## Chair’s Report 2024–2025, Ovingham and district under 5s
## Finance update
This year has been a year characterised by challenge and resilience. Significant financial pressures because of lower enrolments have led to a weaker set of results than we would have hoped to have announced, however, the preschool has continued to deliver high-quality early years education through careful management, strong community support, and the unwavering dedication of our staff and trustees.
From a financial perspective, this past year has been one of the most challenging in our history. The trustees have closely monitored our cashflow throughout the year, recognising the pressures on both income and expenditure. For the financial year ending 31 July 2025, we are declaring a modest deficit of £605, with total income of £66,919 and total expenditure of £67,524. While the result represents a small loss, it is noteworthy that it is not larger, given the reduced number of children attending our setting this year. Our ability to limit the deficit to such a small amount reflects the dedication and careful financial management of both staff and our trustees. The bank and cash balance at year-end stood at £12,657, down slightly from £13,262 in 2023/4.
Expenditure was, as expected, dominated by staff costs, which totalled £56,836 (including salaries, pension contributions, and HMRC liabilities). Our dedicated and skilled staff team remains the cornerstone of the preschool’s success, and we continue to look at options to improve pay and to offer more CPD, despite financial pressures.
## Update on building project
We continue to make steady progress towards our long-term goal of securing a new building for the preschool. During the year, we reached a major milestone in agreeing a long lease with our landlord, the Diocese of Newcastle. Architectural plans have been approved in consultation with stakeholders, and comprehensive business plans have been prepared. The next phase will involve refining the drawings and seeking funding sources to bring the project to fruition. The trustees remain fully committed to delivering a sustainable, fit-for-purpose facility for future generations.
## Governance & outlook
This year, we strengthened our governance structure by appointing two additional trustees. Charlie Downing was elected as Secretary for a three-year term, and we warmly welcomed Clara Shield to the team as our Fundraising Officer. Their skills and enthusiasm will be invaluable as we continue to develop our setting.
These remain difficult times for all early year’s providers, particularly those in the voluntary sector, where the so-called “free” childcare hours do not cover the true cost of provision. The resulting tight margins limit our ability to build financial reserves, making long-term planning increasingly complex. However, despite these pressures, I firmly believe that our community-focused model of governance remains a powerful asset. We have an unwavering focus on the wellbeing and development of our children, and every decision the staff and I make, is guided by what is best for the children, their families, and our wider community. As we look ahead, enrolment numbers have improved significantly, and work on securing funding for our building is progressing. With that in mind, the trustees remain committed to ensuring the preschool’s financial resilience and to ensure we continue to deliver high-quality early years education in an independent setting.
Dr Michael Price, Chair – Ovingham and district under 5’s.
## **Ovingham & District Under 5s**
## **Ovingham & District Under 5s**
## **Financial Statements**
**For the year ended 31 July 2025**
**Charity Registration Number 1176119**
1
## **Ovingham & District Under 5s**
## **Cashflow Summary from 1 August 2024 to 31 July 2025**
|Business Receipts|£66919|
|---|---|
|Business Payments|£67524|
|Cash Generated by the Business|£0|
|Bank and cash balance at 1 August 2024|£13262|
|Bank and cash balance at 31 July 2025|£12657|
|Decrease in bank and cash balances for the period|£605|
2
## **Ovingham & District Under 5s**
## **Income and Expenditure**
**Year Ending 31 July 2025**
## **Income**
|Grant Income|£51799||
|---|---|---|
|Fee Income|£8860||
|Wreath Making Evening|£645||
|Proceeds from Raffle|£110||
|Small Grant Karbon Homes|£500||
|Grant – Ovingham Parish Council|£100||
|Interest Free Loan|£3800||
|Fundraising|£1063||
|Paypal Refund|£25||
|BT Refund|£17||
|||**£66919**|
3
## **Expenditure**
|**Staff Costs**
Wages/Salaries
£50068
HMRC
£3935
NEST Pension Contributions
£2833
**Total Staff Costs**
**Non-Staff Costs**
Tapestry Online Learning Journal
£162
OFSTED Registration
£50
Telephone/Broadband
£701
Website Fees
£121
Interior Repairs to Nursery Building
£600
Petty Cash
£360
Resource Materials
£1663
Pre-School Learning (Insurance)
£727
Portable Appliance Testing
£253
School Lunches
£974
PHS
£84
Wreath Making Evening – Costs
£608
Ovingham Oracle Advert
£15
Northumberland CC
£180
Loan Repayment
£3800
Bereavement Package
£27
Council Tax
£363
**Total Non-Staff Costs**
**TOTAL OPERATING COSTS**
**Deficit**|**£56836**
**£10688**
**£67524**
**£605**|
|---|---|
4
## **Ovingham & District Under 5s**
**Statement of Assets and Liabilities as at 31 July 2024**
|**Monetary Assets**|**2025**|**2024**|**2023**|**2022**|
|---|---|---|---|---|
|Bank Current Account|£12657|£13262.00|£12793.00|£9050.00|
|Bank Deposit Account|£0|£0|£0|£11031|
|Cash|£0|£0|£0|£0|
|**TOTAL**|**£12657**|**£13262.00**|**£12793.00**|**£9050.00**|
5
CHARITY COMMISSION
FOR ENGLAND AND WALES
Independent examiner's report on the
accounts
Roport to th• trust••$
On accounts for the year
ended
31 July 2025
Charity no
{if any)
1176119
Set out on pages
2-5 of attached Financial Statements
I report to the trustees on my examination of the accounts of the above
charity I'the Trust") for the year ended
Re8pon8SbllltSes and bas58 As the charity's Iruslees. you are responsible for the preparation of the
of report
accounts in accordance with the requirements of the Charities Ad 2011 {"Ihe
Act.).
I report in respect of my examination of the Trust's accounts carried out
under section 145 of the 2011 Act and in carrying out my examination, I
have followed all the applicable Directions given by the Charity Commission
under section 14515)Ib} of the Act.
Independent examinerfs tThe charity's gross income exceeded £250,000 and l am qualified lo
statement undertake the examination by being a qualified member of linsert name of
applicable listed bc*Jyll- Delete I l if not applicable.
I have completed my examination. l confirm that no material matters have
come to my attention in connection with the examination (other than that
disclosed below ') which gives me cause to believe that in, any material
respect..
the accounting records were not kept in accordance with section 130
of the Charities Act. or
the accounts did not accord with the accounting records., or
the accounts did not comply with the applicable requirements
conceming the fomi 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 maller
considered as part of an independent examination.
I have no concems and have come across no other matters in connection
with the examinalion to which allention should be drawn in this report in
ordei lo enable a proper understanding of Ihe accounts lo be reached.
Please delete the words in the bCketS if they do not apply.
Signed:
Ray Marfey
Date:
0810512026
Name:
Ray Marley
IER
Oct 2018
Relevant professional
qualification(s} or body (if
any):
Address:
79 Kenton Lane
Newcasde upon Tyne
NE3 3BS
Only complete Il the examiner needs lo highlight malerial mallers of concern
(see CC32, Independent examination of charity accounts.. directions and
guidanck for examiners).
IER
Oct 2018
Give here brief details
of any items that the
examiner wishes to
disclose.
IER
Oct 2018