2023-08-31-accounts - St John's Under 5's Pre-School

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St Johns Under 5's Pre-school

Charity number 1144826

A company limited by guarantee number 07734638

Annual Report and Financial Statements

for the year ended 31 August 2023

St Johns Under 5's Pre-school

Annual Report and Financial Statements for the year ended 31 August 2023

Contents	Page
Trustees' report	2 to 5
Examiner's report	6
Statement of financial activities	7
Balance sheet	8
Notes to the accounts	9 to 13

Prepared by West Yorkshire Community Accountancy Service CIO

St Johns Under 5's Pre-school

Trustees' report for the year ended 31 August 2023

Reference and administrative details of the charity, its trustees and advisors

The trustees during the financial year and up to and including the date the report was approved were: Name Position Dates Lynne Hill Chair Amanda Whitehead Treasurer Lorraine Pearson Catherine Rowbotham Jodie Hemingway Heather Thurlow Sarah Waterhouse Resigned 26 June 2023 Rochelle McNulty Laura Meer Appointed 26 June 2023 Charity number 1144826 Registered in England and Wales Company number 07734638 Registered in England and Wales Registered and principal address Bankers 125 Heckmondwike Road Unity Trust Bank Dewsbury Moor Nine Brindleyplace Dewsbury Birmingham West Yorkshire B1 2HB WF13 3NT

Independent examiner

E J Beverley FCCA West Yorkshire Community Accountancy Service CIO Stringer House 34 Lupton Street Leeds LS10 2QW

Structure, governance and management

The charity is a company limited by guarantee and was formed on 9 August 2011. It is governed by a memorandum and articles of association as amended by special resolution on 16 November 2015 and 26 June 2023. The liability of the members in the event of the company being wound up is limited to a sum not exceeding £1.

Method of recruitment and appointment of trustees

The trustees of the charity are also the directors for the purposes of company law and are appointed by the members at the AGM.

St Johns Under 5's Pre-school

Trustees' report (continued) for the year ended 31 August 2023

Objectives and activities

The charity's objects

The objects of the Pre-school are to enhance the development and education of children primarily under statutory school age by encouraging parents to understand and provide for the needs of their children through community groups and by:-

Offering appropriate play, education and care facilities and training courses, together with the right of parents to take responsibility for and to become involved in the activities of such groups, ensuring that such groups offer opportunities for all children whatever their race, culture, religion, means or ability;

Encouraging the study of the needs of such children and their families and promoting public interest in and recognition of such needs;

Instigating and adhering to and furthering the aims and objects of the Pre-school Learning Alliance.

The charity's main activities

The charity runs a sessional pre-school playgroup with children from ages 2 - 5 years.

Public benefit statement

In setting our objectives and planning our activities our trustees have given serious consideration to the Charity Commission’s general guidance on public benefit and in particular the care and education of under 5’s. Supporting Families and vulnerable children, including those from disadvantaged backgrounds and children with Special Educational needs and disabilities.

Achievements and performance

The setting was able to maintain its outstanding rating with OFSTED. Key points highlighted were our effectiveness of ensuring children with SEND and those from deprived backgrounds are supported to a high standard to meet their full potential. The setting was commended on its ability to work closely with parents and the strong relationships it builds with the parents to ensure children can quickly catch up following COVID.

The defibrillator continues to be used by the whole community and new pads have had to be purchased as it was used in a life threatening situation.

The setting continues to have a healthy waiting list and full numbers to ensure it longevity in providing the highest quality of education and care to children aged 2-5 and often from a diverse and deprived background.

Financial review

The net income for the year was £13,044, including net income of £13,020 on unrestricted funds and net income of £24 on restricted funds after transfers.

The trustees have reassessed the charity’s ability to continue for at least 12 months from the date that the accounts are approved and conclude that no material uncertainties exist that cast significant doubt on the charity’s ability to continue as a going concern.

St Johns Under 5's Pre-school

Trustees' report (continued) for the year ended 31 August 2023

Reserves policy

The charity's free reserves, excluding fixed assets, at the year end were £88,076.

It is the Pre-School's intent to maintain financial viability.

It is the aim of St Johns Under 5s Pre-School to keep 2-3 months running costs (including staff wages) in reserve to cover any unforeseen circumstances.

The sum of £40,000 plus credit interest should be set aside in a separate savings account (with Unity Trust Bank) and not drawn upon unless agreed by two officers of the committee.

These funds shall not be restricted funds, although should not been withdrawn without good reason e.g.. If there is a substantial drop in income due to low take up of child places or any large unplanned expenditure, which otherwise cannot be covered by normal working funds.

If any funds are withdrawn, they should be replaced to top up the reserves fund back to the figure of £40,000 as soon as it is financially viable to do so.

If the charities operating costs (i.e. turnover) increase substantially, then the reserve fund should be increased accordingly, in order to maintain the minimum figure of covering at least 2-3 months running costs.

In addition to the funds mentioned in the reserves policy, at the end of the financial year, we also try to hold sufficient funds to cover the operating costs for the first month of the new financial year. This is just in case there is any delay in the funding from Kirklees Council.

This policy should be reviewed on an ongoing basis.

St Johns Under 5's Pre-school

Trustees' report (continued) for the year ended 31 August 2023

Statement of trustees' responsibilities

The trustees (who are also the directors for the purposes of company law) are responsible for preparing the Trustees report and the financial statements in accordance with the applicable law and UK Accounting Standards.

Company law requires the trustees to prepare financial accounts for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for the year. In preparing these financial statements, the trustees are required to:

select suitable accounting policies and apply them consistently;

observe the methods and principles in the Charities SORP;

make judgements and estimates that are reasonable and prudent;

state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;

prepare the accounts on a going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial accounts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

This report has been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities (Charities SORP (FRS102)), and in accordance with the special provisions of the Companies Act 2006 relating to small companies.

Approved by the board of trustees on 19/02/2024

L Pearson (Trustee)

St Johns Under 5's Pre-school

Independent examiner's report to the trustees of St Johns Under 5's Preschool

I report to the charity trustees on my examination of the accounts of the charitable company for the year ended 31 August 2023, which are set out on pages 7 to 13.

Responsibilities and basis of report

As the charity's trustees of the charitable 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 charitable 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 ('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

I have completed my examination. I confirm that no material 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 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.

E J Beverley FCCA

21/02/2024

West Yorkshire Community Accountancy Service CIO

Stringer House 34 Lupton Street Leeds LS10 2QW

St Johns Under 5's Pre-school

Statement of Financial Activities

(including summary income and expenditure account) for the year ended 31 August 2023

Notes 2023 Unrestricted funds £ Income from: Grants and donations (2) 235,382 Sales and fees 8,802 Fundraising - University bursary - Other income 339 Bank interest 693 Total income 245,216 Expenditure on: Salaries, NICs and pension (3) 186,875 Payroll costs 887 Travel expenses 765 Training 384 Staff uniform 548 Food 4,611 Rent and rates 334 Equipment and resources 6,986 Insurance 2,359 Repairs and maintenance 5,826 Administration 3,673 Telephone 1,049 Subscriptions 584 Independent examination 1,222 Bank charges 197 Utilities 3,245 Depreciation 8,425 Website and IT costs 3,486 Professional fees 740 Bursary - college - Total expenditure 232,196 Net movement in funds 13,020 Fund balances brought forward 282,566 Fund balances carried forward (4) 295,586	2023 Restricted funds £ 250 - - - - - 250 - - - - - - - 226 - - - - - - - - - - - - 226 24 1,888 1,912	2023 Total funds £ 235,632 8,802 - - 339 693 245,466 186,875 887 765 384 548 4,611 334 7,212 2,359 5,826 3,673 1,049 584 1,222 197 3,245 8,425 3,486 740 - 232,422 13,044 284,454 297,498	2022 Total funds £ 244,970 15,794 1,766 2,000 - 69 264,599 218,810 904 1,693 - 420 6,784 1,139 6,475 2,711 16,268 4,117 1,036 591 1,164 235 3,688 12,109 2,371 71 1,500 282,086 (17,487) 301,941 284,454

All incoming resources and resources expended derive from continuing activities.

St Johns Under 5's Pre-school

Balance sheet

as at 31 August 2023 2023 Unrestricted £ Fixed assets Tangible assets (5) 207,510 Total fixed assets 207,510 Current assets Debtors and prepayments (6) 7,184 Cash at bank and in hand (7) 84,211 Total current assets 91,395 Current liabilities: amounts falling due within one year Creditors and accruals (8) 3,319 Total current liabilities 3,319 Net current assets / (liabilities) 88,076 Net assets 295,586 Funds Unrestricted funds 295,586 Restricted funds - Total funds 295,586	2023 Restricted £ - - - 1,912 1,912 - - 1,912 1,912 - 1,912 1,912	2023 Total £ 207,510 207,510 7,184 86,123 93,307 3,319 3,319 89,988 297,498 295,586 1,912 297,498	2022 Total £ 215,935 215,935 6,523 65,980 72,503 3,984 3,984 68,519 284,454 282,566 1,888 284,454

For the year ending 31 August 2023 the charitable company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the charitable company to obtain an audit of its accounts for the year in question in accordance with section 476. The trustees (who are also the directors for the purposes of company law) acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime and with FRS 102 (effective January 2019).

The financial statements were approved by the board of trustees on 19/02/2024

L Pearson (Trustee)

Notes to the accounts

St Johns Under 5's Pre-school

for the year ended 31 August 2023

1 Accounting policies

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 note(s) to these accounts. The financial statements 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) (effective 1 January 2019) and with the Charities Act 2011.

The charity constitutes a public benefit entity as defined by FRS 102.

There has been no change to the accounting policies since last year. No changes have been made to the accounts for previous years.

Going concern

The trustees are satisfied that there are no material uncertainties about the charity's ability to continue.

Incoming resources

All incoming resources are included in the Statement of Financial Activities (SOFA) when the charity becomes entitled to the resources, if it is more likely than not that the trustees will receive the resources and the monetary value can be measured with sufficient reliability.

Grants and donations

Grants and donations are only included in the SOFA when the charity has unconditional entitlement to the resources.

Where grants are related to performance and specific deliverables, they are accounted for as the charity earns the right to consideration by its performance.

Expenditure and liabilities

Expenditure is recognised on an accrual basis as a liability is incurred. Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out the resources and the amount of the obligation can be measured with reasonable certainty.

Taxation

As a charity the organisation benefits from rates relief and is generally exempt from income tax and capital gains tax but not from VAT. Irrecoverable VAT is included in the cost of those items to which it relates.

Tangible fixed assets

Tangible fixed assets costing more than £500 are capitalised and included at cost including any incidental expenses of acquisition. Gifted assets are shown at the value to the charity on receipt. Depreciation is provided on all tangible fixed assets at rates calculated to write off the cost on a straight line basis over their expected useful economic lives as follows:

Freehold land: nil Freehold buildings: over 50 years Fixtures and Fittings: over 5 years Freehold property improvements: over 15 years Equipment: over 5 years

Pensions

The charity operates a defined contribution scheme for the benefit of its employees. The costs of contributions are recognised in the year they are payable.

St Johns Under 5's Pre-school

Notes to the accounts continued

for the year ended 31 August 2023

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity.

Restricted funds are subjected to restrictions on their expenditure imposed by the donor or through the terms of an appeal.

Further explanation of the nature and purpose of each fund is included in the notes to the accounts.

Leases

Rents under operating leases are charged on a straight line basis over the lease term or to an earlier date if the lease can be determined without financial penalty.

2 Grants and donations Kirklees Free Early Education & Care (FFEC) HMRC Statutory Sick Pay Other donations 3 Staff costs and numbers Gross salaries Social security costs Employment allowance Pensions	2023 Unrestricted funds £ 235,326 - 56 235,382	2023 Restricted funds £ - - 250 250	2023 Total funds £ 235,326 - 306 235,632 2023 £ 178,659 9,534 (4,123) 2,805 186,875	2022 Total funds £ 243,915 1,055 - 244,970 2022 £ 208,421 11,743 (4,843) 3,489 218,810

The average number of employees during the year was 13.4, being an average of 10 full time equivalent (2022: 14.3, 10 FTE). There were no employees with emoluments above £60,000.

Defined contribution pension scheme Costs of the scheme to the charity for the year Amount of any contributions outstanding at the year end 4 Restricted funds Balance b/f Incoming £ £ Defibrillator fund 1,888 250 1,888 250	Outgoing £ 226 226	2023 £ 2,805 536 Transfers £ - -	2022 £ 3,489 641 Balance c/f £ 1,912 1,912

Fund name Purpose of restriction

Defibrillator fund Money received from fund raising towards defibrillator and related costs.

St Johns Under 5's Pre-school

Notes to the accounts continued

for the year ended 31 August 2023

5	Tangible assets Cost At 1 September 2022 Additions At 31 August 2023 Depreciation At 1 September 2022 Charge for year At 31 August 2023 Net book value At 31 August 2023 At 31 August 2022	£ 47,673 - 47,673 46,515 390 46,905 768 1,158 Equipment	£ 50,799 - 50,799 24,512 3,556 28,068 22,731 26,287 Property improvemen	£ 223,988 - 223,988 35,498 4,479 39,977 184,011 188,490 Property	£ 4,396 - 4,396 4,396 - 4,396 - - Fixtures and Fittings	Total £ 326,856 - 326,856 110,921 8,425 119,346 207,510 0 - 215,935 -0.25

Security over assets

Kirklees Council hold a 25 year charge over the freehold property at 125 Heckmondwike Road to the value of £180,000 in relation to the funding provided to extend the property in 2015.

6 Debtors and prepayments Prepayments Other debtors 7 Cash at bank and in hand Cash at bank Cash in hand 8 Creditors and accruals Bank loans and overdrafts Accruals Taxation and social security Other creditors	2023 £ 2,265 4,919 7,184 2023 £ 86,034 89 86,123 2023 £ 120 1,902 761 536 3,319	2022 £ 1,680 4,843 6,523 2022 £ 65,891 89 65,980 2022 £ 28 1,164 2,151 641 3,984

Notes to the accounts continued

St Johns Under 5's Pre-school

for the year ended 31 August 2023

9 Related party transactions

Trustee expenses

No trustee received any expenses during this year or the previous year.

Trustee remuneration and benefits

Details of remuneration and benefits Name of trustee Role Legal authority Lorraine Pearson Manager Governing document Paula Rayner Childcare practitioner Governing document Jodie Hemingway Room leader Governing document Laura Meer Admin work Governing document	2023 £ 18,505 - 12,123 1,336 31,963	2022 £ 21,689 17,466 17,757 - 56,912

Remuneration and benefits received by key management personnel

The total employee benefits received by key management personnel were £18,505 (previous year: £21,689).

Other related party transactions

Other transactions with trustees or related parties

Other transactions with trustees or related parties Laura Pearson 10 Operating leases Within one year In the second to fifth years inclusive Expected future minimum lease payments over the remaining life of the lease, analysed into the period in which the commitment falls due: Employee Name of trustee or related party Relationship to charity Description of transaction Relative of Lorraine Pearson (Trustee)	2023 £ 26,626 26,626 2023 £ 394 131 525	2022 £ 24,334 24,334 2022 £ 394 525 919

St Johns Under 5's Pre-school

Statement of Financial Activities including comparatives for all funds (including summary income and expenditure account) for the year ended 31 August 2023

2023 2022 Unrestricted Unrestricted funds funds £ £ Income Grants and donations 235,382 244,970 Sales and fees 8,802 15,794 Fundraising - - University bursary - 2,000 Other income 339 - Bank interest 693 69 Total income 245,216 262,833 Expenditure Salaries, NICs and pension 186,875 218,810 Payroll costs 887 904 Travel expenses 765 1,693 Training 384 - Staff uniform 548 420 Food 4,611 6,784 Rent and rates 334 1,139 Equipment and resources 6,986 6,475 Insurance 2,359 2,711 Repairs and maintenance 5,826 14,142 Administration 3,673 4,117 Telephone 1,049 1,036 Subscriptions 584 591 Independent examination 1,222 1,164 Bank charges 197 235 Utilities 3,245 3,688 Depreciation 8,425 12,109 Website and IT costs 3,486 2,371 Professional fees 740 71 Bursary - college - 1,500 Total expenditure 232,196 279,960 Net movement in funds 13,020 (17,127) Fund balances brought forward 282,566 299,693 Fund balances carried forward 295,586 282,566	2023 Restricted funds £ 250 - - - - - 250 - - - - - - - 226 - - - - - - - - - - - - 226 24 1,888 1,912	2022 Restricted funds £ - - 1,766 - - - 1,766 - - - - - - - - - 2,126 - - - - - - - - - - 2,126 (360) 2,248 1,888	2023 Total funds £ 235,632 8,802 - - 339 693 245,466 186,875 887 765 384 548 4,611 334 7,212 2,359 5,826 3,673 1,049 584 1,222 197 3,245 8,425 3,486 740 - 232,422 13,044 284,454 297,498	2022 Total funds £ 244,970 15,794 1,766 2,000 - 69 264,599 218,810 904 1,693 - 420 6,784 1,139 6,475 2,711 16,268 4,117 1,036 591 1,164 235 3,688 12,109 2,371 71 1,500 282,086 (17,487) 301,941 284,454