2022-07-31-accounts

Company information
Company registration number:	01339524
Charity registration number:	0507245
Principal address and registered office:	Wentworth Castle
	Lowe Lane
	Stainborough
	BARNSLEY
	SouthYorkshire
	S75 3ET
Key Management Personnel:	Y Mellor - Principal and Chief Executive/
	Accounting Officer(to28" February 2023)
	E Beal - Interim Principal and Chief
	Executive/Accounting	Officer(from 1"March
	2023)
	S Saunders-Assistant	Principal Finance and
	Business Services/ (Interim Deputy
	Principal/CFOfrom 1"March 2023)
	E Beal -Assistant Principal, Curriculum, Quality
	and Market Development (to28"February 2023)
	D Lawson-Assistant Principal, Student
	Experience
Company Secretary:	S Johnson
	(acted as Clerktothe Corporationthroughout
	theyear)
Members:	M Bowie	N James
	C Clifton	S Schmoller
	N Copley	E Beal
	ACorrigan	E Norton
	B Craig	M Sanders
	C Forrest	E Stanley
	S Horner	TThornton
Bankers:	Lloyds Bank pic
	14Church Street
	SHEFFIELD
	S1 1 HP
Solicitors:	Eversheds LLP
	Cloth Hall Court
	Infirmary Street
	LEEDS
	LS1 2JB
Internal auditors:	Barnsley MBC- Internal Audit Services (to 31 July
	2022)
	Westgate Plaza
	PO Box 634
	BARNSLEY
	S709EY

Reportof the members of the Board ofGovernors incorporatingthe
Operating and Financial Review and Strategic Report	2-16
Corporate governance statement incorporatingthe statement of
internal control	17-25
Statement ofRegularity, Propriety and Compliance	26
Statement ofgoverning body's responsibilities	27-28
Independent auditor's reporttothe members ofThe Northern Coi lege for
Residential Adult Education Limited	29-32
Statement ofcomprehensive income	33
Balance sheet	34
Statement ofchanges in reserves	35
Statement ofcashflows	36
Notestothe financial statements	37-60
Reporting accountant's assurance reporton regularity

Key performance indicator	Key performance indicator	Measure/Target	Actual for
			2021/22
Surplus as% of income - Exc FRS 102 Pension		3.1%	(37.0%)
Surplus as% of income - Inc FRS 102 Pension			(54.08%)
EBITDA %- Education Specific		7.6%	(33.4%)
Pay as% of income (Exe restructuring and		61.5%	82.05%
FRS102)
% of ESFA/SYMCA/WYCA	recurrent grant	87.2%	83.44%
income
Adjusted Current Ratio		>1.6	1.86
Cash Days		>40	270
Borrowina as % of turnover		0%	0%
Enrolments		4,875	1,545
Achievement rate%		93.6%	93%
Financial Health		Outstandinq	Requires Improvement

Number of employees who were trade union representatives for
the oeriod
The FTE number of trade union representatives forthe period
Percentage of working hours spent on facility time during this	1 Representative Between 1-50%
oeriod
The total pay bill during this period	£2,423,529
The total cost of Facility time during this period	£1,170.24
Percentage of the total pay bill spent on facility time	0.05%
Number of hours spent on facility time	46
Number of hours spent on trade union activities	22
Percentage of total paid facility time hours spent on paid trade	47.83%
union activities

						Attendance
	Date of	Term of	Date of	Status of	Committees	%(Board)
	appointment	office	resignation	appointment	served	2021/22
Mrs E	01.03.2023	Ex-officio		Principal/Chief	Member - Policy	n/a
Beal				Executive	and Finance,
					COSE
MsM	15.09.2022	4 years	27.01.2023	Staff - Academic	Member - COSE	n/a
Bowie
Prof M	First	To	31.07.2022	Interest or	Chair-COSE (to	71%
Bramhall	Appointed	31.07.202		expertise	31.07.2022)
	19.07.13	2		relevant to the
	Reappointed			College
	30.09.2021

						Attendance
	Date of	Term of	Date of	Status of	Committees	%(Board)
	appointment	office	resia nation	appointment	served	2021/22
MsC	01.09.21	To	23.02.2023	Interest or	Member- Policy	86%
Clifton		31.08.2025		expertise	and Finance;
				relevanttothe	Remuneration
				Colleqe
MrN	11.04.2022	4years		Interest or	Member- Policy	100%
Copley				expertise	and Finance;
				relevanttothe	Remuneration
				Colleae
MsA	First	4years		Interest or	Member- Policy	100%
Corrigan	Appointed			expertise	and Finance,
	01.08.2018			relevanttothe	Remuneration
	Reappointed			College
	01.08.2022
Mr B	11.04.2022	4years		Interest or	Member-	100%
Craig				expertise	Curriculum,
				relevanttothe	Qualityand
				College	Student
					Experience
MrJ	First	To	31.12.2021	Interest or	Member - Policy	50%
Edwards	Appointed	31.12.21		expertise	& Finance,
	01.08.09			relevanttothe	Remuneration
	Reappointed			College
	15.07.21
DrC	First	4years		Interest or	Chair - COSE	100%
Forrest	Appointed			expertise	(from
	01.08.2018			relevanttothe	01.08.2022},
	Reappointed			College	Lead Governor
	01.08.2022				Safeauardina
Mr R	First	Sept	30.06.2022	Interest or	Co-chair - Board	83%
Harrison	Appointed	2022		expertise	of Governors;
	08.05.01			relevanttothe	Chair -Company;
	Reappointed			College	Chair- Search
	12.03.20
DrS	01.09.21	4years		Interest or	Member-	86%
Horner				expertise	Curriculum,
				relevanttothe	Quality and
				College	Student
					Experience
MrN	13.07.17	4 years		Staff- Business	Member- Policy	100%
James	Reappointed			Support	and Finance
	15.07.21
	10.03.2022

						Attendance
	Date of	Term of	Date of	Status of	Committees	%(Board)
	appointment	office	resignation	appointment	served	2021/22
Mr F	First	To	31.12.2022	Interest or	Member -	50%
Lord	Appointed	31.12.21		expertise	Remuneration
	13.12.02			relevanttothe
	Reappointed			College
	30.9.2021
MrC	First	Sept	30.06.2022	Interest or	Co-chair- Board	83%
Macdon	Appointed	2022		expertise	of Governors;
aid	13.09.02			relevant tothe	ViceChair-
	Reappointed			College	Company; Chair-
	12.03.20				Policy & Finance;
					Member-
					Remuneration,
					Search
Ms E	16.03.2022	4years		Interest or	Member-Audit	67%
Norton				expertise
				relevanttothe
				College
MsY	20.08.18	Ex-officio	28.02.2023	Principal	Member- Policy	100%
Mellor					& Finance, COSE,
					Search
MrH	01.09.21	4years	06.06.2022	Interest or	Member-	83%
Otulako				expertise	Curriculum,
wski				relevant tothe	Quality and
				College	Student
					Experience
Cllr K	First	To	31.07.2022	Interest or	Vice-Chair-	86%
Richards	Appointed	31.7.2022		expertise	Board of
on	18.03.11			relevant tothe	Governors;
	Reappointed			College	Member-Audit
	30.9.21
MrA	16.12.2021	To	31.05.2022	Student		67%
Roberts		31.05.2022
MrM	11.04.2022	4years		Interest or	Chair - Board of	100%
Sanders				expertise	Governors,
				relevanttothe	Company, Policy
				College	and Finance:
					Member-
					Remuneration

						Attendance
	Date of	Term of	Date of	Status of	Committees	% (Board)
	appointment	office	resignation	appointment	served	2021/22
MrS	01.04.21	4 years		Interest and	Member-Audit,	100%
Schmolier				expertise	Vice -Chair -
				relevant to the	Board
				College
Ms E	First	4 years		Interest and	Chair-Audit	100%
Stanley	Appointed			expertise
	16.07.15			relevant tothe
	Reappointed			College
	16.07.19
MrA	First	4 years		Current student		n/a
Taylor	Appointed
	22.02.2023
ProfT	First	2 years		Interest and	Member - COSE,	86%
Thornton	Appointed			expertise	Policy & Finance;
	16.07.09			relevant tothe	Chair -
	Reappointed			College	Remuneration
	01.08.2022

		2022	2021
			as
			restated
	Note	£'000	£'000
Income
Funding body grants	3	2,873	4,204
Tuition fees and education contracts	4	255	325
Research grants and contracts	5	3	4
Other income	6	174	67
Investment income	7	7	6
Total income		3,312	4,606
Expenditure
Staff costs (inc restructuring)	8	3,188	3,042
Other operating expenses	9	1,576	1,466
Depreciation	12/13	207	218
Interest and other finance costs	10	85	102
Total expenditure		5,056	4,828
(Deficit) for the year		(1,744)	(222)
Re-measurement of net defined benefit
pension liability		4,334	905
Other comprehensive income for the
year		4,334	905
Total comprehensive income for the year
attributable to the Corporation of the
College		2,590	683

Balance Sheet
		2022	2021
			as restated
	Note	£'000	£'000
Fixed assets
Tangiblefixed assets	12	3,786	3,841
Intangiblefixed assets	13	32	25
		3,818	3,866
Current assets
Debtors	14	242	125
Investments		2,116	2,616
Cash at bank and in hand	20	1,005	2,184
		3,363	4,925
Less: Creditors: amounts falling due within one year	15	(1,887)	(2,220)
Net current assets		1,476	2,705
Total assets less current liabilities		5,294	6,571
Creditors: amounts falling due after more than one
year	16	(689)	(769)
Provisions
Defined benefit obligations	17/19	(1,101)	(5,253)
Otherprovisions	17/19	(791)	(426)
Total net assets		2,713	123
Unrestricted reserves
Incomeand expenditurereserve		2,713	123
Total funds		2,713	123

Statement of changes in reserves
	Income and
	expenditure
	reserve
	£'000
Balance at 1 August 2020 (as restated)	(560)
Deficit from the income and expenditure account	(222)
Other comprehensive income	905
Total comprehensive income forthe year	683
Balance at 31July 2021 (as restated)	123
Deficit from the income and expenditure account	(1,744)
Other comprehensive income	4,334
Total comprehensive income forthe year	2,590
Balance at 31July 2022	2,713

		2022	2021
			as restated
	Note	£'000	£'000
Cash from operating activities
(Deficit)forthe year		(1,744)	(222)
Adjustment for non-cash items
Depreciation		204	196
Amortisation		3	22
(lncrease)/Decrease in debtors		(116)	117
(Decrease)/lncrease in creditors due within one year		(333)	618
(Decrease)/lncrease in creditors due after one year		(80)	141
Increase in provisions		361	49
Pension cost		370	596
Pension contributions paid		(273)	(401)
Adjustments for investing activities
Investment income		(7)	(6)
Interestpayable		85	102
Net cash from operating activities		(1,530)	1,212
Cash flows from investing activities
Investment income		7	6
Payments madeto acquirefixed assets		(156)	(380)
		(149)	(374)
(Decrease)/increase in cash and cash equivalents in the
year		(1,679)	838
Cash and cash equivalents beginning ofthe year		4,800	3,962
Cash and cash equivalents at end of the year	20	3,121	4,800

	2021	2021	2021
	As
	previously
	reported	Adjustment As restated
Changes to the Balance Sheet	£'000	£'000	£'000
Tangible fixed assets	2,072	1,769	3,841
Net(liabilities)/assets	(1,646)	1,769	123
Unrestricted reserves
Income and expenditure reserve	(1,646)	1,769	123
	(1,646)	1,769	123
	2020	2020	2020
	As
	previously
	reported	Adjustment As restated
Changes to the Balance Sheet	£'000	£'000	£'000
Tangiblefixed assets	1,951	1,733	3,684
Netassets	(2,293)	1,733	(560)
Unrestricted reserves
Income and expenditure reserve	(2,293)	1,733	(560)
	(2,293)	1,733	(560)

2. Prior period adjustment (continued)
	2021	2021	2021
	As
	previously
	reported	Adjustment As restated
	£'000	£'000	£'000
Changes to the Statement of comprehensive income
Depreciation	254	(36)	218
Total expenditure	4,864	(36)	4,828
Deficitfortheyear	(258)	36	(222)
Total comprehensive incomefortheyearattributableto	647	36	683
the corporation of the college
Changes to the Statement of changes in equity
Balance at 1 August 2020	(2,293)	1,829	(464)
Deficitfromthe income and expenditureaccount	(258)	36	(222)
Total comprehensive incomefor theyear	647	36	683
Balance at 31 July 2021	(1,646)	1,769	123

Notes to the financial statements
3. Funding body grants	2022	2021
	£'000	£'000
Adult Skills Budget
ESFA	136	3,869
SYMCA	1,855
WYCA	639
Adult Learner Loan Bursary	98	191
Advanced Learner Loans	61	71
Release of deferred capital grants	84	73
	2,873	4,204
4. Tuition fees and Education contracts	2022	2021
	£'000	£'000
Tuition Fees:
Home fees and charges	255	325
5. Research grants and contracts	2022	2021
	£'000	£'000
Release from Government capital grants	3	4
6. Other income	2022	2021
	£'000	£'000
Catering and residence operations	110	46
Other income generating activities	56	13
Other	8	8
	174	67
7. Investment income	2022	2021
	£'000	£'000
Interest receivable	7	6

Staff costs during the year were as follows:	2022	2021
	£'000	£'000
Wages and salaries	1,977	2,088
Social security costs	185	200
Pension costs	953	660
	3,115	2,948
Restructuring costs
Contractual	73	87
Non-contractual		7
	3,188	3,042

	2022	2021
	Number	Number
		As restated
Teaching staff:
Teaching departments - teaching staff	28	38
Total Teaching support services	14	12
Total teaching staff	42	50
Non teaching staff:
Other support services	8	3
Administration and central services	20	23
Premises	25	17
Total non teaching staff	53	43
Total staff	95	93

	2022	2021
	Number	Number
	Key	Key
	management	management
	personnel	personnel
£60,001 to £65,000
£65,001 to £70,000	3	2
£70,001 to £75,000
£75,001 to £80,000
£80,001 to £85,000
£85,001 to £90,000
£90,001 to £95,000
£95,001 to £100,000
£100,001 to £105,000
£105,001 to £100,000	1
	4	3

	2022	2021
	Number	Number
		As restated
The number of key management personnel including the accounting
officerwas:	4	4

	2022	2021
	£'000	£'000
Salaries	312	309
Pension contributions	57	56
Total key management personnel emoluments	369	365

		2022	2021
		£'000	£'000
Salary		107	107
Pension	contribution	23	22
		130	129

	2021/22	2020/21
Pay multiple ofthe Principal/Chief Executive/Accounting Officer	3.68	3.79
basic pay and the median earnings ofthe College's whole
workforce
Pay multiple ofthe Principal/Chief Executive/Accounting Officer	3.79	3.79
total emoluments and the median earnings ofthe College's whole
workforce

	2022	2021
	£'000	£'000
Emoluments	151	163
Pension contribution	32	34
	183	197

	2022	2021
	£'000	£'000
Teaching costs	384	274
Non-teaching costs	245	298
Premises costs	947	894
	1,576	1,466
Other operating expenses include:	2022	2021
	£'000	£'000
Auditors' remuneration (excluding VAT)
- Financial statements audit	46	37
Internal audit	4	2
10. Interest and other finance costs
	2022	2021
	£'000	£'000
Net interestand defined benefit pension liability	85	102
11. Taxation

	Freehold	Improve-
	land and	ments
	buildings to property		Equipment	Vehicles	Total
	£'000	£'000	£'000	£'000	£'000
Cost
At 1 August2021 (as restated)	3,715	712	1,785	9	6,221
Additions		65	84		149
Disposals
At31 July2022	3,715	777	1,869	9	6,370
Depreciation
At 1 August2021 (as restated)	662	124	1,585	9	2,380
Chargeforthe year	95	50	59		204
Disposals
At31 July2022	757	174	1,644	9	2,584
Carrying amount at 31July 2022	2,958	603	225		3,786
Netbook amount at31 July 2021	3,053	588	200		3,841

	Software,
	Website &
	Branding
	£'000
Cost
At 1 August2021	54
Additions	9
At31 July 2022	63
Amortisation
At 1 August2021	29
Chargeforthe year	2
At31 July2022	31
Net book value at 31July 2022	32
Netbook amount at31 July 2021	25

	2022	2021
	£'000	£'000
Amounts falling due within one year:
Trade receivables	154	33
Prepayments and accrued income	88	92
	242	125
Creditors: amounts falling due within one year
	2022	2021
	£'000	£'000
Trade payables	130	350
Othertaxation and social security	51	46
Other creditors	2	3
Accruals and deferred income	322	256
Governmentcapital grants	82	89
Amounts owedtothe ESFA	395	1,476
Amounts owedto SYMCA	905
	--
	1,887	2,220

		2022	2021
		£'000	£'000
Governmentcapital	grants	689	769

		Obligation
		to fund
	Defined	deficit
	benefit	on USS	Enhanced
	obligations	Pension	pension	Total
	£'000	£'000	£'000	£'000
At 1 August 2021	5,253	374	52	5,679
Additional provision
made/(released) in the year	(3,879)	393	(3)	(3,489)
Utilised in the year	(273)	(21)	(4)	(298)
At 31 July 2022	1,101	746	45	1,892

	2022	2021
Price inflation	2.9%	2.6%
Net interest rate	3.3%	1.6%

	2022	2021
	£'000	£'000
Universities' Superannuation Scheme contributions paid	193	186
USS additional provisions	393	(177)
	586	9
South Yorkshire Pensions Authority contributions paid	273	401
FRS 102(28) charge	97	197
	370	598
Enhanced pension provision	(3)
	953	607

Latest actuarial valuation	31 March 2020
Actuarial method	Projected Unit
Discount Rate	0.89%
Pensionable Salary Growth	n/a
Price Inflation (CPI)	2.1%
Market value of assets at date of last valuation	£66.5 Billion
Proportion of members' accrued benefits covered by the actuarial value of	79%
the assets

	At 31 July	At 31 July
	2022	2021
	%	%
Future rate of increase in salaries	3.75	3.85
Future pension Increase rate (CPI)	2.75	2.70
Discount rate for scheme liabilities	3.50	1.60

		At 31 July	At 31 July
		2022	2021
Retiring	today
Males		22.6	22.5
Females		25.4	25.3
Retiring	in 20 years
Males		24.1	24
Females		27.3	27.2

eturn were:
	Value at	Valueat
	31July	31 July
	2022	2021
	£'000	£'000
Equity instruments	8,103	5,515
Government bonds	2,622	1,608
Other bonds		873
Property	1,073	1,011
Cash/liquidity	119	207
Other		2,275
Total fair value of assets	11,917	11,489
Actual return on plan assets	486	1,757

follows:
	2022	2021
	£'000	£'000
Fair value of plan assets	11,917	11,489
Present value of plan liabilities	(13,018)	(16,742)
Net pensions liability	(1,101)	(5,253) -----
**Amounts recognised in the Statement of comprehensive income in respect of the **		plan are as
follows:
	2022	2021
	£'000	£'000
Amounts included in staff costs
Current service cost	(364)	(347)
Past service cost	(ó)
Total	(370)	(347)
		t
	2022	2021
	£'000	£'000
Amounts included in interest and other finance costs
Net interest cost	(85)	(95) ___.....;...;..
Amount recognised in Other comprehensive income
	2022	2021
	£'000	£'000
Return on pension plan assets	303	1,445
Experience gain/losses arising on defined benefit obligations	(51)	(538)
Change in financial assumptions underlying the scheme liabilities	4,082	-----
Amount recognised in Other comprehensive income	4,334	----- 907
Movement in net defined benefit liability during year
	2022	2021
	£'000	£'000
Net defined benefit liability in scheme at 1 August	(5,253)	(5,868)
Movement in year:
Current service charge	(364)	(347)
Past service cost	(6)	-----
	(370)	(347) _:...:...
Employer contributions	273	401
Curtailments		(251)
Interest cost	(85)	(95)
Actuarial gain	4.334	907
Net defined benefit liability at 31July	(1,101)	(5,253) __;...;.._.;.

Asset and Liability Reconciliation
	2022	2021
	£'000	£'000
Changes in the present value of defined benefit
obligations
Defined benefit obligations at start of period	16,742	15,773
Current service cost	364	347
Interest cost	268	249
Contributions by scheme participants	59	57
Actuarial (gains)/ losses	(4,031)	538
Curtailments		251
Benefits paid	(390)	(473)
Past ServiceCost	6
Defined benefit obligations at end of period	13,018	16,742
Changes in fair value of plan assets
	2022	2021
	£'000	£'000
Fair value of plan assets at start of period	11,489	9,905
Interest income	183	158
Returnon plan assets (excluding net interest onthe
defined benefit pension liability)	303	1,441
Employercontributions	273	401
Contributions by scheme participants	59	57
Benefits paid	(390)	(473)
Fair value of plan assets at the end ofthe period	11,917	11,489

	At1
	August		At 31 July
	2021	Cashflows	2022
	£'000	£'000	£'000
Cash at bank and in hand	2,184	( 1,179)	1,005
Investments	2,616	(500)	2,116
Netfunds, cash and cash equivalents	4,800	(1,679)	3,121