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2020-08-31-accounts

Church Accruals Accounts 2019-2020

THE METHODIST CHURCH

REPORT AND ACCOUNTS (ACCRUALS BASIS) for the year ended 31 August 2020

Hazel Grove Methodist Church

Registered Charity - Registration number (if applicable)

1134174

United Stockport Circuit Circuit No Minister Revd.Catherine Bird Church Stewards Jayne Quinn Ian Chesters Brenda Moseley Janet Street Denise Jackson Church Treasurer Ian Chesters

Hazel Grove Methodist Church TRUSTEES' ANNUAL REPORT

FOR THE YEAR ENDED 31 AUGUST 2020

Introduction

For the year 2019/20 Hazel Grove Methodist Church ("the Church") joined the newlyformed United Stockport Circuit and welcomed a new minister, Cathy Bird as superintendent of that circuit. The Church engaged in outreach work including Film Nights and "Messy Church" events and adopted "Stockport Mind" as a charity to support with donations during the year.

RT AND ACCOUNTS

Aims and organisation

The object of the charity is set out in the Methodist Church Act 1976 (clause 4); i.e. Advancement of Religion and any charitable purposes of the Methodist Church or church organisation.

Review of the year

Regular Church Activities. We have regular services on Sunday mornings and weekday services on Tuesday mornings. There are occasional Sunday evening services which are open to all churches in the circuit. The Young Church meet each week during term time on a Sunday morning. They also hold occasional Film Evenings and Messy Church. We have continued to review our priorities for the forthcoming years, taking account of national trends regarding staffing and outreach.We continue to enable our property to be used by both church related and community groups. In addition to fellowship groups the church supports a Pre-school Playgroup and Scout Group. Community groups include a model railway club, an orchestra, two choirs, a dancing school and educational classes. There are also a variety of one-off community bookings for events such as meetings, parties, etc.

The Church had a £ 35,245 I & E deficit during the year principally as the result of noncash transactions (depreciation) and expenditure on property including a scheduled upgrade to the audio-visual system in the church building and roof repairs to the sunday school building. We organise regular fund raising events.The accounts are presented regularly to the Church Council. We have no funds materially in deficit.

Income trends

Regular Church income is primarily drawn from the offertory paid by the congregation and community supporters of the Church together with Gift Aid tax credit; also lettings income from external users of the building and fees / grants collected by the Playgroup. In 2019-20 the single largest source of income was the offertory followed by lettings, then Playgroup income.

The rental income relates to the hire of the church property to various groups in the community.

Expenditure trends

The major cost is in relation to the assessment paid to the newly-formed United Stockport Circuit. This amounts to 29% of our total costs.

A significant amount of the Circuit assessment is used to pay the District assessment, stipends and related costs to Ministers.

The other expenditure includes £ 21,813 on wages for Playgroup staff.

Fund balances

As at 31 August 2020 the net current assets of the Church relating to the General Fund were £135k, giving approximately 20 Months' cover for expenditure.

Plans for 2020/21

Church financial plans for the coming year will be determined in the light of the needs and intentions of the new Circuit.

It is recognised that, due to developments unforeseen at the balance sheet date, the Playgroup closed during the year to 31st August 2021.

Church No

Name of Church

Hazel Grove Methodist Church

Statement of Financial Activities (SOFA) for the year ended 31 August 2020

Notes to
the
accounts
Income
1 Offerings
4
2 Donations
4
3 Gift aid
4
4 Interest and investment income
7
5 Income from investment properties
6 Internal organisations
7 Other charitable income
5 & 6
8 Total income
Expenditure
9 Circuit assessment or share
10 Grants and donations
11 Property maintenance
12 Insurance,utilities etc
13 Depreciation
14 Office expenses
15 Other expenditure
16 Internal organisations
17 Total charitable expenditure
18 Gains/(losses) on monetary investments
19 Gains/(losses) on investment properties
20 Net income/(expenditure)
21 Transfers between funds
22 Other gains/(losses)
23 Net movement in funds
24 Total funds brought forward
25 Total funds carried forward

General Fund
(Unrestricted)
Designated
Funds
(unrestricted)
Restricted
Funds
Endowment
Funds
Total
2019-20
£
£
£
£
£
38,597
38,597
1,267
1,019
973
3,259
5,364
5,364
959
106
1,065
0
0
23,999
36,732
60,731
70,186
1,019
37,810
-
109,015
42,000
42,000
1,637
375
1,930
3,942
19,982
17,209
37,191
14,093
14,093
20,435
20,435
920
920
1,981
23,697
25,678
0
101,048
375
42,836
0
144,259
0
0
-30,863
644
-5,026
0
-35,245
18,982
-
18,982
0
0
-49,845
644
13,956
0
-35,245
2,036,218
385
27,088
2,063,691
1,986,373
1,029

41,044
-
2,028,447

Church No

Name of Church Hazel Grove Methodist Church

Statement of Financial Activities (SOFA) for the year ended 31 August 2019

Notes to
the
accounts
Income
1 Offerings
4
2 Donations
4
3 Gift aid
4
4 Interest and investment income
7
5 Income from investment properties
6 Internal organisations
7 Other charitable income
5 & 6
8 Total income
Expenditure
9 Circuit assessment or share
10 Grants and donations
11 Property maintenance
12 Insurance,utilities etc
13 Depreciation
14 Office expenses
15 Other expenditure
16 Internal organisations
17 Total charitable expenditure
18 Gains/(losses) on monetary investments
19 Gains/(losses) on investment properties
20 Net income/(expenditure)
21 Transfers between funds
22 Other gains/(losses)
23 Net movement in funds
24 Total funds brought forward
25 Total funds carried forward

General Fund
(Unrestricted)
Designated
Funds
(unrestricted)
Restricted
Funds
Endowment
Funds
Total
2018-19
£
£
£
£
£
42,844
42,844
2,802
1,684
4,486
6,659
6,659
1,082
1,082
0
0
66,577
66,577
119,965
1,684
-
-
121,649
42,850
42,850
3,658
1,955
5,614
29,831
29,831
13,765
13,765
14,149
14,149
1,668
1,668
29,542
29,542
0
135,463
1,955
0
0
137,419
0
0
-15,498
-271
0
0
-15,770
27,088
-
27,088
0
0
-42,587
-271
27,088
0
-15,770
2,078,805
656
-
2,079,461
2,036,218
385
27,088

-
2,063,691

Name of Church

Hazel Grove Methodist Church

Church No

Balance Sheet as at 31 August 2020

Fixed Assets Notes to the
Accounts		 General Fund
(Unrestricted)
£		 Designated
Funds
(Unrestricted)
£		 Restricted
Funds
£		 Endowment
Funds
£		 Totals 2020
£		 Totals 2019
£
Church buildingand otherproperty 12 1,851,056 1,851,056 1,871,491
Investmentproperties 0
Investments 0
Total fixed assets 1,851,056 0 0 0 1,851,056 1,871,491
Current Assets
Debtors andprepayments 14 16,226 16,226 19,710
Loans bythe Churches 0 0 0
Investments with TMCP 14 15,737 15,737 32,759
Central Finance Board Deposits 14 90,596 90,596 104,711
Cash at Bank and in hand 14 28,714 1,029 25,307 55,050 36,481
Total current assets 135,536 1,029 41,044 0 177,609 193,661
Current liabilities
Creditors (due in under 1 year) 15 218 218 1,460
Grantspayable within 2018-19 0
Total current liabilities 218 0 0 0 218 1,460
Net current assets/liabilities 135,319 1,029 41,044 0 177,392 192,201
Total assets less current liabilities 1,986,375 1,029 41,044 0 2,028,448 2,063,693
Long term liabilities
(due after more than oneyear)
Grantspayable after 2018-19 0
Loans to the Church 0
0
Net assets 1,986,375 1,029 41,044 0 2,028,448
Funds of the Church
General Fund(Unrestricted) 1,986,375 41,044 1,986,375
Designated Funds(Unrestricted) 1,029 1,029
Total Unrestricted Funds 1,987,404
Restricted Funds 41,044 41,044
Endowment Funds 0 0
Total Funds 1,986,375 1,029 41,044 0 2,028,448

Hazel Grove Methodist Church

Notes to the Accounts

1. Basis of accounting

The financial statements have been prepared under the Charities Act 2011 in accordance with the 2014 version of Accounting and Reporting by Charities: Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard for Smaller Entities applicable in the UK (effective from 1 January 2015) – the Charities SORP (FRSSE) – in replacement for the SORP’s 2005 version specified in its related 2008 Regulations and in accordance with the ‘true and fair override’ provision contained therein.”

2. Funds

The funds held constitute: General Funds held for any purpose of the Church which are Unrestricted. Restricted funds which are held for a narrower purpose including those for internal organisations. There are also the following Endowment funds as listed. Details of each material fund are disclosed in note 16 . Any funds may be represented by more than just cash.

REPORT AND ACCOUNTS

Basis

These accounts have been prepared on the basis of historical cost except that property is shown at deemed value at the end of the year, on the accruals basis to show a true and fair view of the Church'’s financial position and activities.

Income

Income is included in the Statement of Financial Activities (SOFA) when the Church becomes entitled to the resources, and the trustees are reasonably certain they will receive the resources; and the monetary value can be measured with sufficient reliability.

Expenditure

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 Circuit to pay out resources.

Grants

Grants made by the Church from its own funds are recognised in full at the time of agreement or when the Church accepts that there is a legal or operational obligation to make the payment. When the grant is recurrent over more than one year the balance payable in future years is treated as a provision for future commitments in the Balance Sheet against the appropriate fund, the provision being released in future years as instalments are paid in accordance with the originally agreed terms.

VAT

Since the Church is not VAT registered, all input VAT is charged with the expenses to which it refers.

Tangible fixed assets for use by the Church

These are capitalised if they can be used for more than one year, and individually cost at least £1,000.

Investment Properties

Investment properties - no property is currently deemed to not be held for the long term purposes of the charity.

Investments

Investments are valued in the balance sheet at market value at the year end. Investment income is included in the accounts when receivable and any gains or losses on revaluation at the year end are shown in the SOFA.

Debtors and Prepayments

Debtors include outstanding lettings invoices in August.

Creditors

Creditors include outstandings relating to utilities, telephones, etc in August.

Hazel Grove Methodist Church

4. Donations and legacies
Collections
Gift Aid
Donations
Bequest
Total
5. Charitable activities
Fund raising
Other
Total
6. Other trading activities
Lettings
Playgroup fees / grants / Furlough Scheme		 Unrestricted
Restricted
2020
Total
2019
Total
£
£
38,597
38,597
42,844
5,364
5,364
6,659
2,287
973
3,260
4,486
0
0
46,247
973
47,220
53,989
Unrestricted
Restricted
2020
Total
2019
Total
£
£
£
£
3,042
3,042
8,407
148
1,156
1,304
1,563
148
4,198
4,347
9,970
Unrestricted
Restricted
2020
Total
2019
Total
£
£
£
£
23,851
23,851
30,634
32,533
32,533
25,973
0
0
0
0
Total
7. Investment income
Central Finance Board
Rental income
Other		 23,851
32,533
56,384
56,607
Unrestricted
Restricted
2020
Total
2019
Total
£
£
£
£
683
683
655
0
0
277
106
382
427
Total
8. Other		 959
106
1,065
1,082
Unrestricted
Restricted
2020
Total
2019
Total
£
£
£
£
0
0
0
0
0
0
0
0
0
0
0
Total 0
0
0
0

This year

9. Payment to Trustees

Last year

Payments made to trustees for additional services provided to the Church by agreement with the £ Church Council Meeting

Number of trustees who were paid expenses Nature of the expenses REPIf there are no payments to Trustees, please record no expenses were paid.

Total amount paid

10. Fees for examination or audit of the accounts Independent examiner’s or auditors' fees for reporting on the accounts Other fees (eg: advice, accountancy services) paid to the independent examiner or auditor

£ £ £

11. Paid employees

Staff Costs paid during the year were: Gross wages, salaries and benefits in kind Employer’s National Insurance costs Pension costs Total staff costs Average number of staff employeed during the year were:

£
£
£
£		 34,160 36,442
34,160 36,442

12. Tangible Fixed Assets

Cost or valuation

REPORT AND ACCOUNTS Church (non
investment)
land and
buildings
£		 Other non
investment
land and
buildings
£		 Investment
properties
(land and
buildings)
£		 Other fixed
assets including
motor vehicles
£
Fixtures,
fittings and
equipment
£		 Payments on
account and
assets under
construction
£		 Total
£
Balance brought forward 1,890,000 123,520 2,013,520
Additions
Revaluations (+/-)
Disposals (-)
Transfers * (+/-)
Balance carried forward 1,890,000 123,520 2,013,520

Accumulated depreciation

Accumulated depreciation
Balance brought forward 132,868 9,161 142,028
Depreciation charge for year (-) 12,807 7,628 20,435
Revaluations (+/-)
Disposals (-)
Transfers* (+/-)
Balance carried forward 145,675 16,789 162,464
Net book value
Brought forward 1,757,132 - - - 114,359 1,871,492
Carried forward 1,744,325 - - -
 106,731 1,851,056

14. Analysis of current assets

This year Last year

Debtors and prepayments
Other debtors
Other prepayments
Total debtors and prepayments
Analysis of cash at bank
Bank balance held in Royal bank of Scotland
Bank balance held in Royal bank of Scotland - Benevolence Fd
Bank balance held in Central Finance Board
Bank balance held in TMCP
Bank balance held in Nat West
Bank balance held in Vernon Building Society
Pre paid assessments
Accrued income
Total Cash and Bank		 £ £ £
10,500 10,500
4,251 9,090
1,475 120
16,226 19,710
29,278
1,029
90,596
15,737
24,743
161,383
29,278 21,146
1,029 384
90,596 104,711
15,737 32,759
24,743 14,951
161,383 173,951

15. Analysis of current liabilities and long term creditors

Analysis of current liabilities and long term creditors
Trade Creditors
Other Creditors
Total Current Liabilities		 218 1,460
218 1,460

16. Capital commitments and contingent liabilities

At the 31 st August 2020 the Church has no capital commitments.

No Contingent liabilities were identified at 31st August 2020.

Hazel Grove Methodist Church

18. Detailed analysis of individual fund movements

Unrestricted Funds

Unrestricted Funds
Fund Name Opening
Balance		 Income Expenditure Transfers Revaluation
gains/losses		 Closing Balance
General Fund 2,017,998 70,186 -101,048 -762 1,986,373
Project Fund 3,176 -3,176
Ladies' Fellowship 498 -498
Coffee Lounge 879 -879
Playgroup 13,666 -13,666
Totals 2,036,218 70,186 -101,048 -18,982 1,986,373

Designated Funds (unrestricted)

Fund Name Opening
Balance		 Income Expenditure Transfers Revaluation
gains/losses		 Closing Balance
Benevolence Fund 385 1,019 -375 1,029
Totals 385 1,019 -375 1,029

Restricted Funds

Restricted Fund Name Opening
Balance		 Income Expenditure Transfers Revaluation
gains/losses		 Closing Balance
F KayBequest 27,088 -17,209 9,879
Project Fund 3,052 -1,022 3,176 5,206
Ladies' Fellowship 2,119 -2,209 498 408
Coffee Lounge -72 879 807
Playgroup 32,639 -22,324 14,428 24,743
Totals 27,088 37,810 -42,836 18,982 41,044

Hazel Grove Methodist Church

19. Related party transactions

This year

Name of related
party		 Relationship Description
of
transaction		 Income from
related party
during the
year		 Payments
to related
party during
the year
Loans to /
(from)
related
party during
the year
Amounts
owed by /
(to)
related
party as
on 31-Aug-
~~2017~~
£ £ £ £
JMA
Methodist Church
Fund
Mission in Britain
Fund
Fund for Support
of Presbyters &
Deacons
Fund for Property
World Mission
Fund
Total 0 0 0 0
Lastyear
Name of related
party		 Relationship Description
of
transaction		 Income from
related party
during the
year		 Payments
to related
party during
the year
Loans to /
(from)
related
party during
the year
Amounts
owed by /
(to)
related
party as
on 31-Aug-
~~2016~~
£ £ £ £
JMA
Methodist Church
Fund
Mission in Britain
Fund
Fund for Support
of Presbyters &
Deacons
Fund for Property
World Mission
Fund
Total 0 0 0 0

Hazel Grove Methodist Church

Appendix A

CHURCH COUNCIL MEMBERSHIP

MINISTER(S)

REV. CATHERINE BIRD

STEWARDS

MRS. JAYNE QUINN MR. IAN CHESTERS MRS DENISE JACKSON MRS. BRENDA MOSELEY MRS. JANET STREET

CHURCH SAFEGUARDING CO-ORDINATOR

MRS. ELIZABETH A. LAW

CHURCH REPRESENTATIVES (OTHER MEMBERS OF THE CHURCH COUNCIL)

1 MRS.JUDITH ADSHEAD 2 MR. KEITH TONGE 3 MRS. SHIRLEY STURMY 4 MR.ERIC COATES 5 MRS.STELLA MOLTON 6 MRS.LIZ YOUNG 7 MR.ALAN BRIGGS 8 MR.ADRIAN LAW 9 MR.GAVIN SYKES 10 MRS.DOREEN SYKES 11 MR.MARTYN BENNETT 12 MRS.PAT HUNT 13 MR.RICHARD LEWIS 14 MRS.ROSEMARY HASKAYNE 15 MR.DAVID EDMONSON 16 MRS.LIZ TURNER 17 MRS.BERYL KEELEY

Hazel Grove Methodist Church

DECLARATIONS

Treasurer

I confirm that these accrual based accounts for the year ended 31 August 2020 have been prepared from the records of the Church and that they include all funds under the control of the Church Council / Members' Meeting / Leadership

Signature of Treasurer Date Name of Treasurer Ian Chesters Address 9, Seaton Close, Hazel Grove, Stockport, Cheshire SK7 5LU

Presentation to the Church Council / Members' Meeting / Leadership Group* for approval.

I confirm that the annual report and accounts for the year ended 31 Aug 2020 were, or will be* and were approved.

Signature of the Chair of the Name of the Chair of the meeting Date

Independent Examiner’s Report to the Trustees of the

Hazel Grove Methodist Church[[st]] 2020

This Report is on the Church Accounts for the year ended 31[[st]] August

Respective responsibilities of Trustees and Examiner

The Church's trustees are responsible for ensuring that the annual report and accounts for the year to 31 August 2020 present a true and fair view of the Church's income and expenditure for the year and of its assets and liabilities at the balance sheet date. The trustees consider that an audit is not necessary for this year under Section 144 of the Charities Act 2011 (the Charities Act) and that an independent examination is needed.

It is my responsibility to:

* Please delete or circle as appropriate

Hazel Grove Methodist Church

Basis of Independent Examiner’s Report

My examination was carried out in accordance with the general directions given by the Charity Commission. An examination

Independent Examiner’s Statement

REPORT AND ACCOUNTS

In connection with my examination, no matter has come to my attention (other than as disclosed below*)

(1) which gives me reasonable cause to believe that in any material respect the requirements:

I confirm that the annual report and accounts for the year ended 31 Aug 2020 were, or will be presented to the Church Council / Members' Meeting / Leadership Group at its meeting on

(2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

(3) I ~~have~~ /have not* obtained independent verification of all investments with the Trustees for Methodist Church Purposes or held in other trusts, bank balances and funds at the Central Finance Board of the Methodist Church which are individually in excess of £10,000 (ten thousand pounds) at the balance sheet date.

Name of independent Stephen Tattersall Signature of independent

Relevant Professional qualification or body

Name of firm (where appropriate)

Address 3 Highfield Road, Poynton, Cheshire SK12 1DU

Date