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DANE & TRENT METHODIST CIRCUIT
FINANCIAL STATEMENTS
For the Year ending 31[st] August 2023
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Introduction
The Trustees of the Dane & Trent Circuit present their annual report together with financial statements for the year ended 31[st] August 2022.
Mission Statement
As a Circuit we are committed to building up thriving and effective Christian communities which aim to love God, serve Christ and love people - in whatever different ways that demands and takes.
Aims and organisation
The purposes of the Methodist Church are and shall be deemed to have been since the Date of Union and are defined in the 1976 Methodist Church Act 1976 (Section 4). They are the advancement of –
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(a) The Christian faith in accordance with the doctrinal standards and the discipline of the Methodist Church;
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(b) Any charitable purpose for the time being of any Connexional, District, Circuit, local or other organisation of the Methodist Church;
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(c) Any charitable purpose for the time being of any society or institution being a society or institution subsidiary or ancillary to the Methodist Church;
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(d) Any purpose for the time being of any charity being a charity subsidiary or ancillary to the Methodist Church.
It will achieve these aims through –
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The organising and resourcing of regular public acts of worship open to members of the Church and non-members
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The teaching of Christianity through sermons, courses and small groups
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The resourcing of pastoral work including visiting the sick and bereaved
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Taking religious assemblies in local schools
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The promotion of Christianity through the staging of events and services
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The provision of chaplaincy services where appropriate
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The employment of lay and ordained staff to enable the Circuit and churches to achieve the aims stated above
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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.
Trustee Training
A range of guidance produced by Methodist Connexion to support the effective running of the circuit, specifically the leaflet The Role of a Trustee in The Methodist Church is available to all new Circuit meeting members as induction to their role as trustees.
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Related Parties
The Circuit is part of the Chester & Stoke-on-Trent District and is also accountable to the Methodist Conference.
The following Methodist Churches are linked to the circuit:
Biddulph
Bosley
Brookhouse Green
Cloud
Davenport
Goostrey Hill Top (Biddulph Moor)
Holmes Chapel
Key Green
Lower Withington
Middlewich
Mow Cop
New Road (Biddulph Moor)
Rood Lane (Congleton) Trinity (Congleton)
Wellspring (Congleton)
The members of the Dane & Trent Methodist Circuit meeting are the Charity Trustees, membership being made up of circuit office holders, ministers and representatives appointed by the local churches.
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Circuit Ministers and officers
| Active Circuit Ministers: | Rev Yvonne Pearson (Superintendent Minister) |
|---|---|
| Rev Anne Coates | |
| Rev Nic Langton-Miller | |
| Rev Tim Simms | |
| Rev Margaret Eaton (Part Time) | |
| Circuit Lay Workers: | Julia Tomes |
| Lynn Tindale | |
| Administrators: | Rebecca Taylor |
| Circuit Stewards: | Lisa Kennerley (Senior Steward) |
| Brian Donlon | |
| Rose Goodwin | |
| Mark Owens | |
| Amanda Peters | |
| Kath Salt | |
| Circuit Treasurer | John Duley |
John Duley Circuit Treasurer acted as the principal officer overseeing the day to day financial management and accounting for the circuit during the year.
Independent examiner
Michael John Collier, 59 Ravenscroft, Holmes Chapel, Cheshire
Bankers
| Investment Bankers | Central Finance Board of the Methodist Church |
|---|---|
| Trustees for Methodist Church purposes | |
| Bankers | National Westminster Bank pic |
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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 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.
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:
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The care and nurture of, and respectful pastoral ministry with, all children, young people and adults.
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The safeguarding and protection of all children, young people and adults when they are vulnerable.
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The establishing of safe, caring communities which provide a loving environment where there is informed vigilance as to the dangers of abuse.
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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.
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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.
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We will seek to work with anyone who has suffered abuse, developing with them an appropriate ministry of informed pastoral care.
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We will seek to challenge any abuse of power, especially by anyone in a position of trust.
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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.
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In all these principles we will follow legislation, guidance and recognised good practice
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Safeguarding
The Dane & Trent Circuit commits itself to ensuring the implementation of Connexional Safeguarding Policy; government legislation, guidance and safe practice in the circuit and in the churches.
The Dane & Trent 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.
Data Protection (GDPR)
The circuit has undertaken extensive reviews of all documentation held by the circuit and its churches. This has identified all data which would be available to the wider public so that formal agreement could be obtained in respect of the publication of personal information.
There are ongoing reviews to ensure that data is accurately maintained. Details of the required retention periods has been provided along with the means to destroy data which is no longer required.
Equality and Diversity
Ministers and Circuit/Church stewards will be required to undertake the training provide by the Methodist Church.
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Brief financial review of the year
The financial outcome of the year in terms of the main expenditure area of salaries, manse utilities, were in line with the budget.
The churches within the circuit have all returned to face to face services following the pandemic however many are still seeing the impact on numbers and income.
Income trends
Circuit income is primarily drawn from the assessment paid by the circuit churches. To support churches recover from the COVID Pandemic assessments were maintained at the previous years levels. Total income from assessments totalled £242618.
Expenditure trends
Stipend expenditure has increased each financial year in line with conference approved ' increases. Likewise Lay Worker salaries were increased in line with the Living Wage. To support ministers following the increased cost of living an addition £1000 payment was made to them and for Lay workers the increase in the Living Wage was implemented from October 2022.
Circa £54k 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.
Fund balances
As at 31 August 2023 the net current assets held within the Bank and CFB accounts of the Circuit were £127k, giving approximately 12 months cover for expenditure.
Plans for 2023/24
Circuit assessments will be increased by a flat rate of 2.5%. There will be a focus on recruiting ministers to replace the Superintendent Minister, who is retiring and the filling of the other ministerial vacancy. Sums of monies have been ring fenced to aid churches with short term financial issue and to support further lay worker employment.
Basis of preparation and legal framework
The Charity's annual report and accounts for the year ended 31 August 2023 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
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Name of Circuit: DANE & TRENT Circuit No 11/05
Statement of Financial Activities (SOFA) for the year ended 31 August 2023
Notes to Circuit Model Designated
the General Fund Trust Funds Restricted Endowment Total
accounts (Unrestricted) (Unrestricted) (unrestricted) Funds Funds 2022-23
£ £ £ £ £ £
Income
1 Donations and legacies 0
2 Income from monetary investments 2,284 10,944 2,210 15,438
3 Income from investment properties 0
4 Assessments on Churches 247,065 247,065
5 Capital Receipts 0
6 Grants received 11,857 11,857
7 Other charitable income 2,679 25 2,703
8 Total income 263,885 10,944 25 2,210 - 277,063
Expenditure
9 Grants and donations 0
10 Salaries and associated costs 203,581 203,581
11 Property maintenance 11,834 11,834
12 Connexional assessment & model trust levy 23,025 196 23,221
13 District Assessment & Levy 54,112 54,112
14 Depreciation 0
15 Office expenses 5,310 5,310
16 Other outgoings 13,482 13,482
17 Total charitable expenditure 288,320 23,025 0 196 0 311,541
18 Gains/(losses) on monetary investments 0
19 Gains/(losses) on investment properties
20 Net income/(expenditure) -24,435 -12,081 25 2,013 0 -34,478
21 Transfers between funds 50,000 - 50,000 0
22 Other gains/(losses)
23 Net movement in funds 25,565 -62,081 25 2,013 0 -34,478
24 Total funds brought forward 100,106 408,156 1,027 68,839 578,128
25 Total funds carried forward 125,671 346,075 1,052 70,852 - 543,650
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| Name of Circuit: DANE & TRENT | Circuit No | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| **Balance ** | Sheet as at 31 August 2023 | ||||||||
| Notes to the | General Fund (Unrestricted) |
Circuit Model Trusts (Unrestricted) |
Designated Funds (Unrestricted) |
Restricted Funds |
Endowment Funds |
Totals 2022/23 |
Totals 2021/22 |
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| Accounts | £ | £ | £ | £ | £ | £ | £ | ||
| Fixed Assets | |||||||||
| Circuit Manses & Equipment | 1,664,669 | 1,664,669 | 1,664,669 | ||||||
| Investmentproperties | 0 | ||||||||
| Investments | 0 | ||||||||
| Total fixed assets | 1,664,669 | 0 | 0 | 0 | 0 | 1,664,669 | 1,664,669 | ||
| Current Assets | |||||||||
| Debtors | 26,056 | 26,056 | 24,964 | ||||||
| Loans bythe Circuit | 0 | ||||||||
| Investments with TMCP | 346,075 | 70,852 | 416,927 | 476,995 | |||||
| Central Finance Board Deposits | 60,078 | 60,078 | 20,928 | ||||||
| Cash at Bank and in hand | 67,785 | 67,785 | 80,205 | ||||||
| Total current assets | 153,919 | 346,075 | 0 | 70,852 | 0 | 570,846 | 603,092 | ||
| Current liabilities | |||||||||
| Creditors (due in under 1 year) | 113 | 113 | 4,114 | ||||||
| Grantspayable within 2022-23 | 0 | ||||||||
| Total current liabilities | 113 | 0 | 0 | 0 | 0 | 113 | 4,114 | ||
| Net current assets/liabilities | 153,806 | 346,075 | 0 | 70,852 | 0 | 570,733 | 598,978 | ||
| Total assets less current liabilities | 1,818,475 | 346,075 | 0 | 70,852 | 0 | 2,235,402 | 2,263,647 | ||
| Long term liabilities (due after more than oneyear) |
|||||||||
| Grantspayable after 2022-23 | 0 | ||||||||
| Loans to the Circuit | 0 | ||||||||
| 1,818,475 | 346,075 | 0 | 70,852 | 0 | 0 2,235,402 |
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| Net assets | 2,263,647 | ||||||||
| Funds of the Circuit | |||||||||
| General Fund(Unrestricted) | 1,818,475 | 1,818,475 | 1,785,625 | ||||||
| Circuit Model Trust Fund (Unrestricted) | 346,075 | 346,075 | 408,156 | ||||||
| Designated Funds(Unrestricted) | 0 | 0 | 1,027 | ||||||
| Total Unrestricted Funds | 2,164,550 | 2,194,808 | |||||||
| Restricted Funds | 70,852 | 70,852 | 68,839 | ||||||
| Endowment Funds | 0 | 0 | |||||||
| Total Funds | 1,818,475 | 346,075 | 0 | 70,852 | 0 | 2,235,402 | 2,263,647 | ||
| Signed | |||||||||
| Circuit Treasurer |
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10
NOTES TO THE ACCOUNTS
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The salaries paid to ministers was £117059; National Insurance £10865, Pension Contributions £30499. Lay Worker salary costs were £29811. We were charged an Apprentice Levy of £724. Pay costs increased this year following the appointment of an additional minister.
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The water bills paid for our four manses totalled £2104; Local Authority rates were £10135. Other manse expenditure this year totalled £11834.
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Other outgoings included £3920 for telephone calls/provision; £2475 for supernumerary preaching fees, travel expenses of £7015. Following the sale of Bradshaw Brook there were some further recharges during the year giving a positive balance of £1834 from closed churches. We continue to fund regular maintenance of the Lask Edge graveyard.
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Fixed Assets – Where the actual cost of manses is known these have been used. In other cases the deemed costs established at 1[st] September 2015 have been used
Actual purchase cost of one manse in 2019, £317,500 Deemed Cost based on 1[st] September 2015, three manses £1,347,169 a total of £1,664,669
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The Debtors figure of £26056 represents church assessments paid in advance prior to the new financial year along with two accounts paid in advance.
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The £1052 in the designated funds is Circuit Weekend monies that are now in the Circuit accounts
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Restricted Funds Richard Hickson Bequest
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The bequest was the sum of £68529.30
Interest for the year was £2013. Under the terms of the Bequest this income is to be used in the Middlewich area.
Reserves Policy
The Reserves Policy for the Circuit is to hold a minimum sum of £70,000 equivalent to 3 months' average expenditure. This should be sufficient to meet any unforeseen item of major expenditure or of any inability to raise the full Circuit Assessment from churches.
A further £50000 is to be held in reserve for support to churches with short term cash flow issues
£106000 is set aside for the employment of new Lay Workers (these to be approved by the Circuit Meeting)
A benevolent fund is held with a current balance of £2,320
Following a donation a sum of money is set aside for outreach activities especially with young people with an available balance of £654
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