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2021-12-31-accounts

Holy Trinity Church, Frome

End of Year Financial Statements

31 December 2021

Holy Trinity Financial Report 2021

FINANCIAL REVIEW

This report covers the financial year and calendar year 2021. This year will again be remembered for the impact of the COVID-19 pandemic, as was 2020, which continued to affect every single aspect of Holy Trinity’s significant spectrum of activities from Praise and Worship, Toddlers and through to Finances. While the Government’s assistance schemes again helped our Staff costs, particularly the Children and Youth Fund, and the Bridge Fund with assistance to small businesses, the General Fund suffered even more significantly than in 2020 from reduced offerings.

Total receipts on the ordinary unrestricted fund, which represent the General Fund only, were £116,679 and are detailed in the Financial Statements. For direct comparison purpose with year (2019) the unrestricted General Fund income was £164,346. Hence a reduction on income, 2021 cf 2019 of £47,667. Total expenditure in the year from such income amounted to £137,182. The largest item was our Parish Share of £97,554 which was paid to the Diocese of Bath and Wells to enable it to provide the parish with clergy and support services. The net result for these funds was a deficit of £20,503 compared with a surfeit of £23,626 in 2019 and surfeit of £25,615 in 2018. Government assistance to these costs in 2021 was £1,778 from Staff Furlough schemes.

Designated Funds total receipts were £37,802 and expenditure was £53,163 resulting in a deficit of £15,361. These figures cover all designated Funds held by Holy Trinity. The funds mostly affected are the Hall; lack of rental income, the Nurse; little income just expenditure, the Bridge; ;income affected by Covid. However, it must be realised that when Andrew and Elizabeth Alden were appointed to be Young Adults Ministry representatives in Frome and surrounding villages then Holy Trinity was asked to hold a Fund for their work. This Fund, YAM can be seen as having a 2021 income of £8,338 and expenditure of £51. This Fund is in the process of being handed to the Deanery for management and accounting. These figures are not included in the Designated Funds amounts noted above, but are included in the detailed accounts.

Restricted Funds, which are; Children & Youth, Debt Centre, Fabric and the Redevelopment Funds had an income of £51,190 and an expenditure of £37,761 resulting in a surfeit of £13,428. This surfeit is substantially due to Government Staff Furlough schemes which amounted to £9,920 into the Children and Youth and Debt Centre Funds

The PCC has continued its long-standing policy of giving (tithes) 10% of general income to mission which for 2021 has included support for ministry in Bitola, North Macedonia and our association with the fledgling evangelical church there through TEN, however charitable giving in 2021 has not reached that %age being at £8,791 compared with giving at £100,466.

Following the PCC decision to support the C & Y Fund by an amount of £350 per month from the General Fund, which commenced in October 2019 this fund has enjoyed an excess of income over expenditure, even more so with the Governments Staff Furlough scheme. Accordingly, it was decided to temporarily cease this support. Toddlers of course ceased to operate through substantial periods of 2021 and has consequently not provided Toddler’s contribution of the usual £1,000 towards the C & Y fund.

The Fabric Fund has a negative balance of £6,432, this negative balance is slowly being reduced as income is realised from investment allocated only to Fabric, through 2021 this income amounted to £692

The Redevelopment (restricted) Fund was also resourced by a loan from The Diocese for £100,000 which is due for repayment over 10 years (2017-2027) repayments made to the end of this report period total £50,000. The redevelopment Fund stands at a negative £37,153 at the year-end which takes account of the outstanding £50,000 loan liability. Giving to the redevelopment fund has reduced as previously reported, however, following a lump sum given in 2021, we are now able to service the Diocesan Loan this year, 2022, but this will be a challenge to service from this fund, from 2023 onward.

The Bridge account had an income of £23,717 mostly due to a Government grant of £17,669. The Bridge expenditure was £27,633 almost entirely due to fixed costs, Rent and Maintenance, the PCC has decided to carry out significant maintenance at The Bridge through 2020 and into 2021, this maintenance cost was £19,064 during 2021. The Bridge management, led by John and Wendy Rootes have continued work when able to do so under the COVID-19 restrictions.

The Hall Fund income has significantly suffered due to COVID-19 restrictions resulting in a deficit of £5,393, while the Hall Hire Income runs the direct Hall expenses, as previously noted in my annual reports, the

Holy Trinity Frome, Financial Report 2021 Page 2 There may be minor discrepancies in totals due to pence not being included

General Church suffers cost for Administration and other aspects that are paid from our General Fund. The Hall is normally contra charged by the General Fund a sum to cover these appropriate costs.

Charitable Status

Holy Trinity Church is registered with the Charity Commission as The Parochial Church Council of the Ecclesiastical Parish of Holy Trinity, Frome. Registered number 1129366.

Reserves Policy

It is PCC policy to maintain a balance on unrestricted funds which covers three months of Parish Share payments to cover cash flow problems near the year end and to cope with unforeseen situations. Some funds are invested in CBF deposit funds. However, it can be realised from these accounts that the Church finances, having suffered due to COVID-19 comply with this policy, however, moving forward at the current level of Income and Expenditure this will be challenging within the next 15-18 months. The Diocese offered financial support to parishes suffering financially due to COVID-19 however Holy Trinity both decided not to apply for this support and indeed would almost certainly not have satisfied the qualifying criteria.

Outlook and Budget

We will have to service the Diocesan Loan, for the TT-TL project, at a repayment rate of £10,000 per year for the next 5 years. We currently have no plan or pledges to cover this, however this fund is in credit and can currently service the next 1 + years.

The Children and Youth workers Fund is now significantly more secure following Government Staff Furlough schemes. The Toddler’s fund is recovering as Toddler’s activities have re-commenced.

Members should be aware that the Children and Youth and Debt Centre are separate funds, as is Redevelopment, and if not specifically noted and supported by your giving then they enjoy no other income, furthermore these are Restricted Funds and monies can only be spent on their defined purposes except in extreme circumstances.

The Church members’ giving has been significantly affected by COVID-19 restrictions. It may be realised from these accounts that offerings on the plate each week as cash, totaled £26.925 in 2019 but only £7,281 in 2021, a reduction of £19,644, in addition standing orders and other regular giving reduced by £10,722. This also reduced Gift Aid reclaims by an amount of £6,369. These reductions total £36,735 being a significant reduction which affects the overall church activities and the reserves held in savings. Our Parish Share for 2021 was based upon reporting to the diocese completed in April 2020 covering the church attendance for the previous year, 2019 (pre-Pandemic). The Diocese decided this year, 2022 our Parish Share should remain substantially the same as 2021; while the financial outlook for 2022 remains acceptable, due to our reserves in the General Fund being £46,051 we look forward to church returning to normal and regular worshipping members numbers returning to pre COVID-19 level but more importantly the associated income returning. Current habits of not carrying cash and use of Card Payments have persuaded the PCC to install a Card Donation system which hopefully will help in recovering the lost income “on the plate”

As an aside a Legacy to a Registered Charity, such as Holy Trinity, can be a very efficient way to reduce Inheritance Tax rates, and provide funding to the charity, the legacy is therefore significantly greater than the drawdown on inherited assets, due to the remaining taxable inheritance being taxed at a reduced rate. If anyone is interested in this matter please talk with me.

18 January 2022

Chris Round,

Treasurer, HTC On Behalf of the Parochial Church Council

Approved at PCC meeting held on 26 January 2022, conditional on Independent Examiner’s report being unqualified.

Holy Trinity Frome, Financial Report 2021 Page 3 There may be minor discrepancies in totals due to pence not being included

Holy Trinity Church, Frome

Statement of Financial Activities

For the period from 01 January 2021 to 31 December 2021

Unrestricted Designated Restricted Endowment Total Prior year
funds funds funds funds funds total funds
Incoming resources
Incoming resources from generated funds
Voluntary income 111,964 15,998 40,578 168,540 180,232
Activities for generating funds 1,879 10,196 12,075 9,127
Investment income 167 692 859 1,057
Incoming resources from charitable activities 891 891 951
Other incoming resources 1,777 19,946 9,920 31,644 24,463
Total income 116,679 46,140 51,190 214,010 215,831
Resources used
Costs of generating funds
Costs of generating voluntary income 346 346 699
Fundraising trading: cost of goods sold and other costs 731 731 661
Charitable activities 136,882 52,483 37,714 227,080 213,994
Other resources used
Total expenditure 136,882 53,214 38,061 228,158 215,354
Net income / (expenditure) resources before transfer (20,203) (7,073) 13,128 (14,147) 477
Transfers
Gross transfers between funds - in 34 1,920 1,954 34,974
Gross transfers between funds - out (300) (1,654) (1,954) (34,974)
Other recognised gains / losses
Gains / losses on investment assets 3,974 3,974 1,684
Gains on revaluation, fixed assets, charity's own use
Net movement in funds (20,469) (6,807) 13,128 3,974 (10,172) 2,161
Reconciliation of funds
Total funds brought forward 66,820 32,106 8,776 27,898 135,601 133,440
Total funds carried forward 46,351 25,298 21,905 31,873 125,428 135,601
Represented by
Unrestricted
General fund 46,351 46,351 66,820
Designated
Church Hall Revenue Fund (9,173) (9,173) (3,780)
Fin Assistance to self empl 788 788 2,813
Parish Nurse 10,730 10,730 15,742
Parish Weekend away 34
The Bridge 6,915 6,915 10,532
Toddlers Fund 1,700 1,700 763
Young Adult Ministry 14,337 14,337 6,000
Restricted
Children & Youth Worker Fund 40,805 40,805 30,643
Debt Counselling 24,685 24,685 33,140
Fabric Fund (6,432) (6,432) (7,124)
Redevelopment Fund (37,153) (37,153) (47,883)
Endowment
Investments 31,873 31,873 27,898

Holy Trinity Frome, Financial Report 2021 Page 4 There may be minor discrepancies in totals due to pence not being included

Holy Trinity Church, Frome

Balance sheet (Summary) As at: 31 December 2021

As at 31/12/2021
£
As at 31/12/2020
£
Fixed assets
Tangible assets
Investments
Current assets
Debtors
Investments
Cash at bank and in hand
Net current assets less current liabilities
Total assets less current liabilities
Liabilities
Creditors: Amounts falling due after more than one year
Total net assets less liabilities
Represented by
Unrestricted
Unrestricted - General fund
Designated
Designated - Fin Assistance to self empl
Designated - Parish Nurse
Designated - Parish Weekend away
Designated - Young Adult Ministry
Designated - Church Hall Revenue Fund
Designated - The Bridge
Designated - Toddlers Fund
Restricted
Restricted - Debt Counselling
Restricted - Fabric Fund
Restricted - Redevelopment Fund
Restricted - Children & Youth Worker Fund
Endowment
Endowment - Investments
Funds of the church
1,302
31,873
33,175
7,295
13,817
121,138
142,252
142,252
175,428
50,000
125,428
46,351
788
10,730

14,337
(9,173)
6,915
1,700
24,685
(6,432)
(37,153)
40,805
31,873
125,428
1,532
27,898
29,430
6,464
13,810
145,895
166,170
166,170
195,601
60,000
135,601
66,820
2,813
15,742
34
6,000
(3,780)
10,532
763
33,140
(7,124)
(47,883)
30,643
27,898
135,601

Holy Trinity Frome, Financial Report 2021 Page 5 There may be minor discrepancies in totals due to pence not being included

Holy Trinity Church, Frome

Statement of Assets and Liabilities (by code) As at: 31 December 2021

Class and nominal code General Designated Restricted Endowment Total Last year
Fixed assets - Investments
A1005 : Investments 31,873.10 31,873.10 27,898.29
Total 31,873.10 31,873.10 27,898.29
Fixed assets - Tangible assets
A1003 : Office 1,302.83 1,302.83 1,532.31
Total 1,302.83 1,302.83 1,532.31
Current assets - Cash at bank and in hand
B3040 : The Bridge Current 579.61 5,492.61 6,072.22 9,902.08
Account
B3041 : The Bridge Cash 186.70 186.70 317.49
C3011 : Children & Youth Worker (136.06) 41.13 13,725.94 13,631.01 10,112.63
Fund
D3050 : Redevelopment Fund 5,351.14 1,400.80 6,751.94 7,749.33
G3010 : General Current Account 13,995.84 (2,675.86) 54,336.67 65,656.65 91,527.60
G3014 : General Cash Imprest 81.50
G3016 : Parish Weekend 34.00
H3020 : Hall Current Account 8,307.72 20,532.59 28,840.31 26,170.73
Total 28,098.25 23,577.17 69,463.41 121,138.83 145,895.36
Current assets - Debtors
Z05 : Accounts Receivable 4,114.47 1,721.25 1,460.00 7,295.72 6,464.67
Total 4,114.47 1,721.25 1,460.00 7,295.72 6,464.67
Current assets - Investments
F3060 : Fabric CBF Deposit 929.75 929.75 929.27
G3011 : General CBF Deposit 12,836.03 51.98 12,888.01 12,881.31
Total 12,836.03 981.73 13,817.76 13,810.58
Liabilities - Creditors: Amounts falling due after more than one year
ZZZ11 : Loan 50,000.00 50,000.00 60,000.00
Total 50,000.00 50,000.00 60,000.00
Net total assets 46,351.58 25,298.42 21,905.14 31,873.10 125,428.24 135,601.21

Represented by

Holy Trinity Frome, Financial Report 2021 Page 6 There may be minor discrepancies in totals due to pence not being included

Holy Trinity Church, Frome

Fund movement by type Selected period: 01 January 2021 to 31 December 2021

Fund and type
Fund balances
Incoming
Outgoing
Transfers
Gains and
Journal
Fund balances
brought forward
Resources
Resources
Losses
Entries
carried forward
Unrestricted
General - General fund
66,820
116,679
136,882
(266)


46,351
Sub-totals
66,820
116,679
136,882
(266)


46,351
Designated
Covid - Fin Assistance
2,813
975
3,000



788
to self empl
DEBTCOUN - Debt







Counselling
Nurse - Parish Nurse
15,742
5,866
10,878



10,730
Weekend - Parish
34
34
34
(34)



Weekend away
YAM - Young Adult
6,000
8,388
51



14,337
Ministry
Hall - Church Hall
(3,780)
6,762
10,535
(1,620)


(9,173)
Revenue Fund
Bridge - The Bridge
10,532
23,717
27,633
300


6,915
Toddlers - Toddlers
763
396
1,080
1,620


1,700
Fund
Sub-totals
32,106
46,140
53,214
266


25,298
Restricted
DEBTCOUN - Debt
33,140
5,437
13,892



24,685
Counselling
Fabric - Fabric Fund
(7,124)
691




(6,432)
Redevelop -
(47,883)
11,081
351



(37,153)
Redevelopment Fund
C&youth - Children &
30,643
33,980
23,817



40,805
Youth Worker Fund
Sub-totals
8,776
51,190
38,061



21,905
Endowment
Coif - Investments
27,898



3,974

31,873
Sub-totals
27,898



3,974

31,873
Totals
135,601
214,010
228,158

3,974

125,428

Holy Trinity Frome, Financial Report 2021 Page 7 There may be minor discrepancies in totals due to pence not being included

Holy Trinity Church, Frome

Analysis of income and expenditure Selected period: 01 January 2021 to 31 December 2021

Total
Unrestricted Designated Restricted Endowment This year Last year
Incoming resources
Incoming resources from generated funds
D0030 - Change 7,281 89 7,371 10,125
D0031 - Donations 18,241 12,225 10,777 41,244 41,766
D0032 - Grants & Legacies
D0040 - Sundry 227 34 261 518
D0041 - Events 294 294
D0042 - Fabric
D0043 - Books 531 531 89
D0044 - Toddlers 154 154 879
P0010 - Standing Orders 65,498 1,705 24,882 92,086 99,818
P0011 - Envelopes 5,317 5,317 5,403
P0020 - Inland Revenue Refund 14,571 1,878 4,828 21,279 21,630
P0021 - Vat: Listed places of Worship
Scheme
B0060 - Photocopying 5 5 115
B0061 - Windows
B0062 - Catering 798
B0063 - Sales not used
B0064 - Sales not used 2
B0065 - Sales not used 3
B0066 - sales not used 4
B0067 - Rent 1,323 588 1,911 1,516
B0068 - Bridge Sales 2,845 2,845 2,490
H0070 - Hall Hire 551 6,762 7,313 4,206
C0050 - Current Interest 38 0 38 252
I0051 - 1/2T Int 129 129 126
I0052 - 3T Int 691 691 678
Incoming resources from 114,010 26,194 41,270 181,475 190,417
generated funds Totals
Incoming resources from charitable activities
F0080 - Fees 891 891 951
Incoming resources from 891 891 951
charitable activities Totals
Other incoming resources
D0033 - Redev Fabric Congregational
Loan
P0023 - HMRC Job Ret Sch Covid 19 1,777 19,946 9,920 31,644 24,463
Other incoming resources Totals 1,777 19,946 9,920 31,644 24,463
Incoming resources Grand 116,679 46,140 51,190 214,010 215,831
totals

Holy Trinity Frome, Financial Report 2021 Page 8 There may be minor discrepancies in totals due to pence not being included

Resources used
Costs of generating funds
A1011 - Fund Raising Expenses
INT - Interest Paid
B1062 - Bridge Purchases
B1063 - Purchase not used
B1064 - Purchases not used 2
B1065 - Purchases not used 3
B1066 - Purchases not used 4
Costs of generating funds Totals
Charitable activities
A0010 - Preliminaries
B1067 - Rent
B1068 - Rates & water Rates
C1010 - Church Overseas
C1011 - Relief & Development
C1020 - Home Missions
C1021 - Seculiar Charities
D1050 - Parish Share
E1040 - Outreach
E1041 - Discipleship
F1030 - Depreciation 01
H1060 - Cleaner
R1090 - Insurance
R1091 - Cleaning
R1092 - Administrator
R1093 - Maintenance
R1094 - Stationery
R1095 - Telephone
R1096 - Equipment
R1097 - Sundries
R1098 - Petty Cash
R1099 - Catering
S1080 - Music
S1081 - Heat & Light
S1082 - Books
S1083 - Services
S1084 - Events
S1085 - Clergy
S1086 - Bank Charges
Y1001 - Fabric
Y1070 - Wages
Y1071 - Expenses
Z99999 - Depreciation
Charitable activities Totals
Other resources used
A1012 - Architects Fees
A1013 - Co-ordinator Fees
A1014 - Design costs
A1015 - Building and Construction
Costs
A1016 - Furnishings and equipment
Other resources used Totals
Resources used Grand totals








346

346
699

731


731
661

























731
346

1,077
1,360






92
6,971


7,063
5,313
146
199


345
578
3,750



3,750
5,625
2,500



2,500

1,100



1,100
2,005
210



210

97,553



97,553
99,834
2,098
4,976
3,600

10,674
9,383












3,211
2,335


5,546
3,962
890
890


1,780
1,770
382



382
162
6,123
4,261


10,385
10,927
3,711
19,940


23,652
5,956
502



502
429
717
557


1,275
940





847
4,431
312
100

4,843
4,159
400



400
100












3,330
1,717


5,047
5,922






1,346



1,346
428
60



60

343



343

726
6
34

767
342





834
2,742
10,019
33,696

46,459
46,284
280
296
283

859
3,757
229



229
4,426
136,882
52,483
37,714

227,080
213,994




































136,882
53,214
38,061

228,158
215,354
Unrestricted
Designated
Restricted
Endowment
Thisyear
Lastyear

Holy Trinity Frome, Financial Report 2021 Page 9 There may be minor discrepancies in totals due to pence not being included

Notes to the financial statements

For the year ended 31 December 2021

ACCOUNTING POLICIES

The financial statements have been prepared in accordance with the Church Accounting Regulations 2006 together with applicable accounting standards and the SORP 2015 SOFA.

The financial statements have been prepared under the historical cost convention except for the valuation of investment assets, which are shown at market value. The financial statements include all transactions, assets and liabilities for which the PCC is responsible in law. They do not include the accounts of church groups that owe their main affiliation to another body, nor those that are informal gatherings of church members.

Funds

Endowment funds are funds, the capital of which must be maintained; only income arising from investment of the endowment may be used either as restricted or unrestricted funds depending upon the purpose for which the endowment was established.

Restricted funds represent (a) income from trusts or endowments which may be expended only on those restricted objects provided in the terms of the trust or bequest, and (b) donations or grants received for a specific object or invited by the PCC for a specific object. The funds may only be expended on the specific object for which they were given. Any balance remaining unspent at the end of each year must be carried forward as a balance on that fund. The PCC does not usually invest separately for each fund. Where there is no separate investment, interest is apportioned to individual funds on an average balance basis.

Designated funds have been set up for the designated object as indicated by their title, these funds will be disbursed only for that object purpose.

Unrestricted funds are general funds which can be used for PCC ordinary purposes.

Incoming resources

Planned giving, collections and donations are recognized when received. Tax refunds are recognized when the incoming resource to which they relate is received. Grants and legacies are accounted for when the PCC is legally entitled to the amounts due. Dividends are accounted for when receivable, interest is accrued. All other income is recognised when it is receivable. All incoming resources are accounted for gross.

Resources expended

Grants and donations are accounted for when paid over or when awarded, if that award creates a binding or constructive obligation on the PCC. The diocesan parish share is accounted for when due. Amounts received specifically for mission are dealt with as restricted funds. All other expenditure is generally recognized when it is incurred and is accounted for gross.

Fixed assets

Consecrated and benefice property is not included in the accounts in accordance with s.96(2) (a) of the Charities Act 1993. Movable church furnishings held by the vicar and churchwardens on special trust for the PCC and which require a faculty for disposal are inalienable property, listed in the church’s inventory, (the Terrier) which can be inspected (at any reasonable time). For anything acquired prior to 2004 there is insufficient cost information available and therefore such assets are not valued in the financial statements. Furthermore all matters pertaining to the Redevelopment Works are not valued in the financial statements and are not considered as assets to be depreciated or replaced.

Equipment used within the church premises is depreciated on a reducing balance basis, at 15% for furniture and fixtures, and 25% for office equipment. Individual items of £500 or less are written off when the asset is acquired, and assets that are considered to have exceed a reasonable life expectancy are written off at that time.

Investments are valued at market value 31 December 2021

Holy Trinity Frome, Financial Report 2021 Page 10 There may be minor discrepancies in totals due to pence not being included

2
CHARITABLE DONATIONS
FEBA – B&M Adams
C&N Moreton
Christian aid
REAP Africa
Bath One Good Friday Pageant
C & Y Fund
Wycliffe
FACT
Grant to support training in Pioneer Ministry
Others
Hardship Fund Church/Bridge
Neighbourhood Chaplains

Bitola, Macedonia, Church twinning
DEC Cyclone Idai appeal
Friends of Somerset Churches
Bridge Teas
A Rocha eco church
3
FIXED ASSET
(a) Tangible
Actual / deemed cost at 1st Jan
Disposal
Additions at cost
At 31st December
Depreciation at 1st Jan
Withdrawn on disposal
Charge for the year
Depreciation at 31st December
(b) Investments
Market value at 1st January
Purchases
Disposals
Revaluation
At 31st December
2021
£
2500
2000
300
---
--
--
1000
--
---
174
507
50
2000
---
50
210
2020
£
2500
2500
300
--
300
2800
1000
210
--
148
1033
300
2830
1000
50
--
8791
38407
---
---
38407
36874
230
37104
27898
3974
31873
12141
38407
--
---
38407
32448
4426
36874
26214
1684
27898

Holy Trinity Frome, Financial Report 2021 Page 11 There may be minor discrepancies in totals due to pence not being included

Holy Trinity Church, Frome

End of Year Financial Statements

31 December 2021

Holy Trinity Financial Report 2021

FINANCIAL REVIEW

This report covers the financial year and calendar year 2021. This year will again be remembered for the impact of the COVID-19 pandemic, as was 2020, which continued to affect every single aspect of Holy Trinity’s significant spectrum of activities from Praise and Worship, Toddlers and through to Finances. While the Government’s assistance schemes again helped our Staff costs, particularly the Children and Youth Fund, and the Bridge Fund with assistance to small businesses, the General Fund suffered even more significantly than in 2020 from reduced offerings.

Total receipts on the ordinary unrestricted fund, which represent the General Fund only, were £116,679 and are detailed in the Financial Statements. For direct comparison purpose with year (2019) the unrestricted General Fund income was £164,346. Hence a reduction on income, 2021 cf 2019 of £47,667. Total expenditure in the year from such income amounted to £137,182. The largest item was our Parish Share of £97,554 which was paid to the Diocese of Bath and Wells to enable it to provide the parish with clergy and support services. The net result for these funds was a deficit of £20,503 compared with a surfeit of £23,626 in 2019 and surfeit of £25,615 in 2018. Government assistance to these costs in 2021 was £1,778 from Staff Furlough schemes.

Designated Funds total receipts were £37,802 and expenditure was £53,163 resulting in a deficit of £15,361. These figures cover all designated Funds held by Holy Trinity. The funds mostly affected are the Hall; lack of rental income, the Nurse; little income just expenditure, the Bridge; ;income affected by Covid. However, it must be realised that when Andrew and Elizabeth Alden were appointed to be Young Adults Ministry representatives in Frome and surrounding villages then Holy Trinity was asked to hold a Fund for their work. This Fund, YAM can be seen as having a 2021 income of £8,338 and expenditure of £51. This Fund is in the process of being handed to the Deanery for management and accounting. These figures are not included in the Designated Funds amounts noted above, but are included in the detailed accounts.

Restricted Funds, which are; Children & Youth, Debt Centre, Fabric and the Redevelopment Funds had an income of £51,190 and an expenditure of £37,761 resulting in a surfeit of £13,428. This surfeit is substantially due to Government Staff Furlough schemes which amounted to £9,920 into the Children and Youth and Debt Centre Funds

The PCC has continued its long-standing policy of giving (tithes) 10% of general income to mission which for 2021 has included support for ministry in Bitola, North Macedonia and our association with the fledgling evangelical church there through TEN, however charitable giving in 2021 has not reached that %age being at £8,791 compared with giving at £100,466.

Following the PCC decision to support the C & Y Fund by an amount of £350 per month from the General Fund, which commenced in October 2019 this fund has enjoyed an excess of income over expenditure, even more so with the Governments Staff Furlough scheme. Accordingly, it was decided to temporarily cease this support. Toddlers of course ceased to operate through substantial periods of 2021 and has consequently not provided Toddler’s contribution of the usual £1,000 towards the C & Y fund.

The Fabric Fund has a negative balance of £6,432, this negative balance is slowly being reduced as income is realised from investment allocated only to Fabric, through 2021 this income amounted to £692

The Redevelopment (restricted) Fund was also resourced by a loan from The Diocese for £100,000 which is due for repayment over 10 years (2017-2027) repayments made to the end of this report period total £50,000. The redevelopment Fund stands at a negative £37,153 at the year-end which takes account of the outstanding £50,000 loan liability. Giving to the redevelopment fund has reduced as previously reported, however, following a lump sum given in 2021, we are now able to service the Diocesan Loan this year, 2022, but this will be a challenge to service from this fund, from 2023 onward.

The Bridge account had an income of £23,717 mostly due to a Government grant of £17,669. The Bridge expenditure was £27,633 almost entirely due to fixed costs, Rent and Maintenance, the PCC has decided to carry out significant maintenance at The Bridge through 2020 and into 2021, this maintenance cost was £19,064 during 2021. The Bridge management, led by John and Wendy Rootes have continued work when able to do so under the COVID-19 restrictions.

The Hall Fund income has significantly suffered due to COVID-19 restrictions resulting in a deficit of £5,393, while the Hall Hire Income runs the direct Hall expenses, as previously noted in my annual reports, the

Holy Trinity Frome, Financial Report 2021 Page 2 There may be minor discrepancies in totals due to pence not being included

General Church suffers cost for Administration and other aspects that are paid from our General Fund. The Hall is normally contra charged by the General Fund a sum to cover these appropriate costs.

Charitable Status

Holy Trinity Church is registered with the Charity Commission as The Parochial Church Council of the Ecclesiastical Parish of Holy Trinity, Frome. Registered number 1129366.

Reserves Policy

It is PCC policy to maintain a balance on unrestricted funds which covers three months of Parish Share payments to cover cash flow problems near the year end and to cope with unforeseen situations. Some funds are invested in CBF deposit funds. However, it can be realised from these accounts that the Church finances, having suffered due to COVID-19 comply with this policy, however, moving forward at the current level of Income and Expenditure this will be challenging within the next 15-18 months. The Diocese offered financial support to parishes suffering financially due to COVID-19 however Holy Trinity both decided not to apply for this support and indeed would almost certainly not have satisfied the qualifying criteria.

Outlook and Budget

We will have to service the Diocesan Loan, for the TT-TL project, at a repayment rate of £10,000 per year for the next 5 years. We currently have no plan or pledges to cover this, however this fund is in credit and can currently service the next 1 + years.

The Children and Youth workers Fund is now significantly more secure following Government Staff Furlough schemes. The Toddler’s fund is recovering as Toddler’s activities have re-commenced.

Members should be aware that the Children and Youth and Debt Centre are separate funds, as is Redevelopment, and if not specifically noted and supported by your giving then they enjoy no other income, furthermore these are Restricted Funds and monies can only be spent on their defined purposes except in extreme circumstances.

The Church members’ giving has been significantly affected by COVID-19 restrictions. It may be realised from these accounts that offerings on the plate each week as cash, totaled £26.925 in 2019 but only £7,281 in 2021, a reduction of £19,644, in addition standing orders and other regular giving reduced by £10,722. This also reduced Gift Aid reclaims by an amount of £6,369. These reductions total £36,735 being a significant reduction which affects the overall church activities and the reserves held in savings. Our Parish Share for 2021 was based upon reporting to the diocese completed in April 2020 covering the church attendance for the previous year, 2019 (pre-Pandemic). The Diocese decided this year, 2022 our Parish Share should remain substantially the same as 2021; while the financial outlook for 2022 remains acceptable, due to our reserves in the General Fund being £46,051 we look forward to church returning to normal and regular worshipping members numbers returning to pre COVID-19 level but more importantly the associated income returning. Current habits of not carrying cash and use of Card Payments have persuaded the PCC to install a Card Donation system which hopefully will help in recovering the lost income “on the plate”

As an aside a Legacy to a Registered Charity, such as Holy Trinity, can be a very efficient way to reduce Inheritance Tax rates, and provide funding to the charity, the legacy is therefore significantly greater than the drawdown on inherited assets, due to the remaining taxable inheritance being taxed at a reduced rate. If anyone is interested in this matter please talk with me.

18 January 2022

Chris Round,

Treasurer, HTC On Behalf of the Parochial Church Council

Approved at PCC meeting held on 26 January 2022, conditional on Independent Examiner’s report being unqualified.

Holy Trinity Frome, Financial Report 2021 Page 3 There may be minor discrepancies in totals due to pence not being included

Holy Trinity Church, Frome

Statement of Financial Activities

For the period from 01 January 2021 to 31 December 2021

Unrestricted Designated Restricted Endowment Total Prior year
funds funds funds funds funds total funds
Incoming resources
Incoming resources from generated funds
Voluntary income 111,964 15,998 40,578 168,540 180,232
Activities for generating funds 1,879 10,196 12,075 9,127
Investment income 167 692 859 1,057
Incoming resources from charitable activities 891 891 951
Other incoming resources 1,777 19,946 9,920 31,644 24,463
Total income 116,679 46,140 51,190 214,010 215,831
Resources used
Costs of generating funds
Costs of generating voluntary income 346 346 699
Fundraising trading: cost of goods sold and other costs 731 731 661
Charitable activities 136,882 52,483 37,714 227,080 213,994
Other resources used
Total expenditure 136,882 53,214 38,061 228,158 215,354
Net income / (expenditure) resources before transfer (20,203) (7,073) 13,128 (14,147) 477
Transfers
Gross transfers between funds - in 34 1,920 1,954 34,974
Gross transfers between funds - out (300) (1,654) (1,954) (34,974)
Other recognised gains / losses
Gains / losses on investment assets 3,974 3,974 1,684
Gains on revaluation, fixed assets, charity's own use
Net movement in funds (20,469) (6,807) 13,128 3,974 (10,172) 2,161
Reconciliation of funds
Total funds brought forward 66,820 32,106 8,776 27,898 135,601 133,440
Total funds carried forward 46,351 25,298 21,905 31,873 125,428 135,601
Represented by
Unrestricted
General fund 46,351 46,351 66,820
Designated
Church Hall Revenue Fund (9,173) (9,173) (3,780)
Fin Assistance to self empl 788 788 2,813
Parish Nurse 10,730 10,730 15,742
Parish Weekend away 34
The Bridge 6,915 6,915 10,532
Toddlers Fund 1,700 1,700 763
Young Adult Ministry 14,337 14,337 6,000
Restricted
Children & Youth Worker Fund 40,805 40,805 30,643
Debt Counselling 24,685 24,685 33,140
Fabric Fund (6,432) (6,432) (7,124)
Redevelopment Fund (37,153) (37,153) (47,883)
Endowment
Investments 31,873 31,873 27,898

Holy Trinity Frome, Financial Report 2021 Page 4 There may be minor discrepancies in totals due to pence not being included

Holy Trinity Church, Frome

Balance sheet (Summary) As at: 31 December 2021

As at 31/12/2021
£
As at 31/12/2020
£
Fixed assets
Tangible assets
Investments
Current assets
Debtors
Investments
Cash at bank and in hand
Net current assets less current liabilities
Total assets less current liabilities
Liabilities
Creditors: Amounts falling due after more than one year
Total net assets less liabilities
Represented by
Unrestricted
Unrestricted - General fund
Designated
Designated - Fin Assistance to self empl
Designated - Parish Nurse
Designated - Parish Weekend away
Designated - Young Adult Ministry
Designated - Church Hall Revenue Fund
Designated - The Bridge
Designated - Toddlers Fund
Restricted
Restricted - Debt Counselling
Restricted - Fabric Fund
Restricted - Redevelopment Fund
Restricted - Children & Youth Worker Fund
Endowment
Endowment - Investments
Funds of the church
1,302
31,873
33,175
7,295
13,817
121,138
142,252
142,252
175,428
50,000
125,428
46,351
788
10,730

14,337
(9,173)
6,915
1,700
24,685
(6,432)
(37,153)
40,805
31,873
125,428
1,532
27,898
29,430
6,464
13,810
145,895
166,170
166,170
195,601
60,000
135,601
66,820
2,813
15,742
34
6,000
(3,780)
10,532
763
33,140
(7,124)
(47,883)
30,643
27,898
135,601

Holy Trinity Frome, Financial Report 2021 Page 5 There may be minor discrepancies in totals due to pence not being included

Holy Trinity Church, Frome

Statement of Assets and Liabilities (by code) As at: 31 December 2021

Class and nominal code General Designated Restricted Endowment Total Last year
Fixed assets - Investments
A1005 : Investments 31,873.10 31,873.10 27,898.29
Total 31,873.10 31,873.10 27,898.29
Fixed assets - Tangible assets
A1003 : Office 1,302.83 1,302.83 1,532.31
Total 1,302.83 1,302.83 1,532.31
Current assets - Cash at bank and in hand
B3040 : The Bridge Current 579.61 5,492.61 6,072.22 9,902.08
Account
B3041 : The Bridge Cash 186.70 186.70 317.49
C3011 : Children & Youth Worker (136.06) 41.13 13,725.94 13,631.01 10,112.63
Fund
D3050 : Redevelopment Fund 5,351.14 1,400.80 6,751.94 7,749.33
G3010 : General Current Account 13,995.84 (2,675.86) 54,336.67 65,656.65 91,527.60
G3014 : General Cash Imprest 81.50
G3016 : Parish Weekend 34.00
H3020 : Hall Current Account 8,307.72 20,532.59 28,840.31 26,170.73
Total 28,098.25 23,577.17 69,463.41 121,138.83 145,895.36
Current assets - Debtors
Z05 : Accounts Receivable 4,114.47 1,721.25 1,460.00 7,295.72 6,464.67
Total 4,114.47 1,721.25 1,460.00 7,295.72 6,464.67
Current assets - Investments
F3060 : Fabric CBF Deposit 929.75 929.75 929.27
G3011 : General CBF Deposit 12,836.03 51.98 12,888.01 12,881.31
Total 12,836.03 981.73 13,817.76 13,810.58
Liabilities - Creditors: Amounts falling due after more than one year
ZZZ11 : Loan 50,000.00 50,000.00 60,000.00
Total 50,000.00 50,000.00 60,000.00
Net total assets 46,351.58 25,298.42 21,905.14 31,873.10 125,428.24 135,601.21

Represented by

Holy Trinity Frome, Financial Report 2021 Page 6 There may be minor discrepancies in totals due to pence not being included

Holy Trinity Church, Frome

Fund movement by type Selected period: 01 January 2021 to 31 December 2021

Fund and type
Fund balances
Incoming
Outgoing
Transfers
Gains and
Journal
Fund balances
brought forward
Resources
Resources
Losses
Entries
carried forward
Unrestricted
General - General fund
66,820
116,679
136,882
(266)


46,351
Sub-totals
66,820
116,679
136,882
(266)


46,351
Designated
Covid - Fin Assistance
2,813
975
3,000



788
to self empl
DEBTCOUN - Debt







Counselling
Nurse - Parish Nurse
15,742
5,866
10,878



10,730
Weekend - Parish
34
34
34
(34)



Weekend away
YAM - Young Adult
6,000
8,388
51



14,337
Ministry
Hall - Church Hall
(3,780)
6,762
10,535
(1,620)


(9,173)
Revenue Fund
Bridge - The Bridge
10,532
23,717
27,633
300


6,915
Toddlers - Toddlers
763
396
1,080
1,620


1,700
Fund
Sub-totals
32,106
46,140
53,214
266


25,298
Restricted
DEBTCOUN - Debt
33,140
5,437
13,892



24,685
Counselling
Fabric - Fabric Fund
(7,124)
691




(6,432)
Redevelop -
(47,883)
11,081
351



(37,153)
Redevelopment Fund
C&youth - Children &
30,643
33,980
23,817



40,805
Youth Worker Fund
Sub-totals
8,776
51,190
38,061



21,905
Endowment
Coif - Investments
27,898



3,974

31,873
Sub-totals
27,898



3,974

31,873
Totals
135,601
214,010
228,158

3,974

125,428

Holy Trinity Frome, Financial Report 2021 Page 7 There may be minor discrepancies in totals due to pence not being included

Holy Trinity Church, Frome

Analysis of income and expenditure Selected period: 01 January 2021 to 31 December 2021

Total
Unrestricted Designated Restricted Endowment This year Last year
Incoming resources
Incoming resources from generated funds
D0030 - Change 7,281 89 7,371 10,125
D0031 - Donations 18,241 12,225 10,777 41,244 41,766
D0032 - Grants & Legacies
D0040 - Sundry 227 34 261 518
D0041 - Events 294 294
D0042 - Fabric
D0043 - Books 531 531 89
D0044 - Toddlers 154 154 879
P0010 - Standing Orders 65,498 1,705 24,882 92,086 99,818
P0011 - Envelopes 5,317 5,317 5,403
P0020 - Inland Revenue Refund 14,571 1,878 4,828 21,279 21,630
P0021 - Vat: Listed places of Worship
Scheme
B0060 - Photocopying 5 5 115
B0061 - Windows
B0062 - Catering 798
B0063 - Sales not used
B0064 - Sales not used 2
B0065 - Sales not used 3
B0066 - sales not used 4
B0067 - Rent 1,323 588 1,911 1,516
B0068 - Bridge Sales 2,845 2,845 2,490
H0070 - Hall Hire 551 6,762 7,313 4,206
C0050 - Current Interest 38 0 38 252
I0051 - 1/2T Int 129 129 126
I0052 - 3T Int 691 691 678
Incoming resources from 114,010 26,194 41,270 181,475 190,417
generated funds Totals
Incoming resources from charitable activities
F0080 - Fees 891 891 951
Incoming resources from 891 891 951
charitable activities Totals
Other incoming resources
D0033 - Redev Fabric Congregational
Loan
P0023 - HMRC Job Ret Sch Covid 19 1,777 19,946 9,920 31,644 24,463
Other incoming resources Totals 1,777 19,946 9,920 31,644 24,463
Incoming resources Grand 116,679 46,140 51,190 214,010 215,831
totals

Holy Trinity Frome, Financial Report 2021 Page 8 There may be minor discrepancies in totals due to pence not being included

Resources used
Costs of generating funds
A1011 - Fund Raising Expenses
INT - Interest Paid
B1062 - Bridge Purchases
B1063 - Purchase not used
B1064 - Purchases not used 2
B1065 - Purchases not used 3
B1066 - Purchases not used 4
Costs of generating funds Totals
Charitable activities
A0010 - Preliminaries
B1067 - Rent
B1068 - Rates & water Rates
C1010 - Church Overseas
C1011 - Relief & Development
C1020 - Home Missions
C1021 - Seculiar Charities
D1050 - Parish Share
E1040 - Outreach
E1041 - Discipleship
F1030 - Depreciation 01
H1060 - Cleaner
R1090 - Insurance
R1091 - Cleaning
R1092 - Administrator
R1093 - Maintenance
R1094 - Stationery
R1095 - Telephone
R1096 - Equipment
R1097 - Sundries
R1098 - Petty Cash
R1099 - Catering
S1080 - Music
S1081 - Heat & Light
S1082 - Books
S1083 - Services
S1084 - Events
S1085 - Clergy
S1086 - Bank Charges
Y1001 - Fabric
Y1070 - Wages
Y1071 - Expenses
Z99999 - Depreciation
Charitable activities Totals
Other resources used
A1012 - Architects Fees
A1013 - Co-ordinator Fees
A1014 - Design costs
A1015 - Building and Construction
Costs
A1016 - Furnishings and equipment
Other resources used Totals
Resources used Grand totals








346

346
699

731


731
661

























731
346

1,077
1,360






92
6,971


7,063
5,313
146
199


345
578
3,750



3,750
5,625
2,500



2,500

1,100



1,100
2,005
210



210

97,553



97,553
99,834
2,098
4,976
3,600

10,674
9,383












3,211
2,335


5,546
3,962
890
890


1,780
1,770
382



382
162
6,123
4,261


10,385
10,927
3,711
19,940


23,652
5,956
502



502
429
717
557


1,275
940





847
4,431
312
100

4,843
4,159
400



400
100












3,330
1,717


5,047
5,922






1,346



1,346
428
60



60

343



343

726
6
34

767
342





834
2,742
10,019
33,696

46,459
46,284
280
296
283

859
3,757
229



229
4,426
136,882
52,483
37,714

227,080
213,994




































136,882
53,214
38,061

228,158
215,354
Unrestricted
Designated
Restricted
Endowment
Thisyear
Lastyear

Holy Trinity Frome, Financial Report 2021 Page 9 There may be minor discrepancies in totals due to pence not being included

Notes to the financial statements

For the year ended 31 December 2021

ACCOUNTING POLICIES

The financial statements have been prepared in accordance with the Church Accounting Regulations 2006 together with applicable accounting standards and the SORP 2015 SOFA.

The financial statements have been prepared under the historical cost convention except for the valuation of investment assets, which are shown at market value. The financial statements include all transactions, assets and liabilities for which the PCC is responsible in law. They do not include the accounts of church groups that owe their main affiliation to another body, nor those that are informal gatherings of church members.

Funds

Endowment funds are funds, the capital of which must be maintained; only income arising from investment of the endowment may be used either as restricted or unrestricted funds depending upon the purpose for which the endowment was established.

Restricted funds represent (a) income from trusts or endowments which may be expended only on those restricted objects provided in the terms of the trust or bequest, and (b) donations or grants received for a specific object or invited by the PCC for a specific object. The funds may only be expended on the specific object for which they were given. Any balance remaining unspent at the end of each year must be carried forward as a balance on that fund. The PCC does not usually invest separately for each fund. Where there is no separate investment, interest is apportioned to individual funds on an average balance basis.

Designated funds have been set up for the designated object as indicated by their title, these funds will be disbursed only for that object purpose.

Unrestricted funds are general funds which can be used for PCC ordinary purposes.

Incoming resources

Planned giving, collections and donations are recognized when received. Tax refunds are recognized when the incoming resource to which they relate is received. Grants and legacies are accounted for when the PCC is legally entitled to the amounts due. Dividends are accounted for when receivable, interest is accrued. All other income is recognised when it is receivable. All incoming resources are accounted for gross.

Resources expended

Grants and donations are accounted for when paid over or when awarded, if that award creates a binding or constructive obligation on the PCC. The diocesan parish share is accounted for when due. Amounts received specifically for mission are dealt with as restricted funds. All other expenditure is generally recognized when it is incurred and is accounted for gross.

Fixed assets

Consecrated and benefice property is not included in the accounts in accordance with s.96(2) (a) of the Charities Act 1993. Movable church furnishings held by the vicar and churchwardens on special trust for the PCC and which require a faculty for disposal are inalienable property, listed in the church’s inventory, (the Terrier) which can be inspected (at any reasonable time). For anything acquired prior to 2004 there is insufficient cost information available and therefore such assets are not valued in the financial statements. Furthermore all matters pertaining to the Redevelopment Works are not valued in the financial statements and are not considered as assets to be depreciated or replaced.

Equipment used within the church premises is depreciated on a reducing balance basis, at 15% for furniture and fixtures, and 25% for office equipment. Individual items of £500 or less are written off when the asset is acquired, and assets that are considered to have exceed a reasonable life expectancy are written off at that time.

Investments are valued at market value 31 December 2021

Holy Trinity Frome, Financial Report 2021 Page 10 There may be minor discrepancies in totals due to pence not being included

2
CHARITABLE DONATIONS
FEBA – B&M Adams
C&N Moreton
Christian aid
REAP Africa
Bath One Good Friday Pageant
C & Y Fund
Wycliffe
FACT
Grant to support training in Pioneer Ministry
Others
Hardship Fund Church/Bridge
Neighbourhood Chaplains

Bitola, Macedonia, Church twinning
DEC Cyclone Idai appeal
Friends of Somerset Churches
Bridge Teas
A Rocha eco church
3
FIXED ASSET
(a) Tangible
Actual / deemed cost at 1st Jan
Disposal
Additions at cost
At 31st December
Depreciation at 1st Jan
Withdrawn on disposal
Charge for the year
Depreciation at 31st December
(b) Investments
Market value at 1st January
Purchases
Disposals
Revaluation
At 31st December
2021
£
2500
2000
300
---
--
--
1000
--
---
174
507
50
2000
---
50
210
2020
£
2500
2500
300
--
300
2800
1000
210
--
148
1033
300
2830
1000
50
--
8791
38407
---
---
38407
36874
230
37104
27898
3974
31873
12141
38407
--
---
38407
32448
4426
36874
26214
1684
27898

Holy Trinity Frome, Financial Report 2021 Page 11 There may be minor discrepancies in totals due to pence not being included

Independent examiners, report to the members of the Parochial Church Council of Holy Trlntty Church. Frome I report on the accounts of the church for the year ended 31 De￿M￿r 2021, which are set out on pages I to Ll Respective responsibilities of trustees and axaminer The members of the PCC, as the charity's trustees. are responsible for the preparation of the accounts. The charity's trustees Consider that an audit is not required for this year (under secaion 144{2) of the Charities Act 2011 (the 2011 Act)) and that an independent examination is needed. It is my responsibility to= 8xamine the accounts (under section 145 of the 2011 Act),. to follow the procedures laTrd down in the Genaral Directions given by the Charity Commissioners (under Section 145(5) of the 2011 Act)., and to state whether particular matters have come to my attention. Basis of independent 8X8miners' report My examination was carried out in accordance with the General Directions given by the Charrty Commissioners. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. 11 also includes consideration of any unusual items or disclosures in the accounts, and the seeking of explanations from you as trustees con￿rning any such matters. The procedures undertaken do not provide all the evid8nce that would be required in an audit and, consequently. I do not express an audit opinion on the view given by the accounts. Independent 8X8miners' slatement In connection with my examination, no matter has Come to my attention- (11 which gives me reasonable cause to believe that, in any malerial respect, the requirements-. to keep accounting records in accordance with s130 of the 2011 Act,. and to prepare accounts which accord with the accounting records and to omply with the accounting requirements of the 2011 Act have not been met.. or to which, in my opinion. attention should be drawn in order to enable a proper understanding of the accounts to be reached. 12) Nigel Harris BA CTA ATT Accountant & Chartered Tax Adviser Burton Sweet Cooper House Lower Charlton Estate Shepton Mallet Somerset BA4 5QE 25 February 2022