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2022-12-31-accounts

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Charity registered no: 1068103 Company registered no: 1562723

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

INDEX PAGE
Trustees’ annual report 1 - 7
Report of the auditors 8 - 10
Statement of financial activities 11
Summary income and expenditure account 12
Balance sheet 13
Statement of cash flows 14
Notes to the financial statements 15 – 25

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 1

TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2022

This report fulfils the requirements of the Charities Act 2011 for a Trustees’ Annual Report, and the requirements of the Companies Act 2006 for a Directors’ Report.

Objectives and Activities

The United Reformed Church (Yorkshire Province) Trust Limited (‘the Charity’) is established to advance the Christian religion and propagate the Gospel in accordance with the doctrines, principles and usages of the United Reformed Church with particular responsibility for the Yorkshire Synod of that Church.

The Charity exists to support the United Reformed Churches of the Yorkshire Synod in their search to obey the will of Christ in their witness to the world. The main objective of the Charity is to provide resources, funded by the Charity’s assets, to enable the churches to do this.

Currently, the main strategy of the Charity is to maximise income through the Executive Council, in partnership with the Investment Sub Committee; and to apply the resources so generated in response to requests from the appropriate councils of the United Reformed Church in Yorkshire and in accordance with the United Reformed Church Acts 1972, 1981 and 2000.

Significant activities

Encouraging churches to undertake mission activity relevant to their variety of contexts.

Provision of information, advice, support and encouragement to churches covering…

Administering the investments and property of the churches.

Advising and assisting with establishing, grouping, amalgamating or dissolution of local churches within the United Reformed Church and with other denominations.

Developing a strategy for the deployment of ordained ministry within the Synod and assisting churches during times of vacancy.

Providing training and resources for the enabling of;

Grant making and other financial support for church buildings and mission projects.

Management and maintenance of investments and properties held for the use of the Charity.

Public Benefit

The Charity has considered the Charity Commission’s guidance on public benefit and, in particular, the specific guidance on charities for the advancement of religion.

The Charity proclaims the Gospel of Jesus Christ, with its long established moral framework, and strives to develop spirituality and spiritual well-being through relationship with the God of the Bible.

This benefit is available to all communities who are within reach of one or more of our 85 churches which are situated across Yorkshire. Further details are to be found throughout the remainder of this report.

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 2

TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2022

Objectives and Activities (continued)

Grants Policy

The objects of the Charity dictate that grants can only be made to United Reformed Churches and Local Ecumenical Partnerships, which are part of the Yorkshire Synod of the United Reformed Church.

Normally, the only individuals who can receive a grant are retired Ministers or their widow(er)s and these Welfare grants are awarded in response to applications made to the Welfare Committee each year. Applicants must be resident within the Yorkshire Synod.

United Reformed Churches in Yorkshire may apply for assistance from the following funds:

Church Extension Fund interest free loans for church building projects Closed Churches Fund for 25% of the cost of church survey reports Vision and Opportunity grant for churches facing building challenges Vision and Opportunity grant for training, evangelical and pastoral projects Energy Crisis grant to assist with the uplift in energy prices Synod Mission Fund for Mission projects assessed against the “Ten Statements of Mission” which have been adopted by the United Reformed Church Winter Warmer grants to assist with energy costs due to the provision of a warm space in the church building

Synod Mission Fund grant applications are considered by the Mission Fund Panel, which meets four times a year. The Panel consists of the Synod Clerk, Synod Evangelist, and Conveners of the Synod Pastoral, Ministries, Property and Financial Resources Committees.

From time to time other funds may be made available with the approval of the Synod.

Applications for interest free loans will be considered by the Synod Financial Resources Committee.

All grants are accounted for once a decision has been reached and the church notified, and if applicable has accepted the terms of the grant. Grants will be held for a maximum of three years, any delay longer than this will require a fresh application.

Achievements, Performance and Future Plans

The Charity has maximised its income, subject to compliance with its ethical investment policy, and applied its resources in response to requests from the appropriate councils of the Church and has employed staff to carry out the activities shown on page 1.

The performance of the investment portfolios was assessed by the Investment Sub Committee on behalf of the Trustees and the income received was 1% higher (2021: 15% higher) than the budget set by the Synod for 2022. Considering the impact of the war in Ukraine and the stock market fall of autumn 2022 the results were very acceptable.

During 2022, significant time and resources were devoted to what has been called the ‘Missional Synod’ agenda. This was part of the Yorkshire Synod marking the URC’s 50[th] anniversary, and also recognising the transition from the period of significant disruption caused by Covid 19. Now that Covid 19 restrictions are in the past, and the life of the church has returned to a more normal pattern, albeit with new insights and practices gained from the pandemic, in particular, how digital platforms have enhanced the life of the church.

Out of significant discussion during the year, and with guidance from the Synod Mission Advocate, the Synod has arrived at a description of mission in the form of five threads:

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 3

TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2022

Achievements, Performance and Future Plans (continued)

The Synod has committed itself to review the life of the local church and the Synod in the light of these five threads, with a desire to make these missional threads central to its core workings and planning. Hopefully, this will help the Synod make good and clear decisions about where to direct time and resources as the Synod tries to support congregations in very testing times.

Most mission happens in the local church. Recognising this, the Synod itself needs to be constantly attentive to the way in which its ways of working support the exploration of mission in the local church. During 2022, the Synod became increasingly aware of the challenges which communities were facing in what has become known as the ‘Cost of Living Crisis’. A good example of Synod and local church working together in mission has been the way in which the Synod has channelled resources to support congregations in providing warm hubs for the community, in partnership usually with other churches and community groups.

There remain many questions about how resources are directed to where they are most needed. There are a number of churches facing critical questions about their future. The challenge for the Synod is to continue to be the pastoral, supportive body which it is called to be, whilst not shying away from the hard questions and from managing the risks associated with weakened churches.

In 2022, plans were made for Elders Development with the hope that they would be fulfilled, which has largely been the case. The use of technology, has allowed the accommodation of people who were still unable to meet in person. The Annual Conference was held as a hybrid event and was attended by some 70 elders from across Yorkshire. The title this year was, ‘From a Spark to a Flame – Lighting up Mission through Prayer’. It was an interactive event with time for reflection as well as discussion and sharing experiences.

Once again, a 24 hour conference was held at Wydale Hall at which the Synod initiative of working towards becoming a Missional Synod was focused upon. The conference was skilfully led by the Synod Mission Advocate enabling the 37 attendees to spend time in personal reflection and prayer as well as sharing thoughts and hopes for the future, in a world which has changed following Covid and yet remains the same in many ways. The title for the event was, ‘Finding our place in God’s mission’ This was a time to explore individual faith stories of God working in people’s lives, and where God might lead people to serve in and through the churches.’

The third strand of Elders training has been the development of computer based resources for supporting Elders as their role changes to meet the changing context and expectations laid upon them. These are now accessible from the URC website and it is hoped this will encourage their use amongst the Elders in the Synod over the coming months.

Planning is underway for an Annual Conference to take place in April 2023 on the subject of ‘Resilience’ and Wydale Hall is booked for a 24 hour conference in September.

In 2021, an aspirational offer of £1.675 million was made to The United Reformed Church Trust Ltd (the URCTL) from the Yorkshire Synod, because the URCTL had asked each Synod to make a contribution to alleviate the substantial £45 million deficit on the two URC Pension schemes, over a 10 year period between 2021 and 2030. The amount offered was based upon the forecast of contributions payable from the proceeds of the sale of closed church buildings, other Synod funds and voluntary payments from churches. In order to assist with the challenge of raising funds for the pension schemes, it was agreed at the 2021 Synod meetings, that proceeds of sales from church closures, church amalgamation, local ecumenical partnerships and redundant manse funds should be redirected from the Synod Mission Fund to the Closed Churches Fund until Synod makes a new policy. In December 2022, the second payment of £100,000 was made to the scheme, which brings the overall contribution to £450,000.

Page 4

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2022

Achievements, Performance and Future Plans (continued)

The Synod Mission Fund continued to help churches establish creative and innovative missionary projects throughout the year. In 2022, the fund approved 27 awards totalling £161,843, and rescinded a grant of £14,278 approved in an earlier year. The grants ranged from funding coaches travelling to the Big Day Out to funding much larger projects, such as outreach workers.

The Vision and Opportunity Initiative also continues to offer grants to churches to develop property for mission purposes; evangelistic, training and pastoral related grants are available as are Capacity grants (formerly Collaborative Mission grants). In 2022, 7 awards were approved totalling £38,920.

Financial Review

Results for the year

These financial statements have been prepared in accordance with the Statement of Recommended Practice “Accounting and Reporting by Charities” (FRS 102) issued in January 2019.

The excess of income over expenditure for the year amounted to £89,816 (2021 - £924,517).

Reserves policy and going concern

Reserves are unrestricted funds, which are not held as fixed assets. Reserves will normally be held to finance the work of the United Reformed Church in Yorkshire including the Yorkshire Congregational Union Inc (YCU) together with its responsibilities to the work nationally, for a period of 12 months. The YCU is a connected charity and the relationship is explained on page 5.

The serious incident which the Trustees disclosed to the Charity Commission in 2018, relating to a particular church, is still ongoing. The Trustees continue to do their utmost to resolve the issue. Financial support from the Trust to the YCU would be put in place if required.

The assets are available and adequate to fulfil the obligations of the Charity. Each fund has sufficient resources in an appropriate form to meet its obligations. All the assets of the Charity are used for the direct charitable purposes of the Charity and were acquired in accordance with powers vested in the Executive Council. The financial position at the Balance Sheet date is satisfactory and will enable the Charity to meet future obligations.

Investment policy and investment powers

There has been no change to the Investment Policy Statement and the Policy Document. This document outlines the responsibilities of the various committees within the Synod and contains details of the Discretionary Management of the Investments by RBC Brewin Dolphin. The Policy Document also outlines the Requirements, Restrictions, Recording, and Reporting under which the Managers will operate.

Property

All property under the control of the Charity is shown at market value as indicated in notes 9 and 11 of the Financial Statements. The valuations used were those provided by Walker Singleton as at 31 December 2020.

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 5

TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2022

Structure, Governance and Management

The Charity is a company limited by guarantee under the provisions of the Companies Act 2006. The governing instrument is the Memorandum & Articles of Association which is dated 19 May 1981.

The membership consists of the members for the time being of the Synod Council of the Yorkshire Synod of the United Reformed Church. At 31 December 2022 the number of members totalled 13 (2021 – 14). In the event of the Charity being wound up, every person who is a member, or who has been a member within one year, is liable to contribute to the debts and liabilities of the Charity a sum not exceeding £1.

The business of the Charity is managed by the members of the Executive Council who are Trustees of the Charity and Directors of the United Reformed Church (Yorkshire Province) Trust Limited for the purposes of company law. Members of the Executive Council are the members for the time being of the Financial Resources Committee of the Synod. The members of the Financial Resources Committee are recruited from the membership of the churches of the Yorkshire Synod, the appointments being approved by the Yorkshire Synod Council and ratified by Synod. Synod also appoints the Treasurer, Synod Moderator and the Synod Clerk who are ex-officio members of the Committee. However, following the appointment of a Synod Clerk as an employee of the Charity, on the 9 March 2019, the Synod Clerk will not be a member of the Executive Council. The Directors of the Charity are listed on page 6.

The Charity is aware of the need to enable and equip Trustees and takes steps to make available Charity Commission publications and newsletters.

The Financial Resources Committee of the Synod meets six times a year and is responsible for all financial decisions, except the decisions about Synod Mission Fund grants which are made by the Synod Mission Fund Panel (see Grants Policy on page 2). Investments are monitored by a sub-committee on which the Treasurer serves. This sub-committee meets four times a year and implements investment strategies established by the Trustees. Currently the Investments are managed by RBC Brewin Dolphin on a discretionary basis. Minutes of the Investment Sub-Committee meetings are circulated to the Trustees.

The Charity operates as an autonomous body but, along with twelve other Synods (or regions), is part of The United Reformed Church and this brings a share of national responsibilities. A resource sharing process is in place to enable Synods with more resources to help those less well equipped. Historically, Yorkshire has been a net contributor to this scheme but since 2010 has adopted a neutral position neither giving nor receiving from the process.

Connected Charities

The United Reformed Church (Yorkshire Province) Trust Limited is connected with the YCU. The YCU holds investments as Custodian Trustee for many of the local churches of the United Reformed Church in the Yorkshire Synod, and holds property as Trustee for most of those churches. The YCU shares the United Reformed Church (Yorkshire Province) Trust Limited offices and administration, for which it pays a small charge based on its income. The Trustees of the United Reformed Church (Yorkshire Province) Trust Limited are also Trustees of the YCU, but the Chair of Trustees of the YCU is not a Trustee of the Charity.

Risk Management

The Executive Council has a risk management strategy in line with the guidance published by the Charity Commission organising risk into three headings – Governance and Control, Operational Risk and Financial Risk. Control procedures are then agreed to contain, mitigate or even totally remove the risks. The Risk Management Strategy is reviewed periodically.

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 6

TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2022

Reference and Administrative Details

Company registration number: 1562723
Charity registration number: 1068103
Registered Office: Somerset House, St Paul’s Street
Morley, Leeds, LS27 9EP
Telephone 0113 289 8490
Email
office@urcyorkshire.org.uk
Web Site: www.urcyorkshire.org.uk
Trustees & Directors: Mr J Charlesworth
Rev S K Copley
Rev A Crump
Mr C Evans
Mr S Gooder
Rev J Kissack
Secretary to Trustees & Company Secretary: Mr Alastair C Forsyth
Bankers: National Westminster Bank plc
Leeds City Branch, PO Box 154,
8 Park Row, Leeds, LS1 1QS
Solicitors: Lupton Fawcett LLP
2 The Embankment
Sovereign Street, Leeds, LS1 4BA
Auditors: SMH Jolliffe Cork Audit Ltd
Chartered Accountants and Statutory Auditor,
33 George Street,
Wakefield, WF1 1LX
Investment Managers: Brewin Dolphin Ltd trading as RBC Brewin Dolphin
10 Wellington Place, Leeds, LS1 4AN
Property Advisers: Walker Singleton
Property House, Lister Lane,
Halifax, HX1 5AS

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 7

TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2022

Statement of Responsibilities of the Executive Council

Company law requires the Executive Council to prepare financial statements for each financial year which give a true and fair view of the state of the Charity’s financial activities during the year and of its financial position at the year end. In preparing those financial statements, the Executive Council should follow best practice and:

The Executive Council is responsible for keeping accounting records which disclose with accuracy the financial position of the Charity and which enable it to ascertain its financial position and to ensure that the financial statements comply with the Companies Act 2006, the Charities Act 2011 and regulations thereunder. It is also responsible for safeguarding the assets of the Charity and for taking reasonable steps for the prevention and detection of fraud and other irregularities.

So far as each member of the Executive Council at the date of this report is aware,

These financial statements comply with current statutory requirements and with the requirements of the Charity’s governing document.

Auditors

SMH Jolliffe Cork Audit Ltd offer themselves for reappointment as auditors in accordance with section 485 of the Companies Act 2006.

SIGNED ON BEHALF OF THE EXECUTIVE COUNCIL

Rev Simon Copley (Executive Council Member)

Rev Jamie Kissack (Executive Council Member)

Date:

Page 8

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Opinion

We have audited the financial statements of The United Reformed Church (Yorkshire Province) Trust Limited (the ‘charitable company’) for the year ended 31 December 2022 which comprise the statement of financial activities, balance sheet, cash flow statement and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that individually or collectively may cast significant doubt on the charitable company’s ability to continue as a going concern for a period of at least 12 months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The Trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements of our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Page 9

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Directors’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of Trustees

As explained more fully in the Trustees’ responsibilities statement set out on page 7, the Trustees (who are also the Directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Page 10

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Auditor’s responsibilities for the audit of the financial statements (continued)

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

The extent to which the audit was considered capable of detecting irregularities including fraud

Our approach to identifying and assessing the risks of material misstatements in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

We assessed the susceptibility of the charitable company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

To address the risk of fraud through management bias and override of controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’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 charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Date …………………………….

Claire Lawton FCA DChA (Senior Statutory Auditor) For and on behalf of SMH Jolliffe Cork Audit Ltd 33 George Street Wakefield

WF1 1LX

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 11

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 DECEMBER 2022

Note
Income and endowments from:
Donations and legacies
2
Charitable activities
3
Investments
4
Profit on sale of tangible asset
Total
16
Expenditure on:
Raising funds
5
Charitable activities
5
Total
Gains/(losses) on investment assets
11
Realised
Unrealised
Total
Net income/(expenditure)
Transfers between funds
16
Other recognised gains/(losses):
Gains/(losses) on revaluation of
fixed assets
9
Net movement in funds
Reconciliation of funds:
Total funds brought forward
At 1 January 2022
Total funds carried forward
16 & 17
At 31 December 2022		 Unrestricted
Funds
£
40,570
36,114
274,542
-
351,226
22,163
557,899
580,062
-
-
-
(228,836)
656
-
(228,180)
284,807
56,627		 Restricted
Funds
£
118
1,435,701
21,982
-
1,457,801
23,425
308,260
331,685
(62,076)
(607,563)
(669,639)
456,477
(656)
-
455,821
8,674,121
9,129,942		 £
-
-
-
-
-
4,663
-
4,663
(12,414)
(120,748)
(133,162)
(137,825)
-
-
(137,825)
1,179,820
1,041,995
Endowment
Funds		 2022
Total
Funds
£
40,688
1,471,815
296,524
-
1,809,027
50,251
866,159
916,410
(74,490)
(728,311)
(802,801)
89,816
-
-
89,816
10,138,748
10,228,564		 Unrestricted
Funds
£
32,070
429,930
247,656
-
709,656
20,881
472,143
493,024
-
-
-
216,632
3,437
-
220,069
64,738
284,807		 Restricted
Funds
£
333
874,154
13,182
22,401
910,070
25,160
598,434
623,594
69,287
285,984
355,271
641,747
(3,437)
-
638,310
8,035,811
8,674,121		 £
-
-
-
-
-
5,001
-
5,001
11,176
59,963
71,139
66,138
-
-
66,138
1,113,682
1,179,820
Endowment
Funds		 2021
Total
Funds
£
32,403
1,304,084
260,838
22,401
1,619,726
51,042
1,070,577
1,121,619
80,463
345,947
426,410
924,517
-
-
924,517
9,214,231
10,138,748

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 12

SUMMARY INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 DECEMBER 2022

Income as reported on the SOFA
Gains on investments
Gain on revaluation of fixed assets
Gross income in the reporting period
Expenditure as reported on the SOFA
Losses on investments
Net income / (expenditure) for the year		 2022
£
1,809,027
-
-
1,809,027
911,747
669,639
227,641		 2021
£
1,619,726
355,271
-
1,974,997
1,116,618
-
858,379

The Summary Income and Expenditure account excludes movements on the endowment funds. It is derived from the Statement of Financial Activities which together with the notes 1 to 19 provides full information on the movements during the year on all the Charity's funds.

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 13

BALANCE SHEET AT 31 DECEMBER 2022

Note
Fixed assets:
Tangible assets
9
Investments
11
Total fixed assets
Current assets:
Debtors
12
Cash at bank and in hand
Total current assets
Liabilities:
Creditors: amounts falling
due within one year
14
Net current assets
Total assets less current liabilities
Creditors: amounts falling due
after more than one year
15
Total net assets
The funds of the charity:
16 - 18
Endowment funds
Revaluation reserve/(deficit)
Other restricted funds
Other unrestricted funds
Total charity funds		 177,034
8,952,908
56,627		 2022
£
1,021,296
6,901,905
7,923,201
45,886
2,717,112
2,762,998
(272,495)
2,490,503
10,413,704
(185,140)
10,228,564
1,041,995
9,129,942
56,627
10,228,564		 177,034
8,497,087
284,807		 2021
£
1,035,954
7,586,108
8,622,062
33,021
1,955,694
1,988,715
(244,528)
1,744,187
10,366,249
(227,501)
10,138,748
1,179,820
8,674,121
284,807
10,138,748

The financial statements were approved by the Executive Council.

Rev Simon Copley Executive Council Member Date Rev Jamie Kissack Executive Council Member Date

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 14

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2022

2022
Total
Funds
£
Cash flows from operating activities:
595,176
Cash flows from investing activities:
296,524
-
Purchase of tangible fixed assets
(11,684)
Proceeds from the sale of investments
1,086,605
Cash (added to) /withdrawn from investments
-
Purchase of investments
(1,205,203)
166,242
761,418
1,955,694
2,717,112
Reconciliation of net (expenditure)/income to net cash flow from operating activities
2022
Total
Funds
£
89,816
26,342
802,801
(296,524)
-
(12,865)
(14,394)
595,176
Analysis of cash and cash equivalents
2022
Total
Funds
£
Cash at bank and in hand
2,717,112
Total cash and cash equivalents
2,717,112
Cash and cash equivalents at the beginning of the reporting period
Cash and cash equivalents at the end of the reporting period
Net cash used in operating activities
Dividends, interest and rents from investments
Net cash provided by (used in) investing activities
Change in cash and cash equivalents in the reporting period
Net proceeds/(costs) associated with the sale of tangible fixed assets
(Profit)/loss on the sale of tangible fixed assets
Decrease /(Increase) in debtors
(Decrease) /Increase in creditors
Net cash used in operating activities
Net income/(expenditure) for the reporting period (as per the statement
of financial activities)
Adjustments for:
Depreciation charges
(Gains)/Losses on investments
Dividends, interest and rents from investments		 2021
Total
Funds
£
252,971
260,838
370,651
(4,736)
2,306,655
-
(2,283,847)
649,561
902,532
1,053,162
1,955,694
2021
Total
Funds
£
924,517
29,453
(426,410)
(260,838)
(22,401)
(3,507)
12,157
252,971
2021
Total
Funds
£
1,955,694
1,955,694

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 15

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

1 Principal accounting policies

Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: 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) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The United Reformed Church (Yorkshire Province) Trust Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).

Incoming resources

Donations are included when they are received. Legacies are included when it is probable that they will be received. Investment income is included when it is receivable, and includes any recoverable income tax. Property rents and interest on loans are included when they fall due. Investments and other assets from churches which have closed are accounted for when the amount receivable can reasonably be ascertained.

Recognition and valuation of donated services

The services of the Synod Evangelist, who is a Minister of Word and Sacrament in the URC, are provided by the URC under its Plan for Partnership in Ministerial Remuneration at no charge to the charity. This donation has been valued at the usual employment cost of a URC Minister, reduced for the Synod Evangelist, which is not a full-time appointment. The cost is included in expenditure on charitable activities.

The Charity's activities are dependent on volunteer members of committees. Travel expenses are reimbursed but there is no recognition in these accounts of the time donated by volunteers.

Basis of allocation of costs

Grants payable are voluntary payments to individuals, local URC churches or URC organisations in accordance with the purpose of the relevant fund. They are accounted for when they have been approved by the Synod Council or Financial Resources Committee, the recipient has been told of that approval, and if applicable has accepted the terms related to the grant. Grants to URC churches are single or multi-year grants. A creditor is included for the full amount of the grant offered. Payment of the second or later year's instalment is dependent on receipt of a report on the previous year, showing the progress made on the project. Occasionally Synod Council will require repayment of grants which have not been spent.

Support costs incurred in maintaining the office and employing the office staff have been allocated to raising income, charitable activities and governance in proportion to the time spent by office staff on each activity.

Tangible fixed assets and depreciation

Freehold and leasehold properties held for continuing use by the Charity are revalued by professional valuers every 5 years and are depreciated over 50 years. Long leasehold properties are defined as those properties with an unexpired lease term of more than 50 years. Properties acquired between valuations are included at cost and depreciated over 50 years. Properties sometimes pass to the Charity from United Reformed Churches in Yorkshire which have closed. If they are to be retained they are valued on acquisition. If the property is to be sold it is not revalued.

Office equipment is capitalised where a purchase or project costs over £500, and is included at cost less a provision for depreciation. This is calculated to write down the cost of tangible fixed assets by equal annual instalments over their expected useful lives, which are between 3 and 10 years.

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 16

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022 (CONTINUED)

1 Principal accounting policies (continued)

Investment assets

Investments listed or traded on a recognised stock exchange are included at market value at the balance sheet date. Investment properties are valued professionally every five years. In between the valuations the Trustees’ best estimate of market value is used. In accordance with standard accounting practice, no depreciation is charged on investment properties. Concessionary loans to URC churches are valued at the amount paid less repayments received.

Current asset measurement

Debtors are included at their recoverable amount. Current asset investments comprise working capital held on short-term deposit. Cash at bank and in hand comprises the balance in the bank current account and the petty cash float. Creditors: amounts falling due within one year are valued at settlement amount.

2
Income from donations and legacies
Donations
Notional Grant for Synod Evangelist
Gifts
Synod Levy		 2022
2021
£
£
23,433
14,920
17,137
17,150
118
333
40,688
32,403

The Synod Levy, which was calculated at £7.50 per member per year, was charged on a voluntary basis in 2022.

3
Income from charitable activities
Net proceeds of redundant manse funds and sale of redundant churches
Income from churches closed in the year
Contribution from Northern Province to safeguarding costs
Management charge (see note 13)		 2022
2021
£
£
78,702
-
1,361,296
1,280,688
30,367
23,396
1,450
-
1,471,815
1,304,084

When United Reformed Churches in Yorkshire close, the net assets and building pass to the Charity. The building is not included in fixed assets if it is sold within a year of closure. There can be significant variances in this income from one year to another.

From March 2018, the net proceeds from the sale of Closed Church property are to be divided 20% to the United Reformed Church Ministers' Pension Fund; 40% to the Synod Mission Fund and 40% to the Closed Churches Fund.

From March 2010 amalgamated churches, and those in local ecumenical partnerships, are required to transfer to the Charity 50% of the net proceeds of any United Reformed Church property sale, for use by the Synod Mission Fund.

From October 2011, any manse fund declared redundant is divided 75% to the local church and 25% to the Synod Mission Fund.

At the 2021 Synod meetings, it was agreed that proceeds of sales from church closures, from amalgamating and local ecumenical partnerships and redundant manse funds should be redirected from the Synod Mission Fund to the Closed Churches Fund until Synod makes a new policy.

4
Income from Investments
Income from quoted investments
Investment property rents
Interest on bank balances		 2022
2021
£
£
245,111
237,850
22,756
22,756
28,657
232
296,524
260,838

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 17

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022 (CONTINUED)

5 Expenditure on raising funds and charitable activities Expenditure on raising funds and charitable activities
Expenditure on raising funds Direct Grant Support
costs funding costs 2022 2021
£ £ £ £ £
Managing investments
Investment management fees 28,088 - - 28,088 30,161
Support costs - - 22,163 22,163 20,881
28,088 - 22,163 50,251 51,042
Expenditure on charitable activities Direct Grant Support Total Total
costs funding costs 2022 2021
£ £ £ £ £
Grant making
Grants to individuals
Retired Ministers and widows (no grants) - - 5,600
Grants to URC institutions
To churches for mission activities (27 grants) 147,565 147,565 162,395
To churches for property surveys (11 grants) 2,846 2,846 1,994
Vision & Opportunity to churches (7 grants) 38,920 38,920 62,614
Ministers pension Fund (1 grant) 100,000 100,000 350,000
YCU (1 grant) 20,000 20,000 -
Support costs 5,541 5,541 5,220
- 309,331 5,541 314,872 587,823
Other charitable activities
Training Ministers and lay members 7,236 2,771 10,007 4,130
Youth, children and safeguarding 114,486 2,771 117,257 115,741
Administering churches' property
and investments 2,326 66,490 68,816 63,921
Supporting committees and Synod 22,679 38,786 61,465 61,285
Pastoral work 1,064 22,163 23,227 21,245
Supporting and encouraging URC
churches, districts and centrally 55,562 74,801 130,363 93,466
Chaplaincies, industrial mission
and ecumenical relations 116 5,540 5,656 8,369
Management & maintenance of
Synod properties 81,802 13,852 95,654 76,095
Sundry and contingencies 3,496 - 3,496 7,160
288,767 - 227,174 515,941 451,412
Governance costs
External audit fee 7,200 - 7,200 5,400
Internal audit and accountancy 1,565 - 1,565 1,600
Legal and professional fees 3,877 - 3,877 3,460
Recruitment fees 540 540 -
Support costs - 22,164 22,164 20,882
13,182 - 22,164 35,346 31,342
~~5,982~~
Total expenditure on
charitable activities 301,949 309,331 254,879 866,159 1,070,577

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 18

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022 (CONTINUED)

6 Expenditure on raising funds and charitable activities - previous year Expenditure on raising funds and charitable activities - previous year
Expenditure on raising funds - previous year Direct Grant Support
costs funding costs 2021
£ £ £ £
Managing investments
Investment management fees 30,161 - - 30,161
Support costs - - 20,881 20,881
30,161 - 20,881 51,042
Expenditure on charitable activities - previous year
Direct Grant Support Total
costs funding costs 2021
£ £ £ £
Grant making
Grants to individuals
Retired Ministers and widows (7 grants) 5,600 5,600
Grants to URC institutions
To churches for mission activities (13 grants) 162,395 162,395
To churches for property surveys (10 grants) 1,994 1,994
Vision & Opportunity to churches (8 grants) 62,614 62,614
Ministers pension Fund (1 grant) 350,000 350,000
Support costs 5,220 5,220
- 582,603 5,220 587,823
Other charitable activities
Training Ministers and lay members 1,520 2,610 4,130
Youth, children and safeguarding 113,131 2,610 115,741
Administering churches' property
and investments 1,279 62,642 63,921
Supporting committees and Synod 24,744 36,541 61,285
Pastoral work 364 20,881 21,245
Supporting and encouraging URC
churches, districts and centrally 22,994 70,472 93,466
Chaplaincies, industrial mission
and ecumenical relations 3,149 5,220 8,369
Management & maintenance of
Synod properties 63,045 13,050 76,095
Sundry and contingencies 7,160 - 7,160
237,386 - 214,026 451,412
Governance costs
External audit fee 5,400 - 5,400
Internal audit and accountancy 1,600 - 1,600
Legal and professional fees 3,460 - 3,460
Recruitment fees - -
Support costs - 20,882 20,882
10,460 - 20,882 31,342
Total expenditure on
charitable activities 247,846 582,603 240,128 1,070,577

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 19

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022 (CONTINUED)

7 Analysis of support costs

Analysis of support costs
Other
Raising Grant- charitable
funds making activities Governance Total
£ £ £ £ £
Office staff costs 19,252 4,813 197,337 19,253 240,655
Office rates and maintenance 1,446 362 14,821 1,446 18,075
Office expenses and equipment 1,045 261 10,711 1,045 13,062
Depreciation 420 105 4,305 420 5,250
22,163 5,541 227,174 22,164 277,042
Analysis of support costs - previous year
Other
Raising Grant- charitable
funds making activities Governance Total
£ £ £ £ £
Office staff costs 18,266 4,567 187,229 18,267 228,329
Office rates and maintenance 1,161 290 11,899 1,161 14,511
Office expenses and equipment 919 230 9,418 919 11,486
Depreciation 535 133 5,480 535 6,683
20,881 5,220 214,026 20,882 261,009

Support costs are allocated in proportion to the time spent by office staff on the activities shown.

It has been accepted that the Synod Evangelist is a Minister of Word and Sacraments under the terms of the United Reformed Church Plan for Partnership in Ministerial Remuneration and should not be classified as an employee.

8 Analysis of staff costs, Trustee remuneration and expenses and the cost of key management personnel

Salaries and wages
Employer's National Insurance
Pension contributions to defined benefit schemes		 2022
2021
£
£
258,287
249,479
21,992
21,441
57,342
61,278
337,621
332,198

No employee received remuneration of more than £60,000 per annum, and there were no other employee benefits other than those disclosed above.

The average number of employees during the year was 10 (2021 - 11).

The key management personnel of the Charity are the Trustees, who include the Synod Treasurer, and key employees of the charity, who are the Trust Secretary, the Property Secretary, the Synod Clerk and the Finance Manager. The employee benefits of the key personnel total £158,785 (2021 £148,867).

Trustees' expenses

Members of the Executive Council are entitled to claim travel expenses for attending its meetings. The Treasurer may claim other expenses (travel, telephone, stationery etc.) incurred in his capacity as Trustee. No Trustee nor anyone connected with the Trustees received any remuneration in 2022 or 2021 except as noted below.

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 20

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022 (CONTINUED)

8
Analysis of staff costs, Trustee remuneration and expenses and the cost of key management personnel
2022
2021
The total of expenses claimed, by 1 (2021 1) Trustee, for the year was:
1,666
£
£1,566
9
Tangible assets
Freehold
Leasehold
Office
Property
Property
equipment
Total
Cost or valuation
£
£
£
£
At 1 January 2022
816,138
238,500
69,031
1,123,669
Additions
-
-
11,684
11,684
Disposals
-
-
(13,590)
(13,590)
At 31 December 2022
816,138
238,500
67,125
1,121,763
Depreciation
At 1 January 2022
16,250
4,770
66,695
87,715
Charge for the period
16,323
4,770
5,249
26,342
Disposals
-
-
(13,590)
(13,590)
At 31 December 2022
32,573
9,540
58,354
100,467
Net book value
At 1 January 2022
799,888
233,730
2,336
1,035,954
At 31 December 2022
783,565
228,960
8,771
1,021,296
Net carrying value of revalued assets
on historical cost basis
768,349
225,045
-
993,394
Property
Net book amount
The property is used for the direct charitable purposes of the Charity and comprises:
£
Housing for Ministers of local churches or in Synod posts (a part share in 3 properties)
778,560
Synod office building
233,965
1,012,525		 8
Analysis of staff costs, Trustee remuneration and expenses and the cost of key management personnel
2022
2021
The total of expenses claimed, by 1 (2021 1) Trustee, for the year was:
1,666
£
£1,566
9
Tangible assets
Freehold
Leasehold
Office
Property
Property
equipment
Total
Cost or valuation
£
£
£
£
At 1 January 2022
816,138
238,500
69,031
1,123,669
Additions
-
-
11,684
11,684
Disposals
-
-
(13,590)
(13,590)
At 31 December 2022
816,138
238,500
67,125
1,121,763
Depreciation
At 1 January 2022
16,250
4,770
66,695
87,715
Charge for the period
16,323
4,770
5,249
26,342
Disposals
-
-
(13,590)
(13,590)
At 31 December 2022
32,573
9,540
58,354
100,467
Net book value
At 1 January 2022
799,888
233,730
2,336
1,035,954
At 31 December 2022
783,565
228,960
8,771
1,021,296
Net carrying value of revalued assets
on historical cost basis
768,349
225,045
-
993,394
Property
Net book amount
The property is used for the direct charitable purposes of the Charity and comprises:
£
Housing for Ministers of local churches or in Synod posts (a part share in 3 properties)
778,560
Synod office building
233,965
1,012,525		 8
Analysis of staff costs, Trustee remuneration and expenses and the cost of key management personnel
2022
2021
The total of expenses claimed, by 1 (2021 1) Trustee, for the year was:
1,666
£
£1,566
9
Tangible assets
Freehold
Leasehold
Office
Property
Property
equipment
Total
Cost or valuation
£
£
£
£
At 1 January 2022
816,138
238,500
69,031
1,123,669
Additions
-
-
11,684
11,684
Disposals
-
-
(13,590)
(13,590)
At 31 December 2022
816,138
238,500
67,125
1,121,763
Depreciation
At 1 January 2022
16,250
4,770
66,695
87,715
Charge for the period
16,323
4,770
5,249
26,342
Disposals
-
-
(13,590)
(13,590)
At 31 December 2022
32,573
9,540
58,354
100,467
Net book value
At 1 January 2022
799,888
233,730
2,336
1,035,954
At 31 December 2022
783,565
228,960
8,771
1,021,296
Net carrying value of revalued assets
on historical cost basis
768,349
225,045
-
993,394
Property
Net book amount
The property is used for the direct charitable purposes of the Charity and comprises:
£
Housing for Ministers of local churches or in Synod posts (a part share in 3 properties)
778,560
Synod office building
233,965
1,012,525
816,138
238,500
67,125
1,121,763
16,250
4,770
66,695
87,715
16,323
4,770
5,249
26,342
-
-
(13,590)
(13,590)
32,573
9,540
58,354
100,467
799,888
233,730
2,336		 1,035,954
783,565
228,960
8,771		 1,021,296
768,349
225,045
-		 993,394
Net book amount
£
778,560
233,965
1,012,525

The housing was revalued as at 31 December 2020 by Walker Singleton, external Chartered Surveyors, at market value with vacant possession, in accordance with the Royal Institute of Chartered Surveyors Valuation Standards. The Synod office building was similarly revalued as at 31 December 2020 at existing use value.

10 Taxation

The company is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the company is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 21

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022 (CONTINUED)

11 Fixed asset investments
Market value
At 1 January 2022
Less:
Disposals at opening book value
Deposits realised/(reinvested)
Investment management fees
Loan repayments
Add:
Deposited for investment
Acquisitions at cost
Revaluation
At 31 December 2022
Historical cost
At 31 December 2022
Disposals:
Proceeds
Book value at 1 Jan 2022
Realised gain		 Investment
Listed
Balances at Concessionary
properties
investments
stockbroker
loans
Total
£
£
£
£
£
477,626
7,077,270
11,707
19,505
7,586,108
-
(1,158,162)
-
(1,158,162)
-
-
15,219
15,219
-
-
(28,088)
(28,088)
-
-
-
(2,933)
(2,933)
-
-
-
-
-
-
1,068,454
-
149,618
1,218,072
-
(728,311)
-
(728,311)
477,626
6,259,251
(1,162)
166,190
6,901,905
-
6,175,246
(1,162)
166,190
6,340,274
360
-
1,083,672
-
-
1,083,672
(1,158,162)
-
-
(1,158,162)
-
(74,490)
-
-
(74,490)

The investment property is 83.794% of the freehold at Aberdeen Walk, Scarborough, and was revalued as at 31 December 2020 by Walker Singleton, external Chartered Surveyors, at market value, in accordance with the Royal Institute of Chartered Surveyors Valuation Standards.

All fixed asset investments are in held in the UK, in Nominee Accounts at the brokers. Details of the portfolio of listed investments are as follows:

Equity investments
Gilt-edged and fixed interest stocks
Investment and unit trusts
There were no material investments (over 5% by value) at the end of the year:
Baillie Gifford American W1 Dis
Fidelity US Quality Income UCITS ETF		 2022
2021
£
£
2,067,848
1,720,498
294,407
246,395
3,896,996
5,110,377
6,259,251
7,077,270
£
-
375,823
-
391,519

All concessionary loans are to churches within the URC Yorkshire province. The maximum repayment period is 5 years and simple interest is charged at 0%. Repayments of capital are made quarterly or monthly. No security is provided on any loan. The maximum capital outstanding on any loan at 31 December 2022 was £153,453 (2021: £10,075).

Concessionary loans falling due after more than one year
Concessionary loans falling due within one year		 £
£
3,660
2,621
162,530
16,884
166,190
19,505

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 22

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022 (CONTINUED)

12 Debtors
Amounts owed by group and associated undertakings:
Yorkshire Congregational Union (Incorporated)
Cash in transit from YCU (Inc)
Prepayments and accrued income		 2022
2021
£
£
1,450
-
375
403
44,061
32,618
45,886
33,021

13 Related Parties

The Yorkshire Congregational Union (Incorporated) is a Charity administered by the same Trustees as the United Reformed Church (Yorkshire Province) Trust Limited, from the same office. It acts as Trustee for many of the United Reformed Churches in the Yorkshire Synod. The YCU has no employees; its administrative work is performed by employees of the United Reformed Church (Yorkshire Province) Trust Ltd, for which a management charge is made. The charge for 2022 was £1,450 (2021: £nil). In addition, one of the churches for which the YCU acts as custodian Trustee owed the Trust £200 (2021: £284) at the year end; the YCU owed the Trust £1,825 (2021: £403). The United Reformed Church (Yorkshire Province) Trust Limited has given the YCU an assurance of financial support and as such in 2022 made a payment of £20,000 to the YCU.

Trustees or people connected with the Trustees may also be Trustees of a church in receipt of a grant or concessionary loan from the Trust. Grants are awarded by a separate group from the Trustees, and members of that group will not take part in the decision if they have a conflict of interest.

Revd A Crump who is a Minister at Knaresborough and Bilton Grange URCs and is also a Trustee, occupies a manse which is part owned by the Trust and part owned by a local church.

**14 ** Creditors: amounts falling due within one year 2022 2021
£ £
Accruals for grants payable 239,069 210,240
Accruals and deferred income 33,051 31,707
Other creditors 375 2,581
272,495 244,528
**15 ** Creditors: amounts falling due after more than one year 2022 2021
£ £
Accruals for grants payable 185,140 227,501

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 23

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022 (CONTINUED)

16 Movement in funds during the year

Permanent endowments
General Purposes
Church Extension
Maintenance of Ministry
Welfare of Ministry
Home Churches
Restricted funds
Closed Churches capital
Closed Churches
revaluation reserve
Synod Mission
capital and income
Income funds
Church Extension
Maintenance of Ministry
Welfare
Home Churches
Unrestricted Funds
General income
Closed Churches income
Total Funds		 Balance
Transfers
Balance
1 January
Incoming
Outgoing
between
Revaluation
31 December
2022
resources
resources
funds
gains/losses
2022
£
£
£
£
£
£
791,336
-
(3,121)
-
(89,349)
698,866
268,309
-
(1,065)
-
(30,260)
236,984
18,912
-
(75)
-
(2,133)
16,704
81,056
-
(322)
-
(9,141)
71,593
20,207
-
(80)
-
(2,279)
17,848
1,179,820
-
(4,663)
-
(133,162)
1,041,995
7,701,889
1,435,701
(183,438)
-
(669,639)
8,284,513
177,034
-
177,034
385,466
5,426
(147,565)
-
-
243,327
398,358
12,279
-
-
-
410,637
-
656
-
(656)
-
-
10,143
3,027
-
-
-
13,170
1,231
712
(682)
-
-
1,261
8,674,121
1,457,801
(331,685)
(656)
(669,639)
9,129,942
284,807
99,736
(516,509)
188,593
-
56,627
-
251,490
(63,553)
(187,937)
-
-
284,807
351,226
(580,062)
656
-
56,627
10,138,748
1,809,027
(916,410)
-
(802,801)
10,228,564

The Charity is Trustee of all the funds, which are to be used by the United Reformed Church in its Yorkshire Synod.

Permanent Endowment funds represent those assets which must be held permanently by the Charity, principally investments. Any capital gains or losses arising on the investments form part of the fund. Investment management charges are charged against the fund. Income arising on the endowment funds is either restricted or unrestricted depending on the fund.

The endowment investments are pooled and held within the Common Investment Fund. All gains and income are credited to the constituent endowment and income funds in the proportion of the assets originally pooled, which were General (66.93%), Church Extension (22.84%), Maintenance of the Ministry (1.61%), Welfare (6.90%) and Home Churches (1.72%).

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 24

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022 (CONTINUED)

16 Movement in funds during the year (continued)

Restricted funds are funds which have been given for particular purposes.

Unrestricted funds comprise those funds which the Trustees are free to use in accordance with the charitable objects.

Designated funds are amounts of money within Unrestricted Funds which have been set aside for a specific purpose which will be achieved within less than three years.

General Purposes Fund - use of the income is unrestricted for the furtherance of religious and other charitable work of the United Reformed Church within its Yorkshire Synod.

Church Extension Fund - makes loans to local United Reformed Churches for the upkeep and repair of their buildings.

Maintenance of the Ministry Fund - provides a small income which is transferred to the General Purposes Fund where it is deemed to assist in the maintenance of the ministry of the Synod Moderator.

Welfare of the Ministry Fund - provides income which forms 50% of the grants made in cases of need to Ministers, retired Ministers and their dependants.

Home Churches Fund - represents a small amount of capital, the income from which forms part of the Synod's Mission and Ministry Fund contributions to the United Reformed Church.

Closed Churches Fund - holds funds from churches closed after 1972, under the terms of the URC Trusts set out in the 1972 URC Act, as modified by the 1981 Act. The capital is available for use in accordance with the URC Act 1981, Schedule 2, parts I and II. Income from the investment of the capital is directed to the General Purposes Fund and is used to fund the work of the Synod.

Synod Mission Fund was set up in 2010 and incorporates the former Amalgamation Fund. It receives funds primarily from property sales that arise as part of the closure or amalgamation of local churches, or the creation of Local Ecumenical Projects. Both capital and income are available for grants to local churches for any project that can be shown to promote the missionary work of the United Reformed Churches in Yorkshire.

Transfers between funds

The net income on the Closed Churches Fund is unrestricted and transferred to the General Fund each year. The General Fund also receives the income from the Maintenance of the Ministry and Welfare Funds, in line with the above descriptions.

17 Analysis of net assets between funds at the year end

represented by:
Tangible fixed assets
Investments
Net current assets
Long term liabilities
Total net assets		 Unrestricted
Restricted
Endowment
Total
Funds
Funds
Funds
Funds
£
£
£
£
8,771
1,012,525
-
1,021,296
-
5,860,173
1,041,732
6,901,905
47,856
2,442,384
263
2,490,503
-
(185,140)
-
(185,140)
56,627
9,129,942
1,041,995
10,228,564

THE UNITED REFORMED CHURCH (YORKSHIRE PROVINCE) TRUST LIMITED

Page 25

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022 (CONTINUED)

18 Pension costs

Lay Staff Pension Scheme

The Charity contributes to The United Reformed Church Final Salary Scheme, a pension scheme principally for lay staff, which is administered by TPT Retirement Solutions Trust (formally The Pensions Trust). The scheme is a defined benefit scheme but the Charity is unable to identify its share of the underlying assets and liabilities - each employer in that scheme pays a common contribution rate.

During 2022, the Charity contributed 22.8% (2021: 23.2%) of basic salary in respect of members of the Final Salary. Members contributed at the rate of 7.5% (2021: 7.5%) of pensionable salary throughout the accounting period.

The most recent formal actuarial review of the scheme was at 30 September 2020, when the scheme had a surplus of £2,689,000. The assumptions underlying that valuation include:

Discount rate: 1.4% p.a. Pensionable earnings growth: 2.5% for three years, 2.75% thereafter Price inflation and pension increases: 2.55% Retirement age: 65, with maximum commutation

The scheme was closed to future accrual on 28 February 2023. A new defined contribution scheme has been set up and staff will be moved to this scheme.

Ministers' Pension Scheme

It is estimated that the Ministers' Pension Fund (MPF), which is the responsibility of the United Reformed Church Trust Ltd (URCTL), will be £45 million in deficit over 10 years from 2021 to 2030 inclusive.

Each of the 13 Synods of the United Reformed Church has been asked by URCTL to make contributions over that 10 year period to help reduce this underfunding.

In 2021, the Trustees of the United Reformed Church (Yorkshire Province) Trust Limited made an aspirational offer of £1.675 million to the URCTL as a contribution towards the obligation that URCTL has to the MPF. This was approved at the October 2021 meeting of the Synod. This offer will be funded from the proceeds of sale of buildings of closed churches, any voluntary contributions from churches and other Synod funds. In December 2021, a payment of £350,000 was made by the Yorkshire Synod to the MPF. This was followed by a second payment of £100,000 in December 2022.

19 Post Balance Sheet Events

At the year end, the property of 6 churches is held on Statutory Trusts in accordance with the United Reformed Church Acts of 1972, 1981 and 2000 by the Charity following church closures. The proceeds of sale will revert to the Charity in accordance with the Statutory Trusts on which the properties are held.

Since the year end, one of these closed church buildings has sold for £150,000. 4 of the other buildings are currently on the market.

On 8 March the Trust received £24,168 which is the URC share from the sale of a former Local Ecumenical Project.