**Charity Registration No. 312640**
**Company Registration No. 00455482 (England and Wales)**
# **ALPHA PREPARATORY SCHOOL LIMITED ANNUAL REPORT AND FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 JULY 2020**
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
**Trustees** Mr I Nunn Mr H Desai Mrs K Brookes Dr A Ahmed Mr A L Assani **Headteacher** Mr P Fahy **Charity number** 312640 **Company number** 00455482 **Registered office** 21 Hindes Road Harrow Middx. HA1 1SH **Auditor** Azets Audit Services The Mill House Boundary Road Loudwater High Wycombe HP10 9QN **Bankers** Barclays Bank Plc 355 Station Road Harrow Middx HA1 2AN **Solicitors** Richard Pearlman LLP 27 Phipp Street London EC2A 4NP
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees' report|1 - 6|
|Independent auditor's report|7 - 9|
|Statement of financial activities|10|
|Balance sheet|11 - 12|
|Statement of cash flows|13|
|Notes to the financial statements|14 - 25|
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 JULY 2020**_
The trustees , who are also directors of the company for the purposes of the Companies Act 2006 and governors of the school, present their report and financial statements for the year ended 31 July 20 20 .
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)".
## **OBJECTIVES AND ACTIVITIES**
The principal objective of the company, as set out in the Memorandum of Association, is the provision of a co educational preparatory school. Our aim is to achieve that objective by the provision of a top class education in our nursery and primary school that fits the needs of young children in the modern age in a caring and thoughtful environment.
We believe we have achieved our principal objective as reflected by the strong academic results, positive results in the regular independent reviews and the happy atmosphere we continue to enjoy.
In setting our objectives and planning our activities the Trustees have given careful consideration to the Charity Commission's general guidance on public benefit and in particular to its supplementary public benefit guidance on advancing education and on fee charging.
In this latter respect we endeavor to offer a number of assisted places for children who would not otherwise have been able to attend.
## **Our Ethos Strategy and Policies**
The Trustees are responsible for setting a strategy for achieving the objectives they have set. The focus of our strategy is on the development of our pupils, their continued high level of academic and co-curricular achievement and to further widen access to the education our school provides.
To achieve this we review and benchmark the school's academic syllabus, teaching practices and exam results. We ensure the co-curricular activities are stimulating and challenging. We invest in technology and the infrastructure of the school. We co-operate and share facilities with local educational centers and continue to review and develop our methods for awarding assisted places in our nursery or main school to ensure we widen our access to pupils of all backgrounds, wherever possible.
Alpha is a registered charity which seeks to benefit the public through the pursuit of its stated aims. Our fees are set at a level to ensure the financial viability of the School and at a level that is consistent with our aim of providing a first class preparatory education to boys and girls.
We welcome pupils from all backgrounds. To admit a prospective pupil we need to be satisfied that our School will be able to educate and develop a prospective pupil to the best of their potential and in line with the general standards achieved by their peers. Entrance interview and assessments are undertaken to satisfy ourselves and parents that potential pupils can cope with the pace of learning and benefit from the education we provide. An individual's economic status, gender, ethnicity, race religion or disability do not form part of our assessment processes.
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## **ALPHA PREPARATORY SCHOOL LIMITED**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
We are an equal opportunity organisation and are committed to a working environment that is free from any form of discrimination on the grounds of colour, race ethnicity, religion, sex, sexual orientation or disability. We will make reasonable adjustments to meet the needs of staff or pupils who are or become disabled.
Our School is committed to safeguarding and promoting the welfare of our pupils and we expect all staff and volunteers to share this commitment. In the last Independent Schools' Inspectorate report, the quality of our pupils' academic achievements and the quality of their personal development were both rated as 'excellent'. In addition, the School was regulatory compliant in all areas, including the requirement to promote the welfare, health and safety of its pupils. Parents are given regular information about their children's social and academic progress through parent evenings in addition to the traditional end of term and year reports. We maintain regular contact with parents throughout the year through informal contacts and reports.
## **Access Policy**
It is important to us that, wherever practical, access to the education we offer is not restricted to those who can afford our fees. We believe our pupils benefit from learning within a diverse community. A great deal of learning occurs through social interaction, conversation and shared experiences which helps our pupils develop an understanding of the perspectives of other people that will be vital in their adult lives.
## **Teaching Links**
We provide staff to assist the Local Early Years Development Forum. This helps ensure the quality of pre-school education for all local children.
## **Bursary Policy**
We have a bursary fund available to help in cases of need which we intend to grow in the future, and we have started a programme to provide assisted places in our nursery or main school.
We provide assistance to families with three or more children at the School to underline the value we place on families.
As part of our emphasis on attracting and retaining high calibre staff, we offer a scheme where staff members can choose to educate their children at our School at a discounted fee.
## **ACHIEVEMENT AND PERFORMANCE**
This academic year marked the start of a new Headmaster, Mr P Fahy and a new Chair of Governors, Ms K Brookes and what a year it was…who would have thought a year in which an extremely successful ISI inspection took place in the autumn term would end with a global pandemic that changed the way the Alpha community came together, changing the way teaching and learning was delivered within the summer term – Alpha delivered successfully. In the autumn term, we welcomed Mrs W Hutchinson (Headmaster’s PA and Office Manager) and Mrs B McAllister (Teaching Assistant). At the end of the 2019 – 2020 academic year, we said farewell to three members of staff: Miss A Buckby (Head of EYFS), Mrs C Baker (Teaching Assistant) and Mrs B O’Brien (Administrative Assistant), all of whom retired with a combined 44 years of service to the school. We look forward to welcoming Miss R Trinidad, a new member of staff, who takes on the role of Year 3 teacher in September 2020.
On the Board, Mrs R Patel, Mrs D Sodhi and Mr A Simms stepped down from being governors of the school.
One of the core aims of Alpha Preparatory School is to enable each pupil to make the most of their learning potential and our children have continued to excel across the curriculum areas, including in the academic arenas. For the tenth successive year, Alpha was named in the Times Top UK Preparatory Schools List, this time in 13th position.
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## **ALPHA PREPARATORY SCHOOL LIMITED**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
The Year 6 children who finished their education at Alpha in ‘lockdown’ circumstances once again achieved high standards of success in their applications to senior schools, receiving offers from a wide variety of competitive, selective and well-regarded schools. In addition, a third of the year group who applied to the independent sector received academic scholarships for their hard work, effort and performance. The Year 6 children moved on from Alpha in July, having celebrated with a successful socially distanced Prize Giving in our school playground.
Another illustration of our pupils’ high standards can be found in the National Primary Maths Challenge. Over 66,500 pupils from across the country took part this year, with less than 1.5% of these going on to win a medal. The success rate at Alpha was five times the national rate, which is an indication of the excellent commitment to learning within our pupils. One Year 6 pupil was awarded a gold medal. In other maths news, we entered teams for competitions at Orley Farm and Merchant Taylors’ School, which included a first place award for Alpha.
Academic achievement is only one aspect of a school and we are also proud to offer opportunities for pupils to pursue their talents and interests in other areas in order to further develop their personal qualities, their attitudes and their values that will underpin each child’s future success and happiness. To this end, we have continued to offer our pupils a broad curriculum, with plenty of opportunities for children to continue developing their sporting, creative, musical, dramatic and technological talents.
In sport, we have expanded provision of swimming lessons in order that all pupils from Years 1 to 6 are timetabled for a whole term each academic year. In addition, every child from Years 2 to 6 has represented the school in competitive fixtures. We have expanded the schools and tournaments against whom we play and, this year, they included activities at St Martin’s and York House. As well as our popular after school sports clubs and our regular inter-house events, we also held clubs for lego, creative writing and art. We also arranged clubs for judo, ballet and yoga.
On the creative side, an art club has been run for the pupils and art competitions have been held, including a popular event in support of the Christmas Fair. Poetry competitions have been entered and one Year 6 student was placed very highly in a national competition. Performance assemblies are a regular feature and these have included a variety of dramatic and musical theatre activities. Peripatetic teaching remains popular and members of the school community have had opportunities to see and hear talented youngsters during our Performance Assemblies.
In French, we have continued to exchange messages and letters with a partner school in northern France. We had organised a French trip for the first time in many years but unfortunately we were unable to partake in the educational tour due to lockdown. We will go to France in the future.
We have had a successful year in STEM activities. Highlights include our Year 6 children producing a coding animation video which was judged by external companies, including 20th Century Fox, and Alpha was awarded the runners-up prize nationally. Year 5 were invited to York University to share their Mars Rover Project and to attend a presentation by Tim Peake. Unfortunately, this was cancelled at the last minute due to Covid-19. Year 6 also won two awards in the international BIEA STEM competition. Pupils also took part in the National Quiz Club championships in science and General Knowledge.
There have been a wide range of outings to enrich the curriculum, including visits to farms, zoos, museums, wildlife parks, libraries, historical sites, pizza-making, places of worship, activity centres which included a very successful Y6 PGL trip to the Isle of Wight, immediately before lockdown. The children have also benefitted from a variety of special visitors to the school, including nutritionists, road safety officers, fire fighters, e-safety specialists, bee keepers, authors, St John’s Ambulance, coding and app developers, finance educators, charity workers and a drama troupe amongst others.
During the year, a photograph of our Year 4 class appeared on numerous billboards (as Year 3) in and around London as part of the Alexander McQueen National Project for the Tate exhibition which runs until January 2021.
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## **ALPHA PREPARATORY SCHOOL LIMITED**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
This year, the Key Stage Two National Tests taken by pupils in their final year of primary school were cancelled and we have continued to gather assessment data in other ways using a mix of summative assessment, measuring current performance, and formative assessment which informs future teaching and learning.
The children at Alpha have encountered many opportunities to develop their collaboration skills and they have demonstrated their work as a team - from producing assemblies, plays, productions, Christmas concerts, sporting and special events to challenges, investigations and problem solving activities within the classroom. The pupils growing ability to communicate and work together as citizens of the world was also demonstrated in the roles within the School Council (which was expanded to include the juniors for the first time in the school), helping to lead the school in premises improvements, giving ideas for new school events and charity fund raisers, as well as sharing their thoughts and feelings about the positives of school life and offer their thoughts on where changes may be made. Year 3 and 5 also demonstrated excellent communication skills when preparing for their English Speaking Board exams that were cancelled due to lockdown.
Nurturing compassionate, resilient, independent and forward-thinking pupils are all extremely important at Alpha and are demonstrated in every day school life as well as through the pupils’ personal, social & health education (PSHE) curriculum, which runs through the school from Nursery to Year 6. The staff, children and their families have also shown their whole hearted support for various charities such as Jeans 4 Genes, the Poppy Appeal, the wonderful APA and School Christmas Fair, the APA Quiz night, and the Lily Foundation charity to help raise money to fight Mitochondrial Disease. This year at Alpha, to highlight the importance of positive mental health, we introduced a weekly wellbeing session which involved activities and discussions that have supported the children’s physical, mental, emotional, social and cultural wellbeing and the children have enjoyed the sessions and found them beneficial.
The school’s ethos of helping pupils grow as confident learners has encouraged them to accept challenges positively and to take part in a number of national and international competitions. In doing so, they have achieved a degree of success that is remarkable for a school of our size. Some good examples from this year include the following:
- Our Science and General Knowledge Quiz Teams reached the National Finals of the Quiz Club Championships, but due to Lockdown we had to compete online. The Science Team came in 3rd place and defeated 308 other schools nationally. Our General Knowledge Team came in 1st place beating 501 schools. An amazing achievement.
- A team of Year 6 students won two awards in the BIEA Stem competition - Best Report Award and First Runner- Up Award
- A team of Year 5 students were invited to York University to share their Mars Rover Project and attend a presentation by Tim Peake – this had to be postponed due to COVID-19.
Alpha provides pupils with the skills, knowledge and understanding they need in order to develop into wellrounded informed individuals. They are constantly challenged and accept all of these positively. Again, for a school of our size, we perform well in the national and global arena.
Despite what some may deem to see as limited grounds, the school staff are committed to offering a healthy approach to outdoor space and exercise for being physically and mentally well. In addition to the expansion of the extra-curricular clubs on offer, the junior playground was revamped and the space doubled. We also held a highly successful APA Christmas Fair at the end of November 2019, which was attended by over 300 people – a huge success and we look forward to a time when we can hold an event such as this again.
Finally, in what has been a challenging and unprecedented year, I would like to conclude by expressing my thanks to everyone involved in the Alpha community and we shall look forward, positively, to ensure a high calibre of education is offered and a bright, happy and successful future is had by all.
Ms Karen Brookes
Chair of Governors
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## **ALPHA PREPARATORY SCHOOL LIMITED**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
## **FINANCIAL REVIEW**
The accounts set out the results which the trustees consider to be satisfactory, particularly in this difficult financial climate.
As a charity we benefit from a reduction in our business rates and enjoy an exemption from Corporation Tax. These benefits allow us to invest in our staff and infrastructure and thus indirectly to help achieve our objectives for the benefit of the pupils and the wider community.
The trustees regularly review the finances, budgets and cashflows and consider that the School is in a good position to meet its financial requirements for the foreseeable future. At the year end unrestricted funds were £884,420 (201 9 : £ 783,842 ), of which £ 48,567 (201 9 : £ 33,567 ) is designated to the Bursary Fund.
It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees considers that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
## **Risk management**
The trustees acknowledge their responsibility for monitoring the risks that face the school. This is done by a process of ongoing review and discussion at regular Board meetings during the year.
The major risk is considered to be a change in Government policy towards independent schools and their status both as private sector education and as a registered charity.
The school is a member of a number of umbrella organisations that monitor and advise on such issues. At the moment no change is foreseen.
## **FUTURE PLANS**
It is the intention of the trustees to continue the existing strategy of maintaining the School's position in an increasingly competitive market. We will achieve this by continual development and investment in our staff and our infrastructure.
Our future plans will be financed primarily from fee income and from our reserves which we have built up over the years. The trustees need to maintain an equitable balance between ensuring that pupils in the community as a whole benefit, whilst at the same time ensuring that there is a sound infrastructure and financial base for the future.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
The charitable company is governed by the Memorandum and Articles of Association incorporated 15 June 1948, as amended by special resolutions of 28 July 1954 , 24 November 1959 and 8 December 2014.
The trustees are responsible for the overall management control of the school and meet at least six times a year. In February the remuneration of all staff, including key management, is discussed.
The trustees are drawn from a range of professional backgrounds to provide the management that the School requires. The trustees are kept regularly updated on relevant policy and legislative matters relating to the School and the educational market that it operates within.
Trustees give of their time freely, except as noted in the accounts. No trustee or person connected with a trustee received any benefit from means tested bursaries.
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## **ALPHA PREPARATORY SCHOOL LIMITED**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Mr I Nunn Mr H Desai Mrs D Sodha (Resigned 10 July 2020) Mrs K Brookes Dr A Ahmed Mrs R Patel (Resigned 29 April 2020) Mr A Sims (Resigned 31 August 2020) Mr A L Assani
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
Nominations for election must be received by the Honorary Secretary at least seven days before the date of the Annual General Meeting, together with the written consent of the persons proposed. Any nominee must be a member of the company.
## **Statement of trustees' responsibilities**
The trustees, who are also the directors of Alpha Preparatory School Limited for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company Law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## **Auditor**
In accordance with the company's articles, a resolution proposing that Azets Audit Services be reappointed as auditor of the company will be put at a General Meeting.
The trustees' r eport was approved by the Board of Trustees.
## **Mrs K Brookes**
Trustee Dated: 24 November 2020
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## **ALPHA PREPARATORY SCHOOL LIMITED**
## **INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF ALPHA PREPARATORY SCHOOL LIMITED**
## **Opinion**
We have audited the financial statements of Alpha Preparatory School Limited (the ‘charity’) for the year ended 31 July 2020 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice).
- In our opinion, the financial statements:
- give a true and fair view of the state of the charitable company's affairs as at 31 July 2020 and of its incoming resources and application of resources, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Companies Act 2006.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:
- the trustees' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or
- the trustees has not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charity’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.
## **Other information**
The trustees is responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
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## **ALPHA PREPARATORY SCHOOL LIMITED**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF ALPHA PREPARATORY SCHOOL LIMITED**
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:
- the information given in the financial statements is inconsistent in any material respect with the trustees' r eport; or
- sufficient accounting records have not been kept; or
- the financial statements are not in agreement with the accounting records; or
- we have not received all the information and explanations we require for our audit.
## **Responsibilities of trustees**
As explained more fully in the s tatement of trustees' r esponsibilities, the trustees, who are also the directors of the charity for the purpose of company law, is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees is responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
## **Auditor's responsibilities for the audit of the financial statements**
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
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## **ALPHA PREPARATORY SCHOOL LIMITED**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF ALPHA PREPARATORY SCHOOL LIMITED**
## **Use of our report**
This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.
**Paul Laird FCCA (Senior Statutory Auditor) for and on behalf of Azets Audit Services Chartered Accountants**
24 November 2020
**Statutory Auditor**
The Mill House Boundary Road Loudwater High Wycombe HP10 9QN
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## **ALPHA PREPARATORY SCHOOL LIMITED**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 31 JULY 2020**_
|**Unrestricted Unrestricted**
**funds**
**funds**
**general d esignated**
**2020**
**2020**
**Notes**
**£**
**£**
**Income and endowments from:**
Donations and legacies
**2**
726
-
Charitable activities
**3**
1,574,005
-
Investments
**4**
3,044
-
Other income
**5**
100,188
-
**Total income**
1,677,963
-
**Expenditure on:**
Charitable activities
**6**
1,577,385
-
**Net incoming/**
**(outgoing) resources**
**before transfers**
100,578
-
Gross transfers
between funds
(15,000)
15,000
**Net income/(expenditure)**
**for the year/**
**Net movement in funds**
85,578
15,000
Fund balances at 1
August 2019
750,275
33,567
**Fund balances at 31**
**July 2020**
835,853
48,567|**Total**Unrestricted Unrestricted
funds
funds
general
d esignated
**2020**
2019
2019
**£**
**£**
**£**
726
4,292
650
1,574,005
1,552,539
-
3,044
3,288
-
100,188
-
-
1,677,963
1,560,119
650
1,577,385
1,624,624
-
100,578
(64,505)
650
-
(20,000)
20,000
100,578
(84,505)
20,650
783,842
834,780
12,917
884,420
750,275
33,567|Total
2019
**£**
4,942
1,552,539
3,288
-
1,560,769
1,624,624
(63,855)
-
(63,855)
847,697
783,842|
|---|---|---|
|Donations and legacies
**2**
Charitable activities
**3**
Investments
**4**
Other income
**5**
**Total income**
**Expenditure on:**
Charitable activities
**6**
**Net incoming/**
**(outgoing) resources**
**before transfers**
Gross transfers
between funds
**Net income/(expenditure)**
**for the year/**
**Net movement in funds**
Fund balances at 1
August 2019
**Fund balances at 31**
**July 2020**|||
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
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## **ALPHA PREPARATORY SCHOOL LIMITED**
## **BALANCE SHEET**
## _**AS AT 31 JULY 2020**_
|**Notes**
**Fixed assets**
Tangible assets
**10**
**Current assets**
Stocks
**11**
Debtors
**12**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**13**
Net current assets
**Total assets less current liabilities**
**Creditors: amounts falling due after**
**more than one year**
**14**
**Net assets**
**Income funds**
Unrestricted funds
Designated funds
**16**
General unrestricted funds|**2020**
**£**
**£**
195,812
687
69,639
952,432
1,022,758
(182,012)
840,746
1,036,558
(152,138)
884,420
48,567
835,853
884,420
884,420|**2019**
**£**
**£**
207,800
99
35,254
951,082
986,435
(281,455)
704,980
912,780
(128,938)
783,842
33,567
750,275
783,842
783,842|
|---|---|---|
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## **ALPHA PREPARATORY SCHOOL LIMITED**
## **BALANCE SHEET (CONTINUED)**
## _**AS AT 31 JULY 2020**_
The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 July 2020, although an audit has been carried out under section 144 of the Charities Act 2011.
The trustees acknowledges his responsibilities for ensuring that the charity keeps accounting records which comply with section 386 of the Act and for preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its incoming resources and application of resources, including its income and expenditure, for the financial year in accordance with the requirements of sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.
The members have not required the company to obtain an audit of its financial statements under the requirements of the Companies Act 2006, for the year in question in accordance with section 476.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the Trustees on 24 November 2020
Mrs K Brookes
## **Trustee**
## **Company Registration No. 00455482**
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## **ALPHA PREPARATORY SCHOOL LIMITED**
## **STATEMENT OF CASH FLOWS** _**FOR THE YEAR ENDED 31 JULY 2020**_
|**Notes**
**Cash flows from operating activities**
Cash generated from operations
**22**
**Investing activities**
Purchase of tangible fixed assets
Interest received
**Net cash used in investing activities**
**Net cash used in financing activities**
**Net increase/(decrease) in cash and cash**
**equivalents**
Cash and cash equivalents at beginning of year
**Cash and cash equivalents at end of year**|**2020**
**£**
(23,708)
3,044|**£**
22,014
(20,664)
-
1,350
951,082
952,432|**2019**
**£**
(42,740)
3,288|**£**
21,690
(39,452)
-
(17,762)
968,844
951,082|
|---|---|---|---|---|
- 13 -
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 JULY 2020**_
## **1 Accounting policies**
## **Charity information**
Alpha Preparatory School Limited is a private company limited by guarantee incorporated in England and Wales. The registered office is 21 Hindes Road, Harrow, Middx., HA1 1SH, England.
## **1.1 Accounting convention**
The financial statements have been prepared in accordance with the charity's governing document, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling , which is the functional currency of the charity. Monetary a mounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
## **1.2 Going concern**
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. In making this assessment , the trustees have considered the impacts, and expected future impacts, of the Covid-19 pandemic on both the charity and the environment in which it operates.Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Designated funds comprise funds which have been set aside at the discretion of the trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
## **1.4 Incoming resources**
Fees receivable and similar earned income are credited to the Statement of Financial Activities (SOFA) in the year for which they are due. Deferred income represents amounts received for future periods and is released to the SOFA in future periods when the service is provided.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
- 14 -
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
## **1 Accounting policies**
**(Continued)**
## **1.5 Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold land and buildings 2% on cost Fixtures and fittings 100% on cost Computers 30% on reducing balance Motor vehicles 25% on reducing balance Sports equiptment 100% on cost
## **1.6 Stocks**
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell . Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Items held for distribution at no or nominal consideration are measured the lower of replacement cost and cost.
## **1.7 Leases**
Rentals payable under operating leases, including any lease incentives received, are charged as an expense on a straight line basis over the term of the relevant lease.
## **1.8 Pension costs and other post-retirement benefits**
Retirement benefits to the teaching staff of the school are provided by the Teachers' Pension Scheme ('TPS') This is a defined benefit scheme and the assets are hel d separately from those of the school. 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 such a way that the pension cost is a substantially level percentage of current and future pensionable payroll. The contributions are determined by the Government Actuary on the basis of quadrennial valuations using a prospective unit credit method. As stated in note 21 , the TPS is a multi-employer scheme and there is insufficient information available to use defined benefit accounting. The TPS is therefore treated as a defined contribution scheme for accounting purposes and the contributions recognised in the period to which they relate.
Non-teaching staff contributions are paid into a defined contribution scheme where contributions payable to the scheme are charged as an expense in the period to which they relate.
## **1.9 Government grants**
Government grants are recognised at the fair value of the asset receive d or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met . Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable . A grant received before the recognition criteria are satisfied is recognised as a liability.
- 15 -
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
## **2 Donations and legacies**
||**Unrestricted**|Unrestricted|Unrestricted|Total|
|---|---|---|---|---|
||**funds**|funds|funds||
||**general**|general|d esignated||
||**2020**|2019|2019|2019|
||**£**|£|£|£|
|Donations and gifts|726|4,292|650|4,942|
## **3 Charitable activities**
|||**Educational**|
**Educational**|
|---|---|---|---|
|||**activities**|
**activities**|
|||**2020**|
**2019**|
|||**£**|
**£**|
||School and nursery fee income|1,571,628|
1,551,933|
||Sales of laptops to staff|760|
-|
||Early years supplements|1,617|
606|
|||1,574,005|
1,552,539|
|**4**|**Investments**|||
|||**Unrestricted**|Unrestricted|
|||**funds**|
funds|
|||**general**|
general|
|||**2020**|
2019|
|||**£**|
£|
||Interest receivable|3,044|
3,288|
|**5**|**Other income**|||
|||**Unrestricted**|
Total|
|||**funds**||
|||**general**||
|||**2020**|
2019|
|||**£**|
£|
||Government grants receivable|100,188|
-|
From 23rd March 2020 the charity furloughed 12 members of staff under the Government Job Retention Scheme.
- 16 -
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 JULY 2020**_
## **6 Charitable activities**
|Staff costs
Other operating leases
Property expenses
PPS, telephone and sundry
Catering supplies
IT, prospectus and website
Motor expenses
Sports expenses
Medical
Speech day
Ofsted and ISI
Staff training and recruitment
Books and art equiptment
Subscriptions
Bank charges
Donations to charity
Share of support costs (see note 7)
Share of governance costs (see note 7)|**Welfare**
**2020**
**£**
-
-
-
-
102,851
-
-
-
-
-
-
-
-
-
-
-
102,851
-
-
102,851|**Teaching**
**costs**
**2020**
**£**
899,735
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-|
**Premises**
**Grants**
**awards and**
**prizes**
**Charitable**
**donations**
**Management**
**and**
**administration**
**of the school**
**2020**
**2020**
**2020**
**2020**
**£**
**£**
**£**
**£**
-
-
-
272,549
-
-
-
4,680
108,000
-
-
-
-
-
-
22,844
-
-
-
-
-
-
-
28,867
-
-
-
5,957
-
-
-
12,981
-
-
-
531
-
2,216
-
-
-
-
-
10,439
-
-
-
12,653
-
-
-
18,708
-
-
-
8,912
-
-
-
1,166
-
-
726
-
108,000
2,216
726
400,287
-
-
-
35,696
-
-
-
27,874
108,000
2,216
726
463,857|**Total**
**2020**
**£**
1,172,284
4,680
108,000
22,844
102,851
28,867
5,957
12,981
531
2,216
10,439
12,653
18,708
8,912
1,166
726
1,513,815
35,696
27,874
1,577,385|**Total**
**2019**
**£**
1,109,971
3,999
137,883
26,398
141,867
26,317
6,528
10,121
1,494
4,735
7,954
22,093
32,746
10,497
1,188
4,436
1,548,227
-
76,397
1,624,624|
|---|---|---|---|---|---|
|||899,735
-
-||||
|||899,735||||
- 17 -
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
|**7**
**Support costs**
**Support**
**costs**
**Governance**
**costs**
**£**
**£**
Depreciation
35,696
-
Audit fees
-
4,140
Accountancy
-
23,074
Legal and professional
-
660
35,696
27,874
Analysed between
Charitable activities
35,696
27,874|**2020**
Support
costs
Governance
costs
**£**
£
£
35,696
-
52,170
4,140
-
4,020
23,074
-
18,527
660
-
1,680
63,570
-
76,397
63,570
-
76,397|2019
£
52,170
4,020
18,527
1,680
76,397
76,397|
|---|---|---|
Governance costs includes payments to the auditors of £ 4,140 (2019- £ 4,020 ) for audit fees and £1,554 (2019: £700) for non audit fees.
## **8 Trustees**
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
- 18 -
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
## **9 Employees**
## **Number of employees**
The average monthly number of employees during the year was:
|Office and management
Teaching staff
**Employment costs**
Wages and salaries
Social security costs
Other pension costs
The number of employees whose annual remuneration was £60,000 or
more were:
£60,000-£70,000
£70,001-£79,999
£80,000-£90,000|**2020**
**Number**
4
22
26
**2020**
**£**
899,735
97,626
174,923
1,172,284
**2020**
**Number**
1
1
-|**2019**
**Number**
5
21
26
**2019**
**£**
894,865
92,549
122,557
1,109,971
**2019**
**Number**
1
-
1|
|---|---|---|
Contributions totalling £ 32,273 (2019: £23,608 ) were made t o The Teacher's P ension S cheme on behalf of employees whose emoluments exceed £60,000.
- 19 -
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
## **10 Tangible fixed assets**
|**Freehold land**
**and buildings**
**Fixtures and**
**fittings**
**Computers Motor vehicles**
**Sports**
**equiptment**
**£**
**£**
**£**
**£**
**£**
**Cost**
At 1 August 2019
481,928
154,071
218,151
44,173
10,517
Additions
-
950
22,758
-
-
At 31 July 2020
481,928
155,021
240,909
44,173
10,517
**Depreciation and impairment**
At 1 August 2019
354,722
154,071
158,504
23,226
10,517
Depreciation charged in the year
4,926
950
24,669
5,151
-
At 31 July 2020
359,648
155,021
183,173
28,377
10,517
**Carrying amount**
At 31 July 2020
122,280
-
57,736
15,796
-
At 31 July 2019
127,206
-
59,647
20,947
-|**Total**
**£**
908,840
23,708
932,548
701,040
35,696
736,736
195,812
207,800|
|---|---|
- 20 -
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
|**11**
**Stocks**
School uniform
**12**
**Debtors**
**Amounts falling due within one year:**
Trade debtors
Prepayments and accrued income
**13**
**Creditors: amounts falling due within one year**
**Notes**
Other taxation and social security
Deferred income
**15**
Trade creditors
Other creditors
Accruals and deferred income
**14**
**Creditors: amounts falling due after more than one year**
Other creditors|**2020**
**£**
687
**2020**
**£**
22,515
47,124
69,639
**2020**
**£**
44,364
-
8,424
123,924
5,300
182,012
**2020**
**£**
152,138|**2019**
**£**
99
**2019**
**£**
7,035
28,219
35,254
**2019**
**£**
23,477
34,002
6,340
135,097
82,539
281,455
**2019**
**£**
128,938|
|---|---|---|
The above represents deposits repayable when the pupils concerned leave the school more than twelve months after the balance sheet date.
## **15 Deferred income**
||**2020**|**2019**|
|---|---|---|
||**£**|**£**|
|Other deferred income|-|34,002|
Deferred income relates to the deferral of fees paid by parents which relate to the next academic year.
- 21 -
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
## **16 Designated funds**
The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:
|**Movement in funds**
**Balance at**
**1 August 2018**
**Incoming**
**resources**
**Transfers**
**Balance at**
**1 August 2019**
**£**
**£**
**£**
**£**
Bursary fund
12,917
650
20,000
33,567
12,917
650
20,000
33,567|**Transfers**
**Balance at**
**31 July 2020**
**£**
**£**
15,000
48,567
15,000
48,567|
|---|---|
The Bursary Fund is set aside to assist parents and pupils in the event of hardship, at the discretion of the Governors.
## **17 Analysis of net assets between funds**
|**General**
**fund**
**2020**
**£**
Fund balances at 31
July 2020 are
represented by:
Tangible assets
195,812
Current assets/
(liabilities)
792,179
Long term liabilities
(152,138)
835,853|**Bursary**
**fund**
**Total**General fund Bursary fund
Total
**2020**
**2020**
2019
2019
2019
**£**
**£**
£
£
£
-
195,812
207,800
-
207,800
48,567
840,746
671,413
33,567
704,980
-
(152,138)
(128,938)
-
(128,938)
48,567
884,420
750,275
33,567
783,842|
|---|---|
## **18 Operating lease commitments**
At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
|Within one year
Between two and five years|**2020**
**£**
17,772
24,596
42,368|**2019**
**£**
19,008
42,368
61,376|
|---|---|---|
- 22 -
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
## **19 Related party transactions**
## **Remuneration of key management personnel**
The remuneration of key management personnel is as follows.
||**2020**|**2019**|
|---|---|---|
||**£**|**£**|
|Aggregate compensation|79,503|92,401|
## **Other transactions with related parties**
Fees are paid on a normal commercial basis for professional services rendered from time to time by firms in which certain Governors have interests. These amounted to £ 8,717 (201 9 : £ 7,241 ) to Nunn Hayward LLP, a firm in which Mr I M Nunn and Mr A L Assani are partner s , for accountancy work. At 31 July 20 20 : £ 3,480 was due to Nunn Hayward LLP (201 9 : £ nil ).
## **20 Indemnity Insurance**
The school has taken out a policy to cover itself against any negligent act by any of its Governors. The cover is up to £2 million for any one claim or aggregate thereof in any one period of insurance.
- 23 -
**ALPHA PREPARATORY SCHOOL LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
## **21 Pension and similar obligations**
The school's employees belong to two principal pension schemes: the Teachers' Pension Scheme England and Wales (TPS) for academic and related staff; and a defined contribution scheme for non-teaching staff .
The TPS is a defined-benefit scheme. The pension costs are assessed in accordance with the advice of independent qualified actuaries. The latest actuarial valuation of the TPS related to the period ended 31 March 201 6 .
Contributions amounting to £38,824 (201 9 : £3 1,491 ) were payable to the scheme at 31 July 20 20 and are included within creditors.
## **Introduction**
The Teachers' Pension Scheme (TPS) is a statutory, contributory, defined benefit scheme, governed by the Teachers’ Pension Scheme Regulations 2014. Membership is automatic for full-time teachers and, from 1 January 2007, automatic for teachers in part-time employment following appointment or a change of contract, although they are able to opt out.
The TPS is an unfunded scheme and members contribute on a 'pay as you go' basis - these contributions along with those made by employers are credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.
## **Valuation of the Teachers' Pension Scheme**
The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014 published by HM Treasury. The aim of the review is to specify the level of future contributions. Actuarial scheme valuations 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 201 6 and in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014. The valuation report was published by the Department for Education on 5 March 2019 .
The key elements of the valuation and subsequent consultation are:
1) Uncorrected employer contribution rate effective over the implementation period: 19.5% of pensionable pay. This is an increase of 3.1% on the current contribution rate. This increase is primarily due to the reduction in the SCAPE discount rate to 2.4% pa above CPI with effect from 1 April 2019.
2) Corrected employer contribution rate payable over the implementation period: 22.8% of pensionable pay. This is an increase of 6.4% on the current contribution rate. This rate is calculated in the same way as the uncorrected employer contribution rate except that the accrual rate of the 2015 Scheme is assumed to be improved from 1 April 2019 to the extent necessary such that the employer contribution correction cost equals the target cost of the scheme.
Following agreement between the Department for Education and HM Treasury no change will be made to the employer contributions until September 2019, with employers continuing to pay contributions at a rate of 16.4% of pensionable pay. As a consequence of this delay in implementing the change, an additional 0.8% of pay will be payable over the remainder of the period to 31 March 2023 to ensure that the level of the notional fund at the next valuation of the scheme is expected to be unaffected by the delay. Employers will therefore pay contributions at a rate of 23.6% of pensionable pay from September 2019.
The employer’s pension costs paid to TPS in the period amounted to £ 159,350 (201 9 : £ 111,470 ).
A copy of the valuation report and supporting documentation is on the Teachers’ Pensions website.
Under the definitions set out in FRS 102, the TPS is an unfunded multi-employer pension scheme. The school has accounted for its contributions to the scheme as if it were a defined contribution scheme. The school has set out above the information available on the scheme.
- 24 -
## **ALPHA PREPARATORY SCHOOL LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 JULY 2020**_
|**22**
**Cash generated from operations**
Surplus/(deficit) for the year
Adjustments for:
Investment income recognised in statement of financial activities
Depreciation and impairment of tangible fixed assets
Movements in working capital:
(Increase) in stocks
(Increase) in debtors
(Decrease)/increase in creditors
(Decrease)/increase in deferred income
**Cash generated from operations**|**2020**
**£**
100,578
(3,044)
35,696
(588)
(34,385)
(42,241)
(34,002)
22,014|**2019**
**£**
(63,853)
(3,288)
52,170
(99)
(7,669)
29,026
15,403
21,690|
|---|---|---|
## 23 **Analysis of changes in net funds**
The charity had no debt during the year.
- 25 -