Brentwood Baptist Church
Annual Report and Accounts For the year ending 31[st] December 2021
Registered Charity No. 1130944
Approved by the Trustees and signed on their behalf by:
Bryan Dedman
Bryan Dedman – Church Secretary
29 August 2022 Date
| Trustees | Jenny Baldwin (to 31 July 2021) |
|---|---|
| Bryan Dedman | |
| Brian Garner (from 25 February 2021) | |
| Ruth McMahon | |
| David Moore (to 31 December 2021) | |
| Nicholas Tavener | |
| Address | 91 Kings Road, |
| Brentwood, | |
| Essex, | |
| CM14 4DR | |
| Independent | Shaun De Boo |
| Examiner | Chartered Accountant |
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Annual Report
Church Objectives
The Church operates under its own Constitution and is a member of the Baptist Union of Great Britain and the Eastern Baptist Association. It is also a charity registered with the Charity Commission in England and Wales.
The principal purpose of the Church 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 the Church subscribes to the Union’s Declaration of Principle which is: -
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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.
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That Christian baptism is the immersion in water into the name of the Father, the Son and the Holy Spirit, 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.
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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.
Organisational Structure
The Church is administered by the Managing Trustees who, during 2021, were the deacons, secretary and treasurer as elected by the Church membership in accordance with the Church Constitution During 2021 the church was in a pastoral vacancy, although a new minister, the Rev Sean Fountain, will be inducted in September 2022.
The Trustees hold a monthly meeting and usually a meeting of all Church members is held every two months. Since March 2020, the Trustees have mainly met online with occasional in-person meetings, particularly when interviewing prospective ministers. Likewise, in 2021 members meetings have been via Zoom.
During the time of pastoral vacancy the Trustees and others have continued to work together to ensure that the work of Brentwood Baptist Church continues, albeit with considerable differences caused by the Covid19 pandemic.
Review of Activities
Central to the work and witness of the Church is the provision of regular public services of Christian worship which has continued either on-line and/or in the building through 2021.
Sunday morning services have been held in the building from the time when it was possible to re-open but also we have continued to broadcast them online “live” using Zoom to enable those who are unable, or would prefer not to be in a large congregation, to participate. We are pleased that some new attendees have joined in both formats. Services have usually been led by members of the Church with either visiting preachers or (less frequently) speakers from within the membership. There is now usually a full children's programme during the 10.30am service for ages 0-14 years which runs concurrently with the service.
Weekly prayer meetings have also been maintained with Zoom.
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In addition, considerable effort has been made to keep in touch with, and support, all involved in the church as much as is feasible. Where necessary, practical help has been provided. As well as the links arranged through the church, there has been much support provided informally.
The main youth activity outside of our Family Church, which are usually held on Sunday mornings, is the Monday night club. The Hub is for school years 1 to 6 and includes refreshments, games, arts and crafts, and Bible stories and discussion. The Red Balloon Foundation has assisted the church in providing these Monday evening activities for children.
“Women's Own” is a group of ladies who regularly meet on a Tuesday afternoon at 2.30 pm in our Kings Hall for fellowship, worship and mutual encouragement. It has been possible this year to belatedly celebrate the Centenary of this group with tea at a local hotel. Regular weekly meetings have recommenced and Christmas dinner at a local Country Club was enjoyed by members.
The Church has continued its involvement with Churches Together in Brentwood and church members are involved with Brentwood Schools Christian Worker Trust (BSCWT) and Brentwood Foodbank. The church continued its financial support for BSCWT and the Brentwood group of Christians Against Poverty, as well as the Home Mission of the Baptist Union and BMS World Mission. We are linked with two BMS medical missionaries in northern Chad.
Some activities have not recommenced, including Kingfishers Babies & Toddlers . This is a meeting place for all those who have care of a child under 5 - those who attend include mums, dads, grandmas, grandads, childminders and nannies but this activity has not re-started due to lack of volunteers. Subsequently, volunteers have come forward and a new group, Little Footsteps, is expected to start in September 2022. .
During 2021, the church agreed to support the training of a former church member, now minister in training at Farnborough Baptist Church, including the payment of college fees at Spurgeon’s College.
During 2021 the Trustees worked to identify and, with the Church membership, appoint the person God wants to lead the church. This process was delayed by the restrictions associated with Covid-19. In April 2022, the church called Rev Sean Fountain to be its next minister, by a 100% vote at the relevant meeting. The call was accepted and we look forward to the new ministry starting in September 2022.
Public Benefit
Having regard for the Charity Commission's guidance on public benefit, all our activities are open to anyone who wishes to attend. Through our work we are providing a benefit to the public through: -
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The provision of church buildings and worship services.
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Contributing to the spiritual and moral education of children and young people (pre-school, pre-teen and teen).
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Carrying out, as a practical expression of religious beliefs, opportunities to support, encourage and walk with varying age groups through friendship and practical help where possible.
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Providing open community events.
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Providing comfort to the bereaved and less able.
As well as the limited use of the church building noted above, some external users of the building continued meeting when possible under the restrictions – notably Kingfisher’s Pre-school continued to meet throughout 2021 (although it subsequently closed in July 2022).
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Premises
Work on the front of the building started in April 2021 and has been almost totally completed giving improved accessibility. During review of the plans by Fire Service staff, it was noted that we should enhance the fire escape at the other end of the main meeting area. That exit was widened and new doors provide improved exit from the building .
A review of the main church building was undertaken. No immediate work was recommended but proposals made for a programme of review and potential refurbishment over the next 5 years.
Financial review
The financial outcome for the year was dominated by the impact of the building work, by the vacancies for minister and administrator and the impact of covid-19 restrictions on activities. Overall, receipts totalled £120,384 and payments totalled £111,941.
General Fund receipts were £118,197 and payments were £55,464 so there was a surplus before transfers of £62,733. After transfers the General Fund was £290,793 at year end. Standing orders and similar payments have been substantially maintained. Since the church re-opened, attendees have been able to donate on site. There was significant income from rental of the manse but rental income from outside parties using the church building has not returned to pre-pandemic levels. The pandemic has continued to affect activities and costs – mainly reductions across a wide range of headings.
The Building Refurbishment Fund was largely used – the small amount of remaining work should be covered by the remaining balance.
Payments of £4,686 were made from the Pension Deficit Fund. At end 2021, the Trustees expected that these payments would continue until mid-2026 at the same or an increased level and the fund balance was intended to cover such payments. However, at the end of July 2022, the Trustees of the Baptist Pension Scheme advised that they had signed an agreement with an insurance company to secure the DB Plan members pension benefits. Subject to certain expectations being met, the payments from August 2022 onwards will be reduced to £1 pm. The Church Trustees expect that by end 2022 the balance of the Pension Deficit Fund will be transferred to the General Fund which will then bear the £1pm cost.
The church is supporting the training of a former church member including payment of college fees. £13,000 was set aside in a new Fees Fund for this purpose of which £5,922 was spent in 2021.
Use of the Communion Fund was again higher than in previous years. At year end, a transfer from the General Fund ensured the year-end balance is (almost) zero. The Trustees expect that a significant transfer from the General Fund will be needed in 2022.
There were reduced receipts and payments for the Other Activities Fund as there was reduced activity by the relevant organisations.
The Trustees are grateful for the financial support of the church members and attendees as well as their significant contributions in many other ways.
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Reserves Policy
The Trustees have a policy to maintain a reserve of £30,000 in unrestricted funds in case of an unexpected significant expenditure or a significant reduction in receipts. This policy objective has been met.
The General Fund balance of £290,793 is sustainably in excess of this. This has arisen primarily during the ministerial vacancy with its cost savings and receipts from renting the manse. The Trustees expect that this excess will be utilised in the work of the church in coming years, and particularly once a minister is in place.
While there have been impacts on the receipts (and payments) of the church as a result of Covid -19, the Trustees continue to expect to be able to meet payments as they fall due.
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Accounts for 2021
(All figures in £)
- Summary of Receipts and Payments (pre transfers)
| Unrestricted funds General Fund Pension Deficit Fund Building Refurbishment Fund Other Activities Fund Fees Fund Restricted funds Communion Fund Receipts to Forward Fund Total for 2021 |
Receipts 118,197 0 0 361 0 125 1,701 120,384 |
Payments 55,464 4,686 41,548 611 5,922 2,011 1,699 |
|---|---|---|
| 111,941 |
Details for each fund and comparatives for 2020 are shown below
General Fund Unrestricted
| Receipts Regular giving Tax reclaimed (2) Contributions to church expenses Legacies or Gifts in memory Rental income – church building Rental income – manse (7) Other income (3) Payments Ministry & Mission (4) Church Management, admin etc Donations by the Church (5) Excess of Receipts over Payments Transfer to Communion Fund Transfer to Fees Fund Transfer to Building Redevelopment Fund Transfer from Pension Deficit Fund Transfer from Other Activities fund Balance at start of year Balance at end of year |
2021 74,506 12,698 95 220 9,674 18,174 2,831 118,197 3,790 40,544 11,130 55,464 62,733 (1,888) (13,000) 0 0 579 242,365 290,793 |
2020 71,004 22,615 722 1,000 8,977 15,456 3,242 |
|---|---|---|
| 123,016 | ||
| 5,751 27,517 13,857 |
||
| 47,125 | ||
| 75,891 (429) 0 (15,000) 17,174 0 164,729 |
||
| 242,365 |
A fuller analysis of the payments from the General Fund by activity can be found in note (7).
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Pension Deficit Fund Designated note (8)
A fund for the costs of meeting the pension deficit payments to be paid to the Baptist Pension Scheme under the Recovery Plan, originally established at the end of 2017. At end 2021, the balance was expected to be used for future payments until June 2026. However, from August 2022 the payments are expected to be reduced to £1pm – see Report and note 8. The Trustees expect that by end 2022 the balance of the Pension Deficit Fund will be transferred to the General Fund.
| Payments Deficit payments made Excess of Receipts over Payments Transfer to General Fund Balance at start of year Balance at year end |
2021 4,686 (4,686) 27,724 23,036 |
2020 3,453 |
|---|---|---|
| (3,453) (17,174) 48,351 |
||
| 27,724 |
Building Refurbishment Fund Designated
A fund to cover the expected costs of building work (to manse and Church building) which has been planned but had not yet taken place.
| Payments Expenditure on buildings Excess of Receipts over Payments Transfer from General Fund Balance at start of year Balance at year end |
2021 41,548 (41,548) 47,399 5,851 |
2020 11,601 |
|---|---|---|
| (11,601) 15,000 44,000 |
||
| 47,399 |
Other Church Activities Fund Designated
Three Church organisations receive money and make payments and are shown separately.
| Receipts Kingfisher Babies and Toddlers Women’s Own Monday night children and youth activities Total receipts Payments Kingfisher Babies and Toddlers Women’s Own Monday night children and youth activities Total payments Excess of Receipts over Payments Transfer to General Fund from Kingfisher Babies and Toddlers and Monday nights Balance at start of year Balance at year end |
2021 0 361 0 361 0 611 0 611 (250) (579) 1,244 415 |
2020 68 275 0 |
|---|---|---|
| 343 | ||
| 43 280 0 |
||
| 323 | ||
| 20 0 1,224 |
||
| 1,244 |
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Fees Fund Designated
A fund, established in 2021, for payment of college fees of a minister training (a former member).
| Payments Payment of fees made Excess of Receipts over Payments Transfer from General Fund Balance at start of year Balance at year end |
2021 5,922 (5,922) 13,000 0 7,078 |
2020 0 |
|---|---|---|
| 0 0 0 |
||
| 0 |
Restricted Receipts to Forward Fund
During the year the church receives money identified specifically for other charities or people which the church supports. These are recorded separately and passed directly to the identified charity or person. The following amounts were received and passed on in this way. Previously this was called the Agency Fund.
| Baptist Missionary Society – Op Agri Baptist Missionary Society Foodbank Home Mission Josh Waldock training |
2021 received 246 315 320 320 500 1,701 |
2021 paid 246 322 320 311 500 1,699 |
End 2021 balance 0 0 0 9 0 |
|---|---|---|---|
| 9 |
| Baptist Missionary Society – Op Agri Baptist Missionary Society Baptist Missionary Society – Relief Foodbank Home Mission Samaritans Purse Thank offering 2019 (delayed until 2020) Floods appeal |
2020 received 1,490 191 214 119 254 10 118 50 2,446 |
2020 paid 1,490 175 214 119 261 10 0 0 2,269 |
End 2020 balance 0 7 0 0 0 0 0 0 |
|---|---|---|---|
| 7 |
- The delay in making the Gift Aid claims, described in note 2, means that Gift Aid for some payments was not available before 2019 year end. Nonetheless the payments made that year included the amounts of this Gift Aid, so there were negative balances in relation to the causes shown. These were covered when the Gift Aid was received in 2020.
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Communion Fund Restricted
A restricted fund for use by the minister to support members of the congregation, and others, at their discretion. In the pastoral vacancy, these decisions are currently made by the Church Secretary. In 2020, this included a receipt from Brentwood Borough Council for acting as a Community Hub during the pandemic and repayment of the same.
| Receipts Giving (inc Gift Aid) Grant from Brentwood Council Payments Support given Repayment of council grant Excess of Receipts over Payments Transfer from General Fund Balance at start of year Balance at year end |
2021 125 0 125 2,011 0 (2,011) (1886) 1888 0 1 |
2020 3,036 500 |
|---|---|---|
| 3,536 | ||
| 3,465 500 |
||
| 3,965 | ||
| (429) 429 |
||
| 0 |
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Statement of Assets and Liabilities
Bank accounts Instant Access Notice – 60 day Notice – 1 year Other activities accounts Cash |
2021 73,656 83,521 169,590 281 134 327,183 |
2020 65,148 70,362 181,987 962 282 318,740 |
|---|---|---|
| Represented by | ||
| Unrestricted funds General Fund Pension Deficit Fund Building Refurbishment Fund Fees Fund Other Church Activities Fund Restricted funds Communion Fund Receipts to Forward Fund |
2021 290,793 23,036 5,851 7,078 415 1 9 327,183 |
2020 242,365 27,724 47,399 0 1,244 0 7 318,740 |
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 London Baptist Property Board Limited)
Church premises at Kings Road, Brentwood, CM14 4DR valued at £2,197,287 (insurance amount)
(£2,175,532 ) Church manse at 16 Doddinghurst Road, Brentwood, CM15 9EH valued at £353,891 (insurance amount) (£350,387)
The Church also owns
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fixtures, furniture and equipment in the Church building valued at £168,500 (insurance amount) (£168,500)
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a minibus with an estimated value of £500 (£500)
At 31[st] December 2021, the Church had a liability to make pension scheme deficit payments of £21,397, calculated as the current rate per month multiplied by the number of months remaining in the current Schedule of Contributions. The Pension Deficit Fund is higher than this as it includes an allowance for the assumed increase in payments. As outlined in the Report and note (8) these payments are now expected to total £2,821. The Trustees expect that by end 2022 the balance of the Pension Deficit Fund will be transferred to the General Fund which will then bear the £1pm cost.
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NOTES TO THE ACCOUNTS
1. Basis of the accounts: These accounts have been prepared on a ‘receipts and payments’ basis in accordance with section 133 of the Charities Act 2011.
2. Gift Aid: in 2020, £10,000 of Gift Aid was received which would normally have been claimed in 2019 .
3. Other Income comprises
| her Income comprises | ||
|---|---|---|
| Use for Minibus Interest Sale of books |
2021 91 2,675 65 2,831 |
2020 25 3,148 69 |
| 3,242 |
4. Payments / Ministry & Mission – Salaries and employer NI and pension costs of Minister, Administrator and Children’s and Youth worker and the cost of external Support for Youth activities.
5. Donations by the Church . Gifts were made to the following:-
| Baptist Missionary Society Home Mission inc Eastern Baptist Association Brentwood Schools Christian Worker Trust Christians Against Poverty TEAR fund Compassion Uk Brentwood Foodbank Open doors Manna Meals Hopetowns Samaritans Purse Community Heartbeat Mission Aviation Fellowship Reach Across (UK) |
2021 2,700 4,030 1,800 1,800 450 350 0 0 0 0 0 0 0 0 11,130 |
2020 2,800 4,530 1,800 1,800 0 0 500 200 500 500 500 328 200 200 |
|---|---|---|
| 13,858 |
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6. Detail of payments by the church
| Detail of payments by the church | ||
|---|---|---|
| 2021 710 0 0 0 3,080 5,664 6,828 1,768 2,049 8,934 3,095 709 256 6,544 913 327 1,410 1,466 11,130 0 403 0 138 38 55,464 |
2020 360 0 0 0 5,160 5,454 231 6,052 1,509 1,939 2,173 797 652 120 3,966 1,009 50 2,210 1,297 13,858 0 100 0 100 83 |
|
| Minister's salary, pension (7) Minister's expenses Children/Youth Worker's salary Children/Youth Worker's expenses External support for Youth activities |
||
| Cleaning | ||
| Administrator's salary | ||
| Utilities | ||
| Speakers' fees | ||
| Insurance | ||
| Church repairs & maintenance Manse repairs & maintenance (7) |
||
| Printing & Copying | ||
| Youth/family church Administration costs Minibus Outreach Equipment Moderator Donations from the Church (5) |
||
| Sundries | ||
| Sundries gifts | ||
| Training | ||
| Resources/Books Bible notes purchased |
||
| 47,125 |
7. In 2020 and 2021, minister’s salary and pension were the costs of an Interim Member of the pension scheme .
In 2021, manse income and manse repairs both include £600 paid for repairs arranged by the letting agents at the request of the church. This was deducted from the rent received by the letting agents before the rent was paid to the church. Fees and costs contractually due to the letting agents for their services were also deducted from the rent before it was paid to the church but are not included in these accounts (£3,672).
In 2020 the corresponding figures were £569 and £4,731.
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8. Pension Scheme Liabilities
The Church is a participating employer in the Baptist Pension Scheme (“the Scheme”), which is a separate legal entity administered by the Pension Trustee (Baptist Pension Trust Limited). The assets of the Scheme are held separately from those of the Employer and the other participating employers.
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. Prior to this date the main benefit provided through the Defined Benefit (DB) Plan was a 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. Since 1 January 2012, benefits have been provided through a Defined Contribution (DC) Plan.
A formal valuation of the DB Plan as at 31 December 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 assets was £298 million, whilst the level of assets needed to pay benefits was £316m, giving a deficit of £18m (equivalent to a past service funding level of 94%). The Church and the other participating employers in the DB Plan are collectively responsible for funding this deficit. The next actuarial valuation of the DB Plan within the Scheme is due to take place not later than 31 December 2022.
Under the Schedule of Contributions, the church made a monthly payment in respect of the DB scheme deficit, in 2022 before August of £396.25, which was expected to increase in line with increases in Minimum Pensionable Income. The Schedule of Contributions foresaw these contributions continuing until June 2026. The pension scheme liability shown in the Statement of Assets and Liabilities was calculated as the then current rate per month multiplied by the number of months remaining in the current Schedule of Contributions, which amounted to £21,397 as at 31st December 2021.
The Church had been advised that the estimated cost for the church to buyout their Pension Scheme liabilities at 20 December 2021 was £53,900 .
However, at the end of July 2022, the Trustees of the Baptist Pension Scheme advised that they had signed an agreement with an insurance company to secure the DB Plan members pension benefits. Subject to certain expectations being met, the payments from August 2022 onwards will be reduced to £1 pm. Thus, the payments after 1 January 2022 are expected to be £2,821.
9. Payment to trustees
Trustees were reimbursed for purchases made on behalf of the Church for Church activities. No other payments were made to the Trustees.
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Independent examiner’s report to the trustees of Brentwood Baptist Church
I report to the trustees on my examination of the accounts of the Brentwood Baptist Church (the Church) for the year ended 31 December 2021.
Responsibilities and basis of report
As the charity trustees of the Church you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the Church’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner’s statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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accounting records were not kept in respect of the Church as required by section 130 of the Act; or
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the accounts do not accord with the accounting records.
I have no concerns and have come across no other matters in connection 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.
S V DeBoo
Shaun De Boo Chartered Accountant
Address: 40 Sebastian Avenue,
Date: 30 August 2022
Shenfield, Essex, CM15 8PW
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