**REGISTERED CHARITY NUMBER: 1135268** ## **REPORT OF THE TRUSTEES AND** **FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** ## **FOR** **BROADMEAD COMMUNITY CHURCH** **BROADMEAD COMMUNITY CHURCH** **CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** ||**Page**| |---|---| |**Reference and Administrative Details**|1| |**Report of the Trustees**|2 to 5| |**Independent Examiner's Report**|6| |**Statement of Financial Activities**|7| |**Balance Sheet**|8| |**Notes to the Financial Statements**|9 to 25| |**Detailed Statement of Financial Activities**|26 to 27| **BROADMEAD COMMUNITY CHURCH** ## **REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 DECEMBER 2021** ## **TRUSTEES** ||| |---|---| |**TRUSTEES**|Mr J Lee (Treasurer) (resigned 30/11/21)| ||Mr J Madden| ||Revd A Eakins (Chair & Minister)| ||Miss G Murray (resigned 30/9/21)| ||Mr S Town (resigned 30/9/21)| ||Mrs K Dawkins| ||Mr J Winning| ||Mr J Ditchburn| ||Dr R Boyd (Treasurer)| |**PRINCIPAL ADDRESS**|Broadmead Community Church| ||Broadmead Avenue| ||Northampton| ||NN3 2QY| |**REGISTERED CHARITY**|1135268| |**NUMBER**|| |**INDEPENDENT EXAMINER**|DNG Dove Naish LLP| ||Chartered Accountants| ||Eagle House| ||28 Billing Road| ||Northampton| ||NN1 5AJ| |**BANKERS**|Natwest Bank| ||41 The Drapery| ||Northampton| ||NN1 2EY| ||Nationwide Building Society| ||36 Kingsley Park Terrace| ||Northampton| ||NN2 7HG| |**PROPERTY TRUSTEES**|The Baptist Union Corporation Limited| ||Baptist House| ||129 Broadway| ||Didcot| ||Oxfordshire| ||OX11 8RT| Page 1 **BROADMEAD COMMUNITY CHURCH** ## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2021** The trustees present their Annual Report and financial statements for 2021. ## **OBJECTIVES AND ACTIVITIES** ## **Charitable Object** The Charity is governed by an Approved Governing Document which states that the principal purpose of the charity is the advancement of the Christian faith according to the principles of the Baptist denomination to include the advancement of education, community service and such other general charitable purposes in such parts of the United Kingdom and the world as the Church shall determine. The Church occupies premises which are held by the Baptist Union Corporation Ltd, on Trusts which are entirely compatible with the above charitable objective. Page 2 **BROADMEAD COMMUNITY CHURCH** **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2021** ## **OBJECTIVES AND ACTIVITIES Objectives and Activities** In order to achieve the principal objective, which is set out above, the Church provides a variety of activities both to its membership and to the community generally. The aim is to show the love of Jesus Christ in both word and deed and to bring people into a closer relationship with Him as living Lord. Central to the work and witness of the Church is the provision of regular public services of Christian worship. These gatherings take place each Sunday at 10:45am, although up until Easter we were only able to offer online services due to government restrictions. There are also occasional services at other times which are advertised in the church digital bulletin and the website at broadmead.org.uk. There is a full children’s and youth programme. The church seeks to be a friendly and welcoming community, and anybody is free to attend any of these gatherings. The Church runs a series of connect groups, huddles, community groups and small groups for the growth of faith and discipleship normally in the homes of some members and in early 2021 online, and further details of these can be obtained our website or at the Sunday Gatherings. The Church established Samuels Christian Nursery in 1990 to offer sessional pre-school education to over forty children in the local community each week. It operates between Monday – Friday, with the purpose of offering quality education and demonstrating the love of Jesus Christ. They were open during all lockdowns and were able to operate with extremely committed staff team. They also appointed a new nursery manager following the resignation of the previous one. The Church runs the Broadmead Money Advice Centre (BMAC) and trained staff to enable money advice to be offered to clients from the local community. During 2021 they continued to offer mostly virtual support due to all the staff having to shield as part of the response to Covid-19. They began to see clients in person during the summer and now have a hybrid model. The Church runs a weekly club for young teens who live in the locality and arranges various events for Young People from the church and the community. A programme of activities covering all ages is offered to children attending the service on Sundays. This was able to re-open after Easter in a limited way but is now fully running and numbers have gradually increased. The Church also runs a parent and toddler group to offer advice, support, and community to parents as well as activities for children. This has continued during the year as it is considered a group which provides vital support to mums during this difficult year. The Church runs a Craft and Chat group on a weekly basis for the local community who enjoy meeting together to develop skills in a wide range of crafts. This re-opened after Easter and has provided a vital source of company and support to those who might be isolated. The Church has continued to partner with St. Albans Church to run a food bank which is open every Friday morning. The church is a collection point and then help to provide volunteers to staff the project. This has proved to be a vital source of help to people in the community during the challenging year. We have also delivered food parcels and shopping to those who have been shielding and this has always been done in a Covid safe way following our church’s policy regarding safeguarding and finance. The Church also held several other dedicated events during the year such as Christmas, Easter, and other special events. The Church building was completed in April 2021 and is now being fully used by both church ministries and community groups throughout the week. These include groups such as Adult Learning, NHS Health Checks, Counselling, Adult Literacy Coaching, Northampton Music School, Art Classes, Dog Training, Carers Groups, Healing Rooms, and other interests and hobby groups such as Pilates, Kickboxing, Gymnastics and Step Aerobics. The Church arranges lunches and other meetings that provide a meeting place for seniors. This has re-started during 2021. Page 3 **BROADMEAD COMMUNITY CHURCH** ## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2021** ## **OBJECTIVES AND ACTIVITIES** The Church operates systems to ensure that all people working with children, youth and adults at risk are appropriately vetted regarding the Disclosure and Barring Service. We have clear policies and procedures set out and regular training is made available. The Church has also put in place the policies and procedures to ensure we are compliant with all new GDPR regulations. From time to time the Church runs courses for people interested in discovering more about Christianity. This year we ran the Alpha course in the autumn. ## **ACHIEVEMENT AND PERFORMANCE Achievements and Performance** The Church does not measure the success of its programmes only in numbers, including financial numbers, but also in less tangible areas like fellowship and encouragement. The Trustees recognise that these are difficult to measure, 2021 was an extremely challenging year and a significant year in the life of the church. The leadership of the church were able to pivot very quickly at the start of the second major lockdown in January to move everything from In-Person meeting and activities to online. This was incredibly well received by church and local community as we sought to connect people, especially those who were unwell, shielding or/and in isolation. During the year two new members joined the church and we baptised four people on their confession of faith. Attendance at our Gatherings has fluctuated from week to week during the year both In-Person and Online. However, we continued to see new people joining in person and accessing our online programme on a weekly basis. Samuel’s Nursery Christian Group continued to provide quality education to local families and achieves high standards as judged by those agencies monitoring the nursery. Youth activities continued to provide a safe and secure environment for young people. The TMX youth group continued to provide a secure environment for local youth and on relaunching is extremely popular again with over fifty young people on the register. The Children’s and Youth Programme on a Sunday developed a high-quality programme of teaching which has received high praise from parents. One of our new developments this year was outdoor muddy church which engaged whole families in new way of improving health through fitness and learning through using QR codes to unlock teaching. Page 4 BROADMEAD COMMUNifi CHURCH REPORT OF THE TRUSTEES FOR THE YEAR ENOED 31 DECEMBER 2021 FINANCIAL REVIEW Flnancial Revi•w The Church continues to raise the fvnds which it needs lo continue its activilies from within Its own membership. congregation arKI grants. No wider publtc appeal was made for funds during the year. The Church expressed its part in the life of the wider Church by making grants lo national and international Christian organisations and sweties with Christian aims and objectives compatsble with the church's own chanlable purpose. The Church is heavily dependent on its membership working as volunteeTS in all aspects of the church's activities, many of which run with little or no impact on the church's expenditure, but nevertheless contribute substantially to the achievement of Ihe ChU￿h,$ objectives. The financial results for thè year 109ether with a summary of th• accounting policies adopted are $81 out in the accompanying financial statements. The Trustees have estsblished a Reserve Policy of three months eore costs which is equal lo months full running costs. We are satisfied that with this plan. together with ongoing in¢ome anticipated. that we can function effectively as a church in the coming year. The trustees have had regard to the Charity Commissions guidance on public benefit. The Church's Health and Safety Policy has been reviewed and we have updated all our poliGies and procedures. We have conducted risk assessments for using the building and all restarted activrf(ies to ensure we offer best practice in tems of the risk of Covid. The Trustees have assessed the major risks fracing the church and are ¢onducting the actions recommended lo minimise these risks. STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document The charity is controlled by ils goveming document. a deed of trust and constitutes an unincorporated charity. Organisational Structure and Oecislon maklng procosses Members of the Church are accepted in accordan￿ with the Constitution which requires them to be, or to have been, publicly baptised on the profession of faith in Jesus Christ or following other modes of baptism to renew their public profession of faith in Jesus Christ. The Members Meeting norrnally takes place at least four bmes per year and has responsibility for the overall policy of the chLfrch. In accordance with the Consltution. the members appoint Minister, Elders and Resource Team Leaders. who together are collectively known as the Trustees. who are responsible for the day to day running of the church's work and witness, and the financial and legal aspects of the charity. The Minister, Elders and Resource Team Leaders (The TNsteesl meet at least six times a year. All members a encouraged lo lake an appropriate part in the spiritual and practical tasks involved in the furtherance of the chafilable objective.. Appro'ded bi order of the board of trustees on ..... . and signed on its behalf by.. Revd A Eakins - Trustee Page 5 **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF BROADMEAD COMMUNITY CHURCH** ## **Independent examiner's report to the trustees of Broadmead Community Church** I report to the charity trustees on my examination of the accounts of Broadmead Community Church (the Trust) for the year ended 31 December 2021. ## **Responsibilities and basis of report** As the charity trustees of the Trust 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 Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act. ## **Independent examiner's statement** Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of ICAEW 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 Trust 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. ## **Use of our report:** This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our independent examination work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an independent examiner's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for our independent examination work, for this report, or for the opinions we have formed. Nicola Fox FCA DNG Dove Naish LLP Chartered Accountants Eagle House 28 Billing Road Northampton NN1 5AJ Date: 31 October 2022 Page 6 **BROADMEAD COMMUNITY CHURCH** ## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2021** |Unrestricted
funds
Notes
£
**INCOME AND**
**ENDOWMENTS FROM**
Donations and legacies
2
282,363
**Charitable activities**
5
Establishment
-
Charitable
1,000
Other trading activities
3
25,976
Investment income
4
66
**Total**
309,405
**EXPENDITURE ON**
**Charitable activities**
6
Ministry
87,996
Mission
38,320
Establishment
78,213
Other
213
**Total**
204,742
**NET**
**INCOME/(EXPENDITURE)**
104,663
**Transfers between funds**
19
(150,983)
**Net movement in funds**
(46,320)
**RECONCILIATION OF**
**FUNDS**
**Total funds brought**
**forward**
82,939
**TOTAL FUNDS CARRIED**
**FORWARD**
36,619|Restricted
funds
£
38,636
795
17,472
-
6
56,909
26,262
6,393
24,547
216
57,418
(509)
696
187
22,039
22,226|
Endowment
funds
£
-
-
-
-
-
-
-
-
-
13,525
13,525
(13,525)
150,287
136,762
1,335,476
1,472,238|2021
Total
funds
£
320,999
795
18,472
25,976
72
366,314
114,258
44,713
102,760
13,954
275,685
90,629
-
90,629
1,440,454
1,531,083|2020
Total
funds
£
326,366
-
49,481
-
201
376,048
94,077
38,100
80,762
216
213,155
162,893
-
162,893
1,277,561
1,440,454| |---|---|---|---|---| ## **CONTINUING OPERATIONS** All income and expenditure has arisen from continuing activities. The notes form part of these financial statements Page 7 BROADMEAD COMMUNITY CHURCH BALANCE SHEET 31 DECEMBER 2021 2021 Total lunds 2020 Total funds Un￿Stricted Reslrrcted Endowmenl funds funds funds Notes FIXED ASSETS Tangible assets 13 1,915 649 2.691,520 2.694,084 2,629.782 CURRENT ASSETS Debtors amounts falling due wrthin one year Cash al bank 14 11,539 47,045 1.500 13,039 67,122 10.370 125.989 58,584 21.577 80.161 136,359 CREDITORS Amounts falling due within one year 15 {4.118) (64,340} 168,458) (74,440) NET CIJRRENT ASSETS 54.466 TOTAL ASSETS LESS CURRENT LIABILITIES 56.381 22.226 2,627,180 2,705.787 2.691,701 CREDITORS Amounts falling due after more than one year 18 (1,154,942) (1.154.942) (1,226.￿0) PROVISIONS FOR LIA81LITIES 18 (19.762) {19.7621 124.687) NET ASSETS 1472.238 1.531083 FUNDS Unrestricted funds Restncted funds Endowment funds 19 36.619 22.226 1.472,238 82.939 22,039 1335,476 TOTAL FUNDS 1,531.083 1.440,454 The financial ststements were approved by the Board of Trustees and authorised for issue on 2.o/.¥./.z vt? . and were signed on its behalf by.. Revd A Eakins - Trustee D",RB Trustee The notes fom part of these financial statements Page 8 **BROADMEAD COMMUNITY CHURCH** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021** ## **1. ACCOUNTING POLICIES** ## **Basis of preparing the financial statements** The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention. Broadmead Baptist Church is an unincorporated charity registered with the Charity Commission for England and Wales. Its charity registration number and registered address are listed on page 1. No material uncertainties exist in relation to going concern. The presentation currency of the financial statements is the pound sterling (£). ## **Income** All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds after any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably. Donations are accounted for gross when received. Legacies are accounted for at the earlier of the Estate accounts being finalised and notified and the legacy being received. Investment income is included in the accounts in the year in which it is receivable. ## **Expenditure** Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. The Church makes grants to other organisations whose charitable objects complement its work. They are accounted for in the year in which they are paid. Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure. ## **Allocation and apportionment of costs** Support costs are those that assist the work of the Church but do not directly represent charitable activities and include office costs and governance costs. Where support costs cannot be directly attributed to particular headings they have been allocated to expenditure on charitable activities on a basis consistent with the use of resources. Governance costs represent direct expenditure on the governance of the Church. Most of the management is carried out without charge by volunteers. This intangible cost is not included in the Statement of Financial Activities since there is no measurable cost to the volunteers for their service. ## **Tangible fixed assets** Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. Church Premises - 2% on cost Fixtures and fittings - 10% on cost Page 9 continued... **BROADMEAD COMMUNITY CHURCH** **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **1. ACCOUNTING POLICIES - continued** ## **Tangible fixed assets** Fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. Fixed assets are only capitalised and depreciated for single items valued above £1,000. Depreciation methods, useful lives and residual values are reviewed at each balance sheet date. The selection of these residual values and estimated lives requires the exercise of judgement. The Trustees are required to assess whether there is an indication of impairment to the carrying value of assets. In making that assessment, judgements are made in estimating value in use. The Trustees consider that the individual carrying values of assets are supportable by their value in use. Depreciation has not been charged on the Church premises, because in the opinion of the Trustees, the residual value of the asset is not less than the original cost price. ## **Taxation** The charity is exempt from tax on its charitable activities. ## **Fund accounting** Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Designated funds comprise unrestricted funds that have been set aside by the trustees for specific purposes. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Endowment funds represent those assets which must be held permanently by the charity. Income arising on the endowment funds can be used in accordance with the objects of the charity and is included as unrestricted income. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. ## **Pension costs and other post-retirement benefits** The Church operates a defined contribution pension scheme for its employees. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate. The assets of the scheme are held separately from the charity in an independently administered fund. The Church pays pension contributions for its Ministers to the Baptist Pension Scheme which is a final salary defined benefit scheme. The scheme is a multi-employer scheme and it is not possible to identify the assets and liabilities of the scheme which are attributable to the Church therefore the scheme is accounted for as a defined contribution scheme. ## **Financial instruments** Cash and cash equivalents in the balance sheet comprise cash at banks and in hand and short term deposits with an original maturity date of three months or less. Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the statement of comprehensive income under administrative expenses. Financial liabilities are classified according to the substance of the contractual arrangements entered into. Page 10 continued... **BROADMEAD COMMUNITY CHURCH** **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **1. ACCOUNTING POLICIES - continued** ## **Financial instruments** Where the contractual obligations of financial instruments (including share capital) are equivalent to a similar debt instrument, those financial instruments are classed as financial liabilities. Financial liabilities are presented as such in the balance sheet. Finance costs and gains or losses relating to financial liabilities are included in the profit and loss account. Finance costs are calculated so as to produce a constant rate of return on the outstanding liability. ## **Public Benefit Entity Concessionary Loans** Public benefit entity concessionary loans are initially measured at the amounts received or paid and recognised in the balance sheet. In subsequent years, the carrying amount of concessionary loans is adjusted to reflect any accrued interest payable or receivable. ## **Significant judgements and estimates** The preparation of financial statements requires the use of certain critical accounting estimates. It also requires Trustees to exercise their judgement in the process of applying the company accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements are disclosed within the individual accounting policies above. ## **2. DONATIONS AND LEGACIES** |Gifts
Donations
Gift aid
Legacies
Other income
**3.**
**OTHER TRADING ACTIVITIES**
Room hire and other trading income
**4.**
**INVESTMENT INCOME**
Deposit account interest|2021
£
3,353
231,418
35,248
50,050
930
320,999
2021
£
25,976
2021
£
72|2021
£
3,353
231,418
35,248
50,050
930
320,999
2021
£
25,976
2021
£
72|2020
£
712
247,456
42,730
31,000
4,468
326,366
2020
£
-
2020
£
201|2020
£
712
247,456
42,730
31,000
4,468
326,366
2020
£
-
2020
£
201| |---|---|---|---|---| |||||| |||||| Page 11 continued... **BROADMEAD COMMUNITY CHURCH** ## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **5. INCOME FROM CHARITABLE ACTIVITIES** |Activity
BMAC
Establishment
Grants
Charitable
BMAC
Charitable
Grants received, included in the above, are as follows:
NBC
The Hobson Charity
The Constance Travis Charitable Trust
Maud Elkington Charitable Trust
Benham Charity
CJRS
Timson Trust
Northampton SW Grant
Eric Stanton Trust
John & Mildred Law Fund
Dorothy Johnson CT
Beatrice Laing Trust|2021
£
795
14,968
3,504
19,267
2021
£
-
-
-
750
-
-
1,000
718
5,000
2,000
500
5,000
14,968|2020
£
-
46,571
2,910
49,481
2020
£
750
10,000
30,000
500
2,000
3,321
-
-
-
-
-
-
46,571| |---|---|---| ## **6. CHARITABLE ACTIVITIES COSTS** |Ministry
Mission
Establishment|Direct
Costs (see
note 7)
£
70,881
13,459
63,750
148,090|Grant
funding of
activities
(see note
8)
£
-
23,881
-
23,881|Support
costs (see
note 9)
£
43,377
7,373
39,010
89,760|Totals
£
114,258
44,713
102,760
261,731| |---|---|---|---|---| Page 12 continued... **BROADMEAD COMMUNITY CHURCH** ## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **7. DIRECT COSTS OF CHARITABLE ACTIVITIES** |Staff costs
Staff training
Staff expenses
Manse costs
Church costs
Building Project
Fellowship
BMAC
**8.**
**GRANTS PAYABLE**
Mission
The total grants paid to institutions during the year was as follows:
Supporting Broadmead Missionaries
CBA (BUGB) Home Mission
BMAC
Hearts Resounding
Other Local & National Missions|2021
£
70,968
-
105
8,700
46,977
2,913
14,499
3,928
148,090
2021
£
23,881
2021
£
19,124
1,500
2,820
-
437
23,881|2020
£
51,580
618
291
8,700
34,734
1,807
8,086
2,574
108,390
2020
£
19,444
2020
£
17,211
1,500
-
235
498
19,444| |---|---|---| |||| ## **9. SUPPORT COSTS** |Management
£
Ministry
25,448
Mission
3,908
Establishment
22,887
52,243|Finance
£
81
15
71
167|Loan
Governance
interest
costs
£
£
16,547
1,301
3,198
252
14,882
1,170
34,627
2,723|Totals
£
43,377
7,373
39,010
89,760| |---|---|---|---| Page 13 continued... **BROADMEAD COMMUNITY CHURCH** ## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **9. SUPPORT COSTS - continued** Support costs, included in the above, are as follows: ## **Management** |Wages
Telephone
Photocopier
Communications
Administration
**Finance**
Bank charges
**Loan interest**
Loan
**Governance costs**
Independent examination
fee
Accountancy fees
payable to Independent
Examiner|Ministry
£
19,317
2,160
1,204
-
2,767
25,448
Ministry
£
81
Ministry
£
16,547
Ministry
£
459
842
1,301|Mission Establishment
£
£
3,733
17,373
417
1,943
233
1,083
-
-
(475)
2,488
3,908
22,887
Mission Establishment
£
£
15
71
Mission Establishment
£
£
3,198
14,882
Mission Establishment
£
£
89
413
163
757
252
1,170|2021
Total
activities
£
40,423
4,520
2,520
-
4,780
52,243
2021
Total
activities
£
167
2021
Total
activities
£
34,627
2021
Total
activities
£
961
1,762
2,723|2020
Total
activities
£
33,015
3,699
3,700
34
3,365
43,813
2020
Total
activities
£
336
2020
Total
activities
£
37,491
2020
Total
activities
£
930
2,535
3,465| |---|---|---|---|---| Page 14 continued... **BROADMEAD COMMUNITY CHURCH NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **10. TRUSTEES' REMUNERATION AND BENEFITS** The Minister acts as one of the Church's trustees in accordance with its constitution and received remuneration of £52,686 (2020: £48,762) in respect of his services as Minister and other benefits including the provision of accommodation rented by the Church under a leaseback agreement. ## **Trustees' expenses** One (2020: One) Trustee was reimbursed £5,208 (2020: £2,297) during the year for expenses incurred on behalf of the Church. ## **11. STAFF COSTS** |Wages and salaries
Social security costs
Other pension costs
Pensions for the year are made up of the following:
Pension costs
Unwinding of pension provision|2021
£
101,921
2,665
6,805
111,391
**2021**
**£**
11,730
(4,925)
6,805|2020
£
86,686
2,059
(4,150)
84,595
**2020**
**£**
13,382

(17,532)
(4,150)| |---|---|---| The average monthly number of employees during the year was as follows: |Staff
No employees received emoluments in excess of £60,000.
**12.**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
Unrestricted
Restricted
funds
funds
£
£
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
243,109
83,257
**Charitable activities**
Charitable
3,321
46,160
Investment income
152
49
**Total**
246,582
129,466
**EXPENDITURE ON**
**Charitable activities**
Ministry
74,797
19,280
Mission
27,446
10,654|2021
8


Endowment
funds
£
-
-
-
-
-
-||2020
5
Total
funds
£
326,366
49,481
201
376,048
94,077
38,100| |---|---|---|---| ||||| Page 15 continued... **BROADMEAD COMMUNITY CHURCH** ## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** |**12.**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES -**
Unrestricted
Restricted
funds
funds
£
£
Establishment
60,010
20,752
Other
-
216
**Total**
162,253
50,902
**NET INCOME**
84,329
78,564
**Transfers between funds**
(131,535)
(115,845)
**Net movement in funds**
(47,206)
(37,281)
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
130,146
59,319
**TOTAL FUNDS CARRIED FORWARD**
82,940
22,038
**13.**
**TANGIBLE FIXED ASSETS**
Church
Premises
£
**COST**
At 1 January 2021
2,628,917
Additions
76,128
At 31 December 2021
2,705,045
**DEPRECIATION**
At 1 January 2021
-
Charge for year
13,525
At 31 December 2021
13,525
**NET BOOK VALUE**
At 31 December 2021
2,691,520
At 31 December 2020
2,628,917|**12.**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES -**
Unrestricted
Restricted
funds
funds
£
£
Establishment
60,010
20,752
Other
-
216
**Total**
162,253
50,902
**NET INCOME**
84,329
78,564
**Transfers between funds**
(131,535)
(115,845)
**Net movement in funds**
(47,206)
(37,281)
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
130,146
59,319
**TOTAL FUNDS CARRIED FORWARD**
82,940
22,038
**13.**
**TANGIBLE FIXED ASSETS**
Church
Premises
£
**COST**
At 1 January 2021
2,628,917
Additions
76,128
At 31 December 2021
2,705,045
**DEPRECIATION**
At 1 January 2021
-
Charge for year
13,525
At 31 December 2021
13,525
**NET BOOK VALUE**
At 31 December 2021
2,691,520
At 31 December 2020
2,628,917|**continued**

Endowment
funds
£
-
-
-
-
247,380
247,380
1,088,096
1,335,476
Fixtures
and
fittings
£
2,161
2,128
4,289
1,296
429
1,725
2,564
865|**continued**

Endowment
funds
£
-
-
-
-
247,380
247,380
1,088,096
1,335,476
Fixtures
and
fittings
£
2,161
2,128
4,289
1,296
429
1,725
2,564
865|Total
funds
£
80,762
216
213,155
162,893
-
162,893
1,277,561
1,440,454
Totals
£
2,631,078
78,256
2,709,334
1,296
13,954
15,250
2,694,084
2,629,782| |---|---|---|---|---| |||||| |||||| |||||| |||||| |||||| All of the fixed assets are used for direct charitable purposes. Page 16 continued... **BROADMEAD COMMUNITY CHURCH** ## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **14. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR** |2021
£
Trade debtors
4,316
Other debtors
4,274
Prepayments and accrued income
4,449
13,039
**15.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
2021
£
Other loans (see note 17)
64,340
Trade creditors
168
Other creditors
150
Accruals and deferred income
3,800
68,458
Included within other creditors is £100 (2020: £1,107) of funds held as agent.
**16.**
**CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR**
2021
£
Other loans (see note 17)
1,154,942
**17.**
**LOANS**
An analysis of the maturity of loans is given below:
2021
£
Amounts falling due within one year on demand:
Baptist Union Corporation Loan within 1 year
54,340
Concessionary loans
10,000
64,340
Amounts falling between one and two years:
Baptist Union Corporation loan 1-2 years
56,133
Concessionary loans 1-2 years
10,000
66,133
Amounts falling due between two and five years:
Baptist Union Corporation loan 2-5 years
243,572
Concessionary loans 2-5 years
30,000
273,572|2020
£
-
6,808
3,562
10,370
2020
£
56,882
3,642
1,110
12,806
74,440
2020
£
1,226,560
2020
£
46,882
10,000
56,882
48,671
10,000
58,671
102,878
30,000
132,878| |---|---| Page 17 continued... **BROADMEAD COMMUNITY CHURCH** **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **17. LOANS - continued** |Amounts falling due in more than five years:
Repayable by instalments:
Baptist Union Corporation loan over 5 years
Concessionary loans over 5 yea rs|2021
£
735,237
80,000
815,237|2020
£
945,011
90,000
1,035,011| |---|---|---| The Baptist Union Corporation loan is repayable over 20 years at a variable interest rate. The loan is secured on all of the Church's assets and property. There are two concessionary loans provided in aid of the Broadmead Building project and both are unsecured and interest free. The £40,000 concessionary loan is repayable on or before 1 December 2028 or within six months of the lender's death. The £100,000 concessionary loan is repayable in 10 equal instalments annually of £10,000 starting on 1 December 2020. ## **18. PROVISIONS FOR LIABILITIES** |Provisions
Provision at 1 January 2021
Deficit contribution paid in the year
Unwinding of the discount factor (interest expense)
Impact of changes in assumptions
Provision at 31 December 2021||2021
£
19,762
2021
£
24,687
(4,200)
91
(816)
19,762|
|2020
£
24,687
2020
£
40,488
(4,240)
648
(12,209)
24,687| |---|---|---|---|---| |||||| The provision is the net present value of additional contributions payable to The Baptist Pension Scheme, administered by the Baptist Pension Trust Limited. The contributions arise from the deficit recovery agreement and is payable annually until 30 June 2026. This liability represents the net present value of the deficit contributions agreed as at the accounting date and has been valued using the following assumptions set by reference to the duration of the deficit recovery payments: |Accounting date|31 Dec 2021|31 Dec 2020|31 Dec 2019| |---|---|---|---| |Discount rate|0.4%|0.4%|1.7%| |Future increases to minimum pensionable|||| |income|3.0%|3.0%|3.2%| Page 18 continued... **BROADMEAD COMMUNITY CHURCH** ## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **19. MOVEMENT IN FUNDS** |**Unrestricted funds**
General fund
Reserves (Virgin a/c)
**Restricted funds**
BMAC (Dedicated)
BMAC (Natwest)
TMX (Cash)
Building Fund
Gifts (Natwest)
Samuels Bibles (Natwest)
Youth Weekend Away (Natwest)
Dishwasher
Childrens Ministry
Church Warming Party
NBC Youth cafe
NBC Youth grant
Chairs
Kintsugi Hope
Community Pastor & Events
Table Tennis Club
Youth Socials and Residentials
Church Equipment
**Endowment funds**
Church Premises
**TOTAL FUNDS**|At 1/1/21
£
39,159
43,780
82,939
7,198
1,084
-
7,387
-
45
1,699
865
1,141
754
69
110
831
856
-
-
-
-
22,039
1,335,476
1,440,454|Net
movement

in funds
£
104,597
66
104,663
315
71
(456)
(7,772)
153
140
(313)
(216)
(715)
-
(47)
-
(722)
(139)
640
(41)
30
8,563
(509)
(13,525)
90,629|Transfers

between

funds
£
(145,983)
(5,000)
(150,983)
-
-
456
1,157
(153)
-
(986)
-
181
-
-
-
-
-
-
41
-
-
696
150,287
-|
At
31/12/21
£
(2,227)
38,846
36,619
7,513
1,155
-
772
-
185
400
649
607
754
22
110
109
717
640
-
30
8,563
22,226
1,472,238
1,531,083| |---|---|---|---|---| Page 19 continued... **BROADMEAD COMMUNITY CHURCH** **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **19. MOVEMENT IN FUNDS - continued** Net movement in funds, included in the above are as follows: |**Unrestricted funds**
General fund
Reserves (Virgin a/c)
**Restricted funds**
BMAC (Dedicated)
BMAC (Natwest)
TMX (Cash)
Building Fund
Gifts (Natwest)
Samuels Bibles (Natwest)
Youth Weekend Away (Natwest)
Dishwasher
Childrens Ministry
NBC Youth cafe
Chairs
Kintsugi Hope
Community Pastor & Events
Table Tennis Club
Youth Socials and Residentials
Church Equipment
**Endowment funds**
Church Premises
**TOTAL FUNDS**|Incoming
resources
£
309,339
66
309,405
4,243
71
144
31,739
879
380
-
-
-
-
-
1
9,671
718
500
8,563
56,909
-
366,314|Resources
Movement
expended
in funds
£
£
(204,742)
104,597
-
66
(204,742)
104,663
(3,928)
315
-
71
(600)
(456)
(39,511)
(7,772)
(726)
153
(240)
140
(313)
(313)
(216)
(216)
(715)
(715)
(47)
(47)
(722)
(722)
(140)
(139)
(9,031)
640
(759)
(41)
(470)
30
-
8,563
(57,418)
(509)
(13,525)
(13,525)
(275,685)
90,629| |---|---|---| Page 20 continued... **BROADMEAD COMMUNITY CHURCH** **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **19. MOVEMENT IN FUNDS - continued** ## **Comparatives for movement in funds** |**Unrestricted funds**
General fund
Reserves (Virgin a/c)
**Restricted funds**
BMAC (Dedicated)
BMAC (Natwest)
TMX (Cash)
Building Fund
Gifts (Natwest)
Samuels Bibles (Natwest)
Youth Weekend Away (Natwest)
Dishwasher
All Nations Madagascar
Youth Events
Childrens Ministry
Church Warming Party
NBC Youth cafe
NBC Youth grant
Chairs
Kintsugi Hope
**Endowment funds**
Church Premises
**TOTAL FUNDS**|At 1/1/20
£
104,787
25,359
130,146
4,601
199
-
48,195
13
180
1,699
1,081
6
-
822
754
934
835
-
-
59,319
1,088,096
1,277,561|Net
movement

in funds
£
84,176
152
84,328
(223)
885
(237)
78,477
(969)
(135)
-
(216)
-
(158)
319
-
(865)
-
831
856
78,565
-
162,893|Transfers

between

funds
£
(149,804)
18,269
(131,535)
2,820
-
237
(119,285)
956
-
-
-
(6)
158
-
-
-
(725)
-
-
(115,845)
247,380
-|
At
31/12/20
£
39,159
43,780
82,939
7,198
1,084
-
7,387
-
45
1,699
865
-
-
1,141
754
69
110
831
856
22,039
1,335,476
1,440,454| |---|---|---|---|---| Page 21 continued... **BROADMEAD COMMUNITY CHURCH** **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **19. MOVEMENT IN FUNDS - continued** Comparative net movement in funds, included in the above are as follows: |**Unrestricted funds**
General fund
Reserves (Virgin a/c)
**Restricted funds**
BMAC (Dedicated)
BMAC (Natwest)
TMX (Cash)
Building Fund
Gifts (Natwest)
Samuels Bibles (Natwest)
Dishwasher
Youth Events
Childrens Ministry
NBC Youth cafe
Chairs
Kintsugi Hope
**TOTAL FUNDS**|Incoming
resources
£
246,430
152
246,582
2,351
885
-
119,311
400
33
-
431
527
-
4,672
856
129,466
376,048|Resources
Movement
expended
in funds
£
£
(162,254)
84,176
-
152
(162,254)
84,328
(2,574)
(223)
-
885
(237)
(237)
(40,834)
78,477
(1,369)
(969)
(168)
(135)
(216)
(216)
(589)
(158)
(208)
319
(865)
(865)
(3,841)
831
-
856
(50,901)
78,565
(213,155)
162,893| |---|---|---| The Church Premises Fund represents the new Church Building. The BMAC (Dedicated) fund is a seperate account for the running of the "Broadmead Money Advice Centre". The TMX fund represents the cash used for the running of the "TMX" youth club. The Building Fund is dedicated to special building projects. The Youth Weekend Away Fund is solely used to collect monies for youth trips away. The Children's Ministry Fund is for any income or expenditure allocated to the Children's Ministry. The Chairs Fund was created early in 2020 to raise moneys for the purchase of new chairs for the church. The Kintsugi Hope Fund was created for a wellbeing group run by Kintsugi Hope volunteers in partnership with Broadmead. This fund is restricted and used to collect gifts aimed to the running of the group, as well as the cost of materials used. The Community Pastor & Events Fund is for staffing, equipment and subsistence expenditures relating specifically to the organising and hosting of community-focussed activities provided by the church. The Table Tennis Club Fund is for equipment and subsistence expenditures relating specifically to a new mid-week club providing social and well-being connections through table-tennis. Page 22 continued... **BROADMEAD COMMUNITY CHURCH** **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **19. MOVEMENT IN FUNDS - continued** Youth Socials and Residentials is for expenditures relating to on- and off-site activities provided by the church for young people. Church Equipment is for expenditures relating to infrastructure required to host events at the church, eg, audio-visual equipment. ## **Transfers between funds** The transfer from the General Fund to the Reserves Fund is due to regular transfers to the dedicated bank account. Transfers from the General Fund to the TMX Fund, Building and Table Tennis Club are due to overspends on the restricted funds. The transfer from the General Fund to the Church Premises Endowment Fund relates to the work on the new Church building. Transfers from the General Fund to Children's Ministry are due to incorrectly allocated expenditure in previous years. Transfer from Youth Weekend Away to General Fund was due to unallocated expenditure in previous years. The transfer from the Gifts Fund to General Fund is due to a transfer from General Fund to the Gifts Fund in the prior year to cover an overspend. ## **20. EMPLOYEE BENEFIT OBLIGATIONS** The Church is an employer participating in a pension scheme known as the Baptist Pension Scheme ("the Scheme"), which is administered by the Pension Trustee (Baptist Pension Trust Limited). The Scheme is a separate legal entity and the assets of the Scheme are held separately from those of the Employer and the other participating employers. For any month, each participating employer in the Scheme pays contributions as set out in the Schedule of Contributions in force at that time. 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 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 contributions payable towards benefits and expenses accrued in that year, plus any impact of deficiency contributions (see below). The Minister and some members of the church staff are eligible to join the Scheme. From January 2012, pension provision is being made through the Defined Contribution (DC) Plan within the Scheme. In general, members pay 8% of their Pensionable Income and employers pay 6% of members' Pensionable Income into individual pension accounts, which are operated and managed on behalf of the Pension Trustee by Legal and General Life Assurance Society Limited. In addition, the employer pays a further 4% of Pensionable Income to cover Death in Service Benefits, administration costs, and an associated insurance policy which provides income protection for Scheme members in the event that they are unable to work due to long-term incapacity. This income protection policy has been insured by the Baptist Union of Great Britain with Unum Limited. [Members of the Basic Section pay reduced contributions of 5% of Pensionable Income, and their employers also pay a total of 5%.] The further 4% contribution rate is reduced to 3% for Employer contributions made to the Segregated DC Arrangement. Page 23 continued... **BROADMEAD COMMUNITY CHURCH** **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **20. EMPLOYEE BENEFIT OBLIGATIONS - continued** Benefits in respect of service prior to 1 January 2012 are provided through the Defined Benefit (DB) Plan within the Scheme. The main benefits for pre-2012 service were a defined benefit pension of one eightieth of Final Minimum Pensionable Income for each year of Pensionable Service, together with additional pension in respect of premiums paid on Pensionable Income in excess of Minimum Pensionable Income. The Scheme, previously known as the Baptist Ministers' Pension Fund, started in 1925, but was closed to future accrual of defined benefits on 31 December 2011. ## **Actuarial valuation as at 31 December 2019** A formal valuation of the Defined Benefit (DB) Plan was performed at 31 December 2019 by a professionally qualified Actuary using the Projected Unit Method. The market value of the DB Plan assets at the valuation date was £298 million. The valuation of the DB Plan revealed a deficit of assets compared with the value of liabilities of £18 million (equivalent to a past service funding level of 94%). The Church and the other employers supporting the DB Plan are collectively responsible for funding this deficit. The key assumptions underlying the valuation were as follows: |Type of financial assumption|% pa| |---|---| |RPI price inflation assumption|3.20| |CPI inflation assumption|2.70| |Minimum Pensionable Income increases|| |(RPI)|3.20| |Assumed investment returns|| |- Pre-retirement|2.95| |- Post retirement|1,70| |Deferred pension increases|| |- Pre April 2009|3.20| |- Post April 2009|2.50| |Pension increases|| |- Main Scheme pension|2.70| Post-retirement mortality in accordance with 80% of the S2NFA and S2NMA tables, with allowance for future improvements in mortality rates from 2013 in line with the CMI 2019 core projections, with a long term annual rate of improvement of 1.75% for males and 1.5% for females, with the core smoothing parameter and with additional initial mortality improvement factor A=0.5%. The next actuarial valuation of the DB Plan within the Scheme is due to take place not later than as at 31 December 2022. ## **Recovery Plan** In addition to the contributions to the DC Plan set out above, where a valuation of the DB Plan reveals a deficit the Trustee and the Council agree to a rate of deficiency contributions from churches and other employers involved in the DB Plan. Under the current Recovery Plan dated 30 September 2020, deficiency contributions are payable until 30 June 2026. These contributions are broadly based on the employer's membership at 31 December 2014 and increase annually in line with increases to Minimum Pensionable Income as defined in the Rules. However, the Trustee and the Council agreed a 50% reduction for all deficiency contributions payable between 1 July 2020 and 31 December 2020. Page 24 continued... **BROADMEAD COMMUNITY CHURCH** ## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2021** ## **21. RELATED PARTY DISCLOSURES** Total donations received without conditions from trustees were £56,717 (2020: £62,747). The custodian Trustee of the Church is the Baptist Union Corporation Limited which is charity number 249635, and which is controlled by the Baptist Union Council. The church is also a member of the Baptist Union of Great Britain, and the Central Baptist Association. The Church is in receipt of a loan from the Baptist Union Corporation as set out in note 17. Page 25 **BROADMEAD COMMUNITY CHURCH** ## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2021** |**INCOME AND ENDOWMENTS**
**Donations and legacies**
Gifts
Donations
Gift aid
Legacies
Other income
**Other trading activities**
Room hire and other trading income
**Investment income**
Deposit account interest
**Charitable activities**
Grants
BMAC
**Total incoming resources**
**EXPENDITURE**
**Charitable activities**
Wages
Social security
Pensions
Staff training
Staff expenses
Manse costs
Church costs
Building Project
Fellowship
BMAC
Grants to institutions
**Other**
Depreciation of tangible fixed assets
**Support costs**
**Management**
Wages
Carried forward|2021
£
3,353
231,418
35,248
50,050
930
320,999
25,976
72
14,968
4,299
19,267
366,314
61,498
2,665
6,805
-
105
8,700
46,977
2,913
14,499
3,928
23,881
171,971
13,954
40,423
40,423|2020
£
712
247,456
42,730
31,000
4,468
326,366
-
201
46,571
2,910
49,481
376,048
53,671
2,059
(4,150)
618
291
8,700
34,734
1,807
8,086
2,574
19,444
127,834
216
33,015
33,015| |---|---|---| This page does not form part of the statutory financial statements Page 26 **BROADMEAD COMMUNITY CHURCH** ## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2021** |**Management**
Brought forward
Telephone
Photocopier
Communications
Administration
**Finance**
Bank charges
**Loan interest**
Loan
**Governance costs**
Independent examination fee
Accountancy fees payable to Independent
Examiner
Total resources expended
**Net income**|2021
£
40,423
4,520
2,520
-
4,780
52,243
167
34,627
961
1,762
2,723
275,685
90,629|2020
£
33,015
3,699
3,700
34
3,365
43,813
336
37,491
930
2,535
3,465
213,155
162,893| |---|---|---| This page does not form part of the statutory financial statements Page 27