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2021-08-31-accounts

4h SD

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH

(REGISTERED CHARITY No 1132676)

TRUSTEES’ REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

Superintendent Minister The Revd Andrew Pottage

Bankers HSBC Bank pic The Peak 333 Vauxhall Bridge Road Victoria London SW1V 1EJ

Professional Financial Support: Adrian C Mansbridge and Company Half Oak House 28 Watford Road Northwood HA6 3NT

Auditors Summers Morgan Chartered Accountants Sheraton House Lower Road Chorleywood WD3 5HH

Circuit Office Lighthouse Centre Queens Walk South Ruislip Middx HA4 ONL

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

TRUSTEES’ REPORT

FOR THE YEAR ENDED 31 AUGUST 2021

The Trustees present their report and accounts for the year ended 31 August 2021. The accounts have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity’s governing document, 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 2015).

The accounts (financial statements) have been prepared to give a “true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a “true and fair view". This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

Governance:

The governing body of the Methodist Church is the Conference which meets once every year. The authority under which the Conference acts is given by the Methodist Church Act 1976.

The Circuit applied and became a registered charity on 12 November 2009 and our registered charity number is 1132676. The Harrow and Hillingdon Circuit is one of the circuits within the London District of the Methodist Church. The Circuit comprises seventeen churches located as shown below:

Much of the day to day work for which the Circuit is responsible is delegated to the Superintendent of the Circuit and Trustees of the Circuit whose names are shown below.

Ministers:

Revd E Roger Dunlop (left 31.8.21) Deacon Claire Gill Revd Lynita Conradie Revd Julie King

Revd Kenneth Kingston Revd Stephen Poole Revd Andrew Pottage — Superintendent Revd David Varcoe

Circuit Stewards

Mr John Chamberlain Mr Freddy Fairclough Mrs Susan Lloyd Mrs Angela Lount

Mr Alan Pannell Mrs Aelwyn Taylor Mr Peter Wells

It must also be noted that the Circuit Stewards, who are volunteers, play a key role in the leadership of The Circuit and are responsible with the ministerial staff for the spiritual, and material well-being of the circuit and for upholding and acting upon the decisions of the circuit meeting. Other volunteers are also responsible for a wide range of other duties which include dealing with issues concerning Local Preachers, Property, Safeguarding, Financial, Human Resources, and Administration.

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

Circuit Meeting Secretary

Mrs Janet Jones

In addition, there are representatives from the individual churches within the Circuit, as stated in the Constitutional Practice and Discipline (CPD) of the Methodist Church.

Trustees

The Trustees other than those named in the previous page, that served during the year were as follows:

Mr Malcolm Aldridge Mr Clive Hollyer Mrs Hilary Jane Porter Mrs Veronica Mary Allan Miss Angela Hook Miss Petrina Raby Mr Michael Allan Prof Chris Hull Ms Priyadarshini Rasanayagam Mrs Bernice Aryee-Addo Revd Dr Jonathan Richard Mr Richard Norman Reid Dr Joy Barrow Hustler (left 31.8.21) Mr David Richards (19.11.20 to 12.4.21) Mr Leslie John Bater Mr Andrew Jones Ms Helen Riley Mrs Susan Colwell Bracey (from § Mrs Janet May Jones Mrs Eileen Runkel (from 25.5.21) 14.9.20) Mrs Lillian Kiboma Ms Helen Jessie Schoon Miss Vivien Mary Buckland Mr Peter David King Mrs Jocelyn Shorter Mr Dennis Frederick Burley Mr Graham John Lee Miss Marian Smith Mr Anthony Criscuolo (from Mr David Milne Mrs Phyliys Janet Stephenson 28.10.20) Mr Brian William van Moere (left Mr Keith Tabor Mr Brian Curry 31.8.21) Mrs Cecilia Thomas Mr Robin David Mrs Heather Susan Morris Mrs Gwyneth Thomas Mrs Dulcinea Davies Miss Tamiwe Musyani Mrs Patricia Walsh Mrs Maureen Diggens Mr Samuel Nortey Mrs Carol York Mrs Janet Fairclough (left 1.5.21) | Miss Sheila Palmer Mr Peter York Mr lan Colin Green (left 31.8.21) | Mrs Jean Margaret Pannell Mrs Maureen Hardy Mrs Hilary Margaret Place Mr Peter Harrison Mr ian Hilliard (from 10.3.21)

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

Nature of Governing Document

We are governed by the Methodist Church’s Constitutional Practice and Discipline and all Charity Law of the United Kingdom. This Circuit is part of the London District of the Methodist Church which is a registered Charity (Registration number 113871).

The Church is governed by the Methodist Church Act 1976, the Deed of Union 1932 and the Model Trusts of the Methodist Church. The purposes of the Methodist Church are and shall be deemed to have been since the date of union the advancement of: (a) the Christian faith in accordance with the doctrinal standards and the discipline of the Methodist Church; (b) any charitable purpose for the time being of any Connexional, District, Circuit, local or other organization of the Methodist Church; (c) any charitable purpose for the time being of any society or institution or subsidiary or ancillary to the Methodist Church; and (d) any purpose for the time being of any charity being a charity subsidiary or ancillary to the Methodist Church. In setting its objectives and planning its activities, the Circuit has given careful consideration to Charity Commission’s general guidance on public benefit and in particular to its supplementary public benefit guidance on advancing our objectives as set out above.

Method to recruit new Trustees

This is undertaken mainly by the local churches from within their membership. All churches are encouraged to send representatives to be Trustees of the Circuit. Ministers, Circuit Stewards and other Circuit Office Holders are also Trustees of the Circuit. From within the Trustees, a Secretary is appointed who is a lay person.

Objectives and Aims

The activities covered in these accounts fall within the work of the Methodist Church. The objectives of the Circuit are directly linked to its aims. They are:

(2) _ to live out the values of the Kingdom;

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021 a e a i r Statement of Trustees’ Responsibilities

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

Law applicable to charities in England and Wales requires the Trustees to prepare accounts for each financial year which give a true and fair view of the charity’s financial activities during the year and of its financial position at the end of the year.

In preparing these accounts, the Trustees are required to:

The Trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the Harrow and Hillingdon Circuit of the Methodist Church and enable them to ensure that the accounts comply with the Standing Orders of the Methodist Church and the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and other relevant regulations. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Public Benefit Requirement

The Trustees had due regard to the guidance published by the Charities Commission in compliance with its duties under section 17 of the Charities Act 2011. This guidance sets out two key principles:

(1) the organisation must have an identifiable benefit; and

As the Church exists to increase awareness of God's presence and to celebrate God's love; help people to learn and grow as Christians, through mutual support and care; and be a good neighbour to people in need and challenge injustice, the Trustees consider that for these reasons the charity meets these public benefit requirements.

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

Objectives, Achievements and Performance

During 2020-21, the Circuit Meeting, or meeting of the managing trustees, was held on three occasions. These were all held online due to the COVID-19 pandemic. The staff and circuit stewards continue to meet regularly both in their own groups and together as the Circuit Leadership Team (CLT). These meeting took place in person when possible and at other times were held virtually via Zoom. It is important to acknowledge the huge commitment of time and energy made by members to continue the work of our Lord’s mission in their locality and across the Circuit. The Circuit Resources Network with its membership made up of Ministers, Circuit Stewards and other members with specialist knowledge met regularly, in person and virtually, to address issues relating to finance, property and human resources. In addition, the Church Treasurers met twice to discuss financial matters which was particularly important this year given the challenges faced.

The following paragraphs give a flavour of the work carried out during the year and the activities conducted under the guidance of the Church. Due to the coronavirus the mission of the circuit has been impeded and various projects and activities have either ceased for the time being or moved online.

In September 2020, we welcomed the Reverend Julie King, as a probation presbyter to serve the churches of North and South Harrow and be a part of the chaplaincy team at Heathrow Airport. The Revd Ken Kingston continues his ministry in the circuit after his ordination service at the Methodist Conference 2021. After Easter 2020, a consultation was held regarding the re-invitation of Deacon Claire Gill, feedback was received, and this was duly sent to the September Circuit Meeting of 2021. The same process took place for the Reverend Steve Poole although Steve, initially informed the circuit he was to enter stationing, due to further guidance from the Holy Spirit and for personal reasons, this was later changed after seeking advice from the District Chair. In July 2021, the Circuit said goodbye to the Reverend Roger Dunlop after a 9-year ministry in the circuit. Both Reverend David Varcoe and Deacon Claire Gill took sabbaticals during the course of the year.

The ministerial staff's annual residential to Missenden Abbey, was cancelled due to the pandemic, but they met weekly via zoom to help support one another.

Likewise, the service to admit Philip Woods as a Local Preacher following his successful completion of his training in March 2020, continued to be postponed due to the Covid-19 restrictions.

The Circuit Mission Strategy has continued albeit in a curtailed way due to the cancellation or postponement of many church activities due to the pandemic. Each church has been continuing with its church mission action plans. At the March meeting of the treasurers, it was suggested that the issues of maintenance, finances and the general administrative burden on churches was becoming too great. Also, the recruitment of volunteers was becoming a problem in almost every church. It was suggested that the circuit become more active in suggestions of how to meet these challenges. These sentiments were also echoed in other quarters. An initial survey of the circuit churches found that whilst the circuit had very good resources some of the churches were not so fortunate. Therefore, it was decided other models of ministry and mission should be explored. Two roadmaps were presented and discussed at the June Circuit Meeting and after various conversations at the Circuit Strategy Group, and the CLT, it was decided to hold a series of open meetings in the autumn to canvass people's opinions on the current issues, hopes and dreams they had as well as other models of ministry and mission.

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021 Aeier The circuit continues to seek to improve its communication with a new task group looking at this specific area along with other issues identified in the Circuit Mission Strategy. The sequential meetings for Tutors and Circuit Preachers followed by the Worship Forum continues to meet quarterly and aims to address business and training for both Local Preachers and Worship Leaders. The triannual reviews which were unable to be completed this year due to lockdown have rolled over with the aim to be completed by Spring 2022.

During the pandemic an online weekly prayer group was formed, however, engagement was low and this ceased in August 2021.

The circuit continued with a weekly zoom service to provide additional options of accessible worship, particularly for congregations where their own church was unable to provide on-line options or for individuals who were not yet ready to return to physical worship. However, several churches set up and continued with hybrid services and it became no longer feasible to resource all 16 churches with their requirements plus an online zoom and the circuit zoom service ceased at the end of July 2021. The superintendent thanked Mr Peter Davies, one of the circuit local preachers, for agreeing to coordinate the zoom services and for the team which volunteered to work with Peter. Resources for home worship continue to be circulated via the weekly electronic notices and circuit website.

A successful project was set up with the Government's Community Payback Scheme which aims to help rehabilitate individuals sentenced by the courts through investing their time and skills in giving back to the community. Over the year, about 35 individuals worked off their hours through the project which also helped to progress the redecoration and maintenance of the Lighthouse Centre. With restrictions in place for most of the year, few lettings returned to the Lighthouse before September 2021 which, along with the lockdowns, significantly reduced the income upon which it relies for running costs, maintenance & repair.

Review of the 2019-2020 church accounts in autumn 2020 highlighted the extent of the impact from lockdown and the COVID-19 pandemic. The London District offered grants administered through the circuits and circuit grants were also made available to our 16 churches including financial support for those struggling to pay their assessments. In order to provide time for the churches recover financially, the trustees agreed to a 2-year freeze on the level of assessments (until August 2023). Provision was also put in place for struggling churches to access loans from other churches should the need arise. The circuit has also responded to requests for financial help from other London Circuits.

Before the pandemic, the increase in circuit's admin had been recognised and the easing of restrictions allowed recruitment to progress in autumn 2020 with Mrs Prima Mendonca joining the Circuit Office as a part-time Admin Assistant in November 2020. Throughout the year, the circuit office staff continued to meet twice a week on zoom and facilitated additional zoom sessions for any lay employees across the circuit who might be feeling isolated. Mrs Laura Pottage (part-time Admin Assistant) commenced maternity leave in June 2021. The resulting recruitment process engaged a part-time summer temp to help with the additional workload during the summer months, as well as maternity cover for this role. Circuit Lay employees returned to working in the Circuit Office Monday to Wednesday from the beginning of June 2021 but flexible working with some hours worked from home continues.

The Circuit Property Manager, Mr Anthony Criscuolo, completed NRLA accredited training on ‘Landlords Fundamentais’. The Circuit Admin Manager, Mrs Nicola Mercer, completed CPD accredited training on ‘Effective Line Management’ and Circuit Admin Assistant, Mrs Prima Mendonca, completed a course on ‘First Aid in the Workplace’.

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

Several Ministers, employees and members attended Foundation and Advanced Safeguarding training sessions which were held online.

Safeguarding and GDPR audits were carried out by the churches and the circuit, ensuring the review and update of policies and identifying further training requirements.

The circuit continues to work well together and under the guidance of the Holy Spirit, and hopes to move forward and become a dynamic force for mission in the coming Connexional year through the Circuit Mission Strategy process specifically with the open meetings planned.

The Circuit Charities for 2020-21 were Tree Aid and a Christian Aid appeal programme which allowed £5K to be raised and donated by the Circuit to be matched by a £30K donation from another donor. The Christian Aid appeal programme finished at the end of December 2020.

Despite the pandemic, the circuit finances remain stable although due to the decision of the Conference 2021, the concern regarding the revaluation of the Ministers Pension Fund is likely to impact the churches in 2021-2022. There is also ongoing concern about the God in Love Unite Us (GILUU) resolutions and the impact it will have on some of the congregations in the circuit. Conversations have already begun but it is unclear at the moment of the long-term impact of this decision. Due to the uncertainty a provision has not been made in respect of either.

Investment Policy

The investment of surplus funds is operated via the Central Finance Board (CFB) of the Methodist Church. CFB aims to provide a high-quality investment service seeking above average returns for long term investors, while ensuring that the securities held in its funds are in line with the ethical investment policy of the Methodist Church. The Circuit has funds in a deposit account with CFB. The Restricted Fund, which is mainly funds from sales of properties, is managed by the Trustees for Methodist Church Purposes (TMCP). These funds are also invested with CFB. It is now opportune for the Circuit and Trustees to think how best these funds could be utilised for the benefit of the churches’ mission.

Risk Management

The Circuit has undertaken a review of its risk policy and has produced a Risk Register highlighting the various risks facing the Circuit and churches, as well as the impact and the likelihood of their happening. The main headings under which these risks have been categorised are:

These risks are reviewed regularly to ensure effectiveness. The churches have also been informed of the need for these risk assessments. It is understood that most churches have undertaken this task.

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

Reserves Policy

The Trustees aim to ensure that the unrestricted funds are at a sufficient level (taken to be an amount in excess of £300,000) in order to ensure that they will be able to meet the Circuit's ongoing obligations and any unforeseen expenses. The Circuit has also decided to designate monies from the unrestricted funds towards major works on the Manses. The Circuit intends to increase this reserve gradually over the next few years, up to a maximum of £50,000.

Financial Review

The financial resources of the Circuit are maintained by The Circuit Resources Network at sufficient levels to ensure that the Circuit has the funds available to resource its key objectives agreed by the meetings of the Circuit Trustees (The Circuit Meeting).

Our General Fund Budget projections for 2020/21 envisaged a deficit position at the end of the year of around £30K, so a General Fund surplus of £24.5K as noted on the Statement of Financial Activities (SOFA report page 15) was indeed a very good result. This was due in the main to a very good return on our investments, the gain on investment assets this year totalled £43.2K (2019/20 we had a loss on our investment assets of £4.2K). Our unrestricted balances, including both the General Fund and 6 Designated Funds showed a surplus on activity for the year of £24.5K. At the end of the year, we remained well within the parameters, set out in our Reserve Policy, the level of our Unrestricted Fund balances held as at 31% August 2021 stood at £611.8K (2020 £587.2K).

Total Income for the year was £549.5K (2020 £568.5K). a). The Fund for Ministry (Church Assessments) raised £479.8K (2020 £463.97K). b). The income from investments and bank interest amounted to £5.6K comprised of £4.3K dividends and £1.3K interest (2020 £8.4K). c). We now have 2 manses (Pinner View and Belmont Road being leased out for rent. The rental income amounted to £44.1K (2020 £25.2K). d). We received grants of £10K from the district: i). To support the employment of the Circuit Property Manager. ii). Support for Churches re the impact of the Covid-19 pandemic.

Total expenditure for the year was £622.9K (2020 £609.7K). a). Direct Mission & Ministry costs totalled £261.4K (2020 £259.6K). b). Maintenance of Property costs were £72.1K (2020 £61.4K). cc). Administration costs totalled £97.2K (2020 £90.1K.). d)}. Grants and Donations were issued to various beneficiaries as shown in note 6g including 12 of our Churches. Combined Total £27.2K (2020 £27.9K).

The Balance Sheet figures on page 17 showa large change in the total valuation of our Fixed Asset and it is worth noting that the total capita! amount originally invested in the CFB Managed Mixed Funds units was £200K, their valuation now stands at £320.1K (2020 £ 272.9K ) as shown in note 14. The properties held were revalued as per the accounting policy adopted, with a revaluation gain recognised of £1,699.7K

The Accumulated Funds figures confirm the breakdown of our funds, with one Unrestricted Fund (The General Fund), 6 Designated Unrestricted Funds and 3 Restricted Funds, providing a combined accumulated fund total of £8,917K (2020 £7,247.5K).

Preparing the Report and Accounts this year remained quite challenging, although it is evident that using the Data Development Church Finance Software is proving beneficial. The Circuit Office Administrative Manager has worked in conjunction with the Chartered Accountants, Adrian C Mansbridge & Co to produce the end of year figures. which has enabled the accounts to be produced for audit within the accountants set time frame.

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

Trustees’ Interests

The Ministers who are Trustees of the Circuit are paid a stipend and are given a manse for them and their family to live in. The Council Tax is paid by the Circuit and an official telephone line with broadband facilities to enable them to carry out their service as Ministers. These arrangements are practised throughout the Connexion. Mr Anthony Criscuolo is employed as the Circuit Property Manager and is remunerated for his services but receives no payment for being a Trustee of the Circuit. Mr Alan Pannell is paid for gardening services carried out on circuit properties but receives no payment for being a Trustee of the Circuit. Mr Jan Hilliard is paid for maintenance and repairs on circuit properties but receives no payment for being a Trustee of the Circuit. No other Trustees have been paid for their services to the Circuit apart from being reimbursed for expenses incurred, such as travel costs, purchase of stationery, etc. The total amount reimbursed to 6 Trustees amounted to £1,888.93.

Disclosure of Information to Auditors

In so far as the Trustees are aware:

Auditors

A resolution to appoint auditors was made by the Trustees at their meeting of 10 September 2019. Summers Morgan is eligible to act as auditor of the Charity under section 1212 of the Companies Act 2006 and was retained as the auditors for the 2018-2019 accounts and the ensuing three years. Approved by the Trustees on the 22" March 2022 and signed on their behalf by:

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH

Opinion

We have audited the financial statements of Harrow & Hillingdon Circuit of the Methodist Church (the ‘Charity’) for the year ended 31 August 2021 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the notes to the financial statements, including a summary of 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 financial statements section of our report. We are independent of the Charity 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 Trustees’ 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 Charity’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 Trustees 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 audit report thereon. The Trustees 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. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) INDEPENDENT AUDITOR’S REPORT (CONTINUED) TO THE TRUSTEES OF HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH

with the financial statements, or our knowledge obtained in 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

Responsibilities of Trustees

As explained more fully in the statement of Trustees’ responsibilities, the Trustees 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 Trustees 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 Trustees are responsible for assessing the Charity’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 Trustees either intend to liquidate the Charity or 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.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: https:/Awww.frc.org.uk/auditors/auditassurance/auditor-s-responsibilities-for-the-audit-of-the-fi. This description forms part of our auditor's report.

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) INDEPENDENT AUDITOR’S REPORT (CONTINUED) TO THE TRUSTEES OF HARROW& HILLINGDON CIRCUIT OF THE METHODIST CHURCH eee

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irfegularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

We assessed the susceptibility of the Charity financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

There are inherent limitations in our 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. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the Trustees and management and the inspection of regulatory and legal correspondence, if any.

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

INDEPENDENT AUDITOR’S REPORT (CONTINUED) TO THE TRUSTEES OF HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH

Use of our report

This report is made solely to the Charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulation 2008. Our audit work has been undertaken so that we might state to the Charity's trustees those matters we are required to state to them in an auditors’ 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 Charity and the Charity Trustees as a body, for our audit work, for this report, or for the opinions we have formed. Ki Nicholas Corden ACA (Senior Statutory Auditor) Dar for and on behalf of Summers Morgan Shawiensnoeenawmcanismets Chartered Accountants Statutory Auditor 2ad 1 lah AOL

First Floor, Sheraton House Lower Road Chorleywood Hertfordshire WD3 5LH

Summers Morgan is eligible for appointment as auditor of the Charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 AUGUST 2021

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||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---| |2021|2020|2020|2020| |Notes|||Unrestricted|Restricted|Total|Unrestricted|Restricted|Total| |funds|funds|funds|funds|funds|Funds| |Incoming|and Endowments|from|£|£|£|£|£|£| |Charitable|activities| |Circuit assessment|7|479,878|-|479,878|463,964|.|463,964| |Donations and|legacies| |Donations|received|>|5,000|§,000|56,316|-|56,315| |Grants|received|.|10,000|10,000|-|7,506|7,500| |Investment income|and|interest| |Investment income and|interest|9|5,650|-|5,650|8,394|-|8,394| |Rent from manses|10|44,100|-|44,100|25,200|-|25,200| |Other| |Lettings|(Lighthouse|Centre)|4,961|-|4,961|7,043|-|7,043| |HSBC Compensation|:|-|-|100|-|100| |income and Endowments|534,589||__15,000||549,589|561,016|7,500|||568,516| |Expenditure on| |Charitable|activities| |Direct mission|and|ministry|6a|261,405|-|261,405|259,652|-|259,652| |District assessment|6b|90,524|:|90,524|90,684|-|90,684| |Maintenance|of property|6c|70,457|1,622|72,079|61,352|-|61,352| |Property on|rent costs|6d|15,599|-|15,599|5,992|-|§,992| |Grants & donations (outgoing)|6g|23,524|3,652|27,176|27,964|-|27,964| |Depreciation|-|46,606|46,606|-|§9,805|§9,805| |District|Levy|6b|-|12,371|12,371|-|14,193|14,193| |Circuit Administration|6e|92,186|§,000|97,166|82,833|7,228|90,061| |Expenditure|553,675|||[69,251]|||622,926|||528,477|||[81,226]||| 609,703| |(Loss)/gain on investment assets|12 na|219,200|262,458 =|Ps| |Net Income/(expenditure)|24,472|164,949|||[189,421]|||28,308|||_(73,726| |Net Transfer between funds|352|(352)|-|{750)|750|0| |Other|recognised|gains and| |josses:| |Gains|on|revaluation|of charitable| |properties|1,480,575|1,480,615| |Net movement in funds|24,524|1,645,112|1,669,636|27,558|(72,976)|(45,418)| |Fund|balances|at|1|Sept 2020|587,282|6,660,222|7,247,504|§59,724|6,733,198|||7,292,922| |Fund bafances at 31 Aug 2021|611,806|8,305,334|8,917,140|587,282|6,660,222 ||7,247,504|

----- End of picture text -----

The notes on pages 19 to 35 form part of these accounts.

Page 15 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 AUGUST 2021

|Comparative yearinformation|Notes|||Unrestricted ||Restricted|2020| |---|---|---|---|---|---| |Yearended 31 August2020|||funds|funds|funds| |Incoming
and Endowmentsfrom|||£|£|£| |Charitable activities|||||| |Circuitassessment|7||463,964|-|463,964| |Donations and legacies|||||.| |Donations received|||56,315|-|56,315| |Grants received|||-|7.500|7.500| |Investment income and interest|9||8.394|-|8.394| |Rentfrommanses|||25.200|“|25 200| |Other|||||| |Lettings (Lighthouse Centre)|||7.043||7,043| |HSBC compensation|||100|.|400| |IncomeandEndowments||||561,016}|7,500.|568.516| |Expenditure on|||||| |Charitable activities|||||| |Directmission and ministry|6a||259.652|-|259,652| |Districtassessment|6b||90.684|-|90,684| |Maintenance ofproperty|6c||61,352|“|61,352| |Propertyon rent costs|6d||5.992|:|5.992| |Grants|6g||27,964|-|27,964| |Depreciation|6g||:|59,805|59,805| |District Levy|6b||.|14,193|14,193| |CircuitAdministration|6e||82833|7,228|90.061| |Expenditure|||528,477|81,226|609,703| |Gain oninvestment assets|12||(4,231)an||(4,231)| |Netexpenditure|||28,308|(73,726)|(45,418)| |NetTransferbetweenfunds|||(750)|750|we| |Netmovement infunds|||27,558|(72,976)|(45,418)| |Fund balances at 1 September 2019|||559,724|6,733,198}|7,292,922| |Fundbalancesat31August2020|||587,282|6,660,222||7,247,504|

The notes on pages 19 to 35 form part of these accounts.

Page 16 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) BALANCE SHEET

----- Start of picture text -----
AS AT 31 AUGUST 2021
——————
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AS AT 31 AUGUST 202131 AUGUST 2021AUGUST 2021
——————		 AS AT 31 AUGUST 202131 AUGUST 2021AUGUST 20212021 AS AT 31 AUGUST 202131 AUGUST 2021AUGUST 20212021 AS AT 31 AUGUST 202131 AUGUST 2021AUGUST 20212021
2020 2020
Notes Unrestricted Restricted 2021 Unrestricted Restricted
funds funds funds funds
Fixed assets £ £ £ £ £ .
Tangible fixed assets 13 - 6,435,000 6,435,000 - §,853,571 §,853,571
Investments 14 320,123
320,123		 1,640,000
8,076,000		 1,960,123
8,395,123		 272,938
272,938
Current assets
Cash atbankand in hand 103,910 §,191 109,101 116,770 §,291 122,061
Shortterm deposits 252,811
225,210
356,721] 230,404		 478,021
587,122		 265,568
382,338		 237,309
242,600
Creditors: amounts aor7az SS230gor 632,443]
falling duewithin one
year
Creditors and accruals
Fund forMinistry in
advance
Netcurrentassets		 16
8		 10,591
67
10,658
99,437
-
99,437
11028]
7		 140,095]
a
a (A
291,684		 (230,334
szzo18
SsLS
es
liabilities
Tefal
netaanets		 611,806
Ss
611,806		 8,305,334
es
8,305,334		 8,917,140
587,282
6,660,222
eseSES
8,917,140
587,282
6,660,222
Accumulatedfunds
General funds 20 421,163 : 421,163 387,903 a 387,903
Designated Funds
CircuitMode}TrustFunds 20 131,655 - 131,655 429,313 - 129,313
Manse Maintenance fund 20 35,993 - 35,993 35,000 - 35,000
Communication Fund 20 12,774 - 12,774 15,716 - 15,716
Lighthouse Centre 20 8,576 - 8,576 47,705 - 17,705
Youth&FamilyWorkfund 20 1,645 - 1,645 1,645 - 1,645
Restricted Funds
Benevolent Fund 20 . 750 750 . 750 750
Freeholdmanse fund 20 - 2,103,466 2,103,466 - 2,115,837 2,115,837
Love LaneManseFund 20 - 3,378 3,378 - - -
DistrictCOVID-19 Fund 20 996 996
Revaluation reserve 20 - 6,196,744 6,196,744 - 4,543,635 4,543,635
AccumulatedFunds 611,806 8,305,334 8,917,140 §87,282 6,660,222 7,247,504

The notes on pages 19 to 35 form part of these accounts. Approved by the Trustees on 22™ March 2022 and signed on their behalf by: AC eS Trustee — Revd Andrew Pottage Liste — — Mr John John Chambertain Superintendent Minister Circuit Steward with Steward with with

eS Liste — — Mr John John Chambertain Circuit Steward with Steward with with Financial Responsibility

Page 17 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

CASH FLOW STATEMENT

FOR THE YEAR ENDED 31 AUGUST 2021

2021 2020
£ £
Net cash inflow/(outflow) from OperatingActivities (83,640) (8,567)
Sale proceeds - “
Purchase of property - -
Dividends, interest, and rents from investments 49,750 33,594
Purchase of Investments (3,927) (4,492)
Netcash providedby(used in) InvestingActivities = 45,823]
Change in the cashand cash equivalents (37,816) 20,535
Cash and cash equivalents atthe start ofthe
period 624,938 604,403
Cash and cash equivalents at theend ofthe
period 624,938

The notes on pages 19 to 35 form part of these accounts.

Page 18 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021

1. Circuit Information

Harrow and Hillingdon Circuit of the Methodist Church consists of seventeen churches within the Connexion of Great Britain. Two of these are jointly ministered with the United Reformed Church. The charity is registered with the Charity Commission for England and Wales and has its office at Lighthouse Centre, Queen's Walk, South Ruislip Middlesex, HA4 ONL. The accounts are prepared in accordance with the Constitution Practice and Discipline of the Methodist Church and all figures are reported in pounds sterling.

All Methodists Churches, Circuits and Districts with gross annual income of over £100,000 per annum need to register with the Charity Commission. Methodists Charities with an income under £100,000 per annum continued to be exempted from registration under Statutory Instrument 2012 No 1734.

The Circuit Trustees are the members of the Circuit Meeting.

  1. Accounting policies

a) Basis of accounting

These accounts 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 as it applies from 1 January 2015. The charity is a Public Benefit Entity as defined by FRS 102.

The accounts have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.

The accounts have been prepared on the historical cost convention, modified to include the revaluation of freehold properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

Monetary amounts are rounded to the nearest pound Sterling.

b) Going Concern

At the time of approving the accounts, the Trustees have a reasonable expectation that the Circuit has adequate resources to continue in operational existence for the foreseeable future. Thus, the Trustees continue to adopt the going concern basis of accounting in preparing the accounts. The charity considers there to be no material uncertainties concerning the ability to continue as a going concern.

c) Income and endowments

Under certain exemptions applicable to the Methodist Church, the receipt and onward payment of monies for the District Assessment is not deemed to be part of the incoming resources of the Circuit for the purposes of deciding whether an independent external examiner or an auditor should report on these accounts.

Page 19 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

2. Accounting policies (continued)

d) Expenditure

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs relating to the category.

e) Tangible fixed assets

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

Tangible fixed assets other than land are depreciated at rates calculated to write of the cost or valuation less their residual value over their useful lives as follows:

Buildings

2% ona straight-line basis

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 net income/(expenditure) for the year.

Properties are held under the revaluation model and are carried at a revalued amount, being their fair value at the date of valuation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. The fair value of the land and buildings is usually considered to be their market value. Revaluations will be made with sufficient regularities to ensure that the carrying amount does not materially differ from that which would be determined using fair value at the end of the reporting period.

Revaluation gains and losses are recognised in other recognised gains and losses and accumulated in restricted manse fund, except to the extent that a revaluation gain reverses a revaluation loss previously recognised in net income/(expenditure) or a revaluation loss exceeds the accumulated revaluation gains recognised in freehold manse fund; such gains and loss are recognised in net income/(expenditure) for the year.

Page 20 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021 a ee A

2. Accounting policies (continued)

f) Accounting policy for investments

Fixed asset investments including investment properties, are stated at estimated market value.

Realised gains and losses on investments comprise the difference between proceeds and the carrying value at the time of disposal.

Unrealised gains and losses comprise the adjustment required to restate investments at market value at the balance sheet date.

g) Impairment of non-current assets

At each reporting end date, the Circuit reviews the carrying amounts of its tangible and intangible 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, untess 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.

h) Cash and cash equivalents

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

Page 21 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

2. Accounting policies (continued)

i) Financial instruments

The Circuit 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 Circuit's balance sheet when the Circuit 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 trade and other receivables 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 trade and other payables 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.

Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Circuit’s contractual obligations expire or are discharged or cancelled.

Page 22 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021 aiilee

2. Accounting policies (continued)

j) Funds

Unrestricted fund cash resources are deposited with the Central Finance Board and are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity. It is the policy of the Circuit to endeavour to hold as free reserves an amount approximately equal to six months of likely expenditure.

k) Empioyee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received. However, due to the pandemic in 2020 employees are being allowed to carry up to 4 weeks holiday forward to be taken by the end of August 2022.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

I) Retirement benefits

Stipendiary Circuit Ministers are eligible to join the Methodist Ministers’ Pension Scheme (MMPS). The MMPS is a funded defined benefit scheme maintained by The Methodist Church of Great Britain. As the Circuit is unable to identify its share of the underlying assets and liabilities of the scheme, the Circuit has taken the advantage of the exemption in Financial Reporting Standard 102, Retirement Benefits, and has accounted for contributions to the scheme as if it were a defined contribution scheme. The pension costs for the scheme represent the contribution payable by the Circuit in the year. The contribution rates are set each year by the Methodist Conference.

m) Critical accounting estimates

In the application of the Circuit’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Page 23 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

3. Staff

The Circuit met the stipends and expenses of seven of the eight ministers working in the Circuit during the year. The other minister is of the United Reformed Church. The Circuit employed 7 lay employees during the year operating from the Circuit Office in the Lighthouse Centre, South Ruislip.

The ministerial stipends are as per the guidelines with only an extra travel allowance added on.

None of the employees earned more than £60,000 p.a.

The total paid to key management is £249,155 (2020 - £244,407)

4. Pensions

All Methodist Ministers in the Circuit are members of the Methodist Ministers' Retirement Scheme. The Circuit contributes 26.9% of stipends to the fund. Lay employees qualifying for pension enrolment are offered pensions with TPT Retirement Solutions with the Circuit contributing 6% of salaries to the fund.

5. Restricted fund

This fund receives any monies arising from the sale or disposal of any land buildings which are local or Circuit property. Capital monies in the fund can only be used for the purchase of land and buildings or the replacement or repair of buildings.

6. Connexional funds

The Circuit is also responsible for overseeing of the collection of monies for the wider work of the Church. Amounts collected which do not form part of the Circuit resources are given in total below and in note 17 in detail.

2021 2020
£ &
Connexional funds contributions B/F 12 -
Contribution received 13,485 22,692
Less:Amounts paid over (13,452) (22,680)
45 12

Page 24 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

NOTES TOTHEACCOUNTS (CONTINUED) NOTES TOTHEACCOUNTS (CONTINUED) NOTES TOTHEACCOUNTS (CONTINUED)
FOR THE YEARENDED 31AUGUST2021
i		 =e
6. Resourcesexpended Unrestricted Restricted
funds
funds		 2021 2020
Unrestricted]
funds funds
£ £ £ £ £
a. Direct missionand Ministry
Stipends 184,672 - 184,672 181,043 -
National Insurance 16,853 - 16,853 16,568 -
Ministers’ Pensions 48,061 : 48,061 46,796 -
Travel 2,427 a 2,427 4,307 -
Telephones 7,278 . 7,278 6,398 :
Conferences and training 424 - 424 2,788 -
Removal expenses 4,082 c 1,082 1,152 .
Relocation grant 600 - 600 : z
Hospitality/Events 8 - 8 600 -
Health Fees - - = 2 2
Total EE)
Oe8
b. DistrictAssessment& Levy
DAF Contributions 12,371 12,371 -
District assessment
Total		 -
90,524
[80824[zart		 “Toaaes
c. Maintenance ofproperty
Church Quinquennial 2,772 2,772 3,696
Inspections
Manse repairs (see note 11) 35,315 36,937 22,826
Property insurance 9,472 9,472 8,891
Property water rates 2,509 2,509 1,936
Property gardening ° - -
Council tax 16,798 16,798 14,316
Other Utilities 1,473 1,473 1,549
Mission centre set up
Total		 2,118
2,118
8,138
[reas[naan		 [reare
ore2f
d. Rental costs
22 Belmont Road -management 3,525 3,525 -
fees
147 PinnerView -management 3,525 3,525 3,478
fees
Manse Repairs
Total		 8,549
1)		 8,549 2,514

Page 25 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2021

----- Start of picture text -----
||||||||| |---|---|---|---|---|---|---|---| |Resources expended|Unrestricted|| Restricted|2020|2020| |6.|(Continued)|funds|funds|2021|Unrestricted]|Restricted| |funds|funds| |£|£|£|£|£| |e.|Circuit|administration| |Benevolent|giving|2|2|m| |Printing,|postage|and|5,322|:|§,322|4,992|-| |stationery| |Circuit|lay employee|74,046|5,000|79,046| |remuneration|(See|note|57,270|7,500| |6f)| |Circuit|Office|Expenses|:|:|-|2,060|g| |Lighthouse|Centre|1,108|-|1,108|2,293|-| |Expenses| |Vestry|expenses|1,194|-|1,191|355|-| |Sundries|2,838|-|2,838|3,049|-| |Audit|fees|4,800|-|4,800|4,800|-| |Professional|fees|1,752|s|1,752|6,857|(272)| |investment|management|1,109|2|1,109|1,157|2| |fees| |Total|[sar65 [5:00]| |f.|Circuit Lay|Employee| |Remuneration|related| |costs| |Circuit Lay Employee|65,788|70,788|50,660|7,500| |Remuneration| |Circuit|Lay|Pensions|3,365|3,365|2,660|-| |(ER)| |Circuit|Lay|NIC|(ER)|4,217|4,217|3,339|:| |Circuit|Lay|Employee|320|320|320|:| |payroll|fees| |Circuit|Lay|Employee|356|356|291|.| |Apprenticeship|Levy| |Total|(in 6e above)|a.|ee|ee)|ee|

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Page 26 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2021

||Resourcesexpended|Unrestricted |Restricted|Unrestricted |Restricted||2020|2020| |---|---|---|---|---|---|---| |6.|(Continued)|funds|funds|2021|Unrestricted}|Restricted| ||||||funds|funds| |||£|£|£|£|£| ||g. Grants& Donations|||||| ||Methodist ChurchFund|5,000|“|5,000|4,500|-| ||District|-|-|-|2,500|-| ||Harlesden M.C.|2,500|-|2,500|-|-| ||Bereavement Care|200|-|200|200|-| ||Cannon Lane M.C|-|-|-|684|-| ||Eastcote M.C|2,000|332|2,332|824|-| ||Hayes M.C|6,000|332|6,332|-|-| ||Hayes End M.C|2,000|332|2,332|1,008|-| ||Kenton M.C.|2,000|332|2,332|12,538|“| ||North HarrowM.C|3,000|332|3,332|-|-| ||North Hillingdon M.C|-|332|332|-|-| ||Northwood M.C|-|332|332|1,500|-| ||Pinner M.C.|824|:|824|300|-| ||Ruislip M.C.|-|332|332|1,500|-| ||Ruislip ManorM.C.|-|-|-|1,500|-| ||South Harrow M.C.|-|332|332|910|-| ||Wealdstone M.C.|-|332|332|-|-| ||Yiewsley M.C.
Total|-
332
332
-
-
|assza|aes2|
|
artve|area]|||||

----- Start of picture text -----
Resources expended Unrestricted | Restricted 2020 2020
6. (Continued) funds funds 2021 | Unrestricted] Restricted
funds funds
£ £ £ £ £
Depreciation (see note 13) - 46,606 46,606 - 59,805
Total expenditure [53,675] 69,261] [622,926] 528477] 61,226]
----- End of picture text -----

Page 27 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2021

Included in the total expenditure above are support and governance costs as follows:

----- Start of picture text -----
||||||||| |---|---|---|---|---|---|---|---| |6.|Resources expended|Support|Governance|2021|2020| |(Continued)|costs|costs|Unrestricted|| Unrestricted| |£|£|£|E| |—| |Maintenance|of property|70,457|-|70,457|61,351| |Property|on|rent|costs|15,599|-|15,599|5,992| |Circuit|administration|84,505|7,661|92,166|90,061|

----- End of picture text -----

Charitable activities

There has been no apportionment of costs between charitable activities.

----- Start of picture text -----
|||||| |---|---|---|---|---| |7,|Glrcult Assessment|Unrestitcted|| Unreeticied| |.|£| |Contributing|Church| |Cannon|Lane MC|24,331|23,56| |Christ|Church|URC-MC|7,800|7,800| |Eastcote|MC|23,880|23,13| |Hayes|MC|20,935|20,310| |Hayes|End|MC|20,350|49,510| |Kenton MC|47,340|45,684| |North|Harrow MC|41,854|40,540| |North|Hillingdon MC|11,410|11,108| |Northwood|MC|45,635|43,880| |Pinner MC|42,442|41,106| |Ruislip|Ickenham|Road MC|42,538|40,976| |Ruislip|Manor MC|25,530|24,770| |South|Harrow MC|27,875|26,948| |Trinity|URC-MC|10,180|9,930| |Wealdstone|MC|45,980|44,29| |Yiewsley MC|41,798|40,410| |Total|

----- End of picture text -----

Page 28 of 35

HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

----- Start of picture text -----
|||||| |---|---|---|---|---| |2021|2020| |8.|Funds for Ministry|in Advance|Unrestricted|| Unrestricted| |(Circuit Assessment)|£|&| |Cannon|Lane MC|6,083|6,083| |Christ|Church|URC-MC|1,950|1,950| |Eastcote MC|1,990|1,990| |Hayes|MC|5,234|5,234| |Hayes|End MC|5,087|5,087| |Kenton MC|3,945|3,945| |North|Harrow MC|10,463|10,463| |North|Hillingdon|MC|2,853|2,853| |Northwood|MC|11,409|11,409| |Pinner MC|10,610|10,610| |Ruislip|Ickenham|Road MC|10,635|10,635| |Ruislip Manor MC|6,383|6,383| |South|Harrow MC|6,969|6,969| |Trinity URC-MC|848|848| |Wealdstone MC|11,495|11,495| |Yiewsley MC|3,483|3,483| |Total|

----- End of picture text -----

----- Start of picture text -----
||||||||| |---|---|---|---|---|---|---|---| |2021|2020| |Unrestricted|| Unrestricted| |£|3| |Funds|for|Ministry|in Advance|B/F||99,437|96,027| |Received|during|year|479,878|467|374| |Less:|funds|for|Ministry|in Advance|C/F|(99,437)|(99,437)|

----- End of picture text -----

Circuit Assessment (Note 7)

----- Start of picture text -----
Investment and Interest Unrestricted | Restricted 2021 2020 2020
9, Income funds funds Unrestricted] Restricted
£ £ £ £ £
Dividend Income 4,346 - 4,346 4,744 -
Interest Income 1,304 - 1,304 3,650 -
a)a
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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

|10.|Investment property|Unrestricted | Restricted|Unrestricted | Restricted|2021|2020|2020| |---|---|---|---|---|---|---| ||income|funds|funds||Unrestricted |Restricted|| |||£|£|£|£|£| ||Belmont Road|18,900|-|18,900|:|i| ||PinnerView|25,200|-|25,200|25,200|=| ||Total|[aetool
=}[ato]||[ato]
252007 |||| |11.|Manse Repairs|Unrestricted | Restricted||2021|2020|2020| |||funds|funds||Unrestricted | Restricted|| |||£|£|£|£|£| ||Belmont Road|3,315|-|3,315|581|“| ||Fieldings|11,340|-|11,340|2,822|.| ||Kingsfield Avenue|727|-|727|8,158|-| ||Love Lane|1,550|1,622|3,172|426|| ||Mount Pleasant|2,176|-|2,176|1,369|2| ||Pinner View|-|-|-|-|=| ||Sharps Lane|3,574|-|3,571|2,512|-| ||Stirling Road|2,364|-|2,364|4,918|:| ||ParkAvenue|3,802|.|3,802|1,561|=| ||Other Properties|6,470|"|6,470|479|-| ||Total|SS)|cd||||

----- Start of picture text -----
12 (Loss)iGain on Investments | Unrestricted | Restricted 2021 2020 2020
funds funds Unrestricted | Restricted
£ £ £ £ £
C F B Managed Mixed Fund 43,258 - 43,258 (4,231) -
units
Revaluation of properties 219,200 219,200
{Loss)/Gains on on 262,458 (4,231)
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{Loss)/Gains on on investments

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36) NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021 ——lgte

13. Tangible fixed assets

Cost & valuation

At 1 September 2020 Transfer Revaluation At 31 August 2021

Freehold Land and Buildings Restricted Funds 2 6,091,321 (900,000) 1,243,679 6,435,000

Depreciation

----- Start of picture text -----
|||| |---|---|---| |At|1|September 2020| |Transfer| |Charge|for the year| |Eliminated|on|revaluation| |At 31 August 2021|

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Net Book Value

----- Start of picture text -----
||||| |---|---|---|---| |At 31|August 2021| |At|31|August|2020|

----- End of picture text -----

----- Start of picture text -----
237,750
(47,520)
46,606
(236,836)
Po
6,435,000
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The manse in Belmont Road, Uxbridge and Pinner View, North Harrow are no longer used to house church ministers and are now being rented out on a commercial basis. They have been reclassified as an investment property.

The valuation was carried out by the Trustees, after taking formal advice from Simon Hands and Associates Chartered Surveyors, independent valuers who are not connected with the company and who know the Charities portfolio of properties well. The valuation was based on recent market transactions on arm’s length terms for similar properties.

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

|14.|Investments|Unrestricted|Restricted ||Unrestricted|Restricted ||Total||2020|2020| |---|---|---|---|---|---|---|---| |||funds|funds|2021|~=||Unresitricted)|Restricted| |||||||funds|funds| |||£|£|£||£|£| ||Market Value 1 September|272,938|568,320}|841,258||272,677|-| ||2020||||||| ||Additions|3,927|-|3,927||4,492|-| ||Transfer ofinvestment||852,480 ||852,480|||568,320| ||property at NBV||||||| ||(Loss)/Gain on Investments|43,258|219,200 ||262,458||(4,231)|-| ||MarketValue 31 August||1,640,000|||272,938|568,320| ||2021|||||||

||Debtors and|Unrestricted |Restricted|Unrestricted |Restricted|Unrestricted |Restricted|2021|2020|2020| |---|---|---|---|---|---|---|---| |15.|Prepayments||funds|funds||Unrestricted}|Restricted| ||||£|£|£|£|£| ||CPF /District Levy||-|-|-|-|-| ||Stipends in advance||20,804|-|20,804|20,612|-| ||Resources Subscription in||485|-|485|400|-| ||advance||||||| ||Council tax in advance||-|°|-|1,364|-| ||Sundry debtors||23,702|-|23,702|23,457|-| ||Total||44991|ss||44,994|45833}||| ||Creditors andaccruals|Unrestricted |Restricted||Restricted|2021|2020|2020| ||||funds|funds||Unrestricted]|Restricted| |16.||||||funds|funds| ||||£|£|£|£|£| ||Sundry creditors||10,591|67|10,658|14,390|4,269| ||Total|||10,591|G7|10,658|14,390|4,269|

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HARROW & HILLINGDON CIRCWUJSIT OF THE METHODIST CHURCH (35/36)

NOTES TO THE ACCOUNTS (COP NTINUED) FOR THE YEAR ENDED 31 AUG@JST 2021

|contributions|Mission | Rflission | Funds|Mission | Rflission | Funds|Mission | Rflission | Funds|Mission | Rflission | Funds|| Ch. Fund|| Ch. Fund||| |---|---|---|---|---|---|---|---|---| |||£|£|.||£|£|£| |Church:||||||||| |CannonLaneMC||-|-||-|1,050|1,050|1,850| |ChristChurch URC-
MC||-|ss||-|-|°|425| |EastcoteMC||-|-|800||-|800|-| |Hayes
MC||-|.|-||250|250|-| |HayesEndMC||-|=|-||500|500}|2,000| |NorthwoodMC||-|=|-||-|“|500| |PinnerMC||=|-|.||*|-{|1,450| |RuislipMC||-|:|-||4,900|4,900|4,800| |RuislipManorMC||-|=|-||3,000|3,000;|3,000| |South HarrowMC||-|-|485||-|485|417| |WealdstoneMC||-|=|>||2,500|2,500]|5,250| |YiewsleyMC||-|-|=||=|-|3,000| ||||||||205]t2,200]|||40,408|22,002|

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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

----- Start of picture text -----
NOTES TO THE ACCOUNTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2021
ee ne
18. Analysis of net assets Unrestricted | Restricted Restricted Total
between funds funds Advance | Manses funds
funds
£ £ £ £
Tangible fixed assets 320,123 - 8,075,000 8,395,123
Net current assets 291,684 230,334 “ §22,018
Total 611,807 | 230,334 | 8,075,000 8,917,141
19. Cash generated from 2021 2020
operations
£ £
Surplus / (Deficit) for the 189,121 (45,418)
year
Adjustment for:
Investment income recognised in
statement of financial activities (49,750) (33,594)
Depreciation 46,606 59,805
Gains on disposal of fixed assets - -
Revaluation of investments (262,458) 4,231
Movement in working capital
Decrease/(increase) in debtors 842 (5,920)
(Decrease)/increase in creditors (8,001) 12,329
Cash (absorbed by)/generated from (83,640) (8,567)
operations
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HARROW & HILLINGDON CIRCUIT OF THE METHODIST CHURCH (35/36)

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2021

|20.
Funds|Balance at
1
September|
2020|.
Incoming |Resources
resources |expended|.
Incoming |Resources
resources |expended|TSS|:
Revaluation
;
Weean
losses|Balance at34
August2021| |---|---|---|---|---|---|---| |Generalfunds|387,903 ||524,241||10,000|43,258|| |Designated Funds||||||| |Circuit model trustfunds|129,313|5,388|(3,046)|-||131,655| |Manse Maintenance||||||| |funds*|35,000|-|(9,007)|10,000||35,993| |Communication funds|15,716|-|(824)|(2,118)||12,774| |Lighthouse Centre funds|17,705|4,961|(16,560)|2,470||8,576| |Youth and family work||||||| |funds|1,645|-|-|-||1,645| |Restricted Funds||||||| |DistrictCovid - 19 funds|-|§,000|(3,652)|(352)|“|996| |Stafffunds|-|§,000|(5,000)|-|-|-| |Freehold mansefunds|2,115,837|-|(12,371)|-|-|2,103,466| |Benevolent funds|750|-|-|-|-|750| |Love Lane Mansefunds|-|5,000|(1,622)|-|-|3,378| |Revaluation reserve
4,543,635
|
ss7,247,504]||-
549,590]|46,606
(622,927)[|-
=||1,699,715
1,742,973[|6,196,744
8,917,140|

21. Related Party and Trustee Expenses

Ministers were paid a stipend, pension, travel and other expenses following Methodist Church guidelines. No Trustee was given a payment as a fee or remuneration for carrying out duties as a Trustee other than reimbursement of expenses incurred. As stated in the Financial Report under Trustees’ Interests on page 9 the total amount reimbursed to 6 Trustees amounted to £1,889. Trustee Mr Alan Pannell was paid for gardening services totalling £1,290. Trustee Mr lan Hilliard was paid for maintenance and repairs totalling £3,705.

Page 35 of 35