EMPLOYERS FOR CHILDCARE INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF EMPLOYERS FOR CHILDCARE Opinion Vve have audited the financial statements of Employers for Childcare (the 'parent charitsble company.) for the year ended 31 May 2024 which comprise Ihe group statement of financial activtttes, the group statement ol financial position, the company statement of financial posthon, the group statement of cash flows, the company statement of cash flows and the notes to the financial statements, including significant accounting policies. Tre financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" (United lfjngdom Generally ACpted Accounting Practice). In our opinion, the financial statements-. give a true and fair view of Ihe state of the group and charitable company's affairs as at 31 May 2024 and of tts incoming reSoUrS and application of resources, for the year then ended., have been properly prepared in accordance with Untted Kingdom Generally Accepted Accounting Practi. and have been prepared in accordan wtth the requirements of the Companies Act 2006. Basis for opinion We conducted our audrt in accordance with Intemational Standards on Audrtsng {UK) (ISAS (UFQ) and applicable law. Our responsibilities under those standards are fvrther described in the Audit0S sPonSIbl1ttieS for the audit ol the financial stalements sect¢on of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the finanual statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Concluslons relating to going concern In auditing the financial statements, we have concluded that the directors, use of the going concem basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identrfied any material unrtaInbe$ relating to events or conditions that. individually or collecttvely. may cast signrficant doubt on the charity's ability to continue as a going concem for a period of at least e1ve months from when the financÉal statements are authorised for issue. Our responsibilities and the responsibilities of the directors with respect to going concem are described in the relevant sections of this report.
EMPLOYERS FOR CHILDCARE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF EMPLOYERS FOR CHILDCARE Other information The other information comprises the information included in the annual report other than the financial statements and our auditorfs report thereon. The directors are responsible for the other infomiation contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any fonn of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so. consider whether the other infomiation is materially inconsislenl with the financial slatements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial ststements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information. we are required to report that fact. We have nothing to report in this regard. Opinions on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of our audit= the information given in the directors. report, for the financial year for which the financial statements are prepared is consistent with the financial statements., and the directors, report has been prepared in accordance with applicable legal requirements. Matters on vthich we are requlred to report by exceptlon In the light of the knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identffied material misstatements in the directors. report. We have nothing to report in respect of the followng matters in relan to which the Companies Act 2006 requires us to report to you if, in our opinion.. adequate accounting records have nol been kept, or retums adequate for our audit have not been received from branches not Vistted by us". or the financial statements are not in agreement wth the accounting records and retums., or certain disclosures of directors, remuneration specified by law are not made- or we have not received all the information and explanations we require for our audil.. or the directors were not entitled to prepare the financial ststements in accordance wth the small companies regime and take advantage of the small companies, exempts'ons in preparing the directors, report and from the requirement to prepare a strategic report.
EMPLOYERS FOR CHILDCARE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF EMPLOYERS FOR CHILDCARE Responsibilities of directOT5 As explained more fully in the ststement of directors. responsibilib'es. the directors are responsible for the preparation of the financtal ststements and for being satisfied that they give a true and fair view, and for such intemal control as the directors detemiine is necessary to enable the preparation of financial statements that are free from material misstatement. whether due to fraud or error. In preparing the financial ststements, the directors are responsible for assessing the group's and parent charttable CoMpanS abilty to conts'nue as a going conrn, disclosing, as applicable, matters related to going concem and using the going GOnM basis of acrx)unting unless the directors either intend to liquidate the charitable company or to cease operations, or have no realistic alternative butto do so. Auditor's responsibilities forthe audtt of the financial statements Our objectives are lo obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an audltofs report that includes our opinion. Reasonable assurance is a high level of assuran but is not a guarantee that an audit conducted in accordance with ISAS (UK) wtll always detect a material misstatemenl when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate. they could reasonably be expected to influence the economic decisions of users tsken on the basis of these financial statements. The extent to which our procedures are capable of detecttng irregulatities. induding fraud, is detailed below.
EMPLOYERS FOR CHILDCARE INDEPENDENT AUDITOR'S REPORT ICONTINUED) TO THE MEMBERS OF EMPLOYERS FOR CHILDCARE Extent to whlch the audit was considered capable of detecting irregularities, including fraud We identify and assess the risks of material misstatement of the financial stalements, whether due to fraud or error. and then design and perform aLsdit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. In identifying and assessing potential risks of material misstatement in respect of irregulantie& induding fraud and non-compliances wrth laws and regulations, we considered the following.. The nature of the industry and sector, control environment and business perfomance, including the group's and company's remuneration policies for directors, bonus levels and performance targets. if any,. Results of our enquiries of management about their own identification and assessment of the risks of irregularities., Any matters we identified having obtained and reviewed the group's and company's documentation of their policies and procedures relats.ng to.. Identifying, evaluating and complwng wth laws and regulations and whether they were aware of any instance of non-compliance., Detecting and responding to the risks of fraud and whether they have knowledge of any aclual. suspected or alleged fraud.. and The intemal controls established to mitigate risks of fraud or non-compliance with laws and regulations- The matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and potents'al indicators of fraud. As a result of these procedures, we considered the opportunities and incentives Ihat may exist within the group and charitable company for fraud and identified the greatest potential for fraud in income recognition. In common wth all audits under ISAS (UK), we are also required to perform specifi¢ procedures to respond to the risk of management override. We also obtained an understanding of the legal and regulatory frameworks that the group and charitable company operates in, focusing on provisions of those laws and regulations that had a direct effect on the detemination of material amounts and disclosures in the financial ststements. The key laws and regulations we considered in this context included the Companies Act 2006, and local tax legislation. In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the group's and charitable company's ability to operate or to avoid a material penalty.
EMPLOYERS FOR CHILDCARE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF EMPLOYERS FOR CHILDCARE Audlt response to risks identified Our procedures to respond to the risks identified included the following: Reviewtng the finanaal statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial ststements", Enquiring of management con¢eming actual and poteniial libgation and daims; Perfoming analytical procedures to identify any unusual or unexpected retationships that may indicate risks of material misstatement due to fraud" Reading minLrtes of meetings of those charged governan and reviewing correspondence with tax aLrthorities," and In addressing the risk of fraud through management override of controls, testing the appropriateness of joumal entr]"es and other adjustments. assessing whether the judgements made in making accounting estimates are indicative of a potential bias- and evaluating the business rationale of any signifiwt transactions that are unusual or outside the nonmal course of business. We also communicated relevant identified laws and regulab.ons and potenb.al fraud risks to all engagement team members and remained alert to any indications of fraud or non-complian with laws and regulations throughout the audit. Owing to the inherent limitstions of an audit, there is an unavoidable risk that we may not have detected some material misststements in the financial stslements, even though we have propedy planned and performed our audit in accordan with auditing standards. In addition. as wrth any audit. there remains a higher riskof non-detection of irregularities. as they may involve collusion, forgery, intentional omissions. misrepresentations, tt the override of internal controls. We are not responsible for preventing non<ompliants and cannot be expected to detect non- ¢ompliance wtth all laws and regulations. A further description of our responsibilities is available on the Financial Reporting Council's website at= https'.11 www.frc.org.uklauditorsresponsibilities. This description forms part of our audtior's report.
EMPLOYERS FOR CHILDCARE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF EMPLOYERS FOR CHILDCARE Use of our report This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the CompaniesAct 2006. Our audit work has been undertaken so that we might state to the charitatje company's members those matters we are required to state to them in an auditorfs report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or forthe opinions we have fomed. (* k-& Mr Stephen Houston FCA (Senior Statutory Auditor) for and on behalf of GMCG LISBURN Chartered Accountsnts Statutory Auditor Century House 40 Crescent Business Park Lisburn BT28 2GN