Parish of West Cheltenham
Parochial Church Council
(formerly West Cheltenham Team Ministry Parochial Church Council)
Annual Report and Unaudited Financial Statements
for the year ended 31 December 2022
Registered Charity Number: 1133887
Parish of West Cheltenham Parochial Church Council Annual Report For the year ended 31 December 2022
| Contents | Page |
|---|---|
| Legal and administrative information | 1 to 2 |
| Statement of Council members responsibilities | 3 to 7 |
| Independent Examiner’s report to the Council members | 8 |
| Statement of financial activities | 9 |
| Balance sheet | 10 |
| Notes to the financial statements | 11 to 23 |
Parish of West Cheltenham Parochial Church Council Annual Report For the year ended 31 December 2022 (continued)
Legal and administrative information
| Rector and PCC Chairman | Rev’d Rod Paterson |
|---|---|
| Parish Vicars | Rev’d Sharon Walker |
| Rev’d Janice Hamilton | |
| Parish Wardens | Pauline Carter |
| Philip Southam (Lay vice chair) | |
| Deanery Synod | Wendy Binks |
| Patricia Bowen | |
| Josh Denley (PCC Secretary) | |
| Alan Ewins | |
| Treasurer | Ralph Catto (to May 2022) |
| Mike Horne (from May 2022) | |
| PCC Members | Susan Denley |
| Mike Horne (from May 2022) | |
| Elizabeth Joyce | |
| Lloyd Kilford | |
| Kathryn Martin | |
| Suzanna Pinless | |
| Mick Potter | |
| Rhys Topping | |
| Thomas Wynn | |
| Judy Sibley (to May 2022) |
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Parish of West Cheltenham Parochial Church Council Annual Report For the year ended 31 December 2022 (continued)
| Administrative office | Parish Office |
|---|---|
| The Oasis Centre | |
| Cassin Drive | |
| Cheltenham | |
| GL51 7SY | |
| Independent Examiners | Randall & Payne LLP |
| Chartered Accountants | |
| Chargrove House | |
| Shurdington | |
| Cheltenham | |
| GL51 4GA | |
| Bankers | Lloyds Bank plc |
| Lloyds Business Banking | |
| PO Box 1000 | |
| BX1 1LT | |
| HSBC Bank plc | |
| 2 The Promenade | |
| Cheltenham | |
| GL50 1LS | |
| CCLA Investment Management Ltd | |
| The CBF Church of England Funds | |
| 80 Cheapside | |
| London | |
| EC2V 6DZ | |
| Solicitors | Veale Wasbrough Vizards |
| Narrow Quay House | |
| Narrow Quay | |
| Bristol | |
| BS1 4QA |
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Parish of West Cheltenham Parochial Church Council
Annual Report For the year ended 31 December 2022 (continued)
Statement of Council members responsibilities
Structure, Governance, and Management
The method of appointment of Parochial Church Council (‘PCC’) members is set out in the Church Representation Rules. All Church attendees are encouraged to register on the Electoral Roll and stand for election to the PCC.
Vision and Priorities
West Cheltenham PCC have the responsibility of co-operating with the incumbent, the Revd Rod Paterson, in promoting in the ecclesiastical parish the whole mission of the Church, pastoral, evangelistic, social and ecumenical. It also has maintenance responsibilities for the St Barnabas and St Mark’s church buildings and associated property.
The parish vision statement is ‘Communities and places buzzing with the extraordinary presence of Jesus’. The four priorities within our regular pattern of worship and ministry that underpin that are:
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Prayer : to normalise prayer in all that we do, so it is part of our character and what we are known for.
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Operations and Communications : with the approach to be of continuous improvement.
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Small groups (Hubs) : recognised as vital for a healthy church and a life of committed discipleship.
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Mission and Outreach : a) to encourage every member of our congregations to intentionally see themselves as a witness to the Good News of Jesus wherever they go. b) the church as the body of Christ, intentionally connecting with the various communities we live and work amongst, and in these communities to engage in ‘pioneer ministry’.
Church Attendance
There are 196 parishioners on the Church Electoral Roll. The average weekly attendance at services across the parish, measured in October 2022, was 175 adults and children. There were 189 people at Easter Services (Easter Eve and Easter Day) and 342 at Christmas services (Christmas Eve and Christmas Day).
Review of the Period Since Last Report
It has been another busy year for the PCC, with a wide and far-reaching range of topics discussed, agreed and enacted!
Our parish buildings and spaces have seen a lot of change over the last year, with the plans and costs for the various projects being scrutinised and approved by PCC before implementation.
PCC has overseen the installation of the toilet and servery at St Barnabas, worked through and assessed revised plans and a draft schedule for the reordering of St Mark’s, overseen the rehoming of St Aidan’s altar table and setting up a new working team to explore and discern how best to use the land which previously housed St Aidan’s church.
With various staffing and role changes throughout the year, PCC has also overseen the parish continuing to be a good employer; ensuring steps are in place to ensure legal compliance and a safe working environment for not only our employed team, but also the incredible wealth of volunteers and site users across the parish. This has included the approval of Health and Safety policies, fire risk assessments, employment and
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Parish of West Cheltenham Parochial Church Council
Annual Report For the year ended 31 December 2022 (continued)
HR policies, updating job descriptions, creating a pay review panel, approving a CCTV policy, committing to training courses where required, and championing safeguarding for all.
There have been discussions of ‘What now?’ and ‘What next?’, to reflect on what is emerging for the parish as we continue emerge from the effects of the pandemic. This culminated in the ‘Reset, Restart, Renew’ evening in September, and an update of the exciting things that were happening and emerging across the parish.
During the year, the PCC reviewed the financial priorities of the parish, looking at policies, best practice and areas of compliance. We looked at our resources (both financial and physical) and discussed how we can best use these for building the Kingdom of God. As a result, we have a policy that our resources are used either for the ministry of the church, or to raise funds for the ministry of the church.
Linked to the finance conversations, was a conversation around an opportunity to employ a parish youth worker in partnership with The Rock. With the PCC’s backing, and enabled through two successful grant applications, we look forward to welcoming Josh Vallance to the staff team later in 2023!
PCC were regularly updated with the latest parish giving scheme figures. It was also approached by the St Mark’s mission team to assist with a recommendation on how to move the mission giving forward. Following various discussions, the PCC felt that the number of mission partners was too many, and proposed a more limited list based on personal relationships: New Life Band, CMS Tim Curtis, CMS Sharon Wilcox, CMJ and Open Doors.
Over the past 12 months our Community Pioneer Minister, Revd Janice Hamilton, has updated PCC on her work of networking, and becoming a more familiar and trusted face in the community through connecting with voluntary groups and statutory agencies in particular:
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joining a NHS multi agency workshop to address health inequalities in West Cheltenham;
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becoming a Trustee of the West Cheltenham Partnership;
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joining the Community Activities Team to plan and deliver ‘Christmas on the Square’;
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partnering with the Springbank Community Group to host and lead community carol singing;
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establishing good relationships with local schools - leading a communion service at All Saints Academy and speaking at their Remembrance day service as well as being welcomed to attend community events and to lead assemblies both at Hesters Way Primary School and Springbank Academy;
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developing ecumenical connections, which has led to a team of volunteers from four different churches supporting The Rock with a new community youth club for Y6-Y9, hosted at Hesters Way Baptist Church.
The second project is the development and landscaping of the St Aidan’s site to express a holistic sense of church using the model of ‘Seven Sacred Spaces’. A working party has been formed to progress this, consulting with local organisations and the surrounding neighbourhood, visiting similar projects around the county and exploring options for the design process. In the meantime a temporary arrangement has been made with ‘Cheltenham is Growing’, a market garden social enterprise, to grow produce on a corner of the site for the local food pantries and homeless shelter.
The hope is that these projects will serve as a catalyst for future faith exploration and draw people into worshipping communities.
Revd Rod Paterson, Rector
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Parish of West Cheltenham Parochial Church Council
Annual Report For the year ended 31 December 2022 (continued)
Deanery Synod Report
The purpose of Cheltenham Deanery is to:
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Enable our churches to flourish so that the gospel is proclaimed afresh in this and each generation.
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Reach out to those who have not been reached, enabling the people of Cheltenham to meet with Jesus Christ in a range of settings and through a variety of activities.
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Affirm and encourage those things which are already working.
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Tell our story and create connections.
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Draw together the mission priorities of the churches so that we can see common threads and be stronger together.
We seek to uphold the whole mission of the Church of England: pastoral, evangelistic, social and ecumenical.
Overview of the Three Meetings Held During 2022
The main discussions throughout the year have centred on the five-year Deanery Strategic Plan. This has been done by:
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Sending out questionnaires asking every church to comment on a range of different areas;
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Pulling together a Steering Group to analyse the results;
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Drawing this into a hypothesis (or foundation) document about vision and strategy;
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Sharing this with Synod for feedback;
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Taking this forward into the next stage.
The central narrative of the plan for Cheltenham is focused on Mission. The next stage of the plan will give more detail.
The Deanery Synod also looked at how the Warm Spaces and Feed Cheltenham programmes can have an impact on those most in need around us. We discussed the impact on church finances of the withdrawal (by General Synod) of certain funeral fees; have seen the impact of Pioneer Ministry in our communities (particularly in Whaddon and West Cheltenham); and have kept in touch with church life across the diversity of our Deanery. Discussion around Living in Love and Faith has also taken place at Deanery Synod level as well as at churches and PCCs in the area.
St Mark’s Fabric Report
This year at St Mark’s has seen the usual repairs you would expect from a building of this type, age and heritage: gutter repairs, leak fixes, lightning conductor tests, PAT testing, organ tuning, heating servicing.
There have been a number of additional pieces of work across the site including:
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removing the old electric storage heaters from the creche room and replacing them with more modern, efficient electric radiators.
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resurfacing the driveway, which was scheduled as part of the reordering plan but was deteriorating at such a rate, and the resulting debris causing damage to the floors and surfaces within the buildings, that the work was brought forward and completed in March 2022. This has improved the parking areas in between the trees and added some lighting for darker evenings.
-
following the fire risk assessment on the hall conducted in December 2021, a new fire alarm being installed in the hall during the same week as the driveway was done.
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Parish of West Cheltenham Parochial Church Council Annual Report For the year ended 31 December 2022 (continued)
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tree surgery in the churchyard to ensure the trees remain safe and aren’t going to cause any damage to the buildings, or the people who use them!
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following some incidents of vandalism, replacement of a number of windows throughout the year and the installation in November of a CCTV system.
Looking to the future; the reordering plans have taken a big step forward, so we are excited to see what further progress is made in 2023.
St Barnabas Fabric Report
A busy year!
This year has been one of tremendous change in our church building.
We decided that, with the full use of the church halls by Family Space and other groups, we would like a kitchen/servery and toilet within the church building itself. This has come together in the last 12 months. This has allowed the church to be used for many more groups to the extent that we now have a choir, tea and toast group, Parent and Toddler group, CAP and others using the Church on a regular basis. We can sit around 20 in the servery area. It’s also great for tea and coffee after church and on those Sundays when we have Café Church.
We have also changed the way in which we worship. Following the COVID shut down, we found it necessary, after many years of musician led worship, to move to a projected worship only. This involved new screens being installed in the church, together with a new sound desk and new software.
To protect the buildings when we are not there a CCTV system has been installed. We also have new fire alarms following a Fire Inspection.
Our annual servicing of boilers and electrical equipment have all been completed.
Our profound thanks go to Josh Denley who has supervised and conducted much of this work.
2023 is likely to be as challenging because we have further plans to repair and improve the site.
Financial Review 2022
The year saw several post-COVID movements in the finances of the parish, with major investment in the fabric of our buildings and the start of a pro-active strategy to use all our buildings to either a) deliver or b) proactively generate revenue to fund, our ministry.
Expenditure, in line with the strategy, covered both on-going ministry and investment in parish assets. Both the on-going giving and existing funds designated or restricted for a particular purpose were used. The overall parish income was down 13% at £324,026 and despite a 36% increase in expenditure (to £440,150) the parish ran at a very small trading deficit of £2,650 for the year.
Within these numbers, giving was down by 7%, and whilst the increase in revenue earned from our assets more than covered this, the reduced availability of Diocesan and other grants led to an overall fall in income of £50,328 when compared to 2021.
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Parish of West Cheltenham Parochial Church Council
Annual Report For the year ended 31 December 2022 (continued)
The 2022 income was made up of £178,996 unrestricted and £145,030 restricted. The major sources of 2022 income were:
-
regular giving and collections £171,766 (2021: £184,748)
-
church hall lettings £15,068 (2021: £6,469)
-
legacies £11,513 (2021: £13,486)
-
grants and Diocesan funding £61,161 (2021: 113,290)
-
rental income £49,605 (2021: £45,689)
In 2022, costs totalled £440,150 (2021: £323,067). Major contributors to costs were Parish share £167,726 (2021: £162,464), capital projects £57,608 (2021: £0), and church running expenses £40,945 (2021: £15,156).
Reserves at the end of the period were:
-
Unrestricted
-
General -£2,178 (2021: £6,107)
-
Designated £262,194 (2021: £251,530)
-
Restricted £463,508 (2021: £523,497). £385,746 of the restricted reserves are for work on the St Mark building, leaving £77,762 after this.
Reserves and Policy: It is not the intention of the PCC to build up large reserves in the General Fund but rather to use donated monies to meet the mission of our church. Legacies will be used in line with wishes expressed in the Will, or for the furtherance of the mission of the church. It is our intention to celebrate and name the activities facilitated by legacies.
Legal and administrative information: Legal and administrative information is set out on Pages 1-2.
Statement of Council Members Responsibilities: Charity law requires the Council members to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Parochial Church Council at the year end and of its incoming resources and resources expended during that year. In preparing those financial statements, the Council members are required to:
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select suitable accounting policies and then apply them consistently;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable accounting standards and statements of recommended practice have been followed subject to any departures disclosed and explained in the financial statements;
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and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Parochial Church Council will continue to function.
The Council members are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Parochial Church Council and enable them to ensure that the financial statements comply with the Charities Act 2011. They are also responsible for safeguarding the assets of the Parochial Church Council and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
This report was approved by the Council members on ………25/09/2023……and signed on their behalf by
…………………………………………………………………..Rev Sharon Walker
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PARISH OF WEST CHELTENHAM PCC INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 DECEMBER 2022
I report to the charity Trustees, and council members, on my examination of the financial statements of the Parish of West Cheltenham Parochial Church Council (“the charity”) for the year ended 31 December 2022.
Responsibilities and Basis of Report
As the Trustees of the charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').
I report in respect of my examination of the charity's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
An independent examination does not involve gathering all the evidence that would be required in an audit and consequently does not cover all the matters that an auditor considers in giving their opinion on the financial statements. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide. Consequently, I express no opinion as to whether the financial statements present a ‘true and fair view’ and my report is limited to those specific matters set out in the independent examiner’s statement.
Independent Examiner's Statement
Since the charity's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accounts of Scotland, which is one of the listed bodies.
I have completed my examination. I can confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
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the accounts do not accord with those records; or
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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.
Ryan Moore CA (Independent Examiner)
Randall & Payne LLP Chartered Accountants & Independent Examiners Chargrove House Shurdington Road Cheltenham Gloucestershire GL51 4GA
Date 27 September 2023
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Parish of West Cheltenham Parochial Church Council
Statement of financial activities
For the year ended 31 December 2022
| **Unrestricted) ** | Restricted) | 2022 | 2021) | ||
|---|---|---|---|---|---|
| funds) | funds) | Total) | Total) | ||
| Note | £) | £) | £) | £) | |
| Income from: | |||||
| Voluntary income | 2 | 103,602 | 103,838 | 207,440 | 270,134 |
| Church activities | 3 | 8,036) | 39,305) | 47,341 | 46,248 |
| Other trading activities | 4 | (15,234) | ((61160) | (15,394) | 7,127) |
| Investments | 5 | 52,124) | -) | **52,124) ** | 45,689 |
| Other Income | - | 1,727 | 1,727 | 5,156 | |
| ______) | ______) | ______) | ______) | ||
| Total | 178,996) | 145,030 | 324,026) | 374,354) | |
| ______) | ______) | ______) | ______) | ||
| Expenditure on: | |||||
| Raising funds | 6 | (-) | - | -) | 7,489) |
| Church activities | 7 | 185,945 | 254,205 | (440,150) | 315,578) |
| ______) | ______) | ______) | ______) | ||
| Total | 185,945 | 254,205 | (440,150 | 323,067) | |
| ______) | ______) | ______) | ______) | ||
| () | () | ) | |||
| Net income/(expenditure) | (6,949) | (109,175) | (116,124) | 51,287) | |
| Transfers between funds | - | -- | -) | -) | |
| ______) | ______) | ______) | ______) | ||
| Net movement in funds | ((((((((6,949) | (109,175) | (116,124)) | 51,287) | |
| Total funds brought forward | (266,965) | (572,683) | (839,648) | 788,361) | |
| ______) | ______) | ______) | ______) | ||
| Total funds carried forward | 13,14 | 260,016) | 463,508 | (723,524 | 839,648) |
| ═════) | ═════) | ═════) | ═════) |
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Parish of West Cheltenham Parochial Church Council Balance sheet at 31 December 2022
| 2022) | 2021 | ||||
|---|---|---|---|---|---|
| Note | £) | £) | £) | £) | |
| Fixed assets | |||||
| Tangible assets | 10 | 262,194) | 266,150) | ||
| Current assets | |||||
| Debtors | 11 | (278,516) | 281,079) | ||
| Cash at bank and in hand | 185,464 | 310,072) | |||
| ______) | ______) | ||||
| 463,980 | 591,151) | ||||
| Creditors: amounts falling due within one year | 12 | (2,650) | (17,653) | ||
| ______) | ______) | ||||
| Net current assets | 461,330 | 573,498) | |||
| ______) | ______) | ||||
| Total assets less current liabilities | 13 | 723,524) | 839,648) | ||
| ═════ | ═════ | ||||
| Funds | |||||
| Unrestricted funds | 14 | 260,016 | 266,965) | ||
| Restricted funds | 15 | 463,508 | 572,683) | ||
| ______) | ______) | ||||
| (723,524) | 839,648) | ||||
| ═════) | ═════) |
The financial statements were approved by the Parochial Church Council of the Parish of West Cheltenham on 25/09/2023 and signed on its behalf by
MIKE HORNE Treasurer
PAULINE CARTER Churchwarden
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Parish of West Cheltenham Parochial Church Council Notes to the financial statements for the year ended 31 December 2022
1. Accounting policies
1.1. Accounting convention
The PCC is a public benefit entity within the meaning of FRS102. The financial statements have been prepared under the Charities Act 2011 and in accordance with the Church Accounting Regulations 2006 governing the individual accounts of PCCs and with the Regulations “true and fair” provisions. They have been prepared under FRS102 (2016) as the applicable accounting standards and the 2016 version of the Statement of Recommended Practice, Accounting and Reporting by Charities (SORP(FRS102)).
The financial statements have been prepared under the Charities Act 2011 and in accordance with the Church Accounting Regulations 2006 governing the individual accounts of PCCs and with the Regulations “true and fair” provisions. The financial statements have been prepared to give a “true and fair” view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a “true and fair” view. This departure has involved following the Charities SORP (FRS 102) published on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has now been withdrawn.
The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated within the relevant notes to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 and Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and Charities Act 2011
The Parish of West Cheltenham PCC meets the definition of a Public Benefit entity under FRS102.
The principal accounting policies adopted in the preparation of the financial statements are as follows:
1.2. Funds
Unrestricted funds represent the funds of the PCC that are not subject to any restrictions regarding their use and are available for application on the general purposes of the PCC. Funds designated for a particular purpose by the PCC are also unrestricted.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the church for particular purposes. The cost of raising and administering such funds are charged against the specific fund.
The financial statements include all transactions, assets and liabilities for which the PCC is responsible in law. They do not include the financial statements of church groups that owe their main affiliation to another body nor those that are informal gatherings of church members.
1.3. Incoming resources
All income is recognised once the charity has entitlement to that income, there is sufficient certainty of receipt and so it is probable that the income will be received, and the amount can be measured reliably.
Voluntary income is recognised by way of donations and gifts and is included in full in the Statement of Financial Activities when receivable. Gifts donated for resale are included as income when they are sold. Donated assets are included at the value to the PCC where this can be quantified and a third party is bearing the cost. The value of services provided by volunteers has not been included. Collections are recognised when received by or on behalf of the PCC.
Planned giving receivable under Gift Aid is recognised only when received.
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Parish of West Cheltenham Parochial Church Council Notes to the financial statements (continued) for the year ended 31 December 2022
Income Tax recoverable on Gift Aid conditions is recognised when the income is recognised. Grants and legacies to the PCC are accounted for as soon as the PCC is notified of its legal entitlement, the amount due is quantifiable and its ultimate receipt by the PCC is reasonably certain. Interest is accounted for when receivable. Any tax recoverable on such income is recognised in the same accounting year.
The PCC is not registered for VAT.
Rental income from the letting of church premises is recognised when the rental is due.
1.4. Resources expended
All expenditure is included on an accruals basis and is recognised when there is a legal or constructive obligation to pay for expenditure. All costs have been directly attributed to one of the financial categories of resources used in the statement of financial activities with the exception of governance costs which have been split with 20% attributable to fund raising activities and 80% to church activities.
Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities.
Grants and donations, including the diocesan parish share, are accounted for when paid over, or when awarded, if that award creates a binding obligation on the PCC.
1.5. Fixed assets
Consecrated and beneficed property of any kind is excluded from the financial statements by s10(2) of the Charities Act 2011.
Moveable church furnishings held by the Vicar and Churchwardens on special trust for the PCC, and which require a faculty for disposal, are accounted as inalienable property unless consecrated. They are listed in the church's inventory which can be inspected at any reasonable time. For inalienable property acquired prior to 1999 there is insufficient cost information available and therefore such assets are not included in the financial statements. There were no acquisitions of inalienable property in this financial year.
Depreciation is provided using the straight-line basis using the following rates:
- Fixtures, fittings and equipment 4 years - Freehold property 50 years
All assets costing more than £2,000 are capitalised.
Property held for the purpose of social housing
The Trustees reviewed the criteria for Investment Property in light of the amendments to FRS 102 from the 2019 Triennial Review. Having re-reviewed the criteria and confirmed the underlying use of the properties in question, the Trustees have reclassified the investment property to Property, Plant and Equipment. This has been performed on the basis that the Dulverton property is considered to be operated for the sole purpose of social housing. Under FRS 102, where the property meets this criteria, it should be classified as Property Plant and Equipment and is stated at cost less accumulated depreciation.
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Parish of West Cheltenham Parochial Church Council Notes to the financial statements (continued) for the year ended 31 December 2022
1.6 Leasing
Rentals payable under operating leases are charged against income on a straight-line basis over the lease term. The title of the lease remains with the lessor and the equipment is replaced every 3 years whilst the economic life of such equipment is normally 10 years.
1.7 Financial instruments
The PCC only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognized at transaction value and subsequently measured at their settlement value.
1.8 Going concern
The council members have reviewed the ongoing future of the PCC and consider that there are plans in place to continue the PCC’s operation. There are no material uncertainties that may cast significant doubt on the PCC’s ability to continue as a going concern.
1.9 Pensions
The PCC made contributions for the benefit of employees to the auto-enrolment pension scheme.
1.10 Liabilities and provisions
Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of settlement can be estimated reliably. Liabilities are recognised at the amount the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for goods and services it must provide.
Provisions are set up only where it is probable that a present obligation exists as a result of an event prior to the balance sheet date and that a payment will be required in settlement that can be estimated reliably. Where material, provisions are calculated on a discounted basis.
1.11 Debtors
Debtors are recognised at the settlement amount after any discount offered.
1.12 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 acquisition or opening of the deposit or similar account.
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Parish of West Cheltenham Parochial Church Council Notes to the financial statements (continued) for the year ended 31 December 2022
2. Voluntary income
| Voluntary income | ||||
|---|---|---|---|---|
| Unrestricted) | Restricted) | 2022) | 2021) | |
| funds) | funds) | Total) | Total) | |
| £) | £) | £) | £) | |
| Planned income | ||||
| Gift Aid donations | 76,968 | 14,906) | 91,874 | 92,755) |
| Other | 1,320 | 4,462) | 5,782 | 7,157) |
| Tax recoverable | 16,290 | 5,941) | 22,231 | 24,656) |
| Collections and other giving | 6,993 | 39,366) | 46,359 | 54,368) |
| Gift Days and appeals | -) | 5,520) | 5,520 | 5,812) |
| Legacies | -) | 11,513) | 11,513 | 13,486) |
| Grants receivable – Note 8 | 2,031 | 22,130) | (24,161 | (71,900) |
| ______) | ______ | ______) | ______) | |
| 103,602) | 103,838 | 207,440 | 270,134) | |
| ═════) | ═════ | ═════) | ═════) |
In 2022, of the voluntary income, £103,602 (2021: £127,754) was in relation to unrestricted funds and £103,838 (2021: £50,582) to restricted funds.
3. Church activities
| Unrestricted | Restricted | 2022) | 2021) | |
|---|---|---|---|---|
| funds | funds | Total) | Total) | |
| £ | £ | £) | £) | |
| Gloucester Diocese Fundings | - | 37,000 | 37,000 | 41,390 |
| Other trading activities | 7,973 | - | 7,973 | 4,281 |
| Mums and Toddlers | 63 | 2,305 | 2,368 | 577 |
| ______ | ______ | ______) | ______) | |
| 8,036 | 39,305 | 47,341) | 46,248) | |
| ═════ | ═════ | ═════) | ═════) | |
| Other trading activities | ||||
| Unrestricted | Restricted | 2022) | 2021) | |
| funds | funds | Total) | Total) | |
| £ | £ | £) | £) | |
| Church hall lettings | 15,068 | - | 15,068) | 6,469) |
| Other trading activities | 166 | 160 | 326) | 658) |
| ______ | ______ | ______) | ______) | |
| 15,234 | 160 | 15,394) | 7,127) | |
| ═════ | ═════ | ═════) | ═════) |
4. Other trading activities
In 2021 £6,634 of other trading activities was in relation to unrestricted funds.
14
Parish of West Cheltenham Parochial Church Council Notes to the financial statements (continued) for the year ended 31 December 2022
| 5. | Investments | ||||
|---|---|---|---|---|---|
| Unrestricted funds | 2022) | 2021) | |||
| Total) | Total) | ||||
| £) | £) | ||||
| Rental income | 49,605) | 45,575) | |||
| Interest received | 2,519) | 114) | |||
| ______) | ______) | ||||
| 52,124) | 45,689) | ||||
| ═════) | ═════) | ||||
| 6. | Raising funds | ||||
| Unrestricted | Restricted | 2022) | 2021) | ||
| funds | funds | Total) | Total) | ||
| £ | £ | £) | £) | ||
| Costs of stewardship | -) | - | - | 7,010) | |
| St Barnabas’ Playgroup | - | - | -) | - | |
| Governance costs: | |||||
| Accountancy and | |||||
| Independent Examination | -) | - | -) | 479) | |
| ______ | ______ | ______) | ______) | ||
| - | - | -) | 7,489) | ||
| ═════ | ═════) | ═════) | ═════) |
In 2021 £479 of raising funds was in relation to unrestricted funds.
15
Parish of West Cheltenham Parochial Church Council Notes to the financial statements (continued) for the year ended 31 December 2022
| 7. | Church activities | ||||
|---|---|---|---|---|---|
| Unrestricted) | Restricted) | 2022) | 2021) | ||
| funds) | funds) | Total) | Total) | ||
| £) | £) | £) | £) | ||
| Missionary and charitable giving | |||||
| Donations to Charities & | |||||
| Missions | - | 29,754 | 29,754 | 28,697 | |
| ______) | ______) | ______) | ______) | ||
| - | 29,754 | 29,754 | 28,697) | ||
| ______) | ______) | ______) | ______) | ||
| Ministry | |||||
| Parish share | (130,726 | (37,000 | (167,726 | (162,464 | |
| Clergy expenses | -) | 2,066 | 2,066 | 1,150 | |
| Church running expenses | 1,146 | 39,799 | 40,945 | 15,156 | |
| Oasis Centre running expenses | 1,208 | 603 | 1,811 | 2,921 | |
| Church maintenance | 5,464 | 23,005 | 28,469 | 14,097 | |
| Upkeep of services | 1,613 | 17,506 | 19,119 | 8,344 | |
| Upkeep of churchyard | -) | 15,429 | 15,429 | 924 | |
| Office administration | (33,608 | 7,953 | (41,561 | (34,055 | |
| Audio/visual expenses | 1,418 | 2,482 | 3,900 | 6,585 | |
| Training, pastoral and outreach | 220 | 5,801 | (6,022) | (12,212 | |
| Costs of church activities | -) | 3,022 | 3,022) | 2,061 | |
| Major repairs – structure | 3,189 | (10,176 | 13,365) | 18,631 | |
| Contribution to St Mark’s Church | |||||
| of England (VA) Junior School | - | 2,000 | 2,000 | 2,000 | |
| Capital Projects | - | 57,609 | 57,609 | -)) | |
| Governance costs: Accountancy | |||||
| and Independent Examination | 3,397 | -) | 3,397 | 2,327 | |
| Depreciation | (3,956 | (-) | (3,956 | (3,954 | |
| ______) | ______) | ______) | ______) | ||
| 185,945 | 224,451 | 410,396 | 286,881 | ||
| ______) | ______) | ______) | ______) | ||
| 185,945 | 254,205 | (440,150 | 315,578 | ||
| ═════ | ═════ | ═════ | ═════ |
The PCC received parochial fees totalling £7,973 (£8,650 – 2021 in the year. Of this, £4,297 (£4,369 – 2021) was made up of statutory fees due to the PCC as prepared by the Archbishops’ Council under the Ecclesiastical Fees Measure 1966. The statutory fees have been passed on in full to the Gloucester Diocesan Board of Finance and do not appear in the above financial statements.
In 2022, of the expenditure on church activities, £185,945 (£249,641 – 2021) was in relation to unrestricted funds and £254,205 (£47,934 – 2021) to restricted funds.
16
Parish of West Cheltenham Parochial Church Council
Notes to the financial statements (continued) for the year ended 31 December 2022
8 . Grants receivable
| Grants receivable | ||||
|---|---|---|---|---|
| Unrestricted | Restricted) | 2022) | 2021) | |
| funds) | funds) | Total) | Total) | |
| £) | £) | £) | £) | |
| National Heritage Grant | - | - | - | 71,900 |
| Listed Places of Worship Grant Scheme | 2,031 | - | 2,031 | - |
| Benefact Trust | 3,000 | - | 3,000 | - |
| Skene Trust | 19,130 | - | 19,130 | - |
| ______) | ______) | ______) | ______) | |
| 24,161) | -) | 24,161 | 71,900) | |
| ════) | ════) | ════) | ════) | |
| Staff costs | ||||
| Number of employees | ||||
| The average number of staff, excluding PCC members, in the period was | ||||
| 2022 | 2021) | |||
| Number | Number | |||
| Administration | 2) | 2) | ||
| Maintenance | (2 | 3) | ||
| ______) | ______) | |||
| 4) | 5) | |||
| ═════ | ═════ | |||
| No employee earned more than £60,000 in the year (2021 – NIL). | ) | ) | ||
| 2022) | 2021) | |||
| Employment costs | £) | £) | ||
| Gross wages and salaries | 37,108 | 32,558) | ||
| Social security costs | - | -) | ||
| Pension costs | 1,569) | 563) | ||
| ______) | ______) | |||
| 38,677 | 35,121) | |||
| ═════ | ═════ |
9. Staff costs Number of employees The average number of staff, excluding PCC members, in the period was
Remuneration was paid during the year to one of the PCC members who comprise the key management personnel. The PCC Secretary is employed as an office administrator and was paid £22,402 (net) as office administrator (2021 – £19,455).
Travel, phone, training, software, and stationery expenses were paid to 2 clergy members amounting to £2,066 (2021 - £3,938 (2 members)).
17
Parish of West Cheltenham Parochial Church Council Notes to the financial statements (continued) for the year ended 31 December 2022
10. Tangible fixed assets
| Tangible fixed assets | |||
|---|---|---|---|
| ) | |||
| Freehold land | Fixtures, fittings) | Total | |
| and property) | and equipment) | (restted) | |
| £) | £) | £) | |
| Cost | |||
| At 1 January 2022 | () | ) | |
| And 31 December 2022 | 333,381 | (84,554) | (417,935) |
| ______) | ______ | ______ | |
| Depreciation | |||
| At 1 January 2022 | 67,231 | 84,554 | 151,785 |
| Charge for the year | (3,956) | - | 3,956 |
| ______) | ______ | ______ | |
| At 31 December 2022 | 71,187 | 84,554) | (155,741 |
| ______) | ______ | ______ | |
| Net book value | |||
| At 31 December 2022 | (262,194 | (36,-) | (262,194 |
| ═════ | ═════ | ═════ | |
| At 31 December 2021 | 266,150 | -) | 266,150 |
| ═════ | ═════ | ═════ |
Included within freehold land and property is land with a cost value of £30,662. This is not depreciated.
11. Debtors
| Debtors | ||
|---|---|---|
| 2022) | 2021) | |
| £) | £) | |
| Income Tax recoverable | -) | 2,563) |
| Other debtors | - | 1) |
| Sale of property proceeds | ||
| held under a Declaration of | ||
| Trust | 278,516 | 278,515 |
| Accrued income | (- | - |
| ______) | ______) | |
| 278,516 | 281,079) | |
| ═════ | ═════) |
18
Parish of West Cheltenham Parochial Church Council
Notes to the financial statements (continued) for the year ended 31 December 2022
| 12. | Creditors: amounts falling due within one year | ||||
|---|---|---|---|---|---|
| 2022) | 2021) | ||||
| )£) | £) | ||||
| Accruals | 2,650 | 17,653 | |||
| Deferred Income | -) | - | |||
| ______) | ______) | ||||
| 2,650 | 17,653 | ||||
| ════) | ════) | ||||
| 13. | Analysis of net assets between funds | ||||
| Year ended 31 December 2022 | |||||
| Unrestricted) | Restricted) | Total) | |||
| funds) | funds) | funds) | |||
| £) | £) | £) | |||
| Tangible fixed assets | 262,194 | (- | (262,194 | ||
| Current assets | - | 463,508 | 463,508 | ||
| Current liabilities | (2,178) | - | (2,178) | ||
| ______ | ______ | ______ | |||
| (260,016 | 463,508 | 723,524 | |||
| ═════ | ═════ | ═════ | |||
| Analysis of net assets between funds | |||||
| Year ended 31 December 2021 | |||||
| Unrestricted) | Restricted) | Total) | |||
| funds) | funds) | funds) | |||
| £) | £) | £) | |||
| Tangible fixed assets | 266,150 | (-) | (266,150) | ||
| Current assets | (7,433 | 583,718 | 591,151 | ||
| Current liabilities | ((22,(6,618) | ( | (11,035) | ((17,653) | |
| ______ | ______) | ______) | |||
| 266,965 | 572,683 | 839,648) | |||
| ═════ | ═════ | ═════) |
19
Parish of West Cheltenham Parochial Church Council
Notes to the financial statements (continued) for the year ended 31 December 2022
| Unrestricted funds | 01 January) | Incoming) | Resources) | 31 December) | ||
|---|---|---|---|---|---|---|
| 14. | Year ended 31 December 2022 | 2022) | resources) | expended) | Transfers) | 2022) |
| £) | £) | £) | £) | £) | ||
| General | 815) | 178,996 | ((181,989) | - | (2,178) | |
| Designated fixed asset fund | 266,150 | -) | (3,956) | - | 262,194 | |
| ______ | ______ | ______ | ______ | ______ | ||
| 266,965) | 178,996 | ((185,945) | - | 260,016 | ||
| ═════ | ═════ | ═════ | ═════ | ═════ |
General fund
Balance of funds that is not restricted or designated for any purposes.
Designated fixed asset fund
Balance comprises Investment Property £105,000, Freehold Buildings £126,532 and Freehold Land £30,662 (cost values).
Oasis
Costs associated with running the Oasis centre since 01 July 2016. The PCC has agreed to underwrite £20,000 of the operating losses incurred by the Gloucester Diocesan Board of Finance who have managed the activities of the Oasis Centre since 01 July 2016. The £20,000 limit was reached in 2018 and paid to Gloucester Diocese in 2021.
Minor Designated funds – District Church Councils
Money collected by St Barnabas Women’s Fellowship which now no longer operates. This balance has now been transferred to General reserves.
| Unrestricted funds | 01 January) | Incoming) | Resources) | 31 December) | |
|---|---|---|---|---|---|
| Year ended 31 December 2021 | 2021) | resources) | expended) | Transfers) | 2021) |
| £) | £) | £) | £) | £) | |
| General | 6,107) | 249,571 | ((236,329) ( | (18,534) | (((815 |
| Designated fixed asset fund | 270,104) | -) | (3,954) | -) | 266,150)) |
| Oasis | (20,000) | -) | -) | 20,000) | - |
| Minor designated funds - District | |||||
| Church Councils | 1,426) | -) | -) | ((1,426)) | (-)) |
| ______) | ______) | ______) | ______) | ______) | |
| 257,637) | 249,571) | ((240,283) | 40 | 266,965 | |
| ═════) | ═════) | ═════) | ═════) | ═════) |
20
Parish of West Cheltenham Parochial Church Council Notes to the financial statements (continued) for the year ended 31 December 2022
| 15. | Restricted funds | 01 January | Incoming) | Resources) | 31 December | |
|---|---|---|---|---|---|---|
| Year ended 31 December 2022 | 2022) | resources) | expended) | Transfers | 2022) | |
| £) | £) | £) | £ | £) | ||
| Parish | ||||||
| Friends International | 660 | - | - | - | 660 | |
| New Life Band | - | 31,150 | (30,297) | - | 853 | |
| Gloucester Diocese Funding | - | 37,000 | (37,000) | - | - | |
| Parish Outreach | 4,474 | -) | (4,420) | - | 54 | |
| St. Barnabas Care Fund | - | 250 | - | - | 250 | |
| St Barnabas Community Outreach | (1,305 | (-) | (- | - | (1,305 | |
| St Barnabas Gift Day | (- | 5,520 | (5,520) | - | - | |
| St Mark's Counselling fund | 2,396 | -) | (- | - | 2,396 | |
| Food Programme | - | 791 | (791) | - | - | |
| St Aidan and St Silas Development | 14,134 | (-) | (2,898) | - | 11,236 | |
| St Mark’s Reordering | 39,318 | (850 | (18,768) | - | 21,400 | |
| St Mark’s Extension Fund | 278,515 | -) | -- | - | 278,515 | |
| St Mark’s Heritage Fund | 2,304 | 193 | (2,497) | - | -) | |
| St Mark's Care fund | 1,948 | - | - | - | 1,948 | |
| St Mark’s Open the Book Club | 820 | -) | (615) | - | 205 | |
| Toilet and Servery Fund | - | 54,516 | (54,516) | - | - | |
| Minor restricted funds - District | ||||||
| Church Councils | 1,176 | - | (973) | - | 203 | |
| Restricted to St Barnabas & | ||||||
| designated to the purpose | ||||||
| St Barnabas Reordering | 25,000 | - | (21,584) | - | 3,416 | |
| Legacy received | 4,527 | 1,000 | (3,898) | - | 1,629 | |
| Restricted to St Mark’s & | ||||||
| designated to purpose | ||||||
| St Mark’s Development | 70,136 | - | (11,125) | - | 59,011 | |
| St Mark’s Reordering | 42,191 | - | (15,371) | - | 26,820 | |
| St Mark’s General Reserves | 59,700 | 2,033 | (34,731) | - | 27,003 | |
| St Mark’s Parents & Toddlers | 252 | - | - | - | 252 | |
| Legacy received | - | 11,726 | (9,201) | - | 2,525 | |
| Restricted to St Aidan & | ||||||
| designated to purpose | ||||||
| Legacy received | 23,827 | - | - | - | 23,827 | |
| ______) | ______ | ______ | ______ | ______ | ||
| 572,683 | 106,303 | (217,205) | - | 463,508 | ||
| ═════ | ═════ | ═════ | ═════ | ═════ |
21
Parish of West Cheltenham Parochial Church Council
Friends International and New Life Band
Balance of donations received but not yet paid out to Friends International and New Life Band.
St Aidan and St Silas Development fund
Fund for development of St Aidan and St Silas property.
St Mark Reordering
Money received for the specific purpose of St Mark Reordering.
21
Parish of West Cheltenham Parochial Church Council Notes to the financial statements (continued) for the year ended 31 December 2022
St Mark’s Development Fund
St Mark’s Development Fund was created from the sale of 21 Brooklyn Road, Cheltenham, a property purchased and held under Declaration of Trust by the Martyrs’ Memorial Church of England Trust for the Assistant Curate of St Mark’s Parochial Church Council. The terms state that if there is no requirement for the fund, the sales proceeds may be applied to St Mark’s Extension Fund. The sale proceeds are immediately available following an assurance to the Trust that the money will be spent in accordance with the covenant. They recommend commendation from an Archdeacon to that effect.
| Restricted funds | 01 January | Incoming) | Resources) | 31 December | |
|---|---|---|---|---|---|
| Year ended 31 December 2021 | 2021) | resources) | expended) | Transfers | 2021) |
| £) | £) | £) | £ | £) | |
| Parish | |||||
| Friends International | 2,654 | 660 | (2,654) | - | 660 |
| New Life Band | 1,698 | 10,697 | (12,395) | - | - |
| Parish Outreach | - | 20,000 | (15,526) | - | 4,474 |
| St Barnabas Community Outreach | 1,305 | (- | (- | - | (1,305 |
| St Barnabas Interior fund | 110 | (- | ((110) | - | - |
| St Barnabas Gift Day | (- | 6,599 | (6,599) | - | - |
| St Mark's Counselling fund | 2,396 | - | (- | - | 2,396 |
| District Church Councils | |||||
| St Aidan and St Silas Development | 14,134 | (- | - | - | 14,134 |
| St Mark’s Reordering | 43,292 | (- | (3,974) | - | 39,318 |
| St Mark’s Extension Fund | 278,515 | - | -- | - | 278,515 |
| St Mark’s Heritage Fund | - | 12,200 | (9,896) | - | 2,304 |
| - | |||||
| St Mark's Care fund | 2,348 | - | (((((((((((((400) | - | 1,948 |
| St Mark’s Open the Book Club | 1,126 | - | (306) | - | 820 |
| Minor restricted funds - District | |||||
| Church Councils | 1,759 | 1,148 | (1,691) | (40) | 1,176 |
| Restricted to St Barnabas & | |||||
| designated to the purpose | |||||
| St Barnabas Reordering | 25,000 | - | - | - | 25,000 |
| Legacy received | 10,469 | 4,730 | (10,672) | - | 4,527 |
| Restricted to St Mark’s & | |||||
| designated to purpose | - | ||||
| St Mark’s Development | 70,136 | - | - | 70,136 | |
| St Mark’s Reordering | 41,941 | 493 | (243) | - | 42,191 |
| St Mark’s General Reserves | - | 59,700 | - | - | 59,700 |
| St Mark’s Parents & Toddlers | 451 | - | (199) | - | 252 |
| Legacy received | 13,390 | 4,729 | (18,119) | - | - |
| Restricted to St Aidan & designated | |||||
| to purpose | |||||
| Legacy received | 20,000 | 3,827 | - | - | 23,827 |
| ______ | ______ | ______ | ______ | ______ | |
| 530,724 | (124,783) | ((82,784) | (40) | 572,683 | |
| ═════ | ═════ | ═════ | ═════ | ═════ |
22
Parish of West Cheltenham Parochial Church Council Notes to the financial statements (continued) for the year ended 31 December 2022
16. Operating leases
The total lease payments recognised within expenses for the year ended 31 December 2022 were £1,092.
At 31 December 2022 the group had annual commitments under non-cancellable operating leases as follows:
| Amounts payable | 2022 | 2021 |
|---|---|---|
| £ | £ | |
| Within one year | 1,080 | 1,080 |
| Between 2 and 5 years | 2,506 | 3,586 |
| ═════ | ═════ |
17. Capital commitments
There were no capital commitments at 31 December 2022 (2021 – NIL).
18. Financial commitments
The PCC has a commitment to support St Mark’s Church of England (VA) Junior School by contributing to capital project they undertake. For the year ended 31 December 2022 the amount was £2,000 (2021 - £2,000), and going forward a commitment has been made of £2,000 per annum to 2024.
19. Related Party Transactions
Identifiable donations were made by PCC members in the year ended 31 December 2022 of £18,770 (2021 – £66,705). The amount of anonymous donations which would include further amounts have not been assessed for 2022 (nor 2021).
Mike Horne, a PCC member, was reimbursed £166 for various church expenses during the year (2021 – £203). There were no amounts owing to him at the year end.
Pauline Carter, a Parish Warden, was reimbursed £1,046 for various church expenses during the year (2021 – £230). There were no amounts owing to her at the year end.
Kathryn Martin, a PCC member, was reimbursed £NIL during the year (2021 – £380). There were no amounts owing to her at the year end.
Suzanna Pinless, a PCC, member, was reimbursed £32 for craft materials during the year (2021– £65). There were no amount owing to her at the year end.
Rod Paterson, a PCC, member, was reimbursed £1,794 for expenses during the year (2021– nil). There were no amount owing to him at the year end.
Sharon Walker, a PCC, member, was reimbursed £40 for expenses during the year (2021– nil). There were no amount owing to her at the year end.
Janice Hamilton, a PCC, member, was reimbursed £1,312 for expenses during the year (2021–nil). There were no amount owing to her at the year end.
23
Parish of West Cheltenham Parochial Church Council
Josh Denley, a PCC, member, was reimbursed £10,306 for expenses during the year (2021– £65). There were no amount owing to him at the year end.
20. Independent Examiner’s Remuneration
The Independent Examiner’s remuneration amounts to an Independent Examination (including accounts preparation) fee of £2,650 (2021 – £2,395).
23