THE GORDON FOUNDATION
ANNUAL REPORT AND CONSOLtDATED ACCOUNTS
FOR THE YEAR ENDED
31 AUGUST 2024
OidDOG41 .
Company Number 00027272
Charity Number 312092
•AE3QM861*
3110512025
COMPANIES HOUSE
A05
#18
THE GORDON FOUNDATION
INDEX
Page
Legal and Administrative Inforniation
Report of the Foundation Trustees
4-10
Report of ihe Independent Auditors
11-13
Consolidated Statement of Financial Activities
14
Consolidated and Charity Balance Sheets
15-16
Consolidated Stalemenl of Casb Flows
17
Ststement of Accounting Policies
18-21
Notes to the Financial Sthtements
22-37
THE GORDON FOUNDATION
LEGAL AND ADMINISTRATIVE INFORMATION
Patron
His Majesty The King
Vice Presidenls
The Lord Mayor of London
The Lord Lieutenant of Surrey
The Bishop of Guildford
Ambassadors
Mr P Talbot
Mr M Hawkeswortb
Mr P Wynter Bee
FoundatlOD Cornmlttee (The Board)
Lieutenant General Richard Cripwell CB, CBE
Mr R Whittington DL
1.2.4.5.$.
Mr C Whiffin 12.8
Mr M Barnesl2,5.8
Mrs J Valner 13.J.4.5.7,9
Mr T Gordon
Mrs L Bannister 3,7,9
Mrs A Stephens
Major General A Fay CB
Mrs D McKenzie
Mrs S Hounsham 4.6.7
Mr P Jones 1.2
Mr S Azeem
Brigadier J Mullin
Ms J Kruger
Lord Lancaster
Lt Col J Fernandes MBE
Mrs S Rawal 1.7
Chainnan
Vice Chairn]an
Treasurer.. resigned 27 January 2024
Treasurer.. appointed 27 January 2024
Chair of Governors
retired 27 January 2024
elected 27 January 2024
elected 27 January 2024
Head Te8eher
Mr A Moss
Foundalion and Company Secretary
Mrs J Taylor
Appointed I September 2023
Clerk to Ihe Foundation Committee
Mrs A Mitchley
Appointed I September 2023
Committee Membership
Member of the Foundation Development Committee -
Member of the Joini Finance & Estates Committee =
Member of the Investment Panel -
Member of the Awards Panel = 4
Member of the Governance Committee -
Member of the Enterprises Committee = 6
Governor of Gordon's School = 7
Member of the Risk & Audil Collunittee =
Member of the Perforniance Management & Salaries Committee = 9
THE GORDON FOUNDATION
LEGAL AND AD[NIsTRATIVE INFORMATION (Continued)
ADVISERS
Bankers:
Bank of Scotland
38 Threadneedle Street
London EC2P 2HL
Auditors:
Aliiotts LLP
3, London Square
Cross Lanes
Guildford
GUI IUJ
Inveslmenl MaDagers:
Quilter Cheviot
SenalOT House
85 Queen Victoria Street
London EC4V 4AB
Legal Advisers:
Moore Barlow LLP
The Oriel
Guildford
Surrey GUI 3SR
STA TUS AND ADMtNISTRATION
Registered Office:
The Gordon Fouodation
Gordon's School
West End
Woking
Surrey GU24 9PT
THE GORDON FOUNDATION
REPORT OF THE FOUNDATION TRUSTEES INCLUDING THE STRATEGIC REPORT
STRUCTURE, GOVERNANCE AND MANAGEMENT
The Gordon Foundation is a company limited by guarantee (Company No 27272), its registered office being at Gordon's
School, West En Woking, Surrey, GU24 9PT. The company is a cbarity for educaliollal purpose5 (registered charity No
312092). Following an external review of governance duTiDg 2022, revised and updated Articles were approved on 21
January 2023 and lodged with Companies House and the Charity Commission.
Management of the charity is vested in the Foundation Committee, who are directors for the purposes of the Companies
Act and trnstees for the purposes of charity law. In this regard they comply with the requirements of the Charities Act 2011,
the Trust Deed aDd the Charities SORP (FRS 102). FoundatlOD Committee metnbers are required to retire from office every
third year from the dale of election bul are eligible for re-election for a m&ximum of three ternjs. The Foundation Committee
has powers at any time to appoini additional members. The day to day running of the Foundalioo is the responsibility of
the Head Teacher, Finance & Operations Director, HR Director, Estates Director and Development Director.
The charity was founded at the express wish ofoueen Vicloria as the national memorial to General Gordon who was killed
in Khartoum in 1885. The Gordon Foundation owns, freehold, the land and buildings fornjerly known as the Gordon Boys,
Home which was changed to The Gordon's Boys, Home in 1943, started to accept girls and day boarders from 1990 and
is now known as Gordon's School.
The majority of tbe Governors of Gordon'$ School, a State Boarding School with Acaden)y statu5, are either lrnstees of or
are appointed by The Gordon Foundation.
Following a decision made in 2019 to increase the number of (ex-officio) Vice Presidents, a recommendation Io iDtroduee
the posi(ion of Ambassador was also approved. Ambassadors, a seven-year appointment, are fornier sleeS of seniority
or long service who ljave continued interest in supporting the Foundation's work. Paul Talbot. Gordonian and fornier
trustee of over 30 years, service, and Mark Hawkesworth, fornier Treasurer, accepted the invitation to be the first
Ambassadors for The GordoD FoundalioD while Peter Wynter Bee who retired ij) 2021 after 21 years. service to Gordon's
as trustee and for eight years a School Governor, accepted the Committee's invitation to continue his links as a Gordon's
Ambassador.
The Leadership Team controls the running of the Foundation and School at aD executive level and implements the policies
and decisions of the trustees and governors through agreed schemes of delegation. Key management personnel are defmed
as the Head Teacher, Foundation Directors of the Business services, Deputy Heads (Curriculum and P&storal), Head of
Sixth Forni, a newly appointPAI Dirpxtor of cO-ClCUlar and Assistant Heads.
Arrangements for setling pay and remuneration of key management personnel
The Leadership Team is paid on the Leadership pay scale which broadly adheres to the leadership pay bands outlined in
the School Teachers, Pay and Condilions Document. Leaders must demonstrate sustained perfonnance in respect to their
perforniance objectives; non-teaching leadersbip salaries are benclJmked against local market conditions. The
Perfomance Managetnent and Salaries Committee awards one incremental point on the Gordon's Pay Scale where
perforn]aJ]ce objectives are mei and where there is a sustained high quality of overall perfortnance.
Pollcies and Procedures adopted for the Induction and Training of Trustees
Prospective trustees are invited to Gordon's School prior to their appointmenl to meet with the Head Teacher. the Finance
& OperatlODS Director, the Developmeot Director and at least two trustees who make their report to the next meeting of
the Governance Committee. A scbedule of trustees with their qualifications and experience is maintained, cr05s-ref¢renced
against the business requirements of the Foundation, which assists in the selection of new trust¢¢s.
Once appointed, new trnstees follow an induction program which includes an induction meettng with the Foundation
Secretary and the Clerk which includes an overview of the company and the relationship between The Gordon Foundation
and Gordon's School. Tbey are invited to meet staff members in order to familiarise themselves with the School as well as ,
receiving copies of policies and procedures and other relevant docurnentatlOD. All trustees are encouraged to either attend
professional training courses or take online courses for tste¢S. All Trustees are DBS checked.
THE GORDON FOUNDATION
REPORT OF THE FoifNDATION TRUSTEES INCLUDING THE STRATEGIC REPORT (tODtiDued)
ORTECT AND OWECTIVES
General
CuThently, the main activity of The Gordon Foundation is the support of Gordon's School, a non-selective, Coweducational
State Boarding School for 946 residential and day boarding sNdents aged 11-18 years. The School cbanged from Voluntary
Aided to Acadetny status on l January 2013. Funding from the Education and Skills Funding Agency pays tbe cost of
teaching and learning. delivery of the national curriculum and some ¢1&ssroom facilities. In addition to managing the estate
and buildings, The Gordon Foundation provides support services to the School and in particular runs the boarding operation
for the day, weekly and 11 boardiDg students and the extensive Co-curricular programmes. For families wbo require
financial assistance with boarding charges, The Gordon Foundation is able to provide means-tested burwies.
The Gordon EnteriseS UK Ltd, a subsidiary of The Gordon Foundation, oversees management of and hire of the Gordon's
Sports Hub, letting of the school facilities when not required by the Scbool and other opportunities for non-boarding
revenue generation. Proceeds from such activities are gift-aided to The Gordon Foundation.
Vision
Our long-term vision is a family of Gordon Foundation schools wbere students, particularly those from disadvantaged
back8round5, benefit from a Gordon's education. An education recogni5ed as amongst the rest in the world for the calibre
of yOLmg people we develop, the progress they make and the difference they make to the lives of others.
Object
The object of The GordoD Foundation is to educaie or contribute to the educatiOD of boy5 and girls having particular regard
to those with a specific boarding OT educational Dee(t with a view to preparing them for educaiion or for earning their
livelibood, such object being in continuation of the work of the unincorporated institution known as the Gordon Boys,
Home, established in July 1885 as the National Memorial to General Charles Gordon CB.
Objettive$
Whilst the main objective of The Gordon Foundation is support for Gordon's School, trustees appre£iate its wider object$
of encouraging and supporting residential boarding for 'necessilous' young people, improving the public's awareness of
the value and benefits of residential boarding and increasing funds available to support residential boarding. In setting these
objectives and planning activities, tSteeS give careful consideration to the Charity Commission's guidance on Publi
Benefit.
The objectives for The Gordon Foundation are.
To maintain the National Memorial to General Gordon
Be alert to and take advantage of opportunities to extend the influence of Gordon's both at home and overseas
Ensure that business services provided by The Gordon Foundation are fit for purpose and commensurale with
outstanding provision
tncrease the Foundation's fu]ancial stability and support for fanCIallY necessitous Sdents
Deliver world-class pastoral care, cutTiculutn, and co-curriculum provision
ACTtVlTIES, ACHIEVEMENTS AND PEFORMANCE
The Vision for GordoD'S
The 'Vision for Gordon's, is the strategic plan for Gordon's which sets oul our vision for the national memorial to Generdl
Gordon to be more than a school, but a symbol of what can be achieved by a community united in making an
outstanding contribution for tbe good of global society, through its educational leadership and through the
live5 Gordonians go on to lead. This vision will be extended toward5 203 5, the Foundation, s 150lh anniversary.
A Gordon's education strives to be more than the best possible examination results, but a thorough preparation for life. Our
aim is to develop rounded world class, global citizens with the cbaracter, capabilities and confident humility to achieve
well, to stay active, to appreciate what they have and to connect and give back to the cotnmunities in which they live and
work.
THE GORDON FOUNDATION
REPORT OF THE FOUNDATION TRUSTEES INCLtJD]NG THE STRATEGIC REPORT (contioued)
The Vision for Gordon's is for the national memorial to General Gordon to be a force for a more caring and just world: a
world in which inequality in opportunities is diminishing; where individuals are treated sirnilarly and have equal chances
based not on privilege, but on how hard they work for themselves and others,
AcademR¢ Results for Ihe Scbool
During the year the Scbool educated approximately 978 students between the ages of I l and 18. Recruitment continues to
be strong with waiting IRSts for Key Stages 3 and 4. There were 279 residential boarders and 353 students in the Sixth
Fonn..
Compared to many state schools, the KS5 curriculum at Gordon's is rigorous and a hi8h proportion of students opt for the
more intellectually demanding subjects. 42 % of Y13 Leavers obtaining places at Russell Group UDiversitie5 and 730/0
gained places at their preferred destination. Two students gained places at Oxford and Cambridge, four embarked on
Medical training courses, six gained places at Music/Drama schools. four accepted Sports Scholarships overseas and five
secured Degree Apprenticeships
A Level re$ult$ 2024
GCSE result$ 2024
400/0 of enlries were graded A•
719/0 of ¢nlri¢s wer¢ graded A*
88 % of enlries were graded A•
510/0 of entTies were graded 9 - 7
840/0 of entries wer¢ giaded 9 - 5
930/0 of entries were graded 9
Average performance per student - BBB
BTEC L3 2024
BTEC L2 2024
53•/(k of entries were graded D*
88 /0 of entries were graded D•
I OOl/*o of entries were 8raded D•
More detailed infonnaiion on student activities and the Co-curricular programme can be found on the School website
OTdons.school as well as the Annual Report of the Gordon's School Academy Trust.
Capital Developments
The cuent focus has been the reconstruction of Pitrb l along with the fust of two years of development of the Old pool
and Gyrn to create a Theatre including break out rooms and teaching areas. Continued improvements have been made to
teaching spaces with two new classrooms along with some additional smaller teaching spaces. IT launched eight
cla5STooms of the future to include a docking system for IT device5 rather than desk top machines and the new screens with
all the nCtIonal1ty needing for leaching and learning for the future.
General
The Development team is responsible for activities focusing on support for the school community as well &5 strengthening
local and wider community links. ranging from regular taU(s, organisimg all larger school internal and external events and
seeking opportunilies to let facilities when not required by the school, and fijndraising.
Development Prefects assist the department with appropriate administration and hosting of events, providing them with
some insight inlo a different area of the school &8 well as useful experience. A strong working parthership continues with
the Gordon's School Parents, Association which clearly benefits the school and the parent community.
THE GORDON FOUIYDATION
REPORT OF THE FOUNDATION TRUSTEES INCLLfD]NG THE STRATEGIC REPORT (continued)
Following the dissolution of the Gordonian Association and responsibility for all alu[tl-fo¢USed activity incory)orated
within the Development Office, a key focus continues to be developing a strategy for appropriate communicaliojj and
engagement activity with each age groups. The Gordonian Football team, sponsored by a local business, is also supported
by providing home match facilities on the new 3G pitch. In the SUllUDer, Gordonians of all ages enjoyed being able to
return to tbe School for the Annual Parade and previously meeting up in London after the Whitehall Parade. Fornier
members of the Pipe Band are invited to play in the Big Blaw, the sutnmer cricket match is popular as well as a three-way
netball tournament for Gordonians. staff and cuent student5. The Gordonian Awards. for Arts and for Sports, attract
increasing numbers of high calibre applicants. these fmancially support two Year I l students with the costs for developing
a particular talent, and encouragement to continue inlo the Gordon's Sixth Fonn.
Support is provided to the Careers team lo assist with fjnding work placements and speakers as well as organising the
annual Careers Fair. Opportunities for parents and members of the local community to network continue with reinstatement
of the monthly Business Networking Breakfasts held at the School. The Development team encourages the School Charities
Committee with appropriate links and organisational support" Make a dAfference Day saw student volunteers in the scbool
working for the community from organised sports events for local primary schools, activities in care homes to litter-picking
and clearing of graveyards. A total of 430 student volunteers took part with 1,611 hours recorded.
The Gordon's Pipe Band, now officially the Music Section of tbe Gordon's CCF, participated in over numerous events that
included travel to Scotland to compete in the World Championships, playing at the Houses of Parliament, at Wembley
Stadium and, following a longstanding link with Brookwood Last Posi Association al Brookwood Military Cemetery.
members of the Pipes and Drums who represent the Scbool at Brookwood Last Post were selected lo go to Menin Gate to
play and tske part in the Last Post Association's Remembrance Service. A partnership developing with the National Piping
Centre, Glasgow, is proving beneficial to Gordon's Pipe Band.
Commercial
A planning condition for the Sports Hall and 3G pitcb is ¢omrnunity use with a Cotumunity Use Agreen]enl in place
between Gordon's and Surrey Heath Council. There is contiDued significant interest in hire of these facilities, with a focus
on supporting local grass-roots Sports clubs.
Other commercial activity includes the Sports Hub Café, part of the Sport5 Hall building available for use in conjunction
with sports hire as well as Gordon's Sixth Fonn students during Ibe school day. Tbe monthly Networking Breakf&sls
continue with a number of useful lijths being followed up. We were pleased to secure a new contract for hire of residential
and classroom facilities for four weeks during the summer holidays, while will expand in future years, while again hosting
BaTracuda Day Camps during the Easter and Summer holidays.
Partnersbips
The partnersbip launched with Aldershot Town Football Club in July 2021 wbereby their l $1 team is based and trains at
Gordon's during weekday momings, and provided with catering and other facilities. Continues positively. In addition to
hire charges, School football teams are provided with coaching by the A TFC coaching team and for free home malcb
tickets are available io Gordon's families. oiher sportin8 partnership5 continue, with Harlequins Rugby Football Club and
London Pulse (Premier Netball).
Gordon's is proud to help reduce global educational poverty through a working partnership with the Commonwealth
Education Trust (CET). Forn]ally known as the Commonwealth tnstitute, the CET 15 a well-established. leading cbarity
that ¢hampioDS education actOSS the Commonwealth. Their digital platfornis reach teachers in underserved, often rural
ommunitie5 around the world, providing them with much needed bite-size profe55ional development courses. Gordon's
teacbers work with CET to establish courses to help improve pedagogy and classroom management, lat¢r ¢xt¢nding to
support designated schools througb fundraising and practical resources.
The Catnelthorn FoundatjOD SUPPOrts community-led wildlife initiatives alongside promoting education and socio-
econotnic opportunities in Zimbabwe's Hwange province. Gordon's has pledged to work with tbe Camelthorn Foundation
to raise sufficient fijnds to provide, initially, a girls, boarding house and then accommodation for boys, attending Ngamo
Secondary School. In time, we hope that students and staff may be able to volunteer with the Camellborn Foundation in
their ConVation, education or social progratt]mes.
THE GORDON FOUNDATION
REPORT OF TKE FOUNDATION TRUSTEES INCLUDING THE STRATEGIC REPORT (continued)
External sllPPOrt
Applicalions to trusts and foundations continue for bursary funding as well as specific projects. The support for Gordon's
students from a range of educational trusts is valued, in particular the continued generosity of the Girdlers, Livery
Company.
Support for Gordon's students by The Seb Foundation, Girdlers, Heights Education, Buttle UK, Lloyd Foundation, Etnmott
Foundation. The Royal Springboard Children's Foundalion and Tak Turton Trusl continues to be welcomed by student
families and the School.
In 2021, two significant new competitions were launched. the Wynter Bee Global Citizen Prize and the Headmaster's
Global Citizen Prize, for which students were asked to engage with one of the UN 17 Sustainable Development Goals. We
are immensely grateful to Peter Wynter Bee. former trustee and now Gordon's Ambassador, for encouraging the institution
of these student competitions and for his generosity in fiwding these prizes.
Gordon's is proud to have signed up to the Forces Covenant and to display the Bronze Award of tbe Employers,
Recognition Scheme, recognising the School's role supporting our Forces families as well as being a major employer in
the area. The link with the Cotps of Royal Engineers continues lo be valued. in particular CCF students participating in
Field Days organised at Gibraltar Barracks; training staff from Pirbright Camp assist with ceremonial drill. Members of
the Pipes and Drutns play regularly for the Last Post Association at Brookwood Cemeteries, also for Surrey Police Pass-
Out Paradc5 and wilh Surr¢y Police Band in a Festival RemetDbrallce Parade.
FundraisiDg
The tntstees recognise the importance of meeting ihe highest Standards of pra¢tice and care in relation to fijndraising
activities. The Foundalion keeps donors informed aboui fundraising activities througb regular updates. All fundraising
activity is carried out by school staff, who have received training on fundraising standards. No complaints have been
received. The Foundation only raises funds from those individuals and organisalions known to il and the Foundation does
not undertake fundraising campaigns to members of the public.
Patronage
Following the sad loss of Her Majesty Queen Elizabeth I l. Patron of Gordon's. King Cbarles accepted the Patronage of
the School earlier this year continuing an unbroken line of Sovereign Patronage since Queen Victoria in 1885.
FJNANCIAL REVIEW AND RESULTS FOR THE YEAR
The main sources of funding for the Foundation are tIough boarding charges and investments. Gordon's continues to be
an oversubscribed school operating to maximum capacity witb a waiti.ng list. The fee incorne received by tbe Foundation
was £11,935,120 (2023.. £11,104,652).
The net movement in funds for the year was a surplus of £629,303 (2023.. surplus of £233,581). This surplus includes net
investment gains of £346,351 (2023: net losses £92,846) and acNarial gains on the pension scheme of £206.000 (2023..
actuarial gain £500,000). ExcludiDg these gains the operating surplus for the year was £76,952 (2023: deficii of £173,573).
Inveslmenls perfornied well duri8 the year. The investment portfolio has increased by £450,390 to £3,497,08 I (2023:
£3,046,691).
On l January 2013, Gordon's School converted to Academy Trusl status UDder the Academies Act 2010 with all operations,
assets and liabilities transferred over to the Gordon's School Academy Tnt. This transfer was accounted for using the
acquisition method resulting in a £389,000 deficit on the Local Government Pension Scheme transferring into the
TNst. Most years since there has been an additional deficit on the scheme.
tn the year ended 31 August 2024 ibe p¢nsioD liability reduced by £203,000 to an asset surplus of £1,000. This asset sutplus
has been eliminated a5 there is insufficient evidence to conclude that the'asset, may be available to reduce filTh¢ payments.
An asset sbould Only be recognised lo the extent thal there is tbe ability for the Academy Tt to recover the surplus either
through reduced contribution in the futUT¢ or refunds from the plan.
Further inforniation on the pension schemes is given in note 21.
THE GORDON FOUNDATION
REPORT OF THE FOUNDATION TRUSTEES INCLUDING THE STrATEGIC REPORT {eon¢inued)
RESERVES
At 31 August 2024, fimds comprised Unrestricted funds of £13,602,694 (2023: £13,186,883) aod restricted fimds, excluding
pension reserve, of £1,622,177 (2023.. £1.610.685). The restricted funds pension deficit reserve was £nil as explained above
(2023.. £202.000 deficit). The restricted funds are set out in note 17.
Unrestricted funds are represented by the Fowidation's property and other taagible fjxed assets, inveslments and net
working capital. Free resetves. defmed as total unrestricted funds having eliminated the net book value of unrestricted red
&%sets, are negative and.the Foundation Committee bave set a policy to restore and build free reserves in order to maintain
the site and fijnd tbe moderni5ation and development of Gordon's Scbool. Any surplus funds generated in a fmancial
year are invested in capital development.
Risk
The tNstees have assessed the major risks to which The Gordon Foundation is exposed and have taken step5 to reduce and
manage these risks. Truslees approve a fornial Risk Register which is updated regularly and reviewed by the Joint Audit
and Risk Committee at least a[uallY. The most significant retained risks identified are noted below together with the
means by which to manage the risk..
Risk area
Risk Factor
Existlng Control proeedur
Polilieal, educational
& rinanelal
Adverse impact OD school model
Ensure frequent reporting of student roll and fll)ances.
Hold back on plans, reduce cosis where possible.
Maintain a scbedule of pre-agreed changes in the event
of significantly reduced income. Focus on developing
alternative income streams. Membership of appropriate
bodies for advice and forera5ts.
Charilable status I
TaxatjOD
Adverse fujancial effect such as tax
on profits, loss of business rates.
VA T on boarding charges..
increased boarding cbarges made
unaffordable for many parents and
chan8es school profile
Take appropriate professional advice, reflect in
budgets I planning
Worsening eeonomic
elimate, ineluding
inflatio
Adverse fmancial effect
Contitigency planning
Software I hardware
Loss of curriculum or
administrative data. 1055 of major
systerns applications
Engagement of external IT Services with extended
resources and experience. Cloud storage in use. Data
back up regularly le5ted for ability to restore file. Daily
back-ups. IT a part of disaster recovery plan. Files
restore been tested but needs test application regularly.
INVESTMELYT POLICY
The charity aims to manage the investment portfolio such that investment income is maintained, and capital growth is
achieved, in real tern]s. The performance of investments and the inveskneDt policy is reviewed regularly by the Investment
Panel. The Investment Panel does not impose ally constraints that might lin]it selection of individual investments for social,
envirotmental or ethical reasons.
THE GORDON FOUNDATION
REPORT OF THE FOUNDATION TRUSTEES INCLUDING THE STRATEGIC REPOR T (eoDtinued)
PLANS FOR FUTURE YEARS
3-year Strategic Priorities:
i) Develop a working and learning environment for Gordon's Scbool that moves beyond outstanding
ii) Develop the School's Digital Strategy across both learning and administrative processes
iii) Progress the Estates Master Plan
iv) Design and implement our environmental policy
v) Further develop 'Gordon's Connected, plalfonn, boosting parent, student and staff engagement by creating
partnerships betweeD Gordon's Careers department. Business NeOrk, alumni and parents
vi) Furtber develop Gordon's Schools, Partnership, boosting collaborative opportunities for students and staff.
DISCLOSURE OF IJYFORMATION TO THE AUDITOR
to the case of each person who was a Director al the time this report was approved..
so far as that Director was aware there was no relevant available infornjalion of which the Group's auditor was
unaware and
that Director had taken all the steps that the Director ought to bave tsken as a director to make himself or herself
aware of any relevant audit infomialion and to establish that the Group's auditor aware of that inforniation.
This COnfatIOn is given and should be interpreted ID accordance with the provision of s418 of the Companies Act 2006.
sTATEfftNT OF TRUSTEES, RESPONSIBILITIES
The trustees (who are also the directors of tbe cbaritable company) are responsible for preparing the Report of the
Foundation trustees, incorporating the Strategic Report, and the fu)ancial statements in occordance with applicable law
regulations.
Company law requires the trustees to prepare fmancial statements for eacb fanCIal year. Under ibat law the trustees have
elected to prepare the fmancial statements in accordance with Ulllted Kingdom Generally Accepted Accounting l¥actice
(United Kingdom Accounting Standards and applicable law). Under company law the ttustees roust not approve the
fmancial staiements unless they are satisfied that they give a true and fakr view of the slate of affairs of the charilable
company and the group and of the incoming r¢sourc¢s and application of resources, including the income and expenditure,
of the charitable company and group for that year. In preparing these fthancial statements, the trustees are required to:
select suitable accounting policies and then apply them consistenilyl
observe the meihods and principles in the Charities SORTr;
make judgments and accounting estimates that are reasonable and prudent;
state whether applicable UK Accounting Standards have been followed, subject to any material departures
disclosed and explained in the fLnancial statements.
prepare the fjnallcial statements on the going concern basis unless it is inappropriate to presume that the company
will continue in busiDess.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable
company's transactions and disclose with reasonable accuracy at any lime the fanCIal position of the charitable company
and enable them to ensure tbat the fmancial statements comply with the Companies Act 2006. They are also responsible
for safeguarding the assets of the cbaritable company and the group and hence for taking re&sonable steps forthe prevention
and det¢ctiOD of fraud and other iegularitieS.
AUDITOR
Our auditor, Alliotts LLP, has indicated their willingDess to continue in office.
The Trustees. Report, incorporating the Strategic Report was approved by the trustees of The Gordon Foundation on 18
January 2025 aDd signed on its behalf by:
Lieutenant General Richard Cripwell CB, CBE
Chairman
io
THE GORDON FOUNDATION
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF TItE GORDON FOUNDATION
Opinio
We have audited the consolidated f]nancial statements of The Gordon Foundation for the year ended 31 August 2024 which
comprise the Consolidated Statement of Financial Activities, the Group and Cbarity Balance Sheet5. the Consolidated Cash
Flow Statetnent and notes to the fmancial statements, including a sununary of significant accounting policies. The fmancial
reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting
Standards, including Financial Reporting Standard 102 The Financial Repor¢ing Standard applicable in ihe UK and
Republic ofJreland Iuniied Kingdom G¢n¢rally Accepted Accounting Practice).
In our opinion, the financial statements:
give a true and fair view of the state of tbe group's and of the parent charilable company's affairs as at 31 August
2024 and of the group's and parent Charitable company's net n)ovement ij) fimds, including the income and
expenditure, for the year then ended.
have been properly prepared in accordance with United Kingdom Generally A¢¢epted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.
Bgsis for opinioD
We conducted our audit in accordance witb International Standards on Auditing (UK) (ISAS (UK)) and applicable law.
Our responsibilities under those standards are fiher described in the Audltor's responsibilitRes for the audit of the fmancial
statements section of our report. We are independent of the group in accordance with the ethical requirements that are
relevant to our audit of the fmancial statements in the UK, including the FRC'S Ethical Sthndard. and we have fulfilled our
other ethical responsibililies in accordance with these requirements. We believe that the audit evideDce we have obtained
is sufficient and appropriate io provide a basis for our opinion.
Conclusions relatlDg to going concern
JD auditing the fujancial statements, we bave concluded that tbe tNstees' use of the going CODcern basis of accounting in
the preparation of the fanCIal ststements is appropriate.
Based on the work we have perforn)ed, we have not identified any material uncertainties relating lo events or conditions
that, individually or collectively, may cast Significanl doubt on the group's and parent company's ability to continue as a
going ¢OD¢ern for a period of at least twelve months from when the fu)ancial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees wilh respect to going con¢¢rD are des¢ribed in th¢ relevant
sections of this report.
Other information
The trustees are responsible for the other infonnation. The other inforniation comprises the infornialion included in the
Trustees, Report. Our opinion on the fmancial siatements does not cover the other infornialion and, except to the extent
otherwise explicitly staled in our report, we do not express any forn) of assuraoce conclusion thereon.
In connection with our audit of the fu)ancial statements, our responsibiliry is to read the other information and, in doing so,
consider whether the other infornlation is materially inconsistent witb the fmancial statements or our knowledge obtained
in the audit or othenvise appears to be materially misslated. If we identify such material iJ)coDsistencies or apparent material
misstatements, we are required to deterniine whether there is a material misstatement in the fmancial statements or a
material mi55tatement of the other inforniation. If, based on Ihe work we have perfonned, we conclude that there is a
material misstatement of this other inforn)ation, we are required to report that fact. We have nothing lo report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
tn our opinion, based on the work undertaken in the course of the audit:
Ihe infonnation given in the Foundation Tru5tees' Report (whicb incorporates the strategic report and the
directors, report) for the fjnancial year for which the fmancial statements are prepared is consistent with the
fmancial statements" and
the Foundation Trustees. Report has been prepared in accordance with appllcable legal requir¢menls.
THE GORDON FoufffjATION
tNDEPENDENT AUDITORPS REPORT TO TKE MIMBERS OF THE GORDON FOUNDATION (tontinued)
Malters on which we are required lo report by exception
In tbe ligbt of the knowledge and understanding of the group and the parent charitable company and its environment
obtalned in the course of the audit, we have not identified maierial misstatements An the Foundation Trustees. Report.
We have nothing to report ID respect of the following matters in relation to whicb tbe Companies Act 2006 requires us to
report to you if, in our opinion:
adequate accounting records have not been kept by the group and parent cbaritable company, or returns adequate
for our audit have not been received from brancbes not visited by us. or
the group and parent charitable compaDy fmancial statements are not in agreement with the accounting records
and returns; or
certain disclosures of tnjstees, remuneration Specified by law are not made. OT
we have not received all the information and explanatiOD5 we require for our audit.
Responsibilities of trustees for the fiDancial statements
As explained more fully in the trustees, responsibililies statement set out on page l O, the trustees (who are also the directors
of the charitsble company for the putTX)ses of company law) are responsible for the preparation of the fanCIal statements
and for being satisfied that they give a trne and fair view, and for such inlernal control as the trustees deterniine is necessary
to enable the preparation of fmancial statements that are free from material misstaien)eDt, wtlether due to fraud or error.
In preparing the fancIal ststements, the trustees are responsible for assessing the group's and ihe parent charitable
colnpany'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 group or the parent charitsble company
or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for Ihe audlt of the fiThanf ial statements
Our objectives are to obtain reasonable assuron¢¢ about whether the fmancial statements as a whole are free from material
misstatement, whether due to fraud or error, and to issue an auditor's report ihat 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 rnisstatement when it exists. Misstaiements can arise from fraud or error and are considered material if,
individually or in tbe aggregale, they could reasonably be expected to influence the economic decisions of users iaken on
the basis of these fmancial statements.
Irregularities, including frdud, are instances of non-compliance with laws and regulations. We design procedures in line
with our responsibilities, outlined above, to delect material mi551at¢ments in respecl of irregularities, including fraud. The
extent to which our procedures are capable of detecting irregularities, iDcluding fraud, is detailed below.
Our approach to identifying and a55essing the risks of material misstatement ill respect of irregularities, including fraud
and non-compliance with laws and regulations, was as follows:
the engagemenl partner ensured that the eDgagement team collectively had the appropriate competence,
capabilities and skills to identify OT recognise non-compliance with applicable laws and regulations.
we identified the laws and regulations applicable to the group and parent charitable cotnpany through discussions
with trustees and other management. and from ow knowledge and experience of the sector.
we focused on specific laws and regulations which we considered may have a direct material effect on the fanCIal
statements or the operations of the group and parenl charitsble Company, including the Companies Acl 2006, the
Charities Act 2011, the Academy Trusi Handbook 2023. taxation, employment, environmental and health and
safety legislation.
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of
rnanagement and inspecting legal correspondence. and
identified laws and regulations were communicated within the audit team regularly and the team remained alert
to instances of non-cornpliance throughout the audit.
12
THE GORDON FOUNDATION
INDEPENDENT AUDITOR'S REPORT TO THE iEMBERs OF THE GORDON FOUNDATION (contlDUtd)
We assessed the susceptibility of the group and parent charitable company's fanCIal statements to material misstatement,
including obtaining an Understanding of bow fraud migbt occur, by:
making enquiries of management a5 to where they Considered there was sUept1bIlity to fraud, their knowledge
of actual, suspected and alleged fraud-
consideriDg the internal Controls in place to mitigate risks of fraud and non-compliance wilh laws and regulations.
To address the risk of fraud through management bias and override of Controls, we:
perfonned analytical procedures to identify any unusual or unexpected Telationsbips"
tested journal entiies to identify unusual transactions.
assessed whether judgements and assumptions made in deterniining the accounting estimales were indicative of
potential bias" and
investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which
included, but were not limited to,.
agreeing fwancial statement disclosures to underlying supporting documentstion;
reading the minutes of meetings of the Foundation Committee;
enquiring of management as to acNal and potential litigation and claims, and
reviewiD8 CO)Tespondence with HMRC.
There are inherenl limitations in our audit procedures described above. The more removed that laws and regulations are
from financial transactions, the les5 likely it 15 that we would become aware of non-compliance. Auditing standards also
limit the audit procedures required to identify non-compliance with laws and regulalions to enquiry of the trustees and
other management and the inspection of regulatory and legal correspondence, if any.
Material misstaiemeDts that arise due to fraud can be barder to detect tban those that arise from error as tbey may involve
deliberate concealment or collusion.
A further description of our responsibilities for the audit of the f]nancial statements is located on the Financial Reporting
Council's website at: www.frc.or
,ukJauditorsres
onsibiliti¢s. This description forn)s part of our auditor's report
Use of this report
Thi5 report is made solely to the group and parent 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 group and parent
charitable company's members those matters we are required to state to them in an Auditor's report and for no other
purpose. To the lIest extent pennitted by law. we do not accept or assume responsibility to anyone other than the group
and parent cbaritable compaDy and the gTOUP and parent charitable compaoy's members a5 a body. for our audit work, for
this report, or for the opinions we have formed.
Stephen Meredith BA FCA DChA (Senior Statutory Auditor)
for and on behalf of Alliotts LLP
Senior Statutory Auditor
Alliotts LLP
3 London Square,
Guildford, GUI IUJ
2811125
13
TItE GORDON FOUNDATION
CONSOLU)ATED STATEMENT OF FINANCIAL ACTIVITIES (INCLUDtNC CONSOLIDATED INCOME
AND EXPENDITURE ACCOUNT)
FOR THE YEAR EIYDED 31 AUGUST 2024
Unrtstritted
Funds
Restricted
Funds
TotAI
2024
Total
2023
Note
In¢ome from:
Donations and legacies
Grants
21.042
21.042
30.466
28.751
188.675
30,466
Chiritablt activity:
In¢ome from boarding charges
Oiher operating income
Funding for the Academy's
¢dutIonal operations
11,895.762
751.126
39,358
11,935,120
751.126
6,157,715
11,104,652
654,337
5,874,019
6.157,715
Trgding activities:
Trading incom¢
316,380
316.380
241.685
Investment Income
95.573
12.488
108.061
102.539
Total income
13,079,883
6,240,027
19a19,910
18,194,658
Expenditure OR:
ChAritable aclivity:
Staff costs
Edu¢pAtional S1$
Welfare cos
Premi5 costs
Support costs
Raising funds:
Finance costs
tnve5tment manag¢m¢nt
Trading Activities-
Trading cosLs
7.492.017
4,608.036
464.652
12,100.053
464,652
2,674,178
2.553.247
1,002,027
10.788,007
480.061
2,303,053
3.207.709
1,101,846
2.674.178
,825,816
555.053
727.431
446,974
242.490
77
242.490
1.885
255,185
1.944
1.808
204,426
204.426
230.426
Totol expendilure
12,994,1)$7
6.248901
19,242,9S8
18J68231
Operating lTr¢om¢l(e%penditur¢)
85026
(8874)
76,952
(173,573)
Net gainsl(losses) on investhients
329.985
16.366
346.351
{92,846)
Net ineomel(expenditure)
415.811
7,492
423,303
(266,149)
Actuarial {losses)Igains on defined b¢n¢fit
pension schemes
21
206,000
206,0
500,000
Net movement in (und5 for the year
415,811
213,492
629J03
23381
Fund balances brought forward at I 16,
September 2023
17
13,186,883
1.408.685
14.595.568
14.361.987
Fund balanees carried forward at 31 August 16,
2024
17
13,602,694
A,622,177
15224071
14595,568
All of the charitable group's activities are continuing.
All recognised gains and losses are included in the Statement of Financial Activities.
The accompanying notes forni part of these fancIal ststernents.
Details of comparative figures by fund e disclosed in note 23.
14
GORDON FoufiDATION
Registered Company No: (K1027272
GROUP BALANCE SHIET
AS AT 31 AUGUST 2024
2024
2023
Notes
FED ASSETS
Tangible
Investments
21,597,756
3,497,081
21,557,334
3,046,691
9,10
25,094,837
24,604.025
CURRENT ASSETS
Debtors
Cash at bank and in hand
l2
826,669
87,739
1,048.713
541,892
914,408
1,590,605
CREDITORS.. Amounts falling due
within one year
13
(4,234,376)
(4,514,683)
NET CURRENT LIABILITtES
(3,319,968)
(2,924,078)
TOTAL ASSETS LESS CURRENT
LIABILITIES
21,774,869
21,679,947
CREDITORS.. Amounts falling due
after more than one year
14
(6,549,998)
(6,882.379)
NET ASSETS BEFORE PENSION
LIABILITY
15,224,871
14,797,568
PENSION SCHEME LIABILITY
21
(202,000)
NET ASSETS
15,224,87J
14,595,568
FUNDS
Unrestricted fun(ts
Restricted- Specific Funds
Restricted - Pension Reserve
16
17
17
13,602,694
1,622,177
13,186.883
1,610,685
(202,000)
15,224,871
14,595,568
The fmancial statements were approved and authorised for issue by the Board on 18 January 2025 aDd were signed below
on its behalf by:
Lieutenant General Rlchard Crlpwell CB, CBE
Chai
Mr M Barnes
Treasurer
The accompanying notes forni part of these ffflancial statements.
15
THE GORDOIY FOUNDATION
Registered Company No: 00027272
CHARITY BALANCE SHEET
AS AT 31 AUGUST 2024
2024
2023
Notes
FIXED ASSETS
Tangible
Investments
Investment in subsidiary company
21.408,359
3,497,081
21.342.616
3,046,691
io
24,905,442
24,389,309
CURRENT ASSETS
Debtors
Cash at bank and in hand
12
675.918
80,277
457,397
538,531
756,195
995,928
CREDJTORS.. Amounts falling due
within one year
13
(3,968,724)
(4,000,635)
NET CURRENT LIABILITIES
(3,212,529)
(3,004,707)
TOTAL ASSETS LESS CURRENT
LIABILITIES
21,692,913
21,384,602
CREDITORS: Amounts falling due
after more than one year
14
(6,506,667)
(6,826,667)
NET ASSETS
15,186,246
14,557,935
FUNDS
Unrestricted funds
Restricted fimds
19
20
14,092,935
1,093,311
13,531,028
1,026,907
15,J86,246
14,557,935
The charitable company has taken exemptioo from preseniing the charity Statement of fmancial activities under section
408 of the Companies Act 2006. The net income of the cbaritable company for the year was £628,311 (2023.. net incorne
£232,762).
The fmaDcial statements were approved and authorised for issue by tbe Board on 18 January 2025 aDd were signed below
on its behalf by-
Lieutenani General Riehard Cripwell CB, CBE
Chairman
Mr M Barnes
Treasurer
The accompanying notes forn] part of these fmancial statements.
16
THE GORDON FOUIYDATION
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 AUGUST 2024
2024
2023
Note
Net cash iDflow from operating actlvltles
759.082
800,946
Casb flows from invesling activilies
Investment income received
Capital grants from DFsFA
Purchase of fed assets
Purchase of investmen15
Sale of investments
108,061
30,466
(672.853)
(149,484)
45,445
102,539
286,682
(423.192)
(25,234)
115,669
Net cash outflow from inve$ting aetivltles
(638,365)
56,464
Cash flow from financing aetlvities
Loan repayments
New loan fu)ance
tnlerest paid
(332.380)
(332,380)
(242,490)
(255,185)
Net eash inflow from financing aetivilies
(574,870)
(587,565)
Change in Cash aDd cash equivalents in the year
(454,153)
(269,845)
Cash and cash equivalents at the beginning of th¢ year
541,892
272,047
Cash and cash equivalents at the end of the year
87,739
541,892
RECONCILIATION OF NET MOVEMENT IN FUNDS
TO NET CASH llYFLOW FROM OPERA TING ACTIVITIES
2024
2023
Net movement in funds for the year
Depreciation
ESFA capital grants
Lossesl(Gains) on investments
Decreasel(incre&se) in debiors
(Decrease)lincrease in creditors
Investment income receivable
Finance Costs
Pension adjustmenl
629,303
632,431
(30,466)
(346,351)
434,790
(493.054)
(108.061)
242,490
(202,000)
233,581
622,512
(188,675)
92,846
(366,662)
662.698
(102,539)
255,185
(408,000)
Net cash inflow from operating activities
759,082
800,946
ANALYSIS OF CASH AND CASH EQUIVALENTS
2024
2023
Cash at bank
Overdraft
87,739
541,892
87,739
541,892
17
THE GORDON FOUNDATION
STATEMENT OF ACCOUNT]NC POLICIES
FOR THE YEAR ENDED 31 AUGUST 2024
The Gordon FoundatlQD is a cbaritable company limited by guarantee, incorporaled in England and Wales (company
Dumber". 00027272) and a cbarity registered in England and Wales (charity number.. 312092). The Cbarity's
registered office address is: Tbe Gordon Foundation, Gordon's School, West End, Woking, Surrey, GU24 9PT.
Basis of AccountlDg
The fanCIal statements have been prepared in accordance with the Financial Reporting Standard applicable in the
UK and Republic of Ireland (FRS 102). The company is a public benefit entity for the purposes of FRS 102 and a
registered charity established as a company limited by guarantee and therefore has also prepared its financial
statements in accordance with the Statement of Recommended Practice applicable to charities preparing tbeir
accounts in accordance with the Financial Reporting Standard applicable it) the UK and Republic of Ireland (the
FRS 102 Charities SORP) (effective from l January 2019) and the Companies Act 2006.
The fmancial statements are prepared in sterling, which is the functional currency of the charitable company.
Monetary aLnounts in these fmancial siaternents are rounded io the nearest pound.
The fanCIal statements are prepared under the bislorical cost convention as modified to include the revaluation of
investh]ents. The principal accounting policies adopted are set out below.
Boarding Charge Debtor Pollcy
Boarding Charges debts, in debtors, Tefleci outstandAng debts for the boarding charges to 31 August 2024, whilst
Boarding Charges ID advance, in creditors, retlect casb received prior to 31 August 2024 for the autumn te 2024
boarding charges.
Basls of Consolidation
The consolidated financial statements incorporate tbose of The Gordon Foundation and au its 5ubsidiarie5. All
fu)ancial statements are made up to 3 l August 2024. All subsidiary undertakings have been includ¢d wiihin the
fancial statements.
The entities are consolidated on a IiDe by line basis and all intra-group transactions and balances between group
companies are eliminated on consolidation.
b)
Going eoncern
The fanCIal statement5 are prepared under the going concern basis which assumes the Group will continue lo meet
its liabilities &s they fall due for a period of at least twelve months from the date of approval of th¢5e fmaDcial
statements.
The trustees have reviewed regularly revised budgets and cash flow forecasts based on various scenarios including
the requirements of the bank loan covenants and are keeping the situation under constant review. meeting regularly
with senior managem¢Dt.
Based on the information available on the date of signing these fanCIal statements. the trustees cannot make a
reliable estimaie as to the ultimate fmanrial impact, however they believe the actions taken have ensured the Group's
ability to continue to operate as a going concern for a period of at least 12 months from the dale of approval of these
fmancial statements.
18
THE GORDON FOUNDATION
ST ATEMENT OF ACCOUNTTNG POLICIES (continued)
FOR THE YEAR ENDED 31 AUGUST 2024
Signifieant judgments and sources estimation uneertainty
The preparation of f]nancial statements in compliance with FRS 102 requires the use of certain critical accounting
eslimates. It also requires management to exercise judgment in applying the Charity's accounting policies. The key
judgements that have been applied by management relate to..
Judgment l - the present value of the Local Government Pension Scheme dered benefit asset OT liability
depends on a number of factors tbat are deternlined on an actuarial basis using a variety of assumptions. The
assumptions used in delennining the net cost (income) for pensions include the discount rate. Any changes
in these &ssumptlODS, which are disclosed in note 21, will impact tbe canying amount of the pension liability.
Furtbemore a roll forward approacb wbich projects results from the latest full actuarial valuation performed
at 31 March 2022 has been used by the actuary in valuing the pensions liability at 31 August 2024. Any
differences between the figures derived from ihe roll forward approach and a fi)11 actuarial valuation would
impact on the carrying amount of the pension a55et or liability.
Judgement 2 - a bad debt provision against potential fuNre uncollectible boarding charges.
d) Income
All income included in the Statement of Financial Activities (SOFA) when the group is legally entitled to the in¢ome
and the amount can be quantified with reasonable accuracy. and receipt is probable.
Grants receivable
Grants are included in the Siatement of Financial Activities on a receivable basis. The balance of income received
for specific Purposes but Dot expended during the year is shown in the relevant fund on the balance sheet. Where
income is received in advan¢e of ¢ntiilement of receipt its recognition is deferred and included in creditors as deferred
income. Where entitlement occurs before income is received, the income is accrued. The General Annual Grant is
recognised in fvll in the year for whtch it is receivable and any unspent amounr is reflected as a balance in the restricted
general fund. Capital grants are recognised when receivable aTJd are not deferred over the life of the asset on wbicb
they are expended. Unspent amounts of capital grant are reflected in ihe balance in the restricted fixed asset fund
Donatiop
Donations and all other receipts from fundrnising are reported gross and are accounled for on a receivable basis. The
related fundraisin8 costs are reported in costs of raising funds.
Jnvestmeni Income
Investment income is accounted for when receivable and includes the related t&x recoverable.
e) Expenditure:
Expendittwe is accounted for on an accruals basis.
Costs ofraisingfunds
Costs of raising funds comprise fmance charges associated wilh intere$t payable on the Group's borrowings and costs
associated with lettings.
Charitable aclivitieS
Costs of charitable activities include grants payable and other costs directly associated with providing the services
and support provided by the cbarity and an apportiotunent of overhead, support and governance costs. Charitable
activity costs represent costs directly associated witb tbe provision of education and related support costs.
Governance c051s
Govemance costs comprise the costs of nllming the charity, including strategic planning for its future developmenl
external audit, any legal advi¢e, and all the costs of complying with ConstilI0nal and statutory requirements, sucb
the costs of Board aThd Committee meetings and of preparing statutory accounts and satisfying public
accountability.
TTading activili
Costs of trading activities include costs directly associated with providing the services provided through trading.
Leased Assets
Rental costs under operating leases are charged to the statement of ffftancial activities in equal amounts over the
period of the leases.
19
THE GORDON FOUNDATION
STATEMENT OF ACCOUNTtNG POLICIES (continued)
FOR THE YEAR ENDED 31 AUGUST 2024
g) Tangible Fixed Assets
Depreciation is provided OD all tangible Fed assets. other than freebold land, on the following methods at rates
calculated to write off the assels over theii estimated useful lives. The methods and rates are
Freehold land and buildings
Machinery and equipment
Fixtures and fittings
Motor vehicles
20/0 - 40/0 per annum straigbt line
200/0 per annum straight line
200/0 per annum straight line
200/0 per aDnum straigbt line
Buildings erected before the year 20IX) are depreciated over 50 years. and newer buildings over 25 yeaTS.
h) Inveslments
Listed investmen15 are stated at market value at the balance sheet date. Realised and unrealised gaiDsnos$es on
investments are included in the Sthiemeni of Financial Activities.
i) Stoeks
Stocks are stated at the lower of cost and net realisable value.
j) FinaDcial iDStruments
Basic fthancial instnunents transactions that result in the recoliti0 of fmancial assets and liabilities like trade and
oiher accounts receivable aDd payable are accounted for on the following basis:
Cash and cosh equivalenls
Cash and cash equivalents includes cash in hand, deposits held at banks, other short-tem highly liquid investments
with original marurities of three months or less and bank overdrafts. Bank overdrafts, when applicable, are shown
within current liabilities.
Debiors and creditors
Debtors and creditors are measured at the transaction price less any provision for iJnpainnent. Any losses arising from
impairnient are recognised as expenditure.
Bank borrowings
Liabilities for borrowings which are subject to a rnarket rate of interest are measured at the value of the amount
advanced, less capital repayments.
k) Employee Benefits
The Costs of short-term employee benefits are recognised as a liability and an expense. The cosi of any unused holiday
entitlement is recognised in the period in which the employee's services are received.
Tennination benefits are recognised immediately as an expense when the charity is demonstrably committed to
teminate the employment of an employee or to provide tenniDatlOD benefits.
l) Funds
General funds comprise ihe accumulated surplus or deficit from tbe Statement of Financial Activities wbich is not
restricted nor designated funds. They are available for use at the discretion of the Trustees in furtherance of the general
objectives of the charity.
Restricted funds are funds which are to be used in accordance with Specific restrictions imposed by the donor (see
notes 17 and 20).
20
THE GORDON FOUM)ATION
STATEMENT OF ACCOUNTING POLICIES (continued)
FOR THE YEAR ENDED 31 AUGUST 2024
m) Pension Costs
Retirement benefit to employees are provided by the Teachers. Pension Scheme ('TPS') aDd the Local Govemment
Pension Scheme ('LGPS'). These are defffted benefit schernes and the assets are held separaiely from those of the
academy trLLSI.
The TPS is an unfunded scheme and contributions are calculated so as to spread the cost of pensions over employees,
working lives with the academy trust in sucb a way that the pension cost is a substantially level percentage of currenl
and future pensionable payroll. The contributious are detertDined by the GoverDment Actuary on the basis of
quadrennial valuations using a prospective unit credit metbod. As stated in note 21, the TPS is a multi-employer
scheme and there is insufficient inforniation available to use defed benefit accounting. The TPS is therefore treated
as a dered contribution scheme for accounling purposes and the contributions recognised in the period to which
they relate.
The LGPS is a funded multi-employer scheme and the assets are held separalely in truslee adminislered funds. Pension
scheme assets are measured at fair value and liabilities are measured on an actuarial basis ustng the projected unit
Credit method and discounted al a rate equivalent to the Cllent rale of Terurn on a high quality corporate bond of
equivalent tenn and currency io the liabilities. The actuarial valuations are obtained at least triennially and are updated
al each balance sheet date. The amounts charged to operating surplus are the cUent service cosis and the costs of
schen)e introductions, benefit changes, settlements and curtailments. They are included as part of staff costs as
incurred. Net interest on the nei defmed benefit liabilityiasset is also recognised in the Statement of Financial
Activities and ¢omprises the interest cost on the defjned benefit obligation and interest income on the scheme assets,
calculated by multiplying the fair value of the scheme assets al the beginning of the period by the raie used to discount
the benefit obligations. The difference between ihe interest income on Ibe scherne assets and (he actual return on the
scherne assets is recognis¢d in other recognised gains and losses. ACtula1 gains and losses are rKognised
InedIatelY ID Other recogDised gains and losses.
Foundatton employees are part of a defmed contribution workplace pension Scheme with Salvus Master. Payments to
defu)ed contribution retirement benefif schemes are cbarged as an expense as they fall due.
21
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS
FOR TRE YEAR ENDED 31 AUGUST 2024
2024
Restrieted
Funds
2023
Total
Unrestricted
Funds
Total
DONATIONS AIND LEGACIES
Donations and gifts
Legacies
21,042
21,042
28,751
21,042
21,042
28,751
GRANTS
ESFA capital grants
30,466
30,466
188,675
30,466
30,466
188,675
INCOME FROM CHARITABLE ACTMTtES
Gross income from boarding charges
Less:
Bursaries
Staff discounts
Qtber discounts
12,524,052
39,358
12,563,410
11,617,620
(582,977)
(35,958)
(9,355)
(528,977)
(35,958)
(9,355)
(478,328)
(26,486)
(8,154)
Net income from boardiD8 cbarges
11,895,762
39,358
11,935,120
11,104,652
Other operating income
751,126
751,126
654,337
Funding for the Academy's educational
operatioDS
6,157,715
6,157,715
5,874,019
12,646,888
6,197,073
18,843,961
17,633,008
TRADING ACTIVITIES
Trading income
316,380
316.380
241,685
316,380
316?80
241,685
NVESTMENT INCOME
tnterest received
Dividends received
1,647
100,892
95,573
12,488
108,061
9S,S73
12,488
108,061
102,539
22
THE CORDON FOUNDATION
NOTES TO THE FINANCIAL STATEENTs (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
EXPENDITURE
2024
Total
Staff Costs
Other
Depreciation
Charitable activity:
Staff costs
Teacbing costs
Welfare costs
Premises costs
Support costs
12,100,053
12,100,053
464,652
2,674,178
2,553.247
1,002,027
464,652
2,674,178
1,920,816
1,002,027
632,431
12,100,053
6,061,673
632,431
18,794,157
Roising funds:
Finance costs
Other costs
Trading costs
242,490
1,885
204,426
242,490
1,885
204,426
12,100,053
6JIO,474
632,431
19,242,958
EXPENDITURE (PIUOR YEAR)
2023
Total
Staff Costs
Other
Depreciation
Charilable activity:
Staff costs
Teaching costs
Welfare costs
Premises costs
Support costs
10,788,007
10,788,007
480,061
2,303,053
3,207,709
1,101,846
480,061
2,303.053
2,585.197
1,101,846
622,512
10,788,007
6,470,157
622,512
17,880,676
Raising funds:
Finance costs
Otber costs
Trading costs
255,185
1,944
230,426
255,185
1,944
230,426
10,788,007
6,957,712
622,512
18P68331
2024
2023
Total expenditure ineludes:
Depreciation
Operating lease payments recognised as an expense
Auditor's remuneration.. - Audit fees
- Other services
632,431
344,040
31,400
14,240
622,512
225,624
28,760
13,310
23
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR EfADED 31 AUGUST 2024
STAFF COSTS
2024
2023
Wages and salaries
Social security costs
Other pension costs
Stsff restructuring costs
9,570,614
953,301
1,576,138
,541,643
853,930
1,392,434
12,100,053
10,788,007
2024
2023
No
The average number of employees in ibe year was:
Teachers
Administration (including academic support & maintenance)
77
194
73
184
271
257
The number of higher paid staff during the year was as follows:
£60,001 to £70,000
£70,001 to £80,000
£80,00110 £90,000
£90.0011o £100,000
£IOO,001 to £110,000
£130,001 to £140,000
15
15
31
24
No trustees re¢eived any remuneration or benefits-in-kind during tbe year (2023: £nil). No trustees received
reimbursement of expenses in respect of travel and subsistence during the year (2023.. £771 to one trustee)
Pension contributions of £100,258 (2023: £98,525) were made to personal pension plans,in respect of higher paAd
staff during the year.
The key management personnel of the group comprise the Truslees. Head Teacher, Finance & Operations Director,
Development Director. HR Director, Estates Director, Deputy Head of Pastoral and Deputy Head of Curriculum.
The total remuneration of tbe key management personnel duriog the year was £840.215 (2023: £875.447).
24
TE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
FIXED ASSETS- GROUP AND CHARrrY
Freehold M4¢thin¢ry &
Land &
Building5
Fixtures
Asse¢s und¢r
Total Academy
Totsl
Equlpment
Fittings
Construction
Charity
Trust
Group
COST
At I September 2023
Additions
Reclassification
27,087,812
75,364
,171,356 1,048,832
37,369
61.419
277,701 29,585.701 1.250,159 30,412.668
449,151
623,303
49,550
672,853
At 31 Au8ll$t 2024
27,163,176
1,208,725 1,110251
726,852 30209.fy)4 1,299,709 3JJ08.713
DEPRECIATION
At I September 2023
Charge for the year
6,326,425
344.110
,004.073
94,931
912.587
118.519
8,243,085 1,035,441
557.560
74,871
9,278,526
632,431
At 31 August 2024
6,67OJ35
1,099,004 1.031,106
I80045 1,IIOJ12
9,910,957
NET BOOK VALUE
At 31 August 2024
20,492,641
109,721
79.145
726052 21,408J59
189,397
21,597,756
At 31 August 2023
20,761,387
167,283
136,245
277,701 21J42,616
214,718 213S7J34
FIXED ASSETS lKVESTMEs -GROUP AND CHARJTY
2024
2023
Balance at I September 2023 (excluding cash deposit5)
Additions
Disposals at opening market value
Realised and unrealised (losses)/gains
3,013,280
149,484
(56,180)
346,571
3,113,522
25,234
(32,481)
(92,995)
Balance at 31 August 2024 (excluding c&sh deposits)
3,453,155
3,013,280
Cash deposits
43,926
33,411
Balance at 31 August 2024
3,497,081
3,046,691
Class of investments is split as follow..
2024
Cash or cash equivalents
Equities
Alternative investments
Fixed interest
43,926
3.351,387
57,419
44,349
Balance at 31 August 2024
3,497,081
25
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (CoDtillued)
FOR THE YEAR ENDED 31 AUGUST 2024
io.
llYVESTMENTS JF4 SUBSIDIARY UNDERTAKINGS . CHARITY
Shares in
group
undertaklngs
Balance at I September 2023 and 31 August 2024
Details of the charitable company'5 subsidiaries at 31 August 2024 are as follows,.
(l) Gordon's School Acadetny Trust is a private company limited by guarantee, domiciled and incorporated in England
and Wales. The registered o£fice and principal place of business is Bagshot Road, West End, Surrey, GU24 9PT. On the
basis that The Gordon Foundation is member of the Gordon's School Academy Trust and has significant influence over the
entlty, Gordon's School Academy Trust has been included within the consolidated fanCIal statements.
Aeadem
results:
Total
2024
Total
2023
FA
Total Income
9,027,865
8,574,034
Total Expenditure
(9,232,873) (9,073,212)
Net income/(expenditure)
(205,008)
(499,178)
Otber recognised gains and losses
AcarIal{lOSse8) on dered benefit pension scheme
Adjustment for restriction on pension assets
207,000
(1,000)
so0.0
Net movement in funds
992
822
Total funds brought forward at i September 2023
24,048
23,226
Total funds carried forward at 31 August 2024
25,040
24,048
Ba12nee Sheet
Fixed Assets
189,397
214,718
Current Assets
1,000,089
1,825.414
Current Liabilities
(1,121,115) (1,758,372)
Creditors falling due after more tban one year
(43,331)
(55,712)
LGPS Pension Scheme Liabilities
(202,000)
Total Funds
25,040
24,048
26
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Conlinued)
FOR THE YEAR ENDED 31 AUGUST 2024
ii.
INVESTMENTS ]N SUBStDIARY UNDERTAKtNGS - CHAIUTY (Continued)
(li) The Foundation holds 100% of the share capital of The Gordon Enterprises UK Limited (company Dumber:
04104254, registered in England arjd Wales, registered office.. Bagshot Road, West End, Swey, G24 9PD, whose principal
activities are letting the buildings and grounds of Gordon's School and selling memorabilia. A summary of the profit and
loss aCCoLt and the balance sheet from the audited fanCIal statements is sel out below:
2024
2023
Profit aDd LA)ss Account
Turnover
Costs
269,839
(204,427)
233,724
(230,425)
Profit for the year
Donation to The Gordon FoundatlOD
Retained Profit for the Year
65,412
3,299
Balance Sheet
Net CuThent Assets
Retsined Profits
Share capital
Total equity
13,585
13,585
12. DEBTORS
Group
2024
Group
2023
Charity
2024
Charity
2023
Boardin8 charge debtors
Sundry debtors
Amount owing to subsidiaries
Prepayments
VA T reclaim
351,721
20,506
208,815
24,791
351,721
208,815
3,112
157.320
163,765
290,677
163,765
524,644
290,463
88,051
160,531
826,669
1,048,713
675,918
4S7J97
13.
CREDITORS: amounts falling due
wiihin one year
Group
2024
Group
2023
Charity
2024
Charity
2023
Loans and overdraft
Trade CTeditors
Boarding charges in advance and pupil deposits
Taxation and social security
Other creditors
Amount owing to subsidiaries
Accrnals and defeed income
332,380
1,442,721
I,165,818
284,32l
769,681
332,380
1,817,000
879,790
215,236
,022.519
320,000
1,117.527
1,165.818
67,576
240,041
865,028
192.734
320.000
1,066,413
879,790
62,731
233,062
1,262,729
175,910
239,455
247,758
4,234,376
4,514,683
3,968,724
4,000,635
27
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
14.
CREDITORS: amounts falling due
after more Ihan one year
Group
2024
Group
2023
Charity
2024
Charity
2023
Bank loaD
6,549,998
6,882,379
6,506,667
6,826,667
6,549,998
6,882J79
6,506,667
6,826,667
Analysis of loans:
Between one and two years
Between two and five years
After five years
332,380
990,951
5,226.667
332.380
997,141
5,552,858
320,000
960,000
5,226,667
320,000
960,000
5.546,667
6,549,998
6082,379
6,506,667
6.826.667
Due within one year
332,380
332,380
320,000
320,000
6,882J78
7214,759
6,826,667
7,146,667
At the year end, The Gordon Foundation had two long tenn loaDS. Both loans are secured by legal fwst charges over
freehold land and buildings of The Gordon Foundation.
Tbe first bank loan of £2,000,000 was taken out in December 2018 aDd is due for repayTnent by instalments by
January 2044. Interest accnles on this loan at 3.80/0. and interest payments are made quarterly. Capital repayments
ommenced in January 2020.
The second bank loan facility of £6,0,000 wa5 tsken out in December 2019 to fimd construction of a Dew sports
facility and all weather pitch. A sum of £5,440,000 was outstanding at 31 August 2023 and the capital will be repaid
by instalments until January 2046. Interest accrues on this loan at a rate of 3.3Q/o aDd interest payments are made
monthly. Capital repayrnents commenced in April 2021.
28
THE GORDON FOUNDATION
NOTES TO THE FINAIYCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
IS. LEASE COMMIT11NTs
At 31 August 2024 the total of futwe minimurn lease payments under non-cancellable operating leases were:
2024
2023
Leases expiring:
Within one year
Between two and five years
More than five years
300,311
183,606
213,481
84,603
483,917
298,084
R6. UNRESTRICTED FUNDS
I September
2023
Investment
(Losses)
31 August
2024
Ineome
Expendilure
TrAnsf¢r$
Designated -
Eyie Fund
General Fund
50,651
50,651
13,136,232
13.079,883
(12,994,057)
329,985
13,552,043
13,186,883
13,079,883
(12,994,057)
329,985
13,602,694
UNRESTRicfED FUNDS (PRIOR YEAR)
I September
2022
31 August
2023
Ineome
Expenditure
Investment
L$5¢9
Transfers
Designated-
Eyre Fund
General Fund
50,651
50,651
l3,535,465
11,987,578
(12,314,074)
(72,737)
13,136,232
13,586,116
11,987,578
{12,314,074)
(72,737)
J3,186,883
The Designated Eyre Fund represents the balance on an Unrestricted donation wbicb is used to help finance mu51C
lessons.
29
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
17. RESTIUCTED FUNDS
Balance at
I September
2023
Balance al
31 August
2024
Investment
Expenditure Gainsl(losses) Transfers
Income
Specifie funds:
Gordon Foundation
Special fund
Stepping Forward
Appeal fiJDd
Piano fund
Bursaries
417,729
12,488
(1,808)
16,366
444,775
300.686
300,686
1,740
227,348
39,358
28,738 6,157,715
79.404
555,040
1,740
266,706
18,231
79,404
510,635
DfCSF (DfE) fund
Other restricted funds
D Fixed Asset fund
(6,168222)
30,466
(74,871)
1,610,685 6340,027
(6244,901)
16,366
1,622,177
Pension reserve
(202,000)
(4,000)
206,000
RESTIUCTED FUNDS
(PRIOR YEAR)
Balance at
I September
2022
Balance Vdt
31 August
2023
Investment
Gainsl(losse5) Transfers
Ineome
Expenditure
Specifie funds
Gordon Foundation
Special fund
Stepping Forward
Appeal fund
Piano fund
Bursaries
426,766
12,932
(1,860)
(20,109)
417,729
300.686
1,740
95,894
30,386
79,404
450.995
300,686
1,740
227,348
28,738
79,404
555,040
131,454
5,874,019
DfCSF (DtE) fund
Other restricted funds
DtE Fixed Asset fijnd
(5,875,667)
188,675
(84,630)
1.385,871
6,207,080
(5,962,157)
(20,109)
1,610,685
Pension reserve
(610,IM)O)
(92,0}
soo,000
(202,000)
Gordon Foundation Specigl Fund - this fund represents the balance of assets transferred by several connected
charities on l April 1996.
Slepping Forward Appeal Fund - this fund reflects an appeal to enbance perfonning arts facilities at Gordon's
School.
30
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
17.
RESTRICTED FUNDS (Continued)
DfCSF (DfE) Fund & DfE Flxed Assel fund - these funds reflect monies received from the Department for
Education (previously the Department for Children, Schools and Families), for the purpose of assisting with the
general academy rUtlD8 costs and building projects.
Other restritted funds represent other specific donations to fimd activities of the FouJ)dation.
Pension Reserve - this fund represents the sbare of the pension deficit borne by the subsidiary, Gordon's Scbool
Academy Trusl in the Local Government Pension Scheme. Further detail is given in note 21 below.
18. ALLOCATION OF THE GROUP NET ASSETS
Tangible
Assets
Net Current
Assets
(Liabilities)
Long Term
Liabiliti¢sl
Pension
Investments
Total
Restricied - Specific
Restricted - Pension reserve
273,522
189,397
1,159,258
1,622,177
Unrestricted
3,223,559
21,408,359
(4,479,226)
(6,549,998)
13,602,694
3,497,081
21,597,756
(3,319,968)
(6549,999)
15,224,871
ALLOCATION OF THE GROUP NET ASSETS (PRJOR YEAR)
Fixed
Assets
Net Current
Assets
(Llablllties)
Long Term
Liabilities/
Pension
Inveslmenls
Total
Restricted- Specific
Restricted- Pension reserve
248,613
214,718
1,147,354
1,610,685
(202,000)
(202.000)
Unrestricted
2,798,078
21,342,616
(4,071,432)
(6,882,379)
13,186,883
3,046,691
21,557J34
{2,924,078)
{7,084J79)
14,595,568
19.
CHARITY UNRESTRICTED FUNDS
UNRESTRICTED FU]¥DS
Balance al
I September
2023
Balance at
31 August
2024
Investment
Gainsl{losses) Transfers
Income
Expenditure
Designated - Eyre Fund
50,651
50,651
General Fund
13.480,377 12,828,914
(12,596,992)
329,985
14,042,284
13,531,028 12,828914
(12,596,992)
329,985
14,092935
31
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
19.
CHARITY UNRESTRICTED FUNDS (Continued)
UNRESTRICTED FUNDS (PRIOR YEAR)
Balance at
I September
2022
BalaDce al
31 August
2023
Ineome
Expenditure
Investment
Ga1DsI(loss)
Transfers
Designated - Eyre Fund
50,651
50,651
General Fund
13,370,032 11,749,192
(11,566,110)
(72,737)
13,480,377
13,420,683 11,749,192
(11,566,110)
(72,737)
13,53J,028
20. CHAIUTY RESTRICTED FUNDS
Balanee at
I September
2023
Balance al
31 August
2024
Investment
Gains/(losses) Transfers
Income
Expendlture
Gordon FoundatlOD
Special fund
Stepping Forward Appeal
fund
Piano fund
Bursaries
Other restricted funds
417,729
12,488
(1,808)
16,366
444,775
300,686
300,686
1,740
227,348
79,404
1,740
266.706
79,404
39,358
1,026,907
51,846
(1,808)
16J66
1,093Jll
CHARITY RESTRJCTED FUIYDS (PRIOR YEAR)
Balance at
I September
2022
Balance at
31 August
2023
Investment
Gains
Income
Expenditure
Transfers
Gordon Foundation
Special fund
Stepping Forward
Appeal fid
Piano fund
Bursaries
Other restricted fimds
426,766
12,932
(1,860)
(20,109)
417,729
300,686
1,740
95,894
79,404
300,686
1,740
227,348
79,404
131,454
904,490
144J86
(1,860)
(20,109)
1,026,907
32
ThE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
21. PENSION AND SIMtLAR OBLIGATIONS
The academy trust's employtts belong to trwo principal pension schemes.. the Teachers, Pension Scheme England and
Wales (TPS) for acadetnic and related staff; and the Local Government Pension Scheme (LGPS) for lloo-teaching staff,
which is managed by sueY County Council. Both are multi-employer defmed benefit scbemes.
The pension costs are assessed in accordance with the advice of independent qualified actt)aries. The latest acttlarial
valuation of the TPS related to the period ended 31 March 2020, and that of tbe LGPS related to the period ended 31 March
2022.
Contributions amounting to £529,641 were payable to the s¢h¢mes at 31 August 2024 (2023.. £789,456) and are included
within creditors.
Teachers, Pension Scheme
Introductlon
The Teachers, Pension Scheme (TPS) 15 a statutOry* contributory, defmed benefit scheme, governed by the Teachers,
Pension Scheme Regulations 2014. Membership is automatic for teachers in academies. All teachers have the option to opi
out of the TPS following enrolment.
The TPS is an unfunded scheme to which both the member and employer makes contributions, as a percentage of salary.
These contributions are credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided
by Parliament,
ValuatloD of the Tegcbers, Pension Scheme
The Government Actuary, using nonnal actuarial principles, conducts a fomial actuarial review of the TPS in accordance
witb the Public Service Pensions (ValuatioTJs and Employer Cost Cap) Directions 2014 published by HM Treasury every
4 years. The aim of the review is io ensure scheme costs are recognised and managed appropriaiely and the review specifies
the level of future contributions.
Actuarial scheme valualions are dependent on assumptions about the value of future costs, design of benefits and many
other factors. The latest actuarial valuation of the TPS was carried out as at 31 March 2020. The valuation report was
published by the Department for Education on 27 October 2023, with the SCAPE rate, set by HMT, applying a notional
investment return based on 1.70/0 above the rate of CPI. The key elements of the valuation outcome are..
Employer contribution rates set at 28.68 % of pensionable pay (including a 0.080/0 administration levy). This is an
increase of 5Yo in employer contributions and the cost coDtrol result is such that no change in member benefit5 15
needed.
Total scheme liabilities (pensions currently in payment and the estitnated cost of future benefits) for service lo the
effective date of £262,000 million and notional assets (estimated future contributions together with the notional
investments held at the valuation date) of £222,200 million, Eiving a notional pasl service deficit of £39,800
million.
The result of this valuation will be implemented from l April 2024. The next valuation result is due to be implemenled
from l April 2028.
The employer's pension costs paid to tbe TPS in the period amounted to £1209,396 (2023: £976,587).
A copy of the valuation report and supporting documentatlon is on the Teachers, Pensions website.
Under the defmitions set out in FRS 102, Ihe TPS is an unfunded multi-employer pension scheme. The academy trust has
accounted for its contributions to the scheme as if it were a defmed contribution scbeme. The academy tNst has set out
above the inforniation available on the scbeme.
33
THE GORDON FOUNDATJON
NOTES TO THE F]J¥ANCIAL STATEMENTS (continued)
FOR THE YEAR ENDED 31 AUGUST 2024
21. PENSION AND OBLIGATIONS (continued)
IA)cal Government Pension Scheme
The LGPS is a fimded defmed benefit pension scheme, with the assets held in separate trustee-administered funds. The
total contributions are as noted below. The agreed contribution rates for tUre years are 23.20/0 for employers and 5.50/0 to
12.50/0 for employees.
Parliament bas agreed, at the request of the Setretary of State for Education, lo a guarantee that, in tbe event of academy
c105ure, outstanding Local Government Pension Scheme liabilities would be met by the Department for Education. The
guaraDtee came into force on 18 July 2013 and OD 21 July 2022, the Department for Education reaThed its commiiTnent
to the guarantee, with a parliamentary minute publisbed on GOV.UK.
Total contributions made
2024
2023
Employer's contributiolls
Employees, contributions
201,000
67,000
165,000
48,000
Total contributions
268,000
213,000
Principal actuarlal assumpiioos
2024
2023
Rate of increase in salaries
Rate of increase for pensions in paymenvinflation
Dis¢ounl rate for scheme liabilities
3.65
2.65
5.00
4.00
3.00
5.20
The current mortality assumptions include sufficient allowance for tUre improvements in mortality rates. The asswned
life expectations on retirement age 65 are..
2024
Years
2023
Years
Retiring today
Males
- Females
21.8
25.3
21,9
25.4
Retiring in 20 years
Males
- Females
22.7
25.9
22.8
25.9
34
ThE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (CODtinued)
FOR THE YEAR ENDED 31 AUGUST 2024
21.
PENSION AND StMtLAR OBLIGATIONS (continued)
Scheme liabilities would have been affected by changes in assumptions as follows..
2024
2023
Discount rate + O.IYo
Discount rate . O. 10/0
Mortality assiimption + l year
Mortality assumption - l year
CPI rate + O. IO/¢
CPI rate - O. 10/0
(61,000)
61.000
114.000
(114,000)
61,000
(61.000)
(54,000)
54,000
loo,000
(i 00,000)
53.000
(53,000)
Defined benefit pension seheme net liability
2024
2023
Scheme assets
Scheme obligarions
2,841,000
(2,841,000)
2,297,000
(2,499,000)
Net liability
(202,000)
The aeademy trust's share of the assets In the scheme
2024
Fair value
2023
Fair value
Equilies
Bonds
Cash
Property
FRS 102 Asset ceiling
2,103,000
398,000
114.000
227,000
(1,000)
1,769,000
275,000
69,000
184,000
2,841.LN)O
2,297,000
The acNal rettmi on scheme assets wa5 £328,000 (2023: a gain of £l18,0(10).
Amount reeognised in the Statement of Flnanclal Activities
2024
2023
Current service cost
Interest income
Interest cost
195.000
(125,000)
135.000
230,000
(89,000)
116,000
Tothl operating charge
205,000
257,000
35
THE GORDON FOUNDATION
NOTES TO THE FINANcL STATEMENTS (continued)
FOR THE YEAR EIYDED 31 AUGUST 2024
21.
PENSION AND SIMILAR OBLIGATIONS (conlinued)
CbaDg¢s in the present value of d¢fiDed benefit obligatlons
2024
2023
At I September 2023
Current service cost
Interesl cost
Employee contributions
ACarIal gain
Benefits paid
2,499,000
195,000
135,000
67,000
(3,000)
(52,000)
2,614,000
230,000
116,000
48,000
(471,000)
(38,000)
At 31 August 2024
2,841,000
2,499,000
Changes ID the fair value of tbe academy Irust's share of scheme assets
2024
2023
At I Sepiember 2023
Interesi income
Actuarial (gain)11055
Employer contributions
Employee contributions
Benefils paid
FRS 102 Asset ceiling
2,297,000
125,000
204,000
201,000
67,000
(52,000)
(1,000)
2,004,000
89,000
29,000
165,000
48,000
(38,000)
At 31 August 2024
2,841,000
2,297,000
The actuarial report for the local government pension scheme shows a pensioD asset of £1,000 at 31 August 2024.
We have not recogni5ed the pension asset as a positive position but have instead sbown a break-even position as there is
insuffi¢ieut evidence to Conclude that the 'asset' may be available to reduce future payments.
An asset should only be recognised to the extent that the Trust is able to recover the surplus either through reduced
contribution in the future or refunds from the plan.
We have made fijrther disclosure in the Trustees Report and ID the note on judgements to adequately reflect Ibis.
The Foundation offers employees a workplace pension and uses tbe Salvus Master'Trust. The employer contribution rate
is 70/0 and the employee contribution rate is a minimum of 3.50/0. The employer pension costs during the year were £203,959
(2023.. £187,619) and tljere were no contributions payable to the scbeme ai 31 August 2024 (2023.. £nil).
22. RELATED PARTY TRANSACTIONS
There were no related party transactions in the period (2023: None).
36
THE GORDON FOurDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
23. COMPARA TtVE CoNSOLATED STATEMENT OF FINANCIAL ACTIVITIES 2023
Unrestricted
Funds
R¢stri¢t¢d
Funds
TotAI
2023
Tot•1
2022
Note
Income from:
Donations and legacies
Grants
28.751
28,751
188.675
91,975
238.513
188,675
Ch•rliabl¢ 4ctlvity:
Income from boarding charges
Other operating income
Funding for the Academy's
educational operations
10,973,198
654,337
131.454
11.104.652
654.337
5,874.019
10,193,082
206.276
5,323.140
5.874,019
Trading ae¢lvl¢les:
Trading income
241.685
241,685
153.278
Investment income
89,607
12,932
102,539
101,689
Total income
11987,578
6,207,080
18,194.658
16J07,953
Exptnditure on:
Charitjble activity:
Staff costs
Educational costs
Welfare costs
Premises costs
Supporl costs
Raising (unds:
Finance Costs
Investment management
Trading #ttivities:
Trading costs
6.967,592
3,820,415
480.061
10,788,007
480.( I
2.303.053
3,207,709
1.101.846
10.121.499
529.173
1.908.141
2.617.312
929,457
2,303,053
.969,180
588,554
1,238.529
513,292
255,185
84
255.185
1,944
291,509
2.261
1,860
230,426
230,426
141,892
T•t*l txptnditure
12J14,074
6,OS4,157
18J68231
16,542,244
Op¢ratin8 intomel(expenditure)
(326,496)
152,923
(173,573)
(234,291)
Net gainsl(losses) on invesknents
(72,737)
(20,109)
(92.846)
(295,701)
Net in¢omel(exp¢nditure)
(399,233)
132.814
(266.149)
(529,992)
Actuarial (losses)Igains on defthed benefit
pension schemes
21
500.000
SOO,(K)O
,611,000
Net movement in funds for ¢h¢ yeor
{399,233)
632,814
233,581
1,081,008
Fund balances brought forward at I I
September 2022
17
13,586,116
775.871
14,361.987
13,280,979
Fund balances tarried forward at 31 August 16,
2023
17
13,186,883
1.408,685
14,595,568
14J61,987
All of the charitable group's activities are continuing.
All recognised gains and losses are included in the Statement of Financial Activities.
37
THE GORDON FOUNDATION
ANNUAL REPORT AND CONSOLtDATED ACCOUNTS
FOR THE YEAR ENDED
31 AUGUST 2024
OidDOG41 .
Company Number 00027272
Charity Number 312092
•AE3QM861*
3110512025
COMPANIES HOUSE
A05
#18
THE GORDON FOUNDATION
INDEX
Page
Legal and Administrative Inforniation
Report of the Foundation Trustees
4-10
Report of ihe Independent Auditors
11-13
Consolidated Statement of Financial Activities
14
Consolidated and Charity Balance Sheets
15-16
Consolidated Stalemenl of Casb Flows
17
Ststement of Accounting Policies
18-21
Notes to the Financial Sthtements
22-37
THE GORDON FOUNDATION
LEGAL AND ADMINISTRATIVE INFORMATION
Patron
His Majesty The King
Vice Presidenls
The Lord Mayor of London
The Lord Lieutenant of Surrey
The Bishop of Guildford
Ambassadors
Mr P Talbot
Mr M Hawkeswortb
Mr P Wynter Bee
FoundatlOD Cornmlttee (The Board)
Lieutenant General Richard Cripwell CB, CBE
Mr R Whittington DL
1.2.4.5.$.
Mr C Whiffin 12.8
Mr M Barnesl2,5.8
Mrs J Valner 13.J.4.5.7,9
Mr T Gordon
Mrs L Bannister 3,7,9
Mrs A Stephens
Major General A Fay CB
Mrs D McKenzie
Mrs S Hounsham 4.6.7
Mr P Jones 1.2
Mr S Azeem
Brigadier J Mullin
Ms J Kruger
Lord Lancaster
Lt Col J Fernandes MBE
Mrs S Rawal 1.7
Chainnan
Vice Chairn]an
Treasurer.. resigned 27 January 2024
Treasurer.. appointed 27 January 2024
Chair of Governors
retired 27 January 2024
elected 27 January 2024
elected 27 January 2024
Head Te8eher
Mr A Moss
Foundalion and Company Secretary
Mrs J Taylor
Appointed I September 2023
Clerk to Ihe Foundation Committee
Mrs A Mitchley
Appointed I September 2023
Committee Membership
Member of the Foundation Development Committee -
Member of the Joini Finance & Estates Committee =
Member of the Investment Panel -
Member of the Awards Panel = 4
Member of the Governance Committee -
Member of the Enterprises Committee = 6
Governor of Gordon's School = 7
Member of the Risk & Audil Collunittee =
Member of the Perforniance Management & Salaries Committee = 9
THE GORDON FOUNDATION
LEGAL AND AD[NIsTRATIVE INFORMATION (Continued)
ADVISERS
Bankers:
Bank of Scotland
38 Threadneedle Street
London EC2P 2HL
Auditors:
Aliiotts LLP
3, London Square
Cross Lanes
Guildford
GUI IUJ
Inveslmenl MaDagers:
Quilter Cheviot
SenalOT House
85 Queen Victoria Street
London EC4V 4AB
Legal Advisers:
Moore Barlow LLP
The Oriel
Guildford
Surrey GUI 3SR
STA TUS AND ADMtNISTRATION
Registered Office:
The Gordon Fouodation
Gordon's School
West End
Woking
Surrey GU24 9PT
THE GORDON FOUNDATION
REPORT OF THE FOUNDATION TRUSTEES INCLUDING THE STRATEGIC REPORT
STRUCTURE, GOVERNANCE AND MANAGEMENT
The Gordon Foundation is a company limited by guarantee (Company No 27272), its registered office being at Gordon's
School, West En Woking, Surrey, GU24 9PT. The company is a cbarity for educaliollal purpose5 (registered charity No
312092). Following an external review of governance duTiDg 2022, revised and updated Articles were approved on 21
January 2023 and lodged with Companies House and the Charity Commission.
Management of the charity is vested in the Foundation Committee, who are directors for the purposes of the Companies
Act and trnstees for the purposes of charity law. In this regard they comply with the requirements of the Charities Act 2011,
the Trust Deed aDd the Charities SORP (FRS 102). FoundatlOD Committee metnbers are required to retire from office every
third year from the dale of election bul are eligible for re-election for a m&ximum of three ternjs. The Foundation Committee
has powers at any time to appoini additional members. The day to day running of the Foundalioo is the responsibility of
the Head Teacher, Finance & Operations Director, HR Director, Estates Director and Development Director.
The charity was founded at the express wish ofoueen Vicloria as the national memorial to General Gordon who was killed
in Khartoum in 1885. The Gordon Foundation owns, freehold, the land and buildings fornjerly known as the Gordon Boys,
Home which was changed to The Gordon's Boys, Home in 1943, started to accept girls and day boarders from 1990 and
is now known as Gordon's School.
The majority of tbe Governors of Gordon'$ School, a State Boarding School with Acaden)y statu5, are either lrnstees of or
are appointed by The Gordon Foundation.
Following a decision made in 2019 to increase the number of (ex-officio) Vice Presidents, a recommendation Io iDtroduee
the posi(ion of Ambassador was also approved. Ambassadors, a seven-year appointment, are fornier sleeS of seniority
or long service who ljave continued interest in supporting the Foundation's work. Paul Talbot. Gordonian and fornier
trustee of over 30 years, service, and Mark Hawkesworth, fornier Treasurer, accepted the invitation to be the first
Ambassadors for The GordoD FoundalioD while Peter Wynter Bee who retired ij) 2021 after 21 years. service to Gordon's
as trustee and for eight years a School Governor, accepted the Committee's invitation to continue his links as a Gordon's
Ambassador.
The Leadership Team controls the running of the Foundation and School at aD executive level and implements the policies
and decisions of the trustees and governors through agreed schemes of delegation. Key management personnel are defmed
as the Head Teacher, Foundation Directors of the Business services, Deputy Heads (Curriculum and P&storal), Head of
Sixth Forni, a newly appointPAI Dirpxtor of cO-ClCUlar and Assistant Heads.
Arrangements for setling pay and remuneration of key management personnel
The Leadership Team is paid on the Leadership pay scale which broadly adheres to the leadership pay bands outlined in
the School Teachers, Pay and Condilions Document. Leaders must demonstrate sustained perfonnance in respect to their
perforniance objectives; non-teaching leadersbip salaries are benclJmked against local market conditions. The
Perfomance Managetnent and Salaries Committee awards one incremental point on the Gordon's Pay Scale where
perforn]aJ]ce objectives are mei and where there is a sustained high quality of overall perfortnance.
Pollcies and Procedures adopted for the Induction and Training of Trustees
Prospective trustees are invited to Gordon's School prior to their appointmenl to meet with the Head Teacher. the Finance
& OperatlODS Director, the Developmeot Director and at least two trustees who make their report to the next meeting of
the Governance Committee. A scbedule of trustees with their qualifications and experience is maintained, cr05s-ref¢renced
against the business requirements of the Foundation, which assists in the selection of new trust¢¢s.
Once appointed, new trnstees follow an induction program which includes an induction meettng with the Foundation
Secretary and the Clerk which includes an overview of the company and the relationship between The Gordon Foundation
and Gordon's School. Tbey are invited to meet staff members in order to familiarise themselves with the School as well as ,
receiving copies of policies and procedures and other relevant docurnentatlOD. All trustees are encouraged to either attend
professional training courses or take online courses for tste¢S. All Trustees are DBS checked.
THE GORDON FOUNDATION
REPORT OF THE FoifNDATION TRUSTEES INCLUDING THE STRATEGIC REPORT (tODtiDued)
ORTECT AND OWECTIVES
General
CuThently, the main activity of The Gordon Foundation is the support of Gordon's School, a non-selective, Coweducational
State Boarding School for 946 residential and day boarding sNdents aged 11-18 years. The School cbanged from Voluntary
Aided to Acadetny status on l January 2013. Funding from the Education and Skills Funding Agency pays tbe cost of
teaching and learning. delivery of the national curriculum and some ¢1&ssroom facilities. In addition to managing the estate
and buildings, The Gordon Foundation provides support services to the School and in particular runs the boarding operation
for the day, weekly and 11 boardiDg students and the extensive Co-curricular programmes. For families wbo require
financial assistance with boarding charges, The Gordon Foundation is able to provide means-tested burwies.
The Gordon EnteriseS UK Ltd, a subsidiary of The Gordon Foundation, oversees management of and hire of the Gordon's
Sports Hub, letting of the school facilities when not required by the Scbool and other opportunities for non-boarding
revenue generation. Proceeds from such activities are gift-aided to The Gordon Foundation.
Vision
Our long-term vision is a family of Gordon Foundation schools wbere students, particularly those from disadvantaged
back8round5, benefit from a Gordon's education. An education recogni5ed as amongst the rest in the world for the calibre
of yOLmg people we develop, the progress they make and the difference they make to the lives of others.
Object
The object of The GordoD Foundation is to educaie or contribute to the educatiOD of boy5 and girls having particular regard
to those with a specific boarding OT educational Dee(t with a view to preparing them for educaiion or for earning their
livelibood, such object being in continuation of the work of the unincorporated institution known as the Gordon Boys,
Home, established in July 1885 as the National Memorial to General Charles Gordon CB.
Objettive$
Whilst the main objective of The Gordon Foundation is support for Gordon's School, trustees appre£iate its wider object$
of encouraging and supporting residential boarding for 'necessilous' young people, improving the public's awareness of
the value and benefits of residential boarding and increasing funds available to support residential boarding. In setting these
objectives and planning activities, tSteeS give careful consideration to the Charity Commission's guidance on Publi
Benefit.
The objectives for The Gordon Foundation are.
To maintain the National Memorial to General Gordon
Be alert to and take advantage of opportunities to extend the influence of Gordon's both at home and overseas
Ensure that business services provided by The Gordon Foundation are fit for purpose and commensurale with
outstanding provision
tncrease the Foundation's fu]ancial stability and support for fanCIallY necessitous Sdents
Deliver world-class pastoral care, cutTiculutn, and co-curriculum provision
ACTtVlTIES, ACHIEVEMENTS AND PEFORMANCE
The Vision for GordoD'S
The 'Vision for Gordon's, is the strategic plan for Gordon's which sets oul our vision for the national memorial to Generdl
Gordon to be more than a school, but a symbol of what can be achieved by a community united in making an
outstanding contribution for tbe good of global society, through its educational leadership and through the
live5 Gordonians go on to lead. This vision will be extended toward5 203 5, the Foundation, s 150lh anniversary.
A Gordon's education strives to be more than the best possible examination results, but a thorough preparation for life. Our
aim is to develop rounded world class, global citizens with the cbaracter, capabilities and confident humility to achieve
well, to stay active, to appreciate what they have and to connect and give back to the cotnmunities in which they live and
work.
THE GORDON FOUNDATION
REPORT OF THE FOUNDATION TRUSTEES INCLtJD]NG THE STRATEGIC REPORT (contioued)
The Vision for Gordon's is for the national memorial to General Gordon to be a force for a more caring and just world: a
world in which inequality in opportunities is diminishing; where individuals are treated sirnilarly and have equal chances
based not on privilege, but on how hard they work for themselves and others,
AcademR¢ Results for Ihe Scbool
During the year the Scbool educated approximately 978 students between the ages of I l and 18. Recruitment continues to
be strong with waiting IRSts for Key Stages 3 and 4. There were 279 residential boarders and 353 students in the Sixth
Fonn..
Compared to many state schools, the KS5 curriculum at Gordon's is rigorous and a hi8h proportion of students opt for the
more intellectually demanding subjects. 42 % of Y13 Leavers obtaining places at Russell Group UDiversitie5 and 730/0
gained places at their preferred destination. Two students gained places at Oxford and Cambridge, four embarked on
Medical training courses, six gained places at Music/Drama schools. four accepted Sports Scholarships overseas and five
secured Degree Apprenticeships
A Level re$ult$ 2024
GCSE result$ 2024
400/0 of enlries were graded A•
719/0 of ¢nlri¢s wer¢ graded A*
88 % of enlries were graded A•
510/0 of entTies were graded 9 - 7
840/0 of entries wer¢ giaded 9 - 5
930/0 of entries were graded 9
Average performance per student - BBB
BTEC L3 2024
BTEC L2 2024
53•/(k of entries were graded D*
88 /0 of entries were graded D•
I OOl/*o of entries were 8raded D•
More detailed infonnaiion on student activities and the Co-curricular programme can be found on the School website
OTdons.school as well as the Annual Report of the Gordon's School Academy Trust.
Capital Developments
The cuent focus has been the reconstruction of Pitrb l along with the fust of two years of development of the Old pool
and Gyrn to create a Theatre including break out rooms and teaching areas. Continued improvements have been made to
teaching spaces with two new classrooms along with some additional smaller teaching spaces. IT launched eight
cla5STooms of the future to include a docking system for IT device5 rather than desk top machines and the new screens with
all the nCtIonal1ty needing for leaching and learning for the future.
General
The Development team is responsible for activities focusing on support for the school community as well &5 strengthening
local and wider community links. ranging from regular taU(s, organisimg all larger school internal and external events and
seeking opportunilies to let facilities when not required by the school, and fijndraising.
Development Prefects assist the department with appropriate administration and hosting of events, providing them with
some insight inlo a different area of the school &8 well as useful experience. A strong working parthership continues with
the Gordon's School Parents, Association which clearly benefits the school and the parent community.
THE GORDON FOUIYDATION
REPORT OF THE FOUNDATION TRUSTEES INCLLfD]NG THE STRATEGIC REPORT (continued)
Following the dissolution of the Gordonian Association and responsibility for all alu[tl-fo¢USed activity incory)orated
within the Development Office, a key focus continues to be developing a strategy for appropriate communicaliojj and
engagement activity with each age groups. The Gordonian Football team, sponsored by a local business, is also supported
by providing home match facilities on the new 3G pitch. In the SUllUDer, Gordonians of all ages enjoyed being able to
return to tbe School for the Annual Parade and previously meeting up in London after the Whitehall Parade. Fornier
members of the Pipe Band are invited to play in the Big Blaw, the sutnmer cricket match is popular as well as a three-way
netball tournament for Gordonians. staff and cuent student5. The Gordonian Awards. for Arts and for Sports, attract
increasing numbers of high calibre applicants. these fmancially support two Year I l students with the costs for developing
a particular talent, and encouragement to continue inlo the Gordon's Sixth Fonn.
Support is provided to the Careers team lo assist with fjnding work placements and speakers as well as organising the
annual Careers Fair. Opportunities for parents and members of the local community to network continue with reinstatement
of the monthly Business Networking Breakfasts held at the School. The Development team encourages the School Charities
Committee with appropriate links and organisational support" Make a dAfference Day saw student volunteers in the scbool
working for the community from organised sports events for local primary schools, activities in care homes to litter-picking
and clearing of graveyards. A total of 430 student volunteers took part with 1,611 hours recorded.
The Gordon's Pipe Band, now officially the Music Section of tbe Gordon's CCF, participated in over numerous events that
included travel to Scotland to compete in the World Championships, playing at the Houses of Parliament, at Wembley
Stadium and, following a longstanding link with Brookwood Last Posi Association al Brookwood Military Cemetery.
members of the Pipes and Drums who represent the Scbool at Brookwood Last Post were selected lo go to Menin Gate to
play and tske part in the Last Post Association's Remembrance Service. A partnership developing with the National Piping
Centre, Glasgow, is proving beneficial to Gordon's Pipe Band.
Commercial
A planning condition for the Sports Hall and 3G pitcb is ¢omrnunity use with a Cotumunity Use Agreen]enl in place
between Gordon's and Surrey Heath Council. There is contiDued significant interest in hire of these facilities, with a focus
on supporting local grass-roots Sports clubs.
Other commercial activity includes the Sports Hub Café, part of the Sport5 Hall building available for use in conjunction
with sports hire as well as Gordon's Sixth Fonn students during Ibe school day. Tbe monthly Networking Breakf&sls
continue with a number of useful lijths being followed up. We were pleased to secure a new contract for hire of residential
and classroom facilities for four weeks during the summer holidays, while will expand in future years, while again hosting
BaTracuda Day Camps during the Easter and Summer holidays.
Partnersbips
The partnersbip launched with Aldershot Town Football Club in July 2021 wbereby their l $1 team is based and trains at
Gordon's during weekday momings, and provided with catering and other facilities. Continues positively. In addition to
hire charges, School football teams are provided with coaching by the A TFC coaching team and for free home malcb
tickets are available io Gordon's families. oiher sportin8 partnership5 continue, with Harlequins Rugby Football Club and
London Pulse (Premier Netball).
Gordon's is proud to help reduce global educational poverty through a working partnership with the Commonwealth
Education Trust (CET). Forn]ally known as the Commonwealth tnstitute, the CET 15 a well-established. leading cbarity
that ¢hampioDS education actOSS the Commonwealth. Their digital platfornis reach teachers in underserved, often rural
ommunitie5 around the world, providing them with much needed bite-size profe55ional development courses. Gordon's
teacbers work with CET to establish courses to help improve pedagogy and classroom management, lat¢r ¢xt¢nding to
support designated schools througb fundraising and practical resources.
The Catnelthorn FoundatjOD SUPPOrts community-led wildlife initiatives alongside promoting education and socio-
econotnic opportunities in Zimbabwe's Hwange province. Gordon's has pledged to work with tbe Camelthorn Foundation
to raise sufficient fijnds to provide, initially, a girls, boarding house and then accommodation for boys, attending Ngamo
Secondary School. In time, we hope that students and staff may be able to volunteer with the Camellborn Foundation in
their ConVation, education or social progratt]mes.
THE GORDON FOUNDATION
REPORT OF TKE FOUNDATION TRUSTEES INCLUDING THE STRATEGIC REPORT (continued)
External sllPPOrt
Applicalions to trusts and foundations continue for bursary funding as well as specific projects. The support for Gordon's
students from a range of educational trusts is valued, in particular the continued generosity of the Girdlers, Livery
Company.
Support for Gordon's students by The Seb Foundation, Girdlers, Heights Education, Buttle UK, Lloyd Foundation, Etnmott
Foundation. The Royal Springboard Children's Foundalion and Tak Turton Trusl continues to be welcomed by student
families and the School.
In 2021, two significant new competitions were launched. the Wynter Bee Global Citizen Prize and the Headmaster's
Global Citizen Prize, for which students were asked to engage with one of the UN 17 Sustainable Development Goals. We
are immensely grateful to Peter Wynter Bee. former trustee and now Gordon's Ambassador, for encouraging the institution
of these student competitions and for his generosity in fiwding these prizes.
Gordon's is proud to have signed up to the Forces Covenant and to display the Bronze Award of tbe Employers,
Recognition Scheme, recognising the School's role supporting our Forces families as well as being a major employer in
the area. The link with the Cotps of Royal Engineers continues lo be valued. in particular CCF students participating in
Field Days organised at Gibraltar Barracks; training staff from Pirbright Camp assist with ceremonial drill. Members of
the Pipes and Drutns play regularly for the Last Post Association at Brookwood Cemeteries, also for Surrey Police Pass-
Out Paradc5 and wilh Surr¢y Police Band in a Festival RemetDbrallce Parade.
FundraisiDg
The tntstees recognise the importance of meeting ihe highest Standards of pra¢tice and care in relation to fijndraising
activities. The Foundalion keeps donors informed aboui fundraising activities througb regular updates. All fundraising
activity is carried out by school staff, who have received training on fundraising standards. No complaints have been
received. The Foundation only raises funds from those individuals and organisalions known to il and the Foundation does
not undertake fundraising campaigns to members of the public.
Patronage
Following the sad loss of Her Majesty Queen Elizabeth I l. Patron of Gordon's. King Cbarles accepted the Patronage of
the School earlier this year continuing an unbroken line of Sovereign Patronage since Queen Victoria in 1885.
FJNANCIAL REVIEW AND RESULTS FOR THE YEAR
The main sources of funding for the Foundation are tIough boarding charges and investments. Gordon's continues to be
an oversubscribed school operating to maximum capacity witb a waiti.ng list. The fee incorne received by tbe Foundation
was £11,935,120 (2023.. £11,104,652).
The net movement in funds for the year was a surplus of £629,303 (2023.. surplus of £233,581). This surplus includes net
investment gains of £346,351 (2023: net losses £92,846) and acNarial gains on the pension scheme of £206.000 (2023..
actuarial gain £500,000). ExcludiDg these gains the operating surplus for the year was £76,952 (2023: deficii of £173,573).
Inveslmenls perfornied well duri8 the year. The investment portfolio has increased by £450,390 to £3,497,08 I (2023:
£3,046,691).
On l January 2013, Gordon's School converted to Academy Trusl status UDder the Academies Act 2010 with all operations,
assets and liabilities transferred over to the Gordon's School Academy Tnt. This transfer was accounted for using the
acquisition method resulting in a £389,000 deficit on the Local Government Pension Scheme transferring into the
TNst. Most years since there has been an additional deficit on the scheme.
tn the year ended 31 August 2024 ibe p¢nsioD liability reduced by £203,000 to an asset surplus of £1,000. This asset sutplus
has been eliminated a5 there is insufficient evidence to conclude that the'asset, may be available to reduce filTh¢ payments.
An asset sbould Only be recognised lo the extent thal there is tbe ability for the Academy Tt to recover the surplus either
through reduced contribution in the futUT¢ or refunds from the plan.
Further inforniation on the pension schemes is given in note 21.
THE GORDON FOUNDATION
REPORT OF THE FOUNDATION TRUSTEES INCLUDING THE STrATEGIC REPORT {eon¢inued)
RESERVES
At 31 August 2024, fimds comprised Unrestricted funds of £13,602,694 (2023: £13,186,883) aod restricted fimds, excluding
pension reserve, of £1,622,177 (2023.. £1.610.685). The restricted funds pension deficit reserve was £nil as explained above
(2023.. £202.000 deficit). The restricted funds are set out in note 17.
Unrestricted funds are represented by the Fowidation's property and other taagible fjxed assets, inveslments and net
working capital. Free resetves. defmed as total unrestricted funds having eliminated the net book value of unrestricted red
&%sets, are negative and.the Foundation Committee bave set a policy to restore and build free reserves in order to maintain
the site and fijnd tbe moderni5ation and development of Gordon's Scbool. Any surplus funds generated in a fmancial
year are invested in capital development.
Risk
The tNstees have assessed the major risks to which The Gordon Foundation is exposed and have taken step5 to reduce and
manage these risks. Truslees approve a fornial Risk Register which is updated regularly and reviewed by the Joint Audit
and Risk Committee at least a[uallY. The most significant retained risks identified are noted below together with the
means by which to manage the risk..
Risk area
Risk Factor
Existlng Control proeedur
Polilieal, educational
& rinanelal
Adverse impact OD school model
Ensure frequent reporting of student roll and fll)ances.
Hold back on plans, reduce cosis where possible.
Maintain a scbedule of pre-agreed changes in the event
of significantly reduced income. Focus on developing
alternative income streams. Membership of appropriate
bodies for advice and forera5ts.
Charilable status I
TaxatjOD
Adverse fujancial effect such as tax
on profits, loss of business rates.
VA T on boarding charges..
increased boarding cbarges made
unaffordable for many parents and
chan8es school profile
Take appropriate professional advice, reflect in
budgets I planning
Worsening eeonomic
elimate, ineluding
inflatio
Adverse fmancial effect
Contitigency planning
Software I hardware
Loss of curriculum or
administrative data. 1055 of major
systerns applications
Engagement of external IT Services with extended
resources and experience. Cloud storage in use. Data
back up regularly le5ted for ability to restore file. Daily
back-ups. IT a part of disaster recovery plan. Files
restore been tested but needs test application regularly.
INVESTMELYT POLICY
The charity aims to manage the investment portfolio such that investment income is maintained, and capital growth is
achieved, in real tern]s. The performance of investments and the inveskneDt policy is reviewed regularly by the Investment
Panel. The Investment Panel does not impose ally constraints that might lin]it selection of individual investments for social,
envirotmental or ethical reasons.
THE GORDON FOUNDATION
REPORT OF THE FOUNDATION TRUSTEES INCLUDING THE STRATEGIC REPOR T (eoDtinued)
PLANS FOR FUTURE YEARS
3-year Strategic Priorities:
i) Develop a working and learning environment for Gordon's Scbool that moves beyond outstanding
ii) Develop the School's Digital Strategy across both learning and administrative processes
iii) Progress the Estates Master Plan
iv) Design and implement our environmental policy
v) Further develop 'Gordon's Connected, plalfonn, boosting parent, student and staff engagement by creating
partnerships betweeD Gordon's Careers department. Business NeOrk, alumni and parents
vi) Furtber develop Gordon's Schools, Partnership, boosting collaborative opportunities for students and staff.
DISCLOSURE OF IJYFORMATION TO THE AUDITOR
to the case of each person who was a Director al the time this report was approved..
so far as that Director was aware there was no relevant available infornjalion of which the Group's auditor was
unaware and
that Director had taken all the steps that the Director ought to bave tsken as a director to make himself or herself
aware of any relevant audit infomialion and to establish that the Group's auditor aware of that inforniation.
This COnfatIOn is given and should be interpreted ID accordance with the provision of s418 of the Companies Act 2006.
sTATEfftNT OF TRUSTEES, RESPONSIBILITIES
The trustees (who are also the directors of tbe cbaritable company) are responsible for preparing the Report of the
Foundation trustees, incorporating the Strategic Report, and the fu)ancial statements in occordance with applicable law
regulations.
Company law requires the trustees to prepare fmancial statements for eacb fanCIal year. Under ibat law the trustees have
elected to prepare the fmancial statements in accordance with Ulllted Kingdom Generally Accepted Accounting l¥actice
(United Kingdom Accounting Standards and applicable law). Under company law the ttustees roust not approve the
fmancial staiements unless they are satisfied that they give a true and fakr view of the slate of affairs of the charilable
company and the group and of the incoming r¢sourc¢s and application of resources, including the income and expenditure,
of the charitable company and group for that year. In preparing these fthancial statements, the trustees are required to:
select suitable accounting policies and then apply them consistenilyl
observe the meihods and principles in the Charities SORTr;
make judgments and accounting estimates that are reasonable and prudent;
state whether applicable UK Accounting Standards have been followed, subject to any material departures
disclosed and explained in the fLnancial statements.
prepare the fjnallcial statements on the going concern basis unless it is inappropriate to presume that the company
will continue in busiDess.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable
company's transactions and disclose with reasonable accuracy at any lime the fanCIal position of the charitable company
and enable them to ensure tbat the fmancial statements comply with the Companies Act 2006. They are also responsible
for safeguarding the assets of the cbaritable company and the group and hence for taking re&sonable steps forthe prevention
and det¢ctiOD of fraud and other iegularitieS.
AUDITOR
Our auditor, Alliotts LLP, has indicated their willingDess to continue in office.
The Trustees. Report, incorporating the Strategic Report was approved by the trustees of The Gordon Foundation on 18
January 2025 aDd signed on its behalf by:
Lieutenant General Richard Cripwell CB, CBE
Chairman
io
THE GORDON FOUNDATION
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF TItE GORDON FOUNDATION
Opinio
We have audited the consolidated f]nancial statements of The Gordon Foundation for the year ended 31 August 2024 which
comprise the Consolidated Statement of Financial Activities, the Group and Cbarity Balance Sheet5. the Consolidated Cash
Flow Statetnent and notes to the fmancial statements, including a sununary of significant accounting policies. The fmancial
reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting
Standards, including Financial Reporting Standard 102 The Financial Repor¢ing Standard applicable in ihe UK and
Republic ofJreland Iuniied Kingdom G¢n¢rally Accepted Accounting Practice).
In our opinion, the financial statements:
give a true and fair view of the state of tbe group's and of the parent charilable company's affairs as at 31 August
2024 and of the group's and parent Charitable company's net n)ovement ij) fimds, including the income and
expenditure, for the year then ended.
have been properly prepared in accordance with United Kingdom Generally A¢¢epted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.
Bgsis for opinioD
We conducted our audit in accordance witb International Standards on Auditing (UK) (ISAS (UK)) and applicable law.
Our responsibilities under those standards are fiher described in the Audltor's responsibilitRes for the audit of the fmancial
statements section of our report. We are independent of the group in accordance with the ethical requirements that are
relevant to our audit of the fmancial statements in the UK, including the FRC'S Ethical Sthndard. and we have fulfilled our
other ethical responsibililies in accordance with these requirements. We believe that the audit evideDce we have obtained
is sufficient and appropriate io provide a basis for our opinion.
Conclusions relatlDg to going concern
JD auditing the fujancial statements, we bave concluded that tbe tNstees' use of the going CODcern basis of accounting in
the preparation of the fanCIal ststements is appropriate.
Based on the work we have perforn)ed, we have not identified any material uncertainties relating lo events or conditions
that, individually or collectively, may cast Significanl doubt on the group's and parent company's ability to continue as a
going ¢OD¢ern for a period of at least twelve months from when the fu)ancial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees wilh respect to going con¢¢rD are des¢ribed in th¢ relevant
sections of this report.
Other information
The trustees are responsible for the other infonnation. The other inforniation comprises the infornialion included in the
Trustees, Report. Our opinion on the fmancial siatements does not cover the other infornialion and, except to the extent
otherwise explicitly staled in our report, we do not express any forn) of assuraoce conclusion thereon.
In connection with our audit of the fu)ancial statements, our responsibiliry is to read the other information and, in doing so,
consider whether the other infornlation is materially inconsistent witb the fmancial statements or our knowledge obtained
in the audit or othenvise appears to be materially misslated. If we identify such material iJ)coDsistencies or apparent material
misstatements, we are required to deterniine whether there is a material misstatement in the fmancial statements or a
material mi55tatement of the other inforniation. If, based on Ihe work we have perfonned, we conclude that there is a
material misstatement of this other inforn)ation, we are required to report that fact. We have nothing lo report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
tn our opinion, based on the work undertaken in the course of the audit:
Ihe infonnation given in the Foundation Tru5tees' Report (whicb incorporates the strategic report and the
directors, report) for the fjnancial year for which the fmancial statements are prepared is consistent with the
fmancial statements" and
the Foundation Trustees. Report has been prepared in accordance with appllcable legal requir¢menls.
THE GORDON FoufffjATION
tNDEPENDENT AUDITORPS REPORT TO TKE MIMBERS OF THE GORDON FOUNDATION (tontinued)
Malters on which we are required lo report by exception
In tbe ligbt of the knowledge and understanding of the group and the parent charitable company and its environment
obtalned in the course of the audit, we have not identified maierial misstatements An the Foundation Trustees. Report.
We have nothing to report ID respect of the following matters in relation to whicb tbe Companies Act 2006 requires us to
report to you if, in our opinion:
adequate accounting records have not been kept by the group and parent cbaritable company, or returns adequate
for our audit have not been received from brancbes not visited by us. or
the group and parent charitable compaDy fmancial statements are not in agreement with the accounting records
and returns; or
certain disclosures of tnjstees, remuneration Specified by law are not made. OT
we have not received all the information and explanatiOD5 we require for our audit.
Responsibilities of trustees for the fiDancial statements
As explained more fully in the trustees, responsibililies statement set out on page l O, the trustees (who are also the directors
of the charitsble company for the putTX)ses of company law) are responsible for the preparation of the fanCIal statements
and for being satisfied that they give a trne and fair view, and for such inlernal control as the trustees deterniine is necessary
to enable the preparation of fmancial statements that are free from material misstaien)eDt, wtlether due to fraud or error.
In preparing the fancIal ststements, the trustees are responsible for assessing the group's and ihe parent charitable
colnpany'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 group or the parent charitsble company
or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for Ihe audlt of the fiThanf ial statements
Our objectives are to obtain reasonable assuron¢¢ about whether the fmancial statements as a whole are free from material
misstatement, whether due to fraud or error, and to issue an auditor's report ihat 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 rnisstatement when it exists. Misstaiements can arise from fraud or error and are considered material if,
individually or in tbe aggregale, they could reasonably be expected to influence the economic decisions of users iaken on
the basis of these fmancial statements.
Irregularities, including frdud, are instances of non-compliance with laws and regulations. We design procedures in line
with our responsibilities, outlined above, to delect material mi551at¢ments in respecl of irregularities, including fraud. The
extent to which our procedures are capable of detecting irregularities, iDcluding fraud, is detailed below.
Our approach to identifying and a55essing the risks of material misstatement ill respect of irregularities, including fraud
and non-compliance with laws and regulations, was as follows:
the engagemenl partner ensured that the eDgagement team collectively had the appropriate competence,
capabilities and skills to identify OT recognise non-compliance with applicable laws and regulations.
we identified the laws and regulations applicable to the group and parent charitable cotnpany through discussions
with trustees and other management. and from ow knowledge and experience of the sector.
we focused on specific laws and regulations which we considered may have a direct material effect on the fanCIal
statements or the operations of the group and parenl charitsble Company, including the Companies Acl 2006, the
Charities Act 2011, the Academy Trusi Handbook 2023. taxation, employment, environmental and health and
safety legislation.
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of
rnanagement and inspecting legal correspondence. and
identified laws and regulations were communicated within the audit team regularly and the team remained alert
to instances of non-cornpliance throughout the audit.
12
THE GORDON FOUNDATION
INDEPENDENT AUDITOR'S REPORT TO THE iEMBERs OF THE GORDON FOUNDATION (contlDUtd)
We assessed the susceptibility of the group and parent charitable company's fanCIal statements to material misstatement,
including obtaining an Understanding of bow fraud migbt occur, by:
making enquiries of management a5 to where they Considered there was sUept1bIlity to fraud, their knowledge
of actual, suspected and alleged fraud-
consideriDg the internal Controls in place to mitigate risks of fraud and non-compliance wilh laws and regulations.
To address the risk of fraud through management bias and override of Controls, we:
perfonned analytical procedures to identify any unusual or unexpected Telationsbips"
tested journal entiies to identify unusual transactions.
assessed whether judgements and assumptions made in deterniining the accounting estimales were indicative of
potential bias" and
investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which
included, but were not limited to,.
agreeing fwancial statement disclosures to underlying supporting documentstion;
reading the minutes of meetings of the Foundation Committee;
enquiring of management as to acNal and potential litigation and claims, and
reviewiD8 CO)Tespondence with HMRC.
There are inherenl limitations in our audit procedures described above. The more removed that laws and regulations are
from financial transactions, the les5 likely it 15 that we would become aware of non-compliance. Auditing standards also
limit the audit procedures required to identify non-compliance with laws and regulalions to enquiry of the trustees and
other management and the inspection of regulatory and legal correspondence, if any.
Material misstaiemeDts that arise due to fraud can be barder to detect tban those that arise from error as tbey may involve
deliberate concealment or collusion.
A further description of our responsibilities for the audit of the f]nancial statements is located on the Financial Reporting
Council's website at: www.frc.or
,ukJauditorsres
onsibiliti¢s. This description forn)s part of our auditor's report
Use of this report
Thi5 report is made solely to the group and parent 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 group and parent
charitable company's members those matters we are required to state to them in an Auditor's report and for no other
purpose. To the lIest extent pennitted by law. we do not accept or assume responsibility to anyone other than the group
and parent cbaritable compaDy and the gTOUP and parent charitable compaoy's members a5 a body. for our audit work, for
this report, or for the opinions we have formed.
Stephen Meredith BA FCA DChA (Senior Statutory Auditor)
for and on behalf of Alliotts LLP
Senior Statutory Auditor
Alliotts LLP
3 London Square,
Guildford, GUI IUJ
2811125
13
TItE GORDON FOUNDATION
CONSOLU)ATED STATEMENT OF FINANCIAL ACTIVITIES (INCLUDtNC CONSOLIDATED INCOME
AND EXPENDITURE ACCOUNT)
FOR THE YEAR EIYDED 31 AUGUST 2024
Unrtstritted
Funds
Restricted
Funds
TotAI
2024
Total
2023
Note
In¢ome from:
Donations and legacies
Grants
21.042
21.042
30.466
28.751
188.675
30,466
Chiritablt activity:
In¢ome from boarding charges
Oiher operating income
Funding for the Academy's
¢dutIonal operations
11,895.762
751.126
39,358
11,935,120
751.126
6,157,715
11,104,652
654,337
5,874,019
6.157,715
Trgding activities:
Trading incom¢
316,380
316.380
241.685
Investment Income
95.573
12.488
108.061
102.539
Total income
13,079,883
6,240,027
19a19,910
18,194,658
Expenditure OR:
ChAritable aclivity:
Staff costs
Edu¢pAtional S1$
Welfare cos
Premi5 costs
Support costs
Raising funds:
Finance costs
tnve5tment manag¢m¢nt
Trading Activities-
Trading cosLs
7.492.017
4,608.036
464.652
12,100.053
464,652
2,674,178
2.553.247
1,002,027
10.788,007
480.061
2,303,053
3.207.709
1,101,846
2.674.178
,825,816
555.053
727.431
446,974
242.490
77
242.490
1.885
255,185
1.944
1.808
204,426
204.426
230.426
Totol expendilure
12,994,1)$7
6.248901
19,242,9S8
18J68231
Operating lTr¢om¢l(e%penditur¢)
85026
(8874)
76,952
(173,573)
Net gainsl(losses) on investhients
329.985
16.366
346.351
{92,846)
Net ineomel(expenditure)
415.811
7,492
423,303
(266,149)
Actuarial {losses)Igains on defined b¢n¢fit
pension schemes
21
206,000
206,0
500,000
Net movement in (und5 for the year
415,811
213,492
629J03
23381
Fund balances brought forward at I 16,
September 2023
17
13,186,883
1.408.685
14.595.568
14.361.987
Fund balanees carried forward at 31 August 16,
2024
17
13,602,694
A,622,177
15224071
14595,568
All of the charitable group's activities are continuing.
All recognised gains and losses are included in the Statement of Financial Activities.
The accompanying notes forni part of these fancIal ststernents.
Details of comparative figures by fund e disclosed in note 23.
14
GORDON FoufiDATION
Registered Company No: (K1027272
GROUP BALANCE SHIET
AS AT 31 AUGUST 2024
2024
2023
Notes
FED ASSETS
Tangible
Investments
21,597,756
3,497,081
21,557,334
3,046,691
9,10
25,094,837
24,604.025
CURRENT ASSETS
Debtors
Cash at bank and in hand
l2
826,669
87,739
1,048.713
541,892
914,408
1,590,605
CREDITORS.. Amounts falling due
within one year
13
(4,234,376)
(4,514,683)
NET CURRENT LIABILITtES
(3,319,968)
(2,924,078)
TOTAL ASSETS LESS CURRENT
LIABILITIES
21,774,869
21,679,947
CREDITORS.. Amounts falling due
after more than one year
14
(6,549,998)
(6,882.379)
NET ASSETS BEFORE PENSION
LIABILITY
15,224,871
14,797,568
PENSION SCHEME LIABILITY
21
(202,000)
NET ASSETS
15,224,87J
14,595,568
FUNDS
Unrestricted fun(ts
Restricted- Specific Funds
Restricted - Pension Reserve
16
17
17
13,602,694
1,622,177
13,186.883
1,610,685
(202,000)
15,224,871
14,595,568
The fmancial statements were approved and authorised for issue by the Board on 18 January 2025 aDd were signed below
on its behalf by:
Lieutenant General Rlchard Crlpwell CB, CBE
Chai
Mr M Barnes
Treasurer
The accompanying notes forni part of these ffflancial statements.
15
THE GORDOIY FOUNDATION
Registered Company No: 00027272
CHARITY BALANCE SHEET
AS AT 31 AUGUST 2024
2024
2023
Notes
FIXED ASSETS
Tangible
Investments
Investment in subsidiary company
21.408,359
3,497,081
21.342.616
3,046,691
io
24,905,442
24,389,309
CURRENT ASSETS
Debtors
Cash at bank and in hand
12
675.918
80,277
457,397
538,531
756,195
995,928
CREDJTORS.. Amounts falling due
within one year
13
(3,968,724)
(4,000,635)
NET CURRENT LIABILITIES
(3,212,529)
(3,004,707)
TOTAL ASSETS LESS CURRENT
LIABILITIES
21,692,913
21,384,602
CREDITORS: Amounts falling due
after more than one year
14
(6,506,667)
(6,826,667)
NET ASSETS
15,186,246
14,557,935
FUNDS
Unrestricted funds
Restricted fimds
19
20
14,092,935
1,093,311
13,531,028
1,026,907
15,J86,246
14,557,935
The charitable company has taken exemptioo from preseniing the charity Statement of fmancial activities under section
408 of the Companies Act 2006. The net income of the cbaritable company for the year was £628,311 (2023.. net incorne
£232,762).
The fmaDcial statements were approved and authorised for issue by tbe Board on 18 January 2025 aDd were signed below
on its behalf by-
Lieutenani General Riehard Cripwell CB, CBE
Chairman
Mr M Barnes
Treasurer
The accompanying notes forn] part of these fmancial statements.
16
THE GORDON FOUIYDATION
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 AUGUST 2024
2024
2023
Note
Net cash iDflow from operating actlvltles
759.082
800,946
Casb flows from invesling activilies
Investment income received
Capital grants from DFsFA
Purchase of fed assets
Purchase of investmen15
Sale of investments
108,061
30,466
(672.853)
(149,484)
45,445
102,539
286,682
(423.192)
(25,234)
115,669
Net cash outflow from inve$ting aetivltles
(638,365)
56,464
Cash flow from financing aetlvities
Loan repayments
New loan fu)ance
tnlerest paid
(332.380)
(332,380)
(242,490)
(255,185)
Net eash inflow from financing aetivilies
(574,870)
(587,565)
Change in Cash aDd cash equivalents in the year
(454,153)
(269,845)
Cash and cash equivalents at the beginning of th¢ year
541,892
272,047
Cash and cash equivalents at the end of the year
87,739
541,892
RECONCILIATION OF NET MOVEMENT IN FUNDS
TO NET CASH llYFLOW FROM OPERA TING ACTIVITIES
2024
2023
Net movement in funds for the year
Depreciation
ESFA capital grants
Lossesl(Gains) on investments
Decreasel(incre&se) in debiors
(Decrease)lincrease in creditors
Investment income receivable
Finance Costs
Pension adjustmenl
629,303
632,431
(30,466)
(346,351)
434,790
(493.054)
(108.061)
242,490
(202,000)
233,581
622,512
(188,675)
92,846
(366,662)
662.698
(102,539)
255,185
(408,000)
Net cash inflow from operating activities
759,082
800,946
ANALYSIS OF CASH AND CASH EQUIVALENTS
2024
2023
Cash at bank
Overdraft
87,739
541,892
87,739
541,892
17
THE GORDON FOUNDATION
STATEMENT OF ACCOUNT]NC POLICIES
FOR THE YEAR ENDED 31 AUGUST 2024
The Gordon FoundatlQD is a cbaritable company limited by guarantee, incorporaled in England and Wales (company
Dumber". 00027272) and a cbarity registered in England and Wales (charity number.. 312092). The Cbarity's
registered office address is: Tbe Gordon Foundation, Gordon's School, West End, Woking, Surrey, GU24 9PT.
Basis of AccountlDg
The fanCIal statements have been prepared in accordance with the Financial Reporting Standard applicable in the
UK and Republic of Ireland (FRS 102). The company is a public benefit entity for the purposes of FRS 102 and a
registered charity established as a company limited by guarantee and therefore has also prepared its financial
statements in accordance with the Statement of Recommended Practice applicable to charities preparing tbeir
accounts in accordance with the Financial Reporting Standard applicable it) the UK and Republic of Ireland (the
FRS 102 Charities SORP) (effective from l January 2019) and the Companies Act 2006.
The fmancial statements are prepared in sterling, which is the functional currency of the charitable company.
Monetary aLnounts in these fmancial siaternents are rounded io the nearest pound.
The fanCIal statements are prepared under the bislorical cost convention as modified to include the revaluation of
investh]ents. The principal accounting policies adopted are set out below.
Boarding Charge Debtor Pollcy
Boarding Charges debts, in debtors, Tefleci outstandAng debts for the boarding charges to 31 August 2024, whilst
Boarding Charges ID advance, in creditors, retlect casb received prior to 31 August 2024 for the autumn te 2024
boarding charges.
Basls of Consolidation
The consolidated financial statements incorporate tbose of The Gordon Foundation and au its 5ubsidiarie5. All
fu)ancial statements are made up to 3 l August 2024. All subsidiary undertakings have been includ¢d wiihin the
fancial statements.
The entities are consolidated on a IiDe by line basis and all intra-group transactions and balances between group
companies are eliminated on consolidation.
b)
Going eoncern
The fanCIal statement5 are prepared under the going concern basis which assumes the Group will continue lo meet
its liabilities &s they fall due for a period of at least twelve months from the date of approval of th¢5e fmaDcial
statements.
The trustees have reviewed regularly revised budgets and cash flow forecasts based on various scenarios including
the requirements of the bank loan covenants and are keeping the situation under constant review. meeting regularly
with senior managem¢Dt.
Based on the information available on the date of signing these fanCIal statements. the trustees cannot make a
reliable estimaie as to the ultimate fmanrial impact, however they believe the actions taken have ensured the Group's
ability to continue to operate as a going concern for a period of at least 12 months from the dale of approval of these
fmancial statements.
18
THE GORDON FOUNDATION
ST ATEMENT OF ACCOUNTTNG POLICIES (continued)
FOR THE YEAR ENDED 31 AUGUST 2024
Signifieant judgments and sources estimation uneertainty
The preparation of f]nancial statements in compliance with FRS 102 requires the use of certain critical accounting
eslimates. It also requires management to exercise judgment in applying the Charity's accounting policies. The key
judgements that have been applied by management relate to..
Judgment l - the present value of the Local Government Pension Scheme dered benefit asset OT liability
depends on a number of factors tbat are deternlined on an actuarial basis using a variety of assumptions. The
assumptions used in delennining the net cost (income) for pensions include the discount rate. Any changes
in these &ssumptlODS, which are disclosed in note 21, will impact tbe canying amount of the pension liability.
Furtbemore a roll forward approacb wbich projects results from the latest full actuarial valuation performed
at 31 March 2022 has been used by the actuary in valuing the pensions liability at 31 August 2024. Any
differences between the figures derived from ihe roll forward approach and a fi)11 actuarial valuation would
impact on the carrying amount of the pension a55et or liability.
Judgement 2 - a bad debt provision against potential fuNre uncollectible boarding charges.
d) Income
All income included in the Statement of Financial Activities (SOFA) when the group is legally entitled to the in¢ome
and the amount can be quantified with reasonable accuracy. and receipt is probable.
Grants receivable
Grants are included in the Siatement of Financial Activities on a receivable basis. The balance of income received
for specific Purposes but Dot expended during the year is shown in the relevant fund on the balance sheet. Where
income is received in advan¢e of ¢ntiilement of receipt its recognition is deferred and included in creditors as deferred
income. Where entitlement occurs before income is received, the income is accrued. The General Annual Grant is
recognised in fvll in the year for whtch it is receivable and any unspent amounr is reflected as a balance in the restricted
general fund. Capital grants are recognised when receivable aTJd are not deferred over the life of the asset on wbicb
they are expended. Unspent amounts of capital grant are reflected in ihe balance in the restricted fixed asset fund
Donatiop
Donations and all other receipts from fundrnising are reported gross and are accounled for on a receivable basis. The
related fundraisin8 costs are reported in costs of raising funds.
Jnvestmeni Income
Investment income is accounted for when receivable and includes the related t&x recoverable.
e) Expenditure:
Expendittwe is accounted for on an accruals basis.
Costs ofraisingfunds
Costs of raising funds comprise fmance charges associated wilh intere$t payable on the Group's borrowings and costs
associated with lettings.
Charitable aclivitieS
Costs of charitable activities include grants payable and other costs directly associated with providing the services
and support provided by the cbarity and an apportiotunent of overhead, support and governance costs. Charitable
activity costs represent costs directly associated witb tbe provision of education and related support costs.
Governance c051s
Govemance costs comprise the costs of nllming the charity, including strategic planning for its future developmenl
external audit, any legal advi¢e, and all the costs of complying with ConstilI0nal and statutory requirements, sucb
the costs of Board aThd Committee meetings and of preparing statutory accounts and satisfying public
accountability.
TTading activili
Costs of trading activities include costs directly associated with providing the services provided through trading.
Leased Assets
Rental costs under operating leases are charged to the statement of ffftancial activities in equal amounts over the
period of the leases.
19
THE GORDON FOUNDATION
STATEMENT OF ACCOUNTtNG POLICIES (continued)
FOR THE YEAR ENDED 31 AUGUST 2024
g) Tangible Fixed Assets
Depreciation is provided OD all tangible Fed assets. other than freebold land, on the following methods at rates
calculated to write off the assels over theii estimated useful lives. The methods and rates are
Freehold land and buildings
Machinery and equipment
Fixtures and fittings
Motor vehicles
20/0 - 40/0 per annum straigbt line
200/0 per annum straight line
200/0 per annum straight line
200/0 per aDnum straigbt line
Buildings erected before the year 20IX) are depreciated over 50 years. and newer buildings over 25 yeaTS.
h) Inveslments
Listed investmen15 are stated at market value at the balance sheet date. Realised and unrealised gaiDsnos$es on
investments are included in the Sthiemeni of Financial Activities.
i) Stoeks
Stocks are stated at the lower of cost and net realisable value.
j) FinaDcial iDStruments
Basic fthancial instnunents transactions that result in the recoliti0 of fmancial assets and liabilities like trade and
oiher accounts receivable aDd payable are accounted for on the following basis:
Cash and cosh equivalenls
Cash and cash equivalents includes cash in hand, deposits held at banks, other short-tem highly liquid investments
with original marurities of three months or less and bank overdrafts. Bank overdrafts, when applicable, are shown
within current liabilities.
Debiors and creditors
Debtors and creditors are measured at the transaction price less any provision for iJnpainnent. Any losses arising from
impairnient are recognised as expenditure.
Bank borrowings
Liabilities for borrowings which are subject to a rnarket rate of interest are measured at the value of the amount
advanced, less capital repayments.
k) Employee Benefits
The Costs of short-term employee benefits are recognised as a liability and an expense. The cosi of any unused holiday
entitlement is recognised in the period in which the employee's services are received.
Tennination benefits are recognised immediately as an expense when the charity is demonstrably committed to
teminate the employment of an employee or to provide tenniDatlOD benefits.
l) Funds
General funds comprise ihe accumulated surplus or deficit from tbe Statement of Financial Activities wbich is not
restricted nor designated funds. They are available for use at the discretion of the Trustees in furtherance of the general
objectives of the charity.
Restricted funds are funds which are to be used in accordance with Specific restrictions imposed by the donor (see
notes 17 and 20).
20
THE GORDON FOUM)ATION
STATEMENT OF ACCOUNTING POLICIES (continued)
FOR THE YEAR ENDED 31 AUGUST 2024
m) Pension Costs
Retirement benefit to employees are provided by the Teachers. Pension Scheme ('TPS') aDd the Local Govemment
Pension Scheme ('LGPS'). These are defffted benefit schernes and the assets are held separaiely from those of the
academy trLLSI.
The TPS is an unfunded scheme and contributions are calculated so as to spread the cost of pensions over employees,
working lives with the academy trust in sucb a way that the pension cost is a substantially level percentage of currenl
and future pensionable payroll. The contributious are detertDined by the GoverDment Actuary on the basis of
quadrennial valuations using a prospective unit credit metbod. As stated in note 21, the TPS is a multi-employer
scheme and there is insufficient inforniation available to use defed benefit accounting. The TPS is therefore treated
as a dered contribution scheme for accounling purposes and the contributions recognised in the period to which
they relate.
The LGPS is a funded multi-employer scheme and the assets are held separalely in truslee adminislered funds. Pension
scheme assets are measured at fair value and liabilities are measured on an actuarial basis ustng the projected unit
Credit method and discounted al a rate equivalent to the Cllent rale of Terurn on a high quality corporate bond of
equivalent tenn and currency io the liabilities. The actuarial valuations are obtained at least triennially and are updated
al each balance sheet date. The amounts charged to operating surplus are the cUent service cosis and the costs of
schen)e introductions, benefit changes, settlements and curtailments. They are included as part of staff costs as
incurred. Net interest on the nei defmed benefit liabilityiasset is also recognised in the Statement of Financial
Activities and ¢omprises the interest cost on the defjned benefit obligation and interest income on the scheme assets,
calculated by multiplying the fair value of the scheme assets al the beginning of the period by the raie used to discount
the benefit obligations. The difference between ihe interest income on Ibe scherne assets and (he actual return on the
scherne assets is recognis¢d in other recognised gains and losses. ACtula1 gains and losses are rKognised
InedIatelY ID Other recogDised gains and losses.
Foundatton employees are part of a defmed contribution workplace pension Scheme with Salvus Master. Payments to
defu)ed contribution retirement benefif schemes are cbarged as an expense as they fall due.
21
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS
FOR TRE YEAR ENDED 31 AUGUST 2024
2024
Restrieted
Funds
2023
Total
Unrestricted
Funds
Total
DONATIONS AIND LEGACIES
Donations and gifts
Legacies
21,042
21,042
28,751
21,042
21,042
28,751
GRANTS
ESFA capital grants
30,466
30,466
188,675
30,466
30,466
188,675
INCOME FROM CHARITABLE ACTMTtES
Gross income from boarding charges
Less:
Bursaries
Staff discounts
Qtber discounts
12,524,052
39,358
12,563,410
11,617,620
(582,977)
(35,958)
(9,355)
(528,977)
(35,958)
(9,355)
(478,328)
(26,486)
(8,154)
Net income from boardiD8 cbarges
11,895,762
39,358
11,935,120
11,104,652
Other operating income
751,126
751,126
654,337
Funding for the Academy's educational
operatioDS
6,157,715
6,157,715
5,874,019
12,646,888
6,197,073
18,843,961
17,633,008
TRADING ACTIVITIES
Trading income
316,380
316.380
241,685
316,380
316?80
241,685
NVESTMENT INCOME
tnterest received
Dividends received
1,647
100,892
95,573
12,488
108,061
9S,S73
12,488
108,061
102,539
22
THE CORDON FOUNDATION
NOTES TO THE FINANCIAL STATEENTs (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
EXPENDITURE
2024
Total
Staff Costs
Other
Depreciation
Charitable activity:
Staff costs
Teacbing costs
Welfare costs
Premises costs
Support costs
12,100,053
12,100,053
464,652
2,674,178
2,553.247
1,002,027
464,652
2,674,178
1,920,816
1,002,027
632,431
12,100,053
6,061,673
632,431
18,794,157
Roising funds:
Finance costs
Other costs
Trading costs
242,490
1,885
204,426
242,490
1,885
204,426
12,100,053
6JIO,474
632,431
19,242,958
EXPENDITURE (PIUOR YEAR)
2023
Total
Staff Costs
Other
Depreciation
Charilable activity:
Staff costs
Teaching costs
Welfare costs
Premises costs
Support costs
10,788,007
10,788,007
480,061
2,303,053
3,207,709
1,101,846
480,061
2,303.053
2,585.197
1,101,846
622,512
10,788,007
6,470,157
622,512
17,880,676
Raising funds:
Finance costs
Otber costs
Trading costs
255,185
1,944
230,426
255,185
1,944
230,426
10,788,007
6,957,712
622,512
18P68331
2024
2023
Total expenditure ineludes:
Depreciation
Operating lease payments recognised as an expense
Auditor's remuneration.. - Audit fees
- Other services
632,431
344,040
31,400
14,240
622,512
225,624
28,760
13,310
23
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR EfADED 31 AUGUST 2024
STAFF COSTS
2024
2023
Wages and salaries
Social security costs
Other pension costs
Stsff restructuring costs
9,570,614
953,301
1,576,138
,541,643
853,930
1,392,434
12,100,053
10,788,007
2024
2023
No
The average number of employees in ibe year was:
Teachers
Administration (including academic support & maintenance)
77
194
73
184
271
257
The number of higher paid staff during the year was as follows:
£60,001 to £70,000
£70,001 to £80,000
£80,00110 £90,000
£90.0011o £100,000
£IOO,001 to £110,000
£130,001 to £140,000
15
15
31
24
No trustees re¢eived any remuneration or benefits-in-kind during tbe year (2023: £nil). No trustees received
reimbursement of expenses in respect of travel and subsistence during the year (2023.. £771 to one trustee)
Pension contributions of £100,258 (2023: £98,525) were made to personal pension plans,in respect of higher paAd
staff during the year.
The key management personnel of the group comprise the Truslees. Head Teacher, Finance & Operations Director,
Development Director. HR Director, Estates Director, Deputy Head of Pastoral and Deputy Head of Curriculum.
The total remuneration of tbe key management personnel duriog the year was £840.215 (2023: £875.447).
24
TE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
FIXED ASSETS- GROUP AND CHARrrY
Freehold M4¢thin¢ry &
Land &
Building5
Fixtures
Asse¢s und¢r
Total Academy
Totsl
Equlpment
Fittings
Construction
Charity
Trust
Group
COST
At I September 2023
Additions
Reclassification
27,087,812
75,364
,171,356 1,048,832
37,369
61.419
277,701 29,585.701 1.250,159 30,412.668
449,151
623,303
49,550
672,853
At 31 Au8ll$t 2024
27,163,176
1,208,725 1,110251
726,852 30209.fy)4 1,299,709 3JJ08.713
DEPRECIATION
At I September 2023
Charge for the year
6,326,425
344.110
,004.073
94,931
912.587
118.519
8,243,085 1,035,441
557.560
74,871
9,278,526
632,431
At 31 August 2024
6,67OJ35
1,099,004 1.031,106
I80045 1,IIOJ12
9,910,957
NET BOOK VALUE
At 31 August 2024
20,492,641
109,721
79.145
726052 21,408J59
189,397
21,597,756
At 31 August 2023
20,761,387
167,283
136,245
277,701 21J42,616
214,718 213S7J34
FIXED ASSETS lKVESTMEs -GROUP AND CHARJTY
2024
2023
Balance at I September 2023 (excluding cash deposit5)
Additions
Disposals at opening market value
Realised and unrealised (losses)/gains
3,013,280
149,484
(56,180)
346,571
3,113,522
25,234
(32,481)
(92,995)
Balance at 31 August 2024 (excluding c&sh deposits)
3,453,155
3,013,280
Cash deposits
43,926
33,411
Balance at 31 August 2024
3,497,081
3,046,691
Class of investments is split as follow..
2024
Cash or cash equivalents
Equities
Alternative investments
Fixed interest
43,926
3.351,387
57,419
44,349
Balance at 31 August 2024
3,497,081
25
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (CoDtillued)
FOR THE YEAR ENDED 31 AUGUST 2024
io.
llYVESTMENTS JF4 SUBSIDIARY UNDERTAKINGS . CHARITY
Shares in
group
undertaklngs
Balance at I September 2023 and 31 August 2024
Details of the charitable company'5 subsidiaries at 31 August 2024 are as follows,.
(l) Gordon's School Acadetny Trust is a private company limited by guarantee, domiciled and incorporated in England
and Wales. The registered o£fice and principal place of business is Bagshot Road, West End, Surrey, GU24 9PT. On the
basis that The Gordon Foundation is member of the Gordon's School Academy Trust and has significant influence over the
entlty, Gordon's School Academy Trust has been included within the consolidated fanCIal statements.
Aeadem
results:
Total
2024
Total
2023
FA
Total Income
9,027,865
8,574,034
Total Expenditure
(9,232,873) (9,073,212)
Net income/(expenditure)
(205,008)
(499,178)
Otber recognised gains and losses
AcarIal{lOSse8) on dered benefit pension scheme
Adjustment for restriction on pension assets
207,000
(1,000)
so0.0
Net movement in funds
992
822
Total funds brought forward at i September 2023
24,048
23,226
Total funds carried forward at 31 August 2024
25,040
24,048
Ba12nee Sheet
Fixed Assets
189,397
214,718
Current Assets
1,000,089
1,825.414
Current Liabilities
(1,121,115) (1,758,372)
Creditors falling due after more tban one year
(43,331)
(55,712)
LGPS Pension Scheme Liabilities
(202,000)
Total Funds
25,040
24,048
26
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Conlinued)
FOR THE YEAR ENDED 31 AUGUST 2024
ii.
INVESTMENTS ]N SUBStDIARY UNDERTAKtNGS - CHAIUTY (Continued)
(li) The Foundation holds 100% of the share capital of The Gordon Enterprises UK Limited (company Dumber:
04104254, registered in England arjd Wales, registered office.. Bagshot Road, West End, Swey, G24 9PD, whose principal
activities are letting the buildings and grounds of Gordon's School and selling memorabilia. A summary of the profit and
loss aCCoLt and the balance sheet from the audited fanCIal statements is sel out below:
2024
2023
Profit aDd LA)ss Account
Turnover
Costs
269,839
(204,427)
233,724
(230,425)
Profit for the year
Donation to The Gordon FoundatlOD
Retained Profit for the Year
65,412
3,299
Balance Sheet
Net CuThent Assets
Retsined Profits
Share capital
Total equity
13,585
13,585
12. DEBTORS
Group
2024
Group
2023
Charity
2024
Charity
2023
Boardin8 charge debtors
Sundry debtors
Amount owing to subsidiaries
Prepayments
VA T reclaim
351,721
20,506
208,815
24,791
351,721
208,815
3,112
157.320
163,765
290,677
163,765
524,644
290,463
88,051
160,531
826,669
1,048,713
675,918
4S7J97
13.
CREDITORS: amounts falling due
wiihin one year
Group
2024
Group
2023
Charity
2024
Charity
2023
Loans and overdraft
Trade CTeditors
Boarding charges in advance and pupil deposits
Taxation and social security
Other creditors
Amount owing to subsidiaries
Accrnals and defeed income
332,380
1,442,721
I,165,818
284,32l
769,681
332,380
1,817,000
879,790
215,236
,022.519
320,000
1,117.527
1,165.818
67,576
240,041
865,028
192.734
320.000
1,066,413
879,790
62,731
233,062
1,262,729
175,910
239,455
247,758
4,234,376
4,514,683
3,968,724
4,000,635
27
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
14.
CREDITORS: amounts falling due
after more Ihan one year
Group
2024
Group
2023
Charity
2024
Charity
2023
Bank loaD
6,549,998
6,882,379
6,506,667
6,826,667
6,549,998
6,882J79
6,506,667
6,826,667
Analysis of loans:
Between one and two years
Between two and five years
After five years
332,380
990,951
5,226.667
332.380
997,141
5,552,858
320,000
960,000
5,226,667
320,000
960,000
5.546,667
6,549,998
6082,379
6,506,667
6.826.667
Due within one year
332,380
332,380
320,000
320,000
6,882J78
7214,759
6,826,667
7,146,667
At the year end, The Gordon Foundation had two long tenn loaDS. Both loans are secured by legal fwst charges over
freehold land and buildings of The Gordon Foundation.
Tbe first bank loan of £2,000,000 was taken out in December 2018 aDd is due for repayTnent by instalments by
January 2044. Interest accnles on this loan at 3.80/0. and interest payments are made quarterly. Capital repayments
ommenced in January 2020.
The second bank loan facility of £6,0,000 wa5 tsken out in December 2019 to fimd construction of a Dew sports
facility and all weather pitch. A sum of £5,440,000 was outstanding at 31 August 2023 and the capital will be repaid
by instalments until January 2046. Interest accrues on this loan at a rate of 3.3Q/o aDd interest payments are made
monthly. Capital repayrnents commenced in April 2021.
28
THE GORDON FOUNDATION
NOTES TO THE FINAIYCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
IS. LEASE COMMIT11NTs
At 31 August 2024 the total of futwe minimurn lease payments under non-cancellable operating leases were:
2024
2023
Leases expiring:
Within one year
Between two and five years
More than five years
300,311
183,606
213,481
84,603
483,917
298,084
R6. UNRESTRICTED FUNDS
I September
2023
Investment
(Losses)
31 August
2024
Ineome
Expendilure
TrAnsf¢r$
Designated -
Eyie Fund
General Fund
50,651
50,651
13,136,232
13.079,883
(12,994,057)
329,985
13,552,043
13,186,883
13,079,883
(12,994,057)
329,985
13,602,694
UNRESTRicfED FUNDS (PRIOR YEAR)
I September
2022
31 August
2023
Ineome
Expenditure
Investment
L$5¢9
Transfers
Designated-
Eyre Fund
General Fund
50,651
50,651
l3,535,465
11,987,578
(12,314,074)
(72,737)
13,136,232
13,586,116
11,987,578
{12,314,074)
(72,737)
J3,186,883
The Designated Eyre Fund represents the balance on an Unrestricted donation wbicb is used to help finance mu51C
lessons.
29
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
17. RESTIUCTED FUNDS
Balance at
I September
2023
Balance al
31 August
2024
Investment
Expenditure Gainsl(losses) Transfers
Income
Specifie funds:
Gordon Foundation
Special fund
Stepping Forward
Appeal fiJDd
Piano fund
Bursaries
417,729
12,488
(1,808)
16,366
444,775
300.686
300,686
1,740
227,348
39,358
28,738 6,157,715
79.404
555,040
1,740
266,706
18,231
79,404
510,635
DfCSF (DfE) fund
Other restricted funds
D Fixed Asset fund
(6,168222)
30,466
(74,871)
1,610,685 6340,027
(6244,901)
16,366
1,622,177
Pension reserve
(202,000)
(4,000)
206,000
RESTIUCTED FUNDS
(PRIOR YEAR)
Balance at
I September
2022
Balance Vdt
31 August
2023
Investment
Gainsl(losse5) Transfers
Ineome
Expenditure
Specifie funds
Gordon Foundation
Special fund
Stepping Forward
Appeal fund
Piano fund
Bursaries
426,766
12,932
(1,860)
(20,109)
417,729
300.686
1,740
95,894
30,386
79,404
450.995
300,686
1,740
227,348
28,738
79,404
555,040
131,454
5,874,019
DfCSF (DtE) fund
Other restricted funds
DtE Fixed Asset fijnd
(5,875,667)
188,675
(84,630)
1.385,871
6,207,080
(5,962,157)
(20,109)
1,610,685
Pension reserve
(610,IM)O)
(92,0}
soo,000
(202,000)
Gordon Foundation Specigl Fund - this fund represents the balance of assets transferred by several connected
charities on l April 1996.
Slepping Forward Appeal Fund - this fund reflects an appeal to enbance perfonning arts facilities at Gordon's
School.
30
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
17.
RESTRICTED FUNDS (Continued)
DfCSF (DfE) Fund & DfE Flxed Assel fund - these funds reflect monies received from the Department for
Education (previously the Department for Children, Schools and Families), for the purpose of assisting with the
general academy rUtlD8 costs and building projects.
Other restritted funds represent other specific donations to fimd activities of the FouJ)dation.
Pension Reserve - this fund represents the sbare of the pension deficit borne by the subsidiary, Gordon's Scbool
Academy Trusl in the Local Government Pension Scheme. Further detail is given in note 21 below.
18. ALLOCATION OF THE GROUP NET ASSETS
Tangible
Assets
Net Current
Assets
(Liabilities)
Long Term
Liabiliti¢sl
Pension
Investments
Total
Restricied - Specific
Restricted - Pension reserve
273,522
189,397
1,159,258
1,622,177
Unrestricted
3,223,559
21,408,359
(4,479,226)
(6,549,998)
13,602,694
3,497,081
21,597,756
(3,319,968)
(6549,999)
15,224,871
ALLOCATION OF THE GROUP NET ASSETS (PRJOR YEAR)
Fixed
Assets
Net Current
Assets
(Llablllties)
Long Term
Liabilities/
Pension
Inveslmenls
Total
Restricted- Specific
Restricted- Pension reserve
248,613
214,718
1,147,354
1,610,685
(202,000)
(202.000)
Unrestricted
2,798,078
21,342,616
(4,071,432)
(6,882,379)
13,186,883
3,046,691
21,557J34
{2,924,078)
{7,084J79)
14,595,568
19.
CHARITY UNRESTRICTED FUNDS
UNRESTRICTED FU]¥DS
Balance al
I September
2023
Balance at
31 August
2024
Investment
Gainsl{losses) Transfers
Income
Expenditure
Designated - Eyre Fund
50,651
50,651
General Fund
13.480,377 12,828,914
(12,596,992)
329,985
14,042,284
13,531,028 12,828914
(12,596,992)
329,985
14,092935
31
THE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
19.
CHARITY UNRESTRICTED FUNDS (Continued)
UNRESTRICTED FUNDS (PRIOR YEAR)
Balance at
I September
2022
BalaDce al
31 August
2023
Ineome
Expenditure
Investment
Ga1DsI(loss)
Transfers
Designated - Eyre Fund
50,651
50,651
General Fund
13,370,032 11,749,192
(11,566,110)
(72,737)
13,480,377
13,420,683 11,749,192
(11,566,110)
(72,737)
13,53J,028
20. CHAIUTY RESTRICTED FUNDS
Balanee at
I September
2023
Balance al
31 August
2024
Investment
Gains/(losses) Transfers
Income
Expendlture
Gordon FoundatlOD
Special fund
Stepping Forward Appeal
fund
Piano fund
Bursaries
Other restricted funds
417,729
12,488
(1,808)
16,366
444,775
300,686
300,686
1,740
227,348
79,404
1,740
266.706
79,404
39,358
1,026,907
51,846
(1,808)
16J66
1,093Jll
CHARITY RESTRJCTED FUIYDS (PRIOR YEAR)
Balance at
I September
2022
Balance at
31 August
2023
Investment
Gains
Income
Expenditure
Transfers
Gordon Foundation
Special fund
Stepping Forward
Appeal fid
Piano fund
Bursaries
Other restricted fimds
426,766
12,932
(1,860)
(20,109)
417,729
300,686
1,740
95,894
79,404
300,686
1,740
227,348
79,404
131,454
904,490
144J86
(1,860)
(20,109)
1,026,907
32
ThE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
21. PENSION AND SIMtLAR OBLIGATIONS
The academy trust's employtts belong to trwo principal pension schemes.. the Teachers, Pension Scheme England and
Wales (TPS) for acadetnic and related staff; and the Local Government Pension Scheme (LGPS) for lloo-teaching staff,
which is managed by sueY County Council. Both are multi-employer defmed benefit scbemes.
The pension costs are assessed in accordance with the advice of independent qualified actt)aries. The latest acttlarial
valuation of the TPS related to the period ended 31 March 2020, and that of tbe LGPS related to the period ended 31 March
2022.
Contributions amounting to £529,641 were payable to the s¢h¢mes at 31 August 2024 (2023.. £789,456) and are included
within creditors.
Teachers, Pension Scheme
Introductlon
The Teachers, Pension Scheme (TPS) 15 a statutOry* contributory, defmed benefit scheme, governed by the Teachers,
Pension Scheme Regulations 2014. Membership is automatic for teachers in academies. All teachers have the option to opi
out of the TPS following enrolment.
The TPS is an unfunded scheme to which both the member and employer makes contributions, as a percentage of salary.
These contributions are credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided
by Parliament,
ValuatloD of the Tegcbers, Pension Scheme
The Government Actuary, using nonnal actuarial principles, conducts a fomial actuarial review of the TPS in accordance
witb the Public Service Pensions (ValuatioTJs and Employer Cost Cap) Directions 2014 published by HM Treasury every
4 years. The aim of the review is io ensure scheme costs are recognised and managed appropriaiely and the review specifies
the level of future contributions.
Actuarial scheme valualions are dependent on assumptions about the value of future costs, design of benefits and many
other factors. The latest actuarial valuation of the TPS was carried out as at 31 March 2020. The valuation report was
published by the Department for Education on 27 October 2023, with the SCAPE rate, set by HMT, applying a notional
investment return based on 1.70/0 above the rate of CPI. The key elements of the valuation outcome are..
Employer contribution rates set at 28.68 % of pensionable pay (including a 0.080/0 administration levy). This is an
increase of 5Yo in employer contributions and the cost coDtrol result is such that no change in member benefit5 15
needed.
Total scheme liabilities (pensions currently in payment and the estitnated cost of future benefits) for service lo the
effective date of £262,000 million and notional assets (estimated future contributions together with the notional
investments held at the valuation date) of £222,200 million, Eiving a notional pasl service deficit of £39,800
million.
The result of this valuation will be implemented from l April 2024. The next valuation result is due to be implemenled
from l April 2028.
The employer's pension costs paid to tbe TPS in the period amounted to £1209,396 (2023: £976,587).
A copy of the valuation report and supporting documentatlon is on the Teachers, Pensions website.
Under the defmitions set out in FRS 102, Ihe TPS is an unfunded multi-employer pension scheme. The academy trust has
accounted for its contributions to the scheme as if it were a defmed contribution scbeme. The academy tNst has set out
above the inforniation available on the scbeme.
33
THE GORDON FOUNDATJON
NOTES TO THE F]J¥ANCIAL STATEMENTS (continued)
FOR THE YEAR ENDED 31 AUGUST 2024
21. PENSION AND OBLIGATIONS (continued)
IA)cal Government Pension Scheme
The LGPS is a fimded defmed benefit pension scheme, with the assets held in separate trustee-administered funds. The
total contributions are as noted below. The agreed contribution rates for tUre years are 23.20/0 for employers and 5.50/0 to
12.50/0 for employees.
Parliament bas agreed, at the request of the Setretary of State for Education, lo a guarantee that, in tbe event of academy
c105ure, outstanding Local Government Pension Scheme liabilities would be met by the Department for Education. The
guaraDtee came into force on 18 July 2013 and OD 21 July 2022, the Department for Education reaThed its commiiTnent
to the guarantee, with a parliamentary minute publisbed on GOV.UK.
Total contributions made
2024
2023
Employer's contributiolls
Employees, contributions
201,000
67,000
165,000
48,000
Total contributions
268,000
213,000
Principal actuarlal assumpiioos
2024
2023
Rate of increase in salaries
Rate of increase for pensions in paymenvinflation
Dis¢ounl rate for scheme liabilities
3.65
2.65
5.00
4.00
3.00
5.20
The current mortality assumptions include sufficient allowance for tUre improvements in mortality rates. The asswned
life expectations on retirement age 65 are..
2024
Years
2023
Years
Retiring today
Males
- Females
21.8
25.3
21,9
25.4
Retiring in 20 years
Males
- Females
22.7
25.9
22.8
25.9
34
ThE GORDON FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS (CODtinued)
FOR THE YEAR ENDED 31 AUGUST 2024
21.
PENSION AND StMtLAR OBLIGATIONS (continued)
Scheme liabilities would have been affected by changes in assumptions as follows..
2024
2023
Discount rate + O.IYo
Discount rate . O. 10/0
Mortality assiimption + l year
Mortality assumption - l year
CPI rate + O. IO/¢
CPI rate - O. 10/0
(61,000)
61.000
114.000
(114,000)
61,000
(61.000)
(54,000)
54,000
loo,000
(i 00,000)
53.000
(53,000)
Defined benefit pension seheme net liability
2024
2023
Scheme assets
Scheme obligarions
2,841,000
(2,841,000)
2,297,000
(2,499,000)
Net liability
(202,000)
The aeademy trust's share of the assets In the scheme
2024
Fair value
2023
Fair value
Equilies
Bonds
Cash
Property
FRS 102 Asset ceiling
2,103,000
398,000
114.000
227,000
(1,000)
1,769,000
275,000
69,000
184,000
2,841.LN)O
2,297,000
The acNal rettmi on scheme assets wa5 £328,000 (2023: a gain of £l18,0(10).
Amount reeognised in the Statement of Flnanclal Activities
2024
2023
Current service cost
Interest income
Interest cost
195.000
(125,000)
135.000
230,000
(89,000)
116,000
Tothl operating charge
205,000
257,000
35
THE GORDON FOUNDATION
NOTES TO THE FINANcL STATEMENTS (continued)
FOR THE YEAR EIYDED 31 AUGUST 2024
21.
PENSION AND SIMILAR OBLIGATIONS (conlinued)
CbaDg¢s in the present value of d¢fiDed benefit obligatlons
2024
2023
At I September 2023
Current service cost
Interesl cost
Employee contributions
ACarIal gain
Benefits paid
2,499,000
195,000
135,000
67,000
(3,000)
(52,000)
2,614,000
230,000
116,000
48,000
(471,000)
(38,000)
At 31 August 2024
2,841,000
2,499,000
Changes ID the fair value of tbe academy Irust's share of scheme assets
2024
2023
At I Sepiember 2023
Interesi income
Actuarial (gain)11055
Employer contributions
Employee contributions
Benefils paid
FRS 102 Asset ceiling
2,297,000
125,000
204,000
201,000
67,000
(52,000)
(1,000)
2,004,000
89,000
29,000
165,000
48,000
(38,000)
At 31 August 2024
2,841,000
2,297,000
The actuarial report for the local government pension scheme shows a pensioD asset of £1,000 at 31 August 2024.
We have not recogni5ed the pension asset as a positive position but have instead sbown a break-even position as there is
insuffi¢ieut evidence to Conclude that the 'asset' may be available to reduce future payments.
An asset should only be recognised to the extent that the Trust is able to recover the surplus either through reduced
contribution in the future or refunds from the plan.
We have made fijrther disclosure in the Trustees Report and ID the note on judgements to adequately reflect Ibis.
The Foundation offers employees a workplace pension and uses tbe Salvus Master'Trust. The employer contribution rate
is 70/0 and the employee contribution rate is a minimum of 3.50/0. The employer pension costs during the year were £203,959
(2023.. £187,619) and tljere were no contributions payable to the scbeme ai 31 August 2024 (2023.. £nil).
22. RELATED PARTY TRANSACTIONS
There were no related party transactions in the period (2023: None).
36
THE GORDON FOurDATION
NOTES TO THE FINANCIAL STATEMENTS (Continued)
FOR THE YEAR ENDED 31 AUGUST 2024
23. COMPARA TtVE CoNSOLATED STATEMENT OF FINANCIAL ACTIVITIES 2023
Unrestricted
Funds
R¢stri¢t¢d
Funds
TotAI
2023
Tot•1
2022
Note
Income from:
Donations and legacies
Grants
28.751
28,751
188.675
91,975
238.513
188,675
Ch•rliabl¢ 4ctlvity:
Income from boarding charges
Other operating income
Funding for the Academy's
educational operations
10,973,198
654,337
131.454
11.104.652
654.337
5,874.019
10,193,082
206.276
5,323.140
5.874,019
Trading ae¢lvl¢les:
Trading income
241.685
241,685
153.278
Investment income
89,607
12,932
102,539
101,689
Total income
11987,578
6,207,080
18,194.658
16J07,953
Exptnditure on:
Charitjble activity:
Staff costs
Educational costs
Welfare costs
Premises costs
Supporl costs
Raising (unds:
Finance Costs
Investment management
Trading #ttivities:
Trading costs
6.967,592
3,820,415
480.061
10,788,007
480.( I
2.303.053
3,207,709
1.101.846
10.121.499
529.173
1.908.141
2.617.312
929,457
2,303,053
.969,180
588,554
1,238.529
513,292
255,185
84
255.185
1,944
291,509
2.261
1,860
230,426
230,426
141,892
T•t*l txptnditure
12J14,074
6,OS4,157
18J68231
16,542,244
Op¢ratin8 intomel(expenditure)
(326,496)
152,923
(173,573)
(234,291)
Net gainsl(losses) on invesknents
(72,737)
(20,109)
(92.846)
(295,701)
Net in¢omel(exp¢nditure)
(399,233)
132.814
(266.149)
(529,992)
Actuarial (losses)Igains on defthed benefit
pension schemes
21
500.000
SOO,(K)O
,611,000
Net movement in funds for ¢h¢ yeor
{399,233)
632,814
233,581
1,081,008
Fund balances brought forward at I I
September 2022
17
13,586,116
775.871
14,361.987
13,280,979
Fund balances tarried forward at 31 August 16,
2023
17
13,186,883
1.408,685
14,595,568
14J61,987
All of the charitable group's activities are continuing.
All recognised gains and losses are included in the Statement of Financial Activities.
37
## The Gordon Foundation (inc The Gordon Enterprises UK Limited) Management report for the ear ended 31 Au ust 2024 y g
Date of issue: January 25
## Alliotts LLP
Guildford 3 London Square, Cross Lanes, Guildford, Surrey, GU1 1UJ London Manfield House, 1 Southampton Street, London WC2R 0LR
## **Contents**
|1.|Purpose .................................................................................................................................................................................................. 3|
|---|---|
|2.|Significant matters .................................................................................................................................................................................. 3|
|3.|Adjusted and unadjusted misstatements ................................................................................................................................................. 4|
|4.|Accounting policies and practices ........................................................................................................................................................... 6|
|5.|Audit risks .............................................................................................................................................................................................. 7|
|6.|Control recommendations raised in previous audits ............................................................................................................................... 10|
|7.|Control recommendations raised this audit ........................................................................................................................................... 12|
|8.|Independence ...................................................................................................................................................................................... 13|
|9.|Sector update ....................................................................................................................................................................................... 14|
The report is intended for the sole use of The Gordon Foundation (“the company”) and must not be disclosed to any third party, or quoted or referred to, without our written consent. No responsibility is assumed to any other person in respect of this report.
The primary objective of our audit is to express an opinion on the truth and fairness of the company accounts as a whole. An audit does not examine every operating activity and accounting procedure in the company, nor does it provide a substitute for management’s responsibility to maintain adequate controls over the company’s activities. Our work is not designed therefore to provide a comprehensive statement of all weaknesses or inefficiencies that may exist in the company’s systems and working practices, or of all improvements that could be made.
## **1. Purpose**
ended 31 August 2024 in line with our Audit Plan previously circulated.
## **2. Sig**
## **Bank covenants:**
awaiting feedback from the bank relationship manager to confirm it externally.
## **Results for the year:**
The charity has reported a net income for the year of £628k (2023: net income: £233k). After excluding the impact of the net gain/losses on the investments the underlying results for the year was net income of £282k (2023: net income: £326k).
## **Going concern:**
We performed a detailed review of going concern and noted that the budgets for FY2024/2025 support the going concern assumption. This supports management’s opinion that the accounts should be prepared on the going concern basis.
## **Outstanding items:**
- Fees received in advance: Sample testing is still underway; however, we do not expect the fees to contain a material misstatement.
-
Page 3
## **3. Adjusted and unadjusted misstatements**
|All misstatements considered to be material individually or cumulatively are required to be adjusted. We have not set out below those|All misstatements considered to be material individually or cumulatively are required to be adjusted. We have not set out below those|All misstatements considered to be material individually or cumulatively are required to be adjusted. We have not set out below those|All misstatements considered to be material individually or cumulatively are required to be adjusted. We have not set out below those|All misstatements considered to be material individually or cumulatively are required to be adjusted. We have not set out below those|
|---|---|---|---|---|
|misstatements encountered which are considered to be below trivial.|||||
|**Materiality (£)**
**Triviality (£)**
£256,000
£12,800
~~ES~~|||||
|**3.1. Adjusted misstatements**|||||
|**Description**
**Account**
**Surplus/(Deficit) (£)**
**Net asset/(Liab) (£)**
~~a~~|||||
|**Draft trial balance**|||**560,966**||
|**Audit department – adjusting journal entries:**|||||
|Opening balance adjustment
Funds Brought Forward
Share of support costs|||(671)|671|
|**Accounts department – reclassifying journal entries:**|||||
|Agree Enterprise to intercompany (PY gift
aid contribution)
Support of Gordon’s school
Amounts due from fellow group undertakings|||3,299|(3,299)|
|Gift aid donation of Gordon Enterprises
Donations and gifts|||65,413||
|profits to Foundation
Amounts due from fellow group undertakings||||(65,413)|
Page 4
## **3.1. Adjusted misstatements**
|**Description**
**Account**
**Surplus/(Deficit) (£)**
**Net asset/(Liab) (£)**
~~a~~|**Description**
**Account**
**Surplus/(Deficit) (£)**
**Net asset/(Liab) (£)**
~~a~~|**Description**
**Account**
**Surplus/(Deficit) (£)**
**Net asset/(Liab) (£)**
~~a~~|**Description**
**Account**
**Surplus/(Deficit) (£)**
**Net asset/(Liab) (£)**
~~a~~|
|---|---|---|---|
|Agree investments|Net movement on investments|87,549||
||Gain or loss on sale of investments
Investments|(88,245)|696|
|Reallocation of fees in advance|Trade debtors||(2,161,182)|
||Fees in advance||2,161,182|
|**Final results**||**628,311**||
Page 5
## **3.2. Unadjusted misstatements**
|**Description**
**Account**
**Surplus/(Deficit) (£)**
**Net asset/(Liab) (£)**
~~a~~|**Description**
**Account**
**Surplus/(Deficit) (£)**
**Net asset/(Liab) (£)**
~~a~~|**Description**
**Account**
**Surplus/(Deficit) (£)**
**Net asset/(Liab) (£)**
~~a~~|**Description**
**Account**
**Surplus/(Deficit) (£)**
**Net asset/(Liab) (£)**
~~a~~|
|---|---|---|---|
|Being the correction of the Girdlers’ prepaid income|Prepayments||18,500|
||Income – restricted|18,500||
|Reclassification of difference noted in payroll reconciliation|Payroll|(65,349)||
||Administrative expenditure|65,349||
|**Net impact**||**18,500**||
## **4. Accounting policies and practices**
both relevant accounting standards and the requirements of FRS102. We have reviewed the accounting policies and practices selected by the charity and are satisfied that the charity operates acceptable accounting policies and practices.
Page 6
## **5. Audit risks**
|**Issue**|**Description**|**Planned response**|**Conclusion**|
|---|---|---|---|
|**Income recognition:**|Fraud concerning revenue recognition.|Reconcile in total the income per|Income was seen to be recognised|
|||remittances to amounts recognised in|in line with the SORP requirements.|
||Risk that income could be understated,|the accounts.||
||or cut-off errors could occur with|||
||income recognition.|Reviewcut off procedures and systems||
|||for income recognition.||
|**Reliance on key**|Risk that segregation of duties could|Discuss with management anystaff|Noted no apparent evidence that|
|members of staff|become difficult should members of|changes or issues in the year.|management has been overriding|
|**and possible**|the team be absent due to ill health for||controls via posting journals.|
|**management**|any length of time.|Review operation of systems and||
|**override:**||controls.||
||Risk that management could override|||
||key controls.|||
|**Fluctuations in**|Changes in demographics and public|Discuss future plans and any issues with|Based on our income testing, this|
|**borders numbers:**|perception could lead to fluctuating|management.|was not a risk. The boarding charges|
||perception could lead to fluctuating
pupil numbers which would lead to a||increased along with the head|
||fall in additional boarding fees.|Discuss with management anystaff|counts of pupils.|
|||changes or issues in the year.||
|||Review operation of systems and||
|||controls.||
Page 7
|**Issue**|**Description**|**Planned response**|**Conclusion**|
|---|---|---|---|
|**Errors and fraud:**|Risk of errors in the cut off of|Cut off to be tested.|No instances of fraud were|
||expenditure leading to the accounts
not reflecting a true and fair view,|Review systems and control procedures|identified during the audit and no
significant concerns over the|
||therebyaffectingmanagement|through discussions with the accounts|management controls were raised.|
||decisions based on the accounts.|staffand complete severalwalkthroughs||
|||to confirm systems and controls are in||
||Risk of fraud from internal and external|place.||
||affectingthe results.|||
|||Discuss with management if any frauds||
|||have occurred and review any systems in||
|||place to mitigate the risks.||
|||Review of journals posted to backing||
|||rationale and documentation.||
|**Related parties and**|Risk that related party transactions with|Request information on related parties|Systems and controls were|
|**transactions:**|the Foundation may be missed from the|from the trustees.|reviewed, and no issued were|
||financial statements.||identified.|
|||Review transactions compared to||
|||trustees’ register of interest and confirm|No issues noted from the review of|
|||trustees’ register of interest and confirm
no further related party transactions to|the related party transactions and|
|||be disclosed.|minutes of meetings during the year.|
|||Review systems and controls for||
|||reporting related party transactions.||
Page 8
|**Issue**
**Description**
**Planned response**
**Conclusion**
~~a~~|**Issue**
**Description**
**Planned response**
**Conclusion**
~~a~~|**Issue**
**Description**
**Planned response**
**Conclusion**
~~a~~|**Issue**
**Description**
**Planned response**
**Conclusion**
~~a~~|
|---|---|---|---|
|**Going concern:**|Risk that changes in government|Review budget funding forecast return|From the review of the budgeted|
||funding may impact the charitable|submitted to the ESFA.|forecasts, we see that an|
||company’s ability to continue as a||operational surplus is predicted for|
||going concern.|Discuss any issues with management.|the forthcoming year.|
|||Review disclosures to ensure they reflect||
|||the appropriate Going Concern position.||
|**Assets under**|Risk that the valuation of assets under|Review a sample of assets under|Tested a sample of assets under|
|**construction:**|construction is materially incorrect and|construction and agree to invoices to|construction against invoices and|
||overstated.|ensure appropriate capitalisation figures.|noted the items to be capital in|
||||nature and deemed no reason why|
||||it should not be capitalised.|
Page 9
## **6. Control recommendations raised in previous audits**
The recommendations raised during previous audit engagements were reviewed for updates this year, the outcomes are as follows:
## **Issue reported Recommendation made Update** ~~a~~
**Bank Covenants:**
We noted during the audit, that because of Covid19 and the unusual events of the year, that the bank covenants covering the loan agreements had been broken.
The loans from these agreements have provided significant amounts necessary for the cash flow of the Foundation, to ensure it remains operational.
We recommended that the covenants are tracked and measured as part of the Foundations reporting to Trustees, to ensure covenants are not broken without foresight of this.
During the current year audit, we noted that the bank covenants is met based on our draft consolidated accounts. We have requested confirmation from the bank to confirm that the Foundation is currently compliant with the bank covenants of the loan.
Agreements should be reviewed regularly to ensure that where the Foundation is projected to break the covenants, that all necessary measures are taken and confirmation of the bank’s continuing support has been obtained in advance of this.
bank has been sought at the audit date, however, this continues to be outstanding.
**Unreconciled fees in advance balances:** During our audit, we had provided a debtors We recommended that management ensure The fees in advance details listing agrees to reconciliation schedule at the year end, which the fees in advance details listing are reviewed the financial statements during the current shows that trade debtors and fees in advance each term. year audit. balances of £233,825 and £412,614 both respectively.
Page 10
**Issue reported Recommendation made Update** ~~a~~ However, the sample testing is still underway, However, we have noted that the fees in but we do not expect the fees to contain a advance details listing did not agree to the material misstatement. financial statements after taking into the account of debtor’s reclassification journal with the unreconciled balances of £467,716 in credit. Without proper reconciliation of control accounts, there is a risk that the management information produced on which decisions are taken is inaccurate.
Page 11
## **7. Control recommendations raised this audit**
The recommendations raised during the audit were as follows:
|**7.1 Prepaid income – Girdler’s Company**
~~ee~~|**7.1 Prepaid income – Girdler’s Company**
~~ee~~|**7.1 Prepaid income – Girdler’s Company**
~~ee~~|**7.1 Prepaid income – Girdler’s Company**
~~ee~~|
|---|---|---|---|
|**Risk**|**Issue reported**|**Potential consequence**|**Recommendation made**|
|**Low**|We noted a donation from the Girdlers’|There is a risk that the prepaid|We recommend that donation agreements|
||Company Court of £18,500 received into|income/income balance contains a|are reviewed and that management|
||the Foundation’s bank account in August|material misstatement.|consider whether income received is|
||2024. The charity became entitled to the||recognised in line with the charity|
||money, before year-end and this should be|money, before year-end and this should be|accounting standards.|
||recognised as income in line with charity|||
||accounting standards.|||
Page 12
## **8. Independence**
## **Non-audit services provided by Alliotts to the Foundation and its related entities:**
|**Service**|**Description**|**Safeguard**|
|---|---|---|
|Statutory accounts
production|This service is only to produce the statutory
format accounts from the trial balance provided
by management, with along with other disclosures
as provided by management.|by management, with along with other disclosures
This is wholly mechanical data entry process involving no
judgements by Alliotts, with informed management reviewing and
approving the final reports. As a result, no safeguards are deemed
necessary.|
|Corporation tax
Teachers’ Pension
review|Preparation of the corporation tax computation
and return based on the statutory accounts,
records and representations from management.
This service is a review of the End of Year
Certificate (EOYC) to be submitted to Teachers’
Pensions.|This service is provided by a separate team. Informed management
also review and approve the final computation and return.
The reports are reviewed by the audit team as if it were provided by
independence.
Teachers’ Pension reviews are completed by a separate team to
ensure independence is maintained
~~a~~
third party. In our opinion this is a sufficient safeguard to ensure|
In accordance with International Standard on Auditing (UK) 260 “Communication with those charged with governance”, there are no changes to the details of relationships between Alliotts LLP and the Foundation that may reasonably be thought to bear on Alliotts LLP’s independence and the
Page 13
## **9. Sector update**
**Charity Commission Updated Guidance**
- **Internal Financial Controls for Charities (CC8)**
The Charity Commission updated its guidance in 2023 to help charities operating in an increasingly digital world, where the danger of fraud seems to be more prevalent.
Internal financial controls are key tools for trustees to use to protect their charity and its resources, which is a key responsibility for all trustees. The updated guidance aims to make it clearer, shorter and ensure it reflects the many ways charities operate today.
The guidance has been restructured and the language simplified so hopefully readers can easily find the information they are looking for more easily and be able to put into practice.
The new sections are meant to reflect the ways charities can now operate. These cover issues such as:
- Using mobile payments systems, such as Google Pay and Apple Pay
- Accepting gifts and hospitality
- Accepting donations of cryptoassets
Trustees are encouraged to read the update and discuss their charity’s internal financial controls at their meetings.
- **Decision Making for Charity Trustees (CC27)**
In September 2024 the Charity Commission published updates to its guidance on making trustee decisions. The guidance aims s is to make the guidance more accessible and easier to use, however the backbone of the guidance remains the seven principles developed by the courts when they reviewed decisions made by trustees, which we have set out below.
## When making decisions, trustees must:
1. act within their powers 2. act in good faith
3. be sufficiently informed 4. take into account all relevant factors
5. identify and disregard any irrelevant factors 6. manage conflicts of interest
7. ensure their decision is within the range of decisions that a reasonable trustee body could make
## **Economic Crime and Corporate Transparency Act 2023 Regulations**
The Economic Crime and Corporate Transparency Act 2023 (ECCTA 2023 **)** received royal assent in the autumn of 2023 and contains a range of measures to tackle economic crime and improve corporate transparency. The Act introduces a Failure to Prevent Fraud offence (FTPF) as well as bringing in a variety of reforms to Companies House to address the transparency of corporate structures in the UK. The measures come into place over a period of time.
Many of the changes came into place on 4 March 2024 including:
- Giving Companies House greater powers to query information provided and request supporting evidence.
- There will be stronger checks on company names, with the ability to remove offensive names or those that falsely imply connections with a foreign government or international organisation.
- New rules are now in place for registered office addresses. All companies must now have an ‘appropriate address’ suitable for the service of documentation at all times, which means that this address cannot be a PO Box or other unstaffed address.
- A registered email address must be provided on incorporation of a new company, whilst all existing companies will need to provide a registered email address when they file their next confirmation statement after 4 March 2024. This email address will not be made public on the Companies House website.
- On incorporation the shareholders of a new company will need to confirm that they are forming the company for a lawful purpose. Existing companies will need to make a lawful purpose statement when they file their next confirmation statement after 4 March 2024 and then annually.
- The Act allows for the sharing of data with other government departments and law enforcement agencies to improve collaboration to combat economic crime in the United Kingdom.
- The Act gives greater powers to tackle and remove factually inaccurate information from the public register and be able to issue financial penalties, or prosecution for those companies/directors who fail to comply.
From 1 May 2024, new filing charges apply for all transactions at Companies House with, for example, minimum filing fees for confirmation statements rising from £13 to £34.
- ECCTA 2023 will introduce further reforms over the course of time as Companies House improves its systems and include:
- Electronic filing of statutory accounts at Companies House, which is not possible at the moment for charitable companies.
- Some of the reduced disclosure exemptions in accounts of trading companies, as often used by charity trading subsidiaries, will be removed.
- New verification of identity of people setting up, running, owning or controlling companies will be required.
There will be more clarity required of company ownership and the individuals concerned. It will be more difficult to use corporate directors to run a company.
## **Charity SORP Update**
The Charities SORP will be updated and the consultation document might be published in 2025, for adoption in autumn 2025. The document incorporates the changes in the wider reporting world introduced by the update to the Financial Reporting Standard 102 (FRS102).
FRS102 was revised at the end of March 2024 for accounting periods commencing 1 January 2026 and is likely to impact charities in two main areas:
- Leases - The distinction between operating and finance leases has been removed and all leases will need to be recognised on the balance sheet. For smaller operating leases, there is an exemption for short-term leases and for low- value assets to remain off the balance sheet.
- Income recognition – A new section of FRS102 deals with revenue from contracts with customers. A five-step model for revenue recognition is adopted for all contracts with customers, and it looks at identifying the distinct goods or services promised to the customer and the amount of consideration to which the entity (charity) will be entitled in exchange.
FRS102 has removed some explanation paragraphs around legacies, so it is expected that the revised SORP will provide the guidance required.
## **Audit regulation changes – Revised International Standards on Auditing (ISAs)**
A number of changes to auditing standards have been made which have had an impact on how audits are carried out for charities and ultimately mean that charities are spending more time and money meeting the requirements of the audit regime.
## **ISA(UK) 240 Fraud – The Auditor’s Responsibilities Relating to Fraud in an Audit of Financial Statements**
The revised standard has tightened up the processes adopted by auditors when considering the prospect of fraud in financial statements. Whilst it still remains that the primary responsibility for the prevention and detection of fraud rests with ‘those charged with governance’ and management, the enhanced processes carried out by the auditors look to obtain the reasonable assurance (not absolute assurance), required by the standard.
Auditors have more things to do to comply with the revised standards, charities will see the impact of these changes as there will an enhances risk assessment and further enquiries from the auditors, perhaps of other members of the charity’s staff that do not normally deal with the audit.
## **ISA (UK) 315 Risk of Material Misstatement**
This expanded standard gives more guidance to auditors on how to identify significant risks, with a stronger emphasis on looking at internal controls within the school. Charities are likely to face additional questions from auditors about how school trustees assess the control environment, particularly with remote/branch operations.
## **ISA (UK) 570 on Going Concern**
This standard was updated and now auditors have to perform additional work to conclude on whether the trustees’ use of the ‘Going Concern’ basis of accounting is appropriate, and whether there are any material uncertainties in this regard. Auditors have to be tougher and more rigorous; consider management bias of presentation and perform a ‘Stand back’ test when draw conclusions –right up to the date of signing of the audit report.
## **ISA (UK) 700 on Forming an opinion and reporting on financial statements**
The update in this standard now requires that the auditor's report of all entities explain to what extent the audit was considered capable of detecting irregularities, including fraud. The auditor must also consider impact of non-compliance with laws and regulations, which can be complex for charities.
## **Changes to the 2023 Charity Commission Annual Return**
The Annual Return 2023 will have more compulsory questions than in previous years, but not as many as originally proposed at one stage and will apply to charities’ financial years ending on or after 1 January 2023. The new questions will provide more information to the Charity Commission in nine key areas:
- income
- grant making
- spending outside of the UK
- trading subsidiaries
- charity address and property
- organisational structures
- employees and volunteers
- governance
- safeguarding and risk.
More of the new questions now apply to all charities, not just the larger ones as the Commission gathers additional insights into the financial resilience of the sector and encourage better administration processes and controls.
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