OOR Ho Annual Report and Accounts 2021-22 Mcor House *hcpJl & Col*e, Mill Lane, Hurst Green, Oxted, Surrey, RH8 9AQ 01883 712271 Register&J ￿arity. 311871 Patron: HRH The DLthss of Edin￿Ergh GCVO Contents Wdcome Trustees, RepJt: Mwr Hou*'s Vision Strategyt Ob]ecb"ves and Actwties Achievements aThJ Performan Flars fcf FU￿ Our finan io Structure, Governan￿ and Management Trustees. ResFonsibilities Acknowledgements Professional Advisers and Key Inf0m￿tiOn 12 15 17 18 Independent Auditorfs Rwt 1>22 Finanaal Ststements 23-39 Welcome l am pleased on behalf of the Trust￿ to present Mwr Hwse & Qlbje's Annual RetX)rt and Accounts for the year ending 31 August 2022. 2021122 was a momentous year for MCKY House in celthting its 7P Anniversary. The schix)I was the first of its kind in 1947 and I maintain that this innovative spirit INes on. In 2022 we opened our new state of the art Specialist Teaching and Therapy Hub whith is already proving an invaluable resource for ￿Jr students. Further extensive improved faalities and resources are planngj as we stn.ve t(sth to enhan￿ the provision for our students and m￿t the needs of increasing student numLErs. The nUM￿r of students has doubled in than ten years and continue5 to rise sharpty, and three fom entry to Year 7 will commen in 2023. In 2021122 we implemented grovrth in our Eduotional Middle Leadership capaaty and in providing addits'onal staff in the Mental Health and Wellteing team. These changes have made a tremendous contribution to our student provision and are a gctsj demonstration of our adaptabilty to meet inmsirMJ or changing student needs. Our CO￿ provision and succe55 remain: to provth integrated educati￿ and therapy and oipitslise on the work of our Research and TrainirKJ Institute to inform practi￿ here and within the wider DLD community. Our students are at the heart of everything and 2021122 was again a year of great student prcoress. All at M¢x>r House tske pride in student achievement and the athievement of leavers in becoming valuable memters of S￿Iety while transitioning into employmen¢ trainlng or further eduotson. Student success has ten enabled by the dedication and hard work of all o¢Jr staff both individually and, imp)rtantly, in multidisaplinary working to maximise the benefit to our students. In 2021122, we were delighted to again judged as outstsnding by OFsfED in our Care Inspettion. There is however no rcM)m for resting on past achievement and we strive for even ￿etter student prOVi￿On which is reflected in our agreed Strategy for 2022-27. Stuart Dennison, Chair of Trustees & G)verr Trustees, Report The Trustees present their annual for the year endirwJ 31 August 2022, under the Charities Act 2011. toJether with the audited aco)unts for the year which have been prepared under the accounting P￿laeS set out therein and follow and comply with the Accounting and RetKJrting by Charities: Ststement of Recommended Practice applicable to charities preparing their accounts in accordan￿ with the Finanaal Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective l January 2019). Moor House's Wision Moor House exists to provide thildren and students who have severe tkvelopmentsl Language Disorder with an educBtion that prepares them for life as c(mfident and independent Memt￿rS of swety. Strategy, Obiectiveg and Activi The Trustees confim that they have Compli￿ with the duty in Settion 4 of the Charitie5 Act 2011 to have due regard to the public iEnefit gU￿￿an￿ published by the Charity Commission when reviewing the chariVs aims and obJ"ectives and in Flanning future activib'es. Moor House is a day and residential C(￿luCatiOnal Non-maintained SrEoal s￿l￿¥1 within the meaning of the Educ3b"on Act 1996 and Welcom￿ students aged seven to nineteen years from all backgrounds with languaje disorders, induding those with severe Developmental Language Di50rder (DLD). M(K)r Hcmjse aims to pmwde its students wth an &1ucation that pre￿are5 them for as independent a life as tKJssible. All students have an Edu￿￿n, Health and Care Plan (EHCP). Mcor Hcmjse needs to be satisfied that it will ￿ al￿e to edurAte, supwrt and develop a prosFective student to the of their FK)tential. Consequenty, Moor House undertskes a lengthy and thorough admissions assessment prLWS to ensure that any prospeth've student is able to benefit from the intensive therapy and teaching that M(x)r House provides. An individual's economic ststus, gender, ethniaty, r￿, religion or non-DLD disaknlities play no part in the assessment pr(Kess. on￿ a student stsrts at Mojr House, teams of SFeech and language thefapists and ¢xcupational therdpists work dose￿ with the teathing stsff to provide the appropriate specialist education and therapy to fit their individual needs. Students come from throughout the country, but mostly from the Swth of England. M￿r House athieves its vision and aims ty: Ex￿llen￿ of provision in teaching, theTrpy and r&idential care within a highly s￿l311St environment Breadth of approath and curriojlum to meet &ich studentrs needs Inwration of teachingi therapy and residential provision by all staff Provision tsilored to meet each 5tudenYs Klentified nas Knowledgeable and exFertenced staff ccjnmitted to their professions, roles and development of colleagues Working t¢>gether in a partnership of students, parents, staff and &)vemor5 Undertaking tEer-reviewed research leading to ewden￿based innovations Advising and training ottEr professionals and parents with an interest in DLD ￿lated issues The Trustees are resFKJnsible for setting a k)ng-temi strategy and annual priorities that are reflected in the M(x)r House Development Plan. These reflect our educational aims and eth05 Within the context of the brc42der aims we set for Moor House and its students. Fees are set at a level to maintain the financial viability of House and at a level that is consistent with the aim of providirKJ an excdlent &Jucation to our students. Fees are nOM￿llY paKI by the 5tudenYs LLXOI Authority buL in ex￿￿tiOnal arcUMstsn￿, the Local Authority may arrange the family to Fey part f*s. Achievements and Performan The key Strategic priorities that were the fourKJath)n of the mC￿r House Development Plan ft)r 2021122 were as follows: To maintain outstanding outcomes for stL￿ents in all areas Confirm￿ by Ofsted To impn)ve the effectiveness of the MHS&C curriculum using Otsted's'Intent, Implementation and Impacy framework. Athieved- S￿ OfytedS(xyal Care Rel￿rt (15NovemLw2021). To improve prowsion for students: To develop the use of tthnolcAJy for leaming, iThJuding assistive and virtual technology, across the Sch￿1 and College. Partia//yadiieved- assistive technotyy remains underrek7év Read & Wnte'and Equai?o'sotlware now rolledoutfor student use toth 3tsdL￿ and home. To establish a rolling refrJrbishmenUreplacement prcgramme for the and College. Athiev&l- ￿ Eststes'on page 9. To restore provision to rytrpandemic levels in so far as government advi￿ and guidantr allow. Ath￿ved- McorHouse remainedfultyopen throughout the academic year whilst fulty adhering to governmentad￿ andguIdan￿. To emb&J further the mental health and wellbeiro strategy. Athieved- the mental he8/th ond wellLLTring team was e¥p3nded to Ind￿ts three days ofELS4 {Emotsonal Litew sup11￿ASSIstsnts), iwo days of 77wapeuticPlayPTrttkiw in training, full time Child Counselloranda fvllbme andpart tsnTe (thr￿ dayS￿r week) Childand Adoles￿nt Psy0lothera￿S To implement an organisatson-wide strategy for finanaal sustsinabilty: To generate long-tenn effioenaes in all aspects of our activtty to underpin the fee Structure. Athieved. robust fee 5ettsng methodoty estab/ishedlc49hng overa 3. yearpnod to ensure fee levels are setappropnatelyandare refieL*ve of effioenaes deliver&l. To embed improvement thlls and acbvity in all depathents. AthÉved- prLKess impmvementpnyramme for the year was delivered ¢vith staff involved To develop workforce planning and th￿ year departmentsl effectiveness and effioency plans. Achpved- enhancedplanning n7ethLkntyy em£Edd&l with To develop a fve year stratew: Govemors and s￿ to develop a strategy for M￿r Hcmjse for the peritsj 2021122 to 2026127. PaKtsa/tyachieved. An initia15trategrplan has been developedand now requires further work to finalise. Student Achievement and Perforniance - School Moor House had 131 scfrMx)I students in totsl (2021: 128). All students athieved aL*)ve ex￿ed entry to exf( dats statisti¢3 for a sp&rialist settingi with IOOWO achieving at least extErted prr4ress in English and Maths. 73¥0 of students gained at least one GCSE or equivalent (up from 47% last year), with GCSE or equivalent entries up from 75 to 94. Three students gained a Distinction in FOCKI, whilst our Creative Arts students all gained EL Diploma qualificztions the first time. Other h￿hlIghts induded passes for all of our English Language (XSE entries and some strong passes (fve or al)ove) in English Literature, Maths, Saen￿, Art and History. The students participated in a range of extra-ojrricular activities and a number of educational and residents.al visits during the year. The students also tenefit from Moor House's own 25 metre wmming FOJI and have the optK)rtunity of partiapating in an extensive extra-curricular programme induding SFrt music and drama clubs, as well as trips Out including onema visits. Student Achlevements & Perforniance- College Mcor House had 58 (nllege students in totsl (2021: 58). As part of Mc(K House prowsion, the students attend a Partner College, 5UPtM)rted by members of our stsff. This enabled students to follow a wmle range of courses indudiThJ Art & Design, Media, I￿, PrcKluction Arts, HorbCUttu￿, Environmental Studies, Bricklaying Electrical Instsllabons, Childcare, Animal Management and Horistry. Our College students imkyoved ￿rfOrnIance from Last year in English and Maths and this was repeated in their courses in other subjects that are provided ty our partner Further Education coll8Je and supported by our staff. At the end of the academic year all 13 leavers entered Education, Employment or Training. One student progressed to Universty, five entered Further Education, four entered employment or training, entered a supwrted internship and one student continugj onto a Post 19 provision. Overall academic athievement in JU￿ 2022 resulted in a 50% pass rate in Maths and 81Vo of Students achieved their English qualifications. In addition to this ICXP/o of students athieved their vocational qualifications with 14 % achieving Disb-nctions and 26% athieving merits at Level 112 compared to IO% nationally achieving the top grades. 80¥0 of students on Level 3 achieved a merit in their qualificztion, compared to 12.5% of students achieving the top grades nationally on Level 3 qualifi¢Jtions. Moor House Research and Training Institute Achievements & PerforniarKe The Miyjr House Researth and Trdining Institute COntri￿te5 direttly to the aims of the Schi)ol and College and also (3Thies out researth and provides training. This directty and indirectly benefits a wide range of thildren with language disorder5, the majority of whom are not at Moor House. It aims to achieve this ty. orying out research vthich contributes to the eviden￿ base and thus infomis intervention and Folicy decisions for children with language disorders koth within and outside Mwr House. providing training courses for intemal extemal prOf￿￿lOnaSS, on-site, off-site and online. creating and maknng available resour￿ for profes5K)nals working with children with language disorders. Four research Pape￿ were submitted and accepted during the year with three, 'Research Priorities for DLD,, 'Intervention for vctational vcthbulary for pJst-16 students with DLD. and 'Maximising the benefits of intervention research in DLD, now published (￿line. The Institute offer5 training courses for Sreech and Language TheTrpists (SLTS), Occupational Therapists {OTs) and professionals w0￿1ng within Education. We also expanded our range of courses wtth the development of a new Developmental Language Disorder (DLD) Webinar Series aimed wvjominantiy at teathers. The Institute team also published arbdes in industy magazines and We￿ invtted to present at various conferences induding the TES SEN sh￿1, the largest trade show for the SEN sector, for the second year in succession. Llnks with the Community and Fundraising The highlight of the year was undoubtedly the completion of the brdnd-new Specialist Teaching and Therapy Hub. Fundraising for this opital project had prc*3ressed extremely well until it inevitsbty slowed during the pandemic. However, with gerErous donats.ons during the year of £20,000 from the Bemard Sunley Foundation, £50,000 frcm the Wolfson Foundation £30,000 from the Beatri￿ U4ing Trust we were able to meet our fundraisirrfj target for the pro]￿t. We a￿ extremely proud to have delNered this project des￿te significant external d)allenges. It is wonderful to ￿ the building teing fijlly utilised and enjoyed by our students and staff alike. It was also a delight to indude tours of the buihding to members of our community at our summer fete. The summer fete was hugely su￿$ful and it was dear to see that our stsff, students and their families and our kthl neighbours were thrilled to On￿ again be socialising together with fccd, drink, stslls and live music. The retum of Illyria to perfomi Peter Pan provthd anotlv opFortunty to bring our community toJether, something gready missed in recent times. We were also delighted this year to see the full retum of supwer led fundraising events, induding a very Suc￿sfUl golf event and the annual supercar show. In addition, thousands of pJunds were raised by our supw)rters taknng part in various challenge events, including the London Marathon, Ride London and the kjuth Coast Challenge. Mcor House is registered with the Fundraising Rujulator and commits to Complian￿ wrth the C(yJe of Fundraising Practi￿, The General Data Protection Regulation, Charity Commission guidelines and Mtsx House's own Ethical Fundrdising Pdicy. There have been no complaints in relation to fundraising attivities. The Trustees are indebt8J to our donors and thank each and every one of them for their generosty and ongoing SUPkK)rt during unprecedented times and we are grateful to all our supw)rters and thank them for their commitrnent and patien￿ during a time of great untrrtainty. Estates As part of an agreed rdling projramme of refijrbishment and replatrment, improvement works during the year induded the conversion of offiTr Space into a dassrcom for Key Stage 2 and the instsllation of a new IntrL￿er afami Wem. Our regular upgrade prc¥Jramme a150 induded new r(￿fing on the medical rcom and speech and language r￿mS in the main building, renewal of flc()ring on three of the main building staircase5. new fl￿rIng in the swimming entran￿ foyer, staircase and spectstor gallery, new student Icthrs in the swimming pKL)l entrantr foyer, installation of a new industrial fridgelfreezer in the kthen, nLw showers in the West Wing and continued upjrading of the schcx)I's el￿]Cal wiring. The highlight of the year was the 0)M￿ebOn of the TherBpy Hub, a stand-alone building providing purwStrbUi￿ therapy facilitES whilst enabling our students to leam practical life skills. Building work began in July 2021 and was completed in May 2022. The Therapy Hub provides facilities that have never pwously been available at Moor House, reinforcing our V15ion of integrated &luc2tion and therdpy to ensure that our students can thrive in adulthixxj. Mc#)r House remain committed to ensuring that continue to maintsin our eX￿{lence in provision. The key strategic priorities fomiing the foundation of the Mcx)r House Development Plan for 2022123 are to.. Maintsin outstanding outcomes for students in all areas of our provision Improve the educational, theraFeutic and care pr(MSion for students Further develop the faolitie5 and infrastrutture at Mcx)r House Extend the reach of our student health aThJ wellLEirtyJ progRmme Expand our on-site course offering for college students Incw5e our capaaty to better meet demand Continue our research into language di50rders to the benefit of our own students and the broader ccKnmunty Develop outreach Servi￿ to hdp the transition students p￿t Mc*)r House College Our Finances Total income for the year ended 31 August 2022 was £11,086,M an increase of £601,258 on the previous yearf5 totsl income of £10,485,532. The prinapal source of income was pupil fees which amounbj to £10,404,915 an increase of £534,247 on the previous year mainly as a result of an increase in pupil numters from 186 to 189, reflerting the high esteem in which Moor House is held. 98% of pupil's fees were fvnded by Lc(al Authorities. Totsl income also indudes restritted fundraising income of £102,022 (2021.. £65,0(10), induding donations of £IOO,000 (2021: £45,000) towards the Therapy Hub. Total expenditure was £9,721,119 (2021: £8,672.366) resulting in an OFernting surplus for the year of £1,365,671 (2021: surplus £1,813,166). The year end revaluation of McM)r House's defin&d i￿nefft pension liability resulted in an actuarial net gain of £2,882,000 (2021.1055 £190,000) being induded in other recognised gainsl(10sses) resulting in a net surplu5 for the year of £4,247.671 (2021.. Surplus £1,623,166). The actuarial net gain for the year on MTr)r House's Lcol Gjvemment defined benefit scheme reflected a loss on stheme assets of £700,000 and an attuarial gain of £4,536,000 resulting in an overall surplus of 5theme assets at 31 August 2022 of £954,000. However, as the Charity is unable to rerover any part of such surplus, either by way of reduced contributions or in the future or refunds from the scherne the surplu5 has not n recognised in the accounts and the pension re5eNe has teen redu￿1 to nil results'ng in an actuarial gain of £2.882,[￿ ￿eIng tsken to other recL>Jnised gains and losses in the Statement of Finanaal Activities. The actuarial gain arose mainly as a result of an increase in the discount rate used year on year from 1.65% to 4.25% and the resulting redurtion in the scheme's financial obligations. The charity has a strong balan￿ sh*t with net assets at 31 August 2022 of £10,337,150 (2021: £6,089,479) induding net cash and cash equivalents of £3,786,259 (2021.. £3,406,379) following the retk3yment of bank loans during the year and major exrEnditure on the new Therapy Hub. The Trustee5 are committed to ensuring that future invesbnent 15 met from cash flow generated by its charitat4e activities and the continual success of its fundrdising campaigns. io ReseThes and Reserve pollcy Totsl funds at 31 August 2022 were £10,337,150 {2021: £6,089,479) and comprised an Endowment Fund of £52.915 (2021: £62,639), which cannot be spent. Restritted Funds of £nil (2021.. £768,883), whith can only be S￿nt on the purF¥)se for which they were given as descriLEd in note 14 and totsl Unrestritted Funds of £10,284,235 (2021.. £5.257,957). Of the total Unrestricted Funds an amount of £5,755,950 (2021: £3,376,869) has keen designated as it has tr￿n invested in the charivs buildings and other fixed assets used in the delivery of the seNices to the ￿nefiaarie5 and is not fr￿lY available to spend, a Welfare Fund of £21,065 (2021: £17,916) which can be used for the benefit of students and a Defined Benefft Pension Reserve £nil (2021: £2,902,000). The Trustees re5eNes Folicy is to hold a Generdl Unrestricted Fund equNalent to at least one term's operational exrEnditure, currenuy £3.1 million. to allow for the rna1ntenan￿ of the seNios provided and for adequate wothng capital if there was a temtx)rary reduttion in income or incursion of unfOre￿n costs. In addits"on, the trustees aE committed to ensuring Mo)r House's frdalities are kept to the highest stsndard for the tEnefit of all of its pupils. The General Unrestrirted Fund at the year*nd was £4,507,220 (2021: £4,765,172). The Trustees keep this Folicy under regular revieN whilst taknng account of future kX)tentbal capital projetts. Goin9 concern Mcor House participates in the Surrey Pension Fund (the Fund) part of the Local &)vemment Pension Stheme (LGPS), a defin￿1 benefit stheme. which was clo*d to new Mcor House entrants in 2008. McL)r House engages an independent attuary to carry out a valuation, for accounting purp)ses, of the FuThY at the balan￿ sheet dates. As described in Note 13 to the accounts the stheme had a surplus of as*ts at 31 August 2022 of £954,000 compared to a net defin￿ tEnefit obligation of £2,902,000 at 31 August 2021. The trustees are aware that the result of the annual valuation can volatile and this is reflected in their finanaal Strategy for Mcor House and their regular mon￿n9 of Mc*)r House's finan￿. Other key risk5 that could wtentially have a detnmentsl eff￿ on M￿r House's finances indude demand for pla￿ arKI capaoty for day and residential students, pressure on Local Authorities funding, expansion of faalities on site whilst ensuring student provision is maintsined aThJ recruitrnent and retention of s￿la115t staff. Having reviewed thtse risk5 and in VEW of the strong level of Unrestricted General Funds, the increase in pupil numters and the Strong indiotions of continuing pupil demand the Trustees are of the opinion that the Charity is a going concem for the forthcoming year and for the foreseeable future. li Structure, Governance and Management Moor House oFerates under a scheme drxument which was sealed by the Charity CoMmi￿10n for England and Wales on l June 1998, as amended by resolution dated 9 December 2013, which indudes the regulations for the app)intment of Trustees. Moor House's purkX)se is the advan￿ment of education in particular ty means of the running of a special sch￿1 within the meaning of the Education A(t 1993, as set ¢)Ut in tts stheme d(tument. Oryanisation structure The Board of Trustees is responsible for the overall management and control of Moor House. Whilst the U￿lmate responsibility rests with the BcAard of Trust￿, whth deals with strategic and finanaal issues, other operational considerations are delegated to the Board of Governors, with day-to-day matters being handled by the Prinapal, Bursar and Business Manager and Senior Management Team. All of the Trustees are Govemors,. in addits'on, there are one Parent Govemor, one Staff Govemor and one Teather Govemor. The Principal and Bursar attend all Trustee and ￿vemOr meetings. The sub-committees of M(￿r H¢JJse ￿￿e. l. "Every LTrild Matte￿-cOmMittee - propJ5es the priorities for the five outcomes of the'Every Child Matters. agenda. It monitors Safeguarding via termly monitoring visits and the work of the safeguarding Trust￿. 2. &*cgress & Attainment c0mmrt￿ - monitors all asFects of student prc#Jress and attainment in education, therapy and care. 3. Finan￿ & Audit ComMitt￿- monitors, supwrts and recommends improvements in financÈal planning, contrd and ￿fOrnian￿ to ensure long-term finanaal stability. 4. Human Resour￿ & ￿Ven10n￿ CoMmitt￿- monitors, supEK)rts and recommends improvements in the implementation of HR strategies and aims to SUPkKKt student and stsff welfare. Ensures governan￿ structure and pr(Kesses are fit for purpose. 5. Pay Committ&- to decide the pay for senior managers and recommend pay and remunerdtion Folicy for groups of staff. 6. Researth Ethic5 Committee- to assess all internal and extemal research projects submitted by the intemal Ethics committ￿ for assuran￿ that any research project meets MHS&C ethical statKlards before approval. 12 Trustees (membership of sub report by exception We have nothing to report in respect of the fdkming matters where the Charities Act 2011 requires us to report to you if. in our opinion.. the informab)n given in the Trustees, Annual Report is inconsislenl in any material respect wrth the financk81 statements., or the charrty has not kept adequate accounting records.. or the financial statements are not in agreement with the accounkn.ng records and returns., or we have not recetved all the infonnation and explanat￿)nS we required for our audr(. Responsibiltties of trnstees As explained more fully in the tnjstees, Tesponsibilities statement, the trustees are responsible for the preparation of the financial statements and for being satisf*d that they give a true and fair vw, and for such inlemal control as the trustees detemiine ts necessary to enable the prepar￿On of financial statements that are free from material misstslement, whether due to fraud or error. In preparing the financial slalements, the Irusl*s are resp)nSIb￿ for assessing the ehaTtiYs abilty lo continue as a going con¢em, disclosing. as appluble. matters relale(I lo going concern and using the going eoncern basis of accounting Un￿$S the trustees erther intend to liqU￿ale the charity or to cease operations, or have no realistic a￿ematiVe but lo do so. Audltofs Responslbilitios fortho audit of th• financlal Statements We have been appointed as audrtor under section 144 of the Charrties Act 2011 and report in accordance wth regulations made under sedK)n 154 of that Act. Our objectives are lo obtain reasonable assurance aboth whether the financial statements as a whole are free fr¢Jn material misstatement. whether due lo fraud or error. and to issue an auditorfs report that includes our opin￿n. Reasonable assurance is a high level of assurance. but is not a guarantee that an audr( conducted in accordance with ISAS IUKI wtll a￿ayS detect a material misstatement when f( exists. Misstalemenls can arise frLyn fraud or errol and a￿ considered material if. indmdually or aggregate. they could reasonably be expected to influence the economt decisions of users taken on the basis of these ffinancial statements. As part of an aLtdit in accordance with ISAS {UlQ we exeruse profes8ionaljLNJgement and maintain profes5h?nal SCeptic￿M throughout the audrt. We also: Idenlfy and assess the risks of material misstatement of the financial Slalements, whether due lo fraud or error, design and perform audrt procedu￿ responsive lo those risks, and obtain audit evK8ence that is sufficEnl and appr¢)priate lo provide a basis for our ¢)pinion. The risk of not delecling a material mi$slatemenl resuliing frorn fra￿1 is hwher than for one resuf(ing fr￿ error, as fraud may involve c￿lUS￿. forgery, intentionJ omisS￿S, misrepresentslK)ns. or the override of intemal contiol. Obtsin an understanding of intemal CAyntrol relevanl lo the audrt in order lo deson audrt prccedures that ale appropriate in the circumstances, but not for the purposes of expressing an opinion on the effecb'veness of the charity's internal control. Evaluate the appropriateness of accounting poI￿leS used and the re8sonablenes8 of accounting estimates and related disclosures made by the Iruslees. Conclude on the 8pproprialeness of the truslees. use of the going coneem basis of accounting and, based on the audit eV￿en￿ obtained, whether a material uncertainty exists related lo events or onditions that may cast signrficant doubt on the chanty's abilty lo continue as a going concern. If we conclude that a material uncertainly exists. we are required to draw attention in our audrtor's report lo the related disclosures in the financial statements or, rf such disclosures are inadequate. lo modify our opinion. Our conclusions are based on the audit evidence obtained up to the dale of our audrtor'$ report. However, future events or conditK)ns may cause the charity to cease to continue as a going 20 Moor House School & College Independent Auditors Report To the Trustees of Moor House School & College Evaluate the overall presentation. structure and conlenl of the finaneial slalements. including the disclosures. and whether the financial ststemenls represent the undedying tran&￿tionS and events in a manner that achieves fair presentation. We ccrnmunicate with those charged wrth wvemance regarding. among other matters, the planned scope and timing of the audit and signfftant audrt findings, includirkg any signlficanl deficiencies in inlemal control that we identify during our audit. Explanatlon as to what extent the audil was considered capable of detecting irregularitles, including fraud Irregularities, ineluding fraud, are instsnces of Th)n-complvance wth laws and regulat￿ns. We design procedures in line wrth our responsibilities. outlined above, lo detect material misstslements in respect of irregularities. including fraud. The extent to whth our procedures are capable of detecting irregularities, including fraud is detailed tefow. Th8 objectiV8s of our audit in mpect ￿ fraud. are.. to identify and assess the risks of material misslalemenl of the financi81 statements due lo fraud.. lo obtain suffic*nl appropriate audi( ewdence regarding the assessed risks of material mis51alemenl due to fraud. through deS￿nIng 8nd implementing appropriate responses lo those assessed risks,. and to respond appropriately lo inslances of fraud or suspected fraud identified during the audit. However. the primary responsibilrty for the preventw and detection of fraud rests with both management and those charged wrth governance of the charity. Our approach was as folbws". We obtained an understanding of the *al and regulatory requirements appI￿able to the charity and considered that the most swnrf￿nt are the CharitEs Aca 2011. the Charity SORP. and UK financial reptyb'ng stsndards as issued by the Financial Reporting Council We obtained an understanding of hthv the charity oJnpli&s %Mth these requirements by discussions with management and th(Ise charged with govemance. We assessed the risk of material misslalement of thefinancial statements, including the risk of material misslalement due to fraud and how tt mvJht cuur, by hokling discussions with management and those charged with governance. We inquired of rnanagemenl and those charged wrth govemants as to any known instances of non- compliance or su8pectgJ non-rxffipliance wrth lav*S and regulations. Based on this understanding. we designed $pecffj￿ appropriate audit procedures to identify instan￿S of non<0mplian￿ wi(h laws and regulatKins. This included making enquiries of management and those charged with govemance and obtsining alditional corroborative emdenca as required. The￿ are inherent limitations in the audi( prC￿edureS described above. We are less likely lo become aware of instances of non-complk?nce wrtti laws and regulat￿nS that are not closely related lo events and transactions refiected in the financral statements. Also, the risk of not detecting a material misstalemenl due to fraud is higher than the risk of not detecting one resulting from error, as fraud may invO￿e deliberate concealment by, for exampje, forgery or inlentKJnal misrepre8entats"ons. or through collusion. 21 Moor House School & College Independent Auditors Report To the Trustees of Moor House School & College Us¢ of our rgport Th¢s report is made SO￿lY lo the charrws tnjstees, as a toty, in ￿)rdance ￿th Chapter 3 of Part 8 of the Charr(ies Act 2011. Our audf( work has been undertaken so th* we rn￿ht state to the charrty's trustees those matters we are required to slate to them in an audrtor's rekyjrt and for no other purpose. To the fullest extent permrtted by law. we do not accept or assume ￿SponSIbl1rtY to any party other than the charity and charity's trustees as a body. for our audit work, for thi% report. or for the opinion w& have fomied. Statutory auditor 21 April 2023 9 Appold Street London EC2A 2AP Moore Kin9slon Smrth LLP is e1￿Ible to %t as auditor in terns of Sectr)n 1212 of the Companies Act 20Cfj. 22 Moor House School & College Statement of Financial Activities For the Year Ending 31" August 2022 Unrestritted Funds Restricted Endowment Funds Fund TOTAL FUNDS 2022 Notes TOTAL FUNDS 2021 INCOME Incomè from charirable activities School and College fees Assessmeni Fees Training courses & lecrure fees Grants Bursaries,Pupil ￿eMIum.$Undry Bank Interest Donations Donations Fundraising Events Parents contributions Income from trading artiviiies Catering Rent From flats Hire of swimming pool & hall 10,404.915 42,200 106.065 10.404,915 42,200 106.065 287.564 20.226 2,550 9,870,668 44,650 109,211 331,748 30,938 1.673 287,564 20,226 2.550 45.867 6.100 102.022 147,889 6,100 26.291 76,150 398 7,244 26.297 5.785 15,665 21.540 5.785 15.665 21.540 12,852 Total Income 10.670.913 415.877 11.086,790 10,48S,532 EXPENDITURE Chariiable activiiies Education & speech therapy.. Staff costs Education costs Admin & establishment Dome5tlC C05t5 Depreciation Interest Fundraisin9 aciiviiles Fundraising & marketing 3 7.492.474 4 506,593 678.129 6 191,123 21 0.891 7 291.109 118,983 90.546 106,348 7.611,457 597,139 784,477 191,123 220.61 S 291,109 6,971,331 468,014 621,440 174,272 215,855 191,642 9,724 21.419 3,780 25.199 29,812 Total Expenditure 9.391,738 319.657 9.724 9.721,119 8,672,366 NET INCOME/(EXPENDrruREI 1.279.175 96.220 19.7241 1,365,671 1,813,166 Transfer5 between funds Oiher recogni5ed galns/llosses Actuarial net gainlllossl on defined benefit pension scheme 7 3 2.882,000 865.103 1865.1031 2,882,000 1190,0001 NET MOVEMENT IN FUNDS Reconciliation of fund5'. Total Funds brought forward 5.026.278 1768.8831 19,7241 4,247,671 1,623.166 5.257.957 768.883 62,639 6.089.479 4.466,313 FUNDS CARRIED FORWARD 10,284.235 52.915 10.337,150 6.089,479 The notes on pages 26 to 39 form part of these Finan￿al Statements All rransattions are derived from continuing artwiiies There are no recognised gains or losses other than the results for the year as set out above 23 Moor House School & College Balance Sheet As at 31" August 2022 2022 2021 Notes FIXED ASSETS Tangible a55ers CURRENT ASSETS Debtors Cash and cash eouivalenr5 7,904.785 6.325.071 io 2.593,S89 5.882,179 2.411.402 6,291.942 CREDITORS.. Amount5 falling due wirhln one year 8.475.768 8.703.344 14.025.874) 13.271.8761 NEf CURRENT ASSE[5 4,449.894 5.431.468 TOTAL ASSEfs LESS CURRENT LIABIUTIES 12.354.679 1.756.539 CREDITORS-. Amounts falling due after more than one year 12.017.5291 15,667.0601 TOTAL NET ASSETS 10.337.150 6,089.479 FUNDS Unrestricted funds General fund Welfare fund Oesignated fund 14 14 14 4.507.220 21.065 5.755.950 4.765,172 17,916 3.376,869 10.284.235 8.159,957 Defined benefit pension ￿Serve 14 12.902,0001 TOTAL UNRESTRicfED FUNDS 10.284,235 5,257.957 Restrirted funds 14 768.883 Endowment fund 14 52,915 62,639 TOTAL CHARITY FUNDS 10,337,TSO 6.089,479 Approved by the Board of Trustees on 20 March 2023 and signed on it5 behalf bv". S Oennison - Chaimian D Marnham - Trustee The notes on pages 26 to 39 lorm part of these Financial Statements 24 Moor House School & College Cash Flow For the Year Ending 31" August 2022 2022 2021 Cash flows fr(Mn operating acTiVitles Cash generated by operations 2.180,209 1.774.804 Investing activities Purchase of tangible fixed assets Financing activities Loans repaid 11.800.329) 1159.6161 1789.6431 1113,9351 Nei cash used in investing & financlng actlwliies Net Increast/ldecrease> in cash and ash Equivalénts ,589.972) (273,551) (409,763) 1.501 253 Cash and cash equivalents ai beginning of year 6,291,942 4,790,689 Cash and cash equivalents at end of year 5882.179 6291,942 RECONCILIATION OF NET INCOME TO NEf CASH FLOW FROM OPERATING ACTIVITIES 2022 2021 Nei Income for the reporting period Adjustments for.. Depreciation of tangible fixed assets Movements in working capital.. Ilncreasel in debtors Increase In credltors .365.671 1,813.166 220,61 S 215,855 {182,1871 776,110 1434.8381 T 80,62 1 2.180,209 1,774,804 CASH AT BANK AND CASH EQUIVALENTS 2022 2021 Cash at bank and io hand Cash equivalent132 day notice bank accouno 1,759,374 4.122.805 4,171,336 2,120.606 Cash and cash equivalents at end of year SA82.179 6291,942 ANALYSIS OF CHANGES IN NET CASH AND EQUIVALENTS At I Sepi Cash fk 2021 £ Non cash changes £ At 31 Aug 2022 £ Cash 6.291,942 1409.7631 5.882.179 Borrowings- due within one year Due afier more than one year 120.503 1120.503) 78.391 78.391 2,765.060 1669.1401 178.3911 2.017.529 2,885.563 1789.6431 Total Net Cash & equivalents 3.406.379 2,095,920 379.880 3,786,259 The nores on pages 26 to 39 form part of ihese Financial Statements 25 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 ACCOUNTING POLICIES Trust Information Moor House School & College 15 a charitable trust seaied by the Charity Commissioner for England and Wales on l June 1998. l. l Accounting Convention These accounts have been prepared in accordance with FRS102 Yhe Financial Reporting Standard applicable in the UK and Republic of Ireland" I-FRSI 027. -Accounting and Reporting by Charitie5" Statement of Recommended Practice applicable to charitie5 preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRSI 021 effective l January 2019. The charity is a publlc benefit entity as defined by FRSI 02. The accounts are prepared in sterling, which is the functional currency of the Charity. Monetary amounts in these financial statemen15 are rounded to the nearest £. The financial statements have been prepared under the historical cost convention. Comparative Figures The comparative figures are for the 12 months ended 31 August 2021. .2 Going Concern Wlth Increased pupll numbers, solid leve15 of unrestricted reserves, a firm control over expenditure and in the absence of any material uncertainties over the Charity's ability to continue. it is considered by the Trustees to be a going concern for the forthcoming year and ihe foreseeable future. Thus the Trustees continue to adopt the going concern basis of accountlng in preparing the accounts. 1.3 Charitable Funds Unrestricted funds are available for use at the discretion of Trustees in furtherance of their charitable objectives. Designated funds comprise unrestricted funds which have been set aside at the discretion of the Trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the accounts. Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are Set out in the notes to the accounts. The Endowment Fund was established in accordance with the Charity Scheme to include a5 a permanent endowment the site and buildings at the Charity Scheme date. 1.4 Income Donations and other income is recognlsed once the amounts can be measured reliably and it is probable that income will be received. Tax recoverable in relation to donations received under Gift Ald or deeds of covenant is recognised at the time the donation is recognised. Full accrual is made on interest income receivable. 1.5 Expenditure Expenditure is accounted for on an accruals basis and liabilities are recognised as 500n as there is a legal or constructive obligation committing the charity to pay the sum due. Irrecoverable VAT is included with the item of expense to which it relaies. Governance costs comprise those relating to exiernal audit and legal and professional charges relating to the preparation and examination of the annual statutory accounts. 26 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 1.6 Tanglble Flxed Assets Tangible fixed assets are initially measured at Cost and subsequently measured at cost net of depreciation and any impairment losses. Depreciation 15 provided on all tangible fixed assets. orher than freehold land. at rate5 calculated to write off the cost of each asset evenly over irs expected useful life on a straight line basis using these annual rares.. Freehold buildings Leasehold Buildings IT Equipmenr Motor Vehicles Other Equipment 2% 15% It is the policy of the School only to capitalise items with a unit cost over £1 ,000 and a useful life greater than one year. New building are depreciated from the date of first use. Staff costs Incurred on development projects are capitalised. Depreciation on the original Freehold Buildings 15 charged to the Endowment Fund. with all other depreciation being charged to the General Fund. The profit or loss arising from the disposal of an asset Is determined as the difference between the sale proceeds and the book value of the asset and is recognised in the Statement of Financial Activities. .7 Impairment of Fixed Assets At each reporting end date, the Charity reviews the book value of it5 tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If so an estifflate would be made of the impairment loss, and recognised immediately in the accounts. 1.8 Debtors Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. Liabilities and Provision5 Liabilities are recognised when the￿ is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Deferred income represents fees and deposits received in advance of the academic year to whlch they relate. Provisions are measured at the besr estimate of the amounts required io settle the obligation. Where the effeci of the time value of money is material the provision is based on the present value of these amounts, discounted at the discount rate that reflecrs the risks specific to the liability. The unwinding of the dlscount Is recognised within interest payable and similar charges. . l O Cash and cash equivalents Cash at bank and in hand includes cash and Short term highly liquid investments with a shon maturity of three months or less from the date of acquisition or opening of rhe deposit or similar account. l. I l Financial Instruments The Charity only holds basic financial instruments as defined by FRS102. Baslc financial instruments are initially recognised at transaction value and subsequently measured at amortised cost. Financial assets held at amortised cost comprise cash and cash equivalents together with trade and other debtors. Financial liabilities held at amonised c05t comprise trade creditors and bank loans. 27 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 1.12 Operating Lease5 Rentals under operating leases are charged to the Starement of Financlal Activities on a straight line basés over the temi of the lease. 1.13 Accounting estimates and areas of judgment The trustee5 are required to make judgments, estimates and assumptions aboui the book value of assets and liabilitie5 that are not readily available from other source5. Such estlmates and judgments are continually reviewed and are based on historical experience and other factors that are considered to be relevant. The trustees consider the valuation of the defined benefit pension scheme obligation is a significani estimate and judgment affecting the potential liability, if any. recognised in the financial statements. The valuation is subject to the aauarial assumptions set out in Note 13 which are by nature uncerrain and may therefore result In a material adjustment to the book value in subsequent years, financial statements. 1.14 Pension Schemes il The School contributes to the Teachers, Pension Scheme operated by the Teachers, Pension Agency. Coniribution rates are set by the actuaries of the scheme and advised to the Board of Trusiees by the Scheme Adrninistrators. The scheme is a multi-employer pension Scheme and it is not Possible to iderttify the asset5 and liabilities of the scheme which are attributable to the School on an annual basis. Therefore in accordance with FRS17 the scheme Is accounted for as a defined contribution scheme. In accordance with FRSI 02. the accounts recogni5e all contribuiions payable to fund deficits arising a5 a result of past employee service. Contributions to ihe scheme are charged to the Statement of Financial Activities ISOFAI as they become payable in accordance with the rules of the multi employer scheme. ill The School participates in the Surrey County Council Local Government Pension Scheme I'LGPS'I, a defined benefit scheme which is closed to new Moor House School entrants. The scheme is subject to a triennial valuation by an independeni actuary and the initial 31 March 2022 valuation has recently been received. The School engage an independent acruary to project foNard each year the triennial valuation to the balance sheet date. As it is not possible in the time available for the final 31 March 2022 valuation to be received and for the independent actuary to project forward the valuation to the balance sheet date, the 31 March 2019 valuation has been used for this purpose as set out in note 13. The resulting 31 August 2022 valuation showed a surplus of scheme assets over the present value of the defined benefit obligations of £954,000. In accordance wilh FRS 102 as the Charity will not be able to recover any part of the scheme surplus by way of reduced contributions in the future or refunds from the scheme, the surplus has noi been recognised in the accounts and consequently there is no defined pension reserve ai the balance sheet date12021 .. £768.8831 and it is thought likely that this would also have been Ihe posltion if the Inltlal 2022 valuation had been used for the projection forward. The defined benefit obligation 15 calculated using the projected unit credit method and the fair value of plan a55ets is measured in accordance with the FRSI 02 fair value hierarchy. The change in the net defined benefit liability arising from employee service during the year is recognised as an employee cost in the SOFA. The nei interest element is recognised as other financial interest in the SOFA. Remeasurement changes comprlse actuarial gains and losses arising from experience adjustrnenis and the return on plan a55ets. These are recognised in other gains and losses in the SOFA. iiil The School also operates a defined contribution stakeholder scheme for eligible staff, and pension contributions are charged in the SOFA a5 they become payable. GRANTS During the year Moor House received 9rant5 totalling £287,564 (2021.. £331,748) whlch were fully or partially utilised during the year in compliance with the regulations governing their use. 28 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 STAFF COSTS 2022 2021 Salaries & wages Social Security & Pension Costs.. National Insurance Teachers Pension Scheme (note 131 Surrey LGPS current setvice cost (note 131 Stakeholder Pension Scheme (note 13) 6,298,916 5,814,037 568,221 511,784 320,734 274,988 224.000 197,000 199,586 173,522 7.611,457 6.971,331 The average monthly number of full and part time employees during the year wa5 219 12021.-2091 As at the end of the summer term 2022 the number of Full Time Equivalent IFfEI employee5 was 18012021-177} The average monthly number of FtE employees during the year was 184 12021.174) comprlsing.. 2022 77 Teachers & Special Teaching Assistanis Residential Child Care Therapists & Psychologist Research Institute Administratlon Catering & Domestlc Maintenance Fundraising & Marketing 2021 69 32 32 32 18 184 174 The Senior Management Team received salary and benefits, including employer's pension contribution5 and national insurance to the value of £776,3 73 12021 .'£782,9951. SMT comprised.. Principal. Bursar and Business Manager, Head of Residential Care, Head of Therapy, Director of Research and Training Institute, Deputy Headteacher-college, Deputy Headteacher- KS2 and KS3. Depury Headteacher- curriculum and KS4. The number of employees whose emoluments for the year were above £60.000 pa and who were also accruing benefits under a pension scheme was= £60,000-£69,999 2022 2021 £70,000-£79,999 £ I00,000-£109,999 £ i i o.000-£119.999 Total No Trustee received or waived any remuneration or pension benefits during the year or received any other benefits from the charity or a related party. No Trustee was reimbursed out of pocket expenses {2021 .' nil). The School has taken out a public liability insurance policy that provides professional indemnity cover for the Trustees, Governors and staff of the charity. There is a valuable contribution made by volunteers, especially with regard to fundraising events. Their contribution to the School cannot be reasonably quaniified in fjnancial terms and 50 has not been included in these accounts. 29 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 EDUCATION cosrs 2022 2021 FE College Education materials Pupil trips and welfare Staff training and welfare 289.849 245.072 64.223 37.763 62,776 42,462 58.621 37.021 72.526 70,979 40.176 26,604 8,968 8.113 Motor vehlcles Examinations 597,139 468,014 ADMIN AND ￿ABUSHMENT 2022 2021 Utilities Repairs and maintenance Equipment (non capital) Llcences.consultancy and professional fees Research & development Staff recruirment and advertising Printing, postage, stationery Insurance Leases,travel,sundry External audit 204,093 179,548 235,629 203,697 53.578 29,395 90.340 76,213 4.536 7,796 48,609 19,517 42,203 40,236 66,240 44,673 19,989 3,991 19,260 16,374 784.477 621.440 DOMESTIC COSTS 2022 2021 Catering Domestic supplies Medical 150.207 35,788 5.128 113,883 53,764 6,625 191,123 174.272 INTEREST 2022 2021 Loan Inte￿St Net interest on LGPS post employment benefits (note 131 Early repayment break costs 100,960 139.642 48,000 52,000 142.149 291.109 191,642 30 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 TOTAL EXPENDITURE Educatlon Fundraislng 2022 2021 & Therapy Activlties Governance Total Total Support Service Costs.. Admin,Maint,Finance,HR.IT Fundraising/Marketing Governance 682.087 682,087 643,540 100,429 101.432 25,880 25.584 100.429 25,880 682,087 8.912,723 100.429 Direct Charitable Costs 25,880 808,396 770,556 8.912,723 7.901,810 9,594.810 100.429 25.880 9,721.119 8,672.366 TANGIBLE FIXED AssErs IT & other Total Equipment Motor Vehides Freehold Leasehold Project5 Land & 8uildings L&B WIP Buildin9S COST At I September 2021 AdditlOnS Transfers Disposals 8.2S2.698 ,800.329 340.658 169.180 7.447.023 109,333 186,504 169.414 1.630,915 11.81 S,1341 124,3011 1.815,134 124.3011 Ai 31 August 2022 10,028,726 485,771 169,180 9.262,157 109.333 2,285 DEPRECIATION At I September 2021 Charge for the Year Disposals 1,927.627 220.615 124,3011 224.132 135,299 1.513.316 54.495 1,998 151,935 124.3011 54.880 2,187 At 31 August 2022 2.123.941 254.326 147.297 1.665.251 57.067 BOOK Amount At I September 2021 6,325.071 116.526 33,881 5.933,707 54,453 186.504 At 31 August 2022 7.904.785 231.445 21.883 7.596.906 52.266 2,2B5 Freehold Buildlngs includes Freehold Land at cost of £1,500. The Trustees consider that there is a material difference between the book amount and the market value of the land and buildlngs. The buildings are insured at a rebuild cost of £45m. This is not the market value of Ihe land and buildings. L&B Work in Progress projecr additlons in the year comprised Therapy Hub1£1 ,628,6301 and Car Park extension 1£2.2851. This completed the Therapy Hub 50 £1,815.134 total cumulative costs were transferred to Freehold Land and Buildings. 31 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 10. DEBTORS 2022 2021 Trade debtors Prepayments 2.484.574 2,332.046 109,015 79,356 2,593.589 2,411,402 CREDITORS 2022 2021 Amounts falling due within one year.. Trade Creditors Other Creditors. including Lixation and social security costs Bank Loans Accruals & Deferred Income (note 121 174,282 97.842 356,236 203.887 78.391 120,503 3,416.965 2,849,644 4,025,874 3,271,876 Amounts falling due after more than one year. Bank Loans.. repayable in No to five years Bank Loan5.' repayable in more than five years Defined benefit pension liability 349.355 544,579 ,668.174 2,220,481 2.902,000 2,017,529 5.667,060 Moor House has one bank loan, which is secured by a first legal charge over the freehold land and buildings known as Moor House School & College. Mill Lane, Hurst Green, Oxted, Surrey. It is for £2,500,000 and was used to support the development of the School accommodation building known as The Village and is being repaid over 24 years with the last instalment due on 28 Augu51 2040 (interest rale= 4.32%). Two smaller bank loans were repaid during the year incurring break costs of £142.149. 12. ACCRUALS & DEFERRED INCOME 2022 2021 Deferred income at beginning of the period Incoming resource5 deferred in current period Amounrs released from previous periods 2,760,932 2,474,331 3.205.950 2,760,932 12,760.932112,474,3 311 Deferred income at 31 August Accruals 3.205.950 2,760,932 211,015 88,712 3,416.965 2,849,644 Amounts are recognised in the Statement of Financial Activities in the period in which the service is provided. Deferred income is mainly fee income received in advance of the Autumn 2022 term. 32 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 13. PENSION SCHEMES LOCAL COVERNMENT PENSION SCHEME Some employees of the School parricipate in the Surrey County Council Local Government Pension Scheme ILGPSI which is a defined benefit scheme. This is closed to new members from this School. The assets of the Fund are held in externally managed funds invested by professional investment managers. Participation in the Scheme is by virtue of the School's status as an Admilled Bodv. A full triennial valuation of the Scheme is carried out every three year5 by an independent actuary using a rlsk based methodology and the initial 31 March 2022 valuation ha5 recently been received. As it is not possible in the time available for the final 31 March 2022 valuation to be received and projected forward, the independent actuary has projected forward the results of the 31 March 2019 valuation. as it was for the prior year, to the balance sheer date Using the projected unit credit method of valuation required by FRSI 02 allowing for the different financial assumptions allowed under that accounting standard. The 31 August 2022 valuation shows.. 2022 2021 Fair value of the School'5 scheme assets Present value of funded liabilities 10.1 00,000 70,639,000 9.146,000 13,541,000 Closing Position at 31 August The key assumptions used by the actuary Mere: Discount rate for scheme liabilities Rate of increase in salaries Rate of increase in pensions Inflation ICPI} 954,000 12.902,0001 2022 4.25% 4.10% 3.20% 3.20% 2021 1 .65% 3.80% 2.70% 2.70% Longevity in years at age 65 retiring at balance sheet date-. Males Females Longevity in years at age 65 retiring in 20 years= Males Females 22.1 24.5 22.3 24.7 23.1 26.2 23.4 26.4 Reconciliation of scheme assets and Ilabilities-. SSETS LIABILMES TOTAL 10.639.000 13,541.000 12.902.000) 224.000 1224.0001 223.000 148,0001 28,000 At I September 2021 Current service cost Interest income/lexpen5el Employees contributions Employers contributions- primary Employers contribution5- secondary Esrimated benefits paid Remeasurement gains/llosses1'. Actuarial gains Los5 on scheme assets 175.OlXI 28.000 148.000 144,000 1334.0001 148.000 144,000 1334.0001 14.536.000) 4,536,000 1700,0001 1700.0001 Position at 31 August 2022 i 0.1 00.000 9.146.000 954,000 Scheme asset not recogniseil 954.000 1954,0001 Closing Position at 31 August 2022 i 0.1 00,000 10,1 00,000 33 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 The Charity will not be able to recover any part of the scheme surplus at 31 August 2022 by way of reduced contributions in the future or refunds from the scheme. Consequently the surplus of £954,000 has not been recognised in the accounts but offset against the actuarial gain of £4,536,000 along with the loss on the scheme's a55et5 of £700,000 to give a net actuarial gain of £2,882,000 in the Statement of Financial Activities.The current service cost of £224.000 and the net interest cost of £48.000 have also been recognised in the Statement of Financial Attivities as operating costs. The primary employer contributions will be 36.7% for the year ending 31 August 2023 and 39.6% for the two years ending 31 August 202 5. The secondary contributions will be £167.712 for the year ending 31 August 2023 and £200,91 O per year for the two years ending 31 August 2025. TEACHERS, PENSION SCHEME The School parricipates in the Teacher5. Pension scheme IYPSI for its teaching staff. The staff costs for the period includes contributions payable io Ihe TPS of £320,734 {2021'. £274,988). The TPS is an unfunded multi-employer defined benefits scheme governed by the Teacher5. Pension Scheme Regulations 2014. Members contribute on a -pay a5 you go" basis with contributions from members and the employer being credited to the Exchequer. Retirement and other pension benefits are paid from public funds provided by Parliament. The employer contribution rate is set following scheme valuations undertaken by the Government Attuary's Department. The latest actuarial valuation caused the employer rate to increase from 16.48% to 23.68% on I September 2019.This valuation will also determine the opening balance of the cosr cap fund and provides an analysis of the c05t cap as required by the Public se￿iCe Pensions Act 2013. STAKEHOLDER SCHEME The School also contrÉbutes to a defined contribution scheme for eligible staff as the School's auto-enrolment scheme. The pension costs charged in the financial statements represent the employer contributions made by the School £199.586 1202 1.. £173.5221. The increase in contribution is mainly due to an increase In legal minimurn contributions. 34 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 14. FUNDS FOR THEYEAR ENDING 31 AUGUST 2022 Unrestricted Funds General Welfare Designated Pension Reserve £ Restricted Endowment Funds Fund Total Funds Total I Sept 2021 4,765,172 17,916 3.376.869 12.902,0001 768,883 62,639 6.089.479 SurpluslDefiCit)1 .2 56.026 3.149 20,000 96.220 19.7241 1,365,671 Transfers 11,513,978) 1865,1031 Actuarial gain 2,379.081 2,882,000 2.882,000 31 Aug 2022 4.507,220 21.065 5,755,950 52.915 10,337,150 Restricted Funds Atl Se 2021 At 31 Au9 2022 Income Expenditure Transfers Building Fund-Therapy Hub Garden Parents contributions Building maintenance grant Teachers pay grant Teachers pension grant PE and sport grant Covid catch up grant 768.883 i 00.000 13.7801 1865,1031 2,022 12,0221 26,291 126,2911 104,326 1104.3261 31.551 131,5511 87.432 (87,4321 13.000 (13,0001 51.255 (51,255) 768.883 415.877 (319.6571 1865,103 FUNDS FOR THE YEAR ENDING 31 AUGUST 2021 Unrestricted Fund5 General Welfare Designated Pension Resetve £ Restricted Endowment Funds Fund Total Funds Total I Sept 2020 3,092,296 22,476 3.309.449 12.768.000) 737,729 72,363 4,466,313 Surplusldeficitll,740,296 14,560) 56.000 31,1 S4 19,7241 1,813,166 Transfers 167.4201 Actuarial loss 67,420 1190.000) 1190,0001 31 Aug 2021 4,765,172 17,916 3.376,869 (2.902.000) 768,883 62.639 6,089,479 Restricted Funds At I Sept 2020 At 31 Aug 2021 Income Expenditure Transfers Building Fund-Therapy Hub Sensory Garden Multi use games area Parents Contributions Building maintenance grant Teachers pay grant Teachers pension grant PE and Spon granr Covld catch up grant 734,199 3.530 45,000 110,3161 13, 5301 20,000 120,000) 7,244 17.244) 112.292 {112.2921 31.074 131 ,0741 85.485 185.4851 16.180 116,1801 86,717 186.7171 768,883 737.729 403,992 1372,8381 768.883 35 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 The Designated Fund (Flxed Asset Reserve) was established to match the book amouni of the School's Flxed Assets less the debt finance related to those a55et5 and the Endowment Fund. Transfers from the general fund and restricted fund represent Ihe increase in the Chariry's tan9ible fixed asseis and the decrease in related debt financing in the year. The Welfare Fund represents general income from fundraising attivities and donations. The money is spent to enhance the general welfare of the students attending the school. The Building Fund ha5 been established to supporr Building Development Projecrs and donations received in support of the charity's development programme are credited to the fund. The transfer to unrestricred funds represents the value of completed development project assets paid for from restricted donaiions. As there are no ongoing restrictions in place the assets are available to be used by Moor House to fulfil its general charitable activities. The Endowment Fund the site and buildings of 6.25 acre5 of Moor House, Hurst Green, Oxted. Surrey constitute the permanent endowment of the Charity in accordance with the Scheme dated I" June 1998. The Pension Reserve liability recognised in the 31 August 2021 balance sheet was in respect of the present value of the defined benefit obligation of the LGPS defined benefit pension scheme less the fair value of the scheme's assets resulting in a net pension liability of £2,902,000 at that date. The scheme had a surplus of scheme assets over benefit obligations at 31 Augu5r 2022 whlch has not been recognised in the account5. note 13. 36 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 15. ASSET ATTRIBUTION FOR THEYEAR ENDING 31 AUGUST 2022 General Fund Welfare Designated Pension Fund Fund Reserve Restricted Endowment Fund Fund TOTAL £ Fixed A55ets Current Assets.. Debtors Cash Creditors.. Loans < l year Others Creditors.. Loan5 > l year Defined benePIt Pension asset 7.851.870 52.915 7.904.785 2.593,589 5,861,114 21,065 2,593,589 5,882,179 178.3911 178,3911 13,947.4831 13.947.4831 12.017.S291 12,017,529) 4,507,220 21,065 5,755.950 52.915 10,337,150 Ass￿ A￿RIBuTIoN FOR THE YEAR ENDING 31 ALicusf 2021 General Fund Welfare De5ignaied Pension Fund Fund ReseNe Restricted Endowment Fund Fund TOTAL £ Fixed Assets Current Assets.. Debtors Cash Creditor5= Loans < l year Others Credltors= Loans > l year Defined benefit Pension liability 6.262.432 62.639 6.325.071 2,411,402 5.505,143 17.916 2,411,402 6,291,942 768.883 1120.5031 1120,5031 13,151,373) 13.151.373) (2,765,060) 12,765,0601 12,902.0001 12.902.000) 4,765.172 17,916 3,376,86912.902,0001768.883 62.639 6,089,479 37 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 16. STATEMENT OF FINANCIAL ACTIVITIES FOR THE YL4R ENDING 31 AUGUST 2021 Unrestricted Restricted Fund5 Funds Endowmeni Fund TOTAL FUNDS 2021 Notes INCOME Income from chariiable aalvliies School and College fees Assessment Fees Training courses & lecture fees Grants Bursarie5,Pupil Premium.5undry Baak Interest Donations Ceneral donaiions Fund¥aising Events Parents contributions Income from trading attivitiès Catering Rent from flats Hire of swimming pool & hall 9.870.668 44,650 109.211 9.870.668 44,650 109.211 331,748 30,938 1,673 331,748 30.938 .673 11.150 398 65.000 76.150 398 7.244 7.244 12,852 12,852 Total Income 10,081.540 403,992 10.485.532 EXPENorruRE Charitable activities Education & speech therapy. Siaff costs Education costs Admin & establi5hmeni DomestSc costs Depreciation Interest Fundralsiny activities Fundraising & publicity cosis 3 6.854.772 4 334.343 509,148 l 74,272 206,131 7 191.642 116.559 133,671 112,292 6.971.331 468,014 621.440 174,272 215.855 191,642 9.724 19,496 10,316 29,812 Total Expenditure 8 8,289,804 372.838 9.724 8.672.366 NET INCOME/IEXPENDITURE) .791,736 31.154 19,7241 1,813.166 Transfers between funds Other recognised gains/llossesk Acruarial loss on defined benefit pension Scheme 1190,000) 1190.0001 NET MOVEMENT IN FUNDS Reconciliation of funds-. Total funds brought forward 1.601.736 31,154 19.7241 1,623.7 66 3.656,22 1 737.729 72,363 4.466.3 13 FUNDS CARRIED FORWARD 5,257.957 768.883 62.639 6,089.479 38 Moor House School & College Notes to the Financial Statements For the Year Ending 31" August 2022 17. CONTRAcfs AND COMMITMENTS At 31 August 2022 there was nil committed expenditure 12021-. £1.766,685 re Therapy Hub bullding development project). 18. FINANCIAL COMMITMENTS At 31 ALFgust Moor House had outstanding commitments for future minimum lease payments under non-cancellable operating leases which fall due as follows.. 2022 2021 Withln one year-. Between Nio to five years-. 3,806 5,710 3,806 9.516 9,516 13.322 None of the operating leases related to land and buildings. Durlng the year operating lease payments have been recognised as an expense in the Statement of Financial Activities to the value of £4,214 {2021 ." £3.8061. RELATED PARTIES TRANSACTIONS Donation5 received from related parties without conditions during the year amounted to nil 12021 .'£600) 39