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Company No. 5543940
Charity No. 1111609
st Paul's Theological Centre
(A Charitable Company Limited By Guarantee)
Trustees. Report and
Financial Statements
For the year ended 31 December 2022

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ST PAUL'S THEOLOGICAL CENTRE
Financial statements for year ended 31 December 2022
Contents
Page
Trustees, annual report
Independent auditorfs report
8-11
Statement of financial acb'vities
12
Balance sheet
13
Statement of cashflows
14
Notes to the financial statements
15-25

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ST PAUL'S THEOLOGICAL CENTRE
Trustees, Annual Report for the year ending 31 De￿mber 2022
Reference and administrative information
The registered name of the Charity is St Paul's Theological Centre.
Company number.. 5543940
Charily Registration Number.. 1111609
Principal and Registered Office.. Holy Trinity Brompton, Brompton Road, London, SW7 11A.
Trustees-
Angus Winther (Vice Chairl
Michael Lee (Treasurerl
Andrew Brydon
Genevieve Mensah
Revd Helen Shannon
Jacinth3 Tagal (appointed 28 March 20221
James Orr
Jeremy Jennings
Kathleen Chew
Revd Miles Toulmin
Revd Richard I"Archie"I Coates Ichairl
Sarah Jackson
Revd Nicky Gumbel (resigned 31 August 20221
Company Secretary= Mr lon Shippen
Bankers: National Westminster Bank PLC, 18 Cromwell Pl, South Kensington, London SW7 2LB
Auditors.. Moore Kingston Smith LLP, 6th Floor, 9 Appold Street, London, EC2A 2AP
Objectives and activities
The main aim of the Charity, ès laid out in its governing document, is to provide theological education on all 3spects of the
Christian life and faith in accordance with Biblical principles.
The vision of St Paul's Theological Centre ISPTCI is to help bring theology back into the heart of the church and with this in
mind it has four related aims=
l. To provide training in theol¢)gv and Christian practice for lay people.
2. To establish a new opportunity for Church leadership training.
3. To be a theolo@ical resource for the benefit of both HTB and Alpha.
4. To help other churches develop their own theological training.
We have set out below our priorities, activities and achievements in 2022 in pursuit of our aims..
Lay Training: We continued to deliver the range of programmes we offer at introductory, undergraduate and
postgraduate level and in 2022, 113 student5 not pursuing ordination were engaged in these programmes.
Introductory programme: khool of Theology ISOTI was offered in 2022 as a four-week course. The tracks included
Faith Track covering an overview of Church History, Bible Track focusing on the Book of Revelation, Life Track on
the topic of 'Why Being Yourself is a Bad Idea, and Faith Track on Mission and Evangelism. The online offering
allowed accessibility to a far greater audience, and numbers in person in 2022 totalled 70, compared to 163 online.
In academic year 22123 the decision was mède to pause SOT while a period of review was undertaken with the aim
of relaunching new introductory provision in 23124, with a particular intention to focus on SPTC'S aims to provide
theological training for lay people and be a resource for the benefit of HTB.

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ST PAUL'S THEOLOGICAL CENTRE
Trustees, Annual Report for the year ending 31 De￿mber 2022
Objertives and activities (continued)
3. Ordination training and Discernment..
Having pioneered context-based theological training when launched in 2(X)7, innovation is at the core of
the college and we wènt to continue to press into this as we further develop online learning and hybrid
training models that combine the latest pedagogical approaches alongside proven methods of
engagement. We currently have 148 ordinands training at SPTC- as part of SMC.
In 2022 we continued to deliver our new afternoon program for those in ordination training, The Forge,.
designed to help students develop habits of spiritual devotion. Its aim is to build year upon year. Ordinands
have an opportunity in their formation groups to listen to a variety of speakers, study the Bible and discuss
spiritual growth and Christlikeness. The programme contains 3 streams- Christ-like Disciples,. Missional
Church and Transformed World, which embeds the qualities of the new selection framework.
In September 2020 we piloted a new discernment and training pathway towards Church of England
ordination for mature lay leaders with leadership experience, enabling them to train for the diaconate
within one year. The Caleb stream aims to mobilise a generation rich in Christian leadership and life
experience to serve in parishes across the UK. In July 2021 the first candidate was ordained, a total of ten
candidates started in September 2021 ènd 19 in London in September 2022, with a further 8 students at
our SMC centre in the Eèst Midlands, which draws on our learnings in London. Delivery is through a hybrid
of online and in-person, utilising learnings from the pandemic.
The Peter Stream is a yearlong programme designed to identify and encourage the gifts and calling of
people. It offers a distinctive experience of discernment, complementing the Church of England processes
and seeks to redress underrepresentation in ordained leadership in the Church of England- ethnic, social,
educational
and is open to candidates who have faced exclusion due to these rea50n5. In June 2021 the
first four Peter Stream candidates from the pilot scheme were ordained and 18 candidates completed the
Peter Stream year. In September 2022 19 new candidates joined the Peter Stream.
4. Developing Theological Resources:
Godpod - Theological discussions on current 155ues are available via a monthly podcast called Godpod
which has around 2,5(X)-3,000 regular subscribers. By December 2022 it had released 177 episodes and
had over 1.4million downloads.
School of Theology Streamed - In 2016 we lèunched SOT Streamed which provides the opportunity for
churches to access the School of Theology live teaching via a streamed video service which can be watched
in a context of prayer and worship. This is a great resource for Christians who want to go deeper in their
faith, at a home Eroup or a larger church gathering.
UK and International Development
Since Autumn 2016 we have been working on developing
relationships with UK and international partners, aimed at enhancing theological training globally,
especially through the Anglican Communion, to deliver a range of models of theological training,
appropriate to each context. SPTC'S programme of dispersed learning has steadily grown since then and
we now deliver content acr05S the globe.
In 2016 SPTC Malaysia was launched offering Theological Study and Ordination Training. In September
2022, 76 students were enrolled, and the student body represented 49 churches. The college is reviewing
accreditation for their academic awards and also seeking accreditation for the MA pathway.

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ST PAUL'S THEOLOGICAL CENTRE
Trustees, Annual Report for the year ending 31 De￿mber 2022
Objertives and activities (continued)
Resourcing the HTB Group..
SOT'S in person and online delivery has meant it is even more accessible for post-Alpha attendees nationally
and internationally to support growth in their faith and deepen their understanding of the Bible.
In 2021122 academicyear. over a fifth of ordinands in training at Smcwere placed at HTB network churche5
and by September 2022 3 quarter of our ordinands were from the HTB network. This represents a
significant proportion of our community which is encouraging as we consider the ministry that these
individuals will go on to offer in the future. We are continuing to explore both how we can better serve the
network, as well as how we encourage network church leaders to be fostering and encouraging vocations
and creating a pipeline of ordination candidate5. We engaged a consultant from the network to help
continue to develop and invest in this area.
We have Continued to work closely with CRT in the development and delivery ofthe Peter and Caleb Stream
initiatives, as well as collaborating on sessions within our curriculum as we seek to envision and equip
people for church planting and leadership within the network.
6. Academic life: We have continued to invest in ways to create an environment where staff thrive in their personal
vocation and faith and where the pur5UIt of the mind is celebrated. This includes updating policies which clarify
the development and progre5510ri opportunities for the academic staff team and creating space for them to
pursue research, publish and develop their future careers, as well as for all staff to have space to read, think,
discus5 and pray.
Public benefit
The trustees are aware of the Charity Commission's guidance on public benefit in 'Yhe advancement of religion for the
Public Benefit" and have had regard to it in their administration of the resources of SPTC. In shaping our objectives for the
vear and planning our activities, the trustees have considered the Charity Commission'5 guidance on public benefit, including
the guidance 'Public benefit.. running a charity IPB21'.
The trustees believe that by promoting the Christian faith through theological education, and the training of future church
leaders from a wide variety of Christian denominations, it provides a benefit to the public by-
Providing trained leadership forthe administration of public worship, pastoral care and spiritual development, both
for existing church members and for anyone who wishes to benefit from what the church offers,. and
Promoting Christian values, and service by members of the church in and to their communities, to the benefit of
individua15 and society as a whole.
Plans for future periods
SPTC aims to continue its successful partnership with SMC providing high qualtty theological training in the UK and
internationally. SPTC has the following aims for the forthcoming year..
l. To continue to support the development of high quality theological training through SMC.
2. To continueto develop and accelerate engagement with new models of training such as the Peterand Caleb Stream.
3. To continue to make available theological resources to international partners and affiliates.
4. To refine the financial and operational model to ensure ongoing sustainability forthe future. This include5 teaching
out our Middlesex accredited programmes and launching in September 2023, a track within our Durham-accredited
degree which has a focus on Youth.
5. To launch a new introductory provision that seek5 to engage HTB discipleship, the Peter Stream theology input, and
the wider church network across London.

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Trustees, Annual Report for the year ending 31 De￿mber 2022
St Paul's Theological Centre Remuneration Policyi Principles and Governance
At SPTC we place great value on our highly talented, dedicated and passionate staff team, without whom we could not
deliver against our vision. mission and goals. Our remuneration policy is aimed at ensuring that pay is competitive within
our sector, rewards staff fairly and enables the staff team to feel valued.
Our principle is to reward staff. irrespectwe of seniority, informed by the following..
Fairness. without discrimination and with an intention of cross-entity parity.
Drfferentiation,. to reflect a combination of what is achieved and the way in which it is achieved.
Compliance,. to all HMRC and Charity Commission requirements.
Affordability,. with good stewardship.
In line with at least the London Living Wage for London-based staff anil the Real Living Wage for UK regionally-
based staff.
The HTB Group entities IHTB, Alpha International IAII, the Church Revitalisation Trust (CRT) and St Paul's Theological Centre
ISPTCII operate in close co-operation and within a shared operating model, including a common approach to pay and
benefits for all staff employed within the group entitie5.
The HTB Group Remuneration Committee I"Group Remco'l is a joint sub-committee of the HTB PCC and the CRT and SPTC
boards, and includes representatives from each. Alpha International has its own Global Remuneration Committee (Global
Remcol. In order to maintain a unified approach, Group and Global Remco interface through the HTB Group COO who 51t5
on both committees.
Authority has been delegated by each of the entity boards to the relevant Group and Global Remco, to oversee
remuneration on behalf of each board whi15t acting wtthin the group remuneration framework.
Financial review
SPTC generated income of £2,820,41912021= £1,990,156) comprising mainly income from courses of £1,672,14812021=
£1,809,3991- Independent student income from Mid-week courses decreèsed to £422,17612021.. £531,383) and income
from Ordinands decreased to £1,038,05912021.. £1,163,034),. Peter and Caleb Stream course income increased to
£200,78712021.. £100,499), due to the Cèleb Stream course running for its first full year and an increase in student
numbers from the Autumn term 2022.
In addition, there were donations and gifts received of £1,097,498 12021.. £128,4461, including a one-off donations of
£954,000, given to specifically support the growth ènd development of the college during 2022, and for support of the Peter
& Caleb Streams. SPTC usually expects a slight shortfall on costs each year (which are covered by donations),. however, due
to such generous donation5 during 2022 and cost saving5 which were made throughout the year, SPTC ended 2022 with a
surplu5 on unrestricted funds of £371,57212021 shortfall.. £196,861).
SPTC has a future finèncial commitment to the Church Renewal Trust- a related entity holding the lease to the St Jude's
buildin& from where SPTC operates. The Church Renewal Trust incurred significant costs over 2017 and 2018 to Carry out
necessary repairs to the tower and spire at St Jude's, and the deficit on thi5 project (after a fundraising appeal) was over
£700,000. In 2019, SPTC committed to paying a service fee of £70,000 per year over ten years lending 20281 out of operating
surpluses in order to contribute to this deficit. During 2021 , St Mellitus College made a donation to the Church Renewal
Trust of £225,0(X), thus alleviating SPTC of their commitment until 2024.
In 2022, the London Diocese contributed £250,000 towards the spire repair work, upon the successful sale of a property.
This contribution has further reduced SPTC'S financial commitment on the repair project and has brought forward the end
date to mid-2025.

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ST PAUL'S THEOLOGICAL CENTRE
Trustees, Annual Report for the year ending 31 De￿mber 2022
Policy on reserves
During the year the board updated the SPTC policy on reserves, aligning it with the policy of St Mellitus College and the
other HTB entities, and better reflecting the needs and operations of SPTC. The new policy advises SPTC to maintain a
minimum reserves level of two months of expenditure, with additional reserves being available to offset any future funding
gaps. Free reserve5 at 31 December 2022 were £698,72612021= £324.3611.
Fundraising
The trustees are committed to maintaining the highest legal and ethical standards in the way the charity undertakes its
fundraising activities. All fundraising takes place in-house, and the charity does not use any professional fundraisers or
commercial participators. SPTC is committed to abiding by the Code of Fundraising Practice and the Fundraising Promise.
SPTC takes precautions in our fundraisin@ to ensure the protection of the public. including vulnerable persons from
unreasonably intrusive or per51Stent fundraising approaches. and undue pressure to donate. Our fundraising team take
seriously any expression of dissatisfaction we receive regarding our fundraising practice and aim to resolve any complaints
as quickly as possible. Our policy is to escalate the issue internally to our Dean. If the complaint cannot be resolved, it will
be further escalated to the Chair of the board of trustees, who will nominate an independent member of the board of
trustees or an independent advisor to consider the merits of the complaint and any resulting actions. If necessary, we will
contart the Charity Commission for advice and guidance. No complaints of this nature relating to fundraising were received
in 2022.
SPTC has responded to the General Data Protection Regulation IGDPRI, introduced in May 2018, and continues to monitor
the use of data Ca￿fullY, particularly concerning donor data for fundraising purposes. Our Privacy Policy covers how we use
donor data, and gives donors the option to opt out of any contact or make a formal complaint. We monitor carefully the
relationships we have with donors and seek to maintain a consistent means of stewardship based on the guidance of the
Code of Fundraising Practice and to Fundraising Promise.
Relationships and related parties
Details of related parties are given in notes 16 and 17 of the financial statements.
Strurture, governance and management
St Paul's Theological Centre is a charitable company limited by guarantee and not having a share capital. It was registered
as a company on 23rd August 2005 and with the Charity Commission on 10th October 2005.
Procedures for the recruitment and appointment of trustees are laid out in the memorandum and articles of association.
Trustees nominate new or replacement trustees with approval by the members. The trustee5 are a150 directors for the
purpose of Company Law.
New trustees are provided with guidance notes explaining their role and responsibilities as trustees of the charity. All new
trustee5 are fully briefed on the activities and vision of SPTC and they pursue the independent interests of the charity
notwithstanding their separate responsibilities in other organisations.
Weekly management team and general staff meetings during term time deal with the day to day issues arising. An executive
committee meets as ènd when needed to deal with wider strategy, finance and staff appointment issues arising between
board meetings. The board meets a minimum of three times a year.

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Trustees, Annual Report forthe year ending 31 De￿rnber 2022
Trustees, responsibilities
Company law requires the trustees to prepare accounts for each financial year which give a true and fair view of the state
of the charittys affairs and of the surplus or deficit for that year. In preparing these financial statements the trustees are
required to..
select suitable accounting policies and then apply them consistently,.
comply with applicable accounting Standards, including FRS 102, subject to any material departures disclosed and
explained in the financial statements-
State whether a Statement of Recommended Practice ISORPI applies and has been followed, subjectto any material
departures which are explained in the financial statements;
make judgements and estimates that are reasonable and prudent; and
prepare the financial statements on a going concern basis unless it is inappropriate to presume that the charitable
company will continue in business.
The trustees are responsible for keeping proper accounting record5 which disc105e, with reasonable accuracy at any time,
the financial position of the company and enable them to ensure that the accounts comply with the Companies Act 2006.
They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the
prevention and detection of fraud and other irregularities.
Each of the trustees at the date of approval of this report confirms that..
So far as the trustees are aware, the￿ is no relevant audit information of which the charity's auditors are
unaware,. and
The trustee5 have taken all the steps that they ought to have taken a5 a trustee to make themselves aware of any
relevant audit information and to establish that the charit(s auditors are aware of that information.
Risk management
The trustees have conducted a review of the major risks to which the charity 15 exposed. A risk register ha5 been established
and is updated at least annually. Where appropriate. systems and procedures have been established to mitigate the risks
that the charity faces. Procedures are in place to ensure compliance with health and safety of staff, volunteers and visitors.
The schedule of major risks an(J mttigations identified by the board is set out on page 7.
This report was approved by the board on 7th June 2023. and signed on its behalf bv
The Reverend Archie Coates
Chair of the board of trustees

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ST PAUL'S THEOLOGICAL CENTRE
Trustees, Annual Report forthe year ending 31 De￿rnber 2022
Schedule of Major Risks
Potentlal Rlsk
Mltlgatlon
Loss of confidence by stakeholders.
including but not limited to its
Students, due to the behaviour of
senior leadership or staff members.
Lack of clarity over the relationship
between SPTC and SMC could result in
poor governance and difficulties in
decision making between the two
entities.
Organisational values are clearly defined and regularly communicated.
Prayer and worship are central to life at SPTC.
Oversight and governance structures are in place for senior leaders and
staff.
A close and effective relationship exist5 between SPTC and SMC. The
Chair of SPTC is one of the three Members of SMC and two other SPTC
trustees also serve on the SMC board.
Compliance with Charity Commission, Fundraising and other regulatory
requirements is closely monitored.
Conflicts of interest are considered and disclosed for all decisions
related to SMC and other HTB group entitie5. Conflicted trustees are
excluded from the decision-making process where appropriate.
Internal and external H&S advisor5 monitor and report on risk areas
identified.
Regular H&S reporting takes place at senior management meetings.
Staff training in key H&S procedures is ongoing.
Significant investment has been made in upgrading digital and
technolo8y Svstems, including moves to largely cloud-based systems
which has increased resilience. We demonstrated during the pandemi
our ability to respond flexibly and quickly in a crisis to organisational
needs.
Working closely with Dioceses of the Church of England who provide a
core of the student numbers through ordination.
SMC is subject to reEular external reviews from Ministry Division and
the Quality Assurance Agency.
SMC has a Registrar and Academic Mana8er who are responsible for
ensuring ongoing monitoring and review.
Ensure difference of opinion within staff and student body is
encouraged.
Ensure adequate pastoral support in line with Church of England
recommendations.
Harm comes to visitors or staff due to
lack of appropriate and compliant
Health & Safety procedures.
Inability to operate in the event of a
disaster due to lack of adequate
business continuity planning. Business
continuity compromised or critical
data lost through cyber-attack.
Lack of adequate quality control
results in reduced student numbers
and loss of income.
Changes in Church of England
practices may potentially lead to a
reduced number of people presenting
for ordination training.
Cyber security risks continue to
increase rapidly with changes in
technology, treating risk of data
Security breaches, impacting our
ability to operate and potential
significant financial loss.
Operating and financial model are not
sustainable.
Continuous review of risks, education of staff and ongoing investment
in technology solutions which counter this risk.
Fundraising activities will meet needs over the next few years.
The financial team have developed a plan of approach which includes
clear timeline of data gathering. reporting to key stakeholders and
modelling options, with the intention of arriving at a three year plan to
sustainabilitv.
Work is being undertaken to explore financial sustainability across the
College including looking at modelling student numbers and types,
examination of staffing needs. understanding cost savings of the
pandernic and seeing what can be replicated, and testing boundarie5 of
rovision with Durham Universit
and National Minist Team.

## **CENTRE** 

## **Opinion** 

We have audited the financial statements of ended 31 December 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, (United Kingdom Generally Accepted Accounting Practice). 

In our opinion the financial statements: 

- give a true and fair view of the state of the char s affairs as at 31 December 2022 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended; 

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and 

- have been prepared in accordance with the requirements of the Companies Act 2006. 

## **Basis for opinion** 

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs(UK)) and applicable law. Our responsi Responsibilities for the audit of financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. 

## **Conclusions relating to going concern** 

basis of accounting in the preparation of the financial statements is appropriate. 

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

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

## **Other information** 

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

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

8 



conclude that there is a material misstatement of this other information, we are required to report that fact. 

We have nothing to report in this regard. 

## **Opinions on other matters prescribed by the Companies Act 2006** 

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

- the information given in statements are prepared is consistent with the financial statements; and 

- been prepared in accordance with applicable legal 

- requirements. 

## **Matters on which we are required to report by exception** 

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified mat 

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

- adequate accounting records have not been kept, or 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 by law are not made; or 

- we have not received all the information and explanations we require for our audit; or the trustees were not entitled to take advantage of the small companies exemption from preparing a Strategic Report. 

## **Responsibilities of trustees** 

As explained more fully in page 6, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. 

In preparing the financial statements, the trustees are responsible for assessing the charitable concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. 

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

As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also: 

9 



- Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. 

- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing 

- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees. 

- accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attentio in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are events or conditions may cause the charitable company to cease to continue as a going concern. 

- Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. 

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. 

## **Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud** 

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

The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the charitable company. 

Our approach was as follows: 

- We obtained an understanding of the legal and regulatory requirements applicable to the charitable company and considered that the most significant are the Companies Act 2006, the Charities Act 2011, the Charity SORP, and UK financial reporting standards as issued by the Financial Reporting Council. 

- We obtained an understanding of how the charitable company complies with these requirements by discussions with management and those charged with governance. 

10 



- We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance. 

- We inquired of management and those charged with governance as to any known instances of non-compliance or suspected non-compliance with laws and regulations. 

- Based on this understanding, we designed specific appropriate audit procedures to identify instances of non-compliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining additional corroborative evidence as required. 

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. 

## **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 state to th 

report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to any party other than the charitable company and charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. 


James Cross (Senior Statutory Auditor) for and on behalf of Moore Kingston Smith LLP, Statutory Auditor 

6[th] Floor 9 Appold Street London EC2A 2AP 

> Date: 5 July 2023 

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DoGuSvJn Envelope ID." 7C1407BF45EB4935-9131.AB876306B588
ST PAUL'S THEOLOGICAL CENTRE
STATEMENT OF FINANCIAL ACTIVITIES
Forthw yèar èndèd 31 Dètèmbèr 2022
Unrestricted
funds
2022
Restricted
funds
2022
Total
funds
2022
Totsl
fvnils
2021
INCOME
938
122,046
938
1,096,580
930
127.516
Colle¢tions. dOn8t￿n$ and gr8nts
974,514
122,gB4
974,514
1,097,498
128.446
Investment incorne
1.456
1,458
54
Sch￿￿ Df Theolow ￿Vr8e￿
Mid-week ¢ourse$
Mid-week COurges- ordinands
Peter & C81eb Stream courses
Other income Induding overseas hubs
Income from space rental
11,126
4L,178
1,038,OS9
200,787
16,014
33,303
1,721,465
14.483
531.383
1 163.034
100.499
21.017
31.240
1,861.656
422,176
1,038.059
200.787
33.303
1,721,465
TOTAL INCOME
1,845,905
974,514
2,82Q,419
1,990,156
enditure on Ra
Costs of raising funds
41.543
41,543
40.Q40
rttabl A
SChts￿ of Theolo9y course5
Mid-week Courses
Wider TniDislry of SPTC
Devdopment of site
66.678
1,236.893
38.914
94.305
1,436.790
e6,878
2,211,407
38,914
94,305
2,411,304
104.896
1.841.690
39.897
153.982
2,140.465
974.514
974,514
TOTAL EXPENDITURE
1,478.333
974,514
2,452,847
2,180.505
Net operating income I lexpenditurel
367.572
367,572
Gain I (Lossl on mulli*mployer pensi￿ scheme deficit reduction plan
18
4.000
4,000
17.0001
Net Incorne I lexpendlturel and net movernent In funds
371.572
371,572
Funds broughlfoThv£rd ai 1 J£nuary
352.167
352,187
549.516
Funds carried forw£rd at 31 Detsmber
723.739
723,739
352.167
18mouni$ 8re denved from ¢oniinuing adiviiies.
The notes on p2ges 15 10 25 form part Df these financi21 st£lemenls
JI recDgnised Qsins and10sses Sre ir￿uded In the st£temènt of financi818rt1￿Iies The stalemem of finar￿ activities also complies with thè requirememf
aD incotne and expenditure account underlhe CoTnwanE5 Act 20￿.

## **ST PAUL'S THEOLOGICAL CENTRE** 

## **BALANCE SHEET** 

**as at 31 December 2022** 

|**Note**<br>**FIXED ASSETS**<br>**Intangible assets**<br>7<br>**Tangible fixed assets**<br>8<br>**Total fixed assets**<br>**CURRENT ASSETS**<br>**Debtors**<br>9<br>**Cash at bank and in hand**<br>10<br>**Total current assets**<br>**LIABILITIES: AMOUNTS FALLING DUE WITHIN ONE YEAR**<br>11<br>**NET CURRENT ASSETS**<br>**LIABILITIES: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR**<br>12, 18<br>**NET ASSETS**<br>**FUNDS**<br>**Unrestricted**<br>**- General funds**<br>**Restricted**<br>14<br>**Registered No.  5543940**|**2022**<br>**£**<br>22,602<br>2,412<br>25,014<br>277,180<br>681,863<br>959,043<br>(260,317)<br>698,726<br>-<br>723,740<br>723,739<br>-<br>723,739|**2021**<br>**£**<br>21,860<br>5,946|
|---|---|---|
|||27,806|
|||313,564<br>176,088|
|||489,652<br>(156,291)|
|||333,361<br>(9,000)|
|||352,167|
|||352,167<br>-|
|||352,167|
||||



Approved by the Board on 2023 and signed on its behalf by: 


������������������������. 

## The Rev�d Archie Coates 

Chairman of the board of trustees 

The notes on pages 15 to 25 form part of these financial statements. 

13 



DoGuSvJn Envelope ID." 7C1407BF45EB4935-9131.AB876306B588
ST PAUL'S THEOLOGICAL CENTRE
STATEMENT OF CASHFLOWS
For the year ended 31 December 2022
Note
2022
2021
Net income I lexpenditurel
371,572
{197,3491
Adjustments for..
Depreciation
3,534
10,325
Decrease I lincreasel in debtors
Increase in creditors
36,384
95,026
1142,7011
28,088
Net cash inflow I loufflowl from operating activities
506,516
1301,6571
Investin
Activities
(Purchase) I disposal of tangible fixed assets
(Purchase) I disposal of intsngible fixed assets
16,0421
17421
Increase I Idecreasel in cash and cash equivalents
505,774
{307,6991
Cash brought fotward at 1 January
176,088
483,787
Cash carried forward al 31 December
881,862
176,088
The charity has no net debt and accordingly no nel debt note is presented.

**ST PAUL'S THEOLOGICAL CENTRE** 

## **Notes to the financial statements** 

## **For the year ended 31 December 2022** 

## **1. Accounting policies** 

## **Basis of preparation** 

These financial statements are prepared on a going concern basis, under the historical cost convention. 

The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). The Charitable Company is a public benefit entity for the purposes of FRS 102 and therefore the Charity also prepared its financial statements in accordance with the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (The FRS 102 Charities SORP), the Companies Act 2006 and the Charities Act 2011. 

The financial statements are prepared in sterling, which is the functional currency of the charitable company. Monetary amounts in these financial statements are rounded to the nearest pound. 

## **Funds** 

General funds represent the funds of the Charity that are not subject to any restrictions regarding their use and are available for application on the general purposes of the charity. Funds designated for a particular purpose by the Charity are also unrestricted. Restricted funds represent those received for specific purposes as specified by the donors. 

The accounts include all transactions, assets and liabilities for which the Charity is responsible in law. 

## **Going concern** 

The trustees have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the charity to continue as a going concern. The trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. In particular, the trustees have considered the charity's forecasts and have taken account of pressures on fee income.  After making enquiries, the trustees have concluded that there is a reasonable expectation that the charity has adequate resources to continue in operation for the foreseeable future.  The charity therefore continues to adopt the going concern basis in preparing its financial statements. 

## **Income** 

## **Voluntary income and capital sources** 

Planned giving receivable under Gift Aid is recognised when the charity is notified of its legal entitlement, the amount due is quantifiable and its ultimate receipt by the charity is probable. 

Income tax recoverable on Gift Aid donations is recognised when the income is received. 

Grants and legacies to the Charity are accounted for as soon as the Charity is notified of its legal entitlement, the amount due is quantifiable and its ultimate receipt by the charity is probable. 

## **Income from investments** 

Interest entitlements on bank accounts are accounted for as they accrue. 

## **Expenditure** 

## **Pension costs** 

SPTC makes available a defined contribution pension scheme for staff. SPTC also participates in the Church of England Funded Pension Scheme for Stipendiary Clergy (see note 18). All pension costs are charged in the financial statements as they fall due. 

## **Expenditure** 

- Expenditure is charged to the Statement of Financial Activities as it falls due, and is analysed according to its nature between the following - Expenditure on raising funds 

   - Expenditure on charitable activities 

As reflected in note 17 (Related Parties), a strong partnership and working relationship is enjoyed between HTB, Alpha International (AI), St Paul�s Theological Centre and the Church Revitalisation Trust.  Shared service costs (known as Central Services) are borne by HTB and then recharged to the other charities using the most appropriate driver for each service cost type.  These support costs are then allocated between charitable activities based on estimates of the resources employed by Central Services towards each of these activities. 

## **Fixed assets** 

The charity capitalises any fixed assets over £1,000. 

These assets are depreciated on a straight line basis over their estimated useful economic lives. The periods used are as follows: Computer equipment: 2 years Furniture & fittings: 3 years Other equipment: 3 years 

15 



**ST PAUL'S THEOLOGICAL CENTRE** 

## **Notes to the financial statements For the year ended 31 December 2022** 

## **1. Accounting policies (continued)** 

## **Intangible assets** 

Software costs are capitalised at historic costs and amortised on a straight line basis over 2 years. 

## **Current assets** 

Amounts owing to the Charity at 31 December are shown as debtors after providing for amounts that it is thought may prove uncollectable. 

## **Cash and cash equivalents** 

Cash and cash equivalents include cash in hand and deposits held at call with banks. 

## **Financial instruments** 

The charity has elected to apply the provisions of Section 11 �Basic Financial Instruments� of FRS 102 to all of its financial instruments. Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. 

With the exceptions of prepayments and deferred income all other debtor and creditor balances are considered to be basic financial instruments under FRS 102. See notes 9, 11 and 12 for the debtor and creditor balances. 

## **Creditors** 

Creditors are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. 

## **Operating lease** 

Rentals paid under operating leases are charged to the statement of financial activities on a straight line basis over the lease term. 

## **Government grants** 

Grants relating to revenue are recognised in income on a systematic basis over the periods in which the entity recognises the associated costs for which the grant is intended to compensate. 

## **Critical accounting estimates and areas of judgement** 

In preparing financial statements it is necessary to make certain judgements, estimates and assumptions that affect the amounts recognised in the financial statements. The following judgements and estimates are considered by the trustees to have the most significant effect on amounts recognised in the financial statements: 

## (i) Useful Economic Lives 

The annual depreciation charge for property, plant and equipment is sensitive to change in the estimated useful economic lives and residual value of assets. These are reassessed annually and amended were necessary to reflect current circumstances. 

## (ii) Pension Scheme Liability 

The pension liability relies on actuarial assumptions (see note 18 for further details). 

## (iii) Support Cost Allocation 

The allocation of support costs from Central Services is based on estimates of the resources used by Central Services on each of these activities. 

16 



**ST PAUL'S THEOLOGICAL CENTRE** 

## **Notes to the financial statements** 

## **For the year ended 31 December 2022** 

## **2. Comparative Statement of Financial Activities** 

The following table analyses 2021's income and expenditure between unrestricted and restricted funds: 

|**INCOME**<br>**Donations and legacies**<br>Gift aid<br>Collections, donations and grants<br>**Investment income**<br>**Income from charitable activities**<br>School of Theology courses<br>Mid-week courses<br>Mid-week courses - ordinands<br>Peter & Caleb Stream courses<br>Other income including overseas hubs<br>Income from space rental<br>**TOTAL INCOME**<br>**Expenditure on Raising funds**<br>**Costs of raising funds**<br>**Expenditure on Charitable activities**<br>School of Theology courses<br>Mid-week courses<br>Wider ministry of SPTC<br>Development of site<br>**TOTAL EXPENDITURE**<br>**Net operating income / (expenditure)**<br>Gain /(Loss) on multi-employer pension scheme deficit reduction plan<br>**Net income / (expenditure) and net movement in funds**<br>Funds brought forward at 1 January<br>Funds carried forward at 31 December|**Unrestricted**<br>**Restricted**<br>**funds**<br>**funds**<br>**2021**<br>**2021**<br>**£**<br>**£**<br>930<br>-<br>58,849<br>68,667<br>59,779<br>68,667<br>54<br>14,483<br>-<br>531,383<br>-<br>1,163,034<br>-<br>100,499<br>-<br>21,017<br>-<br>31,240<br>-<br>1,861,656<br>-<br>1,921,489<br>68,667<br>40,040<br>-<br>101,293<br>3,603<br>1,778,447<br>63,243<br>38,513<br>1,384<br>153,057<br>925<br>2,071,310<br>69,155<br>2,111,350<br>69,155<br>(189,861)<br>(488)<br>(7,000)<br>-<br>(196,861)<br>(488)<br>549,028<br>488<br>352,167<br>-|**Total**<br>**funds**<br>**2021**<br>**£**<br>930<br>127,516|
|---|---|---|
|||128,446|
|||54<br>14,483<br>531,383<br>1,163,034<br>100,499<br>21,017<br>31,240|
|||1,861,656|
||||
|||1,990,156|
|||40,040<br>104,896<br>1,841,690<br>39,897<br>153,982|
|||2,140,465|
||||
|||2,180,505|
||||
|||(190,349)|
|||(7,000)|
|||(197,349)|
|||549,516|
|||352,167|



## **3. Costs of raising funds** 

These are the costs incurred in fundraising. 

17 



**ST PAUL'S THEOLOGICAL CENTRE** 

## **Notes to the financial statements** 

## **For the year ended 31 December 2022** 

## **4. Expenditure on Charitable Activities** 

Support costs for St Paul's Theological Centre have been allocated to the various courses, events and projects on the basis of workload involved in running them. 

Support costs have been apportioned as follows: 

|**School of**<br>**Theology**<br>**Courses**<br>**Weekday**<br>**Courses**<br>**Wider Ministry**<br>**(Hubs)**<br>**St Jude's**<br>**Development**<br>**Total**<br>**2022**<br>**2022**<br>**2022**<br>**2022**<br>**2022**<br>**Support costs**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>Legal<br>758<br>21,086<br>446<br>330<br>22,620<br>IT<br>4,544<br>126,476<br>2,676<br>1,979<br>135,675<br>Finance<br>2,166<br>60,280<br>1,276<br>943<br>64,665<br>HR<br>3,413<br>94,991<br>2,010<br>1,486<br>101,900<br>Operations<br>2,769<br>77,060<br>1,631<br>1,205<br>82,665<br>**13,650**<br>**379,893**<br>**8,039**<br>**5,943**<br>**407,525**<br>**Direct costs**<br>Salaries and Accommodation<br>45,534<br>1,267,345<br>26,819<br>19,823<br>1,359,521<br>Other general management<br>2,735<br>76,075<br>1,611<br>1,189<br>81,610<br>Church Buildings<br>4,151<br>115,535<br>2,445<br>1,807<br>123,938<br>Other direct costs<br>608<br>372,559<br>-<br>65,543<br>438,710<br>53,028<br>1,831,514<br>30,875<br>88,362<br>2,003,779<br>**Total on Statement of Financial Activities**<br>**66,678**<br>**2,211,407**<br>**38,914**<br>**94,305**<br>**2,411,304**|**Total**<br>**2021**<br>**£**<br>24,166<br>110,251<br>68,599<br>75,346<br>63,233|
|---|---|
||**341,596**<br>1,241,597<br>68,731<br>112,564<br>375,977|
||1,798,869|
||**2,140,465**|



As reflected in note 17 (Related Parties), a strong partnership and working relationship is enjoyed between HTB, AI, CRT and SPTC. All shared Support and Creative Services (known as Central Services) are allocated to each of the charities using the most appropriate driver for each department in Central Services. 

|**5. Audit costs and depreciation**<br>Net income/(expenditure) is stated after charging:<br>Auditor's remuneration - current year estimate<br>Under accrual for prior year<br>Depreciation<br>**6. Staff costs**<br>Wages and salaries<br>Social security costs<br>Pension costs|**2022**<br>**£**<br>5,300<br>-<br>5,300<br>3,534<br>**2022**<br>**£**<br>1,438,392<br>149,161<br>62,315<br>1,649,868|**2021**<br>**£**<br>4,230<br>127|
|---|---|---|
|||4,357|
|||11,424|
|||**2021**<br>**£**<br>1,356,948<br>134,998<br>60,018|
|||1,551,964|



As disclosed in note 17 (Related Parties), there is a close working relationship between HTB, AI, SPTC, and CRT2.  The Central Services staff who support all of the charities with 'back office' functions are employed by HTB, and their costs (together with the costs of their departments) are allocated across the entities using the most appropriate basis for each support service.  The staff costs and information in this note includes the proportionate share of these Central Services staff, as well as the relevant share of ministry staff who split their time across the charities due to the nature of their roles. 

The costs of some members of the HTB clergy were cross-charged for work which was done for SPTC.  However, as these clergy members are employed by the Diocese of London and not by HTB, their costs have not been included in the salary figures shown above. 

The average monthly number of full time equivalent employees was 37 (2021: 36). 

18 



**ST PAUL'S THEOLOGICAL CENTRE** 

## **Notes to the financial statements For the year ended 31 December 2022** 

## **6. Staff costs (continued)** 

The number of employees whose total benefits (excluding pension) were greater than £60K was3 (2021: 1), as follows: 

- £60K-£70K bracket - 3 

Central Services staff are on the HTB payroll but serve HTB, AI, SPTC and CRT - each of which bear a portion of their costs.  Relevant details of their remuneration can be found in the 'Staff Costs' note in the HTB Financial Statements. 

None of the trustees received remuneration for services as employees or consultants during the year, or for services as trustees (2021: £Nil) � refer to note 16 for further details. 

## **Key Management Personnel** 

The key management personnel of SPTC comprises the Dean and the Chief Operating Officer. The total employee remuneration (including pension and employer NIC) was £125,317 (2021: £106,215). 

The key management personnel of the Central Services function which serves HTB, AI, SPTC, and CRT comprise the HTB Group Director of People, the HTB Group Chief Operating Officer and the HTB Group Director of Finance. The total employee benefits (including pension and employer NIC) of these key management personnel was £254,482 (2021: £206,700); SPTC only bore a portion of these costs £18,733 (2021: £17,118). 

## **Redundancy/termination payments** 

These totalled £Nil for the year (2021: £774), and include statutory payments as well as ex-gratia amounts where these were considered appropriate. 

This includes SPTC's share of any Central Services redundancies. 

## **7. Intangible fixed assets** 

|**COST**<br>Opening balance at 1 January 2022<br>Additions<br>Disposals<br>Closing balance at 31 December 2022|**Computer**<br>**Software**<br>**£**<br>21,860<br>742<br>-|
|---|---|
||22,602|



As at the 31 December 2022, this asset is yet to be brought into use and therefore no amortisation has been charged for the period. 

## **8. Tangible fixed assets** 

|**COST**<br>Opening balance at 1 January 2022<br>Additions<br>Disposals<br>Closing balance at 31 December 2022<br>**DEPRECIATION**<br>Opening balance at 1 January 2022<br>Charge for 2022<br>Disposals<br>Closing balance at 31 December 2022<br>**NET BOOK VALUE**<br>At 31 December 2021<br>At 31 December 2022|**Computer**<br>**Equipment**<br>**Furniture &**<br>**Fittings**<br>**Other**<br>**Equipment**<br>**£**<br>**£**<br>**£**<br>25,204             17,529             56,288<br>-                       -                       -<br>-                       -                       -<br>25,204             17,529             56,288<br>22,740             17,529             52,806<br>1,471<br>-                2,063<br>-                       -                       -<br>24,211             17,529             54,869<br>2,464<br>-                3,482<br>993<br>-                1,419|**Total**<br>**£**<br>99,021<br> <br>-<br> <br>-<br>99,021<br>93,075<br>3,534<br> <br>-<br>96,609<br>5,946<br>2,412|
|---|---|---|



19 



**ST PAUL'S THEOLOGICAL CENTRE** 

## **Notes to the financial statements For the year ended 31 December 2022** 

|**9. Debtors**<br>Trade debtors<br>Prepayments and accrued income<br>Sundry debtors<br>Balance owed by St Mellitus College<br>**10. Cash at bank and in hand**<br>Cash at bank<br>**11. Liabilities: Amounts due within one year**<br>Creditors for goods and services<br>Balance owed to HTB<br>Balance owed to Alpha<br>Taxation and social security<br>Accruals and deferred income<br>Total<br>All deferred income relates to student fees and will be released in the following financial year.<br>**12. Liabilities: Amounts due in greater one year**<br>Church of England Funded Pension Scheme liability (see note 18)<br>**13. Analysis of net assets by fund**<br>2022<br>Fixed assets<br>Intangible assets<br>Debtors<br>Cash at bank and in hand<br>Liabilities<br>Total<br>2021<br>Fixed assets<br>Intangible assets<br>Debtors<br>Cash at bank and in hand<br>Liabilities<br>Total|**2022**<br>**£**<br>6,958<br>156,366<br>237<br>113,619<br>277,180<br>**2022**<br>**£**<br>681,863<br>**2022**<br>**£**<br>3,806<br>25,520<br>31,734<br>29,179<br>170,078<br>260,317<br> <br>**2022**<br>**£**<br>-<br>**£**<br>**£**<br>2,412<br>-<br>22,602<br>-<br>277,180<br>-<br>681,863<br>-<br>(260,317)<br>-<br>723,740<br>-<br>**£**<br>**£**<br>5,946<br>-<br>21,860<br>-<br>313,564<br>-<br>176,088<br>-<br>(165,291)<br>-<br>352,167<br>-<br>**General**<br>**funds**<br>**Restricted**<br>**funds**<br>**Restricted**<br>**funds**<br>**General**<br>**funds**|**2021**<br>**£**<br>6,946<br>100,017<br>154<br>206,447|
|---|---|---|
|||313,564|
|||**2021**<br>**£**<br>176,088|
|||**2021**<br>**£**<br>7,197<br>17,641<br>-<br>29,793<br>101,661|
|||156,291|
|||**2021**<br>**£**<br>9,000|
|||**Total**<br>**2022**<br>**£**<br>2,412<br>22,602<br>277,180<br>681,863<br>(260,317)|
|||723,740|
|||**Total**<br>**2021**<br>**£**<br>5,946<br>21,860<br>313,564<br>176,088<br>(165,291)|
|||352,167|



20 



**ST PAUL'S THEOLOGICAL CENTRE** 

## **Notes to the financial statements** 

## **For the year ended 31 December 2022** 

## **14. Restricted funds** 

|**Transfer to**<br>**Opening**<br>**Unrestricted**<br>**Balance**<br>**Income**<br>**Funds**<br>**Expenditure**<br>**2022**<br>**2022**<br>**2022**<br>**2022**<br>**£**<br>**£**<br>**£**<br>**£**<br>-<br>954,000<br>-<br>(954,000)<br>**St Mellitus College**- funding for college development<br>-<br>20,514<br>-<br>(20,514)<br>Total Restricted Funds<br>-<br>974,514<br>-<br>(974,514)<br>**Transfer to**<br>**Opening**<br>**Unrestricted**<br>**Balance**<br>**Income**<br>**Funds**<br>**Expenditure**<br>**2021**<br>**2021**<br>**2021**<br>**2021**<br>**£**<br>**£**<br>**£**<br>**£**<br>488<br>-<br>-<br>(488)<br>-<br>68,667<br>-<br>(68,667)<br>Total Restricted Funds<br>488<br>68,667<br>-<br>(69,155)<br>2021<br>2022<br>**Church Revitalisation Trust**- funding for Peter & Caleb<br>streams, and for the general growth and development of the<br>college<br>**World wide leadership training**- funding for media<br>resources, youth training and lectures<br>**Support of Peter Stream**- funding towards Peter Stream<br>Ministry|**Transfer to**<br>**Opening**<br>**Unrestricted**<br>**Balance**<br>**Income**<br>**Funds**<br>**Expenditure**<br>**2022**<br>**2022**<br>**2022**<br>**2022**<br>**£**<br>**£**<br>**£**<br>**£**<br>-<br>954,000<br>-<br>(954,000)<br>**St Mellitus College**- funding for college development<br>-<br>20,514<br>-<br>(20,514)<br>Total Restricted Funds<br>-<br>974,514<br>-<br>(974,514)<br>**Transfer to**<br>**Opening**<br>**Unrestricted**<br>**Balance**<br>**Income**<br>**Funds**<br>**Expenditure**<br>**2021**<br>**2021**<br>**2021**<br>**2021**<br>**£**<br>**£**<br>**£**<br>**£**<br>488<br>-<br>-<br>(488)<br>-<br>68,667<br>-<br>(68,667)<br>Total Restricted Funds<br>488<br>68,667<br>-<br>(69,155)<br>2021<br>2022<br>**Church Revitalisation Trust**- funding for Peter & Caleb<br>streams, and for the general growth and development of the<br>college<br>**World wide leadership training**- funding for media<br>resources, youth training and lectures<br>**Support of Peter Stream**- funding towards Peter Stream<br>Ministry|**Closing**<br>**Balance**<br>**2022**<br>**£**<br>-<br>-|
|---|---|---|
|||-|
|||**Closing**<br>**Balance**<br>**2021**<br>**£**<br>-<br>-|
||488<br>68,667<br>-<br>(69,155)|-|



## **15. Commitments** 

On 14 December 2018, the SPTC board agreed to pay the unfunded costs of the emergency spire repair work carried out in 2017 and 2018 at St Jude's Courtfield Gardens. These payments could be accelerated at the board's discretion, however the original intent was for SPTC to pay the Church Renewal Trust £70,000 per annum, over a period of ten years starting in 2019. 

During 2021, SPTC's commitment was paused until 2024, due to a £225,000 gift from St Mellitus College to CRT1.  A £250,000 gift was received by CRT1 during 2022, and has further reduced SPTC's commitment to end mid-2025.  In light of this reduction, SPTC agreed to pay an additional amount towards the interest cost of the loan. 

|Not later than one year<br>Later than one year but not later than five years<br>Later than five years|**2022**<br>**£**<br>-<br>98,317<br>-<br>98,317|**2021**<br>**£**<br>-<br>210,000<br>125,000|
|---|---|---|
|||335,000|



21 



**ST PAUL'S THEOLOGICAL CENTRE** 

## **Notes to the financial statements For the year ended 31 December 2022** 

## **16. Related Parties (see Related Entities, note 17)** 

None of the trustees were reimbursed expenses during the year (2021: none). 

|**TRUSTEE**|**RELATED TRUSTEESHIPS**|**REMUNERA-**<br>**TION FOR**<br>**NON**<br>**TRUSTEE**<br>**SERVICES**|**RELATED PARTY**<br>**PAYMENTS**|
|---|---|---|---|
|Nicky Gumbel (resigned 31 August 2022)|Alpha International (Trustee & Member), Holy<br>Trinity Brompton (Trustee until 31 August<br>2022), Church Revitalisation Trust (Trustee &<br>Member until 31 August 2022), The Church<br>Renewal Trust (Trustee & Member) and St<br>Mellitus College Trust (Trustee until 16<br>January 2023).|£Nil (2021:<br>£Nil)<br> <br>|None|
|Andrew Brydon|Holy Trinity Brompton (Trustee), Church<br>Revitalisation Trust (Member) and Alpha<br>International (Member).|£Nil (2021:<br>£Nil)|None|
|Jeremy Jennings|The Church Renewal Trust (Trustee until 25<br>August 2022) and Alpha International<br>(Member).|£Nil (2021:<br>£Nil)|None|
|Angus Winther|Holy Trinity Brompton (Trustee &<br>Churchwarden), Church Revitalisation Trust<br>(Trustee), St Mellitus College Trust (Trustee),<br>Church Renewal Trust (Trustee from 28<br>August 2022),  Ecclesiastical Insurance<br>Office PLC (Director) and  Benefact Group<br>PLC (known as Ecclesiastical Insurance<br>Group PLC until 7 March 2022 - Director).|£Nil (2021:<br>£Nil)<br>|Ecclesiastical acts as<br>insurers to the HTB Group.<br>The 2022 insurance<br>premium for SPTC<br>amounted to £6,575 (2021:<br>£6,008).|
|Genevieve Mensah|Church Revitalisation Trust (Member), Holy<br>Trinity Brompton (Trustee), Church Renewal<br>Trust (Trustee from 29 August 2022) and<br>Alpha International (Member).|£Nil (2021:<br>£Nil)|None|
|Kathleen Chew|Alpha International (Trustee).|£Nil (2021:<br>£Nil)|None|
|Archie Coates|Church Revitalisation Trust (Trustee), St<br>Mellitus College Trust (Trustee), St Peter's<br>Brighton (Trustee - resigned 31 August<br>2022),  Alpha International (Trustee -<br>appointed 24 March 2022), Church Renewal<br>Trust (Trustee - appointed 25 March 2022)<br>and Holy Trinity Brompton (Trustee -<br>appointed 1 September 2022).|£Nil (2021:<br>£Nil)|None|
|Sarah Jackson|None|£Nil (2021:<br>£Nil)|Sarah Jackson is the CEO of<br>CRT, a related entity.  See<br>note 17 for disclosure of<br>transactions between SPTC<br>and CRT.|



The total donations made by trustees during 2022 were £20,000 (2021: £Nil). 

22 



**ST PAUL'S THEOLOGICAL CENTRE** 

## **Notes to the financial statements For the year ended 31 December 2022** 

## **17. Related Entities** 

|**ENTITY**|**INCOME**|**EXPENDITURE**|**BALANCE**<br>**OWED TO/**<br>**(FROM) SPTC**<br>**AT YEAR END**|**NOTES**|
|---|---|---|---|---|
|The Church Renewal Trust (CRT1)|£Nil (2021: £Nil)|£Nil<br>(2021: £Nil)|£Nil (2021:<br>£Nil)|The Church Renewal Trust<br>was responsible for the<br>development of St Jude's,<br>Courtfield Gardens which<br>was officially opened on 27<br>November 2012 as the new<br>home of SPTC and SMC.<br>CRT1 holds the lease of 125<br>years on St Jude's with the<br>Diocese of London. In 2018<br>CRT1 finished repair of the<br>tower and spire at St Jude's,<br>Courtfield Gardens. SPTC's<br>service fee commitment<br>towards these repairs is<br>outlined in note 15.|
|Church Revitalisation Trust (CRT)|£954,000<br>(2021: £68,667)|£Nil (2021: £Nil)|£Nil (2021:<br>£Nil)|The 2022 grant from Church<br>Revitalisation Trust  was in<br>support of the Peter & Caleb<br>Streams, and for the growth<br>& development of SPTC<br>during the 2022 financial<br>year.|
|St Mellitus College Trust (SMC)|£1,758,229<br>(2021: £1,793,743)|£363,186<br>(2021: £188,173)|£113,619<br>(2021:<br>£206,447)|SPTC has a very close<br>working relationship with St<br>Mellitus College; SMC pays<br>a portion of student income<br>to SPTC, and SPTC<br>reimburses SMC for a<br>portion of shared costs. The<br>governing structure of SMC<br>stipulates that the board<br>should include nominees of<br>the SPTC board and during<br>2022 these were Revd Nicky<br>Gumbel (resigned 23<br>January 2023), Mr Angus<br>Winther and Revd Archie<br>Coates.|
|St Peter's, Brighton|£NIL (2021: £NIL)|£10,300<br>(2021: £NIL)|£NIL<br>(2021: £NIL)|Reverend Archie (Richard)<br>Coates, the Vicar and<br>Trustee of St Peter's<br>Brighton (until 31 August<br>2022) and the Vicar and<br>Trustee of Holy Trinity<br>Brompton (from 1 September<br>2022) is also a Trustee of<br>SPTC, SMC, CRT2, CRT1<br>and AI.  SPTC paid an<br>unrestricted grant to St<br>Peter's Brighton during the<br>year.|
|Alpha International (AI)|£NIL (2021: £NIL)|£34,354 (2021:<br>£NIL)|(£31,734)<br>(2021: £NIL)|During the year, SPTC<br>bought tickets for ordinands<br>to attend the Leadership<br>Conference 2023.|



23 



**ST PAUL'S THEOLOGICAL CENTRE** 

## **Notes to the financial statements For the year ended 31 December 2022** 

## **18. Pension liability note** 

St Paul's Theological Centre  participates in the Church of England Funded Pensions Scheme for stipendiary clergy, a defined benefit pension scheme.  This scheme is administered by the Church of England Pensions Board, which holds the assets of the schemes separately from those of the Responsible Bodies. 

Each participating Responsible Body in the scheme pays contributions at a common contribution rate applied to pensionable stipends. 

The scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102.  It is not possible to attribute the Scheme�s assets and liabilities to each specific Responsible Body, and this means contributions are accounted for as if the Scheme were a defined contribution scheme.  The pension costs charged to the SOFA in the year are contributions payable towards benefits and expenses accrued in that year (2022: £44,135 2021: £51,274), plus the figures in the table below as being recognised in the SOFA, giving a total charge in 2022 of £35,135 (2021: £49,274). 

A valuation of the Scheme is carried out once every three years.  The most recent Scheme valuation completed was carried out at 31 December 2021.  The 2021 valuation revealed a surplus of £560m, based on assets of £2,720m and a funding target of £2,160m, assessed using the following assumptions: 

- An average discount rate of 2.7% p.a.; 

- RPI inflation of 3.6% p.a. (and pension increases consistent with this); 

- CPIH inflation in line with RPI less 0.8% pre 2030 moving to RPI with no adjustment from 2030 onwards; 

- Increase in pensionable stipends in line with CPIH; 

- Mortality in accordance with 90% of the S3NA tables, with allowance for improvements in mortality rates in line with the CMI2020 extended model with a long term annual rate of improvement of 1.5%, a smoothing parameter of 7, an initial addition to mortality improvements of 0.5% pa and an allowance for 2020 data of 0% (i.e. w2020 = 0%). 

Following the 31 December 2018 valuation, a recovery plan was put in place until 31 December 2022 and the deficit recovery contributions (as a percentage of pensionable stipends) were as set out in the table below.  An interim reduction to deficit contributions to 3.2% of pensionable stipends was made with effect from 1 April 2022.  Following finalisation of the 31 December 2021 valuation, deficit contributions ceased with effect from 1 January 2023, since the Scheme was in surplus. 

As at 31 December 2020 and 31 December 2021 the deficit recovery contributions under the recovery plan in force were as set out in the table below.  For senior office holders, pensionable stipends are adjusted in the calculations by a multiple, as set out in the Scheme�s rules. 

|||**January**|**2021**|
|---|---|---|---|
|**% of pensionable stipends**|**January 2018 to**|**to December**||
||**December 2020**||**2022**|
|Deficit repair contributions|11.9%|7.1%||



Section 28.11A of FRS 102 requires agreed deficit recovery payments to be recognised as a liability.  However, as there are no agreed deficit recovery payments from 1 January 2023 onwards, the balance sheet liability as at 31 December 2022 is nil.  The movement in the balance sheet liability over 2021 and over 2022 is set out in the table below. 

||**2022**|**2021**|
|---|---|---|
|Balance sheet liability at 1 January|9,000|11,000|
|Deficit contribution paid|(5,000)|(9,000)|
|Interest cost (recognised in SOFA)|-|-|
|Remaining charge to the balance sheet liability* (recognised in SOFA)|(4,000)|7,000|
|Balance sheet liabilityat 31 December|-|9,000|



* Comprises change in agreed deficit recovery plan, and change in discount rate and assumptions between year-ends. 

24 



**ST PAUL'S THEOLOGICAL CENTRE** 

## **Notes to the financial statements For the year ended 31 December 2022** 

## **18. Pension liability note (continued)** 

This liability represents the present value of the deficit contributions agreed as at the accounting date and has been valued using the following assumptions.  No assumptions are needed for December 2022 as there are no agreed deficit recovery payments going forward. No price inflation assumption was needed for December 2021 since pensionable stipends for the remainder of the recovery plan were already known. 

||**December**|**December**|**December**|
|---|---|---|---|
||**2022**|**2021**|**2020**|
|Discount rate|n/a|0.0%|0.2%|
|Price inflation|n/a|n/a|3.1%|
|Increase to total pensionable payroll|n/a|-1.5%|1.6%|



The legal structure of the Scheme is such that if another Responsible Body fails, St Paul's Theological Centre could become responsible for paying a share of that Responsible Body�s pension liabilities. 

25