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2021-12-31-accounts

St. Paul’s Church East Molesey

Annual Report and Financial Statements For the year ended 31 December 2021

The Parochial Church Council of the Ecclesiastical Parish of East Molesey, St. Paul

is a registered charity number 1127837 Church code 617144

Church Road East Molesey Surrey KT8 9DR

0208 941 2071 office@stpaulmolesey.org.uk http:// www.stpaulmolesey.org.uk

Contents

Page
Report of the Parochial Church Council 2
Independent Examiner’s Report 6
Statement of Financial Activities 7
Balance Sheet 8
Notes to the Financial Statements 9

Page 1

St. Paul’s Church East Molesey

Report of the Parochial Church Council

Objectives and activities

The Parochial Church Council of the Ecclesiastical Parish of East Molesey, St. Paul (the “PCC”) has the responsibility of co-operating with the incumbent, Revd. Anne Farmer, in promoting the mission of the Church as partners in the work of the gospel ministry.

The PCC, having had regard to the Charity Commission’s guidance on public benefit, consider that in following these priorities and by furthering the whole mission of the Church (pastoral, evangelistic, social and ecumenical), a benefit is provided to the public in particular by:

It also has oversight of the financial affairs of St. Paul’s Church East Molesey (“St. Paul’s”) and maintenance responsibilities for the buildings thereof.

Financial Review of the Year

As with the previous year, the presence of the COVID-19 pandemic prevented us from running at full capacity in 2021. We did, however, see an improvement to the finances given the easing of some restrictions, particularly around weddings. Couples were finally able to proceed with the wedding days that had been envisaged pre-pandemic and we realised a surge in fee income accordingly.

Income from the hiring out of the Parish Room also increased to £10,000 in 2021 which is an improvement over the previous year but still falls short of the pre-pandemic levels (2019: £12,500)

Unfortunately, we saw relatively poor returns on our invested funds due to minimal interest rates when compared to 2020.

In terms of expenditure, we were grateful to put the building remediation costs of 2020 behind us and maintained tight control of outgoings. Still, over £27,000 was spent on preparations for St Paul’s Enhancement Project (SPEP), which covered significant architect fees and the digging of a trial pit.

Excluding the building works, we managed to cover our costs but we need some surpluses to restore our savings from the previous year’s deficit and to safeguard against rising utility prices.

£
Excess of expenditure over income in 2021 (26,000)
Exclude Major Remediation and Enhancement (SPEP) works 28,000
Normalised surplus 2,000

Looking forward, at December 2021 we had used up funds set aside for building works and we will want to raise further funds to safeguard ourselves against any unforeseen maintenance requirements of such an old building. All over the world, building materials and other costs have shot up over the last 18 months and this needs to be factored into our planning. The parish does have funds saved up but we should not rely on the generosity of past parishioners, including the Truefitt Legacy. The financial shocks arising from the COVID-19 lockdown have highlighted the need to keep prudent reserves.

At the year-end, net current assets, including restricted funds, amounted to £221,932 (2020: £248,248).

Page 2

St. Paul’s Church East Molesey

Statement of Trustees Responsibilities

The members of the PCC, who are the Trustees of the charity for the purposes of charity law, are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law, regulations and accounting standards.

Law applicable to charities in England and Wales requires the members of the PCC to prepare financial statements for each financial year which give a true and fair view of the PCC's financial activities during the year and of its financial position at the end of the year. In preparing these financial statements, the members of the PCC are required to:

The members of the PCC are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the PCC and enable them to ensure that the financial statements comply with the applicable law. They are also responsible for safeguarding the assets of the PCC and for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 3

St. Paul’s Church East Molesey

Structure, Governance and Management

The Parochial Church Council of the Ecclesiastical Parish of East Molesey, St Paul is a Church of England parish in the Diocese of Guildford. It is a registered charity, number 1127837, with registered address at 101 Palace Road, East Molesey, Surrey KT8 9DU.

As a parish church within the Church of England (CofE), St. Paul’s is constituted within the Parochial Church Councils (Powers) Measure 1956. Members of the PCC are either ex-officio or elected by the Annual Parochial Church Meeting (APCM) in accordance with the Church Representation Rules and, by dint of membership, become the charity's Trustees. All Church attendees are encouraged to register on the Electoral Roll and to consider standing for election to the PCC. Prospective new PCC members / trustees are advised of PCC membership and Trusteeship duties and responsibilities by means of receipt and discussion of the CofE PCC Standing Orders and the Trusteeship booklet produced jointly by the Archbishop's Council and the Charity Commission.

The PCC meets on a regular basis and is responsible for policy approvals and decisions, significant nonroutine expenditure approval, identification, assessment and mitigation of risks, and other significant decision-making including the ratification of any proposals submitted by church sub-committees.

The Standing Committee, a sub-set of the PCC membership, meets between PCC meetings and may take decisions on the PCC's behalf. The Rev Anne Farmer, incumbent, serves as Chairman of the PCC.

During the year, and up to the date of approval of this Annual Report and Financial Statements, the following served as members of the PCC:

Churchwarden Churchwarden PCC Deanery Synod
Full Part Full
Part
Full Part
Year year Year
year
year year
Incumbent
Rev. Anne Farmer
Lay Minister
Tony Harris
Churchwardens
Gabrielle Clark
Paul Hancock
Laity
Dayle Hume
Helen Birchall
Jenny Wood
Richard Castillo
Linnet Frederik
Jane Sachdev
Harriet Hill
James Bunsell (Treasurer) Ai
Nathalie France Ai
Samuel Chowdhry Ai
Judy Lanaway T 2021
David Lanaway T 2021

A[i] Appointed 23 May 2021 T Term expired (+ year) R Resigned (+ year)

Page 4

St. Paul’s Church East Molesey

Reserves

Reserves held reflect two different objectives:

Further details of the reserves held are set out in note 9 to the Financial Statements. There are no funds in deficit.

Approved by the Parochial Church Council on 14[th] March 2022

Rev. Anne Farmer Incumbent

Page 5

St. Paul’s Church East Molesey

Independent Examiner’s Report

to the Members of the Parochial Church Council of East Molesey, St. Paul’s

I report on the accounts for the year ended 31st December 2021, which are set out on pages 7 to 15.

Respective responsibilities of the Trustees and Independent Examiner

The charity's trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the '2011 Act '), and that an independent examination is required.

It is my responsibility to:

Basis of independent examiner's report

My examination was carried out in accordance with the General Directions given by the Charity Commission.

An examination includes a review of the accounting records kept by the charity and a comparison of the accounts with those records. It also includes consideration any unusual items or disclosures in the accounts, and seeking explanations from the management committee 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 the report is limited to those matters set out in the statement below.

Independent examiner's statement

In connection with my examination, no matter has come to my attention:

have not been met; or

Martin Perrin MA, FCA, Chartered FCSI

19[th] March 2022

39 Station Road Thames Ditton Surrey KT7 0PA

Page 6

St. Paul’s Church East Molesey

Statement of Financial Activities

For the year ended 31 December 2021

Unrestricted Restricted Total Unrestricted Restricted Total
Funds Funds 2021 Funds Funds 2020
Note
£
£ £ £ £ £
Income 2
Voluntary income 83,569 3,307 86,876 79,844 6,527 86,371
Activities for generating funds 1,113 - 1,113 100 - 100
Church activities 14,118 - 14,118 9,804 - 9,804
Income from investments 939 - 939 8,517 - 8,517
Other incoming resources - - - - - -
Total income 99,739 3,307 103,046 98,265 6,527 104,792
Expenditure 3
Cost of generating voluntary
income - - - - - -
Church activities 124,881 4,481 129,362 146,532 12,224 158,756
Governance costs - - - - - -
Total expenditure 124,881 4,481 129,362 146,532 12,224 158,756
Net incoming/(outgoing)
resources (25,142) (1,174) (26,316)
(48,267)
(5,697) (53,964)
Transfers between funds - - - - - -
Net movement in funds (25,142) (1,174) (26,316)
(48,267)
(5,697) (53,964)
Balances brought forward 246,372 1,876 248,248 294,639 7,573 302,212
Balances carried forward 221,230 702 221,932 246,372 1,876 248,248

The notes on pages 9 to 15 form part of these financial statements.

Page 7

St. Paul’s Church East Molesey

Balance Sheet

As at 31 December 2021

Balance Sheet
As at 31 December 2021
Charity number 1127837 Charity number 1127837
Unrestricted Restricted Total Unrestricted Restricted Total
Funds Funds 2021 Funds Funds 2020
Note Note
£
£ £ £ £ £
Fixed Assets
Tangible fixed assets - - - - - -
- - - - - --
Current assets
Debtors and prepayments Debtors and prepayments
7
347 702 1,049 (647) 1,876 1,229
Cash 222,264 - 222,264 249,026 - 249,026
222,611 702 223,313 248,379 1,876 250,255
Current liabilities 8 (1,381) - (1,381) (2,007) - (2,007)
Net current assets 221,230 702 221,932 246,372 1,876 248,248
Net Assets 221,230 702 221,932 246,372 1,876 248,248
Parish Funds 9 221,230 702 221,932 246,372 1,876 248,248

The notes on pages 9 to 15 form part of these financial statements.

These financial statements were approved by the Parochial Church Council on 14[th] March 2022.

Signed on behalf of the Parochial Church Council

Revd Anne Farmer Incumbent

Page 8

St. Paul’s Church East Molesey

Notes to the Financial Statements

For the year ended 31 December 2021

1 Accounting policies

(a) General information

The Parochial Church Council of the Ecclesiastical Parish of East Molesey, St Paul is a registered charity, number 1127837 and having its registered address at 101 Palace Road, East Molesey, Surrey KT8 9DU.

The principal activities of the Parochial Church Council are described in the Report on page 2.

(b) Basis of preparation

The financial statements have been prepared on an accruals basis and in accordance with the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (as updated), the Church Accounting Regulations 2006 and the Charities Act 2011.

The financial statements have been prepared under the historical cost convention.

The financial statements include all transactions, assets and liabilities for which the PCC is responsible in law. They do not include the accounts of church groups that owe their main affiliation to another body nor do they include groups that are informal gatherings of church members.

The PCC have formed a judgement, at the time of approving the financial statements, that there is a reasonable expectation that the Parochial Church Council has adequate resources to continue in operational existence for the foreseeable future. For this reason the PCC continue to adopt the going concern basis in preparing the financial statements.

(c) Funds

General funds represent the funds of the PCC that are not subject to any restrictions regarding their use and are available for application to the general purposes of the PCC.

Designated funds are those General funds which have been set aside by the PCC for a particular purpose.

Restricted funds are those funds that must be spent on restricted purposes and details of the funds held and restrictions are provided in note 9.

(d) Incoming Resources

Voluntary income and capital sources

Offerings and collections are recognized when received by or on behalf of the PCC. Planned giving receivable under Gift Aid is recognized only when received. Tax recoverable on Gift Aid donations is recognized when the donation is recognized.

Grants and legacies to the PCC are accounted for when the PCC is notified of its legal entitlement, the amount due is quantifiable and its ultimate receipt by the PCC is reasonably certain.

Statutory Parochial fees are receivable on weddings, funerals and other events, and that part of the fees due to the PCC are included in these accounts. The PCC also collects and pay over fees due to the Diocese of Guildford.

Rental income from the letting of church property is recognized on an accruals basis.

Dividends are accounted for when received. The impact of account upon receipt rather than ex-date is not considered material.

Interest entitlements are accounted for as they accrue or, where not material, upon receipt.

The value of services provided by volunteers is not accounted for in these financial statements.

Page 9

St. Paul’s Church East Molesey

Notes to the Financial Statements

For the year ended 31 December 2021

(e) Resources Used

Activities directly relating to the work of the Church are expensed as incurred.

The Diocesan Parish Share is accounted for when due.

(f) Fixed assets

Consecrated property and movable church furnishings

Consecrated and beneficed property of any kind is excluded from the financial statements pursuant to s.10.2 of the Charities Act 2011. Movable church furnishings held by the Vicar and Churchwardens on special trust for the PCC and which require a faculty for disposal are inalienable property unless consecrated: they are listed in the Church's inventory, but are not recorded as assets of the PCC.

All expenditure incurred in the year on consecrated or beneficed buildings, and the repair of movable church furnishings is written off in the year they are incurred.

Church Hall

Historic costs of building the Church hall were expensed as incurred. Current monies expended on surveying and architects fees have likewise been expensed as incurred.

Fixtures, fittings and office equipment

Small value items under £1,000 are treated as operating expenses. Where office equipment is capitalised, it is written off over its expected useful life, normally between 3 and 5 years.

Page 10

St. Paul’s Church East Molesey

Notes to the Financial Statements

For the year ended 31 December 2021

2 Incoming resources

2 Incoming resources
Unrestricted Restricted Total Unrestricted Restricted Total
Funds Funds 2021 Funds Funds 2020
£ £ £ £ £ £
Voluntary income
Planned giving: 57,297 - 57,297 54,102 3,761 57,863
Collections 1,220 - 1,220 1,633 - 1,633
Other donations, appeals 9,458 3,307 12,765 3,092 479 3,571
Tax recoverable 13,844 - 13,844 12,931 2,287 15,218
Legacies - - - 5,000 - 5,000
Grants from public bodies 1,750 1,750 3,086 3,086
83,569 3,307 86,876 79,844 6,527 86,371
Activities for generating
funds
Social events & activities - - - - - -
Sale of Tradecraft goods - - - 100 - 100
Other 1,113 - 1,113 - - -
1,113 - 1,113 100 - 100
Church activities
Fees 3,906 - 3,906 1,726 - 1,726
Hall Lettings 10,212 - 10,212 8,078 - 8,078
Other - - - - - -
14,118 - 14,118 9,804 - 9,804
Income from investments
Bank interest 939 - 939 8,517 - 8,517
939 - 939 8,517 - 8,517
Other incoming resources
Insurance claims - - - - - -
- - - - - -
Total incoming resources 99,739 3,307 103,046 98,265 6,527 104,792

Page 11

St. Paul’s Church East Molesey

Notes to the Financial Statements

For the year ended 31 December 2021

3 Resources expended

3 Resources expended
Unrestricted Restricted Total Unrestricted Restricted Total
Funds Funds 2021 Funds Funds 2020
£ £ £ £ £ £
Cost of generating
voluntary income
Cost of activities - - - - - -
- - - - - -
Church activities
Missionary & Charitable
Giving 4 4,180 2,643 6,823 4,107 327 4,434
Parish Share and clergy
costs to Diocese 70,700 - 70,700 69,002 - 69,002
Salaries, wages and
honoraria 5 9,148 - 9,148 6,702 - 6,702
Costs of ministry and
mission 1,956 - 1,956 4,070 - 4,070
Church running &
maintenance 7,749 1,838 9,587 11,787 160 11,947
Major Remediation and
Enhancement works 10 28,512 - 28,512 48,437 11,737 60,174
Upkeep of churchyards - - - 141 - 141
Church Hall costs 8 - 8 - - -
Management & admin
costs 2,628 - 2,628 2,286 - 2,286
124,881 4,481 129,362 146,532 12,224 158,756
Governance costs
Independent examiner - - - - - -
- - - - - -
Total resources
expended 124,881 4,481 129,362 146,532 12,224 158,756

Page 12

St. Paul’s Church East Molesey

Notes to the Financial Statements

For the year ended 31 December 2021

4 Missionary and charitable giving

Charitable giving out of St Paul’s Church funds was disbursed as follows:

Unrestricted Restricted Total Total
Funds Funds 2021 2020
£ £ £ £
Brite Box 250 - 250 -
Children’s Society 500 - 500 793
Christian Aid / Crisis 500 - 500 723
Church Pastoral Society - - - 108
Compassion UK 250 336 586 327
Covax (UNICEF) - 2,307 2,307 -
East Elmbridge Food Bank 500 - 500 620
Save The Children (Esher) 250 - 250 -
Hope Gardens 500 - 500 723
Kingston Hospital Eye Unit Appeal
150
- 150 -
Leprosy Mission 150 - 150 -
Molesey Churches Night Shelter 500 - 500 723
Mary Francis Trust - - - 217
Rocha UK (Eco Church) 90 - 90 -
Royal British Legion - - - 100
Royal Marsden Hospital 250 - 250 100
Toilet Twinning 290 - 290 -
Total 4,180 2,643 6,823 4,434

5 Staff costs

5 Staff costs
2021 2020
£ £
Wages, salaries and other staff costs 8,727 4,112
Social security costs - -
Other honoraria and staff costs 421 2,590
Total resources expended 9,148 6,702

The average number of full or part-time equivalent employees in the year was 3 (2020: 3).

No trustee (PCC member) received any remuneration or received any other employment benefits during the year or prior year. Clergy are not included in the staff costs above as they are office holders not employed by the PCC. In addition to employees, the cost of certain other service providers is included in Other honoraria and staff costs.

6 Payments to PCC members

3 (2020: 2) trustees received expenses to the value, in total, of £2,727 (2020: £1,989) in respect of Church and Church Hall repairs, Churchyard maintenance, travel and other costs incurred on behalf of the PCC.

Page 13

St. Paul’s Church East Molesey

Notes to the Financial Statements

For the year ended 31 December 2021

7 Debtors and prepayments

7 Debtors and prepayments
2021 2020
£ £
Gift aid tax recoverable 1,049 1,229
Accrued income and other debtors - -
1,049 1,229

8 Creditors – amounts falling due within one year

2021 2020
£ £
Accruals and deferred income 1,022 1,501
Other creditors 359 506
1,381 2,007

9 Funds

General funds

9 Funds
General funds
Opening Closing
Balance Income Expenditure Adjustments balance
£ £ £ £ £
Undesignated general funds 245,108 99,739 (124,881) - 219,966
Designated funds:
Organ maintenance 1,264 - - - 1,264
246,372 99,739 (124,881) - 221,230

Restricted funds

Restricted funds are funds which have been given to the PCC for a specific purpose and which are held pending disbursement in accordance with the mandate for which they were given:

Opening Closing
Balance Income Expenditure Adjustments balance
£ £ £ £ £
Building repair and maintenance - 500 (500) - -
Organ maintenance 1,267 500 (1,338) - 429
Leisem fund 609 - (336) - 273
Covax - 2,307 (2,307) -
1,876 3,307 (4,481) - 702

10 Major Remediation and Enhancement works

Major Remediation and Enhancement works can be analysed as to:

Total Total
2021 2020
£ £
Remediation works 1,153 50,349
St Paul’s Enhancement Project 27,359 9,825
Total 28,512 60,174

Page 14

St. Paul’s Church East Molesey

Notes to the Financial Statements

For the year ended 31 December 2021

11 Related party transactions

There were no transactions with any trustee in their capacity as trustee. Reimbursements for normal out of pocket expenses incurred in the performance of various duties as Clergy, or as members of a PCC committee, as the case may be, are set out in note 6 above.

Page 15

St. Paul’s Church East Molesey