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2021-12-31-accounts

FRIMLEY BAPTIST CHURCH

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 December 2021

Charity registration 1132849

Frimley Baptist Church, Balmoral Drive, Frimley Camberley, Surrey. GU16 9AR

www.fbc.org.uk

FRIMLEY BAPTIST CHURCH

CONTENTS

For the year ended 31 December 2021

Title Page
Trustee’s Annual Report 1 - 4
Independent Examiner’s Report 5
Statement of Financial Activities 6
Balance Sheet 7
Notes to the Financial Statements 8 - 16

FRIMLEY BAPTIST CHURCH

TRUSTEES’ ANNUAL REPORT

For the year ended 31st December 2021

The Trustees are pleased to submit their Annual Report.

Constitution

Frimley Baptist Church (the Church) was constituted as a charity in its own right in 2009. The charity number is 1132849.

A written constitution which follows the Baptist Union format sets out the principles by which the Church is organised and managed. A separate trust deed contains provisions governing the church building

Minister, Trustees and Ministry Team

During ,2021 the former Ministry Team brought a proposal for restructuring the nature of the leadership within the church separating the Ministry Team (comprising Elders and Deacons) into two groups: Trustees (focused on Spiritual oversight and legal requirements for the administration of the charity); and a Ministry Team (focused on ministry, youth, and pastoral matters). The proposal was agreed at the Annual Church Meeting and was embodied within a formally approved revision to the church’s constitution (also approved at the Annual Church Meeting). The Minister, Trustees and Ministry Team members are appointed by the members of the Church in accordance with the constitution. People are eligible to hold the post of Trustee and member of the Ministry Team and limitations apply related to close family members being within the leadership (as set out in the amended constitution).

Minister, Trustee and Chairman of the Ministry Team Rev. Glyn Thomas Trustees John Bragg (Chairman of the Trustees) Derek Witt Margaret Maxfield Duncan Matheson (also a member of the Ministry Team Trustee representative)

(In May 2021 Derek Witt, Margaret Maxfield and John Bragg formally resigned as members of the FBC Ministry Team)

Ministry Team Barbara Sharp Malcolm Wood Rachel Bevan Naomi Waite David Day

Paid Staff

Minister Rev Glyn Thomas Bursar Fiona Mapperley Youth Worker Stephen Fenwick Church Administrator Joanna Hayes (left 06 September 2021 and post was subsequently vacant for the rest of the year)

1

FRIMLEY BAPTIST CHURCH

TRUSTEES’ ANNUAL REPORT

For the year ended 31st December 2021

Objectives and Activities of the Church

The Church has continued its ministry of advancing the Christian faith in word and action, both locally, nationally and around the world supporting other organisations and individuals through prayer and financially

In a normal year, the Church runs some 40 activities covering a full spectrum of ages. These are open to all and provided either free of charge or for a small, nominal charge.

During 2021 both patterns of worship and the activities of the church were severely impacted by the Covid-19 pandemic. Services had already changed in 2020 from three meetings each Sunday to one service, delivered via YouTube and in person (and via YouTube) when Covid restrictions and Trustee decision permitted (taking account of Government and Baptist Union advice).

These activities were underpinned by extensive and comprehensive Risk Assessments (which were reviewed, and subsequently approved, by the church’s Trustees) and the physical rearrangement of church facilities to minimise the potential for any Covid-19 transmission.

Similarly, many groups were unable to meet face to face during parts of the year. Some groups, particularly those focused on children and youth, were able to transition to Zoom related meetings and continued to operate in this way until later in the year when face to face meetings resumed. Again this followed the creation of suitable Risk Assessments (which were also reviewed, and subsequently approved, by the church’s Trustees).

Throughout, caution was the church’s watch-word – balancing the needs of those who wanted to meet in person when permitted with the need to manage risk of infection or transmission of any virus.

Groups for men (The Shed) and Ladies (Women @ FBC) met throughout the year, engaging in various activities. The Pop-In café operated for part of the year and contact with Midweek Fellowship was maintained through phone calls, regular newsletters, and physical meetings when conditions permitted.

The Church commits to give 20% of unrestricted income to activities outside of Frimley Baptist, in addition there are regular collections for the 'Remember the Poor' fund — all of which is used to support the needy locally, nationally, and internationally. There were special collections for Tearfund’s ‘Recover Together’ appeal (in June 2021) and Surrey based Christian charity, Emerge, and Open Doors (supporting their work in Afghanistan) in December 2021.

[A full report of the Church’s activities can be found in the Church’s Annual Report 2020 presented at the Annual Church Members’ Meeting in May 2021.]

Public Benefit

The Trustees have considered the guidance provided by the Charity Commission regarding public benefit and the work of the charity.

2

FRIMLEY BAPTIST CHURCH

TRUSTEES’ ANNUAL REPORT

For the year ended 31st December 2021

Training of Trustees

On appointment Trustees are given an induction pack to explain the duties and responsibilities of Trustees. Where a deacon's role carries specific responsibilities, training is provided as necessary. All Trustees undergo safeguarding training and are DBS checked at the enhanced level.

Decision making process within the Charity

Decisions are taken in accordance with the framework set out in the Constitution. The decision of the Church Members’ Meeting is final. Proposals for action are brought to the Church Members’ Meeting by both the Trustee group and the Ministry Team.

The Trustees retain formal legal responsibilities for the effective running of the church (the charity) and the delivery of its objectives. The Church Meeting may give directions to the Trustees, but legal responsibilities cannot be held or delegated by the Church Meeting (for example in relation to the employment of staff).

From time to time, sub-groups of the Ministry Team are convened and assigned to the task of evaluating options (within their delegated responsibilities) and these are discussed in full meetings of the Ministry Team. Decisions are made by the Ministry Team, if within their remit, or matters are brought to the Church Members’ Meeting for discussion and voting.

Budgets are agreed annually by the Church Members’ Meeting

Expenditure is made only on approval of the budget holder and with two signatures.

Finance

The financial statements:

The Church is financed by members and other individuals closely associated with it. There was a surplus on general funds of £24,115. Cash has been invested with the Cambridge & Counties bank on a short-term basis to earn higher rates of interest.

The Trustees give thanks to God for the timely provision of money through His people to enable the work of the church to continue.

The Church reviews the major risks to which the Church is exposed on an annual basis.

The Church has general reserves to be able to continue its ministry, these total £140,138 on 31 December 2021. The Church aims to retain about £40,000 as reserves to fulfil its obligations as an employer and to cover any unforeseen costs. Any additional funds above the reserves level are retained for future spending and will be used when appropriate to enhance the ministry of the Church or develop the Church's premises. Reserves will be increased to ensure we meet all of our obligations.

3

FRIMLEY BAPTIST CHURCH

TRUSTEES’ ANNUAL REPORT

For the year ended 31st December 2021

Statement of Trustees’ Responsibilities

The trustees are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

The law applicable to charities in England & Wales requires the trustees to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). The trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period.

In preparing these financial statements, 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 charity 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 charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Organisations Bankers Independent Examiner National Westminster Bank plc Andrew Skilton ACA 45 Park Street Brewers Chartered Accountants Camberley Bourne House Surrey Queen Street GU15 3PA Gomshall Surrey GU5 9LY

CAF Bank Ltd 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ

Approved by Trustees on 25th April 2022

On behalf of the Trustees J Bragg

4

FRIMLEY BAPTIST CHURCH

Independent Examiner’s Report to the Trustees of Frimley Baptist Church

I report to the trustees on my examination of the financial statements of The Frimley Baptist Church (‘the charity’) for the year ended 31 December 2021 which comprise the Statement of Financial Activities, the Balance Sheet and related notes.

This report is made solely to the charity’s trustees, as a body, in accordance with section 145 of the Charities Act 2011. My work has been undertaken so that I might state to the charity’s trustees those matters I am required to state to them in this report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for my work, for this report, or for the opinions I have formed.

Responsibilities and basis of report

As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (‘the Act’).

I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

An independent examination does not involve gathering all the evidence that would be required in an audit and consequently does not cover all the matters that an auditor considers in giving their opinion on the financial statements. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide. Consequently I express no opinion as to whether the financial statements present a ‘true and fair’ view and my report is limited to those specific matters set out in the independent examiner’s statement.

Independent examiner’s statement

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.

Andrew Skilton, ACA Independent Examiner Brewers Chartered Accountants Bourne House, Queen Street, Gomshall, Surrey, GU5 9LY

Date: 25 April 2022

5

FRIMLEY BAPTIST CHURCH

STATEMENT OF FINANCIAL ACTIVITIES

For the year ended 31st December 2021

Notes
Income and endowments from
Donations and legacies
Offerings and donations
Income tax recoverable on donations
Investment income
Interest
Charitable Activities
Children and youth clubs
Popin Café
Total Income
Expenditure
Charitable Activities
Ministry
2
Mission
2
Church premises
3
Café expenses
Support Costs
4
Total Expenditure
Net Income / (Expenditure) for the year
Transfer between funds
Other recognised gains / (losses)
Actuarial gains / (losses) on defined benefit
15
pensions schemes
Net Movement in Funds
Reconciliation of Funds:
Total Funds brought forward
Total Funds carried forward		 General
Designated
Restricted
Total
Total
Funds
Funds
Funds
2021
2020
£
£
£
£
£
165,817
-
20,139 185,956
190,363
36,982
-
3,956
40,938
41,262
202,799
-
24,095 226,894
231,625
413
-
-
413
1,169
413
-
-
413
1,169
93
-
2,802
2,895
890
391
-
-
391
209
484
-
2,802
3,286
1,099
203,696
-
26,897 230,593
233,893
74,924
-
-
74,924
74,561
49,175
-
26,428
75,603
69,545
30,698
18,879
-
49,577
69,972
406
-
-
406
150
24,378
-
-
24,378
24,208
179,581
18,879
26,428 224,888
238,436
24,115
(18,879)
469
5,705
(4,543)
3,166
(3,166)
-
-
-
801
-
-
801
10,913
28,082
(22,045)
469
6,506
6,370
112,056
484,682
2,731 599,469
593,099
140,138
462,637
3,200 605,975
599,469

6

FRIMLEY BAPTIST CHURCH

BALANCE SHEET

At 31st December 2021

Notes
Fixed Assets
Tangible fixed assets
6
Current Assets
Debtors
7
Bank and cash
Current Liabilities
Creditors: amounts falling due within
one year
8
Net Current Assets
Total Assets Less Current Liabilities
Net Assets excluding Pension Liability
Defined benefit pension scheme
Pension liability
9
Total Net Assets
Charity Funds
Unrestricted funds
Designated funds
10
Total unrestricted funds
Restricted funds
11
Total Charity Funds		 £
£
£
£
472,808
486,327
11,375
10,885
141,892
126,620
153,267
137,505
2,800
2,837
150,467
134,668
623,275
620,995
(17,300)
(21,526)
605,975
599,469
140,138
112,056
462,637
484,682
602,775
596,738
3,200
2,731
605,975
599,469
2021
2020		 £
£
£
£
472,808
486,327
11,375
10,885
141,892
126,620
153,267
137,505
2,800
2,837
150,467
134,668
623,275
620,995
(17,300)
(21,526)
605,975
599,469
140,138
112,056
462,637
484,682
602,775
596,738
3,200
2,731
605,975
599,469
2021
2020
620,995
(21,526)
599,469
112,056
484,682
596,738
2,731
599,469

Approved by the Trustees on 25 April 2022 and signed on their behalf by:

………………………………………. D Witt

………………………………………. G Thomas

7

FRIMLEY BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS

Year ended 31 December 2021

1. Accounting Polices

Basis of Accounting

The financial statements have been prepared in accordance with ‘Accounting and Reporting by Charities: Statement of Recommended Practice (Charities SORP 2021), applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Second Edition)’and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011 and the UK Generally Accepted Practice as it applies from 1 January 2015.

The financial statements have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following ‘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) (Second Edition)’rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

Frimley Baptist Church meets the definition of a public benefit entity under FRS 102.

The Church holds only basic financial instruments. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.

The trustees have assessed whether the use of the going concern basis is appropriate. After making enquiries, especially considering the impact of the Coronavirus pandemic, the trustees have concluded that there is a reasonable expectation that the Charity has adequate resource for the foreseeable future. The Charity therefore continues to adopt the going concern basis in preparing its financial statements.

Income

All incoming resources are included in the Statement of Financial Activities when the Charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.

Donations, including income tax recovered on donations, are accounted for gross when received.

Legacies are accounted for when probate has been completed, the amount of the legacy can be reliably quantified and the conditions of the legacy are within the control of the church.

Investment income is included in the accounts in the year in which it is receivable.

Expenditure recognition

All expenditure is accounted on an accruals basis. Expenditure is recognized where there is a legal or constructive obligation to make payments to third parties, it is probable that settlement will be required and the amount of the obligation can be measured reliably.

Support costs are those that assist the work of the church but do not directly represent charitable activities and include office costs and governance costs. A significant amount of management is carried out without charge by volunteers. This intangible cost is not included in the Statement of Financial Activities since there is no measurable cost to the volunteers for their services.

8

FRIMLEY BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS

Year ended 31 December 2021

1. Accounting Polices continued

VAT

Due to the nature of the Church’s activities, it is outside the scope of VAT and therefore its financial activities, as stated, are VAT inclusive.

Tangible fixed assets

Fixed assets over £1,000 are capitalised. Depreciation is provided on cost or revalued amount over the estimated useful lives of the assets. The rates Land and buildings – freehold property 2% straight line basis Fixtures, fittings and equipment 20% reducing balance basis

Although the freehold property has been revalued by the Trustees periodically, the Trustees do not intend to revalue the property in the future.

Funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the trustees for specific purposes. The revaluation of the freehold property has been treated as a designated fund and is reduced by the annual depreciation provided.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for specific purposes. Expenditure which meets the criteria is charged to the fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Employee benefits

For all eligible members of staff the church pays a fixed sum into their personal pension schemes on a defined contribution basis via the NEST scheme which complies with Auto-Enrolment.

In previous years the church had paid in to the Baptist Union final salary scheme for ministers. This is a defined benefit scheme and was found to be underfunded. The deficit on this scheme has required the church to continue to pay a fixed amount of £3,695 per annum. This liability for the agreed deficit reduction payments is recognised in the accounts.

9

FRIMLEY BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 31st December 2021

2. Direct Charitable Expenditure

Ministry:

Ministers' stipend and pension
Youth worker salary and pension
Expenses
Other costs
Mission
Given to other causes (see below)
Youth and children’s church
Outreach
Other groups
Other Causes
Remember the Poor
BMS
Appeal: Christmas
Appeal: Summer
Camberley Youth for Christ
Connect Christian Counselling
M & S Vening
S & A Matheson
B U (Home Mission)
Other
3. Upkeep of Church Premises
Lighting and Heating
Cleaning
Insurances (including Manse £514)
Repairs and maintenance (including Manse £6,995)
Water rates
Other costs (all Manse)
Council tax, water rates and broadband
Depreciation		 General
Restricted
Total
Total
Fund
Funds
2021
2020
£
£
£
£
39,417
-
39,417
39,787
33,868
-
33,868
33,279
1,323
-
1,323
463
316
-
316
1,032		 General
Restricted
Total
Total
Fund
Funds
2021
2020
£
£
£
£
39,417
-
39,417
39,787
33,868
-
33,868
33,279
1,323
-
1,323
463
316
-
316
1,032
74,924
-
74,924
74,561
Unrestricted Restricted
Total
Total
2021
2020
£
£
£
£
41,433
23,315
64,748
57,943
3,811
3,113
6,924
4,248
135
-
135
311
3,796
-
3,796
7,043
49,175
26,428
75,603
69,545
Raised
Given
Raised
Given
£
£
£
£
8,190
8,868
13,310
12,361
-
10,616
-
10,804
8,499
8,499
8,480
8,480
4,936
4,936
-
-
-
4,500
-
3,500
-
1,000
-
2,000
-
8,797
-
7,672
-
4,150
-
3,400
-
10,202
-
9,147
5,272
3,180
1,071
579
2021
2020
26,897
64,748
22,861
57,943
2021
2020
£
£
4,082
3,492
3,613
3,200
3,825
3,486
13,015
35,644
339
945
3,283
3,120
21,420
20,085
49,577
69,972

10

FRIMLEY BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 31st December 2021

4. Support Costs
Office salaries and pension
Printing, stationery and IT running costs
Telephone
Bank charges
Other administration costs
Governance costs - Independent Examination fees		 2021
2020
£
£
11,496
14,911
4,484
2,700
563
675
327
417
4,830
3,273
2,679
2,232
24,379
24,208

Support costs are fully allocated to general funds and are not allocated to any restricted funds.

5. Employees and Key Management Personnel

The key management personnel of the Charity comprise of the trustees, minister and youth worker. The aggregate remuneration paid to key management personnel during the year was £66,828 (2020 - £65,471). No trustees were remunerated for their role as trustee.

£65,471). No trustees were remunerated for their role as trustee.
Wages and salaries
Social security costs
Pension costs - defined contribution
Average number of employees
Ministry
Management and administration		 2021
2020
£
£
72,936
74,795
6,358
6,319
9,047
9,144
88,341
90,258
4
4
2
2
2
2

No employee received remuneration in excess of £60,000.

6. Tangible Fixed Assets

6. Tangible Fixed Assets
Freehold Computers
land & & other Fixtures &
Buildings Equipment Fittings Total
£ £ £ £
Cost
At 1st January 2021 943,958 76,853 11,770 1,032,581
Additions - 7,901 - 7,901
Disposals - -
At 31st December 2021 943,958 84,754 11,770 1,040,482
Depreciation
At 1st January 2021 462,442 72,093 11,719 546,254
Charge for the year 18,879 2,531 10 21,420
Disposals - - - -
At 31st December 2021 481,321 74,624 11,729 567,674
NET BOOK VALUES
At 31st December 2021 462,637 10,130 41 472,808
At 31st December 2020 481,516 4,760 51 486,327
All of the fixed assets are used for direct charitable purposes.

11

FRIMLEY BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 31st December 2021

7. Debtors
2021
2020
£
£
Accrued Income: income tax recoverable
11,375
10,885
11,375
10,885
8. Creditors: amounts falling due within one year
2021
2020
£
£
Accruals
2,800
2,837
2,800
2,837
9. CDefined benefit pension scheme liability
2021
2020
£
£
Pension scheme liability
17,300
21,526
Further details see note 15.
17,300
21,526
10. Designated funds
Buildings
£
Balance at 1st January 2021
481,516
Expenditure
18,879
Balances at 31st December 2021
462,637		 2021
2020
£
£
11,375
10,885		 2021
2020
£
£
11,375
10,885
11,375
10,885
2021
2020
£
£
2,800
2,837
2,800
2,837
2020
£
21,526
17,300 21,526
Buildings
£
481,516
18,879
462,637

The designated fund relates to the revaluation of the freehold property less depreciation charged to the Statement of Financial Activities.

11. Restricted funds

11. Restricted funds
Remember the Poor
Appeals: Christmas
Appeals: Summer
Holiday at Home
Youth Club
Youth
Children's Groups
FBC Juniors
Summer Camp
Mission donations
Pastoral Care		 Balances
at 1st
January
2021
Income
Expenditure
Transfer
between
funds
Balances
at 31st
December
2021
£
£
£
£
2,161
8,190
8,868
-
1,483
-
8,499
8,499
-
-
-
4,936
4,936
-
187
-
-
-
187
200
954
1,154
-
-
-
1,148
888
260
42
450
310
182
141
250
141
-
250
-
620
620
-
-
-
900
900
-
-
-
950
112
838
2,731
26,897
26,428
-
3,200

12

FRIMLEY BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 31st December 2021

12. Funds by Net Assets

Fixed Assets
Current Assets
Creditors
Net Assets		 Unrestricted
Funds
£
10,171
150,067
(20,100)
140,138		 Designated
Funds
£
462,637
-
-
462,637		 Restricted
Funds
£
-
3,200
-
3,200		 Total
Funds
£
472,808
153,267
(20,100)
605,975

13. Transactions with Trustees, Elders and connected parties.

During the year the trustees made donations to the Frimley Baptist Church of £10,790 (2020 - £15,390).

Glyn Thomas, a trustee, was paid a salary of £34,897 pension of £3,815 and expenses of £737 in his position of Minister of the church. Expenses relate to travel and training. This is allowed in the Charity's constitution.

The son of Duncan Matheson works with the charity Youth With a Mission, and received a donation of £4,150 from Frimley Baptist Church in the year.

14. Commitments

At the reporting end date the church had the following minimum commitments to cover half the Camberley Youth for Christ gap year placement until July 2022.

Expiring in less than one year

2021
£
588
588		 2020
£
-
-

13

FRIMLEY BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 31st December 2021

15. Pension

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 Minister' 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.

For any month, each participating employer in the Scheme pays contributions as set out in the Schedule of Contributions in force at that time.

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 in the event that 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. Members of the Basic Section pay reduced contributions of 5% of Pensionable Income, and their employers also pay a total of 5%. The further 4% contribution rate is reduced to 3% for Employer contributions made to the Segregated DC Arrangement.

The Scheme is considered to be a multi-employer scheme as described in Section 28 of FRS102. This is because it is not possible to attribute the Scheme's assets and liabilities to specific employers and means that contributions are accounted for as if the Scheme were a defined contribution scheme. The pension costs charges to the SOFA in the year are contributions payable towards benefits and expenses accrued in that year, plus any impact of deficiency contributions (see below).

Actuarial valuation as at 31 December 2019

A formal valuation of the Defined Benefit (DB) Plan was performed at 31 December 2019 by a professionally qualified Actuary using the Projected Unit Method. At the valuation date the market value of the DB Plan assets was £298 million, whilst the level of assets needed to pay benefits was £316 million, giving a deficit of £18 million (equivalent to a past service level of 94%). The church and other participating employers in the DB Plan are collectively responsible for funding this deficit.

14

FRIMLEY BAPTIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS

For the year ended 31st December 2021

15. Pension (continued)

The key assumptions underlying the valuation were as follows:

Minimum Pensionable Income increase Adjustment (above CPI)
Pre-retirement assumed investment returns (gilt yield plus 1.75%pa)
Post retirement assumed investment returns (including benefits
Type of financial assumption
matched by the insurance policy)(gilt yield plus 0.5% pa)
RPI price inflation assumption
CPI price inflation assumption
Post April 2009
Pre April 2009
Minimum Pensionable Income increases (CPI plus 0.5%)
Deferred pension increases (based on RPI)
Pension increases
Based on CPI with an annual floor of 0% and annual cap of 5%		 3.20
2.70
0.50
2.95
1.70
3.20
3.20
2.50
2.70
% pa
3.
2.
0.
CPI)
of 5%

Mortality is assumed in accordance with 80% of the S3NA standard mortality table, Future improvements projects from 2013 in line with the "CMI 2019" projection with a long-term rate of improvement of 1.75%pa for males and 1.5% pa for females with the core smoothing parameter and with additional initial mortality improvement factor

The next actuarial valuation of the DB Plan within the Scheme is due to take place not later than as at 31 December 2022.

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.

Under the current Recovery Plan dated 30 September 2020, deficiency contributions are payable until 30 June 2026. These contributions are broadly based on the employer's membership at 31 December 2014 and increase annually in line with increases to Minimum Pensionable Income as defined in the Rules.

Movement in Balance Sheet liability

Section 28.11A of FRS 102 requires agreed deficit recovery payments to be recognised as a liability. The movement in the provision is set out in the table below.

Accounting date (year ending):

Balance sheet liability at year end
Unwinding of the discount factor (interest expense)
Minus deficiency contributions paid
Remaining change to balance sheet liability* (recognised in SoFA)
Balance sheet liability at year start		 31 Dec 2021
£
21,526
(3,695)
270
(801)
17,300		 31 Dec 2020 31 Dec 2020
£
34,452
(2,724)
711
(10,913)
21,526

This liability represents the present value of the deficit contributions agreed as at the accounting date and has been valued using the following assumptions set by reference to the duration of the deficit recovery payments:

Accounting date

Discount rate
Future increases to Minimum Pensionable Income		 31 Dec 2021
2.0%
4.1%		 31 Dec 2021
2.0%
4.1%		 31 Dec 2020 31 Dec 2020 31 Dec 2020
2.0%
4.1%		 1.4%
3.2%

15

FRIMLEY BAPTIST CHURCH

STATEMENT OF FINANCIAL ACTIVITIES

For the year ended 31st December 2021

16. Comparatives for the Statement of Financial Activities - year ended 31 December 2020

Income
Donations and legacies
Offerings and donations
Income tax recoverable on donations
Charitable Activities
Mothers, babies and toddlers
Popin Café
Investment income
Interest
TOTAL INCOME
EXPENDITURE
Charitable Activities
Ministry
Mission
Church premises
Café expenses
Support Costs
TOTAL EXPENDITURE
NET INCOME (EXPENDITURE)
TRANSFER BETWEEN FUNDS
NET MOVEMENT IN FUNDS
FUNDS BROUGHT FORWARD AT 1ST JANUARY 2020
FUNDS CARRIED FORWARD AT 31ST DECEMBER 2020		 General
Designated Restricted
Total
Funds
Funds
Funds
2020
£
£
£
£
171,375
-
18,988
190,363
38,085
-
3,177
41,262
209,460
-
22,165
231,625
194
-
696
890
209
-
-
209
403
-
696
1,099
1,169
-
-
1,169
1,169
-
-
1,169
211,032
-
22,861
233,893
63,648
-
-
63,648
47,780
-
21,765
69,545
51,093
18,879
-
69,972
150
-
-
150
24,208
-
-
24,208
186,879
18,879
21,765
227,523
24,153
(18,879)
1,096
6,370
3,166
(3,166)
-
24,153
(15,713)
(2,070)
6,370
87,903
500,395
4,801
593,099
112,056
484,682
2,731
599,469

16