**Charity number: 1132166**
## **THE HOLY INNOCENTS AND ST JOHN**
## **UNAUDITED**
**TRUSTEES' REPORT AND FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 DECEMBER 2021**
## **THE HOLY INNOCENTS AND ST JOHN**
## **CONTENTS**
|||Page|
|---|---|---|
|**Reference and administrative details of the Charity and advisers (followed by PCC**|||
|**report)**|||
|**Independent examiner's report**||1|
|**Statement of financial activities**||2|
|**Balance sheet**||3|
|**Notes to the financial statements**||4 - 20|
|**Charity registered**|||
|**number**|1132166||
|**Principal office**|Paddenswick Road||
||London||
||W6 0UB||
|**Accountants**|Griffin Stone Moscrop & Co||
||Chartered Accountants||
||21-27 Lamb's Conduit Street||
||London||
||WC1N 3GS||
|**Bankers**|The Allied Irish Bank||
||Berkeley Square||
||London||
||W1J 6AA||
||CAF Bank Limited||
||25 Kings Hill Avenue||
||Kings Hill||
||West Malling||
||Kent||
||ME19 4TA||
**THE HOLY INNOCENTS AND ST JOHN PCC Report for the year ended 31 December 2021**
## **PCC members who served during the year:**
Rev David Matthews Rev Paulette Mullings Jane Jales Robyn Gray – Churchwarden _Appointed 21.03.21_ Joe Gordon – Churchwarden _Appointed 21.03.21_ Deborah Wadham _resigned 31.08.21_ Oliver Pearcey Sandra Murray _resigned 3.7.21_ Caroline Gordon – Treasurer Janis Cammell OBE Stephen Farrant _resigned 21.03.21_ Sam Davies Marcia Hill Peter Smith _resigned 1.2.21_ Rhys Jones _resigned 1.2.21_ Jamie Carter - Secretary James Copeman _Appointed 21.03.21_ Claudette Gray _Appointed 21.03.21_ Antony Biggs _Appointed 21.03.21_
## **Trustees’ report**
The Parochial Church Council Father David Matthews continued as the priest of the Parish. He has been the incumbent since 2003. He holds tenure. The Rev Paulette Mullings continues with the Parish as an ordained priest, and shares the responsibility for conducting serves with Father David. Jane Jales continued as a licensed Lay minster, having been first appointed on 15.6.17.
On 1.2.21 Peter Smith and Rhys Jones resigned from the PCC. At the Annual Parochial meeting on 21 March 2021 James Copeman, Claudette Gray and Antony Biggs were all appointed to the PCC; on the same date, Stephen Farrant stood down from the PCC. At the same meeting, Robyn Gray and Joe Gordon were appointed as Churchwardens, with Caroline Gordon reappointed as Treasurer and Jamie Carter appointed as Secretary. Deborah Wadham stood down as Churchwarden at this same meeting; they two Churchwarden were subsequently elected unopposed. On 3.7.21 Sandra Murray resigned from the PCC. On 31.8.21 Deborah Wadham resigned from the PCC.
Jane Lawrence continued as Electoral Roll Officer. The Children’s Safeguarding Officer continues to be Louise Wilson. Ella Burns continued as Children’s Champion. As at 31.12.21 the PCC membership comprised: Rev David Matthews, Rev Paulette Mullings, Jane Jales, Robyn Gray, Joe Gordon, Oliver Pearcey, Caroline Gordon, Janis Cammell OBE, Sam Davies, Marcia Hill, Jamie Carter, James Copeman, Claudette Gray and Antony Biggs.
PCC meetings were held on the following dates: 7.3.21; 21.3.21; 16.5.21; 4.7.21; 14.9.21; 30.11.21. All meetings were quorate.
## **The Electoral Roll**
The new Electoral Roll was prepared in 2019. A new roll will not be prepared until 2025. The number of people on the Electoral Roll as at 31 December 2020 was. 315. As at 31 December 2021 there were 315 people on the Roll: 5 were added, 6 were removed. The Electoral Roll remains an important tool for all the Parish’s mission related activities and stewardship. The General Data Protection Regulation 2018 has implications for the administration of the electoral roll.
## **Fabric Report**
The duration of 2021 has been a rollercoaster of a year, for both the church and the congregation. However, since July 4 2020, Holy Innocents has kept the doors open and continued service, with restrictions (no communion to be received by the congregation, no choir or singing, no junior church and no tea/coffee gathering). With 2-metre distancing rule, the congregation take the opportunity to
i
**THE HOLY INNOCENTS AND ST JOHN PCC Report for the year ended 31 December 2021**
gather outside and converse this way, instead of the usual tea and coffee. Even though there have been limited interaction; with the love and warmth of HIC, this has brought new local residents to the church who have now become regular members.
We have since been able to reintroduce after service tea, coffee and cakes, due to the lowering of restrictions, which has brought a lot of life back into the church.
Even though the government guidelines during the course of 2021 weren’t transparent, in the 3[rd] Quarter of 2021 the income has greatly increased compared to 2020, thanks to loyal hirers of the church building.
Still ongoing since the 2018 AGM, consideration of the church fabric has been largely influenced by our expectations of the major refurbishment project. While the longer-term plans are still pending, we have completed necessary scheduled maintenance, unscheduled repairs, and minor works.
The gardens have been maintained by Ciro Ascione.
With great thanks to The Mercers Company and Distinctive living, the lower hall kitchenette has now been refurbished at such an amazing time where restrictions have fallen, and the congregation can now gather in peace and harmony.
Thanks to the money Stella’s Bazaar raised for church renovations, this will contribute to the refurbishment of the church accessible toilet. With great happiness and thanks to Stella & Janis’ hard work and dedication, the restroom will be refurbished and user-friendly at the start of 2022.
**Routine scheduled maintenance and inspections**
||**Date**||**Supplier**||**Description**|
|---|---|---|---|---|---|
||12/04/2021||Hall & Randall
Plumbers||Carried out boiler service & Test.|
||21/04/2021||Hall & Randall||Service on upper Hall Boiler.|
||25/08/2021||Fullers Builders||Gutter Clearing|
||21/10/2021||Independent Heating &
Cooling||Heating service.|
||25/11/2021||Wintle Organs Tuning||Tuning & Adjustments|
||Nov 2021||Ciro Ascione||Memorial Garden: Cleaning down walls, clearing away
bird droppings, weeding, replanting pots, and tidying
ready for Remembrance Sunday service.|
||13/12/2021||City Boiler Repair||Repairs to Wet System Boiler|
## **Unscheduled repairs**
||**Date**||**Supplier**||**Description**|
|---|---|---|---|---|---|
||01/07/2021||Green
Electrical
&
Maintenance Services||To conduct an NICEIC Electrical Installation Condition
Report on existing and all existing circuit.|
||17/08/2021||Magnet & Amanda
(Distinctive Living)||Kitchenette units provided by Magnet in July 2021, and
installed by Distinctive Living in August 2021|
||24/09/2021||Green Electrical &
Maintenance Services||Water heater in kitchen was tripping the electric due to
leakage.|
||16/12/2021||Skyline Roofing||Replaced leaking hoppers with new longer pipes.|
ii
**THE HOLY INNOCENTS AND ST JOHN**
## **PCC Report for the year ended 31 December 2021**
## **Financial Review**
The accounts for Year Ended 31 December 2021 include the Statement of Financial Activities, which shows where income has been generated, and how it has been spent and a Balance Sheet showing our financial position as at 31 December 2021, in terms of assets, monies due and monies owed. The notes to the accounts give more detail on this analysis and also explain the accounting policies used in the accounts.
Although the first quarter saw limited rental income due to COVID-19 Restrictions, by the end of the year rental income was almost back to pre-Covid levels, helped by renting the West Hall and Vestry again.
We received a grant from the Mercers company and received generous donations to the kitchen appeal, which meant we could refurbish the lower hall kitchen and decorate the lower hall.
We fundraised for the renovations fund with a bazaar that raised £823.
Various repairs were carried out, including repairing the hoppers and the boiler.
The gas supplier to the church fell victim to the energy crisis putting us onto a much higher tariff. We are mindful of the rising energy prices next year.
The General Fund continues to have a positive balance which is in line with our reserves policy to have funds on hand to cover emergency situations which may arise.
## **Reserves Policy**
It is the PCC’s aim to maintain a balance on unrestricted free funds (if possible), which equates to approximately three months unrestricted general fund payments, to cover emergency situations that may arise from time to time and to ensure sufficient funds are available to cover salaries and associated staff costs. As at 31 December 2021 the general fund is reporting a cumulative surplus of £178,062, again a big improvement on the previous year (2020 - £141,465). General fund expenditure in 2021 amounted to £129,070. Due to COVID-19 restrictions, this is still significantly less than 2019 when general fund expenditure was £186,926. Looking at 2022, with restrictions lifting, it is estimated that the balance held on the general fund at the balance sheet date would cover 11 months of general fund expenditure, which meets our reserves policy target. The PCC seek to continually improve the financial position through encouraging an increase in giving to the general fund, whilst attempting to reduce the costs of the day to day running of the church buildings.
## **Structure, governance and management**
## **Constitution**
The Parochial Church Council (PCC) is a corporate body established by the Church of England. The PCC operates under the Parochial Church Councils (Powers) Measure 1956.
The Church is a charity registered with the Charity Commission under its full name of The Parochial Church Council of the Ecclesiastical Parish of Holy Innocents and St John, under registration number 1132166.
## **Method of appointment or election of Churchwardens and PCC members**
The method of appointment of Churchwardens and PCC members is set out in the Church Representation Rules.
This report was approved by the PCC, and signed on its behalf by:
## **................................................**
Dated: 13 March 2022
**Rev David Matthews, Incumbent**
iii
**THE HOLY INNOCENTS AND ST JOHN**
## **INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 DECEMBER 2021**
## **Independent examiner's report to the Trustees of The Holy Innocents and St John ('the Charity')**
I report to the charity Trustees on my examination of the accounts of the Charity for the year ended 31 December 2021.
This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the charity's those matters I am required to state to them in an independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity's trustees, as a body, for my work or for this report.
## **Responsibilities and basis of report**
As the Trustees of the Charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').
I report in respect of my examination of the Charity's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent examiner's statement**
Your attention is drawn to the fact that the Charity has prepared the accounts in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.
I understand that this has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
1. accounting records were not kept in respect of the Charity as required by section 130 of the 2011 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than 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.
Signed: Dated: 25 March 2022 Richard Hill FCA
**Griffin Stone Moscrop & Co** Chartered Accountants 21-27 Lamb's Conduit Street London WC1N 3GS
Page 1
**THE HOLY INNOCENTS AND ST JOHN**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2021**
|**Note**
**Income from:**
Donations and legacies
2
Charitable activities
3
Other trading activities
4
Investments
5
**Total income**
**Expenditure on:**
Charitable activities
6
**Total expenditure**
Net gains/(losses) on investments
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
Net movement in funds
**Total funds carried forward**|**Restricted**
**funds**
**2021**
**£**
**10,542**
**-**
**-**
**-**
**10,542**
**5,569**
**5,569**
**992**
**5,965**
**82,937**
**5,965**
**88,902**|**Unrestricted**
**funds**
**2021**
**£**
**66,342**
**74,124**
**2,026**
**23,131**
**165,623**
**129,070**
**129,070**
**5,783**
**42,336**
**1,192,419**
**42,336**
**1,234,755**|**Total**
**funds**
**2021**
**£**
**76,884**
**74,124**
**2,026**
**23,131**
**176,165**
**134,639**
**134,639**
**6,775**
**48,301**
**1,275,356**
**48,301**
**1,323,657**|_Total_
_funds_
_2020_
_£_
_138,380_
_23,697_
_1,234_
_20,477_
_183,788_
_123,884_
_123,884_
_(2,788)_
_57,116_
_1,218,240_
_57,116_
_1,275,356_|
|---|---|---|---|---|
The Statement of financial activities includes all gains and losses recognised in the year.
The notes on pages 4 to 20 form part of these financial statements.
Page 2
**THE HOLY INNOCENTS AND ST JOHN**
## **BALANCE SHEET AS AT 31 DECEMBER 2021**
|**Note**
**Fixed assets**
Tangible assets
10
Investments
12
Investment property
11
**Current assets**
Debtors
13
Cash at bank and in hand
Creditors: amounts falling due within one
year
14
**Net current assets**
**Total assets less current liabilities**
**Net assets excluding pension asset**
**Total net assets**
**Charity funds**
Restricted funds
15
Unrestricted funds
15
**Total funds**|**21,724**
**246,551**
**268,275**
**(19,186)**|**2021**
**£**
**1,909**
**72,659**
**1,000,000**
**1,074,568**
**249,089**
**1,323,657**
**1,323,657**
**1,323,657**
**88,902**
**1,234,755**
**1,323,657**|_75,129_
_159,896_
_235,025_
_(27,429)_|_2020_
_£_
_1,876_
_65,884_
_1,000,000_|
|---|---|---|---|---|
|||||_1,067,760_
_207,596_|
|||||_1,275,356_|
|||||_1,275,356_|
||||||
|||||_1,275,356_|
|||||_82,937_
_1,192,419_|
||||||
|||||_1,275,356_|
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
**Caroline Gordon** Honorary Treasurer Date: 13 March 2022
The notes on pages 4 to 20 form part of these financial statements.
Page 3
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **1. Accounting policies**
## **1.1 Basis of preparation of financial statements**
The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes to these financial statements. The financial statements have been prepared in accordance with 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 (FRS 102)" issued in October 2019, the "Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102)" and the Charities Act 2011.
The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
The Holy Innocents and St John constitutes a public benefit entity as defined by FRS 102.
## **1.2 Income**
All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Collections are recognised when received by or on behalf of the PCC. Planned giving receivable under Gift Aid is also recognised when received. Income tax recoverable on Gift Aid donations is recognised when the underlying income is recognised.
Rental income from the formal letting of church premises is recognised in the statement of financial activities in the accounting period to which the rental pertains. Rental invoices are issued in advance of the rental period and, consequently, rentals invoiced on or before the balance sheet date in respect of future periods are carried within deferred income.
## **1.3 Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity.
Expenditure on charitable activities comprises costs incurred in the church's operations, including support costs and governance costs apportioned to charitable activities..
Grants payable are charged in the year when paid over, or when awarded, if that award creates a binding obligation on the PCC.
All expenditure is inclusive of irrecoverable VAT.
Page 4
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **1. Accounting policies (continued)**
## **1.4 Government grants**
Government grants relating to tangible fixed assets are treated as deferred income and released to the statement of financial activities over the expected useful lives of the assets concerned. Other grants are credited to the statement of financial activities as the related expenditure is incurred.
## **1.5 Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.
## **1.6 Tangible fixed assets and depreciation**
Consecrated and beneficed property is excluded from the accounts by section 10(2)(c) of the Charities Act 2011. No value is placed on movable church furnishings held by the church wardens on special trust for the PCC and which require a faculty for disposal since the PCC considers this to be inalienable property. All expenditure incurred during the year on consecrated or beneficed buildings and movable church furnishings, whether maintenance or improvement, is written off as expenditure in the statement of financial activities.
Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
- Fixtures and fittings 20% reducing balance basis - Office equipment 20% reducing balance basis
## **1.7 Investments**
Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the balance sheet date, unless fair value cannot be measured reliabily in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and shown in the heading ‘Net gains/(losses) on investments’ in the statement of financial activities.
## **1.8 Debtors**
Debtors are recognised at the settlement amount. Prepayments are valued at the amount prepaid.
## **1.9 Cash at bank and in hand**
Cash at bank and in hand includes cash only.
Page 5
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **1. Accounting policies (continued)**
## **1.10 Liabilities and provisions**
Liabilities are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the church anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the statement of financial activities as a finance cost.
## **1.11 Financial instruments**
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments (including debtors and creditors) are initially recognised at transaction value and subsequently measured at their settlement value.The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
## **1.12 Pensions**
The Charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charity to the fund in respect of the year.
## **1.13 Fund accounting**
General funds are unrestricted funds which are available for use at the discretion of the PCC in furtherance of the general objectives of the Church and which have not been designated for other purposes.
Designated funds comprise unrestricted funds that have been set aside by the PCC for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Church for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
Page 6
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **2. Income from donations and legacies**
|Donations
Legacies
Grants
Coronavirus Job Retention Scheme grant
Income tax recoverable on Gift Aid|**Restricted**
**funds**
**2021**
**Unrestricted**
**funds**
**2021**
**£**
**£**
4,012
53,549
-
-
5,597
1,067
-
-
933
11,726
10,542
66,342|**Total**
**funds**
**2021**
**£**
**57,561**
**-**
**6,664**
**-**
**12,659**|
|---|---|---|
|||**76,884**|
A donation in kind was received in respect of time given by a building company to carry out the installation work in relation to the lower hall kitchenette. Within these financial statements no monetary value has been attributed to this donation or equivalent expenditure that it covered on the grounds of it being immaterial within the context of the financial statements as a whole.
|Donations
Legacies
Grants
Government grants
Income tax recoverable on Gift Aid|_Restricted_
_funds_
_2020_
_£_
_-_
_21,995_
_-_
_-_
_-_
_21,995_|_Unrestricted_
_funds_
_2020_
_£_
_69,193_
_24,189_
_1,075_
_6,462_
_15,466_
_116,385_|_Total_
_funds_
_2020_
_£_
_69,193_
_46,184_
_1,075_
_6,462_
_15,466_|
|---|---|---|---|
||||_138,380_|
Page 7
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **3. Income from charitable activities**
|**Unrestricted**
**funds**
**2021**
**£**
Fees from weddings and funerals
2,305
Sundry income
95
Rental of church hall
60,686
Rental income from nursery
10,838
Ground rent
200
74,124
_Unrestricted_
_funds_
_2020_
_£_
Fees from weddings and funerals
_452_
Sundry income
_10_
Rental of church hall
_24,185_
Ground rent
_(950)_
_23,697_|**Total**
**funds**
**2021**
**£**
**2,305**
**95**
**60,686**
**10,838**
**200**
**74,124**
_Total_
_funds_
_2020_
_£_
_452_
_10_
_24,185_
_(950)_
_23,697_|
|---|---|
A credit note of £950 was issued in respect of backdated Ground Rent invoiced in 2019 that was ultimately irrecoverable.
Page 8
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **4. Income from other trading activities: Fundraising Income**
## **Income from fundraising events**
|**Unrestricted**
**funds**
**2021**
**£**
Fundraising events
2,026
_Unrestricted_
_funds_
_2020_
_£_
Fundraising events
_1,234_|**Total**
**funds**
**2021**
**£**
**2,026**|
|---|---|
||_Total_
_funds_
_2020_
_£_
_1,234_|
## **5. Investment income**
|**Unrestricted**
**funds**
**2021**
**£**
Rental income from investment
(net of letting fees)
20,976
Dividends and interest
2,155
23,131
_Unrestricted_
_funds_
_2020_
_£_
Rental income from investment
(net of letting fees)
_20,976_
Dividends and interest - including adjustment for reducing interest on
ground rent invoiced in 2019 but not to be received in full
_(499)_
_20,477_|**Total**
**funds**
**2021**
**£**
**20,976**
**2,155**|
|---|---|
||**23,131**|
||_Total_
_funds_
_2020_
_£_
_20,976_
_(499)_|
||_20,477_|
Page 9
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **6. Analysis of expenditure on charitable activities**
## **Summary by fund type**
|**Restricted**
**funds**
**2021**
**Unrestricted**
**funds**
**2021**
**£**
**£**
Church Activities
5,569
129,070
_Unrestricted_
_funds_
_2020_
_£_
Church Activities
_123,884_
**Summary by expenditure type**
**Depreciation**
**2021**
**Other costs**
**2021**
**£**
**£**
Church Activities
477
134,162
_Staff costs_
_2020_
_Depreciation_
_2020_
_Other costs_
_2020_
_£_
_£_
_£_
Church Activities
_13,375_
_469_
_110,040_|**Total**
**funds**
**2021**
**£**
**134,639**
_Total_
_funds_
_2020_
_£_
_123,884_
**Total**
**funds**
**2021**
**£**
**134,639**
_Total_
_funds_
_2020_
_£_
_123,884_|
|---|---|
Page 10
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **7. Analysis of expenditure by activities**
|Church Activities
Church Activities|**Church**
**activities**
**2021**
**£**
105,820
_Church_
_activities_
_2020_
_£_
_95,778_|**Grant**
**funding of**
**activities**
**2021**
**£**
2,509
_Grant_
_funding of_
_activities_
_2020_
_£_
_3,429_|**Support**
**costs**
**2021**
**£**
26,310
_Support_
_costs_
_2020_
_£_
_24,677_|**Total**
**funds**
**2021**
**£**
**134,639**|
|---|---|---|---|---|
|||||_Total_
_funds_
_2020_
_£_
_123,884_|
## **Analysis of direct costs**
|Depreciation
Diocesan quota
Services
General repairs and maintenance
Insurance
Heat, light and other services|**Church**
**activities**
**2021**
**£**
477
48,000
10,637
28,263
8,278
10,165
105,820|**Total**
**funds**
**2021**
**£**
**477**
**48,000**
**10,637**
**28,263**
**8,278**
**10,165**|
|---|---|---|
|||**105,820**|
Page 11
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **7. Analysis of expenditure by activities (continued)**
## **Analysis of direct costs (continued)**
|Depreciation
Diocesan quota
Services
General repairs and maintenance
Insurance
Heat, light and other services|_Church_
_activities_
_2020_
_£_
_469_
_61,000_
_6,952_
_11,040_
_8,338_
_7,979_
_95,778_|_Total_
_funds_
_2020_
_£_
_469_
_61,000_
_6,952_
_11,040_
_8,338_
_7,979_|
|---|---|---|
|||_95,778_|
## **Analysis of support costs**
|Office expenses
Telephone
Professional fees
Cleaning and gardening
Bank charges
Governance costs|**Support**
**costs for**
**church**
**activities**
**2021**
**£**
1,597
948
10,623
10,210
292
2,640
26,310|**Total**
**funds**
**2021**
**£**
**1,597**
**948**
**10,623**
**10,210**
**292**
**2,640**|
|---|---|---|
|||**26,310**|
Page 12
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **7. Analysis of expenditure by activities (continued)**
## **Analysis of support costs (continued)**
|Staff costs
Office Expenses
Telephone
Professional fees
Cleaning and gardening
Bank charges
Governance costs|_Support_
_costs for_
_church_
_activities_
_2020_
_£_
_13,375_
_1,893_
_716_
_1,419_
_4,628_
_246_
_2,400_
_24,677_|_Total_
_funds_
_2020_
_£_
_13,375_
_1,893_
_716_
_1,419_
_4,628_
_246_
_2,400_|
|---|---|---|
|||_24,677_|
## **8. Analysis of grants**
|Grants paid
Grants paid|**Grants to**
**Institutions**
**2021**
**£**
2,509
_Grants to_
_Institutions_
_2020_
_£_
_3,429_|**Total**
**funds**
**2021**
**£**
**2,509**|
|---|---|---|
|||_Total_
_funds_
_2020_
_£_
_3,429_|
Page 13
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **9. Staff costs**
|**2021**
**£**
Wages and salaries
**-**
Contribution to defined contribution pension schemes
**-**
**-**
The average number of persons employed by the Charity during the year was as follows:
**2021**
**No.**
Management
**-**|_2020_
_£_
_12,986_
_390_|
|---|---|
|||
||_13,376_|
||_2020_
_No._
_1_|
No employee received remuneration amounting to more than £60,000 in either year.
Key management personnel, as defined by FRS 102, consists of the PCC members. No consideration was payable to key management personnel during the year (2020 - the same).
Page 14
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **10. Tangible fixed assets**
|**Cost or valuation**
At 1 January 2021
Additions
At 31 December 2021
**Depreciation**
At 1 January 2021
Charge for the year
At 31 December 2021
**Net book value**
At 31 December 2021
_At 31 December 2020_|**Fixtures and**
**fittings**
**£**
**26,336**
**510**
**26,846**
**24,977**
**374**
**25,351**
**1,495**
_1,358_|**Office**
**equipment**
**£**
**1,537**
**-**
**1,537**
**1,019**
**103**
**1,122**
**415**
_518_|**Total**
**£**
**27,873**
**510**|
|---|---|---|---|
||||**28,383**|
||||**25,996**
**477**|
||||**26,473**|
||||**1,910**|
||||_1,876_|
Page 15
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **11. Investment property**
|**Valuation**
At 1 January 2021
At 31 December 2021|**Freehold**
**investment**
**property**
**£**
**1,000,000**|
|---|---|
||**1,000,000**|
Investment property comprises the freehold land and buildings located at 125 Dalling Road, London W6 which were acquired more than 80 years ago. The historical cost of the property can be reasonably estimated at £5,000, resulting in a revaluation reserve of £695,000 being established in the 2011 financial statements.
The market value at the year end is based on the value estimated by a local surveyor and estate agent. The property is formally valued every few years. The valuation undertaken on 12 February 2015 resulted in an increase in the valuation of £300,000. The most recent valuation, undertaken on 5 March 2019, resulted in no change to the property's value. On this basis, no depreciation is deemed appropriate.
The trustees do not consider the market value of the property as at 31 December 2021 to be materially different from the most recent valuation undertaken, and the carrying value in the financial statements at the balance sheet date remains £1,000,000.
## **12. Fixed asset investments**
|**Cost or valuation**
At 1 January 2021
Revaluations
**At 31 December 2021**
**Net book value**
**At 31 December 2021**
_At 31 December 2020_|**Listed**
**investments**
**£**
**65,884**
**6,775**|
|---|---|
||**72,659**|
||**72,659**|
||_65,884_|
Page 16
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **12. Fixed asset investments (continued)**
All the fixed asset investments are held in the UK.
Listed investments comprise the following:
353.07 COIF Charities Investment Fund income units held within the St John's Choir restricted fund (2020 - the same);
1,174 Prudential plc shares (2020 - the same);
29 Jackson inc shares (2020 - NIL);
1,174 M&G plc shares (2020 - the same); 1,109.093 units of M&G Charifund (2020 - the same); and
1,277.07 CBF Church of England Investment Fund income shares (2020 - the same), which will be held for at least the next 12 months.
With the exception of the Choir fund, where the assets are held within a restricted fund, all investments as at 31 December 2021 are held within general funds. Originally the Prudential shares were a bequest to the church to help fund the redecoration of the chancel. The paintings for the chancel were acquired in 2018, but paid for out of general funds already held in the PCC bank account rather than liquidate the investments. Therefore to reflect this exchange of cash for investments between funds the investments held in the Redecoration of the Chancel Fund were transferred to the general fund at 1 January 2019 at the value of £16,459 (being the market value as at 31 December 2018).
## **13. Debtors**
|**Due within one year**
Other debtors
Prepayments and accrued income|**2021**
**£**
**18,646**
**3,078**
**21,724**|_2020_
_£_
_26,956_
_48,173_|
|---|---|---|
||||
|||_75,129_|
## **14. Creditors: Amounts falling due within one year**
|Trade creditors
Other creditors
Accruals and deferred income|**2021**
**£**
**1,915**
**3,248**
**14,023**
**19,186**|_2020_
_£_
_1,468_
_2,748_
_23,213_|
|---|---|---|
||||
|||_27,429_|
Page 17
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **15. Statement of funds**
## **Statement of funds - current year**
|**Unrestricted funds**
**Designated funds**
St John's Church Hall Fund
Revaluation Reserve - Dalling
Road
Historical cost - Dalling Road
Irene Hayes Bequest
Fire Alarm
**General funds**
General Fund
**Total Unrestricted funds**
**Restricted funds**
Church Fabric Fund
St John's Choir Fund
H Bennett Fund
**Total of funds**|**Balance at 1**
**January**
**2021**
**£**
**41,387**
**995,000**
**5,000**
**8,752**
**815**
**1,050,954**
**141,465**
**1,192,419**
**54,584**
**6,358**
**21,995**
**82,937**
**1,275,356**|**Income**
**£**
**-**
**-**
**-**
**-**
**-**
**-**
**165,623**
**165,623**
**10,542**
**-**
**-**
**10,542**
**176,165**|**Expenditure**
**£**
**-**
**-**
**-**
**-**
**-**
**-**
**(129,070)**
**(129,070)**
**(5,569)**
**-**
**-**
**(5,569)**
**(134,639)**|**Gains/**
**(Losses)**
**£**
**5,739**
**-**
**-**
**-**
**-**
**5,739**
**44**
**5,783**
**-**
**992**
**-**
**992**
**6,775**|**Balance at**
**31**
**December**
**2021**
**£**
**47,126**
**995,000**
**5,000**
**8,752**
**815**|
|---|---|---|---|---|---|
||||||**1,056,693**|
||||||**178,062**|
||||||**1,234,755**|
||||||**59,557**
**7,350**
**21,995**|
||||||**88,902**|
||||||**1,323,657**|
The H Bennett restricted fund has been apportioned by the executor of the estate for the redecoration of the Chancel in memory of Howard Bennett.
Page 18
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **16. Summary of funds**
## **Summary of funds - current year**
|Designated funds
General funds
Restricted funds|**Balance at 1**
**January**
**2021**
**£**
**1,050,954**
**141,465**
**82,937**
**1,275,356**|**Income**
**£**
**-**
**165,623**
**10,542**
**176,165**|**Expenditure**
**£**
**-**
**(129,070)**
**(5,569)**
**(134,639)**|**Gains/**
**(Losses)**
**£**
**5,739**
**44**
**992**
**6,775**|**Balance at**
**31**
**December**
**2021**
**£**
**1,056,693**
**178,062**
**88,902**|
|---|---|---|---|---|---|
||||||**1,323,657**|
Page 19
**THE HOLY INNOCENTS AND ST JOHN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **17. Analysis of net assets between funds**
## **Analysis of net assets between funds - current year**
|Tangible fixed assets
Fixed asset investments
Investment property
Current assets
Creditors due within one year
**Total**|**Restricted**
**funds**
**2021**
**Unrestricted**
**funds**
**2021**
**£**
**£**
-
1,909
-
72,659
-
1,000,000
88,902
179,373
-
(19,186)
88,902
1,234,755|**Total**
**funds**
**2021**
**£**
**1,909**
**72,659**
**1,000,000**
**268,275**
**(19,186)**
**1,323,657**|
|---|---|---|
## **Analysis of net assets between funds - prior year**
|Tangible fixed assets
Fixed asset investments
Investment property
Current assets
Creditors due within one year
**Total**|_Restricted_
_funds_
_2020_
_£_
-
6,358
-
76,579
-
82,937|_Unrestricted_
_funds_
_2020_
_£_
1,876
59,526
1,000,000
158,446
(27,429)
1,192,419|_Total_
_funds_
_2020_
_£_
_1,876_
_65,884_
_1,000,000_
_235,025_
_(27,429)_
_1,275,356_|
|---|---|---|---|
## **18. Related party transactions**
The incumbent and the churchwardens are trustees of The Julia Christina Clarke Endowment Fund and The Julia Christina Clarke Home Fund, both of which are registered charities. The main object of hese charities is to provide for the less advantaged of the parish. At 31 December 2021 the charities held net assets of £36,422 (2020 - £36,420).
During the year total donations of £5,708 (2020 - £9,885) were received from members of the PCC.
During the year, rent totalling £10,488 (2020 - £10,488) was received from Oliver Pearcey, a member of the PCC.
Page 20
**THE HOLY INNOCENTS AND ST JOHN PCC Report for the year ended 31 December 2021**
## **PCC members who served during the year:**
Rev David Matthews Rev Paulette Mullings Jane Jales Robyn Gray – Churchwarden _Appointed 21.03.21_ Joe Gordon – Churchwarden _Appointed 21.03.21_ Deborah Wadham _resigned 31.08.21_ Oliver Pearcey Sandra Murray _resigned 3.7.21_ Caroline Gordon – Treasurer Janis Cammell OBE Stephen Farrant _resigned 21.03.21_ Sam Davies Marcia Hill Peter Smith _resigned 1.2.21_ Rhys Jones _resigned 1.2.21_ Jamie Carter - Secretary James Copeman _Appointed 21.03.21_ Claudette Gray _Appointed 21.03.21_ Antony Biggs _Appointed 21.03.21_
## **Trustees’ report**
The Parochial Church Council Father David Matthews continued as the priest of the Parish. He has been the incumbent since 2003. He holds tenure. The Rev Paulette Mullings continues with the Parish as an ordained priest, and shares the responsibility for conducting serves with Father David. Jane Jales continued as a licensed Lay minster, having been first appointed on 15.6.17.
On 1.2.21 Peter Smith and Rhys Jones resigned from the PCC. At the Annual Parochial meeting on 21 March 2021 James Copeman, Claudette Gray and Antony Biggs were all appointed to the PCC; on the same date, Stephen Farrant stood down from the PCC. At the same meeting, Robyn Gray and Joe Gordon were appointed as Churchwardens, with Caroline Gordon reappointed as Treasurer and Jamie Carter appointed as Secretary. Deborah Wadham stood down as Churchwarden at this same meeting; they two Churchwarden were subsequently elected unopposed. On 3.7.21 Sandra Murray resigned from the PCC. On 31.8.21 Deborah Wadham resigned from the PCC.
Jane Lawrence continued as Electoral Roll Officer. The Children’s Safeguarding Officer continues to be Louise Wilson. Ella Burns continued as Children’s Champion. As at 31.12.21 the PCC membership comprised: Rev David Matthews, Rev Paulette Mullings, Jane Jales, Robyn Gray, Joe Gordon, Oliver Pearcey, Caroline Gordon, Janis Cammell OBE, Sam Davies, Marcia Hill, Jamie Carter, James Copeman, Claudette Gray and Antony Biggs.
PCC meetings were held on the following dates: 7.3.21; 21.3.21; 16.5.21; 4.7.21; 14.9.21; 30.11.21. All meetings were quorate.
## **The Electoral Roll**
The new Electoral Roll was prepared in 2019. A new roll will not be prepared until 2025. The number of people on the Electoral Roll as at 31 December 2020 was. 315. As at 31 December 2021 there were 315 people on the Roll: 5 were added, 6 were removed. The Electoral Roll remains an important tool for all the Parish’s mission related activities and stewardship. The General Data Protection Regulation 2018 has implications for the administration of the electoral roll.
## **Fabric Report**
The duration of 2021 has been a rollercoaster of a year, for both the church and the congregation. However, since July 4 2020, Holy Innocents has kept the doors open and continued service, with restrictions (no communion to be received by the congregation, no choir or singing, no junior church and no tea/coffee gathering). With 2-metre distancing rule, the congregation take the opportunity to
i
**THE HOLY INNOCENTS AND ST JOHN PCC Report for the year ended 31 December 2021**
gather outside and converse this way, instead of the usual tea and coffee. Even though there have been limited interaction; with the love and warmth of HIC, this has brought new local residents to the church who have now become regular members.
We have since been able to reintroduce after service tea, coffee and cakes, due to the lowering of restrictions, which has brought a lot of life back into the church.
Even though the government guidelines during the course of 2021 weren’t transparent, in the 3[rd] Quarter of 2021 the income has greatly increased compared to 2020, thanks to loyal hirers of the church building.
Still ongoing since the 2018 AGM, consideration of the church fabric has been largely influenced by our expectations of the major refurbishment project. While the longer-term plans are still pending, we have completed necessary scheduled maintenance, unscheduled repairs, and minor works.
The gardens have been maintained by Ciro Ascione.
With great thanks to The Mercers Company and Distinctive living, the lower hall kitchenette has now been refurbished at such an amazing time where restrictions have fallen, and the congregation can now gather in peace and harmony.
Thanks to the money Stella’s Bazaar raised for church renovations, this will contribute to the refurbishment of the church accessible toilet. With great happiness and thanks to Stella & Janis’ hard work and dedication, the restroom will be refurbished and user-friendly at the start of 2022.
**Routine scheduled maintenance and inspections**
||**Date**||**Supplier**||**Description**|
|---|---|---|---|---|---|
||12/04/2021||Hall & Randall
Plumbers||Carried out boiler service & Test.|
||21/04/2021||Hall & Randall||Service on upper Hall Boiler.|
||25/08/2021||Fullers Builders||Gutter Clearing|
||21/10/2021||Independent Heating &
Cooling||Heating service.|
||25/11/2021||Wintle Organs Tuning||Tuning & Adjustments|
||Nov 2021||Ciro Ascione||Memorial Garden: Cleaning down walls, clearing away
bird droppings, weeding, replanting pots, and tidying
ready for Remembrance Sunday service.|
||13/12/2021||City Boiler Repair||Repairs to Wet System Boiler|
## **Unscheduled repairs**
||**Date**||**Supplier**||**Description**|
|---|---|---|---|---|---|
||01/07/2021||Green
Electrical
&
Maintenance Services||To conduct an NICEIC Electrical Installation Condition
Report on existing and all existing circuit.|
||17/08/2021||Magnet & Amanda
(Distinctive Living)||Kitchenette units provided by Magnet in July 2021, and
installed by Distinctive Living in August 2021|
||24/09/2021||Green Electrical &
Maintenance Services||Water heater in kitchen was tripping the electric due to
leakage.|
||16/12/2021||Skyline Roofing||Replaced leaking hoppers with new longer pipes.|
ii
**THE HOLY INNOCENTS AND ST JOHN**
## **PCC Report for the year ended 31 December 2021**
## **Financial Review**
The accounts for Year Ended 31 December 2021 include the Statement of Financial Activities, which shows where income has been generated, and how it has been spent and a Balance Sheet showing our financial position as at 31 December 2021, in terms of assets, monies due and monies owed. The notes to the accounts give more detail on this analysis and also explain the accounting policies used in the accounts.
Although the first quarter saw limited rental income due to COVID-19 Restrictions, by the end of the year rental income was almost back to pre-Covid levels, helped by renting the West Hall and Vestry again.
We received a grant from the Mercers company and received generous donations to the kitchen appeal, which meant we could refurbish the lower hall kitchen and decorate the lower hall.
We fundraised for the renovations fund with a bazaar that raised £823.
Various repairs were carried out, including repairing the hoppers and the boiler.
The gas supplier to the church fell victim to the energy crisis putting us onto a much higher tariff. We are mindful of the rising energy prices next year.
The General Fund continues to have a positive balance which is in line with our reserves policy to have funds on hand to cover emergency situations which may arise.
## **Reserves Policy**
It is the PCC’s aim to maintain a balance on unrestricted free funds (if possible), which equates to approximately three months unrestricted general fund payments, to cover emergency situations that may arise from time to time and to ensure sufficient funds are available to cover salaries and associated staff costs. As at 31 December 2021 the general fund is reporting a cumulative surplus of £178,062, again a big improvement on the previous year (2020 - £141,465). General fund expenditure in 2021 amounted to £129,070. Due to COVID-19 restrictions, this is still significantly less than 2019 when general fund expenditure was £186,926. Looking at 2022, with restrictions lifting, it is estimated that the balance held on the general fund at the balance sheet date would cover 11 months of general fund expenditure, which meets our reserves policy target. The PCC seek to continually improve the financial position through encouraging an increase in giving to the general fund, whilst attempting to reduce the costs of the day to day running of the church buildings.
## **Structure, governance and management**
## **Constitution**
The Parochial Church Council (PCC) is a corporate body established by the Church of England. The PCC operates under the Parochial Church Councils (Powers) Measure 1956.
The Church is a charity registered with the Charity Commission under its full name of The Parochial Church Council of the Ecclesiastical Parish of Holy Innocents and St John, under registration number 1132166.
## **Method of appointment or election of Churchwardens and PCC members**
The method of appointment of Churchwardens and PCC members is set out in the Church Representation Rules.
This report was approved by the PCC, and signed on its behalf by:
## **................................................**
Dated: 13 March 2022
**Rev David Matthews, Incumbent**
iii