Report of the Trustees and Unaudited Financial Ststements f¢r the Year EThJed 31st December 2024 Testwood Baptist Church Testwood Baptist Church Contents of the Financial Statements for the Year Ended 315t December 2024 Page Reference and Administrative Details Report of the Trustses Independent Examlner's Report Statement of Financlal Acliwtte5 Balance Sheet NDtes to the Financial Statements 10 to 19 Testwood Baptist Church Reference and Administrative Detai15 for the Year Ended 31st December 2024 TRUSTEES The Revd M Huckle Isenior Pastorl Mr H Francis (Treasurer) Mrs M MiJNay Mr P Pike Mr C Ridout Mrj Frowd Mr R King Mr A Price Mr N Tuck Mr M Hones The Revd J A Shepherd (Associate Pastor) PRINCIPALADDRESS 283a Salisbury Road Totton Southampton 5040 3LZ REGISTERED CHARITY NUMBER 1129913 INDEPENDENT EXAMINER Sheen Stickland Chartered Accountants 2 Oriel Court Omega Park A￿on Hampshire GU34 2 BANKERS Lloyds Bank plc 30 Commercial Road Totton &)uthampton PROPERTY TRUSTEES The Baptist Union Corporation Limited Baptist House 129 Broadway Didcot Oxfordshire OXII 8RT Page I Testwood Baptist Churth Report of the Trustees for the Year Ended 31st December 2024 The trustees present their Annual Report and financial ststements in respect of the year ended 31st December 2024. OBJEcllvES AND ACTIVITIES Charltable Objert The Chaiity is governed by an Approved Goveming tlocument dèted 20th March 21K)8 which states that the principal purpose of the charity is the advancement of the Christian faith according to the principles of the Baptist denomination to include the advancement of educath)n. community seNce and such other general charitable purposes in such parts of the United Kingdom and the world as the Church shall determine. The Chuich occupies premises, which are held by the Baptist Union Cofporation Ltd, on Trusts which are entire￿ compatible wtth the above object. Page 2 Testwood Baptist Church Report of the Trustees for the Year Ended 31st December 2024 OBJEcnvE5 AND A￿1v[nE5 Objectives and Activlties In order to achieve the principle objective which is set out above. the Church Pfcvide5 3 variety of activities both to its membership and to the community generally. The aim is to show the love of Jesus Christ in both word and deed and to bring people into a closer relationship with Htm as living Lord. Central to the work and witness of the Church is the provision of regular publK 5ervKe5 of Christian worship. These Se￿iceS normally take place in person each Sunday at both 9.30am and 11.15am in the morning and 7.00pm in the evening. As well as the nomial face to face seNices. as a legacy of Covid. we have further developed our on line capability through the eKtraordinary teamwork of both staff and volunreers. In doing so we reach not onty our own community but many more beyond our local comrnunity- There are also occasional services at other times which are advertised on the Church Notice Board. weekly Church Newsletter and the website at www.testwoodbaptist.org. There is usually a full children's programme during the morning se￿ices. The Churth Seeks to be a friendly and welcoming community and everybody is free to attend any of these services. The Church runs a series of house groups for the growth of faith and discipleship in the homes of some n￿Mbers, and further details of these tèn be obtained from the Trustees on request, or at any Sunday services of worship. The majority of the groups meet in members homes but some continue to use Zoom, a skill developed during Covid. House groups pmvide an extellent 5UPPOrtfunction. The Church is responsible for a Babies and Toddlers group which meets in the Church premise5 on Friday mornings, with the purpose of a55i5ting the community and demonstrating the love of Jesus Christ, see TBC Friday below. The Church hosts a very popular State RegiSte￿d Pre-school which provides pre-sc￿01 education and is available to the whole community. The Church run5 various events for Young People, including Girls BriEade and Youth Clubs. as well as groups for those with disabilities. The Church operates systems to ensure that all t)eople working with children and vulnerable adults are appropriately vetted with regard to the Disclosure and Barring Service and safeguarding legislation. See TBC Friday5. The Church has active links with the k)cal schook and colleges. TBC Fridays which launched in September 2021 has continued to go from strength to Strength,. this is a community day for all the famity. There are groups for parents and tots. kids, and youth at various times throughout the day. It provides a great opportunity for parents to come and bring children, hang out with other parents, bnd enjoy a nite coffee and a chat. Éach week there are different types of activities. Friday Tots run from 10am to 11.30am. Friday Kids Ifor primary aged children) 5.30pm to 6.45prn and Friday Youth (secondary age) 7.30pm to 9.(KJpm. TBC Fridays has been very successful. and 4(P80 families attend Friday Tots sessions each week. and on average ICK) Kids attend Friday Kids and attend Friday Youth. Page 3 Testwood Baptist Church Report of the Trustees for the Year Ended 31st December 2024 OBJECTIVES AND AcfiviTIE5 The Church operates a food parcel facility. 'basics bank" in association with Yi)uth and Farnilie5 Matter, giving emergency f¢Jod parcels to those identified as in need. Referra15 are often received from local agencies through a voucher scheme. Basics Bank supported 1,361 adults and 847 children 12208 people altogether) in 2024. The l(Kal community continued to heavily support this projett, as well as manv organisations and supermarkets. trx)th with food and finances. The Church normally runs a'wom Again" event whereby the local community can come and selert a set of clothes for 50p from the vast amount of "good but used" clothes that have been donated by its rnembers and other mernber5 of the public. These events are open to all the community. Public benefit The Church has read the Charity Commission guidance on publrc benefit and is satisfied that the activities outlined above clearly demonstrate that the Char￿ is provKJing a benefit to the public. Volunteers The Church is heavily dependent on its membership working as volunteers in all aspects of the church's activities, many of which run with little or no impact on the church's expenditure. bLJt nevertheless contribute substsntially to the achievement of the church's objertives. We now regularly have a team of nine people volunteering during the week. CollertNe￿ providing a minimum of fifteen hours of additional SUPPOrt. helping with various aspects of maintenance, hospitality and general upkeep. ACHIEVEMENTS AND PERFORMANCE Achievements and Performante The Church does not measure the stjccess of its pr￿ramme$ only in numbers, including financial numbers, but also in les5 tangible areas like fellowship, encouragement, and wellbeing. The TrLtstees recognise that these are difficult to measure but believe that the church brings ￿SitiVe outcomes to people'srsves. During the year. 14 people were receNed into formal church membership and 20 K*ople came out of membership.. 6 members died- 8 resigned as worshipping elsewhere: 2 resigned a5 moved away and settled into a new church- 4 resigned as they no longer attended Testwood. At 31st December 2024 the forrnal membership stood at 297. The Church continues to be much encouraged by its local MP, Town councillors. Head Teachers. and other community leaders, who are very posrtive about the Church's impxt on the communitv. Page 4 Te5twood Baptist Church Report of the Trustees for the Year Ended 31st Detember 2024 FINANCIAL REVIEW nancial Review The Church continue5 to raise funds which it needs to carry on its artwities from within its own membership and congregation. No wider public appeal was made for ftrnds for the church during the year. The most ssBnrficant ongoing expenses relate to staff costs to support the ministry of the church and maintenante of the church facilities to support our minisrry. The Church expressed its part in the life of the wder church by making grants to national and international organisations and societie5 With Christian aims and objectNes compatible with the church's own charitable purpose. The financial results for the year. together with a summary of the accourkting policies adopted are set out in the accompanying financial statements. The underlying financial position remained stable and healthy throughout 2024. The church does not have any outstanding amounts due on the building and we are mindful of the ongoing need to maintain the upkeep of our well used facilities. The church also benefited from the a&￿eMent which the Baptist pension scheme sEned on 30th lune 2022 with insurance company Just Group I'lust'l to secure DB Plèn members. benefits. Just are now providing financial backing for all pensions provided though the kheme's DB Plan and following this transaction. the Scheme no longer has a shortfall. An updated recovery plan was then signed in August 2022 under which recovery contributions from each parttcip3ting employer in the DB Plan (including the church) reduced to £1 F*r month from August 2022.Therefore. there is no liability recognised within the financial statements regarding this for the current or prior financial year. Reserves The Trustees continLte to seek to app￿ the Rese￿eS policy which balance5 the ongoing commitments of the church with the known levels of règular cornmttted giving and ensuring that the main goal remains to utilise the church resources to meet our objectwes. Rlsk Management The Trustees have made an assessment of the major risk5 facing the church and are satisfied that there are policie5 and procedures in place to minimise these risks. STRUCTURE. GOVERNANCE AND MANAGEMENT Organisational Structure and Dea%on Making Process The charity is controlled by its governing document. the Baptist Union Constitution for Bapt15t Churches dated 20th March 2￿. Recruitment and appointment of new trust The Church Mernber5' Meeting shall appoint Charity Trustees to be responsible for the governance of the Church. Charity TDJstees shall be chosen from among the Church Members wrth the maximum number of Charity Trustees being agreed from time to time by the Church member￿ Meeting. Charity Trustee5 (except for those in ministerial office) shall be appointed for an initial three year term with the opportunity to be nominated for reappointment at the end of each three year term. A Special Church Members, Meeting may rescind the ap￿intment of any Charity Trustee lexcept for those in ministerial office) at any time. Page 5 Testwood Baptist Church Report of the Trustee5 for the Year Ended 31st December 2024 STrUCTURE. GOVERNANCE AND MANAGEME Organisational strurture The Members of the church are accepted in accordance wrth the Constitution. Church membership is open to 311 those who have made 3 pijblic profession of faith in Jesus Christ by being baptised by immersion and who accept the beliefs of the Church. Those who have not been so baptised may still be aC￿Pted for membership at the discretion of the Church Mesnber5 Meeting based on their public profession of faith. All applications for membership are subjertto acceptan￿ at the Church Members Meeting. Members Meetings normally take place four times a year and have responsibility fo¥ the overall policy of the church. In accordance with the Constitution, the members appoint a number of Trustees, (currently 111. including the Senior Pastor. and TreaSu￿r (who are also appointed by the members), and collective known as the Leadership Team. They are responsible for the day to day running of the church's work and witness, and the financial and legal aspect5 of the charity. All members are encouraged to rake an appropriate part in the spiritual and prartical task5 invow in the furtherance of the charitable objective. Decision making Relevaftt maiters may be submitted to the Church meeting by the Trustees for guidance or may be raised by member5 in ChLtrch meeting for further consideration by the Trustees. Though the Constitution permits decisions to be made at Church meetings by appropriate majorities. the Church seeks to work by consensus wherever possible. 1711013J25 Approved by order of the board oftrustees on ............................................. and signed on its behalf by.. Mr H Francis- Trustee Page 6 Independent Examinerfs Report to the Trustees of Testwood Baptist Church Independent examiner's report to the trustees of Testwood Baptist Church I report to the charity trustees on my examination of the accourbts of Testwood Baptist Church (the Trust) for the year ended 31st December 2024. Responsibilities and basis of report As the charity tmstees of the T￿st you are responsible for the preparat￿n of rhe accounts in accordance with the requirements of the Ch3rtties Act 20111.the Act'l. I report in respect of my examination of the Trust's accounts carried out under 5ettion 145 of the Art and in carrying out My examination I have followed all applicable DirectK)ns given by the Charity ComTnissior) nder Sertion 14515llbl of the Act. Independent examiner's statement Since your chaTltVs gross income exceeded £250.(MX) your examiner must be a member of a listed body. I can confirm that l am qualified to undertake the examination because l am a rnember of the Institute of Chartered Accountants in England and Wales. which is one of the listed bodie5_ I have completed my examination. I confimi that no material matters have come to my attention in connection with the examination givin8 me cause to believe that in any material respect= accounting records were not kept in respert of the Trust as required by Sectbon 130 of the Act,. or the accounis do not accord with those records." or 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 anv requirement that the accounts give a true and fair vaew which is rK)t a matter considered as part of an independent examination. I have no concerns and have come across no other matters in connertion 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. D A Sanders BA (Honsl FCA Sheen Stickland Chartered Accountants 2 Oriel Court Omega Park Alton Hampshire GU34 2Yr Date.. Page 7 Testwood Baptist Churth Statement of Financial Artivities for the Year Ended 31st December 2024 2024 Total funds 2023 Total funds Unrestricted Restricted fund fund5 Notes INCOME AND ENDOWMENTS FROM tk)nations and legacies 420,763 422,763 387.731 Charitable activitres Chantable activitie5 17,295 17.295 4.945 Investment intome 582 582 221 Totsl 438.640 440,640 392,897 EXPENOITURE ON Charrtable attivities Ministry Establishment Mission The Hub Governance costs 260.018 115,203 16.040 2.755 6.887 260.018 136.752 16,040 2.755 6,887 241,456 114,649 56,455 1.573 6,030 21.549 Totsl 4(K).%3 21.549 422,452 420.163 NET INCOMEIIEXPENDITUREI 37,737 19,5491 18,188 127,2661 RECONCILIAnON OF FUNDS Total funds brought forward 128.499 725,451 853.950 881.216 TOTAL FUNDS CARRIED FORWARO 166.236 705.902 872,138 853,950 The notes fomi part of these financial statements Page 8 **Testwood Baptist Church** ## **Balance Sheet 31st December 2024** |**FIXED ASSETS**
Tangible assets
**CURRENT ASSETS**
Debtors
Cash at bank
**CREDITORS**
Amounts falling due within one year
**NET CURRENT ASSETS**
**TOTAL ASSETS LESS CURRENT LIABILITIES**
**NET ASSETS**
**FUNDS**
Unrestricted funds
Restricted funds
**TOTAL FUNDS**
Notes
12
13
14
15||Unrestricted
fund
£
110,919
14,605
47,412
62,017
(6,700)
55,317
166,236
166,236
Restricted
funds
£
703,901
2,001
2,001
2,001
705,902
705,902|2024
Total
funds
£
814,820
14,605
49,413
64,018
(6,700)
57,318
872,138
872,138
166,236
705,902
872,138|2023
Total
funds
£
827,453
13,033
19,864
32,897
(6,400)
26,497
853,950
853,950
128,499
725,451
853,950| |---|---|---|---|---| |||||| |||||| |||||| |||||| The financial statements were approved by the Board of Trustees and authorised for issue on 17/10/2025 and were signed on its behalf by: Mr H Francis - Trustee The notes form part of these financial statements Page 9 Testwood Baptist Church Notes to the Financial Stalements for the Year Ended 31st December 2024 STATEMENTOF COMPLIANCE The Testwood BaptlSt Church is an incorporated charity registered in England, charity number 1129913. The registered ofFice is Salisbury Road, Totton, Southampton, S040 3LL The financial statements are presented in sterling which is the fun(tional currency of the charty and rounded to the nearest pound. ACCOUNTING POUCIES Basis of preparing the fin￿Cial statements The accounts of the charity which is a public benefrt entity under FRS 102, have been prepared in accordance with "Accounting and Reporting by Charities.. Statement of Recommended Prartice applicable to charttie5 preparing their accounts in accordance with Financial Reporting standard applicable in the UK and Republic of Ireland IFRS 1021 leffertive 1st January 20191 (Charities SORP IFRS 10211" and thè Charities Act 2011. The financial ststements have been prepared under the historical cost convention. The accounts have been prepared on a going concern basis. In the opinton of the trustees. there are no material uncertainties in regard to the Charity's abilty to continue as a going concern. The tnjstees do not consider that the efferts of the conflict in Ukraine, the Middle East or the current economic Situation will impatt on the charitys abilrty to continue to operate. Income recognition and donations All incoming resources are included in the Statement of Financial Artivities when the charity 15 legally entitled to the income after any performance conditions have been met. the amount can be measured reliabty, and it ￿ probable the income will be received. Donations are accounted for gross when receThied. Investment income Investment income is included in the accounts in the year in which tt is receivable. Expenditure recognition All expenditure is accountèd for on an accruals basis. Expenditure is recognised where there 15 a legal or constructive obligation to make payments to third parties. f( is probable that settlement will be required, and the amount of the obligation can be rnea5ured reliabfy. Grants payable The church makes grants and donations to other organisations aftd individuals whose charrfcable objectives complement its work. They are accounted for in the year in which they are paid. Support costs Support costs are those that assist the work of the church but do not direct￿ represent charitable activities and relate to governance costs. This represents direct expenditure on the governance of the church. Most of the management is Carr￿ out without charge by volunteers. This intangible cost is not included in the Ststement of FinancrJl Actrvitie5 since there is no measurable cost to the volunteers for their service. Page 10 continued... Testwood Baptisl Church Notes to the Financial Statements- continued for the Year Ended 31st December 2024 ACCOUNTING POUaES- contirx Tanglble fixed a￿ts The original church buildings are considered to be inalienable and historic fixed assets and are excluded from the balance sheet because reliable cost infom)ation is Dot available, and valuation would incur significant costs which would be onerous compared to the additional benefit gained by the users of the account5. The insurance value of the premises is £5.938.393 which includes the new church building which was completed in December 2(K)7. The manse prernises are 5tsted at cost and dep￿iktIOn hès not been charged, because in the opinion of the trustees, the residual value of the asset is not less than the origin31 cost Pfice. Furnr(ure and equipment in the church premises are included at cost or net realisable value. Items of equipment are capitslised where the purchase price exceeds £5(M). As stated above. depreciation has not been charged on the manse premises. Depreciation on other fixed assets is calculated to write off the cost on a straight-line basis over their experted useful life at the follow￿n& rates= Furniture and fittings Computers and equipment 33% New Church Building 2% Any gain or loss arising on the disposal of an asset is determined by the difference between sale proceeds and carry(ng value of the asset. and is credited or charged to the profit or loss. Taxation The charity is exempt from tax on its charitable attivttie& Funds Unrestiitted funds are available for use at the discretion of the trustees in furtherance of the general objertives of the charrty and which have not been designated for other purposes. Restricted Funds relates to the 'Building Fund, which was established for a new church building and hence are Capital ttems and the Gorilon Tuck Fund which wa5 set up to hold donations given in memory of Gordon Tuck. The funds are used in accordance with specific restrirtions imposed by donors or which have been raised by the charity for partKutar purtKJses. Penslon costs and other I￿￿-retIrement beneffts The pen51011 Costs charged in the accounts represent the contributions payable by the church during the year in accordance with FRSIO2. Page 11 continued... Testwood Baptist Church Notes to the Financial Statements- continued for the Year Ended 31st December 2024 ACCOUNnNG POUCIES- conliNed Penslon costs and other p)st-reiirement benefits Under FRS102 employers that participate in multi-employer defined benefit schemes where there is insufficient information to do full benefit accounting and where the employers are not under ommon control need to recognize a liability to make payments to fund any deficit. This liability wa5 required to be recognized for the first time in the accounts lor the year ended 31st December 2016. As. however. this information was not available when the 2016 accounts were prepared no such liability was recognized at this tirne. Provision for the full liability due as at 31st December 2017 was treated as an expense in the 2017 accounts. Foljowing the agreement with Just Group to secure the the benefits of the members of the defined benefjt scheme, no liability is required to be recognised in the accounts and the reduction in the liabilrty as a result of this transaction has been deducted frorn expenses in the 2022 account& rinancial instruments Gish and cash equivalents Cash and cash equivalents include cash in hand. cash at bank and other short-term liquid investments with original maturities ot three months or ￿55. CRITICAL ACCOUNTING JUDGEMEPItS AND KEY SOURCE5 OF ESTIMATION UNCERTAINTY The following judgements lapan from those invO￿lnE estimates) have been made in the process of pplying the above accounting policie5 that have had the most significant effect on amounts recogni5ed in the financial statements= Useful lrfe of fixed assets Tangible assets are depreciated over their u5efvl lives taking into account residual values, where appropriate. The useful lives of these assets are Èstimated based on historic experience and future considerations and these are re-assessed annually. DONATIONS AND LEGACIES 2024 2023 Offering and donations Grft aid 3fK).122 62,641 334,834 52.897 422.763 387.731 Page 12 continued... Testwood Baptist Church Notes to the Financial Statements- continued for the Year Ended 31st December 2024 INVESTMENT INCOME 2024 2023 Bank interest 582 221 INCOME FROM CHARITABLE AcnvmES 2024 2023 ActNity Charitable activities Charitable activities Rents received TheHub 15.6 1,695 3.480 1,465 17.295 4,945 GRANTS PAYABLE Unrestricted Restrtied Total 2024 Total 2023 Youth and Families Matter Hour of Revival (Dugmoresl Home Mission Fund MAF Iwaterrnansl Amor Europe (Youth Development) Hope Lebeydn IChristrna5 offering) Baptist Missionary Society Thelma Milis Southern CBA Watermans - donatK)ns Moorlands College Jonathan Rhodes- dOnat￿n linternshipl Dugmore- donations G Tuck- Charlotte Bai Katrina Elkins- donation (minister training) Totton Fun Day- donation Mission Fund- donation Compassion Fund- donation 4.2C(I 1.5C 1,scKJ 1,51KI 4,200 1.5Tr) 1,5( 1.500 1,8(KJ 1.2 3(Xl 240 i(Y) 4,200 1.500 I,soo 1.500 1.20) 3C 240 Ic() 240 l(M) 31.000 3(K) 51K) 10.000 955 1,020 7¢X) 7(K) 16,040 16,040 56,415 Page 13 continued... Testwood Baptist Church Notes to the Financial Statements- continued for the Year Ended 31st December 2024 INDEPENDENT EXAMINER'S REMUNERAnoN Governance costs of £6,887 12023 £6.0301 represents amounts paid to the independent examiner for the examination of the accounts of £4.787 12023 £4,5(Y)l. fees for other accounting and bookkeeping services of £2,1(KJ12023- £I,9￿1- TRUSTEES. REMUNERATION AND BENEFITS During the year ended 31st December 2024 two Ministers acted as church trustees in accordance with the Tmst Deed and in aggregate received remuneration of £84,856 12023- £62,923). Total pensDn contributions of E8,48712023- £5,409) were also paid on behalf of the two ministers. Trustees, empenses There were no trustees. expenses paid for the year ended 31st December 2024 nor for the year ended 3tst December 2023. 10. STAFF COSTS 2024 2023 Wages and salaries Social security Costs Other pension costs 217.275 14.618 14.739 206.983 12.183 11.860 246.632 231,026 The average monthly number of empbyee5 during the year wa5 as follows.. 2024 2023 io Ernployees No employees received emoluments in excess of £60.(MJ). Page 14 continued... Testwood Baptist Church Notes to the Financial Statements - continued for the Year Ended 31st December 2024 11. PENSIONS The Church is a participating employer in the Baptist Pension Scheme I'the Scheme"), which is a separate legal entity administered by the Pension Trustee (Baptist Pension Trust Limf(edl. The assets of the Scheme are held separately from those of the Employer and the other participating empkjyers. The Scheme. prevKJusly known as the Baptist Ministers, Pension Fund. started in 1925. but was c105ed to future accrual of defined benefits on 31 December 2011. Prior to this date the main benefit provided through the Defined Benefit IDBI Plan was 3 pension of one eightieth of final minimum pensionable income for each year of pen5ionablÈ service together wtth additional pension in r￿pert of premiums paid on Pensionable Incorne in excess of MinimurD Pensionable Income. From January 2012, pension prow5ion is being made through the Defined contributi(￿ (DCI Plan within the Scheme. In general. members pay 8% of their Pensionable Income and employers pay 6% of members, Pensionable Income into indtvidual pension accounts. which are operated and manaÉed on behalf of the Pension Trustee by Broadstone Corporate Benefits Ltd. In addrtion, the employer pays a further 4% of pensionab￿ Income to cover Death in Service Benefits. administration costs and an associated Insuran￿ poliry which provides income protettion for Scheme members if they are unable to work due to long-term incapacity. This income protection policy has been insured by the Baptist Uniorh of Great Brirain wyrh Aviva Limited. Members of the Basic Settion pay reduced contributions of 5% of Pensionable Income, and their employers also pay a total of 5%. The Scheme is considered to be a multi-employer Scheme a5 de5ciibed in Section 28 of FIIS 102. Because it ￿ not possible to attribute the Scheme's assets and liabilities to specific empkjyers, the scheme is accounted foi as if the Scheme were a defined contribution siheme. The Ministers and some rneFnbers of the church 5t3ff are eligible to join the Scheme. Actuarial valuation a5 at 31 De￿mber 2019 A formal valvation of the DB Plan 35 at 31 Decernber 2019 was carried out by a professionally qualified Actuary using the Projected Unit Method. At the valuation date the market value of the DB Plan as*ts was £298 million, whilst the level of assets needed to pay benefits was £316m. giving a deficit of £18m (equivalent to a past senrice funding level of 94%). The Church and the other participating employers in the DB Plan are colle(tive]y responsib￿ for fvnding this deficit. The key financial assumption5 underlying the valuation were as follows Type assumption RPI price inflation a55umption 3.20 CPI price inflation assumption 2.70 Minimum Pensionable Income Increase Adjustment (above CPII 0.50 Pre-ietirement assumed investment ￿t￿rA5 Igiltyield plus 1.75% pal Post-ret1￿Ment 355umed investrrhent returns (including benefits matched by the insurance policy) Igilt yield plus 0.5% pal 2.95 1.70 Page 15 continued... Testwood Baptist Church Notes to the Financial Statements- continued for the Year Ended 31st December 2024 ii. PEN510NS- continued Minimum Pensionable Income increases (CPI plus 0.5%) Deferred pension increases (based on RPII - Pre April 2(X19 - P05t April 2009 Pension increases Based on CPI with an annual floor of 0% and annual cap of 5% 3.20 3.20 2.50 2.70 Mortality was assumed in accordance with 8(Y% of the $3NA standard mortality tab￿. Future improvements projected from 2013 in line wrth the "CMI 2019" projection with a long-temi rate of improvement of 1.75% p.a. for males and 1.5% p.a. for females with the core smoothing parameter and with additional initial mortality improvement factor A4).5 The next actuarial valuation of the DB Plan wEthin the Scheme was due to take place not13ter than as at 31 December 2022. However, the DB Plan is to be wound up, and the process to wind it up was stsrted with effect from 31 March 2024 and the￿f0￿ no formal valuation is due to take place. Recovery Plan In addition to the contributK)n5 to the DC Plan set out atrw)ve. where a valuation of the DB Plan reveals a deficit the Trustee and the Council agree to a rate of deficiency contributions from churches and other employers Involved in the DB Plan_ Following the 2019 valuation a Recovery Plan was Signed in September 2020 under whKh deficiency contributions are payable until 30 June 2026. On 30th June 2022 the Baptist Pension Scheme signed an agreement wtth Just Group I"Just"I to secure DB plan members. pension benefits. Just are now providing financial backing for all pensions provided through the Scheme'5 DB Plan. and following this transaction. the Scheme no longer has a shortfall. An updated Recovery Plarb Wa5 then signed in August 2022 under which recovery contributions from each participating employer in the DB plan reduced to £1 per month from August 2022. These contributions are payable under the recovery plan until lune 2026. The outstsnding deficiency contributions due under the Recovery Plan ace not considered material 8nd therefore have not been included in the balance sheet. Movement in Balance Sheet liability Section 28.IIA of FRS 102 requires agreed deficit recovery payments to be recognised as a liability. The movement in the provision is Set out in the table below. 31.12.24 31.12.23 Balance sheet liability at year start Minus deficiency contributions paid Interest cost Irecognised in SOFA) Remaining change to balance sheet liabilty. IrecoEnised in SOFAI Balance sheet liability at year end Page 16 continued... Testwood Baptist Church Notes to the Financial StstemeTrts- continued for the Year Ended 31st December 2024 ii. PENSIONS- wntinued Comprise5 change in agreed defficit recovery plan and change in assumptions between year-end5. Where relevant. the liabiltty rep￿sents the present walue of the deficit contribution5 agreed a5 at the accounting date and has been valued using the following assumptions set by reference to the duration of the deficit recovery payments= Accounting date 31.12.24 31.12.23 31.12.22 Di5COUnt rate NIA NIA NIA Future increases to Minimum Pensionable IrEcome NIA NIA NIA 11 TANGIBLE FIXED ASSErs Fumiture and ffttings Church premises Computers & equipment Manse Totsls COST At IstJaniJary 2024 Additions I,(￿1,713 97,(KK) 7.993 101.442 1.759 49.662 530 1,309.817 10,282 At 31st December 2024 I.1￿1.713 104.993 103,201 $0,192 1,320,099 OEPRECIAMON At Istjanuary 2024 Charge for year 336,630 21.234 96.891 836 48.845 482,366 22,913 At 31st December 2024 357.864 97.727 49,688 505,279 NET BOOK VALUE At 31st December 2024 703.849 104.993 5,474 $04 814,820 At 315t D￿ernber 2023 725,083 97,(IIKJ 4,551 817 827,451 All of the fixed assets are used for dirert charitable purFrf)se Page 17 continued... Testwood Baptist Church Note5 to the Financial Statements- tontinued for the Year Ended 31st December 2024 13. DEBTORS: AMOUNTS FALUNG DUE WITHIN ONE YEAR 2024 2023 Accrued income- Gift Aid 14,605 13,033 14. CREDITORS: Amoupifs FAWNG DUE WITHIN ONE YEAR 2024 2023 Accruals aftd deferred income 6.7Ch) 6,400 15. MOVEMENT IN FUNDS Incoming Resources Resources expended At 31.12.24 At 01.01.24 Unrestrtcted Funds General Fund 128.499 438,640 14(X).903 166.236 Restrictèd Furmts Building Fund 725.451 121,5491 705,902 853.950 1422,4521 872.138 Comparatives for movement in funds Incoming Resources Resources expended At 31.12.23 AtOI.01.23 Unrestritted Funds General Fund 133,121 381,882 1386.5C41 128,499 Restricted Funds Building Fund Gordon Tuck Fund Baptist Insurance Grant for Community Pastor 747,1)IXI 1.095 121.5491 11,(¥J51 725.451 11.015 111,0151 881,216 392.897 1420,1631 853,950 Page 18 continued... Testwood Baptist Church Notes to the Financial Statements- continued for the Year Ended 31st December 2024 16. RELATED PARTh DISCLOSURES The custodian Trustee of the church is the Baptist Union Corporation bmited which is charity number 249635 and which 15 controlled by the Baptist Union Council_ The church is also a member of the Bapt15t Union of Great Britain and the Southern Counties Baptist Association. The church made a grant to the Baptist Missionary Society as set our in rKJte 5 to the financial statements. Revd M Huckle, the senior pastor and a trustee of the charty. was appointed a trustee of The Southern Countie5 Baptist Association on 6th November 2023. The church made 3 grant to this charity a5 set out in tLOte 5 to the financval statements. Mr H Francis. a trustee of the charity. is a dirertor of The Baptist Insurance Company plc, a provider of insurance services to the church. All hrh5ur3nce Services prowded by the company are on an arms length basis. Page 19