Finance and Trustee Report for St Nicholas’ Church, Nottingham 2021
Annual Report 2021
This report sets out matters on which we are required to report in order to comply with Charity Commission and Church of England requirements. We encourage you to read it and to bring any questions or comments you may have to the Annual Parochial Church Meeting on Tuesday 10[th] May 2022.
We will also produce a report that gives an account of the life of the church which will be available in due course.
St Nicholas’ Church is an Anglican Church in the Diocese of Southwell and Nottingham and a charity registered in England and Wales number 1134708
Contents
| 1. | Reference and administrative details of the charity, its trustees and advisors.............................. 3 |
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| 2. | Structure, Governance and Management ...................................................................................... 4 |
| 3. | PCC Report ...................................................................................................................................... 5 |
| 4. | Statement of responsibilities of the PCC ........................................................................................ 7 |
| 5. | Objectives and activities ................................................................................................................. 8 |
| 6. | Achievements and Performance ..................................................................................................... 8 |
| 7. | Financial Review ............................................................................................................................ 12 |
| 8. | Independent Examiners Report .................................................................................................... 13 |
| 9. | Accounting Policies and Disclosures ............................................................................................. 15 |
| 10. | Statement of Financial Activities .............................................................................................. 17 |
| 11. | Balance Sheet ............................................................................................................................ 17 |
| 12. | Notes to the Accounts..................................................................Error! Bookmark not defined. |
| 13. | 2021 Accounts in Summary ...................................................................................................... 23 |
| 14. | Church Workers Pension Fund (CWPF) ..................................................................................... 23 |
| 15. | Nottingham South Deanery Synod 2021 Report ...................................................................... 25 |
| 16. | Churchwardens Report 2021 .................................................................................................... 26 |
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- Reference and administrative details of the charity, its trustees, and advisors
Charity Name and Address
St Nicholas’ Parochial Church Council, 79 Maid Marian Way, Nottingham, NG1 6AE. The PCC is registered with the Charity Commission under Charity number 1134708.
Charity Trustees
The members of the PCC are classed as the trustees of the charity and their names are listed below.
Bankers
Our current accounts are held by
Santander UK plc, Bootle, Merseyside L30 4GB
Charities Aid Foundation, West Malling, Kent ME19 4TA
Our deposit account is held by
The Church of England Deposit Fund
St Alphage House, 2 Fore Street, London EC2Y 5AQ
Auditors
As the income for the year ended 31[st] December 2021 was below £1m, the accounts are not required to be audited. An independent examination of the records was carried out by Chris Nurden.
Clergy Licensed to the Parish
Rev’d Canon Steve Silvester Rector Rev’d Dr Ian Paul Associate Minister Rev’d Francis Finn Curate
Day-to-day Management
Day-to-day management of the charity is delegated to the Rector in conjunction with the Staff Team. At 31[st] December 2021, the staff team consisted of the above plus:
| Dave Hepworth | Operations Manager |
|---|---|
| Mike Kirk | Administrator |
| Rich Wood | Children and Families’ Minister |
| Ben Lees | Worship and Creative Media Lead |
| Kez Nightingale | Student Worker |
| Daniel Bocchetti | Ordinand |
| Angelika Bocchetti | Ordinand |
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Ellie Winfield Refugee Worker Sarah Tuffnell Social Media and Communications Andrew Lowe Cleaner Esther Townsend Students and Youth
PCC members 2021/2022 (ex-officio members plus 10 elected lay-representatives and 4 Deanery Synod representatives):
Ex-officio Clergy Rev’d Canon Steve Silvester (Incumbent); Rev’d Dr Ian Paul (Associate Minister) Ex-officio Wardens Juliet Wright and Alison Fletcher Deanery Synod Reps Cat Cooper, Peter Bates, Marsha Farmer, Trevor Peel Members until 2022 APCM Adam Thomas, Karen Pheasant, Cat Cooper Members until 2023 APCM Juliet Wright, Sarah McCracken, Fatimah Mansouri, Peter Bates, Marsha Farmer
Members until 2024 APCM Alison Fletcher, Trevor Peel, Dave Wakefield, Martyn Paradise
Co-Opted None
- Structure, Governance and Management
Governing Constitution
Parochial Church Council (Powers) Measure 1956.
Risk Management Assessment
In common with all other organisations the PCC is potentially at risk from a number of sources. The church operations manager, together with the Treasurer are responsible, on behalf of the PCC, for ensuring that these risks are managed so as not to expose the PCC to undue risk and that the PCC is in a position to correctly deal with any situation that may arise. Risks have been assessed and mitigated. Examples of areas that are kept under review include:
- Financial Strategy. Ensuring that we have sufficient reserves to meet expenditure and that income levels are maintained. Regular management
accounts are supplied to budget holders and PCC.
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Data and Copyright Protection. Ensuring that we comply with all current regulations
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Employment Regulations. Ensuring that current regulations are complied with, and contracts are honoured.
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Insurance. Insurance levels are reviewed annually.
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Property. Buildings are professionally surveyed every 6 years and a rolling maintenance plan developed.
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Safeguarding. A policy is in force for the protection of children and vulnerable adults in the care of the PCC and its volunteers. Safeguarding Officers are appointed by the PCC and
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are responsible for ensuring the policy is enforced.
- Internal Financial Control. Expenditure is reported against budget and monies received. Bank statements are reconciled monthly, and two signatures are required on all cheques and the approval of two individuals is required for all electronic payments. Cash is banked promptly. Deposits may only be held with the Central Board of Finance or a UK Clearing Bank.
Organisational Structure
The PCC operates through the staff team along with individual church members responsible for particular areas of the church’s ministry. The standing committee, consisting of the Rector, the church wardens, the PCC secretary, and the Treasurer is a committee required by law. It has the power to transact the business of the PCC between its meetings, subject to any directions given by the council. The standing committee meets between meetings of the PCC.
Budget Authority
The PCC subscribes to the Evangelical Alliance and to the EA Basis of Faith Statement.
Trustee Appointment
Any person of the Electoral Roll of the parish may stand for election to the PCC. There are 10 ‘ordinary’ elected members of the PCC, members who serve for a period of three years. Also, ex-officio members of the PCC are: clergy licensed to the Parish, church wardens and members of deanery or diocesan synod. Elections take place at the Annual General Meeting. All candidates must be proposed and seconded by a member of the Electoral Roll and only members of the Roll may vote at the meeting. There is no recruitment method for trustees, as all Roll members are eligible. Upon appointment, new trustees are provided with previous minutes and notes related to the legal duties and smooth running of the PCC.
Accounting Period
The accounting period is 12 months, JanuaryDecember. The previous accounting period was the 12 months ended 31[st] December 2020.
The PCC sets agreed budgets for each financial year and staff members have authority, with relevant consultation with the Treasurer, to work within these budgets. Any expenditure outside the budget must be brought before PCC for agreement.
Membership of External Bodies
3. PCC Report
There were 5 PCC meetings during 2021 and a PCC Away Day. Major decisions made, issues discussed, and reports received during the year in chronological order were as follows:
- Financial updates and viewing/monitoring of accounts at every meeting; budget planning; approval of income to be allocated to reserve funds; end of year accounts.
• A series of decisions was made throughout the year regarding the use of the church building, the wearing of masks and encouraging social distancing in respect to changing COVID-19 legislation.
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Support continued for asylum seekers and refugees through the two lockdowns in 2021 including 1 to 1 walks and virtual night prayer.
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Rev’d Garreth Frank was seconded for 50% of his time to St Mary’s and St Leonards in Newark for 6 months at the beginning of 2021 and then was appointed as the part time Interim Anglican Chaplain at the University of Nottingham from September to December. It was announced that Garreth would take a graft to another church in the Deanery at Easter.
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Rev’d John and Lynda Blakeley were approved by St Stephen’s PCC to become Priest in Charge and Curate in January 2021 and John was licenced on the 15[th ] June. The soft launch of the graft was in September 2021 with the full launch of the graft to happen at 4pm on Palm Sunday 2022. It was decided to give St Stephen’s a substantial gift at Easter 2022 and that St Nic’s would cover Lynda’s expenses of office for the duration of her curacy.
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Jonathan Ethridge contributed to ‘The Big Conversation’ around the Broadmarsh Redevelopment on behalf of St Nic’s after 26 members of the congregation provided feedback.
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New screens were purchased to replace the projectors at the front of church.
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Rev’d Jeremy Putnam from All Saints Church in Highertown, Truro and Marsha Farmer led a discussion with the PCC around the need to establish a racial justice policy and to broaden the conversation around race with the wider congregation. The PCC pledged to commit to adopting a racial justice policy and to promoting a discourse around issues of race, inclusion and
equality within the life of St Nics in 2021.
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Ellie Winfield reported on the progress with the refugee work which included improving coordination with Hope into Action, Welcome Boxes and the Language School and creating relationships with refugees and asylum seekers in local hotels.
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A report was made to the PCC every month from the 79MMW building project team. These reports included updates on fundraising and planning for regular prayer meetings to support the project. Planning permission had been granted in March and two gift days took place in 2021.
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The PCC agreed to fund 3 Young Leadership College Apprentice Track Interns for the academic year 2021/22 in student, families and digital ministries.
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Additional equipment was purchased to support the streaming of live services and internet connectivity issues were addressed. We utilised a grant of £6000 from the Old Church Trust that recognised that our online services were providing a service to the City of Nottingham.
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The PCC was asked to assign responsibility for reporting of serious incidents to the Charity Commission to the Diocese of Southwell and Nottingham Board of Finance. This was part of the roll out of the C of E historical review into safeguarding failures .
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Many policies had been reviewed and updated over the course of the year such as the sickness policy and emergency action plans. The Getting to Church Policy and Action plan was completed.
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The 9.15 service was moved to 9am from 11[th] April and the 10:30 service was moved to 10:45 after Pentecost 2021. It was decided that the 10:45 service should be the only service that should continue to have a stream.
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The safeguarding team was refreshed to include Adam Thomas as a youth leader. Further work had been done to implement the safeguarding policies such as writing a description of acceptable behaviour and an emergency plan.
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Group work at the PCC away day examined where we were as a church and our values to love God, make disciples, seek the kingdom and heal the city. It also included the adoption of the anti-racism policy that had been developed by WeR1.
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Funding had been provided from the Strategic Development fund for St Nic’s to host one of 5 full-time youth hub leader posts and recruitment and prayer began for that post to be filled.
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Tilly Palmer was commissioned to form an Environmental Team to assess St Nic’s environmental impact and to address practical and cultural steps St Nic’s could take as a church and community to reduce our environmental impact using the Faith Plans Programme.
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The PCC discussed how to support community groups to go through the Living in Love and Faith Course. It was decided that all groups could be hosted in the church building every other week, and that some community groups could use the church on the other weeks so they could be further supported to cover the content.
4. Statement of responsibilities of the PCC
Law applicable to charities in England and Wales requires the Trustees to prepare financial statements for each financial year. Under that law the Trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). The financial statements are required by law to give a true and fair view of the state of affairs of the charity and of the surplus of deficit of the charity for that period.
In preparing these financial statements, the Trustees are required to:
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Select suitable accounting policies and then apply them consistently
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Make judgements and estimates that are reasonable and prudent
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Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with the Charities Act 2011. The Trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the Trustees are aware:
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There is no relevant information of which the charity’s independent examiner is unaware; and
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The Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant information and to establish that the independent examiner is aware of that information.
The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charity’s websites. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may digger from legislation in other jurisdictions.
5. Objectives and activities
Summary of the main activities undertaken for the public benefit.
The PCC has the responsibility of cooperating with the Rector, Steve Silvester, in promoting the parish of St Nicholas, Nottingham the whole mission of the Church, pastoral, evangelistic, social and ecumenical. We seek to do this through making disciples who can live effectively for Jesus in contemporary society. We do this by;
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Loving God
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Making Disciples
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Seeking the Kingdom
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Healing the City
The Church provides three worship and teaching services each Sunday at 9:00am, 10:45am and 6:30pm in its building on Maid Marian Way. Everyone is welcome to any of these services. Worship and teaching for children is specifically available at the 10:45am service. The services are open to everyone regardless of personal background, gender or personal circumstances. We have referred to the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning our future activities. Other activities include the weekly prayer breakfast which is open to everyone, Light Night and Central Prayer.
6. Achievements and Performance
ANNUAL REPORT 2022
Our experience of the past year has been similar to that of being a passenger on the Channel Tunnel for the first time. You enter the tunnel from the familiar, quintessentially English, Kent countryside. Emerging, you are again in countryside, but everything is different – traffic is driving on the right; architecture and agriculture have a different style; everything is both familiar and unfamiliar.
When we entered the Covid tunnel, we knew that we would emerge into a different landscape, but none of us could be entirely sure what it would be like. Now we know. Some of us were moved to tears on Easter Day 2021 when we came out of church and sang ‘Thine Be The Glory’ acapella in the churchyard. It was the first time we had been able to sing together for so long, but we were now in a new country.
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So, what has changed? Firstly, we have been rooted more locally during the pandemic, some of us now working from home permanently. Our sense of place has shifted a little. In the past year we said goodbye to some who have felt called to worship more locally and welcomed others. As a church with a distinct calling to minister to the city centre, and also minister across the city, we define ourselves as ‘city-centre focused, and locally expressed’.
Secondly, we have witnessed an acceleration in the movement towards being more multi-cultural, socially diverse, and representative of the city. We are learning to let this change influence our church culture, and to let the diverse gifts God is bringing to become visible and used.
Thirdly, as we return to worship in church, rotas are sparsely populated, and new services are required such as staffing the Bluecoat car park. Here the challenge has been to look for ways in which the Holy Spirit may be encouraging us to do things differently.
Some of our Missional Communities, which sustained us so well during the pandemic, have come to a natural end (often through young adults starting families and moving house). Now we are intentionally planting some new ones that are more geographically based, with a diversity of ages or cultures and with a range of gifts that will enable them to naturally be balanced in terms of ‘Up-InOut’ (prayer & worship, Bible & fellowship, and mission).
Finally, there have been some delightful surprises. We have been able to start a new Hispanic worshipping community, Amor Y Esperanza, under the leadership of Yancy Holden. The movement of the Bluecoat Sixth Form to the old Nottingham College campus on Maid Marian Way has opened up a new ministry to young people, ably developed by Esther Townsend who now moves from being Youth and Student Intern to Youth Team Leader. So, two very exciting new ministries have sprung up, and in addition we have managed to raise over £1m towards our building project. Now we can look forward to God surprising us with the rest!
These initiatives are illustrative of what it means to live well in this ‘new country’. We need to be responsive to what the God is doing, less ‘programme-driven’ and more Spirit-directed; we need to be less attractional and more missional; still the resourcing, sending church we have always been, prophetic and servant-hearted in the city centre, but always learning new steps with the Holy Spirit.
Palm Sunday was a paradoxical day of great joy and sadness. We were able to fulfil our commitment to send two teams to graft into St. Stephen’s Sneinton with John and Lynda Blakeley and into Holy Trinity Lenton with Garreth Frank. We need to continue to see these teams as an investment in which we have an interest, and to continue to pray for them to produce “a hundred, sixty or thirty times what was sown.”
It has, of course, been hard to let go of such able and well-loved ordained leaders. We have been exceptionally blessed by Garreth, John and Lynda. Soon we will also say goodbye to Daniele and Angelika Boccetti as they are ordained and move to curacies with Garreth. Thankfully, Fran continues with us. However, we have gone from ‘feast to famine,’ and this presents us with a both challenge and opportunity. I firmly believe that God gives to the church the gifts that are required for it to accomplish what he wants it to do in any given season. So, rather than asking how we can replace like with like so that we can do what we did before, we are asking how the ministry of the church can be shaped by the gifts God has given us.
Another change was Ben Lees moving on to a job at Nottingham University. We are very grateful for all that Ben has brought to our musical worship and the tremendous work he did in sustaining online worship during the pandemic. We have been blessed by Rachel Bussell coming alongside us to
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develop musical worship. Given that so many able musicians have gone with our church grafts, she has stepped in at a challenging time.
However, there is now an opportunity for the whole church to be ‘the worship team’. I believe that this ‘problem’ is actually a great opportunity for the Holy Spirit to do a deep work of renewal among us. In the meantime, a small chamber orchestra has been formed at 9am. They have blessed the whole church at Swanwick and on Easter Day.
Other staff changes have included the departure of Jon Holt (Operations Manager) in July and the appointment of David Hepworth in September. Again, we are hugely indebted to Jon for the professionalism and care he brought to the role. Dave has proved to be a great appointment! We were also able to secure funding for a Cantonese project worker, Tango – a member of the Nottingham Chinese Christian Church – to work with Ellie Winfield in welcoming HKUK arrivals. This is part of an increasingly close relationship with NCCC, as expressed in their partnership in the wonderful Power Lab children’s holiday club this Easter. Well done, Rich and team!
I will finish with a few snap-shots from our wonderful church weekend away at Swanwick in February because they represent the ‘new country’ in which we now find ourselves.
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A coach arrives with over 40 Hispanic members of the church.
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African babies are passed around their white aunties and uncles.
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A large group of young people erupts with laughter as they eat together.
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Under the direction of Mark Powley, we construct ourselves as a temple to be filled with the presence of God, for that is what we are.
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We hold mugs, real or imaginary, as Jill Weber leads us in a meditation, and we pray about being emptied, and filled by the Holy Spirit.
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As adults worship, children, helped by students, move among them, praying God’s blessing on them.
I like this new country! It’s familiar, and different, and I am so thankful to be exploring it with you. “The LORD your God is bringing you into a good land.” (Deut.8.7)
God bless,
Steve Silvester May 2022
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7. Safeguarding
St Nicholas’ Church
Annual Safeguarding Report to the APCM
2022
Since our last APCM we have had two major documents to study, absorb the implications of and then implement. The first was the Lessons Learned Review from Emmanuel Church, Wimbledon and the second was the Safer Environment and Activities Policy. We were guided through both by the Diocesan Safeguarding Advisor. In addition we gave advise to the fundraising team for 79MMW in order to minimise any possibility of coercion or allegations of coercion.
(What I believe to be) the last ‘chunk’ of activities to be absorbed into the list of those who need to complete Safeguarding training has just been added, and so from now on the numbers required to complete courses should stabilise. We now have 264 files on members who are actively involved in some part of the church’s life and outreach and who need to be monitored in respect of compliance.
As a direct result of the pandemic, many more Safeguarding training courses are now available online. They include Basic Awareness; Foundation; Awareness of Domestic Abuse, Safer Recruiting and Awareness of Modern Slavery. This should make life much easier for folk in the future.
With the exciting formation of the Hispanic congregation, Yancey has identified a need for all the families to attend Safeguarding for Everyone Training (in Spanish). This is largely because of the very different culture in this country. This has now been devised, along with the course for the adults with learning disabilities. The latter has been approved by the Diocese, the former is just an informal one that does not attract any certification.
Protocols have also been devised for the Safer Recruitment of non-UK passport holding volunteers and staff – especially in regard to acceptable reference sources and routes to cover when a person has not been in the UK for 5 years. Unfortunately, it is not possible for an asylum seeker whose passport is with the Home Office to satisfy the documentary requirements to obtain a DBS certificate.
In the summer Janet Smith, our previous Lead Recruiter moved to worship at her local church and her role was taken over by Debbie Blaine. This happened at the same time as we changed our DBS provider to APCS. This is a much more automated system, and Debbie has spent many hours getting to grips with the system and processing all the applications for certifications that had lapsed during the pandemic. We will start to truly reap the rewards of this system in summer ’24.
Doubtless there will be more paperwork to process as people step up to fill in the gaps left by those who have left to go to Sneinton and Lenton and more liaising must be done with the outside organisations they have been involved with and wish to continue serving with.
In all matters, the PCC has complied with its duty to have ‘due regard’ to the House of Bishops’ “Safeguarding Policy and Practice Guidance”.
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I thank the whole of the Safeguarding Team for their support and behind the scenes work during the year.
Karen Pheasant, St Nic’s PSO
April 2022
8. Financial Review
The Statement of Financial Activities (SOFA) for the year ended 31 December 2021 shows a net loss before transfers on the Unrestricted General Fund of £9,723 This figure is after depreciation of our assets amounting to £59,629. This is an accounting adjustment we are required to make but does not represent any cash payment. The PCC budgets for and manages the net surplus or deficit prior to depreciation charges, which was therefore a net income of £49,906. In order to build our reserves for future expenditure, £10,000 has been transferred to the Fabric Fund, £10,000 to the Capital Projects Fund and £7,500 to the Swanwick fund.
Our bank deposit account and the cash at bank balances at 31 December 2021 amounted to £781,424. Of this £656,802 relates to funds restricted to building or other projects, leaving £124,622 on unrestricted funds. Practically all the income is derived from direct giving by church members. The summary on page 16 (note 6) shows how expenditure has taken place in supporting our objectives.
FINANCIAL RESERVES: The PCC has agreed that we need to retain the equivalent of three months
expenditure in unrestricted readily available reserves in order to meet any unexpected liabilities that may arise. Based on the accounts for 2021 this would amount to £97,101. At 31 December 2021 net current assets on unrestricted funds amounted to £148,662, including £25,550 of outstanding tax recoverable on gift aid donations.
The policy of the PCC in respect of reserves is that cash resources should be such that all restricted and designated funds are available in cash or deposits, together with the
equivalent to 3 months of expenditure in unrestricted funds. This takes into account that in emergencies the PCC have assets against which borrowings could be secured
pending an appeal to the congregation for funds to support the church’s mission. It is further recognised that while the payment of Parish Share remains a priority, in an emergency payment could be deferred in consultation with the diocese.
In addition to the unrestricted general reserves, the PCC has the following designated reserves:
Fabric reserve
At 31 December 2021 this amounted to £66,925.
In view of the age of the building from which the church operates, repairs can be costly, in particular cyclical repairs such as redecoration that arise from time to time. The PCC allocate an amount to this fund each year to accumulate a reserve to avoid the need for additional fundraising at the time repairs are required.
Capital projects fund
At 31 December 2021 this amounted to £209,533. From time to time significant expenditure is required to update capital items that are essential to the running of the church, for example the audio visual systems. The PCC allocate an amount to this fund each year to accumulate a reserve to avoid the need for additional fundraising at the time expenditure is required.
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Restricted funds held represent monies received for specific purposes prescribed by the donor or collections taken for specific purposes of which the donor was aware at the time they made their gift which have not yet been paid over to the ultimate beneficiary.
Signed on behalf of the PCC
Juliet Wright (Church Warden) 21[st] March 2022
9. Independent Examiners Report
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Report to the The Parochial Church Council of the Ecclesiastical Parish of St Nicholas’, Trustees/members of Nottingham On accounts for the year Charity Number 31 December 2021 1134708 ended Set out in sections 9 to 12 and 14 Responsibilities and basis I report to the trustees on my examination of the accounts of the above of the report charity (“the Trust”) for the year ended 31/12/2021. As the charity'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 Trust’s accounts carried out under section 145 of the 2011 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.
Independent examiner’s The charity’s gross income exceeded £250,000 and I am qualified to statement undertake the examination by being a qualified member of The Institute of Chartered Accountants in England and Wales.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination which gives me cause to believe that in, any material respect:
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the accounting records were not kept in accordance with section 130 of the Charities Act; or
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the accounts did not accord with the accounting records; or
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the accounts did not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.
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.
| Signed | Date | 21/03/2022 | |
|---|---|---|---|
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Name Chris Nurden Relevant professional Institute of Chartered Accountants in England & Wales qualification(s) or body Address 26 The Parks Minehead Somerset TA24 8BT
10. Accounting Policies and Disclosures
BASIS OF PREPARATION
These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note to these accounts. The accounts have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK & Republic of Ireland (FRS 102) issued on 16 July 2014 and with the Financial Reporting applicable in the United Kingdom and Republic of Ireland (FRS 102) and with the Charities Act 2011 and the Church Accounting Regulations 2006.
Going Concern: The accounts have been prepared under the basis of the charity being an ongoing concern.
FUNDS
The Unrestricted General Fund is available for use at the discretion of the PCC to further the general objectives of the church. Designated Funds are unrestricted funds set aside by the PCC for specific future purposes or projects. Restricted Funds are funds that can only be used for particular purposes within the objects of the church. The aim and use of each fund is set out in the notes to the Financial Statements.
INCOME
Donated income without conditions attached, including that gifted under Gift Aid, is taken into account when received by the Charity. Income Tax recoverable on gift aid accounts is recognised when the gift aid income is received. Any amount of tax not yet claimed from HM Revenue & Customs is shown within the Debtors list. Funds raised for events are accounted for gross. Income from building hire is recognised when rental is due.
EXPENDITURE
Expenditure is included on an accruals basis and is recognised when there is a legal or constructive obligation. All costs have been directly attributable to one of the headings used in the SOFA. The church is not registered for VAT and accordingly expenditure is shown gross of VAT.
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Expenditure that is directly attributable to meeting charitable objectives is included in costs of activities in furtherance of the charity’s objects.
CAPITALISATION OF LAND AND BUILDINGS
Under the provisions of FRS 15, land and buildings are valued at historical cost and no depreciation is charged against them. Buildings are maintained to such a standard that their estimated residual value is not less than their net book value at any given time. Costs incurred in keeping buildings in a fit and useful condition are written off as incurred. Consecrated and benefice property is excluded from the accounts by nos. 10 (2), (3), (4) of the Charities Act 2011. Enhancements of buildings paid for by the PCC such as the church re-ordering carried out during 2011 are capitalised and written off over a period of 20 years.
FIXED ASSETS
Fixed Assets have been capitalised at cost and the depreciation is calculated so as to write off the cost of the fixed asset on the following basis:
| Building Enhancements | 5% |
|---|---|
| Fixtures and Fittings | 10% |
| Other Equipment | 25% |
| Computers 33% |
CURRENT ASSETS
Amounts owing to the PCC at 31 December in respect of fees, rents or other income are shown as debtors less provision for amounts that may prove un-collectable. Short-term deposits include cash held on deposit either with the Central Board of Finance or Bank.
PENSION POLICY
Pension contributions are paid to the Pension Builder Classic section of the Church Workers Pension Fund, a defined benefit scheme, based on the level of contributions paid on behalf of each employee. Further details of the pension fund are contained in the notes to the accounts. Contributions are recognised as resources expended at the time the salary cost to which they relate is incurred.
GRANTS AND MISSIONARY SUPPORT
Grants for the support of mission partners are accounted for on the basis of support agreed by the PCC that relates to the financial year. The church supports various mission partners and organisations. Where a particular mission partner has been supported by the church for a number of years, strict compliance with the Charities’ Statement of Recommended Practice (SORP) may regard some arrangements as constituting constructive obligations such that future years’ support is accounted for in these accounts as a liability. Whilst the support has no final end date, the PCC assess mission partner funding on an annual basis and are confident that the mission partners would not view their support as an open-ended obligation on the part of the church.
OPERATING LEASES
Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged against profits on a straight-line basis over the period of the lease.
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11. Statement of Financial Activities
- Balance Sheet
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Balance Shèot 429
L&7P 49)9 IW5 7.6&1 917 475.550 73.536 IW3.3fj7 Statement of Cash Flows YEaf EhdEd 310•c•mbwr2021 57. 55.6J9 Iw75 51W 35&5JL IIY.5a41 J2b,g 71L414 45WQ 13. Notes to the Accounts 181 Page
2021 Unrtstrlatd tses48Mied Z020 249.536 GI15 53.547 221,586 55.396 85.593 4,436 257,163 65.fa8 Othpr plonntd Pving Coll¢tti( 139.140 4,646 4,309 4.195 370Joa 568.620 738.923 401710 2 thDih4blEKtK4tles Sundrysales 1.61 SJ9D 5.169 iffiis 3JgJ 3269 5.143 L6.?99 $.451 3,202 14.249 15.969 55.99B EYErtIs Gr•Thts ittti¥¢d 5.143 16.799
Ir¢tIOlrr1tstrnenl1 fflk Interest 202 202 202 No e4v?ol?lfflCQrnewb5Iettlho rn 1011. 1Th1024thePCCiereived4nynexpette¢ Uoniynol£jB4,WAfoilDwier1oSLeof o I1 th1151i•nChorLiY ThèPCCè$TèÈdrhai£4D.ishouId bedthiaiedio &nwheTChiiSfi4nChurth iThNou4neham iiftoff•tbni an¢ t140.th)ollo¢o[e4ioiheC4PIT41 PtotrettsFun¢ Theothett4fthweni iThio OuyioJEy4CfiIie$. Gr4 1¢0515 2C4 JTokl 2D2OTot•l 4.778 122,618 7B373 Wider Chh/PIrIShshp[e ToDchin8&P4stoi41 YoLrth & Chlldien Mi5siÈn & uuireath UK MISSion & outreDchtherseas EY?nsEli5m&Spriil (er 11740 76.876 94,328 27.076 33.580 43.386 101.189 95,539 19.107 2.641 21.748 170 25.9B8 35.828 42.036 3BB.405 125.569 Tht4llQc4ti ofsupportcostshasbttn proporti0noFst4lFtI(coSI&4r theÈxPtThditur r14tdtsthÈir4cNYity. Widvchw<h214TexhinK•nd P•51yr•1¥YO1th& chi1 UKMl55FynowS1v5 M455ity55y. 115 15% Stsffin8 Idini 42.655 6.860 56.873 IlJ75 1.?76 496 7,109 Lllo 310 432 2.981 Zl,328 3330 931 1.25 8.944 35.828 142.184 2.2ty) 6.204 8.631 59.629 3.452 rtc14tiQ 1.193 17A89 95.S39 1th1fi1strKlonsuKwrt<OslJ IrKlude5£1.0Wyblettstht1ndtpdtDEEx1lffttr4nd £IM56paidunder4n opet4tinile4se 191 Page
7 St4ffiwCo&ts 2021 L4irestriCtÈO Restrlcted 2021 2020 Pistor?I Salories min & SupportSaliriE 5torèl E¥penSeS In & SuowrtE¥oetyses 62.686 62.132 11.450 7.113 69.799 62.232 11.450 812 7.530 5.879 67J37 11.091 6.819 S.879 17.6941 142.184 7LI 6.495 6.340 RCRtfvndlRtb•te/Furlou Iso.( ISi.309 Gr4ntsP4y4ble 1DrtitutS 2020TrtJl Mi55ion & outrCh VK 1.641 2.641 IS.177 6.170 23.988 Ission &OvtrtJch Evanyllsm&Sorlil C•r• 14.777 22.075 8.617 39.360 6170 B.211 15.777 9 oey4NtedFutyJs Owiirt8 8al)nce 56.925 221.613 io. 288.538 Closin8 6Jlance 66.925 2tr3.S33 io.r 286.458 IOr pense Transfers IODYJ ioK FJbriC Aestr¥e Capital Prrljetfs Fund Lty•ryFund 22.f 22.0 20.CO) ThEFabricand Capitsl ProjectFunds aredesllnited bythe PCComEetfuture expEnditure5 In re5pertof repiir5and miintenaeTrd 0r larFr proiE(ts. In 2020E160.CO)nEtWa5 tran5fErrtd IntDdE5ltcd lund5frrThGeneral Funds TheLeVCV Fund repreSentsles¥eIDtrPC¢forfittut*$eèslttUn0Ètied 201 Page
QpEn 493 6,114 189Y4 3b2J 5,222 s.0 2JD L13D ,1 124 &2iS Avprolllct FE3 26.723 lrtèmE CEnt t4.03 14.033 &455 *zF ollettlllns $3L ILfM 15.934 3.7FL 5.LlO iJ30 .937 SttylchDlasPw 79 L2È3 11255 ¢rhEr 5.333 57.651 S5 s71 211 Page
li redA$s¢t5ts use bythePCC tbuF£ FittinES Imprortrnents 68.499 4.963 29.534 Totjl 1.051.396 29.534 PthJol C05t at Istjanuèry 2021 dditlDns Disposals CostDt31sl DEcembEr 2021 107.934 107 934 98 874 963 930 rKiJtroTrChJr8eJi istlan rEtiationCharB2foryear rÈtiatioTrdoductod ondispos•ls Cumulaied Depreciation 153.1921 1384.4441 1437.6361 146.8441 159.6291 55.5771 1431.288 497.265 Ner8ookVolue31 December 2021 NetBoDkV•lue31 DE(embpr2020 107.934 107.934 32.056 15307 443.675 490.S19 583.665 613.?60 12 AthslsolNet Assetsby i$trICted Desl8nJted 569.$32 IS6. 17.3881 Re5tr1¢tcd Totjl 583.665 867.681 17 9791 FixedAssetsbrChurch ust CuirentAs5ets 286.458 425.123 16411 rrert Liabilities nd 6Jlance 718.294 286.458 438.615 1.443.367 13 sdryDtbt0r Gift Ai¢ T?x GA T?x-re5triitedknd5 ndry itern5 2021 2S,550 54.879 2020 51.243 342 92 31.677 80.429 14 Prepvvrnent5 Insurance- Centrt tes Copitr 894 250 3LKS 204 127 4.553 5.828 371 29) 239 214 127 Mi5( Intern Housi 5.883 15 sffldryc1ethO1$ Gas & Elec Sundry Setyictfees Payroll 1.733 1.584 211 3.451 6.979 336 S49 3.487 6.372 16 Accvuak Indeptndentexaminatlon Fee iezal fees- 79 MMW PJrishShJre 4.078 17 Commitmentsunderoperatirp4 kne5 t31 Oecember 2021 the PCC has remoiningcornmitments undernon<4ncellat1eopvinI le)5es asset outbel Ovr•tkn¢kneswhkh expke: Lk(ember2024 2021 2020 835 18 Continynt k•bditv StNiC'S PCC have. onbehJlf ofthEcowreptiM. commStW to ble5sthetsJmpin8toSt5teghen'swthJ finJnci•l 4iftolEJ5.ffQ The con8rt8atiOts have been asked to contribute tothis liftathd Over £5.was 8ive*l inthecollectionduriO8tht Church Wtekend Thtchurch Will betr4nsftirinEthiS Eiltos vKsend outthe<hur¢h gr4lt. so Jnyfurthcr don4tioll5tow4rds thi5 Wi11 bt Inrluded. 221 Page
14. 2021 Accounts in Summary
- Church Workers Pension Fund (CWPF) DECEMBER 2021 YEAR END
The Parochial Church Council of St Nicholas' (Nottingham ) participates in the Pension Builder Scheme section of CWPF for lay staff. CWPF is administered by the Church of England Pensions Board, which holds the CWPF assets separately from those of the Employer and other participating employers.
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CWPF has two sections:
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the Defined Benefits Scheme
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the Pension Builder Scheme, which has two subsections;
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a. a deferred annuity section known as Pension Builder Classic, and,
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b. a cash balance section known as Pension Builder 2014.
Pension Builder Scheme
Both sections of the Pension Builder Scheme are classed as defined benefit schemes.
Pension Builder Classic provides a pension, accumulated from contributions paid and converted into a deferred annuity during employment based on terms set and reviewed by the Church of England Pensions Board from time to time. Discretionary increases may also be added, depending on investment returns and other factors.
Pension Builder 2014 is a cash balance scheme that provides a lump sum which members use to provide benefits at retirement. Pension contributions are recorded in an account for each member. Discretionary bonuses may be added before retirement, depending on investment returns and other factors. The account, plus any bonuses declared is payable, unreduced, from age 65.
There is no sub-division of assets between employers in each section of the Pension Builder Scheme.
The scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102. This is because it is not possible to attribute the Pension Builder Scheme’s assets and liabilities to specific employers and means that contributions are accounted for as if the Scheme were a defined contribution scheme. The pensions costs charged to the SoFA in the year are the contributions payable (2021: £13,409, 2020: £12,835).
A valuation of the Pension Builder Scheme is carried out once every three years. The most recent valuation was carried out as at 31 December 2019. The next valuation is due as at 31 December 2022.
For the Pension Builder Classic section, the valuation revealed a deficit of £4.8m on the ongoing assumptions used. At the most recent annual review, the Board chose to grant a discretionary bonus of 3% following improvements in the funding position over 2021. There is no requirement for deficit payments at the current time.
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For the Pension Builder 2014 section, the valuation revealed a surplus of £5.5m on the ongoing assumptions used. There is no requirement for deficit payments at the current time.
The legal structure of the scheme is such that if another employer fails, St Nicholas' (Nottingham) could become responsible for paying a share of the failed employer’s pension liabilities.
16. Nottingham South Deanery Synod 2021 Report
This year we have said goodbye to Rev’d Henry Curran (Wollaton Park), Rev’d Mike Forsyth (Chilwell), Rev’d Hannah Hall (St Saviour’s), Rev’d Naomi Hill (Sneinton St Christopher), Rev’d James Pacey (Carrington), Rev’d Dr Megan Smith (Lenton) and Rev’d George White (Trinity). We have welcomed Rev’d Toby Artis (Attenborough) and curates Rev’d Beau Brumley (Trinity), Rev’d Lynda Blakeley (Sneinton St Stephen) and Rev’d Amy Hughes (Trinity) to our Deanery. We were also pleased to congratulate Rev’d John Blakeley and Rev’d Naeem Bahadur on their appointments as Priests in Charge in Sneinton St Stephen with St Matthias and Radford All Souls and St Peter respectively. Rev’d Colin Bourne also retired as Vicar of Toton but remains as Area Dean.
The Deanery Leadership Team has continued to meet during the year to plan Synod and to discuss ways to support parishes in the Deanery – particularly those in vacancy.
Due to the COVID restrictions two of our Deanery Synod meetings were held online and one in person. On 9 February we met remotely with the aim of encouraging one another to look outwards in mission. We exchanged ideas and experiences, looking honestly at things that encouraged and discouraged us and then prayed together.
On 14 July we again met remotely for our Synod. We were joined by Rev’d Peter Huxtable who shared about his role as Bishop’s Advisor Urban for Estates Mission and how he could work with our parishes. Rev’d Dr Megan Smith and Rev’d Dr Richard Davey then shared about their work as University Chaplains.
On 18 November we met at Christ Church, Chilwell and were joined by Rev’d James Halstead who, as Diocesan Lead for the Church of England’s Living in Love and Faith initiative, explained the best ways of engaging with the range of resources which are available to parishes and facilitated discussions around experience of using these.
At this meeting we also confirmed the re-appointment of the following members of the DLT:
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Ex-officio Members: Rev’d Colin Bourne (Area Dean), Kirsty Cowley (Deanery Administrator)
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Lay Chair: Elaine Hinchliffe
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Deanery Secretary: Peter Horne
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Deanery Treasurer: Gary Stephenson
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DLT Members: Rev’d Clive Burrows and Rev’d Tom Gillum.
This leaves two lay vacancies on DLT. In accordance with our local Rules, Synod also voted to allow DLT to co-opt two further lay and two further ordained members.
The Deanery has again paid a large percentage of its giving for ministry allocation (94.9% in 2021, compared to 87.9% in 2020). Every parish is to be thanked for their faithfulness in paying for the
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ministry received in this deanery, particularly in these difficult times.
We are looking forward to 2022 and hope to continue to meet in person!
Rev’d Colin Bourne (Area Dean) and Elaine Hinchliffe (Lay Chair)
17. Churchwardens Report 2021
Psalm 106:1 says ‘Praise the Lord. Give thanks to the Lord, for He is good, and His love endures forever.’ Indeed, we do give thanks to God for His faithfulness to the St Nic’s church family over 2021.
We started 2021 in the same way we finished 2020, in lockdown. Over the year we moved from purely online services to being able to offer in-person and hybrid services. We would like to express our thanks to the staff team and all who worked behind the scenes to continue developing and providing these services throughout the year. The new audio-visual equipment in church has enabled us with this integration - thank you to all those involved.
We would also like to mention all who contribute to the wider activities of St Nic’s including midweek outreach opportunities and St Nic’s in the City collaborations, youth and children’s work and community leaders. Thank you for all you do to bless and care for others.
Thank you also to Jon Holt for his immense contribution as operations manager. And welcome to Dave Hepworth as he steps into this role!
We can also confirm that the terrier and inventory are in good order.
Alison Fletcher and Juliet Wright (Church Wardens)
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