2021-12-31-accounts

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Diocese of London

Parish Number: 0515

Charity Registration Number: 1133877

Report & Accounts 31 December 2021

Tandem Accounting Chartered Accountants 17 Heathville Road London N19 3AL

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Report and Financial Statements 2021 Contents

	Page
Legal and administrative information	2
Report of the Parochial Church Council	4
Independent Examiner’s report to the Parochial Church Council	10
Statement of financial activities	11
Balance sheet	12
Notes to the financial statements	13

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Legal and Administrative Information For the year ended 31 December 2021

Charity Name	The Parochial Church Council of the Ecclesiastical Parish of St Mary, Stoke	The Parochial Church Council of the Ecclesiastical Parish of St Mary, Stoke	The Parochial Church Council of the Ecclesiastical Parish of St Mary, Stoke
	Newington
Charity no	1133877. The Parish was	established in the 14thCentury and is a charity which was
	formally registered with the Charity Commission on 28 January 2010.
Principal Address	Stoke Newington Church	Street, London N16 9ES
The Governing Document	Parochial Church Council Powers Measure (1956) as amended and Church
	Representation Rules.
Objective	Our Mission Statement is	“We are here to share the	loving hospitality of God, seeing
	Christ in friend and stranger”.
Members of the PCC	The Members of the PCC who served during the year or who were serving at the
	date of this report were:
	Clergy	Rev Dilly Baker (Rector)
		Roxane Liddell (Assistant Curate)
	Churchwardens	Mr Andrew McCully
		Mr Grant Cocks
		Ms Katie Smith
	Ex Officio	Ms Judith Simpson
		Sara Cottingham
	Elected Lay	Mr Pete Stickland	Mr John Guest
	Representatives	Ms Alberta Bunbury	Ms Olamide Kama
		Nicolas Carter	Ms Elaine Simpson
		Katie Smith	Mr Bruce Castle
		Elizabeth Smallman	Miss Connie Blackett-Ord
		Esme Brooker	Phil Diprose
		Neil Georgeson	Alice Nkwanma
		Carol Bramble	Sheila Sansbury
		Jane Hutchinson	Elisabetta Olivari
		Bonnie Chiu	Anne Taylor
		Laura Gilbert
	Lay Representatives to	Olamide Kama
	the Deanery Synod	Nicolas Carter
	Co-opted	Sophie Taylor

Key Management Those in charge of directing, controlling, running and operating the Church on a day to Personnel day basis are the Rector and members of the Standing Committee. Bankers Co-op Bank PO BOX 250 Skelmersdale WN8 6WT

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Legal and Administrative Information For the year ended 31 December 2021

Independent Examiner John Helm ACA Tandem Accounting 17 Heathville Road London N19 3AL Quinquennial Inspector Oliver West & John Scott Architects The Studio, 3A Bath Road London W4 1LL

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Report of the Parochial Church Council For the year ended 31 December 2021

The Parochial Church Council of the Ecclesiastical Parish of St Mary Stoke Newington (“the PCC”) submits its report and the financial statements of the PCC for the year ended 31 December 2021. The financial statements have been prepared in the format prescribed by the Statement of Recommended Practice: Accounting and Reporting by Charities (SORP2019 (FRS102)) and the Financial Reporting Standard 102. The legal and administrative information set out earlier in this document forms part of this report.

The PCC co-operates with the incumbent in promoting the whole mission of the Church within its Parish and beyond. It also has responsibility for the non-stipendiary staff and the maintenance of the church buildings.

1. Structure, Governance & Management

1.1 Trustees

The PCC is a body corporate with perpetual succession. Members of the PCC are either ex officio or elected by the Annual Parochial Church Meeting (APCM) in accordance with the Church Representation Rules.

1.2 Executive

The Standing Committee has the power to transact any business of the PCC between its meetings, subject to any directives given by the PCC, and in January –December 2021 comprised of the Rector, the church wardens, Judith Simpson, Anne Taylor, Laura Gilbert, Sophie Taylor, with Phil Diprose joining from November 2021.

In 2021, the PCC met 8 times and the Standing Committee met 4 times. Meetings up until May were held via the Zoom platform. Proceedings in the first half of the year were still dominated by the questions raised by the pandemic; although the PCC agreed to reopen for live services from March, this was still subject to a number of restrictions which were regularly evaluated. In particular, the PCC considered how best to bring together those who were anxious to see inperson worship restored as close as possible to its format before the pandemic, with our commitment to wider outreach, especially to those who preferred worshipping on-line. Numbers at both the 9.30 and 11.00 services had failed to recover as Covid restrictions were lifted, which was particularly concerning in relation to the 9.30 service, which was not live-streamed.

In February, the PCC considered and approved a proposal to set up a mobile coffee stall in the church grounds.

Following the APCM in May 2021, at its first meeting in June 2021, the PCC conducted the formal business of electing its officers and the Standing Committee. It also received a report from the Safeguarding Officer reminding members about their safeguarding responsibilities, approved an Audit of the safeguarding procedures that were in place, and noted that no incidents causing concern had been reported to the Safeguarding Officer in the previous year.

Thereafter, the main business of the PCC for the rest of the year has been the revision of the church Mission Action Plan (MAP), which is being presented to the congregation at this year’s APCM. This was the main item for discussion at each subsequent meeting. In August 2021, the PCC considered the extent to which the previous MAP had delivered on its objectives and concluded that, thanks in part to Covid, progress had been disappointing. In preparation for its discussion in November 2021, the PCC also held two open meetings with other members of the congregation to gather ideas. At that meeting, it agreed to the broad outlines of a revised draft MAP. The PCC agreed that the overarching theme of the MAP should be ‘radical empathy’, and that objectives and policies to deliver this should continue to be organised under the three headings of ‘love tenderly’, ‘do justly’ and ‘walk humbly’. In November 2021 it considered in more detail how St Mary’s might become an ‘Eco-Church’, consistent with our commitment to care for the whole of God’s creation and our response to the climate emergency.

As well as these two particular themes, the PCC continued to receive regular reports on the parish’s financial situation and the state of the buildings. The financial situation had improved over the year, thanks to higher than budgeted rents from the St Mary’s Centre and we had, for the first time in several years, been able to offer the Diocese the full amount requested as our contribution to the Common Fund for 2022, which paid for clergy salaries and the centralised costs of the Diocese. The rents however remained vulnerable to an upsurge in Covid cases which, even if they did not result in new official restrictions, might discourage some users. However, the danger of this was receding, and there was presently

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Report of the Parochial Church Council For the year ended 31 December 2021

little spare capacity in the Centre. Giving by the congregation remained a concern; although it had not fallen during the pandemic, it was not increasing and our costs would be going up, especially for utility payments.

On buildings, the PCC received reports on the work to repair the tower of the Old Church. It also received reports on various maintenance issues on both churches. However, there were no significant projects to consider. However, the state of the roof of the New Church continued to be an issue. The regular inspection report by the church architect, which takes place every five years, had identified as ‘utmost urgent’ the need to agree a strategy for its full replacement. This would require significant grant funding, and the PCC had commissioned research into the options for this.

1.3 Church Attendance

The electoral roll is completely reviewed and revised once every six years. At October 2020 the electoral roll stood at 197 and at May 2021 it stood at 194.

1.4 Risk Management

Financial risk is managed by the Treasurer and Administrator who report to the Rector, the Standing Committee and the PCC. The Treasurer and Administrator meet regularly and hold bi-monthly meetings with the Rector to discuss areas of risk such as likely increased costs or decisions about income.

Operational Area	Risk	Management
Security & Safeguarding	There is a major security, safeguarding, or health & safety incident	Safeguarding – there is a safeguarding policy in place and a designated safeguarding officer. All volunteers who have direct contact with children or vulnerable adults are required to have a DBS, which is renewable every three years; we ensure that insurance policies are up-to-date and cover us for identified risks; we maintain up-to-date incident logs.
Finances	Income and expenditure: there is a risk that expenditure could exceed income	Monthly management accounts are prepared comparing income and expenditure with budget; PCC officials ensure proper authorisation of expenditure in line with the target operational cash reserves of three months’budgeted expenditure.
	Potential liabilities: there is an uninsured liability which crystallises	To mitigate this potential risk, we ensure that insurance policies are up-to-date and include employer’s liability, public liability, buildings insurance,contents insurance andpropertyowner’s liability

Clearly, from March 2020, Covid-19 presented as the greatest risk overshadowing all others. The church has been closed for most of the year and when it was open, government guidelines on health risks, including sign in, mask wearing, sanitising and social distancing were strictly observed and enforced. Whilst the church was closed, we lost most of our rental and lettings income.

2. Activities & Strategies

Much of 2021 saw our worshipping life once more dominated by Covid and we found ourselves continually adapting to the necessary demands that the pandemic placed on us. In March, we reopened our doors to both churches, and live streamed our 11am service for those who preferred to join us from home. As the year has gone on, so we have been able to relax our ‘rules and regs’ and are now back to normality (almost!). Inevitably ‘zoom’ meetings are now part of our DNA!

Despite the restrictions on us we have been hugely blessed in the numbers of new folk who have found their way to St Mary’s over the year, in particular, to our 11am Parish Eucharist. Their presence and their varying perspectives have been and continue to be, a real gift. Numbers attending our All-Age service each Sunday are regularly lower than they were before the pandemic, and this is something that the church will need to address going forward.

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Report of the Parochial Church Council For the year ended 31 December 2021

Attendance at our Christmas services in 2021 held up, despite the anxiety around Covid. We were able to offer a Carol Service (where the church was full), carol singing outside the church one evening which attracted about 100 people, a children’s Nativity and Christingle service, Midnight Mass and a Christmas morning family service.

In 2021 St Mary’s conducted:

• 7 baptisms * 4 weddings * 7 funerals

During 2021 the PCC, in conversation with others, revisited and updated our Mission Action Plan (MAP). Whilst recognising and affirming the ongoing work we are presently involved in, we also identified the need to a) provide better mental health support and training b) ensure the climate crisis informs our thinking, praying and action c) continue to develop St Mary’s as a centre for Community Exchange, connecting us with the wider community around shared values and shared concerns. These elements will be a high priority as we move forward together over the next 3 years.

We have enjoyed our relationship with the newly established ‘13th Floor’ coffee stall that is now a fixture outside the New Church, bringing the local community to our door and some much needed rental revenue. It’s now not uncommon to see parishioners grabbing a quick coffee on their way into church on a Sunday morning!

Despite the constraints that Covid brought we have some memorable highlights from this past year:

• The North London Dirt Bike Ride, courtesy of the Diprose brothers, once again began and finished at St Mary’s and raised a remarkable £10k for the Centre;

• The ‘Emerge’ Festival, which brought together our local community through music, art and food, culminating in an inspirational evening with the Ukulele Ska Collective; definitely one to repeat!

• Another successful Winter Market, this time with a Cafe in the Centre, all contributing to record takings;

• A successful grant application which enabled us to appoint our first Manager to the 2nd Chance Cafe; our flagship project that goes from strength to strength;

• A pumpkin party and bonfire for our young people in the Rectory garden and Centre; and

• Our ‘pop-up’ Community Choir, under the leadership of Nick Jenkins and Michael White which once again brought joy and energy to our Carols by Candlelight service.

As always, my thanks go to the many people who contribute with their time and skills towards making St Mary’s such a special place. I especially want to thank the work of the Wardens, Treasurer and Secretary over this last year and those colleagues, ordained and lay, who have prepared and led worship, not least our Musical Director. We had to say goodbye to our curate Roxane Liddell in July as she took up her post as Vicar in Edmonton but at the same time we have been delighted to welcome the ministry of Sara Cottingham and look forward to her being licensed as a Lay Minister in June this year. My thanks also goes to our Centre Administrator, Anne Taylor, for her unstinting work in enabling our new St Mary’s Centre to get off to such a flying start! I’d also like to thank Trudi Graham who has stood down this year after dealing with Gift Aid paperwork for the last 25 years. Also, to Paula Anderson for her dedication to cleaning, Carol Mason for the flower arranging; to the gardening team and to Jeff Manning for his tireless commitment to doing all manner of maintenance work.

Rev. Dilly Baker, Rector

Church Wardens’ Report

Last year’s report was a story of closure with limited use of our two churches as our community faced the challenges of Covid. Following the reopening on Mothering Sunday and carefully socially distanced Easter services we looked forward in hope at the 2021 APCM to a fuller return to worship. This year’s report plots that journey which is still not complete.

The emergence of the Old Church from Covid restrictions in 2021 had at least provided the opportunity for securing new sources of funding to improve the building: first in the construction of the performance space on the north side of the church, followed by the repairs to all four windows in the church tower as required in the last quinquennial review. That essential repair work was begun after Easter and was completed by June, allowing the 9.30 congregation to return to the Old Church after the summer. The TOC arts charity has renewed its work to improve the appearance of the

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Report of the Parochial Church Council For the year ended 31 December 2021

interior with limited decoration, but concerns remain about the state of the floor. Ideas continue to surface about the restoration of the bells so that they could be rung again from the tower in a further stage of renovation for the Old Church, but a decision has yet to be made about whether that could be successfully financed.

Worship in the New Church continued its careful socially distanced approach from Easter into summer alongside livestreaming of the services over Facebook; but by July with the removal of legal restrictions singing by the congregation returned, masks were removed by some, and the rigours of recording attendance were reduced. Approaching the end of the year we dared to reintroduce the Winter Market, making full use of both Church and the St Mary’s Centre, and Christmas saw the Church full again for the carol service. Communion returned in the New Year to the altar rails in place of separate stations at the front and back of the church, and at Easter we reintroduced communion with the wine as well as the bread.

The spirit of the emergence from Covid has most been demonstrated by the increasing central presence in our community life of the St Mary’s Centre. Our award-winning centre was designed to be the beacon of belonging at the heart of Stoke Newington, but its construction had had to do battle with the delays of Covid. Now with a year’s operation behind us it is living up to all our expectations: the meeting place of church partner organisations; a much sort after place for parties and other social gatherings; but most significant of all the home of our Second Chance Café where community life is enhanced through good food. The fabric of the building still needs further attention. During the year the promised “snagging”following the completion of the construction solved some but not all defects; the automatic opening of the connecting door into the south transept of the church has proved too costly to reinstall; and urgent work has had to be undertaken on leaks from the roof – still an unresolved dispute between our architects and our builders. But the Centre remains a joy.

Through the year we continued to be reminded of the fragility of the roof of the New Church after further piecemeal repairs last year. Leaks in the south transept, front and back, were experienced in heavy rain; the guttering and hoppers on both the north and south sides were overwhelmed in deluges; and storms in the new year once again ripped slates off the roof. And most symbolic of all, water ingress into the pediment above the west door brought the collapse of masonry round the relief of Christ the Redeemer. The west door remains closed as we await a full assessment of the damage and the recommendations for repair from our architect. We know we need a full replacement of the roof – the last quinquennial report pointed to that need – and we have researched potential funding sources for what will be an unprecedented programme of work. Now that the tasks of adapting our space to the rigours of Covid are no longer the overriding priority the biggest challenges for the coming year will be a full assessment of the scale of the task of repairing the roof and securing the necessary funding.

Throughout the year our work has only been possible with the help and support of so many across our congregations. But we must continue to give particular thanks to Jeff Manning for all the work he does carrying out minor repairs during the year, maintaining the relationship with the contractors which have served the churches over the years and bringing them in when we need more significant work such as the repairs to the New Church roof and guttering. The jobs of church warden could not be done without his significant support and we are very grateful.

Mr Andrew McCully & Mr Grant Cocks

3. Financial Review

The PCC’s main sources of funding are the free will offerings of church members and other in attendance at church meetings, and income from the hiring out the church buildings.

3.1 Financial Activity and Financial Position

The Statement of Financial Activities and Balance Sheet can be found on pages 11 and 12 respectively. The Church’s reserves increased by £38,030 during the year (2020 – decreased by £638,798). The balance sheet shows total net assets of £209,138 (2020: £171,109).

Included in total funds are amounts totalling £12,966 (2020: £12,948) which are restricted. These balances have either been raised for, and their use restricted to, specific purposes, or they comprise donations subject to donor imposed

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Report of the Parochial Church Council For the year ended 31 December 2021

conditions. Full details of these restricted funds can be found in note 9 to the accounts together with an analysis of movements in the year.

3.2 Reserves Policy

The PCC in 2021 maintained the policy set in the previous year for the requirements for free reserves (i.e. those unrestricted funds not invested in tangible assets) that, given the nature of the church's work, free reserves should be the equivalent of £45,000 kept on deposit where funds permit.

The PCC believes this provides sufficient flexibility to cover temporary shortfalls in income and will allow the church to cope and respond to unforeseen emergencies whilst specific action plans are implemented. At 31 December 2021, the church had net free reserves of £195,994 (2020: £157,176) as follows:

Total reserves Less: restricted funds Less: tangible fixed assets Free reserves Free reserves requirement: Reserve agreed by PCC Balance allocated to the anticipated cost of fabric repairs Free reserves	2021	2020 £ 171,109 (12,948) (985)
	£
	209,138
	(12,966)
	(178)
		157,176
	195,994
		80,000 77,176
	45,000
	150,994
		157,176
	195,994

3.3 Investment Policy

The PCC is in the process of formulating an investment policy. Funds in excess of immediate working capital requirement are placed in a bank deposit account.

3.4 Grants Policy

The PCC makes occasional grants to support charitable endeavours both in the UK and abroad. The policy of the church is to give grants on the basis that they are subject to annual review. At present St Mary’s supports its link parish in Tete, Mozambique and Christian Aid. We also give to local charities that resonate with our mission such as the Hackney Migrant Centre and the Hackney Winter Night Shelter. In addition, we have occasional one-off collections e.g. Children’s Society at Christmas.

4. Plans for Future Periods

During 2022 we will be looking to:

• rebuilding our church community in the aftermath of the covid-19 pandemic, seeking to ensure that we remain a diverse and inclusive community, offering opportunities for people to grow in the Christian faith, come together socially and celebrate our life together;

• make our new St Mary’s Centre a ‘beacon of belonging’, providing us with a space to live out our mission statement in practical ways. In particular we will look to develop the 2nd Chance Cafe Project in line with the Business Plan.

• • increase both our ‘planned giving’ and our fundraising initiatives.

5. Responsibilities of Trustees for the Financial Statements

The PCC is responsible for preparing the report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice. Charity law in England and Wales requires the PCC to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the PCC and of the income and application of income of the charity for that period.

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Report of the Parochial Church Council For the year ended 31 December 2021

• In preparing those financial statements, the PCC is required to:

• select suitable accounting policies and apply them consistently;

• observe the methods and principles of the Charities SORP

• make judgements and estimates that are reasonable and prudent;

• state whether applicable accounting standards have been followed, subject to any departures disclosed and explained in the financial statements; and

• Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the activities of the charity will continue.

The PCC is responsible for keeping adequate accounting records which disclose with reasonable accuracy at any time the financial position of the charity and enables them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports Regulations 2008 and the provisions of the governing document. The PCC is also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The PCC is responsible for the maintenance and integrity of the charity and financial information included in the charity’s website.

6. Approval

The report of the PCC was approved by the PCC on 19 September 2022 and signed on its behalf by:

Rev Dilly Baker, Rector

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Report of the Independent Examiner to the Parochial Church Council of St Mary, Stoke Newington

I report on the accounts of the Parochial Church Council of St Mary Stoke Newington for the year ended 31 December 2021, which are set out on pages 11 to 20.

Respective responsibilities of PCC and examiner

The PCC are responsible for the preparation of the accounts. The PCC consider that an audit is not required for this year (under section 144(2) of the Charities Act 2011 (the 2011 Act)) and that an independent examination is needed.

It is my responsibility to:

• examine the accounts (under section 145 of the 2011 Act);

• to follow the procedures laid down in the General Directions given by the Charity Commissioners (under section 145(5)(b) of the 2011 Act); and

• to state whether particular matters have come to my attention.

Basis of independent examiners’ report

My examination was carried out in accordance with the General Directions given by the Charity Commissioners. 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 the seeking of 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 a fair view’ and the report is limited to those matters set out in the statement below.

Independent examiners’ statement

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

1. accounting records were not kept in respect of the church as required by section 130 of the Act; or

2. the accounts do not accord with those records; or

3. 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.

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.

John Helm Chartered Accountant

19 September 2022

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Statement of Financial Activities For the year ended 31 December 2021

Note Income from: 2 Donations and legacies Charitable activities Other trading activities Investments Total Income Expenditure on: Raising funds 3 Charitable activities 4 Total Expenditure Net gains/(losses) on investments 7 Net income/(expenditure) 5 Transfers between funds Other recognised gains/(losses) Net movement in funds Total funds brought forward Total funds carried forward	Unrestricted Funds 2021 £ 123,090 1,690 59,190 2,183	Restricted Funds 2021 £ 28,808 - - - 28,808 - 28,790 28,790 - 18 - - 18 12,948 12,966		Unrestricted Funds 2020 £ 241,836 2,874 11,706 2,630		Restricted Funds 2020 £ 256,338 - - - 256,338 - 258,731 258,731 - (2,393) - (2,393) 15,341 12,948	Total 2020 £ 498,174 2,874 11,706 2,630 515,384 4,526 1,154,204 1,158,730 4,548 (638,798) - - (638,798) 809,907 171,109
			Total
			2021
			£
			151,898
			1,690
			59,190
			2,183
	186,153			259,046
			214,961
	396 156,180 156,576 8,434 38,011 - - 38,011 158,161 196,172			4,526 895,473
			396
			184,970
				899,999
			185,366
				4,548
			8,434
				(636,405)
			38,029
				-
			-
			-
				(636,405) 794,566
			38,029
			171,109
				158,161
			209,138

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Balance Sheet As at 31 December 2021

Note Fixed Assets Tangible Assets 6 Investments 7 Current Assets Debtors 8 Cash At Bank And In Hand Creditors - Amounts Falling Due Within One Year 9 Net Current Assets Net Assets Represented by: Restricted Funds 10 Unrestricted Income Funds Total Funds	Unrestricted Funds 2021 £ 178 84,598 84,776 37,841 119,244 157,085 45,689 111,396 196,172 - 196,172 196,172	Restricted Funds 2021 £ - - 0 - 12,966 12,966 - 12,966 12,966 12,966 - 12,966			Total 2020 £ 985 76,165
			Total
			2021
			£
			178
			84,598
					77,150 33,649 98,723
			84,776
			37,841
			132,210
					132,372 38,413
			170,051
			45,689
					93,959
			124,362
					171,109
			209,138
					12,948 158,161
			12,966
			196,172
					171,109
			209,138

The financial statements were approved by the PCC on 19 September 2022 and signed on its behalf by:

Sophie Taylor Treasurer

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Notes to the Financial Statements For the year ended 31 December 2021

1. Accounting Policies

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

Basis of accounting

The financial statements have been prepared under the Charities Act 2011 and in accordance with the Charities Statement of Recommended Practice (Charities SORP (FRS 102)) and Financial Reporting Standard 102 (FRS 102). The financial statements are drawn up on the historical cost basis of accounting except for the revaluation of leasehold land and buildings and investments which are shown at market value.

The financial statements include all transactions, assets and liabilities for which the PCC is responsible in law. They do not include the accounts of church groups that owe an affiliation to another body or those that are informal gatherings of church members.

The PCC meets the definition of a public benefit entity under FRS 102.

Going Concern

There are no material uncertainties about the charity’s ability to continue as a going concern and accordingly the accounts have been drawn up on a going concern basis.

Income recognition

Voluntary income and donations (including legacies) are accounted for once the PCC has entitlement to the income, it is probable the income will be received and the amount of income receivable can be reliably measured. Income from the recovery of tax on gift aided donations is accounted for in the period to which the relevant donation is received. Grant income is recognised on a receivable basis.

The income from trading activities includes rental income from the letting of church premises which is accounted for when earned. It is shown gross, with the associated costs included in fundraising costs.

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

Expenditure recognition

Expenditure is accrued as soon as a liability is considered probable, and the amount of obligation can be measured reliably. Longer term liabilities are discounted to present value. The PCC is not registered for VAT and accordingly expenditure includes VAT where appropriate.

Expenditure included in Raising Funds includes amounts incurred in obtaining grants and other donations and property maintenance costs.

Charitable expenditure includes those costs in fulfilling the PCC’s principal objects, as outlined in the Report of the PCC. These include grants payable, governance costs and an apportionment of support costs.

• Grants payable are payments made to third parties in furtherance of the PCC’s objects. In the case of an unconditional grant offer this is accrued once the recipient has been notified of the grant award. The notification gives the recipient a reasonable expectation that they will receive the grant. Grants awards that are subject to the recipient fulfilling performance conditions are only accrued when the recipient has been notified of the grant and any remaining unfulfilled condition attaching to that grant is outside of the control of the PCC.

• Governance costs comprise all costs involving the public accountability of the PCC and its compliance with regulation and good practice. These costs include costs related to the independent examination and legal fees.

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THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Notes to the Financial Statements For the year ended 31 December 2021

1. Accounting Policies (continued)

Tangible Fixed Assets

Consecrated Property and Moveable Church Furnishings

Consecrated land and benefice property such as the church building and rectory is excluded the accounts in accordance with s10 of the Charities Act 2011. Moveable church contents are held by the rector and churchwardens on special trust for the PCC and require a faculty for disposal are accounted as inalienable property unless consecrated. All expenditure incurred on consecrated or benefice buildings and moveable church furnishings, whether maintenance or improvement, is expensed within the Statement of Financial Activities.

Other Fixtures, Fittings & Office Equipment. The cost of other furniture, fittings and equipment, less any expected residual value, is depreciated on a straight line basis over the effective useful life of the asset, which has been estimated as four years.

Debtors

Debtors are included at the settlement amount due. Prepayments are valued at the amount prepaid.

Cash at bank and in hand

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of opening of the deposit.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation arising 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 recognised at their settlement amount.

Fund accounting

The funds held by the charity are either:

• Unrestricted general funds - these are funds which can be used in accordance with the charitable objects at the discretion of the trustees.

• Restricted funds - these are funds that can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

14

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Notes to the Financial Statements For the year ended 31 December 2021

2. Income

2. Income
Donations & legacies Offerings and donations Income tax reclaimed Grants Charitable activities Fee income (net of fees paid to Diocese) Other trading activities Votive candles Fund raising events Lettings income Investments Dividends Bank Interest	Unrestricted Funds 2021 £ Restricted Funds 2021 £ 91,749 - 12,199 - 19,142 28,808 123,090 28,808 1,690 - 1,690 0 - 14,592 - 37,678 - 6,920 - 59,190 0 2,181 - 2 - 2,183 0 186,153 28,808				Total 2020 £ 95,912 16,355 385,907
			Total
			2021
			£
			91,749
			12,199
			47,950
					498,174 2,874
			151,898
			1,690
					2,874 433 - 11,273 -
			1,690
			14,592
			37,678
			6,920
					11,706 2,195 435
			59,190
			2,181
			2
					2,630
			2,183
					515,384
			214,961

Grants totalling £131,273 (2020: £85,255) are in respect of claims made to the Listed Places of Worship Grant Scheme, a Government funded scheme.

3. Expenditure on Raising Funds

Unrestricted Funds 2021 £ Lettings – cleaning, maintenance & repair - Fundraising – event costs, votive candles etc 262 Stationery 134 396	Restricted Funds 2021 £ - - - 0				Total 2020 £ 4,526 - - 4,526
			Total
			2021
			£
			-
			262
			134
			396

15

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Notes to the Financial Statements For the year ended 31 December 2021

4. Expenditure on Charitable Activities

Unrestricted Funds 2021 £ Common Fund 58,440 Staff costs (see note 4a) 23,437 Church Life & Outreach 4,268 Missionary & Charitable Giving and Gifts (see note 4b) 1,069 Provision of Office & Support 5,830 Provision of Buildings and Facilities 55,953 Building project - New Rooms 5,713 Governance costs 1,470 156,180	Restricted Funds 2021 £ - - - 1,257 - 27,533 - - 28,790			Total 2020 £ 63,000 23,396 4,659 787 6,975 39,243 1,014,524 1,620 1,154,204	Total 2020 £ 63,000 23,396 4,659 787 6,975 39,243 1,014,524 1,620
			Total
			2021
			£
			58,440
			23,437
			4,268
			2,326
			5,830
			83,486
			5,713
			1,470
			184,970

4a Expenditure – Staff Costs

In addition to the many volunteers who give their time to the church, there were 2 (2020: 3) employees and 1 (2020: nil) subcontractor whose costs are included within Staff Costs above. Their aggregate emoluments were as follows:

Gross salaries Subcontractor Statutory Maternity Pay Recovered Employer’s National Insurance Pension contributions		2021		2020
		£		£
				22,898 - - - 498
		16,860
		12,873
		(6,939)
		270
		373
		23,437		23,396

These figures exclude the amounts paid to the Diocese for the incumbent and the curates, who are funded through the Common Fund. No employee (2020: nil) received emoluments in excess of £60,000 during the year.

4b Expenditure – Missionary & Charitable Giving and Gifts

Giving to organisations: Tete Fund St Mary’s Pickersleigh ALMA Gifts to individuals	Unrestricted Funds 2021 £ Restricted Funds 2021 £ - 1,007 50 - - 250 1,019 - 1,069 1,257				Total 2020 £ 565 - - - 565
			Total
			2021
			£
			1,007
			50
			250
			1,019
			2,326

16

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Notes to the Financial Statements For the year ended 31 December 2021

5. Net (Expenditure)/Income

This is stated after charging: Depreciation of owned assets Independent examination fee (including preparation of financial statements) Other fees paid to independent examiner		2021		2020
		£		£
		807		1,329
		1,470		1,620
		1,680		-

6. Tangible Fixed Assets

Cost At 1 January 2021 Additions At 31 December 2021 Depreciation At 1 January 2021 Charge for Year At 31 December 2021 Net Book Value At 31 December 2021 At 31 December 2020	Fixtures,	Fixtures,
	fittings &
	equipment
		£
		4,557
		-
		4,557
		3,572
		807
		4,379
		178
		985

All of the fixed assets are used for charitable purposes.

7. Fixed Asset Investments

Market Value At 1 January Net of purchases and sales Net gain on revaluation At 31 December Market value represented by investments in: CBF Fixed Interest Shares CBF Investment Fund CBF 50p Shares				2020 £ 71,617 - 4,548 76,165 12,003 35,618 28,544 76,165
		2021
		£
		76,617
		-
		7,981
		84,598
		11,210
		40,740
		32,648
		84,598

No original cost information is available. The investments are held in the name of St Mary PCC, Stoke Newington.

17

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Notes to the Financial Statements For the year ended 31 December 2021

8. Debtors

8. Debtors
Prepayments Income tax recoverable Lettings receivable Other debtors		2021		2020 £ 18,351 14,214 - 1,084
		£
		19,255
		13,158
		175
		5,253
				33,649
		37,841

9. Creditors - Amounts Falling Due Within One Year

Accruals Other creditors		2021		2020 £ 38,413 -
		£
		45,471
		218
				38,413
		45,689

10. Restricted Funds

10a Current Year Church Urban Fund New Build Night Shelter Floodlight Fund Tete Fund Palatine Estate Charity grant Church Bells Nepal Interfaith Old Church Development Fund Old Church Repairs Migrant Family Mediation policy Clergy expenses Chairs Total		At 1 January 2021 £ 5,315 0 874 15 2,183 1,645 14 200 44 400 0 375 20 115 1,748 12,948		Income £ Expenditure £ Transfers £ 500 (1,020) - - - - - - - - - - - (1,257) - 7,800 (6,863) - - - - - - - - - - - - - 20,508 (19,650) - - - - - - - - - - - - - 28,808 (28,790) 0	Income £ Expenditure £ Transfers £ 500 (1,020) - - - - - - - - - - - (1,257) - 7,800 (6,863) - - - - - - - - - - - - - 20,508 (19,650) - - - - - - - - - - - - - 28,808 (28,790) 0	Income £ Expenditure £ Transfers £ 500 (1,020) - - - - - - - - - - - (1,257) - 7,800 (6,863) - - - - - - - - - - - - - 20,508 (19,650) - - - - - - - - - - - - - 28,808 (28,790) 0	Gains/ (losses) £ - - - - - - - - - - - - - - - 0	At 31	At 31
								December
									2021
									£
									4,795
									0
									874
									15
									926
									2,582
									14
									200
									44
									400
									858
									375
									20
									115
									1,748
									12,966

18

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Notes to the Financial Statements For the year ended 31 December 2021

10. Restricted Funds (continued)

10b Prior Year

Church Urban Fund New Build Night Shelter Floodlight Fund Tete Fund Palatine Estate Charity grant Church Bells Nepal Interfaith Old Church Development Fund Children Society Migrant Family Mediation policy Clergy expenses Chairs Total		At 1 January 2020 £ 5,315 0 874 0 1,459 5,132 14 200 44 0 45 375 20 115 1,748 15,341		Income £ Expenditure £ Transfers £ - - - 254,634 (254,634) - - - - 15 - - 1,289 (565) - - (3,487) - - - - - - - - - - 400 - - - (45) - - - - - - - - - - - - - 256,338 (258,731) 0	Income £ Expenditure £ Transfers £ - - - 254,634 (254,634) - - - - 15 - - 1,289 (565) - - (3,487) - - - - - - - - - - 400 - - - (45) - - - - - - - - - - - - - 256,338 (258,731) 0	Income £ Expenditure £ Transfers £ - - - 254,634 (254,634) - - - - 15 - - 1,289 (565) - - (3,487) - - - - - - - - - - 400 - - - (45) - - - - - - - - - - - - - 256,338 (258,731) 0	Gains/ (losses) £ - - - - - - - - - - - - - - - 0	At 31	At 31
								December
									2020
									£
									5,315
									0
									874
									15
									2,183
									1,645
									14
									200
									44
									400
									0
									375
									20
									115
									1,748
									12,948

Descriptions of the main restricted funds are as follows:

Tete Fund represents funds received for the purpose of supporting the church community in Tete, Mozambique.

Palatine Estate Charity Grant represents funds received from Palatine Estate Charity (charity no. 250880) for the purpose of maintenance and repair of the Parish Church.

The Old Church – Roof Maintenance represents funds raised (from the Listed Places of Worship Roof Repair Fund) for the repair to the roof of The Old Church

New Build represents funds raised for the rebuilding of the community halls adjacent to the new church.

Migrant Family represents funds raised by the North Hackney Welcome Project to resettle a Syrian Refugee Family

11. Related Party Transactions and Balances

Rev Dilly Baker, Rector and member of the PCC, Andrew McCully and Mr Grant Cocks, both church wardens, and Mark Blackett-Ord, father of Connie Blackett-Ord, a member of the PCC, are the trustees of the Palatine Trust Charity (Charity Registration 250880) (“the charity”). During 2021 the charity made a grant of £7,800 (2020: £40,800) to the PCC.

The Old Church Stoke Newington Limited (company registration no. 08886915) (“TOC”) was established on 11 February 2016 in order to “build community through the arts and encourage creativity for all”. TOC operates the Old Church Building under annual licence from the PCC as an arts venue, hosting a wide variety of events including all genres of music, art exhibitions and fairs, dance, comedy and theatre/performance. The relationship with the PCC

19

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MARY, STOKE NEWINGTON

Notes to the Financial Statements For the year ended 31 December 2021

11. Related Party Transactions and Balances (continued)

is governed by a Memorandum of Understanding (dated 1 July 2016). The directors of TOC include Rev Dilly Baker, the Rector and a member of the PCC. During 2021:

• the PCC made payments totalling £1,700 (2020: £4,200) to TOC for the PCC’s use of the premises and £1,498 (2020: £2,616) in respect of maintenance

• TOC met the cost of the building’s insurance £4,120 (2020; £4,337).

During the year members of the PCC made unrestricted offerings and donations to the church of £16,020 (2020: £15,288).

20