**REGISTERED CHARITY NUMBER: 1163181**
## **Report of the Trustees and**
**Financial Statements for the Year Ended 31 August 2022**
## **for**
**St John's Nursery Group CIO**
Warren House Accountants Limited 4 The Courtyard Holmsted Farm Staplefield Road Haywards Heath RH17 5JF
**St John's Nursery Group CIO**
**Contents of the Financial Statements for the Year Ended 31 August 2022**
|||**Page**||
|---|---|---|---|
|**Report of the Trustees**|1|to|2|
|**Independent Examiner's Report**||3||
|**Statement of Financial Activities**||4||
|**Statement of Financial Position**||5||
|**Notes to the Financial Statements**|6|to|10|
|**Detailed Statement of Financial Activities**||11||
**St John's Nursery Group CIO**
## **Report of the Trustees for the Year Ended 31 August 2022**
The trustees present their report with the financial statements of the charity for the year ended 31 August 2022. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
## **OBJECTIVES AND ACTIVITIES**
## **Objectives and aims**
The charity exists to advance the education of children below compulsory school age by providing satisfactory group play in a safe and secure environment. It aims to ensure to the best of its ability that excellent facilities and pre-school education are provided to each child who attends the nursery.
## **ACHIEVEMENT AND PERFORMANCE**
## **Charitable activities**
The past year has been one marked by uncertainty and change for St John's and the nursery sector as a whole. The year was characterised by broader changes in our society and around the world:
- During the summer term, we saw an accelerated vaccine programme and a gradual lifting of restrictions on social contact.
- The COVID furlough scheme was wound up at the end of September, with many people returning to work or taking on new jobs over autumn.
- As we started to return to normal in the spring term, Russia invaded Ukraine, and spikes in energy started to have a significant impact on household finances.
These events directly affected our operations, particularly in the volume and patterns of demand for nursery places. Uncertainty about work in the earlier part of the year, both in the proportion of home working and long-term employment prospects, reduced demand for places. As COVID restrictions and the furlough scheme came to an end, we saw demand start to rise towards a more "normal" level, albeit following new patterns as more parents and carers work from home. But, just as we saw an end to the most significant impacts of COVID, the invasion of Russia saw rapidly increasing household costs, uncertainty over the future, and a slowdown again in demand.
Despite these changes, we continue to see local demand for our core mission. Families still want high-quality early years childcare, and they recognise that our nursery provides this. I do not believe that the current headwinds will change this underlying principle, even if they push some families to make undesirable decisions based on difficult financial circumstances. We also see rising demand for support with special educational needs (SEN), and St John's continues to lead in providing for children with additional needs. We continue to maintain a broad view of the government funding landscape to improve access to early education for all.
The changes we have experienced over the last year are significant, and the nursery could not have come through without the dedication of our team of experienced and capable staff. Our manager, Maz Wilkinson, has led with determination and clarity. We were delighted to receive our "Good" Ofsted report for the Church Hall in September. This would not have been possible without Maz and the entire team at the church.
Looking ahead, we plan to continue to focus on the fundamentals of our nursery and invest in high-quality provision. We are seeing some normalisation in patterns of work and expect to monitor these patterns closely and ensure our nursery remains well aligned with the needs of our families. We will continue to monitor the impact of the increasing cost of living and ensure that the nursery group can operate sustainably.
I'd like to thank all of the staff and families who share our vision and have supported us over the last year and wish you the best for the year ahead.
## **FINANCIAL REVIEW**
## **Reserves policy**
The current policy established by the trustees is that the unrestricted funds not committed or invested in tangible fixed assets ('the free reserves') held by the charity should be equal to one month's operating costs plus redundancy costs. Current redundancy costs are £3,500 and one month's operating costs are £24,000 due to the additional costs of the second site.
This year the free reserves, which amount to £27,370 are close to this target level.
Page 1
**St John's Nursery Group CIO**
## **Report of the Trustees for the Year Ended 31 August 2022**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
The Charity is controlled by its governing constitution, using the Charity commission CIO 'Association' model template.
## **Organisational structure**
The members of the Management Committee are as follows:
Chris Kelly Chairman Jonathan Cottrell Treasurer Vick Edwards Secretary
Trustees and Management Committee members self-nominate for roles and are voted in at the charity's Annual General Meeting.
## **Advice and information**
The nursery is a member of the Pre-School Learning Alliance (PLA) and as such is able to benefit from PLA training sessions in addition to free advice, both legal and otherwise. The nursery is registered with social services and is inspected by OFSTED.
## **REFERENCE AND ADMINISTRATIVE DETAILS**
## **Registered Charity number**
1163181
## **Principal address**
Redstone Lodge Philanthropic Road Redhill Surrey RH1 4DG
## **Trustees**
J Cottrell C Kelly Ms V Edwards
## **Independent Examiner**
P R Collins Warren House Accountants Limited 4 The Courtyard Holmsted Farm Staplefield Road Haywards Heath RH17 5JF
Approved by order of the board of trustees on ............................................. and signed on its behalf by:
........................................................................ C Kelly - Trustee
Page 2
## **Independent Examiner's Report to the Trustees of St John's Nursery Group CIO**
## **Independent examiner's report to the trustees of St John's Nursery Group CIO**
I report to the charity trustees on my examination of the accounts of St John's Nursery Group CIO (the Trust) for the year ended 31 August 2022.
## **Responsibilities and basis of report**
As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of 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 Act and in carrying out my examination I have followed all 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 giving me cause to believe that in any material respect:
1. accounting records were not kept in respect of the Trust as required by Section 130 of the Act; or
2. the accounts do not accord with those records; or
3. the accounts do 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.
P R Collins The Institute of Chartered Accountants in England and Wales
Warren House Accountants Limited 4 The Courtyard Holmsted Farm Staplefield Road Haywards Heath RH17 5JF
Date: .............................................
Page 3
## **St John's Nursery Group CIO**
## **Statement of Financial Activities for the Year Ended 31 August 2022**
|Unrestricted
fund
Notes
£
**INCOME AND ENDOWMENTS FROM**
**Charitable activities**
Grants Receivable
145,468
Charitable Activities
97,904
Other trading activities
2
314
**Total**
243,686
**EXPENDITURE ON**
**Charitable activities**
Charitable Activities
264,832
Support Costs
25,292
**Total**
290,124
**NET INCOME/(EXPENDITURE)**
(46,438)
**RECONCILIATION OF FUNDS**
Total funds brought forward
73,808
**TOTAL FUNDS CARRIED FORWARD**
27,370|Restricted
fund
£
-
-
-
-
-
-
-
-
-
-|31.8.22
Total
funds
£
145,468
97,904
314
243,686
264,832
25,292
290,124
(46,438)
73,808
27,370|31.8.21
Total
funds
£
259,095
72,608
745
332,448
258,783
29,293
288,076
44,372
29,436
73,808|
|---|---|---|---|
The notes form part of these financial statements
Page 4
## **St John's Nursery Group CIO**
## **Statement of Financial Position 31 August 2022**
||||||31.8.22|31.8.21|
|---|---|---|---|---|---|---|
|||Unrestricted|Restricted||Total|Total|
|||fund|fund||funds|funds|
||Notes|£|£||£|£|
|**FIXED ASSETS**|||||||
|Tangible assets|6|3,804||-|3,804|6,291|
|**CURRENT ASSETS**|||||||
|Debtors|7|1,876||-|1,876|5,083|
|Cash in hand||31,956||-|31,956|65,590|
|**CREDITORS**||33,832||-|33,832|70,673|
|Amounts falling due within one year|8|(10,266)||-|(10,266)|(3,156)|
|**NET CURRENT ASSETS**||23,566||-|23,566|67,517|
|**TOTAL ASSETS LESS CURRENT**|||||||
|**LIABILITIES**||27,370||-|27,370|73,808|
|**NET ASSETS**||27,370||-|27,370|73,808|
|**FUNDS**|10||||||
|Unrestricted funds|||||27,370|73,808|
|**TOTAL FUNDS**|||||27,370|73,808|
||||||||
The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:
............................................. C Kelly - Trustee
The notes form part of these financial statements
Page 5
**St John's Nursery Group CIO**
## **Notes to the Financial Statements for the Year Ended 31 August 2022**
## **1. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.
The presentation currency of the financial statements is the Pound Sterling (£).
The charity has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':
- the requirements of Section 7 Statement of Cash Flows;
- the requirement of paragraph 3.17(d);
- the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
- the requirements of paragraphs 12.26, 12.27, 12.29(a), 12.29(b) and 12.29A.
## **Income**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
## **Expenditure**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
## **Tangible fixed assets**
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Fixtures and fittings - 25% on cost Computer equipment - 25% on cost
## **Taxation**
The charity is exempt from tax on its charitable activities.
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
## **Government grants**
The government grants have been recognised under the performance model. An amount of £nil(2021 - £70,000) was received in response to the COVID-19 pandemic to support the company and an amount of £nil (2021 - £8,769) was received under the job retention scheme, there are no unfulfilled conditions or other contingencies.
Page 6
**St John's Nursery Group CIO**
## **Notes to the Financial Statements - continued for the Year Ended 31 August 2022**
## **2. OTHER TRADING ACTIVITIES**
|**OTHER TRADING ACTIVITIES**|||
|---|---|---|
||31.8.22|31.8.21|
||£|£|
|Other Income|314|745|
## **3. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31 August 2022 nor for the year ended 31 August 2021.
## **Trustees' expenses**
During the year, £228 (2021: £3,316) of expenses were reimbursed to the trustees in respect of items purchased on behalf of the charity.
## **4. STAFF COSTS**
The average monthly number of employees during the year was as follows:
## **5.**
|31.8.22
Nursery Staff
15
No employees received emoluments in excess of £60,000.
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
Unrestricted
Restricted
fund
fund
£
£
**INCOME AND ENDOWMENTS FROM**
**Charitable activities**
Grants Receivable
259,095
-
Charitable Activities
72,608
-
Other trading activities
745
-
**Total**
332,448
-
**EXPENDITURE ON**
**Charitable activities**
Charitable Activities
258,783
-
Support Costs
29,293
-
**Total**
288,076
-
**NET INCOME**
44,372
-
**RECONCILIATION OF FUNDS**
Total funds brought forward
29,436
-|31.8.21
18
Total
funds
£
259,095
72,608
745
332,448
258,783
29,293
288,076
44,372
29,436|
|---|---|
Page 7
## **St John's Nursery Group CIO**
## **Notes to the Financial Statements - continued for the Year Ended 31 August 2022**
|**5.**|**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**|**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**|**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**|**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**||
|---|---|---|---|---|---|
|||Unrestricted|Restricted||Total|
|||fund|fund||funds|
|||£|£||£|
||**TOTAL FUNDS CARRIED FORWARD**|73,808||-|73,808|
|**6.**|**TANGIBLE FIXED ASSETS**|||||
||**COST**|Fixtures
and
fittings
£|Computer
equipment
£||Totals
£|
||At 1 September 2021|35,347|6,975||42,322|
||Additions|2,846|-||2,846|
||At 31 August 2022|38,193|6,975||45,168|
||**DEPRECIATION**|||||
||At 1 September 2021|31,184|4,847||36,031|
||Charge for year|4,342|991||5,333|
||At 31 August 2022|35,526|5,838||41,364|
||**NET BOOK VALUE**|||||
||At 31 August 2022|2,667|1,137||3,804|
||At 31 August 2021|4,163|2,128||6,291|
|**7.**|**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**|||||
||Other debtors||31.8.22
£
495||31.8.21
£
3,702|
||Prepayments and accrued income||1,381||1,381|
||||1,876||5,083|
|||||||
Page 8
**St John's Nursery Group CIO**
## **Notes to the Financial Statements - continued for the Year Ended 31 August 2022**
## **8. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
||31.8.22|31.8.21|
|---|---|---|
||£|£|
|Other creditors|10,266|3,156|
## **9. LEASING AGREEMENTS**
Minimum lease payments under non-cancellable operating leases fall due as follows:
|Within one year
Between one and five years
In more than five years|31.8.22
£
18,000
72,000
232,500
322,500|31.8.21
£
18,000
72,000
250,500
340,500|
|---|---|---|
## **10. MOVEMENT IN FUNDS**
|**Unrestricted funds**
General fund
**TOTAL FUNDS**
Net movement in funds, included in the above are as follows:
**Unrestricted funds**
General fund
**TOTAL FUNDS**|At 1.9.21
£
73,808
73,808
Incoming
resources
£
243,686
243,686|Net
movement
At
in funds
31.8.22
£
£
(46,438)
27,370
(46,438)
27,370
Resources
Movemen
expended
in funds
£
£
(290,124)
(46,438
(290,124)
(46,438|
|---|---|---|
## **Comparatives for movement in funds**
|**Unrestricted funds**|At 1.9.20
£|Net
movement
At
in funds
31.8.21
£
£|
|---|---|---|
|General fund|29,436|44,372
73,808|
|**TOTAL FUNDS**|29,436|44,372
73,808|
Page 9
## **St John's Nursery Group CIO**
## **Notes to the Financial Statements - continued for the Year Ended 31 August 2022**
## **10. MOVEMENT IN FUNDS - continued**
Comparative net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**|Incoming
resources
£
332,448
332,448|Resources
Movement
expended
in funds
£
£
(288,076)
44,372
(288,076)
44,372|
|---|---|---|
A current year 12 months and prior year 12 months combined position is as follows:
|**Unrestricted funds**|At 1.9.20
£|Net
movement
At
in funds
31.8.22
£
£|
|---|---|---|
|General fund|29,436|(2,066)
27,370|
|**TOTAL FUNDS**|29,436|(2,066)
27,370|
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**|Incoming
resources
£
576,134
576,134|Resources
Movement
expended
in funds
£
£
(578,200)
(2,066)
(578,200)
(2,066)|
|---|---|---|
## **11. RELATED PARTY DISCLOSURES**
There were no related party transactions for the year ended 31 August 2022.
Page 10
**St John's Nursery Group CIO**
## **Detailed Statement of Financial Activities for the Year Ended 31 August 2022**
|**for the Year Ended 31**|**August 2022**||
|---|---|---|
||31.8.22|31.8.21|
||£|£|
|**INCOME AND ENDOWMENTS**|||
|**Other trading activities**|||
|Other Income|314|745|
|**Charitable activities**|||
|Fees|91,175|68,593|
|Hot Lunches|5,821|3,897|
|Fundraising|908|118|
|Grants|145,468|259,095|
||243,372|331,703|
|**Total incoming resources**|243,686|332,448|
|**EXPENDITURE**|||
|**Charitable activities**|||
|Wages|200,871|200,279|
|Pensions|2,685|2,337|
|Session Expenses|8,962|6,304|
|Hot Lunches|8,479|7,692|
|Fundraising costs|542|-|
|Rent and Insurance|37,498|33,494|
|Training courses|2,660|1,269|
|Advertising|1,630|4,322|
|Sundries|220|106|
|Refurbishment of new premises|1,101|1,216|
|Uniform Costs|1,285|1,764|
|**Support costs**|265,933|258,783|
|**Management**|||
|Committee Administration|143|500|
|Nursery Utilities|11,120|9,855|
|Telephone|3,120|2,929|
|Accountancy|2,474|2,432|
|Website Maintenance|1,917|8,079|
|Bank Charges|84|84|
|Depreciation of tangible fixed assets|5,333|5,414|
||24,191|29,293|
|Total resources expended|290,124|288,076|
|**Net (expenditure)/income**|(46,438)|44,372|
||||
This page does not form part of the statutory financial statements
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