanks lo the generosity of kind parents, staff and Govemors who contributed mosl willingly. Academlc The past year has seen significant evolution in our delivery of qualty leaching and learning across the school. Our leacheTS have once again adapted rapidly lo the ongoing challenges of the pandemic lo deliver excrting, vailed and challenging learning experiences for our pupils. Teachers have become skilled al their use of digitally enhanced learning to support learning for all pupils. The School has made great progress in our differentiation lo meet the wde array of learner needs, wrth teachers using newly acquired digital platforms such as Century Tech {a Math5. English and Sciences learning platform} and Language Gym lo assist the rapid differenlialion. These digital leaming platforms generate powerful data on the progress of each pupil, allowing teachers lo adapt in real time_ This ensures teacher input is well-tailored lo the needs of ea¢h class. With the return lo the Classroom, newly acquired digital skills allowed colleagues lo be very creative and learners have enjoyed the enrichmenl possible fiom the use ol te¢hnology. In 2021, the School's pupils have been awarded 18 scholarships and exhibitions to a wide variety of schools Page S
HOLMEWOOD HOUSE SCHOOL IA Company limited by guarantee} TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2021 Achievements and performance {continuedl including majc>r awards to Tonbridge, Eastbourne. Brighton, Harfow, Miiifiekf, Bede's and Sevenoaks Schools. In addition, pupils achieved places al Harrow, Bnghton. Tonbridge and Sevenoaks based on their perfoman¢e in the scholarship examinations. The variety ol schools and awards is conlinuing evidence of the success of the School's ethos lo allow all pupils to find their strengths and pu¥sue their passions lo an exceptional level. 54 pupils completed their educalion al the School al the end of Year 8 and left us in July 2021. Amongst the achievements ol these leavers were". 4 Academic Scholarships 6 Sports Scholarships 2 Music Scholarships and 1 Music Exhibitions 1 Drama Scholarship5 1 Art Scholarship 2 All Roundei Award 1 DesKJn Technology Award 5 pupils passed on scholarship papers. All other pupils passed on Common Entrance lo their fir51 choice schools. 26 pupils completed their education al the School al the end ol Year 6 and left us in July 2021. 01 these leavers.. 18 went lo independent senior schools through various examinations, including 1 music award 8 went lo slate grammar schools through the Kent 11+ examinalK>ns Co curricular activitles Clubs Activities & Hobbies The Activities programme nesSarilY had lo adapt lo the ongoing Covid constraints. Changes were made whenever circumstances allowed.. lor example. lo cater for musical activities or whole school events. Nonetheless, the pupils diLI lake part in plenty of inleiesting activrties enjoyed all the more given the limits being applied more widety. A review of the Activities programme was conducted in the recent assessment of the school day and further development of a fich activities programme is ongoing. Art The conslrainls from the pandemic did present some challenges to the Art and Pottery department, but Art lessons were able lo lake place in form rooms and remotely using Teams and Zoom. Creative approache5 were applied lo ensure the subject remained engaging and fulfilling for the pupils. The department was able lo further eniich ils leaching with the return to specialisl facilrties within the Art Room and Pollery in the Summer Term. Each year group worked with Clay and as many 3D. messy projecls as was manageable lo counterbalance the time spenl using more technical media in sketchbooks. It was a very successful term lor Art, rounded off with an Arts Week run by Ihe Art and DT departments in the penultimate week of term. where pupils in Years 3,4,5,6, and 7. worked collaboralNety on large-scale murals on canvas and wood panels. A Year 8 pupil was awarded an Art Scholarship lo Eastboume College in the Summer Term. after building an oulslanding body of artwork over the last few years. Three other Year 8 pupils also applied lor Art Scholarships lo Ardingly and Brighton College. This is a measvre of the high quality work our pupils are Producing in their lime al Holmewood. The year highlighted lo the department, just how important the ¢wtive subjects ale, especially for Ihose pupils and families that had been isolated at home over the last year. 11 presented an opportunity to reevaluate different ways In which the subjecl can be delive¥ed and PTesenled.' it was both a challenging and a very rewarding year lor staff and pupils. DT The department ha5 worked hard to maintain a varied. exciting and a popular Curriculum. During this year, DT Page 6
HOLMEWOOD HOUSE SCHOOL IA company limtted by guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021 Achievements and performance {continuedl has provided creative projects for the pupils lo work on al home wth a basK craft pack provided by the school. Covid protocols constrained our pradi¢al teaching, bul rt wa5 very pleasing lo see Ihe creative approaches from the students in designing and making al their desks or even online through remote learning and pupils produced some excellent work from home. Computers and the laser cutter have been invaluable Ihrough this time. allowing the students to work to some degree with resistant materials while the Workshop wa5 nol available. rhe pupils start lo use the facilities as young as Year 4 up lo Year 8. The Department has ils own sel of laptops which are used exlensively with specialist software. This enables greater ehoice and differentialion of abilities. and spontaneous augmenlalion ol their work. Despite pandemic constraints. our curriculum covered dNerse subject such as'_ Looking al materials and the environment, Robots and Designers. analysing existing products. copying mechanisms. using computer CAD (Computer Aided Desn) and CAM Icompuler Aided Manulactuiel, conslrucling in a traditional way along-side m¢yJern manufacturing techniques. producing graphical packaging. soldering electronie circurts, sewing with compliant materials and lots of sketching and modelling. Finally, the department was very pleased lo be able lo support a Year 8 pupil to achieve a OT scholarship lo their senior school. Lamda and drama Despite the difficulties presented in the pandemic, LAMDA remained extremely popular during Ihe lockdowns and reduced amount of time al school. Once again, the pupils exceeded expeclations with 63 pupils achieving distinctions and 5 merits. The department was also pleased that we had a Year 8 pupil succeed in allainin9 a senior school scholarship. Year 3 and 4 staged 'Alice in Wonderland, in the Walled Garden, requiring a creative approach lo lighting and sound. Parents very much enjoyed having a picnic and watching the production. Pupils have completed the film course which premiered al their own 'OscaTS Evening.. where they Te awarded for their achievements in drama. Year 8 performed their leaveis play 'Play in a Day, in Ihe theatre Sad wlhout an audience due lo pandemic constraints, bul the pupils raised themselves admirably lo the challenge when not receiving audience feedback. Finally, we were very pleased lo learn of the drama scholarship achieved. Music Innovative approaches were required this year lo ensure the leaching of musi¢ was both Covid secure bul still as enriching and engaging as possible. Class music was made possible by leaching in fomi rooms, and al short notice the curriculum was reworked so Ihal it could be delivered both in Ihe classroom and remotely. A virtual carol service was made possible by the setting up of specialist bubbles which were able lo perform in the Church and thi5 ereative thinking was much appreciated by the parents who could still enjoy the service albeil remotely. We were very pleased when the year 6 choir weie able lo perform for Radio Kenl and were aired twice, both on Chrislmas Eve and Christmas Day. Musical groLJPS and concerts were able lo continue. sadly not lo INe audiences. bul through INe streaming lo very grateful parents. The summer lem saw the welcome relum ol year group ensembles and choirs. Concerts continued with 9roup perfOM)anS as well as individuals. Throughout this ever-changing musical enwronmenl Ihere were three music awards given lo pupils going lo Tonbrid9e, Harrow and Sevenoaks. This was an outstanding achievement because ol their disrupted learning Page 7
HOLMEWOOD HOUSE SCHOOL {A company limtied by guarantee} TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2021 Achlevements and performance lconlinuedl lime, as were the ABRSM exams that were completed by resilient pupils given the constraints involved. Sport Holmewood House's 5POrting provision has remained child cenlred Ihrovghoul the pandemic and during our return lo School. We have allempled lo engage 311 pupils in a variety of sporting activities so they feel happy lo lake part in physical exercise and enjoy the inler-relalionships il develops with their peers. We aim lo achieve 100Q/D participation rates when inler school sport is funclioning to full capacity. allowing pupils lo enjoy the whole experience and grow in resilience as a consequence of training and compelilion. During the remote leaming phase Physical Education was available to every child in the school and live lessons were the main medium through which lessons were laughl. The focus was on enjoyment and Illness with various challenges which could also be completed in Ihe pupils. own lime as well as in the lesson. Videos were also available for pupils and the work was posted in advance on Teams. We developed the piovision in the second lock down with an a¢livity al Ihe start or end of each day. These sessions were recorded and again made into videos so that they were available lo all pupils. The Sports Department was very creative when school resumed after the first Ik down with only internal sport taking place. More aclivilies and sports were available lo pupils during their games sessions and leagues were formed lor Wednesday afternoons. so that pupils slill experienced competition and match play. When returning lo fixtures in the summer of 2021 a total of 72 cricket. 62 hockey and 92 football matches were played. Notable sporting success included.. U10 boys won the Sulton valen 6 &side Toufnament Year 8 girl playing foT Sussex County Cricket The department wa5 extremety pleased lo be able lo support 6 pupils achieve sports scholarships lo Senior schools IlUding Bnghlon. Hurslpierpoint and Mayfield. b. Our Bursary and Scholarship Awards 11 is important lo us that access lo the education we offer is not $tricted lo those who can afford our fees. The School's Bursary and S¢holarship policy focuses mole iesouices on bursary support lo further increase access lo Holmewood. We believe all pupils benefrt from learning within a diverse COTnmunity. A great deal of learning occurs through social inleraclion. conversation and shared experiences which helps our pupils develop an understanding ol the perspectives of olher people Ihal will be vitsl in their adult Iwes. During the academic year 2020121 some 41 pupils weie in ieceipl of bursary antllor scholarship support lo a lolal value of £255.15413.81°A of gross school fees}. Assistance for Our Teaching Staff - As part of our emphasis on attracting and felaining high calibre staff. we offer a discount scheme where staff members choose lo educate Iheir children al our School. Support from Ihe John Collings Trust- The Govemors are, as eveT. hugely grateful for the support received from the John Collings Trust which during the academic year 2020121 supported two pupi15 to remain al the S¢hor)l. In addition, during 2020r21 and the ongoing pandemic, the School continued lo receive donations lo a Community Support Fund. This fund continues lo supports parents and staff who ale suffering a¢ule financial distress as a result ol the pandemic. Pag& 8
HOLMEWOOD HOUSE SCHOOL {A company limited by guarantee} TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021 Achievements and performance (continued} ¢. Our Contribulion to the Wider Community The School recognises ils iesponsibility lo contribute to the wider community and is engaged in a large number ol projects and activities that make a significant impact in a wde variety of contexts. This has been particularly important during the ongoing pandemic. During the year the School launched a fundraising for a new fund lo support schools in our local community. The response of pa¥enls and other members of oui community was extraordinary, and the School was able lo supply 64 laptops, 19S stationary packs and 160 wellbeing packs across 6 local prirnary schools. Food vouchers have also been an ongoing need during the school holidays and we have supported 37 local families this year. Two schools have benefitled from restocked librarie5 where we purchased a book for every child lo replenish SoUrs. A local aclwily group Ilhe All-ln Club} for deprived andlor disabled children has had their budget for this year mel by Holmewood. In addition, the School supported a number ol other community iniliatwes examples of which are shown below.. Provision of evenin9 and weekend swimmin9 courses for over 400 non-Holmewood pupils A visiting programme for our PAT dogs lo a local nursery schc*)I lo engage and support youn9 pupils Hosting a stage school on Salurdays to encourage dramatic productions in the local community Provision ol holiday courses during the Easter and Summer holidays on a range of sporting, artistic and creative activities attended by a large number of pupils from the ILKal community Making available our theat and sports facilities lo a number of local clubs and associations Pupils from local maintained primary schools make use of our swimming pool in order lo deliver their pupils, national curriculum lar9el The School encourages our pupils lo contribute lo society. The pupils have supported a number of charities including.. A House run challenge fow pupils lo bring in much needed Iwd donations to the local charity ol Nourish who work lo provide essential supplies lo the most needy in the local area. A sponsored sleep out for Porchlighl. a Kent based charity supporting homelessness in Kent. House run event for Mcmillan Cancer Care. raising funds and awareness ol thi5 charity. d. Golng con¢¢rn In their assessment of going concem. the Trustees have considered the ongoing impact on the charitable company as a result of the COVID19 virus. This has had a signrficanl impact on the charitable company's operations. The financial impacts as a resurt of the nationwide lockdown and ensuing remote learning operation were miligaled through appropriate measures such as curtailment of nonessential expenditure and accessing support provided by the Government Ihiough the Coronavirus Job Retention Scheme. The Tfuslees continue lo monitor the situation as the pandemic prolongs and recognise that the effects will extend into the 202112022 financial year and possibly beyond. The Governors and School continue to adjust financial and operational plan5 for the future (for example by reintroducing remote leaming and cost controls where necessary) lo ensuie the adverse effe¢is and risks ale mitigated as effeclivety as possible. The Truslees have updated their annual budgets and forecasts based on eslimales of the impact of the pandemic and have a reasonable expectation that the charitable company ha5 adequate resources lo ¢onlinue in operational existence for the foreseeable future. Having regard to the above, the Trustees believe it appiopriale lo adopt the going concern basis of accounting in preparing the financial stalemenls. Flnancial review Financlal performance The financial slalements shcm nel incoming resources for the year on School aclivilies of £171,382 12020 Pag& 9
HOLMEWOOD HOUSE SCHOOL IA Company limited by 9uarantee} TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2021 £399.8871. The principal source of income is fees accounting for 92.7Qh of the School's income. As the School is charity, the parents ol our pupils have the a55uran¢e that all income musl be applied for educational purposes. As an educational ¢harily we enjoy lax exemption on our educational activities and on any investment income and gains provided these are applied for our Charitable aims. As a charity, we are also entitled lo an 800/0 reduction on our business rates on the property we occupy for our charitable purposes. The financial benefits we receive from Ihese lax exemptions are all applied for educational purposes and indirectly help us lo maintain our bursary policies. We are, however. unable lo ieclaim VAT input lax on our costs as we are exempl for VAT purposes. We also pay lax as an employer through the national insurance contributions we make. In addition to the very subslanlial benefits our School biings lo our pupils and wider society through the education we offer, our bursary programrne and the sharing of our facilities with maintained schools and local ¢ommunrty groups create a social asset wilhoul cost lo the Exchequer. b. Reserves policy As slated in Ihe'reserves" note to these a)UnIS the unrestricted tunds al Ihe balance sheet date amounted lo £12,722,35612020 £12,550.9741. The School's free reserves, in common with many other independenl schools, is a negative figure. This is Calculated as reserves less fixed assets less designated funds and amounts lo £1.016,L73312020.. £1,602,384). This is because the School has invested substantial sums into new buildings in recent years and has a continuing programme ol refurbishment. development and investmenl lo maintain excellent lea¢hing facilities. Reslricled reserves related lo the Communily Support Fund selup during the year lo support parents and staff lacing financial hardship during the coronavirus pandemic. The Governors regularly review the Sch(K)I's finances. budgels and spend against budget. The Govemors, poli¢y is lo aim lo hold al leasl £1m in cash lo fund any unexpected expendrture or shortfall in Income. The Governors believe that the current levels of reserves are acceptsble given that Ihe School's future income streams. c. Our Buildings, Facilities, Maintenance and Development A crucial element ol the Sch(K)I's ongoing strategy is the first class upkeep and development of our eslale to ensure the besl possible support to our educational provision. Wrth the prevailing Covid pandemic, the scope of major pioje¢ts was impacted. Nonetheless. the following prqects are examples of ongoing developments completed in the year". Pfe-Prep refurbishment in the Reception corridor Conlinualion of fire safely programme with boarding fire door upgrades Installation of fire escape trom the Medical Centre proving enhanced fire safety and accommodation Development works to staff accommodalion in The Mansion House, providing improved facilities for overnight accommodation Temporary hard-slanding lo the east of The Mansion House lo support Covid parking strategy for staff The Mansion House Lobby decoration The Govemors are grateful for the continued support of the Friends of Holmewood House School for their ongoing furHI raising and their contributions to the School facilities. Page10
HOLMEWOOD HOUSE SCHOOL IA Company limitèd by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2021 d. PLANS FOR FUTURE PERIODS Future developrnents As part of developing future plans lor the School's pastoral and educalional provision, the Governors actively consult with staff, parents and students. The Governors maintain the School's strong position in a competitive mat*el by investing to provide high qualrty education for our pupils. Achieving an ex¢eplional standard of academic results 15 a consianl aim whilst maintaining the bTeadlh and depth of the education provided. The Headmaster and senior staff continue lo review the curriculum lo ensure that the educational pathways offered remain appropriate for our pupils. development while al the same lime reducing the bLJrden on Common Entrance candidates In Years 7 and 8. The ongoin9 development of the infraslrudure and facilities of the School lo support the educational provision are also Central to our strategy. Our future plans are financed PTimaTity from fee income and reserves yel we are exploring additional revenue streams lo enhance the School's financial performance. The Governors ale mindful ol maintaining a balance ensuring our current pupils benefit whilst, al the same time. ensuring a sound infrastructure and financial base are presetved for the next generation in the same Wdy as our curient pupils benefit today from the investment made in the past. The Governors also view our bursary and scholarship awaTds as important in widening access lo the education our School provides. Strategic Vision The Governors and siaff ¢onlinue to develop the School aligned wth the S Year Strategic Vision lo ensure the School maintains the exceplionalty hKJh stsndards il sets itself and lo enhance the educational provision for the future. The purpose of the School is lo provide an enriching enviionmenl for leafning that develops the essential qualities and character in all our pupils lo allow them to make a posilNe difference lo society. Within that conlexl, the four key themes ol the Vision afe shown below.. Teaching and Learning- An excrting and 'fuluTe emp(r•vered' MIng which nurtures potential resulting in eXpIlOnal results for our pupils Pastoral and Boarding- A chlkl-cenld approach which allows children lo flourish and enjoy the wonder of Childhood Eslales- A cohesive 'One School. site with exceptional eslale standards that fully supports the learning experience of our pupils Financial- A strong commercial proposition to fund our educational aspirations and lo widen ae$S lo Holmewood education Page 11
HOLMEWOOD HOUSE SCHOOL IA company limited by guarante91 TRUSTEES. REPORT {CONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2021 Statement of Trustees. responsibilities The Trustees (who are a150 the d1ClOrS of the Company for the purposes of company lawl are responsible for preparin9 the Trustees. report and the financial slalements in accoréance wrth applicable law and United Kingdom Accounting Standards (United Kingdom GeneraltyAccepted Accounting Praclicel. Company law requires the Trustee5 to prepare financial ststemenls for each financial year. Under eompany law, the Trustees musl not approve the financial slalemenls unless they are salisfied that they give a true and lair view of Ihe slate of affairs of the Group and the Company and of their incoming resources and application of resources. including their income and expenditure. for that period. In preparing these financial stalemenls, the Trustees are required lo". selecl suiiable accounting policies and then appty them consislenlly, observe the methods and principles ol the Charilies SORP IFRS 1021", make judgements and CountIng eslimales that are reasonable and prudent.. slate whether applicable UK Accounting Standards IFRS 1021 have been followed. subject lo any material departure5 disclosed and explained in the financial slalemenls", ppare the financial slalemen15 on Ihe going concern basis unless it is inappropriate lo presume that the Group will continue in business. The Trustees are responsible for keeping adequate accounting records that are sufficienl to show and explain the Group and the Company's transactions and disclose wrth reasonable accuracy at any time the financial position of the Group and the Company and enable them lo ensure Ihal the financial slalemenls comply with the Companies Act 2006. They are also responsible for safeguarding the assets of Ihe Group and the Company and hence for taking reasonable steps lor the prevention and detection ol fraud and other irregularities. Disclosure of information to audltor Each ol the persons who are Trustees al Ihe time when Ihis Trustees, port 15 approved has ¢onlirmed Ihal.. so far as Ihal Trustee is aware, there is no relevant audil inlormalion of which Ihe charilable group's auditor is unawa. and that Trustee has taken all the steps that ought to have been taken as a Trustee in order lo be aware of any relevant audrt information arKI to establish Ihat the charitsble group's auditor is aware of Ihal information. Auditor The audilor, Crowe U.K. LLP, has indicated his willingness lo continue in office. The designated Tiustees wll propose a motion reappointing the auditor al a meeting of the Tnjstees. Approved by order of the members of the board of Trustees and signed on their behalf by.. TTTr, J J Thompson Trustee Dale.. Page12
HOLMEWOOD HOUSE SCHOOL IA company limited by guarant801 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF HOLMEWOOD HOUSE SCHOOL Opinion We have audited the financi81 slalements ol Holmewood House School Ithe'parenl charitable company'l and ils subsidiaries Ilhe 'group'l for the year ended 31 August 2021 whh comprise the Consolidated slalemenl of financial aclivilies, Ihe Consolid*ed balance sheet. the Company Iyalan sheet. the Consolidated slalemenl of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework thal has been applied in their preparation is applicable law and United Kingdom A¢¢ounling Standards, including Financial Reporting Standard 102 'The Finanaal Reporting Standard applicable in the UK and Republi¢ of Ireland, (Unrted Kingdom Generally ApIed Accounting praCte). In our opinion the financial slatemenls.. give a true and fair view of Ihe state of the Group's and of the parent charitable companls affairs as al 31 August 2021 and ol the Group's incoming resources and application of resources, including ils income and expenditure for the year then ended.. have been properly prepared in accordan with United KiThJdom Genef81ty Accepted Accounting Practice.. and have been prepared in accordan with the requirements of the Companies Act 2006. Basls for opinion We conducted our audit in accordance wrth International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilrties undei those slandards are further described in Ihe Audilorfs responsibilities for the audil of the financial slalements section of our pOrt. We are independent ol the Group in accordance with the ethical requirements that are relevant to our audit of the financial slalemenls in the United Kingdom, including the Financial Reporting Council's Ethical Standard. and we have fulfilled our olher ethical responsibilities in accordance with these requirements. We believe that the audit ewidence we have obtained is Sufficient and appropriate lo provide a basis for our opinion. Concluslons r&lating to going concern In auditing the financial slalemenls, we have ¢onduded that the Trustees. use of the going concern basis of accounling in the preparation of the Iinancial statements is appropriate. Based on the work we have performed, we have not Hlenlified any material uncertainties relating lo events or conditions that, individually or wllectively, may cast significant doubt on the Group's or the parent chaiilable companls ability to continue as a going concern for a period of al 2st twelve months from when the financial slalemenls are aulhorised for issue. Our responsibilities and the responsibilities of the Trustees with reSpt lo going concem are described in the relevant sections ol this report. Page 13
HOLMEWOOD HOUSE SCHOOL IA company limited by guaranteg) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF HOLMEWOOD HOUSE SCHOOL ICONTINUEDI Other information The olher information compiises the information included in the Annual report other than the financial slalemenls and our Audrtorfs report thereon. The Trustees are responsible for the other infoimalion contained within the Annual report. Our opinion on the financial siatemenls does not cover the other information and, except lo the extent olhttrwise explicitly 51aled in our report. we do nol express any form of assurance conclusion thereon. Our responsibility is lo read the other infom)alion ar)d, in doing so, consider whether the other inlormalion is materially inconsislenl with the financial statements or our knowled9e obtained in the course of the audit, or otherwise appears lo be materially misslaled. 11 we identify such material inconsistencies or apparent material misslalemenls, we ale required to determine whelhei this gives rise to a material misslalement in the finan¢ial statements themselves. If, based on the work we have performed. we conclude Ihal there is a material mi551alemenl ol Ihis other information, we are required to feport that fad. We have nothing lo 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 audrt.. the infomialion given in the Trustees. report for Ihe financial year for whh the financial statements are prepared is consistent with the financial stalemenls. the Trustees. report has been prepared in accordance with applicable leg81 requirements. Matters on which we are required to report by exception In the lighl of our knowledge and understanding of the charitable company and ils environment obtained in the course of the audit, we have not idenlified material misslalemenls in the Trustees. report. Vve have nothing lo report in respect of the foll"ng maiters in relation lo which Companies Act 2006 requires us lo report lo you if, in our opinion.. the parent charitable company has not kept adequate and sufticienl accounting records, OF returns adequate for our audit have not been received from branches not visited by us., or the parent charitable company Iinancial stalemenls are not in agreement with the accounting records and relurn5', or certain disclosures of Trustees. remuneration spectfied by law are not made.. or we have not received all the inlomiation and explanations we require for our audrt. Page 14
HOLMEWOOD HOUSE SCHOOL
IA company limited by guarantee)
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF HOLMEWOOD HOUSE SCHOOL
ICONTINUEDI
Responsibilities of trustees
As explained more fvlly in the Trustees, responsibilities slalemenl. the Trustees Iwho are also the directors of the
charitable company for the purposes of company law} are Tesponsible for the preparation of the financial
slalemenls and for being satisfied that they give a true and fair view, and for su¢h internal control as the
Trustees determine is necessary lo enable the preparalion of financial slalemenls that are free from material
misslalemenl. whether due to fraud or error.
In preparin9 the financial stalemenls. the Trustees are responsible for assessing the Group's and the parent
charitable Company's ability lo continue as a going concem, disclosing. as applicable, mallers related lo going
concern and using the going concern basis of a¢¢ounling unless the Truslees either intend lo liquidate the Group
or the parent charitable company or lo cease operations, or have tKJ lea111¢ alternative bul to do so.
Auditor's responsibilities for the audlt of the financial statements
Our objectives are lo obtain 8$Onable assurance about whether the financial statements as a whole are free
from material misslalement, whelhei due lo fraud or eiror, and to issue an Audilorfs report that includes our
opinion. Reasonable assurance is a high level of assurance, bul is nol a guarantee that an audit ¢onducled in
accordance with ISAS IUKI will aayS detect a material misstatement when il exists. Misstatemen15 can arise
from fraud or erfor and are considered material rf, individually or in the aggregate. they could reasonably be
expected lo influence the economic decisions of users taken on the basis ol these financial slalements.
Irregularities. including fraud, are instances of non
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF HOLMEWOOD HOUSE SCHOOL (CONTINUED} A further description of ovi responsibilities for the audrt of the financial slalemenls is located on the Financial Reporting Council'5 website al." wvhY.fi¢_or -uklaudiloisres onsibililies. This description forms part of our Auditor's report. Use ofour report This report is made solely lo the charitable companls members, as a body, in accordance wlh Chapter 3 01 Part 16 01 the Companies Act 2006. Our audil wort( has been vndertaken so that we mighl slate lo the Charitable companls members those matters we are requifed to stale lo them in an Aijdrtorfs report and for no olher purpose. To the fullest extent permitted by law, we do not a¢p1 or assume responsibility ID anyone other than the charitable company and rts members, as a bcmly, for our audrt w(*k. for this report, or for the opinions we have formed. lan Weekes (Senlor statutory auditor} lor and on behalf ol Crowe U.K. LLP Slalutory Auditor RiversKle House 40- 46 High Street Maidslone Kent ME14 1JH Dale.. 14 April 2022 Page 16
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNTI FOR THE YEAR ENDED 31 AUGUST 2021 Unrestricted funds 2021 Restricted funds 2021 Total funds 2021 Total funds 2020 Note Income from: Donations and legacies Charitable activities Other trading activities Investments other income 19,549 7,010,527 243,396 386 19,549 7,010,527 243.396 386 159,314 27.476 7,412,530 145, 707 9.366 438,046 159.314 Total income 7.433.172 7,433,172 8.033, 125 Expenditure on: Raising funds Charitable actNilies 171.335 7.084.463 171.33S 7.090,455 130,360 1,522,878 5.992 Total expenditure 7.255,798 5.992 7,261,790 7,633,238 Net movement in funds 177,374 IS.9921 171,382 399.887 Reconciliation of funds: Total funds broughl forward Nel incomellexpendilurel attributable lo the parent Company 12,531,062 19,912 12,550.974 12. 151,086 213.932 15,9921 207,940 401,061 12.744.994 13.920 12,758,914 12,552, 147 Nel expenditure allribulable lo non- ¢onlrolling inleresis 138.089) 138,0891 (1, 173) Total funds ¢arriod forward 12.706,905 13,920 12,720.825 12.550,974 The Consolidated slalemenl of financial adivities includes all gains and k)sses recognised in the year. The notes on pages 23 to 47 fomi part of these financial slalemenls. Page17
HOLMEWOOD HOUSE SCHOOL {A company limited by guarantee) REGISTERED NUMBER: 1468693 CONSOLIDATED BALANCE SHEET AS AT 31 AUGUST 2021 2021 2020 Notg Fixed assets Tangible assets 13 12.299,658 12.772,649 12.299.658 12. 772,649 Current a$sets Stocks Debtors Cash at bank and in hand 15 16 11.109 198.143 4.75S.046 8,781 333, 194 3,546,078 4.964.298 3,888,053 Creditors.. amounts falling due wi(hin one year 17 {1.928.94SI [1,691, 722) Net current assets 3,035,353 2. 196, 331 Total assets less Currènt liabilities 1S.335,011 14.968,980 Creditors". amounts falling due after fflore Ihan One year 18 12.612.654) (2.418,006) Total net assets 12,722,357 12,550,974 Charity funds Reslricled funds Unreslri¢led funds 20 13,920 19,912 Designated funds General funds 20 12.401,761 11.016,0321 12, 772,649 (1,602.384) 20 Toial unreslricled funds 20 11,385.729 71.170,265 Total funds 11.399,649 17,190,177 Non.controlling interests 1.322,708 1,360, 797 12.722,357 12.550,974 The Trustees acknowledge Iheir responsibilities for complying wrth the requirements of the Act wrth respect lo accounling records and pieparalion ol financial statements. Page 18
HOLMEWOOD HOUSE SCHOOL IA company Ilmited by guarantee REGISTERED NUMBER: 1468693 CONSOLIDATED BALANCE SHEET {CONTINUED} AS AT 31 AUGUST 2021 The financial slalemenls were approved and aulhorised for issue by the Trustees and signed on their behalf by.. J J Thompson Trustee Dale.. N Allan Trustee The noles on pages 23 10 47 fom part of these financial slalements. Page 19
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) REGISTERED NUMBER: 1468693 COMPANY BALANCE SHEET AS AT 31 AUGUST 2021 2021 2020 Note Fixed assets Tangible assets Investments 13 14 9,600,052 2,573.111 70.027.227 2.573.711 12.173.163 12,600,338 Current a$$o1$ Stocks Oeblors Cash al bank and in hand 15 16 q1.109 200.017 4.716.666 8, T81 293, 751 3,509,864 4,927.792 3,812,396 Creditors.. amounts falling due wrthin one year 17 {1,905,935} (1,668, 711) Net current assets 3.021,857 2, 143,685 Total assets less current liabilities 15,195,020 14, 744,023 Creditors.. amounts falling due after more than one year 18 12.610,7041 (2,416,056) Total net assets 12.584,316 12,327,967 Charity funds Reslricled funds 20 13,920 19,912 Designated funds Unreslricled funds Total funds 20 12,173.163 397.233 12. 600.338 (292.283J 20 12,584,316 12,327.967 The Companls nel movement in funds for the year was £256,349 (2020- £404, 109). The Trustees acknowledge Iheir responsibilrties for complying with the requi¥emenls of the Act with respect lo accounting records and preparation of financial slalemenls. The financial statements were approved and aulhorised for issue by Ihe Truslees and signed on their behalf by.. Page 20
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) REGISTERED NUMBER: 1468693 COMPANY BALANCE SHEET ICONTINUEDI AS AT 31 AUGUST 2021 J J Thompson Trustee Dale.. N Allan Trustee The notes on pages 23 10 47 fomi part of these financial statements. Page21
HOLMEWOOD HOUSE SCHOOL IA company limited by guarant¥&l CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2021 2021 2020 Cash flows from operating activities Nel cash used in operating activities 958,955 646,639 Cash flows from Investing activitles Oividends, interests and renls from investments Purchase of tangible fixed assets 386 166,7911 9,366 {107,901) Nèt cash used In investing actlvilies 166,4051 198,5351 Cash flows from financing activitie5 New borrowing Repayments of borrowing Interest paid 500,000 111 S,5141 168,0681 (151,389) (82,856) Net cash provided byllvsed inl financing aclivities 316,418 1234,2451 Change in cash and cash equivalents in the year Cash and cash equivalents at Ihe beginning of the year 1.208,968 3,546.078 313.859 3,232,219 Cash and cash equivalents at the end of the year 24 4.755,046 3,546.078 The notes on pages 23 to 47 fom part of these financial statements Page 22
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Goneral infom)ation Holmewood House School is company limited by guafanlee incorporated in England and Wales Icompany gislralion number 1468693 and chanty number 2792671. The principal aclivily 15 that ol an independent school. Ils registed address is al".- Barrow Lane Langton Green Tunbridge Wells TN3 03B Accountlng policies 2.1 Basis of preparation of financial statements The financial 51alemenls have been prepared in accordance wlh the Charities SORP IFRS 1021 Accounting and Reporting by Charities.. Slalemenl of Recommended Practice applicable lo Charities preparing their accounts in accordance wilh the Financial Reporting Standard applicable in the UK and Republic of Iieland IFRS 102} leffeclive l Janvary 20151, the Financial Reporting Standard applicable in the UK and Republ of Ireland IFRS 1021 and the Companies Act 2006. Holmewocxl House School meets the definition of a public benefrt enlty undei FRS 102. Assets and liabilities are initially recognised al historical ¢osl 01 transaction value unless otherwise staled in the ielevant accounts'n9 policy. The Consolidated slalemenl of financial aclivilies {SOFAI and Consolidated balance sheet consolidate the Iinancial statements of the Company ar¥J ils subsidiary undertakin9. The iesulls ol the Subsidiary are consolidated on a line by line basis. The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has nol presented its own Slalemenl of financial acliwlies in these financial slalemenls. 2.2 Company statu$ The Company is a company limi(ed by gualanlee. The members of the Company are the Trustees named on page 1. In the event of the Company being wound up. the liability in respect of the guarantee is limrted lo £1 per member of the Company. Page 23
HOLMEWOOD HOUSE SCHOOL IA company limited by guarant> NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Accounting polici¢s Icontinue(l) 2.3 Going concern In Iheir assessment ol going concern, the Truslees have considered the ongoing impact on the charilable ¢ompany as a result ol the COVID19 vinjs. This has had a significant impact on the ¢harilable operalions. The financial impacts as a Tesull ol the nationwide lockdown and remote learning operation were miligaled through appropriate measures such as curtailment ol non-essential expenditure and accessing support prowded by the Government through the Coronavirus Job Retention Scheme. The Trustees continve to monitor the situation as the pandemi¢ prolongs and recognise that the effects will extend into the 202112022 financial year and possibly beyond. The Governors and School Gontinue lo adjusl financial and opeialional plans for the future lo ensure Ihe adverse effeds and risks are miligated as effectivety as possible. The Trustees have updated their annual budgets and forecasts based on eslimales ol the impact of the Current crisis and have a reasonable expectation Ihal the charitable company has adequate resources lo continue in operational existen for Ihe foreseeable future. Having regard lo the above, the Trustees believe il appropriate to adopt the going cOnrn basis of accounting in preparing the financial stslemenls. 2.4 Fund accountlng General funds are unrestricted funds which are available for use al the discretion of the Trustees in furtherance ol the general objedives of the Group and which have not been desi9naled for other purposes. Restricted funds are funds which are to be used in ardance wrth specific restrictions imposed by donors or which have been raised by the Group foT particular purposes. The cosls of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is sel oul in the notes to the financial slalemenls. 2.5 Income Fees receivable and charges for seryiees. less any allowances, scholarships and bursaries granted by the school against those lees are accounted for in the period in which the servi¢e is provided. Where the fees are received for a future service peri they a included in deferred in¢ome, including those lees received under an advance fee payment scheme. Investment income 15 accounted for on an accwuals basis. Other income is recognised in the period in which it is a receivable and to the extent the goods hav& been provided or on completion of the service. Income lax recoverable in relalion lo donations receNed under Gift Aid or deeds of covenant is recognise(J al the lime of Ihe donalion. Olher income is fecognised in the period in whh it is receivable and lo Ihe extenl the goods have been prowded or on completion of the service. Page 24
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) NOTES TO THE FINANCIAL STATENENTS FOR THE YEAR ENDED 31 AUGUST 2021 Accounting policies Icontinuedl 2.6 Expenditure Expenditure is recognised once the is a legal or conslruclive obligation to transfer economic benefit to a third party, it is probable Ihal a transfer of e¢onomic benefits will be required in setllemenl and the amount of the obligation can be measured reliabty. Expenditure is Classified by aclivily. The costs of each activity are made up of the lolal of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attribulable lo a single activity are allocated directly lo that activity. Shared costs which Contribute to more than one adivity and support costs which are not allribulable lo a single activity are apportioned beiween those activities on a basis consislenl wrth the use of resources. Central staff costs a allocale(l the basis ol lime spent. and deprecialK)n charges allocated on the portion ol the asset's use. Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise ftjnds. Chariiable activities and Govemance costs are costs incurred on the company's educational operations, including support costs and costs lating lo the govemance of the company apportioned to charitable activities. 2.7 Government grants Government giants relating lo tangible fixed assets are Irealed as delerred income and released lo the Consolidated slalemenl ol financial activilies over the expected useful lives of the assets concerned. Other grants are credited lo the Consolidated slalemenl of financial activities as the related expenditure is incutred. 2.8 Basis of consolidation The financial statements consolidate the accounts of Holmewood House School and all of ils subsidiary undertakings I'subsidiaries'l. The company has taken advantage ol the exemption conlained wilhin sedion 408 of the Companies Act 2006 not lo present its own income and expenditure account. The income and expenditure account for the year deatt wth in the accounts ol the company was 56,349 f2020- £404. 109). 2.9 Tangible fixed assets and depreciation Tangible fixed assets cosling £2.500 or more are Capitalised and reco9nised when futu economic benefits are probable and the cost of value of the a5sel can be measured reliably. Tangible fixed assets are initially re¢ognised al cost. After recognition, under the Cosl model, tangible fixed as5els are measured al cost less accumulated depreciation and any accumulated Impairment losses. All costs incurred to bring a tangible fixed asset into rts intended working condition should be included in Ihe measurement of cosl. Page 25
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Accounling policies Icontinuedl 2.9 Tangible fixed assets and depreciation {continuedl Depreciation is charged so as lo allocate the cosl of tsngible fixed assets less their residual value over their eslimaled useful lives. Depreciation is proMded on the followng bases.. Freehold piopety Short leim leasehold property Motor vehicles Fixtu$ and fittings 2-10°h slrai9hl line sliaight line over the life of the lease 250A reducing balance 5°/0-250A slraighl linelreducing balance 2.10 Investments Fixed asset investments are a fomi of financial instrument and are ini(ially recognised al their Iransaclion cost and subsequentty measured al lair value al the Balan sheet dale. unless the value cannot be measured reliably in which case il is measured at cost less impairment. Investment gains and losses, whether realised or unrealised. are combined and presented as 'GainsllLossesl on inveslmenls. in the ConsolKlaled statement of financial activities. Investments in subsidiaries are valued at cost less proVisn lor impai¥menl. 2.11 Operatlng leases Rentals paid under operaling leases awe charged to the Consolidated slalemenl of financial activities on a straight line basis over the lease temi. 2.12 Stocks Stocks are valued at the tower of cost and nel realisable value after makin9 due allowance for obsolete and slow-moving stocks. Cost includes all direct costs. 2.13 Interest receivable Interest on funds held on deposit is included when reresvable and the amovnl can be measured reliably by the company". this is nofmally upon notification ol the Inte$1 paid or payable by the Bank. 2.14 Debtors Trade and other debtors are recognised al the settlement amount aftei any trade discount offered. Prepayments are valued al the amounl Prepaid nel of any Ifade discounts due. Known bad debts are wrrtten off and a wovision is made for any conSided lo be doubtful. 2.15 Cash at bank and in hand Cash al bank and in hand includes cash and short-lem) highly liqu.hl inveslmenls with a short maturity of three months or less from the dale of a¢quisrtion or opening of the deposit or similar account. Page 26
HOLMEWOOD HOUSE SCHOOL (A company limited by guarantee} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Accounting policies Icontinuedl 2.16 Liabilltles and provlsions Liabilities are recognised when there is an oblallOn al Ihe Balance sheet dale as a result of a past event, il is probable that a transfer of economic benefit wll be quired in selllemenl. and the amount ol the settlement can be estimaled reliably. Liabilities are recognised at the amount that the company anticipates it will pay to settle the debt or the amount Trl has received as advanced payments lor the goods or services il musl provide. Provisions are measured al the best e51imale of the amounts required lo settle the obligation. Whefe the effe¢l of the time value ol money is material, the provision is based on Ihe present value of those amounts, discounted al the pre-tax discount rale that reflects the risks specific lo the liability. The unwinding of the discount is recognised within inleresl payable and similar charges. 2.17 Financial instruments The Group only has financial assets and financial liabilities of a kind that qualify as basic financial inslrumenls. Basic financial instruments are initially recognised al transaction value and subsequently measured al their selt]ement value with the exception ol bank loans which are subsequently measured al amortised cost using the effective Inte$t melhod. 2.18 Penslons Teaching staff are members of the Teacher's Pension Scheme (TPS}, a defined benefit scheme administered by the Teacherfs Pension Agency. ConlribLtlions lo the s¢heme are charged to the Statement of Financial Activities as they fall due_ The TPS is an unfunded scheme. Conlribulions on a "pay as you go" basis ale credited lo the exchequer under arrangements governed by the Superannuation Act 1972. Actuarial varIanS are carried out on a national sel ol Inveslmenls. Under the delinilions sel out in FRS 102 the TPS is a multi-employer pension scheme. The charity is unable lo identify ils share of the undertying Inolionall assets and liabilities of the scheme. Accordingly, under FRS 102 the scheme is accounted for as if il was a defined contribution scheme. The charity also conlribules to a peTsonal pension scheme for ils non-leaching slaff and the pension charge reco9nised in the Slalemenl of Financial Activities represents the amoun15 payable by the charity lo the fund in respect of the year. 2.19 Fees In advance Fees r1Ved in advance are carried loard for ciedil in Ihe period lo which they relate. Page 27
HOLMEWOOD HOUSE SCHOOL {A company limited by guaranteg) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Accounting policiss lcontinuèdl 2.20 Key areas of judgement and estimation uncertainty Eslimales and judgements are conlinualty evaluated and are based on hislorical experience and other factors. including expectations of future events that are believed to be reasonable under the Clf¢umslances. Cfilical accounting estimates and assumptions.. The Charity makes eslimales and as5Lsmplions con¢eming the future. The resulting accounting estimates and assumptions wll. by definition. seldom equal the related actual re5ulls. The eslimales and a5sumplion5 that have a significant risk of Causing a malerral adjuslmenl lo the carrying amounts of assets and Iiabililies within the r¢ext financial year are discussed below. il Tangible fixed assels". the Iruslees annualty assess both the residual value of these assets and the expected useful life of such assets which is currently judged lo be up lo 50 years, based on experience. ill Recoverabilty of trade debtors.. the directors annualty assess whelheT a bad debt provision is required for any bad or doubtful debtor balances. Income from donations and l&gacie$ Unrestricted Restrlcted funds funds 2021 2021 Total funds 2021 Donations 19.549 19,549 Reslricled Endowinenl funds funds 2020 2020 Total lunds 2020 Donations 27.476 27.476 Page 28
HOLMEVIOOD HOUSE SCHOOL IA company limited by guaranteè) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Income from charitabl& activities Unr¢stricted funds 2021 Total funds 2021 Fees Extras 6,887,011 123,516 6.887,011 123,516 7.010,527 7,010,527 Unrestiicted runds 2020 Total funds 2020 Fees 7.252,813 159, 717 7,252,813 159, 717 Extras 7,412,530 7.472,530 Income from other trading activities Income from fundralslng events Unrestricted funds 2021 Total fund$ 2021 Summer schwls courses and swim school School facilities lelling 237.957 5,439 237,957 5,439 243,396 243,396 Page 29
HOLMEWOOD HOUSE SCHOOL IA company limtted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Income from othèr trading activities Icontinued) Incomo from fundraising events {continued) UnsInc1&d tunds 2020 Tolal Iiinds 2020 Summer schiy)1s courses and swim school Sch4x)I facilities lelling 125,884 19,823 125,884 19,823 145, 707 145, 707 Investment income Unrestrlcted funds 2021 Total funds 2021 Bank interest receivable 386 386 Unrestricl8d funds 2020 Tolal funds 2020 Bank interest receivable 9,366 9,366 Other incoming resources Unrestricted funds 2021 Total funds 2021 Coronaviru5 Job Relenlion Scheme Claims 159.314 1 $9,314 Page 30
HOLMEWOOD HOUSE SCHOOL IA Company Ilmlted by guarant991 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Other incoming resources {continuedl Unresln¢led funds 2020 Total funds 2020 Coronavirus Job Retention Scheme Claims 438.046 438,046 Expendlture on raising funds Costs of raising voluntary income Unrestricted funds 2021 Total fund$ 2021 Staff costs Other costs 164.818 6,517 164,818 6,S17 171,335 171,335 Page 31
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Expendlture on raislng funds Icontinuedl Costs of raising voluntary Income Icontlnued} Unreslricled funds 2020 Total fiinds 2020 Staff costs Other costs 105.519 4,841 105,519 4,841 Analysis of expenditure on charitable activities Summary by fund type Unrestricted Restricted funds funds 2021 2021 Total funds 2021 Educational expenses Eslablishmenl expenses Discounts, bursaries and scholaiships Administration Interest 4,636,979 689,406 422,649 1.267,361 68,8 4,636,979 689,406 422,649 1.273,3S3 68,068 5,992 7,084,463 5.992 7,090,455 Page 32
HOLMEWOOD HOUSE SCHOOL IA company limlted by guarant991 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Analysis of expendlture on charitable activilies (continu) Summary by fund type Icontlnuedl Unr8slri¢ted funds 2020 Restricted fvnds 2020 Tolal funds 2020 Educational expenses Eslablishmenl expenses Discounts, bursaries and scholarships Adminislralion Interest 4,885,498 734,347 550, 128 1,262.486 82,855 4,885,498 734,347 550, 128 1,270,050 82,855 7,564 7,515,314 7.564 7,522,878 Summary by expenditure type Total fund$ 2021 Staff costs Depreciation Other costs 2021 2021 2021 Educational expenses Eslablishmenl expenses Discounts, bursaries and scholarships Administration Interest 4.099.302 196,073 537,677 493,333 422,649 363.240 68,068 4,636,979 689,406 422,649 1,273,353 68.068 425,592 484,521 4.720.967 484,521 1,884.967 7,090,455 Page 33
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Analysis of expenditure on charitable artivities Icontinuedl Summary by expenditure type l¢ontinued} lolal funds 2020 Slaff cosls DepClaIn Olhercosls 2020 2020 2020 Educational expenses Eslablishmenl expenses Discounts, bursaries and scholaTShips Administration Interest 4,293,948 188,625 591,550 545, 122 550. 128 344,378 82,855 4.885,498 734,347 550, 128 1,270,050 82,855 424. 124 1.548 4.906,697 1.548 2,114,633 7.522, 878 10. Auditorf$ r¢mvneralion 2021 2020 Fees payable lo the Companrfs auditor for the audit of the C(¥npanl$ annual accounts 10.670 10,260 Fees payable to the Companls aLiditor in respect of". Accounts pieparalion 2.060 1,980 1 l. Staff Costs Group 2021 GtDup 2020 Company 2021 Company 2020 Wages and salaTie5 Social se¢urily costs Conliibulion to defined contribution pension schemes 3,812,179 349.372 4,058.456 369,227 3,812,179 349,372 3.696,875 730,807 565.934 584,532 S65,934 584,532 4,727.485 5.012,215 4,727.48S 5,012,214 Page 34
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 11. Staff costs {continved) The average number of persons employed by the Company during the year was as lollDWS'. Group 2021 Group 2020 No. Teachers and matrons Catering and domestic Grounds and maintenance Adminislralion Swim school Other 72 74 18 78 12 121 122 The number of employees whose employee benefits {exduding employei pension costs) exceeded £60,000 was.. Group 2021 Group 2020 No. In the band £60.001 - £70.000 In the band £90,001- £100.000 The lolal amount of employee benefits received during the year for key management personnel lotalled £343,630 (2020- £301.295J. 12. Trustees, remuneration and expenses During the year. no Trustees received any remuneration or other benefits (2020- £NIL). During the year ended 31 August 2021, no Trustee expenses have been incurred (2020- £NIL). Page 35
HOLMEWOOD HOUSE SCHOOL IA company limited by guarant8el NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 13. Tangible fixed assets Group Short-term leasehold property Freehold property Motor Fixtures and vehicles fittings Total Cost Al 1 September 2020 Additions Disposals Olher changes 8.695,554 242 9,116,797 43.331 53,863 7.995 15.4001 1,747,050 19,613,264 1S.223 66,791 15,4001 153,7911 153.7911 Al 31 August 2021 8.695,796 9,106.337 56,458 1.762,273 19,620,864 Depreciation Al 1 September 2020 Charge for the year On disposals 3.191.519 176.424 2,256,370 189.408 47,331 2.346 14.882} 1,345,395 117,294 6,840,615 485,472 14,8821 Al 31 August 2021 3.367.943 2,445,778 44.795 1,462.689 7,321,205 Net ljook value Al 31 August 2021 5.327.853 6.660,SS9 11,663 299,584 12.299,659 At 31 August 2020 5,504,035 6.860.427 6.532 401,655 12,772, 649 Included in freehold property is freehold land at cost of £439,058 12020 - £439.058) which is not depreciated. Page 36
HOLMEWOOD HOUSE SCHOOL IA company limited by guarant8è} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 13. Tangible fixed assets {contlnuedl Company Short-term leasehold property Freehold propgrty Motor Fixtures and vehi¢les fittings Total Cost Al 1 September 2020 Additions 5.017,034 242 9.116.797 43,331 53,863 7,995 15.4001 1,747,050 15.223 15,934,744 66,791 15,4001 153,7911 Disposals Other changes {53.7911 Al 31 August 2021 5.017,276 9.106.337 56,458 1,762.273 15,942,344 Depreclatlon Al I September 2020 Charge for the year On disposals 2.258,421 130.608 2,256.370 189.408 47,331 2,346 14,882) 1.345,395 117,294 5,907.517 439,656 14.8821 Al 31 August 2021 2.389.029 2.445.778 44,795 1.462.689 6,342,291 Net book value Al 31 August 2021 2,628.247 6,660.559 11,663 299,584 9,600,053 At 31 August 2020 2.758.613 6.860.427 6.532 401,655 10,027,227 Included in freehold propety is fehOld land at cost of £439,058 (2020 - £439,058? which is not depreciated. The Company 0pIeS some of ils land and buildings subject to a lease, which expires in 2030, that lease being granted by Holmewood House Properties Limited, a subsidiary undertaking of this company. Under the terms of the lease. the company has the right to extend the lease by another 24 years. For this feason the company considers that Ihe period over which rt should ¢Jepreciate its leasehold improvements need not be constrained by the length ol the lease. Page 37
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 14. Fixed asset Investments Investments in subsidiary companies Company Cost At 1 September 2020 2,573,111 Al 31 August 2021 2.573,111 Net book value Al 31 August 2021 2.573,111 Al 31 August 2020 2,573,711 Principal subsidiaries The following We subsidiary undertakings of the Company.. Nam8S Company Registered office or Prln¢ipal activity number principal place of business Class of shares Holdlng Holmewood House Properties Limited 1)0331126 Langton Gieen. Tunbridge Wells, Kenl, TN3 OEB Provision ol freehold Founder property and Iixtures shares to Holmewood House School 50° Bond shares A Shares Ordinary 55/ Holmewwd House Services Limited 05334651 Langton Green. Tunbridge Wells. Kent. TN3 OEB Dom)anl 1000 Page 38
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 15. Stocks Group 2021 Group 2020 Company 2021 C(>mpany 2020 Finished goods and 9oods for resale 11.109 8, 781 11,109 8, 781 16. Debtors Group 2021 Gmup 2020 Company 2021 Company 2020 Due within one year Trade debtors 51.493 48, 149 S1.493 1,080 9.488 137,956 48, 149 1, 740 1,033 242.829 Amounts owed by group undertakings Other debtors Prepaymenls and accrued inwme 8.693 137.957 42,216 242,829 198.143 333, 194 200,017 293, 751 17. Creditors- Amounts falling due within one year Group 2021 Group 2020 Company 2021 Company 2020 Bank loans Trade credrtors Corporation lax Other taxaln and social security Other creditors 363,889 79.398 19,916 95.760 536,319 833.663 176,384 46,335 19.916 96.636 542,534 809,917 363,889 79.398 176,384 46,335 95,760 536,319 830,569 96.636 542,535 806.821 Accruals and deferred income 1,928,945 1.691. 722 1,905,935 1, 668. 711 Ac¢ruals and deferred income include amounts reiVed by the School under a single advanced payment scheme Icomposrtionl. Assuming pupils maIn al the School as anticipated £34.388 (2020.. £79, 544) will be applied against fees which fall wlhin 12 months of the balance sheel date. Should however the pupils leave the sums would be returnable. subject lo certain conditions. Page 39
HOLMEWOOD HOUSE SCHOOL IA company Ilmited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 18. Creditors.. Amounts falling due after more than one year Group 2021 Group 2020 Company 2021 Company 2020 Bank loans Accruals and deferred inc(xne Share capital treated as debt 2.53S.870 74,834 1,950 2,338.889 T7,167 1,950 2.535.870 74,834 2,338.889 77,167 2.612.654 2.418.006 2,610.704 2.416,056 The entire balance ol bank loans shown above are secured by a legal charge over the freehold and leasehold property of Holmewood House Schcx)l and by a charge over its Shareholding in Holmewood House Properties Limited. There are 3 loans lo be repaid by three Inslalmenls each year, two of the final instalmen15 falling due in April 2031, and remaining one in April 2025. Interest is being paid on the respective loans each month at a rate of 1.985°1o above LIBOR. 3.90¢/¢ fixed and 2.25010 above base. Additionally, the school has been advanced a £500.000 loan under the Coronavirus Business Interruption Loan scheme which allia¢ls interest al rale of 3.350h above base per annum and is iepayable in 18 inslalmenls ending on the frfth anniversary of drawdown. Accruals and deferred income include £74.834 (2020." £77. 167) received by the School under a single advance payment scheme as des¢ribed al)ove. 19. Financial instruments Group 2021 Group 2020 Company 2021 Company 2020 Financial assets Financial assets measured al amortised cost 4.815.233 3,636,440 4.778,728 3,560. 784 Group 2021 Gup 2020 Company 2021 Company 2020 Financial liabilitie$ Financial liabilities measured al amortised cost 13.569,4421 (4.580, 716) 13,801.7111 (4,577,620? Financial assets measured al amortised cost comprise of cash at bank, trade debtors, other debtors and accrued income. Financial liabilities measured at amortised cost comprise of redeemable preference shares Irealed as debt. bank loans, other creditors and accruals. Page 40
HOLMEWOOD HOUSE SCHOOL {A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 20. Statement of funds Statement of funds- current year Balance at 1 Septèmber 2020 Balan¢e at 31 August 2021 Transfers inloul Income Expenditure Unrestri¢led funds Deslgnated funds Oesignaled Funds 12.772.649 123,2181 1347,6701 12,401,761 General funds General Funds Minority Inleresl 11,602.384) 7.433,172 {7,232,S791 1.360,797 376,653 11,025,138) 128,9831 1,331,814 {241.587} 7A33.172 17.232.579) 347,670 306,676 Total Unrestricted funds 12.531,062 7A33.172 I7.255.7971 12,708,437 Restricted funds Community Support Fund 19.912 15,992} 13,920 Total of funds 12,550.974 7.433.172 17,261.789} 12,722,357 The Community Support Fund was selup lo support parents and staff facing financial hardship during the coronavirus pandemic. Page 41
HOLMEWOOD HOUSE SCHOOL IA Company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 20. Statement of fLtnds (continued) Siatement of funds- prior year Balance at 1 Septembei 2019 Balance al 37 August 2020 Tffinsfers in/oul Income Expendilu Unrèstricted funds Designated funds Designated Funds 13, 166,324 107,901 (501.576? 12, 772, 649 General funds General Funds (2,377.207) 8,LX)5,649 17, 733.575) 1.361,970 502, 749 (1, 602,384) (1, 173) 1.360, 797 Minority Interest (1.015,237) 8,LKI5,649 (7, 733.575) 501,576 (241,587) Total Unrestricted funds 12, 151.087 8,005.649 (7,625,674) 12,531,062 Restricted funds Restricted Fund Communrty Support Fund {7,564) 19.912 19,912 27,476 {7,564) 19,912 Total of funds 12, 151.087 8.033, 125 (7,633.238) 12.550,974 Page 42
HOLMEWOOD HOUSE SCHOOL IA company limrted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 21. Summary of funds Summary of funds - current year Balance at I September 2020 Balance al 31 Avgust 2021 Transfers inloul Income Expenditure Designated funds General funds Restricted funds 12,772.649 1241.5871 19,912 {23.2181 1347,6701 12,401,761 7.433,172 17.232.579) 347,670 306,676 15,9921 13,920 12,550,974 7.433,172 17,261,789) 12,722,357 Summary offunds- prioryear Balance al I September 2019 Balance al 31 Augusl 2020 Transle in/out Income Expenditure Designated funds General funds Reslricled funds 13. 166,324 107.901 (1,015.237) 8.005,649 17. 733,575J 27.476 (7,564) (501.576) 12. 772, 649 501,576 (241.587) 19,912 12. 151,087 8.033, 125 (7.633,238) 12.550,974 22. Analysis of net assets between funds Analysis of net assets between fund$ - current year Unrestricted Restricted funds funds 2021 2021 Total funds 2021 Tangible fixed assets Current assets Creditors dLJe within one year Creditors due in more than one year 12,299,658 4,950.378 11,928,945) 12,612.6541 12,299,658 4,964.298 11,928,945) 12,612.6541 13,920 Total 12,708,437 13,920 12,722,357 Page 43
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 22. Analysls of net assets between funds {contlnuedl Analysls of net assets between funds- prlor year Unrestiicted funds 2020 Reslricled Endowmenl funds funds 2020 2020 Tolal funds 2020 Tangible fixed assets Current 8ssels Creditors due within one year Creditors due in more than one year 12, 772.649 12. 772.649 3,868, 140 3.888.052 (1,691. 722) {1,691, 722) (2,418,006) (2,418.006J 19,912 Total 19.912 12,531,061 12.550,973 23. Reconciliation of net movement in funds to net cash flow from operating activities Group 2021 Groiip 2020 Nel income for the year {as per Slalemenl ol Financial ActTviliesl 171,382 399, 887 Adjustments for.. Depreciation charges Interest paid Dividends. inleresls and rents from investments Loss on the sale of fixed assets 485,472 68,068 3861 518 501,548 82,856 (9, 366) 28 In¢rease in stocks Decreasellincreasel in debtors Increaselldecreasel in Creditors 12,3281 135,049 101,180 {7,597) (49.361) (271,356) Net cash provided by operating activlties 958,955 646, 639 Page 44
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Analysis of cash and cash equivalents Group 2021 Group 2020 Cash in hand 4,755,046 3.546,078 Total cash and cash equivalents 4.755,046 3.546,078 25. Analysi$ of changes in net debt At1 September 2020 Cash flows Other non- cash At31 changes August 2021 Loan New loans repayments Cash al bank and in hand Debt due within 1 year Debt due after 1 year 3.546.078 824.482 soo.000 1115.5141 4,755,046 1176,3841 1187,5051 1363,8891 {2,340,8391 1500,000) 115,514 187.50S 12,537,B201 1,028,855 824.482 1,8S3,337 26. Pension commitments The Schi)ol participates in the Teachers. Pension Scheme {°the TPS") lor ils leaching siaff. The pension charge for the year includes contributions payable lo Ihe TPS of £465.077 (2020.. £4T5,498) and al the year-end £54.075 (2020- £56.349) was accrued in respect of contributions lo this scheme. The TPS is an unfunded multi*mployer defined beneffts pension scheme govemed by The Teachers, Pensions Re9ulalions 2010 las amended) and The Tea¢hets' Pension Scheme Regulation5 2014 las amended). Members contribute on a °pay as you go. basis with conlribulions from members and the employer being credited lo the Exchequer. Retirement and other pension benefits are paid by public funds provided by Padiamenl. The employer conlfibulion rate is sel by the Secretary of Stale folbbwng scheme valuations undertaken by the Governmenl Actuary's Department. The most recenl actuaiial valuation of the TPS was prepared as al 31 March 2016 and the Valuation Report, whh was published in March 2019, confirmed that the employer contribution rale lor the TPS would increase from 16.4Qk lo 23.6°A from 1 September 2019. Employers are also required to pay a scheme administratK)n levy of 0.08Qh giving a total employer contribution rale of 23.68010. The 31 March 2016 Valualh)n Report was prepared in accordance wrth the benefits sel out in the scheme re9ulalions and under the approach specified In the Dire¢tions. as they applied al 5 March 2019. However. the assumptions were considered and sel by the Department lor Education prioi lo Ihe ruling In the Page 45
HOLMEWOOD HOUSE SCHOOL (A Company limited by guaranteè} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 26. Pension commitments Iconlinuadl 'McCloudlSargeanl case.. This case has required the courts to consider cases regarding the implemenlalion ol the 2015 refom)s to Pvblic Service Pensions including the Teachers. Pensions. On 27 June 2019 the sUpMe Court denied the govemment pemiission lo appeal the Court of Appeal's jud9menl that transitional provisions intrThlu¢ed to the felomed pensL)n s¢hemes in 2015 gave rise lo unlawful age discrimination. The government is iespe¢ting the Court's decision and has said il will engage lully wlh the Employmenl Tribunal as well as employer and member iepresenlalives lo agree how the discriminations will be remedied. The government announced on 4 February 2021 that il intends lo proceed with a deferred ¢hoi¢e underpin under which members will be able lo choose either legacy or reformed scheme benefits in respect of their seNice during the period between 1 Apiil 2015 and 31 March 2022 al the point they become payable. The TPS is Subject lo a Gosl cap mechanism which was put in place lo protect taxpayers against unforeseen changes in scheme costs. The Chief Sec¥etary lo the Treasury, having in 2018 announced that there would be a review of this cost cap mechanism, in January 2019 announced a pause lo the cost cap mechanism follo]9 the Court ol Appeal's ru11ng in the Mccloudlsargeanl case and until there is certainty about the value of pension5 to employees from April 2015 onward5. The pause was lifted in July 2020, and a consullalion was launched on 24 June on proposed changes lo the cost control mechanism following a review by the Govemment Actuary. The consullalion closed lo response on 19 August 2021 and the Government is currently anatysing the responses. In view of the above rulings and decisions the assumptions used in the 31 March 2016 Actuarial Valuation may become inappropriate. In this scenario. a valuab.on prepared in accordance with revised benefits and suitably revised assumptions would yield de[eI results than those contained in the Acluarial Valuation. Until the cost cap mechanism review is Compleled il is not possible lo conclude on any financial impact or future changes to the contribution rate5 of the TPS. Accordingly no provision for any additional past benefit pension costs is included in these financial stslemenls. 27. Operating lease commitments At 31 AugLJSt 2021 the Group and the Company had commiimenls lo make future minimum lease payments under non-cancellable operating leases as follows." Group 2021 Group 2020 Company 2021 Company 2020 Not later than 1 year Laler than 1 year and nol later than 5 years Later than S years 104,280 107.614 104,480 211.822 293,480 863,614 1.009,260 293,480 967,822 1. 198, 208 211.894 316,302 2,166,354 2,459,530 Page 46
HOLMEWOOD HOUSE SCHOOL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 28. R&lated party transactions The Company is Lbnder control of the govemors who are its Ilireclors and are also trustee5 01 the charitable trust. Ouring the year the Company transacted with Holmewood House Properties Limited, a company In which Holmewi)od House School owns a controlling interest. Land and buiklings were leased from Holmewood House Properties al a renl of £189,000 (2020 - £189,(XX)l and a management charge was made lo Holmewood House Properties of £5,000 (2020- £5.CV)J. During the year a donation of £116.456 (2020- £36. 128) and dividends of £83.952 (2020- £83,952J were received from Holmewood House Properties Limited. Al the year end £1.080 (2020- £1, 740) was owed from Holmew(*)d House Properties Limited. Page47