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2024-09-30-accounts

Company number: 7028764 Charity Number: 1133336

Church of the Nazarene British Isles South District

Report and financial statements For the year ended 30 September 2024

Church of the Nazarene British Isles South District

Reference and administrative information

for the year ended 30 September 2024

Company number 7028764

Charity number 1133336

Registered office and operational address

Church of the Nazarene British Isles South District 112 Cranbourne Road Ashton-under-Lyne OL7 9BW

Trustees Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows:

Rev Carl McCann Chair Mr Steven Francis Leach Secretary Clare McMullen Grace Ogbewi Rev Erica Tuxworth Rev Svetlana Khobnya Revd Deirdre Brower-Latz

No Trustees held title to property belonging to the charity during the reporting period or at the date of approval.

Bankers

Reliance Bank Faith House 23-24 Lovat Lane London EC3R 8EB

Auditors

Slade & Cooper Limited Beehive Mill, Jersey St, Ancoats, Manchester, M4 6JG

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Church of the Nazarene British Isles South District

Trustees’ annual report

for the year ended 30 September 2024

The trustees present their report and the audited financial statements for the year ended 30 September 2024. Included within the trustees’ report is the directors’ report as required by company law.

Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the memorandum and articles of association and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

Objectives and activities

The principal object of the charity is the advancement of Christian faith and its practice, especially by the means of and in accordance with the principles of the International church of the Nazarene.

The basis of our Christian faith as portrayed through the Bible is that we can come to know God personally, in Jesus Christ, who is both human and divine, and is the person in whom all that is lost and broken can be redeemed and who inspires his followers to work for a world that is a better place for all.

Within the covenant relationship of the Church of the Nazarene we value the freedom of the local church to discern for itself its practices and policies within the broad scope of Nazarene belief, in making Christlike disciples. We stress the importance of individual response in faith, and we understand that each Christian is to play their part in advancing Christian faith and witness. Because of our emphasis on personal faith and the freedom of the local church we are committed to religious freedom for people of all Christian traditions and other faiths.

The District’s overriding function is to provide encouragement, advice and support to member churches so that they too may maximise their ability to achieve their own charitable objective of making Jesus Christ known to particular individuals and to society in general.

The trustees review the aims, objectives and activities of the charity each year. This report looks at what the charity has achieved and the outcomes of its work in the reporting period. The trustees report the success of each key activity and the benefits the charity has brought to those groups of people that it is set up to help. The review also helps the trustees ensure the charity's aims, objectives and activities remained focused on its stated purposes.

The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives that have been set.

Volunteers

In the wider context, the District is substantially dependent for its work on the contribution of volunteers. At church level, the work of stipendiary and paid staff is supported at all levels by volunteers both in terms of governance and management and in the practical delivery. Such is the magnitude of the contribution made by volunteers that it is impossible to quantify.

This pattern is reflected throughout the District where many people commit significant time to help with the outworking of the District’s objectives. In the District itself, volunteers provide valuable support mainly through membership of standing committees, unpaid office holders, and the officers responsible for

2

Church of the Nazarene British Isles South District

Trustees’ annual report

for the year ended 30 September 2024

Nazarene Youth International, Nazarene Missions International, Breakthru holidays, the Ladies weekend, and other conferences for training as and when required.

Achievements and performance

The charity's main activities and who it tries to help are described below. All its charitable activities focus on the support and encouragement of the local Churches of the Nazarene which form the District, and are undertaken to further Church of the Nazarene British Isles South District’s charitable purposes for the public benefit.

Beneficiaries of our services

The District operates as an umbrella resource body for its member churches, which are all separate charities. Consequently, our beneficiaries are largely Pastors, local churches, Nazarene Theological College, Nazarene Missions International, and Nazarene Youth International.

Financial review

The Statement of Financial Activities shows a net increase in funds for the year ending 30th September 2024 of £1,638 excluding unrealised gains and losses on investments (2023: Increase £885,779). Expenditure has been kept under careful control because of the continuing difficult economic climate.

The consolidated incoming resources of the ordinary activities of the Church of the Nazarene British Isles South District including NMI, Events/SS Ministries, NYI and the work at Salford totalled £466,582 (2023: £1,520,653) with resources expended of £464,944 (2023: £634,874).

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Church of the Nazarene British Isles South District

Trustees’ annual report

for the year ended 30 September 2024

Our principal sources of income remain that of rental income from our investment properties and budgets received from our member churches. These properties are rented out at market rates, except for the Fresh Ground manse. It is hoped that the income from this manse will move towards market rent over a period of time.

Decreased tithes and offerings in local churches, resulted in lower budgets received.

Strategy is to invest in developing new churches, strengthening existing churches. The development of a strong property rental income stream is seen as a key factor in sustaining this.

We do not conduct significant fundraising activities from the general public.

Grants

Each Nazarene church is self-financing; the District provides additional investment into local churches to help develop and promote mission innovation and risk taking to achieve our strategic goals. Church grants are assessed annually, and emphasis is placed not just on each church’s finances but also its plans and achievements in making Jesus known in its locality.

Going concern

The charity does not rely on donations from the public, and we have sufficient cash reserves to fund our activities for at least a further year, without the need for loans or overdrafts. Our investment portfolio of properties is also strong.

The trustees are fully aware of the movement in value of its investments but consider that the balance sheet will remain strong in the long-term, with positive net current assets.

Reserves policy

The Trustees have reviewed the charity’s needs for reserves in line with the guidance issued by the Charity Commission and have a reserves policy which will be reviewed annually. The Trustees believe that, in addition to known commitments, the charity needs to hold at least six months (26 weeks) running costs in free reserves, given the anticipated flow of funding, to ensure that the charity can run efficiently.

The total reserves of the charity at the end of the year were £6,331,700 (2023: £6,191,986) of which some were restricted. The Capital Fund in note 19 relates to fixed assets used to support the ongoing work of the charity and is not a readily liquid asset.

Plans for the future

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Church of the Nazarene British Isles South District

Trustees’ annual report

for the year ended 30 September 2024

Structure, governance and management

The Church of the Nazarene British Isles South District (the District) is an association, consisting of the Nazarene churches within the majority of England and Wales. As a membership organisation, the District holds an annual Assembly at which member churches are represented through their delegates, alongside ministers and the members of the Assembly.

The District acts through an Advisory Board which meets a minimum of four times a year and is made up of elected members, office holders and persons co-opted for particular skills. The Advisory Board helps to set the broad strategic direction of the District.

Recent years had seen disruption to standard working practises due to Covid 19. However, this past year has seen a return to standard practise, including a normal nomination procedure, followed by an in-person District Assembly, including voting for all leadership positions.

All necessary reports were collated as per normal procedure, and were communicated digitally both in advance, and available at the Assembly.

The District charity is administered and managed by the Advisory Board as Charity Trustees.

The Governing Document of the District is a memorandum of association which may be amended by a Resolution of the Assembly approved by not less than two thirds of the Representative Members, as defined in the memorandum of association, present and voting. The memorandum of association was last revised in June 2017 and a copy is available from the registered office.

Recruitment and Training of Trustees

Trustees are elected by the District Assembly from a list of suitable nominations provided by the Nomination Committee and are usually familiar with many aspects of the District’s work prior to appointment. All Trustees receive an induction into the work of the District by meeting the District Superintendent and being advised of the general nature of their work.

They receive financial statements and other relevant documentation including a copy of the Charity Commission’s publication CC3, The Essential Trustee. Formal training on financial matters is provided as appropriate. The organisation is a charitable company limited by guarantee, incorporated on 24[th] September 2009 and registered as a charity on 17th December 2010.

The company was established under a memorandum of association which established the objects and powers of the charitable company and is governed under its articles of association.

Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The total number of such guarantees on 30th September 2024 was 129 (2023:129). The members of the charity are entitled to voting rights and have no beneficial interest in the charity.

The Trustees give their time voluntarily and only the District Superintendent receives benefits from the Charity.

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Church of the Nazarene British Isles South District

Trustees’ annual report

for the year ended 30 September 2024

Related parties and relationships with other organisations

Any and all related parties are clearly identified in the notes to the Accounts.

Remuneration policy for key management personnel

Remuneration for the District Superintendent, Secretary, Treasurer and Assistant Treasurer is guided by the Finance Committee. Other Key management personnel are guided by the Trustee Advisory Board.

Risk management

The Trustees are aware of the recommendations to examine the major strategic, business, operational and reputational risks which the Charity faces and have procedures in place to identify and manage them.

Funds held as custodian trustee on behalf of others

The District acts as property trustees for 44 open and closed churches. Arrangements are made for the safe custody of deeds and documents, with each set stored in a labelled packet, and included in an index system. The names of the churches and other charities for whom the Company acts as a Custodian Trustee are available at: www.nazarene.org.uk The organisations are all Church of the Nazarene congregations and therefore, have objects that are compatible with the charitable objects of the Company .

Statement of responsibilities of the trustees

The trustees (who are also directors of Church of the Nazarene British Isles South District for the purposes of company law) are responsible for preparing the trustees’ annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets

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Church of the Nazarene British Isles South District

Trustees’ annual report

for the year ended 30 September 2024

of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Auditors

Slade & Cooper Ltd were re-appointed as the charitable company's auditors during the year and have expressed their willingness to continue in that capacity.

This report has been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime of the Companies Act 2006.

The trustees’ annual report has been approved by the trustees on 26/ 02/ 2025 and signed on their behalf by

Rev Carl McCann District Superintendent

7

Independent auditors’ report

to the members of

Church of the Nazarene British Isles South District

Opinion

We have audited the financial statements of Church of the Nazarene British Isles South District (the ‘charitable company’) for the year ended 30 September 2024, which comprise the Statement of Financial Activities (including the income and expenditure account), the Balance Sheet, the Statement of Cash Flows and the related notes. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

The trustees are responsible for the other information. The other information comprises the information included in the trustees’ annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we

8

Independent Auditor’s Report (continued)

identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 6, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

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

9

Independent Auditor’s Report (continued)

aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/Our-Work/Audit/Audit-and-assurance/Standards-and-guidance/Standards-andguidance-for-auditors/Auditors-responsibilities-for-audit/Description-of-auditors-responsibilities-foraudit.aspx. This description forms part of our auditor’s report.

10

Independent Auditor’s Report (continued)

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Chinwe Jennifer Daniel FCCA DChA

for and on behalf of Slade & Cooper Limited Statutory Auditors Beehive Mill Jersey Street Manchester M4 6JG Date: 28/05/2025

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Church of the Nazarene British Isles South District statement of Financial Activities (including Income and Expenditure account) for the year ended 30 September 2024 Unrestritted funds Restritted funds Total funds 2024 Total funds 2023 Note Income from: Donations and legacies 69.340 130.859 200,199 1,293,972 Charitable activities- 20,283 49,679 69,962 66,899 Investments 196,421 196,421 159,782 Total Income 286,044 180,538 466,582 1,520,653 Expenditure on: Raising funds 75,584 75,584 52,726 Charitable activities: 272,221 117,139 389,360 582,148 Total expendlture 347,805 117,139 464,944 634,874 Net income/(expenditure) before net gains/{losses) on investments (61.761) 63.399 1,638 885.779 Gains/(losses) on investments 138.076 138,076 34,861 Net income/(expenditure) for the year 76.315 63.399 139.714 920,640 Transfer between funds Net movement in funds for the year 76.315 63.399 139.714 920.640 Reconciliation of funds Total funds brought forward as previously reported 6,144,075 47,911 6,191,986 5,271,346 Total funds brought forward 6,144,075 47,911 6,191,986 5,271,346 Total funds carried forward 6.220.390 111.310 6.331.700 6.191.986 The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. 12

Church of the Nazarene British Isles South District Company number 7028764

Balance sheet as at 30 September 2024

Note
£
£
Fixed assets
Tangible assets
12
414,320
Investments
13
4,803,355
Total fixed assets
5,217,675
Current assets
Debtors
14
120,929
Cash at bank and in hand
15
1,047,395
Total current assets
1,168,324
Liabilities
Creditors: amounts falling
due in less than one year
16
(54,299)
Net current assets
1,114,025
Net assets
6,331,700
The funds of the charity:
Restricted income funds
18
111,310
Designated income funds
19
4,094,991
Unrestricted income funds
19
2,125,399
Total unrestricted funds
19
6,220,390
Total charity funds
6,331,700
2024		 £
£
393,079
4,665,279
5,058,358
142,114
1,051,569
1,193,683
(60,055)
1,133,628
6,191,986
47,911
4,095,246
2,048,829
6,144,075
6,191,986
2023

These accounts are prepared in accordance with the special provisions of part 15 of the Companies Act 2006 relating to small companies and constitute the annual accounts required by the Companies Act 2006 and are for circulation to members of the company.

The notes on pages 15 to 30 form part of these accounts.

Approved by the trustees on 26/ 02/ 2025 and signed on their behalf by:

Rev Carl McCann (Trustee)

13

Church of the Nazarene British Isles South District statement of Cash Flows for the year ending 30 September 2024 Note 2024 2023 Cash provided by/(used in) operating artivities 21 (166,851) 665,816 Cash flows from investing artivities.. Dividends, interest, and rents from investments Purchase of tangible fixed assets Proceeds from sale of investments Donation of investment assets 196,421 (33,744) 159,782 163,809 (890,000) Cash provided by/(used in) investing activities 162,677 (566,409) Increase/{decrease) in cash and cash equivalents in the year (4, 174) 99,407 Cash and cash equivalents at the beginning of the year 1.051,569 952,162 Cash and cash equivalents at the end of the year 1,047,395 1,051,569 14

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 Accounting policies The principal accounting policies adopted, judgments and key sources of estimation uncertainty in the preparation of the financial statements are a5 follows: Corresponding amounts for the preceding year are drawn from unaudited accounts. a Basis of preparation The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Prartice 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 Ortober 2019 {Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006 and UK Generally Accepted Accounting Prartice. Church of the Nazarene British Isles South Distrirt meets the definition of a public beneffit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note. b Preparation of the accounts on a going concern basis The trustees consider that there are no material uncertainties about the charitable company's ability to continue as a going concern. The trustees have made no key judgments which have a significant effect on the accounts. The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next reporting period. c Income Income is recognised when the charity has entitlement to the funds. any performance conditions attached to the itemls) of income have been met, it is probable that the income will be received and the amount can be measured reliably. Income from government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred. For legacies, entitlement is taken as the earfier of the date on which either= the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor{s) to the charity that a distribution will be made. or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor's intention to make a distribution. Where legacies have been notified to the charity. or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material. Income received in advance of a provision of a specified service is deferred until the criteria for income recognition are met. 15

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) d Donated servlces and facllltles Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP {FRS 102), general volunteer time 15 not recognised. refer to the trustees, annual report for more information about their contribution. On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market. a corresponding amount is then recognised in expenditure in the period of receipt. e Interest receivable Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is nomially upon notification of the interest paid or payable by the Bank. f Fund accounting Unrestrirted funds are available to spend on artivities that further any of the purposes of charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restrirted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity. g Expenditure and irrecoverable VAT Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings: Costs of raising funds comprise the costs of renting out property. Expenditure on charitable artivities includes the costs undertaken to further the purposes of the charity and their associated support costs. other expenditure represents those items not falling into any other heading. Irrecoverable VAT is charged as a cost against the attivity for which the expenditure was incurred. h Tangible fixed assets Individual fixed assets costing £1,000 or more are capitalised at cost and are depreciated over their estimated useful economic lives on a straight line basis as follows.. Land and buildings Office fixtures and equipment Motor Vehicle 250/0 25Wo 16

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) i Fixed asset investments Investments are a forni of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The stalement of financial attivities includes the net gains and losses arising on revaluation and disposals throughout the year. The Charity does not acquire put options. derivatives or other complex financial instrurnents. The main form of financial risk faced by the charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular settors or sub sectors. j Investment property Investment properties are initially recorded at cost, which includes purchase price and any directly attibutable expenditure. They are reviewed by the charity trustees on a yearly basis, and this will be suplemented by a 3 yearly evaluation of residential properties using AVM tool, and 5 yearly rolling evaluation of non-residential properties by a Chartered Surveyor. Any material changes in fair value are recognised in profit or loss. k Debtors Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. I Cash at bank and in hand Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. m Creditors and provisions Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. n Financial instruments The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest methi)d. 17

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) o Pensions Employees of the charity a￿ entitled to join a defined contribution 'money purchase, scheme. The charity's contribution is restrirted to the contributions disclosed in note 9. Contributions outstanding at the year end was £nil (2022: £nil} Legal status of the charity The charity is a company limited by guarantee registered in England and Wales and has no share capital. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The registered ofFice address is disclosed on page l. Income from donations and legacies Unrestritted Restrirted Totsl 2024 District Budget Donations Nazarene Missions International Nazarene Youth International Other Income Salford 57.238 7,906 57,238 7,906 43.901 6,421 4,196 80,537 43,901 6,421 4,196 80,537 Total 69.340 130,859 200,199 Income fmm donations and legacies (previous reporting period) Unrestricted Re5trirted Total 2023 District Budget Donated investment pmpertie5 Donations Nazarene Missions International Nazarene Youth Intemational Other Income Salford 54,751 890.000 228.873 54, 751 890,000 228,873 54,953 5,469 8,050 51,876 54, 953 5.469 8,050 51.876 Total 1,181.674 112.298 1.293,972 18

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) Income from charitable activities Unrestricted Restritted Total 2024 Breakthru income Conference Fees etc 49,679 49,679 20,283 20.283 Total 20,283 49,679 69.962 Income from charltable artlvltles (prevlous reportlng perlod) Unrestricted Restrirted Total 2023 Conference Fees etc Events Committee income 15,241 15,241 51,658 51.658 Total 15.241 51.658 66,899 Investment income Unrestricted Restricted 2024 2023 Dividends Bank Interest Rent and property income Loan interest 12,042 19,631 161,506 3.242 12,042 19,631 161,506 3,242 11,407 9,575 133,800 5.000 Total 196.421 196.421 159,782 All investment income is unrestricted. Cost of ralslng funds Unrestricted Restrirted 2024 2023 Property Costs 75.584 75.584 52,726 75,584 75,584 52,726 19

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) Analysis of expenditure on charitable activities Support Costs other Direct Costs staff Costs Totsl 2024 Total 2023 Unrestricted Funds Staff costs Audit Fees Buildings Depreciation District Assembly District Board District Office Evangelism and Promotion Gift Aid Scheme costs Insurance Legal Fees Support Grants: Local Mission 73.558 14.904 6,000 12,503 16,358 4.040 23.662 88.462 6,000 12,503 16,358 4,040 23,662 76,548 6,000 4,066 19,651 2,826 17,934 12,195 12,195 13,418 647 9.062 647 9.062 1,032 7,653 78,754 78,754 209,409 Unrestricted Total 73.558 178.125 251,683 358,537 Desginated Funds Ladies Retreat Fund 20,538 20,538 14,482 Designated Total 20.538 20,538 14,482 Restricted Funds Breakthru NMI Council & NYI Expenses Salford 49,392 257 12.081 55,409 49,392 257 12,081 55,409 49,263 84,422 14,203 61,241 Restrirted Total 117.139 117,139 209,129 Total 73.558 315.802 389.360 582,148 20

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) Analysis of expenditure on charitable activities previous reportsng period Support Costs Other Dirert Costs Staff Costs Total 2023 Total 2021 Unrestrirted Funds staff costs Audit Fees 8uildings Depreciation District Assembly District Board District Office Evongelism and Promotion Insurance Legal Fees Support Grants.. Local Mission Donated Assets 60,985 15,563 6.000 4,066 19.651 2.826 17.934 76,548 6,000 4,066 19,651 2,826 17,934 68,928 5,400 5,135 13,272 2,262 9,375 13,418 1.032 7,653 13,418 1,032 7,653 12,275 557 8,858 209.409 209,409 32,898 2,560,672 Unrestrirted Total 60,985 297.552 358,537 2,719,632 Desginated Funds Ladies Retreat Fund 14.482 14,482 13,532 Deslgnated Total 14,482 14,482 13,532 Restrirted Funds Events Committee Expenses NMI Council & Convention 49.263 49,263 48,247 84.422 84,422 65,500 NYI Expenses 14.203 14,203 1,188 Salford Worldwide Missions 61.241 61,241 46, 730 30,740 Restrirted Total 209.129 209,129 192,405 21

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) Net income/{expenditure) for the year This is Stated after chargingl(crediting): 2024 2023 Depreciation Loss/(profit) on disposal of fixed assets Auditor's remuneration audit fees 12,503 4,066 25,025 6,000 6,000 Staff costs Staff costs during the year were as follows: 2024 2023 Wages and salaries Social security costs Pension costs 68,225 2,259 3,074 55,665 2,495 2,372 Total 73,558 60,532 No employees has employee benefits in excess of £60,000 (2023.. Nil). The average number of staff employed during the period was 9 {2023- 6). The average full time equivalent number of staff employed during the period was 5.4 (2023: 3). 10 Trustee remuneration and expenses. and related party transactions One (one) trustee, Revd. C. Mccann, was paid remuneration of £37,210 (2023.. £33,518), rent of £9,600 {2023.' £9,600) and utility costs of £4,340 (2023: £5.0481 for use of their home as the Distrirt Manse and pension contributions of £1,787 (2023.. £1,623) during the year. Rev C Mccann had the use of a car owned by the Distritt from his appointment; the net book value of this car was £10,688 at the year end. PI ID for Nl paid on benefits to Rev Mccann amounted to £1,294 {2023.. £1,231). Three trustees (2023- two) were reimbursed expenses of £8.258 {2023: £9,572) during the year. The remuneration and expenses are paid to trustees in accordance with the authority given by the Articles of Association. There are no donations from related parties which are outside the normal course of business and no restritted donations from related parties. No trustee or other person related to the charity had any personal interest in any contract or transaction entered into by the charity, including guarantees. during the year (2023: nil). 22

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) 11 Corporation tax The charity is exempt from tax on income and gains falling within Chapter 3 of Part I l of the Corporation Tax Act 2010 or Section 256 of the Taxation of Charyeable Gains Act 1992 to the extent that these are applied to its charitable objects. No tax charges have arisen in the charity. 12 Fixed assets: tangible assets Land & Buildings Motor Vehicles Fixtures, fittings and equipment Total Cost At l October 2023 Additions Disposal 406.645 10,995 14,250 (10,995) 417,640 33,744 (10,9951 19,494 At 30 September 2024 406,645 14,250 19,494 440,389 Depreciation At i October 2023 Charge for the year Disposal 13.566 4.066 10,995 3,563 { 10,995) 24,561 12,503 (10,9951 4.874 At 30 September 2024 17,632 3,563 4,874 26,069 Net book value At 30 September 2024 389,013 10,687 14,620 414,320 At 30 September 2023 393.079 393,079 The land and buildings are churches or manses owned (or partly owned) by the Distrirt, but used by the following churches- Salford and Portsmouth. 23

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) 13 Investments Listed investments Investment properties Total Narket value at the start of the year Add net gain/lloss) on revaluation 244,999 23.676 4,420,280 114,400 4,665,279 138,076 Carrying amount at 30 September 2024 268,675 4,534,680 4,803,355 Investments at fair value comprised.. 2024 2023 Investment Properties COIF Income Units 4,534,680 268,675 4,420,280 244,999 4,803,355 4,665,279 All investments shown above are held at fair value. The investment properties are reviewed on a rolling basis and the trusteees are satisfied that there is no matrial change from previous year. Nost of properties are rented out at market rates to provide income, with exception at Fresh Ground, which remains at nominal rent to give the Fresh Ground Church time to move to finnacial stability. Investements with COIF are stated at Market Value at balance sheet date. 24

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) 14 Debtors 2024 2023 Church Loans other debtors Prepayments and accrued income 88,282 24,291 8,356 115,470 17,848 8, 796 120,929 142,114 Church loan recoverable after more than one year is £75,982 {2023- 4,070). Church Loans Ashton Bristol Clapham Total Cost At l October 2023 Interest Repaid 61,860 3,091 (28.630) 3.611 150 (1,800) 50.000 115,471 3,241 (30,4301 At 30 September 2024 36.321 1.961 50,000 88,282 15 Cash at bank and In hand 2024 2023 Cash at bank and on hand 1.047,395 1.051,569 1,047,395 1,051,569 25

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) 16 Credltors: amounts falllng due wlthln one year 2024 2023 Funds held as an intermediary agent Other creditors and accruals Deferred income 28,260 21,137 4,902 30,087 29,968 54,299 60,055 17 Analysis of funds received as agent Balance held at30 September 2024 Balance held at l October 2023 Funds received Funds paid out Nazarene Missions International NMBF NTC Salford standard Life Sundry Youth Ministry 10.979 2,069 6.605 (2.490) 8,561 3.066 1,297 25,971 11,114 19,453 5,488 55,279 1,284 2,781 (24,893) (10,179) (19,693) {6,009) (56,933) {2,462) {3,028) 12,057 3,004 6,365 (3,011) 6,907 1,888 1,050 30,087 121,370 (123,197) 28,260 Deferred income 2024 2023 Deferred grant brought forward Grant received Released to income from charitable activities 598 4.902 (598) Deferred grant carried forward 4,902 26

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) 18 Analysis of movements in restricted funds Daiance ai 30 September 2024 Balance at I October 2023 Income Expenditure Transfers Breakthrou BISD NMI Fund BISD NYI Fund Salford Church 9.694 3,436 17.262 17.519 49.679 43,901 6.421 80.537 (49,392) (257) (12,0811 (55,409) 9,981 47,080 11,602 42,647 Total 47,911 180,538 (117,139) 111,310 Previous reporting period 30 September 2023 Balance at i October 2022 Income Expenditure Transfers BISD Events/ Sunday School Ministries Fund BISD NMI Fund BISD NYI Furjd Salford Church 7,299 32,905 25,996 26.884 51.658 54,953 5.469 51.876 (49.263) (84,422) (14,203) (61,241) 9,694 3,436 17,262 17,519 93,084 163,956 (209, 129) 47,911 Name of Description. nature and purposes of the fund Breakthrou Consolidated account funds of British Isles South District Sunday School Ministrie5/Events. Consolidated account funds of British Isles South District Nazarene Mis5ion5 Intemational. Consolidated account funds of British Isles South District Naza￿ne Youth Intemational. BISD NMI Fund BISD NYI Fund Consolidated account funds of British Isles South Distrirt, held to record the financial records of the charitable activities of The Naz in Salford. Salford Church 27

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 {continued) 19 Analysis of movement in unrestricted funds A5at30 September 2024 Balance at I October 2023 Gains / ILosse51 Income Expenditure Transfers Unrestrlrted Funds General Fund Designated Funds Capital Fund Ladles Retreat Fund Oldham Church Fund Revaluation reserve Tot41 Deglgnated Funds 2,048,829 265,761 1327,2671 138,076 2,125,399 2,850,699 4,328 57,816 L 182 403 4,095,246 2,850,699 4,073 57,816 1 182 403 4,094,991 20,283 120,5381 20,283 120,5381 Total Unregtrlcted Fundg 6,144,075 286,044 1347,8051 138,076 6.220,390 Prevlous reportlng perlod Asat30 September 2023 Balance at i October 2022 Gains / (Losses) Income Expendlture Transfers Unrestrlrted Funds General Fund Deslgnated Fund5 Capital Fund Ladles Retreat Fund Oldham Church Fund Revaluation ￿serve Total Deslgnated Funds 1,141,591 1,283,64Q (411,263) 34,861 2,048,829 2,850,699 3,569 2,850,699 4,328 57,816 1 182 403 4,095,246 15,241 57,816 (14,482) 1 182 403 4,036,671 73,057 (14,482) Total Unrestrleted Funds 5,178,262 1,356,697 (425, 745) 34,861 6,144,075 Name of unrestrlrted fund Descrlptlon, nature and purposes of the fund General fund The free re5erve5 after allowing for all designated fund5 Property fund linked to fixed assets. Funds become liouid assets on sale of property Capital Fun Ladies Retreat FLJnd Designated fLJnds belonging to the annLJal Ladies retreat- a weekend away for ladies. Revaluation reserve The increase in values of the investment properties. 28

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) 20 Analysis of net assets between funds General funds Designated funds Restricted funds Total Tangible fixed assets Fixed asset investments Net current assets/(liabilities} 414.320 4,803,355 (3.092.276) 414,320 4,803,355 1,114,025 4.094.991 111,310 Total 2,125,399 4,094,991 111,310 6,331,700 21 Reconciliation of net movement in funds to net cash flow from operating activities 2024 2023 Net income/(expenditure) for the year Adjustments for: Depreciation charge Los51{profit) on sale of fixed assets (Gains)/losses on investments Dividends, interest and rents from investment5 Decrease/(increase) in debtors Increase/{decrease) in creditors 139,714 920,640 12.503 4,066 25,025 (34,861) (159, 782) (118,667) 29,395 (138,076) {196,421) 21,185 (5,756) Net cash provided by/(used in) operating {166,851) 665,816 29

Church of the Nazarene British Isles South District Notes to the accounts for the year ended 30 September 2024 (continued) 22 Prior year Statement of Financial Artivities (including Income and Expenditure account) Unrestritted funds Restrirted Total funds funds 2023 Total funds 2022 Income from: Donations and legacies 1.181.674 112.298 1,293,972 733,894 Charitable activities.. 15.241 51.658 66,899 62,916 Investments 159.782 159,782 115,344 Total income 1.356.697 163.956 1.520,653 912 154 Expenditure on: Raising funds 52.726 52,726 55,121 Charitable activities.. 373.019 209.129 582,148 2,925,569 Total expenditure 425.745 209.129 634.874 2,980.690 Net income/(expenditure) before net gains/(losses) on investments 930.952 (45.173) 885,779 (2,068,536) Gains/(losses) on investments 34,861 34,861 (25,388) Net income/(expenditure) for the year 965,813 (45,173) 920,640 (2,093,924) Transfer between funds Other recognlsed galns/(losses}: Gains/(losses on revaluation of fixed 421,900 Net movement In funds for the year 965,813 (45,173) 920,640 (1,672,024) Reconclllatlon of funds Total funds brought forward as previously reported 5.178.262 93.084 5,271,346 6,943,370 Total funds brought forward 5.178.262 93.084 5,271,346 6,943,370 Total funds carried forward 6.144.075 47.911 6.191,986 5,271.346 The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. 30