BATLEY GRAMMAR SCHOOL FOUNDATION Annual Report and Financial Statements Charity Registration Number 529335 Year ended 31 August 2022 Bmwn Butler Chartered Accountsnts Leeds
Batley Gramm8r School Foundation Annual ReF)Ort and Financial Slalemenls 2022 Contents Page Reference and adminislralive details Tfustee's report Trustee's slalement of responsibilities Independent auditorfs report Statement of financial activities (incorporating an income and expenditure aecounll 10 Balance Sheet Notes lo the financial statements 12-22
Balley Grarnmar School Foundation Reference and Adminislralive Details Registered Office Address Batley Grammar School Carlinghow Hill Balley WF17 OAD Charity Registration Number 529335 Trustee Balley Grammar School Trustee5 Lirniled Governors Mr lan Blamires Prof John Double Mr Robin Ghosh Mr Alislair Hartley Mr Paul Taylor Mr Oliver Tiplady Slatulory Auditor Brown Butler Leigh House 28-32 St Paul's Street Leeds LS1 2JT Bankers Lloyds Bank plc Kirklees Business Centre 1 Weslgale Huddersfield HD12DN Solicitors Wrigleys Solicitors LLP 19 Cookridge Street Leeds LS2 3AG Investment Managers Inveslec Wealth & Investment Limited Quayside House Canal Wharf Leeds LS11 SPU CCLA Investtnenl Management Limited Senator House 85 Queen Victoria Street London EC4V 4ET
Batley Grammar School Foundation Trustee's Report The trustee presents its annual report together with the financial ststements and auditOTS' report of Balley Grammar School Foundation for the year ended 31 August 2022. The financial statements have been prepared in accordance with the accounting policies sel out in the notes lo the financial statements and comply with the Foundation's governing document, the Charities Act 2011 and Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their financial slalements in accordance with the Financial Reporting Standard applicabie in the UK and Republic of Ireland l{Charilies SORP FRS 102) Ioclober 201911. Slruclure, Governance and Management The Foun6ation is a registered charity and is governed by 8 charity scheme approved by the Charity Commission on 2 November 2007 and as amended on 21 March 2011. The charity scheme replaced the former trust deed of Ihe Foundation. The Foundation is administered and managed by 8 corporate Iruslee, Balley Grammar School Trustees Limited. It5 directors also make up the board of governors. The Foundation's activities are controlled by the board of governors who meet once a year. The current governors and those who served throughout the year are sel out on page 2. Recruilmenl and Appointment of Governors The governors, aim is to recruit responsible people with appropriate knowledge, experience and Skills, who are actively interested in the Foundation and can give the necessary time commitment. An induction procedure is in place for new governors as and when appointed and all governors are made aware of the training opportunities available lo them. Objectives and Activities The objectives of the Foundation are, for the benefit of the public, to advance education through.. the provision of a sile in Batley for an educational instilulion.. and the support of the school in such a manner as the Iruslee thinks fit.. and furthering the education of pupils by the award of prizes,- and giving grants, bursaries or other payments OT forms of support lo.. {al pupils who need financial assistance lo allend school or lo lake part In extra-curricular aclivilies., and Ibl former pupils under the age of 25 who are in need of financial assistance lo assist their entry into further education, a profession, trade. occupation or services or lo enable them lo travel abroad to pursue their education. In order lo further its objectives, the Foundation's main activities during the year were.. The leasing of a large proportion of its land and buildings lo Batley Academy Trust for 125 years by a lease dated 25 May 2011. The lease is al a peppercorn rer7t. Supporting Balley Academy Trust by donating assets and cash.
Batley Grammar School Foundation Trustee's ReF)Ort Review of the Year Over the past few years, the govemors focused on consolidating funds after large amounts were spent upgrading the facilities and equipment of Balley Grammar School prior to its opening as a Free School In September 2011. The governors have reviewed and found satisfactory their investment policy and strategies and the performance of the investment managers. Financial Review A summary of the income and expenditure of the Foundation is set out in detail on page 10. The Foundation's unrestricted funds show a deficit for the year of £4,348 12021 deficit.. £18,110) before transfers and investment gainslllossesl. There were nel losses on unreslricled investments of £3,663 12021 gains.. £55,973). The nel increase in total funds for the year was £6,367 {2021 increase.. £140,366). The movements on the various restricted and unreslricled fund. including the deficit on the pension fund reserve, are shown in notes 13 and 14. The governors are s8tislied that the funds of the Foundation are available and are adequate to fulfil ils fLtlure obligations. Reserves Policy In line with the Charity Commission's guidelines, the Foundation has formulated a reserves policy lo ensure that a level of reserves is maintained so that Il can eonlinue lo meet ils day-to-day obligations and lo continue providing support lo Balley Academy Trust. The Foundation's unrestricted funds at 31 August 2022 were £665,965 12021- £669.43818nd ils reslricled funds were £796,05612021'. £786,216). The bulk of these funds can only be realised by the disposal of tangible fixed assets or fixed asset investments. The Foundation is taking advice in respect of the reslricled funds being re-classified and made available for il lo support the work of Batley Academy Trust. a Free School, as there is no longer any need for bursary support. Investment Powers and Policy The governors have the power lo invest any part of the funds of the Foundatlon in such manner as they consider being most beneficial for the achievement of the objects of the Foundation. The governors aim lo maximise investment returns while continuing lo preserve the c8pilal value of inveslmenls. Risk Management The governors have examined Ihe major risks that the Foundation faces each financial year when preparing and updating the strategic plan. The Foundation has developed systems lo monitor and control these risks lo mitigate any impact that they may have on the Foundation in the future. Public Benefit The governors have had regard to the Charity Commission's guidance on public benefit and confirm that the guidance forms the basis of planning al both strategic and operational level. The principal public benefit delivered by the Founéation is the support given lo Balley Academy Trust.
Balley Grammar School Foundation Trustee's Report Audit Enquiries So far as the governors are aware there is no infomialion relevant lo the audit of which the Foundation's auditors are unaware. The governors have taken the necessary steps lo ensure they themselves are aware of all relevant audit information and made sure that the Foundation's auditors are also aware of that information. beh of the Trustee Mr R Ghosh Chair of Go ernors 024
Batley Grammar School Foundation Trustee's Slalemenl of Responsibilities The trustee is responsible for preparing the Trustee's Annual Report and the financial statements in accordance with applicable law and regulations. Charity law requires the trustee lo prepare financial slalemenls for each financial year. Under Ihal law the Iruslee has elected lo prepare the financial slalemenls in accordance with United Kingdom Generally Accepted Accounting Practice Iuniled Kingdom Accounting Standards and applicable lawl. Under that law the trustee musl not approve the financial statements unless they are satisfied that they give a true ané fair view of the stale of affairs of the Foundation and of the income and expenditure of the Foundation for that period. In preparing these financial statements, the Iruslee is required lo.. select suitable accounting policies and then apply them consi51enlly', observe the methods and principles of the Charities SORP., make judgements and eslimales that are reasonable and prudent,. slate whether applicable accounting standards have been followed-. and prepare Ihe financial statements on the going concern basis unless It is inappropriate lo presume that the Foundation will continue in operation. The trustee is responsible for keeping adequate accounting records that are sufficient lo show and explain the Foundation's transactions and dis¢lose with reasonable accuracy at any lime the financial position of the Foundation and enable them lo ensure that the financial slalemenls comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the charity scheme. The trustee is also responsible for safeguarding the assets of the Foundation and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The Iruslee is Tesponsible for the maintenance and integrity of the Foundation and financial information included on the FoLtndalion's website. Legislation in the United Kingdom governing the preparation and dissemination of fin8nci81 statements may differ from legislation in other jurisdictions.
Bauey Grammar School Foundalitirn. Annual Report and Flnancial Stataments Indopendgnl Audltorfs Report to thè Trustees of Balley GraThwnar School Foundation Oplnlon We have audited the financial statements of Batloy Grammar Sthwl Foundatson {the'charfVI frjr the year ended 31 August 2021 lch comprisg the Statem8nl of Flnanclal Activitios, tha Balanco Sheet and notes to th8 financial statements. induding a summary of signfficanl accounting poliaes. The nancial roporlng framewotk that has been applied in their preparallon 15 applicable law and United Klngdom Accounting Standards. including Financlal Reporting Stsndard 102 Thg Flnancial R8portlng standard applicable in the UK and RepubllG of Ireland" (United lfjngdom Generally Accapted Accounting Practice). In our opinlon, Ihg financl81 statsments: give a true and fair vlew of tho stale of the tharity's affairs as at 31 August 2021 and of its ncomwig resources and opplicatlon of resources. for the year then endod: have been prowly prepared in accordance wrfh Unitod lfjngdom Gonerany Accepted AoUnt1ng Practice,. and have l)een prepared kn accordance with the wuirements of the Charitle5 Act 2011. Basls of oplnlon We ¢onducted our audlt In accordance wlth Inlemational Standards cffl Audittng (UK) {ISAs IUKII and appll¢able law. Our responsibilities under those standards are fijrther described in th8 Audito$ responslbllllles for the audit of the finandal statements sectlon of our reporL We are Independent of the ¢hadty In accordance with the ethlcal requirements that are rolovant to our audlt of the financlal ststements Sn the UK, Includlng the FRC'S Ethical Standard. and we have 5filled our other ethical sponslbllltles In accorflance wKh these requlrements. We believe that the audlt evlden¢8 we have obtained is sufficlent and approprlatg to provlde a basls fty uur0pln1. Conclusions relatlng to golng con¢8m In auditlng the financlal statements, wg have Concluded that Ihg tru$tg8s' use of the golng concem basls of auntIng In the preparation of the financlal statements Is appropriate. Based on the work we have performed. we havfj not Identtffed any material un¢ertalnlles relaUng to events or &)ndrthJns that, Indlvldually or collectively. may cast significant doubl on the chadtys ab51ity to continue as a golng concgm fur a period of at least hyefve months from when the financlal statements org authorfsed for Issue. Our responsibllltles and the re5ponsibilitie5 of the trustees respect to golng ¢oncem are descrfbed in the relevonl sections of rgtxvL Other Infonnauon The trustee is responsible for the other Infomiauon. The other Infomatlon COMPseS the Infomlation Included In the trustee's annual report. other than the flnondal st4tements and our auditorfs report thereon. Our opinl¢)n on the financlal statements does not cover the other infonnatlon and, except to the extent olherwts8 &xpllciUy stated In our reporL w8 do not express any forni of assurance conclusion Ihereon. In connedon wlth our 8udM of Ihe Ilnand81 ststsin8nts, our re8pon81blllty Is lo read the other Informallon and. in doing so. consider whether tha oth8r Infomation Is malerfalty Inconsistent wlth tho nandal statements or our knowledge obtalned In the audit or otherwise appears to be materially ml$statgd. If we Idenllfy su¢h material inconsistences or apparent Material mis5ts1omonts. we are required to detgmilne whether there Is a matsrial misstatsment In the financial ststements or materfal mt35tatemenl of the olher InfoTmaUon. If. bas8d on thg work w$ have perfod, we ndude that thore Is a malerf81 mlsstatement of th18 Othor Infomiation, we 8r8 requlred to report that fact. We have nothlng to report In this regard Contlnued on next page
Batley Grammar School Foundation Annual Report and Financial Statements Independent Auditorfs Rewt to the Tru5tses of Batley Gr8mm8r School Foundation ConnUed from prevlous page Mattels on which wo are required to rgport by exceptson In tha light of tho knowtedgg and understanding of the charity and Its enronmen1 obtalnad in the course of the audiL we have not idanllfied material misstatements in the trustee's roport. We have nothing to repwt in respect of the folloMng matters kn relauon to whlch the Charities {A¢counts and Reports) Regulations 2008 requires u3 to report to you If, In our opinion: the Infomiation glven the financial statsments18 Inconslslent in any mateiial respect with the trustg9's rep(rt or sufflctent accounung records have not been kepL OT certaln dlsclosures of trustee's rernUnernon spedfied by law are not mado: or the financlal statements are not In agreement wlth the acttjuntlng records,. or we have not reCed all the tnformatlon and explanallons we requiro for our audit. Responslbllllies of trustee As explalned more fulty In Ihe trustee's responslbllltles ststsment Set out on page 6, the Irnslee Is responslble for Ihe preparalion of the financlal stslements ond for being satisfied Ihat they ge a true and fair view. ond for such Intemal control as the trustee detemiln8s Is necessary to enable thg preparation of financlal statements that are free from malerial mlsstatement. whether due to fraud or In preparing the Inanclal statements. the trustee is responslble for as$esslng the charity's abllty to conllnue a$ a golng concem, dlscloslny. as appll¢able. matters related to golng ¢on¢em and uslng the going concem basls of account5ng unless the trustee elth8r Intsnds lo Ilquidate the tharlty or cease operatlons. or have no reali511c allemative but to do 80. Audltsrfs responslb511Ugs forthe audlt of the financial statements Our objectives are to obtaln reasonable assurance about ether the finanaal statements a8 a vthole are free from malorlal mlsstatemenl. ether due to fraud or error. and to Issut an audltorf8 report tho1 Includes our oplnlon. R08s0nable a$$uronce Is a high level of assurance, but Is not a guarant¢0 that an audit conducted In accordance Yrith ISA5 {UKI wlll aayS doted a material mls5talement when It exlsts. M1s5talements Can arise from fraud or error and aro consSdered materfal if, IntlMdL¢ally or In the aggregate, they could reasonably be expected to infiuence the economtc declslons of users taken on the basls of those Ilnanclal statements. A further description of our responslbllltles for tho audll of the financlal statements Is located on the Flnanclal Roportlng Councll's webslte al .uklaudilorsres slbillu Thls dg$crfptk*n forns part of our audllorfs report. Conllnued on next pagg
Balley Grammar School Foundation Annual Report and Finan¢io1 Statements Independent Auditorfs Report to the Trustees of Batley Grammar School Foundation Contlnued from provtous pagè Capabillty of the audit in dolecting Irregularitie5. induding fraud Irfogularilles. Induding fraud, are Inslancos of non-compliance with laws and regulations. We dgslgn procgduras In line with our responsibilities, outtined above. to detect material misstatements in respect of iryularftles. Including fraud. The key laws and regulations we have considered in this wnlext included the Charille$ Act. pension and tax legislation. In addition. we have considered pmmsions of other laws and rogu18tions that do not have o direct effect on the financi81 statements bLtI cornpliance th which may be fundamental to the Chority's ablllty to operate or to avokl a material penalty. Thg extènt to which our procedures are pable of dgtgctlng IrregUlaties, Includlng fraud 1$ detailed below. Using our general commerdal and sector experience and through discussions with the trustee5 and other managgmenl, we identified areas of laws and regulations th81 could reasonably be expected lo have a material effect on the financial statements as well as those 8risirvJ from management's own a8sessmenl of the rlsks th8t irregularities may occur eilh¢r as a result of fraud or error. . We examlned the charltys regu18tory ar legal correspondence and dl$cussed wlh the Intslees and other management any known or suspected Instances of fraud or non-compliance wNh laws and regulallons. We communicated identlfied laws and regulations and potential fraud risks to all engagemenl team members anil remained alert to ony Indkatlons of fraud or non-compllance with laws and regulallon8 throughout the audit. . In oddros$lng the rLsk of managgmont overfde of o)ntrols. we le8ted the approatene55 oljoumal entries. We also challenged assumpuons and judgements mad¢ by management In Ihelr signiftcznt accounllng e5tlmales and judgements. Thera are Inherent Ilmltatlons in tho audlt procedures descrlbed above and th8 ftrrth9r rem¢)ved non- compllance wlth laws and ragulati¢)ns Is from th8 events and transactions reflected in the finan¢lal ststements. the less Ilkely we would becDme awaro of tt. Also, the rfsk of not dete¢tlng a material rnisstalement due to fraud Is hlgher than the risk of not detedng one from error, as fraud may Involve dellborate cOnalment ty. for example. forgery or inlenuonal misrepTesentatlon. or through cdlLFslon. U88 of our report Thls report 1$ made solely lo th¢ charity's tN8te8, as a body, in aCrdance wlh Part4 of the ChBdtles (Ac¢ounts and R8ports} Regulatlons 2008. Our audlt work has been Urertaken so that we might stale to the charsty's Iruslee those matters we are required lo slat¢ to thgm In an audltols repKJrt and for no other purpose. To the fv118St extent permltted by law. we do not accept or assume responslblllty lo anyone other than the ch8rity and the charft8 trustee as a body. for our au11 work, for thls re[, or forthe oplnlon5 we ttave formed. Brown BLrtlor Chartered A¢ntants 8nd Statutory Auditor Lelgh House 28-32 St Paul's Street Leeds LS12JT
Balley Grammar S¢hool Foundation Statement of Finar¢cial Activities {Incorporaling an income and expenditure account} Year ended 31 August 2022 Unreslricled funds Re51ricle funds 2022 Total 2021 To181 Note InGoming resources.. Donations and legacies Donations receNed 3,145 1,230 4.375 1.455 Investment income 14,080 15,087 29,967 26.027 Total income 17.225 16.317 33.542 27,482 Expenditure on.. Raising funds Charitable activities 4,395 17,178 4.39S 19.730 4,390 27,230 2.552 Total expenditure 21,573 2,552 24.125 31,620 Other recognised Ilossesl and gain5'. Net realised Ilossesygains on investments Nel unrealised Ilossesygains on investments Remeasuremenl gain on defined benefit pension scheme liability 10 (3,0791 (3,299) 16,3781 5.221 10 1584} {626} {1,2101 107.486 16 4.538 4,538 31.797 Net lexpendilurellincome 13,4731 9,840 6,367 140.366 Reconciliation of funLIs'. Fund balances brought forwar(I 669,438 786,216 1,455.654 1,315.288 Fund balances Carried forward 665,965 796,056 1,462,021 1,455,654 The notes on pages 12 10 22 form part of these financial stalemenls. 10
Balley Grammar School Foundation Balance Sheet 31 Augijst 2022 2022 2021 Note Fixed assets Tangible assets Heritage assets Investments 505,228 38,600 905,654 520,677 38,600 904.298 10 1.449,482 1,463.575 Ctjrrenl assets Debtors Cash at bank and broker 11 19.921 56.300 49,973 22,353 76,221 72,326 Creditors- amounts falling due within one year 12 13,602 16,120 Nel current assets 62.619 56,206 Nel assets excluding pension liability 1,512.101 1,519,781 Defined benefit pension scheme liability 16 {50.0801 154,1271 Net assets 1,462,021 1,455.654 Funds of the Foundation Reslricled funds Unreslricled funds Revenue fund Pension reserve 13 14 796,056 786.216 716,045 {50.080 733,565 164,1271 665,965 669,438 Total charlty funds 1.462,021 1,455,654 These financial statements were approved and aulhorised for issue by the trustee on ?3 2024 and signed on its behalf by.. MrR Chair Prof ohn Double Governor overnors The notes on pages 12 10 22 form parl of the financial statements.
Balley Grammar School Foundation Notes lo the Financial Slalements Year ended 31 August 2022 General information Batley Grammar School Foundation is a registered charity, under number 529335, and is governed by a charity scheme approved by the Charity Commission on 2 November 2007 and as amended on 21 March 2011. The charity scheme replaced the former trust deed of the Foundation. The Foundglion is registered in England and the address of its registered ofFice and place of business is.. Balley Grammar School Carlinghow Hill Balley WF17 OAD The Foundation is a public benefit entity as defined by FRS 102. Summary of significant accounting policies Basis of preparation The financial statemen15 have been prepared in accordance with the charities Statement of Recommended Practice ISORP IFRS 1021 (October 201911.. Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102 1A) and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland IFRS 102 1A> and the Charities Act 2011 and UK Generally Accept Practice. The financial slalements have been prepared lo give a 'true and fair, view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required lo provide a 'lrue and fair view,. This departure has involved following Accounting and Reporting by Charities preparing their financial 51alemenls in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102 1A) issued on 31 January 2022 rather than the Accounting and Reporting by ChaTilies.' Stsiemenl of Recommended Practice effective from 1 April 2005 which has since been withdrawn. Going concern The financial statements have been prepared on a going concern basis under the historic cost convention, modified lo include certain items al fair valLJe, as the Iruslee believes that no material uncerlainlies exist. The trustee has considered the level of funds held and the expected level of income and expenditure for 12 months from aulhorising these financial stalemenls. The pTesenlalion currency is £ sterling and the financial slalements have been rounded lo the nearest £1. The significant accounting policies applied in the preparation of these financial slalemenls are set out below. These policies have been consislenlly applied to all years presented, unless otherwise slated. 12
Batley Grammar School Foundation Notes lo the Financial Slalements Year ended 31 August 2022 Summary of signifiGanl accounting policies- continued Income recognition All incoming resources are included in the Statement of Fin8nci21 Activities ISoFA} when the Foundation is legally enlilled to the income after any performance conditions have been met. the amount can be measured reliably and11 is probable that the income will be received. For donaliorbs to be recognised, the Foundation will have been notrfied of the amounts and the settlement date in writing. If there are conditions allached lo the donation and these require a level of performance before enlillemenl can be obtained then income is defeed ntil those conditions are fully mel or the fulfilment of those conditions is within the control of the Foundation and il is probable that they will be fulfilled. For assets donated lo the Foundation, the assets are recognised at their fair value. For legacies, enlillemenl is the earlier of the Foundation being notrfied of an impending distribution or the legacy being received. Al this point income is recognised. On occasion legacies will be notified lo the Foundation however il is not possible lo measure the amount expected to be distributed. On these occasions, the legacy is Irealed a$ a conlingenl asset and disclosed. Investment income Dividends and interest receivable on listed investments are recognised on an aceruals basis. Income from short term cash deposits is accounted for on an accruals basls. Expenditure recognition All expenditure is accounted for on an accruals basis and has been classified under heading5 that aggregate all costs related lo the category. Expenditure is recognised where there is a legal or conslrnctive obligation lo make payments lo third parties, il is probable that the sethemenl will be required and the amount of the obligation can be measured reliably. Support costs allocation Support costs are those costs that assist the work of the Foundation bul do not direclty represent charitable activities and comprise mainly of governance costs. The analysis of these costs is included in note S. Taxalion The FoLtndalion considers that il meets the definition of a charity for UK corporation lax purposes and is accordingly potentially exempl from lax in respect of its income and gains. Pensions sin the closure of Little Balelian's Nursery. the Foundation no longer makes regular contributions to 8 pension scheme. However, the Foundation has an agreed deficit funding arrangement in place and has recognised this obligation in the balance sheet. Any changes in measurement of the obligation and the unwinding of the discounl factor are charged lo the SOFA. 13
Balley Grammar School Foundation Notes lo the Financial Statements Year ended 31 August 2022 Summary of significant accounting policie$- continued Nel gains and losses on investments Net realised gainsl{10sses) on investments are calculated as the difference between the net sales proceeds and their valuation al the last balance sheet date of, where purchased during the year. the purchase price. Nel unrealised gainslllossesl on investments represent the difference beeen the valuation of fair value assets al the balance sheet dale and their valuation al the previous balance sheet date or, where purchased during the year, the purchase price. Fixed assets and depreciation Expenditure on freehold land and building5, fixtures. fittings and equipment incurred prior to 1975 has been written off and no value is incorporated into the financial statements in respect of these assets. Expenditure prior lo 31 August 2001 on subsequent major school exlenslons. including fixtures. fittings and equipment, has been written off against the appropriate fund when incurred, and expenditure on minor building alleration5 and fixtures. fiitings and equipment was charged to the revenue fund when incurred. Depreciation is provided lo write off the cost of the assets in equal annual Instalmenls over the estimated useful economic lives of the assets as follows.. Building improvem@nts Sixth form block Fixtures. fittings and equipment 50 years slraighl line basls 10- 50 years slraighl line basis 20% and 25¢/0 slraighl line basis Heritage assets Heritage assets are brought into account at either cost or fair value, rf donated. No tleprecialion is charged on heritage assets which have an indefinite useful lrfe. lTrveslments Investments are slated al fair value. Pooled investment vehicles are staled al bid prices for funds with bidloffer spreads, or single price where no bidloffer spread5 exists as provided by the fund manager. Impairment of fixed assets Fixed assets are assessed lo each reporting date to determine whether there is any indication that the assets are impaired. If there is an indication of possible impairment. the recoverable amount of any affected asset is eslimaled and cornpared lo ils carrying amount. If the eslimaled recoverable amount is lower, the carrying amount is reduced lo ils eslimaled recoverable amount, and an impairment loss is recognised in the SOFA. The reversal of an impairment loss is recognised immediately in the SOFA. Debtors Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, nel of transaction costs. and are subsequently measured al amortised cost using the effeGlive interest method. less any imp2irment. 14
Balley Grammar School Foulldalion Notes lo the Financial Slalements Year ended 31 August 2022 Summary of significant accounting policies - continued Creditors Short term creditors are measured at transaction price, less any impairment. Other financial liabilities are ffleasured initially al fair value. net of transaction costs and are subsequently measured al amortised c05t using the effective interest method. Funds Unrestricted funds are available for use at the discretion of the trustee in furtherance of the general objectives of the Foundation and which have not been designated for other purposes. Restricted funds are funds which are lo be used in accordance with specific reslrictlons imposed by donors or which have been raised by the Foundation for particular purposes. The cost of raising arnd administering such funds are charged against the specific fund. The aim and use of each restrirted fund is sel out in the notes to the financial statements. Cash flow statement The Foundation qualifies as a small entity and has taken advantage of the exemption under FRS 102 not lo prepare a cash flow statement. Critical accounting estimates and assumptions The preparation of the financial slalements requires the Iruslee lo make estimates ar7d assumptions concerning the future. The resulting 8ccounling estimates and assumptions will, by definition, seléom equal the related actual results. The main area of eslimales and assumptions that have a significant risk of Causing a material adjustment lo the carrying amount of assets and liabilities within the next financial year relate lo the estimates used in valuing the CARE pension scheme deficit funding liability. The present value of the liability depends on a number of factors that are determined on an actuarial basis using a variety of assumptions. The assumptions used in determining the liability include the discount rate. Any change in these assumptions will impact the carrying amount of the pension liability. The carrying value of the pension liability is £50,08012021.. £64,1271- Investment income Unrestricted funds Reslricle funds 2022 2021 Income from UK investments Bank interest 14.072 15,082 29.155 13 26.026 14,080 15,087 29,167 26,027 Investment income in the year ended 31 August 2021 was £26,027 of which £12,925 was attributable lo unreslricled funds and £13,102 was attributsble lo reslricled funds. 15
Batley Grammar School Foundation Notes lo the Financial Statements Year ended 31 August 2022 Total resources expended Unreslricled lunds Reslricled funds 2022 2021 Raising funds Investment management 4.395 4.395 4,390 Charitable activities Prizes and gifts Staff costs- pension Depreciation Bank charges and interest Management fees Finance cost re pension deficit Support costs 2,552 2,552 1,633 15,449 23 16,0001 530 5,543 335 1.621 15.449 65 1.000 805 7,955 1.633 15,449 23 {6.0001 530 5.543 17,178 2,552 19,730 27.230 21.573 2,552 24,125 31.620 Expenditure for the year ended 31 August 2021 was £31,620, of which £31,285 was allrlbul8ble lo unreslricled funds and £335 was allributsble lo restricted funds. Support costs Support cosis comprise of.. 2022 2021 Audit fees Trustee expenses Pension scheme expenses Leg21 and professional fees MiscellaneoLJS expenses 4,200 275 1.068 3,000 120 1,386 3,277 172 5,543 7,955 Information regarding employees and governors There were no employees during the year12021'. £nill. Staff costs during the year.. 2022 2021 Wesl Yorkshire pension fund Remeasuremenl of pension deficit funding 1,633 14,5381 1,621 131,7971 {2,9051 130,1761 No governor or person related or connected by business lo them has received any remuneration or reimbursement for expenses from the Foundation during the current or prior year. 16
Balley Grammar School Foundation Notes lo the Financial Sialements Year ended 31 August 2022 Net income is after charging.. 2022 2021 Auditor's remuneration Depreclation 4.200 15.449 3,000 15,449 Tangible fixed assets Sixth form block Fixtures. 1975 school fittings and extensions equipment Building improvements Total Cost At 1 September 2021 Disposals in the year 512,148 437,974 25.000 61,131 11,500) 1.036,253 11.5001 Al 31 August 2022 512.148 437,974 25.000 59,631 1,034.753 Depreciation Al 1 September 2021 Charge for the year Disposals in the year 310,594 6,534 118.851 8,915 25,000 61.131 515.576 15,449 11,5001 {1,500) At 31 August 2022 317,128 127,766 25,000 59,631 529,525 Net book value Al 31 August 2021 201,554 319,123 520,677 At 31 August 2022 195,020 310,208 505.228 On 1 September 2011, the Foufidalion granted a 125-year lease over 119 freehold properties lo Balley Academy Trust at a peppercorn rent. 17
Balley Grammar School Foundation Notes lo the Financial Statements Year ended 31 August 2022 Heritsge fixed assets Paintings collection Total Cost At 1 September 2021 and 31 August 2022 38,600 38,600 The heritage assets ore Shown at deemed Cost being their fair value al donation. The fair value donation valuation was ascertained from a suitably qualified person. external lo the Foundation. The fIVyear financlal summary of heritage fixed asset transactions is.. 2022 2021 2020 2019 2018 Additions-. Donations 38,600 10. Fixed asset investments 2022 2021 Valuation Al 1 September 2021 Additions al cost Disposal proceeds Net realised Ilossesllgains Net unrealised Ilossesllgains 904,298 83,315 174,3711 16,3781 11.2101 779,104 121,38d {108,8971 5,221 107,486 At 31 August 2022 905,654 904,298 The portfolio compftses of securities which are listed on a UK recognised stock exchange. The histori¢al ¢ost of the securities is £806,962 {2021'. £792,086). Net gains on investments in the year ended 31 August 2021 were £112.707 of which £55,973 was attributable to unrestricted funds and £56,734 was attributable lo restricted funds. 11. Debtors 2022 2021 School fees Other debtors Accrued income 9.014 7.024 3,883 9,564 35,975 4,434 19,921 49,973 18
Balley Grammar School Foundation Notes lo the Financial Slalements Year ended 31 August 2022 12. Creditors.. amounts falling due within one year 2022 2021 Trade Creditors Social security and other taxes Accruals 6.000 2,551 5,051 16,120 13.602 16,120 13. Restricted funds Reslricled funds comprise unexpended balances of donations, grants and legacies gwen for specific purposes on the following funds.. Prize and scholarship fund - used for prizes and scholarships Jean Naylor Gaunt Legacy Fund~ used for the provision of bursary assistance B2lley Lads Roll of Honour Fund - used for the research of the First World War history of 8alley Grammar School Peter Brook Fund- used lo further historic and artistic knowledge and cultural enrichment Movements on the restricted fLtnds are as follows: Realised & unrealised losses Al 01.09.21 Incoming Resources resources expended Al 31.08.22 Prize and scholarship fund Jean Naylor Gaunt legacy fund Balley Lads roll of honour fund Peter Brook Fund 242.195 503,036 2,385 38.600 6,133 10,184 2.552 11,275} 12,650) 244,501 510,570 2,385 38,600 786.216 16,317 2,552 {3,9251 796.056 Realised & unrealised losses Al 01.09.20 Incoming Resources resources expended At 31.08.21 Prize and scholarship fund Jean Naylor Gaunt legacy fund Balley Lads roll of honour fund Peter Brook Fund 218,683 455,842 2,385 38,600 5,453 8,854 335 18,394 38,340 242,195 503,036 2,385 38,600 715.510 14,307 335 56,734 786,216 19
Batley Grammar School Foundation Notes lo the Financial Slalemenls Year ended 31 August 2022 14. Unrestricted funds Movements on the unreslricled funds are as follows.. Transfer Reallsed & Remeasuremenl been unrealised of pension funds losses deficit funding At 01.09.21 Incoming Resources resources expended Al 31.08.22 Revenue fund Pension reserve 733,565 17.225 21,573 {9,5091 {3,663) 716,045 164,127) 9.509 4,538 {50,0801 669,438 17,225 21,573 13.6631 4,538 665,965 Transfer Realised & Remeasurement beeen unrealised of pension funds losses deficit funding At 01.09.20 Incoming Resources resources expended At 31.08.21 Revenue lund Pension reserve 705.898 13.175 31.285 {10,1961 55.973 733.565 (106,1201 10,196 31.797 {64,1271 599.778 13,175 31,285 55.973 31.797 669,438 15. Analysis of nel assets. excluding the pension liability, between funds Price and Scholarship fund Jean Naylor Balley Lads Gaunt legacy roll of honour fund fund Peter Brook fund Revenue fund 2022 Total 2021 Total Tangible fixed 8ssets Heritage fixed assets Fixed asset investment$ 440,813 Current assets 42,922 Current liabilities 113,6021 245,912 83.970 175,346 505,228 520,677 38,600 38,600 38.600 150,521 10.010 314,320 20,904 905.654 904,298 76,221 72,326 113,602) 116,1201 2.385 716,045 244,501 510,570 2,385 38,600 1.512,101 1,519.781 20
Batley Grammar School Foundation Notes lo the Financial Stslemellls Year ended 31 August 2022 16. Pension costs The Foundation participates in the Career Average Revalued Earnings {CAREI Pension Scheme administered by the Pensions Trust for non-leaching staff. Since the closure of the nursery there have been no regular pension contributions and the eosl lo the Foundation for the year was £nil12021.' £nill. However, the Foundation has an agreed deficit funding arrangement in place and has recognised this obligation in the balance sheet. Any changes in measurement of the obligation and the unwinding of the discount factor. are charged lo the SOFA. The CARE scheme is a mulliomployer scheme which provides benefits lo some 37 non- associated employers. The scheme is a defined benefit scheme in the UK. 11 is not possible for the Foundation lo obtain sufficient information to enable il lo account for the scheme as a defined benefit scheme. Therefore. it accounts for the scheme as a defined contribution scheme. The scheme is subject lo the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, sel out the framework for funding defined benefit occupational pension schemes in the UK. The scheme is classified as a 'last-man standing arrangement,. Therefore, the Foundation is potentially liable for other participating employers, obligations if those employers are unable lo meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme. A full actuarial valuation for the scheme was carried out al 30 September 2019. This valuation showed assets of £79m, liabilities of £93.9m and a deficit of £14.9m. To eliminate this funding shortfall, the Trustee asked the participating employers lo pay additional contributions lo the scheme from 7 April 2022 10 30 September 2027 of £1.53m PA, payable monthly and increasing by 30A each year on 1 April. The recovery plan contributions are allocated to each participating employer in line with their estimated share of the scheme liabilities. During the year the Foundation paid contributions lotalling £10,19012021.. £12,387) lo the CARE pension scherne. Where the scheme is in deficit and where the Foundation has agreed to a deficit funding arrangement the Foundation recognises a liability for this obligation. The amount recognised is the nel present value of the deficit reduction contributions payable under the agreement that relates lo the deficit. The present value is calculated using the discount rale detailed in these disclosures. The unwinding of the discount rale is recognised as a finance cost. Pension scheme legislation provides that in the event of the employer ceasing lo participale in the CARE scheme, or the CARE scheme winding up, the scheme's trustees can levy a 'buy-out' debt on the employer. Vvhilsl there is no current intention lo cease membership of the scheme, the governors feel Ihal the disclosure sel out below will aid the understanding of the Foundations affairs. The12lesl estimate of the buyout debt was calculated lo 30 September 2022 as being £125.526. 21
Balley Grammar School Foundation Notes lo the Financial Sialements Year ended 31 August 2022 16. Pension costs - continued The key assumption used by the actuary in calculaling the defined benefit pension scheme liability was: 2022 2021 Discount rate 4.45% The opening and closing balances of the defined benefit pension scheme liability are reconciled as follows.. 2022 2021 At 1 September 2021 Finance cost Employer deficit contributions Remeasurement 64,127 530 110.0391 14,5381 106.120 805 {11,0011 131.7971 At 31 August 2022 50,080 64,127 In addition. the Foundation makes payments lo the Wesl Yorkshire Pension Fund, a defined benefit scheme in respect of non-leaching staff, lo cover unfunded pension costs relating to ex- staff. The cost to the Foundation for the year Was £1,63312021.' £1,621). 17. Related party transactions Balley Grammar School Trustees Limited had expenses paid on its behaw by the Foundation lolalling £12012021.. £1201. 18. Conlingenl asset As 8131 August 2022 the Foundation had been notifted of a residuary legacy. The legacy had been subject lo challenge and the value of the legacy is still uncertain. Legal costs associated with the challenge are subject lo review and as of July 2024, the value of the legacy and associated costs can not be reasonably eslimaled and therefore not brought into these financial slalemenls. 22