OpenCharities

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

2020-08-31-accounts

BEECHWOOD PARK SCHOOL LIMITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31[ST] AUGUST 2020

Company registered number: 00820476 Charity number: 311068

MOORE KINGSTON SMITH LLP

DEVONSHIRE HOUSE 60 GOSWELL ROAD LONDON EC1M 7AD

BEECHWOOD PARK SCHOOL LIMITED

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31[ST] AUGUST 2020

CONTENTS

Page
Company information 1
Governors’ report 2 – 12
Independent auditors’ report 13 – 15
Statement of financial activities 16
Balance sheet 17
Statement of Cash Flows 18
Notes to the financial statements 19 – 30

BEECHWOOD PARK SCHOOL LIMITED

GOVERNORS, OFFICERS AND ADVISERS

YEAR ENDED 31[ST] AUGUST 2020

GOVERNORS, DIRECTORS AND CHARITY TRUSTEES

The Governors of Beechwood Park School Limited (“the School”) are the School’s charity trustees under charity law and the directors of the charitable company. The members of the Governing Body who served in office as Governors during the year and subsequently are detailed below:

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11)
Mr G J Freer (Chairman) Resigned 31/08/2020 �
Mr S W Black* � � �
Mr A M Briscoe � � �
Mrs J A Brown Elected 7/12/2020
Mrs C E Cutler* (Vice Chairman) � �
Mr G P Freeman Elected 7/12/2020 � �
Mr J W J Gillespie
Mr M W Hammond Chairman from
1/9/2020		 � � � �
Mr J S Hodgson
Mr G E Mairs* � �
Dr R J Maloney
Ms Y M Mercer � �
Mrs L C Roberts � �
Mr N G Scragg Elected 7/12/2020 � �
Mrs K E Swaine �
Mr S J Thompson � � � �
Prof R M Viner � � �

OFFICERS

E W Balfour Head T J Blad Bursar/Clerk to the Governing Body (resigned 31/08/2020) A M C Ridler Bursar/Clerk to the Governing Body (with effect from 1/9/2020)

Principal Address and Registered Office

Beechwood Park School, Markyate, St Albans, Herts, AL3 8AW

Auditors

Moore Kingston Smith LLP, Devonshire House, 60 Goswell Road, London, EC1M 7AD

Legal Advisors

Farrer & Co LLP, 66 Lincoln’s Inn Fields, London, WC2A 3LH

Page 1

BEECHWOOD PARK SCHOOL LIMITED

GOVERNORS’ REPORT

FOR THE YEAR ENDED 31[ST] AUGUST 2020

The Governors present their report and the audited financial statements for the year ended 31st August 2020. This report represents a Directors’ report under the Companies Act 2006 and the Trustees’ report under the Charities Act 2011.

These financial statements comply with current law and regulatory requirements including the FRS 102 Charities SORP.

REFERENCE AND ADMINISTRATIVE INFORMATION

Beechwood Park School (“the School” or “Beechwood”) was founded in 1964. It is constituted as a company limited by guarantee registered in England, No. 00820476, and is registered with the Charity Commission under Charity No. 311068.

Details of the members of the Governing Body, together with the School’s officers and principal advisers are given on Page 1.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Documents

The School is governed by its Articles of Association last amended on 27 June 2011.

Governing Body

The Governing Body is self-appointing. Governors hold office for five years, whereupon they may be reappointed for a further five-year term. The Chairman and Vice Chairman may serve a further five-year term. There may be no more than 19 and no fewer than 9 Governors.

None of the Governors has any beneficial interest in the company. All of the Governors are members of the company and guarantee to contribute £1 in the event of a winding up.

The School has taken out Directors and Officers liability insurance for the Governors.

Recruitment and training of Governors

The Governing Body, in carrying out its duties, draws on a wide range of different skills and expertise. The recruitment and appointment process for Governors selects candidates from appropriate backgrounds and disciplines. The primary focus is on the provision of educational and academic expertise, with some of the Governors being Heads at local independent schools. This serves to strengthen the relationship between schools and enables Beechwood to draw on experience from other educational sectors. The School also recruits Governors to provide commercial, legal, estate management, health and safety, marketing or financial skills. Many Governors have, or have had, children at the School.

The recruitment process starts when the School identifies a gap in the skills base, or when a resignation takes place. Governors propose suitable candidates. The Chairman of Governors and the Head follow the School’s Governor Induction Procedure, inviting the candidate to attend a selection process with the Chairman of Governors. The Chairman of Governors considers the candidate’s suitability against the standard Role Description for all governors, as well as the description of the vacant role. The Chairman circulates the candidate’s qualifications to all other Governors for their approval. If approved, the Chairman asks the candidate to attend the next meeting of Governors, and the Governors then formally confirm the appointment.

Most new Governors are already familiar with the School, but will follow a well-established induction programme run by the Chair of Governors, Head and Bursar. This incorporates the workings of the Governing Body, its role and its responsibilities. Some Governors already hold Governorships with other schools. The School also offers new Governors governance training with the Association of Governing Bodies of Independent Schools (AGBIS), or the Independent Schools’ Bursars’ Association (ISBA) . As part of their induction, Governors undertake School-specific Child Protection and Safer Recruitment training, as well as

Page 2

BEECHWOOD PARK SCHOOL LIMITED

GOVERNORS’ REPORT

FOR THE YEAR ENDED 31[ST] AUGUST 2020

receiving regular updates from AGBIS, the IAPS, ISC, BSA and other professional bodies.

Organisational Management

Members of the Governing Body, as the charity trustees, are legally responsible for the overall management and control of the School. The Governing Body meets termly to consider and ratify School policies and longterm development strategy. The Governors also meet at least once annually with the Senior Leadership Team (SLT) to consider the next stages of the School’s Development Plan.

The work of implementing their policies is carried out by the following Sub-Committees, which meet at least once each term:

On a daily basis, the School is managed by the Head with financial and administrative decisions taken in conjunction with the Bursar. They and the three Deputy Heads are the key management personnel of the School and are supported by the rest of the Senior Leadership Team. A third Deputy Head was appointed with effect from September 2020 by internal promotion.

Remuneration

The Governing Body sets remuneration, with the policy objective of providing appropriate incentives to

Page 3

BEECHWOOD PARK SCHOOL LIMITED

GOVERNORS’ REPORT

FOR THE YEAR ENDED 31[ST] AUGUST 2020

encourage enhanced performance and of rewarding fairly and responsibly individual excellence and contributions to the School’s success. The Governors authorise an annual percentage salary increase for all staff taking into consideration expected income and expenditure and external factors including maintained sector salary increases. Additional individual increases are as a result of the annual salary review by the Head and Bursar. The appropriateness and relevance of the remuneration policy is reviewed annually. Delivery of the School’s charitable vision and purpose is primarily dependent on our key management personnel and staff costs are the largest single element of our charitable expenditure.

OBJECTS, AIMS AND OBJECTIVES

Charitable Objects

The School’s Objects, as set out in the Articles of Association, are the advancement of education and other associated activities for the benefit of the community as a whole. In furtherance of these Objects, for public benefit, the School has established and administers bursaries, grants, awards and other benefactions, and acts as the trustee and manager of property, endowments, bequests and gifts given or established in pursuance of these Objects.

Mission

The School’s Mission is to be the first-choice preparatory school for parents considering an independent school, recognised for its outstanding quality of educational experience and care.

To fulfil this ambition, with the support of parents, the School:

Objectives

The primary objectives of the School to fulfil these aims are to provide:

Page 4

BEECHWOOD PARK SCHOOL LIMITED

GOVERNORS’ REPORT

FOR THE YEAR ENDED 31[ST] AUGUST 2020

Strategies to achieve primary objectives

The School continuously reviews and develops teaching and learning methods and assessment processes and has a forensic focus on all aspects of its educational provision.

The School has a structured biennial BPS Staff Professional Development Review.

The School continues to invest in its facilities, for example, regular refurbishment work on the Grade 1 listed building and the commencement of a refurbishment programme for the Junior Department.

The School’s IT provision was enhanced with new equipment and infrastructure and a new management information system has been introduced.

The School manages its performance through a series of both financial and non-financial key performance indicators. The financial measures exist to ensure that the School continues to be able to meet its commitments and to be able to fund the facilities and resources required to run and develop the School’s educational provision. The non-financial measures exist to monitor the academic and pastoral outcomes of the School and to ensure that the School meets its educational objectives.

Public Benefit

The Governors have given significant consideration to the Charity Commission guidance on public benefit, including the guidance ‘Public Benefit: Running a Charity (PB2)’. The Public Benefit Committee was set up in January 2017 to develop a strategic plan for the provision and demonstration of public benefit to include but not be limited to:

The Governors are committed to broadening access to the School by offering to eligible parents/guardians means-tested financial support with the payment of school fees. Bursaries may be awarded in the form of a discount of up to 100% of tuition fees payable, depending on the financial, compassionate or other pertinent circumstances of applicants.

During the year, the School provided bursaries totalling £80,984 (2019: £102,671) to support 8 pupils covering between 50% and 100% of their fees. The bursary for one of these pupils covered all boarding fees in addition to day fees.

Two pupils were given free access to the School Counsellor to the value of £600.

Efforts to identify potential pupils who would benefit from the education provided by the School have continued. The School invites parents of leavers to donate all or part of their deposits to the School to provide bursary support. A number of families waived a fee rebate in the Summer term and donated those funds to provide bursary support.

Sibling discounts are awarded to families with more than one pupil at the School and teaching staff receive a discount for all children attending.

Charitable donations from the School amounted to £3,738 during the year. The pupils are actively involved in all fundraising activities throughout the year.

The Head continues as Child Protection Governor and Health and Safety Governor at Markyate Village School .

Page 5

BEECHWOOD PARK SCHOOL LIMITED

GOVERNORS’ REPORT

FOR THE YEAR ENDED 31[ST] AUGUST 2020

He assists their excellent new Head and they work together to implement activities which draw the two schools into closer partnership.

The SLT continues to develop the School’s public benefit and encourages all Beechwood staff to implement public benefit activities to the mutual benefit of all parties. The School maintains a register of public benefit provision.

Reserves

The Governors regularly review the School’s funding approach by its strategic and financing policies and aim to maintain cash reserves of between 15% and 25% of income.

2019/20 Income £7,805,301
- 15% target £1,170,795
- 25% target £1,951,325
Cash reserves atyear end £1,485,133
(excludingfees in advance and deposits)
Total reserves atyear end £9,731,362
consistingof:
Designated Funds £117,820
Revaluation Reserve £5,025,257
General Funds £4,588,285

The Governors plan to retain more surplus in future years to provide further opportunities for investment in major capital works. The reserves policy will be reviewed on an annual basis.

Investments

The School does not have any investments and reserves are held in the form of cash. The Finance Committee is responsible for the examination and implementation of investment strategies.

Employment policy

The School is an equal opportunities employer. The School gives full and fair consideration to job applications from disabled persons and due consideration is given to their training and employment needs. Consultation with employees has continued at all levels with the aim of taking the views of employees into account when decisions are made that are likely to affect their interests. A Staff Development Committee has been established to improve communication between all staff at the School.

The School makes employees aware of the financial and economic performance of the School. Communication with employees continues through normal management channels in a variety of forms including weekly departmental and whole-staff meetings and also through exceptional channels to apprise staff of current issues.

Staff have an annual opportunity to meet with Governors over supper prior to the Lent Term Full Governing Body meeting. The School encourages Governors to make individual visits to the School throughout the year to meet with staff and observe the workings of the School.

Page 6

BEECHWOOD PARK SCHOOL LIMITED

GOVERNORS’ REPORT

FOR THE YEAR ENDED 31[ST] AUGUST 2020

STRATEGIC REPORT

Achievements and Performance

The ISI conducted an Educational Quality Inspection of Beechwood in January 2019. The inspection reported the School as fully-compliant in all areas and judged the School as the highest ranking ‘Excellent’ in all areas of its educational provision. The key findings were as follows:

The quality of the pupils’ academic and other achievements is excellent.

The quality of the pupils’ personal development is excellent.

Admissions

The School had 554 pupils on roll at the end of the academic year. Places at the School continue to be in high demand, with healthy waiting lists for most year groups. Key admission points for the School are into the Woodlands Nursery , Reception Class and Year 7 , which is a very popular entry point for pupils wishing to move from maintained primary schools into independent education. The School held its usual Open Morning in October and virtual events later in the year which attracted interest from over 100 families.

Academic

The School adapted highly effectively to the pandemic, initiating a seamless transition to Beechwood Remote Access Learning for all of our pupils in academic, co-curricular and pastoral activities, ensuring a continuity of education throughout the lockdown period and enabling the pupils to enjoy a Beechwood education to its fullest extent.

Pupils achieved an impressive 21 scholarships to senior schools. There were also successes in national competitions, including public speaking, story writing and handwriting.

The School’s Learning Support Department continues to identify early pupils who demonstrate more specific academic or pastoral need and to support them by implementing bespoke interventions to support their academic and co-curricular progress.

Similarly, teaching staff continue to identify pupils who demonstrate gifts and talents and to support them by implementing early bespoke interventions to support their academic and co-curricular acceleration.

Co-Curricular

The School completed its full refurbishment of the Sports Hall , including a brand new Sports Department Office and the Sports Technology Gallery . The U13A football team won the Plate Competition at both the Prep 4 Sport Tournament at St George’s Park and IAPS 7’s Regional Qualifiers at Chigwell and Saracens Mavericks ran a netball course over the Michaelmas half term break. The Sports Department developed the Sports Department Scholarship Tracking System , and introduced SOCS SPORT software. They devised a challenging online Sports curriculum for all pupils, including fitness, cricket, athletics, sports challenges and live teacher feedback and ran the Beechwood Garden Olympics during lockdown. The School employed a Netball Specialist, who previously worked for England Netball.

In Music, over 350 pupils learnt a musical instrument in the Lent Term 2020 and pupils showcased their talents in an array of concerts including Brass and Percussion Concert , Christmas Cracker , Advent Service and Advent Evensong , Christmas Concert and Carol Service . Five pupils won Music Scholarships to Haileybury, Oundle, Rugby and Berkhamsted.

Page 7

BEECHWOOD PARK SCHOOL LIMITED

GOVERNORS’ REPORT

FOR THE YEAR ENDED 31[ST] AUGUST 2020

In Dance and Drama, a cast and crew of over 100 pupils performed The Wizard of Oz which spawned a wholeSchool Roald Dahl-themed Arts Week, just before lockdown. The Middle Department pupils performed their inaugural Christmas Cracker , showcasing the development of the pupils’ dance, acting, production, musical, design and artistic skills together with a large dose of festive humour. Year 7 pupils attended a holocaustinspired project in collaboration with Trestle Theatre and all pupils attended a performance of The Rachel Project at MTS School. Year 4 pupils performed a poem as part of the annual group Verse Speaking Performance and o ver 80 pupils from Year 2 upwards created a video for the whole-School , Virtual Flash Mob for Speech Day 2020. Two pupils won Drama Scholarships to Haileybury and Stowe. 50 pupils took LAMDA Acting exams with the majority of pupils receiving distinctions or merits.

Gifted and talented Art pupils attended the Art Festival Day at Stowe to support their scholarship and building of portfolios and the School appointed an inspirational new Head of Art. The Design Technology Department provided specialist DT training to Redbourn Primary School and the Head of DT wrote an article, published in the nationwide Design and Technology Association publication for secondary professionals, about the School’s plastic recycling project. One Year 8 pupil won a DT scholarship to Oundle.

The School introduced a new Lego Engineering and Robotics Club and competed in the national First Lego League and produced PPE for the NHS at the height of the pandemic.

Year 7 pupils went on a team-building trip to Bawdsey Manor before COVID struck.

The School also opened Treetops , a new all-weather Forest School structure funded by the Beechwood Park Parents’ Association .

Pastoral

The Deputy Head (Pastoral) continues to review and develop the School’s pastoral approaches in support of our Mission to Nurture, Engage and Inspire our pupils, reporting termly to the Pastoral Care and Welfare Committee on 26 separate areas of the School’s pastoral provision.

Capturing the findings of the January 2019 ISI Educational Quality Inspection the Head and Deputy Head (Pastoral) rewrote the BPS Pupil Conduct Policy in preparation for the migration to iSAMS , the market-leading schools’ Management Information System .

Beechwood’s outstanding pastoral provision adapted ably to the challenges of COVID-19 with the School’s Medical Team and Health and Safety Governor working closely with the Senior Leadership Team to provide timely and effectively advice to all stakeholders.

The DSL maintained child protection as a top priority especially with pupils working offsite and adapted the School’s pastoral systems in line with Keeping Children Safe in Education (DfE Sept 2020) with its greater focus on child mental health.

The pupils reviewed the School Values in the summer term 2020 and incorporated the Value of Diversity in light of the death of George Floyd, which further prompted a detailed discussion around the School’s consciousness of Diversity , equality and justice.

The boarding team ran an outstanding outreach programme for all boarders during the first lockdown, maintaining community and mental health. The Houseparents ran an extensive risk assessment before the start of the Michaelmas term 2020 and re-opened the Boarding House for thirty-four boarders.

The Matrons in consultation with the School Doctors provided outstanding advice and support to SLT and parents on all COVID matters and cleansed all medical data in preparation for its migration into iSAMS at the start of the Michaelmas term 2020.

Year 8 pupils (Top Formers) continue to seek the opinions of younger pupils and communicate their views through the Food Committee and the School Forum .

The Catering Manager continues to deliver outstanding catering provision.

Page 8

BEECHWOOD PARK SCHOOL LIMITED

GOVERNORS’ REPORT

FOR THE YEAR ENDED 31[ST] AUGUST 2020

Technology

The Head chaired the IT Committee, which continues to make huge advances in the development of various technologies, with the introduction of iSAMS as the School’s new Management Information System, the purchase of 92 new PCs for the Computer Rooms, the near-completion of the School’s touchscreen roll-out strategy and the inception and delivery of Beechwood Remote Access Learning in response to the pandemic and in support of educational continuity.

Buildings and Estates

The School continued to develop its buildings and estates so as to provide the very best environment to deliver the School’s Mission . Projects for the 2019-20 year included masonry renovation work on the west façade of the Grade I listed building, substantial refurbishment of the Junior Department facilities, essential improvements to drainage and a number of minor refurbishment and repair projects essential to the smooth operation of the School.

Financial Review

The School has restated its accounts for the year ended 31 August 2019, to recognise the financial liability relating to a pension provision held with TPT Retirement Solutions, the Independent Schools' Pension Scheme. A liability of £285,279 was recognised, and expenditure increased by £75,644, relating to movement on the valuation of the liability in the financial year.

The School’s net income for the year from operations amounted to £391,524 (2019: £299,765 restated).

The policy of spending the surplus generated on refurbishment and development of facilities has continued and the School’s capital expenditure for the year was £363,030. The Governors are pleased to have generated a surplus for the year but are mindful that the surplus is, in part, due to expenditure held back during the pandemic and that many of those costs will need to be met over the coming year.

The School's balance sheet as detailed on page 17 shows a very satisfactory position at the year end.

The results for the year are shown in the statement of financial activities on page 16.

The Governors do not foresee any major changes in the School's activities or overall management structure in the near future other than those already identified.

Free reserves, that is those funds not tied up in fixed assets, designated and restricted funds, are positive and correspondingly the School’s balance sheet shows net current assets at the year-end. These include £420,000 of refundable parents’ deposits held by the school and £931,157 of fees received in advance for the Michaelmas term. The School’s future plans will be funded by the remaining net assets.

Total unrestricted reserves at the year-end amounted to £4,588,285. These have been generated over the years by the School, in order to maintain buildings and standards of education. This surplus could only be realised by disposing of fixed assets used in the running of the School.

Where fixed assets are donated to the School they are allocated to a restricted reserve at their value at the time of the gift. The reserve is then released to general funds over the asset's useful economic life.

Designated funds are created by the Head by setting aside or "earmarking" funds out of the unrestricted funds for the specific purposes.

None of the various funds were in deficit at the year-end or at any time during the year.

Page 9

BEECHWOOD PARK SCHOOL LIMITED

GOVERNORS’ REPORT

FOR THE YEAR ENDED 31[ST] AUGUST 2020

Key Performance Indicators

The School manages its performance through a series of key performance indicators that are both financial and non-financial in nature. The financial measures exist to ensure that the School continues to be able to meet its commitments and to be able to fund the facilities and resources required to run the School. The nonfinancial measures exist to monitor the educational outcomes of the School and to ensure that the School meets its educational objectives. The results for the year are:

eets its educational objectives. The results for the year are:
2019
2020 (restated)
Pupil numbers (excluding Nursery) 505 494
Nursery Numbers 49 58
Ratio of Expenditure to Income 95.0% 96.2%
Ratio of Expenditure to Income before depreciation 90.8% 92.3%
Cash reserves as % of income 19.0% 11.5%
Number of scholarships at either 11+ or 13+ 21 17
% of pupils passing Common Entrance to first choice school 100.0% 100.0%

PRINCIPAL RISKS AND UNCERTAINTIES

The Full Governing Body annually reviews the School’s Risk Register. The generic controls used by the School to minimise risk include:

Covid-19 Pandemic

The most significant risk facing the School would be a decrease in its pupil roll. This has become more significant as a result of the Covid-19 pandemic. The School has sought to mitigate these risks as follows:

The pandemic also imposes a serious financial risk to the School which is being mitigated by stringent credit control and appropriate savings measures including:

Page 10

BEECHWOOD PARK SCHOOL LIMITED

GOVERNORS’ REPORT

FOR THE YEAR ENDED 31[ST] AUGUST 2020

Other Significant Risks

Other significant high likelihood risks and their mitigation are:

The Governors are also aware of political and environmental risks and pay due regard to these when reaching decisions and reviewing the structure of the School financially and otherwise.

Going Concern

The School has been quick to implement additional financial and operational safeguards in response to the Covid-19 pandemic, and our strong reserves position and lack of borrowing gives us a reasonable platform to withstand the current crisis. The Governors are satisfied that adequate resources will be available through future cash flows to meet liabilities as they fall due. Considering the above and after reviewing the School’s forecasts and projections, the Governors have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future and that it is therefore appropriate to prepare the accounts on a going concern basis.

Plans for Future Periods

The Beechwood Park School Development Plan, which covers the facilities available for teaching as well as the teaching and support staff, continues to be reviewed by the SLT and Governing Body. This plan has the objective of continuing improvement in the education of children at the School. There is an ongoing prioritisation process which allows the School continually to invest when cash reserves/budgets allow. There is also to be a particular focus on cost reduction, increased revenue from non-educational activities and funding for bursaries. A major initiative on sustainability is planned.

STATEMENT OF ACCOUNTING AND REPORTING RESPONSIBILITIES

The Governors are also the directors under company law.

The Governors are required under company law to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing those financial statements the Governors are required to:

The Governors are also responsible for:

Page 11

BEECHWOOD PARK SCHOOL UMITED GOVERNORS. REPORT FOR THE YEAR ENDED 31$T AUGUST 2020 iaking reasonablè steps for the prèv8nlb)n and dètecion ol fraLMI and other irregularFti&s. Stsl•ment ol dl8cIo8ur¢ to th• auditor Insofar as each of the Go¥emors. as direclcff5 of the charilabl8 ¢ompany. al dale of approval of Ihis rgport is awa￿ there is no relevant audit informalKJn linfr(mats"on needed by the ccwnpany's auditor in connection with preparing the audil ieportl ol which the company's èudiiof is unaware. Each member ol the Goveming Body has taken all the steps Ihat he Of she should have taken as a member of the Govèrning Body in order lo mak8 himself or h8rself aware ol the relevant audit n10m￿￿on and to èstabh'sh that th8 companls auditor is aware of that Informal￿n. Thls Annual Rel￿ was apprO￿d by the Governing Body of tha Sthcd on 7th Decemb81 2020. induding, In their capacity as o)mpany diredcsrs, apwving th8 Diwtors, and Slratsgc Reports contsine(I thereln. and 819ned on it5 bahajf by.. Mark Gov Hammond or Page 12

Beechwood Park School Limited

INDEPENDENT AUDITOR’S REPORT TO THE GOVERNORS OF BEECHWOOD PARK SCHOOL LIMITED

for the year ended 31 August 2020

We have audited the financial statements of Beechwood Park School Limited for the year ended 31 August 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including FRS102 ‘The Financial Reporting Standard Applicable in the UK and Ireland’.

In our opinion the financial statements:

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 auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to any party other than the charitable company and charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

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 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 FRS's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

Page 13

Beechwood Park School Limited INDEPENDENT AUDITOR’S REPORT TO THE GOVERNORS OF BEECHWOOD PARK SCHOOL LIMITED for the year ended 31 August 2020

Other information

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

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion on other matter prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the trustees' annual report.

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

Responsibilities of trustees

As explained more fully in the Statement of Trustees' Responsibilities, 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.

Page 14

Beechwood Park School Limited INDEPENDENT AUDITOR’S REPORT TO THE GOVERNORS OF BEECHWOOD PARK SCHOOL LIMITED

for the year ended 31 August 2020

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 aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Shivani Kothari, Senior Statutory Auditor

for and on behalf of Moore Kingston Smith LLP, Statutory Auditor

Date:

Devonshire House 60 Goswell Road London EC1M 7AD

Page 15

Beechwood Park School Limited

STATEMENT OF FINANCIAL ACTIVITIES

(including the income and expenditure statement) for the year ended 31 August 2020

Notes
INCOME FROM:
Charitable Activities
School fees
3
Other educational income
4
Other income
5
Other trading income
Investments
Investment Income
6
Voluntary sources
Donations and grants
7
Total income and endowments
EXPENDITURE ON:
Costs of raising funds
Other trading costs
Other non-educational costs
Charitable activities
Education
Total expenditure
8
Net income/(expenditure)
Transfer between funds
Net movement in funds
Fund balances brought forward
Fund balances carried forward
18, 19		 Unrestricted /
Designated
funds
£
7,147,547
330,280
12,292
6,656
303,146		 Restricted
funds
£
-
-
-
-
5,380		 Total
2020
£
7,147,547
330,280
12,292
6,656
308,526		 Restated
Total
2019
£
7,274,216
498,768
30,302
11,293
163,406
7,799,921 5,380 7,805,301 7,977,985
7,832
40,426
7,365,519		 -
-
-		 7,832
40,426
7,365,519		 61,168
89,330
7,527,722
7,413,777 - 7,413,777 7,678,220
386,144
6,269		 5,380
(6,269)		 391,524
-		 299,765
-
392,413
9,338,949		 (889)
889		 391,524
9,339,838		 299,765
9,040,073
9,731,362 - 9,731,362 9,339,838

The statement of financial activities includes all gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared.

All of the above amounts relate to continuing activities.

The accompanying notes form part of these financial statements.

Page 16

Beechwood Park School Limited B￿CE SHEET asa131 Au ust 2020 Rxl&t•d 2019 FLXEDASSET TllwJl• osse 13 9.CN)3 925 • •37 11$ CVPREIIT ASSETS DEblllrS 14 117,411 1B5.B17 0 1919467 3.OIC701 2.IOS.084 11.170.892) ET CURRENT IgSETS 1.31•.J45 Tor￿ ASSETS Le8$euftREvfu•ALfrn8 lO.J47.￿1 9.938.117 CR£ofTOA$.. fsKn io lJi3.ofpJl 17 (285.?T IIET A8•En FUN08 18 Unr*#trkknl fundi-g•Mi J,984.793 ?17.2 5,136.92B 18 I17.￿0 $,025.257 9 339 8)8 N4Ark H• p￿17

Beechwood Park School Limited

CASHFLOW STATEMENT

for the year ended 31 August 2020

echwood Park School Limited
HFLOW STATEMENT
e year ended 31 August 2020
CASH FLOW STATEMENT
Notes
Net cash inflow from operating activities
24
Cash flows from investing activities:
Bank interest received
Payments to acquire fixed assets
Net cash outflow from investing activities
Increase/(decrease) in cash
beginning of the reporting period
end of the reporting period
Cash and cash equivalents at the
Cash and cash equivalents at the		 2020
£
1,273,197
6,656
(363,030)		 Restated
2019
£
578,747
11,293
(561,678)
(356,374)
916,823
1,919,467		 (550,385)
28,362
1,891,105
2,836,290 1,919,467

Page 18

Beechwood Park School Limited

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 August 2020

Beechwood Park School Limited is a company limited by guarantee with registered number 00820476, incorporated and domiciled in England and Wales. Its registered office is Beechwood Park School, Markyate, St Albans, Herts, AL3 8AW.

1.1 BASIS OF PREPARATION

The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). The Charitable Company is a public benefit entity for the purposes of FRS 102 and therefore the Charity also prepared its financial statements in accordance with the 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 (The FRS 102 Charities SORP), the Companies Act 2006 and the Charities Act 2011.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest pound.

These financial statements are prepared on the going concern basis, under the historical cost convention as modified by the revaluation of investments and in accordance with the Companies Act 2006 and applicable accounting standards in the United Kingdom. The principal accounting policies, which have been applied consistently throughout the year, are set out below.

1.2 GOING CONCERN

The governors have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the School to continue as a going concern. The governors have made this assessment for a period of at least one year from the date of approval of the financial statements.

The School has been quick to implement additional financial and operational safeguards in response to the Covid-19 pandemic, and considers the strong reserves position and lack of borrowing to give a reasonable platform to withstand the current crisis. The Governors are satisfied that adequate resources will be available through future cash flows to meet liabilities as they fall due.

In particular the governors have considered and challenged the School’s forecasts and projections, including cash flows, pupil projections and the likely impact of pressures on fee income. Whilst the economic outlook remains uncertain which could have an impact on future pupil numbers, after making enquiries the detailed review undertaken by the governors and the ongoing measures they have put in place have led them to conclude that there is a reasonable expectation that the School has adequate resources to continue in operational existence and meet its ongoing liabilities for the foreseeable future.

The School therefore continues to adopt the going concern basis in preparing its financial statements.

The company is limited by guarantee, the guarantors at the present time being the Governors, to the extent of £1 each.

1.4 FEES RECEIVABLE AND SIMILAR INCOME Fees receivable and charges for services and use of premises are accounted for in the period in which the service is provided. Fees receivable are stated after deducting allowances, scholarships and other remissions granted by the school.

1.5 DONATIONS AND FUND ACCOUNTING

Donations received for the general purposes of the school are included as unrestricted funds. Donations restricted by the wishes of the donor or the terms of an appeal are taken to restricted funds. Donations required to be retained as capital in accordance with the donor’s wishes are accounted for as endowments – permanent or expendable according to the nature of the restriction.

1.6 EXPENDITURE

Expenditure is allocated to expense headings, which aggregate all costs relating to the category either on a direct cost basis, or apportioned according to time spent. The irrecoverable element of VAT is included with the item of expense to which it relates.

All costs associated with the provision of education are allocated to Charitable Expenditure. Only the costs directly associated with, or incurred solely in, Raising Funds are allocated to this category.

Governance Costs comprise the costs of running the charity, including strategic planning for future developments, external audit, legal advice and a proportion of staff costs relating to compliance with constitutional and statutory requirements, such as the costs of Governors meetings.

1.7 TEACHING COSTS

Supplies of games equipment, books, stationery and sundry materials are written off when the expenditure is incurred.

1.8 FIXED ASSETS AND DEPRECIATION All fixed assets are used in direct furtherance of the school’s objectives. Fixed assets are included in these financial statements at their original cost less depreciation and accumulated impairment losses provided to date.

Assets that cost less than £1,000 are not capitalised and are written off in the year of purchase.

Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the costs less estimated residual value of each asset, by equal annual instalments, over their expected useful lives which are considered to be:

Freehold buildings and improvements - 50 years Fixtures and fittings - 3 - 10 years Vehicles - 5 years Computers - 3 years

Page 19

Beechwood Park School Limited

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 August 2020

1.9 PENSIONS

Full-time and part-time teaching staff employed under a contract of service are eligible to contribute to the Teachers’ Pension Scheme (TPS). The TPS, a statutory, contributory, final salary scheme is administered by Capita Teachers’ Pensions on behalf of the Department for Education.

The school also pays contributions into a Group Personal Pension Scheme for Support staff with The Pensions Trust. The Scheme is a defined contribution pension scheme.

In addition the school is a member of The Pension Trust defined benefit scheme, which is closed to new members. Any payments to the scheme represent contributions towards the deficit for existing members remaining in the scheme.

The assets of the Scheme are held separately from those of the School in an independently administered fund. The Pension Scheme charge represents contributions payable by the school in accordance with the rules of the Scheme.

1.10 LEASES AND HIRE PURCHASE CONTRACTS

Rentals paid under operating leases are charged to the Statement of Financial Activities evenly over the period of the lease.

1.11 CASH AND CASH EQUIVALENTS

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less.

1.12 FINANCIAL INSTRUMENTS

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

With the exceptions of prepayments and deferred income all other debtor and creditor balances are considered to be basic financial instruments under FRS 102. See notes 14, 15 and 16 for the debtor and creditor notes.

1.13 TAXATION

The company is a registered charity and is exempt from taxation as afforded by Section 505 ICTA 1988.

1.14 EMPLOYEE BENEFITS

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets. The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received. Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

In the application of the company's accounting policies, the governing body is required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. 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 both current and future periods.

In the opinion of the Governors, the estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are outlined below.

Critical judgements

Useful economic lives

The annual depreciation charge for property, plant and equipment is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.

Page 20

Beechwood Park School Limited

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 August 2020

3 FEE INCOME
The School’s activities are carried out within the UK.
The school's fee income comprised:
Gross fees
Less: Discounts
Less: Scholarships and bursaries
4 OTHER EDUCATIONAL INCOME
Income derived from other school activities
Registration fees
Fees in lieu of notice
Minibus income
5 OTHER TRADING INCOME
Rent and lettings
6 INVESTMENT INCOME
Interest received
7 DONATIONS AND GRANTS
Donations and gifts
Government grants		 2020
£
8,025,259
(796,728)
(80,984)		 2019
£
7,631,229
(254,342)
(102,671)
7,147,547 7,274,216
2020
£
256,814
8,000
10,400
55,066		 2019
£
410,361
12,300
-
76,107
330,280 498,768
2020
£
12,292		 2019
£
30,302
12,292 30,302
2020
£
6,656		 2019
£
11,293
6,656 11,293
2020
£
61,696
246,830		 2019
£
163,406
-
308,526 163,406

Included within the above is an amount of £5,380 (2019: £23,484) which relates to restricted income.

Page 21

Beechwood Park School Limited

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 August 2020

8 EXPENDITURE

(a)
Costs of Raising Funds
Trading costs
Other non-education costs
Total Costs of Raising Funds
Charitable expenditure
Teaching
Welfare
Premises and Estates
Finance and Administration
Governance
Total Charitable Expenditure
Total Expended
Costs of Raising Funds
Trading costs
Other non-education costs
Total Costs of Raising Funds
Charitable expenditure
Teaching
Welfare
Premises and Estates
Finance and Administration
Governance
Total Charitable Expenditure
Total Expended
(b)
Other Governance Costs include:
Auditors' remuneration
- Audit Fees
- under provision from previous year
- Accountancy Fees
- Other Auditors remuneration
Governors' Training
Included within £7,413,777 is an amount of £nil (2019: £22,595) relating to restricte		 £
6,026
-
Staff costs
(note 9)		 Other
£
1,806
40,426		 Depreciation
£
-
-		 Total
2020
£
7,832
40,426
6,026 42,232 - 48,258
£
4,424,400
62,259
282,091
483,633
-
Staff costs
(note 9)		 Other
£
282,123
506,368
683,502
288,761
22,543		 Depreciation
£
-
-
329,839
-
-		 Total
2020
£
4,706,523
568,627
1,295,432
772,394
22,543
5,252,383 1,783,297 329,839 7,365,519
5,258,409 1,825,529 329,839 7,413,777
£
33,898
-
Staff costs
(note 9)
d expenditure.		 Other
£
27,270
89,330		 Depreciation
£
-
-		 Restated
Total
2019
£
61,168
89,330
33,898 116,600 - 150,498
£
4,107,698
64,066
331,296
593,192
-
Staff costs
(note 9)		 Other
£
478,025
601,886
759,332
255,556
20,114		 Depreciation
£
-
-
316,557
-
-		 Restated
Total
2019
£
4,585,723
665,952
1,407,185
848,748
20,114
5,096,252 2,114,913 316,557 7,527,722
5,130,150 2,231,513 316,557 7,678,220
2020
£
14,268
4,041
2,310
1,302
622		 2019
£
15,200
544
2,232
1,200
938

Page 22

Beechwood Park School Limited

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 August 2020

eechwood Park School Limited
TES TO THE FINANCIAL STATEMENTS
the year ended 31 August 2020
9 STAFF COSTS
Wages and salaries
Social security costs
Other pension costs
Movement in pension provision
The average monthly number of employees during the year was as follows:
Teaching
Non-teaching
The number of employees whose emoluments amounted to over
£60,000 in the year was as follows:
£60,000 - £70,000
£110,001 - £120,000		 2020
£
4,092,402
388,703
774,709
2,595		 Restated
2019
£
4,093,858
392,989
553,323
89,980
5,258,409 5,130,150
2020
No.
107
45		 2019
No.
107
43
152 150
2020
No.
3
1		 2019
No.
3
1
4 4

Pension contributions for the year amounted to £65,228 (2019: £46,000) for the above employees.

The School considers its key management personnel as the Head, Bursar and two Deputies. The total employment benefits including employer pension contributions of the key management personnel were £418,830 (2019: £410,252).

10 GOVERNORS REMUNERATION AND BENEFITS

There were £622 (2019: £938) of expenses relating to training and travel reimbursed to Governors' during the year.

Page 23

for the year ended 31 August 2020

Beechwood Park School Limited NOTES TO THE FINANCIAL STATEMENTS

11 PENSIONS

The School participates in the Teachers' Pension Scheme ('the TPS') for its teaching staff. The pension charge for the year includes contributions payable to the TPS of £644,225 (2019: £445,112) and at the year end £75,520 (2019: £58,253) was accrued in respect of contributions to this scheme.

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

The employer contribution rate is set by the Secretary of State following scheme valuations undertaken by the Government Actuary’s Department. The most recent actuarial valuation of the TPS was prepared as at 31 March 2016 and the Valuation Report, which was published in March 2019, confirmed that the employer contribution rate for the TPS would increase from 16.4% to 23.6% from 1 September 2019. Employers are also required to pay a scheme administration levy of 0.08% giving a total employer contribution rate of 23.68%.

The 31 March 2016 Valuation Report was prepared in accordance with the benefits set out in the scheme regulations and under the approach specified in the Directions, as they applied at 5 March 2019. However, the assumptions were considered and set by the Department for Education prior to the ruling in the ‘McCloud/Sargeant case’. This case has required the courts to consider cases regarding the implementation of the 2015 reforms to Public Service Pensions including the Teachers’ Pensions.

On 27 June 2019 the Supreme Court denied the government permission to appeal the Court of Appeal’s judgment that transitional provisions introduced to the reformed pension schemes in 2015 gave rise to unlawful age discrimination. The government is respecting the Court’s decision and has said it will engage fully with the Employment Tribunal as well as employer and member representatives to agree how the discriminations will be remedied. A consultation was launched by the government on 16 July 2020, and closed to responses on 11 October 2020.

The TPS is subject to a cost cap mechanism which was put in place to protect taxpayers against unforeseen changes in scheme costs. The Chief Secretary to the Treasury, having in 2018 announced that there would be a review of this cost cap mechanism, in January 2019 announced a pause to the cost cap mechanism following the Court of Appeal’s ruling in the McCloud/Sargeant case and until there is certainty about the value of pensions to employees from April 2015 onwards. The pause was lifted in July 2020 and the government is preparing to complete the cost control element of the 2016 valuations, which is expected to be completed in 2021.

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

Until the consultation and the cost cap mechanism review are completed it is not possible to conclude on any financial impact or future changes to the contribution rates of the TPS. Accordingly no provision for any additional past benefit pension costs is included in these financial statements.

The support staff are members of The Pension Trust Scheme which is a defined contribution scheme; the school contributes between 5% and 24.2% dependent on the position of the employee in the school and the employees contribute between 3% and 6%. The pension charge for the year includes contributions payable of £105,643 (2019: £104,637) and at the year end £13,052 (2019: £12,405) was included in creditors.

Page 24

Beechwood Park School Limited NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

TPT Retirement Solution - Independent Schools' Pension Scheme

The company participates in the scheme, a multi-employer scheme which provides benefits to some 66 non-associated employers. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore it accounts for the scheme as a defined contribution scheme.

The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK.

The scheme is classified as a 'last-man standing arrangement'. Therefore the company is potentially liable for other participating employers' obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme.

A full actuarial valuation for the scheme was carried out with an effective date of 30 September 2017. This actuarial valuation was certified on 27 December 2018 and showed assets of £149.4m, liabilities of £187.6m and a deficit of £38.2m. To eliminate this funding shortfall, the trustees and the participating employers have agreed that additional contributions will be paid, in combination from all employers, to the scheme as follows:

Deficit contributions From 1 September 2019 to 30 April 2030: £ 2,387,357 per annum (payable monthly and increasing by 3% on each 1st September)

Note that the scheme’s previous valuation was carried out with an effective date of 30 September 2014. This valuation showed assets of £110.0m, liabilities of £147.4m and a deficit of £37.4m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme as follows:

Deficit contributions From 1 September 2019 to 30 April 2029: £ 2,341,000 per annum (payable monthly and increasing by 3% on each 1st September)

The recovery plan contributions are allocated to each participating employer in line with their estimated share of the scheme liabilities.

Where the scheme is in deficit and where the company has agreed to a deficit funding arrangement the company recognises a liability for this obligation. The amount recognised is the net present value of the deficit reduction contributions payable under the agreement that relates to the deficit. The present value is calculated using the discount rate detailed in these disclosures. The unwinding of the discount rate is recognised as a finance cost.

Present Values of Provision

Present value of provision
Reconciliation of opening and closing provisions
Provision at start of period
Unwinding of the discount factor (interest expense)
Deficit contribution paid
Remeasurements - impact of any change in assumptions
Remeasurements - amendments to the contribution schedule
Provision at end of period		 31 August 2020
(£s)		 31 August 2019
(£s)		 31 August 2018
(£s)
266,349 285,279 209,635
Period Ending
31 August 2020
(£s)
285,279
2,993
(24,518)
(2,595)
-		 Period Ending
31 August 2019
(£s)
209,635
3,931
(18,267)
12,818
77,162
266,349 285,279

Page 25

Beechwood Park School Limited NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 August 2020

Income and Expenditure Impact

Income and Expenditure Impact
Period Ending Period Ending
31 August 2020 31 August 2019
(£s) (£s)
Interest expense 2,993 3,931
Remeasurements - impact of any change in assumptions 2,595 12,818
Remeasurements - amendments to the contribution schedule - 77,162
Contributions paid in respect of future service* * *
Costs recognised in income and expenditure account * *

*includes defined contribution schemes and future service contributions (i.e. excluding any deficit reduction payments) to defined benefit schemes which are treated as defined contribution schemes.

Assumptions

31 August 2020 31 August 2019 31 August 2018
% per annum % per annum % per annum
Rate of discount 0.90 1.10 1.96

The discount rates shown above are the equivalent single discount rates which, when used to discount the future recovery plan contributions due, would give the same results as using a full AA corporate bond yield curve to discount the same recovery plan contributions.

Deficits Contributions Schedule

31 August 2020 31 August 2019 31 August 2018
(£s) (£s) (£s)
Year 1 25,253 24,518 18,267
Year 2 26,011 25,253 18,815
Year 3 26,791 26,011 19,379
Year 4 27,595 26,791 19,961
Year 5 28,423 27,595 20,560
Year 6 29,275 28,423 21,176
Year 7 30,154 29,275 21,812
Year 8 31,058 30,154 22,466
Year 9 31,990 31,058 23,140
Year 10 21,967 31,990 23,834
Year 11 - 21,967 24,549

12 NET INCOME FOR THE YEAR

NET INCOME FOR THE YEAR
2020 2019
£ £
Net income is stated after charging:
Depreciation of tangible fixed assets 329,839 316,557

13 TANGIBLE FIXED ASSETS

Cost:
At 1 September 2019
Additions
Disposals
Transfer
At 31 August 2020
Depreciation:
At 1 September 2019
Charge for year
Disposals
At 31 August 2020
Net book value:
At 31 August 2020
At 1 September 2019		 Freehold
Property
£
9,485,302
88,633
-
(313,134)		 Fixtures
&
Fittings
£
1,063,048
59,387
(80,669)
-		 Motor
Vehicles
£
4,300
41,294
-
-		 Assets
Under
Construction
£
-
173,716
-
313,134		 Total
£
10,552,650
363,030
(80,669)
-
9,260,801 1,041,766 45,594 486,850 10,835,011
770,679
217,007
-		 773,746
110,818
(80,669)		 4,300
2,014
-		 -
-
-		 1,548,725
329,839
(80,669)
987,686 803,895 6,314 - 1,797,895
8,273,115 237,871 39,280 486,850 9,037,116
8,714,623 289,302 - - 9,003,925

Page 26

Beechwood Park School Limited

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 August 2020

14 DEBTORS
Fees and extras
Other debtors
Prepayments and accrued income
15 CREDITORS
Amounts falling due within one year:
Trade creditors
Taxation and social security costs
Fee Deposits
Fees in advance
Other creditors
Accruals
Deferred income:
Brought forwards
Released in year
Received in year
Carried forwards
Deferred income relates to schools fees received in advance for the following term.
16 CREDITORS DUE AFTER ONE YEAR
Amounts falling due after more than one year:
School fee deposits
17 PROVISIONS FOR LIABILITIES
Pension provision
At 1 September 2019
(Decrease)/Increase in provision
At 31 August 2020		 2020
£
31,848
49,357
101,211		 2019
£
50,800
6,640
128,177
182,416 185,617
2020
£
136,449
95,890
70,250
931,157
297,318
177,297		 2019
£
150,873
95,794
55,540
631,525
151,282
85,878
1,708,361 1,170,892
2020
£
631,525
(631,525)
931,157		 2019
£
703,201
(703,201)
631,525
931,157 631,525
2020
£
349,750		 2019
£
313,000
349,750 313,000
2020
£
285,279
(18,930)		 Restated
2019
£
209,635
75,644
266,349 285,279

The school recognises £266,349 (31 August 2019 £285,279) of pension provision on its Balance Sheet, in relation to the closed pension scheme. The provision is attributatble to TPT Retirement Solutions.

Page 27

Beechwood Park School Limited

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 August 2020

18 STATEMENT OF FUNDS

Unrestricted funds:
General reserve
Designated fund:
BPSPA
Bursary Fund
Capital Expenditure
Revaluation reserve
Restricted funds:
Restricted fund
Total restricted
Total funds
Unrestricted funds:
General reserve
Designated fund:
BPSPA
Revaluation reserve
Restricted funds:
Restricted fund
Total restricted
Total funds		 Restated
£
3,984,793
217,227
-
-
5,136,929
At 1 September
2019		 Income
£
7,769,572
30,349
-
-
-		 Expenditure
£
(7,373,351)
(40,426)
-
-
-		 Transfer
Between
Funds
£
207,271
(89,330)
-
-
(111,672)		 Gains/
(losses)
£
-
-
-
-
-		 £
4,588,285
117,820
-
-
5,025,257
At 31 August
2020
9,338,949
889		 7,799,921
5,380		 (7,413,777)
-		 6,269
(6,269)		 -
-		 9,731,362
-
889 5,380 - (6,269) - -
9,339,838 7,805,301 (7,413,777) - - 9,731,362
£
3,709,167
82,305
5,248,601
At 1 September
2018		 Income
£
7,819,579
134,922
-		 Expenditure
£
(7,655,625)
-
-		 Transfer
Between
Funds
£
111,672
-
(111,672)		 Gains/
(losses)
£
-
-
-		 Restated
£
3,984,793
217,227
5,136,929
At 31 August
2019
9,040,073
-		 7,954,501
23,484		 (7,655,625)
(22,595)		 -
-		 -
-		 9,338,949
889
- 23,484 (22,595) - - 889
9,040,073 7,977,985 (7,678,220) - - 9,339,838

The restricted funds relate to a donation for the Forest School Gazebo Structure, Learning Support Department and donations collected on behalf of Keech Hospice and The Children’s Society.

The designated funds relate to donations made to the school or deposit donations which the school will use on development in future years.

Page 28

Beechwood Park School Limited

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 August 2020

19 ANALYSIS OF NET ASSETS BETWEEN FUNDS

Tangible fixed assets
Current assets
Current liabilities
Long term liabilities
Total net assets
Tangible fixed assets
Current assets
Current liabilities
Long term liabilities
Total net assets		 Unrestricted
funds
£
4,011,859
2,900,886
(1,708,361)
(616,099)		 Designated
funds
£
-
117,820
-
-		 Restricted
funds
£
-
-
-
-		 Revaluation
reserve
£
5,025,257
-
-
-		 2020
Total
£
9,037,116
3,018,706
(1,708,361)
(616,099)
4,588,285 117,820 - 5,025,257 9,731,362
Unrestricted
funds
£
3,866,996
1,887,857
(1,171,781)
(598,279)		 Designated
funds
£
-
217,227
-
-		 Restricted
funds
£
-
-
889
-		 Revaluation
reserve
£
5,136,929
-
-
-		 Restated
2019
Total
£
9,003,925
2,105,084
(1,170,892)
(598,279)
3,984,793 217,227 889 5,136,929 9,339,838

20 COMMITMENTS UNDER OPERATING LEASES

At 31 August 2020, the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Due within one year
Due between two and five years		 2020
12,217
25,021		 2019
17,216
2,379
37,238 19,595

21 RELATED PARTIES

Governors' liability insurance premium costs were incurred by the Company. The premium is included within the total cost of insurance and is not separately identifiable.

22 CONTROL

The school is under the control of the Governors who are the trustees under Charity Law and directors under Company Law.

23 CAPITAL COMMITMENTS

At the year end 31 August 2020, there was a capital commitment of £13,692 relating to the ongoing building works (2019: £285,119 relating to the ongoing building works.)

24 NOTES TO THE CASHFLOW STATEMENT

Reconciliation of operating result to net cash inflow from
operating activities
Net movement in funds
Depreciation
Bank interest received
Profit/(Loss) on sale of Fixed Assets
Increase/(Decrease) in creditors
(Increase)/Decrease in debtors		 2020
£
391,524
329,839
(6,656)
-
555,289
3,201		 2019
£
299,765
316,557
(11,293)
-
53,652
(79,934)
1,273,197 578,747

Page 29

Beechwood Park School Limited NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 August 2020

25 PRIOR YEAR ADJUSTMENT

The School has restated its accounts for the year ended 31 August 2019, to recognise the financial liability relating to a Pension Provision held with TPT Retirement Solutions - Independent Schools' Pension Scheme. A liability of £285,279 was recognised, and expenditure increased by £75,644, relating to movement on the valuation of the liability in the financial year.

The school has also reclassified expenditure relating to Beechwood Park School Parents Association of £89,330 from trading expenditure to non-educational expenditure.

INCOME FROM:
Charitable Activities
School fees
Other educational income
Other income
Other trading income
Investments
Investment Income
Voluntary sources
Donations and grants
Total income and endowments
EXPENDITURE ON:
Costs of raising funds
Other trading costs
Other non-educational costs
Charitable activities
Education
Total expenditure
Net income/(expenditure)
Reconciliation of Balance Sheet
FIXED ASSETS
Tangible assets
CURRENT ASSETS
Debtors
Cash at bank and in hand
CREDITORS: Amounts falling due within one year
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT LIABILITIES
CREDITORS:Amounts falling due after more than one year
Provisions
NET ASSETS
FUNDS
Restricted funds
Unrestricted funds – general
Unrestricted funds - designated
Revaluation reserve		 Year ended 31 August 2019
As previously
stated
Effect of prior
year adjustment
7,274,216
-
498,768
-
30,302
-
11,293
-
163,406
-
7,977,985
-
150,498
(89,330)
-
89,330
7,452,078
75,644
7,602,576
75,644
375,409
(75,644)
As previously
stated
Effect of prior
year adjustment
9,003,925
-
185,617
-
1,919,467
-
(1,170,892)
-
934,192
-
9,938,117
-
(313,000)
-
-
(285,279)
9,625,117
(285,279)
889
-
4,270,072
(285,279)
217,227
-
5,136,929
-
9,625,117
(285,279)		 Year ended 31 August 2019
As previously
stated
Effect of prior
year adjustment
7,274,216
-
498,768
-
30,302
-
11,293
-
163,406
-
7,977,985
-
150,498
(89,330)
-
89,330
7,452,078
75,644
7,602,576
75,644
375,409
(75,644)
As previously
stated
Effect of prior
year adjustment
9,003,925
-
185,617
-
1,919,467
-
(1,170,892)
-
934,192
-
9,938,117
-
(313,000)
-
-
(285,279)
9,625,117
(285,279)
889
-
4,270,072
(285,279)
217,227
-
5,136,929
-
9,625,117
(285,279)		 As restated
7,274,216
498,768
30,302
11,293
163,406
7,977,985 - 7,977,985
150,498
-
7,452,078		 (89,330)
89,330
75,644		 61,168
89,330
7,527,722
7,602,576 75,644 7,678,220
375,409 (75,644) 299,765
As previously
stated
9,003,925
185,617
1,919,467
(1,170,892)		 Effect of prior
year adjustment
-
-
-
-		 As restated
9,003,925
185,617
1,919,467
(1,170,892)
934,192 - 934,192
9,938,117
(313,000)
-		 -
-
(285,279)		 9,938,117
(313,000)
(285,279)
9,625,117 (285,279) 9,339,838
889
4,270,072
217,227
5,136,929		 -
(285,279)
-
-		 889
3,984,793
217,227
5,136,929
9,625,117 (285,279) 9,339,838

Page 30