LYNDHURST PRE-SCHOOL A COMPANY LIMITED BY GUARANTEE COMPANY REGISTRATION NUMBER: 04584822 (England & Wales) CHARITY NUMBER: 1107974 (England & Wales)
Lyndhurst Pre-school The School High Street Lyndhurst Hampshire S043 7BB
Trustees
The Trustees, who are also Directors of the charitable company, who have held office for the whole of the year unless otherwise stated, and to the date of this report, are as follows:
Elaine Willis Chairperson Barbara Preddy Secretary Alison Bennett Juliet Dunning Rosemary Lathey Janet Malcom Sarah Newman Sara Shelton Mary Willis resigned 10/11/2022 Simon Young
Trustees’ Annual Report
The Trustees have pleasure in presenting their report and the unaudited financial statements for the charity for the year ending August 2023.
The main aims of the Pre-school are to enhance the development and education of children in their care. At Lyndhurst Pre-School we are committed to developing the ‘whole child’ emotionally, socially and physically regardless of their culture, ability or race.
We aim to provide a safe, friendly and stimulating environment in which each child is encouraged to explore and discover.
We work to a specially tailored curriculum called the Early Years Foundation Stage. , Our staff undertake training to ensure that our provision meets all legislation in Early Years.
It is our philosophy that purposeful play is an essential part of a child’s learning process and helps them to acquire the skills necessary for a smooth transition to
school life. We aim to provide our children with the opportunity to engage in rewarding and structured play in a wide range of learning experiences. We therefore build a curriculum based around children’s needs and interests, we provide resources to enable them to ponder, create, practice and repeat. We provide a safe place for children to move freely, chooses resources independently, play and be active thinkers and learners.
Public Benefit
The Trustees confirm that they have had due regard to guidance published by the Charity Commission on Public Benefit.
Achievements and performance
- q qualified proactive team o Ofsted rating good (JUL 2023) Q dedicated team of staff o well sited premises o numerous resources o good relationship with Infant School addressing good transitions o Reflecting on Quality stages 1-3 denotes high standards o large outdoor area and use of outdoors and muddy kitchen area o infant size toilets encourage independence o 2 year old provider o opportunities to offer early intervention qo experienced and committed team of staff and Trustees/Directors o family involvement in themes and topics, special events and festivals o parent meetings to forge good partnerships ao fund raising activities to raise funds for resources
Financial review
The Pre-School receives the majority of its income from Hampshire County Council based on the Early Years funding formula. We also charge fees for non-funded children to attend and for snack time/admin to help cover our operating costs. Our fees are currently £5.75 per hour plus a snack/admin fee of 75p per session per child.
Our fundraising team raises monies which are used primarily to purchase resources for current children on roll.
In recent years, the Trustees have repeatedly expressed grave concerns about the sustainability of the current Early Years funding model, as annual increases in local funding rates have consistently fallen well behind increases in the National Living Wage, which is the underlying driver of staff pay levels. The cumulative effect of this repeated, persistent mismatch between our income and costs, exacerbated by inflation across all other costs has meant that the Pre-School is not sustainable
beyond the summer 2024, and it with deep regret that the Trustees consider there is no realistic option but to close the Pre-School at the end of the Summer 2024 term, in an orderly manner. The current funding model has materially restricted our ability to pay our current staff rates which adequately reflect their expertise and qualifications, and their commitment to the delivery of high quality care and education. It has also become increasingly difficult to recruit staff with the requisite qualifications.
Our income for the period was £74,391 (2022: £64,976) and expenditure was £80,044 (2022: £77,844). The operating loss was £5,653 (2022: loss of £12,868) due primarily to ongoing local demographic and recruitment challenges.
This year, 75.8% (2022: 97.6%) of our income was spent on staff costs, and 15.9% (2022: 11.2%) was spent on rent. The operating loss is equivalent to 7.6% (2022: 19.8%) of income.
Reserves Policy
Contingency monies are held in a separate bank account called the Reserve Account. It is administered to hold Reserves to cover redundancies (in line with Government Guidelines), Pre-School permanent closure, hazard closure and insurance issues, legal fees and 6 months’ rent pending closure or relocation.
IUKO 4 Elaine Willis - Chairperson Director and Trustee Date: 2S Ayn 2024
Company registration number: 04584822 (England and Wales) Charity registration number: 1107974 (England and Wales)
LYNDHURST PRE-SCHOOL
ACCOUNTS
FOR THE YEAR ENDED 31 AUGUST 2023
LYNDHURST PRE SCHOOL
YEAR ENDED 31 AUGUST 2023
CONTENTS
| Statement of financial activities (including income and expenditure account) | Page 3 |
|---|---|
| Balance Sheet | Page 4 |
| NotestotheAccounts | Pages5-8 |
Page 2
Statement of financial activities (including income and expenditure account)
FOR THE YEAR ENDED 31 AUGUST 2023
| Notes | 2023 | 2022 | |
|---|---|---|---|
| £ | £ | ||
| INCOME | 3 | ||
| Income from: | |||
| Donations and fundraising | 3,230 | 4,871 | |
| Charitable income | 71,033 | 60,101 | |
| Investment income | 128 | 4 | |
| Total Income: | 74,391 | 64,976 | |
| EXPENDITURE | 4 | ||
| Expenditure on: | |||
| Raising funds | (641) | (344) | |
| Charitable Activities | (79,403) | (77,500) | |
| Total Expenditure: | (80,044) | (77,844) | |
| Net expenditure forthe year: | (5,653) | (12,868) | |
| RECONCILIATION OF FUNDS: | 10,11 | ||
| Net movement in funds | (5,653) | (12,868) | |
| Totalfundsbroughtforward | 38,687 | 51,222 | |
| Totalfundscarriedforward | 33,034 | 38,687 |
Page 3
Balance Sheet
FOR THE YEAR ENDED 31 AUGUST 2023
| Notes | 2023 | 2022 | |
|---|---|---|---|
| £ | £ | ||
| Currentassets; | |||
| Cash at bank and in hand | 33,522 | 39,108 | |
| Total Assets: | 33,522 | 39,108 | |
| Currentliabilities: | |||
| Creditors: amountsfallingdue within oneyear: | 9 | (488) | (421) |
| Total net assets: | 33,034 | 38,687 | |
| Represented by: | |||
| Share capital | 10 | 100 | 100 |
| Unrestricted reserves | 11 | 32,934 | 38,587 |
| Totalfunds: | 33,034 | 38,687 |
The company was entitled to exemption from audit under s477 of the Companies Act 2006 relating to small companies.
The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act with respect to accounting records and the preparation of accounts.
These accounts have been prepared in accordance with the provisions applicable to small companies subject to the small companies regime and in accordance with FRS102 SORP.
Approved and authorised for issue by the trustees and signed on their behalf by:
Alison Mary Bennett Director and Trustee
Date: ZS Auk 2024
Page 4
Notes to the Accounts
FOR THE YEAR ENDED 31 AUGUST 2023
1 Basis of Preparation
- 1.1 Basis of accounting
These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes to these accounts. The accounts have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 and with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and with the Charities Act 2011. The charity constitutes a public benefit entity as defined by FRS 102.
1.2 Going concern
The financial sustainability of the Charity has been a key focus of the trustees. It is expected that all charitable funds will have been fully utilised by August 2024 and that operations will therefore cease at that time in an orderly manner. The trustees consider that there is no realistic alternative.
1.3 Change of accounting policy
- The accounts present a true and fair view and no changes have been made to the accounting policies adopted in note 2.
2 Accounting Policies
-
2.1 Income
-
All income is recognised when the charitable company is legally entitled to the income, when it is probable that the income will be received and when the amount receivable can be measured with sufficient reliability. There has been no offsetting of assets and liabilities, or income and expenses, unless required or permitted by the FRS 102 SORP or FRS 102.
-
Grants and donations are only included in the Statement of Financial Activities when the general income recognition criteria are met.
Income represents amounts receivable in respect of pre-school funding from Hampshire County Council and fees from parents, and from fundraising.
2.2 Expenditure and liabilities
-
Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out resources and the amount of the obligation can be measured with reasonable certainty. No material item of deferred income has been included in the accounts. The charity has creditors which are measured at settlement amounts less any trade discounts.
-
2.3 Assets Debtors are measured on initial recognition at settlement. Subsequently, they are measured at the amount expected to be received.
The charity has cash on deposit with a maturity of less than one year held for investment purposes rather than to meet short-term cash commitments as they fall due.
2.4 Lease rentals
Rentals payable under operating leases are charged against income on a straight line basis over the lease.
Page 5
Notes to the Accounts
FOR THE YEAR ENDED 31 AUGUST 2023
3 Income
Income for the year is analysed as follows:
----- Start of picture text -----
||||||||
|---|---|---|---|---|---|---|
|Unrestricted|—|Unrestricted|
|2023|2022|
|£|E|
|Donations and fundraising:|
|Donations|1,700|382|
|Grants|-|1,000|
|Other|fundraising|1,530|3,489|
|Total|from|donations|and|fundraising:|3,230|4,871|
|Charitable|activities:|
|Hampshire|County|Council|EYE|funding|56,431|46,026|
|Parental|fees|14,602|14,075|
|Total|from|charitable|activities:|71,033|60,101|
|Income|from|investments:|
|Interest|receivable|128|4|
|Total|from|investments:|128|4|
|TOTAL INCOME|74,391|64,976|
----- End of picture text -----
- 4 Expenditure
Expenditure for the year is analysed as follows:
----- Start of picture text -----
||||||||
|---|---|---|---|---|---|---|
|Note|Unrestricted|Unrestricted|
|2023|2022|
|£|£|
|Expenditure on|raising|funds:|
|Fundraising|events|641|344|
|Total|expenditure|on|raising|funds:|641|344|
|Expenditure on|charitable|activities:|
|Staff|costs|5|59,428|63,454|
|Premises|costs|11,850|7,275|
|Support|costs|3,286|3,066|
|Other|operational|costs|4,839|3,705|
|Total|expenditure|on|charitable|activities:|79,403|77,500|
|TOTAL EXPENDITURE|80,044|77|844|
----- End of picture text -----
Support costs include fees paid to the independent examiner of the accounts of Enil (2022: Enil).
Page 6
Notes to the Accounts
FOR THE YEAR ENDED 31 AUGUST 2023
5 Staff costs
| 2023 | 2022 | |
|---|---|---|
| £ | £ | |
| Wages and salaries | 58,577 | 62,515 |
| Social security costs | - | - |
| Other pension costs (note 6) | 851 | 939 |
| 59,428 | 63,454 |
No employees received employee benefits (excluding employer pension costs) for the reporting period of more than £60,000. The total of key management personnel compensation was £41,145 (2022: £38,610).
The average monthly number of employees during the year was as follows:
| 2023 | 2022 | ||
|---|---|---|---|
| No. | No. | ||
| Charitable | activities | 4 | 4 |
6 Pension scheme
Pension contributions are paid into the NEST auto-enrolment, defined contribution pension scheme. The assets of this scheme are held separately from those of the charitable company in independently administered funds.
All pension contribution costs are recognised in the statement of financial activities as they become payable. The pension charge for the year is the contributions payable to NEST of £851 (2022: £939) and at the year end, the amount due to the scheme was Enil (2021: Enil).
7 Taxation
The Pre-School is a registered charity and therefore is not liable to income tax or corporation tax or income or gains derived from its charitable activities, as they fall within the various exemptions available to registered charities.
8 Dividends
There were no dividends paid or proposed during the period.
9 Creditors: amounts falling due within one year
| 2023 | 2022 | |||||
|---|---|---|---|---|---|---|
| £ | £ | |||||
| Taxation | and | social | security | costs | 488 | 421 |
| 488 | 421 |
Page 7
Notes to the Accounts
FOR THE YEAR ENDED 31 AUGUST 2023
10 Share capital
Authorised
100 Ordinary Shares of £1 each Allotted, called up and fully paid 100 Ordinary Shares of £1 each
£100
ii Charity funds
Charity funds are represented by:
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|||||||||||
|---|---|---|---|---|---|---|---|---|---|
|Unrestricted|Total|Unrestricted|Total|
|funds|funds|funds|funds|
|2023|2023|2022|2022|
|£|£|£|£|
|Accumulated surplus:|
|Fund|balance|as|at|1|September|38,587|38,587|51,455|51,455|
|Income|74,391|74,391|64,976|64,976|
|Expenditure|(80,044)|(80,044)|(77,844)|(77,844)|
|Fund|balance as|at 31 August|32,934|32,934|__38,587|___38,587|
----- End of picture text -----
12 Transactions with Trustees and related parties
42.1 Remuneration of trustees
No Trustees received any remuneration in respect of their services as Trustees during the year (2022: £nil). No Trustee received any reimbursement of expenses in respect of their services as Trustees during the year (2022: Enil).
Two Trustees are employees and key management personnel of the Pre-School, and receive remuneration under contracts of employment. The remuneration of the Nursery Manager, Janet Malcom, (excluding pension contributions) was £24,280 (2022: £22,430) and the remuneration of the Deputy Nursery Manager, Juliet Dunning, (excluding pension contributions) was £16,031 (2022: £15,419) and these amounts are included in staff costs. In addition, the Pre-School has made employer contributions to the NEST defined contribution pension scheme (note 6) for the benefit of Janet Malcom £541 (2022: £486) and for the benefit of Juliet Dunning £294 (2022: £275).
12.2 Related party transactions
There were no related party transactions.
13 Contingent liabilities
There are no contingent liabilities.
Page 8
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| pack | CHARITY COMMISSION | Independent examiner's report on the
| FOR ENGLAND AND WALES accounts
Section A Independent Examiner's Report
Report to the trustees/ bE
members of LYNDHURST PRE-SCHOOL
On accounts for the year 31 AUGUST 2023 Charity no 1107974
ended {if any)
| report to the trustees on my examination of the accounts of
the above charity (“the Trust”) for the year ended 31 / 08 / 2022.
Responsibilities and As the charity's trustees, you are responsible for the preparation of the
basis of report accounts in accordance with the requirements of the Charities Act 2011
(“the Act”).
| report in respect of my examination of the Trust's accounts carried out
under section 145 of the 2011 Act and in carrying out my examination, |
have followed all the applicable Directions given by the Charity Commission
under section 145(5)(b) of the Act.
independent
examiner's sfatement + ssese+he see estos see celtec Hemserctinsetsamest
| have completed my examination. | confirm that no material matters have
come to my attention in connection with the examination tether than that
seresec-beter4) which gives me cause to believe that in, any material
respect:
e the accounting records were not kept in accordance with section 130
of the Charities Act: or
e the accounts did not accord with the accounting records; or
e the accounts did not comply with the applicable requirements
concerning the form and content of accounts set out in the Charities
(Accounts and Reports) Regulations 2008 other than any requirement
7 that the accounts give a ‘true and fair’ view which is not a matter
considered as part of an independent examination.
| 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
orger to engple a proper understanding of the accounts to be reached.
Piaf delete the prs in the brackets if they do not apply.
Signed: -_ yen NN Date: | 1% .Oou -2y |
Name: iAWi fh a M |
Relevant professional
qualification(s) or body
1 Oct 2018
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IER
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(if any): | . |
1
Cw mA NS
|_Lyjwoulun er ‘Sb
Section B : Disclosure _ ; a |
Only complete if the examiner needs to highlight material matters of concern
(see CC32, Independent examination of charity accounts: directions and
guidance for examiners).
Give here brief details of |
any items that the |
examiner wishes to |
disclose. |
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.
IER
2
Oct 2018