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2023-03-31-accounts

Charity registration number: 285210

KENSAL GREEN UNDER FIVES GROUP Annual Report and Financial Statements for the Year Ended 31 March 2023

Kensal Green Under Fives Group (Charity Reg. No: 285210)

_____________

Contents
Trustees' Report 1
Independent Examiner's Report 6
Statement of Financial Activities 7
Balance Sheet 8
Notes to the Financial Statements 9 - 14

Kensal Green Under Fives Group (Charity Reg. No: 285210)

Trustees’ Report for the year ended 31st March 2023

_____________

The Board of Trustees are pleased to submit their report and independently examined financial statements for the year ended 31st March 2023.

Reference and Administrative Information

Kensal Green Under Fives Group is a local nursery providing full and part time day-care and education primarily to those from black and ethnic minority backgrounds, those on low incomes and single parents. The charity also provides early years education training and mentoring.

These financial statements comply with current Statement of Recommended Practice applicable to charities preparing their accounts in accordance with Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) – Charities SORP (FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Registered office

130 Mortimer Road London NW10 5SN

Trustees

The Trustees serving during the year and since the year end were as follows:

Cheryl Noel

Pamela Clarke Bridget Thornton

Bankers

TSB Bank 58 High Street Harlesden London NW10 4LP

Independent Examiners

Additude Ltd 9 Rhapsody Court Wakeman Road London NW10 5DF

Objects, Aims and Principal Activities

The Charity’s principal activities are the education of children below compulsory school age, the advancement of public education of childcare and the promotion of better care and upbringing of children under compulsory school age.

Principal charitable activities

The principal charitable activity of Kensal Green Under Fives Group is in seeking to meet the above aims.

Page 1

Kensal Green Under Fives Group (Charity Reg. No: 285210)

Trustees’ Report for the year ended 31st March 2023 (continued)

_____________

Public Benefit

Kensal Green Under Fives Group carries out a wide range of activities as detailed in pursuance of its charitable aims. In setting the work programme each year the Trustees have regard to the Charity Commission’s guidance on public benefit and ensure activities we undertake are in line with our charitable objectives and aims.

The Trustees are satisfied that the Charity’s activities throughout the year provided public benefit because:

Review of Achievements and Performance

In the past year we have sustained high levels of occupancy (85%) and have had very few vacancies. Attendance at parents’ meetings throughout the pandemic, and on the virtual platform Zoom, has been consistent and parents have continued to support the nursery by fundraising for resources and equipment. Staff have all completed, and gone beyond, their four day’s obligatory (Ofsted) training days. We have increased our links with other community organizations and work in partnership to do the best for our families and community (Kensal Rise Library and Elders Voice for example).The nursery was successful in its bid for NCIL grant funding of £20,000 to refurbish the outdoor space. This will make an enormous difference to the quality of play and education that the nursery can offer its children and families. With the end of lockdown restrictions the nursery resumed outings and social events (Summer BBQ, Summer Trip to the seaside, local environment).

Financial Review

The statement of financial activities shows a surplus of £16,423 [2022: Deficit of £20,204] at 31 March 2023. Total funds balance at the year end, taking into account funds brought forward at the beginning of the year, included unrestricted funds of £59,334 [2022: £42,911 ], none of which were designated [2022: £0].

Structure, Governance and Management

Kensal Green Under Fives Group is a registered charity.

Governance

Responsible governance of the charity is exercised through the Board of Trustees who are all board members (‘the Board’). The Board is made up of independent lay members who are responsible for the conduct of charity and for ensuring that it satisfies all legal and contractual obligations. The Trustees are volunteers and are not remunerated for their time. The Board is responsible for setting the strategic direction of the charity and is ultimately accountable for how effectively the charity meets the defined aims through direct charitable activity. The Board employs staff members who support the board with strategic planning and operational activities. The Board comprises 3 Trustees who meet at least three times a year. Financial and management reports are provided quarterly to the Board of Trustees.

Page 2

Kensal Green Under Fives Group (Charity Reg. No: 285210)

Trustees’ Report for the year ended 31st March 2023 (continued)

_____________

The Management Committee

The charity has a management committee, which meets once a month. All parents and staff are encouraged to come to the meeting and to join in the discussions. The committee sets the goals, strategies and policies of the nursery, makes sure that they are put into practice, and looks at overall financial management. It also provides support for the staff and makes sure that the nursery building is being maintained. The committee members are six elected parents and up to three co-opted members. The six parents’ representatives on the committee are elected at the Annual General Meeting. From among those people elected at the Annual General Meeting three officers are elected by the members of the committee to be the Chairperson, Secretary and Treasurer. Attendance at the monthly meetings of parents remains high and parents have contributed to the nursery through their fundraising for resources. Throughout the pandemic parents have used the nursery’s virtual platform, Zoom to communicate with the nursery as well as use of EYLog (software to track the development of each child) and each other. Covid restrictions have impacted on face to face meetings in the nursery.

Trustee Investment powers

Investment powers are governed by the Trust Deed. There are no restrictions on charity’s absolute powers of investment to the extent that any retained funds that arise are dealt with by depositing surpluses into the COIF Charities Deposit Fund or with authorised banks.

Trustee recruitment, induction and training

The Board of Trustees has power to appoint additional Trustees as it considers fit to do so to ensure that all relevant skills and experience are represented. The appointed Trustees fulfil their duties without any term limitations. Each new Trustee is given an induction in the work of the charity and financial procedures. A Trustee shall cease to hold office if he or she (1) is disqualified for acting as a Trustee by virtue of sections 178 and 179 of the Charities Act 2011 or any statutory re-enactment or modification of that provision, (2) is no longer able to fulfil duties due to medical reasons, (3) is absent without the permission of the Trustees from all their meetings held within a period of six months, (4) notifies to the Trustees a wish to resign.

Management and Staffing Structure

There were no significant changes to charity’s staffing and its structure during 2022-23. Staff turnover is not an issue for the nursery. The management structure is as follows: Manager: Margaret Bailey Two Deputies: Ms Paula Edmund and Paulette Davies

Nursery Practitioners: Four staff.

One full time member of staff retired and we plan to replace her. There are financial implications which we hope we are able to overcome by appointing an apprentice. The current nursery Apprentice has completed her Level 3 qualification and will leave the nursery in July to take up a position in a nursery closer to her home. Covid restrictions have impacted on the nursery’s ability to have students and work placements as the numbers working in the setting are restricted to comply with guidelines of social distancing and restricting contacts within the nursery.

Principal Risks and Uncertainties

Page 3

Kensal Green Under Fives Group

(Charity Reg. No: 285210)

Trustees’ Report for the year ended 31st March 2023 (continued)

_____________ The Charity undertakes periodic reviews for different areas of risk including, safeguarding, OFSTED, pediatric first aid, insurance cover; health and safety policies in the workplace; financial affairs; personnel practices; ICT technology. In relation to these matters, and apart from matters completely outside the Charity’s control, the Trustees consider that the risks to which the Charity is subject have been mitigated to a satisfactory level. The charity closely manages its finances. A budget is approved before the beginning of the year. All expenditure is monitored against budget and authorised by the Nursery Manager who is responsible for ensuring that the expenditure remains within agreed limits.

Reserves policy

The charity holds free reserves for a variety of purposes. In a relatively steady operating environment such purposes would include:

The charity’s free reserves stood at £59,334 at 31 March 2023 (2022 - £42,911). The Trustees remain of the view that a minimum level of free reserves of £100,000, roughly equivalent to six months of core operating costs, should be maintained. In the meantime, the charity is committed to ensuring that no reduction in reserves occurs.

Plan for future periods

The nursery will continue to have similar high levels of occupancy and parent involvement as these are core elements of its service provision. Plans created by the nursery with input from community support are now in place to commence the refurbishment of the outdoor space, with a Parents’ Committee set up to oversee the project. Outdoor play and learning workshops and training for parents and staff will take place to accompany the transformation of the garden.

Statement as to Disclosure of Information to Independent Examiner

Each of the persons who are Trustees at the time when this report is approved confirms that:

Independent Examiners

The officers of the charity have agreed to re-appoint Additude Ltd as the charity’s Independent Examiner and the proposal of this appointment will be put forward to the board at the forthcoming Annual General Meeting.

Page 4

Kensal Green Under Fives Group (Charity Reg. No: 285210)

Trustees’ Report for the year ended 31st March 2023 (continued)

_____________

Approved by the Board 20 Dec 2023 and signed on its behalf by:

......................................... ......................................... Cheryl Noel Margaret Bailey

Page 5

Kensal Green Under Fives Group

(Charity Reg. No: 285210)

Trustees’ Report for the year ended 31st March 2023 (continued)

_____________

Statement of Trustees’ responsibilities

The Trustees are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The Trustees are required to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income or expenditure, of the charitable company for that period.

In preparing these accounts, the Trustees are required to:

The Trustees are responsible for keeping proper and adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 6

Kensal Green Under Fives Group

(Charity Reg. No: 285210)

Independent Examiner’s Report to the Trustees for the year ended 31st March 2023

_____________

We report on the accounts of the company for the year ended 31 March 2023, which are set out on pages 7 to 14.

Respective responsibilities of trustees and examiner

The trustees are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under section 144 of the Charities Act 2011 (“the Charities Act”) and that an independent examination is needed. I am qualified to undertake the examination by being a qualified member of CIPFA.

It is my responsibility to:

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 the 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:

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.

Andi Dollia, CPFA ADDITUDE LTD 9 Rhapsody Court, Wakeman Road London NW10 5DF

Date: 20 Dec 2023

Page 7

Kensal Green Under Fives Group

(Charity Reg. No: 285210)

Independent Examiner’s Report to the Trustees of Kensal Green Under Fives Group for the year ended 31st March 2023

________
Income from:
Note
Donations and
legacies
3
Charitable
activities
4
Total income
Expenditure on:
5
Raising funds
Charitable
activities
Total expenditure
Net income
(expenditure)
Transfers between
funds
Other recognised
gains/(losses)
Net movement in
funds
Reconciliation of funds:
Total funds
brought forward
Total funds
carried forward		 _______
Restricted
£
-
-
-
-
-
-
-
-
-
-
-
-		 ______
Unrestrict
ed
£
89,236
98,877
188,113
2,324
169,366
171,690
16,423
-
-
16,423
42,911
59,334		 _____
2023
Total
£
89,236
98,877
188,113
2,324
169,366
171,690
16,423
-
-
16,423
42,911
59,334		 _____
Restricted
£
-
-
-
-
-
-
-
-
-
-
-
-		 _____
Unrestrict
ed
£
86,040
92,238
178,278
2,630
195,852
198,482
(20,204)
-
-
(20,204)
63,115
42,911		 2022
Total
£
86,040
92,238
178,278
2,630
195,852
198,482
(20,204)
-
-
(20,204)
63,115
42,911

The notes on pages 9 to 14 form part of these financial statements.

Page 8

Kensal Green Under Fives Group

(Charity Reg. No: 285210)

Independent Examiner’s Report to the Trustees for the year ended 31st March 2023

________
Note

2022
Fixed Assets
Tangible fixed assets
Current assets
Debtors 9
Cash at bank
Total current assets
Current liabilities
amounts falling due within one year 10
Net current assets
Non-current liabilities
amounts falling due after more than one year 11
Net assets
Funds
13
Restricted
Unrestricted: General
Total funds		 _____
2023
£
£
- -
5,000
4,595
93,609
59,716
98,609
64,311
24,775
6,900
73,834
57,411
14,500
14,500
59,334
42,911
-
-
59,334
42,911
59,334
42,911

For the year ended 31 March 2023 the charity was entitled to exemption under section 477 of the Companies Act 2006; and no notice has been deposited under section 476. No members have required the company to obtain an audit of its accounts for the year in question. The Trustees acknowledge responsibility for: i) Ensuring the company keeps accounting records which comply with section 386; and ii) Preparing financial statements which give a true and fair view of the state of affairs of the company as at the year-end in accordance with requirements of section 394 and 395, and which otherwise comply with requirements of the Companies Act 2006 relating to financial statements, so far applicable to the company. These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

Page 9

Kensal Green Under Fives Group (Charity Reg. No: 285210)

Independent Examiner’s Report to the Trustees of Kensal Green Under Fives Group for the year ended 31st March 2023

____________ Approved by the Trustees on 20 Dec 2023 and signed on their behalf by:

Cheryl Noel

Margaret Bailey

Page 10

Kensal Green Under Fives Group

(Charity Reg. No: 285210)

Notes to the Financial Statements for the year ending 31st March 2023

_____________

1. Accounting policies

a. General information

Kensal Green Under Fives Group is a charity, registered with the Charity Commission (charity registration number 285210).

b. Going concern

The trustees confirm that at the time of approving the financial statements, there are no material uncertainties regarding the Charity’s ability to continue in operational existence for the foreseeable future. In arriving at this conclusion, the Trustees have taken account of current and anticipated financial performance in the current economic conditions, its business plan and its reserves position. For this reason, the going concern basis continues to be adopted in the preparation of the Charity’s financial statements.

c. Basis for preparation

The financial statements have been prepared under the historic cost convention unless otherwise stated in the relevant accounting policy notes and in accordance with Accounting and Reporting by Charities; 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 (FRS102) (effective 1st January 2015) – (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The principal accounting policies that have been applied to all years presented in these financial statements are set out below.

The preparation of financial statements requires the use of certain critical accounting estimates. It also requires Trustees to exercise their judgement in the process of applying the accounting policies. Use of available information and application of judgement are inherent in the formation of estimates. Actual outcomes in the future could differ from such estimates. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements are disclosed in Note 2.

d. Recognition of outstanding employee benefits

No provision for outstanding holiday pay was made under previous UK GAAP. Under FRS 102 the costs of short-term employee benefits are recognised as a liability and an expense. The cost of any unused holiday entitlement is recognised in the period in which the employees’ services are received.

e. Fixed assets

Individual fixed assets costing £2,000 or more are initially recorded at cost.

f. Fund accounting

The nature and purpose of each fund is explained in Note 13 to the financial statements.

Page 11

Kensal Green Under Fives Group (Charity Reg. No: 285210)

Notes to the Financial Statements for the year ending 31st March 2023 (continued)

_____________

g. Financial instruments

The only financial instruments held by the charity are debtors and creditors. These are categorised as ‘basic’ in accordance with Section 11 of FRS 102 and are initially recognised at transaction price. These are subsequently measured at their transaction price less any impairment.

h. Income

Income is recognised when the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. The following specific policies are applied to particular categories of income:

Donations and grants are split between restricted and unrestricted funds in accordance with the terms of the grant or donation.

Donations and gifts are recognised in the statement of financial activities when receivable. Income from government and other grants is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

Donated services and facilities are included at the value to the charity where this can be quantified.

Bank interest is recognised on an accrual basis.

i. Expenditure

Expenditure is included in the statement of financial activities on an accruals basis, inclusive of any VAT that cannot be recovered. It is recognised when there is a legal or constructive obligation to pay for it. Certain expenditure is directly attributable to specific activities and has been included in those cost categories. Certain other costs, which are attributable to more than one activity, are apportioned across cost categories on the basis of an estimate of the proportion of time spent by staff or resources used on those activities.

j. Defined contribution pension scheme

The charity operates a defined contribution scheme and the pension charge represents the amounts payable by the company to the fund in respect of the year.

k. Leases

Rentals applicable to operating leases are charged to the statement of financial activities over the period they are incurred.

l. 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:

Fixtures, fittings and equipment

33.33% reducing balance

Page 12

Kensal Green Under Fives Group (Charity Reg. No: 285210)

Notes to the Financial Statements for the year ending 31st March 2023 (continued)

_____________

m. Stock

Stock is valued at the lower of cost and net realisable value, after due regard for obsolete and slow moving stocks. Net realisable value is based on selling price less anticipated costs to completion and selling costs. Items donated for resale or distribution are not included in the financial statements until they are sold or distributed.

2. Critical judgements and estimates

No critical judgements have been made by management in applying the charity’s accounting policies.

3. Donations and Legacies

London Borough of Brent
Grant NEG 2 & 3
Other Income and donations
Total		 Restricted
Unrestricted
2023
Total
2022
Total
£
£
£
£
-
83,053
83,053
79,520
-
6,183
6,183
6,520
-
89,236
89,236
86,040

There were no unfulfilled conditions or other contingencies attaching to these grants.

4. Income from Charitable Activities

Fees from parents
D.S.S. milk claims
Other Income
Total		 Restricted
Unrestricted
2023
Total
2022
Total
£
£
£
£
-
97,676
97,676
85,870
-
171
171
187
-
1,030
1,030
6,181
-
98,877
98,877
92,238

Page 13

Kensal Green Under Fives Group

(Charity Reg. No: 285210)

Notes to the Financial Statements for the year ending 31st March 2023 (continued)

_____
5.
Expenditure
Staff costs (note 7)
Staff Training
Rent, Rates & Utilities
Insurance
Cleaning and
Maintenance
Office Overheads
Food and Milk
Books/Consumables
Ind. Examination fee
Professional fees
Travel and Events
Bank charges
Miscellaneous Costs
Allocation of
support costs
Total expenditure		 _____
Raising
funds
1,373
-
-
-
-
-
-
-
-
-
-
-
-
1,373
951
2,324		 ______
Charitable
activities
£
122,181
-
-
-
-
-
569
-
-
-
-
-
-
122,750
46,616
169,366		 ____
Support
Costs
£
13,728
350
22,132
-
842
3,937
-
2,195
2,250
900
910
323
-
47,567
(47,567)
-		 ____
2023
Total
£
137,282
350
22,132
-
842
3,937
569
2,195
2,250
900
910
323
-
171,690
-
171,690		 _
2022
Total
£
165,274
546
21,815
1,256
1,060
3,852
903
287
2,075
765
-
337
312
198,482
-
198,482

6. Net income/(expenditure) for the year

This is stated after charging / crediting:
Depreciation
Independent Examination
No expenses were reimbursed to trustees during the year.		 2023
£
-
2,250		 2022
£
-
2,075

Page 14

Kensal Green Under Fives Group

(Charity Reg. No: 285210)

Notes to the Financial Statements for the year ending 31st March 2023 (continued)

_____________

7. Staff Costs

Staff costs were as follows:
Salaries and wages
Social security costs
Pension contributions		 2023
£
131,307
4,429
1,546
137,282		 2022
£
156,476
6,785
2,013
165,274

8. Taxation

The charitable company is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

9. Debtors

Prepayments
Other debtors
10. Creditors: amounts due within one year
Taxation and social security
Accruals and provisions
Other creditors
11. Creditors: amounts due after more than one year
London Borough of Brent		 2023
£
5,000
-
5,000
2023
£
2,285
22,490
-
24,775
2023
£
14,500		 2022
£
4,595
-
4,595
2022
£
4,645
2,255
-
6,900
2022
£
14,500

Page 15

Kensal Green Under Fives Group

(Charity Reg. No: 285210)

Notes to the Financial Statements for the year ending 31st March 2023 (continued)

12. Analysis of net assets between funds
Tangible fixed assets
Net current assets
Net assets at the end of the year
13. Movements in Funds
At the
start of
the year
Unrestricted funds:
General funds
42,911
Total funds
42,911		 12. Analysis of net assets between funds
Tangible fixed assets
Net current assets
Net assets at the end of the year
13. Movements in Funds
At the
start of
the year
Unrestricted funds:
General funds
42,911
Total funds
42,911		 14,500
14,500
Restricted
Funds
Unrestricted
funds
Total funds
£
£
£
-
-
-
-
59,334
59,334
-
59,334
59,334
Incoming
resources
Outgoing
resources
Transfers
At the
end of
the year
£
£
£
£
188,113
171,690
-
59,334		 14,500
Total funds
£
-
59,334
59,334
42,911 188,113
171,690
-
59,334

Purposes of funds

General funds : these are available for use at the Trustees ' discretion in furtherance of the objectives of the charity.

Restricted funds : these are donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.

Page 16