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2020-08-31-accounts

REGISTERED CHARITY NUMBER: 1129256

Report of the Trustees and Financial Statements for the Year Ended 31 August 2020 for

Chapel Field Road Methodist Church Norwich

1

Chapel Field Road Methodist Church, Norwich

Report of the Trustees for the year ended 31 August 2020

The Trustees present their annual report with the financial statements for the charity for the year ended 31 August 2020. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice (SORP) 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 2015.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number

1129256

Principal address

Chapel Field Road Norwich NR2 1SD

Trustees

In accordance with the Standing Orders of the Methodist Conference, which is the governing body of the Methodist Church, the trustees of the Church are the members of the Church Council. The names of the Trustees who served during 2019/2020 are as follows:

Revd Matthew Olanrewaju Christina Potter Akua Tetebo Pauline Mann Roger Drake Geoffrey Brown David Ingham Ann Waterhouse (left 17.02.20) Roderick Moore Paul Binney Terence Dunning (left 31.08.20) Michael Garratt Daphne Buxton Lynette Watts (left 31.08.20) Pamela ParkerBrown Frances Middleton Zing Eagling Stephen Osborn Ruth Gaskin (from 01.09.20) Margaret Snelling Christopher Hopper Martin Nisbett (from 01.09.20)

The Church Council is elected by the members of the Church.

Independent Examiner

Mark Johnstone FCA Argents Chartered Accountants 15 Palace Street Norwich NR3 1RT

Advisers

Bankers Lloyds Bank plc 48 High Street Newmarket, Suffolk CB8 8LF

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document

The charity is controlled by its governing document, a Deed of Union (1932) and The Methodist Church Act (1976). It constitutes an unincorporated charity.

The Church is a member of the Norwich Circuit of the Methodist Church.

2

Risk assessment

The premises are properly insured and Health and Safety reviews take place annually with Fire Evacuation Practices held from time to time. A risk register is maintained to safeguard the Church’s assets and future work and the Disclosure and Barring Service is consulted as appropriate. All trustees and others working with children, young people and vulnerable adults are required to attend a safeguarding foundation module training course. An asset register is maintained by the Treasurer.

OBJECTIVES AND ACTIVITIES

Objectives and aims

We are a large and diverse church set within the city centre of Norwich, England with attractive premises which are intended to speak of welcome and access for all.

Through our Ministry and Leadership Teams and through the many resources within our congregation we are always looking to be more effective in our witness for Christ within a city centre context.

Volunteers

The church is sincerely grateful to very many members who give freely of their time and talents to further its work and Christian witness.

ACHIEVEMENT AND PERFORMANCE

Due to the restrictions made necessary by the 2020 coronavirus pandemic the church had to close for worship and group meetings from mid March. The Church continued to hold weekly Christian services using an online interactive platform and these were well supported and valued by its congregation. Contact, albeit remote, was maintained with the church family in a variety of ways through our minister and our pastoral care network.

Sadly the restrictions also meant that the many local community groups which normally meet on our premises could not do so, including the Syrian refugee families in the People from Abroad project who attended English language classes.

The trustees have complied with their duty to have due regard to the Charity Commission’s public benefit guidance when exercising any powers or duties to which the guidance is relevant.

FINANCIAL REVIEW

During this pandemic our congregation has continued to support the church financially through offertories and donations and their generosity has been greatly appreciated and vital in providing most of the income needed to pay all ongoing expenses.

Due to the closure of the church for almost half our financial year the income received from groups meeting on our premises was substantially down compared to previous years. This reduction in income was partially offset by claims made on the Government Coronavirus Job Retention Scheme. Two new legacies were received during the year which enabled the church to make up the shortfall in other income and enabled us to install an Audio Visual System in the church. This has proved to be a great benefit in helping us to provide online worship.

Reserves Policy

Funds are held in accordance with the Church’s Reserves Policy and are believed to be adequate for the declared aims and objectives of the Church and the necessary maintenance of its Grade Two listed premises.

Approved by the Church Council on 26 February 2021 and signed on its behalf by:

P Mann – Trustee

3

Independent Examiner's Report to the Trustees of Chapel Field Road Methodist Church, Norwich

Independent examiner's report to the trustees of Chapel Field Road Methodist Church, Norwich

I report to the charity trustees on my examination of the accounts of Chapel Field Road Methodist Church, Norwich (the Trust) for the year ended August 2020.

Responsibilities and basis of report

As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').

I report in respect of my examination of the Trust's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner's statement

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

  1. accounting records were not kept in respect of the Trust as required by section 130 of the Act; or 2. the accounts do not accord with those records; or

  2. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Mark Johnstone FCA

Argents Chartered Accountants 15 Palace Street NORWICH Norfolk NR3 1RT

Date: ............................................. 6 April 2021

Page 1

4

Chapel Field Road Methodist Church

Statement of Financial Activities

for the year ended 31 August 2020

Notes
INCOMING & ENDOWMENTS FROM
Donations and tax recoverable
2
Legacies
2
Activities for generating funds
3
Investment Income
4
Incoming resources from charitable activities
Charitable activities
5
Total incoming resources
EXPENDITURE ON
Charitable activities
6
Total resources expended
NET INCOME/(EXPENDITURE) before transfers
Gross transfers between funds
14
Net income/(expenditure) before other
recognised gains and losses
Net gains/losses on investments
10
Net movement in funds
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD
Unrestricted
Funds
£
104,925
60,837
17,853
5,159
2,884
191,658
180,848
180,848
10,810
2,109
12,919
-4,092
8,827
5,707,707
5,716,534
Restricted
Funds
£
891
400
5,918
7,209
9,216
9,216
-2,007
-2,109
-4,116
-4,116
23,585
19,469
Endowment
Funds
£
0
0
0
0
-15
-15
930
915
2020 Total
Funds
2019 Total
Funds
£
£
105,816
109,941
60,837
5,000
18,253
34,935
5,159
7,476
8,802
17,670
198,867
175,022
190,064
211,006
190,064
211,006
8,803
-35,984
0
0
8,803
-35,984
-4,107
3,869
4,696
-32,115
5,732,222
5,764,337
5,736,918
5,732,222

CONTINUING OPERATIONS

All income and expenditure has arisen from continuing activities.

5

Chapel Field Road Methodist Church

Balance Sheet

At 31 August 2020

Notes
FIXED ASSETS
Tangible assets
9
Investments
10
CURRENT ASSETS
Debtors
11
Investments
12
Cash at Bank
CREDITORS
Amounts falling due within one year
13
NET CURRENT ASSETS
NET ASSETS
FUNDS
14
Unrestricted funds
Restricted funds
Endowment funds
TOTAL FUNDS
Unrestricted
Funds
£
5,330,574
253,421
5,583,995
30,750
78,404
30,843
139,997
(7,458)
132,539
5,716,534
Restricted
Funds
£
0
23
11,600
7,846
19,469
19,469
19,469
Endowment
Funds
£
857
857
58
58
58
915
2020 Total
Funds
£
5,330,574
254,278
5,584,852
30,773
90,062
38,689
159,524
(7,458)
152,066
5,736,918
5,716,534
19,469
915
5,736,918
2019 Total
Funds
£
5,324,448
258,385
5,582,833
40,053
90,415
22,621
153,089
(3,700)
149,389
5,732,222
5,707,707
23,585
930
5,732,222

The financial statements were approved by the Church Council on 26 February 2021 and were signed on its behalf by:

G Brown - Trustee

Revd M Olanrewagu - Trustee

Chapel Field Road Methodist Church

6

Notes to the Financial Statements for the year ended 31 August 2020

1 ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charity, which is a public benefit entity under FRS 102, 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 2015)', 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 with the exception of investments which are included at bid value.

Incoming resources

These are included in the Statement of Financial Activities (SOFA) when the church becomes entitled to the resources; the Trustees are virtually certain they will receive the resources and the monetary value can be measured with sufficient reliability. In respect of legacy income only, income is only recognised on receipt of funds to the church bank or TMCP accounts.

Resources expended

Expenditure is recognised when a liability is incurred, or a constructive obligation arises that results in the payment being unavoidable. Expenditure is accounted for on an accruals basis.

Tangible fixed assets

Church land and buildings are owned by the Trustees for Methodist Church Purposes (TMCP) and the local Church

Council acts as Managing Trustee.

On adoption of FRS102 on 1.9.2016, the Church land and buildings and the Church organ were valued at their replacement costs of £4,950,000 and £350,000 respectively. We have elected to treat this value as deemed cost in line with transition exemptions available. The original costs were £987 for the land, £5,420 for the building and £576 for the organ, all purchased in the 1880s.

The building and the organ are subject to a regular maintenance programme, thus maintaining their value; for this

reason it is not considered necessary to provide for depreciation of these assets.

All other tangible fixed assets with a value of £1000 and over are capitalised and included in the Balance Sheet. Their value is depreciated on a straight line basis over 5 years.

Taxation

The charity is exempt from tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Chapel Field Road Methodist Church

7

Notes to the Financial Statements for the year ended 31 August 2020

Fixed asset investments

Investments held in TMCP trusts are valued in the balance sheet at bid value at the year end. Investment income is

included in the accounts when receivable and any gains or losses on revaluation at the year end are shown in the SOFA.

Current asset investments

These are held in interest bearing accounts operated by TMCP and the Central Finance Board. Interest earned is shown on the SOFA.

Liability recognition

Liabilities are recognised as soon as there is legal or constructive obligation committing the church to pay out resources.

Irrecoverable VAT

This is included within the relevant costs incurred by the charity.

2
DONATIONS AND LEGACIES
Offerings, donations and tax recoverable
Legacies
Special collections for other charities
Coronavirus Job Retention Scheme grant
3
ACTIVITIES FOR GENERATING FUNDS
Fundraising activities
Lettings
4
INVESTMENT INCOME
Investments and deposit income
5
INCOMING RESOURCES FROM CHARITABLE ACTIVITIES
Church Groups
Other income from charitable activities
2020
£
97,131
60,837
891
7,794
166,653
2020
£
400
17,853
18,253
2020
£
5,159
2020
£
5,918
2,884
8,802
2019
£
107,551
5,000
2,390
0
114,941
2019
£
4,239
30,696
34,935
2019
£
7,476
2019
£
13,474
4,196
17,670

8

Chapel Field Road Methodist Church

Notes to the Financial Statements

for the year ended 31 August 2020

6
DIRECT COSTS OF CHARITABLE ACTIVITIES
Staff costs
Insurance and utilities
Circuit Assessment
Donations
Special collections for other charities
Repairs and maintenance
Other expenditure
Church Groups
Depreciation
Independent Examination Fee
2020
£
25,944
11,158
100,980
8,808
891
19,891
8,649
4,217
7,966
1,560
190,064
2019
£
24,613
11,563
102,480
7,125
2,390
36,094
9,585
9,046
6,670
1,440
211,006

7 TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 August 2020 nor for the year ended 31 August 2019.

There were no trustees' expenses paid for the year ended 31 August 2020 nor for the year ended 31 August 2019.

8
STAFF COSTS
Wages and Pension Contributions
Social security costs
The average monthly number of employees during the year was as follows:
Full time employees
2020
£
25,944
0
25,944
2020
1
2019
£
24,613
0
24,613
2019
1

No employees received emoluments in excess of £60,000.

9

Chapel Field Road Methodist Church

Notes to the Financial Statements

for the year ended 31 August 2020

9
TANGIBLE FIXED ASSETS
Church
building
Organ
£
£
COST
At 1 September 2019
4,950,000
350,000
Additions
Disposals
At 31 August 2020
4,950,000
350,000
DEPRECIATION
At 1 September 2019
Charge for year
Eliminated on disposal
At 31 August 2020
0
0
NET BOOK VALUE
At 31 August 2020
4,950,000
350,000
At 31 August 2019
4,950,000
350,000
10
FIXED ASSET INVESTMENTS
BID VALUE
At 1 September 2019
Additions
Redemptions
Revaluations
At 31 August 2020
There were no investment assets outside the UK.
11
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Prepaid Circuit Assessment and other prepayments
Other debtors
12
CURRENT ASSET INVESTMENTS
Central Finance Board and TMCP deposits
13
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Creditors
Fixtures and
fittings
£
146,368
14,092
-7,185
153,275
121,920
7,966
-7,185
122,701
30,574
24,448
Motor
vehicles
£
22,000
22,000
22,000
22,000
0
0
2020
£
25,620
5,153
30,773
2020
£
90,062
2020
£
7,458
Totals
£
5,468,368
14,092
-7,185
5,475,275
143,920
7,966
-7,185
144,701
5,330,574
5,324,448
Listed
investments
£
258,385
-4,107
254,278
2019
£
29,953
10,100
40,053
2019
£
90,415
2019
£
3,700

10

Chapel Field Road Methodist Church

Notes to the Financial Statements for the year ended 31 August 2020

Notes to the Financial Statements
for the year ended 31 August 2020
14
MOVEMENT IN FUNDS
Unrestricted funds
General
Property
Transport
Legacy Reserve
Book
Donations
Fixtures and Fittings
Church Buildings and Organ
Restricted funds
Legacy (Property/Benevolence)
Benevolent
Church Groups
Endowment funds
Endowment trusts
TOTAL FUNDS
Net movement in funds, included in the above are
Unrestricted funds
General
Property
Transport
Legacy Reserve
Book
Donations
Fixtures and Fittings
Restricted funds
Legacy (Property/Benevolence)
Benevolent
Church Groups
Fundraising
Special Collections
Endowment funds
Endowment trusts
TOTAL FUNDS
At 1.9.19
£
38,532
228,560
0
110,729
1,868
3,570
24,448
5,300,000
5,707,707
15,308
0
8,277
23,585
930
5,732,222
as follows:
Incoming
resources
£
130,559
30
60,837
232
191,658
5,918
400
891
7,209
198,867
Net
movement in
funds
£
-19,664
-28,353
-1,649
55,011
-53
-4,700
6,126
6,718
-3,708
1,701
-2,007
-15
4,696
Resources
expended
£
-150,223
-28,383
-1,649
-1,734
-285
-4,700
6,126
-180,848
-3708
-4,217
-400
-891
-9,216
-190,064
Transfers
between
funds
£
20,109
30,000
-49,130
1,130
2,109
-15,308
15,308
-2,109
-2,109
0
Gains and
losses
£
-4,092
-4,092
0
-15
-4,107
At 31.8.20
£
38,977
200,207
28,351
116,610
1,815
0
30,574
5,300,000
5,716,534
0
11,600
7,869
19,469
915
5,736,918
Movement
in funds
£
-19,664
-28,353
-1,649
55,011
-53
-4,700
6,126
6,718
0
-3708
1,701
0
0
-2,007
-15
4,696

11

Chapel Field Road Methodist Church

Notes to the Financial Statements

for the year ended 31 August 2020

Notes to the Financial Statements
for the year ended 31 August 2020
14
COMPARATIVE MOVEMENT IN FUNDS
At 1.9.18
Net
movement in
funds
£
£
Unrestricted funds
General
38,503
-2,481
Property
234,661
-53,905
Legacy Reserve
111,871
8,858
Book
147
-279
Donations
7,100
-4,530
Fixtures and Fittings
6,985
17,463
Church Buildings and Organ
5,300,000
5,699,267
-34,874
Restricted funds
Legacy (Minibus)
32
-400
Legacy (Property/Benevolence)
57,760
Benevolent
0
-1,280
Church Groups
6,359
4,428
64,151
2,748
Endowment funds
Endowment trusts
919
11
TOTAL FUNDS
5,764,337
-32,115
Net comparative movement in funds, included in the above are as follows:
Incoming
Resources
resources
expended
£
£
Unrestricted funds
General
152,128
-154,609
Property
520
-54,425
Legacy Reserve
5,000
Book
195
-474
Donations
-4,530
Fixtures and Fittings
17,463
157,843
-196,575
Restricted funds
Legacy (Minibus)
-400
Legacy (Property/Benevolence)
Benevolent
-1280
Church Groups
13,474
-9,046
Fundraising
1,315
-1,315
Special Collections
2,390
-2,390
17,179
-14,431
Endowment funds
Endowment trusts
TOTAL FUNDS
175,022
-211,006
Transfers
between
funds
£
2,510
47,804
-10,000
2,000
1,000
43,314
368
-42,452
1,280
-2,510
-43,314
0
Gains and
losses
£
3,858
3,858
0
11
3,869
At 31.8.19
£
38,532
228,560
110,729
1,868
3,570
24,448
5,300,000
5,707,707
0
15,308
0
8,277
23,585
930
5,732,222
Movement
in funds
£
-2,481
-53,905
8,858
-279
-4,530
17,463
-34,874
-400
0
-1280
4,428
0
0
2,748
11
-32,115

Chapel Field Road Methodist Church

12

Notes to the Financial Statements for the year ended 31 August 2020

14 MOVEMENT IN FUNDS - continued

Fund

Purpose of the fund

General Working capital to support ongoing commitments Property Building costs and purchase of equipment Transport Provision of a minibus service and other transport costs. Legacy Reserve Church projects and contingencies Legacy Reserve - Restricted Restricted purposes as shown Book Purchase of books Benevolent Benevolence Church Groups Balances held by these groups Fundraising The Vidiyal Trust Special Collections Collections for other charities Donations Donations from church funds to other charities Church Buildings and Organ Deemed replacement costs on adoption of FRS102 Fixtures and Fittings Identification of the book value of these assets at the year end Endowment Legacy capital cannot be spent. Interest used in General Fund

Summary of Church Group funds as at 31 August 2020

Church group
Badminton
Cameo
CFR Traidcraft
Choir
Tuesday Friendship Club
Mary Chapman Club
Monday Scrabble Club
Short Tennis
Senior Table Tennis
TOTAL
Opening
balance
£
976
78
63
184
3,806
3,053
49
50
18
8,277
Incoming
resources
£
406
564
2,356
16
1,386
375
210
80
525
5,918
Resources
expended
£
-150
-2,390
-1,060
-565
-20
-32
-4,217
Transfers
£
-550
72
-456
-360
-240
-100
-475
-2,109
Closing
balance
£
832
492
101
200
3,676
2,503
19
10
36
7,869

15 Legacy

At the year end the Church was awaiting distribution of a legacy valued at £21,000.

16 Related Parties

There were no related party transactions in the year under review.