Charity Commission Report 2020
St Mary Magdalene with St John the Evangelist, Hucknall Annual Report and Financial Statements of the Parochial Church Council
for the year ended 31 December 2020 Charity Commission Registered Number: 1132272
The Parochial Church Council of The Ecclesiastical Parish of Hucknall Torkard (PCC) under the leadership of the PCC and the Parish Wardens, responsible for the Parish Church of St Mary Magdalene and associated Church of St John the Evangelist. The PCC is also responsible for the community halls administered by the individual churches.
In common with all organisations, churches have had to place considerable restriction on all activities. Those activities described below are all expected to begin again gradually during 2021
Objectives and Activities
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To serve the community of Hucknall by providing opportunities and facilities for education, worship, civic events and social activities.
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To promote the wellbeing and growth of groups and individuals within our community through the use of our facilities.
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To provide quiet spaces and places for living worship where people can find time to meet with God.
1 Both churches provide sacred spaces for personal prayer and contemplation. St Mary Magdalene Church on the Market Place in the centre of Hucknall is open and stewarded through most of the week to provide a place of quiet for prayer and contemplation. St John the Evangelist church is open for regular publicised services on Sunday and at other times as advertised or upon request.
2 The churches also provide venues for concerts and other events, continuing the tradition of the church as being a centre for community gathering and celebration.
3 Pastoral support to anyone in need in Hucknall including visiting the sick and bereaved by ordained clergy, lay ministers and members of the congregation.
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4 Teaching about Christianity through sermons, courses and discussion groups.
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5 Leading religious assemblies in all twelve of the Hucknall schools and contributing to the pastoral care and support of the pupils and staff. Due to the pandemic, churches have not been able, during 2020, to
participate in Time Travelling.
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Promotion of Christianity through local events and meetings as well as through the distribution of literature.
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Supporting local and national charities in the UK and overseas. The churches aim to donate some of their income to local, national and international charities after essential running costs have been met.
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Promoting the mission of the Church through the provision of activities for the elderly, parents and toddlers and other groups with special needs, both churches providing space for community groups and social events open to both church and community.
The PCC reviews all decisions in the light of the responsibilities of individual members as charity trustees and of the duty of the organization as a whole to provide public benefit.
Outreach into the local Community
The John Godber Centre linked to St Mary Magdalene provides the main town centre outreach of the Church into the community both by supporting vulnerable groups and by providing a focus for leisure/social activity.
The Centre is a large venue in the heart of Hucknall town centre with several rooms for hire and offers packages for entertainment, décor, catering, refreshments and AV equipment. The Centre organises a number of social community events during the year for fundraising and is open 7 days per week and is well utilised during the evenings and weekends for local life events. The largest space is able to hold up to 200 people with a number of smaller spaces available.
In recent years the Centre has invested in the building and is currently undertaking a five-year refurbishment programme throughout the whole building, to redecorate and refresh all of its rooms and facilities. Sadly, during 2020, this work had to be paused due to the pandemic but will begin again when possible, building on the well-received works completed to date that have greatly enhanced the hall for the people of Hucknall to enjoy.
2020 was one of the most turbulent years in the Centre's history and, along with the many businesses and community groups who use the building, it was an emotionally and financially challenging year. The Centre closed on the 20th March 2020 and reopened at various stages through the pandemic for permitted activities, responding well to the various changes in restrictions continuing in its aim to be a place for the people of
Hucknall to meet and socialise. Wherever possible, the Centre opened for permitted activities, including blood donation sessions, support groups, education and wellbeing activities, during the various lockdowns and restrictions.
Although there is a small core of 7 paid staff (1 Full time, 6 Part time) many of the main activities rely heavily on volunteers drawn in equal part from the Church and the local community. The smaller Community Hall run by the Church of St John the Evangelist provides a similarly important point of church outreach into the community and is managed by volunteers from the church. During 2020, the monthly jumble sale also paused in response to the global pandemic.
The church website informs online visitors of the scope of the church’s activities and mission, and regular enquiries for occasional offices are now received through this channel.
Recruitment and retention of stewards for welcoming and assisting visitors continues to be a challenge but a core volunteer group ensure the church is open most mornings and afternoons, every day except Sundays, when there are worship services and Tuesday when there is a worship service at 10.15 am. In 2020, the churches reopened for worship in August, as coronavirus restrictions were eased.
Relationships with history and heritage experts and societies, established during the restoration project, continue to support the church in its heritage activities. The church continues its membership of promotional tourism and history organisations to promote it as an important small visitor attraction. A programme of events over the coming years still seeks to establish St Mary Magdalene Church as a Heritage Hub within Nottinghamshire. The ongoing success of this venture depends on both the Church and the community working together to plan and run events that strengthen personal relationships and preserve this essential historic building right in the centre of the community.
Building on the success of the 2014/15 restoration project, consideration has been given to the potential for a further project to address the need to redevelop the North Transept of the church, which has been used largely used as a storage area. Consideration is ongoing.
The biggest challenge to St John the Evangelist church continues to be the low numbers of regular worshippers and the financial responsibilities which fall on that low number. With the help of a grant from WREN, 2017 saw the renovation of the community hall kitchen and toilets to improve health and safety as well as be more aesthetically pleasing. A community audit was undertaken to see where the halls might further meet the needs of the local community. It was anticipated that the renovations to the hall would bring in further bookings as well as being an improved facility for church functions and our regular jumble sales. The church is open for services at 9.30 am on Sundays, and continues to host weddings and funerals.
During 2020 the churches were able to open for worship and all activity only very slowly as coronavirus restrictions were lifted. Achievements and performance were very seriously affected during this year.
Achievements and Performance
Opportunities for worship, faith development and pastoral care are continually improving at St John’s. The Church is accessed by local schools on a more regular basis and has been open for prayer once a week. The doors are opened and talks given about the Church’s history as part of the Bus Tours organised by Hucknall Tourism and Regeneration Group, and the Church is also part of the Mining Heritage Trail.. St John’s have hosted concerts, quiz nights, beetle drives, 6 jumble sales, and 2 fairs, for the community and as part of our regular fundraising activities. Other activities included a Water Box and Children’s Society Boxes.
St Mary Magdalene Church was unable to hold its annual Christmas Tree Festival but in its place, held a wreath festival with wreaths festooning the church railings. At Remembrance Sunday, poppies were placed outside the church. It continues to be visited by people from around the world who have an interest in the poet Lord Byron, and his mathematician daughter, Ada Lovelace – regarded as the ‘mother of computing’.
Levels of unemployment continue to be high in Hucknall and the community centres run by the church are well placed for people to meet and find activities that give them transferable skills which might improve their prospects for employment. In a similar way each centre provides an outlet for those taking early retirement who can act as volunteers, which gives a sense of belonging and being valued.
The John Godber Centre appeals to both community and business users for regular and ad-hoc bookings. It is home to over 50 groups and, on average, 1,000 people pass through its doors each week to use the Centre for:
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Community – weddings, parties, theatre, bereavement support, U3A, playgroups
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Business – dance schools, martial arts, weight control groups, children’s groups, fitness classes
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Church – Sunday School, Play and Praise Group, Mothers' Union, Bible Study.
In 2020 due to the pandemic, the Centre was unable to host many celebratory and social events in contrast to usually hosting over 160 celebratory and social events, including birthdays (all age ranges), christenings, funerals, wedding receptions and anniversaries. Only a handful of events took place in the early part of the year. It is also used by the church for social and business meetings, as well as a number of local groups for their events and businesses and county organisations for training, meetings and exhibitions. Improvements and investment to the facilities and building in recent years have helped transform the hall into a premier community resource, true to the original vision of Canon John Godber and the Hucknall Church Community as it was first conceived in 1906 to welcome those who chose the Centre as THE place for Community, THE
place for Celebration, and THE place for Business. This popularity has continued to grow.
Structure, governance and management
The PCC works according to the Parochial Church Council Powers Measure (1956) as amended and Church Representation Rules of the Church of England.
Both churches own a Community Hall which is administered by the PCC. The John Godber Centre, employs a full time manager to oversee the day-to-day operations of the venue, who reports directly to the PCC, with support from an Operating Board - a subgroup of the PCC. . The halls provide education, recreation and leisure facilities for the local community.
Reserves policy
The DCC of St Mary Magdalene has a reserve policy which covers two months running costs of the church and one month of salaries of the John Godber Centre staff for which it is responsible. In addition, the John Godber Centre has its own reserves policy which covers three months running costs. Due to a significant and unrestricted legacy received in 2012 and 2013, St John the Evangelist now has reserves in excess of 12 months’ expenditure. None of our funds is in deficit.
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall Previously known as Parochial Church Council of Hucknall Team Ministry
Annual Report
and Financial Statements of the Parochial Church Council for the year ended 31 December 2020
Clayton & Brewill Statutory Auditors and Chartered Accountants Cawley House 149-155 Canal Street Nottingham
Charity Commission Registered Number: 1132272
Page 1
Independent Examiners Report to the Trustees of
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Independent examiner’s report to the trustees of The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
I report to the charity trustees on my examination of the accounts of the church for the year ended 31 December 2020 which are set out on pages 2 to 12.
Responsibilities and basis of report
As the charity’s trustees you are responsible for the preparation of the accounts in accordance with the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the charity’s accounts carried out under section 145 of the Act and in carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner’s statement
Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the Act. I confirm that I am qualified to undertake the examination because I am a member of the ICAEW, which is one of the listed bodies.
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:
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accounting records were not kept in respect of the charity as required by section 130 of the Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the applicable requirements concerning the form and contents 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 the 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.
Neil South BA FCA Date Clayton & Brewill Statutory Auditors and Chartered Accountants Cawley House 149-155 Canal Street Nottingham NG1 7HR
Page 2
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Statement of Financial Activities
for the year ended 31 December 2020
| Note Income and endowments 2 Donations and legacies 2(a) Other trading activities 2(b) Income from investments 2(c) Other income 2(d) Total income and endowments Expenditure 3 Expenditure on raising funds 3(a) Expended on charitable activities 3(b) Total expenditure Net gains on investments Gains on the revaluation of fixed assets Net income/(expenditure) Transfers between funds Net movement in funds for year Balances brought forward at 1 January 2020 Exiting churche reserves Prior year adjustment Balances carried forward at 31 December 2020 |
Unrestricted Funds £ 55,084 78,547 564 79,058 |
Restricted Funds £ 797 - 205 70 1,072 - - - 353 - 1,425 (12,273) (10,848) 483,249 (8,275) - 464,125 |
Endowment Funds £ - - 1,648 - 1,648 - - - 3,826 - 5,474 (1,648) 3,826 59,924 - - 63,750 |
Revaluation Reserve £ - - - - - - - - - - - - 55,000 55,000 - - 55,000 |
Total Funds Total Funds 2020 2019 £ £ 55,881 78,315 78,547 189,606 2,417 2,534 79,128 21,108 215,973 291,563 1,767 13,197 243,723 381,391 245,491 394,588 11,171 25,758 - - (18,347) (77,267) - - (18,347) (77,267) 797,700 874,967 (27,075) - - - 752,277 797,700 |
|---|---|---|---|---|---|
| 213,253 | |||||
| 1,767 243,723 |
|||||
| 245,491 | |||||
| 6,992 - |
|||||
| (25,246) 13,921 |
|||||
| (11,325) 199,527 (18,800) - |
|||||
| 169,402 | |||||
Page 3
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Balance Sheet at 31 December 2020
| Notes Fixed assets Tangible fixed assets 7 Investment assets 8 Total fixed assets Current assets Stock Debtors 9 Cash at bank and in hand Total current assets Current liabilities 10 Net current assets Net assets Funds Unrestricted 11 Restricted 11 Endowment 11 Revaluation Reserve 11 Total funds |
850 4,999 114,892 120,740 (48,682) |
2020 2019 £ £ 510,000 510,000 170,219 183,255 680,219 693,255 850 9,313 113,171 123,334 (18,889) 72,058 104,445 752,277 797,700 169,402 199,527 464,125 483,249 63,750 59,924 55,000 55,000 752,277 797,700 |
|---|---|---|
Approved by the Parochial Church Council on ................................................
……………………………………………… ……………………………………………… Trustee - Trustee -
The notes on pages 4 to 12 form part of these accounts
Page 4
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements
for the year ended 31 December 2020
1 Accounting Policies
The financial statements have been prepared in accordance with the Church Accounting Regulations 2006 together with the Charities SORP 2019 (FRS 102): ‘Accounting and Reporting by Charities, Statement of Recommended Practice applicable to charities preparing their accounts in accordance with FRS 102 the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)’ , FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (effective October 2019) and the Charities Act 2011.
These financial statements have been prepared in accordance with the provisions of FRS 102 Section 1A Small Entities.
The church constitutes a public benefit entity as defined by FRS 102.
The financial statements have been prepared under the historical cost convention except for the valuation of the land and buildings (included within tangible fixed assets) and investment assets, which are all 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.
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented.
Funds
General funds represent the funds of the Parish Church Council and are available for application on the general purposes of the PCC. These include funds designated for a particular purpose by the PCC.
Restricted funds are those funds that must be spent on restricted purposes. Endowment funds are where the capital must be retained. Details of the funds held are provided in note 9 and 1
The closing fund balances have been agreed for the year ended 31 December 2020.
Page 5
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements (Cont’d)
for the year ended 31 December 2020
Incoming Resources
Voluntary income and capital resources
Collections are recognised when received by or on behalf of the PCC. Planned giving receivable under covenant or gift aid is recognised only when received. Tax recoverable on covenanted or gift aid donations is recognised when the donation is recognised. Grants and legacies to the PCC are accounted for as soon as the PCC is notified of its legal entitlement, the amount due is quantifiable and its ultimate receipt by the PCC is reasonably certain. Funds raised by fetes, garden parties and similar events are accounted for gross. Sales of books and magazines from the church bookstall are accounted for gross.
Other Income
Rental income from the letting of church premises is recognised when the rental is due. Parochial fees due to the PCC for weddings, funerals etc are accounted for on an event by event basis.
Income from Investment
Dividends are accounted for when due and payable, and interest entitlements are accounted for as they accrue. Tax recoverable on such income is recognised in the same accounting year.
Income from legacies
Legacies are recognised only when received.
Income from Grants
Grant income is recognised when received, or rewarded if that reward creates a binding obligation to the PCC
Gains and losses on investments
Realised gains or losses are recognised when investments are sold. Unrealised gains or losses are accounted for on revaluation of investments at 31 December.
Resources expended
Grants
Grants and donations are accounted for when paid over, or when awarded, if that award creates a binding obligation on the PCC.
Activities directly related to the work of the Church
The diocesan parish share is accounted for when due. 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.
.
Page 6
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements (Cont’d)
for the year ended 31 December 2020
Fixed Assets
Consecrated property and movable church furnishings
Consecrated and beneficed property of any kind is excluded from the financial statements by S 96(2) (a) of the Charities Act 2011.
Moveable church furnishing held by the vicar and churchwardens on special trust for the PCC and which require a faculty for disposal are accounted for as inalienable property unless consecrated. All expenditure incurred during the year on consecrated or beneficed buildings, individual items under £2,000 or on repair of movable church furnishings is written off.
Other Land and Buildings
Other land and buildings held on behalf of the PCC for its own purposes is valued at market value. No depreciation is charged against such properties, but any expenditure on maintenance or improvement is written off as incurred.
Other Fixtures, Fittings and Office Equipment
Equipment used within the church premises is depreciated on a straight line basis over its estimated life. Individual items of equipment with a purchase price of £2,000 or less are written off when the asset is acquired.
Investments
Investments are stated at market value at the balance sheet date. The statement of financial activities includes the net gains or losses arising in the revaluation and disposals throughout the year.
Current assets
Amounts owing to the PCC at 31 December in respect of fees, rents or other income are shown as debtors less provision for amounts that they prove uncollectable.
Stock
Stock is valued on a FIFO basis at the lower of cost and net realisable value.
Taxation
The charity is exempt from tax on its charitable activities.
Page 7
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements (Cont’d)
for the year ended 31 December 2020
| 2(a) Donations and legacies Planned giving: Convenants Income tax recoverable on convenants Unconvenanted Collections (open plate) at all services Sundry donations Grants Donations / appeals Total donations and legacies 2(b) Other trading activities Fund raising events Bookstall Memorabilia Church hall lettings etc. Fees Total other trading activities 2(c) Income from investments Dividends and interest Total income from investments 2(d) Other income Other Total other income Total income |
Unrestricted Funds £ 40,610 9,493 94 1,707 2,756 - 424 55,084 11,615 - - 53,486 13,445 78,547 564 564 79,058 79,058 213,253 |
Restricted Funds £ - - - - 797 - - 797 - - - - - - 205 205 70 70 1,072 |
Endowment Funds £ - - - - - - - - - - - - - - 1,648 1,648 - - 1,648 |
Total Funds Total Funds 2020 2019 £ £ 40,610 54,483 9,493 13,102 94 1,726 1,707 3,455 3,553 2,750 - - 424 2,799 55,881 78,315 11,615 45,502 - - - 128 53,486 115,220 13,445 28,756 78,547 189,606 2,417 2,534 2,417 2,534 79,128 21,108 79,128 21,108 215,973 291,563 |
|---|---|---|---|---|
Page 8
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements (Cont’d)
for the year ended 31 December 2020
| 3(a) Expenditure on raising funds Grants overseas Grants home Fundraising and publicity Total expenditure on raising funds 3(b) Expenditure on charitable activities Ministry:Parish share Clergy expenses Assigned fees Church running expenses Church maintenance Training Youth work Giving programme Upkeep of churchyard Church hall running costs Organist Fees Other Administration Depreciation Bank charges and loan interest Independent examination fee Total expenditure on charitable activities Total expenditure |
Unrestricted Funds £ - 1,352 416 1,767 73,608 279 6,838 22,970 8,542 108 46 - 210 117,640 3,025 2,593 4,685 - 93 3,087 243,723 245,491 |
Restricted Funds £ - - - - - - - - - - - - - - - - - - - - - - |
Endowment Funds £ - - - - - - - - - - - - - - - - - - - - - - |
Total Funds 2020 £ - 1,352 416 1,767 73,608 279 6,838 22,970 8,542 108 46 - 210 117,640 3,025 2,593 4,685 - 93 3,087 243,723 245,491 |
Total Funds 2019 £ - 11,496 1,701 |
|---|---|---|---|---|---|
| 13,197 | |||||
| 68,588 816 32,239 35,854 10,970 107 344 - 710 210,941 3,637 4,500 9,388 - 69 3,228 |
|||||
| 381,391 | |||||
| 394,588 | |||||
Page 9 The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements
for the year ended 31 December 2020
4 Trustee remuneration and expenses
No trustee receieved remuneration during the year for work performed at the John Godber Centre (2019: £7,101), and no trustees were paid any expenses during the year (2019: £nil).
5 Staff expenses
| Staff expenses | ||
|---|---|---|
| 2020 | 2019 | |
| Wages and salaries | 78,298 | 92,023 |
| National insurance contributions | 2,741 | - |
| Pension contributions | 1,709 | 928 |
| 82,748 | 92,952 | |
| Average number of staff | 12 |
No employee received total employee benefits of more than £60,000 (2019: none).
6 Accountancy Fees
| Accountancy Fees | ||
|---|---|---|
| 2020 | 2019 | |
| Independent Examination fee | 3,087 | 3,228 |
Page 10
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements
for the year ended 31 December 2020
7 Fixed assets for use by the PCC
| Gross book value At 01/01/20 Additions Disposals Revaluations At 31/12/20 Depreciation At 01/01/20 Charge Eliminated on disposal At 31/12/20 Net book value At 31/12/20 At 31/12/19 |
Freehold land and buildings £ 510,000 - - - 510,000 - - - - 510,000 510,000 |
Other £ 11,835 - - - 11,835 11,835 - - 11,835 - - |
Total £ 521,835 - - - |
| 521,835 | |||
| 11,835 - - |
|||
| 11,835 | |||
| 510,000 | |||
| 510,000 | |||
| £330,000) n market he Godber The trustees arket |
The freehold land and buildings comprise the Godber Memorial Hall (valued at £330,000) and the St John’s Church Hall (valued at £180,000). These are valued at their open market value. A formal valuation was performed on St Johns Hall in January 2013 and The Godber Memorial Hall in January 2019 by Littlewood & Company, Chartered Surveyors. The trustees believe that this valaution is still appropraite and an accurate reflection of the market valuation of the freehold land and buildings as at 31 December 2020.
Page 11
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements
for the year ended 31 December 2020
8 Investments
| Investments | |
|---|---|
| £ | |
| Market value at 1 January 2020 | 179,686 |
| Disposal at carrying value | (20,637) |
| Purchases at cost | - |
| Revaluation gain/(loss) | 11,170 |
| Market value at 31 December 2020 | 170,219 |
| Shares and investment in the CBF's investment fund - historical cost £82,241 | |
| The market value at 31 December 2020 represents investments for: |
| Unrestricted funds Restricted funds Endowment funds |
98,873 7,596 63,750 |
|---|---|
| 170,219 |
| 9 | Debtors | ||
|---|---|---|---|
| 2020 | 2019 | ||
| Trade debtors | 3,262 | 7,217 | |
| Prepayments | 1,737 | 2,097 | |
| 4,999 | 9,313 | ||
| **10 ** | Liabilities | ||
| 2020 | 2019 | ||
| Trade creditors | 2,681 | 4,220 | |
| Parish share | 36,357 | - | |
| Accruals and deferred income | 9,644 | 14,668 | |
| 48,682 | 18,889 |
Page 12
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements
for the year ended 31 December 2020
11 Analysis of net assets by fund
| Fixed assets Fixed asset investments Current assets Current liabilities |
Unrestricted funds £ - 98,873 119,212 (48,682) |
Restricted funds £ 455,000 7,596 1,528 - |
Endowment funds £ - 63,750 - - |
Revaluation Reserve £ 55,000 - - - |
Total funds 2020 510,000 170,219 120,740 (48,682) 752,277 |
Total funds 2019 510,000 183,255 123,334 (18,889) |
|---|---|---|---|---|---|---|
| 169,403 | 464,124 | 63,750 | 55,000 | 797,700 | ||
12 Fund details
The restricted funds comprise the Godber Memorial Hall, St John’s Church Hall, along with various small funds.
The endowment fund comprises of several bequests for specific activities within the church. These are permanent endowments, which require the income to be spent on these specific activities.
The general funds consist of the funds of the various Parish Church Councils. These are available for application on the general purpose of that particular PCC.
13 Related Party Transactions
There were no related party transactions (2019: none).
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall Previously known as Parochial Church Council of Hucknall Team Ministry
Annual Report
and Financial Statements of the Parochial Church Council for the year ended 31 December 2020
Clayton & Brewill Statutory Auditors and Chartered Accountants Cawley House 149-155 Canal Street Nottingham
Charity Commission Registered Number: 1132272
Page 1
Independent Examiners Report to the Trustees of
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Independent examiner’s report to the trustees of The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
I report to the charity trustees on my examination of the accounts of the church for the year ended 31 December 2020 which are set out on pages 2 to 12.
Responsibilities and basis of report
As the charity’s trustees you are responsible for the preparation of the accounts in accordance with the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the charity’s accounts carried out under section 145 of the Act and in carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner’s statement
Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the Act. I confirm that I am qualified to undertake the examination because I am a member of the ICAEW, which is one of the listed bodies.
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:
-
accounting records were not kept in respect of the charity as required by section 130 of the Act; or
-
the accounts do not accord with those records; or
-
the accounts do not comply with the applicable requirements concerning the form and contents 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 the 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.
Neil South BA FCA Date Clayton & Brewill Statutory Auditors and Chartered Accountants Cawley House 149-155 Canal Street Nottingham NG1 7HR
Page 2
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Statement of Financial Activities
for the year ended 31 December 2020
| Note Income and endowments 2 Donations and legacies 2(a) Other trading activities 2(b) Income from investments 2(c) Other income 2(d) Total income and endowments Expenditure 3 Expenditure on raising funds 3(a) Expended on charitable activities 3(b) Total expenditure Net gains on investments Gains on the revaluation of fixed assets Net income/(expenditure) Transfers between funds Net movement in funds for year Balances brought forward at 1 January 2020 Exiting churche reserves Prior year adjustment Balances carried forward at 31 December 2020 |
Unrestricted Funds £ 55,084 78,547 564 79,058 |
Restricted Funds £ 797 - 205 70 1,072 - - - 353 - 1,425 (12,273) (10,848) 483,249 (8,275) - 464,125 |
Endowment Funds £ - - 1,648 - 1,648 - - - 3,826 - 5,474 (1,648) 3,826 59,924 - - 63,750 |
Revaluation Reserve £ - - - - - - - - - - - - 55,000 55,000 - - 55,000 |
Total Funds Total Funds 2020 2019 £ £ 55,881 78,315 78,547 189,606 2,417 2,534 79,128 21,108 215,973 291,563 1,767 13,197 243,723 381,391 245,491 394,588 11,171 25,758 - - (18,347) (77,267) - - (18,347) (77,267) 797,700 874,967 (27,075) - - - 752,277 797,700 |
|---|---|---|---|---|---|
| 213,253 | |||||
| 1,767 243,723 |
|||||
| 245,491 | |||||
| 6,992 - |
|||||
| (25,246) 13,921 |
|||||
| (11,325) 199,527 (18,800) - |
|||||
| 169,402 | |||||
Page 3
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Balance Sheet at 31 December 2020
| Notes Fixed assets Tangible fixed assets 7 Investment assets 8 Total fixed assets Current assets Stock Debtors 9 Cash at bank and in hand Total current assets Current liabilities 10 Net current assets Net assets Funds Unrestricted 11 Restricted 11 Endowment 11 Revaluation Reserve 11 Total funds |
850 4,999 114,892 120,740 (48,682) |
2020 2019 £ £ 510,000 510,000 170,219 183,255 680,219 693,255 850 9,313 113,171 123,334 (18,889) 72,058 104,445 752,277 797,700 169,402 199,527 464,125 483,249 63,750 59,924 55,000 55,000 752,277 797,700 |
|---|---|---|
Approved by the Parochial Church Council on ................................................
……………………………………………… ……………………………………………… Trustee - Trustee -
The notes on pages 4 to 12 form part of these accounts
Page 4
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements
for the year ended 31 December 2020
1 Accounting Policies
The financial statements have been prepared in accordance with the Church Accounting Regulations 2006 together with the Charities SORP 2019 (FRS 102): ‘Accounting and Reporting by Charities, Statement of Recommended Practice applicable to charities preparing their accounts in accordance with FRS 102 the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)’ , FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (effective October 2019) and the Charities Act 2011.
These financial statements have been prepared in accordance with the provisions of FRS 102 Section 1A Small Entities.
The church constitutes a public benefit entity as defined by FRS 102.
The financial statements have been prepared under the historical cost convention except for the valuation of the land and buildings (included within tangible fixed assets) and investment assets, which are all 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.
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented.
Funds
General funds represent the funds of the Parish Church Council and are available for application on the general purposes of the PCC. These include funds designated for a particular purpose by the PCC.
Restricted funds are those funds that must be spent on restricted purposes. Endowment funds are where the capital must be retained. Details of the funds held are provided in note 9 and 1
The closing fund balances have been agreed for the year ended 31 December 2020.
Page 5
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements (Cont’d)
for the year ended 31 December 2020
Incoming Resources
Voluntary income and capital resources
Collections are recognised when received by or on behalf of the PCC. Planned giving receivable under covenant or gift aid is recognised only when received. Tax recoverable on covenanted or gift aid donations is recognised when the donation is recognised. Grants and legacies to the PCC are accounted for as soon as the PCC is notified of its legal entitlement, the amount due is quantifiable and its ultimate receipt by the PCC is reasonably certain. Funds raised by fetes, garden parties and similar events are accounted for gross. Sales of books and magazines from the church bookstall are accounted for gross.
Other Income
Rental income from the letting of church premises is recognised when the rental is due. Parochial fees due to the PCC for weddings, funerals etc are accounted for on an event by event basis.
Income from Investment
Dividends are accounted for when due and payable, and interest entitlements are accounted for as they accrue. Tax recoverable on such income is recognised in the same accounting year.
Income from legacies
Legacies are recognised only when received.
Income from Grants
Grant income is recognised when received, or rewarded if that reward creates a binding obligation to the PCC
Gains and losses on investments
Realised gains or losses are recognised when investments are sold. Unrealised gains or losses are accounted for on revaluation of investments at 31 December.
Resources expended
Grants
Grants and donations are accounted for when paid over, or when awarded, if that award creates a binding obligation on the PCC.
Activities directly related to the work of the Church
The diocesan parish share is accounted for when due. 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.
.
Page 6
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements (Cont’d)
for the year ended 31 December 2020
Fixed Assets
Consecrated property and movable church furnishings
Consecrated and beneficed property of any kind is excluded from the financial statements by S 96(2) (a) of the Charities Act 2011.
Moveable church furnishing held by the vicar and churchwardens on special trust for the PCC and which require a faculty for disposal are accounted for as inalienable property unless consecrated. All expenditure incurred during the year on consecrated or beneficed buildings, individual items under £2,000 or on repair of movable church furnishings is written off.
Other Land and Buildings
Other land and buildings held on behalf of the PCC for its own purposes is valued at market value. No depreciation is charged against such properties, but any expenditure on maintenance or improvement is written off as incurred.
Other Fixtures, Fittings and Office Equipment
Equipment used within the church premises is depreciated on a straight line basis over its estimated life. Individual items of equipment with a purchase price of £2,000 or less are written off when the asset is acquired.
Investments
Investments are stated at market value at the balance sheet date. The statement of financial activities includes the net gains or losses arising in the revaluation and disposals throughout the year.
Current assets
Amounts owing to the PCC at 31 December in respect of fees, rents or other income are shown as debtors less provision for amounts that they prove uncollectable.
Stock
Stock is valued on a FIFO basis at the lower of cost and net realisable value.
Taxation
The charity is exempt from tax on its charitable activities.
Page 7
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements (Cont’d)
for the year ended 31 December 2020
| 2(a) Donations and legacies Planned giving: Convenants Income tax recoverable on convenants Unconvenanted Collections (open plate) at all services Sundry donations Grants Donations / appeals Total donations and legacies 2(b) Other trading activities Fund raising events Bookstall Memorabilia Church hall lettings etc. Fees Total other trading activities 2(c) Income from investments Dividends and interest Total income from investments 2(d) Other income Other Total other income Total income |
Unrestricted Funds £ 40,610 9,493 94 1,707 2,756 - 424 55,084 11,615 - - 53,486 13,445 78,547 564 564 79,058 79,058 213,253 |
Restricted Funds £ - - - - 797 - - 797 - - - - - - 205 205 70 70 1,072 |
Endowment Funds £ - - - - - - - - - - - - - - 1,648 1,648 - - 1,648 |
Total Funds Total Funds 2020 2019 £ £ 40,610 54,483 9,493 13,102 94 1,726 1,707 3,455 3,553 2,750 - - 424 2,799 55,881 78,315 11,615 45,502 - - - 128 53,486 115,220 13,445 28,756 78,547 189,606 2,417 2,534 2,417 2,534 79,128 21,108 79,128 21,108 215,973 291,563 |
|---|---|---|---|---|
Page 8
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements (Cont’d)
for the year ended 31 December 2020
| 3(a) Expenditure on raising funds Grants overseas Grants home Fundraising and publicity Total expenditure on raising funds 3(b) Expenditure on charitable activities Ministry:Parish share Clergy expenses Assigned fees Church running expenses Church maintenance Training Youth work Giving programme Upkeep of churchyard Church hall running costs Organist Fees Other Administration Depreciation Bank charges and loan interest Independent examination fee Total expenditure on charitable activities Total expenditure |
Unrestricted Funds £ - 1,352 416 1,767 73,608 279 6,838 22,970 8,542 108 46 - 210 117,640 3,025 2,593 4,685 - 93 3,087 243,723 245,491 |
Restricted Funds £ - - - - - - - - - - - - - - - - - - - - - - |
Endowment Funds £ - - - - - - - - - - - - - - - - - - - - - - |
Total Funds 2020 £ - 1,352 416 1,767 73,608 279 6,838 22,970 8,542 108 46 - 210 117,640 3,025 2,593 4,685 - 93 3,087 243,723 245,491 |
Total Funds 2019 £ - 11,496 1,701 |
|---|---|---|---|---|---|
| 13,197 | |||||
| 68,588 816 32,239 35,854 10,970 107 344 - 710 210,941 3,637 4,500 9,388 - 69 3,228 |
|||||
| 381,391 | |||||
| 394,588 | |||||
Page 9 The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements
for the year ended 31 December 2020
4 Trustee remuneration and expenses
No trustee receieved remuneration during the year for work performed at the John Godber Centre (2019: £7,101), and no trustees were paid any expenses during the year (2019: £nil).
5 Staff expenses
| Staff expenses | ||
|---|---|---|
| 2020 | 2019 | |
| Wages and salaries | 78,298 | 92,023 |
| National insurance contributions | 2,741 | - |
| Pension contributions | 1,709 | 928 |
| 82,748 | 92,952 | |
| Average number of staff | 12 |
No employee received total employee benefits of more than £60,000 (2019: none).
6 Accountancy Fees
| Accountancy Fees | ||
|---|---|---|
| 2020 | 2019 | |
| Independent Examination fee | 3,087 | 3,228 |
Page 10
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements
for the year ended 31 December 2020
7 Fixed assets for use by the PCC
| Gross book value At 01/01/20 Additions Disposals Revaluations At 31/12/20 Depreciation At 01/01/20 Charge Eliminated on disposal At 31/12/20 Net book value At 31/12/20 At 31/12/19 |
Freehold land and buildings £ 510,000 - - - 510,000 - - - - 510,000 510,000 |
Other £ 11,835 - - - 11,835 11,835 - - 11,835 - - |
Total £ 521,835 - - - |
| 521,835 | |||
| 11,835 - - |
|||
| 11,835 | |||
| 510,000 | |||
| 510,000 | |||
| £330,000) n market he Godber The trustees arket |
The freehold land and buildings comprise the Godber Memorial Hall (valued at £330,000) and the St John’s Church Hall (valued at £180,000). These are valued at their open market value. A formal valuation was performed on St Johns Hall in January 2013 and The Godber Memorial Hall in January 2019 by Littlewood & Company, Chartered Surveyors. The trustees believe that this valaution is still appropraite and an accurate reflection of the market valuation of the freehold land and buildings as at 31 December 2020.
Page 11
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements
for the year ended 31 December 2020
8 Investments
| Investments | |
|---|---|
| £ | |
| Market value at 1 January 2020 | 179,686 |
| Disposal at carrying value | (20,637) |
| Purchases at cost | - |
| Revaluation gain/(loss) | 11,170 |
| Market value at 31 December 2020 | 170,219 |
| Shares and investment in the CBF's investment fund - historical cost £82,241 | |
| The market value at 31 December 2020 represents investments for: |
| Unrestricted funds Restricted funds Endowment funds |
98,873 7,596 63,750 |
|---|---|
| 170,219 |
| 9 | Debtors | ||
|---|---|---|---|
| 2020 | 2019 | ||
| Trade debtors | 3,262 | 7,217 | |
| Prepayments | 1,737 | 2,097 | |
| 4,999 | 9,313 | ||
| **10 ** | Liabilities | ||
| 2020 | 2019 | ||
| Trade creditors | 2,681 | 4,220 | |
| Parish share | 36,357 | - | |
| Accruals and deferred income | 9,644 | 14,668 | |
| 48,682 | 18,889 |
Page 12
The Parish of St Mary Magdalene with St John the Evangelist, Hucknall
Notes to the Financial Statements
for the year ended 31 December 2020
11 Analysis of net assets by fund
| Fixed assets Fixed asset investments Current assets Current liabilities |
Unrestricted funds £ - 98,873 119,212 (48,682) |
Restricted funds £ 455,000 7,596 1,528 - |
Endowment funds £ - 63,750 - - |
Revaluation Reserve £ 55,000 - - - |
Total funds 2020 510,000 170,219 120,740 (48,682) 752,277 |
Total funds 2019 510,000 183,255 123,334 (18,889) |
|---|---|---|---|---|---|---|
| 169,403 | 464,124 | 63,750 | 55,000 | 797,700 | ||
12 Fund details
The restricted funds comprise the Godber Memorial Hall, St John’s Church Hall, along with various small funds.
The endowment fund comprises of several bequests for specific activities within the church. These are permanent endowments, which require the income to be spent on these specific activities.
The general funds consist of the funds of the various Parish Church Councils. These are available for application on the general purpose of that particular PCC.
13 Related Party Transactions
There were no related party transactions (2019: none).