**Charity Registration No. 1074901**
**Company Registration No. 03639507 (England and Wales)**
## **MID TYNE KIDS CLUB**
**ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022**
## **MID TYNE KIDS CLUB**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
**Trustees** Kate McGill Sarah Marshall Fiona Hamilton **Secretary** Fiona Hamilton **Charity number** 1074901 **Company number** 03639507 **Principal address** C/o Broomley First School Main Road Stocksfield Northumberland NE43 7NN **Registered office** C/o Broomley First School Main Road Stocksfield Northumberland NE43 7NN **Independent examiner** John Hart St Matthews House Haugh Lane Hexham Northumberland NE46 3PU
## **MID TYNE KIDS CLUB**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees' report|1 - 2|
|Independent examiner's report|3|
|Statement of financial activities|4 - 5|
|Balance sheet|6|
|Notes to the financial statements|7 - 12|
## **MID TYNE KIDS CLUB**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 AUGUST 2022**_
The trustees present their annual report and financial statements for the year ended 31 August 2022.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the club's articles and memorandum of association, the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016).
## **Objectives and activities**
The club's objectives are to provide good quality, affordable childcare both after school and during the school holidays. This is achieved by operating a Kids Club for children at First and Middle schools in the local area, in the age range 4 to 12. The club operates from Broomley First School, Stocksfield.
## **Public benefit**
The trustees have considered the guidance produced by the Charity Commission on the provision of public benefit and they confirm that public benefit has been provided by having aims that fall within the charitable purposes of the advancement of education.
## **Achievements and performance**
The last year has been extremely positive for the club, having seen a greater return to normalcy following recent Covid years. Numbers of pupils utilising the club have grown and further staff have been recruited to support the increase.
The club continues to be a secure and happy environment for all the children across the age range, and with specific areas designed for both the younger intake and the older children, to create bespoke environments to cater for the specific needs of our age range. The facilities of the club have been enhanced over the past year with a wide range of activities and opportunities, both indoor and outdoor, being offered to the children.
The club also provides places for children who have special needs and liaison with school staff and parents
ensures continuity of special care.
The holiday schemes have been well subscribed and the activities offered include outdoor activities, cultural
festivals, a wide range of art and craft, as well as sports.
The trustees cannot thank the staff enough for their unfaltering dedication and flexible and agile approach to working. It continues to be the staff who make the Club such an incredible resource to the parents and pupils who use it. Feedback following a survey to all parents within the club indicates their ongoing satisfaction with the level of service and care provided and their appreciation of the existence of this facility.
## **Financial review**
The club has reported net income of £2,173 (2021 - net deficit £4,922) and unrestricted funds of £38,866 (2021 - £36,693) are held at the year end, of which £30,000 represent designated funds.
2021/2022 saw the club return to normal running after the pandemic. Significant spend was made on refurbishments as well as running activities during the school holidays. Overall, the finances of the club remain healthy with strong reserves.
## **Reserves policy**
It is the policy of the club that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees considers that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the club’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
The trustees decided it would be appropriate to formally recognise the club's reserves policy and set aside 6 months expenditure, calculated at £30,000, as a designated fund.
- 1 -
## **MID TYNE KIDS CLUB**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 AUGUST 2022**_
## **Principal Risks**
The trustees have assessed the major risks to which the club is exposed, and are satisfied that systems are in place to mitigate exposure.
At the start of every academic year and new intake, the team work hard with the children to develop their awareness of safety procedures, such as in the event of a fire or other emergency, and the necessity to observe the rules of not leaving the premises. We are very aware of all the principal risks and regularly audit against the regular Health & Safety assessments conducted.
## **Future developments**
The committee intend to continue to review prices due to the rise in the cost of living and the need to increase salaries.
The trustees also aim to enhance the facilities of the club further.
The current account bank balance is currently circa £8.1k, with an additional £30.7k in the deposit account, and the club therefore remains financially strong. If a further wave of COVID-19 were to hit, the Committee would have to review the different staffing options available to them at that time.
## **Structure, governance and management**
The club is a company limited by guarantee. The governing document is the memorandum and articles of association and the operations of the club are overseen by the board of trustees who are also directors of the club and act on a voluntary basis. Having this structure in place allows wage costs to be minimised and therefore keep childcare affordable. The trustees meet regularly to review the financial performance of the club and resolve any operational issues.
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Kate McGill Sarah Marshall Fiona Hamilton
New trustees are actively encouraged from parents of children attending the club. At each Annual General Meeting one third of the trustees retire and can offer themselves for re-election. Our trustee induction procedures ensure familiarity with all of terms of reference, Job Descriptions, Volunteer Policy; ensuring DBS in place, and with procedures for reading and signing to confirm understanding and knowledge of all club policies and procedures, with any role specific training required in handover from Chair, Secretary or Treasurer roles being provided.
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
Day to day operation of the club is assigned to the club manager.
The trustees' report was approved by the Board of Trustees.
Dated: 21 May 2023
## **Kate McGill**
Director and trustee
- 2 -
## **MID TYNE KIDS CLUB**
## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF MID TYNE KIDS CLUB**
I report to the trustees on my examination of the financial statements of Mid Tyne Kids Club (the club) for the year ended 31 August 2022.
## **Responsibilities and basis of report**
As the trustees of the club (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).
Having satisfied myself that the financial statements of the club 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 the club’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent examiner's statement**
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
- 1 accounting records were not kept in respect of the club as required by section 386 of the 2006 Act; or
- 2 the financial statements do not accord with those records; or
- 3 the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
- 4 the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
## **John Hart**
St Matthews House Haugh Lane Hexham Northumberland NE46 3PU
Dated: 22 May 2023
- 3 -
## **MID TYNE KIDS CLUB**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT**
## _**FOR THE YEAR ENDED 31 AUGUST 2022**_
|**Current financial year**
**Unrestricted Unrestricted**
**funds**
**funds**
**general**
**designated**
**2022**
**2022**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**2**
-
-
Charitable activities - income
**3**
66,443
-
Investments
**4**
3
-
**Total income**
66,446
-
**Expenditure on:**
Charitable activities - expenditure
**5**
64,273
-
**Net income/(expenditure) for the year**
**Net movement in funds**
2,173
-
Fund balances at 1 September 2021
6,693
30,000
**Fund balances at 31 August 2022**
8,866
30,000|**Total**
**2022**
**£**
-
66,443
3
66,446
64,273
2,173
36,693
38,866|Total
2021
**£**
8,000
40,891
118
49,009
53,931
(4,922)
41,615
36,693|
|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
- 4 -
## **MID TYNE KIDS CLUB**
## **STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT**
## _**FOR THE YEAR ENDED 31 AUGUST 2022**_
## **Prior financial year**
|**Unrestricted Unrestricted**
**funds**
**funds**
**general**
**designated**
**2021**
**2021**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**2**
8,000
-
Charitable activities - income
**3**
40,891
-
Investments
**4**
118
-
**Total income**
49,009
-
**Expenditure on:**
Charitable activities - expenditure
**5**
53,931
-
**Net income/(expenditure) for the year/**
**Net movement in funds**
(4,922)
-
Fund balances at 1 September 2020
11,615
30,000
**Fund balances at 31 August 2021**
6,693
30,000|**Total**
**2021**
**£**
8,000
40,891
118
49,009
53,931
(4,922)
41,615
36,693|
|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
- 5 -
## **MID TYNE KIDS CLUB**
## **BALANCE SHEET**
## _**AS AT 31 AUGUST 2022**_
|**2022**
**Notes**
**£**
**Fixed assets**
Tangible assets
**10**
**Current assets**
Debtors
**11**
7,574
Cash at bank and in hand
36,177
43,751
**Creditors: amounts falling due within**
**one year**
**12**
(11,582)
Net current assets
**Total assets less current liabilities**
**Income funds**
Unrestricted funds-general
Designated funds
**13**
30,000
General unrestricted funds
8,866|**£**
6,697
32,169
38,866
38,866
38,866|**2021**
**£**
5,057
31,149
36,206
(6,761)
30,000
6,693|**£**
7,248
29,445|
|---|---|---|---|
||||36,693|
||||36,693|
||||36,693|
The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 August 2022.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the Trustees on 21 May 2023
Kate McGill **Trustee**
Sarah Marshall **Trustee**
## **Company Registration No. 03639507**
- 6 -
## **MID TYNE KIDS CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 AUGUST 2022**_
## **1 Accounting policies**
## **Charity information**
Mid Tyne Kids Club is a private company limited by guarantee incorporated in England and Wales. The registered office is C/o Broomley First School, Main Road, Stocksfield, Northumberland, NE43 7NN.
The club is a public benefit entity.
## **1.1 Accounting convention**
The financial statements have been prepared in accordance with the club's governing document, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The club is a Public Benefit Entity as defined by FRS 102.
The club has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the club. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
## **1.2 Going concern**
At the time of approving the financial statements, the trustees have a reasonable expectation that the club has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
## **1.4 Income**
Income is recognised when the club is legally entitled, after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Fee income, for childcare services, is recorded in the period to which it relates.
## **1.5 Expenditure**
Expenditure is recorded on an accruals basis, inclusive of VAT.
- 7 -
## **MID TYNE KIDS CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 AUGUST 2022**_
## **1 Accounting policies**
## **(Continued)**
## **1.6 Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Assets are capitalised where their cost is greater than £100.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Portacabin Depreciated over 20 years Equipment 15% reducing balance Fixtures and Fittings 15% reducing balance
## **1.7 Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at banks and any bank overdraft. Bank overdrafts are shown within borrowings in current liabilities.
## **1.8 Financial instruments**
Basic financial assets, including debtors and cash and bank balances are measured at transaction price.
Basic financial liabilities, including creditors and bank loans are recognised at transaction price.
## **1.9 Employee benefits**
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
## **1.10 Retirement benefits**
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
## **2 Donations and legacies**
||**Total **|**Unrestricted**|
|---|---|---|
|||**funds**|
|||**general**|
||**2022**|**2021**|
||**£**|**£**|
|Grant Income|-|8,000|
## **3 Charitable activities - income**
||**Operating a**|
**Operating a**|
|---|---|---|
||**Kids Club**|**Kids Club**|
||**2022**|**2021**|
||**£**|**£**|
|Fee income|66,443|40,891|
- 8 -
## **MID TYNE KIDS CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 AUGUST 2022**_
## **4 Investments**
|Interest receivable
**Charitable activities - expenditure**
Staff costs
Depreciation and impairment
Provision of services
Share of support costs (see note 6)
Share of governance costs (see note 6)
**Support costs**
**Support**
**costs**
**Governance**
**costs**
**£**
**£**
Operating costs
849
-
Repairs and
maintenance
3,049
-
Admin costs
4,188
-
Other staff costs
409
-
Accountancy and
independent examination
fees
-
2,340
8,495
2,340
Analysed between
Charitable activities
8,495
2,340|**Unrestricted Unrestricted**
**funds**
**funds**
**general**
**general**
**2022**
**2021**
**£**
**£**
3
118
**2022**
**2021**
**£**
**£**
48,916
43,207
1,420
1,282
3,102
2,430
53,438
46,919
8,495
4,532
2,340
2,480
64,273
53,931
**2022**
**Support**
**costs**
**Governance**
**costs**
**2021**
**£**
**£**
**£**
**£**
849
1,681
-
1,681
3,049
1,133
-
1,133
4,188
1,205
-
1,205
409
513
-
513
2,340
-
2,480
2,480
10,835
4,532
2,480
7,012
10,835
4,532
2,480
7,012|**Unrestricted Unrestricted**
**funds**
**funds**
**general**
**general**
**2022**
**2021**
**£**
**£**
3
118
**2022**
**2021**
**£**
**£**
48,916
43,207
1,420
1,282
3,102
2,430
53,438
46,919
8,495
4,532
2,340
2,480
64,273
53,931
**2022**
**Support**
**costs**
**Governance**
**costs**
**2021**
**£**
**£**
**£**
**£**
849
1,681
-
1,681
3,049
1,133
-
1,133
4,188
1,205
-
1,205
409
513
-
513
2,340
-
2,480
2,480
10,835
4,532
2,480
7,012
10,835
4,532
2,480
7,012|
|---|---|---|
|||**2021**
**£**
43,207
1,282
2,430|
|||46,919
4,532
2,480|
|||53,931|
|||**2021**
**£**
1,681
1,133
1,205
513
2,480|
|||7,012|
|||7,012|
## **5 Charitable activities - expenditure**
## **6 Support costs**
- 9 -
## **MID TYNE KIDS CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 AUGUST 2022**_
## **7 Trustees**
None of the trustees (or any persons connected with them) received any remuneration or benefits from the club during the year. No expenses were paid to any of the trustees.
## **8 Employees**
The average monthly number of employees during the year was:
||**2022**|**2021**|
|---|---|---|
||**Number**|**Number**|
||6|6|
|**Employment costs**|**2022**|**2021**|
||**£**|**£**|
|Wages and salaries|48,448|42,808|
|Other pension costs|468|399|
||48,916|43,207|
There were no employees whose annual remuneration was more than £60,000.
## **9 Taxation**
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
- 10 -
## **MID TYNE KIDS CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 AUGUST 2022**_
|**10**
**Tangible fixed assets**
**Portacabin**
**Equipment**
**Fixtures and**
**Fittings**
**£**
**£**
**£**
**Cost**
At 1 September 2021
48,280
2,077
2,200
Additions
-
869
-
Disposals
-
(135)
-
At 31 August 2022
48,280
2,811
2,200
**Depreciation and impairment**
At 1 September 2021
43,759
1,117
433
Depreciation charged in the year
907
248
265
Eliminated in respect of disposals
-
(135)
-
At 31 August 2022
44,666
1,230
698
**Carrying amount**
At 31 August 2022
3,614
1,581
1,502
At 31 August 2021
4,521
960
1,767
**11**
**Debtors**
**2022**
**Amounts falling due within one year:**
**£**
Trade debtors
7,574
**12**
**Creditors: amounts falling due within one year**
**2022**
**£**
Trade creditors
-
Other creditors
9,242
Accruals and deferred income
2,340
11,582|**Total**
**£**
52,557
869
(135)
53,291
45,309
1,420
(135)
46,594
6,697
7,248
**2021**
**£**
5,057
**2021**
**£**
35
4,386
2,340
6,761|
|---|---|
- 11 -
## **MID TYNE KIDS CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 AUGUST 2022**_
## **13 Designated funds**
The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:
||||**Movement**||**Movement**||
|---|---|---|---|---|---|---|
||||**in funds**||**in funds**||
|||**Balance at**|**Incoming**|**Balance at**|**Incoming**|**Balance at**|
||**1**|**September**|**resources**|**1 September**|**resources**|**31 August**|
|||**2020**||**2021**||**2022**|
|||**£**|**£**|**£**|**£**|**£**|
|Reserve fund||30,000|-|30,000|-|30,000|
|||30,000|-|30,000|-|30,000|
**Reserve fund:** the trustees agreed to formally set up a designated fund to represent 6 months expenditure that may be required, should there be a significant drop in funding, which would enable the club to provide continuity of care, whilst the future options for the club were being investigated.
## **14 Analysis of net assets between funds**
|**Unrestricted**
**funds**
**Designated**
**funds**
**2022**
**2022**
**£**
**£**
Fund balances at 31
August 2022 are
represented by:
Tangible assets
6,697
-
Current assets/(liabilities)
2,169
30,000
8,866
30,000|**Total**
Unrestricted
funds
Designated
funds
**2022**
2021
2021
**£**
£
£
6,697
7,248
-
32,169
(555)
30,000
38,866
6,693
30,000|Total
2021
£
7,248
29,445|
|---|---|---|
|||36,693|
## **15 Related party transactions**
There were no disclosable related party transactions during the year (2021 - none).
- 12 -