TEIKYO_UNIVERSITY_OF_JAPA - Accounts

The trustees, who are also directors of the charitable company for the purposes of the Companies Act 2006, present their annual report and financial statements for the year ended 31 March 2021.

The consolidated financial statements have been prepared in accordance with the accounting policies set out in the notes to the financial statements and comply with the charitable company's governing document, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)".

Teikyo University of Japan In Durham Limited is a charitable company that was incorporated on the 18 May 1988 with the liability of its members limited by guarantee. The registered office and principal address of the charitable company is at Teikyo Foundation (UK), Framewood Road, Wexham, Buckinghamshire, SL2 4QS.

The charitable company's aims and objectives are to advance the education and training of students and members of Teikyo University of Japan in Tokyo, in the United Kingdom at Durham University and other persons in Durham and elsewhere.

In setting the charitable company's objectives and planning its activities, the trustees have given careful consideration to the Charity Commission’s general guidance on public benefit charitable purposes, and in particular to its supplementary public benefit guidance on advancing education and on fee-charging.

The charitable company has arrangements with Teikyo University of Japan which has guaranteed payment of its expenses. Teikyo University of Japan has acquired, at its own expense, leases, buildings and services at Durham University and educational facilities at Wadham College, Oxford which it makes available to the charitable company.

The trustees main aims and objectives in the year under review continued to be to pursue the opportunities available to the students at both Durham and Oxford Universities, so that each student can develop and fulfil his or her potential to the highest level and also contribute to the wider communities in Durham and Oxford.

Significant activities

(a) Teikyo University of Japan in Durham

Teikyo University of Japan in Durham is located within the grounds of Durham University and has the potential to host up to 120 undergraduate students for 10 months of their four year course. The aim is to give the students a taste of the academia offered by universities in the United Kingdom. The students attend their own English and faculty lectures during the day. The programme also provides various opportunities to travel extensively throughout the United Kingdom and Europe.

(b) Teikyo University of Japan at Oxford

A division of the charity, known as Teikyo University of Japan at Oxford, provides for up to six Okinaga Scholars - postgraduate Japanese scholars personally selected from open competition - to study for DPhil degrees at the University of Oxford. The students are members of Wadham College with whom Teikyo has a 60 year agreement. The agreement also allows the Teikyo Foundation (UK) to use up to 50 Wadham College rooms and teaching facilities during the Easter and Summer vacations for short vacation courses.

(c) Structure Relationships

The bedrock on which the success of the two divisions of the Company depends are the relationships with Durham University and its Officers, and the Colleges and their Heads, and similarly at Wadham College, with the Warden and the Fellows.

Teikyo University of Japan in Durham

The academic year 2020/2021 comprised of 0 students (2020: 54 students) attending the two six month courses provided of which 0 students (2020: 25 students) attended the first course commencing April 2020 and 0 students (2020: 29 students) attended the second course commencing September 2020. In addition 0 students attended other courses in the year (2020: 62 students).

A total of 19 staff (2020: 18 staff), which includes 9 part-time employees (2020: 9 part-time employees), were employed to teach and administer the programme. Every opportunity to collaborate with Durham University to benefit their students was pursued. Moreover, a very close relationship between the Teikyo University of Japan In Durham Limited and the County and City Councils has been established; in particular, the Mayor of Durham City Council is particularly supportive and generous in helping Teikyo University of Japan in Durham Limited become more involved in and with the local community, especially with the primary schools and the cathedral.

Teikyo University of Japan in Durham Limited holds an annual 'Japanese Festival' on campus which attracts up to eight hundred university staff and students together with a high percentage of local people from the city and wider community. Normally the money generated from the festival is donated to local charities, but due to the COVID-19 pandemic there have been no festivals since October 2019.

The Japanese Library is open on a part time basis to Durham University staff and students and again is open to members of the local community (current average local community membership is fifty).

There is now a well established local 'Schools Liaison Programme' which involves the Japanese undergraduates visiting local primary schools in Durham to hold 'mini Japanese culture awareness days'. This programme is on-going at ten selected primary schools. This programme has the full backing of the local Education Authority.

Wadham College

In 2020-21, there was 0 (2020: 1) Okinaga Junior Research Fellowship appointment at Wadham College, University of Oxford for a three year period in Japanese Studies.

Statement of risk management

The trustees have a duty to identify and review the risks to which the charitable company is exposed to. The trustees and management of the charitable company continue to keep its activities under review, particularly with regard to any major risks that may arise as well as the systems and procedures established to manage them. It is the responsibility of management to monitor the effectiveness of internal controls and other viable means by which risks identified can be mitigated.

The financial performance of the charitable company is shown in the Statement of Financial Activities. The charitable company's total income for the year ended 31 March 2021 was £259,434 (2020: £1,303,457). The charitable company's income was significantly lower than the previous year due to the COVID-19 pandemic as the restrictions meant no students could attend the programmes run by the charitable company.

This resulted in the charitable company having Net Expenditure of £330,182 for the year ended 31 March 2021 (2020: Net Expenditure of £103,564). At the 31 March 2021, the charitable company had negative Unrestricted Funds of £1,129,162 (2020: £798,980).

Reserves policy

As a result of the Net Expenditure in 2020 and 2021, the charitable company has negative Unrestricted Funds of £1,129,162 at the 31 March 2021 (2020: £798,980). Despite this, the charitable company aims to hold sufficient liquid funds to meet its day-to-day expenditure requirements. The charitable company had 'Cash at Bank and In Hand' of £799,684 at the 31 March 2021 (2020: £596,952).

The charitable company has ongoing financial support from Teikyo University and day-to-day working capital funding from a connected charity, Teikyo Foundation (UK). The charitable company's main liability is the intercompany balance owed to Teikyo Foundation (UK) of £1,423,186 at the 31 March 2021 (2020: £1,186,066).

The trustees therefore consider that no significant reserves are required due to the status and financial standing of Teikyo University and Teikyo Foundation (UK).

Investment policy and objectives

The charitable company has absolute powers of investment over its available funds. The Board of Trustees continue to keep under review the risks and rewards of the investments and the current state of the market.

The investment policy for the year ended 31 March 2021 was to place all available funds, other than those required for day-to-day operations of the charitable company, with National Westminster Bank Plc. In addition, professional advise is available from Mitsubishi UFJ Financial Group through the charitable company's connected charity Teikyo Foundation (UK).

Principal risks and uncertainties

The principal risks and uncertainties facing the charitable company is the maintenance of student numbers at a level to generate sufficient tuition and accommodation income in excess of the operating costs.

In mitigation of this risk, the charitable company works closely with Teikyo University to promote its courses and maximise student numbers each academic year. The charitable company generates additional income through the letting of surplus student rooms to other students at Durham University.

As already mentioned Teikyo University also provide financial support to Teikyo University of Japan In Durham Limited.

COVID-19 pandemic

In the spring of 2020 it was becoming evident that COVID-19 was having a severe disruption on many countries and on the 19 March 2020 the World Health Organisation declared it was a pandemic.

As a a result of the COVID-19 pandemic, it was necessary for some medical students to finish their courses early and return to Japan. To compensate these students, fees of approximately £8,000 were refunded to each student.

The ongoing impact of the COVID-19 pandemic has resulted in a material impact on the financial performance and position of the charitable company for the year ended 31 March 2021. With the normal Spring and Autumn courses being cancelled, students aren't expected to return until March or April 2022. These courses generate income of approximately £850,000 through tuition fees and accommodation.

In order to continue operating as a going concern, the charitable company has and will continue to rely on the ongoing financial support from Teikyo University and Teikyo Foundation (UK).

Going concern

Teikyo University has agreed to provide financial support to the charitable company to enable it to continue its operations as a going concern for the foreseeable future. In addition, Teikyo Foundation (UK) provides funding so that the charitable company can meet its day-to-day working capital requirements.

Future plans

The charitable company's future plans remain the same as reported above. This is because the trustees are confident that the students numbers will recover in the near future when the COVID-19 pandemic has passed and the lifting of travel restrictions and development of vaccines.

Due to the COVID-19 pandemic, the charitable company introduced an online English Learning Programme and has since grown in momentum (over 120 students have participated to date from Japan). This programme will continue, even when students can return to the United Kingdom to study at Durham University and University of Oxford..

The charitable company is a registered charity, governed by its Memorandum and Articles of Association, and is engaged in providing educational facilities to Japanese and other nationals. The charitable company's Memorandum and Articles of Association dated 18 May 1988, were last amended on the 14 February 2002.

Recruitment and appointment of new trustees

Teikyo University may, by written notice, appoint or remove a trustee, and the trustees are also able to appoint new Trustees.

Organisational management

The Board of Trustees meet at least once a year to determine the 'general policy' of the charitable company and review its overall management and control, for which they are legally responsible. The work of implementing most of the Board of Trustees policies is delegated to the General Manager.

Induction and training of new trustees

New trustees who are also the directors are inducted into the workings of the company as a registered charity, including Board Policy and Procedures.

Connected charities

Mr Y Okinaga is a guarantor of Teikyo Foundation (UK) whose main activity is also the provision of educational facilities to Japanese nationals and is located at Teikyo Foundation (UK) Framewood Road, Wexham, Buckinghamshire, SL2 4QS.

Trustees and directors

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

Guarantors

Amounts guaranteed as at the 31 March 2021 and 31 March 2020:        

Mr Y Okinaga             £1

Teikyo University Foundation    £2         

The charitable company does receive financial support from Teikyo University. Mr Y Okinaga is considered to be a key individual continuing the vision of Dr S Okinaga.

In accordance with the company's articles, a resolution proposing that Azets Audit Services be reappointed as auditor of the company will be put at a General Meeting.

Each of the trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.

The trustees' report was approved by the Board of Trustees.

The trustees, who are also the directors of Teikyo University of Japan In Durham Limited for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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

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

- select suitable accounting policies and then apply them consistently;

- observe the methods and principles in the Charities SORP;

- make judgements and estimates that are reasonable and prudent;

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

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

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

Opinion

We have audited the financial statements of Teikyo University of Japan In Durham Limited (the ‘charitable company’) for the year ended 31 March 2021 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the 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 FRS 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 charitable company's affairs as at 31 March 2021 and of its incoming resources and application of resources, for the year then ended;

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

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

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

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

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

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 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.

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

the information given in the trustees' report, which includes the directors' report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the directors' report included within the trustees' report has been prepared in accordance with applicable legal requirements.

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report included within the trustees' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

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

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

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

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

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

As explained more fully in the statement of trustees' responsibilities, the trustees, who are also the directors of the charitable company for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Our 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.

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.

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above and on the Financial Reporting Council’s website, to detect material misstatements in respect of irregularities, including fraud.

We obtain and update our understanding of the entity, its activities, its control environment, and likely future developments, including in relation to the legal and regulatory framework applicable and how the entity is complying with that framework.  Based on this understanding, we identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion.  This includes consideration of the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud.

In response to the risk of irregularities and non-compliance with laws and regulations, including fraud, we designed procedures which included:

• Enquiry of management and those charged with governance around actual and potential litigation and claims as well as actual, suspected and alleged fraud; 

• Reviewing minutes of meetings of those charged with governance;

• Assessing the extent of compliance with the laws and regulations considered to have a direct material effect on the financial statements or the operations of the entity through enquiry and inspection; 

• Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;

• Performing audit work over the risk of management bias and override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for indicators of potential bias. 

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation.  This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance.  The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

Teikyo University of Japan In Durham Limited is a private company limited by guarantee incorporated in England and Wales. The registered office is Teikyo Foundation (UK), Framewood Road, Wexham, Slough, Buckinghamshire, SL2 4QS, United Kingdom.

The financial statements have been prepared in accordance with the charitable company's governing document, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charitable company is a Public Benefit Entity as defined by FRS 102.

The financial statements are prepared in sterling, which is the functional currency of the charitable 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 the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

At the time of approving the financial statements, the trustees have a reasonable expectation that the charitable company has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

The charitable company had Net Expenditure of £330,182 for the year ended 31 March 2021 and had Net Current Liabilities of £1,144,566 and Net Liabilities of £1,129,162 at the 31 March 2021. Whilst there is uncertainty over the ongoing impact of the COVID-19 pandemic, following the easing of restrictions, it is expected that income will be received from tuition and accommodation fees as students return for the 2022/2023 academic year. This is expected to have a material benefit on the financial position of the charitable company.

The financial statements have been prepared under the going concern basis because Teikyo University has undertaken to support the charitable company and has agreed not to recall the amounts advanced until all other liabilities have been met. In addition, Teikyo Foundation (UK) provides day-to-day working capital funding and support. Having considered the information available to them, the directors and trustees have concluded that the going concern basis of preparation is appropriate.

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

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:

At each reporting end date, the charitable company reviews the carrying amounts of its tangible 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).

Cash and cash equivalents 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 charitable 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 charitable company's balance sheet when the charitable 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.

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in net income/(expenditure), except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Financial assets, other than those held at fair value through income and expenditure, are assessed for indicators of impairment at each reporting date. Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected.

If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in net income/(expenditure) for the year.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in net income/(expenditure) for the year.

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the charitable company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Basic financial liabilities, including creditors and bank loans 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 operations 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.

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in or in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

Financial liabilities are derecognised when the charitable company’s contractual obligations expire or are discharged or cancelled.

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 charitable company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

In the application of the charitable company’s accounting policies, the trustees 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.

Student tuition and accommodation fees

Induction and field trip income

Rental income from flats and dormitories

Other income represents the money received from the UK Government under the Coronavirus Job Retention Scheme.

Charitable Expenditure

Charitable Expenditure

Insurance

Light and heat

Equipment

Stationery

Staff subsistence and student

Induction and field trip

Student activities

College service charge

Maintenance costs

Transport and air travel

Other teaching and lecture cos

Bank charges

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charitable company during the year ended 31 March 2021 (2020: £nil).

The average monthly number of employees during the year was:

The charitable company operates a defined contribution pension scheme. Contributions are charged to the Statement of Financial Activities in the period in which they relate. During the year ended 31 March 2021, the company made contributions of £23,237 (2020: £24,036). No contributions were outstanding at the 31 March 2021 (2020: £nil).

The charitable company is a company limited by guarantee with no share capital. The liability of each member under guarantee does not exceed £2. The number of members at 31 March 2021 was 2 (31 March 2020: 2).

Teikyo University has undertaken to support the charitable company and to provide such facilities as the company may require to meet any operational deficits and to continue trading.

During the year ended 31 March 2021, Teikyo Foundation (UK), a charity under common control which provides a centralised accounting and payroll service for the charitable company, incurred payroll costs of £381,442 (2020: £374,429) and other expenses of £27,609 (2020: £nil) on behalf of Teikyo University of Japan In Durham Limited. These amounts were recharged at cost and repayments totalling £171,932 were made by Teikyo University of Japan In Durham Limited during the year.

At the 31 March 2021, Teikyo University of Japan In Durham Limited owed Teikyo Foundation (UK) an amount of £1,423,186 (2020: £1,186,066).

Teikyo University provided donated services in respect of salary costs amounting to £66,800 (2020: £353,969). An amount of £50,906 (2020: £50,609) is owed to Teikyo University at the 31 March 2021. In addition, a loan of £462,000 (2020: £nil) was due to Teikyo University at the 31 March 2021.

Key management compensation was £302,158 for the year ended 31 March 2021 (2020: £604,278).

Mr Y Okinaga is a guarantor of Teikyo Foundation (UK), a registered charity whose main activity is also the provision of educational facilities to Japanese nationals. Teikyo Foundation (UK) is based in Wexham, Buckinghamshire.

The charitable company uses four buildings and certain motor vehicles owned by Teikyo University for its principal activities. These buildings and vehicles are used rent free subject to the charity meeting the full cost of maintenance.