Posted on 21 December 2016
A national childcare Charity, Children’s Links, which provides support services to children, young people and families, has formally entered into Administration. Despite being placed into Administration, it is business as usual for the Charity, which hopes to reach agreement with its major creditor HMRC, that would allow it to exit Administration and ultimately return into the hands of the Senior Management Team, early in the New Year.
News of the Administration was announced by the Board of Trustees following issues that arose as a result of a HMRC enquiry, which had escalated in a winding up petition being presented, without the knowledge of the Board or the Senior Team.
Children’s Links was formed in 1993 and supports over 60,000 children each year, focusing on the care and education of children, young people and adults.
On 19th December, Dean Nelson and Nick Lee, Partners of Midlands based firm Smith Cooper were appointed as Administrators.
The Charity announced its move into Administration stating that “Administration was a necessary step to address the issues that had arisen and allows us to continue doing the excellent work that we have provided for over 20 years”, adding that it was “not a decision that has been taken lightly”.
Head of Business Recovery and Insolvency at Smith Cooper, Dean Nelson, commented: “We were instructed by Children’s Links after they became aware that a winding-up petition had been advertised in the Gazette. I am hoping that despite the short time frame we have had to work with the Charity, we will be able to deliver a strategy that enables it to come through these challenging times, whilst continuing its excellent work in both the local and national communities.”
A spokesperson for the Charity further stated that “We’d like to thank all of our staff and funders for their hard work, support and commitment, whilst we navigate through this difficult issue. It is an open and transparent process and we hope that any affect to the children, young people and families that we support is minimal during this time, but please do contact us if you have any concerns.”