## **THE PCC OF THE ECCLESIASTICAL PARISH OF ST MARY THE VIRGIN BURWELL WITH ST ETHELDREDA AND THE HOLY TRINITY REACH** **Trustees’ Report and Accounts For the year ended 31[st] December 2022** **Registered Charity No 1129567** _Page 1_ # **THE PCC OF THE ECCLESIASTICAL PARISH OF ST MARY THE VIRGIN BURWELL WITH ST ETHELDREDA AND THE HOLY TRINITY REACH** # **Trustees Report for the year ended 31[st] December 2022** **PCC Members during the year** Ex-officio members Rev Canon Dr Eleanor Williams Incumbent Rev Paula Spalding Associate Priest Stephen Martin Wendy Smith Churchwarden Churchwarden Janine Stewart Valerie Badcock Joint Secretary Joint Secretary ## Deanery Synod Representatives Joanna Proctor Christine Fleming Elected Members Thomas Elton Caroline Smith Robin Proctor Simon Ogilvie Katherine Ogilvie Sally Swann Churchwarden’s Assistant Churchwarden’s Assistant _Page 2_ # **THE PCC OF THE ECCLESIASTICAL PARISH OF ST MARY THE VIRGIN BURWELL WITH ST ETHELDREDA AND THE HOLY TRINITY REACH** ## **Trustees Report for the year ended 31[st] December 2022** **Vicarage Address:** The Vicarage 22 Isaacson Road Burwell Cambridge CB25 0AF **Registered Charity Number:** 1129567 **Independent Examiner:** Mr Simon Rogers 1 Pound Close Burwell Cambridge CB25 0EP **Bankers:** Barclays Bank plc CCLA Investment Management Ltd 58 High Street CBF Church of England Funds Newmarket 1 Angel Lane Suffolk London CB8 8NH EC4R 3AB The parish church of St Mary the Virgin stands in a prominent position in High Street, Burwell, Cambs, CB25 0HB. It is in the Parish of Burwell with Reach, within the Fordham and Quy Deanery. St Mary’s is a very fine Perpendicular building and is Grade 1 listed. It also forms part of a conservation area. St Mary’s Church stands on a site previously occupied by an Anglo Saxon church in a conservation area at the south-western end of the village. It is part of a complex of ancient buildings including (the remains of) Burwell Castle, built by King Stephen in the C12[th] and itself on the site of a substantial Roman building, adjacent to a spring. The Church of St Etheldreda and The Holy Trinity, Fair Green, Reach, Cambridgeshire CB25 0JD is a Grade II listed Victorian church. It occupies a prominent position on the east side of the green in the centre of the village, alongside the Village Centre and the village pub. Its Victorian architecture is completely in keeping with the overall ambience of the village. The parishes of Burwell and Reach were combined in April 2004 to form the benefice of Burwell with Reach. _Page 3_ ## **THE PCC OF THE ECCLESIASTICAL PARISH OF ST MARY THE VIRGIN BURWELL WITH ST ETHELDREDA AND THE HOLY TRINITY REACH** ## **Trustees Report for the year ended 31[st] December 2022** ## **Structure Governance and Management** The PCC confirm that the annual report and audited accounts comply with the requirements of the Charities Act 2011 and the Charities SORP 2005. ## **Governing Document** The Parochial Church Council is a corporate body established by the Church of England and the PCC operates under the Parochial Church Council Powers Measure. ## **Recruitment and Appointment of PCC** The appointment of PCC members is governed by and set out in the Church Representation Rules. ## **Risk Management** The PCC has carried out a review of the major risks to which the charity is exposed. Where appropriate policies have been established to mitigate the risks the charity faces. These policies are periodically reviewed to ensure they continue to meet the needs of the charity. ## **Organisational Structure** In order to carry out its aims and objectives, the PCC sets up sub-committees, which may include other church members. Among these are groups to manage the church shop and the Guildhall. ## **Related Parties** ## _**St Mary’s Preservation Trust**_ The Preservation Trust is an independent charity, set up by the PCC in 1979 with the sole responsibility of conserving the fabric of the building of the church for the benefit of future generations. It is non-denominational and draws funds from both regular supporters and grantmaking bodies. ## _**Feoffees**_ Burwell Church Lands Charity dates back to the 16th century when land was donated for the benefit of the Poor and the maintenance of the Parish Church. It now makes modest grants to assist children and young people living in Burwell to pursue their educational needs, and supports the upkeep of the Guildhall and grants the Church use of the building. _Page 4_ ## **THE PCC OF THE ECCLESIASTICAL PARISH OF ST MARY THE VIRGIN BURWELL WITH ST ETHELDREDA AND THE HOLY TRINITY REACH** ## **Trustees Report for the year ended 31[st] December 2022** ## **Objectives and Aims** In accordance with The PCC Powers Measure of 1956, the PCC aims to co-operate with the Vicar in promoting in the parish the whole mission of the Church, pastoral, evangelistic, social and ecumenical. ## **Mission Statement** As the parish churches of Burwell & Reach we gather as people of all ages, seeking to grow together in faith, hope and love, sharing the good news of God’s love through - Our prayer and worship - Our daily lives - Our service in our communities & in the world - Our buildings being warm & welcoming centres of prayer and community life. ## **Public Benefit** The PCC has paid due regard to the Charity Commission guidance on public benefit. We aim to provide a welcoming building for use of the whole community, whilst also meeting the expanding needs of the church. Our buildings are open not only as places of worship, but also as venues for cultural events such as concerts and exhibitions, for smaller community meetings. While recognising our rich heritage, we are moving forward with new facilities to enhance our buildings. ## **Achievements and Performance** Our pattern of services in Burwell was restored this year, following the disruption caused by the Covid pandemic and numbers attending have gradually increased. Three regular events which make good use of our refreshment area have also proved popular. The new monthly Café church starts with time for chat, refreshments and craft activities and continues with a short service. The midweek communion service has been developed to include a time for socialising and coffee afterwards and Refresh Café, our weekly group for babies and toddlers with their parents and carers continues to thrive, with more than 50 attending on some occasions. One of the highlights of the year was the late Queen’s Platinum Jubilee. Crafters throughout the village made thousands of butterflies which were hung from the top of the tower as well as festooning the inside of the church. This was a wonderful way for the whole community to come together to create a symbol of peace and hope. Sadly, later in the year, we also marked the Queens funeral, providing space for people to reflect and pay their respects. _Page 5_ ## **THE PCC OF THE ECCLESIASTICAL PARISH OF ST MARY THE VIRGIN BURWELL WITH ST ETHELDREDA AND THE HOLY TRINITY REACH** ## **Trustees Report for the year ended 31[st] December 2022** Our partnerships within the community have continued to grow and we are involved in the distribution of excess food from the local supermarket and also with provision of assistance to those in need in these difficult times. The building project in Reach was in progress throughout the year and services were held in the village hall. We are very pleased with the changes and we look forward to developing the use of the building. The Guildhall and CentrePeace both required significant repairs this year, which were all successfully completed . ## **Financial Review** Unrestricted incoming resources were lower than last year at £107,934. The bulk of this income derives from the generous giving of Church members, but last year also benefited from a substantial legacy. Resources expended of £103,277 showed reductions from pre Covid levels, partly due to less use of Church buildings, but were affected by heavy expenditure on repairs to the Guildhall and CentrePeace shop. The PCC policy of making charitable grants of ten per cent of unrestricted income was maintained, and £7,235 was transferred to the restricted Mission Giving fund to support this. Both our Churches benefited from £600 heating Grant from the Diocese. The net deficit on unrestricted funds was £2,578 compared to the previous year’s surplus of £3,941. Unrestricted reserves stood at £113,208 at the end of the year. Restricted funds recorded total incoming resources including transfers of £12,738. Expenditures on the Reach re-ordering project which continued throughout the year totaled £357,127. Full advantage is being taken of the VAT recovery available from the Listed Places of Worship Grant Scheme. Mission giving grants were £8,562. Due to the uncertain economic situation, significant investment losses were recorded of £66,586 resulting in closing restricted reserves of £677,389. Work on St Etheldreda’s was not quite finished at the end of the year, but the Church has been used for several services, already demonstrating the large benefits of a warm and well insulated building together with new kitchen and toilet facilities all made possible by the funds provided from the generous Whitehead legacy. In summary, although reserves are strong, it is becoming a challenge to maintain Church income at a level that does not deplete these reserves year on year. This is particularly so now that energy costs are set to rise hugely in 2023 as we move out of low fixed price contracts to today’s inflated price levels. ## **Safeguarding Statement** The PCC has complied with the duty under section 5 of the Safeguarding and Clergy Discipline Measure 2016 (duty to have regard to House of Bishops’ guidance on safeguarding children and vulnerable adults). _Page 6_ ## **THE PCC OF THE ECCLESIASTICAL PARISH OF ST MARY THE VIRGIN BURWELL WITH ST ETHELDREDA AND THE HOLY TRINITY REACH** ## **Trustees Report for the year ended 31[st] December 2022** ## **Principal Funding Sources** The major regular source of income is charitable donations from a generous and committed congregation. Useful additional income is derived from endowment fund dividends and income from Guildhall lettings. The church shop is merely self-supporting. ## **Investment Policy** The PCC reserves and endowment funds are invested with the CBF Church of England Funds, and in appropriate deposit accounts which are reviewed regularly. ## **Reserves Policy** The PCC aims to maintain unrestricted reserves at a level of between six months and eighteen months average expenditure. At the end of 2022 unrestricted cash reserves were approximately £113,000, with annual unrestricted expenditure of £104,000. ## **Future Developments** At St Mary’s, we plan to continue developing our links with the community and working with families. We have set up a group to consider potential alternative methods of heating that could be used in future to reduce our carbon footprint. As the development project at St Etheldreda’s is completed, we look forward to using the building for services and events, as well as for the benefit of the wider community. We will also work on landscaping the grounds for biodiversity, with a view to registering under the Quiet Gardens scheme Approved at the Parochial Church Council meeting on 22[nd] March 2023 _Signed:_ Rev Canon Dr Eleanor Williams (Vicar) _Page 7_ # **THE PCC OF THE ECCLESIASTICAL PARISH OF ST MARY THE VIRGIN BURWELL WITH ST ETHELDREDA AND THE HOLY TRINITY REACH** # **Independent Examiner’s Report on the Accounts** ## **Responsibilities of trustees and examiner** The charity's trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011, and that an independent examination is needed. This report on the accounts of the PCC for the year ended 31 December 2022 is in respect of an examination carried out under section 145 of the Charities Act 2011, following procedures laid down in the General Directions given by the Charity Commission. The report will state whether particular matters have come to my attention. ## **Basis of independent examiner's statement** My examination was carried out in accordance with General Directions given by the Charity Commissioners. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not express an audit opinion on the accounts. ## **Independent examiner's statement** In connection with my examination no matter has come to my attention: a) which gives me reasonable cause to believe that in any material respect the requirements to keep accounting records in accordance with section 130 of the 2011 Act, and to prepare accounts which accord with the accounting records and comply with the accounting requirements of the 2011 Act have not been met; or b) to which attention should be drawn in order to enable a proper understanding of the accounts to be reached. ## _**Signed**_ 11[th] February 2023 Mr Simon Rogers 1 Pound Close Burwell, Cambridge, CB25 0EP _Page 8_ ## **Statement of Financial Activities** ||**Unrestricted**
**Restricted**
**Endowment**
**Total**
**Prior year**
**funds**
**funds**
**funds**
**funds**
**total funds**| |---|---| |**Incoming resources**
Incoming resources from generated funds
Voluntary income
Activities for generating funds
Investment income
Other voluntary income
Incoming resources from charitable activities
Other incoming resources
**Total income**
**Resources used**
Grants
Charitable activities
Charitable activities - support costs
Governance costs
Costs of generating funds
**Total expenditure**
Gains / losses on investment assets
**Net income / (expenditure) resources before**
**transfer**
**Transfers**
Gross transfers between funds - in
Gross transfers between funds - out
**Other recognised gains / losses**
Gains on revaluation, fixed assets, charity's own use
**Net movement in funds**
**Total funds brought forward**
**Total funds carried forward**
**Represented by**
**Unrestricted**
General fund
Reach Legacy Fund
**Designated**
Building Work Fund
Capital Expenditure Fund
Mission Giving Fund
**Restricted**
Agency collection
Bridgeman Trust Fund
Building Work Fund
Burwell Sunday School Fund
Capital Expenditure Fund
Mission Giving Fund
Reach Legacy Fund
St Andrew's Church Fund
Youth Work and Sunday School F|72,256
3,950
—
76,205
73,882
1,647
—
—
1,647
645
16,118
451
—
16,570
13,208
98
1,102
—
1,200
15,718
17,684
—
—
17,684
12,716
131
—
—
131
2,051| ||**107,934**
**5,503**
**—**
**113,437**
**118,220**
625
8,562
—
9,187
7,560
100,448
357,127
—
457,575
137,114
2,179
—
—
2,179
1,214
—
—
—
—
—
26
102
—
128
84| ||**103,277**
**365,791**
**—**
**469,068**
**145,972**
—
(66,586)
—
(66,586)
109,104| ||**4,657**
**(426,874)**
**—**
**(422,217)**
**81,352**
25,000
7,235
—
32,235
24,100
(32,235)
—
—
(32,235)
(24,100)
—
—
—
—
—| ||**(2,578)**
**(419,639)**
**—**
**(422,217)**
**81,352**| ||**115,786**
**1,097,028**
**—**
**1,212,814**
**1,131,462**| ||**113,208**
**677,389**
**—**
**790,597**
**1,212,814**
53,622
—
—
53,622
46,808
34,081
—
—
34,081
32,076
—
—
—
—
—
25,505
—
—
25,505
36,902
—
—
—
—
—
—
—
—
—
—
—
1,322
—
1,322
1,499
—
47,084
—
47,084
43,677
—
3,757
—
3,757
3,757
—
—
—
—
—
—
—
—
—
500
—
333,047
—
333,047
717,332
—
289,260
—
289,260
327,853
—
2,920
—
2,920
2,411| _Page 9_ ## **Balance sheet** |**Class and code**
**Description**|**This year**
**Last year**| |---|---| |**Fixed assets**
Audio visual equipment
Kitchen equipment
Reach Legacy Acc
Reach Legacy Inc
St Andrew's mission church
Bridgeman trust
I
Burwell Sunday school
**Total Fixed assets**
**Current assets**
Barclays current account
Barclays deposit account
CBF deposit account
Barclays current account - Bldg
Floats
CBF deposit account - Bldg
Gift aid tax recoverable
Stock - CentrePeace
Accounts Receivable
**Total Current assets**
**Liabilities**
Post Box Account
Agency collections
Accounts Payable
**Total Liabilities**
**Net Asset surplus(deficit)**
**Reserves**
Excess / (deficit) to date
Starting balances
Gains/(losses) on investment assets
**Total Reserves**
**Represented by funds**
Unrestricted
Designated
Restricted
Endowment
**Total**|520
780
360
480
—
134,843
162,599
184,293
289,260
327,853
1,322
1,499
3,757
3,757| ||**457,817**
**653,505**
111,788
24,575
22,619
12,598
143,728
467,630
17,170
14,102
260
260
29,789
29,403
3,616
2,707
200
200
5,656
8,888| ||**334,826**
**560,363**
—
—
—
—
2,047
1,054| ||**2,047**
**1,054**| ||**790,597**
**1,212,814**| ||(355,632)
(27,752)
1,212,814
1,131,462
(66,586)
109,104| ||**790,597**
**1,212,814**
87,703
78,884
25,505
36,902
677,389
1,097,028
—
—| ||**790,597**
**1,212,814**| Approved at the Parochial Church Council Meeting on 22[nd] March 2023 _Signed:_ Rev’d Canon Dr Eleanor Williams (Vicar) Terry Chalmers (Treasurer) _Page 10_ ## **Analysis of income and expenditure** ||||||**Total**|| |---|---|---|---|---|---|---| ||**Unrestricted Designated**||**Restricted**|**Endowment**|**This year**|**Last year**| |**INCOME AND ENDOWMENTS**||||||| |**Incoming resources from generated funds - Voluntary income**||||||| |1101BF - Bank giving - Bldg|—|—|2,570|—|2,570|2,880| |1101CH - Bank giving|40,412|—|—|—|40,412|41,408| |1102CH - Envelope giving|4,433|—|—|—|4,433|4,508| |1103CP - Other planned giving|1,110|—|—|—|1,110|3,627| |1104CH - Plate collections|3,049|—|827|—|3,876|1,565| |1105BF - Gift aid tax recoverable -|—|—|553|—|553|630| |Bldg||||||| |1105CH - Gift aid tax recoverable|11,853|—|—|—|11,853|11,197| |1106CH - WeddingFuneral|170|—|—|—|170|10| |collections||||||| |1107BF - Gift days - Bldg|—|—|—|—|—|—| |1107CH - Gift day donations|3,530|—|—|—|3,530|—| |1108BF - Donations - Bldg|—|—|—|—|—|—| |1108CH - Donations|7,700|—|—|—|7,700|8,057| |Total|72,256|—|3,950|—|76,205|73,882| |**Incoming resources from generated funds - Activities for generating funds**||||||| |1401CH - Fete proceeds|—|—|—|—|—|—| |1402BF - Fund raising events - Bldg|—|—|—|—|—|—| |1402CH - Other fund raising events|1,647|—|—|—|1,647|645| |1403CH - Leaflet sales|—|—|—|—|—|—| |Total|1,647|—|—|—|1,647|645| |**Incoming resources from generated funds - Investment income**||||||| |1501CH - Dividends|4,836|8,603|—|—|13,439|12,997| |1502SS - Dividends - Sunday School|—|—|64|—|64|42| |1503BF - Bank deposit interest - Bldg|—|—|387|—|387|15| |1503CH - Bank deposit interest|2,680|—|—|—|2,680|153| |Total|7,515|8,603|451|—|16,570|13,208| |**Incoming resources from generated funds - Other**||**voluntary**|**income**|||| |1201BF - Grants received - Bldg|—|—|—|—|—|—| |1201EL - Grants received - Youth|—|—|—|—|—|—| |exchge||||||| |1201YW - Youth work and outreach|—|—|1,102|—|1,102|145| |income||||||| |1202CH - Appeals|—|—|—|—|—|—| |1203BF - Legacies - Bldg|—|—|—|—|—|—| |1203CH - Legacies|—|—|—|—|—|15,500| |1204CH - Wall safe|98|—|—|—|98|73| |Total|98|—|1,102|—|1,200|15,718| |**Incoming resources from charitable activities**||||||| |1301CP - CentrePeace takings|3,214|—|—|—|3,214|986| |1302GH - Guildhall lettings|8,057|—|—|—|8,057|7,221| |1303CH - WeddingFuneral fees|6,414|—|—|—|6,414|4,510| |Total|17,684|—|—|—|17,684|12,716| _Page 11_ |**Other incoming resources**
1601CH - Other income
1601EL - Other income - Youth
exchge
1601SS - Other income - S/School
1602CH - Insurance claims
Total|131
—
—
—
131
2,051
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—| |---|---| ||131
—
—
—
131
2,051| |**INCOME TOTAL**|99,331
8,603
5,503
—
113,437
118,220| ## **EXPENDITURE** |**Grants**
2101CH - Overseas missions
2102CH - Overseas relief agencies
2103CH - Home missions and
Societies
2110CH - Social Support
Total
**Charitable activities**
2201CH - Ministry Share
2202CH - Clergy expenses
2203CH - Verger and services costs
2204CH - Choir and organ costs
2205CH - Director of Music
honorarium
2211CH - Electricity
2211CP - Electricity - CentrePeace
2211GH - Electricity - Guildhall
2212CH - Fuel oil and gas
2213GH - Gas - Guildhall
2214CP - Water - CentrePeace
2214GH - Water - Guildhall
2215CP - Rent - CentrePeace
2216CP - General rates -
CentrePeace
2217CH - Insurance
2217GH - Insurance - Guildhall
2218CP - Telephone - CentrePeace
2221CH - Maintenance and cleaning
2221CP - Maintenance -
CentrePeace
2221GH - Cleaning - Guildhall
2222CH - Repairs and renewals
2222GH - Maintenance - Guildhall
2223BF - Building to serve project -
Bldg
2224CH - Reach Church Re-ordering
2225CH - Depreciation
2231SS - Teaching materials
2231YW - Youth work and outreach
expenses
2232YW - Youth worker bursary
2233EL - Exchange visits
2241CP - Stock purchases -
CentrePeace
2242CH - Miscellaneous expenses|—
—
1,500
—
1,500
1,200
—
—
2,055
—
2,055
1,850
120
—
5,007
—
5,127
4,510
505
—
—
—
505
—| |---|---| ||625
—
8,562
—
9,187
7,560
58,021
—
—
—
58,021
59,112
2,184
—
—
—
2,184
1,566
917
—
—
—
917
946
1,213
—
—
—
1,213
1,575
—
—
—
—
—
—
2,635
—
—
—
2,635
2,014
715
—
—
—
715
153
1,811
—
—
—
1,811
574
1,035
—
—
—
1,035
613
1,605
—
—
—
1,605
1,320
178
—
—
—
178
158
426
—
—
—
426
514
4,160
—
—
—
4,160
4,160
163
—
—
—
163
61
4,941
—
—
—
4,941
4,903
900
—
—
—
900
900
—
—
—
—
—
—
3,366
—
—
—
3,366
3,134
4,395
—
—
—
4,395
36
922
—
—
—
922
324
3,158
—
—
—
3,158
4,336
5,270
—
—
—
5,270
12,872
—
—
—
—
—
—
—
—
356,470
—
356,470
34,897
380
—
—
—
380
655
—
—
—
—
—
104
—
—
657
—
657
320
—
—
—
—
—
—
—
—
—
—
—
—
151
—
—
—
151
303
1,445
—
—
—
1,445
1,564| _Page 12_ |2242CP - Sundry expenses -
CentrePeace
36
—
—
—
36
—
2242GH - Sundry expenses -
Guildhall
420
—
—
—
420
—
Total
100,448
—
357,127
—
457,575
137,114
**Charitable activities - Charitable activities - support costs**
2301CH - Printing and stationery
1,567
—
—
—
1,567
1,100
2302CH - Books and publications
612
—
—
—
612
114
2303CH - Sundry administration
costs
—
—
—
—
—
—
Total
2,179
—
—
—
2,179
1,214
**Governance costs**
2304CH - Audit fee
—
—
—
—
—
—
Total
—
—
—
—
—
—
**Costs of generating funds**
2401BF - Costs of fund raising events
- Bldg
—
—
—
—
—
—
2401CH - Costs of fund raising
events
26
—
—
—
26
—
2402BF - Other fund raising costs -
Bldg
—
—
85
—
85
84
2402CH - Other fund raising costs
—
—
17
—
17
—
Total
26
—
102
—
128
84|36
—
—
—
36
—
420
—
—
—
420
—| |---|---| ||2,179
—
—
—
2,179
1,214
—
—
—
—
—
—| ||—
—
—
—
—
—
—
—
—
—
—
—
26
—
—
—
26
—
—
—
85
—
85
84
—
—
17
—
17
—| ||26
—
102
—
128
84| |**EXPENDITURE TOTAL**|103,277
—
365,791
—
469,068
145,972| ||| |**GRAND TOTAL**|(3,946)
8,603
(360,288)
—
(355,632)
(27,752)| _Page 13_ ## **THE PCC OF THE ECCLESIASTICAL PARISH OF ST MARY THE VIRGIN BURWELL WITH ST ETHELDREDA AND THE HOLY TRINITY REACH Notes to the Financial Statements for year ended 31[st] December 2022** ## **STATEMENT OF ACCOUNTING POLICIES** The financial statements have been prepared under the Charities Act 2011 and in accordance with the Church Accounting Regulations 2006 governing the individual accounts of PCCs, together with applicable accounting standards and the Statement of Recommended Practice, Accounting and Reporting by Charities (SORP 2005). The financial statements have been prepared under the historical cost convention. ## **Funds** General funds represent the funds of the PCC that are not subject to any restrictions regarding their use and are available for application on the general purposes of the PCC. Funds designated for a particular purpose by the PCC are also unrestricted. The accounts 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. Restricted funds represent amounts given to the PCC where the donor has specified that the funds are spent on a particular purpose. - ## **Incoming Resources** ## _Voluntary income_ Collections are recognised when received by the PCC. Gift Aid donations are administered directly by the Church and the Gift Aid is recognised as income at the same time that the donation is recognised as income, which is when the donation is received. Grants and legacies to the PCC are accounted for as soon as the PCC is notified of its legal -1 (1) entitlement, the ultimate receipt is virtually certain, and the monetary value can be measured reliably. Amounts charged and raised at church events, such as money for food provided, and sale of books and craft items at the church shop, are recognised as income. Associated expenditure is recognised separately under Resources Expended. ## _Gifts in kind_ Gifts in kind are accounted for at a reasonable estimate of their value at the time of gift to the PCC, if material and feasible, or else at the amount actually realised from their disposal. _Rental income_ Rental income from the letting of church premises is recognised when the rent is due in accordance with the arrangement, lease or licence. ## _Income from investments_ Dividends and interest are accounted for when receivable. ## **Resources Expended** ## _Liabilities_ Liabilities are recognised as soon as the legal or constructive obligation arises. _Grants payable_ These are recognised in the accounts when a commitment has been made externally and there are no pre-conditions still to be met for entitlement to the grant which remain within the control of the PCC. ## _Activities directly relating to the work of the Church_ The diocesan quota or ministry share is accounted for when payable. Any quota unpaid at 31 December is provided for in these accounts as an operational (though not a legal) liability and is shown as a creditor in the Balance Sheet. **Fixed Assets** _Governance costs_ These could include the costs of the preparation and audit of the statutory accounts and the cost of any legal advice to trustees on governance or constitutional matters. _Page 14_ ## _Consecrated land and buildings and movable church furnishings_ Consecrated and beneficed property is excluded from the accounts by Section 10(2) (a) and (c) of the Charities Act 2011. No value is placed on moveable church furnishings held by the church wardens on special trust for the PCC and which require a faculty for disposal since the PCC considers this to be inalienable property. All expenditure incurred during the year on consecrated or benefice buildings and moveable church furnishings, whether maintenance or improvement, is written off as expenditure in the Statement of Financial Activities and separately disclosed. ## _Capitalisation of tangible fixed assets_ Tangible fixed assets are capitalised if they will be used for more than one year and cost over £300. ## _Depreciation of tangible fixed assets_ Depreciation is provided on all fixed assets on a straight line basis calculated to write off the cost over their expected useful lives, as follows: ||||Short-life electrical
equipment|Short-life electrical
equipment|Short-life electrical
equipment||4
years|||||| |---|---|---|---|---|---|---|---|---|---|---|---|---| ||||Other fittings and
equipment||||10
years|||||| |||||||||||||| No depreciation is provided on buildings due to their high residual value. ## **Stock** Stock is second hand books and craft items held for sale in the Church shop. It is valued at the lower of cost and net realisable value, with no value given to s/hand books. ## **Current Assets** Amounts owing to the PCC at 31 December in respect of fees, rents, grants or other income, less provision for amounts that may prove uncollectable, are shown as other debtors. ## **Taxation** The PCC is a charity and as such is not liable to taxation. The value of any voluntary help received is not included in the accounts but is described in the trustees' annual report. _Page 15_