2023-03-31-accounts - Newtown Community Learning Centre

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

Registered number: 05298050 Charity number: 1113136

NEWTOWN COMMUNITY LEARNING CENTRE UNAUDITED TRUSTEES’ REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

SeavorChartered Chartered Accountants & Tax Advisers Clifford Court Cooper Way Carlisle Cumbria CA3 0JG

NEWTOWN COMMUNITY LEARNING CENTRE CONTENTS OF THE UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

	Page
Reference and administrative details of the charity, its trustees and advisers	1
Trustees’ report	2 - 5
Independent examiner’s report	6
Statement of financial activities	7
Balance sheet	8 - 9
Notes to the financial statements	10 - 16

NEWTOWN COMMUNITY LEARNING CENTRE REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2023

Trustees	Mrs K Robertson
	Mrs S King
	Mrs S M Dickman
Registered number	05298050
Charity number	1113136
Registered office	First Steps Day Nursery
	Newtown Road
	Carlisle
	Cumbria
	CA2 7LW
Company secretary	Mrs S King
Accountants	SeavorChartered
	Chartered Accountants & Tax Advisers
	Clifford Court
	Cooper Way
	Carlisle
	Cumbria
	CA3 0JG
Bankers	Lloyds Bank Plc
	25 Gresham Street
	London
	EC2V 7HN
Solicitors	Burnetts
	Victoria House
	Wavell Drive
	Rosehill
	Carlisle
	Cumbria
	CA1 2ST

NEWTOWN COMMUNITY LEARNING CENTRE TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2023

The Trustees (who are also directors of the charity for the purposes of the Companies Act) present their annual report together with the financial statement of Newtown Community Learning Centre (the charity) for the year ended 31 March 2023.

The financial statements comply 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 (FRS102).

Since the charity qualifies as small under section 383, the strategic report required of medium and large companies under The Companies Act 2006 (Strategic Report and Director’s Report) Regulations 2013 is not required.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The organisation is a charitable company limited by guarantee. It was incorporated on 26 November 2004 in the name of Carlisle West Children’s Centre and began operating on 1 December 2004. The charity’s name was changed by way of a special resolution dated 25 April 2005 to Newtown Community Learning Centre. The company was established under a Memorandum of Association which established the objects and powers of the charitable company and it is governed under its Articles of Association. In the event of being wound up the charity must donate any property left after settling its debts to any other charity with similar objects, or dispose of its assets in any other way permitted by the Charity Commission.

Recruitment and appointment of Trustees.

The directors of the company are also the charity trustees for the purposes of charity law.

The trustees appointed on the incorporation of the charity were the members of the voluntary management committee of the organisation which the charity took over. Further trustees are appointed as and when the charity identifies the need for additional expertise or skills.

The charity must have between three and ten trustees at any one time, and one third of the trustees must retire by rotation at each AGM. Each trustee retiring in this way is entitled to be reappointed.

The trustees have chosen to act as trustees due to their belief in the need to extend family services to their community from the school campus and their understanding that they should adopt a company limited by guarantee as the best vehicle to achieve their objectives.

Policies adopted for the induction and training of Trustees

Trustees read and understand their responsibilities as outlined by the Charity Commission and Companies House standard guidelines for people in their roles. They also bring many skills to the Chairty as a result of their existing roles as head teachers, school budget managers and educational consultants. Where necessary, skills are brought in to supplement the experience and knowledge of the Board.

NEWTOWN COMMUNITY LEARNING CENTRE TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2023

Risk management

The board adopt a continuing risk assessment approach to all their operating activities and employ staff with their appropriate skills to provide regular reports, prompting review and actions as appropriate. Comprehensive insurance cover is also in place.

Connection organisation

Newtown Community Learning Centre is a partner in Children’s Centre for Carlisle West (The Children’s Centre). Other partners include bodies such as Living Well Trust and Newtown School.

OBJECTIVES AND ACTIVITIES

Policies and objectives

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit and in particular to its supplementary guidance relevant to the charity’s objectives described below.

The charity’s objectives are:

To promote for the benefit of the inhabitants of Newtown without distinction of sex, sexual orientation, race or political, religious or other opinions, by associating together the said inhabitants and the local authorities, voluntary and other organisations in a common effort to advance education and to provide facilities in the interests of social welfare for recreation and other leisure time occupations with the objects of improving the conditions of life of the said inhabitants.
To establish or secure the establishment of a community centre and to maintain and manage the same (whether along or in cooperation with any local authority or person or body) in furtherance of these objects.

How our objectives deliver public benefit

The charity provides day care places and manages facilities on Newtown School Campus for the benefit of the local community.

During the period covered by this report the charity has the following key objectives:

Raise the occupancy of the day care setting known as First Steps Day Nursery and work towards sustainability.
Maintain and improve where possible the high quality of care provided to children and families using the day care setting.
Extend the care provided at the nursery to include older children in after school clubs.
Work in partnership with Carlisle West Children’s Centre to provide family services to the community.
Extend the use of the facilities on the school campus to the wider community.

Achievements and performance

Our occupancy continues to remain in line with current staffing levels. We are working very hard to improve our provision to achieve an outstanding in our next OFSTED inspection.

NEWTOWN COMMUNITY LEARNING CENTRE TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2023

FINANCIAL REVIEW

Financial position.

The charity was in a strong financial position at the 31 March 2023 with cash reserves of £217,145 (2022: £204,386). The reserves are currently held within the Lloyds Bank Account. The trustees are currently exploring splitting the reserves balance between a number of banks to ensure the charity qualifies for the Deposit Protection Scheme.

Reserves policy

The charity’s activities are covered by comprehensive insurance policies which include financial cover for the charity in the event of an unforeseeable loss of earnings. However, the trustees also consider that it is advisable to build up reserves over time.

The trustees reviewed the charity’s reserves policy and feel it is appropriate to generate free reserves equal to three months’ project costs in order to safeguard against the effect of unforeseeable or uninsured events. The balance in the accounts show unrestricted funds of £240,836 (2022: £228,821) and a balance on restricted funds of £2,931 (2022: £2,931).

The charity may be in a position to achieve this target within the next year, although this aim may conflict with the trustees continued commitment to provide services for the local community at affordable levels.

To build towards the target, the trustees intend to work to bring in complementary funding streams, as well as continuing to build community usage of campus facilities, and improving the sustainability of the day care setting.

Plans for our future

Our future plans will be to review the key objective and work towards the following:

Consolidate the good progress made by the day care setting and continue to work to maintain and improve the quality of care for the public benefit.
Continue to work positively with the children’s centre to widen access by families to a developing range of family services.
4 -

NEWTOWN COMMUNITY LEARNING CENTRE TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2023

TRUSTEES’ RESPONSIBILITIES STATEMENT

The Trustees (who are also directors of Newtown Community Learning Centre for the purpose of company law) are responsible for preparing the Trustees’ report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year. Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming of resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to:

Select suitable accounting policies and then apply them consistently;
Make judgements and estimates that are reasonable and prudent;
observe the methods and principals in the Charities SORP;
Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006.

They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In preparing this report, the Trustees have taken advantage of the small companies’ exemptions provided by section 415A of the companies Act 2006.

This report was approved by the Trustees, on 20 December 2023 and is signed on their behalf by:

Mrs K Robertson, Chair

NEWTOWN COMMUNITY LEARNING CENTRE INDEPENDENT EXAMINER’S REPORT FOR THE YEAR ENDED 31 MARCH 2023

INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF NEWOTWN COMMUNITY LEARNING CENTRE (the ‘charity’)

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

This report is made solely to the charity’s Trustees, as a body, in accordance with Part 4 of the charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the charity’s Trustees those matters I am required to state to them in an independent examiner’s report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity’s Trustees as a body, for my work or for this report.

RESPONSIBILITIES AND BASIS OF REPORT

As the Trustees of the charity you are responsible for the preparation of the accounts in accordance with the Charities Act 2011 (“the Act”).

I 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, I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

INDEPENDENT EXAMINER'S STATEMENT

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination which gives me cause to believe that in, any material respect:

accounting records were not kept in accordance with section 130 of the Act; or
the accounts did not accord with the accounting records; or
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 that the accounts give a ‘true and fair’ view which is not a matter considered as part of an independent examination.

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.

Graeme Seavor FCA CTA

20 December 2023

SeavorChartered

Chartered Accountants & Tax Advisers Clifford Court Cooper Way Carlisle Cumbria CA3 0JG

NEWTOWN COMMUNITY LEARNING CENTRE STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023

Unrestricted funds 2023 INCOME FROM Note £ Donations and legacies - Investments 2 22 Charitable activities 3 232,053 Other trading activities 4 1,000 TOTAL INCOME 233,075 EXPENDITURE ON: Raising funds - Charitable activities 5 217,852 Governance 6 3,208 Total expenditure 221,060 Net income / (expenditure) before other gains and losses 12,015 Net gains / (losses) on investments - Net movement in funds 12,015 RECONCILIATION OF FUNDS Total funds brought forward 228,821 TOTAL FUNDS carried forward 240,836	Restricted funds 2023 £ - - - - - - - - - - - - 2,931 2,931	Total Funds 2023 £ - 22 232,053 1,000 233,075 - 217,852 3,208 221,060 12,015 - 12,015 231,752 243,767	Total funds 2022 £ - 21 222,577 - 222,598 - 193,972 3,030 197,002 25,596 - 25,596 206,156 231,752

NEWTOWN COMMUNITY LEARNING CENTRE BALANCE SHEET FOR THE YEAR ENDED 31 MARCH 2023

2023 £ £ 19,238 17,250 217,145 234,395 (9,866) (9,866) 224,529 243,767 243,767 2,931 2,931 240,836 240,836 243,767	2023 £ £ 19,238 17,250 217,145 234,395 (9,866) (9,866) 224,529 243,767 243,767 2,931 2,931 240,836 240,836 243,767	2022 £ £ 19,526 14,877 204,386 219,263 (7,037) (7,037) 212,226 231,752 231,752 2,931 2,931 228,821 228,821 231,752	2022 £ £ 19,526 14,877 204,386 219,263 (7,037) (7,037) 212,226 231,752 231,752 2,931 2,931 228,821 228,821 231,752
234,395 (9,866)		219,263 (7,037)
(9,866) 2,931		(7,037) 2,931
	243,767 243,767 2,931 240,836 243,767		231,752 231,752 2,931 228,821 231,752
240,836		228,821

NEWTOWN COMMUNITY LEARNING CENTRE BALANCE SHEET FOR THE YEAR ENDED 31 MARCH 2023

The Trustees consider that the charity is entitled to exemption from the requirement to have an audit under the provisions of section 477 of the Companies Act 2006 (“the Act”) and members have not required the charity to obtain an audit for the year in question in accordance with section 476 of the Act.

The Trustees acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and for preparing financial statements which give a true and fair view of the state of affairs of the charity as at 31 March 2023 and of its net resources expended for the year in accordance with the requirements of sections 394 and 395 of the Act and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charity.

The financial statements have been prepared in accordance with the provisions applicable to small companies within Part 15 of the Companies Act 2006 and in accordance with the Financial Reporting Standard for Smaller Entities (effective January 2015).

The financial statements were approved by the Trustees on 20 December 2023 and signed on their behalf, by:

Mrs K Robertson, Chair

NEWTOWN COMMUNITY LEARNING CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

1. ACCOUNTING POLICIES

1.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with Accounting and Reporting by Charities:

Statements of Recommended Practice applicable to charities preparing their account in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102), the Charities SORP (FRS 102) and the Companies Act 2006.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

1.2 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.

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

Investment income, gains and losses are allocated to the appropriate fund.

1.3 Income

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

Other Income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

1.4 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to make payment to a third party, it is probable that settlement will be required, and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accrual’s basis. All expenses including support costs and governance costs are allocated to the applicable expenditure headings.

Governance costs are those incurred in connection with administration of the charity and compliance with constitutional and statutory requirements.

1.5 Pensions

The charity operates a defined pension contribution scheme. Contributions are charged to the funds account as they become payable in accordance with the rules of the scheme.

10 -

NEWTOWN COMMUNITY LEARNING CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

1. ACCOUNTING POLICIES (continued)

1.6 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

1.7 Tangible fixed assets and depreciation

All assets costing more than £300 are capitalised.

Tangible fixed assets are stated at cost less depreciation. Depreciation on other tangible fixed assets is provided at rates calculated to write off the cost of those assets, less their estimated residual value, over their expected useful lives on the following bases:

Plant and machinery - 25% reducing balance Fixtures and fittings - 25% reducing balance Computer equipment - 25% reducing balance

1.8 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered.

Prepayments are valued at the amount repaid net of any trade discounts due.

1.9 Cash at Bank and in Hand

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

1.10 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimate reliably. Liabilities are recognised at the amount that the charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges.

1.11 Financial instruments

Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as either financial assets, financial liabilities, or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

11 -

NEWTOWN COMMUNITY LEARNING CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

2. Investment income

2. Investment income
Bank interest TOTAL INVESTMENT INCOME 3. Income from charitable activities Nursery income 4. Income from other trading activities Grant income 5. Expenditure on Charitable activities Wages and salaries Pension costs Premises expenses Insurances Office expenses Direct nursery expenses Repairs and maintenance Sundry Depreciation TOTAL	Unrestricted funds 2023 £ 22 22 Unrestricted funds 2023 £ 232,053 Unrestricted funds 2023 £ 1,000 Unrestricted funds 2023 £ 172,211 2,787 15,382 1,551 1,644 8,475 8,066 2,197 5,539 217,852		Total Funds 2023 £ 22 22 Total funds 2023 £ 232,053 Total funds 2023 £ 1,000 Total funds 2023 £ 172,211 2,787 15,382 1,551 1,644 8,475 8,066 2,197 5,539 217,852	Total Funds 2022 £ 21 21 Total Funds 2022 £ 222,577
		Unrestricted funds 2023 £ 1,000		Total Funds 2022 £ -
		Unrestricted funds 2023 £ 172,211 2,787 15,382 1,551 1,644 8,475 8,066 2,197 5,539 217,852		Total funds 2022 £ 153,284 2,691 9,634 3,801 1,377 9,562 4,366 2,748 6,509 193,972

3. Income from charitable activities

4. Income from other trading activities

5. Expenditure on Charitable activities

12 -

NEWTOWN COMMUNITY LEARNING CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

6. Governance costs

Independent examination fee Accountancy	Unrestricted funds 2023 £ 600 2,608 3,208	Total Funds 2023 £ 600 2,608 3,208	Total Funds 2022 £ 1,944 1,086 3,030

7. Analysis of resources expended by expenditure type

Nursery Expenditure on governance	Staff Costs 2023 £ 174,998 - 174,998	Depreciation 2023 £ 5,539 - 5,539	Other Costs 2023 £ 37,315 3,208 40,523	Total 2023 £ 217,852 3,208 221,060	Total 2022 £ 193,972 3,030 197,002

8. Net incoming / (resources expended)

Depreciation of tangible fixed assets – owned by the charity	Total funds 2023 £ 5,539 5,539	Total Funds 2022 £ 6,509 6,509

During the current and prior year, no Trustees received any remuneration, benefits in kind or any reimbursement of expenses.

9. Independent Examiners remuneration

The Independent Examiners remuneration amounts to an Independent Examination fee of £600 (2022: £1,944) and other services of £2,608 (2022: £1,086).

13 -

NEWTOWN COMMUNITY LEARNING CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

10. Staff Costs

Wages and salaries Social security costs Employer’s pension costs TOTAL The average monthly number of employees during the year was as follows: Nursery TOTAL	2023 £ 165,259 6,952 2,787 174,998 2023 £ 11 11	2022 £ 147,175 6,109 2,691 155,975 2022 £ 11 11

No employee received remuneration in the current or previous year amounting to more than £60,000

11. Tangible fixed assets

Cost As at 1 April 2022 Additions Disposals As at 31 March 2023 Depreciation As at 1 April 2022 Provided during the period As at 31 March 2023 Net Book Value As at 31 March 2023 As at 31 March 2022		Plant and machinery £ 42,405 - - 42,405 31,135 2,818 33,953 8,452 11,270	Fixtures and fittings £ 53,082 5,251 - 58,333 45,274 2,609 47,883 10,450 7,808	Computer equipment £ 1,918 - - 1,918 1,470 112 1,582 336 448	Total £ 97,405 5,251 - 102,656 77,879 5,539 83,418 19,238 19,526

14 -

NEWTOWN COMMUNITY LEARNING CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

12. Debtors

12. Debtors
Trade debtors Prepayments and accrued income 13. Creditors: Amounts falling due within one year Trade creditors Other taxation and social security Other creditors Accruals and deferred income 14. Statement of funds Brought Forward Incoming resources Unrestricted funds £ £ General fund 228,821 233,075 228,821 233,075 Restricted funds Restricted fund 2,931 - 2,931 - TOTAL OF FUNDS 231,752 233,075	Resources expended £ (221,060) (221,060) - - (221,060)		2023 £ 17,250 - 17,250 2023 £ - 5,752 514 3,600 9,866 Gains/ (Losses) £ - - - - -		2022 £ 13,327 1,550 14,877 2022 £ 947 1,808 550 3,732 7,037 Carried Forward £ 240,836 240,836 2,931 2,931 243,767

13. Creditors: Amounts falling due within one year

14. Statement of funds

15 -

NEWTOWN COMMUNITY LEARNING CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

15. Related party transactions

There are no related party transactions which are required to be disclosed in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102), the Charities SORP (FRS 102) and the Companies Act 2006.

16. Controlling party

The charity was under the control of the Trustees.

17. Share capital

The company is limited by guarantee and does not have a share capital.

18. Members liability

Every member of the company undertakes to contribute such amount as may be required (not exceeding £1) to the company’s assets if it should be wound up whilst a member, or within one year after ceasing as a member, for payment of the company’s debts and liabilities contracted before ceasing to be a member, and of the costs, charges and expenses of winding up.

19. General information

Newtown Community Learning Centre is a private company, limited by guarantee without share capital and has an exemption not to use the word “Limited”, incorporated in England & Wales, registered number 05298050. The registered office is First Steps Day nursery, Newtown Road, Carlisle, CA2 7LW. The charity is a Public Benefit Entity.

16 -