Charity No. 274031
DEVON CLOSE PRE-SCHOOL
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
ALISON WARD ACCOUNTANTS CHARTERED CERTIFIED ACCOUNTANTS
28 HILLS ROAD BUCKHURST HILL ESSEX IG9 5RS
DEVON CLOSE PRE-SCHOOL FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
TRUSTEES
Carol Beckford (Chair) Joanne Springer-Shaw (Vice-Chair) Catherine Tisdall (Secretary) Paula Barrett (Treasurer) Louise Shaw Andrea Ohara (Fundraiser)
CHARITY NUMBER
274031
INDEPENDENT EXAMINER
Alison Ward Accountants Chartered Certified Accountants 28 Hills Road Buckhurst Hill Essex IG9 5RS
CONTENTS
Pages 1 Trustees' Report 5 Independent Examiner's Report 6 Statement of Financial Activities 7 Balance Sheet 8 Notes to the Financial Statements The following do not form part of the accounts: 14 Supplementary note
DEVON CLOSE PRE-SCHOOL TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2022
The trustees present their report and the independently examined financial statements of the charity for the year ended 31 March 2022. The statutory information is shown on Page 1.
STATUS
The charity is an unincorporated association. It has a constitution as its governing document.
PRINCIPAL ACTIVITIES
The principal activity of the charity is the operation of a preschool for children in the locality of Devon Close, Tottenham, London.
PUBLIC BENEFIT
The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing their aims and objectives and in planning future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives of the charity.
ACHIEVEMENTS
Devon Close Pre-School registered in 1998 and is located in the south of the borough. We are situated in a very low-income area and is listed as a high deprivation neighbourhood. The preschool is managed by a voluntary parent committee and we are also a registered charity. We supply affordable childcare to families that are in low-income jobs, on benefits or training to better themselves either at college or within an apprenticeship. We offer vital, affordable childcare to a wide range of families within our community.
Devon Close Pre-School registered in 1998 and is located in the south of the London Borough of Haringey. We are situated in a extremely low-income area and is listed as a high deprivation neighbourhood. The preschool is managed by a voluntary parent committee, and we are also a registered charity.
We have just signed a new 10-year lease with Haringey council and are looking forward to continuing to support local families.
During the pandemic we have completed our large outside area project, giving children a new safe environment to explore and develop in while attending the setting. We are immensely proud of this area as 81% of our attending children and families do not have access to an outside area at home.
We supply affordable childcare to families that are in low-income jobs, on benefits or training to better themselves either at college or within an apprenticeship. We offer vital, affordable childcare to a wide range of families within our community. We provide funded places for both universal 15 hours and the extended 30 hours for working parents. We also offer funded places on the Haringey 2-year-old funded scheme. We can provide sessions for children that our not funded where parents can pay for a session providing them with respite time.
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DEVON CLOSE PRE-SCHOOL TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022
Due to the current pandemic, we are supporting families with their personal mental health concerns, either by offering a flexible range of ways our childcare can be accessed and offering support by listening to families and their struggles and supporting them in finding ways to improve their personal circumstances. We are working closely with the local food bank and Felix project to ensure all our families have access to healthy food.
We have 6 fully qualified childcare staff to care for the children at our setting and support personal development of all our staff. During the pandemic staff have been training in supporting mental health and SEND need for early identification in communication and language. We are governed by Ofsted and have a GOOD rating from our last inspection.
All staff have paediatric first aid, safeguarding and health and safety training. All staff have unique and trained skills, as well as experience that makes our setting an amazing place for children to learn and develop and families to feel safe and confident to leave, their childcare in our care.
PLANS FOR THE FUTURE
Although we are currently experiencing a world pandemic and we are at this time uncertain of what early years development will look like in the future, we are continuing to support families within our local area. At Devon Close preschool we will continue to ensure a safe, supportive environment for all families for children to develop and learn new skills. As a preschool team we are determined to continue to develop our skills in mental health and well-being for everyone involved, including staff, committee and setting users.
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DEVON CLOSE PRE-SCHOOL TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022
FINANCIAL REVIEW
The financial activity during the year and the funds available at 31 March 2022 are shown on Page 7.
RISK MANAGEMENT
The trustees have considered the major risks faced by the charity and have systems in place to mitigate such risks.
RESERVES POLICY
The trustees aim to hold reserves to enable to charity to fix costly items eg heating, burst pipes if necessary without closing the setting.
During 2020/21 we updated our outside play area. Due to the pandemic we were not able to replace the full carpet area, at the approximate cost of £2,000, but plan to do so once it is over.
We used our reserves in 2020/21 as a result of the pandemic. Government funding remained at the same rate per student from 2019/20 through 2020/21 as adjusted for inflation. Government funding rates are being reviewed and we understand may decrease for all students for 2021/22 onwards. We will need to understand how this may affect us as our costs have been and are rising. We may need to use some of our reserves.
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DEVON CLOSE PRE-SCHOOL lRUSTEES' REPORT (CONTINUED} FOR THE YEAR ENDED 31 MARCH 2022
TRUSTEES' RESPONSIBILITIES
Charity law 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 surplus or deficit of the charity for that period. In preparing those financial statements, the trustees are required to:-
1) select suitable accounting policies and then apply them consistently.
2) make judgements and estimates that are reasonable and prudent.
3) 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 which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with Charities Act 2011. 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.
This report was approved by the Trustees on 18th November 2022 and signed on their behalf.
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Carol Beckford (Chair)
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INDEPENDENT EXAMINERS' REPORT TO THE TRUSTEES OF DEVON CLOSE PRE-SCHOOL FOR THE YEAR ENDED 31 MARCH 2022
I report to the trustees on my examination of the accounts of the Devon Close Pre-School (the charity) for the year ended 31 March 2022.
Responsibilities and basis of report
As the trustees of the charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').
I report in respect of my examination of the charity'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 145(5)(b) of the Act.
Independent examiner's statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
accounting records were not kept in respect of the charity as required by section 130 of the Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Alison Ward FCCA Alison Ward Accountants 28 Hills Road Buckhurst Hill Essex IG9 5RS
November 2022
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DEVON CLOSE PRE-SCHOOL STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2022
| **Unrestricted ** | **Unrestricted ** | Restricted | Restricted | Total | Total | |||
|---|---|---|---|---|---|---|---|---|
| Note | Funds | Funds | 2022 | 2021 | ||||
| £ | £ | £ | £ | |||||
| Income: | ||||||||
| Donations and legacies | 6 | 260 | - | 260 | 1,000 | |||
| Income from charitable activities | 7 | 104,868 | - | 104,868 | 125,723 | |||
| Total income | 105,128 | - | 105,128 | 126,723 | ||||
| Expenditure on: | ||||||||
| Charitable activities | 8 | 115,865 | - | 115,865 | 134,544 | |||
| Total | 115,865 | - | 115,865 | 134,544 | ||||
| Net income(expenditure) | (10,737) | - | (10,737) | (7,821) | ||||
| Reconciliation of Funds | ||||||||
| Total funds brought forward | 171,026 | - | 171,026 | 178,847 | ||||
| Total funds carried forward | £ | 160,289 | £ | - | £ | 160,289 | £ | 171,026 |
The notes on pages 8 to 13 form part of these financial statements
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DEVON CLOSE PRE4CHOOL BALANCE SHEEr AS AT 31 MARCH 2022 2021 FIXED ASSErs CURREKfAS8Ers Debtors Cash at bank and in hand 2,005 161.063 1,928 171.489 163.068 173,417 CREDITORS: Amounts f•lllng du• wlthln ¢>n• yoar (2,m) (2.391) NEf CURRENT AS8Ers 160389 171.026 NET ASSErJ £ 160.289 £ 171.026 FINANCEO B. Unro8trKted fund6 £ 160,289 £ 171,026 Th• Kcount• w•r• approv•d by th• board of trugt••s on O Nov•mb•r 2022 and •lgn•d on thelr b•half. Paula 8arrett (Tre88urer) The notss on pages 8 10 13 fom part of these finanrAal statements
DEVON CLOSE PRE-SCHOOL NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2022
1. ACCOUNTING POLICIES
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:
1a. Basis of preparation
The financial statements have been prepared in accordance with the Statement of Recommended Practice: 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) (effective 1 January 2015) as amended by Update Bulletin 1 issued in February 2016, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.
Devon Close Pre-School meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
1b. Preparation of the accounts on a going concern basis
Devon Close Pre-School has reported a deficit of £10,737 for the year. The trustees are of the view that the immediate future of the Trust for the next 12 to 18 months is secure and that on this basis the charity is a going concern.
1c. Income
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the items of income have been met, it is probable that the income will be received and the amount can be measured reliably.
1d. Funds
Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations or grants which the donor has specified are to be used solely for particular purposes/areas of the charity's work or for specific projects undertaken by the charity.
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DEVON CLOSE PRE-SCHOOL NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022
1. ACCOUNTING POLICIES (CONTINUED)
1e. Expenditure and irrecoverable VAT
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:
- Expenditure on charitable activities includes the costs of running the preschool and other activities undertaken to further the purposes of the charity and their associated support costs.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
1f. Tangible fixed assets
Fixed assets are shown at historical cost. Capital items costing in excess of £500 are capitalised and depreciated over their economic useful life. Items costing £500 or less are charged to the Statement of Financial Activities in the year of purchase.
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life by the straight line method.
| % | |
|---|---|
| Computer equipment | 33 |
Toys and play equipment are written off in the year of acqusition.
1g. Debtors
Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid net of discounts due.
1h. Cash at bank and in hand
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
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DEVON CLOSE PRE-SCHOOL NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022
1. ACCOUNTING POLICIES (CONTINUED)
1i. Creditors and provisions
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any discounts due.
1j. Taxation
The charity is exempt from taxation under section 521 to 536 of the Income Tax Act 2007 (ITA 2007).
1k. Pensions
The company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the company to the fund in the year
The employer’s contributions made to the scheme are shown in Note 10.
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DEVON CLOSE PRE-SCHOOL NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022
2. TANGIBLE FIXED ASSETS
| Computer | Computer | ||||
|---|---|---|---|---|---|
| Equipment | Total | ||||
| £ | £ | ||||
| Cost | |||||
| At 1 April 2021 | 1,284 | 1,284 | |||
| At 31 March 2022 | 1,284 | 1,284 | |||
| Depreciation | |||||
| At 1 April 2021 | 1,284 | 1,284 | |||
| At 31 March 2022 | 1,284 | 1,284 | |||
| Net Book Amounts | |||||
| At 31 March 2022 | £ | - | £ | - | |
| 3. | DEBTORS | 2022 | 2021 | ||
| £ | £ | ||||
| Other debtors | - | 100 | |||
| Prepayments | 2,005 | 1,828 | |||
| £ | 2,005 | £ | 1,928 | ||
| 4. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR | ||||
| 2022 | 2021 | ||||
| £ | £ | ||||
| Deposits and fees paid in advance | 1,416 | 1,147 | |||
| Accruals | 1,363 | 1,244 | |||
| £ | 2,779 | £ | 2,391 |
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DEVON CLOSE PRE-SCHOOL NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022
5. LEASE COMMITMENTS
On 25 March 2021 the charity entered into a 10 year lease on the building from which it operates.
The minimum annual rentals under the leases are as follows:
| 2022 | 2021 | |
|---|---|---|
| £ | £ | |
| - within 1 year | 5,500 | 5,000 |
| - within 2-5 years | 5,500 | 5,500 |
| - after 5 years | 7,500 | 7,500 |
6. DONATIONS AND LEGACIES
| **Unrestricted ** | **Unrestricted ** | Restricted | Restricted | Total | Total | |||||
|---|---|---|---|---|---|---|---|---|---|---|
| Funds | Funds | 2022 | 2021 | |||||||
| £ | £ | £ | £ | |||||||
| Snack donations | 260 | - | 260 | - | ||||||
| LB Haringey | - | - | - | 1,000 | ||||||
| 260 £ |
£ | - | £ | 260 | £ | 1,000 | ||||
| 7. | INCOME FROM CHARITABLE ACTIVITIES | |||||||||
| Unrestricted | Restricted | Total | Total | |||||||
| Funds | Funds | 2022 | 2021 | |||||||
| £ | £ | £ | £ | |||||||
| London Borough of Haringey - nursery | ||||||||||
| education grant for 2 years, 3 years | ||||||||||
| and SEND | 79,998 | - | 79,998 | 112,669 | ||||||
| Playgroup fees | 24,154 | - | 24,154 | 12,546 | ||||||
| Uniform sales | 876 | - | 876 | 508 | ||||||
| Training fees | 100 | - | 100 | - | ||||||
| £ | 105,128 | £ | - | £ | 105,128 | £ | 125,723 |
All the 2021 income was unrestricted.
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DEVON CLOSE PRE-SCHOOL NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022
8. CHARITABLE ACTIVITIES
| CHARITABLE ACTIVITIES | ||||||||
|---|---|---|---|---|---|---|---|---|
| Unrestricted | Restricted | Total | Total | |||||
| Funds | Funds | 2022 | 2021 | |||||
| £ | £ | £ | £ | |||||
| Provision of preschool | 115,025 | - | 115,025 | 133,734 | ||||
| Governance costs | 840 | - | 840 | 810 | ||||
| £ | 115,865 | £ | - | £ | 115,865 | £ | 134,544 |
All the 2021 expenditure was unrestricted.
9. GOVERNANCE COSTS
| GOVERNANCE COSTS | ||||||
|---|---|---|---|---|---|---|
| Unrestricted | Restricted | Total | Total | |||
| Funds | Funds | 2022 | 2021 | |||
| £ | £ | £ | £ | |||
| Independent examiner's fees | 840 £ |
- £ |
£ | 840 | £ | 810 |
10. STAFF COSTS AND KEY MANAGEMENT PERSONNEL
The charity considers its Key Management Personnel to be the trustees and the manager.
| Staff costs during the year amounted to: | 2022 | 2021 | ||
|---|---|---|---|---|
| £ | £ | |||
| Wages and salaries | 93,700 | 95,460 | ||
| Social security costs | 1,720 | 1,900 | ||
| Other pension costs | 1,704 | 1,741 | ||
| £ | 97,124 | £ | 99,101 |
The average number of employees during the year was 6 (2021 - 6).
No employee earned more than £60,000 during the year.
11. TRUSTEES EXPENSES
The trustees neither received nor waived any emoluments during the year (2021 - £Nil) Trustees did not claim for out of pocket expenses during the year. (2021 - £Nil)
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DEVON CLOSE PRE-SCHOOL SUPPLEMENTARY NOTE - CHARITABLE ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2022
| 2022 | 2021 | |||
|---|---|---|---|---|
| £ | £ | |||
| Charitable activities | ||||
| Rent and refuse collection | 5,917 | 6,206 | ||
| Business and water rates | 937 | 324 | ||
| Light and heat | 1,469 | 1,472 | ||
| Repairs & renewals | 533 | 1,986 | ||
| Garden works | - | 14,940 | ||
| Salaries | 93,721 | 95,460 | ||
| NIC employer | 1,720 | 1,900 | ||
| Pension contributions | 1,704 | 1,741 | ||
| Food and drink | 366 | 280 | ||
| Recruitment & training | 453 | 399 | ||
| Uniforms | 815 | 987 | ||
| Equipment and toys | 1,603 | 2,273 | ||
| Computer costs | 313 | 277 | ||
| Payroll costs | 874 | 864 | ||
| Insurance | 820 | 1,045 | ||
| Cleaning | 659 | 461 | ||
| Printing and stationery | 496 | 705 | ||
| Telephone | 1,238 | 1,154 | ||
| First Aid and safety | 131 | 48 | ||
| Sundry expenses | 702 | 402 | ||
| Subscriptions and fees | 285 | 586 | ||
| Bank charges | 269 | 224 | ||
| Independent examiner's fees | 840 | 810 | ||
| £ | 115,865 | £ | 134,544 |
This page does not form part of the Charity's Statutory Financial Statements and is prepared for the information of the Trustees only.
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