Lilian Baylis Technology...
Transcript of Lilian Baylis Technology...
02/05/17 DRAFT
Lilian Baylis Technology School
Annual Report and Financial Statements
2015/16
Contents DRAFT
LILIAN BAYLIS TECHNOLOGY SCHOOL
Reports
Reference and administrative information 1
Governors’ report 2
Governance statement 9
Statement of regularity, propriety and
compliance
Statement of governors’ responsibilities
Independent auditor’s report on the
financial statements
Independent reporting accountant’s
report on regularity
Financial statements
Statement of financial activities 13
Balance sheet 14
Cash flow statement 15
Principal accounting policies 16
Notes to the financial statements 17
Reference and administrative information DRAFT
Lilian Baylis Technology School 1
Governors
Martin Ripley
Teresa Clay
Rao Bhamidimarri
Alan Kennedy
David Smith
Fatima Vepari
Janet Benjamin
John Citron
Karan Mangroo
Marie Peries
Victoria Sherwin
Vivienne Hayes
Sharon Hunt
Janine Knight
Christopher Charles
Jordan Crawford
Richard Pone
Christopher Toye
Gary Phillips
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3
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2
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4
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5
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x-officio
Key 1 Copted Governor, 2 Parent Governor, 3 LA
Governor, 4 Associate Governor, 5 Staff
Governor
Clerk Mark Stuter
Senior Team:
Headteacher
Deputy Head: Inclusion
Deputy Head: Curriculum
Deputy Head: 6th
Form
Acting Deputy Head: Achievement
Senior Assistant Head: 6th
Form
Assistant Headteacher: KS3
Assistant Head: Business &
Finance
Gary Phillips
Elga Stuck
Su Wardrop
Karen Camberlain
Marie Nassor
Jon Wilson
Ben Wright
Edna Dwomoh
Registered address Lilian Baylis Technology School
323 Kennington Lane
London
SW11 5QY
Governors’ report 31 March 2016 DRAFT
Lilian Baylis Technology School 2
The Governors of Lilian Baylis Technology School (‘the School’) present their report
together with the financial statements for the year ended 31 March 2016. The annual report
serves the purposes of both a trustee’ report and a directors’ report under company law.
STRUCTURE, GOVERNANCE AND MANAGEMENT (continued)
Governors
The following Governors were in office at 31 March 2016 and served throughout the year
except where shown.
Governor
Appointed
Appointment Expires/Expired
Rao Bhamidimarri (Chair of Governors)
29 January 2015 28 January 2019
Janet Benjamin 19 May 2014 18 May 2018
Pamela Calder 29 January 2015 28 January 2019
John Citron 29 January 2015 28 January 2019
Teresa Clay 29 January 2015 28 January 2019
Vivienne Hayes 29 January 2015 28 January 2019
Sharon Hunt 29 January 2015 28 January 2019
Alan Kennedy 29 January 2015 28 January 2019
Karan Mangroo 29 January 2015 28 January 2019
Marie Peries 29 January 2015 28 January 2019
Martin Ripley 29 January 2015 28 January 2019
Victoria Sherwin 1 November 2013 31 October 2017
David Smith 30 September 2014 29 September 2018
Fatima Vepari 29 January 2015 28 January 2019
Gary Phillips (Headteacher) Ex-Officio
Method of recruitment and appointment or election of governors
The method of recruitment or election of Governors is detailed in the School’s Funding
Agreement.
The Governing Board comprise of up to 20 governors who may be appointed as follows:
1 LA Governor
12 Co-opted Governors
2 Parent Governors – who are elected by the parents of the School.
2 Staff Governors – including the Headteacher (ex-officio).
Governors’ report 31 March 2016 DRAFT
Lilian Baylis Technology School 3
STRUCTURE, GOVERNANCE AND MANAGEMENT (continued)
There can also be up to 3 Associate Governors appointed by the Governing Board.
Associate Governors contribute to meetings but are non-voting members.
All Governors serve a term of office of 4 years, save as varied by the initial resolution
detailed above.
Review of Governance The Governing Body resolved to have a full external review of Governance in 2016-17.
Policies and procedures adopted for the induction and training of governors
There is a full programme of training for governors led by Lambeth Council. Governor
training and development is a standing item on Full Governing Board agendas and
Governors may attend the Governor Training Programme administered by the London
Borough of Lambeth. The School has National Governors’ Association Gold Membership
and governors can access training through this route. Furthermore, annual reviews are
carried out to highlight any further training and development needs.
Organisational structure
The structure is the Governing Board, Headteacher and Senior Management Team of Lilian
Baylis Technology School. The Governors have strategic oversight and the Headteacher,
along with the Senior Management Team, is responsible for the strategic and operational
leadership and management of the School
The senior management team structure in place for the year consisted of a Headteacher, 2
Deputy Heads, an Acting Deputy Head, a Senior Assistant Head, an Assistant Headteacher:
KS3 and an Assistant Headteacher: Business and Finance. The aim of the Senior
Management Team structure was to devolve responsibility, increase accountability and
encourage decision making at all levels. The Senior Management Team is responsible for
delivering the approved strategic actions in the School Improvement.
Connected organisations, including related party relationships
The school is a lead partner in the Lambeth Teaching School and receives grants to carry
out a number of activities.
Governors’ report 31 March 2016 DRAFT
Lilian Baylis Technology School 4
OBJECTIVES AND ACTIVITIES
Objects and aims
The main objectives of the school during the year ended 31 March 2016 are summarised
below:
To ensure equality through action
To maximise the achievement of all students
Learning through a broad, balanced, relevant and personalised curriculum
To develop the self-confidence and identity of all our students
To develop, responsible and considerate citizens
To provide a secure and stimulating environment
An active partnership with parents and the wider community
The school’s stated aims are:
LBTS will be the first choice for the local community because it meets the needs of all its students. In order to do this we will continue to:
Develop our curriculum to ensure that all students follow a curriculum which meets their individual needs. In particular we want to create a more engaging Y7/8 curriculum so that students are motivated to achieve at KS4.
Continue to develop our distinctive LBTS teaching methodology by understanding the variety of different ways students learn, better use of assessment and by making good use of new technologies.
Enhance our support for students and families who need additional support through partnership with other organisations.
Students will leave LBTS with a strong ambition and the capacity to achieve it. They will look back at their time at LBTS knowing it has transformed their life chances
Public benefit
The School is a comprehensive school and offers places equally in five ability bands in the
Secondary Phase (fair banding) and is over-subscribed. The main oversubscription criteria
relate to children looked after, those with a brother or sister in the school or expected to be
on the School roll at the time of admission, exceptional social or medical need and those
living closest to the School measured by the shortest lit walking route.
STRATEGIC REPORT
Review of activities
The Ofsted Inspection of 2013 had the following priorities:
Enable a higher proportion of students to make consistently outstanding progress across all subjects by ensuring that:
- teachers’ marking always gives precise guidance on how students can improve their work
- students are given further opportunities to use their own initiative in lessons and develop their independence as learners.
Governors’ report 31 March 2016 DRAFT
Lilian Baylis Technology School 5
The School Improvement Plan for the year to 31 March 2016 prioritised progress for groups
who had not made good progress in the previous year. The priorities for Teaching and
Learning were increased challenge and the development of ‘Lilian Baylis Learning Power’
(our subject mastery programme). The focus for attendance and punctuality was to further
reduce the number of students who are persistently absent.
The development of teaching focused on the continued development of our LBTS teaching
methodology. The observation programme for the year indicated that the quality of teaching
in school was very strong. The professional development of all staff remained a key priority
and a large number are supported in following post graduate or similar programmes of
study.
The school’s first School Direct Trainee completed his school based Initial Teacher Training.
The development and training of new and early career teachers is a priority for the school.
The school has a comprehensive self-evaluation process in place which is supported by the
Lambeth Council School Improvement Partner who visits each term. This was further
supplemented by work with other schools, an Ofsted Registered HMI and Additional
Inspectors to gain a broad independent evaluation of the school’s performance. All the
information pointed to the quality of provision in the school being outstanding.
Like many schools nationality, the school experienced some turbulence in examination
outcomes for 2015/16 as there has been considerable change to the examination system
and the GCSE results for 2016 are therefore not directly comparable with 2015.
Examination results for 2015/2016 were as follows:
GCSE 2016 5A*-C 72% 5A*-C (E/M) 60% 5 A*-G 100% English Baccalaureate 28% A Level A*-B 44% A*-C 74% A*-E 98%
Governors’ report 31 March 2016 DRAFT
Lilian Baylis Technology School 6
Review of activities (continued)
The results were extremely good by most measures. The Y11 results resulted in a progress
8 score of 0.53 and most attainment data was at or able national averages even though the
intake was significantly below national averages.
In LBTS6 the value added in A levels (0.4) and BTECs (0.92) was good with attainment at
or close to national averages except for the very highest grades at A level.
Going concern
After making appropriate enquiries, the governing body has a reasonable expectation that
the School has adequate resources to continue in operational existence for the foreseeable
future. For this reason it continues to adopt the going concern basis in preparing the
financial statements.
Key financial performance indicators
The key financial performance indicator for the School was to maintain the current level of
educational provision whilst maintaining an in-year operating surplus. The financial
performance is covered in detail under the Financial Review. This key indicator was met in
the year to 31 March 2016.
Financial review
Financial report for the year
In the year to 31 March 2016 the School delivered an in-year surplus of £109,675 (2015 -
£341,132).The restricted general fund shows a cumulative balance carried forward of
£1,401,510 (2015 - £1,291,835).
Most of the School’s income is obtained from the Local Authority in the form of recurrent
grants the use of which is restricted to furthering the education of LBTS students. The
grants received during 2015/16 and the associated expenditure are shown as restricted
funds in the SOFA. The income received from all sources totalled £7,573,202 (2015 -
£7,408,226). Total expenditure was £7,463,527 (2015- £7,067,094).The school held
reserves of £1,401,510 in the Restricted fund as at 31 March 2016.
Governors have monitored the budget through the year and are satisfied with the in-year
surplus and level of reserves held. They are keen to ensure adequate resources are made
available to maintain and improve the education achievement of the students in the school.
The SOFA is on page 16 of these financial statements and the Balance Sheet is on page
17.
Governors’ report 31 March 2016 DRAFT
Lilian Baylis Technology School 7
STRATEGIC REPORT (continued)
Financial and risk management objectives and policies
Risks are defined as uncertain future events that might prevent the school from achieving its
objectives. The governing body therefore ensures that it has in place the means to identify,
analyse, control and monitor the strategic and operational risks it faces through its Fraud
Policy, Risk Register and Critical Incident Plan.
Reserves policy
The policy of the School is to carry forward a prudent level of resources designed to meet
the long term cyclical needs (including ICT procurement) and other unforeseen
contingencies. In particular the school has resolved to use revenue reserves to further
support attainment in the school.
Governors are aware of a number of future financial uncertainties including national funding
levels (including SEN and post 16) and additional resources required whilst the school
grows. They believe that a cautious approach to reserves is currently required.
Governors regularly review the reserves of the School and consider them to be sufficient for
the future needs of the School.
Financial review (continued)
Investment policy
The School’s revenue reserve is subject to the oversight of the Local Authority. Governors
receive regular reports in relation to cash flow and reserves.
Principal risks and uncertainties
Governors have assessed the key risks to which the School is exposed, in particular those
relating to the specific teaching, provision of facilities and other operational areas of the
School and its finances. Governors have implemented a number of systems to assess risks,
especially those relating to teaching, health and safety and school visits and in relation to
the control of finance. Governors have introduced a range of policies and procedures, such
as vetting new employees and volunteers, security of the School site, visitor control and
internal financial controls in order to minimise risk. Governors have also ensured that they
have adequate insurance cover and are satisfied that the systems in place are consistent
with Lambeth Council guidelines.
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Lilian Baylis Technology School 8
STRATEGIC REPORT (continued)
The School has developed a Fraud Policy, Risk Register and Critical Incident Plan which
are regularly reviewed by Governors. These provide a formal process to assess financial
and business risks and implement risk management strategies. This has involved identifying
the types of risks the School faces, scoring and prioritising them in terms of their potential
operational and financial impact, assessing the likelihood of occurrence and identifying ways
to mitigate risks. The School’s main risks are:
Reduction in funding through policy and formula changes. For example High Needs and
Post 16 Funding.
The risks associated with changes to assessment, specifically at GCSE and A level.
The governors are aware of the current uncertainty around school funding as the new
formulae including Post 16 funding and SEN funding take effect. They aim to set in-year
balanced budgets in as far as is possible. In the event that an in-year deficit budget is set,
governors will look at the 3-year projections in order to ascertain overall sustainability.
FUTURE ACTIVITIES AND PLANS
The school will continue to develop its partnerships with other schools through the work of
the Teaching School and other partners.
Internal Audit
Insofar as the governors are aware:
there is no relevant audit information of which the LA’s auditor is unaware; and
the governors have taken all steps that they ought to have taken to make themselves
aware of any relevant audit information and to establish that the LA is aware of that
information.
Governors’ report, incorporating a strategic report, approved by order of the members of the
Governing Body and signed on their behalf by:
Martin Ripley
Chair of the Governing Body
Date:
Governance Statement 31 August 2015 DRAFT
Lilian Baylis Technology School 9
Scope of responsibility
As governors, we acknowledge we have overall responsibility for ensuring that Lilian Baylis
Technology School has an effective and appropriate system of control, financial and
otherwise. However such a system is designed to manage rather than eliminate the risk of
failure to achieve business objectives, and can provide only reasonable and not absolute
assurance against material misstatement or loss.
The governing body have delegated the day-to-day responsibility to the Headteacher, as
Accounting Officer, for ensuring financial controls conform with the requirements of both
propriety and good financial management and in accordance with the requirements and
responsibilities assigned to it by the Local Authority. The Headteacher is also responsible
for reporting to the governing body any material weaknesses or breakdowns in internal
control.
Governance
The information on governance included here supplements that described in the governors’
report and in the statement of governors’ responsibilities. The governing body has formally
met 3 times during the year. Attendance during the year at meetings of the governing body
was as follows:
Governor
Number of meetings attended
Out of a possible
Rao Bhamidimarri (Chair of Governors) 3 3
Janet Benjamin 1 3
Pamela Calder 2 3
Teresa Clay 3 3
John Citron 2 3
Barbara Ferramosca 1 3
Vivienne Hayes 1 3
Sharon Hunt 3 3
George Kalorkoti 0 3
Alan Kennedy 2 3
Karan Mangroo 0 3
Marie Peries 3 3
Martin Ripley 3 3
Victoria Sherwin 0 3
David Smith 2 3
Fatima Vepari 1 3
James Volkelt-Igoe 1 3
Gary Phillips (Headteacher) 3 3
Governance Statement 31 August 2015 DRAFT
Lilian Baylis Technology School 10
Governance (continued)
Governance reviews
In 2013, Ofsted judged governance to be outstanding. Nevertheless, governors had
already started a comprehensive review of governance to ensure that the board was
sufficiently skilled and that the committee structure was suitable for the demands of
modern governance.
The Finance and General Purposes Committee is a committee of the main governing body.
The purpose is to act on behalf of the full Governing Body and make decisions on its behalf
in order to ensure the effective and efficient use of financial and physical resources and
services that underpin achievement and standards. In addition to regular financial
monitoring, the committee reviewed systems in place for academy status and responded to
government consultations on school funding.
Attendance at Finance and General Purposes Committee meetings in the year was as
follows:
Governor
Number of meetings attended
Out of a possible
David Smith (Chair) 3 3
Pamela Calder 3 3
Teresa Clay 0 3
Gary Phillips (Headteacher) 2 3
Review of value for Money
As accounting officer the Headteacher has responsibility for ensuring that the school
delivers good value in the use of public resources. The accounting officer understands that
value for money refers to the educational and wider societal outcomes achieved in return for
the taxpayer resources received.
The accounting officer considers how the trust’s use of its resources has provided good
value for money during the financial year, and reports to the board of trustees where value
for money can be improved, including the use on benchmarking data where available. The
accounting officer for the school has delivered and improved value for money during the
year by:
Improving Educational Outcomes
We have ensured that resources are directed where they are most needed and most
effective in meeting educational requirements, for example by:
Targeting resources (including staffing) in key areas.
Monitoring the needs of particular pupils and targeting appropriate support.
Monitoring staff performance through appraisal.
Governance Statement 31 August 2015 DRAFT
Lilian Baylis Technology School 11
Financial Governance
The school’s governance arrangements include regular financial monitoring and the
management accounts are produced on a monthly basis.
Staffing
Staff costs are the major area of expenditure for the school and great care is given to
ensuring that the staffing structure is appropriate, effective and cost effective. Benchmarking
indicates that overall staff costs are just above the sector average, however the positive
outcomes for students show that this is targeted effectively.
The purpose of the system of internal control
The system of internal control is designed to manage risk to a reasonable level rather than
to eliminate all risk of failure to achieve policies, aims and objectives; it can therefore only
provide reasonable and not absolute assurance of effectiveness. The system of internal
control is based on an ongoing process designed to identify and prioritise the risks to the
achievement of the School’s policies, aims and objectives, to evaluate the likelihood of
those risks being realised and the impact should they be realised, and to manage them
efficiently, effectively and economically. The system of internal control has been in place at
the School for the year ended 31 March 2016 and up to the date of approval of the annual
report and financial statements.
Capacity to handle risk
The governing body has reviewed the key risks to which the School is exposed together
with the operating, financial and compliance controls that have been implemented to
mitigate those risks. The governing body is of the view that there is an ongoing process for
identifying, evaluating and managing the School’s significant risks that has been in place for
the year ended 31 March 2016 and up to the date of approval of the annual report and
financial statements. This process is regularly reviewed by the governing body.
The risk and control framework
The School’s system of internal financial control is based on a framework of regular
management information and administrative procedures including the segregation of duties
and a system of delegation and accountability. In particular, it includes:
comprehensive budgeting and monitoring systems with an annual budget and
periodic financial reports which are reviewed and agreed by the governing body;
regular reviews by the finance and general purposes committee of reports which
indicate financial performance against the forecasts and of major purchase plans,
capital works and expenditure programmes;
setting targets to measure financial and other performance;
clearly defined purchasing (asset purchase or capital investment) guidelines;
delegation of authority and segregation of duties;
Governance Statement 31 August 2015 DRAFT
Lilian Baylis Technology School 12
identification and management of risks.
The governing body reviews the reports produced by the schools accountant on a
termly basis. The Headteacher receives monthly management accounts from the
schools accountant. The school is subject to the LA’s internal audit regime and was last
visited in January 2015 when the school was assessed as Medium Risk. The matters
raised in the report have all been resolved.
Review of effectiveness
As Accounting Officer, the Headteacher has responsibility for reviewing the effectiveness of
the system of internal control. During the year in question, the review has been informed by:
the work of the schools accountant
the work of the finance team
the financial management and governance self assessment process;
The Accounting Officer has been advised of the implications of the result of their review of
the system of internal control by the General Purposes Committee and a plan to ensure
continuous improvement of the system is in place.
Approved by order of the Governing Body and signed on their behalf by:
Martin Ripley Gary Phillips
(Chair of Governing Body) (Headteacher)
Approved on:
Statement of Financial Activities as at 31 August 2015
DRAFT
Lilian Baylis Technology School 13
Un-restricted
general fund
£
Restricted funds
Year to 31 March
2016 Total
funds £
Year to 31 March 2015 Total funds
£ Notes
EFA £
Other £
Fixed assets
fund £
Incoming resources
Incoming resources from generated funds
. Voluntary income 1 - - - -
. Activities for generating funds
2
-
-
-
-
. Investment income 3 - - - -
Incoming resources from charitable activities
. Funding for the School’s educational operations
4
-
7,573,202
-
-
7,573,202
7,408,226
Total incoming resources 0 7,573,202 0 0 7,573,202 7,408,226
Resources expended
Cost of generating funds:
. Cost of generating voluntary income
-
-
-
-
-
Charitable activities
. School’s educational operations
6
7,463,527
7,463,527
7,067,094
Governance costs 7 - -
Total resources expended 5 0 7,463,527 0 0 7,463,527 7,067,094
Net (outgoing) incoming resources before transfers
109,675 109,675 341,132
Gross transfers between funds 14 - - - - - -
Net (expenditure) income for the year
0 109,675
0
-
0
109,675 341,132
Other recognised gains and losses
Actuarial (losses) gains on defined benefit pension scheme
22
-
-
-
-
-
Net movement in funds 0 109,675 0 0 109,675 341,132
Reconciliation of funds
Fund balances brought forward at 1 September 2014
0
1,291,835
0
0
1,291,835
950,703
Fund balances carried forward at 31 March 2015
0
1,401,510
0
0
1,401,510
1,291,835
All of the School’s activities derive from continuing operations in the above two financial periods.
A separate Statement of Total Recognised Gains and Losses is not required as all gains and losses are
included in the Statement of Financial Activities.
Balance Sheet as at 31 August 2015
DRAFT
Lilian Baylis Technology School 14
Notes
2016 £
2016 £
2015 £
2015 £
Current assets
Debtors 12 322,039 4,940
Cash at bank and in hand 2,300,369 2,607,140
2,622,408 2,612,080
Creditors: amounts falling due
within one year
Deferred Income
13
874,584
346,314
1,320,245
0
Net current assets
1,220,898
1,401,510
1,320,245
1,291,835
Funds of the School
Restricted General Fund 14 1,401,510
1,291,835
The financial statements on page 13 to 17 were approved by the Governors, and authorised
for issue on [ ] and are signed on their behalf by:
Martin Ripley
Chair of Governors
Cash flow statement 31 August 2015 DRAFT
Lilian Baylis Technology School 15
Notes
Year to 31 March
2016 £
Year to 31 March 2015
£
Net cash (outflow) inflow from operating activities 17 (306,771) (168,682)
Returns on investment and servicing of finance 18 0
Capital expenditure that has been capitalised 19 0
Decrease in cash in the period (306,771) (168,682)
Reconciliation of net cash flow to movement in net funds:
Net funds at 31 March 2015 2,607,140 2,775,822
Net funds at 31 March 2015 2,300,369 2,607,140
All of the cash flows derived from continuing operations in the above two financial periods.
Notes to the Financial Statements 31 March 2016 DRAFT
Lilian Baylis Technology School 16
Basis of Preparation
The financial statements have been prepared on an accruals basis. All expenditure on
Fixed Assets is written off in the year of purchase. A summary of the principal accounting
policies, which have been applied consistently is set out below.
Going Concern
The governors assess whether the use of going concern is appropriate i.e. whether there
are any material uncertainties related to events or conditions that may cast significant
doubt on the ability of the company to continue as a going concern. The governors make
this assessment in respect of a period of one year from the date of approval of the
financial statements.
Incoming Resources
All incoming resources are recognised when the School has entitlement to the funds, and
where certainty of receipt and the amount can be measured with sufficient reliability.
Grants receivable
All grants are included in the Statement of Financial Activities on a receivable basis. The
balance of income received for specific purposes but not expended during the year is
shown in the relevant funds on the balance sheet. Where income is received in advance of
entitlement of receipt its recognition is deferred and included in creditors as deferred
income. Where entitlement occurs before income is received, the income is accrued.
Budget Share is recognised in full in the year for which it is receivable and any unspent
amount is reflected as a balance in the restricted general fund. Capital grants are
recognised when receivable and are taken as Income in the year they are due.
Donations
Donations are recognised on a receivable basis where there is certainty of receipt and the
amount can be reliably measured.
Other income
Other income is recognised in the period it is receivable.
Gifts in kind
The value of gifts in kind provided to the School are recognised at a valuation attributed by
the governors in the period in which they are receivable as incoming resources, where the
benefit to the School can be reliably measured.
Resources Expended
All expenditure is recognised in the period in which a liability is incurred and has been
classified under headings that aggregate all costs related to that category.
Notes to the Financial Statements 31 March 2016 DRAFT
Lilian Baylis Technology School 17
Charitable activities
These are costs incurred on the School’s educational operations.
Taxation
The School is considered to pass the tests set out in Paragraph 1 Schedule 6 of the
Finance Act 2010 and therefore it meets the definition of a charitable company for UK
corporation tax purposes.
Fund Accounting
Unrestricted income funds represent those resources which may be used towards meeting
any of the charitable objects of the School at the discretion of the governors.
Restricted EFA/DfE funds comprise all other grants received from the Education Funding
Agency/Department for Education via the Local Authority.
1 Voluntary income
No income was identified as Voluntary Income in the year to 31 March 2016. Activities for
generating funds
2 Investment income
No material investment income was received in the year to 31 March 2016.
3 Funding for the School’s educational operations
Unrestricted funds
£
Restricted funds
£
2016 Total funds
£
2015 Total funds
£
DfE / EFA revenue grant
. DfE / EFA and other - 7,573,202 7,573,202 7,408,226
- 7,573,202 7,573,202 7,408,226
Notes to the Financial Statements 31 March 2016 DRAFT
Lilian Baylis Technology School 18
4 Resources expended
Non staff expenditure
2016 Total funds
£
2015 Total funds
£
Staff costs
£
Premises
£
Other costs
£
Charitable activities
. School’s educational operations
4,931,678 294,468 2,237,381 7,463,527 7,067,094
4,931,676 294,468 2,237,381 7,463,527 7,067,094
6 Charitable activities - School's educational operations
2016 Total funds
£
2015 Total funds
£
Direct costs
Teaching and educational support staff costs 4,669,102 4,540,421
Agency teaching and educational support supply costs 0 0
Other Staff 262,577 300,361
Educational supplies 267,764 249,241
Examination fees 113,707 158,099
Staff development and Indirect staff costs 96,825 120,970
Premises costs 294,468 301,902
Other direct costs 1,759,084 1,396,100
7,463,527 7,067,094
7 Governance costs
No costs identified.
8 Staff
(a) Staff costs
Staff costs during the period were:
Unrestricted funds
£
Restricted funds
£
2016 Total funds
£
2015 Total funds
£
Wages and salaries - 4,044,966 4,044,966 4,005,180
Social security costs - 328,095 328,095 331,619
Pension costs - 558,619 558,619 503,983
4,931,679 4,931,679 4,840,782
Notes to the Financial Statements 31 March 2016 DRAFT
Lilian Baylis Technology School 19
(b) Staff numbers
The average numbers of persons (including senior management team) employed by the
School during the period expressed as a full time equivalents was as follows:
Charitable activities
2016 No
2015 No
Teachers 60 59
Administration and support 55 55
Management 8 8
Agency teaching and educational support 1 1
124 123
(c) Higher paid staff
The number of employees whose annual emoluments fell within the following bands was:
2016 No
2015 No
£60,001 - £70,000 2 3
£70,001 - £80,000 5 4
£80,001-£90,000 1 1
£120,001 - £130,000 - -
£130,001-£140,000 - -
Seven of the above employees participated in the Teachers’ Pension Scheme. During the
year ended 31 March 2016 pension contributions for these staff amounted to £87,589
(2015 - £86275). The other employee (2015 – one) participated in the Local Government
Pension Scheme and pension contributions amounted to £10,438 (2015 - £9,548).
9 Governors’ remuneration and expenses
The Headteacher is a governor of the Lilian Baylis Technology School. Elected staff
governors only receive remuneration in respect of services they provide undertaking their
roles as staff and not in respect of their services as governors. Other governors did not
receive any payments, other than expenses, from the school in respect of their role as
governors. The annual value of governors’ remuneration and other benefits was as
follows:
2016 £
2015 £
Gary Phillips - Headteacher
Remuneration £92,099 £91,187
Employer’s pension contributions 15,104 14,954
Barbara Ferramosca
Remuneration 33915 33,400
Employer’s pension contributions 7359 7247
James Volkelt-Igoe staff governor
Remuneration 39,003
Employer’s pension contributions £6396
Jordan Crawford staff governor
Remuneration 32,662 -
Employer’s pension contributions 5,357 -
Notes to the Financial Statements 31 March 2016 DRAFT
Lilian Baylis Technology School 20
The pension contributions for the Headteacher were £15,104 (2015 - £14,954) for the 12
month period.
During the year ended 31 March 2016,no travel and subsistence expenses were
reimbursed to any governor (2015 - £154.25).
Other related party transactions involving the trustees are set out in note 23.
10 Governors’ and Officers’ insurance
In accordance with normal commercial practice the School has purchased insurance to
protect governors and officers from claims arising from negligent acts, errors or omissions
occurring whilst on School business. The insurance provides cover up to £5,000,000 on
any one claim.
11 Debtors
2016 £
2015 £
Trade debtors 60,241 40,710
Prepayments 88,240 84,854
VAT Debtor 116,078 130,741
Other debtors and accrued income 175,521 378,903
440,080 635,208
12 Creditors: amounts falling due within one year
2016 £
2015 £
Trade creditors - 33,295
Creditors relating to undistributed funds 7,312 -
Other taxation and social security 160,895 168,149
Accruals and deferred income 86,189 69,508
254,396 270,952
Deferred Income 2016
£
Deferred Income at 1 September 2014 23,771
Resources deferred in the year 38,596
Amounts released from previous years 23,771
Deferred income at 31 March 2015 38,596
At the balance sheet date the school was holding funds received in advance for Lilian
Baylis TechnologySchool..
13 Funds
Balance at 31 March 2014 £
Incoming resources £
Resources expended £
Gains, losses and transfers £
Balance at 31 March 2015 £
Notes to the Financial Statements 31 March 2016 DRAFT
Lilian Baylis Technology School 21
EFA revenue grant fund
. General Annual Grant (GAG) 139,958 8,987,389 (8,851,220) - 276,127
. Other EFA grants — 668,926 (668,926) -
. Pension reserve (1,609,000) (4,000) (157,000) (107,000) (1,877,000)
(1,469,042) 9,652,315 (9,677,146) (107,000) (1,600,873)
Fixed assets fund
. EFA capital grants 44,991 25,142 (13,939) - 56,194
. Capital grants from Local Authority
1,020,659
105,000
(95,546)
-
1,030,113
. Capital expenditure from GAG
10,589
-
-
-
10,589
. Academy building and furniture and equipment
26,202,570
-
(1,437,687)
-
24,764,883
27,278,809 130,142 (1,547,172) -- 25,861,779
Other funds
. Local Authority grants 275,059 762,570 (762,570) - 275,059
. South Lambeth School Partnership
—
275,059 762,570 (762,570) - 275,059
Total restricted funds 26,084,826 10,545,027 (11,986,888) (107,000) 24,535,965
Unrestricted funds
. Unrestricted funds 1,626,636 440,531 (193,173) - 1,873,994
Total unrestricted funds 1,626,636 440,531 (193,173) 1,873,994
Total funds 27,711,462 10,985,558 (12,180,061) (107,000) 26,409,959
The specific purposes for which the funds are to be applied are as follows:
DfE/EFA revenue grant fund and other restricted funds
The General Annual Grant (GAG) has been provided by the DfE/EFA in order to fund the
normal running costs of the School. Other funding received from the DfE/EFA included the
Pupil Premium, 16-19 Bursary, and a grant for insurance and the sports partnership grant.
The Local Authority provided SEN funding and the balance of funds owing to the School at
conversion.
General Annual Grant (GAG)
Under the funding agreement with the Secretary of State, the School was not subject to a
limit on the amount of GAG that it could carry forward at 31 March 2016
Notes to the Financial Statements 31 March 2016 DRAFT
Lilian Baylis Technology School 22
14 Funds (continued)
Fixed asset fund
Restricted fixed asset funds include devolved formula capital grants provided by the
DfE/EFA for the cost of minor works and ICT and capital replacement. The School also
holds BSF ICT capital funding in cash for future ICT provision. The fund also includes
capitalised assets purchased by the School and the value of capital assets inherited by or
donated to the School.
Pension reserve
The restricted Pension reserve represents the deficit on the School’s share of the Local
Government Pension Scheme as at 31 March 2016.
15 Analysis of net assets between funds
Unrestricted funds
£
Restricted
General Funds
£
Restricted Fixed Asset Fund
£
Total 2016
£
Fund balances at 31 March 2016 are represented by:
Tangible fixed assets 25,011,167 25,011,167
Current assets 1,873,994 805,582 850,612 3,530,188
Current liabilities (254,396) - (254,396)
Pension scheme liability (1,877,000) - (1,877,000)
Total net assets 1,873,994 (1,325,814) 25,861,779 26,409,959
16 Financial Commitments
Operating Leases
As at 31 March 2016 the School had annual commitments under non-cancellable
operating leases as follows:
2016 £
2015 £
Other
Expiring within one year 8,982 —
8,982
.
Notes to the Financial Statements 31 March 2016 DRAFT
Lilian Baylis Technology School 23
17 Reconciliation of net income to net cash inflow from operating activities Year to 31
March 2016
£
Year to 31 March 2015
£
Net income 109,675 341,132
Depreciation (note 11)
Loss on disposal of tangible fixed assets - -
Capital grants from DfE and other capital income
Interest receivable (note 3)
FRS 17 pension cost less contributions payable (note 23)
FRS 17 pension finance income (note 23)
(Increase)/Decrease in debtors (317,099) 144,013
Increase/(Decrease) in creditors (99,347) (653,827)
Net cash inflow from operating activities (306,771) (168,682)
18 Returns on investment and servicing of finance Year to 31
March 2016
£
Year to 31 March 2015
£
Interest received 18,765 9,074
Net cash inflow from returns on investment and servicing of finance 18,765 9,074
19 Capital expenditure and financial investment
Year to 31 March
2016 £
Year to 31 March 2015
£
Capital grants from DfE / EFA 25,142 24,303
Capital funding received from sponsors and others 105,000 137,695
Purchase of Tangible Fixed Assets (91,237) (164,613)
Net cash (outflow)/inflow from capital expenditure and financial investments
38,905
(2,615)
20 Analysis of changes in net funds At 1
September 2014
£
Cashflows £
At 31 March
2016 £
Cash in hand and at bank 2,489,104 601,004 3,090,108
21 Members’ Liability
Each member of the charitable company undertakes to contribute to the assets of the
company in the event of it being wound up while he/she is a member, or within one year
after he/she ceases to be a member, such amount as may be required, not exceeding £10
for the debts and liabilities contracted before he/she ceases to be a member.
Notes to the Financial Statements 31 March 2016 DRAFT
Lilian Baylis Technology School 24
22 Pension and similar obligations
The School’s employees belong to two principal pension schemes: the Teachers’ Pension
Scheme England and Wales (TPS) for academic and related staff; and the Local
Government Pension Scheme (LGPS) for non-teaching staff.
Teachers’ Pension Scheme
Introduction
The Teachers' Pension Scheme (TPS) is a statutory, contributory, defined benefit scheme,
governed by the Teachers' Pensions Regulations (2010) and, from 1 April 2014, by the
Teachers’ Pension Scheme Regulations 2014. Membership is automatic for full-time
teachers in academies and, from 1 January 2007, automatic for teachers in part-time
employment following appointment or a change of contract, although they are able to opt
out.
The TPS is an unfunded scheme and members contribute on a ‘pay as you go’ basis –
these contributions along with those made by employers are credited to the Exchequer.
Retirement and other pension benefits are paid by public funds provided by Parliament.
The Teachers' Pensions Regulations require an annual account to be kept of receipts and
expenditure (including the cost of pensions’ increases). From 1 April 2001, the account
has been credited with a real rate of return, which is equivalent to assuming that the
balance in the account is invested in notional investments that produce that real rate of
return.
Valuation of the Teachers’ Pension Scheme
The latest actuarial valuation of the TPS was carried out as at 31 March 2012 and in
accordance with the Public Service Pensions (Valuations and Employer Cost Cap)
Directions 2014. The valuation report was published by the Department for Education on 9
June 2014. The key elements of the valuation and subsequent consultation are:
employer contribution rates set at 16.48% of pensionable pay (including a 0.08%
employer administration charge (currently 14.1%);
an employer cost cap of 10.9% of pensionable pay will be applied to future valuations.
The new employer contribution rate is applicable from 1 April 2016 and will be
implemented for the TPS from September 2016.
22 Pension and similar obligations (continued)
Teachers’ Pension Scheme (continued)
A copy of the valuation report and supporting documentation is on the Teachers’ Pensions
website (https://www.teacherspensions.co.uk/news/employers/2014/06/publication-of-the-
valuation-report.aspx).
Notes to the Financial Statements 31 March 2016 DRAFT
Lilian Baylis Technology School 25
Teachers’ Pension Scheme Changes
Lord Hutton made recommendations in 2011 about how pensions can be made
sustainable and affordable, whilst remaining fair to the workforce and the taxpayer. The
Government accepted Lord Hutton’s recommendations as the basis for consultation with
trade unions and other representative bodies. In March 2012 the Department for
Education published proposals for the design for a reformed TPS.
The key provisions of the reformed scheme include: a pension based on career average
earnings; an accrual rate of 1/57th; and a Normal Pension Age equal to State Pension
Age, but with options to enable members to retire earlier or later than their Normal Pension
Age. Pension benefits built up before 1 April 2016 will be fully protected.
In addition, the proposed final agreement includes a Government commitment that those
within 10 years of normal pension age on 1 April 2012 will see no change to the age at
which they can retire, and no decrease in the amount of pension they receive when they
retire. There will also be further transitional protection, tapered over a three and a half year
period, for people who would fall up to three and a half years outside of the 10 year
protection.
Teachers’ Pension Scheme Changes (continued)
In his interim report of October 2010, Lord Hutton recommended that short-term savings
were also required, and that the only realistic way of achieving these was to increase
member contributions. At the Spending Review 2010 the Government announced an
average increase of 3.2 percentage points on the contribution rates by 2014-15. The
increases have been phased in since April 2012 on a 40:80:100% basis.
The Department for Education has continued to work closely with trade unions and other
representatives bodies to develop the reformatted Teachers’ Pension Scheme and
regulations giving effect to it came into force on 1 April 2014. Communications are being
rolled out and the reformatted scheme will commence on 1 April 2016.
Under the definitions set out in Financial Reporting Standard (FRS 17) Retirement
Benefits, the TPS is a multi-employer pension scheme. The school is unable to identify its
share of the underlying assets and liabilities of the scheme. Accordingly, the school has
taken advantage of the exemption in FRS 17 and has accounted for its contributions to the
scheme as if it were a defined contribution scheme. The school has set out above the
information available on the scheme.
22 Pension and similar obligations (continued)
Teachers’ Pension Scheme (continued)
Local Government Pension Scheme (LGPS)
The LGPS is a funded defined-benefit scheme, with the assets held in separate trustee-
administered funds. The total contribution made for the period ended 31 March 2016 was
£298,890 of which employer’s contributions totalled £96,417 and employees’ contributions
totalled £196,806.
Notes to the Financial Statements 31 March 2016 DRAFT
Lilian Baylis Technology School 26
Parliament has agreed, at the request of the Secretary of State for Education, to a
guarantee that, in the event of school closure, outstanding Local Government Pension
Scheme liabilities would be met by the Department for Education. The guarantee came
into force on 18 July 2013.
Principal Actuarial Assumptions
At 31 March
2016
At 31 March 2015
Rate of increase in salaries 4.4% 4.4%
Rate of increase for pensions in payment / inflation 2.6% 2.6%
Discount rate for scheme liabilities 4.0% 3.9%
Inflation assumption (CPI) 2.6% 2.6%
Inflation assumption (RPI) 3.5% 3.4%
Notes to the Financial Statements 31 March 2016 DRAFT
Lilian Baylis Technology School 27
22 Pension and similar obligations (continued)
Local Government Pension Scheme (continued)
The current mortality assumptions include sufficient allowance for future improvements in
mortality rates. The assumed life expectations on retirement age 65 are:
At 31 March
2016
At 31 March 2015
Retiring today
Males 21.1 21.0
Females 25.2 25.1
Retiring in 20 years
Males 23.4 23.3
Females 27.5 27.4