Boarding school Loretto secures £3m credit facility with Barclays
Barclays has agreed a £3 million credit facility with Loretto, Scotland’s oldest boarding school, to accelerate its long-term strategic growth plans.
The substantial funding package will support the independent school’s growth ambitions, while also providing further access to working capital. Loretto has also transferred all of its day-to-day banking to Barclays.
Founded in 1827 and set in an 85-acre campus in Musselburgh, just outside Edinburgh, Loretto is one of Britain’s leading co-educational boarding and day schools, attracting pupils from both home and abroad. For pupils aged between three and 18 years the 600-pupil school has leading creative arts and sports facilities, including the renowned Loretto Golf Academy that attracts young golfers. The school has a staff to pupil ratio of 1:7, across both its junior and senior schools.
Barclays worked alongside Loretto, and its bursars, to develop a bespoke digital banking solution that specifically fits the needs of the school’s growth ambitions. The credit facility will support Loretto in maintaining its existing infrastructure, while providing additional liquidity to continue to invest in state of the art educational tools and facilities. With a growing roll of pupils, the flexibility of the funding package will assist Loretto in continuing to provide a wide educational experience.
Barclays is also able to specifically cater for international parents of Loretto students by offering a receivables foreign exchange solution meaning school fees can be paid by parents at no extra cost to the school.
Dr Graham Hawley, headmaster at Loretto School, said: “The funding package from Barclays will fuel our long-term strategic growth plans, and drive forward our commitment to our pupils of continuous development in all aspects of school life.
“The decision to bring in Barclays as our banking partner was largely due to Barclays’ shared enthusiasm to work with us to support the future development of the school but also their industry knowledge of the sector alongside their relationship service model, competitive terms and consistent delivery.”
Malcolm Crawford, corporate development director for Barclays in Scotland, added: “Working with Loretto to deliver a funding solution to enable the school to manage its working capital needs, and provide stability, was an excellent opportunity for the team to support the school’s ambitious growth plans.
“Scotland has a world-leading independent education sector, and our team of dedicated industry experts understand and have insight into the unique demands of operating a business of this sorts. This funding package is evidence of our support for, and confidence in, this growing sector.”