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2024-08-31-accounts

Draft Financial Statements at 09 September 2025 at 09:13:14

Charity registration number 1135516

BEDE METHODIST CIRCUIT

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2024

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

CONTENTS

Page
Trustees' report 1 - 8
Statement of trustees' responsibilities 9
Independent auditor's report
Statement of financial activities 10 - 11
Statement of financial position 12
Statement of cash flows 13
Notes to the financial statements 14 - 30

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 AUGUST 2024

The trustees present their annual report and financial statements for the year ended 31 August 2024.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Charities Act 2011 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 (FRS 102) (effective 1 January 2019)".

Objectives and activities

The charity’s objects is to act as a Resource provider within Gateshead South Tyneside and Sunderland.

The purposes of the Methodist Church are and shall be deemed to have been since the date of the Union the advancement of –

any charitable purpose for the time being of any Connexional District circuit local or other organisation of the Methodist Church

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

The strategies employed to achieve the circuit’s aims and objectives are to

organisation and resourcing of regular public acts of worship open to members of the church and nonmembers alike

teaching of Christianity through sermons courses and small groups promotion of Christianity through the staging of events and services

providing financial grants to assist circuit churches and associated bodies

Public benefit

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

Achievements and performance

Significant activities and achievements against objectives

During the year the churches and circuit have continued to work hard within the communities and have continued the work and mission of the church. The circuit has set aside monies from the sale of buildings to help local churches start new mission work. Some have already seen the benefit of the grants received.

Due to the growth of the welcome/warm spaces we were successful in our supplication for a diaconal appointment to look at how we can enable these groups to grow and to link with the Town Councils in the circuit. Gateshead, Sunderland and South Tyneside.

The mission project at Kibblesworth sadly came to an end due to lack of volunteers and the building now closed for sale.

The circuit project, Grace Place. continues to grow in numbers and we are always looking for more help from the local churches and wider circuit. Grace Place offers a warm welcome to all who come.

We continue, as we are able to, to serve our communities and to share the gospel of Jesus Christ.

Financial review

The circuit suffered a deficit (before the effect of transfers) of £91,914 (2023 – deficit £124,336) on unrestricted funds and a surplus of £836,297 on restricted funds (2023 – surplus £411,409). Cash resources remain healthy with bank balances of £154,481 (2023 - £153,625).

Reserves policy

Reserves are needed to bridge the gap between the spending and receiving of income and to cover unplanned expenditure. The trustees in line with Charity Commission guidance seek to have a minimum of six months expenditure in reserves. The trustees do not believe going concern is an issue in the next twelve months given the careful financial management employed by the charity and level of monies held in the bank.

Total reserves held at 31 August 2024 were £2,026,427. Restricted reserves amounted to £1,931,245 leaving unrestricted reserves of £95,182.

Restricted reserves comprise of

Advance fund held for one-off larger costs
Benevolent to alleviate poverty and distress
Mission to assist spreading the word of the church

Included as part of the Advance Fund is a £100,000 Mission Fund (a designated fund). During the 2024 financial year, £5,000 was paid out of the Mission Fund in relation to the St. Andrew's Project (Repair costs).

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

During the 2024 financial year, the Circuit disposed of three unused former Methodist Churches resulting in a Net Gain on disposal of tangible fixed assets of £1,055,177. In the 2023 financial year the Circuit disposed of two residential properties that had previously used as Manses, resulting in a Net Gain on disposal of tangible fixed assets of £596,376.

Associated related levies payable on the sale proceeds of such properties are included under Connexional Levy within expenditure on Charitable Activities.

The Net Assets b/fwd. from the 2023 financial year has been uplifted by the effect of the Prior Year Adjustment which represents the identified historical costs previously incurred by the Circuit when such properties were acquired for use by the Circuit.

Investment policy

To comply with Methodist Standing Orders, monies for long-term investment are lodged with the Trustees for Methodist Church Purposes (TMCP). TMCP acts as custodian trustee for all real estate held by Circuits and for all large (over £20k) bequests and for the proceeds of sale of any property formerly owned by the Circuit.

These sums are held on deposit. The deposit income mirrors the deposit rates available elsewhere.

The Circuit Trustees’ investment policy is aligned with that of the Central Finance Board of the Methodist Church (CFB) and TMCP because these organisations take onto consideration the social, environmental and ethical issues (both positively and negatively) that make investments suitable for the Methodist Church.

Major risks

The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

Safeguarding

Every person has a value and dignity which comes directly from the creation of male and female in God’s own image and likeness. Christians see this potential as fulfilled by God’s re-creation of us in Christ. Among other things this implies a duty to value all people as bearing the image of God and therefore to protect them from harm.

Methodist Connexional practice outlines commitment to the following principles –

the care and nurture of and respectful pastoral ministry with all children young people and adults the safeguarding and protection of all children young people and adults when they are vulnerable the establishing of safe caring communities which provide a loving environment where there is informed vigilance as to the dangers of abuse

we will carefully select and train all those with any responsibility within the church in line with safer recruitment principles including the use of criminal records disclosure and registration with the relevant vetting and barring schemes

we will respond without delay to every complaint made which suggests that an adult child or young person may have been harmed cooperating with the police and local authority in any investigation we will seek to work with anyone who has suffered abuse developing with them an appropriate ministry of informed pastoral care

we will seek to challenge any abuse of power especially by anyone in a position of trust

we will seek to offer pastoral care and support including supervision and referral to the proper authorities to any member of our church community known to have offended against any child young person or vulnerable adult

In all these principles we will follow legislation guidance and good practice.

The Bede Circuit commits itself to ensuring the implementation of Connexional Safeguarding Policy government legislation guidance and safe practice in the Circuit and in the churches.

The Bede Circuit commits itself to the provision of support advice and training for lay and ordained people that will ensure people are clear and confident about their roles and responsibilities in safeguarding and promoting the welfare of children and adults who maybe vulnerable.

Plans for future periods

As a circuit we will continue to assess how can we utilise, employ, operate and develop the gifts and talents of our existing staff and make the effective and effectual use of their contributions as we assist our communities where God has intentionally and intellectually planted us to serve Him and his people.

In future we are realistically and wisely looking at how we can reduce expenditure on simply just maintaining buildings and we are committed to continue increasing energies and endeavours to be a more visible vibrant and missional church and to be good and accountable stewards towards all circuit moneys and belongings.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

Structure, governance and management

The governing document for the circuit is the Deed of Union (1932) and the Methodist Church Act (1976). Detailed governance arrangements are outlined within the Constitutional Practice and Discipline of the Methodist Church by order of the annual Methodist Conference. Managing trusteeship and overall governance responsibility rests with the Circuit Meeting which meets at least twice a year. Day to day management of the circuit is undertaken by the Superintendent Minister Circuit Stewards and Circuit Leadership Team in partnership with other officers and committees as appropriate.

The trustees who served during the year and up to the date of signature of the financial statements were:

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

Rev Jane Carter (Superintendent) Rev Matt Sheard Rev Huw Sperring Rev Deborah Wainwright Rev Judith Oldroyd Rev Paul Worsnop Mr W Lee Dr A Lishman Mrs T Wood Mrs C Worth (Resigned 21/04/2024) Mr M Glass Mrs I Milburn Mrs J Bissett Mrs A Redhead Miss H Newman Mrs B Rowell Dr L Wales Mrs L Gaddes Mrs I Morgan Mr I Smith (Resigned 21/04/2024) Mr A Pitchers Mrs J Latimer Mr Mla Nkomo Mrs E Lawrence Mrs V Codling (Resigned 21/04/2024) Mrs B Wallace Mrs S Black Mrs J Lloyd Mrs S Dixon Mr D Patrick Mr D Milne Mr M Glass Mrs J Burns Mrs M Hornby Mrs D Snowball Mrs P Robinson (Resigned 21/04/2024) Mrs E Cable (Resigned 21/04/2024) Mrs L Harland (Resigned 21/04/2024) Mr D Haygarth Mr A Bell Mrs J Peacock Mr P Beal Mr S Phipps Mrs M Cartwright (Resigned 21/04/2024) Mrs J Edwards Mr I Edwards Mrs A Bell Mrs S Booth (Resigned 21/04/2024) Mrs E Bell Mrs E Addison (Resigned 21/04/2024) Mrs B Wallace Rev Cynthia Hardiman (Resigned 21/04/2024)

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

Mrs B Coates Miss C Thompson Mrs S Norman (Resigned 21/04/2024) Mrs F Hurst (Resigned 21/04/2024) Mrs M Gibson (Resigned 21/04/2024) Mrs C Robinson (Resigned 21/04/2024) Mrs P Dixon Mr R Tilley Mr K Reader Mrs S Cassidy Mr D Parker Mr R Simpson (Resigned 21/04/2024) Mrs B Donaldson Miss K Cresswell C Aspinall (Appointed 21/01/2024) G Booth (Appointed 21/01/2024) J Young (Appointed 21/01/2024) V Redhead (Appointed 21/01/2024) M Bell (Appointed 21/01/2024)

Other matters

The Circuit's primary bankers were the Charities Aid Foundation (& Nat West Bank plc for the first month of the financial year.

The Circuit's Investment Managers were the Trustees for Methodist Church Purposes.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

The trustees' report was approved by the Board of Trustees.

..............................

Trustee

Date: .............................................

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 AUGUST 2024

The trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that year.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. 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.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 AUGUST 2024

Unrestricted Unrestricted
funds
funds
general Grace Place
2024
2024
Notes
£
£
Income and endowments from:
Donations and legacies
3
277,974
37,500
Investments
4
-
-
Other income
5
7,907
-
Total income
285,881
37,500
Expenditure on:
Charitable activities
6
368,416
46,879
Total expenditure
368,416
46,879
Net gains/(losses) on investments
11
-
-
Net income/(expenditure)
(82,535)
(9,379)
Transfers between funds
80,000
-
Net movement in funds
8
(2,535)
(9,379)
Restricted
funds
2024
£
-
56,741
1,210,177
1,266,918
430,621
430,621
-
836,297
(80,000)
756,297
Total
Unrestricted Unrestricted
funds
funds
general Grace Place
2024
2023
2023
£
£
£
315,474
294,427
43,500
56,741
-
-
1,218,084
4,967
-
1,590,299
299,394
43,500
845,916
422,959
44,271
845,916
422,959
44,271
-
-
-
744,383
(123,565)
(771)
-
100,000
-
744,383
(23,565)
(771)
Restricted
funds
2023
£
-
16,505
596,376
612,881
201,456
201,456
(16)
411,409
(100,000)
311,409
Total
2023
£
337,927
16,505
601,343
955,775
668,686
668,686
(16)
287,073
-
287,073

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 AUGUST 2024

Unrestricted Unrestricted
funds
funds
general Grace Place
2024
2024
Notes
£
£
Reconciliation of funds:
Fund balances at 1 September 2023
43,812
63,284
Fund balances at 31 August 2024
41,277
53,905
Restricted
funds
2024
£
1,174,948
1,931,245
Total
Unrestricted Unrestricted
funds
funds
general Grace Place
2024
2023
2023
£
£
£
1,282,044
67,377
64,055
2,026,427
43,812
63,284
Restricted
funds
2023
£
863,539
1,174,948
Total
2023
£
994,971
1,282,044

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

STATEMENT OF FINANCIAL POSITION

AS AT 31 AUGUST 2024

Notes
Fixed assets
Property, plant and equipment
13
Investments
14
Current assets
Trade and other receivables
15
Cash at bank and in hand
Current liabilities
16
Net current assets
Total assets less current liabilities
Net assets excluding pension liability
The funds of the charity
Restricted income funds
17
Unrestricted funds - general
Unrestricted funds - Grace Place
18
2024
£
£
709,366
1,198,106
1,907,472
31,950
154,481
186,431
(67,476)
118,955
2,026,427
2,026,427
1,931,245
41,277
53,905
2,026,427
2023
£
£
595,210
567,041
1,162,251
21,630
153,625
175,255
(55,462)
119,793
1,282,044
1,282,044
1,174,948
43,812
63,284
1,282,044
2023
£
£
595,210
567,041
1,162,251
21,630
153,625
175,255
(55,462)
119,793
1,282,044
1,282,044
1,174,948
43,812
63,284
1,282,044
1,162,251
119,793
1,282,044
1,282,044
1,174,948
43,812
63,284
1,282,044

The financial statements were approved by the trustees on .........................

..............................

Trustee

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 AUGUST 2024

Notes
Cash flows from operating activities
Cash absorbed by operations
24
Investing activities
Purchase of property, plant and equipment
Proceeds on disposal of property, plant and
equipment
Proceeds on disposal of investments
Investment income received
Net cash generated from investing
activities
Net cash used in financing activities
Net increase/(decrease) in cash and cash
equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year
2024
£
£
(365,598)
(114,415)
1,055,177
(631,049)
56,741
366,454
-
856
153,625
154,481
2023
£
£
(329,944)
-
596,376
(307,542)
16,505
305,339
-
(24,605)
178,230
153,625

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2024

1 Accounting policies

Charity information

Bede Methodist Circuit was constituted by Deed of Union (1932) and the Methodist Church Act (1976) as amended by resolution dated 8 June 2011. The Circuit was registered as a charity (registration number 1135516) on 14 April 2010 having previously been excepted from registration. The Circuit meets the definition of a public benefit entity under FRS 102.

The Circuit office is located at St. Lukes Methodist Church, Burn Heads Road, Hebburn, Tyne and Wear NE31 2TD.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's governing document, the Charities Act 2011 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 (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.

The financial statements 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 the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, [modified to include the expected net sales proceeds for closed churches (following the Circuit becoming Managing Trustees for such property following closure) and to include certain financial instruments at fair value]. The principal accounting policies adopted are set out below.

The Circuit has denominational regulatory oversight in respect of the work of the Churches within the Circuit but has no legal or operation control of those Churches and their governing bodies except in extreme circumstances. For this reason, the financial statements of Churches within the Circuit are not consolidated into these financial statements.

1.2 Prior period adjustment

The monetary effect of the Prior Period Adjustment is included at Note 25, whilst related narrative comment is included at Note 13.

1.3 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

1 Accounting policies

(Continued)

1.4 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.

1.5 Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

In accordance with the Charities SORP (FRS 102), the time of volunteers is not recognised.

1.6 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

1 Accounting policies

(Continued)

1.7 Property, plant and equipment

Property, plant and equipment are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Items of equipment are capitalised if they can be used for more than one year, and individually cost at least £1,000.

Freehold property is included in the financial statements at identified values at the time when the properties were purchased. No depreciation is provided on the building costs because the trustees consider the current residual fair value of both church and manse buildings to be not less than its current value (on the assumption that such properties had reached the end of their useful economic life by the year-end). In such circumstances, any depreciation would not be material. No indications of impairment have been identified.

Freehold land and buildings No depreciation is provided Plant and equipment Straight line over 5 years

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

From time to time the Circuit may be required to assume responsibility for Church premises following closure and cessation of worship. This results in the Circuit becoming Managing Trustees for the property. At that time the property is recognised as an asset at its anticipated net sale price and after taking into consideration the levy to be charged by the Connexion.

1.8 Non-current investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.

1.9 Impairment of non-current assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

1.10 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

1 Accounting policies

(Continued)

1.11 Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include trade and other receivables and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including trade and other payables and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

1.12 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

2 Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

3 Assessments and TMCP

Unrestricted Unrestricted
funds
funds
General
Grace Place
2024
2024
£
£
Assessments and TMCP
277,974
37,500
Grants
-
-
277,974
37,500
Assessments and TMCP
Assessments on
Churches
263,021
-
Connexion and District
6,000
37,500
Donations
-
-
Harton Methodist
Church balance
8,953
-
277,974
37,500
Total Unrestricted Unrestricted
funds
funds
General
Grace Place
2024
2023
2023
£
£
£
315,474
294,427
38,500
-
-
5,000
315,474
294,427
43,500
263,021
269,223
-
43,500
-
37,500
-
25,204
1,000
8,953
-
-
315,474
294,427
38,500
Total
2023
£
332,927
5,000
337,927
269,223
37,500
26,204
-
332,927

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

4 Income from investments

Dividends
Interest receivable
Restricted
funds
2024
£
41
56,700
56,741
Restricted
funds
2023
£
42
16,463
16,505

The main element of interest receivable shown above is £53,706 (2023 £15,581) arising from monies held in the TMCP Trustees Interest Fund.

5 Other income

Unrestricted
funds
2024
£
Net gain on disposal of
tangible fixed assets
-
Other income
7,907
Capital Receipts
-
7,907
Restricted
funds
2024
£
1,055,177
-
155,000
155,000
Total
Unrestricted
funds
2024
2023
£
£
1,055,177
-
7,907
4,967
155,000
-
162,907
4,967
Restricted
funds
2023
£
596,376
-
-
-
Total
2023
£
596,376
4,967
-
4,967

The above net gains on disposal of tangible fixed assets arose in 2024 from the sale of three previously closed Methodist Churches and in 2023 from the sale of two Manses. Associated related levies payable on the sale proceeds of such properties are included under Connexional levy within Expenditure on Charitable Activities.

Capital Receipts relate to Kibblesworth Church representing the expected sale proceeds (net of an allowance for related costs of disposal). Completion is scheduled in Autumn 2025; any variance between the August 2024 book value and the actual amount will be accounted for in the 2026 financial year.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

6 Expenditure on charitable activities

Charitable Charitable
Expenditure Expenditure
2024 2023
£ £
Direct costs
Depreciation and impairment 259 -
District assessment 110,037 79,005
District levy 390,348 190,354
Minister allowances 169,442 153,381
Lay workers 76,117 95,388
Pension costs 4,096 5,419
Travel 9,258 10,759
Telephone and postage 5,729 6,087
Training and books 3,672 5,068
Quinnquennials 3,210 7,920
Repairs 5,904 14,568
Insurance rent and utilities 16,397 49,012
Council tax 6,367 9,684
Sundry 388 1,827
Management charges - 724
Shop costs - Grace Place 18,890 17,179
Other charitable expenditure 5,000 -
825,114 646,375
Grant funding of activities (see note ) 6,752 10,976
Share of support and governance costs (see note 7)
Support and governance 14,050 11,335
845,916 668,686
Analysis by fund
Unrestricted funds - general 368,416 422,959
Unrestricted funds - Grace Place 46,879 44,271
Restricted funds 430,621 201,456
845,916 668,686

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

6 Expenditure on charitable activities

(Continued)

The above amounts for Connexional Levy £390,348 (2023 £190,354) relate in 2024 to the levies applicable to the 3 Churches sold during that year together with the expected levy arising on Kibblesworth closed church. In 2023, the levies arose on the two Manses sold during that year.

Employers National Insurance of £3,174 (2023 £4,943) is included in Lay Workers/Shop Expenses above.

Ministers allowances includes Employers National Insurance of £12,009 (2023 £10,305) and Employers Pension Contributions of £31,228 (2023 £29,164).

7 Support and governance costs allocated to activities

2024
£
Legal and professional
950
Administration costs
3,560
Accountancy
1,140
Governance costs
8,400
14,050
Analysed between:
Unrestricted funds General
14,050
8
Net movement in funds
2024
£
The net movement in funds is stated after charging/(crediting):
Fees payable for the audit of the charity's financial statements
8,400
Depreciation of owned property, plant and equipment
259
Profit on disposal of property, plant and equipment
(1,055,177)
2023
£
6,243
3,952
1,140
-
11,335
11,335
2023
£
-
-
(596,376)

9 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year in their capacity as acting as trustees.

10 trustees received reimbursement following approval of their expenses claims during the 2024 financial year.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

10 Employees

The average monthly number of employees during the year was:

2024 2023
Number Number
5 7

There were no employees whose annual remuneration was more than £60,000.

11 Gains and losses on investments

Restricted Restricted
funds funds
2024 2023
Gains/(losses) arising on: £ £
Revaluation of investments - (16)

12 Taxation

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

13
Property, plant and equipment
Freehold land
and buildings
£
Cost
At 1 September 2023
595,210
Additions
113,000
At 31 August 2024
708,210
Depreciation and impairment
Depreciation charged in the year
-
At 31 August 2024
-
Carrying amount
At 31 August 2024
708,210
At 31 August 2023
595,210
Plant and
equipment
£
-
1,415
1,415
259
259
1,156
-
Total
£
595,210
114,415
709,625
259
259
709,366
595,210

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

13 Property, plant and equipment

(Continued)

The carrying value of land included in land and buildings comprises:

£
Land - Churches 78,510
Buildings - Churches 122,831
Land - Manses 339,602
Buildings - Manses 167,267
Land and Buildings - Total 708,210

Churches comprise 13 properties, one of which (Kibblesworth) was awaiting disposal at 31 August 2024, following the last service being held In August 2024. Additionally, the cost of a one-third share in an additional Methodist Church is included in the above figures.

The value attributed to Kibblesworth Church equates to £113,500 representing the expected sale proceeds (net of an allowance for related costs of disposal) less the expected related levy payable. Completion is scheduled in Autumn 2025; any variance between the August 2024 book value and the actual amount will be accounted for in the 2026 financial year.

The rationale for including Kibblesworth Church in these financial statements at the above value is explained in the final paragraph of the Tangible fixed assets accounting policy.

Manses comprise 4 residential properties.

Included in the above total of Land and Buildings are the following elements existing at 1 August 2022, which have now been included in financial statements of the Circuit by a Prior Period Adjustment (see note at the end of the Notes to these financial statements):

Churches - cost of land 3,176
Churches - cost of buildings 85,165
Manses - cost of land 122,838
Manses - cost of buildings 60,502
Total included via Prior Period Adjustment 271,681

The amount of £271,681 now included in the Statement of Financial position represents the identified historical costs previously incurred by the Circuit when such properties were acquired for use by the Circuit. Some elements of identified costs date back to Victorian times, whilst other elements were incurred more recently (but prior to time when the Circuit was required to prepare financial statements).

Plant and Equipment consists of equipment used by the Circuit.

The carrying value of Land included in Land & Buildings is as follows:

2024 2023 £ £

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

(Continued)

13
Property, plant and equipment
(C
Freehold
418,112
14
Fixed asset investments
CFB Managed
Mixed Fund
Elizabeth
Griggs Bequest
TMCP Trustees
Interest Fund
£
£
£
Cost or valuation
At 1 September 2023
1,358
1,550
564,133
Interest and dividends
105
79
48,632
Sale of property
-
-
702,523
Disposals
-
-
(120,274)
At 31 August 2024
1,463
1,629
1,195,014
Carrying amount
At 31 August 2024
1,463
1,629
1,195,014
At 31 August 2023
1,358
1,550
564,133
15
Trade and other receivables
2024
Amounts falling due within one year:
£
Assessment due
21,632
Prepayments and accrued income
10,318
31,950
ontinued)
342,779
Total
£
567,041
48,816
702,523
(120,274)
1,198,106
1,198,106
567,041
2023
£
21,630
-
21,630

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

16 Current liabilities

Assessments in advance
Other payables
Accruals and deferred income
2024
£
54,871
3,065
9,540
67,476
2023
£
51,257
3,065
1,140
55,462

Included above are Assessments in advance. Such assessment monies received towards the end of each financial year relate to assessment monies due in respect of the following financial year.

17 Restricted funds

The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.

At 1
September
2023
£
Advance fund
891,044
Advance fund
arising from PYA
271,681
Benevolent
6,138
Mission
6,085
1,174,948
Previous year:
At 1
September
2022
£
Advance fund
580,045
Benevolent
5,932
Mission
5,881
591,858
Incoming
resources
£
1,266,277
-
322
319
1,266,918
Incoming
resources
£
612,471
206
204
612,881
Resources
expended
£
(430,621)
-
-
-
(430,621)
Resources
expended
£
(201,456)
-
-
(201,456)
Transfers
£
(80,000)
-
-
-
(80,000)
Transfers
£
(100,000)
-
-
(100,000)
Gains and
losses
At
£
-
-
-
-
-
Gains and
losses
At
£
(16)
-
-
(16)
31 August
2024
£
1,646,700
271,681
6,460
6,404
1,931,245
31 August
2023
£
891,044
6,138
6,085
903,267

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

17 Restricted funds

(Continued)

During the 2024 financial year, 80,000 (2023 £100,000) was transferred from the Advance Fund to Unrestricted General Funds. Such transfers are planned at the time of determining the level of each year's assessment due from the Churches within the Circuit.

18 Unrestricted funds - Grace Place

These are unrestricted funds which are material to the charity's activities.

At 1 Incoming Resources At 31 August
September resources expended 2024
2023
£ £ £ £
Grace Place Drop in Centre 63,284 37,500 (46,879) 53,905
Previous year: At 1 Incoming Resources At 31 August
September resources expended 2023
2022
£ £ £ £
Shop 64,055 43,500 (44,271) 63,284

19 Unrestricted funds

The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

At 1 Incoming Resources Transfers At 31 August
September resources expended 2024
2023
£ £ £ £ £
General funds 43,812 285,881 (368,416) 80,000 41,277
Previous year: At 1 Incoming Resources Transfers At 31 August
September resources expended 2023
2022
£ £ £ £ £
General funds 67,377 299,394 (422,959) 100,000 43,812

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

20 Analysis of net assets between funds

Unrestricted
Unrestricted
funds
funds
general
Grace Place
2024
2024
£
£
At 31 August 2024:
Property, plant and equipment
5,000
1,156
Investments
-
-
Current assets/(liabilities)
36,277
52,749
41,277
53,905
Unrestricted
Unrestricted
funds
funds
general
Grace Place
2023
2023
£
£
At 31 August 2023:
Property, plant and equipment
7,390
-
Investments
-
-
Current assets/(liabilities)
43,812
63,284
51,202
63,284
Restricted
Endowment
funds
funds
2024
2024
£
£
703,210
-
1,198,106
-
29,929
-
1,931,245
-
Restricted
Endowment
funds
funds
2023
2023
£
£
587,820
-
567,041
-
12,697
-
1,167,558
-
Total
2024
£
709,366
1,198,106
118,955
2,026,427
Total
2023
£
595,210
567,041
119,793
1,282,044

The above value of £587,820 for Property, plant and equipment at 2023 is inclusive of the effect of the Prior Year Adjustment of £271,681 (referred to in Note that follows).

Restricted Funds included a £100,000 Mission Fund out of which £5,000 was spent during the 2024 financial year, leaving a balance of £95,000 remaining at 31 August 2024.

21 Events after the reporting date

As referred to in Note 5 - Other Income, it is expected that the sale of Kibblesworth Church will go through in Autumn 2025.

22 Related party transactions

There were no disclosable related party transactions during the year (2023 - none).

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

23
Analysis of changes in net funds
The charity had no material debt during the year.
24
Cash generated from operations
2024
£
Surplus for the year
744,383
Adjustments for:
Investment income recognised in statement of financial activities
(56,741)
Gain on disposal of property, plant and equipment
(1,055,177)
Fair value gains and losses on investments
(16)
Depreciation and impairment of property, plant and equipment
259
Movements in working capital:
(Increase)/decrease in trade and other receivables
(10,320)
Increase/(decrease) in trade and other payables
12,014
Cash absorbed by operations
(365,598)
25
Prior period adjustment
Changes to the statement of financial position
At 31 August 2023
As previously
reported
Adjustment
£
£
Fixed assets
Property, plant and equipment
323,529
271,681
Capital funds
Income funds
Restricted funds
903,267
271,681
Grace Place
63,284
-
Unrestricted funds
43,812
-
Total equity
1,010,363
271,681
2023
£
287,072
(16,505)
(596,376)
16
-
3,000
(7,151)
(329,944)
As restated
£
595,210
1,174,948
63,284
43,812
1,282,044

Draft Financial Statements at 09 September 2025 at 09:13:14 BEDE METHODIST CIRCUIT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2024

25 Prior period adjustment (Continued)
At 31 August 2023
As previously Adjustment As restated
reported
£ £ £
Fixed assets
Changes to the income statement
Period ended 31 August 2023
As previously Adjustment As restated
reported
£ £ £
Net movement in funds 287,073 - 287,073

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