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2023-03-31-accounts

THE EGGAR'S GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

Charity Registration No. 307277

ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Nominated trustees

Trustees
Nominated trustees Councillor A Joy
Mr T Cross
Councillor M Kemp-Gee
Mr S Cooney
Ms L Campbell
Mr M Green
Co-opted trustees Mr D-P Phillips
Mr R Powell OBE
Ms L Jones
Chair Mr D-P Phillips
Treasurer Ms M McCormack
Custodian trustee Hampshire County Council
Charity number 307277
Correspondance address Orchard House
Morestead
Hampshire
SO21 1LZ
Independent examiner NK Accountancy Limited
55 Windmill Lane
Alton
Hampshire
GU34 2SN
Solicitors Trethowans
The Pavilion
Botley Grange Business Park
Southampton
SO30 2AF
Investment advisors CCLA Investment Management Limited
80 Cheapside
London
EC2V 6DZ

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

CONTENTS

PAGE
Trustees' report 1-3
Independent examiner's report 4
Statement of financial activities 5
Balance sheet 6
Notes to the financial statements 7-13

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2023

The Trustees present their report and accounts for the year ended 31 March 2023.

The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity's Trust Deed, the Charities Act 2011 and 2022 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland published in October 2019.

Objectives and activities

Under the 8[th] May 2000 scheme, the object of the charity is the provision of items, services and facilities for Eggar’s and Amery Hill Schools which would not normally be provided by the relevant education authority or equivalent body responsible for the funding of the school.

If and in so far as the income of the Charity cannot be applied towards the object specified above, it may be applied in promoting the education of persons who are in need of financial assistance in the following order of priority:

The scheme limits the area of benefit to Eggar's School and Amery Hill School in Alton, Hampshire.

The Trustees have complied with the duty in Section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission. The trustees aim to provide public benefit by providing high quality significant enhancements at each of the schools, for the use of pupils and the wider local community.

Achievements and performance

On 14th January 2003 the Trustees approved the expenditure of £798,000 towards the provision of a sports hall at Eggar’s School (completed 2006) and £798,000 towards the provision of a drama studio and all-weather pitch at Amery Hill School (completed November 2004). £1,245,928 was borrowed from the permanent endowment funds under a scheme approved by the Charity Commission. As at 31st March 2023 the balance remaining to be repaid was £124,600.

Financial review

The charity’s investments are managed by CCLA. These generated investment gains/(losses) of £(165,248) (2022 - investment gains/(losses) of £398,263) and dividends of £49,091 (2022 - £91,851). The trustees are satisfied that their investment policy meets the objective of sustainably generating sufficient annual income to meet the capital repayment requirements and operating expenses of the charity.

There was an overall deficit of £132,062 for the year (2022 - surplus of £449,564).

Full use has been made of the powers to borrow from the Foundation’s permanent Endowment. This borrowing must be repaid to the Endowment from the Foundation’s unrestricted funds in equal instalments of £62,296 over the 20 years from the year commencing 1[st] April 2005. The current unrestricted reserves of £588,670 are being retained in view of this requirement in order to generate sufficient future investment income. This policy is subject to annual review.

1

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

Plans for future periods

The Trustees heard from both of the Heads of Eggar’s and Amery Hill Schools regarding their long term (3 to 5 year) plans going forward and areas where they were hoping to invest in infrastructure. Further to these presentations, the Trustees were informed that the Head of Eggar’s school was retiring and the Head of Amery Hill School was moving to another headship, and therefore new Heads of both schools would be starting in September 2023. The Chair and the Trustees felt it was very important to build a working relationship with both, and also to explore with them their vision for the future of the schools and how it would involve the Charity.

In April 2023 Amery Hill School asked for £76,000 for the refurbishment of the last two science laboratories. The work would be done over the summer holidays and the Trustees thought it was clearly in the interests of the pupils at Amery Hill as it would enhance their learning and could provide a boost to GCSE grades. The Trustees also agreed to pay for the cost of professionals for a CIF bid in the amount of £3,900 (no VAT) as the Schools should be supported by the Trust to facilitate or explore projects through the payment of initial professional fees.

Structure, governance and management

The Charity is constituted by a Trust Deed of 10th March 1938 whereby the then Board of Education established a scheme to divide the former Eggar’s Grammar School, Alton Foundation into two parts from 1st April 1938, to be known as ‘The Eggar’s Grammar School, Alton, Site Foundation’ and ‘The Eggar’s Grammar School, Alton, Endowment Fund’. This Charity is the former, in which, under the terms of the Trust Deed, was vested ‘the school site and premises of Eggar’s Grammar School, Alton’.

The trusts of the Charity were altered by the Charity Commission schemes dated 18th March 1998, 8th May 2000 and 25th July 2003, to permit the sale of land. The 8th May 2000 scheme rules require there to be six nominated and three co-opted Trustees. The nominated Trustees are appointed as follows:

The co-opted Trustees are appointed by the Trustees at a special meeting. Appointments are for a term of four years.

Policies and procedures for the recruitment, induction and training of new Trustees have been developed by the charity.

The day-to-day management of the Charity was delegated to officers of Hampshire County Council until November 2007, when the Charity appointed its own Clerk and Treasurer (although the administration of the Charity’s bank account is still with Hampshire County Council). The Trustees meet twice a year, in April at Amery Hill School and in November at Eggar’s School. For the rest of the year the charity is administered by the Clerk and Treasurer in consultation with the Chairman.

The trustees have assessed the major risks to which the Charity is exposed, in particular those related to the investments of the Charity. They are satisfied that there are systems in place to mitigate exposure to major risks.

2

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

The Trustees who served during the year and up to the date of signature of the financial statements were:

Councillor A Joy Mr D Phillips Mr M Green Mr T Cross Councillor M Kemp-Gee Mr S Cooney Ms L Campbell Mr R Powell OBE Ms L Jones

The Trustees' Report was approved by the Board of Trustees.

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Mr D-P Phillips Chair ����� �����

Dated: ...................................................................

3

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE EGGAR'S GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

I report to the trustees on my examination of the accounts of The Eggar's Grammar School, Alton, Site Foundation (the Charity) for the year ended 31 March 2022, which are set out on pages 5 to 13.

Responsibilities and basis of report

As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).

I report in respect of my examination of the charity's accounts carried out under section 145 of the 2011 Act. In carrying out my examination I have followed all the applicable directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

3) the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirements that the accounts give a true and fair view which is not a matter considered as part of an independent examination.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this respect in order to enable a proper understanding of the financial statements to be reached.

Nicola Kitney, MICB

NK Accountancy Limited 55 Windmill Lane

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Alton

Hampshire GU34 2SN

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4

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023

Notes
Income from:
Investments
3
Expenditure on:
Charitable activities
4
Net (losses)/gains on investments
8
Net incoming/(outgoing) resources
before transfers
Gross transfers between funds
Net movement in funds
Fund balances at 1 April 2022
Fund balances at 31 March 2023		 Unrestricted
funds
2023
£
49,319
3,201
(17,312)
28,806
(62,296)
(33,490)
622,159
588,669		 Endowment
funds
2023
£
-
12,932
(147,936)
(160,868)
62,296
(98,572)
13,170,956
13,072,384		 Total
2023
£
49,319
16,133
(165,248)
(132,062)
-
(132,062)
13,793,115
13,661,053		 Total
2022
£
91,851
40,550
398,263
449,564
-
449,564
13,343,551
13,793,115

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

5

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

BALANCE SHEET

AS AT 31 MARCH 2023

NOTES
Fixed Assets
Tangible assets
10
Investments
11
Current Assets
Cash at bank and in hand
Creditors: amounts falling due
within one year
13
Net current assets
Total assets less current liabilities
Capital funds
Endowment funds - general
14
Income funds
Unrestriced funds		 £
£
9,168,486
4,295,945
13,464,431
198,980
(2,358)
196,622
13,661,053
£
13,072,384
588,669
13,661,053
£
2023		 £
£
9,181,418
4,456,417
13,637,835
157,710
(2,430)
155,280
13,793,115
£
13,170,956
622,159
13,793,115
£
2022		 £
£
9,181,418
4,456,417
13,637,835
157,710
(2,430)
155,280
13,793,115
£
13,170,956
622,159
13,793,115
£
2022
13,637,835
155,280
13,793,115
£
13,170,956
622,159
13,793,115
£

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6

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

Charity information

The Eggar's Grammar School, Alton, Site Foundation is a charitable trust established under a Trust Deed and registered with the Charity Commission in England and Wales. The principal address is Orchard House, Morestead, Hampshire, SO21 1LZ.

1.1 Accounting convention

The accounts have been prepared in accordance with the Charities Act 2011, Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in October 2019, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), UK generally Accepted Accounting Practice and applicable charity law. The charity is a Public Benefit Entity as defined by FRS102.

The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

The financial statements have been prepared to give a 'true & fair' view and have departed from the Charities (Accounts and Reports) regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Accounting and Reporting by Charities: Statement of Recommended Practice applicable in the UK and Republic of Ireland issued in October 2019 rather than the Accounts and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The accounts have been prepared under the historical cost convention, modified to include the valuation of certain fixed assets. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the accounts, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the accounts.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.

Restricted funds are subject to specific conditions by donors as to how they may be used.

The permanent endowment fund must be held permanently by the charity. Income arising from the fund can be used in accordance with the objects of the charity and is included in unrestricted income. The permanent endowment fund is stated excluding the amount owed to it under the 8th May 2000 scheme (see note 9).

1.4 Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that the income will be received.

7

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies (Continued)

1.5 Expenditure

Expenditure is accounted for on an accruals basis, ie. when a liability is incurred, and includes irrecoverable VAT.

1.6 Tangible fixed assets

The charity owns land and premises of the main Eggar's Grammar School site, which is recognised in the financial statements at its deemed costs based on a valuation obtained as at 25th September 2006. The buildings are depreciated on a straight line basis, on the assumption of an estimated useful life of 25 years and an estimated residual value of 95% of the valuation as at 25th September 2006.

1.7 Fixed asset investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Transaction costs are expensed as incurred.

All gains and losses are taken to the Statement of Financial Activities as they arise and are allocated between unrestricted funds and permanent endowment funds on the basis of the value of investments held in each fund at the beginning of the year. Realised gains and losses on investments are calculated as the difference between sales proceeds and opening market value (purchase date if later). Unrealised gains and losses are calculated as the difference between the market value at the year end and opening market value (or purchase date if later).

1.8 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

1.9 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months of less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.10 Financial instruments

The charity has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheets when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts being presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financials assets classified as receivable within one year are not amortised.

8

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies (Continued)

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised costs, using the effective interest rate method.

Trade creditors are obligations to pay for good and services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transition price and subsequently measured at amortised costs using the effect interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity's contractual obligations expire or are discharged or cancelled.

1.11 Debtors

1.12 Creditors and provisions

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

2 Critical accounts estimates and judgements

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

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

3 Investments

Dividends
Interest		 2023
£
49,091
228
49,319		 2022
£
91,851
-
91,851

All investment income for the current and prior year was unrestricted.

9

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

4 Charitable activities

Depreciation of school buildings
Grants to schools
Governance costs (see note 5)
Analysis by fund
Unrestricted funds
Endowment funds		 2023
£
12,932
-
12,932
3,201
16,133
3,201
12,932
16,133		 2022
£
12,932
25,470
38,402
2,148
40,550
27,618
12,932
40,550

During the year, grants of £25,470 were provided to Eggar's School (2022 - £80,000 provided to Amery Hill School and £54,530 to Eggar's School).

5 Support costs

Independent examination
Clerk's fees
Clerk's expenses
Analysed between
Charitiable activities		 Governance
Costs
£
450
2,658
93
3,201
3,201		 2023
£
450
2,658
93
3,201
3,201		 2022
£
929
1,200
18
2,147
2,147

6 Trustees

None of the trustees (ar any persons connected with them) received any remuneration or benefits from the charity during the year (2022 - £nil).

7 Employees

There were no employees during the current or prior year.

10

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

8 Net gains/(losses) on investments

Net gains/(losses) on investments
Revaluation of investments
For the year ended 31 March 2022		 Unrestricted
Funds
2023
£
(17,312)
46,942		 Endowment
funds
general
2023
£
(147,936)
351,321		 Total
2023
£
(165,248)		 Total
2022
£
398,263
398,263

9 Transfer between funds

Under the terms of the Charity Commission scheme of 8th May 2000, it was agreed that the charity borrow up to £1,245,928 from its permanent endowment to partially fund capital works at Amery Hill and Eggar's schools. This was drawn from the permanent fund in the year ended 31st March 2005. The £1,245,928 borrowed from the permanent endowment must be repaid in 20 equal instalments of £62,296 from unrestricted income of the charity from the year commencing 1st April 2005, and has been to date. The balance at 31st March 2023 was therefore £124,600 (2022 - £186,896).

10 Tangible fixed assets

Freehold land and buildings £

Cost
At 1 April 2022 and 31 March 2023
Depreciation and impairment
At 1 April 2022
Depreciation charged in the year
At 31 March 2023
Carrying amount
At 31 March 2023
At 31 March 2022		 9,382,113
200,695
12,932
213,627
9,168,486
9,181,418

11

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATIO

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

10 Tangible fixed assets (continued)

The charity's freehold property was valued as at 25th September 2006 by Mrs A C Kenny, MRICS, of Hampshire County Council on a depreciated replacement cost basis, with the land on an alternative use basis. This is deemed by the trustees to be an appropriate basis. The trustees do not believe that there has been a significant impairment to the value of the property since its valuation. There was no historic cost.

The freehold property represents permanent endowment funds of the charity which are being utilised in fulfilling the objects of the charity, and is held by Hampshire County Council, as a custodian trustee.

Included in land and buildings is freehold land £2,916,250 (2022 - £2,916,250), which is not being depreciated.

11 Fixed asset investments

Cost or valuation
At 1 April 2022
Additions
Valuation changes
At 31 March 2023
Carrying amount
At 31 March 2023
At 31 March 2022		 COIF funds
£
4,456,417
4,776
(165,248)
4,295,945
4,295,945
4,456,417

At 31 March 2023, had the fixed asset investments been carried at historic cost, their carrying amounts would have been £2,282,824 (2022 - £2,278,047).

12 Financial instruments

Carrying amounts of financial assets
Investments measured at fair value through net income/(expenditure)
13
Creditors: amounts falling due within one year
Accruals		 2023
£
4,295,945
2023
£
2,358		 2022
£
4,456,417
2022
£
2,430

12

THE EGGAR'S TRUST GRAMMAR SCHOOL, ALTON, SITE FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

14 Endowment funds

Permanent
endowment fund
Permanent
endowment fund		 £
13,170,956
13,170,956
£
12,770,271
12,770,271
Balance at 1
April 2022
Balance at 1
April 2021		 £
£
-
(12,932)
-
(12,932)
£
£
-
(12,932)
-
(12,932)
Incoming
resources
Unrestricted
Funds
Movement in funds
Movement in funds
Incoming
resources
Unrestricted
Funds		 £
62,296
62,296
£
62,296
62,296
Endowment
funds
general
Endowment
funds
general		 £
(147,936)
(147,936)
£
351,321
351,321
Revaluation
gains and
losses
Revaluation
gains and
losses		 £
13,072,384
Balance at
31 March
2023
13,072,384
£
13,170,956
Balance at
31 March
2022
13,170,956

The Charity's permanent endowment arose from the sale of land at Eggar's School in 1999.

15 Analysis of net assets between funds

Fund balances at 31 March 2023 are represented by:
Tangible assets
Investments
Current assets/(liabilities)
Fund balances at 31 March 2022 are represented by:
Tangible assets
Investments
Current assets/(liabilities)		 Permanent
endowment
£
9,168,486
392,047
-
9,560,533
Permanent
endowment
£
9,181,418
466,879
-
9,648,297		 Unrestricted
funds
£
-
3,903,898
196,622
4,100,520
Unrestricted
funds
£
-
3,989,538
155,280
4,144,818		 Total
£
9,168,486
4,295,945
196,622
13,661,053
Total
£
9,181,418
4,456,417
155,280
13,793,115

16 Related party transactions

There were no disclosable related party transactions during the year (2022 - none).

13