OpenCharities

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

2020-07-31-accounts

Whitelands College

Annual Report and Accounts

31 July 2020

Charity Registration Number 312937

Contents

Reports

Reports
Reference and administrative details
of the charity 1
Report of the Governing Body 3
Independent auditor’s report 10
Accounts
Statement of financial activities 13
Balance sheet 14
Statement of cash flows 15
Principal accounting policies 17
Notes to the accounts 21

Whitelands College

Reference and administrative details of the charity

The College Trustee Whitelands College Foundation (The)
Governing Body of Whitelands College Cn P Bruinvels (until 14 November 2019)
(Governing Body and directors of The Dr P Chadwick (from 3 December 2019)
Whitelands College Foundation, the College Dr Ioannis Fronimos (from 15 June 2020)
Trustee) Rev Dr M Garner (until 1 July 2020)
Mr C Hughes (from 14 November 2019)
Dr J Isserow (until 8 June 2020)
The Ven J Kiddle (until 14 November 2019)
Dr D Muir (from 1 September 2020)
Ms J Munro
Mr B Newey (until 1 July 2020)
Ms K Nguyen (until 1 July 2020)
Rev Dr M Parsons (from 12 December 2019)
Mr C Powell (until 31 December 2020)
Dr C Ross
Mrs S Williams (until 29 September 2020)
Ms P Davies (until 7 December 2019)
Mr M Ellul (until 31 July 2020)
Dr G Turner (from 1 August 2020)
Rev J Rey (from 29 September 2020)
Ms E Spooner (from 1 August 2020)
Mr MLA Cooper (from 4 January 2021)
Ms L Jackson (from 30 November 2020)
Chief Executive Officer Dr M Garner (until 1 July 2020)
Dr D Muir (from 1 September 2020)
Principal address Parkstead House
Holybourne Avenue
London
SW15 4JD
Charity registration number 312937
Auditor Buzzacott LLP
130 Wood Street
London
EC2V 6DL

Whitelands College 1

Reference and administrative details of the charity

Bankers Allied Irish Bank plc
10 Berkeley Square
London
W1J 6AA
Investment managers CCLA Investment Management Limited
Senator House
85 Queen Victoria Street
London
EC4V 4ET
Solicitors RadcliffesLeBrasseur
5 Great College Street
Westminster
London
SW1P 3SJ

Whitelands College 2

Report of the Governing Body Year to 31 July 2020

The Governors of Whitelands College, who are the directors of the Corporate Trustee, Whitelands College Foundation, herein after referred to as the College Trustee, present their statutory report together with the accounts of Whitelands College (The College) for the year ended 31 July 2020.

Whitelands College Foundation, The College Trustee, is a company limited by guarantee and incorporated in England and Wales (registered number 00964044) whose registered office is at Whitelands College.

The accounts have been prepared in accordance with the accounting policies set out on pages 17 to 20 of the attached accounts and comply with the charity’s trust deed, applicable laws and the requirements of 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 United Kingdom and Republic of Ireland (FRS 102).

Structure, governance and management

Governance and organisation

The College was founded by a Lease dated 20 July 1849 and is now governed by a Charity Commission Scheme made on 5 October 1978 as varied: by an order of the Charity Commission made on 15 March 2004; by resolutions of the College Trustee dated 9 March 2020; and by a scheme of the Charity Commission dated 5 January 2021 (the "Governing Document"). Under the Governing Document, the College Trustee is appointed Charity Trustee of the College. Revised Articles of Association were adopted by Whitelands Foundation (The) (the College Trustee) by special resolution in November 2019.

Whitelands College is a registered charity (Charity Registration Number 312937) and is affiliated to Roehampton University, (the University) under a Deed of Adherence. The latest Deed of Adherence is dated 26 November 2012.

Whitelands College Foundation (The) manages the affairs of Whitelands College by appointing individuals, collectively called the Governing Body, to act on its behalf.

Whitelands College 3

Report of the Governing Body Year to 31 July 2020

Structure, governance and management (continued)

Directors (Governors) of the Corporate Trustee

The Governors of the Corporate Trustee during the year ended 31 July 2020 were as follows:

The Governing Body

Cn P Bruinvels (until 14 November 2019) Dr P Chadwick (from 3 December 2019) Dr Ioannis Fronimos (from 15 June 2020) Rev Dr M Garner (until 1 July 2020) Mr C Hughes (from 14 November 2019) Dr J Isserow (until 8 June 2020) The Ven J Kiddle (until 14 November 2019) Ms J Munro Mr B Newey (Treasurer until 1 July 2020) Ms K Nguyen (until 1 July 2020) Rev Dr M Parsons (from 12 December 2019) Mr C Powell (until 31 December 2020) Dr C Ross Mrs S Williams (until 29 September 2020) Ms P Davies (until 7 December 2019) Mr M Ellul (until 31 July 2020)

Post year-end appointees to the Governing Body

Dr G Turner (Secretary from 1 August 2020) Dr D Muir (from 1 September 2020) Rev J Rey (from 29 September 2020) Ms E Spooner (from 1 August 2020) Mr MLA Cooper (from 4 January 2021) Ms L Jackson (from 30 November 2020)

Governance

The Governing Body is responsible for ensuring the effective management of Whitelands College to achieve and develop its strategic objectives and for planning its future.

The Governors are nominated as set out in the Articles of Association and initially appointed for a term of three years. A retiring Governor is eligible for re-nomination. No Governor may serve more than three terms.

Whitelands College 4

Report of the Governing Body Year to 31 July 2020

Governance (continued)

Apart from its statutory responsibilities as described below, its primary responsibilities include the following:

The Governing Body is also required to nominate two individuals to serve as directors on the University Council. All nominees are given information on the College’s constitution and upto-date information regarding its performance and financial status, and are inducted by the Chair of Governing Body and the Head of College.

Statement of responsibilities of the Governors

The Governors (who are the directors of the College Trustee and act as the trustees of the charity under the Charities Act) are responsible for preparing the Annual Report and accounts in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice.

The law applicable to charities in England and Wales requires the Governors to prepare accounts for each financial year which give a true and fair view of the state of affairs of the charity and of the income and expenditure for that period. In preparing these accounts, the Governors are required to:

Whitelands College 5

Report of the Governing Body Year to 31 July 2020

Governance (continued)

Statement of responsibilities of the Governors (continued)

The Governors are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the accounts comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Key management personnel

The Governors consider that they comprise the key management of the College in charge of directing and controlling, running and operating the College. Rev Dr M Garner, was a member of the Governing Body, the director of the Corporate Trustee and responsible for the day-today operations of the College until 1 July 2020. Dr David Muir was appointed to replace Rev Dr M Garner as the Interim Head of College..

None of the Governors of Whitelands College Foundation, the College Trustee, received any remuneration or reimbursed expenses in respect of their services from the Whitelands College during the year (2019 - none).

Risk management

A framework to manage strategic risks is in place, which categorises risks as high, medium or low level covering the likelihood and impact of each identified risk. The Governing Body has assessed the major risks to which the College is exposed, in particular those relating to the specific operational areas of the College, its properties, its investments, its loan covenants and finances generally.

Under the licence and management agreement with the University, the University is required to manage the risk of damage to the property and or assets and the risk of breaching the loan covenants. The Governing Body receives confirmation from the University that it has an appropriate risk register and systems in place to ensure that risks are managed, and these are reviewed each year by the audit committee and the loan covenant is reviewed at each meeting of the College Trustee to ensure that there is no breach of the conditions attaching to the loans.

Whitelands College 6

Report of the Governing Body Year to 31 July 2020

Governance (continued)

Risk management (continued)

The Governing Body believes that by monitoring reserve levels, by ensuring controls exist over key financial systems, and by examining the operational and business risks faced by the College, they have established effective systems to mitigate those risks.

Public benefit

The Governors confirm that they have referred to the guidance issued by the Charity Commission on public benefit when reviewing the aims and objectives of the College and planning future activities.

Objectives

The object of the College is the provision, conduct and development of a college for higher and further education of men and women, including, in particular but without prejudice, the training of persons intending to become teachers. The College continues to fulfil its charitable objects.

The Mission Statement of Whitelands College Foundation, the Corporate Trustee, states:

Whitelands College Foundation is an Anglican Foundation with a long tradition and is an integral part of the Roehampton University. It thus offers a distinctive experience of higher education to a wide range of people pursuing academic excellence in a community where justice and the values of respect, caring, service, openness and personal integrity are firmly upheld.

Activities

The main activity of the College since 2012 is the ownership of the land and buildings which are occupied by a constituted college of Roehampton University under a licence to occupy. The University continues to train men and women for the teaching profession and for a range of degree courses validated by Roehampton University. The College fulfils its charitable objects through such an occupation.

The Charity Commission Scheme of 5 October 1978 allows sums of cash belonging to Whitelands College and not needed for immediate working purposes to be invested at any time in the name of Whitelands College Foundation unless the Charities Commissioners otherwise direct. However, it is the current intention that Whitelands College Foundation acts purely as the College Trustee of the College.

Investment policy

The charity has a portfolio of investments including cash held by the investment managers of £784,630 (2019 - £770,246). Further details are provided in note 10 to the accounts.

There are no restrictions on the College’s power to invest. The investment strategy is set by the Governing Body and takes into account income requirements and the risk profile. The overall investment policy is to place investments in funds holding a mixed portfolio that have objectives consistent with the Governing Body’s expectations.

Whitelands College 7

Report of the Governing Body Year to 31 July 2020

Investment policy (continued)

The Governing Body regularly reviews the investment strategy and the performance of the portfolio which achieved a total return of 3.2% on the CBF Church of England Funds and cash balances. The Governing Body is satisfied that their investment policy is being achieved in the longer-term.

Financial review

Financial position and performance

These accounts show the financial position and performance of Whitelands College. Whitelands College has ended the year with net movement in funds, after investment gains of £84,985 (2019 – £86,691).

Income for the year totalled £681,399 (2019 - £681,853) and included £667,000 (2019 - £667,000) from the Roehampton University as an annual payment for occupation of premises and interest earned on investments and cash balances of £14,399 (2019 - £14,853).

Expenditure for the year totalled £600,244 (2019 - £614,782).

Tangible fixed assets at the year end totalled £15,685,656 (2019 - £16,030,556) and heritage assets totalled £1,650,000 (2019 - £1,650,000). The fixed asset investments amounted to £784,630 (2019 - £770,246) and include investments with the Central Board of Finance of the Church of England (CBF) purchased several years ago for £30,000 which had a market value at 31 July 2020 of £232,848 (2019 - £229,018) and cash balances of £551,781(2019 - £541,228).

Reserves Policy and Funds

Reserves policy

The Governing Body’s’ policy is to retain sufficient funds to ensure that the charity’s undertaking to Allied Irish Bank plc in relation to its loan facilities are not breached. In addition, the Governing Body considers that it is prudent to retain sufficient liquid resources to service the charity’s obligations under the loan agreement for one year at £545,000 and also to retain approximately £700,000 to meet any capital investments. This gives a requirement to hold total funds of approximately £15.2 million.

Funds

Total funds at 31 July 2020 amounted to £15,223,992 (2019 - £15,139,007) and include a tangible fixed assets fund of £11,184,178 (2019 - £11,234,827) and designated funds amounting to £1,665,824 (2019 - £1,665,824). The designated funds are represented by a relocation fund and a heritage asset fund and are detailed in note 17. The tangible fixed asset fund represents the net book value of tangible fixed assets used in the day to day work of the College less the bank loans. The College Trustee has designated these funds as they are not available for working capital.

Whitelands College 8

Report of the Governing Body Year to 31 July 2020

Reserves Policy and Funds (continued)

Funds (continued)

At 31 July 2020, the balance on General fund (free reserves) was £2,373,990 (2019 - £2,238,356). In the opinion of the trustees, these are sufficient to cover any contingencies.

The loan covenants with Allied Irish Bank requires total funds amount to a minimum of £14,000,000 and the ratio of gross cash flow from operating activities to debt service costs is at 1.2:1 or above. Both covenants have been met in the financial year 31 July 2020.

The Governing Body confirms that the funds are held in accordance with the reserves policy and that the funds available to the charity are adequate and not excessive.

Fundraising policy

The College aims to achieve best practice in the way in which it communicates with donors and other supporters. It takes care with both the tone of its communications and the accuracy of its data to minimise the pressures on supporters. It applies best practice to protect supporters’ data and never sells data, it never swaps data and ensures that communication preferences can be changed at any time. The College manages its own fundraising activities and does not employ the services of professional fundraisers. The charity undertakes to react to and investigate any complaints regarding its fundraising activities and to learn from them and improve its service. During the year, the College did not carry on any fundraising activities and received no complaints about its fundraising activities.

Plans for future periods

The College plans to continue to provide the College premises for occupation by Roehampton University and to service the bank loans in accordance with the terms agreed with the bank.

Approved by the Governors and signed on their behalf by:

Director of the Whitelands College Foundation (The) and the Trustee of the Whitelands College.

Approved by the Governing Body on: 28-1-2021

Whitelands College 9

Independent auditor’s report Year to 31 July 2020

Independent auditor’s report to the Governors of the College Trustee of Whitelands College (the charity)

Opinion

We have audited the accounts of Whitelands College (the ‘charity’) for the year ended 31 July 2020 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the accounts, 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 accounts:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor’s responsibilities for the audit of the accounts section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the accounts in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

Whitelands College 10

Independent auditor’s report Year to 31 July 2020

Other information

The Governors are responsible for the other information. The other information comprises the information included in the annual report and accounts, other than the accounts and our auditor’s report thereon. Our opinion on the accounts does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the accounts, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the accounts or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the accounts or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:

Responsibilities of the Governors

As explained more fully in the statement of responsibilities of the Governors, the Governors (who are the Governors of the College Trustee) are responsible for the preparation of the accounts and for being satisfied that they give a true and fair view, and for such internal control as the Governing Body determines is necessary to enable the preparation of accounts that are free from material misstatement, whether due to fraud or error.

In preparing the accounts, the Governors are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Governing Body and the College Trustee either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Whitelands College 11

Independent auditor’s report Year to 31 July 2020

Auditor’s responsibilities for the audit of the accounts

Our objectives are to obtain reasonable assurance about whether the accounts as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these accounts.

A further description of our responsibilities for the audit of the accounts is located on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the Governors of the College Trustee, as a body, in accordance with section 144 of the Charities Act 2011 and with regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the Governing Body and directors of the College Trustee those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the Governing Body and directors of the College Trustee as a body, for our audit work, for this report, or for the opinions we have formed.

Buzzacott LLP Statutory Auditor 130 Wood Street London EC2V 6DL 28 January 2021

Buzzacott LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

Whitelands College 12

Balance sheet 31 July 2020

Notes General
fund
£		 Designated
and tangible
fixed assets
funds
£		 Total
2020
£		 General
fund
£
Designated
and tangible
fixed assets
funds
£
Total
2019
£
Income from:
Charitable activities
1
Investment income and
interest receivable
2
Total income
Expenditure on:
Charitable activities
3
Net income before transfers
Transfers between funds
16
Net income / (expenditure)
before investment and
revaluation gains
Unrealised gains:
on investment assets
10
Net income / (expenditure)
and net movement in funds
5
Reconciliation of funds:
Fund balances brought
forward at 1 August 2019
Fund balances carried
forward at 31 July 2020		 667,000
14,399		 —
—		 667,000
14,399		 667,000
—
667,000
14,853
—
14,853
681,399
600,244		 —
—		 681,399
600,244		 681,853
—
681,853
614,782
—
614,782
81,155
50,649		 —
(50,649)		 81,155
—		 67,071
—
67,071
64,427
(64,427)
—
131,804
3,830		 (50,649)
—		 81,155
3,830		 131,498
(64,427)
67,071
19,620
—
19,620
135,634
2,238,356		 (50,649)
12,900,651		 84,985
15,139,007		 151,118
(64,427)
86,691
2,087,238
12,965,078
15,052,316
2,373,990 12,850,002 15,223,992 2,238,356
12,900,651
15,139,007

All recognised gains and losses are included in the above statement of financial activities.

All of the charity’s activities derived from continuing operations during the above two financial periods

Whitelands College 13

Balance sheet 31 July 2020

Notes
2020
£		 2020
£		 2019
£		 2019
£
Fixed assets
Tangible assets
8
Heritage assets
9
Investments
10
Current assets
Debtors
11
Cash at bank and in hand
Liabilities
Creditors: amounts falling due
within one year
12
Net current assets
Total assets less current
liabilities
Creditors:amounts falling due
after one year
13
Total net assets
Represented by:
Funds and reserves
Income funds
Unrestricted funds
. Designated funds
17
.. Heritage assets fund
.. Relocation fund
. Tangible fixed assets fund
16
. General funds
15
Total funds



55,600
1,582,236		 15,685,656
1,650,000
784,630		 __
1,511,955		 16,030,556
1,650,000
770,246
18,120,286
1,293,045		 18,450,802
1,189,468
1,637,836

(344,791)		 1,511,955
(322,487)



19,413,331
(4,189,339)		 19,640,270
(4,501,263)
15,223,992 15,139,007
1,650,000
15,824		 1,650,000
15,824
1,665,824
11,184,178		 1,665,824
11,234,827
12,850,002
2,373,990		 12,900,651
2,238,356
15,223,992 15,139,007

Approved by the Governing Body and directors of the College Trustee and signed on their behalf by:

Director of the Whitelands College Foundation (The), the College Trustee

Approved on: 28-1-2021

Whitelands College 14

Statement of cash flows Year to 31 July 2020

A
B		 Notes
2020
£		 2019
£
Cash flows from operating activities:
Net cash provided by operating activities
A
Cash flows from investing activities:
Investment income
Net cash provided by investing activities
Cash outflow from financing activities:
Repayments of borrowing
Net cash used in financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at 1 August 2019
B
Cash and cash equivalents at 31 July 2020
B		 424,136

360,686
14,399 14,853
14,399 14,853
**(294,250) ** (280,474)
**(294,250) ** (280,474)
80,835

2,053,183		 158,515
1,894,668

2,134,018		 2,053,183
Net movement in funds (as per the statement of financial activities)
Adjustments for:
Depreciation charge
Gains on investments
Investment income
Decrease / (increase) in debtors
(Decrease) / increase in creditors
Net cashprovided by operating activities
84,985
344,900
(3,830)
(14,399)
(55,600)
4,630		 86,691
344,900
(19,620)
(14,853)
35,200
(8,182)
360,686 424,136
Analysis of cash and cash equivalents 2020
£		 2019
£
Cash at bank and in hand
Cash held by investment managers
Total cash and cash equivalents		 1,582,236
551,782		 1,511,955
541,228
2,134,018 2,053,183

Whitelands College 15

Statement of cash flows Year to 31 July 2020

C Net debt reconciliation

Cash at bank and in hand
Cash held by investment managers
Loans falling due within one year
Loans falling due after more than one year
Total		 At 1 Aug
2019
£		 Cash flow
Movement
£		 At 31 July
2020
£
1,511,955
541,228		 70,281
10,554		 1,582,236
551,782
2,053,183
80,835
2,134,018
(294,465)
(4,501,263)		 (17,674)
311,924		 (312,139)
(4,189,339)
(4,795,728)
294,250
(4,501,478)
(2,742,545)
375,085
(2,367,460)

Whitelands College 16

Principal accounting policies 31 July 2020

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the accounts are laid out below.

Basis of accounting

These accounts have been prepared for the year to 31 July 2020 with comparative information provided for the year to 31 July 2019.

The accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policies below or the notes to these accounts.

The accounts have been prepared in accordance with 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 United Kingdom and Republic of Ireland (Charities SORP FRS 102) issued on 16 July 2014, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The College constitutes a public benefit entity as defined by FRS 102.

The accounts are presented in sterling and are rounded to the nearest pound.

Critical accounting estimates and areas of judgement

The items in the accounts where a judgement and estimate have been made are in estimating the useful economic life of tangible fixed assets used to calculate the depreciation charge and the value of heritage assets included in the balance sheet.

Assessment of going concern

The Governors have assessed whether the use of the going concern assumption is appropriate in preparing these accounts. The Governors have made this assessment in respect to a period of one year from the date of approval of these accounts.

The Governors of the College have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the College to continue as a going concern. The Governors are of the opinion that the College will have sufficient resources to meet its liabilities as they fall due. The most significant areas of judgement that affect items in the accounts are the continued ability of the University to make the annual payment to the College and for the College to service the loan facility provided by Allied Irish Bank plc and meet the loan covenants.

As the annual payment payable by the university is based on the College’s estimated payments for the financial year, the risk of the College not being able to meet its liabilities as they fall due is reduced.

Whitelands College 17

Principal accounting policies 31 July 2020

Assessment of going concern (continued)

With regard to the next accounting period, the year ending 31 July 2020, no impact is expected as a result of Covid-19. Consideration for a rent holiday period for University of Roehampton was not pursued. The only other area that affects the carrying value of the assets held by the College is the level of investment return and the performance of the investment markets. The value of the investments held in unitised funds is not significant to the assessment of the financial viability of the College.

Income recognition

Income is recognised in the period in which the charity has entitlement to the income and the amount can be measured reliably and it is probable that the income will be received. Income is deferred only when the charity has to fulfil conditions before becoming entitled to it or where the donor or funder has specified that the income is to be expended in a future accounting period.

Income comprises an annual payment receivable from Roehampton University for occupation of the college premises, investment income from listed investments and interest receivable.

The annual payment is recognised in accordance with the licence and management agreement with Roehampton University and to the extent that it is probable that the economic benefits will flow to the College and the revenue can be measured reliably.

Income from listed investments is recognised once the dividend has been declared and notification has been received of the dividend due. Income from all investments is accounted for only when the receipt of such income is probable and the amount can be measured reliably.

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

Expenditure recognition

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to make a payment 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.

All expenditure is accounted for on an accruals basis and includes any attributable VAT which cannot be recovered.

Expenditure on charitable activities includes all costs associated with furthering the charitable purposes of the charity through the provision of College premises for educational use. Such costs include the costs of servicing the bank loans, the depreciation of the freehold and leasehold premises, governance costs and other costs.

Whitelands College 18

Principal accounting policies 31 July 2020

Tangible fixed assets

All assets costing more than £250 and with an expected useful life exceeding one year are capitalised.

Freehold properties used for the direct charitable work of the charity are included in these accounts at cost at the date of acquisition or construction together with the cost of additions and improvements to date.

Freehold buildings are depreciated from the date they are brought into use at a rate of 2% per annum on a straight line basis in order to write the buildings off over their estimated useful economic life to the charity.

Where tangible fixed assets are acquired with the aid of specific grants they are capitalised and depreciated as above.

An impairment review in respect to a particular class of asset is carried out if events, or changes in circumstances, indicate that the carrying amount of any tangible fixed asset may not be recoverable.

Heritage assets

Heritage assets have historic, artistic, scientific, technological, geophysical or environmental qualities and are held and maintained principally for its contribution to knowledge and culture.

The College holds artefacts which have been classified as heritage assets, and these have been recognised in the accounts at a professional valuation.

Listed investments

Listed investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price.

Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value at that date. Realised and unrealised investment gains (or losses) are combined in the statement of financial activities and are credited (or debited) in the year in which they arise).

Whitelands College 19

Principal accounting policies 31 July 2020

Debtors

Debtors are recognised at their settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the present value of the future cash receipt where such discounting is material.

Cash at bank and in hand

Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition.

Creditors and provisions

Creditors 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. Creditors and provisions are recognised at the amount the charity anticipates it will pay to settle the debt.

Fund accounting

The designated funds are monies set aside out of unrestricted funds and designated for specific purposes by Governors.

General funds represent those unrestricted monies which are freely available for application towards achieving any charitable purpose that falls within the charity’s charitable objects.

Both the general fund and designated funds are unrestricted.

Whitelands College 20

Notes to accounts 31 July 2020

1 Income from: charitable activities

Income from: charitable activities
2020
£		 2019
£
Annualpayment 667,000 667,000

The annual payment represents monies received from Roehampton University for occupation of the College premises.

Income from: investments and interest receivable
2020
£		 2019
£
Investment income – The CBF Church of England Funds
. Unitised income funds
. cash holdings
Bank interest		 7,950
2,603
3,846		 6,899
3,622
4,332
14,399 14,853

3 Expenditure on: charitable activities – provision of College premises for educational use

use
2020
£		 2019
£
Depreciation and amortisation of buildings
Loan interest
Legal and professional fees
Support costs
. Governance costs (note 4)
. Bank charges		 344,900
247,122
-		 344,900
262,311
(600)
592,022
7,900
322		 606,611
7,848
323
600,244 614,782
4 Governance costs 2020
£		 2019
£
Auditor’s fees(includingVAT) 7,900 7,848

5 Net income / (expenditure) and net movement in funds

This is stated after charging:

Net income / (expenditure) and net movement in funds
This is stated after charging:
2020
£		 2019
£
Depreciation and amortisation charges
Interest on bank loans
Auditor’s remuneration (including VAT)
. Audit services		 344,900
247,122
7,900		 344,900
262,311
7,848

Whitelands College 21

Notes to accounts 31 July 2020

6 Employees and key management personnel

The College employs no staff.

The Governors consider that they comprise the key management of the College in charge of directing and controlling, running and operating the College. Rev Dr M Garner was responsible for the day-to-day operations of the College.

None of the Governors of Whitelands College Foundation, the College Trustee, received any remuneration or reimbursed expenses in respect of their services during the year (2019 - none).

7 Taxation

Whitelands College is a registered charity and therefore is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities.

8 Tangible fixed assets

Tangiblefixed assets
Freehold
land and
buildings
£		 Leasehold
land and
buildings
£		 Total
£
Cost
At 1 August 2019 and at 31 July 2020
Depreciation, amortisation and impairment provision
At 1 August 2019
Charge for year
At 31 July 2020
Net book values
At 31 July 2020
At 31 July2019		 552,280 53,929,312 54,481,592
174,216
11,045		 38,276,820
333,855		 38,451,036
344,900
185,261 38,610,675 38,795,936
367,019 15,318,637 15,685,656
378,064 15,652,492 16,030,556

Leasehold land and building - Parkstead site

On 1 May 2005 the academic and residential leasehold sites were subject to a professional impairment review by DTZ Debenham Tie Leung International Property Advisers. As a result of the restrictions on the use of Parkstead House, a value of £20 million on a restricted lease basis was attributed to the property resulting in a fall in value of £33,225,519 which was charged to expenditure in 2005 and a further fall of £314,540 which was charged to expenditure in 2006.

Whitelands College 22

Notes to accounts 31 July 2020

9 Heritage assets

Reredos
£		 Stained
glass
windows
£		 Artefacts
£		 Total
£
Valuation at 31 July2020 200,000 950,000 500,000 1,650,000
Reredos
£		 Stained
glass
windows
£		 Artefacts
£		 Total
£
Valuation at 1 August 2019 and at 31 July
2019		 200,000 950,000 500,000 1,650,000

The College Property, known as Parkstead House, incorporates a number of Burne-Jones stained glass windows and the College also owns various rare artefacts which are acknowledged to be of historic importance and which are retained as part of the College’s heritage.

The windows and artefacts are deemed, therefore, to be heritage assets and have been included in the accounts at a valuation determined by the College Trustee, with professional assistance. Such assets are not depreciated. Their value and condition will be reviewed annually by the College Trustee who are satisfied that their residual value is not less than their book value.

10 Fixed asset investments

Fixed asset investments
2020
£		 2019
£
Listed Investments
Market value at 1 August 2019
Net unrealised investment gains
Market value at 31 July 2020
Cash held by investment managers
Cost of listed investments at 31 July2020		 229,018
3,830		 209,398
19,620
232,848
551,782		 229,018
541,228
784,630 770,246
30,490 30,490

All investments are held in UK unitised funds and are dealt in on a recognised stock exchange.

Listed investments comprise the following:

Market
value of
holding
£		 % of total
portfolio
%
The CBF Church of England Funds:
. Investment Fund – Income shares
. Fixed Interest Securities Fund – Income shares		 211,275
21,573		 91%
9%
232,848 100%

Whitelands College 23

Notes to accounts 31 July 2020

11 Debtors

Debtors
2020
£		 2019
£
Amounts due from Roehampton University 55,600 —

12 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
2020
£		 2019
£
Bank loans (note 14)
Accruals
Other creditors		 312,139
24,804
7,848		 294,465
28,022
-
344,791 322,487

13 Creditors: amounts falling due after more than one year

Creditors: amounts falling due after more than one year
2020
£		 2019
£
Bank loan(note 14) 4,189,339 4,501,263

14 Secured liabilities – bank loans

Secured liabilities – bank loans
2020
£		 2019
£
Amounts falling due as follows:
. Within one year
. Within 2-5 years
. After 5 years		 312,139 294,465
1,422,189
2,767,150		 1,345,490
3,155,773
4,189,339 4,501,263
4,501,478 4,795,728

The bank loans are secured by way of fixed charges on the residential land and buildings of the College. The balance of £4,501,478 (2019 – £4,795,728) includes three elements: two fixed interest elements of £3,038,350 (2019 – £3,234,061) and £1,184,236 (2019 – £1,259,382), repayable by quarterly instalments, on which interest is charged at 5.5374% and 5.6474% respectively; and one variable interest element of £278,892 (2019 – £302,285), also repayable by quarterly instalments, on which interest is charged at a 0.5% over LIBOR, plus Mandatory Liquid Assets costs.

Whitelands College 24

Notes to accounts 31 July 2020

15 Unrestricted funds

The unrestricted funds include the following:

At
1 August
2019
£		 Net
income
before
transfers
£		 Transfers
(note 16)
£		 Unrealised
gains and
losses
£
—
—
3,830
3,830		 At
31 July
2020
£
Designated funds (note 17)
Tangible fixed assets fund
(note 16)
General fund		 1,665,824
11,234,827
2,238,356		 —
—
81,155		 —
(50,649)
50,649		 1,665,824
11,184,178
2,373,990
15,139,007 81,155 — 15,223,992
At
1 August
2018
£		 Net
income
before
transfers
£		 Transfers
(note 16)
£		 Unrealised
gains and
losses
£
—
—
19,620
19,620
At
31 July
2019
£
Designated funds (note 17)
Tangible fixed assets fund
(note 16)
General fund		 1,665,824
11,299,254
2,087,238		 —
—
67,071		 —
(64,427)
64,427		 1,665,824
11,234,827
2,238,356
15,052,316 67,071 — 15,139,007

16 Tangible fixed assets fund


2020
£
11,234,827
(50,649)
11,184,178
2019
£
At 1 August 2019
Transfer (note 15)
At 31 July2020
At 1 August 2018
Transfer (note 15)
At 31 July 2019		 11,299,254
(64,427)
11,234,827

The tangible fixed assets fund represents the net book value of freehold and leasehold land and buildings less related loans. The transfer of funds represents the net movement in the year equating to the depreciation charge less the capital element of the loans repaid.

Whitelands College 25

Notes to accounts 31 July 2020

17 Designated fund

The unrestricted funds of the college include the following designated funds which have been set aside by the Governing Body for specific purposes.

At
1 August
2019
£		 Utilised/
released/
revaluation
£		 At
31 July
2020
£
Heritage asset fund
Relocation fund		 1,650,000
15,824		 —
—		 1,650,000
15,824
1,665,824 — 1,665,824
At
1 August
2018
£		 Utilised/
released
£		 At
31 July
2019
£
Heritage asset fund
Relocation fund		 1,650,000
15,824		 —
—		 1,650,000
15,824
1,665,824 — 1,665,824

Heritage asset fund

The heritage asset fund represents the net book value of heritage assets.

Relocation fund

The relocation fund arises from the sale of furniture at the West Hill site which the Governing Body has designated for the future enhancement of the Parkstead site.

Whitelands College 26

Notes to accounts 31 July 2020

18 Analysis of net assets between funds

Tangible
fixed assets
fund
£		 Designated
funds
£		 General
fund
£		 Total
£
Fund balances at 31 July 2020 are
represented by:
Tangible fixed assets
Heritage assets
Fixed asset investments
Current assets
Creditors falling due within one year
Creditors falling due after one year		 15,685,656
—
—
—
(312,139)
(4,189,339)		 —
1,650,000
—
15,824
—
—		 —
—
784,630
1,622,012
(32,652)
—		 15,685,656
1,650,000
784,630
1,637,836
(344,791)
(4,189,339)
11,184,178 1,665,824 2,373,990 15,223,992
Tangible
fixed assets
fund
£		 Designated
funds
£		 General
fund
£		 Total
£
Fund balances at 31 July 2019 are
represented by:
Tangible fixed assets
Heritage assets
Fixed asset investments
Current assets
Creditors falling due within one year
Creditors falling due after one year		 16,030,556
—
—
—
(294,465)
(4,501,263)		 —
1,650,000
—
15,824
—
—		 —
—
770,246
1,496,131
(28,022)
—		 16,030,556
1,650,000
770,246
1,511,955
(322,487)
(4,501,263)
11,234,828 1,665,824 2,238,355 15,139,007

The total unrealised gains as at 31 July 2020 constitutes movements on revaluation and are as follows:

as follows:
2020
£		 2019
£
Unrealised gains included above:
On investments
Total unrealised gains at 31 July 2020
Reconciliation of movements in unrealised gains
Unrealised gains at 1 August 2019
Add: net gains arising on revaluation arising in the year
Total unrealisedgains at 31 July 2020		 202,358 198,528
202,358 198,528
198,528
3,830		 178,908
19,620
202,350 198,528

19 Related party transactions

Whitelands College Foundation is the Corporate Trustee of Whitelands College.

The relationship between Whitelands College and Roehampton University, formerly the University of Surrey Roehampton, is a complex one involving financial transactions.

Details of transactions and balances with the University as at 31 July 2020 are given in the notes to these accounts specifically at notes 1 and 11 as required under FRS 102.

Whitelands College 27

Notes to accounts 31 July 2020

20 Contingent liability

In the event of closure or sale of certain properties owned by Whitelands College, in whole or in part, the College may become liable to repay a capital grant received from the Higher Education Funding Council in England via Roehampton University in the sum of £3 million which was received in 2004. Additionally, the College may be liable to repay a proportion of any surplus on the sale of land and buildings acquired with the aid of such grants. Because of this latter requirement, it is not possible to quantify the amount of the associated contingent liability.

Whitelands College 28