Page 12 - 2018-19_Annual_Report_and_Financial_Statements

DIOCESE OF CHICHESTER ACADEMY TRUST TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2019
The March CofE Primary School (converted 1 December 2018)
The academy is a 4-11 one form primary academy. The school converted voluntarily to academy status as the school was designated a 'good' school at its last inspection. The academy's 2019 pupil outcomes at KS2 expected standard are very strong, with 90% of children achieving expected standard in reading, writing and maths combined. This was a significant improvement on the previous year's results of 64%.
Key performance indicators
The trustees have set a number of key financial performance indicators for the year ahead and are based on establishing the Trust as a leading Trust in these areas. Performance against these key performance indicators are monitored by the Trust's Audit and Resources Committee.
Total staff costs to DfE/ESFA income (%)
Total staff costs to total income (%)
Total staff costs as proportion of total expenses (%)
87.7% 78.9% 77.3%
Going concern
After making appropriate enquiries, the board of trustees has a reasonable expectation that the academy trust has adequate resources to continue in operational existence for the foreseeable future. For this reason the board of trustees continues to adopt the going concern basis in preparing the accounts. Further details regarding the adoption of the going concern basis can be found in the statement of accounting policies.
Financial review
The principal sources of income continues to be grant income from the Department for Education (DfE) via the Education Skills and Funding Agency (ESFA). The grants received during the year ended 31 August 2019 and the associated expenditure are shown in the Statement of Financial Activities.
The Trust also receives grants for fixed assets from the ESFA and other agencies. These grants are shown in the Statement of Financial Activities as restricted income in the fixed asset fund. The restricted fixed asset fund balance is reduced by annual depreciation charges over the expected useful life of the assets.
The deficit in the Local Government Pension Scheme (LGPS) is recognised on the balance sheet in accordance with FRS 102. At 31 August 2019, the deficit was £(2,274,000) (2018: £(677,000)). The existence of the pension scheme deficit does not mean an immediate liability crystallises and is addressed over a series of years through pension contributions recommended by the pension scheme actuaries during subsequent triennial valuations of the scheme. Note 20 details the assumptions and movements during the year on the Scheme.
The funds balances as at 31 August 2019 for the academy trust were as follows:
Restricted general funds (excluding pension reserve) Pension reserve
Fixed asset fund
Total restricted funds
Unrestricted funds Total funds
£1,180,270 £(2,274,000) £244,340 £(849,390) £323,162 £(526,228)
The in year deficit was therefore £(14,611), which represents the change in balance of restricted general funds (excluding the pension reserve) and unrestricted funds.