**Registered number: 01925994 Charity number: 292537** # **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** **(A company limited by guarantee)** **GOVERNORS' REPORT AND FINANCIAL STATEMENTS** **FOR THE YEAR ENDED 31 AUGUST 2020** ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **CONTENTS** ||Page| |---|---| |**Reference and administrative details of the Charity, its Governors and advisers**|1| |**Governors' report**|2 - 8| |**Independent auditor's report on the financial statements**|9 - 11| |**Statement of financial activities**|12| |**Balance sheet**|13| |**Statement of cash flows**|14| |**Notes to the financial statements**|15 - 31| ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS GOVERNORS AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2020** |**Governors**|V Corfield| |---|---| ||M Godden (resigned 31 May 2020)| ||S L Hampstead| ||S S James| ||A M Newland, Chairman| ||M J O'Donnell| ||D Robinson| ||K B Berrill| ||L J Wood| ||E Grant (appointed 3 December 2019)| |**Website**
www.westbrookhay.co.uk
**Company registered**
**number**
01925994
**Charity registered**
**number**
292537
**Registered office**
Westbrook Hay Preparatory School
London Road
Bourne End
Hemel Hempstead
HP1 2RF
**Company secretary**
K Freeman
**Chief executive officer**
M Brain
**Independent auditor**
Hillier Hopkins LLP
Chartered Accountants
Radius House
51 Clarendon Road
Watford
Hertfordshire
WD17 1HP
**Bankers**
Allied Irish Bank (GB)
West London BC, Ealing Cross
Uxbridge
London
W5 5TH
**Solicitors**
Machins Solicitors LLP
Victoria Street
Luton
LU1 2BS|| Page 1 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** **(A company limited by guarantee)** ## **GOVERNORS' REPORT FOR THE YEAR ENDED 31 AUGUST 2020** The Governors present their annual report together with the audited financial statements of the Charity for the year 1 September 2019 to 31 August 2020. The annual report serves the purposes of both a Governors' report and a directors' report under company law. The Governors confirm that the annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019). ## **Structure, governance and management** ## **a. Constitution** The Charity is a charitable company limited by guarantee and an exempt charity. The charitable company's Articles of Association is the primary governing document of the Charity. The Governors of Westbrook Hay Educational Trust Limited are also the directors of the charitable company for the purposes of company law. The charitable company is known as Westbrook Hay Prep School. Details of the Governors who served during the year, and to the date these accounts are approved are included in the Reference and administrative details on page 1. ## **b. Members' liability** Each member of the charitable company undertakes to contribute to the assets of the charitable company in the event of it being wound up while they are a member, or within one year after they cease to be a member, such amount as may be required, not exceeding £1, for the debts and liabilities contracted before they ceased to be a member. ## **c. Method of recruitment and appointment or election of Governors** The management of the Charity is the responsibility of the Governors who are elected and co-opted under the terms of the Articles of Association. The Governors, who are also required under the Articles to serve as Directors of the Company and members of the Trust, are elected at a full Governors’ Meeting on the basis of professional or business experience, specialist skills and personal competence. At each Annual General Meeting, one fifth of the Governors, or the number nearest to this, retire from office by rotation, and are eligible for re election. Mr O’Donnell and Mrs Corfield will retire by rotation at the next Annual General Meeting. Both have indicated that they will offer themselves for re-election. ## **d. Policies adopted for the induction and training of Governors** New Governors are inducted into the workings of the Trust as a school and also as a registered charity, including its Board Policy and Procedures. Page 2 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** **GOVERNORS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020** ## **Structure, governance and management (continued)** ## **e. Organisational structure** The Governors meet as a Board at least once a term to determine the general policy of the Company and review its overall management and control, for which they are legally responsible. The Finance Committee is chaired by Mrs Robinson. The Committee meets at least once a term, prior to the full Governors’ Meeting, specifically to review the budgets, termly finance reports, annual report and accounts and long term forecasts. The Education Committee, chaired by Mrs Wood during this accounting period, considers matters relating to education. Specific Governors have designated responsibility for oversight of Early Years, Child Protection and Health and Safety. Day to day management of the School is delegated to the Headmaster and Bursar, supported by other members of the Senior Leadership Team. ## **f. Arrangements for setting pay and remuneration of key management personnel** Pay and remuneration for key management personnel are decided by the Finance Committee and approved by the full Board of Governors. ## **g. Related parties and other connected charities and organisations** Westbrook Hay is an active member of the Independent Association of Prep Schools (IAPS) for the promotion and maintenance of preparatory school standards generally and also takes part in peer group studies for the evaluation of quality and performance improvement methods. Teaching members of the Senior Leadership Team regularly both run and attend discussion forums with their peers from other preparatory schools in the area in order to enhance the quality and scope of the lessons given within the School. Westbrook Hay is a member of AMDIS (Association of Marketing Development for Independent Schools), through which the School is able to benefit from best practice in the marketing and admissions of Independent Schools. Westbrook Hay also benefits from the fund raising activities of parents and staff of the School through the Westbrook Hay Association, whose hard work and support is greatly appreciated. ## **h. Covid-19** The Governors have worked closely with the Senior Management of the School over the management of risks associated with the COVID-19 pandemic. The School developed a comprehensive COVID-19 risk assessment and policy which is reviewed and updated regularly in line with changing Government guidance. The risk assessment addresses the increased risk to the health and safety of staff, pupils, parents and visitors to the school. The school managed the transition from on site to remote learning well and implemented a successful remote learning programme in March 2020. The remote learning programme remained in use for parts of the school until it fully reopened in September 2020. The school is now prepared to switch between on site and remote learning with little disruption to the children’s education. The enforced closure of the school in March 2020 led to reduced fees being charged to parents for the Summer Term. In addition the school offered a number of parents additional financial assistance due the them experiencing financial difficulties as a result of the pandemic. The school was able to identify a number of cost savings, including taking advantage of the Coronavirus Job Retention Scheme, which helped in mitigating the impact of the reduced fee income. Page 3 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** **GOVERNORS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020** ## **Objectives and activities** ## **a. Objects and aims** The Objective of the Company, in accordance with its Memorandum of Association, is the education of children up to age 13. In the furtherance of the Objective the Directors, as the charity trustees, have complied with the duty in s.4 of the Charities Act 2011 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. The Board’s strategic aim is to reach its annual objective for the public benefit as a charitable Independent School in the attainment of the highest academic levels consistent with our wider access admissions policy for helping pupils from lower income or otherwise disadvantaged families to benefit from our fee based schooling, whilst allowing all pupils to benefit from our extra curricular programme. This is intended to draw out their abilities and academic potential, awaken and develop wider interests in life for eventual participation in society and motivate them for a successful outcome at their chosen senior school. ## **b. Objectives, strategies and activities** The Board’s main objective is to provide an excellent education so that pupils will be fully able to benefit from their chosen senior school for the completion of their education in due course. Our strategy for achieving this is to maintain a high teacher to pupil ratio, tailoring our services as appropriate in each case to suit individual needs, to build up our own bursary funds as well as our referrals network of external funding sources for those in need of help with our school fees and to make use of internet facilities, safeguarding as necessary, where appropriate. ## **c. Public benefit** In setting our objectives and planning our activities, the Governors have carefully considered the Charity Commission's general guidance on public benefit. Westbrook Hay has built good relationships with several local child care nurseries. The benefit of this is sharing best practice in the area of child care provision and early years’ education. It also increases the awareness of Westbrook Hay amongst parents looking for schools for their children. The school holds events inviting children from local nurseries – in September 2019 the school hosted a Teddy Bears’ Picnic which was well attended by nursery age children. The Westbrook Hay Association traditionally hosts a series of events throughout the year for the parents and families of children at the school. Easter Egg Hunt, Family Fun Days and the Christmas Fayre can be enjoyed by a much wider audience, local neighbours and prospective families are also invited to attend. Such events were limited in the year due to the restrictions imposed as a result of the COVID-19 pandemic. The School’s links with the neighbouring land owner, The Box Moor Trust, have enabled pupils to regularly visit their farm land and laboratories, and gain experience and an understanding of how to care for the environment. The Former Pupils Association continues to thrive and our former pupils are regularly in contact with the school through email, the School’s website and social media. We also host an annual reunion which is well attended. The choir took part in the Young Voices concert at the O2 Arena with many other schools from around the country. Our musicians competed at the local Watford Festival over several weekends in the spring. We work with as many local charities as we can, despite the school’s isolated location, in our ongoing Page 4 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** **(A company limited by guarantee)** ## **GOVERNORS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020** ## **Strategic report (continued)** ## **Objectives and activities (continued)** endeavours to widen public access to Westbrook Hay School. We are keen to optimise the educational use of our cultural and sporting facilities and to raise an awareness of the wider social context of the education the pupils receive at the School. There is one major project a year to which the proceeds of several events are donated as well as numerous other opportunities to assist with local and national charities. Throughout the year, the School supported: DENS Ltd received £1,325 from several events at the school. The Royal British Legion Poppy Appeal: sale of poppies totalling £315. ## **d. Activities for achieving objectives** Westbrook Hay’s principal activity continues to be the provision of education for rising 3 to 13 year old pupils to enable them to progress to the senior school of their choice. The site comprises a 26 acre parkland setting overlooking the Bourne Valley. It benefits from easy access to the major road network which enables the School to have a catchment area between Leighton Buzzard and N & W London and Aylesbury to Potters Bar. ## **e. Extra curricular activities** The School continues to offer an exceptionally wide range of extra curricular activities. Pupils from Year 2 upwards have Games and/or PE timetabled on four days a week, with every child having the opportunity to play for the school at least once a term. Other activities include aikido, computing, design and technology, drama, golf, orienteering, shooting, and skiing. ## **f. Bursaries and Scholarships** During the year 35 pupils benefited from Scholarships (Art/Sports/Academic) and Bursaries. Bursaries are independently assessed by a third party who provide scrutiny and recommendations. These awards amounted to a total of £177,585 (4.3% of net fees) and have been deducted from annual fee income. ## **g. Volunteers** The staff and parents, through the Westbrook Hay Association, continue to give generously of their time and energies in voluntary work on the school’s behalf. The Association runs a number of events throughout the year, both for existing and prospective parents and for others within the local community. The combined effort produces additional support for the school in a variety of projects and donations and is greatly appreciated by the School and the Board of Governors. ## **Strategic report** ## **Achievements and performance** The Independent Schools Inspectorate carried out a Regulatory Compliance Inspection in March 2018. The full report can be found at www.ISI.net. The School’s successful track record continues, with outstanding results in Senior School Entrance Examinations, allied to a very strong performance from the girls who leave at 11. The School continues to enjoy success in the 11+ tests to Bucks Grammar Schools, although it was encouraging to see how many chose the Page 5 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** **(A company limited by guarantee)** ## **GOVERNORS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020** ## **Strategic report (continued)** ## **Achievements and performance (continued)** option to remain at the School until 13. ## **a. Key performance indicators** The success of the school is measured through annual reviews of performance by the Board of Governors; by the results of our annual parental survey, through pupil achievement and through the percentage of pupils achieving places at their chosen senior schools. ## **b. Going concern** After making appropriate enquiries, the Board of Governors has a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies. ## **Financial review** ## **a. Reserves policy** The Governors have a long standing policy to use revenue surpluses to improve the facilities and the overall educational service provided. All the school assets are sufficient to meet its obligations. Total funds now stand at £5.799m. £112,500 of this balance has been designated as The Road Repairs Fund, which has been set up to provide for the future resurfacing and other repairs of the School drive. £53,455 has been restricted for use on projects over the next ten years as advised by the donor of this amount. The school provides regular budgets, management accounts and forecasts to ensure that it has sufficient reserves and school fee income to continue to operate. ## **b. Investment policy** In accordance with the School’s cash management policy, cash balances are reviewed on a weekly basis by the Bursar and all cash that is surplus to immediate day to day requirements is deposited in interest bearing, on demand deposits with established banks or used to offset the building loan interest charges. ## **c. Teachers Pension Scheme** 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 £264,754 (2019: £219,513) and at the year end £34,422 (2019: £26,610) was accrued in respect of contributions to this scheme. The TPS is an unfunded multi employer defined benefits pension scheme governed by the Teachers' Pension Scheme Regulations 2014. 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 following scheme valuations undertaken by the Government Actuary's Department. The latest actuarial valuation of the TPS was prepared as at 31 March 2016 and the valuation report, which was published in March 2019, confirmed an employer contribution rate for the TPS of 23.6% from 1 September 2019. Employers are also required to pay a scheme administration levy of 0.08% giving a total Page 6 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **GOVERNORS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020** employer contribution rate of 23.68%. This employer rate will be payable until the outcome of the next actuarial valuation, which is due to be prepared in 2023, with any resulting changes to the employer rate expected to take effect from 1 April 2023. This valuation will also determine the opening balance of the cost cap fund and provide an analysis of the cost cap as required by the Public Service Pensions Act 2013. ## **d. Results for the year** The Trust’s net incoming resources for the year of £206,405 are disclosed on the Statement of Financial Activities (2019: £429,601). This represents a return on total incoming resources of 5% (2019: 10%). ## **e. Capital expenditure** The school’s capital expenditure of £142,339 is summarised in Note 11 to the accounts. This includes the cost of motor vehicles (£46,858), replacement of and additions to computer equipment (£45,888) under a rolling programme, and further furniture and fittings (£49,593). ## **f. Freehold Properties** In the opinion of the Governors the value of the freehold land and permanent buildings is not less than the book value and no useful purpose would be served by undertaking a revaluation. ## **Investment Policy** In accordance with the School’s cash management policy, cash balances are reviewed on a weekly basis by the Bursar and all cash that is surplus to immediate day to day requirements is deposited in interest bearing, on demand deposits with established banks or used to offset the building loan interest charges. ## **Plans for future periods** The Governors are committed to an ongoing programme of refurbishment and further improvement of facilities at the school. ## **Members' liability** Each Member of the company guarantees to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. Page 7 WESTBROOK HAY EDUCATIONAL TRUST LIMITED IA ccmpany Ilmlttsd by guarantsel GOVER￿￿Rs. REPORT {eONTINUEDI VOR THE YEAR ENDED 31 AUGUST 2020 Stat•m•nt of Gov•rnors' r•sponslbilities Th• GowA￿)rn {wkn are d80 the di￿￿1018 of tlx for th• PUrF￿ cl ￿panY knvl are re8Fx)n8ibie for preparing th8 Gov8mors' re￿rt indL*Jing the Strateg￿ rewrt and thè financral statemen15 tn acc￿dance with applicabl? Lqw and Unl￿1 Accounting Statmlths (United lfjrvddom Generalty Ao*ed AGGoundng Pract¥%}. Comp8ny W requlm GDvFw•Jfs to fmanci4 for financlal yoar. Undw ¢ompany 14w, th• Gov4mors must Trjt approv8 th8 financial statomonls unkns thoy ara saliafi￿ that they givg a true and faIr￿eW afthe state ot affalr8 of tho Cl* and of (ts Incomlng resou￿e8 and appll¢aiion of resources. Including its In¢orn• 4nd w¢ndituro, for that period. In prwgring th08e financ￿ etalement8, the Govomors 8re required lo.. seloct SUItab￿ eeewnlNyJ and then apply tkn (xinsistenty, obgerv• th• m•thod$ at)d prinrypth ofth• CharitioB SORP IFRS 102); make ludgmonts and acwjnting estimates that are rea80n8b￿ and prudent.. Jlat• vthether appluble UK Accounting 81andards IFRS 1021 bBen ft4bwMJ. subJ￿i ID any matgdot dl$d080d and oxplalnod In thg Iln8nclal statamènt8.' prepare the fit)anciql statements ¢)n the Conc￿ basi¥ unl￿3 il inyrcpriate to pre8umo that thè Charity will (y)ntinue in bu¥ines5. Thè lknmors arè rèAponslbkn for keeplry accoun￿n9 r•cordg that ar• ouffld•nl tts •how &nd •yplaln th• Charily'$ transKtions and disclos8 with T8aSonab￿ ￿YT4¢y at 4ny time tho ftnanclgl posmlon of th¢ Charfty and •nabl• Ihem to •nBuro that tho financial stat•mnts ec#rpty 7Mih th• CNnpani08 Act 2006. Th•y 8r8 01•0 rgspcn81ble for safsguardlng the aB89ts of the Chathy and hence for taklng rea￿nabl? steps for the provi+ntton 018clo8ur• of Infommuon to audiior Egch oflhe ￿rIonS who aro Govemorn ￿ thg tkno.when Gu￿rr￿. rW18 8pprovod ojntlrngd that.. 80 far a8 tr￿ Governor 18 8#arq there ig no audit infornalion of the tharitls audbr I unawarn, •nd that GovBmor ho8 takon all thg Sty that ought lo have been taken aB a GtrMior In ordgrto bg aware ol any re*vant aud¢t informatson an¢J to 9I8bli$h that the ¢harty8 audrtor 58 ￿re of that informatlon. Audltor The audnor. Hllllor Hopklns LLP. ha¥ indicalod hig wTh1ngr￿S to conlinue in rffte. The deaign8tgd Govemorn 11 propoge a motion reBppointy"ng the audrtor at • meob.ng of the Govemorn. The Govemor8' reF(Jrt. IncO￿l￿1n9 • str*wic was appro*1 by ofthe Board of kngmor8. as the mP￿ydIreth, on 2ry) and 8igned on its behalfty. Inson Dale. 22 l3k Pagè B ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED (A company limited by guarantee)** ## **INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **Opinion** We have audited the financial statements of Westbrook Hay Educational Trust Limited (the 'charity') for the year ended 31 August 2020 which comprise the Statement of financial activities, the balance sheet, the statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements: - give a true and fair view of the state of the charitable company's affairs as at 31 August 2020 and of its incoming resources and application of resources, including its income and expenditure 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 charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. ## **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 Governors' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or - the Governors have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about 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. Page 9 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED (A company limited by guarantee)** ## **INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF WESTBROOK HAY EDUCATIONAL TRUST LIMITED (CONTINUED)** ## **Other information** The Governors 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 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 matters prescribed by the Companies Act 2006** In our opinion, based on the work undertaken in the course of the audit: - the information given in the Governors' report including the Strategic report for the financial year for which the financial statements are prepared is consistent with the financial statements. - the Governors' report and the Strategic report have been prepared in accordance with applicable legal requirements. ## **Matters on which we are required to report by exception** In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Governors' report including the Strategic report. We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion: - adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or - the financial statements are not in agreement with the accounting records and returns; or - certain disclosures of Governors' remuneration specified by law are not made; or - we have not received all the information and explanations we require for our audit. Page 10 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF WESTBROOK HAY EDUCATIONAL TRUST LIMITED (CONTINUED)** ## **Responsibilities of trustees** As explained more fully in the governors' responsibilities statement, the Governors (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Governors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Governors are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Governors either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. ## **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. ## **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 its members, as a body, for our audit work, for this report, or for the opinions we have formed. **Alexander Bottom ACA (senior statutory auditor)** for and on behalf of **Hillier Hopkins LLP** Chartered Accountants Statutory Auditor Radius House 51 Clarendon Road Watford Hertfordshire WD17 1HP Date: Page 11 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2020** |**Note**
**Income from:**
Donations and legacies
3
Charitable activities
4
Other trading activities
5
Investments
6
**Total income**
**Expenditure on:**
Charitable activities
**Total expenditure**
**Net income**
Transfers between funds
17
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
Net movement in funds
**Total funds carried forward**|**Unrestricted**
**funds**
**2020**
**£**
**3,541**
**3,887,718**
**13,926**
**2,127**
**3,907,312**
**3,765,870**
**3,765,870**
**141,442**
**14,008**
**155,450**
**5,590,256**
**155,450**
**5,745,706**|**Restricted**
**funds**
**2020**
**£**
**64,963**
**-**
**-**
**-**
**64,963**
**-**
**-**
**64,963**
**(14,008)**
**50,955**
**2,500**
**50,955**
**53,455**|**Total**
**funds**
**2020**
**£**
**68,504**
**3,887,718**
**13,926**
**2,127**
**3,972,275**
**3,765,870**
**3,765,870**
**206,405**
**-**
**206,405**
**5,592,756**
**206,405**
**5,799,161**|_Total_
_funds_
_2019_
_£_
_2,698_
_4,140,577_
_23,828_
_5,412_| |---|---|---|---|---| |||||_4,172,515_| |||||_3,742,914_| |||||_3,742,914_| |||||| |||||_429,601_| |||||_-_| |||||| |||||_429,601_| |||||_5,163,155_
_429,601_| |||||_5,592,756_| The Statement of financial activities includes all gains and losses recognised in the year. The notes on pages 15 to 31 form part of these financial statements. Page 12 WESTBROOK HAY EDUCATIOIIAL TrUST UMITED (A compary limltgd by guaraAts•) REGISTERED NUMBER: 019￿94 BALANCE SHEET S AT 31 AUGU8f 2020 2019 Flxod a$6•ts Tong￿)￿ a660ts 11 6.061076 143,460 6,083,076 5,144460 Current J•xts Debtors Cash at bank and In hand 12 2.041399 3.03&386 2,940rt22 3, 132 740 Crbailor8'. amounts falliThJ d￿VAlh1n 13 fl.Q15.329) N•t currvnt 4swt• 1.939.211 2, 117,411 Totsl as•gt• ¢urr•nt Ilabllm Creditors: a￿￿￿nts 1411￿ duo after morg than one yèar 7.002.287 7,2￿.871 14 11.203.126) (1,664 115) Total n•1 w••ts 0.799,t81 4592,T36 Charjty fund¥ Re81ri¢ted fiJnds Unreatrithd fundJ 17 17 03N8 0,744708 . 1590.256 Totsl fund¥ S,799,161 5,592, 766 Th• Go￿r￿al8 ￿knOW￿ge their re$[K￿￿17rt￿ for 9)mp￿ng ¥Ath ￿ rwulrementB of the Act Imth rètspect to accounbro records 8nd ptep4VatvJn oflln8ndal 8la1wn￿. The financial stalwrmnts wore gpprowd and for t88ue ty the Govemorn and sign¥d on their behaw Date. R£131 The notes on pages 15 to 31 frjrm FQrt of th8S8 firwIL7￿ statem P4813 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2020** |**Cash flows from operating activities**
Net cash used in operating activities
**Cash flows from investing activities**
Dividends, interests and rents from investments
Purchase of tangible fixed assets
**Net cash used in investing activities**
**Cash flows from financing activities**
Repayments of borrowing
**Net cash used in financing activities**
**Change in cash and cash equivalents in the year**
Cash and cash equivalents at the beginning of the year
**Cash and cash equivalents at the end of the year**
The notes on pages 15 to 31 form part of these financial statements
20
**Note**|**2020**
**£**
**272,746**
**2,127**
**(142,339)**
**(140,212)**
**(328,520)**
**(328,520)**
**(195,986)**
**3,038,385**
**2,842,399**|_2019_
_£_
_880,165_
_5,412_
_(230,975)_
**(225,563)**
_(102,305)_
**(102,305)**
**552,297**
_2,486,088_
_3,038,385_| |---|---|---| Page 14 **WESTBROOK HAY EDUCATIONAL TRUST LIMITED (A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **1. General information** Westbrook Hay Educational Trust Limited is a public company limited by guarantee and incorporated in England and Wales. The registered office and principal place of business is shown on the Company Information page. ## **2. Accounting policies** ## **2.1 Basis of preparation of financial statements** The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. Westbrook Hay Educational Trust Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy. ## **2.2 Income** All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable. ## **2.3 Expenditure** Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Expenditure on charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs. All expenditure is inclusive of irrecoverable VAT. ## **2.4 Interest receivable** Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited. Page 15 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **2. Accounting policies (continued)** ## **2.5 Tangible fixed assets and depreciation** Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost. A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the Statement of financial activities incorporating income and expenditure account. Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives. Depreciation is provided on the following basis: |Freehold land and buildings of|-|2% straight line| |---|---|---| |permanent construction||| |Freehold buildings of non|-|4% straight line| |permanent construction||| |Motor vehicles|-|25% reducing balance| |Fixtures and fittings|-|10% straight line| |Computer and associated|-|25% straight line| |equipment||| |Assets under construction|-|not depreciated| ## **2.6 Debtors** Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. ## **2.7 Cash at bank and in hand** Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. ## **2.8 Liabilities and provisions** Liabilities are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the statement of financial activities as a finance cost. Page 16 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED (A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **2. Accounting policies (continued)** ## **2.9 Financial instruments** The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method. ## **2.10 Pensions** The Charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charity to the fund in respect of the year. The TPS is an unfunded scheme and contributions are calculated so as to spread the cost of pensions over employees’ working lives with the Academy Trust in such a way that the pension cost is a substantially level percentage of current and future pensionable payroll. The contributions are determined by the Government Actuary on the basis of quadrennial valuations using a prospective unit credit method. TPS is an unfunded multi-employer scheme with no underlying assets to assign between employers. Consequently, the TPS is treated as a defined contribution scheme for accounting purposes and the contributions recognised in the period to which they relate. ## **2.11 Fund accounting** General funds are unrestricted funds which are available for use at the discretion of the Governors in furtherance of the general objectives of the Charity and which have not been designated for other purposes. Designated funds comprise unrestricted funds that have been set aside by the Governors for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements. Investment income, gains and losses are allocated to the appropriate fund. ## **3. Income from donations and legacies** ||**Unrestricted**|**Restricted**|**Total**| |---|---|---|---| ||**funds**|**funds**|**funds**| ||**2020**|**2020**|**2020**| ||**£**|**£**|**£**| |Donations|3,541|64,963|**68,504**| Page 17 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **3. Income from donations and legacies (continued)** ||_Unrestricted_|_Total_| |---|---|---| ||_funds_|_funds_| ||_2019_|_2019_| ||_£_|_£_| |Donations|_2,698_|_2,698_| **4. Income from charitable activities** |**Unrestricted**
**funds**
**2020**
**£**
Charitable activities
3,768,579
Furlough income
119,139
**Total 2020**
3,887,718
_Unrestricted_
_funds_
_2019_
_£_
Income from charitable activities - Educational activities
_4,140,577_
**5.**
**Income from other trading activities**
**Income from fundraising events**|**Total**
**funds**
**2020**
**£**
**3,768,579**
**119,139**| |---|---| ||**3,887,718**| ||_Total_
_funds_
_2019_
_£_
_4,140,577_| ||| |**Unrestricted**
**funds**
**2020**
**£**
School Shop Commission
1,165
Hire of School Facilities
12,761
13,926|**Total**
**funds**
**2020**
**£**
**1,165**
**12,761**| |---|---| ||**13,926**| Page 18 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **5. Income from other trading activities (continued)** ## **Income from fundraising events (continued)** |School Shop Commission
Hire of School Facilities|_Unrestricted_
_funds_
_2019_
_£_
_3,283_
_20,545_
_23,828_|_Total_
_funds_
_2019_
_£_
_3,283_
_20,545_| |---|---|---| |||_23,828_| ## **6. Investment income** |**Unrestricted**
**funds**
**2020**
**£**
Interest received
2,127
_Unrestricted_
_funds_
_2019_
_£_
Investment income - local cash
_5,412_|**Total**
**funds**
**2020**
**£**
**2,127**| |---|---| ||_Total_
_funds_
_2019_
_£_
_5,412_| Page 19 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **7. Analysis of expenditure by activities** |**Activities**
**undertaken**
**directly**
**2020**
**£**
Teaching
2,157,558
Welfare
225,657
Premises
623,424
Support and finance
741,932
Governance costs
-
3,748,571
_Activities_
_undertaken_
_directly_
_2019_
_£_
Teaching
_2,115,902_
Welfare
_294,446_
Premises
_664,605_
Support and finance
_645,769_
Governance costs
_-_
_3,720,722_
**8.**
**Auditor's remuneration**
Fees payable to the Charity's auditor for the audit of the Charity's annual
accounts
Fees payable to the Charity's auditor in respect of:
All non-audit services not included above|**Support**
**costs**
**2020**
**£**
-
-
-
-
17,299
17,299
_Support_
_costs_
_2019_
_£_
_-_
_-_
_-_
_-_
_22,192_
_22,192_
**2020**
**£**
**9,950**
**5,473**|**Total**
**funds**
**2020**
**£**
**2,157,558**
**225,657**
**623,424**
**741,932**
**17,299**| |---|---|---| |||**3,765,870**| |||_Total_
_funds_
_2019_
_£_
_2,115,902_
_294,446_
_664,605_
_645,769_
_22,192_| |||_3,742,914_| |||_2019_
_£_
_9,650_
_6,500_| Page 20 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **9. Staff** ## **a. Staff costs** Staff costs during the year were as follows: |Wages and salaries
Social security costs
Pension costs|**2020**
**£**
**2,033,233**
**205,917**
**264,754**
**2,503,904**|_2019_
_£_
_1,985,687_
_187,924_
_226,596_| |---|---|---| |||| |||_2,400,207_| ## **b. Staff numbers** The average number of persons employed by the Charity during the year was as follows: |Teaching
Other|**2020**
**No.**
**41**
**28**
**69**|_2019_
_No._
_43_
_24_| |---|---|---| |||| |||_67_| ## **c. Higher paid staff** The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was: ||**2020**|_2019_| |---|---|---| ||**No.**|_No._| |In the band £60,001 - £70,000|**2**|_-_| |In the band £70,001 - £80,000|**1**|_-_| |In the band £100,001 - £110,000|**-**|_1_| ## **d. Key management personnel** The key management personnel of the Charity comprise the senior management team. The total amount of employee benefits (including employer pension contributions and employer national insurance contributions) received by key management personnel for their services to the Charity was £333,398 _(2019 £312,722)_ . Page 21 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **10. Governors' remuneration and expenses** During the year, no Governors received any remuneration or other benefits _(2019 - £NIL)_ . During the year ended 31 August 2020, expenses totalling _£_ 481 _(2019: £nil)_ were reimbursed or paid directly to Governors for travel and subsistence for training courses. ## **11. Tangible fixed assets** |**Cost or valuation**
At 1 September 2019
Additions
At 31 August 2020
**Depreciation**
At 1 September 2019
Charge for the year
At 31 August 2020
**Net book value**
At 31 August 2020
_At 31 August 2019_
**Debtors**
**Due within one year**
Other debtors|**Freehold**
**land &**
**permanent**
**buildings**
**£**
**5,922,747**
**-**
**5,922,747**
**1,132,303**
**118,255**
**1,250,558**
**4,672,189**
_4,790,444_|**Freehold**
**buildings of**
**non**
**permanent**
**construction**
**£**
**53,624**
**-**
**53,624**
**33,653**
**2,145**
**35,798**
**17,826**
_19,971_|**Motor**
**vehicles**
**£**
**173,610**
**46,858**
**220,468**
**134,962**
**19,990**
**154,952**
**65,516**
_38,648_|**Fixtures,**
**fittings &**
**equipment**
**£**
**578,953**
**49,593**
**628,546**
**320,276**
**47,645**
**367,921**
**260,625**
_258,677_|**Fixtures,**
**fittings &**
**equipment**
**£**
**578,953**
**49,593**
**628,546**
**320,276**
**47,645**
**367,921**
**260,625**
_258,677_|**Computer**
**&**
**associated**
**equipment**
**£**
**342,563**
**45,888**
**388,451**
**306,843**
**34,688**
**341,531**
**46,920**
_35,720_
**2020**
**£**
**98,023**
**98,023**|**Computer**
**&**
**associated**
**equipment**
**£**
**342,563**
**45,888**
**388,451**
**306,843**
**34,688**
**341,531**
**46,920**
_35,720_
**2020**
**£**
**98,023**
**98,023**|**Total**
**£**
**7,071,497**
**142,339**| |---|---|---|---|---|---|---|---|---| |||||||||**7,213,836**| |||||||||**1,928,037**
**222,723**| |||||||||**2,150,760**| |||||||||**5,063,076**| |||||||||_5,143,460_| |||||||**2020**
**£**
**98,023**
**98,023**||_2019_
_£_
_94,355_| |||||||||| |||||||||_94,355_| ## **12. Debtors** Page 22 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **13. Creditors: Amounts falling due within one year** |Bank loans
Other loans
Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income|**2020**
**£**
**97,138**
**160,000**
**467,947**
**59,223**
**185,931**
**30,972**
**1,001,211**|_2019_
_£_
_95,367_
_-_
_620,827_
_56,195_
_196,788_
_46,152_| |---|---|---| |||| |||_1,015,329_| ## **14. Creditors: Amounts falling due after more than one year** |Bank loans
Other loans
Other creditors|**2020**
**£**
**597,390**
**517,061**
**88,675**
**1,203,126**|_2019_
_£_
_699,878_
_883,262_
_84,975_| |---|---|---| |||| |||_1,668,115_| Page 23 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** Included within the above are amounts falling due as follows: |**Between one and two years**
Bank loans
**Between two and five years**
Bank loans
Other loans
**Over five years**
Bank loans
Other loans|**2020**
**£**
**97,138**
**291,415**
**517,061**
**208,837**
**-**|_2019_
_£_
_95,367_| |---|---|---| |||_286,100_
_690,050_| |||_318,411_
_193,212_| The aggregate amount of liabilities payable or repayable wholly or in part more than five years after the reporting date is: |Repayable by instalments
Repayable other than by instalments|**2020**
**£**
**217,693**
**42,825**
**260,518**|_2019_
_£_
_511,623_
_40,650_| |---|---|---| |||| |||_552,273_| School place deposits are repayable when the pupils leave. £42,825 (2019: £40,650) of deposits are expected to be repayable after more than five years. AIB Group (UK) Plc has a first legal charge over the freehold property known as Westbrook Hay School. The loan is repayable by instalments over 18 years starting from March 2010. ## **15. Taxation** The company is a registered charity and as such no taxation is payable on its income. ## **16. Financial instruments** ||**2020**|_2019_| |---|---|---| ||**£**|_£_| |**Financial assets**||| |Financial assets measured at fair value through income and expenditure|**2,842,399**|_3,038,385_| Financial assets measured at fair value through income and expenditure comprise cash at bank and in hand. Page 24 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **17. Statement of funds** ## **Statement of funds - current year** |**Unrestricted funds**
**Designated funds**
Road Repair Fund
**General funds**
General Funds
**Total Unrestricted funds**
**Restricted funds**
Minibus Fund
Chromebooks purchased
Donations
**Total of funds**|**Balance at 1**
**September**
**2019**
**£**
**112,500**
**5,477,756**
**5,590,256**
**2,500**
**-**
**-**
**2,500**
**5,592,756**|**Income**
**£**
**-**
**3,907,312**
**3,907,312**
**-**
**11,508**
**53,455**
**64,963**
**3,972,275**|**Expenditure**
**£**
**-**
**(3,765,870)**
**(3,765,870)**
**-**
**-**
**-**
**-**
**(3,765,870)**|**Transfers**
**in/out**
**£**
**-**
**14,008**
**14,008**
**(2,500)**
**(11,508)**
**-**
**(14,008)**
**-**|**Balance at**
**31 August**
**2020**
**£**
**112,500**| |---|---|---|---|---|---| ||||||**5,633,206**| ||||||**5,745,706**| ||||||**-**
**-**
**53,455**| ||||||**53,455**| ||||||**5,799,161**| Page 25 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **17. Statement of funds (continued)** **Statement of funds - prior year** |**Unrestricted funds**
**Designated funds**
Road Repair Fund
**General funds**
General Funds
**Total Unrestricted funds**
**Restricted funds**
Minibus Fund
**Total of funds**|_Balance at_
_1 September_
_2018_
_£_
_105,000_
_5,053,155_
5,158,155
_5,000_
_5,163,155_|_Income_
_£_
_-_
_4,172,515_
4,172,515
_-_
_4,172,515_|_Expenditure_
_£_
_-_
_(3,740,414)_
(3,740,414)
_(2,500)_
_(3,742,914)_|_Transfers_
_in/out_
_£_
_7,500_
_(7,500)_
_-_
_-_
_-_|_Balance at_
_31 August_
_2019_
_£_
_112,500_| |---|---|---|---|---|---| ||||||_5,477,756_| ||||||_5,590,256_| ||||||_2,500_| ||||||_5,592,756_| Page 26 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **18. Summary of funds** ## **Summary of funds - current year** |Designated funds
General funds
Restricted funds|**Balance at 1**
**September**
**2019**
**£**
**112,500**
**5,477,756**
**2,500**
**5,592,756**
_Balance at_
_1 September_
_2018_
_£_
_105,000_
_5,053,155_
_5,000_
_5,163,155_|**Income**
**£**
**-**
**3,907,312**
**64,963**
**3,972,275**
_Income_
_£_
_-_
_4,172,515_
_-_
_4,172,515_|**Expenditure**
**£**
**-**
**(3,765,870)**
**-**
**(3,765,870)**
_Expenditure_
_£_
_-_
_(3,740,414)_
_(2,500)_
_(3,742,914)_|**Transfers**
**in/out**
**£**
**-**
**14,008**
**(14,008)**
**-**
_Transfers_
_in/out_
_£_
_7,500_
_(7,500)_
_-_
_-_|**Balance at**
**31 August**
**2020**
**£**
**112,500**
**5,633,206**
**53,455**| |---|---|---|---|---|---| ||||||**5,799,161**| ||||||_Balance at_
_31 August_
_2019_
_£_
_112,500_
_5,477,756_
_2,500_| |**Summary of funds - prior year**|||||| |Designated funds
General funds
Restricted funds|||||| ||||||_5,592,756_| ## **19. Analysis of net assets between funds Analysis of net assets between funds - current period** |**Unrestricted**
**funds**
**2020**
**£**
Tangible fixed assets
5,063,076
Current assets
2,886,967
Creditors due within one year
(1,001,211)
Creditors due in more than one year
(1,203,126)
**Total**
5,745,706|**Restricted**
**funds**
**2020**
**£**
-
53,455
-
-
53,455|**Total**
**funds**
**2020**
**£**
**5,063,076**
**2,940,422**
**(1,001,211)**
**(1,203,126)**| |---|---|---| |||**5,799,161**| Page 27 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **19. Analysis of net assets between funds (continued)** ## **Analysis of net assets between funds - prior period** |Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
**Total**|_Unrestricted_
_funds_
_2019_
_£_
5,140,960
3,132,740
(1,015,329)
(1,668,115)
5,590,256|_Restricted_
_funds_
_2019_
_£_
2,500
-
-
-
2,500|_Total_
_funds_
_2019_
_£_
_5,143,460_
_3,132,740_
_(1,015,329)_
_(1,668,115)_
_5,592,756_| |---|---|---|---| ## **20. Reconciliation of net movement in funds to net cash flow from operating activities** ## **21.** |Net income for the period (as per Statement of Financial Activities)
**Adjustments for:**
Depreciation charges
Dividends, interests and rents from investments
Increase in debtors
Increase/(decrease) in creditors
Interest accrued on borrowing
**Net cash provided by operating activities**
**Analysis of cash and cash equivalents**
Cash in hand
**Total cash and cash equivalents**|**2020**
**£**
**206,405**
**222,723**
**(2,127)**
**(3,668)**
**(172,189)**
**21,602**
**272,746**
**2020**
**£**
**2,842,399**
**2,842,399**|_2019_
_£_
_429,601_
_194,209_
_(5,412)_
_(9,698)_
_247,903_
_23,562_
_880,165_
_2019_
_£_
_3,038,385_
_3,038,385_| |---|---|---| Page 28 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** ## **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **22. Analysis of changes in net debt** |**At 1**
**September**
**2019**
**£**
Cash at bank and in hand
**3,038,385**
Debt due within 1 year
**(95,367)**
Debt due after 1 year
**(1,583,140)**
**1,359,878**
**Capital commitments**
**Contracted for but not provided in these financial statements**
Acquisition of tangible fixed assets|**Cash flows**
**At 31**
**August 2020**
**£**
**£**
**(195,986)**
**2,842,399**
**(161,771)**
**(257,138)**
**468,689**
**(1,114,451)**
**110,932**
**1,470,810**
**2020**
_2019_
**£**
_£_
**110,281**
_-_|**Cash flows**
**At 31**
**August 2020**
**£**
**£**
**(195,986)**
**2,842,399**
**(161,771)**
**(257,138)**
**468,689**
**(1,114,451)**
**110,932**
**1,470,810**
**2020**
_2019_
**£**
_£_
**110,281**
_-_| |---|---|---| |||**1,470,810**| |||_2019_
_£_
_-_| ## **23. Capital commitments** ## **24. Operating lease commitments** At 31 August 2020 the Charity had commitments to make future minimum lease payments under noncancellable operating leases as follows: |Not later than 1 year
Later than 1 year and not later than 5 years|**2020**
**£**
**5,568**
**14,092**
**19,660**|_2019_
_£_
_5,622_
_19,192_| |---|---|---| |||| |||_24,814_| ## **25. Related party transactions** Governors' liability insurance premium borne by the School is not separately identifiable but is included as part of the professional liability insurance premium of £780 (2019: £663). Two of the Governors have family members enrolled at the school, all pay standard fees. At the balance sheet date the School was owed £nil (2019: £3,679) by a senior member of staff. The maximum amount owing during the year was £3,679 (2019: £9,349). Page 29 **WESTBROOK HAY EDUCATIONAL TRUST LIMITED (A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **26. Pension Scheme** The School participates in a multiemployer defined benefits pension scheme, the Teachers' Pension Scheme (England and Wales) ("the scheme"), for its teaching staff. As a result it is not possible or appropriate to identify the assets and liabilities of the Scheme which are attributable to the School. ## **Teachers' Pension Scheme** The Teachers' Pension Scheme (TPS) is a statutory, contributory, defined benefit scheme, governed by the Teachers' Pension Scheme Regulations 2014. Membership is automatic for full-time teachers in academies and, from 1 January 2007, automatic for teachers in part-time employment following appointment or a change of contract, although they are able to opt out. The TPS is an unfunded scheme and members contribute on a 'pay as you go' basis - these contributions along with those made by employers are credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament. ## **Valuation of the Teachers' Pension Scheme** The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014 published by HM Treasury. The aim of the review is to specify the level of future contributions. Actuarial scheme valuations are dependent on assumptions about the value of future costs, design of benefits and many other factors. The latest actuarial valuation of the TPS was carried out as at 31 March 2016 and in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014. The valuation report was published by the Department for Education on 5 March 2019. The key elements of the valuation and subsequent consultation are: - employer contribution rates set at 23.68% of pensionable pay (including a 0.08% employer administration charge) - total scheme liabilities (pensions currently in payment and the estimated cost of future benefits) for service to the effective date of £218,100 million, and notional assets (estimated future contributions together with the notional investments held at the valuation date) of £196,100 million giving a notional past service deficit of £22,000 million - the SCAPE rate, set by HMT, is used to determine the notional investment return. The current SCAPE rate is 2.4% above the rate of CPI, assumed real rate of return is 2.4% in excess of prices and 2% in excess of earnings. The rate of real earnings growth is assumed to be 2.2%. The assumed nominal rate of return including earnings growth is 4.45%. The next valuation result is due to be implemented from 1 April 2023. The employer's pension costs paid to TPS in the year amounted to £264,754 (2019: £219,513). There was £34,422 outstanding at the balance sheet date (2019: £26,610). A copy of the valuation report and supporting documentation is on the Teachers' Pensions website (https://www.teacherspensions.co.uk/news/employers/2019/04/teachers-pensions-valuation-report.aspx). Page 30 ## **WESTBROOK HAY EDUCATIONAL TRUST LIMITED** **(A company limited by guarantee)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020** Under the definitions set out in FRS 102, the TPS is an unfunded multi-employer pension scheme. The academy trust has accounted for its contributions to the scheme as if it were a defined contribution scheme. The academy trust has set out above the information available on the scheme. The School also operates a defined contributions pension scheme for non-teaching staff. The assets of the scheme are held separately from those of the School in an independently administered fund. The pension cost charge represents contributions payable by the School to the fund and amounted to £17,987 (2019: £24,674). There was £3,112 outstanding at the balance sheet date (2019: £3,623). Page 31