Registered Charity No. 526564 The MGS Trust TRUSTEES, REPORT and FINANCIAL STATEMENTS for the year ended 31 December 2023 Tho MGS Trust Contents Pa Infomati¢)n Rewrt of the Trustees Audito￿8 R•pcft Statement of Finan081 AclNities Balance Sh••t 10 C88h 8latttMnt 11 Note¥ to the A￿oUnts 12 The MGS Trust Tru8t Infomiation Ch•rity Numb•r 526584 Mr N J Rithans MrJ HTulty Mr R F WFlower Mr l Thofpe MrAA Kallumpram S•¢rntary G L Griffrths Princip•l Offic• cjo The Man¢h•8t•f Gran*m¥ ScPwl Old Hall Lane Man¢he8tsr M13 OXT Bank•r4 Nalional Westhlnster Bank pk Splnningfidds Square Blanch 182 Deansgate Manthester M3 3LY Audltorn Clarke Nicklin LLP Brooks Driv• Ch￿￿1• Roy418u$iMu Park Chèadl• SK8 3r0 Invo•tment AdvlBern Sarasin & Pwthefs LLP Juxon House 100 Sl P4vl's Churth4rd London EC4M 88U merid￿[￿ Investrnent Management L¢d (wgvTh* called Veritss Invgstment Partner8 (UKI Llmiled Riverside House 2a Southwark 8ndge Road London SE19HA Tax r•fvrgnGo XN18041 The MGS Tntst Tru8t•K' R•port for 2023 The Trustees pres￿1 thèir report arbj the audrted finanoal statements of the MGS Trust (a r•gistefeé charity No. 526564} for the year erbjed 31 DecEmber 2023. The financial Statements have been ￿pared in a¢xordance with the accourting F¥Jliues set out on pages 12 to 14 and compty %vilh the deeds of Thè MGS Trust, the Charrties Ad 2011 aTrJ the Accounting and R6POrting by Chariti•$'. Statement of Recommerxled Practice applicabb to charities preparirvJ thèir actrjunts Ih th• Financial RepthrvJ Standard app￿cabI* in the UK and Republic of Ireland effectbve on 1 January 2019. RefereTr2 and pljrn￿l8tr5￿.0n detaiL8 of Th MGS Trus( ib Trustees and Advise are $el out on 1. StNctur•, g¢)v•rn*ne• *nd m*n*goment The MGS Trust wa8 consbluted by a Dedaration 0¢ Tru$l dated 5th A￿.1 1966 and is wvemed by Seve￿ suppl•m•ntal trust doeth. The MGS Tru81 Is con811￿ted a8 an unlncorpomted AAowation, The power to appc4nt T￿W Trustees 18 vestod in the existwig Trusteè8. When r8quir8d, new Trustees aT• aPPC4ntad aftw deciwon by tha existing Trusté•s as to the skill I best suited lo thg needs of Th¥ MGS TnL8t Recwrtment 1$ Ihen initiatod ¢0 identify a Suilabl? candidate. The Truste￿ are conansid8r8d these risks in relat￿n to going concarn and given the still onsidera￿e excess of the value of In¥estments ihe annual cost of bur8aries they continue to believe that thwe is a reasonable expecJatw)n that the Trust has adequate re80urces to continue In oporthnal ￿#tel￿o for tr* ftyeseeat4e futwè. AchSfrv•m•nts •nd p•rfornian¢• The Trustee8 have agreed wlh the Sc*ool thal 8 grant of £2.801.110 wll be made to the Sthol to nd burs$rie8 for the academic year stsItr￿ in September 2023. As In wious year$ tho School wll b• r••wAible lor the •I￿x0t10rt ofts tyant betrh*•n trthe pupih d••m•d to qualify. Th• investment manager5 have lull (thscretion to rwate ￿ltIn the lirnitj ¢f • stralegy agre8d wby gulafly by thè Tru8tses. Perlofmane* is me#Su￿¢ quart•rty by rofarertè to nctrffiarka agreed bahw•n the Trustee8 and inve8lrnnt managars. The Trustfju confimi th81 Ihey h•v• CCWWKlered the risks to vA)th thè fix)ds cg)uld be expos•d on are satisfied that adequate systems and ¢￿tr￿S are in pLKe lo Mit￿30t* th0￿ ri8k8. Flnanclal R￿l•W total Ir￿lming¥ for the year 2023 arn￿￿ted to £2.845.709 indudirvJ: DonalK*n9 ar￿109a¢ Inv••lm•nt In(>Jm• Tax r8e0vwa￿4 Interejt receivable 2,004.279 064,363 87,159 89.038 A summary of Iho of lh¢ investment portfol"o is set al 2 to the accounts on page 15. Net gain$ on investments sold amountsd to £66.760 againat markat values 41 l J￿Uary 2023. Other investments inr¥eased IA value by £2.313,579 resulting in total nel gains of £2,380,339 over tho ￿r. In 2023 th•re was an In￿¥8• in tctsl of £2.420.591 to £30,187.739 Gr•nt m•king poIIcy Grants are recognised as the o)mmitment arises All grants payab￿ are the benefrt of The manch￿tsr Grammar School. rtj ojrrent and fom)er pupl$, and ¥9roed on an ￿nUal basi$ by th• Trustees. The MGS Tru8t Trustees. Report for 2023 R•s•r¥•s polky TrLtstées have established a fveby an amount equvalent to the anticipated grant payable during the next tyRlve months is heid in r•addy available fom. Th8 policy in respect tsf tho General Bursary Fund and the Bursary Endo4￿1 Furhy is 8Wainad fijrthw bel¢￿. Thè Trustee8 have determined ths* M ¢hange to tre reserves rdicy 1$ required at this time. The reserves policy #long investment F*rf0M￿n¢8. **uacy of resoLYces and the pdndpal rlsks are fevie¥b*d on a reg￿¥ bam. tot* fund8 hdd at 31 DO￿nber 2023 **re £30.187.73912022- £27,787,148). All the funds of thè Trust arè Restrlcted Funds a$ doffin￿ by th• Statèn*nl of Racommend•d The General Bursary FWKI represents grfts (lonaled by iThJrwdual$ aTrJ ￿9￿nIS￿l10n8 to meet tho cost of provid￿9 bursaries to wpil$ of The ManGhe$ler Grammar Sthool, together with ac(JJmulaled income. The Tfustee$ and The M¥￿heSter Gran￿r agree eath year th •m¢)unl ol bursary grant required and frJnd8 released to Th8 man(*￿ter Grammar Sehool at appropriat• time8 of the ac•demt year. The bal￿ of the General Fund 1$ r•t•nod ¢0 pr¢)vide bur8ario$ for lut)Jre aca¢emK Ye￿ a$ and vkn*n agmd I)etr￿en Iho Trustee6 gnd The Manchester Grammar School. The Trusleeg h8ve the to distribute both incomo ¢•pit•l from th• Oen•r¥l Burnary Furtd. bursary kvant fof academK yw 2024-202S ha8 1)een agreed at £2,674,411 1202>2024 £2,801,110). The Bursary Endovmènl Fund *ill ma81 lh• rèquir4ménts of cèrtain donors who wish to mak& donatKJn8 on an éThJchvm*nt bayis. Each yoar thg income wll bè used, 88 required, to meet th• cost of burjwes ￿ explained above. Incon* can be appl*d in Ihis way rf the caprtal value of tho Bursary Endtywment Fund is hifftr than tot* of inflats)n adNsted lu•ing the Consumer Prfcel lTrJe¥l ¢knn4ti0n8 and legK*$ received. The Trustee8 #re nol 4utrortwd to $F•nd or apply any of the cawt•l of the 8ur84ry Endtrmnent Fund, prowded that they may spend or appty incom? that ha8 been prewously added to the Fund ￿ thoLW it Ino)me arising in the then t￿rrent year. Publi¢ b•n•frt pl•n• for pwiod• The Manchg$ler Grammar S¢￿1 Devebpm$nt Offtt is Successfully continuing fvndr•i$ing. Stèps have been laken to encour4e ccffltinuing support from parents. cAd boys of the Schod and othèr btrnefactors. The Trustees continu8 to COn￿der the public beneffl requirement In the11ghl of the guidanc• issuèd by the Charity Commiss￿n in th6 commitrnent of The Manche$ler Grammar School lo its provi8lon ofthe b•nefiL The Tn*to0s ** in le9￿aT cl￿￿ with The Manchestsr Grarnm￿ School in relation to the public benefft requwement and the f¢x determining tr￿ awaT(l of txx$wi￿. The MGS Trust Trustees. Report lor 2023 statornent of Trustees. Re8ponBibllltieB The TN$lee$ a￿ rwJponsible for prewiNJ the repjrt of the Trustees aTrJ the finanual $tatamenls in acC￿d¥nce wth applicable I￿ and Vnrted Kingdom ActountrKJ Stsndards {Unrted ￿ngdorn G8n$rallyAcc•pt•d Acivjnting Prac*ice). Charty law requires the TN3tee8 to prepare f¥wn(ial staternnts for eKh fin￿la1 yoar that gov• a true and fair wew of the state of affoirs of th8 ¢hanty and ofthe Ir￿)ming resources and application of rtr50urces ol the charity for tho year. In prepatiry these financial 1tatsm￿ts the TNstse$ ¥e required to.. {a) lect ￿rtabl0 aCC¢￿ting and oppty them r¥Jn8iStwrtly. Ibl observe lh• m•thr>Js •KI priniiples of the Ch¥lti•s Ststem•nt of Récommende Practi¢•'. Icl mako judgments and estin•tss th•t are rea8c#)•blo prudent.. and Id) prepare the fin￿la1 statwnents on th& goin9 basi* unl￿* it 18 inapproprfal• to pr•8ume that the ¢h8rity wll continue in Opera￿n. The Trustees are responsible f¢f k•w"ng ¥xounting records that di8¢108e wilh reasonabltr accuracy the fi￿n￿41 p)s￿On of the tharity and enablè them lo ensure thot tho financial $t*ements compty wilh the ch8riti.es Acl 2011 and rogulab'ons mad• th•reurKler. Thoy ¥• al80 reSpOn&b￿ for 54feguarding the a8sets of lh• charty and hen¢x for t*lThJ rea#￿￿bI& 8t•p$ the prevention and deteth.on olfraud ￿ other irre9uLqnlie8. Sign•d on b•half of th• Trustee8 Nigel J Richfrn$ Trusts The MG8 Trust IndO￿Trdent Audltotrs R•port to the truste￿ of Tho MGS Trust Opinlon We h8ve auditèy the finantsal st*tem￿ of The MGS Twst {the "chanw) for the year ended 31 December 2023 which comprise the statement of financial thilie5. the balance sheet, the statemènt of ¢88h flows and the related notes. The finanaal rwrting fram*hY)￿ that ha$ Èeen applied in thèir preparation is applicable law and United Kin9(h)m A￿OUnti1vj Stsndards. I￿uding FRS 102 'The Financixl Raporting Standard applicable in the UK and Repu￿￿ of Irelanrf (Uniled lfjngdtyn G¢neraty Acwled A￿Unting Pra￿￿￿1. In our opinion, financ4al statements.. ' give a true and fair view of the stste of the charity'3 affairs 8$ at 31 D￿nber 2023 and of h8 incomlng resources and application of resowces for tt)e year then ende(l.' . have been properfy wepar&a in accAxdwJ Urited KKthJdom Genernlty Accept•d A&))unting P￿tiCe. . ho￿ been prepor•d in ac¢tydar)c• *ith th8 reqwrements of thè Ch•r11108 Act 2011. B••h for oplnlon Wo our authl in accordance wilh Intsmalional Standards on Auditing (UK) IISA8 IUKII applKable law. Our re¥￿1￿.11￿.•S thder those stsndards aro further deycribed in the ALvJilorfs responsibdibe8 for the aL*Jit of th8 fin￿81 ststements sedh)n of our report. We are Independènt of the charity in accLJrdanc8 the ethi¢•l requir•m•nts that arg relgvant lo our audrt of the financial statèménts in tt)e UK, In¢luding th• FRC'S Ethul Standard and we have lulfilleil our clhar ethical rts8pon$ibilitye$ In accordanGe with Ihese requirements. We bel*ve Ih•t the •udit evMlenc* have obtaingd ij suffi¢iont •nd appropriJt• to provKl• a ba￿* for our own￿. Con¢lu•ion• r•l•ting to golng ¢¢n¢•m In auditing tho financial $tatèm•nts. we have c*)nduded that the tr￿te¢s, of the going co1￿*M b￿1 ¢f acco￿ting in the Pfewalion ofthe financi¥l statenwnts 1$ appropriate. ea8•d on th• work we have wrfomied. we have not iderthfied any m¥t•ri•l unc8rtaintK*i rèlating to •v•nts or Condrfons that. indiwdualty or collectively. may east sl9nrf￿4nt dwbt on tho Gharity's abilrty to Ly)ntinué as 8 going ¢M¢em for a p￿r￿j ol al kna81 ￿ve months from th thè fin•rwl statements are authori88(I for iysue. Our ￿$r￿SibIl￿ets and the r•4pon8ltriltss of th6 Irusteej wilh rospeL* to 90in9 c¢ncem art dI￿ri￿d in th• relovanl 8e¢tion8 of this report. Other infomi•tlon The other informafjc￿ compri￿3 the infomabon induded ffi th• annual report. other than thè finandal gtatements and our audit￿9 rep¢xt theT8on. The trustee8 ¥• ￿sp￿Si￿e for the other infomalion. Our opinion on lh6 finanaal 8tatements does not &)vw the other infrxmation arKI V•* do not 8xpro9s any fom ¢)f assurance cC￿Clusion ihereon. In connection with olr audit of the financial statements our respon&iÈilty is to read th6 other Inf¢rmatiDn and, in thing so. consider ¥thether the Olher information is malerialy ￿ConSIStent the finanaal Slatsmgnls or our kn¢ythgdge obtained in the autht e* Oth￿l￿8e appears to te materialw misstatad. If we idgnb.fy su¢h material incwsistenties or apparnnt material mlsstaterr￿. we are [8q￿red to detsmine whether thertr li materlal mi88tstement in the financial 5Litements or a material misstatement of the other mformoh'on. If. based on the work ￿ have perforrned, we condude Ihat Ihwe is a mater￿1 misgtatement of this olh•r infomiation, are reqL•red ts) rep￿1 fact. We have nothing to report in this r•gard. The MGS Trust Indgpgndent Audltotrs Report to th• In￿te08 of The MGS Tn￿t Matter¥ on whlch ￿ arn requlrod to roport by 0x￿pIlOn We have nothing to report in re8F￿rt ofthe folknmng matter8 in relation lo vthith tho Charities (Accounts and R8FQrtsl Rag[dat￿n8 2008 requn us lo repxt to you rf. in our wnion.. . thè infomats.on given in the trustees. report is incon8Btsnt in any material r*s￿¢t ¥￿th the finanaal 8talements', crf . pr¢per a¢countirvJ records have ncll t*en kept.. or . the financAal slatements are not in agreement wrth tre acc￿n￿n9 reGocd$', or * we have not received all the infomiation and explwwtion$ we require for our autht., • th& trustees were not entived to prepare the financial ststemenls in ac￿dance the small ¢omp3nies' regime and tske adv￿￿gO of thè sm811 companièB' 6x8mrA*J)6 in prepanNJ the trustees. r•port and from th requir•m•nt to prepare a Strateg￿ r•porL R••pon•lblllti•g Oftn￿ta•s As explainfjd more fvlty in the Tr￿t￿$, Re8b￿￿'￿I￿'•S Slakngnt sat oul on page 5. the trustees are responsible for the preparation of Ihe fThnaal statsments and for being satisfied that thèy give a tr￿ and fair view. and for euch intemal c&)trol as the tru8tses detem)ine 18 necessary to enablè thè prèparth'on of finanaal 8tatsmentg that are free from matwial misgtstemenl. vA)etker due to fraud tsr 8rror. In preparing the finanGial ststements. the tru8tV8 ￿ responsi￿e for aMos8lng tho charity'• abilty to continue 38 a going ￿ncern. di$closirvJ. as applic*Ao. matt•rs ielate(I to go*ig eone•m and using th8 going coneem baw$ of accwnting unlesg the trustees ether Intend to IKiuidat• the charty ry lo Gea•e operatio￿, or have no realistic 8lt•mthie bth to do 80. Audltorf• rn•pon•lbllltlM for th• audlt of th• fln•ncl•l •tst•m•nts We hg¥e been appointed a¥ auditor under seCt￿n 144 of the Charilles Act 2011 and r•pyt In accordance the Act and relevant regulations made or hawng effect th•reund•r Our objectives are to obtsin rea￿nable assurance abcArt %thether the financaal ststements as • VI*￿1• ar• free from material rnisststement, whether (*Je trj fraud or ewor. and to issue *) auditor's rnport that includès our opinion. Reasonable assuranc* 1$ a h￿h of as$uranGe. bul 1$ not a guarantee that an auLII nducted in ac￿rIanCe wrth IW (UK) wll aways det8d 8 materi81 mi8Statem8nl when rt exists. Mi88tatements can 8ri8e from fraud or error arvj are consKlered mateiial if, individually or in th8 aggregate, tr•y could rèasonably t4 exp•¢l•d lo infflu•nc* the o￿nI￿nIG deosim ol users taken LI) the ba818 of t￿8• ffn•na818tslwrents. IrfOgularth'•8, indudino fraud, am IngtarK*8 ol noTrcompliqn(x wAih la%* and regulat￿$. W8 deS￿n pr¢xodUr￿ in line vrith olx rnSFOn￿￿M'l1f10S, oudined above. to dete￿ maten"•l misstslgments in respect of irregularitieg, induding fraud. The specrfic proeedures for this eng•gw*nt and the extent to which these are ¢op¥ble of detecting irregularitig¥. iTKluding Iraud 1$ d¢tsled bel￿Al.. Th• •xl•nl to which th• •udit wa• ¢on•ld•r•(l ¢9￿bI9 of d•t•etlng Irr•gul*rftl•g Incknllng fr•ud We identify assess the risks of m*rial MI￿latement of the financ4al st*ments, wh8ther due lo frnud or orror. and Ihen design and perfonn audit procedures respon$Nè tr) those ri8k8. ￿￿uding r*stairing audit evidence that is sufficient and approFrfiate to provide a t￿1$ for our opinion. In iyentifying and addressing nsks of material mlsstslement in rnspect of irregu￿r￿¢9. I￿uding fraud ond nctrcompli8nce l•h8 aThJ ￿9V￿liC￿, proct￿r&S InckwJ¢d the foll¢Ming'. The MGS Trust Indopondent Auditors R¢port to the tnot¢es of The MGS TnMt . We oWined an understanding of I￿. regulations ar*J guidaw that Off￿t the tharity, focusing on th08e that had a direct effect cffl the financAal Statements ¢X that had a fundan*ntal effect on rts 0￿rations. Key laws, regulations and guidance that Itsnb￿d ir*aud*J tho Charrtles Act 2011, taxation legislation, data prolecb'on and employment legislatiw. • We enquired ofthg trustees revIe￿d corresF4Mthnee aTrJ trustse nwting M￿uteS for evidence of non. Gompliance wilh relevant law? and regukli(Th. We also ¢ontrol$ the trustees have in place. wthere ne¢e$sary, to en$we compliance. * We gained 3n undarstani*ng ofthe ¢￿tr¢I5 that Iht tftLSt••s have in place to prevent arTrd dete¢t fraud. W8 anqured of the trust•es abjut any w￿IdenceS of fraud that had taken place during the aC￿L￿ting peric*J. • The risk of fraud and nonthoynplonce laws and regulatKJns was digcu$sed within thè auc*l team and tests were planned and performed to &ldres5 these risks. . We reviewed finanoal Statements th"sdosures supporbrmj dOC￿MentatiOn to a$$e88 c¢)mplianca with rel8v*)I laws and regulati￿$ disujssed above. è Wè énquwed of the trustees abc￿rt actual and rolential Irb9alion and daims. * We perfomied anèlW"cal proc•dur•$ to id•ntify ￿ unusual or ￿eXPeCted relationship$ that might indicate sks of material mi¥$t*ment due to fraud. In addre8wng the risk of fraud due lo management ovwymle of ffilemal o)ntrol$ ￿ te8tsd the appropriateness of journal entries and assessed whether judg8m8nts m*Je in making 8co)untwig •stlmal8$ w8r• in(lio*tsve of a potential ts1￿. There are inherent limrtations in our audit procedures describ8d al)ovt. The more removed that laws and regulations are from financ￿1 transactions. the le$• lik•ly it is that we y￿uld ￿c￿Me aware of non- compliance. Audth'ng standards also limrt fv au&t proc8dur88 requred to identify non-c4mplianca wth laws and r•gulation8 to of ts dirtOTS (ther mwm•nt an¢1 th• inspection of regulatory aThJ l¥gal eQTrespondenc•. it *ny. Mal•rial mlsstatements that 8rise (*Je to fraud be harder to dele¢l th•n those that *18e from arror a8 Ihèy MAY involv• dolibofate co￿lmOnt c¢ co1￿￿10n. A fiJrth8r dègcription of our responslbllthes fry lh• audit of the financaal statsments Is locatsd on the Fin&nc4al Reporting Councl's web8lt• at.. VhYW.frc.org.uklauditorsresponsits'lilies. This dgscripbon fom8 part of our auditor'$ ropo ol our r•port This rèport is made solety lo fv chanty's trustees, a¥ a W, in accordance ¥wth Part 4 of Charities {Acc¢unts ar￿ ReF4)rtsI RegulatKJn$ 2008. Ow audit has been undertak•n so Ihat we might slate to the charity's Iru$lees ¢hose matters we arè required to stste to trem In an audrtor's and for no other purposo. To the fullest extrnt Fermitted by law. ￿ do not wl or &¥sum• Ma￿nsIti11ty lo anyone other than th• d)arity and the ¢hariW$ trustee8 as a body for our audit ￿Ork. for this report. or for the opinions we have lormed. Clarke Ni¢klin LLP. Statutory Audltor Clarke Nicklin LLP 1$ thigible to act as aurthtor of the tharity by of its eligitxlity for appDintm8nt a8 auditor of • company und•r s•ction 1212 of the Com anies Acl 20C6. Clarke Nlcalin LLP statutory Auditor CN House Brooks House Cheadle RO￿ Busirnss Park Cheadle. Chgshire SK8 3TD The MGS Trust ststomonl of Financial A¢tivilies for th• yèar frnded 31 December 2023 Burwy En(5Th¥n￿ Bursary FUNI Fund 2023 2023 Total 2023 Totsl 2022 Donation$ Legacies Inc0rn8 lax recoverable Investment inrnme Interest recoivatde Nat rant receivable 94.017 529.140 1.381,122 85,487 518,999 86,876 870 623.157 1,381,122 87.159 864.363 89,038 870 1,114.017 822,644 142.528 683.756 56.WS 1.050 1,672 145, 2.362 Totsl Inco 243.415 2,802.294 2,645.709 2,820,0 Exp0ndl￿r* Investrnenl managers, fe88 Charilable expenditure Grants payable to Thè Manthestw Grammar S¢h¢)ol 23.125 165.785 188,910 182,134 2,801,110 2,801,110 2.37S,828 Managernenl and AdMinL8trat￿n Seuelary's honorarium aThJ exFwses Sundry 8X￿n8?$ Professional le¢¥ 8.023 2.247 540 8,023 2,314 540 7,051 2,1 5,532 67 Governanca Audiiorf8 remunerallon 4,500 4,440 Total expenditur¢ 23.192 2,782,265 2,805.457 2,556,975 Nel inLX)mellexpendilurel and net mvem¢nl in fiJnd5 b8fore 9ans and losses on investments 220,223 (179.971) 40252 263,025 Na gain￿1￿$$89) ort Invest￿ntS (nole 21 241.640 2.138.899 2.380,339 13,538,444) N•trnov•m•nt In fvnd• 461.863 1,958.728 2.420,591 {3.275,4191 Tolal fund• broughtft)rward 4.251.133 23.516,01S 27,767,148 31.042,567 Total fund• ¢anied foYw•(d 4,712,￿ 25,474,743 30,187,739 27,767,148 All the tnJ3t funds are restri(#ed The MGS Trust Balance Sheet as at 31 December 2023 2023 2022 Flxed assets Inve81ments 29,779,369 27,971.768 Currnnt assets De￿OrS Short lem deposits Cash at bank 837.102 703.71 S 863.828 2.204,645 196,398 519,599 709,TT1 1.425,768 Curr•nt liabiliti Creditors.. ￿Ount& lalling the wrthin orte y6 I1.7￿,275) {1,630,3881 Not current a88etsllliabilitie81 408.370 1204.6201 N•t aM•ts 30,187,739 27,767.148 Th• Funds of th• Charfty Restn'cled funds General Bursary Fun¢J Bursary Endowment Fund Total 25.474,743 4,712,998 30,187,739 23.516,015 4 251 133 27.767,148 ApFffjved and aultrorised for issue by the Trustees signed on thelr behalf by Nigel J Richen8 Trusta8 Dale 10 The MGS Trusl 8tstement of cash flow8 for the year ?nded 31 Doc•mb•r 1023 2023 2022 Net c¥$h lu$vdVgon•ratsd from op•r•ting •cll¥lt Inoto 1 b•lowl {1.187,9661 {620,9541 Cash flow from in¥••tirw *¢tlvlll•• Interest and similar In￿Me receiv8d Procaeds from the 801è of inveslments Pro￿*d$ from the sale of property Pur¢ha8e of investsnents 753,401 2.618.661 739.781 3,260.278 82.009 13,484.923) 12,045,923) 14•t ¢h•n90 In ca•h and u•h •qulv•l•nt# 138.173 123,8291 Ca•h aThd ¢••h •qu￿1•￿ts at b•glMlng of th• y•*r 1229,370 1.253,199 C••h ¢a•h •qulv•lont• •t •nd oftho yo•r 1,387.543 1,229.370 Nots1 Net incomel{exp•ndituro) for t￿ year 2.420,591 {3,275,4191 Adlusknen18 for non-ca¥h items.. 08cr8asellin¢xea8el in tr*d• arwj thr d•btor8 In¢r8ase in trade and other c¥edittyJ IGainglno$se$ an investment asset (Gainslllossos on property (legacy inLw¢l GAin on 8a1• of property l*gxy In0)r￿> 1640,704> 165.887 (2,380.339) 1142,395} 80,186 3,608.444 170,000) {82.0091 Adju¥lments fcf Inves￿n0 Nfin•ncirvJ acbvities: Investment In￿rne Interest inojme 1664,383) {89,038) 1883,7561 156,0051 N•t ￿¥h generntod from oper•Ono acllvitl•• 1.187,966 1620,954 l ofthe ca¥h fio%Y8 are derive¢l from fAintinuiThJ operatim during the above periods. 11 Thè MGS Trust Notss to thg Accounts for th¢ year ended 31 December 2023 1 AGGountlng poliGio5 The Chanty is an unin¢orFQfated Ch&ity re9Stereii in Engl￿d Wales. The regiskwd office is clo The Manchester Grammar sc*￿1, Okl Hall Lane. PAandwter M13 OXT. BASIS olproparation The financial statements have been prep¥ed urbder the historlcal cost convention as mOd￿eammor School agre8 each year the amount of bursary grant required •nd funds are relea to The Manchestér Grammar al appropriale twnes of the a&ideM￿ year. The balance of the General Bursary Fund is retained to provKle bursaries for fU1u￿ aca¢lemr year8 as and when •Jreed befv￿en the Trustees and The Manchester Grammar Sdwl. The Trustees have the to dlstribute bc4h Income and capital from the General 8ufsary Fund. The Bur8ary Endowmènt Fund W*ill meet the WLtirements of certain dornr8 wh) wi*h to make donatsons on an endowment basis. Each year the income will be used. as requwe(l. io meet the co$1 of bursaries as explained above. Income can only be appl￿d in this way rf Ihe caytsl value of the Burnary Enéowment Fund is fw'gher th8n the total ol inflation adjusted (using the Consumer Prices Index) thations and legacie8 reGewed. The Trust•es are not authori8ed to spend or appty ￿Y of the cawtsl of the Burtw En(hJwment Fund, provi(le¢J that they may speTrJ or gppty in￿rne tho1 ha$ t>een mic#Jsty added to tha Fund ag Ihow il ￿re ino)mè arising in the I￿n current year. Fln•n¢lal Instruments Flnancial assets Measu￿ ot fair ￿ue inclLvJe fixed asset Inyegtments. Financial 48sets that are debt Instrwnents measured at amortised cost indude cash at bank, shcrt tem deposrts. legacbes. accrn•d investment interest aTrJ oth•r d•btors. Finanual liablrt*s at amortssed cos¢ indude accru81s, grants payable and other edrtors. Prep•rntion of accounts • wlng concern b•sls The Trustee5 consider that there are no mateiial uncertaint￿3 about tr* charws ability to eonlinue as a going concem nor any siwrficant areas of urKertainty that affect the carfying Val￿ of assets held by the charity. The ncipal risks of the Trust are ¢ongidered to be the ￿Ve5 of investffMI relum, the perfomance of investment markets and the abilrty to raise funds in a more cnallenging econom￿ en￿rOnment. The Trustees have considered these risks in r￿at￿n to g)ing concem and given the skn'll considerable ex￿SS of the value of invesbnonts over the annual cost of bursaries they continue lo believe that there is reasonable expectation that the Trust has adequate ource8 to ¢(￿rt￿lUe in operattcfial exIster￿ tr the f￿e8eea￿e future. 13 The MGS Trust Notes to the Accounts for the yoar 31 December 2023 1 Accounting policl6s {contlnu•d) Dgbtor¥ Trade and other debtors are recognised at the settlement amtymt after trade discount offered. Prepayments are valued at the amount prepaid net of any trade disccAJnts due. C￿dI1¢y3 aro re¢¢gni¥ed whére the d￿ftty has a wegent obligatKffl ￿SUIti￿ from a p88t event that wil probably result in the transfer of f￿￿5 to a third party and the arrthjnt due can be measured or estimal8d roliably. Cr•driors are nomialy recognised at I￿"1 $ettlemenl arrthnt after lor any trade dis¢Dunt$ due. K•y judo•m•nts The key judgements are thos• p3lws relats'r¥J to Fixeil Asset In¥estmer)ts al Income All income Is recognlsed once the c￿rtY ha8 enliuement to the inccffie. it is Probab￿ that the IncLyne wll be rècth'ved, and the amount of incomè rec•vabSe can be nwwred reliabty. b) Charitablè Actlvitles Charitable expenditure compnses Ih08e costs incurred by the tharily in the delivery of its acllvitie8 and services for its beneficiariès. It indudes both costs that can be al￿ted direcdy to such 8Ctivities and those cnsls of an indirect natur• nec*g8ary to yJpr*Jt them, Ta¥•tlon Thè Charity 18 g regiglered Chadty and Is, the￿Ore. exempt from any lia￿.￿ty to tax*'on m its kncome and Capltal gaing. The Charfty 18 not registe￿ lor VAT arKI expen¢thlure is stated indu$w of VAT. 14 Tho MGS Tru*t Nots$ to the Accounts for the year ended 31 December 2023 2 Gains on R•valuatlon & Dlsposal of Inv•¥tIm￿ Assets Fund 2023 Fund 2023 Totsl 2023 Totsl 2022 Realise(I gainslllosses) on In¥￿Im¥￿ assets sdd Unrealised gain311108ses) Total nel gaIn&1110s8￿I SS.759 241,639 2.071.940 241.640 2.138,699 6S.760 2.313,579 2.380.339 406,716 3,945.160 13.538.444) Flxèd A¥￿ts Inv•stm•nts Quoletl Investsnents . Gfmeral Bursary Fund Market value al 1 J*)uary 2023 Additions Disposals Nel realised gainslllo88es} Vnreali8ed gainslllo8$esl Market value at 31 Decwnb8r 2023 23,565.511 1.775,743 12,618.5841 66,759 2.071,940 24,861.369 27.285,538 2,660,675 13,260,016> 406,716 3,527,400 23.56S,511 Qyol•d Investments- PAJrsary Er￿¢￿￿￿ent FuThJ Market value at 1 January 2023 A&Jition8 0i8posals Net reallsed galnsl{Ios8esl Unr￿11$•d @al￿(10s￿3) Market value al 31 December 2023 4,226,257 270, 180 (7n 3.890,031 824,248 (262} 241.639 4.738,000 487 760 4,226,257 Invegknent Propertleg 180,0 29.779,369 180,000 27,971,768 HIS1￿1¢•1 cosl hislorlc81 cost d tha quotèd Investm￿15 at 31 December 2023 wa8 £26.934.45212022'. £27,437,251). Inv•strn•nt Propertles Investment Properties compn'se l•nd velued on an lyn market tsa￿8 by H&H Land & Egl•te$ Limlted as at 31 December 2023. H&H Land and Estatss Limite¢l xt •$ propety management agents. h•v• adwsod the Trustees. The land is sclely agricultural. 3 Debtorn 2023 2022 Legocles Accrued Investment interest Income tsx recoverable 787.225 31,685 18,192 837,102 138.701 28.56S 29.128 196.398 15 The MGS Trust Notes to the Accounts for the year ended 31 D¢¢ember 2023 4 Creditorn: amounts falllng du• wlthln on• 2023 2022 Accruals Grants payable Other creditors 4.91S 1.734.073 57,288 4,789 1.580,0 45,599 1,630.388 1,7￿.275 S M•t inc¢)mè for the yo•r Nel Irthme for the year is Stated after charg1￿J. 2023 2022 Au¢ilor'$ renumeration Increase in valu*'on of property Proceeds frc¥n the gale of propety. 4,580 4,440 70,000 82,009 6 Movom•nt In f•Wf¥ Bursary General End(Y•vmonl Bursary Fund Fund 2023 2023 Totsl 2023 Tot•1 2022 N•t movèm•nt In fund8 461,863 1,958.728 2.420,591 13.275,4191 Total lunds brought forward 4.251.133 23.516,015 27.767,148 31,042,567 Totsl lurKis carried fomard 4.712.996 25,474.743 30.187,739 27.767.148 7 Anal￿18 of chanys In n•t d•bt Cash al bonk Short term deposits Total At 11112023 709.771 519,599 1229,370 Ca•hfiDws At 3111212023 145,9431 663,828 184,116 703,715 138, 173 1,367,543 8 Trust•e• remunorntlon •nd •X￿Th$￿ and r•lal•d ￿n￿￿10￿• No trustees have received any remunernl'on or exF4naes n the year (2022.. Nil) and thére were no related party transxtions in the year wth Trustees (2022.. Nil) 9 Slaff ¢￿ts *nd k•y m*nag•ment p•rnonr*l The Ghanty has no employees. 10 Taxatlon The charity is a registe￿¢ dwrty and is thereforn ex￿p1 trom taxat*)n. 16 The MGS Trust Notss to thè Accounts for the year ended 311)¢¢ember 2023 11 Capital ¢ommltmonts Al balance sheet date there V&tre no Ca￿￿1 comrrltrnwts12022'. Nill. 12 Cot)Iltynt Il•bllltl Al bajance sheet dale there were no ¢c*ttingent liabiltes (2022.. Nil). 17