## **ANNUAL REPORT Financial Review and Accounts** 


## **for the year 2021** 

**Presented to the Annual Church Meeting on 8 May 2022** 



**THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF HOLY TRINITY NORTHWOOD** 

## **Financial Review** 

The financial activities of the PCC are reviewed below, followed by the statutory financial statements, the Independent examiner’s report and the budget for 2022. 

## **General Account (Undesignated)** 

The budget for the year identified that we would have a deficit this year of £6,471 on the general fund. The actual year showed a surplus of £4,992 on the undesignated fund. As in 2020 our planned giving continued to fall and this is further reflected in the budget for 2022. The church continues to received generous donations but it cannot be expected that they will continue at the level seen in 2020. The church activities of £144,302 is a reduction of £25,220. This reduction is mainly due to the reduction in our common fund. 

## **Designated and Restricted Funds** 

Our long-term investments continued to recover in 2021 and increased in value by £5,776 during the year. This is still nearly £3,500 below their peak value but they do provide a very steady income year on year. 

During the year the PCC approved the installation of a new audio visual system of the church. The total cost of this system, which has been substantially paid for by donations from an external charity, is around £106K. The system was substantially installed in 2021 and went into operation in early 2022. The total cost of the contracted system has been accounted for in the current year along with the associated donations received up to the end of February as they had been promised to us by the 31[st] December 2021. The project has not been capitalised as the fixed installation is within Holy Trinity Church which is benefice property 

## **Movement in Funds (note 9)** 

As in previous years the net movement on the general fund has been moved into the designated maintenance fund at the end of the year. 

## **Balance Sheet** 

The cash at bank has increased by £14,473 mainly due to prompter processing of gift aid claims and also because the donations for the AV system have been more than payments during the year. This is also reflected in negative movement of working capital of £1,447. 

## **Reserves policy** 

There has been no change to the reserves policy as set out in note 1 to the accounts. 

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**THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF HOLY TRINITY NORTHWOOD** 

## **The Budget for 2022** 

The budget has proved very difficult to prepare for 2022 due to the uncertainty of the return to normality with respect to church attendance and also the impact of much higher utility costs during the current year. 

The PCC is aware that due to a reduction in those giving, due to death and leaving the church, our income for 2022 would be substantially lower than in 2021. This is being addressed by a stewardship program 

We have saved funds in previous years by cutting our common fund. We have committed in 2022 to maintain the payment to the common fund at the 2021 level which is 100% of the diocese estimate for supporting a church. 

We have commenced plans to hold fund raising events during 2022. 

It is expected that we will be in deficit for 2022 but the church has a strong balance sheet to support us in the short term. 

_Graham Hamwijk Acting Treasurer 22 February 2022._ 

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**THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF HOLY TRINITY NORTHWOOD** 

## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31ST DECEMBER 2021** 

|Notes<br>Unrestricted<br>Funds<br>Designated<br>Funds<br>Restricted<br>Funds<br>INCOME AND ENDOWMENTS<br>£<br>£<br>£<br>Voluntary Income<br>2a<br>124,451<br>100,479<br>4,049<br>Activities for generating funds<br>2b<br>4,162<br>0<br>0<br>Income from investments<br>2c<br>9,604<br>2,327<br>Income from church activities<br>2d<br>14,081<br>TOTAL INCOME<br>152,298<br>102,806<br>4,049<br>EXPENDITURE<br>Charitable giving<br>3a<br>340<br>2,527<br>3,749<br>Church activities<br>3b<br>144,302<br>107,018<br>0<br>Investment outgoings<br>3c<br>2,664<br>0<br>TOTAL EXPENDITURE<br>147,306<br>109,545<br>3,749<br>NET MOVEMENT IN RESOURCES<br>4,992<br>(6,739)<br>300<br>NET GAINS ON INVESTMENTS<br>5,776<br>TRANSFERS BETWEEN FUNDS<br>(4,992)<br>4,992<br>0<br>NET MOVEMENT IN FUNDS<br>0<br>4,029<br>300<br>Total funds brought forward<br>0<br>193,314<br>247,678<br>Total funds carried forward<br>0<br>197,343<br>247,978<br>**£**<br>**£**<br>FIXED ASSETS<br>Tangible<br>5a<br>355,438<br>Investments<br>5b<br>48,946<br>Office equipment<br>5c<br>0<br>404,384<br>CURRENT ASSETS<br>Debtors<br>6<br>60,047<br>Cash at bank<br>52,255<br>112,302<br>516,686<br>LIABILITIES<br>Amounts falling due within 1 year<br>7<br>71,365<br>TOTAL NET  ASSETS<br>8<br>445,321<br>REPRESENTED BY<br>Funds:<br>General<br>9<br>0<br>Designated<br>9<br>197,343<br>Restricted<br>9<br>247,978<br>445,321<br>**BALANCE SHEET AS AT 31ST DECEMBER 2021**<br>2021|Unrestricted<br>Funds<br>Designated<br>Funds<br>Restricted<br>Funds<br>£<br>£<br>£<br>124,451<br>100,479<br>4,049<br>4,162<br>0<br>0<br>9,604<br>2,327<br>14,081|2021<br>2020<br>£<br>£<br>228,979<br>176,316<br>4,162<br>5,480<br>11,931<br>14,343<br>14,081<br>8,780<br>259,153<br>204,919<br>6,616<br>3,198<br>251,320<br>205,400<br>2,664<br>3,251<br>260,600<br>211,849<br>(1,447)<br>(6,930)<br>5,776<br>(9,062)<br>0<br>0<br>4,329<br>(15,992)<br>440,992<br>456,984<br>445,321<br>440,992<br>**£**<br>**£**<br>355,438<br>43,170<br>0<br>398,608<br>17,927<br>37,782<br>55,709<br>454,317<br>13,325<br>440,992<br>0<br>193,314<br>247,678<br>440,992<br>2020|2020<br>£<br>176,316<br>5,480<br>14,343<br>8,780|
|---|---|---|---|
||152,298<br>102,806<br>4,049||204,919|
||340<br>2,527<br>3,749<br>144,302<br>107,018<br>0<br>2,664<br>0||3,198<br>205,400<br>3,251|
||147,306<br>109,545<br>3,749||211,849|
||4,992<br>(6,739)<br>300<br>5,776<br>(4,992)<br>4,992<br>0||(6,930)<br>(9,062)<br>0|
||0<br>4,029<br>300<br>0<br>193,314<br>247,678||(15,992)<br>456,984|
||0<br>197,343<br>247,978||440,992|



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**THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF HOLY TRINITY NORTHWOOD** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** 

## **1. Accounting policies** 

The PCC is a public benefit entity within the meaning of FRS102. The financial statements have been prepared under the Charities Act 2011 and in accordance with the Church Accounting Regulations 2006 governing the individual accounts of PCCs, and with the Regulations “true and fair view” provisions. 

The financial statements have been prepared under the historical cost convention except for the valuation of investment assets, which are shown at market value. The financial statements include all transactions, assets and liabilities for which the PCC is responsible in law. They do not include the accounts of church groups that owe their affiliations to another body, nor those which are informal gatherings of church members. 

## **Going Concern** 

The accounts have been prepared on a going concern basis which assumes that the charity will continue to operate for the foreseeable future. This is based on the Trustees opinion that the activity will continue due to support of their charitable activities. 

If the charity were unable to continue to operate adjustments would be made to provide for any further liabilities which may arise. 

## **Assets** 

The financial statements have been prepared under the historical cost convention except for: 

a. The Church, built in 1854, and other consecrated and beneficed property assets, previously excluded from financial statements in accordance with generally accepted practice and now included as required by Charity Accounting regulations. Due to their location and purposes and having no known cost, the value ascribed is nominal. 

b. Other property assets at cost. 

c. Moveable church furnishings at cost where known. 

d. Plant and equipment, over £1,000 with a life of 2 years and over, at cost The financial statements include all transactions, assets and liabilities for which the PCC is responsible in law. 

## **Depreciation** 

No depreciation is provided on consecrated and beneficed property as its cost is unknown and by reason of its being unsaleable by its nature and age, being 50 or more years old. 

No depreciation is provided on other property assets as their currently estimated residual value is not less than the carrying value and the remaining useful life exceeds 50 years. 

Depreciation on plant, equipment and furnishings is calculated to write off their cost less their anticipated residual value over their estimated useful life. 

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**THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF HOLY TRINITY NORTHWOOD** 

## **Investments** 

Investments quoted on a recognised stock exchange or whose value derives from them are valued at market value at the year end. 

## **Funds** 

## **Unrestricted Funds** 

These represent the remaining income funds of the PCC that are available for spending on the general purposes of the PCC. 

## **Designated Funds** 

These represent unrestricted amounts designated by the PCC for specific purposes which may well extend over one or more accounting periods. 

## **Restricted Funds** 

These represent amounts received which must be used for the purpose specified by the donor. 

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**THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF HOLY TRINITY NORTHWOOD** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR TO 31[st] DECEMBER 2021** 

|**2.  INCOME AND ENDOWMENTS**<br>Note <br>Donations and Legacies<br>2a<br>Planned giving<br>Open plate collections<br>Gift aid recoverable<br>Donations and appeals<br>Legacies<br>Activities for generating funds<br>2b<br>Investment income<br>2c<br>Income from church activities<br>2d<br>Fees payable to the PCC<br>Hall and Parish Rooms<br>**3. EXPENDITURE**<br>Missionary and charitable giving<br>3a<br>Church activities<br>3b<br>Ministry:<br>Parish<br>Willesden<br>Curate<br>Staff expenses<br>Church running expenses<br>Hall and Parish Rooms<br>Property upkeep<br>Churchyard<br>Youth work costs<br>Services and resources<br>Holiday club<br>Administration<br>Fund Rasing Costs<br>Other Costs<br>Refurbishments<br>**Investment costs**<br>Property upkeep      .<br>3c<br>TOTAL EXPENDITURE<br>NET MOVEMENT IN FUNDS<br>Property rent<br>TOTAL INCOME<br>Interest<br>Fund raising events<br>Holiday club<br>Other funds generated|Unrestricted<br>Designated<br>Restricted<br>TOTAL<br>Funds<br>Funds<br>Funds<br>2021<br>£<br>£<br>£<br>£<br>90,350<br>90,350<br>2,451<br>2,451<br>23,048<br>2,180<br>0<br>25,228<br>8,602<br>98,299<br>4,049<br>110,950<br>0<br>124,451<br>100,479<br>4,049<br>228,979<br>219<br>0<br>219<br>1,350<br>1,350<br>2,593<br>2,593<br>4,162<br>0<br>0<br>4,162<br>4<br>2,327<br>2,331<br>9,600<br>0<br>9,600<br>9,604<br>2,327<br>0<br>11,931<br>2,844<br>2,844<br>11,237<br>11,237<br>14,081<br>0<br>0<br>14,081<br>152,298<br>102,806<br>4,049<br>259,153<br>340<br>2,527<br>3,749<br>6,616<br> <br>56,800<br>56,800<br> <br>28,400<br>28,400<br>0<br>0<br>858<br>858<br>12,927<br>452<br>13,379<br> <br>9,040<br>9,040<br>180<br>180<br>671<br>671<br>5,595<br>5,595<br>10,239<br>10,239<br>727<br>727<br>18,759<br>18,759<br>106<br>0<br>106<br>0<br>144<br>144<br>106,422<br>0<br>106,422<br>144,302<br>107,018<br>0<br>251,320<br>2,664<br>0<br>0<br>2,664<br>147,306<br>109,545<br>3,749<br>260,600<br>4,992<br>(6,739)<br>300<br>(1,447)|TOTAL<br>2020<br>£<br>95,941<br>1,783<br>31,296<br>37,296<br>10,000|
|---|---|---|
|||176,316|
|||1,118<br>0<br>4,362|
|||5,480|
|||2,143<br>12,200|
|||14,343|
|||1,679<br>7,101|
|||8,780|
|||204,919|
|||3,198|
|||85,200<br>21,300<br>0<br>1,477<br>22,948<br>13,501<br>172<br>303<br>6,533<br>3,274<br>0<br>22,977<br>44<br>0<br>27,671|
|||205,400|
|||3,251|
|||211,849|
|||(6,930)|



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**THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF HOLY TRINITY NORTHWOOD** 

## **4. Staff costs and Trustee Donations** 

||||
|---|---|---|
|Salaries and Employer’s National Insurance<br>Employer’s Pension Contributions<br>Total<br>**4. Staff costs and Trustee Donations**<br>Within Service, Youth work Costs and Church Administration Costs are:|2021<br>£<br>19,691<br>324<br>20,015|2020<br>£<br>21,840<br>472|
|||22,312|



Two of the Readers, Mrs Ann Kentfield and Mrs Margaret Nicholson were granted a total of £500. 

No other payments, other than reimbursement of expenses incurred, were paid to any other PCC member, or persons closely connected to them, or related to them, or related parties. 

In the year 2021, members of the PCC, being Trustees of the Charity, contributed £25,762 by way of donations to Holy Trinity. 

## **5. Fixed Assets** 

|**5. Fixed Assets**<br>(a)    Tangible<br>Freehold property at cost<br>(b)   Investments<br>Market value 1st January<br>Unrealised (loss)/gain on revaluation<br>Market value 31st December<br>Consecrated and benefice property assets - Hall, adjacent Parish Rooms with Flat at<br>nominal value|2021<br>2<br>355,436<br>355,438<br>43,170<br>5,776<br>48,946|2020<br>2<br>355,436|
|---|---|---|
|||355,438|
|||52,232<br>(9,062)|
|||43,170|



The investments are in the CBF Investment Fund and the Equities Investment Fund for Charities (Charifund). 

|(c)   Equipment at cost<br>Less accumulated depreciation<br>Net book value at 31st December<br>**6. Debtors (Unrestricted Funds)**<br>Amounts falling due within one year:<br>Gift aid recoverable<br>Other debtors and prepayments<br>**7. Liabilities**<br>Amounts falling due within one year:<br>Accounts payable<br>Other creditors and accruals|7,588<br>7,588<br>0<br>2021<br>5,232<br>54,815<br>60,047<br>2021<br>7,471<br>63,894<br>71,365|7,588<br>7,588|
|---|---|---|
|||0|
|||2020<br>8,808<br>9,119|
|||17,927|
|||2020<br>3,764<br>9,561|
|||13,325|



In the above debtors we have included the promised donation to cover costs of the AV system of £50,000.This money was received in February 2022. We have also inclued in liabilities provision for the full contractual cost outstanding for the installation of the AV system at £58,920 of which £54,570 was paid in February 2022. 

- 8 - 



**THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF HOLY TRINITY NORTHWOOD** 

## **8. Analysis of net assets by fund** 

|**8. Analysis of net assets by fund**||
|---|---|
|Tangible fixed assets<br>Investment fixed assets<br>Equipment fixed assets<br>Current assets<br>Current liabilities|£<br>£<br>£<br>£<br>109,838<br>245,600<br>355,438<br>48,946<br>48,946<br>0<br>12,463<br>97,461<br>2,378<br>112,302<br>(12,463)<br>(58,902)<br>(71,365)<br>General Fund Designated<br>Fund<br>Restricted<br>Fund<br>Total Funds|
||0<br>197,343<br>247,978<br>445,321|



## **9. Funds** 

|**9. Funds**||
|---|---|
|Unrestricted Fund<br>General<br>Designated Funds<br>Maintenance<br>House<br>Working Capital<br>Projects<br>Organ<br>Mission and charity<br>Restricted Funds<br>House<br>Mission and charity<br>Vicar's Discretionary|Bal fwd<br>Income<br>Expenditure<br>Gains<br>Funds<br>Bal fwd<br>01 Jan 2021<br>Transfer<br>31 Dec 2021<br>£<br>£<br>£<br>£<br>£<br>£<br>-<br>152,298<br>147,306<br>(4,992)<br>-|
||26,845<br>2,327<br>596<br>5,776<br>4,992<br>39,344<br>109,838<br>109,838<br>18,500<br>18,500<br>35,456<br>97,952<br>106,422<br>26,986<br>2,675<br>2,675<br>-<br>2,527<br>2,527<br>-|
||193,314<br>102,806<br>109,545<br>5,776<br>4,992<br>197,343|
||245,600<br>245,600<br>3,749<br>3,749<br>-<br>2,078<br>300<br>2,378|
||247,678<br>4,049<br>3,749<br>-<br>-<br>247,978|



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**THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF HOLY TRINITY NORTHWOOD** 

## **10. Charitable and other donations** 

The PCC made grants totalling £6,166 (2020 - £3,198) from its funds, from special collections, fund raising events and on behalf of other beneficiaries from special collections and fund raising and passed on directly to them. The beneficiaries were:- 

|Embrace the Middle East<br>Diocese of London Lent Appeal<br>Christian Aid<br>Children's Society<br>New Hope Trust<br>Royal British Legion<br>Macmillan Coffee morning<br>Lynda Jackson<br>United Society<br>Close The IT Divide<br>Holy Trinity Toddlers<br>Womans Day of Prayer|50<br>*<br>947<br>249<br>*<br>140<br>20<br>90<br>403<br>*<br>791<br>*<br>226<br>*<br>3,450<br>50<br>200<br>6,616|
|---|---|



Beneficiaries marked * were able to claim further gift aid on the monies passed to them. 

In addition to the above the PCC paid out of youth work costs £852 to the London Diocesan Willesden Area Education Fund. 

The Report, Financial Statements and Activity Reports were approved by the Parochial Church Council on 29[th] March 2022 and signed on their behalf, by Chairperson. 

Ann Lynes 

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Section A                        Independent Examiner’s Report 

**Report to the trustees/ members** Holy Trinity Northwood   -  Charity Number 1131724 **On accounts for** 31st December 2021 **the year ended** 4-10 **Set out on pages Responsibilities** I report to the trustees on my examination of the accounts of the above charity (“the Trust”) for the year **and basis of report** ended 31 December 2021. As the charity's trustees, 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 Trust’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. 

I have completed my examination.  I confirm that no material matters have come to my attention in connection with the examination which gives me cause to believe that in, any material respect: 

 the accounting records were not kept in accordance with section 130 of the Charities Act; or 

 the accounts did not accord with the accounting records; or 

**Independent**  the accounts did not comply with the applicable requirements concerning the form and **examiner's** content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than **statement** any requirement that the accounts give a ‘true and fair’ view which is not a matter considered as part of an independent examination. 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. 

|**Relevant**<br>**professional**<br>**qualification(s) or**<br>**body (if any):**<br>**Address:**<br>**Name:**<br>**Signed:**|Watford, WD18 9TB<br>ICAEW<br>Suite F3, Sunley House, Olds Approach, Tolpits Lane<br>S Ahmed|
|---|---|
||**Section B                           Disclosure**|



Only complete if the examiner needs to highlight material matters of concern (see CC32, Independent examination of 

**Give here brief details of any items that the examiner wishes to disclose** . 



**THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF HOLY TRINITY NORTHWOOD** 

## **4. Budget Financial Statements for the Year 2022** 

|**Incoming Resources**<br>Voluntary income<br>Planned giving<br>Open plate collections<br>Gift aid Tax recoverable<br>Donations<br>Legacies<br>Activities for generating funds<br>Fund raising events<br>Holiday club<br>Other funds generated<br>Investment income<br>Interest<br>Property rent<br>Income from church activites<br>Fees payable to the PCC<br>Hall and Parish room<br>**Total incoming resources**<br>**Resources expended**<br>Missionary and charitable giving<br>Missionary and charitable income<br>Common Fund<br>Curate<br>Staff expenses<br>Services, resources and music<br>Church running costs<br>Youth ministry costs<br>Holiday Club<br>Fund Raising Costs<br>Churchyard<br>Church Hall  & Parish Rooms<br>Administration<br>Housing Rental General<br>Property Costs<br>Investment Property Costs<br>Project Costs<br>Other<br>**Total resources expended**<br>**(Deficit)/Surplus**|- 12 -<br>General<br>Designated<br>Restricted<br>Total Funds<br>83,000<br>83,000<br>3,600<br>3,600<br>20,750<br>2,060<br>22,810<br>5,000<br>8,250<br>13,250<br>4,000<br>4,000<br>1,800<br>1,800<br>2,950<br>2,950<br>2,000<br>2,000<br>9,825<br>9,825<br>2,500<br>2,500<br>14,000<br>14,000<br> 147,425<br>12,310<br>0<br>159,735<br>5,300<br>1,400<br>6,700<br>(5,300)<br>(1,400)<br>(6,700)<br>85,200<br>85,200<br>1,350<br>1,350<br>1,000<br>1,000<br> <br>4,000<br>4,000<br>18,540<br>18,540<br> <br>9,154<br>9,154<br>800<br>800<br>0<br>480<br>480<br> <br>7,636<br>7,636<br>20,230<br>20,230<br>0<br>4,000<br>4,000<br>1,750<br>1,750<br>0<br>0<br>**154,140**<br>**0**<br>**0**<br>**154,140**<br>**(6,715)**<br>**12,310**<br>**0**<br>**5,595**<br>2022|2021<br>Total Funds<br>96,807<br>2,460<br>29,196<br>78,425<br>4,000<br>1,800<br>2,450<br>2,000<br>9,600<br>1,747<br>10,260|
|---|---|---|
|||238,745|
|||7,000<br>(6,700)<br>85,200<br>1,874<br>2,550<br>5,055<br>22,898<br>7,276<br>800<br>200<br>480<br>13,852<br>24,046<br>0<br>500<br>1,260<br>102,000<br>0|
|||**268,291**|
|||**(29,546)**|
||||





THE PAROCHL4LCHURCHCOUNaL OFTHE ECCLESlAST￿AL PAFUSH OFHOLYTWNifY NORTHWOOD
13

THE PAROCHL4LCHURCHCOUNaL OFTHE ECCLESlAST￿AL PAFUSH OFHOLYTWNifY NORTHWOOD
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