**The Parish of 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 2022** **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 2022 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** 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 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 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 Clayton & Brewill Statutory Auditors and Chartered Accountants Cawley House 149-155 Canal Street Nottingham NG1 7HR Date **Page 2** ## **The Parish of St Mary Magdalene with St John the Evangelist, Hucknall** ## **Statement of Financial Activities** ## **for the year ended 31 December 2022** |**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 2022
Exiting church reserves
Removal of investment property
Prior year adjustment
**Balances carried forward at 31 December 2022**|**Unrestricted**
**Funds**
**£**
81,970
162,112
694
10,713|**Restricted**
**Funds**
**£**
3,000
-
219
70
3,289
1,000
-
1,000
1,015
-
-
1,276
12,434
13,710
465,220
-
-
-
478,930|**Endowment**
**Funds**
**£**
-
-
1,765
-
1,765
-
-
-
7,957
-
-
(6,192)
(1,765)
(7,957)
72,239
-
-
-
64,282|**Revaluation**
**Reserve**
**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
55,000
-
-
55,000|**Total Funds**
**Total Funds**
**2022**
**2021**
**£**
**£**
84,970
110,910
162,112
116,382
2,679
2,442
10,783
44,303
260,543
274,037
1,125
-
246,305
227,463
247,430
227,463
11,108
-
23,340
-
-
2,008
69,914
-
-
2,008
69,914
822,191
752,277
-
-
(75,862)
-
-
-
748,337
822,191| |---|---|---|---|---|---| ||255,489||||| ||125
246,305||||| ||246,430||||| ||2,136
-
-||||| ||6,924
(10,669)||||| ||(3,746)
229,732
-
(75,862)||||| ||-
150,125||||| **Page 3** ## **The Parish of St Mary Magdalene with St John the Evangelist, Hucknall** ## **Balance Sheet at 31 December 2022** |**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**|450
8,989
137,416
146,855
(15,107)|**2022**
**2021**
**£**
**£**
510,000
510,000
106,589
193,559
616,589
703,559
850
11,640
122,676
135,166
(16,535)
131,748
118,631
748,337
822,191
150,125
229,732
478,930
465,220
64,282
72,239
55,000
55,000
748,337
822,191| |---|---|---| 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 2022** ## **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 2022. **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 2022** ## **Incoming Resources** ## **Voluntary income and capital resources** 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 2022** ## **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 2022** |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**
**£**
48,822
11,725
-
2,760
10,340
-
8,323
81,970
27,864
-
36
109,236
24,976
162,112
694
694
10,713
10,713
255,489|**Restricted**
**Funds**
**£**
-
-
-
-
3,000
-
-
3,000
-
-
-
-
-
-
219
219
70
70
3,289|**Endowment**
**Funds**
**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
1,765
1,765
-
-
1,765|**Total Funds**
**Total Funds**
**2022**
**2021**
**£**
**£**
48,822
43,839
11,725
12,515
-
-
2,760
2,449
13,340
39,343
-
-
8,323
12,764
84,970
110,910
27,864
11,550
-
-
36
-
109,236
78,731
24,976
26,101
162,112
116,382
2,679
2,442
2,679
2,442
10,783
44,303
10,783
44,303
260,543
274,037| |---|---|---|---|---| **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 2022** |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**
**£**
-
125
-
125
57,000
3,207
9,389
22,895
1,334
239
346
-
492
132,633
6,345
1,686
7,616
-
255
2,868
246,305
246,430|**Restricted**
**Funds**
**£**
1,000
-
-
1,000
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
1,000|**Endowment**
**Funds**
**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-|**Total Funds**
**Total Funds**
**2022**
**2021**
**£**
**£**
1,000
-
125
-
-
-
1,125
-
57,000
18,507
3,207
2,031
9,389
9,829
22,895
17,370
1,334
33,816
239
207
346
127
-
-
492
84
132,633
131,284
6,345
4,664
1,686
179
7,616
6,235
-
-
255
94
2,868
3,036
246,305
227,463
247,430
227,463| |---|---|---|---|---| **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 2022** ## **4 Trustee remuneration and expenses** Two trustees receieved remuneration totalling £10,630 during the year for work performed at the John Godber Centre (2021: £3,410), and no trustees were paid any expenses during the year (2021: £nil). ## **5 Staff expenses** |Wages and salaries
National insurance contributions
Pension contributions
Average number of staff|**2022**
**2021**
98,490
78,609
-
-
1,130
902
99,620
79,511
12 (2021: 10)| |---|---| No employee received total employee benefits of more than £60,000 (2021: none). ## **6 Accountancy Fees** |**Accountancy Fees**||| |---|---|---| ||**2022**|**2021**| |Independent Examination fee|2,868|3,036| **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 2022** ## **7 Fixed assets for use by the PCC** |**Gross book value**
At 01/01/22
Additions
Disposals
Revaluations
At 31/12/22
**Depreciation**
At 01/01/22
Charge
Eliminated on disposal
At 31/12/22
**Net book value**
At 31/12/22
At 31/12/21|**Freehold**
**land and**
**buildings**
**Other**
**Total**
**£**
**£**
**£**
510,000
11,835
521,835
-
-
-
-
-
-
-
-
-
510,000
11,835
521,835
-
11,835
11,835
-
-
-
-
-
-
-
11,835
11,835
510,000
-
510,000
510,000
-
510,000| |---|---| 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 2022. **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 2022** ## **8 Investments** |Market value at 1 January 2022
Disposal at carrying value
Purchases at cost
Removal of investment property
Revaluation gain/(loss)
Market value at 31 December 2022|**£**
193,559
-
-
(75,862)
(11,108)| |---|---| ||106,589| Shares and investment in the CBF's investment fund - historical cost £31,671 The market value at 31 December 2022 represents investments for: |Unrestricted funds
Restricted funds
Endowment funds
**9**
**Debtors**
Trade debtors
Prepayments
**10 Liabilities**
Trade creditors
Parish share
Accruals and deferred income|**2022**
7,709
1,280
5
8,989
**2022**
2,285
-
12,822
15,107|34,630
7,677
64,282| |---|---|---| |||106,589| |||| |||**2021**
10,658
982
5| |||11,640| |||| |||**2021**
2,681
36,357
9,644| |||48,682| **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 2022** ## **11 Analysis of net assets by fund** |Fixed assets
Fixed asset investments
Current assets
Current liabilities|**Unrestricted**
**funds**
**Restricted**
**funds**
**Endowment**
**funds**
**Revaluation**
**Reserve**
**2022**
**2021**
**£**
**£**
**£**
**£**
-
455,000
-
55,000
510,000
510,000
34,630
7,677
64,282
-
106,589
193,559
130,602
16,253
-
-
146,855
135,167
(15,107)
-
-
-
(15,107)
(16,535)
150,125
478,930
64,282
55,000
748,337
822,191| |---|---| ## **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 Parish Church Council. These are available for application on the general purpose of the PCC. ## **13 Related Party Transactions** There were no related party transactions (2021: none).