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2020-08-31-accounts

REGISTERED COMPANY NUMBER: 01509238 (England and Wales)
REGISTERED CHARITY NUMBER: 280927

Report of the Trustees and

Unaudited Financial Statements
for the Year Ended 31 August 2020

for

Moreton Hall School Trust Limited

Knights Lowe Chartered Accountants
Eldo House
Kempson Way
Suffolk Business Park
Bury St Edmunds
Suffolk
IP32 7AR

Moreton Hall School Trust Limited

Contents of the Financial Statements for the Year Ended 31 August 2020

Page
Report of the Trustees 1 to 4
Independent Examiner's Report 5
Statement of Financial Activities 6
Balance Sheet 7 to 8
Cash Flow Statement 9
Notes to the Cash Flow Statement 10
Notes to the Financial Statements 11 to 23
Detailed Statement of Financial Activities 24 to 25 
Moreton Hall School Trust Limited

Report of the Trustees

for the Year Ended 31 August 2020

ThetrusteeswhoarealsodirectorsofthecharityforthepurposesoftheCompaniesAct2006,presenttheir report
withthefinancialstatementsofthecharityfortheyearended31August2020.Thetrusteeshaveadopted the
provisionsofAccountingandReportingbyCharities:StatementofRecommendedPracticeapplicableto charities
preparingtheiraccountsinaccordancewiththeFinancialReportingStandardapplicableintheUKandRepublic of
Ireland (FRS 102) (effective 1 January 2019).

As was reportedin last year's accountsin April 2020 the parentsof the childrenat Moreton Hall School were informed
bytheGovernorsthatMoretonHallPrepschoolwouldhavetoceaseoperationattheendofthesummerterm and
would not be offering any prep school educational provision from September 2020.

Overthelastdecade,themarketforstandalone13plusdayandboardingschoolshasbecomeincreasingly difficult.
There are several politicaland economicfactorsinfluencingthis, includingan extremelycompetitivemarketplace from
bothotherPrepschoolsandSeniorSchoolswho - to securetheirown sustainability- havesoughtto attractpupils at
an earlier stage.

The Governors and Senior Management Team have worked extremely hard, in recent years to put strategies in place to
increase numbers by.

Bolder initiativeshave also been explored,from school partnershipsand mergers to outside investmentand real  estate
development, to secure the school's long-term sustainability,

The devastatingeffectof the Coronavirus,has significantlyunderminedthese plans,impactingas earlyas March 2020
with the mandatedclosure of the school. Many parentshave found themselves in difficultfinancialpositions; overseas
boardingisnotviableandunlikelytobecomefeasibleagainuntilatleast2021/22andsummerrental opportunities
have been cancelled,meaning that Moreton Hall's income is and will be depressedfor the next 18 months.With pupil
numberslow and likelyto drop further,the schoolis not financiallyviableand with the futureuncertainfollowing the
recoveryof the Globalpandemic,it was notjudgedto be in the pupils'bestintereststo tryto operatenextyearon a
skeletal basis.

OBJECTIVES AND ACTIVITIES

Objectives and policies

MoretonHallSchoolTrustLimitedisregisteredwiththeCharityCommission.Itsprincipalactivityis providing
education .

Now that the Prep School has closed the Trustees are focussed on a number of key areas of activity:

Page 1

Moreton Hall School Trust Limited

Report of the Trustees for the Year Ended 31 August 2020

FINANCIAL REVIEW

Financial overview

These results reflect the significant impact of the pandemic and the subsequent decision to close the Prep School.

Revenuehasfallenby27%reflectingreducedfeeincome,specificdiscountsofferedtoparents(typically20%) to
acknowledgetheswitchtopredominantlyremoteschooling,lossofoverseasboardingincomedueto travel
restrictions and the cancellation of summer schools and other rental opportunities.

Costshaverisenby13%reflectingthecostsofstaffredundancyandtheprovisionforunpaidfeesrelatingto closure
and the impact of the pandemic.

Resourcesexpendedhaveexceededincomingresourcesintheyear,thereforetheschoolisshowingnet outgoing
resources.

The Trustees continueto supportthe charityand are exploringa number of opportunitiesto utilise the charity's assets
foreducationalandotherpurposes.WiththeTrusteessupportthecharitycontinuestoserviceitsdebt partially
through income from the  Nursery school and other tenants.

Going concern

Following the closure of the Prep School the Trustees continue to closely monitor the financial situation.

BasedontheirprojectionsandwithTrusteesupportthecharitycancontinuetooperategainingincomefrom letting
outsomepartsofthesitewhilsttheTrusteesexplorewaystogainbestvaluefromtheCharity'sassetsandeffect an
orderly closure.

The process of fully realising best value for the Charity's assets could take a number of years .

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

Thecharityiscontrolledbyitsgoverningdocument,adeedoftrust,andconstitutesalimitedcompany,limited by
guarantee, as defined by the Companies Act 2006.

Appointment and training

Trustees are selected from individualswho have demonstrateda commitment to Moreton Hall, share its values and  are
fullysupportiveof its ethos.Individualtrusteesare selectedon the basis of matchingtheir skills and experienceto the
particularneedsthatarisewithinthe trusteebodyfrom time to time.The trainingof trusteesis basedaround certain
coreareassuchastheroleoftrusteesandourobligationsasacharity,supplementedbyspecifictrainingonan as
needs basis.

Organisational structure

TheCompany'sTrusteesappointstaffwholookafterthedaytodayrunningoftheorganisation.TheTrustees are
supportedbyaboardofGovernorswhohaveabreadthofEducational,Financial,andproperty management
experience.

Allmajordecisionsregardingtheperformanceoftheschoolarereviewedandagreedwiththegoverning body.The
governing body meets three times a year and reviews all aspects of the performance of the school.

TheTrusteesdelegateddaytodaymanagementoftheschooltotheHeadmaster;MrsLWakerellduringthe period
reported on.The major areas of school activityare overseen by a number of governancecommittees.The  committees
are: finance, marketing, education and , health and safety.

Public benefit statement

The trusteesconfirmthattheyhavereferredto the guidancecontainedin the CharityCommission'sgeneral guidance
on public benefit when reviewing the charity's aims and objectives and in planning future activities.

Page 2

Moreton Hall School Trust Limited

Report of the Trustees for the Year Ended 31 August 2020

STRUCTURE, GOVERNANCE AND MANAGEMENT

Risk management

Thetrusteeshaveadutytoidentifyandreviewtheriskstowhichthecharityisexposedandtoensure appropriate
controls are in place to provide reasonable assurance against fraud and error.

Thetrusteeshaveassessedthemajorriskstowhichthecharitablecompanyisexposed,inparticularrelated to
operationsandfinancesoftheschool,andaresatisfiedthatthesystemsareinplacetomitigatetheirexposure to
majorrisks.Thetrusteesfeelthatthegreatestpotentialrisktothecharitablecompanyisanyreductionin pupil
numbers. Efforts have been made to manage costs conservatively

In a difficultmarketenvironmentthe Governorsandthe SeniorManagementteam hadworkedhardto put strategies
in place to maintainand increasepupil numbers the pandemicsignificantlyunderminedthose plans and ultimately led
to the closure of the Prep School.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number

01509238 (England and Wales)

Registered Charity number

280927

Registered office

Moreton Hall School
Mount Road
Bury St Edmunds
Suffolk
IP32 7BJ

Trustees

P B Loft Director
N R Smith Director

School Governors

Mr N Smith (Chair)
Mr P Loft
Mr R Dellow
Mr M Hurley
Ms A Ward-Thomas
Mrs M Nice
Mr P Day
Mr R O'Brian (resigned October 2019)

Headteacher

Mr C Moxon (resigned September 2019)
Mrs L Wakerell (appointed September 2019)

Company Secretary

N R Smith

Page 3

Moreton Hall School Trust Limited

Report of the Trustees for the Year Ended 31 August 2020

REFERENCE AND ADMINISTRATIVE DETAILS

Independent Examiner

Knights Lowe Chartered Accountants
Eldo House
Kempson Way
Suffolk Business Park
Bury St Edmunds
Suffolk
IP32 7AR

Bankers

Lloyds Bank
28-34 Risbygate Street
Bury St Edmunds
Suffolk
IP33 3AH

This report has been preparedin accordancewith the specialprovisionsof Part 15 of the CompaniesAct 2006 relating
to small companies.

Approved by order of the board of trustees on 25 May 2021 and signed on its behalf by:

P B Loft - Trustee

Page 4

Independent Examiner's Report to the Trustees of
Moreton Hall School Trust Limited

Independent examiner's report to the trustees of Moreton Hall School Trust Limited ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 August 2020.

Responsibilities and basis of report

As the charity'strusteesof the Company(andalsoits directorsfor the purposesof companylaw)youare responsible
for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accountsof the Company are not required to be audited under Part 16 of the 2006 Act
andareeligibleforindependentexamination,Ireportinrespectofmyexaminationofyourcharity'saccounts as
carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carryingout my examinationI have  followed
the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.

Independent examiner's statement

Since your charity'sgross income exceeded£250,000your examinermust be a member of a listedbody.I can confirm
thatI am qualifiedto undertaketheexaminationbecauseI am a registeredmemberof FCA whichis oneof the listed
bodies.

Ihavecompletedmyexamination.Iconfirmthatnomattershavecometomyattentioninconnectionwith the
examination giving me cause to believe:

1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or

2. the accounts do not accord with those records; or

3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or

4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)). 

Ihavenoconcernsandhavecomeacrossnoothermattersinconnectionwiththeexaminationtowhich attention
should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

James Knights
FCA
Knights Lowe Chartered Accountants
Eldo House
Kempson Way
Suffolk Business Park
Bury St Edmunds
Suffolk
IP32 7AR

Date: .............................................

Page 5

Moreton Hall School Trust Limited

Statement of Financial Activities

(Incorporating an Income and Expenditure Account) for the Year Ended 31 August 2020

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
3
Charitable activities
4
Activities for generating funds
Rental Income
Total
EXPENDITURE ON
Charitable activities
5
Activities for generating funds
Staff costs
Support costs
Depreciation
Total
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 2020
Unrestricted
funds
£
76
707,768
1,610
709,454
22,258
744,063
355,709
33,392
1,155,422
(445,968)
(614,029)
(1,059,997)		 2019
Total
funds
£
39
938,114
28,214
966,367
3,152
687,944
301,786
37,583
1,030,465
(64,098)
(549,931)
(614,029)		 
The notes form part of these financial statements

Page 6

Moreton Hall School Trust Limited

Balance Sheet

31 August 2020

Notes
FIXED ASSETS
Tangible assets
12
Investments
13
CURRENT ASSETS
Stocks
14
Debtors
15
Cash at bank and in hand
CREDITORS
Amounts falling due within one year
16
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT LIABILITIES
CREDITORS
Amounts falling due after more than one year
17
NET ASSETS
FUNDS
21
Unrestricted funds
TOTAL FUNDS		 2020
Unrestricted
funds
£
226,949
1,597,204
1,824,153
-
94,297
28,702
122,999
(304,761)
(181,762)
1,642,391
(2,702,388)
(1,059,997)
(1,059,997)
(1,059,997)		 2019
Total
funds
£
286,601
1,597,204
1,883,805
1,528
121,960
903
124,391
(409,127)
(284,736)
1,599,069
(2,213,098)
(614,029)
(614,029)
(614,029)		 
The charitablecompanyis entitledto exemptionfrom audit under Section 477 of the CompaniesAct 2006 for the year
ended 31 August 2020.

Themembershavenotrequiredthecompanytoobtainanauditofitsfinancialstatementsfortheyear ended
31 August 2020 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

The notes form part of these financial statements

continued...

Page 7

Moreton Hall School Trust Limited

Balance Sheet - continued

31 August 2020

Thesefinancialstatementshavebeenpreparedinaccordancewiththeprovisionsapplicabletocharitable companies
subject to the small companies regime.

The financialstatementswere approvedbytheBoardof Trusteesandauthorisedfor issueon 25 May2021and were
signed on its behalf by:

P B Loft - Trustee

The notes form part of these financial statements

Page 8

Moreton Hall School Trust Limited

Cash Flow Statement for the Year Ended 31 August 2020

Notes
Cash flows from operating activities
Cash generated from operations
1
Interest paid
Interest element of hire purchase payments
paid
Finance costs paid
Net cash used in operating activities
Cash flows from investing activities
Purchase of tangible fixed assets
Sale of tangible fixed assets
Net cash provided by/(used in) investing activities
Cash flows from financing activities
Loan repayments in year
Additional Trustee loans in year
Capital repayments in year
Net cash provided by financing activities
Change in cash and cash equivalents in the
reporting period
Cash and cash equivalents at the beginning
of the reporting period
2
Cash and cash equivalents at the end of the
reporting period
2		 2020
£
(414,796)
(26,562)
(1,605)
(1,520)
(444,483)
(440)
6,008
5,568
(42,953)
535,370
(5,012)
487,405
48,490
(19,788)
28,702		 2019
£
(84,758)
(50,320)
(1,605)
(4,311)
(140,994)
(55,308)
-
(55,308)
(42,566)
199,938
(5,012)
152,360
(43,942)
24,154
(19,788)		 
The notes form part of these financial statements

Page 9

Moreton Hall School Trust Limited

Notes to the Cash Flow Statement

for the Year Ended 31 August 2020

1. RECONCILIATION OF NET EXPENDITURE TO NET CASH FLOW FROM OPERATING ACTIVITIES

Net expenditure for the reporting period (as per the Statement of
Financial Activities)
Adjustments for:
Depreciation charges
Loss on disposal of fixed assets
Interest paid
Interest element of hire purchase and finance lease rental payments
Finance costs
Decrease in stocks
Decrease in debtors
Decrease in creditors
Net cash used in operations
2.
ANALYSIS OF CASH AND CASH EQUIVALENTS
Cash in hand
Notice deposits (less than 3 months)
Overdrafts included in bank loans and overdrafts falling due within one year
Total cash and cash equivalents		 2020
£
(445,968)
34,539
19,545
26,562
1,605
1,520
1,528
27,663
(81,790)
(413,191)
2020
£
-
28,702
-
28,702		 2019
£
(64,098)
37,583
-
50,320
1,605
4,311
153
16,101
(130,733)
(83,153)
2019
£
449
454
(20,691)
(19,788)

3. ANALYSIS OF CHANGES IN NET DEBT

At 1.9.19 Cash flow At 31.8.20 At 31.8.20
£ £ £
Net cash
Cash at bank and in hand 903 27,799 28,702
Bank overdraft (20,691) 20,691 -
(19,788) 48,490 28,702
Debt
Finance leases (17,124) 5,012 (12,112)
Debts falling due within 1 year (41,047) 1,885 (39,162)
Debts falling due after 1 year (2,130,986) (494,302) (2,625,288)
(2,189,157) (487,405) (2,676,562)
Total (2,208,945) (438,915) (2,647,860) 
The notes form part of these financial statements

Page 10

Moreton Hall School Trust Limited

Notes to the Financial Statements for the Year Ended 31 August 2020

1. ACCOUNTING POLICIES

Preparation of financial statements

The financialstatementsof the charitablecompany,whichis a publicbenefitentityunderFRS 102,have been
prepared in accordancewith the Charities SORP (FRS 102) 'Accountingand Reportingby Charities:Statement of
RecommendedPracticeapplicabletocharitiespreparingtheiraccountsinaccordancewiththe Financial
ReportingStandardapplicablein the UK and Republicof Ireland(FRS 102) (effective1 January2019)', Financial
ReportingStandard102 'The FinancialReportingStandardapplicablein the UK and Republicof Ireland'and the
CompaniesAct2006.Thefinancialstatementshavebeenpreparedunderthehistoricalcostconvention, with
the exception of investments which are included at market value.

MoretonHallSchoolTrustLimited,a publicbenefitentity,is incorporatedin EnglandandWalesas a  company
limited by guarantee not having share capital. In the event of the charity being wound up, the liabilityin  respect
oftheguaranteeislimitedto£1permemberofthecharity.Theaddressofthecharitycanbefoundin the
reference and administrative details on page 3.

The presentational currency of the financial statements is the Pound Sterling (£).

Preparation of consolidated financial statements

ThefinancialstatementscontaininformationaboutMoretonHallSchoolTrustLimitedasan individual
companyand do not containconsolidatedfinancialinformationas the parentof a group. The charityis  exempt
underSection399(2A)oftheCompaniesAct2006fromtherequirementstoprepareconsolidated financial
statements.

Thesubsidiary,MoretonHallSchoolTrust,hasbeenexcludedfromconsolidationasithasnottradedin the
current or preceding year.

Income

All income is recognised in the Statementof FinancialActivitiesonce the charityhas entitlementto the funds, it
is probable that the income will be received and the amount can be measured reliably.

a) Fees receivable

Feesreceivablerepresentsthevalueofthetuitionfeesandpupilregistrationsfortheyear,lessbursaries and
other discounts given.

b) Donations and grants

MonetarydonationsandgrantsreceivedarecreditedtotheStatementofFinancialActivityintheyear of
receiptandreleasedovertheexpectedlifeoftheasset.Donatedassetsareonlyreflectedinthe financial
statements if material and if their market value can be reasonable determined.

Expenditure

Liabilitiesarerecognisedasexpenditureassoonasthereisalegalorconstructiveobligationcommitting the
charitytothatexpenditure,itisprobablethatatransferofeconomicbenefitswillberequiredin settlement
andtheamountoftheobligationcanbemeasuredreliably.Expenditureisaccountedforonanaccruals basis
andhasbeenclassifiedunderheadingsthataggregateallcostrelatedto thecategory.Wherecostscannot be
directlyattributedtoparticularheadingstheyhavebeenallocatedtoactivitiesonabasisconsistentwith the
use of resources.Goev

Charitable activities

Costs of charitableactivitiesincludesall expenditureother than for generatingfunds or governanceincurred in
furtherance of the charity's objectives.

Allocation and apportionment of costs

Supportcostsarethosefunctionsthatassisttheworkofthecharitybutdonotdirectlyundertake charitable
activities. The bases on which support costs have been allocated are set out in note 7.

continued...

Page 11

Moreton Hall School Trust Limited

Notes to the Financial Statements - continued

for the Year Ended 31 August 2020

1. ACCOUNTING POLICIES - continued

Tangible fixed assets

Depreciationis providedat the followingannualratesin order to write off each assetover its estimated useful
life or, if held under a finance lease, over the lease term, whichever is the shorter.

Sports Hall- Straight line over 10 to 40 years
Long leasehold- Straight line over 10 to 40 years
Fixtures and fittings- 10 years straight line
Motor vehicles- 25% on reducing balance

Stocks

Stocksarevaluedatthelowerofcostandnetrealisablevalue,aftermakingdueallowanceforobsolete and
slow moving items.

Debtors

Trade and other debtors are recognised at the settlementamount due after any discountoffered. Prepayments
are valued at the amount prepaid.

Creditors

Creditorsandprovisionsare recognisedwhere the charityhasa presentobligationresultingfrom a past event
that will probablyresult in the transfer of funds to a third party and the amount due to settle the obligation can
bemeasuredorestimatedreliably.Creditorsandprovisionsarenormallyrecognisedattheir settlement
amount after allowing for any trade discounts due.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restrictedfundscanonlybeusedforparticularrestrictedpurposeswithintheobjectsofthe charity.
Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

There are currently no restricted funds in the charity.

Hire purchase and leasing commitments

Assets obtained under hire purchase contractsor finance leases are capitalisedin the Balance Sheet. Those  held
underhirepurchasecontractsaredepreciatedovertheirestimatedusefullives.Thoseheldunder finance
leases are depreciated over their estimated useful lives or the lease term, whichever is shorter.

TheinterestelementoftheseobligationsischargedtotheStatementofFinancialActivitiesoverthe relevant
period. The capital element of the future payments is treated as a liability.

Pension costs and other post-retirement benefits

ThecompanycontributestoaDepartmentforEducationandEmploymentscheme,whichisadefined benefit
scheme,atratessetbytheschemeactuaryandadvisedtothecompanybytheschemeadministrator. The
schemeisamulti-employerpensionschemeanditisnotpossibletoidentifytheassetsandliabilitiesof the
scheme which are attributableto the company.In accordancewith FRS102 therefore,the scheme is accounted
for as a defined contribution scheme.

Non-teachingstaff are eligible to become members of a defined contributionpension scheme. The assets of  the
scheme are held separately from those of the company in independently administered funds.

TheannualcontributionspayabletobothschemesarechargedtotheStatementofFinancialActivitiesin the
period to which they relate.

continued...

Page 12

Moreton Hall School Trust Limited

Notes to the Financial Statements - continued

for the Year Ended 31 August 2020

1. ACCOUNTING POLICIES - continued

Financial instruments

Financialassetsandfinancialliabilitiesarerecognisedwhenthecharitybecomespartytothe contractual
provisionsoftheinstrument.Allfinancialassetsandliabilitiesareinitiallymeasuredattransaction price
(including transaction costs).

TheTrustonlyhasfinancialassetsandfinancialliabilitiesofakindthatqualifyasbasicfinancial instruments.
Basicfinancialinstrumentsareinitiallyrecognisedattransactionvalueandsubsequentlymeasuredat their
settlementvalue,withthe exceptionof advancefee schemes.A simplediscountis offeredby the Truston the
prevailingfeeratespayableinreturnforpaymentinadvance.Theadvancepaymentmustbetreated as
deferred income until the criteria for income recognition are met.

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost less provision for impairment.

2. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

IntheapplicationoftheTrust'saccountingpolicies,whicharedescribedbelow,theTrusteesarerequired to
makejudgements,estimatesandassumptionsaboutthecarryingamountofassetsandliabilitiesthatare not
readilyavailablefromothersources.Theestimatesandassociatedassumptionsarebasedon historical
experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimatesare underlyingassumptionsare reviewed on an ongoingbasis. Revisionsto accounting estimates
arerecognisedintheperiodwhichtheestimateisrevisediftherevisionaffectsonlythatperiod,orin the
period of the revision and future periods if the revision affects both current and future periods.

The Trusteesdo not considerthere are any key sourcesof estimationuncertainty.Criticaljudgementsrelate to
going concern as follows:

Going concern

The company meets its day to day working capital requirements through loan from Trustees.

Duringtheyear,andinpreviousyearsthecompanyhasbeenprovidedwithloansfromTrustees,this has
continuedsince the year end to ensure that the companycan meet its cash requirements.Additionalfunds will
and have been made available, and the Trustees will continue to provide support going forward.

Fromthefinancialplanningundertakenandsubjecttonotrequiringexcessivesumsforpropertyrepairs and
assumingcontinuedsupportfromthebank,thegovernorsconsideritappropriatetopreparethe financial
statements on a going concern basis.

Followingthe decisionin April 2020 to close the school and end the activityof providingeducation,this activity
endedinthe31August2020financialyear.Itisstillconsideredappropriatetopreparethecharity and
companyaccountson a going concernbasis as the companystill has the supportof its trustees,as it closes the
school activityand makes plans to ensure that the assets of the charityare maintainedand utilisedto ensure  a
return can be made to all creditors and any surplus used inline with the charitable purpose of the company.

continued...

Page 13

Moreton Hall School Trust Limited

Notes to the Financial Statements - continued

for the Year Ended 31 August 2020

3. DONATIONS AND LEGACIES

DONATIONS AND LEGACIES
Donations and fundraising
Donations and fundraising relates to donations received from various parties.
INCOME FROM CHARITABLE ACTIVITIES
Activity
Fees receivable
Activities for generating funds
Grants
Activities for generating funds
Extras and disbursements
recoverable and recovered
Activities for generating funds
Other income
Activities for generating funds
Rent receivable
Rental Income
Grants received, included in the above, are as follows:
Covid Job Retention Scheme
CHARITABLE ACTIVITIES COSTS
Direct
Costs (see
note 6)
£
Activities for generating funds
22,258
Staff costs
744,063
Support costs
307,063
Depreciation
33,392
1,106,776		 2020
£
76
2020
£
558,804
87,535
37,854
23,575
1,610
709,378
2020
£
87,535
Support
costs (see
note 7)
£
-
-
48,646
-
48,646		 2019
£
39
2019
£
790,597
-
63,180
84,337
28,214
966,328
2019
£
-
Totals
£
22,258
744,063
355,709
33,392		 2019
£
-
1,155,422

4. INCOME FROM CHARITABLE ACTIVITIES

5. CHARITABLE ACTIVITIES COSTS

continued...

Page 14

Moreton Hall School Trust Limited

Notes to the Financial Statements - continued

for the Year Ended 31 August 2020

6. DIRECT COSTS OF CHARITABLE ACTIVITIES

Staff costs
Rates and insurance
Light and heat
Repairs - premises and household
Gardens and grounds
Advertising
Catering costs
Professional fees, training, subscriptions & licences
General teaching expenses
Disbursements recoverable
Telephone, post & stationery
Administration costs - health & safety, pest control & other admin
Bad debts
Travel and motor expenses
Leasing costs
Depreciation
Loss on sale of assets
Redundancy cost
SUPPORT COSTS
Support costs
Independent examiners fees		 Finance
£
29,687		 2020
£
744,063
36,485
30,736
9,681
7,650
1,209
33,349
19,144
15,683
8,171
16,389
1,042
41,410
3,626
4,630
34,539
19,545
79,424
1,106,776
Governance
costs
£
18,959		 2020
£
744,063
36,485
30,736
9,681
7,650
1,209
33,349
19,144
15,683
8,171
16,389
1,042
41,410
3,626
4,630
34,539
19,545
79,424
1,106,776
Governance
costs
£
18,959		 2019
£
687,944
30,346
25,817
29,202
9,510
1,445
56,404
11,923
20,883
18,121
15,087
529
(592)
5,268
12,441
37,583
-
-
961,911
Totals
£
48,646		 2019
£
687,944
30,346
25,817
29,202
9,510
1,445
56,404
11,923
20,883
18,121
15,087
529
(592)
5,268
12,441
37,583
-
-
961,911
Totals
£
48,646
2020 2019
£ £
Independent examination fees 7,140 -
Other fees payable to independent examiner 11,819 15,389

7. SUPPORT COSTS

continued...

Page 15

Moreton Hall School Trust Limited

Notes to the Financial Statements - continued

for the Year Ended 31 August 2020

8. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):
2020 2019
£ £
Auditors' remuneration - 5,400
Other non-audit services 18,959 6,918
Depreciation - owned assets 29,959 31,477
Depreciation - assets on hire purchase contracts and finance leases 4,580 6,107
Deficit on disposal of fixed assets 19,545 -
Operating lease costs - other - 8,429

9. TRUSTEES' REMUNERATION AND BENEFITS

Therewerenotrustees'remunerationorotherbenefitsfortheyearended31August2020norforthe year
ended 31 August 2019.

Trustees receive no interest on loans that have been made to the charity.

Trustees' expenses

Therewerenotrustees'expensespaidfortheyearended31August2020norfortheyear ended
31 August 2019.

10. STAFF COSTS

Wages and salaries
Social security costs
Other pension costs		 2020
£
625,231
48,516
70,316
744,063		 2019
£
592,537
43,164
52,243
687,944 
The average monthly number of employees during the year was as follows:
2020 2019
Administrative & teaching staff 34 32 
Thenumberofemployeeswhoseemployeebenefits(excludingemployerpensioncosts)exceeded £60,000
was:
2020 2019
£60,001 - £70,000 - 1 
Duringthepreviousyearretirementbenefitswereaccruingto1highpaidstaffmemberinrespectof defined
benefit pension schemes.

continued...

Page 16

Moreton Hall School Trust Limited

Notes to the Financial Statements - continued

for the Year Ended 31 August 2020

10. STAFF COSTS - continued

Key management personnel

ThekeymanagementpersonneloftheTrustcomprisetheTrustees,theHeadmaster,theDeputy Headmaster
andtheHeadofLowerSchool.Thetotalremuneration(includingpensioncontributions,excluding social
securitycosts)ofthekeymanagementpersonnelfortheyeartotalled£56,315(2019:£143,331).The total
social security costs of the key management personnel for the year totalled £6,390 (2019: £14,892).

11. EXCEPTIONAL ITEMS

During the period the School activityended. Further disclosure and detail is included in the Trustees report & at
note 25.

Thisprocesscausedallteachingstaffandthemajorityof supportstafftobe maderedundantasat31 August
2020.

Thefullredundancycostisaccruedintheseaccountsandwaspaidtotheemployeesonthe3rd September
2020.

12. TANGIBLE FIXED ASSETS

COST
At 1 September 2019
Additions
Disposals
At 31 August 2020
DEPRECIATION
At 1 September 2019
Charge for year
Eliminated on disposal
At 31 August 2020
NET BOOK VALUE
At 31 August 2020
At 31 August 2019		 Sports
Hall
£
113,591
-
-
113,591
84,666
2,992
-
87,658
25,933
28,925		 Long
leasehold
£
267,514
-
-
267,514
111,651
18,091
-
129,742
137,772
155,863		 Fixtures
and
fittings
£
137,512
440
(49,208)
88,744
54,019
8,876
(23,655)
39,240
49,504
83,493		 Motor
vehicles
£
45,014
-
(14,950)
30,064
26,694
4,580
(14,950)
16,324
13,740
18,320		 Totals
£
563,631
440
(64,158)
499,913
277,030
34,539
(38,605)
272,964
226,949
286,601		 
The net bookvalueof tangiblefixed assetsincludes£ 13,740(2019- £ 18,320) in respectof assetsheld under
hire purchase contracts.

continued...

Page 17

Moreton Hall School Trust Limited

Notes to the Financial Statements - continued

for the Year Ended 31 August 2020

13. FIXED ASSET INVESTMENTS

MARKET VALUE
At 1 September 2019 and 31 August 2020
NET BOOK VALUE
At 31 August 2020
At 31 August 2019		 Shares in
group
undertakings
£
1,597,204
1,597,204
1,597,204		 
There were no investment assets outside the UK.

The company's investments at the balance sheet date in the share capital of companies include the following:

Moreton Hall School Limited

Registered office: Moreton Hall School, Mount Road, Bury St Edmunds, Suffolk, IP32 7BJ
Nature of business: Investment in freehold property.
%
Class of share: holding
Ordinary A 100
2020 2019
£ £
Aggregate capital and reserves 1,606,947 1,606,947 
MoretonHallSchoolLimitedownsthefreeholdpropertyexcludingtheplayingfield,whichtheschooluses for
itscharitableactivity.A leasewasgrantedbyMoretonHallSchoolLimitedon20October2009,foruseof the
propertyatMoretonHallSchool.Thetermofthisleaseis99years,withyearlyrentalspayableof one
peppercorn.

14. STOCKS

Stocks
15.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade debtors
Prepayments and accrued income
Development costs		 2020
£
-
2020
£
15,833
17,438
61,026
94,297		 2019
£
1,528
2019
£
108,013
13,947
-		 2019
£
1,528
121,960 
continued...

Page 18

Moreton Hall School Trust Limited

Notes to the Financial Statements - continued for the Year Ended 31 August 2020

16. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Bank loans and overdrafts (see note 18)
Hire purchase (see note 19)
Trade creditors
Amounts owed to group undertakings
Social security and other taxes
Other creditors & accruals
Fees in advance		 2020
£
39,162
5,012
42,873
6,947
73,481
137,286
-
304,761		 2019
£
61,738
5,012
72,978
6,947
12,095
14,707
235,650
409,127

Analysis of fees in advance

Fees are payabletermlyin advancethereforethe incomeis deferredas the criteriafor incomerecognition has
notbeenmet.Withindeferredincomeareannualandmulti-annualfeespaidinadvanceinreturnfor a
discount. An analysis of deferred income is shown as follows:
2020 2019
£ £
Deferred income brought forward 235,650 339,680
Amounts released in year (235,650) (301,905)
Income deferred in year - 197,875
Deferred income carried forward - 235,650

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

Bank loans (see note 18)
Other loans (see note 18)
Hire purchase (see note 19)
Other creditors		 2020
£
769,835
1,855,453
7,100
70,000
2,702,388		 2019
£
805,303
1,325,683
12,112
70,000
2,213,098		 
a)Loanstockof£200,000wasissuedon20October2009,asdeferredconsiderationforthepurchaseof the
shares in Moreton Hall School Limited.

The Loan stock was redeemablein October2019,with interestpayableat a range of rates,being 4.25% for  the
yearto 19 October2010,5% for the yearto 19 October2011,7.5%for the yearto 19 October2012,and 10%
from 20 October 2012 onwards.

b) The bank loan is repayableover 25 years at £5,300 per month and interest is charged on the loan at a rate  of
2% above the bank's base rate.

c)On30July2012thebankprovidedfundingforanewclassroomblockintheformoffixedrateloan of
£101,500repayableover20yearsat£655.26permonth.Interestis chargedontheloanata ratefixedfor 10
years of 5.73%.

continued...

Page 19

Moreton Hall School Trust Limited

Notes to the Financial Statements - continued

for the Year Ended 31 August 2020

18. LOANS

An analysis of the maturity of loans is given below:
Amounts falling due within one year on demand:
Bank overdrafts
Classroom loan
Lloyds mortgage
Amounts falling between one and two years:
Bank loans - 1-2 years
Loan stock
Amounts falling due between two and five years:
Bank loans - 2-5 years
Other LT creditors
Amounts falling due in more than five years:
Repayable by instalments:
Bank loans more than 5 years		 2020
£
-
946
38,216
39,162
44,207
200,000
244,207
137,385
1,655,453
1,792,838
588,243		 2019
£
20,691
4,144
36,903
61,738
42,558
200,000
242,558
135,785
1,125,683
1,261,468
626,960

19. LEASING AGREEMENTS

Minimum lease payments fall due as follows:
Net obligations repayable:
Within one year
Between one and five years
Within one year		 Hire purchase contracts
2020
2019
£
£
5,012
5,012
7,100
12,112
12,112
17,124
Non-cancellable
operating leases
2020
2019
£
£
-
5,195		 
continued...

Page 20

Moreton Hall School Trust Limited

Notes to the Financial Statements - continued

for the Year Ended 31 August 2020

20. SECURED DEBTS

The following secured debts are included within creditors:
Bank overdraft
Bank loans
Hire purchase contracts		 2020
£
-
808,997
12,112
821,109		 2019
£
20,691
846,350
17,124
884,165 
LloydsBankplc, providerof the bankoverdraftand bankloans,hold a chargeover the leaseholdproperty and
all other property and assets of the charitable company.

The hire purchase contracts hold charges over the assets to which they relate.

The loan stock is secured by a fixed and floating charge over all property and assets of the charitable company.

21. MOVEMENT IN FUNDS

Unrestricted funds
General fund
TOTAL FUNDS
Net movement in funds, included in the above are as follows:
Unrestricted funds
General fund
TOTAL FUNDS		 At 1.9.19
£
(614,029)
(614,029)
Incoming
resources
£
709,454
709,454		 Net
movement
in funds
£
(445,968)
(445,968)
Resources
expended
£
(1,155,422)
(1,155,422)		 At
31.8.20
£
(1,059,997)
(1,059,997)
Movement
in funds
£
(445,968)
(445,968)		 
continued...

Page 21

Moreton Hall School Trust Limited

Notes to the Financial Statements - continued

for the Year Ended 31 August 2020

21. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds
General fund
TOTAL FUNDS
Comparative net movement in funds, included in the above are as
Unrestricted funds
General fund
TOTAL FUNDS		 At 1.9.18
£
(549,931)
(549,931)
follows:
Incoming
resources
£
966,367
966,367		 Net
movement
in funds
£
(64,098)
(64,098)
Resources
expended
£
(1,030,465)
(1,030,465)		 At
31.8.19
£
(614,029)
(614,029)
Movement
in funds
£
(64,098)
(64,098)		 
A current year 12 months and prior year 12 months combined position is as follows:
Unrestricted funds
General fund
TOTAL FUNDS		 At 1.9.18
£
(549,931)
(549,931)		 Net
movement
At
in funds
31.8.20
£
£
(510,066)
(1,059,997)
(510,066)
(1,059,997)		 
Acurrentyear12monthsandprioryear12monthscombinednetmovementinfunds,includedinthe above
are as follows:
Unrestricted funds
General fund
TOTAL FUNDS		 Incoming
resources
£
1,675,821
1,675,821		 Resources
expended
£
(2,185,887)
(2,185,887)		 Movement
in funds
£
(510,066)
(510,066)		 
continued...

Page 22

Moreton Hall School Trust Limited

for the Year Ended 31 August 2020

Notes to the Financial Statements - continued

22. EMPLOYEE BENEFIT OBLIGATIONS

ThecharitycontributestotheTeachersSuperannuationpensionschemeforitsprofessionalemployeesand a
definedcontributionschemeforotherstaff.Contributionspaidintheyearwere£70,316(2019:£52,243). At
the year end a balance of £9,918 (2019: £7,459) was outstanding.

23. CONTINGENT LIABILITIES

There were no contingent liabilities at 31 August 2020 or 31 August 2019.

24. RELATED PARTY DISCLOSURES

a)Thecompanyhasloansfromtrustees.Thetotalamountduetotrusteesat31August2020is £1,655,453
(2019: £1,125,683). No interest is being charged on these loans.

b)A leasewasgrantedtothecharitablecompanyon20October2009,fromMHSLFieldNomineeLimited for
use of the playing fields at Moreton Hall School. The term of this lease is 99 years, with yearly rentals payable of
one peppercorn.

c)Aleasewasgrantedtothecharitablecompanyon20October2009,fromMoretonHallSchoolLimited for
use of the property at Moreton Hall School. The term of this lease is 99 years, with yearly rentals payable of  one
peppercorn.

25. ULTIMATE CONTROLLING PARTY

The charitablecompanyis jointlycontrolledby the directors,with no one directorhavingultimatecontrol over
the charitable company.

26. SIGNIFICANT EVENTS

InApril2020,theparentsofthechildrenatMoretonHallSchoolwereinformedbytheGovernor's that
Moreton Hall Prep School would have to cease operation at the end of the Summer Term, 30th June 2020.

Thereforethis activityended in the 31 August2020 financialyear.The intentionof the trusteesand Governors
is to makeplansto ensurethatthe assetsof the charityare maintainedandutilisedto ensurea returncan be
made to all creditors and any surplus used inline with the charitable purpose of the company.

Further information relating to the event can be found in the Trustees Report.

Page 23

Moreton Hall School Trust Limited

Detailed Statement of Financial Activities

for the Year Ended 31 August 2020

INCOME AND ENDOWMENTS
Donations and legacies
Donations and fundraising
Charitable activities
Fees receivable
Grants
Extras and disbursements recoverable and
recovered
Other income
Rent receivable
Total incoming resources
EXPENDITURE
Charitable activities
Wages
Social security
Pensions
Rates and insurance
Light and heat
Repairs - premises and household
Gardens and grounds
Advertising
Catering costs
Professional fees, training, subscriptions &
licences
General teaching expenses
Disbursements recoverable
Telephone, post & stationery
Administration costs - health & safety, pest
control & other admin
Bad debts
Travel and motor expenses
Leasing costs
Depreciation of tangible fixed assets
Loss on sale of tangible fixed assets
Redundancy cost		 2020
£
76
558,804
87,535
37,854
23,575
1,610
709,378
709,454
625,231
48,516
70,316
36,485
30,736
9,681
7,650
1,209
33,349
19,144
15,683
8,171
16,389
1,042
41,410
3,626
4,630
34,539
19,545
79,424
1,106,776		 2019
£
39
790,597
-
63,180
84,337
28,214
966,328
966,367
592,537
43,164
52,243
30,346
25,817
29,202
9,510
1,445
56,404
11,923
20,883
18,121
15,087
529
(592)
5,268
12,441
37,583
-
-
961,911

Support costs

This page does not form part of the statutory financial statements

Page 24

Moreton Hall School Trust Limited

Detailed Statement of Financial Activities

for the Year Ended 31 August 2020
Support costs
Finance
Bank loan interest
Bank mortgage interest
Loan note interest
Hire purchase interest
Bank charges and other interest
Governance costs
Auditors' remuneration
Auditors' remuneration for non audit work
Total resources expended
Net expenditure		 2020
£
906
15,656
10,000
1,605
1,520
29,687
-
18,959
18,959
1,155,422
(445,968)		 2019
£
4,491
25,829
20,000
1,605
4,311
56,236
5,400
6,918
12,318
1,030,465
(64,098)		 
This page does not form part of the statutory financial statements

Page 25

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