## Parentkind
Report and Accounts for the year ended 31 December 2021
Parentkind - Company Number 3680271
|**Contents**||
|---|---|
||Page|
|Company Information|3|
|Trustees’ Report|4|
|Independent Auditors’ Report|15|
|Consolidated Statement of Financial Activities|19|
|Consolidated and Charity Balance Sheets|20|
|Consolidated Cash Flow Statement|21|
|Notes to the Financial Statements|22|
Report and Accounts for the Year Ended 31 December 2021
2
Parentkind - Company Number 3680271
## **Company Information as at 31 December 2021**
|Incorporated|England 2ndDecember 1998|||
|---|---|---|---|
|Company Number|3680271|||
|Charity Number|1072833|||
|Trustees|Joe Saxton, Chair of the Board (to 9thJune 2021)|||
||Alex Peace-Gadsby, Chair of|the Board (from 9thJune 2021)||
||Joni Alexander||Amanda Shepard|
||Steve Bannister||Mos Somji|
||Ellen Broome||Pat Sowa|
||David Hatchett||Jo Walmsley|
||Rob Hayter||Karen Wespieser (to 9thJune 2021)|
|Chief Executive|John Jolly|||
|Company Secretary|Graham Stone|||
|Registered Office|39 Shipbourne Road|||
||Tonbridge|||
||Kent TN10 3DS|||
|Bankers|CAF Bank Ltd|Aldermore Bank PLC||
||25 Kings Hill Avenue|1st Floor, Block B||
||West Malling|Western House||
||Kent ME19 4TA|Lynch Wood||
|||Peterborough PE2 6FZ||
|Investment Managers|Sarasin and Partners LLP|Solicitors|Cripps LLP|
||Juxon House||22 Mount Ephraim|
||100 St Paul’s Churchyard||Tunbridge Wells|
||London||Kent TN4 8AS|
||EC4M 8BU|||
|Independent Auditors|Saffery Champness LLP|Insurer|Zurich Insurance plc|
||71 Queen Victoria Street||The Zurich Centre|
||London||3000 Parkway|
||EC4V 4BE||Whiteley|
||||Fareham|
||||Hampshire PO15 7JZ|
Report and Accounts for the Year Ended 31 December 2021
3
Parentkind - Company Number 3680271
## **Report of the Trustees for the year ended 31 December 2021**
The Trustees are pleased to present their annual report together with the consolidated financial statements of the Charity and its subsidiary for the year ended 31 December 2021, which are also prepared to meet the requirements for a directors’ report and accounts for Companies Act purposes.
The financial statements have been prepared in accordance with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, 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).
## **Overview**
## **Objectives for the public benefit**
The principal objects contained within the Charity’s memorandum and articles of association are:
_‘To advance education by encouraging the fullest co-operation between home and school, education authorities, central government and all other interested parties and bodies.’_
The Trustees have considered the Charity Commission guidance on public benefit while developing plans for activities during the year.
## **What does Parentkind do?**
- We are a charity that champions parents so that they can participate in their child’s education and school life to the full
- We are the largest membership body for Parent Teacher Associations (PTAs) and other parent groups in England, Wales and Northern Ireland
- We provide parental participation training across the UK
- We provide parents with information and resources on how they can get involved in school life and support their child’s learning.
In 2018 the Trustees agreed a strategy to achieve Parentkind’s objects covering activities up until the end of 2021 and to realise its vision, mission and ambition.
## **Our vision**
Our vision is that the active participation of parents is considered an essential ingredient in the success of our children’s education by society, schools and parents themselves.
## **Our mission**
Parentkind will tirelessly support and champion all the ways parents can participate in education and have their voices heard. We want to be a powerful force for good in education in the UK that strives to bring homes and schools together for the good of all children and society as a whole.
## **Our ambition**
We want more parents to be involved and engaged in their child’s education, and in more ways – both at home and at school.
Report and Accounts for the Year Ended 31 December 2021
4
Parentkind - Company Number 3680271
**Parentkind’s five strategic goals guiding work in 2018-21 were** :
1. Supporting and engaging parents to help them maximise their contribution to their child’s education
2. Supporting and engaging PTAs, Parent Councils and other parent groups to be as effective as possible
3. Helping schools to become more parent-friendly
4. Developing new partnerships to reach more parents and schools
5. Championing the role of parents in education and their importance in education policy.
Throughout the pandemic, work was carried out to keep Parentkind at the heart of education debates in all three nations in which it operates. This is because Parentkind has chosen to take the opportunities presented to it, representing a parent voice on key issues and proactively collaborating with a wide range of organisations in England, Wales and Northern Ireland, in a fast changing situation.
During the pandemic Parentkind’s four key priorities have been:
1. To ensure that Parentkind is positioned as an organisation PTAs cannot live without in 2021 and one that reflects the new normal (e.g. non-event based fundraising).
2. To ensure that Parentkind is able to keep a track on the financial impact of COVID19, against worst case scenarios, against different levels of membership revenue in January 2021, given all of its risk sits against January 2021.
3. To recognise the transformational nature of current events in speeding-up the using virtual technology instead of face-to-face training and conferences, and develop training accordingly.
4. To continue to increase the influence and profile of Parentkind in the context of parental participation (Blueprint) and parent consultation at a school, local, regional and national government level.
## **Achieving Parentkind’s Strategic Goals**
Consideration will now be given to each of Parentkind’s five strategic goals in turn, reporting on activities and achievements against each goal so far:
## **(1) Supporting and engaging parents to help them maximise their contribution to their child’s education**
## **Giving parents a voice**
In March 2020 parents were suddenly empowered to make choices in their child’s education and were actively involved in children’s learning at home due to the unprecedented school closures. In response, Parentkind piloted a small online survey to gauge a reaction of parents’ thoughts at this time in terms of their child’s education. In under five days, almost 700 parents (691 in total) representing 1,181 schoolchildren across the three nations submitted their views.
With the situation changing daily, Parentkind released a second short online survey to gain further clarity on parent views in April 2020. An unprecedented 257,392 parents responded. This high level of engagement demonstrated the strength of feeling among parents at this time as well as Parentkind’s ability to be agile in gathering a collective ‘parent voice’. Parentkind has continued to regularly gather a parent voice through online polls and surveys, covering topics such as; exams and assessment, new curriculum for Wales, vaccinations, face masks and school uniform. These polls are short, giving a measure of parent views, in one situation, almost immediately generating media coverage and influencing policy. There is no doubt that these additions to Parentkind’s research have been a quick way to seriously inspire a large number of parents to respond and give their voice. Parentkind is looking to build upon this during the coming year through improvements to the research programme and research capability to allow for a greater understanding of which parent groups are responding to our research. This will ensure a representative range of feedback that reflects the demographics of parents across the UK.
Report and Accounts for the Year Ended 31 December 2021
5
Parentkind - Company Number 3680271
## **Providing parents with resources and support**
Parentkind continued to slightly increase the number of likes and followers across social media channels Twitter and Facebook. As well as a significant increase in sign-ups to the parent e-bulletin by over 10,000.
||**At 31st December 2021**|**At 31st December 2020**|**% Change**|
|---|---|---|---|
|Website Session Visits|420,109|518,611|-19%|
|Website Unique Users|303,181|373,414|-19%|
|Page Views|1,396,281|2,689,602|-48%|
|Average Minutes Per
Web Page|02:18 (138 seconds)|02:03 (123 seconds)|+12%|
|Facebook Likes|7,001|6,441|+9%|
|Twitter Followers|9,723|9,165|+6%|
|Parent E-Bulletin|33,451|20,654|+62%|
## **(2) Supporting and engaging PTAs, Parent Councils and other parent groups to be as effective as possible**
## **PTA Membership**
As of December 2021, Parentkind had 12,588 **PTA members** (45% of all schools in England, Wales and Northern Ireland).
||**Year to 31 December 2021**|**Year to 31 December 2020**|**% Change**|
|---|---|---|---|
|PTA Members(Year Start)|12,779|13,583|-6%|
|PTA Members – who did not
renew|892|1,326|-33%|
|PTA Members – new &
returning|701|522|34%|
|PTA Members(Year End)|12,588|12,779|-1%|
|PTA Member Retention Rate|93.0%|90.3%|3%|
Our presence in the three nations is as follows:
||**PTA Members**|**Number of Schools**|**% Market**|
|---|---|---|---|
|England|11,563|24,323|48%|
|Wales|645|1,494|43%|
|Northern Ireland|377|1,094|34%|
|Other|3|-|-|
|TOTAL|12,588|26,911|47%|
## **PTA membership benefits**
Parentkind continued to provide high quality support to PTA members via telephone and email despite many PTAs being out of action due to the pandemic.
||**At 31st December 2021**|**At 31st December 2020**|**% Change**|
|---|---|---|---|
|Total Number of Enquiries|10,834|9,746|+11%|
|PTA Member – support via
telephone|2,319|2,935|-21%|
|PTA Members – receiving e-
newsletter|24,865|27,384|-9%|
Parentkind continued the implementation of its annual ‘BIG’s’ fundraising programme including; Big PTA Quiz 2021 in October and the Big PTA Raffle in the summer and Christmas. The Big PTA Raffle for
Report and Accounts for the Year Ended 31 December 2021
6
Parentkind - Company Number 3680271
Christmas was run under a Society Lottery license issued by the Gambling Commission working with Gatherwell Limited as External Lottery Manager School Lottery, achieving a combined income for PTA members of £194,627.
In addition, Parentkind launched its first National PTA Week, including workshops and awards. 205 PTA members took part across 7 workshops and the awards generated 65 entries. With four PTAs and two volunteers winning £2,250 collectively across five award categories.
Parentkind continued to successfully work with a number of long-term and new partners to offer a wider range of exclusive benefits, to help PTA members be as effective as possible, as well as raise more money including; Easyfundraising and BOPP. Parentkind’s ongoing partnership with easyfundraising meant that in 2021, over 480 PTAs registered to use the service raising £628,930. Over 200 members have taken advantage of BOPP’s new payment service with an exclusive 20% membership discount.
## **Annual PTA membership survey**
The 2021 annual PTA membership survey was completed online by nearly 1,000 PTA members. The key headlines are summarised below:
- PTA members raised an average of £6,187 compared to £9,006 in 2020.
- The total amount raised by all PTA members that goes directly into schools is estimated to be more than £79 million, a reduction from the estimated £121 million raised in 2020.
- Covid-19 has had a huge impact on PTAs’ ability to fundraise. Across Parentkind’s PTA membership, the estimated lost income by PTAs as a result of the pandemic is more than £75 million.
- Committee members of Parentkind’s PTA members collectively volunteered 2.05 million hours, worth at least £17.8 million (based on the national living wage).
## **(3) Helping schools to become more parent-friendly**
## **Blueprint for Parent-Friendly Schools**
Parentkind’s online parental participation for schools continued, with 89 delegates trained in 2021 across three training courses; including an introductory workshop on overcoming barriers to parental participation and masterclasses on successful parental consultation and implementing a whole school approach. CPD accreditation was re-established for all Parentkind courses, a new marketing list of senior education leaders was purchased and Parentkind continued to optimise the marketing of its training products.
There has been continued development of resources to complement the Blueprint for Parent-Friendly Schools five key drivers. This included a revised joint guidance piece with the National Governance Association about effective governance when engaging with parents and carers and how to implement a policy and strategy in their schools. A webinar was delivered with The Reading Agency about reading for pleasure and supporting reading at home. A number of projects were in development in 2021, including; a Train-the-trainer pilot model where Parentkind staff will train others to deliver its introductory workshop onwards to their networks, a comprehensive e-guide on Parent Councils, the Blueprint for Parent-Friendly Schools Audit Tool which will allow schools to measure their implementation of parental participation methods and funding and supporting a Master of Teaching (MTeach) student at Stranmillis University College in Belfast who is undertaking action research with a focus on parental engagement.
Report and Accounts for the Year Ended 31 December 2021
7
Parentkind - Company Number 3680271
## **(4) Developing new partnerships to reach more parents and schools**
Due to the higher profile that parent polls has given Parentkind, it has collaborated on the following research projects:
- Brookings Institution’s global Parent Engagement in Education Project looking at the role of parental engagement in children’s education.
- Inclusivity in the curriculum with Pearson, following a teacher survey.
## **(5) Championing the role of parents in education and their importance in education policy.**
Parentkind executed its 7th Annual Parent Survey with a 3,000 sample size across England, Wales and Northern Ireland. The results were launched in a Parent Voice Report across social and wider media.
The Parent Voice Report has been cited in The Times which covered donations, costs and spending. Teach Primary, Teach Secondary, Sunderland Echo, Hartlepool Mail and The Shields Gazette all covered the Parent Voice Report. CEO John Jolly appeared on LBC Radio to talk about parents' financial contributions to the school fund. On television, John also joined Alex Phillips on GB News to talk about the latest Parent Voice Report, focusing on the mental health findings.
Executive Director Kerry-Jane Packman contributed the article 'Parents must be included in the national conversation about assessment reform' to Rethinking Assessment, which was based on insights from ' Parentkind s Parent Voice Report 2021.
The Parent Voice Report has also been mentioned by MPs in parliamentary debates in the House of Commons. Former Shadow Education Secretary Kate Green mentioned Parentkind's mental health in children research during the General Debate on the effectiveness of the Government's Education CatchUp and Mental Health Recovery Programmes. Rachel Hopkins MP referenced Parentkind’s Parent Voice Report 2021 in the Children's Mental Health debate. Shadow Schools Minister Stephen Morgan cited research on parents’ views on careers guidance in school during a debate. MPs Munira Wilson, John McDonnell and Rachel Hopkins mentioned Parentkind’s Annual Parent Survey 2021 results in the House of Commons during a debate on School-based Counselling Services.
Key headlines are as follows:
- Parents reported higher levels of overall involvement in their child’s school and education than in any year previously, with a mean score of 7.13 in 2021 compared to 6.60 in 2020.
- 85% of parents want to play an active role in their child’s education. However, there continues to be a gap between parents’ desire to have a say in their child’s education and the extent to which parents feel they are listened to.
- 54% of parents say their child’s school takes action based on their feedback, and 51% feel they are able to have a say on school decisions. 50% of parents say their child’s school should be more accountable to parents.
- The importance of child mental health has become more widely accepted than ever before, with 88% of parents saying mental health development should be an important focus within the curriculum.
- 58% of parents believe that the current state education system enables children from more privileged backgrounds to succeed more than others and 50% don’t feel their child’s personal background is reflected in what is taught in schools today.
The All Party Parliamentary Group on Parental Participation in Education that Parentkind sponsors at Westminster continues to gain momentum with Ian Mearns MP as chair. Meetings have been attended by the following MPs and Peers: Mary Glindon MP, Grahame Morris MP, Lord Watson of Invergowrie, Graeme Dolphin representing Margaret Greenwood MP; Ian Byrne MP, Tracey Crouch MP, Kate Green MP, Margaret
Report and Accounts for the Year Ended 31 December 2021
8
Parentkind - Company Number 3680271
Greenwood MP, Emma Hardy MP, Rachel Hopkins MP, David Johnston MP, Baroness Bennett of Manor Castle, Lord Knight of Weymouth, Lord Ramsbotham; and Chris Waterman (APPG for the Teaching Profession).
Parentkind continues to work closely with DFE, Ofsted, Ofqual, NEU, The Chartered College of Teaching, NGA, NAHT, ASCL and reaching out to a wide range of other organisations and top influential individuals both to introduce Parentkind and raise concerns expressed by parents.
Parentkind responded to fifteen policy focused consultations across England, including:
- consultations regarding Ofqual, where important evidence of parent voice on the subject of exams and assessment was presented,
- consultations conducted by the Department for Education,
- parent views on the financial sustainability of schools and schooling, submitted to the Public Accounts Committee and
- evidence from Parent Voice Report 2021 to help inform the Online Safety Bill.
Parentkind continued to engage with politicians and other key stakeholders in Wales. It secured some key political connections in Wales, including: Kirsty Williams MS, Education Minister, Suzy Davies MS Welsh Conservatives Education spokesperson and member of Children, Young People and Education Committee, Jane Hutt MS, Deputy Minister and First Whip, Welsh Labour and Sian Gwenllian MS, Education spokesperson and member of the Children, Young People and Education Committee, Plaid Cymru.
Parentkind continued to gain momentum with MLAs, peers and organisations within the APWG in Northern Ireland where Parentkind is the secretariat. Regular contact is maintained with the Education Minister and other politicians involved in Education in NI, providing insights as to parents’ thoughts and opinions on an array of matters. Parentkind research has been used extensively in NI, for example, by the Department of Education. The Education Minister used Parentkind survey findings in several reports to the NI Assembly, when presenting evidence to the Education Committee, when answering general questions to the Committee and again in the Assembly answering open questions.
## **Our new strategy**
During 2022 the Trustees agreed a new three year strategy to achieve Parentkind’s objects. This means embracing new ideas, trialing innovation and, in some ways, changing the way we work. During a vital time for education we want to ensure that the voice of parents is heard.
## **Our purpose**
Parentkind exists to empower all with parental or educational responsibility to improve the life chances of children, young people and their communities.
## **Parentkind’s four strategic pillars** :
Our plan for the next three years is to focus on four strategic pillars:
1. Growth
2. Inclusivity
3. Credibility
4. Collaboration
Report and Accounts for the Year Ended 31 December 2021
9
Parentkind - Company Number 3680271
We have put together a list of actions to help us achieve our goals in these four pillars and working together, as a team, is a crucial part of meeting being able to achieve this. It is also expected that, over the next three years, new actions will emerge and these will be considered as they become relevant.
## **Download Strategy 2022-2025 document here:**
https://www.parentkind.org.uk/uploads/files/1/Resources/test-strategy/Parentkind-Strategy-2022-2025_Final.pdf
## **Our values**
As Parentkind we are guided by these values which gives us the strength to succeed:
- Brave – We address issues head on;
- Informed – We based our decisions and actions on fact;
- Co-operative – We work together to achieve more than we can on our own;
- Entrepreneurial – We embrace ideas knowing we will sometimes make mistakes but we will learn from them;
- Progressive – We challenge ourselves and others to make change.
## **Financial Review**
## **Income**
Total incoming resources for the year amounted to £1,469,217 (compared with £1,518,983 for 2020, a decrease of £49,766 : 3.3%).
Funding was primarily from PTA membership, which provided £1,276,581 (compared with £1,312,067 for 2020, a decrease of £35,486 : 2.7%).
The Charity’s wholly owned trading subsidiary Parentkind Enterprises Limited (PEL) continued to trade well and income from commercial was £149,250 (compared with £142,360 for 2020).
In this period, PEL made a payment of £53,493 (compared with £46,393 for 2020) under Gift Aid to the Charity, representing an increase of £7,100 on the prior year.
The Charity received income of £11,302 related to training workshops provided to enhance parental reach into schools as part of our wider schools programme (compared to £1,886 for 2020). This represents an increase on the prior year of 499.3%. This increase was a direct result of restarting our training programme following Covid-19 Pandemic disruption in the prior year.
Investment income for the period was £15,988 (compared to £17,086 for 2020). At 31 December 2021, the investment was valued at £566,220 (compared to £514,007 for 2020)
The only form of direct fundraising undertaken by Parentkind during the year was through our Big PTA Raffles. The purpose of the raffles was primarily to raise funds on behalf of our PTA members. Raffles were undertaken in partnership with an External Lottery Manager, Gatherwell Ltd, firstly under a small society lottery licence issued to Parentkind by Tonbridge and Malling Borough Council and then under a gambling licence issued by The Gambling Commission. We ensured that Gatherwell Ltd conducted our raffle with due regard to protecting vulnerable people through ensuring that they had appropriate policies in place that were followed throughout our Raffle. We did not receive any complaints in relation to our direct fundraising activity in the year.
Report and Accounts for the Year Ended 31 December 2021
10
Parentkind - Company Number 3680271
## **Expenditure**
Total expenditure for the year amounted to £1,526,703 (compared with £1,438,973 in 2020 an increase of £87,730 : 6.1%).
The net result of the Charity was a deficit of £20,050 for the year ended 31 December 2021.
## **Reserves policy**
The Trustees believe that in terms of good governance and to ensure the continuity of the organisation and the fulfilment of its charitable aims, it is necessary to maintain an adequate level of reserves.
Free reserves are the part of Parentkind's unrestricted funds that is freely available to spend on any of the Charity's purposes. This definition excludes restricted income funds, although holding such funds may influence Parentkind's reserves policy.
The Trustees take a risk-based approach to reserves and review the reserves policy annually. The Board has set a reserves policy which requires:
- Reserves to be maintained at a level which ensures that Parentkind’s core activity could continue during a period of unforeseen difficulty
- A proportion of reserves to be maintained in a readily realisable form.
The calculation of the required level of free reserves takes into account:
- Risks associated with each stream of income and expenditure being different from that budgeted
- Planned activity level
- Organisational commitments
- The gap between the spending and receiving of income
- Retaining a level of funding that will allow the Charity to respond to opportunities arising which enable the organisation to meet its strategic objectives.
On this basis, the Trustees consider that the ideal level of free reserves as at 31 December 2021 is £450,000 of which at least 20% should be held as cash. The group held cash of £289,349 at 31 December 2021 (compared to £389,002 at 31 December 2020).
Additionally, Parentkind owns the land and building at 39 Shipbourne Road, Tonbridge, TN10 3DS. The board has agreed to retain the land and building for use of the Charity until such time that the liquidation of the asset is required in order to provide access to free reserves as per the policy.
The balance held in unrestricted funds (excluding tangible and intangible fixed assets) was £779,098 at 31 December 2021 (compared to £840,501 at 31 December 2020). The Trustees are satisfied that the Charity is operating on a going concern basis.
Consideration has been given to the impact of the Coronavirus pandemic upon our ongoing operations and a basis of going concern. Given limited exposure to reductions in income, as previously described, the cost cutting measures enacted during the year and current level of reserves the Trustees are satisfied that the pandemic does not affect the ability of the Charity to operate on a going concern basis.
The Trustees consider ways by which the free reserves above the assessed reserves level could be invested or used for the long term benefit of the charity. In March 2021 the Trustees decided to allocate £100,000 as a designated fund representing their commitment to develop a new website during 2021. It is intended that the new website will be launched in 2022.
Report and Accounts for the Year Ended 31 December 2021
11
Parentkind - Company Number 3680271
## **Investment policy and performance**
Parentkind’s investment policy is to manage investments in such a way, as to:
- Provide supplementary income to enable the Charity to carry out its purposes effectively, both in the short term and over the longer term
- Maintain and preserve asset values and where possible, the value of the assets should be enhanced so as to at least keep pace with inflation over the longer term
- Minimise the impact of:
- Financial loss through inappropriate or speculative investment
- Unforeseen severe adverse investment conditions
- Financial loss through lack of investment advice and lack of diversity
- Cash flow difficulties arising from lack of liquidity.
At 31 December 2021, in addition to the funds invested with Sarasin & Partners LLP, the Charity held cash deposits spread between two UK banks.
## **Structure, governance and management**
Parentkind is both a company limited by guarantee and a registered charity. It is governed by the Board of Trustees which is collectively responsible for the governance and strategic direction of Parentkind together with its financial health, delivery of public benefit, probity of its activities and the development of the organisation’s aims, objectives and goals.
Parentkind wholly owns a trading subsidiary, Parentkind Enterprises Limited (PEL) (company number 3884281) whose Directors are selected by the Trustees from among their number and the staff team.
Early in 2021 a new Chair of the Board was recruited as Joe Saxton approached the end of his term of service. Joe stepped down as Chair and Trustee at our AGM on 9[th] June 2021 and at the same meeting Alex PeaceGadsby was appointed by the board as both a Trustee and Chair of the Board. The Trustees and Staff Team of Parentkind extend their appreciation and thanks to Joe, who provided exceptional leadership of the board for six years during a period of substantial transformation of the organisation.
All new Trustee positions are advertised publicly to ensure a diverse board with the right mix of skills is appointed. New Trustees receive a comprehensive induction when they join, including an overview of their responsibilities and duties as Company Directors and Trustees. This induction is undertaken by the Chair of the People Committee and the Company Secretary.
Trustees bring a broad range of experience and skills, and Parentkind values their input across activities. All Trustees give their time freely and no Trustee remuneration was paid in the year. Details of Trustee expenses and related party transactions are disclosed in note 15 to the accounts.
Day to day management of the Charity is delegated to the Chief Executive, who manages a team of 29 staff (26.8 full time equivalent).
## Board Structure and Trustee Development
The Board meets four times per year, with the following committees meeting at least twice a year, consisting of the following Trustees (voting) and Executive staff (non-voting):
Report and Accounts for the Year Ended 31 December 2021
12
Parentkind - Company Number 3680271
- People Committee
- Rob Hayter (Chair)
- Steve Bannister
- Pat Sowa
- Jo Walmsley
- Two members of the Executive Team.
- Money Committee
- Mos Somji (Chair)
- Jennifer Dyer (to 9[th] June 2021)
- Amanda Shepard
- Two members of the Executive Team.
Our Chair of the Board sits ex officio (with voting rights) on each committee.
Overall Trustee attendance at committees was an average of 86% over the period and Trustee attendance at Board meetings was 84%.
The Board has also developed its own set of guiding principles called “What are the Hallmarks of an effective Trustee” which covers attendance and involvement at meetings, knowledge of Parentkind and its work, and behaviour as a Trustee to ensure that the Board can be as effective as possible. This is also included in the Trustee Manual.
## **Risk management**
The major risks for Parentkind are reviewed and scrutinised by the Money Committee and the Board of Trustees. This year, the top risks have been:
- Lack of mixed income portfolio
- Loss of share in relation to PTA membership market
- Insufficient financial resources to sustain organisation
- Digital systems not adequate to support effective operational delivery
- Failure to deliver upon strategy & realise the potential of Parentkind
Staff and trustees have worked closely together in 2021 to mitigate these risks, especially in light of the impact of the Covid-19 Pandemic. Financial risks are mitigated by regularly reviewing our financial position through management accounts, conducting quarterly reforecasting and scenario planning. During the year we have continued new initiatives such as the Big PTA Raffle, working to diversify our income and have focussed upon providing members with a relevant membership offer during the Pandemic, including running webinars. We have continued the focus on our digital infrastructure and started a project to replace our website.
We recognise the importance of safeguarding in all aspects of our work. We provide our members with support, guidance and access to training to ensure they understand their obligations in relation to safeguarding children and vulnerable adults.
## **Future plans**
In 2022 we are planning on further focus on strengthening our PTA membership, ensuring it remains relevant to our members.
As our current strategy period ended during 2021 we have worked to build upon our achievements and develop a new strategy, which launched early in 2022.
Report and Accounts for the Year Ended 31 December 2021
13
Parentkind - Company Number 3680271
## **Trustees’ responsibilities in relation to the financial statements**
The Charity Trustees (who are also the directors of Parentkind for the purposes of company law) are responsible for preparing a Trustee’s annual report and financial statements in accordance with applicable law and United Kingdom Account Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the Charity Trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the group and of incoming resources and applications of resources, including the income and expenditure, of the charitable group for that period. In preparing the 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 (FRS102)
- 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
- Prepare the financial statement on the going concern basis unless it is inappropriate to presume that the Charity will continue in business.
The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the Charity and the group and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities Act 2011, and the Memorandum and Articles of Association. They are also responsible for safeguarding the assets of the Charity and the group and hence taking reasonable steps for the prevention and detection of fraud and other irregularities.
The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements.
## **Statement as to disclosure to our auditors**
In accordance with section 418 Companies Act 2006, the trustees confirm that, in the case of each of the persons who are trustees at the time when this report is approved, so far as each trustee is aware:
- There is no relevant audit information of which the company’s auditors are unaware, and
- He/she has taken all the steps that he ought to have taken as a trustee in order to make himself aware of any relevant audit information and to establish that the company’s auditors are aware of that information.
This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
By order of the Board of Trustees.
Alex Peace-Gadsby (Chair of the Board) Mos Somji (Chair of the Money Committee) 29[th] June 2022
Report and Accounts for the Year Ended 31 December 2021
14
Parentkind - Company Number 3680271
## **Independent auditors’ report to the members and trustees**
## **Opinion**
We have audited the financial statements of Parentkind (the ‘parent charitable company’) and its subsidiaries (the ‘group’) for the year ended 31 December 2021 which comprise the consolidated statement of financial activities, consolidated and charity balance sheets, consolidated cash flow statement and 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 Financial Reporting Standard 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 affairs of the group and the parent charitable company as at 31 December 2021 and of the group’s incoming resources and application of resources, including its income and expenditure, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Companies Act 2006.
## **Basis for opinion**
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 group and parent 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.
## **Conclusions relating to going concern**
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 group or the parent 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 trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. 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
Report and Accounts for the Year Ended 31 December 2021
15
Parentkind - Company Number 3680271
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.
## **Other matters prescribed by the Companies Act 2006**
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Trustees’ Annual Report which includes the Directors’ Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Trustees’ Annual Report which includes the Directors’ Report has been prepared in accordance with applicable legal requirements.
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the group and the parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Annual Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 require us to report to you if, in our opinion:
- adequate accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or
- the parent charitable company financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of trustees’ remuneration specified by law are not made; or
- 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 to take advantage of the small companies exemption in preparing the Trustees’ Annual Report and the Strategic Report.
## **Responsibilities of trustees**
As explained more fully in the Statement of Trustees’ Responsibilities set out on page 14, the trustees (who are also the directors of the parent charitable company for the purposes 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 the 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 group and the parent 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 group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.
## **Auditor’s responsibilities for the audit of the financial statements**
We have been appointed as auditors under the Companies Act 2006 and report in accordance with regulations made under that Act.
Our objectives are to obtain reasonable assurance about whether the group and parent 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
Report and Accounts for the Year Ended 31 December 2021
16
Parentkind - Company Number 3680271
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.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud are detailed below.
## Identifying and assessing risks related to irregularities
We assessed the susceptibility of the group and parent charitable company’s financial statements to material misstatement and how fraud might occur, including through discussions with the trustees, discussions within our audit team planning meeting, updating our record of internal controls and ensuring these controls operated as intended. We evaluated possible incentives and opportunities for fraudulent manipulation of the financial statements. We identified laws and regulations that are of significance in the context of the group and parent charitable company by discussions with trustees and updating our understanding of the sector in which the group and parent charitable company operate.
Laws and regulations of direct significance in the context of the group and parent charitable company include The Companies Act 2006 and guidance issued by the Charity Commission for England and Wales.
## Audit response to risks identified
We considered the extent of compliance with these laws and regulations as part of our audit procedures on the related financial statement items including a review of financial statement disclosures. We reviewed the parent charitable company’s records of breaches of laws and regulations, minutes of meetings and correspondence with relevant authorities to identify potential material misstatements arising. We discussed the parent charitable company’s policies and procedures for compliance with laws and regulations with members of management responsible for compliance.
During the planning meeting with the audit team, the engagement partner drew attention to the key areas which might involve non-compliance with laws and regulations or fraud. We enquired of management whether they were aware of any instances of non-compliance with laws and regulations or knowledge of any actual, suspected or alleged fraud. We addressed the risk of fraud through management override of controls by testing the appropriateness of journal entries and identifying any significant transactions that were unusual or outside the normal course of business. We assessed whether judgements made in making accounting estimates gave rise to a possible indication of management bias. At the completion stage of the audit, the engagement partner’s review included ensuring that the team had approached their work with appropriate professional scepticism and thus the capacity to identify noncompliance with laws and regulations and fraud.
There are inherent limitations in the audit procedures described above and the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Report and Accounts for the Year Ended 31 December 2021
17
Parentkind - Company Number 3680271
## **Use of our report**
This report is made solely to the parent 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 parent charitable company’s members those matters we are required to state to them in an auditor’s 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 parent charitable company and the parent charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
…………………………………………………………………………
Claire Wills (Senior Statutory Auditor) for and on behalf of Saffery Champness LLP
Chartered Accountants 71 Queen Victoria Street Statutory Auditors London EC4V 4BE
Date: 20 July 2022
Saffery Champness LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006
Report and Accounts for the Year Ended 31 December 2021
18
Parentkind - Company Number 3680271
## **Consolidated Statement of Financial Activities for the year ended 31 December 2021**
(Incorporating the income and expenditure account)
|**Note**
**Income from:**
Charitable activities
2
Commercial activities
3
Investments
Donations
**Total income**
**Expenditure on:**
Charitable activities
4
Commercial activities
3
**Total expenditure**
Net gains/(losses) on investments
10
**Net income/(expenditure) for the year**
Transfer between funds
14
**Net movement in funds**
**Total funds brought forward 1 January**
14
**Total funds carried forward 31 December**14|**Unrestricted**
**Restricted**
**Total funds**
Total funds
**funds**
**funds**
**2021**
2020
**£**
**£**
**£**
£
**1,297,979 -**
**1,297,979**
1,353,208
**149,250 -**
**149,250**
142,360
**15,988 -**
**15,988**
17,086
**6,000 -**
**6,000**
6,329|
|---|---|
||**1,469,217 -**
**1,469,217**
1,518,983
**(1,430,946) -**
**(1,430,946)**
(1,343,006)
**(95,757) -**
**(95,757)**
(95,967)|
||**(1,526,703) -**
**(1,526,703)**
(1,438,973)
37,436
-
37,436
29,595|
||**(20,050) -**
**(20,050)**
109,605
**-**
**-**
**-**
-|
||**(20,050) -**
**(20,050)**
109,605
1,228,306 -
1,228,306
1,118,701|
||**1,208,256-**
**1,208,256**
1,228,306|
All activities for the years ended 31 December 2021 and 2020 relate to continuing operations and all income and expenditure was unrestricted.
Report and Accounts for the Year Ended 31 December 2021
19
Parentkind - Company Number 3680271
## **Consolidated and Charity Balance Sheets as at 31 December 2021 Company number 3680271**
|**Note**
**Fixed assets**
Tangible assets
8
Intangible assets
9
Investments
10
**Current assets**
Debtors
11
Cash at bank and in hand
Cash on deposit
Creditors: amounts falling due within
one year
12
**Net current assets**
**Total net assets**
**Funds of the Charity**
Total funds (unrestricted)
14|**Group**
Group
**Charity**
Charity
**2021**
2020
**2021**
2020
**£**
£
**£**
£
**384,465**
387,805
**384,465**
387,805
**44,693**-
**44,693**-
**566,220**
514,007
**567,220**
515,007|
|---|---|
||**995,378**
901,812
**996,378**
902,812
**169,206**
184,184
**294,689**
253,122
**177,209**
153,082
**50,726**
83,144
**112,140**
235,920
**112,140**
235,920|
||**458,555**
573,186
**457,555**
572,186
**(245,677)**
(246,692)
**(245,677)**
(246,692)|
||**212,878**
326,494
**211,878**
325,494|
||**1,208,256**
1,228,306
**1,208,256**
1,228,306|
|||
||**1,208,256**
1,228,306
**1,208,256**
1,228,306|
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.
As permitted by S408 Companies Act 2006, the charitable company has not presented its own profit and loss account and related notes. The charitable company’s net movement in funds for the year was -£20,050 (compared to £109,605 in 2020).
The financial statements on pages 19 to 32 were approved and authorised for issue by the Board of Trustees on 29[th] June 2022 and signed on its behalf by:
**Alex Peace-Gadsby** _**Chair of the Board**_
**Mos Somji** _**Chair of the Money Committee**_
Report and Accounts for the Year Ended 31 December 2021
20
Parentkind - Company Number 3680271
## **Consolidated Cash Flow Statement for the year ended 31 December 2021**
|||**Group**|Group|
|---|---|---|---|
||**Note**|**2021**|2020|
|||**£**|£|
|**Net cash provided by/(used in) operating activities**|17|**(46,039)**|26,809|
|**Cash flows from investing activities:**||||
|Dividends from investments and interest||**15,988**|17,086|
|Purchase of tangible fixed assets||**(10,132)**|(4,019)|
|Purchase of intangible fixed assets||**(44,693)**|-|
|Purchase of investments||**(14,777)**|(15,007)|
|Proceeds from the sale of investments||**-**|-|
|**Net cash (used)/provided by investing activities**||**(53,614)**|**(1,940)**|
|Change in cash and cash equivalents during year||**(99,653)**|24,869|
|Cash and cash equivalents at start of year||**389,002**|364,133|
|**Cash and cash equivalents at end of year**||**289,349**|**389,002**|
Report and Accounts for the Year Ended 31 December 2021
21
Parentkind - Company Number 3680271
## **Notes to the Financial Statements for year ended 31 December 2021**
## **1 Accounting policies**
## **Basis of preparation and assessment of going concern**
The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain fixed asset investments. The financial statements have been prepared in accordance with 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) – (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
The Trustees confirm that the Charity is a public benefit entity under FRS 102.
The Trustees consider that there are no material uncertainties about the Charity’s ability to continue as a going concern. While we recognise a small reduction in our PTA membership during the year as a result of the impact of the Covid-19 Pandemic upon schools, we demonstrated our ability to flex our expenditure to match this reduction in income through careful budgeting. We anticipate that as restrictions upon society are relaxed as part of the Government’s roadmap for recovery in 2022 our decline in membership will be reversed. Further signs of recovering membership numbers have been observed in the first half of 2022.
## **Group financial statements**
The financial statements consolidate the results of the Charity and its wholly owned subsidiary, Parentkind Enterprises Limited (PEL) company number 3884281, on a line-by-line basis. The Trustees consider that control exists due to the subsidiary being wholly owned, and there are no restrictions on the ability of the subsidiary to transfer funds or cash to the Charity. A separate Statement of Financial Activities, Income and expenditure account and cash flow statement for the Charity itself are not presented because the Charity has taken advantage of the exemptions afforded by section 408 of the Companies Act 2006.
## **Incoming resources**
Membership income (net of discounts) is taken to the Statement of Financial Activities over the period of the subscription, taking into account the type of membership involved. Discounts are offered to member associations for payment of subscription fees by Direct Debit.
All grants received are credited to the Statement of Financial Activities upon receipt and where there is entitlement. Any gifts in kind received by the Charity during a financial period are recognised as income with a corresponding equivalent amount of expenditure. These are recognised at market value. All other incoming resources are accounted for when there is entitlement, receipt is probable and the amount can be reliably measured.
## **Resources expended**
All expenditure is accounted for on an accruals basis.
Charitable activities includes expenditure on providing and developing member services, research into member opinions, engagement with key audiences, and promotion of Parentkind.
Governance costs include those incurred in the governance of the Charity and are primarily associated with constitutional and statutory requirements.
Report and Accounts for the Year Ended 31 December 2021
22
Parentkind - Company Number 3680271
## **Notes to the Financial Statements for year ended 31 December 2021 (continued** )
Expenditure not directly attributable to charitable activities, including staff costs, governance costs and support costs, are allocated to each activity on the basis of estimated time spent on the activities as follows:
Membership services 74.2% (2020: 78.5%) PR, policy and research 25.8% (2020: 21.5%)
## **Investments**
Investment funds surplus to operational requirements are invested in deposits in the name of Parentkind to optimise income or in investments selected by a professional investment manager as approved by the Board. Investments are stated at market value at the balance sheet date. The Consolidated Statement of Financial Activities includes the net gains and losses arising on revaluations and disposals throughout the year.
## **Tangible fixed assets**
Expenditure on the acquisition of individual fixed assets that are either trackable (for example via serial numbers) or that cost more than £1,000 are capitalised at cost. Depreciation is provided to write off the cost or valuation, less estimated residual values, of all fixed assets excluding freehold land over their expected useful lives. It is calculated at the following rates:
Freehold property (buildings only) 2% on cost (previously net book value) Office equipment 33% on cost Furniture, fixtures and fittings 20% on cost
## **Intangible fixed assets**
Expenditure on the acquisition of intangible fixed assets costing more than £1,000 where it is probable that the asset will generate future economic benefit, and the cost or value of the asset can be measured reliably, are capitalised at cost. Amortisation is provided to write off the cost or valuation, less estimated residual values, of all fixed assets calculated at the following rates:
Website build costs 33% on cost
## **Fund accounting**
Unrestricted funds are available to spend on activities that further any purpose of the Charity. Designated funds are unrestricted funds which have been set aside at the discretion of the Trustees for a specific, but not legally binding, purpose. Restricted funds are amounts which are specified by the donor to be used solely for particular projects undertaken by the Charity.
## **Pension costs**
Employees of the Charity join a defined contribution ‘money purchase’ pension scheme upon starting their employment. The Charity contribution is restricted to the contributions disclosed in note 7. The costs of the defined contribution scheme are allocated to staff costs and represent the contributions payable by the Charity during the year. The Charity has no liability beyond making its contributions and paying across deductions for the employee’s contribution.
## **Irrecoverable VAT**
The Charity is partially exempt. Irrecoverable VAT is allocated to the appropriate cost categories.
Report and Accounts for the Year Ended 31 December 2021
23
Parentkind - Company Number 3680271
## **Financial instruments**
The Charity has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
## **Critical estimates and judgements**
In the application of the Charity’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.
The value of land is estimated at 33% of the total property value, this judgement is based upon advice from a surveyor, who revalued the building in 2016. The depreciation policy for the building was changed from on net book value to the on cost basis, to better reflect the useful economic life. This change in estimation was applied from 1 January 2018 onwards.
## **2 Charitable activities**
Membership subscriptions received are derived from the Charity’s principal activity wholly undertaken in the UK. Direct Debit discounts were taken up by many members and are included in the discounts allowed.
|Members’ subscriptions
Discounts allowed
Training
Grants/Contracts
CJRS + Kickstarters
Total charitable activities|**2021**
2020
**£**
£
**1,332,286**
1,369,237
**(55,705)**
(57,170)
**11,302**
1,886
**-**
35,179
**10,096**
4,076|
|---|---|
||**1,297,979**
1,353,208|
Report and Accounts for the Year Ended 31 December 2021
24
Parentkind - Company Number 3680271
## **Notes to the Financial Statements for year ended 31 December 2021 (continued** )
## **3 Incoming resources from activities for generating funds**
The wholly owned trading subsidiary PEL, company number 3884281, is incorporated in the United Kingdom and pays all of its profits to the Charity by Gift Aid. PEL operates all commercial trading activities on behalf of the Charity. The Charity owns the entire share capital of 1,000 ordinary shares of £1 each. A summary of the trading results is shown below.
The summary financial performance of the subsidiary alone is:
|Commercial activities
Donations
Cost of sales and administration costs
Net profit
Payment made via Gift Aid to the Charity
Retained in subsidiary
Current assets
Current liabilities
Total net assets
Aggregate share capital and reserves|**2021**
2020
**£**
£
**149,250**
142,360
**-**-
**(95,757)**
(95,967)|
|---|---|
||**53,493**
46,393
**(53,493)**
(46,393)|
||**-**-|
||**160,110**
135,697
**(159,110)**
(134,697)|
||**1,000**
1,000|
|||
||**1,000**
1,000|
Report and Accounts for the Year Ended 31 December 2021
25
Parentkind - Company Number 3680271
## **Notes to the Financial Statements for year ended 31 December 2021 (continued** )
|**4a)**|**Analysis of charitable activities**
**2021**|**Staff**
**costs**|**Other direct**
**costs**|**Governance &**
**support costs**
**(see note 4b)**|**Total**
**2021**|
|---|---|---|---|---|---|
|||**£**|**£**|**£**|**£**|
||Membership services
|621,792|246,186|156,287|**1,024,265**|
||PR, policy & research
|265,310|81,588|59,783|**406,681**|
||**Total resources expended**
|887,102|327,774|216,070|**1,430,946**|
||**Analysis of charitable activities**
**2020**|**Staff**
**costs**|**Other**
**direct**
**costs**|**Governance &**
**support costs**
**(see note 4b)**|**Total**
**2020**|
|||**£**|**£**|**£**|**£**|
||Membership services
|610,119|221,304|131,242|**962,665**|
||PR, policy & research
|275,914|60,752|43,675|**380,341**|
||**Total resources expended**
|886,033|282,056|174,917|**1,343,006**|
|**4b)**|**Analysis of governance and support costs**||**General**|**Governance**|**Total**|
||**2021**||**support**|**function**|**2021**|
||||**£**|**£**|**£**|
||Legal & professional fees||42,025|10,333|**52,358**|
||Meeting costs – venue hire, travel
and catering||12,050|3,456|**15,506**|
||Staff training||10,372|2,975|**13,347**|
||Premises costs||27,039|7,756|**34,795**|
||IT and communications||52,843|15,157|**68,000**|
||General office||14,978|4,296|**19,274**|
||Audit fees||-|12,790|**12,790**|
||**Total governance and support costs**||159,307|56,763|**216,070**|
||**Analysis of governance and support costs**||**General**|**Governance**|**Total**|
||**2020**||**support**|**function**|**2020**|
||||**£**|**£**|**£**|
||Legal & professional fees||28,727|6,217|**34,944**|
||Meeting costs – venue hire, travel
and catering||9,188|2,514|**11,702**|
||Staff training||3,747|1,025|**4,772**|
||Premises costs||29,686|8,121|**37,807**|
||IT and communications||56,946|15,578|**72,524**|
||General office||814|223|**1,037**|
||Audit fees||-|12,131|**12,131**|
||**Total governance and support costs**||129,108|45,809|**174,917**|
Report and Accounts for the Year Ended 31 December 2021
26
Parentkind - Company Number 3680271
## **Notes to the Financial Statements for year ended 31 December 2021 (continued**
## **5 Total expenditure**
Included in total expenditure is the following:
||**2021**|2020|
|---|---|---|
||**£**|£|
|Audit fee (current year)|**12,790**|11,950|
|Audit fee (prior year under accrual)|**-**|181|
|Depreciation|**13,472**|14,382|
|Operating lease rentals|**-**|-|
## **6 Taxation**
The company is a registered charity and as such is not liable to corporation tax on its income derived wholly from charitable activities.
## **7 Employees**
The monthly average number of employees for the year was 27.1 (compared to 27.4 in 2020) and the monthly average Full Time Equivalent was 24.9 (compared to 24.3 in 2020) whose total remuneration was:
|Salaries and wages
Social security costs
Pension costs|**2021**
2020
**£**
£
**832,374**
856,246
**69,657**
68,412
**55,533**
55,789|
|---|---|
||**957,564**
980,447|
No employees received emoluments which fell within the band £60,000 - £70,000 (2020: 0). 1 employee received emoluments which fell within the band £70,000 - £80,000 (2020: 1).
A payment for termination of employment of £3,500 was made during the year (compared to £9,456 in 2020). This cost was recognised as an accrued salary cost within 2020.
The key management personnel of both the Charity and the group comprise the Trustees and the Executive Team. The Trustees are not remunerated. During 2021, we had three members of the Executive Team – the Chief Executive, the Executive Director of Corporate Services and the Executive Director of Programmes, Membership and Charitable Services. The total employee benefits of the key management personnel, including employer’s national insurance contributions and pension contributions in 2021, were £232,839 (compared to £231,224 in 2020).
The Charity operates a defined contribution pension scheme in respect of employees. The scheme and its assets are held by independent managers. The number of employees, to whom benefits were accruing under a money purchase pension scheme was 29 (2020: 23).
Report and Accounts for the Year Ended 31 December 2021
27
Parentkind - Company Number 3680271
## **Notes to the Financial Statements for year ended 31 December 2021 (continued** )
## **8 Tangible fixed assets (Group and Charity)**
|**Cost**
At 1 January 2021
Additions
Disposals
At 31 December 2021
**Depreciation**
At 1 January 2021
Charge for year
Disposals
At 31 December 2021
**Net book value**
31 December 2021
31 December 2020|**Freehold**
**property**
**Furniture,**
**equipment,**
**fixtures & fittings**
**Total**
**£**
**£**
**£**
456,559
29,370
485,929
-
10,132
10,132
- - -|
|---|---|
||**456,559**
**39,502**
**496,061**|
||79,935
18,189
98,124
6,088
7,384
13,472
- - -|
||**86,023**
**25,573**
**111,596**|
||**370,536**
**13,929**
**384,465**|
||376,624
11,181
387,805|
All assets are used in the administration of the Charity. Freehold land is held at a value of £152,186 and is not depreciated.
## **9 Intangible fixed assets (Group and Charity)**
|**Cost**
At 1 January 2021
Additions
Disposals
At 31 December 2021
**Amortisation**
At 1 January 2021
Charge for year
Disposals
At 31 December 2021
**Net book value**
31 December 2021
31 December 2020|**Website**
**Total**
**£**
**£**
- -
44,693
44,693
- -|
|---|---|
||**44,693**
**44,693**|
||- -
- -
- -|
||**- -**|
||**44,693**
**44,693**|
||- -|
The website was being developed during 2021 and is planned to launch in September 2022 at which point the asset will start to be amortised.
Report and Accounts for the Year Ended 31 December 2021
28
Parentkind - Company Number 3680271
## **Notes to the Financial Statements for year ended 31 December 2021 (continued** )
|**10**
**Fixed asset investments**
**Market value**
At 1 January 2021
Additions
Net gains/(losses) on investments
31 December 2021
**Historic cost**
31 December 2021
31 December 2020|Group and
Charity Listed
investments
Charity
Subsidiary
company
**Charity total**
£
£
**£**
514,007
1,000
515,007
14,777
-
14,777
37,436
-
37,436|
|---|---|
||**566,220**
**1,000**
**567,220**|
||**458,096**
**1,000**
**459,096**|
||**443,319**
**1,000**
**444,319**|
The Charity holds investments in the Alpha Charity Authorised investment funds for Endowments Long Term Reserve managed by Sarasin & Partners LLP.
The Charity owns 100% of the issued share capital of PEL and the balance of reserves at 31 December 2021 was £1,000. The Charity is also the sole member of Parent Teacher Associations UK (PTA UK) which is a company limited by guarantee. Parent Teacher Associations UK does not have any share capital and the liability of Parentkind is limited to the sum of £1. During this accounting period PTA UK remained dormant.
|**11**
**Debtors**
**Amounts falling due within one year**
Trade debtors
Balances due from subsidiary
Amount due from subsidiary under Gift Aid
Value added tax receivable
Prepayments and accrued income
**12**
**Creditors**
**Amounts falling due within one year**
Trade creditors
Membership subscriptions paid in advance
Accruals and deferred income
Other taxation and social security|**Group**
Group
**Charity**
Charity
**2021**
2020
**2021**
2020
**£**
£
**£**
£
**10,400**
42,197
**431**-
**-**-
**93,638**
82,160
**-**-
**53,494**
46,393
**23,676**
2,891
**35,654**
9,035
**135,130**
139,096
**111,472**
115,534|
|---|---|
||**169,206**
184,184
**294,689**
253,122|
||**Group**
Group
**Charity**
Charity
**2021**
2020
**2021**
2020
**£**
£
**£**
£
**42,673**
40,299
**42,673**
40,299
**167,788**
144,783
**167,788**
144,783
**15,139**
43,519
**15,139**
43,519
**20,078**
18,091
**20,078**
18,091|
||**245,678**
246,692
**245,678**
246,692|
Report and Accounts for the Year Ended 31 December 2021
29
Parentkind - Company Number 3680271
## **Notes to the Financial Statements for year ended 31 December 2021 (continued** )
## **13 Membership subscriptions paid in advance**
|Balance at 1 January
Amount released to income earned from charitable activities
Amount deferred in year
Balance at 31 December|**2021**
2020
**£**
£
**144,783**
179,421
**(144,783)**
(179,421)
**167,788**
144,783|
|---|---|
||**167,788**
144,783|
## **14 Analysis of charitable funds**
## **a) Analysis of group net assets between funds**
|**Analysis of group net assets**|**between funds**|
|---|---|
|Investments
Tangible fixed assets
Intangible fixed assets
Cash
Other net current
assets/(liabilities)
At 31 December|**Total and**
**unrestricted**
Total and
unrestricted
**2021**
2020
**£**
£
**566,220**
514,007
**384,465**
387,805
**44,693**
-
**289,349**
389,002
**(76,471)**
(62,508)|
||**1,208,256**
1,228,306|
## **b) Analysis of movements in funds**
|At 1 January
Net movement in funds
At 31 December|**Total and**
**unrestricted**
Total and
unrestricted
**2021**
2020
**£**
£
**1,228,306**
1,118,701
**(20,050)**
109,605|
|---|---|
||**1,208,256**
1,228,306|
## **c) Analysis of unrestricted funds**
|**Analysis of unrestricted fund**|**s**|
|---|---|
|At 1 January 2020
Net movement in funds
At 31 December 2020
At 1 January 2021
Allocation of designated funds
Net movement in funds
At 31 December 2021|**General**
**fund Website fund**
**Fixed Asset**
**fund**
**Total**
£
£
£
£
720,533 -
398,168
1,118,701
119,968 -
(10,363)
109,605
**840,501 -**
**387,805**
**1,228,306**|
||840,501 -
387,805
1,228,306
(100,000)
100,000 - -
27,983
(44,693)
(3,340)
(20,050)|
||**768,484**
**55,307**
**384,465**
**1,208,256**|
Report and Accounts for the Year Ended 31 December 2021
30
Parentkind - Company Number 3680271
## **Notes to the Financial Statements for year ended 31 December 2021 (continued** )
The unrestricted funds relate to free reserves, subject to designated funds, available to spend on any purpose of the Charity.
## **15 Transactions with Trustees and connected persons**
The Trustees do not receive any remuneration. 5 of the 15 Trustees who served during the year received in total £449 (compared to 4 Trustees receiving £859 in 2020) as reimbursement for out of pocket expenses (travel and subsistence) while carrying out the Charity’s business. This included two gifts to Trustees who were stepping down from their roles at a total cost of £165.
Included in both income and expenditure is £6,000 (2020: £6,000) relating to survey services gifted to the Charity by nfpSynergy, a research consultancy specialising in the not-for-profit sector, of which Joe Saxton was also a Director. These services would otherwise have been performed by Parentkind staff.
Other than the single related party transaction identified above, there were no other transactions with any persons and entities closely connected to the charity or its trustees.
## **16 Commitments**
At 31 December 2021 the Charity had no commitments payable under non-cancellable leases.
## **17 Reconciliation of net incoming/(outgoing) resources to net cash flow from operating activities**
|**Net incoming/(outgoing) resources for the year**
Depreciation
(Gains)/loss on investments
Amortisation and impairment of intangible fixed assets
Dividends from investments
Decrease/(increase) in debtors
(Decrease)/increase in creditors
**Net cash provided by/(used in) operating activities**|**2021**
2020
**£**
£
**(20,050)**
109,605
**13,472**
14,382
**(37,436)**
(29,595)
**-**
-
**(15,988)**
(17,086)
**14,978**
(38,812)
**(1,015)**
(11,685)|
|---|---|
||**(46,039)**
26,809|
## **18 Analysis of changes in net debt**
|Cash
**Total**|At start of
year
Cashflows
At end of
year
£
£
£
389,002
(99,653)
289,349|
|---|---|
||**389,002**
**(99,653)**
**289,349**|
Report and Accounts for the Year Ended 31 December 2021
31
Parentkind - Company Number 3680271
## **Notes to the Financial Statements for year ended 31 December 2021 (continued** )
## **19 Limited by Guarantee**
The Trustees are members of the Charity. Every member promises, if the Charity is dissolved while they remain a member or within 12 months afterwards, to pay up to £1 towards the costs of dissolution and the liabilities incurred by the Charity while the contributor was a member. The total of such guarantees at 31 December 2021 was £10 (compared to £15 in 2020).
## **20 Financial instruments**
||**Group**|Group|**Charity**|Charity|
|---|---|---|---|---|
||**2021**|2020|**2021**|2020|
|**Financial assets measured at fair value**|**£**|£|**£**|£|
|Investments|**566,220**|514,007|**567,220**|515,007|
Report and Accounts for the Year Ended 31 December 2021
32