EAST MIDLAND BAPTIST ASSOCIATION ANNUAL REPORT AND ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2023 Company Registered Number: 4302466 Charity number 1094457
EAST MIDLAND BAPTIST ASSOCIATION YEAR ENDED 31ST DECEMBER 2023 INDEX TO THE FINANCIAL STATEMENTS Page Company Information Annual Report of the Trustees 418 Report of the Independent Examiner Statement of Financial Activities 10 Balance Sheet Notes to the Financial Statements 12119
EAST MIDLAND BAPTIST ASSOCIATION COMPANY INFORMATION DIRECTORS Revd M Clay Revd M l Hills Revd H M Colk Revd M A Jones Mr A Smallridge Revd D C Harvey MrsEMCox Mrs K G Mcmanus (Regional team leader) reasurer) {Moderator) COMPANY SECRETARY Mrs R Nicholls REGISTERED OFFICE West Bridgford Baptist Church Melton Road West Bridgford NorriNGHAM NG2 7NF REGISTERED NUMBER 4302466 CHARITY NUMBER 1094457 INDEPENDENT EXAMINER ARRpriFCA A R R Pri Limited 17 Newstead Grove NOTtINGHAM NG14GZ BANKERS Uoyds TSB 43 Irongate DERBY DE1 3Fr
EAST MIDLAND BAPTIST ASSOCIATION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST DECEMBER 2023 The Trustees present their report with the unauditsd financial statements of the company for the year ended 31 st Dernber 2023. PRINCIPAL ACTIVITY The principal activity for the year under review was that of Charitable Trustees. OBJECTS OF THE CHARITY The East Midland Baptist Association is a company limited by guarantee and a registered charity. Its objects are set out in the Memorandum and Articles of Association dated July 2014 and include provision as to: The promotion of Evangelical Christian religion in the East Midlands or elsewhere according to the principles and usage for the time being of Protestants of the Baptist Denomination and for the furtherance of such objects to hold religious. evangelical. educational, philanthropic, social or business meetings and generalty to act as may from ts'me to time be determined. Support or assist in supporting Ministers, Evangelists. Lay Pastors, Teachers, Missionaries and any of them and all or any Churches, Missions. Societies, Associations, Committees and Causes connected with the Baptist Denomination. Provide monies required for all or any of such purposes. CHARI ORGANISATION The main decision-making body of the Association during the year was the Board of Directors (the Trustees), which was made up of those elected by the member churches plus the Regional Minister Team Leader and the Association Treasurer (bjth ex-officio) and one ClHJPted member. The company has one wholly owned subsidiary, The East Midland Baptist Trust Company. The Directors of the Trust Company are appointed by the Board of the Association. The Mission work amongst the churches is undertaken by the Associab'on Company and the Custodian Trusteeship work being undertaken by the Trust Company OBJECTIVES AND ACTIVITIES The objects of this charitable company are the advancement of the Christian faith. particularly across the East Midlands and especially by the means of and in accordan with the principles of the Baptist denomination as set out for the time being in the Declaration of Principle of The Baptist Union of Great Britsin (BUGB}. The charitable company exists as a neork of churches seeking to serve God's kingdom, led by the Holy Spirit, enabling a51 to do everything possible to fulfil God's apostolic mission and ministry within the communities in which they are placed. The charitable company believes that the local church is the primary way in which God's apostolic mission is fulfilled and as such, healthy churches are crucial to seeing God at work across the region. The trustees of the charitable company are committed to growing healthy churches through inspiring, equipping, canng, partnering and pioneering. These five priorities guide the work of the charilable company. The principal activities of the charitable company are the employment of a Regional Ministry and administrative staff team and the organisation of a number ofvolunteers, working in groups or individually, to offer support and guid2nGe, training and financial resources to advance the Christian faith in a way which benefits Baptist churches and the communities they serve. The charitable company is part of the family of Baptist organisations serving the needs of rnany of the Baptist churches in Great Britain, working particularly dosely with the Baptist Union of Great Britain and BMS World Mission.
EAST MIDLAND BAPTIST ASSOCIATION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST DECEMBER 2023 EMBTC Small Building Project Grants rhe East Midland Baptist Trust Company {EMBTC} established the Small Building Project Grant fund to support EMBA churches in the maintenance, renewal and development of theirchurch buildings. During 2023, EMBTC have awarded five Small Building Project Grants to assist with the following projects.. Buckminster Road Baptist Church, Leicester- Refurbishment of three rooms for community use. Central Baptlst Church, L8icester- Garden projecL Market Bosworth Free Church, Leicestershire- Damp proofing course. Melton Mowbray Baptist Church. Lelcestershire- Community Church Garden. Swanwiok Baptist Church, Derbyshire - re-roofing, replacing entran door, insulation and damp proofing EMBA Retired Baptist Ministers, Network (RBMN) Around 90 Baptist Ministers have "retired" in the East Midlands. A clear pattern for our Retired Ministers, Network has emerged as some prefer to meet by Zoom only, some enjoy both Zoom and in-person gatherings, some engage only very occasionally, and some not at all. It has been good, in 2023. to see many of these Ministers, long or rnore recently retired, supporting our gatherings. We will continue to facilitste fijrther activities for this network. EMBA Ministry Recognition Committee (MRC The Ministry Recognition Committee primarily works with those who are exploring a call to ministry across the EMBA. In 2023 we had the prrvilege of meeting with four individuals who were exploring a call to accredited ministry. One was exploring a call to be an accredited pastor, and three were exploring a call to be a fully accredited minister with the Baptist Union of Great Britain. Of these three, one was already undertaking training at College, one was looking to go to college in 2024. and one was a reinstatement to the accredited list following a return to the United Kingdom. The MRC were delighted to commend all four to the Baptist Union. In November 2023. the EMBA joined with the Yorkshire Baptist Association and with St Hild College to host an online 'explore your call event, for individual's we are in the early stages of asking what God might be asking of them, and whether this might include some form of ministerial foimation. MRC is comprised of representstives from the regional team, EMBA ministers, and others who have been appointed by our churches. We are grateful for the work and time that they give to this group.
EAST MIDLAND BAPTIST ASSOCIATION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST DECEMBER 2023 Grants Group In 2023, EMBAwere able to continue to fund three Mission Grants and Pioneer Mission Grants to support church and pioneer ministry and EMBA ministers-in-training with Minister-in-Training Training Grants {MIThG}. In recent months, the Regional Team have undertaken a review of the mission grant and pioneer mission grant criteria, process and requirements. The outcome of the review has been the creation of a new Grant. a Mission Partnership Grant, available to help a Baptist Church, pioneering ministry or ecumenical partnership including Baptists. to engage effectively in mission by supporting a minister, minister in training, or other workers. At the heart of the Mission Partnership Grant (MPaG) is a more active approach involving genuine partnership beeen each grant recipient and the EMBA, mainly expressed through a Mission Accompanier {MA) who will journey with the rninistry throughout the grant period. The grant aims to encourage and support a ministry to become thoroughly missional in nature, to foster accountsbility and also increase the likelihood of long-term financial sUStainabiSity. Safeguarding As followers of Christwe have a Gospel responsibility to ensure thatwe are giving of our very bèst to all those I we welcome amongs+ us and that we do so within an atmosphere of safety and security. During the past year we have continued to see a high demand for safeguarding training and it has been encouraging to see several of our churches reaching out and seeking Association support with safeguarding policy and practice that have not previously. During the past year we have also sought to improve the safeguarding training booking process., the move to online bookings and payments using Churchsuite having created a much easier and simpler administrative process for everyone. A total of 52 trainings were held during 2023 (32 Level Two trainings and 20 Level Three trainings) resulting in over 1000 ministers, leaders and church workers receiving training across our regionl Further information about safeguarding trainings can be found on the EMBA website. The Association was also delighted to announce the appointment of Mr Kenny Henry as our first paid Safeguarding Lead for the Association. Kenny join&J the Regional Team and commenced this new role in November 2023. Initially, Kenny has focused on the safeguarding case file and assisting Ghurches with safeguarding concerns but over the coming year. he will also be taking over all of the safeguarding administration. During the year, we were pleased to be able to resource those in our churches who have taken on the role of Designated Person for Safeguarding (DPS). In July we were joined by Rachel Stone and Nicky Gibbard from the National Safeguarding Team who led a training day specifically for Church DPS'S. The day was wèll attended and received significant positive feedback, with DPS'S reporting feeling supported, encouraged and better equipped in their role going foard. The Association hope to provide an annual training day for DPS'S with plans underway for 4Ynother event in the Autumn of 2024. EMBA Training The Association continues to deliver a wide range of resources to help churches. These include the Re,imagine and Rooted programs. Re:itnagine takes participating churches through a 0-year learning and development process Imeeting roughly every six months) and encourages leadership teams to reflect on areas of culture, leadership, discipleship and mission so that they are better equipped to engage with the communities they are part of and be kinadom focused churchks. While Rooted is the EMBA'S commitmentto equip ministers and leaders for contemporary ministry and to help churches engage in mission and ministy in our ever-changing world. There are plans to deliver the CPAS Growing Leaders Course, which aims to help develop emerging and existing leaders. This course focuses on ihe Characteristics and skills of Christian leadership ar4d combines teaching, mentoring and practical application.
EAST MIDLAND BAPTIST ASSOCIATION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST DECEMBER 2023 EMBA Ministers, Conference As in previous years, we continue to hold a Ministers Conference in February. There is a growing sense among ministers that the conference is drawing them closer together and is a significant time for in their ministries. We encourage ministers and churches to invest in these days as a priority for challenging, refreshing, learning and enabling that will have an impact back home in our Ghurches. RESERVES POLICY The Directors have determined that the minimurn Reserves required to be maintained are equivalent to three months, pay in lieu of notice for all paid staff plus an equal amount for contingencies. RISK REVIEW A review of the major risks which impact on the work of the Association has been undertaken and prOdureS have been established to manage the risks identified. TRUSTEES The Trustees of the company during the year and at the date of this report were: Moderator: Company Secretary.. Treasurer. (ex officio) Revd Mark Clay(ex officio} Revd Martin Hills Revd Matthew Jones Rev David HaNey Mrs Becky Nicholls (non-voting) Mr A Smallridge Mrs Eleanor Cox Mrs Kay Mcmanus Revd Hannah Colk STATEMENT OF TRUSTEES, RESPONSIBILITIES Company Law requires the Trustees to prepare financial statements for each financial year which give a Irue and fairview ofthe state ofaffairs of the Association and OT Its eXsS or deficiency of income over expenditure for that period. In preparing those financial statements the Trustees are required to.. Select suitable accounting policies and then apply them consistently. Observe the methods and principles in the Charities SORP. Make judgements and estimates that are reasonable and prudent. State whether applicable accounting standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements.. and Prepare the financial statements on the going Conrn basis unless it is inappropriate to presume that the charitable company will continue in operation. STATEMENT ON PUBLIC BENEFIT Our main activities and who we are and the objectives of the charitable company are described above. All our charitable activities focus on the promotion of the Evangelical Chrtstian Religion and the support of its Ministers, Lay pastors and Churches connected with the Baptist denomination and are undertaken to further our charitable purpose for the public benefit. The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Association and enable us to ensure that the financial statements comply with the Companies Act 2006. We are also responsible for safeguarding the assets of the Association and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
EAST MIDLAND BAPTIST ASSOCIATION REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST DECEMBER 2023 STATEMENT OF TRUSTEES. RESPONSIBILITIES (Continued) This report has been prepared in accordance with Accounting and Reporting by Charitie5. Statement of Recommended Practice and Reporting by Charib'es SORP 2019 (FRS102) in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small entities. SIGNED ON BEHALF OF THE TRUSTEES Dated". F4PrY 2£)2Lk .
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF EAST MIDLANDS BAPTIST ASSOCIATION I report on the accounts of the company for the year ended 31st December 2023 which are set out on pages 12to 19. This report is made solely to the Charity's Trustees as a body, in accordance with Section 145 of the Charities Act 2011. My independant examination work has been undertaken so that I might state to the Charities Trustees those matters l am required to state to them in an Independent Examinerfs Report and for no other purpose. To the fullest extent permitted by law, I do not accept, or assume responsibility to anyone other than the Charity and the Chanty's TruStS as a body, for my Independent examination work, for this report, or for the opinions I have found. Responsibilities and basis of the report As the Gharity's Trustees of the company (and also its Directors for the purposes of company lawl are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ("the 2006 Act"). Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination. I report in respect of my examination of your charity's accounts as carried out under section 145 of the Charities act 2011 I'the 2011 Act.). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(51(b) of the 2011 Act. Independent examlner's statement Since the company's gross income exGeeded £250,000 your examiner must be a member of a bocly listed in section 145 of the 2011 Act. I confirm that l am qualified to undertake the examination by because l am a member of The Institute of Chartered Accountsnts in England and Wales, which is one of the listed bodies. I have completed my examination. I confirm that no matters have come to my attention in connection with the exarnination giving me cause to believe.. accounting records were not kept in respect of the company as required by section 386 of the 2006 Act, or 2. the accounts do not accord with those records" or 3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of the independent examination.. or 4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recomrnended Prath"ce for accounting and reporting by Charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102). I have no concerns and have come across no other matters in connection with the examinatiori to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. Name A R R PRICE FCA Chartered Accountant For and on behalf of ARR Price Limited 17 Newstead Grove Nottingham NG14GZ Date:.....
EAST MIDLAND BAPTIST ASSOCIATION STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31ST DECEMBER 2023 {Including Income and Expenditure Aetount) Restricted Unrestricted Deslgnated Endowed Funds Funds Funds Total Funds 2023 Total Funds 2022 Note INCOME from Charltable activities BU Operational Funding BU Home Mission Funding Donations and legacies Proceeds from Sale of Closed Churches Ministers Conferen Preaching Contn"butions Sundry Income Investment Income Rental Income 182.651 182,651 134,095 119,668 7,954 13.546 12,953 3,184 16,879 34,249 9.308 259,224 12,953 3,184 16,894 41.970 9,308 266,960 3,320 13,508 46.896 7,374 15 7,721 TOTAL INCOME 7,736 346.361 EXPENDITURE ON CHARITABLE ACTWITIES Employment Costs Manse Costs Travel Costs Training Ministers Conference Other Conferences, Commtttees and Meetings Home Mission Grants Grants and Donations Church Relations Office Costs Inc. Printing and Photocopying Technology and Telephone Insurance Depreciation Lagal and Professional Sundry Expenses Subscripbons Closed Church costs Governance Costs Independent Examinerfs Fee Insurance Finan Cost (Pension deficit) TOTAL EXPENDITURE 154,044 26.098 11,181 11,077 11.745 4.314 88.317 2,498 154.044 26,098 11,181 11,077 11.745 4,314 88.317 11.930 908 4,665 7.277 1.868 9,345 12.249 11.414 2.244 1,615 138,416 25,116 10,551 9,744 2,795 81,101 6,075 1,043 3,876 8,752 1,654 9,017 7,467 7,278 1.9g3 1,740 9,432 4.665 7.277 1.868 12,249 10.482 2.244 1.615 932 1,644 1,330 352 511 361.571 10,364 371,935 316.811 Net Incomel(Expenditure) for the year beforè other recognised gains (102,347) {2,6281 {104,975) 29,549 Transfers between funds 773.615 (773.615) other R8cognised Losses on Investrnents 19,070 2.631 21,701 (104,270) Actuarial gainslllosses) on defined Benefrt sCme 37,067 Net Incomel{Expenditurel for tho year and Net Movement in Funds 69).338 780.494 1773,6151 773.615 <83,274) 1,767,432 137,654) 1,805,086 1,767,432 Balances at 1st January 2023 Balances at 31st December 2023 213.323 11-13 1.470.832 213.326 1,684.1S8 All of the Charity'8 activities are derived from conb"nuing activities. 10
EAST MIDLAND BAPTIST ASSOCIATION BALANCE SHEET AT 31ST DECEMBER 2023 Company Number 4302466 2023 2022 Note Fixed Assets: Tangible Assets Current Assets Debtors Cash on Deposit Cash at Bank 5,334 11,420 623,038 1.007,365 82,417 1,712,820 1.746,081 15,535 1,761,616 Creditors Falling due within one year 33.966 5,562) Net Current Assets 1,678,854 1,756,054 Total Assets Less Current Liabilities 1.684.188 1,767,474 Provisions for liabilities Defined Benefit Pension Scheme Deficit Liability (301 (42) Net Assets 1,684,158 1,767.432 Funds Unrestricted: General Designated Restricted- 1.470.832 780,494 773,615 131,330 81.993 12 13 129,801 83,525 Endowed.. 13 TOTAL CHARITY FUNDS 1,684,158 1.767,432 For the year ended 31 st December 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies. Oirectors. responsibilities= The members have not required the company to obtsin an audit of its accounts for the year in question in accordan with section 476: and The Directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts:_ These accounts have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small entities. These accounts were approved by the Directors and authorised for issue on and are signed on their behalf by:" girlo-J+ . L .FJck4L. R Nicholls,. Secretary allridge Treasurer The notes on pages 12 to 19 form part of these accounts. 11
EAST MIDLAND BAPTIST ASSOCIATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2023 1. ACCOUNTING POLICIES Constitution The Charity is a company limited by gu8rantee, incorporated in England and Wales company number 4302466 and a registered Charity number 1094457. The registered office is Wèst Bridgford Baptist Church, Melton Road, West Bridgford. Nottingham NG2 7NF. Accounting Convention The financial ststements have been prepared under the historical cost convention in accordance with Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland SORP 2019 (FRS102) and the Companies Act 2006. The East Midlands Baptist Association meets the definits'on of a public benefit entity under FRS{102). The presentation currency is £ Sterling Preparation of the Accounts on a Going Concern Basis The Trustees considerthat the Charity can continue as a going concem for at least the next 12 months and accordingly the accounts are prepared on a going concem basis. Key assumptions and judgements Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Multi*mployer defined benefit plan On 1st July 2022 an agreement was signed with Just Group to secure DB plan member's pension benefits as a 'buy in policy,, providing financial backing for all DB pensions provided through the Scheme's DB plan. The time to complete the exer¢ise of setting up individual pension arrangements is anticipated to complete over the next couple of years_ Until the buy-out and wind up are complete not all risks relating to the DB plan are removed. The UnrtaIntieS include: the sale values that will be achieved on disposal of residual investments., the costs of operating the DB plan until completion of the buy-out PrOS$,. the costs of the buy-out process: and the cost of making any amendments to the DB plan to enable the buyout to proceed. It is expected that the assets of the DB plan will be sufficient to cover all costs and liabilities that remain. However, it is possible that if things turn out worse than anticipated that further ndS will be needed from employers. The Trustee and the Baptist Union have agreed that deficit reduction contributions will reduce to £1 per month until June 2026. Currently, they do not anticipate reinstating the requirement to pay the full deficit reduction contributions in the future. but cannot rule Ihis out at this stage. Consolidation In the opinion of the Trustees, the company and its subsidiary undertaking comprise a small group. The company has taken advantage of the exemption provided by Section 398 of the Companies Act 2006 not to prepara group accounts 12
EAST MIDLAND BAPTIST ASSOCIATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2023 Incom8 Recognition Income from grants, donations and other voluntary income are recognised on a receivable basi5. Proceeds from the sale of closed churches is recognised when notified of entitlement to the funds has been established. 1. ACCOUNTING POLICIES continued Expenditure on Charitable Activiti8S Expendituie is included on an accruals basis inclusive of any VAT that cannot be recovered. Expenditure primarily relates to staffing and support costs to enable the Charity to support Baptist Church Gommunities in the East Midlands. The support is wide ranging and involves pastoral care of ministers and churches, support for outreach. youth work, training, payroll service and finance. The Charity also makes a number of grant Payments through its Home Mission Grants to support ministries across the region. Included with charitable actfvlties are governance costs that are associated with constitutional and statutory requirernents and the strategic management of the Charities activities. Tangible Fixed Assets The Charity is not the owner of any properties. It has an interest in properties owned by the East Midlands Baptist Trust Company to the value of £408,250. Depreciation is provided at 330/0 on cost to write off Offi and IT equipment over its estimated useful life. Investment Policy Investments are held in the name of the East Midland Baptist Trust Company Limited wherethey are shown at fair Value and managed by means of a mix of Gilt Edged Securities and high interest deposits so as to meet the ongoing needs of the Charity. Oebtors Debtors a recognised at the settlement amount. Prepayments are valued at the amount prepaid. Cash at bank Cash at bank and in hand includes cash and shortterm highly liquid investments with a maturity within 12 months of the Balance Sheet date. Creditors and Provisions CredÈtors and provisions are recognised where the Charity has a present obligation resulting from a past event that will probably result in a transfer of funds to a third party at the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount. Fund Accounting Unrestricted funds- are available to spend on activities that further any of the purposes of the Charity. Designated- funds are funds set aside by the Trustees out of unresL"ictecl ftjnds for specific purposes or projects. Restricted funds - are funds that can only be used for a particular restricted purpose. The restriction may be declared by the donor when making the gift or may result from the terms of an appeal. Endowment funds- are resources received by the Charity that represent capital and that Charity law requires the Trustees to invest it or retain and use it for the Charity's purposes. In respect of permanent endowments the Trustees have no power to convert li into income and apply it. Whereas, expendable endowments the Trustees do have this power. Expenditure that meets these criteria is h2rged to the appropriate fund. 13
EAST MIDLAND BAPTIST ASSOCIATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2023 Voluntary Assistance The Charity has not made any financial consideralion forthe voluntary help it has received during the year, nor is it able to quantify such assistance. 1.ACCOUNTING POLICIES continued Pension Schemes Multi-employerpension scheme The Association is a member of a multi-employer scheme. Vvhere it is not possible for the Association to obtain sufficient information to enable the Association to enable it to account for the plans as a defined benefit scheme. it accounts for the plan as a defined contribution scheme. Vvhere the scheme is in deficit and where the association has agreed, with the scheme, to participate in a deficit fjjnding arrangement the Association recognizes a liability for this obligation. The amount recognized is the net present value of the contributions payable under the agreement relating to the deficit. The amount Is expensed in the Ststement of Financial Activities. A liability for the agreed deficit funding has been provided in these accounts. Defined contnbution scheme The Association operates a tjefined contribution %heme for employees. Contributions payable are recognized in the Statement of Financial Activities when due. 14
EAST MIDLAND BAPTIST ASSOCIATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2023 2 DONATIONS & LEGACIES Restricted Total Unrestricted Endowed Funds Funds Funds 2023 Total Funds 2022 Donations Legacies 1,500 6,454 7.954 3 EMPLOYEES AND TRUSTEES Staff Costs 2023 2022 Salaries Employers Nl Pension Cost5." Defined Pension Scheme 131,577 8,768 14,783 26,326 118,301 6,823 13,292 25,116 Other Costs (Council tax, water and accommodation} 179,454 163.532 No employees have emoluments about £60,000. The average number of employees is 5. Five Trustees were reimbursed expenses for travelling cOnferenS and other expenses of £1,214 (2022". £6,109 number of trustees reimbursed was 5) Trustees receiving remuneration is the Regional Minister Revd M Clay consisting of'.- Remuneration £39,750 Employer Pension Contributions £4,688 Manse £4,677 The Memorandum of Association of the Charity provides for remuneration and benefits to be paid to those appointed as Regional Ministers of the Charity. Remuneration if paid to the Regional Ministers as fully accredited Baptist Ministers of the Baptist Union of Greal Britain. to exchange information, provide advice and support to churches and to their ministers and leaders to enable the Charity to further is objects. 4 EXPENDITURE OF CHARITABLE ACTIVITIES 2023 2022 Home Mlsslon Grants Homé Mission Grants to Churches 88,317 81,101 Other Grants to Churches {reslricted) other Grants to Individuals (designated) 9.432 4,125 1,950 9.432 6,075 The grants to individuals are in support of theolc#3ical training, spiritual courses and benevolent payments. S NET INCOME FOR THE YEAR IS STATED AFTER CHARGING 2023 2022 Independent Examiner's Fee Depreciation Profit on disposal of assets 1.644 9,345 1,330 9,017 15
EAST MIDLAND BAPTIST ASSOCIATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2023 TANGIABLE FIXED ASSETS Computer and Office Equipment At cost 01.01.23 Additions Disposals Cost 31.12.23 47,OWJ 3.259 50.349 Depreciation at 01.01.23 disposals for year 35.670 9,345 45,015 Net book value at 31.12.23 5,334 DEBTORS 2023 2022 Amounts owed by group undertakings Inter-company Account (Note 141 Prepayments and accrued income 594,301 28,737 623.038 1,745,011 1,070 1,746,081 CREDITORS - Amounts falling due within one year 2023 2022 Accruals for gfants payable Other creditors and accruals Incom8 in 8dvan Taxation and Social securty 8.833 8.856 12,745 3.532 2,762 2,800 33.966 6.662 9 PROVISION FOR LIA81Lrr: 2023 2022 Defined Benefit P8n$ion Scheme Deficit Liability Balance Sheet Liability at 1st January 2023 Deficiency Contributions paid Interest Cost Change in abilIty 42 {121 42,006 {5.4081 511 {37,0871 Balan¢e as at 31st Decembèr 2023 30 42 10 ANALYSIS OF NET ASSETS BY FUNDS Unrestricted Rastrictsd Funds Funds Total 31st December 2023 Fix8d Assets Current Assets Currènt Liabilities Provision5 for Liabilities 5,334 1,499,494 133.966) (301 5,334 213.326 1.712,820 133,9661 1.470,832 213,326 1.684,158 31st December 2022 Fixed Assèts Current Assets Current Liabilities Provisions for Liabilities 11,420 1,552,861 15.562) 142) 11,420 208,755 1.781,616 (5.5621 42 1.558.677 208,755 1,767.432 16
EAST MIDLAND BAPTIST ASSOCIATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2023 11 UNRESTRIGTED FUNDS Balance al Incoming Outgoing 01.01.23 R•sources Resources R•alisad Trdnsfers Gains Balance at 31.12.23 Unrestricted Funds 780,494 259.224 361,571 19.070 773.615 1.470 832 12 DESIGNATED FUNDS Balance at Incoming Oirtgolng 01.01.23 Resources Resources Reallsed Transfers Gains Balancè #t 31.12.23 Pioneer Ministy Fund Regional Ministry FurKI Pension Resetve Fund 175,573 125.OLXI 473.042 (f 75,5731 (125,Cfj)) 473,042 773.615 773,615 13 RESTRICTED AND ENDOWME FUNDS Batance at Incorning Outgoing 01.01.23 Resoujres Resources Realised Transfe Gains Balance at 31.12,23 Restrlcted Benevolent Fund Hunt Legacy Thos Cookè Trust Sutton in Ashfield Le[ster Ass Peterborough Chaplaincy Burton on Trent 87.451 11.151 14.585 5,232 10.782 3,154 396 502 194 400 18 61 14,80n (932) (2.125) 1,075 135 171 86,873 10,750 13.133 5,492 11,318 508 1.727 136 21 131,330 4.725 1.610 129,801 Endowments Hart Foundation MidlandlPegg Fund RoundlKeywood Trust Doric Trust Kniplon Trust 45,747 18.652 12.048 1,666 692 447 172 (2,500) 563 236 152 59 11 45,476 19,580 12,647 4,871 951 906 81,993 1011 Z.500 1.021 83.525 TOTAL 213.323 7.736 110,3641 2.631 213.326 Explanatory Notes The Pioneer Mini5ty FuTrJ has been Ixeated lo set aside resources for mission projects ¢uryentty under consi¢Jeralion and those in the future (e.g. Church Planting). The Regional Ministry Fund h85 been cRated during the present uertaInty of hjture A55ociation funding to contribute towards thè potèntial budgèt defJcrf( over the ne%1 5 years. A fund to be used for churches who get into financial drfficuty with their p8nsion fund dèfkit or dosed churchès where Éhe pension defiat is higher than their assets The above deslgnated fund5 are no longer needed and have been transferred back into general fijnds. The BenevOnt Fund is used to relieve finala1 distress amongst Baptist Ministers aTrYor their dependants in the event ol incapacf(y or death. 17
EAST MIDLAND BAPTIST ASSOCIATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2023 13 RESTRICTED AND ENDOWMENT FUNDS (Continued) The Hunt Legacy is used to support work amongst women. with a preference for Derbyshire. The Thomas Cooke Fund is a legacy supporting ministy within the Loughborough District. The Sutton in Ashfield Fund is to be used for the advancement of Baptist work in Nottinghamshire. Leicester Association Fund - This presents the residual fijnds of the Association to be used to support the ministy in Le[Ster. The Peterborough Prison Chaplaincy Fund is a fund to support the ministry at Peterborough Prison. The Burton on Trent Fund is to assist young people to attend Baptist events. The income from the Hart Foundation supports the educab.on of Baptist Associats'on area. The MidlandlPegg Trusts provide grants for those in theological training. mlnlo The income from the Round, Keywcrf)d. Doric and Knipton Trusts are distributed to various causes. 14 RELATED PARTIES a) East Midlands Baptist Trust Company The East Midland Baptist Trust Company (limited by guarantee no 178555 incorporated in England and Wales. Charity Number 250068) is a wholly owned subsidiary. DirectcKs are appointed by the board of its holding company. The financial results of East Midland Baptist Trust Company are: _ Gross assets are £1.757.668 (2022: £2,861.557) liabilities are £595.302 (2022: £1,748,402) wtth total net funds £1,162,366 {2022: £1,113,155). Totsl income amounts to £65,064 (2022.. £33,869) and expenditure of £40,564 (2022 £28.260) wrth net gains on investments of £24.711 (2022:Loss £119,586) resulting in a surplus for the year of £49.211 (2022: Defictt £113,977). Beneficial ownership of the propety and investment assets of the holding company is vested in the Trust company and recognised through the balan on inter-company account which is shown in debtors. Assets which represent the balances are:_ 2023 2022 Property at Cost Deposits and Investments 408,250 186,052 408,250 1,336,761 594.302 1.745,011 b) Baptist Union of Great Brttain The Association is a memter of the Baptist Union of Great Britain (BUGB). Durtng the year, it reiVed grants from the BUGB as follows". 2023 2022 BUGB Operational Funding Home Mission Funding 182.651 134,095 119,668 182,651 253,763 c} Rent was paid to West Bridgford Baptist Church in respect of rent of the Association offices amounting to £2.160 (2022..£2,160) 18
EAST MIDLAND BAPTIST ASSOCIATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2023 15 Pensions (Continued) Baptist Pension scheme - Defined Benefit Plan On 1st July 2022 an agreement was signed with Just Group to secure DB plan member's pension benefits as a 'buy in policy,, providing financial backing for all DB pensions provided through the Scherne's DB plan The time to complete the exercise of setting up individual pension arrangements is anticipated to complete over the next couple of years. Until the buy-out and wind up are complete not all risks relating to the DB plan are removed. The uncertainties include: the sale values that will be achieved on disposal of residual investments- the costs of operatj'ng the DB plan until completion of the buy out process., the costs of the buy-out pross. and the cost of making any amendments to the DB plan to enable the buy-out to proceed. It is expected that the assets of the DB plan will be sufficient to cover all costs and liabilities that remain. However, it is possible that if things tum out worse than anticipated that further funds will be needed from employers. The Trustee and the Baptist Union have agreed that deficit reduction contributions will reduce to £1 per month until June 2026. Currently. they do not anticipate reinstating the requirement to pay the full deficit reduction contributions in the future. bLrt cannot rule this out at this stage. 19