# **PRINCE’S MEAD SCHOOL TRUST (A company limited by guarantee)** 

**Company No. 1785733** 

**Charity No. 288675** 

## **ANNUAL REPORT & FINANCIAL STATEMENTS** 

**for the year ended 31 AUGUST 2021** 



**PRINCE’S MEAD SCHOOL TRUST (Company No. 1785733)** 

## **ANNUAL REPORT & FINANCIAL STATEMENTS** 

**for the year ended** 

**31 AUGUST 2021** 

## **CONTENTS** 

|Governors’ Report (including the Strategic Report)|page  1|
|---|---|
|Statement of Governors’ Responsibilities|page 10|
|Independent Auditors' Report to The Members of Prince’s Mead School Trust|page 11|
|Income and Expenditure Statement|page 14|
|Balance Sheet|page 15|
|Statement of Cash flows|page 16|
|Notes to the Accounts|page 17|





## **PRINCE’S MEAD SCHOOL TRUST (Company No. 1785733)** 

## **GOVERNORS’ REPORT (including THE STRATEGIC REPORT)** 

## **FOR THE YEAR ENDED 31 AUGUST 2021** 

The Board of Governors present their annual report incorporating the Strategic report for the year ended 31 August 2020 under the Companies Act 2006 and the Charities Act 2011, together with the audited financial statements for the year, and confirm that the latter comply with the requirements of the Companies Act 2006, the Company’s Memorandum & Articles of Association and the Charities SORP FRS102 (effective 1 January 2015). 

## **REFERENCE & ADMINISTRATIVE INFORMATION** 

Prince’s Mead School ("Prince’s Mead") was founded in 1949 and was incorporated as a charitable company (Prince’s Mead School Trust) in 1984, charity registration number 288675, company registration number 1785733, with the liability of its members limited to £1 each by guarantee.  The Registered Office and principal address of the Company is at Worthy Park House, Kings Worthy, Winchester, SO21 1AN. 

## **Governors** 

The present Governors of the Company, who are also the Charity Trustees and the Company’s directors, are: 

Mrs M Renwick Chairman Mrs S Annesley Mrs G Bateman Mrs S Dryden Mr T Giddings (appointed 17[th] March 2021) Mr C Gillow (appointed 17[th] March 2021) 

Mrs A Hauser Mr M Kelly Mr C Lowe Mr A McMillan (resigned 16[th] June 2021) 

Mr W Pattisson Mr D Sibson Mrs S Tice 

## **Key Management Personnel and Professional Advisers** 

The Head: Mr P P Thacker BA Hons The Bursar: Mr R I White BA Hons Bankers: HSBC Bank plc, 58 High Street, Winchester, SO23 9BZ Crowe U.K. LLP, Aquis House, 49-51 Blagrave Street, Reading, Auditors: Berkshire, RG1 1PL 

1 



**PRINCE’S MEAD SCHOOL TRUST (Company No. 1785733)** 

## **GOVERNORS’ REPORT (including THE STRATEGIC REPORT)** 

## **FOR THE YEAR ENDED 31 AUGUST 2021** 

## **STRUCTURE, GOVERNANCE AND MANAGEMENT** 

## **Governing Document** 

The Company is governed by its Memorandum and Articles of Association, last amended on 21 December 1983 and 15 June 2016 respectively. 

## **Governing Body** 

The Governors, who are also required under the Articles to serve as members of the Company, are elected at a full Governors’ Meeting.  Nominations are made by current Board members and the Head having taken due note of eligibility, personal competence, specialist skills and local availability. 

## **Recruitment and Training of Governors** 

The School is administered by its Governors in accordance with all current legislation and Charity Commission requirements.  Governance is as transparent as possible and aims to provide clear policy guidance to allow the School’s senior management to operate efficiently and effectively.  Elected Governors are appointed at a Governors’ Meeting on the basis of nominations received from existing Governors and after an initial familiarisation visit to the School.  On appointment new Governors receive a pack of information covering their role and all relevant policy documents.  They also undertake a further induction visit and attend a course on governance. 

## **Organisational Management** 

The School Governors, as the Trustees of the Charity, are legally responsible for the overall management and control of the School including all regulatory compliance.  The Governing Body sets and approves strategic direction and policy and meets four times each year and additionally as required.  The Governing Body monitors the work of the School’s management team through its meetings, committees and through formal and informal visits to the School. 

The day-to-day running of the school is delegated to the Headmaster and Bursar, as the key management personnel, who in turn are supported by their Senior Leadership Team.  The Headmaster and the Bursar attend all meetings of the Governing Body’s sub-committees. 

The remuneration of key management personnel is set by the Board, with the policy objective of providing appropriate incentives to encourage enhanced performance and of rewarding them fairly and responsibly for their individual contributions to the School’s success.   Delivery of the School’s charitable vision and purpose is primarily dependent on our key management personnel. 

The appropriateness of remuneration levels is reviewed annually within the budgeting process, including reference to comparisons with other independent schools and the annual IAPS Salary Survey, to ensure that the School remains sensitive to the broader issues of pay and employment conditions elsewhere 

Academic matters are brought to the attention of the Governors through the Education Committee and the Headmaster’s report. 

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**PRINCE’S MEAD SCHOOL TRUST (Company No. 1785733)** 

## **GOVERNORS’ REPORT (including THE STRATEGIC REPORT)** 

## **FOR THE YEAR ENDED 31 AUGUST 2021** 

## **Related and Connected Parties** 

The School is a member of a number of industry associations including ISBA, AGBIS and ISC and operates under the compliance framework provided by ISI. 

The Headmaster is a member of the Independent Association of Preparatory Schools (IAPS) which exists for the promotion and maintenance of preparatory school standards. 

Prince’s Mead co-operates with many local charities in on-going endeavours to widen public access to the schooling provided, to optimise the educational use of the cultural and sporting facilities and to awaken in the pupils an awareness of the social context of the education they receive at the School. 

Prince’s Mead also benefits from the generosity of a thriving parents’ association, the Prince’s Mead Association (PMA). 

During the year, Prince’s Mead continued to foster its supportive relationship with a school in India.  The school’s aim is to provide education for nursery and primary school aged children in the poor, rural areas of Tamil Nadu in Southern India.  Prince’s Mead is supporting the school in Inungur, Tamil Nadu, Southern India in a number of ways.  These include paying the annual salaries of five teachers and fundraising for capital projects. 

## **Risk Management** 

The Board, with assistance from an external Safety Consultant, continue to keep the School’s activities under review, particularly with regard to any major risks that may arise from time to time as well as the systems and procedures established to manage them.  In addition, the Board is particularly mindful of its responsibility for regulatory compliance.  It monitors the effectiveness of the system of internal controls and other viable means, including insurance cover where appropriate, by which those risks already identified can best be mitigated. 

## **OBJECTS, AIMS, OBJECTIVES AND PRINCIPAL ACTIVITIES** 

The Object of the Company, in accordance with its Memorandum of Association, is to promote and provide for the advancement of education of children in the United Kingdom and elsewhere.  In furtherance of this Object the Governors, as the Charity Trustees, have complied with the duty in s.4 of the Charities Act 2006 to have due regard to the Charity Commission’s published general and relevant sub-sector guidance concerning the operation of the Public Benefit requirement under that Act. 

## **Strategic Aim and Intended Effect** 

The School’s strategic aim is to be a thriving and successful 21[st] century school.  One of the key outcomes of this strategy is the attainment of the highest academic standards whilst allowing pupils to benefit from a broad extra-curricular programme.  This is intended to draw out their abilities and academic potential, awaken and develop wider interests in life, and motivate them for a successful outcome at their chosen senior school. 

In pursuit of this aim the Board will continue to enhance and develop facilities and accommodation, continue to improve educational performance, assess and, where necessary, improve public benefit, and ensure governor succession and expertise. 

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**PRINCE’S MEAD SCHOOL TRUST (Company No. 1785733)** 

## **GOVERNORS’ REPORT (including THE STRATEGIC REPORT)** 

## **FOR THE YEAR ENDED 31 AUGUST 2021** 

## **Objectives for the Year** 

The Board’s main objective continued to be to ensure the education of all the School’s pupils so that they will be fully able to benefit from their chosen senior school for the completion of their education in due course.  The Board’s strategy for achieving this is to set high teaching standards and tailor its care and tuition as appropriate in each case to suit individual needs. 

Subsidiary objectives were: 

- To maintain continuity of the education of pupils in the context of the Covid-19 pandemic 

- To be mindful of continuing to develop and enhance our outstanding level of pastoral care and spiritual, moral, social and cultural awareness in our pupils 

- To continue building mutually supportive links with other schools in our locality and encouraging greater community access to our facilities outside school hours 

- To extend access to the School to more children whose parents could not normally afford the fees 

The Board is particularly mindful of the impact of demographics on prep school aged pupils and local competition and is prioritising efforts to attract pupils across all year groups including developing the successful launch of the new Nursery. 

## **Principal Activity** 

Prince’s Mead’s principal activity continues to be the provision of a Day School for 3 – 11 year-old boys and girls. 

## **Volunteers** 

The Prince’s Mead Association (PMA) helped with the School’s fundraising and cultural activities to the extent of more than 1,000 hours of voluntary service during the year, and the Board would like to take this opportunity to say how much it appreciates their continuing and valuable support for the School’s work. 

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**PRINCE’S MEAD SCHOOL TRUST (Company No. 1785733)** 

## **GOVERNORS’ REPORT (including THE STRATEGIC REPORT)** 

## **FOR THE YEAR ENDED 31 AUGUST 2021** 

## **OUR SRATEGY, ETHOS AND ACCESS POLICIES** 

## **Our Strategy:** 

Our Governors are responsible for setting a strategy and the objectives required to achieve this.  The focus of our strategy is to be a thriving and successful 21[st] century school.  This is achieved through the development of our pupils, their continued high levels of academic and co-curricular achievement and to further widen access to the education our School provides.  In implementing our strategy, we: 

- review and benchmark the School’s academic syllabus, teaching practices and examination results 

- ensure the range of co-curricular activities available to our pupils is stimulating and challenging 

- invest in technology and the infrastructure of our School 

- co-operate and share resources with local schools 

- continue to review and develop our methods for awarding bursaries to ensure wider access to pupils from all backgrounds 

## **Our Ethos: A caring School serving our local community and society** 

Prince’s Mead School is a charitable trust which seeks to benefit the public through the pursuit of its stated aims. Our fees are set at a level to ensure the financial viability of the School and at a level that is consistent with our aim of providing a first-class education to boys and girls. 

Our School welcomes pupils from all backgrounds.  When considering a prospective pupil we need to be satisfied that our School will be able to educate and develop a prospective pupil to the best of their potential and in line with the general standards achieved by their peers.  Entrance interviews and assessments are undertaken to satisfy ourselves and parents that potential pupils can cope with the pace of learning and benefit from the education we provide.  An individual’s economic status, gender, ethnicity, race, religion or disability do not form part of our assessment processes. 

We are an equal opportunity organisation and are committed to a working environment that is free from any form of discrimination on the grounds of colour, race, ethnicity, religion, sex, sexual orientation or disability.  We will make reasonable adjustments to meet the needs of staff or pupils who are or become disabled. 

Our School is committed to safeguarding and promoting the welfare of our pupils and expects all staff and volunteers to share this commitment. 

Parents are given regular information about their children’s social and academic progress through parent evenings in addition to the traditional end of term and year reports.  We maintain regular contact with parents throughout the year through informal contacts and through our weekly newsletter. 

## **Our Policies: Access policy** 

It is important to us that access to the education we offer is not restricted to those who can afford our fees. We believe our pupils benefit from learning within a diverse community.  A great deal of learning occurs through social interaction, conversation and shared experiences which helps our pupils develop an understanding of the perspectives of other people that will be vital in their adult lives. 

Our bursary policy contributes to a widening of access to the education we offer and the facilities we enjoy. 

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## **PRINCE’S MEAD SCHOOL TRUST (Company No. 1785733)** 

## **GOVERNORS’ REPORT (including THE STRATEGIC REPORT)** 

## **FOR THE YEAR ENDED 31 AUGUST 2021** 

## **Bursary policy** 

The Governors view our bursary awards as important in helping to ensure children from families who would otherwise not be able to afford the fees can access the education we offer.  Our bursary awards are available to those who meet our general entry requirements and are made solely on the basis of parental means or to relieve hardship where a pupil’s education and future prospects would otherwise be at risk, for example in the case of redundancy. 

In assessing means we take a number of factors into consideration including family income, investments, savings and family circumstances, for example dependant relatives and the number of siblings.  However, our School does not have a large endowment and in funding our awards we have to be mindful that we must ensure a balance between fee-paying parents, many of whom make considerable personal sacrifices to fund their child’s education, and those benefiting from the awards. 

The bursary awards ranged from 10 % to 95 % remission of fees. 

During the year the School supported 5 (2020 = 7) pupils through our own Bursary Scheme.  This support, which is available on a needs basis as determined by the Finance and General Purposes sub-committee, reduced the year’s annual fee income by £27,916 (2020 = £53,921).  To widen public access to the School yet further, we can now refer other families with financial need to external funding sources able and willing to provide help with school fees, subject to qualifying criteria, through the Educational Trusts’ Forum. 

We also have a hardship fund that supplements bursary awards to pay for co-curricular activities, equipment and school trips.  Information about fee assistance through bursaries is provided to all applying to the School. 

## **REVIEW OF ACHIEVEMENTS AND PERFORMANCE FOR THE YEAR** 

## **Operational Performance of the School** 

The COVID-19 pandemic and government lockdown at the beginning of the Lent Term required the reintroduction of well tested measures in order to maintain the School's high standard of operational performance.  Governors and staff reacted swiftly and creatively.  The School's IT capability meant that it was very well placed to reintroduce high quality remote teaching and learning.  Building on the first lockdown experience, remote teaching and learning was used very successfully to deliver the curriculum to pupils.  In support of critical workers the School offered on-site provision throughout the lockdown period.  Feedback from staff and parents regarding the effectiveness of remote learning and COVID-19 safe measures in delivering the curriculum and providing wider support was extremely positive. 

All of the School’s final year leavers went on to their recommended first-choice senior school with 3 scholarships being won by pupils across the full breadth of the curriculum. 

These achievements have been greatly helped by the high-calibre teaching and support staff employed by the School. The Governors recognise the importance of the quality of the School staff and they remain focused on providing a working environment which recognises the value placed on staff and their contribution individually and as a team, commensurate with the market in which they operate. 

The School continues to monitor developments within the education sector and the curriculum is continually reviewed and developed in order to ensure the framework and content reflects best practice and forms a firm foundation for each pupil’s next stage of education.  The Vision 100 Education Strategy was developed to be rolled out from the beginning of the 2021/22 academic year. 

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**PRINCE’S MEAD SCHOOL TRUST (Company No. 1785733)** 

## **GOVERNORS’ REPORT (including THE STRATEGIC REPORT)** 

## **FOR THE YEAR ENDED 31 AUGUST 2021** 

## **Operational Performance of the School (cont.)** 

The Governors place the highest importance on the pastoral care of pupils, and created the new role of Head of Pastoral Care, a Senior Leadership Team role, at the start of the year.  The School continues to review and adapt the framework for pastoral care to reflect the changing social environment that pupils now experience from a young age, and the School continues to invest in processes to support this including the monitoring framework. 

## **Public Benefit** 

Much of our usual public benefit activities was constrained by the pandemic and we had previously instigated a policy of prohibiting visitors from outside the immediate school community coming on site by way of minimising the risk of virus ingress.  This prevented us from supporting many of our normal activities such as the use of our facilities by local nurseries and primary schools, the use of our sports facilities by local clubs and the use of our minibuses by many local not for profit organisations.  However, we could still provide the following public benefit: 

- We are actively engaged in charity work in the community.  We collect produce for the Winchester Basics Bank, support Naomi House Hospice, Home Start, The Murray Parish Trust, Macmillan Cancer Support, the charities supported by the Cathedral at Christmas and a number of other charities.  These activities not only benefit the community but also heighten our pupils’ social awareness and understanding of those less fortunate 

- We support a primary school in Inungur, Tamil Nadu, Southern India.  We pay the annual salaries of up to five teachers and hold one major fund-raising event each year.  In addition, we raise money to supplement the diet of 20 children who have been identified as malnourished in the school 

## **FINANCIAL REVIEW AND RESULTS FOR THE YEAR** 

This year’s accounts show a surplus of £173,956 (after depreciation of £382,733) (2019/20: (£89,275) deficit after £328,870 depreciation). 

It is important that the School strives to make a reasonable level of surplus in order to finance the on-going capital expenditure needed to upgrade the School’s facilities to keep pace with what is expected of it as a premier educational establishment. 

It is the Governors’ policy to maintain liquid reserves that will permit them to maintain and develop the School’s facilities for the purpose of meeting its charitable objectives.  To that end, the Governors seek to ensure that there are sufficient liquidity reserves to afford reasonable protection to the charitable company in the context of current and anticipated commitments and exposure to external and/or internal risks. 

The School used its previous reserves (in excess of £3m) to build the new dining room and class room facilities.  As a result of this strategic investment and subsequent pandemic costs, as at 31st August 2021 the School did not meet this policy.  The School plans to rebuild its reserves in accordance with this policy as soon as possible. 

The unrestricted reserves were wholly deployed in the School's premises and equipment, with the need for day-to-day working capital being met by careful management of short-term liquid resources and banking facilities comprising a term loan and an overdraft facility.  Thus the School’s free reserves, as defined by the Charity Commission, were £Nil (2020 = £Nil). 

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**PRINCE’S MEAD SCHOOL TRUST (Company No. 1785733)** 

## **GOVERNORS’ REPORT (including THE STRATEGIC REPORT)** 

## **FOR THE YEAR ENDED 31 AUGUST 2021** 

As an educational charity, the parents of our pupils have the reassurance that all income of the School is applied for educational purposes.  The School is exempt from corporation tax on its educational activities and surpluses, although the School does pay employer’s National Insurance contributions on all staff salaries and the VAT that it pays for items purchased and services received is irrecoverable. 

## **Investment Policy and Objectives** 

The Board continues to keep under review the investment risks and rewards in the current state of the market and our policy is still to put all available retained funds, other than those required for day-to-day cash management, on deposit for security. 

## **KEY PERFORMANCE INDICATORS** 

Tuition fee income generation amounted to £3,450,440 (2019/20: £2,925,725).  Actual pupil numbers for the academic year were 234.  Tuition fee income accounted for 95% of total income (2019/20: 95%) which was £3,645,376 (2019/20: £3,095,776). 

To provide the education and support needed to achieve the key objectives of the Trust, £2,210,078 (2019/20: £2,074,957) was paid in salaries (including Employers NI and Pension Contributions).  This accounts for 64% of the fee income (2019/20: 71%) and 61% of total income (2019/20: 67%).  The Trust bases its teaching salaries on the educational pay scales within the State Sector and the state annual basic salary increase was 2.75%.  The trustees agreed a 1% increase (2019/20: 1.0%).  Support staff received 1.0% (2019/20: 1.0%).  The schools’ pupil/staff ratio was 10.0 (2019/20: 9.5). 

In a very competitive market for preparatory education in the Winchester area the Board considers the level of surplus generated a satisfactory achievement. 

## **PRINCIPAL RISKS AND UNCERTAINTIES** 

The Governors consider the economic and political turbulence of recent years, externally driven economic conditions, the ongoing impact of COVID-19 and the affordability of fees by parents across the independent sector to be the principal risks faced by the School.  The Governing Body, therefore, are committed to considering the impact of these risks on the School and its current and future pupil numbers.  The key controls to mitigate these risks during the year included: 

- Raising fee levels by the minimum amount necessary to maintain standards at the School whilst generating a modest surplus to allow for the provision of adequate facilities to meet current and future needs 

- Providing bursaries to certain families who cannot afford the fees so that their children can benefit from the School 

Health and Safety is always a significant area for risk management. The risks range from fire and infrastructure to personal risks, most notably the current COVID-19 risks, and when away from the School on trips and expeditions. The risks associated with the wide range of activities are minimised by thorough planning and risk assessment. 

Detailed consideration of risk is managed through the Risk Register. Each of the Board sub-committees, assisted by Senior Management, have responsibility for reviewing separate sections of the Register. The risk management process identifies risks, assesses their impact and likelihood and, where necessary, 

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PRINCE'S ML4D SCHOOL TRUST (Company No. 1785733)
GOVERNORS, REPORT (ineluding THE STRATEGIC REPORT)
FOR THE YEAR ENDED 31 AUGUST 2021
recommends controls to mitigate and monitor those risks that are a$￿Sed as high. The generic controls
used bythe Sebool to rninimise Tisk include:
. detailed terms of reference together with formal agen¢Jas for Board and sub-eommittee activity
• StTategie development planning, reviewed annually by the Board
. eomprehensive budgeting and management accounting
. established organisational ￿TuC￿reS and lines of Teporting
. formal written policies including clear authorisation and approval levels
• vetting and safeguarding procedures as required by law for the PTOtection of the vulnerable
. ensuring effeetive finaneial controls and cost saving measures are in p12ee
The Governors regularlyreviewthe effectiveness of current plams and strategiesfor managing all identified
tnajor risks for the School.
The Governors intend to continue their current strategy of maintainiDg the School's position in a
Competitive market by investing to eorAtinually improve the high-quality edueation for our pupils. The
Headrnaster and senior staff continue to Teiriew the curriculum to ensure that it rem2ins appropriate for
our pupils, development.
Our future plans aTe financed primarily from fee income and from our ro8erves. The Governors need to
maintain an equitable balance ensuring our current pupils benefit whilst, at the same time, ensuring a
sound infrastructure and financial base are preseTved for tkLe next seneration of pupils in the same way as
our current pupils benefit today from historie investment.
Tbe Governors view our bursary awards as importAnt in widening acc£8S to the education our School
PTovides. The Governors are continually Teviemryng our BuTsaryAwards policy to ensure that able children
can accept offers of places at our School through the availability of means-tested fee assistance.
The Board will continue to address the areas for development as identified in the Stratesie Plan.
The Board is mindful as to the nee(L8 of the School 2nd will continue to set forecasts which are both
achievable and appropriate, partieularly in the current economic climate.
AUDITOR
In accoTdanee Section 485 of the Companies Act 2006, a resolution proposing the reappointment of
Crowe U.IL ILP as auditOT to the Company will be put to the annual general meeting.
STATEME￿ AS TO DISCLOSURE OF INFORMATION TO THE AUDrroR
The Governors who were in office on the date of approval of these financial statements have confirmed, as
far as they are aware, that there is no relevant audit inforniation of which the auditor is ullaware. Eath of
the Governors have confinnedtbattheyhavetaken all the steps that they oughtto have taken as Governors
in order to make themselves aware of any relevant audit infonnation and to establish that it has been
eommunicated to the auditor.
The Governors, report is approved by the Board of Governors and the Strategie report (included therein)
is approved by the Board of Governors in their eapacity as the directors at its meeting on 8th December
2021 and signed
its behalf by:
J Renwiek- Chair

## **PRINCE’S MEAD SCHOOL TRUST STATEMENT OF GOVERNORS’ RESPONSIBILITIES** 

The Governors (who are also directors of Prince’s Mead School Trust for the purposes of company law) are responsible for preparing the Governor’s Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). 

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

In preparing the accounts the Governors are required to: 

- select suitable accounting policies and then apply them consistently; 

- observe the methods and principles in the Charities SORP; 

- make judgements and estimates that are reasonable and prudent; 

- state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the accounts; and 

- prepare the accounts on the going concern basis unless it is inappropriate to assume that the charitable Company will continue in business. 

The Governors are responsible for keeping proper accounting records which disclose, with reasonable accuracy, the financial position of the charitable Company at any time, and to enable them to ensure that the accounts comply with the Companies Act 2006.  They are also responsible for safeguarding the charitable Company’s corporate assets and those of its trust funds and ensuring their proper application in accordance with charity law, and hence for taking reasonable steps for the prevention and detection of error, fraud or other irregularities. 

10 




## **INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF PRINCE’S MEAD SCHOOL TRUST** 

## **Opinion** 

We have audited the financial statements of Prince’s Mead School Trust for the year ended 31 August 2021 which comprise the Statement of Financial Activities, 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 Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). 

In our opinion the financial statements: 

- give a true and fair view of the state of the charitable company’s affairs as at 31 August 2021 and of the group’s incoming resources and application of resources for the year then ended; 

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and 

- have been prepared in accordance with the requirements of the Companies Act 2006. 

## **Basis for opinion** 

We 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 group 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: 

- the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or 

- the trustees have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the group’s or the charitable company’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue 

## **Other information** 

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

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial 

11 




## **INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF PRINCE’S MEAD SCHOOL TRUST (continued)** 

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

We have nothing to report in this regard. 

## **Opinion on other matter prescribed by the Companies Act 2006** 

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

- the information given in the trustees’ report, which includes the directors’ report and the strategic report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and 

- the strategic report and the directors’ report included within the trustees’ report have been prepared in accordance with applicable legal requirements. 

## **Matters on which we are required to report by exception** 

In light of the knowledge and understanding of the group and the charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors’ report included within the trustees’ report. 

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

- the charity has not kept adequate accounting records; or 

- the charity financial statements are not in agreement with the accounting records and returns; or 

- certain disclosures of trustees' remuneration specified by law are not made; or 

- we have not received all the information and explanations we require for our audit. 

## **Responsibilities of Governors** 

As explained more fully in the Statement of Governors’ Responsibilities set out on page 10, the Governors (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the 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 group’s or 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. 

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## **INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF PRINCE’S MEAD SCHOOL TRUST (continued)** 

## **Auditor’s responsibilities for the audit of the financial statements** 

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

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report. 

## **Extent to which the audit was considered capable of detecting irregularities, including fraud** 

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion. 

We obtained an understanding of the legal and regulatory frameworks within which the charitable company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006, Charities Act together with the Charities SORP (FRS 102). We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items. 

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the charitable company’s ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charitable company for fraud. The laws and regulations we considered in this context for the UK operations were The Education (Independent School Standards) Regulations 2014, Health and Safety and General Data Protection Regulations. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Governors and other management and inspection of regulatory and legal correspondence, if any. 

The greatest risk of material impact on the financial statements is from irregularities, including fraud, to be within the timing of recognition of non-fee income, and the override of controls by management. Our audit procedures to respond to these risks included enquiries of management, and the Finance and General Purposes Committee about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, sample testing on non-fee income, reviewing accounting estimates for biases, reviewing regulatory correspondence with the Charity Commission, Independent Schools Inspectorate, and reading minutes of meetings of those charged with governance. 

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed noncompliance with laws and regulations (irregularities) is from the events and transactions reflected in the 

13 




## **INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF PRINCE’S MEAD SCHOOL TRUST (continued)** 

## **Extent to which the audit was considered capable of detecting irregularities, including fraud (cont)** 

financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. 

## **Use of our report** 

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


Alastair Lyon Senior Statutory Auditor 

For and on behalf of Crowe U.K. LLP Statutory Auditor Reading 49-51 Blagrave Street Reading Berkshire RG1 1PL 

Date: 10 December 2021 

14 



## **PRINCE’S MEAD SCHOOL TRUST** 

## **STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME & EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2021** 

|||||**Unrestricted**|**Funds**|
|---|---|---|---|---|---|
||||**_Notes_**|**_2021_**|_2020_|
|||||_£_|_£_|
|**Income from:**||||||
|**Charitable activities**||||||
|School Fees|||2(d) & 3|**3,450,440**|2,925,725|
|Other educational income||||**168,326**|97,845|
|**Donations**||||**7,142**|16,631|
|**Investments**||||**1**|83|
|**Government CJRS Grants**||||**18,681**|55,492|
|||||**──────**|──────|
|**TOTAL INCOME**||||**3,644,590**|3,095,776|
|||||**──────**|──────|
|**EXPENDITURE ON:**||||||
|**Charitable activities**||||||
|School operating costs||||**3,463,806**|3,163,315|
|**Raising Funds**||||||
|School financing costs||||**7,708**|20,052|
|||||**──────**|──────|
|**TOTAL EXPENDITURE**|||5 & 6|**3,471,514**|3,183,367|
|||||**──────**|──────|
|**NET**<br>**INCOME**<br>**BEFORE**<br>**/(LOSSES)**|**INVESTMENT**|**GAINS**||**173,076**|(87,591)|
|Investment (losses)/gain||||**879**|(1,684)|
|||||**──────**|──────|
|**NET INCOME AFTER INVESTMENT GAINS/NET**||||**173,955**|(89,275)|
|**MOVEMENT IN FUNDS**||||||
|Funds brought forward at 1 September||||**4,899,336**|4,988,611|
||||||──────|
|**Funds carried forward at 31**|**August**|||**5,073,291**|4,899,336|
|||||**═══════**|═══════|



The notes on pages 18 to 30 form part of these accounts. 

15 



Company No". 1785733
PRINCE'S MEAD SCHOOL TRUST
BALANCE SHEEf AT 31 AL'GUST 2021
Notes
2021 -
2020-__
FIXED ASSETS:
Tangible assets
&29&906
5,610.148
Investment assets
1,942
5.612,090
CURREKf ASSETS:
DebtOTS
Cash at bank and in band
19403)67X
242,174
1.132,956
1,085
1,645,846
1,134,041
CREDrroRS:
Amounts falling due within one year
io
(1,681,154)
(1.762,950)
NET CURRENT L￿IL￿I￿g
1628,909)
TOTAL ASSETS LESS CURR
LIABILITILS
4.983.181
CREDITORS:
Amounts falling due after more than
one year
12
(*a07)
(83,845)
NET ASSETS
&OT&2
4.899,336
THE FUNDS OF THE CHARrrY:
Designated funds
Unrestrieted fundg
22,917
5.050*375
19,292
4.880,044
5,073,291
4.899,336
The financial statements were approved and authorised for issue by the Board on 8th
Dee
ber 2021 and signed on its behalf: .
ME$
J Renwick- Cbair
The notes on pages 18 to 30 form part of these accounts.
16

Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **STATEMENT OF CASHFLOWS** 

|**_Notes_**<br>**------------**<br>_£_<br>**CASH FLOWS FROM**<br>**OPERATING ACTIVITIES**<br>Cash generated from operations<br>20<br>**479,385**<br>Interest paid<br>**(6,448)**<br>**CASH FROM OPERATING**<br>**───────**<br>**ACTIVITIES**<br>**CASH FLOWS FROM**<br>**INVESTING**<br>**ACTIVITIES**<br>Interest received<br>**1**<br>Purchase of tangible fixed assets<br>**(68,585)**<br>Proceeds from sale of fixed assets<br>**2,821**<br>**CASH (USED IN) INVESTING**<br>**───────**<br>**ACTIVITIES**<br>**CASH FLOWS FROM**<br>**FINANCING**<br>**ACTIVITIES**<br>Interest paid in respect of finance<br>leases<br>**-**<br>Repayments of obligations under<br>finance leases<br>**-**<br>Drawdown of new loan<br>**250,000**<br>Loan repayments<br>**(265,411)**<br>**───────**<br>**CASH (USED IN) FINANCING**<br>**ACTIVITIES**<br>Increase (decrease) in cash and cash<br>equivalents in the year<br>Cash and cash equivalents at the<br>beginning of the year<br>**TOTAL CASH AND CASH**<br>**EQUIVALENTS AT THE END**<br>**OF**<br>**THE YEAR**<br>**ANALYSIS OF MOVEMENT IN NET DEBT**<br>Cash at bank and in hand<br>Bank overdraft<br>10<br>Bank loan<br>Closing net debt|**_2021_ ---------**<br>------------_2020_----------<br>_£_<br>_£_<br>_£_<br>(133,961)<br>(6,096)<br>───────<br>**472,936**<br>(140,057)<br>83<br>(317,672)<br>33<br>───────<br>**(65,764)**<br>(317,556)<br>(5,160)<br>(44,722)<br>250,000<br>-<br>───────<br>**(15,411)**<br>200,118<br>**───────**<br>───────<br>**391,762**<br>(257,495)<br>107,908<br>**(149,587)**<br>**───────**<br>───────<br>**242,175**<br>(149,587)<br>**═══════**<br>═══════<br>**At 01/09/20**<br>**Cashflow**<br>**At 31/08/21**<br>**1,085**<br>**241,089**<br>**242,174**<br>**(150,672)**<br>**150,672**<br>**-**<br>**(250,000)**<br>**15,411**<br>**(234,589)**|
|---|---|
||**(399,587)**<br>**407,173**<br>**7,586**|



17 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

**1.** The School’s principal activity in the period under review was the provision of prep school education.   The incorporated charity, limited by guarantee (registered number 1785733 and charity number 288675), is incorporated and domiciled in the UK. The address of the registered office is Worthy Park House, Kings Worthy, Winchester, Hampshire SO21 1AN. 

## **2. ACCOUNTING POLICIES:** 

## **a) Basis of preparation:** 

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. 

Prince’s Mead School Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s). 

## **b) Preparation of the accounts on a going concern basis:** 

The full impact of COVID-19 on the UK, the economy and the School has become clearer.  Despite the physical closure of the School for much of the Lent Term to all except Nursery and the children of critical workers, the School has been able to serve its pupils effectively throughout the period by offering a full and comprehensive remote teaching and learning programme which was very well received by parents.  Management have reviewed and reduced costs for the period from January to March 2021 and have produced financial models showing the revised cash flows and future budgets, which have subsequently been reviewed by the Board of Governors. 

As part of their normal risk management process, the Governors have examined the major risks to the School and the mitigating actions both taken and available to be taken.  The Governors consider there are no material uncertainties relating to going concern and that the School has adequate resources to continue its activities for at least the twelve months to 31 August 2022.  Accordingly, they continue to operate the going concern basis in preparing the financial statements. 

18 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

## **c) Tangible Fixed Assets:** 

The Company policy is to capitalise items with a cost in excess of £1,000 from the date of purchase.  The following is the depreciation policy in respect of the categories of tangible assets listed in Note 6:- 

**Worthy Park House** Depreciation has been provided on a straight-line basis of 3.33% **and the Coach House:** on the original cost of the buildings, so that the buildings will be written off over a period not greater than 30 years. Improvements are written off over a 10-year period. **Sports Hall:** Depreciation has been provided on a straight-line basis of 5% on cost. **Freehold Land:** Land is not depreciated. **Motor Vehicles:** Depreciation of new vehicles has been provided on a straightline basis of 12% over the useful life of the vehicle to a residual value of £5,000.  Old second-hand vehicles are depreciated at 25% per annum on a straight-line basis. **Furniture &** Depreciation is being provided at 25% per annum on a straight- **Equipment:** line basis. **IT hardware:** Depreciation is provided at 33[1] /3% per annum on a straight-line basis. 

## **d) Fee Income:** 

This comprises fees receivable for pupils' tuition and extra charges.  Fees receivable are stated after deducting allowances and scholarships granted by the school.  Fees received for education to be provided in future years are carried forward as deferred income and released to income in the period to which the education is given. 

## **e) Non-fee Income:** 

This comprises income derived from then hire of facilities, donations and interest received. Hire income is recognised upon provision of hire to the user.  Donations are recognised on a receivable basis when the amount can be reliably measured.  Interest received is recognised on a time-apportioned basis. 

## **f) Coronavirus Job Retention Scheme Grant Income:** 

Grants are accounted for under the performance model as permitted by the Charity SORP.   CJRS grant income is therefore recognised on a straight line basis over the furlough period for each relevant employee. 

19 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

## **g) Expenditure:** 

Expenditure is included on an accruals basis and is summarised under functional headings on a direct cost basis. 

Charitable activities comprise the School operating costs; educational aids, catering, salary, premises, administration and motor costs. 

Governance costs comprise the costs of running the charity, including strategic planning for its future development, also audit, legal advice and all the costs of complying with statutory requirements. 

Cost of raising funds comprises banking and interest charges. 

## **h) Pension Schemes:** 

The School operates a defined contribution group personal pension scheme for all staff with Royal London. For auto enrolment purposes the School uses the Royal London pension scheme. 

## **i) Operating Leases:** 

Rentals payable under operating leases are charged in the Statement of Financial Activities on a straight-line basis over the lease term. 

## **j) Investments and investment income:** 

Investments are valued in the balance sheet at their mid-market value at the balance sheet date.  Any gain or loss on revaluation is taken to the SOFA.  Investment income is accounted for in the period in which the charity is entitled to receipt. 

## **k) Fund Accounting:** 

Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose.  Restricted funds are donations which the donor has specified are to be solely used for particular areas of the Trust’s work or for specific projects being undertaken by the Trust.  In 2019/20 £19,292 of funds have been designated for the maintenance of the tennis courts and pavilion. There were no Restricted funds in the year. 

## **l) Debtors** 

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

20 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

## **m) Cash at bank and in hand** 

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

## **n) Creditors and provisions** 

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. 

## **o) Legal status of the Trust** 

The charity is a company limited by guarantee and has no share capital.  In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. 

## **p) Financial instruments** 

The trust only has financial assets and financial liabilities of a kind that qualify as basic financial instruments.  Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. 

## **q) Acceptance deposits** 

Acceptance deposits are paid to the school to secure a place for the child at the school. Deposits held form part of the general funds of the School until the child leaves the school at which point they are credited without interest to the final payment of the fees or other sums due to the School. 

The Governors have reviewed the contract terms under which Pupil fee deposits are held by the School. Although under normal circumstances these will be repaid over future years when the pupils complete their education at the school, pupils can leave at earlier dates. The School does not therefore have an unconditional right to retain the individual deposits for at least 12 months after the balance sheet date and, in line with the requirements in FRS 102, the balance of the deposits held at 31 August 2021 have been included within current liabilities. The prior year Pupil fee deposits balance has been similarly represented. 

## **3.** 

|**FEE INCOME:**|**_2021_**|_2020_|
|---|---|---|
||**_£_**|_£_|
|Gross tuition fees receivable|**3,668,219**|3,044,475|
|Less: Bursaries, scholarships and discounts|**(217,779)**|(118,750)|
||**──────**|──────|
||**3,450,440**|2,925,725|
||**══════**|══════|



21 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

## **4. STAFF COSTS:** 

The average number of people, full and part-time, (excluding the governors) employed during the year was 64 (2020: 68).  The full time equivalent of these people was as follows: 

||**_2021_**|_2020_|
|---|---|---|
|Teaching staff|**34**|32|
|Administration|**6**|5|
|Domestic|**6**|5|
|Transport|**5**|4|
||**▬▬▬▬**|▬▬▬▬|
|Total|**51**|46|
||**════**|════|
|The cost of the above comprised:|**_2021_**|_2020_|
||**_£_**|_£_|
|Salaries and wages|**1,680,206**|1,572,291|
|Social security costs|**152,109**|140,275|
|Other pension costs|**352,576**|335,414|
|Other|**25,187**|26,977|
||**──────**|──────|
|Total|**2,210,078**|2,074,957|
||**══════**|══════|
||**_2021_**|_2020_|
|Aggregate employment benefits paid to key management personnel|**217,357**|219,275|
|(including employer’s NI):|||
|Number of employees whose emoluments exceed £60,000:|**_2021_**|_2020_|
|£60,001 - £70,000|**1**|1|
|£70,001 - £80,000|**1**|-|
|£80,001 - £90,000|**-**|1|
|£90,000 - £100,000|**-**|-|
||**══**|══|



22 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

## **5. ANALYSIS OF EXPENDITURE** 

|**ANALYSIS OF EXPENDITURE**|||||
|---|---|---|---|---|
|||||**_2021_**|
||**_Staff Costs_**|**_Other_**|**_Depreciation_**|**_Total_**|
||||**_and loss on_**||
||||**_disposal_**||
||**_£_**|**_£_**|**_£_**|**_£_**|
|**Charitable Expenditure:**|||||
|**School operating costs**|||||
|Teaching costs|**1,651,101**|**216,576**|**43,472**|**1,911,099**|
|Premises|**136,381**|**220,798**|**321,604**|**678,773**|
|Transport|**96,713**|**46,399**|**17,752**|**160,864**|
|Catering|**-**|**228,765**|**-**|**228,765**|
|Support costs and governance|**325,934**|**158,361**|**-**|**484,295**|
||**──────**|**─────**|**──────**|**──────**|
||**2,210,078**|**870,900**|**382,827**|**3,463,806**|
|**Finance Costs**|||||
|Bank interest and charges|**-**|**7,708**|**-**|**7,708**|
|Finance lease interest|**-**|**-**|**-**|**-**|
||**──────**|**─────**|**──────**|**──────**|
||**2,210,078**|**878,608**|**382,827**|**3,471,514**|
||**══════**|**═════**|**══════**|**══════**|
|**Support costs and governance**|School|<br>Governance||**_2021_**|
||Operations||||
|||||**_£_**|
|Support staff costs|325,934||-|325,934|
|Other support costs|80,599||-|80,599|
|Legal & professional costs|36,978||-|36,978|
|Technology costs|16,805||-|16,805|
|Auditors’ remuneration|||||
|Audit fee|14,400||-|14,400|
|Governors expenses (strategic planning and training)|||4,042|4,042|
|Support staff training and expenses||1,569|-|1,569|
|Independent Schools Inspection||-|3,969|3,969|
||─────||─────|─────|
||476,284||8,011|484,295|
||═════||══════|══════|



23 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

## **5. COMPARATIVE ANALYSIS OF EXPENDITURE** 

|||||**_2020_**|
|---|---|---|---|---|
||**_Staff_**|**_Other_**|**_Depreciation_**|**_Total_**|
||**_Costs_**||**_and loss on_**||
||||**_disposal_**||
||_£_|_£_|_£_|_£_|
|**Charitable Expenditure:**|||||
|**School operating costs**|||||
|Teaching costs|1,583,853|181,808|<br>55,458|1,821,119|
|Premises|103,748|171,330|<br>257,542|532,620|
|Transport|84,875|47,688|<br>16,588|149,151|
|Catering|-|193,422|<br>-|193,422|
|Support costs and governance|302,481|164,522|<br>-|467,003|
||──────|─────|──────|──────|
||2,074,957|758,770|<br>329,588|3,163,315|
|**Finance Costs**|||||
|Bank interest and charges|-|14,892|<br>-|14,892|
|Finance lease interest|-|5,160|<br>-|5,160|
||──────|─────|──────|──────|
||2,074,957|778,822|329,588|3,183,367|
||══════|═════|══════|══════|
|**Support costs and governance**|School||Governance|**_2020_**|
||Operations||||
|||||_£_|
|Support staff costs||302,481|-|302,481|
|Other support costs||82,318|-|82,318|
|Legal & professional costs||43,693|-|43,693|
|Technology costs||16,566|-|16,566|
|Auditors’ remuneration|||||
|Audit fee||-|13,500|13,500|
|Other services||2,110||2,110|
|Governors expenses (strategic planning and training)||-|1,866|1,866|
|Staff training and expenses||790|-|790|
|Independent Schools Inspection||-|3,679|3,679|
|||─────|─────|─────|
|||447,958|19,045|467,003|
|||═════|══════|══════|



24 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

|**6.**|**NET INCOME/(EXPENDITURE) FOR THE YEAR**|**_2021_**|**_2020_**|
|---|---|---|---|
||This is stated after charging:|_£_|_£_|
||Operating lease charges|**17,451**|20,032|
||Depreciation of owned tangible fixed assets|**382,733**|311,208|
||Depreciation of assets on finance lease|**-**|17,752|
||Auditors remuneration|||
||- statutory audit|**14,400**|11,250|
||- non audit services|**-**|2,110|



|**7.**|**TANGIBLE**|**ASSETS:**|**_Freehold_**|**_Assets Under_**|**_Vehicles_**|**_Furniture_**||
|---|---|---|---|---|---|---|---|
||||**_Land and_**|**_Course of_**||**_and_**||
||||**_Buildings_**|**_Construction_**||**_Equipment_**|**_Total_**|
||||_£_|_£_|_£_|_£_|_£_|
||**Cost:**|As at 1.9.20|8,042,515|-|200,377|428,520|8,671,412|
|||Additions|**9,113**|**55,407**|**-**|**4,065**|**68,585**|
|||Disposals|**(18,511)**|**-**|**-**|**(19,260)**|**(37,771)**|
||||**──────**|**──────**|**──────**|**──────**|**──────**|
|||As at 31.8.21|**8,033,117**|**55,407**|**200,377**|**413,325**|**8,702,226**|
||||──────|──────|──────|──────|──────|
||**Depreciation:**As at 1.9.20||2,653,529|-|117,123|290,612|3,061,264|
|||Disposals|**(18,511)**|**-**|**-**|**(19,167)**|**(37,678)**|
|||Charge for year|**303,605**|**-**|**17,752**|**61,376**|**382,733**|
||||**──────**|**──────**|**──────**|**──────**|**──────**|
|||As at 31.8.21|**2,938,624**|**-**|**134,874**|**332,822**|**3,406,319**|
||||**──────**|**──────**|**──────**|**──────**|**──────**|
||**Net Book Value:**At 31.8.21||**5,094,493**|**55,407**|**65,503**|**80,504**|**5,295,906**|
||||**══════**|**══════**|**══════**|**══════**|**══════**|
|||At 1.9.20|5,388,986|-|83,254|137,908|5,610,148|
||||══════|═════|═════|══════|══════|



**Note :** The Company's policy in respect of depreciation is described under Note 2(c). Motor vehicles were previously held under finance leases. These were fully repaid in 2020. 

25 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

|**8.**|**INVESTMENT ASSETS:**|**_Listed_**|**_Other_**|**_Total_**|
|---|---|---|---|---|
|||**_Investments_**|**_Investments_**||
|||_£_|_£_|_£_|
||Balance b/fwd at 1 September 2020|1,942|-|1,942|
||Change in market value in year|**879**|**-**|**879**|
||Disposals|**(2,821)**|**-**|**(2,821)**|
|||**──────**|**──────**|**──────**|
||As at 31 August 2021|**-**|**-**|**-**|
|||**══════**|**══════**|**══════**|
||All investments are held within the UK||||
|**9.**|**DEBTORS:**||**_2021_**|**_2020_**|
||||_£_|_£_|
||Fee debtors||**1,200,330**|979,135|
||Other debtors and prepayments||**203,341**|153,821|
||||**──────**|──────|
||||**1,403,671**|1,132,956|
||||**══════**|══════|
|**10.**|**CREDITORS: Amounts falling due within**|**one year:**|**_2021_**|**_2020_**|
||||_£_|_£_|
||Bank overdraft||**-**|150,672|
||Trade creditors||**130,327**|91,195|
||Other creditors and accruals||**74,971**|95,093|
||Other tax and social security||**40,084**|42,797|
||Final term deposits||**124,050**|105,250|
||Fees received in advance and deferred income||**1,264,440**|1,076,963|
||Pension creditor||**-**|34,825|
||Bank loan due < 12 months (see Note 22)||**47,282**|166,155|
||||**──────**|──────|
||||**1,681,155**|1,762,950|
||||**══════**|══════|



26 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

|**11.**|**DEFERRED INCOME:**|**DEFERRED INCOME:**|||||**_2021_**|**_2020_**|
|---|---|---|---|---|---|---|---|---|
||||||||_£_|_£_|
||Deferred income comprises Michaelmas 21 tuition fees billed in||||||||
||advance of the start of term on||8thSeptember 2021||||||
||Balance as at|1 September|||||**1,076,963**|1,003,237|
||Amount released to income earned from operating activities|||||**(1,076,963)**||(1,003,237)|
||Amount deferred in year||||||**1,264,440**|1,076,963|
||||||||**──────**|──────|
||Balance as at|31 August|||||**1,264,440**|1,076,963|
||||||||**══════**|══════|
|**12.**|**CREDITORS: Amounts falling due after more**||||**than one**||**_2021_**|**_2020_**|
||**year:**||||||||
||||||||_£_|_£_|
||Bank loan||||||**187,307**|83,845|
||||||||**──────**|──────|
||||||||**187,307**|83,845|
||||||||**══════**|══════|
|**13.**|**UNRESTRICTED FUNDS:**||||||||
|||1.9.20|Incoming|Resources||Transfers|<br>Gains|<br>31.8.21|
||||resources|expended|||&Losses||
|||**_£_**|**_£_**|**_£_**||**_£_**||**_£_**|
||General|**4,880,044**|**3,644,591**|**(3,471,514)**||**(3,625)**|**879**|**5,050,375**|
||funds||||||||
||Designated|**19,292**|**-**||**-**|**3,635**|**-**|**22,917**|
||funds||||||||
|||**──────**|**──────**|**──────**||**──────**|**──────**|**──────**|
|||**4,899,336**|**3,644,591**|**(3,471,514)**||**-**|**879**|**5,073,292**|



## **13. UNRESTRICTED FUNDS:** 

In 2020/21 £22,917 of funds have been designated for the maintenance of the tennis courts and pavilion.  There were no Restricted funds in the year. 

27 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

|**14.**|**FINANCIAL INSTRUMENTS**|**_2021_**|**_2020_**|
|---|---|---|---|
|||_£_|_£_|
||**Carrying amount of financial assets**|||
||Measured at amortised cost|**1,471,213**|1,011,354|
||Measured at fair value|**-**|1,942|
|||**══════**|══════|
||**Carrying amount of financial liabilities**|||
||Measured at amortised cost|**369,431**|643,191|
|||**══════**|══════|
||The School’s income, expense, gains and losses in respect of financial|instruments are||
||summarised below:|||
|||**_2021_**|**_2020_**|
|||_£_|_£_|
||**Interest income and expense**|||
||Total interest income for financial assets held at amortised cost|**1**|83|
||Total interest expense for financial liabilities held at amortised cost|**6,448**|11,256|
|||**══════**|══════|



Included within financial assets measured at amortised cost are cash at bank, trade debtors and other debtors. 

Included within financial assets measured at fair value are Investments. 

Included within financial liabilities measured at amortised cost are trade creditors, accruals, other creditors, deposits held and bank loans and overdrafts. 

## **15. PROVISIONS FOR LIABILITIES** 

|**_2021_**|**_2020_**|
|---|---|
|_£_|_£_|



|**PROVISIONS FOR LIABILITIES**<br>**_2021_**<br>**_2020_**<br> _£_<br>_£_|**PROVISIONS FOR LIABILITIES**<br>**_2021_**<br>**_2020_**<br> _£_<br>_£_|**PROVISIONS FOR LIABILITIES**<br>**_2021_**<br>**_2020_**<br> _£_<br>_£_|
|---|---|---|
|The School has established a sinking fund, based upon Lawn Tennis Association advice, to provide|||
|for maintenance and upkeep of the new tennis/netball courts and pavilion. In 2020 the provision|||
|was released. In 2021 £22,917 of unrestricted funds|have been designated for the maintenance of||
|the tennis courts and pavilion.|||
|Opening provision as at 1 September|**-**|15,667|
|Provision made in the period|**-**|(15,667)|
||**──────**|──────|
|Closing provision as at 31 August|**-**|-|
||**══════**|══════|



28 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

## **16. PENSION COSTS:** 

The Company contributes on a defined contribution basis to personal pension plans. Contributions totalling £352,576 _(2020: £267,336)_ were payable to these funds for the year. 

There were £Nil unpaid contributions _(2020: £34,825)_ at the year end. 

The amount payable to the Teacher’ Pension Scheme in the year ended 31 August 2021 was £Nil. The school left the TPS on 31 December 2019.  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%. 

## **17. COMMITMENTS UNDER OPERATING LEASES:** 

||||
|---|---|---|
|**COMMITMENTS UNDER OPERATING LEASES:**|**_2021_**|**_2020_**|
||_£_|_£_|
|At 31 August the School had outstanding commitments for|||
|future minimum lease payments which fall due as follows:|||
|Due within one year|**17,450**|20,032|
|Due between two and five years|**27,917**|36,061|
||**──────**|**──────**|
|Total|**45,367**|56,093|
||══════|══════|



## **18. CORPORATION TAX** 

The charity is exempt from tax on income and gains falling within Section 505 of the Taxes Act 1988 or Section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. 

## **19. TRANSACTIONS WITH RELATED PARTIES:** 

The Governors received no remuneration or other benefits for the year but were entitled to reimbursement of travel and other expenses during the year.  Expenses were reimbursed to one governor amounting to £389 (2020: £107).  The nature of this 2021 expense was leaving gifts for retiring governors (2020: travel costs). 

Remuneration of key management personnel is detailed in Note 4. 

There were no other related party transactions. 

29 



Company No:  1785733 

## **PRINCE’S MEAD SCHOOL TRUST** 

## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** 

## **20.    RECONCILIATION OF MOVEMENT IN FUNDS TO NET CASH USED IN OPERATING ACTIVITIES** 

|**OPERATING ACTIVITIES**|||
|---|---|---|
||**_2021_**|**_2020_**|
||**_£_**|_£_|
|Net movement in funds|**173,956**|(89,275)|
|Adjustments for:|||
|Depreciation of tangible fixed assets|**382,733**|328,870|
|Investment (gains) losses|**(879)**|1,683|
|Decrease in provisions|**-**|(15,667)|
|Loss on disposal of tangible fixed assets|**94**|719|
|Interest receivable|**(1)**|(83)|
|Interest payable|**6,448**|11,256|
||**──────**|──────|
|Operating cash flows before movement in working capital|**562,351**|237,503|
|Increase in trade and other debtors|**(270,715)**|(43,877)|
|Decrease in trade and other creditors|**187,749**|(327,587)|
|Increase/(Decrease) in creditors due after one year|**-**|-|
||**──────**|──────|
|**Cash generated from operations**|**479,385**|(133,961)|
||**══════**|══════|



## **21. CAPITAL COMMITMENTS** 

At the year end the School was contractually committed to costs of £46,112 (2020: nil). 

## **22. BANK FACILITIES** 

The School replaced its previous loan with a new loan in April 2021 with HSBC. This is secured by a legal charge over Worthy Park House and the land on the north, west and south sides of Worthy Park House. Interest is payable at 3.2% over the base rate per annum.  Capital repayments began in April 2021 with the loan being fully repaid over the following 60 months. 

The school has a £200,000 overdraft facility with HSBC. This is repayable on demand. At 31 August 2021 the amount drawn was £nil (2020: £150,672). 

30