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2020-08-31-accounts

DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

Company Registration No. 01067862 (England and Wales) Charity Registration No. 309911

THE BEACON EDUCATIONAL TRUST LTD DIRECTORS’ REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127 108E3B

THE BEACON EDUCATIONAL TRUST LTD COMPANY INFORMATION GOVERNORS, OFFICERS AND ADVISORS

The Governors who served during the year ended 31 August 2020 were as follows:-

Directors

Directors DCL Miller - appointed 1 April 2020 appointed Chair 30 May 2020 (All) N K Pandya Chairman from 1 Sept 2019 to 29 May 2020 (1) D A McGregor (Vice Chairman) (4) S J Allcock (2) G L Bailey - appointed 1 April 2020 (3), (5) & (6) M Bond (2) & (4) - resigned 5 Dec 2019 R J Garrett-Bowes (1) S Gillam (2) J DR Hardman (1) - resigned 12 Nov 2020 R Herbert (1) S Horrocks (2) and (4) P J Kirkbride (1) & (3) P McGlone (1) & (6) FEM Mayhew (3) & (6) JR Pardon (1) & (2) JE Rampin - appointed 17 June 2020 (3) & (6) AMS Thomson (5) - resigned 31 Aug 2020 M Thompson (4) & (6) (1) Member of the Finance and General Purposes Committee (2) Member of the Education Committee (3) Member of the Admissions and Marketing Committee (4) Member of the Human Resources Committee (5) Member of the Health and Safety Committee (6) Member of the CV19 Committee Secretary F Muzika Company number 01067862 Registered Charity number 309911 Registered office Amersham Road, Chesham Bois Amersham Buckinghamshire HP6 5PF Auditors Crowe U.K. LLP Aquis House 49-51 Blagrave Street Reading Berkshire RG1 1PL Business address Amersham Road, Chesham Bois Amersham Buckinghamshire HP6 5PF

DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD COMPANY INFORMATION GOVERNORS, OFFICERS AND ADVISORS (CONTINUED)

Bankers

. Officers

National Westminster Bank plc Oakfield Corner, Hill Avenue Amersham Buckinghamshire HP6 5BU

The Headmaster:

Director of Finance & Operations Clerk to the Governors:

WT Phelps MA (New York) BA AKC (Kings College London) F Muzika ACA H J Farrelly

DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD CONTENTS

Page
Annual Report ofthe Governors (Directors) 1-6
Statement of Governors’ Responsibilities 7
Auditors' Report 8-10
Statement of Financial Activities 11
Balance Sheet 12
Cash Flow Statement 13
NotestotheFinancialStatements 14-26

DocuSign Envelope 1D: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD ANNUAL REPORT OF THE GOVERNORS FOR THE YEAR ENDED 31 AUGUST 2020

The members of The Beacon Educational Trust Limited Governing Body present their annual report for the year ended 31 August 2020 under the Charities Act 2011 and the Companies Act 2006, thus including the Directors’ Report and Strategic Report under the 2006 Act, together with the audited financial statements for the year. The members are Directors, Trustees and Governors and these terms are all used within this report.

DIRECTORS’ REPORT

Constitution and Objects

The Beacon Educational Trust Limited is a charitable company limited by guarantee. Its Charity registration number is 309911 and the company registration number is 01067862. The registered office and principal address of the company is Amersham Road, Chesham Bois, Amersham, Buckinghamshire, HP6 5PF.

The company is governed by its Memorandum and Articles of Association, which state that its object is to advance the education of the public. In furtherance thereof, the company operates The Beacon School, a preparatory school.

Aims, Objectives and Activities

Aims

The Beacon aims to inspire boys to achieve their best within a happy, safe and stimulating environment, providing education of the highest quality delivered by caring and dedicated teachers. To achieve this, the School continues with the support of parents to:

Primary objectives

Key elements of the School's strategy are to:

  1. Maintain a broad curriculum that is directed towards independent and lifelong learning.

  2. Uphold the traditional values associated with preparatory education, through its pastoral system, whilst ensuring that pupils are taught the skills and knowledge they will need to meet the challenges of the changing world.

  3. Embed information technology into the curriculum as the principal means of enhancing teaching and learning.

  4. Provide new and improved existing buildings and other facilities to support the educational, cultural and pastoral aims of the School.

Governance and Management

Governing body

The directors serve as trustees of the Charity and under the terms of the above Articles are also members of the company. Each director is elected by the Board of directors on the basis of nominations received from serving directors, the headmaster and others. Directors are selected on the basis of their skills and suitability. The chairman of the Board is responsible for the induction of new directors, which includes making them aware of their responsibilities, the governing documents, administrative procedures, the history and philosophical approach of the company and previous annual reports and accounts. Every director is vetted for safeguarding purposes prior to appointment.

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

At the outset of the global Coronavirus pandemic in March 2020, a new Committee was set up (CV19) to meet frequently via video calls to ensure diligent governance and support to management, a discipline maintained through the balance of the year being reported.

The first term of office for a director shall be: (a) for an ex officio director - while he or she holds office; and (b) for other Directors - three years; provided that the Directors may determine that the Director shall in fact retire at the end of a meeting of the Board of Directors held within twelve months of the end of the Director's term of office. A Director who has served two consecutive terms of three years may be reappointed for a further term not exceeding two years if the Board considers that the Director's reappointment would be in the best interests of the Charity. At the end of that term, the Director may be reappointed by the Board for a further term not exceeding 2 years, subject to the same considerations, and may be appointed for further terms (each term not exceeding 2 years) thereafter on the same basis. A retired Director may be reappointed to hold office, provided that a year has elapsed since he or she last held office as a Director and provided that the Board considers that it would be in the best interests of the Charity for him or her to be eligible for reappointment.

The directors usually meet as a Board three or more times per year to determine policy and to monitor the operations of the company. Their role is assisted by the work of the Board Committees which usually meet a few weeks before each regular meeting of the Board. The day-to-day running of the School is delegated to the headmaster who, with the Director of Finances and Operations (“DFO”), is assisted by other members of the School leadership team.

Employment policy

The School supports the attainment of the highest standards of education through rigorous and continuous evaluation of quality and performance, the application of best practice and a widespread desire to improve standards. The School co-operates with local organisations to widen public access to its facilities.

The School is an equal opportunities employer. 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 continues on an ongoing basis with the aim of taking employees into account when decisions are made that are likely to affect their interests.

Remuneration Policy for Key Management

Remuneration of the headmaster and the DFO is set by the Governing Body after appropriate consultation and benchmarking in order to ensure recruitment and retention of quality staff.

PROVISION OF INFORMATION TO AUDITORS

Each of the persons who are directors at the time when this Report is approved has confirmed that:

AUDITORS

A resolution proposing the re-appointment of Crowe as auditors to the company will be put to the Annual General Meeting.

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THE BEACON EDUCATIONAL TRUST LTD ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

STRATEGIC REPORT

Mission Statement

The School’s mission is to inspire boys to achieve their best within a happy, secure and stimulating environment, providing education of the highest quality, delivered by an enthusiastic and committed team of teachers and staff.

Strategies to achieve the primary objectives

Ten year plan

The Governors are three years into their ten year strategic plan entitled “The Beacon Vision” which comprises five key components: delivery of exceptional teaching and learning; development of Modern Fluencies; promotion of well-being for pupils, staff and parents; development of the School site; and the creation of a ‘Beacon Network’. Success will be measured by the School's ability to encourage initiative, innovation, entrepreneurship and philanthropy in all. In setting these components and planning, the Governors have complied with their duty in Section 17(5) of the Charities Act 2011 to have due regard to the Charity Commission's guidance on public benefit. Despite the unprecedented impact of the global Covid pandemic the Board are comfortable with this plan and that the School continues to maintain progress.

Achievements and Performance

The global pandemic has inevitably presented multiple and very complex challenges to those with responsibility for operating a school, as well as all staff, pupils and parents. The School proactively with the Board took the decision to close the school site on 18 March 2020 just before the announcement of the first national lockdown because, as the Headmaster said at the time “we cannot fight this virus with just hand sanitizer”. For the remaining few days of the Spring Term boys were given tasks to do at home, supported by a programme of daily podcasts and other material from school.

During the Easter holiday The Beacon converted to an entirely online school, #BeaconExcellenceOnline, based around Microsoft Teams. This was conspicuously successful and received much warm praise. The site reopened in September and the school has since operated various hybrid models with pupils joining lessons from home as necessary.

At the time of writing, the 2020 Buckinghamshire Transfer Test (11+) results have just been received and the school’s results are extremely strong. Similarly at 13+, our boys continue to win places and scholarships at some of the most competitive independent senior schools.

Whilst several aspects of school life are inevitably curtailed at present, as soon as practicable we will continue to press ahead with academic and other innovations to keep The Beacon at the forefront of prep school education. One major development which has been successfully completed in spite of the pandemic is the building of a cover over the swimming pool, enabling year-round use by The Beacon and also other local organisations as part of our outreach.

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THE BEACON EDUCATIONAL TRUST LTD ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

Public benefit

Bursaries and scholarships

The Governors continue to be committed to broadening access to the School by offering means-tested bursaries of up to 100% to enable more boys whose parents would not otherwise be able to afford the fees to benefit from the School's education and facilities.

In 2019/20, six boys in the School benefited from 100% fee bursaries, two from 80% bursary, one from 50% bursary and one from a one-third bursary, to a total value of £138,931 (2079: £138,166). These bursaries also covered all educational extras, such as uniform, equipment, School trips and other extracurricular activities.

Beacon Bursary Fund

The Beacon Bursary Fund is a Charity set up and run independently of the School, by four trustees. Its purpose is to assist with funding for the education of pupils of The Beacon School, whose parents encounter financial difficulties, and who might otherwise have to withdraw their son(s) from the School at a time detrimental to their educational progress. The fund derives its income from parental donations, gift aid and investment income. In 2019/20 financial assistance to the value of £88,269 (2019: £27,967) was given by the fund reflecting the impact of the pandemic.

Community links

The School co-operates with local charities and community based organisations in order to widen public access and to share its cultural and sporting facilities. Efforts continue to develop and expand in this respect.

In particular, the School's facilities are offered for modest rents to locally based clubs, and the School hosts sporting and academic competitions in which local Schools participate.

The enclosure of the school’s swimming pool has created the opportunity to provide free use of the facility for Horizon Sports Club, a local disabled children’s sports charity. Free use of the School's facilities was also provided for Restore Hope, a local charity assisting the community affected by the pandemic.

There is a continued focus on giving support via free use of the school’s facilities to The Theatre Shed whose vision is to build a sustainable theatre that brings together many more children and adults from a range of backgrounds to create wonderfully innovative, inspiring, inclusive theatre.

The School has also developed a good working relationship with the neighbouring residents in order to minimise any negative impact of the school's activities on the local community. In addition, the school has hosted tea parties for local veterans.

Charitable Fund Raising

The School’s on-going commitment to charitable fundraising has continued as demonstrated by events to support a number of national charities including Save the Children, Chiltern, Toybank, Chiltern Foodbank, One Can Trust, Macmillan Cancel Support, Royal Brompton and Harefield Hospitals, Young Minds, Roald Dahl, Marvellous Children’s Charity and Tree Aid. We also raise money towards the Beacon Bursary Fund.

Volunteers

The School benefits from the fund-raising activities of parents through The Beacon Parents’ Society, whose hard work and support is greatly appreciated by the Governors.

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THE BEACON EDUCATIONAL TRUST LTD ANNUAL REPORT OF THE GOVERNORS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

Financial Review

Results for the year

Total income amounted to £8,181,778 (2019: £8,434,790). Net incoming resources for the year were £783,634 compared with £960,964 in 2018/19.

During the year a total of £451,151 (2019: £409,186) was spent on capital projects to enhance the appearance, security and functionality of the School.

Reserves level and policy

The Governors’ policy is to build the company's free reserves over the coming five years to £2m, to cover the immediate needs for essential operating expenditure for one term. The Governors plans to achieve this will however inevitably be affected by periodic opportunities to equip the School with the up-to-date facilities needed to maintain the standard of educational services provided for the benefit of future pupils.

The School's unrestricted funds stood at £15,680,042 (2019: £14,895,534) at the end of the period. After adjusting for unrestricted functional fixed assets for the Charity’s own use and the loans connected there to, free reserves stood at £1,076,826 (2019: £179,919).

FUTURE PLANS

The company's future plans include:

Risk Management

The Board keeps the School's activities under review and monitors the risks that arise from time to time, together with the systems and procedures established to manage them. The Board monitors the effectiveness of the system of internal controls and other means, including insurance cover, by which those identified risks can be mitigated. The key controls used include:

The major risks are maintenance of academic standards (mitigated via recruitment procedures as well as appraisal process), child protection (mitigated via strict adherence to safeguarding rules) and quality of the School facilities (mitigated by the latest School vision).

Through these procedures, the Board is satisfied that major risks should be identified and mitigated against so far as practicable whilst recognising that systems provide only reasonable but not absolute assurance that all risks are identified.

The School purchases indemnity insurance for the Governors.

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THE BEACON EDUCATIONAL TRUST LTD ANNUAL REPORT OF THE GOVERNORS {CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

Risks and Threats to the Independent Schools' Sector

Through the School's links to and membership of the Independent Association of Prep Schools (IAPS) and the Independent Schools' Bursars Association (ISBA) the School keeps itself abreast of issues facing the sector as a whole. The School has continued to absorb the increase in teachers' pension contributions from September 2019 and has no plans at this time to withdraw from the Teachers' Pensions Scheme.

The School monitors all threats, such as the global Covid pandemic, the general economic climate and BREXIT and will take appropriate action to adjust budgets and plans should it become necessary.

The Governors are confident in the School's ability to manage these risks.

This Annual Report, prepared under the Charities Act 2011 and the Companies Act 2006, was approved by the Governors of the Beacon Educational Trust Limited on 29 March 2021 including in their capacity as company directors approving the Strategic Report contained therein and is signed as authorised on its behalf by:

DCL Miller - Chairman Director

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD STATEMENT OF GOVERNORS’ RESPONSIBILITIES

The Governors (who are also directors of The Beacon Educational Trust Ltd for the purposes of company law) are responsible for preparing the Governors’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards).

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

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

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Crowe

CharteredCrowe U.K Accountants LLP Aquis House 49-51 Blagrave Street Reading Berkshire RG1 1PL Tel: +44 (0)118 959 7222 Fax: +44 (0)118 958 4640 www.crowe.co.uk

THE BEACON EDUCATIONAL TRUST LTD INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE BEACON EDUCATIONAL TRUST LTD

Opinion

We have audited the financial statements of The Beacon Educational Trust Limited for the year ended 31 August 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow 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).

In our opinion the financial statements:

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:

Crowe U.K. LLP is a limited liability partnership registered in England and Wales with registered number OC307043. The registered office is at 55 Ludgate Hill, London EC4M 7JW. A list of the LLP’s members is available at the registered office Authorised and regulated by the Financial Conduct Authority. All insolvency practitioners in the firm are licensed in the UK by the Insolvency Practitioners Association. Crowe U.K. LLP is a member of Crowe Global, a Swiss verein. Each member firm of Crowe Global is a separate and independent legal entity. Crowe U.K. LLP and its affiliates are not responsible or liable for any acts or omissions of Crowe Global or any other member of Crowe Global.

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

Y. Crowe

THE BEACON EDUCATIONAL TRUST LTD INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF THE BEACON EDUCATIONAL TRUST LTD (CONTINUED)

Other information

The Governors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor's report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

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 our audit

Matters on which we are required to report by exception

In light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the Governors’ report included within the Governors’ report.

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

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OocuSign Envelope ID: BC7O419A-2381-417O-8338-8FA127108E38

Crowe

THE BEACON EDUCATIONAL TRUST LTD INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE BEACON EDUCATIONAL TRUST LTD (CONTINUED)

Responsibilities of Governors

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

In preparing the financial statements, the 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 an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists.

Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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.orq.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

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

Alastair Lyon Senior Statutory Auditor

For and on behalf of Crowe U.K. LLP Statutory Auditor Aquis House 49-51 Blagrave Street Reading RG1 1PL

Date: 30 March 2021

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2020

Unrestricted Restricted Total Total
Funds Funds 2020 2019
Notes £ £ £ £
INCOME AND ENDOWMENTS
FROM:
Charitable activities:
School fees receivable 4a 7,788,204 - 7,788,204 8,105,640
Ancillary trading income 4b 116,175 - 116,175 182,689
CJRS grant income 193,152 - 193,152 -
Other trading activities:
Interest received 14,392 - 14,392 14,736
Rent and facility hire 59,430 - 59,430 100,493
Donations - 10,425 10,425 31,232
Total 8,171,353 10,425 8,181,778 _8,434,790
EXPENDITURE ON:
Charitable activities:
School operating costs 7,339,998 . 7,339,998 7,361,565
Expenditure on raising funds:
Financing costs 6 58,146 : 58,146 112,261
Total 7a 7,398,144 : 7,398,144 _ 7,473,826
Net income and expenditure 773,209 10,425 783,634 960,964
Transfer between funds 11,299 (11,299) : =
NETMOVEMENT IN FUNDS 784,508 (874) 783,634 960,964
Funds brought forward 1 September 2019 14,895,534 22,019 14,917,553 _13,956,589
Fundscarriedforwardat31August2020 15,680,042 _21,145 $_15,701,187 _14,917,553

All incoming resources and resources expended are derived from continuing operations.

The notes on pages 14 to 26 form part of these financial statements

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD COMPANY NUMBER: 01067862 BALANCE SHEET

31 AUGUST 2020

As restated
2020 2019
Notes £
FIXED ASSETS
Tangible assets 8 16,539.895 16,826,325
CURRENT ASSETS
Stock 5,239 4,061
Debtors 9 1,485,673 2,190,295
Cash at bank and in hand 4,200.451 2,334,988
5,691,363 4,529,344
CREDITORS:Amounts falling due within one year 10 {4,593.392) (4,343,BBBl
NET CURRENT ASSETS 1,097.971 185,456
TOTAL ASSETS LESS CURRENT LIABILITIES 17,637,866 17,011,781
CREDITORS:Amounts falling due after more than one year 11 a {1,936.679) (2,094,22Bl
TOTAL NET ASSETS = 15101 181
14 917 553
4
2 a
Unrestricted funds 13 15,680,042 14,895,534
Restricted funds 14 21,145 22,019
TOTAL FUNDS 15 15101 181
14 917 553
———
2 a
ns

These financial statements were approved and authorised for issue by the Board and were signed on its behalf on 29 March 2021.

DCL Miller Chairman

The notes on pages 14 to 26 form part of these financial statements

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THE BEACON EDUCATIONAL TRUST LTD STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2020

----- Start of picture text -----
|||||||||||| |---|---|---|---|---|---|---|---|---|---|---| |As|restated| |2020|2019| |£000|£’000| |Cash|Flows|from|Operating|Activities| |Net|movement|in|funds|783,634|960,964| |Depreciation|736,602|825,|262| |(Profit)/loss|on|disposal|of tangible|fixed|asset|(2,415)|-| |(Increase)/decrease|in|stock|(1,178)|3,922| |Decrease/(increase)|in|debtors|704,622|(91,947)| |Increase|in|creditors|204,123|71,188| |Interest|paid|58,146|99,930| |Interest|received|(14,392)|(14,736)| |Cash|Used|in|Operating|Activities|2,469,142|1,854,583| |Cash|Flows|from|Investing|Activities| |Interest|received|14,392|14,736| |Purchase|of|tangible|fixed|assets|(451,151)|(409, 186)| |Proceeds|from|sale|of tangible|fixed|assets|3,394|-| |Cash|Provided|used|in|Investing|Activities|(433,365)|(394,450)| |Cash|Flows|from|Financing|Activities| |New|loans|received|240,000|-| |Repayment|of long|term|bank|loan|(259,556)|(1,873,051)| |Advanced|fees|utilised|(223,700)|(755,290)| |Receipts|from|advanced|fees|131,088|745,585| |Interest|Paid|(58,146)|(99,930)| |Cash|used|in|Financing|Activities|(170,314)|(1,982,686)| |Change|in|cash|and|cash|equivalents|in|the|year|1,865,463|(522,553)| |Cash|and|cash|equivalents|at the|beginning|of the|year|2,334,988|2,857,541| |Total|cash|and|cash|equivalents|at the end|of the|2 334.988| |year|——4,200,451|IIEIOU| |At|31|At|31| |August|August| |2020|2019| |£|£| |Cash|at|bank|4,200,451|2,334,988| |Total|cash|and|cash|equivalents|at the end|of the|year|—__|4,200,451|2,334,988|

----- End of picture text -----

The notes on pages 14 to 26 form part of these financial statements

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

  1. Company information

The Beacon Educational Trust's principal activity continued to be the provision of a Day School for 3-13 year old boys. The incorporated Charity (Charity registration number 309911, Company registration number 01067862), is incorporated and domiciled in the UK and is a company limited by guarantee. The address of the registered office is Amersham Road, Chesham Bois, Amersham, Buckinghamshire, HP6 5PF.

  1. ACCOUNTING POLICIES

a) Accounting Convention

The financial statements 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 (FRS 102) (effective 1 January 2015) — Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The Beacon Educational Trust Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.

b)

Going concern

2020 has been an unprecedented experience in terms of the Covid global pandemic, the effects of which, economic and otherwise, may continue further into the future both for families and the School. However the School has prepared conservative financial projections for the near to medium term which indicate that even if Government restrictions forced the School site to close again, the School is financially well placed to withstand such headwinds.

Having reviewed the funding facilities available to the School together with the expected on-going demand for places and the School's future projected cash flows, the Governors have a reasonable expectation that the School has adequate resources to continue its activities for the foreseeable future. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.

c)

Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Governors in furtherance of the general objectives of the Charity and which have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

d)

Incoming resources

All incoming resources are included in the statement of financial activities when the charitable company is legally entitled to the income and the amount can be quantified with reasonable accuracy.

Amounts billed for termly fees and extra curricula activities are recognised as incoming resources when receivable. Amounts received prior to the balance sheet date for autumn term fees are recorded as fees received in advance, as are amounts received for future fee periods under the fee prepayment scheme. Fees receivable are stated after deducting allowances, bursaries and other remissions granted by the School.

Coronavirus Job Retention Scheme (CJRS) grant income is recognised on a straight line basis over the furlough period of each relevant employee, as permitted by the Charities SORP.

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h)

THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

  1. ACCOUNTING POLICIES (CONTINUED)

e)

Resources expended

Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with use of the resources.

Governance costs comprise the costs of running the company, including external audit, and legal advice for the School’s Governors, and all costs of complying with constitutional and statutory requirements, such as the costs of Committee meetings and of preparing the statutory accounts and satisfying public accountability.

f)

Tangible fixed assets

Depreciation is provided on tangible fixed assets at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:-

----- Start of picture text -----
|||||||||| |---|---|---|---|---|---|---|---|---| |Freehold|buildings|- 2%|per annum|(straight|line)| |Minor works|-|10%|per annum|(straight|line)| |Fixtures,|fittings|and|equipment|-|10%|per annum|(straight|line)| |Motor|vehicles|- 25%|per annum|(straight|line)| |Computer|equipment|- 33%|per annum|(straight|line)|

----- End of picture text -----

Assets under £500 are not capitalised.

g)

Pupil Fee Deposits

The Governors have reviewed the contract terms under which Pupil fee deposits are held by the School. Although under normal circumstances these will be repaid over future years when the pupils complete their education at the School, pupils can leave at earlier dates. The School does not therefore have an unconditional right to retain the individual deposits for at least 12 months after the balance sheet date and, in line with the requirements in FRS 102, the balance of the deposits held at 31 August 2020 have been included within current liabilities. The prior year Pupil fee deposits balance has been similarly re-presented.

Pension costs

The School contributes to the Teachers’ Pension Scheme at rates set by the Scheme Actuary and advised to the School by the Scheme Administrator. The scheme is a multi-employer pension scheme and is not possible to identify the assets and liabilities of the scheme, which are attributable to the School. In accordance with FRS 102 therefore, the scheme is accounted for as a defined contribution scheme.

The School also contributes to a defined contribution scheme schemes for non-teaching staff.

The contributions are charged in the Statement of Financial Activities in the year in which they are payable.

The pension costs charged in the year for the Teachers’ Pension Scheme are based on the contributions made to the centralised Government pension scheme run by the Department of Education as stated in note 18 to these financial statements.

Operating leases

As Lessee

Rentals payable under operating leases are charged to the Statement of Financial Activities as incurred.

As Lessor

In respect of operating leases for which the School is the lessor, the rents received are recognised in the financial statements in the period they relate to. .

i)

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

2. ACCOUNTING POLICIES (CONTINUED)

j) Taxation

The company is a registered Charity. It has no liability to corporation tax on any of its sources of income or on any chargeable gains realised to date

k) Financial instruments

Basic financial instruments include debtors and creditors. Debtors and creditors are initially recognised at transaction value and subsequently measured at amortised cost.

3. Significant judgements and estimates

In the application of the Charity’s accounting policies, which are described in note 2, Governors are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

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

The Governors consider there are no material sources of estimation uncertainty on the amounts recognised in the financial statements.

4a. FEES RECEIVABLE

2020 2019
School fees receivable consist of: £ £
Gross fees 7,942,956 8,261,733
Less: Bursaries & allowances (154,752) (156,093)
Netfees receivable —7Z788,204 8,105,640
4b. ANCILLARY TRADING INCOME
Fees in lieu of notice §,020 49,325
School fees refund scheme 9,017 24,464
School bus 35,035 71,487
Registration charges 15,650 12,700
Learning support fees 7,806 6,351
After school care 8,456 11,884
Deposits forfeited 6,975 2,250
Music tuition and instrument hire 30 3,180
Miscellaneous income 26,129 1,048
—114,118 _182,689

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THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

5.

STAFF COSTS

2020 2019
£ £
Wages and salaries 3,857,746 3,814,900
Social security costs 384,822 374,996
Pension contributions 621,062 440,267
4,863,630 _4,630,163
The average number ofemployees in the yearwas:-
Teachers and teaching assistants 89 92
Support 23 22
Welfare 5 7
Premises 4 _5
— 121 —___126
The number ofemployees whose remuneration exceeded £60,000 was:
No. No.
Between £60,000 - £70,000 2 3
Between £70,000 - £80,000 1 1
Between £80,000 - £90,000 - -
Between £100,000 - £110,000 1 -
Between£110,000-£120,000 1 1

The average number of employees in the year was:-

The number of employees whose remuneration exceeded £60,000 was:

Of the employees whose annual remuneration exceeded £60,000, 3 (2079: 3) have retirement benefits accruing under a defined benefit scheme. Total employer contributions in the year to the defined benefit scheme were £65.967 (2019: £45,022). Of the employees whose annual remuneration exceeded £60,000, 1 (2019: 1) has retirement benefits accruing under a defined contribution scheme. Total employer contributions in the year to the Scheme were £6,825 (2079: £6,368).

None of the Governors received any remuneration during the year (2019: Nil). During the year one (2019: one) Governor was reimbursed travelling expenses totalling £26 (2079: £7).

Key management personnel consists of the Headteacher and the Director of Finance and Operations. They received aggregate remuneration (including employer’s national insurance and pension contributions) of £289,039 (2019: £269,074).

6.

FINANCING COSTS

2020 2019
£ £
On bank loans and overdrafts 56,111 99,930
Advance payment offees discount 2,035 12,331
——58,146 __112,261

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THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

Ta. EXPENDITURE - Analysis of total resources expended

----- Start of picture text -----
||||||||||| |---|---|---|---|---|---|---|---|---|---| |2020|Staff| |costs|Other|Depreciation|2020|2019| |£|£|£|£|£| |Charitable|activities:| |Teaching|costs|3,768,924|259,587|163,529|4,192,040|4,337,933| |Welfare|costs|99,277|279,907|-|379,184|493,171| |Premises|costs|114,211|781,757|520,558|1,416,526|1,450,303| |Support|costs|851,079|415,416|34,525|1,301,020|1,047,855| |Governance|costs|30,139|21,089|:|51,228|32,303| |4,863,630|—1,757,756|718,612|7,339,998|7,361,565| |Cost|of generating| |funds:| |Finance|costs|:|58,146|:|58,146|112,261| |TOTAL|RESOURCES| |EXPENDED|4,863,630|1,815,902||[718612]|7,398,144|7,473,826| |2019|Staff costs| |Other|Depreciation|2019|2018| |£|£|£|£|£| |Charitable|activities:| |Teaching|costs|3,644,104|425,413|268,416|4,337,933|4,212,917| |Welfare|costs|64,979|428,192|-|493,171|440,430| |Premises|costs|151,617|762,393|536,293|1,450,303|1,393,198| |Support|costs|769,463|257,839|20,553|1,047,855|1,032,455| |Governance|costs|-|32,303|-|32,303|25,497| |4,630,163|1,906,140|825,262|7,361,565|7,104,497| |Cost of generating| |funds:| |Finance|costs|-|112,261|-|112,261|111,202| |TOTAL|RESOURCES| |EXPENDED|4,630,163|2,018,401|825,262|7,473,826|7,215,699| |7b.|NET INCOMING|RESOURCES| |2020|2019| |£|£| |These|are|stated|after|charging/(crediting):| |Auditors’|remuneration|15,203|15,468| |Depreciation|on|tangible|fixed|assets|_:|owned|assets|736,602|825,262| |Profit on|disposal|of tangible fixed|assets|—___(2,415)|-|

----- End of picture text -----

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

  1. TANGIBLE FIXED ASSETS
Freehold land Assets under
& buildings thecourse of
construction		 Furniture&
equipment		 Computer
equipment		 Motor
vehicles		 Total
£ £ £ £ £ £
Cost orvaluation
1 September2019 20,402,918 197,974 966,754 700,406 183,449 22,451,501
Additions
Disposals
Transfers		 153,528
-
391,198		 252,792
-
(450,766)		 5,575
(3,457)
:		 413
-
59,568		 38,843
(24,038)
:		 451,151
(27,495)
:
31 August 2020 20,947,644 : 968,872 760,387 198,254 22,875,157
Depreciation
1 September2019 4,538,958 - 384,455 603,777 97,986 5,625,176
Charge for the year 532,621 : 90,462 78,994 34,525 736,602
Disposals : : (2,478) : (24,038) (26,516)
31 August 2020 5,071,579 : 472,439 682,771 108,473 6,335,262
Net book values
31 August2020 15,876,065 ___- —496,433 _77,616 _89,781 _16,539,895
31August2019 15,863,960 197,974 ___582,299 _96,629 85,463 16,826,325

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

9. DEBTORS

----- Start of picture text -----
|||||| |---|---|---|---|---| |As|restated| |2020|2019| |£|£| |Fees|and|disbursements|1,393,781|2,087, 743| |Other|debtors|35,472|17,738| |Prepayments|56,420|84,814| |1,485,673|_2,190,295|

----- End of picture text -----

2020 fees and disbursements include the Autumn 2020 fees that were invoiced prior to the year end.

10. CREDITORS: Amounts falling due within one year

11a.

----- Start of picture text -----
|||||||| |---|---|---|---|---|---|---| |As|restated| |2020|2019| |£|£| |Bank|loans|411,613|411,614| |Other|loans|24,000|-| |Trade|creditors|42,830|206,621| |Deposits|544,535|364,500| |Other|taxes|and|social|security|89,886|94,826| |Other|creditors|21,065|111,069| |Autumn|fees|in|advance|2,846,459|2,861,450| |Fee|prepayment|schedule|163,864|142,482| |Accruals|and|deferred|income|449,140|151,326| |4,593,392|_|[4,343,888]| |CREDITORS:|Amounts|falling|due|after one|year|

----- End of picture text -----

----- Start of picture text -----
|||||| |---|---|---|---|---| |2020|2019| |£|£| |Bank|loans|1,493,814|1,753,369| |Other|loans|216,000|-| |Fee|prepayment|schedule|226,865|340,859| |—1,936,679|_|[2,094,228]|

----- End of picture text -----

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127 108E3B

11ib. LOAN MATURITY

THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

Bank loans are repayable as follows:

Bank loans are repayable as follows:
2020 2019
£ £
In less than one year: 411,613 411,614
In more than one year but less than two years: 392,219 411,614
In more than two years but less than five years: 456,924 610,403
After more than five years: 644.671 731,352
1,905,427 _2,164,983

The bank loans are secured by a specific charge on the company’s freehold properties.

The first bank loan has an outstanding balance at the year- end of £1,406,211 and is repayable by equal quarterly amounts over 25 years. Interest is payable at 1.75% above base rate.

The second bank loan has an outstanding balance at the year- end of £499,216 and is repayable by equal termly amounts over 20 years. Interest is payable at 2.22% above base rate.

Other loans are repayable as follows: 2020 2019
£ £
In less than one year: 24,000 -
In more than one year but less than two years: 24,000 -
In more than two years but less than five years: 72,000 -
Aftermorethanfiveyears: 120,000 :

----- Start of picture text -----
—— 240,000 __-
----- End of picture text -----

The loan is to finance pool repairs. It is not secured and is repayable over ten years.

12. FEE PREPAYMENT SCHEDULE

Lump sums may be paid to the Trust as advance payment of future fees. Assuming students will remain in the School, advance fees received will be applied as follows:

2020 2019
£ £
Within 1 year 163,864 142,482
Within 2 to 5 years 226,865 340,859
——390,729 ___483,341
The balance represents the accrued liability.
The movementsduringtheyearwere:
£
Balance at
1 September 2019		 483,341
Amounts received 131,088
Amounts utilised in the payment offees (223,700)
Balance at31August2020 £390,729

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

13. UNRESTRICTED FUNDS

At 7 At
September Incoming Resources Transfer of 31 August
2019 Resources expended funds 2020
£ £ £ £
Unrestricted funds 14,895,534 8,171,353 (7,398,144) 11,299 15,680,042
Total 14,895,534 8,171,353 (7,398,144) 11,299 15,680,042
RESTRICTED FUNDS
At 1 At
September Incoming Resources Transfer of 31 August
2019 Resources expended funds 2020
£ £ £ £ £
Restricted funds 22,019 10,425 - (11,299) 21,145
Total 22,019 10,425 - (11,299) 21,425

14. RESTRICTED FUNDS

Restricted funds relates to donations from the Beacon Parent Society for the purchase of various assets, to donations from leaver parents to provide bursaries and to donations to the Headmaster’s Fund. The transfer to unrestricted funds represents the pledges that the Beacon Parent Society has made to fund various assets initially paid for from unrestricted funds.

  1. ANALYSIS OF NET ASSETS BETWEEN FUNDS
2020 Unrestricted Restricted
funds funds Total funds
£ £ £
Tangible fixed assets 16,539,895 - 16,539,895
Net Current assets 1,076,826 21,145 1,097,971
Long term liabilities (1,936,679) - (1,936,679)
Total £15,680,042 £ 21,145 £15,701,187
2019 Unrestricted Restricted
funds funds Total funds
£ £ £
Tangible fixedassets 16,809,843 16,482 16,826,325
Net Current assets 179,919 5,537 185,456
Long term liabilities (2,094,228) - (2,094,228)
Total £14,895,534 £ 22.019 £14,917,553

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

16. COMMITMENTS

At the year end, the School had no contracted capital commitments (2019: £36,000).

17. OPERATING LEASES

17a. Operating Lease Commitments

At 31 August 2020 the School had annual commitments under non-cancellable operating leases as follows:

2020 2019
£ £
EXPIRY DATE:
Less than 1 year 11,227 13,822
Betweenoneandfiveyears 16,818 28,493

----- Start of picture text -----
£28,045 42,315£
----- End of picture text -----

17b. Operating leases as lessor

At 31 August 2020 the School was due to receive the following amounts under non cancellable operating leases:

2020 2019
£ £
Due in 1 year 39,600 -
Due in 2-5 years 180,000 -
Due in more than 5 years 225,000 :
£444600 £_-
  1. PENSION SCHEME

The School participates in the Teachers’ Pension Scheme (England and Wales) (“the TPS”) for its teaching staff. The pension charge for the year includes contributions payable to the TPS of £572,296 (2019: £403,653) and at the year-end £66,172 (2019: £52,022) was accrued in respect of contributions to this scheme.

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

The employer contribution rate is set by the Secretary of State following scheme valuations undertaken by the Government Actuary’s Department. The most recent actuarial valuation of the TPS was prepared as at 31 March 2016 and the valuation report, which was published in March 2019, confirmed an employer contribution rate would increase from 16.4% to 23.6% from 1 September 2019. Employers are also currently required to pay a scheme administration 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 Directions, as they applied at 5 March 2019. However, the assumptions were considered and set by the Department for Education prior to the ruling in the ‘McCloud/Sargeant case’. This case has required the courts to consider cases regarding the implementation of the 2015 reforms to Public Service Pensions including the Teachers’ Pensions.

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

18. PENSION SCHEME (continued)

On 27 June 2019 the Supreme Court denied the government permission to appeal the Court of Appeal’s judgment that transitional provisions 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 member representatives to agree how the discriminations will be remedied.

The TPS is subject to a cost cap mechanism which was put in place to protect taxpayers against unforeseen changes in scheme costs. The Chief Secretary to the Treasury, having in 2018 announced that there would be a review of this cost cap mechanism, in January 2019 announced a pause to the cost cap mechanism following the Court of Appeal’s ruling in the McCloud/Sargeant case and until there is certainty about the value of pensions to employees from April 2015 onwards.

In view of the above rulings and decisions the assumptions used in the 31 March 2016 Actuarial Valuation may become inappropriate. In this scenario, a valuation prepared in accordance with revised benefits and suitably revised assumptions would yield different results from those contained in the Actuarial Valuation.

Until a remedy to the discrimination conclusion has been determined by the Employment Tribunal it is not possible to conclude on any financial impact or future changes to the contribution rates of the TPS. Accordingly no provision for any additional past benefit pension costs is included in these financial statements.

Other Pensions

In addition to the above, the Company contributes on a defined contribution basis to personal pension plans. Contributions totalling £48,621 (2019: £36,614) were payable to these funds for the year.

There were £4,189 unpaid contributions (2079: £10,526) at the year end.

  1. RELATED PARTY TRANSACTIONS

During the year there were amounts paid to the Beacon Educational Trust Limited from the Beacon Bursary Fund in respect of School fees of £111,804 (2019: £18,128). The year-end balance owed by Beacon Bursary Fund to the Beacon Educational Trust is £75,207 (2079: £Nil).

  1. RECONCILIATION OF NET CASH FLOW TO MOVEMENT IN NET FUNDS

----- Start of picture text -----
||||||||| |---|---|---|---|---|---|---|---| |2020|2019| |£|£| |Increase/(decrease)|in|cash|in|the|year|1,865,463|(522,553)| |Loan|repayments|259,556|1,873,051| |New|loan|drawn|(240,000)|-| |Advanced|fees|utilised|223,700|755,290| |Receipts|from|advanced|fees|(131,088)|(745,585)| |Change|in|net funds/(debt)|1,977,631|1,360,203| |Net funds/(debt)|at|1|September|(313,336)|(1,673,539)| |Net funds/(debt)|at|31|August|£|1,664,295|£|(313,336)|

----- End of picture text -----

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

21. ANALYSIS OF CHANGE IN NET FUNDS / (DEBT)

Net (debt) as Net (debt) as Net funds as
at 1 Cash at
31
September Change July
2020
2019
£ £ £
Cash at bank and in hand 2,334,988 1,865,463 4,200,451
Bank loans (2,164,983) 259,556 (1,905,427)
Other loans - (240,000) (240,000)
Advanced feesscheme (483,341) 92,612 (390,729)
£ (313,336) £1977.631 £1,664,295

22. PRIOR YEAR ADJUSTMENT

The accounting policy in respect of fees for the autumn term following the year under review has been changed this year. Previously the autumn term fees and debtors were excluded from the accounts. Management consider that since the fees were raised before the year end, the debtors due to the school at the reporting date should be included in the accounts. An equal and opposite adjustment has been made to increase deferred income as the benefit of these fees belongs to the following financial year.

The comparative accounts have therefore also been changed as required by accounting standards. The 2019 trade debtors and deferred income have both been increased by £2,059,498 from what was reported last year in respect of this change in accounting policy.

This change only affects the Balance Sheet and the disclosure of “cash flows from operating activities” on the Statement of Cash Flows. it has no effect on the School's net income.

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DocuSign Envelope ID: BC7D419A-23B1-417D-8338-8FA127108E3B

THE BEACON EDUCATIONAL TRUST LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

23. COMPARATIVE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted Restricted Total
Funds Funds 2019
£ £ £
INCOMEAND ENDOWMENTS FROM:
Charitable activities:
Schoolfees receivable 8,105,640 - 8,105,640
Ancillary tradingincome 182,689 - 182,689
Othertrading activities:
Interestreceived 14,736 - 14,736
Rentand facilityhire 100,493 - 100,493
Donations 9,595 21,637 31,232
Total 8,413,153 21,637 8,434,790
EXPENDITURE ON:
Charitable activities:
Schooloperating costs 7,343,378 18,187 7,361,565
Expenditure on raising funds:
Financing costs 112,261 - 112,261
Total 7,455,639 18,187 7,473,826
Netincome andexpenditure 957,514 3,450 960,964
Transfer between funds - - -
NETMOVEMENTINFUNDS 957,514 3,450 960,964
Funds brought forward 1 September 2018 13,938,020 18,569 13,956,589
Fundscarriedforwardat31August 2019 14,895,534 22,019 14,917,553

Page 26