## Sutton Vineyard
Report and Accounts Year ended 28 February 2023
1 Lamb's Passage, London EC1Y 8AB www.stewardship.org.uk
## **SUTTON VINEYARD**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **CHARITY INFORMATION**
## **Trustees**
Clare Hardie (resigned 16 May 2022) Thomas Miles Jonathan Page (resigned 18 September 2023) Aredi Pitsiaeli Merita Speed (resigned 6 March 2023) Samuel Worsley Sarah Worsley (appointed 16 May 2022) Elizabeth Arnold (appointed 5 June 2023)
## **Key Staff**
Jason and Beverley Clark (Senior Pastors until November 2022) Steve Burnhope (Acting Senior Pastor from November 2022) Jonathan Dowdeswell (Operations and Business Manager) Hannah Miles (Assistant Pastor)
## **Governing Document**
Constitution dated 6 March 2020, as amended 4 May 2020
**Charity Registration Number** 1061363 **Principal Address** Sutton Vineyard Stayton House Stayton Road Sutton Surrey, SM1 2PS
## **Independent Examiner**
Ajay Rajani FCIE Stewardship 1 Lamb's Passage London EC1Y 8AB
**Bankers** Co-Op Bank Lloyds Bank
|**Contents**|**Page**|
|---|---|
|Charity Information|1|
|Trustees' Annual Report|2-5|
|Independent Examiner's Report|6|
|Statement of Financial Activities|7|
|Balance Sheet|8|
|Cashflow Statement|9|
|Notes to the Accounts|10-17|
|Detailed Statement of Financial Activities with Comparatives|18|
Page 1
## **SUTTON VINEYARD**
## **TRUSTEES' ANNUAL REPORT**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
The trustees have pleasure in submitting the Report and Accounts for the year.
## **Objects of the charity**
The object of the charity is to advance the Christian faith through (a) the organisation and provision of Christian worship (b) undertaking activities appropriate for a Church (c) the provision of facilities for Christian training and service (d) Christian evangelism and outreach and (e) providing assistance to the wider Christian church.
## **Aims**
The church's mission is to invite people into their first and next encounter with God. This is achieved by undertaking the activities set out in the 'Activities and Achievements' section of this report.
We continue to encourage our members to invite our local community into the activities of the church.
To facilitate the church's mission, by the end of this period the church had 11 paid staff members, 4 full time and 7 part time. This equates to 7.3 full time equivalent staff including staff on parental leave and those on short term contracts. We continue to keep our staffing needs under review.
In planning the activities the trustees have had regard to the guidance on public benefit issued by the Charity Commission.
## **Activities and Achievements**
The activities undertaken during the year to achieve the church's mission and, related achievements, fall under the following broad headings:
## _Ministry_
Following prior years which saw the need for the Church to respond to the Covid pandemic and move significant amounts of the Church’s ministries online, we were able to return fully to host Sunday services in person in addition to continuing to stream services online. As has been experienced by all Churches, the events of Covid led to a large change in our regular members, but the attendance, giving and commitment has remained high.
The Church experienced significant change in July when the founders and the long serving seniors Pastors of 25 years tendered notice to take on a new opportunity extending God’s kingdom. This was a significant event for the Church and one we took a number of steps to navigate. To help with the transition period Steve Burnhope was appointed as an interregnum pastor alongside Lyn Burnhope in an unpaid role. Both Steve and Lyn brought significant experience to the role including as a previous senior pastors of a large Vineyard Church, to help lead the Church and lead the process to appoint new long term senior pastor(s). Despite this significant change attendance, giving and commitment has remained high.
Our work with kids and youth remains a significant focus of the Church. Following changes made as a result of the Covid-19 Pandemic our kids and youth ministries have returned to a full offering of in person events. This has allowed and offered numerous activities to keep our youngest members connected. As with our regular adult members, we saw a significant change over the previous 12 months, in part driven by Covid restrictions which resulted in many joiners and leavers. However, we have been really encouraged by the regeneration of our kids and youth ministries. By the end of the period our children's ministry had regular attendance on Sundays of around 40 children. In addition to regular Sunday services we have returned to providing social events for both regular attenders of Sutton Vineyard Church and in the local community including the Light Party, Christmas parties and lego socials. Similarly, our youth has seen strong numbers having been able to host in person events throughout the period. This included 17 of our youth attending the Dream the Impossible Christian weekend away.
Small groups remain a vitally important aspect of our Church as smaller groups look to build relationships and share their faith lives together. They have continued to be a vital point of connection and support for people and a place for them to receive pastoral care, access to Christian formation experiences and connection with the broader mission and vision of the church. While the majority of our groups now meet in person, we have seen a mix in small groups meeting in person and remotely.
Page 2
## **SUTTON VINEYARD**
## **TRUSTEES' ANNUAL REPORT continued**
## _Community outreach_
As we have taken steps to re-establish our in person ministries following the pandemic, we have continued to serve our community wherever possible. Our Lighthouse ministry remains a significant outreach supporting people in the community to provide children's clothes and equipment open every Thursday during school term time at our Dolphin centre.
In response to the cost of living crisis we have further extended our in-person outreach programmes including running “Warm Welcome” an open walk-in session on Mondays to offer refreshments and a warm, welcoming venue for any who would benefit from it. In addition, our previous outreaches including Alpha and CAP (Christians Against Poverty) courses have been run through the year.
As noted last year, Sutton has seen hundreds of Hong Kong families arrive under the British National Oversees Visa programme. As a Church we saw this as a significant challenge for those moving their lives to a new country and an opportunity to reach out to these individuals, to welcome them and to provide practical support to those moving into the area. Hannah Miles continued in her extended role to lead this outreach programme including heading up the organisation of the second Sutton Friendship Festival. The festival was a chance to celebrate Hong Kong culture and build integration between local residents and newly arrived Hongkongers, attended by over a 1000 people.
## _National and international mission_
Our church not only works to meet needs and care for those locally but nationally and internationally. We continued to focus on the development of and support of our primary international mission partner Aslan, Hope in Sport in Cape Town, that cares for and meets needs for some of the most vulnerable children in that city.
The money needed to finance all these activities doesn’t come from Vineyard churches’ head office, or gifts from rich Christians, or trust funds. It will come, as it always has in the life of the church, from continuing support by our church family, and from those of you reading this report.
The impact of the church (being a body of believers) on the lives of individuals, in particular those living in the local community, has continued to grow and this is the yardstick that has been used to measure success. The previous years have seen significant change at Sutton Vineyard due to the Covid restrictions and the change in our senior pastors. Despite these changes, we have been encouraged by the continued level of engagement and regular attendance on Sundays. Despite a large turnover of members in our kids and youth ministries, we have also seen significant steps in re-growing these ministries as well and restarting our community outreaches as well as introducing new, much needed, services. These periods have had an impact on the regular giving received by the Church, our main form of income. Likewise, in taking steps to ensure we respond to these challenges, we have seen an increase in expenditure, particularly in staff costs as we have looked to ensure we are well placed for the transition period and have therefore used some of our reserves (which was budgeted). Despite this the Church remains in a healthy financial position with strong reserves but retains the aim of growing regular giving to meet the existing deficit in giving compared to expenses incurred
## **Grant Making**
There are a large number of worthwhile local, national and international initiatives that the church cannot undertake directly. The trustees, in conjunction with the church's senior leaders, have identified several projects that they believe the church should support and during the year the church made grants of £89,400 (2022: £86,864) to these projects in furtherance of its charitable objectives. Further information about these grants is given in the notes to the accounts.
## **Volunteers**
Most of the church's activities are undertaken by volunteers who generously donate their time and skills. It is not practical to place a value on these services and, in this respect, no amounts have been included in the Statement of Financial Activities.
## **Staff Remuneration**
Staff salaries are reviewed each year taking into account relevant data on average salary increases in similar industries and careers, the change in the cost of living in the Sutton area and the current financial situation of SVC. Trustees alone make the decision about staff remuneration.
## **Relationships With Other Organisations**
We look to VCUKI to facilitate the sharing of best practice between Vineyard churches.
Page 3
## **SUTTON VINEYARD**
## **TRUSTEES' ANNUAL REPORT continued**
## **Structure, Governance and Management**
The policy and operating decisions of the charity rest with the trustees who meet regularly to monitor the activities of the charity. New trustees are given induction training by existing Trustees, making use of Charity Commission resources, Stewardship guides and internal policy and procedure documents. Regular refresher training is strongly encouraged.
The trustees delegate responsibility for the day-to-day running of the charity's activities to key management personnel. An annual budget is approved by Trustees each year, with non-regular items outside of budgeted amounts that exceed £250 requiring additional trustee approval.
## **Financial review**
During the year income decreased by £62,896 to £584,153 and expenditure increased by £80,431 to £672,341. As a result the charity has reported a deficit of £88,188 (2022: a surplus of £55,139). The charity's net assets have decreased by £88,188 to £213,312; net assets comprise tangible fixed assets of £19,930 and net current assets of £193,382. Net current assets (which is a measure of liquidity) decreased by £93,949 to £193,382; at the year end net current assets included cash of £191,747 of which £188,465 is unrestricted.
This year's decrease in income (which was £63,000) is due to a variety of factors. After a substantial increase last year, income from irregular ad hoc donations fell back by £47,000 this year. Government grant income fell by £41,000; in the previous year the charity received a one off grant of £30,000 from the Hong Kong Welcome Programme but not all of this could be used and £11,000 was repaid this year. These decreases in income were offset by an increase of £14,000 in facilities lettings income and an increase of £11,000 from income received from other sources (principally regular donations and gift aid). The charity is very grateful for the tremendous generosity demonstrated by its supporters.
This year's increase in expenditure (which was £80,000) arose for the following reasons. Staff costs increased by £49,000 due to changes in staffing including the appointment of a new acting senior minister. The cost of Sunday services increased by £18,000 due to higher venue hire costs because the charity was able to meet physically for the whole year (last year 9 months) and this year there was also some expenditure on our 25th anniversary celebration. Community outreach costs increased by £12,000, which was mainly due to the work the charity did with the Hong Kong community (which this year was funded from the government grant received from the Hong Kong Welcome Programme). Overall, there was a net increase of £1,000 in other costs.
## **Reserves policy**
During the year free reserves (being the charity's unrestricted, undesignated, net current assets) decreased by £14,427, to £187,935. The target for free reserves set by the trustees is £100,000, which, they believe, would be sufficient to allow the charity to (a) continue to operate should budgeted income, or expenditure, vary unexpectedly, (b) go a considerable way towards covering the costs of winding up the charity in the unlikely event that it decides to stop operating and / or to (c) respond to new opportunities to advance the kingdom of God as they arise. The trustees note that the reserves held at the year end exceed the target set and have budgeted to use some of these reserves in the next financial period.
## **Risks and Uncertainties**
The trustees have reviewed the risks to which a small charity operating with few employees is exposed. The trustees and key management meet regularly to identify risks and then take action to mitigate these risks as far as practically possibly. The principal risk faced by the charity is that income (which is almost entirely voluntary) and / or expenditure may vary unexpectedly. To mitigate this risk the charity has accumulated free reserves (see the above reserve policy) and the trustees monitor current levels of income and expenditure so that measures can be taken to address any adverse variances before the charity's free reserves are exhausted.
## **Plans for the future**
Looking ahead the church's principle goals are as follows:
1. To appoint replacement, permanent senior pastor(s)
2. To grow regular giving to eliminate the operational deficit
3. To develop our relationship with our partner mission of ASLAN
4. To grow our Children’s ministry around the Orange Philosophy of integration between home and the church for Christian education and formation
5. To continue to invite and facilitate members into active participation of the mission of the church, by serving, giving, praying and belonging to a small group
6. To continue to support our wider church movement locally, nationally and internationally
7. To continue to call and empower our members to invite people into engagement and participation of the experiences and activities of our church.
Page 4
## **SUTTON VINEYARD**
## **TRUSTEES' ANNUAL REPORT continued**
## **Responsibilities of trustees**
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).
Charity law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of the affairs of the charity as at the balance sheet date and of its incoming resources and application of resources, including income and expenditure, for the financial year. In preparing these financial statements, the trustees are required to:
1. select suitable accounting policies and apply them consistently;
2. observe the methods and principles in the Charities SORP;
3. make judgements and estimates that are reasonable and prudent;
4. state whether the applicable accounting standards have been followed, subject to any material departures disclosed and
explained in the financial statements; and
5. prepare the financial statements on a 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 charity and enable them to ensure that the financial statements comply with the Charities Act 2011 and the Charity (Accounts and Reports) Regulations 2008. 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.
## **Approval**
This report was approved by the trustees and signed on their behalf by:
## **Sam Worsley**
Sam Worsley - trustee
Date: 10 December 2023
Page 5
## **INDEPENDENT EXAMINER'S REPORT**
## **TO THE TRUSTEES OF**
## **SUTTON VINEYARD ('the Charity')**
I report to the charity trustees on my examination of the accounts of the Charity for the year ended 28 February 2023 on pages 7 to 18 following, which have been prepared on the basis of the accounting policies set out on pages 10 to 11.
## **Responsibilities and basis of report**
As the charity’s trustees of the Charitable Incorporated Organisation you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').
I report in respect of my examination of the Charity’s accounts carried out under section 145 of the 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**
Since the Charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a Fellow of the Association of Charity Independent Examiners, which is one of the listed bodies.
I have completed my examination. I 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 the Charity as required by section 130 of the Act; or 2. the accounts do not accord with those records; or
3. the accounts 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.
## **Ajay Rajani**
Ajay Rajani FCIE Fellow of the Association of Charity Independent Examiners Stewardship 1 Lamb's Passage London EC1Y 8AB
Date: 18 December 2023
Page 6
## **SUTTON VINEYARD**
## **STATEMENT OF FINANCIAL ACTIVITIES**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
|Note
**INCOME AND ENDOWMENTS FROM:**
Donations and legacies
3
Charitable activities
4
Investments (interest on bank deposits)
Other income
**Total income and endowments**
**EXPENDITURE ON:**
Charitable activities:
5
**Total expenditure**
**Net income/(expenditure)**
**Transfers between funds**
14
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
**Total funds carried forward**
14|Unrestricted
Funds
£
520,964
31,701
269
736
553,670
574,836
574,836
(21,166)
-
(21,166)
229,031
207,865|Restricted
Funds
£
30,483
-
-
-
30,483
97,505
97,505
(67,022)
-
(67,022)
72,469
5,447|Total
Funds
2023
£
551,447
31,701
269
736
584,153
672,341
672,341
(88,188)
-
(88,188)
301,500
213,312|Total
Funds
2022
£
629,437
17,028
-
583|
|---|---|---|---|---|
|||||647,048|
|||||591,910|
|||||591,910|
||||||
|||||55,139
-|
|||||55,139
246,361|
|||||301,500|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing operations.
The notes on pages 10 to 18 form part of these accounts.
Page 7
## **SUTTON VINEYARD**
## **BALANCE SHEET**
## **AS AT 28 FEBRUARY 2023**
|Note
**FIXED ASSETS**
Tangible assets
7
**CURRENT ASSETS**
Stock
8
Debtors
9
Cash at bank and in hand
10
**CREDITORS: Amounts falling**
**due within one year**
11
**Net current assets / (liabilities)**
**TOTAL NET ASSETS**
**FUND BALANCES**
14
Unrestricted Funds
General funds
Designated funds
Restricted Funds|Unrestricted
Funds
£
19,930
-
9,396
188,465
197,861
9,926
187,935
207,865
207,865
-
-
207,865|Restricted
Funds
£
-
2,165
-
3,282
5,447
-
5,447
5,447
-
-
5,447
5,447|Total
Funds
2023
£
19,930
2,165
9,396
191,747
203,308
9,926
193,382
213,312
207,865
-
5,447
213,312|Total
Funds
2022
£
14,169|
|---|---|---|---|---|
|||||1,967
14,313
281,886|
|||||298,166
10,835|
|||||287,331|
|||||301,500|
|||||216,531
12,500
72,469|
|||||301,500|
The financial statements were approved by the Board of Trustees and were signed on its behalf by:
## **Sam Worsley**
Date: 10 December 2023
Sam Worsley - trustee
Charity number: 1061363
The notes on pages 10 to 18 form part of these accounts.
Page 8
## **SUTTON VINEYARD**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **CASH FLOW STATEMENT**
|Note
**Cash flows from operating activities:**
**_Net cash provided by (used in) operating activities_**
A
**Cash flows from investing activities:**
Purchase of property, plant and equipment
**_Net cash provided by/(used in) investing activities_**
B
B
**Cash and equivalents at the beginning of the year**
**_Cash and cash equivalents at the end of the year_**
**_Change in cash and equivalents in the reporting period_**|2023
£
(74,713)
(15,426)
(15,426)
(90,140)
281,886
191,747|2022
£
69,207|
|---|---|---|
||||
|||-|
||||
|||69,207
212,679|
|||281,886|
An Analysis of Changes in Net Debt has not been presented because the charity does not have any borrowings.
## **Note A: Reconciliation of net income/(expenditure) to net cash flow from operating activities**
|**Adjustments for:**
Depreciation charges and provisions for impairment
(Increase)/decrease in stocks
(Increase)/decrease in debtors
Increase/(decrease) in creditors
**_Net cash provided by (used in) operating activities_**
**Note B: Analysis of cash and cash equivalents**
Cash at bank with immediate access
Petty cash
**Total cash and cash equivalents**
**_Net income/(expenditure) for the reporting period (as per the_**
**_statement of financial activities)_**|2023
£
(88,188)
9,665
(199)
4,917
(909)
(74,713)
2023
£
191,694
53
191,747|2022
£
55,139
22,089
546
(5,173)
(3,393)|
|---|---|---|
|||69,207|
|||2022
£
281,831
55|
|||281,886|
Page 9
## **SUTTON VINEYARD**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **1 Statutory Information**
The charity is a charitable incorporated organisation registered with the Charity Commission in England & Wales. The charity's registered number and principal address can be found on the Charity Information page.
## **2 Accounting Policies**
These financial statements are prepared on a going concern basis, under the historical cost convention.
These financial statements have been prepared in accordance with the "Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) ("the Charities SORP"), with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland ("FRS 102") and with the Charities Act 2011. The charity meets the definition of a public benefit entity as set out in FRS 102.
The Charities (Accounts and Reports) Regulations 2008 (the '2008 Regulations') requires charities to prepare their accounts in accordance with 'Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005' but this accounting standard has since been withdrawn and has been replaced by the Charities SORP mentioned in the preceding paragraph. The charity has prepared these financial statements in accordance with the new Charities SORP; this departure from the 2008 Regulations is believed to be necessary for these financial statements to give a 'true and fair view'.
The principles adopted in the preparation of the financial statements are set out below.
## a) Going concern
The trustees have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the charity to continue as a going concern. The trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. In particular the trustees have considered the charity's forecasts and projections and the possible implications should projected income and / or expenditure vary unexpectedly. The trustees have concluded that there is a reasonable expectation that the charity has adequate resources to continue to operate for the foreseeable future. The charity therefore continues to adopt the going concern basis in preparing its financial statements.
## b) Income
Income including investment income is recognised in the period in which the charity becomes entitled to receipt, the amount receivable can be measured with reasonable certainty, and receipt is probable. For the most part, income is generally recognised when it is received. Income is only deferred when the charity has to fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be expended in a future period.
Income from donations and legacies includes: i) Recoverable gift aid. This is recognised when the related donation is received. Gift aid that has not been recovered by the balance sheet date is included as a debtor.
- ii) Donated goods. Goods donated for distribution to beneficiaries are recognised as income when receivable at fair value (being an estimate of the amount it would cost to purchase those items). When donated goods are distributed, an expense in respect of those items is included in the Statement of Financial Activities. At the year end any goods that have not been distributed or consumed are recognised as stock.
The charity relies on volunteers to carry out many of its activities. However, in accordance with the SORP, the value of these services has not been included in these financial statements as they cannot be reliably measured.
Income from charitable activities represents income receivable from goods, services and facilities supplied in furtherance of the charity's charitable objects.
The charity has taken the view that it has only one charitable activity, namely the advancement of the Christian faith, and all income from donations, legacies and charitable activities is in respect of this one activity.
## c) Expenditure
Expenditure, including irrecoverable VAT, is recognised when it is incurred or, if earlier, when a legal or constructive obligation for a payment arises provided that it is probable that settlement will be required and the amount of the obligation can be measured reliably.
The charity makes grants to other institutions and individuals to further its charitable objectives. Grants payable are recognised as constructive obligations arise, which is generally when the charity expresses a commitment to the recipient that can be measured reliably and then only to the extent that any conditions associated with the grant are outside of the control of the charity.
Governance costs, which are included in expenditure on charitable activities but are identified separately in the notes to the accounts, includes costs associated with the independent examination of the financial statements, compliance with constitutional and statutory requirements and any other expenditure incurred on the strategic management of the charity.
Page 10
## **SUTTON VINEYARD**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **2 Accounting Policies continuing**
c) Expenditure continued The Charities SORP requires charities with income over £500,000 to allocate costs to the various activities undertaken by the charity. The nature of the work of the church is considered to be so integrated that the core charitable activity costs are considered to be for the one activity.
d) Fund accounting General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity. Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. Restricted funds are donations which are to be used in accordance with specific restrictions imposed by donors; they include donations received from appeals for specific activities or projects.
e) Tangible fixed assets Items purchased or donated for the charity's own use are capitalised when the cost of purchased items, or the fair value of donated items, is more than £1,000 and the item is expected to benefit the charity over more than one accounting period. The following rates of depreciation are charged:
Leasehold improvements Over the lease term or, if shorter, expected useful life Equipment generally 50% on cost in first year then 25% on cost in second and third years; if more enduring, straight-line over 5 years
The carrying values of tangible fixed assets are reviewed for impairment in periods when events or changes in circumstances indicate that the carrying value may not be recoverable.
## f) Stocks: Stocks of donated items held for distribution to beneficiaries are measured at fair value. g) Leased assets Leases which do not transfer substantially all the risks and rewards of ownership to the charity are classified as operating leases. Operating lease payments are recognised as an expense on a straight-line basis over the lease term (unless another systematic basis is more representative of use).
Receipts of lease incentives are spread on a straight-line basis over the term of the lease; at the balance sheet date the amount of the incentive to be allocated to future accounting periods is carried forward as deferred income.
h) Pension scheme arrangements The charity operates defined contribution pension schemes for its employees. Obligations for contributions to these schemes are recognised as an expense when the liability arises. The assets of these schemes are held separately from those of the charity in independently administered funds.
i) Taxation The company is a registered charity; it has taken advantage of the various reliefs from taxation available to charities and no tax is payable on the charity's income.
j) Financial instruments The charity's financial assets and financial liabilities all qualify as basic financial instruments, as defined by FRS102. Creditors and debtors are measured at their expected settlement value (normally the amount of cash that the charity expects to pay or receive).
k) Critical accounting estimates and areas of judgement The trustees do not consider that there any material sources of estimation or uncertainty at the balance sheet date that could result in a material adjustment to the carrying values of assets and liabilities in the next reporting period.
Page 11
## **SUTTON VINEYARD**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **3 Donations and legacies**
|**ations and legacies**|||||
|---|---|---|---|---|
|Regular income from donors
Irregular income from donors
Gift aid tax refunds
Clothing and equipment donated for distribution
Government grants:
Hong Kong Welcome Programme*
Job Retention Scheme|Unrestricted
Funds
£
368,514
70,166
82,284
-
-
-
520,964|Restricted
Funds
£
-
33,676
4,050
3,444
(10,687)
-
30,483|Total
2023
£
368,514
103,842
86,334
3,444
(10,687)
-
551,447|Total
2022
£
362,321
150,475
81,448
5,071
30,000
122|
|||||629,437|
* The grant received in the previous year form the Government's Hong Kong Welcome Programme specified how and when this grant could be used and the charity found that it was not able to use the whole grant; the charity was obliged to return portion of the grant that could not be spent.
## **4 Income from charitable activities**
|**me from charitable activities**|||||
|---|---|---|---|---|
|Conferences, events and mission trips
Community outreach programs
Letting of facilities|Unrestricted
Funds
£
-
1,232
30,469
31,701|Restricted
Funds
£
-
-
-
-|Total
2023
£
-
1,232
30,469
31,701|Total
2022
£
292
629
16,107|
|||||17,028|
## **5 Charitable expenditure**
|**Costs incurred directly on specific activities**
_Staff costs_
Staff payroll costs including pension contributions
Accommodation for pastors
Travel and subsistence
Staff insurance schemes
Staff training and study
Other volunteer and staff costs
_Church ministry_
Training including attending conferences
Leadership and ministry development
Newcomers and pastoral care
Worship
Prayer
Youth/Kids group and events
_Sunday services_
Hall hire
Equipment
Hospitality
Teams and service materials
25th anniversary celebration
_Community outreach_
Operating costs for Dolphin Centre
Hong Kong Friendship Festival
Hong Kong Welcome Programme including staff costs
Other outreach projects
Donated goods distributed
_Mission_
Grants payable (see note 5c below for further information)|Unrestricted
Funds
£
252,799
29,079
1,315
7,904
2,447
8,100
301,644
5,914
5,062
1,158
677
1,232
12,240
26,283
25,895
5,845
4,284
2,050
6,700
44,774
31,832
-
-
7,144
-
38,976
53,675
**465,352**|Restricted
Funds
£
35,079
-
-
-
-
-
35,079
-
1,128
-
-
-
119
1,247
-
262
-
-
-
262
-
-
19,002
770
3,246
23,018
37,899
**97,505**|Total
2023
£
287,878
29,079
1,315
7,904
2,447
8,100
336,723
5,914
6,190
1,158
677
1,232
12,359
27,530
25,895
6,107
4,284
2,050
6,700
45,036
31,832
-
19,002
7,914
3,246
61,994
91,574
**562,856**|Total
2022
£
232,443
31,038
1,924
6,091
7,516
8,354|
|---|---|---|---|---|
|||||287,366
6,208
8,140
1,536
1,016
20
10,168|
|||||27,088
18,696
3,997
2,779
1,167
-|
|||||26,639
30,718
5,431
311
8,164
5,617|
|||||50,241
86,864|
|||||**478,198**|
## **a Costs incurred directly on specific activities**
Page 12
## **SUTTON VINEYARD**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **5 Charitable expenditure continued**
## **b Costs incurred on support & administration**
|**Costs incurred on support & administration**|||||
|---|---|---|---|---|
|_Establishment costs_
Rent and rates
Cleaning, communications and utilities
Property maintenance
_Other operating expenses_
Equipment expenses
Professional fees
Office supplies
Insurance
Marketing
IT, software subscriptions and website expenses
Depreciation
_Governance costs_
Independent examiner's fee for preparing and
examining the accounts
**Total expenditure**|45,090
10,751
2,611
58,452
9,576
6,948
2,754
5,072
1,812
11,605
9,665
47,432
3,600
**109,484**
**574,836**|-
-
-
-
-
-
-
-
-
-
-
-
-
**-**
**97,505**|45,090
10,751
2,611
58,452
9,576
6,948
2,754
5,072
1,812
11,605
9,665
47,432
3,600
**109,484**
**672,341**|45,535
9,680
1,718|
|||||56,933
3,689
5,158
1,750
4,707
1,800
13,986
22,089|
|||||53,179
3,600|
|||||**113,712**|
|||||**591,910**|
In addition to the fees payable for the preparation and examination of the accounts, the charity paid £2,298 (2022: £1,290) to Stewardship for payroll bureau services, reporting to a grant provider, consultancy services and other resources.
## **5c Information about the grants payable by the charity**
|UK and overseas mission
Community projects
Relief of poverty and hardship
The comparatives for the previous year are as follows:
UK and overseas mission
Community projects
The charity's principal grants to institutions comprised:
Vineyard Churches UK & Ireland
to support their general work
to support their work in Ukraine
Aslan Hope In Sport
Sutton Schoolswork
Sutton Community Works
Home for Good
Kintsugi Hope Church
Grants to institutions for less than £1,000 each|Institutions
£
69,347
20,118
1,277
90,742
Institutions
£
80,137
6,727
86,864|Individuals
£
232
-
600
832
Individuals
£
-
-
-
2023
£
27,174
5,420
35,508
5,500
11,500
1,200
745
3,695
90,742|2023
£
69,579
20,118
1,877|
|---|---|---|---|
||||91,574|
||||2022
£
80,137
6,727|
||||86,864|
||||2022
£
27,500
-
50,737
1,700
1,700
1,200
1,200
2,827|
||||86,864|
Page 13
## **SUTTON VINEYARD**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **6 Analysis of staff costs, the cost of key management personnel and trustee remuneration**
|Gross wages and salaries
Social security
Pension costs
Other employment benefits|2023
£
255,119
19,216
16,046
7,904
298,284|2022
£
202,357
14,030
16,056
6,091|
|---|---|---|
|||238,534|
The average monthly number of employees during the year was 11 (2022: 10). Most of the charity's activities are carried out by volunteers.
The charity's key management comprise the trustees and the key staff named on the Charity Information page. During the year key management received employment benefits totalling £179,612 (2022: £165,394). No staff received salaries at a rate of more than £60,000 per annum. No trustees received employment benefits in either the current or preceding year.
In addition the charity incurred expenditure totalling £24,669 (2022: £31,038) in respect of the customary provision of accommodation to Jason and Beverley Clark, who were the church's senior leaders, so that they could better perform their duties.
## **7 Tangible fixed assets**
|Leasehold
Improvements
£
Cost
At 1 March 2022
69,000
Additions
-
At 28 February 2023
69,000
Accumulated depreciation
At 1 March 2022
64,688
Charge for the year
4,312
At 28 February 2023
69,000
Net book value
At 28 February 2023
-
At 29 February 2022
4,312
**8**
**Stock**
Donated goods held for distribution to beneficiaries
**9**
**Debtors**
Gift aid receivable
Prepayments and other debtors
**10**
**Cash at Bank and in Hand**
Cash at bank with immediate access
Petty cash
**11**
**Creditors: liabilities falling due within one year**
Trade creditors
Accruals
Deferred income
Grant obligations|Computer
Equipment
£
12,668
-
12,668
11,173
1,495
12,668
-
1,495|Other
Equipment
£
22,774
15,426
38,200
14,412
3,858
18,270
19,930
8,362
2023
£
2,165
2023
£
2,480
6,916
9,396
2023
£
191,694
53
191,747
2023
£
125
5,189
2,438
2,174
9,926|Total
2023
£
104,442
15,426|
|---|---|---|---|
||||119,868|
||||90,273
9,665|
||||99,938|
||||19,930|
||||14,169|
||||2022
£
1,967|
||||2022
£
6,200
8,113|
||||14,313|
||||2022
£
281,831
55|
||||281,886|
||||2022
£
-
4,647
6,188
-|
||||10,835|
Page 14
## **SUTTON VINEYARD**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **12 Deferred income**
Deferred income comprises the following:
|Within one year
After one year
Amount released to income
Balance at the end of the reporting period
The income deferred at the period end will be released to income over the following periods:
In respect of rent free period
Balance at the beginning of the reporting period|2023
£
6,188
(3,750)
2,438
2,438
-
2,438|2022
£
9,938
(3,750)|
|---|---|---|
|||6,188|
|||3,750
2,438|
|||6,188|
Deferred income arises from rent free periods granted in respect of the charity's lease for Stayton House. For accounting purposes the benefit of the rent free period is spread over the term of the lease; this liability does not represent an amount due to a third party.
## **13 Pension commitments**
During the year employer’s pension contributions totalling £16,046 (2022: £16,056) were payable to defined contribution personal pension schemes. No pension contributions were owing at the balance sheet date (2022: £nil).
## **14 Funds**
During the year the movements in the charity's funds were as follows:
|Restricted funds
Hong Kong Welcome Programme
Media Equipment
VCUKI: London and regions
Donated clothing and equipment
Aslan project
Lighthouse
Associate pastor
Community
Youth work
Ukraine
Unrestricted funds
Designated funds:
Youth work
General funds
Aggregate of funds|Opening
balance
2023
£
29,689
262
1,128
1,967
1,550
731
35,079
63
2,000
-
72,469
12,500
216,531
301,500|Incoming
resources
2023
£
(10,687)
-
-
3,444
22,266
40
-
10,000
-
5,420
30,483
-
553,670
584,153|Outgoing
resources
2023
£
(19,002)
(262)
(1,128)
(3,246)
(22,416)
(771)
(35,079)
(10,063)
(118)
(5,420)
(97,505)
(12,500)
(562,336)
(672,341)|Transfers
in the year
2023
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-|Closing
balance
2023
£
-
-
-
2,165
1,400
-
-
-
1,882
-|
|---|---|---|---|---|---|
||||||5,447
-
207,865|
||||||213,312|
## **Analysis of net assets by fund**
The assets and liabilities of the various funds were as follows:
|**lysis of net assets by fund**
assets and liabilities of the various funds were as follows:||||
|---|---|---|---|
|Fixed assets
Stock
Debtors
Cash at bank and in hand
Current liabilities|General
Designated
£
£
19,930
-
-
-
9,396
-
188,465
-
(9,926)
-
207,865
-
Unrestricted funds|Restricted
funds
£
-
2,165
-
3,282
-
5,447|2023
£
19,930
2,165
9,396
191,747
(9,926)|
||||213,312|
Page 15
## **SUTTON VINEYARD**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **14 Funds continued**
In the previous year the movements in the charity's funds were as follows:
|Restricted funds
Hong Kong Welcome Programme
Hong Kong Friendship Festival
Media Equipment
VCUKI: London and regions
Donated clothing and equipment
Aslan project
Lighthouse
Associate pastor
Community
Youth work
Unrestricted funds
Designated funds:
Youth work
General funds
Aggregate of funds|Opening
balance
2022
£
-
-
-
1,128
2,512
-
1,250
35,079
63
2,000
42,032
12,500
191,829
246,361|Incoming
resources
2022
£
30,000
700
1,000
-
5,071
39,195
-
-
-
-
75,966
-
571,082
647,048|Outgoing
resources
2022
£
(311)
(700)
(738)
-
(5,617)
(37,645)
(519)
-
-
-
(45,530)
-
(546,380)
(591,910)|Transfers
in the year
2022
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-|Closing
balance
2022
£
29,689
-
262
1,128
1,967
1,550
731
35,079
63
2,000|
|---|---|---|---|---|---|
||||||72,469
12,500
216,531|
||||||301,500|
## **Analysis of net assets by fund**
In the previous year the assets and liabilities of the various funds were as follows:
|Fixed assets
Stock
Debtors
Cash at bank and in hand
Current liabilities|General
Designated
£
£
14,169
-
-
-
14,313
-
198,884
12,500
(10,835)
-
216,531
12,500
Unrestricted funds|Restricted
funds
£
-
1,967
-
70,502
-
72,469|2022
£
14,169
1,967
14,313
281,886
(10,835)|
|---|---|---|---|
||||301,500|
The **designated youth work** fund was created from a donation that came with a preference that did not amount to a restriction; this fund will be used to help further the charity's ministry amongst teenagers.
The restricted funds referred to above have the following purposes:
**Hong Kong Welcome Programme** - was created by a government grant received to help individuals arriving from Hong Kong settle in the United Kingdom.
**Hong Kong Friendship Festiva** l - was created by donations received to help fund a festival welcoming individuals arriving from Hong Kong.
**Media equipment** - was created by donations received to help pay for new audio visual equipment.
**VCUKI: London and regions** - was created from grants received to support the church's wider work in the London region. **Donated clothing and equipment** - represents gifts of children's clothing and equipment for onward distribution to the local community.
**Aslan project** – to support a youth sports mission in South Africa that helps young people through training programmes. **Lighthouse** - to support a ministry that provides children's clothing and equipment to the local community. **Associate pastor -** was created from donations received to help employ a new associate pastor.
**Community** - was created from donations received to, primarily, help support a local women's centre. **Youth work** - was created from donations received to help fund the church's work with young people.
**Ukraine** - was created from donations received to help those affected by the war in Ukraine.
Page 16
## **SUTTON VINEYARD**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **15 Operating lease commitments**
During the year the charity leased four properties namely 93 Stayton Road, the Dolphin Centre and two residential properties occupied by the charity's pastors. The minimum amounts payable in respect of these leases is as follows:
|Within one year
Between one and five years
After five years
Payments falling due:|2023
£
38,813
73,125
-
111,938|2022
£
73,550
106,313
5,625|
|---|---|---|
|||185,488|
During the year the charity was charged £89,573 (2022: £91,705) for its leases.
## **16 Transactions with related parties**
During the year the charity:
- a) received donations totalling £48,628 (2022: £47,937) from related parties (which includes trustees, key management and anyone closely connected to them).
- b) Jason and Beverley Clark (who were the church's senior leaders and members of key management) received rent of £21,413 (2022: £26,220) from the charity for a property owned and occupied by those individuals.
No expenses (2022: £nil) were paid to, or for, the trustees (except for the reimbursement of expenses incurred when acting as agent for the charity).
Except as disclosed in note 6 'Analysis of staff costs', there have been no other transactions with related parties during the year.
Page 17
## **SUTTON VINEYARD**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES WITH COMPARATIVES**
## **FOR THE YEAR ENDED 28 FEBRUARY 2023**
|Note
**INCOME AND ENDOWMENTS FROM:**
Donations and legacies
3
Charitable activities
4
Investments (interest on bank deposits)
Other income
**Total income and endowments**
**EXPENDITURE ON:**
Charitable activities:
5
**Total Expenditure**
**Net income/(expenditure)**
**Transfers between funds**
14
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
**Total funds carried forward**
14||General
2023
£
520,964
31,701
269
736
553,670
562,336
562,336
(8,666)
-
(8,666)
216,531
207,865
Unrestric|Unrestric|Designated
2023
£
-
-
-
-
-
12,500
12,500
(12,500)
-
(12,500)
12,500
-
ted funds|Restricted
Funds
2023
£
30,483
-
-
-
30,483
97,505
97,505
(67,022)
-
(67,022)
72,469
5,447|Total
Funds
2023
£
551,447
31,701
269
736
584,153
672,341
672,341
(88,188)
-
(88,188)
301,500
213,312|||General
2022
£
553,471
17,028
-
583
571,082
546,380
546,380
24,702
-
24,702
191,829
216,531
Unrestric|Unrestric|Designated
2022
£
-
-
-
-
-
-
-
-
-
-
12,500
12,500
ted funds|Restricted
Funds
2022
£
75,966
-
-
-
75,966
45,530
45,530
30,437
-
30,437
42,032
72,469|Total
Funds
2022
£
629,437
17,028
-
583
647,048
591,910
591,910
55,139
-
55,139
246,361
301,500|
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Page 18