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2021-08-31-accounts

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Commercial in confidence

Registered number: 00004466 Charity number: 526682

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

UNAUDITED

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2021

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION (A company limited by guarantee)

CONTENTS

Page
Reference and administrative details of the Charity, its Trustees and Advisers 1
Trustees' report 2 - 9
Independent examiner's report 10 - 11
Consolidated statement of financial activities 12
Consolidated balance sheet 13
Charitable company balance sheet 14
Notes to the financial statements 15 - 35

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

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THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2021

Trustees

Mr C C Hubbard Mr G H Pybus Mr K Siviter Mr N A Moss Mr W R E L Thompson Mr H S Hackney Mr R S W Peach

Company registered number

00004466

Charity registered number

526682

Registered office

Beechlands, Liverpool College, Mossley Hill, Liverpool, L18 8BG

Company secretary

Mr W R E L Thompson

President

The Rt Hon 19th Earl of Derby DL

Accountants

Grant Thornton UK LLP, Royal Liver Building, Liverpool, L3 1PS

Bankers

Barclays Bank plc, 48b and 50 Lord Street, Liverpool, L2 1TD

Solicitors

Brabners LLP, Horton House, Exchange Flags, Liverpool, L2 3YL

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THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

Introduction

The Trustees, who are also the Directors of the Charitable Company for the purposes of the Companies Act, present their Annual Report together with the Financial Statements of The Liverpool College Foundation, (the Company or Charity) for the year ended 31 August 2021.

The financial statements show the financial affairs of both The Liverpool College Foundation group and the Liverpool College Foundation charitable company. The group consists of the Liverpool College Foundation and the Wilton Trust Fund, for which the Foundation is the Corporate Trustee, and is therefore consolidated as a 100% subsidiary.

The Trustees confirm that the Annual Report and Financial Statements of the group comply with the Charities Act 2011, the Companies Act 2006, The Memorandum and Articles of Association, and Accounting and Reporting by Charities Statement of Recommended Practice (second edition, issued in October 2019) applicable to Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

History and objectives of The Liverpool College Foundation

The Liverpool College Foundation was founded in 1840 under its original name Liverpool College and registered in 1869 under the Companies Act 1862 as a company limited by guarantee, No. 00004466 and Registered Charity, No, 526682. Liverpool College was opened by William Ewart Gladstone, the future Prime Minister, whose family were prime movers in the formation of the College and its establishment as an independent school in Liverpool. Its objectives and motto were defined as:

"Non Solum Ingenii Verum Etiam Virtutis" "Not only the Intellect but also the Character" based on "Sound Religion and Useful Learning".

The name of Liverpool College was changed in January 2016 to The Liverpool College Foundation. In this Report, the Company will be referred to as "the Foundation". The Memorandum and Articles of Association of the Foundation, established in 1869 and last revised in January 2018, is the Foundation's governing document and clearly defines delegation, responsibility and accountability in maintaining its Objects:

"To provide for the inhabitants of Liverpool and others, by the establishment and maintenance of Lectures, School, and other like means, an education suited to their wants upon the most moderate terms; and for this purpose instruction in the doctrines and duties of Christianity, as taught by the Church of England, shall be forever communicated, in combination with literary, scientific, and commercial information. Provided nevertheless that no pupil shall be required as a condition of being admitted or remaining as a pupil, to attend or abstain from attending any Sunday School, place of worship, religious observance, or instruction in religious subjects in any school of the College or elsewhere."

The activities of the Foundation are described in detail in this Trustees Report. The original activities as described above have developed over the years, in particular following the transition of Liverpool College from an independent school to an Academy in September 2013. However, the fundamental objects of the Foundation have remained unchanged, which is to provide support to Liverpool College in various ways available to the Trustees. This includes financial support through regular grant funding or for specific projects, the management of land and buildings and other assets made available to the Academy, or through the engagement with alumni and the wider Academy network.

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THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

Structure, governance and management

The Board of Trustees is the governing body of the Foundation, elected by Foundation Members, and the current Trustees are listed on page 1. The recruitment and appointment of new Trustees is undertaken by the Board of Trustees.

One third of the Trustees retire from office each year and may stand for re-election at the General Meeting. Ken Siviter and Howard Hackney are eligible for re-election as Trustees by Foundation Members at the forthcoming General Meeting.

The specific remits of the Trustees in this year have been:

Chairman  Charles Hubbard  Business Strategy and Planning Graham Pybus Foundation Members  Ric Thompson Estates  Charles Hubbard  Finance, Treasury and Investment Nigel Moss  Educational Development Fund (the 1840) Graham Pybus Archives  Ken Siviter The Wilton Trust  Howard Hackney 1840 Initiatives  Roger Peach  Old Lerpoolian Society Ric Thompson  Company Secretary Ric Thompson

Mrs Amanda Gemmell has continued to provide invaluable support to the Foundation as Clerk to the Trustees and Accountant.

Trustee changes

Two long-standing and distinguished Trustees chose to retire at the last General Meeting on 20 January 2021, John Robertson and Dr Anne Miller.

John Robertson has served as a Trustee for a period covering more than three decades, until his retirement in January 2021. John’s contribution to the Foundation and to Liverpool College has been immense over this exceptionally long period. Amongst his many achievements he played a significant part in the transition of the College to an Academy, and the development of the 1840. His love of rugby regularly took him from the playing fields of the College to the stands at Twickenham. John too was a former student, leaving in 1951, and has always been a strong supporter of the Old Lerpoolian Society. The Trustees wish him well in his well-deserved retirement.

Dr Anne Miller has served two terms as a Trustee, from December 2007 to September 2009 and then from January 2016 until her retirement In January 2021. Anne’s vast experience as Academic Registrar at the University of Bolton has been invaluable in keeping an independent watch on educational standards and practices, and the Trustees are most grateful for her contribution.

Both John and Anne will be very much missed by the Trustees.

The Trustees actively seek to recruit new Trustees who can offer a wide variety of skills and experience. During the year, the Board of Trustees are delighted to have co-opted Zia Chaudhry and Tom McConnell to the Board and they are eligible for election as Trustees by Foundation Members at this coming General Meeting.

The Foundation provides equal opportunities for all staff.

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THE LIVERPOOL COLLEGE FOUNDATION (A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

The Foundation's legal commitments

The Foundation has ownership of the freehold of all the Land and Buildings defined under the three Title Deeds which comprise the complete Mossley Hill estate. On 1 September 2013, the Foundation's main school Liverpool College became an Academy formed under a separate Trust, the Liverpool College Independent School Trust (the Academy), a Company and exempt Charity. The Academy is subject to a Funding Agreement between the Trust and the Secretary of State for Education, with a rolling seven-year notice of termination by either party. Being separate Trusts and Corporate Entities, all relationships between the Foundation and the Academy are on an "arms-length" basis.

Pursuant to these arrangements, the Foundation entered into a number of Legal Agreements, which are now substantial determinates of its governance and management going forward. These legal commitments are described below.

The Foundation is committed to the following Legal arrangements:

Other Legal Agreements placing obligations on the Foundation and shaping the continuing relationship between the Foundation and the Academy are:

The Foundation has granted to the Academy the use and safekeeping of an inventory of Heirloom Assets, eg Trophies, Portraits, Pictures, Plaques, Honours Boards and Archives, which were excluded from the above Transfer Agreement. A formal Agreement to this effect has been put in place.

The Foundation has also granted the Academy the right to use the Name and Insignia of Liverpool College within the terms of the Objects as defined in The Academy's Memorandum and Articles of Association.

Public benefit

The Trustees have given due consideration to the Charity Commission's published guidance on the operation of the public benefit requirement.

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THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

The Foundation has contributed significantly to the establishment of the Academy with long-term ongoing public benefit:

The Foundation's 1840 Fund and the Wilton Trust Fund both give support to the Academy for Pupil Prizes and Educational Development initiatives.

Activities of the Foundation in 2020/2021

We have continued to build on the Foundation’s work of the previous years with the following key activities:

The LCF Investment Fund

The LCF Investment Fund (or the Fund) was established in December 2015 with funds invested with St James's Place (SJP), with a total investment of the Foundation's cash resources of £720,000. The LCF Investment Fund holds both:

All the monies are held within a number of Sub funds comprising an LCF General Cash Reserves Sub fund and 1840 Sub funds each relating to the purpose for which the money was donated. The 1840 Sub funds are detailed under the next heading of this Report.

The Trustees continue to regard the most important issue in the management of the Fund to be our choice of investments and our spread of risk. We have adopted a strategy based on a wide spread of investment funds and underlying investments, both by way of asset classes and global geography, in order to manage risk and return appropriate to the Fund. SJP execute the strategy but do not manage the Fund on a discretionary basis. The Fund is ring fenced in the name of the Foundation and therefore forms no part of SJP's assets. The Trustees use SJP's significant investment expertise and resources with the aim of maximising the return on the Fund. It is our intention to retain and grow capital in the Fund in order to continue to generate gains and support activities for the future. We monitor the performance of the Fund regularly and meet with SJP during the year to review performance and adjust our investments according to our view on prospective market returns.

As described in last year’s report, the Trustees approved and made a grant of £250,000 in July 2020 to provide critical additional funding to the Academy to enable it to complete the building of a new four classroom block in its Prep School. We are pleased to report that this new building has been named the Noel Chavasse VC Pool house and has already proved to be an invaluable additional resource for the Prep School.

In April 2021, a further £70,000 was invested in the Fund from surplus cash resources.

The performance during the year is reported under the Financial Review heading below.

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THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

The LCF Educational Development Fund — the 1840

The management of the LCF Educational Development Fund (the 1840) has continued in accordance with the policy previously established. The Trustees are very mindful of fulfilling the intentions of those who have made donations to the 1840 and of ensuring that money is not advanced to pay for anything which should genuinely be funded from other sources.

The Sub funds of the 1840 currently are:

The Lerpoolians

We described in last year’s report that we had made strong progress with the development and launch of The Lerpoolians, a website which is aimed at supporting the Academy in a number of ways. These include the strengthening of our relationships with the Old Lerpoolian Society, whose members are alumni of Liverpool College; the installation of a more accurate and modern method of Membership Record keeping and Communication; and the proper organisation, storage and presentation of the Archives.

We are pleased to report that further improvements and developments have been made during the last year. Regular communications are being posted and this has engaged an increase in membership. We are also delighted to report that the Old Huytonians (alumni of Huyton College, the Academy’s former sister school) have joined The Lerpoolians and this too will widen the engagement.

Estate

Work continues to ensure that the approval and licencing processes required under the Lease between the Foundation and the Academy to fulfil the Landlord's and the Tenant's obligations are fully established.

The development of the Estate has continued, to accommodate a new Boarding House from September 2021 by the conversion of Beechlands and to create facilities for higher pupil numbers in the Prep School.

The Wilton Trust Fund

As described in previous years’ reports, the Foundation is the sole Corporate Trustee of the Wilton Trust Fund, a separate charitable fund whose assets are held in the Thomas Ryder Wilton Bequest, registered charity number 529915. The Wilton Trust Fund is managed under the operational umbrella of the Foundation and is therefore treated as a subsidiary undertaking of the Foundation, but has been included as a separate endowment fund which remains subject to the objectives and principles of the Thomas Ryder Wilton Bequest.

The Wilton Trust Fund continues to support the Academy’s Gifted and Talented programme through a package funded from income generated from the Wilton Trust Fund’s investments. This programme comprises a comprehensive and outstanding range of activities and events on a daily basis which provide opportunities for a significant number of students to enrich their education outside the main curriculum.

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THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

The Wilton Trust Fund is currently invested with M&G in two underlying funds, the Equities Investment Fund for Charities (Charifund), which is primarily invested in UK equities, and the Charibond Charities Fixed Interest Fund (Charibond), a portfolio of gilt edged and other fixed interest stocks and deposits designed to produce a high income whilst preserving capital value. The combined funds seek primarily to generate income returns, whilst maintaining its capital, to provide the funding to support the Gifted and Talented programme.

The Trustees carry out a review of the investment fund at least annually and to date have concluded that no amendments should be made to the investments held. However, following the most recent review, it was agreed that alternative funds would be considered and the Trustees are currently undertaking a process to assess a range of options.

The performance during the year is reported under the Financial review below.

Financial review

The group made a surplus for the year ending 31 August 2021 of £331,298 (2020: deficit £391,442). This is due to a number of factors.

Following the significant falls in value suffered by the financial markets during the first six months of 2020 due to the impact of the Covid-19 pandemic, the markets have recovered with substantial increases in value. Accordingly, the LCF Investment Fund valuation increased during the year by £122,831 (2020: decrease £30,275). A further investment of £70,000 was made in April 2021, and as a result the Fund recorded a blended return of 19% during the year. Overall, the fund valuation accordingly increased during the year from £626,119 to £818,950 at 31 August 2021.

The Wilton Trust Fund valuation also increased significantly during the year by £102,349 (representing 15% of the fund valuation at 31 August 2020) (2020: decrease £97,889), from £696,152 to £798,501 at 31 August 2021. Dividend income totalling £28,999 (2020: £33,006) was also distributed during the year, enabling a grant of £28,000 (2020: £34,891) to be made to the Academy to support its Gifted and Talented programme.

Donations received during the year were £120,742 (2020: £2,311). This included a bequest of £117,884 from the estate of JAB Johnson, which has been added to the General Fund.

In addition to the grant for the Gifted and Talented programme, grants of £12,400 were allocated during the year (2020: £14,500). This included a further £5,900 to support the development of The Lerpoolians website, as outlined above. Total administration and governance costs for the year (excluding the recovery of bad and doubtful debts, the release of impairment charge and stock write off) was £18,595 (2020: £18,708).

As at 31 August 2021 the group's total funds were £1,997,061 (2020: £1,665,763), which the Trustees consider to be satisfactory.

Land and Buildings Valuation and Contingent Liability

On 31 July 2013 the Foundation granted to the Academy a lease, for a term of 125 years, of the whole c. 26 acre school campus and the buildings thereon comprising the school accommodation on what is effectively a full repairing and insuring lease at a peppercorn rent. Unless the Funding Agreement was to be terminated early the Foundation would not have possession of the campus until the expiry of the lease term. Accordingly, the Foundation's interest in the property comprising the campus in these accounts, following the grant of the lease, is valued at the discounted value of that reversionary right on the date of expiry. The initial valuation was therefore £232,000 and is subject to an annual release of the impairment charge. As at 31 August 2021 the valuation was £305,000 (2020: £293,000).

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THE LIVERPOOL COLLEGE FOUNDATION (A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

Reserves policy

The Foundation aims to maintain in available cash coverage of 2 months of running costs. At the financial year end the Foundation held sufficient cash and accessible funds to meet this requirement.

Risk Management

The Trustees have reviewed the risks and uncertainties underlying the Foundation's operations. In their opinion adequate policies and processes have been put in place to ensure that exposure to financial or operational risk is minimised. With regard to the two investment funds it should be noted that the value of the funds' investments can go down as well as up.

Restricted Fund

The Fund of the 1840 Foundation is held under the direct management of the Trustees for use for Educational Development. The 1840 Fund now stands at £525,021 (2020: £433,738).

Plans for forward periods

The Foundation's work is focused on:

In terms of specific objectives in the next year, the Board of Trustees will be particularly focused on:

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THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

Trustees' responsibilities statement

The trustees (who are also directors of The Liverpool College Foundation for the purposes of company law) are responsible for preparing the Trustees’ report and the financial statements in accordance with applicable law and regulations.

Company law requires the trustees to prepare financial statements for each financial year. Under that law the trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

25/1/2022

This report was approved by the Trustees on and signed on their behalf by:

Mr C C Hubbard Chairman

Date: 25/1/2022

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INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE LIVERPOOL COLLEGE FOUNDATION

Independent Examiner’s Report to the Trustees of The Liverpool College Foundation (‘the charity’)

I report on the accounts of The Liverpool College Foundation (the “charity”) for the year ended 31 August 2021, which are set out on pages 12 to 35.

Independent examiner’s statement

In connection with my examination no matter has come to my attention:

have not been met, or

Basis of independent examiner’s report

My examination was carried out in accordance with the general Directions given by the Charity Commission. An examination includes a comparison of the accounts with the accounting records kept by the charity. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair’ view and the report is limited to those matters set out in the statement below.

Respective responsibilities of corporate trustee and examiner

The charity’s trustees are responsible for the preparation of the accounts. The charity’s trustees considers that an audit is not required for this year under section 144(2) of the Charities Act 2011 and that an independent examination is needed.

It is my responsibility to:

Your attention is drawn to the fact that the charity’s trustees have prepared the charity’s accounts in accordance with the Statement of Recommended Practice ‘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) issued in October 2019 in preference to the Statement of Recommended Practice Accounting and Reporting by Charities: Statement of Recommended Practice (revised 2005)’ issued in April 2005 which is referred to in the Charities (Accounts and Reports) Regulations 2008 but has been withdrawn. I understand that the charity’s trustees have done this in order for the charity’s accounts to give a true and fair view in accordance with United Kingdom Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2019.

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INDEPENDENT EXAMINER'S REPORT TO THE CORPORATE TRUSTEE OF THE LIVERPOOL COLLEGE FOUNDATION

Use of this report

This report is in respect of an examination carried out under section 145 of the Charities Act 2011. This report is made solely to the charity's trustees, as a body, in accordance with the regulations made under section 154 of the Charities Act 2011. My work has been undertaken so that I might state to the charity's trustees those matters I am required to state to them in an independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity's trustees, as a body, for my work, for this report or for the opinions I have formed.

Michael J Delf FCA Grant Thornton UK LLP Chartered Accountants Liverpool

Date: 7/2/2022

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THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2021

Note
Income and
endowments from:
Donations and
legacies
2
Investments
3
Total income and
endowments
Expenditure on:
Charitable activities
4
Total expenditure
Net income /
(expenditure)
before
gains/(losses)
Net gains/(losses) on
Investments
15
Net gains/(losses) on
Fixed assets
14
Total gains and
losses
Net movement in
funds
Reconciliation of
funds:
Total funds
brought forward
Total funds
carried forward		 Unrestricted
funds
2021
£
120,742
-
120,742
22,373
22,373
98,369
30,148
8,900
39,048
137,417
499,615
637,032		 Restricted
funds
2021
£
-
-
-
2,150
2,150
(2,150)
92,683
92,683
90,533
457,238
547,771		 Endowment
funds
2021
£
-
28,999
28,999
28,000
28,000
999
102,349
102,349
103,348
708,910
812,258		 Total
funds
2021
£
120,742
28,999
149,741
52,523
52,523
97,218
225,180
8,900
234,080
331,298
1,665,763
1,997,061		 Total
funds
2020
£
2,311
33,006
35,317
298,595
298,595
(263,278)
(128,164)
(128,164)
(391,442)
2,057,205
1,665,763

The financial activities above include £120,742 (2020: £2,311) income and £24,523 (2020: £263,704) expenditure relating to the charitable company.

The notes on pages 15 to 35 form part of these financial statements.

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THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee) REGISTERED NUMBER: 00004466

CONSOLIDATED BALANCE SHEET AS AT 31 AUGUST 2021

Note
Fixed assets
Tangible assets
14
Investments
15
Current assets
Stocks
16
Debtors
17
Cash at bank and in hand
Creditors:amounts falling due within one year
18
Net current assets
Net assets
Charity Funds
Endowment funds
19
Restricted funds
19
Unrestricted funds
19
Total funds		 2021
£
353,900
1,617,451
1,971,351
-
-
78,993
78,993
(53,283)
25,710
1,997,061
812,258
547,771
637,032
1,997,061		 2020
£
333,000
1,322,271
1,655,271
8,090
4,488
47,210
59,788
(49,296)
10,492
1,665,763
708,910
457,238
499,615
1,665,763

The group’s financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.

The Trustees consider that the group is entitled to exemption from the requirement to have an audit under the provisions of section 477 of the Companies Act 2006 (“the Act”) and members have not required the Company to obtain an audit for the year in question in accordance with section 476 of the Act.

The Trustees acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

25/1/2022

The financial statements were approved and authorised for issue by the Trustees on and signed on their behalf, by:

Mr C C Hubbard Mr N A Moss Chairman Treasurer

The notes on pages 15 to 35 form part of these financial statements.

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THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee) REGISTERED NUMBER: 00004466

CHARITABLE COMPANY BALANCE SHEET AS AT 31 AUGUST 2021

Note
Fixed assets
Tangible assets
14
Investments
15
Current assets
Stocks
16
Debtors
17
Cash at bank and in hand
Creditors:amounts falling due within one year
18
Net current assets/(liabilities)
Net assets
Charity Funds
Restricted funds
19
Unrestricted funds
19
Total funds		 2021
£
353,900
818,950
1,172,850
-
-
51,063
51,063
(39,110)
11,953
1,184,803
547,771
637,032
1,184,803		 2020
£
333,000
626,119
959,119
8,090
4,488
17,561
30,139
(32,405)
(2,266)
956,853
457,238
499,615
956,853

The company’s financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The parent company has taken advantage of section 408 of the Company Act 2006 and has not included its own Statement of Financial Activities in these financial statements. The parent company’s increase in funds for the year was £227,950 (2020: reduction £300,396).

25/1/2022

The financial statements were approved and authorised for issue by the Trustees on and signed on their behalf, by:

Mr C C Hubbard Mr N A Moss Chairman Treasurer

The notes on pages 15 to 35 form part of these financial statements.

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THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

1. Accounting Policies

1.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the second edition of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)(issued in October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The Liverpool College Foundation (formerly Liverpool College) 'the Company' or 'the Charity' meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The presentational currency of the financial statements is the pound sterling 'GBP'. The amounts included in the financial statements are rounded to the nearest £1.

1.2 Company status

The Company is a company limited by guarantee. The members of the Company are the Trustees named on page 1. In the event of the Company being wound up, the liability in respect of the guarantee is limited to £5 per member of the Company.

The registered office is Beechlands, Liverpool College, Mossley Hill, Liverpool, L18 8BG.

The principal activity is the overall direction, organisation and management of the Foundation as a registered charity and Limited Company under the terms of its Memorandum and Articles of Association as set out in the Trustees' report.

1.3 Going concern

The Trustees consider that it is appropriate to prepare the financial statements on a going concern basis, having reviewed net income and cashflow forecasts for the foreseeable future which is not less than 12 months from the date of approval of these financial statements.

1.4 Basis of consolidation

The group financial statements consolidate those of the charitable company and its subsidiary undertaking drawn up to 31 August 2021 using the purchase method of accounting.

A separate Statement of Financial Activities for the charitable company has not been presented because the Foundation has taken advantage of the exemption afforded by section 408 of the Companies Act 2006.

Page 15

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

1. Accounting Policies (continued)

1.5 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Endowment funds comprise the Wilton Trust Fund. In accordance with its trust deed, income can be used for unrestricted purposes and its capital is restricted as a permanent endowment in charity law.

Investment income, gains and losses are allocated to the appropriate fund.

1.6 Income

All income is recognised once the Group has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

D onations and legacies

Donations and legacies are included in the Statement of Financial Activities when the Group becomes entitled to them and all pre-conditions have been met.

Grants

Grants of a revenue nature are included in the Statement of Financial Activities once all conditions are met.

Page 16

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

1. Accounting Policies (continued)

1.7 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources.

Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. Support costs are those costs incurred directly in support of expenditure on the objects of the Group. Governance costs are those incurred in connection with administration of the Group and compliance with constitutional and statutory requirements.

Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds.

Charitable activities and Governance costs are costs incurred on the Group’s operations, including support costs and costs relating to the governance of the Group apportioned to charitable activities.

Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.

1.8 Statement of cash flows

No statement of cash flows is presented, as under FRS 102 the Group is exempt from producing such a statement by virtue of its size.

Page 17

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

1. Accounting Policies (continued)

1.9 Tangible fixed assets and depreciation

A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the Statement of financial activities incorporating income and expenditure account.

Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment. The impairment charge written back relates to the granting of a 125 year peppercorn lease to Liverpool College Independent School Trust on 31 July 2013. The value of the Group’s interest in the property at 31 August 2021 represents the discounted value (using a discount rate of 4% and assuming no growth) of the reversionary right in 117 years (2020: 118 years).

Heirlooms are not depreciated and are included at valuation (see 1.17).

1.10 Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date. Investment gains and losses, whether realised or unrealised, are combined and shown in the heading ‘Net gains on investments’ in the Statement of financial activities incorporating income and expenditure account.

1.11 Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

1.12 Cash at Bank and in hand

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

1.13 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the Group 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. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges.

Page 18

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

1. Accounting Policies (continued)

1.14 Operating leases

Rentals under operating leases are charged to the Statement of financial activities incorporating income and expenditure account on a straight line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight line basis over the period until the date the rent is expected to be adjusted to the prevailing market rate.

1.15 Investment income

Dividends are included when receivable.

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

1.16 Financial instruments

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into.

A financial liability exists where there is a contractual obligation to deliver cash or another financial asset to another entity, or to exchange financial assets or financial liabilities under potentially unfavourable conditions. In addition, contracts which result in the entity delivering a variable number of its own equity instruments are financial liabilities.

Finance costs and gains or losses relating to financial liabilities are included in the statement of financial activities. The carrying amount of the liability is increased by the finance cost and reduced by payments made in respect of that liability. Finance costs are calculated so as to produce a constant rate of charge on the outstanding liability. Debt issue costs are offset against the debt and amortised over the term of the loan.

1.17 Heritage assets

Heirlooms represent a collection of historic trophies, portraits, pictures, plaques, honours boards and archives. These assets are not subject to depreciation and are revalued periodically.

1.18 Significant adjustments and key areas of estimation uncertainty

The trustees consider there to be no items in the financial statements where they have had to make significant judgements in the process of applying the Charity's accounting policies or key sources of estimation uncertainty.

Page 19

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

2. Income from donations and legacies - Group

Donations
Total 2020		 Unrestricted
funds
2021
£
120,742		 Unrestricted
funds
2021
£
120,742		 Restricted
funds
2021
£
-		 Endowment
funds
2021
£
-		 Total
funds
2021
£
120,742		 Total
funds
2020
£
2,311
2,311 - - 2,311

3. Investment income - Group

Investment income
Total 2020		 Unrestricted
funds
2021
£
-		 Restricted
funds
2021
£
-		 Endowment
funds
2021
£
28,999		 Endowment
funds
2021
£
28,999		 Total
funds
2021
£
28,999		 Total
funds
2020
£
33,006
* - 33,006 33,006

4. Analysis of resources expended by expenditure type - Group

Unrestricted
funds
£
Restricted
funds
£
Endowment
funds
£
Charitable activities
13,373
2,150
28,000
Governance costs
9,000
-
-
Total
22,373
2,150
28,000
2020:
Charitable activities
252,254
2,150
34,891
Governance costs
9,300
-
-
Total
261,554
2,150
34,891
 Total
2021
£
43,523
9,000
52,523

289,295
9,300
298,595		 Total
2020
£
289,295
9,300
298,595

Page 20

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

5 Analysis of charitable activities expenditure - Group

Unrestricted
fund
£
Restricted
fund
£
Endowment
fund
£
Grants payable
10,250
2,150
28,000
Support costs
3,123
-
-
Total
13,373
2,150
28,000
2020:
Grants payable
262,350
2,150
34,891
Support costs
(10,096)
-
-
Total
252,254
2,150
34,891
 Total
2021
£
40,400
3,123
43,523
299,391
(10,096)
289,295		 Total
2020
£
299,391
(10,096)
289,295

6. Governance costs - Group

Accountancy costs
2020		 Unrestricted
funds
2021
£
9,000		 Restricted
funds
2021
£
-		 Endowment
funds
2021
£
-		 Total
funds
2021
£
9,000		 Total
funds
2020
£
9,300
9,300 - - 9,300

7. Analysis of grants payable - Group

Unrestricted
fund
£
Restricted
fund
£
Endowment
fund
£
Grants to institutions
10,250
2,150
-
Endowment grants
-
-
28,000
Total
10,250
2,150
28,000
2020:
Grants to institutions
262,350
2,150
-
Endowment grants
-
-
34,891
Total
262,350
2,150
34,891		 Total
2021
£
12,400
28,000
40,400

264,500
34,891
299,391		 Total
2020
£
264,500
34,891
299,391

Page 21

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

7. Analysis of grants payable – Group (continued)

Grants were made to Liverpool College Independent School Trust (LCIST) to fund the following programmes:

Classroom buildings
Website development
Gladstone Leadership and Management Programme
Brenikov Music scholarship
School prizes
Gifted and Talented programme		 2021
£
-
5,900
4,350
750
1,400
28,000
40,400		 2020
£
250,000
8,000
4,350
750
1,400
34,891
299,391

The Gifted and Talented programme is funded from the Wilton Trust Fund.

8. Support costs – Group

Support costs – Group
Administration costs
Bad and doubtful debts recovered
Impairment charge written back
Stock written off		 Charitable
activities
£
9,595
(2,562)
(12,000)
8,090		 Total
2021
£
9,595
(2,562)
(12,000)
8,090		 Total
2020
£
9,408
(8,504)
(11,000)

-
3,123 3,123 (10,096)

Support costs for 2020 comprise charitable activities.

9. Trustee remuneration and expenses - Group

During the year, no Trustees received any remuneration (2020: £Nil) or benefits in kind (2020: £Nil). During the year, Trustees received reimbursement of expenses amounting to £nil (2020: £2,877).

10. Staff costs - Group

No persons were employed by the Group during the current or prior year.

Page 22

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

11. Independent Examiners remuneration - Group

Governance costs comprise the Independent Examiners remuneration of £7,500 (2020: £6,300), and accounts preparation of £1,500 (2020: £3,000), as set out below:

Independent Examination fee - Foundation
Accounts preparation – Foundation
Independent Examination fee – The Wilton Trust – current year
Independent Examination fee – The Wilton Trust – prior period		 2021
£
4,200
1.500
2,100
1,200		 2020
£
5,100
3,000
1,200
-
9,000 9,300

12. Taxation - Group

Factors affecting tax charge for the year

The Company and its subsidiary undertaking have been granted charitable status and are thus exempt from corporation tax in respect of their charitable activities.

13. Operations of subsidiary undertaking

A summary of the results of the Wilton Trust Fund is set out below:

Investment income
Charitable activities
Net income/(expense)
Net gains/(losses) on investments
Net movement in funds
The net assets and liabilities of the Wilton Trust Fund were:
Investments
Cash at bank and in hand
Creditors: amounts falling due within one year
Net assets
Endowment funds		 2021
£
28,999
(28,000)
999
102,349
103,348
2021
£
798,501
27,930
(14,173)		 2020
£
33,006
(34,891)
(1,885)
(97,889)
(99,774)
2020
£
696,152
29,649
(16,891)
812,258 708,910
812,258 708,910

Page 23

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

14. Tangible fixed assets - Group and company

Cost
At 1 September 2020 and 31 August 2021
Depreciation and impairment
At 1 September 2020
Revaluation for the year
Impairment charge written back
At 31 August 2021
Net book value
At 31 August 2021
At 31 August 2020		 Freehold
property
£
4,889,073		 Heirlooms
£
40,000		 Total
£
4,929,073
(4,596,073)
-
12,000		 -
8,900
-		 (4,596,073)
8,900
12,000
(4,575,173)
(4,584,073) 8,900
48,900
305,000 353,900
293,000 40,000 333,000

The impairment charge written back relates to the granting of a 125 year peppercorn lease to Liverpool College Independent School Trust on 31 July 2013. The value of the Company's interest in the property at 31 August 2021 represents the discounted value (using a discount rate of 4% and assuming no growth) of the reversionary right in 117 years (2020: 118 years).

Heirlooms represent a collection of historic trophies, portraits, pictures, plaques, honours boards and archives. These assets are not subject to depreciation and are revalued periodically. A valuation was carried out in November 2021 by F Turner & Sons, Auctioneers & Valuers, Liverpool which valued the heirlooms on an open market valuation basis at £48,900. Accordingly, this represents an increase in the valuation of £8,900, which the Trustees have determined should be reflected in the valuation at 31 August 2021.

Page 24

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

15. Fixed asset investments - The Group

Market value
At 1 September 2020
Investments
Revaluations
At 31 August 2021
Investments at market value comprise:
The LCF Investment Fund
The Wilton Trust Fund
Total market value
All the fixed asset investments are held in the UK.		 The LCF
Investment
Fund
The Wilton
Trust Fund
Total
£
£
£
626,119
696,152
1,322,271
70,000
-
70,000
122,831
102,349
225,180		 The LCF
Investment
Fund
The Wilton
Trust Fund
Total
£
£
£
626,119
696,152
1,322,271
70,000
-
70,000
122,831
102,349
225,180		 The LCF
Investment
Fund
The Wilton
Trust Fund
Total
£
£
£
626,119
696,152
1,322,271
70,000
-
70,000
122,831
102,349
225,180
818,950
798,501
1,617,451
2021
£
818,950
798,501		 2020
£
626,119
696,152
1,322,271
1,617,451

The Company

The charitable company's investments are represented by the LCF Investment Fund above.

Page 25

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

15 Fixed asset investments - The Group (continued)

The Charity invests in a wide spread of investment funds, focused on a mixture of capital, growth and income, whose underlying investments comprise a broad mixture of investments listed both in the UK and overseas.

All investments are carried at their fair value. Investment in equities are all traded in quoted public markets. Holdings in common investments funds are at the bid price. The basis of fair value for quoted investments is equivalent to the market value, using the bid price. Asset sales and purchases are recognised at the date of trade at cost (that is their transaction value).

The significance of financial instruments to the ongoing financial sustainability of the Charity is considered in the Trustees’ Report.

The main risk to the Charity from financial instruments lies in the combination of uncertain investment markets and volatility in yield. The Charity has a significant exposure to international companies, the values of which, together with their yields are exposed to exchange rate risk when converting the holdings into sterling.

Liquidity risk is anticipated to be low as all assets are traded and the commitment to intervention by central banks and market regulators has continued to provide for orderly trading in the markets and so the ability to buy and sell quoted equities and stock is anticipated to continue. The Charity’s investments are mainly traded in markets with good liquidity and high trading volumes. The Charity has no material investment holdings in markets subject to exchange controls or trading restrictions.

The Charity manages these investment risks by retaining expert advisors and operating an investment policy that provides for a high degree of diversification of holdings within investment asset classes that are quoted on recognised stock exchanges. The Charity does not make use of derivatives and similar complex financial instruments as it takes the view that investments held for the longer term yield a total return and historic studies of quoted financial instruments have shown that volatility in any particular five year period will normally be corrected.

The LCF Investment Fund

The LCF Investment Fund is invested with St James's Place in a wide range of managed funds with the objective of generating growth. These funds cover equity markets in the UK, Europe, North America and Asia, whilst being balanced by property funds and a significant holding in fixed interest and cash. As at 31 August 2021 approximately 33% of the overall fund valuation comprised investment in fixed interest, cash and property, with the remainder invested in equities.

The Wilton Trust Fund

The Wilton Trust Fund comprises two underlying funds invested with M&G, designated for charities. These comprise the Equities Investment Fund for Charities (Charifund), which is primarily invested in UK equities, and the Charibond Charities Fixed Interest Fund (Charibond), a portfolio of gilt edged and other fixed interest stocks and deposits designed to produce a high income whilst preserving capital value. As at 31 August 2021 the valuation of The Wilton Trust Fund comprised approximately 65% in the Charifund (2020: 59%) and 35% in the Charibond (2020: 41%).

Page 26

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

16. Stocks - Group and company

Liverpool College 175 years of history books 2021
£
-		 2020
£
8,090

The trustees have considered it appropriate to write off the residual cost of books held and recognise income from further sales when proceeds are received.

17. Debtor – Group & company

Amounts recoverable 2021
£
-		 2020
£
4,488

18. Creditors: Amounts falling due within one year

Accruals
Grants payable		 Group
2021
Company
2021
Group
2020
Company
2020
£
£
£
£
15,632
15,632
16,327
16,327
37,651
23,478
32,969
16,078
53,283
39,110
49,296
32,405

Page 27

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

19. Statement of funds

Statement of funds - Group current year


Unrestricted funds
Designated funds
Education Development Fund
General funds
General Fund
Total Unrestricted funds
Endowment funds
Wilton Trust Fund
Restricted funds
Liverpool College 1840
Foundation
Brenikov Music Scholarship

Total of funds		 Balance at
1 September
2020
£
356,788		 Income
£
1,700		 Expenditure
£
-		 Gains/
(Losses)
£
-
39,048
39,048
102,349
92,683
-
_
92,683
234,080
Transfers
£
-
-
-
-
-
-
___
-		 Balance at
31 August
2021
£
358,488		 Balance at
31 August
2021
£
358,488
142,827 119,042 (22,373) 278,544
499,615 120,742 (22,373) 637,032
708,910
433,738
23,500
 28,999 (28,000) ___ 812,258
-
-
____
-		 (1,400)
(750)
____
(2,150)		 525,021
22,750
_____
457,238		 ___ _
547,771
1,665,763 149,741 (52,523) - 1,997,061

Page 28

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

19. Statement of funds (continued)

Statement of funds - Group prior year

Unrestricted funds
Designated funds
Education Development Fund
General funds
General Fund
Total Unrestricted funds
Endowment funds
Wilton Trust Fund
Restricted funds
Liverpool College 1840
Foundation
Brenikov Music Scholarship
Total of funds		 1 Balance at
September
2019
£
354,488		 Income
£
2,300		 Expenditure
Gains/
(Losses) Transfers
£
£
£
-
-
-
(261,554)
(12,110)
(8,728)
(261,554)
(12,110)
(8,728)
(34,891)
(97,889)
8,728
(1,400)
(18,165)
-
(750)
-
-
-
(2,150)
(18,165)
-
(298,595)
(128,164)
-		 Expenditure
Gains/
(Losses) Transfers
£
£
£
-
-
-
(261,554)
(12,110)
(8,728)
(261,554)
(12,110)
(8,728)
(34,891)
(97,889)
8,728
(1,400)
(18,165)
-
(750)
-
-
-
(2,150)
(18,165)
-
(298,595)
(128,164)
-		 Expenditure
Gains/
(Losses) Transfers
£
£
£
-
-
-
(261,554)
(12,110)
(8,728)
(261,554)
(12,110)
(8,728)
(34,891)
(97,889)
8,728
(1,400)
(18,165)
-
(750)
-
-
-
(2,150)
(18,165)
-
(298,595)
(128,164)
-		 Expenditure
Gains/
(Losses) Transfers
£
£
£
-
-
-
(261,554)
(12,110)
(8,728)
(261,554)
(12,110)
(8,728)
(34,891)
(97,889)
8,728
(1,400)
(18,165)
-
(750)
-
-
-
(2,150)
(18,165)
-
(298,595)
(128,164)
-		 Balance at
31 August
2020
£
356,788
425,208 11 (261,554) (12,110) 142,827
779,696 2,311 (261,554) (12,110) 499,615
799,956 33,006 (34,891) (97,889) 708,910
453,303
24,250		 -
-		 (1,400)
(750)		 (18,165)
-		 433,738
23,500
477,553 - (2,150) (18,165) _- _ 457,238
2,057,205 35,317 (298,595) (128,164) - 1,665,763

Page 29

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

19. Statement of funds (continued)

Statement of funds – Charitable company current year

Balance at
1 September
2020
Unrestricted funds
Designated funds
Education Development Fund
356,788
General funds
General Fund
142,827
Total Unrestricted funds
499,615
Restricted funds
Liverpool College 1840
Foundation
433,738
Brenikov Music Scholarship
23,500
457,238
Total of funds
956,853		 Balance at
1 September
2020
Unrestricted funds
Designated funds
Education Development Fund
356,788
General funds
General Fund
142,827
Total Unrestricted funds
499,615
Restricted funds
Liverpool College 1840
Foundation
433,738
Brenikov Music Scholarship
23,500
457,238
Total of funds
956,853		 Income
1,700		 Expenditure
-		 Expenditure
-		 Gains/
(Losses)
-		 Transfers
-
-
-
-
-		 Balance at
31 August
2021
358,488
142,827
499,615		 119,042 (22,373) 39,048 278,544
120,742 (22,373) 39,048 637,032
433,738
23,500		 -
-		 (1,400)
(750)		 92,683
-		 525,021
22,750
457,238 - (2,150) 92,683 - 547,771
956,853 120,742 (24,523) 131,731 - 1,184,803

Page 30

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

Commercial in confidence

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

19. Statement of funds (continued)

Statement of funds – Charitable company prior year

Unrestricted funds
Designated funds
Education Development Fund
General funds
General Fund
Total Unrestricted funds
Restricted funds
Liverpool College 1840
Foundation
Brenikov Music Scholarship
Total of funds		 Balance at
1 September
2019
354,488		 Income
2,300		 Expenditure
-		 Gains/
(Losses)
-		 Transfers
-
(8,728)
(8,728)
-
-		 Transfers
-
(8,728)
(8,728)
-
-		 Balance at
31 August
2020
356,788
425,208 11 (261,554) (12,110) 142,827
779,696 2,311 (261,554) (12,110) 499,615
453,303
24,250		 -
-		 (1,400)
(750)		 (18,165)
-		 433,738
23,500
477,553 - (2,150)
(263,704)		 (18,165) - 457,238
1,257,249 2,311 (30,275) (8,728) 956,853

Page 31

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

Notes

i) Unrestricted funds

The General Fund and the Education Development Fund are unrestricted. The Education Development Fund has been invested for income and growth.

ii) Restricted funds

a) The Liverpool College 1840 Foundation

b) The Brenikov Music Scholarship

iii) Endowment funds

The Wilton Trust Fund

Page 32

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

20. Analysis of net assets between funds

Analysis of net assets between funds - the Group – current year

Tangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year
Analysis of net assets between funds - the Group
Tangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year		 Unrestricted
funds
2021
£
353,900
201,005
51,063
31,064		 Restricted
funds
2021
£
-
617,945
-
(70,174)		 Endowment
funds
2021
£
-
798,501
27,930
(14,173)		 Endowment
funds
2021
£
-
798,501
27,930
(14,173)		 Total
funds
2021
£
353,900
1,617,451
78,993
(53,283)
637,032 547,771 812,258
Endowment
funds
2020
£
-
696,152
29,649
(16,891)		 812,258 1,997,061
– prior year
Unrestricted
funds
2020
£
333,000
100,857
30,139
35,619		 Restricted
funds
2020
£
-
525,262
-
(68,024)		 Total
funds
2020
£
333,000
1,322,271
59,788
(49,296)
499,615 457,238 708,910 1,665,763

Page 33

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

20. Analysis of net assets between funds (continued)

Analysis of net assets between funds - the charitable company – current year

Tangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year		 Unrestricted
funds
2021
£
353,900
201,005
51,063
31,064		 Restricted
funds
2021
£
-
617,945
-
(70,174)		 Total
funds
2021
£
353,900
818,950
51,063
(39,110)
637,032 547,771 1,184,803

Analysis of net assets between funds - the charitable company – prior year

Tangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year		 Unrestricted
funds
2020
£
333,000
100,857
30,139
35,619		 Restricted
funds
2020
£
-
525,262
-
(68,024)		 Total
funds
2020
£
333,000
626,119
30,139
(32,405)
499,615 457,238 956,853

Page 34

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

21. Contingent liabilities

In July 2013 the Company received £2,500,000 from the Department for Education (DfE). The money is repayable in the event that the Funding Agreement between Liverpool College Independent School Trust and the DfE is terminated.

22. Capital commitments

The group had no capital commitments at 31 August 2021 or 31 August 2020.

23. Liverpool College Independent School Trust (LCIST)

The activities of the main school were transferred from the Company to LCIST to operate an Academy from 1 September 2013.

On 31 July 2013, the Company granted a 125 lease of the whole school campus and the buildings thereon at a peppercorn rent. During that year, a grant of £2,500,000 was received from the Department for Education. The loan is repayable in the event that the funding agreement between LCIST and the Department for Education is terminated.

Page 35

DocuSign Envelope ID: 3FA291F1-0728-47DE-B20F-A13A2E8C8D20

THE LIVERPOOL COLLEGE FOUNDATION

(A company limited by guarantee)

DETAILED INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 AUGUST 2021

Income
Foundation income and legacies
Income from investment funds
Total Income
Less: Expenditure
Administration costs
Bad debts recovered
Governance Accountancy costs
Governance Accountancy costs – prior years
Endowment grants
Classroom buildings grant
Other grants
Total Expenditure
Net income / (expenditure) from charitable
sources
Other income and expenditure
Impairment charge written back
Gains/(Losses) on revaluations of investment
assets
Gain on revaluation of heirloom assets
Stock of history books written off
Total Other income and expenditure
Net income/(expenditure) for the year		 120,742
28,999		 2021
£

149,741



(56,433)		 2,311
33,006		 2020
£

35,317



(309,595)
9,595
(2,562)
7,800
1,200
28,000
-
12,400		 9,408
(8,504)
9,300
-
34,891
250,000
14,500
12,000
225,180
8,900
(8,090)		 11,000
(128,164)
-
-
93,308 (274,278)


237,990

(117,164)
331,298 (391,442)

THIS SCHEDULE IS NOT FOR PUBLICATION

Page 36