Company registration number: 07904951 Charity registration number: 1150200
Hollingbury Park Playgroup Limited
(A company limited by guarantee)
Annual Report and Financial Statements
for the Year Ended 31 March 2021
Hollingbury Park Playgroup Limited
Contents
| Reference and Administrative Details | 1 |
|---|---|
| Strategic Report | 2 to 3 |
| Trustees' Report | 4 to 6 |
| Independent Examiner's Report | 7 |
| Statement of Financial Activities | 8 |
| Balance Sheet | 9 |
| Notes to the Financial Statements | 10 to 15 |
Hollingbury Park Playgroup Limited
Reference and Administrative Details
Trustees Teresa Lee Deborah Parker Elishia Thomas-Simpson Julie Mepham Stephanie Wooler Megan Winder Harry Freeman Secretary Teresa Lee Charity Registration Number 1150200 Company Registration Number 07904951 The charity is incorporated in Wales. Registered Office Hollingbury Park Pavillion Ditchling Road Brighton Sussex BN1 7HS Independent Examiner SRC-Time Ltd 2nd Floor Stanford Gate South Road Brighton East Sussex BN1 6SB
Page 1
Hollingbury Park Playgroup Limited
Strategic Report for the Year Ended 31 March 2021
The trustees, who are directors for the purposes of company law, present their strategic report for the year ended 31 March 2021, in compliance with s414C of the Companies Act 2006.
Achievements and performance
2020/2021 has been a challenging year due to the Covid-19 pandemic, with many children not attending due to isolating or parents choosing not to send them during lockdown periods. This has resulted in a loss of top up and general fees, although luckily we received the government funding for remaining open to those who wished to attend. We did however end the financial year 20/21 with a loss.
We have supported the children and their families throughout the pandemic. We have talked to the children about it, giving support where needed. We have also supported parents through telephone conversations. We have an open door approach allowing parents to ring anytime they feel they need to and someone will always make themselves available.
We have quite a few children leaving to go to school in September but have new children replacing them. Although we will not be up to full capacity in September, we continue to have enquiries and visits from prospective parents, so anticipate that attendance will increase.
We have a new EYFS starting in September which focuses more on interaction between staff and children and much less on paperwork and constant assessments. We are all looking forward to working with the new framework.
Financial review
The trustees receive annual reports on operational and financial matters. These provide a formal check that the charity is performing legally, safely and within its means.
All Trustees have assessed major risks to which the Charity is exposed, in particular, those related to the operations and finances of fund held and are satisfied that systems are in place to mitigate exposure.
The Charity holds its funds at HSBC bank and is satisfied that they have procedures in place to ensure funds are held securely. The business is funded by fees from parents and carers and from the Early Years Entitlement Provision for two (where applicable), three- and four-year olds.
The Income received by the charity is applied to various running costs ranging from staff wages, rent, supplies, equipment and general running costs.
The trustees have established a policy of maintaining an appropriate level of reserves to enable the adequate function of the charity in order to maximise the charitable work that it carries out. The trustees review the level of reserves at regular intervals as a part of their annual review of the operational and financial matters reports which they receive.
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Hollingbury Park Playgroup Limited
Strategic Report for the Year Ended 31 March 2021
Policy on reserves
The trustees have established a policy of maintaining an appropriate level of reserves to enable the adequate function of the charity in order to maximise the charitable work that it carries out. The trustees review the level of reserves at regular intervals as a part of their annual review of the operational and financial matters reports which they receive.
The strategic report was approved by the trustees of the charity on 12 August 2021 and signed on its behalf by:
Page 3
Hollingbury Park Playgroup Limited
Trustees' Report
Structure, governance and management
The Trustees meet annually to discuss and approve the company accounts. The Governing Document —PLA Constitution 2008 are also approved at the AGM along with election of Trustees to the board are carried out at the AGM.
All staff and Trustees are required to have a Disclosure and Barring Service (DBS) check in line with statutory requirements and to be at the required appropriate level for supervision and guidance of the children in our care.
The general manager reports to the trustees on all matters relating to the running of the playgroup and financial matters concerning the Charity.
Objectives and activities
The company is limited by guarantee and its objectives are to provide quality care and education for children in the local community aged from two years to primary school age, following Statutory Framework for the Early Year Foundation Stage.
Achievements and performance
2020/2021 has been a challenging year due to the Covid-19 pandemic, with many children not attending due to isolating or parents choosing not to send them during lockdown periods. This has resulted in a loss of top up and general fees, although luckily we received the government funding for remaining open to those who wished to attend. We did however end the financial year 20/21 with a loss.
We have supported the children and their families throughout the pandemic. We have talked to the children about it, giving support where needed. We have also supported parents through telephone conversations. We have an open door approach allowing parents to ring anytime they feel they need to and someone will always make themselves available.
We have quite a few children leaving to go to school in September but have new children replacing them. Although we will not be up to full capacity in September, we continue to have enquiries and visits from prospective parents, so anticipate that attendance will increase.
We have a new EYFS starting in September which focuses more on interaction between staff and children and much less on paperwork and constant assessments. We are all looking forward to working with the new framework.
Page 4
Hollingbury Park Playgroup Limited
Trustees' Report
Financial review
The trustees receive annual reports on operational and financial matters. These provide a formal check that the charity is performing legally, safely and within its means.
All Trustees have assessed major risks to which the Charity is exposed, in particular, those related to the operations and finances of fund held and are satisfied that systems are in place to mitigate exposure.
The Charity holds its funds at HSBC bank and is satisfied that they have procedures in place to ensure funds are held securely. The business is funded by fees from parents and carers and from the Early Years Entitlement Provision for two (where applicable), three- and four-year olds.
The Income received by the charity is applied to various running costs ranging from staff wages, rent, supplies, equipment and general running costs.
The trustees have established a policy of maintaining an appropriate level of reserves to enable the adequate function of the charity in order to maximise the charitable work that it carries out. The trustees review the level of reserves at regular intervals as a part of their annual review of the operational and financial matters reports which they receive.
Policy on reserves
The trustees have established a policy of maintaining an appropriate level of reserves to enable the adequate function of the charity in order to maximise the charitable work that it carries out. The trustees review the level of reserves at regular intervals as a part of their annual review of the operational and financial matters reports which they receive.
The annual report was approved by the trustees of the charity on 12 August 2021 and signed on its behalf by:
Statement of Trustees' Responsibilities
The trustees (who are also the directors of Hollingbury Park Playgroup Limited for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
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 its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
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Hollingbury Park Playgroup Limited
Trustees' Report
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.
Trustees and officers
The trustees and officers serving during the year and since the year end were as follows:
Trustees: Teresa Lee Deborah Parker Elishia Thomas-Simpson Julie Mepham Stephanie Wooler (appointed 30 November 2020) Megan Winder (appointed 30 November 2020) Harry Freeman (appointed 30 November 2020)
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Hollingbury Park Playgroup Limited
Independent Examiner's Report to the trustees of Hollingbury Park Playgroup Limited ("the Company")
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2021.
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 Hollingbury Park Playgroup Limited 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
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:
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accounting records were not kept in respect of Hollingbury Park Playgroup Limited as required by section 386 of the 2006 Act; or
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the accounts do not accord with those records; or
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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
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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.
...................................... Mr Richard Wernick CTA
2nd Floor Stanford Gate South Road Brighton East Sussex BN1 6SB
12 August 2021
Page 7
Hollingbury Park Playgroup Limited
Statement of Financial Activities for the Year Ended 31 March 2021 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)
| Unrestricted | Total | |||
|---|---|---|---|---|
| funds | 2021 | |||
| Note | £ | £ | ||
| Income and Endowments from: | ||||
| Other income | 3 | 99,511 | 99,511 | |
| Total income | 99,511 | 99,511 | ||
| Expenditure on: | ||||
| Charitable activities | 4 | (103,062) | (103,062) | |
| Total expenditure | (103,062) | (103,062) | ||
| Net expenditure | (3,551) | (3,551) | ||
| Net movement in funds | (3,551) | (3,551) | ||
| Reconciliation of funds | ||||
| Total funds brought forward | 14,862 | 14,862 | ||
| Total funds carried forward | 12 | 11,311 | 11,311 | |
| Unrestricted | Total | |||
| funds | 2020 | |||
| Note | £ | £ | ||
| Income and Endowments from: | ||||
| Other income | 3 | 108,402 | 108,402 | |
| Total income | 108,402 | 108,402 | ||
| Expenditure on: | ||||
| Charitable activities | 4 | (107,566) | (107,566) | |
| Total expenditure | (107,566) | (107,566) | ||
| Net income | 836 | 836 | ||
| Net movement in funds | 836 | 836 | ||
| Reconciliation of funds | ||||
| Total funds brought forward | 14,026 | 14,026 | ||
| Total funds carried forward | 12 | 14,862 | 14,862 |
All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2020 is shown in note 12.
The notes on pages 10 to 15 form an integral part of these financial statements. Page 8
Hollingbury Park Playgroup Limited
(Registration number: 07904951) Balance Sheet as at 31 March 2021
| 2021 | 2020 | |||
|---|---|---|---|---|
| Note | £ | £ | ||
| Current assets | ||||
| Debtors | 9 | 1,171 | 379 | |
| Cash at bank and in hand | 13,405 | 17,557 | ||
| 14,576 | 17,936 | |||
| Creditors: Amounts falling due within one year | 10 | (3,265) | (3,074) | |
| Net assets | 11,311 | 14,862 | ||
| Funds of the charity: | ||||
| Unrestricted income funds | ||||
| Unrestricted funds | 11,311 | 14,862 | ||
| Total funds | 12 | 11,311 | 14,862 |
For the financial year ending 31 March 2021 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
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The members have not required the charity to obtain an audit of its accounts for the year in question in accordance with section 476; and
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The directors 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.
The financial statements on pages 8 to 15 were approved by the trustees, and authorised for issue on 12 August 2021 and signed on their behalf by:
The notes on pages 10 to 15 form an integral part of these financial statements. Page 9
Hollingbury Park Playgroup Limited
Notes to the Financial Statements for the Year Ended 31 March 2021
1 Charity status
The charity is a charity limited by guarantee and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation. The charity is incorporated in England and Wales.
The address of its registered office is: Hollingbury Park Pavillion Ditchling Road Brighton Sussex BN1 7HS
These financial statements were authorised for issue by the trustees on 12 August 2021.
2 Accounting policies
Statement of compliance
The financial statements have been prepared in accordance with 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)) (issued in October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Basis of preparation
Hollingbury Park Playgroup Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
Going concern
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity.
Exemption from preparing a cash flow statement
The charity adopted Bulletin 1 published on 2 February 2016 and have therefore not included a cash flow statement in these financial statements.
Income and endowments
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 the income receivable can be measured reliably.
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Hollingbury Park Playgroup Limited
Notes to the Financial Statements for the Year Ended 31 March 2021
Expenditure
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
Support costs
Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.
Governance costs
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s meetings and reimbursed expenses.
Taxation
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.
Fund structure
Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherance of the objectives of the charity.
Financial instruments
Classification
Financial assets and financial liabilities are recognised when the charity becomes a party to the contractual provisions of the instrument.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the charity after deducting all of its liabilities.
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Hollingbury Park Playgroup Limited
Notes to the Financial Statements for the Year Ended 31 March 2021
3 Other income
| Unrestricted | |||
|---|---|---|---|
| funds | Total | ||
| General | funds | ||
| £ | £ | ||
| Fees and supplies | 98,540 | 98,540 | |
| Total for 2021 | 98,540 | 98,540 | |
| Total for 2020 | 106,955 | 106,955 |
During the year the Charity received funding totalling £90,278 (2020: £76,373) from Brighton and Hove City Council as part of the Early Years Free Entitlement (EYFE) scheme. The funds are used towards providing services carried out by the charity and are designated towards such use.
4 Expenditure on charitable activities
| Unrestricted | ||||
|---|---|---|---|---|
| funds | Total | |||
| General | funds | |||
| Note | £ | £ | ||
| Governance costs | 5 | 103,062 | 103,062 | |
| Total for 2020 | 107,566 | 107,566 |
In addition to the expenditure analysed above, there are also governance costs of £103,062 (2020 - £107,567) which relate directly to charitable activities. See note 5 for further details.
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Hollingbury Park Playgroup Limited
Notes to the Financial Statements for the Year Ended 31 March 2021
5 Analysis of governance and support costs
Charitable activities expenditure
| Charitable activities expenditure | ||||
|---|---|---|---|---|
| Unrestricted | ||||
| funds | Total | |||
| General | funds | |||
| Basis of allocation | £ | £ | ||
| Support costs | 1 | 101,285 | 101,285 | |
| Total for 2020 | 105,947 | 105,947 |
Governance costs
| Unrestricted | |||
|---|---|---|---|
| funds | Total | ||
| General | funds | ||
| £ | £ | ||
| Accountant fees | |||
| Other fees paid to auditors/accountants | 1,777 | 1,777 | |
| Allocated support costs | 101,285 | 101,285 | |
| Total for 2021 | 103,062 | 103,062 | |
| Total for 2020 | 107,566 | 107,566 |
Included within governance costs is £1,777 in relation to accountancy and independent examination services provided.
6 Trustees remuneration and expenses
During the year the charity made the following transactions with trustees:
Deborah Parker
Deborah Parker received remuneration of £19,446 (2020: £21,395) during the year.
Teresa Lee
Teresa Lee received remuneration of £17,963 (2020: £20,069) during the year.
7 Staff costs
The aggregate payroll costs were as follows:
The monthly average number of persons (including senior management / leadership team) employed by the charity during the year expressed as full time equivalents was as follows:
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Hollingbury Park Playgroup Limited
Notes to the Financial Statements for the Year Ended 31 March 2021
| 2021 | 2020 | ||||
|---|---|---|---|---|---|
| No | No | ||||
| Number of staff | 6 | 8 | |||
| No employee received emoluments of more than £60,000 during the year. (2020: Nil). |
8 Taxation
The charity is a registered charity and is therefore exempt from taxation.
9 Debtors
| 9 Debtors |
|||
|---|---|---|---|
| 2021 | 2020 | ||
| £ | £ | ||
| Prepayments | 1,171 | 379 | |
| 10 Creditors: amounts falling due within one year | |||
| 2021 | 2020 | ||
| £ | £ | ||
| Other taxation and social security | 488 | 1,220 | |
| Other creditors | 365 | 354 | |
| Accruals | 2,412 | 1,500 | |
| 3,265 | 3,074 |
11 Pension and other schemes
Defined contribution pension scheme
The charity operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the charity to the scheme and amounted to £1,784 (2020: £1,761).
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Hollingbury Park Playgroup Limited
Notes to the Financial Statements for the Year Ended 31 March 2021
| 12 Funds | |||||||
|---|---|---|---|---|---|---|---|
| Balance at 1 | Incoming | Resources | Balance at 31 | ||||
| April 2020 | resources | expended | March 2021 | ||||
| £ | £ | £ | £ | ||||
| Unrestricted funds | |||||||
| General | 14,862 | 99,511 | (103,062) | 11,311 | |||
| Balance at 1 | Incoming | Resources | Balance at 31 | ||||
| April 2019 | resources | expended | March 2020 | ||||
| £ | £ | £ | £ | ||||
| Unrestricted funds | |||||||
| General | 14,026 | 108,402 | (107,566) | 14,862 |
| 13 Analysis of net assets between funds | |||
|---|---|---|---|
| Unrestricted | Total funds at | ||
| funds | 31 March | ||
| General | 2021 | ||
| £ | £ | ||
| Current assets | 14,576 | 14,576 | |
| Current liabilities | (3,265) | (3,265) | |
| Total net assets | 11,311 | 11,311 | |
| Unrestricted | Total funds at | ||
| funds | 31 March | ||
| General | 2020 | ||
| £ | £ | ||
| Current assets | 17,936 | 17,936 | |
| Current liabilities | (3,074) | (3,074) | |
| Total net assets | 14,862 | 14,862 |
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