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2020-12-31-accounts

HORFIELD BAPTIST CHURCH

ANNUAL REPORT AND FINANCIAL STATEMENTS

Year to 31[st] DECEMBER 2020

Charity Number 1126706


CONTENTS		 PAGES

Reference and Administrative details		 1

Structure, Governance and Management		 2

Objectives and Activities		 3 - 5

Achievements and Performance		 6 - 9

Financial Review		 9
Plans for Future Periods 11

Independent examiner's report to the trustees		 **13 **

Statement of financial activities		 14

Balance sheet		 15

Notes to the financial statements		 16 - 23

HORFIELD BAPTIST CHURCH

MINISTER, TRUSTEES AND PROFESSIONAL ADVISERS

REFERENCE AND ADMINISTRATIVE DETAILS

Registered charity name Horfield Baptist Church Charity number 1126706 Registered address 279 Gloucester Road Bristol BS7 8NY Trustees Rev Sarah Phillpot (Pastor) Mrs Christine Brown (ILT from April 2020; Elder, from November 2020) Mr Matthew Champion (ILT from April 2020; Elder, from November 2020) Mrs Esther Newman (ILT from April 2020; Elder, from November 2020) Mrs. Chris Shrimpton (Deacon, term ended November 2020) Mr. Cecil Skelton (Deacon, term ended April 2020) Mrs. Myra Skelton (Deacon, term ended April 2020) Interim Leadership Team (ILT) Mr Jonny Wilkinson (from April 2020 to November 2020) Ms Jenny Foster (from April 2020 to November 2020) Property Trustees The Baptist Union Corporation Limited Baptist House 129 Broadway Didcot Oxfordshire OX11 8RT Independent Examiner Anthony J Faccini Accountants Hatter House Abbotsford Close Woking Surrey GU22 7BJ Bankers Co-operative Bank PLC P.O. Box 250 Delf House Southway, Skelmersdale WN8 6WT

HORFIELD BAPTIST CHURCH

TRUSTEES ANNUAL REPORT YEAR ENDED 31 DECEMBER 2020

The trustees present their report and the unaudited financial statements of the charity for the year ended 31 December 2020.

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document

The original governing document, a deed of trust, was drawn up in 1892 by founder members, the original having been lodged with the Baptist Union Corporation.

A new constitution was drawn up dated 14 October 2008 in line with Baptist Union guidelines and has been lodged with the Charity Commission. A slight amendment to this constitution was drawn up and approved in March 2020 and the Charity Commission notified. Members of the Church are accepted in accordance with the Constitution which normally requires them to have been publicly baptised on the profession of faith in Jesus Christ or following other modes of baptism to renew their public profession of faith in Jesus Christ.

The members meeting normally takes place ten times per year and has responsibility for the overall policy of the Church. In accordance with the constitution, deacons were elected from among the membership of the Church and, for their time of service were considered trustees. Under the amended constitution, Elders are now elected from among the membership of the Church (in place of Deacons) and, for their time of service are considered trustees. Deacons or Elders are responsible under God, with the Pastor, for the pastoral leadership of the Church. All members are encouraged and expected to take an appropriate part in the spiritual and practical tasks involved in the furtherance of the charitable objective.

The charity is controlled by its governing document and constitutes an unincorporated charity

Charity status

Horfield Baptist Church, Gloucester Road, Bristol, BS7 8NY is a registered charity under the Charities Act 1993. The Church registered as a charity on 13 November 2008.

The Church owns one house, 29 Ramsey Road, Horfield, Bristol BS7 0JF, which is occupied as a manse by the pastor, the deeds being held by the West of England Baptist Association Incorporated.

OBJECTIVES AND ACTIVITIES

PURPOSE OF THE CHARITY

The principal purpose of the charity is the advancement of the Christian faith according to the principles of the Baptist denomination to include the advancement of education, community service and such other general charitable purposes in such parts of the United Kingdom and the world as the Church shall determine.

In order to achieve the principal objective, which is set out above, the Church provides a variety of activities both to its membership and to the community generally. The aim is to show the love of Jesus Christ in both word and deed and to bring people into a closer relationship with Him as living Lord.

Worship Services

Central to the work and witness of Horfield Baptist Church is the provision of weekly public services of worship on a Sunday morning at 10.30 am throughout the year which are open to all. There are also occasional services at other times which are advertised in the Church notices and on the Church website at www.horfieldbaptist.net . Age-appropriate activities and teaching for children and young people aged 0-11 are provided during Sunday morning services. We seek to be a friendly and welcoming organisation, and all are welcome to attend any of our services. We will not discriminate against anyone by virtue of age, race, gender, disability or lifestyle choice. During 2020 our main worship service has been conducted online over Zoom with the service later uploaded to Horfield Baptist Church’s YouTube channel https://www.youtube.com/channel/UCFLb2Uq5zE8VphFhxpY8Piw and public Facebook page https://www.facebook.com/groups/6338094987

Home Groups

The Church runs a small number of home and study groups for the growth of faith and discipleship in the homes of some members and on Church premises. One of these has continued through lockdown over Zoom. For information, please contact the Church office office@horfieldbaptist.net

Sponsored[1] Uniformed Organisations

Rainbows, Brownies, Guides, Beavers, Cubs and Scouts all meet on the premises, occasionally attending parade services.

Café

Horfield Baptist Church’s Fresh Ground Café closed at the beginning of the year. Much thought and prayer brought a potential tenant into relationship with the Church, however lockdown has meant that discussions are on hold for the foreseeable future.

Messy Church

The Church runs Messy Church on the premises six times a year when families and children are welcomed and invited to participate in a relaxed and creative way, and ‘church’ takes place

1 Horfield Baptist Church ‘sponsors’ uniformed and other organisations deemed to be of significant public advantage and these in turn ‘donate’ what they are able to for use of space within the building, instead of paying the going rate of hire.

which involves all age groups. Messy Church has continued to meet over Zoom, supporting families in the community and encouraging faith.

First Friday

Once a month Horfield Baptist Church runs a youth group for those in year group 6 and above which is attended by both Christian and non-Christian young people. Activities include sports, food, Bible study, fellowship and fun. The young people also learn how to use puppets and participate in Church services two or three times a year. This activity has not been able to continue during lockdown.

Ladies’ Breakfast

Horfield Baptist Church runs a Ladies’ breakfast 5 times a year. This is an opportunity for women from both inside and beyond the Church fellowship to meet together over a relaxed breakfast and to hear a short and encouraging talk with a Christian message. This activity has not been able to continue during lockdown.

Men’s Breakfast

The Church also occasionally runs a breakfast meeting for men which provides an opportunity for men from the Church fellowship and those on the fringes to meet and chat over a cooked breakfast. This activity has not been able to continue during lockdown.

Missions

Horfield Baptist Church regularly supports mission activities at home and abroad. We are in membership with the Baptist Union of Great Britain (BU) through our local association, the West of England Baptist Association (WEBA) and devote an agreed sum each year to both Home Mission and the Baptist Missionary Society (BMS) amounting to approximately 10% of income. More is collected through special collections.

In addition, Horfield Baptist Church makes regular financial collections and prays for mission organisations both locally and nationally. Our existing mission partners are the Leprosy Mission and we sponsor a child’s education in Bangladesh through a retired missionary with a local contact. We also supported in various ways The Matthew Tree project, Operation Agri and the West of England Baptist Network Christmas appeal, WEBOX.

Community Outreach

The Church organises regular outreach events to which members of the community are invited with the aim of strengthening community links and sharing the Good News of Jesus. This year our excellent Christmas Carols event for families was over Zoom and was moderately well attended under the circumstances.

Newsletter

This year the Church has produced a weekly newsletter which is distributed via email and by post to all within our fellowship. This vital ministry has helped to keep members and attenders in touch and informed. It includes a weekly reflection, news about the fellowship, information on who to contact for a variety of ministries, national support and encouragement and information on and encouragement to get involved with local, national and international mission. It has been a vital part of our pastoral ministry during lockdown.

Pastoral care and Pastoral Watchers

Our pastoral response to the pandemic, to all from the potential isolation of those on their own to families attempting to home-school whilst on furlough or working from home has been expansive and impressive for a small fellowship with limited resources. Our network of Pastoral Watchers has ensured that everyone receives a regular phone call with a resulting conversation, which may lead to some shopping or other errand being accomplished as a result. Our Prayer Pyramid and Prayer List have been utilised for those who are anxious as well as those who are sick, with the result that the fellowship, although unable to meet physically, has continued to feel supported, loved and cared for. In April and December of 2020, plants were distributed to everyone in the wider fellowship as a reminder of that love.

In addition, the Church seeks to provide:

Under normal circumstances, the Church premises are in use every day of the week, offering a range of facilities and opportunities open to all members of the public for the benefit of people of different ages and backgrounds, both from within the Church membership and the wider community. During Lockdown the Church has been able to facilitate the continued use of the premises by the NHS Baby Clinic, a vital resource for new parents.

The Church’s income is primarily used in paying and accommodating a minister; in maintaining the structure of its extensive premises (which have Grade II listed status); in cleaning and heating the premises to make them suitable for constant Church and community use; and in contributing to the wider Baptist community both at home and abroad through the Baptist Home Mission Fund and BMS World Mission. The Church also employs a part-time administrator, but most of the work of the Church is supported by members on a voluntary basis.

Trading Activities

The current Church premises being large, are extensively used by many outside organisations in addition to our own, ranging from Baby Clinic, a toddler singing group, ‘Keep Fit’ classes and various groups associated with our outreach to young families. The buildings are popular amongst our young families as a venue for birthday parties, and family celebrations.

The income is generated mostly by the letting of rooms and the voluntary giving of Church members. Income this year has been severely compromised by Covid-19 restrictions on meetings.

The Church operates systems to ensure that all people working with children and vulnerable adults are appropriately vetted according to the Disclosure and Barring Service. These services have moved online during 2020

The Church has read the Charities Commission guidance on public benefit and is satisfied that the activities outlined above clearly demonstrate that the charity is providing a benefit to the public.

ACHIEVEMENTS AND PERFORMANCE

Achievements and Performances for 2020

The Church does not measure the success of its programmes only in numbers, including financial numbers, but also in less tangible areas like fellowship, encouragement, engagement with the community and deepening faith. The Trustees recognise that these are difficult to measure. This has been a year of challenge and change for Horfield Baptist Church. Church services have moved online and members and attenders have become actively involved in caring for one another and intentional about keeping in touch.

The first ten weeks of the Church’s year proceeded as expected. Church discussed a new leadership structure which was to be implemented before the minister’s sabbatical was due to begin at the end of April. This would require a slight change to the Church’s constitution, to be agreed at a Special Church Meeting. Church also began to explore the possibility of developing the premises and a committee was set up to action this exploration and report back to Church Members Meeting (CMM). By God’s grace and through the determination of Church meeting, lockdown has not meant shutdown for Horfield Baptist Church and the change of leadership structure was accomplished during the year, and a commitment made to explore development of the premises.

Leadership Structure

In January, a new leadership structure was discussed at CMM

The Leaders Team

are the practical leaders of Horfield Baptist Church.

All practical decisions happen here

----- Start of picture text -----
All practical decisions happen here
Trustees
Elders
Leaders Team
will meet quarterly
Elders will
meet monthly
Church Meeting
The Elders
are the spiritual leaders
Leaders
of Horfield Baptist Church
Team
They will meet for prayer,
Finance Team discernment and discussion
Facilities Group
Cafe
Messy Church As trustees they are also
Mission Support Group responsible for ensuring that
Pastoral Care practical decisions
are actioned
----- End of picture text -----

The proposed structure would require two slight alterations to the constitution which was accomplished at a Special Church meeting in early March and was to be reviewed in 12 months’ time. The Leaders Team is formed from those who are already in positions of leadership within the Church, affirming and supporting those who already take responsibility within the Church and will meet four times during the year to review policies and take practical decisions about the running of the Church. No sooner was the change in constitution and leadership structure agreed than the first Covid-19 lockdown occurred, and the March CMM was cancelled meaning that the rest of the changes couldn’t be brought in.

No Church meetings were held in March, April or May, but in June, under the guidance of the West of England Baptist Network and in line with the guidance issued by the Baptist Union, an Interim Leadership Team (ILT) was established and voted into place via a postal vote and a Church meeting held over Zoom. This situation was far from ideal, but one deacon agreed to stay on as Trustee alongside the minister allowing the ILT to guide CMM through the rest of the year until an eldership could be voted into place in November again via a postal vote and at a Church meeting held over Zoom, establishing the leadership structure proposed at Church meeting in January.

Horfield Baptist Church is hugely grateful to all of those who have taken on leadership roles during 2020.

Café

In February, after the first half term of the year, it was sadly agreed to close Fresh Ground Café after nearly seven years, due to a lack of volunteers to work alongside the two café managers who

were made redundant. As the café closed, an expression of interest was received from a charity working with young people with learning difficulties. As the Church café committee started to explore this interest with the charity, Covid-19 closed cafés throughout the country. The charity is still interested in using the Church premises and the Church is still interested in working with them. Time will tell whether anything will come of this.

Sunday services

In April of 2020 our usual Sunday morning services moved online via Zoom. Gatherings in person for worship or any other purposes had been banned by the government because of Covid-19 in late March and it took us almost a month to gather the knowledge and resources to meet over the internet. Easter Sunday was our first meeting over Zoom. Palm Sunday’s service, Messy Easter and a planned film afternoon and tea had all been abandoned. Easter Experience had been planned for Bishop Road School, but this also didn’t take place which was a shame. However by Easter Sunday, a small group of us met on a computer screen to celebrate together Jesus, risen from the dead.

Over the course of the rest of the year, all but two gatherings have happened over Zoom and the congregation has steadily become more used to Church happening in our own front room or kitchen but connected to others over the ether. Some who started to meet with us over the phone have invested in a smart tablet or webcam and the number of us who gather has stabilised and grown slightly, but it is a sadness to know that there are still some of our members and regular attenders who do not feel able or choose not to join us on a Sunday over the phone or via a laptop or tablet. The Sunday service is also uploaded to the Horfield Baptist Church YouTube channel and the Horfield Baptist Church Facebook page where others who are not a part of our congregation may also view it. Access to the Sunday service is via a link which is available through the Church Office for those who wish to be present with us on a Sunday.

In September, as restrictions eased, a service was held on the Church premises which attracted similar numbers to those who were meeting online. This was a service of prayer and was much appreciated by those who were able to attend although the one-way system, social distancing and a ban on singing and chatting made the experience feel strange. In November, another service was held on the premises. This was a harvest service when all were invited to bring food and other supplies for The Matthew Tree Project in Bristol.

By October, it was clear that restrictions were coming back again so the Remembrance Day service was held online.

In December, a Family Carols service was held on the premises by a small group of folks and broadcast over Zoom to a larger group which included Messy Church families as well as Church family.

All other services, including Christmas Day service were over Zoom.

Children’s work

For most of the year, children’s work has consisted exclusively of Messy Church, which has been delivered online via Zoom.

In January, February and March, First Friday and Sunday morning children’s work had occurred as usual as well as one instance of Messy Church. Once meetings on the premises ceased, Messy

Church continued to meet online at its usual time and place, and families who usually joined us on a Sunday morning were invited to join in.

Outreach

During 2020, several outreach events had been planned to connect with the community around the Church premises. None of them could take place.

Instead, teaching and actions focussed on the Church community being Church wherever we were amongst our neighbours. Twice during the year, a prayer card was produced to be delivered to neighbours asking if they would like prayer. At Christmas, members and attenders were encouraged to join in with a Bristol based initiative to sing carols on the doorstep.

It has become clear to us that we are not sufficiently embedded in our local community and our ‘mission’ to our neighbours in Bishopston consisted largely of providing activities or a venue. This knowledge will form part of the review of our activities, ministry and mission which we will undertake in 2021.

Development of the Church premises

The year began with an acknowledgement that Church was no longer keeping up with the work that needed to be done to maintain the Church premises. Those who had given so much time and talents over many years and gifted their experience and time to maintaining the building have grown older and the shrinking congregation is no longer able to afford to pay for work to be done professionally. In our Church meetings at the beginning of the year we acknowledged that fact and began to explore the possibility of developing the Church premises to be more suitable and affordable. A committee was formed, ably chaired by Tina Palmer, and avenues of development explored. Unfortunately, the first developer recommended to us was discovered to not be in a good position financially. Having so nearly got our fingers burned, Church realised that we needed some help and advice. Conversations ensued with WEBNet and the Baptist Union Corporation about a possible partnership to explore together the possible development of the Church site, and provision of an appropriate worship site, with expertise and support provided from the team, now called Spatial Perceptions, which had helped Spurgeon’s College to discern the spec for developing the college site.

In September, a special Church meeting was held over Zoom with a single question on the agenda. Whether the Church premises should be sold, or development explored in partnership with Spatial Perceptions. Postal voting had been permitted for this issue following a vote at the July Church meeting. Attendance was very good with over 80% of members voting and over 80% of those voting voted for the option of exploring development of the premises.

By the end of the year, several folks had seen around the premises including a potential developer, the project manager and one of the trustees from WEBNet who would also be part-funding the cost of the initial report. Lockdown has slowed the process, but we look forward to discerning the future that God has for Horfield Baptist Church and its premises in Bishopston.

Pastoral care

Suddenly, in late March, Pastoral care became much more difficult. At the beginning of the year, Church meeting had agreed a pastoral policy laying out how the Church members, attenders and others associated with Church in various capacities, were to be cared for, who would do the caring, what support they would receive and how the process would be overseen. Now, this was so much

harder to deliver because of lockdown. Two new posts of Pastoral Carer had been created and Marilyn Goodway and Ros Bird voted into post.

Before all of this could be fully implemented however, lockdown meant that pastoral visits could not take place. Fortunately, Horfield Baptist Church has a Pastoral Watchers Network in place meaning that everyone who regularly attends has someone who will speak with them occasionally or more regularly should the need arise. Pastoral Watchers has meant that each week, everyone receives a phone call to check up on them. It has been expanded to include offers of shopping or collection of prescriptions or medication and ensures that no one is without someone who takes an interest in their wellbeing.

Pastoral visits have been conducted, when government guidelines permit, on doorsteps, in gardens, out on the common and in hospital. A coffee morning has been established over Zoom for those who would like to meet with others and although there are not many who attend, it is one more way that we stay in touch with one another.

During the course of the year, we have also twice delivered plants to all those in our directory to

remind them that they are loved.

Every Friday, a newsletter is produced with contact details, a reflection, Church news and mission news and delivered via email or by post to everyone in our directory. We recognise that not everyone is able to manage the technology needed to join us by computer or muster the concentration necessary to connect by phone, so the newsletter provides another way of keeping in touch.

During the year, three members have resigned, and we have welcomed one new person into membership. Health and Safety and Pastoral Care policies were agreed.

2020 may well have been the most difficult year for the Church in its 125+ year existence, however church has continued to be church as well as do church and the love of God has been shared, witnessed to and modelled in new and unfamiliar ways. We look forward to what God has for us in 2021.

FINANCIAL REVIEW

The Church continues to raise funds which it needs to carry on its activities from voluntary contributions from within the membership, congregation and by rents received from hiring out its substantial premises.

2020 has seen the Church’s income severely limited by the restrictions caused by Covid-19. Although there were no major repair works, the Church buildings continue to cause concern. Blocked gutters caused water ingress and ongoing issues with ageing boilers has meant that damp is causing problems. The heating having been switched to a ‘frost setting’ because of the non-use of the building has exacerbated these problems.

Keeping general repair costs down by a few volunteers from the fellowship becomes more difficult, as like the ageing building the volunteers are not getting younger. We continue to monitor our bills closely aiming to obtain the best deals possible from the market, thus ensuring we are using our monies in the most efficient way to God’s glory.

The Church continues to express its part in the life of the wider church by giving grants to national and international Christian organisations and societies with Christian aims and objectives compatible with the Church’s own charitable purpose.

Voluntary Income

The main source of income is the offerings from members and friends, made either weekly or monthly and in a variety of ways, i.e., using the envelope scheme, standing orders via the bank, or in cash. The offerings received are augmented by recovered income tax, derived from those people who have registered for Gift Aid with the added ability to claim from the “Gift Aid Small Donations Scheme” which added £6,309 in 2020.

The financial results for the year, together with a summary of the accounting policies adopted are set out in the accompanying financial statements.

Reserves

The Church operates a reserves policy to enable the Church to function effectively and meet its obligations in the event of a decline in our income or a major cost. The aim is to maintain free reserves in unrestricted funds at a level which equates to approximately three months of unrestricted charitable expenditure. The trustees consider that this level will ensure that there are enough funds available to cover day to day costs.

Having considered the relevant risks of changes in income and expenditure, the Trustees have determined that the appropriate level of reserves is approximately £30,000 and this amount has been placed in our Savings Account and has given us a little extra interest revenue. As at 31[st] December 2020 the Church held total reserves of £152,057 of which £4,774 were restricted and £8,532 designated. Reserves that were neither restricted nor designated amounted to £142,027.

Any reserved monies not immediately needed have been placed into savings accounts. These have been divided between Triodos bank on a 90-day notice account, Cambridge and Counties 95-day notice account and Virgin Charity Deposit Account, to gain some interest whilst supporting ethical banking until we are ready to use these designated funds either on building repairs; to upgrade our Manse or for outreach. To comply with advice from the Charity Commission we have split our monies to ensure each account is within the guaranteed safety threshold.

Collections for other Charities

During 2020 the following amount was collected to give to other charities
Operation Agri £120
Matthew Tree £40
Leprosy Mission £8
Bangladesh Rema £50
WEBox contribution £20
TOTAL £238
Plus

BMS Birthday Scheme £639 Home Mission £2,000 BMS £2,000

It was felt that the Church’s commitment to Gulu through BMS had been fulfilled so a final payment was made during the course of the year.

Pension Liability

A pension liability has arisen as a result of past ministers participating in a pension scheme known as the Baptist Pension Scheme. HBC and ministers contributed to the defined benefit scheme which was closed for to future accrual of defined benefits on 31 December 2011. The current minister is not a member of the scheme. The details of the management of the liability arising from the scheme are recorded in the Annual Accounts.

PLANS FOR FUTURE PERIODS

Plans for 2021 include:

Review of goals for 2020

During 2020 we have

The challenges we face in 2021 include:

Funds held as custodian trustee on behalf of others

Specific gifts for other organisations are recorded as restricted funds and are appropriately controlled and passed on.

RESPONSIBILITIES OF THE TRUSTEES

The charity's trustees are responsible for preparing the Trustees Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping proper 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 Charities Act 1993 and the Charity (Accounts and Reports) Regulations 2008. The trustees 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.

INDEPENDENT EXAMINER

Tony Faccini of Anthony J Faccini was thanked for his assistance in the preparation & examination of these accounts.

HORFIELD BAPTIST CHURC NDEPENDENT EXAMINER'S REPORT TO THE CHURCH MEMBERS I report on the financial statements for the year ended 31 December 2020. which are set out on pages 15 to 24. RESPONSIBILITIES OF THE EXAMINBR 11 19 ffi-y respohsibility- io,. Examine the accounts under s¢¢tion 145 of the Chariti¢s Act 2011, To follow the procedures laid down in the General Directions given by the Charity Commission (under section 145(5)(b) of the Charities Act). and To state whether particular matters have come to my attention BASIS OF INDEPENDENT EXAMtNER'S STATEMEKF My ¢xaininalion ￿'aS carried out in accordance ii-ith the General Directions g4iien by the Charity Cornmission. An examination includes a rei.'ieM' of the acwunling records kepl bil the charity aTid a comparison of thc accounts presented i¥ith those records. It also includes consideration of aiij unusual items or disclosures in the accounts, and seeking explanations from the trustees concerning such inatters. The procedures undertaken do not provid¢ all the evidence that ii'ould be rcquired in an audit, and consequently no opinion is given as lo whether Ihe accounts present a true and fair view and the report is limited to thos¢ matters set out in the slateinent below. INDEPENDEKf EXAMfNER'S STATEME In connection with my examination. no matter has come to my attention: l ) Which gives me reasonable cause to kliei'e thai in any material respect the requirements.. to kcep accounting records in accordance Mith seclion 130 of the Act; to prepare awounis which accord i¥ith the accounting records and to comply ivith the accounting requiTements of the Act have not been met; or 2) To Th'hich, in m51 opinion, attention should be drawn in order to to enable a prO￿r undersianding of the acLounts to be reached. Anthony J. Faccini Halter House Abbots"ford Close Wokkng surre￿ GU22 P3J Toll Page 14

HORFIELD BAPTIST CHURCH STATEMENT OF FINANCIAL ACTIVITIES YEAR ENDED 31 DECEMBER 2020

Notes Unrestricted
Designated
Restricted
Endowment
Year to
Dec. 2020
Year to
Dec. 2019
Incoming resources
£
£
£
£
£
Voluntary income
2
37,174
6,228
-
43,402
50,171
Investment income
3
1,302
-
-
1,302
1,656
-
Incoming resources from
charitable activities
4
7,542
-
10
-
7,552
46,639
-
Other incoming resources
-
-		 Notes Unrestricted
Designated
Restricted
Endowment
Year to
Dec. 2020
Year to
Dec. 2019
Incoming resources
£
£
£
£
£
Voluntary income
2
37,174
6,228
-
43,402
50,171
Investment income
3
1,302
-
-
1,302
1,656
-
Incoming resources from
charitable activities
4
7,542
-
10
-
7,552
46,639
-
Other incoming resources
-
-
Total incoming resources 46,018
-
6,238
-
52,256
98,466
Resources expended
Charitable activities
5
Governance costs
1(g)
Pension Liability Interest		 77,544
3,306
901
-
81,751
105,118
620
-
-
-
620
400
270
270
838
Total resources expended
6		 78,434
3,306
901
-
82,641
106,356
Net operating income/(expenditure)
before transfers
Gross transfers between funds15-17
Net income/(expenditure) for the
year & endowment movements
Adjustment to previous year
Other recognised gains/(losses)
on defined benefit pension schemes
(actuarial)
18
Surplus on Revaluation of Manse
(32,416)
(3,306)
5,337
(30,385)
(7,890)
5,017
-
(5,017)
-
-
(4,677)
(4,677)
80,000
10,472
10,472
484
Net movement in Funds
Total Funds brought forward		 (21,604)
(3,306)
320
80,000
55,410
(7,406)
-
-
139,177
10,861
4,389
5,769,141
5,923,568
5,930,974
-
Total Funds carried forward 117,573
7,555
4,709
5,849,141
5,978,978
5,923,568

Explanatory Notes: Funds

Unrestricted are those funds that the church is not legally bound to use for any particular purpose.

Designated is a type of unrestricted fund which has been set aside by the Trustees for a special purpose. Restricted are restricted in their use by the terms of an appeal, or by the donor. Endowment is the permanent capital of the church. Their use is determined by the terms of the Trust Deed.

Page 15

HORFIELD BAPTIST CHURCH BALANCE SHEET YEAR ENDED 31 DECEMBER 2020

----- Start of picture text -----
Notes 2020 2020 2019 2019
£ £ £ £
Tangible Fixed Assets 10 5,851,835 5,772,509
Current Assets
Debtors 11 3,024 4,240
Bank & cash 12 147,575 184,363
150,599 188,603
Current Liabilities
Creditors : amounts falling due within one year 13 1,930 3,092
Net Current Assets 148,669 185,511
Deferred Liabilities (Pension Liability)
Creditors : amounts falling due after one year 18 -21,526 -34,452
Net Assets 5,978,978 5,923,568
Charitable Funds
Endowment 14 5,849,141 5,769,141
Restricted 15 4,709 4,389
Designated 16 7,555 10,861
Unrestricted 17 117,573 139,177
5,978,978 5,923,568
----- End of picture text -----

The notes on pages 13 to 19 form an integral part of these accounts

These accounts were approved by the Trustees on 20th July 2021 and signed on their behalf by:

Sarah Phillpot ____________ Minister

Page 16

HORFIELD BAPTIST CHURCH NOTES TO THE ACCOUNTS YEAR ENDED 31 DECEMBER 2020

1 ACCOUNTING POLICIES

a Basis of preparation

The accounts are prepared under Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard (FRS)102.

b Recognition of income

These are included in the Statement of Financial Activities (SoFA) when:

c Grants and Donations

Grants and donations are only included in the SoFA when the general income recognition criteria are met.

d Tax reclaims on donations and gifts

Gift Aid receivable is included in income when there is a valid declaration from the donor. Any Gift Aid amount recovered on a donation is considered to be part of that gift and is treated as an addition to the same fund as the initial donation unless the donor or the terms of the appeal have specified otherwise.

e Legacies

Legacies are included in the SoFA when receipt is probable, that is, when there has been grant of probate, the executors have established that there are sufficient assets in the estate and any conditions attached to the legacy are either within the control of the charity or have been met.

f Grants payable

The church makes grants to other organisations whose charitable objects further or complement its work.

They are accounted for when the decision to pay them has been made by the church.

g Governance and Support costs

Support costs have been allocated between governance costs and other support. Governance costs comprise all costs involving public accountability of the charity and its compliance with regulation and good practice.

Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, eg allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.

Most of the management is carried out without charge by volunteers. This intangible cost is not included in the Statement of Financial Activities since there is no measurable cost for the service of the volunteers.

h Creditors

The charity has creditors which are measured at settlement amounts less any trade discounts.

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HORFIELD BAPTIST CHURCH NOTES TO THE ACCOUNTS- contd YEAR ENDED 31 DECEMBER 2020

1 ACCOUNTING POLICIES Ctd…/

i Tangible Fixed Assets for Use by the Charity & Depreciation

These are capitalised if they can be used for more than one year. They are valued at cost.

The depreciation rates and methods used are in line with BU Guidelines. Depreciation has not been charged on the Church or Manse premises, because in the opinion of the Trustees, the residual value of the asset is not less than the original cost price.

Depreciation on other fixed assets is calculated to write off the cost on a straight-line basis over their expected useful life, at the following rates:- Fixture, fittings and equipment 20%

This is a policy in line with BU Guidelines and current practice. Please see note 10.

j Debtors

Debtors (including trade debtors and loans receivable) are measured on initial recognition at settlement amount after any trade discounts or amount advanced by the charity. Subsequently, they are measured at the cash or other consideration expected to be received.

£
£
£
£
£
£
28,184
-
28,184
31,148
5,655
119
5,774
10,016
3,335
5,756
9,091
7,814
285
285
325
-
-
-
500
-
68
68
368
Year to
Dec 2019
Legacies
Raised for other causes
Offerings
Gift Aid & VAT refunds
Donations etc
Grants
2. Voluntary Income
Unrestricted Designated
Restricted
Endowment
Year to
Dec 2020
37,174
-
6,228
-
43,402
50,171
£
£
£
£
£
£
1,302
-
-
1,302
1,656
Year to
Dec 2019
Endowment
Restricted
3. Investment Income
Bank etc interest
Year to
Dec 2020
Designated
Unrestricted
1,302
-
-
-
1,302
1,656
Fund-raising Events - Building Fund
10
10
32
Miscellaneous Income
-
-
-
638
-
638
18,852
6,904
-
6,904
27,755
Other activity(Café)
Rent receivable:Church rooms
4. Incoming resources from charitable activities
7,542
-
10
-
7,552
46,639
Ministry
34,156
3,306
-
37,462
33,545
6,190
901
-
7,091
28,737
Establishment
27,465
-
-
-
27,465
32,334
5. Costs of activities in furtherance of the charity's objectives
Mission
67,811
3,306
901
-
72,018
94,616

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HORFIELD BAPTIST CHURCH NOTES TO THE ACCOUNTS- contd YEAR ENDED 31 DECEMBER 2020

37,462
-
7,091
26,790
-
674
-
-
-
72,017
-
7. Grants payable
BUGB Home Mission
2,000
BMS World Mission
2,000
Other grants (under £1000)
901
4,000
-
901
Other administrative costs
10,353
10,353
Salaries & Stipends
Charitable
activities
Grant
Funding
6. Total resources expended
Ministry
Mission
Establishment (Water Rates; Cleaning Costs &
Main Purchases)
Depreciation
Designated
Restricted
Governance costs (Accountant & Inspection Costs
Unrestricted
Social security costs
Pension costs
8. Support costs
9. Staff costs and Trustee expenses		 -
37,462
9,733
16,824
-
26,790
-
674
620
620
10,353
82,370
2,000
2,000
901
-
4,901
10,353
10,353
41,759
-
5,892
47,651
Support
Costs
Year to
Dec 2020
Endowment
Year to
Dec 2020
Year to
Dec 2020		 34,545
38,301
31,492
842
400
105,580
2,500
2,500
4,367
9,367
10,964
10,964
48,862
6,653
55,515
Year to
Dec 2019
Year to
Dec 2019
Year to
Dec 2019

The average number of employees during the period was 3 (Yr. 2019: 5) No employee received emoluments in excess of £60000 during the period Nil (2019: Nil) No sums were reimbursed to the Trustees for their work as Trustees Nil (2019: Nil)

The church pays pension contributions into the Pension Deficit plan plus Pension to its current Minister to the Baptist Ministers' Fund (now the DB plan within the scheme). The pension cost to the church in 2020 was £5,892. Full details of the Pension scheme are in Note 18.

Net Book Valueat 31 December 2020
at 31 December 2019
Revaluation Surplus
As at 31st December 2020
At 1st January 2020
Cost or Valuation
At 1st January 2020
10. Tangible Fixed Assets
Charge for the year
On Disposals
As at 31st December 2020
Depreciation
Additions/Disposals		 £
£
5,769,141
31,822
-
80,000
-
5,849,141
31,822
-
28,454
-
674
-
-
-
29,128
5,849,141
2,694
5,769,141
3,368
Freehold
Property
Fixtures, Fittings
and Equipment		 Total
£
5,800,963
-
80,000
5,880,963
28,454
674
-
29,128
5,851,835
5,772,509

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HORFIELD BAPTIST CHURCH NOTES TO THE ACCOUNTS- contd YEAR ENDED 31 DECEMBER 2020

----- Start of picture text -----
10. Tangible Fixed Assets Ctd…/
Insured
Freehold Property Date Valuation Cost
Value
£ £ £
Church buildings at Gloucester Road 2004-2013 5,000,000 499,141 13,192,277
Manse, 29 Ramsey Road, Horfield BS7 0JF 2019 350,000 182,141
5,350,000 499,141 13,374,418
Year to Year to
11. Debtors
Dec 2020 Dec 2019
Tax recoverable 437 1,110
Prepayments and other debtors 2,587 3,130
3,024 4,240
12. Bank and cash balances
Co-operative Community Plus Account 5,278 33,271
- -
Co-operative Community Plus GULU Account
Triodos Treasurer's Reserve Account 54,198 53,896
Virgin Charity Deposit Account 33,411 43,249
Cambridge & Counties 95 day Notice Account 54,425 53,587
Bank Float 63 25
Cash in Pastoral and Maintenance Floats 200 335
147,575 184,363
13. Creditors : amounts falling due within one year Dec. 2020 Dec. 2019
Accruals 1,930 3,092
Incoming Resources Surplus on
14. Endowment Funds 01/01/2019 Transfers 31/12/2020
Resources Expended Revaluation
Endowment fund 5,769,141 - 80,000 5,849,141
- - -
5,769,141 80,000 5,849,141
Incoming Resources Gains and
15. Restricted Funds 01/01/2020 Transfers 31/12/2020
resources expended Losses
- -
Furlough Scheme 4,972 (4,972)
Future Building Projects 807 10 - 817
William Short Legacy Fund 456 - 456
Specific appeals Fund 425 60 (110) 375
Leprosy Mission 45 8 (45) 8
Youth work Grant Fund - 285 (107) 178
Flower Fund - 61 (25) 36
Fellowship Fund 420 - - 420
Projector Fund 2,239 200 2,439
BMS Birthday Scheme (3) 642 (659) (20)
- - - -
Roof Repair Fund
-
4,389 6,238 (901) (5,017) 4,709
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HORFIELD BAPTIST CHURCH NOTES TO THE ACCOUNTS- contd YEAR ENDED 31 DECEMBER 2020

15. Restricted Funds Ctd…/

Restricted Income Funds Definition

Furlough Scheme holds funds provided by the Government to pay a proportion of the wages of the cleaner who was placed into the scheme in March 2020.

Future Building Projects has been created to save for major alterations/repairs on our 100+ year old grade II listed buildings

William Short legacy reflects funds which, under the terms of the will, are for the purpose of benefiting the poor of the church and local community.

Specific Appeals Fund. A Restricted fund for the receipt of donations for specific purposes as identified by the donor at the time of giving.

Youth Work Grants Fund has been used for youth work at the church.

Flower Fund. A Restricted fund for the purpose of providing flowers as identified by the benefactor(s).

Fellowship Fund. A Restricted fund set up by our members to help those in urgent need of financial assistance, decided by the Pastor, officers and deacons.

BMS Birthday Fund. A Restricted fund for the purposes of the BMS Birthday Scheme. The scheme provides support of world mission through giving, to celebrate a birthday.

Roof Repair Fund created and restricted in 2015 and the work carried out in 2016 with all final payments made in 2017 using the last grant money received. In 2018 the fund received a VAT refund in connection with 2017 expenditure.

Projector Fund created and restricted in 2018. Funds received for the Pastors services in connection with Weddings and Funerals will be used to pay for audio and visual projection.

16. Designated Funds
01/01/2019
£
10,861
Chatterbox (Friday am)
-
10,861
17. Analysis of net assets by fund
Endowment Funds
Restricted Funds
Designated Funds
Unrestricted Funds
Manse Fund		 Incoming
Resources
Resources
Expended
Transfers
31/12/2020
£
£
£
£
-
(3,306)
7,555
-
-
-
(3,306)
-
7,555
Fixed asset
Current Assets
Deferred
Liabilities
Total
£
£
£
£
5,849,141
5,849,141
4,709
-
4,709
-
7,555
7,555
2,694
136,405
(21,526)
117,573
5,851,835
148,669
(21,526)
5,978,978

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HORFIELD BAPTIST CHURCH NOTES TO THE ACCOUNTS- contd YEAR ENDED 31 DECEMBER 2020

18. Pensions

The Church is an employer participating in a pension scheme known as the Baptist Pension Scheme (“the Scheme”),which is administered by the Pension Trustee (Baptist Pension Trust Limited). The Scheme is a separate legal entity and the assets of the Scheme are held separately from those of the Employer and the other participating employers.

For any month, each participating employer in the Scheme pays contributions as set out in the Schedule of Contributions in force at that time.

The Scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102. This is because it is not possible to attribute the Scheme’s assets and liabilities to specific employers and means that contributions are accounted for as if the Scheme were a defined contribution scheme. The pensions costs charged to the SoFA in the year are contributions payable towards benefits and expenses accrued in that year, plus any impact of deficiency contributions (see below).

The Minister is eligible to join the Scheme.

From January 2012, pension provision is being made through the Defined Contribution (DC) Plan within the Scheme. In general, members pay 8% of their Pensionable Income and employers pay 6% of members’ Pensionable Income into individual pension accounts, which are operated and managed on behalf of the Pension Trustee by Legal and General Life Assurance Society Limited. In addition, the employer pays a further 4% of Pensionable Income to cover Death in Service Benefits, administration costs, and an associated insurance policy which provides income protection for Scheme members in the event that they are unable to work due to longterm incapacity. This income protection policy has been insured by the Baptist Union of Great Britain with Unum Limited. Members of the Basic Section pay reduced contributions of 5% of Pensionable Income, and their employers also pay a total of 5%.

Benefits in respect of service prior to 1 January 2012 are provided through the Defined Benefit (DB) Plan within the Scheme. The main benefits for pre-2012 service were a defined benefit pension of one eightieth of Final Minimum Pensionable Income for each year of Pensionable Service, together with additional pension in respect of premiums paid on Pensionable Income in excess of Minimum Pensionable Income. The Scheme, previously known as the Baptist Ministers’ Pension Fund, started in 1925, but was closed to future accrual of defined benefits on 31 December 2011.

Actuarial valuation as at 31 December 2019

A formal valuation of the Defined Benefit (DB) Plan was performed at 31 December 2019 by a professionally qualified Actuary using the Projected Unit Method. The market value of the DB Plan assets at the valuation date was £298 million.

The valuation of the DB Plan revealed a deficit of assets compared with the value of liabilities of £18 million (equivalent to a past service funding level of 94%). The Church and the other employers supporting the DB PLan are collectively responsible for funding this deficit.

Continued .../

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HORFIELD BAPTIST CHURCH NOTES TO THE ACCOUNTS- contd YEAR ENDED 31 DECEMBER 2020

Additions

----- Start of picture text -----
Type of assumption % pa
RPI price inflation assumption 3.20
CPI price inflation assumption 2.70
Minimum Pensionable Income increases (CPI plus 0.75% pa) 3.20
Assumed investment returns
- Pre-retirement 2.95
- Post retirement 1.70
Deferred pension increases
- Pre April 2009 3.20
- Post April 2009 2.50
Pension increases
- Main Scheme pension 2.70
----- End of picture text -----

The key assumptions underlying the valuation were as follows:

Post–retirement mortality in accordance with 80% of the S1NFA and S1NMA tables, with allowance for future improvements in mortality rates from 2013 in line with the CMI 2019 core projections, with a long term annual rate of improvement of 1.75% for males and 1.5% for females.

The next actuarial valuation of the DB Plan within the Scheme is due to take place not later than as at 31 December 2022.

Recovery Plan

In addition to the contributions to the DC Plan set out above, where a valuation of the DB Plan reveals a deficit the Trustee and the Council agree to a rate of deficiency contributions from churches and other employers involved in the DB Plan.

Under the current Recovery Plan dated 30 September 2020, deficiency contributions are payable until 30 June 2026. These contributions are broadly based on the employer's membership at 31 December 2014 and increase annually in line with increases to Minimum Pensionable Income as defined in the Rules. However, the Trustee and the Council agreed a 50% reduction for all deficiency contributions payable between 1 July 2020 and 31 December 2020.

Movement in Balance Sheet liability

Section 28.11A of FRS 102 requires agreed deficit recovery payments to be recognised as a liability. The movement in the provision is set out in the table below.

Continued .../

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HORFIELD BAPTIST CHURCH NOTES TO THE ACCOUNTS- contd YEAR ENDED 31 DECEMBER 2020

Pensions Ctd…/

----- Start of picture text -----
Accounting date (year ending): 31 December 2020 31 December 2019
Balance sheet liability at year start £17,226 £36,683
Minus deficiency contributions paid (£2,724) (£3,553)
Interest cost (recognised in SoFA) £270 £838
Remaining change to balance sheet
£6,754 (£16,742)
liability (recognised in SoFA)
Balance sheet liability at year end
£21,526 £17,226
----- End of picture text -----*

This liability represents the present value of the deficit contributions agreed as at the accounting date and has been valued using the following assumptions set by reference to the duration of the deficit recovery payments:

----- Start of picture text -----
Accounting date 31 December 2020 31 December 2019 31 December 2018
Discount rate 0.4% 1.7% 2.4%
Future increases to Minimum Pensionable
3.0% 3.2% 3.3%
Income
----- End of picture text -----

19. Related Charities

Baptist Union/West of England Baptist Association

The church is a member of the Baptist Union of Great Britain, and the West of England Baptist Association.

The church made donations to the Baptist Union Home Mission Scheme of

£2,000

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