1st place children and parents’ centre ltd€¦ · independent auditors' report 13 statement...

Company number: 05424738

Charity number: 1120124

1st Place Children and Parents’ Centre Ltd

Report and financial statements

31 March 2015


Contents

For the year ended 31 March 2015

1

Contents Pages

Reference and administrative details 2

Chair of the Trustees’ report 3

Report of the Trustees 4

Independent auditors' report 13

Statement of financial activities (incorporating an income and expenditure account) 15

Balance sheet 16

Notes to the financial statements 17


Reference and administrative details


2

Company number 05424738

Charity number 1120124

Registered office

and operational

address

Chumleigh Street

LONDON

SE5 0RN

Trustees Trustees, who are also directors under company law, who served during the year and up to

the date of this report were as follows:

Mark Devlin Chair

Philip Wilkins Treasurer

Douglas Buist

Mary Devlin

Beatriz Dominguez

Claire Walker

Karlene Watson

Cheryl Parkinson

Lin Vong Resigned – September 2014

Patricia Enwere Resigned September 2014

Julian Kelly Resigned November 2014

Deborah Boyd Resigned November 2014

Louise Coysh Resigned November 2014

Harriet Mubiana Appointed November 2014

Lucy Brazener Appointed November 2014

Karen Stocks Appointed February 2015

Nigel Lloyd Appointed February 2015

Principal staff Nicola Howard Director and Company Secretary

Bankers Barclays Bank plc

PO Box 299

BIRMINGHAM

B1 3PF

Auditors Sayer Vincent LLP

Chartered Accountants and Statutory Auditors

Invicta House

108-114 Golden Lane

LONDON

EC1Y 0TL


Chair of Trustees’ report


3

Chair of Trustees’ Report

I am pleased to present this annual Trustees’ Report for 2014/15, which has been another successful year in terms of

financial consolidation, improvement and progress for 1st Place. The management team has maintained the positive

financial trend of the Centre in the last few years and we can report an improved surplus position, on the previous years

out-turn. This creates a more sustainable basis for the delivery and future development of the services we offer to

families in local communities. As the charity has no endowed funds, the ability to secure income through grants and

nursery fees is essential to covering costs and investing in the future. The improved financial position has been achieved

through the prudent management of resource, allowing us the opportunity to invest further in our hard working staff

and be able to become a living wage employer, an aim we have had for some time. Staff have also taken up opportunities

for continuous professional development, attending a range of training provided by internal and external providers. Of

course our commitment to education for parents remains strong too and during the last year 193 parents attended

training courses provided by 1st Place.

After a review of communications last year and the appointment of a temporary Communications and Marketing Officer,

our new website, social media presence and printed publicity have greatly improved accessibility to information about

our services and hopefully facilitate even better communication with our families. For example we can share children’s

work in the studio with parents through posting the daily studio sheets (photographs and observations) onto the parent

only Facebook pages.

A significant part of the Board of Trustees’ planning time over the last year has been focused on the potential

development of a third 1st Place centre at Lorrimore Square from which we aim to provide more early years education

places and excellent nursery care experience to local children and families. The new development will allow a 50%

increase in funded 2 year old early education places.

The Director has also been actively involved with the Local Authority partners in reviewing future locality arrangements

for children’s centre services across the borough. This has taken considerable management time and hopefully may

allow us new opportunities to more fully deliver on our mission.

1st Place is exemplary in what we do primarily because of our highly dedicated staff and supporters. They are continually

looking at ways of improving the experience of the families who use the centres and some of those developments are

described in the report. On behalf of the Trustees, I’d like to express our appreciation for the commitment the staff

demonstrate to the children in our care. Nicki Howard, the Director and all her team‘s efforts over the last year have

positioned 1st Place very well for a successful 2015/16. Last year I said that I was confident that the year ahead would

hold further opportunity to improve our services for local children and parents – how true that has proved to be and

here’s to continuing that trend looking forward.

Thank you for your continued interest and support for 1st Place. I commend this annual report to you.

Mark Devlin

Chair, Board of Trustees


Report of the Trustees


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The Trustees (who act as directors of the Charity for the purposes of the Companies Act) submit their annual report and

the financial statements of 1st Place Children and Parents' Centre for the year ended 31 March 2015.

The Board of Trustees confirm that the annual report and financial statements of the Charity comply with current

statutory requirements, the requirements of the Charity's governing document and the provisions of the Statement of

Recommended Practice (SORP) 'Accounting and Reporting by Charities (revised 2005)'.

Structure, governance and management

1st Place Children and Parents’ Centre is a registered charity and company limited by guarantee with no share capital.

The liability of Trustees in the event of insolvent liquidation is limited to £1.00 each. The members of the Board of

Trustees are appointed by the membership at the Annual General Meeting or co-opted between meetings. 50% of

serving members retire at the Annual General Meeting but are eligible for re-election. Day to day management of the

Charity is delegated to the Director who is responsible for other staff. The board of Trustees meet regularly, with 4 sub-

committees, Early Education, Finance & General Purposes, Human Resources, and Safeguarding, overseeing the

operational activities of the organisation. The Full Board meets quarterly to approve the business undertaken in the

sub-committees. Additional working groups convene as and when required. Trustees are given appropriate induction,

upon appointment, and ongoing training as required in order to assist them in fulfilling their role.

Objectives and activities

1st Place is a purpose-built Children and Parents’ Centre. It achieved charitable status in 2007 and has worked with the

following aims:

1st Place shall be for the benefit of the residents in the London Borough of Southwark in particular families with young

children, by:

1. advancing the education of the residents through the provision of training and childcare facilities;

2. the provision of advice, support and guidance on issues relating to childcare, parenting and education, health and

the environment;

3. the provision and maintenance of a family centre;

4. encouraging the study of the needs of children and families in the (local area) and promoting public interest in and

recognition of these needs; and

5. the promotion of environmental education and awareness.

How we work to achieve these objectives

In order to achieve these objectives, 1st Place provides:-

innovative, high quality early learning experiences for young children;

training, volunteering and employment opportunities for local parents and other residents; and

support for the regeneration of the local community in order to contribute to long-term social and economic

stability.

1st Place Children and Parents’ Centre also aims to nurture a community culture that celebrates our diversity; a culture

that models respect and support for young children and families as well as caring for the environment. 1st Place aims to

support the ongoing growth and development of individuals and groups within the local community.




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Our Aims

Since our inception in 2005, 1st Place’s aims have focused on the locally-identified needs of children and families. 1st

Place objectives also support Southwark Children’s & Adults’ services to deliver our services and support within the

Families Matter agenda and the achievement of the corporate priorities for Southwark Children’s and Families Trust

Children & Young People’s Plan. These priorities are:

Best Start

Children, young people and families can access the right support at the right time – from early years to adolescence –

giving them the best start on their journeys.

We offer Family Support for families when they need it. Our Family Support is provided with additional help to

access services e.g crèche when parent are attending training or appointment at the centre.

1st Place has created 64 free early learning places so that all families from our reach area have the opportunity for

their children to come to 1st Place nurseries. It is our aim to create at least 32 additional places in 2015-16.

We offer play learning opportunities for all children in our reach area

We work with statutory services such as Health Visitors to ensure families take up immunisations and

developmental checks for their children.

1st Place aims to improve health outcomes for children directly and by promoting healthy choices for families with

young children.

Safety & Stability

Support for our most vulnerable children, young people and families so that they receive timely, purposeful support

that brings safe, lasting and positive change.

Family support including parenting courses.

Support for parents experiencing domestic violence

Reduce social isolation through working in partnership with Homestart and Family Action.

Work with Early Help and Children’s Social Care so that the most vulnerable children receive the help they need as

quickly as possible.

Ensure that staff at all levels undertake regular training to ensure they are able to identify those who need help.

Choice & Control

That children and young people with special educational needs or disability and their families will be able to access a

local offer of seamless, personalised support from childhood to adulthood.

1st Place continues to develop and deliver a wide range of creative and stimulating learning experiences so that

children and their parents/carers enjoy childhood and achieve their potential

1st Place is committed to providing early education and play learning to young children to meet their individual

needs. We work with Early Help to gain the additional resources we need to provide for children with special

educational needs and disabilities.

We work with external advice services to ensure that families access support available to them

We provide volunteering and work experience placements are offered at both sites, to support local parents to

develop their transferable skills with so that they can return to education, training or work.




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Our Partners during 2014-15

British School of Osteopathy Bede House Homestart Southwark Represent Place2Be KIDS Learning Unlimited Speech & Language Therapy Creation Trust

Family Action Unicorn Theatre The Parenting Centre Latin American Women’s Rights Service Family Action Health Visitors GSTT Midwifery Community Action Southwark Cambridge House

Achievements and performance

In September 2014, Southwark Early Help Service began a period of consultation with regard to the management of

Children’s Centres in the borough. Their proposal is to centralise management within the four localities, with an aim of

increasing frontline services. Following the completion of the consultation period, individual centres were invited to put

themselves forward as the lead organisation for their locality. As of May 2015, 1st Place has made a joint initial

expression of interest with another charity to become the lead centre for Borough Bankside & Walworth locality.

Funding for the first two quarters of the year was reduced by 4% in advance of the re-organisation plans.

We have continued to deliver Children’s Centre services across our extended reach area during the 2014-15 period,

although with a reduced service from the Bishops House building. Following attempts to identify more accessible space

for Children’s Centre activities within the extended reach area, we made contact with St Paul’s Church Walworth, where

suitable space was available to locate staff and some universal services within the Lorrimore Centre, on the ground floor

of the church site. It soon became apparent that the Lorrimore Centre had greater potential, and over the last twelve

months the Director and Trustees have explored the possibility of opening a third 1st Place nursery and a base for some

of the Children’s centre staff on the site. In late April, the decision was taken to develop a new 50 place full day nursery,

including 32 funded part time places, as well as office space for the growing 1st Place team. We look forward to working

with the Priest in Charge, Rev Hacker Hughes and the Parish Council of St Paul’s in developing this new community

nursery.

We have maintained our long-standing relationships with the British School of Osteopathy, and Represent continue to

provide courses in English for Speakers of Other Languages (ESOL).Currently those parents are only able to access one

8 week block of ESOL, and we are aware that many learners do not have the opportunity to practice the English they

have been taught, and sometimes feel they have lost what they had learned. As a result we will be introducing an English

conversation group so that parents can continue to develop their confidence in speaking English until they are able to

attend further classes.

Following the re-design of the 1st Place website in 2014, we have continued to develop the site as well as the use of

social media to ensure that families are kept up to date with 1st Place services. Our thanks go to Dimitra Nicolopoulou

who has continued to support us in the development of our communications and marketing as a volunteer following

the completion of the 1st Place website.

Early Education

The approach to early education at 1st Place is influenced by Reggio principles. The principles are reflected in the way

adults at 1st Place view children with respect, interact with them, follow their interest, encourage them to ask and find

answers to their questions. Early educators and the Atelierista act as partners, nurturers and guides who facilitate

children’s exploration of open ended materials, problem solving and provide occasions for discovery and learning. These




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principles are implemented through the design and use of space, engagement with children, partnership with parents

and the wider community and documentation of children’s work.

We have had increasing numbers of children needing additional support joining the nursery, with 11 children across

both nurseries having Early Action Plus and Education Health and Care Plans completed. With funding for children with

additional needs below statutory school age only matching the 15 hours funding for 3&4 year olds, it is becoming

increasingly difficult to meet the needs of all families, especially those who would like their child to receive early

education for more than 15 hours. The challenge for 1st Place will be to be as inclusive and accessible for all children as

funding becomes tighter.

In 2014 we began a new partnership with JUMP, who work with employers to place apprentices. Three apprentices

were placed within the early education team with one securing a core post.

Demand for nursery places at 1st Place remains high. Active management of occupancy, especially at key points in the

year have meant that the high number of children leaving during the summer term is not having such a marked impact

on occupancy, which is maintained at above 95% across the year. Between April 2014 and March 2015 110 children

attended the 1st Place nursery provision at Chumleigh Gardens and 122 children attended the nursery at Cambridge

House.

We are well into our second year of providing the 2 year old Free Early Learning Offer. With 32 children on each site

attending either morning or afternoon sessions during term time. The majority of these children stay at 1st Place until

they enter Reception class at school, although a few leave to go to nursery classes in local schools. This year 53 children

accessed these places at Cambridge House and 43 children at Chumleigh Gardens.

In response to the continued demand we plan to create an additional 32 funded places at our new nursery at Lorrimore

Square.

The provision of creative learning at 1st Place has continued to develop. This year we have started a new system of

working with the children, developing a monthly rolling programme where the same group of children attend 4 sessions

in a month with the same member of staff accompanying them. The following month a different group of children

attend. In this way we can really follow through their ideas and create mini projects in the studio. The staff benefit from

working in small groups, seeing projects develop and enabling them to feedback on work in the studio into weekly

planning for each room with confidence. It will also mean that I can work with each member of staff to produce

documentation of their month in the studio. While this new system has been a recent change, we can already see the

benefits in terms of children’s engagement, staff involvement and increased communication.

We have also improved ways of communicating the children’s work in the studio with parents through posting the daily

studio sheets (photographs and observations) onto the secret parent Facebook pages for each nursery.

In the autumn term of 2014, the Early Education managers introduced a new system to further enable parents to

understand the progress their child has made. A system was introduced with appointments offered across a week

following the termly phase of progress tracking, and meetings with each child’s key person offered to parents. Individual

reports are produced using Classroom Monitor software. These meetings also provide an opportunity for parents to

contribute to the tracking process, adding additional detail to create a holistic assessment of the child’s early learning.




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1st Place is committed to working with families and other professionals to ensure that all our services are inclusive to

all children and their parents. During the 2014-15 period we continued to work with children with special educational

needs and disabilities, with 8 children across both sites receiving support in applications for Early Action Plus,

Statements and more recently the Early Help and Care Plan. With more families of children with SEND choosing 1st Place

for their child’s early education, requiring increasing levels of input from the Early Education managers, both in

curriculum planning as well as attending meetings and completing applications for additional support, we will be

appointing an experienced teacher to join our senior management team to take on the role of SENDCo.

Family Support

Process of the re-organisation of Childrens’ Centres in Southwark will consolidate a way of working which 1st Place and

its partner centres in the Borough Bankside & Walworth locality, Coin Street and Bishops House, have been developing

over a number of years. We welcome the opportunity to develop a larger team, to share our skills and expertise for the

benefit of local children and families.

Over the last year, the number of families using 1st Place Children's Centre services remains high, with families from

within the Centre’s reach area and from beyond it accessing services. Between April 2014 and March 2015, there were

4846 individual attendances by adults and 5600 by children.

Our work with priority children continues to be the main focus of the family support team. We receive detailed

information from Southwark council each month in relation to children who are already receiving specialist services as

a result of a Common Assessment identifying their needs. In addition to this we receive information about children who

are receiving support from social care. The team work with a range of professionals to ensure these children and families

get the help they need.

We have continued to work with families across our reach area, maintaining presence at Bishops House with two

universal play learning sessions delivered from this site. With the plans to open a third nursery within the reach area,

we will be able to establish a more permanent presence for Family support staff, as well as for a limited range of services,

such as those provided by the Speech and Language therapy team.

The early education staff within the Family Support team directly deliver and co-facilitate ten play learning sessions each

week, including sessions every weekend. We remain committed to providing children and families access to good quality

play learning opportunities in a supportive and friendly environment. They also provide sessional crèche for all training

courses and advice sessions, with a Respite session now offered by referral from Family Support Workers.

We have continued to commission the Sparkletime session which supports the needs of children who have social and

communication needs. It provides a supportive environment for children and their parents who may find universal play

learning sessions challenging. The session has developed over the last two years and is now led by a music therapist.

This year we have also welcomed increased presence from the Speech and Language Therapy team with open access

‘Chattertime’ sessions becoming ever more popular, as well as more targeted sessions for children with autism.

The ‘This is My Child’ photography course continued to evolve, with Eloise Robinson, Atelierista and Elena Salazar,

Family Support Manager working with a group of parents whose children attend 1st Place through the 2 Year Old Free

Early Learning sessions.




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During 2014-15 216 children were supported through our partnership with the British School of Osteopathy. This

partnership, which began with the Aylesbury Plus SureStart programme, is thriving and we are now able to signpost

families to the BSO base in Bermondsey, where all services for children are now free.

Over the last year, over 600 parents attended training courses provided by 1st Place. Our partnership with Place2Be

enters its third year, with our new counsellor offering art therapy to clients.

Uptake of holiday play schemes for children under 8 years has slowly increased, with referrals from social care as well

as Creation Trust. Plans for the coming year will be to limit the offer to the Easter and Summer holidays.

Training

As part of our commitment to the development of staff, the Centre closed for training for 3 full days and 1 half day. This

year we have conducted whole centre training on:

Conflict resolution

Attachment Theory

Team dynamics

Reggio Emilia & 1st Place Approach

Staff are offered opportunities for continuous professional development, attending a range of training provided by

internal and external providers. 10 staff studied for their GCSE Maths exam, and will now be able to progress to study

at a higher level.

Volunteering & Work Placement

We have provided work placements for 12 people and 2 volunteers within our nurseries We also took Social work

students on placement from London Southbank University and University of West London for the fourth year, providing

valuable additional resource to the team.

Monitoring and Evaluation of Outcomes

As part of the re-organisation of Children’s Centres in the borough, Southwark are also working to harmonise the

methods used to measure outcomes for children and families. Later this year, all family support staff will be trained in

the use of the Family Star assessment tool, which will be used to help families identify their needs as well as tracking

the progress they make following input from the Family Support team.

Facilities and Room Hire

The room hire business continues to perform well, with a regular custom base, providing a valuable surplus to support

the wider organisation. Following the reduction in Children’s Centre services delivered from Bishops House, the demand

on space at the main centre increased with many days of the week all available space being occupied. With a reduction

in Children’s Centre funding this year, the cost of providing space for Children’s Centre activities are falling increasingly

to 1st Place to fund. It will be essential to define the extent the support 1st Place is able to provide as we move into a

new phase of Children’s Centre management.

Southwark Council have progressed plans to make improvements to the public facilities on the ground floor of

Chumleigh Conference centre, with a compete re-configuration of the public toilets scheduled for late 2015. This will

make a significant difference to the quality of the conference centre environment. We are planning to upgrade the

facilities in the conference centre to coincide with these capital works.




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Negotiations with Southwark Council are still in progress in relation to the location of the Cuming Museum to the ground

floor of the conference centre, following their expression of interest at the end of 2013.

Financial review

The 2014/15 accounts show a third consecutive year’s improvement in the financial position of 1st Place with an

operating surplus of £107,842. This follows on from surpluses of £174,952 in 2013/14 and £34,558 in 2012/13. This

leaves 1st Place in an increasingly stronger position. Our overall support from LB Southwark increased by approximately

18%, including providing an increased number of places under the Government’s Free Early Educational Entitlement

scheme. However, our funding from LB Southwark is being reduced by 4% from April 2015, as an interim settlement,

pending the outcome of the borough wide reorganisation of Childrens’ Centres.

Our improved financial performance has been helped by continuing to focus on maximising the utilisation of nursery

places and continuing to control expenses and effective collection of nursery fees.

As the Charity has no endowed funds, the level of activities in the coming period will continue to depend almost entirely

on its ability to secure continuing income, both through grants and earned income. The principal form of income for the

Charity is through nursery fees. In addition to this are the funds from LB Southwark Children’s and Adult Services, which

account for approximately 16% of income. The Charity’s reserves continue to increase and are considerably stronger

than 2 years ago, though not yet at the benchmark of three months of running costs including salaries. 1st Place has not

faced difficulty in the past period in meeting its liabilities and paying suppliers on time. The Trustees therefore consider

that liabilities will continue to be paid when falling due in the foreseeable future and that the going concern basis for

the preparation of the financial statements remains appropriate.

Principal funding

The continuing growth and success of 1st Place this year has been facilitated by consistent funding and we would

particularly like to acknowledge Southwark Children’s and Adult Services for the allocation of Children’s Centre funding

and the Free Early Education Entitlement. As ever, the continued commitment of local parents to our nursery, and of

local services and groups for our room hire, is crucial to the continuation of our services.

Investment policy and performance

The Board decided, during the period, to move our banking arrangements away from The Co-operative Bank into

Barclays Bank. Funds are held between a deposit account and a current account. There are no bank/savings accounts

currently available that would generate any significant interest income.

Reserves policy

The Trustees have formulated a policy whereby in the long term General Reserves held by the Charity should cover

three months of running costs, including salaries. This currently equates to approximately £446,000 and would enable

activities to continue in the short term, while they are reviewed, should income drop significantly. At the year end, the

General Fund was £252,000.




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Risk assessment

The Trustees have developed a comprehensive Risk Review and Action Statement, during the period, which is reviewed

at Finance Committee meetings and enables potential risks, of all types financial and operational, to be identified early

and corrective action taken.

Funding for Children’s Centre services for the 2015/16 year is initially expected to be reduced by 4% from the 2014/15

level. Our funder, Southwark Council, has begun to review Children’s Centre provision within the borough. Initial

discussions do not lead us to expect that the need for 1st Place as a Children’s Centre will reduce, as Southwark Council

has within their four year plan stated a commitment to retaining the same levels of Children’s Centre provision.

Plans for future periods

As we enter our 11th year, we do so in a more challenging environment for public services, be they statutory or voluntary.

We do so in a strong position, with a commitment to increasing our provision of early education places and further

developing our Family Support offer through the Children’s Centre programme. During this period an opportunity arose

to expand our service provision by taking on additional facilities on the ground floor of St Paul’s church, Lorrimore

Square. After lengthy negotiations with Southwark Council about financial support towards the building works and first

year operating loss, the Trustees have agreed to go ahead with this expansion. The strong financial performance in the

last three years has enabled us to feel comfortable in supporting this project without financial risk to the overall

operation.

This expansion also provides the opportunity to further develop our provision of 2 year old funded places, with an

additional 32 part time places being created.

Discussions are in progress with Southwark Children & Adults services to explore the re-organisation of the management

of Children’s Centres in the borough. 1st Place are committed to providing support to families with children under 5 in

our local community, and are, subject to adequate funding keen to be part of these plans.

Public benefit statement - Update

The Trustees confirm that they have complied with their duty to have due regard to the guidance on public benefit

published by the Charity Commission in exercising their powers or duties. Through offering free, open to all services

under 5 have accessed support, training and advice through 1st Place and its partners. Changes to the leadership and

management of Children’s Centres in the borough will enable 1st Place and its partners to reach out to more children

and their families.

Statement of responsibilities of the Trustees

The Trustees (who are also directors of 1st Place Children and Parents’ Centre for the purposes of company law) are

responsible for preparing the report of the Trustees’ and the financial statements in accordance with applicable law and

United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company 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 charitable company and of the incoming resources and application of resources,

including the income and expenditure, of the charitable company for that period. In preparing these financial

statements, the Trustees are required to:

Select suitable accounting policies and then apply them consistently;

Observe the methods and principles in the Charities SORP;

Make judgements and estimates that are reasonable and prudent;




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State whether applicable UK Accounting Standards and statements of recommended practice have been followed,

subject to any material departures disclosed and explained in the financial statements; and

Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity

will continue in operation.

The Trustees are responsible for keeping proper 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.

In so far as the Trustees are aware:

There is no relevant audit information of which the charitable company’s auditors are unaware; and

The Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit

information and to establish that the auditors are aware of that information.

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on

the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of

financial statements may differ from legislation in other jurisdictions.

Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event

of winding up. The total number of such guarantees at 31 March 2015 was 17 (2014 - 12). The Trustees are members of

the charity but this entitles them only to voting rights. The Trustees have no beneficial interest in the charity.

Auditors

Sayer Vincent LLP were re-appointed as the charitable company's auditors during the year and have expressed their

willingness to continue in that capacity.

The report of the Trustees has been prepared in accordance with the special provisions applicable to companies subject

to the small companies' regime.

Approved by the Trustees on 4 September 2015 and signed on their behalf by

Mark Devlin

Chair

Independent auditors’ report

To the members of

1st Place Children and Parents’ Centre

13

We have audited the financial statements of 1st Place Children and Parents’ Centre for the year ended 31 March 2015

which comprise the statement of financial activities, the balance sheet and the related notes. The financial reporting

framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards

(United Kingdom Generally Accepted Accounting Practice).

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of

the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's

members those matters we are required to state to them in an auditors' 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 for the opinions we have formed.

Respective responsibilities of Trustees and auditors

As explained more fully in the statement of Trustees’ responsibilities set out in the report of the Trustees, the Trustees

(who are also the directors of the charitable company for the purposes of company law) are responsible for the

preparation of the financial statements and for being satisfied that they give a true and fair view.

Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and

International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices

Board’s Ethical Standards for Auditors.

Scope of the audit of the financial statements

An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give

reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or

error. This includes an assessment of: whether the accounting policies are appropriate to the charitable company’s

circumstances and have been consistently applied and adequately disclosed; the reasonableness of significant

accounting estimates made by the Trustees; and the overall presentation of the financial statements. In addition, we

read all the financial and non-financial information in the report of the Trustees to identify material inconsistencies with

the audited financial statements and to identify any information that is apparently materially incorrect based on, or

materially inconsistent with, the knowledge acquired by us in the course of performing the audit. If we become aware

of any apparent material misstatements or inconsistencies we consider the implications for our report.

Opinion on financial statements

In our opinion the financial statements:

Give a true and fair view of the state of the charitable company’s affairs as at 31 March 2015 and of its incoming

resources and application of resources, including its income and expenditure, for the year then ended;

Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

Have been prepared in accordance with the requirements of the Companies Act 2006.

Opinion on other matter prescribed by the Companies Act 2006

In our opinion the information given in the report of the Trustees for the financial year for which the financial statements

are prepared is consistent with the financial statements.

Independent auditors’ report

To the members of

1st Place Children and Parents’ Centre

14

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to

you if, in our opinion:

Adequate accounting records have not been kept or returns adequate for our audit have not been received from

branches not visited by us

The financial statements are not in agreement with the accounting records and returns

Certain disclosures of Trustees’ remuneration specified by law are not made

We have not received all the information and explanations we require for our audit

The Trustees were not entitled to prepare the financial statements in accordance with the small companies’

regime and take advantage of the small companies’ exemption in preparing the report of the Trustees and take

advantage of the small companies’ exemption from the requirement to prepare a strategic report.

Noelia Serrano (Senior statutory auditor)

10 September 2015

for and on behalf of Sayer Vincent LLP, Statutory Auditors

Invicta House, 108-114 Golden Lane, LONDON, EC1Y 0TL

Restated2015 2014

Restricted Unrestricted Total TotalNote £ £ £ £

Incoming resources

- 800 800 1,0002 - 74,387 74,387 111,404

- 689 689 201

3 85,693 1,674,899 1,760,592 1,719,221

4 - 9,810 9,810 13,620

85,693 1,760,585 1,846,278 1,845,446

5

- 57,149 57,149 58,650

- 583,760 583,760 591,417- 181,118 181,118 221,360

43,182 135,677 178,859 97,92322,044 574,661 596,705 604,689

- 90,442 90,442 59,72115,000 - 15,000 -

- 35,403 35,403 36,734

80,226 1,658,210 1,738,436 1,670,494

5,467 102,375 107,842 174,952

Reconciliation of funds

35,000 204,071 239,071 64,119

40,467 306,446 346,913 239,071

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those

stated above. Movements in funds are disclosed in Note 13 to the financial statements.

Incoming resources from generated fundsVoluntary income

Total incoming resources

Other incoming resources

Activities for generating funds

Cambridge House NurseryBishops House Children's Centre

Costs of generating funds:Costs of goods and services sold

Chumleigh NurseryCreche

1st Place Children and Parents' Centre Ltd


Statement of financial activities (incorporating an income and expenditure account)

Total funds brought forward

Total funds carried forward

Net movement in funds

Total resources expended

Governance costs

Charitable activities

Family Support

Lorrimore Nursery

Bank interest receivable

Incoming resources from charitable activities

Resources expended

15

2015 2014Note £ £ £

Fixed assets9 22,548 9,311

Current assets10 42,005 148,326

419,448 226,873

461,453 375,199

Liabilities11 137,088 145,439

324,365 229,760

12 346,913 239,071

13Restricted funds 40,467 35,000

54,348 49,585252,098 154,486

346,913 239,071


As at 31 March 2015

Approved by the trustees on 4 September 2015 and signed on their behalf by

Net current assets

Net assets

Balance sheetCompany no. 05424738

Tangible fixed assets

Cash at bank and in hand

Chair

General funds

Total charity funds

Unrestricted fundsDesignated funds

The funds of the charity

Mark Devlin

Debtors

Creditors: amounts falling due within one year

16

1.

a)

b)

c)

d)

e)

f)

g)

h) Resources expended are recognised in the period in which they are incurred. Resources expended include

attributable VAT which cannot be recovered.

Where unconditional entitlement to grants receivable is dependent upon fulfilment of conditions within the

charity's control, the incoming resources are recognised when there is sufficient evidence that conditions will be

met. Where there is uncertainty as to whether the charity can meet such conditions the incoming resource is

deferred.

Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes.

Costs of generating funds relate to the costs incurred by the charitable company in inducing third parties to make

voluntary contributions to it, as well as the cost of any activities with a fundraising purpose.

Resources expended are allocated to the particular activity where the cost relates directly to that activity.

However, the cost of overall direction and administration of each activity, comprising the salary and overhead

costs of the central function, is apportioned on the following basis which are an estimate, based on staff time, of

the amount attributable to each activity.



Where information about the aims, objectives and projects of the charity is provided to potential beneficiaries, the

costs associated with this publicity are allocated to charitable expenditure.

Where such information about the aims, objectives and projects of the charity is also provided to potential

donors, activity costs are apportioned between fundraising and charitable activities on the basis of area of

literature occupied by each activity.

Designated funds are unrestricted funds earmarked by the trustees for particular purposes.

Revenue grants are credited to the statement of financial activities when received or receivable whichever is

earlier.

Accounting policies

The financial statements have been prepared under the historical cost convention and in accordance with

applicable accounting standards and the Companies Act 2006. They follow the recommendations in the Statement

of Recommended Practice, Accounting and Reporting by Charities (SORP 2005).

Voluntary income is received by way of donations and gifts and is included in full in the statement of financial

activities when receivable.

Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these

criteria is charged to the fund.

Notes to the financial statements

9%

0%

2%

Costs of generating funds

Chumleigh Nursery

Creche

Family Support

Cambridge House Nursery

Bishops House Children's Centre

Lorrimore Nursery

Governance costs

11%

26%

14%

12%

26%

17




1.

i)

j)

k)

Computer software

25% straight line

25% straight line

33% straight line

33% straight line

Computer equipment

Fixtures & Fittings

Office equipment

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value

over its expected useful life. The depreciation rates in use are as follows:

Governance costs are the costs associated with the governance arrangements of the charity. These costs are

those relating to constitutional and statutory requirements and include any costs associated with the strategic

management of the charity’s activities.

Accounting policies (continued)

Items of equipment are capitalised where the purchase price exceeds £500. Depreciation costs are allocated to

activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if

circumstances indicate their carrying value may exceed their net realisable value and value in use.

The charitable company operates a defined contribution pension scheme. The assets of the scheme are held

separately from those of the charitable company in an independently administered fund. The pension cost charge

represents contributions payable under the scheme by the charitable company to the fund. The charitable

company has no liability under the scheme other than for the payment of those contributions.

Rentals payable under operating leases, where substantially all the risks and rewards of ownership remain with

the lessor, are charged to the Statement of Financial Activities on a straight line basis over the minimum lease

term.

18




2.

2015 2014

Restricted Total Total

£ £ £ £

- 7,226 7,226 16,888

- - - 268

- 67,161 67,161 94,248

- 74,387 74,387 111,404

3.

Restated2015 2014


£ £ £ £

- 188,084 188,084 187,075

- 12,170 12,170 10,356

- 100,000 100,000 100,000

5,693 - 5,693 44,089

- 147,809 147,809 114,850

- 175,770 175,770 145,679

- 14,390 14,390 19,750

Lorrimore fund 20,000 - 20,000 -

Locality fund - 9,662 9,662 -

Family Support 60,000 - 60,000 -

- 1,009,460 1,009,460 964,958

- 17,554 17,554 132,464

85,693 1,674,899 1,760,592 1,719,221

4.

2015 2014


£ £ £ £

- 7,053 7,053 6,230

- 1,698 1,698 540

- 1,059 1,059 6,850

- 9,810 9,810 13,620

Unrestricted

Total

Activities for generating funds

Unrestricted

Catering

Fundraising events

Room hire

Total


LB Southwark

Children's Centre Funding

Incoming resources from charitable activities

Total

Consultancy

Nursery fees

Creche fees

Deprivation fund

Bishops House Children's Centre

Special Education Needs

Free Early Education Entitlement

Two Year Old Free Early Learning Offer

Vulnerable children placements

Other

Prior year Nursery income figures have been restated, this is due to discounts on fees being incorrectly recognised

as bad debts. Nursery fee income and bad debt expenditure have been decreased by £82,457 as a result. There is

no net impact to the funds brought forward.

Other income

Unrestricted


Staff lunch income

19

5.

RestatedCost of

generating

funds

Chumleigh

Nursery Creche

Family

Support

Cambridge

House

Nusery

Bishop House

Children's

Centre Lorrimore

Governance

Costs Support Costs 2015 Total 2014 Total

£ £ £ £ £ £ £ £ £ £ £

Staff costs ( Note 7) 16,702 432,522 127,212 63,606 432,522 63,606 - 16,561 150,655 1,303,386 1,198,601

Other staff costs - 8,286 3,187 497 7,250 952 - - 7,797 27,969 21,338

Direct costs - 20,682 4,907 71,524 18,478 2,965 - - 6,717 125,273 130,026

Catering supplies 6,882 18,082 - - 18,082 - - - - 43,046 46,158

Rental equipment - 4,196 1,431 2,787 344 1,375 - - 1,574 11,707 15,755

Premises cost 8,193 12,438 3,046 2,911 55,142 105 15,000 - 27,497 124,332 113,652

Utilities - 13,175 3,172 4,587 - - - 20,235 41,169 42,722

Office costs - 10,635 3,610 4,502 3,119 388 - - 7,735 29,989 40,384

Legal and professional fees - 1,590 1,716 221 1,798 292 - 11,400 798 17,815 22,430

Governance - - - - - - - 2,829 - 2,829 1,526

Depreciation - 2,184 546 546 - - - - 7,645 10,921 6,841

Bad debt - - - - - - - - - - 31,060

31,777 523,790 148,827 151,181 536,735 69,683 15,000 30,790 230,653 1,738,436 1,670,494

Support costs 25,372 59,970 32,291 27,678 59,970 20,759 - 4,613 (230,653) - -

Total resources expended 57,149 583,760 181,118 178,859 596,705 90,442 15,000 35,403 - 1,738,436 1,670,494

Total resources expended




20

6.

2015 2014

£ £

10,921 6,841

24,000 24,000

17,341 14,943

7,500 11,400

2,000 3,600

- -- -

7.

2015 2014

£ £

1,196,410 1,111,651

83,178 76,902

23,797 10,048

1,303,385 1,198,601

1,220,207 1,121,699

2015 2014

No. No.

8.0 8.0

4.0 1.0

3.0 4.0

2.0 1.0

27.0 27.0

23.0 21.0

67.0 62.0

8. Taxation

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

purposes.

Net incoming resources for the year

The average weekly number of employees (full-time equivalent) during the year was as follows:




Trustees' remuneration

Trustees' reimbursed expenses

Land and buildings

Plant and equipment

Staff costs and numbers

Staff costs were as follows:

Operating lease rentals:

Auditors' remuneration:

This is stated after charging / crediting:

Depreciation tangible fixed assets

audit

other services

No employee earned more than £60,000 during the year.

Salaries and wages

Social security costs

Pension contributions

Total emoluments paid to staff were:

Administration including room hire

Family Support Team

Creche

Domestic

Nursery - Chumleigh

Nursery - Cambridge House

21




9.

Office

equipment

Computer

equipment

Fixtures and

fittings

Computer

software Total

£ £ £ £ £

Cost

28,950 23,972 76,188 12,295 141,405

- 3,050 21,106 - 24,156

- - (311) (1,902) (2,213)

28,950 27,022 96,983 10,393 163,348

Depreciation

28,633 21,422 72,097 9,942 132,094

317 3,567 6,640 395 10,919

- - (311) (1,902) (2,213)

At the end of the year 28,950 24,989 78,426 8,435 140,800

Net book value- 2,033 18,557 1,958 22,548

317 2,550 4,091 2,353 9,311

10.

2015 2014£ £

25,393 127,307

16,612 21,019

42,005 148,326

11.

2015 2014£ £

13,019 36,526

20,155 20,090

27,745 36,719

76,169 52,104

137,088 145,439

12.General

funds Total funds

£ £ £ £

22,548 - - 22,548

31,800 40,467 252,098 324,365

54,348 40,467 252,098 346,913

Trade creditors

Other taxation and social security

Other creditors

Fixed assets

Net current assets

Net assets at the end of the year

Analysis of net assets between fundsDesignated

funds

Creditors: amounts falling due within one year

Trade debtors

Prepayments and accrued income

Accruals and deferred income

Tangible fixed assets

Restricted

funds

At the end of the year

At the start of the year

Disposals in year

At the end of the year


Charge for the year


Additions in year

Debtors

Disposals in year

22




13.Brought

forward

Incoming

resources

Resources

expended

Transfers

in/out

Carried

forward

£ £ £ £ £

Restricted funds:

35,000 5,693 (22,044) - 18,649

Family Support - 60,000 (43,182) - 16,818

Lorrimore fund - 20,000 (15,000) - 5,000

Total restricted funds 35,000 85,693 (80,226) - 40,467

Designated funds:

9,311 - - 13,237 22,548

40,274 100,000 (108,474) - 31,800

Total designated funds 49,585 100,000 (108,474) 13,237 54,348

General funds 154,486 1,660,585 (1,549,736) (13,237) 252,098

204,071 1,760,585 (1,658,210) - 306,446

239,071 1,846,278 (1,738,436) - 346,913

The Charity has received funding from LB Southwark which is restricted to the following purposes:

Total unrestricted funds

The Fixed asset fund represents the Charity's holding of fixed assets. Fixed assets are considered to be not easily

realisable and, in accordance with SORP 2005, should not be represented by general funds. The fund balance

carried forward is equal to the net book value of the fixed assets.

Special Educational Needs

Purposes of designated funds

These funds are used to provide additional support for children in the Nursery with special education needs.

The Bishops House Children's Centre fund represents funds from the London Borough of Southwark to help run

Family Support and Training services at Bishops House Children's Centre, expanding the Charity's reach in the

west of the locality.

Total funds

Purposes of restricted funds

Family Support

The Family Support fund represents funds from the London Borough of Southwark to help run Family Support and

Training services at 1st Place.

Lorrimore fund

These funds are used to provide initial support for the new Nursery at Lorrimore Square due to open in November

2015.

Bishops House Childrens's

Centre

Special Education Needs

Movements in funds

Unrestricted funds:

Fixed asset fund

23




14.

2015 2014 2015 2014

£ £ £ £

- - 1,541 -

- - 4,802 9,717

24,000 24,000 - -

24,000 24,000 6,343 9,717

15. Related party transactions

No Trustee had an interest (other than as mentioned below) in any contract of the Charity except as parents of

children attending the Centre on similar terms to other parents.

Beatriz Dominguez works for Cambridge House, a charitable entity and from whom the charity rents premises to

provide a nursery. She is excluded from participating in any decision making to the tenancy and receives no direct

personal benefit. During the course of the year £48,000 (2014: £45,000) was paid to Cambridge House for rent.

1 - 2 Years

2 - 5 Years

Over 5 years

Operating lease commitments

In addition, there is a lease agreement with Cambridge House which has a 90-day termination period, but no end

date. The annual charge for 2015 was £48,000 (2014: £45,000).

Land and buildings Other

The charity had annual commitments at the year end under operating leases expiring as follows:

24

1st place children and parents’ centre ltd€¦ · independent auditors' report 13 statement...

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