2021-08-31-accounts

MANCHESTER AND STOCKPORT DISTRICT

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR

THE YEAR ENDED AUGUST 31 2021

Charity number 1135459

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

	INDEX
Administrative information	1
Trustees’ and Directors’ annual report	2 – 7
Independent examiners’ report	8
Statement of financial activities	9
Balance sheet	10
Statement of cash flows	11
Notes to the financial statements	12 – 27

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT ADMINISTRATIVE INFORMATION FOR THE YEAR ENDED AUGUST 31 2021

TRUSTEES AND MEMBERS OF DISTRICT COUNCIL

Position

Chair of District Synod Secretary Ministerial Synod Secretary Treasurer Ecumenical Officer Mission Enabler & Property Secretary Lay Employment Secretary Local Preachers Secretary Chair DAF Grant Committee Methodist Council Rep City Centre Minister

Name	Appointed by	Appointed/	Sub-
		Resigned	Committee
Revd Dr Andrew Lunn	Methodist Conference		SRE
Mr David James	District Synod		SRE
Revd Hazel Cook	District Synod		SRE
Mr Garrie Naden	District Synod	From 3/12/20	SRE
Revd Graham Edwards	District Synod		SRE
Revd Rod Hill	District Synod		SRE
Mr Andrew Jeffries	District Synod		SRE
Mr Anthony Judd	District Synod
Mr William Swires	District Synod		SRE
Revd Adrian Burdon*	Methodist Conference
Revd Ian Rutherford	District Synod		SRE
Revd Caroline Wickens	Manchester Circuit
Mr Andrew Stoker	United Stockport Circuit
Mrs Carole Burgess	Salford Circuit
Mrs Julie Murdy	High Peak Circuit
Revd Robert Balfour	Glossop & Tameside
Mr Graham Axford	Stretford & Urmston Circuit
Mrs Dot Bretherton	Altrincham Circuit
Revd Glayne Worgan	Sale Circuit
Revd Gary Ridley	Oldham & Saddleworth Circuit
Revd Adrian Burdon*	Shaw & Royton
Mr John Ream	Bramhall & Wythenshawe Circuit
Mrs Ruth Peak	Alderley Edge and Knutsford Circuit
Revd David Hardman	Hyde & Denton Circuit
Revd Karen Hilsden	Ashton-u-Lyne Circuit
Revd Graham Edwards*	Macclesfield Circuit

• (*duel qualification)

DISTRICT ADMINISTRATOR Ms Angela Doyle

CHAIR’S PA AND COUNCIL MINUTE SECRETARY Mrs Emma Hutson

BANKERS

Unity Trust Bank plc Central Board of Finance of the Methodist Church Co-operative Bank plc

INVESTMENT MANAGERS

Central Board of Finance of the Methodist Church 9 Bonhill Street London EC2A 4PE

CUSTODIAN TRUSTEES

The Trustees for Methodist Church Purposes Central Buildings Oldham Street Manchester M1 1JQ

INDEPENDENT EXAMINER & ACCOUNTANTS Peter Smith BA FCA DChA

HGA Accountants & Financial Consultants t/a Chittenden Horley - Chartered Accountants The Wesley Centre Royce Road, Hulme Manchester M15 5BP

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED AUGUST 31 2021

The trustees present their annual report together with the financial statements of the charity for the year ended August 31 2021.

REPORTING FRAMEWORK

The financial statements comply with the Charities Act 2011, the constitution of the charity, and 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 (FRS102) (effective 1 January 2019), referred to as the Charities SORP (FRS 102) (second edition – October 2019).

OBJECTIVES AND ACTIVITIES

Charitable objects

The District shares the same charitable objectives as the rest of the Methodist Church. The purposes of the Methodist Church are and shall be deemed to have been since the date of union the advancement of –

(a) the Christian faith in accordance with the doctrinal standards and the discipline of the Methodist Church; (b) any charitable purpose for the time being of any Connexional, District, Circuit, local or other organisation of the Methodist Church;

(c) any charitable purpose for the time being of any society or institution subsidiary or ancillary to the Methodist Church;

(d) any purpose for the time being of any charity being a charity subsidiary or ancillary to the Methodist Church.

Aims of the Methodist Church in Great Britain

These objectives have been given a clear focus in the mission statement Our Calling adopted by the Methodist Conference (2000 and 2018). This states that the calling of the Methodist Church is to respond to the gospel of God's love in Christ and to live out its discipleship in worship and mission. It does this through: Worship; Learning & Caring; Service; and Evangelism.

The District seeks to apply this to its own life and work, as it relates to the Connexion and seeks to support the Circuits and Churches within the District in their mission and ministry. Specifically, the Constitutional Practice and Discipline of the Methodist Church (CPD) states that:

“The primary purpose for which the District is constituted is to advance the mission of the Church in a 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 District serves the local Churches and Circuits and the Conference in the support, deployment and oversight of the various ministries of the Church, and in programmes of training. It has responsibility for the evaluation of applications by Local Churches and Circuits for approval of or consent to their proposals, when required, or for assistance from district or connexional bodies or funds. Wherever possible the work of the District is carried out ecumenically. The District is thus an expression, over a wider geographical area than the Circuit, of the connexional character of the Church.”

Aims of the District

During 2020/21 the District continued to implement the five-year District Development Plan (DDP), entitled Faith in God’s Future, which had been introduced during 2016/17. The DDP sets out three priorities, with objectives under each one, as follows:

Priority 1

Prepare to be a diverse, active and growing church

• a. Supporting the development of varied patterns of church life and various expressions of church and circuit

• b. Help to develop effective missional leadership

• c. Sound the voice of faith in the public arena

• d. Strengthen our witness as individuals and as churches, developing confidence to speak of God

Priority 2 Reshaping in order to grow, including some pruning

• a. Prepare to be a much smaller church

• b. Close churches well

• c. Encourage collaborative and flexible leadership

• d. Work collaboratively and differently across the circuits, including with ecumenical partners

• e. Work differently within churches

• f. Provide professional services

Priority 3

Resourcing, communicating and celebrating for today

• a. Promote worship that honours God with our best relationships and practices

• b. Encourage social and international vision and action

• c. Communicate well

• d. Handle money well (“Gain all you can, save all you can, give all you can”)

• e. Providing fewer district grants for a much longer period in order for new work to become sustainable and fruitful

• f. Develop a strategic approach to buildings that helps churches and circuits to make the best use of chapels, manses etc.

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED AUGUST 31 2021

MAIN ACTIVITIES AND ACHIEVEMENTS

Under the above objectives the following table shows some of the main goals which were worked towards during the financial year, and the progress and achievements related to them.

Goals	Progress and Achievements
Seeking a new treasurer	Recruitment was successful, with the new treasurer taking up responsibilities from November 2020 onwards.
Continuing good practice in safeguarding including training	Safeguarding practice has been monitored. We successfully recruited an independent chair of the District Safeguarding Group from outside the Methodist Church. We have helped to pilot online safeguarding training for the whole of the Methodist Church in Britain, and then continued to use this as our main provision.
Proceeding to decision making on the Methodist Conference report_Go in Love Unites Us_.	The process of consultations was delayed by the Covid-19 pandemic. We finally held a separate Synod by video conference to take our votes on these issues. The District Synod voted strongly in favour of all the resolutions.
The stationing of ordained ministers to three vacant appointments within the District	Achieved.
Review our lay employment policy	This review took place, and we agreed a new policy for the support of lay employees.
Continue cooperative working with our Greater Manchester Methodist partner, the Bolton and Rochdale District.	Achieved.
Appoint a Digital and Communications Officer	Finance was identified for this full-time post. One round of recruitment happened but without a successful appointment. An appointment was finally made after year end, to start in post in February 2022.
Facilitate the regrouping of circuits in one area of the District.	Achieved in bringing the Oldham & Saddleworth and Shaw & Royton circuits together to form the Oldham Circuit from September 2021.
Develop a policy on church planting	Our new Church Planting Officer began work at the beginning of the financial year. While that work has been affected by the Covid pandemic, we have agreed a strategy of forming new small Christian communities. The project has been named Caleb Communities.
District Partnership Fund wound up	After operating for three years it was clear that this fund, which was designed to provide governance support to church and circuit officers by sharing resources, was not being well used. We therefore came to an agreement with_Transforming Church and Communities_on a process for winding up the fund. Support for our churches and circuits will remain in place until April 2022.

Covid-19 response

The continuing pandemic had an impact on our spending, and on our ways of operating. All synods and trustee meetings during the year have been held by video conference. The impact on circuits and churches continues to emerge slowly, with several chapels being given permission to close.

Methodist International House (MIH)

For many years MIH provided accommodation for students from many different areas of the world, including several from the UK. It provided a place of intercultural hospitality and exchange, which considerably enhanced the educational experience of residents. Some stayed for the year while others stayed for a shorter period, depending on their courses. It was not unusual to receive visitors who had been residents in the past for a shorter stay and this was always welcome.

It became clear during 2019/20 that MIH, which operated at a loss for several years and saw its deficit increase substantially that year, could not be sustained at those levels of losses. A review process was initiated as a matter of urgency to report back to District Council early in the current year. After considering all options, it was considered that the only feasible course of action was to close MIH and seek buyers for the building. Residents were given due notice to leave by 30[th] June 2021, staff were made redundant and a buyer was found for the building, with the sale completed after year end on 1[st] November 2021.

The District is grateful to the members of the MIH Council for their oversight of this work. We are also grateful for the commitment of the warden Dimitri Brady and all the other staff at MIH who worked with us through a very difficult period to closure.

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED AUGUST 31 2021

Chapel in the Fields

Set in the Sale Circuit, the Chapel at Sinderland Green is the focus of the District Project called The Chapel in the Fields, which is now four years old. The Project Manager, Rev. Kevin Johnson, is accountable to a Management Group and works with them to provide direction for the project. Work has been substantially affected by the Covid pandemic, however the project has been successful in community engagement through good digital practice. The pre-existing local congregation, who have held responsibility as the Managing Trustees of the building, have come to a point where they ceased meeting as a church. The managing trusteeship has therefore transferred to the circuit for the time being, while discussions take place about how to secure the future of the building and the project.

Public benefit

In working towards its charitable objectives the District has had regard to the Charity Commission guidance on Public Benefit.

Contribution of volunteers

The District can only function through the contribution of volunteers, chiefly lay people, who fulfil a wide range of roles within the District serving on various committees and giving generously of their time to further God’s Kingdom.

FINANCIAL REVIEW

Overview

Overall the District had a surplus on general unrestricted funds, before transfers, for the year of £87,642 after inclusion of an unrealised gain of £219,225 on its MIH freehold property, and after a deficit on MIH operations for the year of £131,741. Before these MIH items, the general fund reported a surplus of £158.

The District Advance Fund continued to be used to support the District’s expenditure in the year as follows:

	2021	2020
	£	£
Core costs	67,116	74,939
Chapel in the Fields	1,928	3,856

Grants totalling £9,418 (2020: £43,734) were awarded in the year out of DAF, netting to a credit of £5,952 after adjustments to future commitments of £15,100 The continued Covid pandemic meant that few applications were received for new grants during the year. The amount awarded was negative as certain liabilities were reversed exceeding the total of new grants awarded.

In 2021/22, the District Advance Fund will support budgeted costs of £118,937 covering core expenditure and Chapel in the Fields. There are sufficient available reserves in the DAF at 31[st] August 2021 to cover these costs.

Risk management

The trustees have considered the risks facing the charity and have taken appropriate measures to mitigate those risks.

Investment policy and review

Surplus funds are usually placed on deposit either with a high street clearing bank or with the Methodist Church Central Finance Board (CFB). Some years ago, the District was in a position to invest some of its funds longer term and did so through investing in CFB Managed Funds.

Reserves

– Reserves Policy general funds

The District requires between three and six months operating costs as free reserves (unrestricted funds not invested in tangible fixed assets or otherwise designated). Based on the 2021/22 budget and excluding costs that are currently grant funded or met by the District Advance Fund, this would equate to about £25k to £50k. At the year end the District had free reserves of £988,611, at a high level because of the inclusion of MIH as a debtor at the year end. Subsequent to year end, a sub group has been reviewing how the MIH proceeds should be utilised, for discussion at District Council in 2022. This plan will cover reserves in excess of the £50k upper level required to be held.

Reserves Policy – District Advance Fund

The District Advance Fund (DAF) represents a designated fund within the District accounts which is used:

• ➢ To support the growth and development of churches and circuits within this District as they seek to engage faithfully in God’s mission. It sees as its key purpose the need to provide funds so that churches and circuits may grasp and develop mission and discipleship opportunities within their own localities which would not be possible purely through their own financial resources. Primarily, the funds from the DAF are intended for Mission and Ministry projects;

• ➢ And in recognition that in order to obtain funding from other sources it is helpful for the applicant to show tangible support from the District, up to 25% of the annual DAF allocation is available to support Property Schemes.

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED AUGUST 31 2021

Grants are only awarded where there are sufficient funds available at the time of the award to meet all future commitments. In addition to future grants that are shown as liabilities within the accounts, the District is committed (as noted above) to supporting its own managed projects to a budgeted total of £118,937 in 2021/22, an amount covered by available funds in the DAF at 31[st] August 2021. Taking these budgeted costs and all grant liabilities into account, as well as commitments agreed by District Council in respect of NP4NP and Bastion, at 31[st] August 2021 the funds in the DAF stood at:

Cash balances (in DAF investment & cash) Less grant liabilities (notes 16 & 17) Balance per designated funds (note18) Less budgeted to support District costs 2021/22 Set aside for NP4NP match funding Set aside as contingency for Bastion project Funds not committed	£ 457,380 (37,602)
	419,778 (118,937) (125,000) (36,000)
	139,841

The minimum contingency to retain in the DAF is £50,000. The amount in excess of this above was agreed to be retained in the DAF at 31[st] August 2021 pending final receipt of the MIH proceeds.

Grant making policy

Annual contributions are taken on certain Circuit Model Trust Funds, by the Custodian Trustee, to make funds available to District Advance Funds to support work within the District. The District Advance Fund (DAF) also receives funds from the Connexional Advance Fund which is funded by levies on the receipts from Methodist Church property sales.

The DAF exists to:

• Support innovative work carried out by the District on behalf of the Circuits and Churches;

• Make grants to support new and experimental work carried out by Circuits and Churches to advance mission, ministry and service;

• Support property schemes where this is required to enable access to other funding.

There is a District Grants Committee which reviews applications and makes awards in accordance with District policy and after taking account of the relevant merits of the application, local matched funding and local resources. Grants are for a maximum of £20,000, over a maximum period of three years, with a report required on progress at the end of years 1 and 2 to enable the Committee to approve release of the next instalment. Support for property projects is restricted to no more than 10% of the value of the scheme up to a maximum of £5,000. In addition, the District uses part of the DAF to support the delivery of its own services to Circuits but this is agreed through the annual budgeting process and not by application to the grants committee. The District does not make grants available to non-Methodist organisations.

Going concern

The Trustees do not believe there are any issues affecting the District’s ability to continue to operate as a going concern.

FUTURE PLANS

For 2021/22 the District will:

• Agree a new District Mission and Development Plan for the next five years (2021-2026).

• Respond to the rapidly changing circumstances of circuits and churches in the Covid-19 pandemic.

• Continuing to work in partnership with Transforming Churches & Communities (TC&C) and the other Districts in our region.

• Continue to work with churches and circuits to enable them to realise God’s vision.

• Make decisions about the most appropriate ways to use the capital released from the sale of Methodist International House.

• Continue to create safer spaces and ensure we meet all safeguarding obligations.

• Recruit new people to fill key vacancies in the District and work to ensure succession planning for others.

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED AUGUST 31 2021

STRUCTURE GOVERNANCE AND MANAGEMENT

Governing Document and background

The District is part of the Methodist Church of Great Britain and its status as a charity derives from The Methodist Church Act 1976.

The District became a registered charity with the Charity Commission with effect from April 12 2010. Prior to that it was an excepted charity under statutory Instrument 2002 Number 1598 The Charities (Exception from Registration) (Amendment) Regulations 2002. This regulation applies to a charity wholly or mainly concerned with the advancement of religion.

The charity is governed by the Constitutional Practice and Discipline (CPD) of the Methodist Church, the Methodist Church Act and the Deed of Union.

Appointment of Trustees

Each of the Circuits within the District is eligible to appoint a member of the Council; other members of the Council are appointed to fulfil specific roles by the Synod after prayerful consideration. Members of the Council bring with them expertise and experience from the wider church and no specific programme of induction or training is currently in place for the majority of trustees, although the Methodist Church does provide occasional courses and handbooks for specific roles.

Organisation

The trustee body is called the District Council. Members of the Council bring with them expertise and experience from the wider church and no specific programme of induction or training is currently in place for the majority of trustees. The Methodist Church operates through a large number of trustee bodies, for each church and circuit. The District provides regular opportunities for training in trusteeship across the District, which District Council members have the opportunity to attend. 30 people have taken part in that training during the financial year. The Chair of District undergoes a thorough national induction process, usually including shadowing their immediate predecessor for a period of at least twelve months.

The District Council meets three times a year to confer on all aspects of the life of the District, to set policy and to make recommendations to the District Synod which meets twice a year in Representative Session. In addition, there is a Ministerial Synod which meets annually to consider matters relating to presbyteral ministry as set out in CPD.

A sub-committee of the District Council, called the Strategy and Resource Executive, takes additional responsibility for the activities of the charity, by presenting the District Council with advice and proposals, and oversee the implementation of strategy.

The District is required to carry out a number of governance and oversight tasks on behalf of the Conference (national church) which are the responsibility of the Synod. The Synod has a number of committees which facilitate this work and where permitted responsibility is delegated to the appropriate committees.

Other standing committees of the District are answerable to the District Council; these include:

• The District Grants Committee, which oversees grants made by the District, mainly to circuits and churches within the District, from the District Advance Fund.

• The District Safeguarding Group (which has an independent Chair).

Related parties

Details of related party transactions are given in note 23 to the financial statements.

Co-operation with other organisations/charities

The District works closely with the Methodist Circuits and Churches within its area and with its ecumenical partners, as well as with the Methodist Church of Great Britain.

The District has worked during the year with Transforming Churches & Communities and continued to collaborate with the other Methodist Districts in the North West and Mann Region.

It has worked with Sheffield and Nottingham & Derby Districts (of the Methodist Church) to support the Rural Development Enabler (RDE) serving in the Derbyshire Peak Park area which is served by circuits in all three Districts. The M&S District provides financial support via the District Advance Fund.

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED AUGUST 31 2021

TRUSTEES’ RESPONSIBILITIES IN RELATION TO THE FINANCIAL STATEMENTS

The Trustees are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). These require the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of the Charity and of the incoming resources and application of resources, including the income and expenditure, of the Charity for that period. In preparing those financial statements, the Trustees have:

• selected suitable accounting policies and applied them consistently;

• observe the methods and principles in the Charities SORP (FRS 102) (second edition – October 2019););

• made judgements and estimates that are reasonable and prudent;

• stated whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

• prepared the financial statements on the going concern basis

The Trustees are responsible for keeping adequate accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with applicable regulations. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

APPROVAL

Approved by the Trustees and signed on their behalf by:

Revd Dr Andrew Lunn - Trustee

Date:

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INDEPENDENT EXAMINERS’ REPORT TO THE TRUSTEES OF THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT FOR THE YEAR ENDED AUGUST 31 2021

I report to the charity trustees on my examination of the accounts of the charity for the year ended August 31 2021 which are set out on pages 9 to 27.

Responsibilities and basis of report

As the charity’s trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).

I report in respect of my examination of the charity’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

Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.

I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

Since the charity’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 a member of the 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 charity 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.

Peter Smith BA FCA DChA

For and on behalf of: HGA Financial Consultants Ltd t/a Chittenden Horley - Chartered Accountants

The Wesley Centre Royce Road, Hulme Manchester M15 5BP Date:

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT STATEMENT OF FINANCIAL ACTIVITIES (including the income and expenditure account) FOR THE YEAR ENDED AUGUST 31 2021

Notes INCOME FROM: Donations 2 Charitable activities 3 Investment income 4 TOTAL INCOME EXPENDITURE Raising funds 5 Charitable activities 6 TOTAL EXPENDITURE Net gains/(losses) on investments 11 NET INCOME/(EXPENDITURE) BEFORE TRANSFERS 12 Transfers between funds NET MOVEMENT IN FUNDS 19 RECONCILIATION OF FUNDS FUNDS BROUGHT FORWARD 19 FUNDS CARRIED FORWARD 19	General DAF Other £ £ £ 77,106 198,077 - 110,734 - - 1,441 1,298 - 189,281 199,375 - 3,355 684 - 328,893 63,092 7,256 332,248 63,776 7,256 230,609 - - 87,642 135,599 (7,256) 25,810 - (25,000) 113,452 135,599 (32,256) 1,321,519 284,179 88,041 1,434,971 419,778 55,785 Designated funds Unrestricted funds	General DAF Other £ £ £ 77,106 198,077 - 110,734 - - 1,441 1,298 - 189,281 199,375 - 3,355 684 - 328,893 63,092 7,256 332,248 63,776 7,256 230,609 - - 87,642 135,599 (7,256) 25,810 - (25,000) 113,452 135,599 (32,256) 1,321,519 284,179 88,041 1,434,971 419,778 55,785 Designated funds Unrestricted funds	General DAF Other £ £ £ 77,106 198,077 - 110,734 - - 1,441 1,298 - 189,281 199,375 - 3,355 684 - 328,893 63,092 7,256 332,248 63,776 7,256 230,609 - - 87,642 135,599 (7,256) 25,810 - (25,000) 113,452 135,599 (32,256) 1,321,519 284,179 88,041 1,434,971 419,778 55,785 Designated funds Unrestricted funds	Restricted Funds £ 16,927 131,710 5	Total Total 2020 2019 £ £ 292,110 328,264 242,444 239,584 2,744 5,979 537,298 573,827 4,041 4,592 528,454 1,749,690 532,495 1,754,282 230,609 (1,113) 235,412 (1,181,568) - - 235,412 (1,181,568) 1,795,606 2,977,174 2,031,018 1,795,606
	189,281	199,375		148,642
	3,355 328,893	684 63,092		2 129,213
	332,248 230,609	63,776 -	7,256 -	129,215 -
	87,642 25,810	135,599 -	(7,256) (25,000)	19,427 (810)
	113,452 1,321,519	135,599 284,179	(32,256) 88,041	18,617 101,867
	1,434,971	419,778	55,785	120,484

The notes on pages12 to 27 form part of these financial statements.

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT BALANCE SHEET AS AT AUGUST 31 2021

Notes FIXED ASSETS Tangible fixed assets 13 Investments 14 CURRENT ASSETS Debtors 15 Investments 16 Cash at Bank and in Hand CREDITORS Amounts falling due in one year 17 NET CURRENT ASSETS CREDITORSamounts falling due in more than one year 18 NET ASSETS FUNDS Unrestricted: 19 General Designated - DAF Designated other Restricted 19 TOTAL FUNDS	2021 £ 15,099 1,430,884 182,568 1,628,551 139,490	2021 £ 451,860 90,097	2020 2020 £ £ 1,266,876 77,670 1,344,546 20,136 343,124 256,392 619,652 142,788 476,864 1,821,410 25,804 1,795,606 1,321,519 284,179 88,041 1,693,739 101,867 1,795,606
		541,957 1,489,061
	1,434,971 419,778 55,785
		2,031,018 -
		2,031,018
		1,910,534 120,484
		2,031,018

The notes on pages12 to 27 form part of these financial statements.

Approved by the Trustees and authorised for issue on: And signed on their behalf by:

Revd Dr Andrew Lunn - Trustee

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT STATEMENT OF CASH FLOWS AS AT AUGUST 31 2021

Notes Cash used in operating activities 23 Cashflows from investing activities Interest and dividends Transfer fixed asset to investments Purchase of investments Cash provided by/(used in) investing activities Cashflows from financing activities Repayment of borrowing Cash used in financing activities Increase/(decrease) in cash & cash equivalents in the year Cash and cash equivalents brought forward Cash and cash equivalents carried forward Cash and cash equivalents consist of: Cash at bank and in hand Current asset investments - Trustee interest fund

2021 2020 £ £ (8,006) (62,303) 2,744 5,979 1,030,241 - (1,043) (1,221) 1,031,942 4,758 (10,000) - (10,000) - 1,013,936 (57,545) 599,516 657,061 1,613,452 599,516 182,568 256,392 1,430,884 343,124 1,613,452 599,516

The notes on pages12 to 27 form part of these financial statements.

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

1 ACCOUNTING POLICIES

Basis of preparation

The financial statements have been prepared: under the historic cost convention, as modified by the revaluation of investments (as set out below) through the statement of financial activities; in accordance with the Statement of Recommended Practice – Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) effective January 1 2015; FRS102; and the Charities Act 2011.

The accounts (financial statements) have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on July 16 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

The charity constitutes a public benefit entity as defined by FRS102.

The accounts are stated in £ sterling the functional currency of the charity.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Income recognition

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. The following applies to particular types of income:

Grants , whether of a capital or revenue nature, are recognised when the charity has entitlement to the funds, any performance conditions have been met and it is probable that the income will be received.

Donations from individuals and other bodies (not being of the nature of a grant) are recognised when receivable.

Earned income is measured at the fair value of the consideration received or receivable for services and goods supplied, net of discounts.

Deferred income

Income is only deferred and included in creditors when:

• The income relates to a future accounting period

• A sales invoice has been raised ahead of the work being carried out and there is no contractual entitlement to the income until the work has been done

• Not all the terms and conditions of the grant have been met, including the incurring of expenditure and the grant conditions are such that unspent grant must be refunded

Expenditure and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:

Costs of raising funds

including those associated with fundraising activities and managing investments.

Charitable activities costs of undertaking the work of the charity.

The charity is not registered for VAT and cannot recover any input tax charged. Costs are stated inclusive of VAT where charged.

Allocation of support costs

Support costs are those functions which assist the work of the charity either by supporting the delivery of charitable activities or by supporting the generation of funds. They include, back office functions, staff costs and professional fees. The basis of allocations is set out in note 9.

Financial instruments

The charity has only basic financial instruments which are initially recorded at cost, and with the exception of investments (as set out above) subsequently measured at their settlement value.

12

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

1 ACCOUNTING POLICIES (continued)

Pension contributions

The District participates in the following pension funds:

Methodist Ministers’ Pension Fund

The District is a member of the Connexional pension scheme (MMPS) which covers presbyters and deacons of the Methodist Church. The contribution rates are set each year by the Methodist Conference, and for the year under review the employer contributions were 26.9% (2018: 26.9%) of stipend.

The MMPS is a multi-employer scheme, and in accordance with the guidance issued by the Charity Commission, the District accounts for those contributions as if it were a defined contribution scheme. It has done so because it is unable to identify its share of the underlying assets and liabilities on a consistent and reasonable basis. Contributions are charged to the SoFA in the period in which they are payable.

Lay staff

The charity operates a defined contribution pension scheme for its lay employees, and matches its employees’ contributions up to 6% of gross pay. For one individual it has agreed to make contributions on a similar basis to their personnel pension scheme.

The contributions are paid to a third party who invests the contributions in a money purchase plan. Contributions are charged to the SoFA as they become payable.

Impairment

Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset’s cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

Fixed assets and depreciation

Fixed assets are shown at cost to the District, with the exception of the manses and other property assets. These have been included at the Trustees’ valuation as permitted under the SoRP, when assets not previously included in the balance sheet are capitalised. Assets costing less than £1,000 are written off as revenue expenditure in the year of acquisition.

Depreciation is provided to write off the cost or valuation less the estimated residual value of tangible fixed assets by equal instalments over their estimated useful economic lives as follows:

Methodist International House	-	1% straight line (excluding freehold land)
District manse	-	1% straight line (excluding freehold land)
Property improvements	-	10% per annum straight line
Furniture and fittings	-	25% per annum straight line
Chapel in the Fields equipment	-	10% per annum straight line

Freehold land is not depreciated.

Investments, gains and losses

Fixed assets investments are a form of basic financial instrument and are initially recorded at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The SoFA includes the net gains and losses arising on revaluation and on disposals throughout the year.

Gains and losses on investments are taken to the Statement of Financial Activities as they arise. Realised gains and losses are calculated as the difference between sale proceeds (net of transaction costs) and the opening carrying value or cost, if acquired during the year. Unrealised gains and losses are calculated on the difference between opening and closing fair values.

Debtors

Trade and other debtors are recognised at the settlement amount due and prepayments are valued at the amount prepaid.

Cash at bank and in hand

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount.

13

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

2 DONATIONS Contributions from Circuit Model Trust Funds Distribution Connexional Priority fund Circuit Assessments District Partnership Fund MIH other donations Bastion Games Chapel in the Fields donations Contributions from Circuit Model Trust Funds Distribution Connexional Priority fund Circuit Assessments District Partnership Fund MIH other donations Chapel in the Fields donations	Unrestricted	DAF Restricted 2021	DAF Restricted 2021	Total	2020 Total
	£ - - 77,106 - - - -	£ 87,510 110,567 - - - - -	£ - - - 2,740 1,453 170 12,564	£ 87,510 110,567 77,106 2,740 1,453 170 12,564	£ 66,184 133,599 96,906 18,496 1,035 - 12,044
	77,106	198,077	16,927	292,110	328,264
	Unrestricted	DAF Restricted 2020		Total
	£ - - 96,906 - - -	£ 66,184 133,599 - - - -	£ - - - 18,496 1,035 12,044	£ 66,184 133,599 96,906 18,496 1,035 12,044
	96,906	199,783	31,575	328,264

3 INCOME FROM CHARITABLE ACTIVITIES

Core district activities Church Planting Officer - Connexion City Centre Minister - MCHM Calab Communities - Connexion Climate Action (Rosy Bank Trust) Temporary Missioner - MCHM Other Charitable income MIH Accommodation & other income Bastion Games Connexional grant Earned income NPNP grant Chapel in the Fields Mission and Ministry grant Other income Total	Unrestricted	Restricted 2021	Total	Unrestricted	Restricted Total 2020
	£ - - - - - -	£ 32,417 30,000 10,000 6,564 - -	£ 32,417 30,000 10,000 6,564 - -	£ - - - - 514	£ £ 32,417 32,417 30,000 30,000 - - - - 5,000 5,000 - 514 67,417 67,931 - 118,926 - 118,926 26,883 26,883 - - 1,500 1,500 28,383 28,383 3,856 3,856 - 20,488 3,856 24,344 99,656 239,584
	-	78,981	78,981	514
	84,617	-	84,617	118,926
	84,617	-	84,617	118,926
	- 14 -	50,801 - -	50,801 14 -	- - -
	14	50,801	50,815	-
	- 26,103	1,928 -	1,928 26,103	- 20,488
	26,103	1,928	28,031	20,488
	110,734	131,710	242,444	139,928

(MCHM - Methodist Central Hall, Manchester)

14

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

4 INVESTMENT INCOME

Bank and CFB interest Bank interest (MIH account)

----- Start of picture text -----
2021 2020
Unrestricted DAF Restricted Total Total
£ £ £ £ £
1,441 1,298 5 2,744 5,616
- - - - 363
1,441 1,298 5 2,744 5,979
----- End of picture text -----

Bank and CFB interest Bank interest (MIH account)

----- Start of picture text -----
2020
Unrestricted DAF Restricted Total
£ £ £ £
2,743 2,856 17 5,616
363 - - 363
3,106 2,856 17 5,979
----- End of picture text -----

15

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

5 COSTS OF RAISING FUNDS Investment management charges Support costs Investment management charges Support costs	Unrestricted	DAF Restricted 2021	DAF Restricted 2021	Total	2020 Total
	£ 289 3,066	£ 684 -	£ 2 -	£ 975 3,066	£ 950 3,642 4,592
	3,355	684	2	4,041
	Unrestricted	DAF Restricted 2020		Total
	£ 282 3,642	£ 664 -	£ 4 -	£ 950 3,642
	3,924	664	4	4,592

6 COSTS OF CHARITABLE ACTIVITIES

COSTS OF CHARITABLE ACTIVITIES
DAF Grants - note 7 Other charitable expenditure - note 8	Unrestricted	DAF	other des. 2021	Restricted	Total
	£ - 328,893	£ (5,952) 69,044	£ - 7,256	£ - 129,213
	328,893	63,092	7,256	129,213

Grants - note 7 Other charitable expenditure - note 8	Unrestricted	DAF other des. 2020	Restricted Total
	£ - 1,434,191	£ £ 43,734 - 12,975 85,005 56,709 85,005	£ £ - 43,734 173,785 1,705,956 173,785 1,749,690
	1,434,191

Included in other charitable expenditure for 2021 are the following grants:

Calab Communities GM Churches Together	Unrestricted	DAF	other des. 2021	Restricted Total
	£ 3,250	£ - -	£ - -	£ £ 1,060 1,060 - 3,250 1,060 4,310
	3,250	-	-

16

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

7 GRANTS DUE AND PAID

Awarded Awarded Liability as /(cancelled) Paid out in Liability as /(cancelled) Paid out in liability Liability as at 31/08/19 in the year the year at 31/08/20 in the year the year Reversed at 31/08/21 District Advance fund £ £ £ £ £ £ £ £ Ashton-u-Lyne Hyde Helping Hand Shop - - - - 1,750 (1,750) - - Alderley Edge & Knutsford Zac's House (church plant) 11,536 4,102 (6,306) 9,332 5,898 (5,230) - 10,000 Alderley Edge & Knutsford Knutsford pastoral worker - - - - 5,000 - - 5,000 Bramhall & Wythenshawe Children & Family Worker - 2,500 (2,500) - - - - - Bramhall & Wythenshawe Bromley Green Women's Project 5,000 - - 5,000 (5,000) - - - Bramhall & Wythenshawe Northenden reseeding worship 5,000 - - 5,000 - - - 5,000 Bramhall & Wythenshawe Wythenshawe CAP 5,000 - - 5,000 - - - 5,000 Buxton Chaplaincy Derby University 2,500 5,000 (2,500) 5,000 - (2,500) (2,500) - District TC&C 15,000 15,000 (15,000) 15,000 (5,000) (10,000) - - District Sheffield re RDE 24,600 12,600 (12,200) 25,000 - (12,400) (12,600) - District Mcr Uni Chaplaincy 5,000 5,000 (5,000) 5,000 - (5,000) - - District Central Hall civic Training - 1,000 - 1,000 - - - 1,000 Glossop & Tameside Haughton Green - Place of welcome - - - - 1,500 (1,500) - - Glossop & Tameside Hollingworth - Thrive - - - - 4,000 (4,000) - - Manchester Moston - muddy Puddles Toddler Group - - - - 1,000 (1,000) - - Oldham & Saddleworth Children's & Youth Pastor 6,300 (6,300) - - - - - - Oldham & Saddleworth Young People's Worker (E Oldham) 9,500 4,000 (5,000) 8,500 - (4,500) - 4,000 Oldham & Saddleworth Family worker - 5,000 (5,000) - - - - - Shaw & Royton Pioneer Ministry - 8,096 (2,705) 5,391 - (2,789) - 2,602 Stockport Connect@TiviotDale: - - church plant 11,987 - (11,987) - - - - - - Bridge Centre manager 5,333 (1,333) (4,000) - - - - - - ongoing costs 9,639 (4,431) (5,208) - - - - - - youth room equipment 1,500 (1,500) - - - - - - Stretford &Urmston Outreach through connect - 5,000 (2,500) 2,500 - (2,500) - - 117,895 53,734 (79,906) 91,723 9,148 (53,169) (15,100) 32,602 Property grants Bramhall & Wythenshawe Northenden 5,000 5,000 - - - 5,000 Oldham & Saddleworth South Chadderton 5,000 (5,000) - - - - - Stockport Connect@TiviotDale: 5,000 (5,000) - - - - - 15,000 (10,000) - 5,000 - - - 5,000 TOTALS 132,895 43,734 (79,906) 96,723 9,148 (53,169) (15,100) 37,602	32,602	5,000 - -	5,000	37,602
	(15,100)	- - -	-	(15,100)
	(53,169)	- - -	-	(53,169)
	9,148	-	-	9,148
	91,723	5,000 - -	5,000	96,723
	(79,906)	- -	-	(79,906)
	53,734	(5,000) (5,000)	(10,000)	43,734
		5,000 5,000 5,000	15,000	132,895

17

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

8 CHARITABLE EXPENDITURE

	2020 Total	£ 1,465,656 169,146 23,721 47,433	1,705,956	78,487 2,557 - 10,715 763 91,262 4,188 1,575 - 19,787 22,587 13,100 1,140,000 - 292 7,082 37,483 35,778	1,465,656
	Restricted	£ 137,923 3,517 16,445 15,900	173,785	5,000 - - - - 75,762 - - 19,787 - - - - 292 7,082 30,000 -	137,923
Unrestricted funds	DAF Other Designated	£ £ £ 1,246,919 5,875 74,939 159,419 - 6,210 176 7,100 - 27,677 - 3,856 1,434,191 12,975 85,005 29,115 5,000 39,372 - - 2,557 - - - 7,153 - 3,562 763 - - 15,500 - - - 4,188 700 875 - - - - - - 4,810 - 17,777 13,100 - - 1,140,000 - - - - - - - - - - - - - 7,483 35,778 - - 1,246,919 5,875 74,939
	General
			1,434,191	29,115 - - 7,153 763 15,500 - 700 - 4,810 13,100 1,140,000 - - - - 35,778	1,246,919
	2021 Total	£ 233,009 217,811 33,806 49,780	534,406	77,032 760 - 4,486 510 4,310 495 1,195 - 9,759 22,983 3,100 - - 7,208 41,849 30,000 29,322	233,009
Restricted	Funds		129,213	- - - - - 1,060 - - - 9,759 - - - - 7,208 31,435 30,000 -	79,462
Unrestricted funds	DAF Other Designated		7,256	- - - - - - - - - - - - - - - - - -	-
			69,044	47,200 - - 1,679 - - 495 - - - 17,742 - - - - - -	86,431 67,116
	General		328,893	29,832 760 - 2,807 510 3,250 - 1,195 - - 5,241 3,100 - - - 10,414 - 29,322
	District core MIH Bastion Games Chapel in the Fields District core Direct costs Stipends and salaries Ministry support Donations and grants Meetings, events and travel Training Grants District Development Plan Consultancy Property Support Services District Partnership Fund Manse & housing costs Depreciation Impairment loss Benevolent fund Synergy Project Church Planting Minister City Centre Minister Support costs

18

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

8 CHARITABLE EXPENDITURE (continued)

	2019 Total	£ 87,309 48,071 - 20,215 1,184 - 10,005 1,012 1,350 - -	169,146	15,294 3,500 4,927	23,721	34,130 4,916 5,954 1,199 334 - 900 -	47,433
	Restricted	£ - - - - - - - - - - 3,517	3,517	15,294 - 1,151	16,445	3,856 - - - - - - 12,044	15,900
Unrestricted funds	DAF Other Designated	£ £ £ 87,309 - - 48,071 - - - - - 20,215 - - 1,184 - - - - - 10,005 - - 1,012 - - 1,350 - - (6,210) - 6,210 (3,517) - - 159,419 - 6,210 - - - - 3,500 - 176 3,600 - 176 7,100 - 26,418 - 3,856 4,916 - - 5,954 - - 1,199 - - 334 - - - - - 900 - - (12,044) - - 27,677 - 3,856		- - -	-	3,856 - - - - - - -	3,856
				- 3,500 3,600	7,100	- - - - - - - -	-
	General
			159,419	- - 176	176	26,418 4,916 5,954 1,199 334 - 900 (12,044)	27,677
	2020 Total	£ 95,972 83,895 (30,800) 34,373 1,640 - 31,484 - - 1,247 - -	217,811	22,723 - 11,083	33,806	35,021 4,800 7,858 922 279 - 900 -	49,780
Restricted	Funds	£ - - - - - - - - - 1,453	1,453	22,723 - 11,083	33,806	1,928 - - - - - - 12,564	14,492
Unrestricted funds	DAF Other Designated	£ £ £ 95,972 - - 83,895 - - (30,800) - - 34,373 - - 1,640 - - - - - 31,484 - - - - - - 1,247 - - - (1,453) - -	-	- - -	-	- - - - - - - 7,256	7,256
			-	- - -	-	1,928 - - - - - - -	1,928
	General		216,358	- - -	-	31,165 4,800 7,858 922 279 - 900 (19,820)	26,104
	MIH Direct costs Staff costs Property and insurance costs Internet service - release provision Operating costs Activities and sundries Student hardship Professional fees Depreciation Support costs Accountancy & payroll Interest and charges Charged to designated funds Charged restricted funds Bastion Games Staff costs Consultancy/management costs Other costs Chapel in the Fields Stipend Manse costs Activity costs Heat, light, water Phone Chapel maintenance Depreciation Charged to designated & restricted funds

19

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

9 SUPPORT COSTS General support costs Staff costs Travel & other expenses Office and other administration costs Management accounts services Governance costs Synod expenses Professional fees	Raising Funds £ 1,692 24 678 672 - -	Charitable Activities £ 15,225 217 6,101 6,048 - 1,731	2021 Total £ 16,917 241 6,779 6,720 - 1,731	Raising Funds £ 1,480 29 1,395 738 - -	Charitable 2020 Activities Total £ £ 13,324 14,804 260 289 12,555 13,950 6,639 7,377 - - 3,000 3,000 35,778 39,420
	3,066	29,322	32,388	3,642

The above costs are in respect of the District core activities only and none are attributable to MIH. MIH has its own administration and those support costs are shown in note 10.

The District Advance Fund (DAF) is administered by volunteers and no support costs are attributable to the grant making activities.

Costs have been allocated on the trustees estimate of the use of resources.

10 NET INCOMING RESOURCES AFTER TRANSFERS This is stated after charging/(crediting): Independent examiners fees: Examination Accountancy Overprovision prior year Depreciation of tangible fixed assets Trustees' remuneration as trustees Trustees' expenses as trustees	2021 2020 £ £ 670 660 1,830 2,340 (769) - 4,000 24,004 - - - -

GAINS AND LOSSES ON INVESTMENTS Unrealised gains/(losses) on revaluation of fixed asset investments Unrealised gain on disposal of assets held for sale Unrealised gain on disposal of assets held for sale	Unrestricted funds £ 219,225 11,384	Restricted Funds 2021 £ £ - 219,225 - 11,384 - 230,609 Restricted Funds 2020 £ £ - (1,113) - (1,113)
	230,609
	Unrestricted funds £ (1,113)
	(1,113)

11 GAINS AND LOSSES ON INVESTMENTS

20

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

12 STAFF INFORMATION

2 STAFF INFORMATION a Staff costs Stipends and salaries MIH costs to cessation and redundancy costs Pension contributions - Methodist Ministers Scheme Pension contributions - defined contribution Employer's NI contributions	2021 2020 £ £ 201,707 192,846 27,877 - 24,031 23,462 7,155 6,987 15,693 16,449 276,463 239,744

No staff member was paid more than £60,000 p.a. in either year.

b Key management personnel

The key management of the charity comprise the trustees, who include the District Mission Enabler (DME) and the City Centre Minister who hold a paid posts within the charity. Both are appointed to the District Council because of the posts they hold. No other trustee is paid by the District.

Details of payments are given in the related parties note.

c Average staff numbers (head count irrespective of full or part time working)

The average number of members of paid staff was as follows:- District core activities Bastion Games Chapel in the Fields MIH	Number Number 6 6 1 1 1 1 6 6 14 14

13 TANGIBLE FIXED ASSETS

TANGIBLE FIXED ASSETS
Cost As at September 1 2020 Additions Disposals As at August 31 2021 Depreciation As at September 1 2020 Charge for the year Disposals As at August 31 2021	Methodist International House £ 2,162,462 - (2,162,462)	District Manse £ 464,960 - -	Core Office Equipment £ 1,533 - -	MIH Furniture & Equipment £ 52,612 - (52,612)	CiF Total Equipment £ £ 10,000 2,691,567 - - - (2,215,074) 10,000 476,493 3,600 1,424,691 900 4,000 - (1,404,058) 4,500 24,633
	-	464,960	1,533	-
	1,362,462 - (1,362,462)	15,500 3,100	1,533 -	41,596 - (41,596)
	-	18,600	1,533	-

As at September 1 2020 Charge for the year Disposals As at August 31 2021

Net book value

Net book value
As at August 31 2021 As at August 31 2020	-	446,360	-	-	5,500 451,860 6,400 1,266,876
	800,000	449,460	-	11,016

21

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

14 FIXED ASSET INVESTMENTS Market value brought forward Income re-invested Net gain/(loss) on revaluation Market value carried forward Investments at fair value comprise: CFB mixed managed units Cash held within investment portfolio 15 DEBTORS Income receivable Prepayments & other debtors 16 CURRENT ASSET INVESTMENTS MIH property held for sale CFB Trustees' Interest Fund - DAF CFB Trustees' Interest Fund - Youth Council surplus funds 17 CREDITORS falling due within one year Creditors and accruals Social Security and other taxes Income and grants in advance DAF grants payable within 12 months Other loan Funds in trust Residents' deposits 18 CREDITORS FALLING DUE IN MORE THAN ONE YEAR DAF grants payable in more than one year

2021 2020 £ £ 77,670 77,562 1,043 1,221 11,384 (1,113) 90,097 77,670 16,697 15,655 73,400 62,015 90,097 77,670 3,959 5,989 11,140 14,147 15,099 20,136 1,030,241 - 399,408 342,032 1,235 1,092 1,430,884 343,124 71,727 42,837 2,132 8,406 26,430 8,206 37,602 70,919 - 10,000 1,599 - - 2,420 139,490 142,788 - 25,804 - 25,804

22

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

19 STATEMENT OF FUNDS

----- Start of picture text -----
- - - - - - -
31/08/2021 £ 1,434,971 419,778 55,785 55,785 1,910,534 120,484 2,031,018
- - - - 810 (810) -
£ 25,810 12,192 (25,000) (12,192) (25,000)
Transfers
- - - - - - - - - -
£
loses 230,609 230,609 230,609
Gains &
- - - - - -
2020/21
£ (7,256) (7,256)
Expenditure (332,248) (63,776) (403,280) (129,215) (532,495)
- - - - - - - -
£
189,281 199,375 388,656 148,642 537,298
Income
- - - -
b/f and c/f 31/08/2020 01/09/2020 £ 1,321,519 284,179 50,849 25,000 12,192 88,041 1,693,739 101,867 1,795,606
£ 107 20,029 (7,189) - - (11,143) (8,886) (27,218) (7,082) 7,082 -
Transfers
£ (1,113) - - - - - - - - - (1,113) - (1,113)
loses
Gains &
Expenditure £ (1,438,115) (57,373) (6,210) - - (67,456) (7,483) (3,856) (85,005) (1,580,493) (173,789) (1,754,282)
- - - - - - - -
2019/20
£
239,940 202,639 442,579 131,248 573,827
Income
01/09/2019 £ 2,520,700 118,884 6,210 58,038 25,000 12,192 78,599 16,369 3,856 200,264 2,839,848 137,326 2,977,174
Unrestricted funds: General fund Designated Funds: District Advance Fund (DAF) Other designated funds MIH Surplus CiF surplus Mission Enabler long term DAF allocations for 16/17: Chapel in the Fields DAF allocations for 19/20 Core expenditure City Centre ministry Chapel in the Fields Total unrestricted funds Restricted funds As below Transfers 2020/21
----- End of picture text -----

23

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

19 STATEMENT OF FUNDS (continued)

----- Start of picture text -----
31/08/2021 £ - - 65,816 - 8,940 6,564 - 6,742 - - 1,243 - - 2,076 29,103 - - 120,484
- - - - - - - - (810) - - - - - (810)
£
Transfers
- - - - - - - - - - - - - - - -
£
loses
Gains &
2020/21 - - - - (2) - - -
Expenditure £ (9,759) (31,435) (30,000) (1,060) (7,208) (1,453) (33,806) (1,928) (12,564) (129,215)
£ - 2,740 32,417 30,000 10,000 6,564 - - - - 5 - 1,453 - 50,971 1,928 12,564 148,642
Income
b/f and c/f 31/08/2020 01/09/2020 £ - 7,019 64,834 - - - - 6,742 7,208 - 810 1,240 - - 2,076 11,938 - - 101,867
£ - - 7,082 - - - - - - - - (1,800) - 1,800 - - - 7,082
Transfers
- - - - - - - - - - - - - - - - - -
£
loses
Gains &
- - (292) - - (904) -
Expenditure £ (74,862) (19,787) (7,082) (30,000) (5,000) (2,482) (1,035) (16,445) (3,856) (12,044) (173,789)
- - - - - - - - -
2019/20 £ 18,496 32,417 30,000 5,000 17 1,035 28,383 3,856 12,044 131,248
Income
To support youth work in the District, either through District initiatives or by grants to Circuits and Churches, to be spent in the next 2 years.
01/09/2019 £ 74,862 8,310 32,417 - - - - 6,742 7,500 810 2,127 4,282 - 276 - - - 137,326
Restricted Funds: Legacy District Partnership fund Church Planting officer City Centre Minister Calab Communities Climate Action Temporary Missioner LN - Children & Youth enabler Synergy Project HVC former staff re attendance at ordination services District Youth Council MIH project MIH - general donations MIH - hardship fund Bastion Games CinF - Mission & Ministry grant CinF - Donations Purpose of restricted fund balances (if not clear from above) District Youth Council Other restricted funds will be utilised during 2021/22 and 2022/23.
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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

19 STATEMENT OF FUNDS (continued)

	2020 Total	1,434,971 419,778 55,785 120,484 2,031,018 1,321,519 284,179 88,041 101,867 1,795,606
	Restricted
Unrestricted funds
Restricted
Unrestricted funds	DAF Other Designated
	General
	Fixed assets - tangible Fixed assets - investments Interdivisional indebtedness Net Current assets Creditors due in more than one year

25

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

20 TAXATION

The District is a registered charity and is entitled to claim annual exemption from UK corporation tax.

21 CAPITAL COMMITMENTS

There were no capital commitments authorised and contacted for at the end of the year (2020 £Nil).

22 RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASHFLOW FROM OPERATING ACTIVITIES

Net income/(expenditure) before transfers Deduct/(add) gains/(losses) on investments Deduct interest income shown in investing activities Add back depreciation tangible fixed assets Add back impairment loss Decrease/(increase) in debtors Increase/(decrease) in creditors Net cash generated from/(used in) operating activities	2021 £ 235,412 (230,609) (2,744) 4,000 - 5,037 (19,102) (8,006)	2020 £ (1,181,568) 1,113 (5,979) 24,004 1,140,000 5,175 (45,048)
		(62,303)

The charity has no debt.

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

23 RELATED PARTY TRANSACTIONS

The Mission Enabler, Revd Rod Hill, is a member of the District Council and as such is a trustee, although he receives no payment for acting as a trustee. In the year he received a stipend of £30,329, plus manse provision (2019/20 - £29,653 plus manse provision).

The City Centre Minister, Revd Ian Rutherford, is a member of the District Council and as such is a trustee, although he receives no payment for acting as a trustee. He was paid a stipend of £25,693 (2019/20 - £25,017). The manse is provided by the Manchester Circuit as its contribution to the support of this post.

The Chair of District, Revd Dr Andrew Lunn, is stationed to the District by the Methodist Conference and he is a trustee of the District. His stipend is paid by the through the Methodist Church Fund and is not included in these accounts. The District provides him with a manse and meets the expenses of his office.

Mr Matt Hill the project worker for Bastion Games is the son of Revd. Rod Hill (trustee). The Revd Rod Hill plays no part in discussions or decisions affecting his son’s employment. Matt Hill developed the original concept for the project and promoted it to the District for support and funding. During the year Matt Hill was paid £14,440.

The members of the District Council are the members of Transforming Churches and Communities (TCC), a charitable incorporated organisation (charity number 1150394). The District works with TCC who deliver a range of services to the District, Circuits and Churches. During the year the District made grants and paid fees for services to TCC as follows:

• ➢ Grants of £10,000 (2019/20 - £16,000);

• ➢ Fees for providing other services of £12,138 (2018/19 - £16,122); and

• ➢ £9,760 (2020 £16,666) for the delivery of services under the District Partnership Fund.

There were no other related party transactions.

24 CONTRIBUTIONS TO METHODIST CHURCH FUND (MCF)

In addition to the assessments on the Circuits to help fund the cost of running the District, the District acted as agent for the Methodist Church Fund (MCF) which levied assessments on the Circuits in this District totalling £540,294 (2020: £518,562) all of which were collected before the year end and paid over to MCF in the year. No balance was held at the year end (2020: none), and no fee is received by the District and no costs incurred in handling these contributions. These contributions for the MCF do not appear elsewhere in these financial statements.

27

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT FINANCIAL STATEMENTS FOR THE YEAR ENDED AUGUST 31 2021

The following pages do not form part of the statutory accounts.

28

THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT DETAILED INCOME AND EXPENDITURE – DISTRICT CORE FOR THE YEAR ENDED AUGUST 31 2021

INCOME Contributions from CMT Distribution Connexional Priority fund Circuit Assessments District Partnership Fund Methodist Church GB: - Church planting officer - Calab Communities MCMNC - City Centre Minister MCMNC - Temporary Missioner Other charitable income Bank and CFB interest EXPENDITURE Staffing Pastoral & ministerial support Training Grants DAF Grants Youth Council Grants - Calab Communities Grants other District development plan District Partnership fund Events, meetings and travel Consultancy Property support services Management accounting Office costs Independent examination Synod expenses Synergy project Depreciation Impairment loss Investment management costs	General Un	restricted funds	restricted funds	Restricted Funds	Total 2021	General U	nrestricted funds	nrestricted funds	Restricted Total Funds 2020 £ £ - 66,184 - 133,599 - 96,906 18,496 18,496 32,417 32,417 - 30,000 30,000 5,000 5,000 - 514 17 5,616
		DAF Other Designated funds					DAF Other Designated funds
	£ - - 77,106 - - - - - 1,441	£ 87,510 110,567 - - - - - - 1,298	£ - - - - - - - - -	£ - - - 2,740 32,417 10,000 30,000 - - 5	£ 87,510 110,567 77,106 2,740 32,417 10,000 30,000 - - 2,744 353,084 191,752 760 510 (5,952) - 1,060 3,250 495 9,759 1,756 1,195 - 6,720 6,779 1,731 7,208 3,100 - 975	£ - - 96,906 - - - - 514 2,743	£ 66,184 133,599 - - - - - - 2,856	£ - - - - - - - - -
	78,547	199,375	-	75,162		100,163	202,639	-	85,930 388,732
	63,696 760 510 - - - 3,250 - - 1,756 1,195 - 6,720 6,779 1,731 - - 3,100 - 975	66,621 - - (5,952) - - 495 - - - - - - - - -	- - - - - - - - - - - - - - - -	61,435 - - - - 1,060 - 9,759 - - - - - - - 7,208 - -		53,514 - 763 - 15,500 - - 2,657 700 - 7,377 13,950 3,000 - - 13,100 1,140,000 282	5,000 - - 43,734 - - - - 875 - - - - - - - - 664	68,194 2,557 - - - - 4,188 - - - - - - - - - - - -	42,082 168,790 - 2,557 - 763 - 43,734 900 900 74,862 90,362 - 4,188 19,787 19,787 - 2,657 - 1,575 - - - 7,377 - 13,950 - 3,000 - - 292 292 - 13,100 - 1,140,000 4 950
	90,472	61,164	-	79,462	231,098	1,250,843	50,273	74,939	137,927 1,513,982
	(11,925)	138,211	-	(4,300)	121,986	(1,150,680)	152,366	(74,939)	(51,997) (1,125,250)

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT DETAILED INCOME AND EXPENDITURE – DISTRICT CORE FOR THE YEAR ENDED AUGUST 31 2021

Staffing Mission enabler Stipend, nic and pension Expenses Manse costs Chair of District Expenses Manse costs Safeguarding officer Salary, nic and pension Expenses City Centre Minister Stipend, nic and pension Expenses Church Planting Minister Stipend, nic and pension Expenses/manse costs Temporary Missioner Stipend, nic and pension Expenses Children & Youth Work enabler Salary, nic and pension Expenses Administrator and PA Salary, nic and pension Expenses TOTAL STAFFING	General U	nrestricted funds	nrestricted funds	Restricted Funds	Total 2021	General U	nrestricted funds	nrestricted funds	Restricted Funds £ - - -	Total 2020 £ 39,372 3,562 17,777
		DAF Other Designated funds					DAF Other Designated funds
	£ - - -	£ 40,369 1,679 17,742	£ - - -	£ - - -	£ 40,369 1,679 17,742 59,790 586 5,241 5,827 29,832 465 30,297 35,629 1,202	£ - - -	£ - - -	£ 39,372 3,562 17,777
	-	59,790	-	-		-	-	60,711	-	60,711
	586 5,241	- -	- -	- -		1,958 4,810	- -	- -	- -	1,958 4,810
	5,827	-	-	-		6,768	-	-	-	6,768
	29,832 465	- -	-	- -		28,288 2,538	- -	- -	- -	28,288 2,538
	30,297	-	-	-		30,826	-	-	-	30,826
	- -	5,629 1,202	-	30,000 -		- -	- -	5,841 1,642	30,000 -	35,841 1,642
	- - 10,414	6,831	-	30,000	36,831	-	-	7,483	30,000	37,483
		- -	- -	17,172 14,263	17,172 24,677	- -	- -	- -	6,427 655	6,427 655
	10,414	-	-	31,435	41,849	-	-	-	7,082	7,082
	- -	- -	- -	- -	- -	827 -	5,000 -	- -	5,000 -	10,827 -
	-	-	-	-	-	827	5,000	-	5,000	10,827
	- -	-	- -	- -	- -	- -	- -	- -	- -	- -
	-	-	-	-	-	-	-	-	-	-
	16,917 241	- -	- -	- -	16,917 241	14,804 289	- -	- -	- -	14,804 289
	17,158	-	-	-	17,158	15,093	-	-	-	15,093
	63,696	66,621	-	61,435	191,752	53,514	5,000	68,194	42,082	168,790

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT DETAILED INCOME AND EXPENDITURE – MIH FOR THE YEAR ENDED AUGUST 31 2021

INCOME Accommodation fees Donations & gift aid Bank interest EXPENDITURE Staff costs Property costs (ex utilities) Utilities Insurance Internet service Advertising Operating costs Activities and sundry costs Accountancy & payroll services Credit card & bank charges Professional fees Depreciation Allocated to restricted gen Surplus/(deficit) for the year	Unrestricted Funds £ 84,617 - - 84,617 95,972 16,174 61,097 6,624 (30,800) - 34,373 1,640 - 1,247 31,484 - (1,453)	Restricted Funds £ - 1,453 -	Total 2021 £ 84,617 1,453 -	Total 2020 £ 118,926 1,035 363
		1,453	86,070	120,324
		- - - - - - - - - - - - 1,453	95,972 16,174 61,097 6,624 (30,800) - 34,373 1,640 - 1,247 31,484 - -	87,309 9,521 31,033 7,517 - - 20,215 1,184 1,012 1,350 - 10,005 -
	216,358	1,453	217,811	169,146
	(131,741)	-	(131,741)	(48,822)

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THE METHODIST CHURCH - MANCHESTER AND STOCKPORT DISTRICT DETAILED INCOME AND EXPENDITURE – CiF FOR THE YEAR ENDED AUGUST 31 2021

INCOME Grant - Connexion Grant -DAF Donations - money Quiet days Workshops Sale of products Hire of chapel EXPENDITURE Stipend Manse costs Activity costs Heat, light, water Phone Depreciation SURPLUS FOR THE YEAR	2021 2020 £ £ 1,928 3,856 3,856 3,856 12,564 12,044 2,971 1,352 6,153 8,011 16,979 9,528 - 1,597 44,451 40,244 35,021 34,130 4,800 4,916 7,858 5,954 922 1,199 279 334 900 900 49,780 47,433 (5,329) (7,189)

32