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2020-07-31-accounts

Aim and Purpose

Minehead Baptist Church (MBC) is governed by an Approved Governing Document which states that the principal purpose of the charity is the advancement of the Christian Faith according to the principles of the Baptist denomination. The Church may also advance education and carry out other charitable purposes in the United Kingdom and/or other parts of the world.

As a member of the Baptist Union MBC subscribes to the Union’s Declaration of Principle:

The trustees are aware of the Charity Commission’s guidance on public benefit in “The Advancement of Religion for the Public Benefit” and have regard to it in its administration. The trustees believe that, by fulfilling their responsibility to work together with the Minister and co-operate in all matters of concern and importance for the promotion of the whole mission of the Church, pastoral, evangelistic and social, it provides a benefit to the public by:

Objectives and Activities

The trustees support the minister(s) in promoting the ministry and mission of the church. The powers conferred on the trustees include the power to acquire, manage and administer property for church purposes and the power to frame an annual budget of monies required for church work. The trustees are also given power, jointly with the minister(s), to appoint and dismiss church staff members and to determine their salaries and conditions of service.

The trustees are committed to enabling as many people as possible to worship at Minehead Baptist Church on Sundays and to take part in midweek activities, bible studies and prayer meetings.

In addition to numerous church groups, MBC also has an active Girls’ Brigade, and runs the Active Living Centre and The Hub – all of these being important parts of the mission of our church.

Review of the Year

Philippians 4:6 Do not be anxious about everything, but in every situation, by prayer and with petition, with thanksgiving, present your requests to God.

It is, of course, impossible to do a review of the past year without looking at the effects that the lockdown caused by the Covid-19 pandemic has had on our shared life together. It has not been possible to meet together since March. As at the end of July 2020 the Government have eased some restrictions, including the possibility of meeting for worship albeit in a socially distanced way, yet achieving this with the numbers of regular attendees we have will produce some challenges in the coming year. Yet as the Bible verse above reminds us we are invited to bring everything before our Lord in prayer.

It is with this in mind that we are able to say that we have not missed one Sunday where we have not provided live streamed worship using our Facebook page and this has opened up the church to a whole new group many of whom would not ordinarily come to Sunday worship. We regularly see many more people viewing our on-line services that would attend challenging us to continue to offer the services online even after Covid-19 no longer has an effect on daily living.

We have also been able to do daily live prayer using the same format. All of this activity has meant that both of the ministers in church and the expanded youth and children’s department (see below) have been busy like never before.

It is right that we record both personal and corporate thanks as a group of trustees to all who give their time and energy in the life of the church. Without such commitment and energy it would not have been possible to do all we have done in the last 5 months. We pray that you will be as inspired and encouraged as you read through the remainder of these accounts as we were.

The past year has seen a significant change within the ministerial team at Minehead Baptist Church (MBC). Working in conjunction with Bristol Baptist College (BBC) we have called Richard Hall a Minister in Training as a second minister who will be fulfilling his calling part-time at MBC whilst completing his ministerial training. This will mean that for the coming 3 years we will be working in partnership with the college to help in his formation.

Richard has quickly become an integral part of who we are as church and his wisdom and insight – whether leading prayers, preaching, or in helping with our technology - has quickly become invaluable to the church.

We also followed through on the possibility expressed in last years report that we would be joined by an intern working in our youth and children’s department whilst completing formal training at BBC. Milly Paine has been at MBC since September 2019 fulfilling this role. Her time with us has been hampered significantly by the lockdown but we look forward to what she will bring to us in the coming year.

During the year we have been able to complete the purchase of ‘The Hub’ from the South West Baptist Association for £200,000 with the aid of a loan from the Baptist Building Fund for £90,000. Whilst much new activity was undertaken at the end of last year at The Hub it has suffered because of the lockdown with the soft play area being closed from March to date. As of the date of this report it is not known when it might be possible to re-open.

Many of our plans for the year, such as working with Spring Harvest on the Bultins sight at Easter have had to be put on hold. However, lockdown has not been a period of inactivity, rather we have been working via phone and virtual links to plan for 2021 and beyond.

The past year is not one that anyone could have predicted but with hindsight much has been learnt. The reading at the beginning of this review reminds us that we believe in a God that is bigger that any pandemic and that seeking his will for the future direction of the church and committing ourselves to it will

ensure we continue to ‘be church’ no matter what happens. It is with confidence that we can therefore declare that under God our future is bright.

Plans for Future Periods

The priority for 2020 / 2021 against the backdrop of the current restrictions is to continue doing what we do well in being a welcoming church, to develop as disciples of Jesus and to reach out to our community. Albeit that our current focus for this is what we are able to achieve virtually.

It is recognised that this year is likely to be one of change where we seek the Lord even more than before to simply follow him.

As it is seven years since the establishment of the Hub and we will be taking this opportunity to reexamine the work of the Hub looking at how this may become more integrated into the life of the church than ever before.

Amherst & Shapland Limited

Minehead Baptist Church

Registered Charity Number 1130521


Receipts and Payments Account for the year ended 31 July 2020 and Statement of Assets and Liabilities as at that date

___________

Chartered Accountants

Minehead Baptist Church

INDEPENDENT EXAMINER’S REPORT

INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF MINEHEAD BAPTIST

CHURCH

I report on the accounts of the charity for the year ended 31 July 2020 which are set out on pages 6 to 10.

Respective responsibilities of trustees and examiner

The trustees are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.

It is my responsibility to:

Basis of independent examiner’s report

My examination was carried out in accordance with the General Directions given by the Charity Commission. 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 you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a 'true and fair view' and the report is limited to those matters set out in the statement below.

Independent examiner’s statement

In connection with my examination, no matter has come to my attention:

have not been met; or

(2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

Signed …………………………….……

K H D PRESTON FCA TEP


Chartered Accountant 2020 Minehead

Minehead Baptist Church

2

Registered Charity Number 1130521

ANNUAL REPORT OF Minehead Baptist Church

Year to 31 July 2020

Administrative Information

Minehead Baptist Church is part of the Baptist Union of Great Britain and the South West Baptist Association.

CONTACT ADDRESS Parks Lane Minehead Somerset TA24 8BS MINISTERS Rev. Paul McCabe Richard Hall (Minister in Training from 1 February 2020)

MEMBER OF MINISTERIAL TEAM Mark Scyner

ELECTED MEMBERS David Brown (resigned 19 November 2019) Christine Dickinson Adam Ford Margaret Hammel Christine James (resigned 19 November 2019) Alec Prail (elected 19 November 2019) Martin Spink Debby Ward Pauline Westcott (elected 19 November 2019)

ACCOUNTANT

Amherst & Shapland Limited 4 Irnham Road MINEHEAD Somerset TA24 5DG

Minehead Baptist Church Registered Charity Number 1130521

3

ANNUAL REPORT OF MINEHEAD BAPTIST CHURCH

Year to 31 July 2020

Aim and Purpose

Minehead Baptist Church (MBC) is governed by an Approved Governing Document which states that the principal purpose of the charity is the advancement of the Christian Faith according to the principles of the Baptist denomination. The Church may also advance education and carry out other charitable purposes in the United Kingdom and/or other parts of the world.

As a member of the Baptist Union MBC subscribes to the Union’s Declaration of Principle:

 “That our Lord and Saviour Jesus Christ, God manifest in the flesh, is the sole and absolute authority in all matters pertaining to faith and practice, as revealed in the Holy Scriptures, and that each church has liberty, under the guidance of the Holy Spirit, to interpret and administer His laws.

 That Christian Baptism is the immersion in water into the name of the Father, the Son and Holy Ghost, of those who have professed repentance towards God and faith in our Lord Jesus Christ who ‘died for our sins according to the Scriptures, was buried, and rose again on the third day.’

 That it is the duty of every disciple to bear personal witness to the gospel of Jesus Christ, and to take part in the evangelisation of the world.”

The trustees are aware of the Charity Commission’s guidance on public benefit in “The Advancement of Religion for the Public Benefit” and have regard to it in its administration. The trustees believe that, by fulfilling their responsibility to work together with the Minister and co-operate in all matters of concern and importance for the promotion of the whole mission of the Church, pastoral, evangelistic and social, it provides a benefit to the public by:

 Providing resources and facilities for public worship, pastoral care and spiritual, moral and intellectual development, both for its members and for anyone who wishes to benefit from what the Church offers; and

 Promoting Christian values, and service by members of the church to the community, to the benefit of individuals and society as a whole.

Objectives and Activities

The trustees support the minister(s) in promoting the ministry and mission of the church. The powers conferred on the trustees include the power to acquire, manage and administer property for church purposes and the power to frame an annual budget of monies required for church work. The trustees are also given power, jointly with the minister(s), to appoint and dismiss church staff members and to determine their salaries and conditions of service.

The trustees are committed to enabling as many people as possible to worship at Minehead Baptist Church on Sundays and to take part in midweek activities, bible studies and prayer meetings.

In addition to numerous church groups, MBC also has an active Girls’ Brigade, and runs the Active Living Centre and The Hub – all of these being important parts of the mission of our church.

Review of the Year

Philippians 4:6 Do not be anxious about anything, but in every situation, by prayer and with petition, with thanksgiving, present your requests to God.

It is, of course, impossible to do a review of the past year without looking at the effects that the lockdown caused by the Covid-19 pandemic has had on our shared life together. It has not been possible to meet together since March. As at the end of July 2020 the Government have eased some restrictions, including the possibility of meeting for worship albeit in a socially distanced way, yet achieving this with the numbers of regular attendees we have will produce some challenges in the coming year. Yet as the Bible verse above reminds us we are invited to bring everything before our Lord in prayer.

Minehead Baptist Church Registered Charity Number 1130521

4

ANNUAL REPORT OF MINEHEAD BAPTIST CHURCH

Year to 31 July 2020

It is with this in mind that we are able to say that we have not missed one Sunday where we have not provided live streamed worship using our Facebook page and this has opened up the church to a whole new group many of whom would not ordinarily come to Sunday worship. We regularly see many more people viewing our on-line services that would attend challenging us to continue to offer the services on-line even after Covid-19 no longer has an effect on daily living.

We have also been able to do daily live prayer using the same format. All of this activity has meant that both of the ministers in church and the expanded youth and children’s department (see below) have been busy like never before.

It is right that we record both personal and corporate thanks as a group of trustees to all who give their time and energy in the life of the church. Without such commitment and energy it would not have been possible to do all we have done in the last 5 months. We pray that you will be as inspired and encouraged as you read through the remainder of these accounts as we were.

The past year has seen a significant change within the ministerial team at Minehead Baptist Church (MBC). Working in conjunction with Bristol Baptist College (BBC) we have called Richard Hall a Minister in Training as a second minister who will be fulfilling his calling part-time at MBC whilst completing his ministerial training. This will mean that for the coming 3 years we will be working in partnership with the college to help in his formation. Richard has quickly become an integral part of who we are as church and his wisdom and insight – whether leading prayers, preaching, or in helping with our technology - has quickly become invaluable to the church.

We also followed through on the possibility expressed in last years report that we would be joined by an intern working in our youth and children’s department whilst completing formal training at BBC. Milly Paine has been at MBC since September 2019 fulfilling this role. Her time with us has been hampered significantly by the lockdown but we look forward to what she will bring to us in the coming year.

During the year we have been able to complete the purchase of ‘The Hub’ from the South West Baptist Association for £200,000 with the aid of a loan from the Baptist Building Fund for £90,000. Whilst much new activity was undertaken at the end of last year at The Hub it has suffered because of the lockdown with the soft play area being closed from March to date. As of the date of this report it is not known when it might be possible to re-open.

Many of our plans for the year, such as working with Spring Harvest on the Butlins site at Easter have had to be put on hold. However, lockdown has not been a period of inactivity, rather we have been working via phone and virtual links to plan for 2021 and beyond.

The past year is not one that anyone could have predicted but with hindsight much has been learnt. The reading at the beginning of this review reminds us that we believe in a God that is bigger than any pandemic and that seeking his will for the future direction of the church and committing ourselves to it will ensure we continue to ‘be church’ no matter what happens. It is with confidence that we can therefore declare that under God our future is bright.

Plans for Future Periods

The priority for 2020/2021 against the backdrop of the current restrictions is to continue doing what we do well in being a welcoming church, to develop as disciples of Jesus and to reach out to our community. Albeit that our current focus for this is what we are able to achieve virtually.

It is recognised that this year is likely to be one of change where we seek the Lord even more than before to simply follow him.

As it is seven years since the establishment of the Hub, we will be taking this opportunity to re-examine the work of the Hub looking at how this may become more integrated into the life of the church than ever before.

Minehead Baptist Church

5

Registered Charity Number 1130521

ANNUAL REPORT OF MINEHEAD BAPTIST CHURCH

Year to 31 July 2020

Statement of the Leadership Team's Responsibilities

The Leadership Team (trustees) are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

Charity law requires the trustees to prepare financial statements for each financial year. Under that law the trustees have elected to prepare financial statements in accordance with the United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). The financial statements are required by law to give a true and fair view of the state of affairs of the charity and of its surplus or deficit for that period. In preparing these financial statements the trustees are required to:

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable it to ensure that that these financial statements comply with the Charities Act 2011.It is also responsible for safeguarding the charity's assets and taking reasonable steps for the prevention and detection of fraud and other irregularities.

Structure, Governance and Management

Members of the church are accepted in accordance with the Governing Document. There were 141 Members as at 31 July 2020. Members' meetings normally take place six times per year. Though the Governing Document permits decisions to be made at Members' Meetings by appropriate majorities, the Church seeks to work by consensus wherever possible.

In accordance with the Governing Document, the members appoint Trustees (called Elders or Deacons), who together with the Minister/s, Church Secretary and Treasurer (who are also Trustees appointed by the Members), and collectively known as the Leadership Team, are responsible for the day-to-day running of the church's work and witness, and the financial and legal aspects of the charity.

This report for the year 31 July 2020 is as approved by the Trustees on 10 November 2020.

…………………………………………………….. Trustee authorised to sign on behalf of the Trustees

Minehead Baptist Church Registered Charity Number 1130521

6

Receipts and Payments Account for the year to 31 July 2020

GENERAL FUND

Note
Receipts
Donations, legacies and grants
2
Special Appeals
Interest on bank accounts
Fees for Mission Activities
Hall hire
Insurance claim
Total receipts
Payments
Wages/salaries and national insurance
Pension contributions
Pension deficit contributions
Rent
Repairs and maintenance
Repairs and maintenance - insured
Equipment repairs and renewals
Utilities and telephone
Church running costs
Mission
3
Total payments
Net of receipts/(payments)
Transfers between funds
Cash funds last year end
Cash funds this year end
Receipts
Donations
Gift Aid
Sub total
Other
Loan received from Baptist Building Fund
Total receipts
Payments
The Hub survey for purchase
Sub total
Asset and investment purchases
The Hub purchase
Total payments
Net of receipts/(payments)
Transfer from General Fund
Cash funds last year end
Cash funds this year end
Unrestricted
funds
Restricted
funds
Total funds
Last year
£
£
£
£
129,368 937 130,305 138,488
- 910 910 1,982
299
299 436
26,247
26,247 39,116
7,027
7,027 15,294
12,079
12,079 -
Unrestricted
funds
Restricted
funds
Total funds
Last year
£
£
£
£
129,368 937 130,305 138,488
- 910 910 1,982
299
299 436
26,247
26,247 39,116
7,027
7,027 15,294
12,079
12,079 -
Unrestricted
funds
Restricted
funds
Total funds
Last year
£
£
£
£
129,368 937 130,305 138,488
- 910 910 1,982
299
299 436
26,247
26,247 39,116
7,027
7,027 15,294
12,079
12,079 -
£175,020
£1,847
£176,867
£195,316









88,472 4,000 92,472 78,193
5,572
5,572 4,963
8,152
8,152 8,343
(1,473)
(1,473) 10,000
12,632
12,632 24,577
11,179
11,179 -
5,444
5,444 12,169
17,429
17,429 16,231
14,160
14,160 20,860
20,803 5,602 26,405 34,911
£182,370
£9,602
£191,972
£210,247


(7,349) (7,755) (15,104) (14,931)
(3,400)
25 (3,375) -
96,095 8,088 104,183 119,114
£85,346
£358
£85,704
£104,183
THE HUB PURCHASE FUND
Restricted
fund
£
2,611
-
2,611
90,000
£ 92,611
-
-
200,627
£ 200,627
(108,016)
3,375
£ 109,963
£ 5,322
Last year
£
25,829
5,409
31,238
-
£ 31,238
500
500
-
£ 500
30,738
-
£ 79,225
£ 109,963

Minehead Baptist Church

7

Registered Charity Number 1130521

Statement of Assets and Liabilities at 31 July 2020

Unrestricted funds

ASSETS
Cash funds
£85,346
Other Monetary Assets
Gift Aid claimed but not received
£5,607
Assets retained for the charity’s own use:

Minehead Baptist Church Building

The Manse occupied by the minister (30 Paganel Road, Minehead)

The Hub (Hopcott Road, Alcombe, Minehead).
Restricted funds
£5,680
-

All property is held as Custodian Trustee by the Baptist Union of Great Britain, with Minehead Baptist Church acting as the Managing Trustee.

LIABILITIES

Creditors (World Mission Giving)
Pension Fund Deficit
The Hub purchase loan
Fund to which liability relates
Unrestricted
Unrestricted

Restricted
Amount due
£2,202
£70,835
£90,000

Approved by the Trustees and signed on their behalf

Rev Paul McCabe, Chair of Trustees

Date:10 November 2020

Minehead Baptist Church

8

Registered Charity Number 1130521 Notes to the accounts at 31 July 2020

1. Basis of accounts

These accounts have been prepared on a ‘receipts and payments’ basis and in accordance with Section 133 Charities Act 2011.

2. Donations, grants and other income

2. Donations, grants and other income
Donations
Offerings
Furlough grant
Gift Aid
For Minister in Training
Pastoral fund
Grant from SCC (restricted)
Grant from Barchester (restricted)
SSL grant (restricted)
Other income
Total Donations and Other Income
3. Mission
Mission/Charitable giving
Youth and Families
Outreach
Active Living Centre running costs
The Hub running costs
MBC Activity Groups running costs
Total Mission
2020
2019
7,451 9,382
89,759 99,090
3,060 -
15,413 17,000
3,300 -
9,914 -
-
12,000
-
650
937
-
471 366
£130,305 £138,488
2020
2019
12,357 14,745
1,620 1,063
432 941
4,886 9,067
2,704 5,432
3,406 3,663
£25,405 £34,911

4. Assets Held for the Church’s own use

The church is the beneficial owner (subject to the relevant trusts) of the following assets, the legal title to which is held by the church’s custodian trustee [the Baptist Union Corporation Ltd]:

Minehead Baptist Church

9

Registered Charity Number 1130521

Notes to the accounts at 31 July 2020

5. Pension Scheme Liabilities

The Church is an employer participating in a pension scheme known as the Baptist Pension Scheme (“the Scheme”). The Scheme is a separate legal entity which is administered by the Pension Trustee (Baptist Pension Trust Limited).

The Minister(s) [and some members of the church staff] is / are eligible to join the Scheme.

Since January 2012, pension provision has been made through the Defined Contribution (DC) Plan within the Scheme. In general, members pay 8% of their Pensionable Income and employers pay 6% of members’ Pensionable Income into individual pension accounts. In addition, the employer pays a further 4% of Pensionable Income (or 3% if the employer is in the segregated DC section) to cover Death in Service Benefits, administration costs, and an associated insurance policy which provides income protection for Scheme members in the event that they are unable to work due to long-term incapacity. This income protection policy has been insured by the Baptist Union of Great Britain with Aviva. Members of the Basic Section pay reduced contributions of 5% of Pensionable Income, and their employers also pay a total of 5%.

Benefits in respect of service prior to 1 January 2012 are provided through the Defined Benefit (DB) Plan within the Scheme. The main benefits for pre-2012 service were a defined benefit pension of one eightieth of Final Minimum Pensionable Income for each year of Pensionable Service, together with additional pension in respect of premiums paid on Pensionable Income in excess of Minimum Pensionable Income. The Scheme, previously known as the Baptist Ministers’ Pension Fund, started in 1925, but was closed to future accrual of defined benefits on 31 December 2011.

A formal valuation of the Defined Benefit (DB) Plan was performed at 31 December 2016 by a professionally qualified Actuary using the Projected Unit Method. The market value of the DB Plan assets at the valuation date was £219 million.

The valuation of the DB Plan revealed a deficit of assets compared with the value of liabilities of £93 million (equivalent to a past service funding level of 70%). As a result of the valuation, in addition to the contributions to the DC Plan set out above, it was agreed that the standard rate of deficiency contributions from churches and other employers involved in the DB Plan will remain at previously agreed levels, increasing each year in line with increases in the Minimum Pensionable Income. The deficiency contributions are broadly based on 12% of Pensionable Income / Minimum Pensionable Income, reflecting each employer’s contributions in March 2015. Some employers that were involved in the DB Plan for a short period pay lower contributions. Under the current Recovery Plan dated 1 July 2020, the Trustee and the Council agreed a 50% reduction for all deficiency contributions payable between 1 July 2020 to 31 December 2020.

In addition, the Baptist Union of Great Britain contributed a lump sum of £33m in 2018 with a further £0.5m to follow, and changes to the Scheme benefits were agreed. The Recovery Plan envisages deficiency contributions continuing until 31 December 2028.

The key financial assumptions underlying the valuation were as follows:

RPI price inflation assumption 3.50% pa

CPI price inflation assumption 2.75% pa

Minimum Pensionable Income increases (CPI plus 0.75% pa) 3.50% pa

Minehead Baptist Church

10

Registered Charity Number 1130521 Notes to the accounts at 31 July 2020

Pension Scheme Liabilities (continued)

Assumed investment returns:

Deferred pension increases

Pension increases

As there is a large number of contributing employers participating in the Scheme, the Church is unable to identify its share of the underlying assets and liabilities of the scheme. Accordingly, due to the nature of the Scheme, the profit and loss charge for the period represents the employer contributions payable. The total pension cost for the Church for the year ended 31 July 2020 was £8,152 (2019 £8,342).

Under the Schedule of Contributions, the church makes a monthly payment in respect of the DB scheme deficit, currently £719.14, which will increase in line with increases in Minimum Pensionable Income.

The pension scheme liability shown in the Statement of Assets and Liabilities is calculated as the current rate per month multiplied by the number of months remaining in the current Schedule of Contributions with adjustment for the discounted payments between August 2020 and December 2020, which amounted to £70,835 as at 31[st] July 2020.

The Church has been advised that the estimated cost for the church to buy out their Pension Scheme liabilities at 31 July 2020 was £362,000.

Amherst & Shapland Limited

Minehead Baptist Church

Registered Charity Number 1130521


Receipts and Payments Account for the year ended 31 July 2020 and Statement of Assets and Liabilities as at that date

___________

Chartered Accountants

Minehead Baptist Church

INDEPENDENT EXAMINER’S REPORT

INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF MINEHEAD BAPTIST

CHURCH

I report on the accounts of the charity for the year ended 31 July 2020 which are set out on pages 6 to 10.

Respective responsibilities of trustees and examiner

The trustees are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.

It is my responsibility to:

Basis of independent examiner’s report

My examination was carried out in accordance with the General Directions given by the Charity Commission. 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 you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a 'true and fair view' and the report is limited to those matters set out in the statement below.

Independent examiner’s statement

In connection with my examination, no matter has come to my attention:

have not been met; or

(2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

Signed …………………………….……

K H D PRESTON FCA TEP


Chartered Accountant 2020 Minehead

Minehead Baptist Church

2

Registered Charity Number 1130521

ANNUAL REPORT OF Minehead Baptist Church

Year to 31 July 2020

Administrative Information

Minehead Baptist Church is part of the Baptist Union of Great Britain and the South West Baptist Association.

CONTACT ADDRESS Parks Lane Minehead Somerset TA24 8BS MINISTERS Rev. Paul McCabe Richard Hall (Minister in Training from 1 February 2020)

MEMBER OF MINISTERIAL TEAM Mark Scyner

ELECTED MEMBERS David Brown (resigned 19 November 2019) Christine Dickinson Adam Ford Margaret Hammel Christine James (resigned 19 November 2019) Alec Prail (elected 19 November 2019) Martin Spink Debby Ward Pauline Westcott (elected 19 November 2019)

ACCOUNTANT

Amherst & Shapland Limited 4 Irnham Road MINEHEAD Somerset TA24 5DG

Minehead Baptist Church Registered Charity Number 1130521

3

ANNUAL REPORT OF MINEHEAD BAPTIST CHURCH

Year to 31 July 2020

Aim and Purpose

Minehead Baptist Church (MBC) is governed by an Approved Governing Document which states that the principal purpose of the charity is the advancement of the Christian Faith according to the principles of the Baptist denomination. The Church may also advance education and carry out other charitable purposes in the United Kingdom and/or other parts of the world.

As a member of the Baptist Union MBC subscribes to the Union’s Declaration of Principle:

 “That our Lord and Saviour Jesus Christ, God manifest in the flesh, is the sole and absolute authority in all matters pertaining to faith and practice, as revealed in the Holy Scriptures, and that each church has liberty, under the guidance of the Holy Spirit, to interpret and administer His laws.

 That Christian Baptism is the immersion in water into the name of the Father, the Son and Holy Ghost, of those who have professed repentance towards God and faith in our Lord Jesus Christ who ‘died for our sins according to the Scriptures, was buried, and rose again on the third day.’

 That it is the duty of every disciple to bear personal witness to the gospel of Jesus Christ, and to take part in the evangelisation of the world.”

The trustees are aware of the Charity Commission’s guidance on public benefit in “The Advancement of Religion for the Public Benefit” and have regard to it in its administration. The trustees believe that, by fulfilling their responsibility to work together with the Minister and co-operate in all matters of concern and importance for the promotion of the whole mission of the Church, pastoral, evangelistic and social, it provides a benefit to the public by:

 Providing resources and facilities for public worship, pastoral care and spiritual, moral and intellectual development, both for its members and for anyone who wishes to benefit from what the Church offers; and

 Promoting Christian values, and service by members of the church to the community, to the benefit of individuals and society as a whole.

Objectives and Activities

The trustees support the minister(s) in promoting the ministry and mission of the church. The powers conferred on the trustees include the power to acquire, manage and administer property for church purposes and the power to frame an annual budget of monies required for church work. The trustees are also given power, jointly with the minister(s), to appoint and dismiss church staff members and to determine their salaries and conditions of service.

The trustees are committed to enabling as many people as possible to worship at Minehead Baptist Church on Sundays and to take part in midweek activities, bible studies and prayer meetings.

In addition to numerous church groups, MBC also has an active Girls’ Brigade, and runs the Active Living Centre and The Hub – all of these being important parts of the mission of our church.

Review of the Year

Philippians 4:6 Do not be anxious about anything, but in every situation, by prayer and with petition, with thanksgiving, present your requests to God.

It is, of course, impossible to do a review of the past year without looking at the effects that the lockdown caused by the Covid-19 pandemic has had on our shared life together. It has not been possible to meet together since March. As at the end of July 2020 the Government have eased some restrictions, including the possibility of meeting for worship albeit in a socially distanced way, yet achieving this with the numbers of regular attendees we have will produce some challenges in the coming year. Yet as the Bible verse above reminds us we are invited to bring everything before our Lord in prayer.

Minehead Baptist Church Registered Charity Number 1130521

4

ANNUAL REPORT OF MINEHEAD BAPTIST CHURCH

Year to 31 July 2020

It is with this in mind that we are able to say that we have not missed one Sunday where we have not provided live streamed worship using our Facebook page and this has opened up the church to a whole new group many of whom would not ordinarily come to Sunday worship. We regularly see many more people viewing our on-line services that would attend challenging us to continue to offer the services on-line even after Covid-19 no longer has an effect on daily living.

We have also been able to do daily live prayer using the same format. All of this activity has meant that both of the ministers in church and the expanded youth and children’s department (see below) have been busy like never before.

It is right that we record both personal and corporate thanks as a group of trustees to all who give their time and energy in the life of the church. Without such commitment and energy it would not have been possible to do all we have done in the last 5 months. We pray that you will be as inspired and encouraged as you read through the remainder of these accounts as we were.

The past year has seen a significant change within the ministerial team at Minehead Baptist Church (MBC). Working in conjunction with Bristol Baptist College (BBC) we have called Richard Hall a Minister in Training as a second minister who will be fulfilling his calling part-time at MBC whilst completing his ministerial training. This will mean that for the coming 3 years we will be working in partnership with the college to help in his formation. Richard has quickly become an integral part of who we are as church and his wisdom and insight – whether leading prayers, preaching, or in helping with our technology - has quickly become invaluable to the church.

We also followed through on the possibility expressed in last years report that we would be joined by an intern working in our youth and children’s department whilst completing formal training at BBC. Milly Paine has been at MBC since September 2019 fulfilling this role. Her time with us has been hampered significantly by the lockdown but we look forward to what she will bring to us in the coming year.

During the year we have been able to complete the purchase of ‘The Hub’ from the South West Baptist Association for £200,000 with the aid of a loan from the Baptist Building Fund for £90,000. Whilst much new activity was undertaken at the end of last year at The Hub it has suffered because of the lockdown with the soft play area being closed from March to date. As of the date of this report it is not known when it might be possible to re-open.

Many of our plans for the year, such as working with Spring Harvest on the Butlins site at Easter have had to be put on hold. However, lockdown has not been a period of inactivity, rather we have been working via phone and virtual links to plan for 2021 and beyond.

The past year is not one that anyone could have predicted but with hindsight much has been learnt. The reading at the beginning of this review reminds us that we believe in a God that is bigger than any pandemic and that seeking his will for the future direction of the church and committing ourselves to it will ensure we continue to ‘be church’ no matter what happens. It is with confidence that we can therefore declare that under God our future is bright.

Plans for Future Periods

The priority for 2020/2021 against the backdrop of the current restrictions is to continue doing what we do well in being a welcoming church, to develop as disciples of Jesus and to reach out to our community. Albeit that our current focus for this is what we are able to achieve virtually.

It is recognised that this year is likely to be one of change where we seek the Lord even more than before to simply follow him.

As it is seven years since the establishment of the Hub, we will be taking this opportunity to re-examine the work of the Hub looking at how this may become more integrated into the life of the church than ever before.

Minehead Baptist Church

5

Registered Charity Number 1130521

ANNUAL REPORT OF MINEHEAD BAPTIST CHURCH

Year to 31 July 2020

Statement of the Leadership Team's Responsibilities

The Leadership Team (trustees) are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

Charity law requires the trustees to prepare financial statements for each financial year. Under that law the trustees have elected to prepare financial statements in accordance with the United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). The financial statements are required by law to give a true and fair view of the state of affairs of the charity and of its surplus or deficit for that period. In preparing these financial statements the trustees are required to:

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable it to ensure that that these financial statements comply with the Charities Act 2011.It is also responsible for safeguarding the charity's assets and taking reasonable steps for the prevention and detection of fraud and other irregularities.

Structure, Governance and Management

Members of the church are accepted in accordance with the Governing Document. There were 141 Members as at 31 July 2020. Members' meetings normally take place six times per year. Though the Governing Document permits decisions to be made at Members' Meetings by appropriate majorities, the Church seeks to work by consensus wherever possible.

In accordance with the Governing Document, the members appoint Trustees (called Elders or Deacons), who together with the Minister/s, Church Secretary and Treasurer (who are also Trustees appointed by the Members), and collectively known as the Leadership Team, are responsible for the day-to-day running of the church's work and witness, and the financial and legal aspects of the charity.

This report for the year 31 July 2020 is as approved by the Trustees on 10 November 2020.

…………………………………………………….. Trustee authorised to sign on behalf of the Trustees

Minehead Baptist Church Registered Charity Number 1130521

6

Receipts and Payments Account for the year to 31 July 2020

GENERAL FUND

Note
Receipts
Donations, legacies and grants
2
Special Appeals
Interest on bank accounts
Fees for Mission Activities
Hall hire
Insurance claim
Total receipts
Payments
Wages/salaries and national insurance
Pension contributions
Pension deficit contributions
Rent
Repairs and maintenance
Repairs and maintenance - insured
Equipment repairs and renewals
Utilities and telephone
Church running costs
Mission
3
Total payments
Net of receipts/(payments)
Transfers between funds
Cash funds last year end
Cash funds this year end
Receipts
Donations
Gift Aid
Sub total
Other
Loan received from Baptist Building Fund
Total receipts
Payments
The Hub survey for purchase
Sub total
Asset and investment purchases
The Hub purchase
Total payments
Net of receipts/(payments)
Transfer from General Fund
Cash funds last year end
Cash funds this year end
Unrestricted
funds
Restricted
funds
Total funds
Last year
£
£
£
£
129,368 937 130,305 138,488
- 910 910 1,982
299
299 436
26,247
26,247 39,116
7,027
7,027 15,294
12,079
12,079 -
Unrestricted
funds
Restricted
funds
Total funds
Last year
£
£
£
£
129,368 937 130,305 138,488
- 910 910 1,982
299
299 436
26,247
26,247 39,116
7,027
7,027 15,294
12,079
12,079 -
Unrestricted
funds
Restricted
funds
Total funds
Last year
£
£
£
£
129,368 937 130,305 138,488
- 910 910 1,982
299
299 436
26,247
26,247 39,116
7,027
7,027 15,294
12,079
12,079 -
£175,020
£1,847
£176,867
£195,316









88,472 4,000 92,472 78,193
5,572
5,572 4,963
8,152
8,152 8,343
(1,473)
(1,473) 10,000
12,632
12,632 24,577
11,179
11,179 -
5,444
5,444 12,169
17,429
17,429 16,231
14,160
14,160 20,860
20,803 5,602 26,405 34,911
£182,370
£9,602
£191,972
£210,247


(7,349) (7,755) (15,104) (14,931)
(3,400)
25 (3,375) -
96,095 8,088 104,183 119,114
£85,346
£358
£85,704
£104,183
THE HUB PURCHASE FUND
Restricted
fund
£
2,611
-
2,611
90,000
£ 92,611
-
-
200,627
£ 200,627
(108,016)
3,375
£ 109,963
£ 5,322
Last year
£
25,829
5,409
31,238
-
£ 31,238
500
500
-
£ 500
30,738
-
£ 79,225
£ 109,963

Minehead Baptist Church

7

Registered Charity Number 1130521

Statement of Assets and Liabilities at 31 July 2020

Unrestricted funds

ASSETS
Cash funds
£85,346
Other Monetary Assets
Gift Aid claimed but not received
£5,607
Assets retained for the charity’s own use:

Minehead Baptist Church Building

The Manse occupied by the minister (30 Paganel Road, Minehead)

The Hub (Hopcott Road, Alcombe, Minehead).
Restricted funds
£5,680
-

All property is held as Custodian Trustee by the Baptist Union of Great Britain, with Minehead Baptist Church acting as the Managing Trustee.

LIABILITIES

Creditors (World Mission Giving)
Pension Fund Deficit
The Hub purchase loan
Fund to which liability relates
Unrestricted
Unrestricted

Restricted
Amount due
£2,202
£70,835
£90,000

Approved by the Trustees and signed on their behalf

Rev Paul McCabe, Chair of Trustees

Date:10 November 2020

Minehead Baptist Church

8

Registered Charity Number 1130521 Notes to the accounts at 31 July 2020

1. Basis of accounts

These accounts have been prepared on a ‘receipts and payments’ basis and in accordance with Section 133 Charities Act 2011.

2. Donations, grants and other income

2. Donations, grants and other income
Donations
Offerings
Furlough grant
Gift Aid
For Minister in Training
Pastoral fund
Grant from SCC (restricted)
Grant from Barchester (restricted)
SSL grant (restricted)
Other income
Total Donations and Other Income
3. Mission
Mission/Charitable giving
Youth and Families
Outreach
Active Living Centre running costs
The Hub running costs
MBC Activity Groups running costs
Total Mission
2020
2019
7,451 9,382
89,759 99,090
3,060 -
15,413 17,000
3,300 -
9,914 -
-
12,000
-
650
937
-
471 366
£130,305 £138,488
2020
2019
12,357 14,745
1,620 1,063
432 941
4,886 9,067
2,704 5,432
3,406 3,663
£25,405 £34,911

4. Assets Held for the Church’s own use

The church is the beneficial owner (subject to the relevant trusts) of the following assets, the legal title to which is held by the church’s custodian trustee [the Baptist Union Corporation Ltd]:

Minehead Baptist Church

9

Registered Charity Number 1130521

Notes to the accounts at 31 July 2020

5. Pension Scheme Liabilities

The Church is an employer participating in a pension scheme known as the Baptist Pension Scheme (“the Scheme”). The Scheme is a separate legal entity which is administered by the Pension Trustee (Baptist Pension Trust Limited).

The Minister(s) [and some members of the church staff] is / are eligible to join the Scheme.

Since January 2012, pension provision has been made through the Defined Contribution (DC) Plan within the Scheme. In general, members pay 8% of their Pensionable Income and employers pay 6% of members’ Pensionable Income into individual pension accounts. In addition, the employer pays a further 4% of Pensionable Income (or 3% if the employer is in the segregated DC section) to cover Death in Service Benefits, administration costs, and an associated insurance policy which provides income protection for Scheme members in the event that they are unable to work due to long-term incapacity. This income protection policy has been insured by the Baptist Union of Great Britain with Aviva. Members of the Basic Section pay reduced contributions of 5% of Pensionable Income, and their employers also pay a total of 5%.

Benefits in respect of service prior to 1 January 2012 are provided through the Defined Benefit (DB) Plan within the Scheme. The main benefits for pre-2012 service were a defined benefit pension of one eightieth of Final Minimum Pensionable Income for each year of Pensionable Service, together with additional pension in respect of premiums paid on Pensionable Income in excess of Minimum Pensionable Income. The Scheme, previously known as the Baptist Ministers’ Pension Fund, started in 1925, but was closed to future accrual of defined benefits on 31 December 2011.

A formal valuation of the Defined Benefit (DB) Plan was performed at 31 December 2016 by a professionally qualified Actuary using the Projected Unit Method. The market value of the DB Plan assets at the valuation date was £219 million.

The valuation of the DB Plan revealed a deficit of assets compared with the value of liabilities of £93 million (equivalent to a past service funding level of 70%). As a result of the valuation, in addition to the contributions to the DC Plan set out above, it was agreed that the standard rate of deficiency contributions from churches and other employers involved in the DB Plan will remain at previously agreed levels, increasing each year in line with increases in the Minimum Pensionable Income. The deficiency contributions are broadly based on 12% of Pensionable Income / Minimum Pensionable Income, reflecting each employer’s contributions in March 2015. Some employers that were involved in the DB Plan for a short period pay lower contributions. Under the current Recovery Plan dated 1 July 2020, the Trustee and the Council agreed a 50% reduction for all deficiency contributions payable between 1 July 2020 to 31 December 2020.

In addition, the Baptist Union of Great Britain contributed a lump sum of £33m in 2018 with a further £0.5m to follow, and changes to the Scheme benefits were agreed. The Recovery Plan envisages deficiency contributions continuing until 31 December 2028.

The key financial assumptions underlying the valuation were as follows:

RPI price inflation assumption 3.50% pa

CPI price inflation assumption 2.75% pa

Minimum Pensionable Income increases (CPI plus 0.75% pa) 3.50% pa

Minehead Baptist Church

10

Registered Charity Number 1130521 Notes to the accounts at 31 July 2020

Pension Scheme Liabilities (continued)

Assumed investment returns:

Deferred pension increases

Pension increases

As there is a large number of contributing employers participating in the Scheme, the Church is unable to identify its share of the underlying assets and liabilities of the scheme. Accordingly, due to the nature of the Scheme, the profit and loss charge for the period represents the employer contributions payable. The total pension cost for the Church for the year ended 31 July 2020 was £8,152 (2019 £8,342).

Under the Schedule of Contributions, the church makes a monthly payment in respect of the DB scheme deficit, currently £719.14, which will increase in line with increases in Minimum Pensionable Income.

The pension scheme liability shown in the Statement of Assets and Liabilities is calculated as the current rate per month multiplied by the number of months remaining in the current Schedule of Contributions with adjustment for the discounted payments between August 2020 and December 2020, which amounted to £70,835 as at 31[st] July 2020.

The Church has been advised that the estimated cost for the church to buy out their Pension Scheme liabilities at 31 July 2020 was £362,000.