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2022-12-31-accounts

z/ Newwine ' Annual., epor 202 New Wine Trust Trustees. Annual Report and Accounts foryear ended 31 December 2022. Newwine

NEW WINÉ TRUSt- TRUSTEES, ANNUALREPORT AND ACCOUNTS 2022

CONTENTS

Our Vision
Our Vision 02
Trustees’ report
1.Reference and administration 03
2.Registeredofficeand professional advisors 04
3.Structure, governance andmanagement 05
4.Objectives and activities 09
5.Achievements andperformance 11
6.Financial review 15
Statement ofTrustees’ responsibilities 18
IndependentAuditor’s report 19
Accounts 22
Consolidated statement offinancialactivities 23
Consolidated and charity balancesheets 24
Consolidated and charity statement ofcashflows 25
Notes to theaccounts 26

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

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Our Vision is to see local churches changing nations

The vision and reason for New Wine has always been to equip the local Church to release confident, Spirit-filled disciples of Jesus. We want to see:

We are committed to making this vision a reality through:

New Wine does not insist on or promote one way of doing things nor advise everyone to use the same materials. Instead, we acknowledge our similarities and teach principles, allowing others to decide the most appropriate way to apply them in their areas of mission.

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TRUSTEES’ REPORT

The trustees, who are also directors of the charity for the purposes of company law, present their annual report and the audited consolidated financial statements for the year from 1 January 2022 to 31 December 2022.

The financial statements comply with the Companies Act 2006, the Charities Act 2011, the Charity’s Memorandum and Articles and the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK (FRS102) effective from 1 January 2019. The group results combine the results of the charitable company with the results of New Wine Resources Limited, a wholly owned subsidiary, which runs the trading activities of the trust. The subsidiary is not a registered charity.

REFERENCE AND ADMINISTRATION

TRUSTEES

COMPANY SECRETARY

Trustees serving during the financial period:

Andrew Scott

Rev Preb John Coles (Chair until 20 June 2023)

LEADERSHIP TEAM

Mr Robert Camp (Resigned 15 November 2022)

Rt Revd Dr Jill Duff (Chair from 20 June 2023) Mr Patrick Dixon (Resigned 15 October 2022) Mrs Elizabeth Fell

During the year there were various leadership groupings under the direction of the National Leader: National Leadership Team, Regional Directors, and Heads of Ministry. These groups met regularly separately, and altogether once a year. Changes were made during the year, creating a transitional leadership group and this is described under structure and governance section.

Mrs Christina Fuller

Mrs Sarah McHardie

Revd Canon Ian Parkinson

NATIONAL LEADER

Paul Harcourt (until 30 April 2023) Richard Johnson (from 1 May 2023)

Bishop Mike Royal

The following Trustees were appointed after the end of the financial period, on 20 June 2023:

Mr Dominic Llewelyn

Ms Yasmin Otomoto

Mr William Ottewell

Revd Canon John McGinley

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National Leadership Conference – Harrogate, March 2022

REGISTERED OFFICE AND PROFESSIONAL ADVISERS

REGISTERED AND PRINCIPAL OFFICE

4a Ridley Avenue Ealing London W13 9XW

AUDITORS

Buzzacott LLP 130 Wood Street London EC2V 6DL

BANKERS

SOLICITORS

Morgan Lewis & Bockius Condor House 5-10 St Paul’s Churchyard London EC4M 8AL

Barclays Bank plc Pall Mall Corporate Banking Centre, 50 Pall Mall, London SW1A 1QA

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United – Peterborough, July/August

STRUCTURE, GOVERNANCE AND MANAGEMENT

GOVERNING DOCUMENT

New Wine Trust is a registered charity no. 1084415 and a company limited by guarantee, governed by a memorandum and articles of association. The charitable company’s registration number is 04126583. It was incorporated on 12th December 2000 and registered as a charity on 9th January 2001.

and training as is agreed to be appropriate on an individual basis.

A finance and investment committee oversees the charity’s investments. It also reviews the financial policies and key financial plans prior to submission to the m a i n trustee board.

CHARITY GOVERNANCE CODE

TRUSTEES

The trustees are all non-executive and are elected by the members. None of the trustees had any interest in the charity or its subsidiary. The trustees are conscious of the need for the trustee body to embrace a broad variety of skills and new trustees are considered in the light of their ability to contribute to the work of the trust. They are appointed by the members in accordance with the Trust Deed and are provided with such background

Trustees are committed to the principles of the Charity Governance Code and the charity’s governance arrangements follow the recommendations, so far as is possible, in respect of all aspects of good practice in governance for larger charities.

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ORGANISATION

The charity is overseen by the non-executive Board of Trustees shown above which decides upon strategic and policy matters. Trustees meet around five times each year with one meeting usually on-site at one of the United National Gatherings. During 2022, the main Trustee meetings were held via videoconference.

The post of Executive Director, which reported to the National Leader, was deleted during the year as part of a restructure exercise. Prior to the changes, both of these key posts w e r e supported by:

At the start of the year these individuals, except for the wider employed staff team, and together with the Trustees, participated in a strategic review and planning meeting as part of a two-day retreat. The same group also participated in a mid-year review meeting to monitor progress and consider any changes or corrective actions for the strategic priorities and direction of the charity.

At the mid-year review meeting of 2022, proposals for a transitional leadership team were put in place as part of a restructuring exercise. The National Leader plans to retire within the forthcoming 12 months and a transitional leadership will apply until the new leader can establish new management structures. By the end of the year, this transitional leadership team comprised the trustee body, National Leader, with heads of ministry areas and key church leaders in an advisory capacity. The staff senior management team was removed in the restructuring exercise, together with many of the posts under a voluntary redundancy programme forming part of the restructure exercise.

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SUBSIDIARY

New Wine Resources Limited is a 100% owned subsidiary of New Wine Trust and was incorporated on 17th October 2001. It exists to manage the commercial activities linked to the charity (including publishing books, music, the spoken word and online resources, selling advertising space in the conference programmes, running cafes and renting space in the Market Place at conferences). It also provides a jobs board for organisations wishing to recruit new staff. The subsidiary pays all of its profits to the charity by way of a gift aid donation.

RELATED PARTIES

New Wine has no formal association with other charities but works closely with several other Christian charities to share best practice.

A People and Remuneration sub-committee reviews all staff remuneration, contracting and welfare. In 2022, all staff, including senior staff, received a 3.8% pay award and the organizational pay ratio of highest to median salary is 2.2:1.

During the period, the key management personnel comprised the Executive Director and the National Leader.

RISK FACTORS

The trustees consider the major risks to which the charity is exposed and ensure that adequate systems are in place to mitigate exposure to these risks. The strategic risk register is updated and reviewed annually, alongside procedures to ensure they continue to meet the needs of the charity.

PAY POLICY FOR SENIOR STAFF

The pay of senior staff is reviewed annually, along with that of the whole staff team and any pay rises take account of a range of factors including cost of living increases. Salaries have been benchmarked against pay levels within similar sized charities in Greater London. New Wine has a remuneration principles and policy statement which was l a s t updated and approved by trustees in December 2019. The statement is in accordance with the recommendations of the National Council for Voluntary Organisations (of which New Wine has membership).

The following are the key risks assessed as the most significant for the charity:

  1. Loss of key staff. We do not hold key person insurance. However, we do structure ourselves so that responsibilities are spread across a wide number of key positions. Staff contracts are generally on two months’ notice to allow a smooth handover and more senior staff contracts require three months’ notice. Prior to their departure, the Executive Director’s contract had been increased to six months’ notice, and the National Leader is on a 3-year renewable term of office allowing for succession planning. Desktop procedure documentation in key functions is constantly updated to mitigate this risk.

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  1. Risks posed by the increasing role of IT in all aspects of the trust’s activities. We carry out a full risk assessment and impact analysis each year with actions put in place to mitigate high risk areas.

  2. Cancellation of the United Gatherings at short notice due to unforeseen circumstances. Whilst the Coronavirus pandemic had largely passed, consideration was given to the continued risk that could prevent or close events on grounds of public health or impact on key services, compounded by material increases in insurance premiums for event cover. The current reserves policy requires the trust to hold sufficient funds to cover committed costs in the unlikely occurrence that we would have to cancel our summer events and issue refunds.

  3. Longevity of suppliers and volunteers. During 2019 and 2020, a complete review and update of contracts and service level agreements with suppliers was conducted to ensure that services were still fit for purpose, and contracting was sufficiently robust. This has been maintained and updated through 2022.

The trustees acknowledge that they are responsible for the maintenance of an effective system of internal control. However, no system of internal financial control can provide absolute assurance against material misstatement or loss. The trustees have considered the major business risks and control objectives relevant to the trust and controls were found to be appropriate and generally satisfactory. As part of an overall and continuing drive for quality, an ongoing review of internal controls is addressing those areas where controls may be improved.

The trust’s control objectives include:

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OBJECTIVES AND ACTIVITIES

CHARITABLE OBJECTS AND PUBLIC BENEFIT

New Wine has three core charitable objectives which are:

  1. to promote for the public benefit the advancement of the Christian Religion in England and, where invited, throughout the world;

  2. to equip churches to see Jesus’ Kingdom grow; and

  3. to see the nation changed through Christians and churches being filled with the Spirit, alive with the joy of knowing and worshipping Jesus Christ, living out his word, and doing the works of the Kingdom of God.

The trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.

We achieve these objectives by encouraging lives dedicated to expressing God’s love to individuals and communities throughout the country, and

through like-minded groups in other countries as well. Through the outworking of these activities, we see lives changed for good in spiritual, moral, ethical and practical ways. This includes relationships restored (within families and marriages), healing, both physical and spiritual, encouragement and support when experiencing difficulties, comfort to the bereaved or grieving, hope generated and a framework for life. We see people turning away and freed from damaging lifestyles including drug and alcohol dependency, pornography, gambling, bitterness and resentment, anger and violence, depression and despair and new life being generated in their place.

The United Gatherings are New Wine’s major annual activity. At these, amongst other things the charity;

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1,605

Delegates at National Leadership Conference 2022 in Harrogate

In other areas New Wine offers:

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ACHIEVEMENTS AND PERFORMANCE

VOLUNTEERS

New Wine derives benefit from the services of unpaid volunteers whether the time is given by its’ trustees and members of the leadership team, or by the large number of individuals who assist with the running of conferences and other events. The United Gatherings in particular rely on many thousand volunteer team members, helping out in the areas of children and youth work, stewarding, hospitality and in a number of smaller specialised teams. We are so grateful for all those that use their gifts to support our work in these ways.

We estimate that more than 250,000 hours of volunteer work are contributed each year to help make our events a success. As there are children at the United Gatherings, we use the Disclosure and Barring Service and reference checks to screen volunteers and provide safeguarding training to all volunteers working with children and vulnerable individuals under a safeguarding policy which has an annual review.

Jesus is the hope of the world and we believe the only way our communities will get to see, understand and receive that hope is through the local Church - as we live out his new life in our everyday lives!

With the prayers and support of our New Wine family throughout 2022, we’ve seen acceleration of church planting; church leaders supported and released to lead renewal in their churches; and generous investment into our future with increased provision for emerging young leaders as we seek to better serve the move of God across the nation, and further bursary places for urban churches and missionaries.

Our success is measured through engagement of the local church, as delegates at conferences and users of content provided online, and as members of active networks. Key metrics for 2022 are included overleaf.

REVIEW OF ACTIVITIES

The vision statement ‘Local churches, Changing Nations’ directs our strategy and planning. Its simplicity and challenge has caught the attention of both historic denominations and new church leaders; we are networking with an expanding breadth of denominations, knowing that only by working together can we achieve this vision.

‘As an independent church pastor, these conferences are utterly vital to our sense of connection with the wider church - to know that we are not an island, but part of a greater move of God across the nation.’

(National Leadership Conference 2022)

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We welcomed over 14,000 visitors during the course of the summer conference, plus another 870 for a new conference run jointly with Fusion for youth and young adults “SixtyOne”.

We also offered access to our main conference sessions through the online platform, New Wine Online. We saw 229 new members from 1 July – 3 Aug, including those subscribing solely for United Online content.

A limited conference programme was offered in 2022, following the global pandemic of 2020-21, recognising that delegate confidence was slowly rebuilding. The events held were:

New Wine receives many testimonies of the impact these events have on both the individual delegates and their local churches, when they return refreshed, energised and more aware of God’s plan for their role in the local church.

What a blessing to have been able to join in United, both A and B, Online. Not just for the talks, though those alone were inspirational, but specifically to share in the worship and ministry.

Thank you for making this possible and for enabling some like myself, who are unable to be there in person, to be a part of such a Spirit-filled event. I can assure you the Holy Spirit is present wherever we are, not limited to those in the arena itself.

(United 2022 Online)

3,850

27k+

Children & youth attended the summer conference

views of New Wine Online videos

1,600+ 50+

‘I came pretty exhausted with our two little children (2 1/2 and 1) and husband. I felt so tired emotionally, physically, mentally and spiritually… I am going back home lighter, more refreshed and I'm full of hope. I didn't have many expectations for this week but God has met me deeply and powerfully and I am so grateful the space, the individuals and the huge network of teams who made it possible.’

(United 2022)

charities and missional organisations represented at New Wine events

Active subscribers to our online platform New Wine Online, accessing teaching material and seminars.

‘I'm struggling to find the words to express the significance of this week ... We've brought the kids since they were tiny and NW has always been a huge part of their discipleship. Every year we've seen God at work in their lives, often in miraculous ways.’ (United 2022)

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The church leaders’ network continues to grow with over 4,300 active members (2021: 2,075). This was achieved by extending network membership beyond the senior church leaders to others in a leadership capacity within the church including operations & admin team, worship, children’s and youth work. New Wine is providing invaluable support to local church leaders in their own contexts through the local area network groups as well as networking opportunities at larger conferences or gatherings. New Wine’s philosophy is of relational generosity and members of the network are encouraged to support new and emerging leaders through mentorship programmes on a mix of formal and informal bases, offering their time willingly and enthusiastically across the nation.

Our Discipleship Year programme now has 12 centres using the programme for interns in 2022/23. This programme continues to be extremely well received by churches and students alike.

65

Discipleship Year students in 12 hubs

75

4,320

active members of Leadership the Network area New Wine gatherings Leadership Network

‘This Discipleship Year has been essential for my growth as an individual and growth as a disciple of Jesus. I started the year with very few expectations for what God would do, but what God has done in my life over a very short period of time has blown my mind. I’m now the team leader of the kids team at church, which means I oversee the volunteers and the teaching programme among other things. This has grown my confidence massively and developed my leadership skills. I’ve also grown in faith and have a stronger trust and relationship in Jesus.’ (Discipleship Year Student)

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FUNDRAISING

New Wine raises funds from regular givers, major donors, offerings at conferences and one-off gifts and these represent the principal funding sources for the charity, alongside delegate fees for conferences run in the financial period. The Trust is registered with The Fundraising Regulator but does not use a professional fundraiser or commercial participator for this activity, other than in an advisory capacity.

No complaints were received during the year in relation to our fundraising activities.

The funds raised support the development activities aligned to raising generations and church planting, maintaining the church leaders’ networks and meeting the operational costs of running the charity and its associated ministries.

New Wine does not approach members of the general public for donations but periodically runs appeals to supporters of the conferences and other individuals on opt-in mailing lists. In 2022, an appeal was launched at the summer conference to secure a future for the charity. The two years of operating without a physical summer conference programme had severely impacted the charity’s financial reserves as delegate fees alone cannot cover the costs of delivery of summer conference and the year-round running costs of the charity.

Our summer conference programme cannot be run at the East of England Showground in 2023 and, although a venue has been located and contracts established, we anticipate additional costs of moving to a new venue, as experienced in 2019.

‘I certainly value a space where I can worship and be prayed for as a leader amongst equals’ ‘The worship is often a distinctive brand of leaders encountering God, unencumbered by the need to lead. I’ve also really valued the breadth of teaching from wise leaders who have encouraged us in so many ways’

‘I personally love catching up with friends, celebrating where God is at work and praying through the frustrations and discouragements we face together.’

(Leadership Network Members)

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FINANCIAL REVIEW

RESULTS

The results for the financial year are shown on page 22. The group’s net movement in funds shows a surplus of £219,665 (2021: deficit of £515,707). The charity’s financial performance and position is summarised on pages 23 to 25. The trustees’ responsibilities for the financial statements are described on page 18.

A near break-even position was planned for in anticipation of the ongoing effect of the global pandemic. The first in-person conference after the pandemic was the 2022 Leadership Conference in Harrogate; this ran with reduced capacity to allow delegates to maintain social distancing if they wished. Financially, it performed as expected. By contrast, delegate numbers for the summer conferences were significantly down on pre-pandemic levels and below the (reduced) capacity planned for 2023, but donations received at the summer conference made up for the shortfall.

REVIEW OF FINANCIAL POSITION

The trust continues to maintain a sound financial position, with cash reserves within the range considered by the trustees to be adequate for the group’s overall operations. In 2022 the net surplus before transfers and revaluations on unrestricted funds was £283,749 (2021: deficit of £589,513). Unrestricted undesignated income of £4,521,428 (2021: £1,119,445) arose as detailed in notes 2 to 5 and 10 – largely from conference fees - and unrestricted undesignated expenditure totalling £4,237,679 (2021: £1,701,458) was made during the year (note 10).

The unrestricted fund includes items designated by the trustees for particular purposes – notably fixed assets and funds for the future development of New Wine including church planting, the move to new conference sites and investing in the next generation of leaders. In 2022, costs of restructuring the operation of New Wine were charged against the fund, including redundancy payments for staff.

Note 18 details the restricted and designated fund movements. The balance on restricted funds at the start of 2022 was £4,399 and on designated funds £478,258. The closing balances are £9,399 and £285,270 respectively. Restricted fund donations were received in 2022 for the costs of medical service provision at the summer conference, which was fully expended in the year, and church planting grants.

There was a very generous collection for the benefit of New Wine in 2022 at the summer conference in response to an appeal launched by the National Leader, totalling some £1m, including gift aid. The closing balance on general funds (free reserves) was £633,906 (2021: £226,253).

The trustees consider that the market value of the assets and liabilities in the balance sheet are not materially different from those stated.

The trust’s subsidiary company, New Wine Resources Limited, traded profitably throughout the year and contributed £276,143 to the trust during the year (2021: £56,236).

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RESERVES POLICY

New Wine is under a legal duty to apply charitable funds within a reasonable time of receiving them. It is also under an obligation to ensure that it is able to meet all its financial obligations as they fall due. In balancing these considerations, the trustees are aware that New Wine regularly commits itself to substantial expenditure for future conferences and events some time before they take place. They have formally adopted a policy to retain funds at a level that is sufficient to ensure that the charity’s financial commitments in promoting forthcoming conferences and events are fully covered at all times, together with a minimum of 3 months’ general office running costs. At 31 December this was approximately £470k (2021: £690k), a sum with which the Trustees were content.

In selecting the funds, the investment committee consider and balance risks attached to asset managers, asset class and individual stocks. The ethical stance of the charity is also a primary consideration in selection of the investment manager and funds.

GOING CONCERN

New Wine anticipated a small financial deficit for 2022, due to the lower delegate numbers immediately following the global pandemic and the costs of a restructuring exercise instigated in the second half of the year. In the event, a surplus was realised, due to the generous donations received at the summer conference. Expenditures have been managed to limit exposure to losses in the event of cancelling events. On-line resources and ‘live streams’ have also been offered to allow wider attendance and provide a further modest income stream.

GRANTS

The majority of grants paid out relate to restricted income and are distributed as soon as conveniently possible. No grants were paid out during 2022. The restricted income is typically derived from offerings taken at a number of the conferences or individual donations which are to benefit other charities, or to further the mission of New Wine and launch new initiatives. No such collections were taken in 2022.

INVESTMENT POLICY

The charity’s memorandum provides the Board with the power to invest monies not immediately required for its purposes in such investments, securities or property as maybe thought fit, subject to any conditions and with such sanction as may be required by law.

In view of the significant cash flow variations that arise due to the seasonal nature of the trust’s activities, the trust holds its surplus funds on short term deposit with its bankers. The trustees have also decided that up to £1million can be held in charitable investment funds with an expectation of a minimum 5 year term.

Whilst the 2022 United events were successful by a range of performance measures, the number of attendees at the summer conferences was significantly lower than expected which put further strain on the charity's finances.

In July 2022, New Wine Trust was informed that the charity will not be able to hold a camping event at the East of England Showground in the summer of 2023, because of plans to develop the site. As a result of this, the launch of a United event for 2023 was delayed, with a detrimental effect on cash flow (since the charity traditionally relies on income from bookings paid in advance to fund both recurring expenditure and the cost of future events). The charity therefore instigated a major fundraising exercise in 2022 which raised donations totalling approximately £1m and received additional substantial commitments of future support.

To further redress the financial imbalance and with a view to securing future sustainability, New Wine initiated a restructuring programme which will impact both future income streams and future costs. A key component of this was a voluntary redundancy programme; the full cost arising from this is captured in the 2022 accounts.

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The charity remains confident in its role supporting the network of churches and event delegates throughout the year, not just for the summer conference.

Sustainability and going concern are monitored carefully at a number of levels:

PLANS FOR FUTURE PERIODS

In addition to its usual programme of conferences and educational events, New Wine intends to continue to focus development in the following areas:

As noted above, plans are in place to ensure that summer conferences can be run in 2023 and beyond. These plans may require some future investment in infrastructure at the selected site or sites, to support the numbers of delegates and will incur costs of relocating equipment during 2023 and beyond. No provision for these costs has been made in these financial statements.

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TRUSTEES’ RESPONSIBILITIES IN RELATION TO THE FINANCIAL STATEMENTS

The charity trustees (who are also directors of the New Wine Trust for the purposes of company law) are responsible for preparing the trustees’ annual report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice (UK GAAP). Company law requires the trustees to prepare such financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and the group and of the financial activities of the group for that period and which comply with UK GAAP, the Companies Act 2006 and the Statements of Recommended Practice issued by the Charity Commission in England and Wales. In preparing those financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the charitable company, for taking reasonable steps for the prevention and detection of fraud and other irregularities and for the preparation of a trustees’ report which complies with the requirements of the Companies Act 2006.

The trustees are responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities and that, where appropriate, the Director of Operations and their direct line reports are responsible for the maintenance and integrity of the corporate and financial information included on the company’s website.

STATEMENT OF DISCLOSURE TO AUDITORS

In so far as the trustees are aware at the time of our approving the trustees’ annual report:

AUDITORS

Buzzacott LLP were appointed as auditors to the group for 2022, following a market-test and tendering exercise. A resolution proposing that Buzzacott LLP be r e - appointed as auditors of the company for 2023 will be presented to the Annual General Meeting.

On behalf of the Board of Trustees

Jill Duff (Chair) Dated: 02 August 2023

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INDEPENDENT AUDITOR’S REPORT TO THE MEMEBRS OF NEW WINE TRUST

OPINION

We have audited the financial statements of New Wine Trust (the ‘charitable parent company’) and its subsidiary company (collectively the ‘group’) for the year ended 31 December 2022 which the comprise the consolidated statement of financial activities, the consolidated and charitable parent company balance sheets, the consolidated and charitable parent company statement of cash flows, and the notes to the accounts (including the principal 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).

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 group and charitable parent company’s ability to continue as a going concern for a period of at least twelve 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.

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 group 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.

OTHER INFORMATION

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report and Accounts, other than the financial statements and our auditor’s report thereon. 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.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

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OPINION 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 the knowledge and understanding of the group and the charitable parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report including the strategic 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 statement of trustees’ responsibilities in relation to the financial statements (contained within the trustees’ report), 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 group’s and the charitable parent 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 group or the charitable parent 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.

Irregularities, including fraud, are instances of noncompliance 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:

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

20

We assessed the susceptibility of the group’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 noncompliance with laws and regulations, we designed procedures which included, but were not limited to:

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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 parent 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 parent 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 parent company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Gumayel Miah (Senior Statutory Auditor) For and on behalf of Buzzacott LLP, Statutory Auditor 130 Wood Street, London, EC2V 6DL

Date: 14 September 2023

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

21

NEWWINE TRUST Accounts NEW WINETRUST-TRUSTEES. ANNUALREPORT AND ACCOUNTS 2022 22

NEW WINE TRUST

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (including consolidated income and expenditure account) FOR THE YEAR ENDED 31 DECEMBER 2022

Note
Income from:
Donations, grants and legacies
- Donations and grants
2
- Love offerings at conferences

Income from charitable
activities
- Conferences & networks
3,17
Income from other trading
activities
- Commercial trading operations
4
Investment income
5
Total income
Expenditure on:
Raising funds
- Commercial trading operations
4
- Fundraising and publicity costs
8
Charitable activities:
- Conferences & networks
7
Total expenditure
Net income before investment
gains and losses
Net (losses) / gains on
investment assets
13
Net income / (expenditure)
and net movement in funds
Transfers between funds
Reconciliation of funds
Fund balances at 1 January
Fund balances at 31 December
18,19		 Unrestricted
Restricted
Total
Funds
Funds
2022
£
£
£
793,864
9,000
802,864
1,029,127
-
1,029,127
1,822,991
9,000
1,831,991
1,980,370
-
1,980,370
701,173
-
701,173
16,894
-
16,894
4,521,428
9,000
4,530,428
425,394
-
425,394
41,960
-
41,960
467,354
-
467,354
3,770,325
4,000
3,774,325
4,237,679
4,000
4,241,679
283,749
5,000
288,749
(69,084)
-
(69,084)
214,665
5,000
219,665
-
-
-
214,665
5,000
219,665
704,511
4,399
708,910
919,176
9,399
928,575		 Unrestricted
Restricted
Total
Funds
Funds
2021
£
£
£
636,150
7,500
634,650
36,140
-
36,140
672,290
7,500
679,790
131,144
-
131,144
293,008
-
293,008
15,503
-
15,503
1,111,945
7,500
1,119,445
236,807
-
236,807
13,533
-
13,533
250,340
-
250,340
1,451,118
7,500
1,458,618
1,701,458
7,500
1,708,958
(589,513)
-
(589,513)
73,806
-
73,806
(515,707)
-
(515,707)
-
-
-
(515,707)
-
(515,707)
1,220,218
4,399
1,224,617
704,511
4,399
708,910

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. See note 10 for detail of prior year Statement of Financial Activities.

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

23

NEW WINE TRUST

CONSOLIDATED AND CHARITY BALANCE SHEET FOR THE YEAR ENDED 31 DECEMBER 2022

Notes
Fixed Assets
Tangible assets
12
Investments
13
Current assets
Stocks
14
Debtors
15
Cash at bank and in hand
Creditors: amounts falling due
within one year
16
Net current assets
Net assets
Income funds
Restricted funds
Unrestricted funds:
- General funds
- Designated funds
Total funds
18,19,20		 Group
2022
2021
£
£
21,477
32,560
525,019
594,103
546,496
626,663
9,243
14,535
273,864
196,841
671,044
942,837
954,151
1,154,213
(572,072)
(1,071,966)
382,079
82,247
928,575
708,910
9,399
4,399
633,906
226,253
285,270
478,258
928,575
708,910		 Charity
2022
2021
£
£
21,477
32,560
525,021
594,105
546,498
626,665
-
-
185,426
288,896
443,479
622,978
628,905
911,874
(522,971)
(885,866)
105,934
26,008
652,432
652,673
9,399
4,399
357,763
170,016
285,270
478,258
652,432
652,673

The trustees have prepared group accounts in accordance with section 398 of the Companies Act 2006 and section 138 of the Charities Act 2011. These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS102 Section 1A for small entities.

The notes on pages 26 to 43 form part of these accounts.

The accounts were approved by the Board on 02 August 2023.

......................................................................... Sarah McHardie – Trustee 02 August 2023

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

24

NEW WINE TRUST

CONSOLIDATED AND CHARITY STATEMENT OF CASHFLOWS FOR THE YEAR ENDED 31 DECEMBER 2022

Notes
Statement of cash flows
Cash flows from operating activities
Net cash (used in) / provided by operating activities
22
Cash flow from investing activities
Interest from investments
Purchase of fixed assets
Net cash used in investing activities
Change in cash and cash equivalents in the reporting period
Cash and cash equivalents at 1 January
Cash and cash equivalents at 31 December		 Group
2022
2021
£
£
(271,407)
40,849
16,894
15,503
(17,280)
(26,383)
(386)
(10,880)
(271,793)
29,969
942,837
912,868
671,044
942,837		 Charity
2022
2021
£
£
(178,749)
191,495
16,530
15,467
(17,280)
(26,383)
(750)
(10,916)
(179,499)
180,579
622,978
442,399
443,479
622,978

No separate reconciliation of net debt has been prepared as there is no difference between the net cash / (debt) of the charity and the above cash and cash equivalents.

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

25

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

NEW WINE TRUST

1. Accounting policies

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation in the financial statements are as follows:

1.1. Basis of preparation

The financial statements comply with the

New Wine Trust meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).

The functional currency is Pound Sterling and all financial results are reported in Pound Sterling.

1.2. Going concern

In reaching the conclusion on application of the going concern basis, Trustees have had regard to the cash flow and budgeted projections for the forthcoming 12 month period, incorporating all known changes in operational plans.

1.3. Basis of consolidation

These financial statements consolidate the results of the charity and its wholly-owned subsidiary, New Wine Resources Ltd (a company registered in England and Wales under number 04306296) on a line- by- line basis. A separate Statement of Financial Activities, or Income and Expenditure account, for the charity itself is not presented because the charity has taken advantage of the exemptions afforded by section 408 of the Companies Act 2006.

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the items of income have been met, it is probable the income will be received, and the amount can be measured reliably. Specifically:

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

26

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

NEW WINE TRUST

1.5. Donated services

Donated services and facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of the economic benefit from the use by the charity of the items is probable and that economic benefit can be measure reliably. In accordance with the Charities SORP (FRS 102) the volunteer time from the many thousands of volunteers noted in the trustees’ report is not recognised.

Professional services are received ad hoc from our solicitors and this is recognised at the amount the charity would have been willing to pay to obtain services of equivalent economic benefit on the open market; a corresponding amount is also recognised in expenditure.

1.6. Support costs

Support costs are allocated between the principal activities of the trust for charitable activities, generating income and governance. Where costs are not directly attributable, the allocation is based on an estimation of the time spent or by reference to the income generated on the various activities.

1.7. Pensions

The charity auto enrolled employees into the People’s Pension – a Defined Contribution Scheme (DCS) in April 2015 and a re-enrolment exercise was undertaken in 2020. Employer contributions are accounted for on an accruals basis.

1.8. Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost less depreciation. Assets costing less than £1,000 are expensed rather than capitalised. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life as follows:

Leasehold Improvements 10% per annum on cost (over the term of the lease) Plant and machinery 33% and 50%

1.9. Investment policy

The trustees can invest surplus funds and they have decided that up to £1million can be held in charitable investment funds with an expectation of a minimum 5 year term. In selection of the funds, the investment committee consider and balance risks attached to asset managers, asset class and individual stocks. The ethical stance of the charity will also be a consideration. The trust also holds surplus funds on fixed term deposit with its bankers on the money market as current assets.

1.10. Stocks

Stocks are valued at the lower of cost and net realisable value. Impairment values are reassessed each year, by comparing the carrying amount of each product (or group) with its selling price, less costs of sale. Any impairment loss is recognised immediately in the trading subsidiary’s income and expenditure account.

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

27

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

NEW WINE TRUST

1.11. Debtors

Debtors are recognised at their settlement amount, less any provision for non-recoverability. Sales are made on the basis of normal credit terms and do not bear interest. At the end of each year, all receivables are reviewed to determine whether there is evidence that the amounts are not recoverable. If so, an impairment loss is recognised in the income and expenditure statement by the creation of a bad debt provision.

1.12. Cash at bank and in hand

This includes cash in hand and short term highly liquid deposits with a short maturity of three months or less from the date of acquisition.

1.13. Creditors

Creditors, including trade debtors, are obligations on normal credit terms and do not bear interest.

1.14. Fund accounting

1.15. Financial instruments

The trust only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

1.16. Critical accounting estimates and areas of judgement

Preparation of the financial statements requires the trustees and management to make certain judgements and estimates. The items in the financial statements where these judgements and estimates have been made include:

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

28

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

NEW WINE TRUST

  1. Income from donations and grants (there were no legacies)
ome from donations and grants (there were no legacies)
Unrestricted donations
Grants received (general fund)
Designated donations
Restricted donations
Total donations		 2022
£
1,777,991
45,000
-
9,000
1,831,991		 2021
£
448,673
219,867
3,750
7,500
679,790

Included in the above amounts is £193,540 (2021: £50,539) gift aid recoverable. The majority of the donations are from individuals and are below £5,000 each. Love offerings received at conferences, other than the specific charities restricted collections or those given for a defined purpose, are classified as unrestricted funds.

Grants receivable included in 2022 arose from a revenue sharing agreement with another UK charity, Fusion, for the Summer Conference “SixtyOne”. All grants received in 2022 were for general fund expenditures. (During 2021 Government Grants were received under the Coronavirus Job Retention Scheme and a grant was received from a charitable body sharing common objectives with New Wine, totalling £144,867).

  1. Income from charitable activities
e from charitable activities
National Gatherings
Other conferences
Training		 2022
£
1,711,801
236,346
32,223
1,980,370		 2021
£
397
98,149
32,598
131,144

Free of charge and discounted places are made available under the New Wine Urban Bursary Fund to delegates and missionaries who may otherwise not be able to afford to attend the summer conference, of an equivalent value of £39,000. (2021: £nil, as no in-person events took place in that year).

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

29

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

NEW WINE TRUST

  1. Income earned from other activities

Commercial trading activities of trading subsidiary

The charity owns 2 shares of £1 each in its wholly owned subsidiary New Wine Resources Ltd, which is incorporated in the United Kingdom, publishes Christian music and other resources, and pays all of its profits to the charity by way of Gift Aided donation. A summary of the trading result is set out below:

Summary profit and loss account
Turnover
Cost of sales and administrative expenses
Interest receivable
Net income from trading
Opening retained reserves
Donation to the Charity under Gift Aid rules
Retained in the subsidiary
The assets and liabilities of the subsidiary were:
Current assets
Creditors: amounts falling due within one year
Total net assets
Aggregate share capital and reserves
5.
Investment income
Income from CCLA investments
Interest receivable
6.
Net income is stated after charging:
Depreciation
Restructuring costs – staff costs
Operating Lease rentals – Hire of equipment
– Property
Other income – investment income		 2022
£
701,173
(425,394)
364
276,143
56,237
(56,237)
276,143
413,599
(137,454)
276,145
286,145
2022
£
15,738
1,156
16,894
2022
£
28,365
257,773
6,976
35,000
(16,894)		 2021
£
293,008
(236,807)
36
56,237
11,247
(11,247)
56,237
397,545
(341,307)
56,238
56,238
2021
£
15,429
75
15,503
2021
£
88,362
-
6,976
35,000
(15,503)

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

30

NEW WINE TRUST

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

7. Analysis of expenditure on charitable objectives

Unrestricted funds
Site costs/direct event costs
Teams & Activities
Marketing
Direct office costs
Governance Costs
Support costs
Total unrestricted
Designated funds
Salaries and related costs
Teams & Activities
Support costs
Total designated
Subtotal – General funds
Restricted funds
Teams & Activities
Total		 Leadership
Network &
Discipleship
Year, Training &
National
Other
International
development
Gatherings
Conferences
Ministry
of New Wine
£
£
£
£
2,006,831
89,442
-
13,448
211,798
12,635
118,080
26,544
23,576
3,086
-
123
-
-
5,339
1,782
47,863
2,245
2,635
894
737,076
34,570
40,572
13,772
3,027,144
141,978
166,626
56,563
-
-
88,244
261,972
-
-
-
-
24,806
1,163
1,365
464		 2022
Total
£
2,109,721
369,057
26,785
7,121
53,637
825,990
3,392,311
350,216
-
27,798
24,806
1,163
89,609
262,436
3,051,950
143,141
256,235
318,999
4,000
-
-
-
3,055,950
143,141
256,235
318,999		 378,014
3,770,325
4,000
3,774,325

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

31

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

NEW WINE TRUST

  1. Analysis of expenditure on charitable objectives (cont.)
Unrestricted funds
Site costs/direct event costs
Teams & Activities
Marketing
Direct office costs
Governance Costs
Support costs
Total unrestricted
Designated funds
Salaries and related costs
Teams & Activities
Total designated
Subtotal – General funds
Restricted funds
Support costs
Total		 Leadership
Network &
Discipleship
Year, Training &
National
Other
International
development
Gatherings
Conferences
Ministry
of New Wine
£
£
£
£
104,348
15,648
-
-
31,124
1,070
2,175
15,205
15,062
-
174
237
-
-
1,152
1,508
31,287
3,475
728
3,523
770,063
85,522
10,410
86,706
951,884
105,715
14,639
107,179
-
-
244,751
25,000
-
-
-
1,950		 2021
Total
£
119,996
49,574
15,473
2,660
39,013
952,701
1,179,417
269,751
1,950
-
-
244,751
26,950
951,884
105,715
259,390
134,129
-
-
7,500
-
951,884
105,715
266,890
134,129		 271,701
1,451,118
7,500
1,458,618

Costs are allocated directly to an activity where possible and otherwise in the same proportion as the direct costs. Designated fund developments include investing in younger leaders and encouraging church planting, urban church development and other church growth initiatives, and restructuring costs of New Wine.

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

32

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

NEW WINE TRUST

  1. Allocation of governance and support costs
Audit
Salaries and related costs
Depreciation
Office expenses & marketing
Total
Audit
Salaries and related costs
Depreciation
Office expenses & marketing
Total		 Charitable
Activities
support costs
Fundraising &
Publicity Costs
Charitable
Activities
Governance
£
£
£
-
-
17,000
617,087
18,969
12,981
27,798
-
567
208,903
22,991
23,089
853,788
41,960
53,637
Charitable
Activities
support costs
Fundraising &
Publicity Costs
Charitable
Activities
Governance
£
£
£
-
-
5,030
720,087
10,472
14,910
85,711
884
1,767
154,403
2,177
17,306
960,201
13,533
39,013		 2022
Total
£
17,000
649,037
28,365
254,983
949,385
2021
Total
£
5,030
745,469
88,362
173,886
1,012,747

During the year the group paid their auditors £17,000 (2021: £5,030) for the audit of the group. Other support costs are allocated on the basis of time use.

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

33

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

NEW WINE TRUST

  1. Summary analysis of expenditure and related income for charitable activities

This table shows the undesignated general fund costs of the four main charitable activities and sources of income directly to support those activities.

Analysis of
support
Note
Income
3
Costs
6
Analysis of
support
Note
Income
3
Costs
6		 Leadership
Discipleship
National
Other
Network &
International
Year Training &
development
Gatherings
Conferences
Ministry
of New Wine
£
£
£
£
1,711,801
236,346
-
32,223
(3,027,144)
(141,978)
(166,626)
(56,563)
(1,315,343)
94,368
(166,626)
(24,340)
Leadership
Discipleship
National
Other
Network &
International
Year Training &
development
Gatherings
Conferences
Ministry
of New Wine
£
£
£
£
397
104,009
-
32,598
(951,884)
(105,715)
(22,139)
(107,179)
(951,487)
(1,706)
(22,139)
(74,581)		 2022
Total
£
1,980,370
(3,392,311)
(1,411,941)
2021
Total
£
137,004
(1,186,917)
(1,049,913)

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

34

NEW WINE TRUST

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

10. Detail of current year Statement of Financial Activities

General
Designated Total
funds
funds
Unrestricted
£
£
£
Income from:
Donations, grants and legacies
- Donations and grants
793,864
-
793,864
- Love offerings at conferences
1,029,127
-
1,029,127
1,822,991
-
1,822,991
Income from charitable activities
- Conferences & networks
1,980,370
-
1,980,370
Income from other trading activities
- Commercial trading operations
701,173
-
701,173
Investment income
16,894
-
16,894
Total income
4,521,428
-
4,521,428
Expenditure on:
Raising funds
- Commercial trading operations
425,394
-
425,394
- Fundraising and publicity costs
41,960
-
41,960
467,354
-
467,354
Charitable activities:
- Conferences & networks
3,392,311
378,014
3,770,325
3,392,311
378,014
3,770,325
Total expenditure
3,859,665
378,014
4,237,679
Net income / (expenditure) before
transfers and investment gains
and losses
661,763 (378,014)
283,749
- Transfer between funds
(254,110)
254,110
-
- Net losses on
investment assets
-
(69,084)
(69,084)
Net movement in funds
407,653 (192,988)
214,665
Reconciliation of funds
Fund balances at 1 January
226,253
478,258
704,511
Fund balances at 31 December
633,906
285,270
919,176		 General
Designated Total
funds
funds
Unrestricted
£
£
£

793,864
-
793,864
1,029,127
-
1,029,127		 General
Designated Total
funds
funds
Unrestricted
£
£
£

793,864
-
793,864
1,029,127
-
1,029,127		 Restricted
funds
£
9,000
-
9,000
-
-
-

9,000
-
-
-
4,000
4,000
4,000
5,000
-
-
-
4,399
9,399		 2022
Total
funds
£
802,864
1,029,127
1,831,991
1,980,370
701,173
16,894
4,530,428
425,394
41,960
467,354
3,774,325
3,774,325
4,241,679
288,749
-
(69,084)
219,665
708,910
928,575
407,653 (192,988)
214,665
226,253
478,258
704,511
633,906
285,270
919,176

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

35

NEW WINE TRUST

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

10. Detail of prior year Statement of Financial Activities

General
Designated Total
funds
funds
Unrestricted
£
£
£
Income from:
Donations and legacies
- Donations
632,400
3,750
636,150
- Love offerings at conferences
36,140
-
36,140
668,540
3,750
672,290
Income from charitable activities
- Conferences & networks
131,144
-
131,144
Income from other trading activities
- Commercial trading operations
293,008
-
293,008
Investment income
15,503
-
15,503
Total income
1,108,195
3,750
1,111,945
Expenditure on:
Raising funds
- Commercial trading operations
236,807
-
236,807
- Fundraising and publicity costs
13,533
-
13,533
250,340
-
250,340
Charitable activities:
- Conferences & networks
1,179,417
271,701
1,451,118
1,179,417
271,701
1,451,118
Total expenditure
1,429,757
271,701
1,701,458
Net income / (expenditure) before
transfers and investments gains
and losses
(321,562)
(267,951)
(589,513)
- Transfer between funds
13,117
(13,117)
-
- Net gains on
investment assets
-
73,806
73,806
Net movement in funds
(308,445)
(207,262)
(515,707)
Reconciliation of funds
Fund balances at 1 January
534,698
685,520
1,220,218
Fund balances at 31 December
226,253
478,258
704,511		 General
Designated Total
funds
funds
Unrestricted
£
£
£
632,400
3,750
636,150
36,140
-
36,140		 General
Designated Total
funds
funds
Unrestricted
£
£
£
632,400
3,750
636,150
36,140
-
36,140		 Restricted
funds
£
7,500
-
7,500
-
-
-

7,500
-
-
-
7,500
7,500
7,500
-
-
-
-
4,399
4,399		 2021
Total
funds
£
643,650
36,140
679,790
131,144
293,008
15,503
1,119,445
236,807
13,533
250,340
1,458,618
1,458,618
1,708,958
(589,513)
-
73,806
(515,707)
1,224,617
(308,445)
(207,262)
(515,707)
534,698
685,520
1,220,218
226,253
478,258
704,511		 708,910

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

36

NEW WINE TRUST

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

11.
Staff costs
Number of employees
Average number of employees during the year
Wages and salaries
Social security costs
Pension costs
Total staff costs		 2022
30
£
1,140,373
96,913
86,653
1,323,939		 2021
30
£
873,908
73,558
85,827
1,033,293

Staff costs include costs of restructuring the staff team totalling £257,773, being redundancy payments and related ex-gratia sums made in the year (2021: £nil),

There was only one employee whose emoluments (gross pay excluding pension and national insurance) was over £60,000 (2021: one); in 2022 their emoluments fell in the band £110,000 to £120,000 due to termination and ex-gratia payments payable from the restructure exercise.

The total employee benefits paid to key management personnel (of which there were 2 in 2022) amounted to £118,050 (2021: £109,289). In addition, New Wine makes contributions to several churches for staff time made available for the leadership of New Wine.

The charity operated a Defined Contribution Pension Scheme provided by the People's Pension. The charity contributes 10% of basic salary with no requirement for the employee to contribute. The total employer contributions to this scheme for the year were £86,653 (2021: £85,827) with the final month’s contributions outstanding at the year end, totalling £4,092 (2021: £6,468).

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

37

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

NEW WINE TRUST

12. Tangible Fixed Assets

Summary for accounts
Cost
At 1 January 2022
Additions
At 31 December 2022
Depreciation
At 1 January 2022
Charge for the year
At 31 December 2022
Net book value
At 31 December 2022
At 31 December 2021		 Tangible assets -
Leasehold
Improvements
Tangible assets -
Plant & machinery
£
£
487,342
399,761
-
17,282
487,342
417,043
487,342
367,201
-
28,365
487,342
395,566
-
21,477
-
32,560		 Total
£
887,103
17,282
904,385
854,543
28,365
882,908
21,477
32,560

The trading company did not own any fixed assets.

13. Fixed Asset investments

CCLA investment fund
Market value at 1 January
Unrealised (losses) / gains
Market value at 31 December
Historic cost		 2022
£
594,103
(69,084)
525,019
261,226		 2021
£
520,297
73,806
594,103
261,226

The trading subsidiary holds no investments of its own.

New Wine Trust holds 2 shares of £1 each in its wholly owned trading subsidiary company New Wine Resources Ltd, which is incorporated in the United Kingdom. These are the only shares allotted, called up and fully paid. The activities and results of this company are summarised in note 4.

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

38

NEW WINE TRUST

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

14. Stock Group Charity Charity
2022 2021 2022 2021
£ £ £ £
Trading stock - books and resources 9,243 14,535 - -
Stock is valued at the lower of acquisition cost and realisable value. All stock is owned by the subsidiary trading compa
15. Debtors Group Charity
2022 2021 2022 2021
£ £ £ £
Trade Debtors 86,774 74,926 4,425
20,094
Other debtors 58,182 5,191 58,096
5,191
Prepayments and accrued income 128,908 116,724 122,875
113,881
Amount due from subsidiary undertaking - - 30
149,730
273,864 196,841 185,426 288,896
16. Creditors - amounts falling due within one year Group Charity
2022 2021 2022 2021
£ £ £ £
Trade Creditors 17,815 39,965 16,902 26,458
Other creditors and accruals 74,226 75,455 15,754 36,644
Income in advance 17 378,899 926,937 266,604 796,687
Taxation and social security costs 97,040 23,083 78,887 19,551
Pensions 4,092 6,526 4,092 6,526
Amount owing to subsidiary undertaking - - 140,732 -
572,072 1,071,966 522,971 885,866

Stock is valued at the lower of acquisition cost and realisable value. All stock is owned by the subsidiary trading company.

17. Deferred income - Group and Charity

Deferred income comprises advance fee income for conference and events in the subsequent financial year and charity partnerships extending over 12 months.

charity partnerships extending over 12 months.
Total deferred income at 1 January
Amounts received/(refunds issued) in year
Amounts credited to statement of financial activities
Total deferred income at 31 December		 2022
£
926,937
1,432,332
(1,980,370)
378,899		 2021
£
424,418
633,663
(131,144)
926,937

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

39

NEW WINE TRUST

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

Analysis of consolidated net assets between funds (Group)
General
Designated
Restricted
Funds
Funds
Funds
£
£
£
Fund balances at 31 December 2022
(Group) are represented by:
Fixed Assets
525,019
21,477
-
Current assets
680,959
263,793
9,399
Creditors: amounts falling due within
one year
(572,072)
-
-
633,906
285,270
9,399
General
Designated
Restricted
Funds
Funds
Funds
£
£
£
Fund balances at 31 December 2021
(Group) are represented by:
Fixed Assets
594,103
32,560
-
Current assets
704,116
445,698
4,399
Creditors: amounts falling due within
one year
(1,071,966)
-
-
226,253
478,258
4,399
Fund details and other notes
Balance at 1
Jan 2022
Income
Expenditure
Transfers
and
unrealised
gains
£
£
£ £
General funds
226,253
4,521,428
(3,859,665)
(254,110)
Designated funds
Fixed assets
32,560
-
(28,365)
17,280
Development of New Wine
445,698
-
(349,649)
167,746
478,258
-
(378,014)
185,026
Total unrestricted funds
704,511
4,521,428
(4,237,679)
(69,084)
Restricted funds
Seed money
4,399
5,000
-
-
Course preparation
-
-
-
-
Medical services
-
4,000
(4,000)
-
Total restricted funds
4,399
9,000
(4,000)
-
Total – all funds
708,910
4,530,428
(4,241,679)
(69,084)		 2022
Total
Funds
£
546,496
954,151
(572,072)
928,575
2021
Total
Funds
£
626,663
1,154,213
(1,071,966)
708,910
Balance at
31 Dec 2022
£
633,906
21,475
263,795
285,270
919,176
9,399
-
-
9,399
928,575

  1. Fund details and other notes

  2. Analysis of consolidated net assets between funds (Group)

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

40

NEW WINE TRUST

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

20.
Analysis of consolidated net assets between funds (Charity)
General
Designated
Restricted
Funds
Funds
Funds
£
£
£
Fund balances at 31 December 2022
(Charity) are represented by:
Fixed Assets
525,021
21,477
-
Current assets
355,713
263,793
9,399
Creditors: amounts falling due within
one year
(522,971)
-
-
357,763
285,270
9,399
General
Designated
Restricted
Funds
Funds
Funds
£
£
£
Fund balances at 31 December 2021
(Charity) are represented by:
Fixed Assets
594,105
32,560
-
Current assets
461,777
445,698
4,399
Creditors: amounts falling due within
one year
(885,866)
-
-
170,016
478,258
4,399		 2022
Total
Funds
£
546,498
628,905
(522,971)
652,432
2021
Total
Funds
£
626,665
911,874
(885,866)
652,673

21. Financial Commitments

At 31 December 2022 the company had outstanding commitments for future minimum lease payments under noncancellable leases which fall as follows:

Photocopiers
Future minimum operating lease payments
In less than one year
Between one and five years
Total
Land and Buildings
Future minimum operating lease payments
In less than one year
Between one and five years
Total		 2022
£
3,693
-
3,693
35,000
-
35,000		 2021
£
-
1,638
1,638
35,000
43,750
78,750

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

41

NEW WINE TRUST

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

  1. Reconciliation of movement in funds to net cashflow from operating activities
Net expenditure for the reporting period
Add back depreciation
Loss / (Gains) on investments
Dividends, interest and rents
(Increase)/Decrease in stocks
(Increase)/Decrease in debtors
(Decrease)/Increase in creditors
Net cash provided by/(used in) operating
activities		 Group
2022
2021
£
£
219,665 (515,707)
28,365 88,362
69,084 (73,806)
(16,894)
(15,503)
5,292 7,132
(77,024) (33,688)
(499,895)584,059
(271,407)
40,849		 Charity
2022
2021
£
£
(241)
(561,153)
28,365
88,362
69,084
(73,806)
(16,530)
(15,467)
-
-
103,468
264,249
(362,895)
489,310
(178,749)191,495

23. Notes to the consolidated cash flow movement

Analysis of the consolidated cash flow movement

At 31 December At 31 December
2021 Cash flows 2022
£ £ £
Cash at bank and in hand 942,837 (271,793) 671,044
Total cash at bank and in hand 942,837 (271,793) 671,044

24. Trustees

None of the trustees received any remuneration during the year for services as trustee.

Travel and meeting expenses for all trustees amounted to £467 (2021: £nil); three trustees received expenses to reimburse travel costs (2021: no trustee incurred expenses). No trustee received honoraria for speaking at the United National Gatherings in the year or prior year. Whilst trustees are eligible for free tickets and accommodation for the conferences, when they will be attending in an official capacity, 5 trustees intentionally made full payment to attend the summer conference.

At the year-end there was £13 outstanding as payments to trustees and their related parties for services other than as a trustee (2021: £nil)

Aggregate donations received from the trustees or related parties without conditions was £9,655 (2021: £1,590)

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

42

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

NEW WINE TRUST

  1. Related party relationships and transactions

Royalty payments

During the year, royalty payments of £13 were payable to Rev J and Mrs Coles (2021: £15) in connection with books authored by them and sold via the trading company.

Service provision

There were no related party transactions to report in respect of service provision during the year. During 2021, New Wine contracted with FreelyGive Ltd for IT services for which one of our former trustees, David Lynch, was a consultant. He had declared an interest and excluded himself from any Trustee discussions related to this until he resigned in December 2021. In 2022 expenditure with FreelyGive Ltd was £33,840 (2021: £45,840)

During the year, a number of the Trustees purchased access to New Wine Online from the subsidiary company at the standard prices for this service.

Other than as reported above, and within note 22, there were no other related party transactions during the year ended 31 December 2022.

26. Contingent Liabilities

No contingent liabilities were recognised at 31 December 2022 (2021: nil).

27. Events after the reporting date

New Wine have reviewed the financial statements for 2022 and consider that there are no circumstances arising after the balance sheet date warranting any adjustment of values presented.

NEW WINE TRUST – TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2022

43