Charity Registration No. 1125098
Company Registration No. 6486246 (England and Wales)
BROOK LANE COMMUNITY CHURCH ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
BROOK LANE COMMUNITY CHURCH
LEGAL AND ADMINISTRATIVE INFORMATION
| Trustees | Francine Asonibare |
|---|---|
| Peter Furniss | |
| John Griffiths | |
| Stephen Harris | |
| Andrew Junaid | |
| Jacqui Macnamara | |
| Neil Selby | |
| Timothy Woolgar | |
| Secretary | John Griffiths |
| Charity number | 1125098 |
| Company number | 6486246 |
| Registered office | 27-29 Brook Lane |
| Downham | |
| Bromley | |
| BR1 4PX | |
| Independent examiner | Nigel Hewson FCA DChA |
| Hewsons | |
| Chartered Accountants | |
| 80 Woodhurst Avenue | |
| Orpington | |
| Kent | |
| BR5 1AT | |
| Bankers | Santander UK plc |
| BBAM | |
| Bridle Road | |
| Bootle | |
| Merseyside | |
| L30 4GB | |
| Solicitors | Wellers |
| Tenison House | |
| Tweedy Road | |
| Bromley | |
| Kent | |
| BR1 3NF |
BROOK LANE COMMUNITY CHURCH
CONTENTS
| Page | |
|---|---|
| Trustees' report | 1 - 4 |
| Independent examiner's report | 5 |
| Statement of financial activities | 6 - 7 |
| Balance sheet | 8 |
| Notes to the financial statements | 9 - 20 |
BROOK LANE COMMUNITY CHURCH
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2021
The trustees present their report and financial statements for the year ended 31 March 2021.
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 and 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)".
Objectives and activities
Brook Lane Community Church (BLCChurch) is a family of God’s people drawn from the local community and existing to share Christ and do good to all people in the community and beyond. BLCChurch operates primarily but not exclusively in Bromley and on the Downham Estate.
The aim of BLCChurch continues to be the advancement of the Christian faith in accordance with principles compatible with the Evangelical Alliance Statement of Faith. The trustees may from time to time decide to advance other charitable purposes.
The main activities of BLCChurch and the individuals whom it seeks to serve are described below and are undertaken to further our charitable purposes for the public benefit. The trustees confirm that they have complied with the duty in Section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission.
Achievements and performance
In this year’s report, we focus on the impact of the coronavirus pandemic on our activities and our response to it. As noted in last year’s report, through the use of technology we were swiftly able to move meetings and events online such that many of our range of activities were able to continue. Throughout the year, we have paid careful attention to Government restrictions and assessed what that meant for our church by conducting risk assessments for the various activities before they could take place in the building.
Consequently, where it was permissible and safe to do so, having started the year by broadcasting Sunday morning services from the respective homes of those involved in the services, we were able to switch to broadcasting from the church building. For this we give thanks to God for the ways in which He has blessed us with the relevant skills within the fellowship in order to do this. Over the summer months we were able to allow a limited number of people into the building to attend services, following strict guidelines whenever they did so. During the year we have found that, not only were the vast majority of the fellowship able to attend the Sunday services (either live or watching the recordings afterwards), but we attracted other viewers too, such as the missionaries we support or other individuals with whom we had previously had little or no contact. The Sunday services have been followed by online services for the children and youth (BKids and Recharge). Similarly, on occasion this has involved hosting participants physically in the building.
Many regular activities were suspended during the year to the extent that they could not be moved online. These included New Beginnings (children aged 0-3 and their parents/carers), Open House (generally retired people) and Brook Café (open to the public). However, while Brownie and Guide packs were unable to meet, we were able to continue to make the hall available for Little Brooks Pre-School. BLCChurch is also involved in supporting and running a number of community-based projects.
In response to the pandemic, Bromley Council asked Transform Bromley Borough (TBB) for help to support the ongoing food poverty crisis. BLCChurch is part of the leadership of the group of churches that represent half of all the churches in the borough. In a matter of two weeks, TBB was able to set up and run a Food Distribution Hub for foodbanks across Bromley. Additionally we were able to start hosting an emergency food response in Downham, an initiative which, through Downham Mutual Aid, has become Downham’s first Social Supermarket, The Gleaning Pantry.
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BROOK LANE COMMUNITY CHURCH
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
The result of the above is that the Elders of BLCChurch continue to be satisfied with the range of ministry activities undertaken given the nature and extent of the restrictions placed upon us and society as a whole. Our regular Kingdom Group and prayer meetings have also been able to continue online. Developing the spiritual life of BLCChurch continues to be an important area of focus. This includes encouraging greater corporate prayer within the church, though hosting joint prayer meetings with other churches has taken a backseat during the past year. Specific retreats are held from time to time as part of the church’s equipping programme to help support and develop those with responsibility for pastoral and preaching activities. In 2022, this will include a weekend retreat for members of the fellowship. This has been deferred from the original booking date of May 2021, though we were still able to hold a “virtual retreat” which was a blessing to those who attended.
Expansion project
In our previous reports we described the growth of the children and youth activities which led in part to us commissioning architects to assist us in drawing up plans designed to create more rooms by making use of the space available on the first floor. This work slowed during the year due to complications arising from relevant staff at the architects and local planners being unable to access their offices and working from home instead. In January 2021 we were able to submit revised plans, taking account of responses to our initial preplanning application. An encouraging response to this was received in May 2021 and therefore, while the original anticipated timetable has necessarily now slipped, we are hopeful that building work may be able to commence in 2022 provided we are able to raise the necessary funds. Other than the engagement of the architects, no financial commitments have yet been entered into in respect of any building work.
Financial review
The results for the year are set out in the Statement of Financial Activities. The results for the year are broadly in line with those of the previous year and the trustees are pleased to note that the financial impact of the pandemic and resulting lockdowns on the church has been muted, with members of the fellowship able to make offerings online. The trustees are satisfied that sufficient cash resources will be available as unrestricted funds in order to enable the outreach and activities of BLCChurch to be maintained and developed.
Cash reserves are required in order that BLCChurch may be able to continue to meet its contractual obligations for a period of three months in the event that activities should cease. The trustees believe that an appropriate minimum level of cash required to be held in reserve in the General Fund is £25,000, a level which we have been able to maintain throughout the year.
Where cash held in the General Fund exceeds £25,000, such cash is maintained in interest bearing deposit accounts until such time as an appropriate project or need is identified. This would include such matters as a requirement to effect repairs to the building and replace fixed assets. The primary reason for the significant cash balance currently held relates to the first-floor extension that we are intending to build.
BLCChurch has a policy of aiming to give 10% of income (net of cost contributions received) to support missionary activities undertaken by organisations and individuals both in the United Kingdom and overseas. The trustees continue to give careful consideration to appropriate missionary causes and, through OMF International, have now identified some missionaries to support to replace those which have ceased.
The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
Financial risk
The main financial risk which BLCChurch faces concerns the continued receipt of the quarterly rent from the Links Medical Practice. Should the rent cease to be received or no new tenancy agreement put in place, BLCChurch would be faced with a shortfall of income until such time as alternative arrangements could be made.
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BROOK LANE COMMUNITY CHURCH
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
Child protection and vulnerable adults
BLCChurch runs a number of activities for the benefit of local children and vulnerable adults and as such takes into account the possible risks that could arise from that. Disclosure and Barring Service checks are required in respect of formal employees and all other BLCChurch members involved with such work.
Outside agencies that also use the Church for children’s work are required to have their own insurance and child protection procedures.
Health & Safety and Security
The Church premises are used for a wide range of activities, both by the BLC Church and by outside bodies, and a large number of people may attend as a result. Fire safety and hygiene inspections are carried out regularly, both internally and by external parties to ensure required standards are maintained.
The presence of the medical practice exposes the premises to a greater security risk than may otherwise be the case. Appropriate procedures, including regular inspections of the security alarm system, are in place.
Structure, governance and management
The charity is a company limited by guarantee governed by memorandum and articles of association .
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:
Francine Asonibare
Peter Furniss John Griffiths Stephen Harris Andrew Junaid Jacqui Macnamara Neil Selby Timothy Woolgar
The directors of the company are also trustees for the purposes of charity law. The memorandum and articles of association requires the directors to be elected and to serve for two years after which they must be reelected at the next Annual General Meeting. Trustees can appoint additional trustees who hold office until the next Annual General Meeting.
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute an amount not exceeding £10 in the event of a winding up.
Elders, being Andrew Junaid, Martin Bredemear and Peter Furniss, together with existing trustees ensure that new trustees are aware of their legal obligations under charity law together with the operations of the charity.
Responsibility for spiritual direction and the activities of BLCChurch, including pastoral matters, rests with the Eldership, which meets on a weekly basis. Practical matters relating to the life of BLCChurch are overseen by the Core Team. Ultimate responsibility for BLCChurch's finances, the maintenance of the property and legal matters rests with the trustees who meet annually and ad hoc during the year as required. The Eldership and trustees meet together on a quarterly basis to discuss matters relating to the life and maintenance of BLCChurch.
In addition, the elders meet with the Chair of Trustees between the quarterly meetings to ensure that there is effective communication and understanding on strategic and some operational matters affecting BLCChurch and the charity and to inform elders of trustee matters requiring elder discussion or decision.
In common with many churches, BLCChurch is heavily reliant on the services of volunteers and greatly appreciates the work they undertake
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BROOK LANE COMMUNITY CHURCH
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
BLCChurch has close links with other churches in the area and is a member of Churches Together in Central Bromley. While BLCChurch does not form part of a denominational grouping, it is a member of the Evangelical Alliance and adheres to its principles.
Reference and administrative information is provided on the page following the cover sheet.
The trustees' r eport was approved by the Board of Trustees.
John Griffiths
Trustee Dated: 21 September 2021
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BROOK LANE COMMUNITY CHURCH
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF BROOK LANE COMMUNITY CHURCH
I report to the trustees on my examination of the financial statements of Brook Lane Community Church (the charity) for the year ended 31 March 2021.
Responsibilities and basis of report
As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act) . In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
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 386 of the 2006 Act; or
-
2 the financial statements do not accord with those records; or
-
3 the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
-
4 the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
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 financial statements to be reached.
Nigel Hewson FCA DChA
Hewsons Chartered Accountants 80 Woodhurst Avenue Orpington Kent BR5 1AT
Dated: 27 September 2021
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BROOK LANE COMMUNITY CHURCH
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2021
| Current financial year Unrestricted Unrestricted Restricted funds funds funds general fair value reserve 2021 2021 2021 Notes £ £ £ Income from: Donations and legacies 3 48,139 - - Charitable activities 4 13,609 - - Investments 5 84,706 - - Total income 146,454 - - Expenditure on: Charitable activities 6 129,699 - 8,700 Net income/(expenditure) for the year/ Net movement in funds 16,755 - (8,700) Fund balances at 1 April 2020 1,212,529 63,281 275,210 Fund balances at 31 March 2021 1,229,284 63,281 266,510 |
Total 2021 £ 48,139 13,609 84,706 146,454 138,399 8,055 1,551,020 1,559,075 |
Total 2020 £ 51,356 20,195 86,712 158,263 147,613 10,650 1,540,370 1,551,020 |
|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
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BROOK LANE COMMUNITY CHURCH
STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2021
Prior financial year
| Unrestricted Unrestricted Restricted funds funds funds general fair value reserve 2020 2020 2020 Notes £ £ £ Income from: Donations and legacies 3 51,356 - - Charitable activities 4 20,195 - - Investments 5 86,712 - - Total income 158,263 - - Expenditure on: Charitable activities 6 137,413 - 10,200 Net income/(expenditure) for the year/ Net movement in funds 20,850 - (10,200) Fund balances at 1 April 2019 1,191,679 63,281 285,410 Fund balances at 31 March 2020 1,212,529 63,281 275,210 |
Total 2020 £ 51,356 20,195 86,712 158,263 147,613 10,650 1,540,370 1,551,020 |
|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
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BROOK LANE COMMUNITY CHURCH
BALANCE SHEET
AS AT 31 MARCH 2021
| Notes Fixed assets Tangible assets 11 Investment properties 12 Current assets Debtors 14 Cash at bank and in hand Creditors: amounts falling due within one year 16 Net current assets Total assets less current liabilities Income funds Restricted funds 18 Unrestricted funds - fair value reserve 19 Unrestricted funds - general |
2021 £ £ 125,255 1,153,000 1,278,255 14,578 306,851 321,429 (40,609) 280,820 1,559,075 266,510 63,281 1,229,284 1,559,075 |
2020 £ £ 132,088 1,153,000 1,285,088 13,453 292,797 306,250 (40,318) 265,932 1,551,020 275,210 63,281 1,212,529 1,551,020 |
|---|---|---|
The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2021.
The trustees acknowledge their respons i b i l ity for ensuring that the charity keeps accounting records which comply with section 386 of the Act and for preparing accounts which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its incoming resources and application of resources, including its income and expenditure, for the financial year in accordance with the requirements of sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to accounts, so far as applicable to the company.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the Trustees on 21 September 2021
John Griffiths Trustee
Company Registration No. 6486246
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BROOK LANE COMMUNITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
Charity information
Brook Lane Community Church is a private company limited by guarantee incorporated in England and Wales. The registered office is 27-29 Brook Lane, Downham, Bromley, BR1 4PX.
1.1 Accounting convention
The accounts have been prepared in accordance with the charity's memorandum and 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). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling , which is the functional currency of the charity. Monetary a mounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and 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 at least a further 12 months . This assessment has been made taking into account the impact of the Covid 19 pandemic and that assessment of the trustees is that the pandemic has not had a significant impact on finances and is unlikely to for the 12 months from signing the accounts. Thus the trustees continue to adopt the going concern basis of accounting in preparing the accounts.
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
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 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.
In accordance with the Charities SORP (FRS 102), the general volunteer time of the many members of the church who provide support is not included in the financial statements , however, refer to the trustees’ annual report for more information about their contribution.
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BROOK LANE COMMUNITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
(Continued)
1.5 Expenditure
Expenditure , including any VAT which cannot be recovered, is accounted for on an accruals basis and allocated to the appropriate heading in the accounts. Grants and donations payable are taken into account at the earlier of when they are paid or become legally enforceable.
Other than the normal commitments under contracts of employment and operating leases there are no contractual or constructive obligations to future expenditure at the balance sheet date. Where the trustees have authorised expenditure which is not yet legally enforceable or has become a constructive obligation , amounts are set aside into funds designated for the purpose.
1.6 Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Assets costing less than £1,000 are written off as an expense in the year in which the expenditure is incurred.
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:
Freehold land and buildings 50 years building only Fixtures and fittings 3 to 10 years Motor vehicles 4 years
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 net income/(expenditure) for the year.
1.7 Investment properties
Investment property, which is property held to earn rentals and/or for capital appreciation, is initially measured at cost and subsequently measured using the fair value model and stated at its fair value as at the reporting end date. A formal valuation of the property is obtained every 5 years and in the interim years the fair value is estimated by the trustees by reference to movement in underlying factors. The surplus or deficit on revaluation is recognised in net income/(expenditure) for the year.
1.8 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 ) .
1.9 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.
1.10 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 with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
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BROOK LANE COMMUNITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
(Continued)
1.11 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.
1.12 Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
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.
3 Donations and legacies
| Donations and gifts Tax recoverable |
2021 £ 39,106 9,033 48,139 |
2020 £ 41,869 9,487 51,356 |
|---|---|---|
During the year a donation of £2,000 was received as agent to give to another charity and has been excluded from these financial statements. No such conduit funds were held at the balance sheet date.
4 Charitable activities
| Church | Church | |
|---|---|---|
| activities | activities | |
| 2021 | 2020 | |
| £ | £ | |
| Charitable activities and events | 13,609 | 20,195 |
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BROOK LANE COMMUNITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
5 Investments
| Unrestricted | Unrestricted | |
|---|---|---|
| funds | funds | |
| general | general | |
| 2021 | 2020 | |
| £ | £ | |
| Rental income | 83,205 | 84,555 |
| Interest receivable | 1,501 | 2,157 |
| 84,706 | 86,712 | |
| Charitable activities | ||
| 2021 | 2020 | |
| £ | £ | |
| Staff costs | 58,939 | 58,501 |
| Depreciation and impairment | 6,833 | 6,583 |
| Premises costs | 21,726 | 28,325 |
| Ministry and outreach expenses | 9,340 | 16,733 |
| Communications | 3,096 | 2,486 |
| 99,934 | 112,628 | |
| Grant funding of activities (see note 7) | 12,455 | 10,961 |
| Share of support costs (see note 8) | 12,063 | 12,611 |
| Share of governance costs (see note 8) | 13,947 | 11,413 |
| 138,399 | 147,613 | |
| Analysis by fund | ||
| Unrestricted funds - general | 129,699 | 137,413 |
| Restricted funds | 8,700 | 10,200 |
| 138,399 | 147,613 |
6 Charitable activities
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BROOK LANE COMMUNITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
7 Grants payable
| Grants to institutions: Operation Mobilisation Overseas Missionary Fellowship Other less than £1,000 Grants to individuals Support costs Support costs Governance costs £ £ Staff costs 11,144 - Administrative expenses 814 - Interest payable 105 - Examiner's fees - 2,300 Legal and professional - 11,647 12,063 13,947 |
2021 £ - - 2,160 2,160 10,295 12,455 2021 Support costs Governance costs £ £ £ 11,144 9,952 - 814 744 - 105 1,915 - 2,300 - 1,790 11,647 - 9,623 26,010 12,611 11,413 |
2020 £ 3,300 2,200 1,500 7,000 3,961 10,961 2020 £ 9,952 744 1,915 1,790 9,623 24,024 |
|---|---|---|
8 Support costs
Governance costs includes amounts payable to the independent examiner of £ 1,700 (2020- £ 1,650 ) for independent examination fees , £500 (2020- £ 350 ) for other services, and an under accrual of £100 (2020£ 210 over accrual) for previous year.
9 Trustees
In accordance with the governing document, during the year Andrew Junaid received remuneration for his pastoral services of £37,440 and pension contributions of £2,808 (2020- £36,000 and £2,745 respectively).
During the year one trustee was reimbursed travel and communications expenses of £987 (2020- £1,560).
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BROOK LANE COMMUNITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
10 Employees
Number of employees
The average monthly headcount during the year was:
| Pastoral Administrative Employment costs Wages and salaries Social security costs Other pension costs |
2021 Number 2 2 4 2021 £ 65,624 1,140 3,319 70,083 |
2020 Number 2 2 4 2020 £ 63,202 2,006 3,245 68,453 |
|---|---|---|
There were no employees whose annual remuneration was £60,000 or more.
11 Tangible fixed assets
| Freehold land and buildings Fixtures and fittings Motor vehicles £ £ £ Cost At 1 April 2020 194,390 31,826 8,994 At 31 March 2021 194,390 31,826 8,994 Depreciation and impairment At 1 April 2020 75,440 18,688 8,994 Depreciation charged in the year 3,900 2,933 - At 31 March 2021 79,340 21,621 8,994 Carrying amount At 31 March 2021 115,050 10,205 - At 31 March 2020 118,950 13,138 - |
Total £ 235,210 235,210 103,122 6,833 109,955 125,255 132,088 |
|---|---|
A restriction in the original deed of conveyance requires that in the event that the assembly (local church operated by the charity) ceases to exist any proceeds from the sale of the land and property shall be used for the furtherance of Christian mission by Echoes of Service or used by another body holding similar doctrines and objects as the current charity.
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BROOK LANE COMMUNITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
12 Investment property
| Investment property | |
|---|---|
| 2021 | |
| £ | |
| Fair value | |
| At 1 April 2020 and 31 March 2021 | 1,153,000 |
The fair value of the investment property, which is freehold property, has been arrived at on the basis of a valuation carried out at 31 March 2017 by chartered surveyors, who are not connected with the charity. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties. There has been little movement in relevant rental yields since 31 March 2017 and the trustees therefore believe that the valuation at that date is still a good estimate of fair value at 31 March 2020.
A restriction in the original deed of conveyance requires that in the event that the assembly (local church operated by the charity) ceases to exist any proceeds from the sale of the investment property shall be used for the furtherance of Christian mission by Echoes of Service or used by another body holding similar doctrines and objects as the current charity.
13 Financial instruments
The church has no financial instruments measured at amortised cost. All financial instruments are included in current assets or liabilities and are measured at the cash or other consideration expected to be paid or received and have not been discounted.
14 Debtors
| Amounts falling due within one year: Other debtors Prepayments and accrued income |
2021 £ 9,012 5,566 14,578 |
2020 £ 8,708 4,745 13,453 |
|---|---|---|
15 Loans and overdrafts
| Other loans Payable within one year |
2021 £ - - |
2020 £ 7,677 7,677 |
|---|---|---|
The loan previously secured on the property was fully repaid during the year and the charge released.
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BROOK LANE COMMUNITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
16 Creditors: amounts falling due within one year
| Notes Borrowings Other taxation and social security Deferred income 17 Accruals 17 Deferred income Arising from rent in advance Arising from charitable activities deposits |
2021 £ - 4,407 21,684 14,518 40,609 2021 £ 20,575 1,109 21,684 |
2020 £ 7,677 5,176 20,575 6,890 40,318 2020 £ 20,575 - 20,575 |
|---|---|---|
18 Restricted funds
The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:
| Balance at | Resources | Balance at | Resources | Balance at | |||
|---|---|---|---|---|---|---|---|
| 1 | April 2019 | expended | 1 April 2020 | expended | 31 |
March 2021 | |
| £ | £ | £ | £ | £ | |||
| Building fund | 285,410 | (10,200) | 275,210 | (8,700) | 266,510 |
The building fund holds funds released from the endowment, with the permission of the Charity Commission, for the purpose of extending the church premises to further the general objects of the charity.
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BROOK LANE COMMUNITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
19 Unrestricted funds - fair value reserve
These are unrestricted funds which are material to the charity's activities made up as follows:
| Movement | Movement | |||||
|---|---|---|---|---|---|---|
| in funds | in funds | |||||
| Balance at | Incoming | Balance at | Incoming | Balance at |
||
| 1 | April 2019 | resources | 1 April 2020 | resources | 31 March 2021 |
|
| £ | £ |
£ | £ |
£ |
||
| Investment property reserve | 63,281 | - |
63,281 | - |
63,281 |
The revaluation reserve arises from the excess of fair value over cost of the investment property. The next valuation is due in 2022.
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BROOK LANE COMMUNITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
| 20 Analysis of net assets between funds Unrestricted funds - general Unrestricted funds - revaluation reserve Restricted funds 2021 2021 2021 £ £ £ Fund balances at 31 March 2021 are represented by: Tangible assets 125,255 - - Investment properties 1,089,719 63,281 - Current assets/(liabilities) 14,310 - 266,510 1,229,284 63,281 266,510 |
TotalUnrestricted funds - general Unrestricted funds - revaluation reserve 2021 2020 2020 £ £ £ 125,255 132,088 - 1,153,000 1,089,719 63,281 280,820 (9,278) - 1,559,075 1,212,529 63,281 |
Restricted funds 2020 £ - - 275,210 275,210 |
Total 2020 £ 132,088 1,153,000 265,932 1,551,020 |
|---|---|---|---|
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BROOK LANE COMMUNITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
21 Operating lease commitments
Lessee
£811 (2020- £980) has been recognised in the statement of financial activities as an expense during the year in respect of operating lease arrangements.
At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
| Within one year Between two and five years |
2021 £ 993 3,475 4,468 |
2020 £ 768 192 960 |
|---|---|---|
Lessor
The charity leases out part of its property to 19 June 2040 which is included as an investment property. Rental income of £82,300 (2020- £82,300) was received in the year in addition to expense contributions and reimbursements. The lessee does not have an option to purchase the property at the expiry of the lease period.
At the reporting end date the charity had contracted with tenants for the following minimum lease payments:
| Within one year Between two and five years In over five years |
2021 £ 82,300 329,200 1,234,500 1,646,000 |
2020 £ 20,575 - - 20,575 |
|---|---|---|
22 Related party transactions
Remuneration of key management personnel
The remuneration of key management personnel being the trustees, is as follows.
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Aggregate compensation | 41,125 | 40,892 |
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BROOK LANE COMMUNITY CHURCH
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
22 Related party transactions
(Continued)
Transactions with related parties
During the year donations of £15,814 (2020- £ 18,130) were received from trustees and related parties.
A payment of £122 was made to Bradley Harris (son of trustee Stephen Harris) in respect of plumbing services provided.
An initial monthly payment of £50 was made to Sean and Rachel Macnamara (son and daughter-in-law of trustee Jacqueline Macnamara) to support their missionary activity in Kenya. This will be a continuing monthly commitment subject to annual review.
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