2023-08-31-accounts

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Company Registration No. 01847134 Charity Registration No. 298140

THE ALDENHAM FOUNDATION

TRUSTEES’ REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2023

THE ALDENHAM FOUNDATION

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	Page
Reference and administrative information	1-2
Report of the Governors	3-16
- Directors’ Report	3-9
- Strategic Report	10-15
- Statement of accounting and reporting
responsibilities	16
Independent Auditor’s Report	17-19
Statement of Financial Activities	20
Balance Sheet	21
Cash Flow Statement	22
Notes to the Financial Statements	23-39

THE ALDENHAM FOUNDATION

LEGAL AND ADMINISTRATIVE INFORMATION

________________

Governors/Directors The Directors of the Company, and their committee duties, are as below. All are members of the Governing Body and Trustees of the Charity.

----- Start of picture text -----
Committees 22-23
Finance &
Full Governing Body:
General Education Estates Audit Governance Remuneration
Names
Purposes
Altman, Mrs S (Chair) m m l l l
Bryer, Mr R (Appointed September 2022) x
Clifford, Mrs C l
Cuttell, Mrs F * l
Hawdon, Dr J
Hellman, Mr A G (Retired March 23) l
Hunter, Mr A l
James-Crook, Mr J l l
Lambert, Cllr D * / ** l
Mainwaring, Ven Dr J (Resigned February 23) l
Phillips, Mr A l x
Rees, Mr C l
Ms H Simmons l
Mr T C Sligo-Young x l
Smart, Prof K (Upper Warden)
Thomas, Mrs H
Tindal, Cdre N l
Mr D T Tidmarsh x x x
Mr T F Wells l
*----- End of picture text -----

x = Chair of that Committee

l = Member of Committee

m = In attendance at the Committee meetings, but not a member
Governor Responsible for Aldenham Prep School

** Local Authority Designated Governor

*** Safeguarding Designated Governor for the Foundation

**** Governor Responsible for S Hilda's School

* Governor Responsible for Aldenham Senior School and Boarding

** Honary Governor during 12 month appointment as Upper Warden of Brewers Company

THE ALDENHAM FOUNDATION

LEGAL AND ADMINISTRATIVE INFORMATION AS AT 31 AUGUST 2023

________________

Secretary	K Mahon
Charity number	298140
Company number	01847134
Registered office/	Aldenham School
Principal address	Elstree
	Herts
	WD6 3AJ
Auditor	Crowe U.K. LLP
	55 Ludgate Hill
	London
	EC4M 7JW
Bankers	National Westminster Bank Plc
	72/74 High Street
	Watford
	Hertfordshire
	WD17 2GZ
Solicitors	Farrer & Co LLP
	65-66 Lincoln’s Inn Fields
	London
	WC2A 3LH
	Taylor Walton
	28-44 Alma Street
	Luton
	Bedfordshire
	LU1 2PL
Contact details	Website: www.aldenham.com
	E-mail: enquiries@aldenham.com

Key Management Personnel (Foundation Leadership Group/Executives)

A Hems (Mrs) AM Williams (Mr) S Galpin (Mrs) A Kaye (Mr) K Mahon (Mr) S Toye (Mrs) P Dunstan (Mr)

Head of Foundation Head of Senior School Head of Aldenham Preparatory School Head of St Hilda’s School Bursar & Clerk to the Governors Director of Finance and HR Business Development Director

THE ALDENHAM FOUNDATION

GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2023

________________

The Governors of The Aldenham Foundation present their Annual Report for the year ended 31 August 2023 under the Charities Act 2011 and the Companies Act 2006, including a Strategic Report, together with the audited financial statements for the year.

DIRECTORS’ REPORT

CONSTITUTION

Aldenham School, the oldest part of The Aldenham Foundation (“the Foundation”), was founded in 1597. The Foundation is constituted as a company limited by guarantee, without a share capital, registered in England, No. 01847134, and is registered with the Charity Commission under Charity No. 298140. Each member of the company undertakes to contribute to the assets of the company in the event of the company being wound up while they are a member, or within one year after they cease to be a member. The liability of the members is limited to £100 each for the debts and liabilities contracted before they ceased to be a member.

The members are:

The Worshipful Company of Brewers
The Clerk to the Worshipful Company of Brewers

The Foundation operates three schools known as Aldenham Senior School, Aldenham Prep School and St Hilda’s School Bushey.

There is one Governing Body for the three Schools. Details of the members of the Governing Body, together with the Foundation’s officers and principal advisers, are set out on pages 1 and 2.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing documents

The Foundation is governed by its Memorandum of Association and Articles of Association last amended on 21[st] July 2011.

Governing Body

The Foundation has a Board of up to 20 Governors of whom six are Representative Governors appointed by the Worshipful Company of Brewers, one is appointed by the Local Education Authority and the remaining thirteen are Co-opted appointed by the board of Governors. Each Governor is appointed for an initial term of three years and may subsequently by reappointed by the Board for successive periods of three years.

New members of the Governing Body are appointed or elected on the basis of nominations based on the candidates’ professional qualities, qualifications and experience. The Governors of the Foundation are the Directors of the Company and Trustees of the Charity. From this point forward they will be referred to as Governors.

Recruitment and training of Governors

New Governors are inducted into the workings of the Foundation and its schools, including Governing Body policy and procedures, at an induction specially organised for them by the Heads and Bursar. They are provided with a Governance Manual that provides detail on subjects such as recruitment and induction into their role, Terms of Reference and general policies and information.

The new Governors are also encouraged to attend specialist external courses on the role and responsibilities of charity trustees and other external and in-house trustee training and information courses designed to keep them informed and updated on current issues in the sector and on regulatory requirements.

THE ALDENHAM FOUNDATION

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

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Organisational management

The Governors are legally responsible for the overall management and control of the Foundation and its schools. Their role is to agree strategy, advise on and review the development of plans and monitor their execution by the Executive. The Governors decide ultimately how the Foundation’s financial resources are deployed and hold the Executive to account while also acting as their critical friend.

Individual Governors hold a place on individual Committees as detailed below, to carry out the above, as well as ratifying policies where applicable, monitoring, safeguarding and discussing strategic and operational issues. The terms of reference for each Committee are summarised below:

The Audit Committee keeps under review the Foundation’s internal controls, is mainly responsible for the Foundation’s relationship with the external auditor and oversees the production of the Annual Report and Accounts and performance of the external audit.
The Education Committee has a monitoring and advisory role relating to the overall provision of education, pastoral care and safeguarding activities across the Foundation.
The Estates Committee has a monitoring and advisory role relating to the Foundation’s buildings, plant, grounds, gardens, roadways and security. They request financial approval from the Finance and General Purposes Committee of work that needs to be completed in excess of £250k and F&GP in turn seek approval for any project in excess of £500k
The Finance & General Purposes Committee has a monitoring role relating to the overall financial and business activities of the Foundation, including budgeting, reviewing financial performance, investment, HR and Health and Safety. They also monitor the pay and conditions of all staff within the Aldenham Foundation and makes recommendations to the Full Governing Body about variations to these annually. The pay of the Foundation Leadership Group is decided by the Remuneration Committee.
The Governance Committee keeps under review the Foundation’s assessment and response to risk, monitors the governance offered to the Foundation schools by the various committees and advises the Board on any changes needed to the Board of Governors and how individual Governors are deployed.

The development and execution of strategic plans and operational management of the Aldenham Foundation is delegated to the Foundation Leadership Group (i.e., The Executive), consisting of the Heads of each school, and other key operational staff. They meet fortnightly to discuss and implement policy, strategy and development of the Foundation and significant operational issues. The day-to-day running of the three schools is delegated to the respective Heads, supported by their respective Senior Leadership Teams.

The Aldenham Foundation Board of Governors takes its governance responsibilities seriously and, as a large charity, aims to have a governance framework that is fit for purpose, compliant and efficient. The Board has established a solid foundation in governance in which all of its governors are clear about their roles and legal responsibilities, are committed to supporting the Foundation to deliver its objects most effectively for its beneficiaries’ benefit.

The Aldenham Foundation Governance Committee keeps the Charity Code of Governance regularly under review and are confident that governance is executed well at the Foundation.

Group structure and relationships

During the year there were three subsidiaries within the Foundation, these being:

The Aldenham School Charity, a registered charity number 1057611(“ASC”);
Aldenham Enterprises Ltd, a limited company registered in England No 01635965 (“AEL”).
• Aldenham Schools Holdings Ltd, a registered company in England, No. 11923888 (“ASH”)

THE ALDENHAM FOUNDATION

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

The Aldenham School Charity is now a dormant Company and owns the endowed land.

Aldenham Enterprises Ltd is a wholly owned non-charitable subsidiary of the Foundation whose annual profits are donated to the Foundation under the Gift Aid Scheme. The trading activities of AEL primarily comprise a franchised retail outlet and revenue from letting of the Aldenham Foundation schools’ facilities when not in use by the schools.

Aldenham Schools Holdings Ltd is a wholly owned non-charitable subsidiary of the Foundation and was formed on the 3[rd] of April 2019 with a separate Board, consisting of members of the Foundation’s Leadership Group, as well as two Governors. Its purpose is to monitor and manage the overseas activities of the Foundation.

The registered address of both of the above subsidiaries is the same as The Aldenham Foundation.

Employment and remuneration policy

The Foundation is an equal opportunities employer. Full and fair consideration is given to job applications from all applicants, and the Foundation does not discriminate against anyone. The Foundation has an Equal Opportunities and Dignity at Work policy which is compliant with the Equality Act 2010. Full and fair consideration will be given to applications of employment made by disabled persons having regard to their particular aptitudes and abilities and has regard to its duties to implement reasonable adjustments to ensure that they are not disadvantaged in any application. Once employed, training and support will be given to disabled staff as with all staff.

The Foundation’s HR Department use the product MyNewTerm which has enabled blind shortlisting which has strengthened the process. Due consideration is given to the individual applicant’s training and employment needs.

Consultation with employees, or their representatives, has continued at all levels with the aim of taking the views of employees into account when decisions are made that are likely to affect their interests. Employees are made aware of the financial and economic performance of the Foundation annually.

Communication with employees continues through normal management channels in a variety of forms and also via an annual briefing to all staff of the Foundation by the Heads of the Schools in September covering the Foundation’s performance over the previous year and targets and aspirations for the new academic and financial year. All staff are appraised annually, however the intention is to move to continual review via termly check-ins. The annual pay increase for all staff is agreed by the Full Governors and the remuneration of Key Management Personnel (Foundation Leadership Group) is agreed by the members of the Remuneration Committee during each year.

The Foundation has a Staff Code of Conduct that sets out the expectations for standards and behaviours across all schools.

Investment policy, objectives and performance

The Governors’ investment powers are governed by the Charity Commission Scheme which requires that all sums belonging to the Foundation, other than sums needed for immediate working purposes, be invested in trust for the schools. The Governors’ policy is to maintain income whilst preserving the real value of the endowed investments held in restricted funds. The Governors aim to maximise the total investment return they are able to achieve from the cash and investments the Schools hold, bearing in mind their planned expenditure and financing needs. The investment strategy and policy is monitored by the Finance and General Purposes (F&GP) Committee. Currently, any surplus cash held by the Foundation, in excess of that required for working capital, is available for investment. The intention is to protect the value of funds used for bursaries and scholarships in addition to any Fees In Advance funds received for fees in excess of two years.

Principal Risks and Risk management

The Governors have considered the major risks to which the Foundation and its subsidiaries are exposed. The Governors have ultimate responsibility for managing any risks faced by the Foundation. The risk management process and the resulting Risk Report identifies risks, assesses their impact and likelihood and, where necessary, recommends controls to mitigate and monitor those risks that are assessed as high.

THE ALDENHAM FOUNDATION

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

Principal Risks and Risk management (continued)

The current areas that the Governors consider to be the principal risks are as follows:

Any impact of a change to opposition government with a manifesto promise of school fee VAT and taxation. A Finance Focus Group has been created with some of the Governors from F&GP, who are tasked with looking at this area along with the FLG. Financial modelling is being undertaken that shows the different scenarios and what mitigating actions have to be taken.
The current economic effect of the global increase in the cost of living on parental ability to pay fees. The risk is being managed by carefully considered fee increases, credit control policies and bursarial support where necessary.
The cost of living impact, and energy crisis, on the investment surplus for the Foundation along with the impact of interest rate rises on the cost of our current loan that funded the Prep School build. Careful attention is given to budgets and forecasting to ensure the loan repayments can be made. Capital projects are delayed where appropriate.
Cyber Security: The theft of data and attempts at financial fraud are deemed to be an area of principal risk due to the increasing number and sophistication of reported incidences in the wider business community. The Foundation seeks to adequately protect itself against such risk through comprehensive security measures, regular review and testing of these and through scrutiny of systems.
General affordability and non-payment of fees: Full consideration is given to fee increases each year and any fee increases are therefore intended to meet expected cost increases whilst maintaining the educational provision provided by the Foundation. The surplus also needs to enable planning for the ongoing development of the Schools within it, whilst maintaining financial stability.
Safeguarding: This is always deemed to be a principal risk due to the seriousness of any breach and the potential impact on pupils, reputation and confidence. Safeguarding is given the utmost consideration and a Governor, who is a professional Paediatrician, has been appointed to oversee compliance in the Foundation and to provide support and advice. There are Designated Safeguard Leads in each School who are responsible for keeping children safe in education. In addition, a “whole school” approach is taken to safeguarding so training is given to all staff and Governors.
Health and Safety: The health and safety of the Foundation’s pupils and staff is a key area for risk management. The risks range from fire and infrastructure to personal risks (most notably when away from the schools’ sites, on trips and expeditions). The level and breadth of activity across the schools is extensive and the risks associated with this are minimised by ongoing risk assessments and management. An experienced dedicated Health and Safety Office was employed by the Foundation to support the Bursar in managing this risk. However, the Health and Safety of the Foundation is the responsibility of all members of the school community but driven by the Bursar and his key teams and there is a designated Governor who takes an overview of this area.

The generic controls used by the Foundation to minimise all risks, including the above, are:

Detailed terms of reference together with formal agendas for Committee and Board activity;
Employment of qualified, key staff whose roles include consideration and minimisation of risk and use of specialist outside consultants where appropriate;
Formal strategic development planning, reviewed by the relevant Committees and discussed annually at a special meeting attended by the Governors along with the senior management teams of the schools;
Comprehensive budgeting and management accounting;
Established organisational structures and lines of reporting;
Formal written policies including clear authorisation and approval levels;
Safeguarding procedures as required by law for the protection of the vulnerable;
Regular review and monitoring by members of the Foundation Leadership Group and Committees.

The Governors are satisfied that for all major risks identified for the Foundation, appropriate controls have been put in place and maintained to mitigate those risks adequately. It is recognised that whilst systems can provide only reasonable, but not absolute assurance, that major risks have been managed. Detailed consideration of risk is delegated to the Governance Committee, which reports formally to the Governors at each meeting. The production and maintenance of the Risk Register is delegated to the Bursar.

THE ALDENHAM FOUNDATION

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

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OBJECTS, AIMS, OBJECTIVES AND ACTIVITIES

Mission statement

The Foundation’s mission is to provide the necessary education and appropriate training to enable pupils to develop their potential as individuals, and thereby to help ensure that when they leave they will be confident members of the larger society and effective contributors to it.

Charitable Objects

The Foundation’s Objects, as set out in the Memorandum of Association, are to promote and provide for the advancement of education of children and students in the United Kingdom and elsewhere, such education to be consistent with the doctrines of the Church of England. In furtherance of these Objects for the public benefit the Foundation has established and administers bursaries, grants, awards and other benefactions, and acts as the trustee and manager of property, endowments, bequests and gifts given or established in pursuance of these Objects. The Governors are mindful of the long-standing need to provide public benefit and of the requirements of the Charities Act 2011. In this connection they have monitored closely the Public Benefit guidance available from the Charity Commission and also its supplementary website guidance on fee-charging.

Intended impact

Within its charitable Objects, the Foundation’s intention is to provide a first-class education through strong academic tuition and by developing broader skills that help every pupil to realise his or her potential to the full. This involves emphasis on the co-curriculum through cerebral, sporting, artistic, team building and social skills. This policy builds self-confidence and life skills in the pupils and inculcates a desire to learn and a willingness to contribute to the wider community whilst at school and in later life.

Aims

The Foundation’s aims remain:

to offer all pupils a range of opportunities so that they can achieve to the best of their ability within a framework of shared values and standards;
to value and nurture pupils as individuals, giving them a sense of their own self-worth and of the value of service to others, thus preparing them for life beyond school;
to continue to operate the Aldenham Senior School as a day and boarding community with strong links both locally and further afield, and to seek to increase the numbers of pupils who can benefit from boarding;
to continue to operate the Aldenham Prep School and St Hilda’s School as day schools, in which there are strong and active partnerships with parents and with the local community around the two schools;
to continue to make its facilities available for the wider use of the community.

Primary objectives

The primary objectives of the Foundation to fulfil these aims are:

to provide a stimulating learning environment in which pupils can develop their academic potential to the full;
to provide a happy and secure pastoral environment in which pupils can learn to live together and thus foster a sense of community, co-education, respect for one another and good citizenship;
to provide pupils with the opportunity to take advantage of a breadth of extra-curricular activities in order to develop positively all aspects of their character;

THE ALDENHAM FOUNDATION

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

Primary objectives (continued)

to provide pupils with the opportunity to take decisions based on their own judgment and to communicate those decisions appropriately and effectively;
to provide financial support to enable children whose parents are unable to afford the full fees to benefit from the education and opportunities offered;
to provide a clear, simple and effective management structure capable of taking timely decisions and allocating necessary resources appropriately;
to provide the necessary administrative and logistic framework to meet the needs of members of staff and pupils alike;
to maintain and improve facilities which will enable these objectives to be achieved and which can also be applied for the wider benefit of the outside community.

The aims and objectives set for the Foundation’s subsidiaries are to facilitate the achievement of the Foundation’s aims and objectives as above.

Principal activity

The Foundation’s principal activity, as specified in the Memorandum of Association is the advancement of education of children and students in the United Kingdom and elsewhere, such education to be consistent with the doctrines of the Church of England and, in this, the Foundation has again had a successful year with over 1,000 pupils being educated in the Foundation’s schools.

Public benefit

The Governance Committee give due consideration to the Charity Commission’s published guidance on the Public Benefit requirement under the Charities Act 2011 to ensure that they are compliant and are offering as much as they can to the wider community.

The Foundation remains committed to the aim of providing public benefit, and details below the activities that took place during the year:

Bursaries

The awarding of bursaries to parents is a measurable means of providing public benefit. The Governors consider bursaries, awarded to those whose parents would not otherwise be able to afford the fees, as being very important, but not to the exclusion of the much wider benefit that the Foundation provides within the community. Those pupils who attend our schools and who receive financial support contribute to the school community in a variety of ways, and so the benefit is not purely to these pupils but to the whole Foundation and, in some cases, to the wider community. In 2022/23 the Foundation awarded means-tested awards based on a sliding scale according to financial circumstances totalling £556k to 47 pupils. The Foundation is now working with the Royal National Children’s Springboard Foundation to assist in offering children transformational bursaries to join the school. By working with them, the pupils are targeted as to those in most need who would benefit from the education and pastoral care that Aldenham provides.
In addition to allocations of support from its fee income, there are specific bursary funds established from legacies provided by former pupils, specific funds created from Foundation reserves and annual support from funds held by other organisations associated with the Foundation.

Other activities

Other activities and partnerships are detailed below:

The Foundation has partnered local maintained schools and provided support for local community organisations through pupil and staff involvement, and by use by the community of Foundation facilities and equipment.
Letting of the grounds and facilities to local clubs and organisations.
Free use of St Hilda’s hall for use for a local mother and toddler group.

THE ALDENHAM FOUNDATION

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

Public Benefit (continued)

Use of Aldenham Chapel by other local schools.
Use of Aldenham minibuses by local community groups and sports teams.
Members of the local community use Aldenham land for walking groups.
We cooperate with local charities and educational bodies in our ongoing endeavours to widen public access to the schooling we provide, to optimise the use of our cultural and sporting facilities and to awaken in our pupils an awareness of the social context of the all-round education they receive at the Foundation’s schools.
The Senior School partners a local maintained school to provide a Combined Cadet Force for the mutual benefit of both schools.
Pupils and staff of the Foundation continue to provide support for a range of local and national charities through fundraising and Aldenham School has maintained its support of a community in Malawi through its Ripple Africa initiative which involves a group of 6th Form students travelling to Malawi each year to take part in community projects there.
Across the Foundation and prior to lock-down a total of £17k was raised for several different Charities.

THE ALDENHAM FOUNDATION GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

STRATEGIC REPORT

ACHIEVEMENTS AND PERFORMANCE

Review of achievements and performance for the year

This was the first full school year without any Covid restrictions and saw the return of the full range of international trips and school events. The School’s ability to adapt over the previous two years, however, had enabled a leap forwards in use of technology. Having laid the groundwork carefully in the academic year 2021-22 we were ready to roll out use of Surface devices for all students in the Senior School other than Year 13s. The decision was made not to include them as they were entering their final year of school and were already equipped with their own laptops etc. All students in Years 7 and 8 were issued with Surface Go devices, and Years 9-12 with Surface Pro devices, paid for by parents. The roll-out went smoothly and was carefully supported by the work of the Head of Digital Learning and the Head of Technology and his support team. Regular training was provided throughout the year for teaching staff and opportunities were created for students and parents to offer feedback about their perspective and experience. Students were also invited to present their experience to the Education Committee of the Governors in the Spring Term. In response to some of this feedback further adaptations were made to ensure that the School is meeting the needs of a variety of learning styles and needs across the student body.

Academic results were extremely pleasing with 52% of A level exams achieving A-B grades and 88% of the top half of the cohort achieving A - B grades. The overall pass rate of 99% ensured that over 90% of students secured places at their first or second choice university and a significant number of these were at the prestigious Russell Group universities. One notable continuing success story was the EPQ qualification which achieved 79% A*-B grades.

The senior school once again achieved very strong GCSEs. Notable outcomes include 66% of results for the top half of the cohort being graded 7+. The overall figure of 39% of grades at 7+ (rising to 48% for girls) compares very favourably against the national picture of 27%.

Performing and creative arts continue to thrive at Aldenham. The return to the annual House Music Competition in its full format just before the October half term was much appreciated. As in so many other ways, however, the learning and adaptations of the Covid period proved valuable here as we chose to continue with the live-streaming for parents at home, and were delighted to discover that the event was viewed in 19 countries on the night, reminding us of the rich international diversity of our community. In the Spring Term we enjoyed an outstanding production of Everybody’s Talking about Jamie’; we believe that Aldenham is the first school to stage this musical. Later in the Year the Dance Show, the Beck Music Competition, Aldfest and the Junior House play The Lord of the Flies all continued to demonstrate the School’s strengths in creativity and performance.

Aldenham has always valued very highly its engagement with our local community. The appointment of an Assistant Head with specific responsibility for Co-Curricular, Outreach and Operations, who joined us in September 2022, combined with the cessation of covid restrictions, saw the return of many of these activities to the calendar. A tea party, hosted by students and staff, for residents of a local retirement home became a regular fixture and we now have a growing relationship with a local primary school again. We have also been able to resume the school’s annual trip to Malawi. 16 students and four staff members travelled out to work with the Ripple Africa project in Malawi in July 2023 where they learned about local fishing and farming practices, helped with digging latrines and building cooking stoves and volunteered in a local primary school. Over the course of the academic year successful trips also took place to Iceland, New York and France to support learning in Business, Drama, Geography and Modern Languages. Our footballers went on tour to Madrid, cricketers to Dubai and our netballers had the chance to play in a tournament in Paris in which they were extremely successful.

Sport has continued to flourish at the School for both boys and girls. We were delighted to welcome England and GB hockey player, and Olympic, Commonwealth and European Champion, Shona McCallin MBE to open our second Astroturf pitch in the Spring Term. This pitch has greatly enhanced our delivery of hockey for girls and boys. Four additional cricket nets were also completed this year, which support the growing provision for girls’ cricket across the School. In Hockey our Girls 1[st] hockey team became U18 district champions and the Boys 1[st] team qualified for the National finals at Nottingham this year. In Football the Boys U13 A team became the ISFA champions after winning their final in March and the U15s are currently English Schools Football Association Champions. The U14s, U15s and U18s are also County Champions for their age groups. A number of our students received call-ups to play football for England at Junior level this year.

THE ALDENHAM FOUNDATION

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

ACHIEVEMENTS AND PERFORMANCE – Continued

The School continues to invest in its facilities for learning and teaching both indoors and out. In addition to the improved sporting provision mentioned above we have undertaken the complete refurbishment of the Mathematics teaching block and of classrooms in English and Classics teaching areas. Over the summer holiday the Sixth Form Suite was refurbished, to create a more flexible environment for study for our Year 12 and Year 13 students and to enhance staff supervision in this area. We were also able to create four new teaching spaces across the Senior School. Over the same period new signage and wayfinders across the whole site have significantly enhanced the experience for all our visitors. The School takes seriously its responsibilities to improve fuel efficiency and carbon footprint, and therefore undertook a significant heat loss survey earlier in the year, which led to targeted work to improve insulation in the roof spaces of McGill’s, Beevor’s & Paull’s Houses and the replacement of 34 old windows in the upper floors of Paull’s House. The summer works programmed also included the installation of a new CHP heating system in Beevor’s House, which together with similar installations in McGill’s and Paull’s in previous years have made a significant difference to our fuel costs. These works, combined with the construction of new walls at the entrance to the Senior School and the replacement of a second section of the Gilbert Building roof all speak to the balance of the careful stewarding and preservation of our historic and much loved older buildings, to ensure that they continue to serve the School’s needs in the modern world.

St Hilda's appointed a new Head, Mr Andrew Kaye, from September 2022. As he had previously been the Deputy Head, a new Deputy Head was also appointed internally. The 4+ assessment process was very successful with a full class of 20 girls enrolled for September 2023, many of whom came from the nursery's pre school class. All girls in Form 6 achieved a place at their first choice senior school with 19 scholarships and 1 Music Exhibition being awarded across the cohort of secondary schools; 10 Academic, 1 Art, 6 Music and 2 Sports. There was also a Prep Scholarship awarded to one of the Form 5 girls. Links between the three schools in The Aldenham Foundation has been a focus this year with pupils from St Hilda's and Aldenham Prep collaborating during Children's Mental Health Week and celebrating the King's Coronation with their buddy class before joining the Senior School for a Coronation picnic. Girls in Form 5 have also had the opportunity to participate in science masterclasses in the Senior School's newly refurbished science laboratories and watch the Senior School's Dance Show in their theatre. This year the school introduced 'Little Bluebirds', a weekly parent/toddler stay and play session for families in the local community. The school was awarded The Eco Schools Green Flag Award in recognition of our work on sustainability and biodiversity. Particular highlights of this academic year have been; links made between our nursery and school classes during events such as Book Week, Children's Mental Health Week and STEM workshops, having one of our pupil’s Coronation bunting designs be a winning design in the Historic Royal Palaces national competition, the whole school having class trips to a local zero waste food shop, a new 5 day Form 5 and Form 6 residential to a French chateau. A new Form 6 Upcycled Fashion Show was introduced which is a textiles and design project which begin with each pupil being given £5 to spend in a local charity shop before designing and turning their purchases into new outfits for a fashion show in front of the school and their families. Drama and public speaking continue to be a strength at St Hilda's with 48 out of the 62 girls who took the relevant English Speaking Board exam in the Summer Term being awarded a Distinction. We have broadened our PE and Games curriculum this year and have developed a more inclusive extracurricular sports club timetable, including offering clubs to our Lower School pupils. Our fixtures lists now also ensure there are more opportunities for participation in team matches and galas with the school now playing more schools than ever. We had two girls represent St Hilda's in the IAPS National Swimming Finals at The London Aquatic Centre and we put forward a team in our first aquathlon competition at a local senior school.

Aldenham Prep School continues to flourish. Fifteen Year 6 pupils moved to the Senior School at the end of the academic year. Two joint Music and Academic scholarships from the Senior School were offered; one was accepted. All children achieved a place at their first choice of Senior School apart from one child. In sport children have represented Aldenham Prep at venues such as the Olympic Pool in London and in the sports of football, netball, athletics, cricket, hockey and cross country. House Competitions have taken place in all these sports too. Children have celebrated much success including: the U11 Cross Country team who participated in the Buckingham Prep Cross Country competition; the boys came 2nd and the girls came 1st overall. There were standout individual performances by a boy in Year 6 and a girl in Year 5 who were both placed 1st in their respective races. Four pupils also participated in the gruelling Herts Primary Schools Cross Country Championships. The highest placed runner was a girl in Year 5 who finished 12th out of 87 and was still a year underage. Twelve runners from years 4-6 competed in the annual St. Martins Road Relays. First place was awarded to a Year 6 child from Aldenham Prep and another child from the school came 6th.

THE ALDENHAM FOUNDATION GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

ACHIEVEMENTS AND PERFORMANCE – Continued

The U9 and U11 Athletics teams also won the Buckingham Prep Athletics competition which took place on Button Field. A Year 6 pupil came 16th in the IAPS National Final 50m backstroke race setting a new personal best and was awarded a sports scholarship from Haileybury. Children have also achieved success with their talent at art – with one child winning the Hertsmere Borough Council seasonal card competition and another child being a runner up. Sixtyone children completed the Capable Kids challenge and developed valuable life skills receiving Micro, Mini or Junior Duke awards. Years 5 and 6 children entered the Primary Maths Challenge, and two children reached the highly challenging bonus round which resulted in one of them achieving a gold award. A highlight of the year was the King’s Coronation Celebration Day. Staff and children, dressed in red, white and blue from both Aldenham Prep and St Hilda’s and joined together in Barton Hall to sing a Coronation Song. Year groups from the two schools then took part in celebratory activities before venturing up to the Senior School together for a Coronation Picnic.

The Foundation has continued its work on the development of international schools through its subsidiary, Aldenham Schools Holdings (ASH) who are partners in Aldenham Education Group (AEG) operating from Dubai. Since opening in August 2022 Aldenham Prep School Riyadh has seen an increase in numbers on roll from just over 100 to just over 300. A new Head, Mr Matt Aston was appointed, who took up his post in August 2023. This is positive progress in the overall strategic plan of increasing non fee income for the Foundation and development of overseas schools.

Mrs Alex Hems took up her post as Head of the Aldenham Foundation in September 2022 and since then the Foundation Leadership Group has begun a review of the Foundation’s Strategic Plan which will be completed by December 2023. The Governors are actively involved in many aspects of the Foundation’s activities during the year as well as their usual functions of overseeing the strategy of the Foundation and the implementation of the Foundation’s aims. The relationship between the Governors and the Foundation’s senior executive team continues to be very positive and constructive.

Fundraising

Fundraising for the School is carried out by Aldenham Foundation General Charitable Trust (AFGCT), who raise money from the Old Aldenhamians to benefit the pupils of the schools. AFGCT donated £50,349 to the Foundation in the year ending August 23 which was used to fund several resources throughout the Senior School and also funded the Prep School outdoor classroom, which was also supported by ASPA Prep.

There has also been continued progress made this year in the Foundation’s work of raising voluntary funding for other Charities. This is undertaken by the Charity Committee whose members are pupils from the School. Across the Foundation, a total of £17k was raised for several different Charities including an appeal for the DEC in aid of Ukraine and the Turkey earthquake appeal. There are no professional fundraising organisations used and so no monitoring processes are required. AFGCT subscribes to the Fundraising Regulator and adheres to the Fundraising Promise when undertaking fundraising activity. This promise outlines to commitment made to donors to ensure any fundraising is legal, open, honest and respectful. The school takes its responsibility to anyone who might be vulnerable very seriously and this will continue to be considered in the School’s approach to fundraising activity .

THE ALDENHAM FOUNDATION

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

FINANCIAL REVIEW

Results for the year

The total net income for the year was £22.4m (2022: £20.2m) and expenditure of £21.3m (2022: £19.3m), resulting in an operating surplus, before investment gains, of £1,114,158 (2022: surplus £930,277), which translates into an increase in operating cash outflow of £958,973 and an increase in fund balances of £1,165,722 (2022: increase £709,761) at the year end.

The Foundation’s funding came from cash generated from fee income and the fees in advance scheme that the Foundation operates. Of the cash flow generated, £278,674 repaid bank loans and £1,280,020 funded capital items.

Reserves Policy

It is the Governors’ policy not to accumulate and retain funds but to spend, wisely, the available cash on maintenance, and on enhancement of the Foundation school’s facilities. Such enhancements usually involve significant capital sums and are therefore normally only undertaken as and when funds on a sufficient scale, built up over a number of years, become available. This policy means the Foundation does not hold a large reserve for any length of time. Moreover, as the fees are paid in advance and the short-term flow of income and expenditure is relatively predictable, the Foundation does not, as a matter of policy, hold reserves to cover say a whole term’s operating costs.

The Foundation’s total reserves of £17,287,325 at the year-end included £1,936,598 restricted funds and £15,350,127 unrestricted funds. Included in the reserves is a permanent endowment fund of £1,695,739, which is subject to specific conditions by donors that the capital must be maintained by the Charity.

The Foundation has no free reserves at the balance sheet date due to the investment of funds in tangible fixed assets, largely buildings for use within the Foundation. However, the Governors regularly examine the Foundation cash flows alongside the development plans for the future and are satisfied that they are adequate for the purpose of meeting its working capital requirements, by careful management of short-term liquid reserves, and that they will also cover strategic capital expenditure when complimented with an appropriate amount of loan finance. This has been reviewed in light of the pandemic and given the current climate the Governors are satisfied with the level of reserves held, however this will continue to be reviewed at F&GP meetings.

THE ALDENHAM FOUNDATION GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

SECTION 172 STATEMENT

The Directors, who are the Trustees of the Foundation, confirm that in accordance with Section 172 of the Companies Act they act in a way that they would consider be most likely to achieve the purposes of the School. In making this assessment the Directors have considered the following:

1) The likely consequences of any decision in the long term

The long-term position of the Foundation is considered by the Directors as set out in the Going Concern section. The Directors review annual budgets and termly management accounts at the F&GP Committee meeting and Full Governors meeting.

2) The Interests of the Foundation’s employees

The Foundation values it’s staff highly and recognises that it can only be successful with the support and loyalty of it’s staff members. The educational outcomes and experience of the pupils is dependent upon the stability and quality of the staff body. The Heads of the Schools are responsible for communicating and support their respective staff body, and in turn they are supported by the Head/Ceo, Bursar and Director of Finance and HR, along with a centralised HR Department that monitors staff wellbeing and engagement.

The Governors receive regular reports on staff matters through the respective Heads’ termly reports and all Governors conduct visits to school where opportunity is made for direct staff engagement.

All staff were involved in the early stages of the strategic plan development, and all are updated on the plan and priorities at the start of each academic year.

The Foundation has complied with the UK’s Equality Act 2010 (Gender Pay Gap Information) Regulations that came into effect in April 2017, and the report is available on the website.

3) The need to foster the Foundation’s relationships with suppliers, customers and others

Fostering a successful and positive relationship with the pupils and parents of the Foundation is key to the success of the Foundation. Parental engagement is maintained via weekly newsletters and during the year there are several parent events where they have the opportunity to meet staff both socially and to discuss pupil progress. This culminates in an annual Prizegiving/Visitation Day at the end of term where parents have the opportunity to reflect on the year’s successes and academic achievements.

All suppliers are treated fairly and promptly with their business terms being adhered to.

4) The impact of the Foundation’s operations on the community and environment

See page 8 and 9 for partnership links.

The Foundation is complying with the Streamlined Energy and Carbon Reporting (SECR) requirements and the details are on page 15 below.

5) The desirability of the Foundation maintaining a reputation for high standards of business conduct

The Foundation’s bribery and whistleblowing policies, as approved by the Governing Body, sets out the responsibilities for staff to report any incidents or suspicion of fraud, bribery or corruption arising in the course of their work to cooperate fully with any such investigations.

6) The need to act fairly as between members of the company

All Governors and senior staff complete an annual Conflicts of Interest and Related Party form. There have been no incidents reported of inappropriate relationships.

THE ALDENHAM FOUNDATION

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

Streamlined Energy and Carbon Report

With regards to the energy and carbon usage, during the year the total energy use by the Foundation for the period Oct 22 to Oct 23 was for gas 3,937,075 kwh and for electricity 1,302,894 kwh. This equates to 67 tonnes less CO2e which is equivalent of a 6.2% decrease on last year’s figures. This reduction is extremely pleasing and is testament to the Foundations ongoing drive to reduce our carbon footprint.

The Foundation remains committed to reduce our carbon footprint further and during this year the investment was made on the following items:

Installed a new DACHS Gen2 Combined Heat Pump and boiler system in a boarding house.
Installed new energy efficient heating system in maths building.
Replaced 34 old single pane windows with new doubled glazed units in a boarding house.
Installed secondary glazing in Grade 2 listed building.
Installed insulation in three boarding house roof spaces.
Replaced old light with new LEDs across three teaching areas.
Projects that will be completed during this current academic year will include:
Installing a DACHS Gen2 CHP system and new boilers in the fourth boarding house.
Replace the aging and inefficient boiler system in a teaching building with significantly more energy efficient units that are also hydrogen compatible.
Continue the window replacement and insulation programme based on the results of the thermal imaging survey results.

FUTURE PLANS

With the appointment of Mrs Hems in September 2022, the current strategy document “Aldenham 2027” is being reviewed with the aim of being updated for the next ten years. Whilst not wanting to change the ethos of the schools, there will be adjustments and revisions to the strategy, that will be finalised in the coming months.

Of the previous objectives of the 2027 strategy, the Foundation has partnered in the opening of a Prep School in Riyadh, built a brand-new Prep School on the Aldenham site and expanded the facilities of the Senior School by the redeployment of the old Prep School, amongst many other things however with a new Head of Foundation and changes in society and technology it is time to review and update the document.

Once agreed, the Governors and Leadership team will be driving forward the strategy to strengthen the Foundation in the years to come, especially in light of current economic and political uncertainty and threats to the Independent Schools sector.

Going Concern

The Governors are confident that the Foundation has adequate resources to continue in operational existence for the foreseeable future and that there are no material uncertainties that call into doubt the Foundation’s ability to continue. The accounts have therefore been prepared on the basis that the Foundation is a going concern. The various committees meet on a termly basis and routinely discuss pupil numbers and results.

The biggest risk to the Foundation is fee affordability by the potential introduction of VAT on school fees and a Finance Focus Group has been created from the Governors to work on these matters and look in detail at this item to ensure that the Foundation remains in a stable position moving forward.

THE ALDENHAM FOUNDATION

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

________________

STATEMENT OF ACCOUNTING AND REPORTING RESPONSIBILITIES

The members of the Governing Body (who are also the Directors of the charitable company for the purpose of company law) are responsible for preparing the Annual Report and the financial statements for each financial year in accordance with applicable law and FRS102, the Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland.

Under company law the Governing Body members must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period. In preparing these financial statements, the Governing Body members are required to:

select the most suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charities SORP;
make judgments and accounting estimates that are reasonable and prudent;
state whether the applicable Financial Reporting Standard has been followed, subject to any material departures disclosed and explained in the financial statements; and
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.

The members of the Governing Body are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions, disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006 and the provisions of the charity’s constitution. They are also responsible for safeguarding the assets of the charity and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Insofar as each of the Directors, as members of the Governing Body, at the date of approval of this report is aware there is no relevant audit information (information needed by the Company’s auditor in connection with preparing the audit report) of which the Company’s auditor is unaware. Each member of the Governing Body has taken all the steps that he or she should have taken as a member of the Governing Body in order to make himself or herself aware of the relevant audit information and to establish that the Company’s auditor is aware of that information.

Approved by the Governing Body of The Aldenham Foundation, including, in their capacity as company directors, the Strategic Report contained therein, and signed on its behalf by:

Sarah Altman

Chair of Governing Body Dated: 12[th] December 2023

THE ALDENHAM FOUNDATION

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE ALDENHAM FOUNDATION

Opinion

We have audited the financial statements of the Aldenham Foundation (‘the charitable company’) and its subsidiaries (‘the group’) for the year ended 31 August 2023 which comprise the Consolidated Statement of Financial Activities, Consolidated Balance Sheet, Charity Balance Sheet, Consolidated Cash Flow Statement and notes to the financial statements, including 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 group’s and the charitable company’s affairs as at 31 August 2023 and of the group’s 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 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

In auditing the financial statements, we have concluded that the trustee's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's or the group’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information contained within the annual report. 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.

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 this gives rise to a material misstatement in the financial statements themselves. 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.

Opinions on other matters 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.

THE ALDENHAM FOUNDATION

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE ALDENHAM FOUNDATION

Matters on which we are required to report by exception

In light of the knowledge and understanding of the group and 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:

adequate and proper accounting records have not been kept; or
the 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 trustees

As explained more fully in the trustees’ responsibilities statement set out on page 16, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements

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

Details of the extent to which the audit was considered capable of detecting irregularities, including fraud and noncompliance with laws and regulations are set out below.

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 and group 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, taxation legislation, 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 and the group’s ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charitable company and the group for fraud. The laws and regulations we considered in this context for the UK operations were The Education (Independent School Standards) Regulations 2014, General Data Protection Regulation (GDPR), Health and Safety legislation, Taxation legislation and Employment legislation.

THE ALDENHAM FOUNDATION

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE ALDENHAM FOUNDATION

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

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Trustees and other management and inspection of regulatory and legal correspondence, if any.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within non-fee income and the override of controls by management. Our audit procedures to respond to these risks included enquiries of management and those charged with governance about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, substantive testing on non-fee income, reviewing accounting estimates for biases, reviewing regulatory correspondence with the Charity Commission, Independent Schools Inspectorate, Ofsted 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 non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the 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 nondetection 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.

Dipesh Chhatralia Senior Statutory Auditor For and on behalf of

Crowe U.K. LLP

Statutory Auditor London

Date: 27 February 2024

THE ALDENHAM FOUNDATION

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2023

(Including Income and Expenditure account)

Notes INCOME: School fees Ancillary income 3 Income from: Donations and legacies2 Investments Rents and lettings Other activities 4 Other trading activities 21 TOTAL INCOME EXPENDITURE: Raising funds Costs of financing and raising funds Trading expenditure 5/21 Charitable Activities Expenditure on education TOTAL EXPENDITURE 5 Operating surplus/(deficit) Net gains/(losses) on investments 10 Net Income/(deficit) Net movement in funds Fund balances at 1 September 2022 FUND BALANCES AT 31 AUGUST 2023	Unrestricte d funds Restricted funds Total 2023 £ £ £ 19,622,013 - 19,622,013 2,008,156 - 2,008,156 21,630,169 - 21,630,169 13,115 96,650 109,765 14,361 - 14,361 78,094 - 78,094 233,920 - 233,920 342,687 - 342,687 682,177 96,650 778,827 22,312,346 96,650 22,408,996 412,037 412,037 221,227 221,227 20,505,333 156,241 20,661,574 21,138,597 156,241 21,294,838 1,173,750 (59,591) 1,114,158 49,223 2,340 51,563 1,222,973 (57,251) 1,165,721 1,222,973 (57,251) 1,165,721 14,127,479 1,994,125 16,121,604 15,350,451 1,936,874 17,287,325	Total 2022 £ 18,498,442 1,140,207
		19,638,649 240,401 10 68,513 86,085 192,508
		587,517
		20,226,166
		213,755 102,432 18,979,702
		19,295,889 930,277 (220,516)
		709,761
		709,761 15,411,843
		16,121,604

Operations throughout both periods were from continuing activities.

Aldenham uses the exemption conferred by section 408 of the Companies Act 2006 in not preparing a separate Income and Expenditure account for the separate entities.

Included within the balance brought forward on restricted funds is a permanent endowment of £1,695,739 (Note 15)

The notes on pages 23 to 39 form part of these financial statements.

THE ALDENHAM FOUNDATION

CONSOLIDATED BALANCE SHEET AS AT 31 AUGUST 2023

______________

Notes Fixed assets Tangible assets 9 Investment Assets 10 Current assets Debtors 11 Cash at bank and in hand Creditors: amounts falling due within one year 12 Net current liabilities Total assets less current liabilities Creditors: amounts falling due after more than one year 13 NET ASSETS Endowment funds 15 Restricted funds 16 Total restricted funds Unrestricted funds General funds 17 Total unrestricted funds TOTAL FUNDS 17	GROUP 2023 £ 21,477,072 4,012,300 25,489,372 1,394,181 3,668,205 5,062,386 (6,218,107) (1,155,721) 24,333,651 (7,046,326) 17,287,325 1,695,739 241,135 1,936,874 15,350,451 15,350,451 17,287,325	GROUP 2022 £ 21,649,508 3,960,737 25,610,245 905,628 2,709,232 3,614,860 (5,633,937) (2,019,077) 23,591,168 (7,469,564) 16,121,604 1,695,739 298,386 1,994,125	FOUNDATION 2023 £ 21,477,072 3,662,500 25,139,572 1,721,602 3,517,070 5,238,672 (6,035,829) (797,157) 24,342,415 (7,046,326) 17,296,089 1,695,739 241,135 1,936,874 15,359,215 15,359,215 17,296,089	FOUNDATION 2022 £ 21,649,508 3,610,937
				25,260,445 1,292,313 2,605,543
				3,897,856 (5,561,597)
				(1,663,741)
				23,596,705 (7,469,564)
				16,127,141
				1,695,739 298,386
				1,994,125
		14,127,479 14,127,479 16,121,604		14,133,016
				14,133,016

				16,127,141

The notes on pages 23 to 39 form part of these financial statements.

The result of the Group for the year ended 31 August 23 was a surplus of £1,165,722 (2022: £709,761 surplus).

The accounts were approved by the Board of Governors on the 12[th] of December 2023

___ ____ S Altman D Tidmarsh Governor Governor

The accompanying notes form an integral part of these financial statements.

THE ALDENHAM FOUNDATION

CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 AUGUST 2023

______________

Notes Net cash inflow from operating activities 18 Cash flows from investing activities: Investment income Payments to acquire tangible fixed assets Payments to acquire investments Financing costs Net cash used in investing activities Cash flows from financing activities: Repayment of long-term bank loan New bank loan for Prep School Net cash used in financing activities Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beginning of reporting period Cash and cash equivalents at the end of reporting period	2023 £ 2,853,234 14,361 (1,280,020) - (349,929) (1,615,588) (278,674) (278,674) 958,973 2,709,232 3,668,205	2022 £ 2,405,942 10 (790,669) (1,350,000) (156,520)
		(2,297,179)
		(366,572) -
		(366,572)
		(257,809)
		2,967,041

		2,709,232

The notes on pages 23 to 39 form part of these financial statements.

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2023

The Aldenham Foundation is constituted as a company limited by guarantee, without a share capital, registered in England, No. 01847134, and is registered with the Charity Commission under Charity No. 298140. The Foundation’s principal activity is the advancement of education of children and students in the United Kingdom and elsewhere such education to be consistent with the doctrines of the Church of England.

1 Accounting policies

1.1 Basis of preparation

The financial statements have been prepared under the historical cost convention in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102), the Companies Act 2006 and the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

The governors have given due regard to the guidance on public benefit issued by the Charity Commission.

The Governors have reviewed the forecasts upto December 2025 taking into account cost pressures in terms of higher interest rates, increased cost of living and the impact of the energy crisis, and are satisfied that the revised budget and cashflows produced are realistic and ensure that the Foundation has adequate resources to continue in operational existence for the foreseeable future. The accounts have therefore been prepared on the basis that the Foundation is a going concern.

Basis of consolidation

The group financial statements consolidate the results of The Aldenham Foundation and the Foundation’s subsidiaries, Aldenham Enterprises Limited and Aldenham Schools Holdings Ltd.

No separate Statement of Financial Activities of the Foundation has been presented, as permitted by s406 of the Companies Act 2006. The gross income of the Foundation was £22,408,996 (2022: £20,226,166). The movement in funds (net income) of the Foundation was £1,165,722 (2022: £709,761).

1.2 Income

School fees are accounted for in the period in which the service is provided. Fees receivable are before deduction for bursaries and scholarships granted by the school. Fee income received in advance is deferred.

Voluntary income, including donations, gifts and legacies are recognised when there is entitlement, probability of receipt and if the amount can be measured with sufficient reliability. Such income is only deferred when either the donor specifies that the grant or donation can only be used in a future accounting period, or if the donor has imposed conditions that must be met before the charity has unconditional entitlement.

Investment income and other incoming resources are recognised on a receivable basis.

Government grants are recognised on the performance model, when the School has complied with any conditions attaching to the grant and the grant will be received. The grant in connection to the job retention scheme has been recognised in the period to which the underlying furloughed staff costs relate to.

1.3 Expenditure

Resources expended are recognised in the period in which they are incurred with liabilities being recognised where there is a legal or constructive obligation to pay.

Resources expended are allocated to a particular activity where the costs relate directly to that activity. Resources expended have been allocated on the basis indicated below:

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2023

1.3 Expenditure (Continued)

Charitable activities: These are costs directly attributable to the operation of the school.
Governance costs: These include the cost of governance arrangements which relate to the general running of the charity as opposed to the direct management functions inherent in the charitable activity. This includes such items as external audit and costs associated with constitutional and statutory requirements.
Raising funds include all direct fundraising expenditure associated with running the development office.
Support costs: These include all the costs relating to the management, administration and running the central functions of the school.

1.4 Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:

Freehold land not depreciated Freehold buildings up to 50 years Sports pitch and equipment 4-10 years Fixtures, fittings and equipment 3-10 years Motor vehicles 4 years

All expenditure over £5,000, or £500 for IT costs, is identified as a new tangible fixed asset or as an improvement to an existing tangible fixed asset and is capitalised. Where on review an impairment of a fixed asset is identified, the value of the fixed asset is reduced or eliminated in line with the review. All tangible fixed assets are regarded as operational assets.

1.5 Stock

Stock is carried at the lower of cost and net realisable value.

1.6 Leasing

Rentals payable under operating leases are charged against income on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.

1.7 Investments

Investments are stated at market value and any gain or loss on revaluation or on disposal of fixed asset investments is taken to the Statement of Financial Activities.

1.8 Pensions

The Aldenham Foundation, along with many other schools, contributes to the defined benefit scheme operated by the Government Teachers Pension Agency and known as the Teachers’ Pension Scheme. The Teachers’ Pension Scheme is a multi-employer scheme as defined in the transitional arrangements of FRS102 and accordingly, the schools are required to treat the scheme as a defined contribution scheme.

The regular cost of providing retirement pensions and related benefits is charged to the Statement of Financial Activities over the employees’ service lives on the basis of a constant percentage of earnings. Any difference between the charge to the Statement of Financial Activities and the contributions paid to the scheme is shown as an asset or liability in the balance sheet.

The Aldenham Foundation also contributes to one externally invested defined contribution scheme for staff who are not eligible for the Teachers’ Pension scheme and the pension costs charged to the statement of financial activities represent the contributions payable by the charity during the year. In addition, The Aldenham Foundation contributes to personal pension schemes for two employees pre-dating the introduction of the school’s own defined contribution scheme.

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2023

______________

1.9 Accumulated Funds

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the Charity. Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the accounts.

The Governors may designate monies held by the charity for specific purposes, particularly when building up funds for investment by the charity into further educational facilities and projects and additional bursarial funds, in order to have resources available to provide assistance to those who would otherwise be unable to attend the school.

Unrestricted funds are school fees, donations and other incoming resources received or generated for charitable purposes.

1.10 Financial Instruments

Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised value with the exception of investments which are held at fair value and based upon market valuation at that date. Financial assets held at amortised cost comprise cash at bank and in hand, together with parent and other debtors.

A specific provision is made for debts for which recoverability is in doubt. Cash at bank and in hand is defined as all cash held in instant access bank accounts and used as working capital.

Financial liabilities held at amortised cost comprise all creditors except social security and other taxes and provisions. Assets and liabilities held in foreign currency are translated to GBP at the balance sheet date at an appropriate year end exchange rate.

The value of financial assets held at fair value at year end totalled £3,662,500 (2022 £3,610,737).

1.11 Critical Accounting Judgements and Key Sources of Estimation Uncertainty

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

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affected current and future periods. In the view of the governors, no assumptions concerning the future or estimation uncertainty affecting assets or liabilities at the balance sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year.

The accounting policies have been applied consistently in dealing with items which are considered material in relation to the Foundation’s financial statements.

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2023

______________

2 Donations and Legacies

Name of donor	Unrestricted	Restricted	Total £ 2023	Total £ 2022
Whitbread Fund	-	-	-	12,000
Richard Platt Foundation	-	23,101	23,101	15,967
ASWMEF	-	9,000	9,000	9,000
Martineau's Trust	-	8,657	8,657	8,500
Brewers Company	-	18,000	18,000	18,000
GCT	13,115	37,892	51,007	176,934
Other donations and gifts	-	-	-	-
	13,115	96,650	109,765	240,401

3 School Fees and Ancillary Income The Foundation’s fee income comprised the following: Gross fees Less: Bursaries and scholarships Add back: Bursaries paid for by Restricted funds	2023 £ 21,336,313 (1,768,087) 19,568,226 53,787 19,622,013	2022 £ 20,065,419 (1,659,705)
		18,405,714 92,728
		18,498,442

The ancillary income of £2,008,156 includes recharges of coach transport, surface devices, instrumental lessons, after and before school activities and educational trips and events. The costs relating to ancillary income are included in educational activities, other and staff costs, below.

The number of pupils (not FTE in the nursery) educated across the Foundation is given below:

	Average	Average
	2023	2022
Aldenham Nursery	20	18
Aldenham Prep	143	133
Aldenham Senior	702	673
Total Aldenham pupils	865	824
St Hilda’s Nursery	42	42
St Hilda’s Prep	100	113
	142	155
TOTAL FOUNDATION	1,007	979

4 Other Activities

In 2023 there was a large receipt from insurers, relating to storm damage during the previous academic year, of £187k. The remedial work has now been carried out and the costs are included in expenditure.

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

5 Expenditure

5a Staff costs Other costs Depreciation £ £ £ Charitable Activities Educational activities 9,338,683 3,035,735 423,306 Welfare (including catering) 320,163 1,646,862 0 Premises 891,141 1,560,240 1,029,150 Support costs of schooling 1,606,797 653,257 0 Grants, awards and funded resources (Note 5b) 0 156,241 0 12,156,784 7,052,335 1,452,456 Trading expenditure 43,618 177,609 0 Development office 46,268 15,840 0 Bank loan interest and charges 0 349,929 0 89,886 543,378 0 Total Expenditure 12,246,670 7,595,713 1,452,456 5b Grants, awards and funded resources From Restricted resources: Bursaries and scholarships Prizes Direct teaching resources (funded by Aldenham General Charitable Trust)		Staff costs Other costs Depreciation £ £ £ 9,338,683 3,035,735 423,306 320,163 1,646,862 0 891,141 1,560,240 1,029,150 1,606,797 653,257 0 0 156,241 0	Total 2023 Total 2022 £ £ 12,797,724 11,259,139 1,967,025 1,898,296 3,480,531 3,577,795 2,260,054 2,097,031 156,241 147,441
		12,156,784 7,052,335 1,452,456	20,661,575 18,979,702
		43,618 177,609 0 46,268 15,840 0 0 349,929 0	221,227 102,432 62,108 57,235 349,929 156,520
		89,886 543,378 0	633,264 316,187

		12,246,670 7,595,713 1,452,456	21,294,839 19,295,889
			Total 2023 Total 2022 £ £ 53,787 92,728 226 275 102,228 54,438
			156,241 147,441

6 Support Costs of Schooling Salaries Staff recruitment, travel and training Communications and network Telephone, postage, printing, stationery Miscellaneous administration costs Governance costs	2022 2022 £ £ 1,498,044 1,342,489 24,466 18,128 81,622 56,178 92,405 94,441 388,643 438,202 174,874 147,593
	2,260,054 2,097,031

The total salary cost is £1,606,797 as per above, however some staff costs are allocated to governance for the Head of Foundation and Bursar.

7 Operating Profit

This is arrived at after charging the following:

Depreciation Operating lease expenses Fees payable to the company’s auditor for audit fees Fees payable to the company’s auditor for other services	2023 2022 1,452,456 1,430,788 268,004 126,909 49,080 43,080 7,980 5,730
	1,777,520 1,606,507

The increase in lease costs relates to the introduction of surface devices recharged to pupils.

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

8 Employees

Number of employees

The average monthly number of employees during the year was:

Number of employees The average monthly number of employees during the year was:
Teaching staff Fundraising and publicity Management and support staff Employment costs Wages and salaries Social security costs Other pension costs Payments made to peripatetic and temporary staff working at the school Other staff costs	2023 Number 181 4 91 276 2023 £ 9,266,857 979,096 1,671,835 11,917,788 69,900 258,982 12,246,670	2022 Number 178 4 91
		273
		2022 £ 8,892,203 948,968 1,472,594
		11,313,765 103,046 60,316
		11,477,127

The number of employees whose annual taxable emoluments were £60,000 or more were:

	2023	2022
£60,000 - £70,000	21	12
£70,000- £80,000	3	5
£80,000- £90,000	3	2
£90,000- £100,000	1	0
£100,000- £110,000	0	1
£110,000- £120,000	1	0
£120,000-£130,000	0	1
£130,000-£140,000	1	0
£160,000-£170,000	1	0
£200,000-£210,000	0	1

The aggregate amount of total employee salary and benefits for the Key Management Personnel/Foundation’s Leadership Group (FLG) was £985k (2022: £1,004k). The FLG do have other teaching and support responsibilities.

All but 2 (2022: 2) of these employees are members of the defined benefit pension scheme. Those not included are members of the defined contribution pension scheme and employer payments of £ (2022: £10,973) were made on their behalf.

During the year there were redundancy and settlement payments made of £165,843 (2022 Nil).

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

______________

9 Fixed Assets

GROUP Cost At 1 September 2022 Additions Transfers Disposals At 31 August 2023 Depreciation At 1 September 2022 Eliminated on disposal Charge for the year At 31 August 2023 Net book value At 31 August 2022 At 31 August 2023 FOUNDATION Cost At 1 September 2022 Additions Transfers Disposals At 31 August 2023 Depreciation At 1 September 2022 Eliminated on disposal Charge for the year At 31 August 2023 Net book value At 31 August 2022 At 31 August 2023	Land and buildings Sports pitch and equipment Library Fixtures, fittings and equipment Motor Vehicles Total £ £ £ £ £ £ 28,273,849 1,211,482 25,000 4,144,221 242,895 33,897,447 39,411 262.726 - 860,866 117,017 1,280,020 (43,562) (43,562)
	28,313,260 1,474,208 25,000 5,005,087 316,350 35,133,905
	(7,921,596) (838,306) (3,325,546) (162,491) (12,247,939) 43,562 43,562 (1,029,906) (60,785) (315,418) (46,347) (1,452,456)
	(8,951,500) (899,091) (3,640,964) (165,276) (13,656,833)
	20,352,253 373,176 25,000 818,675 80,404 21,649,508
	19,361,758 575,117 25,000 1,364,123 151,074 21,477,072
	Land and buildings Sports pitch and equipment Library Fixtures, fittings and equipment Motor Vehicles Total £ £ £ £ £ £ 28,273,849 1,211,482 25,000 4,123,020 242,895 33,876,246 39,411 262.726 - 860,866 117,017 1,280,020 (43,562) (43,562)
	28,313,260 1,474,208 25,000 4,983,886 316,350 35,112,704
	(7,921,596) (838,306) (3,304,345) (162,491) (12,226,738) 43,562 43,562 (1,029,906) (60,785) (315,418) (46,347) (1,452,456)
	(8,951,500) (899,091) (3,619,763) (165,276) (13,635,632)
	20,352,253 373,176 25,000 818,675 80,404 21,649,508
	19,361,760 575,117 25,000 1,364,123 151,074 21,477,072

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

_________________

10 Fixed Asset Investments

Investment in subsidiary – Aldenham Enterprises Ltd Aldenham Schools Holdings (ASH) Investment in AEG Listed Investments: Market value at 1 September Additions Movement on valuation in year Market value at 31 August TOTAL Historical cost of listed investments	GROUP 2023 £ - - 350,000 3,610,737 51,563 3,662,300 4,012,300	GROUP 2022 £ - 350,000 2,831,253 1,000,000 (220,516) 3,610,737 3,960,737 2,927,644	FOUNDATION 2023 £ 100 100 3,610,737 51,563 3,662,300 3,662,500	FOUNDATION 2022 £ 100 100 - 2,831,253 1,000,000 (220,516)
				3,610,737
				3,610,937
				2,927,644

The Foundation’s investments are managed by Sarasin Investment Fund Limited. The funds are held in Alpha CIF for Endowments.

The Foundation owns 100% of Aldenham School Holdings who in turn have a 40% shareholding in Aldenham Education DMCC, based in Dubai. The investment was moved from an Intercompany debtor to investments during the year.

11 Debtors

Fee and trade debtors Other debtors Prepayments Due from subsidiary	GROUP 2023 £ 413,800 73,187 907,194 1,394,181	GROUP 2022 £ 299,312 109,867 496,449 - 905,628	FOUNDATION 2023 £ 230,142 52,062 907,194 532,204 1,721,602	FOUNDATION 2022 £ 203,625 93,055 496,449 499,184 1,292,313

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

_________________

12 Creditors: Amounts falling due within one year

Bank loans Taxes and social security costs Other creditors and accruals Trade creditors Refundable deposits Fees in advance Advance fee scheme	GROUP 2023 £ 440,607 250,863 1,104,133 697,368 1,294,836 1,616,056 814,245 6,218,107	GROUP 2022 £ 440,607 236,659 976,451 510,378 1,334,677 1,175,214 959,951 5,633,937	FOUNDATI ON 2023 £ 440,607 250,863 967,273 651,949 1,294,836 1,616,056 814,245 6,035,829	FOUNDATION 2022 £ 440,607 236,659 971,092 443,396 1,334,677 1,175,214 959,951
				5,561,596

Bank Loans

The bank loan is the capital element due within one year.

Refundable deposits

Deposits are placed when pupils join the school and credited against fees and disbursements for their last term.

Fees in advance

Fees in advance reflect advance payments of school fees for the forthcoming year, which are not part of the Advance Fee Scheme below.

Advance Fee Scheme

Parents may enter into a contract to pay to the school multiple years' fees in advance. The advance fee creditor represents the school’s liability under the contracts, to be utilised in the forthcoming year. The movements in the year were:

Advance Fee Scheme - Group & Foundation (combined)

Balance at beginning of year Monies deposited into scheme Amounts utilised in payment of fees Balance at the end of the year Utilised within 1 year Utilised within more than 1 year	2023 £ 2,627,586 836,249 (1,126,519) 2,337,316 814,245 1,523,071 2,337,316	2022 £ 2,891,828 762,603 (1,026,845)
		2,627,586
		959,951 1,667,635
		2,627,586

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

______________

13 Creditors: Amounts falling due after more than one year

Bank loans Advance Fee Scheme Other creditors and accruals Bank loan maturity analysis Debt due in one year or less In more than one year but not more than two years In more than two years but not more than five years In more than five years	GROUP 2023 £ 5,523,255 1,523,071 7,046,326 440,607 440,607 1,321,821 3,760,827 5,963,862	GROUP 2022 £ 5,801,929 1,667,635 - 7,469,564 440,607 440,607 1,321,821 4,039,501 6,242,536	FOUNDATION 2023 £ 5,523,255 1,523,071 7,046,326 440,607 440,607 1,321,821 3,760,827 5,963,862	FOUNDATION 2022 £ 5,801,929 1,667,635
				7,469,564
				440,607 440,607 1,321,821 4,039,501
				6,242,536

Bank loans

The bank loans are secured on the freehold land and buildings at the School. The loans outstanding at 31 August 2023 secured on Aldenham School represents 30.8% of the carrying value of the land and buildings of the school.

A new bank loan agreement was signed on the 29[th] of November 2019 to fund the build of the new Prep School. The loan is to be repaid over a 15-year period commencing September 2021. The rate agreed is 1.39% over base rate. The final amount of the total amount borrowed was £6,609,108 and with amortised interest the total commitment of the loan is £8,585,641 at today’s rates. The loan can be repaid at any time without penalty. The interest element is written off as an expense in the SOFA, and the above refers to the capital element only.

Advance fee scheme

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

14 Pension and other post-retirement benefit commitments

The Foundation participates in the Teachers’ Pension Scheme (England and Wales) (“the TPS”) for its teaching staff. The pension charge for the year includes contributions payable to the TPS of £1,378,087 (2022: £1,330,639) and at the year-end £166,242 (2022: £157,444) was accrued in respect of contributions to this scheme.

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

The employer contribution rate is set by the Secretary of State following scheme valuations undertaken by the Government Actuary’s Department. The most recent actuarial valuation of the TPS was prepared as at 31 March 2020 and the Valuation Report was published in October 2023.

Following the McCloud judgement, the remedy proposed that when benefits become payable, eligible members can select to receive them from either the reformed or legacy schemes for the period 1 April 2015 to 31 March 2022. The actuaries have assumed that members are likely to choose the option that provides them with the greater benefits, and in preparing the 2020 valuation have valued the ‘greater value’ benefits for groups of relevant members.

The valuation confirmed that the employer contribution rate for the TPS would increase from 23.6% to 28.6% from 1 April 2024. Employers are also required to pay a scheme administration levy of 0.08% giving a total employer contribution rate of 28.68%.

For employees not eligible for the Teachers’ Pension scheme, the Foundation contributes to a direct contribution scheme run by AVIVA (the Norwich Union) and investing in AVIVA (Norwich Union Pension funds). The minimum employee contribution for those who have not opted out is 5% and the Foundation’s contribution is 10%. During the year the Foundation contributed £292,353 (2022: £143,650) into the scheme and at the year-end there were no contributions remaining outstanding (2022: Nil). These amounts include charges and liabilities relating to the Foundation’s auto-enrolment arrangements that applied with effect from 1 April 2014.

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

15 Endowment funds

The permanent endowment fund is represented by the land and buildings detailed in part 1 of the Charity Commission Scheme sealed on 27 November 1995. The value of the fund at 31 August 2023 and 31 August 2022 was £1,695,739.

16 Restricted Funds

The funds of the charity include restricted funds comprising the following unexpended balances of donations held on trust for specific purposes:

GROUP & FOUNDATION (Combined)

GROUP & FOUNDATION	(Combined)
Fund Rodney Fitzgerald Memorial Jukes Fund Aldenham Foundation General Charitable Trust Sundry Donations Received Brewers Company General Charitable Trust-Annual Fund Whitbread Fund Richard Platt Foundation ASWMEF Brewers Co. - Martineau’s Trust for Prizes Brewers Co. - Martineau’s Trust for Scholarships Brewers Co. - Martineau’s- General	Balance at 1 Sept 2022 Income Expenditure Investment gains Balance at 31 August 2023 £ £ £ £ £ - 163,851 - - 2,340 166,191 66,035 37,892 (103,927) - - 23,366 18,000 (19,245) - 22,121 6,199 - (6,000) 199 21,472 23,101 (10,549) 34,024 9,000 (9,000) - 226 (226) - 729 1,831 (2,492) 68 16,735 6,600 (4,802) 18,533
	298,387 96,650 (156,241) 2,340 241,135

Out of the donations received from Aldenham Foundation General Charitable Trust, £6,500 funded a bursary for a pupil and the remainder funded departmental resources. The total bursaries and scholarships funded by donations totalled £53,787.

The Rodney Fitzgerald Memorial Fund reflects an interim distribution from the estate of a former pupil of the school. The funds were left to the school for the provision of bursaries for those with sporting abilities.
The Jukes Fund represents a legacy to be used for pupil scholarships and bursaries where the parents of existing pupils fall into financial difficulty (as a result of illness or redundancy, or for any other such reason which the Governors deem necessary).
The Brewers Bursary Fund represents an historical sum received from The Aldenham School General Charitable Trust which is to be used in providing pupil bursaries for larger or longer-term bursaries at the Headmaster’s discretion.
The Brewer’s Company, Martineau’s Trust funds are restricted funds that are restricted for 3 different uses. The General fund is to be used in the Senior School and it has been agreed that it will benefit Martineau’s Junior House.
The Whitbread Fund is used for 6th form bursaries for pupils, at the Head’s discretion, who would not be able to remain in the school to continue their education in the 6th form without financial support.
The Richard Platt Foundation fund is an endowed fund and the income is distributed to various beneficiaries, of which Aldenham School is one. It is a restricted fund that must be used in the senior school.
The Aldenham School War Memorial Educational Fund or "ASWMEF", was a fund set up at the end of World War 1, and is a fund used for bursaries.

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

______________

17 Analysis of net assets between funds

Fund balances as 31 August 2023 are represented by:

Unrestricted funds Restricted funds £ £ 19,781,333 - 3,846,109 166,191 (1,230,665) 74,944 (7,046,326) -	Endowment funds £ 1,695,739 - - -	Total funds £ 21,477,072 4,012,300 (1,155,721) (7,046,326)
15,350,451 241,135	1,695,739	17,287,325
19,781,333 - 3,496,309 166,191 (872,101) 74,944 (7,046,326) -	1,695,739 - - -	21,477,072 3,662,500 (797,157) (7,046,326)
15,359,215 241,135	1,695,739	17,296,089
	2023 £ 1,114,157 (14,361) 349,929 1,452,456 0 (488,554) 439,607 2,853,234	2022 £ 930,277 (10) 156,520 1,430,788 31,449 149,284 (292,366)
		2,405,942

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

______________

19 Commitments

The Charity has annual commitments under non-cancellable operating leases as follows:

Within one year Between two and five years Over 5 years	2023 £ 262,895 274,827 14,699 552,421	2022 £ 90,815 165,929 -
		256,744

The increase in lease commitments is due to the introduction of surface devises for all pupils. The cost of these are charged onto parents and included in ancillary income.

There are no capital commitments at year end.

20 Related party transactions

The Board of Governors

The Board of Governors of the Foundation did not receive any remuneration during the year. Three Governors were reimbursed for expenses where appropriate, totalling £2,168.13.

There were no transactions with parties related to the Board of Governors during the year (2022: £0).

Aldenham School General Charitable Trust (“the Trust”)

The Trust is independent of the Foundation but is substantially under the same management. During the year Aldenham Foundation received donations of £50,349 (2022: £176,934) from the Trust.

Aldenham Enterprises Ltd

During the year there were intercompany transactions with Aldenham Enterprises Ltd amounting to £ 88,482 (2022 £68,961) for salary recharges and other intercompany items. In addition to this the annual profits of £113,788 have been accrued and included in the intercompany debtor balance at the year-end of £130,092 (2022 £101,071).

Aldenham Schools Holdings Ltd

During the year there were intercompany transactions of £4,000 and at year end the intercompany debtor balance was £362,111, which represents the initial loan to Aldenham Schools Holdings Ltd to fund their investment in the overseas Company Aldenham Education Group DMCC.

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

______________

21 Subsidiaries of The Aldenham Foundation

Aldenham Enterprises Limited is incorporated in the United Kingdom (No. 01635965) and is a wholly owned trading subsidiary of The Aldenham Foundation.

Aldenham Schools Holdings Ltd, is a registered company in England, No. 11923888 (“ASH”) and is a wholly owned subsidiary of The Aldenham Foundation.

A summary of results for the year and financial position at 31 August 2023 is shown below.

Incoming resources Operating expenditure Gift aid donation to the Foundation Result for year Assets Liabilities Called up Share Capital Profit and Loss account Total funds	AEL ASH 2023 2022 2023 2022 £ £ £ £ 342,687 192,508 - - (228,899) (108,950) (4,078) (5,232) (112,936) (83,235) - - 852 323 (4,078) (5,232) 355,375 214,065 350,543 350,622 (352,371) (211,913) (362,111) (358,112) 3,004 2,152 (11,568) (7,490) 100 100 100 100 2,904 2,052 (11,668) (7,590) 3,004 2,152 (11,568) (7,490)	AEL ASH 2023 2022 2023 2022 £ £ £ £ 342,687 192,508 - - (228,899) (108,950) (4,078) (5,232) (112,936) (83,235) - - 852 323 (4,078) (5,232) 355,375 214,065 350,543 350,622 (352,371) (211,913) (362,111) (358,112) 3,004 2,152 (11,568) (7,490) 100 100 100 100 2,904 2,052 (11,668) (7,590) 3,004 2,152 (11,568) (7,490)
		323 (4,078) (5,232)
		214,065 350,543 350,622 (211,913) (362,111) (358,112)
		2,152 (11,568) (7,490)
		100 100 100 2,052 (11,668) (7,590)
		2,152 (11,568) (7,490)

The operating expenditure above includes intercompany transactions (see note 20) that are eliminated upon consolidation in the Statement of Financial Activities on page 18 and therefore the figures do not agree on the face of the SOFA.

ASH has a 40% shareholding in Aldenham Education DMCC, and £350,000 of the assets above reflects the investment in Aldenham Education DMCC.

22 Members’ Liability

Each member of the company undertakes to contribute to the assets of the company in the event of the company 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 £100 each for the debts and liabilities contracted before they ceased to be a member.

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

______________

23. Consolidated Statement of Financial Activities for the year ending 31[st] August 2022

Notes INCOME: School fees Ancillary income 3 Income from: Donations and legacies2 Investments Rents and lettings Other activities 4 Other trading activities 21 TOTAL INCOME EXPENDITURE: Raising funds Costs of financing and raising funds Trading expenditure 5/21 Charitable Activities Expenditure on education TOTAL EXPENDITURE 5 Operating surplus/(deficit) Net gains/(losses) on investments 10 Net Income/(deficit) Net movement in funds Fund balances at 1 September 2021 FUND BALANCES AT 31 AUGUST 2022	Unrestricted funds Restricted funds Total 2022 £ £ £ 18,498,442 18,498,442 1,140,207 1,140,207 19,638,649 19,638,649 47,488 192,913 240,401 10 10 68,513 68,513 86,085 86,085 192,508 192,508 394,604 192,913 587,517 20,033,253 192,913 20,226,166 213,755 213,755 102,432 102,432 18,832,261 147,441 18,979,702 19,148,448 147,441 19,295,889 884,805 45,472 930,277 (203,842) (16,674) (220,516) 680,963 28,798 709,761 680,963 28,798 709,761 13,446,516 1,965,327 15,411,843 14,127,479 1,994,125 16,121,604	Total 2021 £ 15,944,233 752,802
		16,697,035 97,276 128 9,643 123,521 60,771
		291,339
		16,988,374
		159,431 38,369 17,194,302
		17,392,102 (403,728) 274,558
		(129,170)
		(129,170) 15,541,013
		15,411,843

THE ALDENHAM FOUNDATION

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

24. Restricted funds 2022

GROUP & FOUNDATION (Combined)

GROUP & FOUNDATION	(Combined)
Fund Rodney Fitzgerald Memorial Jukes Fund Aldenham School General Charitable Trust Sundry Donations Received Brewers Company General Charitable Trust-Annual Fund Whitbread Fund Richard Platt Foundation ASWMEF Brewers Co. - Martineau’s Trust for Prizes Brewers Co. - Martineau’s Trust for Scholarships Brewers Co. - Martineau’s- General	Balance at 1 Sept 2021 Income Expenditure Investment gains Balance at 31 August 2022 £ £ £ £ £ 6,560 - (6,560) - 198,498 - (17,973) (16,674) 163,851 - 129,446 (63,412) 66,035 - - - - 24,131 18,000 (18,765) 23,366 6,199 12,000 (12,000) 6,199 17,339 15,967 (11,834) 21,472 - 9,000 (9,000) - - 275 (275) - 2,099 2,225 (3,595) 729 14,762 6,000 (4,027) 16,735
	269,588 192,913 (147,441) (16,674) 298,386

GROUP & FOUNDATION

(Combined)

Fund
Rodney Fitzgerald
Memorial
Jukes Fund
Aldenham School General
Charitable Trust
Sundry Donations Received
Brewers Company General
Charitable Trust-Annual
Fund
Whitbread Fund
Richard Platt Foundation
ASWMEF
Brewers Co. - Martineau’s
Trust for Prizes
Brewers Co. - Martineau’s
Trust for Scholarships
Brewers Co. - Martineau’s-
General

Balance at 1
Sept 2021
Income
Expenditure
Investment
gains
Balance at 31
August 2022
£
£
£
£
£
6,560
-
(6,560)
-
198,498
-
(17,973)
(16,674)
163,851
-
129,446
(63,412)
66,035
-
-
-
-
24,131
18,000
(18,765)
23,366
6,199
12,000
(12,000)
6,199
17,339
15,967
(11,834)
21,472
-
9,000
(9,000)
-
-
275
(275)
-
2,099
2,225
(3,595)
729
14,762
6,000
(4,027)
16,735

269,588
192,913
(147,441)
(16,674)
298,386

25. Analysis of net assets between funds 2022

Fund balances as 31 August 2022 are represented by:

GROUP Tangible fixed assets Investments Other net current liabilities Creditors: amounts falling due after more than one year FOUNDATION Tangible fixed assets Investments Other net current (liabilities)/ assets Creditors: amounts falling due after more than one year	Unrestricted funds Restricted funds Endowment funds Total funds £ £ £ £ 19,953,769 - 1,695,739 21,649,508 3,796,886 163,851 - 3,960,737 (2,155,383) 136,305 (2,019,077) (7,469,564) (7,469,564)
	14,125,709 300,156 1,695,739 16,121,604
	19,953,769 1,695,739 21,649,508 3,447,086 163,851 - 3,610,937 (1,800,045) 136,305 (1,663,740) (7,469,564) (7,469,564)
	14,131,246 300,156 1,695,739 16,127,141

THE ALDENHAM FOUNDATION

CONTENTS

______________

LEGAL AND ADMINISTRATIVE INFORMATION

________________

GOVERNORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2023

DIRECTORS’ REPORT

CONSTITUTION

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing documents

Governing Body

Recruitment and training of Governors

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

______________

Organisational management

Group structure and relationships

Employment and remuneration policy

Investment policy, objectives and performance

Principal Risks and Risk management

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

Principal Risks and Risk management (continued)

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

______________

OBJECTS, AIMS, OBJECTIVES AND ACTIVITIES

Mission statement

Charitable Objects

Intended impact

Aims

Primary objectives

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

Primary objectives (continued)

Principal activity

Public benefit

Bursaries

Other activities

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

Public Benefit (continued)

STRATEGIC REPORT

ACHIEVEMENTS AND PERFORMANCE

Review of achievements and performance for the year

ACHIEVEMENTS AND PERFORMANCE – Continued

ACHIEVEMENTS AND PERFORMANCE – Continued

Fundraising

FINANCIAL REVIEW

Results for the year

Reserves Policy

SECTION 172 STATEMENT

1) The likely consequences of any decision in the long term

2) The Interests of the Foundation’s employees

3) The need to foster the Foundation’s relationships with suppliers, customers and others

4) The impact of the Foundation’s operations on the community and environment

5) The desirability of the Foundation maintaining a reputation for high standards of business conduct

6) The need to act fairly as between members of the company

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

Streamlined Energy and Carbon Report

FUTURE PLANS

Going Concern

GOVERNORS’ REPORT (Continued) FOR THE YEAR ENDED 31 AUGUST 2023

STATEMENT OF ACCOUNTING AND REPORTING RESPONSIBILITIES

Sarah Altman

THE ALDENHAM FOUNDATION

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE ALDENHAM FOUNDATION

Opinion

Basis for opinion

Conclusions relating to going concern

Other information

Opinions on other matters prescribed by the Companies Act 2006

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE ALDENHAM FOUNDATION

Matters on which we are required to report by exception

Responsibilities of trustees

Auditor’s responsibilities for the audit of the financial statements

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

THE ALDENHAM FOUNDATION

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE ALDENHAM FOUNDATION

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

Use of our report

Crowe U.K. LLP

THE ALDENHAM FOUNDATION

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2023