NEWLAND HOUSE SCHOOL TRUST LIMITED (A Regl8tered C(JMp•ny Limited by Guarantee) GOVKRNORS, REPORT AI¥D FINANCIAL STATEMENTS YEAR KNDED 31 AUGUST 2021 Company Registered No. 1004580 Charity Registered No. 312670
NLWLAND HOiJSE SCHOOL TRUST LIMITED GOVERNORS, REPORT YEAR ENDED 31 AUGUST 2021 The Govemors present their report and audited fu1claI statements for the year ended 31 August 2020. REFERENCE AL¥D ADMINISTRATIVE INFORMATION Newlatld House School Trust Limited is incotporated as a company limited by guar8ntee, number l(MM580 Jnd is a registered Gharity. number 312670. The Registered Offlce and principal Address of the Company is at Newiand House School, Walde8rave Park, Twickenliam, TWI 4TQ. GOVERNORS The Governors are the directors of the company and also the charity trustees and those who served during the year and since were.. A T Gumpert M D Battle R L Burden Mrs S V Bryce Mrs B W Canham HHCook Mrs J L Iliggins M Jopling J Lunnon HKMann Mrs D Masters l R Peachey JMARoss Mrs G 14obday (resigThed July 2021) (appointed September 2021) (resigned September 20201 {r¢5ign¢d Dw¢mb¢r 2020) (resigned June 2020) {appointed September 2021) OFFICERS AND ADVISERS C Skelton Bursar and Company Sretary EBell Auditors Haygmacintyre LLP 10 Queell Street Place London EC4R IAG BaDkers Barclay$ Bank PIC t£icester LE87 2BB Solicitors Veale Wasbrough Vizards 86 Fetter Lane tx)ndon EC4A IAD
NEWLAND HOUSE SCHOOL TRUST I.IMTTED GOVERNORS, REPORT (Contlnued) YEAR ENDED 31 AUGUST 2021 STRUCTUR[ GOVERIYANCE AND LMAf4AGEMENT Governiiig Document The Company is governed by its Memoranthim andArticles of Association dated 12 March 1971. Governing Body The Governors, who are also required under the Articles to serve as mcmbers of the TTU5t, are elected at a full Govemors Meeting on the basis of nominalions received from individual Governors paying due regard to eligibility, personal ¢ompetence, specialist skiljs, availability and diversity of the governing body. Governor8, Training New Governors are apprised of the workings of the School, and also of the Company as a registered charity, includirL8 policy and procedures by ihe Chairnian and the Secretary to the Trnst. Opporhmities are made available for Governors throughout the year to attend training w0shopS and seminars via ihe Secretary to the Trust. Organisation The Governors meet at least 4 times per year to deterniine the general policy of the school. The respowibility for academic standards and the day to day operation of the school is delegated to the Head whilst the Company Secretary as Burs8r is responsible for financial, proEKrty and athninistration tnatters. The Goveming Body includes the following policy sul comrnittees: Education, Estates, HR, Health & Safety land Child Protection), and Finance & General Purposes. Key Management RemuDeratlon The Governor5 rely on the Senior Leadership TeaTn (SLT), including the Head and Bursar for the operation of ihe s¢h¢)ol and the SLT is considered to k the key management group within the school. The SLT consists of., the Head. Bursar, Deputy Ilead-Pre Prep, Deputy Head, Deputy Ilead-Acadeinic, Admissions Manager and HR Manager. Key management remulleration is sei by the Reinuneration Commiltee, consisting of governors from the Fin¢¢ and General Pujposes Committee and the Chair olGovernor8. OBJECTIVES, AIMS AND PIUNCIPALACTIVITIES Strategic Aitll and IDtended Effect The objects for which the trust 15 established are topromote and provide fortheadvancement of educaiion and in connection therewith to conduct and carry on, acquire a[ develop in the United Kin8dom any boarding or day school or schools for the education of children of eithersex orboth sexes. The school's polLCy 15 forboys and 8irls to attain the highest academic levels whilst also benefiting from a broad curriculurn of sporting, tnusical, artistic and other activities to develop their interests and abdities and to prepare them for tbe senior h0o1 of their choice. On-going Objective Th£ Governors, main objective continues to reflect the desire to maintain the stability and succ1 of a co-educational family %chool by investing for the fvture and for the benefil of pupils. The kry element of thc Trust's present strategy revolv around the continuing review of the school's facilities to ensure that they meet the necds of current al tUre pupils. Charities Act 8nd Pllb]ic Benefit Thc Governors rccognise their responsibilitics in providing and dem¢)nstr8ting public benefit. The School ha$ and continuw to demonstrgte a number of areas of publi¢ benefit within its ¢ore Charitable objective. The idehtifiable benefits include both the provision of means-t&8ted bursaries and a ronge of ¢ommunity g¢tivitie$. Further details are sct out in the Public Benefit scction of this report. The Governors, similarly to those of otherindepend¢Dt school chariti, have taken note of the sub kctorguidartceprovided by the Charity Commissson and ar¢ aware of the Charity Comrni88ion a8se8smcnt8 into public benefit al independent schools. They will continue to work with the ISC and ISJ3A to encourdgc and demonstrate effectlve public benefit.
NEWLAND HOUSE SCHOOL TRUST LIllTED GOVERP40RS' REPORT (Continued) YEAR ENDED 31 AUCUST 2021 STRATEGIC REPORT REVIEW OFACHIBVEMENTS AND PERFORMANCE FOR THE YEAR 202fv21 The trnst has continued to operdte as a preparatory school for boys and gir15 and has offered education to pupils aged between 3 and 13 years. Teaching and Legrning Despite the ongoing Covid challenges, thxs was a very successful yeaT. Children at the school continue to be taught in small classes by excellent tea¢hers. The quality of pastoral care remains excellent and children are happy and their wellbeiibs looked after. The s¢hool maintains an cfEective balance between focused attention on the academic subjects and the breadth of cutriculum required to deliver an all-round education. The children at Newland Elouse make excellent progress in all area5 of 5Ghool life and a¢hieve highly. The core subjects of Mathematics, English and Scien¢e remain at the een¢re of the h0o1 cu]culum. In Mathematics. secwe conceptual understanding is developed before linking lo the abstract and English xs based around children reading proficiently aTLd understatLdin8 the meaning and theme6 within increasingly complex texts. In both of these are&s, our children continue to achieve highly. S¢ien¢e lessons involve developing the children's skills of scientific enquiry. The creative arts continue to be well.represented. Two- and tbree•dimensional art projects inspire children, includin8 clay projects for Year5 5 and 7. In Design and Technology, children from Year 3 and above continue to work in the DT laboratory using a cotnbination of materials. Music remains a strength at the school and Dramo this ycar has bttn given an increase in CUJTiculum titne to reflecl its importance for children's development. Tbe humanilies reTt]ain an integral part of a child's education at Newland House, with our curriculum looking at the Geography and History of both the local area also events and concepts of national and international significance. This occurs throughout the school. A topi¢-ba$ed approach continues to be used it) the Pre-Pry an example would be a unit of work about the Great Fire of London en¢ornpassing all subje¢ts in Year 2- whereas there 18 a more discrete approach with the older children. The school continues to give significant lesson time forchildren to learn a foreign lat)guage- French. The emphasis remains on speaking and listening to ensure that children are able to UderStand and be understood. Latin from Year 6 and above provides children with cultural and linguistic reference on which many other.8ubjects.8tand. Sport and physical education temain a fundamental pan of school life. There has been an increased move this year towordy gender lleutralhty in our sporting offerii)g- our summer sport is now cricket for both boy8 and girls, and girls, football is being increasingly tsught and enjoyed. Following the winter lockdowm. fiXre8 against other schools were again a significant part of children's education• all boys and girls in the Prep played ¢rick¢i for the school in girls, Ix)ys and mixed teams. Children's Gultural developmentremains a sign1ficantaspectof.ho0j lifewith an emphasi8on recognising and cel¢brating the diversity within the school community and beyond. In Nursery for example our younge8t children l¢arn about Diwali and Chinese New Year to tne but two. Tripb, visits and speclal tvents Despite the period of lockdown, and the ongoing restrictions. a large number of scheduled residenti81 and edu¢ational day trips 81111 took place. These included a Year 8 field SdY day atthe River Tillingboum¢ to collect dats fara wrchprtsjtttt. In addition, the Year 7 pupils visited Salisbury Cathedral and the Year 5 pupils participated in a teombuilding exercise at Horseshoc Lake. Years 6. 7 and 8 also went on resideniial trips in the Summer Terni to activity ¢entre8. For children within the Pre-Prep. we had a number of visi¢ors coming into s¢h(K)I to allow the children widerstand the topics that they Icam about in more depth. A casile workshop for year I proved populaT, as did a visit by a local guide dog into Reception classes. Co-eurrleular An extensive clubs programme remains a vstal part of a Newland House child's education. These take place before school, during lunch breakand afterschool. Some are subjectbased, for example sport 8quad trdintng orexiension art club, whereas others arc mtsre wide reaching. Dance club is ever popular in both thc Prep and Pre-Prep parts of the h0o1 as is the STEM club {Scicnce. Teclmology. Engineering and Maths) and Chess club to name but a few. Music was again 8ignificantly represented with seven differcnt choirs ond ho%t of en8cmbl&s and groups. The year culminaied with a fabulous 'Proms in the Playground.. Wiihin the sporting field, extra-curricularactivities were centrcd around rnore specific intere8ts, such as tennis and fencing. as well as to help develop children's $kills- foT exarnple netball club for all Prep children. Senior School Transition All leavers gained enty to ¢ompetitive, 8electiVC 8ccondary sehools with many reeeiving awards for academic and non- academic exccllence: in the year 2020121 childrell gained a total of 28 scholarships.
NEWLAND HOUSE SCIIOOL TRUST LIMITED GOVERNORS, REPORT (Contlnued) YEAR ENDED 31 AUGUST 2021 Response to CoYid19 With the 5¢hcK)I building being closed to all children for the majorily of the Spritig Terni, delivering our iti-¥chool offering to children at h(le was again vital. Although nothing catt fully replicate children learning, socialising and playing together, we were justifthly proud of the way that our children's education coniinued remotely. All year groups weie Laught within live lessons by their teachers and feedba¢k given via email or webitiar. Beyond lessons, forni time and asseinblies were also part of the daily offering, as well as one-off events such as 'Creative Day, in whi¢h t¢ach¢r8 off¢r¢d Sessions on topics like Cookery, jewellery making and modelling. Fif4ATrICIAL REVIEW AND RESULTS FOR THE YEAR Income increased from £5,573,846 to £6.063251. Th¢r¢ was a increase in expendItte from £5,485,739 to £5.736,990 The net surplus for the year was £326.261 {2020.. £88,107). The designated ndS now stand as follows.. Property Fund Discr¢tionary Fund £4,904,831 £400,211 The prillcipal sour¢¢ of in¢om¢ 1$ fees which account Eor98V/ts of total income. The Governors are continuing their strategy of deployiThg all n¢t incorning resources to investing in the educational purposes and hbrio olour School. As a charily the parents of our pupiis have the assurance ¢hat the income of the School must be applied for educJtion81 purpos¢s. Freehold Properties The Governors have obtsined a Current Maet valuaiion of all tbe freehold laTMI and buildings in 2015, which confJrn]ed that the value is substantially in ex¢ess of Ik value. POLICIES Reserve$ PDIRCY The Governors regularly review the finallces, budgets and spend against budg¢t tog¢th¢r with a ternily cash flow analysls a$ part of the effective stewardship ofthe School. In common with other independent schools, the Governors have invested ¥ubstantial sums inlo the school buildings in recent years, most notably the new Pre-Prq) which opened in September 2016 and have a ¢ontinuing programme of refurbishment. development and investment to rnailltaill excellent teaching facilities for our pupils. A designated fund, the Property fund, is endowed by amounts appropriated out of income eaLh year to provide a fimd for the replacement and improvement of the exisling properties alld this is represented by the approximale level of the inVtrnent in the property. At 31 August 2021 tbe balance on thi$ fimd was £4,904.831. The Governors Created a dis¢relionary fund during th¢ year with a traosfer of £556,109 to fund irnprovements to the Prep S¢hty)I building. Ar 31 August 2021 the balattGe on this fund wa5 £400,211 All whool fiuth are unrestricted. At 31 August 2021 the School's free reserves were £2.148,126, as lollowing significant investment inthe pie-prep building the majority of resetyes are held within fixed a&8ets. Bursarfies Bursaries are granted to pupils who may not othenvise have the opportunity to receive an independent schwl educatLOn. This suppor4 which is available on a nttds basAS as detem)ined by the Finance and General PutP05es Committee, reduces annual gross fee income.
NEWLAND HOUSE SCHOOL TRUST LIMITED GOVERf40RS' REPORT (Continued) YEAR Ef4DED 31 AUGUST 2021 rublic Benefit I'he Governors continue to look at activities that will strengthen the School's linEs with the local community and provid¢ publi¢ benefjt. Due to COVID restrictions during the year many external orgat)siations w¢r¢ noi abse to use the school's facilities howev they are duc to resume in the Autumn of 2021.The School made availabl¢ its music facilitics frec of chargc to a local community choir and acted as a music examination centre. A local yoga group based inTeddington have beneflttcd from u81ng the school facilities during the year. Facilities have a]so been made availablc at weekends and during the school holida to piovide rugby. foolbl, drama, music, art and multi activity Camps for Children in the local community The OtakerKraus Mustc Trnst is a local clwity whioh ben¢fitted from using the school music facilities ai weekends during the year. Throughout the year fund raising activities were organised by the school to benefit the Hcad Boy 8nd Head Girl's chosen charity, Stre£tinvest. The school opeiates the Early Years Funding iniiiative in conjunction with the LL)n(lon Borough of Richmond upon TtMme8 to assist eligible pupils in their Nursery and Reception years. FUIYDIL4ISING APPROAC14 AND PERFORMANCE The Governor% are aware of the Charities (Protection and Social Investment) Act 2016 and recognise the Tmportance of meeting the highe81 standards of practice and care in relation to fidraisIllg activitie8. The School only raisG8 funds frotn parents. staff and th04e with a personal connection to the h0o1 and not undertake fundraising campaigns to tnembers of thepublic, nordoes It usethe seNices of third party fijndraisers. The School considers the origin ofunsolicit¢d donalions and legaci&%. £5,078 of donations income was received in the 2021 financial year. RISK MANAGEMENT The Governors are r¢spon8ible f(Trr identifying, wessin¥ aud mitigating potential risks that may afrt th¢ School. Th¢ Ri8k Register is reviewed anllually to ensure all risks are identified and controls established to provide r0bllt mitigation. In response to the COVID-19 pandemic the Governors met at key points to agree to the school closur¢ and remote learning provision and the associated risk assessmentg which were updated to comply with Government guidwe and th¢ uirements of th¢ school'¥ insuret¥. The Governows continue to keep the School's activities under review and consider the major risks faced in each of the principal areas of th¢ School's operations. In the opinion ofthe Governors the Lharity has established resources alld review systems which, under nOrlll conditions, should allow the risks to be mitigated to an acceptable level in Its day to day operations. The principal Controls u8¢d by the S¢hool are.. Fomial Agendas for all Board and Sub-Comtnitte¢ m¢¢ling$, including a range of stsnding agenda items T¢rrn$ of Reference for all Committtts Comprehensive strategic planning, f]nancial for¢Gasting, budgeling and management accounting Established organisational structurcs and lin&s of reporting Comprehensive fomi41 Written policies Clear financial authori8ation limits Safeguaiding procedures, as required by law, for the protection of the children SufFicient alld appropriate traitling for governor5 and key staff
NEWLAND HOUSE SCHOOL TRUST LIMITED GOVERNORS, REPORT {Contlnued) YEAR Ef4DED 31 AUGUST 2021 PRINCIPAL RISKS AND UNCJLRTAINTIES The key business impacls and associated mitigations identified are.. E¢onomic Factors.. The increasing cost of tbe Tewh¢rs' P¢n8ion Soh¢me which is a defined benefit scheme- continuing review of staff pension arrangcments The widening gap betwcen rich and poor- an appropriatc bursary policy Affordability in the Independent School sector- sensible fee 8tN¢ture and appropriate bursary policy In¢reaS wst of eDerBy rGsour¢e8- robust budgeting MaCrO-0noM1C instability- Sensible fee strnciure and appropriate bursary poliry Internet-based or ¢yber-at(a¢ks- appropriate network sys¢¢ms and highly qualified ET staff Political factors.. Changing goven]mental and publi¢ attitudes to independent EduGation- abilily to deOnStrate comlnullity valu¢ in the school and its assets, provision of means-tested bur8arieg Ensuring the school keeps up to date with wlitical, lebyi81ative changes to regulatory c¢)mplian¢e- appropriate training for staff and governors alld use of external audit and exp¢rti¥¢ Legal factors- Employment law chang¢s- seminar att¢ndan¢e for staff and advice from lamryers Regulatory compliance becoming more Challenging- senior thff reactive to chattging Government and ISI requirements Internal.. Reputational damage- good and timely com1nunati0n be¢ween governors. staff and parents Governance- strategic plan, training for Governors, use of external advisors. membership of AGBIS and ISBA Financial Control- financial procedures, oversight by those charged with gtsvernance, monthly management awounts A¢ademi¢ Stsndards-monitoring by Education corn1ttee aud key Staff. FUTURE PLATr4S The Sch(y)I continues to itivest in digitsl learning opportunities aerik%S the curriculum. The Govemors will continue to implement improvements and upgrad&s to the existing buildings and supwrt infraslrncre where necessary. based on sound prioritisation and financial pnldence. The refurt)ishment programme for thc Prep part of the school commenced in the summer of 2021 and the secand gnd third phase is bcing h¢duled for 202112022 and 202212023. The Governors are Gonscious of the pre¥sures in Year8 7 and 8 in the Prep School sector in the locality and continue to monitor trends and pareutal appetite for reterltion of pupils in theRe Y groups. The School will be rolling out an updated oITenng for children who stay into Years 7 and 8. which will provide them with what they need as they move into iheir senior scbools and beyottd. The S¢h¢)ol continues to review the teaching and learn]ng offcring it gives lo it$ pupi18 and will be investing in hIghuality professional development oppommiries for all of its sthlT. to ellre excellence in this ar¢a.
IYEWLAND HOUSE SCIIOOL TRUST LIMITED GOVERNORS, REPORT (Contlnued) YEAR ENDED 31 AUGUST 2021 AuDORs Messrs Haysmacintyre LLP have expTes8¢d their willillgness to Gontinue in office as auditors. STATEMEf4T OF GOVERNORS, RESPONSIBILITIES The purpose of this ststement is to distinguish the Governors, responsibilities for the a¢counts fn)m those of the auth'tors as stated in their repotL The Governors are rwnsible forpreparing the ajjnual rert and the f]Dancial statements in accordance with apphcable law and United Kingdom Generally Accepted Accounting Pra¢ti¢¢. Comppny law requires tbe Govemors io prepare flnancial slatements for each fll]ancial year which give a true at)d fair vicw of the state of affairs of the company artd of the profit or loss of the Company for tbat period. In preparing those fLoan¢ial ststements, th¢ Gov¢mors ate required to: s¢lect suitable accoullting policies and then apply them consistently; observe the methods and principles of the Chariti&8 SORP. make judgements. and estimates t1 are reasonable and prudent.. state whether applicable accoltIng standards havc been followed, subject to any matrrial depaitres diaclosed and explained iti the fmancial statements. prepare the flnancial stateinellts on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. The Governors aT¢ responsibl¢ for keepin¥ proper accounting records which disclose, with re4g0nable accuracy, the financial positton of the company at ally time, al to cnable them ensure that the ac¢ounts wmply with the Companie5 AGt 2(XJ6. They are a]50Tesponsibleforsafeguardingtheeomyany's ¢oJporate asS¢tsaT those of its iLustfuDds BdenSUring theirproper application in accordance with charity law, and hence for takmg reasonabl¢ st¢p¥ for the preventioll and (ktection of error. fraud and irregulaTiti¢¥. So far a5 each of th¢ Gov¢rnor3 A¥ aware at the time the rtt is approved.. Th¢re 1$ no r¢levant audit inforn)ation of which the company's auditor5 are unaware,. and The Governors have taken all SpS that they oughi to have taken to make theTnsclves aware of any r¢levattt audit infomiation alld to establish that the auditors Bre aware of that inforation. The GovernoTS' ReporL incotwkrating the Strategic Rekxpffj was approv¢d by the GoYernoT8 at its meeting on and signed on its behalf by.. A T Gumpert Chairman of Governors 9th Decemb¢r 2021
INDEPENDENT AUDITORS, REPORT TO TEIE LIIEMBERS OF NEWLAND HOUSE SCHOOL TRUST LIMITED Opinlon We have audited the financial statements of The Newland House Schoo]s Trust for the year ended 31 August 2021 which Comprise the Staternent of Financial Activities, the Ba]ance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has bcen applied in their prepardtion is apphcable law and United Kingdom Ac¢ounting Standards, inLluding Financial Reportlllg Stsndard 102 The FinancialReportrng SÉandardopplicable in ihe UKandRepublic ofIreland (United Kingdom Generally Acceptrd Accounting Practice). lu our opinion, the financial statements.. give a trne and fair view of the state of the charitable compaTLy'S affairs as at 31 August 20214nd the charithle company's rtet movement in funds, ithcluding the income and expenditure, for the year then endeil. have been properly prepared in accordan¢e with United Kit]gdom Generally Accepted Accounting Prdctice,. and have been prepared in accordance with the require[¢15 of the Companies Act 2006. Bas18 for oplnion We conducted our audit in acconlance with International Standards on Auditing (UK) {ISAs (UK)) and applicable law. Our responsibilities underthose standards are furtherdes¢ribed in the Auditor's responsibilities for the auditof the financial statements section of our report. We Sre independent of the ¢haritable¢ompany in ac¢ordance with the ethical requirements that 8re relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibiliti in accordance with these requirernen We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to going concern In auditing the finan¢ial.qtat¢mcnts. we have concluded that the governors, use of the going conccrn basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have perfornied. we have not ideniified any material urtcertainties relating to events or conditions that, individually or collectively, may cast signiffftcant doubÉ on the group's ability to eontinue as a going concern for a period of at least tsvelve months from when the fmancial statements are auth0ri5ed for i&8ue. Our r&sponsil)ilitl&8 and the responsibilities of the trustees with r¢spwt to going concern are described in the relevant sections of this report. Other Informatlon The govemors are responsible for the other infornlation. The other infornialion cornprises the infom)ation included in the Govemor's Report. Our opinion on the financial Atatement% does not cover the other inforniation and, except to the extent otherwise explicitly Stated iti our report. we do not ¢xpres$ any folin of assurance Conclusion thereon. In coJ]nection with our 8udit of the financial statements, our re%poTLqLbility 1$ io read the other inforniation and, in doing so, consider whether the other illforniation is materially inconsistent with the financial Statemen18 OT our knowledge obtained inthe audit orotherwise appears to be tnaterially mi8Stated. If we identify such material in¢on81Stenciesorapparentmaierial misstatements. we are requird to d¢tern]ine whether there 18 a material mi8Statement in the financial ststements or material mis¥ta(¢ment of th¢ other infonnation. If, b&8ed on the woJ* we have performed, we conclude that there is a material misstatemellt of this other iDf¢)nllallo we are reqUId to report that fact. We have nothing toreport in thisregard. Opinions on other m4tler$ prescrlbed by the Companles Act 2006 In our opinion, based on th¢ work undertaken in the courye of the audit.. the inforn)ation given in the Governor's Report (which inco0)0rd8 the strtttegie report attd the directOT8' report) for the financial year for which the financial statements are prepared is consistent with the flnancial statements. the strategic report and the directors. report inoluded within the Gov¢mors' Report ha8 been prepared in accordance with applicable legal requirements.
INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF NEWLAND llOUSE SCHOOL TRUST LIMITED Matters on which we are required to report by exceptlon In the light of th¢ knowledge alld understsnding of the Charitable company and its environment obtsined in the course of the audit, we have not identifLed material rni&8tatements in the Governor's Report {which Inco0[teS the strategie report and the directors, report}. We have nothing to yeport in respect of the following matters in relation to which the Compani&s Act 2006 requires us to rq)ort to you if. in our opinion= dequate attounting records have not been kept by the charitable company; or the charitable company fanCIal slatenients alf not in agment with the accounting records and rern9' or certain disclosures ofgovernors, remulleration specified by law are not made. or we have tt received all the information and explanations we r4uire for our audit. Re5ponsibilili¢s of governor5 for the finanell statements As explained more fully in the governot5' responsibilities statement se¢ out on page 7. the 8ovemors are responsible for the preparation of the fetaI statemenls alld for being satisfied that they give g tnle and fair view, and for such intemal control a¥ the govemors d¢terniine is necessary to enable the preparation of financxal statements that are free from material Milaternent, whether due lo fraud or error. In preparing the fll)ancial statements, the governors are responsible for asse&sing the charitable company's ability to continue as a going con¢em. disclosing, as applicable, rnattus related to going concern and using the going concern basis of accounting unless the governors either intend io liquidate the ¢tMitable company or to cease operations, Or have no realistic altemative bul to do so. Auditor's responslbllitles for the udit of tbe fAnancial statements Our obj¢¢tives are to obtain re4s0nable a$surdnce about whether the financial statements as a whole ar¢ free from material In15slateTnEnt, whether due to fraud or ern)r, and to issue an auditor's report that includes our opinion. Reasonable a8%urance is a high levcl of assurance, but is not a guardntee that an audit conducted in accordance with LSAS (UK) will always detect a material Tnisstatement when it exists. Mi8Statements can ar1 from fraud or error and are consider¢d material if. individually or in the aggregate. they could reasonably be expected to influence the economic decision8 of users taken on the basis of these financial statements. Irregularities. including fraud. are instances of non-compliahce with laws and regulations. We design procedures in line with our responsibillties. outlined above, to detect material misststements in respect of irregularities, including fraud. The extent to which our pmcedures are capable of detecting iryegularities, includin8 fraud is detailed below.. Baled on our understanding of the charitable company and the environment in whxch it opeTates, we identified that th¢ principal risks of non-compliance with laws and tEgulations relaied to the independent school regulations, safeguardillg regulations, health and safely requirements, GDPR, employment law and Charity Commission's general guidance and we considered the extent (o whichnon-compliance mighthave amaterial effect on the flnanci Statements. We also consid¢r¢d Ihose laws and regulations that have a dIrt impact on the preparatlOD of the fthancial statements such as the Compat]ies Act 2006, the Charities Act 2011, the Statement of Recommended Practice for Charitie8 {SORP 2015) (Second Edition. effective l January 2019), and consider other factor8 such as PByroll taxes and VAT. W¢ evaluated management's incentives and opporthnities for fraudulent manipulation of the financial slatements in¢ludiThg the risk of override of controls. Audit procedures perfornied by the enga¥etnellt team ineluded.. Enqutries of management regarding correspondence with regulators and tax authorities. Discussions with management including considerdtion of known or suspected instances of non-compliance with laws and regulation and fraud. Evaluating management's controls designed to prevent and deteet irregularities. Testing journals posted duritig the year. and Challenging assumptions and judgements made by management in their critical a¢¢ounting estimAtes.
IIYDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF NEWLAND HOUSE SCHOOL TRUST LIMITED A fijrther description of our responsillItieS for the audit of the financial statements is located on the Financial Reportin8 Council's websits at.. www.frc.()r' ' )l)11%il)ililiLK This description fomis part of our auditor's report. Use of our report This report is made solely to the charitable Gompa[hS rnember5. as a body. accordance with Chaptcr 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's member¥ those lltters we are required to 5tste to them in an Auditols reportand forno other puose. To the fullest extentpernjitted by law, we do not accept or a5surne responsibility to allyolle othertlwi the clwitable cotllpany and the charitable compally's m¢mbus as a b¢xly, for our audit worK for tbis rq>ort, or for the OPiDions we have fornjed. Kathryn Burton (Senior Statutory Auditor) For and on behalf of Haysmacintyre LLP, Statutory Auditors 10 Queen Street Place London EC4R IAG Date.. 17 December 2021 io
NEWLAND HOUSE SCHOOL TRUST LIMITED STATEMETr4T OF FINANCIALACTIvIEs FOR THE YEAR ENDED 31 AUCUST 21121 Unre8tricted Funds Restricted Funds 21121 ThtAI 2020 Total Notes II¥COME FROM Charitable a¢tsvities Fees e1Vable Suscainable transport initiativeg Other educational income 5,793,295 20,350 5.793295 20J50 5,345.068 14.329 3a 167,731 167,731 71,389 Grants & donations 3b 60.206 60.206 118,740 Rai8ing fimds: rents and lettings Investments 20.176 20,176 19.645 743 743 4.675 Profit on sde of a88ets 750 750 Total income 6,063,251 6,063,251 5,573,846 EXPENDITURE Charitable activitie8 5,735,952 1,038 5,736,990 5,485,739 Total expenditure 4.5.6 5,736,990 1,038 5,736,990 5,485.739 NET (EXPENDITURENINCOME 327299 (1,038) 326,261 88.107 Transfer between funds NET MOVEMENT IN FUNDS 327.299 (1,038) 326,261 88.107 Balances brought fotward at I September 2020 7,125,869 1,038 7.126.907 £7.038.800 Balan¢es carried fotward at 31 August 2021 12 7.453,168 7,453.168 £7.126,907 The accompanying notes fomi an integral part of these accounts. Therc were no recognised gatns and losses other than those shown on the above Statement of Financial Activities.
NEWLAfqD HOUSE SCHOOL TRUST LIMITED COMPANY NUMBER: 11104580 BALANCE SHEET 31 AUGUST 2021 21J21 2020 Notes FIXED ASSETS Tangible &88ets 9,677,663 9.773.016 CURREiYf ASSETS Stock Debtors CAsh at b¥nk and in hand 4,530 120.728 2,462,743 134,695 1,597.165 2,588,001 1,731.860 CREDITORS- duewithin one year 10 (1.255,509) (1.328.102) NET CiJRRENT ASSETS 1,332,492 403,758 CREDITORS: due after mor¢ than on¢ year (3,556,987) (3,049,867) NET ASSETS 7,453,168 7,126,907 RepTesented by: GENEIL4L FUND 12 DESIGNATED FUNDS 12 7,453,168 7.125.869 RESTRICTED FUNDS 1.038 TOTAL FUI+lDS 7.453,168 7,126,907 The f1¢la1 ¥tatement3 were approved a1 authorised for issue by the Board on 9th December 2021 and were signed below on its behalf by.. A T Gumpert R L Burden The accompanying not¢8 forni aTh integral part of these accounts. 12
NEWLAIW HOUSE SCHOOL TRUST LIlTED STATEMENT OF CASH FLOWS YEAR ENDED 31 AUGUST 2021 2021 2020 Notes Net provided by oper*tion8 762,867 682,347 C85h flows from InVting activitia: Deposit interest Loan interest payable Pur¢h&8e of fixed &8scts Pr(tteds from sal&8 743 (58,888) (254,026) 1,773 4,675 (77,979) (98,623) Net casb (used in)1 provided by invtjting activAtleJ (310,498) (171.927) Cash flo from financing aetivitieg: New loans Repayment of108llS 3,267,lYJO (2,853,891) (165,000) Net ¢18h u8¢d In flnanelng aetlvltleg (165,000) Change In ea8h and easb equlvalents In tbe reportlng perlod 865,578 345,420 Net eash and $h equivalents at beginning of period 1,597,165 1,251.745 Net eagh Ènd ea8h equivalents at end of peri(yJ 2.462,743 1,597,165 NOTES RECONCILIATION OF NET MOVEMENf IN FUNDS TO NET CASH INFLOW FROM OPERATIONS 2021 2020 Net l¢xp¢ndibJreVin¢om¢ Depr¢ciation oharg¢s Bank int¢rest Bank loaa ititerest payabl¢ D¢btor$ dKreasel(increa$¢) CrlIOrS {dreaSeIner¢e 326261 343,079 {743) 58,888 13,967 21,415 88,107 373.985 (4,675) 77.979 (4,129) 151,080 Net cash inflow from operaling activit1¢8 1,175.976 682,347 2020 Ca$hflow Non-C4sh flow 21121 ANALYSIS OF MOVKMENTS IN NET DEBT Cash at bank and in hand 1,597.165 413,109 2.462,743 Loan- Borclays- due within on¢ year Loao- Barclays- due after one year (184,564) {2,669,327) 10,787 423.896 (173,777) (3,126,223) Total (1,256,726) (837,257) 13
r4FWLAND IIOUSE SCHOOL TRUST LIMITED r40TES TO ACCOUNTS YEAR ENDED 31 AUGUST 2021 ACCOUNTING POLICIES B4$is of Preparation The fl[llcial statements have been prepared in accordan¢e with the Financial Reporting Standard applicable in the UK and Republic of Irelond (FRS102), the Statement of Recommended PrdCti¢e applicable to charities preparing their accounts in a¢¢ordan¢e with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)- sewnd edilion effective l January 2020. The a¢¢ounting poli¢ies set out below have been applied in preparing the financial statements. for the year ended 31 August 2021 and the comparative information pres¢rLted in these financial statements for the year ended 31 August 2020. The financial statements ale drawn up under the historical cost convention. The School is a Public Benefit Entity registered as a charity and compally LD Ellgland and Wales, it was illCOEEK)rated on 12 March 1971 (charily numb¢r 312670 and company registration number 1004580). Goill¥ collcern Having reviewed the funding facililies available to th¢ S¢hool together with the expected ongoing demand for places and tbe School's future projeLted ¢ash flows, the Governors have a reasonable expectation that the Sthool has adequate r¢$our¢es to Contsnue its activities for the foreseeable future and ¢onyider thai ther¢ were no material uncertainties over the School's fmancial viability. Accordingly, they a180 contiDue to adopt the going Concern basis in pieparing the financial siatements. Critical 8ceounling judgements and key 50ur¢e& of estimation uncertaiiity In the application of the a¢¢ounling policies, the Governors are required to make judgement, e8timat¢s, and assumptions about the carrying value of a&sets and liabilities that are not readily apparent from other sources. The estimates and underlying assumplions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in whi¢h the estimate is revised if the revision affects only that period, or in the period of the revision and future pericmjs if the revision affected current and future periods. In the view of the Governors. no assumptions concerning the fulure or estimation uncertainty affecting assets or liabilities ai the balaDce sheei date are likely to result in a material adjuslment to their carrying amounts in the next financial year. The following accounting policies have been applled Gonsistently in dealing with items which are Considered materlal in relation to the School's fthancial statemellts.. Fees and slmllar iDcome Fees receivable and charges for sernices and use of the premtses, less any allowances, scholarships, bursaries granted by the School against those fees, but including Gontribution reGcived from restricted fimds. a &ccounted for in the period in which the seTvice is provided. Donatlons Donations arc accounted for as and when entitlement arises, the amount Can be reliably quantified and the economlc benefit to the School is considered pr(>bable. Investment intome Jnvestment Income from dividends, bank balances and fjxed interest securities is accounted for on an accruals basis. 14
NKWLAND HOUSE SCHOOL TRUST LIMITED Tr40TES TO ACCOUNTS Icontlnued) YEAR E[ED 31 AUCUST 2021 ACCOUNTING POLICIES IcoDtinuedl xpendilure Charitable activities costs Tepres¢nt costs directly a88ociated with the provision of educaiion and Telated support costs. Expendithre i.s allocated to each expen.%e heading on a direct cost b&sis. The irrecoverable elemeni of VAT is included with thc item of cxpense to which it relates. Governance costs comprise the costs of rnnning the charity, including strategic plaTming for lis future development, extcrnal audit, any legal advice for the School's GovernoTr, and all the costs of Complying with constibjtional and ststutory reqvirements. such as the costs of Board and Committee meetings and of preparing statOry accounts ad sati8fying public accountability. Fin8ncial In$trllments Basic finan¢ial instnlments are initially recogni8ed at tran8a¢tion value and subsequently me&sured at amortised with the excepuon of inveslrnents which are held at fairvalue, Financial assets held at arnortised cost Comprise cash at bank and in hand, togcther with trade and gther debtor8. A spccific provigion is made for debis for which recoverabilsty is in doubt. Cash at bank and in hand 18 defined all c4$h held in instant acc&8s bank accounts And used as working capital. Financial liabilities held at amorti8ed cost comprise all creditors ex¢ept Social security and other tsxes and provisions. Debtors School fee and other debtor8 are recogni8¢d at the settlement amount due after any tiade discount offered. Prepayments are valued &t the amount prepaid net of any trdde discount8 due. Creditors and provisioThs Creditors and provA8ions are recognised where the Sch(K)I has a present obligation resulting from a p&8t event that will probably result in the transfer of fund8 to a third paty and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisiotL8 ore nornllY rQgnISed at their settlement amount after allowillg for any trade discounts due. Depreclation Deprecialion is Provided on freehold pernianeni buildings at two per centper at]num after allowing for £1.679,(K)O being the estimateAJ cost of land included in the original purdwe. Short leasehold property is being depreciated over the terni of the lease. being 40 years from 29 Jun¢ 2012. Deprecialion is provided on other fixed a¥se¢s to wrAte off their cost on a straight-line basi5 over their estimated useful Jives, subject to annual review, as follows.. Fun)ire, fillings and equipment Motor vehicles Computers Plalli & Climate Control systen)s Softwate (jnanage¢nl systems) Artificial Playing Surfaces - 7 to 20 years - 5 years - 4 years 10 years 10 years 10 years General Fund The general fLmd is unrcstricted and represcnts accumulated surpluscs and gifts re1Ved towards capitsl expenditLWe. 15
r4EWLAND HOUSE SCHOOL TRUST LIMITED NOTES TO ACCOUNTS (Contlnued) YEAR ENDED 31 AUGUST 2021 ACCOUNTING POLICIES (continued) Property Fund Amounts are designated equal to the net book value of the School'$18nd and buildings, including properti&8 in the coutse of constsiction, less bank loans. up to the valu¢ of geral funds available. Governtsr$' Diseretlonary Fund Amounts are appropriated out of income fmm time to time to provide a designated fimd to improv¢ the fabric of the prq) school building. Operating LSe5 Rentals appli¢able lo operating le8ses, where SubSttiallY all of the beneflts and risk8 of ownership remain with the lessor, are charged to the income ond expenditure aOlt as inllre(L Employee BeDefits Short ierni benefits Shortterni benefits includingholidaypay are recognised as an expense in theperiod in whieh the se1¢e is e1Ved. Employee Éerniinalion benefits Termination benefits are aecounted for on an ac¢nJal basis and in line with FRS 102. Pe109 The company operates two contributory pension schem&$ for substanlially all Staff. The Teachers, Pension Scheme 18 a multi-employer pension seheme. It is not possible to identify the School's 8hare of the underlying assets and liabilities of the Teacher%, Pension Scheme on a consistent and reasonable basis and therefore, &8 required by FRS102, the School onts for the %cheTne as if it were adefined contribution scheme. The School's Contribution which are in aecordAnee with the recotnmendations of the Govemment Actuary, are ¢h8rged in the period in which the salaries to whRch they relate are payable. The School operates a definedcontribution pension goheme for non-teachillg staff and theF¢ll8ion charge r¢pTesents the amount8 payable by the School to the fimd in respe¢t of the Yr. Government Grants JRS Govetiullent GTanls are accounied for in the year in which employees were placed on temporary leave. 16
r4EWLAND HOUSE SCHOOL TRUST LIMITKD NOTES TO ACCOUNTS (Contlnued) YEAR EF4DED 31 AUGUST 2021 FEES RECEIVABLE 2021 2020 Tuition fees Less.. Scholarships. bursaries and other allowallces 5,953.864 1160,569) 5,565.097 (220,029) 5,793,295 5,345.068 OTHER EDUCATIOIYAL INCOME 21J21 2020 Registration fees Reiained deposit After qchool and holiday clubs 14,600 14,801 984 52.836 2,768 106,455 46,676 167,731 71J89 3b. GEL4L¥TS, DONATtONS & LEGACIES 2021 20211 Otber donations & grants JRS Government Grants 41.571 18.635 92,971 25,769 60,206 118,740 Af4ALYSIS OF TOTAL EXPENDITURE Staff Costs 2021 Othe 21121 Depreei8tion 2021 Total 21121 Charitable activities.. School Opetillg Costs Teaching Welfare Premises Support Costs of schooling Fillance costs 3.436,618 224,715 304,965 451.906 157,881 58,888 118,071 3.779,403 304,965 1.102,520 491,214 58,888 238,654 333,333 225.008 4.008,605 1,385,306 343,079 5.736,990 Staff Cost5 20211 Other 2020 Depreciatio 2020 Totxl 2020 Charitable actLVlties'. School operating Gosts Teaching Welfare Premises Suppon costs of schoolitv Finance cosls 3,310,915 244,623 241,373 554,178 171,874 3,727.412 241,373 1.074,652 364.323 77,979 318,363 297,270 202,111 77,979 3,926,548 1,1115.206 373,985 5,485,739 17
NEWLAND HOUSE SCHOOL TRUST LIMITED NOTES TO ACCOtirirs (Contlnued) YEAR ENDED 31 AUGUST 2021 ANALYSIS OFTOTAL EXPENDITURE (continued) 2021 2020 Other iosts: Educational Supplies Games Catering Su5taiDable transport sGhem Rellt, rate8 insurance Building, grouud and household rnaintenance Services 242,173 107,387 266,495 6,030 297,418 176,373 91,333 151,073 91,930 203,571 5.364 269,172 174,080 102,890 tr- ij Professional G¢n¢ral Bad debts Web enhancement Playing fields expendittwe Governance costs Bank loan interest 18,593 2268 2.132 2,800 36,884 115,506 166,669) 9,400 {1,3641 15,390 77,979 19,950 58,888 1.291.831 1,185206 STAFF COSTS 2021 20211 WE4ges and salaries Social 5¢curity Gosts Pension contributions Redundancy payments 3,145,359 317,924 545,322 2.997.447 307.412 570,999 50,690 4,008.605 3,926,548 2021 21120 Thc avera8e number of employees in the year wa$.. Teachin8 86 30 78 25 116 103 The Governors received no remulleratioll or reiTnbursement of expenses durAng the year (2020.. £11). Employees received remulleration excceding £60,000 as shown below.. 2021 2020 £60,000- £69,999 £70,)0- £79,999 £80,000- £89,999 £IOO,O(M)- £109,999 The total remuneration paid io key management in the y&ir was £468,457 (2020.. £453,042). 18
NEWLAf4D HOUSE SCHOOL TRUST LIMrrED NOTES TO ACCOUNTS {CDDtinu¢dl YEAR ENDED 31 AUGUST 2021 NET MOVEMENT IN FUNDS 2021 2020 Net movement in fid8 is stated after charging: Depreciation Operatinu lease rentalg.. building8 other Bank loall itLtrre8t 343.079 373.985 192,438 5,379 58.888 215,000 8,967 77,979 Auditors remuneration.. Audit Otber services Governors, liability insurance 14,250 5,700 13,500 1,150 107 TANGIBLE FIXED ASSETS Th¢ mov¢m¢nt of tsngible &8sets was as follows.. Fre¢h(*ld lattd & permxnent buildings Short leasehold property Fllrnltur equlpment & eon)puters Motor Vehicles Total Cost At I S¢ptember 2020 Additions Disposals 9.148265 31,959 2.101.664 1,773,478 199,843 1205,0(KJ) 95,693 17,694 (12,0001 13.119,100 249,496 (217,000) At 31 August 2021 9,180224 2,101,664 1,768,321 101,387 13,151,596 Depre¢lation At I September 2020 Charge for the year 835,939 172.453 1,459,209 52,555 955,243 118,071 (205,000) 95.693 3,346,084 343,079 {215230) (10.230) At 31 Augus(2021 I,IM)8.392 1511,764 868,314 85.463 3.473.933 Net Book Value A¢ 31 Augusi 2021 8.171,831 589.9(K) 907,007 15.924 9.677,663 At 31 Augu$¢ 2020 8.312,326 642,455 818,235 9,773.016 The l¢a8ehold propety is held on a 40 year lease frorn 29 Jutte 2012. The School's loans a8 detailed in note 10 ar¢ secued on tlLe School's propetty 19
EWLAND HOUSE SCHOOL TRUST L[lTED IYOTES TO ACCOUNTS (Continued) YEAR ENDED 31 AUGUST 2021 Stock 2021 2020 Finished goods and goods for resale 4,530 4,530 DEBTORS- due wlthln one year 2021 2020 Fees and extras in arrews Pwayments and accDJed income OthEr debtors 28,595 71,057 21,076 15,682 70,774 48,239 120,728 134,695 10. CREDITORS- du¢ within ¢)ne y¢ar 21121 2020 Fees r¢¢¢ived advanc¢ Deposits Trdde creditOT8 Accryals Other creditors Other toxation and S[al security Pen8ioJJs Trust s¢hem¢ liabili¢y (see note 15) Bank Loan 700,055 66,387 120.819 48,607 76,073 77,340 60,924 105,304 793,591 54,491 57,714 50.374 106,491 74,588 6,289 184.564 1.255,509 I J28,102 Fees in advance related to the forthcoming fll)an¢i41 ye4r. 11. CREDITORS- due after more than one year 2021 2020 Deposits Bank Loan 395,290 3,161,697 380,540 2.669,327 3,556,987 3,049,867 A £3.3 million loan fatility was arranged with Barclays Bank in June 2021. Interest is charged ai 2.1 /0 per annum above base rate. The loan is secured by a Charge on the School's properties. Repayments are over a 13 year temi by 51 instalments of principal and interest of £43,444 payable quarterly. 20
NEWLAIYD IIOUSE SCHOOL TRUST LIMITED NOTES TO ACCOUNTS (Continued YEAR ENDED 31 AUGUST 2021 12. WIRESTRICTED FUNDS Balance at I September 2020 Balinee at 31 August 2021 Income Expenditure Transfers General funds 1,667,434 6,063.251 (5,735,952) 153,393 2,148,126 Designated fMThd$ Property fund Governor5, discretionary fund 5,458,435 (553,604) 4,904.831 400,211 400.211 7,125,869 6.063,251 (5,735,952) 7.453,168 Restricted funds 1,038 (1,038) 7,126,907 6.063,251 (5,736,990) 7,453,168 BAlaDee at I Sept¢mber 2019 Balanee at 31 August 2020 Income Expenditure Tran8ferg General fund$ 5,545,878 (5,458,809) 1,580,365 1,667.434 Deslgnated funds Propcrty fund Governors, discretionary futtd 7,038,800 (1,580,365) 5,458,435 7,038,800 5.545,878 (5,458,809) 7,125,869 Restrleted fundg 27,698 (26,930) 1,038 7,038,800 5,573,846 (5.485,739) 7,126,907 Restricted funds Restricted funds in the ¢urr¢nt y¢ar is mad¢ up of donaliolls from parents to a hardship lld and to staff welfare. The fid also includes donation8 from the PaT¢nts' Asso¢iation for specifLC purposes as agreed with th¢ School. Movement in Testrict¢d funds during the prioi year was in relation to fimds for an outdoor classroorn. Atransfer of £2,839 from restri¢i¢d fuods Lo unre¥tricled fund was made itt the year to reflert the Eact the lunds had been utilised for capital exp¢nditw¢. 21
r4EWJ.Af4D HOUSE SCHOOL TRUST LIMITED NOTES TO ACCOUNTS {Contlnued) YEAR ENDED 31 AUGUST 2021 13. Af4ALYSIS OF IYET ASSETS B£TWKEN FUNDS Unrestricted 2021 Restricted 2021 Total 2021 FixEdAs5Cts Stock Debtors Cash at bank and in hand Creditois- due iTh less than l year Creditors- due iTh more than l year 9,677,663 4,530 120,728 2,462,743 {1,290,980) {3,521,5131 9,677.663 4,530 120,728 2,462,743 (1.290,980) (3.521,513) 7,453,168 7.453,168 Unre$tricted 2020 Restricted 21120 Total 2020 Fixed Assets Deb[$ Cash at bank and in hand Creditors- due in less than l year Creditors- due in more tham l year 9.773,016 134,695 1,596,127 (1,328.102) (3.049,867) 9.773,016 134,695 1.597,165 (1,148,788) (3.229.181) 1,038 7,125,869 1.038 7,126,907 14. OPERATING LEASE COMMITMENTS The school had the following COMltMents under non-cancellable operating leases at August.. 2021 2020 Land and BuUdin8S Land and Buildings Other Other Witbin ODe year Between two aud five yeaTS After five years 192,438 680,000 4,393,917 14,528 36,181 192,438 680,000 4,563,J56 5,379 18,890 5,266,356 50,709 5,436.356 24,270 Of the amounts expiring after five years disclosed above, £170.000 (reviewed every 5 years) is payable per annum until 28 June 2052. Is. TAXATION The cornpany L5 a Tegistered charity and tsxation is not payable on its charitable income. 22
NEWLAND HOUSE SCHOOL TRUST LIMITED NOTES TO ACCOUNTS (Contlnued) YEAR ENDED 31 AUGUST 2021 io. PEfisIoN COSTS These ar¢ ¢har¥ed to the statemeJLt of fJnanci&l activlties as they arise. Te&chers' Pension Schemc The School participate8 in the Teachers, Pension Scheme {"thc TPS") for its teaclung Siaff. The pension charge for the year includes contributions payable to the TPS of £457,623 {2020.. £286.531) and ai the y¢ar-¢lld £38,447 (2020-. £38,586) was accrned In respect of contributions to thiy ychejne. The TPS is an unfimded multi-employer defined benefit8 pension 8Ghetne ¥ovemed by The Teachers, Pensions Regulations 2010 (as amended) and The Tea¢her8' Pension Scheme Re¥ulations 2014 (as amended). Members Cotttribute on a '*ay as you go" basis with ¢ontril)utions frorn member8 and the employer being credited to the Exchequer. Relirement and other pension benefjts are paid by publi¢ funds provided by ParliarnenL The employer contribution rate is set by the Secretary of State following scberne valuations undertaken by the Government Aett,$ Department. The most recent actuaTial valuation of the TPS was prepared as ai 31 March 2016 and the Valuation Report, which was published in MaTch 2020, confirnled that the employer Contribution rate for thc TPS would increase from 16.4/0 to 23.60/. frm I September 2020. Employers are also Tequired to pay a %cheme admirtistration levy of 0.08 /0 giving a total employer contribution rate of 23.68°/. The 31 March 2016 Valuation Report w&sprepared in accdanCe with thebenefits set out in the eme regulation8 and under the approach specified in the Directions. as they applied at 5 March 2020. However, the assumptions were considered and set by the Depattment for Education prior to the rnling in the 'McClou(VSargeant case.. This case required the courts to consider cases regardll the implementation of th¢ 2015 r¢fornLS to Pubh"c Service Pensions including the Teachers. Pensions. On 27 June 2020 the Supreme Court denied the government pern]ission to appeal the Court of Appeal's judgment that trat)silional provisions introduced to the reformed pension schemes in 2015 gave rise to unlawful age discrimination. The government is respecting tbe Court's decision and has said it will engage £ully with tbe Employment Tribunal as well as employer and member representatives l(F agree how the discrimination8 will be remedied. A coA]sultation WAS launchedby the government on 16 July 2021, and Glgsed to responses on I l October 2021. The TPS is subjeet tt> a cost Gap MhaniSM wbich was put in place to protwt taxpayers a¥ainst ullforeseen changes in scheme costs. The Chief Sccretary to the Treasury, having in 2018 announ¢¢d that there would be a review of this cost cap meGh8nism, in January 2020 announced a pause to th¢ ¢ost ¢ap mechanism following the Court of Appeal'8 rulin¥ ill the McCI(pudlSargeallt case and until there 18 C¢rtainty about the value of pensions to employees from April 2015 onwards. The pause was lifted in July 2021 and the gov¢rnment prepatitig w mpleTe The cost ¢ontroI eletnellt of the 2016 valuations. which is expected to be completed in 2021. In view of the above rulin¥s aud decisions the assumptions used in the 31 March 2016 Actuarthl Valuation may becojne inappropriate. In this scenario, a valuation prepared in accordaDce withrevised benefits and suitably revised assumptions would yield different resulis than those contained in th¢ A¢tuarial Valua(ion. Until the consultalion alld the eost cap mechanism Teview are ¢omplet¢d it is uot possible io conclude on any financial impact or future change9 to the con(ributton rates of the TPS. A¢¢ordingly no provision for any additional past benefit pension costs itT included in these fjnancial statements. Th¢ school withdrew from TPS from September 2021 Pensions Trust Crowth Plan The company participates in the scheme, a multi-employer heme which provides benefits to some 950 non- aOciated participating employers. The 8cheme is a defined benefit schen]e iTh the UK. li is not possible for the company lo obtain sutTicient inlormation to enable it to account foi the scheme as a dered benefit scheme. Therefore it accounts for th¢ heme as a defined contribution scheme. The .Icheme is 8ubject to th¢ funding l¢gislation outlined in the Pensions Act 2004 which came into force on 30 Decemb¢r 2005. This, together with document5 LS5UEd by the Pension$ Regulator and Technical Actuarial Standards issued by the Financial Rq)orting Council, set out ihe framework for funding defined beneflt Occupational pension schen]e5 in the UK. 23
NEWLAND HOUSE SCHOOL TRUST LIMITED Tr40TES TO ACCOUNTS (Contlnued) YEAR KIYDED 31 AUGUST 21121 16. PENSION COSTS {eonlinued The scheme is Glas5ified as a'last-man standing arrangemenc,. Therefore the company is potentially liable for other participating employers, obligations if tbose employers are unable to meet their share of the schetne deficit followKng withdrawal frorn the s¢heme. Participating employers are legally r¢quired to meet their Share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme. A full actuarial valuation for tbe schem¢ was carried out at 30 September 2017. This valuation Showed assets of £794.9m, liabilities of£926.4m aud a deficit of £131.5m. To eliminate this funding shortfall, the Tntee h88 8$ked the participating employ¢rs to pay additional contributio1 lo the scheme as follow8: Deficit cÉ>nlribuÈions From l April 2021 to JI January 2025.. £11.243,000 p¢r annum (payabl¢ tnonthly and increasing by 30/ each on l$t April) Unless a conec&sion has been agreed with th¢ Trustee the tenn to 31 January 2025 applieg. Note that the scheme's pmious valuation was carried out with an effective date of 30 September 2014. Thi$ V8¢luation showed assets of £793.4rn, liabilities of £969.9m and a deficit of £176.5m. To eliminate this funding shortfAII, the Trustee has asked tlLe participating employers to pay addition&1 contribution8 to the scheme as follow8.. Deficit conlrthuiions From l April 2016 to 30 September 2025.. £12,945,440 per aDnum {payable monthly and increasing by 3 /. each on 15tApril) From l April 2016 to 30 S¢pt¢mber 2028: £54,560 per annum Ipayable tnonthly and incr18 by 3fj/ti each on l*t April) The reeov¢ry plan contributions are allocated each participating employer in line with their estitnated shar¢ of the Series l and Series 2 scheme liabilities. wIre the 8¢heme is ill deficit and where the company has agreed to a deficit fillIng arrangement the company recognis¢s a liability for this obligation. The arnount rewgntsed is the net present value of the deficit reduction eontribulions payable under the agreement that relates to the deficit. The present value is Calculated using the di5COUDt rat¢ detailed ill these disclosures. The unwinding of the discount raie is re¢ognised as a finance cost. PRESENT VALUES OF PROVISION .1 l Aiigust 20?11£51 31 .,liigiisl 2(J?O Il%) .11 Aiigiisl ?Vl()1£4} £2.934 £3,497 Present value of rovi.%ion ASSUMPTIONS Rate of discount 0.55 0.97 The discount rates shown above are the equivalent single discount rates which, when used to discount the overy plaii bonlribuliDn¥ due, would give the same results as using a full AA cotporate bond yi¢ld curve to discount the sarne recovery plan contributions. 24
NEWLAND HOUSE SCHOOL TRUST LIMITED NOTES TO AccouNfs {Conthilled) YEAR ENDED 31 AUCUST 2021 17. CAPITAL COMMITMENTS At 31 August 2021 the School had comrnilments f¢y future pital expenditswe Df £12,000 (2020.. £DiI) which bad been contracted for. 18. RELATED PAItTY TRANSACTIONS There were no related paty ttansactions in the period (2020.. no related party tratwctions). A9. LIABILITY OF MEMBER Every member of the Company undertakes to contsibute to the assets of the Compally> in the event of the same being WOW up while they are a me4nber, or within one year after they cease to be a member, for payment of the debts and liabilities of the Compatty eontracted before they ¢ease to be a member, and of the costs, charges ond expetjses of witidlng up. alld for the adiustmettt of the rights of the contributories among themselve4 such amount as may be required not exceeding £1. 25