## **REGISTERED COMPANY NUMBER: 07163237 (England and Wales) REGISTERED CHARITY NUMBER: 1134634**
**Report of the Trustees and**
**Unaudited Financial Statements for the Year Ended 28th February 2022**
**for**
**Grace Christian Trust**
**Grace Christian Trust**
## **Contents of the Financial Statements for the Year Ended 28th February 2022**
|||**Page**||
|---|---|---|---|
|**Report of the Trustees**|1|to|3|
|**Independent Examiner's Report**||4||
|**Statement of Financial Activities**||5||
|**Balance Sheet**||6||
|**Notes to the Financial Statements**|7|to|12|
## **Grace Christian Trust (Registered number: 07163237)**
## **Report of the Trustees**
## **for the Year Ended 28th February 2022**
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 28th February 2022. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
## **OBJECTIVES AND ACTIVITIES**
## **Objectives and aims**
The objectives of the charity are to advance the Christian faith and also to relieve sickness, hardship and promote and preserve good health.
## **ACHIEVEMENT AND PERFORMANCE**
## **Charitable activities**
The trustees of the Grace Christian Trust have the conviction that the message of historical Christianity - the news that Jesus Christ is the One who is God come to us, who died for a broken humanity, rose from the dead and brings forgiveness, transformation and life in all its fulness to those who trust Him - is the most wonderful message that could be communicated. Supporting the sharing of this message, through words and actions, is the overarching aim of the Grace Christian Trust.
On 1st April 2010, the trust purchased a freehold property in Chaldon Road, Caterham identified as a suitable site to develop a community and church centre.
The partner church appointed project managers and appointed architects to work on the project in January 2014. In July 2014 plans for redevelopment were finalised with the church congregation and in consultation with the broader community of Caterham.
Outline planning permission was granted in March 2015 and Grace Christian Trust organised the demolition of the old building on the site in May 2015 to make way for a new church building. On 15th June 2017, Grace Christian Trust donated the freehold land to Oakhall Church (Charity No 1156069) to allow the building of a new church facility and community centre to commence. In November 2018, the new church building in Caterham was opened. In that financial year, the trustees of Grace Christian Trust made a further donation to Oakhall Church towards the completion of the building project.
Subsequent projects have included donations to a church for the purchase of a building to use for Christian Conferences as well as a grant to arts groups who produce materials to communicate the Christian faith.
In the year covered by this report, the trustees approved:
**a)** A donation to a church for the development of a site where events will be organised for young people to hear more about the Christian faith;
**b)** A grant to buy humanitarian aid for families in financial difficulties in the Middle East;
**c)** A grant to help a family involved in church leadership in the Czech Republic to install a heating system in their home; **d)** Four micro-grants to help a church on the south edge of Croydon develop materials to invite guests to their events and help new followers of Jesus Christ to grow in their faith.
**e)** A grant to help a church in south Serbia to purchase a vehicle
The trustees have identified a local problem regarding the provision of housing for those on lower or unstable incomes. For the year that follows, the trust aims to find and provide accommodation to help local families in the South Croydon area who are in need.
In performing their duties the trustees have had regard to the guidance issued by the Charity Commission on public benefit
## **FINANCIAL REVIEW**
## **Financial position**
The trustees report that the trust held total funds of £918,038 at the financial year end..
Page 1
**Grace Christian Trust (Registered number: 07163237)**
## **Report of the Trustees**
## **for the Year Ended 28th February 2022**
## **FINANCIAL REVIEW**
## **Investment policy and objectives**
Where the trust invests its own funds, these are invested to bring growth rather than income, taking a medium risk.
## **ETHICAL SCREENING:**
We ethically screen our investments to focus on:
- entities that have anti-bribery/corruption policies,
- that recognise international conventions on human rights and labour standards,
- that have ethical supply chain policies,
- are committed to fair wages
- and are socially beneficial in developing countries.
We avoid investing in companies that:
- operate in countries with oppressive regimes,
- breach regulatory guidelines,
- deny workers safety or the right of association,
- have any involvement in the manufacture or sale of armaments, pornography, tobacco, gambling, alcohol, the use of stem cells from human embryos or exploit animals.
## **ENVIRONMENTAL SCREENING:**
We also screen our investments regarding their impact on the environment. We seek out companies that have
- clear and positive environmental policies,
- develop solutions to enable cleaner or more efficient use of resources,
- farm organically and sustainably,
- provide mass-transport solutions,
- recycle waste
- or work with renewable energy technologies.
We avoid investing in companies that have:
- convictions for poor environmental management,
- have high-carbon impact,
- manufacture agro-chemicals,
- engage in intensive farming,
- develop GM seeds or crops,
- exploit habitats,
- mine
- or are involved in the production of oil and gas.
## **Reserves policy**
The trustees regularly review their ongoing cash resources that they have available and aim to hold sufficient funds to be able to meet approximately six months ongoing expenditure of the charity.
All the reserves of the charity are unrestricted.
## **FUTURE PLANS**
As noted earlier in this report the trustees have identified a local problem regarding the provision of housing for those on lower or unstable incomes. For the year that follows, the trust aims to find and provide accommodation to help local families in the South Croydon area who are in need
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.
Page 2
**Grace Christian Trust (Registered number: 07163237)**
## **Report of the Trustees**
## **for the Year Ended 28th February 2022**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Recruitment and appointment of new trustees**
New trustees are recruited as and when the current trustees deem it necessary. Any new trustees are appointed by passing an ordinary resolution at a general meeting of the company.
## **Organisational structure**
Currently the day to day management of the charity is undertaken solely by the trustees of the charity.
## **Induction and training of new trustees**
As part of the induction process new trustees are provided with a copy of the "Statement of Beliefs" that the Grace Christian Trust operates under. In addition new trustees are provided with Charity Commission documentation so that they have a full understanding of their responsibilities as trustees.
## **REFERENCE AND ADMINISTRATIVE DETAILS**
## **Registered Company number**
07163237 (England and Wales)
## **Registered Charity number**
1134634
## **Registered office**
Otford Manor Shorehill Knatts Valley Sevenoaks Kent TN15 6XF
## **Trustees**
A Mayo I W Mayo Mrs J F Mayo
## **Independent Examiner**
Jeremy Byers FCA Institute of Chartered Accountants in England and Wales Daniels & Co (Accountants) Limited Chartered Accountants 111a Station Road West Wickham Kent BR4 0PX
This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
25/11/2022
Approved by order of the board of trustees on ............................................. and signed on its behalf by:
............................................................................... A Mayo - Trustee
Page 3
## **Independent Examiner's Report to the Trustees of Grace Christian Trust**
## **Independent examiner's report to the trustees of Grace Christian Trust ('the Company')**
I report to the charity trustees on my examination of the accounts of the Company for the year ended 28th February 2022.
## **Responsibilities and basis of report**
As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under Section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under Section 145(5) (b) of the 2011 Act.
## **Independent examiner's statement**
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
1. accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the accounting requirements of Section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).
I have no concerns 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.
Jeremy Byers FCA Institute of Chartered Accountants in England and Wales Daniels & Co (Accountants) Limited Chartered Accountants 111a Station Road West Wickham Kent BR4 0PX
Date: .............................................
Page 4
## **Grace Christian Trust**
## **Statement of Financial Activities (Incorporating an Income and Expenditure Account) for the Year Ended 28th February 2022**
|2022
Unrestricted
fund
Notes
£
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
200,000
Investment income
2
10,535
**Total**
210,535
**EXPENDITURE ON**
**Charitable activities**
Grants to Christian Organisations
49,663
Other
7,122
**Total**
56,785
Net gains on investments
13,601
**NET INCOME**
167,351
**RECONCILIATION OF FUNDS**
Total funds brought forward
750,687
**TOTAL FUNDS CARRIED FORWARD**
918,038|2021
Total
funds
£
126,000
9,125
135,125
123,306
6,716
130,022
70,232
75,335
675,352
750,687|
|---|---|
The notes form part of these financial statements
Page 5
## **Grace Christian Trust (Registered number: 07163237)**
## **Balance Sheet**
## **28th February 2022**
|Notes
**FIXED ASSETS**
Investments
8
**CURRENT ASSETS**
Cash at bank
**CREDITORS**
Amounts falling due within one year
9
**NET CURRENT ASSETS**
**TOTAL ASSETS LESS CURRENT LIABILITIES**
**NET ASSETS**
**FUNDS**
10
Unrestricted funds:
General fund
**TOTAL FUNDS**|2022
Unrestricted
fund
£
659,717
260,359
(2,038)
258,321
918,038
918,038
918,038
918,038|2021
Total
funds
£
638,137
115,397
(2,847)
112,550
750,687
750,687
750,687
750,687|
|---|---|---|
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 28th February 2022.
The members have not required the company to obtain an audit of its financial statements for the year ended 28th February 2022 in accordance with Section 476 of the Companies Act 2006.
The trustees acknowledge their responsibilities for
- (a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and
- (b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.
These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.
25/11/2022
The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:
............................................. A Mayo - Trustee
The notes form part of these financial statements
Page 6
**Grace Christian Trust**
## **Notes to the Financial Statements**
## **for the Year Ended 28th February 2022**
## **1. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.
## **Going concern**
The trustees consider that there are no material uncertainties regarding the charity's ability to continue as a going concern.The trustees aim to achieve a financially sustainable position and believe that they have sufficient liquidity in its net assets to ensure that charitable company can meet is obligations for the next 12 months and beyond.
## **Income**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
## **Expenditure**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
## **Taxation**
The charity is exempt from corporation tax on its charitable activities.
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
## **Investments**
Fixed asset investments are measured initially at cost and subsequently at fair value (their market value) at the reporting date.
## **Basic financial instruments**
Financial assets and financial liabilities of the charity are classified as "financial instruments" by FRS102.
Basic financial instruments typically represent, cash, bank deposits, debtors (trade debtors and loans receivable) and creditors (trade creditors and loans payable). These are accounted for at the amount receivable or amount payable.
continued...
Page 7
**Grace Christian Trust**
## **Notes to the Financial Statements - continued**
## **for the Year Ended 28th February 2022**
## **2. INVESTMENT INCOME**
|Investment income - dividends
Investment Income - interest
**GRANTS PAYABLE**
Grants to Christian Organisations
The total grants paid to institutions during the year was as follows:
Christian Arts and Drama Group - Outside UK
Church Building Project - Outside UK
Micro grants to local UK churches
Humanitarian aid grant to a church in the Middle East
The total grants paid to individuals during the year was as follows:
Supporting national church leadership in the Czech Republic
Supporting national church leadership in Serbia||2022
£
6,646
3,889
10,535
2022
£
49,663
2022
£
-
33,264
691
4,051
38,006
2022
£
8,700
2,957
11,657|2021
£
5,545
3,580
9,125
2021
£
120,769
2021
£
704
120,065
-
-
120,769
2021
£
-
-
-|
|---|---|---|---|
## **3. GRANTS PAYABLE**
## **4. NET INCOME/(EXPENDITURE)**
Net income/(expenditure) is stated after charging/(crediting):
|Independent Examination|2022
2021
£
£
900
900|
|---|---|
|Foreign Exchanges (Gains)/Losses|(532)
2,448|
|Investment Management fees|6,658
5,816|
continued...
Page 8
**Grace Christian Trust**
## **Notes to the Financial Statements - continued for the Year Ended 28th February 2022**
## **5. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 28th February 2022 nor for the year ended 28th February 2021.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 28th February 2022 nor for the year ended 28th February 2021.
## **6. STAFF COSTS**
The trust has no employees (2021: nil).
## **7.**
## **COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
||Unrestricted|
|---|---|
||fund|
||£|
|**INCOME AND ENDOWMENTS FROM**||
|Donations and legacies|126,000|
|Investment income|9,125|
|**Total**|135,125|
|**EXPENDITURE ON**||
|**Charitable activities**||
|Grants to Christian Organisations|123,306|
|Other|6,716|
|**Total**|130,022|
|Net gains on investments|70,232|
|**NET INCOME**|75,335|
|**RECONCILIATION OF FUNDS**||
|Total funds brought forward|675,352|
|**TOTAL FUNDS CARRIED FORWARD**|750,687|
|||
continued...
Page 9
**Grace Christian Trust**
## **Notes to the Financial Statements - continued**
**for the Year Ended 28th February 2022**
## **8. FIXED ASSET INVESTMENTS**
|**FIXED ASSET INVESTMENTS**||
|---|---|
||Listed|
||investments|
||£|
|**MARKET VALUE**||
|At 1st March 2021|638,137|
|Additions|88,121|
|Disposals|(68,359)|
|Revaluations|1,818|
|At 28th February 2022|659,717|
|**NET BOOK VALUE**||
|At 28th February 2022|659,717|
|At 28th February 2021|638,137|
Investments are measured at historic cost when acquired and subsequently stated at fair value at the end of the financial year.The fair value is measured by using quoted market prices in an active market.
All investments held are listed investments.
Had the investments been measured at historical cost, the amounts would be:
||2022|20211|
|---|---|---|
||£|£|
|Cost|613,068|582,578|
||||
|Cost or valuation at 28th February 2022 is represented by:
Valuation in 2022|Listed
investments
£
659,717||
continued...
Page 10
**Grace Christian Trust**
## **Notes to the Financial Statements - continued for the Year Ended 28th February 2022**
## **9. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|Accruals and deferred income
**MOVEMENT IN FUNDS**
**Unrestricted funds**
General fund
**TOTAL FUNDS**
Net movement in funds, included in the above are as follows:
Incoming
resources
£
**Unrestricted funds**
General fund
210,535
**TOTAL FUNDS**
210,535
**Comparatives for movement in funds**
**Unrestricted funds**
General fund
**TOTAL FUNDS**
Comparative net movement in funds, included in the above are as follows:
Incoming
resources
£
**Unrestricted funds**
General fund
135,125
**TOTAL FUNDS**
135,125|2022
2021
£
£
2,038
2,847
Net
movement
At
At 1/3/21
in funds
28/2/22
£
£
£
750,687
167,351
918,038
750,687
167,351
918,038
Resources
Gains and
Movement
expended
losses
in funds
£
£
£
(56,785)
13,601
167,351
(56,785)
13,601
167,351
Net
movement
At
At 1/3/20
in funds
28/2/21
£
£
£
675,352
75,335
750,687
675,352
75,335
750,687
Resources
Gains and
Movement
expended
losses
in funds
£
£
£
(130,022)
70,232
75,335
(130,022)
70,232
75,335|
|---|---|
## **10. MOVEMENT IN FUNDS**
continued...
Page 11
**Grace Christian Trust**
## **Notes to the Financial Statements - continued**
## **for the Year Ended 28th February 2022**
## **11. RELATED PARTY DISCLOSURES**
The trust received donations of £200,000 in the year ended 28th February 2022 from related parties. The donations received had no conditions attached to them.
Mr I W Mayo is a trustee of Oakhall Church (Charity No 1156069) and The Oaks Christian Trust (Charity No 272377).
Mr A Mayo is a trustee of Stewards Company Limited (Charity No 234558).
Page 12