ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2020
NEW LIFE CHURCH CARDIGAN TRUST
CHARITY REGISTRATION NUMBER 1080146
Independent Examiners Ltd Unit 2 The Broadbridge Business Centre Delling Lane Bosham PO18 8NF
NEW LIFE CHURCH CARDIGAN TRUST
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2020
| Page | |
|---|---|
| Legal and Administrative Information | 3 |
| Independent Examiner's Report on the Accounts | 4 |
| Trustees' Report | 5 to 7 |
| Statement of Financial Activities | 8 |
| Balance Sheet | 9 |
| Notes to the Accounts | 10 to 18 |
NEW LIFE CHURCH CARDIGAN TRUST
LEGAL AND ADMINISTRATIVE INFORMATION
CHARITY NUMBER 1080146 START OF FINANCIAL YEAR 01 January 2020 END OF FINANCIAL YEAR 31 December 2020 TRUSTEES AT 31 DECEMBER 2020 Doug Bell Janice Bell Tom Taylor Jackie Taylor
The existing trustees appoint any new trustees following the provisions laid out in the Charity's governing instrument.
LEGAL STATUS Unincorporated Trust GOVERNING INSTRUMENT Declaration of Trust 29th February 2000 REGISTRATION DATE 31st March 2000:Standard registration
OBJECTS
To advance the Christian faith in accordance with the statement of beliefs appearing in the schedule hereto in the counties of Ceredigion and Pembrokeshire and in such other parts of the United Kingdom or the World as the trustees may from time to time think fit.
REGISTERED ADDRESS Erwdeg Cardigan Ceredigian SA23 2QL PRIMARY BANKERS Barclays Bank Plc 32 High Street Cardigan Dyfed SA43 1HH INDEPENDENT EXAMINER G W Schulz ACMA Independent Examiners Ltd Unit 2 The Broadridge Business Centre Delling Lane Bosham PO18 8NF
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Independent Examiner's Report
to the trustees of New Life Cardigan Trust
I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 December 2020 which are set out on pages 10 to 18.
Respective responsibilities of trustees and examiner
As the charity’s trustees of New Life Cardigan Trust 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 New Life Cardigan Trust's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner’s statement
Since New Life Cardigan Trust’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 member of the Chartered Institute of Management Accountants, which is one of the listed bodies.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
accounting records were not kept in respect of New Life Cardigan Trust as required by section 130 of the Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the accounting 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.
…………………………………………
G W Schulz ACMA
New Life Church Cardigan Quay Street, Cardigan SA43 1HR
www.newlifewales.or.uk newUfewales@aol.com 01239 615864
The everyday running of the charity is implemented and run by Doug and Janice Bell in agreement with the Trustees, the decisions on how this will work have been put into place over several years so that it mainly functions on an ongoing basis.
Any unusual or different circumstances that my arise are decided by the Trustees on their individual merit. The Trustees meet on a regular basis and are kept well informed of all the activities taking place within the trust.
Our funds come in through tithes, offerings and gifts, they are counted and recorded by the steward and witnessed by another individual at each meeting. The income and outgoings are recorded in a Cash Book on the computer and then transferred onto a spreadsheet, which is also lined into the accounts.
The bank is reconciled with the cashbook each month. Our income is in cash/cheques or paid directly into the bank account on a standing order basis. We do not keep reserves as such, being a Christian Trust the work that we do is based on faith and the people employed know this and work for the trust on this basis. However, we do keep in reserve the tax that is due from the Inland Revenue that we are entitled to claim against Covenanted gifts.
In January a team went to Dar es Salaam, Tanzania to work and support various churches and their minis tries. We travelled to three different locations and churches met together for teaching and encourage ment.
Due to the lockdown from March 16th 2020 the church stopped meeting together for 16 weeks and this meant that some of the financial gifts only came in through on line giving.
Instead of the church meeting together for those weeks, we started Livestreaming our services and this has enabled people from around the world to join in our services.
We have also been using Zoom to have meetings together.
The church not meeting together in person, lasted until the beginning of July when the government allowed meetings again as long as we followed government guidelines.
The Foodbank was extremely busy during the lockdown and the figures rose from helping 1000 people in the previous year, to over 2100 people in 2020. Alongside people coming to the building for food, we also delivered many food parcels to those in need.
Charity Number: 1080146
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Page 2 continued... We received a grant from Trussell Trust to create a new and larger space for the FoodbanL We also received a grantfrom the Welsh Government forthree areas of the new building. The reception area. A commercial kitchen and a Family Entertainment Centre, these are all for community projetts. The building work in the new building continued throughout the lockdown. During the three week'Fire Breav in October when the church couldn't meet, we held a prayer day for the whole of Wales through a Livestream broadcast. People from all over Wales sent videos, from all denominations in both the Welsh and English language. This was very well received and over 600 peo- ple joined the broadcast on the day. For the first time in 20years we were unable to invite the community for Christmas lunch on Christmas Day. instead we delivered over 40 meals to people in their homes. It was a challenging year for the church but everyone worked hard to help others and to keep connected and we believe we learnt a lot. We pray as we go into 2021 we will be able to reach out to help our cornmunity in new and creative ways. On behalf of the Trustees of New Life Church Cardigan. Signed On behalf of the trustees- Janice Ann Bell (Mrs) Date .... C111ty Number. 1080146
NEW LIFE CHURCH CARDIGAN TRUST
STATEMENT OF FINANCIAL ACTIVITIES
FOR THE YEAR ENDED 31ST DECEMBER 2020
| Notes INCOMING RESOURCES Donations & Legacies 3a Investment Income 3b Charitable Activities 3c Other Incoming Resources 3d TOTAL INCOMING RESOURCES PAYMENTS Costs of Charitable Activities 4 NET INCOMING/(OUTGOING) RESOURCES 5 Balances Brought Forward BALANCES CARRIED FORWARD RESOURCES EXPENDED RECONCILIATION OF FUNDS: TRANSFERS BETWEEN FUNDS |
Unrestricted Restricted Total Total Funds Funds 2020 2019 £ £ £ £ 98,015 - 98,015 80,933 88 - 88 - 223,401 - 223,401 52,202 3,500 - 3,500 1,130 |
|---|---|
| 325,004 - 325,004 134,265 |
|
| 337,011 - 337,011 162,891 |
|
| 337,011 - 337,011 162,891 |
|
| (12,007) - (12,007) (28,626) - - - - 96,769 30,000 126,769 155,395 |
|
| 84,762 30,000 114,762 126,769 |
Movements on all reserves and all recognised gains and losses are shown above. All the organisation's operations are classed as continuing.
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NEW LIFE CHURCH CARDIGAN TRUST
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2020
1. ACCOUNTING POLICIES
The principal accounting policies are summarised below. The accounting policies have been applied consistently throughout the year.
Basis of preparation:
The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes. The 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 (FRS102) (effective 1 January 2015) - (Charities SORP - FRS102) and the Charities Act 2011.
The Charity meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost unless otherwise stated in the relevant accounting policy notes.
Assessment of Going Concern
Preparation of the accounts is on a going concern basis. The trustees consider that there are no material uncertainties about the Charity's ability to continue as a going concern.
Cash Flow Statement
The company has taken advantage of the exemption in Financial Reporting Standard No 1 from the requirement to produce a cash flow statement.
Recognition of Incoming Resources
These are included in the Statement of Financial Activities (SOFA) when:
-
the charity becomes entitled to the resources;
-
the trustees are virtually certain they will receive the resources; and
-
the monetary value can be measured with sufficient reliability.
Incoming Resources with Related expenditure
Where incoming resources have related expenditure (as with fundraising or contract income) the incoming resources and related expenditure are reported gross in the SOFA.
Grants and Donations
Grants and donations are only included in the SOFA when the charity has unconditional entitlement to the resources.
Tax Reclaims on Donations and Gifts
Incoming resources from tax reclaims are included in the SOFA at the same time as the tax reclaim is received.
Contractual Income and Performance Related Grants
This is only included in the SOFA once the related goods or services has been delivered.
Gifts in Kind
Gifts in kind are accounted for at a reasonable estimate of their value to the charity or the amount actually realised. Gifts in kind for sale or distribution are included in the accounts as gifts only when sold or distributed by the charity. Gifts in kind for use by the charity are included in the SOFA as income receivable.
Volunteer Help
The value of any voluntary help received is not included in the accounts and is described in the Trustees' Report.
Donated Services and Facilities
These are only included in incoming resources (with an equivalent amount in resources expended) where the benefit to the charity is reasonably quantifiable, measurable and material. The value placed on these resources is the estimated value to the charity of the service or facility received.
This page does not form part of the statutory financial statements
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NEW LIFE CHURCH CARDIGAN TRUST
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2020
1. ACCOUNTING POLICIES (continued)
Expenditure and Liabilities
Liability Recognition
Liabilities are recognised as soon as there is a legal or constructive obligation committing the charity to pay out resources.
Governance Costs
Include costs of the preparation and examination of statutory accounts, the costs of the trustees meetings and cost of any legal advise to trustees on governance or constitutional matters.
Grants with Performance Conditions
Where the charity gives a grant with conditions for its payment being a specific level of service or output to be provided, such grants are only recognised in the SOFA once the recipient of the grant has provided the specified service or output.
Grants Payable without Performance Conditions
These are only recognised in the accounts when a commitment has been made and there are no conditions to be met relating to a grant which remain in control of the charity.
Fixed Assets
Fixed Assets are capitalised if they can be used for more than one year and cost at least £1,500. They are valued at cost or, if gifted, at the value to the charity on receipt.
Depreciation Expense
Depreciation is calculated at a rate to write off the cost of tangible fixed assets on a reducing balance over their estimated useful lives. The rates applied per annum as are follows:
Other Fixed Asset
25%
No depreciation is charged to freehold property as the property is maintained to such a standard that the estimated residual value is not less than cost.
This page does not form part of the statutory financial statements
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NEW LIFE CHURCH CARDIGAN TRUST
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2020
2. TANGIBLE FIXED ASSETS
| Additions Charge for the Year At 1 January 2020 Accumulated Depreciation At 1 January 2020 At 31 December 2020 Net Book Value At 31 December 2020 At 31 December 2020 Cost At 1 January 2020 |
Land & Building General Equipment 2020 £ £ £ 203,258 18,292 221,550 - - - |
|---|---|
| 203,258 18,292 221,550 |
|
| - 18,292 18,292 - - - |
|
| - 18,292 18,292 |
|
| 203,258 - 203,258 |
|
| 203,258 - 203,258 |
The annual commitments under non-cancelling operating leases and capital commitments are as follows:
- 31st December 2020 - See note 9 of the Reports & Financial Statements 31st December 2019 - See note 9 of the Reports & Financial Statements
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NEW LIFE CHURCH CARDIGAN TRUST
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2020
3. INCOMING RESOURCES
| Note c) Charitable Activities e) Other Incoming Resources Christian Education Sundry Income Loan D & J Bell Interest Received Covenanted Tithes Gifts & Offerings Weely Offering Gift Aid Tax Recoverable Food Bank Missions New Build New Life Community Project Bank Trussell Trust Welsh Assembly Government Pantyfedwen Grant b) Investment Income a) Donations & Legacies & Similar Income All Churches Trust |
Unrestricted Restricted Total Total Funds Funds 2020 2019 £ £ £ £ 33,486 - 33,486 33,871 31,545 - 31,545 14,008 25,963 - 25,963 22,230 7,020 - 7,020 10,824 |
|---|---|
| 98,015 - 98,015 80,933 |
|
| 88 - 88 - |
|
| 88 - 88 - |
|
| - - - 122 - - - 7,187 46,383 - 46,383 9,349 955 - 955 14,778 5,116 - 5,116 8,766 12,922 - 12,922 9,000 - - - 3,000 21,275 - 21,275 - 124,750 - 124,750 - 12,000 - 12,000 - |
|
| 223,401 - 223,401 52,202 |
|
| - - - 1,130 3,500 - 3,500 - |
|
| 3,500 - 3,500 1,130 |
This page does not form part of the statutory financial statements
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NEW LIFE CHURCH CARDIGAN TRUST
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2020
4. RESOURCES EXPENDED
| Note Cleaning Costs Conference Costs Building Fund Expenses Building Nicc Funds Charitable Missions IT Expenses Books & Publications Building Grant Funds Advertising & Publicity Charitable Activities License & Subscriptions New Life Community Projects Printing, Postage & Stationery Depreciation Expense Equipment Costs Food Bank Gifts & Ministries Healing Rooms Repairs & Maintenance Refreshment Costs Bank & Interest Charges Insurance Costs Independent Examiner Fee Sundry Expenses Telephone Costs Utility Costs Water Rates Salaries & Wages Governance costs:- |
Unrestricted Restricted Total Total Funds Funds 2020 2019 £ £ £ £ 307 - 307 - - - - - 158,025 - 158,025 - - - - 61,340 66,874 - 66,874 - 10,193 - 10,193 28,265 37 - 37 - - - - - - - - - - - - 1,614 42,159 - 42,159 11,608 1,740 - 1,740 7,648 363 - 363 465 1,362 - 1,362 - - - - 598 20,148 - 20,148 - 92 - 92 1,027 765 - 765 1,625 380 - 380 2,362 26,795 - 26,795 38,307 60 - 60 897 544 - 544 408 1,943 - 1,943 2,216 243 - 243 196 1,600 - 1,600 496 2,709 - 2,709 3,010 672 - 672 809 |
|---|---|
| 337,011 - 337,011 162,891 |
This page does not form part of the statutory financial statements
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NEW LIFE CHURCH CARDIGAN TRUST
NOTES TO THE ACCOUNTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020
5. RESTRICTED FUNDS
CURRENT FINANCIAL YEAR
| Balance | Gains & | Balance | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| 01-Jan-20 | Income | Expenditure | (Losses) | Transfer | 31-Dec-20 | |||||
| £ | £ | £ | £ | £ | ||||||
| West Side Lower Mwidan - | 30,000 | - | - | - | - | 30,000 | ||||
| Building Fund | ||||||||||
| 30,000 | - | - | - | - | 30,000 | |||||
| PREVIOUS FINANCIAL YEAR | ||||||||||
| Balance | Gains & | Balance | ||||||||
| 01-Jan-19 | Income | Expenditure | (Losses) | Transfer | 31-Dec-19 | |||||
| £ | £ | £ | £ | £ | ||||||
| West Side Lower Mwidan - | 30,000 | - | - | - | - | 30,000 | ||||
| Building Fund | ||||||||||
| 30,000 | - | - | - | - | 30,000 |
The Restricted Funds are wholly represented by the Charity's cash reserves and are to be expended as specified above.
This page does not form part of the statutory financial statements
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NEW LIFE CHURCH CARDIGAN TRUST
NOTES TO THE ACCOUNTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020
6. INVESTMENTS
The Charity held no investment assets during this or the previous financial period.
7. CASH AT BANK AND IN HAND
| 7. CASH AT BANK AND IN HAND | ||||
|---|---|---|---|---|
| Unrestricted | Restricted | Total | Total | |
| Funds | Funds | 31-Dec-20 | 31-Dec-19 | |
| £ | £ | £ | £ | |
| Cafcash A/c | 6,495 | - | 6,495 | 18,021 |
| Petty Cash | - | - | - | 1,319 |
| 6,495 | - | 6,495 | 19,339 | |
| 8. DEBTORS AND PREPAYMENTS | ||||
| Unrestricted | Restricted | Total | Total | |
| Funds | Funds | 31-Dec-20 | 31-Dec-19 | |
| £ | £ | £ | £ | |
| New Life Community Project Loans | 44,025 | - | 44,025 | 46,480 |
| West Side Lower Mwidan - Building | - | 30,000 | 30,000 | 30,000 |
| Paypal | 120 | - | 120 | - |
| 44,145 | 30,000 | 74,145 | 76,480 | |
| 9. CREDITORS AND ACCRUALS AMOUNTS FALLING DUE WITHIN ONE | YEAR | |||
| Unrestricted | Restricted | Total | Total | |
| Funds | Funds | 31-Dec-20 | 31-Dec-19 | |
| £ | £ | £ | £ | |
| Loan DD & JA Bell | 74,809 | - | 74,809 | 71,309 |
| Other Loans | 40,000 | - | 40,000 | 40,000 |
| Independent Examiner's Fee | 1,020 | - | 1,020 | 1,020 |
| 115,829 | - | 115,829 | 112,329 |
10. CREDITORS AND ACCRUALS AMOUNTS FALLING DUE IN MORE THAN ONE YEAR
| Stewardship Mortgage | Unrestricted Restricted Total Total Funds Funds 31-Dec-20 31-Dec-19 £ £ £ £ 53,306 - 53,306 59,979 |
|---|---|
| 53,306 - 53,306 59,979 |
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NEW LIFE CHURCH CARDIGAN TRUST
NOTES TO THE ACCOUNTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020
11. STAFF COSTS AND NUMBERS
| TOTAL 2020 £ Gross Wages & Salaries 26,795 Employer's National Insurance Costs - Pension Contributions - 26,795 TOTAL 2020 6 Activities in furtherance of organisation's objects Employees who were engaged in each of the following activities: |
TOTAL 2019 £ 38,307 - - |
|---|---|
| 38,307 | |
| TOTAL 2019 6 |
The Charity operates a PAYE scheme to pay all employed members of staff and no employees received emoluments in excess of £60,000. (2019 - None)
12. TRUSTEES AND RELATED PARTY TRANSACTIONS
During the financial year trusteees D Bell & J Bell received a total gross income of £29,079 (2019:£25,662) in salary related payments in accordance with clause 21 of the Declaration of Trust and in furthering the charity's objects.
No other payments were made to trustees or any persons connected with them during the financial period.
(2019 - None)
Trustee Mr D. Bell B. Mrs J. Bell have made regular loans to the Charity. The Charity and the Trustees have agreed to borrow monies from Trustees Mr D. Bell & Mrs J. Bell to meet the shortfall of Income over expenditure and to enable the Charity to continue to meet its financlal obligation and to achieve its Charitable objects. The Trustees have agreed to repay the loan amounts when the funds become available for the purpose. Trustee Mr D. Bell & Mrs J. Bell have agreed to the loan being free of any interest chargeable in furtherance of the Charity's object.
The details of the loan amounts may be found in note 8 of The Reports & Financial Statements for the year ended 31st December 2020 The loan outstanding to Mr D. Bell & Mrs J. Bell currently stands at £74,809 (2019:£71,309) as at the 31st December 2020.
No other material transaction took place between the organisation and a trustee or any person connected with them.
(2019 - None)
13. RISK ASSESSMENT
The Trustees actively review the major risks which the charity faces on a regular basis and believe that maintaining the free reserves stated combined with the annual review of the controls over key financial systems carried out on an annual basis will provide sufficient resources in the event of adverse conditions. The Trustees have also examined other operational and business risks which they face and confirm that they have established systems to mitigate the significant risks.
14. RESERVES POLICY
The Trustees have considered the level of reserves they wish to retain, appropriate to the charity's needs. This is based on the charity's size and the level of financial commitments held. The Trustees aim to ensure the charity will be able to continue to fulfil its charitable objectives even if there is a temporary shortfall in income or unexpected expenditure. The trustees will endeavour not to set aside funds unnecessarily.
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NEW LIFE CHURCH CARDIGAN TRUST
NOTES TO THE ACCOUNTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2020
15. PUBLIC BENEFIT
The Charity acknowledges its requirement to demonstrate clearly that it must have charitable purposes or ‘aims’ that are for the public benefit. Details of how the charity has achieved this are provided in the Trustees report. The Trustees confirm that they have paid due regard to the Charity Commission guidance on public benefit before deciding what activities the charity should undertake.
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