PCLZCAN CHILDRENS CENTRE Report and Accounts For The Year Ended 31 January 2025 Registered Charity Number 1063651 Registered Company Number 03364114 The Pelican Children's Centre Report and accounts Contents Page Charity and Company information Trustees, Report Statement of trustees, responsibilities Independent Examiner's report Statement of Financial Activities Balance sheet Notes to the accounts Detailed Statement of Financial Activities 11 12 14 26 The Pelican Children's Centre Company Information Trustees Mrs S Benwell Mr C Singh Mrs A Carter Ms S A Edwards Chair Vice Chair Secretary Secretary Mrs A Carter Centre Manager Ms N Monigomery Accountants Mr L Rowsell ATT Wills Accountants Ltd Chartered Certified Accountants 2 Endeavour House Parkway Court Longbridge Road Plymouth PL6 8LR Bankers Na￿est 14 Old Town Streel Plymouth PL1 1DG Registered office 66 Sallash Road Keyham Plymouth PL2 1QS Company registration number 03364114 Charity number 1063651 The Pelican Children's Centre The report of the trustees for the year ended 31 January 2025 Introduction The trustees presenl their report. including the directors report as required by company law, and financial statement for the year ended 31 January 2025. The trustees, who are also directors of The Pelican Children's Centre for the purpose of company law and who served during the year and up lo the dale of this report are sel oul on page 1 The Centre provides Full Day childcare for children aged 2 up io school age, delivering a wide curriculum within the early year's foundation stage in a slimulating learning environment. Name, registered office and constitution of the charity The full name of the charity is The Pelican Children's Centre. The legal registration delails are Date of inCo￿oratIon Company Registralion Number Charity Registration Number The Registered Office is 01 May 1997 03364114 1063651 66 Saltash Road Keyham Plymouth PL2 1QS Structure, Governance and Management Nature of the Governing Document and constitution of the charity The charity is a company limited by guarantee (registered number 33641141 and does not have a share capital. It is a registered Charity (registered number 1063651) and in accordance with section 60 of the Companies Act 2006, the word "Limited" is omilted from the name. The company was incorporated on 01 May 1997 and is governed by its Memorandum and Articles of Associations of that date. Objectives and Activities of the Charity A summary of the objects of the charity as set out in its governing document. The objects of the charity are., To enhance the development and education of children through play and stimulation this involves the parentslcarers and community groups. Provide a safe and secure environment where children can flourish in their development. To work within a framework, this ensures equal opportunities for all children and their families. Delivery of qualrty care and Early Learning for children. A specially tailored curriculum using The Early years Foundation stage Guidelines, which allows children to learn through play. Achievements and Performance of the Charity Summary of main activities of the Charity in relation to its objects The Centre provides Full Day childcare for children aged 2 up to school age, delivering a wide curriculum within the early year's foundation stage in a stimulating learning environment. However, on the 28th of March 2024 a Special General meeting of the Pelican Children's Centre charity, was called for the purpose of recommending the closure to the members. It was duly convened and held at the Pelican Children's Centre and was altended by all members of the trustees and the Centre Manager. It is felt by the trustees that the charity was currently not able to carry out its objectives for number of reasons, the main one being that unless Pelican could gel a good Ofsted report then they could not take any new children on and therefore cannot advance their education or that of their families. The Pelican Children's Centre The report of the trustees for the year ended 31 January 2025 The fee-paying families are minimal in numbers and what the government currently pay for funded child placements do not cover the costs incurred, Iherefore the charity must rely heavily on its contingency fund to cover the short fall. This fund is rapidly running out and al best it has £10,000 in the pot. which while seems to be a lot is reality is only enough of a buffer to last up to Aug 2024. This forecast does not take into consideration of any building that mighl be expected given Ihe age of the building and the rising cost of keeping the building up to regulation and standards required for a setting of its nature. It was agreed by the members presenl that the charity should close. The trustees were instructed to proceed with closing the charity in an orderly and proper manner. As deemed by our governing document the Memorandum and Articles of Association, in the event of the winding up or dissolution of the company, after the satisfaction of all its debts and liabilities, the assets remaining shall not be distributed amongst the members of the company but shall be transferred in furtherance of it objectives to some other charitable inslitution or institutions having similar objectives to the company. Disposal Plan The trustees agreed lo close the nursery on the 19 of July 2024. The Trustees will donate. sell, and dispose of any assets held by the company, any funds made will be placed back into the charity funds. Staff employed by Pelican Children's Centre will be offered redundancy, their contracts will end at the end of August as they are owed the summer holidays off. Redundancy money offered will be at leasl the minimum required by Law, but the trustees will offer an enhanced payment package upon the staff agreeing to slay on after the closure of Ihe nursery to help clear the property. The total amount offered to staff in redundancy payouts total the sum £150,000. This is made up of both a lump sum and a pension contribution for each member of staff. The trustees will sell the building and land as owned by the company at a competitive market value and any profits made will be placed back into the charity funds. Once the building has sold and all Ihe monies owed and redundancies are paid. any funds remaining in the charity will be distributed to other similar charity's as set out above in its Governing document. Steps Taken .All redundancy moneys for the staff have been paid as of the 17th of Jan 2025. .The building has been emptied and all contents have been donated sold or disposed of and any funds received in relation to this have been placed Ihe Charilies bank account. .The building at 66 Saltash road was sold at auction-by-Auction House Southwest on the 3rd of Dec 2024 for a sum of £227.000, all activities related to the sale of the building have been concluded and all monies owed for these activities have been paid. Donations were made to 7 local charities in Jun 2025 that align wilh Pelicans Children's Centres Mission statement. The donations made Tolalled a sum of £64,000. The Pelican Children's Centre The report of the trustees for the year ended 31 January 2025 Charites chosen to receive a donation Charity Name Charity Number Amount Donated Notes Friends and Families 1140826 £10,000 Funds their entire Summer of activities for 2025 Community Regeneration Outreach Pro ect Ltd Devon Air Ambulance Drake Primary Parents, Teachhers and Friend Association Supporting the food bank and the community group the men's shed for the rest of 2025 1085090 £9,000 1077998 £7,500 Pays at least one entire rescue operation Supporting many of the children that have attend the Nursery setting 1022408 £10,000 Plymouth Hospital General Charity and Other Related Charities Supporting both the Keep Me close and the snowdrop suite community garden 1048679 £9,000 Children's Wishes Plymouth 1207614 £7,500 Will provide Christmas hampers and toys for 75 Families Mutley Greenbank Trust 1087523 £7,000 Funding for a community art teacher PlymoLFth Ladies 1170402 4,000.00 £64,000 Public benefit that is pmvided by the charity Pelican Children's Centre seeks to benefit the public through the pursuit of its stated aims which are- Vlere Ckiildren Coime First To enhance the development and education of children through play and stimulation this involves the parentslcarers and community groups. Provide a safe and secure environment where children can learn social skills. To work within a framework, this ensures equal opportunities for all children and their families. A specially tailored curriculum using The Early Years Foundation Stage Guidelines, which allows children to learn through play. The methods adopted for the recruitment and appointment of new trustees Trustees are appointed in accordance with the Articles of Associalion. as such, members of the Board of Trustees are appointed by majority vole at an Annual General Meeting. Trustees are also required to undertake ongoing online training. The organisational structure of the charity and how decisions are made. The Board of Trustees administer the charity. The board meets regularly. A Manager is appointed by the trustees to manage the day to day operations of the charity. There are policies in place to facilitate familiarisation training for new Trustees The Pelican Children's Centre The report of the trustees for the year ended 31 January 2025 Risk Management The trustees have conducted their own review of the major risks lo which the charity is exposed to and systems have been established lo mitigate those risks. External risks to funding are miligaled by the development of a continued review of funding by the trustees. Internal risks are minimised by the implementation of procedures for authorisation of all transactions and the continued awareness of health and safety issues to ensure a consistent quality of service and delivery for all operational aspects of the charity in a safe environment. Financial Review Policies on reserves The Trustees have eslablished policies whereby the unrestricted funds not committed or invested in tangible fixed assets (the "free reserves } held by the charity are held for certain purposes. As the charily ceased operations during the year. all designated funds were released and transferred to unrestricted reserves prior to Closure. as they were no longer required for their original purposes. Property and Repair5 Fund The truslees have eslablished a fund to cover the cost of the building and repairs therein needed by the charity to carry out is work, the trustees estimated that £150,000 (2023 '.£150.000) is required. The fund currently stands at £0 (2023 '. £110,975}. Contingency Fund The trustees require certain funds held to be able to continue the current activities of Ihe charity in the event of a significant drop in funding. The trustees consider that be￿een 3 and 6 months of the resources expended would have been appropriate. A contingency fund of £85,000 was deemed appropriate. The fund Currently stands al £012023 '. £51,431). Redundancy Fund To provide for the payment of redundancy in the event of our funding ceasing. The trustees consider that a designated fund of £50,000 would have been required. The fund currently stands at £0£ (2023 . £48.500) Restncted Funds Restricled funds are those received to cover specific expenditure. Both capital and income arising can be expended. The fund currently stands at £0 {2023 .' £0). Transactions and Financial position The financial statements are set out on pages 11 to 28. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) 'Accounting and Reporting by Charities, (FRS 102) in preparing the annual report and financial stalements of the charity. The financial statemenls have been prepared in accordance with the accounting policies set out in noles to the accounts and comply with the charitys governing document. the Charities Act 2011 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. Revenue The charity received a total of £208.556 (2023 -. £172.683) in incoming resources and investment income of £77 (2023 '. £57). Surplus foryear The trustees are happy to report a deficit for the year ended 31 January 2025 of £240,888 compared to a surplus of £17.731 for the period ended 31 July 2023. However with the money required to have the new boiler and other essential maintenance the prior year deficit was unavoidable. The Pelican Children's Centre The report of the trustees for the year ended 31 January 2025 Trustees. remuneration and expenses Neither the trustees nor any persons connecled with them have received any remuneration, either in the current year or the prior year. The trustees did not have any expenses reimbursed during the currenl or prior year In accordance with Statement of Recommended Practice (SORP) and Financial Reporting Standard {FRS) 102 Section 18, we hereby disclose the reimbursement provided to one of the trustees for the utilisation of their home office space for charity-related activities. The reimbursement, amounting to £6 per week, has been approved by the board of trustees and is in line with the fair market value of the Se￿IceS rendered. This reimbursemenl covers essenlial tasks such as hosting annual general meetings IAGMS), storing records, and compleling administrative duties within the trustee's home office. The decision to reimburse the trustee for the use of Iheir home office was made after careful consideration of the trustee's contributions to the charity and the necessity of utilising such space for operational efficiency. This arrangement aligns wilh industry standards and has been documented and disclosed in accordance with SORP and FRS102 la requirements. Pelican Children's Centre affirm their commitment to transparency and accountability in financial reporting and assure their stakeholders that all transactions. including trustee reimbursements, are conducted with integrity and adherence to regulatory guidelines. Plans for Future Periods The trustees have resolved lo close the charity. The immediate focus will be on- Compleling the formal closure process. including filing final accounts and reports with the Charity Commission and notifying all relevant stakeholders. Ensuring compliance with legal and fegulatory requirements during the winding-up process. Maintaining transparency throughout the closure to protect the inlerests of creditors and uphold the The Pelican Children's Centre The report of the trustees for the year ended 31 January 2025 charity's obligations. The trustees anticipate completing these steps as soon as practicable in the new year. Statement of Directors, and Trustees, Responsibilities The trustees (who are also directors of The Pelican Children's Cenlre for the purposes of company law) are responsible for preparing the Trustees, Annual 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 period. 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 2019 {FRS 102)- make judgements and estimates thal are reasonable and prudent., and state whether aDDlicable UK Accountina Standards have been followed: prepare the financial slatements on the going concern basis unless it is inappropriate to presume that Ihe charity 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 Ihe charilable 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 sleps for the prevention and detection of fraud and olher irregularities. The Irustees are also responsible for Ihe contents of the trustees, report, and the responsibility of the independent examiner in relation to the trustee5' report is limited to examining Ihe report and ensuring that . on the face of the report, there are no inconsistencies with the figures disclosed in Ihe financial stalements. This report was approved by the board of trustees on 23 December 2025. Mrs A Carter Director and Trustee The Pelican Children's Centre Independent Examinerfs Report to the trustees of the charity Report of the Independent Examiner to the trustees on the accounts of the Charity for the year ended 31 January 2025 I report to the charity Iruslees on my examination of the accounts of the charity for the year ended 31 January 2025 which are set out on pages 1110 28. Responsibilities and basis of report As the charity trustees of the company land also its directors for the purposes of company law) you are responsible for the preparalion of the accounts in accordance with the requirements of the Companies Act 20061'the 2006 Act,). Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your company's accounls as carried out under section 145 of the Charities Act 2011 {'Ihe 2011 Act'}. In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5){b) of the 2011 Act. Basis for Qualified Report During my examination, l identified matters which are material and significant departures from proper governance and stewardship.. 1. Ex-gratia payments were made without proper authority The trustees approved £61,067.59 of additional discretionary redundancyltermination payments and £55,000 of addilional employer pension contributions. These payments constitute ex-gratia payments under sections 106-106A of the Charities Act 2011 and required prior written approval from the Charity Commission. Although the trustees sought informal telephone advice, no written authorisation was obtained, and no contemporaneous record of the call exists. Accordingly, the payments were not made in accordance with charity law, and the accounts reflect a material governance breach. 2. The charity is insolvent and unable to meet outstanding liabilities At the reporting date, the charity held £181 of unrestricted funds but had accrued liabilities of £30.163.58 relating to PAYE, Nalional Insurance and pension contribulions arising from termination payments. The trustees are unable to settle these liabilities in full. which indicates that the charity is insolvent, and that the going-concern basis is not appropriate. While Note 7 adequately discloses the position, this represents a material uncertainty that affects the accounts. 3. Incorrect tax treatment of termination payments Additional redundancyrterminalion payments were in lieu of services provided and therefore subject to PAYE and National Insurance at the time of paymenl. These deductions were not operated, resulting in a material underpayment of employment taxes. Although the estimated liability is disclosed and accrued, the failure to account for tax correctly constitutes non-compliance with relevant legislative requirements. Qualified conclusion opinion.. 1. accounting records have been kept in accordance with section 386 of the Companies Act 2006- 2. the accounts are in agreement with those records., 3. the accounts comply wilh the accounting requirements of section 396 of the 2006 Act, except for any requirement to give a true and fair view (which is outside the scope of an independent examination),. and 4. the accounts have been prepared in accordance with the methods and principles of the Charities SORP (FRS 102). However, in my opinion, the matters described in points11 H3) require disclosure in this report in order to enable a proper understanding of the accounts to be reached. Mr L Rowsell Arr Wills Accountants Ltd Chartered Certified Accountants 2 Endeavour House Parkway Court Longbridge Road PL6 8LR The date upon which my opinion is expressed is 23 December 2025 10 The Pelican Children's Centre Statement of Financial Activities Including Income and Expenditure Account for the period from 1 August 2023 to 31 January 2025 Unrestricted Restricted Totsl Total Funds Funds Funds Funds Period Ended Poriod Ended Period Ended Year Ended 31￿an 31Jan 31Jan 31Jul 2025 2025 2025 2023 Incoming resources Income and endowments from.. Donationsand legacies Charitable activilies Investments Gains on disposals of fixed assets used by Charity 129,171 16.403 77 62.982 129,171 16,403 77 62.982 133.561 39,122 57 Total income and endowments 208,633 208,633 172,740 Expenditure on." Raising funds Charitable activities Other 447.501 2,020 447,501 2.020 153.377 1,632 Total expenditure 449,521 449.521 155,009 Net income l (expenditure) 1240.8881 1240,8881 17,731 Transfers between funds Other recognised gains and losses 1240,8881 1240,888) 17.731 Gains l (losses) on revaluation of fixed assets Remeasurement gain l (loss) on defined benefit pension Otl-ier gains i Iiosses) Net movement in funds 1240,8881 1240,8881 17,731 Reconciliation of funds Total funds brought forward 210.906 210,906 193,175 Totsl Funds carried forward (29.982) 129.9821 210.906 The net All activities derive from continuing operations The notes on pages 14 to 23 fomi an integral part of these accounts. The Pelican Children's Centre Company Number Balance Sheet as at 31 January 2025 03364114 Period Ended Year Ended 31.Jan 2025 314ul 2023 Fixed assets Intangible assets Tangible assets Total fixed assets Note 1,951 157,313 159,264 12 Current assets Stocks & Work in progress Debtors Cash at bank and in hand Total current assets 1,762 2,547 52,948 57,257 13 128.888 128,888 Creditors:_ amounts due within one year 14 (158.870) 15,615) Net current assets {29,982) 51,642 Total assets less current liabilities {29,982) 210,906 Net assets excluding pension asset/ liability Net assets including pension asset I liability 29.982 129.982) 210,906 210,906 The funds of the charity ." Unrestricted income funds Unrestricted revenue accumulated funds Designated revenue funds Unrestricted capital funds Designated property repair fund Total unrestricted funds (29,982) 99.931 110,975 {29,982) 2.10,906 Restricted revenue funds Restricted revenue accumulated funds Total restricted funds Total charity funds (29,982) 210,906 12 The Pelican Children's Centre Company Number Balance Sheet as at 31 January 2025 03364114 Period Ended Year Ended The directors are satisfied that for the period ended on 31 January 2025 the charitable company was entitled lo exemption from the requirement to obtain an audit under section 477 of the Companies Act 2006 relating to small companies. The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006. However, in accordance with seclion 145 of the Charities Act 2011, the accounts have been examined by an Independent Examiner whose report appears on page 8. The directors acknowledge their responsibility for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of accounts. These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime. Mrs A Carter Director and Trustee Approved by the board of trustees on 23 December 2025 The notes on pages 14 to 23 form an integral part of these accounts. 13 The Pelican Children's Centre Notes to the Accounts for the period from 1 August 2023 to 31 January 2025 1 Accounting policies The principle accounting policies are summarised below. The accounting policies have been applied consistently throughout the year and the preceding year. Basis of preparation ol the accounts The Pelican Children's Centre is a private charitable company, limited by guarantee, registered in England and Wales. In Ihe event of the charity being wound up, the liability in respect of the guarantee is limited lo £1 per member of the charity. The address of the registered office is given in the charity information on page 1 of these financial statements. The charity constitutes a public benefrt entity as defined by FRS 102. The financial statements have been prepared in accordance with Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charilies preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued in October 2019. the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice. The charity accounts does not include a cash flow statement on the grounds that it is applying FRS 102 Section 1A and is under the turnover threshold of £500,000. As the truslees resolved to wind up the charily, the financial statements have been prepared on a break-up basis Under this basis, all assets have been recognised at their recoverable amounls, and all known liabilities, including those arising after the year-end that relate lo Ihe period of operations, have been fully accrued. No adjustments have been made for future trading, as the charity has ceased to operate. The financial statements are presented in sterling which is the functional currency of the charity and rounded to the nearest £. The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated. Incoming Resources .11 In￿o￿l￿g resoiJrces are included in the staterr.oryt o! Financ,al Activilies (SOFA) when tle charibi is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received. For donations to be reccgnised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions alta¢hed to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled Donated facilities and donated professional Se￿ice5 are recognised in income at their fair value when their economic benefit is probable, il can be measured reliably and the charity has control over the item. Fair value is determined on the basis of the value of the gifi lo the charity. For example. the amount the charity would be willing lo pay in the open market for such facilities and services. A corresponding amount is recognised in expenditure. Where practicable. gifts in kind donated for distribution to the beneficiaries of the charity are included in stock and donations in the financial statements upon receipt. If il is impracticable to assess the fair value at receipt or if the costs to undertake such a valuation OU￿e1gh any benefils, then the fair value is recognised as a component of donations when it is distributed and an equivalent amount recognised as charitable expenditure. 14 The Pelican Children's Centre Notes to the Accounts for the period from 1 August 2023 to 31 January 2025 Gifts in kind donated for resale are included at fair value, being the expected proceeds from sale less the expected costs of sale. Where estimating the fair value is practicable upon receipt il is recognised in stock and 'lncome from other trading activities,. Upon sale, the value of the slock is charged against 'Income from other trading activities. and the proceeds are recognised as 'lncome from other trading activities,. Where it is impracticable to fair value the items due to the volume of low value items they are not recognised in the financial statements until they are sold. This income is recognised within 'Income from other trading activities.. Fixed asset gifts in kind are recognised when receivable and are included at fair value. They are not deferred over the life of the asset. Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received in exchange for supplying gt)ods and services in order to raise funds and is recognised when entitlement has occurred. The charity receives government grants in respect of there early year funding. Income from government and other grants are recognised at fair value when the charity has entitlement after any performance conditions have been met. it is probable that the income will be received and the amount can be measured reliably. If entitlement is not met then these amounts are deferred. Income from investments is included in the year in which it is receivable. Donations, grants, and legacies are recognised when they are receivable Proceeds from the disposal of fixed assets are recognised at the point of sale. Any difference between the sale proceeds and the carrying value of the asset is recognised as a gain or loss in the Statement of Financial Activities. Except as described under the 'Deferred Income, accounting policy all grants, including granls for the purchase of fixed assets , are recognised in full in the Statement of Financial Activities in the year in which they are receivable. Investment Income Bank Interest received is included on an actual receipts basis. Deferred income In accordance with the Charities SORP, grants that are received in advance and specified by the donor as relating lo particular accounting periods, or grants that are subject to conditions that are yet to be met, are deferred on an accruals basis to the period to which they relate. Thi5 includes grants where the charity has limited control over the conditions, or where it is uncertain whether the conditions can or will be fulfilled. Such deferred grants are disclosed in the notes to the accounts and are presented as creditor5 in the balance sheet. Recognition of liabilities Liabilities are recognised on the accruals basis in accordance with normal accounting principles. modified where necessary in accordance with the guidance given in the SORP. Liabilities are recognised when the charity has a present obligation arising from a past event and it is probable that a transfer of economic benefit will be required to settle the obligation. Accruals have been recognised for post-year-end payments that relale to Ihe period of operations. This includes slaff redundancy payments and an estimate of a550cialed PAYE and Nalional Insurance contributions. 15 The Pelican Children's Centre Notes to the Accounts for the period from 1 August 2023 to 31 January 2025 Resources Expended All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to Ihe category. Expenditure is recognised where there is a legal or constructive obligation lo make payments to third parties, it is probable that the seltlement will be required and the amount of the obligation can be measured reliably. Expenditure includes any VAT which cannot be fully recovered. and is reported as part of the expenditure to which it relates. Costs of generating funds comprise the cosls associated with attracting voluntary income and the costs of trading for fundraising purposes. Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indired nature necessary to support them. Termination payments that do not qualrfy as statutory redundancy are treated as taxable, and any associated PAYE and National Insurance liabilities are accrued when the obligation arises. All expenditure is classified according to the nature of the activity it relates to. Stocks and work in pmgress Stock is valued at the lower of cost and net realisable value. Cost is calculated using the first-in, first- out formula. Provision is made for damaged, obsolete and slow-moving stock where appropriate. Intangible assets Intangible assets are stated at cost less amortisation and impairment. Intangible assets are amortised on a straight line basis over their useful lives. The useful lives of intangible assets are as follows.. Website straight line Fixed assets and depreciation Tangible fixed assets are staled al cost less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended. Tangible assets that are donated to other charities or community organisations are recorded at their net book value at the time of donation. Any difference be￿een the nel book value and the pro¢eeds i om disposal, if applicable, is recogniied as a 9c7iJl Oi Ioss ill . the StateiTient of. financial Abtivities. Depreciation is provided on all tangible fixed assets. at rates calculated to wrile off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows= Land and building straight line Fixtures, frttings & equipment straight line 200/0 Impairment Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset's cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease. Taxation The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass the lests set oul in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definilion of a charitable company for UK corporation tax purposes. 16 The Pelican Children's Centre Notes to the Accounts for the period from 1 August 2023 to 31 January 2025 Going concern The charity has ceased operations and will be wound up. Accordingly, these accounls have been prepared on a break-up basis. The going concern basis has not been applied, and the accounts reflect the assets remaining and liabilities accrued at the reporting date. Funds structure policy Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes. Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. It is the policy of the board of trustees to carefully the monitor the applicalion of those funds in accordance with the restrictions placed upon them. The cost of raising and administering such funds are charged against Ihe specific fund. The aim and use of each restricled fund is set out in Ihe notes to the financial statements. 2 Winding up or dissolution of the charity The trustees have resolved to wind up the charity. In accordance with the charity's governing document and the Charilies Act 2011, if any assets remain after the salisfaction of all debts and liabilities. these assets. represented by the accumulated fund, will be transferred to one or more charitable organisations with objectives similar to those of the charity. 3 Asset Scrapping 3.1 Tangible Fixed Assets - Fixtures and Fittings During the period, the charity disposed of various fixed assels used by the nursery. Most computer and office equipment was scrapped due to age and obSoles￿nce, and therefore realised no proceeds. Certain toys, reso.urces and equipment in usable condition were sold.to other nyrseries and childcare providers, generating proceeds of £1,895. Remaining usable ilems were donated to local charities. community groups and educational organisations as part of the wind-down of the charity's operations. Proceeds from sales were received from Ihe following organisations- Organisation Amount Little Owls Pre-school 100 Cross Path 90 PixieLand Day Nurseries 70 K and S Childcare Limited 20 Keystone Nurseries 940 LT NLrrsery 90 Torpoint Teddies Day Nursery 330 Smeaton Health Care 200 Closure Sale- Multiple organisations 55 Total prcKeeds 17 The Pelican Children's Centre Notes to the Accounts for the period from 1 August 2023 to 31 January 2025 Items donated (not an exhaustive list) were provided to- Recipient Organisation Charity Number 1090457 1118357 1016968 Company Number First Light Margaret Mcmillan Nursery Young Minds Transforming Fulures Multi Academy Trust Limited The net book value of fixtures and fittings disposed of during the period was £4,731, resulting in a loss on disposal of £2,836. 3.2 Intangible Fixed Assets- Website The charity's website, an internally developed intangible asset, was scrapped during the period as il was no longer required following the closure of operations. Carrying value at the date of disposal.. £1,952 Proceeds.. £nil Loss on disposal: £1,952 3.3 Tangible Fixed Assets - Land and Buildings The nursery property used for charitable activities was sold following the cessalion of operations. Description Amount 1£) Sale proceeds.. 227,000 Auction fees.. {6,648) Carrying value at dale of sale.. (152,582) Gain on disposal.. 67,770 Disposal proceeds were applied in accordance with the charity's governing document to make grants to organisations with similar charitable purposes as part of the planned wind-down. 3.4 Summary of Gains l (Losses) on Disposal Asset Category Fixtures and Fittings Intangible assets - Website Land ap.d Buildip.g Net Gain on Disposal 10038640 Gain l (Lossl {£) (2,836) {1.952} 62,982 4 Donations to Other Charities Following the cessation of activities and the sale of its main asset. the trustees approved the distribution of the remaining charitable funds to organisations with comparable charitable objectives, as follows= Recipient Charity Friends and Families of Special Children Ltd Community Regeneration Outreach Project Ltd Devon Air Ambulance Trust Dra e Primary Parents, eac Association Plymouth Hospital General Charity and Other Related Charities Children's Wishes Plymouth Mutley Greenbank Trust Plymouth Ladies Date Donated Charitv Number 1140826 Amount {£) 30105/2025 30/05/2025 3010512025 10,000.00 1085090 9,000.00 1077998 7,500.00 ers an rien 02106/2025 1022408 10,000.00 30105/2025 1048679 9,000.00 3010512025 3010512025 1110912025 1207614 1087523 1170402 Total 7,500.00 7,000.00 4,000.00 64,000.00 18 The Pelican Children's Centre Notes to the Accounts for the period from 1 August 2023 to 31 January 2025 5 Termination Payments and Pension Contributions During the period, the charity ceased operations and all staff were made redundant. The trustees authorised total termination-relaled payments of £150,000, consisting of.. £33,932.41 statulory redundancy payments due under employment legislation., £61.067.59 additional discretionary redundancyltermination payments, paid in lieu of services provided but not in line with previous salary. and made without any contractual or legal obligation,. £55,000 additional discretionary employer pension conlributions made on behaff of staff, over and above normal pension obligations. The additional £61,067.59 paid as discretionary redundancy and the £55,000 of additional pension contributions were ex gratia payments under charity law because.. they were not required by contract, statute, or employment terms,. they do not further the charity's charitable objects., and they represent payments made out of a sense of goodwill rather than legal duty. These additional payments were made at the trustees, discretion and were agreed at the trustees, meeting held on 2nd May 2024. There was no formal calculation of redundancy rates applied uniformly to all employees. Inslead, the payments were determined on a case-by-case basis, with the trustees assessing what they felt was reasonable for each employee. Under sections 10etr106A of the Charities Act 2011, ex gratia payments of this nature require formal written approval from the Charity Commission unless the charity's governing document provides explicit authority. No such authority or wrrtten approval exists. 6 PAYE and National Insurance Liability on Additional Termination Payments All additional redundancy payments made during the period, as described in Note 5, were provided in lieu of services provided. As such, these payments constituted laxable earnings and were therefore subject to PAYE and National Insurance contributions at the time of payment. These statutory deductions were not applied when the payments were made. As a result. the charity has recognised an estimated liability for the PAYE. National Insurarsce and relaled deductions that should have been accounted for at the time of payment. The estimated liability has been calculated on the basis that.. Earnings from the charity constituted the erriployees. only earnings for the tax year, and All affected employees are assessed as basic rate taxpayers. The estimate includes the following amounts.. Liability Component Amount 1£) PAYE on additional payments 16,151.48 Employer National Insurance contributions 2,619.87 Employee National Insurance contributions 10,511.67 Employee pension contribution5 due on the payments 880.56 Total estimated liability 30,163.58 The total eslimated liability of £30,163.58 has been fulty accrued in these final accounts. The trustees are aware that the outstanding PAYE and National Insurance liability should be reported lo HMRC. Due to the charity's insolvency, they will communicate with HMRC regarding the unpaid amounts as part of the wind-up process. The Pelican Children's Centre Notes to the Accounts for the period from 1 August 2023 to 31 January 2025 7 Going Concern and Insolvency Position The financial statements have not been prepared on a going concern basis as the charity ceased operating during Ihe year and is in the process of being wound up. Following the finalisation of liabilities arising from additional termination payments {see Note 6), the charity's total outstanding obligations exceed its available unrestricled funds. At the reporting date, unrestricled funds amounted to £181, while estimated outstanding liabilities totalled £30,163, rendering the charity insolvenl at the balance sheet date. The financial statements have therefore been prepared on a break-up basis, under which all assets and liabilities are recognised to the extent that they are expected to be realised or settled as part of the winding-up process. The trustees recognise that the charity does not have sufficient funds to meet its remaining obligations. They are aware of their legal duties in Ihe event of insolvency and will communicate with the Charity Commission accordingly. 8 Investment Income 2025 2023 Bank deposit interest received 77 77 57 57 9 Staff costs and employee benefits The total staff costs and employee benefits were as follows.. 2025 2023 Gross Salaries Employer's National Insurance Contractual Pension contributions charitable employees Non Contractual Pension contributions charilable employees Standard Redundancy charitable employees Additional Redundancy charitable employees 142,958 53,971 7.260 55,881 33.932 61.068 355.070 127.655 3,648 2.306 133.609 Avorage Number of Staff Employed 2023 The average monthly number of employees and full time equivalent (FTE) during the yearlperiod was as follows= Nursery There were no fees or olher remuneration paid lo the trustees There were no employees with emoluments in excess of £60,000 per annum 10 Related Party Transactoins There are no related party transactions during the period (2023 - £Nil) 20 The Pelican Children's Centre Notes to the Accounts for the period from 1 August 2023 to 31 January 2025 11 Intangible fixed assets Website Cost At 1 August 2023 Additions Disposals At 31 January 2025 Amortisation At 1 August 2023 Provided during the period On disposals At 31 January 2025 Net book value At 31 January 2025 At 31 July 2023 2025 2023 3,272 3.272 3,272 3,272 1,321 994 327 (1,321) 1,321 1,951 2,278 1,951 12 Tangible functional fixed assets Freehold Land and buildings Plant, Machinery & Vehicles Total Asset cost, valuation or revalued amount At 1 August 2023 Additions Disposals Surplus on revaluation At 31 January 2025 Accumulated depreciation and impairment provisions At 1 August 2023 Eliminated on disposals Depreciation on revaluation Charge for the period At 31 January 2025 Net book value At 31 January 2025 At 31 July2023 214,898 72,807 287,705 (214.898) (72.807) (287,705) 62,316 {62.316) 130,392 (130,392) (68.0761 152,582 4,731 157,313 13 Debtors 2025 2023 Trade debtors Other Debtors Prepaid expenses Accrued income 436 2,111 2.547 21 The Pelican Children's Centre Notes to the Accounts for the period from 1 August 2023 to 31 January 2025 14 Creditors.. amounts falling due within one year The following amounts relate to liabilities and accrued expenses that were settled after the year end or remain outstanding at the date of preparing these accounts.. 2025 2023 3.1 Accrued Expenses Paid After the Year End Accrued expenses Bank charges Independent examination fee - Administrative expenses Donations to other charities Wages outslanding PAYE and National Insurance Contractual pension conlributions Non-contractual pension contributions {discretionary) Other creditors Total accrued expenses paid post year-end: £128,707 3.2 Creditors Outstanding at the Date of Preparation Creditors Still Oulstandin at time of re ation PAYE and National Insurance Contractual pension contributions Total creditors outstanding: £30,163 18 2,020 903 64.000 4,856 1,653 257 55.000 1.632 1,436 537 2,010 29,283 880 158,870 5,615 15 Analysis of the Net Movement in Funds 2025 2023 Net movement in funds from Statement of Financial Activities Net resources applied on functional fixed assels Net movement in funds available for future activities (240,888} 94,331 335,219 17,731 1,280 16.451 16 Analysis of Fb'nds and the Assets and Litibilities Represeriting Them At 31 January 2025 Unrestri¢ted Designated Restricted funds funds funds Total Funds Intangible assets Tangible Fixed Assets Current Assets Current Liabilities 128,888 158,870 29,982 128.888 158,870 29,982 At 1 August 2023 Unrestricted funds Designated funds Restricted funds Total Funds Intangible assets Tangible Fixed Assets Current Assets Current Liabilities 1,951 1,951 157,313 57,257 5.615 210,906 157,313 53,593 3,664 5,615 210,906 22 The Pelican Children's Centre Notes to the Accounts for the period from 1 August 2023 to 31 January 2025 Funds at 2023 Movements in Funds as below Transfers Between funds Funds at 2025 Unrestricted free reserves Property and repair fund Redundancy fund Contingency fund Restricted funds (240,888) 210,906 (110,975) (48,500) 151,431) (29,982) 110,975 48,500 51,431 210,906 240,888 29,982 Incoming Resources Outgoing Resources Gains & Losses Movement in funds Unrestricted free reserves Property and repair fund Redundancy fund 208,633 (449,521) (240,888) 208,633 449.521 240,888 Purpose of funds The unrestricted revenue reserves represents funds of the charity not designated for a particular purpose. The property repair fund has been designated by the trustees to cover the anticipated costs of the replacement and Lrpkeep of the building. The redundancy fund is to provide for the payment of redundancy in the event of our funding ceasing. The contingency fund has been designaled by the Irustees as a fund set aside to cover running costs for a period should there be a signrficant drop in funding. Resiricied runds are grants receivÈd from donors including capiial grants, thai are for a particular restricted purpose. 17 Share Capital The charity is incorporated under the Companies Acts and is limited by guarantee, each member having undertaken to contribute such amounts not exceeding one pound as may be required in the evenl of the company being wound up whilst they are still a member or within one year thereafter. There are 5 members of the company {2023 - 5 members). 23 The Pelican Children's Centre Appendices to the Staternent of Financial Activities for the period from 1 August 2023 to 31 January 2025 1. Analysis of Total Incoming & Outgoing Resources by Activity 2. Analysis of charitable expenditure by activity 24 The Pelican Children's Centre Appendix 1 Analysis of Total Incoming & Outgoing Resources by Activity for the period from 1 August 2023 to 31 January 2025 2025 Total 2023 Total Nursery Overheads Income and endowments fmm." Donations and legacies Charitable activities Other trading activities Investment Income Gains on disposals of fixed assets used by Charity 129,171 16.403 129.171 133,561 16,403 39,122 77 62,982 77 62,982 57 Total Income 208,633 208.633 172,740 Expenditure on." Raising funds Charitable aclivities Other Other resources expended 447,501 447.501 153,377 2,020 1,632 2,020 Total resources expended 447,501 2,020 449.521 155,009 Net Incoming Resources by activity 238,868 2,020 240,888 17,731 Appendix 2 Analysis of charitable expenditure by activity for the period from 1 August 2023 to 31 January 2025 2025 Totsl 2023 Total Nursery Overheads Nature of charitable expenditure Aclvities undertaken directly Support costs of charitable activities Total charitable expenditure analysed by activity 447.501 2,020 449.521 155.009 447,501 2,020 449.521 155.009 25 The Pelican Children's Centre Schedule to the Statement of Financial Activities for the period from 1 August 2023 to 31 January 2025 Unrestricteé Restricted Total Prior Period Funds Funds Funds Totsl Funds 2025 2025 2023 2025 Note Incoming Resources Income from Donations and Legacies Non government and non publi¢ bodies Incoming resources of a revenue nature - grants, donations and legacies Plymouth City Council Grant Early years Grant Funding Keynham Community Sparks Total Grants,Legacies & Donations Received 129.171 129.171 133,061 500 133,561 129,171 129,171 Investment Income Bank deposit interest received Total Investment Income 77 77 77 77 57 57 Incoming resources from charitable activities Centre fees Other charitable activities fundraising activities Total Incomlng resources from ¢haritable activities 16,403 16,403 38,964 158 39,122 16,403 16.403 Other Incoming Resources Gains on disposals of fixed assets used by Charity 62,982 62.982 62,982 62.982 Total Incoming Resources 208,633 208,633 172.740 26 The Pelican Children's Centre Schedule to the Statement of Financial Activities for the period from 1 August 2023 to 31 January 2025 Unrestri¢tel Restricted Total Prior Period Funds Funds Funds Total Funds 2025 2025 2025 2023 Note Charitable expenditure Support costs of charitable activities Direct support costs Gross wages and salaries - charitable activities Employers, Nl - Charitable activities Contractual Pension contributions charitable employees Non Contractual Pension contributions charitable employees Standard Redundancy charitable employees Additional Redundancy charitable employees 142.958 53.971 7,260 55,881 33,932 61.068 355,070 142,958 53.971 7,260 55,881 33,932 61.068 355,070 127,655 3,648 2,3Ch8 133.609 Management and administration costs in support of charitable activities Indlrect employee costs Volunteer expenses Training and welfare Motor expenses Staff Entertainment & Subsisten Uniforms 140 60 256 1.224 459 256 1.224 459 450 272 1,939 1.939 922 Premises Costs Ground Renl Rales, water and Se￿iCe charges Insuran 50 50 150 2,840 3.760 2.577 2.422 7.987 4.016 23.652 2.840 3,760 2,577 2,422 7,987 4,016 23.652 2,209 2.017 2.076 2.392 3.537 2,037 14,418 Light and heat Cleaning Premises repairs and renewals Nursery Cenlre consumables General administratlve expenses." Telephone and fax Postage Stationery and printing Subscriptions Computer costs Advertising Bank charges 777 777 727 345 962 345 962 265 654 77 77 323 315 204 2,365 204 102 2,365 27 The Pelican Children's Centre Schedule to the Statement of Financial Activities for the period from 1 August 2023 to 31 January 2025 Unrestricteo Restricted Total Prior Period Funds Funds Funds Total Funds 2025 2025 2025 2023 Note Prolessional fees in support of charitable activities Legal fees 475 475 50 475 475 50 Other support costs Depreciation of assets used for charitable purposes 1,992 1,992 Total Support costs 383.501 383,501 153,377 Grantmaking to achieve the objects of the charity Grants paid including Gift Aid payments Grants paid as shown in the detailed schedule 64,000 64.000 Total Expended on Charitable Activities 447.501 447,501 153,377 Governance costs that are not direct management functions inherent in generating funds, service delivery and programme orproject work Specific other costs Independent Examiner's Fees Total other costs 2,020 2.020 2.020 2.020 1,632 1,632 Analysis of transfers between funds Transfer lollfrom) unreslricled to hp analy 99,931 17.731 28 ## **Issuer** Wills Accountants Limited **Document generated** Tue, 23rd Dec 2025 8:47:54 GMT **Document fingerprint** a9a0ddaf2a7f4975af5e1145016f715b ## **Parties involved with this document** ## **Document processed** ## **Party + Fingerprint** Wed, 24th Dec 2025 9:40:40 GMT Tue, 23rd Dec 2025 10:57:53 GMT Wed, 24th Dec 2025 9:40:40 GMT Wed, 24th Dec 2025 9:40:40 GMT Wed, 24th Dec 2025 9:40:41 GMT Angela carter - Signer (4da340746474b9124111e97a3335b813) Leigh Rowsell - Signer (b9270e466b8b66b6d4fb40b1b5258682) Sandra Benwell - Copied In (40a8ee318de4bc59f8379ce22854f5fe) Stacey Edwards - Copied In (5fd01f3346b6f9b21e40746fe21dd36f) Charanjeet Singh - Copied In (c7692d46c02ebf991c724fd00c48c502) ## **Audit history log** ## **Date** ## **Action** Tue, 23rd Dec 2025 8:47:54 GMT Tue, 23rd Dec 2025 8:47:54 GMT Tue, 23rd Dec 2025 8:47:55 GMT Tue, 23rd Dec 2025 10:36:19 GMT Tue, 23rd Dec 2025 10:36:19 GMT Tue, 23rd Dec 2025 10:43:55 GMT Tue, 23rd Dec 2025 10:51:00 GMT Tue, 23rd Dec 2025 10:51:00 GMT Tue, 23rd Dec 2025 10:51:00 GMT Tue, 23rd Dec 2025 10:51:00 GMT Tue, 23rd Dec 2025 10:55:49 GMT Tue, 23rd Dec 2025 10:56:37 GMT Tue, 23rd Dec 2025 10:57:53 GMT Tue, 23rd Dec 2025 13:42:24 GMT Envelope generated by Gemma Logan (62.232.17.186) Document generated with fingerprint cd38e03c83b6aefcafd02d32001bd10a (62.232.17.186) Document generated with fingerprint 56ca1f6aba1f4ab0f7af6a6df8d81709 (62.232.17.186) Document generated with fingerprint c010fe0453c4d7527f4dbe638fa68fc0 (62.232.17.186) Document generated with fingerprint 84d74166ca1613b3866685efde82c4ee (62.232.17.186) Document generated with fingerprint a9a0ddaf2a7f4975af5e1145016f715b (62.232.17.186) Sent the envelope to Angela carter for signing (62.232.17.186) Sent the envelope to Leigh Rowsell for signing (62.232.17.186) Document emailed to party email Document emailed to party email Leigh Rowsell viewed the envelope (62.232.17.186) Leigh Rowsell viewed the envelope (62.232.17.186) Leigh Rowsell signed the envelope (62.232.17.186) Angela carter opened the document email. 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