2022-08-31-accounts

Fareham Methodist Church

TRUSTEES’ ANNUAL REPORT for the year ended 31 AUGUST 2022

Fareham Methodist Church Year ended 31 August 2022

Objectives and activities

In setting our objectives and planning our activities, the Church Council Meeting has given careful consideration to the Charity Commissioners’ general guidance on public benefit and, in particular, to its supplementary public benefit guidance on advancing our objectives and conforms to the Charities Act 2011.

Our Mission as a local church of the East Solent and Downs Circuit is to pursue the mission of God through worship, learning and caring, service and evangelism.

This is done for as many people as possible within the Fareham area through the provision of Christian Worship, spiritual development and pastoral care both to church members and to the wider communities in which the church is located.

Fareham Methodist Church supports the advancement of the Christian Faith through ecumenical liaison with other Christian groups in Fareham.

Achievements and performance

Current year

The year started in September 2021 with fewer restrictions in place for church services. Although many members have returned to church there is a small group who continue to use Zoom to access the Sunday Service. During the year the posting of recorded services on the web site stopped reflecting the increased number of people in the building and the consequent challenges obtaining permissions under the data protection regulations.

Most user groups have returned to the building and income from lettings is more inline with pre 2020 levels. There is concerns that numbers returning to the Trinity Pre-school have not recovered and there is an ongoing concern regarding the viability of this group. (Post year note: Trinity Pre-school closed in September 2022) Some new user groups are now using the building with a great variety of events ranging from Yoga to Singing to the local Scout Marching Band!

Like many charities the Church has been subjected to significant increases in energy costs. Whilst we are currently protected from increases in gas prices by a current fixed price deal the increase in electricity has been significant. The property team are actively looking at measures to reduce consumption and make the heating system more efficient.

The Church continues to make donations to other charities and through social events raise money for various appeals.

Future years

• To continue to focus on mission activity that will lead new people into faith and so grow the number of Christians.

• To focus on worship and spiritual development and continue the use of technology to stream services to people who cannot access the premises

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Fareham Methodist Church Year ended 31 August 2022

• To continue to work with Christians Together in Fareham to promote Christianity in the Borough.

• To provide pastoral support to those in need.

Financial review

Income and expense

During the year the Church received total income of £85,757 (2020-21: £70,279) and made payments of £82,498 (2020-21: 71,861). Bequests were received in the year totalling £1,000 and these are held in the church accounts. Funds held at TMCP in Trust Number 21694 stands at £8,803. Total restricted reserves held in endowment funds at TMCP amount to £15,667. The interest from these funds is paid into the General Fund as it is received.

Unrestricted reserves carried forward were £91,089` (2020-21: £87,830). £51,497 of these reserves are designated: £500 for benevolence payments; £7,194 in the Organ and Keyboard Fund; £33,000 in the Major Property Repair Fund; £2,000 bequests held within church accounts and £8,803 as bequests held at TMCP for longer term or specific use.

The trustees of the Church have every reason to believe that the Charity is a going concern, principally because the majority of the donated income is not reliant on attendance within the church building but is paid directly to the church accounts by standing order. There are no subsidiary undertakings. A significant proportion of income is from lettings and the Trustees are aware that this income cannot be relied on as fully secure, especially as the cost of living crisis potentially affects user groups. However the Trustees are confident that there are sufficient reserves to cover any reduction in lettings in the medium term.

Remuneration policy

The church currently has one employee, a cleaner working 11 hours per week. The cleaner post is paid at the Real Living Wage set annually by the Living Wage Foundation. Pay reviews are normally undertaken with effect from 1[st] April each year with rates set by the Managing Trustees at the Church Council prior to this date.

Investment Policy and Performance

To comply with Methodist Standing Orders, monies for long term investment are lodged with the Trustees for Methodist Church Purposes (TMCP).

Short term deposits are lodged directly with the Central Finance Board (CFB) and attract interest. The Trustees are not minded to invest in higher risk funds.

Reserves level and policy

The General Fund contains three designated funds, the Benevolence Fund, a fund for Organ and Musical Instruments and a fund for Major Property Repair. It also contains unrestricted bequests held in Trust number 21694 at TMCP and in the church accounts.

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Fareham Methodist Church Year ended 31 August 2022

• Since in accordance with its stewardship policy, the church does not take separate collections for benevolence, a benevolence reserve is maintained in the General Fund for disbursement at the discretion of the minister.

• Church Council agreed that the church should start to build up a reserve to go towards replacement of the organ and other major musical instruments in the future. The designation of this fund is Organ and Keyboard with an ultimate target fund of £20,000.

• The major property reserve was re-assessed in October 2021 and a target property reserve has been set at £40,000 to cover major repair, renewals and improvements not included in the operating costs of the Church. This is designated CAPEX within the budget set each year. There is budgeted expenditure in the next 12 months of £20,000. The Quinquennial did not indicate any short-term major spend requirements however there is a requirement to undertake a major refurbishment of the Large Hall to improve it for letting. The Trustees are also looking to install an energy management system to help reduce the consumption of electricity and gas for heating purposes.

• Bequests were received in 2021-2022.

Withdrawal of money from the three Designated Funds and unrestricted bequests requires Manging Trustee approval.

The remainder of the funds are held as Free Reserves. The target is for free reserves to cover approximately 6 months of operating costs with a target range of 40%-60%

Designated Funds: Benevolence £ 500 Organ and Keyboard £ 7,194 Major Property Repair (target £40k) £33,000 Unrestricted bequests @ TMCP £ 8,803 Unrestricted bequests held in accounts £ 2,000

Free Reserve: £39,592 - 51% operating costs [forecast operating costs 2022/23 = £78,650]

Trustees’ responsibilities

For each financial year ending on 31[st] August the Trustees are required to prepare financial statements that give a true and fair view of the Church’s financial activities during the year and of its financial position at the end of the year. In preparing these financial statements, the Trustees must:

• select suitable accounting policies and apply them consistently using the accruals method

• make judgements and estimates that are reasonable and prudent

• follow applicable accounting standards

• prepare accounts to comply with the Charities SORP

The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Church and enables them to ensure that the financial statements comply with the law. They are also responsible for safeguarding the assets of the Church and

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Fareham Methodist Church Year ended 31 August 2022

hence taking reasonable steps for the prevention and detection of fraud and other irregularities.

Safeguarding children and vulnerable adults. The Church’s policy is to adhere to the Methodist Church’s policy on Safeguarding Children and Vulnerable Adults. A Safeguarding Officer is appointed. The Circuit provides regular safeguarding training that can be accessed by the church as required. The Safeguarding Officer keeps records of training and ensures that this is up to date.

The Church does not hold any funds as custodian trustees on behalf of others.

Structure, governance and management

The Church is an unincorporated association and is governed by the Methodist Church Act 1976, the Deed of Union and the Model Trust Deeds of the Methodist Church and was registered with the Charity Commissioners on 2 February 2009. Prior to this the charity had an excepted registration.

Structure

The Church is one of a number that make up the East Solent and Downs Circuit.

The Circuit is the coordinating charity and pay the stipends of the ministers and employ lay staff to serve the Churches in the Circuit; most decisions are made at or ratified by the Circuit Meeting.

The Circuit is part of the Southampton District which is the coordinating charity for a group of contiguous Circuits. District decisions are made at the half yearly synod to which the Circuit appoints both lay and ordained representatives. The Methodist Conference meets once each year as the supreme denominational body for all Methodist Churches.

1. Overall regulatory authority rests with the Methodist Conference. 2. The Connexional Office implements decisions made by Conference and is also responsible for the stationing of presbyters and deacons (collectively known as ministers) in individual Circuits.

2. Connexional decisions are passed via Districts to Circuits for local implementation by the Superintendent Minister, ministerial staff and Circuit Stewards, and authority is delegated to the Circuit Meeting for certain matters.

3. The Circuit Meeting passes regulatory control down to Church Councils for local implementation by the presbyter, the Church Stewards, and other officers, and this regulatory authority is then exercised by Church Councils as Managing Trustees of their charity.

Governance

The Church operates within a statutory framework of regulation and seeks to ensure that it follows Methodist Standing Orders. It relies on the Connexional Office at 25 Marylebone Road, London NW1 5JR to provide guidance on changes that could affect the Church.

Reference and Administrative Details

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Fareham Methodist Church Year ended 31 August 2022

Name of the charity

Fareham Methodist Church.

Charity registration number

1127814, registered in England and Wales

Principal Office

Fareham Methodist Church Kings Road Fareham PO16 0NU

Minister with pastoral oversight

Revd Claire Simpson

Church Treasurer

Mr Michael Petter

Names of trustees

The following served as trustees throughout part or all of the year 2021-2 or were trustees at the time of this report being approved:

----- Start of picture text -----
Mrs Brenda Bennett
Mrs Sally Bland
Mr Mark Brooks
Mr Nigel Cox
Mrs Patricia Croker
Mrs Linda Foster
Mr Kevin Foster
Mrs Jill Groom
Mrs Shirley Henderson
Mr Anthony Jackson
Mrs Edith Livingstone
Mr Peter Moody
Mrs Jean Petter
Mr Michael Petter
Mrs Jillian Race
Mrs Margaret Shepherd
Mr Michael Shepherd
Revd. Claire Simpson
Mrs Catherine Stevenson
Mrs Roberta Watson
Mrs Margaret Wheeler
Mr Andrew Wilcock
Mrs Elizabeth Wilcock
Mr Christopher Woodhams
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No trustee claims exemption from disclosure of his or her name here.

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Fareham Methodist Church Year ended 31 August 2022

Bankers

CAF Bank Ltd Church 25 Kings Hill Avenue 9 Bonhill Street Kings Hill London West Malling EC2A 4PE Kent ME19 4JQ

Central Finance Board of the Methodist

Investment managers and custodian trustees

Trustees for Methodist Church Purposes Central Buildings Oldham Street Manchester M1 1JQ

Independent Examiner

Mrs Joanne Gregory 19/21 High Street Emsworth Hants PO10 7AQ

Approvals

The Trustees’ Report and the Financial Statements were approved by the Church Council Meeting on 19[th] January 2023.

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CHURCH RECEIPTS AND PAYMENTS ACCOUNTS THE METHODIST CHURCH STANDARD FORM OF ACCOUNTS Fareham Methodist Church FOR THE YEAR ENDED 31 August 2022 East Solent & Downs Circuit Circult no. 26107 Reglstered Charlty - Charity R•glstration numbor If not a registered charity Her Majesty's Revenue and Customs Gift Aid nurnber (The HMRC number is equivalent to a registered charity number in terms of evidence of Charitable status and may be used to give to donors or grant funders wishing to see evidence of the organisation's charitable ststus. Methodist charities in England and Wales that are not registered charities are excepted from registration under Statutory Instrument 2014 No.242) 1127814 Minister. Revd Clair8 Sim on Church Stewards: Mrs Maggie Wheeler Mrs Jill Groom Mrs Brenda Bennett Mr Mike Shepherd Mr Chris Woodhams Treasurer. Mr Mike Petter church R and P 2015.xLs 1of5

ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2022 Fareham Methodist Chur¢h funds Incl UnrBstrl¢led TTU¥t No FundB 21894 Total8 thi• ar Total• la•t year SECTION A Nots a1 RECEIPTS a2 Offerin $ and Tax ￿COVered Bank and CFB interest and Investment income 57,8C6 57,806 56,029 83 227 236 113 a4 Letbn 19,147 8,568 85,748 19,147 8,$68 85,757 12,589 1,548 70,279 a5 Other receipts TOTAL RECEIPTS la7) SECTION b1 PAYMENTS b2 Circuit Assessment or Share 47,3C6 10.805 2,361 47,308 10,805 2A61 47,328 2.722 2.073 b3 Donations Re airs and Maintenance utilities Ilnsurances, water charges, heatin & lighbn Caretsking & Cleaaning b5 9,052 10,155 2,805 82 9.052 10,155 2,819 82.498 10,502 6,852 2,384 71,861 b7 Other payments TOTAL PAYMENTS 14 b8 14 {bg1 SECTION C NET RECEIPTSIPAYMENTS FOR THE YEAR cl a6-b8 3,259 1,582 Total fL2nds brought forwa￿ from last year 79.022 8,808 87.830 89,332 Sub totsl c1+c2 82.286 8.803 91,089 Transfers and ad'uslments 730 730 ¢7 80 c5 TOTAL FUNDS AT END OF YEAR (￿*￿) 83,016 8803 91,819 (¢8) 87,830 {¢61 SECTION D FOR INFORMATION ONLY: MONEY RECEIVED AND PASSED ON TO ExfERNAL ORGANISATIONS {theso amounts arè not to be Included in total recelptslpa figur•s d1 Balance brou ht forward from last ear 36 d2 Offerin sIGifts- received for extemal o anisations 1,967 d3 OfferingslGifts - passed to extemal organisation¥ 1,967 40 d4 BALANCE STILL TO BE PAID Id1+d24J3} Chw¢b R arvj P 20l3.xjs 2of5

Fareham Methodist Chu RCHA SECMON E Summary cl itsChu{d)axountsfarttywen￿ 31 Awl 2022 arwj Int¥ftg1 repxDty to thèchwch CthrriVChur¢ MtiW Notethaltrlundsof an Intemal n¢fflwNy be RestrKxed unSS rt0￿￿] Le itry¢JthJ ￿ Lvedfvr &nyMethOdistpurp￿. Thts sthJn must bg ND A DIFFERENT FORM musir used VJ (see PILltrtslkLKtel. Pease regwJrvJ tetwegnlr tistrkl arml Distr￿ Organk%abo INTERNAL b8Lqr FkyArFund 146 31 115 179 e2 Frfda L￿￿h•S 101 124 e3 Jvnkn church 74 18 (Includ￿ in curth arty￿nIS Mlnl IA•rkrt 1.581 1.194 Par•Jts &ToddlOrn 18 201 ¢7 ubtota nisaknsfuryjs •12 2-toial8 eolurnnl 85.757 {Gn 87,830 Ic6} 91,819 YCHUACH 81.017 8S.391 90,079 onfjnu•ona 5ep¥rn* $heel rfnss8rywd tr￿n9 tt totalsforward TOTALREC TOTAL PAYAIENTS SE¢llQN F LOSING HUReH.CASH FUNDS HELD rt31 Cash in hand 30.828 Bank De rtACc￿ft f4 Centr81 Fina￿ Board 52.188 T￿Ste$S Icy MethtyJistChurr P 8.803 other tunds SUB TOTAL-Church Wunts 87.830 Totsi funOS heio ty ￿1￿81 Organwikn3 (the ba￿te￿)￿l fvcn at)vel le121 1.615 TOTAL CASH FUNDS HELD BY CHURCH 90,079 93,434 SECMON G At 31 Awst2022 OTHERASSETS Ind LNBILITI Note 9 & Bulhli Note io 2839.117 3 242 246 Other Lthl 14 I￿e0￿ty hdd atthtcenw Fuw*t f5 I￿￿e£￿ty Fund5 w atTr￿tee5￿melr￿)o￿tcTrurth 3d5

Name of Church FA￿E￿A￿ NE i ¥!c)fJlST No...11 Z78Iy- Declarations and Scrutiny I confirm that these Receipt and Payment based accounts for the year to 31 August 2022 have been prepared from the records of the Church and that they include all funds under the control of the Church trustees. Signature of treasurer . Date... Name and address of treasurer ... Post Code... Presentatlon to the Church trustees I confirm that the annual report and accounts for the year ended 31 August 2022 werelvti&kèeP presented to the meeting of the Church trustees held on ..IqK.TAwK' Signature of the Chair of the meeting Name of the Chair of the meeting Independent Examinerfs Report to the Trustees of the Charity Number.............. Responsibilities and basis of report I report to the twstees on my examination of the accounts of the ....... for the year ended 31 August 2022 set out on pages .1. to .3. As the Church's trustees, you are responsible for the preparation of the accounts in accordan￿ with the requirements of the Charities Act 2011 ('the Act,). 2015 thwch R aThJ P.xts 4015

I report in ￿spect of my examination of the Church's accounts carried Out under section 145 of the Act and, in carrying out my examination, I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Ad. delete or circle as appropriate 2015 churth R aTrJ P.Jts 4015

Name ofchurch................ -d Independent Examin•rfs Statèment I have completed my examination. I confimi that no material matters have come to my attentio connection with the examination (other than that disclosed below") which give me cause lo beli in, any material respect: the accounting records were not kept in accordance with section 130 of the Act; or the accounts do not accord with the accounting records. [the Ithe I have no concerns and have come across no other matters in connection with the examination which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. I havelhave nor obtained independent verIfi￿tIon of all investrnents with the Trustees for Met Church Purposes or held in other trusts, bank balan￿S and funds at the Central Finance Boar( Methodist Church which are individually in exc￿￿ of £10,000 (ten thousand pounds) at the bal,. sheet date. Signature of independent examiner Name of independent examiner Relevant professional qualification of independent examiner Name of fimi (where appropriate) Address Post Code Date delete or circle as appropriate Sop-22 2015 R and P.xts 5crf5

FIREFWM METHODIST CHURCH 31 1.ieo Gfft 2.122 1.000 .$69 425 1.W2 Jvt•Tt¢• mi551￿5 559 Prtvty Fu￿J Churt 146 10, 150 100 Fireextwurfhvrn 140 Ge￿ra1 272 2.361 716 4.957 Sz BT 9,W2 n1 E70 220 307 -743 PHS Tr￿e Wa512

FAREHAM METHODIST CHURCH Notes 0￿rn unts for Ye ded 31 General Fund al 31st August 2022 Running Costs Res¢ Benevolen¢e Reserve Major Repairs ReseNe Organ & Keytoard ￿SerVe Unrestricted tequests TMCP Unrestricted twuests in account 395¥2 500 33000 7194 8803 2000 91089 Appeals for Exiemal Ofganisations Action for Children Iwecan Bnbsh Heart Foundats)n Christian Week Grfl for Caretsker Wofla Mlsslon Fund JMA 356 10 1077.20 75.CKJ 226.50 205.00 27.27 The investment in Section G is Trust No. 17856 and Trt￿t No. 22184 wth the Tru$tee$ for Methodist Church Purwses (Chanty No. 11363581. 10. The Buildings and"Dther a5$ets' (contents and organ) are valued at the sums for whith they are insured. The 8um3 insured are increased annually acLording lo appropriate Indices.

Name of Church .. No. Independent Examin¢r's Stat•m•nt I have completed my examination. I confimi that no material matters have come to my attentio connection with the examination (other than that disclosed beluw.) wliiGh give me cause to beli in, any material respect: thé aeeounting records were not kept in accordance with section 130 of th8 Act,. or the accounts do not accDrd with the accounting records. [the Ithe I have no concerns and have come across no other matt8rs in connection with the examination which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. I havelhave not. obtained independent verification of all investments with the Trustees for Mattr Church Purp08es or held in other trusts, bank balances and funds at the Central Finance Boar( Methodist Church which are individually in ex￿8$ of £10,000 (ten thousand pounds) at the bal., Sheet (late. Signature of independent examiner Name of irsdependent examiner Relevant professional qualrfication of independent examiner Name of firm (where appropriate) Address Post Code Pc.10 l.fio Date delete or circle as appropriate 8op-22 201J thutch R P.x SVIS