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2023-12-31-accounts

ANNUAL REPORT AND FINANCIAL STATEMENTS For the year ended 31 December 2023

Charity registration number: 314286

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

British & Foreign School Society

ESTABLISHED 1808 - INCORPORATED BY ROYAL CHARTER 1906 THE TWO HUNDRED AND SEVENTEENTH REPORT

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ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

British & Foreign School Society

PRESIDENT

The Rt Hon Mr David Lammy MP (until May 2023) The Rt Hon the Baroness Morris of Yardley (from May 2023)

VICE-PRESIDENT

Emeritus Professor John Furlong OBE

The BFSS Council present their report along with the financial statements of the British & Foreign School Society (BFSS) and the other charitable trusts for which BFSS is responsible, for the year ended 31 December 2023.

The financial statements have been prepared in accordance with the accounting policies set out in the Notes to the Financial Statements and comply with the BFSS Charter and applicable law.

COUNCILLORS

Chair of Council

Peter Miller (until May 2023) Jane Creasy (from May 2023)

Vice-Chair of Council

Professor Joy Palmer Cooper

Treasurer

David Baron

Suela Aksoy (from May 2023) Anood Al-Samerai Amy Barnecutt (until Aug 2023) Charlotte Cashman Vic Craggs OBE (until May 2023) David Crowther (from May 2023) John Kanyaru (until Dec 2023) Janice Miller Nicholas Tesseyman (from May 2023)

VOLUNTEER INVESTMENT ADVISER

Ian Richley

Director and principal office address

Joanne Knight 7-14 Great Dover Street, London SE1 4YR

Website: bfss.org.uk

Registered Charity No. 314286

Cover photo courtesy of Sense International: a young person and carer in a sensory room in Lima, Peru

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ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

Contents

Contents
Message from our Chair 5
1. Our values and heritage 6
2. Highlights of the year 7
3. Shared learning 7
4. Our grant giving 8
5. Our impact 14
6. Our strategy 17
7. Structure, governance and management 18
8. Financial review 20
9. Independent Auditor’s Report to the Trustees 24
of The British & Foreign School Society
Statement of financial activities 28
Balance sheet 30
Cash flow statement 31
Notes to the financial statements 32
Members of the Grants Committee 48
Members of the Finance and Investments Committee 48
Delegates of BFSS Restricted Funds 48
Trustees of the BFSS Trust 48
Trustees of the Old British School 48
Representatives serving on outside bodies 48
Professional Advisors 49

Message from our Chair

As I approach the end of my first year as Chair, it gives me a lot of pleasure to introduce this Annual Report, which reflects a productive year, in ever-more challenging circumstances.

Before outlining some of the key achievements, I would like to record my deep appreciation for all that my predecessor, Peter Miller, did for the BFSS. In his ten years in office he set us on a very firm footing for our next phases of development. I know I am not alone in wishing to thank him and wish him well.

I am also delighted that, at the same time as I took over as Chair, we welcomed Estelle Morris as our President. Few figures in education carry such respect for their commitment, capability and integrity, and we are fortunate to have her interest and involvement. She took over from Rt Hon David Lammy, who stepped back after 10 years of superb support to the BFSS. We are deeply indebted to him.

I should say something about the most public change to the BFSS, our name. Back in 2022, there was agreement that the BFSS name no longer reflected our values or the work we do. Following extensive consultation with Members and Grant Partners, Council decided in 2023 that Educational Opportunity Foundation was the name that best described what we are and do. As we have a Royal Charter, the process of changing the name has required Charity Commission and Privy Council assent, and we were delighted when this was given in February 2024.

It is vital to us that we honour our heritage and the legacy of Joseph Lancaster, the visionary who sought to bring educational opportunity to all in the early C19th and whose influence continues to inform our work. For that reason, we have chosen a strapline, ‘Improving life chances worldwide since 1808’ . Lancaster’s zeal and innovative practices influenced education in England and numerous countries worldwide. Without him, and the commitment of the people who followed him and established BFSS, we would not be able to support life-changing educational projects around the world today.

In the face of these increasing pressures and risks, we are proud of our £1 million Displacement Education Fund, which has been used to support some outstanding projects. It has provided learning about what might be most helpful in volatile contexts and we will use that to inform our future work.

Our portfolio was hit by the financial shock in Autumn 2022, although there was some limited recovery towards the end of 2023. Our funds are still in good health, as you will see in this report, and we have a plan for rebuilding our assets over the next few years.

I would like to conclude with thanks to the people who have achieved so much over the year. Firstly, I want to express profound admiration and thanks to our Grant Partners, who share our commitment to empowering young people through inclusive education and who live that commitment in the work they do, some of which we are able to support through grants. Our annual Grant Partners’ Workshop provides us as funders with an opportunity to learn more about the practical implementation of some wonderful projects and meet some of the people involved. All at BFSS were inspired and uplifted by the occasion. We also recognise our responsibility to help Grant Partners engage with, and learn from, one another so that they too can gain fresh ideas and be reinvigorated in their work.

I would finally like to thank my colleague Trustees and our excellent professional team for all they have done during the year. I cannot speak highly enough about the ways in which our small executive team manage the responsibilities and activities of our organisation, nor the commitment and support shown by our Trustees. Together, Trustees and the executive have taken strategic decisions about our future work, including our ongoing commitment to addressing disadvantage and our desire to work closely with Grant Partners for longer-term impact. We aim to support learning between Grant Partners and, by delivering on the legacy of Joseph Lancaster, improve the life chances of disadvantaged young people through education.

Last year was marked by a harsh external environment; global instability and economic shocks combined to increase the demand for our support and undermine the resources we work with.

Jane Creasy Chair of BFSS

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1. Our values and heritage

The BFSS heritage defines our values and activities today. We believe in the right of children and young people to access high quality education as a driver for personal development, wellbeing, and equality of opportunity.

education by establishing charitable teacher training colleges. In the 1970s, teacher education sector reform resulted in these local colleges either closing or merging with other educational institutions. By the mid-1980s, all BFSS teacher training colleges and schools had closed and BFSS then continued to pursue its mission through educational grant giving. With such a long history, BFSS has necessarily adapted over the years, but our heritage continues to direct our priorities as we remain committed to promoting inclusive and effective learning, teacher training, and the sharing of good practice through our grant giving programme in the UK and around the world.

The BFSS was formed in 1808 by Christian social reformers to carry on the work of Joseph Lancaster, a pioneer of school and teacher education. Joseph Lancaster was a Quaker who became concerned that young people from low-income communities in the UK were denied the opportunity of education in the late 18th century. As a result, he became involved in founding charitable schools based on his monitorial system, through which the basic teaching of younger children was undertaken by older ones, called monitors. Given the cost of teachers, his system removed a key barrier to providing mass education.

Conserving our physical heritage continues to be important to us, too. Brunel University London maintains our extensive archives and makes sure they are accessible for research. The British Schools Museum in Hitchin is a key partner for BFSS as we recognise its importance in ensuring Joseph Lancaster’s work is visibly accessible for current and future generations to appreciate. The museum houses an 1837 monitorial schoolroom, the only one of its kind left in the world, as well as three other historic classrooms, the Headmaster’s house and a collection of 47,000 objects.

Joseph Lancaster travelled the world establishing monitorial schools, whilst BFSS continued to run and set-up schools in the UK until the Education Reform Act was passed in 1870, which for the first time made education a fundamental right for every child. As schools gradually became a government responsibility, BFSS continued improving the quality of

Photo courtesy of Simon Maddison for British Schools Museum: Joseph Lancaster’s great, great, great, great grandsons (left to right) Ricardo, Francisco and Rodrigo Lopez-Portillo y Lancaster-Jones

Archivist Tace Fox in the BFSS Archive at Brunel University London. Photo by BFSS

2. Highlights of the year

3. Shared learning

This was another exciting year for BFSS in terms of awarding £1,115,991 in new grants, which although less than in 2022 is still our second highest year ever for new awards.

We continued our drive towards shared learning among Grants Partners and Members by hosting two in-person events. Charities shared a range of inspiring projects to overcome barriers to learning at our Annual Conference in June and in the autumn the Grant Partners’ Workshop focused on the theme of ‘How to successfully work with decision-makers’. Both featured opportunities to network and discuss successful work with charities operating in the UK and around the world.

Strategically we made some significant steps forward by selecting a new name and gaining approval from the Privy Council to adopt that new name, Educational Opportunity Foundation.

We also publicly confirmed our commitment towards preventing further climate damage by signing up to the Funders Commitment on Climate Change. This commitment gives us a framework to track our progress against as we work towards making all BFSS activities more environmentally sustainable, whilst we also joined a network of other funders to explore ideas with and learn from.

The online BFSS Forum is also gaining traction with a 30% increase in the number of participants during the year. There have been particular peaks in use after events, when Members can find key resources and contact details for other attendees. Helpful shared learning posted by Members and Grant Partners included tips on tools to assess organisations’ carbon footprint.

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Grant giving Shared learning
170
Members
£1,115,991
awarded to CD
25 projects
153
Online forum
participants
39,624 6,144 118
Young people Displaced young
supported people supported Delegates attended
our 2 events
an Go af
1,419 17,299
Educational Girls supported in 3
professionals projects exclusively Newsletters shared
supported for girls with Members
----- End of picture text -----

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4. Our grant giving

In 2023, new grants were awarded to 25 projects with a total value of £1,115,991 (2022: 29, £1,571,015) through our core grant giving activity from unrestricted income. We also continued to make payments on grants awarded in previous years as detailed in the Financial Review and Note 2 of the Financial Statements. We have separate priorities for UK and International projects and continue to adopt a grant funding approach that favours small-to-medium not-for-profi t organisations, with an annual income of less than £2.5 million.

4.1 UK grant giving

Supporting high-quality projects in the UK is central to our heritage and future; it is our aim for around 30% of our grants to support UK based projects. In 2023 we continued to fund projects which improve educational outcomes and life chances for care experienced young people or young carers under the age of 25, by offering grants of up to £90,000 over three years. As part of the Displacement Education Fund, our UK grant giving in 2023 also included projects which worked with displaced young people within the UK.

We also conducted a review of our UK grant giving strategy. This was the fi rst of a new series of reviews which aims to provide in-depth analysis of a specifi c fund or theme of grants to help us to learn and consider if and how we could reshape future grant giving to support more young people to thrive.

The review analysed 26 grants for UK projects aimed at either young carers or care experienced young people. Specifi c approaches produced a strong impact, including projects which focused on: one to one support; the provision of nonformal learning environments; tutoring that collaborates closely with schools; bringing service providers together; prioritising young people in the design and delivery of projects; and training education professionals in traumainformed approaches.

Working directly with schools was found to be an excellent vehicle for success for many young people. Organisations that build genuine partnerships with schools to ensure the young person’s individual needs are being met are seeing strong results. However, there were consistent challenges with this approach, including diffi culties in high staff turnover and ensuring that schools genuinely want and need a specifi c intervention. Projects working with schools require signifi cant investment in dedicated staff and administration to be successful.

The review also highlighted the importance of wellbeing and mental health. Projects which focused on wellbeing and confi dence can lead to direct improvements in attainment and attendance at school. Although quantitative evidence for this was lean, signifi cant amounts of feedback from staff and parents showed that projects which focus on mental health and build confi dence, bring increased resilience in the classroom and improved school attendance. To refl ect on this learning, we will be revising our UK grant giving criteria from 2024.

Photo courtesy of Children on the Edge: lessons in a refugee settlement in Uganda

Aims of our UK grants for 2023

Improved educational outcomes — enabling care experienced young people and young carers to attend and engage in mainstream school life, improving their access to out of school support and increasing the number of education professionals able to understand their needs.

— Improved life chances enabling care experienced young people and young carers (aged 16-24) to access further education, employment or training opportunities and improving support for them to remain engaged with these opportunities.

Improved access to educational

— opportunity enabling displaced young people to learn in their own language, to access post-trauma support and receive support to access further education or training for employment.

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Who our new grants in 2023 supported

4.2 International grant giving

Photo courtesy of Child Rescue Nepal: teachers on a training day

To ensure that we deliver our mission internationally we fund projects that improve access to and the quality of education, or improve the sustainability of educational provision, for young people under the age of 25, by offering grants of up to £60,000 over three years. We ensure that our grant giving delivers longterm improvement through the involvement of local communities, the capability and availability of teaching staff and fi t-for-purpose infrastructure. Wherever possible, we fund projects that also deliver benefi ts to the wider community and which will be sustainable after our grant ends.

Early Childhood Development 5% 2 International projects: £58,806

We received 167 stage one and 64 stage two applications for our 2023 funding rounds. We funded 25 projects giving stage two applicants a 39% success rate.

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Girls exclusively 14%
3 International projects: £160,450
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----- Start of picture text -----
Care experienced young people 5%
1 UK project: £59,105
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Aims of our International grants for 2023

~~—~~ Improved access to education including increasing the number of educational opportunities, especially for girls and displaced young people, (including construction of classrooms or latrines), increasing the number of qualif i ed teachers trained in inclusive, non-discriminatory practices and improving community attitudes to educating children who are often excluded or overlooked.

Improved quality of education ~~—~~ including enhancing the quality of teaching and learning, improving access to extracurricular support, increasing child friendly resources, and increasing access to aspirational vocational training opportunities including STEM and IT.

¢ ~~:~~

Improved sustainability of education

~~—~~ projects including encouraging educational projects with integrated community management or ownership, self-generating income and minimising their environmental impact.

Photo courtesy of Children on the Edge: playtime for Rohingya refugee children in Bangladesh

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£1,115,991
Displaced young people 47% to transform educational
opportunities
5 UK projects: £240,831
6 International projects: £280,805
----- End of picture text -----

Vulnerable young people 28% 8 International projects: £315,994

Most projects are still ongoing so the impact of the fund has not yet been assessed. However, continuing instability in the Middle East has caused challenges for projects operating in this region and these are being monitored carefully. Projects are needing to adapt their approach, including in some instances the geographic region they are operating in. Our commitment and willingness to be a fl exible and trusting funder is proving highly valuable to our Grant Partners working in fragile settings. Although the distribution of the Displacement Education Fund was completed in 2023, its legacy continues. As a result of the clear need for funding in this area, we have incorporated Displaced Young People as one of our priority areas for our ongoing international grant giving.

4.3 Displacement Education Fund

In 2022 we launched a new one-off £1million Displacement Education Fund to support the education of young people impacted by confl ict, with grants available for both international and UK based projects. Whilst prompted by the confl ict in Ukraine, the fund was designed to be available for all young people who have had to fl ee confl ict regardless of their location.

The fund met a clear funding need in the sector. In total, we received 96 applications, and funded 21 very high quality applications to a value of £978,625. Of these, 9 grants (£370,788) were awarded for UK projects and 12 grants (£607,837) for international projects.

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Photo courtesy of Ashdon Primary School: new mindfulness room created with British School Charity grant

Where our new grants went in 2023

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United Kingdom - England 21% Lebanon 5% Iraq 5% Afghanistan 5%
5 projects: £239,936 1 project: £55,124 1 project: £58,005 1 project: £52,234 £1,115,991
awarded globally
Venezuela 2%
Thailand 4%
1 project: £19,436
1 project: £48,237
° ° ° ' "
Brazil 5%
1 project: £58,269
25 projects
in 17 countries
Sri Lanka 4% Bangladesh 5%
Sub-Saharan 1 project: £40,754 1 project: £52,234
Africa 41% Ghana 7%
2 projects: £73,881
Middle 15% India 3%
East 1 project: £30,000
Southern
12%
Asia
South Uganda 11% Rwanda 5%
East Asia 4% 3 projects: £120,194 1 project: £58,665
South ne i 4 \
7%
America
Tanzania 4% Malawi 3% Kenya 6% Ethiopia 5%
United 21% 1 project: £43,408 1 project: £28,806 2 projects: £71,042 1 project: £58,000
Kingdom
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4.4 Subsidiary trusts

In addition to the grants awarded from our unrestricted income BFSS is responsible for a number of smaller subsidiary trusts which provide restricted funds for educational activities in specific locations and for particular purposes. In 2023, £31,966 was awarded through 11 grants (2022:10, £36,000) from restricted income. Our approach is to work with partners with the experience and local knowledge to make sure grant giving is effective and meets the individual requirements of each fund. We are currently working with the following:

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5. Our impact

The projects we fund improve educational opportunity for young people in some of the most marginalised or low-income communities, transforming their life chances, as these reports show.

Improving life chances after Covid

Learning for Life ran a project in Bangladesh which has not only helped pupils catch-up and negate the devastating impact of Covid school closures, but also has increased support for girls’ schooling.

After lockdowns were lifted, the charity found that in the Nikli district there were more than 5,000 children out of school, and often hard-pressed families preferred them to work. With a BFSS grant of £30,500, Learning for Life ran a community-wide school re-enrolment campaign, along with out of school catch-up classes and online learning sessions. Training for teachers and leaders on quality education, online learning and safeguarding was also provided. A key focus was life skills and reenrolment of girls.

Photo courtesy of Learning for Life: life changing lessons for young women

Impact

The two-year project made remarkable strides in education, safeguarding vulnerable children, bridging the digital divide, and empowering adolescent girls. Learning for Life convinced families of the value of education so parents and guardians came to believe it was in their best interests for pupils to re-enrol. 98% of target children returned to school after lockdowns, and all 5,378 of these pupils passed their annual examinations. Introducing online education for more than 300 students helped ensure they could continue their studies even when classrooms were shut due to monsoon fl ooding.

A standout achievement is that educational and awareness initiatives effectively stopped child marriages in the area, allowing students to continue their studies. In addition, regular sessions focusing on life skills, family laws, government measures related to women’s

protection, and menstrual hygiene have empowered adolescent girls, enabling them to advocate for themselves and their futures. The project helped minimise the disparities in boys’ and girls’ enrolment.

Together these achievements represent a shift in attitudes which will have a crucial impact on shaping the education and future development of the region’s children.

‘I never thought I would be going to school, enjoying school life and friends around me.’ Touhida Akter, pupil.

Extending support through tutoring

The Volunteer Tutor’s Organisation (VTO) provides additional educational support to young people who need it most, primarily in Glasgow. BFSS gave them £85,404 for a three-year project, Learning Beyond Covid-19, to improve the education of care experienced and kinship care young people throughout Scotland.

The project aimed to design, test and refi ne a range of interventions in two pilot areas, building on their experience of supporting young people and extensive work done in partnership with Glasgow’s Care Experienced Team. In the fi rst 30 months of this project, VTO has supported nearly 250 young people living outside of Glasgow with one-to-one tutor support and Learning Hubs, running four Learning Hubs in Perth & Kinross and Edinburgh, with a fi fth due to launch in 2024.

Photo courtesy of Volunteer Tutor’s Organisation: older pupils offer one-to-one support for learning

Impact

VTO aimed for at least 70% of young people to show improvement in literacy, numeracy, confi dence and engagement with education. They have surpassed these targets: after two years 80% of the tutored young people show measured improvements in reading, and 75% show measured improvements in maths and numeracy. In addition, they have made great strides in building strong relationships with local stakeholders in education services, schools and social work.

just now. I enjoy learning with my tutor - I feel I learn more with her than in school. I don’t feel as anxious, and she makes it fun.’ Pupil

‘R’s engagement with the VTO tutor was the fi rst kind of learning she had done in some time as she does not attend school. I know she is looking forward to starting with a new tutor. I believe it has helped with her desire to learn. She is now also working with our school outreach teachers twice a week in the local library which is going very well.’ Teacher

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Training teachers for inclusive education

Young people with deafblindness are often excluded from education in Peru partly because many teachers don’t feel equipped to teach them. BFSS gave Sense International £39,903 over two years to develop and deliver a teacher training programme and improve learning resources in order to improve access and the quality of education for young people across eight regions of Peru.

In two years, 499 teachers completed the courses, drawn from mainstream schools and special education centres. Sense International built six sensory rooms, which help students with deafblindness and other sensory impairments learn to process sight and sound, as well as developing their motor skills. 103 teachers received special training in sensory stimulation techniques, to help them get the most from the new rooms with their students.

Photo courtesy of Sense International: support in the classroom

Impact

Already in special education centres, the

sensory rooms have benefi ted 354 children with deafblindness and multiple disabilities, who now have better access to a quality education.

And the wider impact is substantial: the Universal Design for Learning approach, which Sense International promote, helps teachers meet the individual needs of all their students, if they have a disability or not. Some teachers have cascaded knowledge to colleagues as well. So the charity estimate 2,997 children with disabilities will indirectly benefi t from their teachers being trained, in the special education schools alone.

As well as benefi tting students and teachers today, this work helped demonstrate to the Peruvian Ministry of Education how children with deafblindness can and should be included in education. This has meant a module on deafblindness is now included in the Ministry’s special education teacher training; and the Ministry funded 20 sensory rooms at schools in Lima in the past year, with plans for more across the country.

‘I think the most important part was to understand the functional assessment. We did group work and prepared an assessment for Nicol, a student with multiple disabilities including low vision. She is already nine. Next year, when Nicol returns to school, she will have a proper individual education plan. During the course, we also learnt new strategies to work with parents, teaching them how to support progress made in school.’ Jessica, special education teacher, Tumbes

6. Our strategy

Our charitable objects are: “To advance education for the benefi t of the public in particular by providing educational opportunity for children and young people in the UK and overseas.” We adhere to these objects and achieve public benefi t through our grant giving activities to support the education of young people from low-income and marginalised communities worldwide. The Council has referred to the Charity Commission’s guidance on public benefi t when developing its vision, mission, values and objectives. We review these each year, and make sure they inform our decisions.

6.1 Our vision

Educational opportunity for all.

6.2 Our mission

We seek to achieve our vision by providing funding and support to UK-based charities for educational projects in the UK and throughout the world refl ecting our history and heritage.

6.3 Our values

We believe in the right of children and young people to access high quality education as a driver for personal development, wellbeing, and equality of opportunity. Building on the heritage of our founder Joseph Lancaster, we value effective teaching and learning, and the sharing of good practice. We are committed to inclusivity, integrity, and to valuing and respecting others in everything we do.

Photo courtesy of Learning for Life: lessons for young women in Bangladesh

6.4 Our objectives

Our current strategy for 2023 to 2027 is based on 5 objectives:

1. To award grants aimed at enabling young people to improve their own educational outcomes and life chances in the UK and Internationally.

2. To support our Grant Partners and Members to build their own capacity and knowledge.

3. To support broader social aims which have an impact on inclusive education and stay true to our heritage.

4. To continually improve our adherence to good practice in all aspects of our grant giving and governance.

5. To effectively use our resources.

6.5 Future plans

In 2024 we will continue to implement of our 5-year strategic plan and key priorities for the year will include:

Objective 1:

Objective 2:

Objective 3:

Objective 4:

Objective 5:

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7. Structure, governance and management

7.1 Membership

BFSS Membership is open to individuals passionate about furthering the education and life chances of marginalised young people. It brings together a community committed to supporting the BFSS to deliver its vision of educational opportunity for all. The statutory role of Members is to elect the President, Vice-President and the Councillors who act as Trustees of the charity. During 2023 and early 2024, 19 new Members joined bringing the total number of Members to 170 by 1 February 2024 when our Trustee election process for 2024 started. During 2023 an Annual General Meeting was held virtually on 12 May 2023, and a Special General Meeting was held virtually on 7 November 2023. The latter was to enable Members to vote in person or via proxy on a proposed resolution to change the BFSS name to Educational Opportunity Foundation, which was approved.

Shared learning at BFSS Conference 2023. Photo by BFSS

7.2 Governance and structure

The BFSS President and Vice-President are elected for a term of three years. At the 2023 Annual General Meeting the Rt Hon David Lammy MP stood down as the President and the Rt Hon the Baroness Morris of Yardley was elected as his successor. Professor John Furlong continues as VicePresident; his current term ends in 2024 when he can stand for re-election.

BFSS is governed by a Council of Trustees drawn from and elected by Members. The Council reduced to nine members during the year after two Trustees stood down mid-term, but the aim is to increase it to 12 during the 2024 and 2025 elections. The minimum number is six. Every year a skills audit is undertaken to prioritise skills being sought in the forthcoming Trustee election process. Whilst any Member with relevant skills or experience can apply to be a Trustee, we also openly advertise the Trustee vacancies to widen the skills and diversity of both the Membership and Council.

BFSS has an induction procedure for new Trustees. They are provided with relevant information on their role and responsibilities and are briefed by the Chair and Director. All Trustees are kept informed of the impact of BFSS through reports on funded projects. The Council regularly reviews the work of individual Trustees and its subcommittees.

The Director’s remuneration is set by a process which includes a review of performance against objectives by the Remuneration Committee which then makes a recommendation for approval to the Council.

In 2023 Council Meetings were held in March, June and November, with the annual strategy meeting in December. There are two subsidiary committees, the Grants Committee and the Finance and Investments Committee, both of which meet at least twice a year and report to the Council.

The BFSS has a risk register, scheme of delegation and a series of policies and terms of reference, which are subject to a regular review schedule to ensure they are up to date and fit for purpose.

Photo courtesy of Child Rescue Nepal: teachers on a training day

7.3 Robust and effective grant-giving

As described in section 4, BFSS makes grants in accordance with its Charter and within the financial limits set by Council each year. Our core grant giving activity from unrestricted funds offers response mode (bottom up) funding via an open call for project proposals from not-for-profit organisations registered in the UK. The criteria for grant giving and success rates of previous applicants are available on the BFSS website. We operate an online grant application system, for our core grants this involves a two-stage application process to minimise the time applicants spend preparing their initial proposals.

The Grants Manager conducts an initial assessment of all stage one grant applications and invites the project proposals which meet the criteria and are of the highest quality to submit a stage two application. Following a detailed review of stage two applications in consultation with the Chair of the Grants Committee, applications which are considered suitable are selected for review by the Grants Committee with an individual Trustee taking the lead on each application.

The Grants Committee collectively makes decisions according to the criteria set out in the BFSS Grant Giving and Management policy. In 2023, 39% of the stage two applications received were funded.

We have a structured process to ensure rigorous evaluation of the impact of our grants, and hold Grant Partners accountable for delivering the outputs and outcomes to which they have committed. Every grant application is required to specify three or four main outcomes, and every project must have a well-defined plan for monitoring and evaluation. The reporting schedule is linked to the release of funds. This allows BFSS to monitor the progress of the grants and work with partners where necessary if issues arise, to ensure satisfactory progress towards outcomes. The grant monitoring process was reviewed during 2023 to reduce the burden on Grant Partners whilst still ensuring robust monitoring is undertaken. Subsequently, Grant Partners are now required to submit a brief progress report annually for grants up to £15,000 per year and six-monthly for larger grants, in addition to the end of project report. However, trusted Grant Partners who have successfully completed a BFSS funded project within the past three years, are only required to submit annual reports for grants.

Each progress report is reviewed by the Director or Grants Manager before further funding is released. When a project is not delivering to plan, a triage system is in place to determine whether the Director or Grants Manager, Chair of the Grants Committee or the Grants Committee should make a decision on the future of the grant.

BFSS places great emphasis on ensuring that improved educational outcomes for our beneficiaries are clearly identified. Construction projects are required to provide an additional report one year after the formal completion of the construction project, to give time for impacts to emerge.

The subsidiary trusts that BFSS is responsible for providing small grants to individuals and to organisations. Given the size of these grants (usually less than £5,000) the application process is deliberately kept very simple with a one-stage application form which is reviewed by the Director, or by a local committee in the case of the British School Charity. These trusts are detailed in Note 12 to the Financial Statements.

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8.Financial review

8.1 Reserves policy

The entire General Reserve (£24,163,088) at 31 December 2023, (2022: £23,045,234) is an unrestricted fund which would be available to meet unexpected costs of the charity. The Trustees do not therefore feel it appropriate to specify a minimum level for free reserves.

In addition to the General Reserve, at 31 December 2023 BFSS held a revaluation reserve of £175,000 (2022: £175,000) derived from the fair value of the George Dent Nursery.

During the year approval was obtained from the Charity Commission to transfer the expendable endowment fund balances from Wilmslow British School Endowment Fund, Darlington College Building Fund and West Street Old British School, totalling £545,523 to the general reserve for general purposes. In addition, approval was obtained from the Charity Commission to transfer the permanent endowment fund balance of £169,783 of the BFSS Trust to Restricted Funds, to enable the distribution of larger and more effective grant giving. At 31 December 2023 there were endowment funds of £565,750 (2022: £1,269,288) and restricted funds of £552,151 (2022: £381,219). At 31 December 2023, the total funds of the BFSS stood at £25,455,989 (2022: £24,870,741).

8.4 Financial results

The net movement in funds in the year was a surplus of £585,248, compared to a deficit of £4,696,251 in 2022. This was a positive result, bearing in mind increased grant giving in the year. It was achieved as a result of a significant improvement in the performance of the investment portfolio following a very poor year in 2022.

Payments made during 2023 to the new grants and grants awarded in previous years amounted to £1,314,963 (2022: £1,046,568). (The majority of the grants awarded from the unrestricted fund are for multi-year projects and are therefore paid over multiple years.) This represents a 26% increase on the previous year, as a result of an additional

£978,615 of new grants having been awarded through the Displacement Education Fund during 2022 and 2023. Subsequently the net expenditure of £994,101 (2022: £657,290) is a 51% increase on the previous year mainly reflecting the increase in grant payments. Investment income reduced for a second year running, by £43,461 or 8% (2022: £94,212 or 15%). There was a net gain on investments of £1,579,349 in the year compared to a net loss of £4,053,961 in the previous year. The BFSS Investment Policy states that the Trustees will normally draw between £1 million and £1.25 million each year, there is therefore an expectation that the grant giving programme will be partly funded by investment income and partly by capital gains on those investments.

8.2 Risk Management Policy

BFSS maintains an active risk register which encompasses all areas of our activities. This risk register is reviewed, together with risk mitigation decisions and actions, on an ongoing basis by the BFSS Council. Other principal risks identified by Trustees were those associated with ensuring robust succession planning, ensuring policies are up to date and compliant with relevant regulations, particularly with regard to safeguarding, and ensuring that our investment policy continues to maximise income to support the delivery of our objects in a time of increasing demand for our grant giving.

8.3 Pension Policy

BFSS continues to operate a pension scheme for its employees, providing an employer’s contribution of 8% of qualifying earnings.

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BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

Photo courtesy of Learning for Life: learning on tablets enhances skills

8.5 Income

BFSS’s main source of income is its investment portfolio, which is managed by Rathbones since 2023, after Investec Wealth & Investment Limited and Rathbones merged. Its investment policy is for the portfolio, consisting principally of equities and fixed interest stocks, to be managed on a total return basis to produce a regular income stream while maintaining its capital base in real terms. BFSS has used the total return basis since 2007 at which point the permanent endowment values were established. The two permanent endowments held at the year end have an unapplied total return of £68,315. During 2023 the performance target for the portfolio was reduced from a real return (after taking account of headline CPI or zero, whichever is greater, and investment management fees) of at least 4.0% to 3.5% on a rolling three-year basis. This reflects the changing global financial trends. The BFSS Investment Policy does not permit investment directly in companies that have more than 10% of their business relating to either; the production or sale of tobacco products, the promotion of gambling in any form, the production or sale of weapons or armaments, or the production, distribution and retail of pornographic media. In addition, investment is prohibited in companies with evidence of human rights abuses in the supply chain, both direct and indirect, including the use of child labour. Rathbones are also required to review its direct investment holdings to determine the degree of Environmental, Social and Governance (ESG) risks. The investment manager provides regular reports showing the ESG risk rating for its investments and the objective is to see this score reduce each year.

At the end of December 2023, the value of the investment portfolio was £25,072,270 (2022: £24,654,134), which represented an actual total return after fees for the year of 8.7%, which equates to a return of 5.4% after taking into account CPI of 3.3%. The total cumulative return of the Fund for the three years was -3.7% net of investment management fees and after taking into account CPI of 6.4%.

During the year £1,600,000 (2022: £1,080,000) was withdrawn to support our grant giving activities and running costs. This amounted to approximately 6.4% of the value of the portfolio on 31 December 2023. Total income amounted to £620,437, in comparison to £679,665 in the previous year, of which £491,589 (2022: £535,050) was from investments.

BFSS receives income from its investments and does not engage in public fundraising activities. As a result, we do not employ or monitor a fundraiser or a fundraising agent. No complaints were received with regards to fundraising, and BFSS is not subject to an undertaking to be bound by any voluntary scheme for regulating fundraising, or any voluntary standard of fundraising.

8.6 Property

The George Dent Nursery School in Darlington continues to be held by BFSS as an investment property and is leased to Darlington Local Education Authority. The property is valued at ten times rental value and as the annual rent receivable is currently £17,500, the value of the investment property is £175,000 (2022: £175,000).

8.7 General expenditure other than grants

The expenditure on support and governance costs during the year was £209,865 (2022: £196,912 and amounted to 13.0% (2022: 14.7%) of total expenditure including grants. The increased cost was predominantly due to a temporary increase in staffing to support the Displacement Education Fund, together with the increased cost of hosting in-person events for shared learning among Members and Grant Partners. However, the percentage spend on running costs was lower than in the previous year due to the increased grant spend. Five part-time staff, equivalent to 2.4 full-time staff were employed for the first 8 months of the year before reducing to four part-time staff, equivalent to 2.2 full time staff.

8.8 Responsibilities of the Council in relation to the financial statements

The BFSS Council is responsible for preparing the Trustees’ annual report and financial statements in accordance with applicable law and United Kingdom accounting standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the Trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing the financial statements, the Trustees are required to:

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

The Trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements.

Each of the Trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that

the auditor is aware of such information.

Jane Creasy

Chair of BFSS Dated: 27 March 2024

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BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

9. Independent Auditor’s Report to the Trustees of The British & Foreign School Society

9.1 Opinion

We have audited the financial statements of The British & Foreign School Society (the ‘charity’) for the year ended 31 December 2022 which comprise the statement of financial activities, the balance sheet and the notes to the financial statements, 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:

9.3 Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ 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 charity’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 trustees with respect to going concern are described in the relevant sections of this report.

9.4 Other information

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

In connection with our audit of the financial statements, 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 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 financial statements 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.

9.5 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 (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

9.2 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 financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements 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.

BRITISH & FOREIGN SCHOOL SOCIETY

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ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

9.6 Responsibilities of Trustees

As explained more fully in the statement of Trustees’ responsibilities, the Trustees 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 Trustees 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 Trustees 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 Trustees either intend to cease operations, or have no realistic alternative but to do so.

9.7 Auditor’s 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 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 financial statements.

9.8 Extent to which the audit was capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of noncompliance 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:

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion.

There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at:

http://www.frc.org.uk/auditorsresponsibilities . This description forms part of our auditor’s report.

9.9 Use of our report

This report is made solely to the charity’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 charity’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 charity and the charity’s Trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Begbies

Chartered Accountants

Statutory Auditors 9 Bonhill Street

London EC2A 4DJ

May 2024

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

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BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 DECEMBER 2023

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 DECEMBER 2022

Note
INCOME
Donations and legacies
Investment income
Rents receivable
5a
Investment income
7b
Interest receivable
Permanent endowment transfer to income
11,12
Total income
EXPENDITURE
Expenditure on raising funds
Investment managers fees
7a
Property expenditure
Expenditure on charitable activities
Grants and costs
3
Total expenditure
Net expenditure and net movement
in funds before net gains/(losses) on investments
Gross transfers between funds
Expendable endowment transfer between funds
11,12
Permanent endowment transfer on resolution
Sarah Walker Spafford transfer for
unspent income
Management charges to restricted funds
11
Net income/(expenditure) before
other recognised gains and losses
Other recognised gains and losses
Revaluation surplus re investment property
5
Net gains/(losses) on investments
7a
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward		 Unrestricted
Restricted
Endowment
Total Funds
Total Funds
Funds
Funds
Funds
2023
2022
£
£
£
£
£
725
74,500
-
75,225
125,351
17,500
-
-
17,500
16,000
472,272
8,746
10,571
491,589
535,050
34,785
676
662
36,123
3,264
2,639
31,117
(33,756)
-
-
527,921
115,039
(22,523)
620,437
679,665
83,349
774
3,377
87,500
90,925
2,210
-
-
2,210
2,550
1,398,779
126,049
-
1,524,828
1,243,480
1,484,338
126,823
3,377
1,614,538
1,336,955
(956,417)
(11,784)
(25,900)
(994,101)
(657,290)
10,630
9,709
(20,339)
-
-
545,523
169,783
(715,306)
-
-
2,500
(2,500)
-
-
-
7,432
(7,432)
-
-
-
(390,332)
157,776
(761,545)
(994,101)
(657,290)
-
-
-
-
15,000
1,508,186
13,156
58,007
1,579,349
(4,053,961)
1,117,854
170,932
(703,538)
585,248
(4,696,251)
23,220,234
381,219
1,269,288
24,870,741
29,566,992
24,338,088
552,151
565,750
25,455,989
24,870,741

The notes numbered 1 to 14 form part of these financial statements. All amounts relate to continuing activities.

Note
INCOME
Donations and legacies
Investment income
Rents receivable
5a
Investment income
7b
Interest receivable
Permanent endowment transfer to income
11,12
Total income
EXPENDITURE
Expenditure on raising funds
Investment managers fees
7a
Property expenditure
Expenditure on charitable activities
Grants and costs
3
Total expenditure
Net income/(expenditure) and net movement
in funds before net losses on investments
Gross transfers between funds
Expendable endowment transfer between funds
11,12
Sarah Walker Spafford transfer for
unspent income
BFSS Trust transfer to permanent endowments
Management charges to restricted funds
Net income/(expenditure) before
other recognised gains and losses
Other recognised gains and losses
Revaluation surplus re investment property
Net losses on investments
7a
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward		 Unrestricted
Restricted
Endowment
Total Funds
Funds
Funds
Funds
2022
£
£
£
£
378
124,973
-
125,351
16,000
-
-
16,000
513,058
9,295
12,697
535,050
3,145
50
69
3,264
3,525
21,835
(25,360)
-
526,106
156,153
(12,594)
679,665
85,486
758
4,681
90,925
2,550
-
-
2,550
1,164,808
78,672
-
1,243,480
1,252,844
79,430
4,681
1,336,955
(716,738)
76,723
(17,275)
(657,290)
9,930
4,799
(14,729)
-
2,500
(2,500)
-
-
-
(202,667)
202,667
-
7,175
(7,175)
-
-
(697,133)
(130,820)
170,663
(657,290)
15,000
-
-
15,000
(3,811,482)
(33,770)
(208,709)
(4,053,961)
(4,493,615)
(164,590)
(38,046)
(4,696,251)
27,713,849
545,809
1,307,334
29,566,992
23,220,234
381,219
1,269,288
24,870,741

The notes numbered 1 to 14 form part of these financial statements. All amounts relate to continuing activities.

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ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

BALANCE SHEET

AT 31 DECEMBER 2023

2023 2022
Note £ £ £ £
FIXED ASSETS
Tangible fixed assets 5 2,445 2,649
Investment properties 5 175,000 175,000
Investment assets 6,7 25,072,270 24,654,134
25,249,715 24,831,783
CURRENT ASSETS
Debtors and prepayments 8 16,257 3,223
Cash at bank and in hand 254,068 132,060
270,325 135,283
LIABILITIES
Creditors: amounts falling due within one year 9 (64,051) (96,325)
NET CURRENT ASSETS 206,274 38,958
NET ASSETS 25,455,989 24,870,741
REPRESENTED BY:
CAPITAL ACCOUNT
Unrestricted funds
General reserve 24,163,088 23,045,234
Revaluation reserve 175,000 175,000
24,338,088 23,220,234
Restricted funds 11 552,151 381,219
Endowment funds 12 565,750 1,269,288
TOTAL CHARITY FUNDS 25,455,989 24,870,741

The notes numbered 1 to 14 form part of these financial statements.

Approved by the Council and authorised for issue on and signed on its behalf by ~~ee ee~~ Jane Creasy - Chair David Baron - Treasurer

CASH FLOW STATEMENT

FOR THE YEAR ENDED 31 DECEMBER 2023

See Note Below 2023 2022
£ £
CASH FLOWS FROM OPERATING ACTIVITIES
Net cash provided by (used in) operating activities 1 (1,589,157) (1,201,920)
Cash flows from investing activities:
Dividends, interest and rents from investments 545,212 554,315
Purchase of property, plant and equipment (941) (2,940)
Proceeds from sale of investments 7,895,671 11,694,990
Purchase of investments (6,681,864) (11,175,094)
Net cash provided by/(used in) investing activities 1,758,078 1,071,271
Change in cash and cash equivalents in the reporting period 168,921 (130,649)
Cash and cash equivalents at the
beginning of the reporting period 2 314,883 445,532
Cash and cash equivalents at the
end of the reporting period 483,804 314,883
NOTE 1: Reconciliation of net income/(expenditure) 2023 2022
to net cash flow from operating activities £ £
Net income/(expenditure) for the reporting period
(as per the statement of financial activities) 585,248 (4,696,251)
Adjustments for:
Depreciation charges 1,145 2,495
Revaluation Surplus on Investment Property - (15,000)
Unrealised (gains)/losses on investments (1,532,398) 3,186,897
Realised (gains)/losses on investments (48,877) 885,767
Dividends, interest and rents from investments (545,212) (554,315)
Non-cash investment income (3,755) (2,919)
(Increase)/decrease in debtors (13,034) (704)
Increase/(decrease) in creditors (32,274) (7,890)
Net cash provided by/(used in) operating activities (1,589,157) (1,201,920)
NOTE 2: Analysis of cash and cash equivalents 2023 2022
£ £
Cash in hand 168,621 132,060
Un-invested cash 229,736 182,823
Cash equivalents 85,447 -
Total cash and cash equivalents 483,804 314,883

NOTE 3: Reconciliation of net debt

NOTE 3: Reconciliation of net debt
Cash in hand Un-invested Cash
cash equivalents
At the beginning of the reporting period 132,060 182,823 -
Cashflows 36,561 46,913 85,447
At the end of the reporting period 168,621 229,736 85,447

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BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

NOTES TO THE FINANCIAL STATEMENTS

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE YEAR ENDED 31 DECEMBER 2023

g) Investment income

1. ACCOUNTING POLICIES

a) Basis of preparation

The British and Foreign Society is an unincorporated charity registered in England and Wales, registered charity number 314286. The registered office is 7-14 Great Dover Street, London SE1 4YR. The objectives and activities are as noted in the Annual Report.

The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note to these financial statements. The financial statements 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 UK and Republic of Ireland (FRS 102) (effective 1 January 2019) – (Charities SORP (FRS 102)) and the Charities Act 2011. The accounts are prepared in £ being the functional currency of the charity and round to the nearest £.

The British & Foreign School Society meets the definition of a public benefit entity under FRS 102. The Trustees consider that there are no material uncertainties about the charity’s ability to continue as a going concern because BFSS has over £25m of investments which is more than sufficient to cover at least 12 months of expenditure.

The most significant area of adjustment and key assumption that affects items in the financial statement relates to estimating the fair value of the investment property (see note 1(c) below).

b) Fixed assets

Fixed assets, with the exception of investment properties, are included at cost and are depreciated on a straight line basis over their useful lives at the following rates:

· Furniture and equipment 33%

· Computer equipment 25%

c) Investment properties

Investment properties are included in the financial statements at fair value. The Council has formerly valued the one remaining freehold property, the George Dent Nursery in Darlington, on the basis of ten times the annual rental income. The historic cost of the property is £1 (2022: £1).

d) Investment assets

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 market price. The Statement of Financial Activities includes the net gains and losses arising on the revaluation and disposals throughout the year. BFSS does not acquire put options, derivatives or other complex financial instruments.

e) Realised gains and losses

All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequently to the first day of the financial year.

Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities.

f) Donations and similar incoming resources

Donations and similar incoming resources are included in the financial statements in the year in which they are receivable.

Investment income and any related income tax recoverable are included in the financial statements in the year in which they are receivable.

h) Rental income

Rental income is normally credited in the financial statements in the year to which it relates. All rental income is attributable to unrestricted funds.

i) Expenditure

Liabilities are recognised as resources expended as soon as there is a legal or constructive obligation committing the charity to the expenditure. Expenditure is included in the statement of financial activities on an accruals basis and includes irrecoverable VAT.

j) Charitable activities

Charitable activities include grants by BFSS and the associated support costs. Grants are accounted for in the year in which the commitment is given, all relevant conditions having been fulfilled.

k) Support and governance costs

Support costs represent the cost of administering the affairs and managing and maintaining the assets of BFSS and of the other trust funds administered by BFSS.

Governance costs comprise all costs relating to the public accountability of BFSS and its compliance with regulation and good practice. These costs include the cost of Council meetings together with statutory audit fees.

l) Fund accounting

Trust funds that are the responsibility of BFSS are included in these accounts as restricted and endowment funds and details of the nature and purpose of each fund is set out in notes 11 to 12.

m) Leases

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

n) Financial instruments

BFSS 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.

o) Debtors

Debtors are amounts owed to BFSS. They are measured on the basis of their recoverable amount.

p) Cash and cash equivalents

Cash at bank is held to meet the day to day running costs of BFSS as they fall due. Cash equivalents are short term, highly liquid investments.

q) Liabilities

Liabilities are recognised when there is an obligation at the balance sheet date as a result of the 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 BFSS 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.

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BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

2. CHARITABLE EXPENDITURE - GRANTS

International projects
A Partner in Education
Able Child Africa
Advantage Africa
African Adventures Foundation
African Revival
AfriKids UK
Amala Education
Amazon Charitable Trust
Carers Worldwide
Chamos - In Aid of the Children of Venezuela
Chance for Childhood
Child Rescue Nepal
ChildHope UK
Children on the Edge
CodeBrave Foundation
Consortium for Street Children (previously
StreetInvest)
Diapalante
Disability and Development Partners
EduKaid
EduSpots
Entraide (Mutual Aid)
Feed the Minds
Fields of Life
Hands Up Foundation
Health & Hope UK
Healthprom
Hope for Children
inhive
Irise International
Joshua Orphan and Community Care
Just a Drop
Kidasha
Kyaninga CDC Trust
Learning for Life
Lyra in Africa
Made With Hope
Mobile Education Partnerships
Mondo Foundation
Money for Madagascar
Pamoja Leo
Prism the Gift Fund: Refugee Youth Service
Collective Fund
Raising Futures Kenya
Redearth Education
Rwanda Action
Sabre Education
Seenaryo
Sense International
Signpost International
Standing Voice
STEP UK
Sub Saharan Advisory Panel
Tea Leaf Trust
Teach2Teach International
Team Kenya
Temwa
The Hummingbird Initiative
The Mwezi Foundation
Toybox
Tushinde Children's Trust
Women’s Education Partnership		 Unrestricted
Restricted
Total
Funds
Funds
2023
£
£
£
28,860
-
28,860
29,923
-
29,923
22,351
-
22,351
-
-
-
15,207
-
15,207
21,863
-
21,863
-
-
-
20,000
-
20,000
11,093
-
11,093
6,960
-
6,960
15,000
-
15,000
14,976
-
14,976
-
-
-
30,000
30,000
60,000
14,837
-
14,837
27,723
-
27,723
-
-
-
36,665
-
36,665
28,666
-
28,666
25,878
-
25,878
-
-
-
14,699
-
14,699
21,047
-
21,047
15,000
-
15,000
30,000
-
30,000
16,985
-
16,985
13,788
-
13,788
-
-
-
5,000
-
5,000
15,703
-
15,703
14,462
-
14,462
-
-
-
19,948
-
19,948
33,876
-
33,876
9,682
-
9,682
-
-
-
9,407
-
9,407
11,775
-
11,775
18,300
-
18,300
-
-
-
13,980
-
13,980
11,948
-
11,948
9,873
-
9,873
13,750
-
13,750
30,000
-
30,000
14,989
-
14,989
-
-
-
-
30,000
30,000
-
-
-
29,450
-
29,450
30,000
-
30,000
12,000
-
12,000
15,080
-
15,080
24,520
-
24,520
9,709
-
9,709
-
14,000
14,000
-
11,649
11,649
20,000
-
20,000
19,389
-
19,389
-
-
-
854,362
85,649
940,011		 Unrestricted
Restricted
Total
Funds
Funds
2022
£
£
£
18,585
-
18,585
29,924
-
29,924
8,704
-
8,704
3,301
-
3,301
12,792
-
12,792
12,925
-
12,925
11,025
-
11,025
-
-
-
23,548
-
23,548
-
-
-
30,000
-
30,000
14,976
-
14,976
18,743
-
18,743
-
15,000
15,000
-
-
-
27,164
-
27,164
6,323
-
6,323
15,415
-
15,415
15,765
-
15,765
-
-
-
10,000
-
10,000
14,699
-
14,699
23,944
-
23,944
15,000
-
15,000
-
-
-
9,845
-
9,845
-
-
-
7,294
-
7,294
38,000
-
38,000
15,610
-
15,610
-
-
-
10,740
-
10,740
18,669
-
18,669
13,017
-
13,017
19,241
-
19,241
-
15,933
15,933
8,876
-
8,876
12,104
-
12,104
5,062
-
5,062
7,041
-
7,041
7,140
-
7,140
11,427
-
11,427
20,574
-
20,574
16,250
-
16,250
14,860
-
14,860
14,990
-
14,990
19,972
-
19,972
11,222
-
11,222
4,096
-
4,096
-
-
-
15,000
-
15,000
-
-
-
16,900
-
16,900
13,538
-
13,538
-
6,543
6,543
-
-
-
-
5,001
5,001
20,000
-
20,000
9,951
-
9,951
23,384
-
23,384
697,636
42,477
740,113

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

2. CHARITABLE EXPENDITURE - GRANTS

NOTE 2 CONTINUED
UK projects
Academy Transformation Trust
Afghanistan and Central Asian Association
Asylum Welcome
Bradford City of Sanctuary
Carers Trust Hillingdon
Children and Families Across Borders
Finding Rhythms
Hatfeld Primary Academy - Astrea Academy Trust
Healthprom
Hitchin British Schools Trust
HUB for SUCCESS through Edinburgh Napier
University
Hull FC Rugby Community Sports & Education
Foundation
Jericho Foundation
Connect: North Korea
Opportunity Sports Foundation
Passion for Learning CIO
Refugee Action Kingston
Refugee Education UK
Royal Caledonian Education Trust
Sheffeld Young Carers
SIEVEMK Gateway
The Why Not? Trust for Care Experienced Young
People
Voices from Care Cymru
Volunteer Tutors Organisation
YMCA Sutton Coldfeld
Grants from restricted funds to organisations
1st Chesterford Scout Group
Ashdon Primary School
Auckland Youth & Community Centre
Enterprise East Group CIC
Food Teachers Centre
Friends of Debden School
Friends of Granta School
Katherine Semar Junior School
Linton Village College
R A Butler Academy School
Saffron Hall Trust
Saffron Walden County High School
Saffron Walden Playgroup
Wiltshire Community Foundation
Total organisational grants
Grants from restricted funds to individuals
Total individual grants
Total grants
Less: Grants returned during the year		 Unrestricted
Restricted
Total
Funds
Funds
2023
£
£
£
-
-
-
14,197
-
14,197
12,453
-
12,453
8,630
8,630
30,000
-
30,000
-
-
-
-
-
-
-
-
-
24,761
-
24,761
500
-
500
30,000
-
30,000
23,020
-
23,020
-
-
-
26,460
-
26,460
29,358
-
29,358
-
-
-
28,508
-
28,508
10,435
10,434
20,869
-
-
-
27,991
-
27,991
19,138
-
19,138
14,704
-
14,704
14,570
-
14,570
14,040
-
14,040
29,182
-
29,182
357,947
10,434
368,381
-
5,000
5,000
-
4,032
4,032
-
2,500
2,500
-
5,000
5,000
-
-
-
-
5,000
5,000
-
5,000
5,000
-
3,990
3,990
-
600
600
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
31,122
31,122
1,212,309
127,205
1,339,514
-
344
344
-
344
344
1,212,309
127,549
1,339,858
(23,395)
(1,500)
(24,895)
1,188,914
126,049
1,314,963		 Unrestricted
Restricted
Total
Funds
Funds
2022
£
£
£
8,716
-
8,716
14,198
-
14,198
12,454
-
12,454
-
-
-
15,000
-
15,000
15,000
-
15,000
7,250
-
7,250
13,700
-
13,700
-
-
-
-
-
-
15,000
-
15,000
15,710
-
15,710
9,975
-
9,975
-
-
-
-
-
-
10,000
-
10,000
-
-
-
10,684
10,684
8,019
-
8,019
13,877
-
13,877
17,257
-
17,257
14,705
-
14,705
14,570
-
14,570
28,743
-
28,743
28,594
-
28,594
273,452
-
273,452
-
-
-
-
500
500
-
2,500
2,500
-
-
-
-
2,000
2,000
-
-
-
-
-
-
-
-
-
-
-
-
-
5,000
5,000
-
5,000
5,000
-
5,000
5,000
-
1,000
1,000
-
14,000
14,000


-
35,000
35,000
971,088
77,477
1,048,565
-
1,000
1,000
-
1,000
1,000
971,088
78,477
1,049,565
(2,997)
-
(2,997)
968,091
78,477
1,046,568

34

35

BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

3. CHARITABLE EXPENDITURE
Grants(see note 2)
Support costs
Salaries and offce costs
Shared learning expenses
Professional fees
Governance costs
Audit
Legal and professional costs
Trustee training
Council and Committee meetings
Grants(see note 2)
Support costs
Salaries and offce costs
Shared learning expenses
Professional fees
Governance costs
Audit
Legal and professional costs
Trustee training
Council and Committee meetings		 International
Total
projects
UK projects
2023
£
£
940,011
374,952
1,314,963
120,691
48,141
168,832
6,565
2,618
9,183
9,428
3,761
13,189
136,684
54,520
191,204
4,890
1,950
6,840
2,217
884
3,101
832
332
1,164
5,401
2,155
7,556
13,340
5,321
18,661
1,090,035
434,793
1,524,828
International
Total
projects
UK projects
2022
£
£
£
740,113
306,455
1,046,568
108,440
44,902
153,342
5,027
2,081
7,108
14,161
5,863
20,024
127,628
52,846
180,474
4,837
2,003
6,840
2,020
836
2,856
177
73
250
4,591
1,901
6,492
11,625
4,813
16,438
879,366
364,114
1,243,480
4. STAFF COSTS & RELATED PARTY TRANSACTIONS
Salaries
Social security costs
Pension contributions
Consultants fees
Accountancy services
The average number of employees during the year was:
Management and administration		 2023
£
134,142
7,759
8,262
6,603
6,586
163,353
5		 2022
£
117,033
6,643
6,849
14,864
5,160
150,549
4

Management and administration

No staff employee received remuneration amounting to more than £60,000 in the year (2022: None).

BFSS considers its key management personnel to comprise the members of the Council and the BFSS Director. The Society delegates the-day-day running of the charity to its Director. The ultimate responsibility lies with the Trustees. The remuneration of the Director in the year was £54,556 (2022: £53,373) including pension and employers' National Insurance.

BFSS bought in accountancy services from Godfrey Wilson which cost £6,348 (2022: £5,160).

Consultants fees include £1,876 to construct a new website and £4,400 in conference event planning.

No remuneration was paid to any member of the Council during 2023 or 2022 and there are no related party transactions to disclose other than above. Reimbursement of expenses in relation to attendance at meetings amounted to £1,792 paid to seven Trustees in 2023 (2022: £1,036 paid to nine Trustees).

During the year a grant of £28,860 was paid to A Partner In Education, a charity of which A Barnecutt was previously Chief Executive. A Barnecutt did not have overall control of A Partner In Education, and was no longer Chief Executive when the grant was decided.

Support and governance costs have been allocated in proportion to project location.

36

37

BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

NOTES TO THE FINANCIAL STATEMENTS

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

5.
FIXED ASSETS
COST & VALUATION
At 1st January 2023
Additions
Revaluation surplus
Disposals
At 31st December 2023
DEPRECIATION
At 1st January 2023
Charge for the year
Disposals
At 31st December 2023
NET BOOK VALUE
At 31st December 2023
At 31st December 2022		 Freehold land &
buildings
Furniture &
equipment
Total
£
£
£
175,000
13,364
188,364
-
941
941
-
-
(3,466)
(3,466)
175,000
10,839
185,839
-
10,715
10,715
-
1,145
1,145
-
(3,466)
(3,466)
-
8,394
8,394
175,000
2,445
177,445
175,000
2,649
177,649

Freehold land and buildings comprise investment properties which are not depreciated.

Council values the freehold property, the George Dent Nursery in Darlington, on the basis of ten times annual rental income. A new lease was agreed with the tenant from 25 December 2022 with a rent of £17,500 per annum, the property is therefore valued at £175,000.

The historic cost of this property is £1 (2022: £1).

FOR THE YEAR ENDED 31 DECEMBER 2023

6. UNITS HELD IN POOLED INVESTMENT FUND

6. UNITS HELD IN POOLED INVESTMENT FUND
a)
Number of units held
ENDOWMENT FUNDS
Wilmslow British School Endowment Fund
Darlington College Building Fund
Alfred Bourne
British School Charity
Old British School
West Street Old British School
BFSS Trust
RESTRICTED FUNDS
BFSS Trust
Berridge Trust
South Church Trust
Sarah Walker and Spafford
UNRESTRICTED FUNDS
British & Foreign School Society		 Units held
Units
Units held
1 Jan 2023
transferred
31 Dec 2023
No.
No.
No.
2,360
(2,360)
-
2,112
(2,112)
-
315
-
315
2,917
-
2,917
2,161
-
2,161
788
(788)
-
1,652
(1,652)
-
12,305
(6,912)
5,393
-
1,652
1,652
344
-
344
389
-
389
1,258
-
1,258
1,991
1,652
3,643
224,732
5,260
229,992
224,732
5,260
229,992
239,028
-
239,028

The charity invests the assets of all its funds into a single investment portfolio in order to minimise the costs of management. The portfolio is invested in a wide range of listed equities and fixed income holdings. In order to allocate the investments to each fund the portfolio is nominally divided into unitised holdings.

b) Value of units held

5a RENTS RECEIVABLE

2023 2022 £ £ George Dent Nursery, Darlington 17,500 16,000

Value of units held
ENDOWMENT FUNDS
Wilmslow British School Endowment Fund
Darlington College Building Fund
Alfred Bourne
British School Charity
Old British School
West Street Old British School
BFSS Trust
RESTRICTED FUNDS
BFSS Trust
Berridge Trust
South Church Trust
Sarah Walker and Spafford
UNRESTRICTED FUNDS
British & Foreign School Society
Value per unit		 Fund market
Funds
Increase/
Fund market
value
transferred
(decrease)
value
1 Jan 2023
in year
in fund value
31 Dec 2023
£
£
£
£
243,450
(244,754)
1,304
-
217,844
(219,011)
1,167
-
32,503
-
551
33,054
300,880
-
5,103
305,983
222,932
-
3,781
226,713
81,322
(81,758)
436
-
170,357
(169,783)
(574)
-
1,269,288
(715,306)
11,768
565,750
-
169,783
3,463
173,246
35,429
-
602
36,031
40,139
-
680
40,819
129,774
-
2,201
131,975
205,342
169,783
6,946
382,071
23,179,504
545,523
399,422
24,124,449
23,179,504
545,523
399,422
24,124,449
24,654,134
-
418,136
25,072,270
103.14
104.89

38

39

BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

7. POOLED INVESTMENT FUND
Opening value at 1 January 2023
FUND MOVEMENTS
Investments acquired at cost
Proceeds of investments sold
Realised gains on sale of investments during the year
Unrealised gains on investments during the year
Exchange rate differences
Non-cash investment income
Investment income receivable
Interest receivable
Investment management fees paid
Distributions to funds during the year
NET FUND MOVEMENTS
CLOSING VALUE OF FUND AT 31 DECEMBER 2023
UK fxed interest
Overseas fxed interest
UK equities
European equities
US equities
Other worldwide equities
Managed funds:
Emerging economies
UK property
Infrastructure
Commodities
Cash on deposit		 Un-invested
Investments
cash
Total
£
£
£
24,471,311
182,823
24,654,134
6,681,864
(6,681,864)
-
(7,895,671)
7,895,671
-
48,877
-
48,877
1,532,398
-
1,532,398
-
(1,163)
(1,163)
3,755
-
3,755
-
491,589
491,589
-
29,573
29,573
-
(86,893)
(86,893)
-
(1,600,000)
(1,600,000)
371,223
46,913
418,136
24,842,534
229,736
25,072,270
Investments
Cash
Total
1,381,316
-
1,381,316
620,442
-
620,442
3,732,095
-
3,732,095
2,974,822
-
2,974,822
8,104,345
-
8,104,345
3,351,097
-
3,351,097
1,194,384
-
1,194,384
1,139,600
-
1,139,600
1,592,898
-
1,592,898
558,535
-
558,535
193,000
229,736
422,736
24,842,534
229,736
25,072,270
7a. INVESTMENT RETURN
Unrealised gains/(losses) on investments during the year
Exchange rate movements
Realised gains/(losses) on investment during the year
Net gains on investment assets
Investment income receivable (see note 7b))
Investment management fees paid and accrued		 2023
2022
£
£
1,532,398
(3,186,897)
(1,926)
18,703
48,877
(885,767)
1,579,349
(4,053,961)
491,589
535,050
(87,500)
(90,925)
1,983,438
(3,609,836)

The charity derives the majority of its income from the above investments. Whilst most of the funds held by the charity are available to meet expenditure, the trustees must balance the needs of current beneficiaries against those of the future. For this reason, although largely not a permanently endowed fund, the charity uses a total return basis in order to inform its budgeted expenditure across all funds.

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

7b. INVESTMENT INCOME
UK fxed interest
Overseas fxed interest
UK equities
European equities
US equities
Other worldwide equities
UK property
Alternative assets
Other
8. DEBTORS AND PREPAYMENTS
Due within one year
Sundry debtors and prepayments
9. CREDITORS AND ACCRUALS
Grants payable
Rent received in advance
Contributions to pension scheme
Other creditors		 2023
2022
£
£
21,662
11,049
28,109
12,743
165,379
231,433
24,861
20,479
60,345
50,000
59,799
65,032
56,953
55,700
63,914
74,326
10,567
14,288
491,589
535,050
2023
2022
£
£
16,257
3,223
2023
2022
£
£
25,600
56,404
4,375
4,000
2,740
-
31,336
35,921
64,051
96,325

10. FINANCIAL COMMITMENTS

a) Other grants

At the year end the BFSS has the intention to pay grants totalling £1,403,065 (2022: £1,623,862) in the future which have not been included in the accounts as they are conditional on the recipients providing satisfactory evidence that they have met the reporting requirements required by BFSS and the subsequent approval of payment.

b) Leases

BFSS is currently located in shared offices in London with an annual licence fee of £4,976. Service costs are based on usage and charged quarterly in arrears. The licence is terminable at three months notice giving a commitment of £1,244.

c) Archive

By Deed of Covenant and Gift signed on 11 December 2013 BFSS made a gift of the Archive to Brunel University. No further payment to Brunel University in respect of the Archive will therefore be made, nor will any further insurance costs be incurred.

d) Capital commitments

BFSS has no capital commitments at 31 December 2023 (2022: £ nil).

The historic cost of investments held at the year end totalled £22,028,962.

The trustees report includes further discussion regarding the investment policy of the charity.

The trustees budgeted to spend from the investment returns detailed above £1,787,647 (2022: £1,222,243) to cover the spending requirements of the charity in the year. The remainder of the investment returns are to remain invested.

40

41

BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

NOTES TO THE FINANCIAL STATEMENTS

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

11. RESTRICTED FUNDS

TRUSTS AND OTHER FUNDS ADMINISTERED BY BFSS

Incoming resources
Donations
Investment income
Pooled investment fund
Bank interest
Permanent endowment transfer to income
Total incoming resources
Resources expended
Direct charitable expenditure
Management and administration
- investment management fees
- transfer from main fund
Total resources expended
Net (expenditure)/income
before gains/(losses) on investments
Expendable endowment transfer
Sarah Walker Spafford transfer for
unspent income
BFSS transfer (to)/from permanent
endowment
Net gains/(losses) on investments
Net movement in funds
Fund balances brought forward
Fund balances carried forward		 Total restricted
funds		 Richard Pain
Trust		 BFSS Trust Alfred Bourne
2023
2022
£
£
74,500
124,973
8,746
9,295
676
50
31,117
21,835		 2023
2022
£
£
74,000
124,973
-
-
-
-
-
-		 2023
2022
£
£
500
-
207
-
76
-
9,484
7,385		 2023
2022
£
£
-
-
-
-
-
-
2,109
1,408
115,039
156,153
126,049
78,672
774
758
7,432
7,175		 74,000
124,973
96,083
42,477
-
-
-
-		 10,267
7,385
-
-
45
-
1,231
1,312		 2,109
1,408
-
2,000
-
-
265
250
134,255
86,605		 96,083
42,477		 1,276
1,312		 265
2,250
(19,216)
69,548
9,709
4,799
(2,500)
(2,500)
169,783(202,667)
13,156(33,770)		 (22,083)
82,496
-
-
-
-
-
-
-
-		 8,991
6,073
-
-
-
-
169,783(202,667)
-
-		 1,844
(842)
-
-
-
-
-
-
-
-
170,932 (164,590)
381,219545,809		 (22,083)
82,496
92,022
9,526		 178,774(196,594)
17,677
214,271		 1,844
(842)
4,220
5,062
552,151
381,219		 69,939
92,022		 196,451
17,677		 6,064
4,220

FOR THE YEAR ENDED 31 DECEMBER 2023

11. RESTRICTED FUNDS

TRUSTS AND OTHER FUNDS ADMINISTERED BY BFSS (continued)
Berridge Trust British School
Charity		 South Church
Educational Fund		 Sarah Walker and
Spafford Memorial Fund		 Old British School
2023
2022
£
£
-
-
707
770
50
4
-
-		 2023
2022
£
£
-
-
-
-
-
-
19,524
13,042		 2023
2022
£
£
-
-
800
871
56
5
-
-		 2023
2022
£
£
-
-
2,587
2,816
182
15
-
-		 2023
2022
£
£
-
-
4,445
4,838
312
26
-
-
757
774
-
2,000
126
131
289
273		 19,524
13,042
27,466
17,695
-
-
2,449
2,316		 856
876
2,500
2,500
142
148
327
309		 2,769
2,831
-
-
461
479
1,056
999		 4,757
4,864
-
12,000
-
-
1,815
1,716
415
2,404		 29,915
20,011		 2,969
2,957		 1,517
1,478		 1,815
13,716
342
(1,630)
-
-
-
-
-
-
2,273
(5,834)		 (10,391)
(6,969)
-
-
-
-
-
-
-
-		 (2,113)
(2,081)
-
-
-
-
-
-
2,571
(6,600)		 1,252
1,353
-
-
(2,500)
(2,500)
-
-
8,312
(21,336)		 2,942
(8,852)
9,709
4,799
-
-
-
-
-
-
2,615
(7,464)
37,512
44,976		 (10,391)
(6,969)
24,506
31,475		 458
(8,681)
47,906
56,587		 7,064
(22,483)
155,643
178,126		 12,651
(4,053)
1,733
5,786
40,127
37,512		 14,115
24,506		 48,364
47,906		 162,707
155,643		 14,384
1,733

Restricted funds represent the income of other charitable trusts which are administered by BFSS and unavailable for general charitable expenditure or donations which have been received for a specified purpose.

Name of Fund

Richard Pain Trust

The British & Foreign School Society Trust (BFSS Trust) (Charity number 312516)

The Alfred Bourne Trust Fund (subsidiary of Charity number 314286)

Purpose of Fund A restricted fund created by grants from the Richard Pain Trust allocated to specific projects.

To provide financial assistance or award scholarships or grants to persons in the London Boroughs of Bermondsey, Bethnal Green, Poplar, Southwark and Stepney in connection with their education. During the year the Charity Commission approved a resolution to transfer the endowment to restricted funds, to enable the distribution of larger and more effective grants.

To provide financial assistance to persons undertaking education up to the age of 30.

Name of Fund

The Berridge Trust (subsidiary of Charity number 314286)

The British School Charity (subsidiary of Charity number 314286)

The Sarah Walker and Spafford Memorial Fund (administered under Charity number 314286).

South Church Educational Fund (subsidiary of Charity number 314286)

Old British School (Charity number 309444)

Purpose of Fund

To promote the training of cookery teachers.

To promote the education of persons under the age of 25 in the neighbourhood of Saffron Walden.

To provide grants for educational travel for young people. Under the terms of the fund, the trustees can transfer unspent income to the main fund at their discretion.

To promote education in the area of the District of the Wear Valley.

To promote the education of persons under the age of 25 who are in need of financial assistance and live within a radius of 20 miles from Bratton, Wiltshire, preference being given to those resident in Bratton.

42

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BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

12. ENDOWMENT FUNDS

TRUSTS AND OTHER FUNDS ADMINISTERED BY BFSS
Incoming resources
Investment income
Permanent endowment pooled investment fund
Permanent endowment bank interest
Permanent endowment transfer to income
Total incoming resources
Resources expended
Investment management fees
Net expenditure
before gains/(losses) on investments
Expendable endowment transfer between funds
BFSS transfer (to)/from restricted funds
Transfers to unrestricted funds
Net gains/(losses) on investments
Net movement in funds
Endowment fund balances brought forward
Endowment fund balances carried forward		 Total endowment
funds
2023
2022
£
£
10,571
12,697
662
69
(33,756)
(25,360)		 Wilmslow
2023
2022
£
£
-
-
-
-
-
-		 Darlington
2023
2022
£
£
-
-
-
-
-
-
(22,523)
(12,594)
3,377
4,681		 -
-
429
898		 -
-
383
803
(25,900)
(17,275)
(20,339)
(14,729)
(169,783)
202,667
(545,523)
-
58,007
(208,709)		 (429)
(898)
(5,610)
(5,241)
-
-
(244,754)
-
7,343
(40,031)		 (383)
(803)
(5,020)
(4,689)
-
-
(219,011)
-
6,570
(35,820)
(703,538)
(38,046)
1,269,288
1,307,334		 (243,450)
(46,170)
243,450
289,620		 (217,844)
(41,312)
217,844
259,156
565,750
1,269,288		 -
243,450		 -
217,844

Endowment funds represent capital amounts held by the charity for the longer term to generate income for the charity or the other trusts which are administered by BFSS. Endowment funds share in the total return from the investment funds. This allows trustees to invest endowment funds to maximise total return and to apply an appropriate proportion of the total return to income for the year and so be available for expenditure. BFSS has two types of endowment fund, permanent and expendable endowment funds.

Expendable endowments income can be spent as unrestricted funds, unless the charity is restricted to the areas in which the income and capital can be spent. Where the charity holds permanent endowments there is no ability to spend the original capital funds. Having considered their obligations under the duty of even-handedness the trustees made a transfer of £20,339 of the total return from the expendable endowment funds to income funds and a transfer of £33,756 of the total return from the permanent endowment funds to income funds. In making these decisions the trustees have taken into account the current investment climate, the return on investment for the year and the income needs of BFSS.

Name of Fund

Purpose of Fund

The fund was an expendable endowment, however the capital was restricted. During the year the Charity Commission approved a resolution to transfer the endowment to be used for BFSS general purposes.

Wilmslow British School Endowment Fund

(subsidiary of charity number 314286)

The fund was an expendable endowment, however the capital was restricted. During the year the Charity Commission approved a resolution to transfer the endowment to be used for BFSS general purposes.

Darlington College Building Fund

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

12. ENDOWMENT FUNDS

TRUSTS AND OTHER FUNDS ADMINISTERED BY BFSS (continued)

Alfred Bourne
2023
2022
£
£
648
705
46
4
(2,109)
(1,408)		 British School
Charity
2023
2022
£
£
5,999
6,530
421
36
(19,524)
(13,042)		 Old British School
2023
2022
£
£
-
-
-
-
-
-		 West Street
2023
2022
£
£
734
1,765
32
10
(2,639)
(3,525)		 BFSS Trust
2023
2022
£
£
3,190
3,697
163
19
(9,484)
(7,385)
(1,415)
(699)
115
120		 (13,104)
(6,476)
1,067
1,110		 -
-
791
822		 (1,873)
(1,750)
144
300		 (6,131)
(3,669)
448
628
(1,530)
(819)
-
-
-
-
-
-
2,081
(5,342)		 (14,171)
(7,586)
-
-
-
-
-
-
19,274
(49,474)		 (791)
(822)
(9,709)
(4,799)
-
-
-
-
14,281
(36,657)		 (2,017)
(2,050)
-
-
-
-
(81,758)
-
2,453
(13,372)		 (6,579)
(4,297)
-
-
(169,783)
202,667
-
-
6,005
(28,013)
551
(6,161)
32,503
38,664		 5,103
(57,060)
300,880
357,940		 3,781
(42,278)
222,932
265,210		 (81,322)
(15,422)
81,322
96,744		 (170,357)
170,357
170,357
-
33,054
32,503		 305,983
300,880		 226,713
222,932		 -
81,322		 -
170,357

Name of Fund

Purpose of Fund

The Alfred Bourne Trust Fund (subsidiary of charity number 314286)

The fund is a permanent endowment. The income of the endowment is restricted as detailed in note 11.

The British School Charity (subsidiary of charity number 314286)

The charity incorporates a permanent endowment. The income of the endowment is restricted as detailed in note 11.

The Old British School is an expendable endowment. The income of the endowment is restricted as detailed in note 11.

Old British School (Charity number 309444)

The fund was a permanent endowment. During the year the Charity Commission approved a resolution to transfer the endowment to be used for BFSS general purposes.

West Street Old British School, Wareham (subsidiary of charity number 314286)

The charity incorporated a permanent endowment. The income of the endowment is restricted as detailed in note 11. During the year the Charity Commission approved a resolution to transfer the endowment to restricted funds, to enable the distribution of larger and more effective grants.

The British & Foreign School Society Trust

(BFSS Trust) (Charity number 312516)

44

45

BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

NOTES TO THE FINANCIAL STATEMENTS

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

13. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Endowment funds
Wilmslow British School Endowment Fund - expendable endowment
Darlington College Building Fund - expendable endowment
Alfred Bourne- permanent endowment
British School Charity - permanent endowment
Old British School - expendable endowment
West Street Old British School - permanent endowment
BFSS Trust - permanent endowment
Restricted funds
Richard Pain Trust
BFSS Trust
Alfred Bourne
Berridge Trust
British School Charity
South Church Trust
Sarah Walker and Spafford
Old British School
Unrestricted funds
British & Foreign School Society
Endowment funds
Wilmslow British School Endowment Fund - expendable endowment
Darlington College Building Fund - expendable endowment
Alfred Bourne- permanent endowment
British School Charity- permanent endowment
Old British School- expendable endowment
West Street Old British School- permanent endowment
BFSS Trust - permanent endowment
Restricted funds
Richard Pain Trust
BFSS Trust
Alfred Bourne
Berridge Trust
British School Charity
South Church Trust
Sarah Walker and Spafford
Old British School
Unrestricted funds
British & Foreign School Society		 Tangible fxed
assets and
investment
property
Pooled funds
Net current
assets
Total 2023
£
£
£
£
-
-
-
-
-
-
-
-
-
33,054
-
33,054
-
305,983
-
305,983
-
226,713
-
226,713
-
-
-
-
-
-
-
-
-
565,750
-
565,750
-
-
69,939
69,939
-
173,246
23,205
196,451
-
-
6,064
6,064
-
36,031
4,096
40,127
-
-
14,115
14,115
-
40,819
7,545
48,364
-
131,975
30,732
162,707
-
-
14,384
**14,384 **
-
382,071
170,080
552,151
177,445
24,124,449
36,194
24,338,088
177,445
25,072,270
206,274
25,455,989
Tangible fxed
assets and
investment
property
Pooled funds
Net current
assets
Total 2022
£
£
£
£
-
243,450
-
243,450
-
217,844
-
217,844
-
32,503
-
32,503
-
300,880
-
300,880
-
222,932
-
222,932
-
81,322
-
81,322
-
170,357
-
170,357
-
1,269,288
-
1,269,288
-
-
92,022
92,022
-
-
17,677
17,677
-
-
4,220
4,220
-
35,429
2,083
37,512
-
-
24,506
24,506
-
40,139
7,767
47,906
-
129,774
25,869
155,643
-
-
1,733
1,733
-
205,342
175,877
381,219
177,649
23,179,504
(136,919)
23,220,234
177,649
24,654,134
38,958
24,870,741

FOR THE YEAR ENDED 31 DECEMBER 2023

14. TOTAL RETURN

Endowment funds represent capital amounts held by the charity for the longer term to generate income for the charity or the other trusts which are administered by BFSS. Endowment funds share in the total return from the investment funds. This allows trustees to invest endowment funds to maximise total return and to apply an appropriate proportion of the total return to income for the year and so be available for expenditure. BFSS has two types of endowment fund, permanent and expendable endowment funds.

Where the charity holds permanent endowments there is no ability to spend the original capital funds. In 2007 the charity obtained permission to use the total return basis for the investment of the permanent endowments held. The trustees are obliged to balance the income requirements to apply to current expenditure on charitable objects with the need for long term capital growth. In order to achieve these two aims the charity must consider the unapplied total return available for transfer to the income funds.

Total permanent endowment
balance at 1 January 2007
Value of the fund as at 31st December 2022
Unapplied total return brought forward
Transfers out to general funds
Increase/ (decrease) in fund value
Unapplied total return at 31 December 2023
Value of the fund as at 31st December 2023		 Alfred
Bourne
British
School
Charity
West
Street
BFSS
Trust
Total
£
£
£
£
£
26,393
244,329
66,037
138,341
475,100
32,503
300,880
81,322
170,357
585,062
6,110
56,551
15,285
32,016
109,962
-
-
(15,285)
(32,016)
(47,301)
551
5,103
-
-
5,654
6,661
61,654
-
-
68,315
33,054
305,983
-
-
339,037

During the year the Charity Commission gave approval for the permanent endowments of West Street Old British School, Wareham, to be transferred to the main unrestricted fund and The British & Foreign School Trust (BFSS Trust) to be transferred to restricted funds, to enable the distribution of larger and more effective grants.

46

47

BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

British & Foreign School Society

MEMBERS OF THE GRANTS COMMITTEE

Prof Joy Palmer Cooper (Chair) Suela Aksoy (from May 2023) Amy Barnecutt (until August 2023) Charlotte Cashman Vic Craggs (until May 2023) Jane Creasy

David Crowther (from May 2023) John Kanyaru (until December 2023) Janice Miller Peter Miller (until May 2023) Nicholas Tesseyman (from May 2023)

MEMBERS OF THE FINANCE AND INVESTMENTS COMMITTEE

David Baron (Chair) Janice Miller Suela Aksoy (from May 2023) Peter Miller (until May 2023) Jane Creasy (from June 2022) Nicholas Tesseyman (from May 2023) John Kanyaru (until May 2023)

PROFESSIONAL ADVISORS

Investment Manager

Rathbones – Incorporating Investec Wealth & Investment (UK) 30 Gresham Street London EC2V 7QN

Bankers

Barclays Bank plc CCLA CAF Bank Ltd 6 Clarence Street One Angel Lane 25 Kings Hill Avenue Kingston upon Thames London EC4R 3AB Kings Hill KT1 1NY West Mailing Kent ME19 4JQ

DELEGATES OF BFSS RESTRICTED FUNDS

Officers of BFSS Officers of BFSS Diana Hoy (Chair) Claire Cameron Ann Geeves Alison Stewart

The Alfred Bourne Trust Fund

Berridge Trust The British School Charity

Sarah Walker & Spafford Memorial Fund Officers of BFSS South Church Educational Fund Officers of BFSS

TRUSTEES OF THE BFSS TRUST

Independent Auditor

Begbies Chartered Accountants and Registered Auditors 9 Bonhill Street

London EC2A 4DJ

Accountant

Godfrey Wilson Ltd 5th Floor, Mariner House 62 Prince Street Bristol BS1 4QD

BFSS Council

TRUSTEES OF THE OLD BRITISH SCHOOL

BFSS Council

REPRESENTATIVES SERVING ON OUTSIDE BODIES

Trustees

Caroline Lindley’s Educational Christopher Watt Foundation, Norwich Jenny Hoult Great and Little Leighs Educational Paul Cooke Charity, Essex Prior’s Charity, Chesham Kevin Patrick Steeple Bumpstead Educational Charity Rosemarie O’Hare

Property Consultant

Sanderson Weatherall Robert House Westpoint Road Stockton TS17 6BA

Solicitors

Knights Farrer & Co Lakeside House 66 Lincoln’s Inn Fields Kingfisher Way London WC2A 3LH Stockton-On-Tees TS18 3NB

GOVERNORS

Isleworth and Syon School for Boys Dr Emily Tomlinson David Grindley

48

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BRITISH & FOREIGN SCHOOL SOCIETY

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

British & Foreign School Society 7-14 Great Dover Street London SE1 4YR

Web: www.bfss.org.uk Tel: 020 7922 7814 Email: grants@bfss.org.uk Twitter: @BFSSCharity

April 2024 Registered Charity no. 314286

© British and Foreign Schools Society. All rights reserved.

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BRITISH & FOREIGN SCHOOL SOCIETY