## 

## 

|CONTENTS|||Page|
|---|---|---|---|
|Reference and Administration||Details||
|Trustees'<br>Report|||2-7|
|Independent<br>Auditors'|Report||8-10|
|Statement ofFinancial|Activities|||
|Consolidated<br>Balance|Sheet||12|
|Charity Balance Sheet|||13|
|Statement ofCash Flows|||14-15|
|Notes to the Financial|Statements||16-31|





## 

## 

## 

## 

## 



## 

## 

## 

## 

## 

## 

## 



## 

## 

## 

## 

## 

## 



## 

## 



## 

## 

## 

## 

## 



## 

## 

## 

## 

## 

## 

## 




## 

## 



## 

## 

## 

## 

## 

## 

## 



## 

## 

## 

## 



## 

## 

## 



## 

## 

|||||Unrestricted|Unrestricted|funds|Restricted|Total|Total|
|---|---|---|---|---|---|---|---|---|---|
|||||General||Designated|funds|2021|2020|
||||Note|||||||
|INCOME FROM:||||||||||
|Charitable<br>activities:||||||||||
|Courses, examination|fees and|||||||||
|Teaching aids|||3|14,526,871||||14,526,871|13,262,917|
|Donations<br>and legacies||||668,688||4,590|6,000|679,278|252,099|
|Investments||||24,269||||24,269|14,327|
|Other trading activities|||4|912,523||||912,523|1,085,450|
|Government<br>grant||||15,412||||15,412|255,267|
|Total income||||16,147,763||4,590|6000|16 158353|14,870,059|
|EXPENDITURE ON:||||||||||
|Raising funds||||||||||
|Charitable<br>activities||||||||||
|Costs<br>of<br>Generating||Voluntary||116,705||||116,705|57,735|
|Income||||||||||
|Courses, examination|fees|and||15,602,751||19,520|3,850|15,626,121|14,570,995|
|teaching<br>aids||||||||||
|Total expenditure|||5|15,719,456||19,520|3,850|15,742,826|14,628,730|
|Net income I(expenditure)||||||||||
|before transfers||||428,307||(14,930)|2,150|415,527|241,329|
|Transfers||||(340,367)||346,089|(5,722)|||
|Net income||||87,941||331,159|(3,572)|415,527|241,329|
|Translation<br>adjustment||||(74,259)||||(74,259)||
|Net movement<br>in funds||||13,682||331,159|(3,572)|341,268|241,329|
|Fund balances brought|forward|||866,729|15,449,241||222,262|16,538,232|16,296,903|
|at 1 August 2020||||||||||
|Fund balance carried|forward|||||||||
|At 31July 2021||||880,410|15,780,400||218,690|16,879,500|16,538,232|





## 

|||||2021||2020||
|---|---|---|---|---|---|---|---|
|||Note||||||
|FIXEDASSETS||||||||
|Tangible assets|||||18,741,211||18,291,642|
|Investment<br>property|||||15,085,500||15,085,500|
|CURRENT ASSETS||||||||
|Stocks||10|548,817|||729,499||
|Debtors||11|2,259,641|||2,017,852||
|Cash and bank balances||12|2,736,971|||2,743,477||
||||5,545,429|||5,490,828||
|CREDITORS: amounts|falling|||||||
|due within one year||13|4,333,448|||3,489,480||
|NET CURRENT ASSETS|||||1/11,981||2,001,349|
|TOTAL ASSETSLESS|CURRENT|||||||
|LIABILITIES|||||35,038,692||33,378,491|
|CREDITORS: amounts|falling due|||||||
|after more than one year||15|||18,159,191||1S,840,259|
|NKT ASSETS|||||16,879,500||16,538,231|
|FUNDS||||||||
|Restricted funds||17|||218,690||222,262|
|Unrestricted<br>funds:||||||||
|Designated<br>funds||17|||15,780,400||15,449,241|
|General funds||17|||880,410||866,728|
|TOTAL FUNDS|||||16,879,500||16,538,231|





## 

## 

|||||2021|2020||
|---|---|---|---|---|---|---|
|||Note|||||
|FIXEDASSETS|||||||
|Tangible assets||||18,717,864||18,243,072|
|Investment<br>property||||15,085,500||15,085,500|
|CURRENT ASSETS|||||||
|Stocks||10|548,817||729,499||
|Debtors||11|1,847,534||1,904,S24||
|Cash and bank balances||12|2,135,447||2,333,538||
||||4,531,619||4,967,861||
|CREDITORS: amounts|falling||||||
|due within<br>one year||13|4,019,652||3,595,179||
|NET CURRENT ASSETS||||511,967||1,372,682|
|TOTAL ASSETSLESS|CURRENT||||||
|LIABILITIES||||34,315,331||34,701,254|
|CREDITORS: amounts|falling due||||||
|after more than one year||15||(18,159,191)||(18,706,589)|
|NET ASSETS||||16,156,140||15,994,664|
|CHARITY FUNDS|||||||
|Restricted<br>funds||17||218,690||222,262|
|Unrestricted<br>funds:|||||||
|Designated<br>funds||17||15,780,400||15,449,242|
|General funds||17||157,050||323,161|
|TOTAL CHARITY FUNDS||||16,156,140||15,994,664|





## 

## 

||||||Note||2021|2020|2020|
|---|---|---|---|---|---|---|---|---|---|
||Net cash inflow from operations:|||||||||
||||||||1,715,611||1,708,041|
||Net cash provided<br>by operations||||A|||||
||Cash flows from investing|activities:||||||||
||Bank interest and other investment<br>income|||||24,269||14,327||
||Finance and other costs|||||(471,007)||(518,885)||
||Payments<br>to acquire tangible|fixed assets||||(1,059,276)||(1,680,108)||
||Net cash provided<br>by/(used|in) investing||activities|||(1,506,014)||(2,184,666)|
||Cash flows from financing|activities:||||||||
||Purchase ofinvestment<br>property|||||||||
||Bank loan repayments|||||(216,102)||(559,243)||
||Bank loan drawdown|||||||||
||Net cash provided<br>by/(used|in) financing||activities|||(216,102)||(559,243)|
||Change<br>in cash and cash equivalents||in the reporting||||(6,505)||(1,035,868)|
||period|||||||||
||Net cash and cash equivalents|at beginning||ofperiod|B||2,743,476||3,779,344|
||Net cash and cash equivalents|at end ofperiod|||B||2,736,971||2,743,476|
|A.|RECONCILIATION<br>OF NET MOVEMENT IN||||FUNDS|TO||2021|2020|
||NET CASH INFLOW FROM OPERATIONS|||||||||
||Net movement<br>in funds|||||||341,268|241,328|
||Depreciation|||||||609,707|574,219|
||Bank interest and other investment||income|||||(24,269)|(14,327)|
||Reduction<br>in value ofinterest rate swap|||||||||
||Finance and other costs|||||||471,007|518,885|
||Increase in stocks|||||||180,682|234,163|
||Increase in debtors|||||||(241,789)|341,693|
||Deposit for new building|||||||||
||Increase in creditors|||||||379,004|(187,920)|
||Net cash inflow from operations|||||||1,715,611|1,708,041|





## 

## 

|B.|ANALYSIS OF CHANGES IN CASH AND|At|||At|
|---|---|---|---|---|---|
||CASH EQUIVALENTS|1August||Other|31July|
|||2020|Cashflows|Changes|2021|
||Cash and cash equivalents|1,170,152|164,524||1,334,676|
||Deposit accounts|1,573,324|(171,029)||1,402,295|
|||2,743,476|(6,505)||2,736,971|
||Borrowings|||||
||Debts due within one year|756,433||336,361|1,092,794|
||Debts due after one year|18,514,253||(552,465)|17,962,355|
|||19,271,253||(216,104)|19,055,149|
||Total|(16,527,777)|(6,505)|216,104|(16,318,178)|





## 

## 

## 

## 

## 



## 

## 

## 

## 

## 

## 

## 

## 

## 

## 



## 

## 

## 

## 

## 

## 

## 

## 

## 



## 

|3.|INCOME FROM CHARITABLE ACTIVITIES|INCOME FROM CHARITABLE ACTIVITIES|||2021|2020|
|---|---|---|---|---|---|---|
||||||Total|Total|
||Courses||||3,986,928|4,106,732|
||Examinations||||6,950,726|5,323,671|
||Teaching Aids||||3,589,217|3,832,514|
||||||14,526,871|13,262,917|
||All income from charitable<br>activities in|2020 and 2021 was unrestricted.|||||
|4.|OTHER TRADING ACTIVITIES||||2021|2020|
||||||Total|Total|
||Rent and service charge income||||876,458|1,029,656|
||Other||||36,064|55,794|
||||||912,523|1,085,450|
||All income from other trading activities|in 2020 and 2021 was unrestricted.|||||
|5.|ANALYSIS OF TOTAL EXPENDITURE||Staff|Other||2021|
||||Costs|costs|Depreciation|Total|
|||||||f.|
||Cost ofraising funds||||||
||Fundraising||61,693|50,487|4,525|116,705|
||Charitable<br>activities||||||
||Courses||3,361,599|2,758,027|246,554|6,366,181|
||Examinations||2,997,545|2,459,338|219,854|5,676,737|
||Teaching<br>aids||1,336,237|1,096,810|98,050|2,531,697|
||Governance<br>costs||555,237|455,545|40,724|1,050,342|
||||8,251,219|6,769,720|605,182|15,626,121|
||Total expenditure||8,312,912|6,820,207|609,707|15,742,826|
||ANALYSIS OFTOTAL EXPENDITURE||Staff|Other||2020|
||COMPARATIVE FOR 2020||costs|costs|Depreciation|Total|
||||K||||
||Cost ofraising funds||||||
||Fundraising||40,325|11,939|5,470|57,735|
||Charitable<br>activities||||||
||Courses||2,514,572|2,518,331|240,539|5,273,442|
||Examinations||2,672,233|2,217,223|213,336|5,102,792|
||Teaching aids||1,714,592|1,724,479|109,403|3,548,475|
||Governance<br>costs||477,058|163,759|5,470|646,287|
||||7,378,455|6,623,792|568,748|14,570,995|
||Total expenditure||7,418,780|6,635,731|574,219|14,628,730|





## 

## 

## 

|ANALYS|IS OF TOTA|L EXPEN|DITURE (continued)|||
|---|---|---|---|---|---|
|||||2021|2020|
|Other costs include:||||||
|Bank loan|interest|||471,007|518,885|
|Auditors'|remuneration|-UK||35,856|21,700|
|Auditors'|remuneration|—Hong Kong||2,288|1,764|
|Auditors'|renumeration|-US||13,973|18,235|
|Legal, professional<br>and||consultancy|fees|436 550|120 486|
|||||959,675|681,070|



## 

|STAFF COSTS|2021|2020|
|---|---|---|
|Salaries|6,320,769|5,914,014|
|Social security costs|606,391|497,267|
|Pension contributions|489,856|464,699|
|Other staff costs|903,776|512,657|
|Redundancy<br>costs|60,198|30,144|
||8,380,990|7,418,780|



|he averag<br>as:|e nu|mber ofemployees<br>(other than the trustees who|are on apart-time basis and who are not remu|nerated)|
|---|---|---|---|---|
||||2021|2020|
||||Number|Number|
|Management||and administration|35|34|
|Training|and|education|111|101|
||||146|135|



|The number ofhigher|paid employees|was:|
|---|---|---|
|Taxable emoluments|band:||
|f60,000 - f70,000|||
|f70,001 - f80,000|||
|f80,000 - f90,000|||
|f90,001 - f100,000|||
|f.100,001 - f110,000|||
|f.110,001 - f120,000|||
|f150,001-f160,000|||
|f230,001 - f240,000|||





## 

## 

|TANGIBLE FIXEDASSETS|Freehold land|Educational|Capital Project|Capital Project||
|---|---|---|---|---|---|
|GROUP|&buildings|&office|||Total|
|Cost||||||
|At 1 August 2020|19,224,047|931,417|1,157,350||21,312,814|
|Additions|712,973|34,878|311,425||1,059,276|
|Disposals||(39,158)|||(39,158)|
|At 31 July 2021|19,937,021|927,137|1,468,775||22,332,932|
|Depreciation||||||
|At 1 August 2020|1,631,947|806,080|583,145||3,021,172|
|Charge for year|450,384|64,776|94,547||609,708|
|Dispo sais||(39,158)|||(39,158)|
|At 31 July 2021|2,082,332|831,698|677,692||3,591,721|
|Net Book Value||||||
|At 31 July 2021|17,854,689|95,439|791,083||18,741,211|
|At 31 July 2020|17,592,100|125,337|574,205||18,291,642|
|TANGIBLE FIXEDASSETS|Freehold land|Educational|Computers|&||
|CHARITY|&buildings|&office|ITSystems||Total|
|Cost||||||
|At 1 August 2020|19,224,047|812,809|1,154,109||21,190,966|
|Additions|712,973|37,766|311,425||1,062,164|
|Dispo sais||(39,158)|||(39,158)|
|At 31 July 2021|19,937,021|811,417|1,465,534||22,213,972|
|Depreciation||||||
|At 1 August 2020|1,631,947|735,016|580,931||2,947,894|
|Charge for year|450,384|42,951|94,037||587,372|
|Dispo sais||(39,158)||||
|At 31 July 2021|2,082,332|738,809|674,967||3,535,266|
|Net Book Value||||||
|At 31 July 2021|17,854,689|72,608|790,567||18,717,864|
|At 31 July 2020|17,592,100|77,793|573,179||18,243,072|





## 

## 

## 

|VESTMENT PROPERTY|||
|---|---|---|
||2021|2020|
|Valuation|||
|At 1 August 2020|15,085,500|25,158,760|
|Transfer to Fixed Assets||(10,073,260)|
|At 31July 2021|15,085,500|15,085,500|
|Historic cost|||
|At 31July 2021|25,158,760|25,158,760|
|At 31July 2020|25,158,760|25,158,760|





## 

## 

|Its results for the year are|Its results for the year are|summarised|below.|All income and expenditure|in the period was unrestricted:|in the period was unrestricted:|
|---|---|---|---|---|---|---|
||||||2021|2020|
|Grant from parent charity|||||308,678|730,002|
|Expenditure<br>on charitable||activities|||(336,405)|(765,942)|
|Net income|||||(27,727)|(35,940)|
|Fund balances brought|forward||||126,350|162,289|
|Fund balances carried|forward||||105,580|126,350|
|WSETAmericas|||||2021|2020|
|Grant from parent charity||||||889,281|
|Expenditure<br>on charitable||activities|||568,365|(855,610)|
|Net income|||||568,365|33,761|
|Translation<br>adjustment|||||15,745||
|Fund balances brought|forward||||33,671||
|Fund balances carried|forward||||617,781|33,671|





## 

## 

|10.|STOCKS|Group|Group|Charity|Charity|
|---|---|---|---|---|---|
|||2021|2020|2021|2020|
||Stocks consist of:|||||
||Wines and spirits|190,335|226,818|190,335|226,818|
||Books and other course materials|399,442|443,805|399,442|443,805|
||Other materials|9,021|58,876|9,021|58,876|
||Stock Provision|(50,000)||(50,000)||
|||548,817|729,499|548,817|729,499|



## 

|he value ofst|ock released to costofsale|s in the year was f73|6,102 (2020:f928,3|11).||
|---|---|---|---|---|---|
|DEBTORS||Group|Group|Charity|Charity|
|||2021|2020|2021|2020|
|Trade debtors||1,610,322|1,284,203|1,255,981|1,284,203|
|Prepayments|and accrued income|574,981|123,043|562,827|10,015|
|Other debtors||42,081|450,998|37,426|450,998|
|Service charge||41,136|159,608||159,608|
|StaffLoans||(8,879)||(8,879)||
|||2,259,641|2,017,852|1,847,354|2,017,852|



## 

## 

|||||||
|---|---|---|---|---|---|
|CREDITORS: amounts|falling due within one year|||||
|||Group|Group|Charity|Charity|
|||2021|2020|2021|2020|
|Course fees received in advance (see||927,819|1,394,347|927,819|1,394,347|
|note 12)||||||
|Trade creditors||1,050,362|506,886|948,321|506,886|
|Accruals and other creditors||1,168,418|515,022|961,118|620,721|
|Bank loan (secured —see|note 15)|1,092,794|756,443|1,092,794|756,433|
|APP fees in advance||8,992|113,867|8,992|113,867|
|Rental income in advance||68,318|70,221|68,318|70,221|
|Other creditors||16,745|132,704|12,290|132,704|
|||4,333,448|3,489,480|4,019,652|3,595,179|





## 

## 


## 



## 

## 

|FINANCIAL INSTRUMENTS|FINANCIAL INSTRUMENTS|||Group|Charity|Charity|
|---|---|---|---|---|---|---|
||||Group|Group|Charity|Charity|
||||2021|2020|2021|2020|
|Financial assets measured<br>at|amortised cost||4,229,991|4,228,347|4,229,991|4,228,347|
|Financial liabilities measured|at amortised|cost|(21,295,034)|(21,681,047)|(21,295,034)|(21,681,047)|



|GROUP||||Balance at|||Transfers|Balance at|
|---|---|---|---|---|---|---|---|---|
|||||1August|||and|31July|
|||||2020|Income|Expenditure|Gains/Iosse|2021|
|Restricted funds|||||||||
|Peter Hampson<br>Memorial|||Fund|13,928|||230|14,158|
|Worshipful<br>Co.Distillers|||||6,000|3,850||2, 150|
|Building Donations||||208,334|||(5,952)|202,382|
|||||222,262|6,000|3,850|(5,722)|218,690|
|Unrestricted<br>funds|- designated||||||||
|Designated|||||||||
|Information<br>technology||||400,000|||(200,000)|200,000|
|Business development||fund||1,251,229|||253,839|1,505,068|
|Bursary Fund||||50,000|4,590|(19,520)|14,930|50,000|
|Open Access Fund||||50,000||||50,000|
|US and Hong Kong|Office|||500,000|||(400,000)|100,000|
|Property<br>reserve||||13,198,013|||677,320|13,875,333|
|||||15,449,242|4,590|(19,520)|346,089|15,780,400|
|Unrestricted<br>funds|- general|||866,728|16,147,763|(15,719,456)|(340,367)|880,410|
|Total unrestricted|funds|||16,315,970|16,152,353|(15,738,976)|5,722|16,660,810|
|Total funds||||16,538,232|16,158,353|(15,735,126)||16,879,500|





## 

## 

## 

## 


## 



## 

## 

|18.|ANALYSIS|ANALYSIS|OF NET ASSETSBETWEEN||Net current|Long term||
|---|---|---|---|---|---|---|---|
||FUNDS|||Fixed assets|assets|liabilities|Total|
|||||2021|2021|2021|2021|
||Group|||||||
||Restricted|funds||202,382|16,308||218,690|
||Unrestricted||fund|33,624,329|1,195,673|(18,159,191)|16,660,810|
|||||33,826,711|1,211,981|(18,159,191)|16,879,500|
||Charity|||||||
||Restricted|funds||202,382|16,308||218,690|
||Unrestricted||funds|33,600,982|495,659|(18,159,191)|15,937,450|
|||||33,803,364|511,967|(18,159,191)|16,156,140|
||COMPARATIVE ANALYSIS OFNET||||Net current|Long term||
||ASSETS|BETWEEN FUNDS||Fixed assets|assets|liabilities|Total|
|||||2020|2020|2020|2020|
||Group|||||||
||Restricted|funds||208,334|13,928||222,262|
||Unrestricted||fund|33,168,808|1,987,421|(18,840,259)|16,315,970|
|||||33,377,142|2,001,349|(18,840,259)|16,538,232|
||Charity|||||||
||Restricted|funds||11,038|211,224||222,262|
||Unrestricted||funds|33,317,534|1,161,458|(18,706,589)|15,772,403|
|||||33,328,572|1,372,682|(18,706,589)|15,994,665|



## 



## 

## 

|||||2021|2020|
|---|---|---|---|---|---|
|Due|in|less|than one year|802,184|898,656|
|Due|in|two|to five years|2,424,246|2,267,744|
|||||3,226,431|3,166,400|



## 

## 



## 

## 

## 

## 

|||||Unrestricted|Unrestricted|funds|Restricted|Total|
|---|---|---|---|---|---|---|---|---|
|||||General||Designated|funds|2020|
||||Note||||K||
|INCOME FROM:|||||||||
|Charitable<br>activities:|||||||||
|Courses, examination||fees and||13,262,917||||13,262,917|
|Teaching aids|||||||||
|Donations<br>and legacies||||245,459||6,640||252,099|
|Investments||||14,237||||14,327|
|Other trading<br>activities|||4|1,085,450||||1,085,450|
|Government<br>Grant||||255,567||||255,567|
|Total income||||14,863,420||6,640||14,870,060|
|EXPENDITURE ON:|||||||||
|Raising funds||||57,735||||57,735|
|Charitable<br>activities|||||||||
|Courses, examination|fees and|||14,471,390||99,606||14,570,996|
|teaching<br>aids|||||||||
|Total expenditure|||5|14,529,125||99,606||14,628,731|
|Net income / (expenditure)|||||||||
|before transfers||||334,295||(92,966)||241,329|
|Transfers||||(567,954)||574,758|(6,804)||
|Net income||||(233,659)||481,792|(6,804)|241,329|
|Remeasurement<br>gains|/|(losses) on|||||||
|interest rate swaps|||||||||
|Net movement<br>in funds||||(233,659)||481,792|(6,804)|241,239|
|Fund balances brought||forward|||||||
|at 1 September 2019||||1,100,388|14,967,449||229,066|16,296,903|
|Fund balance carried||forward|||||||
|At 31July 2020||||866,729|15,449,241||222,262|16,538,232|





## 

|FUNDS GROUP||||Balance at|||Transfers|Balance at|
|---|---|---|---|---|---|---|---|---|
|||||1August|||and|31July|
|||||2019|Income|Expenditure|Gains/losses|2020|
|Restricted funds|||||||||
|Peter Hampson<br>Memorial|||Fund|14,779|||(851)|13,928|
|Building Donations|Fund|||214,287|||(5,953)|208,334|
|||||229,066|||(6,804)|222,262|
|Unrestricted<br>funds|- designated||||||||
|Designated|||||||||
|Information<br>technology||||400,000||||400,000|
|Business development||fund||2,266, 164|||(1,014,935)|1,251,229|
|Bursary Fund<br>Open Access Fund||||50,000<br>50,000|6,640|(13,349)<br>(83,257)|9,709<br>83,257|50,000<br>50,000|
|US and Hong Kong|Office|||500,000||||500,000|
|Property reserve|||||||1,496,727|13,198,012|
|||||14,967,449|6,640|(99,606)|574,758|15,449,241|
|Unrestricted<br>funds|- general|||1,100,388|14,863,420|(14,529,125)|(567,954)|866,729|
|Total unrestricted|funds|||16,067,837|14,870,060|(14,628,731)|6,804|16,315,970|
|Total funds||||16,926,903|14,870,060|(14,628,731)||16,538,232|
|FUNDS CHARITY||||Balance at|||Transfers|Balance at|
|||||1August|||and|31July|
|||||2019|Income|Expenditure|Gains/losses|2020|
|||||K|||||
|Restricted funds|||||||||
|Peter Hampson<br>Memorial|||Fund|14,779|||(851)|13,928|
|Building Donations|Fund|||214,287|||(5,953)|208,334|
|||||229,066|||(6,804)|222,262|
|Unrestricted<br>funds|- designated||||||||
|Information<br>technology||||400,000||||400,000|
|Business development||fund||2,266,164|||(1,014,935)|1,251,229|
|Bursary Fund||||50,000|6,640|(16,349)|9,709|50,000|
|Open Access Fund<br>US and Hong Kong|Office|||50,000<br>500,000||(83,257)|83,257|50,000<br>500,000|
|Property reserve||||11,701,285|||1,496,727|13,198,012|
|||||14,967,449|6,640|(99,606)|574,758|15,449,241|
|Unrestricted<br>funds|-|general||938,099|14,482,142|(14,529,125)|567,954|323,162|
|Total unrestricted|funds|||15,905,548|14,488,782|(14,628,731)|6,804|15,772,403|
|Total funds||||16,134,614|14,488,782|(14,638,731)|0|15,994,665|