Registered Charity Number Company Number 1097842 4758640 COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Reference and administrative details Name Council for World Mission IUKI Registered Charlty Number 1097842 Company Number 4758640 Principal Office 11 st Georges Circus London SE18EH Registered Officè BWB Secwtsrial Liinited 10 Queen Street Place, London EC4R 1 BE Governing Instrumènt Council for World Mission was registered as a charity in suecession lo its unincorporated predecessor on 5 June 2003 and as a company limited by guarantee on 9 May 2003. The governing document is the Articles of Association as amended by special resolutions dated 25 July 2003, June 13, 2012 (which added "{UKI lo ils namel and August 24, 2012. Trustees and Directors Meetings of the Trustees held during 2021 were on the following dales.. Trustee 23-Mar-21 8-lun-21 17-Nov-21 Mrs Rose Althea Wedderburn Rev Giron Samely Lyttan Rev Kudzani Ndebele Ms Lindsey Brown Ms Sarah Phua Yiran Rev Phillip Leslie Klng ointed 17 une 2021 They are also directors of the company during 2021 and did not receive any remuneration for their services as Twslees. Senlor Management Personnel The Charity's Trustees delegate day-to-day management of the Charity lo ils chief executive officer (General Secrelaryl, Rev Dr Joosetsp Keum '. and other senior management.. Rev Dr Jooseop Keum" General Secretary lappoinled with effect from 1 July 20211 Rev Dr Collin Cowan. General Secretary lemployment contract expirecl on 31 Ocl 20211 Mr Sum Soon Yew- Mission Secretary, Finance {appoinled with effect from 19 April 20211 Rev Dr Peter Cruchley- Mission Secretary, Mission Development Ms Fiskani Joy Nyirenda Mission Secretary, Communications Ifesigned on 31 Dec 20211 Rev Sindiso Jele- Mission Secretary, Africa region Rev Julie Sim- Mission Secretary, East & South Asia regions COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Rev Michael Jagessar- Mission Secretary, Europe region Rev Nikometo Sopepa- Mission Secretary, Pacific region Rev Dileep Kumar K8ndula Secretarial (appointed 1 Sep 20211 Mission Secretary. General "The individuals noted above are Gonsidered lo be Key Management Personnel of CWM UK. Auditors MHA Maclntyre Hudson 6lh Floor, 2 London Wall Place, London, EC2Y SAU Bankers Royal Bank of Scotland Victoria, London SVV1 E 6RA HSBC The Peak, 333 Vauxhall Bridge Road, Victoria London SWIV 1 EJ Investment Advisers Cambridgè Associates Limited 80 Victoria Street, Cardinal Place. London SW1 E 5JL Fund Managers Aviva Investors CCLA Investment Management Limited First Sentier Investors Franklin Templelon Investments Fundsmith LLP Ownership Capital B.V. Payden & Rygel Investment Management Royal London Asset Management RobecoSAM Sustainable Water Strategy Acadian Asset Management Savills Investment Management TCI Fund Management Tybourne Capital Management IHKI Limited Generation Investment Management ROW Asset Management RBC Wealth Management 10. 12. 13. 14. 15. 16. COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Solicitors 8ates Wells & Brailhwaite LLP 10 Queen Street Place, London EC4R 1 BE Sole Membership Council for World Mission Ltd, ICWM Lldl is the sole Member of Council for Vvorld Mission IUKI ICWM UK) and il has the same charitable objectives, The member churches of CWM Ltd are.. Africa Region Church of Jesu8 Christ in Madagascar {FJKMI Churches of Christ in Malawi ICCMI United Church of Zambia (UCZI United Congreg21ional Church of Southem Africa IUCCSAI Uniting Presbyterian Church in Soulhem Africa IUPCSAI Caribbean Region Guyana Congregational Union {GCUI United Church in Jamaica and the Cayman Islands IUCJCII East Asia Region Gereja Presbyterian Malaysia IGPM} Hong Kong Council of the Church of Chllst China IHKCCCCI Presbyterian Church of Korea IPCKI Presbyterian Church of Myanmar {PCMI Presbyterian Church in Taiwan IPCT) Presbyterian Church in Singapore (PCS) Europe Region Congregational Federation ICFI Presbyterian Church of Wales IPCW) Pioleslant Church in the Nelhor5ands IPCNI Union of Welsh Independents lUWI} United Reformed Church IURCI Pacific Reglon Congregational Christian Church in American Samoa ICCCASI Congregational Christian Church in Samoa ICCCSI Congregational Union of New Zealand ICUNZI Ekalesia Kelisiano Tuvalu IEKTI Elarelia Porotetani Maohi IEPMI (Tahilil Kiribati Uniting Church IKUCI Nauru Congregational Church {NCCI Presbyterian Church of Aotearoa New Zealand IPCANZ} Uniled Church in Papua New Guinea IUCPNGI United Church in Solomon Islands IUCSII South Asia Region Church of Bangladesh ICOB) Church of North India (CNII Church of South India ICSII Presbyterian Church of India {PCII COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 The member churches meet in a lull Assembly every four years and work closely together throughout the Inleivening years in supporting each other lo deliver the range of Mission-focused activities ouuined in the CWM stmteg1c plan wllhin their respective church communities. The Charity's Tru51ees work in close as5Dcialion wlh CWM Ltd, four of the Trustee5 listed above are also Directors of CWM Ltd which is a charitable organisalion limited by guarantee, registered in Singapore under registration number 201206146Z with ils office addiess al 114 Lavender Street, #12-01 CT Hub 2, Singapore 338729. CWM Ltd is regulated by the Singapore Commissioner of Charities and is the Sole Member of CWM UK. CWM UK 18 the sole member and hence has 1000/D ol the members, voting rights of the London Missionary Society Corporation {company registration number 000639341 and Commonwealth Missionary Society Corporation (company registration number 000544721. These companies are limited by guarantee and registered in England & Wales, and hence are wholly Controlled by CWM UK. Both companies were dormant and have not traded for many years. Audlt, Finance and Investment Committees The charity is served by qualified and experienced members of lal an Audit Committee Ibl a Finance Committee and Icl an Investment Committee. The Board appoints the members lo the three commillees, which meet regularly and exist to assist the Trustees in discharging their oversight and govemance responsibililies. Audit Cornmittee The purpose of the Audit Committee is to support the Board of Trustees to ensure the charity is managed efficiently and that the organisalion makes full and effective use of ils resources in furtherance of its charitable objeclives, and to advise the management team on the adequacy of risk management and financial governance processes. The Committee gives particular allention lo the annual audit findings, internal controls and legal compliance issues and il highlights Material items of concern and monitors the follow-up on recommendations arising from audits, reviews, and risk assessments. Finance Committee The purpose of the Finance Committee is lo assist the Trustees lo oversee the charity's financial risk management strategy, accounting policies, treasury, and budgeting mallers and lo provide guidance in respect of all major financial matters including the ongoing monitoring of the organisalions financial performance. Investment Committee The Investment Committee is responsible for assisting the Trustees in providing the oversight and ongoing review of the organisalion's investment portfolio and monitoring of the fund managers, performance. COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Objectives of the Charitable Company CWM UK is a charity registered in England and Wales which acts to fulfil the commitment of a partnership of 32 protestant churches worldwide known as Council for World hnission ICWMI. The objeel of the Charity for public benefit is'lo spread the knowledge of Christ throughout the world" that is lo say, lo further the work of Christian mission throughout the world". To this end, the charitable Company has the power to: carry on, strengthen and extend the missionary work of CWM and its membets,, help churches lo proclaim the Gospel by sharing resources, faith, and understanding in this work and witness., o-operale in missionary services with other churches and with those ecumeni¢al entèrprises In whlch the churche5 share,. and be involved in any activities which further its objective. The member churches share in world mission, both local and global, by sharing people, ideas, and other resources, recognising that every church has gifts lo offer and all have need lo receive. Tre objects of the Charity are lurlher clarified by its vision and mission slalemenls as follows.. Vision.. °Fullness of life through Christ for all creation Mission-. "Called to partnership in Christ to mutually challenge, encourage and equip churches to share in God's mission Hlstorlcal Background The charitable Company traces ils origin lo CWM which grew out of the London Missionary Society (founded 17951, the Commonwealth (Colonial} Missionary Society Ifounded 18321, 8nd the (English) Presbyterian Board of Mission5 Ifounded 18471. The property and assets of the iwo first-named societies were held by the London Missionary Society Corporation and Colonial Missionary Society Corporation which remain as dormant cotnpanies controlled by the Charity, With the birth of CWM, a new ideology and understanding of doing God's mission was etnbraced, which saw a movement from the donor-recipient model of missK>n, embedded in the colonial approach, to a joint ownership and mutual sharing ol resources of people, ideas and money- grounded in the biblical principle of giving and receiving. Accordingly, the Charity was set up as a wortdwide community of Christian denominations working as equal partners with a common commitment lo the Gospel of the Lord Jesus Christ. Ther8 arè CLtsrrelltly Ihirty-two1321 member churches. The Charity's philosophy is based upon the principle that the IcKal church has the primary responsibility for carrying forward God's mission. As a global body. the charitable Company exists lo lacililale resource-sharing for missiork by the partnership. Amongst other things, il facilitates the exchange of Parlners-in-mission Imissionariesl bebNeeR chuiches,. shares ideas and best practices for mission strategies of member churches-, strengthens leadership of churche5 through theological and mission training,. and builds up commur¢ication networks between and 2Tnong the members, regions and global offices. Particular emphasis is placed upon helping men, women and young people lo make their full contribution to church life, and upon helping member churches, in each of ils six regions, lo act in a united way, looking at issues they have in common. The impact of engaging with these activities is Myde-ranging, across the world. COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Membership CWM is founded upon consliluenl bodies, or member churches, being the churches lor associslions of churches) that participate in its work. Each member church must declare by resolution its willingness lo.. Share in the world mission of Jesus Christ., Share its understanding and experience of the Gospel with other members and to learn from them.. Send and receive people as partners-in-missDn,' and Make an appropriate contribution to the charity, based on its financial capacity or means to do so. Mosl of the current 32 member churches (listed above) havo backgrounds in the Reformed tradition. Many are united churches, Combining several church Iradilions. Member churches are all independent and autonomous organisations that do not have any formal links lo CWM in their constitutional documents. The financial records of the member churches are therefore not subject to consolidation within the CWM group accounts. HoweveT, through the submission ol their annual accounts, the members musl demonslrale their ability to receive, monilcr, and use the shared resources distributed through the worldwide partnership for the slated and agreed objectives. Governance and Role of CWM UK CWM UK discharyes the responsibilities of the Charity in accordance with ils Objects, through CINIM Ltd, which operates trom the global office in Singapore with subsidiary offt'ces in London and South Africa and two representative offices in the Caribbean and the Pacrfic. The Trustees usually meet three times a year to translate the Charity's vision into achievable aims, designating those activities to the responsible parties and deciding upon the desired timeframe, Before each meeting, the Trustees join in the meeting of the Board of Directors ol CWM Ltd where they participate in the discussion of all matters on CWM Lld's agenda including but not limited lo programme planning and delivery, financial management, governance, and overall accountability. In this way, the Trustees are privy lo the operations of CWM Ltd which has the responsibility of carrying out the charitable objects of the Charity, with the Charity providing funding for all the activities of CWM Ltd. Policies, Activitles, and Achievements The Charity. through CWM Ltd, encourages member churches lo be acllvely involved in mission partnership with others, particularly to empower women and young people for mission, and encouraging the principle that no church is too STnall lo be a giver and no chLsfGh is loo large lo be a receiver. The charity's aim is lo accompany the member churches in pursuit of their mission in the various contexts where they function. Staff are engaged in the affairs of CWM Ltd, the subsidiaries and regional ￿ntre8 lo implement these priorit￿, standing in solidarity with the member ehurches as they explore ways lo contribute lo personal developTnenl and community transformation, Each member church is involved in setting its strategic mission plan, appropriate lo its local context, and charitable resources are shared upon the basis of a specific strategic plan for each church. The situation in each ol the countries, in which the member churches are based, is very different, and so the mission plans are specific lo each local conlexl. To assist churches in formulating. monilorirbg, and evalualir¢g their plans, the Charity, through CWM Ltd, provides specific experiise and also facilitates regional gatherings of ils members lo constructively challenge and encourage eaeh member church lo share and develop their ideas, using input from both nearby and distant contexts. The Charty, through CWM Ltd, encourages and supports its members to take seriously the maller of solidarity and ecijmenical engagements al all levels. Hence, several solidarity engagements and partnerships with ecumenul organisalions continued in 2021 under the leadership of the General Secretary of CWM Ltd who is also the General Secretary of the Charity. COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Global mission in local contexts The strategy framework lo inform the mission of the Charity for the 2020 2029 was approved in February 2020. The overall monitoring and oversight of the implemèntation of the programme. activities and their impact, is done by the Trustee and Board al regular meetings. The major programme activities and achievements during 2021, are described below.. 5.1.1 Mission Support Programme Enabling members lo develop missional congregatK)ns is the central focus of this Programme. The Mission Development team, working with regional staff and in conjunction with the other programme teams, leads this through the following programmes and aclivilies.. 5.1.1.1 Mlssion Support Programme IMSPI The MSP, which began in 1998, provides support for member churches in developing and implemerkling 3 10 6-year strategic mission programrrEs in their contexts. CWM staff have been working closely with member churches in the formulation of their MSP proposals, through which they will be able to access CWM funding for the MSP grants. The member churches that had their MSP projects approved for the 2021 year are as follows.. GCU MSP 3., £106,392 and GPM MSP 3.. £143,496. This lotalled £249,888. The monitorirbg of MSP projects is or¢going with the submission of regular projecl progress reports trom member churches. 5.1.2 Capacity Development Programme ICDPI In 2021, despite the pandemic, member churches conlinueé lo access CWM'S COP resources through the three components of the Capacity Development Fund.. 111 Academic Accompaniment and Special Academic Accompaniment Programme., 121 Member Church Initiative for Capacity Development," and131 Management Initiative for Capacity Development as part of their overall plan lo devèlop and bulld capacity within their churches, 5.1.2.1 Academic Accompaniment Programme IAAP> The AAP facilitate5 advanced learning throughout CWM'S member churches by offering opportunities for further education, as parl of the strategy lo support Members in strengthening their capacity for missional engagement. Such opporbjnities provide for the building-up and upgrading of theological faculty,. development of Strat￿lC leadership., and the acquisition of specifi¢ skills ft)r emerging issues in mission. In 2021. eight 181 rNembeT churches (PCI, CSI, URC, GPM, UPCSA, UCCSA, FJKM, and PGWI were suptK)rted, thereby enabling 30 individuals lo undertake advanced studies in keeping with their churches. long-lèrm capacity development plan. Most of the students are Studying within their own countries andlor [￿lOnS which will provide a better understanding of their local contexts, The topics of study and research for the five151 PhD sluder¢ls include.. study of Old Testament text to subvert the present social problem of Indian society and propose a possible solution by drawing parallels from the Bible,. Study on the purposes of economic empowerment lo the disadvantaged by the apartheid regime and the current political dispensation,. study on overcoming the culture of silence as a way towaids ernpowerment in a functional perspective of Language leaching in the Malagasy conlexl. and the study on the role of Social Enlreprerneurship as the Strategy for Missional Congregations lo develop a Iheoh)gical arid practical basis for shaping local churches for worship and mission in ¢ontempor2ry Wales. The PhD programmes are part of the faculty development of the member churches, academic Institutions. as well as development of strategic leadership in the church. In addition. the 12 Masters Programmes cover advanced study on Theology and Divinity to equip the scholars as future leaders in the dioceses and ministry that remain sensitive to the theological. cultural, social, ecological aoncerns and ecumenical relations. The 12 Bachelors Programmes include wurses in Divinity and Theology. The Master5 ar¢d Bachelors scholarship programmes are parl of the respective member chLtrches' capacity development. Graduates from the MP are expected lo return and serve their churches in areas of their expertise, such as theological education, pastoral leadership, and church planting. COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 5.1.2.2 Speclal Academic Accompaniment Programme (SAAPI The SAAP offers Masters and Doclorale level study programmes lo strengthen academia and to promote excellence in theological education and mission praxis. This programme helps ID facililale different short and long-terrn study programmes and research relevant lo emerging issues lo the mission of the church. In 2021, one111 SAAP grant was given to an individual from PCI, for a research on Naga Indigenous theology as a contextu81 liberation theology lo eslablish a person-centred approach lo Its work. This is a grour¢d- breaking research as there has been very limited study that engages with sexuality within this context. 5.1.2.3 Member Church Initlatlves IMCII This is a grant aimed al resotjreing trÉMber churches to encourage and lacilitale shorl-lerm skills training and capacity development lor engagement in mission. Each member church was able lo acce8s up lo S$30,000 equivalent from this programme. Five151 member churches {PCANZ, PCS, UCZ, PCK and PCTI applied for this grant in 2021. The member-churches ulilised the MCI grants lo promote capacity development of human resources through education alld training that are responsive lo the limes., and to develop missional congregats'ons within their own contexts, in accordance with their long-lerm capacity development plans and programmes, PCANZ continues ils work with Irsining and development for the youth and women leader8. They carried out is longest running flagship training event CONNECT train, resource, encourage and inspire youth leaders and ministers within ils context. The Presbyterian Women on the other hand conducted training5 for Magri and Pasefika women to empower them to serve their communities, and the church's leadership. pcs, through the Synod Youth Council, continued with ils various pr￿TammeS lo equip the youths and young adults lo the rigour of our lailh and lo facilitate close networking with the next generation of youths and young adults, UCZ continued ils capacity building programme by training members on various areas of competency lo improve and strengthen systems for effective mission and service delivery. PCK, through the publication of the book Lordl Bring us Your Restoration promotes Stor￿ of small local churches responding lo the COVID-19 pandemic lo establish a model for overcoming crises and coexistence in the COVID-19 pandemic. A separate School Children's Worship resource will also be produced. PCT trains clergy and Say member5 for the ecumenical Leadership Fomalion- Local lo Global lo have deeper understanding ol personal faith and mission and how it relates lo locavglobal corslext, COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 5.1.3 Leadershlp Formation Programm8 (LEAFI As parl of CWM'S strategy lo influence a new generalh)n of leaders lor the advancement ol God's transformative mission, the Leadership Formation Programme (LEAFI was formulated. The LEAF programme for 2021 was intended to incorporate the Face-lo-Face, Training-in-mission programmes and a Young Women Enabling Transformation initiative. The Face-to-Face programme provlde8 an opportunity for young people to engage in contextual mission studies and experiences in a different context lo their own. The increasing threat brought about by Covid-19 pandemic starling in the early part of 2020 resulted in a Series of physical clislancing measures and travel restrictions. As a result, the Fa¢e-to-Face Programme8 are still on hold. Young Women Enabling Transformation aims lo provide safe and secure spaces for young women tts articulate their struggles and acquire skills for social analysis and critique of the structures of patriarchy, and to consider just alternative patterns of living in church and society. This workshop is on hold in view of the pandemic. 5,1.3.1 Training in Mission ITIMI Programme Through TIM, CWM has been investing in equipping young people from its member churches for inforrned, value-inspired, and effective leadership Sin￿ 1981.11 aims lo facilitate leadership development of partiC4pants through a process of aclion-refleclion, combining the illelhodology of theory and practice.. and engaginglembr2cing the cullural diversity ol the participants. Participants spènd time reading the bible conlexlually, learning about different cultures and peoples and gelling involved in practical community work. to sharpen their skills and knowledge base on different aspects of mission., and to Enable them lo lake on leadership roles and respon8ibililie8. This programme has pr(￿￿Ced outstanding leaders for both the Church and the wider society over the years. Due to COVID-19 pandemlc, the TIM programme is on hold. However, 2021 marks forty1401 years since the first TIM began in 1981, A Series ol year-long activities are planned lo celebrate the contribution of the Programme has made in all areas of the church's life and beyond. Last November, an online roundlable gathering brought together over 90 former participants, staff who supported the programme and member church leaders all over the world from dtfFerenl years and they looked back al some of their experiences and traced some of the impacts lor them that TIM has had. Several activities are for implementation in 2022. 5.1.4 Cutting Edge Mission Initiatives To discern emerging mission issues and develop appropriate responses, the Cutling-Edge Mission Initiatives ICEMII provides a platform to engage with mission from the margins" and creates space for emerging missiologi¢al thinking and practice. Activities under CEMI include A More Able Church, New International Financial & Economic Archilecture INIFEAI and investment in people through a partnership with Ecumenical Loan Fund IECLOFI International. 5.1.4.1 NIFEA (New Internatlonal Financial and Economlc Architècture) This was first initiated by the World Communion of Reformed Churches IWCRC), who invited CWM along with other ecumenical bodies to share in the journey ol imagining this new architecluie. CWM participated in framing a strategy for engagement with corporate structure5 such as the Vvorld Bank and the International Monetary Fund {IMFI as well as the education of member churches on the meaning and implicats'ons for such a move. The work has continued wlth webinars tackling key issues like Debt, Reparation and Tax Justice which have each produced lobbying statements to global institutions like the World Bank, G20 and G7. Members of the NIFEA staff learn also led a workshop al COP 26 on tax justice for reparation. Rèsearch work led by decolonial Èconomist, Dr Priya Lukka, on Gampaign models for our ZacTax proposals concluded. The NIFEA work enters a key stage now with a str8legy needed for 2022-2025. A form21 agreement was reached in August 2021 for a joint CWM-Union Theological Seminary Master of Theology ITEELI online programme. This postgraduate course is expected lo commence in 2022. One planning meeting which involved the faculty member and the registrar office of the UTS was held on 24 COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Sèp 2021 and the planning team is working on an implemenlalion plan on admission process, promotion and publlcily and online portal by CWM. The planning process is ongoing. 5.1.4.2 Logacles of Slavery The Transallantic Slave Trade has shaped the experiences and reframed the identities of millions of people in the world today, through the endemic trauma and perslsl&nl racial injustice, which found manifeslalions in political, social, cultural, economic and religious life. CWM believes that the legacies of this trade cannot be simply ignored or treated as a thing of the past. Against this background, CWM launched the Legacies of Slavery project with four aims in mind.. 111 to assess Ils own story and complicity wilh the systems of enslavement and empire., 121 lo better understand the urgency of achieving racial justice and the issues which inlersecl with it,'131 to find ways lo advocate reparation with its member churches., and14} lo discover anti-1m￿rial models of Christian mission in today's world. In 2021, the Legacies of Slavery project continued lo focus on three main areas. Stralegisino and advocating Cwfvl's reparalory commitments, which includes recommendations for ulilising the minimum £10 million financial reparation, approved by the Board,, as well as the ongoing programmatic work of CWM. The work is being expanded to also address modern day slavery as well as more intentionally address the wider ecumenical community. Secondly, harvesting and applying the findings from the Legacies research projects. The project with Ihe Oxford Centre for religion and Culture completed its first project in 2021 on children and racism and moved lo explore further the issues of liturgy ar¢d worship in the CWM archivè. The partner projectwilh Birkbeck College has come lo completion al the end of 2021 and steps will now be taken to advocate the findings of both projects. A new research project in the Pacific has been launched through Trinity College, Auekland, which will explore the historical issues of 'Blackbirding' ol Island people and its parallels with modern day slavery in the Pacific. Thirdly, a series of online consultations have been held lo further address, and produce materials, lo advocate CWM'S legacies work. especially in the areas of critiquing VW)iteness and building ecumenical commitment lo the wider work of anli-racism. 5.1.5 Discernment And Radlcal Engagement IDAREI DARE is an initiative of CWM lo enable the Church to be informed and grow In Its prophetic witness. Through this programme, CWM aims lo facilitate listening and discemmenl spaces where the gift of God's spirit guides prophetic responses lo, and engagement with life-denying issues of our lime. The DARE programme is implemented through an annual global consultation of academics, social activists and church leaders, airned al developing educational resouTces and lo shape the01￿1¢al thought and missional pr8xis'. and the engagement ol partners in mission lo develop context-reading material, 2imed at supporting Churches in their ongoing education and mission engagement. On ils second year irs the online platform, the e-DARE 2021 held on 25th, 27th and 29th October with the theme Rise lo Life.. Doing Theology in Public Places.. Thirty-four1341 panelist8 came together, including 24 authors, 5 poets and 5 artists from varioL¢S parts of the world and backgrounds who constantly discern the call and mission of God and cre5tDiely but radically engage with this world through thèir arts, poems. and writings. There were three (3} webinais11.5 hours per session) each day with nine191 webinars in lolal for the whole three131 days. The online p151form has made il possible for CWM lo still host gathering that engages a wide cross section of voi¢es and offer5 us another way of working that can achieve multiple goals. Two121 publications are coming out from e-DARE 2021 to be published under Lexington, they 8re."111 Talking Back lo Theologies of Empire.. Chanting Down Babylon and 121 Troubling Public Theologies.. Varlanl Voices and Vibes. 5.1.6 Partners-In.Mlsslon IPIMI Programme The sharing of people across member churches and the ecumenlcal commLJnlly 18 fundamental lo the Charity's way of working. A mission from everywhere lo everywhere Is made possible by the number of individuals who have offere(S themselves to serve in the mission field and lo support those churches. willing to send and receive them. The Charity is inspired by those who have responded lo the call to serve and is heartened by the quality of the work on the mission field,. the exlenl lo which learning and growth are taking place among the partners in mission,. and the significant ways in which the mlnlslry and mission of churches are being enriched and expanded. 10 COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Fourteen 1141 PIMS Itwo on 5hort-lerm assignmenlsl were in service as of 31 December 2021. 01 those in service, one111 person was serving in the Africa region, seven 171 were serving in the Caribbean, two121 partners each were serving in the Europe and East Asia regions and one111 partner each served in the Pacific and South Asia regions. The PIMS came from Africa151, Pacilic111, East Asia141. Europe111. Caribbean121, and South Asia111. Engagement with Member Churches An important facel of the work of CWM is in accompanying member churches in Iheirjourney towards building missional congregations. This is done largely through engagement by Mission Secretaries in the form of strategic visits, participation in CWM'S programmes, and lappirkg ork CWM'S resources - ideas, people, and funding. The General Secretary, Depuly General Secretary and Finan￿ Secretary also engage with member churches, on such strategic issues, where their presence and input serve to augment and enrich the work of Mission Secretaries. CWM Mission Secretaries oEgani5e consuttations with member churches on programm&s, financial management, and reporting,. and participate in diffeienl programmes of member churches, invited or initiated. The world continues lo endure the effects of the pandemtc throughout 2021, with lockdown measures and travel restrictions continuously changing ar¢d adjusting lo keep the viius from rapidly spreading. CWM remained committed to exploring various ways to ellgage with the member churches as we adapt into new pallerns of ways of working, and held ils first virtual General Secrelaries'(GSI Conference in October 2021. The GS Conference happens every 2 years ar¢d is an opportunity for the leaders of membei churches lo come together for networking, news sharing, worship, fellowship and reffeclion on God's mission. The General Secretary look this opportunity to address the conference and share his leadership vision and goals for CWM. Activities in the Office of the General Secretary 5.3.1 Member Church Relations Member church relations is the means through which offi'cial visits, strategic conversations and engagement with mission thinking and praxis, and ongoing information sharing, with the churches. leadership, enriches mutual accompaniment and solidarity. The continuèd impact of the Covid-19 pandemic prevented the planning and aryangemenl of travels as well as visits lo member churches and other strategic face lo face 8ngagemenls. However, various virtual gatherings and opportunities were grasped for online presence for workshops, mutual sharing and speaking engagements. The General Seeretary and Mission Secretaries utilised the online platform on a regular basis lo engage with member churches in all six regions and covering all 32 member churches, aimed al slrenglhening the partnership and furthering God's mission in the world. Several meaningftjl conversations occurred during the year, provldlng the Secretariat with opportunities to share in the shaping o15trategic missional direction of member ¢hur¢hes. The General Secretary and Mission Secretaries responded lo several speaking engagement opportunities, which included "sermons, keynote addresses, greetings, and presentations on the work ol CWM, at Churchès, General Assemblies and Synods. In this regaTd, CWM'S presence was not diminished in any significant way, notwithst8nding the absence of physical gatherings and despite Ihe di8ruplions caused by Covid-19. 5.3.2 2021- 2023 strategic Plan Further ID the previous Board's approval of the 2020-2029 Strategy Framework, the CWM 2021-2023 Strategic plan was adopted by the Board of Directors ir¢ November 2020 which names CWM'S vision statement as °Life-flourishing Communities, living out God's promise of a New Heaven and a New Earth,, and its mission "Called in Christ lo radical and prophetic discipleship, working in parlneiship wSlh churches and the ecumenical community lo resist life-denying systems, affirm pea￿, do justice and enable life-flourishlng communities.. The following strategic goals has been identified in pursL*II of this vision and mls8ion'. Member churches being integrally involved in enabling liftrfloL*rishing communities. Partnerships slrenglhened for purposeful and tangible engagement based on CWM values. Governance, management and operational systems. work patterns, and organisalional culture improved for effective and efficient programme delivery. The Strategic Plan forms the basis for the development of Operating Plans lo be implemented by the Secretariat with the support of the Board and in partnership wlth member churches and the ecumenical 11 COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 community. This plan was designed lo lake into account the changing nature of the global landscape as the context within which God's mission is carried out. 5.3.3 Ecumenical Partnership and Solldarity Engagements Partnership within the woild church is one of CWM'S major tenet5. engages in partnership and participation with international ecumenical mission organisah.ons by sharing people, ideas, and resources. Many of CIMA'S programmes include ecumenical participation as a matter of principle and ils meTnber churches and staff also take pail in programmes of other ecumenical organisalions. Through such participation. CWM seeks lo engage with and support our ecumenical partners in contributing lo the development of missional thought and action in the wider church, CWM also benefits from the insights and expertise of the ecumenical community, some ofwhich have a much wider scope of engagement than CWM. In 2021, some of such partnerships, the majority of which are ongoing, include the General Secretary's participation as co-convenor for the Taiwan Ecumenical Forum ITEFI Core Group, as well as partNership with the All Africa Council of Churches (AACCI lo explore a programmatic and ecumenical cooperation in Africa on the issues of lile-llourishing creation and economy. CVVM continues ils collaboration with the World Co￿￿¢11 of Churches IWCCI as they convene their 11 th Assembly lo be held in Karlsruhe. Germany on 31 August - 9 September, the Assembly will be accompanied by the Global Ecumenical Theology Institute {GETII Programme, which brings together young and emerging ecumenical theologians and educators from a broad spectrum of Christian traditions and all eight regions of the WCC to engage with one another on current critical theological themes. CWM will support 10 parlicipanls selected from our member churches as well as 3 candidates from Cevaa. CWM also organizes two workshops, an exhibition during the Assembly. The General Secretaries of three sister organisalK)ns - CVWI, Cevaa and UEM. will meet in March 2022 to discuss our triangular partnership and collaboration in wo¥ld mission. As a commitment to continued solidarity with member churches, the 8oard of Directors approved a second tranche of the Covid-19 Gift of Grace for 2021. ThroL¢gh this new inilialive, each member church is able lo access a maximum of SGD 50,000. The funds will continue to SUPFx)rt member churches in their response to the Challenges and difficulties caused by the pandemic as well as enable them to develop special projects to aKI their constituencies and wider community. 5.3.4 Communication In 2021, the role of communication proved to be indispensable lo the continued tsperations of the Charity given the limited means of engagement ol our programmatic strategy due lo the Covid-19 pandemic. During the year in review, the communications team helped lo create digital spaces for the Charity's work lo continue online. In addition lo enabling programmatic work, the team helped to facilitate the meetings with various commillees and Boards. The team leveraged on the increased prominence of digital spaces and fully utilis8d CWM'S website, improved ils presence on social media platforms 2nd worked in partnership with Mission Secretaries on several productions for enhanced online programme delivery. The team further focussed on Slrenglhening internal communication amongst the staff after physical office spaces were closed ill keeping with physical dlstancing measures initiated by respective governments. The communications team created a microsile allached lo the CVIAW main website for churches across the world lo share experiences and learnings. in support of one another. INSIGHT magazine, the bi-monthly publication which the team launched in 2018, continues lo gain both readership and conlenl contributors who engage in a wide spectrum of issues of concem and interest, The communications team also actively a5SiSting the staff team lo campaign foT and host the TIM 40 years anniversary, and eDARE annual programme in advertising, editing videos, and engaging the audience on SoGial networking platforms. Beyond the CQTnmunicalions team, CWM has been active in communicating through Mission Secretaries on various programmes,, through frequent correspondences between the Qffice of the General Secretary and member churches. and in partnership with ecumenical colleagues and programme participants who help lo share our story. 5.3.5. Digital Studio Considering the increased digital engagement It) the pandemic-stricken world, and the nature of hybrid work style in the future, the Communications team. in collaboration with the OGS. has made plans lo set-up a digital studio in the office. The works are unde¥ way and the fulty equipped studio will be ready by April 2022. This 12 COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 studio will be ulilized lo record and stream video content, creale interviews with the leadership of the member churches and fulfil every digital need of the organisalion in the future. Grants Grants are the inslrurner¢l through which the activtties described above have been carried out through CWM Ltd. Details ol the grants given during the period are sel out in note 2.4.1 of the accounts. and information about designated funds is given in note 11.1 of the accounts. Annual budgets and grant commitments arè planned lo ensure that the Charity's spending is in line with ils policy and that there is full and proper accounlabilily for the project expenditure, Financlal Review Financial Performance Overview The financial results for the year reflect that lolal income increased margina51y by 13 10 from £3,6m 2020 10 £4.1m in 2021. The primary source of income is from interest and dividends earned on the investment portfolio. Dividend and interest income increased from £3.5m in 2020 10 £4.Om in 2021., The Charity's lolal expenditure increased by 120h to £6.4rn in 2021 from £5.7m in the previous year. Expenditure on charitable activities accounts for 700/. 12019.. 780AI of the Charity's lolal expenditure. The increased is mainly due lo higher investment manager lee from the change in advisory to discretionary mandate, The operating deficit for the year was £2.3m12020.' £2.1 m1- The Charity's investments yielded net valuation gains of £20.2m12020'. £11.9ml. which therefore produced a nel positive contribution of£17.9m {2020.' £9.8ml to the Charity's reserves for the cufrenl financial year. Unrestrieted Funds The Charity's main source of income is investment inGome, whiGh represented more than 99 % of the total unreslricled income during this financial year. Other sources of income include contributions from member churches and inLlividuals as well as legacy income. The stability of thè income and capital base of the investment portfolio is paramount in creating a financially sound and sustainable operating model, allowing CIMM lo Gontinue lo sustain the ongoing expenditure required lo deliver ils mission and purpose. The Charity has a strong capital base, and this makes the Charity's immediate activities less vulnerable to largo variations in total returns from ils investment8. Tre invested fvnd largely originated from a gift from the sale of a Hong Kong hospital sile in 1994. The investment committee monltors the performance of these funds on a quarterly basis. In 2021, the investment portfolio delivered a nominal return of 12.4 % (before adjust¢ng for inflalionl and a real annual return of 70/ (after adjusting for UK CPI inflatlon of 5.4%). 13 COUNCIL FOR WORLD MISSION {UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Restrlcted Funds The Charity has been given custody of a large number of legacies and gifts for specific worldwlde misslon purposes and these are treated as reslricled or endowment funds in the financial stalemenls. These funds are summarised in Note 10 lo the financial slalements. Ongoing distribution and consolidation is taking place lo release these funds for the purposes for which they were given, by following the Charity Commission's guidelines. In 2021, CWM continued lo use the power, granted by the Charity Commission in an order of 2007, to deplete the unapplied lolal retum linteresl, dividends and realised capital gain) of the Retired Missionary Fund in paying pensions to retired missionaries who had Served before the inception of a pension scheme or were in service before July 1977. The book v21ue in December 1992 of the assets which subsequently composed the Fund is deemed lo be the permanentcapital held on trust for inveslmenl1£684,0101. All subsequent increases in the value of the permanent capit81, whether arising from interest or dividends or realised capital gain on disposal are held as unapplied total retum until formally transferred in trust for application. Upon review of and recommendation by the Finan￿ Committee, regarding expected future payments vis4-vis returns on investment on this Fund, the Trustees were satisfied that there will be sufficient unapplied returns lo service future payments. Investment and Reserve Policies and Èundraising The Charity does not undertake any public fLEndraising activities., 2nd, as such, il is not bound by any fund- raising Standards or voluntary scheme for regulating fund-raising. Its principal source of income is from ils investments. The current fund balance stood at £195.6m as at 31 December 2021, comprising £186.9 m of UnreStr￿ted funds,. £0.9m of restr￿ted funds., and £8.9m of endowment funds. Investment Policy The Charity seeks lo generate income and capital growth from ils investments lo finance its missionary aclivilies, mindful of the need and desire to invesl ethically and with regard to socially responsible criteria. The Charity adopts a total return wlicy approach in managing the portfolio. The Charity seeks to generate income and capital growth from its investments lo finance ils mission activities, mindful of the need and desire lo invest ethically and with regard lo socially responsible Criteria. The long-lerm targèt rem8in8 to achieve a 5 % real return on the investment portfolio but. reco9nising actL¢al performance in the recent past, operational budgets in recent years have assumed a conservative 3°k real return in an average year, The Charity's Ethical Investment Policy that was approved by the Board in Feb 2021, on the advice of the Investment and Finance Committees. broadened the scope and tightened the criteria of ils previous policy. The core ol this policy is as follows.. 11 } As a Christian oryanisalion, CWM believes in acting in a socially responsible manner with respect to ils investment portfolio. This means that, wherever feasible, CWM selects managers who employ ethical screens lo exclude investments in industries dealing with alcohol, tobacco, weapons, adult entertainment, and gambling, and examines companies for their impact on climate change and the environment and any exploitation of labour. .(21 The threshold for determining whether a company falls within the prohibited categories in paragraph 1 above will be that CWM will not invest in a company that derives 5 /0 or more of its lumover from alcohol products, or 30h or more of ils turnover from any of the other foltr prohibited industries. {31 CVVM will also seek lo pursue ils ethical commitments by engaging with those companies in which il hold5 nvestments. 141 CWM will be open lo investing a share of its capital in investments that are designed lo bring a social more than a fin8ncial return. Any such investments will be s￿regated from investments where financial return is the princip81 purpose. 14 COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Investment Policy (continued) The main investment poTlfolio, managed by the Investment Committee and coordinated by professional fund managers, 18 centered around four major investment themes that are deemed suitable for CWM.. the growth engine Idevelowd market and emerging market equiliesl, diversifiers, inflalion-sensilThie (commodities, properly, inflalion-linked bonds) and deflation hedging Igovernmenl bonds). The monitoring of target allocations of the porfolio was performed quarterly and adjustments to the allocation were made, on the advice of CA. where necessary. Reviews ol the fund managers, performance were undertaken by the Investment Committee quarterly, measured against largel returns as well as agreed market benchmarks such as the FTSE indexes and the MSCI World Index. The actual performance of the investment portfolio in 2021 was strong. The investm8nl portfolio (managed investments only) Ljnder the supetvision ofthe Investment Committee had a value of £168.6m at the slart of 2021 which had increased lo £185.4m as at 31 December 2021. Reserves Pollcy The unrestricted funds of CWM UK are predominantly made up of ils invested capital base from which the mission activities of the Group are funded. CVW intends to use this invested capital base lo secure the long- term future of CWM'S activities around the world. Ils Reserves Policy is, therefore. lo maintain, when measured on average over a period of years in real terms, al least the base level of the unreslricled reserves in perpetuity. This would imply reserves largel at the end of 2021 of around £170m, using the UK Consumer Price Index as a measure of inflation. The unreslricled funds balance at the close of the financial year was £185.gm. Rlsk Review The Board of Trijstees has a formal risk management process through which it assesses the risks facing the Charity and implements appropriate risk management slralegies, through CWM Ltd. The process involves the identification of the types of risks., assessment of those risks with regard lo their potential impact and probability of occurrence., and proposed risk treatment and actions taken lo dale and those to be taken to miligale the identified risks. Two principal risks identified are111 IT security,. and 121 Investment RetLtrns. Measures are in place lo ensure that all IT systems are protected and regular and closer monitoring of investments is carried out by the Investment Committee lo ensure that the long-lerm investment returns are achieved and sustained. The inveslmerbt strategy is constantly under review,. the Investment Committee meets regularly lo ensure that the slral&gy is still relevant and approprwle to generate the income required lo sustain CWM'S ongoing aelivilies and oper8tion8. The ALJdil Committee monitors the risks faced by CWM in its Meetings with updates from management vis-a-vis the risk registers of both CWM UK and CWM Ltd. Internal audits carried out in Singapore on different aspects of CWM Lld's operations are done annually and fi'ndings reported to Trustees of CWM UK and Board of CWM Ltd. 15 COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 10. Recènt Devolopm8nts CWM contillued working in accordance with the 2020 - 2029 strategic framework. It was informed by input from CWM'S dNerse communities as well as the reading of the signs of the lime.. This new fr8mework will further develop andlor reshape the partnership in mission model th21 has guided CVVM since 1977, in recognition th81 global Christian witness is changing, and the voices of persons in risky and vulnerable places need to be heard. All CINM governance-related meetings Committees. Board and Trustee Body meetings as well as the Annual General Meeting were held electronically, since March 2020. Similarly, all global programmes, events and training workshops were hosted online via GWM webinars. The Board has considered the risks associated with Covid-19 {lo the best of ils ability given the changing circumstances),. and il is of the view that Covid-19 is LEnlikely lo have any significant or material negative impacl on its ability to continue lo function as a going concern or on the accounting policies outlined below, The level of iesetves and size of the Charity's investment portfolio provides the financial cushion lo marnage any short-term disruptions and allows the organisation lo plan ils normal activities and lo anticipate positNe engagement with the mission into the foreseeable fijture. 11. Public Benefit Statèment The Trustees confirmed that they have complied with the duly lo have due regard to the Charity Commission's general guKiance on public benefit, Charities and Public Benefiy,. The public benefit requirements have been met by the activities described in Section 5 which include, but are not limited to the development of capacities and capabilities lo achieve the fullness of life for all creation. 12. Auditors The auditors, MHA Maclnlyre Hudson (UK member of Baker Tilly Internationall have indicated their willingness lo continue in office. 13. statement as to Disclosure of Infomiation to Auditors Insofar as each of the Trustees of the Charity, al the date of the approval of this report, are aware, there is no relevant audit information (information needed by the Company's auditor in connection with preparing the audit report) of which the Charity's auditor is unaware. Each Trustee has taken all of the steps helshe should have taken as a Trustee in order lo make himselflherself aware of any relevant audit information and to establish that the Charity's auditor is aware of that information. 14. Statement of Trustees, Responsibilities The Trustees are responsible for pr&paring the Trustees, Report and the financial slalemenls in accordance with applicable law and regulalh)ns. Company Law reqL*ires the Trustees lo prepare fi'nancial statements for each ftnancial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Slandardsl and applicable law. Under company law, the Tru51ees musl not approve the fi'nancial statements unless they are satisfied that they give a true and fair view of the slate of affairs of the Charity ancf of ils net incomingloulgoing resources for that period. In preparing these financial slalemenls, the Trustees are required to.. Select suitable accounting policies and then apply them Gonsislently.. Observe the meth(￿S and principles in the Charities Slalement ol Recommended Pracllees ISORPI,. Make judgments and estimate5 that are reasonable and prudent., 16 COUNCIL FOR WORLD MISSION (UK) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 stale whether applicab￿ Accounting standards have been followed. subject lo any material departures dlsclosed and explained in the fi'nancial slalemenls., and Prepare the financial statements on a golng concem basls vnless il is inappropriate lo presume that the Charty will contlnue to operate. The Trustees are responsible for keeplng adequate accounting records Ihal are sufficient lo show and explain the Charity's transactions and disclose with Feasonable accuracy at any time. the financial posillon of the Charity and enable them to ensure that the financial slalemenls comply w&th the Companles Act 2006 and the provl$k)ns of the Charity's conslltution. They are also respon81ble for 8afeguardin9 the assets of the Charlty and hence for taking reasonable steps for the prevention and delection of fraud and other Irregularities. This report h8s been prepared LEnder the 8pecial provisions of the Companies Act 2006 available to small conwgnies. Approve(I by the Trustees on 12 June 2022 and slgned 88 aulhori8ed for issije on their behalf by.. Rose Althea Wedderburn Trustee Sarah Phua Ylran Trustsa Councll for World Misslon IUKI Company Number: 4758640 England & Wales Charity Numbèr: 1097042 17 COUNCIL FOR WORLD MISSION (UK) INDEPENDENT AUDITOR'S REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Opinion We have audited the financial slalemenls of Council for World hAission IUKI (the 'charitahle corr>pany'} for the yeai ended 31 December 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and notes to the financial statements, including a summary of signilicanl accounting policie5. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporliny Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Praclicel. Irs our opinion the financial statements.. give a true and fair view of the slate of the charitable company's affairs as at 31 December 2021, and of ils incoming resources and application of resources, including ils income and expenditure, for the year then ended., have been properly propared in accordance with United Kingdorn Generally Accepted Accounting Practice., and have been prepared in accordance with the requiroments of the Companies Act 2006. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK) IISAS IUKII and applicable law. Our responsibilities ￿nder those standards are fLtrlher described in the Auditor's Respon8ibililies for the audit of the financial statements section of our report. We are independent ofthe charitable company in accordance with the ethical requirements that are relevant to OLtr 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 beliève that the audit evidence we have obtained is sufficient and appropriate lo provide a basis for our opin￿n. Coneluslons relating to going coneern In auditing the financial stalemenls, we have concluded that the Trustees, use of the going concern ba51S of accounting in the preparation of the financial 81alemenls is appropriate. Our evaluation ol the Tiuslees, assessment of the entity's ability lo continue to adopt the going concern basis of accounting included critical reviews of budgets and forecasts provided. Based on the work we have performed, we have not identified any material uneertainties relating lo events or conditions that, individually or collectively, may cast significant doLibl on the Company's ability lo continue as a going concern for a period ofal least twelve months from when the financial statements are authorised for issue. Our responsibilities and the reswnsibilities of Itie Trusteès with respect to going concern are describeLI in the relevant sections of this report. Other Informatlon The Trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor's report Ihereon. Our opinion on the financmal slalements does not cover the other information and, except to the extent otherwise explicitly slated in our rèport, we do not express any fofm of assurance conclusion Ihereon, In connection with our audit of the financial slatemenls, our responsibility is lo read the other information and, in doing so, consider whether the other information is materially inconsislenl with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misslaled, If we identify such material inconsistencies or apparent material misslalemenls, we arè reqltired to determine whether there is a material misstalemenl in the financial slalements or a material misstatement of the other COUNCIL FOR WORLD MISSION (UK) INDEPENDENT AUDITOR'S REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 information. If, based on the work we have performed, we conclude that there is a material misslalemenl of this other information, we are required lo report that fact. We have nothing to report in this r￿ard. Opinions on other matters prescribed by thè Companles Act 2006 In OLFr opinion, based on the work ut>derlaken in the course ol the audit.. the information given in the Trustees, report (incorporating the Director5, report) for the financial year for which the financial statements are prepared is consislenl with the financial statements., and the Directors, report has been prepared in accordance with applicable legal requirements. atters on which we arg required to report by exception 1n.the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misslalemenls in the Directors. report. We have nothing lo report in respect of the following mallers in relation lo which the Companies Act 2006 rèquires us lo report lo you if, in our opinion.. adequate accounting records have not begn kept. Dr returns adequate for our audit have not been received from branches not visited by us,. or the financial statements are not in agreement with the accounting records and returns., or certain disclosures of Directors, remuneration specified by law are not made., or we have not received all the informatKin and explanations we require lor our audit., or the Trustees were not entitled to prepare the financial slalemenls in accordance with the small companies, regime and take advantage of the small companies. exemption5 in preparing tho Directors, report and from the requirement lo prepare a strategic report. Responsibllitles of Trustees As explained more fully in the Trustees, responsibilities slalement included in the Trustees, Annual Report, the Trustees (who are also the Directors of the charitable company for the purposes of company lawl are responsible lor 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 lo enable the prèparation of financial statements that are free from material misstalemenl. whether due to fraud or èrror. In preparillg the financial statements, the Trustees are responsible for assessing the charitable company's ability lo 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 lo liquiéale the charitable company or lo cease operations, or have no realistic alternative but to do so. Auditor's responslbllilies 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 misstalèmenl, whether due lo fraud or error. and lo issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, bul is not a guarantee that an audit conducted in accordance with ISAS IUKI will a￿ayS delecl a material misslatemenl when it exists. Misslalemenls can arise from fraud or error and are considered material if, individualty or in the aggregate. they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial slalemenl8. COUNCIL FOR WORLD MISSION (UK) INDEPENDENT AUDITOR'S REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our respDnsibililies, outlined above, to delect material misslalements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent lo which these are capable of detecting irregularities, including fraud is detailed below,. Obtaining ark understanding of the legal and regulatory frameworks that the entity operates in, focusing on those laws and regulations that had a direct effect on the financial $18tements' Enquiry ol management and those charged with governance to identify any instances of known or suspected instances of fraud., Enquiry of Inanagement and those charged with governance around actual and potential litigation and claims., Enquiry of management about any instances of non-compliance with laws and regulations,. Reviewing the control systems in place and testing the effectiveness of the controls., Performing audit work over the risk of management override of Controls, including testing of journal entries and other adjustments for appropriateness. Evaluating the business rationale of significant transactions outside the normal course of business.. Reviewing accounting eslimale5 for bias,, Reviewing minutes of meetings of those charged with governance- Reviewing financial statement disclosures and lests'ng to supporting documentation to assess compliance with applicable laws and regulations. Enquiries made of the group auditors of the parent charity. Because of the inherent limitations of an audit, there is a risk thatwe will not delecl all irregularitles, including those leading lo a material misstalemenl in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial slalements, as we will be less likely lo become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website al.. hll s.'Jlwww.frc.org.uklOur-WorklAudiUAudil-and-assuran¢elSlandards- and-guidancelstandards-and-guidance-for-audilorslAudrtors-responsibililies-for-audiVDes¢riplion-of- audilors-responsibililies-for-audit.aspx. This descrlplion form5 part of our auditor's report. Use of this report This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might slate lo the charitable company's members those mallers we are requiTed lo stale 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 Tesponsibilily lo anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed, Sudhir Slngh FCA (Senior Stalulory Auditor) For and behalf ol MHA Maclntyre Hudson Statutory Auditors London, United Kingdom Dale.. 6 July 2022 20 COUNCIL FOR WORLD MISSION (UK) STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2021 Unrestricted Restricted Endowment Total 2021 Total 2020 Funds Funds Funds Funds Funds Note Income and endowments from. Donation and legacies Investment income 98,609 3,925,617 4.024,226 98,609 6,206 3,992.169 6,206 4,090,778 96,721 3,532,812 3,629,533 60.346 Total Income 60,346 Expenditure on.. Raising Funds 1,906,134 29,015 2,983 1,938,132 1.240,545 Charitable activities 4,396,971 6,303,105 11,527 40,542 62,546 4,471.044 65,529 6,409,176 4,460,114 5,700,659 Total Expendituro Operating Surplusl{Deficiti 12,278,879) 19,804 159,3231 12,318,398) 12,071,126) Nel gains on investments Net Income 18,630,886 90,681 1,456,421 20,177,988 11,881,509 1,397,098 17,859,590 16,352,007 110,485 9,810,383 Net Movement In Funds 16,352,007 110,485 1,397,098 17,859,590 9,810,383 Reconcilialior¢ of funds.. Total Funds At 1 January 2021 Total Funds At 31 Decembgr 2021 169,538,392 185,890,399 759,919 7,489,576 177.787,887 167,977,504 870,404 8,886,674 195,647,477 177,787,887 All income and expenditure were derived from continuing actlvities. The slalemenl of financi21 activities includes all gains or losses recognised IN the year. The annexed notes form part of these financial stalemonls. 21 COUNCIL FOR WORLD MISSION {UKI BALANCE SHEET AS AT 31 DECEMBER 2021 2021 2020 Note Flxed assèts Tangible fi'xed assets Investments 2,574,889 191,847,303 194,421,992 2,642,898 174,835,473 177,478,369 Current assets Inv88lrnents Debtors Cash al bank and In hand 118,304 625,886 4.657,189 5.401,379 2,432,712 1,033,087 1,567.311 5,033,110 Liabilltlès Creditors.. Amounts lalling due within one year 14.175,8941 14,723,592) Not curront assots 1,225,485 309,518 Total assets less current liabilitsps Total nat a8s•t$ 195.647,477 195,647,477 177,787,887 177,787,887 Th• funds ofthe charlty,. Endowgd funds Rastrictod funds Unrestrictèd funds Designated funds - General fLtnd io 10 ,886,674 870,404 7,489,576 759,919 11 11 13,822,051 172,068,348 185,890,399 195,647,477 19,850,402 149,687,990 169,538,392 177,787,887 Total unrostricted fund¥ Total charlty funds 11 12 Included In total funds above are cumulative unrealised galns on listed investm8nts, current investments and investment properttes of £50,083,58212020: £32,642,2e41 The financlal statements have been prepared in accordance with sectlons 415A of the Companies Act 20(￿. These financial statements are prepared In accordance with the $pe¢ial provision$ of Part 15 of the Companies Act 2006 relating lo small companies, The financial statements were approved and aulhorfsed for Issue by the Trustees on 12 June 2022 and slgned on their behalf by.. Rose Althèa WeddeTburn Twstoo Sarah Phua Yiran Trust•9 Company Number.. 4758840 The annexed notes form part ofthese financial statements. COUNCIL FOR WORLD MISSION (UK) STATEMENT OF CASH FLOWS FOR THE FINANCIAL YEAR ENDED 31 DECEfoiBER 2021 2021 2020 Cash flows from operating activities Note Net Cash flow from operating activities 17 16,382,177) 15,857,558) Cash flow from investsng activities Investment income - Dividends and Interest Investment income - Rent Purchase of tangible fixed a8sels Purchase of tturrènl asset investments Proceeds from sale of current investments Payments to acquire managed investments Proceeds from sale of managed invèslmenls 3,879,320 112,849 17061 3,427,229 105,461 ifj,000,0001 2,310,331 5,000,000 28,912,655) 134,241,633) 32,082,916 29,689,273 Nel cash flow from investing activities 9,472,055 2,980,330 Nel increaselldecreasel in cash and cash equivalents Cash and cash equivalents al the beginning of the period 3,089,878 1,567,311 12,877,228) 4,444,539 Cash and cash equivalents al the end of the period 4,657,189 1,567,311 As the Charity does not have any debt, an analysis of debt has not been produced. 23 COUNCIL FOR WORLD MISSION {UKI NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 5. PRINCIPAL ACCOUNTING POLICIES Accountlng convention Council for World Mission IUKI is a company limited by guar2nlee and is registered with the Charity Commission Icharity Registered Number 10978421 and Regiglrar of Companies (Company Registration Number 47586401 in England and Wales. In the event of the Charity being wound up, the liability in respect of the guarantee is limited lo £1 per member of the Charity. The address of the registered office is given in the Charity information on page l of these financial statements. The nature of the Charity's operations and princip21 activities are lo spread the knowledge of the Christ throughout the world, that is, further the work of Christian missKTrn throughout the wodd. The Charity ¢onsliknles a public benefit entity a8 defined by FRS 102 The financial statements have beern prepared in accordance with the Charities SORP IFRS 1021 Accounting and Reporting by Charities., Statement of Recomtnended Practice applicable lo charities preparirkg their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 1021. the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102} and the Companies Act 2006, the Charities Act 2011 and UK Generally Accepted Practice as il applies from 1 January 2019. The Charity has applied all amendments lo FRS 102, as sel out in the Financial R8POrting Council's triennial review published in December 2017. and included in Update Bulletin 2 to the Charities SORP IFRS 1021. The financial slalements are prepared on a going concern basis under the historical cost convention, modified to include certain items al fair value. The financial statements are presented in sterling which is the functional currency because that is the currency of the primary economic environment in which the charity operates and round￿ lo the nearest pound. CWM UK is the sole member and hence has 1009/0 of the members, voting rights of Londo Missionary Society Corporation (company iegislralion number 000639341 and Commonwealth Missionary Society Corporation (company registration number 000544721. These companies are limited by guarantee and registered in England & Wales, and hencè are wholly controlled by CWM UK. Both companies were dormant throughout the current and previous financial year. The companies have nil nel assets and have not traded for many years,, hence they are not con501idated in CWM UK accounts as they are not considered to be material to CWM UK'S financial slalemenls. The significant accounting policies applied in the preparation of these financial statements are sel out below. These policies have been consistently applied lo all years presented unless otherwise slated. bl Golng Concern Having reviewed the charity's financial position (considering the Ilkely impact of GovKI-19 on the charity and ils Gurrenl liquidity level, performance of the investment portfolio and investment resetves held) and futLJre lincluding a revised budget for the year ahead) plans for the charity, the Trustees have a reasonable expectakn'on that the charity has adeqLJ21e resources lo continue ils activities for the foreseeable fLJture. AcGordingly, they continue lo adopt a going concern basis in preparing the financial slal&menls. 24 COUNCIL FOR WORLD MISSION {UK} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 PRINCIPAL ACCOUNTING POLICIES {contlnuedl Recognition of income Income is recognised in the year in which the charity is legally entitled lo receipt, the receipt is probable, and the amount can be measured reliably. Donations represent amounts receivable in the accounting year. Receipt ol a legacy is recognised when it is probable that il will be received. Receipt is normalty probable when there has been grant ol probate.. the executors have established that there are sufficient assets in the estate, after sellling any liabilities, lo pay the legacy., and any conditions attached lo the legacy are eilherwilhin the control of the oharity or have been mel. Investment income is recognised in the period when the Charity has earned unconditional entillemenl lo rrK)nies. Donations and grants received for specific purposes are Irealed as reslricleif funds. Donated services Igifts in kindl are recorded al the market value that CWM UK would normally pay for such services and gifts, whèn the risks or rewards of the service or item are Iiansferred to CWM UK. Donated se¥vices are recognised in the accounts when they are of material value lo the charity. dl Property income Property income represents rent receivable in respect of properties owned during the year and is accounted for during the peri￿ to which it relates. 11 is then allocated lo the appropriate fund. Expenditure Expenditure on raising fund5 comprises investment management costs and expenditure in relation lo the generation of donations and legacy income. Charitable activities include grants payable in furtherance of the charitable objects and related support costs. Expenditure is recognised in the year in which il is incurred under the accrual basis. Grants and allocations payable lo CWM Ltd are included in the SOFA when approved by the Tru81ees and agreed with the wipienl organisation. The value of such grants unpaid al the year-end is accrued. Grants, where the beneficiary has not been informed or has lo meet certain conditions before the grant is released, are not accrued however funds may be designated lo the value of any conditional commitment. CWM UK is not registered for Value Added Tax and any irrecoverable VAT is charged lo the appropriate heading. Governance costs are the expenses incurred by the Charity in meeting their statutory and constilLtlional requirements and include Trustees, expenses and external audit feès. fl Allocation of costs Costs are allocated within charitable activities according to the nature of the cost. Wherever possible costs are allribuled directly lo specific aclivilies. Certain shared eosts including support costs are apportioned to activities using a variety of bases including estimated lime spent and the number of employees. gl Tangible fixed assets and depreciation Fixed assets for use by the charity are capitalised al cost, where acquired, or market value as determined by the Trustees where donated. They are slated in the financial statements at cost or original value less depreciation. Individual fixed assets costing £500 or more are capilalised al cost and depreciated over Ihelr estimated useful lives. Depreciation is calculated lo write off the wst of tangible fixed assets at the followlng 2nnual rates.. Freehold buildings Leasehold property Fixtures and filts'ngs Computer Equipment 50 years- 5tralghl line basls over the life of the lease between 3 and 5 years. - 3 years Freehold land held as parl of a freehold property is dep￿cIated over 50 years 21ongslde the property where the cost has not been separated and the depreciallng of land is not considered to be material. 25 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 PRINCIPAL ACCOUNTING POLICIES Icontinuedl h) Unlisted investm8nts All unlisted inv8slments are programme related investments I social investments and are included in the linar¢cial statements at cost less impairment subject to being converted into the pre8entalional currency al the balance sheet date where the investments are held in another currency Currènt asset investments Current asset investments represent those investments held in cash or low risk Investments equivalènt lo cash lo enable the company to meet 115 commitments in respect of grants approved not yel paid. 51 Debtors and creditors Debtors and creditors with no stated interest rale and receivable Dr payable within one year are recordèd al transactiors price. Any losses arising from imp2irmenl are recognised in expenditure. k) Funds accounting Funds held by the company are.. Unrestricted genBral funds - these are funds which can be used in accordance with the chartlable objects at the discretion ofthe Trustees. The element of unrestricted funds represented by unrealised gains on investments is separately disclosed as a revaluation reserve being the difference bebNeen the current market value of these investments and historic cost. Designaled funds - these are funds set aside by the Trustees out of unrestriGted ftjnds for specific future purposes or projects, Restricted lunds- these are funds that can only be used for paTlictJlar reslricled purposes within the objects ol the Charity. Reslriclions arise when specified by the donor orwhen funds have been raised ft)r a particular restricted purpose within the objects of the Charity, Reslricled funds in respect of the Retired Missionary fund is delalled in Note 10.4, where permanent capital is hekl in trust. Permanerpt Erpdowmenl funds - these are a type of restriclecl fund where the capital must be held permanently by the Charity. Income arising from such endowed funds is applied in awordance with the terms of the fund. Further explanation of certain funds is included In the notes lo the accounts. Valuation of investments Listed investments are a form of flnanclal instrument and are initially recognised al their transaction cost and subsequently measured al fair value Imid-markel value) al the Balance Sheet date. Investment gains and losses, whether realised or unrealised, are combined and shown in the heading 'Nel Gainsl(lossesl on inveslmenls, Irs the Slalemenl of Financial Activities. Investment properties are measured al fair value al the Balan￿ Sheet dale. Investment properties are recorded al the Trustees, estimate of market va5ue at the year-end by referer¢ce lo changes in house price indices, sale prices re¢enlty achieved in the same location, ancl periodic professional valuations. Changes in fair vaSue are recognised in 'Nel Gainsl{lossesl on inveslmenls, in the Statement of Financial Activities. 26 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 PRINCIPAL ACCOUNTING POLICIES Icontinuedl Pensions CVVM makas discretionary payments to retired missionaries who served prior lo the inception of a pension scheme or where service prior lo July 1977 was not otherwise pensionable, These paymenls are funded from an endowment fund entitled CVVM Fund for Retired Missionaries. The Charity operates a defined contribution plan for the benefit of ils èmployees. Contributions are expensed as they become payab￿. The liability and expenses are allocated as part of expenditure on charitable activities lo the unreslricled funds. Foreign currencles Assets, liabilities, and results of overseas investments are translated at the rale ruling al the Balan Sheet dale. Exchange differences arising are taken to the SOFA, Tran5aGtions in foreign currencies are translated al the rale ruling on date of the transaction, Financial instruments The Charity only holds basic Financial lllslrumenls, The financial assets and financial liabilities of the Charity and their measurement basis are as follows.. Financial Assets Oiher debtors, accrued income and the irnlercompany loan are basic financial instruments and are debt inslruments measured at amortised cost as detailed in note 7. Prepayments are not financial inslrumenls. Investments - Managed investments and investment properties are classified as basic financial instruments and held at their fair value as detailed in note 5,1 and 5.3 respectively. Unlisted investments (social inveslmentsl as detailed in note 5.2 are basic financial instruments and are measured al cost less impairment. Current asset investments are measured at amo¥lised cost as detailed in note 6. ash at bank- is classified as a basic financial instrument and is measured at face value. Financial Liabilities Grants payable, other creditors, accruals and balances owing lo CWM Ltd are classified as basic financial instruments and are measured at amortised cost as detailed in note 8. Taxation and social security are not included in financial instruments disclosure. p) Critical accounting judgements and key sources of estimatlon uncertainly The key sources of eslimalK>n uncertainty that have a significant effect on the amounts recognised in the financial statements are described in the acwunling policies and are summarised below.. Valuation of investment properties - The Charity's land and buildings are stated at their estimated fair value based on professional valuations or management eslimales as disclosed in note 5.3. Depreciation of freehold property includes depreciation of land as this is not considered lo be maleriaS. ql Operating leases Rentals payable and receivable under operating leas65 are charged to the Statement of Finar5cial Activities on a slraighl-line basis over the period of the lease. 27 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 2.1 DONATIONS AND LEGACIES 2021 2020 Donations Legacies 92,788 5,821 98.609 96.703 18 96,721 2.2 INVESTMENT INCOME 2021 2020 Rental income Dividends from listèd investments Income from social investments Income from bank interest Other operational income 112,849 3,856,198 105,461 3,419,878 122 5,136 2,215 3,532,812 119 23,003 3,992,169 2.3 EXPENDITURE ON RAISING FUNDS 2021 2020 Investment managar fees 1,938,132 1,240.545 Included in investment managers, fees is £259,160 paid lo CWM'S investment advisors 12020.. £111,485>. 2.4 EXPENDITURE ON CHARITABLE ACTIVITIES 2021 2020 Activities Ufidertaken Directly Grant Funding of Aclivtties INote 2.4.11 Suppoil Costs (Note 2,4,2) 62,546 3,896,916 511,582 4,471,044 68,227 4,058.230 333,657 4,460,114 2A.1 GRANTS FUNDING OF ACTIVITIES During the year the Charity made grants to the following programmes. A description of some ol these progr2mmes are given in note 11.1 to the financial slatemenls.. 2021 2020 CWM Ltd - Mission Support Programme 2 CVW Ltd- Mission Support Progr8mme 3 CWM Ltd- Legacies of Slavery Programme CIMIA Ltd - Covid-19 Solidarity Fund CWM Ltd - Unreslricled funds grants CWM Ltd - Restricted funds grants 265.111 131,D53 43,480 474,605 3.130,863 13,118 4,058,230 249,888 118.610 682,100 2,834,791 11.527 3,896,916 28 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 2.4.2 SUPPORT COSTS 2021 2020 Finance, office administration & maintenance costs Governance costs Meeting c081s Auditors, remLJner2tion {OverllUnder provision of prior year audit fees 488,230 298,045 62 27,600 7,950 333,657 27.060 {3,7081 511,582 STAFF COSTS Analysis of staff costs included in support costs: 2021 2020 Staff costs comprise.. Salaries and wages Social security costs Pension costs 76,059 7,903 8,771 92,733 72,910 7.635 8.446 88,991 The average number of employees analysed by function was.. 2021 Number 2020 Number Support, finance and adminislralion of the Charity No employee earned over £60,000 during the year12020.' nill. The key management personnel of the Charity comprised management staff from the CWM Ltd Secretarial in Singapore and the Trustees. No Trustee received any remuneration during the year12020.' nill. Expenses related to Trustee meetings were met by CWM Ltd. Cost of lime spent by the CWM Ltd SecTetariat in overseeing and supporting CWM UK is borne by CWM Ltd and was not apportioned lo the aGcounls of CVVM UK as it was considered immaterial. 2.6 NET IINCOMEIEXPENDITURE 2021 2020 This is staled after charging Depreciation Auditors. remuneration - èxternal audit services Auditors, rernuneralion {overllursder provision for prior year external audit services (GainllLosses on foreign currency exchange Operating leases 68,913 27.060 68,856 27,600 13,7081 130,3111 9,221 7,950 115,221 9,163 TAXATION The Charity is exempt from corporation lax on ils charitable aCt￿ltIeS. The Charity18 considered to have passed the tests sel out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore il meets the definition of a charitable company for UK corporatlon tax purposes. As such, surpluses and gains are exempl from Corporation Tax provided they are applied for charitable purposes. 29 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 TANGIBLE FIXED ASSETS Freehold Land & Building Leasehold Land & Building Fixtures & Fillings Total Cost At 1 January 2021 2,426,679 315,596 6g,717 2,811,992 Addition 706 706 Depreciation Al 1 January 2021 Charge for year Al 31 December 2021 81,981 46,545 128,526 63,100 6,310 69,410 24,015 16,058 40,073 169,096 68,913 238,009 Net book value 31 December 2021 2,298,153 246,186 30,350 2,574,689 Net book value 31 December 2020 2,344,698 252,4g6 45,702 2,642.896 Where the property was purchased and the land and buildings not separately identified, thère 18 no accurate way of measuring the cost of the land and building separately, therefore the separate value of land and building has not been split out. FIXED ASSEf INVESTMENTS 2021 2020 Summary Managed investments (note 5.11 Social investments (note 5.21 Investment properties Inole 5.3} 185,371,600 3,474,703 3,001,000 191,847,303 168,560,607 3,444,366 2,830,500 174,835,473 5.1 MANAGED INVESTMENTS 2021 2020 Market value as al 1 January Additions al cost Disp05al8 168,560,607 28,912,655 132,082,916) 165,390,346 19,981,254 185,371.600 151,903,556 34,241,633 129,689,273) 156,455,916 12,104,691 168,560,607 Gains on investments Market value as al 31 DeGember Managed investments are held with 16 investment managers in a mixture of asset classes as dolailed below. The hisloriGal cost of quoted investments was £136,691,7a612020'. £137,154,083). Cambridge Associates has been engaged by CWM since 2002 as an investment fund advisor and has become a fund manager with a discretionary mandate with effect from 2 Aug 2021. 2021 2020 Investments at the market value comprise., Quoted equity shares Bonds in governmentslcorporalions Global funds Property Trust Total 10,247,895 16,620,679 152.826,755 5,676,271 185,371,600 8,629,587 26,190,351 128,602,844 5,137,825 168,560,607 30 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 5.2 SOCIAL INVESTMENTS 2021 2020 As al fj January Dividends re-invested 3,444,366 26 3,444,392 30,311 3,474,703 3,559,563 24 3,559,587 1115,2211 3,444,366 Unrealised gainsllloss) in exchange As al 31 December Included in social investmènts is an investment of £3,464,365 (2020.. £3,434,054) in the share capital of Oikocre(lil, a worldwide c4>operalive society. Oikocredil was entered into in 2000 as a programme- related investment. The value of this investment al 31 December 2021 represented the historical cost of share capital Plsrchased (including reinvested dividends less any material impairmentl. Share capital is held in US dollars and Euros and translated into sleTling al year end. There is also investment of £10,33812020 £10,312) in the Shared Inlgresl Society. 8.3 INVESTMENT PROPERTIES 2021 2020 As at 1 January Addition Revaluation As al 31 December 2,830,500 2,919,800 170.500 3,001,000 {89,3001 2,830,500 Investment properties conslst of 6 properties12020.'61 throughout England. All are valued every 5 year5 and the 6 properties were valued al the market value during 2020, by Avison Young (Chartered SLJrveyorsl. Al year end, the value of the investmenl properties were Ltpdaled by referencing to changes in UK house price indices and sale prices recently achieved in the same location. The histor￿ c05t was £1,568.23312020'. £1,568,233) CURRENT ASSET INVESTMENTS 2021 2020 Royal London Short Term Money Markèt Fund Y Royal London Cash Plus Fund Y Epworth Affirmative Deposit Fund for Charities 708,590 722,201 1,001,921 2,432,712 118,304 118,304 2020 As al 1 January Addition Dividends re-invested Disposal 2,432,712 6,449,451 1,000,000 1,921 Is,000,0001 2,451,372 118.6601 2,432,712 12,310,331) 122,381 {4,077} 118,304 Nel fair value loss on current investments As al 31 December The historic cost of current as5el investrnents was £152,58312020'. £2,462,517) 31 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 DEBTORS 2021 2020 Intercompany balance Other debloFS Prepayments Accrued income 164,482 38,3S6 6,234 416,814 625,886 162,812 246,082 6,169 618.024 1,033,087 REDITORS Amounts falling due within one year 2021 2020 Other taxation and social security Balances owing lo CVVM Ltd Grants payable Other creditors Accruals q4,624 3,768,372 165,153 29,974 197,771 4,175,894 12,583 4,452,005 165,853 19,246 73,90S 4,723,592 RELATED PARTY TRANSACTIONS Of the six Trustees for the CWM UK, four are Trustees for CINM Ltd, and two are independent Trustees. Trustees may also sil on governing boards or make LEP the senior management of member churches that receive grants from CWM Ltd and they will declare an interest and abstain from voting and decision-making when aPpI￿allonS and mallers relating lo related member churches are being discussed al Trustees meetings and meetings of the CWM Ltd Board. The grants payable to CWM Lld are also shown in the note 2.4.1 and Ihg amount oulstsnding as al year-end reporting date are shown in note 8 above. CVW UK is the sole member and hence wholly controls the London Missionary Society Corporation (company registmtion number 00063934} and Commonwealth Missionary Society Corpomtion (company registration number 000544721. These companies are limited by guarantee and registered in England & Wales. They were both dormant throughout the current and previous financial year. The companies had nil net assets as at 31 December 2021, and there have been no transactions with CWM UK for a number of years. The registered office for both enlilies is 10 Queen Sireel Place, London, England, EC4R 18E. 10. ENDOWMENT AND RESTRICTED FUNDS Balance Gross Costs ol Expenditure Balancè l Jar¢uary Incoming Generating and Investment 31 December 2021 Resources InGome Allocations Gains 2021 Pemianent Endowment Funds Capital Only (Notes 10,1 and 10.4} 7,489,576 6,206 12,9831 162,5461 1,456,421 8,886,674 Restri¢ted FLtnds Permanent Endowment Funds- Income Only INDle 10.21 Income Only (Note 10.31 280.731 56,445 (27,1391 111,5271 298,510 479,188 759.919 3,901 eo,346 (1.8761 129,0161 131,9981 90,681 90,681 571,894 870,404 111,5271 174,0731 1,547.102 TOTAL 8,249,495 66,552 9,757,078 32 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 10. ENDOWMENT AND RESTRICTED FUNDS leontlnuedl PRIOR YEAR Balance Gross Costs of Expenditure Balance 1 January Incoming Generating and Investment 31 December 2020 Resources Income Allocations ILos5esl 2020 Permanent Endowment Funds Capital Only (Notes 10.1 and 10.41 7,973,632 6,296 12,8811 (68,2271 1419,2441 7,489,576 Restricted Funds Permanent Endowment Funds- Income Onty {Note 10.21 Income Only INote 10.31 265,095 53,009 124,2551 11,673) 125,9281 113,1181 280,731 479,188 759,919 503,059 768,154 3,657 56,666 125,8551 113,1181 125,8551 TOTAL 8,741.786 62,962 128,8091 {81,3451 1445,0991 8,249,495 1ncome l investment gains include investment income together with realised and unrealised gains and losses on investment assets held directly by the funds, or on pooled assets allocated to the funds. The Permanent Endowment comprised ofthe followlng atthe beginning ofthe year (see Note 10.1 and 10.2 and 10.41.. The Harold Granger Fund, which was set up lo provide for the education of missionaries. Children. Following Ihe introduction of a new Charity Commission Scheme 011995, the income not required for this purpose in any one year may be used for other dèfined programme purposes and therefore remain a5 re51ricled funds., The CVVM Missionaries Support Fund which was for the maintenance and support of missionaries., and The CVVM Retired Missionaries FLJnd which is used for paying pensions and other costs to support retired missionaries, Miss ML Barrett Fund was sel up for ils income to be applied for the support of the Company's work in Kavulalam, Hachalli or Halavi Pastorates of the Church of South India. In the alternative. the income may be applied to some other objects within the general purpose of the Company. Sir James Tyler Fund can be used for general purposes on condition that fund is fiisl used to maintain the grave v8uII of Sir James Tyler's famlly al Highgate Cemetery. The Re5trl¢ted Funds comprised of the following at the beglnning of the year Isee Note 10.31. Ivy Phyllis Read Scholarship fund was for specialised training for a member ol an overseas tnember church. Robert Cochrane ￿nd was for Scott Christian Col￿ge. Nagercoil, Tarnil Nadu. Widows and Orphans fund was available for Ihg widows and orphans of missionaries who happen lo die in whilè in service The Candidates Training fund was for the initial training of missionaries. 33 COUNCIL FOR WORLD MISSION IUK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 10.1 PERMANENT ENDOWMENT FUNDS- CAPITAL ONLY Balance 1 January 2021 Income Balance Investment 31 December Gains 2021 Raising Charitable funds Expenditure Miss M L Barrett- pref. Kavulalam, etc, South India 151,540 29,510 181,050 Harold Grarnger- Education of Missionarie8 children elc. 3,687,61 S 738,521 4,426,136 CWM Missionaries Support Fund 2,721,932 615,103 3,237,035 Sir James Tyler- conditional 92,047 26,811 118,858 Funds with balances less than £10,000 Sub-total 18,534 6,671,668 2,216 1,312,161 20,750 7,983,829 Retired missionaries (note 10.4) Total 817,908 7,489,576 6,206 12,983} 6,206 12,9831 162,5461 (62,546) 144,260 1,456,421 902,845 8,886,674 PRIOR YEAR Balance 1 January 2020 Incomè Balance Raising Charitable Investment 31 December funds Expenditure Gains 2020 Miss M L Barrell- pref. Kavulalarn. elc. South India 159,954 18,414) 151,540 Harold Granger- Education of Missionaries children etc. 3,898,190 1210,5751 3,687,615 CWM Missionaries Support Fund 2.869,406 1147,4741 2,721,932 Sir James Tyler- conditional 99,691 17,644} 92,047 Funds with balances less than £10,000 Sub-total 19,166 7.046,407 16321 (374,7391 18,534 6.671,668 Retired missionarles (note 10.41 Total 927,225 7,973,632 6,296 12,8811 6,296 12,8811 168,2271 144,5051 168,2271 1419,2441 817,908 7,489,576 34 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEildlENTS FOR THE YEAR ENDED 31 DECEMBER 2021 10.2 PERMANENT ENDOWMENT FUNDS- INCOME ONLY (RESTRICTED FUNDS) Balance 1 January 2021 Balance Charitable 31 D8cember Expenditure 2021 Raising funds Income Miss M L Barrell- pref. Kavutalam, elc, Sth India 4.393 1,270 16091 5,054 Harold Granger- Education of Missionaries children etc. 215.240 31.769 115,2751 12101 231,524 CWM Missionaries Support Fund 11,319 22,158 110,6541 (11,3171 11,506 Sir James Tyler- conditional 49,629 1,153 15551 50,227 FLJnds with balances less than £10,000 150 280,731 95 56,445 1461 127,1391 199 298,510 111,5271 Balance 1 January 2020 Balance Charitable 31 December Expenditure 2020 Raising funds PRIOR YEAR Income Miss M L Barrett- pref. Kavutalam, etc, Slh India 3,748 1,190 {5451 4,393 Harold Granger- Education of Missionaries children elc. 199,762 29,788 113.6291 1881} 215,240 CWM Missionarl8s Support Fund 12,439 20,862 19.5451 {12,4371 11,319 Sir James Tyler- conditional 49,043 1,081 14951 49,629 Funds with balances less than £10,000 103 265,095 88 1411 53,009 {24,2551 150 280,731 113,1181 35 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 10.3 RESTRICTED FUNDS Balance 1 January 2021 Balance Raising Charitable Investment 31 December funds Expenditure Gains 2021 Income Ivy Phyllis Read- Scholarship fund Robert Cochrane-work in India Widows and orphans Candidate training Funds with balances less than £10,000 27,218 222 {1071 5,150 32,483 113,200 296,553 23,644 922 2,414 193 14431 11 1611 1931 21,422 56,120 4,484 135,101 353.926 2B,228 18,573 479,188 150 3,901 1721 11.8761 3,505 90,681 22,156 571,894 PRIOR YEAR Balance 1 January 2020 Balance Raising Charitable Investmènt 31 December funds Expenditure Gains 2020 Income Ivy Phyllis Read- Scholarship fund Robert Cochrane-work irk India Widows and orphans Candidate training Funds with balances less than £10,000 28,573 208 11,468} 27,218 118,839 311,327 24,879 864 2,263 181 13951 {1,0361 1831 16,1 D81 116.0011 11,2781 113.200 296,553 23,644 19,441 503,059 141 3,657 1641 11,6731 11,0001 125,8551 18,573 479,188 10.4 CWM FUND FOR RETIRED MISSIONARIES CWM has continued lo use the power, granted by the Chaiity Commission in an order of 2007, 10 deplete the unapplied total return linlerest, dividends and realised Capital gain) of this fund in paying pensions lo retired missionaries who had served prior to the inception of a pension scheme or where Servi￿ prior lo July 1977 was not otherwise pensionable. The book value in De￿rnber 1992 of the assets which subsequently composed the Fund is deemed lo be the permanent capital held on trust for inveslmenl1£684,0101. All subsequent increases in the value of the permanent capital, whether arising from interest or dividends or realised capital gain on disposal are held as unapplied total return until formally Iransfeired to the trust for application. For 2021, the amount approved for application was at £62,546 for 17 retired missionarie5. After this application, the balance of total unapplied returns stood at £218,835 as at 31 Dec 2021. The Finance Committee has reviewed this balance vis-a-vis future returns and expected payments and was satisfied that there will be sufficlenl unapplied returns to service future payments. This was subsequently endorsed by the Trustees in their meeting in February 2019. This process will be reviewed in 2022. CWM Fund for Retired Missionaries (Total Return) Value of unapplied total return al 1 January 2021 Total return lor the year Value applied during 2021 Value unapplied total return al 31 December 2021 Permanent capital Total fund 133,898 147.483 (62,5461 218,835 684,010 902,845 36 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 10.4 CWM FUND FOR RETIRED MISSIONARIES Icontlnuedl Prior Year Value of unapplied total return at 1 January 2020 Total return lor the year Value applied during 2020 Value unapplied total roturn al 31 December 2020 Permanent capital Total 243,215 141,0901 168,2271 133,898 684,010 817,908 11, UNRESTRICTED FUNDS Balance al 1 January 2021 BalarEce at Investment 31 De¢ernber Gail) 2021 Income Expenditur8 Tr8nsfers General Fund Designated Fund Total unrestricted 149,687,990 4,024,226 15,252,507) 4,977,753 18,630,886 19,850,402 11,05Q,5981 (4,977,753) 169,538,392 4,024,226 16.303,1051 0 18,630,886 172,068,348 13,822,051 185,890.399 11.1 DESIGNATED FUNDS Balance at 1 January 2021 Balance at 31 December 2021 Designationl Transfers utilised Mission Support Programme 2 Mis8ion Supparl PrograTnme 3 Legacies of S5avery Programme Covid-19 Solidarity Fund 79,710 2.124,623 17,364,420 281,649 19,850,402 79,710 1,874,735 11,468.057 399,549 13,822.051 1249,8881 15,777,7531 1118,610) 800,000 1682,100) 14,977,753) 11,050,598) MissK)n Support Programme 2 IMSP2}. CWM assists member churches lo develop their priorities for mission, based on three lo five-year strategic plans and allocates resources lo assist them with implementation of their mission plans. The MSP2 programme was implemented in 2002 and is not time constrained. Mission Support Programme 3 IMSP31. MSP3 is the successor programme to MSP2. It was established in 2006. after the majority of member churches have utilised their MSP2 giants. MSP3 is also not lime constrained. Legacies of Slavery Programme. The Board has approved the transfer of £6m back to the general fund and this resulted a reversal of £528,QOO for the income distributed in 2020. The real interest allocation of income for this year is £750,247 which was transferred from the generyal fund lo the Legacies of Slavery Programme. The designated £10m will be invested for the period from 2020 to 2029, as part of the Charity's commitment lo fund the programmes and other projects pertaining to reparation for the legacies of slavery. Each year, a transfer from the general fund lo this fund will be made based on the inveslmanl returns generated. Covid-19 Solidarity Fund. In June 2021, the Board agreed to designate an additional £800,000 for Covld-19 Solidary Fund. This fund will be used lo support member churches and the community that are adversely affected by the impact of the on-going Covid-19 pandemic. 37 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 12. ANALYSIS OF NET ASSETS BETWEEN FUNDS Endowment and Restricted Funds Unrestrlcted Funds Designated Funds Total Funds Fund balances at 31 December 2021 are represented by: Tangible fixed assets Investments Current assets Current liabilities Total Net Assets 2,574,689 168,268,174 5,401,379 14.175,8941 172,068,348 2,574,689 191,847,303 5,401,379 (4,175,894) 195,647,477 13,822,051 9,757,078 13,822,051 9.757,078 Prlor Year Endowment and Restricted Funds Unrestricted Funds Deslgnated Funds Total Funds Fund balances at 31 December 2020 are represented by: Tangible fixèd assets Investments Current assets Current liabilities Total Net Assets 2,642.896 146,735,576 5,033,110 14,723,592) 149,687,990 2,642,896 174,835,473 5,033,110 14,723,592) 177,787,887 19,850,402 8,249,495 19,850,402 8,249,495 13. PENSION SCHEMES Unfunded scheme Discretionary pensions amounting lo £62,546 in 2021 12020.. £68.2271 were paid from the Retired Missionaries Fund to missionaries previously employed by CWM UK 2nd not part of the defined benefit scheme described in Note 10.4. The Retired MissB)naries Fund is expected to have sufficiènt funds to meet any commitments mado lo these individuals. 14. ULTIMATE PARENT ENTITY The Charity's ultimate parent entity is CWM Ltd, with business address al 114 LaveRder Street, #12-01 CT Hub 2, Singapore 338729, Singapore. CWM Ltd is a registered charity IUEN 201206146ZI limited by guarantee in Singapore. CVVM Ltd carries out all of the direct charitable activities previously undertaken by CWM UK, sUPPOrting the worldwide partnership ol churches lo carry out God's mission locally. CWM Ltd is the sole member ol CWM UK and has 1 Oook control over CWM UK. Consolidated accounts can be obtained from Accounting and Corporate Regulatory Authority or ACRA Iwww.acra.gov.sgl. 38 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 15. PRIOR PERIOD STATEMENT OF FINANCIAL ACTIVITIES Unr8stricted Funds Restrlcted Endowment Funds Funds Totsl 2020 Funds Noto Incom& and 8ndowment5 from- Donallon and leg8CI8S Investment Income 96,721 3,469,850 3,566,671 96,721 3,832,812 3,629,533 56,666 56,666 6,296 6,296 Expenditure on-. Raising funds Charitable actniilies 1,211,736 4,378,769 5.590,505 25,928 13,118 39,046 2,861 68.227 71,108 1.240,545 4.460,114 5,700.659 Operating SurplusllDeflclti Nel gains on investments Net Income Not Movement in Funds 12,023,934) 12,326,608 10,3Q2,674 17,620 {64,812} 12,071,126 125,8551 1419,244) 11,881,509 18,2351 1484,0561 9,810.383 Reconciliation of fund8'. Total Funds At 1 January 2020 Total Funds At 31 December 2020 159,235,718 169,538,392 768,154 759,919 7,973,632 167,977,$04 7,489.576 177,787,887 All income and expenditure were derived from continuing activities. The statement of financial aclivitses Includes all gains or losses recognised in the year. 16. LEASING COMMITMENTS CWM UK had the following future minimum lease payments under non-c8ncellable operating leases for the Equipment as follows.. Equipment 2021 2020 Less than one year Between one and five years 8,041 5,6SO 8,963 13,691 22,654 39 COUNCIL FOR WORLD MISSION (UK) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 17. CASH FLOWS FROM OPERATING ACTIVITIES Note 2021 2020 Profil before lax Wrile-off ol tangible fixed assets Depreciation Gains otE managed investments (Gainslllosses on propety investments (Gainslllosses on current assets investments (Gainslllosses on foreign exchange Investment income- Dividends and Interest Investment income- Rent Investment income- Non-cash dividends reinvested Ilncreaselldècrease in debtors Decrease in creditorslprovisions 17,859,592 9,810.383 68,913 68,856 5.1 119,981,254} 112,104,691) 1170,500) 89,300 4,077 18,660 130,311 } 115,221 13,879,320) {3,427,2291 1112.8491 1105,461) 1261 11,945) 407.199 1143,069} 1547,6981 1177,583} Nel cash from operating activities 16,382,177) 15,857,5581 18. COMPANY INFORMATION The Charity Is a private limited company Iregislered number 47586401. which is incorporated and domicilecl in the UK and is a public benefit entity. The address of the registered office is 10 Queen Street Pla(£. London EC4R 1 BE. 40