DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
**Charity number: 1112606**
## **BETHANY CITY CHURCH SUNDERLAND**
## **UNAUDITED**
**TRUSTEES' REPORT AND FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 AUGUST 2021**
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **CONTENTS**
||Page|
|---|---|
|**Reference and Administrative Details of the Charity, its Trustees and Advisers**|1 - 2|
|**Trustees' Report**|3 - 7|
|**Independent Examiner's Report**|8|
|**Statement of Financial Activities**|9|
|**Balance Sheet**|10|
|**Notes to the Financial Statements**|11 - 26|
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2021**
|**Trustees**|D Burke, Chairman until 31/10/2021 (resigned 31 October 2021)|
|---|---|
||C Seadon, Treasurer|
||R Martin (resigned 11 May 2021)|
||R McNaughton|
||A Blackhall (resigned 1 November 2020)|
||A R Chadwick (resigned 8 November 2020)|
||P Smithson|
||M Brydon|
||P Waugh, Chairman from 31/10/2021|
||P W Errington|
||F Forster (resigned 7 June 2022)|
|**Charity registered**
**number**
1112606
**Principal office**
Bede Tower
Burdon Road
Sunderland
SR2 7EA
**Accountants and**
**Independent Examiners**
Kinnair Associates Limited
Chartered Accountants
Aston House
Redburn Road
Newcastle upon Tyne
NE5 1NB
**Bankers**
Barclays Bank Plc
Newcastle City Office
Newcastle upon Tyne
NE1 4QL
**Solicitors**
Lewis & Co
37 Brassey Avenue
Hampden Park
Eastbourne
East Sussex
BN22 9QD
**Staff team**
S Burin - Senior Pastor
D Alcock - Assistant to the Pastor
D Miller - Centre Manager
H Yang - Chef and food bank
A Headley - Cleaner||
Page 1
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021**
## **Leadership Team**
S Burin - Senior Pastor D Miller - Centre Manager D Alcock - Assistant to the Pastor C Seadon - Treasurer A Laws G Foster D Johnson B Jones P Smithson H Yang M Brydon
Page 2
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021**
The trustees present their annual report together with the financial statements of the Charity for the year 1 September 2020 to 31 August 2021. These are prepared in accordance with the governing document and the recommendations of the Statement of Recommended Practice: Accounting and Reporting by Charities, and comply with the applicable law.
## **Objectives and activities**
## **Policies and objectives**
The aims and objectives of the charity, and the strategies and activities undertaken to achieve them are:
To advance the Christian faith in accordance with the Statements of Beliefs appearing in the Trust Deed in Sunderland and in other parts of the United Kingdom or the world as the Trustees may from time to time think fit and to fulfil such other purposes which are exclusively charitable according to the law of England and Wales and are connected to the charitable work of the trust.
To relieve persons who are in conditions of need and hardship or who are sick and to relieve the distress caused thereby in the said location and in such parts of the United Kingdom or the world as the trustees may from time to time think fit.
The charity seeks to make an impact in Sunderland and the North East region through the demonstration of Christian love in action.
In setting objectives and planning for activities, the trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2) and, in particular, the specific guidance on the advancement of religion. The trustees also considered how the charity had succeeded in delivering its aims, including public benefit, when reviewing the achievements for the year which are summarised below:
- The continued development of a distinctive Christian lifestyle throughout the Fellowship;
- Ongoing care for the sick, elderly and needy;
- The operation of a Food Bank four days per week, to feed the needy. Foodbank operations were continued during the pandemic with social distancing and other precautions in place;
- Continuing psychological support for lonely and marginalised during COVID 19 lockdowns;
- The provision of meals on a weekly basis to the homeless and needy;
- Generously support relief and development work overseas;
- Encouraging acts of kindness;
- Offering hospitality to overseas students, Support and hospitality for asylum seekers and visitors to Sunderland;
- Supporting children and families by providing ongoing support and training;
- The continued development of outreach to the community through sports;
- The provision of pre-marriage counselling for couples; and
- Continuous support for church members and affiliates during COVID-19 pandemic.
We, as trustees, have fulfilled our duty to disclose information regarding public benefit in accordance with Section 17 of the 2011 Charities Act.
Page 3
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
**TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021**
## **Achievements and performance**
## **Main achievements of the Charity**
The church continues to grow in its sixteenth year as an independent charity and seventeenth since its inception.
The church continues to operate from Bede Tower, a former school with a city centre location. The premises are owned by the Vardy Foundation with Bethany City Church as the sole tenant. The facilities allow the continuation of Sunday morning services and the addition of Sunday evening services, with regular attendance of up to 250 adults and children on a Sunday morning.
During COVID-19 lockdowns services and other ministries were continued online maintaining the support we give attenders and their families.
As well as the provision of a home for the church, Bede Tower has the space and capacity to operate as a Christian Centre and is open seven days per week. In addition to the Theatre which is used for a wide range of activities including Sunday worship, the premises have a refectory, sports hall, soft play area, a number of meeting rooms and offices, thus enabling all of the church activities to be conducted ‘in house’. Subsequently we are continuing to extending the range of youth and adult activities on offer.
Benefits of the building include;
- Permanent base for church activities;
- Room to expand and develop the work of the church;
- A place to build relationship and friendship with people;
- Close working with local communities;
- City centre location allowing a higher profile for the church;
- Premises resource which can be shared with other local groups and organisations;
- Central location for the Food Bank;
- Central location to feed the homeless and needy; and
- Potential revenue from renting rooms was non-existent during this period. We benefitted greatly from the government’s furlough scheme to maintain our team during lockdowns.
The church fellowship continues to seek to make significant impact on the City of Sunderland through work amongst children, young people, international students as well as adults from both the local area and those seeking or who have gained asylum.
Normally, it runs a number of programmes designed to meet the needs of the community including the Ark Toddler Group, Youth Groups for ages 7-11, 12-16 and 16+. As well as The Globe International Café for international asylum seekers, Soul Kitchen for the homeless and lonely, Fresh Start woodworking classes and Art classes for the unemployed, Alpha Courses, Marriage Preparation and Outreach into Sunderland Community. During the pandemic, some of these ministries had to be re-shaped or curtailed,
We benefited greatly from some funding from Sunderland City Council to continue our community support.
All helpers engaging with youth work and vulnerable adults work have been through Safeguarding training, DBS checks and the charity is compliant with good practice guidelines.
Bethany City Church continues to work with other church groups seeking to reach out with tangible support in Sunderland and the North East region. A number of church members are involved in external ministries which provide practical help for people of all ages who get into difficulties mainly through drugs and excessive alcohol. Support is also provided through the Food Bank which has continue to grow again over the past 12 months and is operated five days per week from the Centre.
Page 4
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021**
## **Financial review**
## **Overview**
Incoming resources for the year amounted to £259,690 (2020: £249,953) and resources expended were £234,824 (2020: £240,100). The charity held balances at 31st August 2021 of £184,698 (2020: £159,832) comprising £149,008 (2020: £124,737) unrestricted funds and £35,690 (2020: £35,095) restricted funds. Fund balances are to be carried forward for the future fulfillment of the charity's objectives. The premises fund was originally set up as a designated fund (part of unrestricted funds) but after reviewing the nature of the donations to this fund the trustees have decided it should be reclassified as a restricted fund.
## **Going concern**
After making appropriate enquiries, the trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements.
## **Reserves policy**
The trustees have reviewed the level of reserves held by the charity and aim to maintain reserves above the level of 12 weeks typical expenditure.
## **Structure, governance and management**
## **Constitution**
Bethany City Church Sunderland is a registered charity, number 1112606, and is constituted under a Trust deed dated 14th November 2005.
## **Methods of appointment or election of Trustees**
The governing body of the charity is the board of trustees, which currently comprises eight members.
The trustees who acted during the year and up to this report are shown on page 1.
The charity has an induction programme in place as directed by the Charities Commission with input from legal advisors for the appointment and training of new trustees.
## **Organisational structure and decision-making policies**
The trustees have full financial and legal responsibility for the activities of the charity. Day to day management of the charity has been delegated to the leadership team who work within approved guidelines and budgets.
The charity is not affiliated under a wider network and is a member of the Evangelical Alliance.
The charity is not a subsidiary to any other charity or organisation.
## **Related party relationships**
The trustees are not aware of any related party for which disclosure is considered to be made.
Page 5
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021**
## **Structure, governance and management (continued)**
## **Financial risk management**
The trustees have assessed the major risks to which the Charity is exposed, in particular those related to the operations and finances of the Charity, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.
## **Plans for future periods**
The premises not only provide a stable base for our current activities but allow the development of new work which will further the charitable objectives of the church. We do see the city centre site of Bede Tower which borders one relatively deprived community and another more prosperous resulting not only in more community based work but also partnership working with other like-minded organisations. The church activities are fully managed as a charitable organisation but we recognised that to undertake certain activities within Bede Tower we needed to consider the formation of a separate business model to help deliver our objectives. Subsequently, Bede Tower Ltd was set up to undertake any trading activity that has developed within the premises. Bede Tower Ltd is a company limited by shares, with one share holder Bethany City Church. It has its own Board of Directors that oversee its strategic operations. Any profits derived from Bede Tower Ltd are gifted to Bethany City Church to forward its charitable objectives.
Benefits of this approach include;
- To allow the church to focus on its primary work and not to be distracted by business management
- To develop appropriate business opportunities which will support the charitable work of Bethany City Church Sunderland
- To ensure the charity is protected from liability or risk
- To allow effective partnership working with other organisations.
The primary focus of the Leadership Team is on the growing of the congregation, deepening the spiritual lives of those who are part of the church as well as reaching out to the community in Sunderland with the good news message of Jesus as well as in practical ways. Our overarching objective remains to ‘build a community whose aim is to live and love like Jesus and get the people of Sunderland into heaven’.
Page 6
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021**
## **Statement of Trustees' responsibilities**
The trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England & Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles of the Charities SORP (FRS 102);
- make judgments and accounting estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in business.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by order of the members of the board of trustees on 23 June 2022 and signed on their behalf by:
## **P Waugh Chairman**
Page 7
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
**INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 AUGUST 2021**
## **Independent Examiner's Report to the Trustees of Bethany City Church Sunderland ('the Charity')**
I report to the charity Trustees on my examination of the accounts of the Charity for the year ended 31 August 2021.
## **Responsibilities and Basis of Report**
As the Trustees of the Charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').
I report in respect of my examination of the Charity's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent Examiner's Statement**
Since the Charity's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of The Institution of Chartered Accountants in England and Wales, which is one of the listed bodies.
Your attention is drawn to the fact that the Charity has prepared the accounts in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.
I understand that this has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
1. accounting records were not kept in respect of the Charity as required by section 130 of the 2011 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
This report is made solely to the Charity's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the Charity's Trustees those matters I am required to state to them in an Independent Examiner's Report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the Charity and the Charity's Trustees as a body, for my work or for this report.
Signed: Dated: 23 June 2022
Mai Mak FCA
**Kinnair Associates Limited**
Page 8
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2021**
|**Note**
**Income from:**
Donations and legacies
3
Charitable activities
4
Investments
5
Other income
6
**Total income**
**Expenditure on:**
Raising funds
7
Charitable activities
8
**Total expenditure**
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
Net movement in funds
**Total funds carried forward**|**Restricted**
**funds**
**2021**
**£**
**52,686**
**-**
**115**
**-**
**52,801**
**-**
**52,206**
**52,206**
**595**
**35,095**
**595**
**35,690**|**Unrestricted**
**funds**
**2021**
**£**
**201,228**
**299**
**66**
**5,296**
**206,889**
**24**
**182,594**
**182,618**
**24,271**
**124,737**
**24,271**
**149,008**|**Total**
**funds**
**2021**
**£**
**253,914**
**299**
**181**
**5,296**
**259,690**
**24**
**234,800**
**234,824**
**24,866**
**159,832**
**24,866**
**184,698**|_Total_
_funds_
_2020_
_£_
_208,602_
_6,106_
_489_
_34,756_|
|---|---|---|---|---|
|||||_249,953_|
|||||_214_
_239,886_|
|||||_240,100_|
|||||_9,853_|
|||||_149,979_
_9,853_|
|||||_159,832_|
The Statement of Financial Activities includes all gains and losses recognised in the year.
The notes on pages 11 to 26 form part of these financial statements.
Page 9
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **BALANCE SHEET AS AT 31 AUGUST 2021**
|**Note**
**Fixed assets**
Tangible assets
13
Investments
14
**Current assets**
Debtors
15
Cash at bank and in hand
Creditors: amounts falling due within one
year
16
**Net current assets**
**Total assets less current liabilities**
**Net assets excluding pension asset**
**Total net assets**
**Charity funds**
Restricted funds
18
Unrestricted funds
18
**Total funds**|**8,050**
**159,127**
**167,177**
**(1,200)**|**2021**
**£**
**18,621**
**100**
**18,721**
**165,977**
**184,698**
**184,698**
**184,698**
**35,690**
**149,008**
**184,698**|_5,601_
_137,525_
_143,126_
_(2,592)_|_2020_
_£_
_19,198_
_100_|
|---|---|---|---|---|
|||||_19,298_
_140,534_|
|||||_159,832_|
|||||_159,832_|
||||||
|||||_159,832_|
|||||_35,095_
_124,737_|
||||||
|||||_159,832_|
The financial statements were approved and authorised for issue by the Trustees on 23 June 2022 and signed on their behalf by:
## **C Seadon Treasurer**
The notes on pages 11 to 26 form part of these financial statements.
Page 10
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **1. General information**
Bethany City Church Sunderland is a registered charity, (registration number 1112606). The registered office address of the charity is Bede Tower, Burdon Road, Sunderland, SR2 7EA.
## **2. Accounting policies**
## **2.1 Basis of preparation of financial statements**
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.
The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
Bethany City Church Sunderland meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
The Charity has taken advantage of the exemption within the Charities Act 2011 not to prepare group accounts being parent of a small group.
## **2.2 Going concern**
The trustees consider that there are no material uncertainties concerning the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity. For this reason, the accounts continue to be prepared using the going concern basis.
## **2.3 Income**
All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Collections and donations are recognised when received.
Planned giving receivable under Gift Aid is recognised only when received.
Income tax recoverable on Gift Aid donations is not recognised until such claims that are made have been approved by HM Revenue and Customs and the amount receivable can be quantified with reasonable certainty.
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DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **2. Accounting policies (continued)**
## **2.3 Income (continued)**
Grants and legacies to the Church 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 reasonably certain.
Gifts in kind and donated services and facilities are recognised at fair value at the point of receipt where the benefit to the charity is reasonably quantifiable and measurable.
Funds raised by events are accounted for gross.
## **2.4 Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Expenditure on raising funds includes all expenditure incurred by the Charity to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
## **2.5 Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
## **2.6 Tangible fixed assets and depreciation**
Tangible fixed assets costing £250 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
At each reporting date the Charity assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined to be the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.
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DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **2. Accounting policies (continued)**
## **2.6 Tangible fixed assets and depreciation (continued)**
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, .
Depreciation is provided on the following bases:
- Plant and machinery two - ten years straight line Motor vehicles - two - ten years straight line
## **2.7 Investments**
Investments in subsidiaries are valued at cost less provision for impairment.
## **2.8 Debtors**
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **2.9 Cash at bank and in hand**
Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
## **2.10 Liabilities and provisions**
Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
## **2.11 Financial instruments**
The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
## **2.12 Pensions**
The Charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charity to the fund in respect of the year.
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DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **2. Accounting policies (continued)**
## **2.13 Fund accounting**
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
## **3. Income from donations and legacies**
|General collections
Premises collections
Gift aid tax refunds
Designated gifts
Grants
Government grants
General collections
Premises collections
Gift aid tax refunds
Designated gifts
Grants
Government grants|**Restricted**
**funds**
**2021**
**Unrestricted**
**funds**
**2021**
**£**
**£**
-
134,743
480
-
-
19,904
-
31,426
52,206
-
-
15,155
52,686
201,228
_Restricted_
_funds_
_2020_
_Unrestricted_
_funds_
_2020_
_£_
_£_
_-_
_111,682_
_4,329_
_-_
_-_
_20,263_
_-_
_44,168_
_-_
_1,200_
_-_
_26,960_
_4,329_
_204,273_|**Total**
**funds**
**2021**
**£**
**134,743**
**480**
**19,904**
**31,426**
**52,206**
**15,155**|
|---|---|---|
|||**253,914**|
|||_Total_
_funds_
_2020_
_£_
_111,682_
_4,329_
_20,263_
_44,168_
_1,200_
_26,960_|
|||_208,602_|
Page 14
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **4. Income from charitable activities**
|**Unrestricted**
**funds**
**2021**
**£**
Events income
299
_Unrestricted_
_funds_
_2020_
_£_
Events income
_6,106_|**Total**
**funds**
**2021**
**£**
**299**|
|---|---|
||_Total_
_funds_
_2020_
_£_
_6,106_|
## **5. Investment income**
|Bank interest receivable
Bank interest receivable|**Restricted**
**funds**
**2021**
**Unrestricted**
**funds**
**2021**
**£**
**£**
115
66
_Restricted_
_funds_
_2020_
_Unrestricted_
_funds_
_2020_
_£_
_£_
_280_
_209_|**Total**
**funds**
**2021**
**£**
**181**|
|---|---|---|
|||_Total_
_funds_
_2020_
_£_
_489_|
Page 15
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **6. Other incoming resources**
|**Unrestricted**
**funds**
**2021**
**£**
Sundry income
5,296
_Unrestricted_
_funds_
_2020_
_£_
Sundry income
_34,756_|**Total**
**funds**
**2021**
**£**
**5,296**|
|---|---|
||_Total_
_funds_
_2020_
_£_
_34,756_|
## **7. Expenditure on raising funds**
## **Costs of raising voluntary income**
|**Unrestricted**
**funds**
**2021**
**£**
Advertising
24
_Unrestricted_
_funds_
_2020_
_£_
Advertising
_214_|**Total**
**funds**
**2021**
**£**
**24**|
|---|---|
||_Total_
_funds_
_2020_
_£_
_214_|
Page 16
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **8. Analysis of expenditure on charitable activities**
## **Summary by fund type**
|Direct costs - Activities
Direct costs - Activities|**Restricted**
**funds**
**2021**
**Unrestricted**
**funds**
**2021**
**£**
**£**
52,206
182,594
_Unrestricted_
_funds_
_2020_
_£_
_239,886_|**Total**
**funds**
**2021**
**£**
**234,800**|
|---|---|---|
|||_Total_
_funds_
_2020_
_£_
_239,886_|
## **9. Analysis of expenditure by activities**
|Direct costs - Activities
Direct costs - Activities|**Activities**
**undertaken**
**directly**
**2021**
**£**
194,470
_Activities_
_undertaken_
_directly_
_restated_
_2020_
_£_
_193,851_|**Support**
**costs**
**2021**
**£**
40,330
_Support_
_costs_
_restated_
_2020_
_£_
_46,035_|**Total**
**funds**
**2021**
**£**
**234,800**|
|---|---|---|---|
||||_Total_
_funds_
_2020_
_£_
_239,886_|
Page 17
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **9. Analysis of expenditure by activities (continued)**
## **Analysis of direct costs**
|Staff costs
Premises costs
Youth group activities
Sunday school
Church resources and events
Donations
Pathway program
Staff costs
Premises costs
Youth group activities
Sunday school
Church resources and events
Donations|**Religious**
**activities**
**2021**
**£**
142,506
14,065
773
554
3,970
27,863
4,739
194,470
_Activities_
_restated_
_2020_
_£_
_139,038_
_21,189_
_349_
_241_
_4,882_
_28,152_
_193,851_|**Total**
**funds**
**2021**
**£**
**142,506**
**14,065**
**773**
**554**
**3,970**
**27,863**
**4,739**|
|---|---|---|
|||**194,470**|
|||_Total_
_funds_
_2020_
_£_
_139,038_
_21,189_
_349_
_241_
_4,882_
_28,152_|
|||_193,851_|
Page 18
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **9. Analysis of expenditure by activities (continued)**
## **Analysis of support costs**
|Depreciation
Telephone
Repairs and maintenance
Stationery and printing
Course expenses
Motor expenses
Sundry expenses
Insurance
Governance costs
Depreciation
Telephone
Repairs and maintenance
Stationery and printing
Course expenses
Motor expenses
Sundry expenses
Insurance
Governance costs|**Religious**
**activities**
**2021**
**£**
6,596
4,420
12,855
1,913
361
417
5,930
6,438
1,400
40,330
_Activities_
_restated_
_2020_
_£_
_5,791_
_5,223_
_13,849_
_2,419_
_1,121_
_2,837_
_7,236_
_6,171_
_1,388_
_46,035_|**Total**
**funds**
**2021**
**£**
**6,596**
**4,420**
**12,855**
**1,913**
**361**
**417**
**5,930**
**6,438**
**1,400**|
|---|---|---|
|||**40,330**|
|||_Total_
_funds_
_2020_
_£_
_5,791_
_5,223_
_13,849_
_2,419_
_1,121_
_2,837_
_7,236_
_6,171_
_1,388_|
|||_46,035_|
Governance costs comprise above comprise accountancy fees of £1,400 (2020: £1,388).
The split of costs between direct, support and governance has been amended in line with the Charities SORP and the 2020 comparative figures above have been restated. The total expenditure remains unchanged.
Page 19
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **10. Independent examiner's remuneration**
||**2021**|_2020_|
|---|---|---|
||**£**|_£_|
|Fees payable to the Charity's independent examiner for the preparation|||
|and independent examination of the Charity's annual accounts|**1,400**|_1,388_|
## **11. Staff costs**
|Wages and salaries
Social security costs
Contribution to defined contribution pension schemes|**2021**
**£**
**129,557**
**6,410**
**6,539**
**142,506**|_2020_
_£_
_127,133_
_6,640_
_5,265_|
|---|---|---|
||||
|||_139,038_|
Included above are redundancy payments totalling £8,782 (2020: £nil).
The average number of persons employed by the Charity during the year was as follows:
||**2021**|_2020_|
|---|---|---|
||**No.**|_No._|
|Charitable objectives|**5**|_7_|
No employee received remuneration amounting to more than £60,000 in either year.
Remuneration and benefits received by staff key management (as distinct from trustees who are volunteers) including employer's national insurance and pension contributions amounted to £42,771 for the year.
## **12. Trustees' remuneration and expenses**
During the year, no Trustees received any remuneration or other benefits _(2020 - £NIL)_ .
During the year ended 31 August 2021, no Trustee expenses have been incurred _(2020 - £NIL)_ .
Page 20
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **13. Tangible fixed assets**
|**Cost or valuation**
At 1 September 2020
Additions
Disposals
At 31 August 2021
**Depreciation**
At 1 September 2020
Charge for the year
On disposals
At 31 August 2021
**Net book value**
At 31 August 2021
_At 31 August 2020_|**Plant and**
**equipment**
**£**
**75,422**
**6,519**
**-**
**81,941**
**56,225**
**7,095**
**-**
**63,320**
**18,621**
_19,197_|**Motor**
**vehicles**
**£**
**4,000**
**-**
**(4,000)**
**-**
**3,999**
**-**
**(3,999)**
**-**
**-**
_1_|**Total**
**£**
**79,422**
**6,519**
**(4,000)**
**81,941**
**60,224**
**7,095**
**(3,999)**
**63,320**
**18,621**
_19,198_|
|---|---|---|---|
Page 21
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **14. Fixed asset investments**
|**Cost or valuation**
At 1 September 2020
At 31 August 2021
**Net book value**
At 31 August 2021
_At 31 August 2020_|**Investments**
**in**
**subsidiary**
**companies**
**£**
**100**|
|---|---|
||**100**|
||**100**|
||_100_|
## **Principal subsidiaries**
The following was a subsidiary undertaking of the Charity:
|**Name**||**Company**|**Registered office or principal**|**Principal activity**|
|---|---|---|---|---|
|||**number**|**place of business**||
|Bede Tower|Limited|08685582|Bede Tower, Burdon Road,|Conference|
||||Sunderland, SR2 7EA|organisers|
|**Class of**|**Holding**||||
|**shares**|||||
|Ordinary|100%||||
The financial results of the subsidiary for the year were:
|**Name**|**Income**|**Expenditure**|**Net assets**|
|---|---|---|---|
||**£**|**£**|**£**|
|Bede Tower Limited|**5,057**|**(5,057)**|**98**|
Page 22
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **15. Debtors**
|**Due within one year**
Other debtors
Prepayments and accrued income|**2021**
**£**
**4,303**
**3,747**
**8,050**|_2020_
_£_
_3,262_
_2,339_|
|---|---|---|
||||
|||_5,601_|
## **16. Creditors: Amounts falling due within one year**
|Bank loans and overdrafts
Accruals and deferred income|**2021**
**£**
**-**
**1,200**
**1,200**|_2020_
_£_
_1,592_
_1,000_|
|---|---|---|
||||
|||_2,592_|
## **17. Financial instruments**
||**2021**|_2020_|
|---|---|---|
||**£**|_£_|
|**Financial assets**|||
|Financial assets measured at fair value through income and expenditure|**159,127**|_137,525_|
Financial assets measured at fair value through income and expenditure comprise bank balances.
Page 23
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **18. Statement of funds**
## **Statement of funds - current year**
|**Balance at 1**
**September**
**2020**
**£**
**Unrestricted funds**
General funds
**124,737**
**Restricted funds**
Premises fund
**35,095**
Pathway project
**-**
**35,095**
**Total of funds**
**159,832**
**Statement of funds - prior year**
_Balance at_
_1 September_
_2019_
_£_
**Unrestricted funds**
General funds
_119,493_
**Restricted funds**
Premises fund
_30,486_
**Total of funds**
_149,979_|**Income**
**£**
**Expenditure**
**£**
**206,889**
**(182,618)**
**595**
**-**
**52,206**
**(52,206)**
**52,801**
**(52,206)**
**259,690**
**(234,824)**
_Income_
_£_
_Expenditure_
_£_
_245,344_
_(240,100)_
_4,609_
_-_
_249,953_
_(240,100)_|**Balance at**
**31 August**
**2021**
**£**
**149,008**|
|---|---|---|
|||**35,690**
**-**|
|||**35,690**|
|||**184,698**|
|||_Balance at_
_31 August_
_2020_
_£_
_124,737_|
|||_35,095_|
|||_159,832_|
Page 24
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **18. Statement of funds (continued)**
The Bethany City Church Premises fund was created to raise finance towards the costs of either the fitting out of a building or purchase of equipment and resources for use by the church in either a permanent or temporary home. The church occupies the premises of Bede Tower and the premises fund is now held for repair of Bede Tower.
The Pathway Project - This funding was from the National Lottery Community Foundation to be used to support the vulnerable in society through the Covid pandemic. The pathway project that was initially set up was intended to help the long term unemployed to gain in confidence and to improve their skills to enter the world of work. Costs of running the programme included some staff pay and power costs etc. Once the programme ended due to another Covid lockdown the donors agreed that as our church could use remaining funding to support our work among the disadvantaged.
## **19. Analysis of net assets between funds**
## **Analysis of net assets between funds - current year**
|Tangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year
**Total**|**Restricted**
**funds**
**2021**
**Unrestricted**
**funds**
**2021**
**£**
**£**
-
18,621
-
100
35,690
131,487
-
(1,200)
35,690
149,008|**Total**
**funds**
**2021**
**£**
**18,621**
**100**
**167,177**
**(1,200)**
**184,698**|
|---|---|---|
## **Analysis of net assets between funds - prior year**
|Tangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year
**Total**|_Restricted_
_funds_
_2020_
_£_
_-_
_-_
_35,095_
_-_
_35,095_|_Unrestricted_
_funds_
_2020_
_£_
_19,198_
_100_
_108,031_
_(2,592)_
_124,737_|_Total_
_funds_
_2020_
_£_
_19,198_
_100_
_143,126_
_(2,592)_
_159,832_|
|---|---|---|---|
Page 25
DocuSign Envelope ID: 788FDBA0-7DE1-4800-8CDF-DB00779B7C00
## **BETHANY CITY CHURCH SUNDERLAND**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021**
## **20. Pension commitments**
The Charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable by the group to the fund and amounted to £6,539 (2020 - £5,265). No contributions were outstanding at the year end (2020: £nil).
## **21. Related party transactions**
The Charity has not entered into any related party transaction during the year, nor are there any outstanding balances owing between related parties and the Charity at 31 August 2021.
Page 26