the green school 2014accswiz · trustees are formed to look at areas in detail, such as finance,...

Registered number: 08608665

The Green School Trust

(A company limited by guarantee)

Trustees' report and financial statements

For the period from 15 July 2013 to 31 August 2014

The Green School Trust (A company limited by guarantee)

Contents

Page

Reference and administrative details of the academy, its trustees and advisers

1 - 2

Trustees' report

3 - 11

Governance statement

12 - 15

Statement on regularity, propriety and compliance

16

Trustees' responsibilities statement

17

Independent auditors' report

18 - 19

Independent reporting accountant's assurance report on regularity

20 - 21

Statement of financial activities

22

Balance sheet

23

Cash flow statement

24

Notes to the financial statements

25 - 48


Reference and administrative details of the academy, its trustees and advisersFor the period ended 31 August 2014

Board of Trustees

Ms M C Arnold, Chair (appointed 28 July 2013)Miss E Wolverson, Vice Chair (appointed 15 July 2013)Mr J Beastall CB (appointed 15 July 2013)Mr G Bennett (appointed 28 July 2013)Revd A Brooker (appointed 28 July 2013)Mrs J Coughlan CBE, Head Teacher (appointed 10 February 2014)Mr P Williams (appointed 28 July 2013)Mrs P Butterfield (appointed 15 July 2013, resigned 29 December 2013)

Members

Mr J Beastall CB (appointed 11 July 2013)The London Diocesan Board for Schools (appointed 11 July 2013)Mr I Woolf (appointed 11 July 2013)The Bishop of Kensington (appointed 3 October 2013)

Local Governing Body

Mr J Beastall CB, ChairMr P BealMr W ClarkMrs C FletcherRevd N MoyMrs K FrostMrs J Coughlan CBE, HeadteacherMs U ChaudriMrs S Ajayi, Vice ChairMr A SmithMs J Walker (Clerk 2013-14)

2013-14:Exclusion Panel: Mr J Beastall CB (Chair); Mrs S Ajayi, Revd N MoyComplaints Panel: Mr P Beal (Chair); Mrs C Fletcher; Mrs G Manley-Green (independent panel member)

Senior Management Team

Mrs P Butterfield, Headteacher until December 2013Mrs J Coughlan CBE, Interim Headteacher from January 2014 Ms L Buist, Deputy Headteacher Mrs K Heard, Deputy HeadteacherMr J Wiffen, Director of Finance and OperationsMr S Burns, Assistant HeadMs H Cooper, Assistant Head, Director of Sixth Form Mr R Espinosa, Assistant Head Mr U Patel, Assistant HeadMs A Douglas, Senior LeaderMr D O’Driscoll, Senior LeaderMs J Woolley, Senior Leader

Audit Committee

Mr J Beastall CB (Chair)Mr P WilliamsMr G Bennett

Page 1


Reference and administrative details of the academy, its trustees and advisersFor the period ended 31 August 2014

Administrative details (continued)

Pay Committee

Ms M C ArnoldMr J Beastall CBMiss E Wolverson

Company registered number

08608665

Principal and registered office

The Green SchoolBusch CornerLondon RoadIsleworthMiddlesexTW7 5BB

Company secretary

Mr J Wiffen

Independent auditors

Reeves & Co LLPStatutory AuditorChartered AccountantsThird Floor24 Chiswell StreetLondonEC1Y 4YX

Bankers

National Westminster Bank Plc468 London RoadIsleworthMiddlesexTW7 4DD

HSBC127 High StreetHounslowMiddlesexTW3 1QP

Solicitors

Winckworth SherwoodMinerva House5 Montague CloseLondonSE1 9BB

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Trustees' reportFor the period ended 31 August 2014

The Trustees (who are also directors of the charity for the purposes of the Companies Act) present their annualreport together with the audited financial statements and Auditors' report of The Green School Trust (theacademy) for the period starting 15 July 2013 and ending 31 August 2014. The Trustees confirm that theAnnual report and financial statements of the academy comply with the current statutory requirements, therequirements of the academy's governing document and the provisions of the Statement of RecommendedPractice (SORP) "Accounting and Reporting by Charities" issued in March 2005. The annual report serves thepurposes of both a trustees' report and a directors' report under company law.

The Trust operates an academy for pupils aged 11 to 19 serving a catchment area in Hounslow and otherboroughs. It has an agreed pupil capacity of 940 and had a roll of 900 in the school census on 16 October 2013.The school provides education for girls aged 11 to 16 and has a Sixth Form open to boys also.

Structure, governance and management � Constitution The Green School Trust is a company limited by guarantee and an exempt charity, which was constituted as aMulti-Academy Trust on 15 July 2013 and commenced operation on 1 August 2013. The Green School wasestablished as an Academy on 1 August 2013 and replaced The Green School (Voluntary Aided), which ceasedto exist on 31 July 2013. The Charitable Company’s Memorandum and Articles of Association are the primarygoverning documents of the academy trust.

Details of the Trustees who served throughout the year are included in the Reference and AdministrativeDetails on page 1. � Members' liability Each member of the charitable company undertakes to contribute to the assets of the charitable company inthe 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 ceasedto be a member. � Trustees' indemnities During the period, all Trustees were indemnified through a professional risks policy with QBE Insurancecovering their liability in respect of negligence, default or breach of trust. The limit of indemnity is £2,000,000,including defence costs and expenses.

� Method of recruitment and appointment or election of Trustees Under the Articles of Association. the Members of the company appoint the Trustees. Appointments are for aperiod of up to four years. Trustees may be re-appointed. When appointing new Trustees the members willhave in mind the need to maintain a Board of Trustees which has an appropriate range of skills and experienceand which supports the ethos of Church of England schools. � Policies and procedures adopted for the induction and training of Trustees An induction programme is provided for new Trustees. Training is provided by the London Diocesan Board forSchools, including seminars on specific areas of interest. In addition there is a Service Level Agreement withthe Local Authority for support, development and training.

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Trustees' report (continued)For the period ended 31 August 2014

� Organisational structure The Trustees have overall responsibility for the management of the organisation. This responsibility isexercised largely through the Local Governing Body of the The Green School, which the trust board holds toaccount.

The Governance system consists of three layers:

� Members� Trustees� Governors (appointed as a Local Governing body (LGB) for The Green School)

The Finance and Operations System provides the following functions:

� Finance� Human Resources� Facilities Management� Office Management� Management Information

The Trustees have delegated the day to day management of the school to the Headteacher (who is theAccounting Officer) and the Senior Leadership Team. In 2013-14 the Senior Leadership Team consisted of theHeadteacher, two Deputy Headteachers, four Assistant Headteachers and three Senior Leaders. In addition, aDirector of Finance and Operations was appointed to the Trust in August 2013 with responsibility for finance,human resources, facilties management, office management and management information.

Decisions are achieved through clearly delineated levels of authority. Groups of leaders, Governors andTrustees are formed to look at areas in detail, such as finance, student performance and health and safetypolicy. � Connected organisations, including related party relationships The Founding Members of the Green School Trust include the London Diocesan Board for Schools (LDBS) andthe Chief Executive Officer of LDBS. In addition the LDBS Director of School Support Services is a Trustee.The Green School Trust receives some HR, leadership and governor services from LDBS and their relatedtrading partner Grow Education Partners. LDBS have confirmed that services provided to The Green Schoolare provided at cost. All new services received by the school are subject to competitive tendering processesand this will include any renewal of existing services. Objectives and Activities � Objects and aims The Trust’s Object is specifically to advance, for the public benefit, education in the United Kingdom, inparticular by establishing and maintaining academies offering a broad and balanced curriculum, includingChurch of England schools and other Academies with or without a designated religious character.

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� Objectives, strategies and activities The school mission is “Outstanding education in a Christian context”. This includes:

� Providing a welcoming, safe and caring environment where every individual is highly valued, respectedand supported

� Promoting an inclusive ethos� Creating an excellent learning environment in which all students can fulfill their potential in both

academic achievement and personal development� Preparing all students to become valuable citizens, who serve with gladness and assume positions of

responsibility in society

The School Improvement Plan (SIP) is the main vehicle for assessing, monitoring and reviewing the school’sprogress towards the objectives.

During the year, the SIP included the following objectives:

� Improving teaching and learning through a greater number of outstanding and good lessons, morestudent-led learning and more thorough marking and feedback

� Tackling in-school variation, including the gap between Pupil Premium and non-Pupil Premium students� Further improving progress in the Sixth Form� Maintaining the school's high standards of behaviour and attendance� Further enriching the spiritual life of the school� Developing a more robust personnel management policy linked appropriately with pay� Improving the school's engagement with parents � Public benefit In setting our objectives and planning our activities the Trustees have given careful consideration to the CharityCommission’s general guidance on public benefit.

The primary objective of the Trust is to provide Church of England academy schools for the benefit of students.The direct beneficiaries of the activities of the Trust are not only the students from the area of Hounslow andthe wider areas, who attend the school(s), but are also those students and adults who benefit from the use offacilities and outreach work of the trust.

The existing school is able to accept 150 students to Year 7. Where there are more applications than placesavailable, places will be offered to students in the following categories:

� Christian foundation places – 110� Other world faiths – 30 places� Community – 10 places

From September 2016 the categories will be: Christian - 100; Other world faiths - 30; Community - 20.

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Strategic report Achievements and performance � Key financial performance indicators Teaching and learning

The quality of teaching and learning was demonstrated by the summer 2014 results:

Key Stage 4

In 2014 Pupil Premium students' GCSE results were higher than the national average for all students; and thegap between Pupil Premium students and non-Pupil Premium at GCSE narrowed:

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Key Stage 5

Student destinations

Behaviour and attendance

The high standard of student behaviour was maintained during the year. Attendance in 2013-14 was 96.2%compared with 95.0% in 2012-13.

Spiritual Moral Social Cultural (SMSC)

The spiritual life of the school was enhanced by the appointment of a school Chaplain, a new post, in February2014.

Personnel management

New pay and appraisal policies were introduced during the year. Pay awards in in autumn 2014 are beingmade on performance against targets and teaching standards. There was a relatively high level of staffturnover, mainly because of normal professional advancement and domestic circumstances. The Trust isfurther developing its induction and retention strategies.

Engagement with parents

Communication with parents has been improved through twice-termly Parents' Forum meetings, attended bythe Chair of Governors. A Kirkland Rowell survey of staff, students and parents is taking place in November2014.

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Student numbers

The number of students on the roll during 2012-13 and 2013-14 was as follows:

Published Admission Number: 11-16 = 761; 16-19 = 179; Total = 940

� Going concern After making appropriate enquiries, the Trustees have a reasonable expectation that the academy trust hasadequate resources to continue in operational existence for the foreseeable future. For this reason it continuesto adopt the going concern basis in preparing the financial statements. The balance sheet at 31st August 2014shows a net liability of £587,462. However this is due to the transfer of the Local Government Pension Schemeliability of £1,438,000 from the Local Authority on the school’s conversion to an academy. Many otheracademies are in a similar position. The deficit will be funded through future contribution rates. Further detailsregarding the adoption of the going concern basis can be found in the Statement of Accounting Policies. � Investment policy and performance The Trustees invest funds not immediately required for achieving the Trust's object. Reserve funds are held ondeposit in interest bearing accounts in UK-regulated banks or in other instruments where the capital is not atrisk, as agreed from time to time by the Board. Financial review Current income and expenditure

The key financial objective in 2013-14 was to establish a balanced budget, preferably with a modest surplus toadd to reserves. This was successfully achieved:-

Period from 1 August 2013 to 31 August 2014

Total current income - £5,725,061Total current expenditure - £5,537,491Surplus for the period - £187,570

The Trustees are aware that a higher percentage of its expenditure is devoted to human resources than is thecase with many comparable schools. They will be seeking to address this issue in the medium term.

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Capital income and expenditure

During the year, the Trustees and Governors undertook capital expenditure for the enhancement of the schoolfacilities, as follows:

The Trust is in communication with the EFA regarding any variances between ACMF income and expenditure.

Most of the income received by the Trust is government funding. Other income includes donations fromparents, lettings to local community groups and receipts for work with other educational initiatives such as theNational College. Most expenditure relates to staff salaries, service level agreements for support services andmaintenance. Curriculum areas, including IT, were provided with budgets to enable the purchase of curriculumresources. Systems to spend, monitor and evaluate pupil premium and 16-19 bursary funding are robust.

All expenditure has been devoted strictly to the pursuit of the object and aims of the Trust. Apart from a smallamount used by the Trust towards developing its proposal to the Department for Education for the opening ofthe Green School for Boys, the Trust’s desired second school, funds were used exclusively for providingeducation and associated support services to the pupils of the Trust’s existing school.

Finance policy

The Trust adopted a new finance policy from the start of the year. Key areas covered by the policy include:

� Organisation of the financial system� Accounting system structure and organisation� Financial planning� Payroll and staff expenses� Purchasing system� Financial approval limits � Reserves policy The Trust aims to maintain reserves in order to provide flexibility and certainty in forward planning and toprovide a buffer against a possible future funding shortfall. The current policy is to retain free reserves at 10%of annual expenditure. This policy will be kept under review.

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� Principal risks and uncertainties Principal risks identified include:

Shortfall in student numbersThe girls' school is at present substantially oversubscribed, but the Trustees are developing a marketingstrategy for the future.

Failure to achieve student attainment targetsThe Trust has robust systems in place for monitoring student and teacher performance and for takingimprovement action, when required.

Changes to government policy, including changes in 16-19 funding and in assessment criteriaThe Trust monitors government educational and financial policy for schools. The school is working to addressthe risks associated with the changes in 16-19 funding. � Deficit The restricted fund at 31 August 2014 is in deficit by £1,104,149. This arises from the pension reserve fundwhich represents the Academy's share of the LGPS fund deficit of £1,438,000, calculated in accordance withFinancial Reporting Standard (FRS) 17 by Barnett Waddingham LLP. Employer contributions are reviewedevery three years in consultation with the scheme's administrators, and employer contributions due by theAcademy have been fixed at 13.5% for the three years from 1 April 2014. Plans for future periods � Plans for future periods The Trust aims to continue to maintain the girls school as a high performing Church of England Academy andis seeking in due course to expand the Academy from five to six forms of entry, in line with the need for placeswithin Hounslow and surrounding areas.

The Trust has established a working group on the sixth form, to establish its future offer and develop amarketing strategy.

The Trustees have appointed a new substantive Headteacher for the girls school from January 2015.

The Trust has applied jointly, with the London Diocesan Board for Schools, to the Department for Education toopen a parallel boys' school in September 2016. The school if approved will be a high performing academy witha focus on the learning needs of boys. (end of Strategic Report)

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Disclosure of information to auditors Each of the persons who are Trustees at the time when this Trustees' report is approved has confirmed that:

� so far as that Trustee is aware, there is no relevant audit information of which the charitable company'sauditors are unaware, and

� that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware ofany relevant audit information and to establish that the charitable company's auditors are aware of thatinformation.

Auditors The auditors, Reeves & Co LLP, have indicated their willingness to continue in office. The Designated Trusteeswill propose a motion re-appointing the auditors at a meeting of the Trustees.

This report, incorporating the Strategic report, was approved by order of the Board of Trustees, as the companydirectors, on 8 December 2014 and signed on the board's behalf by:

Ms M C ArnoldChair of Trustees

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Governance Statement

Scope of Responsibility

As Trustees, we acknowledge we have overall responsibility for ensuring that The Green School Trust has aneffective and appropriate system of control, financial and otherwise. However such a system is designed tomanage rather than eliminate the risk of failure to achieve business objectives, and can provide onlyreasonable and not absolute assurance against material misstatement or loss.

The Board of Trustees and Local Governing Body has delegated the day-to-day responsibility to theHeadteacher, as Accounting Officer, for ensuring financial controls conform with the requirements of bothpropriety and good financial management and in accordance with the requirements and responsibilitiesassigned to it in the funding agreement between The Green School Trust and the Secretary of State forEducation. They are also responsible for reporting to the Board of Trustees any material weaknesses orbreakdowns in internal control.

Governance

The Green School Trust has a Board of Trustees which is responsible for the strategic direction of the Trust.Each academy has its own Local Governing Body which reports to the Board.

The information on governance included here supplements that described in the Trustees' report and in theTrustees' responsibilities statement. The Board of Trustees has formally met 10 times during the period.Attendance during the period at meetings of the Board of Trustees was as follows:

Trustee Meetings attended Out of a possible

Ms M C Arnold, Chair 10 10Mr J Beastall CB 10 10Mr G Bennett 9 10Revd A Brooker 6 10Mrs P Butterfield (resigned 29/12/2013) 4 4Mrs J Coughlan CBE, Principal (appointed10/02/2014)

5 6

Mr P Williams 8 10Miss E Wolverson, Vice Chair 10 10

Mrs Pam Butterfield resigned as Headteacher in December 2013 and was succeeded the following term by MrsJill Coughlan as Interim Headteacher. Mr John Beastall stepped down as Chair of the Board in May 2014 toconcentrate on leading the Local Governing Body and was succeeded as Chair by Ms Clare Arnold. Therewere no other changes in the composition of the Board during the year. The Revd Anna Brooker was on studyleave for three months. During the year the Board consolidated the new governance structure, agreeing thedelegation of powers to the Local Governing Body, and established the Audit Committee. It exercised astrategic oversight of the performance of the girls' school and regularly monitored the LGB’s work. It facilitatedthe smooth transfer of day-to-day responsibilities from the Headteacher to the new Interim Headteacher. Itsother major piece of work was the application to the Department for Education to open a Church of EnglandFree School – The Green School for Boys – in September 2016.

Governance reviews:

In July 2014 the Local Governing Body updated a self-evaluation originally conducted in January 2013. Themain areas identified for development were:

� to make space at full Governors' meetings for more in-depth discussion;� to improve Governors' knowledge of good educational practice elsewhere in the country;� to explore the scope for collaboration with other schools at Governor level;� to focus on improving value for money in the school's expenditure.

These issues will be taken forward in the current year. In addition the Trustees and the Local Governing Bodyhave commissioned an external review of the whole governance structure in November 2014.

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Governance Statement (continued)

The Local Governing Body has formally met nine times during the period. Attendance was as follows:

Attendance at meetings in the period was as follows:

Governor Meetings attended Out of a possible

Mr J Beastall CB, Chair 9 9Mrs S Ajayi, Vice Chair 6 9Mr W Clark 5 6Mrs C Fletcher 2 4Revd N Moy 3 5Mrs K Frost 4 6Mrs J Coughlan CBE 6 6Ms U Chaudri 4 6Mr P Beal 7 9Mr A Smith 7 9Mrs P Butterfield (resigned 31 December 2013) 2 3Revd R Hoad (resigned 31 December 2013) 2 3Ms L Jones 7 9Mrs P Pask 3 4

The Local Governing Body is a committee of the Board of Trustees. Its purpose is to ensure that the vision,ethos and strategic direction of the school are clearly defined; to support the Headteacher, the SeniorLeadership Team and the staff in achieving outstanding teaching and learning, ensuring that the Headteachercarries out her responsibilities for the educational performance of the school; and to ensure the sound, properand effective use of the school’s financial resources.

During the year Mrs Pam Butterfield, The Revd Rosemary Hoad and Mrs Penny Pask resigned as FoundationGovernors. Mrs Lucy Jones resigned as the Staff Governor as from the end of the summer term. Governorswelcomed new Foundation Governors Mrs Jill Coughlan, Mr William Clark, Mrs Carol Fletcher and Mrs KateRosser Frost and the LGB’s co-opted Community Governor, Ms Unsa Chaudri. Mr John Beastall wasappointed Chair by the Board of Trustees and the LGB elected as its Vice Chair Mrs Stephanie Ajayi.

In addition, small Working Groups of Governors, for example finance and pupil progress, met when necessary.

The Audit Committee is also a sub-committee of the main Governing Body. Its purpose is to ensure that themaximum degree of assurance is provided to the Board that the Trust’s resources are used only for thepurposes for which they are received and within the objects of the Trust and are properly accounted for; thatfinancial controls are effective; that value for money is obtained and that risk is well managed.

At its two meetings during the year the Audit Committee agreed the Trust's accounting policies, established theinternal audit programme, considered the auditors' first internal audit report and ensured that action was in handto implement their recommendations. The Committee also discussed improvements to the budgetting processand arranged for the appropriate circulation of the monthly management accounts. The Committee reported onits work to the Board of Trustees.

Attendance at meetings in the period was as follows:

Trustee Meetings attended Out of a possible

Mr J Beastall CB 2 2Mr G Bennett 2 2Mr P Williams 2 2

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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 riskof failure to achieve policies, aims and objectives; it can therefore only provide reasonable and not absoluteassurance of effectiveness. The system of internal control is based on an ongoing process designed to identifyand prioritise the risks to the achievement of academy policies, aims and objectives, to evaluate the likelihoodof those risks being realised and the impact should they be realised, and to manage them efficiently, effectivelyand economically. The system of internal control has been in place in The Green School Trust for the period 1August 2013 to 31 August 2014 and up to the date of approval of the annual report and financial statements.

Capacity to Handle Risk

The Board of Trustees and the Local Governing Body has reviewed the key risks to which the academy isexposed together with the operating, financial and compliance controls that have been implemented tomitigate those risks. The Board of Trustees and Governors are of the view that there is a formal ongoingprocess for identifying, evaluating and managing the academy's significant risks, that has been in place for theperiod 1 August 2013 to 31 August 2014 and up to the date of approval of the annual report and financialstatements. This process is regularly reviewed by the Board of Trustees and Governors.

The Risk and Control Framework

The academy’s system of internal financial control is based on a framework of regular management informationand administrative procedures including the segregation of duties and a system of delegation andaccountability. In particular, it includes:

� comprehensive budgeting and monitoring systems with an annual budget and periodic financial reportswhich are reviewed and agreed by the Board of Trustees;

� regular reviews by the Audit Committee and Finance Group of reports which indicate financialperformance against the forecasts and of major purchase plans, capital works and expenditureprogrammes;

� setting targets to measure financial and other performance;� clearly defined purchasing (asset purchase or capital investment) guidelines.� delegation of authority and segregation of duties;� identification and management of risks.

The Board of Trustees has considered the need for a specific internal audit function and has decided to appointReeves & Co LLP as Internal Auditor.

The Internal Auditor's role includes giving advice on financial matters and performing a range of checks on theacademy's financial systems. On a quarterly basis, the Internal Auditor reports to the Board of Trustees on theoperation of the systems of control and on the discharge of the Board of Trustees' financial responsibilities.

The internal auditor’s schedule of works has been completed in line with the expected schedule. Areas of thefinancial system identified as requiring further attention, include:

� Ensuring that all transactions within the purchase system have suitable records and authority� Refining aspects of the finance policy to ensure robust compliance with accounting standards and best

practice� Developing the capacity of the finance team to cope with the additional responsibilities of academy

financial reporting� Further developing the Academy Risk Register and Business Continuity Plan so that they can fully be

implemented as vital strategic planning documents

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The approach to resolve any issues identified is to use temporary solutions whilst affording time to diagnoseroot causes of problems. Such an approach involves the use of effective meetings, with appropriatestakeholders, to re-engineer business processes, where required. Items identified through internal and externalaudit inspections are captured in an open issues matrix, which allows comment on progress or issues affectingprogress. The document is shared between the Director of Finance, Accounting Officer and Audit Committee.Targets are set and reviews are conducted on a termly basis, to ascertain progress and update the matrixaccordingly.

Review of Effectiveness

As Accounting Officer, the Headteacher has responsibility for reviewing the effectiveness of the system ofinternal control. During the period in question the review has been informed by:

� the work of the internal auditor;� the work of the external auditors;� the financial management and governance self-assessment process;� the work of the executive managers within the academy 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 ofinternal control by the Audit Committee and a plan to address weaknesses and ensure continuous improvementof the system is in place.

Approved by order of the members of the Board of Trustees on 8 December 2014 and signed on its behalf, by:


Mrs J Coughlan CBEAccounting Officer

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Statement on Regularity, Propriety and Compliance

As Accounting Officer of The Green School Trust I have considered my responsibility to notify the academyBoard of Trustees and the Education Funding Agency of material irregularity, impropriety and non-compliancewith EFA terms and conditions of funding, under the funding agreement in place between the academy and theSecretary of State. As part of my consideration I have had due regard to the requirements of the AcademiesFinancial Handbook (2013).

I confirm that I and the academy Board of Trustees are able to identify any material, irregular or improper useof funds by the academy, or material non-compliance with the terms and conditions of funding under theacademy's funding agreement and the Academies Financial Handbook (2013).

I confirm that no instances of material irregularity, impropriety or funding non-compliance have beendiscovered to date. If any instances are identified after the date of this statement, these will be notified to theBoard of Trustees and EFA.

Mrs J Coughlan CBEAccounting Officer

Date: 8 December 2014

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Trustees' responsibilities statementFor the period ended 31 August 2014

The Trustees (who act as governors of The Green School Trust and are also the directors of the charitablecompany for the purposes of company law) are responsible for preparing the Trustees' report (including theStrategic report) and the financial statements in accordance with the Annual Accounts Direction issued by theEducation Funding Agency, United Kingdom Accounting Standards (United Kingdom Generally AcceptedAccounting Practice) and applicable law and regulations. Company law requires the Trustees to prepare financial statements for each financial year. Under companylaw the Trustees must not approve the financial statements unless they are satisfied that they give a true andfair view of the state of affairs of the charitable company and of its incoming resources and application ofresources, including its income and expenditure, for that period. In preparing these financial statements, theTrustees are required to:

� select suitable accounting policies and then apply them consistently;

� observe the methods and principles of the Charities SORP;

� make judgments and accounting estimates that are reasonable and prudent;

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

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explainthe charitable company's transactions and disclose with reasonable accuracy at any time the financial positionof the charitable company and enable them to ensure that the financial statements comply with theCompanies Act 2006. They are also responsible for safeguarding the assets of the charitable company andhence 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 appliesfinancial and other controls, which conform with the requirements both of propriety and of good financialmanagement. They are also responsible for ensuring grants received from EFA/DfE have been applied forthe purposes intended. The Trustees are responsible for the maintenance and integrity of the corporate and financial informationincluded on the charitable company's website. Legislation in the United Kingdom governing the preparationand dissemination of financial statements may differ from legislation in other jurisdictions. Approved by order of the members of the Board of Trustees on 8 December 2014 and signed on its behalf by:


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Independent auditors' report to the members of The Green School Trust

We have audited the financial statements of The Green School Trust for the period ended 31 August 2014which comprise the Statement of financial activities, the Balance sheet, the Cash flow statement and therelated notes. The financial reporting framework that has been applied in their preparation is applicable law,United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and theAcademies Accounts Direction 2013 to 2014 issued by the Education Funding Agency. This report is made solely to the academy's members, as a body, in accordance with Chapter 3 of Part 16 ofthe Companies Act 2006. Our audit work has been undertaken so that we might state to the academy'smembers those matters we are required to state to them in an Auditors' report and for no other purpose. To thefullest extent permitted by law, we do not accept or assume responsibility to anyone other than the academyand its members, as a body, for our audit work, for this report, or for the opinion we have formed. Respective responsibilities of Trustees and auditors As explained more fully in the Trustees' responsibilities statement, the Trustees (who are also the directors ofthe academy for the purposes of company law) are responsible for the preparation of the financial statementsand for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicablelaw and International Standards on Auditing (UK and Ireland). Those standards require us to comply with theAuditing Practices Board's Ethical Standards for Auditors. Scope of the audit of the financial statements An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient togive reasonable assurance that the financial statements are free from material misstatement, whether causedby fraud or error. This includes an assessment of: whether the accounting policies are appropriate to theacademy's circumstances and have been consistently applied and adequately disclosed; the reasonableness ofsignificant accounting estimates made by the Trustees; and the overall presentation of the financial statements.In addition, we read all the financial and non-financial information in the Trustees' report to identify materialinconsistencies with the audited financial statements and to identify any information that is apparentlymaterially incorrect based on, or materially inconsistent with, the knowledge acquired by us in the course ofperforming the audit. If we become aware of any apparent material misstatements or inconsistencies weconsider the implications for our report.

Opinion on financial statements In our opinion the financial statements: � give a true and fair view of the state of the academy's affairs as at 31 August 2014 and of its incoming

resources and application of resources, including its income and expenditure, for the period 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 and the AcademiesAccounts Direction 2013 to 2014 issued by the Education Funding Agency.

Opinion on other matter prescribed by the Companies Act 2006 In our opinion the information given in the Trustees' report, incorporating the Strategic report, for the financialperiod for which the financial statements are prepared is consistent with the financial statements.

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Independent auditors' report to the members of The Green School Trust

Matters on which we are required to report by exception We have nothing to report in respect of the following matters where the Companies Act 2006 requires us toreport 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.

Peter Manser FCA DChA (Senior Statutory Auditor)for and on behalf ofReeves & Co LLPStatutory AuditorChartered AccountantsLondon9 December 2014

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Independent reporting accountants' assurance report on regularity to The Green School Trust and theEducation Funding Agency

In accordance with the terms of our engagement letter dated 26 September 2014 and further to therequirements of the Education Funding Agency (EFA) as included in the Academies Accounts Direction 2013 to2014, we have carried out an engagement to obtain limited assurance about whether the expenditure disbursedand income received by The Green School Trust during the period 1 August 2013 to 31 August 2014 have beenapplied to the purposes identified by Parliament and the financial transactions conform to the authorities whichgovern them.

This report is made solely to The Green School Trust and EFA in accordance with the terms of our engagementletter. Our work has been undertaken so that we might state to The Green School Trust and EFA those matterswe are required to state in a report and for no other purpose. To the fullest extent permitted by law, we do notaccept or assume responsibility to anyone other than The Green School Trust and EFA, for our work, for thisreport, or for the conclusion we have formed.

Respective responsibilities of The Green School Trust's accounting officer and the reportingaccountant

The accounting officer is responsible, under the requirements of The Green School Trust's funding agreementwith the Secretary of State for Education dated 26 July 2013, and the Academies Financial Handbook extantfrom 1 September 2012, for ensuring that expenditure disbursed and income received is applied for thepurposes 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 ethicalguidance and are to obtain limited assurance and report in accordance with our engagement letter and therequirements of the Academies Accounts Direction 2013 to 2014. We report to you whether anything has cometo our attention in carrying out our work which suggests that in all material respects, expenditure disbursed andincome received during the period 1 August 2013 to 31 August 2014 have not been applied to purposesintended 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 Academies Accounts Direction 2013 to 2014 issued byEFA. We performed a limited assurance engagement as defined in our engagement letter.

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

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

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

Page 20


Independent reporting accountants' assurance report on regularity to The Green School Trust and theEducation Funding Agency (continued)

The work undertaken to draw to our conclusion includes:- Reviewed expenditure against specific terms of grant funding within the funding agreement- Ensured that grants have been applied for the purposes intended- Confirmed that internal control procedures exist relating to expenditure incurred of cash and credit cards- Confirmed items claimed on cash and credit cards are not for personal benefit- Reviewed expenditure and considered whether any supplies are from related parties- Reviewed minutes of the Board of Trustees and the Local Governing Body for declaration of interests- Considered whether other income activities are permitted within the Academy Trust's charitable objects- Considered if borrowing agreements, including leases, have been made in accordance with the AcademiesFinancial Handbook- Confirmed that procurement and tendering procedures exist relating to expenditure and have been compliedwith

Conclusion

In the course of our work, nothing has come to our attention which suggests that in all material respects theexpenditure disbursed and income received during the period 1 August 2013 to 31 August 2014 have not beenapplied to purposes intended by Parliament and the financial transactions do not conform to the authoritieswhich govern them.

Peter Manser FCA DChA

Reeves & Co LLPReporting Accountants

London

9 December 2014

Page 21


Statement of financial activities(incorporating income and expenditure account and statement of total recognised gains and losses)For the period ended 31 August 2014

Unrestrictedfunds

Restrictedfunds

Restrictedfixed asset

fundsTotal

funds

Note2014

£2014

£2014

£2014

£

Incoming resources

Incoming resources from generated funds: Transfer from Local Authority on conversion 2 295,567 (1,048,000) 27,776 (724,657) Other voluntary income 2 199,342 - - 199,342 Activities for generating funds 3 50,273 9,000 - 59,273 Investment income 4 1,010 - - 1,010Incoming resources from charitable activities 5 - 5,603,711 121,350 5,725,061

Total incoming resources 546,192 4,564,711 149,126 5,260,029

Resources expended

Charitable activities 17,027 5,465,070 15,633 5,497,730Governance costs 10 4,880 34,881 - 39,761

Total resources expended 6 21,907 5,499,951 15,633 5,537,491

Net incoming / (outgoing) resources beforetransfers 524,285 (935,240) 133,493 (277,462)

Transfers between Funds 21 (7,598) (4,645) 12,243 -

Net expenditure for the period 516,687 (939,885) 145,736 (277,462)

Actuarial gains and losses on defined benefitpension schemes - (310,000) - (310,000)

Net movement in funds for the period 516,687 (1,249,885) 145,736 (587,462)

Total funds at 1 August 2013 - - - -

Total funds at 31 August 2014 516,687 (1,249,885) 145,736 (587,462)

All of the academy's activities derive from acquisitions in the current financial period.

The Statement of Financial Activities includes all gains and losses recognised in the period.

The notes on pages 25 to 48 form part of these financial statements.

Page 22

The Green School Trust (A company limited by guarantee)Registered number: 08608665

Balance sheetAs at 31 August 2014

2014Note £ £

Fixed assets Tangible assets 17 145,736 Investments

18 15,209

160,945 Current assets Debtors 19 268,594 Cash at bank and in hand 698,535

967,129 Creditors: amounts falling due within one year 20 (277,536) Net current assets 689,593 Total assets less current liabilities 850,538 Defined benefit pension scheme liability 27 (1,438,000)

Net liabilities including pension scheme liability (587,462)

Funds of the academy Restricted funds: Restricted funds 21 188,115 Restricted fixed asset funds 21 145,736 Restricted funds excluding pension liability 333,851 Pension reserve (1,438,000) Total restricted funds (1,104,149) Unrestricted funds 21 516,687

Total deficit

(587,462)

The financial statements were approved by the Trustees, and authorised for issue, on 8 December 2014 andare signed on their behalf, by:


Miss E WolversonTrustee


Page 23


Cash flow statementFor the period ended 31 August 2014

Period ended 31 August

2014Note £

Net cash flow from operating activities 23 429,410

Returns on investments and servicing of finance 24 1,010

Capital expenditure and financial investment 24 (26,511)

Cash transferred on conversion to an academy trust 26 294,626

Increase in cash in the period

698,535

All of the cash flows are derived from acquisitions in the current financial period.

Reconciliation of net cash flow to movement in net fundsFor the period ended 31 August 2014


2014 £

Increase in cash in the period 698,535

Movement in net funds in the period 698,535

Net funds at 31 August 2014

698,535


Page 24



Notes to the financial statementsFor the period ended 31 August 2014

1. Accounting policies

1.1 Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention in accordancewith applicable United Kingdom Accounting Standards, the Charity Commission ‘Statement ofRecommended Practice: Accounting and Reporting by Charities’ (‘SORP 2005’), the AcademiesAccounts Direction issued by the EFA and the Companies Act 2006. A summary of the principalaccounting policies, which have been applied consistently, except where noted, is set out below.

1.2 Going concern

The Trustees assess whether the use of going concern is appropriate, i.e. whether there are anymaterial uncertainties related to events or conditions that may cast significant doubt on the ability ofthe academy to continue as a going concern. The Trustees make this assessment in respect of aperiod of one year from the date of approval of the financial statements.

As at the balance sheet date, the academy had net liabilities of £587,462. This is created by thetransfer of the Local Government Pension Scheme liability on conversion, which at the balancesheet date was valued at £1,438,000. This is seen as a long-term deficit, that will be funded throughfuture contribution rates. In addition, Parliament has agreed, at the request of the Secretary of Statefor Education, to a guarantee that, in the event of academy closure, outstanding Local GovernmentPension Scheme liabilities would be met by the Department of Education. The guarantee came intoforce on 18 July 2013. Further details of this deficit are included in Note 27.

Page 25




1. Accounting policies (continued)

1.3 Incoming resources

All incoming resources are recognised when the Trust has entitlement to the funds, certainty ofreceipt and the amount can be measured with sufficient reliability.

Grants receivable

Grants are included in the Statement of Financial Activities on a receivable basis. The balance ofincome received for specific purposes but not expended during the period is shown in the relevantfunds on the balance sheet. Where income is received in advance of entitlement of receipt itsrecognition is deferred and included in creditors as deferred income. Where entitlement occursbefore income is received, the income is accrued.

General Annual Grant is recognised in full in the year for which it is receivable and any unspentamount is reflected as a balance in the restricted general fund.

Capital grants are recognised when receivable and are not deferred over the life of the asset onwhich they are expended. Unspent amounts of capital grant are reflected in the balance in therestricted fixed asset fund.

Donations

Donations are recognised on a cash basis where there is certainty of receipt and the amount can bereliably measured, and are included on the statement of financial activities.

Gifts in Kind

Where Gifts in Kind are received, the estimated value to the Trust of such will be recognised in thestatement of financial activities as incoming resources and resources expended in the period inwhich they are received, when there is a both a quantifiable and material benefit. Where a gift is afixed asset it will be added to the fixed asset register and depreciated over the useful economic lifein accordance with the Trust’s depreciation policy.

Interest Receivable

Interest receivable is included in the statement of financial activities in the period in which it isreceivable. Other income

Other income is included in the statement of financial activities on an accrual basis where receipt isassured with reasonable certainty.

Page 26





1.4 Resources expended

All expenditure is recognised in the period in which it was incurred and has been classified underheadings that aggregate all costs related to that category. All resources expended are inclusive ofirrecoverable VAT. Where costs cannot be directly attributed to particular headings they areallocated on a basis consistent with the use of resources, with central staff costs allocated on thebasis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Costs of generating funds

These are costs incurred in attracting voluntary income, and those incurred in trading activities thatraise funds.

Charitable activities

These are costs incurred on the Trust’s educational operations.

Governance Costs

These include the costs attributable to the Trust’s compliance with constitutional and statutoryrequirements, including audit, strategic management and Trustee/Governor’s meetings andreimbursed expenses. Included will also be allocated direct and support costs.

1.5 Tangible fixed assets and depreciation

Assets costing £2,000 or more are capitalised as tangible fixed assets and are carried at cost, netof depreciation and any provision for impairment.

Where tangible fixed assets have been acquired with the aid of specific grants, either from thegovernment or from the private sector, they are included in the Balance Sheet at cost anddepreciated over their expected useful economic life. The related grants are credited to a restrictedfixed asset fund in the Statement of Financial Activities and carried forward in the Balance Sheet.

Depreciation on such assets is charged to the restricted fixed asset fund in the Statement ofFinancial Activities so as to reduce the fund over the useful economic life of the related asset on abasis consistent with the Trust’s depreciation policy.

The land and buildings occupied by the Green School are owned by the London Diocesan Board forSchools and held by the Trust under a long lease. Due to the terms of the SupplementalAgreement, the risk and reward of ownership has not been transferred to The Green School Trust.They are not therefore recognised in the Trust’s accounts. Depreciation is provided on all tangiblefixed assets, at rates calculated to write off the cost of each asset on a straight-line basis over itsexpected useful lives, as follows:

Leasehold improvements - 2% Straight LineFixtures and fittings - 20% Straight LineComputer equipment - 20% Straight LineAssets under construction - No depreciation

Assets in the course of construction are included at cost. Depreciation on these assets is notcharged until they are brought into use.

A review for impairment of a fixed asset is carried out if events or changes in circumstancesindicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between thecarrying value of fixed assets and their recoverable amounts are recognised as impairments.Impairment losses are recognised in the Statement of Financial Activities.

Page 27





1.6 Operating leases

Rentals under operating leases are charged to the Statement of financial activities on a straight linebasis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on astraight line basis over the period until the date the rent is expected to be adjusted to the prevailingmarket rate.

1.7 Pensions

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

The TPS is an unfunded scheme and contributions are calculated so as to spread the cost ofpensions over employees' working lives with the academy in such a way that the pension cost is asubstantially level percentage of current and future pensionable payroll. The contributions aredetermined by the Government Actuary on the basis of quinquennial valuations using a prospectivebenefit method. As stated in note 27, the TPS is a multi-employer scheme and the academy isunable to identify its share of the underlying assets and liabilities of the scheme on a consistent andreasonable basis. The TPS is therefore treated as a defined contribution scheme and thecontributions recognised as they are paid each year.

The LGPS is a funded scheme and the assets are held separately from those of the academy inseparate trustee administered funds. Pension scheme assets are measured at fair value andliabilities are measured on an actuarial basis using the projected unit method and discounted at arate equivalent to the current rate of return on a high quality corporate bond of equivalent term andcurrency to the liabilities. The actuarial valuations are obtained at least triennially and are updatedat each balance sheet date. The amounts charged to operating surplus are the current servicecosts and gains and losses on the settlements and curtailments. They are included as part of staffcosts. Past service costs are recognised immediately in the Statement of financial activities if thebenefits have vested. If the benefits have not vested immediately, the costs are recognised overthe period vesting occurs. The expected return on assets and the interest cost are shown as a netfinance amount of other finance costs or credits adjacent to interest. Actuarial gains and losses arerecognised immediately in other gains and losses.

1.8 Taxation

The academy is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes.Accordingly, the academy is potentially exempt from taxation in respect of income or capital gainsreceived within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains areapplied exclusively to charitable purposes.

Page 28





1.9 Fund accounting

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

Restricted funds comprise other specific funds received, and include grants from the EducationFunding Agency, Department for Education, and grants from organisations for specific purposes.

Restricted fixed asset funds are resources which are to be applied to specific capital purposesimposed by the Education Funding Agency, Department for Education or other funders where theasset acquired or created is held for a specific purpose.

Designated funds comprise unrestricted funds that have been set aside by the Trustees forparticular purposes. The aim and use of each designated fund is set out in the notes to the financialstatements.

Investment income, gains and losses are allocated to the appropriate fund.

1.10 Investments

Investments are stated at market value at the balance sheet date. The Statement of financialactivities includes the net gains and losses arising on revaluations and disposals throughout theyear.

1.11 Conversion to an academy trust

The conversion from a state maintained school to an academy trust involved the transfer ofidentifiable assets and liabilities and the operation of the school for £nil consideration and has beenaccounted for under the acquisition accounting method.

The assets and liabilities transferred on conversion from The Green School to an academy trusthave been valued at their fair value, being a reasonable estimate of the current market value thatthe Trustees would expect to pay in an open market for an equivalent item. Their fair value is inaccordance with the accounting policies set out for The Green School Trust. The amounts havebeen recognised under the appropriate balance sheet categories, with a corresponding amountrecognised in the Statement of financial activities and analysed under unrestricted funds, restrictedgeneral funds and restricted fixed asset funds.

The most significant liabilities transferred on conversion were those of the LGPS pension deficit.Details concerning the LGPS deficit can be found within note 26.

The London Diocesan Board for Schools have agreed to make their land available for use by TheGreen School Trust during the continuance of the Funding Agreement between the Secretary ofState for Education and The Green School Trust.

Further details of the transaction are set out in note 26.

Page 29




2. Voluntary income

Unrestrictedfunds

Restrictedfunds

Totalfunds

2014£

2014£

2014£

Transfer from Local Authority on conversion 295,567 (1,020,224) (724,657)

Donations 199,342 - 199,342

Voluntary income 494,909 (1,020,224) (525,315)

3. Activities for generating funds

Unrestrictedfunds

Restrictedfunds

Totalfunds

2014£

2014£

2014£

Lettings income 18,166 - 18,166Consortium income - 9,000 9,000Uniform sales 13,911 - 13,911Other income 18,196 - 18,196

50,273 9,000 59,273

4. Investment income

Unrestrictedfunds

Restrictedfunds

Totalfunds

2014£

2014£

2014£

Interest received 1,010 - 1,010

Page 30




5. Funding for Academy's educational operations

Unrestrictedfunds

Restrictedfunds

Totalfunds

2014£

2014£

2014£

DfE/EFA revenue grants

General Annual Grant - 5,278,514 5,278,514Other DfE/ EFA - 292,873 292,873Capital grants - 121,350 121,350

- 5,692,737 5,692,737

Other government grants

Local Authority grants - 7,800 7,800Other Government grants - 24,524 24,524

- 32,324 32,324

- 5,725,061 5,725,061

6. Resources expended

Staff costs Non Pay Expenditure TotalPremises Other costs

2014£

2014£

2014£

2014£

Direct costs 3,444,889 - 283,058 3,727,947Support costs 1,163,543 102,448 503,792 1,769,783

Charitable activities 4,608,432 102,448 786,850 5,497,730

Governance - - 39,761 39,761

4,608,432 102,448 826,611 5,537,491

7. Grants to individuals

Total

Number2014

£

Bursaries 16 5,268

All bursaries were used to assist with the advancement of education.

Page 31




8. Direct costs

Academy'seducationaloperations

Total2014

£ £

Local Authority costs 159,617 159,617Trips 7,050 7,050Exam expenses 74,529 74,529Education supplies 36,594 36,594Wages and salaries 2,823,944 2,823,944National insurance 237,510 237,510Pension cost 383,435 383,435

3,722,679 3,722,679

9. Support costs

Academy'seducationaloperations

Total2014

£ £

FRS17 pension finance cost (note 16) 53,000 53,000Maintenance of premises and equipment 31,339 31,339Medical costs 15,560 15,560Light, heat and water 80,477 80,477Cleaning 5,294 5,294Insurance 28,583 28,583Recruitment and training 33,780 33,780Marketing 22,750 22,750Miscellaneous 10,744 10,744Licences and subscriptions 2,529 2,529Charity expenses 1,360 1,360Printing, postage and stationery 50,735 50,735Computer costs 161,086 161,086Bank charges 1,020 1,020Uniforms 2,308 2,308External consultants 1,674 1,674Rewards 2,176 2,176Events 5,692 5,692Catering 80,480 80,480Lockers 20 20Wages and salaries 939,256 939,256National insurance 54,112 54,112Pension cost 170,175 170,175Depreciation 15,633 15,633

1,769,783 1,769,783

Page 32




10. Governance costs

Unrestrictedfunds

Restrictedfunds

Totalfunds

2014£

2014£

2014£

Internal audit costs - 3,800 3,800Auditors' remuneration - 9,000 9,000Auditors' non audit remuneration - 3,145 3,145Diocese services - 5,180 5,180Legal and professional fees - 13,756 13,756Governor clerking expenses 4,880 - 4,880

4,880 34,881 39,761

11. Net incoming / (outgoing) resources

This is stated after charging:


2014 £

Depreciation of tangible fixed assets:- owned by the charity 15,633

Auditors' remuneration 9,000Auditors' remuneration - non-audit 3,145Internal audit costs 3,800Operating lease rentals:

- plant and machinery 133,110

Page 33




12. Staff

Staff costs

Staff costs were as follows:


2014 £

Wages and salaries 3,648,523Social security costs 291,622Other pension costs (Note 27) 553,611

4,493,756Supply teacher costs 84,678Staff restructuring costs 30,000

4,608,434

Staff severance payments

Included in staff restructuring costs is a non-statutory/non-contractual severance payment of £30,000.This was awarded to one individual.

Staff numbers

The average number of persons employed by the academy during the period expressed as full timeequivalents was as follows:

Periodended

31 August 2014

No.

Teaching staff 49Adminstrative staff 12Education support staff 17Management 11

89

Page 34




12. Staff (continued)

Higher paid staff

The number of employees whose emoluments fell within the following bands was:

Periodended

31 August 2014

No.

In the band £60,001 - £70,000 4In the band £70,001 - £80,000 2In the band £80,001 - £90,000 1

7

The employees participated in the Teachers' Pension Scheme. During the period ended 31 August 2014,pension contributions for these employees amounted to £63,082.

13. Central services

No central services were provided by the academy to its academies during the period and no centralcharges arose.

14. Trustees' remuneration and expenses

The Principal and other staff Trustees only receive remuneration and expenses in respect of servicesthey provide undertaking the roles of Principal and staff, and not in respect of their services as Trustees.Other Trustees did not receive any payments, other than expenses, from the academy in respect of theirrole as Trustees. The value of Trustees' remuneration fell within the following bands:


2014 £

J Coughlan 65,000-70,000P Butterfield 80,000-85,000

During the period, no Trustees received any benefits in kind.During the period, no Trustees received any reimbursement of expenses.

Other related party transactions are included in Note 27.

Page 35




15. Trustees' and officers' insurance

In accordance with normal commercial practice the academy has purchased insurance to protectTrustees and officers from claims arising from negligent acts, errors or omissions occurring whilst onacademy business. The insurance provides cover up to £2,000,000 on any one claim and the cost for theperiod ended 31 August 2014 was £1,656. The cost of this insurance is included in the total insurancecost.

16. Other finance income


2014 £

Expected return on pension scheme assets 40,000Interest on pension scheme liabilities (93,000)

(53,000)

17. Tangible fixed assets

Leaseholdimprovements

Motorvehicles

Fixturesand

fittingsComputer

equipment

Assetsunder

construction Total£ £ £ £ £ £

Cost

At 1 August 2013 - - - - - -Additions 7,419 - 11,212 12,800 102,162 133,593Transfer on

conversion- 8,400 9,876 9,500 - 27,776

At 31 August 2014 7,419 8,400 21,088 22,300 102,162 161,369

Depreciation

At 1 August 2013 - - - - - -Charge for the period 742 2,800 3,491 8,600 - 15,633

At 31 August 2014 742 2,800 3,491 8,600 - 15,633

Net book value

At 31 August 2014 6,677 5,600 17,597 13,700 102,162 145,736

Page 36




18. Fixed asset investments

Listedsecurities

£

Market value

At 1 August 2013 -Additions 14,268Transfer on conversion 941

At 31 August 2014 15,209

All the fixed asset investments are held in the UK.

Page 37



Notes to the financial statementsFor the period ended 31 August 2014 19. Debtors

2014 £

Trade debtors 16,249VAT repayableOther debtors

72,4794,425

Prepayments and accrued income 175,441

268,594

20. Creditors:Amounts falling due within one year

2014 £

Trade creditors 221,820Accruals and deferred income 55,716

277,536

£Deferred income

Resources deferred during the year 16,673

At the balance sheet date the academy trust was holding funds in advance for trips and events in the2014/15 academic year.

Page 38




21. Statement of funds

BroughtForward

Incomingresources

ResourcesExpended

Transfersin/out

Gains/(Losses)

CarriedForward

£ £ £ £ £ £

Designated funds

Green SchoolAppeal Fund forGirls - 191,974 - - - 191,974

General funds

General Funds - 354,218 (21,907) (7,598) - 324,713

Total Unrestrictedfunds - 546,192 (21,907) (7,598) - 516,687

Restricted funds

General AnnualGrant (GAG) - 5,278,514 (4,965,644) (163,645) - 149,225

Other DfE/ EFAgrants - 292,873 (262,983) - - 29,890

CollaborativeTuition - 9,000 - - - 9,000

Other governmentgrants - 32,324 (32,324) - - -

Pension reserve - (1,048,000) (239,000) 159,000 (310,000) (1,438,000)

- 4,564,711 (5,499,951) (4,645) (310,000) (1,249,885)

Restricted fixed asset funds

DfE/ EFA CapitalGrants - 121,350 (7,114) (114,236) - -

Restricted FixedAsset Fund - 27,776 (8,519) 126,479 - 145,736

- 149,126 (15,633) 12,243 - 145,736

Total restrictedfunds - 4,713,837 (5,515,584) 7,598 (310,000) (1,104,149)

Total of funds - 5,260,029 (5,537,491) - (310,000) (587,462)

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

Designated Funds are for the benefit of the students of the Green School for Girls only. These fundswere transferred to the Academy Trust following the dissolution of the registered charity The GreenSchool Appeal Fund. Further details are contained within note 29.

General Annual Grant (GAG) restricted fund has arised from the funds provided by the Secretary ofState to cover the normal running costs of the Academy Trust.

Page 39




21. Statement of funds (continued)

Other DfE/EFA grants represents grants provided for specific purposes, such as pupil premium which isused to support disadvantaged pupils and assist them in decreasing the attainment gap between themand their peers.

Collaborative Tuition represents grants provided for joint educational projects with other Local Authorityschools.

Pension reserve funds represent the deficit in the defined benefit pension scheme. See note 27 forfurther details of this scheme.

DfE/EFA capital grants fund is to provide the academy with its own capital money to addressimprovements to buildings and other facilities. The balance on the funds represents the value to becarried forward for future or ongoing capital projects.

Under the funding agreement with the Secretary of State, the academy was not subject to a limit on theamount of GAG that it could carry forward at 31 August 2014.

Analysis of academies by fund balance

Fund balances at 31 August 2014 were allocated as follows:

The Green School Trust 704,802

Restricted fixed asset fund 145,736Pension reserve (1,438,000)

Total (587,462)

The following academy is carrying a net deficit on its portion of the funds as follows:

Name of academy Amount of deficit£

The Green School Trust (587,462)

This was created by the transfer of the Local Government Pension Scheme liability on converions, whichat the balance sheet date was valued at £1,438,000. This is seen as a long-term deficit, that will befunded through future contribution rates. In addition, Parliament has agreed, at the request of theSecretary of State for Education, to a guarantee that, in the event of academy closure, outstanding LocalGovernment Pension Scheme liabilities would be met by the Department of Education. Therefore noaction is required by the academy.

Analysis of academies by cost

Expenditure incurred by each academy during the year was as follows:

Teachingand

educationalsupport

staff costs

Othersupport

staff costsEducational

supplies

Other costsexcluding

depreciation Total£ £ £ £ £

The Green School Trust 3,444,889 1,216,543 283,058 577,368 5,521,858

Page 40




22. Analysis of net assets between funds

Unrestrictedfunds

Restrictedfunds


fundsTotal

funds2014

£2014

£2014

£2014

£

Tangible fixed assets - - 145,736 145,736Fixed asset investments 15,209 - - 15,209Current assets 501,478 465,651 - 967,129Creditors due within one year - (277,536) - (277,536)Provisions for liabilities and charges - (1,438,000) - (1,438,000)

516,687 (1,249,885) 145,736 (587,462)

23. Net cash flow from operations

Period ended31 August

2014£

Net incoming resources before revaluations (277,462)Returns on investments and servicing of finance (1,010)Tangible assets on conversion (27,776)Depreciation of tangible fixed assets 15,633Capital grants from DfE (121,350)Increase in debtors (268,594)Increase in creditors 277,536Listed investments on conversion (941)Defined benefit scheme liability inherited on conversion 1,048,000Cash transferred on conversion to an academy trust (294,626)FRS17 pension cost less contributions payable 27,000FRS17 pension finance income 53,000

Net cash inflow from operations 429,410

24. Analysis of cash flows for headings netted in cash flow statement


2014 £

Returns on investments and servicing of finance

Interest received 1,010

Page 41



Notes to the financial statementsFor the period ended 31 August 2014 24. Analysis of cash flows for headings netted in cash flow statement (continued)


2014 £

Capital expenditure and financial investment

Purchase of tangible fixed assets (133,593)Purchase of listed investments (14,268)Capital grants from DfE 121,350

Net cash outflow capital expenditure (26,511)

25. Analysis of changes in net funds

1 August Cash flow

Othernon-cashchanges 31 August

2013 2014£ £ £ £

Cash at bank and in hand: - 698,535 - 698,535

Net funds - 698,535 - 698,535

26. Conversion to an academy trust

On 1 August 2013 The Green School converted to academy trust status under the Academies Act 2010and all the operations and assets and liabilities were transferred to The Green School Trust from LondonBorough of Hounslow for £nil consideration.

The transfer has been accounted for using the acquisition method. The assets and liabilities transferredwere valued at their fair value and recognised in the Balance sheet under the appropriate headings witha corresponding net amount recognised as net incoming resources in the Statement of financial activitiesas voluntary income.

The following table sets out the fair values of the identifiable assets and liabilities transferred and ananalysis of their recognition in the Statement of financial activities.

Unrestrictedfunds

£

Restrictedfunds

£


funds£

Totalfunds

£

Other tangible fixed assets - - 27,776 27,776

Other assets 941 - - 941Budget surplus on LA funds 294,626 - - 294,626LGPS pension surplus/(deficit) - (1,048,000) - (1,048,000)

Net liabilities 295,567 (1,048,000) 27,776 (724,657)

The above net liabilities include £294,626 that were transferred as cash.

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27. Pension commitments

The academy's employees belong to two principal pension schemes: the Teacher's Pension Scheme forEngland and Wales (TPS) for academic and related staff; and the Local Government Pension Scheme(LGPS) for non-teaching staff, which is managed by London Borough of Hounslow. Both are definedbenefit schemes.

The pension costs are assessed in accordance with the advice of independent qualified actuaries. Thelatest actuarial valuation of the TPS related to the period ended 31 March 2004 and of the LGPS 31March 2013.

There were no outstanding or prepaid contributions at either the beginning or the end of the financialperiod.

Teachers' Pension Scheme

Introduction

The Teachers' Pension Scheme (TPS) is a statutory, contributory, defined benefit scheme, governed bythe Teachers' Pensions Regulations (2010) and, from 1 April 2014, by the Teachers’ Pension SchemeRegulations 2014. Membership is automatic for full-time teachers in academies and, from 1 January2007, automatic for teachers in part-time employment following appointment or a change of contract,although they are able to opt out.

The TPS is an unfunded scheme and members contribute on a ‘pay as you go’ basis – thesecontributions along with those made by employers are credited to the Exchequer. Retirement and otherpension benefits are paid by public funds provided by Parliament.

The Teachers' Pensions Regulations require an annual account to be kept of receipts and expenditure(including the cost of pensions’ increases). From 1 April 2001, the account has been credited with a realrate of return, which is equivalent to assuming that the balance in the account is invested in notionalinvestments that produce that real rate of return.

Valuation of the Teachers’ Pension Scheme

The latest actuarial valuation of the TPS was carried out as at 31 March 2012 and in accordance with thePublic Service Pensions (Valuations and Employer Cost Cap) Directions 2014. The valuation report waspublished by the Department for Education on 9 June 2014. The key elements of the valuation andsubsequent consultation are:

� employer contribution rates set at 16.48% of pensionable pay (including a 0.08% employeradministration charge (currently 14.1%);

� total scheme liabilities for service to the effective date of £191,500 million, and notional assets of£176,600 million, giving a notional past service deficit of £14,900 million; and

� an employer cost cap of 10.9% of pensionable pay will be applied to future valuations.

The new employer contribution rate is applicable from 1 April 2015 and will be implemented for the TPSfrom September 2015.

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

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Notes to the financial statementsFor the period ended 31 August 2014 27. Pension commitments (continued)

Teachers’ Pension Scheme Changes

Lord Hutton made recommendations in 2011 about how pensions can be made sustainable andaffordable, whilst remaining fair to the workforce and the taxpayer. The Government accepted LordHutton’s recommendations as the basis for consultation with trade unions and other representativebodies. In March 2012 the Department for Education published proposals for the design for a reformedTPS.

The key provisions of the reformed scheme include: a pension based on career average earnings; anaccrual rate of 1/57th; and a Normal Pension Age equal to State Pension Age, but with options to enablemembers to retire earlier or later than their Normal Pension Age. Pension benefits built up before 1 April2015 will be fully protected.

In addition, the proposed final agreement includes a Government commitment that those within 10 yearsof Normal Pension Age on 1 April 2012 will see no change to the age at which they can retire, and nodecrease in the amount of pension they receive when they retire. There will also be further transitionalprotection, tapered over a three and a half year period, for people who would fall up to three and a halfyears outside of the 10 year protection.

In his interim report of October 2010, Lord Hutton recommended that short-term savings were alsorequired, and that the only realistic way of achieving these was to increase member contributions. At theSpending Review 2010 the Government announced an average increase of 3.2 percentage points on thecontribution rates by 2014-15. The increases have been phased in from April 2012 on a 40:80:100%basis.

The Department for Education has continued to work closely with trade unions and other representativesbodies to develop the reformatted Teachers’ Pension Scheme and regulations giving effect to it cameinto force on 1 April 2014. Communications are being rolled out and the reformatted scheme willcommence on 1 April 2015.

Under the definitions set out in Financial Reporting Standard (FRS 17) Retirement Benefits, the TPS is amulti-employer pension scheme. The academy is unable to identify its share of the underlying assets andliabilities of the scheme. Accordingly, the academy has taken advantage of the exemption in FRS 17and has accounted for its contributions to the scheme as if it were a defined contribution scheme. Theacademy has set out above the information available on the scheme.

Local Government Pension Scheme

The LGPS is a funded defined benefit scheme, with assets held in separate trustee-administered funds.The total contribution made for the period ended 31 August 2014 was £209,000, of which employer'scontributions totalled £159,000 and employees' contributions totalled £50,000. The agreed contributionrates for future years are 13.5% for employers and 5.5% - 12.5% for employees.

Parliament has agreed, at the request of the Secretary of State for Education, to a guarantee that, in theevent of academy closure, outstanding local government pension scheme liabilities would be met by theDepartment for Education. The guarantee came into force on 18 July 2013.

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As described in note 26 the LGPS obligation relates to the employees of the academy, who were theemployees transferred as part of the conversion from the maintained school and new employees whowere eligible to, and did, join the scheme in the period. The obligation in respect of employees whotransferred on conversion represents their cumulative service at both the predecessor school and theacademy at the balance sheet date.

The academy's share of the assets and liabilities in the scheme and the expected rates of return were:

Expectedreturn at Fair value at

31 August 31 August2014 2014

% £

Equities 6.40 573,000Gilts 3.00 33,000Other bonds 3.60 114,000PropertyAbsolute Return FundsCash

5.606.402.90

41,00033,00023,000

Total market value of assets 817,000Present value of scheme liabilities (2,255,000)

Deficit in the scheme (1,438,000)

The expected return on assets is based on the long-term future expected investment return for eachasset class as at the beginning of the period.

The returns on gilts and other bonds are assumed to be the gilt yield and corporate bond yieldrespectively at the relevant date. The returns on equities and property are then assumed to be a marginabove gilt yields.

The amounts recognised in the Balance sheet are as follows:


2014 £

Present value of funded obligations (2,255,000)Fair value of scheme assets 817,000

Net liability (1,438,000)

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The amounts recognised in the Statement of financial activities are as follows:


2014 £

Current service cost (186,000)Interest on obligation (93,000)Expected return on scheme assets 40,000

Total (239,000)

Actual return on scheme assets 66,000

Movements in the present value of the defined benefit obligation were as follows:


2014 £

Opening defined benefit obligation 1,590,000Current service cost 186,000Interest cost 93,000Contributions by scheme participants 50,000Actuarial Losses 336,000

Closing defined benefit obligation 2,255,000

Movements in the fair value of the academy's share of scheme assets:


2014 £

Opening fair value of scheme assets 542,000Expected return on assets 40,000Actuarial gains and (losses) 26,000Contributions by employer 159,000Contributions by employees 50,000

817,000

The actuarial gains and losses for the current year are recognised in the statement of financial activities.The cumulative amount of actuarial gains and losses recognised in the statement of financial activitiessince the adoption of FRS 17 is a £310,000 loss.

The academy expects to contribute £144,000 to its Defined benefit pension scheme in 2015.

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The major categories of scheme assets as a percentage of total scheme assets are as follows:

2014

Equities %70.00Gilts %4.00Other bonds %14.00Property %5.00Absolute Return Funds %4.00Cash %3.00

Principal actuarial assumptions at the Balance sheet date (expressed as weighted averages):

2014

RPI increases %3.50CPI increases %2.70Salary increases %4.50Pension increases %2.70Discount rate %4.00

The current mortality assumptions include sufficient allowance for future improvements in mortality rates.The assumed life expectations on retirement age 65 are:

2014

Retiring todayMales 22.0Females 26.5

Retiring in 20 yearsMales 24.1Females 28.8

The Academy has not disclosed the restated corresponding amounts for the previous four accountingperids as the Governors are of the opinion that the cost implications of obtaining the actuarial reports foreach year outweigh the benefits to a user of the finanical statements.

Amounts for the current period are as follows:

Defined benefit pension schemes

2014 £

Defined benefit obligation (2,255,000)Scheme assets 817,000

Deficit (1,438,000)

Experience adjustments on scheme assets 26,000

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28. Operating lease commitments

At 31 August 2014 the academy had annual commitments under non-cancellable operating leases asfollows:

2014£

Expiry date:

Between 2 and 5 years 128,448

29. Related party transactions

Owing to the nature of the academy's operations and the composition of the Board of Trustees beingdrawn from local public and private sector organisations, transactions may take place with organisationsin which a trustees has an interest. All transactions involving such organisations are conducted at arm'slength and in accordance with the academy's financial regulations and normal procurement procedures.The following related party transactions took place in the period of account.

During the period, £8,968 of services were provided by Grow Education Partners Limited, a whollyowened subsidiary of The London Diocesan Board of Schools (a member) and entity in which EWolverson (a Trustee) is a Director. There were no amounts outstanding at 31 August 2014.

During the period, The London Diocesan Board for Schools, a member, were paid £53,134 for services.There were no amounts outstanding at 31 August 2014.

During the period, S Harris, son-in-law of Trustee P Butterfield, was paid £328 for services. There wereno amounts outstanding at 31 August 2014.

During the period, P Sutton Coulston, son of Trustee M Arnold, was employed by the Trust. The cost ofhis employment to the Trust was £15,748. There were no amounts outstanding at 31 August 2014.

The Green School Appeal Fund, a registered charity in which P Williams and J Beastall CB, bothTrustees of The Green School Trust, were trustees was dissolved on 31 August 2014 and its funds of£191,033 donated to The Green School Trust.

All of the above transactions were made at arms' length in accordance with the Academy's financialregulations, which none of the Trustees neither participated in, nor influenced.

In entering into the transactions the Academy has complied with the requirements of the EFA'sAcademies Financial Handbook.

30. Controlling party

The Academy is run by the management team on a day to day basis. Strategic decisions are made bythe Board of Trustees. There is no ultimate controlling party.

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