Registered number: 00587487 Charlly number: 307T93 MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Llmlted by Guarantee) GOVERNORS. REPORT AND FINANCIAL STATEAqENTS FOR THE YEAR ENDED 31 AUGUST2022
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee) coKrENTS Page Rèference and Admlnistratlve Detalls of the Company, Itg Govemors and Adv18ers Governofs. Report Independent Audltor's Report on the Flnanclal Statements Statement ol Flnan¢lal P£tivlties 10-13 14 Balance Sheel 15- 16 Slat¢ment of Cash Flows 17 Notes lo the Flnan¢l81 Ststements 18-31
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarnnte8) REFERENCE AND ADMINISTRATIVE DAlLs OF THE COMPANY, ITS GOVERNORS AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2022 Governors Mfs J M Webb Mr S F Cloke Dr R Rainavel Mr T N M Lawson Mr S J Hodson, Chairman Mrs S R R68V8S Mrs A H Petch Mr P W Smalth)od Mr O A Reynokls Mr H R F Somersel Company reglstered number 00587487 Charlty reglstsrod nUmr 307793 Roglsterod offlco Madborough House School Trust Limited. High Str861, Hawkhurst, Cranbrook. TN18 4PY Head Mr E Nwton Company Secretary Mr E Newton Independenl audltor Crowe U.K. LLP. Riverside House, 40- 46 High Streel. Maidstone, Kent, ME14 1JH Page 1
MARLBOROUGH HOUSE SCHOOL TRUST LiIArrED (A Company Limlted by Guaranlee) GOVERNORS. REPORT FOR THE YEAR ENDED 31 AUGUST 2022 The Governors present their annual report tog81her with the audited financial statements lor 1 sl September 2021 10 31st August 2022. The Governors confirm thal the Annual Rewrt and financial statements of the School comply wlh the current statutory requirements, the requirements of the company's governing document and the provisions ol the siaiemenl of Flecommended Practice ISORPI, applicable to charities preparing their accounts in accordance with Iho Financial ReFKSrting Skndard applicable in ihe UK and Republic ot Ireland IFRS 1021 letteclive 1 st January 20151- Marborough House School Ilhe School'l is rogistered with DCSF as School Number 88616005. 11 is regis18red as Ghafily Number 307793. and hokls the Company Registration number 587487, with the liability ol its members limited lo £1 each by guarantee. During the year. the School changed ils accounting r8ference date lo 3(Xh Augusl 2022., as permitted by section 39012bl of the Companies Act Ihe accounls have been prepared up lo 31st August 2022. Within the insurance tx)licies that the School hokts is an exlension that indemnifies th8 Trustees agansl any acts thal result in action against them. None of the Direclofs has any beneficial interest in the Company. The Registered Ollice and principal addrass of the Company is ai Marlborough House School. High Street, Hawkhurst, Kent TN18 4PY. STRUCTUR& GOVERNANCE ANO MANAGEMENT Status of the company Madb)rough Hous8 School was founded in 1874 was incorForaled on 18th July 1957 under the Companies Acls 1948 as Marlborough House School Trusi Limit•J, a Charitable Company limiled by guarantee. Govemlng body The School is governed by Tts Memorandum and Articles ol Assoclalioft. Th8 Directors ol Ihe School, who are also the CharSty Trustees and the Schwl Governors, who served during the y8ar are shown below.. Mr S F Clokg Mr S J Hodson Ichaimianl Mr T N M Lawson Mrs A Pelch Dr R Ratnavel Mrs S R Reeves Mr O A Reynolds Mr P W Smallwood Mr H R F Somerset Mrs J M Wabb Mrs C IAarshall aFpointgd 16th Soplember 2022 Board of Governors The Dir9clors, who are also the Charity Tnjslees, are required under the Articles to S8rv8 as Governors ol Ihe School. They are elected al a lull Governors, Meeling on the basis ol nominallons received from existing Governors and the Head taking irKlependenl athce as appropriate in or(ler lo ensure a suitable cross section ol expertise, personal comp818nce, specialist skills and local availability. Govemors serve tor an initial term ol live years and are eligible to sland lor re eleclion lor further five year terms. Page 2
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Llmlled by Guarnntee) GOVERNORS. REPORT (ColmuED) FOR THE YEAR ENDED 31 AUGUST 2022 Governor tralnlng New Governors are inducled into the workings of the School. arKI atso of the Company as a Registered Charity including Board Policy and Procedures, through a program arranged by th& Head and Clèrk lo the Governors. Tiaining Days and Extraordinary Meetings are scheduled Feriodically lo provkge upxlaies lor the Directors and lo consider strategic planning and governance issues. New Governors have th6 OFWrtunty to attend the Association ol Governing Bodies in Independent Schc(sls IAGBISI New Governors Course and all Gov8mors have the opportunity Ic attend AGBIS briefings and specialist courses run by extemai organisations. Organlsatlonal management The Governors as Directors determine the general policies ol the School and review tts overall managomonl and control. The day lo day managemenl ol the School is d8legal8d lo the key management porsonn61. comprising Ihe Head and Ihe other members ol th8 School's Senior Leadership Team. The Governors meet as a Board al least three limes a y8ar. The work ol implementing most ol the Board's Folicies is carried out by Ihe Finance and Property Committee {specilically lo review the budgats. annual accounts and reports), the Education and Wgllare Committee and the Healtli and Safety Comfflittee, each ol which meets al least three Imes a year prlor to the Main Board meetings. In addition, the Finance arKI Prop8rty Comrnittee has been considering ways to develop the School's premises and facilities. Each Committee oporates under specillc lefms ol r81erence agreed by the Board ol Governors and has ils decisions ralifi&g by the full Board. The Head attends all meetings of the full Board and all meetings ol the Board Committees. Group structure and relatlon8hlp8 The School is an active rnemb8r ol the Independent Association of Prep Schools I'IAPS'I and th8 Boarding School Association I'BSA'I lor the promotion and mantenan¢e of proparatory school slandards generally and also takes part in peer group studies lor the evalualion ol qualty and p9rformance improvement molhods. The School aclivety seeks to engage with local Charriies, community and voluntary group$ in nIinU1ng ondoavors to widen public access lo rts facilities, to optimis8 the educational us& of ils cultural and sporting facililies and to awaken in the pupi an awareness of the vider social context ol the educaiion Ihoy receive al the School. OBJECTIVES AND AcnvmES The principal object of the Company, Sn accordance Mth its M&morandum and Articles ol Association, is the education of children al the Independent Preparatory &hool of Madborough House, Hawkhursl, Kent. In the furtherance of this object, the Directors, as Ihe Charity Trustees, have wmplied wth the duty in section 4 01 the Charities Act 2011 to have due regard lo the Charity Commission's published general and rolgvant sub sector guidance concerning the operation of the Public Beneflt reqU1ment under that Act. Prfnclpal Actlvlty Mar1borough House School Trust's principal aclwity is Ihe provision of a Pieparatory School in Hawkhurst for girls and boys ag1 from 2 Ih lo 13. In conducling its business, the School is on8 ol the biggest kJ¢al employers with many members of ils slalf resideffl within ihe immediate vicinty. The School use5 the servic8s ol loGal bjsinesses and suppliers where pK>ssible. Total puiil numbers sto at 203 wilh an adJilional 32 in Nursery giving a total school roll of 2&512021 2471 in the Summer lemi 2022. Slrateglc Alm and Ellect The Board's overall strategic aSm is lo salisfy the rvirementS of Public Benefit by operating Marlborough House School as a charitable IndeFendent Preparatory School. While the families of mosl ol the School's pupils pay tull fe8s. the Board aims lo sel these fees al a18vel which enab$ the School io provide bursaries lo the lamilies ol a nurnb8r of pupils who otherwise would not be able to attend the School. Page 3
MARLBOROUGH HOUSE SCHOOL TRUST UmED (A Company Llmiled by Guarantee) GOVERNORS. REPORT {CONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2022 The Board's strategic aim for the School is for Tt lo oller an oumiard looking. secure and inclusive environment for the whole School community, using high quality resources and a high standard of lacililies and providing an excellent all round 9ducation for Ihe School's wpils. To holp achieve its objectives, the Board aims lo ensure Ihat the School is as close lo capacity as F)ossible. maintains a high Yeacher lo pupil. ratio and tailors ils leaching and pastoral care services to suit pupils. indiv'Klual needs. ObJe¢tlves for tho Year The Board's main olectIveS lor the School during Ihe year under revi8w ware: to support the Head's drive and passion to instil greater c(Jnfid8n¢e in Ihe whole School community. lollowing the aFpoinlmenl of Mr Newton, lo establish and impbment his 2 year stralegy, which was Pfesenled lo and signed oll by the Board shortly aller his appointmgnt, with their full surff)rt', this 2 year strategy covers both short and medium term financial and organisational plans and ctjvereo a perfod Ihal extended beyond the gnd ol the 202112022 financial year. lo work with Ihe new Head, and other mombers ol the Senior L8adership Tearn lo continue to Implomenl the School's long term Strategic Plan, which is complementary to the new Head's 2 year Slrategy: lo continu810 eduoale pupils al the School lo a very high standard, ensuring all pupils r8ach thelr fvll potential in all aspe¢ls ol school life and are well ppared lor Iheir move into senior school; lo support and embed the Pre Sch¢)018ac¢alaureale Y8ar 7 pupils; lo continue to provide bursaries to the families ol pupils who would olharwlse not b8 able lo allend th& School- lo conliftue to WO collaborativ8ly with local charities, community and voluntary organisats'ons and educali¢nal bodies lo provide access lo the School's facililios- to compl818 lh8 renovation and start uslng the Art and DT Centre ol Excellence as well as lo commence the planning ol improvemenl lo other School facilities. Grant maklng poll¢les During the financial year under rwew, the School has mainiain8d ils means lesi&J tsary support lor 5 puiils 12021-. 5 pupils) al a cost of £32,708. 12021.. £65.415) through its own Bursary Scheme. This suptx)rl is available on a needs basis as determined by Ihe members ol the Finance and Piopety Committee following discussions with the Head. The School's policy on awarding bursaries is kept under regular review by the Board. STAFF Volunteers The Friends of Marlb)rough House Continue to help wih tho School's charitable fundraising and cultural activities, with members devoting considerable time and resourc8s on a voluntary basis. The Board is very appreciative ol iheir work on behalf ol the School. Page 4
MARLBOROUGH HOUSE SCHOOL TRUST LIMff ED {A Company Lirnlte(I by Guarantee) GOVERNORS. REPORT (CONTINUED} FOR THE YEAR ENDED 31 AUGUST 2022 Romun•rnlion of Employ88s Tho r•mun8ratK)n ol the Head is set by the Board. The remunoralion ol oiher members of th8 S8nior Leadershlp Team and all other staff is determined by the Head in accordanc8 with ihe whole School remuneration policy and budget, which 15 sel annualty by the Board following a recommerKlaiion by the Finance and Propety Committee. In setting Ihis policy and budget, referen is made lo ¢ompari50ns with other schools to ensure that the School is sensitive to the broader issues ol pay and empk)ymenl conditions elsewhere. Slall costs are, by a long way, Ihe largesl single element of the School's regular charilable expenditure and thg Board believes Ihal successful delivery ol tha School's charitable vision and puryx)se is very significantly dependent on the skills, expertise and Ferformance ol the key management personnel and oth8r memèers ol the School's staff. REVIEW OF ACTivmES Achlevements and Porformonco The S¢h¢)ol has continued lo embed the new SenK>r Currwlum (Pre Senlor Baccalaur881el which was launch& in Year 7 in 2019 wrth allocated slafl all trained approprialely. The delivery of th8 new Senior Curriculum wa8 dlscussed wih parents in all year groups in lace to laco me8liThJ$. while Ihe s•nior chiklren also receive sch¢)ol Chrome books lo assist with their irKJ8P8nd8ni lèaming. Th8 Staff Acad8mi¢ Committee continues to monitor leaching and 19aming and look at various lopks, such as ICT provision, dill&rentialion arKI ass8ssmenl and reporting. This year the Sohod made a conscious decision to supwrt a numb8r of local charities as wall as somo national ones. Donations were made as follows.. Red Cross, Ukraine AFP8al: £959, Chikjren in Need: £410. 8arnardo's'. £53, Demelza House £60, Comi¢ Relief: £365 and various food donations to th8 Local Fry)J Bank. The devek)pment ol facilities continued, with th8 extension to the Art and DT Contro ol Excellence b8ing largely completed and opened lor use in the Summer tern 2022. FUTURE DEVELOPMETr¥rs The arrival ol a new, exFerienced Head has enablod Ihe School lo look foNard with confidence and optimism. Eddy Newton's initial actions have given Certainty and reassurance lo the staff arKI parents. and the implementation of his 2 year strategy for the School is seeing tJ)srtive results. Physical developments have included improving the app8aran¢e of certain buildings and the refU1$hed and neY located second hand unifomi shop has been well received within the School cornmunity. Painting the outside of the Old Gym has lifted Ihe whole appearance ol Ihe buikjing. Hawng secured full planning pormission for Ihe relurbishmenl of the staff room and COMpte r8plac8ment and expansion of the Art and DT buildings, works commenced in Oclobei 2021 and were largety Mpleted in May 2022. A thorough review of silg usage and a timetable tor the improvement of outdoor spons. laciltiies is being considered. In this conlexl, th6 COnructIOn ol a new all-wealher swrts pitch was commenced and has been completed since the linancial y9ar ond, which is provKling a much improv&J facility for the pupib. especialty lor playing hockgy With thè profound effects of the Cowd 19 parMdemi¢ still a factor. the on going challenge of provKling a high standard of leaching without disruptions remains a key priortty. as does the inslallatTon of satisfactory safety measur8s for the day lo day use of the School. HO)rid teaching. wth teach8rs delivering lessons to pupils in School and simultaneously to wpils al home was established and ihis model can be quickly adapled rf the School is required lo respond again lo any health relaled shocks or problems that might result in a closure of the School's premlses. Page 5
MARLBOROUGH HOUSE SCHOOL TRUST LIMrrED (A Company Llmited by Guarantee) GOVERNORS. REPORT (CONnNUED) FOR THE YEAR ENDED 31 AUGUST 2022 Alongside Marketing and Admissions, there is a planned drive to increase pupil numbers while simultaneously controlling the stall costs ol the School. The 2 year slralegy for the School anlicipaled a 100A increase in pupil numbers, with a managed r8duction of costs over the period and pleasingly the total number of pupils enrolled in Summer 2023 has increased by over 5% Compared lo th8 equivalent peri in 2022. The recently published Indep8nd8ni Schools Inspection report on the School rat8d it Excellent in all areas which is a very positive conclusion, the effect of which mighi b8 expe¢led lo support th8 School's ambitious recovery expeclalions going foThYard. In the first quarter 012021. following consulialion, the School made the decision to16ave the Teachers, Pension Scheme and Iransler th8 eligible employees lo a new d8fined contribution schem8. This has successfully been Implemented and the new APTIS scheme is In place and lully operalKJnal. FINANCIAL REVIEW Th8 Directors report a deficit before deprecialion, amortisabon and property revaluatlons lor the year ended 31 st Augu9t 2022 01 £255.45612021 delicil - £241,302). Total income 01 £3,175,841 12021 £3,284,562), was 3.30 lower than that achieved in th8 previ$ year, while lotal expendrture (kxfore depreciation and amortisalionl of £3,431,29712021 .. £3.526,388) was 3% lower than the previous year. Capital expenditure during the year ioialled £600.687 12021= £87,685>. £584,655 was spent on th8 Buildings Developmgnt Plan with an addilionai £10,872 spent on lixtures and fittings and £5,160 on IT equipment. Funds are raised from fee income and a proportion of nel lee income is used directly to support chlldren through means lesled bursaries. In this way families ol chikdren who wouhj otheis8 not b9 able to allend the School are given financial support., this includes some Casas of hardship In the famllies of existing pupils. Investment powers are 98t out in the Memorandum and Artldes of Association. These permit the Dir8cIoTS to invest the monies ol the Trust not immediately required lor its purposes in, or up)n such investments, s8curiIigs or property as may be thought tit, but so that monios subject lo, or represenling propety subject lo the jurisdiction of the Charity Commissloners lor England and Wales or the Secretary ol Stale lor Children, Schools and Families, shall only be inv8sl8d in such gecurilies and wth Such ganclion. il any, as may for the tim8 bging be prescribed by law. During th8 year investment irthme totalled £23212021: £6421. RESERVES POLICY Al 31 sl August 2022, unreslricted funds lafter excluding thos8 funds which have been d&signaled lor specific purposes) stood al £4,829,923 131 sl August 2021- £5,264,001)- The School aims to increase its unreslriclgd funds each year by tNJdgeling lor a m¢)desl FQSI dOprlatiOn sUlUS to be achieved and thiough careful financial management. This objective was not achieved durin9 the year under revlaw in terms ol und9r1ng financial performance. Ai 31 sl August 2022, free reseryes (after deducling the carwng value ol lixed assets which are all held lor the School's usel, as defined by Ihe Ghartty Commission. stood al a deficit of £729,080131sl August 2021: surplus of £121,213}. Page 6
MARLBOROUGH HOUSE SCHOOL TRUST UMrrED {A Company Llmlled by Guarantee) GOVERNORS. REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022 At 315t August 2022, the School had lolal nel cash of £167,610 {2021- £919,433). After deducting lees paid in advanc8, deposits and amounts received under the advance fae paymenl scheme, underlying nel debi stood at £349,215 12021 E394,3021. Maintaining cash balances in addthon to the mmItted d8bt and overdrali bank facilities that ihe School has in place. EKovides the School with financial s8curity, as. in the event ol a sudden significant drop in 188 incorne, which could be caused by a substantial reduction in pupil llumbers, h would 8nable the School's c#Jrrent activities to be continued. while consideratn was given lo ways in which operating costs could b8 reduced or athjitional funds raised lo ensure Ihai the School's linances were sustainable. The School's clear objective, which will only be likety lo be achi8v8d rf enrolled pupil numbers show grovrth, is lo rebuild ils cash balances unreslrictive reserves. During the 202112022 financial year, th& Schcol has not taken part In or an aclive program of fundraising. PRINCIPAL RISKS AND UNCERTAINTIES Th8 Board, Ihrough its committees and Yth assistance from the School's Senior Leadership Team, k68p$ the School's activities under regular revi8w, th particular regard lo any risks which may arise. Th8 Board discusses such risks and lakes steps which aim lo minimise the probability ol occurrence and th8 extent of ihe Impact Ihal any ol them may have on the continued success of the School. The Board consKlers that the pnndpal risks which coukj impact the School Include the following: a substantial dUctI in pupil numbers. This coukl be caused. Inter alla, by: a dlIne in the afford*ylty of school 188s generally across the indeFendenl schcwjls sedor, meaning Ihal lewer pupils attend indepondenl preparatory schools. due, for instance, lo a difliculi economlc environment, or changgs in1ggislalK)n or charity regulalions: arKI Specific laclors which wukl alfect the School, such as a failure to recruit high quality slalf, increased compelition from nearby schools, th8 decision taken by a nearby Grammar School lo reduce its intake age from 13 years old lo 11 years okl, and the unlikely event ol severe reputational damag8 lo the Sohool being ¢aused by a¢tlon$ or events involwng the School's staff andjor puiyls; catastrophic events, which ¢ouhJ Cause signilicant damago to the schI.s premises, including, for instance. flood or fi. {iiil personal heatth and safety risks, including a major accident involviThJ the School's pupils andlor stall, either on the School's premises or vthon away Iroffl Ihe School on ITIPS organised by the School: and {iv) signilicant financial fraLKI. The School maintsins a Flisk Management Registar. whh id8ntifies the major risks lo which the SchcK)l 18 subject and describes the Control Procedures. including intemal ¢onlro15 and oth8r viable means. such as Insurance cover. used lo reduce the likelihood of each event occurring arfor to mitigate ils ellecl. The School's Senior Leadership Team is responsible for ensuring that the risks KJ8nlilied are managed appropriately, with relorence lo the Control Procedures. The Risk Management Register is conskdered in detail by the Head and two Governors on at least an annual basis and then reviewed by the >ard as a whole. In addilion. Ihe Board oversees compliar8 With current legislation and the Regulatory FleqU1MenIS ol the Independeni Schools Insp8¢torato, as wall as règulady reviewn9 and considering the elfe¢tivenos5 01 th8 School's Policies. which cover a wide range of matlers whh are imFQrtant for the successful managgmenl of the School. Inewtabty. as a cOnSuence of the Covid 19 pandemic, the SclKM)I was required to review with the utmost car8 and diligence its procedures in relalion to managing the risk of infection when the School lully reopened in the Page 7
MARL80ROUGH HOUSE SCHOOL TRUST LIMITED (A Company Limtted by Guarantee) GOVERNORS. REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022 Autumn of 2020 and on an ongoing basis as the COVKI 19 pandemic evolved. These procedures are kept under constant review and the School continues to pay ck)se attention to this evolving silualion and to any oth8r health related risks. The School is conlid8nl that il can lake and maintain whatever sleps are needed to en5urg a sale environment for pupils. slaff and visitors lo ihe School. At any time, the School will always aim lo be ready to adapt (ts premises in order 10 pfovKle the best educational exp8rience whilst being mindful ol complying with Government wles and guidance al the relevant time. GOING CONCERN Accounting standards requir8 lh8 Governors to consKl6r Iha approprialeness ol the going concern basis when preparing tho financial slatemenls. The Governors have prepared cashllow lorecasls for the néxt 12 months bawi on current 8xFeclalions of wpil numbers and expgndilure. Th85e cashllow lorecasls also include the repayment ol tha CBILS loan facilities as noted in note 16 01 th8 financial slalemenls as well as r8payinents associai8d wilh a loan taken oul lo pay lor works lo resurface ils all-wealher playing surface Ith8 loan taken out and associated works undertaken aller the end of the linan¢lal year lo 31st August 2022.1 In order to ensure that the School has adequate financial r880urces going forward, both lo manage worting capilal swings during the year and lo provide capital lor investment, the School has also arranged a new £6(K),000 loan facility which was seciJr8d Ibul not drawn) aller the end ol the Ilnancial year lo 31 st August 2022. Taking inlo consideration 1 of tho aLN)ve lactors, the Govemors have a reasonabl8 QXP8Ctalion that the School has adequate resources to continue in operational 8XiStence for the lorÈse8able future. The School theretore continuès lo adopt the going concem basis in preparing ils financial statements. GOVERNORS. RESPONSIBILMES STATEMEKr The Govemors Iwho are also directors of Marlborough House School Trust Limited lor the purwses ol company lawl are responsible lor preparfng the Govemors, rep)rt and the financial statements in accordanc8 wlth applicabl8 Saw and United Klngdom Accounting Standards {Uniled Kingdom Generally Acceptèd Accounting Praclicel- Company law requires the Govemors lo prepare linancial slalemenls for each financial year. Und8r company law tho Governors must not approve Ihe financial siaiemenls unless they are satisfied that they givo a true and lair viow ol the slate ol affairs of the School and ol the incoming resources and applicalion ol resources, including th8 income and expenditure. of the School lor Ihat rIod. In prèparing these financial stalem8nts, the Governors are required to.. 58lecl surtable accouniing poficies and thon apply them consistently., observe the meihods and principles in the Charities SORP: make judgmenls and accounting eslirnaies that are rOnab and prudent., slate whether applicable UK Accounting Standards have been l0Slowed, sublecl to any material departures disclosed and explained in Ihe linanclal stalements- prepare Ihe financial stalements on lh6 going concam basis unless it is inakTJTopriate to presume Ihat the School will continue in operation. The Governors are responsible for keeping adequate accounting records that are sufficient lo show and explain th8 School's transactions and disclose wilh reasonabl8 accuracy at any lime the linancial position cf Ihg School and enable them lo ensure that the financial slalaments comply with the Companies Act 2006. They are also responsible lor safeguarding the assets ol the School and hence lor takirNJ reasonable steps lor the prevention and detection ol fraud and otfver irrogularilies. Page 8
MARLBOROUGH HOUSE SCHOOL TRUST LIMrrED (A Company Llmlted by Guarantee) GOVERNORS. REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022 DISCLOSURE OF INFORMATION TO AUDrroR Each of the persons who are Governors at the lime when ihis Govemors. rewrt is approv&J has confimied that.. $0 far as that Governor is aware. the is no Televant audil information of which th8 School's auditor is unaware, and that Govemor has laken all ihe $18ps that ought to have been taken as a Governor in order to ba aware ApFwov ol the mgmtprs of the Lard ol Governors on signed on their behalf by: Mr S J Hodson {Chair of Trustees) Page 9
MARLBOROUGH HOUSE SCHOOL TRUST LIMrrED (A Company Umlted by Guarant88 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF MARLBOROUGH HOUSE SCHOOL TRUST LIMITED Oplnlon We have audited the financial stalemenls ol Marlborwgh House Sthool Trust Limited (the 'charitable company'l for the Year ended 31 st August 2022 which comprise the Statement ot Financial Activities, the Balance Sheet, the Sialemenl ol Cash Flows and the related notes, including a summary of significant accounting policies. The financial reporting framework thal has been applied in their preparation is applicabl8 law and United Kingdom Accounting Standards, induding Financial Reporting Slandard 102 'Th@ Financial Reporling Standard applicable In the UK and Republic ol Ireland, (Uniled Kingdom Generally Ac¢8plad Accounling Praclicel- In our opinion Ihe financial ateMents.. give a true and fwr view ol the slate of the charitable compan8 affaifs as al 31 st August 2022 and of its incoming r8sources arKt aFolicalion of resources, including ils income and expendilure for the Year then ended., have b8en proporly prepared in accordance with United Kingth)m Generally Accepted Accounting Practice., and have been prepared in actsjrdance th th8 requiiements ol the Companies Act 2006. Ba818 lor oplnlon We conducted our audit in ac¢ordance wilh IntemalDnal Siandards on Auditing IUKI IISAS IUKII and applicable law. Our resF)onsibilities under those standards are further desc(ib8d in the Audilo<s resFonsibililies lor the audit of the financial slalemenls section ol our rewrt. We are independent ol the charitable company in accordance with the glhical requiremenis that a relevant lo our audit ol Ihe financial slatèmenls in the United Kingdom, including the Financial Reporting Council's Ethical Slandard, and we have lullilled OUT other ethical responsibilities in accordance wilh Ihese requiremenls. We believe that the audil evidence we havè obtained 1$ sullicienl and appropriate lo provmde a basis for our opinion. Con¢luslon8 rèlatlng to golng concem In auditing the financial stalemenis, have ¢on¢lL*Jed that th& Govemors. use of Ihe going concern basis of accounting in Ihg preparalion ol the financial sialements is appropriate. Based on the work we have perform&J, we have not identified any material uncertainties relating to evonls or conditions that, individually or collectively, may casl significant doubt on the ¢harilable company's ability lo continue as a going g)n¢ern lor a period ol al least Iwelvo months from when Ihe financial slalemenls a authorised lor issue. Our rosponsibililies and the responsitmlities ol the Governors with respeci lo going eoncem ar8 d8scribed in the levant sections ol this report. Page 10
MARLBOROUGH HOUSE SCHOOL TRUST LIMrrED IA Company Limited by Guarantee) INDEPENDE AUDITOR'S REPORT TO THE MEMBERS OF MARLBOROUGH HOUSE SCHOOL TRVST LIMITED (CONTINUED) Other InformatSon The oiher inlormalion compri888 Iha infonnalion Included in the Annual Report other than the financial statements and our Auditor's Rewrt thereon. The Govemors are resp)nsible for th8 other information contain6d within the Annual R8PJrt. Our opinion on the linancial statements does not cover the olh8r information and, 8XC8pI to the exlenl otherwise axplicitly slat8d in our repjrt, we do not express any form of assurance conclusion Ihereon. Our responsibility is to read the other information and, in doing so, consider whether the olh8r Inlorrnation is malefially inconsistent with tho linancial *alements or our knowwge obtained in the cours8 ol the audit, or otherwige appaars to be materially misstated. 11 we identrfy such material inconsistencies or 2ppar6nt material misstatements. we are required io delermine whether this gives rise to a material misslalem8nl in the Ilnancial statements ihemselves. 11, based on th8 work we have pertormed. we conclude that there is a material mi88lalemenl ol Ihi8 Other Information, we are required to rep)rt Ihal fact. We have nothing lo report in thig regard. Oplnlon on olhw malters prescrlbed by the Compan183 Acl 2006 In our opinion, bas•Y on th8 work undènak8n in the course of the audll: Iha inlomation giv8n in the Govemors. ReFK)rt including the Strategic Report lor the linanclal Year lor which the financial statements ar8 prepared is consistent wth the financial slalem8nts. the Governors, Flgport and the StralgJic Report have been prepared in acoJrdanc8 wlth appllcable L9gal requirements. Matter5 on whlch we are requlred io report by exceptlon In Ihe light ol our knowledge and understanding ol the charilablo cofflpany and its environment obtained in the course of the audit. we have not identified material misstal&monis in tho Governors. Repjrt including Ihg Slralegie Report. W8 have nothing lo report in respect ol the following matters in r8latTron lo which Companies Act 2006 requires us lo report lo you il, In our opinlon.. adequate accounting records have not be8n kepl, or retums adequate for our audit havè not been received from branches not visited by us- or th8 financial slalements ara not in agraement th6 a¢ontIng records and r8turns: or certn disclosures ol Governors. r8muneralion ycified by law are not made.. or we have not received all the information and explanations we requiffj lor our audiL R88ponslbllltle$ of Irusteos As explained more fulty in tho Govomors, Responsibilities Statement, the Governors (who are also the directors ol the charitable company for the purposes ol company lawl are resFonsbi 18 for the pr9paralKJn ol the financlal slalemenls and for being salislied that they giv8 a true and lair view, and lor such internal control as the Governors determine is necessary to enable the weparation of financial statements that are free from maierial misstalement, whether due to fraud or error. In prepaiing the financial siaiemonls. the Governors are responsible for assessing Ihe charitable CoMpanS abilty to continue as a going concem. disclosing. as applicable. matters related to going concern and using the going concem basis ol accounting unless the Governors either inlend to Ildate the charitable company or to cease operations, or have no realistic altemalwe lyjt lo do so. Page 11
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Llmlted by Guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (coKfiNUED) Auditorfs responsibilities for the audlt of the tlnanclal statements Our objeclNes are to c&tain reasonable a$surare about whether the financial slat8ments as a whole ale Irae from material misslalemenl, wheiher due to fraud or error, and to Issu8 an AuditOT'S R8POrt that includes our opinion. Reasonable assurance is a high level of assurance, bui is not a guarantee that an audil conducted in accordance wlh ISAS IUKI will always detect a material misslatemenl when il exists. Misslatemenls can ariso Irom fraud or error and are considered material if, individually or in the aggr6gale. they could reasonably be &xpecled lo Influence the economic decisions ol us8r8 taken on the basis ol ihes8 financial stalemenls. Irregularities, Includlng fraud. are inslances ol non-compliance with laws and regulations. We design prureS in line Mlh our resp)nsibililies, outlined above. lo delect malerid misstatements in respect of irregularities, including fraud. The exlent lo which Ouf proceduras are capablè of delecling irregularrties, including Iraud is detailed b810w.' We obtained an underslarKling ol the legal and regulatory fraMrS bTrrithin which Ihe charitable company operates, Iwusing on those laws and regulations that have a dired ell8cI on the determination ol material amounts and disclosures in the financial slalements. The laws and regulalions w8 considered in Ihls conlgxt Wgre the Companies Act 2006 and SORP 2015. Wo identified the grealest risk ol material impact on the financial statsmenls from irregularities, Including IraLMJ, lo be the override of conirols by management. Clur audit procedures to respond to these risks Iluded.. enquiry ol management aboLrt the Group's Folics, proc8dur8s and related controls regardlng compllance with laws and r9gulalions and rf Ih8rè are any known insiancos of non-cornpliance- exarnining SUPF)orling documents lor all material balancès, transactions and di5cbsures; enqL¢iry ol management and review and inspection ol rel8vant correspondenc8-, 8valualion ol the selection and application ol accounting policies related lo subjoctlve measurement8 and complex Iransaclions., analylical predureS to id8ntrfy any unusual or unexpted reLqtionships: tgsling Ihe appropriateness ol joumal entries record8d In the general ledger and other adjuslm8nts made in the preparatlon ol the financial stalemenls: and review ol accounling eslimales lor biases. Owng lo Ihe inherent limitations of an audtt, there is an unavoidabb risk Ihat w& may not have d&lecled somè material misslalemerrts in th8 financial statements, even though we have proparly planned and performed our akjdrt in accordance with auditing standards. We ar8 nol responsible foi prev8niing non-compliance and cannot b8 eXCted to dele¢l non-compliance with all laws and regulalions. These inherent limitations are particularty sSgnrficant in th8 case ol misslalem8rn rasulling from fraud as Ihts may involve sophislicaled schemes designed to avoid deteclion. including deliberate failur8 to record transactions, collusion or the provision of IntentrtaI mlsrepresenlations. A further description of our resFonsibililies for th8 aud.'l ol the financial statements is located on the Financial Floporting Council's website al: bww.Irc.or -uk1 udilorsres This description forms part of our Audiiorfs f4eport. Page 12
MARLBOROUGH HOUSE SCHOOL TRUST LIMrrED (A Company Llmltod by Guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF MARLBQROUGH HOUSE SCHOOL TRUST LIMITED (CONTINUED) Use of our report This report is made solely lo the ¢harilabl8 compansvs mernb8rs. as a b)dy. in aecordanc8 Wlth Chapler 3 01 Part 16 of the Compani8s Act 2006. Our audit work has undertaken so Ihat W8 rnighl state to the charilable companls members those matters we are requir&J lo slate lo them in an Audito$ Report and for no other purpose. To the fullost exlerrt permitted by law. we do not accepl or assume responsibility lo anyone other than the charitable company and its mefflbers. as a tKty. for our audrl work. lor this report, or lor the oplnions we have torm6d. lan Weeke8 (S8nlor Statutory Audltor) for and on beham ot Crowe U.K. LLP Statutory Audftor Riverside House 40 - 46 High Street Maid8lon8 Kenl ME14 1JH Dale: 24 August 2023 Page 13
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guarantee) STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOIAE AND EXPENDITURE ACCOUND FOR THE YEAR ENDED 31 AUGUST 2022 Unrestrlcted funds 2022 Reslrl¢led funds 2022 Total funds 2022 Total funds 2021 Note Incoffle from: Donations and legacies Charitabl8 activities Oihgr Irdding activities Inv8slmenls 66.255 3,211,854 5,813 3,156,355 18,424 232 3,156,355 18,424 Total In¢ome 3,175041 3,175,841 3,284,564 Exp8ndlture on: Charitable aclivilies 1609,919 3,609,919 3,727.589 Total oxpendlture &609,919 3,609,919 3.727,589 Net movement In funds b8fore other re¢ogn18ed galns (434.078) (434,078) (443,025) Other recognlsed galns: Galns on revaluation ol fixed ass818 37,600 Ngt movement In lunds 1434,078) (434.078) (405,425) Recon¢lllatlon ot lunds: Total funds brought forward Net movement in funds 5,264,001 (434.078) 1313 5.266,314 (434.078) 5.671,73S (405,425) Total funds carrled I0rd 4,829,923 2,313 4,832,236 5,268,314 The Statement of Financial Activit$ includes all gans and k)sses cOgniSed in the Year. The notes on pages 18 to 31 lomi part of those finarla1 statements. Page 14
MARLBOROUGH HOUSE SCHOOL TRUST LIMrrED (A Company Llmlted by Guardntee) REGISTERED NUMBER: 00587487 BALANCE SHEET AS AT 31 AUGUST 2(Y22 2021 Note Flxed a38e13 Tangible assets Investment property 12 13 5,559,003 5. 145, YOI 557,000 s59,003 5,702,101 Currenl assots Oebtors Cash al bank and In hand 14 84,810 919,433 167,610 261,468 1,004,245 Creditors.. afflounts fallirKJ due within one year 15 (696,568) (757. 101) Nel ¢urrenl Ilablllllos l auots (435,100) 247,142 Total a888ts1osa current Ilabllftl8S 5,123,903 5,949,243 redSlors: amounls falllng due after more than one year 16 {291,667) (682,929) Total nel assels 4,832,236 5,266,314 Charlty funds Reslricled funds.. Restricted lunds 17 1313 2.313 Total restricted lunds Unrestricted funds 17 17 2,313 4,829,923 2,315 5,264,001 Total funds 4,832,236 5,266,314 Page 15
MARLBOROUGH HOUSE SCHOOL TRUST LIMThED (A Company Llmlted by Guarantee) REGISTERED NUMBER: (M)587487 BALANCE SHEET (COTrtnNUED) AS AT 31 AUGUST 2022 The Governors acknowledge their responsibilities lor cOM7ng with the requirements ol th8 Act Vdith raspecl to accounting records and pr8paration ol linancial stslem8nls. The financial stalamenls were approv&J and auihorised lor issue by th8 Governors on W-y and signed on their beha by: Mr S J Hodson Ichair ol Trustees) Page 16
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Llmlted by Guarantee) STATEIAENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2022 2022 2021 Cash flows from operatlng actlvitles Net oa8h used in operating aclivrties (310,089) (240, 124) Cash flows Irom InVeIng a1vItIeS Dividends. interests arKI rents frorn investments Purchase ol tangib18 fixed assels Proceeds from sale ol investment prcy8rti8S Inl8rest paid (600.68n 565.163 (15,180) (87.685) 670.000 (27,746) Nèt cash (u8od In)Iprovlded by Inve8tlng a1VItIeS (50,472) 555,211 Cash flows Irom Ilnw¢lng actlvltlo8 Repaym8nt8 ol borrowing (391,282) (661,255) Net cash used In flnanclng actfvltl (391,262) (681,2551 Change In cash and ¢h equfvalonts in tho Year Cash and cash equivalent8 al the beginning of Ihe Year (751,823) 1346,168) 919.433 1,265,601 Cash and cagh equlvalenls at the end of tho Yo•r 167,610 919,433 The notes on pages 18 to 31 fomi part of thèse financial statements Pagè 17
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Limited by Guaranleel NOTES TO THE FINANCIAL STATEMEKrs FOR THE YEAR ENDED 31 AUGUST 2022 General intormation Marfborough House Sch1 is a company limited by guarantee incotp)raled in England and Wales (company registration number 00587487 and charity number 307793). The principal aclivily is thal ol an independent school. Its registered address is at:_ HwJh Street Hawkhurst Cranbrook TN18 4PY Accountlng pollcles 2.1 Bas18 of preparatlon of Ilnanclal Statements Th8 linancial statements have prepare(l in a0rdance with th8 Chaiilies SORP IFRS 1021- Accounting and Reporting by Charities.. Slalemeni of Recommended Practice applicable lo charities preparing their accounts in accordance wilh the Financial ReportiTrJ Standard applicable in th8 UK and Republic of Ireland IFRS 1021 lellective 1 January 20191, the Financial Reporting Standard applicable in the UK and RepUtle ol Ireland {FRS 102} and iha Compani8s Act 2006. Accounting stsndards ruIre the Governor5 to consthr the appropriateness of the going conc8m basis when preparing Iho fina1 slatemenls. The Governors have prapared cashlh)w lorecasls lor the next 12 months based on current èxpeclalions ol pupil numbers and exp8ndiluro. These cashllow lorecasls also Snclude the repayment ol the CBILS loan facilities as noled in nol8 16 01 the linancial statements as well as repayments associated with a loan taken oul lo pay lor works lo resurface its all-wealher playing surface (the loan taken out and associaiod works undertaken after the end of the linancial yaar lo 31 gt August 2022.1 In order lo ensure thai Ihe School has adequalg financial resources going forward, trth to manage working cwtal swngs during the year and lo provide capital lor investment, the School has also arranged a new £600,OC4J loan lacility which was secured {bul not drawn) after the end ol tho financial year lo 31 st Augusl 2022. Taking Into consideratK•n all ol the above factors, the G¢)vernors hav8 a rna50nable expectation Ihat the School has adequale resources to continue in operational exi519nce for the foreseeable lulure. The School iherelore Conlinues lo adopt the going concern basis in preparing its linancial statemenls. MarllKJrough House School Trust Lirnited megls the definilion ot a public benefit entity under FRS 102. Assets and liabilities are initially recognised al historical cost or tfansaclion value unless otherwise Stated in the relevant accounting policy. Page 18
MARLBOROUGH HOUSE SCHOOL TRUST LIMrrED {A Company Llmlled by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR TrIE YEAR ENDED 31 AUGUST 2022 Ac¢ountlng pollclos {continu8d) 2.2 Incom All income is reccrfJnisaJ once the Company has entitl8m8nt to the income. tt is probablg that the income will b8 reNed and the amwnt of income recewable can ba measured r811ab. School lees receivable. less any Exjrsaries or scholarships are billed lem)ly in acfvanc8 and the income 18 recognised on the first day of the new torm to which Ihey relate. Where fees are received in an¢e ol the relevant perictyj, they are r8cogni5ed as del8rTed income. Incom8 receivable for extras to the cor8 school lees is billed in arrears on thè following term's bill when Ihe amount of incom& recewable can b8 measur&J reliably. Amounts are recogni88d in the period to which they relate ar hdd in trade debtors unlil paymenl 1$ rèceived. Donations. legacies, grants and other voluntary iome are aoUnted lor when Iha following crilerfa are satisli8d', entitlement has arisen. the amount can be reliably m8asurod the eg)nomic bgnefit Is considered probable. Grants are included in the Statement ol Financial Activities on a receivable basls. Th& balance ol Income roceived lor specrfic purposes bul not expended during th8 period is shown in th8 relevant lunds on the Balancè Sheet. Where income is re1V&1 in athance ol entillemanl of receipt, Its r8cognilion is def6rr8d and included in creditoys as deferred income. Where entitlem8nt occur5 bet0 income Ss rocelved. th8 incom8 Is accNed. 2.3 Expondlturo Expenditure is re&)gniSl once there is a al or constructlve oblallOn lo transfer economlc benefit to a third paty, il is probab18 Ihal a transfer ol ecorKJmic benefits will be required in settlement and the amount ol the thigaiion can be measured reliably. Expenditure is classified by aclivrty. Tho costs of each activily are mado up ol Ihe loial ol direct costs and shared costs, including Support ¢osts involved in urKlortaking each aclivity. Direcl costs allribulable lo a single activity are allocated directly to Ihal activity- Shared costs which contritMJle lo more than one aclivity and support costs which are not attributable to a single activity are apFortion8d betW8&n those activities on a basis consistenl with th6 use of resources. Cenlral slaff costs are alILated on the basis ol lime sperrt, and depreciation Gharggs allocat1 on th8 Portion ol th8 asset's use. Charilable activiligs and Govefflance costs are costs incurred on the Charitls edu¢alional OP8rations. including supwrt costs and costs Telating to the governance ol the Charity apportloned to Charltabb activities. All exp&ndtiura is inclusive ol irrecovorable VAT. 2.4 f3overnmenl grants Grarrts are accounled under the ac¢ruaLs model. Grants of a revenue nature are rwnised in the statement of linancial activities in the same period as the related expenditure. Pag8 19
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Llmlted by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 Accountlng po16cles Icontinugd) 2.5 Intsrgst r&cèlv8ble Interest on funds hekd on der(Jsit is included when recewable and th8 amount can be measured reliably by the Company; this is nomally upon notification of the inl8resl paid or payabte by the institution wilh whom the funds are deposited. 2.6 Tanglble flxed assets and depreclatlon Tangible lixod asseis costing £1,000 or more a ¢apikllsed and r8cogni$8d when lulure economic benefits are probable and the ccsl or value ol the assel can b8 mèasur8d reliably. Tangible fixed assets are inidalty recognised al cost. Aller recognitlon, under the cost model, tangible lixed assets are measured al cost less accumulated depreciation and any aecumulaled impairmenl losses, All costs Incurred lo bring a tangible fixed assth Into its intend8d wothing condilion 8hould included in the measurement of cosl. Depreciation is charged so as lo allal0 iha cost ol langlble fixed assets less their residual value over their eslimaled useful lives Depreciation Is provk4ed on the folknying bases.. Freehold prop Motor vehicles Fixwres and fittings Computer equipment - over 10 - 50 years Straight line over 5 years Reducing balance al 15V<+ Straight line over 3 years 2.7 Inv68tment prop8rt189 The Tiuste8S' p)licy was lo revalue the compan1$ investment prcyrties al each reportlng date. Govèrnors assessed the value of th8 land and Iwildings ba9ed on independenl valuation8 carTied o In 2018 and uplated for current market Prices. No depreciation is provKJed in respect ol inv8strn8nt properties in accordarce th section 16 of FRS 102'1nveslmenl Properf. The final inveslmgnl propety was sold in Ihe current y&qr. 2A Debtows Trade and other debtors are reccgnised at the setuement amount after any trade discount offered. Prepayments are valued al the amount prepaid nel ol any trade discounts due. 2.9 Cash at bank and In hand Cash al bank and in hand includ8s cash arKI short-tem highly liquid investments with a short maturtty ol three months or less from the date of acquisilion or opening of the deposit or similar account. Page 20
MARLBOROUGH HOUSE SCHOOL TRUST UMrrED (A Cornpany Llrnlted by Guaranlee) NOTES TO THE FINANCIAL STATEMEMrs FOR THE YEAR ENDED 31 AUGUST 2022 A¢¢ountlng pollcles (contlnued) 2.10 Llabllltles and provlslons abilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, il is probabk8 Ihal a Irans18r ol economic benefit wll t* required in settlem&nl, and th8 amount ol the settk8merrt can bo estimat r81iably. Liabilities are recognised al the amount that Ihe Company antlcipaies it 11 pay lo settle the debi or Ihe amount r( has received as advanced payments lor the gooxjs or servlces il musl provide. Provislons are measured at the b8st 8slimate ol the amounts required to settle the obligatmjn. Where the effect of the lime value of money is material. tha provision Is based on the present value ol those amounts, discounted al the pre-tax discounl rate that rellecls the risks specific lo the liability. The unwinding ol the discount is recconiwj in the Slalemenl ol Financial Acliwties as a finance cosl. 2.11 Flnanclal Instrumants The Company only has linancial assets and finan¢ial liabilities of a kind Ihal qualify as basi¢ linanclal inslruments. Basic financi instruments are initialty romnised al Iran$aclion value and subsequgntly measur8d ai their Settlement value with the excgpiion of bank loans whieh are Subsequently measured at amortised cost using the effective intorest methcrtj. 2.12 Penslons The Company op6rales a defined conlribution p8nsKin scheme and the p8nsion charoe represent$ the amounts payable by the Company to the fuThJ in respocl ol the Year. 2.13 Fund ac¢ountlng General ftjnds are unrestricted lunds whth are availablo for use al the dls¢retion of the Governors In furtherance of Ihe gener objectives ol tha Charity and which have not bgon designated for other purposes. Fleslrlded lunds are fund5 which are to be used in accordance wlh specific restrictions imposed by donors or which have b88n raised by the Charty lor partiLxJlar wrpos8s. The Costs ol rasing and admini8tering such fLJnds are charged against the speufic fund. The aim and use ol each restrfcled fund is sel out in the notes to the finarla1 slatements. Inveslmenl income, gains arKI losses are allocated to the 8Fpropriate fund. Page 21
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Llmiled by Guarantee) NOTES TO THE FINANCIAL STATEMEKrs FOR THE YEAR ENDED 31 AUGUST 2022 Critical accountlng estlmateg and areas of judgment Esllmales arKI judgments are continually evaluated and are basod on historical 8xpgrienGe and other factors, including expe¢tstions of future evenls that are believed to be reasonabto under th8 circumstances. Crrtical accounling eslimates and assurnplions- The Company makes estimates and assumplions concerning the future. The resulting accounting eslimal8s and assumptions wll. by definilion, sekjom equal the related actual results. The 8slimales and assumptions that have a signilicanl risk ol causing a material adjustment to the carrying amounlg 01 ass8ts and liabilities within the n8xt financial year are discussed bek)w. 11 Tangle fixed assets: Ihe Irusl88s annually assess both the residual value of Ih8s8 ass81s and the expected uselul lifè ol such as8818 which is currently judg&J to b8 UP to 50 years, bas8d on exp8ri8nce. ill Recoverability ol trade debtors.. the direclors annually assess wh8ther a bad debi provision Is rVIr0d for any bad or tJ)ubtlul debtor balanc8S. Income Irom donatlons and legacles Unrestrlcted funds 2022 Tot81 fund$ 2022 Donations 830 830 Page 22
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED {A Company Limited by Gu8ranlee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 Ineome from donatlons and legacles (contlnued) un$tr1ed funds 2021 Total funds 2021 Donations Government grants 15.339 50.916 15,339 50,916 66,255 66,255 Included in government grants in 2021 is income relating to the corona virus job retention scheme as w911 as the income in relation to the first year interest on the CBILS knan. The firsl year of interest on the CBILS loan is interest Iree lor Ihe School as it is paid for by the UK govèrnmènt. The applicable inleresl in the firsl year has been included as a government grant and corresFondiro inleresl charge in the linancial slatfjments. Income Irom charltable acllv11108 Unrestrlctad funds Total funds 2022 Gross fee income Less.. bursaries. scholarships and allovrances Other charges lo pupils Registraiion lees 3,336,078 3,336,078 1278,6791 (278,679) 96.906 96.906 2,050 3.156,355 3,156,355 Page 23
MARLBOROUGH HOUSE SCHOOL TRUST LIMrrED (A Company Lirnitgd by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 Income from charltable a¢tlvltleg (contlnued) Unr8slricte funds 2021 Total fvnds 2021 Gross lee income Less.. bursaries. scholarships and allowances Other ch*g8S to pupils Regislralion lees 3,473,900 3,473.900 (368,710) (368.710) 103. 715 103, 715 2.949 2,949 3,211,854 3,211,854 Income from olher tradlng actlvltles Incorne frorn lundr8lslng ovents Unre8trlcted fund8 2022 Tot$1 funds 2022 Lettings 18.424 18,424 UnrestrKted funds 2021 Total lunds 2021 Lettings 5,813 5,813 Inv8stment Income Unrestricted funds 2022 Total funds 2022 Bank interest 232 232 Page 24
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Llmlted by Guarantse) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 Inv8slrnent Income (conunued) UnTrslricted funds 2021 Total funds 2021 Bank interest Anatyslg of expendliure on charltablo actlvM188 Summary by lund type Unrestrlcted lunds 20r2 Total 2022 Teaching costs Welfare costs Promises Support lor schooling Bank interest and charges 2,076,551 434.500 577.587 499.514 21,767 1076.551 434,500 577,587 499,514 21,767 3,609.919 3,609,919 Unrestr{0 lunds 2021 Total 2021 Teaching costs Wemare costs Premises Support for schooling Bank interest and charges 2,204,441 407,859 528,5&3 558,959 27,747 2,204,441 407.859 528,583 558,959 27.747 3,727.589 3.727.589 Page 25
MARLBOROLIGH HOUSE SCHOOL TRUST LIMITED (A Company Limiled by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 Audito5 remunernlion 2022 2021 Fees payable to th8 Company's audr(or lor th6 audit of the Companys annual accounts 14,245 12,950 Fees payable to Ihe Companys audttor in respect of: All non-audit seryices not included at(svè 3,400 2.000 10. Stalf costs 2021 Wages arKI salades Social security costs Conlribution to delined contribution penSn schemes 2,191,452 193,431 234,290 2,285,081 205,378 294,956 2,619.173 2,785,415 Th8 average numb8r of pgrsons employ by the Company during the Y8ar was as follows.. 2022 2021 Teaching Domesti¢ Adminislralion 60 22 22 li 90 93 The number of employees whose eMOYee benefits (excluding employer pension costs) exceethd £60,000 was.. 2022 2021 In the band £60,001 - £70,Crf)O In tho band £90,001- £100,O¢XJ Th8 total remuneration benefits receN&d by key management personn81 durtng the year was £367,335 12021= £ 373.1571. Page 26
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Limiled by Guarantee} NOTES TO THE FINANCIAL STATEMEKts FOR THE YEAR ENDED 31 AUGUST 2022 11. Govornors. remunoratlon and expenses During the Year. no Governors received any remuneration or other benefits (2021- £NIL). During the Year ended 31 si August 2022. exFenses lotalling £NIL wore reimbursed or paid dlrectly to Gov8rnors- £NILI- 11 Tanglbl8 flxod a8S8ts Freehold property Motor FIureS and vahlcle8 flttings Computer equipment Total Cog1 or valuallon At 1 Septemr 2021 Additions 6,814,280 96,358 1.015,843 10,872 682,883 8,609,344 5,160 600,687 Al 31 st Augusi 2022 7,398,915 96,358 1,026,715 688,IM3 9,210,031 Deprecl8tlon Al I September 2021 Charge lor the Year 1093,783 140,405 813.005 31.199 663,677 12,817 3,464,243 186,785 Al 31 August 2022 2,034.188 96,142 844,204 676,494 3,651,028 Not book valuo At 31st August 2022 5,364,727 216 182,511 1149 5.559,003 At 31 August2021 4.920,477 2.580 202,838 19,206 5, 145,101 13. Investment property Freehold Inve3tment property Al 1 Septembgr 2021 Disposals 557,000 (557.000) At 31 st August 2022 Page 27
MARLBOROUGH HOUSE SCHOOL TRUST LIMITED (A Company Llmiled by Guaranto9) NOTES TO THE FINANCIAL STATEMEIUS FOR THE YEAR ENDED 31 AUGUST 2022 13. Inveslment property (Gontlnued) Pr8viousty, Governors assessed the value ol the land and buildings based on indep8nd8nl valuations carried out in 2018 and uwlated lor current market prices. During tho year, the linal inve*menl INlty was sold. 14. Debtors 2022 2021 Dug wlthln on8 yoar Trade debtors Prgpayments and accrued income 60,204 33,654 55,262 29,548 93,858 84,810 15, Credltors: Amounts lalllng due wlthin one year 2022 Bank loans Trade creditors Other taxation and social security Fees in advance and d8posi1S Other creditors Accruals and deferred income Advance payThenl scheme 1(K),000 46,294 loo,000 36,707 50,046 413,909 40,661 16,198 99.580 453,544 11,207 22,243 696,568 757,101 A CBILS bank loan of £500,000 was taken out in 2020. Interest is boing charged on ihe k)an at 2.34% p.a over base rate. The CBILS loan is repayable in installments over 6 years. Page 28
MARLBOROUGH HOUSE SCHOOL TRUST LIMrrED (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022 16. Credltofs: Amounts lalllng due after more than one year 2022 2021 Bank loans 291,667 682,929 Page 29
MARLBOROUGH HOUSE SCHOOL TRUST UMrrEO (A Company Llmlted by Guardntee) NOTES TO THE HNANCIAL STATEMEvrs FOR THE YEAR ENDED 31 AUGUST 2022 17. Statemenl ol lunds {conllnued) Statement of funds- prlor Year Balance al I Seplemt 2020 Balance al 31st August 2021 Gain (Loss) Income Expendilure Unrestrlcted funds Unrestrict8d lunds 5,669,426 3,284.562 (3.727,587) 37,800 5.264.001 Rejtrlctad funds Restricted Funds 2,313 2,313 Total ol lunds 5.671.739 3,284,562 (3,727,587) 37.600 5,266,314 18. Penslon ¢ommllments The School previously participated in the T8ach8rs' Pension Scheme Ilhe TPS'} for ils teaching staff but 8xttad tho scheme on l May 2021. The nsiOn charge lor the yoar Incl8$ conlribLrtions payable lo the TPS ol £nil12021.' £195.5501 and at the year-end £nil {2021- £nill was accru1 in respect of contributions to this scheme. The charity also makes c4)nintli0nS to defined contribthion pension schemes whose a8sels are held in an independently administered fund. During the year, contritionS of £234,290 12021 -£99.4071 were made lo the ponslon scheme with contributions 01 £1,599 (2021 -£900) outstanding al the balance sheet date. 19. Operatlng lease comrnltrnents At 31 st August 2022 the Company had c#)rnmitrnents to make fulure minimum lease payments under non-cancellable operating leases as lollows.. 2022 2021 Not later Ihan 1 year 17,064 Page 31