In 2025, ISC represented the interests of our member associations and schools in supporting parent groups bringing a High Court Judicial review of VAT on school fees under the Human Rights Act. The case was heard in April and the outcome was confirmation that the government was free to impose 20% VAT on parents’ fees, but the judgement confirmed that this policy interfered with Human Rights of families, that it would cause detriment to groups of children and in particular those with special needs and disabilities. It confirmed that referring to the imposition of VAT as closing a “tax break” loophole was inaccurate sloganeering, and that the government was fully aware by imposing VAT on 1st January, 2025, maximum disruption would be caused to families mid-academic year.

Mark Taylor, interim chair, was confirmed in post as chair of ISC and undertook strategic workshops with board directors as part of governance review activities. Updated articles, terms of reference and other paperwork was introduced to refresh board operations.

ISC provided a voice for the sector in political and media debates over taxation and the consequences of VAT on parents’ fees, loss of Business rates Relief for schools run by charities and a rise in national Insurance alongside other topical issues.

ISC continued to serve its membership in three main areas of operation:

1 Policy and Public Affairs

Political engagement activity supported communications between government, key education sector stakeholders and independent schools on important matters of policy. We briefed politicians to raise concerns over the imposition of VAT in Parliament and supported schools with local political engagement. We continued to meet with Ministers and civil servants to represent member concerns. We responded to government consultations and continued to engage with officials on matters related to independent schools.

As the recognised stakeholder for independent schools, ISC continues to have regular meetings with the Minister responsible for independent schools. Meetings were held with Stephen Morgan MP and following a reshuffle, with Olivia Bailey MP. Conversations with DfE civil servants working in the independent schools division and education themes have continued on an ongoing basis covering a wide range of issues affecting the sector.

Work on policy matters was also taken forward through our advisory groups on issues including SEND, EDI, and sustainability.

The political spotlight on independent schools remained intense, particularly as independent schools closed across 2025 and pupil numbers reduced. We had an active programme of engagement with MPs, peers and other key stakeholders. ISC attended Labour, Conservative, and Liberal Democrat conferences.

Working with our member associations, we have ensured guidance and support has been provided to schools and we provided a weekly political report on relevant educational developments for member schools.

ISC continues to highlight the positive contribution of independent schools to society, widening access through bursary programmes and working collaboratively with state colleagues in cross-sector partnerships. We published our annual Celebrating Partnerships booklet at an event in Parliament attended by MPs and state and independent school heads.

2 Media and Communications

The ISC communications team remains busy covering a range of channels in internal and external communications.

National education correspondents and representatives of the trade press regularly approach ISC for comment on issues involving or affecting the sector. Media requests were particularly busy around court action challenging VAT on school fees.

ISC’s social media activity has continued to develop with a focus on key messages aligned with ISC policy positions. School Partnerships Week has become an annual event in November celebrating cross-sector collaboration between schools.

Publications and e-updates are frequently produced for external and internal audiences. This includes monthly reports, ad-hoc alerts for members, and other sector publications. Our annual Celebrating Partnerships booklet was enhanced this year by commissioned pieces across themes such as AI, mental health, oracy, teacher training and special educational needs.

The main ISC website provides information for schools through the Member Zone while the most popular part of the public-facing ISC website is content aimed mostly at parents and the school search. The Schools Together website contains case studies of partnership projects between state and independent schools. It also provides information for schools on how to get involved in partnerships.

ISC’s Daily News Summary audience now reaches over 12,500 subscribers. In addition to highlighting topical news stories of interest to schools, the DNS carries ISC blogs which provide heads and school staff with opportunities to explore education issues about which they are passionate.

3 Research and Data

Census and other surveys continue, and the research team analysed and reported on these. The 2025 Census report found there were 545,640 pupils at 1,423 ISC member schools, down from 556,551 in 2024. ISC schools provided SEND support to 117,618 pupils (21% of all ISC pupils). The proportion of minority ethnic pupils reflects general student population trends, at around 42%. Schools provided over £1.5 billion of fee assistance, nearly £550 million being means tested.

ISC’s head of research left after having supported a decade of census publications and a new head of research was appointed in December.

Financial results and reserves

The result for the year is a deficit before tax of £7,313 (2024: £100,818). The deficit was expected due to planned expenditure on projects. Accumulated reserves remain in excess of the ISC reserves policy:

“The Board has determined that the ISC’s reserves requirement should be calculated and reviewed at every ISC Finance Committee meeting. It should reflect current circumstances and risk factors rather than be formulaic and should include provision for closure commitments and lease obligations including dilapidations and provision for campaign funding. The Board has also determined that the minimum reserves requirement is £750,000. As at November 2025, it has been agreed that reserves of £825k would cover ISC’s lease obligations, costs that would become payable in the event of a winding up order and emergency campaign funding. The Board has determined that ISC’s reserves should be split between cash and short term readily available investments, with cash levels to meet peak forecast monthly operational cash flow requirements. The total reserves are £1,149,200 (2024: £1,172,064) at 31 December 2025.”

ISC investment policy objective: the financial objective of the ISC is to generate a stable, regular income plus capital growth by means of a discretionary balanced multi-asset portfolio investing in a range of UK and overseas equities, fixed income, alternatives and cash, the proportions thereof to be determined by the investment managers, Evelyn Partners, after discussion with the directors, but within given ranges, restrictions and constraints.

The directors present their annual report and financial statements for the year ended 31 December 2025.

The aim of the Independent Schools Council (ISC) is to be a service organisation promoting and protecting the independent education sector. The six principal activities of ISC are to:

• Promote public affairs and parliamentary engagement on behalf of the sector

• Provide authoritative research and intelligence about the sector

• Provide legal and regulatory information/guidance

• Provide online access and support informing parental decisions

• Promote the sector through agreed national messaging and communications

• Provide a meeting place in central London for members

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

ISC Constituent Associations

Association of Governing Bodies of Independent Schools (AGBIS)

Girls’ Schools Association (GSA)

HMC (The Heads’ Conference)

Independent Association of Prep Schools (IAPS

Independent Schools Association (ISA)

Independent Schools’ Bursars Association (ISBA)

The Society of Heads

In the event of the company being wound up the liability of each member association is limited to £1.

Affiliate Members of ISC    

Council of British International Schools

Boarding Schools Association

Scottish Council of Independent Schools

Welsh Independent Schools Council

Each affiliate member has the right to attend but not to vote at general meetings.

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors 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 company and of the surplus or deficit of the company for that period. In preparing these financial statements, the directors are required to:

• select suitable accounting policies and then apply them consistently;

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

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

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the 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 company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

So far as each of the directors is aware at the time the report is approved:

• there is no relevant audit information of which the company's auditors are unaware; and

• the Directors 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.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law, the directors 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 company and of the surplus or deficit of the company for that period.

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

• select suitable accounting policies and then apply them consistently;

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

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

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the 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 company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

We have audited the financial statements of Independent Schools Council (the 'company') for the year ended 31 December 2025 which comprise the statement of comprehensive income, the balance sheet 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).

In our opinion the financial statements:

• give a true and fair view of the state of the company's affairs as at 31 December 2025 and of its deficit 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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the 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 directors' 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 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 directors 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 directors 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. 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 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 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 our audit:

• the information given in the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the directors' report has been prepared in accordance with applicable legal requirements.

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' 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 directors' remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit; or

• the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption in preparing the directors' report and from the requirement to prepare a strategic report.

As explained more fully in the directors' responsibilities statement, the directors 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 directors 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 directors are responsible for assessing the 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 directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

• the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

• we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the sector;

• we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation, employment, environmental and health and safety legislation;

• we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

• identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

• making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud;

• considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

• understanding the design of the company’s remuneration policies.

To address the risk of fraud through management bias and override of controls, we:

• performed analytical procedures to identify any unusual or unexpected relationships;

• tested journal entries to identify unusual transactions;

• assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

• investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

• agreeing financial statement disclosures to underlying supporting documentation;

• reading the minutes of meetings of the board of directors;

• enquiring of management as to actual and potential litigation and claims; and

• reviewing correspondence with HMRC.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://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 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 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 company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

The income and expenditure account has been prepared on the basis that all operations are continuing operations.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

Independent Schools Council is a private company limited by guarantee incorporated in England and Wales. The registered office is Second Floor, 23 Buckingham Gate, London, SW1E6LB.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

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

The financial statements have been prepared under the historical cost convention, modified to include certain financial instruments at fair value. The principal accounting policies adopted are set out below.

Turnover is the amount derived from the provision of services falling within the company’s ordinary activities. In particular subscription revenue is recognised in the subscription year to which it relates.

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life:

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to surplus or deficit.

Investments are initially measured at transaction price excluding transaction costs and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in the income and expenditure account. Transaction costs are expensed to the income and expenditure account as incurred.

A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in surplus or deficit, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in surplus or deficit, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

The company is a mutual body and therefore not subject to taxation on transactions with its members.

For those items of non-mutual trading, such as on investment income and gains, UK corporation tax, is provided at amounts expected to be paid (or recovered) using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax is provided in full on timing differences that exist at the balance sheet date and that result in an obligation to pay more tax, or a right to pay less tax in the future. The deferred tax is measured at the rate expected to apply in the periods in which the timing differences are expected to reverse, based on the tax rates and laws that are enacted or substantively enacted at the balance sheet date. Timing differences arise from the inclusion of items of income and expenditure in taxation computations in periods different from those in which they are included in the company financial statements. Deferred tax assets are recognised to the extent that it is regarded as more likely than not that they will be recovered. Deferred tax assets and liabilities are not discounted.

Provisions are recognised when the company has a legal or constructive present obligation as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation. Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision is measured at present value, the unwinding of the discount is recognised as a finance cost in surplus or deficit in the period in which it arises.

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

The Company operates a defined contribution scheme covering all of its employees. The employer’s contributions are charged to the income and expenditure account in the year in which they arise. No further liabilities accrue to the Company under this scheme.

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Judgements in applying accounting polocies and key sources of estimation uncertainty

In the process of applying its accounting policies, the Company is required to make certain estimates, judgements and assumptions that it believes are reasonable based on the information available. These judgements, estimates and assumptions affect the amounts of assets and liabilities at the date of the financial statements and the amounts of revenues and expenses recognised during the reporting periods presented.

The following paragraphs details the estimates and judgements the Company believes to have the most significant impact on the annual results under FRS 102.

Dilapidation provision

The provision is based on a professional survey of the dilapidations at the time the previous tenant vacated the property. Such a provision is maintained and reviewed on an annual basis, until conclusion of the current agreement.

Government legal cost provision

The company took part in a legal case relating to the new VAT legislation on independent schools and lost. The provision is based on a cost estimate provided by the company's legal advisors relating to the monies owed back to the Government for their legal costs.

The average monthly number of persons (including directors) employed by the company during the year was 14 people, Full Time Equivalent (FTE) 12 (2024 : 16 people, FTE 14).

The key management of the company comprise the directors and the senior management team. The total amount of employee benefits (including employer pension contributions and employer national insurance contributions) received by key management personnel for their services to the company was £520,128 (2024: £533,083).

The company is limited by guarantee, not having a share capital and consequently the liability of members is limited, subject to an undertaking by each member to contribute to the net assets or liabilities of the company on winding up such amounts as may be required not exceeding £1.

During the year a donation of £10,000 was made to a school belonging to one of the member associations of the Independent Schools Council in recognition of the support provided by a staff member of that school to the Council during the year.