OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

← The Keepers And Governors Of The Possessions, Revenues And Goods Of The Free Grammar School Of John Lyon, Within The Town Of Harrow-On-The-Hill

2025-08-31-accounts

Annual Report and Consolidated Financial Statements For the year ended 31 August 2025

Charity number 310033 The Keepers and Governors of the Possessions, Revenues and Goods of -. The Free Grammar School of John Lyon Comprising Harrow School (harrowschool.org.uk) and John Lyon School (johnlyon.org)

2024/25 Annual Report

The Corporation

The Keepers and Governors of the Possessions, Revenues and Goods of the Free Grammar School of John Lyon, within the town of Harrow-on-the-Hill, is referred to as “the Corporation”. The Corporation comprises Harrow School and John Lyon School, which educate 1.600 pupils in the UK, as well as two wholly owned trading subsidiaries and a fundraising trust that generate income to support our charitable work (together with the Corporation known as “the Group”).

The Corporation is a registered UK charity, number 310033.

l 2 THE CORPORATION ANNUAL REPORT

3 l

2024/25

Harrow School and John Lyon School celebrated exceptional achievements across the board in 2024/25 – through their continued educational excellence, impactful charitable and philanthropic initiatives and significant progress on strategic plans

Contents

1 About us 8
1.1
John Lyon’s Foundation
1.2
The Corporation and Group		 8
9
1.3
Foundation Governors (Trustees) and officers		 10
2
3		 1.4
Year at a glance
Foreword: Foundation Governors (Trustees)
Our charitable objects		 11
12
16
4 Our strategy 18
4.1
Strategic objectives and pillars		 18
4.2
How we manage risks and uncertainties		 20
5 Meeting our objectives 22
5.1
Promoting educational excellence and enrichment		 24
5.2
Providing fee assistance that transforms lives		 28
5.3
Engaging with our community		 30
6 Our Group activities 32
6.1
Harrow International Schools Limited		 32
6.2
Harrow School Enterprises Limited		 38
6.3
Harrow Development Trust		 40
7 John Lyon’s Charity 42
8 Strategic developments since 31 August 2025 44
9 Governance 46
10 Addresses and appointments 48
11 Financial performance, policies and plans 49
12 Independent auditor's report 53
13 Financial statements 56
13.1
Consolidated statement of financial activities		 56
13.2
Balance sheet		 57
13.3
Consolidated cash flow statement		 58
13.4
Accounting policies		 61
13.5
Notes to financial statements		 66
Appendix 1 – Glossary of terms 92
Appendix 2 – Contact information 93

l 4 THE CORPORATION ANNUAL REPORT

5 l

2024/25

John Lyon’s Foundation 2024/25

Our Schools, the Corporation and our Group

10,000+pupils in Harrow School, John Lyon School and our partner schools globally

13 cities

18 schools

Total income 2,700+ £91m staff globally

Over

Additionally, over 10,000 young people

£ 27m

in bursaries and young people awarded scholarships accessed opportunities at Harrow School and through our community and John Lyon School in the philanthropic programmes last five years

John Lyon’s Charity (the Corporation is sole trustee of the Charity)

247 215 gra nts to organisations in the Charity’s beneficial area of central and north-west London

l 6 THE CORPORATION ANNUAL REPORT

7 l

2024/25

1 About us

1.1 John Lyon’s Foundation

John Lyon, a landowner from north-west London, was granted a Royal Charter by Queen Elizabeth I in 1572 to establish a school for boys in Harrow on the Hill and to provide an endowment to maintain the two roads from Harrow on the Hill to Marble Arch.

Today, John Lyon’s Foundation sustains its founder’s legacy by working to transform the lives of children and young people through education .

1.2 The Corporation and Group

The Corporation comprises:

Harrow School

An independent, full-boarding senior school for boys, which prepares pupils with diverse backgrounds and abilities for a life of learning, leadership, service and personal fulfilment

John Lyon School

An independent, co-educational, all-through day school, with academic excellence and opportunity at its heart

FOUNDATION GOVERNORS

The Corporation Charity number 310033 The Keepers and Governors of the Possessions, Revenues and Goods of the Free Grammar School of John Lyon, within the town of Harrow-on-the-Hill

Charity Number 237725

A separate charity from the Corporation that gives grants to promote, through education, the life-chances of children and young people who live in nine boroughs in north-west London. www.jlc.london

==> picture [117 x 11] intentionally omitted <==

----- Start of picture text -----
JOHN LYON SCHOOL
----- End of picture text -----

This annual report for the financial and academic year 2024/25 consolidates the financial and operating activities of the Corporation and the Group.

==> picture [201 x 135] intentionally omitted <==

----- Start of picture text -----
TRADING FUNDRAISING
SUBSIDIARIES TRUST
Harrow Harrow
Harrow
International School
Development
Schools Enterprises
Trust
Limited Limited
(HDT)
(HISL) (HSEL)
rT.
The Group
----- End of picture text -----

The Corporation is sole trustee of John Lyon's Charity but does not consolidate the latter in to the Corporation and Group.

The Foundation Governor are satisfied that the activities and objects of John Lyon’s Charity – as a separate legal entity – are different and distinct from the activities of the other entities overseen by the Corporation and is therefore not consolidated within the Corporation and Group financial statements.

The Corporation and its charitable activities are supported by two wholly owned trading subsidiaries and a fundraising trust. Together with the Corporation, these entities comprise the Group.

Harrow International Schools Limited

HISL – company number 07103979 HISL sub-licenses the Harrow brand to schools around the world and oversees their performance

Harrow School Enterprises Limited

HSEL – company number 01617359 HSEL manages the Corporation’s facilities commercially

Harrow Development Trust

HDT – charity number 296097 HDT raises funds from donors and benefactors

l 8

9 l

2024/25

THE CORPORATION ANNUAL REPORT

1 About us

1.3 Foundation Governors (Trustees) and officers

Current and those who served during the year ended 31 August 2025

Foundation Governors (Trustees)

DGP Eyton CBE MA FIOM FIOD FRENG Chair CGT Stonehill MA Ret. 31 August 2025

ML Mrowiec MA

C Gallagher MA MSc

GWJ Goodfellow KC MA LLM Ret. 31 August 2025 AC Goswell BSc MRICS Ret. 23 November 2024 The Hon A Butler KC MA Deputy Chair DJC Faber MA

Vice Admiral JP Kyd CBE BSc PGDip Ret. 22 March 2025 NJ Enright MA MBA NPQH

Dr SV Rawal PhD

LJ Halligan MPhil BSc Dr DA Taylor MBBS BSc MD FRCP MC Wallace BCom

RTG Winter CBE BA FCA Ret. 31 August 2025 AD Hart LLB FRSA

Professor DJ Payne MChem DPhil JPJ Glover BA

JC Seppala BA

SA Huang MA MSc PGCE Ret. 1 November 2025 CE Artis Appt. 25 November 2024 Dr SN Palmer Appt. 22 November 2024 General Sir Roly Walker KCB, DSO, ADC Gen BA Hons Appt. 20 June 2025

Sir JR Symonds CBE BA FCA

HR Mould MA RGN Ret. 28 November 2025

Professor A D’Angour MA PhD ARCM Ret. 31 August 2025

Officers

Corporation and Group

John Lyon School

Harrow School

Chief Financial & Commercial Officer, John Lyon’s Foundation DH Curley MA MBA CPFA

Clerk to the Governors

Head Master

Head

& General Counsel The Hon AC Millet MA

WMA Land MA FLS FSB RK Hardy PGCE MA MEd

Bursar

Bursar

1.4 Corporation and Group year at a glance

==> picture [34 x 44] intentionally omitted <==

Over

Continued educational excellence

£6m

in bursaries

Over

with strong examination results and university outcomes, plus co-curricular success

to 230 pupils and

1,500 £0.8m in scholarships pupils

in scholarships to 330+ pupils

==> picture [225 x 117] intentionally omitted <==

Internationally: 16 licensed schools 8,600+ pupils

==> picture [99 x 11] intentionally omitted <==

----- Start of picture text -----
Net Group income
----- End of picture text -----

Total Group income

==> picture [248 x 80] intentionally omitted <==

----- Start of picture text -----
2024/25 2023/24
£91m £88m
----- End of picture text -----

==> picture [238 x 80] intentionally omitted <==

----- Start of picture text -----
2024/25 2023/24
£15m £17m
----- End of picture text -----

Cashflow from Group operating activities

==> picture [96 x 11] intentionally omitted <==

----- Start of picture text -----
Total Group funds
----- End of picture text -----

JM Wood JP BA N Slater BSocSc ACA ChMC

The Group entities

Harrow International Schools Limited

Chair

ML Mrowiec MA

Harrow School Enterprises Limited

Chair

AD Hart LLB FRSA

Harrow Development Trust Chair PJ Glover BA

2024/25 2023/24 £8m £19m

Net income to the Corporation from Group

2024/25 2023/24 £230m £214m

Harrow International Harrow School Harrow Schools Limited Enterprises Limited Development Trust 2024/25 2024/25 2024/25 £5.9m £0.7m £5.8m

l 10 THE CORPORATION ANNUAL REPORT

11 l

2024/25

2 Foreword: Foundation Governors (Trustees)

The Foundation Governors, as Trustees of the Corporation, are pleased to present this annual report. The year 2024/25 was another successful one for the Corporation, Harrow School and John Lyon School in terms of strong educational outcomes, strategic delivery and provision of public benefit.

Harrow School and John Lyon School celebrated exceptional achievements in 2024/25 – through their continued educational excellence, impactful charitable and philanthropic initiatives and significant progress on strategic plans.

Strategic context

The independent schools sector has seen significant and perhaps unprecedented change since the publication of our previous annual report in spring 2025. As Trustees of the Corporation, overseeing two schools – Harrow and John Lyon – which we are we are proud to govern and support, we are mindful of this degree of change. Notwithstanding the impact of change and the emerging financial considerations for many in the sector, as Trustees we continue to support a strategy for the Corporation founded on our key objectives:

Harrow School’s Upper Sixth Form pupils achieved excellent A-Level results, with the majority graded A*–B. These results led to a record number of pupils taking up places at universities ranked in the QS global top 100. Continuing last year’s trend, GCSE results were very strong, with two-thirds at grade 9 or 8.

John Lyon School enjoyed a year of academic achievement, with pupils securing outstanding GCSE and A-Level results across a broad range of subjects. At A-Level, 45% of all grades awarded were A*–A; at GCSE, 54% of pupils achieved a grade 7 or above in at least six subjects.

We continue to focus our efforts on providing transformative financial assistance to our pupils. In 2024/25, we provided over £6m in bursaries and scholarships at Harrow School and John Lyon School. More than 230 of our pupils received bursaries in 2024/25. Over the past five years, we have provided over £27m in bursaries and scholarships.

Participation in sports, the arts and cultural activities, and opportunities to serve the community and develop leadership skills are considered by both our schools as integral to the all-round education they provide, and vital in promoting pupils’ personal development.

Academic success has been further strengthened by a deepening collaboration across our schools and the broader Harrow Family of Schools, including our partner schools in Asia, India and the US. Increased professional development, subject partnerships and pupil-facing initiatives continue to enhance academic provision and enrich pupils’ preparation for university and future career pathways.

Harrow School and John Lyon School in 2024/25

Central to our strategy are our two schools – Harrow School and John Lyon School – which together comprise our Royal Charter entity, the Corporation. Our two schools are integral to our delivery against our objectives and the provision of public benefit.

The year 2024/25 was another highly successful one for the Corporation, Harrow School and John Lyon School in terms of strong educational outcomes, strategic delivery and provision of public benefit

We continue to focus our efforts on financial assistance and, in 2024/25 we funded over £6m in bursaries and scholarships at Harrow School and John Lyon School, with 230 pupils in receipt of bursaries. Over the last five years we have provided over £27m in bursaries and scholarships to our pupils.

Our Group activities in 2024/25

In support of these academic outcomes and the provision of financial assistance, we aimed, during 2024/25, to increase our operating effectiveness and efficiency, striving to make the best use of our resources and harness the activities of our Group in doing so. Our Group includes three entities – Harrow International School Limited (HISL), Harrow School Enterprises Limited (HSEL) and Harrow Development Trust (HDT) – along with the Corporation (Harrow School and John Lyon School).

In addition to the Corporation, this annual report consolidates the activities of these Group entities.

Between them, HISL’s partners educate over 8,600 pupils and employ more than 2,200 staff members worldwide.

Our founding partner Asia International Schools Ltd (AISL) opened Harrow Little Lions Kai Tak, its second licensed school in Hong Kong, shortly after the year end in September 2025. This milestone brings the number of AISL Harrow Schools to 14 across Thailand, mainland China, Hong Kong and Japan.

Separately, HISL worked with partner Amity Education Group to establish

l 12 THE CORPORATION ANNUAL REPORT

13 l

2 Foreword: Foundation Governors (Trustees)

Harrow International School New York, which also opened in September 2025.

wider community. We create an environment in which academic and pastoral care flourish, charitable endeavours thrive, and more pupils than ever before benefit from lifechanging bursaries and scholarships.

Since July 2024, HISL and Taaleem Holdings PJSC have been working in partnership to establish Harrow International Schools across the Gulf Cooperation Council countries. Over the past 18 months, we have been collaborating in preparation for the launch of new Harrowbranded schools in Dubai and Abu Dhabi.

The Corporation worked closely on this priority with John Lyon’s Charity, one of the most prominent grant-giving charities in its beneficial area of north-west London of whom the Corporation is sole trustee and with whom we are proud to work. This year, we highlight in our annual report some of the important programmes that John Lyon’s Charity has funded and facilitated.

2024/25 was a strong and strategically significant year for Harrow School Enterprises (HSEL), which continued to generate essential income in support of the School’s long-term financial resilience. Commercial activity remained strong, with a busy programme of weddings and high-profile filming projects, while the summer school delivered a successful six-week programme for international students. Harrow Sports Centre continued to support a thriving membership community alongside extensive local swimming provision. Collectively, these achievements reflect both operational robustness and sustained momentum as HSEL looks ahead to further innovation and growth.

Conclusion and looking forward

The independent schools sector faces a changing strategic and financial environment. The Corporation is in a robust financial position, in terms of its resources and its operating performance. Careful planning at a strategic and operating level and the work of our Officers, staff, Foundation Governors and partners support this financial outlook.

Our fundraising arm, Harrow Development Trust (HDT), supported the strategic goals set out by the Corporation in 2024/25 and continues to provide assistance for key projects, particularly in relation to the Harrow School estate. In 2023/24, HDT’s fundraising efforts also helped to fund bursary-assisted places at Harrow School.

The Corporation will continue to deliver on our charitable aims and objects, providing public benefit through the outstanding education offered by our schools, transformational bursaries and scholarships, and constructive engagement with our community and partners. We wish to extend our gratitude to our pupils and their families, our staff and our partners for their ongoing support and their contribution to our achievements. Together, we will continue to build on our successes, providing exceptional educational opportunities for children and young people in the borough of Harrow, across our wider community and around the world for many years to come.

Our community in 2024/25

John Lyon’s Foundation, which comprises the Corporation and John Lyon’s Charity, is committed to community engagement and partnerships. Shaftesbury Enterprise and Blackwell Enterprise, the charitable and partnership programmes of Harrow School and John Lyon School respectively, are examples of this commitment in action. This success has been achieved through fostering strong relationships between our dedicated staff, engaged pupils, supportive parents, our valued external partners and the

We will consider strategic initiatives to further these aims; these initiatives may be developed internally or externally but always with an understanding of our charitable objects as reflected in our Royal Charter.

Foundation Governors (Trustees)

Central to our strategy are our two schools – Harrow School and John Lyon School – which together

comprise our Royal Charter entity, the Corporation

l 14 THE CORPORATION ANNUAL REPORT

15 l

3 Our charitable objects

The Corporation’s charitable objects are set out in the Royal Charter of 1572:

These objects and John Lyon’s vision continue to inform our strategy today

Whereas our beloved subject, John Lyon, of Preston, within the Parish of Harrow-on-the-Hill… hath purposed in his mind a certain Grammar School, and one Schoolmaster and Usher, within the Village of Harrow-on-the-Hill, in the said County of Middlesex, of new to erect, found and for ever to establish for the perpetual education teaching and instruction of Children and Youth of the said Parish; and Two Scholars within our University of Oxford, liberally to endow and maintain, and other common ways, as well between Edgware and London as in other places, at his own very great charge, intends to repair and mend, and other endowments and works of piety, to the very great comfort and encouragement of the Scholars within the said parish applying themselves to learning, thereby giving a very good example to all others to imitate the like hereafter, and also to the common profit of all our subjects.

We therefore… of our special grace, and also of our certain knowledge and mere motion do will, grant and ordain… that for ever hereafter there shall be one Grammar School in the Village of Harrow-on-the-Hill… which shall be called the Free Grammar School of John Lyon, for the bringing up, teaching and instruction of Children and Youth in Grammar, for all time hereafter coming.

Translation from the original Latin.

As Foundation Governors, we oversee the Corporation and Group’s delivery of our charitable objects and ensure that we are consistently providing benefit to our communities, both within the Corporation’s schools and beyond.

==> picture [16 x 6] intentionally omitted <==

----- Start of picture text -----
LEFT
----- End of picture text -----

Made in 1572, this wax seal was originally attached to the base of the Royal Charter.

==> picture [14 x 12] intentionally omitted <==

----- Start of picture text -----
17 l
----- End of picture text -----

l 16 THE CORPORATION ANNUAL REPORT

4 Our strategy

4.1 Strategic objectives and pillars

As a Corporation and a Group, we have three strategic objectives:

Promoting Providing fee educational assistance excellence and that transforms enrichment lives

Engaging with our community

Providing an education that Enabling pupils needing fee Developing partnerships produces school leavers assistance to benefit from an that improve educational who are empowered and education at Harrow School outcomes and opportunities ready for life or John Lyon School for more young people, particularly those who face significant barriers to progress

Harrow International Schools Limited (HISL)

HISL partners with established education operators overseas to facilitate their delivery of a world-class education under the Harrow name.

STRATEGIC PILLARS

Optimise Connect Enhance Explore
Support the Harrow- Enhance collaboration Extend the prestige of Identify and evaluate
branded schools to among the Harrow the Harrow brand opportunities to
achieve excellence and Family of Schools increase and diversify
maximum revenues income sources

Harrow School Enterprises Limited (HSEL)

As we work to achieve these objectives, we continually seek to enhance our approach – ensuring that what we do remains impactful, inclusive and aligned with our charitable objects.

Harrow School

For over 450 years, Harrow School has sought to prepare boys with diverse backgrounds and interests for a life of public service, learning, leadership and personal fulfilment.

STRATEGIC PILLARS

Scholarship Opportunity Character People Operations Encouraging Ensuring pupils Maturing the Admitting pupils Providing intellectual curiosity, become their individual, enabling who will thrive environments, independent better selves by pupils to uncover and contribute, infrastructure and thought and developing their the talents, skills and and recruiting and functions that effective learning potential values to be nurturing staff who make us leaders in habits of good influence facilitate excellence our field

John Lyon School

John Lyon is an ambitious, all-through co-educational school delivering academic excellence, digital innovation and global perspectives. The John Lyon curriculum focuses on building cultural capital, preparing students for elite academic pathways and developing the essential proficiencies required for the professional world.

Harrow School Enterprises Limited (HSEL) is the School’s commercial trading arm and provides vital income through commercial activity on the school estate.

STRATEGIC PILLARS

Learning Fitness Venues Summer camps and Dual-use facilities for Filming and courses, residential our local community and photoshoots, weddings national/international lettings and online and events, public and English lessons clubs and teams private tours

Harrow Development Trust (HDT)

HDT helps to secure the future of Harrow School through fundraising, with support from the School community and working closely with Foundation Governors, the Head Master and the Harrow Association (Harrow’s alumni organisation).

STRATEGIC PILLARS

Heritage

Bursaries

Buildings Bursaries Heritage Supporting high-priority Widening access to a Preserving the Corporation’s capital projects Harrow education historical estate

STRATEGIC PILLARS

Heritage

Honour

Upholding the values that Evolving to meet the needs of have defined us since 1876 the future and being of service to our local community

Heart

At the centre of our best-in-sector pastoral care, we ensure that every pupil is not just academically ambitious but is also culturally fluent and professionally prepared

l 18

19 l

2024/25

THE CORPORATION ANNUAL REPORT

4 Our strategy

4.2 How we manage and mitigate risks and uncertainties

The Foundation Governors review the risk context for the Corporation and Group at each Foundation Governors’ meeting and at the termly Foundation Audit and Risk Committee. Foundation Governors focus proactively on risk management and routinely consider mitigations.

We consider a range of risk factors – in relation to specific risks and cumulatively. As with any Group operating in the independent schools sector, we proactively assess risks in relation to safeguarding, health and safety and wellbeing on a routine basis. We use a variety of risk management techniques to inform our approach. The Foundation Governors have assessed risks during the financial year 2024/25 and, as of the date of this report, summarise the key risks to the Corporation and Group as follows: Key risks Changes in the geopolitical landscape: the Corporation and Group have partners in diverse international markets and receive income from outside the UK. Changes in the geopolitical landscape may present risks to this income. We consider opportunities for diversification and monitor our sources of income to the Corporation and Group throughout the year. ee MY Financial pressures in the UK independent school sector: the Corporation and Group is active in the UK independent school sector through its operation of Harrow School and John Lyon School. The sector’s financial context has changed in recent years with increasing costs and the introduction of VAT on school fees from 1 January 2025. We manage our cost base and budgets on a monthly basis, anticipate scenarios and run stress tests, and consolidate our forecasting in to medium-term planning. Cybercrime: as with many organisations, the Corporation and Group rely on technology, and their operations may be subject to cybercrime and related risks. We assess any potential risk exposure throughout the year and ~~f~~ test our capabilities, seeking assurance; we ensure we use best practice e security measures and address any issues with enhanced procedures. We proactively assess risks Through a structured approach to risk management, our Foundation Governors and Officers actively identify, oversee and mitigate these risks, along with several others that can vary in in relation to nature and level across the Corporation and Group. safeguarding, The Chief Financial and Commercial Officer proactively leads our risk management and mitigation activities and provides assurance to the Foundation Governors on our risk health and safety management processes and on the overall risk level. and wellbeing on We will continue to identify, oversee and mitigate all relevant risks and, as a priority, ensure that the Corporation has the processes and resources in place to ensure the safeguarding, health a routine basis

We will continue to identify, oversee and mitigate all relevant risks and, as a priority, ensure that the Corporation has the processes and resources in place to ensure the safeguarding, health and safety and wellbeing of our pupils, staff and community.

l 20 THE CORPORATION ANNUAL REPORT

21 l

5 Meeting our objectives

Public benefit

With a focus on our charitable objects, the Corporation delivered public benefit in 2024/25 through our education activities, our community engagement and our partnerships.

As Foundation Governors, we confirm that we have complied with Section 17(5) of the Charities Act 2011, both in our statutory requirement to report on our public benefit, and in having due regard to the public benefit guidance published by the Charity Commission where relevant to matters to which the guidance relates.

Key highlights

100% of Harrow boys were involved in Shaftesbury Enterprise activities

Over 700 hours

of community sport were hosted at Harrow’s facilities in 2024/25

16 licensed schools

14

campuses

12

cities across mainland China, Hong Kong, India, Japan, Thailand and the USA

John Lyon School’s two robotics teams, enjoyed record success, qualifying for the National Championships, the US Open and the World Championships

Over

10,000

young people accessed opportunities through support from Shaftesbury Enterprise and Blackwell Enterprise partnerships

John Lyon’s Charity ring-fenced £0.5m

to transform career opportunities for d/Deaf, disabled and neurodiverse young people

Over the past decade the HDT has raised some

£100m in support of the Corporation’s bursaries and capital projects

16

weddings hosted

summer school pupils from 30 different nationalities

313

pupils taught at our Swim School

413

sports days hosted for local schools

15

Year 9 John Lyon School female gymnast ranked

9th in the world

after competing in the Junior World Rhythmic Gymnastics Championships

Harrow School’s 1st XV rugby team

retained the Under-18 Continental Tyres Schools Cup

l 22 THE CORPORATION ANNUAL REPORT

23 l

2024/25

5 Meeting our objectives

5.1 Promoting educational excellence and enrichment Harrow School

Champions for 2024 and Independent Schools Judo Champions for 2025. In racquets sports, a Harrovian pair won the National Under-15 Doubles Rackets Championships, and the Shell squash team became Under-14 National Schools Champions. Harrow swimmers retained both the Bath Cup and the John Nalson Cup for a third year. The athletics team remained undefeated in all school competitions.

As Foundation Governors, Harrow School’s outgoing Upper we seek to ensure that Sixth achieved another outstanding set of A-Level results in 2025. Harrow School and Nearly one in three grades were A, John Lyon School provide with over 65% either A or A. Almost an education that means 90% of grades were A–B. Five pupils our school leavers are achieved five or more A grades, with empowered and ready 12 gaining four or more A grades. for life. This commitment Twenty-five pupils were awarded is central to how we three or more A grades, and 83 gained three or more A*–A grades. govern and oversee the These strong A-Level results mean that Corporation’s activities. the majority of Harrovians progressed onto higher education institutions The excellent examination considered some of the best in the results and university world. A record 124 pupils took up outcomes achieved by places at universities ranked in the QS global top 100, with 37 attending our pupils, combined with those ranked in the QS global top 10, our pastoral programmes, including Oxford, Cambridge, Imperial demonstrate the ongoing College London, UCL, Harvard and effectiveness of our Stanford. Sixteen Harrovians took educational strategies. up places across seven of the eight Ivy League schools in the USA.

In the arts, there were numerous productions in the School’s Ryan Theatre and a joint production of A Midsummer Night’s Dream in the Sam Wanamaker Playhouse at Shakespeare’s Globe with members of the Old Harrovian Players and local primary-school children. Work by pupils, teachers and visiting artists was displayed in the Pasmore Gallery, and there were over 100 musical performances, demonstrating the wide variety of enriching co-curricular opportunities offered to pupils.

At GCSE level, over 40 % of results were grade 9, with two-thirds grade 9 or 8. Sixteen pupils were awarded ten or more grade 9/As, and 29 gained nine or more grade 9/As. Pupils also enjoyed many successes in academic competitions.

The new Biology and Chemistry Schools building came into full use at the start of the 2024/25 academic year, with the Sir Joseph Banks Lecture Theatre in regular use by both the School and visiting organisations. A highlight was the installation outside the building of The Eternal Schoolboy, a sculpture by David Williams Ellis, commissioned as part of Harrow’s 450th anniversary celebrations, which swiftly became a focal point on the Harrow School estate.

Among numerous sporting achievements were the cricket 1st XI’s fourth successive victory over Eton at Lord’s and the rugby 1st XV winning the Under-18 Continental Tyres Schools Cup at Twickenham for a second consecutive year. The Harrow judo team were crowned London Area Schools

A record 124 pupils took up places at universities ranked in the QS global top 100

l 24 THE CORPORATION ANNUAL REPORT

25 l

5 Meeting our objectives

5.1 Promoting educational excellence and enrichment John Lyon School

The 2024/25 academic year at John Lyon School was defined by academic strength, creative accomplishment, a comprehensive co-curricular calendar, and a renewed sense of ambition across the 2–18 journey. Pupils achieved exceptional examination results, with 45% of A-Levels graded A*–A and 54% of pupils securing grade 7 or above in at least six GCSE subjects, reflecting both highquality teaching and the dedication of pupils across the School.

Beyond the classroom, the cocurricular programme flourished. The School’s major productions showcased remarkable talent, culminating in a vibrant staging of LIttle Shop of Horrors in a professional theatre setting. In sport, pupils excelled across cricket, football, netball, athletics and more, with multiple teams reaching

regional finals and achieving individual county-level representation. The Robotics teams continued their impressive rise, progressing to international-level competitions and reinforcing the School’s growing reputation in STEM innovation.

Equally notable was the School’s commitment to service and philanthropy. Through pupil-led projects, community drives and whole-School fundraising, over £23,000 was raised for local and national charities, demonstrating the strength of compassion and leadership within the pupil body. Together, these achievements reflect a thriving, dynamic and forwardlooking School community – one that continues to balance academic excellence with creativity, global citizenship and sporting success.

We are forwardthinking and dynamic in our approach, all whilst staying true to our proud heritage, ethos and culture

l 26 THE CORPORATION ANNUAL REPORT

27 l

5 Meeting our objectives

5.2 Providing fee assistance that transforms lives

Enabling pupils needing fee assistance to benefit from an education at Harrow School or John Lyon School is an important part of our strategy to meet our charitable objects and to deliver public benefit.

The Foundation Governors maintained the significant commitment to fee assistance in 2024/25, with Harrow School and John Lyon School providing in excess of £6m in bursaries to more than 230 pupils and an additional £0.8m in scholarships.

Working together in partnership across the Foundation, our mission is to:

“ Transform the lives of children and young people through education.”

Over the previous five years, we have awarded over £27 million in bursaries and scholarships to pupils at the Corporation’s schools.

Over

£6m in bursaries for 230 pupils in 2024/25

Last 5 years: over £27m in bursaries and scholarships

Working together in partnership across the Foundation, our mission is to transform the lives of children and young people through education

l 28 THE CORPORATION ANNUAL REPORT

2024/25 29 l

5 Meeting our objectives

5.3 Engaging with our community

As Foundation Governors, we are committed to delivering public benefit by developing community partnerships that improve educational outcomes and opportunities for more young people, particularly those who face significant barriers to progress.

Through our work with Shaftesbury Enterprise (Harrow School’s charitable and partnership programme), Blackwell Enterprise (John Lyon School’s charitable and partnership programme), John Lyon’s Charity, other charities, schools and local councils, we aim to help children and young people maximise their potential, broaden their horizons, and improve their quality of life.

Shaftesbury Enterprise

Shaftesbury Enterprise delivers Harrow School’s charitable and partnership work in the areas of academia, culture, sport, community and conservation and sustainability. Through Shaftesbury Enterprise, pupils and staff engage purposefully with local and national organisations to improve educational outcomes and opportunities for young people, particularly those who face significant barriers to progress. This work is undertaken in collaboration with partner schools, local authorities and charities in order to deliver significant benefit in the London Borough of Harrow and beyond.

Blackwell Enterprise

Blackwell Enterprise encompasses much of John Lyon School’s charitable and partnership work. Through these philanthropic initiatives, we are focused on enriching and enhancing the lives of our local communities. Blackwell Enterprise provides opportunities to help those who need it most through charitable works, community service and the sharing of three well-equipped campuses in Harrow on the Hill, central Harrow and Sudbury. The work extends to directly supporting young people who use our school facilities and receive visits from staff and pupils, senior citizens we visit in care homes, and our charities and partners.

hours 4,940 of John Lyon School pupil volunteering in 2024/25

40

Shaftesbury Enterprise projects run annually by

1/3 of Harrow School boys volunteering regularly

hours 1,160 of staff time volunteered in 2024/25

Over two days, the Harrow

School Farm became an outdoor classroom for 240 pupils from five local primary schools to engage in nature-based learning

Lumina: addressing educational disadvantage

Children in care remain among the most educationally disadvantaged young people in England. Fewer than 10% achieve a grade 5 or above in both GCSE English and Mathematics, compared with more than 40% nationally, and only around 14% progress to higher education. These outcomes reflect systemic barriers rather than a lack of ability.

Lumina was launched by Harrow School during the Covid-19 pandemic to help address this challenge. The programme delivers sustained one-to-one online tutoring and mentoring for care-experienced young people, mobilising qualified teachers from both independent and state schools. Harrow also hosts intensive GCSE revision weekends for students preparing to sit or resit English and mathematics.

ABOVE

This collaboration between Harrow School, John Lyon School, Shaftesbury Enterprise and Blackwell Enterprise showed the potential that the farm can have for naturebased learning and community connection.

The activities included forest school sessions, bug hunts, planting and animal encounters.

In 2024/25, Lumina supported more than 60 students across 13 local authorities. On average, participants improved by two or more GCSE grades.

Lumina is now one of the UK’s largest volunteer teacher-led tutoring programmes focused specifically on care-experienced young people, establishing a new model of how schools can collaborate across the sector to improve outcomes for children in care.

l 30

31 l

2024/25

6 Our Group activities

The Corporation and its charitable activities are supported by two wholly-owned trading subsidiaries (HISL and HSEL) and a fundraising trust (HDT). Together with the Corporation, these entities comprise the Group.

6.1 Harrow International Schools Limited

HISL partners with established overseas education operators to facilitate their delivery of a world-class education under the Harrow name. It licenses 16 schools on 14 campuses in 12 cities across mainland China, Hong Kong, India, Japan, Thailand and the USA, with new schools planned for Dubai and Guangzhou in 2026 and Abu Dhabi in 2027.

Monies generated from Harrow-branded schools through HISL fund the charitable activities of Harrow School and John Lyon School, including each school’s outreach programmes and bursary funds, which allow the schools to provide places for pupils who might not otherwise be able to afford the fees.

In 2024/25, HISL further developed the Harrow Standards, which outline its expectations of Harrow-branded schools in their localised delivery of a Harrow education. The extensive programme of collaboration and support events and activities for HISL partner schools included teacher exchange placements with Harrow School, induction and shadowing for new Harrow-branded school staff at Harrow School, pupil collaboration projects, and support for evolving boarding and pastoral care.

Corporation Schools United Harrow School (opened 1572) Kingdom John Lyon School (1876) AISL Harrow Schools Thailand ~~—~~ O 1 Bangkok (1998) e 4 ¢ +3, ARSee . y . & O 2 Beijing (2005) ee = . o 3 ' = ; e - (@) 3 Hong Kong (2012) e = we 4 Shanghai (2016) 5 Chongqing (2020) China 6 Haikou (2020) O ee b F 7 Shenzhen Qianhai (2020) 2 10 O 8 Hengqin (2021) e @ 2 ~ he, (@) e 4 & 9 Nanning (2021) 1 5 4 Japan ~~—~~ O 10 Appi (2022) e 2 O 11 Shenzhen Qianhai (2023) LONDON 1 9 13 7 11 China ~~4~~ 12 Hong Kong (2025) ° 2 1 1 3 ~~ee - |~~ oo e 6 (>) 8 S 12 Amity Harrow Schools India ~~—o~~ O 1 Bengaluru (2023) e , cH United States 2 New York (2025) of America ~~—O °~~ NN Being |

Harrow International Schools British-style curriculum. IGCSEs and A-Levels/IB

Harrow LiDe Schools IGCSEs and A-Levels

Chinese/English-bilingual education for Chinese nationals.

Planned openings

Harrow Hong Kong Children School English/Cantonese/Putonghua-trilingual school for Hong Kong, Macao or Taiwan residents, and expatriates. Hong Kong curriculum. Hong Kong Diploma of Secondary Education Examination and IB

AISL Harrow Schools 13 Guangzhou (2026) China e) e ~~—~~ Taaleem Harrow Schools @ 1 Dubai (2026) e United Arab (@) 2 Abu Dhabi (2027) e Emirates

Harrow Little Lions Standalone kindergarten for Early Years Foundation Stage children

13 cities

students 10,000+

==> picture [108 x 28] intentionally omitted <==

----- Start of picture text -----
i
6 countries
----- End of picture text -----

18 schools

2,600+ staff

These totals are a combination of all the Corporation and HISL Schools that are currently open.

l 32 THE CORPORATION ANNUAL REPORT

33 l

2024/25

6 Our Group activities

6.1 Harrow International Schools Limited AISL Harrow Schools

Maintaining the standards of educational excellence set by Harrow School in the UK is more than an obligation, it is core to AISL’s ambitions

Asia International School Limited (AISL), HISL’s founding partner, operates 14 schools across Thailand, mainland China, Hong Kong and Japan, educating over 8,200 students and employing more than 2,200 staff. In September 2025, AISL opened Harrow Little Lions Hong Kong in Kai Tak, the second licensed school in Hong Kong.

Highlights from the summer 2025 public examinations include at least 70% of all A-Level examinations at Harrow International School Bangkok and Harrow International School Hong Kong achieving A–A grades. At Harrow Hong Kong, 90% of IGCSE outcomes were A–A, with 78% at A*. Across the six AISL Harrow schools with Year 13 cohorts, nearly 50% of leavers will attend Top 50 global universities. Around 20 students will go to Oxford or Cambridge, a similar number to Ivy League universities, and over 60 to leading London institutions, including Imperial, LSE and UCL.

BSO (British Schools Overseas, the UK Government’s inspection scheme for British international schools) inspections carried out at the AISL Harrow schools in Hong Kong and Beijing confirmed both met all requirements.

l 34 THE CORPORATION ANNUAL REPORT

35 l

6 Our Group activities

We are building something special: schools that reflect the best of Harrow’s proud heritage while preparing our pupils to thrive in a global future

6.1 Harrow International Schools Limited Amity Harrow Schools

The Amity Education Group, India’s leading notfor-profit international education foundation, opened Harrow International School Bengaluru in August 2023. Now in its third academic year, it has over 380 students, a new primary phase, and a national boarding catchment across India.

Amity’s second licensed school, Harrow International School New York, opened in September 2025 on a 170-acre waterfront campus for students in Years 6 to 9.

Taaleem Harrow Schools

Grounded in Harrow’s 450 year legacy, these schools provide a world-class education that challenges and inspires

HISL has been working closely with its newest partner

– Taaleem Holdings PJSC – to establish Harrow International Schools in the Gulf Cooperation Council region, with progress being made to open a school in Dubai in September 2026 and Abu Dhabi in 2027. These co-educational, all-through schools have been designed to accommodate around 2,000 pupils each.

HISL continues to work closely with Taaleem in the pre-opening phase of these new schools to ensure that building design and educational and operational planning meet the Harrow Standards and reflect Harrow School’s values.

ABOVE

Renders of the Harrow International Dubai campus currently under construction for its planned opening in September 2026

l 36

37 l

2024/25

6 Our Group activities

6.2 Harrow School Enterprises Limited

Harrow School Enterprises Limited (HSEL), the trading subsidiary of Harrow School, generates essential income that supports the School’s ongoing success. Its work spans venue hire, fitness enterprise and educational provision, all contributing to the School’s broader mission and community reach.

“ In the top 10 English language and activity centres in the UK” El Gazette

Venue hire continued to thrive in 2024/25, with the team hosting a wide range of events, tours, weddings and creative projects. Highlights included filming for the television drama Dear England, a Sabaton music video in Speech Room, an Amazon Prime commercial and several high-end fashion shoots. Weddings remain a significant part of the offer, with 16 held across the year, supported by both in-house catering and trusted external suppliers.

HSEL also delivered a successful summer school for international students, welcoming over 300 students from 31 countries. The summer school earned 14 out of 15 strengths from the British Council. Several partner organisations ran their own residential courses on the Hill over the summer months and the online Englishlearning team taught almost 700 English lessons across the year.

HSEL’s fitness enterprise is anchored by the Harrow School Sports Centre, a dual-use facility serving more than 1,500 Fitness Club members, staff and visitors, including high-profile organisations such as Saracens RFC, the NFL and England Athletics. The club also delivers weekly swimming lessons to over 400 local children and supports a vibrant community of sports users and clubs.

RIGHT Just one of the 16 weddings hosted in a Harrow School venue

l 38 THE CORPORATION ANNUAL REPORT

39 l

2024/25

6 Our Group activities

6.3 Harrow Development Trust

HDT helps to secure the future of Harrow School through fundraising, with support from the School community and working closely with Foundation Governors, the Head Master and the Harrow Association (Harrow’s alumni organisation). Generous donations from a wide range of supporters in 2024/25 helped to fund bursaries and contributed to the School’s non-fee income. HDT also supported building for the future through capital projects such as the new Biology and Chemistry Schools and the upgrade of the Shepherd Churchill Dining Hall.

Funds raised through the HDT have also been directed to upgrades to boarding Houses and facilities, including a significant renovation of the Squash Courts. HDT’s fundraising efforts involved events, communications and partnerships with the Harrow Association and other volunteers, along with promoting legacy giving.

These activities supported various bursary schemes, making possible a significant number of bursary-assisted places. Funding also supported partnerships with local charities through initiatives such as the School’s annual fundraising run Long Ducker and supporting the Shaftesbury Enterprise Music Programme.

HDT supported building for the future through capital projects such as the new Biology and Chemistry Schools and the upgrade of the Shepherd Churchill Dining Hall

LEFT

Pupils conduct experiments in the state-of-the-art Chemistry laboratories in the new Biology and Chemistry Schools

l 40

41 l

2024/25

7 John Lyon’s Charity

John Lyon’s Charity is a separately Registered Charity (No. 237725). The Corporation is sole trustee of John Lyon’s Charity but does not consolidate the latter into the Corporation and Group.

John Lyon’s Charity is part of the wider John Lyon’s Foundation and set out below is an overview of how it sustains its founder’s legacy by working to transform the lives of children and young people.

John Lyon’s Charity, of which the Corporation is sole trustee, gives grants to benefit children and young people (CYP) who live in nine boroughs in north and west London: Barnet, Brent, Camden, Ealing, Hammersmith & Fulham, Harrow, Kensington & Chelsea, and the Cities of London and Westminster. Since 1991, the Charity has awarded more than £230m in grants. In the financial year ending March 2025, total grant-making expenditure reached £15m, benefiting 215 CYP organisations and schools throughout its Beneficial Area. Over the past year, the Charity has awarded £5.8m in new grants across four Programme Areas: Formal Education (£2m), Informal Education (£1.7m), Access to Education (£1.3m) and Capacity Building (£0.8m).

For more than a decade, the Charity has been committed to increasing inclusion across the arts and cultural sector, and this was a particular focus in 2024/25. Annual expenditure on projects for children and young people with special educational needs and disabilities (SEND) has grown significantly over the past ten years from £0.2m in 2015/16 to nearly £2.2m in 2024/25, a 73% increase.

To further this commitment, in June 2024, the Charity ring-fenced £0.5m to transform career opportunities for d/Deaf, disabled and neurodiverse young people. The funding supports a dedicated Employment Coach at Pursuing Independent Paths (PIP) and will deliver at least 12 London Living Wage–paid internships within arts and cultural institutions across the capital. While significant progress has been made, the Charity remains committed to embedding inclusion as a sector-wide standard rather than a niche initiative and will continue to invest in, and advocate for, increasing the employment opportunities for young people with special educational needs and disabilities.

Grants paid 247 since 1991 5,655 grants to new grants to over 215 £230m 1,800 organisations organisations since 1991 in 2024/25

l 42 THE CORPORATION ANNUAL REPORT

2024/25 43 l

8 Strategic developments since 31 August 2025

LOCKERS PARK

Announcement of a partnership with Lockers Park School

On 5 January 2026, the Corporation announced that it was entering a new partnership with Lockers Park School, a boys’ day and boarding prep school in Hertfordshire. This partnership will see Lockers Park School formally join the Harrow family during the course of the 2026 Spring term.

Harrow School and Lockers Park School have enjoyed strong links and a close working relationship over the 150 years of Lockers Park School’s history. The two schools share a valuesdriven culture and ethos founded on high academic standards, character development and the holistic education of boys. This partnership represents a natural next step, strengthening collaboration and co-ordination between the schools to support pupils, parents, staff and their wider school communities.

LOCKERS PARK

Harrow School and Lockers Park School will each maintain their separate and distinctive identities, building on the strengths, traditions and heritage of each school. Lockers Park School will continue to operate as it does today, remaining on its existing site in Hemel Hempstead and retaining its name, uniform and distinctive ethos.

This partnership will bring a range of benefits to pupils and staff across both schools including the sharing of educational, academic and pastoral expertise, the bringing together of the best of their respective co-curriculum offers, and the development of opportunities for boys to thrive throughout their academic career and beyond.

Both Harrow School and Lockers Park School will continue to work with a broader community and network of schools. Lockers Park School will continue to support and guide parents and pupils in moving on to the senior school that will be most suitable given their wishes and the academic setting. Harrow School will continue to apply the same admissions process for all boys wishing to attend Harrow and will continue to work closely with pupils, parents and all prep school partners in supporting this process and welcoming boys from all their traditional prep school partners.

Announcing a new partnership

l 44 THE CORPORATION ANNUAL REPORT

2024/252024/25 45 l

9 Governance

for the period 1 September 2024–31 August 2025

The Corporation’s constitution comprises the objects contained in the original Elizabethan Charter and separate “statutes” promulgated pursuant to the Public School’s Act 1868 (and subsequent legislation) updated over the years, most recently in June 2016 and approved and sealed by the Privy Council. The statutes provide in detail for the governance of the Corporation.

The Clerk to the Governors is responsible for the induction of new Foundation Governors, who are briefed individually. Guidance and advice on effective Trusteeship and updates about law, regulation and best practice are brought to the attention of Foundation Governors by the Clerk and other Officers.

Governance and delegation to committees

The maximum number of Foundation Governors is restricted to 25, including a member of a faculty of, or a fellow of a collage at each of Oxford and Cambridge Universities and a Fellow, or former or current Research Fellow of the Royal Society and who are selected by the Foundation Governors (Trustees). Two other Foundation Governors are elected respectively by the Lord Chief Justice, and the Head Master and the Masters of Harrow School. All Foundation Governors are elected for an initial term of five years and are eligible for re-election for a maximum of two further consecutive terms of up to five years. In exceptional circumstances, a Foundation Governor can serve a further term of up to five years so long as no more than five Foundation Governors serve a fourth term at any one time.

The Foundation Governors meet as a board at least three times a year, ensuring that governance arrangements are appropriate and effective. The appointment of knowledgeable Governors, the use of appropriate risk management processes and the use of effective delegation also ensure that governance arrangements are appropriate. Boards and committee membership is indicated in the table on page 47.

Delegation to management

The Governors have delegated the day-to-day management of Harrow School and John Lyon School to the Head Master of Harrow School and the Head of John Lyon School and the financial and commercial management, strategy and risk management of the Corporation and Group to the Chief Financial and Commercial Officer of John Lyon’s Foundation. These officers and other officers of the Corporation are the key management personnel referred to at note 6 in the financial statements.

The Foundation Governors are the charity Trustees of the Corporation and the Governors of Harrow School. The Corporation is the proprietor of John Lyon School and within defined parameters, the governance of John Lyon School is delegated by the Foundation Governors to a separate Board of Governors for John Lyon School, the members of which are appointed by the Foundation Governors.

Remuneration

Recruitment and training of Foundation Governors

The remuneration of key management personnel is discussed in detail each year and approved by the Foundation Remuneration Committee, with reference to sectoral context, standards and benchmarking. In addition, the committee also carefully considers, reviews and approves (in accordance with Charity Commission guidance) the remuneration in respect of Foundation Governors who are separately employed as directors of HISL, as reported in note 21 of the financial statements.

The Foundation Nominations and Governance Committee is responsible for considering nominations for future Foundation Governors, based on guidelines that include a list of the skills and experience that should be represented by Foundation Governors, including Governors of John Lyon School.

Foundation Governors, Officers and Committees – 2024/25

==> picture [546 x 634] intentionally omitted <==

----- Start of picture text -----
Foundation Governors
Chair DGP Eyton X Ch X X X 1, 3
CGT Stonehill Ret X Ch
31/08/25
Chair of John Lyon School Board of Governors GWJ Goodfellow Ret X X 1
31/08/25
AC Goswell Ret X
23/11/24
Deputy Chair The Hon A Butler X X X X 1
DJC Faber
RTG Winter Ret X
31/08/25
Chair of Harrow School Enterprises Limited AD Hart X 1, 2, 4
Prof DJ Payne
Chair of Harrow Development Trust JPJ Glover X X 2, 4
Sir JR Symonds X Ch X
HR Mould Ret
28/11/25
Prof A D’Angour Ret
31/09/25
Chair of Harrow International Schools Limited ML Mrowiec X X 1
C Gallagher X
His Excellency Vice Admiral J Kyd Ret X Ch
22/03/25
Deputy Chair of John Lyon School NJD Enright X
Board of Governors
Dr S Rawal X X
LJ Halligan X
Dr DA Taylor
MC Wallace X X 4
JC Seppala X Ch 4
SA Huang Ret
01/11 /25
CE Artis Appt X Ch
25/11/24
Dr SM Palmer Appt
22/11/24
General Sir Roly Walker KCB, DSO, ADC Gen Appt
BA Hons 20/06/25
Officers – attend committees but do not vote
Clerk to the Governors and General Counsel The Hon AC Millett X X X X Secretary toCompany
1, 2, 3
Chief Financial and Commercial Officer DH Curley X X X 1, 2, 3
Harrow School
Head Master WMA Land X X 1, 2, 3
Bursar JM Wood X X 2
John Lyon School
Head RK Hardy X X
Bursar N Slater X
Role Name Retired/AppointedNominations and Governance CommitteeFoundation RemunerationCommittee Foundation InvestmentsCommitteeFoundation Audit and Risk Committee Corporation FinanceCommittee (CFC)Directors of trading subsidiaries & Trustees of HDT
----- End of picture text -----

Committee descriptions

Foundation Investments Committee: Responsible for overseeing the management of financial investments. Foundation Audit and Risk Committee: Responsible for overseeing the audit, assurance and risk management.

Nominations and Governance Committee:

Responsible for overseeing governance arrangements and the appointment of new Foundation Governors, including Governors of John Lyon School (appointments were previously overseen by the Foundation Selection Committee until the constitution of this committee on 21 June 2025).

Corporation Finance Committee (CFC): Responsible for overseeing the Corporation’s use of its financial and capital resources.

Foundation Remuneration Committee: Responsible for overseeing the remuneration of the Officers and senior employees of the Corporation.

l 46 THE CORPORATION ANNUAL REPORT

Ch – Chair

2024/25 47 l

==> picture [48 x 1] intentionally omitted <==

10 Addresses and appointments for the period 1 September 2024–31 August 2025

Addresses

Harrow School

Harrow International Schools Limited Harrow School Enterprises Limited Harrow Development Trust

5 High Street Harrow on the Hill Middlesex HA1 3AP

John Lyon School

Middle Road Harrow on the Hill Middlesex HA2 0HN

Advisors

Principal Bankers

Independent Auditor

National Westminster Bank plc Harrow Town Centre Branch 315 Station Road Harrow Middlesex HA1 2AD

Crowe U.K. LLP 55 Ludgate Hill London United Kingdom EC4M 7JW

Principal Solicitors

Principal Investment Managers**

Cripps LLP 2nd Floor 80 Victoria Street London SW1E 5JL

Cazenove Capital Schroder & Co. Limited 1 London Wall Place London EC2Y 5AU

Principal Investment Advisers Actuaries* Cambridge Associates Ltd XPS Pensions 62 Buckingham Gate 11 Strand London London SW1E 6AJ WC2N 5HR

Charity number

11 Financial performance, policies and plans

Financial performance

Investment powers, policy and performance

The Consolidated Statement of Financial Activities for the Group for the year 2024/25 is set out on page 56 of the financial statements and a summary is set out below:

The Foundation Investments Committee supervises and monitors the investment of the Corporation and Group’s financial assets.

The Corporation and Group seek to generate the best financial return within an acceptable level of risk. The investment objective for our funds under management is to generate an investment return (after expenses) of inflation (CPI) plus 4% per annum over the long term for the financial investment portfolios.

The Corporation and Group invest for capital growth in the long term, defined as a minimum of ten years. It is recognised that the return objective may be difficult to achieve in every period but should be attainable over a tenyear or greater time period.

The Corporation has a total return policy in place for most of its award funds, which allows the Corporation to draw up to 3.75% of a threeyear rolling average of the fund value.

The Corporation was advised by Cambridge Associates Ltd in 2024/25 on how its two largest funds are invested, while a set of smaller funds were invested in 2024/25 in the Cazenove Charity Multi Asset and Structural Growth funds. Overall, these funds returned approximately 11.0% during 2024/25.

The Corporation’s treasury deposits, together with approximately 75% of the proceeds from the bonds, are held in short-term, investmentgrade, corporate bond portfolios managed in 2024/25 by EFG Private Bank Limited to realise greater returns and reduce credit risk. This portfolio generated a yield of approximately 4.8% per annum net of costs.

310033

** Subsequent to the year end, the Investments Committee formally approved the appointment of Goldman Sachs as investment managers, to replace Cambridge Associates and Cazenove

l 48 THE CORPORATION ANNUAL REPORT

49 l

2024/25

11 Financial performance, policies and plans

term, benefiting from the returns from invested funds. Increasing unrestricted reserves will assist the Corporation in delivering on its charitable objects and executing its strategy.

Reserves and cash reserves policy

Foundation Governors ensure that the Corporation and Group maintain reserves such that we hold sufficient funds to meet our short to medium-term financial obligations, including all elements of operating expenditure, while making appropriate provision for strategic and long-term requirements, including the essential longterm maintenance of and investment in the refurbishment of the Corporation’s built estate.

Cash reserves

During the financial year 2024/25 Foundation Governors approved a policy for Corporation and Group cash reserves. This policy sets out a requirement to maintain an unrestricted cash balance as a further level of prudence, given our unrestricted funds are primarily deployed in fixed assets. Our policy is to maintain £30,000,000 in unrestricted cash at all times and this has been the case throughout 2024/25.

Consolidated reserves

The Corporation’s consolidated reserves totalled £230,317,000 at the year end, 31 August 2025, (£214,155,000, 31 August 2024) and comprised the following:

Going concern

The Foundation Governors have reviewed 2024) and comprised the following: the reserves position carefully together with 2024/25 2023/24 the financial forecasts and operating cash- £ £ flows of the Corporation and Group for the Unrestricted funds 175,005,000 164,781,000 period 31 August 2027. The CFCO has adRestricted funds 5,574,000 3,176,000 vised Foundation Governors on a range of Endowment funds 49,738,000 46,198,000 cash-flow scenarios to inform this review. Total reserves 230,317,000 214,155,000 The Foundation Governors believe the Unrestricted funds Of which tangible fixed assets are: 166,646,000 165,997,000 Corporation and Group’s financial reserves

The Foundation Governors believe the Corporation and Group’s financial reserves are sufficient to ensure that the Corporation will continue as a going concern for the foreseeable future, being at least 12 months from the date of approval of the financial statements.

The Corporation has access to £90,000,000 of long-term funding by way of private placement bond issues (see note 15), and, together with our cash flows, Foundation Governors are assured that both our short- to medium-term financial obligations can be met and our strategic and long-term requirements are also met.

Fundraising activities

Section 162a of the Charities Act 2011 requires charities to make a statement regarding fundraising activities. Although the Corporation does not undertake fundraising from the general public, the legislation defines fundraising as “soliciting or otherwise procuring money or other property for charitable purposes”.

The unrestricted funds, net of designated funds and a significant level of endowment funds, and a £3,103,000 31 August 2025 (£4,504,000, 31 August 2024) pension liability, are primarily deployed in tangible fixed assets, which are used for direct charitable activities. For an explanation of our designated and endowment funds, see table in note 19. In line with many similar charities, and due to continuing and substantial investment in tangible fixed assets, the Corporation has negative free reserves using the definition of free reserves applied by the Charity Commission.

In relation to the above, we confirm that all solicitations are managed by Harrow Development Trust, without involvement of commercial participators or professional fundraisers, or third parties. The day-to-day management of all income generation is delegated to key management personnel, who are accountable to the Trustees of the Harrow Development Trust.

The Foundation Governors are focused on increasing the level of free reserves from the operating cash flows generated by the Corporation and Group, while, in the medium

No complaints have been received in relation to any solicitations. Our terms of employment

require staff to behave reasonably at all times; all major fundraising activities are approved at a senior level before they are undertaken and are conducted under procedures and protocols formulated and agreed by the Trustees of HDT.

Strategy and future plans

The Corporation has continued to focus on its charitable objects in 2024/25 and on the strategy of promoting educational excellence and enrichment, providing fee assistance that transforms lives, and on engaging with our community. The Corporation will continue to work closely in co-operation with the Group and with our partners, including John Lyon’s Charity.

Our strategy for 2025/26 and for the medium term as we have discussed at the Board of Foundation Governors includes the following:

The Corporation and Group will continue to monitor financial performance and the use of resources in a robust budgeting framework and will prudently manage the use of capital. In doing so, the Corporation and Group will address the evolving financial context in

the independent schools sector and adopt appropriate risk mitigations where required.

Disclosure of information to the auditor

The Foundation Governors who held office at the date of approval of this annual report confirm that, so far as they are individually aware, there is no relevant audit information of which the Corporation’s auditor is unaware; and each Foundation Governor has taken all the steps they might reasonably have taken as a Foundation Governor to make themselves aware of any relevant audit information and to establish that the Corporation’s auditor is aware of that information.

Auditor

Crowe UK LLP has expressed its willingness to continue in office.

Statement of Foundation Governors’ (Trustees’) responsibilities

The purpose of this statement is to distinguish the responsibilities of the Trustees as a body for the financial statements from the responsibilities of the auditor as stated in their report.

The Charities Act 2011 requires the Foundation Governors (Trustees) to prepare financial statements for each financial year which give a true and fair view of the Corporation’s financial activities during the year and of its financial position at the end of the year.

In preparing the financial statements, which are the financial statements of the Corporation (here, “the parent charity”), the two subsidiary entities and the fundraising trust (here, “subsidiaries”) the Foundation Governors (Trustees) follow best practice and:

l 50

51 l

2024/25

THE CORPORATION ANNUAL REPORT

11 Financial performance, policies and plans

The Foundation Governors (Trustees) are responsible for keeping adequate accounting records that are sufficient to show and explain the Corporation’s transactions, disclose with reasonable accuracy at any time the financial position of the Corporation and enable them to ensure that the financial statements comply with applicable financial regulations and charity law. They are also responsible for safeguarding the Corporation’s assets, and hence for taking reasonable steps for the prevention and detection of error, fraud and other irregularities.

Approved by Foundation Governors and signed on its behalf by:

DGP Eyton

Chair of Foundation Governors (Trustees) 21 March 2026

The Corporation has continued to focus on its charitable objects in 2024/25 and on the strategy of promoting educational excellence and enrichment, providing fee assistance that transforms lives, and on engaging with our community

12 Independent auditor’s report

Opinion

Conclusions relating to going concern

We have audited the financial statements of The Keepers and Governors of the Possessions, Revenues and Goods of The Free Grammar School of John Lyon for the year ended 31 August 2025 which comprise the Consolidated Statement of Financial Activities, Group and Corporation Balance Sheets, Consolidated Cashflow Statement and notes to the financial statements, including 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 auditing the financial statements, we have concluded that the Trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group’s ability to continue as a going concern for a period of at least 12 months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

In our opinion the financial statements:

Other information

The Trustees are responsible for the other information contained within the annual report. 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 we do not express any form of assurance conclusion thereon.

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 this gives rise to a material misstatement in the financial statements themselves. 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.

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 group 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.

We have nothing to report in this regard.

l 52 THE CORPORATION ANNUAL REPORT

53 l

2024/25

12 Independent auditor’s report

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

Responsibilities of Trustees

As explained more fully in the Trustees’ responsibilities statement, the Trustees 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 Trustees are responsible for assessing the group’s and the parent charity’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 Trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 151 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

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 auditor’s report.

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion.

We obtained an understanding of the legal and regulatory frameworks within which the Corporation and Group operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements, including financial reporting legislation and the Charity SORP (FRS 102), and local tax regulations. We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items.

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be necessary to the group’s ability to operate or to avoid a material penalty. Auditing standards limit the required audit procedures to identify noncompliance with these laws and regulations to enquiry of the Trustees and other management and inspection of regulatory and legal correspondence, if any.

We also considered the opportunities and incentives that may exist within the Group for fraud. We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the timing of recognition of legacy and donation income, and the override of controls by management. Our audit procedures to respond to these risks included enquiries of management, and the Audit & Risk Committee, about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, designing audit procedures over the completeness and timing or recognition of legacy and donation income, reviewing regulatory correspondence with the Charity Commission and other regulators, and reading minutes of meetings of those charged with governance.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it.

In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

Use of our report

This report is made solely to the charity’s Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity’s Trustees 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 charity and the charity’s Trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Crowe U.K. LLP Statutory Auditor London

Date: 31 March 2026

Crowe U.K. LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

l 54 THE CORPORATION ANNUAL REPORT

55 l

2024/25

13 Financial statements

13.2 Balance sheet

At 31 August 2025

13.1 Consolidated statement of financial activities

Year ended 31 August 2025

2024/25
Notes Income
Capital
funds funds
Unrestricted
Restricted Endowment
funds
funds
funds
Total
Income and endowments from:
£000
£000
£000
£000
Charitable activities
School fees receivable
1
59,335
-
- 59,335
Ancillary trading income
2i
5,831
-
-
5,831
Charitable grants received
2ii
-
1,080
-
1,080
Voluntary sources
Other charitable income
2iii
5,091
1,985
-
7,076
Non-ancillary trading income
2iv
11,234
-
- 11,234
Other incoming resources
3
200
1,082
-
1,282
Investments
Investment income
4
3,702
27
1,218
4,947		 2024/25
Notes Income
Capital
funds funds
Unrestricted
Restricted Endowment
funds
funds
funds
Total
Income and endowments from:
£000
£000
£000
£000
Charitable activities
School fees receivable
1
59,335
-
- 59,335
Ancillary trading income
2i
5,831
-
-
5,831
Charitable grants received
2ii
-
1,080
-
1,080
Voluntary sources
Other charitable income
2iii
5,091
1,985
-
7,076
Non-ancillary trading income
2iv
11,234
-
- 11,234
Other incoming resources
3
200
1,082
-
1,282
Investments
Investment income
4
3,702
27
1,218
4,947		 2024/25
Notes Income
Capital
funds funds
Unrestricted
Restricted Endowment
funds
funds
funds
Total
Income and endowments from:
£000
£000
£000
£000
Charitable activities
School fees receivable
1
59,335
-
- 59,335
Ancillary trading income
2i
5,831
-
-
5,831
Charitable grants received
2ii
-
1,080
-
1,080
Voluntary sources
Other charitable income
2iii
5,091
1,985
-
7,076
Non-ancillary trading income
2iv
11,234
-
- 11,234
Other incoming resources
3
200
1,082
-
1,282
Investments
Investment income
4
3,702
27
1,218
4,947		 2024/25
Notes Income
Capital
funds funds
Unrestricted
Restricted Endowment
funds
funds
funds
Total
Income and endowments from:
£000
£000
£000
£000
Charitable activities
School fees receivable
1
59,335
-
- 59,335
Ancillary trading income
2i
5,831
-
-
5,831
Charitable grants received
2ii
-
1,080
-
1,080
Voluntary sources
Other charitable income
2iii
5,091
1,985
-
7,076
Non-ancillary trading income
2iv
11,234
-
- 11,234
Other incoming resources
3
200
1,082
-
1,282
Investments
Investment income
4
3,702
27
1,218
4,947		 2024/25
Notes Income
Capital
funds funds
Unrestricted
Restricted Endowment
funds
funds
funds
Total
Income and endowments from:
£000
£000
£000
£000
Charitable activities
School fees receivable
1
59,335
-
- 59,335
Ancillary trading income
2i
5,831
-
-
5,831
Charitable grants received
2ii
-
1,080
-
1,080
Voluntary sources
Other charitable income
2iii
5,091
1,985
-
7,076
Non-ancillary trading income
2iv
11,234
-
- 11,234
Other incoming resources
3
200
1,082
-
1,282
Investments
Investment income
4
3,702
27
1,218
4,947		 2023/24
Total
£000
58,477
5,853
1,083
7,928
11,021
288
3,109
Total income ~~______~~ ~~______~~ ~~______~~ ~~______~~ ~~______~~
87,759
85,393 4,174 1,218 90,785

Expenditure on:
Raising funds
Fundraising costs
Non-ancillary trading expenses
Finance costs
7
Investment management costs

Charitable activities
Teaching costs
Welfare costs
Premises costs
Support costs
Grants, awards and prizes
5ii
Ancillary trading expenses
5i
Governance costs		 __
1,409
4,724
3,466
649

10,248
__
28,349
8,828
18,377
7,359
6,364
5,001
534
__
74,812
____
______
1,131
4,380
3,538
505		 ______
381
-
-
-		 ______
-
-
-
71		 ______
1,512
4,380
3,538
576
______ ______ ______ ______
9,554 381 71 10,006
______ ______ ______ ______
28,602
8,801
17,906
8,433
-
4,822
375		 -
-
-
8
6,449
-
-		 -
-
-
-
-
-
-		 28,602
8,801
17,906
8,441
6,449
4,822
375
______ ______ ______ ______
68,939 6,457 - 75,396
______
 ______
 ______
 ______
Total expenditure _____ _____ _____ _____ _____
85,060
78,493 6,838 71 85,402
_____
Net income/(expenditure) before
transfers and investment gains
6,900

Transfers between funds
8
(4,394)
Gains on investment assets
12
6,471
Net income
8,977
Actuarial gain on defined benefit
pension scheme
18 (i) c
1,247
_____
_
Net movement in funds for the year
10,224
Balances at beginning of year
164,781


6,900		 _____ _ ______ ______ ______
6,900

6,900		 (2,664)
(2,664)		 1,147
1,147		 5,383
5,383		 2,699
2,699
(4,394)
6,471
8,977
1,247		 5,001
61
2,398
-		 (607)
-
3,000
9,532
3,540 14,915
-
1,247
_____
_		 _____ ____ _____
2,398
3,176


_____
_
Balances at end of year
175,005

 _____ _____ _
 ______
214,155
5,574 49,738 230,317


~~_____~~
_		 ~~_____~~ ~~______~~ ~~_~~
 ~~______~~

The Corporation has no gains or losses that are not shown and all activities are continuing.

The 2023/2024 consolidated statement of financial activities is shown at note 24.

The accounting policies and notes on pages 61 to 91 form part of these financial statements.

nce sheet
ugust 2025
Group Corporation
Notes
2025 2024 2025 2024
Fixed assets £000 £000 £000 £000
Tangible fixed assets 9 169,891 169,586 169,885 169,578
Intangible assets 10 61 72 61 72
Investment properties 11 1,588 1,588 1,588 1,588
Investments 12 172,291 164,474 171,686 163,791
______ ______ ______ ______
343,831 335,720 343,220 335,029
Current asset investments 34 34 34 34
Stocks 215 287 182 244
Debtors 13 28,100 7,343 27,664 7,469
Cash at bank and in hand 2,471 984 2,210 728
_____ _____ _____ _____
30,820 8,648 30,090 8,475
Creditors: amounts falling due
within one year 14 (48,093) (32,905) (47,302) (32,563)
Net current (liabilities) (17,273) (24,257) (17,212) (24,088)
_____ _____ _____ _____
Total assets less current liabilities 326,558 311,463 326,008 310,941
Creditors: amounts falling due after
more than one year 15 (93,138) (92,804) (93,138) (92,804)
______ ______ ______ ______
Net assets before pension 233,420 218,659 232,870 218,137
Pension scheme liabilities 18 (3,103) (4,504) (3,103) (4,504)
______ ______ ______ ______
Net assets including pension
scheme liabilities 230,317 214,155 229,767 213,633
______ ______ ______ ______
Represented by:
Capital funds
Permanent endowment 40,835 38,010 40,835 38,010
Expendable endowment 8,903 8,188 9,057 8,188
______ ______ ______ ______
49,738 46,198 49,892 46,198
Income funds
Restricted 5,574 3,176 3,553 2,795
Unrestricted 175,005 164,781 176,322 164,640
______ ______ ______ ______
Total funds 19 230,317 214,155 229,767 213,633
______ ______ ______ ______

The total surplus recognised by the Corporation in 2024/25 was £16,134,000 (2023/24: £18,102,000).

The financial statements were approved and authorised for issue by the Foundation Governors on 21 March 2026 and were signed on their behalf by

DGP Eyton

Chair of the Foundation Governors (Trustees)

The accounting policies and notes on pages 61 to 91 form part of these financial statements.

l 56 THE CORPORATION ANNUAL REPORT

2024/25 57 l

13.3 Consolidated cash flow statement

Year ended 31 August 2025

2024/25
2023/24
Note
£000
£000
£000
£000
Net cash inflow from operating activities
(i)
310
18,644
Cash flows from investing activities
Payments to acquire tangible fixed assets
(8,191)
(24,519)
Sale proceeds of tangible fixed assets
9
141
Payments to acquire investments
(65,762)
(27,059)
Sale proceeds of investments
68,312
29,035
(Decrease)/ increase in cash held in investments
(835)
5,986
Listed investment income
1,575
537
Interest received
3,372
2,572
Interest paid
(3,538)
(3,466)
_

Net cash (outflow) from investing activities
(5,058)
(16,773)
Cash flow from financing activities
Loans received
850
1,900
Loan repayment
(206)
(206)
Finance lease repayment
(13)
(1)
__
_____
Net cash inflow from financing activities
631
1,693

 2024/25
2023/24
Note
£000
£000
£000
£000
Net cash inflow from operating activities
(i)
310
18,644
Cash flows from investing activities
Payments to acquire tangible fixed assets
(8,191)
(24,519)
Sale proceeds of tangible fixed assets
9
141
Payments to acquire investments
(65,762)
(27,059)
Sale proceeds of investments
68,312
29,035
(Decrease)/ increase in cash held in investments
(835)
5,986
Listed investment income
1,575
537
Interest received
3,372
2,572
Interest paid
(3,538)
(3,466)
_

Net cash (outflow) from investing activities
(5,058)
(16,773)
Cash flow from financing activities
Loans received
850
1,900
Loan repayment
(206)
(206)
Finance lease repayment
(13)
(1)
__
_____
Net cash inflow from financing activities
631
1,693

 2024/25
2023/24
Note
£000
£000
£000
£000
Net cash inflow from operating activities
(i)
310
18,644
Cash flows from investing activities
Payments to acquire tangible fixed assets
(8,191)
(24,519)
Sale proceeds of tangible fixed assets
9
141
Payments to acquire investments
(65,762)
(27,059)
Sale proceeds of investments
68,312
29,035
(Decrease)/ increase in cash held in investments
(835)
5,986
Listed investment income
1,575
537
Interest received
3,372
2,572
Interest paid
(3,538)
(3,466)
_

Net cash (outflow) from investing activities
(5,058)
(16,773)
Cash flow from financing activities
Loans received
850
1,900
Loan repayment
(206)
(206)
Finance lease repayment
(13)
(1)
__
_____
Net cash inflow from financing activities
631
1,693
(Decrease)/increase in cash in the year _____
(4,117)
 _____
3,564
_

Made up as follows:
(Increase)/decrease in bank overdraft – unrestricted funds
(5,604)
8,936
Increase/(decrease) in other cash balances
1,487
(5,372)

_
(Decrease)/increase in unrestricted fund and other cash (ii)
(4,117)
3,564


Reconciliation of net cash flow to movement in net funds
(Decrease)/Increase in cash in the year
(4,117)
3,564
Cash inflow resulting from decrease in net debt and lease financing
(631)
(1,693)
Other non-cash movement
(8)
1,187
_
___
Change in funds resulting from cash flows and
movement in net funds in the year
(4,756)
3,058
Net funds at 1 September
(92,275)
(95,333)
_

Net funds at 31 August
(iii)
(97,031)
(92,275)
__
_____

13.3 Consolidated cash flow statement

Year ended 31 August 2025

(i) Net Cash Inflow from operating activities 2024/25 2023/24
£000 £000
Net incoming resources 14,915 17,330
Depreciation 7,042 7,027
Amortisation of goodwill 11 12
Decrease in stocks 72 27
Increase in debtors (20,757) (370)
Increase in creditors 9,981 6,576
Increase in entry and part-fee deposits (701) 1,221
Decrease in liability for unfunded pensions 6 5
FRS 102 credit before actuarial gains/losses (1,401) (615)
Decrease in provision for other pension benefit arrangements 1,247 499
Interest paid 3,538 3,466
Interest received (3,372) (2,572)
Investment income (1,575) (537)
Gain on revaluation of investment assets (9,532) (14,631)
Loss on disposal of fixed assets - (2)
Impairment of investment - 200
Unwinding of bond discount 8 8
Impairment of fixed asset 828 1,000
_____ _____
310 18,644
(ii) Changes in cash and cash equivalents _____ ____
Analysis of balances Change
2024/25 2023/24 in year
£000 £000 £000
Bank overdraft (6,104) (500) (5,604)
Other cash balances 2,471 984 1,487
______ ______ _____
The Group’s operations (3,633) 484 (4,117)

The accounting policies and notes on pages 61 to 91 form part of these financial statements.

The accounting policies and notes on pages 61 to 91 form part of these financial statements.

l 58 THE CORPORATION ANNUAL REPORT

2024/25 59 l

13.3 Consolidated cash flow statement

13.4 Accounting policies

Year ended 31 August 2025

g

(iii) Analysis of net funds - year ended 31 August 2025

As at Other As at
beginning of Cash non-cash end of
year flow changes year
£000 £000 £000 £000
Cash and cash equivalents
Cash 984 1,487 - 2,471
Bank overdraft (500) (5,604) - (6,104)
______ ______ ______ ______
484 (4,117) - (3,633)
Borrowings
Loans less than on year (206) - - (206)
Loans more than one year (2,518) (644) - (3,162)
Bond (89,730) - (8) (89,738)
Finance leases (305) - 13 (292)
_____ _____ _____ _____
(92,759) (644) 5 (93,398)
_____ _____ _____ _____
Total (92,275) (4,761) 5 (97,031)
_____ _____ _____ _____

(iv) Analysis of net funds - year ended 31 August 2024

v)Analysis of net funds - year ended 31 August 2024
As at
beginning of
year
£000
Cash and cash equivalents
Cash
6,356
Bank overdraft
(9,436)
_

(3,080)
Borrowings
Loans less than one year
(206)
Loans more than one year
(2,324)
Bond
(89,722)
Finance leases
(1)
___
(92,253)
 Other
As at
Cash
non-cash
end of
flow
changes
year
£000
£000
£000
(5,372)
-
984
8,936
-
(500)
_


3,564
-
484
206
(206)
(206)
(1,900)
1,706
(2,518)
-
(8)
(89,730)
1
(305)
(305)
_


(1,693)
1,187
(92,759)
_____
Total
(95,333)
 _____
1,871
 _
___
1,187
(92,275)

The accounting policies and notes on pages 61 to 91 form part of these financial statements.

resources to continue its activities for at least 12 months from the date of approval of the financial statements and continue to adopt the going concern basis.

a) Basis of preparation and consolidation

These financial statements represent the activities of John Lyon School and Harrow School (“the Corporation schools”), together with its charitable funds (the Corporation), consolidated with its trading subsidiaries – Harrow School Enterprises Limited (“HSEL”), Harrow International Schools Limited (“HISL”) Harrow Educational Investments Limited (“HEIL”), Harrow Development Trust (“HDT”) and John Lyon School Development Trust (“JLSDT”). HEIL and JLSDT were dormant in 2024/25.

c) Statement of financial activities (SoFA)

The columns on the SoFA comprise the following:

Unrestricted funds

Unrestricted funds can be used in furtherance of the Objects of the Corporation at the discretion of the Trustees. The Trustees may decide that part of the unrestricted funds shall be used in future for a specific purpose and this will be accounted for by transfers to appropriate designated funds.

Those financial statements are prepared in accordance with The Charities (Financial Statements and Reports) Regulations 2008, the Statement of Recommended Practice on Accounting and Reporting by Charities – the Charities’ SORP (FRS 102) – and in accordance with applicable United Kingdom Financial Reporting and Accounting Standards. The financial statements are drawn up on the historical cost basis of accounting, as modified by the revaluation of investment properties and other investments.

Designated funds

Unrestricted funds set aside by the Governors for future use (including awards and capital projects).

Restricted funds

Restricted funds comprise gifts, legacies and grants where the donors have earmarked funds for specific purposes. They consist of either gifts where the donor has specified that both the capital and any income arising must be used for the purposes given or the income on gifts where the donor has required that the capital be maintained and the income used for specific purposes.

The Corporation constitutes a public benefit entity as defined by FRS 102.

These financial statements have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following the Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard Expendable applicable in the UK and Republic of Ireland endowment (FRS 102) issued on 16 July 2014 rather than the funds Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has been withdrawn.

Expendable endowment funds are similar to permanent endowment in that they have been given, or the Corporation has determined based on the circumstances that they have been given, for the long-term benefit of the Corporation. However, the Trustees may at their discretion determine to spend all or part of the capital.

b) Preparation of financial statements on a going concern basis

Having reviewed the facilities available to the Group together with the expected ongoing demand for places and the Group’s future projected cash flows, covering the period to 31 August 2027, the Governors have a reasonable expectation that the Group has adequate

l 60 THE CORPORATION ANNUAL REPORT

61 l

2024/25

13.4 Accounting policies

c) Statement of financial activities (SoFA) continued

Permanent

Permanent endowment funds arise where donors specify that the funds should be retained as capital for the permanent benefit of the Corporation. Any income arising from the capital will be accounted for as unrestricted funds unless the donor has placed further restrictions on the use of that income, in which case it will be accounted for as a restricted fund.

funds

d) Income

All incoming resources are included in the SoFA when the Corporation is legally entitled to the income, after any performance conditions have been met, when the amount can be measured reliably and when it is probable that the income will be received.

Fees receivable, royalties, charges for services and use of premises are accounted for in the period in which the service is provided. Income and expenditure resulting from ancillary school activities not covered by fees, where the school acts as principal through bearing the risks, is recognised when the cost is incurred or the trip takes place.

Income from grants and donations is recognised on receipt, unless there are conditions attached to the donation that require a level of performance before entitlement can be obtained. In this case income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the Corporation and it is probable that they will be fulfilled. The related gift aid on donations is accounted for when the related donation is received.

Legacy income is recognised when probate has been granted, there are sufficient assets in the estate to pay the legacy and that any conditions attached to the legacy are either in control of the charity or have already been met.

Donated assets are shown as a donation at market value upon receipt.

Income for the general purposes of the Corporation is credited to unrestricted funds. From time to time the Foundation Governors designate unrestricted funds for specific purposes. Donations and legacies subject to specific wishes of the donors are credited to relevant restricted funds or to endowed funds, if the amount is required to be held as permanent or expendable capital.

Gifts of funds for the purpose of providing for specific fixed assets are accounted for as restricted funds until expended. When expended, amounts equivalent to the relevant capital expenditure are transferred from the restricted funds to the unrestricted funds.

Investment income is earned through holding

assets for investment purposes such as shares. It includes income earned which is reinvested directly into the portfolio and dividends, recognised when received and interest recognised on a receivable basis. Income from corporate bonds is accrued at the coupon rate.

e) Expenditure

All expenditure is accounted for on an accruals basis. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that settlement will be required and the amount of the obligation can be measured reliably.

Expenditure is allocated to expense headings either on a direct cost basis or apportioned on appropriate bases. The cost of charitable activities includes all expenditure directly relating to the objects of the Corporation. Support costs comprise administrative salaries and pension costs, office expenses, legal and professional fees, governance costs and equipment rentals.

f) Investments

In January 2006, the Charity Commission made an order permitting the Corporation to adopt total return investment powers in relation to its permanent endowment in the form of the Commission’s model order. The Governors resolved to implement the Order in a limited form with effect from 1 April 2006. Under the policy adopted by the Governors, up to 4% of the value of the fund at the previous balance sheet date may be withdrawn in the following financial year.

13.4 Accounting policies

With effect from 1 September 2014 the Governors elected to amend the policy and apply the order to the full value of the Harrow Awards Fund and the LC Wilson Bequest, having previously limited the order to 20% of the value at 1 April 2006 as referred to above. The amended policy also reduced the amount available to be applied in the following financial year to 3.75 % of the average of the total fund value on a rolling three-year basis.

With effect from 1 September 2017 the Foundation Governors elected to apply the total return policy to distributions from the Foundation Awards Fund.

Listed investments are valued at market value as at the balance sheet date. Investments such as hedged equities and private equity funds, which have no readily identifiable market value, are included at the most recent valuations from their respective managers. Unrealised gains and losses arising on the revaluation of investments are credited or charged to the Statement of Financial Activities and are allocated to the appropriate fund according to the “ownership” of the underlying assets.

Investments in subsidiaries in the Corporation balance sheet are held at cost less provision for impairment.

g) Goodwill

Goodwill recognised represents the excess of the fair value and directly attributable costs of the purchase consideration over the fair value to the Group’s interest in the identifiable assets acquired.

Goodwill is amortised over its expected useful life, which is estimated to be ten years. Goodwill is assessed for impairment when there are indicators of impairment, and any impairment is charged to the SoFA. No reversals of impairment are recognised.

h) Tangible fixed assets

Expenditure on land and buildings which, in the opinion of the Governors, has not enhanced their long-term value is charged to the SoFA. Expenditure on improvements and development to land and buildings which, in the opinion of the Governors, has enhanced their long-term value is capitalised. Expenditure on plant, equipment (including IT equipment) and furniture that is

in excess of £5,000 per item, or group of items, is capitalised.

In respect of certain land and buildings occupied or used by the schools and other artefacts owned by the schools, some of which were acquired many years ago, the original cost is not readily ascertainable. In the opinion of the Governors, the cost of obtaining a reasonable estimate of original cost or current value to the schools would outweigh significantly the benefit to be derived from doing so. Accordingly, such assets are not included on the balance sheet. In addition, prior to 1997, where funds were donated for fixed assets, the amounts of the donations were offset against the cost of the relevant fixed assets. The original cost of these assets and the amounts of the donations are not readily ascertainable and the amounts shown on the balance sheet are stated on a net basis.

i) Heritage assets

The Corporation holds certain heritage assets, such as historic buildings, artworks and archives, which are maintained principally for their educational and cultural significance. In accordance with the Charity SORP (FRS 102), heritage assets should be recognised on the balance sheet where cost or valuation information is available and can be obtained at a cost commensurate with the benefits to users of the accounts.

The Corporation does not recognise the majority of the heritage assets on the balance sheet because:

More recent heritage asset acquisitions and gifts are capitalised in accordance with the Corporation’s accounting policies and are included withing tangible fixed assets. Expenditure incurred on maintaining and preserving these assets is recognised in the Statement of Financial Activities as incurred.

l 62 THE CORPORATION ANNUAL REPORT

63 l

2024/25

13.4 Accounting policies

j) Investment properties

Certain properties, not used for the direct charitable purposes of the Corporation, are held as investment properties for the purpose of producing income for the Corporation. The investment properties are reviewed for impairment annually with a full revaluation every five years on the basis of market value as defined in the Appraisal and Valuation Standards as issued by the Royal Institute of Chartered Surveyors. The last valuation was undertaken as at 31 August 2022. Valuation gains and losses are shown on the SoFA. No depreciation is charged on investment properties.

k) Depreciation

Depreciation is provided on all tangible fixed assets, other than freehold land and investment properties, at rates calculated to write off the cost of each asset, less any estimated residual value, evenly over its expected useful life. The expected useful lives of the principal categories are:

Freehold buildings - 50 to 60 years Minor capital projects - 15 to 20 years Astroturf sports pitches - 10 to 40 years Plant, equipment and furniture - 4 to 20 years IT equipment - 4 years Freehold land is stated at cost

Depreciation on buildings under construction commences when the asset is available for use.

l) Stock

Stocks are valued at the lower of cost and net realisable value.

m) Finance leases

Equipment and motor vehicles, which are the subject of finance leases, are classified within the financial statements as tangible assets with equivalent liabilities at what would otherwise have been the cost of outright purchase. These assets are depreciated over their expected useful lives, which generally correspond to the primary rental period. The interest element of lease payments is charged to the SoFA.

n) Operating leases

Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straightline basis over the lease term.

o) Redundancy and termination benefits

Redundancy and termination costs are recognised when there is a legal or constructive obligation which can be measured reliably, and it is probable that a payment will be made.

p) Pensions and post-retirement benefit schemes

Defined contribution scheme

The pension cost charged to the SoFA represents the contributions payable by the Group under the rules of the Harrow Corporation Pension Scheme.

Defined benefit schemes

The Corporation contributes to the Teachers’ Pension Scheme (the TPS), which is a defined benefit scheme, at rates set by the Government Actuary and advised to the Governors. The TPS is a multi-employer pension scheme and it is not possible to identify the assets and liabilities of the TPS, which are attributable to the schools. In accordance with FRS 102, the TPS is therefore accounted for as a defined contribution scheme. Contributions to the TPS are charged to the SoFA as they become payable in accordance with the rules of the TPS.

The Corporation also runs a defined benefit pension scheme, the Harrow School Support Staff Pension Scheme (HSSSPS), for non-teaching staff, which has been closed to new entrants and to further accruals. The funds of the HSSSPS are administered by a separate Board of Trustees and are separate from the Corporation. An independent actuary completes a valuation every three years and based on the actuary’s recommendations annual contributions are paid to the HSSSPS so as to secure the benefits set out in the rules.

The HSSSPS current service costs are charged to the SoFA within staff costs. The HSSSPS assets are measured at fair value at the balance sheet date. The HSSSPS liabilities are measured on an

13.4 Accounting policies

actuarial basis at the balance sheet date using the projected unit method and discounted at a rate equivalent to the current rate of return on a high quality corporate bond of equivalent term to the scheme liabilities. The resulting defined benefit asset or liability is presented separately after other net assets on the face of the balance sheet. The net interest on the asset or liability, measured using the discount rate, is credited within other interest. The scheme actuarial gains and losses are recognised immediately as other recognised gains and losses.

q) Taxation

As at 31 August 2025, the Corporation as a registered charity is generally exempt from corporation tax but not from Value Added Tax (VAT). Any irrecoverable VAT is charged to the SoFA, or capitalised as part of the cost of the related asset, where appropriate.

The Group’s subsidiary trading companies, HSEL and HISL, are liable for overseas taxation and for corporation tax on taxable profits not paid to the Corporation as a qualifying donation under gift aid.

r) Financial instruments

Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised cost. Financial assets held at amortised cost comprise cash at bank and in hand, together with trade and other debtors. A specific provision is made for debts for which recoverability is in doubt. Cash at bank and in hand is defined as all cash held in instant access bank accounts and used as working capital. Financial liabilities held at amortised cost comprise all creditors except social security and other taxes and deferred income and provisions. Assets and liabilities held in foreign currency are translated to GBP at the balance sheet date at an appropriate year-end exchange rate.

Amounts received under the schools’ Fees in Advance Scheme contracts for education, not yet utilised to settle school fees, are recorded as deferred income and allocated as current liabilities where the education will be provided within 12 months from the reporting date and as long-term liabilities where the education will be provided in subsequent years.

s) Critical accounting judgements and key sources of estimation and certainty

In the application of the Corporation’s accounting policies, the Trustees 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 key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described in the accounting policies and are summarised below:

Valuation of land and buildings

Certain assets are held as investment properties and are stated at their estimated fair value based on professional valuations discussed above.

Pension liabilities

The Corporation recognises its liability to HSSSPS which involves a number of estimations as disclosed in note 18.

l 64 THE CORPORATION ANNUAL REPORT

65 l

2024/25

13.5 Notes to the financial statements

Year ended 31 August 2025

1. Fees receivable

Fees receivable
2024/25 2023/24
£000 £000
School fees 60,692 59,703
Less: total scholarships and bursaries (7,806) (7,590)
_____ _____
52,886 52,113
Add back: bursaries and other awards paid for by restricted fund (note 5ii) 6,449 6,364
_____ _____
59,335 58,477
______ ______

Scholarships, bursaries and other awards were paid to 585 pupils (2023/24 563). Within this meanstested bursaries totalling £6,253,000 were paid to 231 pupils (2023/24 £6,356,000 to 229 pupils.

  1. Fundraising and trading activities
2.Fundraising and trading activities 2.Fundraising and trading activities 2.Fundraising and trading activities
i.
Ancillary trading income
2024/25
2023/24
£000
£000
Registration fees and non-refundable fee deposits 301 431
Other income 708 421
Pupils’ charges and school trips 4,822 5,001
_____ _____
5,831
5,853
__
____
ii.Charitable grants received
2024/25
2023/24
£000
£000
Grants received from John Lyon’s Charity 1,080 1,083
______ ______
iii.Other charitable income
2024/25
2023/24
£000 £000
Income received from HDT 7,066 7,918
Other 10 10
_____ _____
7,076 7,928
______ ______
iv.Non-ancillary trading
2024/25
2023/24
£000 £000
Income received from HISL 8,021 7,406
Income received from HSEL 2,957 3,342
Other income from the Corporation 256 273
_____ _____
11,234 11,021
______ ______

==> picture [439 x 44] intentionally omitted <==

13.5 Notes to the financial statements

Year ended 31 August 2025

Subsidiary undertakings

The summarised trading results of the Corporation’s two subsidiaries, HSEL and HISL, are set out below.

HISL

The principal activity of this company is to enter into licensing or other arrangements with third parties operating or managing overseas international schools bearing the Harrow name, to monitor their compliance with such agreements, and to receive royalties and fees arising from them. The company pays all of its post-tax income to the Corporation as a qualifying donation under gift aid arrangements.


arrangements.
2024/25
2024/25
2024/25		 2023/24
2023/24
£000
£000
£
0		 £000
£000
Turnover 8,021
8,021		 7,406
7,406
Profit on ordinary activities after taxation 5,918
5,918		 5,497
5,497
Qualifying donation to the Corporation (5,918)
(5,918)		 (5,497)
(5,497)
Net assets 1
1		 1
1

HSEL

The principal activity of this company is non-charitable trading on behalf of the Group. The company pays all of its post-tax income to the Corporation as a qualifying donation under gift aid arrangements, subject to having distributable reserves.

2024/25
2024/25
2024/25		 2023/24
2023/24
£000
£000
£
0		 £000
£000
Turnover 2,957
2,957		 3,342
3,342
Profit on ordinary activities after taxation 680
680		 526
526
Qualifying donation to the Corporation (680)
(680)		 (259)
(259)
Net assets -
-		 -
-

Fundraising activities Fundraising activities

HDT

The objects of the Trust are widely drawn to include the advancement of the education of pupils at Harrow School and such other charitable purposes as the Trustees of the Harrow Development Trust may declare.


Trust may declare.
2024/25
2024/25
2024/25		 2023/24
2023/24
£000
£000
£
0		 £000
£000
Donations and legacies 7,058
7,058		 7,918
7,918
Investment income 27
27		 -
-
_
___		 _
___
Total incoming resources 7,085
7,085		 7,918
7,918
Charitable activities (1,363)
(1,363)		 (1,283)
(1,283)
Net gain on investments 42
42		 81
81
_
___		 _
___
Gross profit 5,764
5,764		 6,716
6,716
Appropriations to the Corporation (5,785)
(5,785)		 (7,250)
(7,250)
_
___		 _
___
Net outgoing resources (21)
(21)		 (534)
(534)
_
___		 _
___
Net assets 501
501		 522
522

l 66 THE CORPORATION ANNUAL REPORT

67 l

2024/25

13.5 Notes to the financial statements

Year ended 31 August 2025

2024/25 2023/24
£000 £000
3. Other incoming resources
Profit on disposal of fixed assets 9 2
Other income 1,185 195
Subscription income 88 91
____ ____
1,282 288
____ ____
2024/25 2023/24
£000 £000
4. Investment income
Investment income - scholarships and bursaries 1,575 537
Interest receivable 3,372 2,572
____ ____
4,947 3,109
____ ____

13.5 Notes to the financial statements

Year ended 31 August 2025

5. i. Analysis of total resources expended

2024/25
Staff costs
Other Depreciation
Total
& impairment
£000
£000
£000
£000
Raising funds
Fundraising costs
1,029
483
-
1,512
Trading expenses
2,522
1,856
2
4,380
Finance costs (see note 7)
-
3,538
-
3,538
Investment management costs
-
576
-
576
_

_

3,551
6,453
2
10,006

_

_
Charitable expenditure
Teaching
25,463
3,139
-
28,602
Welfare
5,099
3,702
-
8,801
Premises
5,093
4,945
7,868
17,906
Support
5,158
3,283
-
8,441
Grants, awards and prizes
-
6,449
-
6,449
Ancillary trading expenses (trips)
-
4,822
-
4,822
Governance
-
375
-
375
_


__
40,813
26,715
7,868
75,396
_

__
______



 2024/25
Staff costs
Other Depreciation
Total
& impairment
£000
£000
£000
£000
Raising funds
Fundraising costs
1,029
483
-
1,512
Trading expenses
2,522
1,856
2
4,380
Finance costs (see note 7)
-
3,538
-
3,538
Investment management costs
-
576
-
576
_

_

3,551
6,453
2
10,006

_

_
Charitable expenditure
Teaching
25,463
3,139
-
28,602
Welfare
5,099
3,702
-
8,801
Premises
5,093
4,945
7,868
17,906
Support
5,158
3,283
-
8,441
Grants, awards and prizes
-
6,449
-
6,449
Ancillary trading expenses (trips)
-
4,822
-
4,822
Governance
-
375
-
375
_


__
40,813
26,715
7,868
75,396
_

__
______
__
____
Total resources expended
44,364
33,168
 _
____
7,870
85,402
_


_
2023/24
Staff costs
Other Depreciation
Total
& impairment
£000
£000
£000
£000
Raising funds
Fundraising costs
988
421
-
1,409
Trading expenses
2,447
2,275
2
4,724
Finance costs (see note 7)
-
3,466
-
3,466
Investment management costs
-
649
-
649


_

3,435
6,811
2
10,248
_


__
Charitable expenditure
Teaching
24,502
3,847
-
28,349
Welfare
5,131
3,697
-
8,828
Premises
4,559
5,793
8,025
18,377
Support
4,899
2,460
-
7,359
Grants, awards and prizes
-
6,364
-
6,364
Ancillary trading expenses (trips)
-
5,001
-
5,001
Governance
-
534
-
534
__
_

__
39,091
27,696
8,025
74,812
_


______
__
____
Total resources expended
42,526
34,507
 _
____
8,027
85,060

l 68 THE CORPORATION ANNUAL REPORT

69 l

2024/25

13.5 Notes to the financial statements

Year ended 31 August 2025

5. ii. Analysis of grants, awards and prizes

13.5 Notes to the financial statements

Year ended 31 August 2025

The remuneration of the Officers and other senior employees of the Corporation is considered by the Foundation Remuneration Committee.

Bursaries and other grants and awards paid for by restricted funds (note 1):

2024/25 2023/24
£000 £000
Scholarships 532 502
Means-tested bursaries 5,448 5,321
Other awards 469 541
_____ _____
6,449 6,364
_____ _____
Employees and key management
2024/25
2024/25
2023/24
£000
£000		 £000
Wages and salaries 35,289
35,289		 34,218
Social security costs 3,896
3,896		 3,598
Pension costs 5,179
5,179		 4,710
__
 _____
44,364
44,364		 42,526
__
 _____

6. Employees and key management

The remuneration of the Officers and other senior employees of the Corporation is considered by the
Foundation Remuneration Committee.		 The remuneration of the Officers and other senior employees of the Corporation is considered by the
Foundation Remuneration Committee.		 The remuneration of the Officers and other senior employees of the Corporation is considered by the
Foundation Remuneration Committee.
The number of employees across the Corporation whose emoluments (gross pay plus benefits in kind),
excluding employer’s pension contributions, exceeded £60,000 was:
2024/25 2023/24
£ 60,001 - £ 70,000
60,0 1
70,000		 63 54
£ 70,001 - £ 80,000
70,0 1
80,000		 26 37
£ 80,001 - £ 90,000
80,0 1
90,000		 25 21
£ 90,001 - £100,000
90,0 1		 22 24
£100,001 - £110,000 10 7
£110,001 - £120,000 5 6
£120,001 - £130,000 3 3
£130,001 - £140,000 2 -
£140,001 - £150,000 - 2
£150,001 - £160,000 2 -
£170,001 - £180,000 - 1
£180,001 - £190,000 1 -
£220,001 - £230,000 - 1
£230,001 - £240,000 1 1
£270,001 - £280,000 - 1
£280,001 - £290,000 1 -
£290,001 - £300,000 - 1
£300,001 - £310,000 2 -
£310,001 - £320,000 1 1

The average number of employees during the year was 988 (2023/24 956).

Average number of full time equivalent employees during the year 2024/25 2023/24
Teaching 212 212
Teaching support 79 71
Estates 107 110
Domestic 115 113
Bursary and other administration 104 110
___ ___
617 616
___ ___

Pension contributions to defined contribution schemes of £458,000 (2023/24 - £360,000) were made for 54 (2023/24 - 41) higher-paid employees during the year. Contributions were made to defined benefit pension schemes for 108 (2023/24 - 111) higher-paid employees during the year.

Total employee benefits payable (gross pay plus benefits in kind plus employer pension and national insurance contributions) to key management personnel were £2,324,000 (2023/24 - £2,194,000).

Redundancy and termination payments totalled £363,000 (2023/24 - £449,000).

l 70 THE CORPORATION ANNUAL REPORT

71 l

2024/25

13.5 Notes to the financial statements

Year ended 31 August 2025

7. Total resources expended 2024/25 2023/24
£000 £000
This is stated after charging/(crediting):
Auditors’ remuneration
For the audit of the Corporation 77 -
For the audit of other group entities 47 -
For the previous auditors for the audit of the Corporation - 58
For the previous auditors of the other group entities - 34
For the previous auditors for tax compliance 9 36
For the previous auditors for other services 3 19
For the previous auditors for the defined benefit pension scheme 10 12
Depreciation and impairment (see note 9) 7,870 8,027
Amortisation (see note 10) 11 12
Operating lease rentals 237 184
Change in pension scheme liabilities excluding actuarial
gain (see note 18 (i) c)) (154) (113)
____ ____
Interest and finance costs payable:
Interest payable 3,315 3,200
Bank charges 13 12
Pension net finance costs (see note 18 (i) c)) 210 254
____ ___
Total finance costs 3,538 3,466
____ ___

8. Transfers between funds

Expendable Permanent
Unrestricted Restricted endowment endowment
£000 £000 £000 £000
i. (932) 1,626 - (694)
ii. 383 (383) - -
iii. (80) - - 80
iv. (109) 102 (102) 109
v. (2,974) 2,974 - -
vi. (682) 682 - -
_____ _____ ____ _____
(4,394) 5,001 (102) (505)
_____ _____ _____ _____

13.5 Notes to the financial statements

Year ended 31 August 2025

  1. Tangible fixed assets
Tangible fixed assets
Group Corporation
Freehold Plant, Freehold Plant,
land and equipment land and equipment
buildings and furniture Total buildings and furniture Total
Cost £000 £000 £000 £000 £000 £000
At 1 September 2024 211,886 26,325 238,211 211,763 26,122 237,885
Additions 13,523 2,021 15,544 13,523 2,021 15,544
Disposals (31)
(551)		 (582) (31)
(551)		 (582)
Adjustment to costs (7,353)
-		 (7,353) (7,353)
-		 (7,353)
______ _____ ______ ______ ______ ______
At 31 August 2025 218,025 27,795 245,820 217,902 27,592 245,494
______ _____ ______ ______ _____ ______
Depreciation
At 1 September 2024 54,625 14,000 68,625 54,492 13,815 68,307
Impairment 828 - 828 828 - 828
Charge for the year 4,809 2,233 7,042 4,809 2,231 7,040
Released on disposals (15)
(551)		 (566) (15)
(551)		 (566)
_____ _____ _____ _____ _____ _____
At 31 August 2025 60,247 15,682 75,929 60,114 15,495 75,609
_____ _____ _____ _____ _____ _____
Net book value
At 31 August 2025 157,778 12,113 169,891 157,788 12,097 169,885
_____ _____ _____ _____ _____ _____
At 31 August 2024 157,261 12,325 169,586 157,271 12,307 169,578
_____ _____ _____ _____ _____ _____

All tangible fixed assets represented above are held for use by the Corporation, HSEL or HDT.

l 72 THE CORPORATION ANNUAL REPORT

73 l

2024/25

13.5 Notes to the financial statements

Year ended 31 August 2025

10. Intangible assets

Goodwill
Group and Corporation
Cost
At 1 September 2024
Addition
At 31 August 2025
Amortisation
At 1 September 2024
Charge for the year
At 31 August 2025
Net book value
At end of year
At beginning of year		 2025
£000
117
-
_
117

45
11
__
56
_
61
___
72
 2024
£000
117
-
_
117

33
12
__
45
_
72
___
84

13.5 Notes to the financial statements

Year ended 31 August 2025

11.Investment properties 2024/25
Group and Corporation £000
Balance at beginning of year 1,588
Movement in year -
_____
Balance at end of year 1,588
_____
The investment properties are fully revalued every five years on the basis of market value as defined in
the Appraisal and Valuation Standards as issued by the Royal Institute of Chartered Surveyors. The last
full revaluation was undertaken at 31 August 2022 by Stimpsons Chartered Surveyors.
2023/24
£000
Balance at beginning of year 1,588
Movement in year -
_____
Balance at end of year 1,588
_____

Goodwill relates to the Corporation’s purchase of the assets and trade of Quainton Hall School from Wallsingham College (Affiliated Schools) Limited on 6 November 2020. The goodwill is being amortised over ten years.

The purchase price included £3,340,000 for the land and buildings, £193,000 for fixtures and fittings, and £117,000 for goodwill. The goodwill related to growth expectations, cost synergies and expected future profitability.

l 74 THE CORPORATION ANNUAL REPORT

75 l

2024/25

13.5 Notes to the financial statements

Year ended 31 August 2025

12. Fixed asset investments

Fixed asset investments
2024/25 2023/24
£000 £000
Group
Listed
Opening market value excluding cash 162,627 149,666
Additions 65,762 27,365
Disposal proceeds (68,312) (29,035)
Realised gains/(losses) 1,981 (1,484)
Unrealised gains 7,551 16,115
______ ______
Market value at end of year 169,609 162,627
Cash at stockbrokers at beginning of year 1,847
7,833
Movement in year 835
(5,986)
______ ______
Cash with investment managers at end of year 2,682 1,847
______ ______
Unlisted
Opening balance - 200
Impairment - (200)
______ ______
At 31 August 2025 172,291 164,474
______ ______
At 31 August 2024 164,474 157,699
______ ______
Corporation
Listed
Opening market value excluding cash 161,944 148,971
Additions 65,737 27,320
Disposal proceeds (68,166) (28,895)
Realised gains/(losses) 1,972 (1,500)
Unrealised gains 7,517 16,048
______ ______
Market value at end of year 169,004 161,944
Cash at stockbrokers at beginning of year 1,847
7,833
Movement in year 835 (5,986)
______ ______
Cash with investment managers at end of year 2,682 1,847
______ ______
Unlisted
Opening balance - 200
Impairment - (200)
______ ______
At 31 August 2025 171,686 163,791
______ ______
At 31 August 2024 163,791 157,004
______ ______

13.5 Notes to the financial statements

Year ended 31 August 2025

12. Fixed asset investments (continued)

At 31 August 2025, the cost of investments, all of which are listed on the London and other recognised stock exchanges, were £142,250,000 (2023/24 - £154,975,000).

ii Application of the power of total return

Further to an Order from the Charity Commission in 2005, the Foundation Governors adopted a total return policy (subsequently amended in 2017) in relation to specific permanent endowment funds. The total return adopted was up to 4% and from 2017 up to 3.75% of the average of the total fund value on a rolling three-year basis. The specific funds are listed in note 19.

Statement of investment of total returns

Permanent Expendable Designated
endowment endowment
funds
£000
£000
£000
Investment income
372
112
328
Capital gains
1,426
197
2,176
Investment management costs
(16)
(2)
(26)
_


Total return for the year
1,782
307
2,478
_


Less application of income
(694)
(102)
(932)
New funds received
-
-
1,154
_


Net total return for the year
1,088
205
2,700
_


Unapplied total returns at 1 September 2024
7,675
_
Unapplied total return at 31 August 2025
8,763

Calculation of total return
Investment valuation at 31 August 2023
17,886
2,612
24,232
Investment valuation at 31 August 2024
19,312
2,813
27,328
Investment valuation at 31 August 2025
20,400
3,018
30,028
__
_
___
Three year average
19,200
2,814
27,196


 Permanent Expendable Designated
endowment endowment
funds
£000
£000
£000
Investment income
372
112
328
Capital gains
1,426
197
2,176
Investment management costs
(16)
(2)
(26)
_


Total return for the year
1,782
307
2,478
_


Less application of income
(694)
(102)
(932)
New funds received
-
-
1,154
_


Net total return for the year
1,088
205
2,700
_


Unapplied total returns at 1 September 2024
7,675
_
Unapplied total return at 31 August 2025
8,763

Calculation of total return
Investment valuation at 31 August 2023
17,886
2,612
24,232
Investment valuation at 31 August 2024
19,312
2,813
27,328
Investment valuation at 31 August 2025
20,400
3,018
30,028
__
_
___
Three year average
19,200
2,814
27,196


 Permanent Expendable Designated
endowment endowment
funds
£000
£000
£000
Investment income
372
112
328
Capital gains
1,426
197
2,176
Investment management costs
(16)
(2)
(26)
_


Total return for the year
1,782
307
2,478
_


Less application of income
(694)
(102)
(932)
New funds received
-
-
1,154
_


Net total return for the year
1,088
205
2,700
_


Unapplied total returns at 1 September 2024
7,675
_
Unapplied total return at 31 August 2025
8,763

Calculation of total return
Investment valuation at 31 August 2023
17,886
2,612
24,232
Investment valuation at 31 August 2024
19,312
2,813
27,328
Investment valuation at 31 August 2025
20,400
3,018
30,028
__
_
___
Three year average
19,200
2,814
27,196


 Permanent Expendable Designated
endowment endowment
funds
£000
£000
£000
Investment income
372
112
328
Capital gains
1,426
197
2,176
Investment management costs
(16)
(2)
(26)
_


Total return for the year
1,782
307
2,478
_


Less application of income
(694)
(102)
(932)
New funds received
-
-
1,154
_


Net total return for the year
1,088
205
2,700
_


Unapplied total returns at 1 September 2024
7,675
_
Unapplied total return at 31 August 2025
8,763

Calculation of total return
Investment valuation at 31 August 2023
17,886
2,612
24,232
Investment valuation at 31 August 2024
19,312
2,813
27,328
Investment valuation at 31 August 2025
20,400
3,018
30,028
__
_
___
Three year average
19,200
2,814
27,196


 Total
£000
812
3,799
(44)
_
4,567

(1,728)
1,154
__
3,993
_
44,730
49,453
53,446
___
49,210
Available for distribution 31 August 2026
Amount available for distribution
year ending 31 August 2026		 _____
720
 _____
106
 _____
1,020
 _____
1,846

l 76 THE CORPORATION ANNUAL REPORT

77 l

2024/25

13.5 Notes to the financial statements Year ended 31 August 2025

12. Fixed asset investments (continued)

iii Overall portfolio structure

At 31 August 2025 the structure of the total portfolio was as follows:

Group Corporation
£000 £000
UK fixed interest 60,063 60,063
Global funds 16,835 16,835
Charity multi asset funds 36,416 35,811
Multi asset funds 4,382 4,382
Commodities 2,252 2,252
Private investments 1,487 1,487
Cash 4,872 4,872
UK equities 4,705 4,705
Hedge funds 8,561 8,561
Gilts and money markets 32,718 32,718
______ _____
Total 172,291 171,686
______ ______

iv HSEL

The Corporation owns 100% of the issued ordinary share capital of HSEL, a company registered in England. The shares in HSEL are included in unrestricted funds in the financial statements at a cost of £2.

v HISL

The Corporation owns 100% of the issued ordinary share capital of HISL, a company registered in England. The shares in HISL are included in unrestricted funds in the financial statements at a cost of £1.

vi HEIL

The Corporation owns 100% of the issued ordinary share capital of HEIL, a company registered in England. The shares in HEIL are included in unrestricted funds in the financial statements at a cost of £1. The Company was incorporated on 2 July 2021 and has been dormant since that date.

13.5 Notes to the financial statements

Year ended 31 August 2025

13.Debtors Group Corporation Corporation
2025 2024 2025 2024
£000 £000 £000 £000
Fees, recharges and extras 14,467 509 14,466 509
Amounts owed by Group undertakings - - 2,942 3,733
Accrued interest on corporate bonds 960 975 960 975
Other debtors and prepayments 5,320 5,859 1,943 2,252
VAT recoverable through Capital Goods Scheme 7,353 - 7,353 -
_____ _____ _____ _____
28,100 7,343 27,664 7,469
_____ _____ _____ _____

All debtors are due within one year, except for £7,353,000 of VAT recoverable through the Capital Goods Scheme.

14.Creditors:amounts falling due within one year Group Corporation Corporation
2025 2024 2025 2024
£000 £000 £000 £000
Bank overdrafts 6,104 500 6,104 500
Fees received in advance 22,750 13,327 22,750 13,327
Advanced fees 206 - 206 -
Other taxes and social security 2,509 1,026 2,509 1,026
Amounts due to suppliers 1,870 1,589 1,724 1,482
Accruals 3,377 3,439 3,376 3,438
Other creditors
Development loans
Entry deposits		 1,925
206
8,162		 1,899
206
8,863		 1,069
206
8,162		 1,093
206
8,863
Retention 660 1,767 660 1,767
Finance leases 54 19 54 19
Deferred consideration 270 270 270 270
Amounts owed to group undertakings - - 212 572
_____ _____ _____ _____
48,093 32,905 47,302 32,563
_____ _____ _____ _____

The bank overdraft is a short-term Lombard facility with EFG International, which is secured on investments.

All entry deposits have been classified as amounts falling due within one year. This has meant £5,527,000 has been moved from amounts falling due after more than one year to amounts falling due within one year for the year 2024.

  1. Creditors: amounts falling due after more than one year
Creditors:amounts falling due after m ore than one year
Group Corporation
2025 2024 2025 2024
£000 £000 £000 £000
Bond 89,738 89,730 89,738 89,730
Development loans 412 618 412 618
Amounts owed to HDT - - 2,750 1,900
Other loans 2,750 1,900 - -
Deferred consideration - 270 - 270
Finance leases 238 286 238 286
_____ _____ _____ _____
93,138 92,804 93,138 92,804
_____ _____ _____ _____

l 78 THE CORPORATION ANNUAL REPORT

79 l

2024/25

13.5 Notes to the financial statements

Year ended 31 August 2025

Bonds

The Corporation entered into a 40-year bond issue for £40 million with The Prudential Insurance Company of America that closed and funded on 11 February 2019 and is due for repayment on 11 August 2059. Interest at 3.3% per annum is computed on the basis of a 30/360-day year and payable semi-annually on 11 February and 11 August. The costs of issuing the bond are amortised over its remaining period and deducted from the principal sum raised.

A further 40-year bond issued for £50 million was entered into with The Prudential Insurance Company of America, Prudential Legacy Insurance Company of New Jersey, and Prudential Annuities Life Assurance Corporation. This bond issue closed and was funded on 18 June 2021 and is due for repayment on 20 June 2061. Interest at 2.7% per annum is computed on the basis of a 30/360-day year and payable semi-annually on 18 December and 18 June. The costs of issuing the bond are amortised over its remaining period and deducted from the principal sum raised.

13.5 Notes to the financial statements

Year ended 31 August 2025

17. Capital commitments

Group and Corporation

At 31 August 2025, capital works contracted for amounted to £14,010,000 (2023/24 - £18,808,000).

2025 2024
£000 £000
Commitments within one year 13,322 14,972
Commitments over one year 688 3,836
_____ _____
14,010 18,808
_____ _____

Development loans

On 1 August 2008, the Corporation entered into a 20-year unsecured term loan of £4.7m with Santander UK plc to finance redevelopment at John Lyon School. Under the terms of this loan, there were no capital repayments during the first three years. On 1 August 2008, £3.5m of the loan was drawn down and the applicable interest rate for this element fixed at 5.8% for the loan period, payable quarterly. The outstanding balance on this loan at 31 August 2025 was £0.62m.

Amounts repayable within one year
Amounts repayable between two and five years		 2025
2024
£000
£000
206
206
412
618
_
_
618
824

16. Operating lease commitments

Group and Corporation

As at 31 August 2025, the minimum total lease payments to which the Corporation is committed under non-cancellable operating leases (plant and equipment) are:

Expiring within one year
Expiring within two to five years
Expiring more than five years		 2025
£000
183
290
-
____
473
 2024
£000
184
326
-
____
510

l 80 THE CORPORATION ANNUAL REPORT

81 l

2024/25

13.5 Notes to the financial statements

Year ended 31 August 2025

18. Pension liabilities

Group and Corporation

Pension scheme liabilities are summarised as follows:

Non-teaching staff defined benefit scheme
Other benefit arrangements
Total pension liability
Total decrease in liability (see 18(i) c)		 2025
£000
2,998
105
_
3,103
___
(1,401)
 2024
£000
4,394
110
_
4,504
___
(615)

(i) Non-teaching staff defined benefit scheme - HSSSPS

HSSSPS, a scheme for eligible non-teaching staff, who are all employed by the Corporation but work on the activities of either Harrow School, John Lyon School, HSEL, HDT or the Harrow Association, provides benefits based on final pensionable pay. Salary and related costs, including pension costs, are allocated to the relevant schools or entities. The assets of the HSSSPS are held separately from those of each entity, being invested with an insurance company (Aviva plc). Contributions to the HSSSPS are charged to the SoFA of the School, the Trust and the Association, and the profit and loss account of HSEL so as to spread the cost of pensions over employees’ working lives. The HSSSPS was closed to new entrants on 13 June 2003 and closed to future accrual on 30 April 2017.

Actuarial valuations are carried out triennially for funding purposes, using the attained age method, the most recently available being dated 31 August 2021. The main assumptions were a discount rate before and after retirement set by reference to the RiskFirst Gilt curve, RPI inflation set by reference to the RiskFirst RPI Gilt inflation curve, CPI inflation of RPI minus 0.8% and pension increase assumptions for revalued deferred pensions before retirement of CPI limited to 5% and pension increases in payment of 3% for pre- and post-88 GMP, 5% for pre-2001 and index-linked increase with RPI limited to 5% for post-2001. The demographic assumptions used the AC00 table for pre-retirement and 104% and 95% of the SP2A tables for males and females for post-retirement.

The actuarial valuation of the HSSSPS as at 31 August 2021 revealed that the statutory funding objective was not met i.e. there were insufficient assets to cover the scheme’s technical provisions and there was a funding shortfall of £7,773,000. The HSSSPS’s Trustees have resolved to return the funding level to 100% by 2038. As a consequence, the Foundation Governors committed to extend the current annual deficit recovery programme agreed in the 2018 valuation by five years to 30 September 2038, with payments rising by 3% per annum from 2021/22 until September 2038.

The scheme contributions paid for the year were £418,000 (2023/24 - £406,000). The expected scheme contributions for the year ending 31 August 2025 are estimated at £955,550.

Financial reporting standard (FRS) 102 – retirement benefits

An annual actuarial valuation is carried out for the purpose of compliance with FRS 102 and was updated to 31 August 2025 by an independent qualified actuary. As required by FRS 102, the defined benefit liabilities have been measured using the attained age method. The assets and liabilities include the value of pensions in payment, the majority of which are secured with insured annuities.

13.5 Notes to the financial statements

Year ended 31 August 2025

Group and Corporation

(i) Non-teaching staff defined benefit scheme HSSSPS (continued)

The amounts recognised in the balance sheet are as follows:

2025 2024
£000 £000
Present value of obligations (15,427) (18,165)
Fair value of plan assets 12,429 13,771
______ ______
Scheme deficit (2,998) (4,394)
______ ______
a) Changes in the present value of the scheme obligations:
Opening defined benefit obligation 18,165 17.973
Past service cost - (10)
Interest cost 884 933
Actuarial (gain)loss/ (excluding assets) (2,625) 9
Benefits paid (997) (740)
______ ______
Defined benefit obligations at the end of the year 15,427
______		 18,165
______
b) Changes in the fair value of the scheme assets are as follows:
Opening fair value of scheme assets
Interest income on scheme assets
Return on assets excluding interest income		 13,771
674
(1,378)		 12,969
679
511
Employer contributions 418 406
Benefits paid (997) (740)
Scheme administration cost (59) (54)
______ ______
Fair value of scheme assets at the end of the year 12,429 13,771
______ ______
c) The amounts included in the SoFA are as follows:
Interest income on scheme assets (674) (679)
Interest on pension liabilities 884 933
____ ___
Net finance cost (see note 7) 210 254
Current service cost 59 54
Past service costs - (10)
Contributions paid (418) (406)
____ ____
FRS 102 credit before actuarial gains/losses
(Decrease) in other benefit arrangements		 (149)
(5)		 (108)
(5)
____ ____
Total (credit) to SoFA (see note 7) (154) (113)
FRS 102 actuarial (gains)
Movement in non-consolidated entity liability		 (1,247)
-		 (504)
2
_____ ____
(Decrease) in liability (1,401) (615)
_____ ____

l 82 THE CORPORATION ANNUAL REPORT

83 l

2024/25

13.5 Notes to the financial statements

Year ended 31 August 2025

18. Pension liabilities (continued)

Group and Corporation

d) The major categories of scheme assets as a percentage of total scheme assets are as follows:


follows:
2025 2024
% %
Fixed interest and liability driven investment 41 44
Cash and other 2 5
Equities and properties 20 16
Insured annuities 8 9
Diversified growth 29 26
___ ___

The overall expected rate of return on the scheme assets is determined by reference to yields available on government bonds, corporate bonds, bank base rates and incorporating appropriate risk margins where appropriate.


margins where appropriate.
2025 2024
£000 £000
Actual return on the scheme assets in the year (763) 1,136
___ ____
2025 2024
% %
Inflation assumption (RPI) 2.9 3.0
Inflation assumption (CPI) 2.4 2.5
Discount rate 5.9 5.0
Rate of increase in salaries 3.9 4.0
Future LPI pension increases 2.9 3.0
Assumed life expectations on retirement at age 65:
Retiring today – males 20.5 21.2
Retiring today – females 23.3 23.9
Retiring in 20 years – males 22.1 22.8
Retiring in 20 years – females 24.5 25.4

f) The amounts for the current and previous periods are as follows:

2025 2024 2023 2022 2021
£000 £000 £000 £000 £000
Present value of obligations (15,427) (18,165) (17,973) (20,413) (31,093)
Fair value of plan assets 12,429 13,771 12,969 16,077 22,276
______ ______ ______ ______ ______
Scheme deficit (2,998) (4,394) (5,004) (4,336) (8,817)
_____ _____ _____ _____ _____
Experience adjustment on scheme assets 1,378 (511) 3,466 6,277 (1,582)
Percentage of scheme assets -11.1% 3.7% -26.7% -38.7% 7.1%
Experience adjustment on scheme liabilities (2,625) 9 (2,644) (10,521) 602
Percentage of scheme liabilities 17.0% 0.0% 14.7% 51.5% 1.9%
Cumulative scheme actuarial losses (3,825) (5,072) (5,574) (4,752) (9,046)

13.5 Notes to the financial statements Year ended 31 August 2025

Group and Corporation

(ii) Other benefit arrangements

The value of the unfunded liability arising from these arrangements at 31 August 2025 was updated by an independent qualified actuary on an FRS102 basis. The movements on the provision required to meet the future liabilities arising under the arrangements are as follows:

Provision at beginning of year
Decrease in provision

Provision at end of year

After more than one year		 2025
£000
110
(5)
_
105
_
105
 2024
£000
115
(5)
_
110
_
110

(iii) Teachers’ Pension Scheme

The Corporation participate in the Teachers’ Pension Scheme (“the TPS”) for teaching staff. The pension charge for the year includes contributions payable to the TPS of £3,831,000 (2023/24 - £3,598,000) and at the year-end £300,309 (2024 - £318,000) was accrued in respect of contributions to TPS.

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 2020 and the Valuation Report was published in October 2023. The Valuation Report shows notional assets of £222.2bn and liabilities of £262bn, resulting in a scheme deficit of £39.8bn.

The employer contribution rate for the TPS is 28.6%, and employers are also required to pay a scheme administration levy of 0.08% giving a total employer contribution rate of 28.68%.

(iv) Other defined contribution schemes

A defined contribution scheme now known as the Harrow Corporation Pension Scheme is offered to eligible employees. The amount recognised in the SoFA for the year was £1,622,000 (2023/24 - £1,029,000). The expected Scheme contributions for the year ending 31 August 2026 are estimated at £2,350,000.

l 84 THE CORPORATION ANNUAL REPORT

85 l

2024/25

13.5 Notes to the financial statements

Year ended 31 August 2025

  1. Allocation of consolidated net assets for the year ended 31 August 2025 The net assets at 31 August 2025 are held for the various funds as follows:
Tangible Net current
Long
fixed Investment assets/ term
assets properties Investments (liabilities) liabilities
Total
£000
£000		 £000 £000 £000
£000
Capital funds
Permanent endowment 3,279
995		 35,945 616 - 40,835
Expendable endowment 27
77		 8,480 319 - 8,903
_____
_____		 _____ _____ _____ _____
Total capital funds 3,306
1,072		 44,425 935 - 49,738
_____
_____		 _____ _____ _____ _____
Income funds
Restricted
The Corporation -
-		 290
5,284		 - 5,574
Subsidiaries -
-		 606 2,144 (2,750)
-
Unrestricted
Designated -
-		 117,411 - (89,738) 27,673
General 166,640
516		 9,559 (28,679) (3,753) 144,283
Subsidiaries 6
-		 - 3,043 - 3,049
_____
_____		 _____ _____ _____ _____
Total income funds 166,646
516
127,866
(18,208)		 (96,241) 180,579
_____
_____		 _____ _____ _____ _____
_____
_____		 _____ _____ _____ _____
Total funds 169,952
1,588		 172,291 (17,273) (96,241) 230,317
_____
_____		 _____ _____ _____ _____

The movement in reserves for the various funds for the year ended 31 August 2025 are as follows:

Balance Income Expenditure Gains Transfers Balance
brought and carried
forward losses forward
£000 £000 £000 £000 £000
£000
Capital funds
Permanent endowment 38,010 916 (71) 2,485 (505) 40,835
Expendable endowment 8,188 302 (71) 586 (102)
8,903
_____ _____ _____ _____ _____
_____
Total capital funds 46,198 1,218 (142) 3,071 (607) 49,738
_____ _____ _____ _____ _____
_____
Income funds
Restricted
The Corporation 3,862 2,172
(6,554)		 1,093
5,001		 5,574
Subsidiaries (686) 2,002 - (1,316) -
-
Unrestricted
Designated 22,409 - - 5,264
-		 27,673
General 140,635 67,330 (72,963) 7,932 1,349 144,283
Subsidiaries 1,737 18,063 (5,743) (5,265) (5,743)
3,049
_____ _____ _____ _____ _____
_____
Total income funds 167,957 89,567 (85,260) 7,708 607 180,579
____ ____ ____ ____ ____
____
____ ____ ____ ____ ____
____
Total funds 214,155 90,785 (85,402) 10,779 - 230,317
____ ____ ____ ____ ____
____

13.5 Notes to the financial statements

Year ended 31 August 2025

  1. Allocation of consolidated net assets for the year ended 31 August 2024 The net assets at 31 August 2024 are held for the various funds as follows:
Tangible Net current Long
fixed Investment assets/ term
assets properties Investments (liabilities) liabilities
Total
£000 £000 £000
£000		 £000
£000
Capital funds
Permanent endowment 3,360 995 33,208
447		 - 38,010
Expendable endowment 301 77 7,590
220		 - 8,188
_____ _____ _____
_____		 _____ _____
Total capital funds 3,661 1,072 40,798
667		 - 46,198
_____ _____ _____
_____		 _____ _____
Income funds
Restricted
The Corporation - - 260
3,602		 - 3,862
Subsidiaries - - 826
388		 (1,900)
(686)
Unrestricted
Designated - - 115,984
(3,845)		 (89,730) 22,409
General 165,991 516 6,606
(20,004)		 (12,474) 140,635
Subsidiaries 6 - -
1,731		 - 1,737
_____ _____ _____
_____		 _____ _____
Total income funds 165,997 516 123,676
(18,128)		 (104,104) 167,957
_____ _____ _____
_____		 _____ _____
_____ _____ _____
_____		 _____ _____
Total funds 169,658 1,588 164,474
(17,461)		 (104,104) 214,155
_____ _____ _____
_____		 _____ _____
The movement in reserves for the various funds for the year ended 31 August 2024 are as follows:
Balance Income Expenditure
Gains Transfers		 Balance
brought and carried
forward losses forward
£000 £000 £000
£000		 £000
£000
Capital funds
Permanent endowment 35,078 - (53)
3,428		 (443) 38,010
Expendable endowment 7,331 178 (4)
788		 (105)
8,188
_____ _____ _____
_____		 _____
_____
Total capital funds 42,409 178 (57)
4,216		 (548) 46,198
_____ _____ _____
_____		 _____
_____
Income funds
Restricted
The Corporation 4,314 2,844 (6,467)
615		 2,556
3,862
Subsidiaries (213) 48 (8)
(513)		 -
(686)
Unrestricted
Designated 15,874 - (10)
7,283		 (738) 22,409
General 132,343 67,736 (72,703)
1,523)		 11,736 140,635
Subsidiaries 1,594 16,953 (5,815)
2,011		 (13,006)
1,737
_____ _____ _____
_____		 _____
_____
Total income funds 153,912 87,581 (85,003)
10,919		 548 167,957
____ ____ ____
____		 ____
____
____ ____ ____
____		 ____
____
Total funds 196,321 87,759 (85,060)
15,135		 - 214,155
____ ____ ____
____		 ____
____

l 86 THE CORPORATION ANNUAL REPORT

87 l

2024/25

13.5 Notes to the financial statements Year ended 31 August 2025

19. Allocation of consolidated net assets (continued)

The Corporation has a number of investment funds which are grouped together for reporting purposes and are listed below. In addition to the specific funds the Corporation has general restricted funds.

13.5 Notes to the financial statements

Year ended 31 August 2025

20. Indemnity insurance

Professional indemnity and liability insurance for Foundation Governors is purchased by the Corporation’s Schools. The insurance is in respect of claims arising from any negligent act, error or omission committed in good faith and covers Foundation Governors and the Corporation’s staff.

Permanent endowment

School and Lyon Foundation (inc Philathetic Trust)

Shepherd Churchill Bequest

Harrow Awards Funds*

LC Wilson Bequest*

Foundation Awards*

Harrow Challenge

Expendable endowment

JP Apcar Trust

Harrow Challenge*

Harrow Awards Funds

Restricted funds

Peter Beckwith Trust

To support bursaries, awards and other charitable activities benefiting Harrow School pupils, including sporting and recreation facilities

To support bursaries, awards for Harrow School pupils and other areas of need including capital projects

To support bursaries and awards for Harrow School pupils

To support bursaries and awards for Harrow School pupils

To support bursaries and awards for Harrow School pupils

To support bursaries and awards for Harrow School pupils

To be used for land, buildings, or other infrastructure requirements

To support bursaries, awards and other pupil-focused activities for Harrow School pupils

To support bursaries and awards for Harrow School pupils

To support boys at prep schools and Harrow School

The cost of the insurance amounted to £10,000 (2023/24 - £10,000).

21. Related party transactions

Transactions with subsidiaries during the year, together with the outstanding balances at the year end are detailed below. The transactions include payments for the provision of staff and administrative services.

Related party transactions for the year ended 31 August 2025 transactions for the year ended 31 August 2025 transactions for the year ended 31 August 2025
Income Expenditure Qualifying Debtor Creditor
donation balance
balance
£000 £000 £000 £000 £000
HSEL HSEL 426 - 680 674 -
HISL HISL 5,918 (60) 5,918 3,331 -
HDT HDT 5,877 - 5,785 144 (2,750)

l 88 THE CORPORATION ANNUAL REPORT

89 l

2024/25

13.5 Notes to the financial statements

Year ended 31 August 2025

21. Related party transactions (continued)

Related party transactions for the year ended 31 August 2024

Income Expenditure Qualifying Debtor Creditor
donation balance
balance
£000 £000 £000 £000 £000
HSEL HSEL 332 (685) 259 317 -
HISL HISL 5,497 (37) 5,497 2,771 -
HDT HDT 7,250 (81) 7,50 244 (1,900)

The Corporation: amounts owed to HDT

HDT has entered in to loan agreements with third parties, which are unsecured and interest-free. The Corporation has entered in to loan arrangements with HDT correspondingly and therefore owes the same amount to HDT.

2025 2024
£’000 £’000
Amounts repayable within one year - -
Amounts repayable between two and five years 2,750 1,900
Amounts repayable after five years - -
____ ____
2,750 1,900
____ ____

22. Contingent assets (legacies)

During the financial year 2019/20 HDT received a property as a legacy and which is subject to the interest of a life tenant. In line with the Charities SORP, where a legacy is subject to the interest of a life tenant, the legacy is not recognised as income until the death of the life tenant. The market value of the property as at 31 August 2025 is estimated to be in the region of £975,000.

Total legacy donations amounting to £1,049,200 are anticipated, which consists of £49,200 in cash gifts and four properties valued at approximately £1,000,000. HDT has been notified of future legacy receipts totalling £49,200 (2023/24 - £14,391) which have not yet been recognised in the financial statements, as recognition criteria set out in the accounting policies have not yet been achieved. During the financial year 2024/25, HDT received an estate as a legacy, consisting of four properties. In line with the Charities SORP, the legacy is not recognised as income until probate has been granted. The market value of the properties as at 31 August 2025 is estimated to be in the region of £1,000,000.

23. Post balance sheet events

On 5 January 2026 the Corporation announced a new partnership with Lockers Park School in Hertfordshire. The Corporation will be the sole member of the Lockers Park School Trust Limited (company number 01090034 and registered with charity number 311061) on completion, which will occur in Spring 2026.

13.5 Notes to the financial statements

Year ended 31 August 2025

24. Statement of financial activities for the year ended 31 August 2024

__ _

Expenditure:
Raising funds
Fundraising costs
1,313
96
-
1,409
Non ancillary trading expenses
4,724
-
-
4,724
Finance costs
7
3,466
-
-
3,466
Investment management costs
592
-
57
649

10,095
96
57
10,248

Charitable activities
Teaching costs
28,349
-
-
28,349
Welfare costs
8,828
-
-
8,828
Premises costs
18,377
-
-
18,377
Support costs
7,337
22
-
7,359
Grants, awards and prizes
5ii
-
6,364
-
6,364
Ancillary trading expenses
5,001
-
-
5,001
Governance costs
534
-
-
534

68,426
6,386
-
74,812
_ _
_
Total expenditure
78,521
6,482
57
85,060
___
_ _

Net income before transfers and investment gains
6,168
(3,590)
121
2,699
Transfers between funds
8
(2,008)
2,556
(548)
-
Gains on investment assets
12
10,306
109
4,216
14,631

_ _

Net income/(expenditure)
14,466
(925)
3,789
17,330
Actuarial gain on defined
benefit pension scheme
18 (i) c
504
-
-
504
_
__
Net movement in funds for the year
14,970
(925)
3,789
17,834
Balances at beginning of year
149,811
4,101 42,409
196,321
__

Balances at end of year
164,781
3,176 46,198
214,155

Income funds
Capital funds
Unrestricted Restricted Endowment
funds
funds
funds
Total
Notes

Income and endowments from:
£000
£000
£000
£000
Charitable activities
School fees receivable
1
58,477
-
-
58,477
Ancillary trading income
2i
5,853
-
-
5,853
Charitable grants received
2ii
-
1,083
-
1,083
Voluntary sources
Other charitable income
2iii
6,206
1,548
174
7,928
Non ancillary trading income
2iv
11,021
-
-
11,021
Other incoming resources
3
197
91
-
288
Investments
Investment income
4
2,935
170
4
3,109

Total
84,689
2,892
178
87,759
___
Expenditure:		 __ _

Expenditure:
Raising funds
Fundraising costs
1,313
96
-
1,409
Non ancillary trading expenses
4,724
-
-
4,724
Finance costs
7
3,466
-
-
3,466
Investment management costs
592
-
57
649

10,095
96
57
10,248

Charitable activities
Teaching costs
28,349
-
-
28,349
Welfare costs
8,828
-
-
8,828
Premises costs
18,377
-
-
18,377
Support costs
7,337
22
-
7,359
Grants, awards and prizes
5ii
-
6,364
-
6,364
Ancillary trading expenses
5,001
-
-
5,001
Governance costs
534
-
-
534

68,426
6,386
-
74,812
_ _
_
Total expenditure
78,521
6,482
57
85,060
___
_ _

Net income before transfers and investment gains
6,168
(3,590)
121
2,699
Transfers between funds
8
(2,008)
2,556
(548)
-
Gains on investment assets
12
10,306
109
4,216
14,631

_ _

Net income/(expenditure)
14,466
(925)
3,789
17,330
Actuarial gain on defined
benefit pension scheme
18 (i) c
504
-
-
504
_
__
Net movement in funds for the year
14,970
(925)
3,789
17,834
Balances at beginning of year
149,811
4,101 42,409
196,321
__

Balances at end of year
164,781
3,176 46,198
214,155

Income funds
Capital funds
Unrestricted Restricted Endowment
funds
funds
funds
Total
Notes

Income and endowments from:
£000
£000
£000
£000
Charitable activities
School fees receivable
1
58,477
-
-
58,477
Ancillary trading income
2i
5,853
-
-
5,853
Charitable grants received
2ii
-
1,083
-
1,083
Voluntary sources
Other charitable income
2iii
6,206
1,548
174
7,928
Non ancillary trading income
2iv
11,021
-
-
11,021
Other incoming resources
3
197
91
-
288
Investments
Investment income
4
2,935
170
4
3,109

Total
84,689
2,892
178
87,759
___
Expenditure:		 __ _

Expenditure:
Raising funds
Fundraising costs
1,313
96
-
1,409
Non ancillary trading expenses
4,724
-
-
4,724
Finance costs
7
3,466
-
-
3,466
Investment management costs
592
-
57
649

10,095
96
57
10,248

Charitable activities
Teaching costs
28,349
-
-
28,349
Welfare costs
8,828
-
-
8,828
Premises costs
18,377
-
-
18,377
Support costs
7,337
22
-
7,359
Grants, awards and prizes
5ii
-
6,364
-
6,364
Ancillary trading expenses
5,001
-
-
5,001
Governance costs
534
-
-
534

68,426
6,386
-
74,812
_ _
_
Total expenditure
78,521
6,482
57
85,060
___
_ _

Net income before transfers and investment gains
6,168
(3,590)
121
2,699
Transfers between funds
8
(2,008)
2,556
(548)
-
Gains on investment assets
12
10,306
109
4,216
14,631

_ _

Net income/(expenditure)
14,466
(925)
3,789
17,330
Actuarial gain on defined
benefit pension scheme
18 (i) c
504
-
-
504
_
__
Net movement in funds for the year
14,970
(925)
3,789
17,834
Balances at beginning of year
149,811
4,101 42,409
196,321
__

Balances at end of year
164,781
3,176 46,198
214,155

Income funds
Capital funds
Unrestricted Restricted Endowment
funds
funds
funds
Total
Notes

Income and endowments from:
£000
£000
£000
£000
Charitable activities
School fees receivable
1
58,477
-
-
58,477
Ancillary trading income
2i
5,853
-
-
5,853
Charitable grants received
2ii
-
1,083
-
1,083
Voluntary sources
Other charitable income
2iii
6,206
1,548
174
7,928
Non ancillary trading income
2iv
11,021
-
-
11,021
Other incoming resources
3
197
91
-
288
Investments
Investment income
4
2,935
170
4
3,109

Total
84,689
2,892
178
87,759
___
Expenditure:
_____
2,892 178
87,759
_____ __
_
-
1,409
-
4,724
-
3,466
57
649


57
10,248


-
28,349
-
8,828
-
18,377
-
7,359
-
6,364
-
5,001
-
534


-
74,812
_
__
57
85,060
_


121
2,699
(548)
-
4,216
14,631

__

3,789
17,330
-
504
__


3,789
17,834
42,409
196,321


46,198
214,155


___
_____
96
-
-
-
_
96

-
-
-
22
6,364
-
-
__
6,386
_
6,482
_
(3,590)
2,556
109

(925)
-
__
(925)
4,101
_____
3,176

l 90 THE CORPORATION ANNUAL REPORT

91 l

2024/25

Appendix 1

Glossary of terms

The Corporation

A charity comprising Harrow School and John Lyon School ("the Schools")

The Group

The Corporation and three principal entities, namely Harrow International Schools Limited, Harrow Development Trust and Harrow School Enterprises Limited

Consolidated and consolidation

The presentation in this annual report of the financial statements of the Corporation and the Group combined

The Foundation

John Lyon’s Foundation, which comprises the Corporation and Group and a separate legal entity and charity, John Lyon’s Charity. The Corporation is sole trustee of John Lyon's Charity

Appendix 2

Contact information

John Lyon’s Foundation Harrow School Harrow International Schools Limited Harrow School Enterprises Limited Harrow Development Trust

5 High Street Harrow on the Hill Middlesex HA1 3AP

John Lyon School

Middle Road Harrow on the Hill Middlesex HA2 0HN

Foundation Governors

The appointed members of the governing body of the Corporation

Trustees

The Governors and Foundation Governors acting in their capacity as charity Trustees of the Corporation

Endowments

Bequests of assets to the Corporation which must either be retained (permanent) or can be used (expendable)

Trust or trusts

May refer in the financial statements to charities linked to the Corporation or to funds, either of which hold expendable or permanent endowment for the Corporation

Fundraising

Activities undertaken principally by Harrow Development Trust to support Harrow School

Statement of financial activities (SoFA)

The summary of the financial performance of the Corporation in reporting period (2024/25)

The Charter

The principal founding document of the Corporation

Objects

The precise charitable aims of the Corporation as set out in the Charter

l 92 THE CORPORATION ANNUAL REPORT

2024/25 93 l

Part of