CHARITY REGISTRATION NUMBER: 1198316
Babyzone
Financial Statements
31 March 2025
BURGESS HODGSON AUDIT LIMITED
Chartered accountants & statutory auditor Camburgh House 27 New Dover Road Canterbury Kent CT1 3DN
Babyzone
Financial Statements
Year ended 31 March 2025
| Page | |
|---|---|
| Trustees' annual report | 1 |
| Independent auditor's report to the members | 10 |
| Statement of financial activities | 14 |
| Statement of financial position | 15 |
| Statement of cash flows | 16 |
| Notes to the financial statements | 17 |
Babyzone
Trustees' Annual Report
Year ended 31 March 2025
The trustees present their report and the financial statements of the charity for the year ended 31 March 2025.
| Reference and administrative | details |
|---|---|
| Registered charity name | Babyzone |
| Charity registration number | 1198316 |
| Principal office | Scale Space |
| 58 Wood Lane | |
| London | |
| W12 7RZ | |
| United Kingdom | |
| The trustees | |
| C S Mindenhall | |
| P Radcliffe | |
| S Hesz | |
| L Cary-Elwes | |
| L Legassick | |
| J Cushion | |
| Auditor | Burgess Hodgson Audit Limited |
| Chartered accountants & statutory auditor | |
| Camburgh House | |
| 27 New Dover Road | |
| Canterbury | |
| Kent | |
| CT1 3DN |
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Babyzone
Trustees' Annual Report (continued)
Year ended 31 March 2025
The Trustees of the charity (registered number 1198316 on 22 March 2022) present their Trustees' Annual Report for the purposes of section 162 of the Charities Act 2011 together with the Financial Statements of the Charity for the period ending 31 March 2025.
Who we are
BABYZONE is a charity which provides essential support for disadvantaged families with children under six, offering developmental classes and resources to foster early childhood growth. Babyzone empowers parents and caregivers to overcome challenges associated with poverty, enhancing parenting skills and promoting better outcomes for their children.
Structure, governance and management
BABYZONE was registered as a Charity on 21 March 2022 (Charity registration number: 1198316).
Recruitment and appointment of trustees
The first trustees were the subscribers to the constitution as notified to the Charity Commission as the first trustees of the charity. A person appointed as a trustee thereupon becomes a member of the charity and a trustee who ceases to hold office for any reason thereupon ceases to be a member of the charity. Trustees have the power to appoint any person to be a trustee who is willing to act as such. New trustees will be recruited according to the needs of the charity and the suitability of possible candidates. A majority approval of existing trustees would lead to their appointment.
The constitution states that the number of members (trustees) shall have no maximum and shall not be less than three.
Full details of the rules are contained in the charity's constitution, dated on registration on 21 March 2022, which may be inspected at the charity's registered office.
Organisational Structure
BABYZONE is governed by its Trustee Board which is responsible for setting the strategic direction of the organisation and the policy of the Charity. The Trustees carry the ultimate responsibility for the conduct of BABYZONE and for ensuring that the Charity satisfies its legal and contractual obligations. Trustees meet approximately every three months. The Trustees delegate day-to-day management to Babyzone's senior management team.
Decisions are determined by a simple majority of votes. In the case of an equality of votes the Chair of the meeting has the casting vote.
Risk management
The Trustees have considered the major risks to which the Charity is exposed and have established suitable risk management and control procedures.
The main risks and controls are as follows:
Funding and financial sustainability
Risk: The charity does not raise sufficient income to continue delivering its services to families beyond the 2025/26 financial year. Mitigation: The charity has two staff whose specific responsibilities include fundraising and has adopted a broad fundraising strategy across trusts and foundations, individual donors, and partnerships. Income pipelines are reviewed regularly by senior management and the Board, with scenario planning and cost controls used to manage financial risk.
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Babyzone
Trustees' Annual Report (continued)
Year ended 31 March 2025
Safeguarding and child safety
Risk: A failure in safeguarding, including the recruitment or retention of unsuitable individuals or the failure to respond appropriately to concerns, could result in harm to children or adults at risk, loss of trust from families and partners, and regulatory or reputational consequences for the charity.
Mitigation: All employees, volunteers and trustees undergo appropriate pre-appointment checks, including Disclosure and Barring Service (DBS) checks. The charity has a designated Safeguarding Lead and trained Deputy Designated Safeguarding Leads at each hub, supported by up-to-date safeguarding and child protection policies and a critical incident policy.
Objectives and activities
Our Objectives:
The objects of the CIO are:
(1) TO ADVANCE THE EDUCATION OF, AND TO DEVELOP THE CAPACITY AND SKILLS OF, PARENTS AND CARERS OF CHILDREN, AND CHILDREN THEMSELVES AGED BETWEEN 0 TO 5 IN ENGLAND AND WALES USING A BARRIERLESS APPROACH (AS DEFINED BELOW) TO ALLOW ALL FAMILIES TO ACCESS A STRUCTURED OFFER THAT ENABLES THEM TO BETTER ENGAGE IN THEIR CHILDREN'S EARLIEST EDUCATION AND DEVELOPMENT; THE BENEFIT OF WHICH IS AN INCREASE IN THE NUMBER OF BABIES THAT WILL RECEIVE EARLY ENGAGEMENT FROM THEIR CARERS WHICH EVIDENCE TELLS US WILL LEAD TO INCREASED EMOTIONAL RESILIENCE, THE DEVELOPMENT OF VITAL SPEECH AND LANGUAGE SKILLS AND CONSEQUENTIAL REDUCTION IN THE ATTAINMENT GAP; AND
(2) TO PROMOTE SOCIAL INCLUSION AND EQUALITY AND DIVERSITY BY UTILISING A BARRIERLESS APPROACH (AS DEFINED BELOW) TO DELIVER OBJECT 3(1), WITH THE AIM OF (I) DEMONSTRATING THE VALUE OF THE BARRIERLESS APPROACH IN REACHING THE PREVIOUSLY UNSUPPORTED FAMILIES THAT WOULD BENEFIT FROM THE SERVICES THE MOST, (II) PUTTING ACCESSIBILITY AND THE NEEDS OF FAMILIES AT THE HEART OF THE PROVISION OF THE SERVICES AND (III) SHARING KNOWLEDGE WITH OTHER SOCIAL PROGRAMMES THAT FAIL TO REACH THE PEOPLE WHO NEED THEIR SERVICES ABOUT THE BENEFITS OF USING A BARRIERLESS APPROACH; THE BENEFIT OF WHICH IS (A) INCREASED ENGAGEMENT FROM THOSE PEOPLE THAT NEED THE SERVICES THE MOST, (B) LESS WASTE OF FUNDS AS THE PROGRAMMES WILL HAVE INCREASED PARTICIPATION AND (C) A MORE ENGAGED AND INCLUSIVE COMMUNITY. A 'BARRIERLESS APPROACH' MEANS REMOVING ALL THE BARRIERS THAT ARE LIKELY TO PREVENT PEOPLE FROM JOINING OR PARTICIPATING IN PROGRAMMES; INCLUDING, WITHOUT LIMITATION, HAVING NO (I) BOOKING SYSTEM, (II) SET TIMETABLES, (III) SIGN IN PROCESS, (IV) FEES AND (V) RULES WHICH COULD RESULT IN PEOPLE BEING TURNED AWAY. THE IDEA IS THAT THERE ARE NO BARRIERS AT ALL - THE DOORS ARE OPEN, YOU DON'T HAVE TO SIGN IN, SIMULTANEOUS CLASSES RUN ALL THE TIME BABYZONE IS OPEN, YOU CAN NEVER BE LATE, AND YOU CAN JOIN AND LEAVE THE CLASSES WHENEVER YOU NEED OR WANT TO.
Our Activities
We run free, high-quality Babyzone hubs in the heart of communities facing the greatest disadvantage. Each hub is a joyful, welcoming place where parents and children (0-5) can play, learn and connect, and where local health teams, councils and charities deliver support together under one roof. Our hubs operate as "community hubs": we use evidence and parent feedback to refine what we do and share what works across the network. This low-barrier design removes practical and social hurdles to engagement and makes early years help feel natural, welcoming and easy to access.
In every hub, families can drop into evidence-informed classes and experiences that strengthen early development and the parent-child relationship. Our own programmes: Babyzone Everyday Maths
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Babyzone
Trustees' Annual Report (continued)
Year ended 31 March 2025
(embedding early numeracy in daily routines) and Babyzone NEST (Name, Empathise, Self-regulate, Team-up), sit alongside partner-led sessions spanning language, play, health and parenting. Sessions are hands-on, playful and practical so ideas transfer home; they're designed to be simple, low-cost and easy for parents to repeat with their children.
Babyzone hubs also act as a one-stop platform for joined-up support. Families can access co-located services in a safe, familiar setting, such as infant-feeding clinics, Early Help checks, Dad Matters groups, bereavement support and employment and benefits advice, and be signposted to wider help without the stigma or friction of navigating multiple agencies. Our partnership network has grown rapidly, embedding Babyzone as a trusted convenor for health, early learning and family support locally.
We extend help beyond the delivery day through digital engagement. The Baby Buddy app, now part of Babyzone, provides 24/7, evidence-based guidance with strong engagement and accessibility for lower-income and multilingual families. Our WhatsApp Communities give parents real-time tips, polls and peer support using low-data, low-barrier channels, so families feel connected between hub visits and can shape local offers (e.g., around child behaviour, school-readiness and parental mental health). We also share open content so practical ideas are always at families' fingertips.
Finally, we are building the Babyzone Academy to equip practitioners, inside and beyond Babyzone, with short, mobile-first courses drawn from our curricula and partner programmes. Its social "Buzz" features help effective practice spread quickly across settings, ensuring our hubs, programmes and digital support reinforce one another for the greatest impact.
Achievements and performance
This year, across our hubs we welcomed 27,106 family visits (up 29% year-on-year), with 61,737 total attendances by parents and children (+30%) and 3,105 first-time family visits (+25%). Fathers' and male carers' participation continued to climb to 2,371 visits (+22%), reflecting our visible, welcoming approach for dads. Importantly, around 70% of families we supported live in communities facing financial strain or everyday hardship, indicating that our offer is reaching those who stand to benefit most.
We launched two new Babyzones, one in Blackburn and one in Wigan, in spring 2025, extending access in the North West. Early traction has been strong: Blackburn recorded 766 family visits in its first 12 delivery days, quickly settling at 100+ families per week, while Wigan recorded 313 family visits in the opening phase alongside wide civic and partner backing. Grimsby is scheduled to open in the autumn, extending our reach to another area of significant need. These launches take us to eight active hubs during the period.
Quality and depth of engagement remained high. We delivered 4,416 evidence-informed classes (+42%), giving parents playful, practical ideas they can use at home. In our independent family survey, 84% of parents reported using ideas from Babyzone at home "a lot/very often" or "quite often"; 88% strongly agreed they had met other parents and learned useful tips; and 95% said their child's development benefitted, from social skills and communication to readiness for nursery and school. Parents consistently describe Babyzone as fun, friendly, educational and safe, a place where children thrive and adults feel relaxed and supported.
Partnership working multiplied outcomes. Over the year more than 260 organisations collaborated with us in-hub and around families' needs. Examples include the DWP supporting 62 families at Babyzone Croydon with backdated benefits and employment advice; Happy Baby Community reaching 281 mothers in Barnet; and new infant-feeding and Early Help clinics with NHS teams running in trusted community settings so concerns are spotted earlier and parents receive timely support. This joined-up model means a parent can attend a class and address health, welfare or learning needs in a single, stigma-free visit.
Our digital arm amplified reach and reinforced behaviour change between sessions. Families consumed 2.5 million pieces of content on Baby Buddy; WhatsApp Community interactions topped
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Babyzone
Trustees' Annual Report (continued)
Year ended 31 March 2025
300,000, helping parents get real-time tips and peer support; and our Global Awareness Campaign generated 1.5 million impressions to spotlight the early years nationally. Early signs of integration are positive, with ~2,000 new Baby Buddy registrations in Babyzone localities during the period, and site-level WhatsApp polls shaping support (e.g., demand for school-readiness and child-behaviour content).
We continued to deliver strong value for money while widening impact. Our capital-light, partnership-powered model and gift-in-kind core support helped keep unit costs around £8 per person visit, £213 per family per year, and ~£130,000 per hub per annum, directing the majority of spend to direct support.
Babyzone reports its impact in line with the academic year. The performance of Babyzone is presented for the 24/25 academic year.
Related party transactions
Transactions with OnSide Youth Zones
Background:
Babyzone has entered into facilities rental arrangements with Future, WEST, Legacy, Warrington and Unitas Youth Zones, independent charities within the OnSide Youth Zone network. The Chair of Babyzone also serves as the Chair of OnSide Youth Zones. This disclosure outlines the arrangements, their basis and rationale.
Nature of transaction:
Babyzone rents facilities and associated services from the Youth Zones to deliver its charitable activities. Payments are charged on a per-session basis and cover relevant costs inherent to the offer (e.g. utilities, maintenance and venue services).
Rationale for transaction:
Fair value: Babyzone explored alternative venues locally to ensure value for money but did not identify options meeting the required standard at a comparable cost. The rates agreed with the Youth Zones are below the fair market value for equivalent facilities in the area.
Partnership: Through the connection to the OnSide network, Babyzone secures reliable, family-friendly venues embedded in their communities at a discounted rate.
Conclusion:
The arrangements with Future, WEST, Legacy, Warrington and Unitas Youth Zones were entered into in the best interests of the charity and on terms below fair market value. The relationship has been transparently disclosed and subject to independent scrutiny to confirm reasonableness.
Transactions with Blenheim Chalcot
Background:
Blenheim Chalcot provided extensive gift-in-kind support to Babyzone during the year ended 31 March 2025. Blenheim Chalcot is an entity with which Babyzone's Chair is connected. Babyzone's model explicitly leverages in-kind core services to keep costs focused on families.
Nature of transaction and period covered:
Blenheim Chalcot provided the following services throughout the financial year: Legal; Tax; Finance; Information Technology and Data Analysis; Managerial; Secretarial; Talent; Human Resources; Offices and facilities; Compliance; and Networks.
Recognition and valuation basis:
The fair-value of the gift-in-kind support recognised for the year is £350,000, valued with reference to Blenheim Chalcot's external rate card for comparable services.
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Babyzone
Trustees' Annual Report (continued)
Year ended 31 March 2025
Conclusion:
The in-kind services materially strengthened governance and delivery capacity while allowing philanthropic funds to flow to frontline activity. The valuation methodology is consistent and supportable; the transaction was conducted transparently and on terms advantageous to the charity. (See also Impact Report discussion of capital-light model supported by BLENHEIM CHALCOT in-kind provision.)
Transaction with Corporate Donor
Background:
During the year, Babyzone received an unrestricted donation from a corporate donor. A director of this donor entity is also a Trustee of Babyzone.
During the year Babyzone also received a restricted donation from a corporate donor. An employee of this donor entity is also a Trustee of Babyzone.
Nature of transaction:
Both donations carried no conditions or preferences and was applied at the Trustees' discretion to Babyzone's charitable purposes.
Governance and conflicts:
The connected Trustees did not participate in any decisions relating to the approach to, acceptance of, or deployment of the donation and was recused from all relevant discussions and approvals, in accordance with Babyzone's conflicts of interest policy.
Conclusion:
The donations were accepted following due diligence and internal review, with appropriate conflict management to protect Babyzone's independence and integrity.
Other related parties
Beyond the Youth Zones, Blenheim Chalcot and the donor above, the Trustees are not aware of other related party transactions requiring disclosure for the year.
Public benefit
All the activities of Babyzone (as summarised above) are undertaken to further its charitable purposes for public benefit. The provision of a high-quality, barrierless early engagement service for children aged 0-5 and their parents and carers responds to a clear, ongoing demand from families for better support. Although providing a service to all families, Babyzone will focus on attendance and participation by families from disadvantaged backgrounds, measured as the bottom three deciles of the national indices of deprivation. This will lead to improved outcomes for children and their families, including:
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Increased emotional resilience
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Developed vital speech and language skills
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Reduced attainment gap
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Increased engagement from those families that need the services the most
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Less waste of funds as the programmes will have increased participation
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A more engaged and inclusive community
Babyzone's services are essential to the well-being of young children and their families in the local community. Our accessible approach ensures that everyone has access to its services, regardless of their circumstances.
The Trustees of BABYZONE believe they have complied with the duty in section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission.
Volunteers' contribution
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Babyzone
Trustees' Annual Report (continued)
Year ended 31 March 2025
Throughout the period all members of the Board of Trustees made invaluable voluntary contributions to the Charity's work in terms of governance, professional and business experience, financial planning, fundraising and leading initiatives across the charity. Such contributions were, on average, equivalent to five full days each calendar month.
Our volunteers and parent ambassadors contributed a full day per week to welcome families, support sessions and sustain the Babyzone atmosphere. (Per our accounting policy, no monetary value is recognised for general volunteers, but their contribution is fundamental to the outcomes reported above.)
Investment Activities
Under the constitution, the charity has the power to make any investment which the Trustees see fit. Investments are made where required to further the aims and objects of the Charity. Currently, the Charity does not currently hold any investments other than cash on deposit with CAF and Wise.
Financial review
A summary of the results for the year is shown below:
| £ | |
|---|---|
| Incoming resources | 976,143 |
| Outgoing resources | 826,236 |
| Net incoming resources | 149,907 |
The charity continues to cultivate further donations from a variety of sources as outlined below.
Reserves Policy
The Board of Trustees of BABYZONE has established a reserves policy which appropriately reflects the risks to which the Charity is exposed. The reserves policy does not consider expenditure which is linked to restricted projects and therefore covered by restricted funds.
In reviewing the potential costs that could arise should a significant reduction in income be incurred, the Trustees have determined that unrestricted, 'free', reserves should be maintained at approximately 3 months running costs. The Trustees manage Babyzone's finances so that an adequate level of reserves can be maintained in compliance with the reserves policy. At 31 March 2025, the charity had total funds of £184,845, of which £65,000 is restricted and £119,875 unrestricted.
Principal Funding Sources
The Trustees wish to record their thanks to all those individuals and companies who have made donations or pledged their support to the work of the Charity; this includes: The AKO Foundation, The City Bridge Foundation, The Childhood Trust, The Health and Education Alliance, Purposeful Ventures plus other anonymous donors.
Future plans
In the year ahead we will deepen impact for families while expanding access in new places. We will open three new Babyzones - Grimsby, Swansea and Glasgow - applying our established launch playbook that has underpinned the early success of Blackburn and Wigan. This growth extends our partnership-powered, community-led model so that more families can access trusted, one-stop early-years support close to home.
To ensure quality grows with scale, we will launch the Babyzone Academy, a digital learning network to equip practitioners across Babyzone hubs and the wider sector with short, practical courses drawn from our own curricula and partners. Initial pathways will focus on Babyzone Everyday Maths and
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Babyzone
Trustees' Annual Report (continued)
Year ended 31 March 2025
Babyzone NEST, turning proven hub practice into mobile-first modules, with social "Buzz" features that spread what works quickly between settings.
We will scale our evidence-informed programmes across the network. Everyday Maths (our 40-week pathway that embeds early numeracy in daily routines) will roll out more widely, while NEST will continue to strengthen children's emotional literacy and co-regulation. Programme development will be driven in community hubs and continuous feedback loops so learning travels from hub to home.
Our digital offer will keep extending support beyond the delivery day. Building on strong foundations - 2.5 million pieces of content consumed on Baby Buddy and ~300,000 WhatsApp interactions - we will keep integrating trusted content, polls and nudges into local communities so parents receive timely advice and peer support between visits.
Partnerships will continue to broaden and deepen. We will grow co-located health and family-support clinics in hubs and convene more local and national collaborators, building on the 260+ organisations who worked with us this year. Our capital-light approach - hosting in high-quality community venues - will remain central, keeping fixed costs low and directing resources to families as we scale.
Alongside delivery, we will strengthen evaluation and learning through the Babyzone Academy and our NPC-designed framework (Parent Confidence Index and hub-to-home measures), so we can evidence confident parenting, reduced isolation and improved early outcomes at greater scale.
Trustees' responsibilities statement
The trustees are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England and Wales requires the charity trustees to prepare financial statements for each 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:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the applicable Charities SORP;
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make judgments and accounting estimates that are reasonable and prudent;
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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 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 and enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the Trust Deed. They 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.
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Babyzone
Trustees' Annual Report (continued)
Year ended 31 March 2025
The trustees' annual report was approved on .............................. and signed on behalf of the board of 26th January 2026 trustees by:
SIGN C S Mindenhall Trustee
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Babyzone
Independent Auditor's Report to the Members of Babyzone
Year ended 31 March 2025
Opinion
We have audited the financial statements of Babyzone (the 'charity') for the year ended 31 March 2025 which comprise the statement of financial activities, statement of financial position, statement of cash flows and the related notes, 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 FRS 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:
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give a true and fair view of the state of the charity's affairs as at 31 March 2025 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;
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have been prepared in accordance with the requirements of the Charities Act 2011.
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 charity'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.
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Babyzone
Independent Auditor's Report to the Members of Babyzone (continued)
Year ended 31 March 2025
Other information
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. 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.
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' report.
We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:
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the information given in the trustees' report is inconsistent in any material respect with the financial statements; or
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adequate accounting records have not been kept; or
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the financial statements are not in agreement with the accounting records and returns; or
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we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the trustees' responsibilities statement, the trustees 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 charity'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 charity or to cease operations, or have no realistic alternative but to do so.
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Babyzone
Independent Auditor's Report to the Members of Babyzone (continued)
Year ended 31 March 2025
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:
We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we have considered; the nature of the industry, control environment.
We also consider the results of our enquiries of management, relating to their own identification and assessment of the risks of irregularities and possible related fraud. This includes reviewing available documentation on their policies and procedures and performing tests of controls to evidence their effectiveness.
Throughout the audit testing we are considering the incentives that may exist within the organisation for fraud. Key areas include timing of recognising income around the year end, posting of unusual journals. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.
We ensure we have an understanding of the relevant laws and regulations and remain alert to possible non-compliance throughout the audit.
Despite proper planning and audit work in accordance with auditing standards there are inherent limitations and unavoidable risk that we may not detect some irregularities and material misstatements in the financial statements. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.
As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:
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Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
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Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control.
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Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees.
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Babyzone
Independent Auditor's Report to the Members of Babyzone (continued)
Year ended 31 March 2025
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Conclude on the appropriateness of the trustees' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the charity to cease to continue as a going concern.
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Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
Use of our report
This report is made solely to the charity's members, as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity'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 charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed.
Andrew Collyer (Senior Statutory Auditor)
For and on behalf of Burgess Hodgson Audit Limited Chartered accountants & statutory auditor Camburgh House 27 New Dover Road Canterbury Kent CT1 3DN
26/01/2025
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Babyzone
Statement of Financial Activities
Year ended 31 March 2025
| 2025 | 2024 | ||||
|---|---|---|---|---|---|
| Unrestricted | Restricted | ||||
| funds | funds | Total funds | Total funds | ||
| Note | £ | £ | £ | £ | |
| Income and endowments | |||||
| Donations and legacies | 4 | 909,093 | 67,050 | 976,143 | 508,621 |
| -------------------------------- | --------------------------- | -------------------------------- | -------------------------------- | ||
| Total income | 909,093 | 67,050 | 976,143 | 508,621 | |
| ================================ | =========================== | ================================ | ================================ | ||
| Expenditure | |||||
| Expenditure on charitable activities | 5,6 | 808,536 | 17,700 | 826,236 | 550,154 |
| -------------------------------- | --------------------------- | -------------------------------- | -------------------------------- | ||
| Total expenditure | 808,536 | 17,700 | 826,236 | 550,154 | |
| ================================ | =========================== | ================================ | ================================ | ||
| -------------------------------- | --------------------------- | -------------------------------- | -------------------------------- | ||
| Net income/(expenditure) and net | |||||
| movement in funds | 100,557 | 49,350 | 149,907 | (41,533) | |
| ================================ | =========================== | ================================ | ================================ | ||
| Reconciliation of funds | |||||
| Total funds brought forward | 19,318 | 15,650 | 34,968 | 76,501 | |
| -------------------------------- | --------------------------- | -------------------------------- | -------------------------------- | ||
| Total funds carried forward | 119,875 | 65,000 | 184,875 | 34,968 | |
| ================================ | =========================== | ================================ | ================================ |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 17 to 23 form part of these financial statements.
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Babyzone
Statement of Financial Position
31 March 2025
| 2025 | 2024 | ||
|---|---|---|---|
| Note | £ | £ | |
| Fixed assets | |||
| Tangible fixed assets | 12 | 27,466 | 18,759 |
| Current assets | |||
| Debtors | 13 | 7,390 | 116,470 |
| Cash at bank and in hand | 206,100 | 43,738 | |
| -------------------------------- | -------------------------------- | ||
| 213,490 | 160,208 | ||
| Creditors: amounts falling due within one year | 14 | 56,081 | 143,999 |
| -------------------------------- | -------------------------------- | ||
| Net current assets | 157,409 | 16,209 | |
| -------------------------------- | --------------------------- | ||
| Total assets less current liabilities | 184,875 | 34,968 | |
| -------------------------------- | --------------------------- | ||
| Net assets | 184,875 | 34,968 | |
| ================================ | =========================== | ||
| Funds of the charity | |||
| Restricted funds | 65,000 | 15,650 | |
| Unrestricted funds | 119,875 | 19,318 | |
| -------------------------------- | --------------------------- | ||
| Total charity funds | 16 | 184,875 ================================ |
34,968 =========================== |
These financial statements were approved by the board of trustees and authorised for issue on 26th January 2026........................, and are signed on behalf of the board by:
----- Start of picture text -----
SIGN
----- End of picture text -----
C S Mindenhall Trustee
The notes on pages 17 to 23 form part of these financial statements.
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Babyzone
Statement of Cash Flows
Year ended 31 March 2025
| 2025 | 2024 | |
|---|---|---|
| £ | £ | |
| Cash flows from operating activities | ||
| Net income/(expenditure) | 149,907 | (41,533) |
| Adjustments for: | ||
| Depreciation of tangible fixed assets | 13,066 | 8,291 |
| Accrued expenses | 31,377 | 33,934 |
| Changes in: | ||
| Trade and other debtors | (2,920) | 308 |
| Trade and other creditors | (7,295) | 31,130 |
| -------------------------------- | --------------------------- | |
| Cash generated from operations | 184,135 | 32,130 |
| -------------------------------- | --------------------------- | |
| Net cash from operating activities | 184,135 | 32,130 |
| ================================ | =========================== | |
| Cash flows from investing activities | ||
| Purchase of tangible assets | (21,773) | (7,155) |
| -------------------------------- | --------------------------- | |
| Net cash used in investing activities | (21,773) | (7,155) |
| ================================ | =========================== | |
| Net increase in cash and cash equivalents | 162,362 | 24,975 |
| Cash and cash equivalents at beginning of year | 43,738 | 18,763 |
| -------------------------------- | --------------------------- | |
| Cash and cash equivalents at end of year | 206,100 | 43,738 |
| ================================ | =========================== |
The notes on pages 17 to 23 form part of these financial statements.
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Babyzone
Notes to the Financial Statements
Year ended 31 March 2025
1. General information
The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is Scale Space, 58 Wood Lane, London, W12 7RZ, United Kingdom.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)) and the Charities Act 2011.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Going concern
There are no material uncertainties about the charity's ability to continue.
Judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Fund accounting
Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.
Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.
Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.
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Babyzone
Notes to the Financial Statements (continued)
Year ended 31 March 2025
3. Accounting policies (continued)
Incoming resources
All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:
-
income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.
-
legacy income is recognised when receipt is probable and entitlement is established.
-
income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.
-
income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.
Resources expended
Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:
-
expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.
-
expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.
-
other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.
All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.
Tangible assets
Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
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Babyzone
Notes to the Financial Statements (continued)
Year ended 31 March 2025
3. Accounting policies (continued)
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
Fixtures and fittings - 3 years straight line Equipment - 3 years straight line
Impairment of fixed assets
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.
Financial instruments
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into.
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses.
Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently, they are measured at amortised cost using the effective interest rate method, less impairment. If an arrangement constitutes a finance transaction it is measured at present value.
Defined contribution plans
Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.
4. Donations and legacies
| Unrestricted | Restricted | Total Funds | |
|---|---|---|---|
| Funds | Funds | 2025 | |
| £ | £ | £ | |
| Donations | |||
| Donations | 909,093 | 67,050 | 976,143 |
| ================================ | =========================== | ================================ | |
| Unrestricted | Restricted | Total Funds | |
| Funds | Funds | 2024 | |
| £ | £ | £ | |
| Donations | |||
| Donations | 504,271 | 4,350 | 508,621 |
| ================================ | ======================= | ================================ |
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Babyzone
Notes to the Financial Statements (continued)
Year ended 31 March 2025
5. Expenditure on charitable activities by fund type
| Unrestricted | Restricted | Total Funds | |||
|---|---|---|---|---|---|
| Funds | Funds | 2025 | |||
| £ | £ | £ | |||
| Direct charitable activities | 437,319 | 17,700 | 455,019 | ||
| Support costs | 371,217 | – | 371,217 | ||
| -------------------------------- | --------------------------- | -------------------------------- | |||
| 808,536 | 17,700 | 826,236 | |||
| ================================ | =========================== | ================================ | |||
| Unrestricted | Restricted | Total Funds | |||
| Funds | Funds | 2024 | |||
| £ | £ | £ | |||
| Direct charitable activities | 359,121 | 700 | 359,821 | ||
| Support costs | 190,333 | – | 190,333 | ||
| -------------------------------- | -------------- | -------------------------------- | |||
| 549,454 | 700 | 550,154 | |||
| ================================ | ============== | ================================ | |||
| Expenditure on charitable activities by activity | type | ||||
| Activities | |||||
| undertaken | Support | Total funds | Total fund | ||
| directly | costs | 2025 | 2024 | ||
| £ | £ | £ | £ | ||
| Direct charitable activities | 455,019 | 362,962 | 817,981 | 542,037 | |
| Governance costs | – | 8,255 | 8,255 | 8,117 | |
| -------------------------------- | -------------------------------- | -------------------------------- | -------------------------------- | ||
| 455,019 | 371,217 | 826,236 | 550,154 | ||
| ================================ | ================================ | ================================ | ================================ | ||
| Analysis of support costs | |||||
| Support | |||||
| costs | Total 2025 | Total 2024 | |||
| £ | £ | £ | |||
| Staff costs | 264,878 | 264,878 | 158,378 | ||
| Premises | 56,320 | 56,320 | 777 | ||
| Communications and IT | 5,023 | 5,023 | 46 | ||
| General office | 35,195 | 35,195 | 22,935 | ||
| Finance costs | 1,496 | 1,496 | 45 | ||
| Governance costs | 8,305 | 8,305 | 8,152 | ||
| -------------------------------- | -------------------------------- | -------------------------------- | |||
| 371,217 | 371,217 | 190,333 | |||
| ================================ | ================================ | ================================ | |||
| Net income/(expenditure) | |||||
| Net income/(expenditure) is stated after | charging/(crediting): | ||||
| 2025 | 2024 | ||||
| £ | £ | ||||
| Depreciation of tangible fixed assets | 13,066 | 8,291 | |||
| =========================== | ======================= | ||||
| Auditors remuneration | |||||
| 2025 | 2024 | ||||
| £ | £ | ||||
| Fees payable for the audit of the financial statements | 5,350 | 4,280 | |||
| ======================= | ======================= |
6. Expenditure on charitable activities by activity type
7. Analysis of support costs
8. Net income/(expenditure)
9. Auditors remuneration
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Babyzone
Notes to the Financial Statements (continued)
Year ended 31 March 2025
9. Auditors remuneration (continued)
During the year, the company's auditor changed from Burgess Hodgson LLP to Burgess Hodgson Audit Limited following a change in legal structure of the audit firm. The responsible individual remains the same.
10. Staff costs
The total staff costs and employee benefits for the reporting period are analysed as follows:
| 2025 | 2024 | |
|---|---|---|
| £ | £ | |
| Wages and salaries | 223,253 | 153,940 |
| Social security costs | 6,457 | 3,296 |
| Employer contributions to pension plans | 1,336 | 870 |
| -------------------------------- | -------------------------------- | |
| 231,046 | 158,106 | |
| ================================ | ================================ |
The average head count of employees during the year was 17 (2024: 10).
No employee received employee benefits of more than £60,000 during the year (2024: Nil).
11. Trustee remuneration and expenses
The Trustees and certain other senior employees who have authority and responsibility for planning, directing and controlling the activities of the charity, are considered to be key management personnel. No Trustees received remuneration during the period.
12. Tangible fixed assets
| Fixtures and | |||
|---|---|---|---|
| fittings | Equipment | Total | |
| £ | £ | £ | |
| Cost | |||
| At 1 April 2024 | 29,127 | 1,198 | 30,325 |
| Additions | 21,668 | 105 | 21,773 |
| --------------------------- | ----------------------- | --------------------------- | |
| At 31 March 2025 | 50,795 | 1,303 | 52,098 |
| =========================== | ======================= | =========================== | |
| Depreciation | |||
| At 1 April 2024 | 10,944 | 622 | 11,566 |
| Charge for the year | 12,659 | 407 | 13,066 |
| --------------------------- | ----------------------- | --------------------------- | |
| At 31 March 2025 | 23,603 | 1,029 | 24,632 |
| =========================== | ======================= | =========================== | |
| Carrying amount | |||
| At 31 March 2025 | 27,192 | 274 | 27,466 |
| =========================== | ======================= | =========================== | |
| At 31 March 2024 | 18,183 | 576 | 18,759 |
| =========================== | ======================= | =========================== |
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Babyzone
Notes to the Financial Statements (continued)
Year ended 31 March 2025
13. Debtors
| 2025 | 2024 | |
|---|---|---|
| £ | £ | |
| Trade debtors | 60 | 1,200 |
| Prepayments and accrued income | 7,330 | 115,270 |
| ----------------------- | -------------------------------- | |
| 7,390 | 116,470 | |
| ======================= | ================================ | |
| Creditors: amounts falling due within one year | ||
| 2025 | 2024 | |
| £ | £ | |
| Trade creditors | 38,629 | 46,025 |
| Accruals and deferred income | 17,161 | 97,784 |
| Other creditors | 291 | 190 |
| --------------------------- | -------------------------------- | |
| 56,081 | 143,999 | |
| =========================== | ================================ |
14. Creditors: amounts falling due within one year
15. Pensions and other post retirement benefits
Defined contribution plans
The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £1,336 (2024: £870).
16. Analysis of charitable funds
Unrestricted funds
| Unrestricted funds | |||||
|---|---|---|---|---|---|
| At | At | ||||
| 1 | April 2024 | Income | Expenditure | 31 March 2025 | |
| £ | £ | £ | £ | ||
| General funds | 19,318 | 909,093 | (808,536) | 119,875 | |
| =========================== | ================================ | ================================ | ================================ | ||
| At | At | ||||
| 1 | April 2023 | Income | Expenditure | 31 March 2024 | |
| £ | £ | £ | £ | ||
| General funds | 64,501 | 504,271 | (549,454) | 19,318 | |
| =========================== | ================================ | ================================ | =========================== |
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Babyzone
Notes to the Financial Statements (continued)
Year ended 31 March 2025
16. Analysis of charitable funds (continued)
Restricted funds
| Restricted funds | |||||
|---|---|---|---|---|---|
| At | At | ||||
| 1 April 2024 | Income | Expenditure | 31 March 2025 | ||
| £ | £ | £ | £ | ||
| Restricted Funds | 15,650 | 67,050 | (17,700) | 65,000 | |
| =========================== | =========================== | =========================== | =========================== | ||
| At | At | ||||
| 1 April 2023 | Income | Expenditure | 31 March 2024 | ||
| £ | £ | £ | £ | ||
| Restricted Funds | 12,000 | 4,350 | (700) | 15,650 | |
| =========================== | ======================= | ============== | =========================== | ||
| 17. | Analysis of net assets between funds | ||||
| Unrestricted | Restricted | Total Funds | |||
| Funds | Funds | 2025 | |||
| £ | £ | £ | |||
| Tangible fixed assets | 27,466 | – | 27,466 | ||
| Current assets | 148,490 | 65,000 | 213,490 | ||
| Creditors less than 1 year | (56,081) | – | (56,081) | ||
| -------------------------------- | --------------------------- | -------------------------------- | |||
| Net assets | 119,875 | 65,000 | 184,875 | ||
| ================================ | =========================== | ================================ | |||
| Unrestricted | Restricted | Total Funds | |||
| Funds | Funds | 2024 | |||
| £ | £ | £ | |||
| Tangible fixed assets | 18,759 | – | 18,759 | ||
| Current assets | 144,558 | 15,650 | 160,208 | ||
| Creditors less than 1 year | (143,999) | – | (143,999) | ||
| -------------------------------- | --------------------------- | -------------------------------- | |||
| Net assets | 19,318 | 15,650 | 34,968 | ||
| ================================ | =========================== | ================================ | |||
| 18. | Analysis of changes in net debt | ||||
| At | |||||
| At 1 Apr 2024 | Cash flows | 31 Mar 2025 | |||
| £ | £ | £ | |||
| Cash at bank and in hand | 43,738 | 162,362 | 206,100 | ||
| =========================== | ================================ | ================================ |
19. Related parties
Pages 5 and 6 of the trustees report discloses the entities and the nature of transactions with related entities. The total amount paid to the related parties is £191,870.
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