CHARrrY REGISTRATION NUMBER: 1134236 Cardiff Methodist Circuit Financial Statements 31 August 2023 GORDON DOWN & PARTNERS Accountants & statutory auditor 144 Walter Road Swansea SA1 5RW
Cardlff Mathodist Circuit Financial Statements Year ended 31 August 2023 Page Trustees, annual report Independent auditorfs report to the members Statement of financial activities Statement of financial positi'on Statement of cash flows 10 15 16 17 Notes to the financial statements 18 The followlng pages do not fomi part of the financial statements Detailed statement of financial activities 28
Cardiff Methodist Circuit Trustees, Annual Report Year ended 31 August 2023 Introductlon The trustees present their report wrth the financial statements of thg charity for the year ended 31 August 2023. The truste8s have adopted the provisions ofAccounting and Reporting by Charities: Slatement of Recommended Practice applicable to charities preparing their accounts in accordan with the Financial Reporting Stsndard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). The Cardiff Methodist Circutt is the primary unit in which the local Methodisl churches within Cardiff and Caerphilly express and experience their interconnection in the Body of Christ, for purposes of mission. mutual encouragement and help. It is in the CirGuit that the ministers are stationed and local preachers are trained, admitted and exercise their calling. The purposes of the Circuit indude the effective deployment of the resources of ministry, which include people. property and finan. as they relate to the Methodist churthes in Cardiff & Caerphilly lo churches of other denominations and to participation in the life of the communities served by the Circuit, including lo(1 schools and colleges and in ecumenical work in the area. Aims and Organisation The purposes of the Methodist Church are the adVanrnent ofr a) The Christian faith in accordance with the doclrinal standards and discipline of The Methodist Church., b) Any charitable purpose for the time being of any cOnneonal, DistricL Synod. Circuit. local or other organisation of The Methodist Church" c) Any Gharitable purpose for the time being of any sooety or institution subsidiary or ancillary to The Meth¢)dist Church., d) Any purpose for the time being of any charity being a d)arity subsidiary or ancillary to The Methodist Church.
Cardiff Methodist Circuit Trustees, Annual Report (conun Year ended 31 August 2023 Slgnificant Activities The Circuit produces a quarterly preaching plan to ensure regular Acts of Worship take place at each of the Methodist Churches and Local EcumeniGal Partnerships in ils geographical area. These are open to all people without charge. Worship is also provided for Young People at Youth Spa. The Circuit aims to encourage the nurture of and witness to families through the local churGhes and also to young people through Youth Spa. The Children's and Youth work is achieved through the emplonent of a Lay Worker who works alongside volunteers across the circuit delivering acSsible worship and other youth work. This is currently funded by the Circuit with an annual grant from the Wales Synod and appropriate training is offered. To deliver worship to every church in the circuit each week. We deliver worship by appointing Ministers and training Local Preachers. There is also a regular meeting of all preachers to encourdge In-servi developm8nt. (iv) The Circuit is involved in a wide range of outreach activities. in acmrdance with rts charitable purposes, mainly through the work of individual churches. There is Circuit-wide project in the Trinity Centre which provrdes services for refugees and asylum seekers residing in Cardiff. More will be said about the Trinity Centre below. The Cirwit is involved in the work of the Church of the Resurrection and Pontprennau Community Church through work with ecumenical partners who are part of the Covenanted Churches in Wales group. Both these churches are way ocumenical partnerships in which the Methodist Church is one participating denomination. The M8th¢)dist Church owns the Pontprennau building. (v) Public Benefrt The trustees of the Methodist Church had due regard to the public ben&fit guidan published by the Charity Commission in Complian with its duties under section 17 of the Charities Act 2011. This guidance sets oul 2 key principles- 1. The organisation must have an identifiable benefit 2. The benefit must be to the public or a seclion of the public. The church exists, inter alia to: 1. Increase awareness of God's presen and to celebrate G¢)d's love.. 2. Help people to leam and grow as Christians, through mutual support arKI care., and 3. Be a good neighbour to people in need and challenge injustice. The Irustees consider that for these reasons the charity meets these wbliG benefft requirements.
Cardiff Methodist Circuit Trustees. Annual Report l¢oftJnu8d) Year ended 31 August 2023 Charitable activities a. The Trinity Centre 'Sanctuary for All. project is now fully funded with o)nstruction having commenced in January 2024 and estimated completion by January 2025. The Circuit has earmarked £230,000 from the sale of property for the project. The refurbished building will be used as a base for mission in the local area particularfy with refugees and asylum seekers. b. Since September 2019 the circuit ministerial staff has included one minister who is 500k circuit and 50% pioneer. Her pioneering role was initially focussed on a fast- developing new housing estate named Plasdwr in the Radyr area of Cardiff. This work was significanuy affected by the covid pandemic but has thrived nonetheless. Other pioneering work has developed as offshoots of the work on the housing estate and has reached many people who would not easily engage with "traditional" or "established. church. Financlal Revlew of the Year The Circuit had an overall deficrt for the year. before transfers. of £87.270. This was a planned deficit giving churches time to rebuild their reserves after the struggles of Covid followed by quite high levels of inflation. The overall fInanS of the Circuit include the Trinity Project- a Centre in Adamsdown serving the local community where a high level of refugees and asylum seekers reside. This building currently has a large refurbishment project which will be ongoing through 202&5. The figures for the Trinty Centre are included as restricted funds. Income Trends CirGuit income is primarfly dravm from the assessment paid by the Circuit churches which amounted to £280.900 in 2022-3. Funds are also received through the rental of six properties that were previously manses. Expenditure Trends Stipend expendff(ure has increased each financial year in line with conference approved increases - rdte of increase for 2022-3 was 7.83 % . 15.50/0 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. Other significant expenditure related to maintenance of property in the Circuit.
Cardiff Methodist Circuit Trustees. Annual Report (conllnu8dJ Year ended 31 August 2023 Fund Balances As at 31 st August 2023 the net current assetslliabilities were as follows." Circuit Circuit Model Trust Fund Trinity Centre Total (1,134) 239,414 49.810 288.090 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 l orto be able to continue, in the short temi, funding planned activities in the event of any inabilrty to raise the ftjll Circuit Assessment from churches. As noted above the subsequent sale of one of our manses ensures reserves are in line with this policy. Plans for 20234 Circuit financial plans for the coming year have been prepared on the basis that there remains 5.16 full-time ordained staff with anticipated cr)st of living stipend increases combined with an increase in the assessment paid to the district such that and average 100/0 assessment increase has been requested frotn the Circuit churches. However, with the closure of two of the Circutt churches and the loss of related assessment income it is expected the Circuit will also experience a small deficit in 20234. Basls of Preparation and Legal Framework The Charity's annual reFK)rt and accounts for the year ended 31 St August 2023 have been prepared in accordance with the Charities Act 2011 and the Charities: Statement of Recommended Practi 2015 as applicable to the Financial Reporting Standard (FRS) 102
Cardiff Methodist Circuit Trustees, Annual Report f¢onUn Year ended 31 August 2023 Tha Trust&es' annual rep)rtwa5 apwovgy C...... oftrnstees ty". .. and siyned behatroftho b08rd R6vC Trustée
Cardiff Methodist Circuit Trustees, Annual Report (cortin Year ended 31 August 2023 Charity Reference and adminlstrative detalls Registered charity name: Cardiff Methodist Clrcuit Charity No. 1134236 Reglstered 10th February 2010 Correspondence Address: Cardiff Methodist Circuit office. Cyncoed Methodist Church. Westminster Crescent, Cardiff CF23 6SE Full List of Trustees is shown as Appendix A to this report Actlve Circuit Minlsters Rev. Catherine Gale Rev. Judith Holliman Rev. Alexis Mahoney Rev. Evelyn Bhajan Deacon Laura Evans Clrcuit Lay Workers Mr Gareth Knowles Circuit Stewards Mrs Janet Rees Mrs Marie Edwards Mr Stephen McElveen Mrs Beth Barry Mrs Wendy Bamise Admlnistrator Mrs Lisa Medina
Cardiff Methodist Circuit Trustees. Annual Report (condw Year ended 31 August 2023 Circuit Treasurer Mrs Wendy Barwise Auditor Gordon Down & Partners Investment bankers Central Finance Board of the Methodist Church Trustees for Methodist Church Putposes Lloyds Bank Reference and administratlve details
Cardiff Methodist Circuit Trustees. Annual Report (cooknwd) Year ended 31 August 2023 The trustees Cathy Gale- Minister Evelyn Bhajan - Minister Judith Holliman - Minister Alexis Mahoney- Minister Irfan John- Minister Laura Evans Minister (from 1° September 2022 Bethany Barry- Circuit Steward Wendy Barwise - Circuit Steward Marie Edwards - Circuit Steward Steve McElveen - Circuit Steward Janet Rees- Circuit Steward Catherine Dodd - Circuit Meeting Secretary Gauri Taylor-Nayar- Local Preacher Rep AnthonyThomas- Local Preacher Rep Maurice Wentworth - Local Preacher Rep Paul Demery- Safeguarding Rep Matthew Angilley- Cathays Stuart Cane- Cathays Martin Hunt- Cathay5 Susan Morris- Cathays Heather Cox- Conway Road Derek Perkins- Conway Road John Powell - Conway Road Peggy Lau - Cyncoed Carol Plumridge- Cyncoed John Plumridge- Cyncoed Terry Wing- Cyncoed Janice Perris- Llandaff North John Elias- Llandaff North Peter Richards- Uandaff North Deborah Witts- Uandaff North Liz Crispie- Llanishen Neil Lyle - Uanishen Hannah Ofoe- Uanishen Vera Ruddock- Llanishen Ann Thomas- Llanishen Diane Richards- Pontprennau
Cardiff Methodist Circuit Trustees. Annual Report (clyrn Year ended 31 August 2023 Susan Beavis - Radyr Christina Crow- Radyr Sylvia (Catherine) Hewett- Radyr Cath Taylor- Radyr Christopher Markall- St. Andrew's Lisa Medina- St. Andrew's Helen Tyler- St. Andrev¥s Karen smith - Taffs Well Peter Smith- Taffs Well Irene Welsby-Taffs Well SidneyChandler-WesleyCaerphilly Gillian Griffiths - Wesley Caerphilly Carol Pym- Wesley Caerphilly Ann Thomas- Wesley Caerphilly AndrewCross- Wesleycanton Ann Cross- Wesley Canton Graham Hosgood- Wesley Canton Paul Knight- Wesleycanton Murray Taylor- Wesley Canton Clive Carpenter- Whitchurch Allison Hill- Whitchurch Christine Stanley- Whitchurch Monica Symonds- Whitchurch The followinguntil 27July 2023. Muriel Fisher- Circuitsteward: Alison Hill- Ely Gareth Hill- Ely Roger Palmer- Ely Sandra Palmer- Ely Debbie Paul- Ely Alan Doble- Rumney Wendy Doble- Rumney Barbara Ward- Rumney Roslyn Forster- Taffs Well
Cardiff Methodist Circuit Trustees. Annual Report (Cotsllnued) Year ended 31 August 2023 10
Cardiff Methodist Circuit Independent Auditor's Report to the Members of Cardiff Methodlst C1ult Year ended 31 August 2023 Oplnion We have audited the financkal statements of Cardrff Methodist Circuit {the 'charity') for the year ended 31 August 2023 which comprise the stalefflenl of financial activities. statement of financial position. slalemenl of cash flows and the related notes. induding a summary of signrficant accounting policies. The financial reporting framework that has tEen applied in their preparation is applicable law and United Kingdom Accounting Standards. induding FRS 102 The Financial Reporting Standard applicable in the UK and Republic of IrelarKJ {Unileil Kingdom Generally Accepted Accx)unts'rKJ PraCe). In our opinion the finawal statements= give a true and fair view of the stale of the charity's affairs as at 31 August 2023 and of its incoming resources and application of reSrCes, induding its income arKI expenditure. for the year then ended., have been prop6tly prepared in acu)rdance wrth United lQllgJom Generally Acc*pted Accounting practi,. have been prepared in accordan th the requirements of the Charilth Act 2011. Basls for opinlon We conducted our audit in aol0rdar with Inlemalional Standards on Auditing IUKI (ISAS (UK)) and applicable law. Our reswnsibilities under those StarardS are further described in the auditor's respon5ibilllies for the audrt of the financial statements section of ryJr reF¥Jrt. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial stalemenls in the UK, including the FRC'S Ethical StaTMlard. and we have fuilled our other ethical responsibilities in accordance wtth these requirements. We believe that the audil evidence we have obtained is sufficient and appropriate to wovhle a basis for (wjr opinK)n. Concluslons r•lating to going concem In aLtditing the financial statements. we have conduded that the trustees, use ofthe golng concem ba51S of accounting in the preparatn of the finan21 statements is approwiate. Based on the work we have performed. we have not 1dentffjd any material unrtaint10S relating lo events or conditions that. individually or ojlectively. may (ast sIgnffanI doubl ow7 the charivs abilty to continue as a going concem for a period of at least tsvelve months from when the financial statements are 8Uthorised for issue. Our responsibilities and Ihe responsibilities of the trustees respoct to going corKEm are descrlbed in the relevant sections of this report. 11
Cardiff Methodist Circuit Independent Auditorfs Report to the Members of Cardiff Methodist Circuit I11ueQj Y•ar ended 31 August 2023 Other infonnation The other information comprises the information included in the annual reporL other than the financial statements and our auditorfs rewt Ihereon. The trustees are spOnSible for the other information. Our opinion on the financial statements does not Ver the other information and. except to the exlenl otherwise expliciUy stated in report. we do not express any fomi of assurance conclusion thereon. In connection with our audit of the financial staternents. our reswnsibilty is lo read the other information an¢Y. in doing so, consider whether the other ir)formation is materially inconsisteJ71 with the financial statements or our krK)wledge obtained in the audit or otherwise appears lo be materially misstated. If we identify such material inconsistencies (Y apparent material fflisstalements, we are required lo determine whether there is a material misstalement in the financial statements or a material misstatement of the other information.11. base(1 on the work we have performed. we conclude that there is a material misstatement of this other infomiation. we are required lo report that fact. We have nothing to report in this regard. Matters on which we are requirgd to report by exception In the light of the knowledge and understsnding of the chanty and its environment obtalned in the course of the audit, we have not identified material misslatements in the trustees. report. We have nothing lo resxjrt in res* of the ft)Ilowing matter5 in relation to which the Charities Act 2011 requires us to rem to you rf, in our opinion: Ihe information given in the Irustees. report is inconsrstent in any material respect with the financial staternenls.- or adequate accounting records have not been kept or the financial statements are not in 8greeftnt wlth the actounting records and retums" or we have not received all the infonnatk)n and explanations we require for our audit. Responslbilities of tru8tws As explained more fully in the trustees. responsibilities slatement. the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view and for such intem81 control as the trustees deterniine 15 necessary to enable the preparatron of financial statements that are free from material misstalemenL whether due to fraud or errcy. In preparing the financial staternenls. the twstees are responsible for assessing the charity's ability to continue as a going cA)ncern. disclosing. as applicable. matters related to going concern and using the going concern basis of accounting unles5 the trustees either intend lo liquidate the charity or lo cease op6rations. or have no realistic altemalive but lo do so. 12
Cardiff Methodist Circuit Independent Auditorfs Report to the Members of Cardiff Methodist Circuit (coniTnu8 Year anded 31 August 2023 Auditor's POnsIbl11t108 for the audh of the financlal statgmonts Our objectives are lo obtain reasonable assurance aljout whether the financial statements as a whole are free from material misstatement. whether due lo fraud or error. and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance. bul is not a guarantee that an audit conducled in accordance wilh ISAS {UK) will afvffiys delect a material misslatemenl when it exists. Misslatemenls can arise from fraud or error and are nsidered material rf, individually or in the aggregate, they Uld reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non<omplian with laws and regulations. We design proce(lures in line with our responsibilities. outlined above. to detect material misstatements in respect of irregularities. including fraud. The extent to which our proureS are capable of detecting irregularitres, including fraud is detailed below." Our audit procedures were designed to respond lo the identifd risks, induding non-complian with laws and regulations lirregulanties) and fraud that are malerial to the finaal statements. Our audit procedures induded. but were not limited lo: remaining alert to any indications of non-compliance throughout our audit.. considering the risk of acts by the Charity which were contrary lo applicable laws and regulations. including fraud- making enquiries of the injstees management on whether they had knowledge of any actual. suspected or alleged fraud.. gaining an understsnding of the intemal LX)ntrols established to mitigate the risks related to fraud and addressing the risks of fraud through managernent override of contro15 by performlng joumal enty testing. As part of an audit in accordance with ISAS (UK). we exerGrse professional judgment and maintain professional scepticism throughout the audf(. We also.. Identify and asse55 the risks of material misslatement of the financial statements, whelher due lo fraud or error. design and F*rform audrt prrKedures responsive to those risks. and obtain audit evidence that is sufficient and appropriate lo provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve ccAlusion. forgery. intentional omissh)ns. rnisrepresentations, or the override of intemal control. Obtain an understanding of intemal control relevant to the audf( in order to design audit procedures that are appropriate in the circumstances. M not for the pulpose of expressing an opinion on the effectiveness of the internal control. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting eslimales and related disclosures made by the trustees. Conclude on the appropriateness of the truslee8' use of tho wing concern basis of accounting and, based on the audit evidence obtained. whether a material uncertainty exists related to events or conditions that may cast signfficanl doubl on the charitys ability lo continue as a going concern. If we conclude that a material uncertainty exists. we are required to draw attention in our audttor's report lo the related disclosures in the financial statements or. rf such disclosures are inadequate. lo modfy our opinion. Our conclusions are based on the audit evidence obtained up lo the date of our audrtorfs report. However. future events or conditions may cause the charity to cease to ontinue as a going concem. 13
Cardiff Methodist Circuit Independent Auditor's Report to the Members of Cardiff Methodist Circuit (Gontinuedj Year ended 31 August 2023 Evaluate the overall presentation. Structu and content of the financial statements. including the disclosures, and whether the financial statements represent the undertying transactions and events in a manner that achieves fair presentalirjn. We communicate wtth those charged with govemartce regarding. among other matters. the planned scope and timing of the audrt and sonificant audit findings. including any Signifint deficiencies in intemal control that we idenlrfy during our audit. Use of OUT report This report is made soldy to the chariWs members, as a bo(Jy. in ardan wrth section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might stale lo the charity's members those matters we are required to stale lo them in an auditorfs report and for no other puq)ose. To the fullest exlenl permitted by law. we do not accept or assume responsibility lo anyone other than the chartty and the charity's members as a body. for our audit work. for this report. or for the opinions we have fomied. Gordon Down Partners Accountants & statutory auditor 144 Waller Road Swansea SA1 5RW 14
Cardiff Methodist Circult Statement of Financlal Activities Year ended 31 August 2023 2023 Unrestricted Restricted fvnds funds Total funds Total funds 2022 Income and endowments Donations and legacies Charitable activities Investment InMe Other income Total income 25.194 280.9CKI 77.910 128.774 31,803 2.261 153.968 312.703 80,171 152.652 311.387 58.028 1,719 163,438 Expenditure Expenditure on charitable activities Total expendlturo 547,442 523,788 471,541 471.541 168,372 168.372 639,913 639.913 561.643 561,643 Nel gains on investments 10 196.479 196.479 Net InCoM(0XpendItur0) 108.942 (4.934) 104,008 137,857) Oth8r recognlsed gains and losses (Lossesygains from revaluation of fixed assets (410.OCKI) (301.058) (410.000} (4,934) {305.992) 405.000 367.143 Net movement In fund¥ Rgconciliatlon of funds Total fvnds brought forward Totsl funds carrled forwanl 5.769,339 5.468,281 54.743 5.824.082 49,809 5.518,090 5,456.939 5.824.082 The statement of financial activities incfudes all gains and losses recognised in the year. Al income and expenditure derive from (xfynts'nuing activitigs. The notss on pages 18 to 27 fomi part ofthese flnan¢lal s&tsm•nts. 15
Cardiff Methodist Circult Statement of Financlal Position 31 August 2023 2023 2022 Fixed a8Bets Tangible fix8d a5s8ts 13 S,230,0 5.640,000 Current assets Debtors C8sh * bank and in hand 14 20,419 643.351 36.434 388,406 633.770 d24,840 Credltorn: amounts falllng du• withÈn one y•ar Nat curront 5•ts 15 345,680 288,090 240,758 1B4,082 Total assgts less current Ilabllltl•s 5.518.090 5,824,082 N•t a•¥#ts 5,518.090 5,824.082 Fund5 of the charfty Restn"cted funds Unroslri¢ted funds- Revaluation reserve Other unrestricted incc¥m$ fur 49.809 54,743 4.451,580 1,016.701 4,861,580 7,759 Total unrnstrf¢t•d funds 5.466,281 5.769.339 Total Charity fvnd¥ 16 5,518,090 5.824.082 These financlal statem•nts woro appred by Ihe tx)ard of trustees and aul1x for issue on 5 June 2024, and are signed on behalf of the Lh)8rd by. C Gale Twstee Mrs H Cox Trustee Thè on pagos 18 to27 forni part 01th8 Ilnanclal statsm8nt& 16
Cardiff Methodist Circuit Statement of Cash Flows Year ended 31 August 2023 2023 2022 Cash flow5 frorn operating actlvitles Net incomellexpenditure) Adjustments for.. Nel gains on investments Dividends. intergst and rents from investments Accrued in(x)me lo4.18 {37,857) (196.479) {80,171) {3,758) {86.656) (15.634) Changes in.. Trade and other debtors Trade and other creditors Cash generated from operations Net cash used in operating activittes 16.086 5,230 108.609 15.567) {51.7051 1140.484) (51.7051 (140,484) Cash flows from Inv08tlng ¥tivitios Dividends, intergsl and rents from investments Purchase of tangible assgts Proceeds from sale of propety Net cash froml{used in) investing activilres 80.171 86.656 1230,000) 196.479 276.650 1143,344) Cash flows from financing activltles Proceeds from borrowings Net Gash from financing activities 150.000 150,000 Net increa8el{decreasel in Gash and cash equivalents Cash and cash equivalents at beginnlng of yoar Cash and Gash equivalents at end of year 224,945 388,406 613.351 1133,828) 522.234 388,406 The notes on pag95 18 to 27 fomi part ofthw financlal statsments. 17
Cardiff Methodist Circuit Notes to the Financial Statements Year ended 31 August 2023 General Irrformatlon The charity is a public benefft entity and a registered charity in England an(J Waleg and is unincorporated. The address of the pnnapal office is Cyncoed Methodist Church. INestminsler Crescent. Cardrff, CF23 8SE. Statement of compllance Th8se financial ststement5 have tsen prepared in compliance th FRS 102, The Financial Reporting Standard applicable in the UK and the Republic of Ireland., the Statement of ReMrnended Practice ap$Icable to charities preparing their accounts in accordance wlth the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102) (Charities SORP {FRS 102)) and the Chariltes Act 2011. Accountlng poliGles Basls of preparatlon The financial statements have been wepared on the hisloriol cost basis, as modtried by the revaluation of certain financial assets and liabilities and investment properties measured al fair value through income or experKlilure. The financial statements are prepared in sterling, which 15 the futIOnal currency of the entity. Golng concem There are no material urKertainties about the charws ability to continue. Fund accountlng Unrestricted funds are availaLle for use at the discretion of the trustees to further any of the charity's purposes. Designated funds are unrestrrcted funds earrna by the tW$t for partkyjlar future project or commitsnenl. Restricted funds are subjected to restrictsons on theirexperKJiture dedared by the donor or through the terms ofan appeal, and fall into oftwo sutpdasses: resln.cted income funds or endowment funds. 18
Cardiff Methodist Circuit Notes to the Financlal Statements (C Year ended 31 August 2023 Accountlng policies (CQ•llnued) Incoming resources All incoming resources are included in the statement of financial aclivilies when enlitlemenl has passed to the charity., rt is probable that the economic benefits associated with the transaction will flow to the charity and the arnount be reliably measured. The following spectric policies are appl lo particular categories of irKome: income from donations or grants is recognised when th9re is evidence of enltuement lo the grft, receipt is probable, and its amount can be measured reliably. legacy income is recx)gnised when receipt is probable, and enliuemenl is established. income from donated goods is measured at the fair value of the goods unless this IS impractical to measure reliably. in which case the value is derived from the cost lo the donor or the estimated resale value. Donated facilities and seiceS are recognised in the accounts when received rf the value (zn be reliably measure(l. No amounts are included for the contribution of general volunteers. income from contracts for the supply of service5 is recognised wf(h the delivery of the contracted service. This rs dassrfied as unrestricted funds unless there is a conlraclual requirement for it to be spent on a particular purpose and relumed rf unsp8nl. in which case il may be regarded as restricted. Rosourc85 expended Expenditure is recognised on an accnjals basis as a liability is irKurred. Expenditure includes any VAT which cannot be fully recovered. and is das5rfied urKl8r headings of the statement of financkl activities lo which it relates.. expenditure on raising funds includes the costs of all fijndraising aclrvities. events. non- charrtable trading activities. and the sale of donated gocmls. expenditure on charitable activitS irKludes all cosls in(yJrred by a charity in undertaking aclrvilies that further its charitable aim5 for the benefit of ils beneficiaries. including those support costs and costs relab.ng lo the wvernanc* of the charity apportioned to charitable activrties. other expendrture indudes all expendrlure that is neither related to raising funds for the charty nor part of its expenditure on charitable actNilies. Al sts are allted to expenditure categories reflecting the uge of the resource. Direct co818 attrtbulable lo a single activity are alICed directly lo that activrty. Shared costs are apportioned between the activities they conlribute to on a reasonable. justrfiable and consislenl basis. 19
Cardiff Methodist Circuit Notes to the Financlal Statements (conffm Year ended 31 August 2023 AGry)unting policles (conVnuedJ Tangibl8 assats Manse5 and churches are shown atfair value using the Revaluation Mc*Jel_ It is the polity to carry out a professional valuation of these properties every five years. The trustees carry out a fair value and impairment review for each reporting period {alongside any professional valuations). Where this results in a carying value which difiers materially from that al the beginning of the period, adjustm6nl is made to the carrying value and corresponding enty in the revaluation reserve. 11 is considered that the residual vaues of the properties at the end of their useful lives wll be at a similar level as their current fair values. Costs of disposal are estimated at 5Yo of value. The land element is estimated at one-third of total value. The lrfe of the buildings is estimated at 100 years. Given these factCS. rt is Ixjnsidered that any resulb.ng depreciation would be immaterial on an annual ba51S. Further jusltfication for adopting this policy is that rt gives a mrNe meaningful result than charging an immateftal amount of depreciation on the buildings element of the properties, only lo value tho properties back lo fair value each year irrfomally. and every five years when professionally revalued. 11 is also the policy to maintain all buildings in condttion. a basis for assertsng no loss in residual values. Depreclatlon Depreciation is calculated 50 as lo wrtte off the cost orvaluation of an asset, lesg its residual value. over the useful economic lrfe of th21 asset. Impalnnent of flxed assets A review for indulors of impairment is carried out al eth rerM)rtrng date, with the reCoverale amount being estimated where such indicators exist. Where the carying value exceeds the recoverable amount, the asset is impaired acLordingly. Pr impainnents are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing. when f( is not possible to estimate the recoverable amount of an individual a55el. an estimate is made of reverae amount of the cash-generaling unit to which the asset belongs. The cash-generatiry unit is the smallest identifiable group of assets that inGludes the a85et and generates Gash inflows thal largely independent of the cash intlows from other assets or grwps of assets. For impairment testing of goo111. the goodwill a¢¥uired in a business combination is. from the acquisition date, allctaled lo each of the cash-generaling unils that are expected lo benefit from the synergies of the combination. irrespective of whether other assels or liabilities of the charity are assigned to those units. Flnanclal Instruments A financial asset or a financial liability is recognised only vthen the charity becomes a party to the contractual provisions of the instrument. Basic financtal instruments are initially regnISed at the amount receNable or payable including any related transaction costs. 20
Cardiff Methodist Circuit Notes to the Financial Statements (conwmx Year ended 31 August 2023 Accountlng policies (¢otilinuodJ Financial ingtrumonts (conUnuqdJ Current assets and current liabiltties are subsequently measured at the cash or other consideration expected lo be paid or received and nol diseAMJnted. Debt instruments are subsequenty measured at amortis&J cost. Where investments in shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequendy measur1 at fair value wth changes in fair value recognised in income and expenditure. All other such investments are subsequently measured al cost less impairment. Other financial instruments. including derivatives, are inttially recognised at fair value. unless payment for an asset 15 deferred beyond normal IsIneSS terns or financed al a rale of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a m8tket rate of interest for a similar debt instrument. Oiherfinancial instruments are gubsequenlly measured at fair value, wtth any changes recognised in the statement of financial activiknes. with the exception of hedgiry instruments in a designated hedging relationship. Financial assets that are measured at cost or amorbsed cost are reviewed for objective evidence of impairment al the end of each reporting dale. tf there is objective evidence of impairment, an impaimienl loss is recognised under the appyopriale heading in the ststement of financial aclNilies in whrch the initial gain was recognised. For all equity instruments regardless of $ignffic*nce, and otherfinancial assets that are individually signfficanl. these are assessed individually for impairment. Other financial assets are either assessed irKlividually or grouped on the basis of similar (¥111 risk chardCterOsti(s. Any reversals of impairmgnl are recognised immedialely. to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carying amount would have been had the impairnienl not previously been recognised. Donations. Grants andlogacles Unrestricted Fun05 Restricted Total Funds Funds 2023 Donations Donations arKI legacies 753 51.566 52,319 Grants Grants receNable 24.441 77.208 101,649 25.194 128.774 153.968 Unreslricted Funds Restricted Total Funds Funds 2022 Donatlons Donations and legacies 29.487 29.487 21
Cardiff Methodist Circuit Notes to the Financial Statements (COOtinu Year ended 31 August 2023 Donatlons. Grants and leg¥ies (Gvnllnuedj Unrestricted Funds Restricted Total Funds Funds 2022 Grnnts Grants receivable 123,165 123.165 152,652 152,652 Charltable activitles Unrestricted Funds Restricted Total Funds Funds 2023 Assessments on Churches Rental income 280,900 31.803 31,803 31,803 280.SY)O 312.703 Unrestricted Funds Restricted Total Funds Funds 2022 Assessments on Churthes Rental income 282,759 282.759 28,628 28.628 282.759 28.628 311.387 Investmenl income Urffestricted Restricled Total Funds Fund5 Funds 2023 Income from investment propertres Income from monetary investments 71.404 6,506 71,404 8,767 80.171 2.261 77.910 2.261 Unrestricted Funds Restricted Total Funds Funds 2022 Income from investment properties Income from monetary investments 56,820 1,208 56,820 1,208 58.028 58,028
Cardiff Methodist Circuit Notes to the Financial Statements (CORthdI Year ended 31 August 2023 Othor income Unrestric Funds Restricted Total Funds Funds 2023 Other charitable income 600 Unrestricted Funds Restricted Total Funds Funds 2022 Other charitable income 1.719 1.719 Expenditure on charitable actlvities by fund type Unrestricted Funds Restricted Total Funds Funds 2023 Christian Ministy 471.541 188.372 639,913 Unrestricted Restricted Total Funds Funds Funds 2022 Christian Ministy 561,643 561.643 Expenditure on charltsble actlvities by actlvfty type Activities undertaken Grant funding Total funds directly of activities 2023 Total fund 2022 Christian Ministy 639.1eii 753 639.913 561.643 10. Net gains on Investments Unrestricted Total Funds Unrestricted Total Funds FUlS 2023 Funds 2022 Galnslllosses) on investment property 1.479 196.479 23
Cardiff Methodist Circuit Notes to the Flnancial Statements (conthiue Year ended 31 August 2023 11. Staff costs 31.8.23 31.8.22 Wages and salaries ial seGurity costs Other pensron costs 205,770 14.711 39.9 203.691 14,917 41,680 260,471 260.288 The average monthly number of employees during the year was as follows.. 31.8.23 31.8.22 Ministers Adminislralor Children. Families & Youth Worker Trinty Centre workers 10 10 No employees received emolurnents in exLYSS of £80.OCM). or the above costs £175.606 rel*e to stipends pa lo ministers. £39,990 for their pension costs and £14.700 social securrty. A further £30,164 relates to staff costs ts the Trinty Centre paid out of its funds. 12. Trustge remuneration and exponses Each of the ministers of the Cirojil receNed a stipend for their services. The Cirojil Administrator also received a salary for her services. Trustees. expenses Each of the ministers. the Administrator and tsvo others. a total of nine trustees, have Incurred expenses on behalf of the Circuitfor travel, costs arKI ministy in the main and such expens ore reimbursed by the Circuit. 24
Cardiff Methodist Circuit Notes to the Financial Ststements (COthinu•dJ Year ended 31 August 2023 13. Tangible fixed assgts Free1Id FiXreS and Investment propety fittings property Total Cost Al 1 Sep 2022 Disposals Revaluations Transfers 4.225,WO ()0.000) {95,000) (1.420,CKIO) 2.410.000 4,361 1,415,000 5,644,361 {300,000) {15.000} (110.0001 1.420.0 2.820.000 At 31 Aug 2023 Depreciation At 1 Sop 2022 and 31 Aug 2023 Carrylng amount At 31 Aug 2023 At 31 Aug 2022 4.361 5,234,361 4.361 4,361 2.410,000 4.225,000 2,820,000 1,415.000 5.230.000 5.640.000 Tanglble flxed assets held at valuallon For investment properties whh existed prior lo 1 September 2000 their historic cost has not been ascertained. Subsequent cost of purchases and improvements amounts to £30.364 {2022'. £30.364). The investment prOpertS were last profess(onally valued at open market value by Croft Davies & Co NAEA in OctoberlNovember 2020 and reconsidered al 31 August 2023. It is the considered opinion of the trustees that the carrying value5 represent a fair value at 31 August 2023. The properties are not (wned outright by the Cardiff Melhodi5t Circuit bul by the Trustees for Methodist Church Purwses {TMCPI but il is a requirement of the Melhodist Church that the properties are induded in the accounts of the Cwcurt. 14. Debtors 2023 2022 Trade debtors Prepayments and accrued income 1,474 18.945 1.740 34,694 36,434 20.419 25
Cardiff Methodist Circuit Notes to the Financial Statsments (con11n) Year ended 31 August 2023 15. Cr¢ditors: amounts falllng due withln one year 2023 2022 Bank loans and overdrafts Payments received on account Accruals and deferred income Other creditors 150.QKIO 58.658 2.500 134.522 150,000 55.925 6.187 28,646 345.680 240.758 16. Analysls of charitable funds Unrestrlcted funds At 1 Sep 2022 Gains and At losses 31 Aug 2023 IrKome Expenditu Transfers General funds Circuit Model Fund Revaluatio reserve 763.619 185.294 {468.943) 100.837 196.479 777.286 144.140 198.710 {2.$98) (100.837) 239.415 4.861,580 {410.OCrfJ) 4.451,580 (213.521 } 5.468,281 5.769.339 384,004 (471.541 } At 1 Sep 2021 Gains and losses 31 Aug 2022 Income Expenditure Transfers General funds Circuit Mod Fund Revaluation reserve 826.962 523.786 (560.665) 101 (26.565) 763,619 145,219 {978) {101) 144.140 4.456,580 5.428.761 405,0 4,861,580 378.435 5.769,339 523.786 {561.6431
Cardiff Methodist Circuit Notes to the Financial Statements (condnw Year ended 31 August 2023 16. Analy8is of Gharitable funds icontsnued) Restricted funds At 1 Sep 2022 Income Expendrture Transfers 163,438 Gains arKI At losses 31 Aug 2023 Trinity Centre 54.743 (188.372) 49,809 At 1 Sep 2021 Income Expendrture Transfers Gains and At losses 31 Aug 2022 Trlnity Centre 28,178 26,565 54.743 17. Analys58 of change8 in net debt At At 1 Sep 2022 Cash flows 31 Aug 2023 388,408 224.945 1150.000) 238.406 Cash al bank and in hand Debt due within one year 613,351 {150,000) 463.351 224.945
Cardiff Methodist Circuit Management Inforniation Year ended 31 August 2023 The following pages do not forni part of the financial sL2tements. 28
Cardiff Methodist Circuit Detailed Statement of Flnancial Activities Year ended 31 August 2023 2023 2022 Incomo and endowments Donations and legacles Donatiolls and legaaes Grdnts receivable 52,319 101,649 153,g68 29.487 123.165 152.652 Charltable activltlgs Assessments on Churche5 280.900 282,759 Invgstmgnt Income Income from investment properties Income from monetary investments 71.404 8,767 85.448 1,208 80,171 86.656 Other Income Other charitable inwme 32.403 1,719 Total income 547.442 523,786 Expenditure Expenditure on charitablg actlvFties Wages and salaries Repairs and maintenance Other office costs Other expenditure District assessment levy Connexional assessment and model trust 286.999 136,991 2.415 138.691 8.676 66.141 288,659 112.917 6,197 80,643 8,773 64.454 639,913 561,643 Total expgndlture 639,913 561.643 Ngt gains on inve5trnents Gainslllosses) on investment propety 196.479 Net Incomel{gxpenditure} 104,008 {37.857) 29