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2020-08-31-accounts

Charity Commission Number: 309490

REPORT OF THE GOVERNORS, STRATEGIC REPORT AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020 FOR

SANDROYD SCHOOL TRUST LIMITED

A COMPANY LIMITED BY GUARANTEE

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

INDEX TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

Page
Company Information 1
Report of the Governors (including Strategic Report) 2
Report of the Auditors 8
Statement of Financial Activities 10
Balance Sheet 11
Cash Flow Statement 12
Notes to the Cash Flow Statement 13
Notes to the Financial Statements 14

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

COMPANY INFORMATION for the year ended 31 August 2020

GOVERNORS: Rhodri Thomas (Chairman)
Simon Barber
Jaideep Barot
Hannah Bell
Peter Bourke
Elizabeth Brierley
Emma McKendrick
Charles McVeigh
Laura Miles
Oliver Stanley
George Whitefield
Felicity Wilson
Philippa Zingg
Paul Bird – appointed 29 November 2019
HEADMASTER: Alastair Speers
SECRETARY: Christopher Stewart
PRINCIPAL ADDRESS: Rushmore
Tollard Royal
Salisbury
SP5 5QD
REGISTERED OFFICE: Windover House
St Ann Street
Salisbury
SP1 2DR
REGISTERED NUMBER: 552767 (England and Wales)
CHARITY REGISTRATION
NUMBER: 309490
AUDITORS: Fawcetts LLP
Chartered Accountants
and Statutory Auditors
Windover House
St Ann Street
Salisbury
SP1 2DR
BANKERS: Lloyds Bank plc
38 Blue Boar Row
Salisbury
SP1 1DA

Page 1

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

REPORT OF THE GOVERNORS for the year ended 31 August 2020

The Governors present their report together, with their Strategic Report , and the audited financial statements for the year ended 31 August 2020 and confirm they are in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), effective from 1 January 2015 - Charities SORP (FRS 102), and the Companies Act 2006.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Principal Activity

The principal activity of the charity in the year under review was that of running an independent preparatory school, prepreparatory school and nursery for boys and girls between the ages of 2 and 13 at Tollard Royal, Wiltshire.

Status and Constitution

Sandroyd School was founded in 1888, incorporated on 30 July 1955 and registered as a charity on 4 October 1963.

The Governing Body

The Articles of Association provide that there shall be a minimum of seven and a maximum of fifteen Governors, who also act as trustees of the charity. Governors are appointed for a term of five years, but may be re-elected subject to a maximum of three terms of office. The Governors have identified that, in order to carry out its duties effectively and efficiently, the Board of Governors requires a range of skills and breadth of experience. Suitable candidates are identified by the Appointments Committee from current and past parents of pupils, from old Sandroydians and from the business and professional community. The following skills and experience amongst others are identified as being important and are represented on the present Board of Governors:-

Education Pastoral Care The Law Finance and Accountancy Business Management and Administration Property Management and Development Marketing The Arts

At least one parent Governor is appointed.

Governors’ Induction and Training

New Governors are provided with the Sandroyd Governors’ induction pack which includes copies of the Articles of Association, latest annual report and financial statements, current annual budget, strategic plan, minutes of the last three Governors’ meetings, Guidance for Trustees and Governors published by the Charity Commission and the Independent Schools Council and copies of the school prospectus and publications. New Governors are given a conducted inspection of the school’s facilities and are invited to a meeting with the Chairman of Governors. All Governors are encouraged to attend appropriate external training seminars and conferences, and occasional on-site training for Governors is arranged.

Organisational Management

The Governors, as trustees of the charity, are legally responsible for the overall management and control of the school and the Board of Governors meets formally at least once a term. The work of implementing most of the Board’s policies is delegated to the following sub-committees which generally meet at least once a term, or as necessary:-

Finance and Staffing Committee Academic Committee Development Committee Marketing Committee Appointment of New Governors Committee Bursaries and Public Benefit Committee Governance and Welfare Committee

Continued on page 3

Page 2

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

REPORT OF THE GOVERNORS for the year ended 31 August 2020

Continued from page 2

Organisational Management continued

Governors are also represented on the following committees:

Pastoral Care Committee Health and Safety Committee Fundraising Committee

The day to day running of the school is delegated to the Headmaster supported by his senior management team. The Headmaster and Bursar attend all meetings of the Board and appropriate committees.

Risk Management

The Board of Governors is responsible for management of the risks faced by the school. A system is in place which enables the Governors to identify the major risks; to formalise and record the controls in place to minimise each risk; and to identify and record the person primarily responsible for controlling each risk and for monitoring the controls on a regular basis. All of this information is recorded in the school’s Risk Register which is approved by the Board of Governors and regularly updated. Examples of entries in the risk register are:

The Governors are satisfied that, through this risk management system, the major identified risks have been adequately mitigated. However, it is recognised that risk management systems can only provide reasonable – but not absolute – assurance that the major risks facing the school have been, and are being, adequately managed.

OBJECTS, AIMS AND OBJECTIVES

Objects and Aims

The charity’s objects, as set out in the Articles of Association, include the carrying on in the United Kingdom of any boarding or day school for the education of boys and/or girls. The Governors have reviewed the previous Memorandum and Articles of Association to reflect the relevant provisions of the Charities Act 2016 and the Companies Act 2006, and to bring them into line with current standards of good governance. The revised Articles of Association were adopted on 12 March 2010 following approval by the Charity Commission.

The charity aims to provide and maintain an independent, co-educational preparatory and pre-preparatory boarding and day school and nursery for children between the ages of 2 and 13. It is the school’s policy to provide the highest standard of education by means of strong academic teaching coupled with the development of wider sporting, artistic, cultural and social skills in all its pupils. The aim is to create and maintain a caring environment in which each and every pupil can develop and fulfil their full potential and thereby build self-confidence and contribute to the life of the community.

STRATEGIC REPORT

Objectives for the year 2019/20

Key objectives for 2019/20 included:

Continued on page 4

Page 3

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

REPORT OF THE GOVERNORS for the year ended 31 August 2020

Continued from page 3

REVIEW OF PERFORMANCE FOR THE YEAR 2019/20

The school opened the year with 183 children in the prep school and 41 in the pre-prep and nursery, finishing with 190 in the prep school at the end of the year and 52 in the pre-prep and nursery. Full boarding numbers have risen throughout the year from 112 to 116, which represents over 56% of the prep school. The pupil numbers for the latter half of the academic year would have been even higher, but for the coronavirus pandemic, which prevented some new children from joining the school after Easter. Even without these additional children, the upwards trend in pupil numbers continues, with year-on-year increases evident over the last four years. Sandroyd has seen a 20% increase in its pupil numbers since 2016 and the school is now full in a number of year groups. The increasing success of the prep and pre-prep departments, as well as the increase in the number of boarders, all bode very well for the future.

The school once again enjoyed significant academic success last year. All of the Common Entrance candidates passed their exams in the summer term. Unusually, these papers were marked internally due to covid restrictions in place. This allowed the staff to accurately monitor the ‘value added’ across the whole spectrum of Year 8 academic abilities and the results showed excellent progress in the children’s final year. The school has also been using external testing to monitor the academic progress of all age groups, which has shown continuous improvement in all abilities (Top, Middle and Lower). Whilst this improvement is not felt to be a direct result of the lockdown, it does highlight that remote learning effectively supported the children’s learning throughout the academic year.

Over 43% of the Year 8 Leavers won scholarships to their senior schools, including:

On the music and drama front, the school again performed a large number of productions during the year, including very impressive performances of “The Wizard of Oz” (Year 8), “The Day the Woods Came to Dunsinane” (Year 6) and “Robinson Crusoe – No man is an island” (Year 5). Unfortunately, the Years 3, 4 and 7 plays were all cancelled due to the pandemic. LAMDA (drama) lessons continued to grow in popularity, with record numbers of children subscribing.

The popularity of dance increased enormously with the opening of the purpose-built dance studio 3 years ago and Sandroyd continues to offer a wide variety of dance lessons, from ballet to hip-hop. In spite of the restrictions imposed by the pandemic, there was a (remote) whole school dance on International Dance Day during the summer term. Individual music tuition continues to gain in popularity and we now have more children than ever before taking one-to-one music lessons. This enthusiasm for music has fed through to the quality of the performances by the children, both individually and in groups.

Outside the classroom, the school continues to strengthen its reputation for sporting excellence in a wide range of sports for both boys and girls. The Sandroyd sevens rugby team won the Port Regis Sevens rugby competition, competing against the top prep schools in the area. Several of our Under 14 hockey players, both girls and boys, took part in county hockey trials and joined the county academies. Similarly, a number of Under 11 and Under 10 girls and boys joined the county cricket academies and one of our senior boys played regularly at county level.

Horse riding continues to thrive at Sandroyd and, during the year, the number of children taking riding lessons has continued the upward trend of recent years, increasing from 96 a year ago, to 102. This is believed to be the highest number of horse riders in the school’s history. The senior riders qualified at the start of the autumn term for the NSEA show jumping championships by winning classes at Moreton Equestrian. 8 riders went on to compete in 6 classes at the schools’ championships at Addington in October over 5 days, acquitting themselves very well indeed. In the spring term, our new senior riders qualified for 2 championships. One team of four riders qualified for the JWS finals, followed by the Hickstead eventers challenge by winning at the qualifiers. Unfortunately, the Hickstead Championships were cancelled due to the lockdown and the JWS Championships have been postponed until next year. The youngest riders went to Moreton in the spring term for the grass roots qualifier. Our youngest team ever had a very good day, qualifying for the finals which were held in July.

Sandroyd was unable to host its National Schools’ Tetrathlon event due to the pandemic, but it is hoped that this annual event will resume next year.

Continued on page 5

Page 4

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

REPORT OF THE GOVERNORS for the year ended 31 August 2020

Continued from page 4

REVIEW OF PERFORMANCE FOR THE YEAR 2019/20 continued

During the year, the refurbishment and reconfiguration of the boarding houses were completed. This now means that all boarding houses and dormitories have been refurbished during the last three years. The improvements enable the school to provide modern, bright and comfortable dormitories for the increasing number of boarders attending the school. The ongoing improvements to the estate demonstrate the commitment that the Governors have to the long-term future of Sandroyd.

The school continues to reduce its impact on the environment. A good proportion of the school’s heat and light now comes from renewable sources and we have an active recycling programme in place. Around 90% of our lights are LED and the conversion of the remaining lights to low energy continues. Having fitted a 30kW solar array on the sports hall roof during the previous year, plans were put in place for a second 30kW array. Thanks to very generous contributions from parents, sufficient funds were raised. The array was due to be installed in May 2020, but this was delayed until October 2020 due to the lockdown. These two arrays will provide around 15% of the school’s electricity and will help to reduce our dependence on electricity from the national grid. We have planted hundreds of trees around the school grounds over the last five years and now chip (rather than burn) all organic waste. We have plans in place to reduce our carbon footprint further over the coming years.

With regard to public benefit, the Governors have complied with their duty, as trustees of the charity, to have due regard to the guidance on public benefit published by the Charity Commission. The Governors have for many years pursued a policy of setting aside a proportion of fee income to provide for the award of bursaries for those less able to afford the full fees or for existing parents who have fallen on hard times. During the past year a total of £386,510 was rebated in the form of bursaries and scholarships.

Over the last year, two children were in receipt of 100% bursaries. A number of additional children received financial help in order to continue to attend Sandroyd. None of these children would have been able to attend Sandroyd had it not been for such financial help.

Sandroyd is committed to sharing its skills and assets with less advantaged individuals and groups and, in addition to the provision of bursaries, provides the following benefits within its educational objectives:-

OBJECTIVES FOR THE YEAR 2020/21

In setting objectives and planning activities for the coming year and beyond, the Governors have had regard to the school’s Strategic Plan. The Strategic Plan is a rolling 3-year plan, updated annually, which currently covers the period 2018/19 to 2020/21.

Key objectives for the year 2020/2021 include:-

Continued on page 6

Page 5

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

REPORT OF THE GOVERNORS for the year ended 31 August 2020

OBJECTIVES FOR THE YEAR 2020/21 continued

FINANCIAL REVIEW

The results for the year and the financial position of the charity are as shown in the annexed financial statements.

The financial statements for the year show a net decrease in funds of £29,536 compared with a net increase in funds of £53,733 last year. Building on the success of previous years, a healthy surplus was being forecast until the mid-point of the financial year, which coincided with the start of the lockdown. This early financial performance was forecast to offer a surplus of over £100,000, money that would have been reinvested into the infrastructure of the school. However, the lockdown forced the school to close for the first half of the summer term and, during this period, the governors elected to reduce fees, in common with almost every other independent school in the country. This considerably reduced revenue for the year. Additionally, the pandemic prevented the school from being let out over the Easter and summer holidays, reducing income by more than £80,000. A rigorous approach was taken to reduce costs as much as possible during the lockdown in order to mitigate the loss of revenue, and the governors feel that limiting the deficit to under £30,000 was a considerable achievement, given the challenging circumstances. The Governors are confident that the school will return to a position of financial surplus next year to ensure the long-term future of Sandroyd. Total net assets at 31 August 2020 were £4,032,053 compared with £4,061,589 for the previous year.

RESERVES POLICY

The school does not carry free reserves. It is the policy of the Governors to apply any operating surplus to the development and improvement of the fabric and facilities of the school, and/or to the repayment of bank borrowing.

The Governors’ policy with regard to bank loans is to limit any such borrowing to a level which can be comfortably secured against the value of the school’s freehold property and serviced from the financial operating surplus in accordance with prudent long-term financial forecasts. The school chooses to draw part of its bank borrowing in the form of overdraft, in addition to a term loan, in order to take advantage of the substantial savings in interest paid which results from being able to offset positive cash balances (e.g. from the receipt of fees payable in advance at the beginning of each term) against the amount of the outstanding overdraft.

INVESTMENT POWERS

The Governors are empowered to invest the monies of the charity not immediately required for its purpose in such investments, securities or property as may be thought fit subject to the direction of the Charity Commission or the Secretary of State for Education. It is the Governors’ current policy to invest any such monies in cash on deposit.

STATEMENT OF GOVERNORS' RESPONSIBILITIES

Law applicable to incorporated charities in England and Wales requires the Governors (who are also the directors of the company and trustees of the charity) to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the company and of its financial activities for that period. In preparing those financial statements, the Governors are required to

The Governors are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Continued on page 7

Page 6

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

REPORT OF THE GOVERNORS for the year ended 31 August 2020

Continued from page 6

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the Governors are aware, there is no relevant audit information (as defined by section 418 of the Companies Act 2006) of which the company’s auditors are unaware, and each Governor has taken all the steps that he or she ought to have taken as a Governor in order to make himself of herself aware of any relevant information and to establish that the company’s auditors are aware of that information.

AUDITORS

The auditors, Fawcetts LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

C J Stewart

Dated: 4 December 2020

Page 7

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SANDROYD SCHOOL TRUST LIMITED

Opinion

We have audited the financial statements of Sandroyd School Trust Limited (the ‘charitable company’) for the year ended 31 August 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

Other information

The other information comprises the information included in the Report of the Governors, (including Strategic Report), other than the financial statements and our Report of the Auditors thereon. The Governors are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Continued on page 9

Page 8

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SANDROYD SCHOOL TRUST LIMITED

Continued from page 8

Matters on which we are required to report by exception

In light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors included within the Report of the Governors.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of Governors

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

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

Auditor’s responsibilities for the audit of the financial statements

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

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Simon Ellingham FCA DChA (Senior Statutory Auditor) for and on behalf of Fawcetts LLP Chartered Accountants and Statutory Auditors Windover House, St Ann Street Salisbury SP1 2DR

Dated: 6 January 2021

Page 9

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

STATEMENT OF FINANCIAL ACTIVITIES (incorporating an income and expenditure account) for the year ended 31 August 2020

Notes
INCOME AND ENDOWMENTS FROM:
Income from:
Charitable activities
Fees receivable
2
Other income
3
Donations and legacies
Total income and endowments
EXPENDITURE
Expenditure on:
Charitable activities:
School operating costs
Total expenditure
6
NET INCOME/(EXPENDITURE)
Fund balances at 1 September 2019
TOTAL FUNDS CARRIED FORWARD
AT 31 AUGUST 2020		 Unrestricted
funds
£
3,948,540
344,277
24,080
4,316,897
4,353,960
4,353,960
(37,063)
3,550,787
3,513,724		 Restricted
funds
£
-
-
42,723
42,723
35,196
35,196
7,527
510,802
518,329		 Total
2020
£
3,948,540
344,277
66,803
4,359,620
4,389,156
4,389,156
(29,536)
4,061,589
4,032,053		 Total
2019
£
4,381,852
140,972
30,425
4,553,249
4,499,516
4,499,516
53,733
4,007,856
4,061,589

CONTINUING OPERATIONS

None of the company's activities was acquired or discontinued during the current and previous years.

The notes form part of these financial statements

Page 10

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

(REGISTERED NUMBER: 552767)

BALANCE SHEET 31 August 2020

Notes
FIXED ASSETS:
Tangible assets
8
CURRENT ASSETS:
Stocks
9
Debtors
10
Cash at bank and in hand
CREDITORS:
Amounts falling
due within one year
11
NET CURRENT LIABILITIES
TOTAL ASSETS LESS CURRENT
LIABILITIES:
CREDITORS:
Due after more than one year
12
RESERVES:
Restricted funds
20
Unrestricted funds		 2020 2020
£
76,536
1,285,760
3,565
1,365,861
2,332,497

ON BEHALF OF THE BOARD:

Rhodri Thomas – Chairman

Approved by the Board on 4 December 2020

The notes form part of these financial statements

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SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

CASH FLOW STATEMENT
for the Year Ended 31 August 2020
2020
Notes
£
Net cash provided by
operating activities
1
19,398
Cash flows from investing activities:
Purchase of tangible assets
(66,934)
Net cash used in investing activities
(66,934)
Cash flows from financing activities:
Loan repayments
(132,255)
New hire purchase in the year
-
Capital repayments in the year
(9,320)
Net cash used in by financing activities
(141,575)
Change in cash and cash equivalents in the year
(189,111)
Cash and cash equivalents at 1 September 2019
(206,779)
Cash and cash equivalents at 31 August 20202
(395,890)		 2019
£
678,433
(238,341)
(238,341)
(128,044)
37,000
(10,156)
(101,200)
338,892
(545,671)
(206,779)

The notes form part of these financial statements

Page 12

SANDROYD SCHOOL TRUST LIMITED

A COMPANY LIMITED BY GUARANTEE

NOTES TO THE CASH FLOW STATEMENT for the Year Ended 31 August 2020

1. RECONCILIATION OF NET INCOME/EXPENDITURE TO NET CASH INFLOW FROM OPERATING ACTIVITIES

Net (outgoing)/ incoming resources
Depreciation charges
Decrease/ (Increase) in stocks
(Increase)/ Decrease in debtors
(Decrease)/Increase in creditors
Net cash provided by operating activities
ANALYSIS OF CASH AND CASH EQUIVALENTS


Cash at bank and in hand
Overdraft facility repayable on demand
2020
£
(29,536)
235,484
334
(84,970)
(101,914)
19,398
2020

£
3,565
(399,455)
(395,890)		 2019
£
53,733
260,037
(6,047)
87,712
282,998
678,433
2019
£
2,278
(209,057)
(206,779)

2. ANALYSIS OF CASH AND CASH EQUIVALENTS

The notes form part of these financial statements

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SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The company meets its day to day working capital requirements through loan and overdraft facilities of which the overdraft is repayable on demand. The company is operating within its agreed facility and in view of their relationship with the company’s bankers, the governors consider it reasonable to rely on the continuation of the overdraft facility. The Governors have also considered the consequences of the Coronavirus (COVID-19) outbreak, and based on the current financial position of the school together with expected future pupils they believe that the school is a going concern. The financial statements have therefore been prepared on a going concern basis and do not contain any adjustments that might be necessary if the overdraft facility were not renewed at an appropriate level.

Accounting convention

The financial statements have been prepared in accordance with the Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), effective from 1[st] January 2015 – Charities SORP (FRS 102) and the Companies Act 2006.

Fees and similar income

Fees receivable and other income are accounted for in the period in which the service is provided. Fees receivable are stated after deducting allowances, scholarships and other remissions allowed by the school.

Tangible fixed assets

Expenditure on fixed assets 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. The cost of fixed assets is their purchase cost, together with any incidental costs of acquisition. Depreciation is calculated to write off the cost of tangible fixed assets, less their estimated residual values, over the expected useful lives of the assets concerned. The principal annual rates used for this purpose are:

purpose are:
Land is not depreciated.
Buildings and improvements - 2%/3%/10% per annum on cost.
Sports pitches - 5% per annum on cost.
Furniture and equipment - 38%/10% per annum on reducing balance
Motor vehicles - 38% per annum on reducing balance

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Rentals paid under operating leases are charged on a straight line basis over the lease term.

Stocks

Stock is valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Pensions

The school operates a defined contribution group personal pension scheme for teachers and other employees.

Donations and fund accounting

Donations received for the general purposes of the school are included as unrestricted funds. Donations for activities restricted by the wishes of the donor are taken to “restricted funds” where these wishes are legally binding on the Governors.

Debtors

Debtors are measured at their recoverable amount.

Page 14

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

1. ACCOUNTING POLICIES continued

Creditors and provisions

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

Taxation

The company is a registered charity and, as such, is not liable to corporation tax.

Financial instruments

The School only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

Government grants and Covid-19

The charity has received support from the UK Government as part of a package of measures introduced to support businesses during the coronavirus pandemic. Government grants are recognised in the financial statements in the period in which they become receivable.

2. INCOME

Fees receivable consist of:
Gross fees
Less: Total bursaries, grants and allowances
Staff discounts
SUNDRY AND OTHER INCOME
Use of facilities
Sundry income
Coronavirus Job Retention Scheme
STAFF COSTS
Wages and salaries
Social security costs
Other pension costs		 2020
£
4,471,985
(371,528)
(151,917)
3,948,540
2020
£
15,285
41,508
290,454
344,277
2020
£
2,559,953
206,792
425,377
3,192,122		 2019
£
4,890,759
(344,997)
(163,910)
4,381,852
2019
£
110,221
34,311
-
144,532
2019
£
2,540,998
214,083
285,649
3,040,730

3. SUNDRY AND OTHER INCOME

4. STAFF COSTS

The average monthly number of employees (full time equivalent) during the year was as follows:

2020 2019
Teachers 50 44
Others 35 35
85 79

Page 15

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

4. STAFF COSTS continued

The number of higher paid staff to whom retirement benefits were accruing
was as follows: 2020 2019
Defined benefit schemes 1 1
The number of employees whose emoluments exceeded £60,000 was:
£70,001 - £80,000 2 2

During the year there were termination payments made which amounted to £19,406 (2019 - £29,445). During the year no Governors received travelling expenses (2019 - £Nil).

The key personnel of the school comprise the Governors, the Head and the Bursar. The total remuneration of the key management personnel was £170,524 (2019 - £166,371). With the exception of the above none of the Governors nor persons connected with them received any remuneration or other material benefits from the association or any connected organisation.

5. EXPENDITURE

Expenditure includes:

.EXPENDITURE
Expenditure includes:
2020 2019
£ £
Depreciation - owned assets 230,746 255,421
Depreciation - assets on hire purchase contracts 4,738 4,616
Operating lease rentals 24,752 30,122
Auditors' remuneration - audit 9,000 9,200
- accountancy 2,760 2,840

6. ANALYSIS OF TOTAL RESOURCES EXPENDED

Charitable activities:
School operating costs:
Teaching costs
Welfare
Premises
Management and administration
Governance costs
Costs of generating funds:
Finance and other costs
Total resources expended		 Staff costs
£
2,203,384
495,722
168,261

324,755
3,192,122
-
-
3,192,122		 Other
£
83,558
239,738
335,675
218,726
877,697
11,898
71,955
961,550
Depreciation
£
14,748
39,539
167,680
13,517
235,484
-
-
235,484		 2020
Total
£
2,301,690
774,999
671,616
556,998
4,305,303
11,898
71,955
4,389,156		 2019
Total
£
2,260,045
827,033
722,828
585,527
4,395,433
12,040
92,043
4,499,516

Page 16

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

7. STATEMENT OF FINANCIAL ACTIVITIES – comparative balances

INCOME AND ENDOWMENTS FROM:
Income from:
Charitable activities
Fees receivable
Other income
Donations and legacies
Total income and endowments
EXPENDITURE
Expenditure on:
Charitable activities:
School operating costs
Total expenditure
NET INCOME
Fund balances at 1 September 2018
TOTAL FUNDS CARRIED FORWARD
AT 31 AUGUST 2019
8.
TANGIBLE FIXED ASSETS

COST:
At 1 September 2019
Additions
At 31 August 2020
DEPRECIATION:
At 1 September 2019
Charge for year
At 31 August 2020
NET BOOK VALUE:
At 31 August 2020

At 31 August 2019		 Freehold
land and
buildings
£
8,466,012
50,465
8,516,477
1,915,093
167,680
2,082,773
6,433,704
6,550,919		 Unrestricted
Restricted
funds
funds
£
£
4,381,852
-
140,972
-
3,560
26,865
4,526,384
26,865
4,463,709
35,807
4,463,709
35,807
62,675
(8,942)
3,488,112
519,744
3,550,787
510,802
Furniture
and
Motor
equipment
vehicles
£
£
1,030,870
57,702
16,469
-
1,047,339
57,702
787,638
39,127
60,745
7,059
848,383
46,186
198,956
11,516
243,232
18,575		 Unrestricted
Restricted
funds
funds
£
£
4,381,852
-
140,972
-
3,560
26,865
4,526,384
26,865
4,463,709
35,807
4,463,709
35,807
62,675
(8,942)
3,488,112
519,744
3,550,787
510,802
Furniture
and
Motor
equipment
vehicles
£
£
1,030,870
57,702
16,469
-
1,047,339
57,702
787,638
39,127
60,745
7,059
848,383
46,186
198,956
11,516
243,232
18,575		 Total
2019
£
4,381,852
140,972
30,425
4,553,249
4,499,516
4,499,516
53,733
4,007,856
4,061,589
Totals
£
9,554,584
66,934
9,621,518
2,741,858
235,484
2,977,342
6,644,176
6,812,726

The cost of freehold land and buildings includes land of £2,000 which is not being depreciated.

Included in the net book value of furniture and equipment are assets to the value of £42,642 (2019 - £67,018) held under hire purchase contracts.

Page 17

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

9.
STOCKS
Raw materials and consumables
Goods for resale
10.
DEBTORS: AMOUNTS FALLING
DUE WITHIN ONE YEAR
Trade debtors
Other debtors
Prepayments
11.CREDITORS: AMOUNTS FALLING
DUE WITHIN ONE YEAR

Bank loans and overdraft (note 16)
Hire purchase agreements (note 13)
Trade creditors
Other creditors
Taxation and social security
Accruals
Entry deposits repayable
Deferred income (fees paid in advance)
Autumn 2020 fees
Advance fees scheme (note 15)
Other
12.
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
Bank loans (note 16)
Hire purchase agreements (note 13)
Deferred income (note 15)
Entry deposits repayable		 2020
£
45,345
31,191
76,536
2020
£
1,147,409
55,825
82,526
1,285,760
2020
£
541,356
5,878
67,007
56,810
56,711
32,030
48,029
1,333,174
165,192
26,310
2,332,497
2020
£
1,198,373
26,505
206,475
214,134
1,645,487		 2019
£
48,488
28,382
76,870
2019
£
1,023,208
90,623
86,959
1,200,790
2019
£
404,394
9,853
61,495
48,921
55,114
32,534
38,058
1,396,774
229,758
26,310
2,303,211
2019
£
1,277,189
31,850
265,185
153,640
1,727,864

Page 18

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

13. OBLIGATIONS UNDER HIRE PURCHASE CONTRACTS

13.OBLIGATIONS UNDER HIRE PURCHASE CONTRACTS

Net obligations repayable:
Within one year
Between one and five year
14.SECURED DEBTS
The following secured debts are included within creditors:

Bank overdraft
Bank loan		 2020
£
5,589
26,794
32,383
2020
£
399,455
1,340,274
1,739,729		 2019
£
9,853
31,850
41,703
2019
£
209,055
1,472,528		 2019
£
9,853
31,850
41,703
1,681,583

The bank loan is secured by a first charge over the freehold property of the School.

15. ADVANCE FEE PAYMENTS

Assuming pupils will remain in the school, advance fees will be applied as follows:

Within 2 to 5 years
Over 5 years
Within 1 year (included in deferred income)
Balance at 1 September 2019
Advances in the year
Amounts utilised in payment of fees
Balance at 31 August 2020		 206,475
265,185
-
-
206,475
265,185
165,192
229,758
371,667
494,943
£
£
494,943
233,766
99,937
513,926
(223,213)
(252,749)
371,667
494,943

Page 19

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

16. LOANS AND OVERDRAFTS

An analysis of the maturity of loans and overdrafts is given below:

Amounts falling due within one year or on demand:
Bank overdraft
Bank loan
Amounts falling due between one and two years:
Bank loan – 1-2 years
Amounts falling due between two and five years:
Bank loan – 2-5 years
Amounts falling due over five years:
Bank loan – over 5 years		 2020
£
399,455
141,901
541,356
147,069
484,075
567,229

The bank loan is split into three elements one being £821,770 repayable over 14 years at a fixed interest rate of 5.74% the second element of £199,650 being variable at 2% over base per annum. The third element of £318,854 is repayable over 10 years at a fixed interest rate of 3.76%.

17. OBLIGATIONS UNDER LEASING AGREEMENTS

The total future minimum payments due on leases expiring:

2020 2019
Equipment £ £
Expiring:
Between one and five years 34,460 21,272

18. PENSION COMMITMENTS

Due to the large increase in contribution rates with effect from 1 September 2019, the Governors, in consultation with the teachers, agreed to exit the Teachers’ Pension Scheme with effect from 31 August 2019 and revert to personal pension plans, on a defined contribution basis, with effect from 1 September 2019. For other employees, the School contributes to personal pension plans and these are defined contribution schemes.

The total pension cost for the school was £425,377 (2019 - £285,649). There were outstanding contributions at the balance sheet date of £42,074 (2019 - £34,974) in respect of contributions due for the month of August paid over to the pension schemes’ administrators in September.

Page 20

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

19. ALLOCATION OF THE CHARITY NET ASSETS

Restricted funds
Unrestricted funds		 Fixed
assets
£
518,329
6,125,847
6,644,176		 Net current
liabilities
£
-
(956,990)
(956,990)		 Long term
liabilities
£
-
(1,655,133)
(1,655,133)		 Total
£
518,329
3,513,724
4,032,053

20. RESTRICTED FUNDS

Gift fund
2006 Appeal fund
Cloisters, Studio and Sports Pavilion
Chisuma Project
Fire Suppression System
Scholarship fund
Solar Panels fund
Walled Garden fund		 Balance at
1 September
2019
£
19,062
269,303

217,731
1,936
2,770
-
-
-
510,802

Movement in
Incoming
resources

£
-
-
-
-
-
23,340
18,483
900
42,723		 funds
Outgoing
resources
£
-
(7,072)
(4,640)
-
(144)
(23,340)
-
-
(35,196)		 Balance at
31 August
2020
£
19,062
262,231
213,091
1,936
2,626
-
18,483
900
518,329

Gift fund

The gift fund includes cash donations to be applied at the headmaster’s discretion.

2006 Appeal fund

The fund was launched to raise funds towards the cost of a new hall. This fund is being released to the general reserve fund (unrestricted funds) over a period equivalent to the estimated useful life of the purchased assets.

Cloisters, Studio and Sports Pavilion

The fund was launched to raise funds for future projects specifically for the Memorial Cloisters, Sandroyd Studio and a Sports Pavilion.

Chisuma Project

The project was set up to raise money to furnish a classroom at a primary school in Zimbabwe.

Fire Suppression System

Following a recent insurance risk survey, the school insurance company (QBE) offered to pay up to £3,000 for a fire suppression system to be installed in the school kitchen. Following a tender process, a suitable system was identified and installed in December 2018. The final cost came to £2,865.

Scholarship fund

During the year the school received a donation to fund a pupil’s fees for the year.

Page 21

SANDROYD SCHOOL TRUST LIMITED A COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

20. RESTRICTED FUNDS continued

Solar Panel fund

This fund relates to donations received from parents to fund the installation of solar panels on the school swimming pool and changing room roofs.

Walled Garden fund

These are funds raised by various sponsored events and donations to pay for new outside equipment for the Walled Garden pre-prep.

21. RELATED PARTY TRANSACTIONS

Felicity Wilson, a governor was paid £175 (2019 - £Nil) during the year for dance tuition provided to pupils. This was paid at the same hourly rate as other dance teachers. There were no additional related party transactions in the year under review requiring disclosure.

22. STATUS OF COMPANY

The company is a registered charity limited by guarantee. The liability of members in the event of a winding up is limited by guarantee to an amount not exceeding £1 per member. At the balance sheet date there were 14 members (2019 – 13).

23. CAPITAL COMMITMENTS

CAPITAL COMMITMENTS
2020 2019
£ £
Authorised but not contracted for 30,000 30,000

Page 22