Charity number: 1131202
## **CHATSWORTH BAPTIST CHURCH**
**Report and unaudited financial statements For the year ended 30 September 2021**
**CHATSWORTH BAPTIST CHURCH**
## **Financial statements for the year ended 30 September 2021**
|**_Contents_**|**_Pages_**|
|---|---|
|Legal and administrative information|1|
|Minister's report|2|
|Report of the Deacons|3 - 5|
|Independent examiner’s report|6|
|Statement of financial activities|7|
|Balance sheet|8|
|Statement of Cash Flows|9|
|Notes to the financial statements|10 - 22|
**CHATSWORTH BAPTIST CHURCH Reference and administrative details**
## **Status**
Chatsworth Baptist Church (the "Church") was established in 1878 as an unincorporated association with its own Statement of belief and Church Rules. The Church registered with the Charity Commission on 19th August 2009, charity number 1131202, having adopted a new constitution on 5th July 2009 (the constitution was amended in 2021 to allow for meetings using electronic technology as well as in person). The Church continues to work in association with the Baptist Union of Great Britain.
## **Trustees (referred to as the "Deacons" hereafter)**
Mr S Alghali Mr B Baya Mr I Bhoorasingh Mrs K Dike-Oduah Ms J Kasule Mr P King Mrs O Lawuyi Rev R Marzetti Mr T McClymont Mrs P Pitter Ms J Richards Mrs K Spence Mr W Sylvah
## **Operation address**
Chatsworth Way West Norwood London SE27 9HN
## **Independent examiner**
Jacob Cavenagh & Skeet 5 Robin Hood Lane Sutton Surrey SM1 2SW
## **Key Management Personnel**
Mr C Rose (Youth and Children’s Worker) is considered key management personnel in addition to the Deacons.
_1_
CHATSWORTH BAPTIST CHURCH
Minister's re
ort for the
ear ended 30 Se
tember 2021
As with the previous year, we continued to provide a hybrtd of in-church and online services, including Sunday
worship and mid week prayer timos.
Our members sought lo provide care by door slep visits. phone calls and shopping. praying and lod(ing OLrt
for their neighbours and fellow members.
We sought lo ensure good pradice rith our renters and users, whilst also providing a safe space for our
members and the community lo come use our facilities. These include a local dance school. weight
watchers, and various private hi$.
OUT building saw the opening of a new nursery and pre-sthool, Sowing & Growing, after our furbIshMent
works., and conb'nues to be the home for a Spanish speaking congregation.
Due to the pandemic we were unable lo host the homeless night shelter bul we di(t provide much needed
items lo those in need. We raised funds for Macmillan cancer research and the local Foodbank by participating
in an outside Christmas market.
We continue lo support two members in their Iralning for accreditation as Baptist ministers. work th young
people on a regular basis, run a football team of mostly non-members in a Chrisknan football league, regularly
visit homes and hospitsls where restrictions allow.
Richard Marz
Mlnisler
Dale..
**CHATSWORTH BAPTIST CHURCH**
## **Report of the Deacons for the year ended 30 September 2021**
The Deacons present their report and the financial statements of Chatsworth Baptist Church for the year ended 30 September 2021, which have been prepared in accordance with the Charities Act 2011, the Charities Statement of Recommended Practice (Charities SORP (FRS 102)) and Financial Reporting Standard 102 (FRS 102).
## **Structure, Governance and Management**
The Church's activities are supervised and managed by the Minister and Deacons, who are the trustees for charity law purposes. Deacons are chosen from among Church members by an election process laid down in the constitution. Induction training is held for all Deacons and other training courses are undertaken as necessary.
During this period the Church employed the Senior Pastor, an Administrative Assistant and a Youth and Children’s Worker. Various part-time staff worked on caretaking duties and in various groups. Some of these staff were unable to work during part of the year and were placed on furlough.
The key management personnel of the Church as listed on page 1 are in charge of directing, controlling, running and operating the Church on a day to day basis. All Deacons give of their time freely and no Deacon received any remuneration in the year. Details of Deacons’ expenses and related party transactions are disclosed in Note 19 to the financial statements. The pay of the minister and other senior staff is reviewed annually taking account of recommendations made by the Baptist Union of Great Britain.
## **Objectives and Activities**
The mission of Chatsworth Baptist Church is “To know, love and serve Christ in the community.” Its charitable purposes are set out in the constitution and include the advancement of the Christian religion and education.
A wide range of activities are undertaken in pursuance of these objectives. More details of activities are provided in the Minister's Report on page 2.
## **Financial review**
The income and expenditure of the Church was affected significantly by the Coronavirus pandemic. This led to restrictions on the Church’s operations, and in particular to a reduction in rental income, which was zero for large parts of the financial year. As noted above, several members of staff were furloughed for part of the financial year, and appropriate claims were made under the Coronavirus Job Retention Scheme. The Church continued to receive income from its members despite the pandemic. The combined effect of all these factors was that the Church continued to operate as a going concern throughout the financial year.
The Church continues to rely on large gifts from a small number of church members. There can be no assurance that, given the current economic conditions, these large gifts will recur or that giving from other Church members will be maintained at its current level.
The Church also received during the financial year a grant towards refurbishment and improvement of another part of the premises, principally to develop an area dedicated to youth work. Work on this project began towards the end of the financial year, following further fundraising activities directed primarily at church members.
## **Reserves policy**
The Church seeks to retain reserves in the General Fund equal to approximately three months’ expenditure. The policy is to increase these reserves over time with a target of one year’s expenditure as well as to increase the balance of the Building Fund to cover planned and unexpected expenditure.
The General Fund reserves stood at a surplus of £217 at 30 September 2021 (2020: deficit of £32,390), which fell short of the target reserves. The Church intends to increase reserves as and when large gifts are received.
The Deacons are confident that the Church can continue to operate as a going concern, despite the effect of the Coronavirus pandemic on our finances. This confidence is based on the experience of operations over the period since March 2020.
_3_
**CHATSWORTH BAPTIST CHURCH**
## **Report of the Deacons for the year ended 30 September 2021**
## **Buildings**
We have a prominent site in West Norwood and a large suite of buildings there and at our two manses. Maintenance of these buildings, together with the cost of heating, lighting and other services, is a significant part of the church budget.
Our long term aim is to create a sustainable building which can serve the needs of the Church and the surrounding community for many years to come. Achievement of this aim depends on the availability of finance.
A Buildings Group continues to operate and is working on the future strategy for all our buildings, as well as on dealing with the many minor issues which come up all the time.
## **Public benefit**
The Church's activities are considered regularly in the light of the guidance published by the Charity Commission on public benefit. The Deacons have regard to this guidance in exercising their powers and duties. Some examples of the public benefits flowing from the pursuit of the Church's aims and objectives are: the provision of regular services of public worship, providing pastoral care to those with whom the Church has contact, and providing facilities for children's, senior citizens' and other community activities.
## **Risk review**
The Deacons review the risks of the operations of the Church regularly and take appropriate action where possible to mitigate those risks. The key risks which have been identified and key actions which have been taken are shown in the table below.
|taken are shown in the table below.||
|---|---|
|**Key risk**|**Mitigating action**|
|The Church is dependent on giving from members,
in particular on regular large gifts from a small
number of members.|Regular teaching on the importance of Christian
giving; diversification of sources of income to include
more rental income from buildings.|
|The Church works with children and vulnerable
adults, leading to risks of inadequate safeguarding
practices and possible abuse.|Employment of trained staff, adoption and regular
renewal of Safeguarding Policy, training of key staff
and volunteers and review at each meeting of the
Deacons|
|The Church has buildings which are constantly in
need of maintenance and renewal.|Long term programme of building work with a view
to creating a sustainable building.|
|The Church is dependent on key staff such as the
Minister and the Youth and Children’s Worker.|The Deacons seek to follow best practice in
employment of staff as recommended by the Baptist
Union of Great Britain.|
|The Church is vulnerable to external pressures,
such as changes in legislation which may be
inconsistent with its aims or which may affect its
financial viability.|Membership of key bodies such as the Baptist Union
of Great Britain and the London Baptist Association
which are able to influence legislation and guidelines
at a national and local level.|
## **Investment policy**
The Church has no investments. Any surplus cash is invested in bank deposits or deposits with the London Baptist Property Board.
_4_
CHATSWORTH BAPTIST CHURCH
Re
ort of the Deacons for the
ear ended 30 Se
tember 2021
D8acons' responsibilities in relation to the financial statements
The Deacons are resp¢)nsible for preparing the Annual Report and the finan¢ial stalemenls in accordancewith
applrabl& law and regulatK)ns.
Charty law reque5 Ihe Deacon5 to ppare fnartial 51alernents for each financwl year. Under that law the
Deacons have elected lo prepare the firFancial staternenls in accordance with Uni18d Kingdom Generally
Accepted Aceounling Practice (United Kingdom Accounting St8ndards and applicable lawl Under charity law
the management committ88 rnust not approve th8 fInarla1 staiemenis unless Ih8y 8re satisfied that they give
a INe and fair of the stsl8 of affairs of th9 charity and of the financial *ivi11g$ gf tharty fcy that
penod. In prpparing these financial slalements. the Deacons are requir8d lo.
select 5Urtable accounting policies aThl appty them con51slentty,
tnake iudgem¢nts eslimale$ Ihat a rèasonable an(t prudenl".
slate whether applicable UK Accounting Star¥Jards and statement5 of pract8 have been followe(I,
subject lo any departur85 disc1058d and explained in the financial stat8m8nts.' and
prepare the financial slalemenls on the going cowem basis unless It Is Inappropriata to presume Ihal the
tharity will Contin K) operatK)n",
The Deacons are respon51b for keeping adequat¢ &¢ounting r8cord5 that are 5Lrffi¢ient to show and explain
the charity's transaction5 and disc105e with reasonable accuracy at any Iirne the finanal posrtion of the eharily
8nd enable Ihem lo ensure Ihal lh8 financial statement5 comply with the Charities Acl 2011. They are also
responsible for safeguarding the ass815 of the charity honcg for taking reasonable steps for preveniion
and detection of traud arKI other irregularities.
Approved by the Deacons on
1410212022
and signed on their behaw by"
P King
Church Secr•tary
CHATSWORTH BAPTIST CHURCH
Independent Examiner's Report to the Deacons of
Chatsworth Ba
tist Church
I report on the financial slalemenls of Chatsworth Baptist Church for the year ended 30 September 2021 which
comprise the Statement of Financial Aclivilies, the Balance Sheet and related notes.
Respective responsibilities of trustees and examiner
The charity's trustees are responsible for the preparation of the accounts. The charity's Iruslees consider that
an audit is not required for this year under section 144121 of the Charities Act 2011 Ilhe 2011 Act) and that an
independent examination is needed. The charity's gross income exceeds £250,000 and l am qualified lo
undertake the examination by being a qualified membei of the Inslilule of Chartered Accounlanls in England
and Wales.
11 is my responsibility lo..
examine the accounts under section 145 of the 2011 Act.,
to follow the procedures laid down in the general Directions given by the Charity Commission under
section 145151{b} of the 2011 Act., and
to state whether particular matters have Gome to my allenllon.
Basls of Independent examiner's report
My examination was carried out in accordance with the general Directions given by the Charity Comfftission.
An examination includes a review of the accounting records kept by the charity and a comparison of the
accounts presented with those records. 11 also includes consider81ion of any unusual items or disclosures in
the accounts, and seeking explanations from you as trustees concerning any such mallers. The procedures
undertaken do not provide all the evidence that woul(J be required in an audit and consaquently no opinion is
given as lo whether the accounts present a 'true and fair view, and the report is limited lo those matters set
out in the slalement below.
Independent examlner's statement
In connection with rny examination. no maller has come lo my allenlion..
{11 which gives me reasonable cause lo believe that in any material respect the requirements..
to keep accounting records in accordance with section 130 of the 2011 Act", and
lo prepare accounts which accord with the accounting records and comply with the accounting
requirements of the 2011 Act have not been met., or
12) to whlch, in my opinion, attention should be drawn in order to enable a proper understanding of the
accounts lo be reached.
Paul Newton FCA
Jacob Cavenagh & Skeet
5 Robin Hood Lane
Sullon
Surrey
SM1 2SW
Dale..
## **CHATSWORTH BAPTIST CHURCH**
## **Statement of financial activities for the year ended 30 September 2021**
|||Unrestricted|Restricted|Restricted||Unrestricted|Restricted|Restricted||
|---|---|---|---|---|---|---|---|---|---|
||Notes|Funds|Funds||**2021**|Funds|Funds||2020|
|||#1|#1|#2||#1|#1|#2||
|||£|£|£|**£**|£|£|£|£|
|**Income from:**||||||||||
|Donations and legacies|2|167,652|33,815|-|**201,467**|155,645|23,617|364|179,626|
|Other trading activities|3|58,994|-|-|**58,994**|50,589|-|35|50,624|
|Investments|4|3|-|-|**3**|3|-|138|141|
|Charitable activities|5||-
-|-|**-**|4,142|-|35,109|39,251|
|CJRS Grant||11,195|-|-|**11,195**|10,969|-|18,739|29,708|
|**Total income**||237,844|33,815|-|**271,659**|221,348|23,617|54,385|299,350|
|**Expenditure on:**||||||||||
|Charitable activities|6|196,250|5,651|-|**201,901**|201,113|4,017|71,802|276,932|
|**Total resources expended**||196,250|5,651|-|**201,901**|201,113|4,017|71,802|276,932|
|**Net income/(expenditure) for the year**||41,594|28,164|-|**69,758**|20,235|19,600|(17,417)|22,418|
|Gross transfers between funds||-||-|**-**|63,669|(18,129)|(45,540)|-|
|**Net movement in funds**||41,594|28,164|-|**69,758**|83,904|1,471|(62,957)|22,418
|
|**Reconciliation of Funds**||||||||||
|Total funds brought forward||2,881,527|2,928|-|**2,884,455**|2,797,623|1,457|62,957|2,862,037|
|**Total funds carried forward**||2,923,121|31,092|-|**2,954,213**|2,881,527|2,928
|-|2,884,455|
#1 = Continuing activities
#2 = Discontinued operations relating to the Pre-School which closed on 31 August 2020.
_7_
CHATSWORTH BAPTIST CHURCH
Balance sheet at 30 Se
tember 2021
Notes
2021
2020
Fix¢d ass•ts
TangitAe assets
12
2.862.703
2.873.963
Ctsrr•nt 495•ts
Debtts
Cash at bank and in hand
13
23,835
100.149
31,243
16.067
123.984
47.310
cr•dIto aMIntS falling due wthin
one year
14
{3.5161
{3.438}
N•t curr•nt 45s•ts
120.468
43.872
Pr•visÈons for tlabllltio$ and ¢harg•s 20
118.9681
133,3801
Total ass•ts l•ss eurr•nt li#biliti95
2.9H213
2.884,455
Funds
Restricted funds
Unrestncted furKIs
15
16
31,092
2.923,121
2,928
2,881,527
Total funds carrl•d fotward
17
2.964.213
2,884.455
Appwved by the Deacon5 Cfi 1410212022
an¢Y signed on the behalr.
P King
Church Sècretary
**CHATSWORTH BAPTIST CHURCH**
## **Statement of cash flows for the year ended 30 September 2021**
|**Net cash provided by operating activities**
**(see below)**
**Cash flows from investing activities**
Interest received
Payments on fixed asset additions
**Net cash (used in) investing activities**
**Net cash inflow/(outflow)**
Cash and cash equivalents at 1 October 2020
**Cash and cash equivalents at 30**
**September 2021**
**Cash flows from operating activities**
**Net income for the year**
Interest included in investing activities
Depreciation
Defined benefit employer contributions paid
Movement in defined benefit employer deficit
provision
Decrease/(increase) in debtors
Increase in creditors
**Net cash provided by operating activities**|**£**
**£**
£
£
**89,222**
12,956
**3**
141
**(5,143)**
(135,423)
**(5,140)**
(60,476)
**84,082**
(47,520)
**16,067**
131,465
**100,149**
83,945
**69,758**
22,418
**(3)**
(141)
**26,403**
11,570
**(3,225)**
(3,158)
**(11,197)**
293
**7,408**
(18,652)
**78**
626
**89,222**
12,956
**2021**
2020|
|---|---|
|||
_9_
**CHATSWORTH BAPTIST CHURCH Notes to the financial statements for the year ended 30 September 2021**
## **1 Accounting policies**
Chatsworth Baptist Church is an unincorporated charity registered in England and Wales. The operation address is Chatsworth Way, West Norwood, London SE27 9HN.
## _**a) Basis of accounting**_
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”), “Accounting and Reporting by Charities” the Statement of Recommended Practice for charities applying FRS 102, the Charities Act 2011 and UK Generally Accepted Accounting Practice as it applies from 1 January 2015. The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared on the historical cost convention, modified to include the revaluation of freehold properties and to include certain financial instruments at fair value. The principal accounting policies adopted are set out below.
## _**b) Going concern**_
At the time of approving the financial statements, the Deacons have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Deacons continue to adopt the going concern basis of accounting in preparing the financial statements.
## _**c) Income**_
Voluntary income and donations (including legacies) are accounted for once the charity has entitlement to the income, it is probable the income will be received and the amount of income receivable can be reliably measured. Where material assets are donated to the company for its use, these are capitalised at the estimated market value at the date of the gift and included under income.
## **Job Retention Scheme government grant income**
JRS grant income is recognised in the period to which the underlying furloughed staff costs relate.
## _**d) Expenditure**_
Expenditure is accrued as soon as a liability is considered probable, discounted to present value for longer term liabilities. Charitable expenditure includes all support costs in respect of the company’s activities.
This comprises expenditure on compliance with statutory legal requirements and is included in charitable activities.
## _**e) Fund structure**_
The funds held by the Church are either:
- _Unrestricted general funds -_ these are funds which can be used in accordance with the Church's objects at the discretion of the Deacons.
- _Designated funds_ - these are funds set aside by the Deacons out of unrestricted general funds for specific future purposes or projects.
- _Restricted funds_ - these are funds that can only be used for particular restricted purposes within the objects of the Church. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
_10_
**CHATSWORTH BAPTIST CHURCH Notes to the financial statements for the year ended 30 September 2021 (continued)**
## **1 Accounting policies (continued)**
## _**f) Tangible fixed assets and depreciation**_
Tangible fixed assets are included in the balance sheet at cost or at market value at the date of the gift.
Depreciation is provided on all tangible fixed assets at rates calculated to write off the full cost or valuation less estimated residual value of each asset over its estimated useful life. The principal rates in use are:
Freehold buildings 2% on cost Flat roofs 5% on cost Furniture, fixtures and fittings 10% on cost Office equipment 25% on cost
The deacons consider that the properties have a residual value that renders any depreciation immaterial and accordingly no depreciation has been charged in these accounts.
The Church building and two residential properties (valued for insurance purposes at a combined £4.35m) and the Church site are under the custodian trusteeship of the London Baptist Property Board and the church is the beneficial owner.
## _**g) Debtors**_
Other debtors are included at the settlement amount due. Prepayments are valued at the amount prepaid.
## _**h) Cash and cash equivalents**_
Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of opening of the deposit.
## _**i) Creditors and provisions**_
Creditors and provisions are recognised where the charity has a present obligation arising from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are recognised at their settlement amount. Concessionary loans are included at historic cost.
## _**j) Financial instruments**_
The charity only has financial assets and liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
## _**k) Hire purchase and lease transactions**_
Assets acquired under hire purchase agreements and finance leases are capitalised in the balance sheet and are depreciated in accordance with the company's normal policy. The outstanding liabilities under such agreements less interest not yet due are included in creditors and are also disclosed on the basis of when the liabilities are due within one year, between two and five years and after five years. Interest on such agreements is charged to the profit and loss account over the term of each agreement and represents a constant proportion of the balance of capital repayments outstanding.
## _**l) Pension costs**_
The church pays contributions to the Baptist Ministers Pension Trust Limited which is a final salary defined benefit scheme. The scheme is a multi-employer scheme and it is not possible to identify the assets and liabilities of the scheme which are attributable to the church. The scheme is therefore accounted for as a defined contribution scheme.
_11_
**CHATSWORTH BAPTIST CHURCH**
## **Notes to the financial statements for the year ended 30 September 2021 (continued)**
## **2 Donations and legacies**
|**_Donations and legacies_**
Offerings
Other donations
Envelopes
Loose cash
Income tax recoverable
Total
**3 Other trading activities**
**_Church activities_**
Rent receivable
**_Pre School activities_**
Fundraising events
Total
**4 Income from investments**
**_Interest receivable_**
Interest receivable
Pre School interest receivable
Total
**5 Income from charitable activities**
**_Church_**
Youth and children's contributions
Small Groups and Events
**_Pre School_**
Pre School fees
Total|Unrestricted
Funds
£
81,811
43,259
2,730
3,774
36,078
167,652
Unrestricted
Funds
£
58,994
-
58,994
Unrestricted
Funds
£
3
-
3
Unrestricted
Funds
£
-
-
-
-
-|Restricted
Funds
£
1,091
27,673
-
-
5,051
33,815
Restricted
Funds
£
-
-
-
Restricted
Funds
£
-
-
-
Restricted
Funds
£
-
-
-
-
-|**2021**
2020
**£**
£
**82,902**
65,814
**70,932**
87,308
**2,730**
2,935
**3,774**
5,067
**41,129**
18,502
**201,467**
179,626
**2021**
2020
**£**
£
**58,994**
50,589
**-**
35
**58,994**
50,624
**2021**
2020
**£**
£
**3**
3
**-**
138
**3**
141
**2021**
2020
**£**
£
**-**
3,330
**-**
812
**-**
4,142
**-**
35,109
**-**
39,251|
|---|---|---|---|
_12_
**CHATSWORTH BAPTIST CHURCH**
## **Notes to the financial statements for the year ended 30 September 2021 (continued)**
## **6 Expenditure on charitable activities**
|Activities
undertaken
directly
£
**_Church_**
General fund
178,457
Building fund
5,651
184,108
**_Pre School_**
Pre School
-
Total Charitable Activities
184,108
**7 Grants payable**
**_Paid to individuals_**
Missionaries
**_Grant payable to institutions_**
Pioneers UK
World church baptist missionary society
World church home mission fund
Total (see note 6)
**8 Governance costs**
**_Direct costs_**
Independent examination fees (including VAT)|Governance
costs
(see note 8)
£
3,000
-
3,000
-
3,000|Grant
funding of
activities
(see note 7)
£
14,793
-
14,793
-
14,793|Grant
funding of
activities
(see note 7)
£
14,793
-
14,793
-
14,793|**2021**
2020
**£**
£
**196,250**
201,113
**5,651**
4,017
**201,901**
205,130
**-**
71,802
**201,901**
276,932
**2021**
2020
**£**
£
**5,399**
5,399
**5,394**
5,394
**2,000**
-
**2,000**
-
**14,793**
10,793
**2021**
2020
£
**3,000**
2,904|
|---|---|---|---|---|
||||||
||||||
||||||
_13_
**CHATSWORTH BAPTIST CHURCH Notes to the financial statements for the year ended 30 September 2021 (continued)**
## **9 Employee information**
|**_Staff costs_**
Wages and salaries
Social security costs
Defined benefit employer pension contributions (see note 20)
Movement in defined benefit employer deficit provision (see note 20)
Defined contribution employer contributions (see note 20)|**2021**
2020
**£**
£
**94,106**
158,975
**2,312**
8,073
**3,188**
3,178
**(11,197)**
293
**8,179**
9,270
**96,588**
179,789|
|---|---|
The number employees on an average head count basis during the year was as follows:
|Full time
Part time
There were no employees with emoluments above £60,000.|**2021**
2020
**Number**
Number
**3**
3
**4**
7
**7**
10|
|---|---|
Key Management Personnel (including the Deacons) received remuneration of £57,340 (2020: £57,380) during the year.
Termination payments of £nil for pre-school staff are included within the wages and salaries cost above (2020: £11,894). These are recognised when legal agreement is reached.
## **10 Net income**
This is stated after charging:
|Staff costs
Independent Examination Fee
Depreciation of owned assets|**2021**
**£**
**96,588**
**3,000**
**26,403**|2020
£
179,789
2,904
11,570|
|---|---|---|
## **11 Taxation**
The Church is exempt from tax on its charitable activities.
_14_
**CHATSWORTH BAPTIST CHURCH**
## **Notes to the financial statements for the year ended 30 September 2021 (continued)**
## **12 Tangible fixed assets**
|**Cost:**
At 1 October 2020
Additions
Disposals
At 30 September 2021
**Depreciation:**
At 1 October 2020
Provision for the year
Adjustments for disposals
At 30 September 2021
**Net book value:**
At 30 September 2021
At 30 September 2020|Freehold
Freehold
property
improvements
£
£
2,734,394
830,663
-
-
-
-
**2,734,394**
**830,663**
601,349
101,033
-
23,717
-
-
**601,349**
**124,750**
**2,133,045**
**705,913**
2,133,045
729,630|Office
equipment
£
75,894
3,477
-
**79,371**
75,693
671
-
**76,364**
**3,007**
201|Furniture
& Fittings
Total
£
£
105,591
3,746,542
1,666
5,143
-
-
**107,257**
**3,751,685**
94,504
872,579
2,015
26,403
-
-
**96,519**
**898,982**
**10,738**
**2,852,703**
11,087
2,873,963|
|---|---|---|---|
The trustees have reviewed the remaining useful economic life and residual value of the freehold properties, with the result that no depreciation has been charged during the year on the unrestricted freehold property and improvements.
## **13 Debtors**
|Other debtors
Prepaid expenses and accrued income|**2021**
2020
**£**
£
**13,663**
21,746
**10,172**
9,497
**23,835**
31,243|
|---|---|
## **14 Creditors: amounts falling due within one year**
|Accruals and deferred income|**2021**
2020
**£**
£
**3,516**
3,438
**3,516**
3,438|
|---|---|
_15_
**CHATSWORTH BAPTIST CHURCH Notes to the financial statements for the year ended 30 September 2021 (continued)**
## **15 Restricted funds**
## **2021:**
|Pastoral fund
Wates Foundation fund
Building fund
Youth Café
**2020:**
Pastoral fund
Wates Foundation fund
Pre School fund
Building fund|Balance at
1 Oct 2020
£
163
1,294
1,471
-
2,928
Balance at
1 Oct 2019
£
163
1,294
62,957
-
64,414|Income
£
-
-
9,073
24,742
33,815
Income
£
-
-
54,385
23,617
78,002|Expenditure
£
-
-
(5,651)
-
(5,651)
Expenditure
£
-
-
(71,802)
(4,017)
(75,819)|**Balance at**
Transfers
**30 Sep 2021**
£
**£**
-
**163**
-
**1,294**
-
**4,893**
-
**24,742**
-
**31,092**
Balance at
Transfers
30 Sep 2020
£
£
-
163
-
1,294
(45,540)
-
(18,129)
1,471
(63,669)
2,928|
|---|---|---|---|---|
- _**Pastoral**_ – This fund was established to provide gifts and care for those in need in the church and community. It is funded by gifts taken up specifically for this purpose, any shortfall being made up by a transfer from the general fund.
- _**Wates Foundation**_ – This fund is to support a “Language Partners” scheme to help some of the Spanish speaking congregation with their spoken English.
- _**Pre School**_ – This fund relates to the activities carried out by the Pre School. The transfer relates to the use of the premises since 2017.
- _**Building Fund**_ – Donations received to meet the costs of the renovation works to the Church buildings and equipment are held in this fund. The transfer relates to the expenditure on the property capitalised during the year within unrestricted funds.
- _**Youth Café fund**_ – amounts received to fund the creation of a new Youth Café.
_16_
**CHATSWORTH BAPTIST CHURCH Notes to the financial statements for the year ended 30 September 2021 (continued)**
## **16 Unrestricted funds**
## **2021:**
|General fund
**Designated Funds**
General fixed asset fund
Building fund
Accompanied Groups
**2020:**
General fund
**Designated Funds**
General fixed asset fund
Building fund
Accompanied Groups|Balance at
1 Oct 2020
£
(32,390)
2,873,963
42,714
(2,760)
2,881,527
Balance at
1 Oct 2020
£
10,895
2,743,944
42,714
70
2,797,623|Income
£
237,844
-
-
-
237,844
Income
£
218,496
-
-
2,852
221,348|Expenditure
£
(169,847)
(26,403)
-
-
(196,250)
Expenditure
£
(186,473)
(8,958)
-
(5,682)
(201,113)|**Balance at**
Transfers
**30 Sep 2021**
£
**£**
(35,390)
**217**
5,143
**2,852,703**
27,487
**70,201**
2,760
**-**
-
**2,923,121**
Balance at
Transfers
30 Sep 2020
£
£
(75,308)
(32,390)
138,977
2,873,963
-
42,714
-
(2,760)
63,669
2,881,527|
|---|---|---|---|---|
## **2020:**
- _**General fixed asset**_ – This fund is to show separately the general fixed assets from the free general funds. Depreciation of capital items falls under this category. Transfers are made from or to the general fund in relation to any fixed asset additions or disposals.
- _**Building fund**_ – This fund is to meet planned redevelopment costs to the Church building. The transfer in 2019 relates to the balance of expenditure on the property capitalised during the year.
_17_
**CHATSWORTH BAPTIST CHURCH**
**Notes to the financial statements for the year ended 30 September 2021 (continued)**
## **17 Analysis of net assets among funds**
## **2021:**
|Other
Fixed
net
assets
Cash
assets
£
£
£
Fund balances at 30 September 2021 are represented by:
General fund
-
25,743
673
**Designated Funds**
General fixed asset fund
2,852,703
-
-
Building fund
-
70,201
-
**Restricted Funds**
Pastoral fund
-
-
-
Wates Foundation fund
-
-
-
Building fund
-
4,205
688
Youth Café
-
-
-
2,852,703
100,149
1,361
**2020:**
Other
Fixed
net
assets
Cash
assets
£
£
£
Fund balances at 30 September 2020 are represented by:
General fund
-
4,134
(7,046)
**Designated Funds**
General fixed asset fund
2,873,963
-
-
Building fund
-
-
-
Accompanied Groups
-
452
-
**Restricted Funds**
Pastoral fund
-
-
-
Wates Foundation fund
-
-
-
Pre School fund
-
-
-
Building fund
-
11,481
1,471
2,873,963
16,067
(5,575)||Balance
between
funds
**Total**
£
**£**
(26,199)
**217**
-
**2,852,703**
-
**70,201**
163
**163**
1,294
**1,294**
-
**4,893**
24,742
**24,742**
-
**2,954,213**
Balance
between
funds
Total
£
£
(29,478)
(32,390)
-
2,873,963
42,714
42,714
(3,212)
(2,760)
163
163
1,294
1,294
-
-
(11,481)
1,471
-
2,884,455|
|---|---|---|
||||
||||
_18_
**CHATSWORTH BAPTIST CHURCH Notes to the financial statements for the year ended 30 September 2021 (continued)**
## **18 Leasing commitments**
## _**Operating leases**_
At 30 September 2021, the outstanding commitments for non-cancellable operating leases fall due as follows:
|Within one year
Within two to five years
Total lease payments in the year|**2021**
2020
**£**
£
**1,503**
1,262
**5,262**
-
**6,765**
1,262
**751**
2,152|
|---|---|
## **19 Related party transactions**
Expenses totalling £759 (2020: £2,329) were reimbursed to 2 (2020: 3) Deacons.
The following Deacons were associated with the following recipients of grants:
|||**2021**|2020|
|---|---|---|---|
|||**£**|£|
|**_Deacon_**|**_Association_**|||
|P King|Pioneers UK|**5,394**|5,394|
The following Deacons received remuneration in the year, as permitted by section 23 of the Constitution:
|**_Deacon_**
**_Occupation_**
Rev R Marzetti
Pastor|**2021**
2020
**£**
£
**30,967**
30,996
**30,967**
30,996|
|---|---|
During the year, total restricted income of £4,000 was received from the Deacons towards the Youth Café.
_19_
**CHATSWORTH BAPTIST CHURCH Notes to the financial statements for the year ended 30 September 2021 (continued)**
## **20 Pension commitments and other post-retirement benefits**
## **Defined benefit scheme**
## _Background to the disclosure_
The Church is an employer participating in a pension scheme known as the Baptist Pension Scheme (“the Scheme”), which is administered by the Pension Trustee (Baptist Pension Trust Limited). The Scheme is a separate legal entity and the assets of the Scheme are held separately from those of the Employer and the other participating employers.
For any month, each participating employer in the Scheme pays contributions as set out in the Schedule of Contributions in force at that time.
The Scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102. This is because it is not possible to attribute the Scheme’s assets and liabilities to specific employers and means that contributions are accounted for as if the Scheme were a defined contribution scheme. The pensions costs charged to the SoFA in the year are contributions payable towards benefits and expenses accrued in that year, plus any impact of deficiency contributions (see below).
## The Minister is eligible to join the Scheme.
From January 2012, pension provision is being 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, which are operated and managed on behalf of the Pension Trustee by Legal and General Life Assurance Society Limited. In addition, the employer pays a further 4% of Pensionable Income 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 plc. The further 4% contribution rate is reduced to 3% for Employer contributions made to the Segregated DC Arrangement.
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.
## _Actuarial valuation as at 31 December 2019_
"A formal valuation of the Defined Benefit (DB) Plan was performed at 31 December 2019 by a professionally qualified Actuary using the Projected Unit Method. The market value of the DB Plan assets at the valuation date was £298 million.
The valuation of the DB Plan revealed a deficit of assets compared with the value of liabilities of £18 million (equivalent to a past service funding level of 94%). The Church and the other employers supporting the DB Plan are collectively responsible for funding this deficit.
_20_
**CHATSWORTH BAPTIST CHURCH Notes to the financial statements for the year ended 30 September 2021 (continued)**
## **20 Pension commitments and other post-retirement benefits (continued)**
The key assumptions underlying the valuation were as follows:
|**Type of assumption**|**% pa**|
|---|---|
|RPI price inflation assumption|3.20|
|CPI price inflation assumption|2.70|
|Minimum Pensionable Income increases (CPI plus 0.75% pa)|3.20|
|Assumed investment returns||
|-
Pre-retirement|2.95|
|-
Post retirement|1.70|
|Deferred pension increases||
|-
Pre April 2009|3.20|
|-
Post April 2009|2.50|
|Pension increases||
|-
Main Scheme pension|2.70|
Post–retirement mortality in accordance with 80% of the S3NFA and S3NMA tables, with allowance for future improvements in mortality rates from 2013 in line with the CMI 2019 core projections, with a long term annual rate of improvement of 1.75% for males and 1.5% for females, with the core smoothing parameter and with additional initial mortality improvement factor A=0.5%.
The next actuarial valuation of the DB Plan within the Scheme is due to take place not later than as at 31 December 2022.
## _Recovery Plan_
In addition to the contributions to the DC Plan set out above, where a valuation of the DB Plan reveals a deficit the Trustee and the Council agree to a rate of deficiency contributions from churches and other employers involved in the DB Plan.
Under the current Recovery Plan dated 30 September 2020, deficiency contributions are payable until 30 June 2026. These contributions are broadly based on the employer's membership at 31 December 2014 and increase annually in line with increases to Minimum Pensionable Income as defined in the Rules. However, the Trustee and the Council agreed a 50% reduction for all deficiency contributions payable between 1 July 2020 and 31 December 2020.
## _Movement in Balance Sheet liability_
Section 28.11A of FRS 102 requires agreed deficit recovery payments to be recognised as a liability. The movement in the provision is set out in the table below.
|Balance sheet liability at the start of the year
Minus deficiency contributions paid
Interest cost (recognised in SoFA)
Remaining change to balance sheet liability* (recognised in SoFA)
Balance sheet liability at the end of the year|**2021**
2020
**£**
£
**33,380**
36,245
**(3,225)**
(3,158)
**83**
520
**(11,280)**
(227)
**18,958**
33,380|
|---|---|
* Comprises any change in agreed deficit recovery plan and change in assumptions between accounting periods.
_21_
**CHATSWORTH BAPTIST CHURCH**
**Notes to the financial statements for the year ended 30 September 2021 (continued)**
## **20 Pension commitments and other post-retirement benefits (continued)**
This liability represents the present value of the deficit contributions agreed as at the accounting date and has been valued using the following assumptions set by reference to the duration of the deficit recovery payments:
|payments:||||
|---|---|---|---|
||**2021**|2020|2019|
|Discount rate|**1.1%**|0.4%|1.5%|
|Future increases to Minimum Pensionable Income|**3.9%**|3.1%|3.4%|
_22_