THE METHODIST CHURCH TRUSTEES, ANNUAL REPORT AND ACCOUNTS ACCRUALS BASIS for the year ended 31 August 2024 Redhill & East Grinstead Circuit Registered Charity number 1133918 South East District Circuit No.36111 Ministers Rev. Gillian Baalham (Superintendent) Rev. Clive McKie Rev. Elisabeth Brooks Deacon Jenny Parnell Rev. Ben Scrivens Circuit Stewards Mrs. Helen Greaves Mrs. Eli23beth Gregory Mr. Edi50n Madakudya Mr lan Pattison Circuit Steward/Treasurer lan Pattison (acting) Circuit Finance Officer Jennifer Barnes Page l of 12
REDHILL & EAST GRINSTEAD METHODIST CIRCUIT Registered Charity number 1133918 Trustees. report and financial statements for the year ended 31 August 2024 Superintendent Minister of the Redhill and East Grinstead Circuit is Rev. Gillian Baalham. Correspondence should be addressed to her at Redhill Methodist Church, Gloucester Road, Redhill RHI IBP. Structure, Governance and Mana8ement The Redhill and East Grinstead Circuit forms part of the South East District of the Methodist Chu rch and is governed by the Constitutional Practice and Discipline of the Methodist Church. With effect from l February 2010 the Circuit has been registered as a Charity with the Charity Commission. The following five Methodist churches are linked to the Circuit: St. Paul's, Crawley; Trinity, East Grinstead,- Horley,. Redhill; and Reigate. The members of the Circuit Meeting, which meets at least twice a year. are the Trustees of the Circuit. Those who served as Managing Trustees during the year to 31 August 2024 and until approval of these accou nts are as follows". Rev Gillian Baalham Mrs Jennifer Barnes Rev Elisabeth Brooks Mr Tony Brown (resigned 31/121231 Mrs Margaret Bruce Mr Simon Bruce Mr Robert Burridge Mr Clive Coleman Ms Diane Collins Mr Paul Fox Ms Gill George Mrs Helen Greaves Mrs Elizabeth Gregory Mr John Hewer Mr John Hill (resigned 311101231 Mr Barry Jones Iresigned 10/101231 Mrs Sheila Jones Mrsjoyce Jordan Mr Edison Madakudya Rev Clive McKie Mrs Sue Nelson Mr Ken Newbury Mrs Pauline Newton Mrs Pat Oakley Mrs Christine O'Donnell Deacon Jenny Parnell Mr lan Pattison Mrs Mary Pulfer (resigned 171101231 Mr Geoff Ridgway Mrs Linda Roberts Rev Ben Scrivens Mr Stephen Tickell (resigned 17/10123) Ms Lorraine Valler {re5igned 311101231 Mrs Jacqui Waters Mr Andrew Willock Mrs Rosemary Willock Page 2 of 12
REDHILL & EAST GRINSTEAD METHODIST CIRCUIT Registered Charity number 1133918 Trustees, report and financial statements for the year ended 31 August 20241continued) Bankers Lloyds Bank, Redhill Branch- l London Road, Redhill, Surrey RHI IND CAF 8ank- 25 Kings Hill Avenue, Kings Hill, West Malling, Kent ME19 4JQ Central Finance Board of the Methodist Church- 9 Bonhill Street, London EC2A 4PE Independent Examiner Light Work Accounting Ltd Wessex House, Upper Market Street, Eastleigh, Hants S050 9FD Review ol yearfs activities The Circuit welcomed a new minister, Rev Ben Scrivens, and congratulated Rev Elisabeth Brooks on her ordination into full ministry. Activities at the five churches in the Circuit continued to grow after restrictions due to Covid-19 in 2020 and 2021. Public Benefit The Trustees have regard to the Charity Commission guidance on public benefit. All our activities are undertaken to further our charitable purposes for the public benefit. We aim to be a good neighbour to people in need and to help peopleto learn and grow as Christians through mutual support and care. We workto increase awareness of God's presence and to celebrate God's love. Financial Review The charity's income and expenditure has been largely as budgeted, with all churches able to pay their contributions {as5essmentsl to the CircLJit. Expenditure on maintenance of the five manses was higher than budgeted, owing to refurbishment and repair cost5. The Statement of Financial Activities summarises the year's income and expenditure. We continue to review all regular items of expenditure to make sure that we are spending our resource5 wisely. The Balance Sheet at 31st August 2024 shows total Circuit Funds held of £2,025,78912023- £2,066,243). This amount includes the figure of £1,975,45012023 - £1,975,450) representing the value attributable to the five Circuit manses, leaving a net amount of 'free unrestricted reseNes' of £43,45912023 - £90,719). Reserves Policy The greatest potential financial risk faced by the Circuit relates to the five manses. The Reserves Policy agreed by the Circuit is to maintain a balance of unrestricted funds equiva lent to three times the annual manse maintenance allocation. Page 3 of 12
REDHILL & EAST GRINSTEAD MEfHODIST CIRCUIT Registered Charity number 1133918 Trustees, report and financial statements for the year ended 31 August 2024 (continued) Risk Management The risks facing the circuit include: Loss of or damage to buildings. This risk is addressed through insurance cover. Legal and reputational risks associated with working with children and vulnerable adults. This is addressed by the Circuit's Safeguarding Policy. Personal Liability of Managing Trustees. This risk is addressed through Trustee Indemnity Insurance. Financial Loss which is addressed through appropriate financial controls and procedures. Investment Policy A low risk liquid position is maintained. The Deposit Fund administered by the Central Finance Board of the Methodist Church is used to hold any Circuit fijnds surplus to immediate requirements. Statement of Trustees, Responsibilities The trustees are responsible for preparing the Trustees, Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England & Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to- select suitable accounting policie5 and then apply them consistently observe the methods and principles of the Charities SORP IFRS 1021; make judgements and estimates that are reasonable and prudent; state whether applicable accounting standards and the Statement of Recommended Practice, Accounting by Charitie5 have been followed; prepare the financial statement5 on the going concern basis unless it is inappropriate to presume that activities will continue The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy the financial position of the Redhill and East Grinstead Methodist Circuit. The Charity'5 annual report and accounts for the year ended 31st August 2024 have been prepared in accordance with the Charities Act 2011 and the Charities Statement of Recommended Practice 2015 as applicable to the Financial Reporting Standard IFRSSEI. The Trustees are also responsible for taking reasonable step5 to safeguard the assets of the charity and to prevent and detect fraud and other irregularities. Approved by the Trustees at the Redhill & East Grinstead Circuit Meeting on.... on their behalf by: Rev Gillian Baalham Superintendent Minlster Pa8e 4 of 12
REDHILL & EAST GRINSTEAD METHODIST CIRCUIT Registered Charity number 1133918 Independent Examiner's Report to the Members of the Circuit Meeting I report on the Circuit accounts forthe year ended 31st August 2024, which comprises of an income statement, balance sheet and notes to the accounts. Respective responsibilities of trustees and exarniner The charity's trustee5 are responsible for the preparation of the accounts. The charity's trustees consider that an audit is not required for this yea r under section 144121 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 Commission under section 145{5llbl of the 2011 Act; and to state whether particular matters have come to my attention. Basis of Independent Examiner's report My examination was carried out in accordance with the general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the Circuit and a comparison of the accounts presented with those records. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a'true and fair view, and the report is limited to those matters set out in the statement below. Independent Examlner's statement In connection with my examination, no matter has come to my attention.. 11) which gives me reasonable cause to believe that in any material respect the requirements. to keep accounting records in accordance with section 130 of the 2011 Act: and to prepare accounts which accord with the accounting records and comply with the accounting requirements of the 2011 Act have not been met,. or (21 to which, in my opinion. attention should be drawn in order to enable a proper understanding of the accounts to be reached. Signature.. Name: Address: Light Work Accounting Limited Wessex House Upper Market Street Eastleigh Hants S050 9FD Date: Page 5 of 12
REDHILL & EAST GRINSTEAD METHODIST CIRCUIT Registered Charity number 1133918 STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2024 Income Total Unrestricted Funds Taketime Restricted Funds Total Funds Total Funds 31-Aug-24 31-Aug-23 Note Donations Charitable activities.. Assessments 3,461 35,457 38,918 27.796 251,500 3,374 251,500 3,374 251,500 3,147 Investments Other trading activities TMCP- Trust 258,335 35,457 293,792 282.443 Expenditure Stipends, NIC & pension costs CMTF charges and Levies District assessment Methodist Church Fund Travel, subsistente & allowances Telephone, administration, ministers, resources Insurance, council tax, water rates Maintenance of Manses Training grant Taketime project Accountancy Independent Examination fee Total li 162,312 717 31,001 193,313 717 168,013 636 16.576 56,359 16,938 4,299 15,282 60,374 7.196 12.160 15,282 60,374 7,196 12.160 22,371 22,371 25,250 19.283 19.283 50,042 2,650 2,650 4,154 500 300 343.067 io io 900 300,595 900 33,651 334,246 Net income lexpenditurel Transfer between fund5 -42,260 -5,000 1.806 s,000 40,454 -60.624 Net movement in funds 47,260 6,806 40,454 -60,624 Reconciliation of funds Fund balances brought forward 2022123 Fund balances carried forward 2023124 2,066,169 2,018,909 74 2,066,243 6,880 2.025,789 2,126.867 The notes fomi part of these flnancial Matements Page 6 of 12
REDHILL & EAST GRINSTEAD METHODIST CIRCUIT Registered Charity number 1133918 BALANCE SHEET AS AT 31 AUGUST 2024 Note 31-Aug-24 31-Aug-23 Fixed Assets Tangible Assets 1,975,450 1,975,450 Current Assets Debtors Deposit AccoLtnt Cash at bank CAF account TMCP fund 12 13,331 57,970 17,873 13,093 21 16,434 99,025 11,562 22,535 21 102,288 149,577 Current liabilities Creditors falling due within one year 13 151,950) 158,784) Net Current Assets 50,339 90,793 Net Assets 2.025.789 2.066.243 Funds-. Unrestricted funds Restricted funds 2,018.909 2,066,169 74 14 Total Funds 2 025 789 2 066 243 These financial statements have been prepared in accordance with the Financial Reporting Standard for Entities in accordance with the Charities Statement of Recommended Practice IFR51021' (effective January 20151. Approved by the Trustees at the Redhill & East Grinstead Circuit Meeting 0 on their behalf by: and signed i_FJ¥- Rev Gillian Baa Superintendent Minister am lan Pattison Clrcult Treasurer (arting) Page 7 of 12
Registered Charity number 1133918 NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 l Basis of accounting The financi31 statements of the charity have been prepared in accordance with the Charities SORP 2015 IFRS1021; 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS1021 (effective January 20151,. The financial statements have been prepared under the historical cost convention. 2 Funds The funds held constitute General Funds held for any purpose of the Circuit which are unrestricted. Restricted fLEnds are for a specific purpose. Currently the only restricted fund relates to Taketime project activity. 3 Accounting Policies Income Recognition Income is included in the Statement of Financial Activities {SOFA} when the Circuit becomes entitled to the resources: the trustees are reasonably certain they will receive the resou rces; and the monetary value can be measured with sufficient reliability. The majority of the charity's income comes from the 5 churches which comprise the Circuit. Resources Expended This is recognised when a liability is incurred, or a constructive obligation arises, that results in the payment being unavoidable. Liabilities are recognised as soon as an outflow of economic benefit is considered more likely than not under the legal or constructive obligation committing the Circu it to pay out resources. Investment income- Interest receivable Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Circuit; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited. Tangible fixed assets for use by the Circuit The freehold property is shown in the accounts at 2015 deemed values, of which the land component is deemed to be £657,388. No depreciation is provided on the buildings because the trustees consider the current residual fair value of the manse buildings lon the assumption that they had reached the end of useful economic lrfe by the year endl to be not less than their current value. Any depreciation would not be material. The properties have been reviewed for impairment. Page 8 of 12
REDHILL & EAST GRINSTEAD METHODIST CIRCUIT Registered Charity number 1133918 NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 3 Accounting policies (continued) Going Concern The Trustees have considered the impact of COVID-19 on the Charity's income and operating cost base. The Trustees are confident that they have in place plans to deal with any further implications that may arise. Assessments received from the five Circuit churches provide the main source of income for the charity. The ability of the churches to pay their assessments is reviewed at each Circuit trustees meeting, particularly in the light of rising costs due to inflation. The risk of churches being unable to pay their assessments represents a material uncertainty which may cast significant doubt about the Charwtvs ability to continue as a going concern; however the Trustees have concluded that the Charity remains a going concern whilst viable options are available to it. The Trustees therefore continue to adopt the going concern basis of preparation for these financial statements. Taxation As a Charity, the Circuit is exempt from tax on income and gains fallinB within the available tax exemptions to the extent that these are applied to its charitable objects. No tax has arisen on the charity. Debtors and Prepayments Debtors relate to the payment of September stipends in August. Cash at bank and in Hand Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturFty of three months or less from the date of acquisition or opening of the deposit or similar account. Creditors and provisions Creditors include the I, quarter assessments received in August from Circuit churches. Financial Instruments The Circu it only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. Page 9 of 12
REDHILL & EAST GRINSTEAD METHODIST CIRCUIT Registered Charity number 1133918 NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 Donations Donations received in the year came partly for Taketime (restricted in use for Taketime project activities) and partly towards a youth project. 5 Charitable Artivlties Unrestricted Restricted Funds Funds Total 31-Aug-24 Total 31-Aug-23 Assessments: Crawley East Grinstead Horley Redhill Reigate Total Assessment 39,000 60,000 32,500 60,000 60,000 251,500 39,000 60,000 32,500 60,000 60,000 251,500 39,000 60,000 32.500 60,000 251500 The sum of £251,50012022.. £251,500) was received in 2023/24 as unrestricted funds. Investment Income Unrestricted Restricted Funds Funds Total 31-Aug-24 Total 31-Aug-23 Central Finance Board 3,374 3,374 7 Other trading Income Unrestricted Restricted Funds Funds Total 31-Aug-24 Total 31-Aug-23 Rental income There was no trading income for 2023/24. TMCP Fund The 'Trustees for Methodist Church Purposes, ITMCPI administered the sale of Manse 40 Reigate Road and the purchase of 4 Harwood Park in 2019. A balance of £21 {2023 - £21} was held at the year end. Page 10 of 12
REDHILL & EAST GRINSTEAD METHODIST CIRCUIT Registered Charity number 1133918 NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 9 Payments to Trustees No payments were made to Trustees for additional services provided to the Circuit in either 2023/24 or 2022/23. Trustees were reimbursed payments made by the trustees on behalf of the Circuit in 2023124. 10 Fees for accountancy and examination of the accounts Total 31-Aug-24 Total 31-Aug-23 Independent examiner's fee for reporting on the Accounts: 900 800 11 Paid Employees The Circuit has one paid employee this year and last year, and this is shown in restricted funds. The stipends, employerfs NIC and employer's pension contributions of the four ministers are paid by the Methodist Connexion. The Circuit provides funds to meet the cost. The Supreme Court held in 2014 that Methodist ministers are not employees of the church. However, when dealing with Nl Contributions and pension contributions, the terms 'employer' and 'employee' are used a5 they would be in an employing body. Total 31-Aug-24 Total 31-Aug-23 Gross Stipends and Salary Employer's Nl costs Pension Costs 145,868 12,292 126.967 10,333 193 313 168 013 The average number of persons employed by the circuit during the year was as follows: Total 31-Aug-24 Total 31-Aug-23 Taketime Stipendiary ministers Page 11 of 12
REDHILL & EAST GRINSTEAD METHODIST CIRCUIT Registered Charlty number 1133918 NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 12 Debtors Total 31-Aug-24 Total 31-Aug-23 Prepayments and accrued income: Stipends Gift Aid recoverable 12.031 15,134 13 Creditors Total 31-Aug-24 Total 31-Aug-23 Assessment received in advance Other 49,750 56,375 14 Restrirted funds Restricted fund balance at the 31 August 2024 is £6,880 {2023 - £741, consisting of Taketime funds. Page 12 of 12