Draft Financial Statements at 11 July 2023 at 17:03:44
Charity registration number 312705
PRENDERGAST SCHOOL
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
Draft Financial Statements at 11 July 2023 at 17:03:44 PRENDERGAST SCHOOL
LEGAL AND ADMINISTRATIVE INFORMATION
| Trustees | Mr R Hibbitt |
|---|---|
| Mr A Livingstone Holmes | |
| Ms S Miremadi | |
| Mr A Rothery | |
| Mr A G P Jones QC | |
| Mr D Sheppard | |
| Mr N Hand | |
| Ms P Ledger | |
| Mr A Collier | |
| Charity number | 312705 |
| Principal address | Predergast School |
| Adelaide Avenue | |
| London | |
| SE4 1LE | |
| Independent examiner | Louise Hallsworth, FCA |
| Baxter & Co | |
| Chartered Certified Accountants | |
| Lynwood House, Crofton Road | |
| Orpington | |
| Kent | |
| BR6 8QE | |
| Bankers | Barclays Bank PLC |
| Leicester | |
| Leicestershire | |
| LE87 2BB | |
| CCLA Investments Limited - COIF Charity Funds | |
| Senator House | |
| 85 Queen Victoria Street | |
| London | |
| EC4V 4ET |
Draft Financial Statements at 11 July 2023 at 17:03:44 PRENDERGAST SCHOOL
CONTENTS
| Page | |
|---|---|
| Trustees' report | 1 - 3 |
| Independent examiner's report | 4 |
| Statement of financial activities | 5 |
| Balance sheet | 6 |
| Notes to the financial statements | 7 - 12 |
Draft Financial Statements at 11 July 2023 at 17:03:44 PRENDERGAST SCHOOL
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 MARCH 2023
The Trustees present their annual report and financial statements for the year ended 31 March 2023.
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 Charities Act 2011 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 main activities of the charity are to support secondary education for local young people.
The charity’s assets are to be used for the support of the school (Prendergast School) in line with the original charity objects.
Achievements and performance Financial review
The accounts of the Trust show a satisfactory position with balances on the Unrestricted Funds decreasing to £1,091,461 from £1,133,984 (2022: increased to £1,133,984 from £1,120,414).
Current year unrestricted funds can be split as follows:
| Net Book Value of Fixed Asset | £477,400 |
|---|---|
| Market Value of investments | £471,604 |
| General unrestricted funds (spendable) | £142,457 |
| --------------- | |
| Total funds | £1,091,461 |
| --------------- |
The Trust has provided a contribution of £25,503 (2022: £35,369) to the benefit of Prendergast School.
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 consider 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.
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Draft Financial Statements at 11 July 2023 at 17:03:44 PRENDERGAST SCHOOL
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
Going concern
After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason it continues to adopt the going concern basis in preparing the accounts.
Reserves policy
The Trustees review the reserve levels of the Charity at least annually. This review encompasses the nature of income and expenditure streams, the need to match income with commitments and the nature of reserves.
Investment policy and powers
There are no investments held beyond cash deposits retained with the major UK clearing banks and Charifund investments made with M&G Investments which is specific to charities.
Principal risks and uncertainties
The Trustees have assessed the major risks to which the Charity is exposed, in particular those relating to the provision of facilities, finances and budget, and other operational areas of the Charity. The Trustees have implemented a number of systems to assess risks that the Charity faces, and have developed policies and procedures to mitigate those risks. Where significant financial risk still remains they have ensured they have adequate insurance cover.
The Trustees has assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
Trustees have considered the potential impact of COVID-19 on the activities of the Charity and feel this is being monitored regularly and effectively.
Structure, governance and management
The Charity is registered with the charity commission and governed by its governing documents.
The Trustees who served during the year and up to the date of signature of the financial statements were: Mr R Hibbitt
Mr A Livingstone Holmes Ms S Miremadi Mr A Rothery Mr A G P Jones QC Mr D Sheppard Mr N Hand Ms P Ledger Mr A Collier
The Trust has a historic relationship with the Governing Board of the Leathersellers’ Federation of Schools, which is the Governing Board of Prendergast School. The Trust has a relationship with the Leathersellers Company who provide Trustees who are or have been Foundation Governors of the Leathersellers Federation of Schools.
None of the Trustees have any beneficial interest in the charity.
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Draft Flnan¢lal Ststements at 11 Juty 2023 at 17:03:44 PRENDERGAST SCHOOL TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 AIARCH 2023 Policies and roc8durès of Trus The training and Twees wll ded on their existing exporierKe. whe necessary, induction will Prowde training in tharity eduCanal legal finanoal matters. All Tnjstees are PrOded wrth the information needed (IndudiThJ any OJTrent polic#es. minutes, buthJets. elc} to undertake their fole as Trustees. Related Partios and other Connect8d Chaiiligs and Prendergast School is a related party and the Twst has a h1stor lOlP wFth the Goveming Board of the Leathe15eller5' Federation of School5. The TNst has no tnn8ded tharilies. The TfUStees' Report was aFvo¥ed by Ihe Bowd ofTruslges. MrA Collier Trustee Date".
Draft Financial Statements at 11 July 2023 at 17:03:44 PRENDERGAST SCHOOL
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF PRENDERGAST SCHOOL
I report to the Trustees on my examination of the financial statements of Prendergast School (the charity) for the year ended 31 March 2023.
Responsibilities and basis of report
As the Trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).
I report in respect of my examination of the charity’s financial statements carried out under section 145 of the 2011 Act. In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
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I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: 1 accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
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2 the financial statements do not accord with those records; or
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3 the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
Louise Hallsworth, FCA
Baxter & Co Chartered Certified Accountants Lynwood House, Crofton Road Orpington Kent BR6 8QE
Dated: .........................31 January 2024
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Draft Financial Statements at 11 July 2023 at 17:03:44 PRENDERGAST SCHOOL
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2023
| Unrestricted Unrestricted | Unrestricted Unrestricted | ||
|---|---|---|---|
| funds | funds | ||
| 2023 | 2022 | ||
| Notes | £ | £ | |
| Income from: | |||
| Donations and legacies | 3 | 340 | 515 |
| Investments | 4 | 27,336 | 23,867 |
| Total income | 27,676 | 24,382 | |
| Expenditure on: | |||
| Charitable activities | 5 | 39,502 | 44,930 |
| Net gains/(losses) on investments | 9 | (30,697) | 34,118 |
| Net movement in funds | (42,523) | 13,570 | |
| Fund balances at 1 April 2022 | 1,133,984 | 1,120,414 | |
| Fund balances at 31 March 2023 | 1,091,461 | 1,133,984 |
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
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Drnft Flnan¢lal Statsments at 11 July 2023 •t 17:03A4 PRENDERGAST SCHOOL BALANCE SHEET AS AT31 MARCH 2023 2023 2022 Flxed assets Tangle assets Investments 11 12 47T,4tx) 471,eAM 481,800 502,300 984,1 Curr•nt a¥#ets Cash at bank and in hand 179.353 151,678 Creditors: amounts falling due ¥Athln ¢)tte year 13 136.896) (1,794) Net cunt assets 142.457 149,884 Tot1 ssets I% curnnt liabiliti 1.091.461 1,133,984 Incom• fund8 Unrestncted lunds 1,(01,461 1.133,984 1,091.461 1.133,984 24 Thè finaneial statem9 wwe apr0¥ed by the Tnjstees on ......... ... ... ... Mr A Collier Trustso
Draft Financial Statements at 11 July 2023 at 17:03:44 PRENDERGAST SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
1 Accounting policies
Charity information
Prendergast School is an unincorporated charity.
1.1 Accounting convention
The financial statements have been prepared in accordance with the charity's governing document, the Charities Act 2011 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)” (as amended for accounting periods commencing from 1 January 2016). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
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. 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.
1.4 Income
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
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.
Grants receivable are credited to income immediately.
Restricted income is included in the restricted income and expenditure account on receipt.
1.5 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.
Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
The cost of generating funds comprises costs incurred in encouraging people or organizations to contribute financially to the Charity's work. It includes the costs of advertising for funds and the costs of mounting appeals.
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Draft Financial Statements at 11 July 2023 at 17:03:44 PRENDERGAST SCHOOL
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
1 Accounting policies
(Continued)
Expenditure on charitable activities are the direct and indirect costs incurred by the Charity in pursuance of its charitable objects.
Governance costs comprise all costs incurred in ensuring the public accountability of the Charity and its compliance with regulation and good practice. The details are shown on page 10.
1.6 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 buildings
50 years straight line
Freehold land is not depreciated.
1.7 Fixed asset investments
Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Transaction costs are expensed as incurred. Changes in fair value are recognised in other recognised gains and losses except to the extent that a gain reverses a loss previously recognised in net income expenditure, or a loss exceeds the accumulated gains recognised in equity; such gains and loss are recognised in net income/(expenditure) for the year.
Investment Income
Dividends are credited to the income and expenditure account when they are received.
Credit is taken for interest income when the interest is due for payment.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
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Draft Financial Statements at 11 July 2023 at 17:03:44 PRENDERGAST SCHOOL
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
2 Critical accounting estimates and judgements
In the application of the charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3 Donations and legacies
| **Unrestricted ** | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2023 | 2022 | |
| £ | £ | |
| Donations and gifts | 340 | 515 |
4 Investments
| **Unrestricted ** | Unrestricted | |
|---|---|---|
| funds | funds | |
| 2023 | 2022 | |
| £ | £ | |
| Dividend income | 26,551 | 23,848 |
| Interest receivable | 785 | 19 |
| 27,336 | 23,867 |
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Draft Financial Statements at 11 July 2023 at 17:03:44 PRENDERGAST SCHOOL
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
5 Charitable activities
| Charitable | Charitable |
|
|---|---|---|
| expenditure | expenditure | |
| 2023 | 2022 | |
| £ | £ | |
| Depreciation and impairment | 4,400 | 4,400 |
| Contribution to Prendergast School | 25,503 | 36,758 |
| Other charitable expenditure | 26 | - |
| 29,929 | 41,158 | |
| Share of governance costs (see note 6) | 9,573 | 3,772 |
| 39,502 | 44,930 |
Expenditure in both years were incurred from unrestricted funds.
6 Support costs
| Support costs Governance costs £ £ Audit fees - 1,650 Legal and professional - 7,923 - 9,573 Analysed between Charitable activities - 9,573 |
2023 £ 1,650 7,923 9,573 9,573 |
2022 £ 1,584 2,188 |
|---|---|---|
| 3,772 | ||
| 3,772 |
7 Trustees
None of the Trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
8 Employees
There were no employees during the year.
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Draft Financial Statements at 11 July 2023 at 17:03:44 PRENDERGAST SCHOOL
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
9 Net gains/(losses) on investments
| Unrestricted Unrestricted | Unrestricted Unrestricted | |
|---|---|---|
| funds | funds | |
| 2023 | 2022 | |
| £ | £ | |
| Revaluation of investments | (30,697) | 34,118 |
10 Taxation
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
11 Tangible fixed assets
| Freehold Cost At 1 April 2022 At 31 March 2023 Depreciation and impairment At 1 April 2022 Depreciation charged in the year At 31 March 2023 Carrying amount At 31 March 2023 At 31 March 2022 |
buildings £ 495,000 |
|---|---|
| 495,000 | |
| 13,200 4,400 |
|
| 17,600 | |
| 477,400 | |
| 481,800 |
The land included in Freehold Land and Buildings is £275,000 which is the value when donated. Freehold land is not depreciated.
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Draft Financial Statements at 11 July 2023 at 17:03:44 PRENDERGAST SCHOOL
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
12 Fixed asset investments
| Investments | |
|---|---|
| £ | |
| Cost or valuation | |
| At 1 April 2022 & 31 March 2023 | 502,300 |
| Impairment | |
| At 1 April 2022 | - |
| Impairment losses | 30,697 |
| At 31 March 2023 | 30,697 |
| Carrying amount | |
| At 31 March 2023 | 471,603 |
| At 31 March 2022 | 502,300 |
13 Creditors: amounts falling due within one year
| Creditors: amounts falling due within one year | ||
|---|---|---|
| 2023 | 2022 | |
| £ | £ | |
| Accruals and deferred income | 36,896 | 1,794 |
| Analysis of net assets between funds | ||
| Unrestricted | Unrestricted |
|
| funds | funds | |
| 2023 | 2022 | |
| £ | £ | |
| Fund balances at 31 March 2023 are represented by: | ||
| Tangible assets | 477,400 | 481,800 |
| Investments | 471,604 | 502,300 |
| Current assets/(liabilities) | 142,457 | 149,884 |
| 1,091,461 | 1,133,984 |
14 Analysis of net assets between funds
15 Related party transactions
Prendergast School (the "School") is a related party by virtue of the fact that some of the Trustees of the Charity are also Governors of the School. During the year £25,502 (2022: £35,369) was contributed for capital works at the School and £26 (2022: £156) for administrative expenses. There is a balance of £25,528 (2022: £nil) owed to the School as at the year end.
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