**REGISTERED CHARITY NUMBER : 1128212** ## **The Parish of St Paul’s Howell Hill** ## **Report of the Trustees and Financial Statements for the year ended 31 December 2022** Harmer Slater Limited Curzon House 2nd Floor 24 High Street Banstead Surrey SM7 2LJ ## **The Parish of St Paul’s Howell Hill** ## **Financial Statements for the year ended 31 December 2022 Index** ||Page| |---|---| |Trustees' Report|1| |Independent Examiner's Report|8| |Statement of Financial Activities|9| |Balance Sheet|10| |Statement of Cash Flows|11| |Notes to the Financial Statements|12| ## **The Parish of St Paul’s Howell Hill** **Trustees’ Report for the year ended 31 December 2022** ## **Reference and administrative information** **Full name of PCC** : The Parochial Church Council of the Ecclesiastical Parish of Howell Hill ( _Working name:_ St Paul’s Howell Hill PCC). **Address:** 15 Northey Avenue, Cheam, Surrey SM2 7HS **Charity registration number:** 1128212 (registered 24[th] February 2009) Names of all the members of the PCC who have served in the period from 1 January 2022 to the date of this report are as follows: |**Clergy**:|Rev Nico Ohlsson (Vicar) - from September 2022| |---|---| ||Rev Paul Dever (Senior Associate Vicar)| ||Rev Sally Thomas (Associate Vicar)| ||Rev David Senior| |**Church Wardens:**|Rosalyn Holiday| ||Mark Goodman| |**Deanery Synod Members:**|Leslie King (until April 2022)| ||Elizabeth Stockwell| ||Adam Hansen| ||Samuel Neill| ||Pam Bullen (appointed May 2022)| ||Shane Higgs (appointed May 2022)| |**PCC Members:**|Jenny Fisher (until April 2022)| ||Ben McKie (until April 2022)| ||Anne Pianca (appointed April 2019, re-appointed April 2022)| ||Hannah Duncan (until April 2022)| ||Paul Clinton (appointed 2020)| ||Mervyn Wolffsohn (appointed 2020)| ||Andrew Wells (appointed 2020)| ||David Wright (appointed 2020)| ||Craig Wilson (appointed 2020)| ||Samuel Luke (appointed April 2021)| ||Julie O’Brien (appointed April 2021)| ||Ruth Sharma (appointed April 2021)| ||Neil Thomas (appointed April 2021)| ||Samantha Wakefield (appointed April 2021)| ||Ian Ayres (appointed April 2022)| ||Jonathan Eames (appointed April 2022)| ||Alice Firth (appointed April 2022)| ||Jan Ganney (appointed April 2022)| |**Co-options:**|John Woolley (Chair of Finance Team)| ||Jeremy Randall (Treasurer)| ||Chris White (Church Manager).| The PCC’s bankers are NatWest Bank plc of St Nicholas Centre, Sutton, Surrey, SM1 1NW and CAF Bank Limited of 25 King’s Hill Avenue, West Malling, Kent, ME19 4JQ 1 ## **The Parish of St Paul’s Howell Hill** ## **Trustees’ Report for the year ended 31 December 2022** The PCC’s Independent Examiner is: Tim Slater, ACA Institute of Chartered Accountants in England and Wales Harmer Slater Limited, Curzon House, 2[nd] Floor, 24 High Street, Banstead SM7 2LJ The day to day management of the affairs of the church is delegated to the Staff Team under the control of the Vicar. The Vicar and Staff Team are supported by and report into St Paul’s Management Team (StPMT) and the PCC. The members of the staff team are: |**Vicar:**|Rev Nico Ohlsson| |---|---| |**Senior Associate Vicar:**|Rev Paul Dever| |**Associate Vicar:**|Rev Sally Thomas| |**Community Chaplain:**|Rev David Senior| |**Curate (based at St Barnabas, Epsom):**|Rev. Harry Lamaison| |**Youth Pastor:**|Amanda Neill| |**Youth Intern:**|Alicia Eames| |**Children’s Pastor:**|Naomi Carne| |**Young Families Pastor:**|Keren Hillman| |**Church Manager:**|Chris White| |**Parish Administrator:**|Ann McIntyre| |**Communications Lead:**|Jenny Fisher (from March 2022)| |**HUB Host:**|Debbie McLeod| |**Financial Controller:**|Helen Bubb (contractor)| |**CAP Centre Manager:**|Emma Paxton-Browne| |**CAP Debt Coach:**|Robin Calcutt| |**Church Caretaker:**|Toby Ahern| ## **Structure, governance and management** The Parochial Church Council is a corporate body established by the Church of England. The PCC operates under the Parochial Church Council Powers Measure. The PCC was registered with the charity commission on 24 February 2009, under charity number 1128212. Previously, the PCC was excepted from registering with the Charity Commission. The appointment of PCC members is governed by and set out in the Church Representation Rules. The PCC is made up of elected, ex officio and co-opted members. Elected members are elected by the Annual Parochial Church Meeting and serve for a period of 3 years. Elected members are eligible for re-election after 3 years but may only serve for a maximum of 6 consecutive years. Other church members may be co-opted to the PCC, primarily to cover particular areas of expertise that are deemed necessary for the functioning of the PCC e.g., Finance, Premises. Co-opted members can serve for a maximum period of 9 years in a single role. PCC members are provided with guidance on the role of trustees. In addition, PCC Members receive a document detailing their responsibilities as members of the PCC and receive ongoing guidance as necessary. The frequency of PCC meetings is normally 5 times a year where the PCC oversees the strategic direction of the Parish and approves policy and budgets. Operational management of St Paul’s is delegated to a specific team appointed by PCC, with a further management group for Little Fishes, which is a Pre-School owned by the PCC. St Paul’s Management Team meets at least 8 times during the year. Little Fishes Management Group meets at least once each school term. 2 ## **The Parish of St Paul’s Howell Hill** ## **Trustees’ Report for the year ended 31 December 2022** Additional PCC meetings were held to progress the arrangements to recruit a new incumbent. This process was completed in 2022, and Rev Nico Ohlsson joined us as incumbent in September 2022. Names of the current members of the management teams are as follows: St Paul’s Management Team (StPMT): Rev Nico Ohlsson Rev Paul Dever Rev Sally Thomas Rosalyn Holiday Mark Goodman Paul Clinton Ian Ayres Anne Pianca John Woolley Chris White Little Fishes Management Group (LFMG) Alison Carr (Chair) Jeremy Randall (Treasurer) Hannah Wright Keren Hillman Lynne Hansen In addition to the above, PCC has delegated a number of matters to specific teams. The permanent teams are: - Finance Team - Permissions Team - Key Partnerships Team Other teams are formed from time to time by the PCC to address specific issues. ## _**Risk Management**_ The PCC reports that it has given consideration to the risks faced by the church. The major risks that the church is exposed to relate to people, including the safeguarding of children and vulnerable adults, and the ability to cover and recruit to vacant staffing positions when these occur. The PCC has formal controls in place, working with the Diocese of Guildford, to manage these risks. Other main risks relate to financial matters, compliance with legal and statutory requirements and the activities of the church. The PCC has policies and procedures in place to manage all of these risks. In November 2019 PCC approved a Risk Register – this document continues to be reviewed and updated regularly. ## _**Public benefit**_ The PCC are aware of the Charity Commission’s guidance on public benefit in “The advancement of religion for the Public Benefit” and have had regard to it in their administration of the church. The PCC believes that by promoting the Christian faith it provides a benefit to the public by: - providing facilities for public worship, pastoral care and spiritual development, both for existing church members and for anyone who wishes to benefit from what the church offers; and - promoting Christian values, and service by members of the church in and to their communities, to the benefit of individuals and society as a whole. 3 ## **The Parish of St Paul’s Howell Hill** **Trustees’ Report for the year ended 31 December 2022** ## **Objectives and activities** The Parish is part of the Diocese of Guildford, and in the Deanery of Epsom. Our local objectives and activities are summarized in the following paragraphs. As indicated above, our new Vicar, Rev Nico Ohlsson, joined us in September 2022. Following his arrival he has been working with the PCC with the Lord’s guidance to develop a vision of how we will grow in faith and help to spread the Good News of God’s kingdom through our work. At St Paul’s, the phrase **connect** _**transform**_ **serve** guides us in our call to be disciples of Jesus Christ in the 21st century. During this last year, it has been great to see God continuing to work in these areas, despite the challenges which continued to be presented by the Covid-19 pandemic. Here are a few of the highlights: **connect** 2022 saw us continue to rebuild our activities and operations after the Covid pandemic, and we have been pleased to welcome new and returning members into the building for collective worship and a range of other activities. **Transform** In 2022 we were happily able to run various courses in our buildings, including an Alpha course with St Barnabas Church, Epsom. Our CAP centre now operates from St Barnabas in Epsom, which is close to the locality in which many of its clients live. **serve** Leading St Paul’s is a team effort. We want to thank those who have partnered with us this year, in particular those whose work enables us to “stream” worship “live” on line (via Zoom and you tube) enabling those who are unable to join us in Church to continue to share in worship with us. They have done this through developing and supporting the technology, as well as playing and recording worship songs. We also want to thank the Staff, PCC, Management Team and Wardens who have helped us to discern the path for St Paul’s in the period before Nico joined us as Vicar in September. As we continued to rebuild our activities after the challenges of the pandemic, the members of staff on our children, families and youth teams maintained contact with and supported our young people and their families and our premises team have dealt flexibly with the arrangements for our building as we have gradually increased the numbers who attend worship and other events. The PCC thanks all of the staff team for their hard work in this period. During 2022 we continued to develop work towards a partnership with St Barnabas Church, Epsom. Both parishes have now approved the starting of the consultation process as we work towards becoming a united parish in 2023. We have worked with the Guildford Diocese and the PCC and church wardens at St Barnabas to develop the practical arrangements and this will continue in 2023. Paul Dever has continued to lead this work, supported by our curate, Harry Lamaison, who is based at St Barnabas. The PCC wishes to thank Paul for leading this work, Harry for developing activities which link with the community who live in the parish of St Barnabas, as well as the staff, PCC and church members who have been part of the team supporting Paul and Harry. The financial position continues to be challenging, in that the PCC approved a deficit budget for 2022 and has done so again for 2023, with the shortfall being met from the General Reserves at 31 December 2022 (see below). This position is not sustainable in the longer term, and our Finance Team are continuing to work to encourage new givers, and to identify options for reducing expenditure should that be unsuccessful. In 2022 we continued to maintain our buildings appropriately, including work in the church building, 19 Northey Avenue and 15 Nonsuch Walk. Looking ahead, as well as continuing to work towards becoming a united parish with St Barnabas, we face several challenges including: - continuing to support activities which we have been delivering, - identifying those which we may need to stop, or to continue in a different form, - continuing to respond to the financial challenges facing us as a church. 4 ## **The Parish of St Paul’s Howell Hill** ## **Trustees’ Report for the year ended 31 December 2022** ## **Objectives and activities (continued)** In doing this we will continue to try to - Live out our faith confidently as an expression of our worship for Jesus Christ, our Lord and Saviour - Understand our calling to engage in mission both individually and as a Church. A more detailed explanation of our work and the various activities which underpin that can be found on the Church’s website, which is available at the following link: https://www.saintpauls.co.uk ## **Use of volunteers** The PCC is very reliant on volunteers to carry out all its activities. However, it is not possible to place any monetary value on the contribution made by volunteers. ## **Financial Review** ## _**Unrestricted Funds (General and Repairs and Maintenance**_ **)** ## General Fund The General Fund produced an overall deficit for the year of £19,692 (2021 £4,613). This was significantly better than the approved budget – a deficit of £47,163 – the improvement was largely due to a legacy of £19,009 received in December 2022. Apart from that, giving was £17,164 below budget, which was offset by cost savings totaling £24,026. General (unrestricted) giving in the year 2022 (including tax recoveries, but excluding the legacy mentioned above) amounted to £601,366. General giving (including tax recoveries) was £21,634 (3.5%) below the budget for the year. This level of general giving compares with £623,214 (including tax recoveries) given in 2021 but is considered a good result as despite challenging economic times, there was an increase in giving from some existing givers and new givers came forward – these helped to offset the loss of a number of long standing givers in recent years. The PCC would like to thank the members of the congregation for their generosity in difficult times. General Fund expenditure overall was £654,087 in 2022, (£671,144 in 2021). This was £24,026 (3.5%) less than budgeted – these were the result of various cost savings. The biggest costs are staffing, £249,784, (£249,374 in 2021), the Parish Share payable net of a contribution made by St Barnabas to the Guildford Diocese, £167,733, (£173,859 in 2021), and costs associated with the maintenance and operation of our Church and other buildings, including depreciation, of £66,791 (£80,191 in 2021). The balance on the General Fund at the end of 2022 amounted to £164,433 (£184,125 for 2021) of which £7,889 is represented by fixed assets (2021 - £5,422). This means that in terms of free reserves, the General Fund amounts to £156,544 at 31 December 2022. As indicated above, PCC has budgeted for a deficit of £47,742 in 2023 – although this will increase by £10,000 to £57,742 as the approved budget had allowed for an estimated legacy income of £10,000 in respect of the legacy actually received in December 2022 – see above. ## Repairs and Maintenance Fund In 2018 the PCC determined that it would be prudent to build up this fund to meet larger non routine maintenance requirements. On 17 January 2022, PCC approved a transfer of £5,000 from General Fund into the Fund at the end of 2021, and £26,038 was spent from the Fund in 2021. No transfers were made to the Fund or costs met from it in 2022. The balance of this fund at 31[st] December 2022 was £39,743 (£39,743 in 2021). 5 ## **The Parish of St Paul’s Howell Hill** ## **Trustees’ Report for the year ended 31 December 2022** ## _**Grants and Donations**_ There were specific gifts of £9,191 (including Gift Aid) received for grants and donations outside of the parish in 2022 (£1,500 in 2021). In 2021, a gift of £25,000 (£31,250 after reclaiming Gift Aid) was received – the donor placed no restrictions upon the use of this Gift, but expressed the wish that it should “be used to help to support the development of our partnership with St Barnabas and the shared mission which that partnership will enable us to deliver”. In 2022, £10,951 was spent from this Gift, on admin and caretaking staff support, equipment for worship, office equipment and estate management. Grants of £82,031 were made to partner and other agencies in 2022 (£103,726 in 2021). ## _**Reserves policy**_ The PCC updated its Reserves Policy at its meeting on 21 March 2022. Day to day running costs of the parish are generally met from current income (donations), and therefore the PCC does not hold significant free reserves. The PCC policy is to hold free reserves of at least £60,000 in the General Fund, which at that time represents approximately 3 months of budgeted salary costs. As noted above, current free reserves are £156,544 (£178,703 at 31 December 2021). The Policy is also to maintain the Repairs and Maintenance Fund, as described above. The PCC has since decided to use that reserve to even out the impact of significant maintenance costs by making annual contributions to the Fund when possible and meeting significant maintenance costs from the Fund as these arise. Whilst the balance on this Fund will fluctuate according to when large items of maintenance costs occur, the PCC amended its Reserves Policy at its meeting on 21 March 2022 to state that it is intended that the Fund’s balance will be maintained at a minimum level of £10,000 and that the expectation is that the Fund’s balance will normally be in the region of £30,000. The PCC will review these limits from time to time in the light of the predicted maintenance requirements for the next three to five years. The value of the Fund at 31 December 2022 is £39,743. The PCC intends to review and update its Reserves Policy in March 2023. ## _**Other Commitments**_ As indicated above, we are continuing to develop our partnership with St Barnabas Church, Epsom. As part of this process, the Diocese has agreed to the appointment of a curate, Harry Lamaison, who is largely based at St Barnabas, but under the direction of Paul Dever, our Senior Associate Vicar. St Barnabas are currently meeting the costs of Harry’s housing and expenses. St Paul’s has agreed to underwrite these costs should St Barnabas be unable to meet them in full. In 2021 and 2022 St Barnabas met these costs in full. For 2023, the Diocese has set a combined parish share for St Paul’s and St Barnabas of £173,929, to which St Barnabas will contribute £10,000, in addition to meeting the costs associated with the curate and his housing accommodation. ## _**Grant making policy**_ The External Mission Team oversees our relationships with our key partners in mission. Grants are proposed by this Team, with the proposals reviewed by Management Team and approved annually by the PCC. In addition, there is a small budget to make grants to individuals who are undertaking a specific trip, internship, or gap year – the grants are made following an application and considered initially by the Management Team. ## _**Policy for key management personnel remuneration**_ Key management personnel are deemed to be the Vicar, Senior Associate Vicar and the Church Manager. The Vicar and Senior Associate Vicar are clergy licensed by the Bishop of Guildford and are paid in accordance with the stipends rates in place for Church of England clergy. Both are paid directly by the Church Commissioners, administered by the Diocese of Guildford. The Vicar’s stipend is covered by the parish share paid to the Diocese of Guildford, and the PCC directly reimburses the Diocese in respect of the stipend payments for the Senior Associate Vicar. The Church Manager’s remuneration has been set to be at a similar level to that of the Senior Associate Vicar, but reflecting that unlike the Senior Associate Vicar, there is no house provided. The Church Manager is paid by the Church directly. 6 Tho Parish of St Paul'* H*)well Hill Plans for futyre periods The PCC. Managemenl Team. Finan￿ Tw Staff Tean regu￿ revi8w the aCt1¥rt¥￿ and P￿￿jr8mMes place to seek to ensure the ststed aims and obJ"eclives are meL Responsibillties of the PCC The PCC wponsible for prpparir#J the TnBtee5' Report and the fina￿la1 slatements in accordan￿ applitrable law and United Kingdom Aw)untiThJ Standards (United lfjng(th Generaly Accepted Accounting Praclice) inckjdino FRS102 The FwwK¥al a[￿ll￿ble in the UK and Repubk of Ireland.. The law applicab￿ to charities in England & Wales requires the PCC to prepare financral statements for each nand81 year which give a true and fair wew of the state of the affalrs of the church and of the incoming resources and appltration of resoLW(Es of the chwch forthat period. In preparing these ffinanaal ststements, the PCC is requwed to.. observe the mel￿S and prin(xples In the Charittes SORP.. make judgements estimates that ar8 reasonaLqe and wNJent stak whether applicable accounting stan¢Jwds have been fo￿￿j. &Jb￿￿ to any material dep*thres dtsdosed and expkined in the fir￿n￿al statements; . PTeparE the ffina￿al statern￿ts ￿ the rxYKWn b8sis it i% inwprowiate to p￿SUme that church C(￿tinUe in bLssiness. The PCC is resrA)nsfo￿ for k8eP4ng w0￿r ￿oUntIng r8(x)rds thal disL*Jse wtth reasonabl& a(xuracy al any tim8 the financial trf)srtion of the church and enable itEm to ensure that the finan(xal statements comply wi the Charities Act 2011. the Churth ACcountE￿ Regulat*x￿ 2tX)6 and the Acwjnling by char￿￿$ Statement of Recomm8nded Practi￿. The PCC ts also responsble for saf8guardiry the assets of th6 churth and henc behalf ofthe PCC Jeremy Randall Treasurer Date: 20 March 2023 INDEPENDENT EXAMINERE REPORTTO THE TRUSTEES OF THE PCC OF ST PAULE H¢Y•YELL HILL I report lo Ihe Trustees on my examinalion of the acC￿ntS ofThe PCC of St Paufs Hrywell Hill (the charity). chawity number 1128212. for thè year èn¢Jed 31 Decemtw 2022. are set out on pages 9 to 11. Respèctivg fBsponslbllltl•s ol trusts•s and examiner The chariV$ trustees are responsible for the preparalk)n ofthe accounts in a¢cordance *Thth the Charibe Act 2011 1.the Acn. The charitys tNstees con3iderthat an audit is not requirnd for this year under sedion 144 of the Act and that an ￿dependent examination is needed. It is my respgnsibility to-. &xamine the accounts under secl•)n 145 ofthtr char￿e5 ACL to follow the appli(2b￿ Directions gNen by the Chatity Commission (under section 14515llbl of the Act, and 10 5tste whelher partfiojlar matters have come to nym attenlbjn. Basls of Independent examlnerfs statement examination wa5 **Income and endowments**
_Donations and legacies_
**2(a)**
_Other trading activities_
**2(b)**
_Investments_
**2(c)**
_Charitable activities_
**2(d)**
**Total operating income**
**Expenditure**
_Charitable activities_
**3**
**Total operating expenditure**
**Net operating expenditure**
**Net movement in funds**
Funds brought forward at
1 January
**Funds carried forward at**
**31 December**|**Unrestricted**
**Restricted**
**Funds**
**Funds**
**2022**
**2021**
**£**
**£**
**£**
**£**
620,747
9,326
630,073
634,657
13,483
-
13,483
19,297
964
41
1,005
1,632
**TOTAL FUNDS**| |---|---| ||635,194
9,367
644,560
655,586
54,066
74,496
128,562
140,357
**689,260**
**83,862**
**773,122**
**795,943**
728,198
116,461
844,659
859,267
**728,198**
**116,461**
**844,659**
**859,267**| ||**(38,937)**
**(32,599)**
**(71,537)**
**(63,324)**| ||**(38,937)**
**(32,599)**
**(71,537)**
**(63,324)**
311,767
735,783
1,047,550
1,110,874| ||**272,830**
**703,184**
**976,014**
**1,047,550**| 9 The Par18h of St Pauf8 Howell Hll BALANCE SHEET AT 31 DECEIIJBER 2022 2021 FIXED ASSErs T*WV'ble IIx8d assets 704.991 749,814 CURRENT ASs￿s Debtors 19.956 1%.733 87,IM)4 14.038 226.777 82,841 Cash atbank and ￿ h8ffl1 UA8IUTIES: amounts fallThJ due ¥￿thin ono JBar 32.670 25,920 NEf CURRENT ASSErs 271.023 297.736 9rn014 1.IM7.550 976.014 1.047.550 FUNDS 9.10 272,&30 703.184 311,767 735.783 Restiicted 976,014 Jeremy RarKlall. Tr&surer John W￿￿leY- Chalrof Finance The notes on Foge$ 12 to 20 Ic*m part of ￿tI￿nts 10 ## **The Parish of St Paul’s Howell Hill** ## **STATEMENT OF CASH FLOWS For the year ended 31 December 2022** |**Cashflows from operating activities**
**_Net cash provided by operating activities_**
**Cashflows from investing activities**
_Interest receivable_
_Investment in property,plant and equipment_
**_Net cash used in investing activities_**
**_Change in cash and cash equivalents in the reporting period_**
**Cash and cash equivalents at the beginning of the reporting**
**period**
**Cash and cash equivalents at the end of the reporting period**
**Classified on the Balance Sheet as:**
_Short term deposits_
_Cash at bank and in hand_
**Reconciliation of net (expenditure)/ income to net cash flow**
**from operating activities**
**_Net (expenditure)/ income for the reporting period (as per the_**
**_statement of financial activities)_**
**Adjustments for:**
_Depreciation_
_Interest receivable_
_(Increase)/ decrease in debtors_
_(Decrease)/ increase in creditors_
**_Net cash provided by operating activities_**|**2022**
**£**
(22,458)
1,005
(4,427)
(3,422)
**(25,881)**
309,618
**283,737**
196,733
87,004
**283,737**
(71,537)
49,250
(1,005)
(5,917)
6,750
**(22,458)**|**2021**
**£**
(11,644)
1,632
-| |---|---|---| |||1,632| |||**(10,012)**
319,630| |||**309,618**| |||226,777
82,841| |||**309,618**| |||(63,324)
58,768
(1,632)
(1,452)
(4,004)| |||**(11,644)**| 11 **The Parish of St Paul’s Howell Hill** **Notes to the Financial Statements (continued) For the year ended 31 December 2022** ## **1 ACCOUNTING POLICIES** The financial statements have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention. The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair view'. This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn. The financial statements are prepared in pounds sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest pound. The financial statements have been prepared on a going concern basis. The trustees do not consider there to be any material uncertainties about the Charity's ability to continue as a Going Concern. The charity meets the definition of a public benefit entity under FRS 102. ## **Funds** Unrestricted funds represent the funds of the PCC that are not subject to any restrictions regarding their use and are available for application on the general purposes of the PCC. These include funds designated for a particular purpose by the PCC. The purpose of any restricted fund is noted in the accounts. The financial statements include all transactions, assets and liabilities for which the PCC can be held responsible in law. They do not include the accounts of church groups that owe an affiliation to another body nor those that are informal gatherings of church members. ## **Incoming resources** ## _Voluntary income and capital sources_ -Collections are recognised when received by or on behalf of the PCC, except where specifically designated to a particular period by the donor. -Amounts receivable under Gift Aid are recognised only when received. -Income tax recoverable on Gift Aid donations is recognised when the donation is recognised. -Legacies to the PCC are accounted for as soon as the PCC is notified of its legal entitlement, the amount due is quantifiable and its ultimate receipt by the PCC is probable. ## _Other income_ Rental income from the letting of church premises is accounted for when the rental is due. ## _Income from investments_ Interest entitlements are accounted for as they accrue. ## _Government grants_ Government grants are recognised when the PCC is notified of entitlement, and all conditions have been satisfied. 12 **The Parish of St Paul’s Howell Hill** **Notes to the Financial Statements (continued) For the year ended 31 December 2022** ## **1 ACCOUNTING POLICIES (continued)** ## **Resources used** Expenditure is recognised when incurred. Expenditure which cannot be attributed directly to a charitable activity (support costs, which are mainly office staff and related costs) are apportioned on a time spent basis. ## _Grants_ Grants are accounted for when paid. ## _Activities directly relating to the work of the Church_ The Diocesan parish share is accounted for when payable. ## _Lease rentals_ Rentals payable under operating leases are charged against income on a straight line basis over the lease term. ## _Pension costs_ Contributions to pension schemes on behalf of staff members are accounted for when paid. ## **Fixed Assets** ## _Consecrated land and buildings and moveable church furnishings_ Consecrated and beneficial property is excluded from the accounts in accordance with s.10(2) of the Charities Act 2011. No value is placed on moveable church furnishings held by the churchwardens on special trust for the PCC and which require a faculty for disposal since the PCC considers this to be an inalienable property. All expenditure incurred during the year on consecrated or beneficed buildings and moveable church furnishings, whether maintenance or improvement, is written off. ## _Other land and buildings_ Other land and buildings held on behalf of the PCC for its own purpose is valued at cost. Depreciation is provided to write off the cost of buildings on a straight line basis over 50 years. ## _Other fixtures, fittings and office equipment_ Equipment used within the church premises is depreciated on a straight line basis over 4 years. Fixtures and furniture are depreciated over 10 years. ## **Current Assets** Amounts owing to the PCC at 31 December in respect of fees, rents or other income are shown as debtors less any provision for amounts that may prove uncollectible. Cash and cash equivalents include cash at banks and in hand and in short term deposits with a maturity date of three months or less. ## **Tax Status** As a charity, the PCC is exempt from paying Corporation Tax on its charitable activities. The charity is not registered for VAT and as such expenditure is shown inclusive of irrecoverable VAT. ## **Financial Instruments** Debtors and Creditors receivable or payable within one year of the reporting date are carried at their transaction price. 13 **The Parish of St Paul’s Howell Hill** ## **Notes to the Financial Statements (continued) For the year ended 31 December 2022** ## **2 INCOME FROM:** |**2**
**INCOME FROM:**|| |---|---| |2(a)
_Donations and legacies_
General giving and donations
Income tax recoverable on Gift Aid
Other giving and donations
Legacies
Y & W Fund
2(b)
_Other trading activities_
Rental income
Other income
Government Grant
2(c)
_Investments_
Bank interest
2(d)
_Charitable activities_
Little Fishes Fees
Courses, events and activities
St Barnabas
**TOTAL INCOME**|**Unrestricted**
**Restricted**
**TOTAL**
**Unrestricted**
**Restricted**
**TOTAL**
**Funds**
**Funds**
**2022**
**Funds**
**Funds**
**2021**
**£**
**£**
**£**
**£**
**£**
**£**
503,250
-
503,250
518,096
-
518,096
98,116
1,388
99,504
105,118
-
105,118
373
7,828
8,201
-
10,843
10,843
19,009
-
19,009
-
-
-
-
110
110
-
600
600
**620,747**
**9,326**
**630,073**
**623,214**
**11,443**
**634,657**
8,220
-
8,220
3,595
-
3,595
5,263
-
5,263
1,752
-
1,752
-
-
-
36,630
7,192
43,822
**13,483**
**-**
**13,483**
**19,297**
**-**
**49,169**
**964**
**41**
**1,005**
**1,632**
**-**
**1,632**
-
74,496
74,496
-
46,444
46,444
25,408
-
25,408
14,539
-
14,539
28,658
-
28,658
49,502
-
49,502
**54,066**
**74,496**
**128,562**
**86,721**
**53,636**
**110,485**| ||**689,260**
**83,862**
**773,122**
**730,864**
**65,079**
**795,943**| Included within Little Fishes fees is £41,309 (2021: £19,513) of government grant income in relation to nursery fees. 14 **The Parish of St Paul’s Howell Hill** **Notes to the Financial Statements (continued) For the year ended 31 December 2022** ## **3 EXPENDITURE ON:** |_Charitable Activities_
Grants made in furtherance of the PCC's objectives
Partners and other agencies
Ministry costs
Staff costs
Children and Youth work
Parish share
Other ministry costs
Events and activities
Church running costs
Heat, Light, Rates and Insurance
Cleaning and servicing
Maintenance, equipment and IT costs
Insurance
Hub running costs
Depreciation
Support costs
Staff costs
Rent
Telephone
Printing & Stationery
Professional costs
Independent Examinator's fee
Bank charges
Little Fishes costs
Staff costs
Other costs
Bank charges
Telephone
Insurance
Professional costs
Maintenance, equipment and IT costs
**TOTAL EXPENDITURE**|**Unrestricted**
**Restricted**
**TOTAL**
**Unrestricted**
**Restricted**
**TOTAL**
**Funds**
**Funds**
**2022**
**Funds**
**Funds**
**2021**
**£**
**£**
**£**
**£**
**£**
**£**
81,430
601
82,031
100,986
-
100,986
**_81,430_**
**_601_**
**_82,031_**
**_100,986_**
**_-_**
**100,986**
190,221
-
190,221
173,814
5,533
179,347
3,466
-
3,466
3,643
-
3,643
177,833
-
177,833
178,859
-
178,859
21,429
3,218
24,647
4,660
4,618
9,278
24,339
451
24,789
15,815
1,100
16,915
**_417,288_**
**_3,668_**
**_420,956_**
**_357,162_**
**_11,606_**
**368,768**
29,775
-
29,775
22,386
-
22,386
14,859
-
14,859
12,686
-
12,686
38,330
-
38,330
88,133
-
88,133
204
-
204
346
-
346
3,991
-
3,991
607
-
607
14,460
34,790
49,250
23,978
34,790
58,768
**_101,620_**
**_34,790_**
**136,410**
**_167,765_**
**_34,790_**
**182,926**
87,708
8,370
96,078
95,188
-
95,188
17,290
-
17,290
9,800
-
9,800
3,520
-
3,520
3,381
-
3,381
6,189
-
6,189
6,963
-
6,963
7,428
-
7,428
5,579
2,389
7,968
3,424
-
3,424
3,350
-
3,350
2,301
-
2,301
782
1,320
2,102
**_127,860_**
**_8,370_**
**_136,230_**
**_125,043_**
**_5,125_**
**_128,752_**
-
64,001
64,001
-
55,609
55,609
-
2,753
2,753
-
1,181
1,181
-
81
81
-
96
96
-
41
41
-
-
-
-
471
471
-
355.0
355
-
1,202
1,202
-
1,320.0
1,320
-
484
484
-
-
-
**_-_**
**_69,032_**
**_69,032_**
**_-_**
**_58,561_**
**_56,790_**| |---|---| ||**728,198**
**116,461**
**844,659**
**750,956**
**110,082**
**838,222**| 50% of support costs (£68,777 (2021: £65,084)) relate to Ministry costs and 50% (£68,777 (2021: £65,084)) relate to Church running costs. Included within support costs are governance costs of £3,424 (2021: £3,350). The Guildford Diocesan Board of Finance Limited (GDBF) The GDBF acts as custodian trustee in respect of the two properties beneficially owned by the PCC (see note 9 for details). The PCC paid parish share to the GDBF amounting to 177,833 (2021: £178,859). The parish share includes an amount in respect of the stipend of the vicar. 15 **The Parish of St Paul’s Howell Hill** **Notes to the Financial Statements (continued) For the year ended 31 December 2022** ## **4 STAFF COSTS** |||| |---|---|---| |**COSTS**
Salaries
Social security costs
Pension costs|**2022**
**£**
270,702
17,415
9,051
297,168|**2021**
**£**
237,427
16,244
8,682| |||262,353| The above staff costs do not include the stipend of the vicar. His stipend is paid by the Church Commissioners, and the church pays for this stipend through the parish share system. The Vicar is included in the staff numbers analysis below. During the year the PCC employed an average of 6 (2021: 8) staff members carrying out ministry roles and 5 (2021: 5) staff members carrying out administration roles 9 (2021: 12) members of staff were employed to run the Little Fishes pre-school. During the year no employees received emoluments of more than £60,000 (2021: none). Key management personnel of St Paul's comprises of the Vicar, the Senior Associate Vicar and the Church Manager. Total amounts paid to key management totalled £144,568 (2021: £140,594) Three PCC members, Rev Paul Dever (Senior Associate Vicar), Rev Sally Thomas (Associate Vicar) and Christopher White (Church Manager) are members of staff whose remuneration is paid by St Paul's. Rev Paul Dever’s salary is paid by the Diocese of Guildford, and the PCC reimburses the Diocese with the full cost thereof. Jenny Fisher was appointed to the role of Communications Lead in March 2022, and there was a period of overlap between her appointment until she stood down from PCC at the APCM in April 2022. Their total remuneration came to £107,609 in 2022 (£107,106 in 2021). No remuneration was received by any other trustee during the year and, in their capacity as trustees, no expenses were reimbursed to them (2021: nil). The PCC is very reliant on volunteers to carry out all its activities. However, it is not possible to place any monetary value on the contribution of volunteers. ## **5 FIXED ASSETS FOR USE BY THE PCC** |**ASSETS FOR USE BY THE PCC**
**GROSS BOOK VALUE**
At 1 January 2022
Additions
Disposals
At 31 December 2022
**DEPRECIATION**
At 1 January 2022
Charge for the year
Depreciation eliminated on disposal
At 31 December 2022
**NET BOOK VALUE**
At 31 December 2022
At 31 December 2021|**Property**
**£**
782,575
-
-
782,575
133,076
15,651
-
148,727
633,848
649,499|**Fixtures**
**£**
399,378
-
-
399,378
299,063
33,094
-
332,156
67,222
100,315|**Equipment**
**£**
100,306
4,427
-
104,733
100,306
505
-
100,811
3,922
-|**Total**
**£**
1,282,259
4,427
-| |---|---|---|---|---| |||||1,286,686| |||||532,445
49,251
-| |||||581,695| |||||| |||||704,991| |||||749,814| Property comprises 18 Nonsuch Walk and 19 Northey Avenue. 19 Northey Avenue was donated to the PCC by the St Paul's Howell Hill Charitable Trust during 2016. It has been included in the financial statements at market value at the date of transfer. ## **6 DEBTORS** |||||| |---|---|---|---|---| |**RS**
Income tax recoverable
Prepayments and other debtors
**SIS OF CASH AND SHORT TERM DEPOSITS**
General Fund account
Petty cash
Little Fishes|**2022**
**£**
76,198
100
10,705
87,004
**C**|**2021**
**£**
81,566
100
1,175
82,841
**ash**|**2022**
**£**
8,797
11,159
19,956
**2022**
**£**
192,814
3,919
196,733
**On Short Te**|**2021**
**£**
8,747
5,291| |||||14,038| |||||**2021**
**£**
218,808
-
7,969
**rm Deposit**| |||||226,777| ## **7 ANALYSIS OF CASH AND SHORT TERM DEPOSITS** - **8 LIABILITIES: AMOUNTS FALLING DUE WITHIN ONE YEAR** Other creditors and accruals |**2022**
**£**
32,670
32,670|**2021**
**£**
25,920| |---|---| ||25,920| 16 ## **The Parish of St Paul’s Howell Hill** ## **Notes to the Financial Statements (continued) For the year ended 31 December 2022** ## **9 FUND DETAILS** ## **UNRESTRICTED FUNDS** |Balance at 1 January 2021
Surplus/(Deficit) for the year
Transfer between funds
Balance at 31 December 2021
Balance at 1 January 2022
Surplus/(Deficit) for the year
Transfer between funds
Balance at 31 December 2022|**General**
**St Barnabas**
**St Barnabas Gifts**
**Repairs**
**Strategic**
**Total**
**Fund**
**Gifts**
**for Assets**
**and maintenance**
**Development**
**Fund**
**Fund**
**£**
**£**
**£**
**£**
**£**
**£**
193,739
-
-
60,781
77,338
331,858
(4,612)
31,279
-
(26,038)
(20,720)
(20,091)
(5,000)
-
-
5,000
-
-| |---|---| ||184,127
31,279
-
39,743
56,618
311,767| ||184,127
31,279
-
39,743
56,618
311,767
(19,692)
(6,524)
(221)
(12,500)
(38,937)
(4,205)
4,205
-| ||164,435
20,550
3,984
39,743
44,118
272,830| ## **RESTRICTED FUNDS** |**RESTRICTED FUNDS**|| |---|---| |Balance at 1 January 2021
Surplus/(Deficit) for the year
Balance at 31 December 2021
Balance at 1 January 2022
(Deficit)/ surplus for the year
Balance at 31 December 2022|**Property**
**Social**
**Jubilee**
**Little Fishes**
**Y & W**
**Other**
**Total**
**Fund**
**Fund**
**Fund**
**Fund**
**Funds**
**£**
**£**
**£**
**£**
**£**
**£**
**£**
665,150
1,205
57,412
13,877
38,994
2,377
779,015
(15,651)
(450)
(19,139)
(4,925)
(4,933)
1,866
(43,232)| ||649,499
755
38,273
8,952
34,061
4,243
735,783| ||649,499
755
38,273
8,952
34,061
4,243
735,783
(15,651)
(718)
(19,139)
5,504
(9,735)
7,139
(32,599)| ||633,848
37
19,134
14,456
24,326
11,382
703,184| 17 **The Parish of St Paul’s Howell Hill** **Notes to the Financial Statements (continued) For the year ended 31 December 2022** ## **9 FUND DETAILS (continued)** ## **Designated Funds** ## _**General Fund**_ This fund represents amounts given but as yet unspent, which will be used to provide working capital and to finance future activities of the church. ## _**St Barnabas Gifts**_ This fund shows designated gifts received in 2021, which the donor wished to be used to develop our partnership with and mission at St Barnabas. The donor did not place any restrictions upon how this money should be spent. Further expenditure and commitments have been made in 2023. ## _**Repairs and Maintenance Fund**_ This fund represents amounts set aside for future repairs and maintenance. ## _**Strategic Development Fund**_ This fund was created from a legacy and was used to meet the cost of fixed assets in the church premises. The transactions in 2022 represent the depreciation charged against those assets. ## **Restricted Funds** ## _**Support for Partners and other agencies**_ This fund reflects giving by members of the congregation to support partners and other agencies. ## _**Property Fund**_ The property fund reflects the amounts given and spent upon the acquisition of the two staff houses, 19 Northey Avenue and 15 Nonsuch Walk, which were purchased from specific donations made by church members. ## _**Social Fund**_ This represents amounts given to support the poor and needy. ## _**St Paul's Jubilee Fund**_ This represents money given to upgrade the fabric and equipment of the church. ## _**Little Fishes Fund**_ This represents the cumulative funds relating to the running of the Little Fishes Pre-School. ## _**Y & W Fund**_ This fund represents money given in 2018 to expand the Church’s Youth and Worship activities. Expenditure in 2022 represents the cost of the additional costs in relation to the additional staffing in this area of activity. ## _**Other Funds**_ This represents restricted donations received in support of other activities and projects. 18 **The Parish of St Paul’s Howell Hill** **Notes to the Financial Statements (continued) For the year ended 31 December 2022** ## **10 ANALYSIS OF NET ASSETS BY FUND** |Tangible fixed assets
Debtors
Short term deposits
Cash at bank and in hand
Creditors: amounts due in less than one year
**Fund balance**
**11 COMMITMENTS**
The PCC was committed to total payments under operating leases as follows:
Expiring in less than 1 year
Expiring in 2-3 years
During the year £2,388 (2021:£2,388) was incurred in relation to these leases.
**12 GRANTS AND DONATIONS**
**Partners**
David & Georgina Gray (Wycliffe Bible Translators)
Keith & Rosie Ketchum (Mission Aviation Fellowship)
Pat Blanchard (CMS)
**Organisations**
Open Doors
Hope4Malawi
Christians in Sport
Prison Fellowship
Stand by Me
Kairos Partnership
Operation Mobalisation
Tear Fund
St Barnabas Trust
**Local mission**
Sutton Community Works
Sutton Schools' Christian Workers Trust
Grant from designated gift to St Barnabas to reimburse costs
CAP centre
Persecuted Church - CSW
Hub Hosts
Training and materials for Missional Communities
Other mission payments from Covid savings
Spinnaker Epsom Schools
The Bishop of Guildford's Communities Fund (BGCF)
**Short Term Missions**
Stepping Out
**TOTAL**|**Unrestricted**
**£**
52,009
19,956
146,531
87,004
(32,670)
272,830
global
global
global
global
global
national
national
national
global
national
global
global
local
local
local
local
local
local
local
local
local
local
national|**Restricted**
**£**
652,982
-
50,202
-
-
703,184|**Total**
**2022**
**£**
704,991
19,956
196,733
87,004
(32,670)
976,014
**2022**
**Property**
**£**
-
-
-
**Grants and**
**donations**
**Unrestricted**
**£**
13,820
18,300
4,200
-
5,600
3,750
5,000
-
360
3,600
1,800
2,400
6,500
3,500
-
6,600
5,000
-
-
-
1,000
-
-
81,430|**Unrestricted**
**£**
62,042
14,038
178,766
82,841
(25,920)
311,767
**2022**
**Equipment**
**£**
2,388
-
2,388
**Grants and**
**donations**
**Restricted**
**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
601
-
601|**Restricted**
**£**
687,772
-
48,011
-
-
735,783
**2021**
**Property**
**£**
-
-
-
**2022**
**£**
13,820
18,300
4,200
-
5,600
3,750
5,000
-
360
3,600
1,800
2,400
6,500
3,500
-
6,600
5,000
-
-
-
1,000
601
-
82,031|**Total**
**2021**
**£**
749,814
14,038
226,777
82,841
-25,920| |---|---|---|---|---|---|---| |||||||1,047,550| |||||||**2021**
**Equipment**
**£**
1,813
2,720| |||||||4,533| |||||||**2021**
**£**
13,820
18,300
12,600
6,100
5,840
3,750
5,000
-
480
-
-
-
6,500
3,500
2,971
21,416
-
11,819
519
7,000
-
-
1,000| |||||||120,615| All grants and donations in 2022 were paid from unrestricted funds. All grants and donations are paid to the relevant institution. No grants are paid to individuals. 19 **The Parish of St Paul’s Howell Hill** **Notes to the Financial Statements (continued) For the year ended 31 December 2022** ## **13 RELATED PARTY TRANSACTIONS** The following trustees or key management personnel (KPM) were directors or members of related entities or were connected to people or organisations in receipt of payments from St Paul's: |**Trustee or KMP**|**Related Party Transactions**| |---|---| |MarkGoodman|Mark is a trustee of hope4malawitowhichStPaul'smade a grant of£5,600| |Elizabeth Stockwell|James Stockwell (husband) is employed by Elmbrook Computing, the IT supplier of St
Paul's| |Jeremy Randall|James Stockwell (son in law) is employed by Elmbrook Computing, the IT supplier of St
Paul's| |Samuel Neil|AmandaNeil(wife)is anemployee ofStPaul's| |Jenny Fisher|Jenny Fisher was a trustee until April 2022 and an employee of St Paul's since March
2022| |Ben McKie|SebMcKie (brother)was anemployee ofStPaul's until August2022| |Neil Thomas|Sally Thomas (wife) is an employee of St Paul's as clergy, as the Associate Vicar| |Jonathan Eames|AliciaEames (daughter)is anemployee ofStPaul's| |Chris White|Chris White is an employee of St Paul's, the Church Manager, and is a member of the
PCC at therequest ofthePCC| |Sally Thomas|Sally Thomas in an employee of St Paul's, the Associate Vicar, and is a member of the
PCC as clergy| |Julie O’Brien|Regional manager of CAP, - St Paul’s funds the cost of the local CAP Centre in
Epsom, at a cost of £6,600 in donations to CAP and £830.59 in running costs and gifts
to CAPclients| |Ian Ayres|Ian is a trustee of Sutton Community Works, to which St Paul’s paid a grant of £6,500| 20