**REGISTERED COMPANY NUMBER: 03719730 (England and Wales) REGISTERED CHARITY NUMBER: 1081699** 

Report of the Trustees and 

Unaudited Financial Statements for the Year Ended 31 March 2023 

for 

LONGBRIDGE CHILDCARE STRATEGY GROUP 

Cooper Parry Advisory Limited CUBO Birmingham Office 401, 4th Floor Birmingham West Midlands B3 3AX 



LONGBRIDGE CHILDCARE STRATEGY GROUP 

Contents of the Financial Statements for the year ended 31 March 2023 

|||Page||
|---|---|---|---|
|Reference and Administrative Details||1||
|Report of the Trustees|2|to|6|
|Independent Examiner's Report||7||
|Statement of Financial Activities||8||
|Balance Sheet||9||
|Cash Flow Statement||10||
|Notes to the Cash Flow Statement||11||
|Notes to the Financial Statements|12|to|19|





LONGBRIDGE CHILDCARE STRATEGY GROUP 

Reference and Administrative Details for the year ended 31 March 2023 

## **Trustees** 

M Short (Chair) S Murray C J Atterbury L Williams 

## **Registered office** 

**Registered office** Hollymoor Centre 8 Manor Park Grove Northfield Birmingham West Midlands B31 5ER **Registered company number** 03719730 (England and Wales) 1081699 

**Registered charity number** 1081699 **Independent examiner** Cooper Parry Advisory Limited CUBO Birmingham Office 401, 4th Floor Birmingham West Midlands B3 3AX 

Page 1 



## LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Report of the Trustees for the year ended 31 March 2023 

The Trustees, who are also Directors of the Charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2023.  The Trustees have adopted the provisions of 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 2015). 

## **Structure, governance and management** 

Longbridge Childcare Strategy Group is a company limited by guarantee (company number 03719370) which was incorporated on 25 February 1999 and achieved charitable status on 21 July 2000 (number 1081699).  It is governed by its Memorandum and Articles of Association dated 25 February 1999, as amended by special resolution on 13 December 1999. 

The Trustees who held office during the year and to the date of this report are as follows: 

S Murray Appointed 02 December 2021 M Short Appointed 02 December 2021 L Williams Appointed 17 November 2023 C J Atterbury Appointed 24 October 2023 

Other changes in Trustees during the year and to the date of this report are as follows: 

S Ford Resigned 31 July 2022 G J Handley Resigned 5 August 2023 M Naidoo Resigned 19 July 2023 C M West Resigned 23 October 2023 L Haines Resigned 2 June 2023 

## **Recruitment and appointment of new Trustees** 

Recruitment of Trustees has been particularly successful this year and we have recruited additional board members from a variety of professional backgrounds to reflect the needs of the charity. However, having secured additional board members, a number of trustees resigned from their positions during the year and to the date of this report. 

## **Objectives and activities** 

## **Principal activity** 

The principal activity of the company continues to be the provision of quality, affordable childcare facilities and training for those supplying care services. The welfare and development of the children is paramount within all of our activities, particularly at this time. 

Longbridge Childcare Strategy Group is a charity established in 1991, to be effective in Birmingham with particular reference to the Longbridge Area and its environs (the Area of Benefit). 

"To advance the education and development of young children within Longbridge in particular by the provision of a comprehensive childcare service offering facilities for safe and satisfying play and to provide or to arrange for the provision of such ancillary facilities and activities which are considered necessary or desirable for the fulfilment of the objects." 

The Charity includes the following powers exercisable in furtherance of the said Objects, but not otherwise; 

1. To advance, whether by training or otherwise, the knowledge and professional skills of those resident in the Area of Benefit and concerned with the provision of childcare. 

2. To provide practical help within the Centre services, including; advice, assistance, service, support, advocacy and information to meet the needs of those caring for children and to liaise with external bodies concerned with the matters of childcare. 

3. To promote, provide and carry on or assist in the promotion, provision and carrying on of facilities of any kind pursuant to the objects and to arrange and hold meetings, conferences and lectures. 

Page 2 



LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Report of the Trustees for the year ended 31 March 2023 

## **Objectives and activities (continued)** 

## **Activities April 2022-March 2023** 

Throughout the year LCSG continued to operate the following groups: 

**Alphabets @ Holly Hill Nursery** gained a Good grade from Ofsted. The nursery continues to operate in the main nursery building and within the Children Centre. The nursery works closely with Frankley Plus Children's Centre to provide a stable and secure environment for the children and families in the area. 

**Alphabets @ Cofton** has a Good grade from Ofsted. This provision is an Out of School club and Pre-School. The Before & After school and Holiday Playscheme services continued to be popular with children and families attending the adjoining primary school. 

**Alphabets @ Hollymoor** gained a Good grade from Ofsted. continues to operate in the Hollymoor Centre. Working in partnership with other childcare professionals and the local children's centres, the children and young people of the nursery work hard to access a package of care in line with their individual needs. One of the most difficult aspects has been the need to use electronic devices and social media/Wi-Fi. As a charity we have found it difficult to maintain the quantity and quality of these systems. We identified this as a priority last year. This work is ongoing. 

**Central Office** - - Negotiations regarding the Lease for the building were unresolved during this period and will now continue as a priority for the next year. The condition of the building remains stable, LCSG has continued to complete emergency repairs. 

## **Social Impact Report April 2022 – March 2023** 

While access to childcare is important for all families, it is particularly crucial for those on the lowest incomes, the most disadvantaged children, women, and single-parent families. Childcare enables people to work; increase their hours or take on new opportunities; move out of poverty and improve families' and children's long-term life chances. LCSG have been active in Northfield West Heath and Frankly Great Park Parts some of the core areas are designated as areas of poverty. We engage with the hard-to-reach families offering a fun, safe but stimulating environment and programme of activities which will help to combat the continued negative and damaging influences of the Coronavirus pandemic and other traumatic experiences. 

LCSG has given extra social support to over 320 local families throughout the year. Our records show that 79% of the children attracted Pupil Premium and or Deprivation funding this rises to 90% in Frankley. 913 people have accessed support through our community centre and out of term social activities and projects. (1,268 people each year face to face in total) which has included Birmingham City Council recognising the centre as a 'warm welcome' venue. In addition to this we have provided hampers and support packs which include online support to 4,000 families receiving benefit support or have additional needs. A high percentage of our children are families living in poverty with either no employed income or exceptionally low pay. 

LCSG continues to assess and support the children who come into our care. Communication remains a major concern especially for children who have English as an additional language. Using communication assessment strategies and tools we work in partnership with the parents to identify the child's communication needs and put an early intervention plan into place. This is a service made available for every child. The children and young people we have supported this year have included those who have experienced trauma (they may be having counselling or play therapy). Children and young people with a Health Care Action Plan. Looked after children and young people, Children, and young people from prisoner families. Children and young people with parents/carer or a sibling who suffers from health problems or a disability which impact on the child's quality of life. (This can include mental health), children and young people with parents/carers who are rehabilitating from an addiction. The numbers of children with extended needs (SEND) have dramatically increased. The areas of concern include difficulties hearing, mild to moderate learning disability, developmental disability i.e., autism or autism spectrum disorder. Parents are increasingly asking for support in managing their child's behaviour. 

Page 3 



## LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Report of the Trustees for the year ended 31 March 2023 

## **Objectives and activities (continued)** 

Longbridge Childcare Strategy Group (LCSG) employs thirty employees on a range of employment contracts which include full time, part time and term time only. We work in partnership with the Birmingham Playcare Network (BPCN) who run a scrape store from our centre which recycles donations from individuals and businesses throughout Birmingham they employ eight part-time staff and fifty volunteers. BPCN also facilitates short courses and projects from the Hollymoor Centre. These projects are aimed at addressing a social need which brings in vulnerable people. They hold a biweekly craft group for people over 50 years old and a mother and baby club supporting young moms. Four hundred people visit ScrapeStore each month 4,800 each year. Friendship care and housing also benefit from our services offering employing/training to sixteen people and offering care in the community for socially disadvantaged people with learning difficulties. We have a scout group and a dance group. We also have a school onsite called Flexible Learning which is for children who find attending mainstream education a challenge. Each of the occupants of the Hollymoor Centre refer individuals and groups to LCSG. We work together to offer the best help and support. In total over 10,342 people in the community benefited from our combined services. The new intricate way of working with families in the local community, only strengthened the support we were able to give, and we found that we were able to access a larger number of families who would have been harder to reach out to. By bringing them into our community we can work in partnership with other professionals and services to make a real change to their lives. An example of the professionals we work with are Health Visitors, Social Workers, Police, Health Care Professionals, teachers, and housing organisations. We also work in partnership with the Children's Centres, Special Educational Needs co-ordinators and Speech and Language Therapists. In addition, we support parents back into training by providing flexible childcare packages in partnership with the colleges. 

LCSG employees are childcare practitioners who are experienced in connecting with and supporting people who are vulnerable and who often find it hard to trust anybody. Forming a partnership with them in support of their children helps to build a bond of trust. The parents/carers are grateful to have the opportunity to talk their problems through with the child's key person. The key person will then signpost them or help them find the help available. The key people have an extensive training program available to them which includes training in managing trauma, mental health first aid, drug and alcohol rehabilitation, domestic violence, and a range of safeguarding courses. This is to provide the socially supported families with the highest quality of care and advice available. 

During the summer LCSG were able to capitalise on the new team of Playworkers who were employed last year. This included the development of a team of seven young adults aged between 16 to 18 years old who were very enthusiastic and committed to providing a summer scheme full of fun and friendship for the young children in their care. These young people gained valuable work experience, made new friends, and had a valuable experience of employment and managing their own money. 

Safeguarding and promoting the welfare of children remains to be an integral factor in all LCSG's management procedures. Safeguarding cannot be separated from the general ethos of LCSG who aim to continue to create a culture of vigilance and care. The number of qualified Designated Safeguarding Leads has increased to give the team the skills and confidence to act appropriately and with confidence when they need to. LCSG's induction pack has also been revised to strengthen a new employee's knowledge of what is expected from them as a member of the team. 

The members of the group have all continued to adhere to government guidelines but share this responsibility as a team. The care and wellbeing of individuals remains a priority as we continue to try to survive the impact the aftermath of Covid is having. 

## **Management** 

The Board continued to work with staff throughout the year to investigate potential changes which could benefit the organisation. Through consultation, priority was placed on building a larger Board which reflects the community and holds specialisms which can support the development and growth of LCSG. 

LCSG Priorities for this year were; 

To monitor and evaluate the services we provide on a regular basis in order to maximise the benefits we 

- provide to the individual children and young people in our care, their families and the local community. To develop a whole family approach identifying services and funding opportunities which will support the 

- - needs of the community. 

- To maintain the 'Good' quality of childcare services as graded by Ofsted. 

- To market LCSG services widely across the local areas. 

- To monitor Running Costs and Funding/Income opportunities to maintain sustainability. 

- To improve and upgrade our IT facilities and online presence. Offer training and support for the team based 

- - on their individual skills. 

This Report has shown that we continue to maintain quality services and support children and families. We also worked in partnership with other organisations and the Local Authority. The organisation continues to move forward optimistically with plans for future growth and development. 

Page 4 



LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Report of the Trustees for the year ended 31 March 2023 

## **Public benefit statement** 

The Trustees confirm that they have complied with the duty in section 4 of the Charities Act 2011 to have due regard to the Charity Commission's general guidance on public benefit, 'Charities and Public Benefit'. 

## **Financial position** 

The financial review of the year to 31st March 2023 shows the charity has faced challenges, as in the previous year, it's been somewhat of a concern for the industry as a whole. Our focus was to increase uptake within each of the settings, To plan an attractive advertising strategy in order for the Centre to become more known and to alleviate any financial strains that were not needed within the charity. 

During this time, we looked at ways in which we could save money in all areas, as some employees moved on to new ventures, roles were able to be dissolved amongst the team. Managers were given more insight into budgets and more training was provided, this helped to identify trigger points within the budgets and where money was being spent. Increased costs with the food expenses have been the biggest challenge and managers have been encouraged to research cheaper alternatives. 

At the Directors meeting in February 2023 a 2% wage rise was agreed for deputy managers and managers, with a 1% increase for all other roles however was a 5.8% increase due to the NMW rises. EEE Funding rates were again released late into the month. The formula had been written for the next 3 financial years which would be looked at every 12 months, the rise in National Minimum Wage, was a cause for concern. After the success we had previously had with the HAF programme and the uptake for childcare provision out of term on a downturn, It was decided that if possible to attract new opportunities and bids in regard to offering a completely free service, to not only allow us to keep in consistent contact with our vulnerable families but to also take the strain financially off our service users. An Awards for all bid was granted at £9350 and a My Food community grant of £500 where we were able to provide exciting opportunities for the families in the local area to come together and for us to provide a safe, warm and welcoming environment, We were able to provide a Christmas dinner and desert to over 45 families and over 151 takeaway breakfast hampers for families that couldn't attend. 

Following a successful 2020 and 2021 HAF Programme we decided to continue the project for 24 sessions over the academic year. However the funding rates that we had previously been given had been lowered, this saw a decrease in the places that we could offer. We have been fully booked for all sessions and from this have now offered this into all 3 settings which will be evident in the next financial review.  We continued to operate within our aims of training, and we offered employees a chance to upskill within SEND, with this the government gave an incentive payment of £500. 

We have continued to use The Hollymoor site in connection with BPCN for a series of group gatherings including Christmas craft fairs, group gatherings and training, generating more footfall to the area and subsequently more recognition in the area. This resulted in many of the rooms that were vacant being booked within the day which was another area we have tapped into to secure consistent income into the charity. We are seeing a year on year growth within the centre income due to word of mouth from the service users. We will continue to advertise any gaps within the day to ensure we have consistent bookings within the building. 

As we predicted in the last financial year, the need for additional paid hours, breakfast clubs and out of school clubs has decreased showing a loss on income from the previous year at 2 of the sites. We believe this to be because of parents/carers now having more flexible hybrid contracts within their own employment. The charity relies heavily on Government funding and has been a part of a core group in order for the rates to be highered. We received welcome news that in fact the rates would be increased from September 2023. 

In conclusion the settings have shown a decreased uptake in childcare places especially within the September 22 - December 22 Quarter. We have tried to identify key triggers and managers are now covering parts of the ratio without the additional need to pay for staff. Managers have a clear understanding of the required numbers of children needed in order to break even per hour. We have now introduced a more robust system in order to attract more funding opportunities for the charity and now have a dedicated person to write and submit grants and bids to attract the additional income the charity needs.  Our main concerns to continue to be sustainable within the next financial year are the large year on year increases in National minimum wage, rising food costs, rising utility costs and preparing for the new government incentives of offering childcare options to children from the age of 9 months. Due to the recruitment crisis within the sector, it will be imperative to have an attractive package to recruit and retain employees within this new challenge we are about to face. 

Page 5 



## LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Report of the Trustees for the year ended 31 March 2023 

## **Financial review** 

## **Reserves policy** 

Given the current net liabilities position, the reserves policy of the company is under review. The short-term priority is to eliminate the net liabilities. In the medium term, the trustees intend to agree a policy for maintaining unrestricted funds which will balance the group's day to day cash flow needs, while allowing for suitable investment in staff and resources which will benefit the group in the longer term. 

## **Going concern** 

The Trustees have considered a period of at least 12 months from the date of approval of these financial statements and consider that the charity will be able to continue to attract sufficient funding and manage its expenditure levels accordingly. The Group has access to a £10,000 overdraft facility that was renewed in December 2022 for a further 12 months. As such, the Trustees are content that the accounts can be prepared on the going concern basis. 

## **Funds in deficit** 

The financial statements show a deficit in total funds of £57,548 as at 31 March 2023 (2022 – deficit of £31,684). 

## **Structure, governance and management** 

## **Recruitment and appointment of new trustees** 

The current Trustees are full time professionals, some of whom have experience within the childcare field. 

We continually encourage parents and individuals to become members of the committee, specifying the roles and responsibilities required for the provision.  This is undertaken via an interview with the panel, committing to a minimum of four meetings per year and completing a DBS check. 

## **Risk management** 

The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. 

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies. 

The Trustees, who are also Directors of the Charity for the purposes of the Companies Act 2006, present their report ............................................. and signed on its behalf by: 18/12/2023 


.................................................................... M Short - Trustee 

Page 6 



## Independent Examiner's Report to the Trustees of Longbridge Childcare Strategy Group 

## **Independent examiner's report to the trustees of Longbridge Childcare Strategy Group ('the Company')** 

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2023. 

## **Responsibilities and basis of report** 

As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act'). 

Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under Section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under Section 145(5) (b) of the 2011 Act. 

## **Independent examiner's statement** 

Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies. 

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: 

1. accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or 2. the accounts do not accord with those records; or 

3. the accounts 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 accounts 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 accounts to be reached. 

**Nichola Venables FCA** 

The Institute of Chartered Accountants in England and Wales 

Cooper Parry Advisory Limited CUBO Birmingham Office 401, 4th Floor Birmingham West Midlands B3 3AX 19/12/2023 Date: ............................................. 

Page 7 



## LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Statement of Financial Activities for the year ended 31 March 2023 

|**Unrestricted**<br>**Restricted**<br>**funds**<br>**funds**<br>**Notes**<br>**£**<br>**£**<br>**Income and endowments from**<br>Donations and legacies<br>3<br>**-**<br>**18**<br>Charitable activities<br>-<br>Childcare services<br>4<br>**477,062**<br>**-**<br>-<br>Government grants<br>4<br>**-**<br>**-**<br>**Total**<br>**477,062**<br>**18**<br>**Expenditure on**<br>Charitable activities<br>-<br>Childcare services<br>5<br>**502,926**<br>**18**<br>Other activities<br>**-**<br>**-**<br>**Total**<br>**502,926**<br>**18**<br>**NET INCOME/(EXPENDITURE)**<br>**(25,864)**<br>**-**<br>**Reconciliation of funds**<br>**Total funds brought forward**<br>**(33,269)**<br>**1,585**<br>**Total funds carried forward**<br>**(59,133)**<br>**1,585**|**2023**<br>**Total**<br>**funds**<br>**£**<br>**18**<br>**477,062**<br>**-**<br>**477,080**<br>**502,944**<br>**-**<br>**502,944**<br>**(25,864)**<br>**(31,684)**<br>**(58,548)**|2022<br>Total<br>funds<br>£<br>23<br>533,219<br>11,488<br>544,730<br>527,485<br>-<br>527,485<br>17,245<br>(48,929)<br>(31,684)|
|---|---|---|



## **Continuing operations** 

All income and expenditure has arisen from continuing activities. 

The notes form part of these financial statements 

Page 8 



## LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Balance Sheet 31 March 2023 

|**Unrestricted**<br>**Restricted**<br>**fund**<br>**fund**<br>**Notes**<br>**£**<br>**£**<br>**Fixed assets**<br>Tangible assets<br>10<br>**15,774**<br>**-**<br>**Current assets**<br>Debtors<br>11<br>**5,411**<br>**-**<br>Cash at bank and in hand<br>**27,296**<br>**1,585**<br>**32,707**<br>**1,585**<br>**Creditors**<br>Amounts falling due within one year<br>12<br>**(107,614)**<br>**-**<br>**Net current assets/(liabilities)**<br>**(74,907)**<br>**1,585**<br>**Total assets less current liabilities**<br>**(59,133)**<br>**1,585**<br>**NET ASSETS/(LIABILITIES)**<br>**(59,133)**<br>**1,585**<br>**Funds**<br>13<br>Unrestricted funds<br>Restricted funds<br>**Total funds**|**2023**<br>**Total**<br>**funds**<br>**£**<br>**15,774**<br>**5,411**<br>**28,881**<br>**34,292**<br>**(107,614)**<br>**(73,322)**<br>**(57,548)**<br>**(57,548)**<br>**(59,133)**<br>**1,585**<br>**(57,548)**|**2022**<br>**Total**<br>**funds**<br>**£**<br>18,794<br>3,770<br>27,122<br>30,892<br>(81,370)<br>(50,478)<br>(31,684)<br>(31,684)<br>(33,269)<br>1,585<br>(31,684)|
|---|---|---|



The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2023. 

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2023 in accordance with Section 476 of the Companies Act 2006. 

The trustees acknowledge their responsibilities for 

- (a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and 

- (b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company. 

These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime. 

The financial statements were approved by the Board of Trustees and authorised for issue on 18/12/2023............................................. and were signed on its behalf by: 


............................................. M Short - Trustee 

The notes form part of these financial statements 

Page 9 



## LONGBRIDGE CHILDCARE STRATEGY GROUP 

|Cash Flow Statement<br>for the year ended 31 March 2023<br>**2023**<br>**Notes**<br>**£**<br>**Cash flows from operating activities**<br>Cash generated from operations<br>1<br>**3,462**<br>Net cash provided by/(used in) operating activities<br>**3,462**<br>**Cash flows from investing activities**<br>Purchase of tangible fixed assets<br>**(1,703)**<br>Net cash used in investing activities<br>**(1,703)**<br>**Change in cash and cash equivalents in**<br>**the reporting period**<br>**1,759**<br>**Cash and cash equivalents at the**<br>**beginning of the reporting period**<br>**27,122**<br>**Cash and cash equivalents at the end of**<br>**the reporting period**<br>**28,881**|**2022**<br>**£**<br>(2,526)<br>(2,526)<br>(18,381)<br>(18,381)<br>(20,907)<br>48,029<br>27,122|
|---|---|



The notes form part of these financial statements 

Page 10 



## LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Notes to the Cash Flow Statement for the year ended 31 March 2023 

|**1.**<br>**Reconciliation of net (expenditure)/income to net cash flow from operating activities**<br>**2023**<br>**£**<br>**Net (expenditure)/income for the reporting period (as per the**<br>**Statement of Financial Activities)**<br>**(25,864)**<br>**Adjustments for:**<br>Depreciation charges<br>**4,723**<br>(Increase)/decrease in debtors<br>**(1,641)**<br>Increase/(decrease) in creditors<br>**26,244**<br>**Net cash provided by/(used in) operations**<br>**3,462**|**2022**<br>**£**<br>17,245<br>4,487<br>5,141<br>(29,399)|
|---|---|
||(2,526)|



## **1. Analysis of changes in net funds** 

||**At 1/4/22**|**Cash flow**|**At 31/3/23**|
|---|---|---|---|
||**£**|**£**|**£**|
|**Net cash**||||
|Cash at bank and in hand|**27,122**|**1,759**|**28,881**|
||**27,122**|**1,759**|**28,881**|
|**Total**|**27,122**|**1,759**|**28,881**|



The notes form part of these financial statements 

Page 11 



## LONGBRIDGE CHILDCARE STRATEGY GROUP 

Notes to the Financial Statements for the year ended 31 March 2023 

## **2. Accounting policies** 

## **Basis of preparing the financial statements** 

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', the Charities Act 2011 and the Companies Act 2006. The financial statements have been prepared under the historical cost convention. 

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated. 

## **Going concern** 

The trustees assess whether the use of going concern is appropriate i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity to continue as a going concern. The trustees make this assessment in respect of a period of one year from the date of authorisation for issue of the financial statements. 

The financial statements have been prepared on a going concern basis. The trustees have reviewed and considered relevant information, including the annual budget and future cash flows in making their assessment. Based on these assessments, given the measures that could be undertaken to mitigate the current adverse conditions, and the current resources available, the trustees have concluded that they can continue to adopt the going concern basis in preparing the annual report and accounts. 

## **Income** 

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. 

## **Expenditure** 

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. 

Irrecoverable VAT is charged as an expense against the activity for which expenditure arose. 

## **Charitable activities** 

Costs of charitable activities are incurred on the charity's childcare operations, including support costs and costs relating to the governance of the charity apportioned to charitable activities. 

## **Tangible fixed assets** 

All fixed assets are initially recognised at cost. 

## **Depreciation** 

Depreciation of fixed assets is calculated to write off their cost of valuation less any residual value over their estimated useful lives as follows: 

**-** Improvements to leasehold property 20% p.a. straight line basis **-** Office equipment 15% p.a. reducing balance **-** Fixture and fittings 25% p.a. reducing balance **-** Computer equipment 25% p.a. reducing balance 

## **Taxation** 

The charity is exempt from corporation tax on its charitable activities. 

## **Fund accounting** 

General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes. 

Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. 

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LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Notes to the Financial Statements - continued 

## for the year ended 31 March 2023 

## **2. Accounting policies - continued** 

## **Fund accounting** 

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purpose. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements. 

## **Hire purchase and leasing commitments** 

Assets obtained under hire purchase contracts or finance leases are capitalised in the Balance Sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is shorter. 

## **Pension costs and other post-retirement benefits** 

The charitable company operates a defined contribution pension scheme.  Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate. 

## **Debtors and creditors receivable/payable within one year** 

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure. 

## **3. Donations and legacies** 

## **Grants Received** 

|**Restricted**<br>Bournville College<br>**Unrestricted**<br>**Total**<br>**Charitable activities**<br>**Childcare services**<br>Centre income<br>Nursery fees - government funded<br>Government support grants|**2023**<br>**£**<br>**18**<br>**-**<br>**£**<br>**-**<br>**-**<br>**18**<br>**2023**<br>**£**<br>**62,060**<br>**408,939**<br>**6,063**<br>**477,062**|2022<br>**£**<br>23|
|---|---|---|
|||23|
|||**£**<br>-|
|||-|
|||23|
|||2021<br>£<br>42,115<br>491,104<br>11,488|
|||544,707|



## **4. Charitable activities** 

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## LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Notes to the Financial Statements - continued for the year ended 31 March 2023 

## **5. Resources expended** 

|Wages and national insurance<br>Accountancy and independent examination<br>Bank and professional charges<br>Consumables and staff expenses<br>Insurance<br>Depreciation<br>Pensions<br>Rent, rates, heat and light<br>Repairs, research and maintenance<br>Telephone, stationary and advertising<br>Bad debt write off|**2023**<br>**£**<br>**Unrestricted**<br>**fund**<br>396,740<br>2,486<br>306<br>21,040<br>8,210<br>1,285<br>6,358<br>47,917<br>8,851<br>8,733<br>1,000<br>502,926|**Restricted**<br>**fund**<br>-<br>-<br>-<br>-<br>-<br>18<br>-<br>-<br>-<br>-<br>-<br>18|**2022**<br>**£**<br>Unrestricted<br>fund<br>400,747<br>2.700<br>650<br>29,176<br>8,006<br>4,464<br>6,269<br>53,585<br>11,270<br>9,441<br>1,153<br>527,462|Restricted<br>fund<br>-<br>-<br>-<br>-<br>-<br>23<br>-<br>-<br>-<br>-<br>-|
|---|---|---|---|---|
||||||



## **6. Net income/(expenditure)** 

Net income/(expenditure) is stated after charging/(crediting): 

||**2023**|2022|
|---|---|---|
||**£**|**£**|
|Independent examiners' fees|4,723|2,713|
|Depreciation - owned assets|1,303|1,067|



## **7. Trustees' remuneration and benefits** 

There were no trustees' remuneration or other benefits for the year ended 31 March 2023 nor for the year ended 31 March 2022. 

## **Trustees' expenses** 

There were no trustees expenses paid in the year 

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## LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Notes to the Financial Statements - continued for the year ended 31 March 2023 

|**8.**<br>**Staff costs**<br>**2023**<br>**£**<br>Wages and salaries<br>**390,382**<br>Other pension costs<br>**6,358**<br>**396,740**<br>The average monthly number of employees during the year was as follows:<br>**2023**<br>Administrative staff<br>**30**<br>No employees received emoluments in excess of £60,000.<br>**9.**<br>**Comparatives for the statement of financial activities – 31 March 2022**<br>**Unrestricted**<br>**Restricted**<br>**funds**<br>**funds**<br>£<br>£<br>**Income and endowments from**<br>Donations and legacies<br>-<br>28<br>Charitable activities<br>-<br>Childcare services<br>384,594<br>-<br>-<br>Government grants<br>114,789<br>-<br>**Total**<br>499,383<br>28<br>**Expenditure on**<br>Charitable activities<br>-<br>Childcare services<br>458,694<br>28<br>Other activities<br>-<br>-<br>**Total**<br>458,694<br>28<br>**NET INCOME/(EXPENDITURE)**<br>40,689<br>-<br>**Reconciliation of funds**<br>**Total funds brought forward**<br>(91,203)<br>1,585<br>**Total funds carried forward**<br>(50,514)<br>1,585||**2022**<br>**£**<br>400,747<br>6,269<br>407,016<br>**2022**<br>29<br>**Total**<br>**funds**<br>£<br>28<br>384,594<br>114,789<br>499,411<br>458,722<br>-<br>458,722<br>40,689<br>(89,618)<br>(48,929)|
|---|---|---|
||||
||||



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## LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Notes to the Financial Statements - continued for the year ended 31 March 2023 

## **10. Tangible fixed assets** 

|**Tangible fixed assets**|||
|---|---|---|
|**Improvements**<br>**Plant and**<br>**to property**<br>**machinery**<br>**£**<br>**£**<br>**Cost**<br>At 1 April 2022<br>**120,994**<br>**20,805**<br>Additions<br>**-**<br>**1,093**<br>At 31 March 2023<br>**120,994**<br>**21,898**<br>**Depreciation**<br>At 1 April 2022<br>**107,314**<br>**17,884**<br>Charge for year<br>**3,420**<br>**602**<br>At 31 March 2023<br>**110,734**<br>**18,486**<br>**Net book value**<br>At 31 March 2023<br>**10,260**<br>**3,412**<br>At 31 March 2022<br>13,680<br>2,921|**Fixtures**<br>**and**<br>**Computer**<br>**fittings**<br>**equipment**<br>**£**<br>**£**<br>**57,132**<br>**17,265**<br>**-**<br>**610**<br>**57,132**<br>**17,875**<br>**56,894**<br>**15,310**<br>**60**<br>**641**<br>**56,954**<br>**15,951**<br>**178**<br>**1,924**<br>238<br>1,955|**Totals**<br>**£**<br>**216,196**<br>**1,703**|
|||**217,899**|
|||**197,402**<br>**4,723**|
|||**202,125**|
|||**15,774**|
|||18,794|



Fixed assets, included in the above, which are held under hire purchase contracts or finance leases are as follows: 

||**Improvements**|
|---|---|
||**to property**|
||**£**|
|**Depreciation**||
|At 1 April 2022|**19,190**|
|Charge for year|**3,420**|
|At 31 March 2023|**22,610**|
|**Net book value**||
|At 31 March 2023|**(22,610)**|
|At 31 March 2022|(19,190)|



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## LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Notes to the Financial Statements - continued for the year ended 31 March 2023 

|**11.**|**Debtors: amounts falling due within one year**||||
|---|---|---|---|---|
||||**2023**|**2022**|
||||**£**|**£**|
||Trade debtors||**5,411**|3,770|
|**12.**|**Creditors: amounts falling due within one year**||||
||||**2023**|**2022**|
||||**£**|**£**|
||Trade creditors||**5,103**|5,436|
||Social security and other taxes||**54,741**|24,759|
||Other creditors||**11,000**|10,988|
||Deferred income||**129**|147|
||Accrued expenses||**36,641**|40,040|
||||**107,614**|81,370|
|**13.**|**Movement in funds**||||
||||**Net**||
||||**movement**||
|||**At 1/4/22**|**in funds**|**At 31/3/23**|
|||**£**|**£**|**£**|
||**Unrestricted funds**||||
||General fund|(33,269)|(25,684)|(59,133)|
||**Restricted funds**||||
||Restricted general fund|1,585|-|1,585|
||**TOTAL FUNDS**|(31,684)|(25,684)|(57,548)|
||Net movement in funds, included in the above are as follows:||||
|||**Incoming**|**Resources**|**Movement**|
|||**resources**|**expended**|**in funds**|
|||£|£|£|
||**Unrestricted funds**||||
||General fund|477,062|(502,926)|(25,864)|
||**Restricted funds**||||
||Restricted general fund|18|(18)|-|
||**TOTAL FUNDS**|477,080|(502,944)|(25,864)|



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LONGBRIDGE CHILDCARE STRATEGY GROUP 

## Notes to the Financial Statements - continued for the year ended 31 March 2023 

## **13. Movement in funds - continued** 

Comparatives for movement un funds: 

|Comparatives for movement un funds:|||
|---|---|---|
||**Net**||
||**movement**||
|**At 1/4/21**|**in funds**|**At 31/3/22**|
|**£**|**£**|**£**|
|**Unrestricted funds**|||
|General fund<br>**(50,514)**|**17,245**|**(31,684)**|
|**Restricted funds**|||
|Restricted general fund<br>**1,585**|**-**|**1,585**|
|**TOTAL FUNDS**<br>**(48,929)**|**17,245**|**(31,684)**|
|Comparative net movement in funds, included in the above are as follows:|||
|**Incoming**|**Resources**|**Movement**|
|**resources**|**expended**|**in funds**|
|£|£|£|
|**Unrestricted funds**|||
|General fund<br>544,707|(527,452)|17,245|
|**Restricted funds**|||
|Restricted general fund<br>23|(23)|-|
|**TOTAL FUNDS**<br>544,730|(527,485)|17,245|



## **14. Related party disclosures** 

During the year ended 31 March 2018 the trustees loaned £9,000 to the company, this remains within other creditors as at 31 March 2023. 

There were no Trustee's expenses paid in the year (shown in note 7) and no other related party transactions occurred for the year ended 31 March 2023. There were no Trustee's expenses paid for the year ended 31 March 2023. 

Key management personnel consists of the trustees only, whose remuneration is shown within note 7. 

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LONGBRIDGE CHILDCARE STRATEGY GROUP 

Notes to the Financial Statements - continued for the year ended 31 March 2023 

## **15. Ultimate controlling party** 

The charity was under the control of the Board of Trustees in the current and previous year. 

## **16. Share capital** 

The company is limited by guarantee of its members and does not have any share capital. In the event the company is wound up, the members who are also the trustees, have a liability in respect of the guarantee, limited to £1 per member. 

Page 19