**… leading, facilitating and resourcing local churches in worship, discipleship, service and mission** 

## **Trinity Methodist Circuit (25/19) Sheffield District** 

**Trustees’ Report and Financial Statements For the year ended 31[st] August 2020** 

**Charity Registration Number: 1133071** 


1 



**TRINITY METHODIST CIRCUIT TRUSTEE'S ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2020** 

## **Introduction** 

The Circuit Stewards present their report along with the financial statements of the Trinity Methodist Circuit for the year ended 31 August 2020. The financial statements have been prepared in accordance with the attached accounting policies. 

## **1. Reference and Administrative Details** 

The Charity's annual report and accounts for the year ended 31 August 2020 have been prepared in accordance with the Charities Act 2011 and the Charities: Statement of Recommended Practice 2015 as applicable to the Financial Reporting Standard (FRS) 102. 

**Trinity Methodist Circuit Registration Charity Number:  1133071 Date of registration 02/12/09** 

|Main communication address|The Crossing Church|
|---|---|
||Newcastle Street|
||Worksop|
||S80 2AT|



The members of the Trinity Methodist Circuit meeting are the Charity Trustees, membership being made up of circuit office holders, ministers and representatives appointed by the local churches. Full membership is shown as **Appendix A** to this report. 

## **Circuit Ministers and officers** 

## **Active Circuit Ministers:** 

Rev J Coates (appointed 01.09.19) Rev G S Clarke (resigned 31.03.20) Rev M J Cantrill Rev J Mullis OBE Rev A Pothecary (appointed 01.09.20) 

|**Lay Pastoral Worker:**||
|---|---|
|Mrs T Abel|(retired 31/08/20)|
|**Circuit Stewards:**||
|Mr S Welchman||
|Mr G Daniels|(resigned 7/10/20)|
|Mr K M Abel||
|Mrs H Bennett||
|Mr P Mullis (Treasurer)||



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**Operations Manager** 

Mr R Dearden 

(appointed 24.11.20) 

## **Administrators** : 

Mrs D Welchman Mr D Burton 

**Independent examiner:** Mrs H Rotherham **Investment Bankers:** Central Finance Board of the Methodist Church Trustees for Methodist Church purposes CAF Bank Ltd. 

## **2. Structural Overview** 

## **Aims and organisation** 

The Charity objective is to act as a Resource provider within the area around Retford, Worksop & Kiveton for 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 discipline of The Methodist Church; b) Any charitable purpose for the time being of any Connexional, District, Circuit, local or other organisation of The Methodist Church; c) Any charitable purpose for the time being of any society or institution subsidiary or ancillary to The Methodist Church; d) Any purpose for the time being of any charity being a charity subsidiary or ancillary to The Methodist Church 

In fulfilling these purposes the Circuit promotes and supports: 

- The organisation and resourcing of regular public acts of worship open to members of the church and non members alike. 

- The teaching of Christianity through sermons, courses and small groups. 

- The resourcing of pastoral work including visiting the sick and bereaved. 

- Taking religious assemblies in local schools. 

- Promotion of Christianity through the staging of events and services. 

- Provision of chaplaincy services to the local institutions. 

The Circuit seeks to live out the calling of the Methodist Church, which is summarised this: 

‘The Calling of the Methodist Church is to respond to the Gospel of God’s love in Christ and to live out its discipleship and: 

- To increase awareness of God’s presence and to celebrate God’s love; 

- To help people grow and learn as Christians through mutual support and care; 

- To be a good neighbour to people in need and to challenge injustice; 

- To make more followers of Jesus Christ’ 

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## **Public Benefit** 

The Circuit provides support for the ministry team that ensures regular acts of worship take place at each of the Methodist Churches in the geographical area. Acts of worship are open to all people, without charge. 

We confirm the Trustees have had regard to the Charity Commissions guidance on public benefit. 

## **Structure, Governance and Managemen** t 

The governing document for the Circuit is the Deed of Union (1932) and Methodist Church Act (1976). 

Detailed governance arrangements are outlined within the Constitutional Practice and Discipline of the Methodist Church by order of the annual conference (CPD). 

Day to day management of the circuit is undertaken by the Circuit Leadership team along with the Local Preachers meeting, the Circuit Finance and Property Committee and the Circuit Policy Committee. 

## **Trustee Training** 

A range of guidance produced by Methodist Connexion to support the effective running of the circuit, specifically the leaflet 'The Role of a Trustee in The Methodist Church' is given to all new Circuit meeting members as induction to their role as trustees. 

## **Related Parties** 

The Circuit is part of the Sheffield District and is also accountable to the Methodist Conference. The following Methodist Churches are linked to the circuit: Carlton, The Crossing, Dinnington, Grove Street, Hallcroft, Harthill (closed 2019), Leverton, North Anston, Rampton, South Anston, Tuxford (closed 2019), Wales, Wheatley, Whitwell and Woodsetts. 

## **Risk Management** 

The major risks have been identified and recorded by the Circuit Finance and Property Committee with professional advice taken as required. There is a regular annual review process undertaken and recorded. Income and Expenditure is being monitored in total and is compared with the approved annual budget on a half yearly basis to detect trends as part of the risk management process to avoid unforeseen calls on reserves. 

## **Statement of safeguarding principles** 

Every person has a value and dignity which comes directly from the creation of male and female in God's own image and likeness. Christians see this potential as fulfilled by God's recreation of us in Christ. Among other things this implies a duty to value all people as bearing the image of God and therefore to protect them from harm. 

Methodist Connexional practice outlines commitment to the following principles: 

- The care and nurture of, and respectful pastoral ministry with, all children, young people and adults. 

- The safeguarding and protection of all children, young people and adults when they are vulnerable. 

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- The establishing of safe, caring communities which provide a loving environment where there is informed vigilance as to the dangers of abuse. 

We will carefully select and train all those with any responsibility within the Church, in line with safer recruitment principles, including the use of criminal records disclosures and registration with the relevant vetting and barring schemes. 

We will respond without delay to every complaint made which suggests that an adult, child or young person may have been harmed, cooperating with the police and local authority in any investigation. 

We will seek to work with anyone who has suffered abuse, developing with them an appropriate ministry of informed pastoral care. 

We will seek to challenge any abuse of power, especially by anyone in a position of trust. 

Working with the District Safeguarding Officer, we will support risk assessment of those who present a safeguarding risk within a church environment. We will ensure appropriate pastoral care is offered and measures are taken to address identified risks including referral to statutory agencies, suspension and the use of safeguarding contracts. We will recognise and apply the restrictions to appointment laid down in Standing Order 010 of the Constitutional Practice and Discipline of the Methodist Church. 

## **3. Trinity Circuit Mission Statement** 

**Our Vision** The vision of our Circuit is to be an inspiring and enabling agency in our Churches’ mission. 

**Our Mission** The mission of our Circuit is to lead, facilitate and resource the lives of our Churches, within their communities, in their work of Christian worship, service and outreach. 

The Circuit assists the Churches with practical governance issues to release members for mission, and ensures ministry is offered in collaborative, innovative and supportive ways. 

## **Our Policy** 

## **In Worship we will:** 

- Offer, through the Circuit Plan, creative worship rooted and grounded in each context which enables people to encounter God. 

- Discern the gifts and skills of people for use in worship and provide the means of training and ongoing development of preachers and worship leaders. 

## **In Discipleship (learning and caring) we will:** 

- Assist congregations in sharing testimony, leading people to faith in Jesus and then nurturing them in that faith through opportunities for study, prayer and fellowship. 

- Help members to discern their vocation. 

- Ensure the safeguarding and protection of all. 

- Set up and develop local structures to encourage pastoral care to be practised. 

## **In Service we will:** 

- Encourage people to be good neighbours in their community, to challenge injustice and to use their resources to support the Church in its mission to the world. 

- Engage with initiatives from the District Synod and Methodist Conference to raise awareness of contemporary concerns and to provide a prophetic voice. 

- Build partnerships with schools, care homes and other community agencies. 

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## **In Mission (evangelism) we will:** 

- Provide training and resources so that we can all express our faith effectively to others, within our context. 

- Encourage churches to consider their mission as something to be done in partnership, particularly with ecumenical neighbours. 

- Build on the rich heritage of our past. 

**This was revised in June 2020.  It is designed to be a living document and will be reviewed regularly with reports made on each section in turn at Circuit Meetings.** 

## **4.  Annual Performance Review 2019-20** 

This year began with the arrival of a new Superintendent Minster, Rev Julie Coates and her husband Neville, who were welcomed to the area in a service at the Crossing at the beginning of September.  Further staffing changes have followed during the year with Rev Geoffrey Clarke leaving in March 2020 to take up a post as Regional Moderator for the URC and our Pastoral Lay worker, Teresa Abel, retiring at the end of August 2020. 

We were successful in appointing a new minister for the churches in the Anston area, Rev Angela Pothecary, to take up post in September 2020. In the second part of the year we explored the possibility of appointing an Operations Manager for the Circuit and were successful in obtaining a grant of £30,000 over three years from the District to support this post.  This appointment was filled in November 2020. We also entered discussions with The Crossing regarding a ministerial appointment for September 2021 to replace Rev Geoffrey Clarke.  It was agreed that we should look to appoint a Deacon rather than Presbyter and this process has now been successfully completed. 

This has been a very challenging year for the Circuit with the onset of the Covid-19 Pandemic in March 2020 and the consequences of this are as yet unclear but will almost certainly be significant.  Inevitably the majority of our regular worship and outreach activities have had to be put on hold for part of the year and beyond. However the Circuit has been innovative in its response to the pandemic and found ways of developing an effective online presence in worship with a weekly recorded circuit service, which has been well received, and daily messages of encouragement.   Business meetings for the circuit and a number of churches have taken place by Zoom and much valuable work has been able to be completed.  There have been a range of online initiatives to help maintain pastoral work and to offer companionship to those isolating or living away from their family, e.g. Sunday morning Chat, Saturday Elevenses, as well as a resurgence of online fellowship groups and study groups. Whitwell experimented with Zoom services. 

All of this has been supported by doorstep visits, paper newsletters and occasional gifts delivered to those without internet access.  There have also been a number of opportunities for members to take part in craft activities to develop a visual witness in homes and some of our churches. The vestibule at Grove Street, for example, has been lit up through winter with appropriate displays to attractive attention of passersby. Moving out into the community, planters were delivered to all the Care Homes in the Retford area and in Wheatley there was a Take Away High Tea to replace the usual monthly community lunches. 

After the initial lockdown a number of churches worked hard following government guidelines to reopen once they had completed rigorous risk assessments and developed appropriate safety procedures. Worship restarted at the Crossing from early August and the Cafe was also reopened. Grove Street, Carlton, South Anston, Wales and Dinnington also reopened on a Sunday to show the circuit’s recorded service and these services were well attended given the need for social distancing. However subsequent restrictions have meant that these initiatives were short lived. 

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Prior to the Pandemic there were a number of significant events to report in the life of the circuit. The Circuit undertook two consultation meetings on the ‘God in love unites us report’ but this could not be discussed further at District level because of the pandemic. A Singing with Dementia group at The Crossing met once a month and in November The Crossing responded to flooding in the centre of Worksop by opening its premises to a number of groups seeking temporary alternative accommodation. In Dinnington there was unwelcome news about the planned closure of the Dinnington Campus of Rotherham College, but chapel members are hopeful that the Lunch Club collaboration involving local students will be able to continue despite this change. 

There was much activity at the end of 2019. Hallcroft celebrated their 60[th] Anniversary in December and Grove Street again held a Star Festival and joined in with the town’s Illuminate Parade building up to the 400[th] celebration of the Mayflower sailing in 2020.  The 2020 celebrations sadly had to be put on hold once it was clear that the Pandemic would not be over shortly. South Anston’s Christmas Tree Festival was extended to two weeks and North Anston sent over 200 shoeboxes to Samaritan’s Purse.  Members at Wales supported the annual pantomime in Sheffield, Sleeping Beauty, performed by the Wales Community Theatre Players, who meet at the chapel 

Ecumenical relationships within the circuit remain strong in Leverton and Wheatley and continue to develop elsewhere. Leverton’s Harvest Supper and Street Nativity were well supported as in previous years. Members at Carlton and Hallcroft shared in a Covenant Service with parishioners from local C of E churches and Woodsetts Anniversary Service was supported by friends from St Georges C of E.  In Retford Methodists are involved in the newly formed Faith Action Network. 

Finally there were some significant Property developments during 2019-20.  The sales of Methodist church premises at Harthill and Tuxford were completed and the proceeds from the latter will be used as part of the redevelopment of Grove Street.  This will enable the repair of the ceiling in the sanctuary and redecoration and reordering within the same area.  Work on this should move forward quickly in 2021. Dinnington Manse was let to a private tenant for 12 months and the Shepherds Avenue manse was let to the URC from April 2020. 

## **5.  Moving Forward** 

Once the Circuit emerges from the Pandemic there will be a need to regroup and reassess the future shape and mission of the circuit. 

At District level an initiative has developed entitled **‘For such a time as this’** which invites churches to use the post Pandemic period to think carefully about how they can more effectively respond to the challenges they face in their local context. **‘For such a time as this’** has identified six priorities to help churches fulfil their calling.  In the words of the strategy these are: 

- **GROWING DISCIPLES** lies at the heart of our strategy, as a bedrock of supportive accountable, deepening relationship with each other and with Christ. 

- This leads to **PASSIONATE CONTEXTUAL WORSHIP** and **TRANSFORMING MISSION** _for such a time as this._ 

- Particular support is needed to rediscover confidence in **SHARING STORIES** _for such a time as this._ 

- We will help set disciples free for a life of worship and mission by **SIMPLIFYING PROCEDURES** and expert support to make their **PROPERTIES FIT FOR MISSION** _for such a time as this._ 

The Circuit has already begun to embrace this strategy in the development of new forms of online worship, which have included the sharing of local stories. The appointment of an Operations Manager will help us simplify administrative procedures and reduce the administrative burden laid on our ministers. It will also enable us to look critically at our properties to ensure that they are fit for mission. Ongoing work at Grove Street is a good 

7 



example of our commitment to this principle and we recognize that a restructuring of the three managements groups at the Crossing is also necessary and overdue. 

## **6. Financial Overview** 

## **Introduction** 

The Circuit provides for:- 

- a) the ministerial oversight and pastoral care of local churches in the Circuit 

- b) the support of the ministry team of four presbyteral ministers, five supernumerary ministers, and lay workers 

- c) the maintenance of six Circuit manses. 

There is a general Unrestricted Fund, a Model Trust Fund, which is available for buildings, new projects and general expenditure of the Circuit, and a restricted Bequests Fund. 

Interest received from the Bequest Funds is available for general use. Unlimited amounts may be drawn from the Circuit Advance Fund for general use upon application. The Circuit is governed by the Circuit Meeting which oversees the whole life of the Circuit. The Leadership Meeting which has authority to act on behalf of the Circuit Meeting to take forward the Circuit Policy and to consider and recommend to the Circuit Meeting areas of new policy. 

## **Review of the year** 

We have 44 trustees. The outstanding loan to Carlton remains at £45,423. 

Grants were made during the year to The Crossing (£5,000) for the upgrade of AV systems, Grove Street (£2,000) for previously agreed building schemes. Grants were also made to churches to cover the 20% shortfall in payments received from the Governments Coronavirus Job Retention Scheme for furloughed staff as follows, The Crossing SEC (£1,594), The Crossing Café (£2,774) and Grove Street (£289). 

No draw down was made from the Model Trust Fund to meet general expenditure in 2019/20. 

Two church buildings were sold during the year. Harthill (£142,939), it is agreed that this will be earmarked towards the employment of a Circuit Operations Manager from autumn 2020. 

Tuxford (£110,509), these funds are earmarked for building schemes at Grove Street. 

The Circuit continues to successfully fulfil its Mission Statement which is continually reviewed and will be updated as required. 

## **Income trends** 

Circuit income is primarily drawn from the assessment paid by the Circuit Churches. With the impact of Covid-19 and financial insecurity experienced by a number of churches, there is a likelihood of reduced income from Assessments in future and this will need to be monitored carefully.  The lettings income relates to the rental of 4 manses. Other income is generated from printing, recharged expenses and sundry items.  The Circuit were fortunate to be awarded a £30,000 grant over three years to support the appointment of an Operations 

8 



Manager and an initial payment of £12,000 will be made in the current financial year. (202021) 

## **Expenditure trends** 

Stipend expenditure has increased each financial year in line with conference approved increases. 

19% of expenditure is the Circuit contribution to the District and Connexion, of which a significant part is used to fund the work of the wider Methodist Church. The other expenditure includes £25,096 for the services of the URC minister with whom the Circuit had an ecumenical partnership, this arrangement terminated on 31[st] March 2020. 

## **Fund balances** 

As at 31 August 2020 the net current assets of the Circuit were £479,875, giving approximately 30 months cover for expenditure. 

## **Plans for 2020/21** 

Circuit financial plans for the coming year have been prepared on the basis that there will be 2 full time ordained members of staff and 1 Probationer Deacon with anticipated cost of living stipend increases. No increase is anticipated in the Assessment paid to the district. In addition a Circuit Operations Managed was appointed in November 2020 on a three-year fixed term contract. 

## **Reserves Policy** 

It is the policy of the Circuit to maintain unrestricted funds at a level which is sufficient to cover twelve months running costs. 

The Policy for the Model Trust Fund (previously Circuit Advance Fund) (restricted fund) is £192,000 for anticipated property expenses. 

## **Investment policy** 

Surplus funds in the General Account are invested in the Methodist Church Central Finance Board. Bequests Fund, where the capital is used to generate income for general use, is similarly invested. 

## **Circuit Stewards responsibilities in relation to the financial statements** 

The Circuit Stewards are responsible for preparing a circuit annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). 

The law applicable to charities in England and Wales requires the Circuit Stewards to prepare financial statements for each year which give a true and fair view of the state of affairs of the charity and of the incoming resources and statements for application of resources, of the charity for that period. In preparing the financial statements, the Circuit Stewards are required to: 

- select suitable accounting policies and then apply them consistently. 

9 



- observe the methods and principles in the applicable Charities SORP; 

- make judgement and estimates that are reasonable and prudent; 

- state whether applicable accounting standards have been followed, subject to any material departures that must be disclosed and explained in the financial statements; 

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business. 

The Circuit Stewards are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the Trust Deed. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities. 

The Circuit Stewards are responsible for the maintenance and integrity of the charity and financial information included on the charity's website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements. 

Approved by the Circuit Stewards on 8[th] March 2021 and signed on their behalf by: 

………………………………………… - Superintendent Minister 

………………………………….……… - Circuit Steward 

10 



Trinity Methodist Circuit 

Circuit No 25/19 

## **Statement of Financial Activities (SOFA) for the year ended 31 August 2020** 

|**Income**|**Notes to**<br>**the**<br>**accounts**|<br>**General Fund**<br>**(Unrestricted)**|**Circuit Model**<br>**Trust**<br>**(Unrestricted)**|**Designated**<br>**Funds**<br>**(unrestricted)**|**Restricted**<br>**Funds**|**Endowment**<br>**Funds**|**Total**<br>**2019-20**|
|---|---|---|---|---|---|---|---|
|||£<br>£<br>£<br>£<br>£<br>£||||||
|1   Donations and legacies||-|-|-|-|-|0|
|2   Income from monetaryinvestments||166|1,238|-|594|447|**2,444**|
|3   Income from investmentproperties|4|27,040|-|-|-|-|**27,040**|
|4   Assessments on Churches|5|166,865|-|-|-|-|**166,865**|
|5   Capital Receipts||-|-|-|-|-|**0**|
|6   Grants received||-|-|-|-|-|**0**|
|7   Other charitable income||3,883|-|-|-|-|**3,883**|
|8**Total income**||**197,955**|**1,238**|**-**|**594**|**447**|**200,233**|
|**Expenditure**||||||||
|9   Grants and donations|8|5,165|7,157|-|-|-|**12,322**|
|10 Salaries and associated costs|9|101,013|-|-|-|-|**101,013**|
|11 Propertymaintenance||9,671|-|-|-|-|**9,671**|
|12 Connexional assessment & model trust levy||-|-|-|-|-|**0**|
|13 District Assessment & Levy||36,192|1,109|-|-|-|**37,301**|
|14 Depreciation||707|-|-|-|-|**707**|
|15 Office expenses|10|8,323|-|-|-|-|**8,323**|
|16 Other outgoings|11|24,388|89|-|138|104|**24,719**|
|17**Total charitable expenditure**||**185,458**|**8,355**|**0**|**138**|**104**|**194,056**|
|||||||||
|18 Gains/(losses)on monetaryinvestments||-|321<br>-|-|-|84|-237|
|19 Gains/(losses)on investmentproperties||161,804|-|-|-|-|161,804|
|20**Net income/(expenditure)**||**174,300**|**-7,438**|**0**|**456**|**426**|**167,744**|
|||||||||
|21 Transfers between funds||253,108<br>-|253,449|-|-|341<br>-|0|
|22 Othergains/(losses)||-|-|-|-|-|0|
|23**Net movement in funds**||**-78,808**|**246,011**|**0**|**456**|**85**|**167,744**|
|||||||||
|24 Total funds brought forward||2,130,914|97,553|-|-|121,323|2,349,790|
|**25 Total funds carried forward**||**2,052,107**|**343,564**|**-**|**456**|**121,408**|**2,517,534**|



11 



Trinity Methodist Circuit 

Circuit No 25/19 

## **Statement of Financial Activities (SOFA) for the year ended 31 August 2019** 

|**Income**|**Notes to**<br>**the**<br>**accounts**|<br>**General Fund**<br>**(Unrestricted)**|**Circuit Model**<br>**Trust**<br>**(Unrestricted)**|**Designated**<br>**Funds**<br>**(unrestricted)**|**Restricted**<br>**Funds**|**Endowment**<br>**Funds**|**Total**<br>**2018-19**|
|---|---|---|---|---|---|---|---|
|||£<br>£<br>£<br>£<br>£<br>£||||||
|1   Donations and legacies||-|-|-|-|-|0|
|2   Income from monetaryinvestments||252|751|-|-|476|**1,479**|
|3   Income from investmentproperties||22,650|-|-|-|-|**22,650**|
|4   Assessments on Churches||178,061|-|-|-|-|**178,061**|
|5   Capital Receipts||-|-|-|-|-|**0**|
|6   Grants received||-|-|-|-|-|**0**|
|7   Other charitable income||-|-|-|68,996|2|**68,998**|
|8**Total income**||**200,963**<br>**751**<br>**-**<br>**68,996**<br>**478**<br>**271,188**||||||
|**Expenditure**||||||||
|9   Grants and donations||100|-|-|-|-|**100**|
|10 Salaries and associated costs||134,564|-|-|-|-|**134,564**|
|11 Propertymaintenance||10,746|-|-|-|-|**10,746**|
|12 Connexional assessment & model trust levy||-|-|-|-|-|**0**|
|13 District Assessment & Levy||36,192|1,057|-|-|-|**37,249**|
|14 Depreciation||236|-|-|-|-|**236**|
|15 Office expenses||8,642|-|-|-|-|**8,642**|
|16 Other outgoings||30,342|85|-|-|103|**30,530**|
|17**Total charitable expenditure**||**220,822**|**1,142**|**0**|**0**|**103**|**222,067**|
|||||||||
|18 Gains/(losses)on monetaryinvestments||69,937|223|-|-|503|70,663|
|19 Gains/(losses)on investmentproperties||238,839|-|-|-|106|238,945|
|20**Net income/(expenditure)**||**288,917**|**-168**|**0**|**68,996**|**984**|**358,729**|
|||||||||
|21 Transfers between funds||373|-|-|-|373<br>-|0|
|22 Othergains/(losses)||-|-|-|-|-||
|23**Net movement in funds**||**289,290**|**-168**|**0**|**68,996**|**611**|**358,729**|
|||||||||
|24 Total funds brought forward||1,841,624|97,721|-|-|51,715|1,991,060|
|**25 Total funds carried forward**||**2,130,914**|**97,553**|**-**|**68,996**|**52,326**|**2,349,789**|
|||||||||



12 



Trinity Methodist Circuit 

**Circuit No 25/19** 

## **Balance Sheet as at 31 August 2020** 

|**Notes to the**<br>**Accounts**<br>**Fixed Assets**|**Notes to the**<br>**Accounts**<br>**Fixed Assets**|**General Fund**<br>**(Unrestricted)**<br>£|**Circuit Model**<br>**Trusts**<br>**(Unrestricted)**<br>£|**Designated**<br>**Funds**<br>**(Unrestricted)**<br>£|**Restricted**<br>**Funds**<br>£|**Endowment**<br>**Funds**<br>£|**Totals**<br>**2019/20**<br>£|**Totals**<br>**2019/20**<br>£|**Totals**<br>**2018/19**<br>£|
|---|---|---|---|---|---|---|---|---|---|
|||||||||||
|Circuit Manses & Equipment|14|255,570|||||255,570||2,102,703|
|Investmentproperties|15|1,754,781|||-|-<br>1,754,781|||27,545|
|Investments|15|-|17,871|-|-|9,437|27,308|||
|**_Total fixed assets_**||**2,010,351**|**17,871**|**0**|**0**|**9,437**|**2,037,659**||**2,130,248**|
|**Current Assets**||||||||||
|Debtors||9,545|-|-|-|-|9,545||11,933|
|Loans bythe Circuit|16|13,321|50,174|-|-|-|63,495||66,495|
|Investments with TMCP||-|275,808|-|69,452|42,974|388,234||138,157|
|Central Finance Board Deposits||39,665|-|-|-|-|39,665||40,233|
|Cash at Bank and in hand||10,261|289<br>-|-|46<br>-|-|9,926||4,754|
|**_Total current assets_**||**72,792**|**325,693**|**-**|**69,406**|**42,974**|**510,865**||**261,572**|
|**Current liabilities**||||||||||
|Creditors (due in under 1 year)||31,036|-|-|46<br>-|-|30,990||42,030|
|Grantspayable within 2020-21||-|||||0||0|
|**_Total current liabilities_**||**31,036**|**0**|**0**|**-46**|**0**|**30,990**||**42,030**|
|**_Net current assets/liabilities_**||**41,756**|**325,693**|**0**|**69,452**|**42,974**|**479,875**||**219,543**|
|||||||||||
|**_Total assets less current liabilities_**||**2,052,107**|**343,564**|**0**|**69,452**|**52,412**|**2,517,534**||**2,349,790**|
|||||||||||
|**Long term liabilities**<br>**(due after more than oneyear)**||||||||||
|Grantspayable after 2020-21||-|-|-|-|-|**0**|||
|Loans to the Circuit||-|-|-|-|-|**0**|||
||||||||**0**|||
|**_Net assets_**||**2,052,107**|**343,564**|**0**|**69,452**|**52,412**|**2,517,534**||**2,349,790**|
|**Funds of the Circuit**||||||||||
|General Fund(Unrestricted)||2,052,107|343,564||**69,452**||2,052,107||2,130,914|
|Circuit Model Trust Fund (Unrestricted)|||343,564||||343,564||97,553|
|Designated Funds (Unrestricted)||||0|||0||0|
|**_Total Unrestricted Funds_**|||||||**2,395,670**||**2,228,467**|
|Restricted Funds|||||**69,452**||69,452||**68,996**|
|Endowment Funds||||||**52,412**|52,412||**52,327**|
|**_Total Funds_**||**2,052,107**|**343,564**|**0**|**69,452**|**0**|2,517,534||**2,349,790**|



Signed 

Circuit Treasurer 

13 



**Trinity Methodist Circuit** 

## **Notes to the Accounts For the year ended 31 August 2020** 

## **1. Basis of accounting** 

The financial statements have been prepared under the Charities Act 2011 in accordance with the 2014 version of Accounting and Reporting by Charities: Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with FRS102 – the Charities SORP (FRS102) and taking note of the Update Bulletin 1 issued in 2016. 

## **2. Funds** 

The funds held constitute: 

- General Funds held for any purpose of the Circuit which are unrestricted.  The Circuit Model Trust Fund has wide purposes defined in Standing Orders and is categorised as unrestricted. 

- Restricted funds which are held for a narrower purpose. 

- Endowment funds are held as investments where the capital has been specifically given to the Circuit with the income being available for general use. 

Details of each material fund are disclosed in the final note to these accounts.  Any funds may be represented by more than just cash. 

## **3. Accounting policies** 

## **Basis** 

These accounts have been prepared on the basis of historical cost except that investments are shown at their market value at the end of the year, on the accruals basis to show a true and fair view of the Circuit’s financial position and activities. 

## **Public benefit entity** 

The Trinity Methodist Circuit meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transactional value unless otherwise stated in the relevant accounting policy note. 

## **Content** 

The financial information presented is relevant, reliable, comparable and complete. Where estimates are used these are based on experience, research and judgement. The accounts are expressed in £ sterling, being the functional currency, rounded to the nearest pound. 

## **Going concern** 

Based upon the resources available to them, at 31 August 2020, the trustees consider that the circuit is a going concern. 

## **Income Recognition** 

Income is included in the Statement of Financial Activities (SOFA) when the Circuit becomes entitled to the resources, and the trustees are reasonably certain they will receive the resources; and the monetary value can be measured with sufficient reliability. 

## **Resources Expended** 

This is recognised when a liability is incurred, or a constructive obligation arises, that results in the payment being unavoidable. Liabilities are recognised as soon as an outflow of economic benefit is considered more likely than not under the legal or constructive obligation committing the Circuit to pay out resources. 

## **Grants** 

Grants made by the Circuit from its own funds are recognised in full at the time of agreement or when the Circuit accepts that there is a legal or operational obligation to make the payment. When the grant is recurrent over more than one year the balance payable in future years is treated as a provision for future commitments in the Balance Sheet against the appropriate fund, the provision being released in future years as instalments are paid in accordance with the originally agreed terms. 

## **VAT** 

Since the Circuit is not VAT registered, all input VAT is charged with the expenses to which it refers. 

14 



## **Tangible fixed assets for use by the Circuit** 

Tangible fixed assets for use by the Circuit are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost or valuation of fixed assets, less their estimated residual value, over their expected useful lives on the following basis:  Equipment – 25% reducing balance basis. 

Held within fixed assets are six properties purchased as manses by the Circuit. From 1[st] September 2019 two of these manses were occupied by ministers and the other four were included as Investment Properties as they are rented out on short term tenancies. From 1[st] April 2020 one manse was occupied by a minister and five were rented out on short term tenancies and included as Investment Properties. The trustees consider that having reviewed the market value of the properties held as manses that this is in excess of the original cost and therefore no depreciation is required to be provided. 

## **Investment Properties** 

Investment properties are properties originally purchased as manses but where no minister is in occupation. The trustees have rented out these properties on short term tenancies generating rental income for the Circuit. These properties were included in the 2016/17 accounts at their estimated fair values based upon the website Zoopla.com valuations of similar properties and market trends. Since 2017/18 adjustments have been made to estimate their fair value based on insured value. 

## **Investments** 

Investments are valued in the balance sheet at market value at the year end.  Investment income is included in the accounts when receivable and any gains or losses on revaluation at the year end are shown in the SOFA. 

## **Debtors and Prepayments** 

Debtors includes the payment of the September stipend in August and loans to churches within the Circuit. 

## **Creditors** 

Creditors include both sundry expenses and specifically the 1st quarter assessment received in August. 

## **Pensions** 

The Circuit contributes to the Methodist Ministers Pension Scheme which is a defined benefit scheme. The scheme is a multi-employer pension scheme and it is not possible to identify the assets and liabilities of the scheme which are attributable to the Circuit. The scheme is accounted for as a defined contribution scheme. 

The Circuit also contributes to private pension schemes of lay workers and administrative staff. 

Contributions are recognised in the SOFA in the period in which they become payable in accordance with the rules of the scheme. 

## **4. Income from Investment Properties** 

Properties purchased as manses which are not required to house a Minister are let on Shorthold Tenancy Agreements. The Net income for the year ending 31[st] August 2020 is £27,040. 

## **5. Assessments on Churches** 

The amount of assessment paid by each Church is negotiated between the church and Circuit Leadership Team with the exception of LEP’s where their assessment is determined by formula according to their constitution. 

## **6. Payment to Trustees** 

|**6. Payment to Trustees**|||
|---|---|---|
|<br>Number of Trustees who were paid expenses<br>Total amount|2019/20 <br>-<br>-|2018/19|
||-|-|
||-|-|



## **7. Fees for examination or audit of the accounts** 

|**es for examination or audit of the accounts**|||
|---|---|---|
|Independent examiner’s or auditor’s fees  for reporting on the accounts<br>Other fees (eg: advice, accountancy services) paid to the independent<br>examiner or auditor|2019/20<br>£<br> <br>0<br>0|2018/19<br>£|
||<br>0|0|
||0|0|



15 



## **8. Grants** 

|Grants made during the year were:<br>Bible School<br>£<br>Grove Street building scheme<br>£<br>The Crossing for AV upgrade<br>£<br>Computers for Ministry<br>£<br>Covid 19 Furlough top up grants to churches<br>£<br>Total grants<br>£|2019/20<br>0<br>2,500<br>5,000<br>165<br>4,657<br>12,322|2018/19|
|---|---|---|
||0|100|
||2,500|0|
||5,000|0|
||165|0|
||4,657|0|
||12,322|100|



## **9. Paid employees** 

|Staff Costs paid during the year were:<br>Gross wages, salaries and benefits in kind<br>£<br>Employer’s National Insurance costs<br>£<br>Pension costs<br>£<br>Apprenticeship levy<br>Total staff costs<br>£<br>Average number of full-time equivalent employees in the year:|2019/20<br>86,969<br>4,756<br>8,931<br>357<br>101,1013<br>4|2018/19|
|---|---|---|
|||114,267|
|||5,290|
|||14,591|
|||416|
|||134,564|
||||
||4|6|



## **10. Office Expenses** 

|Office Telephones<br>Manse Telephones and Internet<br>Printing<br>Office Rents<br>Stationery<br>Postage<br>Other Office Costs<br>Total Office Expenses|2019/20<br>£<br>670<br>1,576<br>1,317<br>2,500<br>944<br>1,206<br>110<br>8,323|2018/19<br>£|
|---|---|---|
||670|551|
||1,576|3,031|
||1,317|740|
||2,500|2,000|
||944|931|
||1,206|424|
||110|464|
||8,323|8,641|



## **11. Other outgoings** 

|Utilities & Insurance for Circuit properties<br>Travel costs<br>Quinquennial inspections<br>Accountancy & independent examination<br>Fund administration<br>Removals & Relocation costs<br>Resources for Ministry<br>Training<br>Miscellaneous<br>Total Other outgoings|2019/20<br>£<br>12,551<br>4,888<br>-<br>-<br>331<br>3,120<br>1,060<br>322<br>2,447<br>24,719|2018/19<br>£|
|---|---|---|
||12,551|11,910|
||4,888|8,289|
||-|2,610|
||-|-|
||331|188|
||3,120|1,944|
||1,060|1,244|
||322|422|
||2,447|3,923|
||24,719|30,530|



## **12. Capital Commitments and Contingent Liabilities** 

At 31 August 2020 there are no capital commitments. 

No contingent liabilities were identified at 31 August 2019. 

16 



## **13. For information only Money received and passed on to External Organisations** 

|**Balance brought forward from last year**<br>Offerings/Gifts - received for  External Organisations<br>Offerings/Gifts - passed to  External Organisations<br>**Balance carried forward**|2019/20<br>£<br>470<br>1,474<br>1,990<br>(46)|2018/19|
|---|---|---|
||£|£|
||470|120|
||1,474|350|
||1,990|-|
||(46)|470|



## **14. Tangible Fixed Assets** 

## **Cost or valuation** 

||**Land**<br>**£**|**Manses**<br>**£**|**Other**<br>**buildings**<br>**£**|**Fixtures,**<br>**fittings**<br>**and**<br>**equipment**<br>**£**|**Payments**<br>**on account**<br>**and assets**<br>**under**<br>**construction**<br>**£**|**Total**<br>**£**|
|---|---|---|---|---|---|---|
|Balance B/F|-|767,997|238,839|7,254|-|1,014,090|
|Additions|-|-|-|-|-|-|
|Revaluations (+/-)|-|18,712|14,610|-|-|33,322|
|Disposals (-)|-|-|(253,449)|-|-|(253,449)|
|Transfers*(+/-)|-|(531,139)|-|-|-|(531,139)|
|Balance C/F|-|255,570|0|7,254|-|262,824|



## **Accumulated depreciation** 

|Balance B/F|-||-|-|6,548|-|6,548|
|---|---|---|---|---|---|---|---|
|Depreciation charge<br>for year (-)|-||-|-|706|-|706|
|Revaluations (+/-)|-||-|-|-|-|-|
|Disposals (-)|-||-|-|-|-|-|
|Transfers*(+/-)|-||-|-|-|-|-|
|Balance C/F|-||-|-|5,842|-|5,842|
|**Net book value**||||||||
|Brought forward|-|767,997||238,839|706|<br>-|1,007,542|
|Carried forward|-|255,570||-|-|-|255,570|



The amount included in Freehold Property represents the cost of manses for use of the Circuit. Any surplus manses that are rented out on short tenancy agreements are transferred to Investment Properties. The manses have been revalued this year on the basis of insured value. 

The ‘other buildings’ disposals were Harthill (£142,939) and Tuxford (£110,510) chapels which closed during the previous year. It is intended to use the proceeds of Tuxford chapel as a replacement project for Retford chapel and hopefully to be able to have the CPF Levy refunded. All the proceeds went into General Funds of the Circuit. 

17 



## **15.  Investment assets** 

## **a. Investment Properties** 

||**Manses**|**Total **|
|---|---|---|
||**£**|**£**|
|Balance brought forward|1,095,160|1,095,160|
|Additions|531,139|531,139|
|Revaluations (+/-)|128,482|128,482|
|Disposals (-)|-|-|
|Transfers (+/-)|-|-|
|Balance carried forward|1,754,781|1,754,781|



Manses held as investment properties have been revalued on the basis of insured value. 

## **b. Other Investments** 

The funds that support the Circuit Model Trust Fund and Bequest Fund are held by TMCP in the Trustees Interest 

## **Analysis of investments movements** 

||**This year **|**Prev year **|
|---|---|---|
|Investments listed on a recognised Stock Exchange|-|-|
|Investments held in common investment funds|27,308|27,545|
|Securities not listed on a recognised Stock Exchange|-|-|
|Other investments|-|-|
|**Total**|27,308|27,545|



|**Change in investment values**|||
|---|---|---|
|Carrying (market) value at beginning of year|27,545|26,713|
|**Add: **additions toinvestments at cost|-|106|
|**Less: **disposals at carryingvalue|-|-|
|Net gain/(loss) on revaluation|(237)|726|
||27,308|27,545|



## **16. Loans** 

The Circuit does not have any loans. 

The Circuit has made the loans to Carlton, South Anston and The Crossing and Leverton churches from the Circuit Model Trust Fund to be repaid within an agreed length of time. The amounts outstanding as at 31 August 2020 were: 

Carlton              £45,424 South Anston    £4,750 The Crossing    £11,102 Leverton            £2,219 Total                  £63,495 

18 



## **17. Detailed analysis of individual fund movements                  2019-20** 

|**Unrestricted Funds**|**Unrestricted Funds**|||||||
|---|---|---|---|---|---|---|---|
|**Unrestricted**<br>**Fund Name**|**Opening**<br>**Balance**|**Incoming**<br>**Resources**|<br>**Resources**<br>**Expended**|**Transfers**|**Gains/**<br>**Losses**|**Closing**<br>**Balance**|**Purpose of the**<br>**fund**|
|General|2,130,914|203,408|(190,912)|(253,108)|161,804|2,052,107|General use|
|Circuit Model<br>Trust|97,553|1,238|(8,355)|253,449|(321)|343,564|General use|
|Totals|2,228,467|204,646|(199,267)|341|161,483|2,395,671||



|**Restricted Funds**||||||||
|---|---|---|---|---|---|---|---|
|**Restricted Fund**<br>**Name**|**Opening**<br>**Balance**|**Incoming**<br>**Resources**|<br>**Resources**<br>**Expended**|**Transfers**||**Closing**<br>**Balance**|**Purpose of the**<br>**fund**|
|Agencyfund|470|1,474|1,990|0||(46)|Connexional funds|
|||||||||
|Totals|470|1,474|1,990|0||(46)||



|**Endowment Name**|**How the**<br>**capital**<br>**is**<br>**invested**|**The current**<br>**value of the**<br>**capital**|**Nett Annual**<br>**Income**|**What the income is**<br>**used for**|
|---|---|---|---|---|
|Fletcher,Trust1271|TMCP|991|6|Generaluse|
|Towne,Trust4388|TMCP|505|3|Generaluse|
|Ragsdale,Trust16499|TMCP|41,976|276|Generaluse|
|Anonymous gift,Trust7544|TMCP|8,832|55|Generaluse|
|DevelopmentFund ex Tuxford15648|TMCP|444|3|Reinvested|
|Sale of Laxtonex Tuxford17028|TMCP|69,008|453|Reinvested|
|BriggsMemorial,Trust1190|TMCP|107|1|Reinvested|
||Totals|52,327|797||



The reason for the transfers between funds were as follows: To meet general expenditure 

19 



## **Declarations and Scrutiny** 

I confirm that these accruals-based accounts for the year to 31 August 2020 have been prepared from the records of the Circuit and that they include all funds under the control of the Circuit meeting. 

Signature of treasurer .……………………………………………………… 

Date …………………………………………...………….. 29th April 2021 

Name and address of treasurer: Mr Philip S Mullis Panbride, 8 Springwell Crescent, Beighton, Sheffield, S20 1XB 

## **Presentation to the Circuit Meeting** 

I confirm that the annual report and accounts for the year ended 31[st] August 2020 have been presented to the Circuit meeting held on 8[th] March 2021. 

Signature of the Chair of the meeting ………………………………….…………………… Name of the Chair of the meeting Revd Julie Coates 29th April 2021 Date ……………………………………………….……… 

20 



## **Independent Examiner’s Report to the Trustees of the** 

## **Trinity Methodist Circuit 25/19 Charity Number 1133071** 

## **Responsibilities and basis of report** 

I report to the trustees on my examination of the accounts of the Trinity Methodist Circuit for the year ended 31 August 2020 set out on pages 11 to 19. As the Circuit’s trustees, you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’). 

I report in respect of my examination of the Circuit’s accounts 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. 

## **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 which give me cause to believe that in, any material respect: 

- the accounting records were not kept in accordance with section 130 of the Act; or 

- the accounts do not accord with the accounting records; or 

- the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair’ view, which is not a matter considered as part of an independent examination 

- the trustees’ annual report is not consistent with the accounts 

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

I have not obtained independent verification of all investments with the Trustees for Methodist Church Purposes or held in other trusts, bank balances and funds at the Central Finance Board of the Methodist Church which are individually in excess of £10,000 (ten thousand pounds) at the balance sheet date. 

Signature of independent examiner ………………………………………………………. Name of independent examiner Heather I Rotherham 

Relevant professional qualification of independent examiner HNC Business Studies 

Name of firm (where appropriate) N/A 

Address 

14 Waterthorpe Rise 

Westfield 

Sheffield S20 8NA 

…………….…………………………………………4 May 2021 

Date 

21 



**TRINITY METHODIST CIRCUIT** 

Appendix A 

## **Trustees of Trinity Methodist Circuit** 

|Mr|KM|Abel||
|---|---|---|---|
|Mrs|T|Abel|resigned 31/08/20|
|Mrs|S|Baggaley||
|Mr|M|Bagshaw|appointed 01/09/20|
|Miss|I|Bannister||
|Mr|GR|Bennett||
|Mrs|H|Bennett||
|Mr|L|Bland||
|Mrs|S|Boyles||
|Mrs|B|Bradley|appointed 01/09/20|
|Mrs|K|Bradley|appointed 01/09/20|
|Mr|TA|Breed|resigned 31/08/20|
|Mr|GW|Brown||
|Mr|D|Burton||
|Mrs|D|Carruthers||
|Mrs|G|Cawthorne|appointed 01/09/20|
|Rev|GS|Clarke|resigned 31/3/20|
|Rev|JI|Coates|appointed 01/09/19|
|Mrs|M|Corbett|deceased 25/02/20|
|Mr|G|Daniels|resigned 07/10/20|
|Mrs|C|Dixon|resigned 31/08/20|
|Mrs|B|Foster|appointed 01/09/20|
|Mr|J|Fretwell||
|Mrs|J|Fuller||
|Mr|J|Hardy|resigned 31/08/20|
|Mr|P|Hinchliffe||
|Mrs|V|Hinchliffe||
|Mrs|JM|Hodgson||
|Mr|CJ|Hurton|resigned 31/08/20|
|Mr|JL|Jenkin||
|Mr|AE|Laurie||
|Mr|R|Lincoln|resigned 31/08/20|
|Mr|J|Marsden||
|Rev|D|Morris||
|Mrs|S|Mould||
|Mr|P|Mullis||
|Rev|JS|Mullis OBE||
|Mrs|S|Osborn|appointed 01/09/20|
|Rev|A|Pothecary|appointed 01/09/20|
|Miss|NJ|Rowson||
|Mrs|D|Sidney|appointed 01/09/20|
|Mrs|H|Skidmore||
|Mrs|J|Smith||
|Mrs|K|Smith|appointed 01/03/21|
|Rev|B|Stevens||
|Mrs|JM|Sykes||
|Mrs|J|Thomas|appointed 01/09/20|
|Mr|C|Walker||
|Mrs|SJ|Walker||
|Mrs|AD|Welchman||
|Mr|WS|Welchman||
|Mrs|A|Westerby||
|Mrs|J|Westerby||
|Mr|G|Wynne||



22