The directors present the strategic report for the year ended 31 July 2025 , in compliance with s414C of the Companies Act 2006.

Financial review

Policy on reserves

In line with recommended practice from the Charity Commission for Northern Ireland, the playgroup
has established a reserves policy to ensure the stability of the mission, programme, employment and
ongoing operations of the organisation. The target minimum reserve fund has been identified as
£60,000 which ensures that the core activity of Forkhill Preschool Playgroup Ltd could continue during
a period of unforeseen difficulty in relation to the salaries, day to day running and in the event of
redundancies.

A proportion of these reserves have to be maintained in a readily realisable form. Fundraising will continue on
a year-to-year basis.

Objectives and activities

As per the Articles of Association, the company's objectives and activities are specifically
restricted to the following: to promote play based learning environments for all children under
statutory school age (hereinafter referred to as the beneficiaries) of Forkhill and its surrounding
greater ward area (hereinafter called the "area of benefit") without distinction of age,
gender, marital status, disability, sexual orientation, nationality, ethnic identity, political or
religious opinion, by associating the statutory authorities, community and voluntary
organisations and the inhabitants in a common effort to advance education, and in particular;

1. to advance the education of the beneficiaries by the provision of safe and satisfying group
   play, with the right of parents/carers to take responsibility for and to become involved in the
   activities of the group and to promote the preservation of health of the beneficiaries;

2. to support the vision and values of the Early Years sector.

3. to advance any other exclusively charitable purpose as the directors may, from time to time,
   decide in accordance with the law of charity.

The playgroup is open Monday to Friday - 9.00 to 12.00 and employs 6 qualified staff, it provides
a facility where the children can learn in a safe and stimulating environment at their own pace. The
playgroup works to provide the pre-school curriculum and is proud to have been recognised by
Investors in People in the past and currently have been awarded a Gold Category Award from
Curriculum and Planning Specialist (C.A.P.S). In setting our objectives and planning our activities for
the year the trustees have given careful consideration to the Charity Commission for Northern Ireland's
guidance on public benefit to ensure that the activities have helped to achieve the charity's purposes
and provide a benefit to the beneficiaries.

Objectives, strategies and activities

2024/25 was a straightforward year for the school financially with grant and other income, resulting in net surplus for the year of £20,676 (2024 deficit £7,011). With sufficient reserves in place and continued drive towards maximising income and minimising expenditure the school remains in a solid financial position.

Going concern

Management have considered a period of at least 12 months from the date of approval of these
financial statements as part of their assessment of the appropriateness of the going concern
assumption, and have concluded that the going concern basis is appropriate

Structure, governance and management

Organisational structure

Forkhill Preschool Playgroup is a company limited by guarantee and accepted as charitable by
HMRC. The. company is also a registered charity with The Charity Commission for Northern
Ireland under charity number 107697. The company was incorporated on 10th July 2019. The
company was established under a Memorandum of Association which established the objects
and powers of the company, and is governed by its Articles of Association. The liability of
the members is limited in that every member of the company undertakes to contribute and
amount not exceeding £1 in the event of the company being would up.

Recruitment and Appointment of Directors

The charity trustees are also directors of the company.

Organisation Structure

The Board consists of two Trustees who administer the playgroup and meet monthly. The
Board has appointed a Playgroup Leader to manage the day-to-day operations of the Playgroup.
The Playgroup leader has delegated authority, within terms of delegated approval, for
operational matters including staff supervision, delivery of Playgroup activities and budgetary
management. The Playgroup is affiliated to the C.A.P.S organisation and works very closely with
their independent Early Years Specialist to ensure that staff are up-to-date with policy and
practice within the sector. Staff also undertake regular training.

On behalf of the board

We have reviewed the financial statements of Forkhill Preschool Playgroup Ltd for the year ended 31 July 2025 which comprise the income and expenditure account, the balance sheet and notes to the financial statements, including a summary of significant accounting policies. The 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 Kingdom Generally Accepted Accounting Practice).

As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view.

As the charity's trustees of FORKHILL PRESCHOOL PLAYGROUP LIMITED (and also its directors for
the purposes of company law) you are responsible for the preparation of the accounts in accordance with the
requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of FORKHILL PRESCHOOL PLAYGROUP LIMITED are
not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, it is
my responsibility to:

• examine the accounts under section 65 of the Charities Act (Northern Ireland) 2008;

• to follow the procedures laid down in the general Directions given by the Charity Commission for Northern Ireland under section 65(9)(b) of the Charities Act; and

• to state whether particular matters have come to my attention.

I have examined your charity's accounts as required under section 65 of the Charities Act and my examination
was carried out in accordance with the general Directions given by the Charity Commission for Northern Ireland
under section 65(9)(b) of the Charities Act. The examination included a review of the accounting records kept
by the charity and a comparison of the accounts presented with those records. It also includes consideration of
any unusual items or disclosures in the accounts, and seeking explanations from you as charity trustees
concerning any such matters.

Independent examiner's statement

I have completed my examination. 1 confirm that no matters have come to my attention in connection with the
examination giving me cause to believe:

1. accounting records were not kept in respect of FORKHILL PRESCHOOL PLAYGROUP LIMITED as
   required by section 386 of the 2006 Act; or

2. the accounts do not accord with those records; or

3. the accounts 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 accounts 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 accounts to be reached.

Based on our review, nothing has come to our attention that causes us to believe that the financial statements have not been prepared:

• so as to give a true and fair view of the state of the company’s affairs as at 31 July 2025, and of its profit for the year then ended;

• in accordance with United Kingdom Generally Accepted Accounting Practice; and

• in accordance with the requirements of the Companies Act 2006.

This report is made solely to the company’s directors, as a body, in accordance with the terms of our engagement letter dated 2 April 2025. Our review work has been undertaken so that we might state to the company’s directors those matters we have agreed to state to them in a reviewer’s 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 company and the company’s directors as a body, for our review work, for this report, or for the conclusions we have formed.

In accordance with section 444 of the Companies Act 2006 all of the members of the company have consented to the preparation of abridged financial statements pursuant to paragraph 1A of Schedule 1 to the Small Companies and Groups (Accounts and Directors’ Report) Regulations (S.I. 2008/409)(b).

For the financial year ended 31 July 2025 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

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 and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

Forkhill Preschool Playgroup Ltd is a private company limited by guarantee incorporated in Northern Ireland. The registered office is 93 Main Street, Shean, Forkhill, Newry, Armagh, Northern Ireland, BT35 9SQ.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Income and expenses are included in the financial statements as they become receivable or due.

Expenses include VAT where applicable as the company cannot reclaim it.

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:

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 credited or charged to surplus or deficit.

At each reporting period end date, the company 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). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in surplus or deficit, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in surplus or deficit, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

The company is exempt from corporation tax, it being a company not carrying on a business for the purposes of making a profit.

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

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 company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

The average monthly number of persons (including directors) employed by the company during the year was:

The company is limited by guarantee, not having a share capital and consequently the liability of members is limited, subject to an undertaking by each member to contribute to the net assets or liabilities of the company on winding up such amounts as may be required not exceeding £1.