**ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023** **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY DIOCESE OF LONDON** Church of England ## **Charity Registration Number: 1128923** Independent Examiners Ltd Unit 2 Broadbridge Business Centre Delling Lane Bosham PO18 8NF ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY DIOCESE OF LONDON** ## **CONTENTS** |Page 3|Legal and Administrative Information| |---|---| |Page 4|Independent Examiner's Report to the PCC Members| |Pages 5 to 13|Trustees Annual Report| |Page 14|Statement of Financial Activities| |Page 15|Balance Sheet| |Pages 16 to 24|Notes to the Financial Statements| 2 **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **LEGAL AND ADMINISTRATIVE INFORMATION** |**DIOCESE NAME**|Diocese of London|| |---|---|---| |**PAROCHIAL NAME**|St. Luke’s West Holloway|| |**MEMBERS OF THE CHURCH**||| |**Ex Officio Members**|The Reverend John MacKenzie (until 24 September 2023)|Incumbent| ||The Reverend Martin Wroe|Associate Priest| |**Church Wardens**|Jacqueline Christian|| ||Joy Hinson|| |**Treasurer**|Dan Northam Jones (from 12 July 2023)|| ||Mike Dark (until 12 July 2023)|| |**Deanery Synod Reps**|Liz Curran|| ||Mike Dark (until 21 May 2023)|| ||Susie Holland (from 21 May 2023)|| ||Jonathan Ward (from 21 May 2023)|| |**Elected Members**|Julius Ajeigbe|| ||Dayo Ashaye (until 21 May 2023)|| ||Dan Brearley (from 21 May 2023)|| ||Bernadette Cagnoni (PCC Secretary)|| ||Adam Hardy|| ||Ceri Humm (Lay Chair from 12 July 2023)|| ||Daniel Northam Jones|| ||Rhian Roberts (from 21 May 2023)|| ||Rosemary Sheldon|| ||Tom Turner (until 21 May 2023)|| ||Jonathan Ward (until 21 May 2023)|| ||Tara Willson (from 21 May 2023)|| |**Co-opted Members**|Rhian Roberts – Chair of Worship Group (until 26 April 2023)|| |**CHARITY STATUS**|The PCC registered with the Charity Commission on 1st April|2009| |**CHARITY NUMBER**|1128923|| |**GOVERNING DOCUMENT**|Parochial Church Council Powers Measure (1956) as amended and Church|| ||Representation Rules|| |**REGISTERED ADDRESS**|St Luke's Vicarage|| ||Penn Road|| ||London|| ||N7 9RE|| |**PRIMARY BANKERS**|NatWest Bank Plc|| ||490 Holloway Road|| ||London|| ||N7 6HN|| |**INDEPENDENT EXAMINER**|Independent Examiners Ltd|| ||Unit 2 Broadbridge Business Centre|| ||Delling Lane|| ||Bosham|| ||PO18 8NF|| 3 ## **INDEPENDENT EXAMINER'S REPORT ON THE ACCOUNTS** This report on the financial statements for the PCC of the Ecclesiastical Parish of St Luke's West Holloway for the year ended 31 December 2023, which are set out on the following pages, is in respect of an examination carried out in accordance with the Church Accounting Regulations 2006 ('the regulations') and s.145 of the Charities Act 2011 ('The Act'). ## **Respective Responsibilities of the PCC and the Examiner** As the members of the PCC you are responsible for the preparation of the financial statements; you consider that the audit requirement of Regulations and section 144(2) of the Charities Act 2011 (the Act) does not apply. It is my responsibility to issue this report on those financial statements accounts in accordance with the terms of the Regulations. ## **Basis of Independent Examiner's Report** My examination was carried out in accordance with the General Directions given by the Charity Commission under section 145 (5)(b) of the Act and to be found in the Church Guidance, 2006 edition, issued from the Finance Division of the Archbishops' Council. That examination includes a review of the accounting records kept by the PCC and a comparison of the accounts with those records. It also includes considering any unusual items or disclosures in the accounts and seeking explanations from you as 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 the report is limited to those matters set out in the statement below. ## **Independent Examiner's Statement** The charity's gross income exceeded £250,000 and I am qualified to undertake the examination by being a Fellow Member of the Association of Charity Independent Examiners. In connection with my examination, no material matters have come to my attention: 1) which gives me reasonable cause to believe that in any material respect: - ●the accounting records were not kept in accordance with s.130 of the Charities Act; or - ●the accounts did not accord with the accounting records; or - the accounts did not comply with the applicable requirements concerning the form and content of accounts as set out in the Charities (Accounts and Reports) Regulations 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. 2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached. Independent Examiners Ltd Unit 2 Broadbridge Business Centre Delling Lane Bosham J Irvinesmith FCIE PO18 8NF Dated: 29th April 2024 4 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **ANNUAL REPORT** ## **Trustees Report** ## **Aims and Purposes** St Luke’s West Holloway Parochial Church Council (PCC) has the responsibility of co-operating with the incumbent, being the Reverend John MacKenzie until 24 September 2023, in promoting in the ecclesiastical parish, the whole mission of the church. Since September 2023, we have been in a vacancy, and the Associate Priest the Reverend Martin Wroe and the Reverend Peter Farley-Moore, Archdeacon of Hackney, have provided guidance and support to the Wardens and the PCC in the delivery of the mission. The PCC is specifically responsible for the maintenance of the Church of St. Luke’s West Holloway, Hillmarton Road, London N7. ## **Objectives and Activities** The PCC is committed to enabling as many people as possible to worship at our church and to become part of the parish community at St. Luke’s. The PCC maintains an overview of worship throughout the parish and makes suggestions on how our services can involve the many groups that live within our parish. Our services and worship put faith into practice through prayer and scripture, music, art and sacrament. During 2023 the PCC has continued to pursue these objectives from the Mission Action Plan: 1. Reaching out to those feeling lonely and isolated 2. Running activities to promote good health and well being 3. Extending our work with children and young people 4. Ensure that every aspect of our common life is considered through an environmental and sustainability lens. When planning our activities for the year, we have considered the Charity Commission’s public benefit guidance. In particular, we try to enable ordinary people to live out their faith as part of our parish community through: - Worship and prayer - Provision of pastoral care for people living in the parish - Outreach work, engaging with people in our local community. To facilitate this work it is important that we maintain the fabric of the Church of St. Luke. ## **Achievements and Performance** ## _The building_ St Luke’s church was consecrated in February 1860 so it is now 164 years old. It needs constant care and attention to keep it safe and fit for purpose. This year we have done a lot of building and repair work both to maintain the fabric of the church and to reduce our carbon 5 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **ANNUAL REPORT** footprint in line with our objectives. Some of this work has been long planned and other work has been responsive as issues have emerged. At the start of the year a leak in the roof of the small hall damaged both the floor and the ceiling. So we needed to replace the floor and repair the ceiling. Two other smaller roof repair projects were also completed during 2023. In July 2023 we started work on the installation of an air source heat pump to replace the gas boiler. This will deliver a reduction of around 80% in the carbon emissions related to heating the church. The work was largely completed by November and we were able to enjoy the benefits of a warm church. In September 2023 we finally began work on the replacement of the roof over the South aisle, identified by the most recent quinquennial survey and frequent leaks. We are also taking this opportunity to install solar panels on this roof which will deliver further carbon footprint reductions and energy cost savings. With the new roof and eco friendly sheep’s wool insulation now installed we are very pleased to have a dry church with no need for buckets to be laid out to catch the drips when it rains heavily. The works will complete during 2024. ## _Worship and prayer_ The PCC is keen to offer a range of services during the week and over the course of the year that our community find both beneficial and spiritually fulfilling. Until September we offered two services every Sunday morning: an early communion and a family service which usually included communion. During the vacancy we have continued to provide one main Sunday service including communion on every Sunday except the first Sunday of each month. We now have an Iona style service, providing a quiet, intimate and reflective environment for worship on that first Sunday. Younger people also have the opportunity for spiritual exploration such as that provided by Soul Food which meets fortnightly for a shared meal and reflection. This year we offered two Lent courses: one in person and one by zoom featuring speakers from within the church family and visitors. On 14 May 2023, Rogation Sunday, we carried out a prayer walk around the parish boundaries, praying for our local community. In April 2023 our Director of Music began to provide music and a small choir for a monthly service at HM Prison Pentonville, working with the chaplaincy there. The Reverend Prebendary Jane Hodges, prison chaplain, visited St Luke’s to talk about her work with the prison and help us understand the needs of both inmates and those who are newly-released. We regularly pray for the environment and talk about the impact of climate chaos on God’s creation. On 23 April 2023 a team from St Luke’s took part in “The Big One” a march in central London for climate justice. We led a Sunday service in Parliament Square as part of the campaign. 6 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **ANNUAL REPORT** On 5 November, the Sunday closest to All Soul’s day, we held our regular service of remembrance for all those who have died in the previous year. We invite all those who have attended a funeral at St Luke’s in the previous year and welcome back many who come to remember their loved ones every year. At Christmas we held an all-age Nativity service as well as a Christmas Eve service which was led by our young people. Our regular Sunday school did not take place during the latter part of 2023 due to the significant drop in numbers of school-age children attending church. The average weekly attendance, counted during October 2023, was 53, with increased attendance at festivals. As well as our regular services, we enable our community to celebrate and thank God at the milestones of the journey through life. Through baptism we thank God for the gift of life, in marriage public vows are exchanged with God’s blessing and through funeral services friends and family express their grief and give thanks for the life which is now complete in this world and to commend the person into God's keeping. In 2023 we celebrated five baptisms and three weddings and we did not hold any funerals in our church this year. ## _Engagement with the local community_ We have had an active year of engagement with the local community with the aim of addressing loneliness and isolation as well as promoting health and wellbeing. Our regular community activities include: - Vox Holloway Community Choir which meets in the church every week and performs three concerts a year - Yoga classes on Monday and Thursday which bring in people of all ages and abilities from the local community. - Five rhythms: community dance classes every week - Gardening club: on the first Saturday of each month the gardeners of St Luke’s welcome people from the local community to help keep the church garden tidy and looking beautiful. There is fellowship, coffee and cake - Food bank: we run a collection point for the local food bank. In August 2023 we started a regular monthly Community Lunch project on the last Sunday of each month, after the 11am morning service. We offer healthy freshly cooked food, with vegetarian and vegan options. The event is widely advertised in local community centres and libraries. We promise ‘No preaching, no praying and no paying’. One of our local ward councillors comes every month and holds an informal surgery after lunch. We have between 50 and 70 people attending each lunch, about half of whom are from outside our congregation. 7 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **ANNUAL REPORT** In February 2023 we hosted a ‘Cake, Do and Mend’ event in collaboration with the local Green Party. About 50 local people came along for an afternoon to eat cake and learn how to do simple repairs to clothes and household goods. In July 2023 we hosted two Death Café events, in collaboration with Gentle Dusk. The events were an opportunity for local people to come and explore their ideas about death and dying in a safe space. About 30 people attended in total. In October 2023 we held a Community Eco Fair: a whole-day event celebrating living an environmentally-friendly life. We offered a one pound lunch and served around 300 people. There were second-hand stalls, tips on water saving, a bicycle repair shop and many other attractions. Most of the people who attended said that they had never been inside the church before. Several are now regulars at the Community lunch and some have started attending occasional services. ## _Focus for the coming year_ The PCC is working with the Diocese to search for an interim priest to work with us over the next three years. We hope to make an appointment during the year. One priority in the Mission Action Plan where we have not made progress is the area of children’s work. The number of school-age children regularly attending services has decreased significantly since the pandemic and now the weekly Sunday school has stopped. During 2024 we will address this issue. We do now have a number of pre-school children in the congregation each week and this will be the focus of new activities. In October 2023 the PCC commissioned a group from the congregation to undertake a piece of work using the Participatory Appraisal approach to identify the local needs which the church community might address. This group will report in the spring and inform plans for future work. ## _Deanery Synod_ Three members of the PCC sit on the Deanery Synod. One of our parish representatives has taken on the role of lay chair of the Deanery Synod and is now a member of the Stepney Area Council and Finance Group. Having representatives on these groups enables good practice to be shared and provides the PCC with an important link with the wider structures of the Church of England. 8 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **ANNUAL REPORT** ## **Financial Review** ## _Highlights_ During the year to 31 December 2023 income exceeded expenditure by £6,055 causing a net increase in funds of £6,055. This compares to a reduction in funds of £27,224 in 2022 and it breaks the two year run of deficits which started in 2021. Total income for the year was £392,712 being 68% higher than last year (£233,274 in 2022) and total expenditure for the year was £386,657 being 48% higher than last year (£260,498 in 2022). The reason for the large increases in income and expenditure in 2023 compared to 2022 is the “Go Green” major works projects mentioned above that we have undertaken this year. These include installation of an air source heat pump, essential repairs to the South aisle roof along with installation of solar panels on the roof. The works will complete during the first half of 2024. The majority of the costs and income relating to these projects are shown within the restricted funds column on the Statement of Financial Activities and notes 2 and 3. Grants from Cloudesley of £113,050 and the Diocese of London of £10,000 together with a Go Green congregational appeal which raised £21,265 in February 2023 were all restricted for the sole purpose of funding these major works. An equal amount of expenditure from the Go Green projects has been matched to this income. The unrestricted funds column includes the ordinary activities of the church. Income is £245,895 and expenditure is £222,521 showing net positive income of £23,374 before transfers between funds. It also includes some unrestricted income and costs relating to the Go Green projects. There is £27,626 of income from the Government’s Listed Places of Worship Scheme which enables listed churches, such as St Luke’s, to reclaim VAT paid on certain types of repair costs. Plus £35,210 of other, mainly VAT, related to the major building works. ## _Income_ Donations from the congregation continued their downward trend totalling £54,778 (£70,917 in 2022) . It is crucial that we reverse the trend in the decline of regular giving during 2024 in order that we are able meet our budget and can continue to cover the costs of all our day to day activities and keep the church building safe and open for worship. Lettings income from the church and church hall along with the regular lease income from St Francis have continued to provide a significant contribution to the church totalling £158,455 (£145,780 in 2022). We welcome a variety of regular and one off hirers and groups to the space for a wide range of artistic, community and social activities. 9 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **ANNUAL REPORT** ## _Expenditure_ Note 3 to the financial statements provides a line by line breakdown of expenditure in the year £386,657 (£260,498 in 2022) along with comparisons to the prior year 2022. As noted above the main reason for variances here is due to the Go Green major works, other costs have remained relatively stable. We are pleased to have been able to continue to meet our full common fund commitments of £87,775 to the Diocese of London. This payment covers stipendiary clergy costs and accommodation as well as making a contribution towards important Diocesan central support services such as safeguarding. St Luke’s donated grants totalling £6,117 (£8,743 in 2022) to projects and charities during the year both within the UK and overseas. This is in line with the policy of the PCC over many years to aim to give approximately 10% of our congregational donations in grants to charitable causes whose work aligns with our objectives. ## _Funds, reserves and going concern_ Restricted funds can only be spent on the projects for which the funds have been given. At 31 December 2023 restricted funds stood at £4,808 (£10,205 at 31 December 2022); unrestricted funds, also known as general reserves, had increased to £98,482 compared to £87,030 in 2023. Designated funds are designated by the PCC for particular purposes. £2,502 of income raised and donated during the year, whilst not being restricted, was identified as being in support of the Go Green Major works projects. All of this income was therefore allocated towards the cost of those works during the year. At the end of the year designated funds were zero. St Luke’s PCC has a policy of maintaining a minimum of £55,000 in unrestricted funds (general reserves) as a contingency against unexpected risks and to maintain adequate cashflow to operate. This figure represents around three months of unrestricted expenditure at 2023 levels. At 31 December 2023 St Luke’s general reserves were in excess of this figure. After making appropriate enquiries, the PCC have a reasonable expectation that St Luke's has adequate resources to continue in operational existence for the foreseeable future, and in particular for at least 12 months from the date of the approval of these accounts. For this reason, they adopt the going concern basis in preparing the financial statements. ## _Funders_ As an Islington church we benefit from the generosity and support of Cloudesley, a charity which provides support to churches in Islington for building maintenance. We are particularly grateful this year and acknowledge the very significant financial support given in the form of grants totalling £113,050 (£6,714 in 2022). These have made our Go Green major works 10 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **ANNUAL REPORT** sustainability improvements possible, as well as providing funding for some emergency roof works. We are very grateful to the Diocese of London for the £10,000 grant and the £10,000 loan which they have provided towards the costs of installing the air source heat pump. We also acknowledge and thank all the individuals who donated to the 2023 Go Green Appeal which raised £21,265 and gave us confidence to sign contracts and commit to getting these long planned for projects on site. ## _Financial forward look_ We have been monitoring the funding and costs for the Go Green projects carefully throughout the year and at the start, thanks to the 2023 Go Green Appeal we had all the funding in place. Despite budgeting for contingencies, due to rising costs and some unforeseen additional roof and stonework repairs, the total forecast costs now show a shortfall to income of around £20,000. This deficit will hit the 2024 accounts and we need to find ways to address this gap via both targeted fundraising and increases in regular planned giving. We have seen an encouraging upturn in attendance and some increase in congregational donations towards the end of 2023, reversing the previous trend. We are grateful for everyone’s financial support during the year, without which we could not deliver the day to day running and work of the church. We hope this trend will continue during 2024 and that new members will want to show their commitment in a financial form so we can continue to deliver the mission and activities of St Luke’s. As part of a strategy of improving financial governance, members of the PCC gave a presentation about the church finances at the 2023 APCM. We will continue to be transparent about the financial matters relating to the church during 2024 as a way of encouraging engagement and giving. ## **Structure governance and management** The PCC is responsible for the strategy of the church as well as overseeing the delivery of the mission action plan and the day to day activities of the church. The PCC members are listed on page 3 of this report and membership and elections are governed by the current Church Representation Rules. Based on the size of the electoral role St Luke’s has nine elected members along with three PCC representatives on the Islington Deanery Synod. The two elected church wardens and clergy are also members of PCC. Safeguarding is high priority for the PCC and it is integral to delivering the activities of the church in a safe manner. Safeguarding is a standing item on every PCC agenda and the parish safeguarding officer attends PCC meetings. All PCC members and other relevant volunteers 11 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **ANNUAL REPORT** undertake Diocesan safeguarding training as part of their role so they are aware of risks and know how to respond if a situation arises. PCC meets approximately every two months and they met 6 times during 2023. All meetings were in held person. PCC is supported by the Standing Committee; Finance Group; Building Group; Community Group and other ad hoc working groups. The Standing Committee meets between PCC meetings to agree the agenda and progress any urgent operational matters under delegated authority from the PCC. The Finance Group, Building Group and Community Groups support PCC by their work and scrutiny of finance, building and community matters. They report on progress towards key objectives and make recommendations for approval by the PCC. These groups include a mixture of PCC and independent members. PCC approved a comprehensive set of written Finance Procedures during the year as part of its commitment to improving financial governance and documenting internal controls and expectations. ## **Staff and volunteers** The church now employs three members of staff and these report into PCC via one of the churchwardens. We acknowledge and thank them for their work in administration, lettings and facilities and curating the music and leading the choir for our worship. The majority of activities and work however are delivered by the many volunteers from the church community who make everything else at St Luke’s happen, much of it unseen and behind the scenes. We are very grateful for everyone who helps out in any way. This faithful community of volunteers helps St Luke’s to survive and thrive. Amongst other things our volunteers: prepare and lead services, give talks, say prayers; keep our building and gardens safe and well maintained; keep the finances on track; wash the tea towels; serve coffee and tea and prepare community lunches; welcome people, look out for those needing a chat or a lift to church; ensure our safeguarding is adequate; decorate the church at Christmas; sing in the choir; support our children and young people; put on events and fundraising activities that build community and spread hope, love and joy. They serve as wardens and on the PCC, on groups and so much more. The list is long and we appreciate all that every single volunteer does for St Luke’s and especially the extra work that people have taken on in recent months during the vacancy to keep everything going. Thank you very much. 12 ## ## ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2023** |**Notes**
**INCOME FROM:**
Donations and Legacies
**2a**
Income from Trading Activities
**2b**
Income from Investments
**2c**
Income from Charitable Activities
**2d**
Other Income
**2e**
**TOTAL INCOME**
**EXPENDITURE**
Cost of Charitable Activities
**3a**
Raising Funds
**3b**
**TOTAL EXPENDITURE**
**NET INCOME/(EXPENDITURE)**
Transfer Between Funds
**10**
**NET MOVEMENT IN FUNDS**
**RECONCILIATION OF FUNDS:**
Balances Brought Forward
**BALANCES CARRIED FORWARD**|Unrestricted Designated
Restricted
**TOTAL**
**TOTAL**
Funds
Funds
Funds
**2023**
**2022**
£
£
£
**£**
£
82,404
313
144,315
**227,032**
82,431
159,011
2,189
-
**161,200**
145,780
1,352
-
-
**1,352**
148
2,834
-
-
**2,834**
4,300
294
-
-
**294**
615
**245,895**
**2,502**
**144,315**
**392,712**
**233,274**
222,353
2,502
161,634
**386,489**
211,737
168
-
-
**168**
48,761
**222,521**
**2,502**
**161,634**
**386,657**
**260,498**
**23,374**
**-**
**(17,319)**
**6,055**
**(27,224)**
(11,922)
-
11,922
**-**
-
11,452
-
(5,397)
**6,055**
(27,224)
87,030
-
10,205
**97,235**
124,459
**98,482**
**-**
**4,808**
**103,290**
**97,235**| |---|---| Movements on all reserves and all recognised gains and losses are shown above. All of the PCC's operations are classed as continuing. The notes on pages 16 to 24 form part of these financial statements. 14 ## ## |||Unrestricted|Restricted|**31-Dec-23**|**31-Dec-22**| |---|---|---|---|---|---| |||Funds|Funds|**Total**|**Total**| |**FixedAssets**|**Note**|£|£|£|£| |Tangible Assets|**4**||1,180|**1L180**|| ||||**1L180**|**1L180**|| |**CurrentAssets**|||||| |Cashatbank and in hand
Debtors and Prepayments
**TotalCurrentAssets**|**5**
**-6**|110,685
9,628
**120L313**|(30,264)
37,446
**7L182**|**80,421**
**47L074**
**121i49s**|71,418
67,816
**139L234**| ||||||I| |**Creditors:**Due Within One Year|**7**|(16,381)|(3,554)|**(19,935)**|(41,999)| |**NETCURRENT ASSETS**||103,932|4,808|**108,740**|97,235| |**TOTAL ASSETS**lesscurrentliabilities||**103,932**|**4,808**|**108,740**|**97,235**| |**Creditors:**DueinMore than
One Year|**8**|(5,450)||**(5,450)**|| |**NETASSETS**||**98,482**|**4,808**|**103,290**|**97,235**| |**FundsoftheCharity**|||||| |Unrestricted Funds
Designated Funds|**9**|98,482||**98,482**|. 87,030| |Restricted Funds|**10**||4,808|**4,808**|10,205| |||**98[482**|**4[808**|**103[290**|**97[235**| ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023** ## **1. ACCOUNTING POLICIES** ## **a) Basis of Preparation of Financial Statements and Assessment of Going Concern** The accounts are prepared under the historical cost convention, in accordance with the Church Accounting Regulations 2006 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to Charities preparing their accounts in accordance with FRS 102 (effective 1 January 2019) - (Charities SORP (FRS 102)) and the Charities Act 2011. The primary objective of the charity is promoting in the Ecclesiastical parish the mission of the church. The charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes. There are no material uncertainties about the charity’s ability to continue as a going concern. The church is registered with the Charity Commission under number 1128923. The Trustees are the members of the PCC named on page 3. ## **b) Funds** PCC funds are required to be analysed under specific headings, as follows. **General funds** represent the funds of the PCC that are not subject to any restriction regarding their use and are available for application for the general purposes of the PCC. **Designated funds** are earmarked by the PCC for purposes but are nevertheless still unrestricted as the PCC can reassign the funds if it wishes. **Restricted funds** are funds collected or donated for a purpose and cannot be used by the PCC for any other purpose except by agreement with the donor. Details of the funds held and restrictions are provided in note 10. The funds of the PCC have been appropriately analysed, and the statement of financial activities has been prepared in accordance with this analysis. ## **c) Accounting Requirements** The financial statements include all transactions, assets and liabilities for which the PCC is responsible in law. They do not include the financial statements of church groups that owe their main affiliation to another body, nor those that are informal gatherings of church members. ## **d) Income** ## i) **Voluntary Income and capital sources:** Collections are recognised when received by or on behalf of the PCC. Planned giving receivable under covenant is recognised only when received. Tax recoverable on Gift Aid donations is recognised when the donation is recognised. Grants and 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 reasonably certain. ## ii) **Other income** Rental income from the letting of church premises is recognised when the rental is due. ## iii) **Income from Investments** Dividends are accounted for when due and payable, and interest entitlements are accounted for as they accrue. Tax recoverable on such income is recognised in the same accounting year. 16 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **e) Application of Resources** (i) Grants and outward giving are accounted for in the SOFA when paid, unless an obligation, whether constructive or legal, exists to the recipient in accordance with the Charities SORP and FRS102. (ii) The diocesan parish share "common fund" is accounted for when due. Any parish share unpaid at 31 December is provided for in these financial statements as an operational, though not a legal liability and is shown as a creditor in the balance sheet. ## **f) Fixed Assets** (i) Consecrated land and buildings and moveable church furnishings - Consecrated and beneficed property, is excluded from the accounts by S10(2)(a and c) of the Charities Act 2011. All expenditure incurred on consecrated or benefice buildings whether maintenance or improvement is expensed within the Statement of Financial Activities. ## (ii) **Other fixtures, fittings and office furniture** - Until 31 December 2022 all expenditure was expensed. However since 1 January 2023 the cost of any moveable church contents, furniture, fittings, office and other equipment, has been capitalised at cost value if the item can be used for more than one year and costs more than £1,000. Depreciation is applied on a straight line basis over the effective useful life of the asset on a monthly basis as follows: - Fixtures and fittings at 10% per year - Computers, office, audio visual and other electrical equipment at 25% per year ## **g) Current Assets** Amounts owing to the PCC at the year end in respect of tax reclaims and other income are shown as debts less any provision for amounts which may prove to be uncollectable. Short-term deposits include cash held on deposit at a bank. ## **h) Tax Status** As a charity, the PCC is exempt from paying income and corporation tax but does have to pay value added tax if applicable. 17 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **2. INCOME** |**Note**
**a) Donations and Legacies**
**From Donors:**
Planned Giving
Gift Aid Tax Recoverable
Collections
**Other Voluntary Income:**
Grants: Cloudesley
Grants: Diocese of London
Diocesan Contribution to Curacy costs
Listed Places of Worship Scheme
Other Donations (Go Green Appeal)
**b) Income From Other Trading Activities**
Church Hall and Rent
Fundraising
**c) Income from Investments**
Bank Interest
**d) Income from Charitable Activities**
Ministry and Fees
**e) Other Income**
Sundry and Miscellaneous Income|Unrestricted Designated
Restricted
**TOTAL**
**TOTAL**
Funds
Funds
Funds
**2023**
**2022**
£
£
£
**£**
£
38,611
-
-
**38,611**
48,154
4,978
-
-
**4,978**
6,161
11,189
313
-
**11,502**
16,602
-
113,050
**113,050**
6,714
-
-
10,000
**10,000**
-
-
-
**-**
4,800
27,626
-
-
**27,626**
-
-
-
21,265
**21,265**
-
**82,404**
**313**
**144,315**
**227,032**
**82,431**
158,455
-
-
**158,455**
145,780
556
2,189
**2,745**
-
159,011
2,189
-
**161,200**
145,780
1,352
-
-
**1,352**
148
**1,352**
**-**
**-**
**1,352**
**148**
2,834
-
-
**2,834**
4,300
**2,834**
**-**
**-**
**2,834**
**4,300**
294
-
-
**294**
615
**294**
**-**
**-**
**294**
**615**| |---|---| 18 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **3. EXPENDITURE** |**Note**|Unrestricted|Designated|Restricted|**TOTAL**|**TOTAL**| |---|---|---|---|---|---| ||Funds|Funds|Funds|**2023**|**2022**| |**a) Cost of Charitable Activities**|£|£|£|**£**|£| |**Grants:**|||||| |Student Christian Movement|200|-|-|**200**|-| |Connection at St Martin's|-|-|-|**-**|500| |Raising Voices|2,000|-|-|**2,000**|-| |Copenhagen Youth Project|-|-|-|**-**|500| |Housing Justice|-|-|1,146|**1,146**|500| |Support Deprived Children - Sierre Leone|-|-|-|**-**|2,650| |The Amos Trust - Gaza Appeal|1,125|-|-|**1,125**|-| |Ukraine Appeal|-|-|-|**-**|843| |Centre 404|-|-|-|**-**|650| |Union Chapel - homeless work|-|-|1,146|**1,146**|500| |Freedom from Torture|-|-|-|**-**|650| |St Mary Magdalene's Academy|500|-|-|**500**|650| |The Bike Project|-|-|-|**-**|650| |Islington Foodbank|-|-|-|**-**|650| |**Direct Charitable Expenditure:**|||||| |AV Equipment and IT Fund|-|-|18|**18**|3,059| |Bank Charges|419|-|-|**419**|441| |Building Improvements|35,219|2,502|139,566|**177,287**|-| |Church Running Expenses - Cleaning|4,529|-|-|**4,529**|4,620| |Church Running Expenses - Household|2,539|-|-|**2,539**|1,590| |Church Running Expenses - Insurance|6,723|-|-|**6,723**|6,507| |Church Running Expenses - Utilities|11,562|-|-|**11,562**|11,230| |Churchyard|-|-|-|**-**|9| |Curacy Costs|-|-|-|**-**|14,700| |Depreciation|-|-|169|**169**|-| |Diocesan Quota - Common Fund|87,775|-|-|**87,775**|85,200| |Electrical Fund|41|-|204|**245**|7,899| |Governance Costs|1,258|-|-|**1,258**|596| |IT Subscriptions|1,343|-|-|**1,343**|1,099| |**Direct Charitable Expenditure:**|||||| |Legal and Professional Fees|768|-|3,839|**4,607**|-| |Licences and Subscriptions|159|-|-|**159**|-| |Lighting and Staging Fund|-|-|408|**408**|-| |Music Costs (incl Salaries and Wages)|12,477|-|-|**12,477**|13,318| |Other Expenditure|58|-|-|**58**|97| |Other Ministry|4,924|-|-|**4,924**|10,848| |Postage, Printing and Stationery|2,456|-|-|**2,456**|1,122| |Repairs, Renewals and Maintenance|9,146|-|15,138|**24,284**|7,018| |Salaries and Wages - Administration Staff|34,116|-|-|**34,116**|27,040| |Stonework and Solar Panels Fund|-|-|-|**-**|3,838| |Sunday School/Youth Club|55|-|-|**55**|481| |Verger|995|-|-|**995**|720| |Worship|1,966|-|-|**1,966**|1,562| ||**222,353**|**2,502**|**161,634**|**386,489**|**211,737**| |Included in Governance costs is £1,200 paid to the Independent Examiner (2022: £0)|||||| |**b) Raising Funds**|||||| |St Francis Insurance|168|-|-|**168**|140| |St Francis Costs|-|-|-|**-**|48,621| ||**168**|**-**|**-**|**168**|**48,761**| 19 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **4. TANGIBLE FIXED ASSETS** |Cost
01-Jan-23
Additions
Cost at
31-Dec-23
Depreciation
01-Jan-23
Charge
Adjustment to charge
Depreciation at
31-Dec-23
Net Book Value
31-Dec-23
Net Book Value
31-Dec-22|Computer
**Total**
Equipment
**2023**
£
£
-
-
1,349
1,349
1,349
1,349
-
-
169
169
-
-
169
169
**1,180**
**1,180**
**-**
**-**| |---|---| A property known as St Francis of Assisi Church Hall is owned by the London Diocesan Fund. St Luke's West Holloway is entitled to receive rental income under a long term lease arrangement. The property is not considered to be a PCC asset and therefore, no valuation is included in these accounts. The annual commitments under non-cancelling operating leases and capital commitments are as follows: 31 December 2023: None 31 December 2022: None ## **5. CASH AT BANK AND IN HAND** |St Luke's Deposit Account
St Luke's Current Account
St Luke's Letting Account|Unrestricted
Restricted
**TOTAL**
**TOTAL**
Funds
Funds
**31-Dec-23**
**31-Dec-22**
£
£
**£**
**£**
90,915
(30,564)
**60,351**
29,390
2,000
-
**2,000**
2,000
17,770
300
**18,070**
40,028
**110,685**
**(30,264)**
**80,421**
**71,418**| |---|---| ## **6. DEBTORS AND PREPAYMENTS** |Debtors and Prepayments|Unrestricted
Restricted
**TOTAL**
**TOTAL**
Funds
Funds
**31-Dec-23**
**31-Dec-22**
£
£
**£**
**£**
440
-
**440**
983| |---|---| |Accrued Income|9,188
37,446
**46,634**
66,833| ||**9,628**
**37,446**
**47,074**
**67,816**| |**7. CREDITORS: AMOUNTS FALLING DUE**|**WITHIN ONE YEAR**| |Accruals|Unrestricted
Restricted
**TOTAL**
**TOTAL**
Funds
Funds
**31-Dec-23**
**31-Dec-22**
£
£
**£**
**£**
9,503
3,554
**13,057**
14,961| |Loan due within 1 year|4,550
-
**4,550**
-| |Independent Examiners Fee|1,200
-
**1,200**
-| |Security Deposit|1,128
-
**1,128**
-| |Deferred Income|-
-
**-**
27,038| ||**16,381**
**3,554**
**19,935**
**41,999**| 20 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH** ## **OF ST LUKE'S, WEST HOLLOWAY** ## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **8. CREDITORS: AMOUNTS FALLING DUE IN MORE THAN ONE** |Loan due in over 1 year|Unrestricted
**TOTAL**
**TOTAL**
Funds
**31-Dec-23**
**31-Dec-22**
£
**£**
**£**
5,450
**5,450**
-
**5,450**
**5,450**
**-**| |---|---| The Diocese of London agreed to give an interest free loan to the PCC to assist with the purchase and installation of an air source heat pump. The drawdown date was 4th October 2023, and the agreed repayments are set at £455 per month beginning 1st March 2024. The terms of the loan are that repayment is due within 25 months of the first repayment. The loan will be fully repaid by 31 December 2025. ## **9. DESIGNATED FUNDS** |**CURRENT YEAR**
Go Green Fund|**Balance**
**Balance**
**01-Jan-23**
**Transfers**
**Income**
**Expenditure**
**31-Dec-23**
**£**
**£**
**£**
**£**
**£**
-
-
2,502
(2,502)
-
**-**
**-**
**2,502**
**(2,502)**
**-**| |---|---| There were no designated funds in the previous financial year. ## **Go Green Fund** Funds ringfenced to support the completion of a number of major works in the church which will improve the sustainability of the building. ## **10. RESTRICTED FUNDS** |**CURRENT YEAR**
Sustainability Fund
AV Equipment and IT Fund
Nightshelter Fund
Lighting and Staging Fund
Chancel Roof
Stonework and Solar Panels Fund
Heat Pump
Vestry Fund
Electrical Fund
Go Green
**PRIOR YEAR**
Sustainability Fund
AV Equipment and IT Fund
Nightshelter Fund
Lighting and Staging Fund
Stonework and Solar Panels Fund
Net Zero Fund
Vestry Fund|**Balance**
**Transfers**
**Balance**
**01-Jan-23**
**btw funds**
**Income**
**Expenditure**
**31-Dec-23**
**£**
**£**
**£**
**£**
**£**
2,326
-
-
(2,326)
-
2,659
-
900
(187)
3,372
2,292
-
-
(2,292)
-
1,844
-
-
(408)
1,436
-
300
15,400
(15,700)
-
-
10,142
47,446
(57,588)
-
-
1,480
60,000
(61,480)
-
1,084
-
-
(1,084)
-
-
-
204
(204)
-
-
20,365
(20,365)
-
**10,205**
**11,922**
**144,315**
**(161,634)**
**4,808**
**Balance**
**Transfers**
**Balance**
**01-Jan-22**
**btw funds**
**Income**
**Expenditure**
**31-Dec-22**
**£**
**£**
**£**
**£**
**£**
2,326
-
-
-
2,326
5,718
-
-
(3,059)
2,659
2,292
-
-
-
2,292
1,844
-
-
-
1,844
50
-
2,500
(2,550)
-
573
-
-
(573)
-
1,084
-
-
-
1,084
**13,887**
**-**
**2,500**
**(6,182)**
**10,205**| |---|---| 21 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH** ## **OF ST LUKE'S, WEST HOLLOWAY** ## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **10. RESTRICTED FUNDS (continued)** The charity spends all restricted monies that it receives and makes good any deficit on restricted funds from its general unrestricted funds. ## **Sustainability Fund** Funds received and expended to improve the sustainability of the church. ## **AV Equipment and IT Fund** Funds received and expended for AV equipment to support live streaming of services and also other office equipment. ## **Nightshelter Fund** Funds received and expended to support the work of the Nightshelter project for homeless people that was hosted by St Luke’s until 2020. This project has now permanently closed with no prospect of reopening. The PCC therefore approved that the remaining funds be donated equally to two homeless projects serving a similar purpose to the former St Luke’s Nightshelter. ## **Lighting and Staging Fund** Funds raised through artistic events to fund lighting and staging to enable further artistic events. ## **Stonework and Solar Panels Fund** Funds received and expended to repair the stonework of the south wall and to install solar panels on that side of the church. ## **Net Zero Fund** Funds received and expended to assist the church moving to carbon neutrality. ## **Vestry Fund** Funds received and expended to upgrade the vestry. The vestry upgrade was completed some years ago. The PCC received a special exemption from the funder to reallocate the balance of this fund towards the Go Green projects. ## **Electrical Fund** Funds received and expended to undertake emergency electrical work. ## **Go Green Fund** Funds received to support the completion of a number of major works in the church which will improve the sustainability of the building. The restricted funds are represented by: |Fixed Assets
Cash at bank and in hand
Debtors
Creditors|**31-Dec-23**
**31-Dec-22**
**£**
**£**
**1,180**
-
**(30,264)**
10,205
**37,446**
-
**(3,554)**
-
**4,808**
**10,205**| |---|---| ## **11. ANALYSIS OF NET ASSETS BY FUND** |**CURRENT YEAR**
Fixed Assets and Investments
Current Assets
Current Liabilities
Long Term Liabilities
**PRIOR YEAR**
Current Assets
Current Liabilities|**Unrestricted Restricted**
**31-Dec-23**
**Fund**
**Fund**
**Total**
**£**
**£**
**£**
-
1,180
**1,180**
120,313
7,182
**127,495**
(16,381)
(3,554)
**(19,935)**
(5,450)
-
**(5,450)**
**98,482**
**4,808**
**103,290**
**Unrestricted Restricted**
**31-Dec-22**
**Fund**
**Fund**
**Total**
**£**
**£**
**£**
129,028
10,205
139,233
(41,999)
-
(41,999)
**87,029**
**10,205**
**97,235**| |---|---| 22 **-** ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **12. STAFF COSTS AND NUMBERS** |Gross Wages and Salaries via Payroll
Payroll Processing Fees
Employer's National Insurance Costs
Less Employer's Allowance
Employer's Pension Contributions
Average headcount of staff employed during the year:
Activities in furtherance of organisation's objects|Re-stated
**2023**
**2022**
**£**
**£**
39,617
22,092
723
688
2,064
1,242
(2,064)
(1,242)
674
382
**41,014**
**23,162**
Re-stated
**2023**
**2022**
2.75
1.50| |---|---| The PCC paid £4,877 to self employed musicians on an ad-hoc basis basis during 2023 (2022: £12,362). The PCC paid £0 to self employed administration staff during 2023 (2022: £3,961). Payments are made on production of an invoice. All self employed personnel acknowledge their responsibility for reporting their own tax and national insurance obligations to HMRC. No employees received emoluments in excess of £60,000 (2022: None). The key management personnel are considered to be the PCC Members. The total benefits paid to key management personnel (including employer national insurance and employer pension contributions) was £0 (2022: £0) The PCC operates a government backed pension scheme, and all eligible employees were enrolled into the scheme. Total employer contributions to the scheme in 2023 were £674 (2022: £382). ## **13. PAYMENTS TO PCC MEMBERS AND RELATED PARTIES** The PCC members received no remuneration in relation to fulfilling their role as trustees. |**Payments to PCC Members**|**2023**|**2022**| |---|---|---| |Justin Butcher (co-opted PCC Member until 8th May 2022)|**£**|**£**| |Self employed Director of Music|-|4,318| |Rev. Elizabeth Campbell (PCC Member)||| |Provision of Accomodation|-|14,700| |Less: Diocese contribution towards accommodation|-|(4,800)| |Tara Willson (PCC Member from 21 May 2023)||| |Verger Fees|100|-| |**Gifts to PCC Members**||| |Rev. John MacKenzie (PCC Member until 24 September 2023)||| |Leaving Gifts (fully funded by congregation donations)|353|-| |Ex Gratia Cash Gift (fully funded by congregation donations)|359|-| |Mike Dark (PCC Member until 21 May 2023)||| |Retirement Gifts (fully funded by congregation donations)|199|-| |**Payments to Related Parties**||| |Matthew Sheldon (son of Rosemary Sheldon, PCC Member)||| |Verger services|320|660| |Bethan Sheldon (daughter of Rosemary Sheldon, PCC Member)||| |Verger services|230|-| 23 ## **THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST LUKE'S, WEST HOLLOWAY** ## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2023** ## **13. PAYMENTS TO PCC MEMBERS AND RELATED PARTIES (continued)** Miscellaneous expenses totalling £3,405 (£4,241 in 2022) were paid to 7 (7 in 2022) other PCC members during financial year 2023. These were reimbursements of routine items including maintenance, purchase of IT equipment, charitable donations, youth club/Sunday school, accounting software, books or other expenses incurred on behalf of the church. These items were paid on production of an invoice or receipt. No other payments were made to PCC Members or any persons connected with them during this financial period. No other material transaction took place between the charity and a PCC Member or any person connected with them. Donations totalling £13,754 were received in 2023 from 20 PCC members and related parties (2022: £11,490 and 16 PCC Members). There were no conditions attached to these donations. The PCC relies on the provisions contained in section 3a of its governing document and the provisions of the Charities Act 2011 when paying a PCC member. Any member expenses claimed or incurred are subject to the PCC's normal internal controls and authorisation procedures. ## **14. RISK ASSESSMENT** The PCC Members actively review the major risks which the charity faces on a regular basis and believe that maintaining the free reserves stated, combined with the annual review of the controls over key financial systems carried out on an annual basis will provide sufficient resources in the event of adverse conditions. The PCC Members have also examined other operational and business risks which they face and confirm that they have established systems to mitigate the significant risks. ## **15. RESERVES POLICY** The PCC Members have considered the level of reserves they wish to retain, appropriate to the charity's needs. This is based on the charity's size and the level of financial commitments held. The PCC Members aim to ensure the charity will be able to continue to fulfil its charitable objectives even if there is a temporary shortfall in income or unexpected expenditure. The PCC Members will endeavour not to set aside funds unnecessarily. ## **16. PUBLIC BENEFIT** The charity acknowledges its requirement to demonstrate clearly that it must have charitable purposes or ‘aims’ that are for the public benefit. Details of how the charity has achieved this are provided in the Trustees report. The PCC Members confirm that they have paid due regard to the Charity Commission guidance on public benefit before deciding what activities the charity should undertake. 24