**Annual Trustees Report Nottingham North East Circuit 2020 - 2021 Introduction**
Welcome to the first Annual Trustees Report of the Nottingham North East Methodist Circuit following the joining of the Nottingham North and Nottingham East Methodist Circuits in September 2020. This amalgamation had been in planning for 18 months but becoming a new circuit in the middle of a global pandemic was not without its challenges. We quickly had to adapt to new ways of worship, conducting meetings and staying connected with each other to foster relationships and a cohesive new trustee body. Unfortunately, one of the key people (the treasurer) in the leadership team became ill, meaning that they were unable to take up their role. Despite these difficulties we feel that that we have already developed a strong circuit leadership team and trustee body and that churches do feel a part of this new circuit. We will continue to support churches as we develop our circuit vision plan and mission statement in the coming year.
## **Aims and organisation**
The Nottingham North East Circuit is a group of churches who seek, serve and follow Jesus so that God’s love is shared in our communities and lives are transformed.
## **Brief financial review of the year**
As with many churches, the Circuit finances are a tale of two competing narratives. Our overall day to day running costs currently exceed our overall income. However, we end the year with a significant increase in overall funds due to property sale proceeds.
## **Income trends**
Circuit income is primarily drawn from the assessment paid by the circuit churches. The rental income relates to the rental of a manse in Bulwell, the rental of office space at Bestwood Park church and rental of the former Netherfield Methodist Church. We also receive a connexional grant for the diaconate work in the City Centre and some district funding for our youth worker. We also received income following the closure of Mapperley Church (closure of CFB account)
## **Expenditure Trends**
Stipend expenditure has increased each financial year in line with conference approved increases.
14.7% of expenditure is the Circuit contribution to the District and Connexion, of which a significant part is used to fund the work of the wider Methodist Church.
During this financial year we have encountered some extraordinary expenses, including a £10,000 redundancy payment, legionella testing for all churches, photocopying and postal costs for distribution of printed worship materials to those members unable to access digital worship.
## **Fund balances**
As of 31 August 2021 the net current assets of the Circuit were Current Account £63,472 CFB Account £70,975 TMCP Account £1,294,197
This allows us to adequately cover our reserves policy of keeping 6 months running costs available.
_Charity number 1134223_ pg. 1
**Plans for 2021 / 2022**
Circuit financial plans for the coming year have been prepared on the basis that there remain six full time ordained staff to be paid out of circuit funds and one full time deacon to be paid out of restricted funds from the sale of the Central Mission. We are mindful of the anticipated cost of living stipend increases combined with an increase in the assessment paid to the district. We also have a circuit administrator (30 hours per week). Our Youth Worker’s contract finishes in August 2022, but we will be looking to continue their employment solely out of circuit funds. However, we are also mindful that many of our churches have experienced, and continue to experience, financial changes due to the Covid 19 pandemic. As such we continue to base the churches’ assessment to circuit on membership, offertory and unrestricted funds which each church holds.
## **Basis of preparation and legal framework**
The Charity’s annual report and accounts for the year ended 31 August 2021 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 (FRS) 102
Full Name of Charity: Nottingham North East Methodist Circuit
Registration Charity Number: 1134223
Date of registration: September 2020
Main communication address: Nottingham North East Circuit Office c/o Bestwood Park Methodist Church Beckhampton Road Nottingham NG5 5NG office@nnemethodist.org.uk 07988 538420
The members of the Nottingham North East Methodist Circuit meeting are the Charity Trustees, membership being made up of circuit office holders, ministers and representatives appointed by the local churches.
Fully membership is shown as Appendix A to this report.
## **Circuit Ministers and officers**
Active Circuit Ministers Rev Andrew Charlesworth
Rev Richard Byass Rev John Wiseman Rev Yanyan Case Deacon Helen Snowball Deacon Jenny Jones
Circuit Lay Workers Mr Marc Williamson (Circuit Youth Worker) Mrs Catherine Smith (Local Church Pastoral Worker)
_Charity number 1134223_ pg. 2
Circuit Stewards Mr David Blount (Property)
Mrs Lynda Johnson Ms Julie Compton Mr I Pickering Mrs Val Stone Mr Derek Marshall (only served part of the year)
Administrator: Mrs Catherine Smith Mrs Elaine Lloyd (retired December 2021)
Name of treasurer acted as the principal officer overseeing the day-to-day financial management and accounting for the circuit during the year.
Mr D Marshall (until October 2020) / Mr I Clarke
Accounts Prepared by Mrs Catherine Smith (advice received from Rev Andrew Charlesworth) This necessitated the combing of two previous sets of accounts into a single account.
Independent examiner Mrs Louise Langford 32 Old Tannery Drive Lowdham Nottingham NG14 7PS
Investment Bankers Central Finance Board of the Methodist Church
Trustees for Methodist Church purposes
Current Account HSBC UK 26 Clumber Street Nottingham NG1 3GA
## **Aims and organisation**
Charity objective is to act as a Resource provider within the area around the north east of Nottingham for the Methodist Church:
The purposes of the Methodist Church are and shall be deemed to have been since the Date of Union the advancement of:
a) The Christian faith in accordance with the doctrinal standards and discipline of The Methodist Church.
b) Any charitable purpose for the time being of any Connexional, District, Circuit, local or other organisation of The Methodist Church.
c) Any charitable purpose for the time being of any society or institution subsidiary or ancillary to The Methodist Church.
d) Any purpose for the time being of any charity being a charity subsidiary or ancillary to The Methodist Church.
e) The organisation and resourcing of regular public acts of worship open to members of the church and non members alike.
f) The teaching of Christianity through sermons, courses and small groups.
g) The resourcing of pastoral work including visiting the sick and bereaved.
h) Taking religious assemblies in local schools.
_Charity number 1134223_ pg. 3
i) Promotion of Christianity through the staging of events and services. j) Provision of chaplaincy services to the local university and other institutions.
## **Public Benefit**
We confirm the trustees have had regard to the Charity Commission’s guidance on public benefit.
## **Structure, Governance and Management**
The governing document for the circuit is the Deed of Union (1932) and Methodist Church Act (1976)
Detailed governance arrangements are outlined within the Constitutional Practice and Discipline of the Methodist Church by order of the annual conference (CPD).
Day to day management of the circuit is undertaken by the Circuit Leadership team along with the Local Preachers and Leaders of Worship Meeting and Circuit Safeguarding Officers.
## **Trustee Training**
All our circuit stewards have completed training on their role. We aim to keep the managing trustees aware of their responsibilities and will be undertaking further work on this in the future.
## **Related Parties**
The Circuit is part of the Nottingham and Derby District and is also accountable to the Methodist Conference.
The following Methodist Churches are part of the circuit
Arnold Methodist Church
Aspley Methodist Church (Meeting at Aspley YMCA) Awsworth Methodist Church (Meeting at the Youth Wing of the Village Hall) Bestwood Park Church LEP
Burton Joyce Methodist Church – closing June 2022 Calverton Methodist Church
Gedling Rd Carlton Methodist Church Hucknall Central and East Side Methodist Church Main Street Carlton Methodist Church – now closed Nuthall Methodist Church Methodist Church Phoenix Farm Methodist Church The Church on Rise Park LEP St Johns Methodist Church Sherwood Methodist Church Thurgarton Methodist Church
## **Risk Management**
The major risks have been identified and recorded by the Circuit Leadership Team with professional advice taken as required.
There is a regular annual review process undertaken and recorded.
Income and Expenditure is being monitored in total and is compared with the approved annual budget on a half yearly basis to detect trends as part of the risk management process to avoid unforeseen calls on reserves.
_Charity number 1134223_ pg. 4
## **Safeguarding**
Every person has a value and dignity which comes directly from the creation of male and female in God’s own image and likeness. Christians see this potential as fulfilled by God’s re-creation of us in Christ. Among other things this implies a duty to value all people as bearing the image of God and therefore to protect them from harm.
Methodist Connexional practice outlines commitment to the following principles:
• the care and nurture of, and respectful pastoral ministry with, all children, young people and adults
• the safeguarding and protection of all children, young people and adults when they are vulnerable
• the establishing of safe, caring communities which provide a loving environment where there is informed vigilance as to the dangers of abuse.
• We will carefully select and train all those with any responsibility within the Church, in line with Safer Recruitment principles, including the use of criminal records disclosures and registration with the relevant vetting and barring schemes.
• We will respond without delay to every complaint made which suggests that an adult, child or young person may have been harmed, cooperating with the police and local authority in any investigation.
• We will seek to work with anyone who has suffered abuse, developing with them an appropriate ministry of informed pastoral care.
• We will seek to challenge any abuse of power, especially by anyone in a position of trust.
• We will seek to offer pastoral care and support, including supervision and referral to the proper authorities, to any member of our church community known to have offended against a child, young person or vulnerable adult.
- In all these principles we will follow legislation, guidance and recognised good practice
The Nottingham North East Circuit commits itself to ensuring the implementation of the Nottingham North East Circuit Safeguarding Policy, government legislation, guidance and safe practice in the circuit and in the churches. We recommend that the Nottingham and Derby District Safeguarding Policy for Churches is adopted by local churches.
The Nottingham North East Circuit commits itself to the provision of support, advice and training for lay and ordained people that will ensure people are clear and confident about their roles and responsibilities in safeguarding and promoting the welfare of children and adults who may be vulnerable.
## **Reserves Policy**
The Reserves Policy for the Circuit is to hold a minimum sum equivalent to 4 months’ average expenditure. This should be sufficient to meet any unforeseen item of major expenditure on manses and / or to be able to continue, in the short term, funding planned activities in the event of any inability to raise the full Circuit Assessment from churches.
_Charity number 1134223_ pg. 5
**CIRCUIT RECEIPTS AND PAYMENTS ACCOUNTS**
# **THE METHODIST CHURCH STANDARD FORM OF ACCOUNTS**
## **Nottingham North East**
Circuit
**FOR THE YEAR ENDED 31 AUGUST 2021**
|**District**
Notts and Derby|**Circuit no**|22-Jan|
|---|---|---|
|**Registered Charity - Charity Registration number**|||
||1134223||
If not a registered charity **Her Majesty's Revenue and Customs Gift Aid number**
(The HMRC number is equivalent to a registered charity number in terms of evidence of charitable status and may be used to give to donors or grant funders wishing to see evidence of the organisation's charitable status. Methodist charities in England and Wales that are not registered charities are excepted from registration under Statutory Instrument 2014 No.242 )
Ministers:
Rev Andrew Charlesworth Rev Richard Byass Rev John Wiseman Rev Yanyan Case Deacon Helen Snowball Deacon Jenny Jones Circuit Stewards: David Blount Julie Compton Lynda Johnson Ian Pickering Valerie Stone Treasurer:
Catherine Smith
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**20ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021**
**Nottingham North East Circuit**
||**SECTION A**|||£
£
£
**Restricted**
**Funds**
**Un - restricted**
**Funds**
**Circuit**
**Model Trust**
**Fund**|£
£
£
**Restricted**
**Funds**
**Un - restricted**
**Funds**
**Circuit**
**Model Trust**
**Fund**|£
£
£
**Restricted**
**Funds**
**Un - restricted**
**Funds**
**Circuit**
**Model Trust**
**Fund**|£
**311,787**
**937,962**
**5,715**
**84,616**
**305,560**
**Totals this**
**year**|£
**311,787**
**937,962**
**5,715**
**84,616**
**305,560**
**Totals this**
**year**|£
**Totals last**
**year**|£
**Totals last**
**year**|
|---|---|---|---|---|---|---|---|---|---|---|
|a1|**RECEIPTS**||**Note**||||||||
|a2|Assessment/Share|||311,787|||**311,787**||328,566||
|a3|Capital receipts||||937,962||**937,962**||259,286||
|a4|Bank and CFB interest and
Investment income|||94|5,621||**5,715**||6,941||
|a5|Grants|||32,730||51,886|**84,616**||21,546||
|a6|Other receipts|||141,083|164,477||**305,560**||20,908||
|a7|**TOTAL RECEIPTS**|||**485,694**|**1,108,059**|**51,886**|**1,645,639 **|**(a8)**|**637,247**||
||||||||||||
||**SECTION B**||||||**384,462**
**37,032**
**13,603**
**336,070**
**1,132**
**327,684**||||
|b1|**PAYMENTS**||||||||||
|b2|Stipends, salaries, NIC, Pension and
travel costs|||384,182||280|**384,462**||300,806||
|b3|Manse Costs|||36,089||943|**37,032**||69,467||
|b4|Administration etc|||12,249|1,354||**13,603**||213,000||
|b5|District Assessment|||92,116|243,954||**336,070**||57,645||
|b6|Grants & donations|||||1,132|**1,132**||33,373||
|b7|||||||||||
|b8|Otherpayments|||26,324|301,360||**327,684**||91,076||
|b9|**TOTAL PAYMENTS**|||**550,960**|**546,667**|**2,355**|**1,099,983 **|**(b9)**|**573,967**||
||||||||**545,657**||||
||**SECTION C**||||||||||
|c1|**NET RECEIPTS/PAYMENTS FOR**
**THE YEAR**||**(a7-b9)**|**(65,266)**|**561,392**|**49,531**|**545,657**||||
||||||||||||
|c2|Total funds brought forward from lastyear|||149,824|733,357||883,181|(c6)|154,055||
||||||||**1,428,838**||||
|c3|**Sub total**
**(c1+c2)**|||**84,557**|**1,294,749**|**49,531**|**1,428,838**||||
||||||||||||
|c4|Transfers and adjustments|||360|||360|(c7)|||
||||||||||||
|c5|**TOTAL FUNDS AT END OF YEAR**
**(c3+c4)**|||**84,917**|**1,294,749**|**49,531**|**1,429,198 **|**(c8)**|**217,335 **|**(c6)**|
||**SECTION D**|||
|---|---|---|---|
|d|**FOR INFORMATION ONLY: MONEY RECEIVED AND PASSED ON TO EXTERNAL ORGANISATIONS**
2,982
2,622
360
Offerings/Gifts -passed to external organisations
**BALANCE STILL TO BE PAID (d1 + d2 - d3)**
Offerings/Gifts - received for external organisations
Balance brought forward from lastyear
**(these amounts should not be included in total receipts/payments above)**|||
|d1|Balance brought forward from lastyear|||
|d2|Offerings/Gifts - received for external organisations|||
|d3|Offerings/Gifts -passed to external organisations|||
|d4|**BALANCE STILL TO BE PAID (d1 + d2 - d3)**|||
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**Nottingham North East**
**Circuit**
## **SUMMARY OF CIRCUIT ACCOUNTS AND INTERNAL ORGANISATION REPORTING TO THE CIRCUIT MEETING**
**SECTION E Please follow the Guidance Notes to complete this page**
Summary of the Circuit accounts for the year ended 31 August 2021 and Internal Organisations reporting to the Circuit Meeting. Note that the funds of an Internal Organisation would normally be Restricted funds unless it could be clearly shown that they could be used for any Methodist purpose. This section must be completed to arrive at the gross receipts and payments totals of the Circuit. If gross income exceeds the Accruals threshold of £250,000, then the Accruals method of accounting AND A DIFFERENT FORM must be used to report the accounts (see Methodist website). Please refer to the guidance notes regarding transfers between the Circuit and connected Circuit Organisations.
||**SECTION E**|**SECTION E**|**SECTION E**|**SECTION E**|**SECTION E**|**SECTION E**|**SECTION E**|**SECTION E**|**SECTION E**|
|---|---|---|---|---|---|---|---|---|---|
||Summary of the Circuit accounts for the year ended 31 August 2021 and Internal Organisations reporting to the Circuit Meeting. Note that the funds of an
Internal Organisation would normally be Restricted funds unless it could be clearly shown that they could be used for any Methodist purpose. This section
must be completed to arrive at the gross receipts and payments totals of the Circuit. If gross income exceeds the Accruals threshold of £250,000, then the
Accruals method of accounting AND A DIFFERENT FORM must be used to report the accounts (see Methodist website). Please refer to the guidance
notes regarding transfers between the Circuit and connected Circuit Organisations.|||||||||
||**INTERNAL**
**ORGANISATIONS**|Net Receipts/
Payments||Adjustments||Opening
balances||Closingbalances||
|e1||||||||||
|e2||||||||||
|e3||||||||||
|e4||||||||||
|e5||||||||||
|e6||||||||||
|e7||||||||||
|e8|Sub total of Internal
Organisations funds||||||**(e11)**||**(e12)**|
|e9|**Circuit accounts (totals**
**brought forward from**
**page 2 - totals column)**|**545,657**||**360 **|**(c7)**|**883,181**|**(c6)**|**1,429,198**|**(c8)**|
|e10|**TOTAL CASH FUNDS**
**HELD BY CIRCUIT**|**545,657**||**360**||**883,181 **|**(x)**|**1,429,198 **|**(y)**|
|||||||||||
|**SECTION F**||||||||||
## **SECTION F**
## **STATEMENT OF ASSETS AND LIABILITIES**
||**SECTION F**
**STATEMENT OF ASSETS AND LIABILITIES**|**SECTION F**
**STATEMENT OF ASSETS AND LIABILITIES**|||||
|---|---|---|---|---|---|---|
||**CIRCUIT - CASH FUNDS HELD at 31 August 2021**||**OPENING**
**BALANCES**||**CLOSING**
**BALANCES**||
|f1|Cash in hand||||||
|f2|BankCurrentAccount||53,517||63,472||
|f3|Bank DepositAccount||||||
|f4|Central FinanceBoard||96,306||70,975||
|f5|Trustees for Methodist Church Purposes||733,357||1,294,749||
|f6|Other funds||||||
|f7|**SUB TOTAL**||**883,181 **|**(c6)**|**1,429,197**|**(c8)**|
|f8|Total funds held by Internal Organisations (the
closingbalance totals above) (e12)|||**(e11)**||**(e12)**|
|f9|**TOTAL CASH FUNDS HELD BY CIRCUIT**||**883,181 **|**(x)**|**1,429,197**|**(y)**|
||||||||
||**SECTION G**||At||At||
||**OTHER ASSETS and LIABILITIES**
Loan(s)-showamount outstanding at yearend
Land andBuildings (seenotesreInsurancevalue)
Other Assets
Other Liabilities
Investments (includeEndowments)||1 September 2020
£2,398,475.00||31 August 2021
1,761,872||
|g1|Investments (includeEndowments)||||||
|g2|Land andBuildings (seenotesreInsurancevalue)||||1,761,872||
|g3|Other Assets||||||
|g4|Loan(s)-showamount outstanding at yearend||||||
|g5|Other Liabilities||||||
f4 Include only Funds held at the Central Finance Board
- f5 Include only CFB Funds held at Trustees for Methodist Church Purposes
- g1 Include any other investments (not the cash element of TMCP trust accounts this is inserted in line f5)
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Name of Circuit Nottingham North East No 1134223
## **Declarations and Scrutiny**
I confirm that these Receipt and Payment based accounts for the year to 31 August 2021 have been prepared from the records of the Circuit and that they include all funds under the control of the Circuit meeting.
Signature of treasurer Date 30-06-22
Name and address of treasurer Catherine Smith
13 Westbrook Avenue, Ravenshead, Nottingham Postcode: NG15 9FY
## **Presentation to the Circuit meeting**
I confirm that the annual report and accounts for the year ended 31 August 2021 will be
presented to the Circuit meeting held on ……………..
Signature of the Chair of the meeting
Name of the Chair of the meeting Rev Andrew Charlesworth Date 30-06-22
## **Independent Examiner’s Report to the Trustees of the**
## **Nottingham North East Circuit**
## **Charity Number 1134223**
## **Responsibilities and basis of report**
I report to the trustees on my examination of the accounts of theNottingham North east Circuit Circuit for the year ended 31 August 2021 set out on pages 2 to 3 As the Circuit’s trustees, you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the Circuit’s accounts carried out under section 145 of the 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 Act.
* delete or circle as appropriate
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Name of Circuit
## Independent Examiner's Statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination (other than that disclosed below•) which give me cause to believe that in, any material respect:
- the accounting records were not kept in accordance with section 130 of the Act, or
- • the accounts do not accord with the accounting records.
I have no concems 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.
I have ave no 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.
|Signature
of
independent
examiner|Signature
of
independent
examiner|Signature
of
independent
examiner|Signature
of
independent
examiner||||
|---|---|---|---|---|---|---|
|Name
of|
independent|
examiner||Lour-se|L-atv«-Q'1D||
|Relevant|
professional|
qualification|
of|
independent||
examiner|
Name of firm (where appropriate)
Address 32.. arD LO(JOOHAM
Post Code NGIIF VS
Date
* delete or circle as appropriate
```
Sep-21
```
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