## **The Methodist Church**
# **Wolverhampton and Shrewsbury District**
Registered Charity Number 1134902
**Trustees’ Annual Report and Financial Statements**
**for the year ended 31st August 2021**
## **The Methodist Church**
## **Wolverhampton and Shrewsbury District**
## **Trustees’ Annual Report and Financial Statements for the year ended 31st August 2021**
## **CONTENTS**
||**Pages**|
|---|---|
|Trustees' Annual Report|2 - 8|
|Statement of Financial Activities|9|
|Balance Sheet|10|
|Statement of Cash Flows|11|
|Notes to the Accounts|12 - 23|
|Declarations|24|
|Independent Examiner's Report|25|
- 1 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Trustees' Annual Report for the year ended 31st August 2021**
## **Reference and administrative information**
**Registered charity name**
Wolverhampton and Shrewsbury Methodist District
**Registered charity number**
1134902
## **Trustees (members of the District Policy Committee)**
The members of the District Policy Committee at the date of this report and those who served during the year ended 31st August 2021 are as follows:
Rev Rachel Parkinson - Chair Rev Pauline Salter - Deputy Chair Mr Andrew Beattie - Synod Secretary Mr Christopher Reed - District Treasurer
Rev David Alford Rev David Lavender Miss Rosie Bryant (appointed 1/9/21) Rev Susan Levitt Rev Christopher Collins (until 31/8/21) Mr Ian Mason (until 31/8/21) Rev Nicholas Collison Mr Leon Murray Rev Alan Combes Mr Brian Oakley Rev Joanne Cox-Darling Rev Hendry Ponniah Rev Elizabeth Dunning (appointed 14/10/21) Mrs Margaret Reynolds (until 31/8/21) Rev Margaret Eales Rev Neil Richardson Mrs Angela Evans Rev Teddy Siwila Rev Richard Hall Rev Julia Skitt Mr David Hemingway (appointed 27/5/21) Mr Keith Walton Rev Roger Hides (appointed 1/9/21) Mr Robert Whitehouse (until 31/8/21) Rev Jimione Kaci (appointed 1/9/21) Rev Denise Williams Mrs Gillian Jolly (until 31/8/21) Rev Rachel Wood (appointed 1/9/21)
**Principal address** District Office Beckminster Methodist Church Birches Barn Road Wolverhampton WV3 7BQ **Telephone** 01902 658383 **Website** wsmethodist.org.uk **Independent examiner** Ian Cattell FCA Crombies Accountants Limited 34 Waterloo Road Wolverhampton WV1 4DG **Bankers** The Co-operative Bank PLC Central Finance Board of the PO Box 250 Methodist Church Delf House 9 Bonhill Street Southway London EC2A 4PE Skelmersdale WN8 6WT
- 2 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Trustees' Annual Report for the year ended 31st August 2021**
## **Objectives and activities**
The purpose of the Wolverhampton and Shrewsbury District is laid out in Standing Order 400A of the Constitutional Practice and Discipline of the Methodist Church, namely that: _“the District is constituted to advance the mission of the Church in the region, by providing opportunities for Circuits to work together and support each other, by offering them resources of finance, personnel and expertise which may not be available locally and by enabling them to engage with the wider society of the region as a whole and address its concerns.”_ The central priorities of the Methodist Church are Worship, Learning and Caring, Service and Evangelism.
The District comprises around 190 local Methodist churches grouped into 12 circuits and served by a ministerial team of around 40 active ministers and around 40 lay employees. A number of supernumerary (retired) ministers also offer significant support.
There were 6,838 people holding membership of churches in the District in October 2020. Twenty-seven people were brought into membership during the year. However there were ten times that number of deaths amongst the membership. Whilst the District consistently sees a pattern of deaths outnumbering new members made, the difference is likely to be much greater in this period because of the effects of the pandemic.
For substantial parts of the twelve months reported upon, churches' buildings were not open for worship. Any expectation in the Summer of 2020 that church life would gradually return to normal patterns was overturned by mid-Autumn. In response to this, the District continued to evolve new ways of supporting churches and circuits. In addition to online meetings and Sunday worship, the Chair prepared a number of pastoral messages posted on YouTube and Probationer Ministers were provided with a 3-day retreat in their own homes, supported by physical resources sent through the post and short sessions on Zoom.
For Advent and Christmas 2020, the District encouraged circuits to consider ways of reaching out to their local communities, using people’s homes as a mission base rather than the local church buildings which were closed. So successful was this _God is With Us_ grant scheme that the District repurposed and repeated it, encouraging churches to make community links around Valentine’s Day and Mothering Sunday.
Recognising the cumulative effect of the pandemic upon those in leadership positions, the District engaged the _Tragedy and Congregations Team_ to provide training for ministers on responding to individual and collective trauma. We have also been able to keep in mind the pandemic in its global context by occasional Zoom meetings with our partners in the Free Methodist Church in Rwanda.
An important appointment to the District team has been that of Matthew McDade to the new post of District Property Consultant. Matthew brings considerable experience to the task of helping circuits assess the mission potential of their property portfolio and advising upon either development or disposal. This has proved particularly beneficial at a time when the pandemic has prompted an increasing number of congregations to draw their life as a worshipping community to a close.
A major piece of work for the District this year was in preparing for the vote at the 2021 Methodist Conference on the report on Marriage and Relationships known as “ _God in Love Unites Us_ ”. The resolutions in the report were ones upon which many Methodist members have strongly held contradictory convictions. Our inability to meet in person to discuss sensitive topics made the task more challenging. The District Synod voted on these resolutions in April 2021, in the run-up to which a series of three online preparatory sessions were organised to ensure Synod members had opportunity to fully explore the report and hear a range of views upon it. In the event the District recorded strong majorities in favour of all the resolutions.
- 3 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Trustees' Annual Report for the year ended 31st August 2021**
Conversations have been held throughout the year with the neighbouring Birmingham District and a plan agreed in principle to merge the two Districts by August 2025. This is in line with ambitions to streamline oversight and trusteeship functions throughout the Methodist Connexion.
As a result of the pandemic, the three-month sabbatical due to be taken by the Chair of District was spread between the summers of 2020 and 2021, with cover being provided by the Deputy Chair, the Rev’d Pauline Salter.
The District awarded £118K in grants during the year. These were all “Ministry” grants, supporting peoplebased activities across the entire District. No property grants were awarded this year, mainly due to the lockdown.
## **Public benefit**
The activities mentioned above were undertaken so as to further the District's purposes for the public benefit and the District Policy Committee has had regard to the guidance on public benefit issued by the Charity Commission when exercising its powers or duties to which the guidance is relevant.
## **Achievements and performance**
- In anticipation of the retirement of the District Safeguarding Officer in August 2021, plans were made during this period to combine Safeguarding functions across the Wolverhampton and Shrewsbury and Birmingham Districts.
- As a follow-up to the Representative Synod focusing on Racial Justice, reported last year, the District provided a suite of online worship resources which were well used by churches and circuits marking Racial Justice Sunday.
- The District hosted an online welcome service for Phoebe Parkin, the Youth President of the Methodist Church for 2020/21, who comes from Telford.
- Synods provided opportunity for learning, development and spiritual nurture. Speakers this year addressed the _Methodist Way of Life_ and the _Deep Silence of God_ .
- The Christmas small grant scheme led to twenty-seven different projects engaging every circuit in the District. These were designed to be a source of blessing and to remind communities that “God is With Us”. An example of the innovation this produced is the #BeAnAngel campaign in Codsall where the local church worked with partner locations to host large graffiti murals of angels' wings, inviting local people to “become an angel” as a starting point for further supported reflection. Combined with the Valentine’s scheme, a total of £6500 was awarded in small grants.
- The Methodist President for 2020/21, Rev’d Richard Teal, made an online visitation to the District with a particular focus on encouraging our most rural circuit.
- The District Ministry and Missions Co-ordinator, Jo Yair, led the _FX Multiplier_ project across this and the neighbouring Birmingham District with the aim of encouraging Fresh Expressions of Church. Nineteen separate teams engaged with this project.
- The District worked with two circuits to develop new Diaconal appointments offering community ministry in Wolverhampton and Dudley. Two deacons were appointed to begin in September 2021.
## **Financial review**
The above activities and achievements illustrate the work of the District and the attached accounts show how the financial resources necessary for that work have been raised and expended. The accounts are also the means by which members of the District Policy Committee, as trustees, account for their stewardship of those funds to the circuits, the membership of the churches within the District and the wider community.
- 4 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Trustees' Annual Report for the year ended 31st August 2021**
The finances of the District are held in eight different funds to account properly for the different purposes for which money comes into the District. Most of the income comes from other parts of the Methodist Church: assessments are received from the Circuits in the District to fund the work done directly and the payment to the Connexion of a contribution to the Methodist Church Fund, and distributions are received via the Connexional structure of the Methodist Church to fund grant-making activities, as explained more fully in Note 2 to the accounts.
The income of the District for the year ended 31st August 2021 was £901,711 and expenditure was £854,342. The resulting surplus of £47,369 increased reserves to £581,097 (2020 £533,728) of which £265,000 was the book value of the District Chair's manse, leaving free reserves of £316,097 across all eight funds. A review of significant matters affecting District finances is as follows:
The income of the District was down by £22,228 (2%) on the previous year. The reduction reflected the absence this year of £33,532 of non-recurring income in the previous year together with a fall of £11,865 in donations received attributable to the effects of the pandemic. These adverse variances were partially offset by an increase of £25,500 in income from the Connexion.
Expenditure was down £52,465 (6%). Grant funding fell by £81,484 and support costs were £2,091 lower, both as a result of the effects of the pandemic curtailing activities at District, Circuit and Church level. These reductions were partially offset by a payment of £20,000 as a return to circuits of the cost savings realised during the pandemic compared to the budget for the two years 2019/20 and 2020/21.
The net result was a surplus of £47,369. The District Advance Fund showed a surplus of £55,925 due to the reduction in grants awarded, and other funds were left with small deficits. All funds have adequate reserves carried forward to enable them to continue their activities. A review of siginificant matters affecting the finances of each fund is as follows:
## **District Expenses Fund (unrestricted)**
The budget for the District Expenses Fund for 2020/21 was approved in March 2020 and was set with the object of breaking even. After taking into account the £20,000 cashback to circuits that objective was broadly achieved. The free reserves of the District Expenses Fund at £83,721 represent 14.1% of circuit assessments receivable in the following year, compared to a target level of 10%. The budget for 2021/22 was approved in April 2021 and provides for a deficit to bring the reserves down towards the target level.
## **District Training Fund (designated)**
Training activities were affected by the pandemic like everything else and expenditure only amounted to £1,011. This was taken from reserves, leaving £16,300 to carry forward.
## **Manse Fund (designated)**
There was no movement on this fund and the balance of £33,585 is carried forward.
## **District Advance Fund (restricted)**
The District Advance Fund saw an increase in income from the levy on Circuit Model Trust Funds and a reduction in grants awarded. The resulting increase in its reserves from £49,622 to £105,547, while unintended, will leave the District in a strong position to engage with the Connexional "God for All" project commencing in September 2022.
## **Agricultural Chaplaincy Fund (restricted)**
The Agricultural Chaplaincy Fund has now received the last of the three annual grant instalments of £22,000 from the Mission in Britain Fund. Its reserves of £63,583 are just enough to cover one year's expenditure as per its reserves policy, but further sources of income are urgently required to replace the expired grant.
- 5 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Trustees' Annual Report for the year ended 31st August 2021**
## **Children Support Fund (restricted)**
The money in this fund is left over from the annual children's holiday that ceased after 2018 and, with the consent of the donors, it is being used to offer grants to churches who want to work with children in deprived circumstances. During the year grants of £2,976 were made, leaving a balance of £9,343 available for further grant-making.
## **Chair's Benevolent Fund (restricted)**
This fund continues with modest receipts and payments and a balance of £1,993 is carried forward.
## **Komera Partnership Fund (restricted)**
Further donations were received and grants paid to our partners in Rwanda, and a balance of £2,025 is carried forward.
## **Reserves policies**
The reserves policy for the District Expenses Fund is based on a free reserves target of 10% of total circuit assessments, to reflect the risk that a circuit may not be able to meet their assessment in full. For 2021/22 circuit assessments are £593,910, giving a reserves target of £59,000. The actual level of free reserves at 31st August 2021 was £83,721 or 14.1% of circuit assessments (2020 14.2%).
The District Training Fund does not have a specific reserve requirement. It has excess funds at present and no further income will be sought for the time being.
The Manse Fund reserve requirement is £40,000, to cover major repairs to the Chair's manse in excess of the annual budget, and the current fund balance is £33,585.
The reserves in the District Advance Fund are already stated after taking into account future commitments and as the annual tranche of funding is received in September/October this fund does not need more than a nominal balance of reserves at the year-end.
The scale and scope of the work funded by the Agricultural Chaplaincy Fund is significant and its funding is dependent on grants from various sources, many of which are under financial pressure. In these circumstances, reserves of up to one year's expenditure are considered appropriate to ensure the resilience of the project.
The Children Support Fund is currently using money left over following the cessation of the annual holiday to make small grants and therefore has no particular reserves requirement.
The Chair's Benevolent Fund and the Komera Partnership Fund are there to make grants to beneficiaries from the funds that have been raised for those purposes and thus do not require any specific target levels of reserves.
## **Investment policy**
Surplus monies of the District’s Funds (other than the District Advance Fund) are held in an interest-bearing deposit account with the Central Finance Board of the Methodist Church, which is a common deposit fund reporting directly to Conference. The District Advance Fund is held by the Trustees for Methodist Church Purposes as custodian trustees on behalf of the District, and this fund is also invested in an interest-bearing account with the Central Finance Board.
- 6 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Trustees' Annual Report for the year ended 31st August 2021**
## **Plans for the future**
A main focus for the District in 2021/22 will be to encourage Circuits and Churches to strike an appropriate balance between consolidation, rest and refreshment after the ravages of the pandemic, whilst still maintaining momentum in attending to our priorities of Worship, Learning and Caring, Service, and Evangelism.
The District will enter the first year of engagement with the Connexional _God for All_ project. This will involve discerning and developing an appropriate “District Project” focused on _Church at the Margins_ and _New Places for New People_ .
Further progress will be made to align the life of this District with our neighbour in Birmingham, in preparation for an anticipated merger.
## **Structure, governance and management**
The District, as part of the Methodist Church, is constituted under the terms of the Deed of Union of 1932, which was promulgated under the authority of legislation that is now found in the Methodist Church Act 1976. This Act provides the foundation on which all the remainder of the constitutional structure of the Church is raised.
The governing body of the Methodist Church in Great Britain is the Conference. Under the authority of the Act and the Deed of Union, Conference makes and amends Standing Orders, which are published annually in the Constitutional Practice and Discipline of the Methodist Church. This is the basis for governance of the Church as a connexion of local churches, circuits and districts working together within the one framework.
The District Synod is the principal body responsible for the affairs of the District and is constituted in accordance with the Deed of Union and Standing Orders. It is the church court for the District, serving as a link between the Conference and the Connexional Team on the one hand and the Circuits and Local Churches on the other. It has oversight of all District affairs.
The Synod annually appoints the members of the District Policy Committee whose responsibilities include the formulation and promotion of policy and the supervision of the use of resources of personnel, property and finance. Under charity law the members of the District Policy Committee are treated as the Trustees of the Charity and the names of the Trustees who served during the year or have been appointed since are shown above.
The District Policy Committee nominates persons to the Synod for appointment as district officers and as members of the District Policy Committee and other district committees. In addition, the Chair of the District, the Secretary of the Synod and any member of the Methodist Council nominated by the Synod are ex-officio members of the District Policy Committee.
The District is one of thirty-one Districts of the Methodist Church in Great Britain. The Wolverhampton and Shrewsbury District brings together twelve Circuits, based in the City of Wolverhampton, two West Midlands Metropolitan Boroughs, parts of Staffordshire and Worcestershire, most of Shropshire, about half of Herefordshire and parts of Wales. The structure of the District and its constituent Circuits and Churches, and their inter-relationships with each other, is explained more fully in Note 2 to the accounts.
- 7 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Trustees' Annual Report for the year ended 31st August 2021**
## **Statement of trustees’ responsibilities**
Charity law requires the District Policy Committee (as Trustees) to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of its financial activities for that period, together with its assets and liabilities at the end of the period, and adequately distinguish any material special trust or other restricted fund of the Charity. In preparing those financial statements the District Policy Committee is required to:
- select suitable accounting policies and then apply them consistently;
- make judgements and estimates that are reasonable and prudent;
- state whether the policies adopted are in accordance with the appropriate SORP and the Accounting Regulations and with applicable Accounting Standards, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in operation.
The District Policy Committee also has overall responsibility for ensuring that there is in place an appropriate system of controls, financial and otherwise, to provide reasonable confidence and assurance that:
- the District’s administration is operating effectively and efficiently;
- the assets of the District are properly safeguarded against unauthorised loss or damage;
- proper records are maintained and information produced for management control, fiscal and statutory reasons; and
- the District complies with the relevant laws and guidelines.
This report was approved by the District Policy Committee as Trustees on 23rd March 2022 and is signed on their behalf by:
R Parkinson REV R.E. PARKINSON District Chair J.C. REED District Treasurer
J Christopher Reed
_Trustees_
- 8 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Statement of Financial Activities for the year ended 31st August 2021**
|**_Note_**
**Income from:**
Donations and grants
Grants from connexional funds
**_3_**
Other grants and donations
**_4_**
_Total donations and grants_
Charitable activities
Assessments on circuits
**_5_**
Levies on circuit model
trust funds
Distribution from Connexional
Priority Fund
Other charitable activities
**_6_**
_Total charitable activities_
Other trading activities
**_7_**
Investments
**_8_**
Other income
**_9_**
_Total income_
**Expenditure on:**
Raising funds
**_13_**
Charitable activities
Contribution to Methodist Church Fund
Other charitable activities
undertaken directly
**_14_**
Grant funding of charitable
activities
**_15_**
Support costs
**_16_**
_Total charitable activities_
Other expenditure
**_17_**
_Total expenditure_
**Net income/(expenditure)**
Transfers between funds
**_18_**
**Net movement in funds**
Total funds brought forward
**Total funds carried forward**|**District**
**Expenses**
**Fund**
**(unrestricted)**
**£**
27,525
-
27,525
601,299
-
-
1,359
602,658
-
263
-
**630,446**
-
532,149
83,923
-
35,206
651,278
20,000
**671,278**
**(40,832)**
39,400
**(1,432)**
350,153
**348,721**|**Desig-**
**nated**
**Funds**
**(unrestricted)**
**£**
-
-
-
-
-
-
-
-
-
-
-
**-**
-
-
1,011
-
-
1,011
-
**1,011**
**(1,011)**
-
**(1,011)**
50,896
**49,885**|**District**
**Advance**
**Fund**
**(restricted)**
**£**
-
-
-
-
120,687
96,027
-
216,714
-
1,322
-
**218,036**
706
-
-
112,005
-
112,005
-
**112,711**
**105,325**
(49,400)
**55,925**
49,622
**105,547**|**Other**
**Restrict-**
**ed Funds**
**(restricted)**
**£**
22,000
29,782
51,782
-
-
-
-
-
1,352
95
-
**53,229**
-
-
63,623
5,719
-
69,342
-
**69,342**
**(16,113)**
10,000
**(6,113)**
83,057
**76,944**|**Total**
**Funds**
**2020/21**
**Total**
**Funds**
**2019/20**
**£**
**£**
49,525
44,126
29,782
58,279
79,307
102,405
601,299
608,276
120,687
85,656
96,027
110,957
1,359
600
819,372
805,489
1,352
1,219
1,680
4,826
-
10,000
**901,711**
**923,939**
706
674
532,149
529,636
148,557
139,992
117,724
199,208
35,206
37,297
833,636
906,133
20,000
-
**854,342**
**906,807**
**47,369**
**17,132**
-
-
**47,369**
**17,132**
533,728
516,596
**581,097**
**533,728**|
|---|---|---|---|---|---|
- 9 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Balance Sheet as at 31st August 2021**
|||**District**|**Desig-**|**District**|**Other**|**Total**|**Total**|
|---|---|---|---|---|---|---|---|
|||**Expenses**|**nated**|**Advance**|**Restrict-**|**Funds at**|**Funds at**|
|||**Fund**|**Funds**|**Fund**|**ed Funds**|**31 Aug 21**|**31 Aug 20**|
|||**(unrestricted)**|**(unrestricted)**|**(restricted)**|**(restricted)**|||
||**_Note_**|**£**|**£**|**£**|**£**|**£**|**£**|
|**Fixed assets**||||||||
|Tangible assets|**_19_**|265,000|-|-|-|265,000|265,000|
|**Current assets**||||||||
|Debtors|**_20_**|25|480|-|219|724|1,511|
|Cash on deposit:||||||||
|Trustees for Methodist Church Purposes||-|-|393,121|-|393,121|352,899|
|Central Finance Board||109,690|48,075|-|70,167|227,932|242,934|
|Cash at bank||6,028|1,330|-|6,919|14,277|9,611|
|Prepaid currency cards||141|-|-|400|541|786|
||_Total current assets_|115,884|49,885|393,121|77,705|636,595|607,741|
|**Liabilities**||||||||
|Creditors due within 1 year:||||||||
|Creditors|**_21_**|32,163|-|-|361|32,524|35,236|
|Grants payable|**_22_**|-|-|141,245|400|141,645|151,625|
|||32,163|-|141,245|761|174,169|186,861|
||_Net current assets_|83,721|49,885|251,876|76,944|462,426|420,880|
|_Total assets less current liabilities_||348,721|49,885|251,876|76,944|727,426|685,880|
|Creditors due after 1 year:||||||||
|Grants payable|**_22_**|-|-|146,329|-|146,329|152,152|
||**_Total net assets_**|**348,721**|**49,885**|**105,547**|**76,944**|**581,097**|**533,728**|
|**Represented by**|**_23_**|||||||
|Unrestricted Funds:||||||||
|District Expenses Fund||348,721||||348,721|350,153|
|Designated Funds:||||||||
|District Training Fund|||16,300|||16,300|17,311|
|Manse Fund|||33,585|||33,585|33,585|
|Restricted Funds:||||||||
|District Advance Fund||||105,547||105,547|49,622|
|Agricultural Chaplaincy Fund|||||63,583|63,583|66,743|
|Children Support Fund|||||9,343|9,343|12,319|
|Chair's Benevolent|Fund||||1,993|1,993|2,068|
|Komera Partnership Rwanda|||||2,025|2,025|1,927|
||**_Total funds_**|**348,721**|**49,885**|**105,547**|**76,944**|**581,097**|**533,728**|
The notes on pages 11 to 23 form part of these accounts
The accounts were approved by the District Policy Committee as Trustees on 23rd March 2022 and are signed on their behalf by:
R Parkinson
REV R.E. PARKINSON
District Chair
- 10 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Statement of Cash Flows for the year ended 31st August 2021**
|**Total**
**Funds**
**2020/21**
**_Note_**
**£**
**Cash flows from operating activities**
Net cash provided by/(used in) operating activities
**_See below_**
27,961
**Cash flows from investing activities**
Interest receivable
1,680
29,641
606,230
**635,871**
**Represented by**
Cash on deposit:
Trustees for Methodist Church Purposes
393,121
Central Finance Board
227,932
Cash at bank
14,277
Prepaid currency cards
541
**635,871**
**Reconciliation of net income/(expenditure) to net cash flow from operating activities**
**_Page 8_**
47,369
Deduct interest receivable (investing activity)
(1,680)
Decrease/(increase) in debtors
**_Note 19_**
787
Increase/(decrease) in creditors
**_Notes 20, 21_**
(18,515)
**27,961**
Net income/(expenditure) for the year as per
Statement of Financial Activities
**Net cash provided by/(used in) operating**
**activities**
**Increase/(decrease) in cash and cash equivalents in the year**
Cash and cash equivalents at beginning of year
**Cash and cash equivalents at end of year**|**Total**
**Funds**
**2019/20**
**£**
44,156
4,826|
|---|---|
||48,982
557,248|
||**606,230**|
||352,899
242,934
9,611
786|
||**606,230**|
||17,132
(4,826)
25
31,825|
||**44,156**|
- 11 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Notes to the Accounts for the year ended 31st August 2021**
## **1 Basis of accounting and accounting policies**
## **(a) Basis of preparation**
The accounts have been prepared in accordance with the following:
- i) 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 2015),
- ii) FRS 102 - The Financial Reporting Standard applicable in the UK and Republic of Ireland (as above), and
- iii) The Charities Act 2011.
The Charities SORP (FRS 102) has been used, despite the relevant 2008 accounting regulations still requiring use of the Charities SORP 2005, on the grounds that it is necessary to use the newer SORP in order to comply with the legal obligation to give a true and fair view.
The accounts have been prepared under the historical cost convention except for the use of an historical insured value as the deemed cost of the District manse. The accruals basis has been used to show a true and fair view of the District's financial position and activities.
## **(b) Public benefit entity**
The Wolverhampton and Shrewsbury Methodist District (the "District") meets the definition of a public benefit entity in FRS 102 as its primary objectives require it to act so as to provide public, community or social benefit rather than to provide economic benefit to its members or participants.
## **(c) Going concern**
The trustees consider there are no material uncertainties that would cast significant doubt on the District's ability to continue as a going concern for the foreseeable future, being a period of more than 12 months from the date these accounts are approved. They reached their view having taken into account the financial position of the District shown in these accounts, budgets for the next two years, and the connexional structure of the Methodist Church of Great Britain of which the District forms an integral part.
## **(d) Funds**
The District operates a District Expenses Fund, which is the general unrestricted fund that can be used for any District purposes and holds cash, other current assets and the District manse. In addition there are designated funds holding cash and current assets designated for particular purposes but which may be used for other District purposes at the discretion of the trustees. There are also several restricted funds holding cash and current assets which can only be used for the specified purpose because of the terms on which their funding was received whether by grant, donation or fundraising.
## **(e) Income recognition**
Income is recognised when the District becomes entitled to the economic benefit of the income, it is probable (i.e. more likely than not) that it will be received, and its monetary value can be measured reliably. No attempt is made to measure the considerable value of services or time donated by volunteers.
The District acts as agent in the following matters:
- i) collections taken at Synod for various charities, which are paid over to the respective charities shortly afterwards; and
- ii) payments received from the Methodist Church Fund to reimburse the District for the expenses of District representatives attending the Methodist Conference.
The receipts and payments for the above matters are not income or expenditure of the District and are therefore not reflected in the Statement of Financial Activities.
- 12 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Notes to the Accounts for the year ended 31st August 2021**
## **1 Basis of accounting and accounting policies (continued)**
## **(f) Expenditure recognition**
Expenditure is recognised when there is a legal or constructive obligation committing the District to pay out resources, it is probable (i.e. more likely than not) that settlement will be required, and the amount of the obligation can be measured reliably.
## **(g) Grants payable**
The District makes a significant number of grants to third parties in furtherance of its objects, sometimes as oneoff payments and sometimes as a series of periodic payments that may cover several years. As soon as a grant is awarded to a third party they have a valid expectation that the District will discharge its obligation to make the payments whenever they are to become due. This creates a constructive obligation in respect of the total value of the award. Even though multi-year grant awards are subject to annual monitoring, no specific conditions are imposed that would make the awards conditional and payment of the full amount is therefore probable. Accordingly all awards are immediately recognised as expenditure and a liability for future payments is recorded.
## **(h) Value added tax**
Since the District is not registered for value added tax ("VAT"), all input VAT is charged with the expense to which it relates.
## **(i) Pensions**
All employees of the District are either auto-enrolled in or invited to join The Pensions Trust defined contribution pension scheme. The District's contribution is set at 6% of salary and the District has no liability beyond making its contributions and paying over the deductions for the employees' contributions. There were no contributions outstanding at the year-end.
## **(j) Tangible fixed assets**
Tangible fixed assets are capitalised if they can be used for more than one year, and individually cost more than £1,000. They are valued at historical cost, except for the District Chair's manse, which is stated at deemed cost, being its insured value in 2011. The manse is currently the only fixed asset held and it is assessed each year for any indication of impairment.
## **(k) Depreciation**
Depreciation is provided to write-off the cost of a fixed asset, less its residual value, over its useful economic life. In the case of the manse, its residual value is estimated and provided it is not less than cost no depreciation is required.
## **(l) Debtors and creditors**
Debtors are stated at the amount the District expects to receive or the amount it has paid in advance for goods or services. Creditors are stated at the amount the District expects to pay or the amount it has received as an advance payment for goods or services.
- 13 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Notes to the Accounts for the year ended 31st August 2021**
## **2 Controlling body, connected organisations and glossary of terms**
The ultimate controlling body of the District is the Conference of the Methodist Church in Great Britain.
The "Conference" is a representative body drawn from across the Connexion, and is the policy-making and governing body of the Church. It makes and amends Standing Orders, which are published annually in the Constitutional Practice and Discipline of the Methodist Church, as the basis for governance of the Church throughout the Connexion.
The "Connexion" is the larger connected community of the Methodist Chuch in Great Britain, comprising the Conference, the central team of Connexional Officers and support systems directed by the Methodist Council, and the regional organisation of Districts, Circuits and Churches.
"Districts" are regional bodies comprising a number of Circuits.
"Circuits" are local groupings of churches.
"Churches" are the local places to which Methodists belong.
Each of the entities in these layers of the church community is a separate charity with its own trustees and many of the District's trustees are also trustees of some of these. However, the District has no significant influence over any of these entities nor, with the exception of the Conference, do they have significant influence over the District. The District is bound by the Standing Orders laid down by Conference as law and policy but within that framework it is able to determine for itself how to fulfill its role. All the entities within the Connexion are therefore connected organsations in relation to the District but, because of the lack of significant influence, they are not considered related parties for accounting purposes.
The District receives grants from Connexional funds to support certain aspects of its work. It also receives the proceeds of an annual levy set by Conference charged on money held in trust funds by its Circuits. Conference has also set a levy to be charged on most property sales within the Connexion for the Connexional Priority Fund. Part of the proceeds of this fund is distributed annually to the Districts.
Conference has established the Methodist Church Fund as a major source of finance for the activities of the Church and it determines an assessment to be paid into the fund each year, which is allocated between the Districts. The Districts in turn make an assessment on their Circuits to collect the Methodist Church Fund assessment together with a contribution to District expenses.
Many Circuits and Churches make grants and donations and provide personnel to support District activities. The District in turn makes grants to Circuits and Churches for personnel and property projects.
The "Trustees for Methodist Church Purposes" is the legal owner and custodian trustee of all property held on Methodist model trusts.
The "Central Finance Board of the Methodist Church" manages a common deposit fund and a series of pooled investment funds for Methodist entities.
Insurance cover is provided to the District by Methodist Insurance PLC.
- 14 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Notes to the Accounts for the year ended 31st August 2021**
## **3 Grants from connexional funds**
|Mission in Britain Fund grant to fund the appointment of area co-
ordinators for the Agricultural Chaplaincy (restricted fund)
Connexional Priority Fund grant supporting the reaffirmation of
"Our Calling" to support the work of the Ministry & Mission Co-
ordinator (District Expenses Fund)
Grant to fund the recruitment of a District Property Consultant
(District Expenses Fund)|**£**
**2020/21**
22,525
22,000
49,525
5,000|**£**
**2019/20**
22,126
22,000
-|
|---|---|---|
|||44,126|
The first two of the above grants represent annual instalments of three-year grants in each case. The total amounts awarded were £140,800 but instalment payments are subject to the work for which the grants were awarded being delivered, and to monitoring and evaluation. The third grant above was a one-off payment.
|**er grants and donations**
**2020/21**
Donations from churches
Donations from individuals
Grant from Shropshire & Marches Circuit
Grant from Hereford Diocese
Other donations and grants
Gift aid
**2019/20**
Donations from churches
Donations from individuals
Grant from Shropshire & Marches Circuit
Grant from Hereford Diocese
Flood appeal donations
Other donations and grants
Gift aid|**£**
16,000
10,000
28,168
42,070
8,358
1,838
106
185
4,405
1,023
446
**Agric.**
**Chaplain-**
**cy Fund**
**(restricted)**
1,767
110
10,000
16,000|**£**
12,529
-
-
302
-
-
-
12,227
-
-
**Chair's**
**Benevol-**
**ent Fund**
**(restricted)**
125
-
100
-
225|**£**
149
-
50
2,185
144
-
-
-
500
2,884
**Komera**
**Partner-**
**ship Fund**
**(restricted)**
50
600
595
-
1,389|**£**
-
796
-
746
50
-
**Other**
**Funds**
-
-
-
-
-
-
-
-
-|**£**
250
**Total**
**Funds**
880
1,942
710
10,000
16,000|
|---|---|---|---|---|---|
||||||29,782|
||||||595
10,000
9,456
4,073
16,000
16,632
1,523|
||||||58,279|
## **4 Other grants and donations**
## **5 Assessments on circuits**
The Methodist Conference levies an annual assessment on the Circuits through the several Districts to finance the Methodist Church Fund ("MCF"). The assessment is payable by the Districts who then collect Circuit assessments to cover the MCF assessment plus a contribution to District expenses and training.
The allocation of the MCF assessment between Districts is based on staffing numbers at Circuit and District level. The allocation of the Circuit assessment between the Circuits is provisionally agreed between the District Treasurer and the Circuit Treasurers, subject to the approval of the District Policy Committee, and is based on a number of factors, including staffing levels and membership and attendance statistics.
The Circuit Treasurers believe this produces a fairer way of allocating the costs between Circuits. Accordingly the District cannot be said to act merely as agent for the collection of the MCF assessment and the full Circuit assessments are therefore shown as income of the District and the MCF assessment paid to the Connexion is shown as expenditure.
- 15 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Notes to the Accounts for the year ended 31st August 2021**
|**5 Assessments on circuits (continued)**
**£**
**2020/21**
For Methodist Church Fund
For District expenses
**2019/20**
For Methodist Church Fund
For District expenses and training
**6 Other charitable activities**
Circuit contribution to cost of employing lay worker
**7 Other trading activities**
Sale of beneficiary-made merchandise
69,150
529,636
71,740
601,299
601,376
532,149
**District**
**Expenses**
**Fund**
**(unrestricted)**|**£**
-
-
6,900
-
6,900
-
**Desig-**
**nated**
**Funds**
**(unrestricted)**|**£**
**£**
**£**
**(restricted)**
-
-
-
-
-
1,359
**2020/21**
**(unrestricted)**
-
**District**
**Expenses**
**Fund**
**2020/21**
**Komera**
**Partner-**
**ship Fund**
**(restricted)**
1,352
1,359
**District**
**Advance**
**Fund**|**£**
**£**
**£**
**2019/20**
**(restricted)**
-
-
-
-
600
600
-
**District**
**Expenses**
**Fund**
-
**2019/20**
**Komera**
**Partner-**
**ship Fund**
**(restricted)**
1,219
**(unrestricted)**
**Other**
**Restrict-**
**ed Funds**|**£**
532,149
69,150
**Total**
**Funds**|
|---|---|---|---|---|
|||||601,299|
|||||529,636
78,640|
|||||608,276|
||||||
The merchandise is made in Rwanda by women working together for peace and the well-being of their communities under a project set up by the Peacekeeping, Healing and Reconciliation Programme ("PHARP"), one of the partners supported by the Komera Partnership Fund. The proceeds have been remitted as grants to PHARP.
|**estment income**|**District**
**Expenses**
**Fund**|**Desig-**
**nated**
**Funds**|**District**
**Advance**
**Fund**|**Other**
**Restrict-**
**ed Funds**|**Total**
**Funds**|
|---|---|---|---|---|---|
||**(unrestricted)**|**(unrestricted)**|**(restricted)**|**(restricted)**||
||**£**|**£**|**£**|**£**|**£**|
|Interest receivable:||||||
|2020/21|263|-|1,322|95|1,680|
|2019/20|1,201|-|3,077|548|4,826|
## **8 Investment income**
- 16 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Notes to the Accounts for the year ended 31st August 2021**
## **9 Other income**
Repayment of unspent grant made in previous year
|**£**
**District**
**Advance**
**Fund**
**2020/21**
-
**(restricted)**|**£**
**District**
**Advance**
**Fund**
**2019/20**
10,000
**(restricted)**|
|---|---|
## **10 Payments to trustees**
The members of the District Policy Committee are the trustees of the District and none of them received any remuneration for their role as trustee. One of the trustees, Mrs Margaret Reynolds, was paid under a contract of employment as District Safeguarding Officer, as follows:
|eguarding Officer, as follows:|||
|---|---|---|
||**2020/21**|**2019/20**|
||**£**|**£**|
|Safeguarding Officer:|||
|Salary|15,007|14,517|
|Employer's national insurance contributions|855|803|
The Chair of the District, Rev Rachel Parkinson, is a trustee and is regarded as the sole key management person of the District. Under the authority of the Methodist Conference, the Chair was paid by the Connexion and was required to occupy the manse owned and maintained by the District. Total annual costs were as follows:
|Stipend and chair's allowance
Employer's national insurance contributions
Employer's contributions to defined benefit pension scheme
District manse maintenance and running costs|**£**
3,191
**2020/21**
31,905
9,722
51,684
6,866|**£**
3,075
**2019/20**
31,065
8,436
6,685|
|---|---|---|
|||49,261|
During the year two (2019/20 four) trustees received reimbursement of expenses incurred in carrying out their duties:
|Cost of travel for District purposes
Postage, telephone, stationery, hospitality, conferences and sundries
**11 Independent examiner**
Fees charged for independent examination of accounts|**£**
**£**
**2020/21**
370
958
1,328
1,620
**2020/21**|**£**
**2019/20**
2,802
2,084|
|---|---|---|
|||4,886|
|||**£**
1,620
**2019/20**|
The independent examiner did not carry out any other work for the District during the year.
- 17 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Notes to the Accounts for the year ended 31st August 2021**
|**ff costs**
Average number of full-time employees during the year
Average number of part-time employees during the year
Average full-time equivalent number of staff during the year
Salaries
Employer's national insurance contributions
Employer's contributions to defined contribution pension scheme
Apprenticeship levy
Charged to:
District Expenses Fund (unrestricted)
Agricultural Chaplaincy Fund (restricted)|**No.**
**£**
**2020/21**
**2020/21**
2.0
5.8
61,601
157,382
6,639
697
95,781
10,583
139,463
157,382
4.7|**No.**
**£**
614
**2019/20**
**2019/20**
2.0
4.8
6,318
9,381
122,919
4.2|
|---|---|---|
|||139,232|
|||79,687
59,545|
|||139,232|
## **12 Staff costs**
All staff are paid at a rate above the living wage and no employees received emoluments of more than £60,000. Members of staff served as Agricultural Chaplain, Ministry and Mission Co-ordinator, Safeguarding Officer and in other support and administrative posts.
|**enditure on raising funds**
Trustees for Methodist Church Purposes investment management fees|**£**
**2020/21**
706
**District**
**Advance**
**Fund**
**(restricted)**|**£**
**2019/20**
674
**District**
**Advance**
**Fund**
**(restricted)**|
|---|---|---|
## **13 Expenditure on raising funds**
The Trustees for Methodist Church Purposes hold the District Advance Fund as custodian trustees and invest it in a deposit fund at the Central Finance Board of the Methodist Church. The management fee is 0.2%pa of the fund value at the beginning of the year.
## **14 Other charitable activities undertaken directly**
|**2020/21**
Ministry & Mission Co-ordinator
Intergenerational Lay Worker
Safeguarding costs
Property Consultant
Agricultural chaplaincy costs
Supervision and other District services
Training and other activities
**2019/20**
Ministry & Mission Co-ordinator
Intergenerational Lay Worker
Safeguarding costs
Agricultural chaplaincy costs
Supervision and other District services
Training and other activities|**£**
**District**
**Expenses**
**Fund**
**(unrestricted)**
17,145
9,098
3,635
-
39,622
83,923
-
39,613
9,248
17,502
-
14,423
985
70,077
2,729|**£**
**(unrestricted)**
-
**Desig-**
**nated**
**Funds**
-
-
-
1,011
-
1,011
-
-
-
-
-
4,609
4,609
-|**£**
-
**District**
**Advance**
**Fund**
-
**(restricted)**
-
-
-
-
-
-
-
-
-
-
-
-
-|**£**
300
-
**Other**
**Restrict-**
**ed Funds**
-
**(restricted)**
63,323
-
-
63,623
-
-
-
65,006
-
300
65,306
-|**£**
17,145
**Total**
**Funds**
9,098
39,622
63,323
3,635
1,311
14,423|
|---|---|---|---|---|---|
||||||148,557|
||||||39,613
9,248
2,729
17,502
65,006
5,894|
||||||139,992|
- 18 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Notes to the Accounts for the year ended 31st August 2021**
## **15 Grant funding of charitable activities**
|**£**
**2020/21**
Grants paid in year:
Local ecumenical organisations
Grants to circuits and churches
Grants to partners in Rwanda
Other grants
Grants awarded but unpaid at end of year
Grants awarded but unpaid at start of year
**2019/20**
Grants paid in year:
Local ecumenical organisations
Grants to circuits and churches
Grants to partners in Rwanda
Tenbury Wells flood relief (from flood appeal)
Other grants
Grants awarded but unpaid at end of year
Grants awarded but unpaid at start of year
-
6,768
-
-
-
-
6,768
-
-
-
-
-
-
-
**District**
**Expenses**
**Fund**
**(unrestricted)**
6,768
-
-|**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
**Desig-**
**nated**
**Funds**
**(unrestricted)**
-
-
-|**£**
112,005
19,686
133,550
-
-
540
153,776
127,708
(303,277)
287,574
-
-
97,555
30,153
**District**
**Advance**
**Fund**
**(restricted)**
177,037
303,277
(280,016)|**£**
5,719
-
-
4,303
4,500
6,600
15,403
5,719
-
-
2,643
3,076
-
-
**Other**
**Restrict-**
**ed Funds**
**(restricted)**
15,403
-
-|**£**
2,643
3,076
97,555
30,153
**Total**
**Funds**|
|---|---|---|---|---|
|||||133,427
(303,277)
287,574|
|||||117,724|
|||||26,454
133,550
4,303
4,500
7,140|
|||||175,947
303,277
(280,016)|
|||||199,208|
All these grants were made to organisations and none was made to an individual.
The grants awarded during the year from the District Advance Fund are for personnel, ecumenical, outreach or property projects related to mission and ministry, predominantly within circuits or local churches.
|Personnel, ecumenical and outreach projects
Property projects|-
112,005
**£**
**2020/21**
112,005|10,980
166,057
**£**
**2019/20**|
|---|---|---|
|||177,037|
There were 19 grants awarded during the year, of which the following grants were the largest and accounted for 68% of the total, each being payable in annual instalments:
|Dudley and Netherton Circuit - to support the appointment of a Deacon for three years from September|£|30,000
|
|---|---|---|
|2021|||
|Dudley and Netherton Circuit - to continue to support the employment of a circuit mission enabler and|£|25,500
|
|administrator for a further three years from September 2021|||
|Berkswich Methodist Church, Stafford Circuit - to support the employment of a lay outreach worker for|£|21,000
|
|three years from September 2021|||
There are no support costs included in the cost of grant funding as they would not be material. The District Advance Fund is overseen by the Resourcing Mission Committee, the work of which is largely carried out by its officers, predominantly the District Grants Officer, on a voluntary basis.
- 19 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Notes to the Accounts for the year ended 31st August 2021**
## **16 Support costs**
|Chair's travel and miscellaneous expenses
Administration staff costs
District office expenses
District manse expenses
Synod expenses
Meeting, travel and other administrative expenses
Governance costs
**er expenditure**
Savings from reduced expenditure during pandemic
returned to circuits|**£**
**£**
**District**
**Expenses**
**Fund**
**(unrestricted)**
820
1,620
20,000
**2020/21**
818
18,486
9,722
**2020/21**
383
3,357
35,206|**£**
8,436
1,088
1,659
**2019/20**
2,006
17,861
2,185
4,062|
|---|---|---|
|||37,297|
|||**£**
**District**
**Expenses**
**Fund**
**(unrestricted)**
-
**2019/20**|
## **17 Other expenditure**
The budget for 2020/21 was approved in March 2020 and that determined the circuit assessments required in 2020/21. This was just before the restrictions to combat the Covid-19 pandemic were imposed and, in the event, the actual outcomes for 2019/20 and 2020/21 were severely impacted. Some charitable activities undertaken directly had to be scaled back and incurred lower than normal expenses and there were also savings in support costs.
The pandemic affected six months of 2019/20 and the savings compared to budget were about £12,000. In March 2020 the further savings in 2020/21 were estimated at £8,000 and the District Policy Committee agreed to return £20,000 to circuits to support churches that were struggling financially. It was agreed that the refund be shared equally between the five circuits with the lowest amount of unrestricted cash reserves per member. The refund was approved by Synod on 24th April 2021.
## **18 Transfers between funds**
|**2020/21 transfers to/(from) funds**
Ministry & Mission Co-ordinator costs
Agricultural chaplaincy costs
Intergenerational Lay Worker costs
District Property Consultant costs
**2019/20 transfers to/(from) funds**
Ministry & Mission Co-ordinator costs
Agricultural chaplaincy costs
Intergenerational Lay Worker costs
Coach fares to 3Generate
Underspend on manse maintenance|**£**
10,400
39,400
18,000
-
10,400
11,000
18,000
**District**
**Expenses**
**Fund**
-
**(unrestricted)**
1,160
(1,000)
28,560|**£**
-
-
-
-
-
-
-
**Desig-**
**nated**
**Funds**
-
**(unrestricted)**
-
1,000
1,000|**£**
(10,400)
(49,400)
(18,000)
(10,000)
(18,000)
**District**
**Advance**
**Fund**
(10,400)
(11,000)
(10,000)
**(restricted)**
(1,160)
-
(39,560)|**£**
-
**(restricted)**
10,000
-
10,000
-
**Other**
**Restrict-**
**ed Funds**
-
-
10,000
-
-
10,000|**£**
-
-
-
**Total**
**Funds**
-|
|---|---|---|---|---|---|
||||||-|
||||||-
-
-
-
-|
||||||-|
- 20 -
**Wolverhampton and Shrewsbury Methodist District**
## **Notes to the Accounts for the year ended 31st August 2021**
## **19 Tangible fixed assets**
## **District manse**
## Deemed cost
|**£**
**31/8/21**
265,000|**£**
265,000
**31/8/20**|
|---|---|
The Chair's manse is stated at deemed cost, being its insured value in 2011. The manse was professionally valued at £370,000 by Jackson Lile & Close on 27th January 2020 and accordingly no depreciation has been provided.
## **20 Debtors**
|Prepayments - deposits for retreat fees and manse maintenance
Accrued income - gift aid refund receivable
Other debtors
**21 Creditors**
Accrued expenses
Reimbursement of employees' and volunteers' expenses
Accrued expenses due to third party suppliers
Bristol Methodist District - Probationers' Retreat
Use of facilities at Beckminster Methodist Church
Deferred income
Grants received in advance
Charges received in advance for 2022 Rwanda trip
Other creditors
**22 Liabilities for grants payable in future years**
Grants payable within one year:
District Advance Fund grants
Children Support Fund grant
Grants payable after more than one year:
District Advance Fund grants:
Payable in -
2021/22
2022/23
2023/24
2024/25
Total grant commitments|**£**
**£**
**£**
32,524
141,245
724
219
480
-
2,625
25
**31/8/21**
**31/8/21**
1,005
1,620
-
4,543
146,329
287,974
22,975
6,750
174
91,743
50,043
400
141,645
-
**31/8/21**|**£**
626
885
-
**31/8/20**|
|---|---|---|
|||1,511|
|||**£**
40
**31/8/20**
892
2,674
1,114|
|||4,720
27,525
-
2,991|
|||35,236|
|||**£**
151,125
500
**31/8/20**|
|||151,625|
|||-
51,575
3,400
97,177|
|||152,152|
|||303,777|
- 21 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Notes to the Accounts for the year ended 31st August 2021**
## **23 Summary of fund movements**
|**2020/21 Unrestricted fund movements**
District Expenses Fund
District Training Fund
Manses Fund
**2020/21 Restricted fund movements**
District Advance Fund
Agricultural Chaplaincy Fund
Children Support Fund
Chair's Benevolent Fund
Komera Partnership Fund
**2020/21 Total fund movements**
**2019/20 Unrestricted fund movements**
District Expenses Fund
District Training Fund
Manses Fund
**2019/20 Restricted fund movements**
District Advance Fund
Agricultural Chaplaincy Fund
Children Support Fund
Chair's Benevolent Fund
Komera Partnership Fund
**2019/20 Total fund movements**|**Fund**
**balances**
**brought**
**forward**
**Income**
**Expenditure**
**Transfers**
**between**
**funds**
**Fund**
**balances**
**carried**
**forward**
**_(Note 18)_**
**£**
**£**
**£**
**£**
**£**
350,153
630,446
671,278
39,400
348,721
17,311
-
1,011
-
16,300
33,585
-
-
-
33,585|
|---|---|
||401,049
630,446
672,289
39,400
398,606|
||49,622
218,036
112,711
(49,400)
105,547
66,743
50,263
63,423
10,000
63,583
12,319
-
2,976
-
9,343
2,068
225
300
-
1,993
1,927
2,741
2,643
-
2,025|
||132,679
271,265
182,053
(39,400)
182,491|
||**533,728**
**901,711**
**854,342**
**-**
**581,097**|
||340,068
625,303
643,778
28,560
350,153
15,020
6,900
4,609
17,311
32,585
-
-
1,000
33,585|
||387,673
632,203
648,387
29,560
401,049|
||57,203
209,690
177,711
(39,560)
49,622
53,004
64,518
68,506
17,727
66,743
14,523
896
3,100
-
12,319
2,066
12,529
4,800
(7,727)
2,068
2,127
4,103
4,303
-
1,927|
||128,923
291,736
258,420
(29,560)
132,679|
||**516,596**
**923,939**
**906,807**
**-**
**533,728**|
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## **Wolverhampton and Shrewsbury Methodist District**
## **Notes to the Accounts for the year ended 31st August 2021**
## **24 Unrestricted funds**
## **(a) District Expenses Fund**
This is the general fund used for running the District and has no restrictions. It is financed principally by circuit assessments and the fund balance includes the book value of the District manse (£265,000).
## **(b) Designated funds**
These funds are designated for particular purposes by the District Policy Committee but they are not held on terms that prevent their use for other District purposes if the Committee so resolve.
The District Training Fund is used to fund ministerial and lay training. From 1st September 2020 this fund will be financed by transfers from the District Advance Fund ("DAF") as and when required. Although the DAF is a restricted fund its purposes include the support of personnel working in the District and transfers to the Training Fund will be made by grants awarded in the usual way in accordance with the DAF policy as long as the Training Fund continues to meet that purpose of the DAF.
The Manse Fund is used as a reserve to cover occasional heavy expenditure on maintenance of the District manse. Manse maintenance is charged to the District Expenses Fund but any underspend compared to budget is transferred to the Manse Fund and any overspend is covered by drawing on the Manse Fund.
## **25 Restricted funds**
## **(a) District Advance Fund**
This fund is set up under Methodist Standing Orders and is funded by a levy on the end-of-year balances of the Circuit Model Trust Funds of the Circuits in the District and by a distribution from the Connexional Priority Fund, as part of the process of moving money around the Connexion to enable it to best be used for the mission of the Church. The fund is administered by the Resourcing Mission Committee who award grants in accordance with the fund policy to support personnel or property projects related to mission and ministry and to support outreach, evangelism and ecumenical work.
## **(b) Other restricted funds**
The Agricultural Chaplaincy Fund finances the work of Borderlands Rural Chaplaincy, a joint Methodist and Anglican initiative among rural communities in the Welsh borders. Its income comes mainly from grants and donations from a range of Methodist and Anglican sources and it employs a full-time chaplain and a part-time area co-ordinator, who are supported by a team of volunteers.
The Children Support Fund is used to make grants to churches who are working with children in deprived circumstances.
The Chair's Benevolent Fund provides modest sums from donations to allow the Chair to meet cases of personal need in a confidential way.
The Komera Partnership Fund supports the District's partnership with the Free Methodist Church of Rwanda and the Peacebuilding Healing and Reconcilation Programme of Rwanda with funds from donations and fundraising activities.
- 23 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Accounts for the year ended 31st August 2021**
## **DECLARATIONS**
## **Treasurer**
I confirm that these accruals-based accounts for the year ended 31st August 2021 have been prepared from the records of the District and that they include all funds under the control of the District Policy Committee.
**----- Start of picture text -----**
Signature of Treasurer J Christo her Reed Date 23rd March 2022
p
Name J. Christopher Reed FCA TEP
Address 3 Castlecroft Lane
Wolverhampton
WV3 8JX
**----- End of picture text -----**
## **Approval by the District Policy Committee**
The trustees' annual report and accounts for the year ended 31st August 2021 were approved by the District Policy Committee as trustees on 23rd March 2022 and are signed on their behalf by:
Signature of Chair of the R Parkinson Date 23rd March 2022 meeting Name of the Chair of the Rev Rachel E. Parkinson meeting
- 24 -
## **Wolverhampton and Shrewsbury Methodist District**
## **Accounts for the year ended 31st August 2021**
## **Independent Examiner’s Report**
## **to the Trustees of Wolverhampton and Shrewsbury Methodist District**
I report to the trustees on my examination of the accounts of Wolverhampton and Shrewsbury Methodist District ("the District") for the year ended 31[st] August 2021.
## **Responsibilities and basis of report**
As the charity trustees of the District, you, the members of the District Policy Committee, 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 District's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
## **Independent examiner’s statement**
Since the District's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
- (1) accounting records were not kept in respect of the District as required by section 130 of the Act; or
- (2) the accounts do not accord with those records; or
- (3) the accounts do 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.
|Date
Name of Examiner
Relevant professional body
Address of Examiner
Signature of Examiner|I Cattell|
|---|---|
|||
||Ian Cattell FCA|
|||
||The Institute of Chartered Accountants
in England and Wales|
|||
||Crombies Accountants Limited
Wolverhampton
WV1 4DG
34 Waterloo Road|
|||
||23rd March 2022|
- 25 -