2022-12-31-accounts - The Parochial Church Council Of The Ecclesiastical Parish Of Brockenhurst

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Brockenhurst Parochial Church Council St. Nicholas' with St. Saviour's

Registered Charity 1131796

Annual Report

and

Financial Statements

for the year ended 31 December 2022

Vicar:

Revd. Simon Newham

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Annual Report for 2022

Background

The Parochial Church Council of the Ecclesiastical Parish of Brockenhurst has the responsibility for promoting within the ecclesiastical parish the whole mission of the Church, pastoral, evangelistic, social and ecumenical in cooperation with the vicar, the Revd Simon Newham to whom day to day management of the parish is delegated.

The ecclesiastical parish is part of the Diocese of Winchester within the Church of England. There are two churches within the parish: St Nicholas’ the parish church and St Saviour’s located in the centre of the village of Brockenhurst.

The registered name of the PCC is The Parochial Church Council of the Ecclesiastical Parish of Brockenhurst and its registered working name is Brockenhurst PCC. The registered number of the charity is 1131796, and statutory information regarding the Parish may be found on the Charity Commission website, which it is the responsibility of the PCC to update, particularly following the Annual Parochial Church Meeting.

When planning activities for the year the Vicar and PCC have adopted Charity Commission guidance on public benefit and, in particular, specific guidance on charities for the advancement of religion.

Administrative Information

Vicar: Revd. Simon Newham

The correspondence address is:

The Church Office, Wilverley Road, Brockenhurst SO42 7SP

The Independent Examiner is:

Lewis Ball & Co William House 32 Bargates Christchurch Dorset BH23 1QL

Our bankers are:

Lloyds Bank Lymington PO Box 1000 Andover BX1 1LT

Winchester Diocesan Board of Finance Old Alresford Place Old Alresford SO24 9DH

CCLA Investment Management Ltd The CBF Church of England Funds Senator House 85 Queen Victoria Street London EC4V 4ET

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Parochial Church Council

During the period 1 January 2022 until the date that this report was approved the following have served as members of the Parochial Church Council PCC:

Vicar The Revd. Simon Newham Chairman from June 2019 Wardens Mr Jeremy Moss Mrs Joanna Plummer Deanery Synod Representatives Mr Peter Lay Treasurer Mr John Pearson Mr Martyn Taylor Resigned November 2022 Elected Members Mrs Pauline Brown Mr Bob Coombs Mr Tim Dodwell Mr Martin Fletcher Mrs Jane Forrest Mr Tony Foulger Mrs Joyce Kolaczkowski Mrs Wendy Lay Mrs Janet McDonald Mr Nathan Parnaby Mr Paul Pearse Mrs Lindy Waight

Structure, Governance and Management

The PCC is a body corporate established by the Church of England. The PCC operates under the Parochial Church Council Powers Measure. During 2009 as a result of changes to legislation, The Parochial Church Council (PCC) became a separately registered Charity with the Charity Commission under number 1131796.

Members of the PCC are appointed ex officio, or co-opted, or elected by the Annual Parochial Church Meeting (APCM) in accordance with the Church Representation Rules.

All Church members are encouraged to register on the Electoral Roll and stand for election to the PCC.

Teams and Committees

The PCC operates through a number of teams and committees which meet between full meetings of the PCC. The teams have oversight responsibility for some additional committees. The committees review major risks to which the PCC may be exposed and implement systems or procedures to manage those risks. This includes appropriate training, and taking advice from experts.

Standing Committee : The Standing Committee has the power to transact the business of the PCC between its meetings, subject to any directions given by the PCC. The Standing Committee comprises the: Vicar, Church Wardens, Treasurer, PCC Secretary, and another member of the PCC;
Children and Young People : Seeks God’s heart and vision for our children and youth work. The team encourages the children and young people in their faith and supports the Children and Family worker and helpers in their work;

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Eco Team : Seeks to raise awareness of the link between environmental issues and the Christian faith, and to respond with practical action in the Church itself, in the lives of individuals within the church, and in the local and global community;
Fabric and Grounds Team : Manages the maintenance and development of the two church buildings, hall and the church grounds;
Finance Team : Assists the Treasurer with the development of the annual PCC budget; reviews and monitors the state of the PCC’s finances; and assists the treasurer with the development of appropriate financial policies for approval by the PCC;
Hall Committee : Manages the running of the Church Hall adjacent to St. Saviour's Church;
Mission Team : The Mission Team is responsible for nominating home and overseas charities to be supported by the church from general funds and special appeals;
Pastoral Team : Seeks to support the elderly and lonely, the sick and vulnerable, and the bereaved within the Parish through pastoral visiting;
Prayer Team : Members of the team are available every Sunday after the 9.30am service at St Saviour’s for those who would like prayer. They also arrange and lead other prayer meetings during the year;
Social Committee : Organises and manages the social activities within the Parish, including lunches, harvest quiz and an annual Newcomers' Evening;
Worship Team : Plans the services and patterns of worship in both churches, in co-operation with the Vicar.

Objectives and Activities

The PCC is responsible for co-operating with the Vicar in promoting within the ecclesiastical parish the whole mission of the Church, pastoral, evangelistic, social and ecumenical. It is also responsible for maintaining the two village churches of St. Nicholas' and St. Saviour's. The vision is to be a Christ Centred Community

There were 208 parishioners on the Church Electoral Roll at the 2022 APCM, of whom 25 were not resident in the Parish compared with 212 in 2021. The size of the worshiping community is 142 with an average weekly attendance of 120 adults and 11 children, although the number increases substantially at major festivals.

Review of the year

Introduction

This year gave a welcome ‘return to normality’ after the strictures of Covid, although it took most of the period for church and event attendance to return to pre-covid levels.

The full PCC was able to meet on its planned bi-monthly schedule throughout 2022 with the PCC Teams meeting regularly and reporting to the PCC for guidance where necessary.

The key points of focus for our Church in 2022 were:

Providing a weekly pattern of worship and community for our congregations
Opening our churches (St Nicholas’ church and St Saviour’s) each day for private prayer
A series of events focussing on our Year of Vocations
Community engagement activities such as Brockcare and Eco Church
Expanding use of our Church Hall for local groups and events
Digital Church – interactive broadcast of services online with recordings available

Support for our congregations

Our pattern of weekly services has now settled as:

Sunday 0900 Holy Communion at St Nicholas’ (BCP on first Sunday of month)
Sunday 1030 Sunday Worship at St Saviour’s (Holy Communion on third Sunday)
Thursday 1000 Holy Communion at St Saviour’s

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Throughout the year our Vicar Simon led daily Morning and Evening Prayer online using Zoom audio facilities and following the pattern suggested by the Church of England Daily Prayer programme. Holy Communion was regularly taken to the care and residential homes in the village by members of our Worship Team.

The experimental ‘Open’ Service was continued through the year on a monthly basis at St Saviours on the fourth Sunday. This service has a less formal style and focusses on a topic such as ‘Mental Health’ or ‘the Holy Spirit’ and allows for discussion as well as worship and teaching.

Our House-Groups were an important source of fellowship and learning during 2022 and spent time looking at Vocations as part of our yearly focus.

Once again in October we held a Bereavement Service in St Saviour’s to offer support to those who have lost a loved one with the usual afternoon tea for refreshment.

Remembrance commemorations were held in November with another highly visible field of 1000 crocheted poppies in St Saviour’s grounds once again appearing to flow out from the east window.

Over Christmas our two Carol Services were popular as were our Christmas eve and Christmas morning services which were held inside this year as the weather was too cold to be outside.

Simon Newham, our vicar, continued to enthusiastically grow our links to local primary schools holding a regular weekly Assembly in addition to his contribution as a Governor at Brockenhurst. Links with Brockenhurst College grew through our Children and Youth coordinator leading to the start of a formal Christian Union which held a popular Cookies and Carols in the Quad event at Christmas.

Schools Outreach

In combination with the parishes of Boldre and South Baddesley in our benefice we appointed Mel Osborne as our Children and Families Worker starting in December 2022. Mel’s focus is to work within our three Church Primary Schools of Brockenhurst, William Gilpin (Boldre) and South Baddesley.

This new initiative has been warmly welcomed supported by the three Head Teachers and we are looking to grow stronger links with the children and families in our villages through this work.

Our role in the community

Brockcare – our pastoral group providing support to the vulnerable and elderly in the village continued to provide home visits and activities including transport for those who are isolated or unable to get about easily.

Activities such as Wednesday Lunches and Thursday coffee mornings (CAMEO, C ome A nd M eet E ach O ther) and our annual Holidays At Home we welcomed back to full operation. With the rise in energy costs a ‘warm hub’ soup lunch and activities were provided on Thursdays.

Again Christmas Day lunch was provided for some of the villagers who would otherwise be on their own. The lunches were generously cooked by a local chef in the Church Hall and supported by members of the church family.

We also served our community through baptisms, weddings and funerals with a particularly active year for weddings following the restrictions of previous years.

Deanery & Diocese Support

Simon Newham, our vicar was appointed Rural Dean in 2022 and able to contribute his skills and experience to encouraging and supporting parishes and incumbents in the wider area. While this has increased his workload he has been supported by two training appointments. Luke Augustyn joined our parish part-time in September as an Ordinand whilst he continues to study at St Melitus College in London. At the close of 2022 Stephen Bennet was appointed to join us as a Curate in early 2023.

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Financial Review

Independent Examiner

The appointment of Mr Lewis Ball as Independent Examiner for these financial statements was approved at the APCM meeting held on 27 April 2022.

Overall Summary

Total income was £245,806 while total expenditure was £274,664 (before unrealised investment losses) resulting in net expenditure of £28,858 compared to net income in 2021 of £43,785. However, these figures include a number of exceptional items:

Expenditure on St Saviour’s roof and stonework repairs amounted to £29,501. This was funded from funds put aside in previous years
Depreciation costs of £4,047 for the St Saviour’s audio system installed in 2018 and £1,653 for the installation of cameras, projectors and screens in St Saviour’s church funded from the AV appeal held in 2021. Both projects are depreciated over a five year period.
Legacies of £700

Ordinary income amounted to £238,943 while ordinary expenditure amounted to £234,036 a net surplus of £4,907.

The CBF Endowment Fund investments decreased in value by £11,018 compared to a gain in value in 2021 of £11,715.

Expenditure

Ordinary expenditure increased from £200,093 in 2021 to £234,036 in 2022 while extraordinary expenditure was £40,628

Ordinary Common Mission Fund Donations to charities Staff salaries Maintenance of both churches and hall Churchyard Utilities (Gas electric and water) Other running costs Extraordinary/appeals Charities St Saviour's roof and stonework repairs Depreciation	2022 2021 112,705 £ 105,442 £ 8,819 £ 10,000 £ 35,806 £ 26,845 £ 10,564 £ 8,260 £ 7,341 £ 1,810 £ 6,016 £ 4,465 £ 52,785 £ 43,271 £
	234,036 £ 200,093 £ 3,824 £ 13,049 £ 31,078 £ - £ 5,726 £ 7,345 £
	274,664 £ 220,487 £

Extraordinary expenditure comprises:

Money given to charities from special appeals and collections
The cost of repairs to St Saviour’s church identified by the Quinquennial survey

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Depreciation charges for the St Saviours Audio Visual (AV) system N.B. in 2021 there were also depreciation charges for the hall development but this is now fully depreciated.

Ordinary expenditure comprises:

Ordinary Expenditure

----- Start of picture text -----
Other running
costs
23%
Utilities (Gas
electric and water)
3%
Common Mission
Fund
Churchyard
48%
3%
Maintenance of
both churches and
hall
4%
Staff salaries
Donations to
15%
charities
4%
----- End of picture text -----

Payments to the diocesan Common Mission Fund. These were £112,705 in 2022 which is an increase of about £7,000 compared to 2021.
Donations to charities from General Funds amounting to £8,819. These include £819 profit from the Screwtape Letters donated to the DEC Pakistan Flood appeal and in 2021 an extra £2,000 was donated to Rwanda.
Staff salaries increased by about £9,000 to £35,806 an increase of 33%. These include employment costs for the maintenance of St Nicholas’ churchyard which are offset by grants received from the Parish Council. A Family and Children’s worker was employed from December 2022 with costs shared between Brockenhurst, Boldre and South Baddesley parishes for which the Boldre and South Baddesley contributions are reported as grants.
Maintenance of both churches and hall are the day-to-day maintenance costs. These amounted to £10,564 in 2022 about £2,300 more than in 2021.
The churchyard maintenance costs were £7,341 about £5,500 more than in 2021 mainly due to the cost of tree work in both churchyards.
Utilities (gas, electric and water) charges rose by £1,500. The electricity contract finished at the end of August and a new, two year, contract was started from the 1[st] September resulting in a higher tariff for electricity. The gas tariff was unchanged for 2022 as the gas contract is for three years and started on 1 September 2021. Consequently, gas and electric prices are fixed until August 2024.
Other running costs are the other running expenses of the parish.

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Income

Ordinary income increased from £214,917 in 2021 to £238,943 in 2022 while extraordinary income was £6,863

Planned Collections Unplanned Gift Aid Grants Activities for generating funds Investment income and interest Income from charitable activities Charity collections Charity donations Charity Gift Aid St Saviour's AV system appeal Legacies Other	2022 2021 130,922 £ 133,437 £ 5,440 £ 1,930 £ 7,964 £ 7,168 £ 25,698 £ 28,708 £ 9,468 £ 4,642 £ 12,083 £ 9,088 £ 4,127 £ 2,826 £ 43,241 £ 27,118 £
	238,943 £ 214,917 £ 1,863 £ 1,198 £ 3,726 £ 11,019 £ 574 £ 1,312 £ - £ 30,531 £ 700 £ 3,500 £ - £ 1,795 £
	245,806 £ 264,272 £

Extraordinary income comprises:

Appeals and collections for charities
Legacies

Ordinary income comprises

----- Start of picture text -----
Ordinary Income
Income from
charitable
activities
18%
Investment
income and
interest
2%
Activities for
generating funds
5%
Planned
Grants 55%
4%
Gift Aid
11%
Unplanned
3%
Collections
2%
----- End of picture text -----

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Planned donations. These are donations that are made on a regular basis and account for 55% of ordinary income. There was a slight drop of about £3,500 (about 3%) in planned donations compared to 2021. Planed donations are received through a number of sources:
Parish Giving Scheme which allow donations to be indexed linked so that they increase with inflation annually
Payments made to the church bank account by standing order
Payments made through CAF
Payments made through Stewardship (stewardship.org.uk)
Collections at church services increased by £3,500 to £5,440 in 2022 accounting for 2% of income.
Unplanned donations are donations that are not made regularly. These were £7,964 in 2022 broadly similar to 2021 accounting for 3% of ordinary income.
Gift Aid is collected mainly on planned donations and collections through the GASDS (Gift Aid Small Donations Scheme). Gift Aid receipts accounted for 11% of ordinary but were about £3,000 less in 2022 compared to 2021 reflecting the drop in planned donations.
Grants are received from a number of organisations. In 2022 grants totalling £9,468 (4% of ordinary income) were received from:
Brockenhurst Parish Council to fund maintenance work on St Nicholas’ churchyard. The grants received were for work up to the end of September with the work from October being covered by another grant to be claimed in 2023
Winchester Diocesan Board of Finance energy grant of £1,825
South Baddesley PCC to help fund the Family and Children’s worker
Boldre PCC to help fund the Family and Children’s worker
Activities for generating funds is 5% of ordinary income and comprises income from:
Advertising in the Parish Magazine
Charges for wedding flower arrangements
Hire of the church
Investment income and interest is income from:
Endowment investment dividends
Interest from cash on deposit with the Winchester Board of Finance Loans (i.e. money we have loaned to the diocese)
Other bank interest
Income from charitable activities is 18% of ordinary income and comprises income received from:
Fees for weddings and funerals. These consist of statutory fees laid down by parliament and nonstatutory fees (e.g. for heating, verger, organist) charged by the PCC
Sale revenue from the Parish Magazine
Revenues from St Nicholas bookstall and souvenir sales and the sales of John Purkess’ By_gone Brockenhurst books
Payments for events e.g. the performances of the Screwtape Letters.
Income from the church hall

Cash Flow

Net cash flow was a reduction of £40,321 compared to an increase in cash of £59,184 in 2021. This is accounted for by cash being spent from the St Saviour’s AV appeal fund built up in 2021 and the cost of repairs identified by the Quinquennial Survey paid for from funds put aside in 2020.

The cost of St Saviour’s AV enhancement was £20,144 which left £10,413 cash in the AV appeal fund. It is planned that this will be spent on ordinary expenditure in accordance with the terms of the appeal. The cost of the

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

installation has been capitalised so appears as an asset on the balance sheet to be depreciated over five years in compliance with the PCC policy on capital expenditure.

Ordinary Activities

The church spends the money at its disposal on the following main items:

The Common Mission Fund (Parish Share)
Children and Families work
Maintenance of the two church buildings (St Saviour’s and St Nicholas’), The church hall, and the churchyards
Charitable giving from general income
Other running expenses e.g. gas, electricity, insurance and salaries
Mission to the parish e.g. Brockcare activities

Money to support these is available from a number of funds, primarily:

The General Fund including the Hall Management Fund
The St Nicholas’ Fund
The St Nicholas’ Churchyard Income Fund
The St Saviour’s Fund
The Brockcare funds

In addition money is also available from:

The Flower Trading Fund
The Walker Munro Income Fund
The Harding income fund

Looking Forward

The PCC has employed a Children’s and Family worker starting in December 2022 on a three year contract. The cost of this is shared between Brockenhurst, South Baddesley and Boldre PCCs. At present funding for this work is coming from general funds.

Reserves

The reserves policy is to keep a cash (or cash equivalent) reserve of three times the average monthly cash expenditure. The PCC considers this is sufficient to cover against

A sudden loss of income
Any major repairs that need to be funded urgently

The reserves comprise the cash held in unrestricted funds and at present exclude the cash held in the unrestricted Flower Trading Fund. The total cash reserves held on 31 December 2022 were £99,041 (£37,555 plus £61,486 deposited with the Winchester Diocesan Loans Fund) with an additional £2,943 held in the flower funds. The average monthly cash expenditure in 2022 was £23,000 for which the reserves policy requires a cash reserve of £69,000. Consequently, the surplus reserves available to spend at 31 December 2022 while maintaining the reserve required by the policy is £30,041.

Conclusions

The repairs to St Saviour’s church identified by the Quinquennial Survey were scaled back and completed at an overall cost of £31,000 which was less than the original estimates enabling them to be funded almost entirely from the £30,000 put aside at the end of 2020.

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

The enhancement to St Saviour’s AV system was installed at a cost of £20,144 leaving £10,400 in the AV fund to be spent with general funds.

To some extent the PCC is protected from the large increases in gas prices because the current gas contract is fixed until the end of August 2024 after which it is expected there will be price rise when the contract is renewed. The electricity contract ended at the end of August and was renewed until September 2024 albeit at a higher price.

Now that the Covid-19 pandemic is over income has returned to a normal pattern.

Unfortunately planned income which accounts for 55% of ordinary income (before Gift Aid is added) has fallen by 2% while inflation has risen to 10% and other income is more-or-less similar to previous years. As a result income is likely to fall short of expenditure. In addition, this income is vulnerable to an aging congregation with reductions to be expected in the next five to ten years.

The PCC has been able fund the employment of a Children’s and Family worker on a three year contract, as an important part of its ministry, from the funds currently available.

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Statement of trustee responsibilities applicable to members of the Parochial Church Council of the Ecclesiastical Parish of Brockenhurst (Brockenhurst PCC)

The trustees are responsible for preparing the Trustees Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales 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 charity and of the incoming resources and application of resources of the charity for that period. In preparing the financial statements, the trustees are required to:

Select suitable accounting policies and then apply them consistently;
Observe the methods and principles in the Charities Statement of Recommend Practice (SORP);
Make judgements and estimates that are reasonable and prudent;
State whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
Prepare financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Annual Financial Statements

The attached financial statements for the year ended 31 December 2022 have been prepared in accordance with the relevant Church Accounting Regulations, applicable Accounting Standards and Statement of Recommended Practice (FRS 102) 2015.

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Independent Examiner’s Report to Brockenhurst PCC

We report on the accounts for the year ended 31 December 2022 which are set out on pages 14 to 29.

Respective responsibilities of the Trustees and Independent Examiner

The church’s trustees are responsible for the preparation of the accounts. The church’s trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.

It is our responsibility to:

Examine the accounts under section 145 of the 2011 Act;
Follow the procedures laid down in the General Directions given by the Charity Commissioners section 145(5)(b) of the 2011 Act; and
State whether particular matters have come to our attention.

Basis of Independent Examiner’s Statement

Our examination was carried out in accordance with the General Directions given by the Charity Commission.

An examination includes the review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the management committee concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in a full audit, and consequently we do not express an audit opinion on the accounts.

Independent Examiner’s Statement

In connection with our examination, no matters have come to my attention

which give us reasonable cause to believe that in any material respect the requirements  to keep accounting records in accordance with section 130 of the 2011 Act; and
to prepare accounts which accord with the accounting records and comply with the accounting requirements of the 2011 Act have not been met; or
to which, in our opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

Mr L D Ball FCPA

Lewis Ball & Co William House 32 Bargates Christchurch Dorset BH23 1QL

18 March 2023

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Statement of Financial Activities for the year ended 31 December 2022

Note Income and Endowments from: Donations and Legacies 2(a) Other trading activities 2(b) Investments 2(c) Charitable activities 2(d) Other Income 2(e )	Unrestricted Funds 2022 £ 180,645 12,083 1,112 42,251 -	Restricted Funds 2022 £ 5,710 - 3,015 990 -	Endowment Funds 2022 £ - - - - -	Total 2022 £ 186,355 12,083 4,127 43,241 -	Unrestricted Funds 2021 £ 174,748 9,088 451 27,118 1,795	Restricted Funds 2021 £ 48,697 - 2,375 - -	Endowment Total Funds 2021 2021 £ £ - 223,445 - 9,088 - 2,826 - 27,118 - 1,795
Total	236,091	9,715	-	245,806	213,200	51,072	- 264,272
Expenditure on: Raising funds 3(a) Charitable activities 3(b)	11,792 245,002	506 17,364	- -	12,298 262,366	6,629 187,918	736 25,204	- 7,365 - 213,122
Total	256,794	17,870	-	274,664	194,547	25,940	- 220,487
Net Income/(Expenditure) Transfers between Funds Other recognised gains/(losses) Gains/(losses) on investments 7	(20,703) (2,537) -	(8,155) 2,537 -	- - (11,018)	(28,858) - (11,018)	18,653 - -	25,132 - -	- 43,785 - - 11,715 11,715
Net Movement in Funds	(23,240)	(5,618)	(11,018)	(39,876)	18,653	25,132	11,715 55,500
Balances brought forward at 1 January	114,067	47,855	93,603	255,525	95,414	22,723	81,888 200,025
Balances carried forward at 31 December	90,827	42,237	82,585	215,649	114,067	47,855	93,603 255,525

The notes on pages 17 to 29 form part of these accounts

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Balance sheet at 31 December 2022

Balance sheet at 31 December 2022
Note FIXED ASSETS Tangible assets Investment assets: Endowment fund investments 6	Unrestricted Funds 2022 £ - -	Restricted Funds 2022 £ 22,173 -	Endowment Funds 2022 £ - 82,585	Total Funds 2022 £ 22,173 82,585	Unrestricted Funds 2021 £ - -	Restricted Funds 2021 £ 7,755 -	Endowment Total Funds Funds 2021 2021 £ £ - 7,755 93,603 93,603
	-	22,173	82,585	104,758	-	7,755	93,603 101,358
CURRENT ASSETS Stock Investments Debtors and prepayments 8 Short-term deposists Cash at bank and in hand	5,930 - 63,897 - 40,499	- - 46 - 23,591	- - - - -	5,930 - 63,943 - 64,090	1,900 - 64,219 - 62,631	- - 434 - 41,780	- 1,900 - - - 64,653 - - - 104,411
Total current assets	110,326	23,637	-	133,963	128,750	42,214	- 170,964
LIABILITIES Creditors - amounts falling due within one year 9	19,499	3,573	-	23,072	14,683	2,114	- 16,797
Net current assets/(liabilities)	90,827	20,064	-	110,891	114,067	40,100	- 154,167
Total assets less current liabilities Creditors - amounts falling due after one year	90,827 -	42,237 -	82,585 -	215,649 -	114,067 -	47,855 -	93,603 255,525 - -
Total net assets	90,827	42,237	82,585	215,649	114,067	47,855	93,603 255,525
PARISH FUNDS Unrestricted 10(a) Restricted 10(b) Endowment 10(c)	90,827	42,237	82,585	90,827 42,237 82,585	114,067	47,855	114,067 47,855 93,603 93,603
	90,827	42,237	82,585	215,649	114,067	47,855	93,603 255,525

The notes on pages 17 to 29 form part of this account

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Cash flow statement at 31 December 2022

Net cash from operating activities
Cash flows from investing activities
Dividends, interest and rent from investments
Purchase of:
Tangible fixed assets for use of the PCC
Change in cash and cash equivalents in the reporting period
Cash and cash eqivalents at 1 January
Cash and cash equivalents at 31 December
Reconciliation of net income/(expenditure) before investment gains
Net income before investment gains at 31 December
Adjustments for:
Depreciation charges
Dividends, interest and rent from investments
Decrease/(Increase) in stock
Decrease/(increase) in debtors
(Decrease)/Increase in creditors
Net cash provided by/(used in) operating activities
Analysis of cash and cash equivalents
Cash in hand
Notice deposits (less than 3 months)

End 2022
End 2022
End 2021
End 2021
(24,304)
56,358
4,127
2,826
(20,144)
-
(16,017)
2,826
(40,321)
59,184
104,411
45,227
64,090
104,411
(28,858)
43,785
5,726
7,345
(4,127)
(2,826)
(4,030)
(458)
710
2,643
6,275
5,869
(24,304)
56,358
64,090
104,411
-
-
64,090
104,411

The notes on pages 17 to 29 form part of this account

Approved by the Parochial Church Council on 27 March 2023 and signed on its behalf by: Mr Peter Lay (Treasurer)

Page 16

Notes to the financial statements for the year ended 31 December 2022

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 PCC’s 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 main affiliation to another body nor those that are informal gatherings of Church members.

Funds

Unrestricted funds are general funds which can be used for PCC ordinary purposes. They represent the funds of the PCC that are not subject to any restrictions regarding their use and are available for application on the general purposes of the PCC. Funds designated by the PCC for a particular purpose, though also unrestricted, are separately disclosed.

Restricted Funds represent donations, grants and other income received for a specific objective or invited by the PCC for a specific objective. The Funds may only be expended on the specific objective for which they were given. Any balance remaining unspent at the end of each year must be carried forward as a balance on that fund.

Endowment Funds are funds, the capital of which must be maintained as determined by the terms of the Fund; only income arising from investment of the endowment may be used either as restricted or unrestricted funds depending on the purpose for which the endowment was established.

Income

Planned giving, collections and donations are recognized when received. Tax refunds are recognized when the incoming resource to which they relate is received. Grants and legacies are accounted for when the PCC is legally entitled to the amounts due. Dividends are accounted for when receivable, interest is accrued. All other income is recognized when it is receivable. All incoming resources are accounted for gross. Amounts collected on behalf of other bodies at events held on church premises and handed to their representatives on the day are not considered to be incoming resources of the PCC and are not included in these statements.

Expenditure

Grants

Grants and donations are accounted for when paid over, or when awarded. Where the PCC has agreed in principle during the year to make grants up to a specified total, subject only to the ascertainment of the year’s result, and such grants are subsequently confirmed and paid, they are provided for in these accounts as an operational (though not a legal) liability and are shown as creditors in the Balance Sheet.

Activities directly relating to the work of the Church

The diocesan parish share is accounted for when payable. Any Parish Share unpaid at 31 December is provided for in these financial statements as an operational (though not a legal) liability and is shown as a creditor in the Balance Sheet.

Assets

Consecrated and benefice property

In so far as consecrated and benefice property of any kind is excluded from the statutory definition of ‘charity’ by Section 109(2)(a) and (c) of the Charities Act 2011 such assets are not capitalised in the financial statements.

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

Moveable church furnishings

These are capitalised at cost and depreciated over their useful economic life other than where insufficient cost information is available. In this case the item is not capitalised, but all items are included in the Church’s inventory in any case.

Tangible fixed assets for use by charity

These are capitalised if they can be used for more than one year, and cost at least £1,000, They are valued at cost or else, for gifts-in-kind, at a reasonable estimate of their open market value on receipt.

Depreciation is calculated to write off the capitalised cost of fixed assets less their currently anticipated residual fair value over five years.

An impairment review is carried out at each year-end and any resultant loss identified included in expenditure for the year.

Investments

Investments quoted on a recognised stock exchange or whose value derives from them are valued at market value at the year end. Other investment assets are included at the PCC’s best estimate of market value.

Short term deposits

These are the cash held on deposit either with the CCLA, Diocesan Loans Fund or at the bank.

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

2. Income and Endowments

2. Income and Endowments
2(a) Donations and Legacies Planned giving: Gift Aid donations CAF Other Collections Donations Gift Aid donations CAF Other Tax Recoverable Grants Legacies 2(b) Activities for generating funds Parish Magazine (advertising) Wedding Flowers Other 2(c) Investments Dividends on CBF Investment Fund Bank and WDBF Loans Fund 2(d) Charitable activities Fees for weddings and funerals Non-statutory fees Parish magazine sales Bookstall Payments for events Trading activities Letting of hall Wednesday Lunches Other 2(e) Other Income Insurance claim Covid-19 SSP refund Advertising refund Total incoming resources	Unrestricted Funds 2022 £ 88,205 24,800 17,881 5,122 969 250 8,482 25,618 9,318 -	Restricted Funds 2022 £ 36 - - 2,181 325 100 1,564 654 150 700	Total 2022 £ 88,241 24,800 17,881 7,303 1,294 350 10,046 26,272 9,468 700	Unrestricted Funds 2021 £ 89,055 25,050 19,134 1,582 4,506 - 5,243 25,686 4,492 -	Restricted Total Funds 2021 2021 £ £ 87 89,142 - 25,050 111 19,245 1,546 3,128 15,623 20,129 13,200 13,200 10,146 15,389 4,334 30,020 150 4,642 3,500 3,500
	180,645	5,710	186,355	174,748	48,697 223,445
	5,859 5,300 924	- - -	5,859 5,300 924	5,649 2,520 919	- 5,649 - 2,520 - 919
	12,083	-	12,083	9,088	- 9,088
	- 1,112	3,014 1	3,014 1,113	- 451	2,375 2,375 - 451
	1,112	3,015	4,127	451	2,375 2,826
	6,087 7,904 4,671 12,115 2,000 4,374 5,100 -	- - - - 990 - - -	6,087 7,904 4,671 12,115 2,990 4,374 5,100 -	4,552 4,460 4,858 9,320 730 967 2,229 2	- 4,552 - 4,460 - 4,858 - 9,320 - 730 - 967 - 2,229 - 2
	42,251	990	43,241	27,118	- 27,118
	- - -	- - -	- - -	1,660 135 -	- 1,660 - 135 - -
	-	-	-	1,795	- 1,795

	236,091	9,715	245,806	213,200	51,072 264,272

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

3. Expenditure On

Unrestricted Funds 2022 £ 3(a) Raising funds Cost of generating funds Trading Bookstall 7,978 Wednesday lunches 3,393 Flower arranging 163 Cost of fetes and other events 258 11,792 3(b) Charitable Activities Missionary and charitable giving 4 8,819 Ministry: Diocesan parish share 112,705 Other ministry costs 1,853 Gas, Electric & Water 6,016 Telephones 803 Insurance 6,948 Salaries & wages 5 35,686 Training & Mission costs 880 Stationery 4,493 Bank charges 590 Maintenance 7,642 Upkeep of sevices 2,957 Churchyard 3,559 Other running expenses 8,518 Major repairs - installation - Major repairs - structure 29,501 New Building Work - Other expenditure - Depreciation - Parish magazine costs 7,870 Church hall running costs Gas & Electric 2,337 Maintenance 2,346 Other 1,479 245,002 Total resources expended 256,794	Restricted Funds 2022 £ - - 506	Total Unrestricted 2022 Funds 2021 £ £ 7,978 3,484 3,393 1,102 163 2,043 764 -	Total Unrestricted 2022 Funds 2021 £ £ 7,978 3,484 3,393 1,102 163 2,043 764 -	Restricted Total Funds 2021 2021 £ £ - 3,484 1,102 - 2,043 736 736
11,792	506	12,298	6,629	736 7,365
8,819 112,705 1,853 6,016 803 6,948 35,686 880 4,493 590 7,642 2,957 3,559 8,518 - 29,501 - - - 7,870 2,337 2,346 1,479	3,824 - 426 - - - 120 - - - 576 1,029 3,782 304 - 1,577 - - 5,726 - - - -	12,643 112,705 2,279 6,016 803 6,948 35,806 880 4,493 590 8,218 3,986 7,341 8,822 - 31,078 - - 5,726 7,870 2,337 2,346 1,479	10,000 105,442 1,230 4,465 896 6,694 26,845 251 4,256 660 5,098 1,171 1,086 4,342 4,099 - - - - 7,603 1,630 1,706 444	13,049 23,049 - 105,442 159 1,389 - - 4,465 - 896 - 6,694 108 26,953 - 251 - 4,256 - 660 1,456 6,554 307 1,478 724 1,810 76 4,418 - 4,099 1,980 1,980 - - - - 7,345 7,345 - 7,603 - 1,630 - 1,706 - 444
245,002	17,364	262,366	187,918	25,204 213,122

256,794	17,870	274,664	194,547	25,940 220,487

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

4. Missionary and Charitable Giving

Overseas missionary and relief societies: Bible Society Church Mission Society DEC (Pakistan Floods) Embrace the Middle East Leprosy Mission Jerusalem & Middle East Church Association Lent boxes Rwanda Sat 7 Tearfund UNICEF	Unrestricted Funds 2022 £ 1,000 2,500 819 - - 500 - 500 500 1,000 - 6,819 500 - - - - 500 - 1,000 - 500 500 - 1,000 8,819	Restricted Funds 2022 £ - - - 626 255 - 702 550 - 210 250 2,593 - 105 205 - - - - 310 295 - - 626 921 3,824	Endowment Funds 2022 £ - - - - - - - - - - - - - - - - - - - - - - - - -	Total Total 2022 2021 £ £ 1,000 1,000 2,500 2,579 626 367 255 - 500 750 702 796 1,050 13,008 500 500 1,210 1,000 250 - 8,343 20,000 500 105 205 326 - 750 - 283 500 639 - - 705 1,998 295 184 500 - 500 500 626 367 1,921 1,051 10,969 23,049

Home missions and other church societies: A Rocha Acorn Chaplaincy Childrens' Society Christians Against Poverty Mission to Seafarers UCCF Young Minds

Local charities: Basics Bank Brockenhurst Day Care Centre Brockenhurst Gateway (New Forest Mencap) Oakhaven Hospice


Total Missionary and charitable giving

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

5. Staff Costs

Wages and salaries National Insurance Pension Life Assurance Training	2022 2021 £ £ 34,874 26,827 - - 925 116 7 10 - - 35,806 26,953

During year the PCC employed a Parish Administrator; Family and Children’s worker; verger; organists; caretaker and cleaners for the church and hall. No employee was paid more than £60,000

6. Related Parties

No payments or expenses were paid to any PCC member, or persons closely connected to them or related parties.

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

7. Investments

Market value at 1 January 2022 Disposal Purchases at cost Net gains/(loses) Market value at 31 December 2022 Units held	St Nicholas' Churchyard £ 65,432 - - (7,702) 57,730 2,794	Walker Munro £ 16,930 - - (1,993) 14,937 723	Harding Total £ £ 11,241 93,603 - - - - (1,323) (11,018) 9,918 82,585 480

The St Nicholas’ Churchyard, Walker Munro and Harding endowment funds are invested in CBF Church of England Investment Fund – Income Shares.

8. Debtors and Prepayments

Debtors Gift Aid Tax HMRC (employment) Diocesan Loans Fund Other debtors Prepayments	Unrestricted Funds 2022 £ 1,079 - 61,966 852 63,897 - 63,897	Restricted Funds 2022 £ 46 - - - 46 - 46	Endowment Funds 2022 £ - - - - - - -	2022 2021 £ £ 1,125 2,257 - - 61,966 61,569 852 727 63,943 64,553 - 100 63,943 64,653 Total Funds

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

9. Liabilities

Accruals and deferred income Charities Other Creditors for goods and services Other creditors	Unrestricted Funds 2022 £ 7,265 6,931 14,196 5,303 - 19,499	Restricted Funds 2022 £ 3,215 91 3,306 267 - 3,573	Endowment Funds 2022 £ - - - - - -	2022 2021 £ £ 10,480 957 7,022 9,018 17,502 9,975 5,570 6,822 - - 23,072 16,797 Total Funds

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

10. Funds

10(a) Unrestricted Funds

) Unrestricted Funds
General Hall Fabric Music Flower (Trading)	Balance at 1 January	Incoming Resources	Resources Expended	Net	Transfers Balance at 31 December
	84,276 (3,659) 30,000 600 2,850 114,067	219,553 11,018 - 220 5,300 236,091	(209,620) (12,962) (29,501) - (4,711) (256,794)	9,933 (1,944) (29,501) 220 589 (20,703)	(1,544) 92,665 - (5,603) (499) - - 820 (494) 2,945 (2,537) 90,827

For administrative and monitoring purposes the PCC has designated its unrestricted funds into five funds:

The General Fund is used for the day-to-day running expenses of the church activities that cannot be charged to any other fund;
The Hall Fund is used for the day-to-day running expenses of the church hall under the control of the Hall Management committee;
The Fabric Fund was created from unrestricted monies at the end of 2021 as a designated fund to help pay for the repairs identified by the 2020 Quinquennial Survey. This fund has now been spent on the repairs to St Saviour’s fabric.
The Music Fund is a designated fund to be spent on the enhancement of music within the worship of both churches.
The Flower (trading) Fund is a designated fund that accounts for funds raised in the provision and arrangement of church flowers for weddings and funerals. The net income of this fund is used to support the provision of flowers for church services also partly funded by the Flower Pot Fund.

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

10(b) Restricted Funds

) Restricted Funds
Note St Nicholas' St Nicholas' Churchyard Fund Income Total St Nicholas' St Saviour's St Saviour's AV system St Saviour's AV2 system Walker Munro Fund Income Total St Saviour's Youth Worker Total Youth Brockcare General Christmas Lunch Holidays at Home Total Brockcare Charities 4 Flower Pot Music Harding Fund Income Total other restricted funds Total restricted funds	Note	Balance at 1 January	Incoming Resources	Resources Expended	Net	Transfers Balance at 31 December
		83 1,882 1,965 - 7,757 30,530 452 38,739 61 61 (724) 1,046 521 843 679 177 451 4,940 6,247 47,855	745 2,275 3,020 - - 26 444 470 45 45 280 585 930 1,795 3,726 364 - 295 4,385 9,715	(222) (3,677) (3,899) (120) (4,047) (1,679) (1,577) (7,423) (426) (426) (10) (294) (506) (810) (3,824) (1,029) (354) (105) (5,312) (17,870)	523 (1,402) (879) (120) (4,047) (1,653) (1,133) (6,953) (381) (381) 270 291 424 985 (98) (665) (354) 190 (927) (8,155)	- 606 809 1,289 809 1,895 120 - - 3,710 - 28,877 794 113 914 32,700 320 - 320 - - (454) - 1,337 - 945 - 1,828 - 581 494 6 - 97 - 5,130 494 5,814 2,537 42,237

There are a number of restricted funds that account for money donated for specific purposes. In 2022 these funds accounted for income of £9,715 and expenditure of £17,870. These funds include the St Saviour’s AV and AV2 Funds both of which have capitalised assets with total depreciation of £5,726 in 2022.

Specific points regarding each fund are:

St Nicholas’
This accounts for money donated specifically for the maintenance and other running costs of St Nicholas’ church.
Income received in 2022 included a legacy of £700
£222 was spent on maintenance costs.
St Nicholas Churchyard Income
This fund accounts for the investment income received from the St Nicholas Churchyard endowment fund. This income may be spent on the maintenance of the churchyard and any surplus on the maintenance of St Nicholas’ church.
Expenditure included
- £1,440 spent on the handrail leading to St Nicholas’ church
- £2,028 on tree work
St Saviours
This fund accounts for money donated specifically for the maintenance and other running costs of St Saviour’s church.
St Saviour’s AV System

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

This fund accounts for the appeal income raised in 2018 to pay for the installation of a new sound system in St Saviour’s church.
The cost of the sound system was capitalised and this fund now accounts for the depreciation of the sound system over a five year period.
The 2022 expenditure of £4,047 is the cost of depreciation for 2022.
The system will be fully depreciated in 2023
St Saviour’s AV2 system
This fund accounts for the appeal income raised in 2021 to pay for the installation of cameras, projectors and projection screens. This raised a total of £30,531 in 2021 which was reported as income to the AV fund in the 2021 accounts.
The cost of the camera and projector installation was £20,144 which has been capitalised
The 2022 expenditure of £1,679 is the cost of depreciation for 2022
Walker Munro Income
This fund accounts for the investment income received from the Walker Munro endowment fund.
The exact purpose of this fund is unclear as no formal documentation can be found. The PCC have therefore decided that this fund can be used to support the costs of St Saviour’s church the construction of which was paid for by the Walker Munro family of Rhinefield House.
Money from the fund was used as part payment for the repairs to St Saviour’s church recommended in the 2020 Quinquennial Survey.
Brockcare General
This fund accounts for the general costs of running the Brockcare activities. Brockcare activities such as Holiday at Home attract grant income which is difficult to allocate to general costs. Consequently, the general fund is overspent while more specific funds are in surplus. However, the Brockcare funds have a combined closing value of £1,828
Christmas Lunch
This fund accounts for the income and expenditure associated with providing the Christmas lunch.
The total income of £585 comprises charges made for the lunch and donations.
Income exceeded expenditure resulting in a small surplus of £291
Holidays at Home
This fund accounts for the income and expenditure for the annual Holidays at Home
Income, including a grant of £150 from the Groome Trust exceeded expenditure by £424
Charities
Any collection (such as those at Easter, harvest and Christmas) or other fund raising activity on behalf of other charities is treated as a restricted fund. Details of the charities supported in this way are detailed in note 4 under the restricted funds heading.
In total, £3,726 was raised for charities.
Payments of £3,824 included some receipts left over from previous years.
Music
The music fund was established to support the musical activities of both churches in the parish (St Saviour’s and St Nicholas’). It is intended that this fund will be run down.
Money from the fund was used in 2022 to pay for:
- Leader’s expenses for choir rehearsals
- Maintenance of St Nicholas’ Church organ
Harding Income
This accounts for investment income received from the Harding Investment Fund used to maintain the Harding grave in St Nicholas’ churchyard

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

10 (c) Endowment Funds

Note St Nicholas' Churchyard Walker Munro Harding	Balance at 1 January 57,243 14,811 9,834 81,888	Incoming Resources - - - -	Resources Expended - - - -	Investment Gains (7,702) (1,993) (1,323) (11,018)	Transfers Balance at 31 December - 49,541 - 12,818 - 8,511 - 70,870

The Endowment Funds comprise

The St Nicholas Churchyard Fund which was established by a gift of £15,000. The investment income from the fund can be used for the maintenance of the St Nicholas Churchyard and also for maintenance of St Nicholas church;
The purpose of this fund is unclear and the PCC have resolved that the investment income from the Walker Munro Fund can be used for the maintenance of St Saviours church;
The Harding fund was established by a gift of £2,000 from Miss Harding to maintain her parents grave and to be used for other ecclesiastical purposes. The capital was left in trust to the Vicar and Church Wardens in 1976 for 79 years after which the capital becomes the property of the PCC.

11. Fixed Assets

Cost or valuation At beginning of the year Additions at cost At end of the year Depreciation At beginning of the year Charge for the year At end of the year Net book value At beginning of the year At end of the year	St S AV1 St S AV2 Total £ £ £ 20,117 - 20,117 - 20,144 20,144
	20,117 20,144 40,261
	12,362 - 12,362 4,047 1,679 5,726
	16,409 1,679 18,088
	7,755 - 7,755 3,708 18,465 22,173

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Brockenhurst Parochial Church Council – Annual Report for the year ended 31 December 2022

12. Retirement and Post-Employment Benefits

Brockenhurst PCC participates in the Pension Builder Scheme section of CWPF for lay staff. CWPF is administered by the Church of England Pensions Board, which holds the CWPF assets separately from those of the Employer and other participating employers.

CWPF has two sections:

the Defined Benefits Scheme
the Pension Builder Scheme, which has two subsections;
a. a deferred annuity section known as Pension Builder Classic, and,
b. a cash balance section known as Pension Builder 2014.

Pension Builder Scheme

Both sections of the Pension Builder Scheme are classed as defined benefit schemes.

Pension Builder Classic provides a pension, accumulated from contributions paid and converted into a deferred annuity during employment based on terms set and reviewed by the Church of England Pensions Board from time to time. Discretionary increases may also be added, depending on investment returns and other factors.

Pension Builder 2014 is a cash balance scheme that provides a lump sum which members use to provide benefits at retirement. Pension contributions are recorded in an account for each member. Discretionary bonuses may be added before retirement, depending on investment returns and other factors. The account, plus any bonuses declared is payable, unreduced, from age 65.

There is no sub-division of assets between employers in each section of the Pension Builder Scheme.

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 Pension Builder 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 the contributions payable (2022: £925, 2021: £116).

A valuation of the Pension Builder Scheme is carried out once every three years. The most recent valuation was carried out as at 31 December 2019. The next valuation is due as at 31 December 2022.

For the Pension Builder Classic section, the valuation revealed a deficit of £4.8m on the ongoing assumptions used. At the most recent annual review, the Board chose to grant a discretionary bonus of 10.1% following improvements in the funding position over 2022. There is no requirement for deficit payments at the current time.

For the Pension Builder 2014 section, the valuation revealed a surplus of £5.5m on the ongoing assumptions used. There is no requirement for deficit payments at the current time.

The legal structure of the scheme is such that if another employer fails, Brockenhurst PCC could become responsible for paying a share of the failed employer’s pension liabilities.

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