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2024-03-31-accounts

HOPE CHURCH LUTON TRUST

TRUSTEES’ ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE PERIOD ENDING 31ST MARCH 2024

Company number: 07131310

Charity number: 1133954

HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

Contents

Page number

1 – 6 Trustees’ Annual Report
7 Independent Examiner’s Report
8 Statement of Financial Activities
9 Balance Sheet
10 – 14 Notes to the Financial Statements

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

The Trustees present their annual report and the financial statements of the church for the period ended 31st March 2024.

AIMS AND OBJECTIVES

The church’s purposes, as more fully set out in the objects which form part of its Memorandum of Association, are:

-to advance education

-to provide, or assist in providing, facilities in the interests of social welfare for individuals who have need of such facilities by reason of youth, age, infirmity or disability, financial hardship or social circumstances with the object of improving their conditions of life.

REVIEW OF ACTIVITIES

The Trustees confirm that they have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the Church’s aims and objectives and in planning future activities.

The Church operates in association with the Catalyst Sphere of Newfrontiers. All are welcome to attend our Sunday services when activities and groups are provided for children and youth, with a crèche for babies.

Major Developments April 2023 to March 2024

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

FINANCIAL REVIEW

Income generation

The church’s total income for the year was £232,976 ( 2023: £206,659). Donations of £142,988 have been received during the year (2023: £119,885). Activities for generating funds have decreased slightly to £18,207 (2023: £21,323). This is principally because of variations in lettings income due to cancellations and outstanding invoices.

Expenditures

Total Expenditures were £200,452 (2023: £201,240). Expenditure remained stable compared to prior year. Though there were increased expenses in areas such as catering and office supplies related to the 20th anniversary celebration, overall staff costs decreased.

Funds

Overall funds have increased by £32,524 throughout the year.

General funds have increased by £4,380 over the year as expenditure remained stable and giving increased through the Gift Day.

The Capital fund has increased by £18,457 due to cumulative mortgage payments being recognised. Restricted funds have increased by £9,687 due to the successful accumulation of grants of the Edible High Town project and refugee ministry.

Reserves policy

The church holds unrestricted and restricted funds. Transfers are made from unrestricted to restricted funds in order to prevent restricted funds from going into deficit. Our overall policy for unrestricted funds is only to increase reserves above a minimum threshold necessary to operate the organisation (not more than 3 months expenditure) or where specific projects are being planned for subsequent years. We seek to hold a minimum of 1 month expenditure.

Trustees have reviewed the above policy in June 2023 to ensure clarity on minimum and maximum level of reserves required.

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

Hope Church Luton Trust is a company limited by guarantee, incorporated on 20th January 2010 and registered as a charity on 1st February 2010. The church previously operated as an unincorporated charity. The company was established by a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association. In the event of the company being wound up members are required to contribute an amount not exceeding £1.

Appointment of responsible individuals and elders

The Church is governed by its responsible individuals, who are appointed according to the Articles of Association.

The responsible individuals and elders, who are Directors for the purpose of company law and Trustees for the purpose of charity law, who served during the period up to the date of this report are set out on page 5. Responsible Individuals and Elders are closely involved in the church’s operations prior to appointment and are appointed according to their ability to lead the church and the skills they bring to the post. Existing Responsible Individuals, Elders and new appointees have a good knowledge of the operation of the Church prior to appointment.

Responsible Individuals and Elders are aware of the legal requirements in connection with the charitable company. New appointees are supported in their posts by existing appointees. New appointees are also provided with copies of the Memorandum and Articles of Association, latest financial statements and guidance from the Charity Commission, including the Charity Commission guide ‘The Essential Trustee’.

Risk management

The Trustees have assessed the major risks to which the church is exposed, in particular those relating to the operations and finances of the church. The Trustees are satisfied that systems are in place to mitigate their exposure to major risk.

REFERENCE AND ADMINISTRATIVE INFORMATION

Company Registration No: 07131310 Charity Registration No: 1133954 MANAGING TRUSTEES/DIRECTORS Trustees/Directors: Jonathan Adams Tony Thompson John Telford Michael Reynolds REGISTERED ADDRESS Hope Church Luton Villa Road Off Old Bedford Road Luton Bedfordshire. LU2 7NT England INDEPENDENT EXAMINER Mervyn Thomas (Coopted to attend Board meetings) 128 Putnoe Lane Bedford, MK41 8LS PRINCIPAL BANKERS NatWest Bank 501 Silbury Boulevard Milton Keynes. MK9 3ER

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

TRUSTEES’ RESPONSIBILITIES

The Trustees/Directors are responsible for preparing the Trustees’ Annual Report and financial statements in accordance with applicable laws and regulations.

Company law requires the Trustees/Directors to prepare financial statements for each financial year. Under that law, the Trustees/Directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law, the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the surplus or deficit of the company for that period. In preparing these financial statements, the directors are required to:

The Trustees/Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

SMALL COMPANY PROVISIONS

This report has been prepared in accordance with the 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 United Kingdom and Republic of Ireland (FRS 102) and with the Charities Act 2011 and in accordance with the small companies regime under the Companies Act 2006.

ON BEHALF OF THE TRUSTEES

Jonathan Adams 21/06/2024

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF HOPE CHURCH LUTON

TRUST

on the accounts for the year to 31[st] March 2024 as set out on pages 8 – 14 in this document.

Respective responsibilities of trustees and examiner

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

Independent examiner's statement

It is my responsibility to:

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

In connection with my examination, no matter has come to my attention which gives me reasonable cause to believe that in, any material respect, the requirements:

Signed:

Mervyn Thomas 128 Putnoe Lane Bedford MK41 8LS

Dated: 05/06/2024

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

STATEMENT OF FINANCIAL ACTIVITIES

STATEMENT OF FINANCIAL
ACTIVITIES
Note
At 31st. March 2024 s Unrestricted Restricted Endowment Total Funds Total Funds
Funds Fund Funds 2023-2024 2022-2023
£ £ £ £ £
Incoming Resources 3
Voluntary income 160,203 14,919 - 175,122 146,756
Activities for generating funds 17,387 820 - 18,207 21,323
Charitable activities - Grants - 39,647 - 39,647 38,580
Total Incoming Resources 177,590 55,386 - 232,976 206,659
Resources Expended 4
Raising funds 140 - - 140 -
Charitable activities 148,936 45,699 - 194,635 201,240
Total Resources Expended 149,076 45,699 - 194,775 201,240
Net income/(expenditure) 28,514 9,687 - 38,201 5,419
Transfers between funds (18,457) 18,457 - -
Net movement in funds 10,057 9,687 18,457 38,201 5,419
Reconciliation of funds:
Total funds brought forward 15,134 24,370 417,484 456,988 451,569
Total funds carried forward 25,191 34,057 435,941 495,189 456,988

(Continued)

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

BALANCE SHEET

At 31st March 2024

BALANCE SHEET
At 31st March 2024
Note
s Unrestricted Restricted Endowment Total Funds Total Funds
Funds Fund Funds 2023-2024 2022-2023
£ £ £ £ £
Fixed assets 5 598,712 598,712 596,948
Current assets
Debtors (less than 1 year)) 6 5,786 5,786 2,972
Cash at bank and in hand 24,778 23,006 - 47,784 36,533
Total current assets 30,564 23,006 - 53,570 39,505
Short Term Liabilities 7 - - - - -
Long term liabilities - Mortgage (157,094) (157,094) (179,465)
Total assets less liabilities 30,564 23,006 441,618 495,188 456,988
Charity Funds 8
Unrestricted funds 25,191 25,191 15,134
Restricted Funds 34,057 34,057 24,370
Endowment Fund 435,941 435,941 417,484
Total funds 25,191 34,057 435,941 495,189 456,988

For the year ending 31st March 2024, the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime under the Companies Act 2006 and with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and with the Charities Act 2011.

ON BEHALF OF THE TRUSTEES

Dated: 21st June 2024

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

The notes on pages 10 to 15 form part of these financial statements.

NOTES TO THE FINANCIAL STATEMENTS

1 BASIS OF PREPARATION

1.1 Basis of accounting

These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The accounts 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

and with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102). and with the Charities Act 2011.

The charity constitutes a public benefit entity as defined by FRS 102.

1.2 Going concern

The Charity is a going concern. Income generation through members’ donations is maintaining adequate reserves

1.3 Change of accounting policy

The accounts present a true and fair view and the accounting policies adopted are those outlined in note 2.

1.4 Changes to accounting estimates

No changes to accounting estimates have occurred in the reporting period

2. ACCOUNTING POLICIES

The principal accounting policies are summarised below. The accounting policies have been applied consistently throughout the period.

2.1 Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. and in accordance with the Companies Act 2006 and the Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland (FRS 102) and with the Charities Act 2011.

2.2 Fund accounting

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of the general objectives of the church. Restricted funds are subjected to restrictions on their expenditure imposed by the donor or through the terms of an appeal. Transfers are made from unrestricted to restricted funds as necessary to prevent restricted funds from going into deficit. The Endowment or Capital fund is to hold the Church Property.

2.3 Incoming resources

All incoming resources are included in the Statement of Financial Activities (SoFA) when the church becomes entitled to the income, it is more likely than not that it will receive the resources and the amount can be quantified with reasonable accuracy. Voluntary income is received by way of donations and gifts and is included in full in the SoFA when receivable. Grants are included in the SoFA when the general income recognition criteria above are met and in the case of performance-related grants income is recognised to the extent that the specified goods or services have been provided. Donated services and facilities are included at the value to the

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

church where this can be measured reliably. The value of services provided by volunteers has not been included in these accounts. Investment income is included when received.

2.4 Resources Expended

Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes any VAT that cannot be fully recovered, which is reported as part of the expenditure to which it relates.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Governance costs include those costs associated with meeting the constitutional and statutory requirements of the church (as a charitable company) and include the audit fees and costs linked to the church’s legal constitution.

2.5 Fixed assets

No depreciation is provided on freehold land or buildings, following a change in accounting policy implemented in the Accounts for the period ended 31st March 2018.

2.6 Pension costs

Employees of the church are entitled to join a defined contribution pension scheme. The church contribution is limited to the contributions disclosed in note 3.

2.7 Debtors

Debtors (including trade debtors and loans receivable) are measured on initial recognition at settlement amount after any trade discounts or amounts advanced by the charity. Subsequently, they are measured at the cash or other consideration expected to be received.

2.8 Creditors

Creditors (including accruals) are recognised when due at the balance sheet date.

3. ANALYSIS OF INCOME
Unrestricted Restricted Total Funds Total Funds
Funds Funds 2024 2023
Voluntary Income £ £ £ £
Donations 129,863 13,125 142,988 119,885
Gift Aid 30,340 1,794 32,134 26,871
Total Voluntary Income 160,203 14,919 175,122 146,756
Activities for generating funds
Building Hire 13,960 120 14,080 16,962
Car Park 2,040 - 2,040 2,390
Sales (Books, Courses and Events) 1,387 700 2,087 1,471
Bank Compensation 500
Total Activities for generating Funds 17,387 820 18,207 21,323
Charitable Activities -
Grants - 39,647 39,647 38,580
Grand Total Incoming Resources 177,590 55,386 232,976 206,659

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

4 ANALYSIS OF EXPENDITURE
Unrestricted Restricted Total Funds Total Funds
Funds Funds 2024 2023
Expenditure on raising funds £ £ £ £
Total expenditure on raising funds 140 - 140
Expenditure on Charitable Activities -
Employee Salaries 72,810 23,409 96,219 105,187
Employer's National Insurance 27,933 1 27,934 24,012
Pension Contributions 10,039 - 10,039 10,360
Sub Contractors - 2,340 2,340
Expenses 264 1,059 1,323 3,749
Visiting Speakers 400 205 605 2,357
Training 280 30 310
Total Staff Costs 111,726 27,044 138,770 145,665
Utilities 9,241 - 9,241 6,491
Maintenance 4,080 - 4,080 3,803
Insurance 2,616 - 2,616 2,314
Office Services and Supplies 2,607 2,199 4,806 5,039
Subscriptions 2,478 297 2,775 1,749
Legal and professional - - -
Equipment 362 77 439
Catering 725 - 725 7,525
Mortgage Interest 7,526 - 7,526 8,511
Governance 220 - 220 305
Bank Charges 266 - 266 304
Total Establishment Costs 30,121 2,573 32,694 36,041
Children 94 - 94 26
Youth 542 - 542 812
Conferences and Events 1,248 2,556 3,804 2,471
Resources 67 - 67 285
International 3,100 10,623 13,723 11,658
Direct Projects 8 2,078 2,086
Local Donations 2,030 825 2,855 4,282
Total Ministry 7,089 16,082 23,171 19,534
TOTAL EXPENDITURES 149,076 45,699 194,775 201,240

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

4.4 Trustees Disclosures

Mr Tony Thompson received remuneration as Pastor of the Church until December 2023.. Mr Jonathan Adams receives remuneration as Pastor of the Church from January 2024. No trustee has received expenses in connection with trustee-related matters.

5 Tangible fixed assets

Cost or valuation

Freehold land &
Equipment &
Total
buildings Fittings
£ £ £
Brought Forward 596,948 18,507 615,455
Disposals - - -
Additions in the year at cost 1,764 - 1,764
Carried Forward 598,712 18,507 617,219
Depreciation
Brought Forward - 18,507 18,507
Disposals - - -
Additions in the year at cost - - -
Carried Forward - 18,507 18,507
Net Book Value
Net Book Value at March 2023 596,948 - 596,948
Net Book Value at March 2024 598,712 - 598,712
6 DEBTORS AND PREPAYMENTS
Debtors less than 1 year 2024 2023
£ £
Gift Aid Receivable 5,786 4,004
Total 5,786 4,004
7 CREDITORS AND ACCRUALS
2024 2023
£ £
Short term creditors and accruals - 357
Long term creditors - Mortgage loan 157,094 221,185
Total 157,094 221,542

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

8. CHARITY FUNDS

8.1 Details of all funds with movements during the current reporting period 2023-2024

Opening Closing
Fund Balance Income Expenditure Transfers Balance
General Church 15,134 177,590 (149,076) (18,457) 25,191
Total Unrestricted 15,134 177,590 (149,076) (18,457) 25,191
Children Project 281 - (298) - (17)
Newday 1,004 1,565 (1,971) - 598
Social Fund 1,954 2,486 (1,690) - 2,750
Refugees 6,400 (55) - 6,345
Open House Lounge 10,178 11,500 (17,516) - 4,162
High Town Community Projects 10,474 22,248 (13,546) - 19,176
Toby & Heather Johnson 479 10,646 (10,623) - 502
Springs 501 - - 501
Building Fund 40 - - 40
Total Restricted 24,370 55,386 (45,699) - 34,057
Endowment 417,484 - - 18,457 435,941
TOTAL FUNDS 456,988 232,976 (194,775) - 495,189

8.2 Details of all funds with movements during the previous reporting period 2022-2023

Opening Gains/
Closing
Fund Balance Income Expenditure Transfers Losses Balance
General Church 32,465 153,728 (149,593) (21,466) 15,134
Total Unrestricted 32,465 153,728 (149,593) (21,466) 15,134
Debt Advice 3 - (3) - -
Understanding Islam 595 250 (925) 80 -
Children Project 1,224 - (943) - 281
Newday 2,277 3,430 (4,703) - 1,004
Social Fund 1,971 3,857 (3,874) - 1,954
Open House Lounge 12,931 17,492 (20,245) - 10,178
The FEAST - - - - -
High Town Community Projects 3,820 17,768 (11,114) - 10,474
FACES 316 - (316) -
Toby & Heather Johnson (131) 10,134 (9,524) - 479

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HOPE CHURCH LUTON TRUST TRUSTEES REPORT and FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST MARCH 2024

Total Restricted 23,006 52,931 (51,647) 80 - 24,370
Endowment 396,098 - - 21,386 417,484
TOTAL FUNDS 451,569 206,659 (201,240) - - 456,988

8.3 Transfers of funds in the current reporting period 2023-2024

The Transfer of £18,457 from the Unrestricted fund to the Endowment fund represents the reduction in the mortgage outstanding.

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