2021-03-31-accounts

CHARITY REGISTRATION NUMBER: 1050314

King's Church Newton Abbot

Unaudited Financial Statements 31 March 2021

SANDERS & COMPANY ACCOUNTANTS LIMITED

The Retreat, Old Exeter Street, Chudleigh, Newton Abbot, Devon, TQ13 0JX

King's Church Newton Abbot

Financial Statements

Year ended 31 March 2021

	Page
Trustees' annual report	1
Independent examiner's report to the trustees	4
Statement of financial activities	5
Statement of financial position	6
Notes to the financial statements	7

King's Church Newton Abbot

Trustees' Annual Report

Year ended 31 March 2021

The trustees present their report and the unaudited financial statements of the charity for the year ended 31 March 2021.

Reference and administrative details

Reference and administrative	details
Registered charity name	King's Church Newton Abbot
Charity registration number	1050314
Principal office	Old Exeter Road
	Newton Abbot
	Devon
	TQ12 2NY
Church Council	Mr A Wharrier-Minty
	Mr S R Smith
	Mr S R Bergman
Holding Trustees	Mr B Minty
	Mr S R Smith
	Mr R Hayes
Independent Examiner	Mr M C Sanders
	Sanders & Company Accountants Limited
	The Retreat
	Old Exeter Street
	Chudleigh
	Newton Abbot
	Devon
	TQ13 0JX
Bankers	CAF (Charities Aid Foundation)
	25 Kings Hill Avenue
	Kings Hill, West Malling
	Kent
	ME19 4TA
	Kingdom Bank Ltd
	Ruddington Fields Business Park
	Mere Way, Ruddington
	Nottingham
	NG11 6JS
Solicitors	Geldards LLP
	21-22 Burns Street
	Ilkeston
	Derbyshire
	DE7 8AA

1

King's Church Newton Abbot

Trustees' Annual Report (continued)

Year ended 31 March 2021

Structure, governance and management

Governing document

The charity was registered with the Charity Commission in 1995. It is governed by the model constitution with trust deed for local Assemblies of God which was adopted in 2007.

Recruitment and appointment of Church Council

New trustees, with appropriate qualifications or skills, are sought from church membership, and are appointed at the discretion of the existing trustees.

Recruitment and appointment of Holding Trustees

New holding trustees, with appropriate qualifications or skills, are sought from church membership, and are appointed at the discretion of the existing holding trustees.

Risk management

The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.

Objectives and activities

Objectives and aims

The advancement of the Christian Religion by the proclamation and furtherance of the Gospel of God concerning his Son Jesus Christ the Lord and the preaching and teaching of the Word of God by the Church in accordance with the Statement of Fundamental Truths of Assembles of God in Great Britain and Ireland as approved by the General Council.

In planning our activities for the year we kept in mind the Charity Commission guidance on public benefit.

Achievements and performance

Charitable activities

The church meets regularly on Sunday morning at 10:30am and on Sunday evening at 6pm. We hold weekly house groups on a Wednesday and meet for a prayer meeting on the first Monday of every month.

On Sunday morning there is a Sunday School meeting for children of primary school age.

On Friday evening there is a Youth Group which is well attended.

Financial review

The accounts disclose that the income was £39,468 compared with £43,375 in the year to 31 March 2020 and that the funds at the end of the year stand at £229,197 compared with £234,207 the previous year.

Restricted funds at the end of the year stand at £83,144 and are restricted for use on the buildings.

Reserves policy

Purpose and Scope

The Charity Commission requires that the Managing Trustees of every charity establish and record a reserves policy for the charity. The term "reserves" means those funds which could be available for use quickly to meet an emergency situation. The reserves policy must be included in the annual report accompanying the accounts.

2

King's Church Newton Abbot

Trustees' Annual Report (continued)

Year ended 31 March 2021

Policy

The Trustees of King’s Church Newton Abbot recognise that reserves are needed to manage cash flow delays where income arrives later than expenditure. Cash in the bank at any one time is normally sufficient to cover such delays. The Trustees will regularly consider the levels of current and expected income and expenditure and assess the level of cash reserves required to meet any shortfalls in cash receipts over payments. The Treasurer is authorised to accumulate a sum equivalent to between one and six months' expenditure as reserves. The Trustees will consider the level of reserves to be held to cover any expected cash flow delays as well as potential emergencies where significant expenditure may be required before additional income can be raised. If the amount of reserves held exceeds the level assessed as required, the Trustees will develop a plan for using these excess reserves in a way that fulfils the charitable objectives of the church.

Trustees' responsibilities statement

The trustees are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, of the charity 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 applicable Charities SORP;

• make judgments and accounting estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the Trust Deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees' annual report was approved on 9 January 2022 and signed on behalf of the board of trustees by:

Mr S R Smith Trustee

3

King's Church Newton Abbot

Independent Examiner's Report to the Trustees of King's Church Newton Abbot

Year ended 31 March 2021

I report to the trustees on my examination of the financial statements of King's Church Newton Abbot ('the charity') for the year ended 31 March 2021.

Responsibilities and basis of report

As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (‘the Act’).

I report in respect of my examination of the charity's financial statements carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner's statement

I have completed my examination. I confirm that no material 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 130 of the Act; or

2. the financial statements do not accord with those records; or

3. the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.

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.

Mr M C Sanders

Sanders & Company Accountants Limited

The Retreat Old Exeter Street Chudleigh Newton Abbot TQ13 0JX

18 January 2022

4

King's Church Newton Abbot

Statement of Financial Activities

31 March 2021

31 March 2021
			2021		2020
		Unrestricted	Restricted
		funds	funds	Total funds	Total funds
	Note	£	£	£	£
Income and endowments
Donations and legacies	4	31,782	–	31,782	36,175
Investment income	5	–	–	–	–
Other income	6	–	7,686	7,686	7,200
		────────	───────	────────	────────
Total income		31,782	7,686	39,468	43,375
		════════	═══════	════════	════════
Expenditure
Expenditure on raising funds:
Costs of raising donations and
legacies	7	32,494	–	32,494	33,893
Expenditure on charitable activities	8,9	2,453	9,531	11,984	14,237
		────────	───────	────────	────────
Total expenditure		34,947	9,531	44,478	48,130
		════════	═══════	════════	════════
		────────	───────	────────	────────
Net expenditure and net movement	in
funds		(3,165)	(1,845)	(5,010)	(4,755)
		════════	═══════	════════	════════
Reconciliation of funds
Total funds brought forward		149,218	84,989	234,207	238,962
		─────────	─────────	─────────	─────────
Total funds carried forward		146,053	83,144	229,197	234,207
		═════════	═════════	═════════	═════════

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on pages 7 to 14 form part of these financial statements.

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King's Church Newton Abbot

Statement of Financial Position

31 March 2021

King's Church Newton Abbot Statement of Financial Position 31 March 2021
		2021	2020
		£	£
Fixed assets
Tangible fixed assets	14	207,959	211,838
Current assets
Debtors	15	4,871	5,840
Cash at bank and in hand		20,042	18,749
		────────	────────
		24,913	24,589
		────────	────────
Creditors: amounts falling due within one year	16	3,675	2,220
		─────────	─────────
Net current assets		21,238	22,369
		─────────	─────────
Net assets		229,197	234,207
		═════════	═════════
Funds of the charity
Restricted funds		83,144	84,989
Unrestricted funds		146,053	149,218
		─────────	─────────
Total charity funds	18	229,197 ═════════	234,207 ═════════

These financial statements were approved by the board of trustees and authorised for issue on 9 January 2022, and are signed on behalf of the board by:

Mr S R Smith Trustee

The notes on pages 7 to 14 form part of these financial statements.

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King's Church Newton Abbot

Notes to the Financial Statements

Year ended 31 March 2021

1. General information

The charity is registered charity in England and Wales and is unincorporated. The address of the principal office is Old Exeter Road, Newton Abbot, Devon, TQ12 2NY.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Charities Act 2011.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

There are no material uncertainties about the charity's ability to continue.

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.

7

King's Church Newton Abbot

Notes to the Financial Statements (continued)

Year ended 31 March 2021

3. Accounting policies (continued)

Incoming resources

All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

• income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.

• legacy income is recognised when receipt is probable and entitlement is established.

• income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.

• income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

• expenditure on raising funds includes the costs of all fundraising activities, events, noncharitable trading activities, and the sale of donated goods.

• expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.

• other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

8

King's Church Newton Abbot

Notes to the Financial Statements (continued)

Year ended 31 March 2021

3. Accounting policies (continued)

Tangible assets (continued)

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Freehold property - 2% straight line on the buildings only Fixtures and fittings - 10% straight line

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

Financial instruments

A financial asset or a financial liability is recognised only when the charity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs.

Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.

Debt instruments are subsequently measured at amortised cost.

Where investments in shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in income and expenditure. All other such investments are subsequently measured at cost less impairment.

9

King's Church Newton Abbot

Notes to the Financial Statements (continued)

Year ended 31 March 2021

3. Accounting policies (continued)

Financial instruments (continued)

Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Other financial instruments are subsequently measured at fair value, with any changes recognised in the statement of financial activities, with the exception of hedging instruments in a designated hedging relationship.

Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised under the appropriate heading in the statement of financial activities in which the initial gain was recognised.

For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics.

Any reversals of impairment are recognised immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.

When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as an expense in the period in which it arises.

4. Donations and legacies

Donations and legacies
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2021
	£	£	£
Donations
Tithes and offerings	26,895	–	26,895
Gift aid tax	4,887	–	4,887
	────────	────	────────
	31,782	–	31,782
	════════	════	════════

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────────

King's Church Newton Abbot

Notes to the Financial Statements (continued)

Year ended 31 March 2021

4. Donations and legacies (continued)

Donations and legacies (continued)
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2020
	£	£	£
Donations
Tithes and offerings	30,317	–	30,317
Gift aid tax	5,858	–	5,858
	────────	────	────────
	36,175	–	36,175
	════════	════	════════

5. Investment income

5.	Investment income
		Unrestricted	Total Funds	Unrestricted	Total Funds
		Funds	2021	Funds	2020
		£	£	£	£
	Bank interest receivable	–	–	–	–
		════	════	════	════
6.	Other income
		Restricted	Total Funds	Restricted	Total Funds
		Funds	2021	Funds	2020
		£	£	£	£
	Rent receivable	7,200	7,200	7,200	7,200
	Other specified income	486	486	–	–
		────────	────────	────────	────────
		7,686	7,686	7,200	7,200
		═══════	═══════	═══════	═══════

7. Costs of raising donations and legacies

	Unrestricted	Total Funds	Unrestricted	Total Funds
	Funds	2021	Funds	2020
	£	£	£	£
Wages and salaries	30,722	30,722	30,721	30,721
Pension costs	660	660	665	665
Motor and travel costs	(228)	(228)	1,083	1,083
AoG National Offerings	1,004	1,004	1,124	1,124
Gifts and missionary support	336	336	300	300
	────────	────────	────────	────────
	32,494	32,494	33,893	33,893
	════════	════════	════════	════════

8. Expenditure on charitable activities by fund type

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2021
	£	£	£
Charitable activities	2,453	9,531	11,984
	═══════	═══════	════════
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2020
	£	£	£
Charitable activities	2,584	11,653	14,237
	═══════	════════	════════

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King's Church Newton Abbot

Notes to the Financial Statements (continued)

Year ended 31 March 2021

9. Expenditure on charitable activities by activity type

		Activities
		undertaken	Total funds	Total fund
		directly	2021	2020
		£	£	£
	Charitable activities	11,984	11,984	14,237
		════════	════════	════════
10.	Net expenditure

Net expenditure is stated after charging:

	Net expenditure is stated after charging:
		Unrestricted	Restricted	Total Funds	Total Funds
		Funds	Funds	2021	2020
		£	£	£	£
	Depreciation of tangible fixed assets	297	3,582	3,879	3,949
	Loss on disposal	–	–	–	–
		────────	────────	────────	────────
		297	3,582	3,879	3,949
		════════	════════	════════	════════
11.	Independent examination fees
				2021	2020
				£	£
	Fees payable to the independent examiner for:
	Independent examination of the financial	statements		300 ════	350 ════

12. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as follows:

	2021	2020
	£	£
Wages and salaries	30,722	30,721
Employer contributions to pension plans	660	665
	────────	────────
	31,382	31,386
	════════	════════

Wages and salaries 30,722 Employer contributions to pension plans 660 ──────── 31,382 ════════	Wages and salaries 30,722 Employer contributions to pension plans 660 ──────── 31,382 ════════	30,721 665 ──────── 31,386 ════════
The average head count of employees during the year was 2 (2020: 2). The average		number of
full-time equivalent employees during the year is analysed as follows:
	2021	2020
	No.	No.
Number of staff	1	1
	════	════

No employee received employee benefits of more than £60,000 during the year (2020: Nil).

13. Trustee remuneration and expenses

No emoluments were paid to any of the trustees in relation to their role as trustee. While the senior minister is a trustee all emoluments paid relate to his role as senior minister of the church.

Total emoluments paid to the senior minister during the year was £28,322.

Total expenses reimbursed to two trustees for expenses incurred on behalf of the Charity was £1,501.

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King's Church Newton Abbot

Notes to the Financial Statements (continued)

Year ended 31 March 2021

14. Tangible fixed assets

14.	Tangible fixed assets
		Freehold	Fixtures and
		property	fittings	Total
		£	£	£
	Cost
	At 1 April 2020	277,347	25,416	302,763
	Additions	–	–	–
	Disposals	–	–	–
		─────────	────────	─────────
	At 31 March 2021	277,347	25,416	302,763
		═════════	════════	═════════
	Depreciation
	At 1 April 2020	67,484	23,441	90,925
	Charge for the year	3,582	297	3,879
	Disposals	–	–	–
		─────────	────────	─────────
	At 31 March 2021	71,066	23,738	94,804
		═════════	════════	═════════
	Carrying amount
	At 31 March 2021	206,281	1,678	207,959
		═════════	════════	═════════
	At 31 March 2020	209,863	1,975	211,838
		═════════	════════	═════════
15.	Debtors
			2021	2020
			£	£
	Other debtors		4,871	5,840
			═══════	═══════
16.	Creditors: amounts falling due within one year
			2021	2020
			£	£
	Accruals and deferred income		3,675	2,220
			═══════	═══════

17. Pensions and other post retirement benefits

Defined contribution plans

The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £660 (2020: £665).

18. Analysis of charitable funds

Unrestricted funds

Unrestricted funds
					At
		At			31 March
	1	April 2020	Income	Expenditure	2021
		£	£	£	£
General funds		149,218 ═════════	31,782 ════════	(34,947) ════════	146,053 ═════════

The purpose of the unrestricted funds is to furtherance the objectives of the charity.

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King's Church Newton Abbot

Notes to the Financial Statements (continued)

Year ended 31 March 2021

18. Analysis of charitable funds (continued)

Restricted funds

Restricted funds
				At
	At			31 March
	1 April 2020	Income	Expenditure	2021
	£	£	£	£
Building Fund	84,989	7,200	(9,045)	83,144
Toilet Twinning Fund	-	486	(486)	-
	─────────	───────	───────	─────────
	84,989 ═════════	7,686 ═══════	(9,531) ═══════	83,144 ═════════

Purposes of restricted funds

Building fund

Specific offerings for the provision and maintenance of a place of Worship and a church Manse. To include income from the Manse.

Toilet Twinning fund

Specific offerings for donation in support of an emergency appeal for the provision of toilets, taps and training.

19. Analysis of net assets between funds

	Unrestricted	Restricted	Total Funds	Total Funds
	Funds	Funds	2021	2020
	£	£	£	£
Tangible fixed assets	128,102	79,857	207,959	211,838
Current assets	21,626	3,287	24,913	24,589
Creditors	(3,675)	–	(3,675)	(2,220)
	─────────	─────────	─────────	─────────
Net assets	146,053	83,144	229,197	234,207
	═════════	═════════	═════════	═════════

14