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2025-03-31-accounts

Charity registration number 1113097

Company registration number 1119137 (England and Wales)

FRIENDS OF FRIENDLESS CHURCHES ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

FRIENDS OF FRIENDLESS CHURCHES

LEGAL AND ADMINISTRATIVE INFORMATION

Charity number

1113097

Company number 1119137 Registered office 70 Cowcross Street London EC1M 6EJ office@fofc.org.uk/fofc.org.uk

President

The Most Honourable The Marquess of Salisbury KG KCVO PC DL

Episcopal Patron

Rt Rev'd J Wyn Evans BA BD FRHistS FSA

Vice-Presidents

Hugh Johnson OBE John Porteous OBE Professor Andrew Saint Hon FRIBA (until 16 July 2025)

Board of Trustees

Roger Evans MBE MA * Chairman Peter Scott MBE BA FCA * Honorary Treasurer Simon Evans MA Company Secretary Rev'd Philip Gray BA CertEd Honorary Chaplain Rev’d J Alex Barrow MA Oxon M Litt BSc * Sir Paul Britton CB CVO MA * George Bulmer MA Catherine Cullis MBE MA John Edwards BA ACA Elizabeth Green PhD Richard Halsey MBE BA FSA Thomas Lloyd OBE DL FSA Kirstie Robbins MA DipArch MArch RIBA AABC John Vigar MA FSA Scot FRSA

Director

Rachel Morley BEng PgDip

Auditor

Xeinadin Audit Limited 46 Hamilton Square Birkenhead Wirral Merseyside CH41 5AR

FRIENDS OF FRIENDLESS CHURCHES

LEGAL AND ADMINISTRATIVE INFORMATION

Bankers Coutts & Co
St Martins Office
440 Strand
London
WC2R 0QS
National Westminster Bank Plc
46 Notting Hill Gate
London
W11 3HZ
Solicitors Clifton Ingram
22-24 Broad Street
Wokingham
RG40 1GA
Investment advisors JM Finn & Co
25 Copthall Avenue
London
EC2R 7AH

FRIENDS OF FRIENDLESS CHURCHES

CONTENTS

Page
Trustees' report 1 - 10
Statement of Trustees' responsibilities 11
Independent auditor's report 12 - 15
Statement of financial activities 16 - 17
Balance sheet 18
Statement of cash flows 19
Notes to the financial statements 20 - 37

FRIENDS OF FRIENDLESS CHURCHES

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) FOR THE YEAR ENDED 31 MARCH 2025

The Trustees present their annual report and financial statements for the year ended 31 March 2025.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Charity's Memorandum & Articles of association, the Companies Act 2006 and "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).

In developing objectives and activities, the Trustees have given careful consideration to the Charity Commission's Guidance on public benefit.

Objectives and activities

The objects of the charity are:

Public benefit

The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the Charity should undertake.

FRIENDS OF FRIENDLESS CHURCHES

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

Achievements and performance

New vestings

In 2024-25 three churches were vested in the care of the charity. These are St James’s, Llangua in Monmouthshire, St Deiniol’s, Worthenbury in Wrexham and St Twrog’s, Bodwrog on Anglesey. In addition to these, we committed and started the transfer process of four chapels in England, which had been in the ownership of the Historic Chapels Trust. At the time of writing this report, the lease of St Giles’s, Tadlow in Cambridgeshire had been agreed.

The Charity has had a long relationship with St James’s, Llangua in Monmouthshire as it was rescued from ruin by the founder of the Charity, Ivor Bulmer-Thomas, in 1954. Grade II* listed, the church’s origins are as a 12th-century monastic cell connected to an abbey in Normandy. Much of the character of the extant building comes from its remodelling in the late 15th/early 16th century. The church closed for worship in 2020.

St Deiniol’s church in Worthenbury is widely regarded as one of the finest Georgian churches in Wales. The church was constructed between 1736 and 1739 to the designs of architect Richard Trubshaw. The new building was financed by the ancient, local Puleston family of Emral Hall. The Grade I listed church includes a complete set of 18th-century box pews, each decorated with painted family crests and brass plaques of local gentry, decorative plasterwork and a spectacular east window, comprising salvaged fragments of 14th-century glass from the Jesse window at Winchester College Chapel.

Surrounded by breathtaking panoramic views, St Twrog’s church in the centre of Anglesey has remained largely unchanged since the reign of Henry VII (1485-1509). The small, single-cell building is a simple but deeply moving space. Grade II* listed, it retains three medieval windows in the chancel, including a grand Perpendicular east window. In the 19th century, the plain dado panelling and hat hooks and pews were installed in the nave.

Throughout 2024 and into 2025, we have been dealing with the transfer of four historically significant chapels from the Historic Chapels Trust (HCT). In late 2025, Farfield Quaker Meeting House (West Yorkshire), Coanwood Quaker Meeting House (Northumberland), Cote Baptist Chapel (Oxfordshire), and Biddlestone Roman Catholic Chapel (Northumberland) - will be under the care of the Charity, ensuring their long-term conservation and public access. These acquisitions follow a strategic move by the HCT to find sustainable new custodians for its portfolio of buildings, ahead of the charity closing its operations.

The process of vesting churches in our care can take many years – in addition to our due diligence, there are various schemes that need to be published which are then followed by conveyancing. In some cases, where a church is in dire need, we start our repairs before the vesting process is complete. After approximately seven years of working and waiting, the Grade II* church of St Giles’s, Tadlow in Cambridgeshire was leased to the charity. Members make recall that we undertook extensive, urgent repairs to this church in 2022, which was designated as “at risk” by Historic England. This was a move on our part to prevent the church being in even worse condition, and the associated expense that would entail, when the lease was finally completed.

FRIENDS OF FRIENDLESS CHURCHES

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

Conservation & repair

In 2024-25 we undertook our most challenging and complex projects, including two which were the most expensive projects in the Charity’s history. These were the repairs to St Lawrence’s, Gumfreston in Pembrokeshire and St James’s, Llangua in Monmouthshire.

At Gumfreston, project development – surveys, tendering and enabling works – was carried out in the first half of 2023. The works began on site in October 2023 and completed in March 2025. To begin, a temporary roof scaffold was erected, and repairs to roofs and walls were prioritised. All roofs (slate, sandstone and lead) have been relaid and repairs made to the timber trusses. All cement pointing was raked out, repointed in hot-mixed lime mortar, and the tower, which is exposed and vulnerable to leaking was rendered and lime-washed. Internally, the yellow emulsion was removed (under the supervision of the wall-paintings conservator) and the walls re-plastered and relimewashed where appropriate, and finally, a new drainage system was installed. When the main contractor completed their repairs to the building, the wall-paintings conservators began their painstaking work to detach ivy roots from the painted surfaces, to remove calcite crusts and algal bloom, to remove cementitious repairs and to consolidate the exposed paint schemes. This work has revealed more paintings, medieval and post-Reformation, than we were anticipating. To understand and conserve the paper-thin, fragile layers requires more time; as such, St Lawrence’s will remain closed to visitors until spring 2026 when the conservators have finished their work.

The repairs at St Lawrence’s were funded by grants from Cadw and the National Heritage Memorial Fund (NHMF). The NHMF grant funded two “at risk” churches. The second was St James’s, Llangua.

St James’s is part of the Diocese of Hereford, and is therefore not part of our New Mechanism agreement with Cadw and The Church in Wales (see Funding - grants). The works at Llangua started on site in April 2024 and completed in May 2025. The 15th-century roof was in a dangerous state. The repairs needed were complex and detailed planning was needed to ensure that the project could run smoothly once it started on site. Indeed, it took over three years to get plans, permissions, funding and contractors in place for this project.

After 13 months on site, St James’s looks very different. It’s taller, lighter and crucially, safer.

Immediately, upon acquisition of the site, the contractor installed a series of props internally to hold up the cracked trusses. Then the full scaffold went up externally, and the stone tiles were carefully stripped and set aside for re-use. Using straps and props, the roof timbers, which had snapped, were lifted and squeezed back into an A-shape alignment.

The timber wall-plate, which was rotten in parts, was repaired and replaced as necessary. The stone wall-heads underneath these, which had been pushed and dislocated by the moving roof, were reset.

Stainless steel plates were bolted onto the trusses to increase their capacity to carry the weight of the tiles, and the timbers that could be salvaged were repaired using traditional joinery techniques. This included planing, by hand, metres of roll moulding, cutting new ribs, notching in new collars, and splicing new oak into old.

Believe it or not, back in its (almost) original shape, the roof is now 2ft higher than it was – it really had sagged and deflected that much.

When the roof was back in shape, riven oak laths were installed between the timber ribs. These were then plastered and limewashed – almost all of the complex timber repairs are hidden

Internally and externally, all the cement pointing was raked out and the stonework was repointed in lime mortar. The walls were the plastered in lime. Inside, the walls were limewashed an off-white. Externally, we decided to go for a pale pink colour. This is intended to pick up tones of the orangey-pink in the local clay soil.

Finally, the asbestos panels in the bell-cote were removed and the structure weather-boarded in oak. New louvreboxes were created to given ventilation to the space. A stainless steel-frame had been installed to support the bellcote at some stage in the 1900s. We had, however, pulled the roof back into a shape close to its original, medieval form – a form it hadn’t known for centuries. As such, the 1900s steel structure was no-longer in the correct alignment, and this had to be altered to fit the new roof shape.

St James’s reopened to visitors in June 2025.

FRIENDS OF FRIENDLESS CHURCHES

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

These two projects dominated much our the twelve months in 2024-25, but they were by no means the only projects we undertook. Moving north from Monmouthshire to Anglesey, we spent seven months mending the roof, overhauling the rainwater goods and the below ground drainage at St Twrog’s, Bodwrog. We repaired the glazing to the windows, raked out the cementitious pointing, and repointed the external masonry in lime mortar. The biggest job has been to address the intensely damp conditions internally; so intense, that the timber panelling had turned to mush in places, the walls were green and sprouting tufts of grass, and the floor structure was rotten to dust. All of this has been addressed, and the interior redecorated.

The church reopened to visitors in May 2025.

St Doged’s church in Llanddoged, Conwy closed for worship in 2015 and, in 2017, was designated a ‘Pilgrim Church’ by the Church in Wales. The building was in poor condition when we agreed to take it into our care in 2023. The church is double-naved and repairs were required to the slate roofs on outer slopes of each, repairs were made to timber fascias and soffits, as well as rainwater goods. Internally, the skylight over the pulpit had rotted and been removed; this was repaired, a new plaster moulding was run and the window reinstalled. The woodwork is one of the most charming and impressive elements of the church – with complete box pews, tiered seating for children, panelling and a double-decker pulpit. Dry rot, however, had destroyed this woodwork in places. Where possible, repairs were made, but elsewhere elements were replaced. The painted canvases from behind the pulpit are currently undergoing specialist conservation. Finally, the electric wiring was overhauled and the interior redecorated.

In November 2024, we began a 12-month project at St Andrew’s, South Runcton in Norfolk. Our project team began by investigating the internal floor structure and underlying vaults. These were sunken and uneven throughout, and needed consolidating and strengthening before the full bird-cage scaffold could be erected internally. Special lifting equipment was necessary to hoist some of the enormous and enormously heavy ledger-stones. Defective plaster at low levels was removed to reveal rubblestone walls. These were consolidated where necessary and replastered.

All roofs (nave, apsidal chancel, and conical vestry roof) are in the process of being re-roofed with localised repairs to coping and kneeler stones, and structural timberwork. Whilst the high-level access is in place, repairs will also be made to the stonework to the bell-cote and west front, which is splitting vertically in many places.

We plan to overhaul the rainwater goods throughout the building, improve rainwater disposal details and get the below-ground drains working once more.

The Grade II* church, which dates from the late 1830s, is rendered. This render has cracked and detached in places, and has been brutally patched in others. These areas will be re-rendered as necessary.

The internal ceilings and walls will be redecorated, the lino Creed panels to the chancel will be conserved and cleaned, as will the collection of metal shields which are pinned high in the nave walls.

In addition to major repairs, we undertake a programme of rolling repairs across our estate – localised repointing, timber treatment, redecorating rainwater goods, and so on. On top of this, all of our churches benefit from routine maintenances (clearing gutters, rodding drains, re-fixing slipped tiles, etc). From January 2025, our work in managing maintenance and undertaking minor repairs was increased by the appointment of an Estate Officer. See Staffing for more information.

FRIENDS OF FRIENDLESS CHURCHES

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

Funding - grants

2024-25 saw the successful continuation of the funding arrangement between the Charity, Cadw, and the Representative Body of the Church in Wales. This arrangement involves the Charity making an annual grant application to Cadw and the Church in Wales towards the repair and maintenance of redundant Welsh Anglican churches of architectural and historic importance vested with the Charity. In 2024-25, we received £80,000 from the Church in Wales and £89,183 from Cadw. (£169,183 in total). We are immensely grateful for the financial support provided by Cadw and the Church in Wales.

Other funding applications submitted in the financial year 2023-24, and 2024-25, bore fruit: we began to drawn down our Heritage at Risk grant from Cadw, which was restricted to the repair of St Lawrence’s, Gumfreston; the Francis Coales Foundation and Monumental Brass Society awarded us grants towards the lifting, conservation, beddiing and making good of a 16th-century brass indent at St Mary’s, Mundon in Essex; the Garfield Weston Foundation awarded us £30,000 towards the repair of St James’s, Llangua; when confronted with so many unforeseens and the costs these entailed, we applied for and were granted an uplift to our grant from the NHMF towards the repair of Gumfreston and Llangua, this increase of £229, 079 took our total grant from the NHMF to £998,388.

We also received generous grants from Essex Community Foundation, Ethel and Gwynne Morgan Trust, J & M Britton Trust, Robbins Family Charitable Fund, Samuel Gurney Foundation and The Tanner Trust.

Funding - legacies

With a growing estate and no regular public funding in England, fundraising becomes increasingly critical. The Charity is indebted to those who remember The Friends in their will, who donate and who fundraise for our work. In the last financial year, legacies have been gratefully received from Darrell Buttery, David Cawley, Helene Clay, Susan Easton, Robin Perry, Valerie Pusey and Stephen Turner.

Funding - donations and subscriptions

Membership subscriptions are a significant part of our income and are essential in enabling us to plan repairs for the year ahead, and we are immensely grateful to the people who renew their membership. We are equally grateful to our new members – thank you all for your support. In 2024-25, our membership numbers and income reached a record high 3,110 members earning us an income of £94,147.

Collections made by volunteers and Friends groups at services and events are also a vital contribution to the continuation of our work and we are indebted to them.

We are truly overwhelmed by the generosity of our supporters. You enable us to do so much – to repair places that are for everyone, to provide employment, to bring people behind the scenes, to rescue places that would otherwise be lost. Our work is people-powered. The people who donate are too numerous to list, but please know that we are deeply grateful for all your support.

Staffing

Thanks to the support of a generous benefactor, in January 2025, we were able to increase our staff size from three to five full-time staff members. The new roles are: Deputy Director who is responsible for membership matters and overseeing our financial systems and an Estate Officer who is responsible for managing the routine maintenance and minor repairs at our churches. These are in addition to our existing roles: Director responsible for major projects, fundraising and new acquisitions; an Operations Manager who manages our office; and a Volunteer Coordinator who recruits, enthuses and supports volunteers at our churches.

The intention is that these roles will enable the Friends to be bolder, undertake more projects, become a serious player in the future of closed churches, improve our outreach and engagement, better support our volunteers, improve our maintenance programme and our membership scheme.

FRIENDS OF FRIENDLESS CHURCHES

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

Volunteering and outreach

The Volunteering Coordinator post was made in October 2023 and throughout 2024, the staff member in this role developed a framework for the recruitment and support of volunteers, including the production of a Volunteer’s Handbook

With the Volunteer Coordinator in post, we have recruited more volunteers. Some of these are specific to a church, a geographical area or a project, in the latter case, for instance, we were fortunate to have a photo-journalist volunteer to record the project at Llangua and an organ repairer volunteer to restore the late 19th-century pipe organ at St Cadoc’s, Llangattock Vibon Avel, Monmouthshire.

As well as this, we have had project talks with our Director and the project architect (sold out talks at Tenby and Abergavenny, well attended at Kings Lynn), We also had booked out open days for behind the scenes tours and talks at St James’s, Llangua and St Lawrence’s, Gumfreston, and at Llangua, we hosted our first ever practical day, where volunteers could have a go at traditional skills under the supervision of a specialist. We hope to build on the learnings and success of these events in 2025 and beyond. We hope these events will engage local people with our work, and that they will volunteer to help look after their local church.

Press & PR

Throughout 2024-25, we sought to increase the profile of the Charity and raise awareness about our work. Amongst the press coverage we enjoyed during the year are: an article in The Rectory Society newsletter, an essay in Rathbones Review, an article and lecture for Historic Buildings & Places to mark their centenary, our churches were listed in an article on pilgrimages by The Guardian, coverage of our joint-exhibition Vessel with Art+Christianity in Radix Magazine, and an article in Briefing, the magazine of Yorkshire Archaeological & Historical Society,

The Director and Trustees spoke at various conferences and events throughout 2024-25, including, Pembroke & Monkton History Society, Welsh Places of Worship Forum, conservation students at Bath University and many more.

We continue to generate engaging, attractive content for our online supporters. We are very active on six channels: X (formerly Twitter), Facebook, Instagram, YouTube, BlueSky and LinkedIn, and have, in the past twelve months started to share more videos about our work on YouTube. We grateful for the encouragement, engagement and financial support from our online followers, which on 31 March 2025, totalled 104,628 accounts.

Charitable Trusts & Funds

Brett Trust

The Charity administers the Brett Trust for the benefit of churches at Tilbury-juxta-Clare, Ovington, Essex, and St Stephen’s, Bournemouth. In October 2024, an uplift of £35,000 was made to a grant awarded to St Mary’s, Ovington for structural repairs and re-roofing. These repairs were completed in December 2024.

Cottam Will Trust

The Charity administers a Trust Fund for the purchase of objects of beauty for the furtherance of religion, to be placed in ancient Gothic churches.

In 2024-25, five applications were made to the Cottam Will Trust. Two awards were made. These were: £2,700 towards new stained glass panels to the porch of St Mary & St Peter’s, Wennington, Essex and £3,400 towards the purchase and relocation of a stained glass window from a redundant church to St John’s, Collingham, Nottinghamshire.

Other churches

The Charity administers special funds for the benefit of certain other churches: St James’s, Llangua in Monmouthshire, St Laurence’s, Besselsleigh, Oxfordshire and St Brise’s, Eglwys Brewis, Glamorgan

FRIENDS OF FRIENDLESS CHURCHES

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

Financial review

The financial position is set out in the financial statements for the year. These show a surplus of £710,746 for 202425 after losses on investments of £174,368. The investment losses are largely unrealised. The comparative amounts for 2023-24 showed a net surplus of £1,691,411 including investment gains of £518,147. The Council had taken the opportunity to access grants in 2023-24 which have been expended in 2024-25 with repairs and maintenance expenditure exceeding £1,600,000 in 2024-25. Surplus reserves carried forward amount to £6,584,771 and incudes investments of £6,185,212 and cash at bank £341,069. This is the fifth successive year that our reserves have exceeded £4 million. Trustees are delighted to record their gratitude for the receipt of £1,232,672 in donations and £280,433 in legacies as reported elsewhere in this report.

There were generous grants from Cadw and the Representative Body of the Church in Wales, the National Heritage Memorial Fund, the Tanner Trust, the Garfield Weston Foundation and others. There have been donations from many kind individuals, who wish to remain anonymous.

The Charity remains a beneficiary under the Listed Places of Worship Grant Scheme (LPWGS) which allows VAT paid out on repairs and alterations to be reimbursed. The scheme’s de minimis rule does however prevent the return of VAT that is under £1,000 in a standalone project. In January 2024 the Department for Culture, Media and Sport announced that (LPWGS) will continue for one year from March 2025 with a cap of £25,000 per place of worship. In addition to this, a further cap was imposed: the total available funds are to be limited to £23M. (Last year £29M was claimed.) There is currently no indication of what the Government will do after March 2026.

The introduction of this project cap will affect major projects we had planned for 2024-25, such as St Andrew’s, South Runcton in Norfolk and St Deiniol’s, Worthenbury in Wrexham. Suddenly, repairs will cost us significantly more than we had expected when we set out to adopt these places.

Reserves policy

The unrestricted reserves of the Charity are an inherent part of the risk management policy. They represent funds for the periodic repair of existing vested churches, to provide for the repair of new vestings (excluding those covered by the New Mechanism for the conservation of redundant churches in Wales), and to fund working capital required between the commencement of contracts and the receipt of third-party grants. The Council considered that, as of 31 March 2025, the unrestricted reserves were adequate to meet immediate and medium term needs but, the demands on the Charity and the need for long term repairs at existing vestings continues to grow. Our ability to save more churches depends critically upon funds being available for that purpose. Our existing vestings all require maintenance and periodic repairs, and the ability to save more churches depends critically upon funds being available for that purpose.

The restricted reserves of the Charity represent the funds held for the Cottam Will Trust left by Father Cottam, the Brett Trust established by Miss Winifred Brett in memory of her parents, the fabric funds for specific churches and grants received under the New Mechanism. The objects of the Cottam Will Trust and the Brett Trust are set out above. The assets held on behalf of these trusts are to provide income that is expended in accordance with the objects of those trusts. Specific fabric funds are held to pay for repairs to the relevant churches as required.

Grant-making policy

The major grant-making activity of the Charity relates to the Cottam Will Trust. Applications received are considered by the Council and grants are awarded based upon the conformity of the application with the objects of the Trust, the merit of the project and the financial need of the applicant. Further details of the conditions which applications must meet before they will be considered can be obtained from the office and are given on the Charity's website.

Grants are made from the Brett Trust in response to applications from the three churches for whose benefit the Trust was established.

It is not the policy of the Council to invite applications for grants from the unrestricted funds. However, the Council has made and will continue to make occasional small grants for the furtherance of the Charity's objects from these funds entirely at the discretion of the Council.

FRIENDS OF FRIENDLESS CHURCHES

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

Investment Policy

The Council has appointed an Investment and Finance Sub-Committee which usually meets twice a year. The SubCommittee makes a formal report of its meetings to the Council. The Articles of Association, as amended in 2005, 2006 and 2021 grant the Council permissive rights to delegate discretionary investment powers and nominee status to an outside organisation. Detailed negotiations, assisted by the Charity's legal advisors, resulted in clearance from the Charity Commission to put these powers into force early in 2008-09. The function of the Investment & Finance Sub-Committee thus changed from reviewing individual holdings to that of recommending to the Council the strategic context within which our broker is delegated to operate and the subsequent monitoring of performance. The decision to buy or sell investments now rests with our broker alone. The strategic contexts for the general portfolio and for the Cottam Will Trust are set differently in order to match the objectives of the separate funds. Underlying strategy may occasionally be reviewed.

The members of the Investment & Finance Sub-Committee receive a quarterly report from the brokers showing the current composition of the portfolio and a current valuation. The changes are also reported to the office of the company. The report summarises actual income received and predictions of future income together with indicators which assist the Sub-Committee in its supervisory and monitoring role. A representative of J. M. Finn & Co, our broker, usually attends meetings of the Sub-Committee.

Risk Management

The Trustees have identified the major risks to which the Charity is exposed; systems have been established to mitigate those risks and are reviewed regularly. Trustees commission regular assessments of each of the vestings. Trustees are aware of their responsibility under the Equality Act. We maintain a policy of insurance for all churches and the policies on insurance were comprehensively reviewed in 2024-25 with particular provisions increased. The financial position is regularly monitored by the Council.

Plans for future periods

The Charity will continue to strive for the preservation and conservation of the historic churches in its possession. The level of giving and legacies in recent years has enabled the Charity to tackle the backlog of repairs at certain places of worship in its care, and the taking on of additional threatened churches into care - although the Charity's capital base is likely to remain modest for a body charged with looking after 64 buildings.

The Trustees are mindful that a fifth of the reserves held by the Charity is restricted to the purpose of the Cottam Will Trust alone (see also page 6 of the Trustees' Report).

Structure, governance and management

The Charity was incorporated as a company limited by guarantee on 20 June 1973. Following the acquisition of charitable status in its own right on 13 March 2006, it took over the entire undertaking of the old, unincorporated charity (registered charity no. 209456) of the same name originally established in 1957, with effect from 1 April 2006. On 11 February 2008 the Charity Commission approved a Uniting Direction under section 96(5) of the Charities Act 1993 which directed that the predecessor charity (charity no. 209456) should be treated as forming part of the new charity. This authorised, inter alia, a single set of Accounts to be prepared for the whole entity.

The Charity is governed by its Memorandum and Articles of Association, as amended on 26 October 2005, and 6 March 2006 as part of the above re-organisation. A further amendment on 4 October 2021 permitted the use, in certain circumstances, of remote video-conferencing for general meetings and Council meetings.

FRIENDS OF FRIENDLESS CHURCHES

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

The Trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

Mr R K Evans MBE MA - Chairman Mr P J Scott MBE BA FCA - Honorary Treasurer Mr S J M Evans MA - Company Secretary Rev'd Fr P T Gray BA CertEd - Honorary Chaplain Rev'd J A Barrow MA Oxon M Litt BSc Sir Paul J J Britton CB CVO MA Mr G R H Bulmer MA Ms C A T S Cullis MBE MA Mr J W Edwards BA ACA Dr E Green PhD Mr R Halsey MBE BA FSA Mr H L Pool BA FCMA (Resigned 18 June 2024) Mr J E Vigar MA FSA Scot FRSA Ms K Robbins MA DipArch MArch RIBA AABC Mr T O S Lloyd OBE

The Trustees of The Friends form the Council which is responsible for the governance and management of the Charity. Trustees are as listed on page 1 and are all elected annually by members of the Company at the Annual General Meeting, with the Council having the power to elect further members, where necessary, between meetings. When required, nominations for new appointments to the Council are sought from those with appropriate understanding of conservation matters and skills of benefit to the Charity and Company. Potential Trustees meet the Chairman and Director before a final proposal is put to the Council. Appointments run to the next Annual General Meeting. Each new member of the Council is briefed about the Charity and guidance on the responsibilities and duties of Trusteeship. Relevant material from the Charity Commission is distributed from time-to-time to all members of the Council to ensure that they remain up to date with current duties and practice.

The Council met four times in 2024-25, and the meetings were supplemented by the circulation of additional information as necessary, principally by e-mail, to keep the Council fully informed. The Investment and Finance Sub-Committee met twice during the year; the Standing Committee met once; the Staffing Committee met once.

The Annual General Meeting, which accepted the annual report for 2024-25, was held on 28 September 2024 at St Mary’s, Long Crichel, Dorset. The meeting was chaired by Roger Evans, Chairman of the Charity. 79 members attended.

All Trustees are honorary, and none receives a salary or remuneration. The Charity relies heavily on volunteers, particularly in the local groups of Friends based at many of our churches.

It is with great sadness that we report the death of our former Trustee, Professor John Morgan-Guy on 10 August 2025. For his expertise in a whole range of subjects we owe him an enormous debt of gratitude.

Auditor

In accordance with the company's articles, a resolution proposing that Xeinadin Audit Limited be reappointed as auditor of the company will be put at a General Meeting.

FRIENDS OF FRIENDLESS CHURCHES

TRUSTEES' REPORT (INCLUDING DIRECTOR'S REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

Disclosure of information to auditor

Each of the Trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.

The Trustees' report was approved by the Board of Trustees.

.............................. Mr R K Evans MBE MA - Chairman Trustee

Date: .............................................

FRIENDS OF FRIENDLESS CHURCHES

STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 MARCH 2025

The Trustees, who are also the directors of Friends Of Friendless Churches for the purpose of company law, 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).

Company law 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 the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that 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 Companies Act 2006. 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.

FRIENDS OF FRIENDLESS CHURCHES

INDEPENDENT AUDITOR'S REPORT

TO THE MEMBERS OF FRIENDS OF FRIENDLESS CHURCHES

Opinion

We have audited the financial statements of Friends Of Friendless Churches (the ‘Charity’) for the year ended 31 March 2025 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the Charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Charity’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 statements and our auditor's report thereon. The Trustees are responsible for the other information contained within the annual report. 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. 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 course of 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 this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

FRIENDS OF FRIENDLESS CHURCHES

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF FRIENDS OF FRIENDLESS CHURCHES

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the Charity and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report included within the Trustees' report.

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

Responsibilities of Trustees

As explained more fully in the statement of Trustees' responsibilities, the Trustees, who are also the directors of the Charity for the purpose 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 Charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

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

Irregularities, including fraud, are instances of 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.

FRIENDS OF FRIENDLESS CHURCHES

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF FRIENDS OF FRIENDLESS CHURCHES

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

We assessed the susceptibility of the charity's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

To address the risk of fraud through management bias and override of controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

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

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

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

FRIENDS OF FRIENDLESS CHURCHES

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF FRIENDS OF FRIENDLESS CHURCHES

Helen Furlong FCCA (Senior Statutory Auditor)

For and on behalf of Xeinadin Audit Limited, Statutory Auditor Chartered Accountants 46 Hamilton Square Birkenhead Wirral Merseyside CH41 5AR Date: .........................

FRIENDS OF FRIENDLESS CHURCHES

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 MARCH 2025

Current financial year
Unrestricted
Restricted
Endowment
funds
funds
funds
2025
2025
2025
Notes
£
£
£
Income from:
Donations and legacies
3
1,421,165
1,466,938
-
Other trading activities
4
6,893
-
-
Investments
5
157,005
17,399
2,571
Total income and
endowments
1,585,063
1,484,337
2,571
Expenditure on:
Raising funds
6
21,960
7,560
949
Charitable activities
7
386,756
1,684,632
-
Other material expenditure
-
-
85,000
Total expenditure
408,716
1,692,192
85,949
Net gains/(losses) on
investments
13
(97,543)
(78,994)
2,169
Net income/(expenditure)
1,078,804
(286,849)
(81,209)
Transfers between funds
(431,417)
431,417
-
Net movement in funds
10
647,387
144,568
(81,209)
Reconciliation of funds:
Fund balances at 1 April 2024
3,988,898
1,424,783
460,344
Fund balances at 31 March 2025
4,636,285
1,569,351
379,135		 Total
2025
£
2,888,103
6,893
176,975
3,071,971
30,469
2,071,388
85,000
2,186,857
(174,368)
710,746
-
710,746
5,874,025
6,584,771		 Total
2024
£
2,413,490
7,978
95,280
2,516,748
23,926
1,319,558
-
1,343,484
518,147
1,691,411
-
1,691,411
4,182,614
5,874,025

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

FRIENDS OF FRIENDLESS CHURCHES

STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

Prior financial year
Unrestricted
Restricted
Endowment
funds
funds
funds
2024
2024
2024
Notes
£
£
£
Income from:
Donations and legacies
3
1,832,206
581,284
-
Other trading activities
4
7,978
-
-
Investments
5
79,366
13,289
2,625
Total income and endowments
1,919,550
594,573
2,625
Expenditure on:
Raising funds
6
16,402
6,524
1,000
Charitable activities
7
281,589
1,037,969
-
Total expenditure
297,991
1,044,493
1,000
Net gains/(losses) on investments
13
247,650
248,224
22,273
Net income/(expenditure)
1,869,209
(201,696)
23,898
Transfers between funds
(407,923)
407,923
-
Net movement in funds
10
1,461,286
206,227
23,898
Reconciliation of funds:
Fund balances at 1 April 2023
2,527,612
1,218,556
436,446
Fund balances at 31 March 2024
3,988,898
1,424,783
460,344		 Total
2024
£
2,413,490
7,978
95,280
2,516,748
23,926
1,319,558
1,343,484
518,147
1,691,411
-
1,691,411
4,182,614
5,874,025

FRIENDS OF FRIENDLESS CHURCHES

BALANCE SHEET

AS AT 31 MARCH 2025

Notes
Fixed assets
Tangible assets
15
Heritage assets
16
Investments
17
Current assets
Debtors
18
Cash at bank and in hand
Creditors: amounts falling due within
one year
19
Net current assets
Total assets less current liabilities
The funds of the Charity
Endowment funds
21
Restricted income funds
22
Unrestricted funds
23		 2025
£
£
4
11,610
6,185,212
6,196,826
128,736
341,069
469,805
(81,860)
387,945
6,584,771
379,135
1,569,351
4,636,285
6,584,771		 2024
£
£
4
11,610
5,743,675
5,755,289
63,234
153,155
216,389
(97,653)
118,736
5,874,025
460,344
1,424,783
3,988,898
5,874,025		 2024
£
£
4
11,610
5,743,675
5,755,289
63,234
153,155
216,389
(97,653)
118,736
5,874,025
460,344
1,424,783
3,988,898
5,874,025
5,755,289
118,736
5,874,025
460,344
1,424,783
3,988,898
5,874,025

The financial statements were approved by the Trustees on .........................

..............................

Mr R K Evans MBE MA - Chairman

Trustee

Company registration number 1119137 (England and Wales)

FRIENDS OF FRIENDLESS CHURCHES

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2025

Notes
Cash flows from operating activities
Cash generated from operations
27
Investing activities
Purchase of investments
Proceeds from disposal of investments
Investment income received
Net cash used in investing activities
Net cash generated from financing activities
Net increase/(decrease) in cash and cash
equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year		 2025
£
£
626,844
(536,778)
(79,127)
176,975
(438,930)
-
187,914
153,155
341,069		 2024
£
£
1,176,955
(655,722)
(722,627)
95,280
(1,283,069)
-
(106,114)
259,269
153,155

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

1 Accounting policies

Charity information

Friends Of Friendless Churches is a private company limited by guarantee incorporated in England and Wales. The registered office is 70 Cowcross Street, London, EC1M 6EJ.

1.1 Accounting convention

The financial statements have been prepared in accordance with the Charity's Memorandum & Articles of Association, the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "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 Charity is a Public Benefit Entity as defined by FRS 102.

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

The financial statements have been prepared under the historical cost convention, modified to include certain financial instruments at fair value. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

The charity had the following types of funds:

1.4 Income

Income is recognised when the Charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the Charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the Charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

1 Accounting policies

(Continued)

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally on notification of the interest paid or payable by the bank.

Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.

1.5 Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category.

Expenditure on repairs to churches for which specific grants or other restricted funds have been received or are receivable are charged to the relevant restricted funds and any excess of expenditure over such funds represents support for those projects from general funds and is adjusted by a transfer from the Charity's general funds.

Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Irrecoverable VAT has been charged to the activity for which the expenditure was incurred.

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities.

Governance costs comprise the costs of running the charity, including strategic planning for its future development, external audit, any legal advice for the Trustees, and all costs of complying with constitutional and statutory requirements, such as the cost of Committee meetings, and of preparing statutory accounts and satisfying public accountability.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost. Assets over £500 are not capitalised.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Computers

33.33% on cost

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

1 Accounting policies

(Continued)

1.7 Heritage assets

The Charity owns the freehold or long leasehold of sixty-one churches, which come within the definition of heritage assets under SORP (FRS 102). These properties were acquired without cost in pursuit of the Charity's preservation and conservation objectives and the Council does not consider it appropriate or practical to attribute any value to them in view of their nature as historic buildings held for protection, with any use being very limited and subject to strict control. The Council believes that any valuation would lack sufficient reliability and incur onerous costs compared with the additional benefit derived by users of the accounts. Accordingly, these assets are not capitalised in the accounts. Details of the churches are given within the Annual Report, and it is the policy to provide access to the public to as many of the churches as possible.

Recent purchases of other heritage assets are reported in the balance sheet at cost, and as they are deemed to have indeterminate lives and to maintain their value, the Council do not consider it appropriate to charge depreciation.

Expenditure which, in the Council's view is required to preserve or prevent further deterioration of heritage assets, is recognised in the Statement of Financial Activities when it is incurred.

1.8 Fixed asset investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.

1.9 Impairment of fixed assets

At each reporting end date, the Charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

1.10 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.11 Financial instruments

The Charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ 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.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

1 Accounting policies

(Continued)

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Charity’s contractual obligations expire or are discharged or cancelled.

1.12 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the Charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.13 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.14 Cottam Will Trust

The financial statements include transactions and balances of the Cottam Will Trust, an associated charity, which is registered under the Friends of Friendless Churches. The Council actively promote the distinct purpose of the Cottam Will Trust, which is the purchase of objects of beauty to be placed in ancient Gothic churches in England and Wales, for the furtherance of religion.

2 Critical accounting estimates and judgements

In the application of the Charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

3 Income from donations and legacies

Unrestricted
Restricted
funds
funds
2025
2025
£
£
Donations and gifts
1,045,501
187,171
Legacies
280,433
-
Grants
-
1,279,767
Membership fees
94,147
-
Royalties
1,084
-
1,421,165
1,466,938
Grants
CADW
-
267,634
Church in Wales
-
103,835
Listed Places of Worship
Scheme
-
251,756
National Heritage
Memorial Fund
-
622,842
Garfield Weston
Foundation
-
30,000
Other
-
3,700
-
1,279,767		 Total
Unrestricted
Restricted
funds
funds
2025
2024
2024
£
£
£
1,232,672
1,521,774
45,666
280,433
208,127
-
1,279,767
-
535,618
94,147
101,979
-
1,084
326
-
2,888,103
1,832,206
581,284
267,634
-
93,877
103,835
-
70,000
251,756
-
149,638
622,842
-
217,853
30,000
-
-
3,700
-
4,250
1,279,767
-
535,618		 Total
2024
£
1,567,440
208,127
535,618
101,979
326
2,413,490
93,877
70,000
149,638
217,853
-
4,250
535,618

4 Income from other trading activities

Unrestricted Unrestricted
funds funds
2025 2024
£ £
AGM contribution - 995
Other income 1,985 1,650
Christmas card sales 4,908 5,333
Other trading activities 6,893 7,978

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

5 Income from investments

Unrestricted
Restricted Endowment
funds
funds
funds
2025
2025
2025
£
£
£
UK investment income
67,571
7,309
2,571
Overseas investment income
15,499
2,686
-
Interest receivable
73,935
7,404
-
157,005
17,399
2,571
Previous year
Unrestricted
Restricted Endowment
funds
funds
funds
2024
2024
2024
£
£
£
UK investment income
61,580
7,826
2,625
Overseas investment income
12,803
2,346
-
Interest receivable
4,983
3,117
-
79,366
13,289
2,625		 Total
2025
£
77,451
18,185
81,339
176,975
Total
2024
£
72,031
15,149
8,100
95,280

6 Cost of raising funds

Unrestricted
Restricted Endowment
funds
funds
funds
2025
2025
2025
£
£
£
Trading costs
Representations
3,444
-
-
Investment management
18,516
7,560
949
Total costs
21,960
7,560
949
Previous Year
Unrestricted
Restricted Endowment
funds
funds
funds
2024
2024
2024
£
£
£
Representations
347
-
-
Investment management
16,055
6,524
1,000
Total costs
16,402
6,524
1,000		 Total
2025
£
3,444
27,025
30,469
Total
2024
£
347
23,579
23,926

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

7 Expenditure on charitable activities

Direct costs
Staff costs
Depreciation and impairment
Purchase of objects of beauty
Office costs
Repairs and maintenance
Insurance
Travel expenses
Website and media
Newsletter
New Mechanism - Repairs and maintenance
New Mechanism - Professional Fees
New Mechanism - Insurance
New Mechanism - Field Officer’s expenses
New Mechanism - Sundries
New vestings
Grant funding of activities (see note 8)
Share of support and governance costs (see note 9)
Governance
Analysis by fund
Unrestricted funds
Restricted funds
8
Grants payable
Grants to institutions:
Friends of Llannefydd Church
Art and Christianity		 2025
£
181,126
-
4,710
55,087
873,883
33,411
22,421
33,100
26,995
777,923
2,299
18,052
2,229
500
11,666
2,043,402
6,000
21,986
2,071,388
386,756
1,684,632
2,071,388
2025
£
-
6,000
6,000		 2024
£
123,259
432
4,000
34,922
273,943
28,183
8,634
13,363
24,147
723,705
1,457
16,943
3,506
8,874
9,395
1,274,763
500
44,295
1,319,558
281,589
1,037,969
1,319,558
2024
£
500
-
500

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

9
Support costs allocated to activities
Governance costs
Governance costs comprise:
Audit fees
Accountancy
Legal and professional
Trustees' travel expenses
Bank charges
AGM and other expenses
10
Net movement in funds
The net movement in funds is stated after charging/(crediting):
Fees payable to the charity's auditor:
- for the audit of the charity's financial statements
- for other financial services
Depreciation of owned tangible fixed assets		 2025
£
21,986
2025
£
6,000
4,260
3,064
799
1,621
6,242
21,986
2025
£
6,000
4,260
-		 2024
£
44,295
2024
£
4,290
3,859
-
2,778
1,587
31,781
44,295
2024
£
4,290
3,859
432

11 Trustees

None of the Trustees (or any persons connected with them) received any remuneration or benefits from the Charity during the year.

Travel expenses amounting to £799 have been reimbursed to 8 members of the Council during the year (2024 £2,778 to 8 members).

12 Employees

The average monthly number of employees during the year was:

2025 2024
Number Number
Administration 4 2

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

12
Employees
Employment costs
Wages and salaries
Social security costs
Other pension costs
The number of employees whose annual remuneration was more than £60,000
is as follows:
£60,001 - £70,000
Remuneration of key management personnel
The remuneration of key management personnel was as follows:
Aggregate compensation		 (Continued)
2025
2024
£
£
161,068
110,389
12,833
6,718
7,225
6,152
181,126
123,259
2025
2024
Number
Number
1
1
2025
2024
£
£
79,994
74,605		 (Continued)
2025
2024
£
£
161,068
110,389
12,833
6,718
7,225
6,152
181,126
123,259
2025
2024
Number
Number
1
1
2025
2024
£
£
79,994
74,605
123,259
2024
Number
1
2024
£
74,605

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

13 Gains and losses on investments

Unrestricted **Restricted ** Endowment Total
funds funds funds
2025 2025 2025 2025
Gains/(losses) arising on: £ £ £ £
Revaluation of investments (71,294) (53,926) (1,124) (126,344)
Sale of investments (26,249) (25,068) 3,293 (48,024)
(97,543) (78,994) 2,169 (174,368)

Previous year

Gains and losses on investments

Unrestricted
Restricted Endowment
funds
funds
funds
2024
2024
2024
Gains/(losses) arising on:
£
£
£
Revaluation of investments
260,523
245,241
22,273
Sale of investments
(12,873)
2,983
-
247,650
248,224
22,273		 Total
2024
£
528,037
(9,890)
518,147

14 Taxation

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

15 Tangible fixed assets

Tangible fixed assets
Computers
£
Cost
At 1 April 2024 3,249
At 31 March 2025 3,249
Depreciation and impairment
At 1 April 2024 3,245
At 31 March 2025 3,245
Carrying amount
At 31 March 2025 4
At 31 March 2024 4

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

16 Heritage assets

£
At 1 April 2024 and at 31 March 2025 11,610

Heritage assets recognised in the balance sheet comprise purchases by the Cottam Will Trust in past years where ownership has been retained by the Charity,

The Charity owns the freehold or long leasehold of 64 churches which are not recognised in the balance sheet.

17 Fixed asset investments

Listed
investments
£
Cost or valuation
At 1 April 2024
4,529,815
Additions
536,778
Valuation changes
(126,343)
Disposals
(642,631)
At 31 March 2025
4,297,619
Carrying amount
At 31 March 2025
4,297,619
At 31 March 2024
4,529,815
Investments at fair value comprise:
United Kingdom equities and funds
Overseas equities
Fixed asset investments revalued
The historical cost of the investments was £3,850,380 (2024 £3,226,569).
Debtors
Amounts falling due within one year:
Other debtors		 Cash in
portfolio
£
1,213,860
673,733
-
-
1,887,593
1,887,593
1,213,860
2025
£
3,099,843
1,197,775
4,297,618
2025
£
128,736		 Total
£
5,743,675
1,210,511
(126,343)
(642,631)
6,185,212
6,185,212
5,743,675
2024
£
2,954,616
1,575,201
4,529,817
2024
£
63,234

18 Debtors

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

19 Creditors: amounts falling due within one year

Other taxation and social security
Trade creditors
Other creditors
20
Retirement benefit schemes
Defined contribution schemes
Charge to profit or loss in respect of defined contribution schemes		 2025
£
-
68,920
12,940
81,860
2025
£
7,225		 2024
£
2,497
84,474
10,682
97,653
2024
£
6,152

The Charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Charity in an independently administered fund.

21 Endowment funds

Endowment funds represent assets which must be held permanently by the Charity. Income arising on the endowment funds can be used in accordance with the objects of the Charity and is included as unrestricted income. Any capital gains or losses arising on the assets form part of the fund.

At 1 April Incoming Resources Gains and At 31 March
2024 resources expended losses 2025
£ £ £ £ £
Permanent endowments
Brett Trust 224,200 2,571 (85,949) 2,169 142,991
James Johnston Fund 236,144 - - - 236,144
460,344 2,571 (85,949) 2,169 379,135
Previous year: At 1 April Incoming Resources Gains and At 31 March
2023 resources expended losses 2024
£ £ £ £ £
Permanent endowments
Brett Trust 200,302 2,625 (1,000) 22,273 224,200
James Johnston Fund 236,144 - - - 236,144
436,446 2,625 (1,000) 22,273 460,344

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

21 Endowment funds

(Continued)

The Brett Trust is an expendable endowment established by bequest for the repairs of three specific churches in Essex and Dorset.

The James Johnston Fund is an expendable endowment, comprising a legacy intended to be invested as capital in order to provide future income for the Charity's general purpose, but available to be expended for any purpose should the need arise.

22 Restricted funds

The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.

Welsh Churches
- 4 Original
Welsh Churches
- New
Mechanism
Other Churches
Cottam Will
Trust
Fabric Funds
Previous year:
Welsh Churches
- 4 Original
Welsh Churches
- New
Mechanism
Other Churches
Cottam Will
Trust
Fabric Funds		 At 1 April
2024
Incoming
resources
Resources
expended
£
£
£
-
417
(417)
1,509
-
(770)
19,120
637,651
(803,282)
-
521,770
(194,792)
1,285,969
10,501
(12,766)
118,185
313,998
(680,165)
1,424,783
1,484,337
(1,692,192)
At 1 April
2023
Incoming
resources
Resources
expended
£
£
£
3,245
-
(2,420)
58,475
330,737
(754,584)
-
243,233
(210,806)
1,046,575
10,405
(12,368)
110,261
10,198
(64,315)
1,218,556
594,573
(1,044,493)		 Transfers
Gains and
losses
At 31 March
2025
£
£
£
-
-
-
770
-
1,509
175,649
171
29,309
(326,978)
-
-
(500)
(75,607)
1,207,597
582,476
(3,558)
330,936
431,417
(78,994)
1,569,351
Transfers
Gains and
losses
At 31 March
2024
£
£
£
684
-
1,509
385,056
(564)
19,120
(32,427)
-
-
-
241,357
1,285,969
54,610
7,431
118,185
407,923
248,224
1,424,783

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

22 Restricted funds

(Continued)

Restricted funds comprise:

The Cottam Will Trust for the purchase of objects of beauty to be placed in ancient Gothic churches in England and Wales for the furtherance of religion.

Other funds for the repair and upkeep of specific churches.

23 Unrestricted funds

The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

General fund
Designated
funds
Previous year:
General fund
Designated
funds		 At 1 April
2024
Incoming
resources
Resources
expended
£
£
£
3,154,277
1,585,063
(408,716)
834,621
-
-
3,988,898
1,585,063
(408,716)
At 1 April
2023
Incoming
resources
Resources
expended
£
£
£
1,692,991
1,919,550
(297,991)
834,621
-
-
2,527,612
1,919,550
(297,991)		 Transfers
Gains and
losses
At 31 March
2025
£
£
£
(431,417)
(97,543)
3,801,664
-
-
834,621
(431,417)
(97,543)
4,636,285
Transfers
Gains and
losses
At 31 March
2024
£
£
£
(407,923)
247,650
3,154,277
-
-
834,621
(407,923)
247,650
3,988,898

Designated funds comprise specific income allocated by the trustees for the investment as capital to provide for future unrestricted income.

Transfers between funds comprise the excess of expenditure on repairs to churches for which specific grants or other restricted funds have been received over such funds, such excess being the support given to those projects from general funds.

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

24 Analysis of net assets between funds

Unrestricted
Restricted
Endowment
funds
funds
funds
2025
2025
2025
£
£
£
At 31 March 2025:
Tangible assets
4
-
-
Heritage assets
-
11,610
-
Investments
4,357,294
1,526,366
301,552
Current assets/(liabilities)
278,987
31,375
77,583
4,636,285
1,569,351
379,135
Unrestricted
Restricted
Endowment
funds
funds
funds
2024
2024
2024
£
£
£
At 31 March 2024:
Tangible assets
4
-
-
Heritage assets
-
11,610
-
Investments
3,972,123
1,394,338
377,214
Current assets/(liabilities)
16,771
18,835
83,130
3,988,898
1,424,783
460,344		 Total
2025
£
4
11,610
6,185,212
387,945
6,584,771
Total
2024
£
4
11,610
5,743,675
118,736
5,874,025

25 Capital commitments

Amounts contracted for but not provided in the financial statements:

At 31 March 2025, there were no capital commitments, however the Trustees had authorised future expenditure of £73,290 in pursuit of the objects of the Cottam Will Trust.

26 Related party transactions

There were no disclosable related party transactions during the year (2024 - none).

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

27
Cash generated from operations
Surplus for the year
Adjustments for:
Investment income recognised in statement of financial activities
Loss on disposal of investments
Fair value gains and losses on investments
Depreciation and impairment of tangible fixed assets
Movements in working capital:
(Increase)/decrease in debtors
(Decrease)/increase in creditors
Cash generated from operations		 2025
£
710,746
(176,975)
48,024
126,344
-
(65,502)
(15,793)
626,844		 2024
£
1,691,411
(95,280)
9,890
(528,037)
432
43,506
55,033
1,176,955

28 Analysis of changes in net funds

The Charity had no material debt during the year.

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025

The Charity was responsible for all or part of the year for 64 redundant but architecturally and historically important places of worship which are held either freehold or on long lease. They are:

English vestings

01 January 1974 01 January 1974 01 January 1975 lease) 01 January 1975 01 January 1976 01 May 1976 26 July 1978 24 June 1979 lease) 05 December 1979 20 March 1980 03 July 1981 15 April 1982 07 September 1982 07 October 1983 31 December 1986 01 February 2000 lease) 15 March 2002 23 January 2007 15 November 2010 01 January 2011 07 January 2011 20 May 2011 12 September 2011 28 December 2011 30 November 2016 17 December 2019 17 December 2019 02 October 2020 16 November 2020 27 August 2021 20 January 2023 22 February 2024

Old St Matthew’s, Lightcliffe, West Yorkshire Old St Luke’s, Milland, West Sussex St Mary’s, Mundon, Essex

St Peter’s, Wickham Bishops, Essex St Andrew’s, South Huish, Devon Old St Peter’s, Saltfleetby, Lincolnshire Chapel, Urishay, Herefordshire St Andrew’s, Wood Walton, Cambridgeshire

St John the Baptist’s, Papworth St Agnes, Cambridgeshire St Mary’s, Eastwell, Kent St John the Baptist’s, Sutterby, Lincolnshire St Mary Magdalene’s, Caldecote, Hertfordshire The Assumption, Hardmead, Buckinghamshire St Mary Magdalene’s, Boveney, Berkshire Strict & Particular Chapel, Waddesdon, Buckinghamshire Ayshford Chapel, Burlescombe, Devon

St John the Baptist’s, Matlock Bath, Derbyshire St Peter’s, Llancillo, Herefordshire Chapel of Ease, Thornton-le-Beans, North Yorkshire St John the Baptist’s, Allington, Wiltshire St Mary’s, Long Crichel, Dorset St Mary of the Angels, Brownshill, Gloucestershire St Mary’s, Fordham, Norfolk All Saints’, Ballidon, Derbyshire St Denis’s, East Hatley, Cambridgeshire St Mary’s, Temple Corsley, wiltshire St Leonard’s, Spernall, Warwickshire St Lawrence’s, Hutton Bonville, North Yorkshire St Helen’s, Barmby on the Marsh, ER of Yorkshire St Helen’s, Skeffling ER of Yorkshire St Andrew’s, South Runcton, Norfolk St Mary's Kenderchurch, Herefordshire

(99-year lease) (99-year lease) (999-year

(999-year lease) (999-year lease) (999-year lease) (freehold) (999-year

(freehold) (freehold) (freehold) (freehold) (99-year lease) (999-year lease) (freehold) (125-year

(freehold) (freehold) (freehold) (freehold) (freehold) (freehold) (freehold) (freehold) (freehold) (freehold) (999-year lease) (freehold) (freehold) (freehold) (freehold) (freehold)

FRIENDS OF FRIENDLESS CHURCHES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

Welsh vestings

01 November 1978 07 October 1983 lease)

SS Afran, Ieuan & Sannan, Llantrisant, Anglesey St Andrew’s, Bayvil, Dyfed

(999-year lease) (999-year

22 November 1989 St Mary the Virgin’s, Llanfair Kilgeddin, Monmouthshire (freehold) 07 February 1991 St Baglan’s, Llanfaglan, Gwynedd (freehold) 19 November 1999 St David’s, Llangeview, Monmouthshire (999-year lease) 19 November 1999 St Mary’s, Tal-y-Llyn, Anglesey (999-year lease) 19 November 1999 St Ellyw’s, Llanelieu, Powys (999-year lease) 19 November 1999 St Beuno’s, Penmorfa, Gwynedd (999-year lease) 10 August 2000 St David’s, Manordeifi, Pembrokeshire (999-year lease) 17 December 2000 Chapel, Hodgeston, Pembrokeshire (999-year lease) 01 December 2002 St Cynhaearn’s, Ynyscynhaearn, Gwynedd (999-year lease) 01 December 2002 St Mark’s, Brithdir, Gwynedd (999-year lease) 01 December 2002 St Mary’s, Derwen, Denbighshire (999-year lease) 01 December 2002 St Eloi’s, Llandeloy, Pembrokeshire (999-year lease) 01 January 2005 St Brothen’s, Llanfrothen, Gwynedd (999-year lease) 10 June 2005 St Peulan’s, Llanbeulan, Anglesey (999-year lease) 10 June 2005 St Decuman’s, Rhoscrowther, Pembrokeshire (999-year lease) 24 April 2006 St Oudoceus’s, Llandawke, Carmarthenshire (999-year lease) 01 February 2007 St Migael’s, Llanfigael, Anglesey (999-year lease) 30 July 2008 St Michael’s, Llanfihangel Rogiet, Monmouthshire (999-year lease) 14 May 2009 St Mary’s, Penllech, Gwynedd (999-year lease) 01 December 2013 St Michael’s, Tremain, Ceredigion (999-year lease) 24 June 2016 St Michael & All Angels, Castlemartin, Pembrokeshire (999-year lease) 27 October 2017 St Michael & All Angels, Gwernesney, Monmouthshire (999-year lease) 27 October 2017 St Dogfael’s, Meline, Pembrokeshire (999-year lease) 13 August 2018 St Jerome’s, Llangwm Uchaf, Monmouthshire (999-year lease) 13 August 2018 St Anno’s, Llananno, Powys (999-year lease) 10 March 2021 St Philip’s, Caerdeon, Gwynedd (999-year lease) 21 March 2023 St Cadoc’s, Llangattock Vibon Avel, Monmouthshire (999-year lease) 30 October 2024 St James’s, Llangua, Monmouthshire (freehold) 25 March 2025 St Deiniol's, Worthenbury, Wrexham (999-year lease) 25 March 2025 St Twrog’s Bodwrog, Anglesey (999-year lease)