OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2023-08-31-accounts

Registered number: 00537118 Charity number: 312720

St. Margarets School (Hampstead) Limited (A Company Limited by Guarantee)

Annual Report and Financial Statements For the Year Ended 31 August 2023

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Contents

Page
Reference and Administrative Details of the School, its Governors and Advisers 1 - 2
Governors' Report 3 - 14
Governors' Responsibilities Statement 15
Independent Auditors' Report on the Financial Statements 16 - 19
Statement of Financial Activities 20
Balance Sheet 21 - 22
Statement of Cash Flows 23
Notes to the Financial Statements 24 - 42

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Reference and Administrative Details of the School, its Governors and Advisers For the Year Ended 31 August 2023

Governors Mrs E Brettle, Chairman
Ms D Atkinson
Mr M Feldman
Mr E Grower
Mr D MacNeill
Mrs T Marton
Rev A Tresidder (appointed 14 March 2023)
Miss M C Mendham
Mrs L McBride
Mr F Patel
Dr A Wayne
Mrs M Wayne
Company registered
number
00537118
Charity registered
number
312720
Registered office
18 Kidderpore Gardens
Hampstead
London
NW3 7SR
Principal
Bursar
Mr M Webster
Mrs S Beschizza
Clerk to the Governors
Website
Mrs S Beschizza
www.st-margarets.co.uk
Independent auditors
Kreston Reeves LLP
Chartered Accountants & Statutory Auditor
2nd Floor
168 Shoreditch High Street
London
E1 6RA
Bankers
CAF Bank Limited
25 Kings Hill Avenue, Kings Hill
West Mailing
Kent
ME19 4JQ

Page 1

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Reference and Administrative Details of the School, its Governors and Advisers (continued) For the Year Ended 31 August 2023

Solicitors Veale Wasborough Vizards Orchard Court Orchard Lane Bristol BS1 5WS Investment Advisors Canaccord Genuity Wealth Management 88 Wood Street London EC2V 7QR Insurance Brokers Marsh Brokers Limited Capital House 1-5 Perrymount Road Haywards Heath West Sussex RH16 3SY

Page 2

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Governors' Report For the Year Ended 31 August 2023

The Governors of St Margaret’s School (Hampstead) Limited present their Annual Report together with the audited Financial Statements of the School for the 1 September 2022 to 31 August 2023. The Annual Report serves the purposes of both a Trustees' report and a Directors' report under company law. The Governors confirm that the Annual Report and Financial Statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).

Since the School qualifies as small under section 382 of the Companies Act 2006, the Strategic Report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.

AIMS, OBJECTIVES AND ACTIVITIES

a. Our aims

The principal object of the company, as authorised by its Memorandum and Articles of Association, is to carry on at 18 Kidderpore Gardens, Hampstead, London NW3, a school for the general education of girls.

We aim, through our Junior and Senior Schools, to provide a secure, caring and challenging learning environment in which girls are encouraged to strive for excellence in all that they do. Respect for other lies at the heart of the school community, within which the potential and talent of everyone can be recognised, nurtured and realised. At St Margaret’s, education is seen as a partnership between pupils, parents and teachers. Specifically, our aims are to:

Page 3

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Governors' Report (continued) For the Year Ended 31 August 2023

AIMS, OBJECTIVES AND ACTIVITIES (continued)

b. Our objectives

Our objectives are set to reflect our educational aims and the ethos of the School. It is important to us that we maintain and enhance the academic success of the School.

This objective is, however set in the context of the broader goals we set for the School and its pupils.

In setting our objectives and planning our activities our Governors have given careful consideration to the Charity Commission’s public benefit guidance.

Our key objectives for the year included:

ACHIEVEMENTS AND PERFORMANCE

a. Pupil numbers and fees

Our educational activities are carried out through our Senior School and our Junior School. The average number of pupils on roll during the academic year 2022/2023 was 167. This is almost at our capacity of 170, the maximum number which can be comfortably accommodated on school premises.

Our fees are set at a level required to ensure that the School’s costs, a high proportion of which relate to teachers’ salaries, are covered. Fees during the academic year 2022/2023 before the deduction of any means assisted bursaries were:

Years R to 2 £5,046 per term Years 3 – 6 £5,554 per term Year 7 – 11 £5,845 per term

Curriculum

The curriculum remained the same as in previous years, albeit updated with syllabus changes. We are focusing on the skills developed within the individual subject areas. For example, the skill of evaluation to reach the highest grades at GCSE.

Academically it was a very successful year overall for our girls at GCSE level, with 72% of grades being awarded a 7 or above (the equivalent of an A grade).

Page 4

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Governors' Report (continued) For the Year Ended 31 August 2023

ACHIEVEMENTS AND PERFORMANCE (continued)

Co-curricular activities:

Music

We held a Carol service at St Luke’s Church in December 2022 for the whole school with our orchestra, choir, handbells group, ukulele group and nearly all the girls taking part. We performed with choir (Y3-Y6) and handbells group (Y8) in Spring Grove – elderly residence and Pupils spent some time chatting to the residents.

In March 2023, we held a school music competition, which involved performances of girls from Reception to Year 11. Girls had an opportunity to sing or play in front of the whole school. St. Margaret’s teachers and Y11 music students judged the competition.

In the classroom, we continue to use ‘flat.io’ music software for composition in KS3.

We have maintained singing in class and in the Junior choir. To engage and inspire our students, we performed at The Royal Albert Hall with Barnardo’s choir who support and protect children and young people facing a wide range of issues, from drug misuse to disability, from sexual abuse to domestic violence.

Our Summer concert at St Luke’s Church took place in May 2023 with many memorable performances.

We also ran our smaller informal Teatime concerts for parents and families of our students, which have proved to be extremely popular.

We made a contact with Emmanuel school in West Hampstead and agreed to perform at Jester Festival together with our Junior choir and planned ‘creative writing’ between our schools.

Drama

Students from Years 7 to 11 were all taught Drama by our subject specialist teacher. The curriculum for KS3 and KS4 was delivered in school using both the Tollgate & Royal Tollgate spaces.

Changes to the KS3 curriculum included: the development of Year 7 (SOL) based upon historical events at Flannan Isle and a full practical exploration of the text Mugged by Andrew Payne; Year 8 saw the re-introduction of the SOL based upon The Match Girls’ strike, and the development of materials around the stage version of Noughts & Crosses, by Malorie Blackman; Year 9 were introduced to the traditions of Commedia Del Arte and masked drama, as well as being invited to explore the Phillip Ridley play, Sparkleshark.

In September 2022 all GCSE drama students attended a performance of Nought & Crosses at the Richmond Theatre. This provided them with the opportunity to experience live theatrical performance in preparation for Section B of their written exam paper, where they are required to write an evaluation of Live Theatre that they have seen. The school continues to make use of its subscription to a streaming service, Drama Online, which has proved useful to the teaching not only of GCSE classes, when examining aspects of design and directing, but also for groups at KS3.

The KS4 curriculum remains largely unchanged. Specification requirements returned to normal for 2023 candidates with GCSE exams externally examined in the normal way. Results were good overall, although the online assessment of Component 2, Text in Performance, was disappointing and impacted overall grades. One candidates achieved Grade 8, 1x Grade 7, and 2 x Grade 6.

From February, working in collaboration with Achieve Arts, we have introduced LAMDA classes for students across the school, with classes taking place for Juniors & Seniors after school on Mondays and Infants on Tuesday lunchtime.

Page 5

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Governors' Report (continued) For the Year Ended 31 August 2023

ACHIEVEMENTS AND PERFORMANCE (continued)

Sport

The PE curriculum throughout various stages of the School covers the following areas: netball, gymnastics, dance, games, fitness, tennis, swimming, rounders, athletics, trampolining, volleyball, badminton and rowing. Incidental exposure to other sports, such as tag rugby, cross-country, orienteering, hockey, table tennis and others are explored or given to girls as taster sessions.

During the last two academic years we have added football to both the curriculum and to our school fixture list. Cricket matches have been added to the summer curriculum and the girls played their first competitive cricket fixtures. In addition we introduced mixed sporting events playing Cricket with St Anthony’s Boys School. Currently netball and rounders remain our main competitive sports but we have recently had a number of football matches in both the Junior and the Senior School and have formally introduced Junior School fixtures to the calendar for the first time this year.

The broad curriculum makes use of a variety of facilities. Currently St Luke’s School is used for indoor work such as gym, dance, fitness and indoor games for the lower Juniors and Infants. The whole School from Rec. upwards continues to use West Heath for both lessons and matches. Currently Y5&6 and the Senior School make use of Hendon Sports Centre and for swimming the Junior girls are taken to Barnet Copthall.

From Year 4 onwards children take part in competitive team games through the inter-house and inter-school fixture programme. Relative to size the School netball teams continue to achieve commendable success with a weekly fixture schedule. Additionally we offer a wide variety of sports clubs throughout the year. We have a tennis club, a running club, ballet, netball clubs, street dance, yoga, jazz dance, cheerleading and rounders , cricket and football clubs. We have continued to run a new karate club and yoga is offered to the girls in the Senior School during the day as part of an ongoing wellbeing programme. There is an early morning netball shooting clinic and a football club that both take place before school. Our cheerleading squad have historically performed at sporting events, this is now offered to Junior pupils.

At the end of the Spring Term, we have an annual Movement Display that includes every pupil from ReceptionY8. Junior School swimming takes place from Reception-Y6 in the Summer term and our Annual Sports Day takes place at Highgate School at the end of the Summer Term including all pupils Rec-Y10.

b. Details of bursary and scholarship awards

Bursaries

This year the value of means tested bursaries totaled £165,006 and represented 5.85% of our gross fees. They provided assistance to 11 of our pupils of which seven pupils benefitted from a full remission of fees. A hardship fund is also available to help pupils in receipt of bursaries meet the costs of school trips, examination entrance fees and similar expenses.

Review

The Governors are constantly reviewing our Bursary policy to ensure that as many children as possible can accept offers of places at our School through the availability of means tested fee assistance. Our policy is designed to widen access to our School. We anticipate this will help inform the development of our policy and help ensure the objective of wider access continues to be achieved.

Page 6

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Governors' Report (continued) For the Year Ended 31 August 2023

ACHIEVEMENTS AND PERFORMANCE (continued)

c. Community Service

The girls have undertaken community work in the following ways:

The School also supports the local neighbourhood association, Redfrog, that uses our premises for their annual AGM.

d. Environmental Initiatives

The School earned an international accreditation in academic year 2021-22 from the Eco Schools “Green Flag” recognising the pupil’s work in making the School more environmentally friendly and raising eco-awareness in fellow pupils.

Eco-Schools is an international education programme that prompts young people to explore sustainability and climate change and take action.

Based on the work done in 2021-22, the eco work was integrated into the Y6 science curriculum and focused on recycling and reuse. This culminated in two activities:

An ongoing collection and recycling of used batteries by all classes in the school. Year 4 collected the most and Ms Jones asked that their prize should be some equipment to assist with Forest School.

The other activity centered on PSHE day where all the junior school classes brought in recyclable materials and re purposed them into a range of new and innovative objects.

e. Community Access

We see St Margaret’s School as a part of a wider community.

We have appointed a new role at the School with a specific remit of engaging more regularly and productively with our local community. The School’s Public Benefit Coordinator has contacted local schools and has produced plans for us to provide local pupils with opportunities in areas that their present schools are unable to fulfil.

f. Future Plans

The Governors intend to continue their current strategies of maintaining the School’s position in a competitive market by investing to provide high quality education for our pupils. Achieving a high standard of academic results is a constant aim whilst maintaining the breadth and depth of the education provided.

The Principal and Senior staff continue to review the curriculum to ensure that the educational qualifications remain appropriate for our pupils’ development.

The principal source of income is fees accounting for 96.3 % of the School’s income. The Governors are continuing their strategy of deploying all net incoming resources to invest in the educational purposes and fabric of our Junior and Senior Schools.

In addition to the very substantial benefits our School brings to our pupils, the local community and society through the education we offer, our bursary programme and our ‘teaching links’ programme create a social asset without cost to the Exchequer.

Page 7

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Governors' Report (continued) For the Year Ended 31 August 2023

Financial review

a. Our Finances

The financial statements show net incoming resources for the year on School activities of £2,948,663.

As a charity, the parents of our pupils have the assurance that all the income of the School must be applied for educational purposes. As an educational charity, we enjoy tax exemption on our educational activities and on our investment income and gains provided these are applied for our charitable aims. As a charity we are also entitled to an 80% reduction on our business rates on the property we occupy for our charitable purposes. The financial benefits we receive from these tax exemptions are all applied for educational purposes and indirectly help us to maintain our bursary policies and ‘teaching link’s programme.

However, as an educational charity, we are unable to reclaim VAT input tax on our costs, as we are exempt for VAT purposes. We also pay tax as an employer through the national insurance contributions we make.

Developments and Maintenance

The School has a planned programme of decoration/ maintenance with every classroom being decorated every 3 years with all common areas decorated annually. All electronic whiteboards have been replaced with LED Clevertouch Screens.

IT Strategy

The School’s Management Information System, which incorporates the administration and finance systems, has been moved to the cloud to mitigate the risk of hosting the database onsite and to enable ease of remote working.

Teaching Staff

Teachers continue to use the Google suite of applications to support their teaching with many using the skills they learnt during lockdown to enhance their in-person teaching. All teachers and support staff have been issued with new laptops to enable remote working when necessary.

Students

Y3 to Y11 pupils are given Google accounts when they join St Margaret’s. They are taught in ICT lessons how to use them appropriately.

Hardware

All pupils from Y3 – Y11 are issued with a school Chromebook which they use in class, and at home when necessary.

Moving Forward

The School is in the process of refreshing the computer hardware in each classroom . An up-to-date windows PC along with new screens and wireless keyboards and mice are being rolled out over the next 2 years.

Page 8

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Governors' Report (continued) For the Year Ended 31 August 2023

b. Reserves and Financial Health

The Governors regularly review the finances, budgets and spend against budget together with a monthly cash flow analysis as part of the effective stewardship of the School.

In common with other independent schools, the Governors have invested substantial sums into new School refurbishment in recent years and have a continuing programme of refurbishment, development, and investment to maintain excellent teaching facilities for our pupils.

The closing value of our tangible assets, property, plant and equipment, was £6,083,236.

The Governors consider that given the strength of the charity’s balance sheet, the stable cash flow from full student rolls, the ongoing popularity of our School, and the available banking facility that can be called upon if need arises, that the finances are in good health.

The Governors recognise that the level of reserves fluctuates during periods of investment in the School estate and the arrangements at our Investment Advisers Cannacord Genuity Wealth Management are in place to provide an adequate ‘safety net’ should it be required.

The total funds as at 31 August 2023 were £7,229,231, of which £12,236 was restricted and £6,240,128 was designated.

c. Going Concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the School has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

d. Investment Policy and Performance Statement (Written by the School's Investment Advisers)

After over a decade of ‘goldilocks investing’, with economies neither too hot, nor too cold, and accommodative central banks providing significant liquidity, investors have had to adjust to sharp upward moves in both inflation and interest rates. This has limited the investments returns over the past 12 months, but the move to an environment of higher inflation and interest rates should be seen as a return to a more normal operating conditions and the ultra-low interest rates of the past 14 years, an aberration. Volatile markets often result in significant value appearing outside a narrow list of shares. This is happening and we are looking to take advantage of this over the next year.

Page 9

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Governors' Report (continued) For the Year Ended 31 August 2023

OUR ETHOS STRATEGY AND POLICIES

St Margaret’s is, by any manner of reckoning, a very small school, having not just small classes but only one class per year group from age 4 to age 16. This situation may have been arrived at by accident of history, but it is now embraced and celebrated by the Governors as a matter of positive policy. The close-knit community which our size engenders is integral to our academic and pastoral success and is one of the prime reasons why parents choose St Margaret’s for their daughters in preference to the many larger schools available to them locally in both independent and maintained sectors.

The Governors are committed to broadening access to the School by every means at their disposal, whilst having regard to their duty to safeguard its long-term future.

Our School is committed to safeguarding and promoting the welfare of our pupils and requires all staff and volunteers to share this commitment.

Our ethos: a caring School serving our local community and society

St Margaret’s School is a charitable trust, 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 education to girls.

Our School welcomes 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 interviews 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 financial status, gender, ethnicity, race, religion or disability do not form part of our assessment processes.

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 requires all staff and volunteers to share this commitment.

In April 2022, the school underwent a dual compliance and educational quality inspection, which confirmed that the school meets all its obligations as regards the quality of provision and care for the girls of the school.

The school was awarded an ‘Excellent’ grade for both the two Educational Quality inspection criteria.

Parents are given regular information about their children’s social and academic progress through parent evenings and online progress grades, in addition to the traditional end of term and year reports. We maintain regular contact with parents throughout the year through informal contacts and through our newsletter. The school operates a mostly ‘open door’ policy and parents are given access to teachers’ direct email addresses with a view to maintaining close communication opportunities.

Access Policy

It is important to us that 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.

Our bursary policy together with our ‘Teaching Links’ programme contribute to a widening of access to the education we offer and the facilities we enjoy.

Page 10

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Governors' Report (continued) For the Year Ended 31 August 2023

OUR ETHOS STRATEGY AND POLICIES (continued)

Teaching Links

Our School is a part of a wider community, and we are keen that our staff and pupils participate. Our Governors are committed to developing our ‘Teaching Links’ programme of cooperation and joint working with local state Junior and Secondary schools. Please see our “Community Access Section” above.

Bursary policy

At St Margaret’s we believe whole-heartedly in the value of a traditional academic education within a small scale, “family” environment. This is an expensive endeavour, and our fees must cover our costs as well as providing for the future maintenance, development, and stability of the school. We are well aware that, in consequence, an education at St Margaret’s is beyond the means of some parents whose daughters would derive considerable benefit from what we have to offer. The Governors are committed to broadening access to the School by every means at their disposal, including by offering means-tested financial assistance, of up to 100% remission of fees, to parents of suitable applicants.

Where funds allow, the school will continue to give sympathetic consideration to cases where the parents of existing pupils experience a sudden, unforeseen change in circumstances which would result in their daughter otherwise having to be withdrawn from the school. For the sake of clarity, these awards are termed Hardship Grants.

The bursary awards range from 25% to 100 % remission of fees. In the year, we awarded 11 bursaries at an average of £15,000 each.

The success of our bursary scheme is explained in our review of activities and achievements section of this report. Details of bursary awards are also set out in note 5 to the accounts.

Other Policies on Assistance

Financial planning policy

Timely financial planning is often the key for many parents who are hoping to send their children to St Margaret’s School and a school fee plan is available to help those who wish to fund educational costs through regular contributions.

Family discounts policy

To underline the value we place on continuity for families, we offer discounts where parents have more than two daughters at the School.

Promoting High Academic Standards

The Teachers’ Standards (as set out by the DfE) are in full use and have been extended to reflect an additional set of 12 St Margaret’s standards which acknowledge contribution across the school which is substantial and sustained. These are now embedded as a part of every teacher’s annual appraisal process and programme.

We provide whole school in-house professional development approximately every two weeks. We have a range of contributors to these in-house workshops and meetings, with a focus on sharing good practice, samples of work, and keeping the progress of our pupils as a priority of the agenda.

We are continuing to develop better ways to understand the experience of our pupils within the learning environment, for example, by evaluating our ‘systems’ by focusing on their impact on pupil progress. This is brought together under a document known as Pathways (i.e. our systems are designed to be ‘pathways’ to pupil progress). We consider the needs of our pupils (beyond categories such as SEND or More Able) and how they might fit into various ‘distinguished groupings’ which may add value to the classroom (for example languages spoken) or require a variation in how they access the curriculum (e.g. non-fiction texts as a supplementary resource). Alongside the Distinguished Groups list we have a system to track our academic intervention for pupils in need of extra support in a specific area.

Page 11

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Governors' Report (continued) For the Year Ended 31 August 2023

OUR ETHOS STRATEGY AND POLICIES (continued)

We have appointed a Key Stage 1 / Early Years Coordinator to oversee teaching in these Year groups.

We have continued to develop our Kinetic Learning initiative which focuses on higher order skills (such as creativity, evaluation and decision making) being embedded into the academic curriculum to enable all pupils to benefit from stretch and challenge opportunities.

We are also developing better transparency with the reporting home of academic attainment, in particular recognising what is a reasonable expectation of progress and celebrating high level of progress (enhanced progress) that result from support by school and home and effort and engagement of the pupil.

The pupils are heavily involved in tracking their own progress, for example with the use of half-termly progress recording sheets in the back of exercise books. These focus on the skills present in individual subjects and identify areas for the pupils to focus on moving forward.

Structure, governance and management

a. Constitution

St. Margarets School (Hampstead) Limited is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association.

b. Governance

The Governors, who are also the charity trustees, are responsible for the overall management and control of St Margaret’s School and hold six full Governor's meetings a year. The work of implementing most of their policies is carried out by members of the Board. The St Margaret’s School Bursar is responsible for coordinating the work of the Governors and their Committees, preparation of papers and management accounts and the review of matters arising.

All trustees give of their time freely and no remuneration or expenses were paid in the year for their Governing duties.

c. Key management personnel

The Governors consider that they, together with the Principal, the Bursar and the Senior Leadership Team comprise the Key Management Personnel (see note 11 to the accounts). The Governors give their time freely and the remuneration of the Principal and senior staff is set by the Salary Committee and is kept under annual review. A number of criteria are used in setting pay:

The Governors have given delegated authority to the Principal and Bursar to pay higher salaries for exceptional candidates and exceptional staff members where this is in the interest of the School.

Page 12

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Governors' Report (continued) For the Year Ended 31 August 2023

Structure, governance and management (continued)

d. Organisational Management

The Governors determine the general policy of the School. The day-to-day running of the School is delegated to the Principal, supported by Senior staff. The Principal undertakes the key leadership role overseeing educational, pastoral and administrative functions in consultation with the Senior Leadership Team. The day-to-day administration of both Junior and Senior School is undertaken within the policies and procedures approved by the Governors.

The Principal oversees the recruitment of all educational staff, under delegated authority. The Bursar oversees the recruitment of administrative and non-teaching support staff. The Principal and Bursar are invited to attend Governors’ meetings.

e. Other Relationships

The Principal is a member of the Girls School Association which is an opportunity to share expertise, knowledge and experience across the independent school sector. The Conference also permits appropriate representation to Government and regulators of the views of the sector.

The school belongs to the London Consortium group of schools for the running and administration of the 11+ examination.

f. Risk Management

The Governors are responsible for the overseeing of the risks faced by the School. Detailed considerations of risk are delegated to the Senior Management of the School. Risks are identified, assessed and controls established throughout the year. A formal review of the charity’s risk management processes is undertaken on a termly basis. Risk is managed under the headings of financial sustainability, school safety, student welfare, employment, school trips and events and community access.

The main risks that the Governors have identified and the plans to manage those risks are:

Through the risk management processes established for the School, the Governors are satisfied that the major risks identified have been adequately mitigated where necessary. It is recognised that systems can only provide reasonable but not absolute assurance that major risks have been adequately managed.

Page 13

st. Margarets School {Hampsteadl Limited IA Company Limited by Guarantee) Statement of Governors. responsibilities For the Year Ended 31 August 2023 The Govemors {who are also the directors of the School for the purposes of company lawl are resporssible lor preparing the Govemors. Report and the financial statements in accordance with applicable 18w and United Kingdom Accounting Standards (Uniled Kingdom Generally Accepted Accounting Practice). Company law requires the Govemors to prepare financial slalements for each financial . Under company law, the Governors must not appfove the financial slalements unless they are satisfied that they give a true and lair view ol Ihe slate of affairs of the School and ol ils incoming resoufces and application of resources, including ils income and expenditure, for Ihal penod. In prepafing Ihese financial statements, the Governors are required lo". selecl suitable aecounling policies and Ihen apply them consislenlly; observe the methods and principles of the Charities SORP IFRS 102)- make judgments and accounting e51imales th81 are reasonable and prudent.. stale whelhef applicable UK A¢counting Slandards IFRS 1021 have been followed, subject lo any material departures disclosed and explained in the financial statements., prepare the financial stalernenls on the going concem basis unless il is inappropriate lo presume that the School will continue in business. The Governors are reswnsible for keeping adequate accounling records that are sufficient lo show and explain the School's transactions and discl¢)se wlh reasonable accuracy al any lime the financial position of the Sch¢Jol and enable them lo ensure that the financial slalemenls comply with the Companies Ael 2006. They are also resF)onsible lor safeguarding the assets ol Ihe sch¢￿1 and hence for taking reasonablè steps for the prevention and dèleelion of fraud and olher irregularilw&. Approved by ordef of the membets of the board of Govemors and signed on its behalf by.. Mrs E Brettlè Dale,. 13 March 2024 Page 15

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Independent Auditors' Report to the Members of St. Margarets School (Hampstead) Limited

Opinion

We have audited the financial statements of St. Margarets School (Hampstead) Limited (the 'charitable company') for the year ended 31 August 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes, 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:

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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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

In auditing the financial statements, we have concluded that the Governors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Governors with respect to going concern are described in the relevant sections of this report.

Page 16

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Independent Auditors' Report to the Members of St. Margarets School (Hampstead) Limited (continued)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The Governors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 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 course of 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 this gives rise to a material misstatement in the financial statements themselves. 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.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Governors' Responsibilities Statement, the Governors (who are also the directors of the charitable company for the purposes of company law) are 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 Governors 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 Governors are responsible for assessing the charitable company'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 Governors either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Page 17

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Independent Auditors' Report to the Members of St. Margarets School (Hampstead) Limited (continued)

Auditors' 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 Auditors' 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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Capability of the audit in detecting irregularities, including fraud

Based on our understanding of the charitable company and sector, and through discussion with the Governors and other management (as required by auditing standards), we identified that the principal risks of noncompliance with laws and regulations related to safeguarding, health and safety legislation and employment law. We considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006, Charities Act 2011, Charities Statement of Recommended Practice and pension legislation. We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to management bias in the accounting estimates and judgemental areas of the financial statements. Audit procedures performed by the engagement team included:

Page 18

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Independent Auditors' Report to the Members of St. Margarets School (Hampstead) Limited (continued)

As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Use of our report

This report is made solely to the charitable company'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 charitable company'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 charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Stephen Tanner BSc (Econ) FCA Kreston Reeves LLP

Chartered Accountants & Statutory Auditor London

3 May 2024

Kreston Reeves LLP are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

Page 19

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Statement of financial activities (incorporating income and expenditure account) For the Year Ended 31 August 2023

Note
Income and
endowments from:
Donations and legacies
4
Charitable activities
5
Other trading activities
6
Investments
7
Total income and
endowments
Expenditure on:
Raising funds
8
Charitable activities
Total expenditure
Net income/
(expenditure) before
net gains on
investments
Net losses on
investments
Net income /
(expenditure)
Transfers between
funds
18
Net movement in
funds
Reconciliation of
funds:
Total funds brought
forward
Net movement in funds
Total funds carried
forward		 Unrestricted
funds
2023
£
2,764
2,878,541
45,395
19,911
2,946,611
10,167
2,722,333
2,732,500
214,111
(10,551)
203,560
(46,387)
157,173
819,694
157,173
976,867		 Designated
funds
2023
£
-
-
-
2,052
2,052
1,408
-
1,408
644
-
644
46,387
47,031
6,193,097
47,031
6,240,128		 Restricted
funds
2023
£
-
(17,535)
-
-
(17,535)
-
-
-
(17,535)
-
(17,535)
-
(17,535)
29,771
(17,535)
12,236		 Total
funds
2023
£
2,764
2,861,006
45,395
21,963
2,931,128
11,575
2,722,333
2,733,908
197,220
(10,551)
186,669
-
186,669
7,042,562
186,669
7,229,231		 Total
funds
2022
£
670
2,670,279
41,138
14,708
2,726,795
12,787
2,428,889
2,441,676
285,119
(133,189)
151,930
-
151,930
6,890,632
151,930
7,042,562

The Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 24 to 42 form part of these financial statements.

Page 20

St. Margarets School (Hampstead) Limited (A Company Limited by Guarantee) Registered number: 00537118

Balance Sheet As at 31 August 2023

Note
Fixed assets
Tangible assets
13
Investments
14
Current assets
Debtors
15
Cash at bank and in hand
Creditors: amounts falling due within one
year
16
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after more
than one year
17
Net assets excluding pension liability
Defined benefit pension scheme liability
23
Total net assets
Charity funds
Restricted funds
18
Designated funds
18
Unrestricted funds
18
Total funds		 34,334
547,220
581,554
(509,826)		 2023
£
6,083,236
1,289,834
7,373,070
71,728
7,444,798
(181,500)
7,263,298
(34,067)
7,229,231
12,236
6,240,128
976,867
7,229,231		 40,870
562,842
603,712
(399,401)		 2022
£
6,036,224
995,784
7,032,008
204,311
7,236,319
(155,500)
7,080,819
(38,257)
7,042,562
29,771
6,193,097
819,694
7,042,562

Page 21

St. Margarets School {Hampslead} Limited IA Company Limited by Guarantee) Registered number: 00537118 Balance Sheet Icontinuedl A5 at 31 August 2023 The entity was entitled lo exemption from audtt under section 477 of the Companies Act 2006. The members have not required the enlty to obtain an audit for Ihe year in question in accordance with section 476 of the COmpan￿S Act 2006. However. an audrt is required in accudance wilh section 144 of the Charities Act 2011. The Govemors acknowledge their reS[￿lS1b¢lltles for ￿mP￿ing the requirements of the Ael with respect lo accounting records and preparation of financial ststements. The financial statements have been prepared in accordance wrth the provisions applirable lo enti￿S subject to the small c￿bpanieS regime. The financial statements were approved and authorised for issue by the Govemors and signed on their behalf by- Mrs E Brettle Chair of Govemor5 Date.. 13 March 2024 The notes on pages 24 10 42 fom part of these financial sialements. Page 22

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Statement of Cash Flows For the Year Ended 31 August 2023

Cash flows from operating activities
Net cash used in operating activities
Cash flows from investing activities
Dividends, interests and rents from investments
Purchase of tangible fixed assets
Proceeds from sale of investments
Purchase of investments
Net cash used in investing activities
Cash flows from financing activities
Repayments of borrowing
Net cash provided by/(used in) financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
The notes on pages 24 to 42 form part of these financial statements		 2023
£
458,316
21,963
(191,300)
192,696
(497,297)
(473,938)
-
-
(15,622)
562,842
547,220		 2022
£
495,615
14,708
(49,665)
19,903
(20,616)
(35,670)
(397,061)
(397,061)
62,884
499,958
562,842

Page 23

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

1. General information

St. Margarets School (Hampstead) Limited is a private company limited by guarantee incorporated in England. The registered office is 18 Kidderpore Gardens, Hampstead, London, NW3 7SR. The principal aims of the charitable company are shown in the Governors Report.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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 Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

St. Margarets School (Hampstead) Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The accounts are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £1.

The principal accounting policies adopted are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

2.2 Going concern

Having reviewed the resources and funding available to the school together with the expected ongoing demand for places and the school's projected cash flows, the Governors have a reasonable expectation that the School has adequate resources to continue its activities for the foreseeable future and consider that there are no material uncertainties over the school's financial viability. Thus the Governors continue to adopt the going concern basis of accounting in preparing the accounts.

2.3 Income

All income is recognised once the School has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Income arises in the United Kingdom from educational and allied activities and is accounted for in the year to which it relates. Tuition fees unpaid at the balance sheet date and relating to the period to that date are brought in as income with a provision created in respect of those for which recoverability is considered to be doubtful. Fees received in advance at the balance sheet date are included in creditors as deferred income.

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.

Investment income is recognised on a receivable basis.

Page 24

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

2. Accounting policies (continued)

2.4 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 on raising funds comprises costs incurred in managing the School's investment portfolio.

Expenditure on charitable activities is all expenditure incurred on the School's operations. In addition to direct costs, these include all support costs and costs relating to the governance of the School which it is considered appropriate to allocate in full to charitable activities.

All expenditure is inclusive of irrecoverable VAT.

2.5 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the School; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

2.6 Tangible fixed assets and depreciation

Tangible fixed assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the revaluation model, tangible fixed assets whose fair value can be measured reliably shall be carried at a revalued amount, being their fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

Revaluations are made with sufficient regularity to ensure that the carrying amount does not differ materially from that which would be determined using fair value at the end of the reporting date.

Fair values are determined from market-based evidence by appraisal undertaken by the School with reference to the most recent valuation performed for loan security purposes and land and property sales in the local property market. If there is no market-based evidence of fair value because of the specialised nature of the tangible fixed asset and it is rarely sold, except as part of a contributing business, a School may need to estimate fair value using an income or depreciated replacement cost approach.

Gains and losses on revaluation are recognised in the Statement of Financial Activities, with a separate revaluation reserve being shown in the Statement of funds note.

Land is not depreciated. Depreciation on other assets is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method from the date they are brought into use.

Depreciation is provided on the following bases:

Freehold property - 2% on valuation Motor vehicles - 33 1/3% on cost Office equipment - 33 1/3% on cost

Page 25

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

2. Accounting policies (continued)

2.7 Investments

The School's portfolio is managed professionally by Canaccord Genuity Wealth Management, in accordance with the objective of providing a balance of capital growth and income. Investments are stated at market value.

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance Sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Statement of Financial Activities.

2.8 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

2.9 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

2.10 Liabilities and provisions

Liabilities and provisions are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the School anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of Financial Activities as a finance cost.

2.11 Financial instruments

The School only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

2.12 Operating leases

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight-line basis over the lease term.

Page 26

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

2. Accounting policies (continued)

2.13 Retirement benefits

The School operates a defined contribution pension scheme provided by the 'APTIS' Aviva Pension Trust for Independent Schools and the pension charge represents the amounts payable by the School to the fund in respect of the year.

The School is also a member of a multi-employer plan, ISPS. Where it is not possible for the School to obtain sufficient information to enable it to account for the plan as a defined benefit plan, it accounts for the plan as a defined contribution plan and the contributions are recognised in the period to which they relate. The ISPS is a funded scheme and the assets are held separately from those of the school in separate trustee administered funds. The trustee commissions an actuarial valuation of the scheme every three years using the prospective unit credit method. Where the actuarial valuation reveals a shortfall of assets compared to liabilities a provision for additional agreed contribution payments is also recognised in full.

2.14 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

2.15 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Governors in furtherance of the general objectives of the School and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Governors for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the School for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Investment income, gains and losses are allocated to the appropriate fund.

Page 27

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements

For the Year Ended 31 August 2023

3. Critical accounting estimates and areas of judgment

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions:

The School makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Defined benefit liability

The present value of the Independent Schools' Pension Scheme ('ISPS') defined benefit liability depends on a number of factors that are determined on an actuarial basis using a variety of assumptions. The assumptions used in determining the net cost (income) for pensions include the discount rate. Any changes in these assumptions will impact the carrying amount of the pension liability.

Valuation of land and buildings

The carrying value of the land and buildings depends on the market values of similar property in the local area and will fluctuate according to market conditions.

Critical areas of judgment:

Pupil deposits:

A deposit is collected in respect of each pupil joining the school. This may be used to cover outstanding fees and expenses on the departure of the pupil, or retained in lieu of fees if the required notice of withdrawal is not given. As pupils are expected to remain at the school for several years and departing pupils are replaced by new students the Governors consider it is appropriate to treat all deposits are repayable after more than one year.

Page 28

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

4. Income from donations and legacies

Unrestricted Total Total
funds funds funds
2023 2023 2022
£ £ £
Donations 2,764 2,764 670

During the current and prior year, the School received unrestricted donations of deposits from ex-pupils.

5. Income from charitable activities

Unrestricted
funds
2023
£
Tuition fees and school activities
3,064,878
-
Bursaries, scholarships and discounts
(186,337)
Net fee income
2,878,541		 Restricted
funds
2023
£
-
-
(17,535)
(17,535)		 Total
funds
2023
£
3,064,878
-
(203,872)
2,861,006

During the year the School received income in relation to Autumn 2023 fees. These have been included in deferred income (see note 16).

Tuition fees and school activities
Bursaries, scholarships and discounts
Net fee income		 Unrestricted
funds
2022
£
2,845,790
(175,634)
2,670,156		 Restricted
funds
2022
£
-
123
123		 Total
funds
2022
£
2,845,790
(175,511)
2,670,279

Page 29

St. Margarets School (Hampstead) Limited (A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

6. Trading activities

Income from non charitable trading activities

Unrestricted Total Total
funds funds funds
2023 2023 2022
£ £ £
Other fees and hire income 45,395 45,395 41,138

All income from other trading activites in 2023 and 2022 was unrestricted.

7. Investment income

Unrestricted
funds
2023
£
Income from listed investments
14,843
Interest receivable
5,068
19,911
Unrestricted
funds
2022
£
Income from local listed investments
11,375
Interest receivable
1,208
12,583		 Designated
funds
2023
£
2,052
-
2,052
Designated
funds
2022
£
2,125
-
2,125		 Total
funds
2023
£
16,895
5,068
21,963
Total
funds
2022
£
13,500
1,208
14,708

8. Investment management costs

Unrestricted Designated Total
funds funds funds
2023 2023 2023
£ £ £
Investment management fees 10,167 1,408 11,575

Page 30

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

8. Investment management costs (continued)

Investment management fees
Analysis of expenditure by activities
Tuition fees and school activities
Tuition fees and school activities		 Unrestricted
funds
2022
£
10,774
Activities
undertaken
directly
2023
£
2,317,783
Activities
undertaken
directly
2022
£
2,119,036		 Designated
funds
2022
£
2,013
Support
costs
2023
£
404,550
Support
costs
2022
£
309,853		 Total
funds
2022
£
12,787
Total
funds
2023
£
2,722,333
Total
funds
2022
£
2,428,889

9. Analysis of expenditure by activities

All expenditure on charitable activities in 2023 and 2022 was from unrestricted funds.

Page 31

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

9. Analysis of expenditure by activities (continued)

Analysis of direct costs

Staff costs
Depreciation
Food and catering
Sport, music and art
Other direct expenditure		 Total
funds
2023
£
1,804,418
144,288
136,945
76,615
155,517
2,317,783		 Total
funds
2022
£
1,677,922
153,179
117,309
71,632
98,994
2,119,036

Analysis of support costs

Wages and salaries
Premises and equipment
Other costs
Governance costs		 Tuition fees
and school
activities
2023
£
65,583
166,133
147,356
25,478
404,550		 Total
funds
2023
£
65,583
166,133
147,356
25,478
404,550		 Total
funds
2022
£
53,134
123,233
114,601
18,885
309,853

10. Auditors' remuneration

2023 2022
£ £
Fees payable to the School's auditor for the audit of the School's annual
accounts 12,600 11,556

Page 32

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

11. Staff costs

Wages and salaries
Social security costs
Pension scheme costs		 2023
£
1,522,426
168,608
178,967
1,870,001		 2022
£
1,396,521
157,276
177,259
1,731,056

The average number of persons employed by the School during the year was as follows:

Teachers
Office and domestics		 2023
No.
26
14
40		 2022
No.
24
14
38

The average headcount expressed as full-time equivalents was:

Teachers
Office and domestics		 2023
No.
20.8
11.2
32.0		 2022
No.
20.6
12.1
32.7

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

2023 2022
No. No.
In the band £60,001 - £70,000 2 1
In the band £70,001 - £80,000 2 1
In the band £80,001 - £90,000 1 1

The total remuneration paid during the year to the five members of the senior management team, which includes the Principal, Deputy Head, the Director of Studies, Director of IT and the Bursar, was £490,067 (2022: £458,545).

12. Governors' remuneration and expenses

During the year, no Governors received any remuneration or other benefits (2022 - £NIL).

Page 33

St. Margarets School (Hampstead) Limited (A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

12. Governors' remuneration and expenses (continued)

During the year ended 31 August 2023, expenses totalling £286 were reimbursed or paid directly to 2 Governors (2022 - £Nil). The expenses were in relation to parking permits, that had been paid directly by the Governors.

13. Tangible fixed assets

Cost or valuation
At 1 September 2022
Additions
At 31 August 2023
Depreciation
At 1 September 2022
Charge for the year
At 31 August 2023
Net book value
At 31 August 2023
At 31 August 2022		 Freehold
property
£
6,179,556
-
6,179,556
158,643
53,142
211,785
5,967,771
6,020,913		 Motor
vehicles
£
-
67,688
67,688
-
9,392
9,392
58,296
-		 Office
equipment
£
778,703
123,612
902,315
763,392
81,754
845,146
57,169
15,311		 Total
£
6,958,259
191,300
7,149,559
922,035
144,288
1,066,323
6,083,236
6,036,224

On 1 September 2019, the freehold land and buildings were revalued by the Trustees.

The carrying amount under the cost model for the assets which have been revalued would have been £1,881,116 (2022 - £1,919,839).

Page 34

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

14. Fixed asset investments

Valuation
At 1 September 2022
Additions
Disposals
Revaluations
Transfers between classes
At 31 August 2023
Net book value
At 31 August 2023
At 31 August 2022		 Listed
investments
£
932,474
497,297
(192,696)
(10,551)
33,975
1,260,499
1,260,499
932,474		 Cash held
for
investment
£
63,310
-
-
-
(33,975)
29,335
29,335
63,310		 Total
£
995,784
497,297
(192,696)
(10,551)
-
1,289,834
1,289,834
995,784

Material investments

Those investments making up more than 5% of the total market value of the portfolio in the current or prior year were:

UK Government Gilts 0.25% Jan 2025
UK Government Gilts 0.625% June 2025
UK Government Gilts 1% April 2024
Schroder Asian Total RTN INV CO PLC ORD GDP
Fundsmith LLP Equity INC NAV		 2023
£
74,972
70,738
73,361
47,000
41,776
307,847		 2022
£
-
-
-
50,173
59,028
109,201

Investments at market value comprise:

Total
UK Overseas funds
2023 2023 2023
£ £ £
Listed investments 718,933 570,901 1,289,834

Page 35

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

UK
2022
£
Listed investments
272,594
15.
Debtors
Due within one year
Trade debtors
Other debtors
Prepayments and accrued income
16.
Creditors: Amounts falling due within one year
Trade creditors
Other creditors
Accruals and deferred income
Deferred income represents tuition fees received in advance as follows:
Deferred income at 1 September 2022
Resources deferred during the year
Amounts released from previous periods
Deferred income at 31 August 2023
17.
Creditors: Amounts falling due after more than one year
Other creditors		 Overseas
2022
£
659,880
2023
£
19,746
1,183
13,405
34,334
2023
£
27,476
40,908
441,442
509,826
2023
£
181,500		 Total
funds
2022
£
932,474
2022
£
17,900
5,239
17,731
40,870
2022
£
2,771
37,752
358,878
399,401
2023
£
343,562
425,750
(343,562)
425,750
2022
£
155,500

Page 36

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

18. Statement of funds

Statement of funds - current year

Unrestricted
funds
General Fund
Restricted
funds
Salti Bursary
Designated
funds
Morton
Scholarship
Fund
Fixed Asset
Reserve
Revaluation
Reserve
Total of funds		 Balance at 1
September
2022
£
819,694
29,771
156,873
1,772,450
4,263,774
6,193,097
7,042,562		 Income
£
2,946,611
(17,535)
2,052
-
-
2,052
2,931,128		 Expenditure
£
(2,732,500)
-
(1,408)
-
-
(1,408)
(2,733,908)		 Transfers
in/out
£
(46,387)
-
(625)
108,666
(61,654)
46,387
-		 Gains/
(Losses)
£
(10,551)
-
-
-
-
-
(10,551)		 Balance at
31 August
2023
£
976,867
12,236
156,892
1,881,116
4,202,120
6,240,128
7,229,231

Restricted funds

The Salti Bursary was established to provide a scholarship to a single student to ensure the highest probability of their success for their full education at the school.

Designated funds

The Morton scholarship fund was established to reflect the wishes of a donor that some of her donation be used to provide scholarships and bursaries to future pupils. The school board has agreed that any increase of the fund over the value of £156,892 will be transferred to the unrestricted funds to assist the cost of the Morton bursaries.

The Fixed Asset Reserve was established in accordance with Charity Commission guidance to separately identify the value of the fixed assets held by the school. Transfers represent net movements on fixed assets in the year.

The Revaluation Reserve represents the movements in fair value of the property held by the School. Transfers represent depreciation and revaluations movements on the valuation of land and property held by the school.

Page 37

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

18. Statement of funds (continued)

Statement of funds - prior year

Unrestricted
funds
General Fund
Restricted
funds
Salti Bursary
Designated
funds
Morton
Scholarship
Fund
Fixed Asset
Reserve
Revaluation
Reserve
Total of funds		 Balance at
1 September
2021
£
564,484
29,648
156,761
1,875,965
4,263,774
6,296,500
6,890,632		 Income
£
2,724,547
123
2,125
-
-
2,125
2,726,795		 Expenditure
£
(2,439,663)
-
(2,013)
-
-
(2,013)
(2,441,676)		 Transfers
in/out
£
103,515
-
-
(103,515)
-
(103,515)
-		 Gains/
(Losses)
£
(133,189)
-
-
-
-
-
(133,189)		 Balance at
31 August
2022
£
819,694
29,771
156,873
1,772,450
4,263,774
6,193,097
7,042,562

Page 38

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

19. Analysis of net assets between funds

Analysis of net assets between funds - current year

Unrestricted
funds
2023
£
Tangible fixed assets
-
Fixed asset investments
1,132,942
Current assets
569,318
Creditors due within one year
(509,826)
Creditors due in more than one year
(181,500)
Provisions for liabilities and charges
(34,067)
Total
976,867		 Designated
funds
2023
£
6,083,236
156,892
-
-
-
-
6,240,128		 Restricted
funds
2023
£
-
-
12,236
-
-
-
12,236		 Total
funds
2023
£
6,083,236
1,289,834
581,554
(509,826)
(181,500)
(34,067)
7,229,231

Analysis of net assets between funds - prior year

Tangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year
Creditors due in more than one year
Provisions for liabilities and charges
Total		 Unrestricted
funds
2022
£
-
838,911
573,941
(399,401)
(155,500)
(38,257)
819,694		 Designated
funds
2022
£
6,036,224
156,873
-
-
-
-
6,193,097		 Restricted
funds
2022
£
-
-
29,771
-
-
-
29,771		 Total
funds
2022
£
6,036,224
995,784
603,712
(399,401)
(155,500)
(38,257)
7,042,562

Page 39

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

20. Reconciliation of net movement in funds to net cash flow from operating activities

Net income for the year (as per Statement of Financial Activities)
Adjustments for:
Depreciation charges
Gains on investments
Dividends, interests and rents from investments
Decrease/(increase) in debtors
Increase in creditors
Increase/(decrease) in provisions
Net cash provided by operating activities
21.
Analysis of cash and cash equivalents
Cash in hand
Total cash and cash equivalents
22.
Analysis of changes in net debt
At 1
September
2022
£
Cash at bank and in hand
562,842
562,842		 2023
2022
£
£
186,669
151,930
144,288
153,180
10,551
133,189
(21,963)
(14,708)
6,536
(5,758)
136,425
59,327
(4,190)
18,455
458,316
495,615
2023
2022
£
£
547,220
562,842
547,220
562,842
Cash flows
At 31
August 2023
£
£
(15,622)
547,220
(15,622)
547,220

23. Pension commitments

The School's employees belong to two principal pension schemes: one for academic and related staff and one for non-teaching staff. Academic and related staff are now in the Aviva Pension Trust for Independent Schools (APTIS), a defined contribution scheme. Non-teaching staff are in the Independent Schools' Pension Scheme (ISPS), which is managed by TPT Retirement Solutions.

Page 40

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

23. Pension commitments (continued)

Aviva Pension Trust for Independent Schools (APTIS)

The pension charge for the year includes contributions payable to APTIS of £174,777 (2022: £162,223) and at the year-end £Nil (2022 - £Nil) was accrued in respect of contributions to this scheme.

TPT Retirement Solutions - Independent Schools' Pension Scheme (the scheme)

The School participates in the scheme, a multi-employer scheme which provides benefits to some 61 nonassociated employers. ISPS is a contracted-out of the State scheme. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore it accounts for the scheme as a defined contribution scheme.

The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK.

The scheme is classified as a 'last-man standing arrangement'. Therefore the company is potentially liable for other participating employers' obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme.

The last full actuarial valuation for the scheme was carried out with an effective date of 30 September 2020. This actuarial valuation was certified on 22 December 2021 and showed assets of £201.1m, liabilities of £256.3m and a deficit of £55.2m. To eliminate this funding shortfall, the trustees and the participating employers have agreed that additional contributions will be paid, in combination from all employers, to the scheme from 1 September 2022 to 30 June 2032 in the sum of £2,687,000 pa (payable monthly and increasing by 3% on each 1st September). The recovery plan contributions are allocated to each participating employer in line with their estimated share of the scheme liabilities.

During the year, the School was required to contribute deficit payments of £4,190 (2022: £2,424). Until 30 June 2032 the School is required to contribute £4,190 pa (payable monthly and increasing by 3% on each 1st September).

In accordance with FRS 102, the School must recognise a liabililty measured at the present value of the contributions payable that arise from the deficit recovery agreement. The value of the provision recognised at 31 August 2022 is £34,067 (2022: £38,257).

Page 41

St. Margarets School (Hampstead) Limited

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 August 2023

24. Operating lease commitments

At 31 August 2023 the School had commitments to make future minimum lease payments under noncancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years		 2023
£
-
-
-		 2022
£
7,673
14,068
21,741

Lease payments recognised as an expense in the year were £5,340 (2022: £7,673)

25. Members' liability

The school is a charitable company limited by guarantee. The members of the charitable company are the Governors names on page 1. Each member of the charitable company undertakes to contribute to the assets of the company in the event of it being wound up while he/she is a member, or within one year after he/she ceases to be a member, such amount as may be required, not exceeding £1 for the debts and liabilities contracted before he/she ceases to be a member.

26. Related party transactions

Dr A Wayne, a governor, was paid the sum of £440 (2022: £360) for providing staff flu vaccinations. There was no balance outstanding at the end of the current or prior year.

Mrs M Wayne, a governor, was paid a sum of £425 (2022: £354) for invigilation services. There was no balance outstanding at the end of the current or prior year.

Page 42