Company registration number 07588464 (England and Wales)
THE BAY LEARNING TRUST
(A COMPANY LIMITED BY GUARANTEE)
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 AUGUST 2025
31 August 2025
THE BAY LEARNING TRUST
CONTENTS
Page
Reference and administrative details
1 - 2
Trustees' report
3 - 12
Governance statement
13 - 16
Statement of regularity, propriety and compliance
17
Statement of trustees' responsibilities
18
Independent auditor's report on the financial statements
19 - 22
Independent reporting accountant's report on regularity
23 - 24
Statement of financial activities including income and expenditure account
25 - 26
Balance sheet
27
Statement of cash flows
28
Notes to the financial statements including accounting policies
29 - 55
THE BAY LEARNING TRUST
REFERENCE AND ADMINISTRATIVE DETAILS
- 1 -
Members
Prof J Crewdson
Mr I Parks
Prof C J Carr
Rt Revd Dr J Duff
- Resigned 16th September 2025
Revd L Vasey-Saunders
Trustees
Rev Canon P Ballard
Mr B Ardern
Mrs D Cheetham
Prof J Crewdson (Chairman)
Mr M Dudfield
Mrs N Gomersall
Mrs S Kenyon (Accounting Officer)
Mr C Hopkinson (Resigned 17 July 2025)
Mr P Bell
Mrs J Watson
Mr P Boustead (Resigned 6 January 2025)
Executive leadership team
- CEO, Accounting Officer and Executive Headteacher of Ripley St Thomas C of E Academy
Mrs S Kenyon
- Acting Headteacher of Ripley St Thomas C of E Academy 1st September 2024
Mrs H Best
- Headteacher of Carnforth High School from 1st June 2025
Mr P Staniforth
- Headteacher of Morecambe Bay Academy from 1st September 2024
Ms J Pardoe
- Acting Headteacher of Central Lancaster High School from 1st September to 31st May 2025
Mrs V Crossman
- Headteacher of Central Lancaster High School from 1st June 2025
Mr C Malone
- Headteacher of Longridge High School
Mrs J Green
- Director of Primary Education and Executive Headteacher of Barnacre Road Primary School from 1st September 2025
Mr J Maloney
- Director of SCITT and Professional Development
Ms F Ackroyd
- Director of Operations, Estates and ICT to 31st August 2025
Mr G Gomersall
- Chief Financial Officer/ Chief Operating Officer
Mr A McKinnell
- Director of School Improvements from 1st September 2024
Mr J Cowper
- Director of Primary Education and Executive Headteacher of Barnacre Road Primary School to 31st August 2025
Mrs S Farrimond
- Headteacher of Carnforth High School to 31 May 2025
Mr T Iddon
Company secretary
Mr A McKinnell
THE BAY LEARNING TRUST
REFERENCE AND ADMINISTRATIVE DETAILS
- 2 -
Company registration number
07588464 (England and Wales)
Registered office
The Lodge
Ripley St Thomas Academy
Ashton Road
Lancaster
Lancashire
LA1 4RR
Academies operated
Location
Headteacher
Ripley St Thomas CE Academy
Lancaster
Mrs H Best
Carnforth High School
Carnforth
Mr P Staniforth
Morecambe Bay Academy
Morecambe
Ms J Pardoe
Central Lancaster High School
Lancaster
Mr C Malone
Barnacre Road Primary School
Preston
Mr J Maloney
Longridge High School
Preston
Mrs J Green
Independent auditor
Mitchell Charlesworth (Audit) Limited
24 Nicholas Street
Chester
CH1 2AU
Bankers
Lloyds Bank plc
49 Market Street
Lancaster
LA1 1 JH
Solicitors
Hill Dickinson LLP
No.1 St. Pauls Square
Liverpool
Merseyside
L3 9SJ
THE BAY LEARNING TRUST
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 AUGUST 2025
- 3 -

The trustees present their annual report together with the financial statements and auditor's report of the charitable company for the year 1 September 2024 to 31 August 2025. The annual report serves the purposes of both a trustees' report, and a directors' report and strategic report under company law.

The trust operates 6 academies for pupils aged 4-19 serving in Lancashire; Ripley St Thomas Church of England Academy, Carnforth High School, Morecambe Bay Academy, Central Lancaster High School, Longridge High School and Barnacre Road Primary School.

Pupil capacity: Ripley 1,754; Carnforth 754; Morecambe 1,539; Central 750; Longridge 859; Barnacre 210; Total capacity 5,866

Roll: Ripley 1,767 (114.8%); Carnforth 667 (88.5%); Morecambe 1,055 (68.6%); Central 588 (78.4%); Longridge 819 (95.3%); Barnacre 202 (96.2%); Total on roll 5,098 (86.9%)

Census date: 2 nd October 2025

Structure, governance and management
Constitution

The trust is a company limited by guarantee and an exempt charity. The charitable company's memorandum and Articles of Association are the primary governing documents of the trust. The charitable company operates as The Bay Learning Trust.

The trustees of The Bay Learning Trust are also the directors of the charitable company for the purposes of company law. Details of the trustees who served during the year, and to the date these financial statements are approved, are included in the Reference and Administrative Details on page 1.

Members' liability

Each member of the charitable company undertakes to contribute to the assets of the charitable company in the event of it being wound up while they are a member, or within one year after they cease to be a member, such amount as may be required, not exceeding £10, for the debts and liabilities contracted before they ceased to be a member.

Trustees' indemnities

The t rustees’ are indemnified in respect of their legal liability for financial loss arising as a result of a negligent act, accidental error or omission in the course of their official duties. The limit of this indemnity is £10,000,000.

Method of recruitment and appointment or election of trustees

In accordance with the Articles of Association the members appoint a minimum of 7 t rustees as well as up to 6 co-opted by the t rustees.

In order to find potential new t rustees, contact is made with relevant external agencies such as academy ambassadors as well as utilising personal contacts that existing trustees and members have with other organisations.

When any appointment of a t rustee is to be made, the information obtained from a regularly conducted skills audit of trustees is used to identify areas of knowledge and experience to be sought in any new t rustees. Any potential new trustees are also subject to a selection process involving submission of a CV, personal interviews with the c hair of t rustees, the CEO and other appropriate members or relevant executive team individuals. Recommendation on appointment of any potential new t rustee is subsequently made (along with selection process information provided) to the full b oard meeting and to members where required.

Policies and procedures adopted for the induction and training of trustees

Newly appointed t rustees are provided with recent minutes and other key documents prior to an induction session with the CEO and c hair of t rustees. The t rustees have access to training, and, where appropriate, t rustee meeting agendas include a focus item on key issues.

THE BAY LEARNING TRUST
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 4 -
Organisational structure

The t rustees are responsible for setting general policy, adopting an annual plan and budget, monitoring the trust by the use of budgets and making major decisions about the direction of the t rust, capital expenditure and all trust staff appointments.

The Bay Learning Trust Executive Leadership Team consists of the Chief Executive Officer, Chief Operating Officer/Chief Financial Officer, Director of School Improvement, Acting Headteacher of Ripley St Thomas C of E Academy, Headteachers of Carnforth High School, Morecambe Bay Academy, Lancaster High School and Longridge High School, Director of Primary Education and Executive Headteacher of Barnacre Road Primary School, the Director of SCITT and Professional Development and the Director of Operations, Estates and ICT.

These leaders control the Trust at an executive level implementing the policies laid down by the Trustees and reporting back to them. As a group the Executive Leadership Team is responsible for the authorisation of spending within agreed budgets and the appointment of staff, though appointment Boards for posts in the Executive Leadership Team always contain a Trustee.

Arrangements for setting pay and remuneration of key management personnel

Pay and remuneration of the Executive T eam is reviewed on an annual basis or at other times during the academic year when a business need arises. Annual pay progression is taken to the b oard where it is reviewed to ensure it is proportionate to the size of the t rust. Executive T eam pay is published in line with the Academy Trust Handbook.

Trade union facility time
Relevant union officials
Number of employees who were relevant union officials during the relevant period
10
Full-time equivalent employee number
8.56
Percentage of time spent on facility time
Percentage of time
Number of employees
0%
8
1%-50%
2
51%-99%
-
100%
-
Percentage of pay bill spent on facility time
Total cost of facility time
2,814
Total pay bill
30,031,257
Percentage of the total pay bill spent on facilty time
-
Paid trade union activities
Time spent on paid trade union activities as a percentage of total paid facility time hours
39%
THE BAY LEARNING TRUST
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 5 -
Engagement with employees

The trust has around 700 employees engaged across the six trust schools. In addition, the trust has 8 Central Team employees. Headteachers and senior leaders in each school communicate with staff, holding regular staff meetings. Staff also receive weekly bulletins from senior leaders regarding issues arising in school.

A number of informal networks exist across the trust and leaders from each of our schools support in other trust schools as required. Headteachers and School Business Managers meet regularly to share their expertise and find solutions to common issues such as rising energy costs.

The trust is committed to ensuring good relationships develop and are maintained with recognised Trade Unions. A Trade Union Recognition Agreement was finalised in March 2018 and regular meetings of the Joint Consultation and Negotiation Committee (JCNC) have taken place since then. There have also been regular consultation meetings with staff and members of Trade Unions at a local level.

The trust carries out regular surveys of staff, parents and pupils. Survey results are reported to local governing bodies and directors so that the trust can respond effectively to any feedback. Staff are engaged in discussions regarding the educational performance of their students. Key information about this and other performance information is published on each trust academy school website.

Employees are also updated on activities and initiatives in our trust schools through ‘Across the Bay’, the monthly trust newsletter.

The trust is committed to promoting equality of opportunity for all staff and job applicants as set out in its Equal Opportunities Policy, which is published on the trust website. The Equal Opportunities Policy states that we will not unlawfully discriminate against staff on the basis of disability. The Equal Opportunities Policy applies to all aspects of the trust’s relationship with staff and to relations between staff members at all levels. This includes job advertisements, recruitment, selection, training and development, opportunities for promotion, conditions of service, pay and benefits.

Engagement with suppliers, customers and others in a business relationship with the trust

The trust works with both internal and external stakeholders in accordance with the “Seven Principles of Public Life” these being: Selflessness, Integrity, Objectivity, Accountability, Openness, Honesty and Leadership. The trust relies on external suppliers for the provision of key services and said suppliers are treated on the same basis to establish and maintain a good working relationship.

The trust’s procurement procedure is dealt with in accordance with the provisions of its Financial Framework, which sets out the correct process to be followed and the relevant financial delegations applying across all trust academy schools. The trust aims to achieve best value for money and best price possible from all its suppliers given that a large proportion will be paid for with public funds. The trust is required to maintain the integrity of those funds whilst ensuring that a fair process is published and followed.

Communication with students and parents/carers has been established through use of an individual school’s methods. Schools provide virtual tours, virtual parents’ evenings and other events, including the provision of on-line learning, where face-to-face interactions have not been possible. The trust carries out an annual parental survey which is anonymous and hosted by Edurio. This allows the trust to measure parents’ responses to many areas of school life and judge them against schools nationally. Each school and the Central Team then create an action plan to address any areas of concern.

The trust and all of its schools are within a single local authority area. Lancashire County Council (LCC) has responsibility for both primary and secondary school admissions. Trust schools continue to buy into some services from LCC where appropriate and cost effective.

THE BAY LEARNING TRUST
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 6 -
Related parties and other connected charities and organisations

Lancaster, Ripley Church of England Educational Trust (charity number 526393) is a charitable trust based in Lancaster. Its charitable objects include providing support to Ripley St Thomas C of E Academy and other faith schools in the Lancaster area. Revd L Vasey-Saunders currently sits on the Board as the chair of trustees.

Believe Education Trust (charity number 1154141) is a charitable trust based in Lancaster. Its charitable objects include furthering the education of 11-19 year olds in the North West of England. Prof J Crewdson currently sits on the Board as the chair of trustees.

Related party transactions are disclosed in the note s to the accounts.

Objectives and activities
Objects and aims

The aim of the t rust is to build a community of like-minded schools in the North West that work closely together to secure an excellent education for all our young people. The t rust will:

- Provide value for money for the funds expended

- Comply with all appropriate statutory and curriculum requirements

- Conduct trust business in accordance with the highest standards of integrity, probity and openness

Objectives, strategies and activities

The t rust’s strategic objectives include:

- To improve and sustain high levels of school performance

- To develop a self-sustaining community that learns from each other and from the best available external practice

- To allow schools to focus on teaching and learning through a central team that supports them with finance, buildings and staffing

- To ensure that our schools remain financially sustainable

- To develop our premises to create the best possible learning environment

- Growth in line with government expectations of strong MATs

- To enhance the Christian ethos of Church Schools in the t rust

The t rustees recognise that equal opportunities should be an integral part of all good practice within the workplace. The t rust aims to establish equal opportunity in all areas of its activities including creating a working environment in which the contribution and needs of all people are fully valued.

Public benefit

In setting our objectives and planning our activities the Trustees have carefully considered the Charity Commission’s general guidance on public benefit’.

The key public benefit is currently delivered by the Trust through the maintenance and development of the high-quality education provided by its academies.

In doing this, academies not only offer a broadly-based academic education but aim to educate the whole individual. A very wide range of extra-curricular activities, educational trips, visits and foreign trips is offered and undertaken.

THE BAY LEARNING TRUST
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 7 -
Strategic report
Achievements and performance

Ripley St Thomas received an excellent SIAMs report in autumn 2024. This report validates the very strong faith foundation of the Trust and how our shared values are reflected in our work across the Trust.

Ripley ITT has seen significant growth this year against a nationally declining picture of teacher recruitment. All trainees secured employment following successful completion of their training. Ripley ITT has been chosen as he delivery partner for Blackburn Diocese Church of England Flourishing Programmes for ECTs through to Headteachers.

The Trust has a Director of School Improvement and team of School Improvement Partners (SIPs) providing high-quality support to the Principals and their teams. They ensure that there is regular, objective feedback on standards in all of the Trust schools. Leaders also provided Trust School Improvement Offer (TSIO) funded by the DFE for a number of Lancashire Schools.

Governance is very much strengthened across the Trust with greater alignment between the level of support and challenge offered by local governing bodies. This is through, common standard agendas aligned with the Trust’s Key Performance Indicators.

Key performance indicators

Financial

The year has been a challenging one again financially with continued inflationary pressures on various cost areas. The Trust central fee continues to be allocated toward investment in school improvement across the Trust.

Total free (Unrestricted and GAG) reserves represents circa 5% of income, which is just within the target range of 5-10% as set out in the reserves policy. Staff costs as a percentage of total revenue income and total revenue costs are circa 77% and 79% respectively. The fall in reserves and a rising % of staffing costs are matters to which the Directors are paying particular attention in the years ahead

Staff costs as a percentage of total revenue income and total revenue costs is circa 75% and 76% respectively. This is monitored on an ongoing basis to ensure that staffing levels remain sustainable across the Trust.

Other

The Trust continues to monitor the performance of its schools through its School Improvement Team. We have seen significantly improved progress at some of our schools this year even though attainment is relatively static. Attainment in phonics has improved and standards in reading and mathematics are positive. Standards in writing remain a challenge which affected the overall reading, writing, maths combined.

We invested heavily in a fully resourced new curriculum for mathematics in all schools. This has brought about a significant improvement in the quality of teaching in mathematics across the Trust. Standards in mathematics continue to be supported by the Trust Lead. Attendance has improved in some schools and remains a key challenge in others.

Sixth Form recruitment is buoyant at Ripley St Thomas and a challenge at Morecambe Bay Academy. We continue to review the curriculums at both schools to ensure that our offer remains competitive and relevant in an ever evolving market place.

The Trust operates in line with the requirements of its Funding Agreement with the Education and Skills Funding Agency (ESFA) and manages its reserves in line with the Trust’s Financial Framework.

Going concern

After making appropriate enquiries, the board of trustees has a reasonable expectation that the trust has adequate resources to continue in operational existence for the foreseeable future. For this reason, the board of trustees continues to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the statement of accounting policies.

THE BAY LEARNING TRUST
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 8 -
Protecting the success of the trust

The t rust provides systems, structures and external networks to support the work in the t rust schools to enable them to prioritise their time on teaching, learning strategies and outcomes at their schools. The t rust believes that this allows school leadership and local committees to focus on the needs of the students in their schools within a supportive framework.

The t rust works hard to ensure that each school environment is fit for purpose and that environmental impact is considered when decisions are made regarding t rust infrastructure. Recent building projects at t rust schools have used local and regional workforces and ecological standards have been observed.

The professional conduct of our t rustees, g overnors, staff and visitors is of utmost importance to the t rust. All are expected to abide by relevant codes of conduct and t rust policy.

Financial review

Most of the t rust’s income is obtained from the DfE in the form of its General Annual Grant (GAG), the use of which is restricted to particular purposes; i.e. the objectives of the t rust. The GAG received during the period covered by this report and the associated expenditure is shown as restricted funds in the statement of financial activities.

During the year ended 31 August 2025, total expenditure of £42,159,000 (2024: £38,615,000) was fully covered by grant funding from the DfE together with other incoming resources. The excess of income over expenditure (excluding actuarial losses on the defined benefit pension scheme) was £841,000 (2024: £14,433,000). Academy conversions contributed £Nil (2024: £12,366,000) to incoming resources.

As at the 31 August 2025, the net book value of fixed assets was £85,803,000 (2024: £83,956,000), including the value of the land and buildings which are leased on a 125-year lease. The assets are used exclusively for providing education and the associated support services to the pupils of the academy.

Reserves policy

The trustees review the reserve levels of each academy school annually. This review encompasses the nature of income and expenditure streams, the need to match income with commitments and the nature of reserves.

Under its Funding Agreement with the Secretary of State for Education, The Bay Learning Trust is permitted to hold unlimited reserves at the year end.

The Trustees’ Finance and Resources Committee has reviewed these reserve levels and believes that they should provide sufficient working capital to cover delays between spending and receipt of grants and to allow for unexpected emergencies.

The trust will maintain free reserves at a minimum level of 5% of income up to a maximum of 10% of income.

‘Free reserves’ are defined as the combined total of Unrestricted and General Annual Grant (GAG) reserves.

‘Income’ is defined as the combined total of Unrestricted and General Annual Grant (GAG) income.

Where a school holds in excess of 10% of free reserves a plan showing how the excess will be spent is expected. The aim is for the trust to hold 5% of total annual GAG income as central reserves.

The trust has overall reserves of £89,375,000 (202 4: £88,954,000). Included within is restricted general reserves (excluding pension & fixed asset reserves) of £1,174,000 (2024: £1,462,000) and unrestricted reserves of £686,000 (2024: £7 53,000). The total of unrestricted and restricted general reserves (excluding pension & fixed asset reserves) amounts to £1,860,000 (2024: £2,215,000).

The pension scheme surplus as at 31 August 2025 was restricted to £nil (2024: £nil). The vast majority of the movement of the pension scheme is due to actuarial assumptions and does not have a direct cash impact.

THE BAY LEARNING TRUST
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 9 -

As at 31 August 2025 the trustees consider that the t rust’s free reserves held are satisfactory for the level of the t rust’s operations.

Investment policy

The trust aims to manage cash balances to provide the working capital required for its day-to-day operations, whilst protecting the long-term value of any surpluses against inflation. The trust therefore aims to invest surplus cash funds in a way that optimises returns whilst ensuring there is minimal risk of loss of these funds. In order to make the best use of surplus cash funds to generate additional income the t rust must ensure the following objectives are met:

- Manage cash flow to ensure that sufficient cash balances are maintained in the current account to cover the working capital requirements of the t rust.

- Ensure there is minimal risk to loss of the capital value of any cash funds invested by ensuring that the t rust is only exposed to low risk investments.

- Protect the capital value of the invested funds against inflation.

- Ensure optimum returns on the funds invested.

- Ensure that income generated from investments is used for furthering the t rust’s aims.

- Investments must be placed with FSA registered companies.

- The CEO is responsible for the management of investments, with responsibility delegated to the Chief Financial Officer.

Regular cash flow forecasts are prepared and monitored to ensure there are adequate liquid funds to meet all payroll commitments and outstanding creditors due for payment.

Where cash flow forecasts indicate that a base level of cash funds will be surplus to the day-to-day requirements of the t rust these funds may be invested following approval by the Finance and Resources Committee.

In making decisions with regard to investment options the Finance Director will compare interest rates and returns across the market to ensure the t rust is getting a fair return, having due regard for the economic situation at that time.

In general, the cash shall be invested in short term investment accounts, with an average duration of less than one year. Proposals for longer term investments would need further approval of the Finance and Resources Committee.

The Chief Finance Officer has delegated responsibility to conduct investment transactions as required, in line with the authorised signatories registered with the investment institution.

THE BAY LEARNING TRUST
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 10 -
Principal risks and uncertainties

Risk Management

The Trustees have assessed the major risks to which the Trust is exposed. The Trustees have implemented a number of systems to assess risks in the operational areas of the Trust and in relation to the control of finance. A Risk Register has been completed and is reviewed annually.

Where significant financial risk still remains they have ensured they have adequate insurance cover. The Trust has an effective system of internal financial controls and this is explained in more detail in the Governance Statement.

Credit, cashflow and liquidity risks

The Trust does not have any credit facilities other than credit cards. The balances on these cards are settled in full each month in line with ATH guidance. Cashflow is monitored across the Trust to ensure each academy has sufficient available funds to meet their working capital requirements.

All suppliers are engaged on standard terms and payments made on a weekly basis to ensure suppliers are paid on time.

Defined benefit pension scheme risk

Although historically this has been in deficit overall, six academies are in surplus and four have no deficit payments. Deficit payments continue to be budgeted for and paid as required in line with the latest available valuations.

The trust does not have any credit facilities other than credit cards. The balances on these cards are settled in full each month in line with ATH guidance. Cashflow is monitored across the trust to ensure each academy has sufficient available funds to meet their working capital requirements.

The trust’s total bank and cash balances at the year end are s hown on the balance sheet.

All suppliers are engaged on standard terms and payments made on a weekly basis to ensure suppliers are paid on time.

Financial and risk management objectives and policies

All financial risks are shown above in Principal risks.

Fundraising

The t rust does not use any external fundraisers. The schools within the t rust undertake a variety of fundraising activities to support several charities and the t rust itself. All fundraising undertaken during the year was monitored by the t rustees.

Streamlined energy and carbon reporting
UK Greenhouse gas emissions and energy use data for the period
2025
2024
kWh
kWh
Energy consumption used to calculate emissions (kWh)
5,137,824
5,643,018
Energy consumption breakdown:
- Gas
2,940,572
3,586,078
- Electricity
2,108,064
2,005,918
- Transport fuel
89,188
51,022
THE BAY LEARNING TRUST
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 11 -
2025
2024
Emissions calculated (metric tonnes CO2e):
tonnes CO2e
tonnes CO2e
Scope 1 emissions
- Gas combustion
535.96
723.11
- Fuel consumed for owned transport
6.69
5.18
Total scope 1
542.65
728.29
Scope 2 emissions
- Electricity purchased
373.13
387.90
Scope 3 emissions
- Fuel consumed for transport not owned by the trust
17.70
8.30
Total gross emissions
933.48
1,124.49
Intensity ratio
Tonnes CO2e per pupil
0.19
0.23
Quantification and reporting methodology

We have followed the 2019 HM Government Environmental Reporting Guidelines. We have also used the GHG Reporting Protocol – Corporate Standard and have used the 2025 UK Government’s Conversion Factors for Company Reporting.

Intensity measurement

The chosen intensity measurement ratio is total gross emissions in metric tonnes CO2 equivalent per pupil, the recommended ratio for the sector.

Measures taken to improve energy efficiency

We now record monthly meter readings across all sites to improve out understanding of energy consumption.

We plan to conduct an energy audit across the t rust to better understand the actions we need to take to reduce our carbon footprint.

We are exploring the option of installing PV panels on the roofs of several of our academies with the aim of reducing energy consumption by over 20%.

Plans for future periods

The Trust will continue to work to improve pupils’ performance at all levels. There remains a focus on further raising standards in key stage 4 across all provision to ensure that staff are able to:

- Continue to improve outcomes in key stage 4

- evoke a love of reading and be able to signpost pupils to further reading

- Further develop adaptive teaching

- Continue to improve attendance and reduce severe absence

- Continue to ensure financial stability

Our growth plans continue to focus on Primary Schools including Church of England Primary Schools.

The Trust continues to focus on delivering outstanding teaching and learning through ensuring all staff members are highly trained. It continues to pursue its ambition to raise achievement even further, working towards improved outcomes for our students in both terminal examinations and rates of progress.

THE BAY LEARNING TRUST
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 12 -
Funds held as custodian trustee on behalf of others

The t rust does not hold any funds as custodian for others.

Auditor

In so far as the trustees are aware:

- there is no relevant audit information of which the charitable company's auditor is unaware; and

- the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information.

A resolution proposing that Mitchell Charlesworth (Audit) Limited be reappointed as auditor of the charitable company will be put to the members.

The trustees' report, incorporating a strategic report, was approved by order of the board of trustees, as the company directors, on 15 December 2025 and signed on its behalf by:

Prof J Crewdson
Chairman
THE BAY LEARNING TRUST
GOVERNANCE STATEMENT
FOR THE YEAR ENDED 31 AUGUST 2025
- 13 -
Scope of responsibility

As trustees, we acknowledge we have overall responsibility for ensuring that The Bay Learning Trust 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.

As trustees, we have reviewed and taken account of the guidance in DfE’s Governance Handbook and competency framework for governance.

The board of trustees has delegated the day-to-day responsibility to the CEO, 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 in the funding agreement between The Bay Learning Trust and the Secretary of State for Education. The accounting officer is also responsible for reporting to the board of trustees any material weaknesses or breakdowns in internal control.

Governance

The information on governance included here supplements that described in the Trustees' Report and in the Statement of Trustees' Responsibilities. The board of trustees has formally met 4 times during the year. Attendance during the year at meetings of the board of trustees was as follows:

Trustees
Meetings attended
Out of possible
Rev Canon P Ballard
2
3
Mr B Ardern
2
3
Mrs D Cheetham
3
3
Prof J Crewdson (Chairman)
3
3
Mr M Dudfield
2
3
Mrs N Gomersall
3
3
Mrs S Kenyon (Accounting Officer)
3
3
Mr C Hopkinson (Resigned 17 July 2025)
0
3
Mr P Bell
3
3
Mrs J Watson
2
3
Mr P Boustead (Resigned 6 January 2025)
0
1

Each year the Board reviews the composition, skills mix and roles of Directors.

During 202 4-2 5 there were two resignation from the Board.

Conflicts of interest

On an annual basis Members, Trustees and the Executive Leadership Team complete Register of Business Interests Forms and a Related Party Questionnaire. These ensure confirmation of any connections and enable identification of any relevant transactions. There is a standing agenda item for every board meeting where attendees are asked to declare any new interests and update their individual Register of Business Interests Form. This is also an item for Local Governing Body meetings and we ask our school governors to do the same.

Meetings

Trustees are allocated to one or more of three Committees which are as follows: Finance and Resources, Quality and Standards, Audit and Risk. Other ad hoc committees are convened as and when needed. These committees meet on a regular termly cycle. Under the agreed Scheme of Delegation, each academy school has a Local Governing Body with the required two parent representatives to support the work of the Board of Trustees.

THE BAY LEARNING TRUST
GOVERNANCE STATEMENT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 14 -
Governance reviews

All Directors received and read the annually updated Academy Trust Governance Guide, the Academy Trust Handbook and publications relating to Keeping Children Safe in Education.

Where appropriate necessary action was taken and updated training provided for Directors, especially those members of relevant sub-committees. All Directors complete a Declaration of Business and Personal Interest pro forma annually, which is retained by the Governance Professional. This enables potential conflicts of interest to be identified, declared and avoided.

The Board commissions specialist external reviews of the effectiveness of various aspects of its governance and the operation of its local governing bodies. Where necessary appropriate action is taken to address concerns or weaknesses.

The Finance and Resources Committee is a sub-committee of the main board of trustees. Its purpose is to:

- Receive and consider the MAT’s indicative funding as notified by the ESFA and to assess its implications for the t rust and its a cademies, drawing any matters of concern to the attention of the b oard.

- To consider and recommend to the b oard the t rust’s budget, including those of individual Academies, at the start of each financial year and any subsequent in-year budget changes as recommended by the CEO and/or the CFO.

- To ensure t rust expenditure and income are in line with the agreed budget.

- To contribute to the t rust’s development plan through the consideration of financial priorities and proposals.

- To receive and approve all financial procedures and policies of the t rust.

- To receive and approve all value for money proposals relating to the procurement, management and delivery of goods and services on behalf of the t rust above the agreed threshold.

- To receive and approve any applications for external funding and grants.

- To oversee the t rust’s capital strategy, ensuring the estate is maintained effectively and is suitable for its intended purpose.

- To ensure H&S compliance across the t rust.

- To receive reports and recommendations relating to the condition of the estate and associated assets.

- To ensure that all policies related to Finance, Personnel, Premises and Health & Safety are reviewed regularly and are compliant with legislation

The chair of the Finance and Resources Committee is Rev Canon P Ballard. Attendance at meetings in the year was as follows:

Trustees
Meetings attended
Out of possible
Rev Canon P Ballard
3
3
Mr B Ardern
3
3
Prof J Crewdson (Chairman)
2
3
Mr M Dudfield
3
3
Mrs S Kenyon (Accounting Officer)
2
3
Mr C Hopkinson (Resigned 17 July 2025)
1
3
Review of value for money

As accounting officer, the CEO has responsibility for ensuring that the trust 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, as well as estates safety and management, achieved in return for the taxpayer resources received.

THE BAY LEARNING TRUST
GOVERNANCE STATEMENT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 15 -

The accounting officer considers how the trust’s use of its resources has provided good value for money during each academic year, and reports to the board of trustees where value for money can be improved, including the use of benchmarking data or by using a framework where appropriate. The accounting officer for the trust has delivered improved value for money during the year by:

- Benchmarking: The COO/CFO, Trust Accountant and School Business Managers are members of a regional group of 300 school and academy school business managers. The group focuses on sharing best practice and comparing prices for goods and services. Collaborative purchasing opportunities have enabled the t rust to obtain discounts on costs of a number of purchases. Financial benchmarking exercises carried out during the year, utilising professionally produced reports to compare key income and expenditure types with local and national academies of similar size and form indicate that our costs were below the median, across the b oard, and show that the strict budgeting and financial control has been effective.

- Options appraisal: The t rust has clear systems for purchasing, with a hierarchy for purchasing decisions including t rustee authorisation at the highest level. Purchases of goods and services valued at over £5,000 require three quotes, although in practice we generally obtain quotes for goods and services of much lower value, to ensure best value. Orders for all goods and services are authorised only after meeting the stringent procedures for obtaining value for money. Even relatively low value orders are intercepted by the School Business Managers and Director of Finance and Operations if they are not considered to be cost-effective.

- Negotiation: The COO/CFO, Trust Accountant and the School Business Managers have successfully driven down costs through determined negotiation with suppliers throughout the year. Quotations for goods and services have been routinely challenged and most prices have subsequently been reduced. Significant reductions have continued to be achieved in many cases.

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 on-going process designed to identify and prioritise the risks to the achievement of trust 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 in The Bay Learning Trust for the period 1 September 2024 to 31 August 2025 and up to the date of approval of the annual report and financial statements.

Capacity to handle risk

The board of trustees has reviewed the key risks to which the trust is exposed together with the operating, financial and compliance controls that have been implemented to mitigate those risks. The board of trustees is of the view that there is a formal ongoing process for identifying, evaluating and managing the trust's significant risks that has been in place for the period 1 September 2024 to 31 August 2025 and up to the date of approval of the annual report and financial statements. This process is regularly reviewed by the board of trustees.

The risk and control framework

The trust's system of internal 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 board of trustees;

- regular reviews by the Finance and Resources 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; and

- identification and management of risks.

THE BAY LEARNING TRUST
GOVERNANCE STATEMENT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 16 -

The board of trustees has decided:

- to buy-in an internal audit service from TIAA Limited

The trust chose TIAA Limited because of their expertise and offer good value of money.

The reviewer’s role includes giving advice on financial and other matters and performing a range of checks on the academy trust’s financial and other systems. In particular, the checks carried out in the current period included:

- a review of key financial controls

- a review of the risk management framework

- a review of cyber, IT infrastructure and governance

On a biannual basis, the reviewer reports to the board of trustees, through the sub-committee on the operation of the systems of control and on the discharge of the board of trustees’ financial responsibilities and annually prepares an annual summary report to the committee outlining the areas reviewed, key findings, recommendations and conclusions to help the committee consider actions and assess year on year progress.

No significant issues where raised during the last report.

Review of effectiveness

As accounting officer, the CEO 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 i nternal auditor;

- the work of the external auditor;

- the financial management and governance self-assessment process or the school resource management self-assessment tool; and

- the work of the executive managers within the trust who have responsibility for the development and maintenance of the internal control framework.

The Accounting Officer has been advised of the implications of the result of their review of the system of internal control by the Finance and Resources Committee and a plan to ensure continuous improvement of the system is in place.

Conclusion

Based on the advice of the Finance and Resources committee and the accounting officer, the board of trustees is of the opinion that the trust has an adequate and effective framework for governance, risk management and control.

Approved by order of the board of trustees on 15 December 2025 and signed on its behalf by:

Prof J Crewdson
Mrs S Kenyon
Chairman
Accounting Officer
THE BAY LEARNING TRUST
STATEMENT OF REGULARITY, PROPRIETY AND COMPLIANCE
FOR THE YEAR ENDED 31 AUGUST 2025
- 17 -

As accounting officer of The Bay Learning Trust, I confirm that I have had due regard to the framework of authorities governing regularity, propriety and compliance, including the trust’s funding agreement with the Department for Education (DfE), and the requirements of the Academy Trust Handbook, including responsibilities for estates safety and management. I have also considered my responsibility to notify the trust board of trustees and DfE of material irregularity, impropriety and non-compliance with terms and conditions of all funding, including for estates safety and management.

I confirm that I and the board of trustees are able to identify any material irregular or improper use of all funds by the trust, or material non-compliance with the framework of authorities.

I confirm that no instances of material irregularity, impropriety or non-compliance have been discovered to date. If any instances are identified after the date of this statement, these will be notified to the board of trustees and DfE.

Mrs S Kenyon
Accounting Officer
15 December 2025
THE BAY LEARNING TRUST
STATEMENT OF TRUSTEES' RESPONSIBILITIES
FOR THE YEAR ENDED 31 AUGUST 2025
- 18 -

The trustees (who are also the directors of The Bay Learning Trust for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with the Academies Accounts Direction 2024 to 2025 published by the Department for Education, United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.

Company law requires the trustees to prepare financial statements for each financial year. Under company law, the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of its incoming resources and application of resources, including its income and expenditure, for that period.

In preparing these financial statements, the trustees are required to:

- select suitable accounting policies and then apply them consistently;

- observe the methods and principles in the Charities SORP 2019 and the Academies Accounts Direction 2024 to 2025;

- make judgements and accounting estimates that are reasonable and prudent;

- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.

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

The trustees are responsible for ensuring that in its conduct and operation the charitable company applies financial and other controls, which conform with the requirements both of propriety and of good financial management. They are also responsible for ensuring that grants received from ESFA/DfE have been applied for the purposes intended.

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Approved by order of the members of the board of trustees on 15 December 2025 and signed on its behalf by:

Prof J Crewdson
Chairman
THE BAY LEARNING TRUST
INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS TO THE MEMBERS OF THE BAY LEARNING TRUST
FOR THE YEAR ENDED 31 AUGUST 2025
- 19 -

Opinion

We have audited the financial statements of The Bay Learning Trust for the year ended 31 August 2025 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including 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), the Charities SORP 201 9 and the Academies Accounts Direction 2024 to 2025 issued by the Department for Education.

In our opinion the financial statements:

-

give a true and fair view of the state of the charitable company's affairs as at 31 August 2025 and of its incoming resources and application of resources, including its income and expenditure, f or the year then ended;

-

have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;

-

have been prepared in accordance with the requirements of the Companies Act 2006; and

-

have been prepared in accordance with the Charities SORP 2019 and the Academies Accounts Direction 2024 to 2025.

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 trust 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

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the trust’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. 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. O ur 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 course of 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 th is gives rise to a material misstatement in the financial statements themselves. 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.

THE BAY LEARNING TRUST
INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS TO THE MEMBERS OF THE BAY LEARNING TRUST (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 20 -
Opinions on other matters prescribed by the Companies Act 2006

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

-

the information given in the trustees' r eport including the incorporated strategic report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-

the trustees' r eport including the incorporated strategic report ha s been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the trust and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' r eport, including the incorporated strategic report.

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:

-

adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-

the financial statements are not in agreement with the accounting records and returns; or

-

certain disclosures of trustees' remuneration specified by law are not made; or

-
we have not received all the information and explanations we require for our audit.
Responsibilities of trustees

As explained more fully in the s tatement of trustees' r esponsibilities, the trustees 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 trustees 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 trustees are responsible for assessing the trust’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 trustees either intend to liquidate the charitable company, 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 an auditor's report 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.

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

THE BAY LEARNING TRUST
INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS TO THE MEMBERS OF THE BAY LEARNING TRUST (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 21 -
Extent to which the audit was considered capable of detecting, irregularities including fraud

We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.

Identifying and assessing potential risks related to irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following:

- the nature of the industry and sector, control environment and business performance;

- the schools' own assessment of the risks that irregularities may occur either as a result of fraud or error;

- the results of our enquiries of management and members of the board of governors of their own identification and assessment of the risks of irregularities;

- any matters we identified having obtained and reviewed the schools' documentation of their policies and procedures relating to:

- identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance;

- detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud; and

- the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations; and

- the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas:

(i) The presentation of the trust's Statement of Financial Activities, (ii) revenue recognition (iii) the overstatement of salary and other costs (iv) the assumptions used in the calculation of the valuation of the surplus or deficit on the defined benefit pension scheme and the movements for the year. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.

We also obtained an understanding of the legal and regulatory framework that the charity operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act, the Statement of Recommended Practice - 'Accounting and Reporting by Charities' issued by the joint SORP making body, along with the Academy Trust Handbook and Accounts Direction 202 4-2 5 issued by the Department for Education.

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the academy’s ability to operate or to avoid a material penalty. This includes regulations concerning Data Protection and Safeguarding.

THE BAY LEARNING TRUST
INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS TO THE MEMBERS OF THE BAY LEARNING TRUST (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 22 -

Audit response to risks identified

As a result of performing the above, we identified the presentation of the trust's Statement of Financial Activities, revenue recognition and overstatement of wages and other costs as the key audit matters related to the potential risk of fraud. The key audit matters section of our report explains the matters in more detail and also describes the specific procedures we performed in response to those key audit matters.

In addition to the above, our procedures to respond to risks identified included the following:

- reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with relevant laws and regulations described above as having a direct effect on the financial statements;

- enquiring of management and members of the board concerning actual and potential litigation and claims;

- performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;

- reading minutes of meetings of those charged with governance and reviewing correspondence with relevant authorities where matters identified were significant;

- in addressing the risk of fraud through management override of controls we carried out testing of the appropriateness of journal entries and other adjustments; assessed whether the judgements made in making accounting estimates were indicative of a potential bias; and evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: http s://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

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 an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the 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.

Robert Hall (Senior Statutory Auditor)
For and on behalf of Mitchell Charlesworth (Audit) Limited, Statutory Auditor
Accountants
24 Nicholas Street
Chester
CH1 2AU
16 December 2025
THE BAY LEARNING TRUST
INDEPENDENT REPORTING ACCOUNTANT'S REPORT ON REGULARITY TO THE BAY LEARNING TRUST AND THE SECRETARY OF STATE FOR EDUCATION
FOR THE YEAR ENDED 31 AUGUST 2025
- 23 -

In accordance with the terms of our engagement letter dated 27 August 2025 and further to the requirements of the Department for Education (DfE) as included in the extant Framework and Guide for External Auditors and Reporting Accountants of Academy Trusts, we have carried out an engagement to obtain limited assurance about whether anything has come to our attention that would suggest, in all material respects, the expenditure disbursed and income received by The Bay Learning Trust during the period 1 September 2024 to 31 August 2025 have not been applied to the purposes intended by Parliament and that the financial transactions do not conform to the authorities which govern them.

This report is made solely to The Bay Learning Trust and the Secretary of State for Education in accordance with the terms of our engagement letter. Our work has been undertaken so that we might state to The Bay Learning Trust and the Secretary of State for Education those matters we are required to state in a report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than The Bay Learning Trust and the Secretary of State for Education, for our work, for this report, or for the conclusion we have formed.

Respective responsibilities of the accounting officer of The Bay Learning Trust and the reporting accountant

The accounting officer is responsible, under the requirements of The Bay Learning Trust’s funding agreement with the Secretary of State for Education dated 30 April 2019 and the Academy Trust Handbook, extant from 1 September 2024, for ensuring that expenditure disbursed and income received is applied for the purposes intended by Parliament and the financial transactions conform to the authorities which govern them.

Our responsibilities for this engagement are established in the United Kingdom by our profession’s ethical guidance, and are to obtain limited assurance and report in accordance with our engagement letter and the requirements of the extant Framework and Guide for External Auditors and Reporting Accountants of Academy Trusts. We report to you whether anything has come to our attention in carrying out our work which suggests that in all material respects, expenditure disbursed and income received during the period 1 September 2024 to 31 August 2025 have not been applied for the purposes intended by Parliament or that the financial transactions do not conform to the authorities which govern them.

Approach

We conducted our engagement in accordance with the Framework and Guide for External Auditors and Reporting Accountant of Academy Trusts issued by the DfE, which requires a limited assurance engagement as set out in our engagement letter.

The objective of a limited assurance engagement is to perform such procedures as to obtain information and explanations in order to provide us with sufficient appropriate evidence to express a negative conclusion on regularity.

A limited assurance engagement is more limited in scope than a reasonable assurance engagement and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in a reasonable assurance engagement. Accordingly, we do not express a positive opinion.

Our engagement includes examination, on a test basis, of evidence relevant to the regularity and propriety of the trust's income and expenditure.

The work undertaken to draw to our conclusion includes:

- Reviewing the activities to ensure they are in keeping with the charitable objectives and framework.

- Reviewing declarations of interest and seeking further representations.

- Reviewing the control environment and considering potential weaknesses.

- Reviewing minutes of various committees, management accounts and holding discussions with key personnel.

THE BAY LEARNING TRUST
INDEPENDENT REPORTING ACCOUNTANT'S REPORT ON REGULARITY TO THE BAY LEARNING TRUST AND THE SECRETARY OF STATE FOR EDUCATION (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 24 -
Conclusion

In the course of our work, nothing has come to our attention which suggests that in all material respects the expenditure disbursed and income received during the period 1 September 2024 to 31 August 2025 has not been applied for the purposes intended by Parliament or that the financial transactions do not conform to the authorities which govern them.

Reporting Accountant
Mitchell Charlesworth (Audit) Limited
24 Nicholas Street
Chester
CH1 2AU
16 December 2025
THE BAY LEARNING TRUST
STATEMENT OF FINANCIAL ACTIVITIES
INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 AUGUST 2025
- 25 -
Unrestricted
Restricted funds:
Total
Total
funds
General
Fixed asset
2025
2024
Notes
£'000
£'000
£'000
£'000
£'000
Income and endowments from:
Donations and capital grants
3
116
-
1,189
1,305
2,665
Donations - transfer from local authority on conversion
-
-
-
-
12,366
Charitable activities:
- Funding for educational operations
4
62
40,223
-
40,285
36,704
Other trading activities
5
745
559
-
1,304
1,284
Investments
6
106
-
-
106
29
Total
1,029
40,782
1,189
43,000
53,048
Expenditure on:
Raising funds
7
-
48
-
48
37
Charitable activities:
- Educational operations
9
1,096
40,026
989
42,111
38,578
Total
7
1,096
40,074
989
42,159
38,615
Net income/(expenditure)
(67)
708
200
841
14,433
Transfers between funds
18
-
(576)
576
-
-
Other recognised gains/(losses)
Actuarial losses on defined benefit pension schemes
20
-
(420)
-
(420)
(4,568)
Net movement in funds
(67)
(288)
776
421
9,865
Reconciliation of funds
Total funds brought forward
753
1,462
86,739
88,954
79,089
Total funds carried forward
686
1,174
87,515
89,375
88,954
THE BAY LEARNING TRUST
STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED)
INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 AUGUST 2025
- 26 -
Comparative year information
Unrestricted
Restricted funds:
Total
Year ended 31 August 2024
funds
General
Fixed asset
2024
Notes
£'000
£'000
£'000
£'000
Income and endowments from:
Donations and capital grants
3
12
22
2,631
2,665
Donations - transfer from local authority on conversion
343
1,226
10,797
12,366
Charitable activities:
- Funding for educational operations
4
32
36,672
-
36,704
Other trading activities
5
818
466
-
1,284
Investments
6
29
-
-
29
Total
1,234
38,386
13,428
53,048
Expenditure on:
Raising funds
7
-
37
-
37
Charitable activities:
- Educational operations
9
1,251
36,775
552
38,578
Total
7
1,251
36,812
552
38,615
Net income/(expenditure)
(17)
1,574
12,876
14,433
Transfers between funds
18
-
107
(107)
-
Other recognised gains/(losses)
Actuarial losses on defined benefit pension schemes
20
-
(4,568)
-
(4,568)
Net movement in funds
(17)
(2,887)
12,769
9,865
Reconciliation of funds
Total funds brought forward
770
4,349
73,970
79,089
Total funds carried forward
753
1,462
86,739
88,954
THE BAY LEARNING TRUST
BALANCE SHEET
AS AT 31 AUGUST 2025
- 27 -
2025
2024
Notes
£'000
£'000
£'000
£'000
Fixed assets
Tangible assets
13
85,803
83,956
Current assets
Debtors
14
2,396
4,745
Cash at bank and in hand
5,029
4,103
7,425
8,848
Current liabilities
Creditors: amounts falling due within one year
15
(3,064)
(2,984)
Net current assets
4,361
5,864
Total assets less current liabilities
90,164
89,820
Creditors: amounts falling due after more than one year
16
(789)
(866)
Net assets excluding pension asset
89,375
88,954
Defined benefit pension scheme asset
20
-
-
Total net assets
89,375
88,954
Funds of the trust:
Restricted funds
18
- Fixed asset funds
87,515
86,739
- Restricted income funds
1,174
1,462
Total restricted funds
88,689
88,201
Unrestricted income funds
18
686
753
Total funds
89,375
88,954

The financial statements on pages 25 to 55 were approved by the trustees and authorised for issue on 15 December 2025 and are signed on their behalf by:

Prof J Crewdson
Chairman
Company registration number 07588464 (England and Wales)
THE BAY LEARNING TRUST
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 AUGUST 2025
- 28 -
2025
2024
Notes
£'000
£'000
£'000
£'000
Cash flows from operating activities
Net cash provided by/(used in) operating activities
21
642
(885)
Cash funds transferred on conversion
-
343
642
(542)
Cash flows from investing activities
Dividends, interest and rents from investments
106
29
Capital grants from DfE Group
3,089
3,264
Capital funding received from sponsors and others
-
518
Purchase of tangible fixed assets
(2,835)
(4,243)
Net cash provided by/(used in) investing activities
360
(432)
Cash flows from financing activities
New long term bank loan
-
573
Repayment of long term bank loan
(69)
(35)
Repayment of other loan
-
(7)
Finance costs
(7)
-
Net cash (used in)/provided by financing activities
(76)
531
Net increase/(decrease) in cash and cash equivalents in the reporting period
926
(443)
Cash and cash equivalents at beginning of the year
4,103
4,546
Cash and cash equivalents at end of the year
5,029
4,103
Relating to:
Bank and cash balances
659
4,103
Short term deposits
4,370
-
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2025
- 29 -
1
Accounting policies

A summary of the principal accounting policies adopted (which have been applied consistently, except where noted), judgements and key sources of estimation uncertainty, is set out below.

1.1
Basis of preparation

The financial statements of the trust, which is a public benefit entity under FRS 102, have been prepared under the historical cost convention in accordance with the Financial Reporting Standard Applicable in the UK and Republic of Ireland (FRS 102), the Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)), the Academies Accounts Direction 2024 to 2025 issued by ESFA, the Charities Act 2011 and the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the trust. Monetary amounts in these financial statements are rounded to the nearest £'000.

1.2
Going concern

The trustees assess whether the use of going concern is appropriate, ie whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the charitable company to continue as a going concern. The trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements and have concluded that the trust has adequate resources to continue in operational existence for the foreseeable future and there are no material uncertainties about the trust’s ability to continue as a going concern. Thus they continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Income

All incoming resources are recognised when the trust has entitlement to the funds, the receipt is probable and the amount can be measured reliably.

Grants

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 period is shown in the relevant funds on the balance sheet. Where income is received in advance of meeting any performance-related conditions there is not unconditional entitlement to the income and its recognition is deferred and included in creditors as deferred income until the performance-related conditions are met. Where entitlement occurs before income is received, the income is accrued.

General Annual Grant is recognised in full in the statement of financial activities in the period for which it is receivable, and any abatement in respect of the period is deducted from income and recognised as a liability.

Capital grants are recognised in full when there is an unconditional entitlement to the grant. Unspent amounts of capital grants are reflected in the balance sheet in the restricted fixed asset fund. Capital grants are recognised when there is entitlement and are not deferred over the life of the asset on which they are expended.

Sponsorship income

Sponsorship income provided to the trust which amounts to a donation is recognised in the statement of financial activities in the period in which it is receivable (where there are no performance-related conditions), where the receipt is probable and it can be measured reliably.

Donations

Donations are recognised on a receivable basis (where there are no performance-related conditions) where the receipt is probable and the amount can be reliably measured.

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
1
Accounting policies
(Continued)
- 30 -
Other income

Other income, including the hire of facilities, is recognised in the period it is receivable and to the extent the trust has provided the goods or services.

Donated goods, facilities and services

Goods donated for resale are included at fair value, being the expected proceeds from sale less the expected costs of sale. If it is practical to assess the fair value at receipt, it is recognised in stock and ‘Income from other trading activities’. Upon sale, the value of the stock is charged against ‘Income from other trading activities’ and the proceeds are recognised as ‘Income from other trading activities’. Where it is impractical to fair value the items due to the volume of low value items they are not recognised in the financial statements until they are sold. This income is recognised within ‘Income from other trading activities’.

Donated fixed assets

Donated fixed assets are measured at fair value unless it is impractical to measure this reliably, in which case the cost of the item to the donor is used. The gain is recognised as income from donations and a corresponding amount is included in the appropriate fixed asset category and depreciated over the useful economic life in accordance with the trust‘s accounting policies.

1.4
Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

All resources expended are inclusive of irrecoverable VAT.

Expenditure on raising funds

This includes all expenditure incurred by the trust to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Charitable activities

These are costs incurred on the trust's educational operations, including support costs and costs relating to the governance of the trust apportioned to charitable activities.

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
1
Accounting policies
(Continued)
- 31 -
1.5
Tangible fixed assets and depreciation

Assets costing £1,000 (excluding VAT) or more are capitalised as tangible fixed assets and are carried at cost, net of depreciation and any provision for impairment.

Where tangible fixed assets have been acquired with the aid of specific grants, either from the government or from the private sector, they are included in the balance sheet at cost and depreciated over their expected useful economic life. Where there are specific conditions attached to the funding that require the continued use of the asset, the related grants are credited to a restricted fixed asset fund in the statement of financial activities and carried forward in the balance sheet. Depreciation on the relevant assets is charged directly to the restricted fixed asset fund in the statement of financial activities. Where tangible fixed assets have been acquired with unrestricted funds, depreciation on such assets is charged to the unrestricted fund.

Depreciation is provided on all tangible fixed assets other than freehold land, at rates calculated to write off the cost of each asset on a straight-line basis over its expected useful life, as follows:

Land and buildings
over the remainder of the 125 year lease straight line
Computer equipment
33% straight line
Fixtures, fittings & equipment
33% straight line
Motor vehicles
25% straight line

The assets in each valuation were valued using a depreciated replacement cost model and are to be depreciated over the remaining lease period.

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

1.6
Liabilities

Liabilities are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the trust anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods of services it must provide.

1.7
Leased assets

Rentals under operating leases are charged on a straight-line basis over the lease term.

1.8
Investments

Fixed asset investments are stated at market value.

The trust holds £4,369,709 (2024: £Nil) within the CCLA COIF Charities Deposit Fund. This has been deemed to be cash held at bank as it can be withdrawn on demand.

1.9
Financial instruments

The trust only holds basic financial instruments as defined in FRS 102. The financial assets and financial liabilities of the trust and their measurement basis are as follows.

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
1
Accounting policies
(Continued)
- 32 -
Financial assets

Trade and other debtors are basic financial instruments and are debt instruments measured at amortised cost. Prepayments are not financial instruments.

Cash at bank is classified as a basic financial instrument and is measured at face value.

Financial liabilities

Trade creditors, accruals and other creditors are financial instruments, and are measured at amortised cost. Taxation and social security are not included in the financial instruments disclosure definition.

Deferred income is not deemed to be a financial liability, as the cash settlement has already taken place and there is an obligation to deliver services rather than cash or another financial instrument.

1.10
Taxation

The trust 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. Accordingly, the trust is potentially exempt from taxation in respect of income or capital gains received within categories covered by chapter 3 part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

1.11
Pensions benefits

Retirement benefits to employees of the trust are provided by the Teachers' Pension Scheme ('TPS') and the Local Government Pension Scheme ('LGPS'). These are defined benefit schemes and the assets are held separately from those of the trust.

The TPS is an unfunded scheme and contributions are calculated to spread the cost of pensions over employees' working lives with the trust in such a way that the pension cost is a substantially level percentage of current and future pensionable payroll. The contributions are determined by the Government Actuary based on quadrennial valuations using a prospective unit credit method. The TPS is an unfunded multi-employer scheme with no underlying assets to assign between employers. Consequently, the TPS is treated as a defined contribution scheme for accounting purposes and the contributions are recognised in the period to which they relate.

The LGPS is a funded multi-employer scheme and the assets are held separately from those of the trust in separate trustee administered funds. Pension scheme assets are measured at fair value and liabilities are measured on an actuarial basis using the projected unit credit method and discounted at a rate equivalent to the current rate of return on a high-quality corporate bond of equivalent term and currency to the liabilities. The actuarial valuations are obtained at least triennially and are updated at each balance sheet date. The amounts charged to net income or expenditure are the current service costs and the costs of scheme introductions, benefit changes, settlements and curtailments. They are included as part of staff costs as incurred. Net interest on the net defined benefit liability/asset is also recognised in the statement of financial activities and comprises the interest cost on the defined benefit obligation and interest income on the scheme assets, calculated by multiplying the fair value of the scheme assets at the beginning of the period by the rate used to discount the benefit obligations. The difference between the interest income on the scheme assets and the actual return on the scheme assets is recognised in other recognised gains and losses. Actuarial gains and losses are recognised immediately in other recognised gains and losses.

1.12
Fund accounting

Unrestricted income funds represent those resources which may be used towards meeting any of the charitable objects of the trust at the discretion of the trustees.

Restricted fixed asset funds are resources which are to be applied to specific capital purposes imposed by funders where the asset acquired or created is held for a specific purpose.

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
1
Accounting policies
(Continued)
- 33 -

Restricted general funds comprise all other restricted funds received with restrictions imposed by the funder/donor and include grants from the Department for Education Group.

1.13

Agency arrangements

The Trust acts as an agent in distributing 16-19 bursary funds and ITT bursar y funds from the ESFA. Payments received from the ESFA and subsequent disbursements to students are included within the statement of financial activities as the Trust is deemed to have control over the charitable application of the funds. The Trust can use up to 5% of the allocation towards its own administration costs and this is recogni s ed in the statement of financial activities. The funds received and paid and any balances held are disclosed in note 2 8.

1.14

Provisions

Provisions are recognised when the trust has an obligation at the reporting date as a result of a past event which it is probable will result in the transfer of economic benefits and the obligation can be estimated reliably.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges.

2
Critical accounting estimates and areas of judgement

Accounting e stimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions

The trust makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
2
Critical accounting estimates and areas of judgement
(Continued)
- 34 -

The trust makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Local Government Pension Scheme

The present value of the Local Government Pension Scheme defined benefit asset/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 net cost or income for pensions include the discount rate. Any changes in these assumptions, which are disclosed in note 21, will impact the carrying amount of the pension asset/liability. Furthermore a roll forward approach which projects results from the latest full actuarial valuation performed at 31 March 2022 has been used by the actuary in valuing the pensions asset/liability at 31 August 2025. Any differences between the figures derived from the roll forward approach and a full actuarial valuation would impact on the carrying amount of the pension asset/liability.

FRS 102 section 28.22 allows an entity to recognise a surplus within the Local Government Pension Scheme “only to the extent it is able to recover the surplus either through reduced contributions in the future or through refunds from the plan”. The actuarial report as at 31 August 2025 indicates a defined benefit asset position, which has been capped at nil value. This is on the basis that it is uncertain that a surplus following any triennial review would result in reduced contributions for the employer, and is unlikely to result in a repayment.

3
Donations and capital grants
Unrestricted
Restricted
Total
Total
funds
funds
2025
2024
£'000
£'000
£'000
£'000
Capital grants
-
1,189
1,189
2,113
Other donations
116
-
116
552
116
1,189
1,305
2,665
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 35 -
4
Funding for the trust's charitable activities
Unrestricted
Restricted
Total
Total
funds
funds
2025
2024
£'000
£'000
£'000
£'000
DfE/ESFA grants
General annual grant (GAG)
-
30,138
30,138
27,321
Other DfE/ESFA grants:
- Pupil premium
-
1,402
1,402
1,277
- Start up grants
-
6
6
141
- National college grant
-
593
593
564
- Teacher Pay/Pension grant
-
1,287
1,287
882
- Rates grant
-
167
167
164
- 16 to 19 funding
-
2,060
2,060
2,320
- Others
-
2,120
2,120
2,160
-
37,773
37,773
34,829
Other government grants
Local authority grants
-
1,508
1,508
1,050
Other government grants
-
10
10
29
-
1,518
1,518
1,079
Other incoming resources
62
932
994
796
Total funding
62
40,223
40,285
36,704
5
Other trading activities
Unrestricted
Restricted
Total
Total
funds
funds
2025
2024
£'000
£'000
£'000
£'000
Hire of facilities
218
-
218
199
Catering income
32
-
32
100
Music tuition
73
-
73
97
Parental contributions
-
503
503
344
Other income
422
56
478
544
745
559
1,304
1,284
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 36 -
6
Investment income
Unrestricted
Restricted
Total
Total
funds
funds
2025
2024
£'000
£'000
£'000
£'000
Short term deposits
106
-
106
29
7
Expenditure
Non-pay expenditure
Total
Total
Staff costs
Premises
Other
2025
2024
£'000
£'000
£'000
£'000
£'000
Expenditure on raising funds
- Direct costs
-
-
48
48
37
Academy's educational operations
- Direct costs
26,954
741
4,407
32,102
29,973
- Allocated support costs
5,015
2,591
2,403
10,009
8,605
31,969
3,332
6,858
42,159
38,615
Net income/(expenditure) for the year includes:
2025
2024
£'000
£'000
Operating lease rentals
18
61
Depreciation of tangible fixed assets
989
552
Fees payable to auditor for:
- Audit
17
14
- Other services
7
8
Bank and loan interest
7
-
Net interest on defined benefit pension liability
(218)
(211)
8
Central services

The trust has provided the following central services to its academies during the year:

- Human resources;

- Financial services;

- Legal services;

- Educational and administrative support services

- Health and safety

- Building condition/compliance reporting

- Trust improvement partner costs

- CPD costs

- Marketing

- Financial software

- Payroll services

- Governance

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
8
Central services
(Continued)
- 37 -

The trust charges for these services on the basis of a charge of 4% of core funding (GAG, 16-19 allocation) and also 4% of grants that will be rolled into core funding next year (TPAG, TPECG, CSBG).

The amounts charged during the year were as follows:
2025
2024
£'000
£'000
Ripley St Thomas CE Academy
427
404
Carnforth High School
191
176
Morecambe Bay Academy
309
286
Central Lancaster High School
187
173
Barnacre Road Primary School
40
23
Longridge High School
232
195
1,386
1,257
9
Charitable activities
Unrestricted
Restricted
Total
Total
funds
funds
2025
2024
£'000
£'000
£'000
£'000
Direct costs
Educational operations
1,096
31,006
32,102
29,973
Support costs
Educational operations
-
10,009
10,009
8,605
1,096
41,015
42,111
38,578
Analysis of support costs
2025
2024
£'000
£'000
Support staff costs
5,135
4,011
Depreciation
248
138
Technology costs
367
220
Premises costs
2,343
2,335
Legal costs
75
71
Other support costs
1,798
1,786
Governance costs
43
44
10,009
8,605
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 38 -
10
Staff
Staff costs and employee benefits
Staff costs during the year were:
2025
2024
£'000
£'000
Wages and salaries
22,526
21,615
Social security costs
2,428
2,136
Pension costs
5,298
4,604
Staff costs - employees
30,252
28,355
Agency staff costs
1,438
980
Staff restructuring costs
279
110
31,969
29,445
Staff development and other staff costs
342
287
Total staff expenditure
32,311
29,732
Staff restructuring costs comprise:
Severance payments
103
110
Other restructuring costs
176
-
279
110
Severance payments

The trust paid 8 severance payments in the year, disclosed in the following bands:

£0 - £25,000
7
£25,001 - £50,000
1
Staff numbers
The average number of persons employed by the trust during the year was as follows:
2025
2024
Number
Number
Teachers
261
276
Administration and support
416
395
Management
42
42
719
713
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
10
Staff
(Continued)
- 39 -
The number of persons employed, expressed as a full time equivalent, was as follows:
2025
2024
Number
Number
Teachers
246
250
Administration and support
210
207
Management
41
42
497
499
Higher paid staff
The number of employees whose employee benefits (excluding employer pension costs and employer national insurance contributions) exceeded £60,000 was:
2025
2024
Number
Number
£60,001 - £70,000
21
16
£70,001 - £80,000
12
10
£80,001 - £90,000
9
8
£90,001 - £100,000
4
2
£100,001 - £110,000
3
2
£110,001 - £120,000
1
1
£120,001 - £130,000
-
1
£130,001 - £140,000
1
1
£140,001 - £150,000
1
-
Key management personnel

The key management personnel of the trust comprise the trustees and the senior management team as listed on page 1. The total amount of key management personnel benefits (including employer pension contributions and employer national insurance contributions) received by key management personnel for their services to the trust was £1,663,084 (2024: £1,317,847).

11
Trustees' remuneration and expenses

One or more of the trustees has been paid remuneration or has received other benefits from an employment with the trust. The Headteacher and other staff trustees only receive remuneration in respect of services they provide undertaking the roles of Headteacher and staff members under their contracts of employment, and not in respect of their services as trustees.

The value of trustees' remuneration and other benefits was as follows:

Mrs S Kenyon (CEO, Headteacher and T rustee):

Remuneration £140,000 - £150,000 (2024: £130,000 - £14 0,000)

Employers' pension contributions £40,000 - £4 5,000 (2024: £30,000 - £35,000)

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
11
Trustees' remuneration and expenses
(Continued)
- 40 -

Trustees' Expenses

During the year ended 31 August 202 4, travel and subsistence totalling £1,552 w ere reimbursed to one trustee (2024: £351).

12
Trustees' and officers' insurance

In accordance with normal commercial practice, the trust has purchased insurance to protect trustees and officers from claims arising from negligent acts, errors or omissions occurring whilst on trust business. The insurance provides cover up to £10,000,000. It is not possible to quantify the trustees and officers' indemnity element from the overall cost of the RPA scheme.

13
Tangible fixed assets
Land and buildings
Computer equipment
Fixtures, fittings & equipment
Motor vehicles
Total
£'000
£'000
£'000
£'000
£'000
Cost
At 1 September 2024
86,076
828
586
40
87,530
Additions
2,428
331
56
20
2,835
At 31 August 2025
88,504
1,159
642
60
90,365
Depreciation
At 1 September 2024
2,379
684
484
27
3,574
Charge for the year
694
199
83
12
988
At 31 August 2025
3,073
883
567
39
4,562
Net book value
At 31 August 2025
85,431
276
75
21
85,803
At 31 August 2024
83,697
144
102
13
83,956
Comparable historical cost for the land and buildings included at valuation:
2025
2024
£'000
£'000
Cost
65,438
63,010
Accumulated depreciation
2,618
2,575
At 31 August 2025
62,820
60,435
All other tangible fixed assets are stated at historical cost.
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
13
Tangible fixed assets
(Continued)
- 41 -

Out of the total carrying amount of £85,431,000 within land and buildings, assets with a carrying amount of £72,490,000 were revalued on 31st August 202 3. The valuations were initially prepared by independent valuers not connected with the company, on the basis of market value. The valuation conforms to International Valuation Standards and was based on recent market transactions on arm's length terms for similar properties.

The trustees believe the market value has not changed as at 31 August 2025.

14
Debtors
2025
2024
£'000
£'000
Trade debtors
9
2
VAT recoverable
174
361
Other debtors
7
3
Prepayments and accrued income
2,206
4,379
2,396
4,745
15
Creditors: amounts falling due within one year
2025
2024
£'000
£'000
Government loans
80
72
Trade creditors
373
459
Other taxation and social security
647
517
Other creditors
643
593
Accruals and deferred income
1,321
1,343
3,064
2,984
16
Creditors: amounts falling due after more than one year
2025
2024
£'000
£'000
Government loans
789
866
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
16
Creditors: amounts falling due after more than one year
(Continued)
- 42 -
2025
2024
Analysis of loans
£'000
£'000
Wholly repayable within five years
869
938
Less: included in current liabilities
(80)
(72)
Amounts included above
789
866
Loan maturity
Debt due in one year or less
80
72
Due in more than two years but not more than five years
386
417
Due in more than five years
403
449
869
938
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
16
Creditors: amounts falling due after more than one year
(Continued)
- 43 -

Loans include two amounts received to fund energy efficient projects via the ESFA Salix scheme with no interest charged on the balances outstanding. The cost of repaying the loans will be offset by the energy cost savings resulting from the works carried out. Loan repayments are made in September and March of each year for the life of the loans.

The total repayable after more than five years is £nil (2024: £15,235)

Loans also include CIF loans totalling £792,072 (2024: £83 5,000 ). The repayable profile on these loans is as follows:

- Loan 1 repayment plan - £45,000 - £15,000 is due within one year, £30,000 between one and five years. The CIF loan is over 5 years and has an interest rate of 1.99% p.a. - Repayments began in September 2023.

- Loan 2 repayment plan - £1 36,000 - £1 4,000 is due within one year, £59,000 between one and five years and £63,000 is due in over five years. - The CIF loan is over 10 years and has an interest rate of 1.49% p.a. - Repayments are expected to begin in September 2024.

- Loan 3 repayment plan - £1 36,000 - £1 4,000 is due within one year, £58,000 between one and fiver years and £64,000 is due in over five years. - The CIF loan is over 10 years and has an interest rate of 2.07% p.a. - Repayments are expected to begin in September 2024.

- Loan 4 repayment plan - £4 7,000 - £0 is due within one year, £18,000 between one and five years and £2 9,000 is due in over five years. - The CIF loan is over 10 years and has an interest rate of 5.36% p.a. - Repayments are expected to begin in September 2025.

- Loan 5 repayment plan - £216,000 - £17,000 is due within one year, £77,000 between one and five years and £1 22,000 is due in over five years. - The CIF loan is over 10 years and has an interest rate of 5.36% p.a. - Repayments are expected to begin in September 2025.

- Loan 6 repayment plan - £53,000 - £0 is due within one year, £2 0,000 between one and five years, and £33,000 is due in over five years. - The CIF loan is over 10 years and has an interest rate of 5.36% p.a. - Repayments are expected to begin in September 2025.

- Loan 7 repayment plan - £54,000 - £4,000 is due within one year, £19,000 between one and five years, and £31,000 is due in over five years. - The CIF loan is over 10 years and has an interest rate of 5.36% p.a. - Repayments are expected to begin in September 2025.

- Loan 8 repayment plan - £58,000 - £0 is due within one year, £2 4,000 between one and five years, and £34,000 is due in over five years. - The CIF loan is over 10 years and has an interest rate of 5.36% p.a. - Repayments are expected to begin in September 2025.

- Loan 9 repayment plan - £45,000 - £0 is due within one year, £18,000 between one and five years, and £2 7,000 is due in over five years. - The CIF loan is over 10 years and has an interest rate of 5.36% p.a. - Repayments are expected to begin in September 2025.

17
Deferred income
2025
2024
£'000
£'000
Deferred income is included within:
Creditors due within one year
493
620
Deferred income at 1 September 2024
620
64
Released from previous years
(620)
(64)
Resources deferred in the year
493
620
Deferred income at 31 August 2025
493
620
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
17
Deferred income
(Continued)
- 44 -

At the balance sheet date the trust was holding funds of £493,000 in relation to deferred income.

The breakdown of these funds consist of:

- £ 59,000 received in advance for rates relief payments from the DfE.

- £ 13,000 received in advance for Universal Infant Free School Meals payments from the DfE.

- £ 13,000 received in advance in relation to catering income.

- £320,000 received in advance for educational trips to take place in the following year.

- £ 10,000 in relation to donations and grants, received but not yet used for their purpose.

- £ 25,000 in relation to Bursaries Clawback.

- £ 35,000 in relation to Apprenticeship income.

- £ 18,000 in relation to School Performances + Fundraising.

18
Funds
Balance at
Gains,
Balance at
1 September
losses and
31 August
2024
Income
Expenditure
transfers
2025
£'000
£'000
£'000
£'000
£'000
Restricted general funds
General Annual Grant (GAG)
1,182
30,138
(29,818)
(576)
926
Start up grants
49
6
(17)
-
38
Pupil premium
-
1,402
(1,402)
-
-
Other DfE/ESFA grants
87
6,227
(6,314)
-
-
Other government grants
1
1,518
(1,519)
-
-
16-19 Bursary Funds
12
49
(27)
-
34
National College Funds
(24)
602
(550)
-
28
Other restricted funds
155
840
(847)
-
148
Pension reserve
-
-
420
(420)
-
1,462
40,782
(40,074)
(996)
1,174
Restricted fixed asset funds
ESFA building valuation
83,696
-
(694)
2,429
85,431
DfE group capital grants
2,887
1,189
-
(2,289)
1,787
Other capitalised assets
156
-
(295)
436
297
86,739
1,189
(989)
576
87,515
Total restricted funds
88,201
41,971
(41,063)
(420)
88,689
Unrestricted funds
General funds
753
1,029
(1,096)
-
686
Total funds
88,954
43,000
(42,159)
(420)
89,375
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
18
Funds
(Continued)
- 45 -

The specific purposes for which the funds are to be applied are as follows:

Under the funding agreement with the Secretary of State, the trust was not subject to a limit on the amount of GAG that it could carry forward. At 31st August 2025 the carry forward of GAG was £926,000 (2024: £1,182,000).

The Start Up grants are to facilitate the joining of schools to the trust. As at the 31st August 2025, £38,000 (2024: £49,000) of these funds remained unspent.

Other DfE/ESFA grants include monies received outside of GAG funding and includes the Teacher Pay and Pension grants, as well as Free School Meals. During the current year the closing figure of £Nil (2024: £87,000) related to TCaf and TSIO grants.

The 16-19 Bursary fund, has been split out since the year ended 31st August 2023. The balance carried forward on these funds was £34,000 (2024: £12,000).

Other government grants represent amounts payable to the Trust predominantly from Lancashire County Council and includes Special Educational Needs (SEN) funding. The balance carried forward on these funds was £Nil (2024: £1,000).

Teaching School / National College grants represent amounts receive by the trust with respect to the Teaching Schools and School Centred Initial Teach Training (SCITT) programmes. As at the 31st August 2025 the balance carried forward on these funds was £28,000 (2024: £24,000 deficit).

Other restricted funds include the income and related expenditure for educational visits, supplies of staff, and after school clubs and all donations for specified purposes such as charitable or educational trust grants, fundraising proceeds and general donations with restrictions attached. As at the 31st August 2025 £148,000 (2024: £155,000) of these funds remained unspent.

DfE/ESFA capital grants received during the year of £1,189,000 (2024: £2,113,000) relate to Devolved Formula Capital and Condition Improvement Funding. Of the funding, £1,787,000 remained unspent at 31st August 2025 (2024: £2,887,000) and will be used to fund ongoing capital projects into the 2025/26 academic year.

Other capitalised assets post conversion represents the value of assets purchased since conversion to academy school status not relating to Land and Buildings. These are depreciated in line with the accounting policies set out in note 1 and at the yearend had a closing balance of £297,000 (2024: £156,000).

The ESFA building valuation represents the value of leasehold assets as per the valuation detailed in note 13 to the accounts plus subsequent assets improvements. The assets were all valued using a depreciated replacement cost model and are to be depreciated over a 125 year period.

Unrestricted funds include the income and related expenditure for activities such as lettings, sales of educational goods and services, Teaching School activities, catering and music income. It also includes all investment income and gift aid donations. The balance on this fund at the 31st August 2025 is £686,000 (2024: £753,000) and these funds can be used at the discretion of the trustees, in order to meet the charitable objections of the trust.

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
18
Funds
(Continued)
- 46 -
Comparative information in respect of the preceding period is as follows:
Balance at
Gains,
Balance at
1 September
losses and
31 August
2023
Income
Expenditure
transfers
2024
£'000
£'000
£'000
£'000
£'000
Restricted general funds
General Annual Grant (GAG)
1,290
27,321
(27,536)
107
1,182
Start up grants
16
141
(108)
-
49
Pupil premium
-
1,277
(1,277)
-
-
Other DfE/ESFA grants
-
4,851
(4,764)
-
87
Other government grants
-
1,079
(1,078)
-
1
16-19 Bursary Funds
6
46
(40)
-
12
National College Funds
2
1,193
(1,219)
-
(24)
Other restricted funds
146
1,252
(1,243)
-
155
Pension reserve
2,889
1,226
453
(4,568)
-
4,349
38,386
(36,812)
(4,461)
1,462
Restricted fixed asset funds
Inherited on conversion
62,174
10,797
(327)
11,052
83,696
DfE group capital grants
11,579
2,113
(54)
(10,751)
2,887
Private sector capital sponsorship
217
518
(171)
(408)
156
73,970
13,428
(552)
(107)
86,739
Total restricted funds
78,319
51,814
(37,364)
(4,568)
88,201
Unrestricted funds
General funds
770
1,234
(1,251)
-
753
Total funds
79,089
53,048
(38,615)
(4,568)
88,954
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
18
Funds
(Continued)
- 47 -
Total funds analysis by academy
2025
2024
Fund balances at 31 August 2025 were allocated as follows:
£'000
£'000
Ripley St Thomas CE Academy
497
993
Carnforth High School
474
527
Morecambe Bay Academy
594
248
Central Lancaster High School
(48)
(134)
Barnacre Road Primary School
54
93
Longridge High School
(97)
110
Central services
386
378
Total before fixed assets fund and pension reserve
1,860
2,215
Restricted fixed asset fund
87,515
86,739
Pension reserve
-
-
Total funds
89,375
88,954

Central Lancaster High School is carrying a net deficit of £48,000 (2024: £134,000). The school joined the trust with a pre-existing deficit from the Local Authority in 2019. The trust has a recovery plan in place to return the school’s free reserves to within the target range of 5-10% of Unrestricted/GAG income by August 2027.

Longridge High School is carrying a net deficit of £97,000 (2024: surplus £110,000). The academy is taking action to return these funds to a surplus.

Total cost analysis by academy
Expenditure incurred by each academy during the year was as follows:
Teaching and
Other costs
educational
Other support
Educational
excluding
Total
Total
support staff
staff costs
supplies
depreciation
2025
2024
£'000
£'000
£'000
£'000
£'000
£'000
Ripley St Thomas CE Academy
8,613
1,399
1,372
1,125
12,509
11,490
Carnforth High School
3,849
681
414
516
5,460
5,038
Morecambe Bay Academy
5,270
1,110
924
890
8,194
8,242
Central Lancaster High School
3,011
571
623
630
4,835
4,749
Barnacre Road Primary School
835
247
139
216
1,437
773
Longridge High School
4,571
728
631
726
6,656
5,585
Central services
818
481
340
859
2,498
2,638
26,967
5,217
4,443
4,962
41,589
38,515
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 48 -
19
Analysis of net assets between funds
Unrestricted
Restricted funds:
Total
Funds
General
Fixed asset
Funds
£'000
£'000
£'000
£'000
Fund balances at 31 August 2025 are represented by:
Tangible fixed assets
-
-
85,803
85,803
Current assets
724
3,703
2,998
7,425
Current liabilities
(38)
(2,529)
(497)
(3,064)
Non-current liabilities
-
-
(789)
(789)
Total net assets
686
1,174
87,515
89,375
Unrestricted
Restricted funds:
Total
Funds
General
Fixed asset
Funds
£'000
£'000
£'000
£'000
Fund balances at 31 August 2024 are represented by:
Tangible fixed assets
-
-
83,956
83,956
Current assets
753
3,913
4,182
8,848
Current liabilities
-
(2,451)
(533)
(2,984)
Non-current liabilities
-
-
(866)
(866)
Total net assets
753
1,462
86,739
88,954
20
Pension and similar obligations

The trust'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, which is managed by Lancashire County Pension Fund. Both are multi-employer defined benefit schemes.

The latest actuarial valuation of the TPS related to the period ended 31 March 2020, and that of the LGPS related to the period ended 31 March 2022.

Contributions amounting to £643,000 were payable to the schemes at 31 August 2025 (2024: £593,000) and are included within creditors.

Teachers' Pension Scheme
Introduction

The Teachers' Pension Scheme (TPS) is a statutory, contributory, defined benefit scheme, governed by the Teachers’ Pension Scheme Regulations 2014. Membership is automatic for teachers in academy trusts. All teachers have the option to opt out of the TPS following enrolment.

The TPS is an unfunded scheme to which both the member and employer makes contributions, as a percentage of salary. These contributions are credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
20
Pension and similar obligations
(Continued)
- 49 -
Valuation of the Teachers' Pension Scheme

The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014 published by HM Treasury every 4 years. The aim of the review is to ensure scheme costs are recognised and managed appropriately and the review specifies the level of future contributions.

Actuarial scheme valuations are dependent on assumptions about the value of future costs, design of benefits and many other factors. The latest actuarial valuation of the TPS was carried out as at 31 March 2020. The valuation report was published by the Department for Education on 27 October 2023, with the SCAPE rate, set by HMT, applying a notional investment return based on 1.7% above the rate of CPI. The key elements of the valuation outcome are:

- Employer contribution rates set at 28.68% of pensionable pay (including a 0.08% administration levy). This is an increase of 5% in employer contributions and the cost control result is such that no change in member benefits is needed.

- Total scheme liabilities (pensions currently in payment and the estimated cost of future benefits) for service to the effective date of £262,000 million and notional assets (estimated future contributions together with the notional investments held at the valuation date) of £222,200 million, giving a notional past service deficit of £39,800 million.

The result of this valuation has been implemented from 1 April 2024. The next valuation result is due to be implemented from 1 April 2027.

The employer's pension costs paid to the TPS in the period amounted to £4,169,000 (2024: £3,655,000).

A copy of the valuation report and supporting documentation is on the Teachers’ Pensions website.

Under the definitions set out in FRS 102, the TPS is an unfunded multi-employer pension scheme. The trust is unable to identify its share of the underlying assets and liabilities of the plan. Accordingly, the trust has taken advantage of the exemption in FRS 102 and has has accounted for its contributions to the scheme as if it were a defined contribution scheme. The trust has set out above the information available on the scheme.

Local Government Pension Scheme

The LGPS is a funded defined benefit pension scheme, with the assets held in separate trustee-administered funds. The total contributions are as noted below. The agreed contribution rates for future years are set out below:

Ripley St Thomas CE Academy: 19.3%

Carnforth High School: 19.8%

Morecambe Bay Academy: 21.0%

Central Lancaster High School: 19.3%

Barnacre Road Primary School 16.3%

Longridge High School 1 8.7%

Parliament has agreed, at the request of the Secretary of State for Education, to a guarantee that, in the event of academy closure, outstanding Local Government Pension Scheme liabilities would be met by the Department for Education. The guarantee came into force on 18 July 2013 and on 21 July 2022, the Department for Education reaffirmed its commitment to the guarantee, with a parliamentary minute published on GOV.UK.

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
20
Pension and similar obligations
(Continued)
- 50 -
Total contributions made
2025
2024
£'000
£'000
Employer's contributions
1,316
1,238
Employees' contributions
401
377
Total contributions
1,717
1,615
Principal actuarial assumptions
2025
2024
%
%
Rate of increase in salaries
4.1
4.1
Rate of increase for pensions in payment/inflation
2.7
2.7
Discount rate for scheme liabilities
6.2
5.0
The current mortality assumptions include sufficient allowance for future improvements in mortality rates. The assumed life expectations on retirement age 65 are:
2025
2024
Years
Years
Retiring today
- Males
22.0
21.0
- Females
25.0
23.5
Retiring in 20 years
- Males
20.9
22.2
- Females
23.5
25.3
Sensitivity analysis

Scheme liabilities would have been affected by changes in assumptions as follows:

2025
2024
£'000
£'000
Discount rate + 0.1%
-299
(380)
Discount rate - 0.1%
305
387
Mortality assumption + 1 year
318
437
Mortality assumption - 1 year
-313
(428)
CPI rate + 0.1%
305
386
CPI rate - 0.1%
-298
(380)
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
20
Pension and similar obligations
(Continued)
- 51 -
Defined benefit pension scheme net asset
2025
2024
£'000
£'000
Scheme assets
28,601
25,791
Scheme obligations
(18,754)
(21,246)
Net asset
9,847
4,545
Restriction on scheme assets
(9,847)
(4,545)
Total liability recognised
-
-
The trust's share of the assets in the scheme
2025
2024
Fair value
Fair value
£'000
£'000
Equities
12,900
12,300
Other bonds
86
52
Cash and other liquid assets
858
361
Property
2,374
2,193
Other assets
12,383
10,885
Total market value of assets
28,601
25,791
Restriction on scheme assets
(9,847)
(4,545)
Net assets recognised
18,754
21,246
The actual return on scheme assets was £1,715,000 (2024: £1,743,000).
Amount recognised in the statement of financial activities
2025
2024
£'000
£'000
Current service cost
1,114
996
Interest income
(1,318)
(1,235)
Interest cost
1,100
1,024
Benefit changes, curtailments and settlements gains or losses
(40)
(37)
Administration expenses
40
37
Total amount recognised
896
785
THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
20
Pension and similar obligations
(Continued)
- 52 -
Changes in the present value of defined benefit obligations
2025
2024
£'000
£'000
At 1 September 2024
21,247
17,007
Obligations acquired on conversion
-
1,767
Current service cost
1,114
996
Interest cost
1,060
987
Employee contributions
401
377
Actuarial (gain)/loss
(4,485)
531
Benefits paid
(583)
(419)
At 31 August 2025
18,754
21,246
Changes in the fair value of the trust's share of scheme assets
2025
2024
£'000
£'000
At 1 September 2024
25,792
19,896
Assets acquired on conversion
-
2,993
Interest income
1,318
1,235
Actuarial gain
397
508
Employer contributions
1,316
1,238
Employee contributions
401
377
Benefits paid
(583)
(419)
Effect of non-routine settlements and administration expenses
(40)
(37)
At 31 August 2025
28,601
25,791
Restriction on scheme assets
(9,847)
(4,545)
Net assets recognised
18,754
21,246
Restriction of pension scheme assets

The net gain recognised on scheme assets has been restricted because the full pension surplus is not expected to be recovered through refunds or reduced contributions in the future.

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 53 -
21
Reconciliation of net income to net cash flow from operating activities
2025
2024
Notes
£'000
£'000
Net income for the reporting period
(as per the statement of financial activities)
841
14,433
Adjusted for:
Net surplus on conversion to academy
-
(12,366)
Capital grants from DfE and other capital income
(1,189)
(2,631)
Investment income receivable
6
(106)
(29)
Finance costs payable
7
-
Defined benefit pension costs less contributions payable
20
(202)
(242)
Defined benefit pension scheme finance income
20
(218)
(211)
Depreciation of tangible fixed assets
989
552
Decrease/(increase) in debtors
448
(108)
Increase/(decrease) in creditors
72
(283)
Net cash provided by/(used in) operating activities
642
(885)
22
Analysis of changes in net funds
1 September 2024
Cash flows
31 August 2025
£'000
£'000
£'000
Cash
4,103
(3,444)
659
Cash equivalents
-
4,370
4,370
4,103
926
5,029
Loans falling due within one year
(72)
(8)
(80)
Loans falling due after more than one year
(866)
77
(789)
3,165
995
4,160
23
Contingent liabilities

During the period of the funding agreement, in the event of the sale or disposal by other means of any leasehold building the t rust is required to either re-invest the proceeds or to repay the Secretary of State for Education or the Diocese the proceeds of the sale or disposal as these two bodies would jointly have an interest in the proceeds of any sale.

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 54 -
24
Long-term commitments
Operating leases
At 31 August 2025 the total of the trust's future minimum lease payments under non-cancellable operating leases was:
2025
2024
£'000
£'000
Amounts due within one year
41
50
Amounts due in two and five years
35
84
76
134
25
Capital commitments
2025
2024
£'000
£'000
Expenditure contracted for but not provided in the financial statements
1,398
2,971
26
Related party transactions

Owing to the nature of the trust and the composition of the board of trustees being drawn from local public and private sector organisations, transactions may take place with organisations in which the trustees have an interest. All transactions involving such organisations are conducted in accordance with the requirements of the Trust Handbook, including notifying the DfE of all transactions made on or after 1st April 2019 and obtaining their approval where required, and with the t rust's financial regulations and normal procurement procedures.

Income related party transactions

During the year there were the following related party transactions:

A donation of £68,000 (2024: £208,411 & £271,692) was received from the Believe Education Trust (to Ripley St Thomas CE Academy). The two donations receivable at 31 August 2024 have now also been received.

A donation of £7,500 (2024: £10,000) ) was received from Lancaster, Ripley Church of England Educational Trust (to Ripley St Thomas CE Academy).

27
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 or she is a member, or within one year after he or she ceases to be a member, such amount as may be required, not exceeding £10 for the debts and liabilities contracted before he or she ceases to be a member.

THE BAY LEARNING TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2025
- 55 -
28
Agency arrangements

The t rust distributes 16-19 bursary funds to students as an agent for DfE. In the accounting year ended 31st August 2025 the trust received £49,000 (2024: £46,000) and disbursed £27,000 (2024: £40,000) from the fund. An amount of £Nil (2024: £Nil) is included in other creditors relating to undistributed funds that is repayable to the DfE. The closing fund position is £34,000 (2024: £12,000).

Similarly, the Trust distributes School Centred Initial Teacher Training (SCITT) Bursary funding to student teachers as an agent for the Department for Education. In the accounting year ending 31 August 2025, the trust received £602,000 (2024: £610,000) and disbursed £550,000 (2024: £610,000) from the fund. The balance of £25,000 (2024: £11,000) is included in other creditors in relation to undistributed funds. The closing fund position is £Nil (2024: £Nil).

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