The Newark Preparatory School Company Li - Charities report

REGISTERED COMPANY NUMBER: 00396309 (England and Wales)

REGISTERED CHARITY NUMBER: 528261

Report of the Trustees and

Financial Statements

for the Year Ended 31 August 2025

for

The Newark Preparatory School

Company Limited

Page

Reference and Administrative Details

1

Report of the Trustees

2

to

7

Report of the Independent Auditors

8

to

9

Statement of Financial Activities

10

Balance Sheet

11

Cash Flow Statement

12

Notes to the Cash Flow Statement

13

Notes to the Financial Statements

14

to

20

TRUSTEES

W E B Bicknell

S L Cameron

J A Dennis (resigned 1.3.25)

J E Mumby

R W South

W J Staunton

L Gordon

COMPANY SECRETARY

S Beaumont

REGISTERED OFFICE

Highfields

London Road

Balderton

Newark-on-Trent

Nottinghamshire

NG24 3AL

REGISTERED COMPANY NUMBER

00396309 (England and Wales)

REGISTERED CHARITY NUMBER

528261

AUDITORS

Wright Vigar Limited

Statutory Auditors

Chartered Accountants & Business Advisers

15 Newland

Lincoln

Lincolnshire

LN1 1XG

The Trustees who are also the Directors of the charity for the purposes of the Companies Act 2026, present their report with the financial statements of the charity for the year ended 31 August 2025. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

PRINCIPAL ACTIVITY

The charitable company's principal activity during the year continued to be that of an independent school.

TRUSTEES

The Trustees shown below have held office during the while of the period from 1 September 2023 to the date of this report.

R W South

W E B Bicknell

W J Staunton

Mrs S L Cameron

J A Dennis (resigned 1 March 2025)

Dr J Mumby

L Gordon

S Beaumont

OBJECTIVES AND ACTIVITIES

Objectives and aims

The principal objective of the Charity is to provide high quality nursery, pre-prep and prep education. The management of the school was entrusted to the Headteacher, Mrs Sarah Lyons, who was appointed in September 2019, and who reports regularly to the Governors and Trustees. The school operates under the trading name of Highfields. In organising the Charity, Trustees are mindful of their duties under the Charities Act 2022 and have given careful consideration to compliance with the public benefit guidance issued by the Charity Commission.

Within the principal objective, the Charity aims to provide a broad-based education appropriate to the needs of the pupils in its target market and through this the pupils will:

- Acquire the knowledge and skills that will enable them to tackle the next phase of their educational, physical, spiritual, social and emotional lives with confidence and success;

- Feel valued and significant, whilst having an expectation that they should behave in a responsible manner, both to themselves and others. This is supported by appointing pupil Wellbeing ambassadors who are provided with training for the role;

- Develop as individuals, whilst having an understanding that they have a responsibility of service to the community;

- Learn how to live together in a community, showing consideration, courtesy and respect for other people and their property at all times;

- Develop a Growth Mind set which will equip them for their educational journey and for their future;

- Work to acquire the resourcefulness that will enable them to obtain the best from their environment;

- Develop the foundations on which to build a happy and fulfilling life;

- Find their time spent at Highfields enjoyable and stimulating;

- Receive an education that nurtures the courage and confidence of every child to discover their talents and fulfil their potential within a caring environment.

Public benefit

In setting the objectives and planning its activities, the Trustees have given careful consideration to the Charity Commission’s general guidance on public benefit. The key public benefit delivered by the Trust is the provision of a high quality of education to its pupils.

STRATEGIC REPORT

Achievements and performance

Charitable activities

The main objectives of the school for the year were to continue to provide high quality educational services and in so doing to:

- Ensure that the school finances are in line with expectations and to maintain the school as a viable going concern for many years to come;

- Increase the revenue and profile of the school, whilst offering value for money, in order to make the school's services available to as wide a range of parents and pupils as possible;

- Reinvest in the infrastructure of the school.

These are achieved by regular Board meetings which, as a matter of course:

- Regularly undertake a detailed review of the school accounts and areas of over and under spend;

- Plan marketing and promotional activities to increase the profiles and revenue generating potential of the school;

- Invest in IT for the benefit of pupils and to allow staff to fulfil their roles;

- Consider, and where appropriate pursue, opportunities to support the education of pupils;

- Within the limitations of the financial constraints, plan maintenance work on the fabric of the school and, when possible enhance the facilities provided.

The future objectives of the school are to:

- Maintain the high quality of nursery, pre-prep and prep education by using the Cambridge and National curriculum and the continued promotion of first-class pastoral care in small class sizes to enable every child to discover their talents and fulfil their potential confidently in a caring environment;

- Improve the facilities of the school by routine refurbishment and a programme of planned maintenance;

- Grow pupil enrolment numbers by ongoing marketing and promotional activity;

These will be achieved by:

- Utilising all opportunities to promote the school and raise its profile;

- Continuing to develop links with local schools and especially nursery and child care settings to increase awareness of the opportunity on offer at the school;

- When finances allow, the implementation of the refurbishment plan;

- Continuous training and professional development of both teaching and support staff.

The last inspection by the Independent School Inspectorate (ISI) was in November 2023; they carried out a thorough inspection following their new framework and found Highfields to have met all standards.

Details of means tested bursary

The school has two further objectives:

-To provide continuing support of pupils already in receipt of fee assistance through bursaries and to provide support for existing pupils through means tested bursary places, should the need arise during their education at Highfields.

-To play our part in the life of the local community through community access and service programmes.

Bursaries

This year the value of means-tested bursaries totalled £50,299 and represented 5.2% of gross fees.

Review

The Governors periodically review the school's Bursary policies to ensure that children can continue to remain at School through the availability of means-tested fee assistance. The school policy is designed to widen access to Highfields. The reviews help inform the development of school policy and ensure the objective of wider access continues to be achieved.

Community access

The Trustees regard being part of the wider community as an important role.

The school’s 80th birthday celebration offered a rich cultural and historical experience, reinforcing a sense of community, heritage, and shared identity.

Where possible, without detriment to advancing the education of our pupils, Highfields supports the wider community by inviting local schools to events at Highfields and for local nurseries to use the grounds and attend the nativity performance. Highfields hosted a cross country event in November 2024 which was attended by twelve local schools (both state and independent). Highfields hosted the local Wolfit drama festival which gave access to our stage to pupils from other schools. Pupils also attend local chess competitions with other schools and the Highfields Orchestra participated in the Rotary Young Musician Competition and played three joint pieces with the Barnby Road school orchestra.

Highfields was also able to support local charities with Friendship Soup and generously filled shoeboxes. The pupils decorated Remembrance pebbles as part of the community Armistice Day event.

Pupils regularly take part in events within school to raise money for charities such as Children in Need, Newark Food Bank, women’s aid, Beaumond House hospice and Red Nose day.

Highfields regularly supports local groups by sharing our grounds such as with the Newark Rugby Club or renting out our facilities at favourable rates.

Financial review

Financial position

The net movement in funds for the year amounted to an outflow of £146,952 (2024: an outflow of £15,512).

The Charity reserves total -£145,944 (2024: £1,008). This level of reserves is substantially represented by the property and other physical assets of the school, which are used for the continuing charitable objectives of the school. The Charity's balance sheet includes freehold property at historic cost. A detailed valuation of this asset was undertaken by Innis England on 3 April 2024 for the purposes of the Charity's bankers. The property was valued at £1.45 million based on its existing use and the valuation for vacant possession was £2.725 million. Should the property be restated to the £1.45 million valuation based on existing use the balance sheet net asset position would be £803,049.

The figure for freehold land and buildings on the balance sheet includes £145,147 in respect of the professional preparation for the construction project as stated in our plans for the future.

The Trustees' policy is to operate with a small surplus of income over resources expended to provide funds for capital expenditure improvements and working capital and plans are being developed to return the school to this position. The deficit this year was due to a number of exceptional circumstances which are not expected to be repeated in the current academic year; control of costs and striving for increased income remain a priority.

Subsequent to the year end the company has undertaken steps to convert overdraft facilities included within short term creditors into non-current liabilities to further improve the balance sheet of the company.

The main source of funding of the Charity is the fees and nursery income received from the parents and funding from the local authorities for Early Years funding towards nursery fees. These funds are expended on the running and upkeep of the school in order to provide the high-quality educational service needed to meet the objectives of the Charity.

Annual budgets and cash flow forecasts are prepared as part of the Charity's development plan and these are monitored against actual financial performance on a regular basis. The Trustees are confident to continue to adopt the going-concern basis in the preparation for financial statements. As the market for independent schools has become more challenging due to the downturn in the economy and the introduction of VAT in January 2025, we have been exploring different medium and long term investment strategies; one of these options is working in partnership with other independent schools.

Investment policy and objectives

There are no restrictions on the company's powers of investment.

Future plans

The charity is open to exploring suitable opportunities which may arise to provide a cash inflow to school to carry out refurbishment work.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The Charity was created by a trust deed as a registered charity (number 528261). The charitable company is limited by its members' liability. The members' liability is limited to the amount paid on share capital.

The charitable company is registered in the name of The Newark Preparatory School Company Limited (company number 00396309). The principal address and registered office is Highfields, London Road, Newark, Nottinghamshire, NG24 3AL.

All Directors of the company have complied with the latest legislation in relation to identity checks.

New trustees are recruited by personal recommendation from existing members of the Board, based on identified skills required by the Board. The induction and training of the new trustees is undertaken using external support from the Association of Governing Bodies for Independent Schools (AGBIS) with training tailored to the needs of each newly appointed trustee.

Decisions regarding the charity are made through debate, consideration and voting on proposals submitted to the Board by any one of the following at the regular trustees meeting:

- Headteacher / Senior Leadership Team;

- Subcommittees which cover Finance, Marketing and Health & Safety; Curriculum and Standards; and Pupils, Personnel and Safeguarding;

- Friends and Family of Highfields School, FFH (PTA)/Parents

All meetings are minuted.

Risk management

The Trustees continue to keep the school's activities under review, particularly with regard to any major risks that may arise from time to time. They monitor the effectiveness of the system of internal control and use other viable means, including insurance cover where appropriate, to best mitigate those risks identified.

The Trustees believe the major risks to the school are;

- The retention of key staff;

- The economy. As the school is an independent school, the trustees are aware the economy will directly impact on the school enrolment numbers and are monitoring and reviewing the situation regularly;

-Political changes – the introduction of VAT to school fees in January 2025 (the increase in fees due to VAT was kept to the expected effective VAT rate to protect pupil numbers as much as possible). However, the combination of VAT and the economy has made the market for independent schools challenging over the last 18 months.

The Trustees mitigate the above risk by ensuring that the quality of service remains high through continuous staff training and professional development.

EVENTS SINCE THE END OF THE YEAR

Information relating to events since the end of the year is given in the notes to the financial statements.

TRUSTEES' RESPONSIBILITY STATEMENT

The trustees (who are also the directors of The Newark Preparatory School Company Limited for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period.

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

- select suitable accounting policies and then apply them consistently;

- observe the methods and principles in the Charity SORP;

- make judgements and estimates that are reasonable and prudent;

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

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

In so far as the trustees are aware:

- there is no relevant audit information of which the charitable company's auditors are 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 auditors are aware of that information.

Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on 29 May 2026 and signed on the board's behalf by:

R W South - Trustee

Opinion

We have audited the financial statements of The Newark Preparatory School Company Limited (the 'charitable company') for the year ended 31 August 2025 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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, for the year then ended;

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

-	have been prepared in accordance with the requirements of the Companies Act 2006.

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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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 charitable company'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 trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this 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.

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 Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Report of the Trustees has 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 charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees.

We have nothing to report in respect of the following matters where 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 Trustees' Responsibilities Statement, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the 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 charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Our responsibilities for the audit of the financial statements

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

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

Our work is performed to include an assessment of the susceptibility of the entity's financial statements to material misstatement, including the risk of fraud. Owing to the inherent limitations of an audit, there is an unavoidable risk that material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK).

In identifying and assessing risk of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

-

We plan our work to gain an understanding of the significant laws and regulations that are of significance to the

entity and the sector in which they operate. We perform our work to ensure that the entity is complying with its

legal and regulatory framework.

-

We obtained an understanding of how the company is complying with those legal and regulatory frameworks by

making inquiries to the management and people charged with governance.

We assessed the susceptibility of the Charitable Company's financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included:

-

Substantive procedures performed in accordance with the ISAs (UK).

-

Challenging assumptions and judgments made by management in its significant accounting estimates.

-

Identifying and testing journal entries, in particular material journal entries and an assessment of year end

journals.

-

Assessing the extent of compliance with the relevant laws and regulations.

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

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' 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.

Paul Colcomb FCCA (Senior Statutory Auditor)

for and on behalf of Wright Vigar Limited

Statutory Auditors

Chartered Accountants & Business Advisers

15 Newland

Lincoln

Lincolnshire

LN1 1XG

29 May 2026

2025

2024

Unrestricted

Restricted

Total

funds

Notes

£

INCOME AND ENDOWMENTS FROM

Charitable activities

4

Donations

22,535

-

22,535

47,112

Tuition and nursery fees

1,018,411

-

1,018,411

1,069,557

Rent

3

11,576

-

11,576

10,851

Other income

5

114,134

-

114,134

109,533

Total

1,166,656

-

1,166,656

1,237,053

EXPENDITURE ON

Charitable activities

6

Education services

1,313,608

-

1,313,608

1,252,565

NET INCOME/(EXPENDITURE)

(146,952

)

-

(146,952

)

(15,512

)

RECONCILIATION OF FUNDS

Total funds brought forward

1,008

-

1,008

16,520

TOTAL FUNDS CARRIED FORWARD

(145,944

)

-

(145,944

)

1,008

2025

2024

Unrestricted

Restricted

Total

funds

Notes

£

FIXED ASSETS

Tangible assets

12

576,617

-

576,617

591,028

CURRENT ASSETS

Debtors

13

219,784

-

219,784

45,534

Cash at bank and in hand

159

-

159

126

219,943

-

219,943

45,660

CREDITORS

Amounts falling due within one year

14

(942,504

)

-

(942,504

)

(627,347

)

NET CURRENT ASSETS/(LIABILITIES)

(722,561

)

-

(722,561

)

(581,687

)

TOTAL ASSETS LESS CURRENT LIABILITIES

(145,944

)

-

(145,944

)

9,341

CREDITORS

Amounts falling due after more than one year

15

-

(8,333

)

NET ASSETS/(LIABILITIES)

(145,944

)

-

(145,944

)

1,008

FUNDS

18

Unrestricted funds

(145,944

)

1,008

TOTAL FUNDS

(145,944

)

1,008

The financial statements were approved by the Board of Trustees and authorised for issue on 29 May 2026 and were signed on its behalf by:

R W South - Trustee

Cash flows from operating activities

Cash generated from operations

1

41,576

149,541

Interest paid

(22,647

)

(18,008

)

Net cash provided by operating activities

18,929

131,533

Cash flows from investing activities

Purchase of tangible fixed assets

(9,495

)

(52,950

)

Sale of tangible fixed assets

(36,754

)

-

Sale of heritage assets

(74,957

)

-

Interest received

1

Net cash used in investing activities

(121,205

)

(52,949

)

Cash flows from financing activities

Loan repayments in year

(9,994

)

(10,000

)

Net cash used in financing activities

(9,994

)

(10,000

)

Change in cash and cash equivalents in

the reporting period

(112,270

)

68,584

Cash and cash equivalents at the

beginning of the reporting period

2

(178,530

)

(247,114

)

Cash and cash equivalents at the end of

the reporting period

2

(290,800

)

(178,530

)

1.	RECONCILIATION OF NET EXPENDITURE TO NET CASH FLOW FROM OPERATING ACTIVITIES

2025

2024

£

Net expenditure for the reporting period (as per the Statement of

Financial Activities)

(146,952

)

(15,512

)

Adjustments for:

Depreciation charges

23,906

17,458

Loss on disposal of fixed assets

111,711

-

Interest received

(1

)

(1

)

Interest paid

22,647

18,008

Increase in debtors

(174,250

)

(8,397

)

Increase in creditors

204,515

137,985

Net cash provided by operations

41,576

149,541

2.	ANALYSIS OF CASH AND CASH EQUIVALENTS

2025

2024

£

Cash in hand

55

23

Notice deposits (less than 3 months)

104

103

Overdrafts included in bank loans and overdrafts falling due within one year

(290,959

)

(178,656

)

Total cash and cash equivalents

(290,800

)

(178,530

)

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.9.24

Cash flow

At 31.8.25

£

Net cash

Cash at bank and in hand

126

33

159

Bank overdraft

(178,656

)

(112,303

)

(290,959

)

(178,530

)

(112,270

)

(290,800

)

Debt

Debts falling due within 1 year

(20,000

)

1,661

(18,339

)

Debts falling due after 1 year

(8,333

)

8,333

-

(28,333

)

9,994

(18,339

)

Total

(206,863

)

(102,276

)

(309,139

)

1.	LEGAL STATUS OF THE CHARITY

The charity is a charitable company registered in England and Wales. Details of the company number and registered office can be found in the reference and administration section of the Report of the Trustees.

STATUTORY INFORMATION

The presentation currency of the financial statements is the Pound Sterling (£).

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold property

-

25% on cost, 5% on cost and Straight line at 1%

Fixtures and fittings

-

15% straight line and 10% on cost

Motor vehicles

-

25% on cost

Computer equipment

-

25% on cost

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

3.

RENT

2025

2024

£

Rent

8,278

8,280

Hire of Facilities

3,297

2,570

Deposit account interest

1

11,576

10,851

4.	INCOME FROM CHARITABLE ACTIVITIES

2025

2024

Tuition

and

nursery

Total

Donations

fees

activities

£

Parent Association donation

22,432

-

22,432

44,819

Tuition fees

-

878,761

951,026

Nursery fees

-

139,650

118,531

Donations received

103

-

103

2,293

22,535

1,018,411

1,040,946

1,116,669

5.	OTHER INCOME

2025

2024

£

Wrap around care

54,646

63,426

Music

24,945

23,881

Registration fees

4,191

1,520

School trips

25,160

19,451

Insurance recharge

1,094

297

Sundry receipts

4,098

958

114,134

109,533

6.	CHARITABLE ACTIVITIES COSTS

Support

Direct

costs (see

Costs

note 7)

Totals

£

Education services

1,105,716

207,892

1,313,608

7.	SUPPORT COSTS

Governance

Management

Finance

costs

Totals

£

Education services

172,487

31,359

4,046

207,892

Support costs, included in the above, are as follows:

Management

2025

2024

Education

Total

services

activities

£

Admin wages

82,383

83,563

Professional fees

21,367

9,981

Telephone

2,818

2,628

Printing, postage and statione

2,684

4,315

Photocopier costs

9,137

13,521

Sundry expenses

15

609

Subscriptions

27,682

27,184

Marketing

3,754

6,177

Interest payable

22,647

18,008

172,487

165,986

Finance

2025

2024

Education

Total

services

activities

£

Bank charges

5,758

6,638

Motor expenses

1,695

974

Depreciation of tangible fixed assets

23,906

17,458

31,359

25,070

Governance costs

2025

2024

Education

Total

services

activities

£

Auditors' remuneration

4,046

4,794

8.	NET INCOME/(EXPENDITURE)

2025

£

Depreciation

23,906

17,458

9.	AUDITORS' REMUNERATION

2025

2024

£

Fees payable to the charity's auditors and their associates for the audit of the

charity's financial statements

4,046

4,794

10.	TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 August 2025 nor for the year ended 31 August 2024.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 August 2025 nor for the year ended 31 August 2024.

11.	STAFF COSTS

2025

2024

£

Wages and salaries

707,149

697,990

Social security costs

67,644

54,590

Other pension costs

100,189

95,416

874,982

847,996

2025

2024

Teaching

20

19

Non Teaching

17

18

37

Remuneration paid to key management personnel in the year was £127,061 (2024: £184,488).

None of the Trustees received any remuneration in the year.

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

2025

2024

£60,001 - £70,000

1

12.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

and

Motor

Computer

property

fittings

vehicles

equipment

Totals

£

COST

At 1 September 2024

703,605

123,720

42,639

234,073

1,104,037

Additions

7,997

-

1,498

9,495

At 31 August 2025

711,602

123,720

42,639

235,571

1,113,532

DEPRECIATION

At 1 September 2024

203,802

85,209

3,000

220,998

513,009

Charge for year

6,793

5,529

9,910

1,674

23,906

At 31 August 2025

210,595

90,738

12,910

222,672

536,915

NET BOOK VALUE

At 31 August 2025

501,007

32,982

29,729

12,899

576,617

At 31 August 2024

499,803

38,511

39,639

13,075

591,028

Included in cost of land and buildings is freehold land of £100,000 (2024 - £100,000) which is not depreciated.

Freehold land and buildings includes £145,147 in respect of the professional preparation for a construction project as referred to in the Trustees' annual report. This expenditure has not been depreciated.

13.	DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

Trade debtors

156,622

14,807

Other debtors

28,413

-

Prepayments and accrued income

34,749

30,727

219,784

45,534

14.	CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

Bank loans and overdrafts (see note 16)

299,298

188,656

Other loans (see note 16)

10,000

Trade creditors

66,824

32,200

Pensions

32,568

12,048

VAT

100,322

-

Other creditors

71,563

51,820

Accruals and deferred income

361,929

332,623

942,504

627,347

15.	CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2025

2024

£

Bank loans (see note 16)

-

8,333

16.

LOANS

An analysis of the maturity of loans is given below:

2025

2024

£

Amounts falling due within one year on demand:

Bank overdrafts

290,959

178,656

Bank loans

8,339

10,000

Other loans

10,000

309,298

198,656

Amounts falling due between two and five years:

Creditors more than 1 year

-

8,333

17.	SECURED DEBTS

The following secured debts are included within creditors:

2025

2024

£

Bank overdrafts

290,959

178,656

Bank loans

8,339

18,333

299,298

196,989

18.	MOVEMENT IN FUNDS

Net

movement

At

At 1.9.24

in funds

31.8.25

£

Unrestricted funds

General funds

1,008

(146,952

)

(145,944

)

TOTAL FUNDS

1,008

(146,952

)

(145,944

)

Net movement in funds, included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

Unrestricted funds

General funds

1,166,656

(1,313,608

)

(146,952

)

TOTAL FUNDS

1,166,656

(1,313,608

)

(146,952

)

Comparatives for movement in funds

Net

movement

At

At 1.9.23

in funds

31.8.24

£

Unrestricted funds

General funds

16,520

(15,512

)

1,008

TOTAL FUNDS

16,520

(15,512

)

1,008

Comparative net movement in funds, included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

Unrestricted funds

General funds

1,237,053

(1,252,565

)

(15,512

)

TOTAL FUNDS

1,237,053

(1,252,565

)

(15,512

)

The total funds at the year end can be further split as detailed below:

2025

2024

£

Called up share capital

700

Other reserves

120

Founder Governor prize fund

1,677

General funds

(148,487

)

(1,489

)

(145,990

)

1,008

As referred to in the trustees report the company policy is to operate with a small surplus of income over resources expended to provide funds for capital expenditure improvements and working capital. Plans are being developed to return the school to this position. The deficit this year was due to a number of exceptional circumstances which are not expected to be repeated in the current academic year; control of costs and striving for increased income remain a priority. The company has also undertaken steps to convert overdraft facilities included within short term creditors into non-current liabilities to further improve the balance sheet of the company.

19.	RELATED PARTY DISCLOSURES

The company incurred expenses on commercial terms for electrical work amounting to £840 (2024: £216) during the year with South Electrical Limited. Mr R South is a director of South Electrical Limited and a trustee of The Newark Preparatory School Company Limited. At the year end no amounts remained unpaid.

The company incurred expenses on commercial terms for payroll services amounting to £3,788 (2024: £3,654) during the year with TC Group. Mr J Dennis is a partner of TC Group and a trustee of The Newark Preparatory School Company Limited until 1 March 2025. At the year end there was a creditor balance of £279.

20.	POST BALANCE SHEET EVENTS

As referred to in the trustees report subsequent to the year end the company has undertaken steps to convert overdraft facilities of £291k included within short term creditors in the accounts into non-current liabilities to further improve the balance sheet of the company.

21.	TRUSTEES' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits from a trustee subsisted during the year ended 31 August 2025 and the year ended 31 August 2024:

2025

2024

£

W J Staunton

Balance outstanding at the start and end of period

10,000

The terms of the loan is that capital is to be repaid monthly at a minimum payment of £400 a month, although this has been suspended until the company is in a better financial position. The loan was from a Trustee W Staunton and there is no immediate repayment required for the money to be repaid. No interest is payable on the amount advanced.