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2023-12-31-accounts

Charity registration number 1133078

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

LEGAL AND ADMINISTRATIVE INFORMATION

Incumbents Rev T J Harvey Associate Priest Rev S Jay Pioneer Priest Rev S Price Curate Rev M Yasini Ex Officio Mr C Denton Mrs K Martin

Lay Reader Mrs H Hopper PCC Members Mr P Gilmore Mrs H E Hopper Miss A Ducker Mrs J Gilmore Mrs M G Tiffin Miss R J Bell Mrs P Dunn Mrs S Graham Rev T J Harvey Ms E Paige Miss H Simpson Mrs V Head Mrs D Gibson Rev S Price Rev M Yasini Rev S Jay

Wardens Mrs M G Tiffin Miss A Ducker Mrs J Gilmore Mrs P Dunn

Treasurer Mrs H Hopper Charity number 1133078 Principal address Market Place Darlington Co Durham DL1 5QG

Independent examiner Deborah Fletcher-McVay FCA Kenneth Easby Limited Accountants Oak House, Market Place Bedale North Yorkshire DL8 1AQ

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

CONTENTS

Page
PCC Members report 1 - 2
Independent examiner's report 3 - 4
Statement of financial activities 5
Balance sheet 6
Notes to the accounts 7 - 15

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

PCC MEMBERS REPORT

FOR THE YEAR ENDED 31 DECEMBER 2023

The PCC members present their annual report and financial statements for the year ended 31 December 2023.

The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the Parochial Church Council's Parochial Church Council Powers Measure (1956) as amended and Church Representation Rules, 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)” (as amended for accounting periods commencing from 1 January 2019).

Objectives and activities

The objects are: - To grow in our love for God in Christ

The PCC members have paid due regard to guidance issued by the Charity Commission in deciding what activities the Parochial Church Council should undertake.

The PCC has the responsibility of co-operating with the incumbent in promoting this purpose. It also has maintenance responsibilities for St Cuthbert's Church.

Achievements and performance

2022 ended with St Cuthbert’s being designated a Resourcing Church and given some significant resources to revitalise the church and put St Cuthbert’s on a more sustainable path. So, 2023 was a year of change. Our first task was to recruit new staff members which resulted in Kath Martin (Operations Co-ordinator) and Megan Rawling (Community Music Director) starting the paid staff members team in April.

The office in the church centre was revamped to make space for the new staff and has been a hive of activity ever since. Steph Price (Pioneer Priest), Mary Yasini (Curate) and Dionne McCreedy (Children's and Families worker) all joined the staff team in the summer and all have made significant contributions to helping St Cuthbert's reimagine its future. In September Chris Denton joined us as Director of Music.

During the year we reached out to schools, worked with the Council Town Centre team, ran Alpha courses, held a Confirmation service and welcomed many new people into the church from different backgrounds and nationalities.

Change was perhaps the word of the year. As with any change some jumped onto the train early, some took longer; but our narrative remained that if we wanted to be a growing church, change was an essential ingredient we couldn’t work without.

Financial review

Total income on unrestricted funds was £103,953 and unrestricted expenditure amounted to £108,515. This expenditure figure includes £31,500 for the contribution to the Diocese, which largely provides the stipends, pensions, training and housing for the Clergy. The overall decrease in unrestricted funds before transfers was £4,562.

The restricted fund increased by £29,002 before transfers due to income of £237,396, related expenditure of £224,365 and gains on investments of £15,971. This primarily relates to funding received for the SDF project and associated expenditure on the new resource church.

The unrestricted fund balance at 31 December 2023 amounts to £74,312 (2022 - £63,874) and the restricted fund balance was £287,463 (2022 - £273,461).

It is the policy of the Parochial Church Council that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The PCC members consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Parochial Church Council’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

PCC MEMBERS REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2023

Structure, governance and management

The constitution is that of the Constitution of The Church of England, which can be found in "A Handbook for Churchwardens and Parochial Church Councillors" (Mowbray ISBN 0-264-67411-1).

Members of the PCC are either ex officio or elected by the Annual Parochial Church Meeting in accordance with the Church Representation Rules. The PCC members who served during the year and subsequently were:

Mr P Gilmore Mrs H E Hopper Miss A Ducker Mrs J Gilmore Mr S G Auster (Retired 24 April 2023) Mrs M G Tiffin Miss R J Bell Mrs P Dunn Mrs S Graham Rev T J Harvey Ms E Paige Miss H Simpson Mrs V Head Mrs D Gibson Rev S Price Rev M Yasini Rev S Jay Miss C Port (Retired 24 April 2023)

The PCC operates through a Standing Committee, which can meet between full meetings of the PCC. It is the only committee required by law. It has power to transact the business of the PCC between meetings, subject to any directions given by the Church Council.

The Parish of St Cuthbert's Darlington is part of the Diocese of Durham within the Church of England. It is situated within the Deanery of Darlington and Auckland Archdeaconry.

The PCC members report was approved by the Board of PCC Members.

Rev T J Harvey PCC Chairman Dated: 28 April 2024

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

INDEPENDENT EXAMINER'S REPORT

TO THE PCC MEMBERS OF THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

I report to the PCC members on my examination of the financial statements of The Parochial Church Council of The Ecclesiastical Parish of St Cuthbert's Church, Darlington (the Parochial Church Council) for the year ended 31 December 2023.

Responsibilities and basis of report

As the PCC members of the Parochial Church Council you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).

I report in respect of my examination of the Parochial Church Council’s financial statements carried out under section 145 of the 2011 Act. In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

Since the Parochial Church Council’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of ICAEW, which is one of the listed bodies.

My examination was carried out in accordance with the general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the next statement.

Your attention is drawn to the fact that the charity has prepared accounts in accordance with 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) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.

I understand that this has been done in order for accounts to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

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

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

INDEPENDENT EXAMINER'S REPORT (CONTINUED)

TO THE PCC MEMBERS OF THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

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.

Deborah Fletcher-McVay FCA

Kenneth Easby Limited Accountants Oak House, Market Place Bedale North Yorkshire DL8 1AQ

Dated: 28 April 2024

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 DECEMBER 2023

Unrestricted Unrestricted Restricted Restricted Total Unrestricted Unrestricted Restricted Restricted Total
funds funds funds funds
2023 2023 2023 2022 2022 2022
Notes £ £ £ £ £ £
Income from:
Donations and legacies 2 66,273 231,861 298,134 66,990 47,931 114,921
Charitable activities 3 32,571 - 32,571 26,108 - 26,108
Other trading activities 4 4,350 - 4,350 4,182 - 4,182
Investments 5 759 5,535 6,294 308 5,420 5,728
Total income 103,953 237,396 341,349 97,588 53,351 150,939
Expenditure on:
Charitable activities 6 108,515 224,365 332,880 102,574 37,325 139,899
Total expenditure 108,515 224,365 332,880 102,574 37,325 139,899
Net gains/(losses) on
investments 9 - 15,971 15,971 - (24,156) (24,156)
Net income/(expenditure) (4,562) 29,002 24,440 (4,986) (8,130) (13,116)
Transfers between
funds 10 15,000 (15,000) - 10,000 (10,000) -
Net movement in
funds 10,438 14,002 24,440 5,014 (18,130) (13,116)
Reconciliation of funds:
Fund balances at 1 January
2023 63,874 273,461 337,335 58,860 291,591 350,451
Fund balances at 31
December 2023 74,312 287,463 361,775 63,874 273,461 337,335

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

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

BALANCE SHEET

AS AT 31 DECEMBER 2023

2023 2022
Notes £ £ £ £
Fixed assets
Investments 11 179,112 178,141
Current assets
Debtors 12 30,271 33,640
Cash at bank and in hand 185,860 130,858
216,131 164,498
Creditors: amounts falling due within
one year 13 (33,468) (5,304)
Net current assets 182,663 159,194
Total assets less current liabilities 361,775 337,335
Income funds
Restricted funds 14 287,463 273,461
Unrestricted funds 74,312 63,874
361,775 337,335

The financial statements were approved by the PCC Members on 28 April 2024

Mrs H E Hopper Trustee

Rev T J Harvey Trustee

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

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

1 Accounting policies

Charity information

The Parochial Church Council of The Ecclesiastical Parish of St Cuthbert's Church, Darlington is an unincorporated charity.

1.1 Accounting convention

The accounts have been prepared in accordance with the Parochial Church Council's Parochial Church Council Powers Measure (1956) as amended and Church Representation Rules, 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)” (as amended for accounting periods commencing from 1 January 2019). The Parochial Church Council is a Public Benefit Entity as defined by FRS 102.

The Parochial Church Council has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

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

The accounts have been prepared under the historical cost convention, modified to include the revaluation of certain fixed asset investments. The principal accounting policies adopted are set out below.

1.2 Going concern

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

1.3 Charitable funds

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

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

1.4 Incoming resources

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

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

Other trading activities income is recognised when receivable by the charity.

Investment income, in the form of investment interest, is recognised when receivable by the charity.

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

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

1 Accounting policies

(Continued)

1.5 Resources expended

Resources expended are included in the Statement of Financial Activities on an accruals basis, inclusive of any VAT which cannot be recovered.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services.

1.6 Fixed asset investments

Investments represent investment fund balances held by the charity which are measured according to the value of the fund at the balance sheet date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.

1.7 Heritage assets

The Church and Church Hall are not included on the balance sheet of the charity as at 31 December 2023. Both buildings are unique in terms of religious and historical significance. As such a suitable cost or valuation is not available and such information cannot be obtained without undue cost or effort.

2 Donations and legacies

Unrestricted Unrestricted Restricted Restricted Total Total
funds funds 2023 2022
£ £ £ £
Donations and gifts 56,273 231,861 288,134 111,921
Legacies receivable 10,000 - 10,000 3,000
66,273 231,861 298,134 114,921
For the year ended 31 December 2022 66,990 47,931 114,921
Donations and gifts
Planned giving 34,961 - 34,961 31,077
Income tax recovered through Gift Aid 9,284 - 9,284 9,075
Collections 9,816 - 9,816 10,729
Donations at services 2,212 - 2,212 13,109
General fund - - - 4,989
Resourcing church fund - 231,861 231,861 42,942
56,273 231,861 288,134 111,921

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

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

3 Charitable activities

2023 2022
£ £
Fees 10,020 8,614
Magazine 498 450
Charitable rental income 22,053 17,044
32,571 26,108
Analysis by fund
Unrestricted funds 32,571 26,108

4 Income from other trading activities

Unrestricted Unrestricted
funds funds
2023 2022
£ £
Fundraising events 2,826 1,746
Sundry trading income 1,524 2,436
Other trading activities 4,350 4,182

5 Investments

Unrestricted Restricted Total Unrestricted Restricted Total
funds funds funds funds
2023 2023 2023 2022 2022 2022
£ £ £ £ £ £
Interest receivable 759 5,535 6,294 308 5,420 5,728

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

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

6 Charitable activities

2023 2022
£ £
Insurance 8,600 8,600
Church running expenses 19,408 11,817
Church maintenance 5,115 6,001
Magazine costs 721 651
Sundry expenses 2,798 3,545
Church hall running expenses 21,053 26,343
Organist and choir 8,144 5,335
Diocesan Quota 31,500 30,004
Stationery and copier 1,601 1,990
Clergy expenses 1,279 1,020
Salaries and fees 6,612 5,310
General fund - restricted 504 44
SDF Project 223,861 37,281
331,196 137,941
Support costs 1,684 1,958
332,880 139,899
Analysis by fund
Unrestricted funds 108,515 102,574
Restricted funds 224,365 37,325
332,880 139,899

Support costs includes fees payable to the Independent Examiner of £1,684 (2022 - £1,958) for independent examination, accountancy and payroll fees.

7 PCC Members

During the year the following transactions were made with PCC members:

Miss R J Bell received remuneration of £1,925 (2022: £1,650). Miss Bell was employed by the Parochial Church Council as Director of Music.

There were no PCC members expenses incurred in the year (2022: £nil).

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

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

8 Employees

Number of employees

The average monthly number of employees during the year was:

Number of employees
The average monthly number of employees during the year was:
2023 2022
Number Number
Caretaker 1 1
Director of music 1 1
SDF Project 3 -
5 2

9 Gains and losses on investments

Restricted Restricted
funds funds
2023 2022
Gains/(losses) arising on: £ £
Revaluation of investments 15,971 (24,156)

10 Transfers

A £15,000 transfer was made from the restricted Clergy fund to the charity's unrestricted fund to contribute towards the Diocesan quota which increased by £1,496 in the year.

11 Fixed asset investments

Trust funds
£
Cost or valuation
At 1 January 2023 178,141
Valuation changes 15,971
Disposals (15,000)
At 31 December 2023 179,112
Carrying amount
At 31 December 2023 179,112
At 31 December 2022 178,141

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2023

12 Debtors
2023 2022
Amounts falling due within one year: £ £
Other debtors 30,271 33,640
13 Creditors: amounts falling due within one year
2023 2022
£ £
Other creditors 4,767 1,759
Accruals and deferred income 28,701 3,545
33,468 5,304

Deferred income is recognised in relation to wedding deposits and grant income received in advance.

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST CUTHBERT'S CHURCH, DARLINGTON

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

15 Analysis of net assets between funds

Unrestricted Unrestricted Restricted Restricted Total
funds funds
2023 2023 2023
£ £ £
At 31 December 2023:
Investments - 179,112 179,112
Current assets/(liabilities) 74,312 108,351 182,663
74,312 287,463 361,775
Unrestricted Restricted Total
funds funds
2022 2022 2022
£ £ £
At 31 December 2022:
Investments - 178,141 178,141
Current assets/(liabilities) 63,874 95,320 159,194
63,874 273,461 337,335

16 Related party transactions

There were no related party transactions during the year (2022 - none).