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2020-08-31-accounts

REGISTERED NUMBER: 2306881 (England and Wales)

CHARITY COMMISSION

REPORT OF THE GOVERNORS, STRATEGIC REPORT AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

FOR

LEEHURST SWAN LIMITED ( A COMPANY LIMITED BY GUARANTEE)

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

CONTENTS TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

Page
Company Information 1
Report of the Governors (including Strategic Report) 2
Report of the Independent Auditors 6
Statement of Financial Activities 8
Balance Sheet 9
Statement of Cash Flows 10
Notes to the Financial Statements 12

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

COMPANY INFORMATION

FOR THE YEAR ENDED 31 AUGUST 2020

GOVERNORS: Mr Douglas Gale Mr Ian McDonald Mrs Penny Joyce (resigned 1 May 2021) Mr Stephen Spicer Mr Jonathan Wansey Ms Victoria Hance Mr Richard Hill (resigned 1 May 2021) Mrs Deborah Lewis Mrs Michele Russell Mr Robert Clarke HEADMASTER: Mr Terence Ayres BURSAR AND COMPANY SECRETARY: Mrs Lindsay Chater REGISTERED OFFICE: 19 Campbell Road Salisbury SP1 3BQ REGISTERED NUMBER: 2306881 (England and Wales) REGISTERED CHARITY NUMBER: 800158 AUDITORS: Fawcetts LLP Chartered Accountants and Statutory Auditors Windover House St Ann Street Salisbury SP1 2DR BANKERS: Barclays Bank plc 2/6 High Street Salisbury SP1 2YH SOLICITORS: Dutton Gregory Solicitors Ambassador House Carlton Crescent Southampton SO15 2EY INSURANCE BROKERS: Jelf Kabel House 15 Quay Street Manchester M3 3HN

INSURANCE BROKERS:

Page 1

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

REPORT OF THE GOVERNORS FOR THE YEAR ENDED 31 AUGUST 2020

The Governors present their annual report, together with their Strategic Report, and the audited financial statements of the company for the year ended 31 August 2020 and confirm they comply with the Charities Act 2011, the governing document and the Charities SORP 2015 (FRS 102).

PRINCIPAL AIMS

The principal activity of the company in the year under review was the advancement of education of boys and girls, focussing not just on academic success but also ensuring development of their mental and physical wellbeing.

The school’s main aims are as follows:

In the reporting period we delivered a well-balanced education through our pre-preparatory, preparatory and senior departments, providing a first-class education to boys and girls from the ages of 4 to 16 years. We provided a stimulating educational environment that develops our pupils’ abilities, competence and skills. We promoted the academic, moral and physical development of our pupils through our academic curriculum, pastoral care, sporting and other activities. We provided an educational environment where every child was valued as an individual and encouraged to develop to their full potential, building self-esteem and confidence, and an inherent desire to contribute to the wider community. Those students who left over the period were well prepared to embrace the opportunities, responsibilities and experiences of the next stage of their lives.

GOVERNING DOCUMENT

The School is a company limited by guarantee and is governed by its Memorandum and Articles of Association, originally incorporated in October 1988 and last adopted in 2007.

REVIEW OF ACTIVITIES & ACHIEVEMENTS

The results for the year and financial position of the company are as shown in the annexed financial statements.

OUR OBJECTIVES

Our objectives were set to reflect both our educational aims and the ethos of the School. In setting our objectives the School have carefully considered the Charity Commission’s public benefit guidance.

Continued on page 3

Page 2

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

REPORT OF THE GOVERNORS

FOR THE YEAR ENDED 31 AUGUST 2020

Continued from page 2

OUR OBJECTIVES continued

Our objectives for the year were set in the wider context of providing a financially secure, happy, purposeful community, based on Christian values. They included:

ACADEMIC RESULTS

Pupils in the prep years exceeded the national standards and by the end of Year 6, 85% of the cohort were on average, significantly ahead of their peers according to standardised scores in the core subjects of mathematics and English, some prep aged pupils were considerably in advance of this. It was another strong year for Year 6 pupils obtaining places at grammar school, with 73% of pupils, who sat the 11+, passing and being awarded a grammar school place.

Pupils in the senior school make excellent progress in preparation for their GCSE years. The School offers a wide range of GCSE and IGCSE subjects for pupils to choose from and optional subjects include: physics, chemistry, biology, design technology, computer science, music, PE, drama, art, photography, history, geography, and modern foreign languages. These are in addition to the core subjects and most pupils study ten GCSE subjects over the course of Year 10 & 11. Academic performance at the end of Year 11 was excellent 100% of the pupils gained five or more GCSEs including mathematics, English and science; 63% of pupils achieved the English baccalaureate (English, Maths, Science, a modern foreign language, History or Geography) and all students gained places at their first choice of sixth-form provider, with most students choosing to attend either Bishop Wordsworth School, South Wilts or Peter Symonds Sixth Form College.

PUBLIC BENEFIT

The governors have complied with their duty to have due regard to the guidance on public benefit published by the Charity Commission. In exercising their powers and duties they have considered whether any alterations were required to the School’s policies in relation to educational and fee-charging charities.

Leehurst Swan actively pursues a policy of budgeting a proportion of fee income for the award of scholarships and bursaries, for those less able to afford the full fees or for existing parents who fall on hard times. During the past year, a total of £606k (22% of fee income) was rebated in the form of scholarships, bursaries and discounts to siblings and staff.

The school playing fields were released for use by local cub and scout groups, the premises were used by the public for examinations, members of staff assisted in external examinations as invigilators. A number of classrooms and facilities are used for 11+ teaching and testing, this is primarily for external students. Our staff provided free professional services and advice, including audit support.

The Walker Hall, as a specialist auditorium hall, with fold away seating, served local dance, drama and musical groups. The school continued to partner with Energy Kidz a national holiday club provider to support parents’ holiday needs for any child from 4 – 11 years.

Continued on page 4

Page 3

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

REPORT OF THE GOVERNORS FOR THE YEAR ENDED 31 AUGUST 2020

Continued from page 3

PUBLIC BENEFIT continued

The School choir performs for visitors from local care homes as well as performing in their residence for those less able to get to the school. The choir performs for charity events including the market place and the City Hall. The School aims to engage and help the local community by providing work experience places for Year 10 pupils from local maintained schools.

GOVERNORS’ INDUCTION AND TRAINING

Governor skills and attributes are assessed regularly to ensure the make-up of the board provides the levels of support and knowledge required, and so that governor recruitment targets any skills gaps.

There are a wide range of competencies across the governing body, it includes those with expertise in education; two former head teachers, an engineering director, a lawyer, a customer services expert, former senior police officer, architectural assistant and a multiple business owner.

After appointment new governors are allocated to sub-committee(s), that align to their skills, experience and qualifications.

Governors are encouraged to attend regional seminars organised by their professional body; AGBIS. Other seminars attended include those organised by local firms and organisations on a variety of relevant topics and issues such as Charity Law and Employment Law updates. Governors have access to various regular bulletins and reports through education and governance-based associations.

ORGANISATION

The governors of the school act as directors and trustees of the charitable company. The governors include ‘Guardian Governors’ who are responsible for the protection of the character and ethos of the school. The names of persons who served as governors are given in the attached Report of the Governors, Strategic Report and Financial Statements. The day to day running of the School is devolved to the head, supported by the bursar and the senior management team.

ACCESS AND ADMISSIONS POLICY

Leehurst Swan School is a selective school which welcomes pupils from all backgrounds. Prior to admission, prospective pupils are assessed to provide the school with a snapshot of performance which contributes to the raft of evidence collected before a place is offered. Places are only offered once the school has a full picture of an individual’s ability and potential across the breadth of the curriculum. Entrance interviews, references and assessments are undertaken to satisfy these requirements and ensure potential pupils can cope with the pace of learning and benefit from the education provided. An individual’s economic status, gender, ethnicity, race, religion or disability do not form part of the assessment process.

FUTURE DEVELOPMENTS

The Governors continue their commitment to developing the quality of every aspect of the school. The School continues to invest heavily in the professional development of the staff, the school’s major asset, curriculum innovation and the school’s site and infrastructure.

GOVERNORS

The governors of the school in office at 31 August 2020 were as shown in the attached Report of the Governors, Strategic Report and Financial Statements.

The Board of Governors is a self-appointed body.

Continued on page 5

Page 4

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

REPORT OF THE GOVERNORS FOR THE YEAR ENDED 31 AUGUST 2020

Continued from page 4

THE FINANCIAL RESULTS

A profit of £1,384 was made during the year.

INVESTMENT POWERS

These are governed by the Memorandum and Articles of Association which include the power to delegate to Investment Managers.

RESERVES POLICY

The school does not carry free funds. It is the policy of the governors to apply any operating surplus to the development and improvement of the fabric and facilities of the school.

RISK MANAGEMENT

The major risks to the School as identified by the governors have been reviewed and systems have been established to mitigate those risks. Reviews are carried out regularly throughout the year, through all the Governance meetings. Risk review is a standing item on every agenda.

STATEMENT OF GOVERNORS' RESPONSIBILITIES

Law applicable to incorporated charities in England and Wales requires the Governors (who are also the directors of the company and trustees of the charity) to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the company and of its financial activities for that period. In preparing those financial statements, the Governors are required to:

The Governors are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the Governors are aware, there is no relevant audit information (as defined by section 418 of the Companies Act 2006) of which the company’s auditors are unaware, and each Governor has taken all the steps that he or she ought to have taken as a Governor in order to make himself of herself aware of any relevant information and to establish that the company’s auditors are aware of that information.

AUDITORS

The auditors, Fawcetts LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD OF GOVERNORS:

The governors (in their capacity as directors of the company and trustees of the charity) approve the Report of the Governors and the Strategic Report for the year ended 31 August 2020.

……………………………………………………

Victoria Hance – Chair of Governors

Dated …………………………………………..

Page 5

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF LEEHURST SWAN LIMITED

Opinion

We have audited the financial statements of Leehurst Swan Limited (the ‘charitable company’) for the year ended 31 August 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and notes to the financial statements, 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” (United Kingdom Generally Accepted Accounting Practice).

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those 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 charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’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 sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

Other information

The other information comprises the information included in the Report of the Governors (including Strategic Report), other than the financial statements and our Report of the Auditors thereon. The Governors are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Continued on page 7

Page 6

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF LEEHURST SWAN LIMITED

Continued from page 6

Matters on which we are required to report by exception

In light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors included within the Report of the Governors.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of Governors

As explained more fully in the Statement of Governors’ Responsibilities set out on page eight, the Governors (who are also directors of the charitable company for the purposes of company law and trustees of the charity for the purposes of charity law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Governors determine 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 charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Governors either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Simon Ellingham FCA DChA (Senior Statutory Auditor)

for and on behalf of Fawcetts LLP Chartered Accountants and Statutory Auditors Windover House St Ann Street Salisbury SP1 2DR Dated: ………………………………

Page 7

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME & EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2020


Notes
INCOME AND ENDOWMENTS FROM:
Charitable activities
Fees receivable
2
Other income
3
Investment income
Total Income
EXPENDITURE ON:
Charitable activities
School operating costs

Total expenditure
6
NET INCOME /(EXPENDITURE)

Fund balances at 1 September 2019
TOTAL FUNDS CARRIED FORWARD
AT 31 AUGUST 2020		 2020 Total
£
2,118,882
97,176
1,573
2,217,631
2,216,247
2,216,247
1,384
3,194,452
3,195,836		 2019
Total
£
2,378,551
73,216
2,574
2,454,341
2,423,209
2,423,209
31,132
3,163,320
3,194,452
Unrestricted
Restricted
funds
funds
£
£
2,118,882
-
97,176
-
1,573
-
2,217,631
-
2,216,247 -
2,216,247
-
1,384
-
3,194,452
-
3,195,836
-

CONTINUING OPERATIONS

None of the charitable company’s activities were acquired or discontinued during the current and previous years.

The notes form part of these financial statements

Page 8

LEEHURST SWAN LIMITED

(A COMPANY LIMITED BY GUARANTEE – COMPANY NUMBER 02306881)

BALANCE SHEET 31 August 2020

Notes
FIXED ASSETS:
Tangible assets
7
CURRENT ASSETS:
Debtors
8
Cash at bank and in hand
CREDITORS:Amounts falling
due within one year
9
NET CURRENT ASSETS:
TOTAL ASSETS LESS CURRENT
LIABILITIES:
CREDITORS:Amounts falling
due after more than one year 10
NET ASSETS
FUNDS:
Unrestricted funds		 2020

These accounts were approved and authorised for issue by the Governors on …………………………. and were signed on their behalf by:

…………………………………….

Victoria Hance – Chair of Governors

Governor

The notes form part of these financial statements

Page 9

LEEHURST SWAN LIMITED ( A COMPANY LIMITED BY GUARANTEE)

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 AUGUST 2020

Notes
Net cash flow from
operating activities
1
Cash flows from investing activities:
Purchase of tangible assets
Sale of tangible assets
Net cash (used in) investing activities
Cash flows from financing activities:
Loan repayments
Net cash (used in) financing activities
Net increase in cash and cash equivalents
Cash and cash equivalents at 1 September 2019
Cash and cash equivalents at 31 August 20202		 2020
£
(30,210)
(13,976)
1,000
(12,976)
(114,915)
(114,915)
(158,101)
749,143
591,042		 2019
£
29,437
(30,011)
-
(30,011)
(71,385)
(71,385)
(71,959)
821,102
749,143

The notes form part of these financial statements

Page 10

( A COMPANY LIMITED BY GUARANTEE)

LEEHURST SWAN LIMITED

NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 31 AUGUST 2020

1. RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH INFLOW FROM OPERATING ACTIVITIES

Net incoming resources
Depreciation charges
(Profit)/Loss on disposal of asset
(Increase) in debtors
(Decrease) in creditors
Net cash provided by operating activities
2.
ANALYSIS OF CASH AND CASH EQUIVALENTS


Cash at bank and in hand
Overdraft facility repayable on demand		 2020
£
1,384
133,293
(535)
(14,048)
(150,304)
(30,210)
2020

£
641,449
(50,407)
591,042		 2019
£
31,132
139,932
490
(20,669)
(121,448)
29,437
2019
£
751,616
(2,473)
749,143

The notes form part of these financial statements

Page 11

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

1. ACCOUNTING POLICIES

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

General information and basis of preparation

Leehurst Swan Limited is a company limited by guarantee incorporated and registered in England and Wales. The school constitutes a Public Benefit Entity as defined by FRS 102. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) (effective 1 January 2015) – (Charities SORP 2015 (FRS 102)), the Charities Act 2011 and the Companies Act 2006.

The financial statements are prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The financial statements are prepared in Sterling (£) which is the functional currency of the charitable company.

Funds

The School’s funds consist of unrestricted and restricted amounts. The School may use unrestricted amounts at its discretion. Designated funds comprise unrestricted funds that have been set aside for particular purposes. Restricted funds can only be used for a particular purpose as specified by the donor.

Incoming resources

The income and net incoming resources are attributable to the one principal activity of the charitable company.

Fees and similar income

Fees receivable and charges for services and use of premises are accounted for in the period in which the service is provided. Fees receivable are stated after deducting allowances, scholarships and other remissions allowed by the school.

Donations, legacies and fund accounting

Donations and legacies received for the general purposes of the school are included as unrestricted funds. Donations and legacies for activities restricted by the wishes of the donor are taken to “restricted funds” where these wishes are legally binding on the Governors.

Expenditure

All expenditure is included on an accruals basis and is recognised when there is a legal obligation to pay for expenditure. All costs have been directly attributed to one of the functional categories of resources expended in the SOFA. The irrecoverable element of VAT is included with the item of expense to which it relates.

Tangible fixed assets

Expenditure on fixed assets is capitalised except for expenditure incurred on the replacement of assets of low value with a short life. Repair, renovation and replacement expenditure is written off as expenditure in the statement of financial activities. The cost of fixed assets is their purchase cost, together with any incidental costs of acquisition. Depreciation is calculated to write off the cost of tangible fixed assets, less their estimated residual values, over the expected useful lives of the assets concerned. The principal annual rates used for this purpose are:

Land
 - not depreciated
Freehold property - between 2% and 10% on cost
Fixtures and fittings - 20% on reducing balance or 33.33% on cost
Motor vehicles - 25% on reducing balance

Page 12

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

Pension costs

The School’s teaching staff have the option to be members of a pension scheme which is operated by the Teachers’ Pensions Scheme. This is a multi-employer pension scheme. It is not possible to identify the School’s share of the underlying assets and liabilities of the scheme on a consistent and reliable basis and therefore, as required by FRS 102, the School accounts for the scheme as if it were a defined contribution scheme. Contributions, which are in accordance with the recommendations of the Government Actuary, are charged in the period in which the salaries to which they relate are payable. For non-teaching staff, the School contributes to a defined contribution group personal pension plan.

Advance fees scheme

The school offers parents the opportunity to pay for tuition fees in advance. The money may be returned subject to specific conditions on receipt of one term’s notice. These fees are treated as deferred income and the fee for each school term is charged against the remaining balance and taken to income.

Debtors

Debtors are measured at their recoverable amount.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Taxation

The company is a registered charity and, as such, is not liable to corporation tax.

Financial instruments

The School only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

Government grants and Covid-19

The charity has received support from the UK Government as part of a package of measures introduced to support businesses during the coronavirus pandemic. Government grants are recognised in the financial statements in the period in which they become receivable.

2.
FEES
Fees receivable consist of:
Gross fees
Less: Total bursaries, grants and allowances
3.
SUNDRY AND OTHER INCOME
Lettings
Sundry income
Coronavirus Job Retention Scheme		 2020
£
2,724,917
(606,035)
2,118,882
2020
£
27,255
37,593
32,328
97,176		 2019
£
2,830,757
(452,206)
2,378,551		 2019
£
2,830,757
(452,206)
2,378,551
2019
£
38,655
34,561
-
73,216

Page 13

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

4. STAFF COSTS

Wages and salaries
Social security costs
Other pension costs		 2020
£
1,255,469
106,684
240,767
1,602,920		 2019
£
1,428,536
122,114
200,371
1,751,021

The average number of employees during the year, calculated on a full time equivalent basis, was as follows:

2020 2019
Teaching 31 35
Non teaching 7 9
38 44

During the year there were termination payments made which amounted to £Nil (2019 - £53,658).

None of the governors, nor persons connected with them received any remuneration or other material benefits from the school or any connected organisation. During the year, one governor received travelling expenses of £Nil (2019: One Governor - £658).

The key management personnel of the school comprise the Governors, the Head and the Bursar. The total remuneration of the key management personnel was £111,210 (2019 - £128,606).

The number of employees whose emoluments exceeded £60,000 were:

£60,001 - £70,000 - 1
£70,001 - £80,000 1 1
The number of higher paid staff to whom retirement benefits were accruing
was as follows: 2020 2019
Defined benefit schemes 1 1
5. NET OUTGOING RESOURCES
Net outgoing resources are stated after charging: 2020 2019
£ £
Depreciation - owned assets 133,293 139,933
Operating lease rentals 7,289 -
Auditors' remuneration - for audit 10,200 7,800
- previous year audit under provided fee 2,400 -
- for other services 2,774 2,676

Page 14

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

6. ANALYSIS OF EXPENDITURE

Charitable activities:
School operating costs:
Teaching costs
Premises
Support costs of schooling
Governance costs
Finance and other costs
Total resources expended
7. TANGIBLE FIXED ASSETS
COST:
At 1 September 2019
Additions
Disposals
At 31 August 2020
DEPRECIATION:
At 1 September 2019
Charge for year
Eliminated on disposal
At 31 August 2020
NET BOOK VALUE:
At 31 August 2020
At 31 August 2019		 Staff costs
£
1,398,055
76,043
128,822
1,602,920
-
1,602,920
-
1,602,920		 Other
£
73,246
209,000
118,653
400,899
15,374
416,273
63,761
480,034
Freehold
property
£
5,786,169
-
-
5,786,169
1,542,982
106,182
-
1,649,164
4,137,005
4,243,187		 Depreciation
£
18,438
106,182
8,673
133,293
-
133,293
-
133,293
Fixtures
and fittings
£
360,415
13,975
(3,050)
371,340
261,539
26,340
(3,050)
284,829
86,511
98,876		 2020
Total
£
1,489,739
391,225
256,148
2,137,112
15,374
2,152,486
63,761
2,216,247
Motor
vehicles
£
35,650
-
(12,635)
23,015
32,102
771
(12,170)
20,703
2,312
3,548		 2020
Total
£
1,489,739
391,225
256,148
2,137,112
15,374
2,152,486
63,761
2,216,247
Motor
vehicles
£
35,650
-
(12,635)
23,015
32,102
771
(12,170)
20,703
2,312
3,548

2019
Total
£
1,576,165
433,269
348,540
23,015
32,102
771
(12,170)
20,703
2,312
3,548

The cost of freehold property includes land of £319,408 which is not being depreciated.

Page 15

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

8.
DEBTORS: AMOUNTS FALLING
DUE WITHIN ONE YEAR
Trade debtors
Other debtors
9.
CREDITORS: AMOUNTS FALLING
DUE WITHIN ONE YEAR
Bank loans and overdrafts (see note 12)
Deferred income (fees paid in advance)
Autumn 2020 fees
Advance fees scheme (see note 17)
Other creditors
Accrued expenses
10.
CREDITORS: AMOUNTS FALLING
DUE AFTER MORE THAN ONE YEAR
Bank loans (see note 12)

Fee deposits
Advance fees scheme (see note 17)
11.
OBLIGATIONS UNDER LEASING AGREEMENTS
The total future minimum payments due on leases expiring:
Motor Vehicles
Expiring:
Between one and five years		 2020
£
62,452
41,369
103,821
2020
£
187,733
254,554
23,400
63,163
21,105
549,955
2020
£
1,143,348
40,240
41,719
1,225,307
2020
£
27,477		 2019
£
58,102
31,671
89,773
2019
£
155,350
346,777
26,429
56,687
50,194
635,437
2019
£
1,242,713
53,000
61,398
1,357,111
2019
£
-

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LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

12 . LOANS AND OVERDRAFTS

An analysis of the maturity of loans and overdrafts is given below:


Amounts falling due within one year or on demand:
Bank overdraft
Bank loan
Amounts falling due between one and two years:
Bank loan – 1-2 years
Amounts falling due between two and five years:
Bank loan – 2-5 years
Amounts falling due over five years:
Bank loan – over 5 years		 2020
£
50,407
137,326
187,733
137,326
411,978
594,044

There are three bank loans, all repayable by instalments over 20 years. One loan is repayable at a fixed interest rate of 5.5% per annum and the other two loans at base rate + 3% per annum.

13. SECURED DEBTS

The following secured debts are included within creditors:

2020 2019
£ £
Bank loans 1,280,674 1,395,589

The bank loans are secured by a first legal charge over the freehold property of the School.

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LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

14. PENSION COMMITMENTS

The company makes contributions to a defined benefit scheme operated by Teachers' Pensions on behalf of some of the teaching staff. The company also makes contributions to money purchase pension schemes on behalf of non-teaching staff.

The total pension cost for the school was £219,098 (2019 - £200,371) of which £51,933 (2019 - £48,232) relates to the money purchase pension scheme.

Teachers’ Pension Scheme

The School participates in the Teachers' Pension Scheme (England and Wales) ("the TPS") for its teaching staff. The pension charge for the year includes contributions payable to the TPS of £167,165 (2019: £152,139).

The TPS is an unfunded multi-employer defined benefits pension scheme governed by The Teachers’ Pensions Regulations 2010 (as amended) and The Teachers’ Pension Scheme Regulations 2014 (as amended). Members contribute on a “pay as you go” basis with contributions from members and the employer being credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.

The employer contribution rate is set by the Secretary of State following scheme valuations undertaken by the Government Actuary’s Department. The most recent actuarial valuation of the TPS was prepared as at 31 March 2016 and the Valuation Report, which was published in March 2019, confirmed that the employer contribution rate for the TPS would increase from 16.4% to 23.6% from 1 September 2019. Employers are also required to pay a scheme administration levy of 0.08% giving a total employer contribution rate of 23.68%.

The 31 March 2016 Valuation Report was prepared in accordance with the benefits set out in the scheme regulations and under the approach specified in the Directions, as they applied at 5 March 2019. However, the assumptions were considered and set by the Department for Education prior to the ruling in the ‘McCloud/Sargeant case’. This case has required the courts to consider cases regarding the implementation of the 2015 reforms to Public Service Pensions including the Teachers’ Pensions.

On 27 June 2019 the Supreme Court denied the government permission to appeal the Court of Appeal’s judgment that transitional provisions introduced to the reformed pension schemes in 2015 gave rise to unlawful age discrimination. The government is respecting the Court’s decision and has said it will engage fully with the Employment Tribunal as well as employer and member representatives to agree how the discriminations will be remedied.

The TPS is subject to a cost cap mechanism which was put in place to protect taxpayers against unforeseen changes in scheme costs. The Chief Secretary to the Treasury, having in 2018 announced that there would be a review of this cost cap mechanism, in January 2019 announced a pause to the cost cap mechanism following the Court of Appeal’s ruling in the McCloud/Sargeant case and until there is certainty about the value of pensions to employees from April 2015 onwards.

In view of the above rulings and decisions the assumptions used in the 31 March 2016 Actuarial Valuation may become inappropriate. In this scenario, a valuation prepared in accordance with revised benefits and suitably revised assumptions would yield different results than those contained in the Actuarial Valuation.

Until a remedy to the discrimination conclusion has been determined by the Employment Tribunal it is not possible to conclude on any financial impact or future changes to the contribution rates of the TPS. Accordingly no provision for any additional past benefit pension costs is included in these financial statements.

Page 18

LEEHURST SWAN LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020

15. COMPANY STATUS

The company is limited by guarantee and has no share capital. The company is registered in England. The liability of the members in the event of a winding up is limited by guarantee to an amount not exceeding £2 per member. At the balance sheet date there were 10 members (2019 – 8).

16. ALLOCATION OF THE CHARITY NET ASSETS

The net assets are held for the various funds as follows:

Fixed
Net current Long term
assets
assets liabilities
£ £ £
Unrestricted funds
4,225,828
229,641
(1,259,633)
Restricted funds
-
-
-
4,225,828
229,641
(1,259,633)
DVANCE FEE PAYMENTS
2020
£
Assuming pupils will remain in the school, advance fees will be applied as follows:
Within 2 to 5 years
41,719
41,719
Within 1 year (included in deferred income)
23,400
65,119
£
Balance at 1 September 2019
87,827
Advances in the year
-
Amounts utilised in payment of fees
22,708
Balance at 31 August 2020
65,119		 Total
£
3,195,836
-
3,195,836
2019
£
61,398
61,398
26,429
87,827
£
108,113
-
20,286
87,827		 Total
£
3,195,836
-
3,195,836
2019
£
61,398
61,398
26,429
87,827
£
108,113
-
20,286
87,827
61,398
26,429
87,827
£
108,113
-
20,286
87,827

17. ADVANCE FEE PAYMENTS

Page 19