Charlty number: 528413 SHREWSBURY SCHOOL GOVERNORS. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 SHREWSBURY SCHOOL CONTENTS Page Reference and admlnlstrative details of the Charity, its Governors and advlsers Governorn, report Independent auditorfs report on the financial statements Con$olidated statement of financial activities 3-12 13-16 17-18 Consolldated balanco sheet 19-20 Charity balance sheet Consolidated statement of cash flows 21-22 23 Notas to the financial statements 24-63 SHREWSBURY SCHOOL REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS GOVERNORS AND ADVISERS FOR THE YEAR ENDED 31 JULY 2024 Govemors J.D.C. Pitt, MBA, 8S¢ ICo-OPted member), Chairmani,2,4.6 JC Berndl (Co-opted member) lappointed 17 September 202416 R. Boys-stones, BSC, FCA (Co-opted memberli.4 D Chance MBA (Co-opted memberli.2 J.R. Clark MA (Co-opted member) Iresigned 31 July 202413.5.6 S.F.D. Ellis (Co-opted memberl (appointed 3 June 202416 D. Flint. DL (Appointed by the Lord Lieutenant of the County of Shropshirel I￿S1gned 31 December 202311,2,5 G. Hamer DL lappointed 1 January 202411 S.L.Hankin BA (Co-opted member}s C. Howarth LLB, MA (Co-opted member12,6 Dr S. Jones-Perrott BA, MBBS, FRCP (Co-opted member13.5.7 W. Kenyon MA, FCA (Co-opted member13 Professor A.J. Mccarthy BSC, PhD Icowopled member) Iresigned 3 January 202412.5 J.M.H. Moir, BA, MBA Ictropled member11.4 Councillor D. Morris BA, (Appointed by Shropshire Coun¢i113,6 Councillor C.M. Motley BA {Appoinled by Shropshire Councilll,2.7 F.L. Schofield BA, PGCE (Co-opted member15.7 Canon J. Leigh MA. FRSA (Co-opted member15 D.R. Stacey DL IC(Fopled rnember11,3.7 G. Wa￿eT5 BBLS (Co-opted member16 C Ward lappointed 17 September 2024IICcpopled member15 Finance and General Purposes Committee Nominations and Remuneration Committee Audit Committee Investment Committee Education and Safeguarding Committee International Development Committee The Prep School Committee Charity registered number 528413 Principal address and Registered Office The Bursary Kingsland House Shrewsbury School The Schools sh￿w$bury SY3 7AA Headmaster N L Winkley MA. MEd Thè Bailiff, Bursar and M J Ware, MA, ACA (resigned 16 August 20241 Clerk to the Govorning Body Page 1 SHREWSBURY SCHOOL REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY. ITS GOVERNORS AND ADVISERS ICONTINUEDI FOR THE YEAR ENDED 31 JULY 2024 Independent auditor Crowe U.K. LLP Fourth Floor Sl James House Sl James Square Chellenham GL50 3PR Bankers B8rc18ys Bank UK PIC 44146 Castle Street Shrewsbury SY1 1BU Handelsbanken Pl¢ 1st Floor, Willow House West Shrewsbury Business Park Shrewsbury SY2 6LG Lloyds Bank PIC 1 Pride Hill Shrewsbury SY1 1DG Investment Advisors Sarasin & Partners LLP Juxon House 100 St. Paul's Churchyard London EC2M 8BU Page 2 SHREWSBURY SCHOOL GOVERNORS. REPORT FOR THE YEAR ENDED 31 JULY 2024 The Governors present their annual report for the year ended 31 July 2024. under the Charities Act 2011, together with the audited accounts for the year, and confirrn that the latter comply with the Act, the Shrewsbury School Slalules and the provisions of the Slalemenl of Recommended Practice ISORPI "Accounting and Reporting by Charities" the Chanlies SORP IFRS1021 effective 1 January 2019. REFERENCE AND ADMINISTRATIVE INFORMATION Shrewsbury School was founded in 1552 as 'The Free Grammar School of King Edward Vl" and is registered with the Charity Commission under charity number 528413. The Governors, Offi￿r5 and principal address and particulars of the Chartys professional advisers are as listed on pages 1-2. STRUCTURE, GOVERNANCE AND MANAGEMENT Governlng Document Shrewsbury School is 9overned in accordan￿ with the Shrewsbury Sehool Ststutes. approved by the late HM Queen Elizabeth 11 in Council on 12 October 2016. Recrultment and Tralnlng ol Governors The Goveming Body consists of both appointed and co-opted members. The Master of Sl John's College, Cambridge is an ex-officio member of the Governing Body. The current Master of St John'5 has decided not lo take up her post as a Governor of Shrewsbury School in line wrth the policy ofthe College council. Three members are appointeLI lo the Governing Body by persons or a body of persons as specified in Shrewsbury School's StatLJtes and effectively provide an informal link with Shrewsbury Town and ils County. One member Is elected by the Assistant Teachers of Shrewsbury School (Common Room). Fourteen rnembers Imaximuml are co-opted by the cutrenl Governors. their names being brought forward for appointment by the Nominations and Remuneration Committee of the Governing Body. There is a regular audit of Governors. qualifications, skills and experience. Governors are encouraged lo attend appropriate training courses and seminars. New Governors are introduced to the workings of the Charity and the Goveming Boty largely by past financial statements. management accounts, minutes of Governor and sub-committee meetings. and a day's visit to Shrewsbury School. including meeting representatives of staff and employees. General infomation is provided in Slalules, the School Handbook. information for pupils, and Charity Commission regulations. Specific issues are addressed at an academic-year-end strategy meeting with the Headmaster. Governors are oncouraged lo keep abreast of new regulations. All Governors are required lo undergo a Oisclosure and Barring check for chikj protection purposes. Organisational Management The members of the Governing Body, as Trustees of the Charity, are legally responsible for the overall management and control of both schools and meet as the full decision making Govorning Body al least three limes a year. There are seven committees lo which powers of investigation and recommendation are delegated, and which meet regularfy under their respective chainren. Minutes are kept of all meetings of the Trustees and of the Committees. Draft minutes are circulated to all Governors for discussion al meetings of the full Governing Body. The Finance and General Purposes Committee IF&GPI is the working Committee responsible for making recommendations on the financial and operational policy lo the Goveming B¢xly and for ensuring th* the decisions and policies of the Governing Body are implemented. The F&GP meets at least three times a year, prior to full Goveming Body meetings. The F&GP during the year was Chaired by R Boys-stones. Page 3 SHREWSBURY SCHOOL GOVERNORS. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 JULY 2024 The other committees are the Nominations and Remuneration Committee, chaired by D Chance. The International Development Committee, chaired by C Howarth.. the Audit Committee, chaired by W Kenyon." the Investment Committee, chaired by M Moir., the Education and Safeguarding Committee, chaired by J Leigh., and the Prep School Commrttee, chaired by C Motley. Each Committee fneets at least once a year. The Governing Body has approved the terms of reference for each of the committees. The day-to-day running of Shrewsbury School itself is delegated to the Headmaster. who is supported by the Bursar and their various anagement teams. The Packwood Haugh School Headmaster reports into the Headmaster of Shrewsbury School, and is SLJPPOrted by the Packwood Bursar and Packwood Leadership Team. These groups fomi the key managèment personnel. The Shrewsbury Headmaster and the Shrewsbury Bursar attend Governing Body and F&GP Commrttee meetings, and the rneelings of other committees as appropriate. Other teaching and support staff attend Governing Body and committee meetings on an ad hoc basis lo adwse and inform Governors on 5p&cifi¢ areas of the Shrewsbury School's and Packwood's activities. Policies and guideline5 for the effective governance and management of ShTewsbury School are regularly reviewed by the Audit Committee and their recommendations passed to the F&GP and the Goveming Body for action. The Prep School Commrttee performs a similar function for Packwood. The ￿m￿neratIOn of the key management personnel of both schools is sel by the Nomination5 and Remuneration Cornmittee. The policy objeclinies are lo provide appropriate incentives lo encourage enhanced performance and lo reward fairly and responsibly individual contributions to the success of both schools. The appropriateness and relevan￿ of the remuneration policy is reviewed annually, including references to ¢omparisons wrth Other independent schools to ensure that the Charity remain5 sensitive lo broader issues of pay and employment conditions elsewhere. Group Structure and Relationships During the year, the Charty had two wholly owned subsidiaries". Shrewsbury School Enterprises Limited Inon-charitsblel Shrewsbury School Trading Company Limi(ed Inon-charilablel. The activities of these companies are discussed later in this report. In addition, the Charity pays the employment, adminislralive and other costs, and expenses of Shrewsbury School Foundation. These costs are calegorised as fund raising costs within the Consolidated Statement of Financial Aclivilies. The Governors have agreed that the Charity will incur theso costs to the extent that Shrewsbury School Foundation exercises and continues to exercise rts charitable objgds Ilhe "Shrewsbury School Charitable Objecls'l as sel out in the Foundation Trust Deed. Shrewsbury School and Pa¢kwood Haugh School both operate within the Shrewsbury School charty. Risk Management The Goveming B￿lY is responsible for the management of the risks faced by both schools. Detailed analysis of the risks is delegated lo the Audit Committee, who in turn delegates review of ea¢h risk type to the relevant su Committees. In this review. the Goveming Body 5ub-Committees are assisted by the leadership team from each school. Risks are identified, assessed and controls established throughout the year. The risks are identified under the following headings.. mission and objects., law and ￿gulatIonS." g0Veman￿ and management.. external factors., markelinglpupil recruitment., academic factors,. operational factors," human resources,. environmental,. technological and financi81. A formal review of the major risks facing the Charity and the concomitant risk management pr¢xesses is perfom)ed annually by the Governing Body. Page 4 SHREWSBURY SCHOOL GOVERNORS. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 JULY 2024 The key ¢ontrols used by the Charty include.. fomal agendas and papers where appropriate for all Committee and Governing Body meetings with detailed minutes taken for each and circulated in drafl to relevant participants and members unable to allend. clear and detailed letms of refe￿nCe lor each Committee. comprehensive strategic planning, budgeting and management accounting, timety, cEear and accurate management financial information readily available and formal written policies agreed. established organisational management structure and lines of reporting, clear authorisation and approval levels for payments. Governors who have designated respongibilty for Child protection. health and safety, eslales and admissions. 11 is recognised that these control systems provide a reasonable, bul not an absolute, assurance that risks are being managed properly. The Governtsrs are satisfied that the major risks being faced by both schools this year have been identified and are being adequately addressed in order to avoid each, or lo miligale the effe¢ts of an unavoidable o¢¢urren¢e. OBJECTS, AIMS. OBJECTIVES AND PRINCIPAL ACTIVITIES Charitable Oblocts The Objects of the Charity aro the advancement of education, including the provision of boarding and day schooling. Wrthin these Objects the Charity has a number of permanent endowed funds held for special purposes in connection with the development of Shrewsbury School's facilities and for scholarships, bursaries. prizes and other educational purposes. Public Benefit Aims and Intended Impact Shrewsbury School was founded in 1552 by Royal Charter lo provide charitable education in the Shrewsbury area. Shrewsbury attracts enlranls from all over the United Kingdom and also from abroad whilst slill retaining ils strong links with the town and ils citizens. Since August 2019, Packwocxl Haugh School has been part of the overall Shrewsbury School charitable entity. Our aim is that a Shrewsbury edueation will educate and empower each individual to flourish in life and contribute positively lo the world around them. Shrewsbury School delivers whole person education in a thriving and inclusive boarding and day school community that champions the individual. We believe that the true purpose of education is the cullivalion of inner virtues, life skills and character strengths that equlp Dur young people wich the confidence and direction lo pursue meaningful and successful lives. Packwood Haugh School operates as an independent boarding and day Preparatory S¢hool for boys and girfs aged from 4 to 13. Packwood covers all that is required by the National Curriculum Key Stages 1 and 2. and the first two years of Key Stage 3 and substantially more. Packwood aims for the highest quality of academic luilion and pastoral care and the development of wider sporting, artistic and social skills in all ils pupils, while offering an environment in which èach pupil can develop and fulfil their polenlial. In setting both schools, obieclives and planning of activities, the Governors have given careful consideration to the Charity Commission's general guidan￿ on public benefit and in particular lo ils supplementary public benefit guidance on advancing education and fee charging. Shrewsbury and Packwood provide substantial public benefit not only to th8 r8cipienls of educational grants but also lo the local community and a wider public. A member of the Shrewsbury School Leadership Team has specific responsibility for Partnership and Community Engagement In order lo locus the different strands of 8clivity in this area and lo measure the impact on beneficiaries. Page 5 SHREWSBURY SCHOOL GOVERNORS. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 JULY 2024 Educational grants and wldenlng access to Shrewsbury School and Packwood. Scholarships, bursaries and other awards are made available from three sources." funds Controlled by the Governing Body as Trustees.. funds managed by the Trustees of the Shrewsbury School Foundation., and the general Income of both s¢hools. In the year, 375 12023 - 3851 Shrewsbury pupils were assisted of whom 204 were means lesled12023 - 1981. The value of this means tested support al Shrewsbury was £3,541,68412023- £3,188.7521. This figure includes 12 pupils {2023 - 111 who were in receipt of 100910 means tested remission5. Packwood offered £368,08212023- £367,015) in bursary and scholarship support in 2023-24, of which £234,954 12023 - £262,642) was means tested. Such a significant level of fee support Is in keeping wlh the aims of the schools and underscores the charrtable purpose. Partnerships with local schools and tho Shrawsbury House, Evarton "The Shewsy" Shrewsbury School engages in subslanlial Charitable lundraising for both local, national and inlemalional organis8tions. Of special interest is the On￿oing financial support for Shrewsbury House. known as 'The Shewsy,, a youth club in Liverpool established by Shrewsbury School in 1903 to serve the needs of the socially and economically disadvantaged community in Everton. During 20234. significant fundraising by students and the wider Salopian community look place in support of The Shewsy's annual 'Big Give, campaign al Christmas, with over £95k being raised lo help provide further support for youth programmes. In addition lo fundraising, Shrewsbury School is aclivety involved in govemance, provides aecounting and other services, free of charge, lo Shrewsbury House. In the last academic year. all new Year 9 Shrewsbury School pupils visited The Shewsy as part of the volunteering component of their BASE programme and worked in the 'Everton in the Community, garden and in Junior Club. Themed iesidenlial visits lo Liverpogl were offered lo Lower Sixth Form SludèntS- Covering Law, Medicine, Business and Politics. Over 250 hours, of staff lime Iplanning and deliveryl is estimated to havo gone into the above programme. During the 2023-24 academic year Shrewsbury School continued lo develop partnership activity with slate schools, charities and other organisations. both locally and nationally. Programmes covered aGademics, ¢o- curri¢ular (sport, music and arts), support with Careers and pastoral aspects of school life- some of these were regular activities over a temi or the whole year. others were one-off events or special o¢¢asions. Amongst the highlights of 2023-24 are the following case studies.. Case Study 1- Support for the Food Bank+ During the year the School community raised a record amount of funds for the Food Bank+ through events including the House Singing Competition, hosting the annual Christmas Fayre in Quod, the slafflcommunity football tournament and Jazz in the Barnes evening totalling ¢£1 Ok. Salopians volunteered wOrki￿g at the Food B8nk+ each Thursday throughout the year and pupils and teachers participated in the Christmas hamper campaign in the week leading up to Christmas. This redoubling of effort demonstrates Shrewsbury School's commitment lo this local charty I partner, particularly when the 'Cosl of Living, crisis was peaking with even more individuals and families requiring the support of this charity. Case Study 2- Thursday Afternoon Volunteering- weekly commttment Under the leadership of Naomi Prilchard the School's Volunteering programme is thriving. Last year activities Included supporting literacy in a range of slate primary schools, care home and hospital visits. charity shop support, homework club for refugees a total of close to 20 different settings. Each week leaching staff dedi¢ated 60+ hours of their lime lo this area of school life, facilitating the programme lo over 200 Salopians reaching an eslimaled 500 members of the community. Many of these weekly activities typically lasting 2 hours were extended into a longer period during Field Days often wrth a special project planned and more contact time lo mutual benefrt of our own students alongside the partners. Page 6 SHREWSBURY SCHOOL GOVERNORS, REPORT ICONTINUEDI FOR THE YEAR ENDED 31 JULY 2024 Case Study 3- Restart Africa The School developed its relationship with Restart Africa in Gil Gil, Kenya. in support of abused and homeless Children. primarily through funding Iranslormalive educational opportunities. Alongside an educational piece of work (the CEO ol Restart wsited and gave a whole school assembly) foi our students, opportunities were afforded for volunteers to do virtual mentoring each week. Fundraising happened al whole school and house levels (events included All Nighlers, hockey and football tournaments, bakesl, raising a lolal of c£25k. This paid for in-house leaching support al Gil Gil, as well as units of £350 whole year school fees for residents of the Restart centre in local schools. In March of 2024 20 stLJdents and 4 staff visited Restart. volunteering al the ¢enlre, helping deliver surtcases full of high need items, sharing experiences, faGililating informal education programmes. Students who visited will lake the lead in future work with Restart their advocacy will be powerful. Case Study 4- Sporting Outreach The School supported and promoted sporting opportunrties In many ways during 20234. This 15 work planned and delivered by Ed Moore, Sports Facilities Manager, and his team. In addition lo hiring out facilities at a ¢ompetitive I discounted price Inolably the swimming pool. squash ¢ourts. astroturfs and cricket cent￿). partnerships with the Marches Academy Trust, Alpha Academies Trust and the Trusted Sports Alliance have been Lleveloped pro bono to widen access lo our firsl-class facilities and support the curricular and co. Shr&wsbury School Foundation la separate Charity) raises funds lo donate lo the School for buisary SLJPPOrt, capital and educational projects. In the current year the School received from the Foundation a totsl of £855,468 of thi5 £760.914 was to support bursaries. RESERVES POLICY The School does not possess large endowment reseNes to generate income lo assist in the financing of the School. At the year-end Endowed Funds tolalled £1.539,231 and Reslricled Funds tolalled £718,233, because of the particular spending constraints attachttd lo them they are not available fDr funding the general operations of the School. Unrestricted Funds lolallillg £46,538,350 are expendable in accordance with the Object5 of the School. The School has no current freg reserves as the unreslricled reserves are less than the nel book value of fixed assets. Given our plans for new buildings, this nil balance will continue for several years. This is irTr accordance with the long-lemi plan5 01 the Trustees for the development of the School and they are salis*ied that the ￿SOurceS available to the School through extemal bank finance are adequate for ils projecletl requirements. In addition lo the operational land and buildings, the School owns residential properties for housing some of ils staff. There are also art&fa¢ts and works of art, which have been acquired and accumLJlated over very many years. These are of huge educational and wider ¢ullural benefrt lo the School community and some a￿ made available, under appropriate conditions, lo external researchers and s¢holars. They are not revalued in the B818nce Sheet and the Governors are of the view that there Is no benefrt to be gained from incurring the costs of valuations other than foi insurance purposes. The annual revenue expenditure requirements of the School are generally mel from annual ineome. Prudent budgeting and light financial control are designed lo ensure that adequate but not excessive cash headToom is maintained, and this is supported by a seasonal overdraft facilty. The Governors are confident that the eapilal development plan can be achieved by the policies set out above, supported by prudent borrowing and support from Shrewsbury School Foundation on selected projects. The Governors have established a design*ed fund. which aims lo provide bursarial support lo enable pupils lo attend the School. The intention of the Governors is to allocate a proportion of the School's commercial income each year, based on an agreed calculation, subject lo operating requirements. The intention is to build up the fund over the forthcoming years, with income from il being used lo provide bursarial support lo pupils attending the School. During the year, the Trustees allocated £641.470 to the fund. At the year end the value of this designated fund was £4.940.228. Page10 SHREWSBURY SCHOOL GOVERNORS, REPORT ICONTINUED FOR THE YEAR ENDED 31 JULY 2024 INVESTMENT POLICY Tho Govemors, as Trustees, have wde powers to invest in property and se¢urilies, includin9 stocks and shares. The Governors review, on a regular basis, the investment profile of the School, the risks and relums achieved and the likely future performance. The fees in advan￿ funds have been transferred to cash funds. in order to reduce the possibility of loss of ¢apital and take advantage of the current high interest rates. These investments provide the backing of two years fees in advance liabilities. The policy of the School wtih regard to endowed and designated investments is lo ensure that they produce a regular and growing income stream, together with capital growth. The School's investments are managed by Sarasin & Partners. The School funds are held in the Sarasin Endowments Fund Class A Income Fund, a global mulli-assel portfolio wi(h an inlegraled socially responsible investment policy. The fund seeks to provide growth lin lemis of investment value and growth) of 4°A per year more than the CPI over a rolling five-year period. The School's investments increased in caprtal value by £497.211 19.6°/.l over the previous year. PRINCIPAL RISKS AND UNCERTAINTIES As explained above, the Govemors have considered the principal risks and uncertainties lacing the School. The economic climate affects the abilty of pa￿ntS lo afford the school fees. 2nd the affordability of fees is Considered as an important factor in the long-lerm financial planning. The impc>sition of VAT on school fees from January 2025, may impact on both pupil numbers and the number of requests for financial assistance needed lo attend Shrewsbury. In lems of unexpected costs, the Governors ensure that insurance is in place for known and insurable risks. With 8 large buitt estate. the School also monitors and plans for foreseeable future building repairs. The management team also carefully monitors the level of scholarships and bursaries to ensure that grant commitments are maintained at a sustainable level, carefully reviewing the future grant funding available from Shrewsbury School Foundation. The School has also considered non-financial risks. As the heS￿h and safety of the pupils and staff 15 paramount, the Trustees consider any potential breach of health and safety lo be a principal risk. To mitigate the School has developed policies to ensure the regulations and guidelines for the welfare of pupils and staff are observed. FUTURE PLANS Focus on funding and increasing the number of means tested transfomative bursaries175% 10 1100A off fee51. The continued development of a ¢ross-sector programme of partnership and communty engagement. Detailed medium term financial modelling of the impact of VAT on the School's finances and cash balances and the actions required in order lo maintain a financially stable environment. Building on the success of the first Shrewsbury School Summer School, lo offer a wider provision of courses and thereby attract more participants. Page11 SHREWS8URY SCHOOL GOVERNORS. REPORT (CONTINUED FOR THE YEAR ENDED 31 JULY 2024 ACCOUNMNG AND REPORTING RESPONSIBILITIES The Goveming Body is required by law lo prepare financial statements for each finsncial year, which give a true and fair view of the financial activities of the Charity and of ils financial position al the end of that year. In preparing those financial statements the Goveming Body is required lo". $eled suitsble accounting policies and apply them consislentty. make judgements and eslimales that are reasonable and prudent. slate whether applicable accounting standards have been followed, subject lo any material departures disclosed and explained in the financial statements. prepare the financial statements on the going concern basis unless it is inappropriate lo presume that the Charity will continue in business. Taking into account the specific economic and geopolitical risks, the Governing Body has reviewed future sch¢x)I cashflows and is confident that it is appropriate lo produce financial slalemenls on a going concern basis. The Governing Body is responsible for keeping proper a¢￿untIng records which diselose, wrth reasonable accuracy al any time, the financial position of the Charity and enable it to ensure that the financial statements comply with the Charities Act 2011 and the Shrewsbury School Stalules, approved by the late HM Queen Elizabeth 11 in Council on 12 October 2016. 11 is also responsible for safeguarding the assets of the Charty and hen¢e for tsking reasonable steps for the prevention and detection of fraud and other irregularrties. In detemining how amounts are presented wrf£h in items in the slalemenl of financial activrties and balan Sheet. the Governors have regard to the substance of the reported transaction or arrangement, in accordance with generally a￿epted accounting principles or practice. So far as each of the Governors is aware at the lime tho report is approved.. There 1$ no relevant audit information of whieh the company's audrf(ors are unaware., and The Govemors have taken 811 steps that they ought to have taken lo make themselves aware of any levant audit information and lo establish that the audf(ors are aware of that infornialK)n. Auditors Crowe U.K. LLP have indicated their willingness lo remain in office. This report was approved by the Govemors, on 30 November 2024 and signed on their behalf by.. J.D.C. Pitt Chair Page 12 SHREWSBURY SCHOOL INDEPENDENT AUDITOR'S REPORT TO THE GOVERNORS OF SHREWSBURY SCHOOL Opinion We have audited the financial statements of Shrewsbury School Ilhe 'parenl charity) and ils subsidiaries (the 'group'l for the year ended 31 July 2024 which comprise the Consolidated slalement of financial aclivilies, the Consolidated balance sheet, the Charity balance sheet. the Consolidated statement of cash flows and the related notes. including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, IUnf(ed Kingdom Generally Accepted A¢¢ounling Praclicel. The financial slalements have been p￿pared in accordance with Accounting and Reporting by Charities preparing their account5 in accordance wrth the Financial Reporting Stsndards applicable in the UK and Republic of Ireland IFRS 1021 in preference lo the Accounting and Reporting by Charities.. Slalernenl of Recommended Practice issued on 1 April 2005 which is referred lo in the extant regulations bul has been withdrawn. This has been done in order for the accounts lo provide a true and fair view in accordance wrth the Generally Accepted Accounting Practice effective for reporting periixls beginning on or after 1 January 2015. In our opinion the financial slalemenls.. give a true and fair view of the slate of the Group's and of the parent charivs affairs as at 31 July 2024 and of the Group's incorning resource5 and appli¢alion of resources, including 115 incorne and expenditure for the year then ended., have been properly prepared in accordance with United Kingdom Generally Accepted Aecounling Practice.. and have been prepared in accordan￿ with the requirements of the Charrties Act 2011. 8a5is for opinlon We conducted our audit in accordance with International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under Ih05e standards are further described In the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom. including the Financial Reporting Council's Ethical Standard. and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is suff5cienl and appropriate to provide a basis for our opinion. Conclusions relating to going Concern In auditing the financial slalemen15, we have concluded that the Governors, use of the going COn￿M basis ol accounting in the preparation of the financial slalemen15 is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the parent charty's ability lo continue as a going concern for a period of at least twelve months from when the financial statements are aulhorised for issue. Our responsibilities and the responsibilities of the Governors with respect lo going concern are described in the relevant sections of this report. Page13 SHREWSBURY SCHOOL INDEPENDENT AUDITOR'S REPORT TO THE GOVERNORS OF SHREWSBURY SCHOOL ICONTINUEDI Other infomiation The other infomalion comprises the information included in the Annual report other than the financial statements and our Auditor's report Ihereon. The Governors are responsible for the other information ¢ontained within the Annual report. Our opinion on the financial statements does not cover the other information and. except lo the exlenl otherwise explicitly slated in our report, we do not express any form of assurance conclusion Iheieon. OLJr iesponsibility is to read the other information and, in doing so. consider whether the other Information is materially inconsislenl wth the linan¢ial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misststements, we are required lo determine whether this gives rise lo a maleiial misslatemenl in the financial slalemenls themselves. If, based on the work we have performed, we conclude that there is a material misslalemenl of this other inform81ion, we are required lo report that fact. We have nothing lo report in this regard. Matters on which we are required to report by exceptlon We have nothing lo report in respect of the following matters where the Charities IAccounts and Repottsl Regulations 2008 ￿quIreS us tc> report lo you if, in our opinion.. the information given in the Governors, report is inconsistent in any material respect with the financial statements.. or the parent Charity has not kept sufficient accounting records., or the parent Charity financial slalemenls are not in agreement with the accounting records and relums", or we have not received all the information and explanations we require for our audit. Responsibilities of Governo As explained more fully in the Govemors, responsibilities statement, the Governors are responsible for the p￿paratIOn of the financial statements which give a true and fair view, and for such internal control as the Governor5 delemine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Governors are responsible for assessing the Group's and the parent charty's abilty lo Continue as a going concern. disclosing, as applicable. matters related to going eoncern and using the going concern basis of accounting unless the Governors either intend lo liquidate the Group or the parent ¢harty or lo cease operations, or have no realistic a￿eMatiVe but lo do so. Page 14 SHREWSBURY SCHOOL INDEPENDENT AUDITOR'S REPORT TO THE GOVERNORS OF SHREWSBURY SCHOOL ICONTINUEDI Audltor's responslblllties for the audit of the financial statements We have been appointed as auditor under section 151 of the Charities Act 2011 and report in accordance wf(h the Act and relevant regulations made or having effect thereunder. Our objeclwes are lo obtain reasonable assurance about whether the financial statements as a whole are free from material misslalemenl. whether due to fiaud or error, and lo issue an Auditor's report that includes our opinion. Reasonable assurance is a high level of assuran￿, bul is not a guarantee that an audit conducted in accordance with ISAS IUKI will always detect a material misstatement when it exists. Misslalemenls can arise from fraud or error and are considered material if, individually or in the aggregate. they Could reasonably be expected lo influence the economic decisions of users taken on the basis of these financial slalemenls. Irregularities, including fraud. are instances of non-compliance with laws and regulations. We design procedures In line with our responsibilities, outlined above. lo delecl material misstatements in respect of Irregularities, Including fraud. The extent lo which our procedures a￿ ¢apable of detecting 1r￿gUI8r1tie$, including fraud is detailed bebw.. We obtained an understanding of the legal and regulatory frameworks within which the Charity and Group operates, focusing on those laws and regulations that have a direct effe¢t on the determination of material amounts and disclosures in the financial statements. The laws and regulations we Considered in this context were the Charities Act 2011, taxation legislation, employment legislation, together with the Charities SORP IFRS 1021. We assessed the required compliance with these laws and regulations as part of our audit piocedures on the related financial slalement items. sn addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance wf(h which might be fundarnenlal to the charity'5 and the group's abilrty to oper*e or to avoid a material penalty. We also considered the opportunities and Incentives that rnay exist wrfthin the charity and the group for fraud. The laws and regulations we considered in this context for the UK operations were The Education Ilndependenl School Stsndardsl Regulations 2014, General Dats Protection Regulation IGDPRI, Health and Safely legislation and Employment legislation Auditing standards limit the required audit procedures lo identify non-¢omplian¢e with Ihesg laws and regulations lo enquiry of the Trustees and other rnanagemenl and inspection of ￿gUlatOry and legal correspondence, if any. We identifi'ed the 9￿atest risk of material impact on the financial slalemenls from irregularities, including fiaud, lo be the override of controls by management. Our audbt procedures lo respond to these risks included enquiries of management and the Audit Committee about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting eslimales for biases. reviewing iegulalory correspondence with the Charity Commission. Independent Schools Inspectorate, Ofsled, and reading minutes of meeting5 of those charged with governance. ling to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misslatemenls in the financial slalements, even though we have properly planned and perforrlled our audit in accordance with auditing standards. For example. the further removed n0n-cornplian￿ with laws and regulations lirregulariliesl is from the events and transactions refie¢led in the financial slalements, the less likely the inherently limilgd procedures required by audrting standards woukl identify f(. In addilK)n, as with any audit. there remainèd a higher risk of non4ete¢tion of irregularities, as these may involve collusion, forgery, snlentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non- compliance and cannot be expected lo delecl non-compliance with all laws and regulations. A further description of our responsibilities for the audit of the financial slalemenls is located on the Finan¢ia1 Reporting Council's website at. www.frc.o .ukJauditorsres onsibilitiès. This description fomis part of our Auditor's report. Page 15 ## **SHREWSBURY SCHOOL** ## **INDEPENDENT AUDITOR'S REPORT TO THE GOVERNORS OF SHREWSBURY SCHOOL (CONTINUED)** ## **Use of our report** This report is made solely to the charity's Governors, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its Governors, as a body, for our audit work, for this report, or for the opinions we have formed. **Crowe U.K. LLP** Statutory Auditor Fourth Floor St James House St James Square Cheltenham GL50 3PR Date: 31 January 2025 Crowe U.K. LLP are eligible to act as auditors in terms of section 1212 of the Companies Act 2006. Page 16 SHREWSBURY SCHOOL CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 JULY 2024 Unrèstricted funds 2024 Restricted Endowment funds funds 2024 2024 Total funds 2024 Total funds 2023 Not9 Income and endowments from: Grants and donation5 Charitsble aclivilies.. School fees Other educational income 905,OSO 905,050 771,140 16 34,808.537 34.808,537 31,658,779 465.952 465,952 446.572 Other ancillary trading income Other trading activities Investments 275.503 2,826,235 15S.471 275,503 2,626,235 197,637 416,719 2,292.022 203,428 54,028 39,594 2,572 other income Total income and endowments 38,331,698 944,644 2.572 39.278,914 35.842,688 Expenditur6 on: Raising funds". Trading aclwilies Fundraising costs Financing costs Charitable 8divrties'. Education and grant making 1,445,184 308,426 711,354 1,445,184 308,426 711,354 1,298,264 380.728 340,679 10 35,176,964 869,817 36,046,781 32.062,252 Total expenditure 37,641,928 869,817 38,511,745 34,081,923 Page 17 SHREWSBURY SCHOOL CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES ICONTINUEDI FOR THE YEAR ENDED 31 JULY 2024 Unrestricted funds 2024 Restrlcted Endowment funds funds 2024 2024 Total fund5 2024 Total funds 2023 Note Net income before net gainslllossesl on invostments 689,770 74,827 2,572 767,169 1,760,765 Net gainslllossesl on investments 493.888 128.211 622,099 1182.6851 Net income before transfers 1,183,658 74,827 130,783 1.389,268 1,578,080 Transfers be￿een funds Net movement in funds before other re¢ognised losses Actuarial losses on defined benefit pension 5cherne5 Net movement in funds 22 64.339 {64,3391 1,247,997 10,488 130.783 1.389,268 1,578,080 27 175,0001 175,0001 1143,0001 1,172,997 10,488 130.783 1.314.268 1,435.080 R8¢onclliation of funds- Total funds brought forward Nel movement in funds 45,365,353 1,172,997 707.745 10,488 1,408W8 130,783 47,481,546 1,314.268 46,046,466 1.435,080 Total funds carrled fonNard 46.538.3SO 718,233 1,539,231 48,795.814 47.481,546 The notes on pages 24 to 63 fomi part of these financial slalemenls. Page18 SHREWSBURY SCHOOL CONSOLIDATED BALANCE SHEET AS AT 31 JULY 2024 2024 2023 Notg Fixed assets Tangible assets Investments 14 15 54,100,280 12.463,045 51,735,516 8,596,916 66,663,325 60,332,432 Current assets Stocks Debtors Cash at bank and in hand 16 17 265,887 2,497.916 6.828,988 273.265 2,141,455 7.914.663 9.592.791 10.329.383 Credrtors.. amounts falling due within one year 18 111,585,025) 19.911,2931 Net current liabilities l assets 11.992,2341 418,090 Total assets less current liabilitie$ 64.571,091 60,750,622 Creditors.. amount5 falling due after more than one year 19 115.775,2771 113.268.9761 Net assets excludlng penslon a$$gt Defined benefit pension scheme asset 48,795,814 47,481.646 27 Total net assets 48,795,814 47,481.546 P8ge 19 SHREWSBURY SCHOOL CONSOLIDATED BALANCE SHEET (CONTINUED) AS AT 31 JULY 2024 2024 2023 Noto Charity funds Endowment funds Reslricled fLJnds Unrestricted funds 22 22 1,539,231 718,233 46,538,350 1,408,448 707,745 45,365,353 22 Total funds 48.795,814 47,481,548 The financial statements werè approved and authorised for issue by the Governors and signed on their behalf by d* J.C.D. Pitt. MBA, BS¢ (Co-opted member) Chair R. Boys nes Date.. 30 November 2024 The notes on pages 24 10 63 fomi part of these financial statements. Page 20 SHREWSBURY SCHOOL CHARITY BALANCE SHEET AS AT 31 JULY 2024 2024 2023 Note Flxed assets Tangible assets Investments 14 54,086,192 12,463,045 51.728.382 8,596,916 15 66,549,237 60,325.298 Current assets Stocks Debtors 16 85,475 2,999,347 6.253.645 77,124 3.595.508 6.492.048 17 Cash at bank and in hand 9.338,467 10.164.678 Creditors.. amount5 falling due within one year 18 111.318.1531 19.745.061) Net current liabiliti¢$ l assets 11,979.6861 419,617 Total assets less current liabilitles 64,569,551 60,744,915 Creditors.. amounts faS1ing due afler more than one year 19 115,775,277> 113.268,9761 Net assets excluding pension asset Defined bgnefil pension scheme asset 48,794,274 47,475,939 27 Total net assets 48,794,274 47,475,939 Page 21 SHRE¥VSBURY SCHOOL CHARifY BALANCE SHEET ICONTINUEDI AS AT 31 JULY 2024 2024 2023 Note Charty funds Endowment funds 22 1,539.231 1.408,448 Restricted funds Unrestricted funds 22 22 718,233 45,351.692 707,745 45,359,746 Totsl funds 48,794.274 47,475,939 The Ch8rty's net movement in funtjs for the year was £1,318,33512023- £1,438,554). The financial statements were approved and aulhorised for issue by the Govemors and 8igned on their behalf by.. J.C.D. Pitt, M8A, 8Sc (Co-opted member) Chair R. Boys4 ones Dale." 30 November 2024 The notes on pages 24 10 63 fomi part of these financial statements. Page 22 SHREWSBURY SCHOOL CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 JULY 2024 2024 2023 Cash flows from operatlng actlvltles Nel cash provided by operating activities 23 9,076,181 5,505.993 Cash flows from investing activities Dividends and interest from investments Proceeds from the sale of tangible fixed assets Purchase of tsngible fixed assets Proceeds from sale of investments Purchase of invgslmonls 197,837 203,428 29,199 39.050 15,473,4321 110,$85,034} 4,836,112 1.893 18,099,600} 1617,294} Net cash used in investing activities 8,510,084) {10,957.957} Cash flows from financing activities Cash inflows from new borrowing Repayments of borrowing Interest paid on borrowings 7,000.000 11.271,1311 14S3,801} 14110.0991 1135.3761 Nat cash lusodllprovidod in financing activitigs 11.671.230) 6,410,823 Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year 11,105,133) 958,859 7,939.438 6,980,579 Cash and cash equivalents at the end of the year 24 6,834,305 7.939.438 The notes on pages 24 10 63 form part of these financial slalemenls Page23 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Legal status of the Charity The School is governed in accordance with the Shrewsbury School Statutes approved by the Queen's Most Excellent Majesty in Coun¢il on 12 October 2016. whose registered office and primary place of business is Shrewsbury School, The Schools, Shrewsbury. SY3 7AA. It has no share capital. Ils principal activity is the provision of boarding and day schooling. It is a registered Charity in England and Wales and its Charity regislralion number is 528413. Accounting policles 2.1 Basis of preparation of financlal ststements The financial statements have been prepared in accordance with the Charities SORP IFRS 1021 Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in a¢¢ordan¢e with the Financial Reporting Stsndard applicable in the UK and Republic of Ireland IFRS 1021 leff&¢tive 1 January 20191, the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 and the Charities Act 2Q111. The financial statements have been prepared lo give a 'true and fair. view and have departed from the Charities (Accounts and Reports) Regulations 2008 only lo the extent required lo provide a 'lrue and fairf view. This departure has involved following the Charities SORP IFRS 1021 published in October 2019 rather than the Accounting and Reporting by Charities.. Slalemenl of Recommended Practice effe¢tive from 1 April 2005 which has since been withdrawn. Shrewsbury School meets the definition of a public benefit entity under FRS 102. Assots and liabilities are inrtially recognised at historical cost or transacli)n value unless otherwise st81￿1 in the relevant accounting policy. The Consolidated statement of financi81 activrties ISOFAI and Consolidated balance sheet onsolidale the financial slalements of the Charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis. No separate SOFA ha5 been presented for the Charity alone. The nel resu￿ for the year rekting lo the School amounted lo a surplus of £1,318,33512023- £1,438,554). 2.2 Going concern Having reviewed the funding facilities available lo the School together with the expècted ongoing demand for places and the School's future projected cash flows. the Governors have a reasonable expectation that the School has adequate resoLJr¢e$ to ¢ontinLJe its activities for the foreseeable future and consider that there were no material uneertainties over the School's financial viability. Accordingly, they continue to adopt the going concern basis In preparing the financial stslemenls as outlined in the Slalemenl of Accounting and Reporting Responsibilities on page 12. Page 24 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Accounting policies Icontinuedl 2.3 Critical accounting estimates and areas of judgment In the appli¢ation of the accounting policies, Trustees are required lo make judgement. estimates, and assumptions about the carrying value of assets and liabilf(ies that are not readily apparent froTn other sources. The estimates and underfying assumptions are based on historical experience and other factors that are considered lo be relevant. Actual results may differ from these estimates. The estim*es and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate Is revised rf the revision affects only that period, or in the penod of the revision and future periods if the revision affected current and future periods. Useful economic lives of tangible assets The annual depreciation charges for the tangible assets are sensitive lo changes in the estimate useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary lo reflect Cyr￿nt estimates, based on technological advancement, futu￿ investments, economic ulilisalion and the physiixl condition of the 8ssels. See note 14 for the cairying amount of the tan9ible assets and note 2.8 for the useful lives for each class of asset. Impalrment of dèbtors The group makes an estimate of the recoverable value of trade and other deblor5. When assessing impairrnent of trade and other debtors, management considers factors including the ageing profile Of debtors and historical experience. See note 17 for the nel carrying amount of the debtors. 2.4 Fund accountlng General funds are unrestricted funds which are available for use al the discretion of the Governor5 in furtherance of the general objectives of the Group and whi¢h have not been designated for other purposes. Designated funds comprise unrestricted funds that have been set aside by the Governors for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. Reslrided funds are funds which are to be used in accordance wf(h specrfic restrictions imposed by donors or which have been raised by the Group for particular purposes. Endowment fund5 are donation5 required lo be retained as capital in accordance with the donors, wishes pemianent or expendable according lo the nature of the restrictions. Thg costs of raising and administering such funds are Charged against the specific fund. The aim and use of each restricted and endowment fund is set out in the notes lo the financial statements. Investment income, gains and losses are all¢xated lo the appropriate fund. Page 25 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Accounting poll¢les Icontinuedl 2.5 Income All Incoming resources are included in the Slalemgnt of Financial Activities when the School has entillemenl to the in¢ome. the amount can be qualllified with reasonable accuracy and the econornic benefit to the School is ¢onsidered probable. Fees receivable and charges for services and use of premises are accounted for in the period in which the service is provided. Fees re¢eivable are stsled after deducting allowances. scholarships and other remissions granted by the School. Income from other trading activities comprises revenue recognised by the School's Whol￿ owned subsidiaries in respect of goods and services supplied during the year. exclusive of Value Added Tax and trade discounts. Voluntary income is accounted lor as and when entitlement arise5, the amount can be reliabty quantified and the economic benefit to the School is considered probable. Voluntary income for the School's general purposes is accounted for as unrestricted and is credrted lo the General Reserve. Where through the terms of an appeal or from the donor there is a trust law restriction on the use of any voluntary income. the income is credited lo the relevant reslricled fund or endowment. Gifts in Kind would be valued at estimated open market value al the dale of the gift, in the case of assets for retention or consumption or al the value to the School in the case of donated services of facili11es. Investment income from dividends, bank balances and fixed interest securities is accounted for on an 8¢cruals basis. Other income is recognised in the period in which it is ￿Ceivable and lo the extent the goods have been provided or on Completion of the service. Page 26 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Ac¢ounting policies lcontinuedl 2.6 Expendtture Charitable activities and Governance costs are costs incurred on the Gharilrfs operations. including support costs and costs relating to the governance of the charity apportioned lo charitable aclivilies. Expendrture is accrued as soon as a liabilty is considered probable discounted to present value for longer lerrn Iiabililies and has been included under expense ¢ategorie5 that aggregate all Costs for allocation to activities. Where costs cannot be directly attributed to particular activities they have been allocated on a basis consistent with the use of the resources. Liabilities are recognised where there is a legal or conslruclive obligation committing the enlilies lo the expenditure. Fundraising costs are those Incurred in seeking voluntary contiibulions in relation lo Shrewsbury School Foundation, a connected charity (Charity number 5284151. Provided that, and so long as, Shrewsbury School Foundation exercises and continues to exercise ils charf(able objects in fUrtherall￿ of the objects Ilhe 'Shrewsbury SchoDI Charitable Objects.) set out in the Foundation Trust Deed, the School shall pay the employment. administrative and other costs and expenses of the Foundation in furthering Shrewsbury School's Charitable Objects. Support cost5 are those costs that, whi151 necessary lo deliver an aclivily, do not themselves produce or constitute the oulpul of the charitable activty. Included in support Costs of the S¢hool are bursary costs, payroll adminislralion, bud9eling and accounting, information technology, human resources and finance. School trip expenditure is included under support Costs. Expendi(ure is recognised once there 15 a legal or constructive obli9alion lo transfer economic benefit to a third party, il is probable that a transfer of economic benefits will be reqUI￿d 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 lolal of direct costs and shared costs, including support costs invohjed in undertaking each aclivily. Direct costs attributable lo a single activity are allocated directly to that activity. Shared costs which contribute lo more than one activity and support costs which are not attributable lo a single activity are apportioned between those activities on a basis consislenl with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charge5 allocated on the portion of the asset's use. Expenditure on raising funds includes all expenditure incurred by the Group lo raise funds for its charitable purposes and indudes costs of all fundraising activi(ies events and non-charilable trading. Expendf(ure on charitable activf(ies is incurred on directly Ljndertaking the activities which further the Group's objectives, as well as any associated support Costs. Governance costs comprise the costs of runnin9 the charity including strategic planning for its future development. also intemal and exiemal audit. any legal advice for the Governors and all costs of complying with constitutional and ststutory requirements such as the costs of Board and Committee meetings and of preparing slalutory ac¢ounls and satisfying public accountability. 2.7 Government grants Government grants are credited lo thè Consolidated statement of financial activities as the related expenditure is incurred. Page 27 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Accounting policies l¢ontinuedl 2.8 Tanglble fix&d assets and d&preclatlon Computer equipment costing more than £300 is capilalised and carried in the Balance Sheet at historical cost. Major refurbishment expenditure. equipment, boats and vehicles costing more than £1.000 are capilalised and carried in the B8lanee Sheet al historical cost. Tangible fixed assets are carried al cost, nel of depreciation and any provision for impairment. Depreaation is provided at rates calculated to write off the cost of fixed assets, less their eslimaled residual value, over their expected useful lives on the following bases.. Freehold propety Furniture. fixtures and frttings and equipment Boats GTound machines and vehicles 10-50 years 3-10 years 10 years 4-10 years Depreciation is not charged on freehold land or assets under the course of conslruclion. Leasehold property Is depreciated over the lemi of the lease. Depreciation is calculated on a monthly basis. The School owns a number of cultural and historic artefacls whrh a￿ considered to be herrt8ge assets. During the year ended 31 July 2023 a formal valuation of these assets was undertsken by Sotheby's who valued the assots on both an insurance basis and an auction basis. The valuations provided ranged between £6.050M and £12.214M. Given the highly specialist nature of the items and the resuking broad valuation range, the Govemors have concluded that there is insufficient information to recognise them wf(h material accuracy and therefore no value has been attributed to them in the Balance Sheet and no depreciation charged, on the basis that reliable information is not availab￿, as pemitted by the Charity SORP. 2.9 Investments Investments are slated at market value at the Balance Sheet date. The Consolidated statement of financial activities includes the net gains and losses arising on rev81ualions and disposals throughout the year. Investments in subsidiaries are valued at C05t tess provision for impaimient. 2.10 Operating leases Rentals paid under operating lease5 are charged to the Consolidated stslemenl of financial a¢livilies on a straight line basis over the lease term. Benefit5 received and receivable as an incentive lo sign an operating lease are recognised on a slraighl line basis over the lease term, unless another syslemab'c basis is represenlalivè of the time pattem of the kssee's benefit from the use of the leased asset. Page 28 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Accounting policies Icontinuedl 2.11 Stocks Stocks are valued at the lower of cost and nel realisable value after making due allowance for obsolete and slow-moving stocks. 2.12 Debtors Short term debtors are measured al transaction price. less any impaimenl. Loans receivable are measured Initially al fair value, nel of transaction costs, and are measured subsequently al amortised costs using the effective interest method, less any Impaimienl. 2.13 Creditors Short temi credf(ors are measured al the transaction price. Other financial liabilf(ies, including bank loans, are measured inilially at fair value. net of transaction costs. and are measured subsequently at arllortised cost using the effective inlergst method. 2.14 Fees in advance Parents may. subject to Contractual terms and conditions. pay lo the School tuition fees in advance. The money may be rèturned, subject to specific conditions. Investments are held lo cover the next two years capital liabilitie5. 2.15 Financial Instruments Basic financial instruments are initially recognised al transaction value and subsequently measured at amortised ¢ost with the exception of investments which are held at fair value. Financial assets held at amortised cost comprise ¢ash at bank and in hand, together with trade and other debtors. A specific provision 15 made for debts lor which recoverability is in doubl. Cash at b8nk and in hand is defined as all cash held In instant access bank accounts and used as working capital. Financial liabilities held at amortised ¢osl Comprise all creditors except social security and other taxes and provisions. Assets and liabilities held in foreign currency are translated to GBP at the Balance Sheet date al an appropriate year end exchange rate. 2.16 Con¢gssionary Loans The loans from Shrewsbury School Foundation and Shropshire Council (see note 191 are considered lo meet the criteria of COn￿SsiOnary loans under FRS 102. They have been recorded In the financial stslemenls al face value. Page 29 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Accounting policies Icontinuedl 2.17 Pensions The School operates a defined contribution pension scheme for non-leaching staff Ishrewsbury School 120011 Retiremen15 Benefits Schernel. This scheme g1ves exemption from the requirernent lo offer a slakehotder pension scheme. During the year the total contributions were £321,53712023- £378.9721. The School also contributes to a personal pension scheme for the benefit of certain Packwood Haugh Schcx)l employee5. The scheme is a defined contribution scheme administered by Scottish Vvidows. During the year the total contributions were £46,33812023 - £45,783). On 1 September 2021. Shrewsbury School and Packwood Haugh School, gave notice lo the Teachers. Pension Scheme, that they would be implementing the'phased wilhdraW' regulations. New leaching staff at both Schools would be enrolled into defined contribution pension schemes, at gach School Ishrewsbury School 2021 DC Pènsion Scheme and Shrewsbury School - Packwood Haugh 2021 DC pension Schemel. The Schemes are administered by Legal & Genèral. During the year the total contributions were £551,20212023 £326,829) The School contributes lo a defined benefit pension scheme (final salary scheme) for the academic staff. which is a national scheme operated for the Department for Education and Skills, which requires contributions lo be made to a separately administered fund. The lolal piemiums paid during the year were £1,597,80712023- £1,510,487). In addilk)n, the School operates a defined benefit pension scheme for non teaching staff Ishrewsbury S¢hool119711 Pension and Life Assurance Scheme), which is closed lo new members. The basis of contributions lo the Scheme is calculated according lo the advice of the Scheme actuary. During the year the lolal contributions were £13,47412023 £12,988). Page 30 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Income from grant$ and donations Restricted funds 2024 Total funds 2024 Total funds 2023 Donations 905,050 905.050 771,140 Total 2024 905.050 90S.OSQ 771,140 Total 2023 771.140 771.140 Charitable activities - School fees receivable 2024 2023 The School's fae income comprised: Gross fees Le55'. Total bursaries, scholarships and allowances 39,239,231 35,893,894 {5.210,6621 14,911,162) 34,028.569 30,982,732 Add back bursaries. scholarships and allowances paid for by Reslricled Funds 779,968 676,047 34,808.537 31,658,779 Scholarships. bursaries and other awards were paid to 468 pupils {2023 - 4781. Within this means tested bursaries tolalling £3,779,127 paid to 254 PLJpils 12023 - £3,451,393 to 248 PLJpilsl. Page 31 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Charitable activities - Other income 2024 2023 Other educational charitable income Entrance and registration fees Courses and sub-lettings Royalties received 120.222 278,118 69,612 160,576 219,492 66.504 465,952 446,572 2024 2023 Other ancillary activities Commissions recewed School trips Late payment surcharges 1,334 273,769 400 5.221 411,298 200 275,503 416,719 Other trading activitles 2024 2023 Trading activities SSEL Trading activities SSTCL 1,282,334 1,343.901 1,209,820 1.082,202 2.626,235 2.292.022 Page 32 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Other trading activitie$ Icontinuedl Shrewsbury School Enterprises Limited (SSELI The Charity owns the whole of the £1 ordinary share capital of Shrewsbury School Enterprises Limited (Company registration number 45355851, incorporated in England. The Company's principal activity is the prowgion of consulting services lo International Schools. Ils trading results for the period. as extracted from the audited accounts, are summarised below.. 2024 2023 Turnover Administration 1,282,322 (354,4931 1.209.809 1388,1571 Operating profit 927,829 821,6S2 Interest payable Interest receivable 18,6091 12 16,6981 11 Profft for the year 919.232 814,965 Gift paymgnl 919,4941 1818,367} Retained loss 2621 13,4021 Shrewsbury S¢hool Enterprises Limited approved a grft aid donation of £919,494 12023 £818,367) to Shrewsbury School during the year. The ng1 assets of Shrewsbury Scfiool Enterprises Limited a131 July 2024 amounted to £379 12023 £6411. At the year end Shrewsbury School Enlerpnses Limited owed Shrewsbury School £1,044.638 12023 £1,455,794). Of which £137,63512023 - £137,635) is an unsecured loan. repayable with one yeafs notice and interest charges at 10A above Lloyds Bank PIC base rate. The management charge from the School lo Shrewsbury Enlerpri8es Limited was £279.332 12023 £269,367>. In addition there is a licence fee of £10,00012023 £10,000). Page 33 SHREWS8URY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Other trading activities lcontinuodl Shrewsbury School Trading Company Limrted ISSTCLI The Charty owns the whole of the £100 ordinary share capital of Shrewsbury School Trading Company Limited (Company registration number 55800191. incorporated in England. The principal activity of the Company was the operation of the School shop and other recreational activities. Its trading results for the period. as extr8¢ted from the audited accounts, are summarised below.. 2024 2023 Turnover Cost of sales 1,343.679 1681.5491 1,081.902 1614,5551 Gross profit 662,130 467,347 Administration 1401,032) 1288.8541 Operating profrt 261.098 178,493 Interest receivable 222 300 Profrt for the year 261,320 178,793 Taxation 499 Profit after tax 261,819 178,793 Gift aid payment 1265,6241 1178.8651 Retained loss 13,8051 172} Shrewsbury School Trading Cornpany Limf(ed approved a gift aid donation of £265,624 12023 £178,86511o Shrewsbury School during the year. The net assets of Shrewsbury School Trading Company Limfted al 31 July 2024 amounted lo £1,161 12023- £4,966) Al the year end Shrewsbury School Trading Company Limrted owed Shrewsbury School £410,58012023 - £834,609). The management charge from the School to Shrewsbury School Trading Company Limited was £156,96012023- £139,342). Page 34 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Investment income Unrostricted funds 2024 Restricted Endowment fund$ funds 2024 2024 Total funds 2024 Tot81 lunds 2023 Interest Income from listed investments 9,756 145,715 9,756 187,881 7,912 195.516 39,594 2.572 Total 2024 155.471 39,594 2,572 197.637 203,428 Total 2023 163.672 37,949 1.807 203,428 Other incoming resources Unrestricted funds 2024 Total funds 2024 Total funds 2023 Other income 54.028 Total 2024 54,028 Total 2023 54,028 54,028 Page 35 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Expenditure on raising funds Trading costs of the subsidiaries Unrestrictsd funds 2024 Total funds 2024 Total funds 2023 Other costs Staff costs Depreciation 664,791 772,658 7,735 664,791 772,658 7,735 767,309 526,560 4,395 Total 2024 1,445,184 1.445,184 1,298,264 Total 2023 1,298,264 1,298,264 Fundraising for voluntary resource$ Unrestrlcted funds 2024 Total funds 2024 Tot81 funds 2023 Other costs Staff costs 110,337 198.089 110,337 198,089 186,221 194,507 Total 2024 308,426 308.428 380,728 Total 2023 380,728 380.728 Page 36 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 10. Financing costs Unrestricted funds 2024 Total funds 2024 Total funds 2023 Fees in advance financing cost Bad debts and debt collection Bank and investment manager charges Loan interest Pension scheme financing cost 116,305 215,685 27,265 400,099 148,000) 116.305 215,685 27.265 400,099 148,0001 111,933 30,783 69,587 135,376 17,0001 Total 2024 711,354 711.354 340.679 Total 2023 340.679 340.679 11. Analysis of expenditurg on charitable activities Summary by fund type Unrestrlcted funds 2024 Restricted funds 2024 Total 2024 Total 2023 Teaching Wella Premises Support and governance Grants, awards and prr£es 15,047,006 6,200,387 8,924,274 5,005,297 15,047,006 14.309,958 6,200,387 5,095.018 8.924,274 7,575,360 5.005.297 4,365.271 869.817 716.645 869,817 Total 2024 35.176,964 869,817 36,046,781 32.062,252 Total 2023 31,345,607 716,645 32,062,252 Page 37 SHREVISBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 11. Analysis of expenditure on charitable activities (continugdl Summary by expenditure typo Staff costs Depreciation Other costs 2024 2024 2024 Total 2024 Total 2023 Teaching Welfare Premises Support and govemancg Grants, awards and pryzes 13,145,693 1,314.525 2,673.490 2,747,797 1,901,313 15.047.006 14,309,958 4,885,8e2 6.200.387 S,095,018 3,152,770 8.924,274 7,575,360 2,257,500 5,005,297 4,365,271 869,817 869.817 716,645 3,098,014 Total 2024 19.881.505 3.098,014 13,067,262 36,046,781 32,062,252 Total 2023 18,372,049 2,577,094 11,113,109 32,062,252 Grants, awards and prlzes 2024 2023 From ra$tri¢ted funds.. Bursaries and scholarships Prizes and 8wards 779,968 89,849 676,047 40,598 869,817 716.645 Govemance included in support costs: 2024 2023 Remuneration paid lo auditor for audit services Remuneration paid lo auditor for non- audit servic8S Other govemance costs 55,800 29,940 172,871 52,260 21,150 52,207 2S8.811 125,617 Page 38 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 12. Governors. remuneration and expenses During the year, no Govemors received any remuneration or other benefits12023- £NILI. During the year ended 31 July 2024. expenses lotslling £1.063 were reimbursed or paid directty lo 4 Governors12023 - £1.924, 91. The expenses related to travel and accommodation. 13. Staff costs Group 2024 G￿up 2023 Charity 2024 Charity 2023 Wage$ and salaries Social securrty costs Other pension costs (Note 271 16,682,018 15,244,407 15,989,865 14,793.221 1,696.366 1,596,620 1,646,909 1,549,276 2,514,858 2,277,121 2,483,810 2,249,091 20,893,242 19.118.148 20,120,584 18,591,588 140.990} 125.0321 140,9901 125.0321 Capitalised18bour 20.852,252 19,093,118 20.079.594 18,$66,SS6 During Ihg year there were redundancy or lemination payments recogniged which amounted lo £161,784 12023- £Nill. There was £131,78412023 - £Nill Dutslanding al year end. The average number of persons employed by the Charity during the year was as folbws.. Group 2024 No. Group 2023 No. Teaching Welfare Pfftmises Support Other activf(ies 247 63 124 71 14 12S 78 13 528 519 Page 39 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 13. Staff costs Icontinuedl The number of employees whose employee benefrts lexcluding employer pension costs) exceeded £60.000 was.. Group 2024 No. Gmup 2023 No. In tho band £60,001- £70,000 In the band £70,001- £80,000 In the band £80,001 - £90.000 In the band £90.001 - £100.000 In the band £100.001 £110,oocI In the band £110,001- £120,000 In the band £120,001- £130,000 In the band £140,001- £150,000 In the band £150,001- £160,000 In the band £230,001 - £240,000 In the band £250.001 - £260,OQO 32 14 19 Aggregate employee benefits of key management personnel 1.723.121 1,692,973 Kgy rnanagemenl includes the Leadership team. Page 40 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 14. Tangible fixed assets Group Furnlture, Fixtures and rittings Ground Machines Assets in course of construction Freehold Land & Buildings Boats Vehicles Total Cost or valuation Al 1 August 2023 Additions Disposals Transfers be￿een lasses 9.201,073 61.810,826 12,448.362 1,178.484 1,277,919 85,916,664 3,651.425 1,492.601 111.296 218,110 5,473,432 111.4711 111.4711 {7.863,2631 7,633,233 230,030 At 31 July 2024 4,989.235 69,444,059 14,170,993 1,289,780 1,484.S58 91,378.625 Depreciation Al 1 August 2023 Charge for the year On disposals 22,847,693 9,766,024 2,036,782 830,650 873,331 67,817 694,100 34,181,148 170,500 3.106,749 {8,5521 18,5521 At 31 July 2024 24,884,475 10,596,874 941,148 856.048 37.278,346 Net book value Al 31 Juty 2024 4,989,235 44,5S9,584 3,574,319 348,632 628,510 54,100,280 At 31 July 2023 9,201.073 38.963,133 2,682,338 305,153 583,819 51.735,516 Page 41 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 14. Tangible fixed a$sets Iconlinuedl Charty Assets in course of construction Freehold Furniture. Land & Fixtures & Buildings fittings Ground Machines Boats & Vehicles Total Cost or valuation Al 1 August 2023 Additions Disposals Transfers be￿een classes 9,201,073 61,810,826 12.426,866 1,178,484 1,277,919 85,895.168 3,651,425 1.477,912 111,296 218,110 5,458.743 111,471} 111,4711 17,863,263) 7,633,233 230,030 At 31 July 2024 4,989,235 89.444,059 14,134,808 1,289,780 1.484.558 91,342,440 Depreciation At 1 August 2023 Charge for the year On disposals 22,847.693 9.751.662 2,036,782 822,915 873,331 67.817 694,100 34,166.786 170,500 3,098,014 18,5521 18,5521 At 31 July 2024 24,884,475 10,574,577 941,148 856,048 37.256,248 Net book value At 31 Juty 2024 4,989,235 44,559,584 3.560.231 348,632 628.510 54,086,192 Al 31 July 2023 9,201,073 38,963,133 2,67S,204 305.153 583,819 51.728,382 Page 42 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 15. Fixed asset investments Designat8d Fund Endowed Fund$ Fees In Advance Total Group and Charity Cosl or valuation Al 1 August 2Q23 Additions Disposals Nel investment gains Movements in cash deposits 3,794,687 819,329 1,384,616 2,728 3,417,613 8,596,916 7,277,S43 8,099,600 14,771,753) 14,771,753} 60,529 557,740 1,571 119,4581 368.903 20.9191 128,308 11101 At 31 ju￿ 2Q24 4,962,000 1,515,542 S.985,503 12.463.045 Net book value Al 31 July 2024 4.962,000 1.516.542 5.985.503 12,463,045 At 31 July 2023 3,794,687 1,384,618 3.417,613 8,596.916 Investments are primarity held lo promde an investment return to the School. Investments at market value comprise: 2024 2023 Actively managed securrfcies Cash managed funds Quoted stocks Cash 3.417.613 5.983.933 6.473,79S 5,317 5,154,528 24,775 12,463,045 8,596,916 Page 43 SHRE¥VSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Fixed asset investments Icontlnuedl Material investments The following investments are held which represent more than 5QA of the lolal market value of investments held.. 2024 2023 Link Fund Solutions Ruffer Total Return Link Fund Solutions Trojan Inc ICS- Sterling Liquidty Fund Fidelity Sleiling Fund Sarasin Endowments Fund Class A Inc 1,615,071 1,804,291 4.566.651 1.417,282 6,473,795 5,154,527 16. Stocks Group 2024 Group 2023 Charity 2024 Charity 2023 Goods for resale and consurnables 265,887 273,265 8S.475 77,124 17. Debtors Group 2024 Group 2023 Charity 2024 Charity 2023 Due within one year School fees Amounts owed by group undertakings Other debtors Prepayments and Sccrued income Deferred tsxalion 75S,424 680.091 755.424 1,455,218 237,732 550,973 680,091 2,290,403 236,935 388,079 1,104.706 637,287 499 1,071.627 389.737 2.497,916 2,141,455 2,999,347 3,595.508 An impairment gain of £211.19612023- £88,6031 was recogni$ed against the Sehool fee debtors. Included within amounts due from group undertakings is a loan lo Shrewsbury School Enterprises Limi(ed of £137.63512023 - £137.6351. The is unsecured and repayable wf(h one yearfs notice and is charged al 1.kn above Lloyds Bank PIC base rate. Pagg 44 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 18. Creditors: Amount$ falling due viithin one year Group 2024 Grtiup 2023 Charity 2024 Charity 2023 Tr8de creditors Other taxation and social securty Fee deposits Fees in advance Isee note 201 Other creditors Accruals and deferred income Other loan Terrn loan 1 Term loan 2 Tem loan 3 1,205,204 446,849 1,223,405 4,481,2SO 868,928 2,OS2.129 65,000 418,031 424,229 400,000 1,826,440 420,260 983,902 2,211.759 1,805.206 1.392,597 65.000 402,906 403,223 400,000 1.196.793 402,304 1,223,405 4.481.250 85S,481 1,851,660 65,000 418,031 424,229 400,000 1.823,479 395,496 983,902 2,211,759 1,791,848 1,267,448 65,000 402,906 403,223 400.000 11,585,025 9,911.293 11.318.153 9,745,061 Within other creditors is £286,75012023 - £290,300) payable in respect of pension contributions. 19. Creditors: Amounts falling due after more than one year Group 2024 Group 2023 Charity 2024 Charity 2023 Lo8n from Shrewsbury School Foundation Fees deposits Fees in advance (see note 201 Other loan Term loan 1 Term loan 2 1,296,046 3,200,213 5,149,613 433,334 323.524 4,172.547 1,200,000 1,296,046 3.060,1 S2 1.476,111 498,334 741,556 4,596,777 1,600,000 1.296,046 3,200.213 5,149.613 433.334 323,524 4,172,547 1,200,000 1,296,046 3.060.152 1.476,111 498,334 741,556 4,596,777 1,600,000 Term loan 3 15,775,277 13,268,976 15.775,277 13.268,976 The loan from Shrewsbury School Foundation is unsecured, interest free and has no fixed payment temis. The loan is considered a contsssionary loan. Page 45 SHREWS8URY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Creditors: Amounts falling due after more than one year Icontinuedl Other loan The other k)an ha8 been provided by Shropshire Council. The loan is repayable by April 2032 paid by monthly inslalmenls. The loan is interest free and is secured c)n the following properties.. Mosers Hall. The New House, 6 Ashton Road, 13 and 15 Ashton Road. This loan is considered lo be a concessionary loan. The other loan falls due as follows.. 2024 2023 Be￿een 1-2 years Between 2-5 years Over 5 year$ 65,000 195,000 173,334 65,000 195,000 238,334 433,334 488,334 Term loan 1 The loan from Handelsbanken is unsecured. The loan is repayable by April 2026 in 24 quarterly instalments. The Inte￿$1 rale is fixed al 3.630/0. The lerm108n falls due as follows.. 2024 2023 Beiween 1-2 years Be￿on 2-5 year$ 323.524 418,031 323.525 323.524 741.556 Page 46 SHREWS8URY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Creditors: Amounts falling due after more than ong year {continuedl Temi loan 2 The loan from Lloyds bank is secured over the freehold land and buildings al the Tudors, Tudor House, including Emma Darwin Hall. The loan is repayable by July 2033 in 40 quartedy inslalmenls. The interest rate is fixed al 4.5280A. The tem loan falls due as follows.. 2024 2023 Be￿eeft 1-2 years Between 2-5 years Over 5 years 443,713 1,455,440 2,273,394 424,230 1,391,910 2,780,637 4.172.547 4,596,777 Temi loaft 3 The loan from Handelsbanken is unsecured. The loan is repayable by June 2028 in 20 quarterly instalments. The interest rale is fixed at 6.070A. The term loan falls due 8s follows.. 2024 2023 Be￿een 1-2 years Be￿een 2-5 years 400,000 800,000 400,000 1,200,000 1.200.000 1,600,000 Page 47 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 20. Fees in advance Parents may, subject lo contractual terms and condf(ions, pay to the School tuition fees in advance. The money may be relumed, subject to specific wnditions but, assuming the relevant pupils remain in the School, advance fees will be applied as follows.. 2024 2023 wr(hin 1-2 years Within 2-5 years Over 5 years 2,577,090 2,079,S64 492,959 794,005 523,758 158.348 5,149.613 1.476.111 Within 1 year 4.481,250 2,211,759 9,630,863 3,687,870 The balance represents the acerued liability under the contracts. The movement during the year was.. 2024 2023 Balance a11 Augu312023 New contracts Amounts accrued to contracts 3,687,870 8.800,831 116,271 3,921,988 3,322,232 111,896 12,604,972 7,3S6,116 Amounts ulilised in payment of fees lo the School 2,974,109) 13.668,2461 Balance al 31 ju￿ 2024 9,630,863 3,687,870 Page 48 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 21. Analysis of net assets between funds Analysis of net assets between fLrnds - current period Unrestricted funds 2024 Rostricted Endowment funds funds 2024 2024 Total fund$ 2024 Tangible fixed assets Fixed asset investments Current assets Creditors due wthin one year Creditors due in more than one year 54,100,280 10,947,503 8.850,869 {11,585.025} 115,775,277) 54.100,280 1,515.542 12.463.045 23,889 9,592,791 111,585,025) 115,775,277) 718.233 Total 46.538,350 718,233 1.539,231 48,795,814 Anatysis of net assets between funds - prior period Unrgstricted funds 2023 Restricted Endowment funds funds 2023 2023 Tolal funds 2023 Tangible fixed assets Fixed asset investments Current assets Credrtors due within one year Creditors due in more than one year 61,735,516 7,212,300 9,597,806 {9,911,2931 113.268,9761 51,735,516 1.384.616 8.596,916 23,832 10,329.383 19,911,293) 113,268,976) 707,745 Total 45,365,353 707,745 1,408,448 47,481.S48 Page 49 SHREWS8URY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 22. Statemgnt of funds Statement of fund$ - current year Balance at 1 August 2023 Transfers inlloul} Gainsl Balance at (Losses) 31 July 2024 Income Expenditure Unrestrlcted funds Designated funds Designated funds 3.774.113 125,742 671,470 368,903 4,940.228 Unrestricted funds General funds Subsidiary trading 41,585.633 35.579.721 135.011.6261 1607.1311 49.985 41,596,582 5.607 2.626,235 12,630,302) 41.591.240 38,205,956 137,641,928) 1607,131 49,985 41,598,122 Totsl Unre5tricled funds 45,365.353 38.331.698 137,641,928) 64,339 418,888 46,538,350 Endowment fund5 Capital Re-endowment fund Henlschrew Prize Fund 1,285,921 130,1231 120,389 1,376.187 122,027 2,572 30.123 7.822 162.544 500 1,408,448 2,572 128.211 1.539,231 Page 50 SHRE¥VSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 22. Statement of funds {continuedl Balance at 1 Augtsst 2023 Transfers inlloutl Gainsl Balance at (Losses) 31 July 2024 Income Expenditure Restricted funds Shfewsbury School Foundation 20,256 855,469 1807,4921 161.5971 6,636 Guyer Famity Prize Hentschrew Prize Darwin Scholarship Hargreaves Legacy Salopian Club Duffell Prize Fund Consolidated Fund.. Unapproprialed income Art Fund Sabrina Club Extemal Bursaries 180 80 1301 190 80 7.212 7,212 500 31,843 129.1011 {2,7421 4,940 672,577 2,000 39,594 {15,4961 696.675 2,000 13,783 {13,7831 3.915 3,9151 707,745 944,644 1869.8171 164,3391 718,233 Total of funds 47,481,546 39,278,914 138.511.7451 547,099 48,795,814 Page $1 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 22. Statement of funds Icontinuedl ststement of funds - prior year Balan￿ al l August 2022 Transfe in/(out) Gain Balance al (Losses) 31 July 2023 Income Expendilu Unrestricted funds Designated funds Designated funds 3.245,393 97,561 516,245 185,0861 3,774.113 Unrestricted funds Gener81 funds Subsidiary trading 40,570,428 32.642.209 {31,069,782I 1348,7041 1208,518} 41,585,633 9,081 2.292,022 12,295.4961 5.607 40,S79.509 34,934,231 133.385.2781 1348.7041 1208,5181 41,591,240 Total Unre$tri¢ted funds 43,824,902 35,031,792 133,365,278) 167,541 293,6041 45.365,353 Endowment funds Capital Re-endowment fund 1.285,921 1.285,921 152.301 1.807 132,0811 122,027 Hentschrew Prize Fund soo 500 1,438.722 1.807 132,0811 1.408,448 Page 52 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 22. Statement of funds Icontinuedl Balance al 1 Augusl 2022 Transfers Gain 8818nce 8t inl(out) (Losses) 31 July 2023 Income Expenditure Restrlcted funds Shrewsbury School Foundation Guyer Family Prize Henlschrew PrEe Darwin Scholarship Har9reaves Legacy Salopian Club Duffell Prize Fund ConsolKJated Fund". Unapproprialed income 33,245 180 80 724,216 40 1662,0061 1401 75,1991 20,256 180 80 7,212 7.212 soo 500 27.310 127,3101 4.940 4,940 649,396 2,000 37,949 114,7681 672.577 2.000 Art Fund Sabrina Club External Bursaries Packwood - Redevelopment of Science Facilits'es 7,053 12,521 17,0531 112,5211 85,289 185,2891 782,842 809,089 1716,6451 1167,5411 707.745 Total of funds 46,046,466 35,842,688 134.081,9231 325,6851 47,481.546 Page 53 SHREWS8URY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Statsment of funds Icontinuod) Designated Fund A fund established by the Govemors lo assist fLrture pupi18 with bursarial support 1¢ attend the School. Re-endowmenl Fund A fund established in 1924 to contribute lo the upkeep of the estsle and lo the support of pupils al Shrewsbury School who are in financial need. Shrewsbury School Foundation registered charity supporting a range of educational objectives Ihiough finaneial contributions lo Shrewsbury School and ils pupils. Donations received lolalled £855,469 12023 £724,216) of which £793,872 12023 £649,017) was given lo support bursaries awarded to pupils and £61.597 12023 £75,199) for capital projects. Guyer Fami￿ Prize An annual prvze for an oulslanding eonlribulion lo the music department. Henlschrew Prize An annual prrLe to the boy in the School House who contributes most lo the well running of the house, in a social rather than academic or sporting context. Darwin Scho18rship A scholarship awarded lo pupils attending the School from Hong Kong who are judged outstanding academically, in the arts, music or sport. Hargreaves Legacy A legacy left by an old boy, to be used for educational purposes. Salopian Club Fund The donations received from the Salopian Club lo assist with costs relating to staff and the Saloptan magazine. Duffell Prize Fund A donation received lo fund a prize to a pupil who excels in design and technology. Consolidated Fund A wnsolidation of 70 small funds the income from which, is used lo provide prizes, scholarships and bursaries to pupils at Shrewsbury School. Art Fund A donation ￿¢eNed lo support the Art Department. Sabrina Club A donation received to assist wrf(h the purchase of a boat. Extemal Bursaries Donations received assist pupils who would not otherwise be able lo attend Shrewsbury School. Packwood - Redevelopment of Science Facilities Donations receThied lo assist wf(h the redevelopment costs of the science facilities al Pacthood Haugh School. Page 54 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Statement of funds (continued} Transfers beNveen funds The transfer between reslricled and general funds of £64,33912023 £167,541) represents capital items purchased frcim restricted funds Icapilal Items purchased are in accordance with the donors wishes). The transfer be￿een general and designated funds of £671,470 12023 £516,245} represents the transfer approved to the designated fund by the Trustees during the year. 23. Reconciliation of net movèmént in fund$ to net cash flow from operating activities Group 2024 Group 2023 Nel income for the period las per Statement of Financial Activities) 1,389.268 1.578,080 Adjustments for: Depreciation charges (Gainslllosses on investments Dividends and interest from investments Profil on the sale of fixed assets DeC￿3$e in stocks Incmse in debtors Increase in creditors Pension scheme movement Interest paid on borrowings 3,105,749 2,$81,489 1622,0991 182,685 1197,6371 1203,4281 126,2801 121.7261 7,378 2,378 1356.461 1163,2821 5.451.164 1,557,421 175,0001 1143,0001 400.099 135,376 Net cash provided by operating activities 9,076.181 5,505,993 24. Analysis of cash and cash equivalents Group 2024 Group 2023 Cash at bank Cash held in investments 6.828,988 5,317 7,914,663 24.775 Total cash and cash equivalents 6.834,305 7,939,438 Page 55 SHREWS8URY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 25. Analysis of changes in net debt Other non- cash At 31 July changes 2024 At 1 August 2023 Cash flows Cash at bank Debt due within 1 year Debt due after 1 year 7,914,863 11,085,675) 11,271,129) 1,271,131 18,732.7131 6.828.988 1,307.2621 11,307,260) 1,307,262 17.425,4511 12,089,179) 185.456 11,903,723) Capital commltments At 31 Juty 2024 the group and charity had capital commitments as foll¢)WS'. 2024 2023 Contracted for but not provided in these financial statements 1,286.773 4,666.929 Page 56 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 27. Pension commitments Teachers. Pension Scheme The School participates in the Teachers. Pension Scheme l.the TPS'I for its teaching staff who joined pre September 2021. The pension charge for the year includes contributions payable to the TPS of £1,597,80712023 - £1,510,487) and al the year*nd £210,53312023 £186,4081 was accrued in respect of contributions lo this scheme. The TPS is an unfunded muf(i-employer defined benefits pension scheme governed by The Teachers, Pensions Regulations 2010 las smendedl and The Teachers, Pension Scheme Regulations 2014 las arnendedl. Members contribute on a 'pay as you go. basis with contributions from mernbers and the employer being credrted lo the Exchequer. Retiremenl and other pension benefits are paid by public funds provided by Parfiament. The employer contribution rale is sel by the Secretary of Slate following scheme valuations undertaken by the Govemmenl Actuary's Departrnenl. The most recent actuarial valuation of the TPS was prepared as * 31 March 2020 and the Valuation Report was published in October 2023. Follouing the M¢Cloud judgement, the remedy proposed that when benefrts become payable, eligible members can select to receive them from either the refom)ed or legacy schemes for the period 1 April 2015 to 31 March 2022. The actuaries h8ve assumed that members are likely to choose the option that provides them with the greater benefits, and in preparing the 2020 valuation h8S Valued Ihe'grealer value, bgnelils for groups of relevant members. The employer contribution rale for Ihg TPS is 28.60h, and employers are also required lo pay a scheme administration le￿ of 0.08Vo giving a total employer contribution rale of 28.680A. Shrewsbury School119711 Pension and Life Assurance Scheme The School has a defined benefit pension scheme for certain support staff Ishrewsbury School 119711 Pension and Life Assurance Scheme) and its assets are inveslod in pooled, bond and guitt funds with Legal & General Investment Managers. The scheme has been closed to new members since 2001. The amounts in the financial ststemenls for the year ended 31 July 2024, rel*ing to pensions, are based on a full actuarial valuation dated 31 May 2022. The valuation, as of 31 May 2022, revealed a funding deficit of £759,000. Subsequent to the valuation dale. there was a significant improvement in the Scheme's funding position and the Trustees of the Scheme and the School, agreed and implemented a de-risking investment strategy, holding 100Q/o of matching assets In order to protect the funding surplus and redu￿ any funding volatility. As a result of this strategy, the Scheme is now in surplus, and the statutory funding objective has been met. This post valuaion experience has reSu￿ed in the following.. The school paid contributions of 23.8QA pf pensionable salaries up lo 31 August 2023, and from 1 September 2023, 23.5¥0 of pensionable salaries, lo meet the cost of future accrual for active members of the Scheme, in line with the Schedule of Contributions dated 24 August 2023. In accordance with the Schedule of Contributions dated 24 ALJgust 2023, the School paid additional contributions of £138,000 a year to 31 August 2023. As from 1 September 2023, these add(iional contributions are no longer required as the S¢herne is in surplus. In addition, with the agreement the Trustees of the Pension Scheme and the School. the adminislralion expenses of the Scheme could be borno by the Scheme, up to £100.000 a year, if not the School will continue to meet the administrative expenses of the Scheme. Page 57 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 27. Pension commitments Icontinuedl The Trustees of the Pension Scheme, have a charge over he is following School properties.. 33 Porthill Road, 23 and 23a Ashton Road. Principal actuarial assumptions al the 8alance sheet dale (expressed as weighted averages).. At 31 Juty 2024 At 31 July 2023 Discount rate Future salary increases - pre 2030 Future salary increases - post 2030 Inflation assumption IRPII Pre 2030 Inflation assumption IRPII post 2030 Inflation assumption ICPII pre 2030 Inflation assumption ICPII post 2030 Pre 61411997 (fixed 30hl Post S1411997 IRPI min 30/0, max 50A - Option A membersl- pre 2030 Post 81411997 IRPI min 30/0, max 50A _ Option A membersl- post 2030 Post 61411997 ICPI min 3 %, max _ Option B members) - pre 2030 Post 61411997 ICPI min 30A, max 50A - Option B mernbersl - post 2030 4.95 5.20 2.25 2.95 3.15 2.95 2.25 2.95 3.15 2.95 2.25 2.25 2.95 3.00 3.80 2.95 3.00 3.60 3.55 3.55 3.30 3.55 3.30 3.$5 At 31 July 2024 Years At 31 July 2023 Yea Mortality rates lin yearsl - for a rnale aged 65 now - at 65 for a male aged 45 now - for a female aged 65 now - 8165 for a female aged 45 now 21.5 22.4 22.0 23.0 24.3 25.1 25.4 Sensitivity analysis At 31 July 2024 At 31 July 2023 Discount rate +0.25¢ RPI rate +0.25° CPI rate +0.250 Assumed life expectancy age 65 - increase by l year 1143.0001 {147,000) 45,000 44.000 22.000 23,000 273.000 211,000 Page 58 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 27. Pension commitments Icontinuedl The Group's share of the assets in the scheme was.. At 31 July 2024 At 31 July 2023 Bonds Insurance annui(ies Cash 5,516,000 968,000 45.000 5,492,000 1,036,000 82,000 Total falr valuo of assets 6,529.000 6,610,000 The actual relum on scheme assets was £198,00012023- £-338.0001. The amounts recognised in the Consolidated Statement of Financial Activf(ies are as follows.. 2024 2023 Current service cost- within Schools and grant making Nel interest on pension scheme liabilities- within finan￿ charges Total amount recognised in the Consolidated Statement of Financial Activities 12,000 148,0001 18,000 17,0001 136,0001 11,000 Movements in the present value of the deftned benefit obligation were as follows.. 2024 2023 Opening defined benefit obligation Contributions by scheme participants Actuarial gains Benefits paid Current service cost Interest cost 5,705,000 6,989,000 3,000 3,000 {2,000} 11,232,000) 1321.0001 1302,0001 12.000 18,000 289.000 229,000 Closing defined benefit obligation 5,686,000 5.70S,000 Pa9e 59 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 27. Pension commitments Icontinuodl Movements in the fair value of the Group's share of scheme assets were as follows.. 2024 2023 Opening fair value of scheme assets Interest income 5,705,000 6,989,000 337,000 236,000 177,0001 11,375,000) 39,000 154,000 3,000 3,000 1321,0001 1302,0001 Actuarial losses Contributions by employer Contributions by scheme participants Benefrts paid Closing fair value of scheme as$ets 5.686.000 5,705,000 Reconciliation of fundect status.. 2024 2023 Opening deficrt Employer contributions Charge recorded in Ststemenl of Financial A¢tivilie8 Actuarial loss received in Slalemenl of Financial Activities 39.000 154,000 36,000 111.0001 {75,0001 1143.0001 Page 60 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 28. Operating lease commitments Al 31 July 2024 the Group and the Charity had commitments to make future minimum lease payments under non-cancellable operating leases as follows.. Group and Charlty 2024 Group and Charity 2023 Group and Chority Amounts payable.. Within 1 year Be￿een 1 and 5 years 89.627 178.422 10,416 16,492 248,049 26,908 The following lease payments have been recognised as an expense in the Statement of financial activities.. Group and Group and Charlty Charity 2024 2023 Group and Charlty Operating lease rentals 53,293 10A16 Page 61 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 Financial instruments Group 2024 Gmup 2023 Charity 2024 Charity 2023 Financial assets Financial assets measured at fair value through income and expenditure 12,463,045 8,596.916 12,463,045 8,596.916 Financial assets measured al fair value through income and expenditure comprises investments in UK listed securities. The Group's income, expense. gains and losses in respect of financial instruments are summarised below". Group 2024 Group 2023 Charity 2024 Charity 2023 Total investment income for financial assets measured al fair value through in¢ome and expenditu Nel IgainlAoss on financial assets measured al fair value through income and expendf(ure Impairment loss on financial assets measured at amortised cost Total interest expense for financial liabilities held al amortised cost 197,637 203,428 197,637 203,428 1622,0991 182,685 1622,0991 182,685 211,196 66,603 211,196 88,803 400,099 135.376 400,099 135,376 30. Related party transactions During the year Shrewsbury School had various transactions and balan￿S outstanding al the year end with its kn wholly owned Irsding subsidiaries, Shrewsbury School Enterprises Limrted and Shrewsbury School Trading Company Limited. These are disclosed in note 6. Governors, remuneration and expenses are disclosed in note 12 and key rnanagemenl personal remuneration is disclosed in note 13. There are no other relal8d paty transactions to disclose. Page 62 SHREWSBURY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 31. Consolidated Statement of Financial Activities for the year ended 31 July 2023 Unrnstrictod funds 2023 Re*xl¢ted funds 2023 Endowment funds 2023 Total fvnd$ 2023 Income and endowments from: Grants and donations Charitable actiiities.. School fees Other educational income Other ancillary trading Other trading actikities Inlestmenls Other income Totrl incom8 771,140 771,140 31,658,779 446,572 416,719 2,292,022 163,672 54,028 35,031,792 31,658.779 446,572 416,719 2,292,022 203,428 54,028 35,842,688 37.949 1.807 809.089 1.807 Expanditurg on: Raising tsnds.. Trading actiiities Fundraising cost$ Financing costs Charrtable actiiities.. Education and grant making Totsl oxpondituro 1.298,264 380.728 340.679 1,298,264 380,728 340.679 31.345.607 33,365.278 716,645 716,645 32,062,252 34,081.923 Net Incomo beforn ngt losses on investments 1,666,S14 92,444 1.807 1.760.765 Net losses in In￿lMentS {150,6041 32,0811 1182,68SI Ngt income before transfers 1,515.910 92,444 30,2741 1.578.080 Transfers between ￿ndS 167,541 {167,5411 Netmovement in fundybefore other recognised losses 1,683,451 175,0971 130.2741 1,578.080 Actuarial losses on defined t4nefit pension schemes 1143,0001 1143.0001 Net movement in ￿ndS 1.540,451 175,0971 130,2741 1.43S,080 Roconciliation of funds.. Total fjnds brought forward Net movement in hjnds Totsl funds carried fonmard 43,824,902 1.540,451 45,36S.353 782,763 175,0971 707,666 1,438,801 130,274 1,408,527 46,046,466 1,435,080 47.481.546 Page 63