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2021-08-31-accounts

Fairfield PNEU School (Backwell) Limited

(A company limited by guarantee)

Annual Report and Financial Statements For the year ended 31 August 2021

Charity no: 310215 Company no: 00814684

Fairfield PNEU School (Backwell) Limited

Annual report and financial statements for the year ended 31 August 2021

Contents

Reference and Administrative Information 1
Report of the Trustees 2 - 7
Independent Auditor’s Report 8 - 10
Statement of Financial Activities 11
Balance Sheet 12
Cash Flow Statement 13
Notes to the Financial Statements 14 - 24

Fairfield PNEU School (Backwell) Limited

Reference and Administrative Information

Directors and Trustees:

Foundation Governors:

Mr Ryan Davies (Chairman) Mrs F Kennedy Mrs G Rowcliffe Mrs S Byles Ms M Stimson

Parent Governors:

Mr T Morgan

Headmistress:

Mrs L Barton

Registered Office:

Linemere Fairfield Way Backwell BRISTOL BS48 3PD

Auditors:

Corrigan Accountants Limited The Tramshed 25 Lower Park Row Bristol BS1 5BN

Bankers:

Svenska Handelsbanken AB (publ) First Floor, 43-44 Martingale Way Portishead BRISTOL BS20 7AW

Solicitors:

Trethowans LLP The Pavillion Botleigh Grange Business Park Hedge End Southampton SO30 2AF

1

Fairfield PNEU School (Backwell) Limited

Report of the Trustees for the year ended 31 August 2021

The Governors, who are the trustees of the charity for the purposes of the Charities Act and also the directors of the company for the purposes of the Companies Act, present their annual report and the audited financial statements for the year ended 31 August 2021.

Reference and Administrative Information

The School was founded in 1935 and is a charitable company limited by guarantee (company number 00814684) and a charity registered by the Charity Commission (charity number 310215).

The information in respect of the Governors, officers and advisors has been included on page 1 and forms part of this report.

Structure, Governance and Management

Governing Document

The organisation is a charitable company limited by guarantee, incorporated on 6 August 1964 and registered as a charity on 3 September 1964. The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association. In the event of the company being wound up members are required to contribute an amount not exceeding £1.

Recruitment and Appointment of the Board of Governors

The directors of the company are also charity trustees for the purposes of charity law and under the company’s Articles are known as members of the Board of Governors (Governors). Under the requirements of the Memorandum and Articles of Association the Board of Governors shall consist of a minimum of five and a maximum of sixteen Governors of whom, when the Board is complete, four shall be Parent and Friends Governors and twelve Foundation Governors.

Parent Governors may be nominated by parents of pupils currently attending the school and must, themselves, have a child at the school. Appointments are confirmed by the Board of Governors. Parent Governors are appointed for a maximum period of three years and are not subject to re– nomination as a Parent Governor. A Parent Governor shall resign when their child ceases to be a pupil at the school.

Friends Governors are nominated by persons invited by the Governors to be “Friends” of the School. Friends Governors are appointed for an initial period of four years and shall be eligible for re– election for a further term of four years.

Foundation Governors are appointed by the Board of Governors and serve for four years following which they are eligible for re–appointment for a further term of four years. Thereafter such Foundation Governors may only be re–appointed for a further term of four years by a special resolution of the Governors. Governors are required to vacate office at the next Annual General Meeting after their 75th birthday.

The Board of Governors consists of a mix of educational, business and financial skills. In an effort to maintain this broad skill mix individuals are approached, as necessary, to offer themselves for election to the Board of Governors. All applicants are required to complete an application form which asks for details of their relevant skills and experience.

Governor Induction and Training

Most governors are already familiar with the work of the School. Additionally, new governors are given an individual induction by the Chairman of the Board of Governors which covers:

2

Fairfield PNEU School (Backwell) Limited

Report of the Trustees for the year ended 31 August 2021 (continued)

Structure, Governance and Management (continued)

Governor Induction and Training (continued)

All new governors are also given a pack which has been prepared drawing information from various Charity Commission and Companies House publications. This shows their obligations both as a governor of the charity and as a director of the company and includes copies of the company’s Memorandum and Articles of Association, latest audited accounts and five–year development plan.

Where a governor has relevant experience or skills he may be invited to join one of the Governing Body’s four standing committees.

Ongoing training is provided to members of the Board of Governors, where appropriate, to enable them to undertake specific roles — such as a governor responsible for Child Protection in the school.

Feedback from new governors about their induction has been very positive.

Risk Management

The Governors hold responsibility for the management of the risks faced by the school. They have considered the major risks to which the school is exposed and continue to review regularly the controls necessary to mitigate those risks.

The Full Board of Governors is responsible for the management of the risks faced by the School; detailed consideration of financial risks is delegated to the Finance and General Purposes Committee.

Key controls implemented by the governors include:

Risks and uncertainties relating to the Covid-19 pandemic are discussed below.

Financial Risks

The risk on amounts owed to the School by its customers is low as the majority of debtors settle their accounts either in full on a termly basis or through external providers (who offer monthly payment facilities). The school’s funds are placed on interest bearing accounts to ensure maximum benefit from funds. To spread risk in the current economic climate, the governors have placed money not required for immediate requirements into deposit accounts with Handelsbanken, HSBC, Nationwide Building Society and Virgin Money which increases protection under the “Financial Services Compensation Scheme”. The school has fully repaid all loans during the year. The loan last year was held on long–term fixed rates to avoid large fluctuations in monthly repayments.

Health and Safety Risks

The school has a detailed Health and Safety Policy (reviewed and approved annually by the Board of Governors) which is supported by regular risk assessments. The school’s health and safety policies and procedures are assessed during inspections by the Independent Schools Inspectorate and the local authority (for premises licence renewals).

3

Fairfield PNEU School (Backwell) Limited

Report of the Trustees for the year ended 31 August 2021 (continued)

Structure, Governance and Management (continued)

Risk Management (continued)

Child Protection Risks

The school has a detailed Safeguarding and Child Protection Policy which is reviewed and approved at least annually by the Board of Governors. All staff (including administration and ancillary staff) have enhanced level Disclosure and Barring Service checks completed in advance of commencing work; all governors have enhanced level Disclosure and Barring Service checks completed on their appointment. All staff receive regular safeguarding and child protection training; the latest training was held in September 2021 and included the Prevent Duty. Safeguarding and Child Protection procedures are in line with the current Department for Education guidance.

Covid-19

The World Health Organisation declared the novel coronavirus (Covid-19) a pandemic in March 2020. The School delivered full-time teaching remotely throughout the subsequent lockdowns. The School operated a bubble system during the autumn term of 2020 and delivered full time remote teaching (often live teaching) during the spring term lockdown. Following a comprehensive risk assessment by the school, and reviewed by the Premises Committee members, the School safely reopened in early March 2021. Our smaller class sizes mean that we can maintain relatively small social bubbles and high standards of education. The Board will continue to monitor the guidance so that the risks relating to this unprecedented situation are managed appropriately.

Organisation and related parties

The day–to–day activities of the school are organised by the Headmistress who is assisted by the Facilities Bursar, school secretary, Financial Controller, Finance Officer and teaching staff. The Headmistress oversees the recruitment of all staff.

The Headmistress is responsible to the board of governors and reports directly to the Chairman of the Governing Council and the Finance Officer reports (jointly) to the Headmistress, Chairman and to the Finance and General Purposes Committee who are also Governors.

In addition to the full Board of Governors there are also four standing committees:

These meet at appropriate intervals. The full Board of Governors meets at least once a term.

Two governors (Mr R Davies and Mr T Morgan) had children educated at the school between 1 September 2020 and 31 August 2021). All governors pay full fees for their children’s education at the school subject to the benefit of any discounts, scholarships and bursaries for which they are eligible and which are potentially available to all parents.

4

Fairfield PNEU School (Backwell) Limited

Report of the Trustees for the year ended 31 August 2021 (continued)

Objectives and Activities

The charity’s objects and principal activities are “to advance education by carrying on in Great Britain a school or schools”.

The School will remain a day, co–educational, independent school offering education for children from 2 to 11+. It will continue to provide a broad, liberal education closely informed by the National Curriculum and within a Christian environment which aims to develop to the full the capabilities of each individual child. Pupil numbers will be based upon a single class for each year group with class sizes normally up to a maximum of 20 pupils. It will continue to prepare children both for the independent schools in the district and for the maintained secondary schools and aims to foster close and amicable relations with the local community. It will remain affiliated through the Independent Schools’ Association to the Independent Schools’ Council. As a non–profit making body, it will retain its charitable status.

In setting the School’s objectives the Governors have given careful consideration to the Charity Commission’s guidance on public benefit and on fee charging. To admit a prospective pupil the School needs to be satisfied that it will be able to educate and develop the pupil to the best of the pupil’s potential and in line with the general standards achieved by the pupil’s peers. Potential pupils are required to attend an assessment and informal observation to establish their current academic and emotional maturity.

It is important to the School that access to the education it provides is available to those who may not be able to afford its fees. To achieve this the school actively promotes its bursary scheme through which bursaries are awarded to new pupils of up to 100% of school fees, on the basis of financial need. During the 2020-2021 financial year 6 children benefited from means tested bursaries.

The school also seeks to continue to actively promote links with the local community, making its facilities available to external organisations, groups and clubs, by hosting and participating in interschool sports fixtures and quizzes, and taking part in community religious services, competitions and initiatives. The School has good links with local senior schools and offer work placements to students from local schools and universities.

Over the next five years the Governors will continue the programme of improving facilities and the education provision.

Achievements and Performance

This year 2020-2021 was an extremely busy and very successful one for the school and pupils. Year 6 pupils were very successful in winning places at senior Independent Schools and received five scholarship offers.

In Music and Drama there were the usual excellent assemblies, concerts and drama productions from pupils throughout the school during the autumn term but the pandemic prevented the KS2 spring term production. The summer term traditional Shakespeare production took place in the school hall this year with a restricted audience and Covid protocols in place.

The pandemic prevented fixtures taking place throughout lockdown and also once the children returned to school in the summer term.

5

Fairfield PNEU School (Backwell) Limited

Report of the Trustees for the year ended 31 August 2021 (continued)

Objectives and Activities (continued)

Our cross-curricular topic based curriculum throughout the year continues to be successfully delivered. 2020-2021 followed the themes of: Around the World in 67 days, How Does it Work, Land of the Rising Sun. Trips and visits included: Weston Pier, EYFS went to Wild Place Project, Year 6 went to PGL at Barton Hall, Years 4 and 5 went on a residential trip to Hooke Court and Year 3 to Kilve Court, before lockdown and COVID-19 prevented any more trips and visits.

Financial Review

The financial state of affairs of the school is shown in the accompanying financial statements and the Governors consider the result for the year to be satisfactory. In the Governors’ opinion the school assets are available and adequate to fulfil the school’s obligations for the provision of education.

Principal Funding Sources

The school has no permanent endowment funds.

The principal funding sources for the School are income derived from school fees — comprising mainly charges for educational provision, individual tuition and extra–curricular activities. Additional income is generated through hiring out school facilities to the local community. The school has a very active Parent Teacher Association which is raising funds to provide additional items for the school which will enhance the children’s learning.

Investment Policy

Aside from retaining a prudent amount in reserves each year most of the School’s funds are spent in the short term so there are no funds for long–term investment. Having considered the options available, the Board of Governors has decided to keep this money available in interest–bearing deposit accounts.

Reserves Policy

The Board of Governors has examined the School’s requirements for reserves in light of the main risks to the organisation.

As shown in note 17 to the accounts the School’s reserves have a balance of £1.46m. The closing value of our tangible assets, property, plant and equipment was £1.26m.

The Governors consider that given the strength of the charity’s balance sheet, the stable cashflow from student fees, the ongoing popularity of our School, and the available banking facility that can be called upon if need arises that there is no current need to build up a further free reserve. They have considered the uncertainties relating to the Covid-19 pandemic. The Governors recognise that the level of reserves fluctuates during periods of investment in the School Estate and the arrangements with our bank are in place to provide an adequate ‘safety net’ should it be required.

Plans for Future Periods

The School plans to continue the activities outlined above in the forthcoming years. The Board of Governors maintains an ongoing review of the School’s marketing strategy and practices to ensure sufficient recruitment of new pupils. The Board will also continue to monitor and assess risks to the School whether those risks are of a financial, health and safety or operational basis.

6

Falrfield PNEU School (Backwell) Limited The trustees (who are also directors of Fairfield PNEU School (Backwelll Limited for the purposes of ompany lawl are responsible for preparing the Trustees, Report and the financial statements in accordance with applicable law and United Kingdom Accounting St8ndards (United Kingdom Ggn8rally Accepted Accounting Pracllcel. Company law requires the trustees to prepare fsn8nclal statements for each financial year, which give a true and fair view of the stste of affairs of the chaTltable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for the year. In preparlng these financial slalements, the trustees are required to.. select suitable accounting policies and then apply them consistenlly- observe the methods and principles in the Charities SORP (FRS 1021., make judgements and estimates that are reasonable and prudent., stale whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial slatem8nts'. prepare the financial statements on the going concem basis unless11 is inappropriate lo presume that the chaTitable company will continue in opeTation. The trugtees are responslble for keBplng proper accounllng records that dis¢lose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of Ihe charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the trustees are aware: there is no ￿levant audit informatlon of which the charitable company's auditor is unaware.. and the tnjstees have taken all steps that they ought lo havg taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information. Small ¢ompany provlsions This report has been prepared in accordance with the Charities Statement of Recommended Practice applicable lo eharilies preparing Ihelr accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS102) { Charities SORP IFRS1021") and in aGGordance with the small companies regime under the Companies Act 2006. Approved by the Board of Governors on ..2.o....EeLe.n(Q).d..2.1.. and signed on its behalf by: Mr R Davies (Chairman)

Fairfield PNEU School (Backwell) Limited

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF FAIRFIELD PNEU SCHOOL (BACKWELL) LIMITED

Opinion

We have audited the financial statements of Fairfield PNEU School (Backwell) Limited (the ‘charitable company’) for the year ended 31 August 2021 which comprise the Statement of Financial Activities. Balance Sheet, Cash Flow 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 our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

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 charitable company's ability to continue as a going concern for a period of at least twelve 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.

Other information

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

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

8

Fairfield PNEU School (Backwell) Limited

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF FAIRFIELD PNEU SCHOOL (BACKWELL) LIMITED (continued)

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report.

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

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 6 the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements

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

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

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:

We obtained an understanding of the legal and regulatory frameworks applicable to the charitable company and the sector in which it operates.

We obtained an understanding of how the charitable company is complying with those legal and regulatory frameworks by making enquiries to management.

We assessed the susceptibility of the charitable company's financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included:

9

Fairfield PNEU School (Backwell) Limited

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of noncompliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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 Auditors' report.

Use of our report

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

Stuart Crisp BSc FCA (Senior Statutory Auditor) For and on behalf of Corrigan Accountants Limited (Statutory Auditors) The Tramshed, 25 Lower Park Row, Bristol, BS1 5BN. Date: 22 December 2021

10

Fairfield PNEU School (Backwell) Limited

Statement of Financial Activities for the year ended 31 August 2021

(including the Income and Expenditure Account)

Notes
Income and endowments from:
Donations and legacies
2
Charitable activities
Education – School fees
Investments
3
Other income
Total income
Expenditure on:
Charitable activities
Education
4, 5
Total expenditure
Net income/(expenditure)
6
Net movement in funds
Funds brought forward at 1 Sept
16, 17
Funds carried forward at 31 Aug
16, 17		 Unrestricted
Funds
Restricted
Funds
2021
2020
£
£
£
£
13,524
-
13,524
66,232
968,932
-
968,932
839,182
1,027
-
1,027
685
437
2,734
3,171
4,475
983,920
2,734
986,654
910,574
925,516
1,324
926,840
989,992
925,516
1,324
926,840
989,992
58,404
1,410
59,814
(79,418)
58,404
1,410
59,814
(79,418)
1,381,056
19,248
1,400,304
1,479,722
1,439,460
20,658
1,460,118
1,400,304

All income and expenditure is derived from continuing activities.

The Statement of Financial Activities includes all gains and losses recognised in the year.

11

Falrfleld PNEU School (Backwell) Llmlted Balance Sheel as at 31 Augvst 2021 (Company nvmbei: 00814684) 12 JAN 202Z Notes 2021 2020 Flxed assels Tangible asset5 10 1,264,600 1,273.495 Current assets Stock5 Debtors Cash al bank and in hand 250 29,611 369,352 399.213 250 23,216 283,764 307.230 Credilors: amounts falling due within one year 12 1203.6951 1180,4211 Net Current asse15 195,518 126.809 Tolal assets less evrrpnt Ilabllill•s 1,460.118 1,400,304 Creditors.. amount5 falling due after more than one year 13 Net asse15 1,460,118 1.400,304 The funds ofthe School: Unrestrlcted funds General fund Properly revaluation reserve 16 16 1,165,639 273,821 1,439,460 1.107,235 273,821 1,381,056 Restricted funds 16 20,658 19,248 Total School funds 16, 17 1.460.118 1,400,304 The linoncial stalements have been prepored in accoidonce wilh th& special provisions of Port 15 of the Companies Act relating lo small companie5 and constitute the annual accounls required by Ihe Companies Act 2006 and are for circulation lo Ihe members of the company. They are also prepared in accordonce with Charities SORP IFRS1021. Approved lor issue by the Board of Govemors on . and signed on ils behalf by: Mr R Davies (Chairman) Mrs S Byle5 IGovernorl 12

Fairfield PNEU School (Backwell) Limited

Cash Flow Statement for the year ended 31 August 2021

Cash used in operating activities
Net movement in funds
Add back depreciation charge
Deduct interest income shown in investing activities
Add back interest expense shown in financing
activities
(Increase) / decrease in debtors
Increase / (decrease) in creditors
Cash from / (used in) operating activities
Cash flows from investing activities
Interest income
Purchase of tangible fixed assets
Cash from / (used in) investing activities
Cash flows from financing activities
Repayment of borrowings
Interest paid
Cash used in financing activities
Increase / (decrease) in cash and cash
equivalents in the year
Cash and cash equivalents at the beginning of the
year
Total cash and cash equivalents at the end of the
year		 2021
£
2020
£
59,814
(79,418)
8,895
8,992
(1,027)
(685)
625
22
(6,395)
19,927
30,635
(22,401)
92,547
(28,760)
1,027
685
-
(6,558)
1,027
(5,873)
(7,361)
(7,168)
(625)
(22)
(7,985)
(7,190)
85,588
(41,823)
283,764
325,587
369,352
283,764

13

Fairfield PNEU School (Backwell) Limited

Notes to the Financial Statements for the year ended 31 August 2021

1 Accounting policies

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

(a) Basis of preparation

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

Fairfield PNEU School (Backwell) Limited constitutes a public benefit entity as defined by FRS 102.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.

The School reported a surplus of £59,814 for the year. The governors are of the view that, given the reported cash inflow in the year and the level of reserves at the year-end, reasonable assurance can be taken that the School will be able to meet its liabilities for the foreseeable future. This view is supported by income, expenditure and cashflow forecasts covering the period of 12 months from the date of approval of these financial statements. The governors have taken into account the uncertainties relating to the Covid-19 pandemic. Therefore these financial statements are prepared on the basis the School is a going concern.

(b) Legal status of the School

The School is a company limited by guarantee and is incorporated in England and Wales. The registered office is Linemere, Fairfield Way, Backwell, Bristol, BS48 3PD. The members of the company are the governors named on page 1. In the event of the School being wound up, the liability in respect of the guarantee is limited to £1 per member of the School.

(c) Income recognition

All incoming resources are included in the Statement of Financial Activities (SOFA) when all of the following criteria are met:

Income received in advance of a school term or year is deferred until the criteria for income recognition is met.

(d) Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the School; this is normally upon notification of the interest paid or payable by the bank.

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Fairfield PNEU School (Backwell) Limited

Notes to the Financial Statements for the year ended 31 August 2021 (continued)

1 Accounting policies (continued)

(e) Fund accounting

Unrestricted funds are available for use at the discretion of the governors in furtherance of the general objectives of the School.

Designated funds are unrestricted funds of the School which the governors have decided at their discretion to set aside to use for specific purpose.

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

Investment income and gains are allocated to the appropriate fund.

(f) Allocation of support costs

Support costs are those functions that assist the work of the School but do not directly undertake charitable activities. Support costs include back office costs, finance, personnel, payroll and governance costs which support the School’s educational activities. These costs are allocated between the cost of raising funds and expenditure on charitable activities. The basis of the allocation is given in note 5.

(g) Operating leases

Rentals applicable to operating leases where substantially all of the benefits and risk of ownership remain with the lessor are charged to the SOFA as incurred.

(h) Tangible fixed assets and depreciation

Fixed assets are initially recorded at cost. Depreciation has been charged on the fitting-out costs included within freehold buildings and furniture and equipment in use during the school year at rates calculated to write off the cost on a straight-line basis over their expected economic lives as follows:

Building fitting-out costs — 10% Furniture and equipment — 25%

Other than fitting-out costs, freehold property is not depreciated. The governors have considered Charities SORP (FRS 102) which permits exclusion of depreciation on properties on which the annual charge and accumulated depreciation charge are immaterial. Depreciation may be immaterial as a result of very long estimated useful economic lives or high estimated residual values. The governors consider that this exclusion applies to the School’s properties and accordingly have not depreciated them.

As permitted under the transitional provisions of FRS 102, the company has elected to treat as the deemed cost of its freehold land and buildings a previous GAAP revaluation of those assets. The difference between that valuation and historical cost is presented in a separate fund within unrestricted reserves.

(i) Stock

Stock consists of purchased goods for resale. Stocks are valued at the lower of cost or net realisable value after making due allowance for obsolete and slow moving stocks.

(j) Debtors

Trade and other debtors are recognised at the settlement amount due after any discounts offered. Prepayments are valued at the amount prepaid after taking into account any discounts due.

15

Fairfield PNEU School (Backwell) Limited

Notes to the Financial Statements for the year ended 31 August 2021 (continued)

1 Accounting policies (continued)

(k) Cash at bank and in hand

Cash at bank and in hand includes cash and short term highly liquid investments with a maturity of less than three months from the date of opening the deposit or similar account.

(l) Creditors and provisions

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

(m) Financial instruments

The School only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at the carrying value plus accrued interest less repayments. The finance charge to expenditure is at a consistent rate calculated using the effective interest rate method.

(o) Pensions

The School participates in the Teachers’ Pension Scheme (England and Wales) (“the TPS”), for its teaching staff.

The TPS is an unfunded multi–employer defined benefits pension scheme governed by the Teachers’ Pensions Regulations 2010 and from 1 April 2014, the Teachers’ Pension Scheme Regulations 2014.

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 governors are unable to confirm the School’s share of the underlying assets and liabilities of the TPS and therefore the scheme is accounted for as a defined contribution scheme.

The school also participates in a defined contribution Group Pension Scheme, administered by AVIVA, for its non-teaching staff. Contributions to this scheme are written off in the year in which they are paid.

2 Donations, legacies and grants

Donations
Government grant – Coronavirus Job Retention Scheme
Government grant – Early Years Funding		 2021
£
2020
£
-
300
12,514
1,010
58,068
7,864
13,524
66,232

Of the £13,524 received in 2021 (2020: £66,232) £Nil was restricted funds (2020: £Nil) and £13,524 (2020: £66,232) was unrestricted funds.

16

Fairfield PNEU School (Backwell) Limited

Notes to the Financial Statements for the year ended 31 August 2021 (continued)

3 Investment income


Investment income
2021 2020
£ £
Interest receivable 1,027 685

All of the School’s investment income arises from money held in interest bearing deposit accounts.

4 Analysis of expenditure on charitable activities

Teaching
Welfare
Premises
Support costs (see note 5)
School operating costs
Governance costs (see note 5)
Total resources expended
Previous year:
Teaching
Welfare
Premises
Support costs (see note 5)
School operating costs
Governance costs (see note 5)
Total resources expended		 Staff
costs
£
Other
direct
costs
£
2021
£
2020
£
558,339
66,638
624,977
671,332
55,727
1,356
57,083
70,219
15,548
73,865
89,413
90,755
39,237
51,395
90,632
90,227
668,851
193,254
862,105
922,533
47,384
17,351
64,735
67,460
716,235
210,605
926,840
989,993
Staff
costs
£
Other
direct
costs
£
2020
£
596,710
74,622
671,332
67,107
3,112
70,219
14,248
76,507
90,755
38,543
51,684
90,227
716,608
205,925
922,533
47,400
20,060
67,460
764,008
225,985
989,993

Of the £926,840 expenditure in 2021 (2020: £989,992) £925,516 was charged to unrestricted funds (2020: £983,229) and £1,324 to restricted funds (2020: £6,763).

17

Fairfield PNEU School (Backwell) Limited

Notes to the Financial Statements for the year ended 31 August 2021 (continued)

5 Analysis of governance and support costs

Governance costs and other support costs are apportioned to charitable activities undertaken in the year.

Wages and salaries
Employer’s social security costs
Employer’s pension costs
Catering
Advertising
Printing, postage, stationery and telephone
Computer costs
Equipment hire
Legal costs
Audit and accountancy
Bank charges
Loan interest
Pension scheme charges
Other sundry costs
Previous year:
Wages and salaries
Employer’s social security costs
Employer’s pension costs
Catering
Advertising
Printing, postage, stationery and telephone
Computer costs
Equipment hire
Legal costs
Audit and accountancy
Bank charges
Loan interest
Pension scheme charges
Other sundry costs		 Support
costs
£
Governance
costs
£
Total
£
Basis of
allocation
36,766
35,350
72,116
Time spent
1,283
3,663
4,946
Time spent
1,188
8,371
9,559
Time spent
19,419
-
19,419
Support
9,941
-
9,941
Support
5,016
-
5,016
Support
10,511
-
10,511
Support
6,508
-
6,508
Support
-
10,771
10,771
Governance
-
4,680
4,680
Governance
-
625
625
Governance
-
75
75
Governance
-
1,200
1,200
Governance
-
-
-
As invoiced
90,632
64,735
155,367
Support
costs
£
Governance
costs
£
Total
£
Basis of
allocation
35,399
35,350
70,749
Time spent
915
3,679
4,594
Time spent
2,229
8,371
10,600
Time spent
17,998
-
17,998
Support
9,535
-
9,535
Support
6,274
-
6,274
Support
13,805
-
13,805
Support
4,072
-
4,072
Support
-
13,070
13,070
Governance
-
4,587
4,587
Governance
-
877
877
Governance
-
309
309
Governance
--
1,217
1,217
Governance
-
-
-
As invoiced
90,227
67,460
157,687

18

Fairfield PNEU School (Backwell) Limited

Notes to the Financial Statements for the year ended 31 August 2021 (continued)

6 Net income/(expenditure) for the year

Net income/(expenditure) for the year is stated after charging:

Operating leases – equipment
Loan interest payable
Auditor’s remuneration
Depreciation - on owned assets		 2021
£
2020
£
7,829
75
4,680
7,150
308
4,560
8,895
8,992

7 Taxation

The School is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.

8 Staff costs and numbers

Wages and salaries
Employer’s social security costs
Employer’s pension costs		 2021
£
2020
£
595,433
616,958
34,676
45,601
86,126
101,448
716,235
764,007

Pension costs are allocated to activities in proportion to the related staffing costs incurred and are wholly charged to unrestricted funds.

One employee received emoluments in excess of £60,000 (2020: none). The total of employee benefits received by key management personnel of the School was £108,050 (2020: £108,164).

The governors did not receive any remuneration or receive any other benefits from employment with the School in the year (2020: £nil) neither were they reimbursed expenses for their services to the School in the year (2020: £nil).

No governor received payment for professional or other services supplied to School (2020: £nil).

The average number of employees during the year, calculated on a full–time equivalent basis was:

Teaching (including Teaching Assistants)
Administration
Catering		 2021
No.
16
4
2
22		 2020
No.
16
4
2
22

The average number of staff, calculated on a headcount basis, in the year was 40 (2020: 42)

19

Fairfield PNEU School (Backwell) Limited

Notes to the Financial Statements for the year ended 31 August 2021 (continued)

9 Pension costs

The School participates in the Teachers’ Pension Scheme (England and Wales) (“the TPS”), for its teaching staff.

The pension charge for the year includes contributions payable to TPS of £80,833 (2020: £88,893).

The TPS is an unfunded multi–employer defined benefits pension scheme governed by the Teachers’ Pensions Regulations 2014.

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 following scheme revaluations undertaken by the Government Actuary Department. The latest valuation report in respect of the TPS was prepared at 31 March 2016 and was published in March 2020. This report confirmed that the employer contribution rate for the TPS increased to 23.6% from September 2020, and therefore that rate took effect in the year under review.

The school also participates in defined contribution Group Pension Schemes administered by AVIVA, employees are given the option of becoming members of a scheme.

Contributions to these schemes are expensed in the year in which they are paid. The pension contribution for the year, including employees’ and employers’ contributions payable to the schemes, totals £19,585 (2020: £20,418).

At 31 August 2021 the School had contributions of £8,947 (2020: £9,073) outstanding in respect of defined contribution pension schemes.

20

Fairfield PNEU School (Backwell) Limited

Notes to the Financial Statements for the year ended 31 August 2021 (continued)

10
Tangible fixed assets
Freehold
land and
buildings
£
Furniture
and
equipment
£
Cost:
At 1 September 2020
1,411,592
326,962
Additions
-
-
At 31 August 2021
1,411,592
326,962
Depreciation:
At 1 September 2020
150,247
314,812
Charge for year
3,573
5,322
At 31 August 2021
153,820
320,134
Net book value:
At 31 August 2021
1,257,772
6,828
At 1 September 2020
1,265,015
10,914
Freehold land and buildings:
Purchases and additions at historical cost
Revaluation
Deemed cost as at date of transition to Charities SORP (FRS 102)
All the assets included above are all used for direct charitable purposes.		 Freehold
land and
buildings
£
Furniture
and
equipment
£
1,411,592
326,962
-
-		 Total
£
1,738,554
-
1,411,592
326,962		 1,738,554
150,247
314,812
3,573
5,322		 465,059
8,895
153,820
320,134		 473,954
1,257,772
6,828		 1,264,600
1,265,015
10,914		 1,273,495
£
1,137,771
273,821
1,411,592
11
Debtors
School fee debtors
Prepayments and accrued income
12
Creditors: amounts falling due within one year
Bank loan
Trade creditors
Deposits paid in advance
Accruals
Deferred income – fees received in advance
Other taxes and social security		 2021
£
2020
£
16,799
6,996
12,812
16,221
29,611
23,217
2021
£
2020
£
-
7,360
5,910
8,517
34,500
26,750
18,458
16,648
133,618
110,585
11,209
10,561
203,695
180,421

21

Fairfield PNEU School (Backwell) Limited

Notes to the Financial Statements for the year ended 31 August 2021 (continued)

13 Creditors: amounts falling due after one year

13
Creditors: amounts falling due after one year
Bank loan
14
Bank loans (secured)
Amounts falling due within one year
Amounts falling due after one year
Between one and two years
Between two and five years
In five years or more		 2021
£
2020
£
-
-
2021
£
2020
£
-
7,360
-
-
-
-
-
-
-
7,360
-
7,360

The bank loan was secured by a legal charge over the freehold interest in land and buildings at Fairfield PNEU School. Interest on the bank loan was charged at 2.85% variable.

For the previous year, the total amounts due in respect of bank loans represented the financial liabilities that are debt instruments measured at amortised cost.

15 Operating lease commitments

The following operating lease payments are committed to be paid:

Equipment leases payable:
Within one year
Between one and five years		 2021
£
2020
£
7,829
7,829
-
-
7,829
7,829

22

Fairfield PNEU School (Backwell) Limited

Notes to the Financial Statements for the year ended 31 August 2021 (continued)

16 Analysis of movement in funds

Unrestricted funds:
General Fund
Property Revaluation Reserve
Total unrestricted funds
Restricted funds:
Parents’ Fund
New Building Fund
PTA Fund
Total restricted funds
Total funds
Previous year:
Unrestricted funds:
General Fund
Property Revaluation Reserve
Total unrestricted funds
Restricted funds:
Parents’ Fund
New Building Fund
PTA Fund
Total restricted funds
Total funds		 At 1
September
2020
£
Income
£
Expenditure
£
Investment
gains
£
Transfers
£
At 31
August
2021
£
1,107,235
983,920
(925,516)
-
-
1,165,639
273,821
-
-
-
-
273,821
1,381,056
983,920
(925,516)
-
-
1,439,460
4,200
-
-
-
-
4,200
10,824
4,224
-
2,734
-
(1,324)
-
-
-
-
10,824
5,634
19,248
2,734
(1,324)
-
-
20,658
1,400,304
986,654
(926,840)
-
-
1,460,118
At 1
September
2019
£
Income
£
Expenditure
£
Investment
gains
£
Transfers
£
At 31
August
2020
£
1,182,604
907,860
(983,229)
-
-
1,107,235
273,821
-
-
-
-
273,821
1,456,425
907,860
(983,229)
-
-
1,381,056
4,200
-
-
-
-
4,200
10,824
8,273
-
2,714
-
(6,763)
-
-
-
-
10,824
4,224
23,297
2,714
(6,763)
-
-
19,248
1,479,722
910,574
(989,992)
-
-
1,400,304

Description, nature and purpose of funds:

The General Fund represents the free reserves of the School after allowing for all designated funds.

The Property Revaluation Reserve represents the historic revaluation gains arising on previous revaluations undertaken on freehold land and buildings owned by the School.

The Parents’ Fund represents donations from the Parents’ Association for the purpose of contributing to certain expenditure and for the purchase of specified items of capital equipment. Prior to 2020 the Parents’ and Teachers’ Association was de-registered as a charity and its assets and affairs brought under the control of the School. The PTA Fund represents the related income and expenditure.

The New Building Fund represents donations for this purpose from parents, past parents and pupils, and other well wishers.

When amounts held in restricted funds have been expended in accordance with the terms on which the funds were received, the restriction on the use of these funds is considered to have been discharged. Appropriate transfers are made from the restricted funds to the General Fund and relevant assets acquired are held in the General Fund.

23

Fairfield PNEU School (Backwell) Limited

Notes to the Financial Statements for the year ended 31 August 2021 (continued)

17 Analysis of net assets between funds

General Fund
Property Revaluation Reserve
Total unrestricted funds
Restricted funds:
Parents’ Fund
New Building Fund
PTA Fund
Total restricted funds
Total funds
Previous year:
General Fund
Property Revaluation Reserve
Total unrestricted funds
Restricted funds:
Parents’ Fund
New Building Fund
Total restricted funds
Total funds		 Tangible
fixed
assets
£
Net
current
assets
£
Long term
liabilities
£
At 31
August 2021
£
990,779
174,860
-
1,165,639
273,821
-
-
273,821
1,264,600
174,860
-
1,439,460
-
4,200
-
4,200
-
-
10,824
5,634
-
-
10,824
5,634
-
20,658
-
20,658
1,264,600
195,518
-
1,460,118
Tangible
fixed
assets
£
Net
current
assets
£
Long term
liabilities
£
At 31
August 2020
£
999,674
107,561
-
1,107,235
273,821
-
-
273,821
1,273,495
107,561
(7,358)
1,381,056
-
4,200
-
4,200
-
-
10,824
4,224
-
-
10,824
4,224
-
19,248
-
19,248
1,273,495
126,809
(7,358)
1,400,304

18 Related Party Transactions

Other than the education of children of Governors (see Report of The Trustees for detail), there have been no related party transactions in the year which require disclosure.

24