Colchester Baptist Church Eld Lane, Colchester, Essex CO1 1LS
Report and Accounts for the year to 31 December 2020
Registered Charity no. 1127024
Colchester Baptist Church
NS
Trustees Report for the year to 31 December 2020
fe ft a ee eae
The Trustees present their Annual Report and Accounts for 2020.
General
The Church was founded in 1689 and is in membership with The Baptist Union of Great Britain and with the Eastern Baptist Association. The Church is registered as a charity with the Charity Commission (Registration number 1127024).
Charitable Object
In conformity with its Constitution, the principal purpose of the Church 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.
The Church occupies premises which are held by The Baptist Union Corporation Ltd, as its Property Trustee, under a Trust which is entirely compatible with the above object.
Organisational Structure and decision-making processes
Membership of the Church is open to all who confess Jesus Christ as Lord and Saviour and whose lives give evidence of that profession. Those who have not been baptised as believers are eligible for membership but are asked to give prayerful consideration to the New Testament teaching on this matter.
Church Meetings are normally bi-monthly (although not as frequent during the pandemic in 2020) and have responsibility for the overall policy of the Church. In accordance with the Constitution, members appoint up to twelve Deacons, a Church Secretary and a Treasurer. They, together with the Ministers, are collectively known as the Diaconate and are the Trustees of the Church. They are responsible for the day to day running of the Church’s work and witness and for its financial and legal matters. All members are encouraged to take part in the spiritual and practical tasks of the Church.
Relevant matters are submitted to the Church Meeting by the Trustees or may be raised by members in Church Meetings for further consideration by the Trustees.
Though the Constitution permits decisions to be made at Church Meetings by appropriate majorities, the Church seeks to work by consensus wherever possible.
Objectives and Activities
The Church has expressed its Purpose as being “To follow Jesus Christ and make Him known” and it’s Vision as being “To be a growing, thriving, nurturing family of God.”
In order to achieve these, the Church provides a variety of activities both to its membership and to the community generally. The aim is to show the love ofJesus Christ in both word and deed and to bring people into a closer relationship with Him as living Lord. -Page 2-
Colchester Baptist Church
Trustees Report for the year to 31 December 2020 (continued)
Central to the work and witness of the Church is the provision of regular public services of Christian worship. These services normally take place each Sunday at 10.30 am, 1.00pm and 6.30 pm. There is a full children’s programme during the morning services. The Church seeks to be a friendly and welcoming community and anybody is free to attend any of these services. The worship services which take place at 1.00pm, known as Sunday@One, anda prayer and bible study known as Tuesday @Twelve are more informal times of worship and bible study which have proved popular with many who are less familiar with formal church services. The Church asked Open Door to oversee these two ministries and this has worked well under the Open Door Director. During the pandemic most face to face meetings and activities have been suspended.
These Sunday services and the wide range of activities during the week are shown on the Church's web-site (www.colchesterbaptist.church). In normal years, these activities included:
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° Small group Bible studies - most of these groups meet in homes twice a month but there is also a group that meets fortnightly at the Church.
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e Prayer nights — in the Church on the first Thursday of each month. ° Toddler group — in the Church on two days per week, with the purpose of assisting the community and demonstrating the love of Jesus Christ.
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° Bright Sparks — in the Church on Monday mornings for parents and carers to join with their preschool children.
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° New Mums' Friendship Group — weekly in the Church. ° Luncheon Club - monthly in the Church to provide meals, but more importantly fellowship and prayer for our elderly members and others.
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° Many children's and young people's activities including Powerhouse for ages 0-11 and Connect for ages 12-18 on Sunday mornings and Afterhours for ages 14+ on Sunday evenings.
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® “Remix”, a Youth Night for both girls and boys aged from 5 to 18, continues to thrive.
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® Increasing contact with local schools, offering assemblies and hosting visits to our premises. We are delighted that Colchester High School uses our premises on a regular basis for their special occasions and members ofour church have provided prayer spaces in some of the local schools.
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e Our premises are the base for the Colchester Street Pastors, who help and supervise those who have been in the town's nightclubs as they come out on to the streets on Friday and Saturday nights.
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° We are pleased that the 12" Colchester Sea Scout Group is using our Church premises as their base.
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° The Nepalese Church is using our Church premises to meet for worship at 10:00am on Sunday mornings and their children join in with our children’s activities.
Some social activities are organised, such as weekly carpet bowls, a bi-monthly luncheon club (“Retreads”), group walks (“Amiable Amblers”), an annual church holiday at Sizewell Hall, frequent Saturday morning breakfast for men and women groups, etc. We participate in inter-church activities such as the Colchester Soup Run — providing drinks and food for the homeless and destitute every night of the year. The Church is part ofa group of local churches which organise an annual Free Family Fun Day in Castle Park which continues to attract thousands of parents and children.
-Page 3-
Colchester Baptist Church
a Trustees Report for the year to 31 December 2020 (continued) a The Church hosts Open Door - Colchester, an independent charity — which uses the Church Lounge on each Monday, Wednesday and Friday. Here people meet over a cup of tea or coffee - the Director and volunteers offer a listening ear and offer advice and help for problems if needed.
Pastoral care is primarily in the hands of the Ministers and nominated Pastoral Assistants who serve the Church membership and others connected with the Church. Together, they look out for situations where there are needs and react in a caring way to them. They meet regularly with each other and have now started meeting together with the small group leaders so as to ensure that as many as possible of those connected with the Church are looked after pastorally. This is complemented by a ministry of caring for the elderly in their own homes through the employment of a part-time “Care of the Elderly Worker”.
The Church operates systems to ensure that all people working with children and adults at risk are appropriately vetted with regard to the Disclosure and Barring Service.
The Trustees consider that both the Church's Purpose and the activities designed to achieve it, as shown above, comply with the guidance of the Charity Commission on public benefit in respect to the advancement of religion.
Achievements and Performance
Throughout much of 2020, the Church has not been able to meet for worship. This has been replaced by live-streaming morning services and evening prayer meetings initially from the ministers’ homes and services later from the church premises. We are indebted to Cole Maynard and Ayotunde Ikuesan for installing systems to enable this to be achieved at short notice.
During the summer respite in Covid infection rates church services were recommenced following Government guidelines with limited numbers to allow social distancing to be achieved with masks and no singing permitted. During this time, a church members meeting took place as a hybrid meeting with members physically attending together with others live streaming in and participating in discussions. At the November 2020 church meeting an audios and vision project was agreed to replace the sound and vision systems, and this was almost fully completed in the year. During the lockdown a number of online and Whatsapp groups commenced or continued to maintain contact and continue activities. These include Ministers and Deacons meetings, housegroups, Brightsparks, Remix and flower arranging classes, thus using the circumstances to do things differently.
During the year, Open Door has tried, where permissible, to minister to their clients and have become a hub for distribute of “Foodbank” parcels.
During the year we saw 9 people coming into membership: 8 members passed away and 5 left. This left a membership of 207 at the end of the year (2019 - 211). We continue to encourage people to grow in their faith and put that faith into practice in their homes, workplace and wider community. The many ministries of the church are completely dependent on members giving their time, skills, resources and prayer to equip them and of those members who are physically capable of being actively involved. Around 80% of the church fellowship are involved in some way.
-Page 4-
Colchester Baptist Church
ieel
Trustees Report for the year to 31 December 2020 (continued)
eeegy
Financial Review
Despite the impact on attendance at church services during the year, the Church continued to raise the funds which it needed to carry on its activities from within its own membership and congregation. In addition to financial support required to achieve its objectives, the Church is also heavily dependent upon its members working as volunteers in all aspects of its activities. It is good to report that they do this willingly and with great enthusiasm.
The financial results for the year, including the accounting policies and the Reserves Policy of the Trustees, are set out in the accompanying financial statements.
The Trustees are satisfied that there are sufficient reserves at the Balance Sheet date together with anticipated ongoing income to enable the Church to function effectively in the coming year.
Future plans
The focus of our future plans is to develop the core of the church, particularly in the age category of 30 to 50 year olds, thus providing the longer term resources to maintain the ongoing achievement of our declared purpose through the activities and ministries described above. At the time of this report the church has agreed to call John Pulford as a “Minister in Training” with a focus on Youth and Families. We will continue to seek God's will for our Church maximising the opportunities that our prime location at the heart of a busy regional commercial centre continue to present to follow Jesus Christ and make Him known through worship and service.
At the time of writing this report the vaccination programme against Covid has progressed. Services are being held in the church and live-streamed and consideration is being given to how the wider ministries and activities might recommence.
Approved by the Trustees and signed on their behalf
Mike Baker Church Secretary al Seypt 2021
-Page 5-
Colchester Baptist Church
a independent Examiners’ Report on the Accounts
a Report to the Trustees and members of Colchester Baptist Church on the accounts for the year ended 31 December 2020 set out on pages 7 to 16
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Respective responsibilities of trustees and examiners The Church's trustees are responsible for the preparation of the accounts. The Church's trustees consider that an audit is not required for this year, under Section 144 of the Charities Act 2011 (the Charities Act), and that an independent examination is needed. It is our responsibility to: - examine the accounts under Section 145 of the Charities Act; - follow the procedures laid down in the general Directions given by the Charity Commission (under Section 145(5)(b) of the Charities Act); and
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- to state whether particular matters have come to our attention.
Basis of independent examiners’ statement
Our examination was carried out in accordance with general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the Church and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and, consequently, no opinion is given as to whether the accounts present a "true and fair’ view and our report is limited to those matters set out in the statement below.
Independent examiners’ statement
In connection with our examination, no material matters have come to our attention which gives us cause to believe that in any material respect:
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accounting records were not kept in accordance with Section 130 of the Charities Act
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- the accounts do not accord with the accounting records - the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a "true and fair view" which is not a matter considered as part of an independent examination
We have come across no other matters in connection with the examination to which attention should be drawn in order to enable a proper understanding of the accounts to be reached.
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Signed K F (ete, fd Signed Tee Varo}
Mr R Goldring, BA . Mr RA Urand, ACIB
7 Provence Close ~ 1 Keeble Close, Tiptree,
Colchester, CO3 0JD Colchester, CO5 ONU
Date _yS- S— 2) Date _28~OQ~3 |
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- page 6 -
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NNTn 0—0, OO
Colchester Baptist Church
Statement of Financial Activities for the year to 31 December 2020
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||||||||||
|---|---|---|---|---|---|---|---|---|
|I|
|SS|
|funds|funds|funds|funds|funds|funds|
|Incoming|resources|
|Voluntary income|3|149,645|38,915|-|-|188,560|159,093|
|Other income|5|9,181|9,181|7,571|
|Investment|income|6|557|-|-|-|557|565|
|Resources expended|
|Charitable|activities|7|140,005|37,887|4,734|-|182,626|194,597|
|Total|resources expended|||140,005|37,887|___-|182,626|597|
|Net incoming|resources|19,378|1,028|(4,734)|-|15,672|(27,368)|
|Total|funds|
|brought forward|18-21|28,114|38,851|243,375|298,000|608,340]|635,708|
|Total|funds|
|carried forward|18-21]|47,492|39,879|238,641|624,012|| 608,340|
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- page 7 -
Colchester Baptist Church
———————__—
Balance Sheet at 31 December 2020
| Balance Sheet at 31 December 2020 | Balance Sheet at 31 December 2020 | Balance Sheet at 31 December 2020 | Balance Sheet at 31 December 2020 | Balance Sheet at 31 December 2020 | Balance Sheet at 31 December 2020 | Balance Sheet at 31 December 2020 |
|---|---|---|---|---|---|---|
| $< | ||||||
| Notes] 2020,—~—té‘“R;‘YS(aCstC‘<«‘ Cd fF @£ |
€£ |
f& Jj €£ |
||||
| Fixed assets Tangiblefixedassets |
11 | 523,000 | 523,000 | |||
| Current assets Debtors Investments Bankand cash |
12 13 14 |
10,494 77,250 58,446 146,190 |
13,691 96,996 44,911 155,598 |
|||
| Current liabilities | ||||||
| Creditors - amounts falling due withinoneyear |
15 | (29,705) | (45,491) | |||
| Netcurrentassets | 116,485 | 110,107 | ||||
| Pension Provisions | 16 | (15,473) | (24,767) | |||
| Netassets | 21 | 624,012 | 608,340 | |||
| Charitable Funds | ||||||
| Endowmentfunds PropertyFund Restrictedfunds ManseFund BuildingDevelopmentFund Care oftheElderly Fund Total Designated funds Audio Visual Fund Repairs ReserveFund LegacyFund LiftFund Total Unrestricted funds General Fund |
17 18 19 20 |
225,000 13,641 - (6,501) 8,283 32,773 5,324 |
298,000 238,641 39,879 47,492 |
225,000 13,641 4,734 - 8,283 25,244 5,324 |
298,000 243,375 38,851 28,114 |
|
| Totalfunds | 624,012 | 608,340 | ||||
| The notes on pages8to 15form an | integral | part | ofthese accounts | |||
| Theseaccountswereapproved bytheTrusteeson | on 1 7 |
June 2221 | andsigned | |||
| on their behalf by | ||||||
| Chris Chapm Treasurer |
Mike Baker ChurchSecretary |
- page 8 -
Colchester Baptist Church
NN$$ Notes to the accounts for the year to 31 December 2020
a
4_Accounting policies
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a Basis of preparation The accounts are prepared in accordance with the Charities Statement of Recommended Practice (Charities SORP 2015), FRS102 and with the Charities Act 2011. Colchester Baptist Church is a registered charity, no. 1127024, and meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognized at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
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b Donations receivable Donations are accounted for when received.
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c Legacies Legacies are accounted for when received.
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d_ Investment income Investment income is included in the accounts in the year in which it is receivable.
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e Expenditure recognition All expenditure is accounted for on an accruals basis.
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f Fund raising and publicity costs The Church does not make formal appeals for funds other than within the Church and expenditure on these items is therefore not material.
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g Grants payable The Church makes grants to other organisations whose charitable objects complement its work, They are accounted for in the year for which they are payable.
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h Governance costs This represents direct expenditure on the governance of the Church. 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 to the volunteers for their service.
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i Fixed assets 4 The Church's freehold premises are included in the Balance Sheet at cost. 2 Purchases of equipment are accounted for as fixed assets where individual assets cost £5,000 or more. Any such fixed asset would be depreciated to write-off the expenditure evenly over the course Of its lifetime
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3 The Sound & Vision has been substantially funded with ongoing donations and therefore charged against revenue
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j Depreciation Depreciation has not been charged on the Church premises because, in the opinion of the Trustees, their residual value is not less than the original cost price.
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k Investment Assets Quoted investments are stated at market value. All other investment assets are shown at cost.
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| Reserves policy This is set out in Note 2
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page 9 -
Colchester Baptist Church
Notes to the accounts for the year to 31 December 2020 (continued)
2 Reserves policy
General
Trustees of charities are under a general legal duty not to hoard funds but to use them for the purposes of the charity; this is part of the basis under which charities receive preferential tax treatment, notably that they are not subject to Corporation Tax and that they can recover tax on certain donations under Gift Aid arrangements.
Charities are now required to have a Reserves Policy for most of their funds. The Church's reserve policies are shown below — no such policy is required for the Property Fund, this being a capital endowment fund.
Manse Fund
Recognising the possibility that the Church may be required to purchase more than one manse in the future, the current policy of the Trustees is that the Manse Fund should have a maximum balance of £600,000.
Building Development Fund
The policy of the Trustees is that the money in the fund, which is to provide finance for agreed and possible projects, will be spent within 5 years of being received.
Audio Visual Fund
The policy of the Trustees is that this fund will be closed once the deficit in it has been eliminated by donations and or other means.
Repairs Reserve Fund
The policy of the Trustees is that the balance in this fund, which is for major unexpected repairs to the Church building, should not exceed £30,000.
Legacy Fund
The policy of the Trustees is that money received by this fund — which arises from legacies from the estates of former members — will be spent within 5 years of being received.
Lift Fund
The policy of the Trustees is that the balance on this fund, which is to finance major repairs to the Church lift, should not exceed £25,000.
General Fund
The policy of the Trustees is to have between £1 and £75,000 in the General Fund at the end of any accounting year so as to provide a reserve against a sudden drop in the general income of the Church.
- page 10 -
Colchester Baptist Church
i Notes to the accounts for the year to 31 December 2020 (continued) All values shown in £
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3_Voluntary income TT —~s~—‘C;™~— C2079
Offerings 122,890 122,890 127,124
Gift Aid 26,240 26,240 26,639
Audio Visual donations and Legacies - 38,915 38,915 2,545
Designated donations receivable (Note 4) 515 515 2,785
Total | _449,645| 38,975] Ss) ~—'188,560] 159,093 |
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| 4 Designateddonations receivable andpayable |
[CO——OEs—“ws—“‘CNCCCC(*d:CO2ON9«COC | [CO——OEs—“ws—“‘CNCCCC(*d:CO2ON9«COC | [CO——OEs—“ws—“‘CNCCCC(*d:CO2ON9«COC |
|---|---|---|---|
| BMSWorldMission -BirthdayScheme OpenDoor ChristianAid Other Total 5_Otherincome |
415 100 a: a SS r—SCS~—<—tSO |
415 585 100 40 - 1,436 - 724 NN |
|
| DonationsforuseoftheChurch ChargesforuseoftheChurch Carparkdonations FurloughgrantsfromHMRC reCovid 19 Other Total 6Investmentincome |
1,870 1,870 2,335 800 800 1,110 2,205 2,205 2,288 4,051 4,051 - 255 255 1,838 eS aT ASTVSa A a ee |
||
| BU Loan interest Total |
303 170 r_ss7 |
_ | )SS 5S J |
| 7 Charitable activities | a: | en aa | |
| Ministry Ourmission |
64,850 14,405 |
4,734 | 64,850 65,882 19,139 16,784 |
| Othermission Donations bytheChurch(Note8) Designateddonations payable(Note4) |
23,200 515 |
23,200 24,746 515 2,785 |
|
| Establishment Premises&AudioVisual Administration(Note9) |
30,337 37,887 17,784 |
68,224 68,446 17,784 18,348 |
|
| Former Defined Benefit Pension Scheme Contributions redeficit Adjustment ofprovision inyear(Note 16) EmploymentAllowance |
1,958 (9,294) 3,750 |
1,958 2,554 (9,294) (1,604) 3,750 3,344 |
|
| Total resources expended | |||
| 8Donations payableby the Church |
10720 | 2079 | |
| BUGBHomeMission BMSWorldMission OpenDoor Wycliffe BibleTranslators/Pillingers Beacon House cYo SpurgeonsCollege MarinersChapel Total |
9,500 9,500 1,100 1,000 800 750 550 - -—aa200[ |
9,500 9,200 9,500 9,200 1,100 1,100 1,000 1,000 800 800 750 750 550 550 - 2,146 |
- page 11-
Colchester Baptist Church
shrrr Notes to the accounts for the year to 31 December 2020 (continued) All values shown in £ except where stated otherwise
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9 Administration PoC(Ci Restricted
Administrative staff 13,063 13,063 11,803
Other administration costs 4,721 4,721 6,545
Total administration cost trea] =|= __i7,784
10 Staff costs and Trustees expenses | 2020 | 2019 |
Salanes 92,359 88,071
Social security costs 6,766 6,132
Pension costs (see also Note 22)
Contributions to Defined Contribution Plan 1,033 903
Contributions to Defined Benefit Plan re pension deficit 1,958 2,554
Adjustment to Provision for Pension deficit on Defined Benefit Plan (9,294) (1,604)
Other costs (Council tax, water and telephone) 2,962 3,079
Total
AverageFull numbertime workers. of employees during the year i.1.0
Part time workers eX)
No employee received emoluments in excess of £60,000 during the year (2019 - none}. And no sums
were reimbursed to the Trustees for their work as Trustees (2019 - none)
Each Minister of the Church acts as as one of its Trustees in accordance with the Church's Constitution, but
is not reimbursed for this work. Each is remunerated for his/her work as a Minister of the Church. During the
year, the employment costs and benefits of the Ministers was £63,088 (2019 - £58,902), No other Trustees
were remunerated in the year (2019 - none) :
11_ Tangible Fixed Assets Freehold propert
Cost and Net book value |premises |
31 December 2020 and 2019 298,000 225,000 523,000
The Church premises are the freehold premises in Eld Lane, inclusive of the Church organ and pews.
They are also inclusive of the Church's 13 freehold car park spaces in the Vineyard Street car park, which
were acquired in 1977 at no cost recognising the inability to park in Eld Lane during the day resulting from
the pedestrianisation of Eld Lane
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The Manse is the house in Colchester purchased in January 2009 as the manse for our then Senior Minister and his family. Since then it has been rented when not being used as a Manse.
These premises are used for direct charitable purposes.
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12
Debtors | [_2020,] | = 2019
Accrued income 9,665 11,885
Prepayments 569 440
Other debtors 260 1,366
Total 13,691
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- page 12 -
Colchester Baptist Church
Notes to the accounts for the year to 31 December 2020 (continued)
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||||||||
|---|---|---|---|---|---|---|
|All|values|shown|in|£|
|413|Investments|held as current assets|[2020|[~«|]|~—«2019|
|Affirmative Deposit Fund for Charities|37,250|56,996|
|Baptist Union Loan Fund|40,000|40,000|
|Total|
|TT44|Bank and cash balances|2020|||[2019][|]|
|Barclays Bank PLC|44,911|
|15|Creditors|- amounts falling due within one year|[2020|[=|]|2019|
|Inland Revenue|2,826|2,770|
|Other creditors|4,676|5,455|
|Accrued charges|20,613|35,091|
|Deferred|income|1,590|2,175|
|Total|29,705||45,491|[|]|
|16|Pension|Provisions|[2020|||2019|||
|Pension|Provision|brought forward|24,767|26,371|
|Adjustment|required to Pension|Provision at end of year|9,294|1,604|
|Pension|Provision carried forward|24,767|
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|||||||||||
|---|---|---|---|---|---|---|---|---|---|
|The provision|is|in respect of pension deficit contributions due to the|Baptist Pension Scheme on|its|
|Defined|Benefit Pension|Scheme.|This represents|the present value of the deficit|contributions|agreed as|
|per the current deficit reduction|plan which requires contributions to be made|until June 2026|
|(2019 - December 2028).|See also Note 22.|
|17|Endowment Funds|4|Jan 2020|Resources||Interest|||Transfers||31|Dec 2020|
|resources|||expended|
|Property Fund|eh|a)|CS|A)|CS|
|The Property Fund was created|in 2006 as a|result of including|the Church's property|in the accounts.|
|resources|||expended|
|Care of the|Elderly Fund|4,734|(4,734)|-|
|Manse Fund|225,000|225,000|
|Building Development Fund|13,641|13,641|
|Total|743,575|.-1|__(4rom)|=)=|288644|
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The Care of the Elderly Fund was to provide for the provision of care for the elderly members of the Church; when the balance in the Fund was fully used, these costs were and will in future be borne by the General Fund. The Manse Fund is to provide funds towards the Manse or second mortgage of each Minister. The Building Development Fund is to raise money for specific projects approved by the Church Meeting and to pay for such projects.
- page 13 -
Colchester Baptist Church
ale Notes to the accounts for the year to 31 December 2020 (continued)
All values shown in £
|AudioVisualFund
RepairsReserveFund
LegacyFund
LiftFund
Total|-
8,283
25,244
5,324
35,851]|resources | expended
30,915
(37,416)
8,000
(471)
36.015](reer)|(6,501)
8,283
32,773
5,324
88878|
|---|---|---|---|
The Audio Visual Fund was set up in the year to fund a significant upgrade to the Church's audio visual facilities. The Repairs Reserve Fund is to fund large and/or unforeseen expenditure on the Church premises. The Legacy Fund is to receive legacies from Church members and friends and to spend them wisely. The Lift Fund is amounts set aside plus related interest to go towards the maintenance of the lift, which was mothballed in 2018. resources | expended General Fund -—aa714] 158,311] 139,490| sez] | 47.492 |
The General Fund is the operational fund of the Church in which most items of income and expenditure are recorded.
21 Analysis of net assets at 31 December 2020
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assets assets
a oe et ee ee
Endowment Funds
Property Fund 298,000 298,000
RestrictedManseFunds Fund 225,000 225,000
Building Development Fund 13,641 13,641
DesignatedAudio VisualFunds Fund (6,501) (6,501)
Repairs Reserve Fund 8,283 8,283
Legacy Fund 32,773 32,773
Lift Fund 5,324 5,324
Unrestricted Funds
[523,000]116,485] _(15.473)| 624,072 |
Total General Fund 62,965 15,473 47,492
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22 Pensions
Background to the disclosure _ 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 Ltd). 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 contrbution scheme. The pensions costs charged to the Statement of Financial Activities ("SoFA") in the year are contributions payable towards benefits and expenses accrued in that year plus any impact of deficiency contributions (see below). _ The Ministers and some members of the Church staff are eligble to join the Scheme.
- page 14 -
Colchester Baptist Church <<< Notes to the accounts for the year to 31 December 2020 (continued) I
22 Pensions (continued)
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Background to the disclosure (continued)
- 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 Ltd. 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 long-term incapacity. This income protection policy has been insured by the Baptist Union of
Great Britain with Aviva Pic. Members of the Basic Section of the Scheme 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 ("OB") 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 as at 31 December 2019 2019
- A formal formal valuation of the of the Defined Benefit ("DB") Plan at 31 31 December 2019 was performed by 2019 was performed by was performed by performed by by a professionally
qualified Actuary using the Projected the Projected Projected Unit Method. The market market value of the DB of the DB the DB DB Plan assets at the valuation at the valuation the valuation valuation
date was £296 was £296 £296 million.
_ The valuation of the DB the DB DB Plan revealed a a deficit of assets compared of assets compared assets compared compared with the value of the value of value of of liabilities of £18 of £18 £18 million
(equivalent to a to a a past funding funding level of 94%). 94%). The Church and Church and the other employers supporting the DB other employers supporting the DB employers supporting the DB supporting the DB the DB DB Plan are
collectively responsible for funding for funding funding this deficit.
- The key financial assumptions underlying the valuations were as follows:
Type of assumption % pa
RPI price inflation assumption 3,20
CPI price inflation assumption 2.70
Minimum Pensionable Income increases (RPI) 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
- Post-retirement mortality in accordance with 80% of the S3NFA and S3NMA 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, with the core smoothing parameters and with additional mortality im[provement
factor A = 0.5%.
----- End of picture text -----
-
Actuarial valuation as as at 31 December 2019 2019 - A formal formal valuation of the of the Defined Benefit ("DB") Plan at 31 31 December 2019 was performed by 2019 was performed by was performed by performed by by a professionally qualified Actuary using the Projected the Projected Projected Unit Method. The market market value of the DB of the DB the DB DB Plan assets at the valuation at the valuation the valuation valuation date was £296 was £296 £296 million.
-
_ The valuation of the DB the DB DB Plan revealed a a deficit of assets compared of assets compared assets compared compared with the value of the value of value of of liabilities of £18 of £18 £18 million (equivalent to a to a a past funding funding level of 94%). 94%). The Church and Church and the other employers supporting the DB other employers supporting the DB employers supporting the DB supporting the DB the DB DB Plan are collectively responsible for funding for funding funding this deficit.
-
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. Howeverthe Trustee and the Council agreed a 50% reduction for all deficiency contributions payable between 1 July 2020 and 31 December 2020.
-
page 15 -
Colchester Baptist Church
Notes to the accounts for the year to 31 December 2020 (continued)
22 Pensions (continued)
|Movement in Balance Sheet liability
-
Section28.11AofFRS 102requiresagreeddeficitrecoverypaymentstoberecognisedas a
liability. Themovementintheprovision issetout inthetablebelow:
-
[37.12.20
| 31.12.19
| ©
Ee __}
Balancesheetliabilityatstartofyear
24,767
26,371
Minusdeficiencycontributionspaid
(1,958)
(2,554)
Interestcost(recognisedinSoFA)
404
602
Remainingchangetobalancesheet liability (recognised
inSoFA)
7,740
348
Balancesheetliabilityatendofyear
| _15,473|
24,767 |
Comprisesanychangeinagreed deficitrecoveryplanand change inassumptionsbetween|
|---|
|year-ends.
-
Thisliabilityrepresentsthepresent valueofthedeficitcontributions agreedasatthe
accountingdateandhasbeenvaluedusingthefollowingassumptionsset by referencetothe
duration ofthedeficitrecoverypayments.
Y 31.12.20 | 31.12.19 | 31.12.18||
|17
2.4|
|Discount rate
FutureincreasestoMinimum Pensionable Income
3.2
3.3|
|Thecostofpensions isdetailed in Note 10|
|23 Analysisofcashandcashequivalents
[2020 [ 2019 |
[| e | £ ||
|.
Bankbalances, all repayablewith no notice
Deposits, repayablewithlessthan3monthsnotice
77,250
96,996
Total
135,696|
- 24 Related charities
The Property Trustee of the Church is The Baptist Union Corporation Ltd (registered charity number 249635), which is controlled by the Baptist Union Council. The Church is also a member of The Baptist Union of Great Britain and the Eastern Baptist Association.
The Church made donations to the Baptist Home Mission Fund and the BMS World Mission as set out in Note 7 above. The Church has madea loan to the Baptist Union Loan Fund as shown in Note 12 above. The Church supports the charity called Open Door - Colchester (registered charity number 1 101675) which operates on its premises. Open Door's constitution requires there to be a majority of members of the Church as its Trustees. The Church made a donation to Open Door as set out in Note 8 above.
- page 16 -