**Registered company: 10197205 Registered Charity: 1168090** 

## **EARLY CHILDHOOD PARTNERSHIP (LIMITED BY GUARANTEE)** 

## **REPORTS AND FINANCIAL STATEMENTS** 

## **FOR THE YEAR ENDED 31 MARCH 2021** 

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**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **REPORTS AND ACCOUNTS** 

## **FOR THE YEAR ENDED 31 MARCH 2021** 

## **CONTENTS** 

||**Page**|
|---|---|
|Corporate information|3|
|Report of the Trustee Board|4|
|Operating & financial review and Strategic Report|11|
|Independent auditor’s report to the members of Early Childhood Partnership|17|
|Statement of financial activities (including summary income and expenditure account)|20|
|Balance sheet|21|
|Statement of cash flows|22|
|Notes to the financial statements|23|



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**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **CORPORATE INFORMATION** 

|**TRUSTEE BOARD**||
|---|---|
|**Chair**|Sal Thirlway|
|**Trustees:**|Eve Burt|
||Deborah James|
||Sal Thirlway|
||Robert Thompson|
||Alan Victor|
|**Company Secretary:**|Jonathan Kalemera|
|**Business Manager:**|Serreta Pritchard|
|**CORPORATE INFORMATION**||
|**Registered Charity:**|1168090|
|**Registered company:**|10197205|
|**Registered office:**|30 Meadway, Bedford, MK41 9HU|
|**Website:**|www.ecpbedford.org|
|**Parent Company:**|One YMCA, Charter House, Watford, WD17 2RT, www.oneymca.org|
|**AUDITORS, BANKERS, INVESTMENT**|**MANAGER AND SOLICITORS**|
|**Auditor (External)**|Haysmacintyre LLP, 10 Queen Street Place, London, EC4R 1AG|
|**Auditor (Internal)**|BDO (UK) LLP, 55 Baker Street, London, W1U 7EU to 31 March 2021|
||Beever and Struthers, 15 Bunhill Row, London, EC1Y 8LP|
|**Bankers:**|HSBC Plc, 44-52 Lattimore Road, St Albans, Hertfordshire, AL1 3XL|
|**Solicitors:**|Bates Wells Braithwaite LLP, 10 Queen Street Place, London, EC4R|
||1BE|



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**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **REPORT OF THE TRUSTEE BOARD** 

The Trustee Board presents its annual report together with the audited financial statements for the year ended 31 March 2021. 

## **Organisation** 

The Charity operates out of a number of centres across Bedfordshire. 

The Charity’s main activities are to deliver the children’s centre contract in Bedford Borough, as well as Therapeutic and Specialist Support Services including Domestic Abuse, Perpetrators and Sexual Violence. The Trustee Board is responsible for the operation of the Charity. Its Business Manager reports to the Trustee Board and is line managed by the Group Chief Executive. The Trustee Board is supported by a Company Secretary. 

The Charity closely works with a number of non-profit organisations. These are: 

- FACES Bedford – volunteer management, 

- Peter Pan Teaching Schools Alliance – provision of children’s centre teaching and educational support, 

- One YMCA – provision of group and corporate services support. 

Given that these organisations work closely with the Charity, a conflict of interest policy is in place and all necessary matters are disclosed. 

## **Trustee Board** 

The Trustee Board is responsible for the overall governance of the Charity. Those who have served during the year are set out on page 3. They hold a dual role of being Trustees of a registered Charity as well as being directors for the purposes of the Companies Act. 

In accordance with the Articles of Association, Trustees serve for a three-year term after which they retire. A retiring member of the Trustee Board shall be eligible for re-election for a second and third full-term, but then having served a third term, must stand down as an elected member for a period of one year. Trustees can only serve for a maximum of nine years. 

## **Strategic management** 

The Trustee Board is responsible for setting an appropriate strategy for the Charity. It also ensures that relevant performance measures are in place. 

During the year, the Trustee Board: 

- Undertook the necessary legal and governance steps to maintain the work of the Charity, 

- Reviewed key policies, 

- Scrutinised the service delivery plans and targets, 

- Received reports on performance, 

- Reviewed strategic risk, 

- Ensured that policies and control frameworks were in place. 

As the Charity is a subsidiary of One YMCA, it benefits from a broader committee structure that operates on a Group basis and ensures that detailed governance arrangements are established and monitored. The structure is set out in the following matrix. 

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**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **ONE YMCA - TRUSTEE BOARD** 


**----- Start of picture text -----**<br>
Governance &  Property  Health &<br>Resources Audit & Risk Safeguarding<br>People Development Safety<br>Trustee committee with  Trustee Committee with  Trustee Committee with  Trustee Committee with  Staff Forum with Trustee  Staff Forum with Trustee<br>ELT support ELT support ELT support ELT support Board oversight Board oversight<br>governance structure and Board & committee review Investment Strategy with performance review and Financial strstegy & supervision Financial regulations, controls & Code of Governance Development ProgrammeScrutiny of Property  Health & safety activities safeguarding / welfare re service users, staff and volunteersPromotion of<br>and succession planningdevelopment, training Trustee recruitment,  management and ICT strategies and capital Property, asset programme Risk management policy and review Review/refine asset strategy/positionmanagement  Staff representation safeguarding reportTrustee Board<br>People strategy, policies and training priorities Area strategies of specific focus arrangements and External audit scrutiny Undertake gateway reviews Safety culture safeguarding/ welfare Consider relevant matters<br>stakeholders and Vision, values, reputation operational & fundraising performance and KPIsValue for money,  arrangements and Internal audit scrutiny Programme Procurement with Board oversight Health & safety managementperformance  policies for safeguardingeffectiveness of Group Monitor/review<br>Youth & partnerships strategy Service development and oversight and recommendations to Review of final accounts Trustee Board contractor managment Programme and arrangements Monitoring Commission and consider audit reports<br>Employee remuneration policy and salary benchmarking due diligence & condition Strategic partnerships, precedent quality and complianceFraud, whistleblowing,  decanting, nominations Workstreams around etc Reviews regulation complianceEnsure legal and<br>**----- End of picture text -----**<br>


## **EARLY CHILDHOOD PARTNERSHIP - TRUSTEE BOARD** 

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**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **Recruitment of members of the Trustee Board** 

Members of the Trustee Board were recruited from partner organisations and comprise the following skill sets: 

- Children’s Services Commissioner 

- Head Teacher, 

- Head of Early Years, 

- Corporate Strategy. 

New Trustees are inducted into the governance arrangements by the Company Secretary using an agreed framework and ongoing training is provided through a combination of: trustee updates, attendance at Charity conferences / training events and bespoke training. A number of the Trustees also serve, or have served as Trustees of other charities which broadens the available skills base and the exposure to training and best practice of the Charity sector. On a periodic basis, the Trustee Board reviews its skills mix in order to ensure that any recruitment exercises are targeted at areas of need. 

## **Management arrangements** 

The role of Business Manager is provided by the Director of Family Services for the Group and reports to the Group Chief Executive. The Company Secretary supports the Board and provides governance and corporate services advice. They act within the authority delegated by the Trustee Board.  Further support can be drawn from the Partners and Parent Charity.  Remuneration for key management personnel is set in line with the Parent Charity and is externally benchmarked. 

## **Employees** 

The strength of the Charity lies in the quality of all its employees and their contribution to achieving the goals of the objectives set for each department. The Charity shares information on its objectives, progress and activities through regular management and staff departmental meetings. 

The Charity is committed to equal opportunities both in recruitment and retention of employees. 

## **Gender pay reporting** 

The Charity has adopted the Living Wage Foundation’s Living Wage as the baseline for all employees who are engaged on a permanent contract of employment and are not apprentices.  Moreover, the Charity has utilised an established job evaluation scheme to ensure that all job roles are properly assessed against an equal pay criteria. The overall workforce is 100% female. 

The gender pay reporting principles demonstrate the following position as a snapshot on 5 April 2021 was: 

- Mean gender pay gap – None 

- Median gender pay gap – None 

- Mean bonus gender pay gap – None 

- Median bonus gender pay gap – None 

- Proportion of males receiving a bonus payment - None 

- Proportion of females receiving a bonus payment – None 

- Proportion of males and females in each quartile pay band – All Quartiles – 100% female 

As at the date of this report, the Charity was not required to submit gender pay statistics due to its size. 

## **Indemnity insurance** 

The Charity’s insurance policies indemnify the Trustee Board and Officers against liability when acting for the Charity providing their actions are not reckless or fraudulent. 

## **Health and Safety** 

The Trustees are aware of their responsibilities on all matters relating to health and safety.  The Charity has prepared detailed health and safety policies and provides staff training and education on health and safety matters. During the year, the Parent Charity’s health and safety committee met on three occasions comprising of representatives of all service areas including this Charity. The meetings were chaired by the Director of Operations and one of the Charity’s children’s centre Managers is a permanent Committee member. 

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**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **Safeguarding** 

The Charity takes the protection of its service users, staff and volunteers very seriously. As a result, along with the Parent Charity, it has implemented a robust suite of Safeguarding measures, including comprehensive Policies and Procedures, as well as a clear Safeguarding reporting flowchart and a Safeguarding Link Trustee, who is also the chair of the ECP Board.  There is also an active Safeguarding Leads Group, which meets regularly to review trends and learning from the range of safeguarding issues raised within the period. This Group is chaired by the ECP Business Manager and is attended by senior ECP staff members. 

## **Safeguarding Data** 

The Charity takes the view that a key method of safeguarding people is to safeguard their data. As a result, it makes use of the external Data Protection Officer services of the Group, which are led by a specialist lawyer. The Charity holds a great deal of personal and sensitive data about children and their families, so it takes care to map where data is held and to undertake Data Protection Impact Assessments where appropriate. The Charity’s senior staff also participate in the Data Group along with the Parent Charity, which, among other things, also considers cyber security and protection from external attacks. 

## **Creditors’ payments** 

The Charity’s aim is to pay purchase invoices within 30 days of receipt, or earlier if agreed with the supplier. 

## **Public Benefit** 

The Trustee Board held service users at the heart of its approach to formulating the strategic objectives and associated strategies. In doing so, the Trustee Board referred to the guidance contained in the Charity Commission’s general guidance on public benefit when planning for the future. Through the work that the Charity undertakes in its service areas, it delivers public benefit and serves a wide range of people, many of whom are vulnerable. 

## **Complaints** 

There is a clear and simple complaints policy available to all service users.  All complaints received are reported to the relevant Manager and are monitored by the Business Manager to help ensure an appropriate and timely resolution and also to help identify any recurring issues that may require a different approach. 

## **Donations** 

No charitable or political donations were made by ECP during the year. 

One YMCA donated £150,000 to ECP to be spread in equal amounts across the next three years, restricted to the service delivery and administration costs for existing and new activities delivered by ECP staff which help the wider Group’s ambition and strategy to “Double its Impact”. 

## **Going Concern** 

In light of the material uncertainties arising from the impact of the coronavirus pandemic the Trustees have reviewed the Charity’s financial position and financial forecasts to test how those uncertainties might affect the entity’s ability to continue as a going concern. The Executive has modelled income and expenditure as well as cashflows over the foreseeable future and demonstrated that both are resilient.  The main contract with Bedford Borough Council was renewed for a 5 year term from October 2021 which gives greater financial certainty. 

Accordingly, the Trustees have a reasonable expectation that the Charity and the Group have adequate resources to continue in operational existence for the foreseeable future, being a period of twelve months after the date on which the report and financial statements are signed.  As a consequence, they continue to support the going concern basis in preparing financial statements. 

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**EARLY CHILDHOOD PARTNERSHIP** 

## **Report and financial statements for the year ended 31 March 2021** 

## **Reserves Policy** 

Reserves that are unrestricted funds held by the Charity should be sufficient to meet all payment obligations and to contribute to the Charity fulfilling its aims and purposes. The target level of free reserves is determined annually by 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. 

The reserves as at 31 March 2021 were as follows: 

|**Reserves**<br>Revenue reserve<br>Restricted funds<br>**Total funds**|**£**<br>£257,579<br>£150,000<br>**£407,579**|
|---|---|



The revenue reserve amounted to £257,579 which are classed as free reserves.  In determining the level of unrestricted funds held as free reserves to cover working balances and payment obligations without any designation or subject to earmarking for particular purposes, the Trustees have taken into account the following matters: 

- Three months of salary and running costs are approximately £450k 

- Bedford Borough Council have a fixed monthly payment plan embedded in the Charity’s largest contract which ensures timely cash flow, 

- Bedford Borough Council’s payments are being received on a timely basis in advance of meeting expenditure, 

- There is an inter-company loan and debenture in place with One YMCA for short-term cash flow support if required (2020: £Nil), and 

- Group business interruption insurance cover is in place with a two-year indemnity period. 

Accordingly, the Trustees consider it prudent to retain working balances of £60-100k in cash at each month end that are not designated or earmarked in order to meet unforeseen risks or obligations. This is an ongoing objective which is currently being met. 

## **Risk Management** 

The Trustee Board is responsible for ensuring that an active risk management process is in place and forms part of the ongoing organisational activity. During the year, the Parent Charity reviewed the group risk management policy. The strategic risk register is a standing item at each Group Trustee Board meeting and was reviewed four times. The register identifies the types of risks the Charity faces and prioritises them in terms of potential impact and likelihood of occurrence. The Trustees are satisfied that the internal financial controls comply in all material respects with the guidelines issued by the Charity Commission and has established a separate internal audit function (carried out by an independent internal audit firm) to review risks on a rotational basis.  The principal risks affecting the Charity relate to loss of contract income or mismanagement of a Safeguarding issue.  We undertake regular strategic meetings with Bedford Borough Council to monitor the service level agreement.  We have received positive feedback and work internally to ensure that our services are well managed and exceed expectations.  The management of the safeguarding risks are detailed in the Risks and Uncertainties section on page 16. 

For the last year, risk management has been primarily focused on managing and in some cases mitigating the impact of the Coronavirus pandemic on the safety of our service users and staff along with the resilience of the Charity. Trustees and the Executive Team set out to explore ways in which our assets and resources would be used to support the vulnerable people we serve through this difficult period. The Executive Team and Trustees 

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**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

put in place an action plan to address these areas and have worked with the Senior Leadership Team to successfully deliver the plan. 

The Trustees confirm that they have identified and understand the risks to which the Charity is subject and that they are being actively managed. 

## **Internal Controls Assurance** 

The Trustees acknowledge their overall responsibility for establishing and maintaining the whole system of internal control and for reviewing its effectiveness. 

The system of internal control is designed to manage, rather than eliminate, the risk of failure to achieve business objectives, and to provide reasonable, and not absolute, assurance against material misstatement or loss. 

The process for identifying, evaluating and managing the significant risks faced by the Charity is ongoing. The Trustee Board reviews the strategic risk register at every meeting. 

Key elements of the control framework include:- 

- Board-approved terms of reference, 

- Clearly defined management responsibilities for the identification, evaluation and control of significant risks, 

- Formal recruitment, retention, training and development policies for all staff, 

- Established authorisation and appraisal procedures for significant new initiatives and commitments, 

- Regular review of cash flow, 

- Regular reporting on key business objectives, targets and outcomes, 

- Board approved Code of Conduct, 

- Board approved safeguarding, health & safety, whistle-blowing, anti-fraud and corruption policies, 

- Board approved fraud policies, covering prevention, detection and reporting, together with recoverability of assets. 

A fraud register is maintained and is reviewed by the Company Secretary on a regular basis. During the year there were no findings of fraudulent activity. 

The Board benefits from internal controls work undertaken by the Parent Charity on corporate services activities. This included the handling of receipts and payments. 

The Parent Charity monitored the internal audit plan for the Group throughout the year. 

## **Code of Governance** 

The Parent Charity complies with the National Housing Federation’s Code of Governance (2015) on a Group basis which incorporates the activities of the Charity. During the course of the year, the compliance framework has been reviewed. As an evolving organisation, the Charity will continue to review and develop its governance in order to best serve its beneficiaries. 

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**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **STATEMENT OF RESPONSIBILITIES OF THE TRUSTEE BOARD FOR THE REPORT AND FINANCIAL STATEMENTS** 

## **General Financial Responsibilities** 

The Trustee Board is responsible for preparing the Report of the Trustee Board, Operating and Financial Review and Strategic Report and financial statements in accordance with applicable law and regulations. 

Company law requires the Trustee Board to prepare financial statements for each financial year. Under that law the Trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable laws). 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 Charity and the surplus or deficit of the Charity for that period. In preparing these financial statements, the Trustees are required to: 

- select suitable accounting policies and apply them consistently; 

- make judgements 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 financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in business; and 

- observe the methods and principles of the Charities Statement of Recommended Practice. 

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

The Trustees confirm that: 

- so far as each Director is aware, there is no relevant audit information of which the Charity’s auditors is unaware; and 

- the Trustees have taken all steps that they ought to have taken as Trustees in order to make themselves aware of any relevant audit information and to establish that the auditors is aware of that information. 

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the Charity’s website.  Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. 

## **Approval** 

The Report of the Trustee Board was approved by the Trustees on 6 July 2021 and signed on their behalf by: 


_____________ Sal Thirlway Chair & Trustee 

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**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **OPERATING & FINANCIAL REVIEW AND STRATEGIC REPORT** 

## **Introduction** 

The report and accounts for the financial year ending on 31 March 2021 are set out in this document. 

## **Principal Activity** 

The Charity’s principal activity is to improve outcomes for young children and their families and reduce inequalities between families in greatest need and their peers in: 

- Child development and school readiness; 

- Parenting aspirations and parenting skills; 

- Child and family health and life changes; 

- Improving the wellbeing of young children; 

- Making arrangements to secure that early childhood services are provided in an integrated manner to facilitate access to services, maximising the benefit of those services to parents, prospective parents and young children. 

These activities are delivered from a number of Centres, virtual platforms and additional outreach sites in the Bedfordshire area. 

## **Partners** 

Early Childhood Partnership works in close partnership with three not-for-profit organisations: 

- FACES Bedford (registered Charity), 

- Peter Pan Teaching School Alliance (not-for-profit), 

- One YMCA (registered Charity). 

The Charity is led by its Trustee Board and Business Manager with governance support from its Company Secretary. 

## **BUSINESS AND FINANCIAL REVIEW** 

During the year, the Charity has worked in a strategic manner so that it: 

- Operates the children’s centre service on behalf of Bedford Borough Council for the benefit of service users, 

- Delivers excellent Therapeutic Support Services to families in need, 

- Acts as the Independent Sexual Violence Advisor (ISVA) to the Local Authority, 

- Ensures that effective governance arrangements are in force, 

- Works across the Bedfordshire area, 

- Improves the outcomes for parents and children who are benefitting from the services provided, 

- Operates within a leaner and more efficient funding framework. 

The Trustee Board supports these measures and the ways that they can maximise the resources available for delivering the Charity’s objectives and serving beneficiaries. 

## **Financial review** 

The financial statements are prepared in accordance with the Statement of Recommended Practice (SORP) for Charities. The Charity returned an operating surplus of £327,270 (2020: £61,095). 

During the 2020/21 financial year, the Trustee Board has focused the staff team upon delivering a programme to improve underlying effectiveness of the children’s centre operations and the development of new Therapeutic Support Services so that the Charity is well placed for the future. This included: 

- Delivering an improved level of performance against Bedford Borough Council’s key performance indicators, 

- Securing a variety of contracts and funding to extend and develop work with the most vulnerable children and families, including ISVA, Play Therapy and Domestic Abuse Support, 

- Amending internal governance and delivery structure to meet the current needs of families and organisation, 

- Operating partner service level agreements, 

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**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

- Setting out scheme of delegation, 

- Strengthening operations through business and service delivery leadership and planning. 

On an ongoing basis, the Trustee Board is committed to operating a balanced operating budget. 

It is pleasing to report that the Charity received a performance incentive payment during the year. This was as a result of achieving the stretch targets in the Bedford children’s centre contract. 

## **Value for money** 

The Charity’s objective is to provide children’s centre and Therapeutic & Specialist Support Services to meet the needs of its beneficiaries. The key driver is to achieve a balance between reasonable cost and excellent quality. 

The Charity measures its value for money in terms of impacts, outcomes and outputs as well as financial ones. This includes: 

- Service quality, 

- Social benefits to individuals and communities, 

- Key performance indicators and benchmarking, 

- Financial returns, 

- Benefits to the organisation. 

The Charity’s value for money strategy is to: 

- Generate appropriate surpluses to maintain a viable organisation and to continue to provide and develop services for beneficiaries, both present and future; 

- Ensure that high levels of customer satisfaction are achieved; 

- Live up to the Charity’s values in the delivery of services and impact. 

As a commissioned service provider, the value for money objectives over the next three years are to: 

- Increase the value and effectiveness of the children’s centre and Therapeutic & Specialist Support Services provided, 

- Release efficiency savings that can be recycled into front line services for more beneficiaries, 

- Work in partnership with other charities and local authorities to develop funding models, secure efficiencies and/or take on additional work where it is sensible and prudent to do so, 

- Use volunteers to broaden the range of services available, 

- In consultation with the Advisory Board, improve children’s centre services to meet their needs. 

Over the last year, the Charity has continued to make good progress in delivering value for money. Activities that develop the effectiveness of the Charity have embraced beneficiary impact, operational improvement and good governance. 

|**Initiative**|**Status, saving**<br>**orgain**|**Comments**|
|---|---|---|
|**Children’s centre services**|||
|Deliver the budget<br>for the Bedfordshire<br>area|£327k surplus|The budget maximised the deployment of financial resources for<br>beneficiaries.|
|Deliver the children’s<br>centre contract to<br>the required<br>performance levels|Successfully<br>delivering the<br>contract|The children’s centre contract is underpinned by a series of key performance<br>indicators (KPI) sitting within four performance areas. These KPIs are<br>regularly monitored by the Trustee Board, Council and managers. The team<br>members are clear about which KPIs their activities contribute to, and they<br>understand the links between the KPIs and achieving good outcomes for our<br>children and families. In 2020/21 the Charity achieved two out of three<br>incentivisation KPI targets. These targets covered the number of children<br>seen at the children’s centres, target groups engaging in children’s centres<br>services, parents reporting increased confidence in age appropriate child<br>development andparents making positiveprogress in the education and|



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**Report and financial statements for the year ended 31 March 2021** 

|**Initiative**|**Status, saving**<br>**orgain**|**Comments**|
|---|---|---|
|||learning area of the family star for targeted intervention.   This allowed us to<br>increase staff time to enable us to support more vulnerable families.|
||Achieving<br>performance|Activities are delivered in each centre as part of the termly timetable along<br>with family support activities and home visiting. These activities interface<br>with the KPIs and a simple performance management system of “plan,<br>deliver, review and develop” means that good progress is being made to<br>meet targets. The Data Officer, in partnership with the local authority, is now<br>using the children’s centre database to produce increasingly robust evidence<br>ofperformance.|
||Meeting the<br>needs of<br>beneficiaries|The design and delivery of the timetable of activities is informed by local<br>available data. There is an appropriate split between universal, targeted and<br>perinatal activities. For example, ECP deliver Parents as First Teachers (PAFT)<br>as the parenting programme of choice and this is delivered as a targeted<br>service, with the addition of PAFT Connections as a universal group activity.<br>The perinatal team offers Baby Brasseries across five centres, a daily breast-<br>feeding support session, weekly ante natal classes for first time parents (BBB)<br>and one to one support ante-natally and post-natally. In 2020 they worked<br>hard to ensure a high-quality universal service offer was available remotely.<br>This included live and pre-recorded sessions on social media as well as videos<br>to replace information sessions such as Introduction to Solid Food and<br>Preparing for Baby.  Our targeted work also was delivered via video or<br>telephone, ensuring that families continued to receive the support they<br>needed despite the pandemic restrictions.|
||Expanding the<br>reach of<br>services|The Charity continues to focus on its success in engaging with priority or<br>excluded groups and are increasingly able to use data to focus resources<br>where they are most needed.<br>The team works with the local authority to deliver play activities on local<br>traveller sites which are very popular.<br>The Charity is supporting a new unborn baby pathway with BBC Head of<br>Social Care. Children’s centres are one of the lead providers for antenatal<br>work to support the Social Worker’s unborn babysingle assessment.|
||Obtaining<br>positive<br>beneficiary<br>feedback|The Charity’s fourth parent survey was carried out at the end of 2020<br>specifically asking about support offered during the pandemic.  We received<br>very positive feedback and a good response rate. Parent feedback was<br>collected via our social media sites.   Our effective online parents’ forum<br>continues to generate a great deal of discussion. When emerging needs arise,<br>this online forum is a good space to start early discussions with the<br>communityto respond to these emergingneeds.|
|Achieve the contract<br>key performance<br>indicator<br>requirements to the<br>satisfaction of the<br>commissioner|Successfully<br>delivering the<br>contract|Monitoring meetings with the local authority take place three times a year.<br>These meetings form part of the annual review.<br>Following our end of year Contract Monitoring visit, our commissioners<br>wrote to us saying “I have been so impressed with the resilience that you<br>have all shown through this challenging period. The creative skills that you<br>have used to enable families to access services via technology have been<br>superb and I have enjoyed watching some of you tell stories and lead singing<br>sessions.” The local authority highlighted priority action areas, including the<br>production of a performance report that could be shared with local<br>councillors.|
||Continuously<br>planning for<br>future<br>improvements|There is clarity around the priority areas for development in the coming year.<br>The Charity will be looking to compare its performance, particularly in<br>relation to registration and seen figures, with a particular emphasis on<br>targeted groups. The areas for development reflect feedback from the local<br>authority arising from the monitoring meetings and form the basis of the<br>annual service development plan. This plan is considered by the<br>management team and updated monthly.|



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**Report and financial statements for the year ended 31 March 2021** 

|**Initiative**|**Status, saving**<br>**orgain**|**Comments**|
|---|---|---|
|Service Delivery Plan<br>(SDP) established to<br>improve delivery to<br>beneficiaries|Adopting a<br>reflective<br>practice to<br>develop<br>services|ECP has a service delivery plan which allows us to reflect on how well the<br>Charity is meeting the required outcomes for families. It is used to evaluate<br>strengths and identify areas for improvement.<br>Team members are also encouraged to work reflectively. Each team member<br>completes at least one case study per month where they consider “what<br>worked well” with a particular family, and “even better if”, what they might<br>have done differently. This reflective practice continues into their monthly<br>supervision, where they are supported to consider how past experience can<br>inform futurepractice.|
||Embracing<br>effective<br>planning|The SDP focuses on annual targets and breaks them down into a series of<br>priority actions.<br>The SDP is completed with input from a range of stakeholders. It is actioned<br>by the management team and updated monthly and is considered by the<br>Trustees Board and at the monitoring meetings with Bedford Borough<br>Council.|
||Monitoring<br>performance<br>andprogress|The SDP operates on a RAG system (red, amber, green) with good progress<br>being made. All priority actions are now set against the appropriate KPI(s)<br>and each action is the responsibilityof a namedperson and time limited.|
|**Efficiencies**|||
|Releasing<br>operational savings<br>to increase the<br>workforce delivering<br>front line services|Effectively<br>managing<br>partners’<br>Service Level<br>Agreements<br>(SLAs)|Regular contract monitoring meetings take place between the Charity’s<br>Partners and the Business Manager. Each partner reports back on the<br>progress it is making towards meeting the service requirements of their<br>service level agreement. This regular performance review is a key part of the<br>Charity’s objective of maximising the benefit of services to parents,<br>prospective parents and young children. Each contract monitoring meeting is<br>also used as an opportunity to develop further joint working outside the<br>contract frameworks.|
|**Governance and support services**|||
|Develop ICT<br>accreditation for<br>information security|External<br>accreditation|The Cyber Essentials accreditation remains in place for information security<br>purposes.|
|Undertake a finance<br>and electronic<br>payments internal<br>audit|Complete|A finance and electronic payments internal audit was undertaken by BDO and<br>a substantial assurance rating was achieved.|
|Scrutinise electronic<br>payments via<br>internal audit|Complete|A full review of expenditure payments was undertaken by BDO using data<br>analysis methods to ensure probity and good order. This encompassed every<br>individualpayment made. Apositive assurance ratingwas obtained in 2020.|
|Undertake<br>benchmarking on<br>financial matters|Comparing<br>performance|The Parent Charity participated in the Charity Finance Group’s Finance Count<br>benchmarkinginitiative.|
||Developing for<br>the future|The electronic ordering, commitments and invoicing system was successfully<br>implemented. It now automates a number of manual processes and deliver<br>efficiencies.|
|Undertake<br>benchmarking on<br>people matters|Comparing<br>performance|The Parent Charity participated in the Charity Finance Group’s People Count<br>benchmarking initiative. Opportunities for organisational development are<br>sought for continuous improvement|
||Developing for<br>the future|Our restructured staff team are now able to work more fluidly across the<br>whole of Borough.|



The Charity’s on-going commitment to value for money and continuous improvement will remain a key priority given the challenges to income streams that every commissioned service provider faces and the need to keep service users at the heart of decision making. Specific on-going activities will include: 

- Performance managing outcomes and costs, 

- Responding to service user needs, 

- Maintaining high key performance indicator levels, 

14 



**EARLY CHILDHOOD PARTNERSHIP** 

**Report and financial statements for the year ended 31 March 2021** 

- Responding to commissioner funding decisions, 

- Developing service level agreement outcomes to enhance impact, effectiveness and efficiency, 

- Investing in the culture and values to maximise the Charity’s potential, value for money and continuous improvement. 

## **External Influences** 

As a Charity delivering community services, the Charity is influenced by Government policies towards children’s services. 

## **Objectives and Strategy** 

The Charity’s objects are to: 

- to provide parents, expectant parents and carers with education to assist them to develop their parenting, social and personal skills and capabilities to enable them to enhance the outcomes for young children; 

- to promote and preserve the health of parents, expectant parents, carers and young people; and 

- to relieve and give support and assistance to parents, expectant parents, carers and young children who are in conditions of need, hardship or distress by reason of their social, physical, emotional or economic circumstances. 

The strategies employed to achieve the Charity’s objectives are to: 

- Operate children’s centre services so that operations take place through two main work-streams:  Family support targeted services, 

   - Children’s centre universal services. 

- Align and monitoring contract and partner key performance indicators (KPI); 

- Deliver the service delivery plan that aligns the contract and the needs of beneficiaries; and 

- Develop and deliver a range of Therapeutic and Support Services to children and families who need it most. 

## **Achievements and performance** 

In relation to the strategic objectives, the Charity has made a positive impact upon many lives during the year. 

## Service delivery plan developed to deliver KPIs and new operating model 

- The Council Contract and Partner service level agreements have been delivered; 

- The contract KPIs have been exceeded; 

- The Service delivery plan has continued to develop the Charity’s operating model; 

- The Charity’s staff deliver the core services via two work streams of: Family support, Universal services; 

- The standard of service delivery has been rated as “Good” by Bedford Borough Council; 

- New Therapeutic Support Service established and working effectively; 

- New Contracts and grant funding secured for future years. 

## Matrix management and partnership working in action 

- Family Support Practitioners are aligned to early year providers as link-workers and liaison arrangements established; 

- School and educational support being provided by Peter Pan Teaching School Alliance is driving up the standards of service delivery and offering effective peer support; 

- The Charity’s website, Facebook and bookings portal are in full use by beneficiaries. 

## General 

- Providing children’s centre services to children and supporting vulnerable children with targeted support; 

- Making excellent progress in developing the Bedford Borough children’s centres with a “Good” assessment being maintained throughout the year; 

- Continuing to foster close partnerships and working relationships with social care and health services for the benefit of the families who are cared for; 

- Developing new, much-needed services that respond to local needs. 

15 



**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

The services provided are subject to Commissioner review and the suite of outcomes and key performance indicators agreed in the Council’s contract.  Performance against these is monitored on a regular basis. 

## **Strategic developments on new activities** 

The Charity has worked hard to incorporate and deliver services in a compressed timescale. It will seek to expand its operations when it is prudent and sensible to do so and where there is a need to expand the delivery of services to beneficiaries. 

## **Looking to the future** 

The Charity is committed to developing a strong and vibrant organisation in order to serve its beneficiaries and the local community. In doing so, it will 

- Develop existing service delivery, 

- Build upon the foundations established in the incorporation to attract new business in areas of strength, 

- Improve value for money, 

- Challenge expenditure levels, 

- Ensure that all service areas are exceeding performance targets. 

## **Risks and uncertainties** 

Risks that may prevent the Charity achieving its objectives are considered and reviewed by the Group Trustee Board on a periodic basis as part of the corporate planning processes. The risks are recorded and assessed in terms of their impact and probability. Major risks, presenting the greatest threats to the Charity are reported to the Group Trustee Board at every meeting. The Charity’s major risks relate to: 

- Loss of contract income, 

- Safeguarding / service user reputational incident, 

- Key performance indicator compliance, 

- Partner effectiveness, 

- Property legislative compliance relating to local authority buildings 

- Service user reluctance to re-engage following Covid-19. 

One of the principal risks relates to safeguarding given the beneficiary group that is being worked with. Whilst the Trustee Board reviews controls and standards, One YMCA provides extensive safeguarding support through its Safeguarding Leads Meeting which operates on a Group basis to challenge, support and review the protection and prevention arrangements in force. ECPs Head of Family Support attends the Safeguarding Leads meeting as well as advising on any concerns for the Charity.  The Safeguarding Policy is regularly reviewed by One YMCA, the Business Manager and Partners to ensure that it meets the needs of the services being provided. 

On an annual basis, the Group reviews its key policies and controls frameworks. These included the financial regulations as well as the Code of Governance, committee terms of reference, code of conduct, safeguarding, fraud, whistleblowing, health & safety and equal opportunities policies. The next review is scheduled for Summer/Autumn 2021. 

The risk management and internal controls arrangements are described in more detail in the Report of the Trustee Board on pages 8 and 9. 

## **Approval** 

In approving the Operating and Financial Review, the Trustees are also approving the Strategic Report in their capacity as directors of the Charity. The Operating and Financial Review and the Strategic Report were approved by the Trustee Board on 6 July 2021 and signed on their behalf by: 


Sal Thirlway Chair and Trustee 

16 



**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF EARLY CHILDHOOD PARTNERSHIP** 

## **Opinion** 

We have audited the financial statements of Early Childhood Partnership for the year-ended 31 March 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements: 

- give a true and fair view of the state of the charitable company’s affairs as at 31 March 2021 and of the charitable company’s net movement in funds, including the income and expenditure, for the year then ended; 

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and 

- have been prepared in accordance with the requirements of the Companies Act 2006. 

## **Basis for opinion** 

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. 

## **Conclusions relating to going concern** 

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. 

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. 

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. 

## **Other information** 

The trustees are responsible for the other information. The other information comprises the information included in the Report of the Board, and the Operating and financial review and Strategic Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.  We have nothing to report in this regard. 

17 



**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **Opinions on other matters prescribed by the Companies Act 2006** 

In our opinion, based on the work undertaken in the course of the audit: 

- the information given in the Report of the Board, the Operating and financial review and the Strategic Eeport for the financial year for which the financial statements are prepared is consistent with the financial statements; and 

- the directors’ report contained within the Report of the Board and the Operating and Financial Review and Strategic Report have been prepared in accordance with applicable legal requirements. 

## **Matters on which we are required to report by exception** 

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Board (which incorporates the director’s report), the operating and financial review or the strategic report. 

- We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: 

- adequate accounting records have not been kept by the charitable company; or 

- the financial statements are not in agreement with the accounting records and returns; or 

- certain disclosures of trustees’ remuneration specified by law are not made; or 

- we have not received all the information and explanations we require for our audit. 

## **Responsibilities of trustees for the financial statements** 

As explained more fully in the Statement of Responsibilities of the Trustee Board set out on page 10, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. 

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. 

## **Auditor’s responsibilities for the audit of the financial statements** 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. 

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: 

Based on our understanding of the charitable company and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to the regulation of registered charities, regulation by Ofsted and Health and Safety regulation, and we considered the extent to which noncompliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and the Charities Act 2011, and we considered other factors such as taxation compliance. 

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to areas of estimation uncertainty and manual accounting journals. Audit procedures performed by the engagement team included: 

18 



**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

- Inspecting correspondence with regulators and tax authorities; 

- Discussions with management including consideration of known or suspected instances of noncompliance with laws and regulation and fraud; 

- Evaluating management’s controls designed to prevent and detect irregularities; 

- Identifying and testing a sample of manual journals; and 

- Challenging assumptions and judgements made by management in their critical accounting estimates 

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report. 

## **Use of our report** 

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members, as a body, for our audit work, for this report, or for the opinions we have formed. 


Tracey Young (Senior Statutory Auditor) 10 Queen Street Place For and on behalf of Haysmacintyre LLP, Statutory London Auditor Date 10 September 2021 

19 



**EARLY CHILDHOOD PARTNERSHIP** 

**Report and financial statements for the year ended 31 March 2021** 

## **STATEMENT OF FINANCIAL ACTIVITIES (Incorporating the income and expenditure account) FOR THE YEAR ENDING 31 MARCH 2021** 

|**Income**<br>Donations and legacies<br>Charitable activities<br>**Total income**<br>**Expenditure**<br>Charitable activities<br>**Total expenditure**<br>**Net income**<br>**Net movement in funds**<br>**Reconciliation of funds**<br>Total funds at start of period<br>**Total funds carried forward**|**Notes**<br>3<br>3<br>4<br>11||**Unrestricted**<br>**Funds**<br>**2021**<br>**£**<br>9,332<br>1,366,628|**Restricted**<br>**Funds**<br>**2021**<br>**£**<br>151,177<br>369,849|**Total Funds**<br>**2021**<br>**£**<br>160,509<br>1,736,477<br>**1,896,986**<br>1,569,716<br>**1,569,716**<br>**327,270**<br>**327,270**<br>80,309<br>**407,579**||**Unrestricted &**<br>**Total Funds**<br>**2020**<br>**£**<br>-<br>1,141,866|**Unrestricted &**<br>**Total Funds**<br>**2020**<br>**£**<br>-<br>1,141,866|
|---|---|---|---|---|---|---|---|---|
||||||||||
||||**1,375,960**|**521,026**||||**1,141,866**|
||||1,180,534|389,182||||1,080,771|
||||**1,180,534**|**389,182**||||**1,080,771**|
||||||||||
||||**195,426**|**131,844**||||**61,095**|
||||||||||
||||**195,426**|**131,844**||||**61,095**|
||||80,309|-||||19,214|
||||**257,579**|**150,000**||||**80,309**|



The accompanying notes form part of these financial statements. 

20 



**EARLY CHILDHOOD PARTNERSHIP** 

**Report and financial statements for the year ended 31 March 2021** 

## **BALANCE SHEET** 

## Registered company 10197205 

## **AS AT 31 MARCH 2021** 

|**Current assets**<br>Debtors<br>Cash at bank and in hand<br>**Total current assets**<br>**Liabilities**<br>Creditors: falling due within one year<br>**Total current liabilities**<br>**Net current assets**<br>Provisions for liabilities and charges<br>**Total Net Assets**<br>**The funds of the Charity**<br>Unrestricted funds<br>Restricted funds<br>**Total Charity funds**|**Notes**<br>8<br>9<br>10<br>11|**2021**<br>**£**<br>77,750<br>641,677<br>**719,427**<br>239,848<br>**239,848**<br>**479,579**<br>72,000<br>**407,579**<br>257,579<br>150,000<br>**407,579**|**2020**<br>**£**<br>91,860<br>279,726|
|---|---|---|---|
||||**371,585**<br>219,276|
||||**219,276**<br>**152,309**<br>72,000|
||||**80,309**|
||||62,153<br>18,156|
||||**80,309**|



The accompanying notes form part of these financial statements. 

The accounts were approved by the Trustee Board on 6 July 2021 and were signed on its behalf by: 


Sal Thirlway __________________________   Chair and Trustee 

21 



**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **STATEMENT OF CASH FLOWS** 

## **FOR THE YEAR ENDING 31 MARCH 2021** 

|**Net cash inflow from operating activities**<br>**Change in cash and cash equivalents in the year**<br>Cash and cash equivalents at the beginning of the period<br>Cash and cash equivalents at the end of the period<br>**Reconciliation of net income to net cash inflow from operating activities**<br>Net income for the year<br>Decrease / (increase) in debtors<br>Increase in creditors<br>**Net cash inflow from operating activities**<br>**Analysis of cash and cash equivalents**<br>Cash<br>Cash equivalents<br>**Total cash and cash equivalents**|**2021**<br>**£**<br>**2020**<br>**£**<br>**361,951**<br>**111,454**<br>279,726<br>168,272|
|---|---|
||**641,677**<br>**279,726**|
||327,270<br>61,095<br>14,109<br>(67,793)<br>20,572<br>118,151|
||**361,951**<br>**111,453**|
||641,677<br>279,726<br>**-**<br>**-**|
||**641,677**<br>**279,726**|



The accompanying notes form part of these financial statements. 

22 



**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021** 

## **1.** 

## **Status** 

The Company is limited by guarantee, registered under the Companies Act 2006 registration number 10197205 and a registered Charity number 1168090.  The Charity meets the definition of a public benefit entity under FRS 102. 

The registered office is 30 Meadway, Bedford, MK41 9HU. 

The sole corporate member is One YMCA. 

The Member of the Company undertakes to contribute such amount as may be required (not exceeding £1.00) to the assets of the Company in the event of the same being wound up while it is a member for payment of the debt and liabilities of the Company contracted and of the costs, charges and expenses of winding up. If upon the winding up or dissolution of the Company there remains, after the satisfaction of all its debts and liabilities, any property whatsoever, shall transferred to the Member (One YMCA) or if the Member no longer exists or declined to receive the assets, then to the National Council of Young Men’s Christian Association (Incorporated) or, in the event that these routes are inoperable, as directed by the Charity Commission. 

## **2.** 

## **Principal accounting policies** 

The financial statements are prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities second edition, effective 1 January 2019, preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102). 

In the view of the trustees in applying the accounting policies adopted, the only area of judgement relates to the provision for dilapidations as disclosed in 2(j).  No other judgements were required that have a significant effect on the amounts recognised in the financial statements nor do any estimates or assumptions made carry a significant risk of material adjustment in the next financial year.  No complex financial instruments are held. 

## (a) 

## **Basis of accounting** 

Assets and liabilities are initially recognised at historical cost or transaction values unless otherwise stated in the relevant accounting policy notes.  Those assets measured at fair value are re-measured at each balance sheet date. 

## (b) 

## **Going concern** 

The Charity’s business activities, its current financial position and factors likely to affect its future development are set out within the Operating and Financial Review. On this basis, the Trustee Board has a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future, being a period of twelve months after the date on which the report and financial statements are signed.  As a consequence, they continue to support the going concern basis in preparing financial statements. No material uncertainties exist. 

- (c) 

## **Recognition of income** 

These are included in the Statement of Financial Activities when: 

- a) the Charity becomes entitled to the resources, 

- b) it is more likely than not that the Charity will receive the resources; 

- c) the monetary value can be measured with sufficient reliability 

Contractual income is included in the Statement of Financial Activities once the Charity has delivered its obligations. 

23 



**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021** 

## (d) **Volunteer help** 

The value of any voluntary help received is not included in the accounts, but is described in the Trustees’ annual report. 

## (e) **Expenditure** 

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. 

The Charity has incurred expenditure on support costs. Support costs have been allocated between governance costs and other support. Governance costs comprise all costs involving public accountability of the Charity and its compliance with regulation and good practice. 

Support costs include central functions and have been allocated on a basis consistent with the use of resources. 

Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the Charity to pay out resources and the amount of the obligation can be measured with reasonable certainty. 

- (f) 

## **Debtors and creditors** 

Short term debtors are measured at transaction price, less any impairment and short-term creditors and measured at the transaction price. 

## (g) 

## **Deferred income** 

Where income has been received in respect of service to be provided in a future period, the relevant income has been deferred as a creditor. 

- (h) 

## **Operating leases** 

Rentals payable under the operating leases are charged on a straight-line basis over the lease term. The benefits of lease incentives entered into after the date of transition to FRS102 are recognised in income and expenditure over the lease period. 

## (i) 

## **Pensions** 

## **Group Personal Pension Plan (defined contribution)** 

The Charity also makes contributions to a group personal pension plan (defined contribution) provided by Aviva which is open to all employees. 

## (j) 

## **Provisions for Liabilities** 

Provision has been made for expected property costs at the end of the leases based on the lease terms, management’s assessment of the property condition and external evidence supporting the likely costs. The estimation involves a level of judgment and will be reassessed annually. 

## (k) 

## **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. 

24 



**EARLY CHILDHOOD PARTNERSHIP** 

**Report and financial statements for the year ended 31 March 2021** 

## **NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021** 

## **3. Income** 

|**Income**||||
|---|---|---|---|
|**Donations and legacies**<br>Donations<br>**Charitable activities**<br>Bedford Borough Council<br>children’s centres contract<br>Therapeutic and specialist<br>support services<br>Other<br>**Total income**|**Unrestricted**<br>**Funds**<br>**Restricted**<br>**Funds**<br>**2021**<br>**£**<br>**2021**<br>**£**<br>9,332<br>151,177<br>1,090,768<br>-<br>209,534<br>66,326<br>369,849<br>-|**Total Funds**<br>**2021**<br>**£**<br>160,509<br>1,090,768<br>579,383<br>66,326|**Total Funds**<br>**2020**<br>**£**<br>-<br>1,072,025<br>20,409<br>49,432|
||**1,375,960**<br>**521,026**|**1,896,986**|**1,141,866**|



Restricted income received in 2020 relating to charitable activities totalled £20,409. 

## **4. Expenditure** 

|**Charitable activities**<br>Children’s centre service delivery<br>Programme delivery by partner<br>organisations<br>Therapeutic and specialist<br>support services<br>Support costs<br>**Total expenditure**|**Unrestricted**<br>**Funds**<br>**Restricted**<br>**Funds**<br>**2021**<br>**£**<br>**2021**<br>**£**<br>952,954<br>25,969<br>78,030<br>-<br>-<br>149,550<br>363,213<br>-|**Total funds**<br>**2021**<br>**£**<br>978,923<br>78,030<br>363,213<br>149,550|**Total funds**<br>**2020**<br>**£**<br>717,216<br>265,054<br>-<br>98,500|
|---|---|---|---|
||**1,180,534**<br>**389,132**|**1,569,716**|**1,080,770**|



Restricted expenditure relating to charitable activities in 2020 totalled £2,253. 

## **5. Support costs** 

|Auditors remuneration (excluding VAT) for audit<br>services<br>Company secretarial<br>**Governance costs**<br>Finance, human resources, property & safety (inc.<br>VAT)<br>**Total support costs**||**Children’s **<br>**Centre**<br>**2021**<br>**£**<br>2,553<br>3,647|**Children’s **<br>**Centre**<br>**2021**<br>**£**<br>2,553<br>3,647|**Therapeutic**<br>**Services**<br><br>**2021**<br>**£**<br>947<br>1,353|**Therapeutic**<br>**Services**<br><br>**2021**<br>**£**<br>947<br>1,353|**Total**<br>**funds**<br>**2021**<br>**£**<br>3,500<br>5,000|**Total**<br>**funds**<br>**2020**<br>**£**<br>2,500<br>5,000|
|---|---|---|---|---|---|---|---|
|||||||||
||||6,200||2,300|8,500|7,500|
|||102,879<br>**109,078**|||38,171<br>141,050<br>91,000<br>**40,472**<br>**149,550**<br>**98,500**|||



Support costs and governance costs are apportioned between the children’s centres and Therapeutic Services based upon the time spent on each activity. 

25 



**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021** 

## **6. Trustee Board** 

The Trustees are the non-executive directors of the Company and are also the Trustee Board.  None of the Trustee Board received emoluments.  No expenses were reimbursed during the financial period (2020: nil). 

## **7. Employee information** 

|**Average monthly number of employees**<br>Children’s centres<br>Therapeutic Support Services<br>Total<br>**Staff costs (for the above persons)**<br>Wages and salaries<br>Social security costs<br>Other pension costs|**2021**<br>**2020**<br>**No**<br>**No**<br>28.8<br>14.5<br>26.7<br>-|
|---|---|
||**43.3**<br>**26.7**|
||**2021**<br>**2020**<br>**£**<br>**£**<br>907,746<br>404,741<br>73,311<br>28,217<br>33,745<br>15,470|
||**1,014,802**<br>**448,428**|



There were no employees earning more than £60,000 per annum (2020: nil). 

The aggregate emoluments of key management personnel were £37,228 (2020: £22,602).   The role of Business Manager is performed by the Director of Family Services employed by One YMCA and recharged to the Charity as detailed in note 13. 

## **8. Debtors** 

## **9.** 

|**Debtors**||
|---|---|
|Trade debtors<br>Prepayments and accrued income<br>**Creditors**<br>**Amounts falling due within one year**<br>Trade creditors<br>Accruals<br>Deferred income<br>Other taxes and social security costs<br>Other creditors<br>Amounts owed to parent company|**2021**<br>**2020**<br>**£**<br>**£**<br>57,316<br>91,860<br>20,434<br>-|
||**77,750**<br>**91,860**|
||**2021**<br>**2020**<br>**£**<br>**£**<br>44,349<br>15,728<br>75,196<br>76,014<br>63,727<br>110,650<br>16,940<br>10,329<br>23,776<br>3,869<br>15,860<br>2,686|
||**239,848**<br>**219,276**|



26 



**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021** 

## **10. Provisions for liabilities and charges** 

|At 1 April<br>Arising during the year<br>Used during the year<br>At 31 March|**2021**<br>**2020**<br>**£**<br>**£**<br>72,000<br>47,000<br>-<br>25,000<br>-<br>-|
|---|---|
||**72,000**<br>**72,000**|



A provision for dilapidations to premises is being held to cover the costs of any necessary reinstatement and repairs to the properties at the termination of the leases. 

|**11.**<br>**Fund analysis - 2021**<br>**Fund**<br>Unrestricted - general purposes<br>**Restricted Funds:**<br>Friends of Eastcott<br>Big Lottery – Horizons Project<br>Children in Need<br>Harpur Trust<br>Male Victims<br>Violence & Exploitation Reduction Unit<br>Bedfordshire and Luton Community<br>Children in Need Covid Booster<br>CAST (Comic Relief)<br>Bedfordshire police<br>National Lottery - Dads Aloud<br>Wishing Tree<br>One YMCA<br>Safelives<br>**Total**||**Funds b/f**<br>**Income**<br>62,153<br>1,375,960<br>18,156<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>164,474<br>39,383<br>44,813<br>74,857<br>22,182<br>6,504<br>3,600<br>5,000<br>1,223<br>4,313<br>3,500<br>150,000<br>1,176|**Expenditure**<br>1,180,533<br>18,156<br>164,474<br>39,383<br>44,813<br>74,857<br>22,182<br>6,504<br>3,600<br>5,000<br>1,223<br>4,313<br>3,500<br>-<br>1,176|**Funds c/f**<br>257,579<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>150,000<br>-|
|---|---|---|---|---|
|||**80,309**<br>**1,896,986**|**1,569,715**|**407,579**|



## **Big Lottery Fund – Horizons Project** 

A project working with families affected by domestic abuse, parental substance misuse and parental mental health issues.   Funding of £164,474 was received against expenditure during 2021. 

## **Children In Need** 

A grant funding the provision of a full-time therapist supporting children affected by domestic abuse. Funding of £39,383 was received against expenditure during 2021. 

## **Harpur Trust** 

A grant funding the provision of a full time play therapist supporting children affected by domestic abuse.  Funding of £44,813 was received against expenditure during 2021. 

27 



**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021** 

## **Fund analysis continued** 

## **Male Victims** 

A project supporting male victims of domestic abuse.  Funding of £15,000 was received during the year from the People’s Postcode Trust against expenditure incurred and £95,699 was received from the Bedfordshire Police and Crime Commissioner against expenditure of £59,857.  A balance of £35,842 was held within deferred income. 

## **Violence and Exploitation Reduction Unit** 

A project delivering targeted play therapy for children.  Funding of £36,000 was received during the year of which £22,182 was expended and the balance of £13,820 was held within deferred income. 

## **Bedfordshire and Luton Community** 

Covid-19 funding of £6,504 was awarded during the year to purchase laptops. 

## **Children In Need – Covid Booster** 

A grant of £3,600 for the provision of emotional and wellbeing support for children affected by domestic abuse and Covid-19. 

## **CAST (Comic Relief)** 

A grant of £5,000 was awarded to explore the use of digital services. 

## **Bedfordshire Police** 

Funding of £1,223 was awarded to provide pop up banners relating to male victims. 

## **National Lottery Grant – Dads Aloud** 

Early Childhood Partnership was awarded a grant from The National Lottery Awards for All fund during 2020.  The funding allows the Charity to run a weekly group for fathers and their children aged under five.  It provides them the opportunity to build social networks, creates an informal support system and strengthens relationships in and around the community.  During 2021 £4,313 was expended with a balance of £2,444 being held in deferred income. 

## **Wishing Tree** 

A donation of £3,500 was received from the Wishing Tree Appeal to fund overtime working for Christmas workshops. 

## **Safelives** 

A donation of £1,176 to fund staff laptops was received from Safelives. 

## **Friends of Eastcotts Fund** 

A fund of £18,156 was transferred to Early Childhood Partnership in 2020 to fund the replacement of items at the Eastcotts children’s centre.  The funds were raised by the local community and was fully expended in 2021. 

## **One YMCA** 

A donation of £150,000 was made by One YMCA to ECP to be spread in equal amounts across the next three years, restricted to the service delivery and administration costs for existing and new activities delivered by ECP staff which help the wider Group in the aspiration to “Double its Impact”. 

28 



**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021** 

|**Fund analysis - 2020**<br>**Fund**<br>Unrestricted – general purposes<br>Restricted – Friends of Eastcott<br>Restricted – National Lottery<br>**Total**||**Funds b/f**<br>**Income**<br>19,214<br>1,121,457<br>-<br>18,156<br>-<br>2,253|**Expenditure**<br>1,078,518<br>-<br>2,253|**Funds c/f**<br>62,153<br>18,156<br>-|
|---|---|---|---|---|
|||**19,214**<br>**1,141,866**|**1,080,771**|**80,309**|



## **12. Taxation** 

The Company is a registered Charity qualifying for relief from income and capital gains taxes on its Charitable activities. 

## **13. Related party transactions** 

## One YMCA 

For the financial period under review, two of the Trustees are also Trustees of One YMCA. They were: Sal Thirlway and Alan Victor.  One YMCA provides central services to the Charity such as finance, human resources, safety & compliance and company secretarial work on an arm’s length basis. A charge was made for these services amounting to £96,000 (inclusive of VAT) (2020: £96,000). In addition to this a charge of £33,494 (inclusive of VAT) was made for key management personnel during 2020/21 (2020: £27,123) and a charge of £3,666 (inclusive of VAT) was made for marketing services during 2020/21 (2020: nil).  An amount of £13,997 is accrued for charges not yet billed relating to 2020/21 (2020: £2,686) and shown as a balance due to One YMCA. 

The Charity benefits from an inter-company loan facility for short term cash flow purposes. It was not used in 2019/20. When used, interest is chargeable, it is subject to a debenture deed and One YMCA has a registered charge in respect of it. There is currently a nil balance (2020: £Nil). 

## Others 

For the financial year under review: 

- a) A charge of £54,434 (2020: £38,030) was paid in respect of Peter Pan Teaching Schools Alliance for services during the financial year. An amount of £2,535 is accrued for charges not yet billed relating to 2020/21 (2020: £12,675).  In addition, £10,451 (2020: £8,887) was paid in respect of site costs for two properties. Deborah James, a trustee, was a member of the strategic governing board of Peter Pan Teaching Schools Alliance which provides teaching and education support. 

- b) A charge was made by FACES Bedford for services amounting to £21,600 (2020: £32,400). An amount of £10,800 is accrued for charges not yet billed relating to 2020/21.  Eve Burt served as a trustee of the Charity and she was also a trustee of FACES Bedford who provide volunteering support. 

- c) The wife of a trustee was employed throughout the year as a Domestic Violence Administrator. During the year her remuneration was £14,208. 

## Conflicts of interest 

A conflicts of interest policy is in force and all interests are declared. Where appropriate, conflicted trustees do not participate in decisions. 

29 



**EARLY CHILDHOOD PARTNERSHIP Report and financial statements for the year ended 31 March 2021** 

## **NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021** 

## **14. Operating lease commitments** 

- There are a number of leases in place for children’s centre properties.  The rent at each property is £1. 

## **15. Post balance sheet events** 

Following a competitive tendering process, the Charity has retained the Bedford Borough children’s centre contract, with an average income of £993k per year, across five years. This achievement creates significant financial stability for the charity, but more importantly, allows us to reach, engage and help transform the lives of thousands of local families. We look forward to working with the Council and other ECP Partners to deliver this new contract. 

30