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← New Malden Baptist Church

2023-12-31-accounts

Charity registration number 1132559

NEW MALDEN BAPTIST CHURCH

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

NEW MALDEN BAPTIST CHURCH

LEGAL AND ADMINISTRATIVE INFORMATION

The managing trustees

The managing trustees of the church comprise the ministers, lay elders and deacons. Elders and deacons are selected based on scriptural qualifications presented to members at the Church Meetings prior to the vote on them being appointed. Trustee responsibilities are outlined in the Baptists Together Guideline Leaflet C15: Help I’m a Charity Trustee. Handover advice and materials are given by previous holders of the role although learning on the job is an essential part as well The managing trustees of New Malden Baptist Church during 2023 and to the date of approval of the accounts were as follows:

Elders: Johnny Pozzo Minister (resigned 31st January 2023) Andy Fuller Associate Minister Simon Bramwell Associate Minister Colin Mumford Lay Elder Jung Reggio Minister in training Other trustees: Steven Barr (appointed 1st January 2024) Claire Caldwell Ian Fifield (Treasurer) Keren Holding Derek Macallan Anne Miller (Secretary) Philip Moat Emma Parker (appointed 1st January 2024) Andrew Stewart Rajan Thevasagayam

Having served as Senior Pastor since 2008, Johnny Pozzo finished his time with NMBC at the end of January 2023. The church is extremely grateful to both him and his wife Kate for all their years of faithful and loving service. The church held a special “farewell” service and lunch to give thanks for their ministry and wishes them all the best in their new roles in the north-east of England, where Johnny is serving as a Regional Minister for the Northern Baptist Association.

Simon Bramwell, Associate Pastor, completed his mid-term review and the second year of his three year “Newly Accredited Minister” (NAM) period in 2023. He is due to complete his time as a NAM in summer 2024.

Jung Reggio successfully completed her ministerial studies at Spurgeon’s College and her placement as Minister in Training in the summer of 2023. In September 2023 she was ordained as a (Baptist) Minister of the Gospel and inducted into her agreed role as an Evangelist, working across both NMBC and MMCC. The church’s initial commitment is for the “academic year” 2023-2024, a period which corresponds to the first year of Jung’s NAM studies. A decision as to whether this can be extended for a further two years will be taken in the first half of 2024.

Principal address Church Office 1a Westbury Road
New Malden
Surrey
KT3 5BE
Auditors Jacob Cavenagh & Skeet
5 Robin Hood Lane
Sutton
Surrey
SM1 2SW
Bankers Barclays Bank plc, Kingston Branch
Solicitors Anthony Collins, 134 Edmund Street, Birmingham, B3 2ES

NEW MALDEN BAPTIST CHURCH

CONTENTS

Page
Church Leaders' report 1 - 4
Independent auditor's report 5 - 7
Statement of financial activities 8
Balance sheet 9
Notes to the financial statements 10 - 19

NEW MALDEN BAPTIST CHURCH

CHURCH LEADERS' REPORT FOR THE YEAR ENDED 31 DECEMBER 2023

The Church Leaders present their report and financial statements for the year ended 31 December 2023.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Church's Constitution, the Charities Act 2011 and "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) (effective 1 January 2019)".

Objectives and activities

The Church's objects are the advancement of the Christian faith. The vision for the church is to 'love God and live generously'.

The Church Leaders have paid due regard to guidance issued by the Charity Commission on public benefit in deciding what activities the Church should undertake.

Achievements and performance

Programme

NMBC encourages regular attenders to belong to a small group. These groups meet regularly in people's homes for prayer and Bible study and provide an environment where people can make friends and support one another.

The children’s and young people’s work includes a range of activities aimed at encouraging personal, social and spiritual development.

These include:

Our Parent & Toddler/Babies group (Tadpoles) meets on Friday mornings. A Foodbank runs every Thursday morning. On Tuesday afternoons, we open the church to the community by hosting a “Warm Welcome Spaces” drop-in café.

Events

NMBC started the year in January with a week of Prayer covering different aspects of church life and mission.

Three baptisms took place during the course of 2023, including one young person and one international lady.

The church was pleased to welcome a number of new people into membership, including some from the international community – a reflection of the growing international diversity and participation within the church.

An Alpha Course took place during the autumn term of 2023, with the exciting development of a bi-lingual (Cantonese) stream. Strong relationships have developed as a result of this and further similar initiative and events are planned for the future.

NEW MALDEN BAPTIST CHURCH

CHURCH LEADERS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

Outreach

Malden Manor Community Church meets weekly for Sunday gatherings in a local school building. On one Sunday a month these are based around a community meal to which local people are invited. In addition, MMCC holds a weekly midweek gathering for prayer, worship and communion, sometimes around a meal. The leadership team meets weekly for planning and prayer. Jung Reggio, the church evangelist, leads outreach on the streets of Malden Manor weekly, involving and training other church members. The vacant retail outlet in the local station which has been refurbished into a community hub has been used for a fortnightly craft group and a weekly men’s walking group run by church members and is also available for local people/groups to use for community benefit. The weekly ‘FoodShare’ distribution of unsold food to local people in need in collaboration with the Malden Manor Co-op has continued for another year. An Alpha Course was run in the Spring, with participants followed up and encouraged into church life. A community volunteering event coinciding with the King’s Coronation brought together a large number of local people working to improve the Hogsmill Nature Trail. Occasional separate women’s and men’s events have served to encourage faith in everyday life. Christmas outreach events in the local area and coffee shop were much appreciated, and the Community Carol Service involved many local people, including a local community choir and local councillors.

Outreach (continued)

NMBC cooperates with other churches and organisations in Kingston through churches together meetings and on community projects such as Warm Welcome Spaces. NMBC joined with Insight, the local schools work Trust, to put on productions at Christmas and Easter: 'The Christmas Journey' in December for Y2 children and Easter Experience for Y6 children.

NMBC is a site for the Kingston Food Bank initiative on Thursdays; it is based at other local churches on other days of the week: Kingston URC, Surbiton New Life Baptist Church and Kings Centre, Chessington, and NMBC members are joined by members from a local Anglican church to serve those coming.

Each year NMBC is a collection point for the shoebox appeal run by Operation Christmas Child and collects around 60 boxes for children in poverty.

Mission

We provide practical and financial support for groups working in the UK and overseas to meet spiritual and material needs.

The church maintains links with churches in other parts of the UK and with Mission Partners working in a variety of overseas' ministries. We contribute to BMS World Mission. Giving to Home Mission ceased.

NMBC also supports more local charitable organisations:-

NEW MALDEN BAPTIST CHURCH

CHURCH LEADERS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

Buildings

The fire alarms and extinguishers were inspected during the year. Some fire strips in the hall doors were replaced.

Heating repairs were carried out during the year as was the annual maintenance. A refrigerant gas cert was issued. Major repairs were carried out in mid-2023 to the heating control cabinet. This entailed replacement of the main control unit and some rewiring of the cabinet due to changes in technology to the new control unit.

Gas certification for the kitchen was issued and the cooker was serviced.

Also, in 2023 an inspection of the fixed wiring in the building was carried out as is required every five years. No major problems were found. There were some minor issues that required attention.

The lightning conductors on the building were also tested and found to be compliant.

Some repairs to the flat roof were carried out during the year. A number of general repairs were also carried out within the church building.

PAT testing of small appliances continues to be performed. The door entry system was repaired.

We have undertaken significant work at the church manse following the departure of our Senior Pastor. This is being let while we seek to appoint a new Senior Pastor.

Financial review

General Fund

The budget for 2023 aimed to break even. The net result was a £21k surplus mainly due to a few one-off gifts that were received late in the year and income that was got from renting out the manse from June. However, our Gift Aid recovery is down because a number of key individuals who we could claim for have moved away.

Expenditure for the year was above budget. This was mainly due to church maintenance projects and the refurbishment of the manse. Due to circumstances at the time Johnny (our senior pastor) stayed on until the end of January instead of leaving in December, as originally intended. Evangelistic events and Fellowship costs increased with greater activity. A cost saving occurred because MAG did not increase any donations from the previous year and some dropped out.

Other Funds

Other Restricted Fund income during the year comprised designated gifts that were and will be passed on to the intended recipients during 2023 or early in 2024.

The Fellowship Fund continued to provide a facility whereby gifts from individuals in the fellowship could be passed on to those suffering financial hardship.

Reserves

At the year end the church had total reserves of £4,661,558 of which £18,963 are restricted with no designated. The majority of the remaining reserves are held in fixed assets. The church’s policy is to hold sufficient reserves to cover the cost of any redundancy reserves in accordance with Baptist Union advice against the eventuality of a sudden and significant drop in the church’s income which could result in the need to make redundancy payments to staff.

Fundraising

The church engaged in fundraising, in the form of receiving free-will offerings/donations, some of which were giftaided, from members of our fellowship. However, we did not contract the service of any professional fundraisers as defined by section 58 of the Charities Act 1992. Other than publicly inviting an offering at every service, we do not engage in persistent fundraising or intrusive fundraising practices with any of our donors, including vulnerable people, and we never have private or coercive discussions with individuals about their giving. Our fundraising practices are ethical and in accordance with Biblical principles. No complaints were received about our fundraising practices.

NEW MALDEN BAPTIST CHURCH

CHURCH LEADERS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

Risk Management

The Church Leaders has assessed the major risks to which the Church is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

The worst case scenario is that we have some sizeable deficits for a year or two (before we can take longer-term corrective action), and whilst this would be very stressful to manage (especially in terms of cashflow), even this wouldn’t threaten the underlying financial viability of the church, given our strong balance sheet.

Structure, governance and management

The Church is governed by its constitution approved in 2009 and amended in January 2022. It is a registered charity number 1132559 and its principal place of operations is: The Church Office, 1a Westbury Road, New Malden, Surrey KT3 5BE. The Baptist Union Corporation are the custodian trustee for the land on which the church building is situated. Robert Bishop, Colin Mumford, Anthony Wilson, Huw Daniel, Alan Duncan, Martin Maggs and Elizabeth Wynyard are the custodian trustees for the manse. Of those trustees, Colin Mumford served as a managing trustee during the period.

Statement of Church Leaders' responsibilities

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

The law applicable to charities in England and Wales requires the Church Leaders to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Church and of the incoming resources and application of resources of the Church for that year.

In preparing these financial statements, the Church Leaders are required to:

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

The Church Leaders' report was approved by the Board of Church Leaders.

..............................

Rev S Bramwell

Dated: .........................

NEW MALDEN BAPTIST CHURCH

INDEPENDENT AUDITOR'S REPORT

TO THE CHURCH LEADERS OF NEW MALDEN BAPTIST CHURCH

Opinion

We have audited the financial statements of New Malden Baptist Church (the ‘Church’) for the year ended 31 December 2023 which comprise the statement of financial activities, the balance sheet and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the Church in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Church Leaders' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Church’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Church Leaders with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The Church Leaders are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

NEW MALDEN BAPTIST CHURCH

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE CHURCH LEADERS OF NEW MALDEN BAPTIST CHURCH

Responsibilities of Church Leaders

As explained more fully in the statement of Church Leaders' responsibilities, the Church Leaders are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Church Leaders determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Church Leaders are responsible for assessing the Church’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Church Leaders either intend to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Based on our understanding of the charity, we identified that the principal risks of non-compliance with laws and regulations related to financial reporting and employment legislation and we considered the extent to which noncompliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities Act 2011.

We determined that the principal risks were related to management bias in accounting estimates, presentation of separately disclosed items and management override of controls.

In response to the risks identified we designed procedures which included, but were not limited to challenging significant accounting estimates, agreeing financial statement disclosures to underlying supporting documentation, identifying and testing journal entries, reviewing trustee meeting minutes and evaluating the charity’ internal controls.

There are inherent limitations in the audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

NEW MALDEN BAPTIST CHURCH

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE CHURCH LEADERS OF NEW MALDEN BAPTIST CHURCH

Use of our report

This report is made solely to the company’s members, as a body, in accordance with section 391 of the Companies Act 2014. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Jacob Cavenagh & Skeet ......................... Chartered Accountants Statutory Auditor 5 Robin Hood Lane Sutton Surrey SM1 2SW

Jacob Cavenagh & Skeet is eligible for appointment as auditor of the Church by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

NEW MALDEN BAPTIST CHURCH

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2023

Unrestricted
Restricted
funds
funds
2023
2023
Notes
£
£
Income from:
Donations and legacies
225,399
45,411
Charitable activities
19,782
-
Investments
1,339
-
Total income
246,520
45,411
Expenditure on:
Charitable activities
2
224,969
49,649
Reduction in pension
provision
-
-
Total expenditure
224,969
49,649
Net income/(expenditure) for
the year/
Net movement in funds
21,551
(4,238)
Reconciliation of funds
Fund balances at 1
January 2023
4,621,044
23,201
Fund balances at 31
December 2023
4,642,595
18,963		 Total
Unrestricted
funds
2023
2022
£
£
270,810
216,870
19,782
18,917
1,339
437
291,931
236,224
274,618
222,677
-
(33,259)
274,618
189,418
17,313
46,806
4,644,245
4,574,238
4,661,558
4,621,044		 Restricted
funds
2022
£
37,219
-
-
37,219
35,274
-
35,274
1,945
21,256
23,201		 Total
2022
£
254,089
18,917
437
273,443
257,951
(33,259)
224,692
48,751
4,595,494
4,644,245

The statement of financial activities includes all gains and losses recognised in the year.

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

NEW MALDEN BAPTIST CHURCH

BALANCE SHEET

AS AT 31 DECEMBER 2023

Notes
Fixed assets
Tangible assets
7
Current assets
Debtors
8
Cash at bank and in hand
Creditors: amounts falling due within
one year
9
Net current assets
Total assets less current liabilities
The funds of the Church
Restricted income funds
10
Unrestricted funds
11		 2023
£
£
4,539,159
27,990
104,573
132,563
10,164
122,399
4,661,558
18,963
4,642,595
4,661,558		 2022
£
£
4,539,618
27,313
87,363
114,676
10,049
104,627
4,644,245
23,201
4,621,044
4,644,245		 2022
£
£
4,539,618
27,313
87,363
114,676
10,049
104,627
4,644,245
23,201
4,621,044
4,644,245
4,644,245
23,201
4,621,044
4,644,245

The financial statements were approved by the Church Leaders on .........................

..............................

Mr I Fifield Trustee

NEW MALDEN BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies

Company information

New Malden Baptist Church is a unincorporated association. The church is based at 1a Westbury Road, New Malden, KT3 5BE.

1.1 Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”), “Accounting and Reporting by Charities” the Statement of Recommended Practice for charities applying FRS 102, the Charities Act 2011 and UK Generally Accepted Accounting Practice. The Church is a Public Benefit Entity as defined by FRS 102.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the Church Leaders have a reasonable expectation that the Church has adequate resources to continue in operational existence for the foreseeable future. Thus the Church Leaders continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the Church Leaders in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4 Income

Income is recognised when the Church is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the Church has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the Church has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

1.5 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is discounted to present value for longer term liabilities. All expenditure is accounted for on an accruals basis.

Support costs are included in expenditure on charitable activities.

NEW MALDEN BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies

(Continued)

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:

Fixtures and fittings 25% on cost Computers 25% on cost

Freehold land and property is not depreciated as the residual value is considered to be sufficiently high to render depreciation immaterial.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

1.7 Impairment of fixed assets

At each reporting end date, the Church reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. An impairment loss is recognised immediately in income/ expenditure for the year, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately, unless the relevant asset is carried in at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

NEW MALDEN BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies

(Continued)

1.9 Financial instruments

The Church has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Church's balance sheet when the Church becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

2 Charitable activities

Direct costs
£
Ministry & Pastoral
89,020
Evangelism and youth
7,855
Mission
-
Premises and fabric
77,624
Membership
5,428
179,927		 Grants
£
-
-
47,347
-
-
47,347		 Support
£
31,424
3,980
3,980
3,980
3,980
47,344		 Total
2023
£
120,444
11,835
51,327
81,604
9,408
274,618		 Total
2022
£
145,354
8,475
44,965
41,110
18,047
257,951

NEW MALDEN BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2023

3 Grants payable

Grants to institutions:
Oxygen (Youth Project)
Baptist Missionary Society
RBK Schools CWT
European Christian Mission
Spurgeons College
Agape
Kingston Churches Action on Homelessness
Others
Dnipro Hope Mission
YWAM Family of Ministries
Northumbrian Ltd
British Youth for Christ
Grants to individuals		 2023
£
4,964
9,316
5,714
4,939
775
1,755
900
1,620
3,804
3,000
1,800
1,200
39,787
7,560
47,347		 2022
£
4,964
9,316
5,714
4,939
775
1,755
1,242
3,000
2,153
3,000
1,800
1,200
39,858
1,460
41,318
Support
costs
Governance
costs
£
£
Staff costs
29,768
-
Office stationery and printing
2,945
-
Office costs and sundry expenses
1,526
-
Subscriptions and licence fees
3,760
-
Office telephone
1,601
-
Bank charges
200
-
Audit fees
-
6,691
Legal and professional
-
853
39,800
7,544		 2023
£
29,768
2,945
1,526
3,760
1,601
200
6,691
853
47,344		 2022
£
27,313
2,868
969
3,583
1,533
200
6,389
870
43,725

NEW MALDEN BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

5 Employees

The average monthly number of employees during the year was:

Ministry and pastoral
Administration
Total
Employment costs
Wages and salaries
Social security costs
Other pension costs		 2023
Number
3
2
5
2023
£
92,202
1,640
8,496
102,338		 2022
Number
3
3
6
2022
£
113,576
4,008
10,077
127,661

There were no employees whose annual remuneration was more than £60,000.

Remuneration of key management personnel

The remuneration of key management personnel is as follows.

2023 2022
£ £
Aggregate compensation 67,893 107,700

6 Taxation

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

NEW MALDEN BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

7
Tangible fixed assets
Cost
At 1 January 2023
Additions
At 31 December 2023
Depreciation and impairment
At 1 January 2023
Depreciation charged in the year
At 31 December 2023
Carrying amount
At 31 December 2023
At 31 December 2022
8
Debtors
Amounts falling due within one year:
Other debtors
Prepayments and accrued income
9
Creditors: amounts falling due within one year
Accruals and deferred income		 Freehold
property
Fixtures and
fittings
£
£
4,537,657
40,126
-
-
4,537,657
40,126
-
40,126
-
-
-
40,126
4,537,657
-
4,537,657
-		 Computers
£
32,024
599
32,623
30,063
1,058
31,121
1,502
1,961
2023
£
23,629
4,361
27,990
2023
£
10,164		 Total
£
4,609,807
599
4,610,406
70,189
1,058
71,247
4,539,159
4,539,618
2022
£
23,213
4,100
27,313
2022
£
10,049

NEW MALDEN BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

10 Restricted funds

The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.

At 1 January Income Expenditure At 31
2023 December
2023
£ £ £ £
Lesotho 1,774 - - 1,774
Fellowship 17,173 2,020 (2,648) 16,545
Other - 2,370 (2,370) -
Malden Manor - 37,632 (37,632) -
Malden Manor Fellowship 1,706 - (1,062) 644
Ministry support 2,065 785 (2,850) -
Warm Spaces 483 - (483) -
Ukraine - 2,604 (2,604) -
23,201 45,411 (49,649) 18,963
Previous year: At 1 January Income Expenditure At 31
2022 December
2022
£ £ £ £
Lesotho 1,774 - - 1,774
Fellowship 18,002 988 (1,817) 17,173
Malden Manor - 32,538 (32,538) -
Malden Manor Fellowship 1,480 285 (59) 1,706
Ministry support - 2,925 (860) 2,065
Warm Spaces - 483 - 483
21,256 37,219 (35,274) 23,201

The Lesotho fund is for support of specific projects in Lesotho. The Malden Manor restricted fund shows the income received from offerings taken at Malden Manor. The total cost of this ministry is £46,448 and the difference is supported by the general fund of NMBC. The ministry support fund were gifts received to support the future ministry of Johnny Pozzo.

NEW MALDEN BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

11 Unrestricted funds

The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

At 1 January At 1 January Income Expenditure At 31
2023 December
2023
£ £ £ £
General funds 4,621,044 246,520 (224,969) 4,642,595
Previous year: At 1 January Income Expenditure At 31
2022 December
2022
£ £ £ £
General funds 4,574,238 236,224 (189,418) 4,621,044
Analysis of net assets between funds
Unrestricted Restricted Total
funds funds
2023 2023 2023
£ £ £
Fund balances at 31 December 2023 are represented by:
Tangible assets 4,539,159 - 4,539,159
Current assets/(liabilities) 103,436 18,963 122,399
4,642,595 18,963 4,661,558
Unrestricted Restricted Total
funds funds
2022 2022 2022
£ £ £
Fund balances at 31 December 2022 are represented by:
Tangible assets 4,539,618 - 4,539,618
Current assets/(liabilities) 81,426 23,201 104,627
4,621,044 23,201 4,644,245

12 Analysis of net assets between funds

NEW MALDEN BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

13 Retirement benefit schemes

The Church operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Church in an independently administered fund.

The charge to the statement of financial activities in respect of defined contribution schemes was £9,203 (2022 - £9,140).

Defined benefit schemes

The Church is a participating employer in the Baptist Pension Scheme (“the Scheme”), which is a separate legal entity administered by the Pension Trustee (Baptist Pension Trust Limited). The assets of the Scheme are held separately from those of the Employer and the other participating employers.

The Scheme, previously known as the Baptist Ministers’ Pension Fund, started in 1925, but was closed to future accrual of defined benefits on 31 December 2011. Prior to this date the main benefit provided through the Defined Benefit (DB) Plan was a pension of one eightieth of final minimum pensionable income for each year of pensionable service together with additional pension in respect of premiums paid on Pensionable Income in excess of Minimum Pensionable Income.

From January 2012, pension provision is being made through the Defined Contribution (DC) Plan within the Scheme. In general, members pay 8% of their Pensionable Income and employers pay 6% of members’ Pensionable Income into individual pension accounts, which are operated and managed on behalf of the Pension Trustee by Broadstone Corporate Benefits Ltd. In addition, the employer pays a further 4% of Pensionable Income to cover Death in Service Benefits, administration costs, and an associated insurance policy which provides income protection for Scheme members if they are unable to work due to long-term incapacity. This income protection policy has been insured by the Baptist Union of Great Britain with Aviva Limited.

The Scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102. Because it is not possible to attribute the Scheme’s assets and liabilities to specific employers, the scheme is accounted for as if the Scheme were a defined contribution scheme.

The Ministers are eligible to join the Scheme.

Recovery Plan

In addition to the contributions to the DC Plan set out above, where a valuation of the DB Plan reveals a deficit the Trustee and the Council agree to a rate of deficiency contributions from churches and other employers involved in the DB Plan. On 30th June 2022 the Baptist Pension Scheme signed an agreement with the insurance company Just Group (“Just”) to secure DB Plan members’ pension benefits. Just are now providing financial backing for all pensions provided through the Scheme’s DB Plan and following this transaction, the Scheme no longer has a shortfall. An updated Recovery plan was then signed in August 2022 under which recovery contributions from each participating employer in the DB Plan reduced to £1 per month from August 2022.

NEW MALDEN BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

14 Related party transactions

Transactions with related parties

The pastors are also trustees and received the amounts below in remuneration and pension contributions. These payments are permitted by the terms of the Church's constitution. J Pozzo and A Fuller are also provided with accommodation.

J Pozzo
A Fuller
S Bramwell
J Reggio		 2023
£
3,113
29,825
23,320
15,971
72,229		 2022
£
37,354
27,873
21,780
3,114
90,121

Three of the church leaders were reimbursed for travel and mileage expenses of £484 (2022: £458) during the year. Trustees gave a total of £56,239 (2022:£49,870) in unrestricted donations during the year.