## **Low Moor Pre School**
**Registration number: 1176681 Annual Report and Financial Statements**
**31 August 2022**
## **Low Moor Pre School**
## **Contents**
|Reference and Administrative Details|1|
|---|---|
|Trustees' report|2|
|Trustees' responsibilities|4|
|Independent examiner's report|5|
|Statement of financial activities|6|
|Balance sheet|7|
|Notes to the financial statements|8|
## **Low Moor Pre School**
## **Reference and Administrative Details**
**Charity name** Low Moor Pre School **Charity registration number** 1176681 **Principal office** Lowmoor Evangelical Church WIGTON CA7 9QP **Registered office** Lowmoor Evangelical Church WIGTON CA7 9QP **Trustees** A Rumney (resigned 23 May 2021) A Thompson (resigned 7 September 2021) H Todhunter (appointed 28 August 2021) C Twentyman (resigned 10 October 2022) K Law (resigned 31 August 2022) A Rear (appointed 10 October 2022) H Fell (appointed 10 October 2022) C Taylor (appointed 14 March 2023) **Accountant** Dodd & Co Limited FIFTEEN Rosehill Montgomery Way Rosehill Estate CARLISLE CA1 2RW
Page 1
## **Low Moor Pre School**
## **Trustees' Report for the Period Ended 31 August 2022**
The financial statements have been prepared in accordance with the accounting policies set out in the accounts and comply with the charity’s governing document, the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable in the UK and Republic of Ireland.
## **Structure, governance and management**
Low Moor Pre School is situated in the Evangelical Church in Wigton, Cumbria. It operates 50 weeks of the year between 8.00am - 5.30pm, Monday - Friday.
It provides childcare for the community up to school reception age and offers after-school care for reception children.
The Pre School is a Charitable Incorporated Organisation (CIO) and uses the model constitution for Childcare Providers, which was adopted by the trustees on 3 January 2018. The Pre School is run by a committee of 3 people consisting of a Chairperson, Secretary and Treasurer who meet once a term and hold an AGM annually. The day to day running of the Pre school is undertaken by a team of 17 full-time and part- time staff.
Trustees on appointment are provided with the guidance from the Charity Commission on the duties and responsibilities of trustees, and are provided with any training as needed including safeguarding training.
## **Objectives and activities**
The Pre School aims to provide a child friendly, safe and secure environment to enhance the development and education of children and to promote their social, intellectual and physical development through play, to hopefully then prepare a smooth transition to school.
Children are encouraged to develop self-confidence and self-esteem and to feel valued as individuals. They are regularly observed and their progress planned.
The Trustees endeavor to honour the trust which parents put in the Pre school to nurture their children and give them quality care, whilst working within the guidelines of the early years foundation stage.
The Pre school aims to work as partners with parents and carers and offer flexibility that allows each child's individual needs to be met, to promote equality and the inclusion of each child and their family.
The Trustees promote the professional development of all staff, to ensure they provide high quality experiences for all the children.
In setting the objectives of the charity the trustees have complied with the Charity Commission guidance on public benefit.
## **Achievements and performance**
The Pre school follows the early year's foundation stage to influence further school success with children doing varied activities throughout the year to achieve their goals. This is done through a curriculum of learning through play, initiated activities and planned play by staff.
All children have key members of staff allowing them to bond and get the best from children and parents.
The children are recognised at an early stage by staff if they have a SEN or early help requirement which is put into practice through observations and assessments, allowing meetings with family members and other agencies to promote their learning and wellbeing.
All staff are well qualified with lots of hand-on experience, keeping up to date with relevant training and requirements.
Termly supervisions are held with the committee/manager to reflect practice and children’s learning, giving feedback on improvements and achievements which then allows planning for improvement in the next year.
The Pre school has built up a good reputation in the community through word of mouth from past and present parents, outside agencies and local schools which has led to an increase of numbers of children attending.
Page 2
## **Low Moor Pre School**
## **Trustees' Report for the Period Ended 31 August 2022**
## **Financial review**
The Pre School has extended it's year end to 31 August 2022 and has run at a deficit for the 18 month period following 2 very good years. Expenditure exceeded income by £50,272. The year end reserves are £129,579, of which £126,679 are free reserves.
## **Plans for future periods**
It is hoped that the Pre School can hold an open day for the community, to allow visits by potential parents and children.
The outdoor area is to be updated to promote learning outdoors further and there are plans to take the children to sing in local care homes.
Approved by the Trustees on 23 June 2023 and signed on their behalf by:
.........................................
H Fell Trustee
Page 3
## **Low Moor Pre School**
## **Trustees' Responsibilities in relation to the Financial Statements**
The trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards.
The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations and the provisions of the trust deed. They are responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection fraud and other irregularities.
Page 4
## **Independent Examiner's Report to the Trustees of**
## **Low Moor Pre School**
I report on the accounts of the charity for the period ended 31 August 2022, which are set out on pages 6 to 15.
Your attention is to drawn to the fact that the Charity has prepared the financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has since been withdrawn.
We understand that this has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2019.
## **Respective responsibilities of trustees and examiner**
The Charity's trustees are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.
The charity's gross income exceeded £250,000 and I am qualified to undertake the examination by being a qualified member of The Institute of Chartered Accountants in England and Wales.
It is my responsibility to:
- examine the accounts under section 145 of the 2011 Act;
- follow the procedures laid down in the General Directions given by the Charity Commission under section 145 (5) (b) of the 2011 Act; and
- state whether particular matters have come to my attention.
## **Basis of independent examiner's report**
My examination was carried out in accordance with the General Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a 'true and fair view' and the report is limited to those matters set out in the statement below.
## **Independent examiner's statement**
In connection with my examination, no matter has come to my attention:
- (1) which gives me reasonable cause to believe that in any material respect the requirements:
- to keep accounting records in accordance with section 130 of the Charities Act 2011; and
- to prepare accounts which accord with the accounting records, comply with the accounting requirements of the 2011 Act
have not been met; or
- (2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
......................................... Joanne Thomlinson FCA Dodd & Co Limited Chartered Accountants
FIFTEEN Rosehill Montgomery Way Rosehill Estate CARLISLE CA1 2RW
23 June 2023
Page 5
## **Low Moor Pre School**
## **Statement of Financial Activities for the Period Ended 31 August 2022**
|**Note**
**Income and endowments from:**
Donations and legacies
2
Charitable activities
3
Total income
**Expenditure on:**
Charitable activities
Total expenditure
Net movements in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward|**Unrestricted**
**Funds**
**£**
1,376
275,860|**Total Funds1**
**April 2021**
**to**
**31 August**
**2022**
**Total Funds**
**Year ended**
**31 March**
**2021**
**£**
**£**
1,376
6,541
275,860
198,289|**Total Funds1**
**April 2021**
**to**
**31 August**
**2022**
**Total Funds**
**Year ended**
**31 March**
**2021**
**£**
**£**
1,376
6,541
275,860
198,289|
|---|---|---|---|
||277,236|277,236|204,830|
||327,508|327,508|172,562|
||327,508|327,508|172,562|
||(50,272)
179,851|(50,272)
179,851|32,268
147,583|
||129,579|129,579|179,851|
The notes on pages 8 to 15 form an integral part of these financial statements.
Page 6
## **Low Moor Pre School**
## **Balance Sheet as at 31 August 2022**
|**Note**
**Fixed assets**
Tangible assets
9
**Current assets**
Debtors
10
Cash at bank and in hand
**Creditors: Amounts falling due within**
**one year**
11
**Net current assets**
**Net assets**
**The funds of the charity:**
**Unrestricted funds**
Unrestricted income funds
**Total charity funds**|**31 August 2022**
**£**
**£**
2,900
25,956
102,388
128,344
(1,665)
126,679
129,579
129,579
129,579|**31 March 2021**
**£**
**£**
1,589
-
179,583
179,583
(1,321)
178,262
179,851
179,851
179,851|**31 March 2021**
**£**
**£**
1,589
-
179,583
179,583
(1,321)
178,262
179,851
179,851
179,851|
|---|---|---|---|
||||179,851|
||||179,851|
||||179,851|
The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
Approved by the Board on 23 June 2023 and signed on its behalf by:
.........................................
H Fell Trustee
The notes on pages 8 to 15 form an integral part of these financial statements.
Page 7
**Low Moor Pre School**
**Notes to the Financial Statements for the Period Ended 31 August 2022**
## **1 Accounting policies**
## **Statement of compliance**
The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the second edition of the Charities Statement of Recommended Practice issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.
The accounts (financial statements) have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) rather than the Accounting and Reporting by Charities:Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
## **Basis of preparation**
The charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
## **Going concern**
These financial statements have been prepared on a going concern basis.
## **Fund accounting policy**
Unrestricted income funds are general funds that are available for use at the trustees' discretion in furtherance of the objectives of the charity.
Further details of each fund are disclosed in note 14.
## **Income and endowments**
Grants that provide core funding or are of a general nature are recognised where there is entitlement, certainty of receipt and the amount can be measured with sufficient reliability.
## **Government grants**
Grants relating to revenue are recognised in the profit and loss account on a systematic basis over the periods in which the related costs are recognised for which the grant is intended to compensate. Grants for the purpose of giving immediate financial suport with no future related costs to be incurred are recognised in the profit and loss account when the grant proceeds become available.
Income from charitable activities includes income recognised as earned (as the related goods or services are provided) under contract or where entitlement to grant funding is subject to specific performance conditions. Grant income included in this category provides funding to support programme activities and is recognised where there is entitlement, certainty of receipt and the amount can be measured with sufficient reliability.
Page 8
## **Low Moor Pre School**
## **Notes to the Financial Statements for the Period Ended 31 August 2022**
_......... continued_
## **Expenditure**
Liabilities are recognised as soon as there is a legal or constructive obligation committing the charity to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category.
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
## **Support costs**
Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.
## **Fixed assets**
Individual fixed assets costing £100 or more are initially recorded at cost.
## **Depreciation**
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:
|Equipment|10%/20% reducing balance basis|
|---|---|
|Computer equipment|25% reducing balance basis|
## **Cash and Cash Equivalents**
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
## **Operating leases**
Rentals payable under operating leases are charged in the statement of financial activities on a straight line basis over the lease term.
## **Pensions**
The charity operates a defined contribution pension scheme. Contributions are charged in the statement of financial activities as they become payable in accordance with the rules of the scheme.
## **2 Donations and legacies**
|**Grants**
UK Government grants|**Unrestricted**
**Funds**
**£**
1,376|**Total Funds**
**1 April**
**2021 to**
**31 August**
**2022**
**£**
1,376|**Total Funds**
**Year ended**
**31 March**
**2021**
**£**
6,541|
|---|---|---|---|
All of the donations and legacies income in 2021 related to unrestricted funds.
Page 9
## **Low Moor Pre School**
## **Notes to the Financial Statements for the Period Ended 31 August 2022**
_......... continued_
## **3 Charitable activities**
|**Pre School**
Grants - other agencies
Fees and supplies|**Unrestricted**
**Funds**
**£**
149,820
126,040|**Total Funds**
**1 April**
**2021 to**
**31 August**
**2022**
**£**
149,820
126,040|**Total Funds**
**Year ended**
**31 March**
**2021**
**£**
147,348
50,941|
|---|---|---|---|
||275,860|275,860|198,289|
All of the income from charitable activities in 2021 related to unrestricted funds.
Page 10
## **Low Moor Pre School**
## **Notes to the Financial Statements for the Period Ended 31 August 2022**
_......... continued_
## **4 Total expenditure**
|**Direct costs**
Equipment and toys
Consumables
Wages and salaries
Staff NIC (Employers)
Staff pensions
Rent
Repairs and maintenance
Staff training
Redundancy costs
Insurance
Telephone and fax
Printing, postage and stationery
Sundry expenses
**Support costs**
Office expenses
Advertising
Accountancy fees
Independent examiner's fee
Legal and professional fees
Bank charges
Depreciation of plant and machinery|**Pre School**
**£**
1,283
10,222
260,526
5,636
2,574
12,750
3,090
1,550
7,774
636
1,072
792
2,692|**Total**
**1 April**
**2021 to**
**31 August**
**2022**
**£**
1,283
10,222
260,526
5,636
2,574
12,750
3,090
1,550
7,774
636
1,072
792
2,692|**Total**
**Year ended**
**31 March**
**2021**
**£**
817
12,090
137,123
2,034
1,923
9,000
3,715
-
-
623
421
531
-|
|---|---|---|---|
||310,597|310,597|168,277|
||496
14
5,355
500
9,621
223
702|496
14
5,355
500
9,621
223
702|2,013
-
1,351
500
-
-
421|
||16,911|16,911|4,285|
||327,508|327,508|172,562|
All of the expenditure in 2021 related to unrestricted funds.
Page 11
## **Low Moor Pre School**
## **Notes to the Financial Statements for the Period Ended 31 August 2022**
_......... continued_
## **5 Governance costs**
|Accountancy fees
Independent examiner's fee
Legal and professional fees|**2022**
**£**
5,355
500
9,621|**2021**
**£**
1,351
500
-|
|---|---|---|
||15,476|1,851|
## **6 Trustees' remuneration and expenses**
No trustees received any remuneration or expenses during the period.
## **7 Employees' remuneration**
The monthly average number of persons (including senior management) employed by the charity during the period was as follows:
|Charitable activities
The aggregate payroll costs of these persons were as follows:
Wages and salaries
Social security
Other pension costs|**1 April 2021 to**
**31 August 2022**
**No.**
16
**1 April 2021 to**
**31 August 2022**
**£**
268,300
5,636
2,574
276,510|**Year ended**
**31 March 2021**
**No.**
12|
|---|---|---|
|||**Year ended**
**31 March 2021**
**£**
137,123
2,034
1,923|
|||141,080|
During the period, the charity made redundancy and/or termination payments which totalled £7,774 (2021 - £nil). These costs are included in total wages and disclosed above.
No employee received emoluments of more than £60,000 during the year.
Page 12
## **Low Moor Pre School**
## **Notes to the Financial Statements for the Period Ended 31 August 2022**
_......... continued_
## **8 Taxation**
The registered charity is exempt from taxation on income and gains.
## **9 Tangible fixed assets**
|**Cost**
As at 1 April 2021
Additions
As at 31 August 2022
**Depreciation**
As at 1 April 2021
Charge for the period
As at 31 August 2022
**Net book value**
As at 31 August 2022
As at 31 March 2021
**Debtors**
Trade debtors
Other debtors|**31 August 2022**
**£**
23,784
2,172
25,956|**Fixtures,**
**fittings and**
**equipment**
**£**
2,563
2,013|
|---|---|---|
|||4,576|
|||974
702|
|||1,676|
|||2,900|
|||1,589|
|||**31 March 2021**
**£**
-
-|
|||-|
## **10 Debtors**
## **11 Creditors: Amounts falling due within one year**
|Taxation and social security
Accruals and deferred income|**31 August 2022**
**£**
-
1,665
1,665|**31 March 2021**
**£**
321
1,000|
|---|---|---|
|||1,321|
Page 13
**Low Moor Pre School**
## **Notes to the Financial Statements for the Period Ended 31 August 2022**
_......... continued_
## **12 Pension scheme**
## **Defined contribution pension scheme**
The charity operates a defined contribution pension scheme. The pension cost charge for the period represents contributions payable by the charity to the scheme and amounted to £2,574 (31 March 2021 - £1,923).
There were no outstanding or prepaid contributions at either the beginning or end of the financial year.
## **13 Related parties**
## **Controlling entity**
The charity is controlled by the trustees.
## **Related party transactions**
During the year, Amy Thompson stood down as a trustee and took up a position as an employed business manager within the charity.
## **14 Analysis of funds**
|**General Funds**
Unrestricted income fund
**Prior period**
**General Funds**
Unrestricted income fund|**At 1 April**
**2021**
**Incoming**
**resources**
**Resources**
**expended**
**£**
**£**
**£**
179,851
277,236
(327,508)
**At 1 April**
**2020**
**Incoming**
**resources**
**Resources**
**expended**
**£**
**£**
**£**
147,583
204,830
(172,562)|**At 31**
**August 2022**
**£**
129,579
**At 31 March**
**2021**
**£**
179,851|
|---|---|---|
Page 14
**Low Moor Pre School**
## **Notes to the Financial Statements for the Period Ended 31 August 2022**
_......... continued_
## **15 Net assets by fund**
|Tangible assets
Current assets
Creditors: Amounts falling due within one year
Net assets
**Prior period**
Tangible assets
Current assets
Creditors: Amounts falling due within one year
Net assets||**Unrestricted**
**Funds**
**£**
2,900
128,344
(1,665)
129,579
**Unrestricted**
**Funds**
**£**
1,589
179,583
(1,321)
179,851|**Total Funds 31**
**August 2022**
**£**
2,900
128,344
(1,665)
129,579
**Total Funds**
**2021**
**£**
1,589
179,583
(1,321)
179,851|**Total Funds 31**
**March 2021**
**£**
1,589
179,583
(1,321)
179,851
**Total Funds**
**2020**
**£**
2,010
148,295
(2,722)
147,583|**Total Funds 31**
**March 2021**
**£**
1,589
179,583
(1,321)
179,851
**Total Funds**
**2020**
**£**
2,010
148,295
(2,722)
147,583|
|---|---|---|---|---|---|
|||||||
|||||||
||||||147,583|
Page 15