**Charity registration number 297935**
**Company registration number 2162724 (England and Wales)**
## **THE ARK FAMILY RESOURCE CENTRE**
**ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024**
## **THE ARK FAMILY RESOURCE CENTRE**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
|**Trustees**|Mrs D E Brearley||
|---|---|---|
||Mr J R Goff||
||Mr C Haseman||
||Mrs J Ainger||
||Mr Leslie Nicoll||
||Mrs S Nicholson|(Appointed 10 July 2023)|
||Mrs C Towler|(Appointed 26 March 2024)|
|**Charity number**|297935||
|**Company number**|2162724||
|**Registered office**|The Ark Family Resource Centre||
||36 Main Road||
||Harwich||
||Essex||
||CO12 3LU||
|**Independent examiner**|Rachel Skells BA FCA||
||c/o The Old Exchange||
||64 West Stockwell Street||
||Colchester||
||Essex||
||CO1 1HE||
## **THE ARK FAMILY RESOURCE CENTRE**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees' report|1 - 5|
|Independent examiner's report|6|
|Statement of financial activities|7|
|Balance sheet|8 - 9|
|Notes to the financial statements|10 - 26|
## **THE ARK FAMILY RESOURCE CENTRE**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
The trustees present their annual report and financial statements for the year ended 31 March 2024.
The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the Charity's Memorandum and Articles of Association, the Companies Act 2006 and “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 (FRS 102)” (as amended for accounting periods commencing from 1 January 2019).
## **Objectives and activities**
The primary objective of the Ark Family Resource Centre is to continue running a high quality sessional preschool nursery with well trained staff in a safe and happy environment.
The Ark offers responsible and innovative non-judgemental support responding to the varying needs of the local community while retaining our long held reputation for excellent and caring service.
The trustees respect and abide by the guidance given by the Charity Commissioners.
## **Achievements and performance**
It has to be said that in the Arks seventieth year of existence, which was in response to the East Coast floods of 1953, the later part of 2023 has been a period of both change and challenge to the Ark Centre.
In September came the planned retirement of our long standing Office Manager and General Manager. After consideration and the approval of the trustees a new management structure was envisaged and was divided into three main and clearly defined roles.
A long standing member of staff became the Charity Centre Manager responsible for managing all services under the Ark ‘umbrella’.
A suitably qualified person returned to the Ark as the Charity Business Manager responsible for managing all financial and business aspects of the Ark Centre.
The Nursery Manager was responsible for all issues relating to the Nursery.
This new arrangement appeared to be working well however during this time of management restructure it was discovered that the Ark finances were not as robust as had been thought, largely through hoped for grant applications being refused, high overheads and staff costs escalating.
Strict economies and appropriate cost cutting exercises were immediately put in place.
The managers liaised with Tendring Community Voluntary Services, Harwich Connections, Catalyst and other organisations and a fund raising appeal was made to the local community.
_The Charity Business Manager_ started successfully renegotiating utility and other contracts and also actively communicating and networking with grant givers/ fundraisers etc with the aim of introducing herself, raising the profile of the Ark and investigating other areas of funding. She was also invited to join a fund raising workshop with the intention of applying for large grants including the National Lottery and Children In Need. _The Charity Centre Manager_ started active fund raising through a ‘just giving’ page and organising various community events including an award winning Guy Carnival float and a popular fire walking evening.
- 1 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 MARCH 2024**_
_The nursery manager_ worked hard to recruit new children where possible, to implement cost cutting with resources and to adjust fees in line with the area we are in, whilst maintaining our ethos of ‘for all’. Essex County Council supported The Ark Centre with a sustainability grant and worked closely with the management team to ensure cost effective plans were in action.
The Ark received an incredible and very gratifyingly generous financial response ranging from donations from local individuals, firms and organisations, who also organised quiz nights and a Boxing Day swim.
A very great deal of hard work was done by both the trustees and particularly by the Managers to work together to identify areas of improvement at The Ark Centre; and in particular where possible to update and improve accounting and management systems and to obtain more secure and sustained funding for the future.
Regular meetings were held to monitor progress and by December the immediate cash flow crisis had receded and by January things were much more stable and were very much more encouraging to finish 2024.
- 2 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 MARCH 2024**_
## **Overview of Services**
Nursery sessions were currently full - apart from the odd morning session available. Although a large number of children will be starting school in September the spaces are filling up quickly. The timing of Nursery hours will be changing to operating 9am - 3pm with split sessions.
New Government funding will shortly be available and considerable efforts have been made by staff to advise parents of these changes and how to put their entitlements to the best use.
The Ark has joined an online training scheme on which all staff have been enrolled which enables them to access numerous courses all linked to ‘Early Years’ at the individuals own convenience. This has been welcomed by the staff.
The Ark has embraced a new initiative and now has an apprentice in training which is working well and also has several students in placement.
The Nursery Manager has been working with the ‘Early Year’s Advisor’ to ease the pressures of paperwork on staff. The advisor will also be coming in on the non-pupil day to discuss any concerns the Nursery staff have around the changes associated with running the new 9- 3 operation. The Ark is fully staffed in all areas and morale amongst staff is high.
At the last Ofsted inspection the Ark Nursery was rated as ‘Good’.
## **Outreach Services**
## _**Ark Xtra Group**_
A holiday group for children with Additional Needs aged 2 between 8 years old has had a pilot session. 10 children were enrolled on it with 5 members of staff. There was excellent feedback from parents and as it was both very popular and successful is now being booked ahead for future sessions.
## _**Baby Beyond**_
A Stay and Play group run every Wednesday with good attendance and provides support for parents and children from birth up to 2 years old.
It is run from Esplanade Hall which is free of charge and once a month links in with Children’s Health and wellbeing services for baby weighing.
(It is hoped that further attendance at the Ark Nursery may follow in due course.)
## _**The Ark Club**_
The pilot ‘’Project’’ funding has come to an end. However, Tendring HyperLocal has provided further funding for a year. It is now renamed ‘the Ark Club’. There are 20 children aged between 6- 11 years attending, with a waiting list. The hall is free and a hot meal is provided giving the children time to socialise and enjoy time away from home and school.
- 3 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 MARCH 2024**_
## _**The Ark Sensory Room**_
This is now being hired out privately and this is also working successfully and despite this being a relatively new scheme it is proving quite popular. A key safe is now in place so the room can be used without the need to staff it. In addition access has been adapted for wheelchairs as a number of carers bring adult service users to this space.
## _**Counselling Services**_
The counselling service is running at a level of 10 clients on a 10 weeks block of work followed by a review. This service is at capacity with a waiting list.
## _**Reach Out To Mental Health**_
Space at the Ark Centre is now being rented out to Mental Health Services every Wednesday. This offers support to people either by phone or by drop in.
The Charity Centre Manager feels that other agencies are now expressing interest in working with the Ark and she intends to continue building professional relationships as well as engaging in ongoing community fundraising this year.
## **Financial review**
Current contracted funding continues from Essex County Council. Grant applications are applied for on a regular basis. Other funding comes through fees, donations and fund raising.
The Trustees continuing long term aim is to secure further regular funding through service level agreements.
The trustees are well aware of significant factors beyond the control of the charity which have an impact on our finances. Forward planning and budgeting continues to be difficult as we are almost completely dependent on grants in order to continue our existing level of service.
We do continue to have ongoing support from Essex Community Foundation who are able to advise of other appropriate potential grants.
It is the policy of the Charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six months expenditure. The trustees considers that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has not been maintained throughout the whole year due to funding difficulties explained above, however significant improvements have been made in arriving closer to the recommended level of reserves.
The liability for our pension scheme will only be incurred should all staff paying in leave the scheme: an event which we do not currently foresee happening. In accordance with accounting standards, this needs to be included in our balance sheet. As at the year end, total unrestricted funds are £40,953 (2023: £1,788). The pension liability stands at £1,602 (2023: £3,426).
The Trustees believe that following a difficult few months at the end of 2023, the Ark Family Resource Centre is now in a stable, safe and sustainable condition.
This is due in no small part to the relentless and extreme hard work by the Managers firstly by radically reorganising and updating management and financial systems. This ensures that cash flow in general and separate funding streams can be rapidly identified and frequently monitored.
Hiring of space to other agencies and to private individuals has been successful both financially and to the community. Renegotiating contracts, particularly to utility companies, has resulted in considerable savings. All financial outgoings have been carefully scrutinised.
- 4 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 MARCH 2024**_
It is also acknowledged that much thanks is also due to the temporary financial help, and ongoing practical advice and support from other organisations which has been invaluable.
Lastly, but not least the Ark Centre has benefited greatly by the very heartening and generous support from the local community which has been incredible.
The Ark Centre is fit for both today and for the future. Indeed it intends to extend its current services when additional funding becomes available. One plan is to offer day care to babies of working parents. Local need has been identified, staff are appropriately qualified and a suitable room has been put aside. This would also be financially very beneficial. It is hoped that this can come into fruition possibly by September this year.
## **Structure, governance and management**
The Charity is a constituted as a Company Limited by Guarantee and is therefore governed by a memorandum and articles of association.
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Mrs D E Brearley Mr J R Goff Mr C Haseman Mrs J Ainger Mr Leslie Nicoll Mrs S Nicholson (Appointed 10 July 2023) Mrs C Towler (Appointed 26 March 2024)
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
The recruitment of trustees is carried out with support from our local Councils for Voluntary Services. Interested parties are invited to attend our monthly meetings of Trustees. Elections of new Trustees take place annually at our AGM. New Trustees complete an induction programme and all Trustees are offered appropriate training opportunities when these arise.
The Ark Centre is managed by its board of Trustees who employ the centre manager, business manager and nursery manager.
The Ark works locally in partnership with other appropriate statutory and voluntary organisations. Risk assessments are in place for the building and other specific areas such as taking groups of children on outings and individual risk assessments for some children.
The trustees' report was approved by the Board of Trustees.
**Mr Leslie Nicoll**
Trustee Dated: 12 December 2024
- 5 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **INDEPENDENT EXAMINER'S REPORT**
## **TO THE TRUSTEES OF THE ARK FAMILY RESOURCE CENTRE**
I report to the trustees on my examination of the financial statements of The Ark Family Resource Centre (the Charity) for the year ended 31 March 2024.
## **Responsibilities and basis of report**
As the trustees of the Charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).
Having satisfied myself that the financial statements of the Charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the Charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent examiner's statement**
Since the Charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of ICAEW, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
- 1 accounting records were not kept in respect of the Charity as required by section 386 of the 2006 Act; or
- 2 the financial statements do not accord with those records; or
- 3 the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act 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; or
- 4 the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
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 financial statements to be reached.
## **Rachel Skells BA FCA**
c/o The Old Exchange 64 West Stockwell Street Colchester Essex CO1 1HE
Dated: 12 December 2024
- 6 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2024**
**2024**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**3**
29,942
1,208
Charitable activities
**4**
259,609
64,599
Investments
**5**
307
-
**Total income**
289,858
65,807
**Expenditure on:**
Charitable activities
**6**
250,693
73,455
Other expenditure
**11**
-
-
**Total expenditure**
250,693
73,455
**Net income/(expenditure) and**
**movement in funds**
39,165
(7,648)
**Reconciliation of funds:**
Fund balances at 1 April 2023
1,788
39,586
**Fund balances at 31 March**
**2024**
40,953
31,938|**Total**
**Unrestricted**
**Restricted**
**funds**
**funds**
**2024**
**2023**
**2023**
**£**
**£**
**£**
31,150
3,090
1,179
324,208
220,420
88,442
307
228
-
355,665
223,738
89,621
324,148
229,141
107,462
-
16
-
324,148
229,157
107,462
31,517
(5,419)
(17,841)
41,374
7,207
57,427
72,891
1,788
39,586|**Total**
**2023**
**£**
4,269
308,862
228
313,359
336,603
16
336,619
(23,260)
64,634
41,374|
|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
- 7 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **BALANCE SHEET**
## _**AS AT 31 MARCH 2024**_
|**Notes**
**Fixed assets**
Tangible assets
**13**
**Current assets**
Debtors
**14**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**15**
Net current assets
**Total assets less current liabilities**
**Provisions for liabilities**
**Net assets**
**Income funds**
Restricted funds
**18**
Unrestricted funds|**2024**
**£**
1,024
63,924
64,948
(4,196)|**£**
13,741
60,752
74,493
(1,602)
72,891
31,938
40,953
72,891|**2023**
**£**
3,001
33,422
36,423
(7,664)|**£**
16,044
28,759
44,803
(3,429)
41,374
39,586
1,788
41,374|
|---|---|---|---|---|
- 8 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **BALANCE SHEET (CONTINUED)**
## _**AS AT 31 MARCH 2024**_
The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2024.
The trustees acknowledge their responsibilities for ensuring that the charity keeps accounting records which comply with section 386 of the Act and for preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its incoming resources and application of resources, including its income and expenditure, for the financial year in accordance with the requirements of sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the Trustees on 12 December 2024
Mr Leslie Nicoll
**Trustee**
## **Company Registration No. 2162724**
- 9 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 MARCH 2024**_
## **1 Accounting policies**
## **Charity information**
The Ark Family Resource Centre is a private company limited by guarantee incorporated in England and Wales. The registered office is The Ark Family Resource Centre, 36 Main Road, Harwich, Essex, CO12 3LU.
## **1.1 Accounting convention**
The accounts have been prepared in accordance with the Charity's memorandum and articles of association, the Companies Act 2006 and “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 (FRS 102)” (as amended for accounting periods commencing from 1 January 2019). The Charity is a Public Benefit Entity as defined by FRS 102.
The Charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the Charity. Monetary amounts in these financial statements are rounded to the nearest £.
## **1.2 Going concern**
As with most voluntary sector organisations the going concern basis used for preparing these financial statements is dependant upon obtaining further funding to provide the necessary working capital for the general running of the charity.
The trustees are working hard to obtain the funding required to continue the wide range of services offered. On this basis, the trustees consider it appropriate to prepare the accounts on the going concern basis.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Funds restricted by the donor are treated as restricted funds. All other funds are unrestricted. A description of each fund is given in note 17 to the financial statements.
## **1.4 Incoming resources**
Income is recognised when the Charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Legacies are recognised on receipt or otherwise if the Charity has been notified of an impending distribution, the amount is known, and receipt is expected.
Grants from government and other agencies have been included as incoming resources from charitable activities where these amount to a contract for services, but as donations where the money is given in response to an appeal or with greater freedom of use. These grants are accounted for on an accruals basis.
Income is deferred only when the charity has to fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be expended in a future period.
Income from fundraising activities is recognised on receipt.
- 10 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
## **1 Accounting policies**
## **(Continued)**
## **1.5 Resources expended**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.
Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
All expenditure is accounted for on an accruals basis and is recognised when there is a legal or constructive obligation to pay. Expenditure has been classified under headings that aggregate all costs related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of the resources.
Costs classified as governance relate to the general running of the charity and include the operations of the Board of Trustees and addressing constitutional audit and other statutory matters.
Resources expended include attributable VAT, which cannot be recovered.
## **1.6 Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Fixtures, fittings & equipment 25% reducing balance Computers 25% straight line
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
## **1.7 Impairment of fixed assets**
At each reporting end date, the Charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
## **1.8 Cash and cash equivalents**
Cash and cash equivalents include cash in hand and deposits held at call with banks.
- 11 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2024**_
## **1 Accounting policies**
**(Continued)**
## **1.9 Financial instruments**
Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised cost. Financial assets comprise cash at bank and in hand, together with other debtors. A specific provision is made for debts for which recoverability is in doubt. Cash at bank and in hand is defined as all cash held in instant access bank accounts and used as working capital. Financial liabilities held at amortised cost comprise all creditors except social security and other taxes, deferred income and provisions.
## **1.10 Employee benefits**
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the Charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
## **1.11 Retirement benefits**
The Charity operates a defined contributions pension scheme for employees. The assets of the scheme are held separately from those of the company. The annual contributions are charged to the profit and loss account.
The Charity also participates in a multi-employer defined benefit scheme.
The cost of providing benefits under defined benefit plans is determined separately for each plan using the projected unit credit method, and is based on actuarial advice.
The change in the net defined benefit liability arising from employee service during the year is recognised as an employee cost. The cost of plan introductions, benefit changes, settlements and curtailments are recognised as incurred.
The net interest element is determined by multiplying the net defined benefit liability by the discount rate, taking into account any changes in the net defined benefit liability during the period as a result of contribution and benefit payments. The net interest is recognised in income/(expenditure) for the year.
Remeasurement changes comprise actuarial gains and losses, the effect of the asset ceiling and the return on the net defined benefit liability excluding amounts included in net interest. These are recognised immediately in other recognised gains and losses in the period in which they occur and are not reclassified to income/ (expenditure) in subsequent periods.
The net defined benefit pension asset or liability in the balance sheet comprises the total for each plan of the present value of the defined benefit obligation (using a discount rate based on high quality corporate bonds), less the fair value of plan assets out of which the obligations are to be settled directly. Fair value is based on market price information, and in the case of quoted securities is the published bid price. The value of a net pension benefit asset is limited to the amount that may be recovered either through reduced contributions or agreed refunds from the scheme.
## **1.12 Taxation**
The company is a charity within the meaning of section 506(1) of the Taxes Act 1988. Accordingly the company is potentially exempt from taxation in respect of income or capital gains received within categories covered by Section 505 of the Taxes Act 1988 or Section 256 of the Taxation of Chargeble Gains Act 1992 to the extent that such income or gains are applied to exclusively charitable purposes.
- 12 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2024**_
## **2 Critical accounting estimates and judgements**
In the application of the Charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
The judgements the trustees have made that have the most effect on the amounts recognised in the financial statements are the amounts in relation to the pension provision for the liability to carry forwards. This is mitigated by the pension provider producing a yearly report on the total estimated liability the charity needs to provide for under FRS102 and is recognised as such by the Trustees.
## **3 Income from donations and legacies**
||**Unrestricted**|**Restricted**|**Total**|**Unrestricted**|**Restricted**|**Total**|
|---|---|---|---|---|---|---|
||**funds**|**funds**||**funds**|**funds**||
||**2024**|**2024**|**2024**|**2023**|**2023**|**2023**|
||**£**|**£**|**£**|**£**|**£**|**£**|
|Donations and gifts|29,942|1,208|31,150|3,090|1,179|4,269|
- 13 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
## **4 Incoming resources from charitable activities**
|**Grants**
**receivable**
**Nursery**
**fees**
**£**
**£**
Nursery fees
-
203,149
Grants receivable
121,059
-
121,059
203,149
Analysis by fund
Unrestricted funds
56,460
203,149
Restricted funds
64,599
-
121,059
203,149
**For the year ended 31 March 2023**
Unrestricted funds
42,000
178,420
Restricted funds
88,442
-
130,442
178,420|**Total**
**2024**
**£**
203,149
121,059
324,208
259,609
64,599
324,208|**Total**
**2023**
**£**
178,420
130,442|
|---|---|---|
|||308,862|
|||220,420
88,442|
|||308,862|
The bulk of the nursery fees are from Essex Council Council's Free Early Education Entitlement.
## **5 Income from investments**
||**Unrestricted**|**Unrestricted**|
|---|---|---|
||**funds**|**funds**|
||**2024**|**2023**|
||**£**|**£**|
|Interest receivable|307|228|
- 14 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
## **6 Charitable activities**
|**Resources**
**expended on**
**charitable**
**activities**
**Other**
**resources**
**expended**
**2024**
**2024**
**£**
**£**
Staff costs
247,529
-
Depreciation and impairment
4,580
-
Nursery running costs
45,598
-
Counselling
17,525
-
Canteen
-
1,990
Training
1,674
-
316,906
1,990
Share of governance costs (see note 7)
5,252
-
322,158
1,990
**Analysis by fund**
Unrestricted funds
248,703
1,990
Restricted funds
73,455
-
322,158
1,990
**For the year ended 31 March 2023**
Unrestricted funds
226,693
2,448
Restricted funds
107,462
-
334,155
2,448|**Total**
**2024**
**£**
247,529
4,580
45,598
17,525
1,990
1,674
318,896
5,252
324,148
250,693
73,455
324,148|**Total**
**2023**
**£**
254,486
5,731
32,773
34,632
2,448
1,869|
|---|---|---|
|||331,939
4,664|
|||336,603|
|||229,141
107,462|
|||336,603|
|||229,141
107,462|
|||336,603|
- 15 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
|**7**
**Support costs**
**Support costs Governance**
**costs**
**£**
**£**
Accountancy
-
3,650
Legal and professional
-
1,410
Bank charges
-
60
Unwinding of pension
scheme discount
-
132
-
5,252
Analysed between
Charitable activities
-
5,252|**2024**
**£**
3,650
1,410
60
132
5,252
5,252|**2023 Basis of allocation**
**£**
2,510 Governance
1,980 Governance
71 Governance
102
Governance
4,663
4,664|
|---|---|---|
Accountancy includes cost of the independent examiner of £3,150 (2023: £2,500).
Legal & professional fees includes fees payable to Whittles for payroll services of £1,410 (2023: £1,980).
|**8**|**Net movement in funds**|**2024**|**2023**|
|---|---|---|---|
|||**£**|**£**|
||The net movement in funds is stated after charging/(crediting):|||
||Depreciation of owned tangible fixed assets|4,580|5,731|
||Loss on disposal of tangible fixed assets|-|16|
## **9 Trustees**
None of the trustees (or any persons connected with them) received any remuneration or expenses during the year.
## **10 Employees**
The average monthly number of employees during the year was:
|**2024**|**2023**|
|---|---|
|**Number**|**Number**|
|24|27|
- 16 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
|**10**|**Employees**||**(Continued)**|
|---|---|---|---|
||**Employment costs**|**2024**|**2023**|
|||**£**|**£**|
||Wages and salaries|239,479|244,339|
||Social security costs|4,833|5,762|
||Other pension costs|3,217|4,385|
|||247,529|254,486|
||There were no employees whose annual remuneration was more than £60,000.|||
||**Remuneration of key management personnel**|||
||The remuneration of key management personnel was as follows:|||
|||**2024**|**2023**|
|||**£**|**£**|
||Aggregate compensation|37,737|39,789|
|**11**|**Other**|||
|||**Unrestricted**|Total|
|||**funds**||
|||**2024**|2023|
||||£|
||Net loss on disposal of tangible fixed assets|-|16|
## **12 Taxation**
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
- 17 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
|**13**
**Tangible fixed assets**
**Fixtures,**
**fittings &**
**equipment**
**Computers**
**£**
**£**
**Cost**
At 1 April 2023
32,686
5,294
Additions
2,277
-
Disposals
-
(1,720)
At 31 March 2024
34,963
3,574
**Depreciation and impairment**
At 1 April 2023
16,642
5,294
Depreciation charged in the year
4,580
-
Eliminated in respect of disposals
-
(1,720)
At 31 March 2024
21,222
3,574
**Carrying amount**
At 31 March 2024
13,741
-
At 31 March 2023
16,044
-
**14**
**Debtors**
**2024**
**Amounts falling due within one year:**
**£**
Other debtors
-
Prepayments and accrued income
1,024
1,024
**15**
**Creditors: amounts falling due within one year**
**2024**
**£**
Trade creditors
-
Other creditors
554
Accruals and deferred income
3,642
4,196|**Total**
**£**
37,980
2,277
(1,720)
38,537
21,936
4,580
(1,720)
24,796
13,741
16,044
**2023**
**£**
(160)
3,001
2,841
**2023**
**£**
4,703
461
2,500
7,664|
|---|---|
- 18 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
|**15**
**Provisions for liabilities**
**Notes**
Retirement benefit obligations
**17**
**17**
**Retirement benefit schemes**
**Defined contribution schemes**
Charge to profit or loss in respect of defined contribution schemes|**2024**
**£**
1,602
1,602
**2024**
**£**
3,217|**2023**
**£**
3,429|
|---|---|---|
|||3,429|
|||**2023**
**£**
4,385|
The Charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Charity in an independently administered fund.
## **Defined benefit schemes**
The company participates in the scheme, a multi-employer scheme which provides benefits to some 638 nonassociated participating employers. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore it accounts for the scheme as a defined contribution scheme.
The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK.
The scheme is classified as a 'last-man standing arrangement'. Therefore the company is potentially liable for other participating employers' obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme.
- 19 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2024**_
## **17 Retirement benefit schemes**
**(Continued)**
## _Valuation_
A full actuarial valuation for the scheme was carried out at 30 September 2020. This valuation showed assets of £800.3m, liabilities of £831.9m and a deficit of £31.6m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme as follows:
## **Deficit contributions**
From 1 April 2022 to 31 January 2025: £3,312,000 per annum (payable monthly)
Unless a concession has been agreed with the Trustee the term to 31 January 2025 applies.
Note that the scheme’s previous valuation was carried out with an effective date of 30 September 2017. This valuation showed assets of £794.9m, liabilities of £926.4m and a deficit of £131.5m. To eliminate this funding shortfall, the Trustee asked the participating employers to pay additional contributions to the scheme as follows:
## **Deficit contributions**
From 1 April 2019 to 30 September 2025: £11,243,000 per annum (payable monthly and increasing 3% each on 1st April)
The recovery plan contributions are allocated to each participating employer in line with their estimated share of the Series 1 and Series 2 scheme liabilities.
Where the scheme is in deficit and where the company has agreed to a deficit funding arrangement the company recognises a liability for this obligation. The amount recognised is the net present value of the deficit reduction contributions payable under the agreement that relates to the deficit. The present value is calculated using the discount rate detailed in these disclosures. The unwinding of the discount rate is recognised as a finance cost.
## **Assumptions**
|**Assumptions**|||
|---|---|---|
||31 March 2024|31 March 2023|
||%per annum|%per annum|
|Rate of discount|5.31|5.52|
The discount rates shown above are the equivalent single discount rates which, when used to discount the future recovery plan contributions due, would give the same results as using a full AA corporate bond yield curve to discount the same recovery plan contributions.
|Amounts recognised in the profit and loss account|**2024**|**2023**|
|---|---|---|
|Net interest on defined benefit liability/(asset)|132|102|
|Other costs and income|1|(92)|
|Total costs|133|10|
- 20 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
|**17**
**Retirement benefit schemes**
The amounts included in the balance sheet arising from the Charity's
obligations in respect of defined benefit plans are as follows:
Liabilities/(assets):
Present value of defined benefit obligations
Deficit in scheme
Movements in the present value of defined benefit obligations
Liabilities at 1 April 2023
Contributions from scheme members
Interest cost
Other
At 31 March 2024|**(Continued)**
**2024**
**2023**
**£**
**£**
1,602
3,429
1,602
3,429
**2024**
**£**
3,429
(1,960)
132
1
1,602|
|---|---|
- 21 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
## **18 Restricted funds**
The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:
|||**Movement in funds**|**Movement in funds**||**Movement in funds**|**Movement in funds**||
|---|---|---|---|---|---|---|---|
||**Balance at**|**Incoming**|**Resources**|**Balance at**|**Incoming**|**Resources**|**Balance at**|
||**1 April 2022**|**resources**|**expended**|**1 April 2023**|**resources**|**expended**|**31 March 2024**|
||**£**|**£**|**£**|**£**|**£**|**£**|**£**|
|Action for Children (Essex shortbreaks, clubs & activities)|-|27,333|(27,333)|-|-|-|-|
|Colchester Catalyst Charity|-|7,000|(7,000)|-|7,500|(5,000)|2,500|
|CVS Tendring|12,500|-|(12,500)|-|-|-|-|
|CVS Tendring - The Ark Club Project|-|-|-|-|6,409|-|6,409|
|CVS Tendring - Warm for Winter 2023|-|-|-|-|500|(500)|-|
|CVS Tendring - Startwell|-|-|-|-|30,000|(24,000)|6,000|
|Dishwasher Donation Fund|-|-|-|-|300|(75)|225|
|Eastern Association of Local Councils|3,184|-|(796)|2,388|-|(597)|1,791|
|Eastern Counties Educational Trust|960|-|-|960|-|(960)|-|
|ECC - Sufficiency Grant|-|-|-|-|12,890|(12,890)|-|
|ECC - Community Fund|628|-|(157)|471|-|(118)|353|
|ECF - Essex Fund|3,436|-|(859)|2,577|-|(644)|1,933|
|Essex County Council|7,500|-|(1,875)|5,625|-|(1,406)|4,219|
|Essex Community Foundation|-|17,000|(13,294)|3,706|-|(1,884)|1,822|
|Essex Community Foundation - DV Support Group|-|-|-|-|2,470|(2,470)|-|
|Essex Youth Trust|9,167|-|(9,167)|-|-|-|-|
|Grassroutes|-|500|-|500|-|(500)|-|
|Harwich Connexions|375|500|(94)|781|-|(570)|211|
|Harwich Town Council|844|950|(1,161)|633|-|(158)|475|
|Harwich Town Council - Room Swap Project|-|-|-|-|2,500|(2,500)|-|
|**Subtotal**|**38,594**|**53,283**|**(74,236)**|**17,641**|**62,569**|**(54,272)**|**25,938**|
- 22 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
|**18**
**Restricted funds**
**Brought forward**
Homestart - The Project
Leeds Building Society
NHS
Percy Bulton Charity
TASK Fees
Tendring District Council
Various Donations|**38,594**
-
500
18,333
-
-
-
-
57,427|**53,283**
**(74,236)**
-
-
-
(250)
1,695
(18,333)
354
(354)
110
(110)
33,000
(13,000)
1,179
(1,179)
89,621
(107,462)|**17,641**
-
250
1,695
-
-
20,000
-
39,586|**62,569**
764
-
-
-
18
-
2,456
65,807|**(Continued)**
**(54,272)**
**25,938**
(764)
-
(250)
-
(1,695)
-
-
-
(18)
-
(14,000)
6,000
(2,456)
-
(73,455)
31,938|**(Continued)**
**(54,272)**
**25,938**
(764)
-
(250)
-
(1,695)
-
-
-
(18)
-
(14,000)
6,000
(2,456)
-
(73,455)
31,938|
|---|---|---|---|---|---|---|
|||||||31,938|
- 23 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
## **18 Restricted funds**
## **(Continued)**
## **Action for Children (TASK)**
This funding has been provided to fund salaries of staff for TASK respite care/days out for children with additional needs.
## **Colchester Catalyst Charity**
This funding has been provided to be used in relation to the cost of respite care funding and a sensory garden.
## **CVS Tendring**
This funding has been provided to assist with counselling services.
## **CVS Tendring - Startwell**
This funding has been provided to assist with outreach services and domestic violence support
## **ECC - Sufficiency Grant**
This funding has been provided to help pay staff wages in December 2023
## **ECC Community Fund**
This funding has been provided to assist with the cost of renovations and repairs.
## **Essex County Council**
This funding has been provided to assist with installation of wheelchair accessible playground.
## **Essex Community Foundation**
This funding has been provided to assist with counselling services specifically in relation to domestic abuse and for DBS checks for all staff. Additional funding has also been provided for a sensory garden, to improve external facilities and strength security
- 24 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
## **18 Restricted funds**
## **(Continued)**
## **Essex Youth Trust**
This funding has been provided to assist with counselling services.
## **Grassroutes**
This funding has been provided to assist with the purchase of staff uniforms.
## **Harwich Connexions**
This funding was provided for outreach support.
## **Harwich Town Council**
This funding has been provided to assist with training costs and radiator replacement.
## **Harwich Town Council - Room Swap Project**
This funding has been provided to help develop the sensory and baby room at the premises.
## **Leeds Building Society**
This funding has been provided to assist with the cost of touch screen computers.
## **NHS**
This funding has been provided to assist with counselling services.
## **Percy Bilton Charity**
This funding has been provided towards the cost of a new den and floor cushions.
## **TASK Fees**
This funding has been provided towards income re TASK Fees.
## **Tendring District Council**
This funding has been provided for the "Live Well Theme" project to support outreach and counselling services.
- 25 -
## **THE ARK FAMILY RESOURCE CENTRE**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2024**_
## **19 Analysis of net assets between funds**
|**Analysis of net assets between funds**|||
|---|---|---|
|**Unrestricted**
**funds**
**Restricted**
**funds**
**2024**
**2024**
**£**
**£**
Fund balances at 31 March 2024 are
represented by:
Tangible assets
2,712
11,029
Current assets/(liabilities)
39,843
20,909
Provisions and pensions
(1,602)
-
40,953
31,938|**Total**
**2024**
**£**
13,741
60,752
(1,602)
72,891|Total
2023
£
16,044
28,759
(3,429)|
|||41,374|
## **20 Operating lease commitments**
## **Lessee**
At the reporting end date the Charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
|Within one year
Between two and five years|**2024**
**£**
8,974
9,098
18,072|**2023**
**£**
6,396
13,665|
|---|---|---|
|||20,061|
## **21 Related party transactions**
There were no disclosable related party transactions during the year (2023 - none).
- 26 -