St John & St Matthew South Hornchurch Annual Financial Statements of the Parochial Church Council (PCC) For the year ended 31[st] December 2020 (Including Independent Examination letter)
Registered Charity number: 1130670
Vicar (Chairperson of PCC): Rev Kevin Browning St John’s & St Matthew’s Vicarage South End Road Rainham RM13 7XT
PCC Treasurer: David Rogers 26 Cavendish Crescent Hornchurch RM12 5NT
Banks:
Barclays Bank PLC 36/38 South Street Romford RM1 1RH and
Central Board of Finance of the Church of England Senator House 85 Queen Victoria Street London EC4V 4ET
Independent Auditor: Kevin Ogilvie Charity Bookkeeping and Examination Services 13 Evelyns Close Uxbridge UB8 3LR
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| Contents: | |
|---|---|
| Page | |
| Parochial Church Council (PCC) members | 3 |
| Parochial Church Council (PCC) Objective | 4 |
| Parochial Church Councils (PCC) governance | 4 |
| Additional Financial responsibilities | 4 |
| Accounting policies | 5 |
| APCM PCC Treasurers Report 31st December 2020 | 5 |
| Notes on the Accounts | 6 |
| Independent Examiner's Report | 6 |
| Statement of Financial Activities | 7 |
| Balance sheet | 7 |
| Accounts approved by the PCC | 8 |
| Fund movement by type | 8 |
| Analysis of income and expenditure | 9 |
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St John’s & St Matthew’s Church South Hornchurch
Parochial Church Council (PCC) members who have served from January 2020 until the date this report was approved at APCM Thursday 20[th] May 2021.
Incumbent Rev Kevin Browning
Church Wardens David Rogers Glenda Morton (end 11/10/20) Ray Akuaku (start 11/10/20)
Elected Members Sheree Hambelton
Rowena Lawrence (start 11/10/20) Freddie Bloss (start 11/10/20) Henry Peck (start 11/10/20) Gladys Azeh (start 11/10/20) Jim Morton (start 11/10/20) Paul Evangeli (start 11/10/20 end 06/03/21) Annette Newman (end 11/10/20) Chris Langford (end 11/10/20) Sumaiea Charalambous (end 11/10/20) Ray Akuaku (end 11/10/20)
Deanery Synod Robert Jones Roger Fall (start 11/10/20) Missioner ex-officio Mark Gilmore (start 11/10/20)
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Parochial Church Council (PCC) Objective
Promoting in the ecclesiastical parish the whole mission of the church.
Parochial Church Councils (PCC) are governed by the provisions of the Synodical Government Measure 1969 and the Parochial Church Council (Powers) Measure 1956.
The Annual Parochial Church Meeting elects members of the Council. In addition, the ex-officio members include Clergy and Licensed Lay Workers, Churchwardens, representatives of the parish on the Deanery Synod and members of the Diocesan Synod and General Synod who are on the Electoral Roll of the parish.
A PCC has the following main powers and responsibilities: -
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To acquire, manage and administer property for ecclesiastical purposes affecting the parish (though the PCC itself cannot own property outright),
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To frame an annual budget required for the work of the Church.
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To approve the annual accounts and present them to the Annual Parochial Church Meeting.
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To make representations to the Bishop with regard to any matter affecting the welfare of the Church in the parish.
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To make representation about proposals concerning the parsonage house of the benefice.
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To be consulted about the appointment of a new incumbent.
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To be consulted about pastoral reorganisation affecting the parish.
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To be responsible for the provision of certain items of liturgical furniture in the church, prayer books, bible and legal registers.
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To be responsible for the care and repair of all churches, chapels, and churchyards within the parish.
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To be responsible for ensuring that safeguarding measures are implemented and that the parish safeguarding policy is followed.
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To be responsible for determining the policies and procedures for data processing and complying with data protection legislation.
Additional Financial responsibilities
Regulations require members of the PCC to prepare financial statements for each year which give a true and fair view of the state of affairs of the PCC at the end of the year and of the incoming and application of resources for the year then ended.
In preparing those financial statements the members of the PCC are required to select suitable accounting policies and then apply them on a consistent basis, making judgements and estimates that are reasonable and prudent.
The members of the PCC are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the PCC and to enable them to ensure that the financial statements comply with the Church Accounting Regulations and the Charities Act. PCC are also responsible for safeguarding the assets of the PCC and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The PCC are responsible for managing the risks faced by the church by establishing appropriate systems or procedures to mitigate risks.
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Charities Commission – The PCC have considered the Charity Commission’s guidance on public benefit and in particular the guidance on charities for the advancement of religion when planning the activities for the year.
Accounting policies
The financial statements are prepared in accordance with accounting regulations and standards on accounting for Charities.
Funds – “Unrestricted” funds of the PCC are not subject to any restrictions regarding their use and are available for the application for the general purpose of the PCC. The “Restricted” funds of the PCC are subject to restrictions imposed by the donor at the time the funds were given to the PCC.
Financial statements - include transactions, assets, and liabilities for which the PCC is responsible in law. They do not include the accounts of church groups that owe their affiliation to another body or those that are informal gatherings of church members.
Incoming resources – collections are recognised when received by or on behalf of the PCC. Planned giving receivable under Gift Aid is recognised when received from the donor. The income tax recoverable on these Gift Aid donations is recognised at the same time as the underlying donation.
Grants and legacies – are accounted for as soon as the PCC is notified of it’s legal entitlement, the amount due is quantified and it’s ultimate receipt by the PCC is reasonably certain. Funds raised from activities to further the PCC’s objectives are accounted for by gross of expenses met by the PCC.
Dividends and Interest – included on a receipt’s basis.
APCM PCC Treasurers Report 31st December 2020
“Bring the whole tithe into the storehouse. Test me in this “says the Lord Almighty, “and I will pour out so much blessing that there will not be enough room to store it”. Malachi 3 v10
Like so many others, St John and St Matthew’s church was dramatically affected in church attendance, worship patterns and finance by the Coronavirus Pandemic. In addition, the effect on the Chelmsford Diocese funds meant that clergy posts were under threat, particularly those who could not meet their Parish Share.
To address this issue, a Finance Team met in August to develop a road map to determine the possibility of paying our share in full. Measures included a successful campaign to encourage people to give by standing order to offset the drop in weekly collections. We also received one off donations including one for £2,000 and this resulted in total giving increasing by £13,600 over 2019. Thank you to everyone for their faithfulness over a number of years and their combined effort to keep this church viable with a full-time minister.
Hall income dropped by £8,900 as the premises were shut down. However, we were able to negotiate a new more economic rate with our pre-school from September 2020 to July 2022, bringing in an additional £5,000 for each school year.
We also addressed our costs, particularly our bookkeeping and examination and payroll fees. In November 2020, we moved our bookkeeping from in house to a professional level with Data Development and our Independent Examiner to Charity Bookkeeping with a combined saving of £2,000.
Furlough payments from the Government of £3,000 also reduced our payroll costs and in April 2021, we will transfer our payroll to local accountants for a further saving of £280.
We also released £5,000 from our reserves and transferred £3,900 from designated funds and this combined with the above measures allowed us to pay our Parish Share in full at £50,100, the first time for four years… God is good!
The church has no debts.
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Outlook for 2021: The measures we introduced in 2020 will mean that we will meet our commitments in 2021, particularly the Parish Share at £50,000. In addition, we believe that Hall Users will return along with the hiring out of spaces in our grounds for local traders. We believe that with God’s blessing on our ongoing ministry to the community, we are on the path to becoming a sustainable church.
David Rogers
PCC Treasurer
Notes on the Accounts
Changes to accounting practices
The current income of the church is such that “Prepayments and Accruals” reporting is not required. “Receipts and Payments” reporting will be sufficient. PCC Standing Committee approved this change of accounting reporting on the 26[th] February 2021. Change to commence 1[st] January 2021 for year ending 31[st] December 2021.
Independent Examiner's Report to the Trustees of: St John and St Matthew South Hornchurch
I report on the accounts of the church for the year ended 31[st] December 2020 which are set out on finance pages of the Annual Report.
Respective Responsibilities of Trustees and Examiner
The church’s trustees are responsible for the preparation of the accounts. The church's 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:
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Examine the accounts under section 145 of the 2011 Act);
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To follow the procedures laid down in the General Directions given by the Charity Commissioners (under section 145(5)(b) of the 2011 Act); and
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To state whether particular matters have come to my attention.
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
Since the gross income for the year exceeds the amount provided in section 145(3) of the Act, I confirm that I am qualified to act as Independent Examiner under the provisions of that section of the Act and that my qualification is as shown below.
In connection with my examination, no matter has come to my attention:
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1 which gives me reasonable cause to believe that in any material respect the requirements
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to keep accounting records in accordance with section 130 of the 2011 Act; and
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to prepare accounts which accord with the accounting records and comply with the accounting requirements of the 2011 Act have not been met; or
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2 to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
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Kevin Ogilvie Signed 13 Evelyns Close, Hillingdon, Middlesex, UB8 3LR
Date 7[th] May 2020
Statement of Financial Activities
| Unrestricted Designated Restricted Endowment Total Prior year funds funds funds funds funds total funds |
|
|---|---|
| Income and endowments from: Donations and legacies Income from charitable activities Other trading activities Investments Other income Total income Expenditure on: Expenditure on charitable activities Other expenditure Total expenditure Net income / (expenditure) resources before transfer Transfers Gross transfers between funds - in Gross transfers between funds - out Other recognised gains / losses Net movement in funds Total funds brought forward Total funds carried forward |
155 — — — 155 — 61,687 — 110 — 61,797 61,520 133 — 500 — 633 — 5 — — — 5 61 17,865 — — — 17,865 24,133 |
| 79,844 — 610 — 80,454 85,714 60,764 50 511 — 61,325 43,899 19,593 — 500 — 20,093 34,736 |
|
| 80,357 50 1,011 — 81,418 78,635 |
|
| (513) (50) (401) — (964) 7,079 5,925 — — — 5,925 9,205 (2,000) (3,925) — — (5,925) (9,205) |
|
| 3,412 (3,975) (401) — (964) 7,079 |
|
| 16,922 11,751 7,903 — 36,576 29,497 |
|
| 20,334 7,777 7,502 — 35,613 36,576 |
Balance sheet
| Class and code Description |
This year Last year |
|---|---|
| Current assets 150001 Barclays Current account 150002 Barclays Saving accounts 150003 CBF Deposit Account 150013 Tiddlers Petty Cash 150014 Coffee Shop Petty Cash Z05 Accounts Receivable Total Current assets Liabilities 6699 Agency collections Z04 Accounts Payable Total Liabilities Net Asset surplus(deficit) Reserves Excess / (deficit) to date Z01 Starting balances |
4,577 25,168 20,000 — 8,162 8,157 82 82 — — 4,266 5,210 |
| 37,086 38,617 20 — 1,453 2,040 |
|
| 1,473 2,040 |
|
| 35,613 36,576 |
|
| (964) 7,079 36,576 29,497 |
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| Total Reserves Represented by funds Unrestricted Designated Restricted Endowment Total |
35,613 36,576 20,334 16,922 7,777 11,751 7,502 7,903 — — |
|---|---|
| 35,613 36,576 |
Accounts approved by the PCC on 31[st] March 2021 and signed on its behalf
Rev Kevin Browning (Chairperson of PCC)
Fund movement by type
| Opening Incoming Outgoing Transfers Gains/losses Closing |
|
|---|---|
| General - General fund Unrestricted Sub-total for General LIGHTHOUSE - Childrens Ministry Restricted Sub-total for LIGHTHOUSE DEV - Church Development Designated Restricted Sub-total for DEV EVAN - Evangelism/Outreach Designated Sub-total for EVAN HALLDEV - Hall Development Designated Restricted Sub-total for HALLDEV JUBILEE - Charitable assistance Designated Restricted Sub-total for JUBILEE MISSION - Mission Designated Restricted Sub-total for MISSION NURTURE - Nurture new Christians Restricted Sub-total for NURTURE TRAINING - Assistance with training Restricted Sub-total for TRAINING TIDDLERS - Tiddlers Restricted Sub-total for TIDDLERS HARVEST - Training |
16,922 79,844 80,357 3,925 — 20,334 |
| 16,922 79,844 80,357 3,925 — 20,334 2,733 — — — — 2,733 |
|
| 2,733 — — — — 2,733 4,941 — — — — 4,941 507 — — — — 507 |
|
| 5,448 — — — — 5,448 673 — — — — 673 |
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| 673 — — — — 673 4,005 — — (2,000) — 2,005 — — — — — — |
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| 4,005 — — (2,000) — 2,005 158 — — — — 158 72 510 500 — — 82 |
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| 230 510 500 — — 240 1,975 — 50 (1,925) — — 2,522 — — — — 2,522 |
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| 4,497 — 50 (1,925) — 2,522 187 — — — — 187 |
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| 187 — — — — 187 728 — — — — 728 |
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| 728 — — — — 728 896 100 511 — — 485 |
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| 896 100 511 — — 485 |
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| Restricted Sub-total for HARVEST Grand total |
258 — — — — 258 |
|---|---|
| 258 — — — — 258 |
|
| 36,576 80,454 81,418 — — 35,613 |
Analysis of income and expenditure
| Total Unrestricted Designated Restricted Endowment This year Last year INCOME AND ENDOWMENTS Donations and legacies Anonymous Donations 155 — — — 155 — Total 155 — — — 155 — Income from charitable activities Tax claimable giving 50,130 — — — 50,130 36,928 Non tax claimable giving 660 — — — 660 178 Income Tax recovered 10,834 — — — 10,834 8,707 Church Collections — — — — — 60 Tiddlers — — 100 — 100 1,777 Fellowship Events 48 — — — 48 3,275 Coffee shop 15 — — — 15 596 Hall Development — — — — — 10,000 Jubilee fund — — 10 — 10 — Total 61,687 — 110 — 61,797 61,520 Other trading activities Sundry/Misc credits 133 — 500 — 633 — Total 133 — 500 — 633 — Investments Interest 5 — — — 5 61 Total 5 — — — 5 61 Other income Fees-Banns-Funeral 239 — — — 239 340 Hall Letts 12,162 — — — 12,162 21,084 Church Rentals 2,170 — — — 2,170 1,552 Grants 250 — — — 250 — Refreshments — — — — — 27 Church Development — — — — — 1,130 HMRC Furlough Scheme 3,044 — — — 3,044 — Total 17,865 — — — 17,865 24,133 |
Total Unrestricted Designated Restricted Endowment This year Last year INCOME AND ENDOWMENTS Donations and legacies Anonymous Donations 155 — — — 155 — Total 155 — — — 155 — Income from charitable activities Tax claimable giving 50,130 — — — 50,130 36,928 Non tax claimable giving 660 — — — 660 178 Income Tax recovered 10,834 — — — 10,834 8,707 Church Collections — — — — — 60 Tiddlers — — 100 — 100 1,777 Fellowship Events 48 — — — 48 3,275 Coffee shop 15 — — — 15 596 Hall Development — — — — — 10,000 Jubilee fund — — 10 — 10 — Total 61,687 — 110 — 61,797 61,520 Other trading activities Sundry/Misc credits 133 — 500 — 633 — Total 133 — 500 — 633 — Investments Interest 5 — — — 5 61 Total 5 — — — 5 61 Other income Fees-Banns-Funeral 239 — — — 239 340 Hall Letts 12,162 — — — 12,162 21,084 Church Rentals 2,170 — — — 2,170 1,552 Grants 250 — — — 250 — Refreshments — — — — — 27 Church Development — — — — — 1,130 HMRC Furlough Scheme 3,044 — — — 3,044 — Total 17,865 — — — 17,865 24,133 |
|---|---|
| 155 — — — 155 — 50,130 — — — 50,130 36,928 660 — — — 660 178 10,834 — — — 10,834 8,707 — — — — — 60 — — 100 — 100 1,777 48 — — — 48 3,275 15 — — — 15 596 — — — — — 10,000 — — 10 — 10 — |
|
| 61,687 — 110 — 61,797 61,520 133 — 500 — 633 — |
|
| 133 — 500 — 633 — 5 — — — 5 61 |
|
| 5 — — — 5 61 239 — — — 239 340 12,162 — — — 12,162 21,084 2,170 — — — 2,170 1,552 250 — — — 250 — — — — — — 27 — — — — — 1,130 3,044 — — — 3,044 — |
|
| 17,865 — — — 17,865 24,133 |
|
| INCOME TOTAL | 79,844 — 610 — 80,454 85,714 |
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EXPENDITURE
| Expenditure on charitable activities Family Purse 50,103 — — — 50,103 26,400 Copyright Licence 286 — — — 286 279 Worship/Teaching books — — — — — 856 Coffee shop — — — — — 128 Mission (adhoc) 850 50 25 — 925 1,514 NI-Employee — — — — — 122 NI-Church — — — — — (26) Administrators Salary 9,025 — — — 9,025 9,866 Audit fees 500 — — — 500 1,140 Pledge envelopes — — — — — 87 Evangelism outgoings — — — — — 90 Tiddlers outgoings — — 486 — 486 1,868 Alpha Expenses — — — — — 523 Fellowship events expenses — — — — — 1,052 Total 60,764 50 511 — 61,325 43,899 Other expenditure CH/Gas/Elec/ Water 2,351 — — — 2,351 2,277 Church maintenance 5,359 — — — 5,359 1,140 Church insurance 1,417 — — — 1,417 788 Postage — — — — — 19 Stationery 616 — — — 616 867 Telephone 1,643 — — — 1,643 1,349 Miscellaneous expenses 643 — 500 — 1,143 1,942 Church development — — — — — 14,988 Incumbants expenses 245 — — — 245 1,699 Cleaners salary/Cleaning supplies 912 — — — 912 2,066 Hall/Gas/Elec/Water 2,575 — — — 2,575 2,769 Hall maintenance 726 — — — 726 823 Refuse management 1,616 — — — 1,616 1,574 Hall Insurance 131 — — — 131 788 TV Licence 157 — — — 157 153 Payroll fees 180 — — — 180 464 Refreshments 71 — — — 71 449 Computer/Technology 951 — — — 951 580 Total 19,593 — 500 — 20,093 34,736 |
Expenditure on charitable activities Family Purse 50,103 — — — 50,103 26,400 Copyright Licence 286 — — — 286 279 Worship/Teaching books — — — — — 856 Coffee shop — — — — — 128 Mission (adhoc) 850 50 25 — 925 1,514 NI-Employee — — — — — 122 NI-Church — — — — — (26) Administrators Salary 9,025 — — — 9,025 9,866 Audit fees 500 — — — 500 1,140 Pledge envelopes — — — — — 87 Evangelism outgoings — — — — — 90 Tiddlers outgoings — — 486 — 486 1,868 Alpha Expenses — — — — — 523 Fellowship events expenses — — — — — 1,052 Total 60,764 50 511 — 61,325 43,899 Other expenditure CH/Gas/Elec/ Water 2,351 — — — 2,351 2,277 Church maintenance 5,359 — — — 5,359 1,140 Church insurance 1,417 — — — 1,417 788 Postage — — — — — 19 Stationery 616 — — — 616 867 Telephone 1,643 — — — 1,643 1,349 Miscellaneous expenses 643 — 500 — 1,143 1,942 Church development — — — — — 14,988 Incumbants expenses 245 — — — 245 1,699 Cleaners salary/Cleaning supplies 912 — — — 912 2,066 Hall/Gas/Elec/Water 2,575 — — — 2,575 2,769 Hall maintenance 726 — — — 726 823 Refuse management 1,616 — — — 1,616 1,574 Hall Insurance 131 — — — 131 788 TV Licence 157 — — — 157 153 Payroll fees 180 — — — 180 464 Refreshments 71 — — — 71 449 Computer/Technology 951 — — — 951 580 Total 19,593 — 500 — 20,093 34,736 |
|---|---|
| 60,764 50 511 — 61,325 43,899 2,351 — — — 2,351 2,277 5,359 — — — 5,359 1,140 1,417 — — — 1,417 788 — — — — — 19 616 — — — 616 867 1,643 — — — 1,643 1,349 643 — 500 — 1,143 1,942 — — — — — 14,988 245 — — — 245 1,699 912 — — — 912 2,066 2,575 — — — 2,575 2,769 726 — — — 726 823 1,616 — — — 1,616 1,574 131 — — — 131 788 157 — — — 157 153 180 — — — 180 464 71 — — — 71 449 951 — — — 951 580 |
|
| 19,593 — 500 — 20,093 34,736 |
|
| EXPENDITURE TOTAL | 80,357 50 1,011 — 81,418 78,635 |
| GRAND TOTAL | (513) (50) (401) — (964) 7,079 |
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