In difficult economic times, we are reaching out to the wider Lomond School community to help us ensure that Lomond can continue to enhance the lives of young people for many years to come.
Current climate for Independent Schools
Economic conditions for Independent schools across the United Kingdom have been tough for several years and many are beginning to feel increased pressure.
In the last few days, Cedars School in Greenock and Kilgraston in Perthshire sadly announced closure along with Craigholme a couple of years ago and Beaconhurst too. Things have not been easy in our sector for a long time.
What does the future look like?
Small independent schools must change if they are to survive. Several years ago, the Board made the decision to become more financially resilient by becoming part of an educational group.
What has Lomond done about this?
All groups are not equal and Lomond was committed to finding a group that would provide us with security and help us grow, but also protect the essence of who we are. A number of groups were identified and deals progressed. We were close to the final stages. However, the current situation around VAT on fees has caused educational investors to pause whilst the dust settles. We are continuing to talk to these groups and have also progressed joint venture talks with another like minded school
So although this remains our medium term strategy, in the short term Lomond plans to restructure to become more efficient whilst protecting the quality of education, experience and care and has developed a new business plan to increase revenue. We are covering all bases.
Why do we need your help?
Our school estate is valuable and this provides the school with financial security to operate whilst the school restructures to remain viable in the current economic climate. However, protecting the estate ensures that we remain very attractive to groups and partners and gives us opportunities to expand and flourish in the future. The more that we can fundraise, the more that we protect the estate and will allow us to make business decisions that are right for Lomond now without damaging the longer term prospects.
Despite such difficult times, Lomond has remained forward-thinking and has continued to excel. Our school roll remains strong, exciting curriculum changes have continued and there has been a drive to ensure that our pupils are educated in a way that really will prepare them for their lives ahead
A successful fundraising campaign will allow Lomond to continue moving forward in a position of strength.
How can you help?
Our school has a long and proud history, through our founding schools; Larchfield and St Bride’s. This community is large and international. Please help us to spread the word of our campaign and pledge what you can, however large or small. Together we can protect this wonderful school to ensure it is here for generations to come. Please make your pledge by completing the form below.
FAQ
Is the school at risk of immediate closure?
No
Can the school currently support pupils through a 2 year course?
Yes – our expert advisors from BDO (who have been working with us for months to offer Accountancy and Business Advice) have helped us to create a 3 year business plan which shows this is achievable, even with very conservative estimations of growth and cuts. This will involve a careful restructure which continues to put the needs and experiences of our pupils first. In addition to this, a number of avenues are being explored to increase revenue. We are planning for the long term future of Lomond.
What is the financial state of the school?
Due to the reasons explained in previous communications, the school is currently running at a loss. Last session was particularly challenging for the sector and many independent schools are experiencing the same. Although our roll remains strong and steady, costs have risen exponentially.
What is the plan?
The Board has engaged business and accountancy experts BDO LLP to assist and advise. They have, in conjunction with the Board and the School finance team, scrutinised the financial plan to the end of July 2027. This plan has been prepared on a prudent and conservative basis and recognises the potential impact of VAT and also the ongoing cost challenges that all independent schools face.
Based on the assumptions used, BDO has advised that implementing the cost management processes and selling selected assets will secure adequate loan funding to underpin the plan and ensure it can be achieved. BDO has started this process.
As you may appreciate, any cost saving measures must be carefully and appropriately handled to those directly affected and this will happen over the coming months. We cannot, therefore, issue full details of the cost saving plan at this time, but can assure you that the savings are achievable. We can also state that savings made will not impact the education, care or experience of our current pupils.
We can share that one of the most significant cost increases we have faced has been teachers’ pensions. Historically, teachers in most independent schools have been offered pensions with the SPPA. Over the last 4 years, employer contributions have increased from 16% to 26%. As a result, most independent schools are beginning to consult with staff on finding a more reasonable alternative.
If everything is going to be okay, why are you raising funds?
A number of independent schools have recently closed. Parents, Former Pupils and families linked to these schools are stating that they wished these schools had been more transparent and asked for support earlier. Unlike these schools, we still have a steady roll and we are not near the point of closure. We are, however, implementing a number of strategies to ensure this doesn’t happen. Your support will help Lomond become strong again. The more support we receive, the faster we can execute our plans and flourish again.
A successful appeal would help the Board make more strategic decisions that are right for Lomond in the future, not just the present.
What can I do to help?
Support us by sharing our message and pledge, if you can.
What do we do if we hear any rumours about the school?
Unfortunately and unhelpfully, false information is circulating. Should you hear anything that concerns you, please email appeal24@lomondschool.com.
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