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2020-08-31-accounts

Vita et Pax School (Cockfosters) Limited (A Company Limited by Guarantee)

Incorporated in England and Wales No. 01524865 Registered Charity No. 281566

GOVERNORS' REPORT AND FINANCIAL STATEMENTS For the year ended

31 August 2020

Vita et Pax School (Cockfosters) Limited CONTENTS for the year ended 31 August 2020

Page
Company Information 1 - 2
Trustees' Report 3 - 7
Auditors' Report 8 - 10
Statement of Financial Activities 11
Balance Sheet 12
Cash Flow Statement 13
Notes to the Financial Statements 14 - 26

Vita et Pax School (Cockfosters) Limited REPORT OF THE GOVERNORS for the year ended 31 August 2020

Chairperson and Mrs A Westcott Director/Trustee Directors and Trustees Mrs A Westcott C. E. Howell MBE A. Jemal A. Georgiou A Howell S Aziz Head Teacher: Miss A Gay The Bursar: Charlotte Hick Company registered number: 01524865 Charity registered number: 281566 Registered Office: 64 Priory Close Green Road Southgate, London, N4 4AT London N4 4AT Bankers: National Westminster Bank Plc 12 The Broadway Southgate London N14 6QF CCLA Investment Management Ltd COIF Investment Management Ltd Senator House 85 Queen Victoria Street, London, EC4V 4ET

Directors and Trustees

appointed 09 October 2019 appointed 10 October 2019

Page 1

Vita et Pax School (Cockfosters) Limited REPORT OF THE GOVERNORS for the year ended 31 August 2020

Auditors:

Moore Kingston Smith LLP Devonshrie House 60 Goswell Road London EC1M 7AD Solicitors: Stone King LLP 13 Queen Square Bath BA1 2HJ Pension Schemes: Teachers’ Pensions Mowden Hall Darlington DL3 9EE Insurance brokers: Marsh Ltd - Education Practice Capital House 1 - 5 Perrymount Road Haywards Heath West Sussex RH16 3SY

Page 2

Vita et Pax School (Cockfosters) Limited TRUSTEES REPORT For the year ended 31 August 2020

The Trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 August 2020. The Trustees have adopted the provisions of the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in July 2014.

The financial statements have been prepared in compliance with the Charities Act 2011, the Trust Deed and the Companies Act 2006.

Our Objectives

The objectives of the school as set out in the Charity’s Objects are enhanced by the activities carried out in the School. Our aim is to maintain and enhance the academic success of the School and the first-class pastoral care provided for our pupils.

The objectives of the school are further explained in the prospectus, the website and written within the Staff Handbook and Charity Memorandum and Articles, they include;

Our key objectives for the year included:

Review of Activities and Achievements

During the academic year, the school had 109 students on roll:

The total staff were as follows:

During the year:

Page 3

Vita et Pax School (Cockfosters) Limited TRUSTEES REPORT

For the year ended 31 August 2020

Ethos, Strategy and Policies

Vita et Pax Preparatory School is a co-educational environment for children from the age of three to the end of their primary education. Our school delivers a child centred and coordinated approach to nurturing character for the future. We aim for our children to be creative and caring learners who are happy to be in our dedicated learning environment. Our school works in strong partnership with our parents to ensure students are demonstrably safe, academically confident and well cared for physically, socially and emotionally. The school will always take actions that are in the best interest of the child and will provide positive outcomes for their development. Pupils are encouraged to do their best at all times in our broad and balanced curriculum helps them achieve their preferred destination as they move on to the next stage of their education.

Vita et Pax Preparatory School is committed to creating and sustaining a learning environment that maintains respect and dignity for all. We value the diversity of our staff and students and work to provide a supportive environment in which the unique character of every individual is valued and celebrated. Our curriculum is focused to ensuring equality of education and opportunity for all students irrespective of age, race, gender, special educational needs, disability, religion or socio-economic background.

The curriculum seeks to maximise the unique value and potential of each pupil, fostering personal growth and development in all areas, enabling children to become confident, responsible and considerate members of the community. The school actively identifies all opportunities for diversity and inclusion to be embedded as a normative part of the curriculum.

Prospective pupils from all backgrounds are welcomed to the school. They are required to spend a morning working with the class they wish to join to determine their suitability and potential before they are admitted. In the school pupils from all religious and cultural traditions, work and pray together, in line with the ethos.

The Trustees as Charity Trustees have control of the Charity and its property and funds. They operate as stewards of the School, overseeing the upkeep of the School premises, setting budgets and supporting pupils and staff. Pathways to transition new trustees and governors into stewardship of the school are present. Focus is on training and building experience towards the central responsibility

As a charity, all the income of the School is applied for educational purposes. The Trustees regularly review the finances, budgets and expenses as part of the stewardship of the School and in common with other Independent Schools, substantial sums have been invested in the School building in recent years. They ensure that there is a

continuing programme of refurbishment, development and investment to maintain the excellent teaching facilities for our pupils.

Other policies on Assistance

Comparatively low fee levels are achieved through prudent financial planning and budgeting by the School. Staff discounts are available. There is some provision of hardship (£47502.00) support for families who have unexpected circumstances thrust upon them.

Page 4

Vita et Pax School (Cockfosters) Limited TRUSTEES REPORT

For the year ended 31 August 2020

Public benefit

In shaping our objectives for the year and planning our activities, the trustees have considered the Charity Commission’s guidance on public benefit, including the guidance ‘public benefit: running a charity (PB2)’ and in particular its supplementary public benefit guidance on advancing education and fee charging.

Policy

It is the trustees’ aim to attain the highest academic levels as well as providing an extra-curricular programme which aims to develop the leisure interests, self-confidence and a desire to contribute towards the community at large.

Future Developments

In the upcoming financial year the school will be working towards:

Financial Activities

The school’s financial position is good. The Governors signed a deficit budget due to the falling school role. There has been lower income due to a falling role. Advice on methods provided by charity accountants has been implemented. This included a review of authorisation procedures, improved use of accounting software and timeliness of transition of responsibility to the new school leadership and trustees.

Risk management

The trustees continue to keep the School’s activities under review, particularly in regard to any risk that may arise from time to time. They monitor the effectiveness of internal controls and other viable means, including insurance cover where appropriate, by which risks identified can be mitigated. The trustees actively review the major risks which the charity faces on a regular basis and believe that maintaining reserves at current levels, combined with an annual review of the controls over key financial systems, will provide sufficient resources in the event of adverse conditions. Trustees are increasing control over financial management as the school faces risk in the current financial market as well as with diminished income from a lowered roll. The Trustees have also examined other operational and business risks faced by the Charity.

Two risks identified and mitigated in the period were:

Investment performance

The School’s surplus funds are invested in Bank and other deposits. The income from these deposits has fallen in line with the bank base rates and the economic climate

Reserves Policy

The policy suggests that the reserves should be maintained at a level between 50 to 70% of annual income.

The Trustees recognise that, given the strength of the Charity’s balance sheet, that the reserves are currently adequate to withstand a short-term dip in pupil numbers. These reserves are designated for School development and potential acquisition of additional premises.

Should the opportunity to acquire a sports field arise the funds accumulated are available for immediate action. The designated fund is provided to assist families who unexpectedly experience hardship and need assistance to cover their school fees in short-term.

Page 5

Vita et Pax School (Cockfosters) Limited TRUSTEES REPORT For the year ended 31 August 2020

Directors and Trustees

The Board looks to appoint Trustees with a diversity of skills to create a balanced group. Potential Trustees are interviewed by the Chair and other Trustees to determine their commitment and integrity. On joining a skills audit is undertaken, line with this appropriate training is given usually through AGBIS in order that it remains relevant to the independent sector. References are taken up from the Headteacher and through networking. 95% of the Board at anytime consists of past parents or persons with a connection to the school.

All Directors of the Company are also Trustees of the Charity, and there are no other Trustees. The Board of Directors has the power to appoint additional Trustees as it considers fit to do so. There have been resignations during the year. There have been some appointments during the year.

C. E Howell MBE A Westcott A Jemal A Georgiou A Howell appointed 9 October 2019 S Aziz appointed 10 October 2019

All the trustees give their time freely and no remuneration or expenses were paid in the year. Provision for training is arranged and paid for by the school.

Statement of Trustees’ Responsibilities

The Trustees (who are also directors of Vita et Pax School (Cockfosters) Limited for the purposes of company law) are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice.)

Company law required Trustees to prepare financial statements for each financial year which give a true and fair view of the state of the affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the Trustees are aware:

Page 6

Vita et Pax School (Cockfosters) Limited TRUSTEES REPORT For the year ended 31 August 2020

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

This report was approved by the board of directors and Trustees on 25 May 2021

and signed on its behalf.

Mrs A P Westcott Trustee

Page 7

Vita et Pax School (Cockfosters) Limited

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF VITA ET PAX (COCKFOSTERS) LIMITED For the year ended 31 August 2020

Opinion

We have audited the financial statements of Vita et Pax (Cockfosters) Limited for the year ended 31 August 2020 which comprise the Statement of Financial Activities, the Summary Income and Expenditure Account, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 ‘The Financial Reporting Standard Applicable in the UK and Republic of Ireland’ (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

Other information

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

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

Page 8

Vita et Pax School (Cockfosters) Limited

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF VITA ET PAX (COCKFOSTERS) LIMITED For the year ended 31 August 2020

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual report.

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

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 6, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

Page 9

Vita et Pax School (Cockfosters) Limited

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF VITA ET PAX (COCKFOSTERS) LIMITED For the year ended 31 August 2020

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Use of our report

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

Neil Finlayson (Senior Statutory Auditor) for and on behalf of Moore Kingston Smith LLP, Statutory Auditor

Devonshire House 60 Goswell Road EC1M 7AD

Page 10

Vita et Pax School (Cockfosters) Limited STATEMENT OF FINANCIAL ACTIVITIES (including the income and expenditure statement) for the year ended 31 August 2020

Notes
INCOME FROM:
Charitable Activities
School fees
3
Other educational income
4
Other income
5
Other trading income
Other activities
Investments
6
Investment Income
Voluntary sources
7
Grants and donations
Total income and endowments
EXPENDITURE ON:
Charitable activities
8
Education
Total expenditure
Net operating income/(expenditure)
Net gains on investments
15
Net income/(expenditure)
Transfer between funds
Net movement in funds
Fund balances brought forward
Fund balances carried forward
18, 19		 Total
2020
£
1,019,616
107,587
-
2,728
8,911
24,072		 Total
2019
£
1,061,875
80,208
-
16,926
14,418
-
1,162,914 1,173,427
1,471,751 1,494,783
1,471,751 1,494,783
(308,837)
-		 (321,356)
-
(308,837)
-		 (321,356)
-
(308,837)
2,062,374		 (321,356)
2,383,730
1,753,537 2,062,374

The statement of financial activities includes all gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared.

All of the above amounts relate to continuing activities.

The accompanying notes form part of these financial statements.

Page 11

Vita et Pax School (Cockfosters) Limited BALANCE SHEET as at 31 August 2020

Notes
FIXED ASSETS
Tangible assets
13
CURRENT ASSETS
Debtors
14
Cash at bank and in hand
CREDITORS: Amounts falling due within one year
15
NET CURRENT LIABILITIES
TOTAL ASSETS LESS CURRENT LIABILITIES
CREDITORS:Amounts falling due after more than one y
16
NET ASSETS
FUNDS
Unrestricted funds – designated
18
Unrestricted funds – general
18		 2020
£
489,716		 2019
£
502,476
489,716
123,063
1,593,376		 502,476
150,390
2,088,936
1,716,439
(312,602)		 2,239,326
(294,170)
1,403,837 1,945,156
1,893,553
(140,016)		 2,447,632
(385,258)
1,753,537 2,062,374
75
1,753,462		 75
2,062,299
1,753,537 2,062,374

Approved and authorised for issue by the Board of Governors on ........................................... and signed on their behalf by:

Anna Westcott Chairman of the Board of Governors

The accompanying notes form part of these financial statements. Company Number: 01524865

Page 12

Vita et Pax School (Cockfosters) Limited CASHFLOW STATEMENT for the year ended 31 August 2020

HFLOW STATEMENT
e year ended 31 August 2020
CASH FLOW STATEMENT
Notes
Net cash inflow from operating activities
23
Cash flows from investing activities:
Bank interest received
Payments to acquire fixed assets
Net cash outflow from investing activities
Increase/(decrease) in cash
beginning of the reporting period
end of the reporting period
Cash and cash equivalents at the
Cash and cash equivalents at the		 2020
£
(462,940)
8,911
-		 2019
£
(348,010)
14,418
-
16,993 14,418
(445,947)
2,005,152		 (333,592)
2,338,744
1,559,205 2,005,152

Page 13

Vita et Pax School (Cockfosters) Limited ACCOUNTING POLICIES

for the year ended 31 August 2020

1 ACCOUNTING POLICIES

Vita et Pax School (Cockfosters) Limited is a company limited by guarantee with registered number 01524865, incorporated and domiciled in England and Wales. Its registered office is 64 Priory Close, Green Road, Southgate, London, N4 4AT.

1.1 BASIS OF PREPARATION

The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). The Charitable Company is a public benefit entity for the purposes of FRS 102 and therefore the Charity also prepared its financial statements in accordance with the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (The FRS 102 Charities SORP), the Companies Act 2006 and the Charities Act 2011. The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest pound.

These financial statements are prepared on the going concern basis, under the historical cost convention as modified by the revaluation of investments and in accordance with the Companies Act 2006 and applicable accounting standards in the United Kingdom. The principal accounting policies, which have been applied consistently throughout the year, are set out below.

1.2 GOING CONCERN

The trustees have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the school to continue as a going concern. The trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. The trustees have also considered the impact on the school subsequent to the year end of the COVID-19 pandemic and the measures taken to contain it and whilst the ultimate impact of the pandemic cannot currently be quantified, the trustees do not believe that the pandemic will have a significant impact on the ability of the school to continue to operate. After making enquiries the trustees have concluded that there is a reasonable expectation that the the school has adequate resources to continue in operational existence for the foreseeable future. The school therefore continues to adopt the going concern basis in preparing its financial statements.

As such the School can expect to be able to meet its liabilities as they fall due in the period of at least 12 months from the date of approval of these accounts. However, there can be no certainty in relation to these matters.

On this basis the Governors have concluded that the School is a going concern. The financial statements do not include any adjustments that would result from the School not being able to meet its liabilities as they fall due.

1.3 COMPANY LIMITED BY GUARANTEE

The company is limited by guarantee, the guarantors at the present time being the Governors, to the extent of £5 each.

1.4 FEES RECEIVABLE AND SIMILAR INCOME

Fees receivable and charges for services and use of premises are accounted for in the period in which the service is provided. Fees receivable are stated after deducting allowances, scholarships and other remissions granted by the school.

1.5 DONATIONS AND FUND ACCOUNTING

Donations received for the general purposes of the school are included as unrestricted funds. Donations restricted by the wishes of the donor or the terms of an appeal are taken to restricted funds. Donations required to be retained as capital in accordance with the donor’s wishes are accounted for as endowments – permanent or expendable according to the nature of the restriction.

Page 14

Vita et Pax School (Cockfosters) Limited ACCOUNTING POLICIES

for the year ended 31 August 2020

1.6 EXPENDITURE

Expenditure is allocated to expense headings, which aggregate all costs relating to the category either on a direct cost basis, or apportioned according to time spent. The irrecoverable element of VAT is included with the item of expense to which it relates.

All costs associated with the provision of education are allocated to Charitable Expenditure. Only the costs directly associated with, or incurred solely in, Raising Funds are allocated to this category. For example, the costs of kitchen and domestic staff who are employed on a short term basis during the school holidays are allocated to the Cost of Raising Funds whereas the costs of the permanent staff are allocated to Charitable Expenditure because they would have to be paid in any event. Likewise, only premises costs that are incurred because of, or to support, the letting activities are allocated to the Costs of Raising Funds.

Governance costs comprise the costs of running the Trust, including strategic planning for its future development, external audit, and all other costs of complying with constitutional and statutory requirements.

1.8 FIXED ASSETS AND DEPRECIATION

All fixed assets are used in direct furtherance of the school’s objectives. Fixed assets are included in these financial statements at their original cost less depreciation and accumulated impairment losses provided to date.

Improvements to Leasehold Premises Amortised annually based on 20 years lease Improvements to Leasehold Premises (post 31/08/2017) Amortised based on remaining life of lease Fixtures and equipment 25% on cost (straight line)

1.9 PENSIONS

Full-time and part-time teaching staff employed under a contract of service are eligible to contribute to the Teachers’ Pension Scheme (TPS). The TPS, a statutory, contributory, final salary scheme is administered by Capita Teachers’ Pensions on behalf of the Department for Education and Skills.

Costs include normal and supplementary contributions. The regular cost is the normal contribution, expressed as a percentage of salary of a teacher newly entering service, which would defray the cost of benefits payable in respect of that service. Variations from the regular pension cost are met by a supplementary contribution. This occurs if, as a result of the actuarial investigation, it is found that the accumulated liabilities for benefits to past and present teachers are not fully covered by normal contributions to be paid in the future and by the fund built up from past contributions. The normal and supplementary contributions are charged to the income and expenditure account in the year.

The school also pays contributions into a Group Personal Pension Scheme for Support staff. The Scheme is a defined contribution pension scheme. The assets of the Scheme are held separately from those of the School in an independently administered fund. The Pension Scheme charge represents contributions payable by the school in accordance with the rules of the Scheme.

1.10 LEASES

Rentals paid under operating leases are charged to the Statement of Financial Activities evenly over the period of the lease.

1.11 INVESTMENTS

Current asset investments are shown at market value.

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less.

Page 15

Vita et Pax School (Cockfosters) Limited ACCOUNTING POLICIES for the year ended 31 August 2020

1.13 FINANCIAL INSTRUMENTS

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

With the exceptions of prepayments and deferred income all other debtor and creditor balances are considered to be basic financial instruments under FRS 102. See notes 14 and 15 for the debtor and creditor notes.

1.14 TAXATION

The company is a registered charity and is exempt from taxation as afforded by Section 505 ICTA 1988.

1.2 EMPLOYEE BENEFITS

The costs of short-term employee benefits are recognised as a liability and an expense.

2 KEY ESTIMATES & JUDGEMENTS

In the application of the company's accounting policies, the Council is required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an on-going basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised, if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

In the opinion of the Council of Management, the estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are outlined below.

Critical judgements

Useful economic lives

The annual depreciation charge for property, plant and equipment is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets. See note 13 for the carrying amount of the property, plant and equipment and note 1.18 for the useful economic lives for each class of asset.

Recoverable value of fee debtors

The company makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience. See note 14 for the net carrying amount of the debtors and associated impairment provision.

In preparing financial statements it is necessary to make certain judgements, estimates and assumptions that affect the amounts recognised in the financial statements. The following judgements and estimates are considered by the trustees to have most significant effect on amounts recognised in the financial statements.

Page 16

Vita et Pax School (Cockfosters) Limited NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 August 2020

3 FEE INCOME
The School’s activities are carried out within the UK.
The school's fee income comprised:
Gross fees
Less: Scholarships and bursaries
4 OTHER EDUCATIONAL INCOME
Extras and disbursements
Early years funding
Other income
5 OTHER TRADING INCOME
Other income
6 INVESTMENT INCOME
Interest received
7 DONATIONS AND GRANTS
Furlough Grant		 2020
£
1,068,309
(48,693)		 2019
£
1,100,263
(38,388)
1,019,616 1,061,875
2020
£
12,639
30,613
64,335		 2019
£
16,578
62,372
1,258
107,587 80,208
2020
£
2,728		 2019
£
16,926
2,728 16,926
2020
£
8,911		 2019
£
14,418
8,911 14,418
2020
£
24,072		 2019
£
-
24,072 -

Page 17

Vita et Pax School (Cockfosters) Limited NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

8 EXPENDITURE

Charitable expenditure
£
Teaching
629,710
Welfare
-
Premises and Estates
-
Administration
256,434
Governance
-
Total Charitable Expenditure
886,144
Total Expended
886,144
Charitable expenditure
£
Teaching
559,795
Welfare
-
Premises and Estates
-
Administration
231,080
Governance
-
Total Charitable Expenditure
790,875
Total Expended
790,875
(b)
Other Governance Costs include:
Auditors' remuneration
- Audit Fees
- Over/underprovision from previous year
- Other Auditors remuneration
Legal and Professional Fees
Staff costs
(note 9)
Staff costs
(note 9)		 £
629,710
-
-
256,434
-
Staff costs
(note 9)		 Other
£
43,084
97,112
208,168
175,074
49,409		 Depreciation
£
-
-
9,184
3,576
-		 Total
2020
£
672,794
97,112
217,352
435,084
49,409
886,144 572,847 12,760 1,471,751
886,144 572,847 12,760 1,471,751
£
559,795
-
-
231,080
-
Staff costs
(note 9)		 Other
£
29,914
134,802
213,762
112,805
126,456		 Depreciation
£
-
-
82,498
3,671
-		 Total
2019
£
589,709
134,802
296,260
347,556
126,456
790,875 617,739 86,169 1,494,783
790,875 617,739 86,169 1,494,783
2020
£
16,695
(3,363)
10,897
23,851		 2019
£
16,995
25,482
12,604
53,704

Page 18

Vita et Pax School (Cockfosters) Limited SCHEDULES OF DETAILED EXPENDITURE for the year ended 31 August 2020

(c)
Administration Costs
Salaries
National Insurance
Pension Costs
Staff Training
Subscriptions
Staff travel
IT support
Postage and stationery
Telephones
Marketing and advertising
Website
Bad debts
Depreciation
Recruitment Costs
Other Administration Costs
Bank charges and interest
9 STAFF COSTS
Wages and salaries
Redundancy and settlement costs
Social security costs
Other pension costs
Other staff costs		 2020
£
216,766
26,670
7,111
5,887
20,025
618
9,797
19,844
7,848
22,331
1,411
67,534
3,576
76
21,674
3,916		 2019
£
204,400
17,324
8,311
1,045
10,231
434
5,193
25,893
2,296
6,722
664
40,860
3,671
7,178
12,002
1,332
435,084 347,556
2020
£
693,304
39,564
80,132
67,257
5,887		 2019
£
650,253
-
54,952
68,563
17,107
886,144 790,875

Page 19

Vita et Pax School (Cockfosters) Limited NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

The average monthly number of employees during the year was as follows:

Teaching
Administration
£60,000 in the year was as follows:
£60,000 - £70,000
The number of employees		 2020
No.
12
13		 2019
No.
14
15
25 29
2020
No.
1		 2019
No.
1
1 1

The charity considers that the key management personnel of the school include the Head Teacher and the School Bursar (2019 included the Assistant Head Teacher). Total employee benefits including pension costs received by the key management personnel were £124,472 (2019: £160,781).

10 GOVERNORS REMUNERATION AND BENEFITS

There were no Governors' remuneration or other benefits for the year ended 31 August 2020 nor for the year ended 31 August 2019.

Travel and training expenses of £nil (2019: £539) for 1 governor were paid by the charity during the year.

11 PENSIONS

The School participates in the Teachers' Pension Scheme ('the TPS') for its teaching staff. The pension charge for the year includes contributions payable to the TPS of £60,146 (2019: £60,252) and at the year end £2,586 (2019: £28,067) was accrued in respect of contributions to this scheme.

The TPS is an unfunded multi-employer defined benefits pension scheme governed by The Teachers’ Pensions Regulations 2010 (as amended) and The Teachers’ Pension Scheme Regulations 2014 (as amended). Members contribute on a “pay as you go” basis with contributions from members and the employer being credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.

The employer contribution rate is set by the Secretary of State following scheme valuations undertaken by the Government Actuary’s Department. The most recent actuarial valuation of the TPS was prepared as at 31 March 2016 and the Valuation Report, which was published in March 2019, confirmed that the employer contribution rate for the TPS would increase from 16.4% to 23.6% from 1 September 2019. Employers are also required to pay a scheme administration levy of 0.08% giving a total employer contribution rate of 23.68%.

The 31 March 2016 Valuation Report was prepared in accordance with the benefits set out in the scheme regulations and under the approach specified in the Directions, as they applied at 5 March 2019. However, the assumptions were considered and set by the Department for Education prior to the ruling in the ‘McCloud/Sargeant case’. This case has required the courts to consider cases regarding the implementation of the 2015 reforms to Public Service Pensions including the Teachers’ Pensions.

Page 20

Vita et Pax School (Cockfosters) Limited NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

On 27 June 2019 the Supreme Court denied the government permission to appeal the Court of Appeal’s judgment that transitional provisions introduced to the reformed pension schemes in 2015 gave rise to unlawful age discrimination. The government is respecting the Court’s decision and has said it will engage fully with the Employment Tribunal as well as employer and member representatives to agree how the discriminations will be remedied. A consultation was launched by the government on 16 July 2020, and closed to responses on 11 October 2020.

The TPS is subject to a cost cap mechanism which was put in place to protect taxpayers against unforeseen changes in scheme costs. The Chief Secretary to the Treasury, having in 2018 announced that there would be a review of this cost cap mechanism, in January 2019 announced a pause to the cost cap mechanism following the Court of Appeal’s ruling in the McCloud/Sargeant case and until there is certainty about the value of pensions to employees from April 2015 onwards. The pause was lifted in July 2020 and the government is preparing to complete the cost control element of the 2016 valuations, which is expected to be completed in 2021.

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 valuation prepared in accordance with revised benefits and suitably revised assumptions would yield different results than those contained in the Actuarial Valuation.

Until the consultation and the cost cap mechanism review are completed it is not possible to conclude on any financial impact or future changes to the contribution rates of the TPS. Accordingly no provision for any additional past benefit pension costs is included in these financial statements.

12
NET INCOME FOR THE YEAR
Net income is stated after charging:
Depreciation of tangible fixed assets
Operating lease rentals – other
Auditor’s remuneration
Audit services for the school- current year
Prior year underprovision
Other auditors' remuneration
13
TANGIBLE FIXED ASSETS
Cost:
At 1 September 2019
Disposals
At 31 August 2020
Depreciation:
At 1 September 2019
Charge for year
Disposals
Transfer
At 31 August 2020
Net book value:
At 31 August 2020
At 1 September 2019		 Leasehold
Property
£
1,409,694
-		 2020
£
12,760
152,304
16,695
(3,363)
10,897
Fixtures
&
Fittings
£
317,926
(8,082)		 2019
£
86,169
152,216
16,995
25,482
12,604
Total
£
1,727,620
(8,082)
1,409,694 309,844 1,719,538
962,517
9,184
-
(51,290)		 262,627
3,576
(8,082)
51,290		 1,225,144
12,760
(8,082)
-
920,411 309,411 1,229,822
489,283 433 489,716
447,177 55,299 502,476

Page 21

Vita et Pax School (Cockfosters) Limited NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

14 DEBTORS
Fees and extras
Less provision for doubtful debts
Other debtors
Prepayments and accrued income
15 CREDITORS
Amounts falling due within one year:
Bank overdraft
Trade creditors
Taxation and social security costs
Fee Deposits
Fees in advance
Other creditors
Accruals
Deferred income:
Brought forwards
Released in year
Received in year
Carried forwards		 2020
£
181,608
(113,934)
4,620
50,769		 2019
£
140,689
(46,400)
4,620
51,481
123,063 150,390
2020
£
42,253
9,161
129,892
12,950
44,074
2,586
71,686		 2019
£
83,784
39,465
16,711
59,270
-
28,919
66,021
312,602 294,170
2020
£
-
-
44,074		 2019
£
76,784
(76,784)
-
44,074 -

Deferred income relates to schools fees received in advance for the following term.

Page 22

Vita et Pax School (Cockfosters) Limited NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

16 CREDITORS DUE AFTER ONE YEAR

Amounts falling due after more than one year:
School fee deposits
Movement on other creditors
In one year or less
Between two and five years
17 FINANCIAL INSTRUMENTS
Carrying amount of financial assets
Debt instruments at amortised cost
Carrying amount of financial liabilities
Measured at amortised cost		 2020
£
140,016		 2019
£
385,258
140,016 385,258
2020
£
12,950
140,016		 2019
£
59,270
385,258
152,966 444,528
2020
£
72,294
96,383		 2019
£
98,909
193,675

Page 23

Vita et Pax School (Cockfosters) Limited NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

18 STATEMENT OF FUNDS

Unrestricted funds:
General reserve
Total designated
Total funds
Unrestricted funds:
General reserve
Total designated
Total funds		 £
2,062,299
At 1
September
2019		 Income
£
1,162,914		 Expenditure
£
(1,471,751)		 Transfer
Between
Funds
£
-		 £
1,753,462
At 31 August
2020
75 - - - 75
2,062,374 1,162,914 (1,471,751) - 1,753,537
£
2,383,655
At 1
September
2018		 Income
£
1,173,427		 Expenditure
£
(1,494,783)		 Transfer
Between
Funds
£
-		 £
2,062,299
At 31 August
2019
75 - - - 75
2,383,730 1,173,427 (1,494,783) - 2,062,374

Designated Funds

The management committee has earmarked certain funds for enhancement of the charitable aims of the charity.

Page 24

Vita et Pax School (Cockfosters) Limited NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

19 ANALYSIS OF NET ASSETS BETWEEN FUNDS

Tangible fixed assets
Current assets
Current liabilities
Long term liabilities
Total net assets
Tangible fixed assets
Current assets
Current liabilities
Long term liabilities
Total net assets		 Unrestricted
funds
£
489,716
1,716,439
(312,602)
(140,016)		 2020
Total
£
489,716
1,716,439
(312,602)
(140,016)
1,753,537 1,753,537
Unrestricted
funds
£
502,476
2,239,326
(294,170)
(385,258)		 2019
Total
£
502,476
2,239,326
(294,170)
(385,258)
2,062,374 2,062,374

20 COMMITMENTS UNDER OPERATING LEASES

At 31 August 2020, the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Due within one year
Due between two and five years
Due after more than five years		 2020
Land &
Buildings
152,306
609,224
152,271		 2019
Land &
Buildings
152,306
609,224
304,611
913,801 1,066,141

21 RELATED PARTIES

There are no related party transactions in the year (2019: £nil).

22 CAPITAL COMMITMENTS

At the year end the school has not committed to any capital projects (2019: £nil).

Page 25

Vita et Pax School (Cockfosters) Limited NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 August 2020

OTES TO THE FINANCIAL STATEMENTS
r theyear ended 31 August 2020
23 NOTES TO THE CASHFLOW STATEMENT
Reconciliation of operating result to net cash inflow from
operating activities
Net movement in funds
Depreciation
Bank interest received
Increase/(Decrease) in creditors
(Increase)/Decrease in debtors		 2020
£
(308,837)
12,760
(8,911)
(185,279)
27,327		 2019
£
(321,356)
86,169
(14,418)
(86,986)
(11,419)
(462,940) (348,010)

Page 26

Page 27

Vita et Pax School (Cockfosters) Limited NOT TO BE FILLED - DETAILED EXPENDITURE BREAKDOWN for the year ended 31 August 2020

Teaching Costs
Salaries
National Insurance
Pension Costs
Depreciation
Redundancy Costs
Other Staff Costs
IT expenditure
Trip expenditure
Classroom expenditure
Activities
Other Teaching
Donations and grants
Welfare Costs
Catering Contracts
Laundry and Cleaning Costs
Premises and Estates Costs
Repairs and renewals
Rent
Rates
Utilities
Insurance
Health and Safety
Depreciation
Other Premises		 2020
£
476,538
53,462
60,146
-
39,564
-
(790)
15,798
24,217
-
3,859
-		 2019
£
445,853
37,628
60,252
-
-
16,062
2,034
13,555
10,739
1,689
1,897
-
672,794 589,709
2020
£
94,966
2,146		 2019
£
130,561
3,509
97,112 134,802
2020
£
16,518
152,304
(3,559)
15,904
25,364
845
9,184
792		 2019
£
7,600
152,216
15,635
13,517
19,284
2,691
82,498
2,819
217,352 296,260

Page 28

Vita et Pax School (Cockfosters) Limited NOT TO BE FILLED - DETAILED EXPENDITURE BREAKDOWN for the year ended 31 August 2020

Finance and Administration Costs
Salaries
National Insurance
Pension Costs
Staff Training
Other Staff Related Costs
Subscriptions
Staff travel
IT support
Postage and stationery
Telephones
Marketing and advertising
Miscellaneous - Administration
Bad debts
Depreciation
Recruitment Costs
Other Administration Costs
Bank charges and interest
Governance Costs
Audit
Accountancy and other assistance
Professional fees
Other Governance
Total Costs of Charitable Activities		 2020
£
216,766
26,670
7,111
5,887
-
20,025
618
9,797
19,844
7,848
22,331
-
67,534
3,576
76
21,674
3,916		 2019
£
204,400
17,324
8,311
1,045
-
10,231
434
5,193
25,893
2,296
6,722
-
40,860
3,671
7,178
12,002
1,332
435,084 347,556
2020
£
16,695
7,534
23,851
1,329		 2019
£
16,995
52,175
53,704
3,582
49,409 126,456
1,471,751 1,494,783

Page 29