2021-07-31-accounts

KINGSWOOD BATH Kingswood School ANNUAL REPORT AND CONSOLIDATED FINANCIAL STATEMENTS forthe year ended 31 July 2021 Charity Registr8tion Number.. 309148

Kingswood School CONTENTS Foreword by the Headmaster of Kingswood School & Principal of Kingswood Foundation Governtsrs, Key Management Personnel and Advisers Governors, Report 6-15 Independent AuditOT'S Report to the Governing Body of Kingswood School 16-17 Consolidated Statement of Financial Activities 18 Consolidated and School Balance Sheets 19 Consolidated Statement of Cash Flow5 20 Notes to the Financial Statements 21-42

Kingswood School FOREWORD Annual Report of The Trustees of Klngswood school Foreword by the Headmaster of Kin85wood School & Principal of Kingswood Foundation In my first foreword as the incoming Headmaster and Principal of Kingswood School. I wrote that the academic year 19120 would be remembered as one of most disruptive years in Kingswood's fine history. Given the second Covid lockdown that endured in the spring of 21, 1 am minded to repeat this phrase, however we saw some Ereen shoots of norrnal life in the summer with a welcorne return of pupils and some heart-warmlng co-curri¢ular activities. Throughout my first 15 months of tenure, I have been and remain immensely proud of the pupils, staff and parents who have met every challenge with the typical 'can do. spirit of Kingswood. This foreword seeks to highlight some of great things at this school. Once more the uncertainty surrounding A-Level and GCSE examination5 was unsettling. Once clarity was established, tsur teachers were able to gulde pupils in a fair and robust internal assessment process towards Teather Assessed Grade5, based on evidence that our pupils produced. This yearfs cohort of students have coped admirably well with challenging circumstances and demonstrated excellent knowledge and understanding. Our Brade5 were universally upheld by examination boards following moderation, which is in no small part due to the professional and thorough approach of our teachers, expertly guided by the Deputy Head Acadernic. For the record, the school achieved a fabulous Set of A-Level result5 With 85% achieving A* to B. Despite media conjecture, over 90% 01 Year 13 athieved their first choice post 6, Forrn pathway, with 68% moving to a Russell Group university, including 7 pupils to medical 5choo15. At GCSE, 77% of grades were leve5 7 to 9. In 19120, the Black Lives Matters movement reminded the Foundation of the importance of our commitment to an anti-racist education where we stand up against all forms of discrimination. We were further challenged. following the Everyone's Invited movement. about our responslbility to teach and model equality, diversity and Incluslon as well as to tackle injustice and discrimination. We seek to do this in many ways,. for example vSa our PSHCE programme, tutor group discussions, 3ssemblie5, guest speakers and chapel services, A key purpose of our P5HCE prograrrme is to educate and encourage pupils to respect others. and themselves. with Relationship and Sex Education IRSEI being an important part tsf this curriculum. Our School policie5 and practice5 are aimed at ensuring Kingswood is a safe environment where all children can learn and develop. and we are committed to an open and constructive partnership with parents and guardians To this end. l am delighted that we have established a new post of Diversity and Inclusion Lead, and after a gap of 18 months we welcome our new Chaplain Rev Katy Thomas.

Kingswood School FOREWORD The final letter written by John Wesley to William Wilberforce roots Us In a long Methodist tradition of inclusiveness and equality which we are deterrnined to honour. Another theme that continues to gain traction is the School's approach to SU5tainability,' the joint pupil-staff committee has worked hard to raise awareness. In 2020, the Board of Governor5 committed to a Climate Emergenty declaration and steps are being taken to measure our carbon lootprint and to set KPIS. In the latter part of the School year, we enjoyed moments of freedom with some impressive cricket, swimrning and athletics performances. Outdoor theatre took on a new profile and somehow, we engineered a fantastic hybrid Iha1f in person, half on Teams) Prize-Givin8 Day to mark another academic year. Partnership work with local schools and the array of joint teaching and learnlng Initiatives naturally took a back stage, but plans are already afoot to rekindle this important area of outreach. Charitable work did continue throughout the year, although a return to normal levels of fundraisin8 (almost £30k in 191201 will have to wait until 2V22. After much reflection, the Board agreed to end our partnership activity in China due to a perceived mlsmatch in aspirations in the current political climate. We do continue to examine oversea5 Opportunities and we believe that a stronser link to international Methodlst schools would be of value. Our Founder's mantra continues to chlme strongly, despite a second year of disruption-'Do all the good you can by all the rnean5 YOU tan in all the places you can at all the times you can to all the people you can as long as ever you Can,, has never been more apt. Andrew Gordon-Brown November 2021

Kingswood School GOVERNORS, KEY MANAGEMENT PERSONNEL AND ADVISERS Governors On 24 AuBUSt 2001, the Kin85wood School Governors became a body corporate called Kingswood School Trustee Limited, company number 04253059. With effect from that date, the company called Kingswood School Trustee Limited became the governing body of the charltv. The Board of Governors of Kingswood School are the directors of Kingswood School Trustee Limited. They have served in officè throughout the year except where indicated. 131 141 MrT G Westbrook MA MSC Mr P S Baines Mr5 S J Bond Msc MCSP MMACP Retired Jul 21 Appointed Feb 21 Retired Oct 21 Acting Chair Oct 21 Mrs H Bools BDS FDS M'orth MSC Ivice Chair from Dec 201 Mrs S M Cook LLB Mr l G Falconer BSC Mr P Freeman CBE QC Miss E A Garner BA CA CPFA Mr M Gordon Mr S W Holliday MA Chairman from Dec 201 Mr D C Humphreys BA (Ex- Officiol Ms l R Lewis MA P8DipLaw Retired Jul 21 Retired Oct 21 1111: Appointed Sept 21 Retired Oct 21 Mr T T Lindsay MA Mr D Lau FCA Mr5 B R Pendle Cert Ed Reverend Or J H Pye MA PhD (Ex Officiol MrDQuine MA MEd BEd Major General A J Raper MA CB CBE (Retdl Mr R D Sandry FCA Mr C J Stafford BA Mrs S Thomas BA PGCE r-O-J-Warm3nn-BAI.Hon PGCert Retired Jul 21 Retired Jul 21 Retired Jul 21 Retired Oct 21 Appointed-Dek20_ Throughout the year. the primary activities of the 8oard of Governors were carried out through seven sub-committees. Comrnittee membershSp is highlighted above with the Chair annotatÈd by asterisk I'l. 111 Executive Committee 121 Nominations Committee 131 Strategic Planning Committee 141 Finance and Estates Committee 151 Education and Pastoral Committee 161 Compliance and Safeguarding Committee 171 Overseas Committee

Kingswood School GOVERNORS, KEY MANAGEMENT PERSONNEL AND ADVISERS The director5 of Kingswood School Trustee Limited foi the purptsses of this report and the financial statements will be referred to as 'Governors' of Kin8swood School and are considered, together with ttriose listed below, key personnel for the purposes of FRSIO2. Key Management Personnel Mr A S Gordon-Brown MSC Headmaster of Klngswood school and Principal of Kingswood Foundation Senior Deputy Head Bursar and Clerk to the Governors Headmaster Kingswood Prep School Deputy Head (Academlcl Klngswood School Senior Deputy Head KPS Deputy Head (Academic) KPS Chaplain Dirertor of Human Resources Director of Inforrnation Techno1oBV Director of Development and Fundraising Director of Admissions, Marketing and Communication Mr G O Opie BEd Mr S J Vickery MA MSC Mr M R Brearey BA Mrl M Davies MA Ms H Worrall MEd, BA Mrs K Wilkinson BA Rev K Thomas BTh MLitt Mr5 K Dickinson PgDip RM Mr A T Francornb Bsc Mr G N Papenfu5 CFRE Appointed Sep 20 Mrs H C Drew BA Registered Address Kingswood School Lansdown Road Bath BAI 5RG Advlsors to the Foundation Bankers Barclays Bank PIC 4-5 Southgate street Bath BAI IAQ Solicitors stone King LLP 13 Queen Square Bath BAI 2HJ Audltor Haysmacintyre LLP 10 Queen Street Place London EC4R IAG Insurance Agent Hettle Andrews 2 Brunswick Square Birmingham BI 2LP

Kingswood School GOVERNORS, REPORT For the year ended 31 July 2021 The governors present their annual report together with the financial statements and auditor's report of the charity for the year ended 31. July 2021. Unless specified the term 'School' refers to the Foundation (Senior and Prep School). Governance, Structure and Management Governin8 document The unincorporated Charity. Kingswood School, was constituted under the provislons of the Methodist Independent Education Trust Deed 1903 and subsequent schemes of 19 August 1953 and 5 Jurie 1974 a5 arnended by the scheme sealed 27 Mard) 1997 and 24 August 2001. It is a registered charity, number 309148. On 24 August 2001, the Governors of the School became a body corporate called Kingswood School Trustee Lirnited, companv number 04253059. With effect from that date, the company called Kingswood School Trustee Limited became the sole governing trusteè of the charity. In July 2019, the Articles of Assoclation were amended (after agreement by the Methodist Conference) to permit an increase in the number of governors from 18 to 24. Group framework Kin8swood School has three subsidiaries, Kingswood Entèrprises Limited Ico. Re@. No. 02545441, Kingswood International Lirnited (Co. Reg. No. 1051971318nd Ferens Posnett Limited (Co. Reg. No. 113765071 as well as a subordinate charity, Kingswood School Development Fund (Charity Reg. No. 3102291. Kingswood Enterprise5 Limited 15 involved in cornmercial lettings. propertv management and the rental of minibus services for the benefit of the School. Kingswood International Limited Is involved In delivering educational consultancy and curriculum rnateria15 overseès. Ferens P05nett Lirnited is a dorrnant company that is involved in providing financing services for School projects. The charity, Kingswood School Development Fund, is held in Suspended animation,. its main object$ are to fundraise and apply the annual income of the charity for such charitable purposes as the Governors shall determine. Organisational structure and decision- maklng The School governors, as the body corporate of the Charlty, have a legal responsibllity for the overall management of the School and it5 Strategic direction. Governors benefit from presentations by staff, charity and education experts as well as meetings with staff, students and parents. A5 deseribed earlier, governors execute their responsibility through the seven sub-committees ol the Board. In 2018. two sub-committees were added to rhe previous five, recognising the growth in compliance and safeguarding matter5 and overseas developments. Each sub-committee and the main Board meet termly. All sub-committee Chairs are invited to the termly Strategy Committee, formerly a function of the Executive Committee. The Headmaster of Kingswood School and Principal of the Kingswood Foundation Is responsible to the Chairman lor the management_of_th&F4)undationJ4e_aChieves_this_with_thuuppott_of_theSeuior_DeputV-Head,-BursaLIDirector￿f_FlnanCethn Operations), Headmaster of Kin8swood Prep School and members of the Foundation Leadership Team IFLTI and additiona51y by the Senior ManagementTeams at KPS and the Senior Schtsol. Recrultment and training of Governors The appointment of governors is confirmed at meetings of the main Board on the recommendation of the Nominations Committee. Governance audits take place annually to ensure that a broad range of skills exist across Board members. New governors are selected to augment these ski115 and undergo an internal induction process, arranged by the Clerk to the Governors. On8oin8 training is arranged through AGBIS and other bodie5 Wlthin the Independent Schools Council. The Chalrman of Governors attends an annual meÈtlng organlsed by the Methodist Independent Schools Trust IMISTI. An annual "Away Day" is organised for Governors to meet collectively off slte io dlscuss strategic plans, governance and education tOPiC5.

Kingswood School GOVERNORS, REPORT For the year ended 31 July 2021 The rernuneration of the Headmaster and Principal of the Foundation 15 set by the Executive Committee. Other key management personnel are remunerated with the objective of providine appropriate incentives to encourage enhanced performance and rewarding them fairly and re5ponsibW for their individual contrlbutions to the Foundation's success. AGBIS benchmark data is used to guide the remuneration of key management personnel. Employment Pollcy and Equallty Act The School is an equal opportunitie5 Èmpltsyer. Full and fair consideration is given to job applications from disabled persons and due consideration is given to their training and employment needs. Consultation with employees or their representatives has continued at all levels wlth the alm of taking the views of employees into account when decisions are made that are likely to affect their interests. Communication with employees continues through normal rnanagement channe15 in a variety of forrns and also through INSET and other extraordinary notices as requlred. For the fourth year, the School reported its Gender Fair Pay data and published the results on it5 website. The School re- emphasised its strategic comrnitment to reduce and to eventually eliminate the current gap. Object, aims and objectives Charitable object As set out in the School's Artlcles of Association.. The advancement of education and learning for children. Aims. objectives and intènded Impact Kingswood School aims to challenge its Students to rèalise their academic potential.. however. the School measures a child's worth by more than examlnation results. It seek5 to establish the development of character. talent, responsibllity and independence as the important foundation for èdult life. It provides students with the opportunities to develop these qualities and, through a comprehensive pastoral structure, aims to give them the support they need as they mature. Kingswood aims to give children a sense of joy in their own achievernent and that of other5, balanced by a strong sense of humility. modesty and tearnwork. It endeavour5 to foster a love of learnin& the ability to reason and rrake Considered judgments, the courage to question assumptions, a cornmitrnent to community. a willingness to lead and to serve, and an appreciation and understanding of others. The beneficiarles Include.. voung people whose education is funded through fee income, donations, bursaries and scholarships- the local community which benefits from appropriate access to the School's facilities,. a number of charities based in the UK and worldwide for whom funds are ralsed at the School. the general public are the uStimate benèfldarles of the School's high-quality educational system and the social values that it Eenerates.

Kingswood School GOVERNORS, REPORT For the year ended 31 July 2021 Achlevements and Performance The highlights of the School year appear in the Principal'5 foreword to this report. Once aeain the academic year has beÈn disrupted by 3 second Coronavirus lockdown (lan 211 which forced the School to rnove to remote teaching. Earller investment in digital tethnoloÉies ensured that Kingswood was able to deliver the normal curriculum, but perhaps unsurprisingly, the broad co-curricular offer wa5 reduced; consequently an offset to fees was granted by the Board. Similar to the exam grades in 5urnmer 2D, the academic staff assessed and awarded'centre assessed grades, forthe leavingcohort and additionally the GCSE Year 11 students. Pastoral care continued to be delivered innovatively online, and as the summer arrived more school activities (such as drama and cricket) were made available. Whi15t academic succes5 Is Irnportant, the Kingswood ethos also focuses on nurturing the talents of its student5. The Governors are delighted that Kingswood continues to produce significant succe55 in boy5, alld girls, sports, drama, music, outdoor education Ilncluding Ten Tors, the Duke of Edinburgh award scheme) and the many other extra-curricular activities on offer Kin8swood 15 a boarding and day school which provides education to gir15 and boys èÈed from 9 months to 18 years. The Garden nursery is on track to comprise up 10 90 children. whilst in the last year the average number of children in the Prep School was 334 and 799 In the Senior School. Entry to the Senior Schoolls predominantly in Year 7, with a smaller intake at Year 9 and into the Lower 6, Form. Approximately one quarter of senior students board and the majority of day pupils live within 45 minutes of the School. The Governors and the Senior Management Team continLteto balance fee affordabllity with the provision of high quality education set against a backdrtrp of developing and maintaining existing infrastructure. In 2018. the Governors commissioned a number of surveys to deepen the School's understanding of its parent base and it continues to receive benchrnark information from organisatlons such as the1SC, HMC, ISBA and Baines Cutler. The aim is to attract children from a diversity of backgrounds and to prepare students with the tools they need to succeed in the increasingly changing and complex world beyond school. In the last three year5, extensive investment has been made at the Prep School with modern, state-of-the-art facilitie5 and a purpose-bullt nursery. Unplanned building repairs and a major refurbishment ol the Pegasu5 classrooms and the conversion of High Vinnalls to a Pr&School extension have continued to soak up costs and a consequent delay to the next phase of the Estates Capital Master Plan (girls, boarding and the Dixon Centre I has been confirmed. In autumn 19. the Governors commissioned a condition survey that has now reported,. the backlog maintenance items are now scoped in to 3 tranche5, Wlth the first tranche of repair5 to commence in late 21. Financial Review and Yearly Results A surnmary of the financial results for the year is Set out in the eonsolidated statement of financial activities in the Financia5 statements. The net movement in funds showed an overall increase of £375,543 12020.. decrease of £294.5001 before an unrealised gain on inve5tment5 of £24,95712020-. unrealised loss of £15,130). Income. The total fee income for the year, after scholarships, bur53ries and other remissions comprised £17,824,138 12020.. £16,202,791). Scholarships. bursaries and remissions totalled £2,718,84712020.. £3,523,9891 of which El,661 12020.. £37,296) was funded by external grants. The decrease in remlssions this year was as a result of a reduced sprlng term discount offered due to the school being closed because of Covid-19 cornpared to the previou5 summer term discount. School fees rose by 2.5%. Ancillary income wa5 £1,192,38912020.. £1,598,894), which included donation income of £196,(K)912020.' E139,6431. Expenditure. Total expenditure was £18.746,60112020.' E18,614,9141, of which 69% 15 represented by Foundation staff costs. Group assets. rhe School's total net assets of £12.505,54512020'. £12,105,047) al yeaT-end included £1,170,00112020'. £1,165,854) endowment funds, £1,859,471 12020.. £1,633.5231 restricted funds and £9,476,073 12020.. £9.305,6701 unrestricted funds. The net book value of fixed assets totalled £21,513,70412Q120'. £21,675.4951 . Net current liabilities totalled £2,024,62312020'. £2.312.3291 and long-term liabilities £7,404,47212020.. £7,654,013).

Kingswood School GOVERNORS, REPORT For the year ended 31 July 2021 Loans. The School has one fixèd interest rate term loan, two variable loans and a further un5etLsred Charity Commi5$19n- agreed loan from Endowrnent Funds to fund the development of the School's facilities. The fixed and variable loans are secured on specified tangible assets of the School. Repayment Is proceeding on schedule. The movements in fixed assets during the year are set out in note 11 to the financial statements. The School Spent £928,204 on capital expenditure during the year12020.' £622,5521. As an educational charity. the School has a tax exemption on its educational activities and it5 investment income. Investment policy. The long term oblective of the investment policy has been to at least malntaSn the value of the erTrdowment funds Iless the substantial withdrawal in June 20181 in real terms li.e. to match inflation as measured by the Retail Price Index, the increase in salarie5, and other ielevant inditatorsl and to take all further gains as income. Investments are governed by the Trust Deed. The School at present invests funds through the Central Flnance Board of the Methodist Church. which Teports annualSy to the Methodist Independent Schoo15 Trust that it has reviewed it5 policie5 and is making the best investment on behalf of all Methodist Schools. The investment portfolio follows ethical principles of investment. The invÈsiment performance in the year was up about 6.3%. Resefves pollry. The Foundation's reserves pollcy Is to malntain sufficlent unrestricted income reserves to enable it to meet its shorl-term financia5 obligations in the event of an unexpected revenue shortfall. Like many schools, the School ends the year with a net current liabilities figure. At year end the School ha5 access to an available overdraft facility of £lm. The Eovernors are Satisfied that the School has sufficient financing available to meet its working capital and investment requirements. The Financial Statements show the assets and liabilities attributable to the various funds by type and sumrnari5es the year's movements in each fund. In cornmon with most schools. the Charity operates with negarlve 'free reserve5', but the Governors are satisfied that external finance would provide an additional '5alety net, if it should be required. The Governors are satlsfied that the current level of reserves are in line with policy, but wish to emphasise that a contingency or reserve fund is somethlng belng actlvely consldered in the Forward Plan. Strateglt Rlsk Management The Board of Governors is responsible for putting in place strategies to mltigate major rlsks to the Foundation. The 8oard formally reviews the Risk Register annu311y and governors are represented on the termly meeting5 of the Risk ManagemeNt Committee, chaired by the Bursar (Director of Finance 3nd Operations). This Committee identifies, assesses and conS￿derS mitigation and control mechanisms. The significant risks, as identified by the committee and endorsed by the Board comprise.. Safeguardlng. Ensuring that appropriate identification, control and reporting mechanisms are in place to ensure that children are kept safe. The reputational dam38e of a failure in safeguarding would severely impact the Foundation; for this reason it is the highest placed risk. The Schools Designated 53fèEuarding structure was reviewed and bolstered in Sep 20. KPS has also reviewed and amended its structure with a new DSL appointed in Sep 21. Colonavlr.us.￿1lthQUt￿￿eItio has continued to am a number of the standin risks to the Foundation. Extraordinary committee meetings of Governors were held throu8hout the autumn and spring period of 2( 21 to assess and to mitigate these iisk areas. In particular. the financial and reputational risks were examined closely with a seriès of rneasures agreed and implemented. Financlal. Retaining pupil numbers Iboarders and day studentsl to ensure that a predictable and stable financial plan can be constructed. A significant drop in pupils would severely Impact the financlal health of the Foundatlon. In addltion, potential threats to income and expenditure in the independent sector are modelled by the Strategic Planning Committee. Fee affordability in lieht of Brexit and the Coronavirus is also a prime concern, with a number of recent Surveys conducted to deepen the School's understanding of its parent base. Consequently a second round of fee reduction wa5 agreed at Easter 21. A new post of Director Adrni55ion5, Marketing and Communlcatlons was established in May 21 to bring focu5 to these critical areas of school operation. Estate. Understanding the condition and rnaintaining existing infrastructure whilst creating an emergency contingency fund to cater for unexpected building failure5 across the estate remain5 a priofity. The 2020 Condition Survey has

Kingswood School GOVERNORS, REPORT For the year ended 31 July 2021 produced a rich set of data for consideration at the Finance & Estates and at the main Board Committee. Consequently a significant fund was established for backlog maintenance, £1.75m Over 4 year5. Cornpliance issues remain a challenging area, especially concerning asbestos, legionella and Radon gas. The Risk Mana8ement Committee regularly receive reports and take action where necessary. Reputatlonal. The continued success of the School 15 dependent on conlinuin8 to attract applicant5 in sufficient numbers by maintaining the highest educational and pastoral standards. To mitigate this risk, the Foundation ensures pupil5' success, achievements and welfare are closely monitored and reviewed. Thls has been exceptionally difficult during the pandemic and innovative means have been 50U8ht to mitigate risk5 to the School'5 reputation. The Black Live5 Matter and Everyone's Invited movements have focussed attention on the School's Diversity and Inclusion policy. this ha5 led to the appolntment of a new p05t, Ihe FoL¢ndation Diverslty and Incluslon Champlon. The Governors are of the opinion that appropriate measures have been put in place to mitigate significant risks. Sub-committee5, strategic planning, budgeting. levels of authorisation, written policies and audits contribute to addressing risk factors,. however, it 15 recogni5ed that an absolute assurance cannot be provided. Future Plans The Board continues to map out the strategic direction for the Foundation. It 15 important to continue to build on the academic and co-curricular success of the School, whilst Seeking to enhance attendance (sometimes with fee assistance) from a wide-range of family backgrounds. The Foundation is enriched by oversea5 students and thi5, tO8ether with a vibrant Sixth Form, is another major area of development. The Foundation must maintain the very healthy numbers of student5 in the Prep and Senior School, wlth targets Set for the recently integrated marketing and admissions teams. Covid has caused the Trustees to reflect on the overall health of the Foundation and although future plans remaln intact, they are constantly under review. The Board has empha515ed the importance of reachinB Out to its alumnus, parent body and other partie5 to pursue common goa15 of friendship, mutual cooperation and the development of vèrious projects. To this end, the Kingswood Cornrnunity network has been established. Board members frequently attend seminars on a wide range of independent school topics as organised bv AGBIS. ISBA and other bodie5 of ISC. The Chairman, Principal, Bursar and other key mana8ernent personnel attend a Tange of events hosted by the Methodist Schools Independent Trust IMISTI. The Board also embraces, celebrates and wishes to deepen the understandlng of the School's 273 year herltage of Meth￿}St education. More specifically. the Board is committed to a number of futurè plans.. To maintain a healthy nurnber of students. circa 1300, across the Foundation, enabling them (alongside all member5 of staffj to thrive and to fulfil their potential. ¢>Continu￿r*r4fi(l￿h￿a¢ad¢mlCOffer.in￿thr.oUg￿th&de1lyery_ofJeguIaDeduCatl0wreVLew5 Within 2 years, to increase the number of primary (Prep) and nursery children to reach full complement. To maintain the achievement of a modest annual recurring financial surplus and cash reserve in order to support continued investment in fee-a5SlStance (particularly transformational bursaries) and facilities. To develop and review the Ftsundatlon Strateglc Plan and the linked 10 year Forward Plan. To model the financial impact of less favourable political, econornic and charity 5tTate8ie5. Where approprlate. to develop partnerships overseas. To deliver the Estates Master Plan, specifically to build a state of the art Cookery School, improve the boardin& 6, Form and fltness provision within the School. io

Kingswood School GOVERNORS, REPORT Forthe year ended 31 July 2021 Investment In Informatlon Technologv During the first lockdown in Summer 20 and subsequent Winter 21 repeat lockdown, it became very apparent that a $18nlficant investment in IT was required. Academic staff weie equipped with a disparate range of mobile IT and some of the class rooms lacked digital enhancement. Thanks to a rapid approval of a di8ltal equipment business case, the Director of IT procured and implemented a roll out of Micr050ft Surface devices, which greatly aided teachers to deliver the curriculum from almost any WiFi connetted location. Perhaps it is no exaggeration to Stjggest that Kingswood squeezed 3 year5 of IT procurement in to 6 rnonth5. Although the spend doubled on IT, it has been a force multiplier for parents and slgnificantly enhanced the School's reputation. The next step change in IT is to equip the pupils with a choose and bring your own device. thls achieving a seamless integration with school systerns. Estates Ma5tèrplan The Board, through its subordinate Finance and Estates Committee, is determined to develop the fabric of the School as well as maintaining 3 set of bulldings that date back to 1852 when the School was opened at its Bath location. An Estates Masterplan was commissioned in 2D13, updated in 2016 and currently undergoing a 2020121 enhancement wSth a focus on potential asset disposals to fund investment in the estate. The build of a new Cookery School. completion of the enharTrced btsardin8 accommodation and the Dixon Sixth Form Centre 15 the priority of the Board, now that the build at the Prep School has cornpletÈd. The ongoing drive to refurbish and ènhance the School's indoor sports facilities is also an essential feature of the Masterplan. Additionally there 15 a fund-raising activily, led by the Developrnent Director, to construct a Fitness and Wellbeing Sports Hub. In the longer term, the Estates Masterplan contains concept drawings and analysls for the rebulld of teachlng, dlnlng and assemblv facilities and the provision of more domestic residential properties. The Board rernains èvèr committed to preserve the wonderful array of buildinBs at Kingswood. Built in the 185Os with substantial additions in the inter-war years, there are four Grade 2 (including one of spetial category) Listed buildings. Discussions continue with the Bath Preservation Trust to Share best practice on the preservation these historic buildings. The Board commissioned 3 2019 Condition Survey to further examine the Estète's assets. Results of this survey were received durin8 Easter and early summer 2020 and are now feeding in to the Estates maintenance programme and being used to juslify a significant £1.7Sm backlog maintenance funding plan. Public Benefit and Communlty Engagement The Board recognises fully its obligations under section 17 of the Charities Act 2011 to operate a considerable benefit to the publlc. Th￿Board-ha5"m8de-Signifficantpr0viSion-t0-broade[ythe-3ctesstO-a-K.ingswo0d education. Fee Asslstance- broadenln8 access to educatlon An extensive bursary and scholarship programme enables students from a wlde range of backgrounds within our local ¢ommunitv to benefit from the opportunities which a Kin8swood education provides. The Foundation sUPPOrts 361 pupils with financial assistance in the form of bursaries, scho13r5hips, MOD and staff discount scheme5. The award of financial assistance is means- tested on an annual basis. ranging from awards of 25% to lOO%. The Board wishes to Increase the number of remissions available subject to sound financial management and is seeking to use it5 development and fundraising team to attract potential benef3ctors.' an example of this is the commencement of the first and now second 10 for I bur53ry Scheme, where ten donors generously Support a 100% day bursary. To widen access yet further. the School hiEhli8hts potential source5 of external funding where appropriate. Where there is a sudden change in farnily circurnstances, the School will consider financial assistance to allow a pupil to reach the next natural break in their education. li

Kingswood School GOVERNORS, REPORT For the year ended 31 July 2021 The School believes that nurturing talent is important and therefore a number of academic, sportin& musical and dramatic s¢holarshlps are awarded. These range from IO% to 25%, with 162 children from a broad range of backgrounds benefittinE. During the surnmer temi, a Support lor Hardship) Fund was established to help parents who encountered severe financial difficulties during the pandernic. We also provide tangible support to the Armed Forces by offering fee ¢on¢esslons of up to 20% to members of Her Maje5tVs Armed Forces,. currently 59 children. Partnerlng wlth the malntslned sector The Board strongly believes that the School must continue to forge links with local maintained schools. To rneet this aim, the Headmaster has appointed a member of staff with the specific responsibility for community outreach. The acLivities that the School now undertakes builds on the sound foundation established over the last decade. The staff provide specialist master classes and coachin8 in languages. scien￿. technology and mathematics for local schools as well as those further afield. They also serve on specialist academic and technical bodies, Speak at conference5, design frameworks for development programmes for teachers and serve as teacher mentors. The School hosts external training providers and offers places to colleagues from partner schools at subsidised rates or free of charge. The COVID pandemic has presented significant logistical challenges in terms of working with our partner schoo15 in the last year. Nevertheless. examples of partnership work with oihei schools include.. Openin8 up own virtual lecture programme to all the maintained secondary schools in BANES, including lectures by Jacob Rees-MoEg, local MP Wera Hobhouse, and journalist Justin Webb Offering a local maintained school, St Mark's, a free subscriptlon to Yeen Tips, Kingswood teacher actin8 as a volunteer mentor for Sixth Form student5 at another partner school, Oldfield The School's MIDAS trainer ha5 continue to provide MIDAS training pro bono at 5t Marvs Our Head of DT has been supporting the DT Department at St Gregory's with curriculum development there The School ¢ommunlty supported an appeal from St Mark's which enabled them to buy 20 Chromebooks for their m05t vulnerable pupils Supporting a project at St Mark's aimed at providing food parce15 worth £25 each for 23 families who were struggling in the 2020 5umrner holidays Otsnatin furniture to a local p￿rIrnar school St Philip's. Sharing of School facllltles The Board wish to extend the use of the School's sports and recreation facilities 3CTOSS the local community providing either free or subsided hire. Extensive use is madè of the School's facilities throughout the year by local groups and organ￿SatiOns, coordinated through the widespread activitie5 of the Commercial Manager. Examples In recent yèars include.. City of Bath Hockey Club rnakin@ regular use of the AstroTurf pitches. Somer5et CCC and Wiltshire CCC Cricket Academy, Bitton Cricket Club and Cor5ham Cricket Club using the f1rst Xl cricket pitch. Bath Rugby Academy at the Upper playing fields. 12

Kingswood School GOi/ERNORS' REPORT For the year ended 31 July 2021 Larkhall Youth Football club usin8 the Upper playing lields. Bath Aquae Sulis Swimming Club and the new Weston All Saints Prlmary School making extensive use of the swimming pool. Oldfleld School use of our football pitches for 8iils' football. Clarendon School and St Mark'5 School use of the theatre. Visiting primary schools use the athletlcs facility for a sports day. Various other Bath sporting clubs use our sports facilities for regular or one-off trainin& ttrurnaments and events. Allowing the public in north Lansdown to ramble across the Upper during Lockdown for exercise. One of the highlights of the academic year is the hostin8 of the Model United Nation5 Conference. Schools nation-wide, independent and maintained, are welcomed to Kingswood for a series of lively and topical debates. This year. this event took place virtually, with 130 students attending form 13 different schools. We also normally host a number of muslc events and workshops that the public can attend and to which local schools are Invited. The School sponsors the annual Bath Music Festival with a live performance held for the public in central Bath. The School also sponsor5 part of the Bath Literary Festival and also hosts two acclaimed reading and book compètifions.. The South West Regional Heat for the Kids Lit Quiz. the Centurion Book Awards. The School has held Joint drama production5 Wlth Clarendon Academy In Trowbridge, making use of the School's modern theatre and allowing students to enjoy the full technical support of a theatre, while drama students from a partner state school have joined Kingswood students on trips to theatre productions in London. The School is extremely proud to open its doors on Christmas Day to over 300 less fortunate members of the publicwho are served a festive lunch by a local charity. This is now the 13, year of our 'Open Christma5'. although Dec 20 was postponed due to the pandemic. Further examples of publTC benefit can be found at www.kin wood. h.sch.u about-us communit -en ement The Board lully recognises its obligation5 under Section 17 of the Charities Act 2011 to operate a considerable benefit to the public. The Board has made significant provision to broaden the access to a Kingswood education and to ensure that its facllities are accessible for ex gratia use. Fundralslng and other forms of charltable support Charity fundraising is an integral part of the culture and life of the School, either through the efforts of individual students or as part of the School's overall charity initiative5. At a more general level staff and students regularly iaise fund5 through various personal and group initiatives in aid of a range of local, national and international charities. We believe that th15 focus on eharitv and community work not only benefits others but also develops a sense of social responsibility among the pupi15 which brings long-term benefits. In keeping with ourcommitment to a holistlc education and our outward-lookine approach. we seek to engage in a wide range of activities within our local community which we hope will be of significant benefit to all those involved. We estimate that in excess of £30,000 Is ralsed by the Foundation in support of charities every year, in a normal year. 13

Kingswood School GOVERNOR5, REPORT For the year ended 31 July 2021 In the past 12 months. notable charitable projects: The Malawi Open Arm5 project is a long establlshed fundraising initiative where the School 15 partnered with an education charity in Malawi. Every two years a group of 40 students visit schools in Malawi to assist with building and maintenance projects and raise funds for the provision of further education facilities. The next trip is due in 2023. This year King5wood has continued to support thi5 charity, through Initiatlves such as'Dog Beds For Degrees, and the sale of 50 festive hampers at Christmas. Julian House and Hope for Homes are two other prominent charities where the School raises significant funds through sponsored actlvltles,jumble sales and other event5. Whilst some of these activities are teacher led, the majority of events are independently organised and led by the students. Although Julian House cancelled their main fund-raising event this vear. the Big Bath Sleep-out, the School supported their appeal for students to complete the sleep-out at home. Kingswood has had regular collections for the Bath Foodbank in rècent years and the School continued to support throughout 2020-21, by raising awareness in school new51etters. The school published links to alternative ways of donating, lists of items which are currently in short supply, and reminders to consider the Foodbank when parents and pupils were doin8 their shopping. The School also continued to support the Genesis Trust by publicising fundraising initiative5 in our newsletter. Kingswotxl is a regular supporter of the Royal Britlsh LeÈion Poppy Appeal. In November 2020, over £300 was raised for thi5 cause. The School also regularly sUPPOrt5 the Dorothy House Hospice, through initiatives such as the 'Get Elfie Campaign, In November/oecember 2020. Students made items for the Chrlstmas Card Packages campaign, supporting Age UK, St Mungo'5 and Creativity Works just before Christmas 2020. In Autumn 2020, the School community enthusiastically supported the 5tudent-led Movember appeal, raising over £2000 for that charity. In the summer of 2021 the School's PE Department organised a Touch Rugby Festival in aid of M35iphumelele RFC in South Africa, iaisin8 over £IOOO for that cause. Othei charities which the school has supported in 2020-2021 Include Pardada Pardadl la charity supporting girls, education in Uttar Pradeshl. 8reast Cancer Care UK, The Alzheimer's Society, the Royal United H05Pltal'5 Sofa to Summit Challenge and the Hami Nepal Youth Organisation. It should be noted that the School only fundraises from known supporteis and does not appeal to the general public. The school is reElStered with the institute of fundraising. Staff involved with fundraising follow best practi￿ guidance issued b the institute of fundraising and do not engage with third party fundraisers. No complaints were received in the year relating to fundraising. 14

Kingswood School GOVERNORS, REPORT For the year ended 31 July 2021 Statement of Governors, Responsibllltles The Governor5 are responsible for preparing the Governors, Annual Report and the f1nancial 5taternents in accordance with applicable law and United Kingdom Accounting Standards (united Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England and Wales requires the Governors to prepare financial statements for each financial year whlch Eive a true and fair view of the state of affairs of the School and group and of the incoming resources and application of resources of the School and group for that perlod. In preparing these financial statements, the Governors are requlred to: select suitable accounting policies and then apply them con51Stentlv,' observe the methods and principle5 in the Charitles SORP.. make judgments and estimatès that are reasonable and prudent,. state whether applicable accounting standards have 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 khool will continue in business. The Governtsrs are responsible for keepin8 Proper accountin@ records that disclose with reasonable accuracy at any time the financial position of the School and group and enable them to ensure that the financial 5tatement5 comply with the Charities Act 2011. They are also re5POM5ible for safeguarding the assets of the School and @roup and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The Governors are responsible for the maintenance and integrfty of the School and financial information included on the School's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in otherjurisdictions. Approved by the Board of Governors on and signed on its behalf by.. Mrs H Bools Actin8 Chair of Governors, on behalf of Kingswood School Trustee Lirnited 15

Kingswood School CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES For year ended 31July 2021 Oplnlon We have audited the financial statèments of Kingswood School for the year ended 31 July 2021 which comprise the Consolidated Statement of Financial Activities. the Con501idated and School Balance Sheets, the Consolidated Statement of Cash Flows and notes to the financial statements. Including a summary of signifitant accounting policies. The financial reporting framework that has been applied in their preparation Is applicable law and United Kingdom Accountlng Standards, includin8 Financial Reporting Standard 102 The FNnonciol Reporting Stundard upplicoble in the UK ond 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 of the parent charitvs affairs a5 at 31 July 2021 and of the 8TOUP'S net movement in funds for the year then ended,. have been properly prepared in accordance with United Kingdom Generally Actepted Accounting Practice; and have been prepared in accordance with the requlrements of the Charities Act 2011. Basls for opinion We have been appointed as auditor undersection 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. We conducted our audit in accordance with International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audlt of the financial staiÈmÈnts section of our report. We are independent of the Eroup in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'5 Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe thatthe audit evidence we have obtained is sufficient and apprtrpriate to provide a basis for our opinion. Contlusiorts relating to gotng toncern In auditin8 the financial statements, we have concluded that the tru5tees' use of the golng concern basis of accounting in Ihe preparation of the financial statements 15 appropriate. Based on the work we have performed, we have not identified any material uncertaintie5 relatin8 to events or conditions that, individually or collectively, may cast significant doubt ori the group's abllity to continue as a going concern for a period ol at le35t twelve rnonths from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to goin8 coricern are described in the relevant sections of thls report. Other information The trustee5 are responsible for the other information. The other information comprises the 1nformation Included in the Governors, Report and Headmaster's Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise expll¢ltly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial 5taternents, our responsibility is to read the other infoTmation and, in doin8 $0, 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 rnaterial inconsistencies or apparent material misstatements we are required to deterrnine whether there is a material misstatement in the financial statements or a mètwial missratement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of thls other information, we are required to report that fact. We have nothing to report in this regard. Matters on which we are required to report by exception We have ntsthing to report in respect of the following matter5 in relation to which the Charities IAccounts and Reports) Regulations 2008 require u5 to report to you if, in our opinion.. adequate accounting records have not been kept by the parent charity.. or sufficient accounting records have not been kept,. or the parent charity financial siatements are not in agreement with the accounting records and returns,. or we have not recelved all the information and explanatlons we require for our audit. 16

Kingswood School CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES For year ended 31 July 2021 Responslbllltles of trustees for the flnancial statemènts As explained more fully in the trustees. responsibilities Statement set out on page 15, the trustees are responslble 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 Dr error. In preparin8 the financial statements, the trustees are responsible for a55e5sing the group's and the parent charily's ablllty lo continue as a going co)ncern, dlsclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent charity or to cease operations, or have no realistic alternative but to do so. Auditor's responslbllStles for the audlt of the flnancial Statements Our objective5 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 15 a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS IUKI will always detect a material misstatement when it exlsts. 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 5taternents. Irregularities, including fraud, ère instances of non-compliance with law5 and regulations. We desi8n procedure5 in line with our responsibilities. outlined above, to detect material mi5Statements in respect of irregularities, intludinE fraud. The extent to which our procedures are capable of detecting irregularities, including fraud Is detailed below.. Based on our understanding of the group and the environment in which it operate5, we identified that the principal risks of non- cornpliance with laws and regulations related to the independent school regulations, 5afe8uaTding regulations, health and safety requirement5. GDPR, employment law and charity law and we consldered the extent to which non-compliance might have a material effect on the financial statement5. We also considered those laws and Tegulations that have a direct impact on the preparation of the financlal statements such as the Charities Act 2011 and the Charities SORP and consider other factors such as payroll tax. We evaluated rnanaEement's incentives ènd opportunities for fraudulent manipulation of the financial statement5 lincludlng the risk of override of controls), and determined that the principal risk5 were related to the improper recognition of revenue and management bias in accounting estimates. Audit procedures performed by the engagement team included.. Inspecting correspondence with regulators and tax authorities., Discussions with management including consideration of known or suspected instances of non-compliance with laws and re8ul3tion and fraud,. Evaluatlng management's controls designed to prevent and detett irregularitie5', Idenrifying and testing journals. in particular journal entries posted at the year end.. and Ch31lenging assumptions and judgements made by management in their critical accountin8 estimates. A further dèscrlption of our responsibilities for the audit of the financial statements is located on the Finaneial Reporting Council's website at.. www.frc.or auditor5re5 onsibilities. This description forms part of our auditorfs report. Use of our report This report 15 made solely to the charity's trustees, as a body, in accordance with section 144 of the Charities Act 2011 and iegulations made undeT section 154 of that Act. Our audit work has been undertaken $0 that we might state to the charity'5 trustees those matters we are required to state to thern 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 anytsne other than the chariws trustee5 as a body for our audit work. for this report, or for the opinions we have formed. Hay5maclntyre LLP Statutory Auditors 10 Queen Street Place London EC4R IAG Date.. 13 December 2021 17

Kingswood School CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES For year ended 31July 2021 Haysmacintyre LLP is eligible to act ès an auditor in terms of Section 1212 of the Companies Act 2006 Unrestricted Restricted Endowed funds funds fund5 2021 2021 2021 Total funds Total funds Notes 2021 2020 Income and endowmenis from.. Charitable activities= School fees Ancillary trading income 17.825.799 629,585 11,6611 17,824.138 629,585 16.202,791 513.435 18.455,384 11,6611 18,453,723 16,716,226 Other trading activities-. Fundraising tradin8 Other trading income Investment income Donations and grants Other Income 65,757 15,138 ioi 270,910 105,616 65,757 15.138 ioi 481,808 105,616 223,326 85,706 355 776,072 518,729 210.898 io Total income 18,912,906 209.237 19,122,143 18,320,414 Expendlture: Raising funds.. Fundraising trading Financing c05t5 143,832 273.250 143.832 273,250 415.590 327.552 417.082 417,082 743,142 Charitèb5e activities.. Education and grant making 18.327,070 2,450 18,329,520 17,871,772 Total expenditure 18,744,152 2,450 18,746,602 18,614,914 Net income I lexpendlturel before Investment gatnslllossesl 168,754 206,787 375.541 1294.5001 Gains / IL055es1 on investment5 12 1,649 19,161 4.147 24.957 115.1301 Net income / lexpenditurel 170,403 225,948 4,147 400.498 1309,6301 Net movement In funds 170,403 225,948 4,147 400,498 1309,6301 Fund balances brought forward 25 9,305,670 1,633.523 1.165.854 12,105,047 12.414,677 Fund balances carrled forward 9,476,073 1.859,471 1.170.001 12,505,545 12,105,047 Note 25 comprises the consolidated SOFA for 2020. 18

Kingswood School CONSOLIDATED BALANCE SHEET as at 31 July 2021 Consolidated 2021 2020 School 2021 2020 Notes Flxed assets Intangible assets Tangible assets Investment assets Ilb 1,429 1,429 Ila 21,513,704 21,674,066 21,513,704 21,674,066 12 420,936 395,894 422,936 397,894 21,934,640 22,071.389 21,936,640 22,073,389 Current assèts Stock Debtors Cash at bank and in hand 4,710 394,274 272.480 5,151 542,521 13 486,806 267,568 616,059 671,464 547,672 754,374 616,059 Creditors.. amounts falllng due within one yèar 14 12,696,087) 12.860.001) 12,751.0351 12.910,8291 Net current liabilities 12,024,623) 12,312,329) 11,996,661) 12,294,770> Total assets less current liabilities 19,910,017 19,759,060 19,939,979 19,778,619 Credltors.. amounts falllng due after more than one year: Bank loan 15 17,404,472) 17,654,0131 17,404,472) 17,654,013) Net assets 12,505,545 12,105,047 12,535,507 12.124.606 Firtanced bv.. Endowed funds Restricted funds Unrestricted funds 18a 1.170.001 18b 1,859,471 18c 9,476,073 1.165.854 1.170.001 1,633.523 1,859,471 9,305,670 9,506,035 1.165,854 1,633,523 9,325,229 Total funds 17 12,505,545 12,105,047 12,535,507 12,124,606 The note5 on pages 21 to 42 form an integral part of these Financièl Statements. Approved and authorised by the Governing Body on signed on its behalf by- Mr5 H Bools Acting Chair and Governor, on behalf of Kingswood School Trustee Limited

Kingswood School CONSOLIDATED STATEMENT OF CASH FLOWS for the year ended 31 July 2021 2021 2020 Notes Cash flow from operat5ng actlvltles: Cash generated by operatlons Interest paid 23 2.123.339 726.435 327 552 Net cash from operatlng acttvttles 1.850,089 398,883 Cash flows from investlnE acilvities.. Oividends. interest and ients from investments Purchase of intangible assets Receipt from disposal tsf fixed assets Purchase of tangible assets Investment gainsllosse5 16 46 977,444 1622,5521 115,1301 1928.2041 24,957 Net cash used by Investlng activitiès 1903,2311 339,808 Cash flows from financing aetNlties: Rèpayments of loans Cash inflows from new loans 1366,3121 1850,7921 Net cash used by flnancln8 activities 1366,3121 1850,7921 Movement In cash 580,546 1112,1011 Cash and cash equivalents at the beginning of the reporting period 1308,0661 1195,9651 Cash and cash èquSvalents at the end of the reporting perlod 272,480 1308.0661 Analy515 of cash and ¢èsh equlvalents: Cash at bank and in hand Bank overdraft 272,480 1308,0661 Charity law requires separate administration of the cash flows of endowed and other restricted funds of the School. Thls constraint does not adversely 3ffect group cash flows as stated above. The notes on pages 21 to 42 form part of these Flnanclal Statements. 20

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 ACCOUNTING POLICIES Charity informatÉon Kirngswood School is a registered charity in England and Wales. The registered office is Kingswood School, Lansdown Road, Baih, BAI 5RG. Kingswood School meets the definition of a public benefit entity under section 34 of FRS 102. Assets and liabilities are initially re¢ognlsed at historical cost or transaction vaSue, unless Otherwise stated in the relevant a¢¢ounting policy. The principal objectives of the charity are detailed in the Governors, report found on page 7 of these ffinancial statements. The financial statements are prepared in sterlin& which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £. 8a515 of preparation The financial 5tatement5 have been prepared in accordance with Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 (effective l October 20191- (Charities SORP IFRS 10211 and the Financi31 Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021. The accountlng policies disclosed have been applied consistently throu8hout the current and preceding year. The financial statements have been prepared to give a 'rrue and vièw and have departed from the Charlties IAecountS and Reports) Regulations 2008 only to the extent required to provide a 'true and fair view,. This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 issued on 16 July 2014 rather than the Accounting and Reporting by Charities.. Statement of Recommended PracticÈ èffettivÈ from l April 2005 which has since beÈn withdrawn. RedU￿d disclosures FRS 102 allows qualifying entitie5 certain discltrsure exemptions. The school has only taken advantage of the exemptions for the following disclosure requirements- Section 1.12lbl "Slatement of Cash Flows" notes and disclosures. Presentation of an entity only Staternent of Cash Flow and related Golng concern At the balance sheet date the group had net current liabilities of £2,024.62312020 net current liabilities £2.312.3291 and therefore the Governors have considered wheiher It Is appropriate to prepare financlal statements on the eolnE concern basis. These financial statements have been prepared on a @oin8 concern basis. which the Governors consider to be appropriate based on the results for the year ending 31 July 2021 and cash flow projections prepared for the period 31 July 2022 and be ond. The cash flow prolectlons indicate that the Group will be able to meet its liabilities as thèyfall due and together with current arrangements with the School's bankers indicate that the School will be able to operate within the facilities currently available. Furthermore. the School's bankers are satisfied that the School will meet its bank covenants goingforward based on current forecast5. The Trustees have no reason to believe that the current overdraft facility will not be continued. This facility was agreed with the School's bank which is aware that the termly fee income receipts lead to signlficant fluttuations in cash requirements and the flexibility of the overdraft represent5 C05t effective borrowing. The Tru5tee5 have Identified no material uncertalntles and for these reasons they have concluded that it 55 appropriate io use the going coincern basis in the preparation of these account5. 21

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 Basis of consolidation The consolidated statement of financial activities, balance sheet and statement of cash flows include the financial statements of Kingswood School, It5 subsidiaries, Kingswood Enterpri5e5 Limited (Co. Reg. No. 02545441 and Kingswood International Llmited (Co. Reg. No. 105197131 as well as its subordinate charity, Kingswood School Development Fund Icharity Reg No. 3102291 made up to 31 July 2021. Kingswood Enterprlses Llmited Is involved in commerclal lettings. property management and the rental of minibus services for the benefit of the School. Kingswood International Limited is involved in promoting the Kingswood School way of education to overseas partners and developing education opportunities to overseas markets. Kingswood School Develtrpment Fund's main objects are to fundraise and apply the annual income of the charity for such charitable purposes as the Governor5 shall determine. The results of the 5ub5idiaries re consolidated on a line by line basis, with all inter group sales and profit eliminated fully on consolidation. Fees and slmllar Income Fee5 receivable, charges for services and use of premlses are accounted for in the period in which the service is provided. Fees receivable are Stated after deducting allowances, scholarships ènd other remissions granted by the School. but include contributions received from iestritted funds for scholarships, bur5arie5 and other grants. Fees received for education to be provided In future years are carried forward as deferred income in the balance sheet. Donatlons and legacies Oonatlons receivable for the general purposes of the School are credited to'other unrestricted fund5 to di5tingui5h them from direct School Income. Donations for purposes restricted by the wishes of the donor are taken to 'restricted funds" where these wishes are legally binding on the Governor5. Donations required to be reta1ned as capital in accordance with the donor's wishe5 are accounted for as 'endowments"; permanent or expendable according to the nature of the restriction. Legacies are recogni5ed where there is entitlement, receipt is probable and the amount can be measured with Job Retentlon Scheme government grant lob Retenrlon Scheme income is reco8ni5ed once the school has confirmed that it is entitled to the income, the amount can be reliably estlmated, and receipt is probable. Expendlture Expenditure is accounted for on an accrua15 basis. The allocation of expenditure between direct charitable and costs of raising fund5 15 a subjectlve split based upon the Bursar's best estimate of the resources input to these different parts of the School's operations in the year. The irrecoverable element of VAT is included with the Item of expense to which it relates. Governance costs comprise the costs of running the charity, including strateEiC planning for Its future development, also external audit, any legal advice forthe Governors and all costs of complyingwith constitutional and statutory requirements, svch as the costs ol Board and Committee meetings and of preparing statutory Financial Statements and satisfyin@ public accountability. Employèe Beneftts The School contributes to the Teachers, Pension Defined Benefits Scheme at rates set by the Scheme Actuary and advised to the Board by the Scheme Administrator. The scheme is a multi-employer pension scheme and it is not P0S5ible to identify the assets and liabilities of the Scheme which are attributable to the School. In accordance with FRS 102 Section 28 therefore, the scheme is accounted for as a defined contribution scheme. The School also contributes to individual personal pension schemes for non-teaching staff, at 5% of annual basic pay, which 15 treated as a defined contribution scheme. The Costs of contributions to these funds are charged to the revenue account in the accounting period for which they are payable. The cost of any unused holiday entitlernent is recognised in the period in which the employee's services are received. Termination benefits are recognised immediately a5 an expense when the School Is demonstrably committed to terminare the employment of an employee OT to provide termination benefits. 22

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 Flxed assets Expenditure on fixed a55ets is capitalised except for expenditure incurred on the replacement of assets of low value with a Short life. Repair. renovation and replacement expenditure is written off as expenditure in the statement of financial activities. Normally items costing less than £1,000 are written off as an expense as acquired. The School's land and building5 are owned by The Methodist Independent Schools Trust, but are included in these Financial Statements as substantially all of the risks and reward5 of ownership are with the School. Land is not depreciated. Building5 are depreciated at rate5 calculated to write off the cost less their estimated useful residual values on a straight line basis over the expected useful economic life of each building. The range of annual rates used for this purposels between 20 and 50 year5. Depreciation is provided against all other assets. on a straight line basi5 at rates calculated to write thern off over their Useful life u51ng the following rates.. Furniture and plant Motor vehicles IT Equipment 10-50% 20% 33.3% A55ets under the course of construction are not depreciated until they are brought into use. Intanglble fixed assets Intangible assets are recognised at cost and are subsequently measured at cost less accumulated amortisation and accurnulated impairment losses. Amortlsation 15 recognised so as to write off the cost or valuation of a55ets less their residual values over their useful lives on the following bases.. Software15traight line) 33.3% Impalrment of flxed assets At each reportlng end date, the charity review5 the carrying amounts of it5 tangible and intangible assets to determine whether there 15 any indication that those assets have Suffered an impairment loss. If any such indication exists, the recoverable amount of the a55et is estimated in order to determine the eKterit of the impairment loss lif anyl. Where it IS not possible to estimate the recoverable amount of an individual asset, the charity estimates the recoverable amount of the cash-generating unit to which the asset belongs. Recoverable amount is the higher of fair value less costs to sell and value in use. In assessin8 value in use, the estimated future cash flows are discounted to their present value usine a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted. If the recoverable amount of an asset lor cash-generating unitl is estimated to be le55 than its carrying amount, the carrying amount of the asset lor ca5h-8enerating unitl is reduced to its recoverable amount. Anim airment 1055 is reco nised immediately In the statement of financial activities. Recogni5ed impairment losses are reversed if. and only if. the reason5 for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset lor cash%enerating unit) is increased to the revised estimate of its recoverable amount. but so that the increased carryln@ amount does not exceed the carryin8 amount that would have been determined had no impairment loss been recognised for the asset lor cash-generating unit) in prior years. A reversal of an impairment 1055 is recognised immediately in the statement of financial activities. Investments and Investment Income Investment incorne is accounted for on a receivable ba515 and comprlses dividend income and interest. In accordance with the SORP, investment5 are shown in the balance Sheet at their market value. Galns and losses on Investment assets Changes in the valuation of investments during the year are shown as gains or losses. Gains and losses arising from the disposal of assets are the difference between the sale proceeds and the market value at the beginning of the year. 23

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 Stocks stocks are valued at the lower of cost and net reali5able value after due allowance for obsolete and slow moving 5tod(5. Financial instruments The charity has elected to apply the provision5 of Section Il'Basic Financial Instruments, and Section 12 '0ther Financial Instruments Issue5, of FRS 102 to all of its finanaal instruments. Financial instruments are recognised when the charity becomes party to the contractual provisions of the instrument. Flnancial assets and liabilities are offset. with the net amounts presented in the financial statements, when there is a legallv enforceable rlght to set off the recognised amounts and there is an intention to settle on a net basls or to rèalise thè asset and settle the liability simultaneously. Basicfinortclolassets Basic financial assets, which include trade and otheT re¢eiv3bles and cash and bank balan￿5, are initially measured at transaction pri￿ including transaction costs and are subsequently carried at amortised cost Using the effective interest mÈthod unless the arrangement constitutes a financing transaction, where the financial asset is measured at the present value of the future receipts discounted at a market rate of interest. Impttirment offinpncial assets Financial assets. other than those held at fair value through profit or loss, are a55e5sed foT indicators of impairment at each reporting end date. Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of th& financial asset, the estimated future cash flows have been affected. If an asset 15 impaired. the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss. If there is a decrease in the impairment loss arising from an event occurring after the Impairment was recognlsed. the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying arnount would have been, had the impairment not previously been recognised. The impairment reveTsal 15 recognised in profit or loss. Derecognfftion offinanclul ussets Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the Group transfers the financial asset and substantially all the risks and rewards of ownership to another entity. or if some significant risks and reward5 of owriership are retained but control of the asset has transferred to another party that is able to sèll the asset in its entirety to an unrelated third partv. CIu55ificgtion oAfinancltsl Ilabllities Financial_liabiLlties_￿nd equity instruments are classified accordin to the substance of the contractual arrangements entered Into. An equity instrument Is any contract that evidences a residual interest in the assets of the company after 8usicflnonclol liobilittes Basic financial liabilities. including trade and other payables. bank loans, and advance fee payments, are initially recognised at tTan5aCtion pr7￿ unless the arrangement constitLJtes a financing transaction, where the debt instrument is mea5uied at the present value of the future payments discounted at a market rate of interest. Debt instruments are subsequenrly carried at amort15ed cost, using the effective interest rate method. Derecognttlon oAfinanciol liabilities Financial liabilities are dereco8ni5ed when. and only when. the charity'5 contractual obligations are discharged, can￿lled, or they expire. 24

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 Equity instruments Financial instruments classified as equity instruments are recorded at ihe fairvalue of the cash or other resources recelved or receivable, net of direct costs of issuing the equity instrument5. They are subsequently measured at fair value using observable market inputs and output5. Permanent endowment funds The School holds investments donated under permanent endowment. Income arising on the Permanent Endowment Fund investment5 15 treated as restricted income of the School. Restricted lunds Restricted funds are subject to specif1c condition5 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 Financial Statements. Unrestrirted funds The General Fund5 comprise the accumulated surplus. As such theGovernors considerthese funds to be Unrestricted Funds wlthin the definitions contained in the Charities Acts in that they are funds over which they have complete discretion as to their use. CRITICAL ACCOUNTING JUDGEMENTS AND ESTIMATES In the application of the charity's accounting policie5, The Trusiees are required to make judgements. estlmates and assumptions about the carrying amount ol 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, for example the useful economic life of fixed assets. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are retognised in the period in which the estimate is revised where the revision affects only that period, or in the period of revision and future periods where the revision affects both current and future periods. SCHOOL FEES 2021 2020 nrestricted fee incorne com rised.. Gross fees Less-. Total bursaries, grants and allowances 20,541,324 19,689,484 12,718,847) 13,523,989) 17,822,477 16,165.495 Add back: Scholarships, Grants etc. paid for by restricted funds 1,661 37.296 17,824,138 16,202,791 25

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 INCOME FROM SUBSIDIARVS TRADING A￿1VITIEs lal The School owns 100% of the 1.000 £1 ordinary share capital of Kingswood Enterprises Limited Ico. Reg No 025454421, which prtsvides minibus Se￿1￿5 to the School and obtains commerclal lettings. Its trading results for the year, as extracted from the audited Financial Statement5, are summarised below.. 2021 2020 Turnover Cost of sales 112,379 163,5391 159,553 187,4651 Gross profit Administration 48,840 18,6631 72,088 172,0881 Operating profit 40,177 61,052 Over accrual of gift aid in 19-20 Donation to the School 26,498 137,7601 161,0521 Retained profit/llossl 28,915 The net assets of Kingswood Enterprises Lirnited 3t year end were £33,51312020.. £4,596). Gr055 355et% at year-end were £99,46712020.. £72,859). Gross liabilities were £65,95412020.. £68,2621. During the year £34,554 was paid to the school as gift-aid in relation to the financial year 19-20 and £37.760 has been accrued for gift-aid relating to the financlal year 20-21. Ibl The School owns 100% of the I,OQO £1 ordinary share capital of Kingswood International Limited Ico. Reg No 105197131, which promotes the Kingswood School way of education to overseas partners and developing education opportunities to oversea5 rnarketS. Its trading results for the year, as extracted from the audited Financial Statements, are summarised below.. 2021 2020 Turnover Cost of sales 105,619 1801 1105,6191 Gross proflt Administiation 1801 139,2391 18291 112,7971 Operating loss Donation to the School 139,3191 113,6261 Retained profitlllossl 139,3191 113,6261 The net liabilitie5 of Kingswood Enterprise5 Lirnited at year end were £61.47412020.. £22,155). Gross assets at year-end were £16212020.. £27,080). Gross liabilities were £61,63612020.. £49,235). 26

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 Icl The Trustees of Kingswood School Developmenl Fund are the same as the Governors of Kingswood School Trustees Limited and therefore Kingswood School Development Fund is viewed as being a Subordinate charity under the term5 of the SORP IFRS1021. The Kin8swood Sd)ool Development Fund was dormant in the current and prior periods. ANCILLARYThADING AND OTHER INCOME 2021 2020 Ancillary trading income: Entrance and re8lStration fees Special educational needs income Fee5 for extracurricular courses School meals Fees in lieu of notice and forfeited deposit5 56,119 59,667 30,031 446,933 36,835 44,533 37,901 21.714 402,273 7,014 629,585 513,435 Artivities for generatlng funds.. Courses and sub-lettings 15.138 85,706 All ancillary tradlng Income and raising funds are unrestricted in the current and prior year. OONATIONS AND GRANTS Unrestricted funds 2021 Restricted Endowment funds funds 2021 2021 Total 2021 Donations and Legacles Grants 114,8891 285.799 210,898 196,009 285,799 270,910 210.898 481,808 Unrestricted funds 2020 Restricted Endowment funds funds 2020 2020 Total 2020 Donatlons and Legacies Grants 23,635 636,429 116,008 139.643 636.429 660,064 116,008 776,072 27

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 NET INCOME FOR THEYEAR Net income in the year is stated after.. 2021 2020 Charitable expenditure Include5: Depreciation for owned assets Amortisation of intangible assets Bank loan and overdraft interest payable 1,088,567 1.430 205,794 1,146,033 6.247 254,516 Governance costs Include In support C05ts'. Auditor's remuneration.. for audit services for non-audit servlces (tax advice and account5 prep support) 31,445 2,400 43,470 2,340 Total stafl costs comprised: Wages and salarles Social security costs Pension contributions 10.363,563 10,205,259 1.006,124 1.019,275 1,559,398 1,563,374 12,929,085 12,787,908 The average number of full time equivalent employees in the year was 29312020.. 2851 of which 11912020.. 1061 were teaching staff. The average headcount in the year was 45512020.. 4611. During the year termination payments were made to nine employee totalllng £89.72612020'. £20.5701. Neither the governors nor persons connected with them received any remuneration or other benefits from the School or any connected organisation, except for the reimbursement of expenses for travel, subsistence and training of the Governors for £1,72512019-. £2.6291. The number of hiÉher pald employees was- 2021 No. 2020 No. £60,000- £70,000 £70.001- £80,000 £80,001- £90,000 £90 001- £100,000 £120,001- £130,000 £180,001- £190.000 E200,001- £210,000 io 16 16 Contributions to the Teachers, Pension Scheme were made for the benefit of 1212020.. 121 higher paid employees totalling £226,51012020.. £232,519). Contributions payable into the non-teaching staff personal pension schemes for 412020: 41 higher paid employees amounted to £15,34212Q20'. £15,3171. 28

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 EXPENDITURE IUNRESTRI￿EDl Amortisation Staff costs Other costs & Depreciation Total 2021 Cost of charitable activities.. Teaching Welfare Premise5 Support costs of schoollng 9.302.620 1,760,657 619,668 1.224.591 535,469 981.354 1,631,697 1,136,248 9,838,089 2,742.011 3,341.363 2,360,839 1,089,998 School'5 operatlng costs 12,907,536 4,284,768 1,089,998 18,282,302 Governance costs 44.767 44.767 Costs of raising funds.. Fundraising trading- other Financing costs TradiN8 Costs of KEL Tradin8 Costs of KIL 91,985 273.250 14,5801 34,879 91,985 273,250 16,969 34,879 21,549 Total for Group 12,929,085 4,725.069 1,089.998 18,744,IS2 Amortisation Staff costs Other costs & Depreciation Total 2020 C05t of charitable activities.. Teaching Welfare Premises Support cost5 of 5choolin8 9,ts90.410 1,697,290 630,642 1.266,213 767,644 768,908 1,508,229 928,003 9,858.054 2,466,198 1,152,280 3,291,151 2,194,216 School's operating costs 12,684,555 3,972,784 1,152,280 17,809,619 Governance costs 60,803 60.803 Costs of raising funds.. Fundraising trading- other Financing costs Trading cost5 01 KEL Tradlng costs of KIL 147,883 327,552 50,935 113.419 147,883 327.552 50,935 216.772 103,353 Total for Group 12,787,908 4,673,376 1,152,280 18,613,564 29

Kingswood School NOTES TO THE FINANCIAL STATEMENT5 for the year ended 31 July 2021 ANALVSIS OF SUPPORT COST5 Educational Operations 2021 Admin Operations 2021 Governance Recruitment & Advertising 2021 Totsl 2021 2021 Audit Services- Audit Fees Non audit fees Independent Schools Inspection Governor's Expenses Technology Costs Other Support Costs Support Staff Costs Legal & Professional Costs siaff training and expenses Pupil Recruitrnent Staff Recruitment Other 31,445 2,400 9,197 1,725 31,445 2.400 9,197 1,725 20.923 681,482 1,307.530 34,137 13,271 191,717 85,710 26.071 20,923 43,844 9.215 635,421 1,298.315 34,137 13,271 2,217 191,717 85,710 26,071 73,982 2,007,215 44,767 279,644 2,405,608 Staff costs are apportioned based on those employees who are employed in the different activities of the school. Other SUPPOTt cost5 relate to 8eneral office and Sundry costs such as stationery and telephones. Governance costs relate to accountancy service5, the independent s¢hool'5 inspection charge and Governor expenses provided to assist the Governors in the perforrnance of their responsibilities. Educational Operations 2020 Admin Operations 2020 Governance Recruitment & Advertising 2020 Total 2020 2020 Audit Services- Audit Fees on_audit_fee Independent Schoo15 Inspettion Governorfs Expenses Technology Costs Other Support Costs Support Staff Costs Legal & Professional Costs Staff trainin8 3nd expènses Pupil Recruitment Staff Re¢ruitment 41.130 41,130 .3_4.0 14,704 2,629 48,105 462,196 1,271,365 34,253 235,917 138,036 4.344 14,704 2,629 48,105 67,533 14,432 394,663 1.256.933 34,253 85,633 150,284 138.036 4,344 130,070 1,771,482 60,803 292,664 2,255.019 30

Kingswood School NOTES TO THE FINANCIAL STATEMENTS forthe yearended 31July 2021 io OTHER INCOME 2021 2020 Proceeds from sale of fixed asset Net book value 977.444 1460,9781 Gain on Sale of a55et Other/Mlscellaneous income 516,466 2,263 105,616 105.616 518.729 Ila TANGIBLE FIXED ASSErs GROUPAND SCHOOL Assets In course of construction Subsidiary plant and equipment Subsidiary rmtor Freehold property Motor vehicles Furnlture and plant School total Group totsl COST At l August 2020 Additions 28,776,101 222,392 2,016 167,284 125,115 6,620,130 538,528 35.523.362 928,204 71.626 75.181 35,670,169 928,204 At 31JuW 2021 28,998,493 169,300 125,115 7,158,658 36.451,566 71,626 75,181 36,598.373 DEPRECIATION At l August 2020 Charge for year 7,780,380 596,107 125,115 5,943,800 492,460 13.849,295 1,088,567 71,626 75,181 13,996.103 1,088,567 At 31Juty 2021 8,376,487 125,115 6.436,260 14.937,862 71,626 75,181 15,084.669 NET 800K VALUES At 31 JU￿ 2021 20.522,006 169,3LN) 722,398 21,513,704 21,513,704 At l August 2020 20,995,721 2,016 676.330 21.674.066 21,674.066 31

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 Ilb INTANGIBLE FIXED ASSETS GROUP AND SCHOOL Software Cost At l August 2020 164,332 At 31 July 2021 164.332 Amortlsatlon At l August 2020 Charge 162,903 1,429 At 31 July 2021 164,332 Net book value At 31 July 2021 At 31 July 2020 1,429 Intangible Assets relate to purchased software technology. Amortisation is Included in the Statement of Financial Activities within Charitable artivities, c05t5. 12 INVESTMENTS GROUP Endowed restricted Unrestricted Re5trictedEndowment Cash Cash Total At l August 2020 Accumulated Interest Revaluation5 9,326 177,610 41.160 129.695 38.104 395.895 84 84 24,957 1,649 19,161 4,147 Balan￿ at 31 July 2021 10,975 196,771 45,307 129.695 38,189 420,936 Historic cost 1,777 65.495 88,530 121,286 31,326 308,414 32

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 SCHOOL Endowed restricted Unrestricted RestrictedEndowment Cash Cash Total At l August 2020 Additions Accumulated interest Disposal Revaluations 11,326 177,610 41,160 129.695 38,104 397,894 85 85 1,649 19,161 4,147 24,957 Balance at 31 July 2021 12,975 196,771 45.307 129.695 38,189 422,936 Historic cost 2.777 65.495 88,530 121,286 31,326 309,414 The unrèstricted investment shown within the School note above includes the investment in two subsidiaries. This is a l(Xl% holding in the 1,000 El ordinary shares of King5wood Enterpri5e5 Limited and King5wood Iniernational Limited, both companie5 incorporated In the United Kingdom. Kingswood Enterprises Limited provide5 servi￿5 in property management, commercial lettings and minibus Services. Kingswood International Limited promotes the Kingswood School way of education to ovèrseas partners and develops education opportunities to overseas markets. Restricted and endowed Investments are held in investment fund unit5 whose funds are invested in a wide variety of 5tock5 and shares. The cash deposlts are held by the investment managers and interest accumulatès monthlv. 13 DEBTORS Ctsn501idated 2021 2020 School 2021 2020 Due within one year.. School fee5 ade_debtors Amounts owed by group undertakings Gift aid receivable from subsidiary Other debtors Prepayments and accrued income 238,526 170,382 238,526 170,382 57,196 37,760 65,845 87,479 44.945 61,052 121,490 218,190 65,870 87,479 121,490 245,269 394,274 542,521 486,806 616,059 33

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 14 CREDITORS: amounts falling due within one year Consolidated 2021 2020 School 2021 2020 Overdraft Current instalments due on bank loan Trade creditors Amounts owed to subsidiary companies Taxation and social security Finance leases Other creditor5 Deposits received in advance Accruals and deferred income Advance fees 308,066 574,762 218,449 333.016 574,762 218,449 37,305 256,378 36,057 146.477 443,451 143,234 721,700 457,991 536.092 457,991 536,091 81,105 16,4781 196.848 179,355 457,200 255.168 619,911 256,305 36.057 148,066 443.451 153.145 721,700 196,848 177,766 457,200 224,123 619.911 2,696,087 2,860.001 2,751,035 2,910,829 Deferred Income AnalysEs 2021 2020 At l August 2020 Income received for future residential course5 Released to accounts in 2019-20 1,893 12,985 1.893 Balance at 31 July 2021 14,878 1,893 2021 2020 Advance Fee Payments Amounts due within one year 619,911 721,700 619,911 721,700 The balance represents the accrued liability undei the contracts. The movements during the year were.. 2021 2020 Balance at l August 2020 Movement in the year 721,700 1101,7891 470.866 250,834 Balance at 31 July 2021 619,911 721,700 34

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 15 CREDITORS: amounts fallin8 due after more than one year Consolidated 2021 2020 School 2021 2020 Bank loan 7,404,472 7,654,013 7,404,472 7,654,013 7,404,472 7,654,013 7,404,472 7,654,013 16 BORROWINGS Con501idated 2021 2020 School 2021 2020 Bank overdrafts Bank loans 308,066 8,228,775 333,016 7.862,463 8.228,775 7.862,463 7,862,463 8,536,841 7,862,463 8,561,791 Payable within one year Payable after one year 457,991 7,404,472 882,828 7,654,013 457,991 907,778 7,404,472 7,654,013 7,862,463 8.536,841 7,862,463 8,561,791 The School and Group have the facility of three loans and an overdraft facility provided by Barclays Bank plc, under composite overdraft arrangements wlth the Board of the Division of Finance of the Methodist Church covered by a legal charge on freehold property in Bath. At 31 July 2001, there wa5 a legal charge in favour of the Board of the Division of Finance of the Methodist Church, over property described in an indenture dated 19 July 1852 and an indenture of conveyance dated 31 December 1863. Propertv comprised in thls charge Is to be taken by the Bank a5 security for the loan and overdT3ft facility. The balance of the fixed loan is repayable by February 2033 and has an interest rate of 2.1%. The balance of the first variable loan Is repayable by November 2034 and has an interest rate of 1.6%. The balance of the second variable loan is repayable by Noverrber 2038 and has an interest rate of 1.55%. 35

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 17 NET ASSETSOF THE FUNDS OFTHESCHOOL AND GROUP The Group's net a55et5 belong to the varlous funds Ilncluding Advance Fees) as follows: Net current Assets/ Fixed Assets Investments Long term Fund balances Endowment funds Restricted funds Unrestricted funds 175,001 995,000 1,170,001 196.771 1,662,700 1,859,471 49,164 14,682,323) 17,404,4721 9,476,073 21,513,704 21.513,704 420,936 12,024,623) 17,404,4721 12,505,545 The School's net a55e15 belong to ihe various funds lincludlng Advanced Feesl as follows.. Net current Fixed Assetsl Assets Investments ILiabilitiesl Long term Fund balances Endowment funds Restricted funds Unrestricted funds 175,001 995,000 1,170,001 196,771 1,662,700 1,859,471 51,164 14,654,361) 17,404,472> 9.506.035 21.513.704 21,513.704 422,936 11,996,661) 17.404,4721 12.535,507 On 19 June 2018, the School re￿IVed the approval of the Charity Commission to transfer £995,000 of the School'5 Endowment funds to offset the capital purchaseof the new build at KPS. TheAgreement made specific reference to Interest and capltal payments.. Inte¥est on the loan at the rate of 3%, to be reviewed annually. The Borrower shall repay the loan in ten equal in5talments commencing on the fifth anniversary of this Agreement and thereafter on each anniversary of this Agreement until 2033. The Charity Commission also approved the use of a subsidiary company, Ferens Posnett Lirnited (Reg. Co. No. 113765071 to reduce the conflirt of interest between Kingswood School Trustee Limited and the Kingswood School endowed fund5. 36

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 18a ENDOWED FUNDS: MOVEMENTS IN THE YEAR Balance at l August 2020 Transfers and Balance at Amounts investment 31 July expended gains 2021 Income Endowment funds Scholarships, bursarles Prizes and medals other funds 1,158,625 2,003 5,226 3,867 280 1,162,492 2,283 5,226 S¢hool & Group 1.165.854 4.147 1,170,001 Balante at l August 2019 Transfers Bnd Balance ai Amount5 investment 31July expended gains 2020 Income Endowment funds Scholarships, bursaries Prizes and medals Other funds 1,162,215 2,119 5,226 13,5901 1,158,625 11161 2,003 5,226 School & Group 1,169,560 13,7061 1,165.854 The Scholarshlp Funds The net asset5 represent the historical monetary value of some 19 indTvidual gift5 from benefactors of the School, tO8ether with. since 1977, the accumulated surplus of income over expenditure. The income and expenditure is shown within the restricted funds. The Prizes and Medals Fund The net assets represent the historical monetary value of some 19 individual gifts from benefactors of the School. The income and expendlture Is shown wlthin the restricted funds. 18b RESTRI￿ED FUNDS.. MOVEMENTS IN THE YEAR Balance at IAU ust 2020 Transfer5 and Salance at Amounts investment 31 Jul expended gains 2021 Income Restricted fund5 Bursary fund other restricted fund5 Development 202,487 9,487 1.421.549 1,661 1,000 209.237 11,6611 li.0001 12,4501 19,161 221,648 9,487 1,628,336 School 1,633,523 211,898 15,1111 19,161 1,859,471 King5wood School Development Fund Group 1,633.523 211,898 15,1111 19,161 1,859,471 37

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 july 2021 Balance at l August 2019 Transfers and Balance at Amounts investment 31Julv expended gains 2020 Income Restrlcted funds 8ur5ary fund Other restricted fund5 Development 213,732 9,487 1,344,187 37,296 500 78,712 137,2961 15001 11,3501 111,2451 202,487 9.487 1,421,549 School 1,567.406 116,508 139.1461 111,2451 1,633,523 Kingswood School Development Fund Group 1.567.406 116.508 139.1461 111,2451 1,633,523 Bursary fund This fund represents monie5 given to the School specifically to invest for the provision of bursaries and gifts to support pupil5. Other restricted funds These relate to several small restricted funds which have been donated during the year and are expended in accordance with the donor's wishes. Klngswood Prep School IKPSI ¢apltal rèstrlcted fund. This fund has received income frorn donations for the c3Pltal project Ht the new build at KPS. A proportion of these donations were spent in the year with the balance to be used before the completion of the capital project in November 2018. 18c UNRESTRICTED FUNDS: MOVEMENTS IN THEYEAR Balance at l Augusl 2020 Transfers and iNve5tmert gains Balance at 31 July 2021 Income Expenditure Unrestricted funds General reserve 9,025,229 18,800.527 118,621,370) 1.649 9,206,035 Designated funds Bursary fund 300,OCM) 300,000 School 9,325,229 18,800,527 118,621.3701 1,649 9,506,035 Klngswood Enterprises Ltd 3,596 112,379 183,4631 35,512 Kingswood International Ltd 123.1551 139.3191 162,4741 Group 9,305,670 18,912,906 118,744,152] 1,649 9,476,073 38

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 In the fin3n¢ial year 2012113 the governors designated £300,000 for future bursaries lo be given against sehool fee5. Balance at l August 2019 Transfers and investment gains Balance at 31 Julv 2020 Income Expenditure Unrestrlcted funds General reserve 9,266,149 17,976,530 118,217,2711 11791 9.025.229 Designated funds Bursary fund 300,OCM) 300,000 School 9,566,149 17,976,530 118,217,271) 11791 9,325,229 Kin85wood Enterprlses Ltd 121,091 159,553 1277,0481 3,596 Klngswood International Ltd 19,5291 105,619 1119.2451 123.1551 Group 9,677,711 18,241,702 118,613,564) 11791 9,305,670 19 PENSION SCHEMES The School participates in the Teachers, Pension Scheme 1.the TPS'I for it5 teaching stafl. The pension charge for the year includes £ontribution5 payable to the TPS of £1.342.93212020'. £1,345,744) and at the year-end £012020.. £0) wa5 accrued in respect of contribution5 to this scherne. The TPS is an unfunded multi-employer defined benefits pension scheme 8overned by The Teacher5. Pensions Regulations 2010 las amended) and The Teachers. Pension Scheme Regulations 2014 las amended). Members contribute on a 'pay as you go" basi5 Wlth contributions from members and the employer being credited to the Exchequer. Retirement and tsther pension benefit5 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 m051 recent actuarial valuation of the TPS was prepared as at 31 March 2016 ￿￿t￿e￿al￿￿tiO￿2pOrt, which was published in March 2019, confirmed that the employer conlribution rate for the TPS would increase from 16.4% to 23.6Yo from 15eptember 2019. Employers are also required to pay a scheme dministration levy of 0.08% giving a total employer contribution rate of 23.68%. The 31 March 2016 Valuation Report was prepared in accordance with the benefits set out in the scheme regulations and under the approach specified in the Direction5, as they applied at 5 March 2019. However. the assumption% were considered and set by the Department for Education prior to the ruling in the'MtCloud/saoeant casè, This Case has required the courts to consideT cases regarding the implementation of the 2015 reforms to Public Service Pensions including the Teachers, Pension5. 39

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 On 27 June 2019 the Supreme Court denied the government permission to appeal the Court of Appeal's judgment that transitional provi5ion5 introduced to the reformed pension schemes in 2015 gave rise to unlawful age discrimination. The government is respecting the Court's decision and has said it will engage fully with the Employment Tribunal as well as employer and mernber representatives to agree how the discriminations will be remedied. The government announced on 4 February 2021 that it intends to proceed with a deferred choice underpin under which members will be able to choose either legacy or reformed scheme benefits in respect of their service during the period between l April 2015 and 31 March 2022 at the point they become payable. The TPS is subject to a c05t cap mechanism which was put in place to protect taxpayers against unforeseen changes in scheFne costs. The Chief Secretary to the Treasury, having in 2018 announc@d that there would be a review of this cost cap mechanisrn, in January 2019 announced a pause to the cost cap mechanism following the Court of Appeal'5 ruling in the McCloud/Sargeant case and until there Is certainty about the value of pensions to employee5 from April 2015 onwards. The pause was lifted in july 2020, and a consultatlon was launched on 24 June on proposed changes to the Cost control mechanism following a review by the Government Actuary. Followin8 a public consultation, the Government have accepted three key proposals re¢ommended by the Government Actuary, and are aiming to implernent these changes in time for the 2020 valuations. In view of the above rulings and decisions the assumptions Used in the 31 March 2016 Actuarial Valuation may become Snappropriate. In this scenario, a valuation prepared in accordènce with revised benefits and suitably revised assumptions would yield different results than those contained in the Actuarial Valuation. Until the cost cap rnechani5rr revision is eompleted it is not possible to conclude on any financial impact or future ¢h3nges to the contribution rates of the TPS. AccoidinEly no provision for any additional past benefit pension c05tS IS included in these financSal statements. 20 RELATED PARTY TRANSACTIONS rhe key management personnel are deemed to be the Trustees. the Senior and Prep Headmasters. the 8ursar, 4 deputy heads and 4 directors as listed Dn Page 5 of the accounts. Their total remuneration costs including employels Nl and pension in the year were £1,191,72312020.' £1.230,6691. During the year the school received 8ift aid income from Kingswood Enterprises Ltd of £34,55412020.' £182,144) relating to 19120 and £37,760 has been accrued for gift aid relatin8 to 20121. The school charged Kingswood Enterpri5e5 Limited £44.72112020.' £39,947) for Minibus driving services. theatre and admin charges and Caterine services. It paid £46,62112020.. £41,847) to Kingswood Enterprise5 Ltd in respect of the supply of minibuses and other vehicles as well as the school shop. At the year-end £81,10512020.' £37,305) was due to Kingswood Enterprises Ltd. 2020.. £44 9451 was due to Kingswood School Ltd from Kin swood International Limited. There were no other tran5action5 between KlnEswood School Ltd and Kingswood International Ltd. 21 ULTIMATE PARENT UNDERTAKING The ultimate parent undertakin8 and controlling party is Kingswood School Trustee Limited, of Lansdown Road, Bath BAI 5RG, a company incorporated in England and Wales. 40

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 22 NEf DEBT RECONCILATION Brought forward Cash flow Carried forward Cash at bank and in hand Bank overdraft 272,480 308,066 272,480 1308,0661 1308,0661 580,546 272.480 Finance leases Debt duè in more than one year Debt due within one year 136,0571 1160,7911 1196,8481 17,654,013) 249,541 17,404,4721 1574.7621 116,771 1457,9911 18,572,898) 786,067 17,786,831) 23 RECONCILIATION OF GROUP NET INCOME TO NET CASH INFLOW FROM OPERATIONAL ACTIVITIES 2021 2020 Net income 375,543 1294,5001 Adjustments for: Investment gain5 Interest received Net financing costs Add back Endowment receipt Ilnvestments additions) Depreciatioin and Hmortisation L()ss on disposal of fixed asset5 124,9571 iioii 273,250 15,130 13551 327,552 1,089,998 1,152,280 1,713,733 1,200,107 Gain on disposal of fixed a55et Transfer from fixed assets to P&L Iincreasel/Decrea5e in stock IncreasellDecrease-irrdebto IncreasellDecreasel in creditors 1516.4661 441 1,313 4-,488 36.993 260.919 Net cash provided by operating activities 2.123.339 726.435 24 CONTINGENT LIABILITY There remalns a contingent liability for an additional mandatory school compliance matter, whlch will be confirmed in 2022. This matter relate5 to an ongoing estates issue, where the School are working diligently with outside agencies to rnitigate any further risk. It 15 not clear at this stage whether there will be any financial cost to the School and if there is, how much the cost will be. 41

Kingswood School NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2021 25 CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES- 2020 Unrestricted funds 2020 Restricted funds 2020 Endowed funds 2020 Total fund5 Total funds Notes 2020 2019 Income and endowment5 from: Charitable activities: School fee5 Ancillary trading income 16,240,087 513,435 137,2961 16,202,791 513.435 16,726,602 770,401 16,753,522 137,2961 16,716,226 17.497.003 Other trading activitie5'. Fundraising tradine Other trading income Investment incorne Donations and grants Other Incomè 223,326 85,706 355 660,064 518,729 223,326 85,706 355 776.072 518,729 410,344 244,765 338 393,113 1,762,630 116,008 io Total income 18,241,702 78,712 18,320,414 20,308.193 Expendlture: Raising funds.. Fundraising trading Financing costs 415,590 327.552 415,590 327,552 694,647 325,681 743.142 743,142 1,020,328 ChaTltable activities.. Education and grant rnaking 17,870,422 1.350 17,871,772 18,122,600 Total expendlture 18,613,564 1,350 18.614.914 19,142,928 Net Income before investment galns 1371,8621 77,362 1294,5001 1.165,265 (Lossesl / Gain5 on investments 12 11791 111,2451 13,7061 115,1301 4,958 Net lexpenditurel l income 1372,0411 66,117 13,7061 1309,6301 1.170.223 Net movement In funds 1372,0411 66,117 13,7061 1309,6301 1.170,223 Fund balances brought forward 24 9,677,711 1,567,406 1,169,560 12,414,677 11,244.454 Fund balances ￿rrIed fonvard 9,305,670 1,633,523 1,165,854 12,105,047 12,414.677 42