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2022-12-31-accounts

Charity Registration No: 1131767

CHIPPING CAMPDEN BAPTIST CHURCH

REPORT AND ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2022

Daniel Colwell & Co Chartered Certified Accountants & Chartered Tax Advisors The Old Bull Pens Sezincote Moreton-in-Marsh Gloucestershire GL56 9AW

CHIPPING CAMPDEN BAPTIST CHURCH

Charity Registration No: 1131767

TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2022

The Trustees present their report and the accounts for the year ended 31 December 2022

CONTACT

The Church can be contacted via The Baptist Manse, Back Ends, Chipping Campden, Gloucestershire. GL55 6AL

Further contact details can also be found on our website: www.campdenbaptist.org.uk

OBJECT

The vision of Chipping Campden Baptist Church (the Church) is:

The original Foundation Deed states that the Church was established to promulgate the Christian Gospel, maintaining the doctrines usually denominated "evangelical" and particularly as set out in the Constitution of the Church

The Trustees believe that the vision of the Church is in keeping with this original object. In pursuit of these objects the trustees expend the charity's resources on:

(c) Maintaining and hiring premises that provide a meeting place for members and visitors. (Upkeep of church premises / hire of school building)

The Church operates an unrestricted general fund which serves the objects as described above

In addition and in line with Biblical principles and in agreement with the wishes of the church membership the trustees grant at least 10% of the Church's income in each year to bodies with similar objectives. The bodies and individuals selected by the trustees are chosen mainly from needs known to the membership of the Church. (Tithe)

The object of the fund is "to further the vision statement as specific needs arise"

CHURCH GROWTH

Chipping Campden Baptist Church (CCBC) was established under the terms of a Foundation Deed dated 28th April 1724 held by the Baptist Union Corporation Limited as Custodian Trustee. CCBC is affiliated to the Baptist Union of Great Britain.

Stour Valley Baptist Church (SVBC) was planted from CCBC in July 1999. Bidford on Avon Baptist Church (BABC) was planted from CCBC in September 2005. Chipping Campden Baptist Church moved its morning service to Chipping Campden School in September 2009 to accommodate increasing numbers of attendees and facilitate Children and Youth work and continues to see an increase in service attendance, with new families and individuals being welcomed.

Both of the planted churches are now established in their own right and are recognised as such by the Baptist Union of Great Britain, to which they are both affiliated.

CHIPPING CAMPDEN BAPTIST CHURCH

TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2022 continued

CONSTITUTION

In line with current legislation under Charity Commission rules, CCBC was registered as a Charity and was entered in the Register of Charities with effect from 23rd September 2009. The current Approved Governing Document (Constitution) was already in place, having being approved by the membership at a church meeting in November 2008.

The Church is run on a day to day basis by a leadership team that normally includes a majority of Trustees (formerly Deacons) who act as trustees to the Church.

During the year ended 31 December 2022 the following people formed the Leadership Team at CCBC

Rev Philip M Deller - Team Leader, Senior Minister and Trustee Rev Edward Ibberson – Minister and Trustee

Mr Tim Crummack - Youth Ministry Leader (Appointed August 2016 - not a Trustee) Mrs Verity Booker - Children's Ministry Leader (Appointed 8th June 2020 - not a Trustee)) Mr Alan Slough - Secretary and Trustee (re-appointed as Trustee and Secretary April 2020) Mr Martyn Jackson - Treasurer and Trustee (Re-Appointed as Trustee and Treasurer April 2020) Mrs Maralyn Harvey - Trustee (Re-Appointed as a Trustee April 2021) Mrs Jan Mitchell - Trustee (Re-Appointed as a Trustee April 2021) Mr David Silvester - Trustee (Re-Appointed as Trustee April 2022) Mrs Anne Sykes - Trustee (Appointed as Trustee April 2022) Mr Pete Dean - Trustee (Resigned April 2022)

Trustees are elected by the church members, at the Annual General Meeting (AGM) or a normal members meeting for a term of three years after which they may offer themselves for re-election.

REVIEW OF THE YEAR AND FUTURE DEVELOPMENTS

Following the relaxing of Covid restrictions the Church re-introduced limited in person services in February 2021. Since that time, services, both mid week and Sunday Gatherings have continued regularly. The support for the church and its work has grown and we have seen many new people join us since the latter part of 2021 and continuing into all of 2022.

The membership of CCBC (known locally as "Campden Baptist Church)" remained steady during the year but we also saw new individuals and families joining us, some of which have now become full members. Despite the pandemic, we also witnessed baptisms which is indication of the number of people who made a decision to follow Jesus largely through Alpha courses.

In Spring 2022 and Autumn 2022 we were able to run our regular Alpha courses in the church.

Other weekday meetings and events were re-introduced throughout the year, and new community groups were started.

In response to the war in Ukraine, the church started a weeky meeting Hub for Ukrainian refugees and their host families, which is ongoing.

The church remains a member of The North Cotswolds Foodbank Scheme, with an increase in demand.

The Church continues support many individuals and organisations across the globe, with active links in Romania, India, Middle East, as well as supporting persecuted Christians worldwide.

The Church continues to partner with Transforming Lives for Good to provide mentoring for pupils on a one to one basis in many local primary schools.

The church remains committed to the initiatives successfully started for children and young people in previous years. Our current Children's and Youth Ministry Leaders, along with a team of volunteers continue to lead, support and inspire our young people.

It has been a very challenging time for young people but we look forward to building on great foundations.

CHIPPING CAMPDEN BAPTIST CHURCH

TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2022 continued

Most of the projects in respect of CCBC continue as a result of the hard work of volunteers.

In September 2009 the church moved the morning service from the High Street premises to the local senior school in order to accommodate growing numbers of people. The High Street premises continue to be used on a Sunday evening and for an increased number of mid week activities for all ages.

In that same month a substantial refurbishment commenced to upgrade the facilities at the High Street premises so that it can meet the needs of existing and future users of the building.

FINANCIAL REVIEW

A small budget deficit scenario was forecast for 2022 as the church invests in people to meet the vision of the Church along with the financial effect of the pandemic. A gift day in late March and early April raised £35,967 with half of the donations being given away (Open Doors £8,992 and Baptist Missionary Society Ukraine appeal £9,248). These donations were in addition to the church's normal tithing of income.

During 2022 income from giving increased substantially over 2021 with general gifts and donations increasing from £147,282 to £227,613 (including the gift day £35,967). The underlying increase in giving enabled the High Street building to be redecorated, recarpeted, new chairs to be installed and audio and visual equipment to be updated in early 2023 at a cost of nearly £41,000.

The church continues to be generous in its support for mission work overseas and for those involved in local organisations for the commmon good of the community.

The Trustees have considered carefully the future expenditure of the Church for the next twelve months. They believe that the regular giving of friends and members of the Church will continue to at least their current levels.

RISK REVIEW

The leadership team has conducted its own review of its major risks to which the charity is exposed and systems have been established to mitigate those risks.

RESPONSIBILITIES OF THE TRUSTEES

Charity law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Church as at the balance sheet date and of its incoming resources and application of resources, including income and expenditure for the financial year.

In preparing those financial statements the Trustees should follow best practice and act accordingly.

The Trustees are responsible for maintaining proper accounting records which disclose at any time the financial position of the Church and to enable them to ensure that the financial statements comply with charity legislation.

The Trustees are also responsible for safeguarding the assets of the Church and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Approved by the Trustees on 3rd April 2023 and signed on their behalf

A Slough Secretary and Trustee

CHIPPING CAMPDEN BAPTIST CHURCH

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT)

FOR THE YEAR ENDED 31 DECEMBER 2022

General
Renew 55
Housing
Fund
(designated)
Fund
Note
£
£
£
INCOMING RESOURCES ON GENERATED FUNDS
Gift and donations - general
227,613
Gifts - manse renovations
-
Gifts and donations - total
227,613
Income tax recovered on general gifts
42,776
Income tax recovered on manse gifts
-
Other income
1,257
Contributions towards Community Listener
19,000
Interest received
120
23
Total incoming resources
290,766
-
23
RESOURCES EXPENDED
Charitable activities
Ministry
2.
141,098
Community Listener expenses
2.1
24,140
Mission
3.
7,867
343
Upkeep of church premises
4.
16,645
Administration
5.
9,185
Tithe
6.
43,996
Recognition of pension liability
8.
(38,662)
204,268
343
-
Total resources expended
204,268
343
-
NET INCOMING RESOURCES
86,498
(343)
23
OTHER INCOMING RESOURCES
Change in the value of fixed asset investments
(540)
Fund balance at 31 December 2021
35,860
1,632
28,667
Fund balance at 31 December 2022
122,358
1,290
28,151		 Total
2022
£
227,613
-
227,613
42,776
-
1,257
19,000
143
290,789
141,098
24,140
8,210
16,645
9,185
43,996
(38,662)
204,611
204,611
86,178
(540)
66,160
151,799		 General
Renew 55
Housing
Fund
(designated)
Fund
£
£
£
147,282
44,811
192,093
-
29,363
7,003
65
18,000
8
1
246,532
-
1
145,568
22,845
6,460
368
72,357
7,811
19,895
(218)
274,719
368
-
274,719
368
-
(28,187)
(368)
1
2,868
64,048
2,000
25,798
35,860
1,632
28,667		 Total
2021
£
147,282
44,811
192,093
29,363
7,003
65
18,000
9
246,533
145,568
22,845
6,828
72,357
7,811
19,895
(218)
275,087
275,087
(28,554)
2,868
91,846
66,160

CHIPPING CAMPDEN BAPTIST CHURCH

6

BALANCE SHEET AS AT 31 DECEMBER 2022

Note
Tangible fixed assets
7
Investments
Total Fixed Assets
CURRENT ASSETS
Debtors and prepayments
Income tax recoverable on gifts
Lloyds current accounts
Lloyds deposit account
Lloyds 32 day notice account
CREDITORS due within one year
Accruals
NET CURRENT ASSETS
NET ASSETS BEFORE PROVISIONS
PROVISIONS FOR LIABILITIES
8
NET ASSETS AFTER PROVISIONS
FUNDS OF THE CHARITY
Unrestricted general fund
Unrestricted designated housing fund		 Unrestricted Funds
General
Renew 55
Housing
Total
Fund
(designated)
Fund
2022
-
18,568
18,568
-
-
18,568
18,568
4,500
4,500
8,876
8,876
41,181
1,290
42,470
40,418
-
40,418
40,532
9,583
50,115
135,507
1,290
9,583
146,379
3,149
3,149
3,149
-
-
3,149
132,358
1,290
9,583
143,230
132,358
1,290
28,151
161,798
10,000
10,000
122,358
1,290
28,151
151,799
122,358
1,290
123,648
28,151
28,151
122,358
1,290
28,151
151,799		 Unrestricted Funds
General
Renew 55
Housing
Total
Fund
(designated)
Fund
2021
-
-
-
19,107
19,107
-
-
19,107
19,107
1,477
1,477
7,707
7,707
10,268
1,632
11,900
73,830
9,560
83,390
-
-
93,282
1,632
9,560
104,475
3,318
3,318
3,318
-
-
3,318
89,964
1,632
9,560
101,157
89,964
1,632
28,667
120,264
54,105
54,105
35,860
1,632
28,667
66,160
35,860
1,632
-
37,493
-
28,667
28,667
35,860
1,632
28,667
66,160

NET ASSETS BEFORE PROVISIONS

NET ASSETS AFTER PROVISIONS

Approved by the trustees on 26th April 2023 and signed on their behalf.

Martyn Jackson Trustee

CHIPPING CAMPDEN BAPTIST CHURCH

7

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

1 ACCOUNTING POLICIES

The accounts have been prepared under the historical cost convention (except that investments are shown the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) issued on 16 July 2014 and with the Charities Act 2011.

The Charity meets the definition of a public benefit entity under FRS102.

The principal accounting policies adopted in the preparation of the financial statements have been reviewed in light of adopting FRS102 as opposed to the previously adopted FRSSE.

No change in accounting policies was seen to be needed and no restatement of comparative figures was required.

Incoming resources

Income received from donations and grants is included in incoming resources when these become receivable.

Income tax recovered is included in the period in which the donation that gave rise to it occurred.

Interest is included when receivable by the Church.

In order to perform it's charitable activities the Church is dependant upon voluntary help provided by members and friends of the Church. The value of such help is impossible to quantify and is not included in the accounts.

Tangible fixed assets

The legal title to the freehold property of the Church building and Manse are held by the Church's custodian trustee, the Baptist Union Corporation Limited. The cost of the freehold property has been included at historical cost value.

Upon the sale of the building with prior approval of the Baptist Union the Church would be obligated to hand over any such proceeds to the Baptist Union and apply for the further use of those funds. The church would have to pay the Baptist Union a transaction fee that is included in contingent liabilities. The church building is currently insured for £2,462,882 rebuild cost.

However, the Trustees note that the Church has access to such premises that would otherwise cost considerable amounts in rental payments. The properties comprising high street church and manse are nineteenth century buildings premises.

All other costs in respect of fixed assets incurred since 1 January 1998 and held for the future benefit of the Church have been included at cost and depreciated over their expected useful lives as follows:

Property improvements 10-25 years
Equipment 5 years
Investments

The Church has invested amounts in lower risk equities with the assistance of broker Hargreaves Lansdown The Church keeps these investments under review by receiving and discussing regular reports from the broker. The investments are stated at the best estimate of current market value.

8

1 ACCOUNTING POLICIES (continued)

Fund accounting

Funds held by the Church are unrestricted funds that include:

Unrestricted general funds - these are funds which can be used in accordance with the charitable objects of the Church

Designated Renew 55 fund - represents the balance of an unrestricted gift received in the 2020 year.

Designated housing fund - the minister's of the Church are provided with housing accommodation close to the fellowship for the necessary performance of their duties. However, the Trustees are aware that the ministers are not on high salaries and that they are not on the "housing ladder" which could leave them with difficulties in finding affordable accommodation once they leave the Church. To this end the Trustees for several years have set aside cash and investments in the hope that the Church will be in a position to help in those circumstances. This policy was recognised in the accounts to 31 December 2013 via the creation of a new unrestricted designated fund by the transfer of the cash and investments previously set aside at 31 December 2012 into the fund and the restatement to current market values of the investments at 31 December 2013. The fund will carry on at the discretion of the Trustees who will add to the fund as resources allow. The Trustees may distribute the fund to meet the objectives of the fund or transfer back to general funds should circumstances including the financial stability of the Church change.

Grants made

The Charity makes grants to organisations and individuals working in the UK and overseas having similar objects to the charity. Grants are made at the discretion of the Trustees and are usually to organisations or individuals with whom the church body has an historic or active working relationship.

Pensions

The Charity 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 Ministers employed during the accounting period were eligible for and decided to continue in membership of the Scheme, which is not contracted out of the State Second Pension.

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 Limited. 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 £18million (equivalent to a past service funding level (equivalent to a past service funding level of 94%). The Charity and the other employers supporting the DB Plan are collectively responsible for funding this deficit.

9

1 ACCOUNTING POLICIES (continued)

As a result of the valuation, in addition to the contributions to the DC plan set out above it was agreed that the standard rate of deficiency contributions from churches and other employers involved in the DB Plan would remain at previously agreed levels, increasing each year in line with increases in the Minimum Pensionable Income. The deficiency contributions were broadly based on 12% of Pensionable Income/Minimum Pensionable Income reflecting each employer's contributions in March 2015. Some employers that were involved in the DB Plan for a short period pay lower contributions.

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 Recovery Plan dated 30 September 2020, deficiency contributions were 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.

In July 2022 of an agreement with the Trustees signed an agreement with insurance company Just Group (“Just”) to secure DB Plan members’ pension benefits. This agreement is referred to as a ‘buy-in policy’. It follows a similar agreement with Just in 2019 that covered most pensions in payment at that time. The combined agreements mean that Just are now providing financial backing for all DB pensions provided through the Scheme’s DB Plan.

The costs of such policies are largely driven by financial markets and these have moved substantially in the Scheme’s favour, particularly over the course of 2022. As a result, this transaction takes the Scheme out of a shortfall position for the first time in two decades. Although risks remain, the Baptist Union and the Trustee have agreed that deficit recovery contributions from each participating employer in the DB Plan will reduce to just £1 per month from August 2022.

The key financial 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 1.0% 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

The next actuarial valuation of the DB plan within the Scheme is due to take place as at 31 December 2022 and would expect to be completed during 2023.

Should a cessation event occur whereby all Ministers of the Charity end their employment with the Charity and those Minister are not replaced by another employee that is eligible for and wishes to continue in membership of the Scheme then the Pension Trustee will ask the Charity to make a large one off contribution to cover any shortfall on previous employees who were members of the DB plan.

The charity is a going concern and intends to continue to employ people who are eligible for the DB plan.

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 FRS102. 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 pension costs charged in the SoFA in the year are contributions payable towards benefits and expenses accrued in that year, plus any impact of deficiency contributions.

In addition, pension contributions are paid to a Defined Contribution scheme on behalf of 3 employees. The total pension costs to the church for the Defined Contribution scheme was £1,900 (2021: £1,852).

CHIPPING CAMPDEN BAPTIST CHURCH

10

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

2. MINISTRY

2022
£
Ministers' salaries
60,367
Ministers' pension contributions
7,915
Other pastoral salaries
46,512
Other pastoral pension contributions
1,272
Employer's national insurance
4,716
Ministers' & staff expenses
1,562
Rent on minister's house
9,600
Manse and housing expenses
9,155
Sound & video engineers
-
141,098
Average number of employees
6
No employee received emoluments in excess of £60,000
Trustee remuneration and expenses
2022
2022
2022
£
£
£
Gross
Employer Reimbursed
salary
pension
expenses
contributions
P Deller
32,968
4,380
677
E Ibberson
27,399
3,534
2,792
M Harvey
334
A Slough
1,406
A Sykes
506
M Jackson
157		 2021
£
59,603
7,681
44,982
1,244
5,073
2,073
9,600
8,842
6,470
145,568
6

One Trustee, who is also an employee, lived in housing owned by the church. In addition, rent of £9,600 (2021 £9,600) was paid for the house that is lived in by E Ibberson.

The reimbursed expenses disclosed are higher than the figure for ministers' and staff expenses as some reimbursed expenses are disclosed as to the type of expenditure (eg youth work, training costs, stationery etc)

2.1 MINISTRY - COMMUNITY LISTENER

Salary
Pension contributions
Employer's national insurance
Staff expenses
3. MISSION
Children and youth ministry
Transforming Lives for Good
Renew 55
Anna Chaplaincy
Training costs
Other		 2022
£
20,933
628
1,726
853
24,140
4,131
906
504
132
1,133
1,060
7,867		 2021
£
20,265
608
1,578
393
22,845
2,514
900
504
223
1,330
989
6,460

In addition, £343 (2021 £368) Renew 55 expenses were charged against the designated fund

CHIPPING CAMPDEN BAPTIST CHURCH

11

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

4. UPKEEP OF CHURCH PREMISES
Insurance
Lighting, heating and water
Repairs and maintenance
Manse renovations
Hall rental
Cleaning
Equipment expensed
5. ADMINISTRATION COSTS
Printing and stationery
Telephone and postage
Catering
Subscriptions
Independent Examiner's Fee
Payroll services
Sundry
6. TITHE
Romania
Home mission fund
Field workers
Baptist Missionary Society
Open Doors
Agape Alive In India
North Cotswold Foodbank
Dave Sillence
Zac Ellis
Will Buttrick
Emily Irving / Operation Mobilisation
Stacey Speight
Tek Ura Albania
Crisis at Christmas
Other external mission		 2022
2021
£
£
1,884
1,715
1,562
1,047
2,881
16,827
-
45,957
7,205
4,282
1,407
2,068
1,706
461
16,645
72,357
2022
2021
£
£
1,221
1,044
1,973
1,614
1,712
395
1,561
1,596
570
570
457
532
1,692
2,061
9,185
7,811
2022
2021
£
£
4,493
4,015
3,500
3,000
1,020
1,020
11,048
1,800
12,107
4,020
3,000
2,000
657
500
1,800
1,800
900
-
1,800
-
750
-
1,000
-
1,765
-
157
-
-
1,740
43,996
19,895

Note that the tithe amounts paid in 2022 were higher than a normal year as there was a gift day in March 2022 which raised £35,967 (including gift). It had been agreed that 50% of the amount raised would go to the church general funds and 25% each be allocated to Open Doors and work in Ukraine. There were some donations specifically for Ukraine so included in the amounts above from the gift day are £9,247.99 to the Baptist Missionary Society Ukraine appeal and £8,991.74 to the Open Doors Top 10 appeal.

CHIPPING CAMPDEN BAPTIST CHURCH

12

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022

7 TANGIBLE FIXED ASSETS

Building
Improvements
COST
At 1 January 2021
207,819
Additions
-
At 31 December 2021
207,819
DEPRECIATION
At 1 January 2021
207,819
Charge for the year
-
At 31 December 2021
207,819
NET BOOK VALUE
At 31 December 2021
-
At 31 December 2020
-
8. PROVISIONS FOR LIABILITIES
Liability on eventual sale of freehold
Pension liability		 Equipment
67,968
-
67,968
67,968
-
67,968
-
-		 Furnishings
20,285
-
20,285
20,285
-
20,285
-
-
2022
£
10,000
-
10,000		 Total
296,072
-
296,072
296,072
0
296,072
-
-
2021
£
10,000
44,105
54,105

The pension liability represents the present value of the deficit contributions indicated as being attributable to the Charity by the pension trustees. It has been valued using the following assumptions set by reference to the duration of the deficit recovery payments

Accounting date
31 Dec 2022
Discount rate
5.70%
Pensionable income
3.39%
The movement in the provision is set out below.
Balance sheet liability at year start
Minus deficiency contributions paid
Interest cost (recognised in SoFA)
Remaining change to balance sheet liability (recognised in SoFA)
Balance sheet liability at year end
The income and expenditure charge comprises:
Deficiency contributions paid
Movement in balance sheet liability		 31 Dec 2021
31 Dec 2020
1.30%
0.40%
4.50%
3.00%
2022
2021
£
£
44,105
53,509
(5,442)
(9,186)
828
196
(39,490)
(414)
0.44
44,105
5,442
9,186
(44,104)
(9,404)
(38,662)
(218)

If the church buildings were to be sold, the Church would have a liability to the Baptist Union for the amount of the proceeds and the Church would have to apply to the Baptist Union for further use of the proceeds. The liability included is a notional amount which is the estimated historical cost of when the church building was constructed.