The Methodist Church Northampton Circuit 23/13 ## ANNUAL REPORT AND ACCOUNTS “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” ## 2020 - 2021 Registered Charity No 1135635 ## **Introduction** This is the twelfth annual report produced by the Northampton Methodist Circuit since its registration as a separate charity and aims to share a review of the activities of the circuit during 2020 – 21 while also meeting all the legal requirements. ## **The Vision Statement** The Northampton Methodist Circuit currently consists of 13 Christian Communities, seeking to be a discipleship movement shaped for mission. We see mission as who we are. It is the sharing of the good news of God’s love incarnate, through Jesus Christ, in the witness of the community to the world. Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 1 ## **Superintendent’s letter of Greeting** ## Dear friends As I write this letter, we draw to the end of 2021 and we have entered the Advent season, which is the beginning of the Christian calendar. We are in between times- the old and the new, a time of expectancy and hope, a time in which by faith, we prepare to receive and celebrate the birth of God-WithUs, Emmanuel! 2020 has been a profoundly disruptive, disorienting and exhausting year for all! Due to the Covid 19 virus- nothing has remained the same. We have experienced radical change of life as we know it; living with anxiety, fear, illness, isolation, loneliness, death, loss of loved ones, loss of employment, etc. All these affect us and cause physical and mental fatigue. The church is part of society and has therefore not been immune to these challenges. Even before the pandemic we were seriously considering what the future of the Methodist Church in the circuit might look like.. The Pandemic has made this an even more urgent question to consider. You can read more about this in the Review below I think that it is important for me to remind you that the Advent season for Christians, is importantly about hope. The hope of advent reminds us that we are a people of hope. Hope is the energy that sustains us beyond every real obstacle, difficulty or challenge we face. In the words of Luther E. Smith, “Hope is a force of God that enlivens us to life and saves us from a false sense of aliveness”. (Weavings: The Work of Hope) Advent hope therefore enables us to look beyond our present realities and see God who did and continues to offer intervention in human history! I’ve seen this hope reflected in the way we quickly found ways to adapt to this new way of being. One of our Local Preachers started a book club and a coffee morning on Facebook. Someone else started “Coffee and Chat”, sharing weekly church family news. Others started WhatsApp groups to keep regular contact. One homegroup started “Sofa Church” on Zoom. And so many of you started writing cards, letters and making phone calls to keep in touch. Many stewards started writing weekly updates to keep everyone informed. I am deeply indebted to the pastoral secretaries and friends for the invaluable work done during this period. The creative energy that I’ve seen released during this time is something I wish we would continue to embrace as we get closer to some sense of normality. Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 2 All these changes that we face, dear friends, cannot and will not change or dilute the message of Christmas! Out of unimaginable love- the transcendent God chose to be vulnerable and take on human nature – in Jesus Christ. This loving and gracious God is always with us! We will never be outside the reach of God’s presence and love in this life or the next! This is the unchanging good news of Christmas! I therefore pray that whatever our realities are this Christmas- we will celebrate with joy this truth that “We are loved unconditionally by God”. In the words of the prophet Isaiah: “For to us a child is born, to us a son is given... of the greatness of his government and peace there will be no end”. (Isaiah 9:6, 7). Lastly, my deepest gratitude goes to the Rev’d Brian Kennard, who, during a time of great need in our circuit, helped us to be a better team. Brian’s time with us came to an end in August. Also, the rest of the ministerial team: you’ve been brilliant. A word of gratitude to our Circuit Leadership Team that had to meet more than usual, to navigate us during this time. A special word of appreciation to our Circuit Administrator, Sarah Eason. She is the person holding everything together and making sure that we are as effective as we can be. There is a saying in my mother tongue: “When spider webs unite, they can tie up a lion”. Together we are stronger. Keep hope alive! Your brother in Christ The Rev’d Romeo Regardo Pedro (Superintendent Minister) Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 3 ## **Mission Statement** Mission is our key purpose. It is the sharing of the good news of God’s love incarnate, through Jesus Christ, in our witness to the community and the wider world. As a circuit we are committed to Worship, Service, Evangelism, and Learning & caring, WORSHIP, which seeks to increase awareness of God’s presence and celebrates God’s love seeking to underpin everything we do in God-centred prayer SERVICE seeking to be a good neighbour to people in need and challenge injustice., EVANGELISM, which is a call to all people to Christian discipleship, growing in the Christian faith alongside others seeking the same, to talk about God and to serve God in the world LEARNING and CARING, which is equipping and resourcing people for mission and Christian relationships. We are intentional about ‘Re-imagining’ the work and organisation of the circuit in order to grow as a mission focused Christian organisation seeking to serve our community. This means that our resources need to be utilised and developed in such a way that they are outgoing and outward facing. We accept that following the findings of the Property and Resources Audit report from 2019 there will be changes to how we do this which will affect our church communities. Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 4 ## **A review of the 2020 – 21, a year where the Covid pandemic continued** . **to impact on all our activities.** ## **WORSHIP** Throughout the year the Circuit continued to offer weekly online worship through the Circuit website along with dial in facilities which were well utilised. As permitted by government guidance, socially distanced services were held in the majority of circuit churches, with return to permitted singing towards the end of the year joyfully welcomed. Two of the individuals involved in training to become fully accredited local preachers were near to successful completion of their training by the end of the church year. ## **SERVICE** The year has seen the emergence of several targeted activities offering help and support into our local community. We have continued to provide an active input into the work of the UON chaplaincy. There remains a need for further revisioning of options for service across the town going forward. ## **LEARNING and CARING** The continued impact of the pandemic has meant caution in respect of social contact whilst the needs have been great. It has been a positive encouragement to witness both the early reopening of our Boys and Girls Brigade groups across the circuit, following relaxation of restrictions and the level of involvement in the planned bible study groups organised during the year. ## **EVANGELISM** The One Voice Podcast has continued to be produced each month and has remained a valuable means of sharing the Christian message. ## **SUPPORT ACTIVITIES** Consultation meetings seeking discernment regarding the way forward in response to the PRAG report continued during the year with representatives of all circuit churches. These consultations have been hampered by the difficulty in meeting in larger groups but are beginning to provide options for moving forward. Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 5 ## **Review of and financial position of the circuit** ## The following summary reflects the financial activities of the Circuit for the year, with the previous 3 years provided for comparison: - ||2017/18|2018/19|2019/20|2020/21| |---|---|---|---|---| ||£'000|£'000|£'000|£'000| |Income||||| |Assessment contributions from circuit churches|285.5|276.2|242.9|218.3| |Other income|4.1|1.7|1.8|18.3| |Interest|0.4|0.5|0.4|0.1| |Rental income|15.7|15.9|15.2|11.2| |||||| |Total income|305.7|294.3|260.3|247.9| |||||| |Expenditure||||| |Ministerial Stipends|176.2|148.0|155.4|141.7| |LayWorkers|17.5|16.9|17.0|17.0| |Manse maintenance|11.0|23.0|25.1|26.3| |Manse utilitycosts|19.4|21.2|23.0|19.5| |Methodist Church Fund|48.0|50.0|46.2|42.6| |District Assessment|8.1|9.9|10.6|10.0| |Grants|7.6|3.0|0.0|0.0| |Levy|0.0|0.6|0.0|118.7| |Wootton runningcosts|12.4|5.8|6.8|12.0| |Depreciation|0.3|0.3|0.3|0.3| |Other Expenses|15.5|25.8|11.5|17.1| |||||| |Total expenditure|316.0|304.5|295.9|405.2| |||||| |Net incoming/ (outgoing)resources|(10.3)|(10.2)|(35.6)|(157.3)| |||||| |Increase/ (Reduction)in manse valuation|0.0|0.0|0.0|0.0| |||||| |Gain/ (Loss)on Investments|0.0|0.0|0.0|0.0| |||||| |Increase/ (Decrease)in value of funds|(10.3)|(10.2)|(35.6)|(157.3)| Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 6 ## **Income trends** Circuit income is primarily drawn from the assessment paid by the circuit churches. During 2020-21 two circuit churches made significantly reduced assessment payments as a continued consequence of their restricted income. The rental income relates to the rental of a manse to the Vineyard Church, during 2020-21 the rental income generated from Wootton Trinity was significantly reduced. Other income includes grants received from the District, other donations, insurance claims and circuit promoted activities and events. ## **Expenditure trends** Ministerial stipends have increased each financial year in line with conference approved increases, the reduction in 2020/21 reflected the reduced usage of supernumerary ministerial time. The Wootton running costs in 2021 were impacted by the need to replace the main water boiler after it had developed a serious water leak. The manse sale resulted in release of cash for the use of the circuit but in line with Methodist policy £118.7k of the proceeds was paid as a levy to Central Methodism and is treated as an outgoing expenditure item. ## **Fund balances** As at 31 August 2021 the net current assets of the Circuit was £229k, this primarily being held in the Circuit Model Trust Fund. To replenish the Circuit General Fund a transfer of £40k is proposed for the early part of the new financial year aimed to ensure adequate free reserves are available. ## **Plans for 2021/22** Circuit financial plans for the coming year have been prepared on the basis that there are only three full time ordained staff along with no significant usage of supernumerary ministry. It is anticipated that the work of re-imagining the circuit will over the coming year will provide further clarity on the circuits longer term financial framework. Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 7 ## **Trustee’s Annual Report on Finance and Governance** ## **Basis of preparation and legal framework** The Charity’s annual report and accounts for the year ended 31 August 2021 have been prepared in accordance with the Charities Act 2011 and the Charities: Statement of Recommended Practice 2015 as applicable to the Financial Reporting Standard FRS102. The Charity’s report and accounts include all the separately established funds for which the Circuit has primary responsibility. Full Name of Charity: Northampton Methodist Circuit Registration Charity Number: 1135635 Date of registration 22 April 2010 The circuit office is located at: Wootton Trinity Christian Centre High Street Wootton Northampton NN4 6LW The members of the Northampton Methodist Circuit meeting are the Charity Trustees, membership being made up of circuit office holders, ministers and representatives appointed by the local churches. Full membership is shown as Appendix A to this report. ## **Circuit Ministers and officers** |**Active Circuit Ministers** Rev Romeo Pedro,|**Active Circuit Ministers** Rev Romeo Pedro,| |---|---| ||Rev David Spiers,| ||Rev Francis M Itiiri,| |**Circuit Stewards**|Mrs Margaret Littlecott , ( Until September 2021)| ||Dr Hellen Okello| ||Mrs E Hale| ||Miss P Kirkland| ||Mr P Leeson ( From September 2021)| |**Circuit Treasurer**|Mr Keith Brooks,| |**Administrator**:|Miss Sarah Eason| |Mr K Brooks acted as the principal officer overseeing the day to day financial|| |accounting for the circuit|during the year.| |Independent examiner|Miss C Haynes (ACA)| ||4 Delamere Road| ||Northampton| |Investment Banker|Central Finance Board of the Methodist Church| Mr K Brooks acted as the principal officer overseeing the day to day financial management and accounting for the circuit during the year. Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 8 ## **Charity objective is to act as a Resource provider within the area around Northampton for 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 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. The organisation and resourcing of regular public acts of worship open to members of the church and non members alike. The teaching of Christianity through sermons, courses and small groups. The resourcing of pastoral work including visiting the sick and bereaved. Taking religious assemblies in local schools. Promotion of Christianity through the staging of events and services. Provision of chaplaincy services to the local university and other institutions. ## **Public Benefitt** We confirm the trustees have had regard to the Charity Commission’s guidance on public benefit. ## **Structure, Governance and Management** The governing document for the circuit is the Deed of Union (1932) and Methodist Church Act (1976) Detailed governance arrangements are outlined within the Constitutional Practice and Discipline of the Methodist Church by order of the annual conference (CPD). Day to day management of the circuit is undertaken by the Circuit Leadership team along with the Local Preachers meeting, the Circuit Finance and Property Committee and the Circuit Policy Committee. ## **Trustee Training** A range of guidance produced by Methodist Connexion to support the effective running of the circuit , specifically the leaflet ‘The Role of a Trustee in The Methodist Church’ is given to all new Circuit meeting members as induction to their role as trustees. ## **Related Parties** The Circuit is part of the Northampton District and is also accountable to the Methodist Conference. The circuit is a member of Shared Churches Northampton Ltd in relation to support of the Emmanuel Group of Churches. Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 9 ## **Risk Management** The major risks have been identified and recorded by the Circuit Finance and Property Committee with professional advice taken as required. There is a regular annual review process undertaken and recorded. Income and Expenditure is being monitored in total and is compared with the approved annual budget on a half yearly basis to detect trends as part of the risk management process to avoid unforeseen calls on reserves. ## **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 recreation 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 disclosures 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 a child, young person or vulnerable adult. - In all these principles we will follow legislation, guidance and recognised good practice The Northampton 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 Northampton 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 may be vulnerable. ## **Reserves Policy** The Reserves Policy for the Circuit is to hold a minimum sum equivalent to 4 months’ average expenditure. This should be sufficient to meet any unforeseen item of major expenditure on manses and / or to be able to continue, in the short term, funding planned activities in the event of any inability to raise the full Circuit Assessment from churches. Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 10 ## **Annual Financial Statements** ## **Basis of preparation** As treasurer I confirm that I have prepared the accounts for the year ended 31 August 2021 from the records of the Circuit and that they include all funds under the control of the Circuit Meeting **----- Start of picture text -----**
Signature of W K Brooks Date 23 November
Treasurer 2021
Name W K Brooks ACMA
Address 2a Stanfield Road
Duston
Northampton
**----- End of picture text -----**
## **Presentation to the Circuit Meeting for approval.** I confirm that the Accounts have been presented to the Circuit Meeting on 23 November 2021 and were approved. > Signature of the Rev Romeo Pedro **23 November 2021** Chair of the meeting > Name of the Chair of Rev Romeo Pedro the meeting > Date 23 November 2021 ___________________________________________________________________________ Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 11 ## **Statement of Financial Activities for the year ended 31 August 2021** **----- Start of picture text -----**
Unrestricted Model Designated Restricted Total 2020-
funds Trust Fund Funds Funds 21
£ £ £ £ £
Income and Endowments from:
Donations, legacies & grants 5,600 3,132 8,732
Church assessments 218,253 218,253
Lettings 9,480 1,765 11,245
- Miscellaneous -
Investments 66 24 1 91
Other 58 8,907 600 9,565
Total 233,457 8,931 4,898 600 247,886
Expenditure on:
Stipends, salaries, NIC & Pension costs 6 153,669 2,340 156,009
District Assessment 9,994 9,994
Methodist Church Fund 42,580 42,580
Telephone & travel 6,023 6,023
Insurance, utilities, etc 19,485 8,207 27,692
Maintenance on manses 26,288 26,288
Expenditure on other Circuit property 1,200 1,499 2,699
Depreciation 9 250 250
Other Expenditure 14,299 605 14,904
Grants and Donations 0
Contributions to District Advance Fund 118,728 118,728
Total 273,788 118,728 12,046 605 405,167
Net income/(expenditure) (40,331) (109,797) (7,148) (5) (157,281)
Transfers between funds (337,892) 337,892 0
(378,223) 228,095 (7,148) (5) (157,281)
Gains/(Losses) on revaluation of fixed
assets 0
Gains/(Losses) on investment assets 0
Net investment in funds (378,223) 228,095 (7,148) (5) (157,281)
Total funds brought forward 1,765,734 326 207,461 1,179 1,974,700
Total funds carried forward 1,387,511 228,421 200,313 1,174 1,817,419
**----- End of picture text -----**
Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 12 _Comparative Statement of Financial Activities for previous year ended 31 August 2020_ |||**Unrestricted**
**funds**|**Model**
**Trust**
**Fund**|**Designated**
**Funds**|**Restricted**
**Funds**|**Total 2019-**
**20**| |---|---|---|---|---|---|---| |||£|£|£|£|£| |**Income and Endowments from:**||||||| |Donations,legacies &grants||900||||900| |Church assessments||242,853||||242,853| |Lettings||9,480||5,721||15,201| |- Miscellaneous||||||-| |Investments||445|3|6|2|456| |Other||855||||855| |**Total**||**254,533**|**3**|**5,727**|**2**|**260,265**| |||||||| |**Expenditure on:**||||||| |||||||| |Stipends,salaries,NIC & Pension costs|6|164,435||2,340||166,775| |District Assessment||10,552||||10,552| |Methodist Church Fund||46,200||||46,200| |Telephone & travel||7,973||||7,973| |Insurance,utilities,etc||22,973||4,129||27,102| |Maintenance on manses||25,084||||25,084| |Expenditure on other Circuitproperty||5,316||291||5,607| |Depreciation|9|250||||250| |Other Expenditure||6,261||||6,261| |Grants and Donations||||||0| |Contributions to District Advance Fund|||9|||9| |**Total**||**289,044**|**9**|**6,760**|**0**|**295,813**| |||||||| |**Net income/(expenditure)**||**(34,511)**|**(6)**|**(1,033)**|**2**|**(35,548)**| |**Transfers between funds**||||||**0**| |||(34,511)|(6)|(1,033)|2|(35,548)| |Gains/(Losses) on revaluation of fixed
assets||||||0| |Gains/(Losses)on investment assets||||||0| |Net investment in funds||**(34,511)**|**(6)**|**(1,033)**|**2**|**(35,548)**| |Total funds brought forward||1,800,245|332|208,494|1,177|2,010,248| |Total funds carried forward||**1,765,734**|**326**|**207,461**|**1,179**|**1,974,700**| Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 13 ## **Balance Sheet as at 31 August 2021** ||**Notes**|**Unrestricted **
**£**|**Circuit Model**
**Trust Fund**
**£**|**Designated**
**Funds**
**£**|**Restricted**
**Funds**
**£**|**Totals this**
**year**
**£**| |---|---|---|---|---|---|---| |**Tangible Fixed Assets**||||||| |Land & Buildings||1,405,808||200,000||1,605,808| |Equipment||2,518||||2,518| |Investmentproperties||||||| |Investments||||||| |**_Totalfixed assets_**||1,408,326||200,000||1,608,326| |**Current Assets**||||||| |Debtors and Prepayments||9,093||||9,093| |Other||||||| |Trustees for Methodist Church
Purposes deposits|||228,421|||228,421| |Central Finance Board Deposits||31,870||21||31,891| |Cash at Bank and in hand||7,563||292|1,174|9,029| |**_Total current assets_**||48,526|228,421|313|1,174|278,434| |||||||| |**Creditors and Accruals (due in under**
**1yr)**||49,341||||49,341| |||||||| |**Net current assets(liabilities)**||(815)|228,421|313|1,174|229,093| |||||||| |**_Total assets less current liabilities_**||1,407,511
228,421
200,313
1,174
1,837,419
20,000
20,000||||| |**Loans and creditors due after 1year**
Provisions for liabilities and charges||||||| |||||||| |**_Net assets_**||1,387,511|228,421|200,313|1,174|1,817,419| |**Funds of the Circuit**||||||| |Unrestricted funds||(18,297)||||-18,297| |Propertyreserve||1,405,808||200,000||1,605,808| |Circuit Model Trust Fund
(Unrestricted)|||228,421|||228,421| |Designated funds|12|||313||313| |Restricted funds|12||||1,174|1,174| |**_Total Funds_**||1,387,511|228,421|200,313|1,174|1,817,419| |||||||| Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 14 ## _Comparative Balance Sheet for 31 August 2020_ ||**Notes**|**Unrestricted **
**£**|**Circuit Model**
**Trust Fund**
**£**|**Designated**
**Funds**
**£**|**Restricted**
**Funds**
**£**|**Totals this**
**year**
**£**| |---|---|---|---|---|---|---| |**Tangible Fixed Assets**||||||| |Land & Buildings||1,405,700||200,000||1,605,700| |Equipment||2,228||||2,228| |Investmentproperties||338,000||||338,000| |Investments||||||| |**_Totalfixed assets_**||1,745,928||200,000||1,945,928| |**Current Assets**||||||| |Debtors and Prepayments||11,300||||11,300| |Other||||||| |Trustees for Methodist Church
Purposes deposits|||326|||326| |Central Finance Board Deposits||57,143||820||57,963| |Cash at Bank and in hand||28,835||6,641|1,179|36,655| |**_Total current assets_**||97,278|326|7,461|1,179|106,244| |||||||| |**Creditors and Accruals (due in under**
**1yr)**||57,472||||57,472| |||||||| |**Net current assets(liabilities)**||39,806|326|7,461|1,179|48,772| |||||||| |**_Total assets less current liabilities_**||1,785,734|326|207,461|1,179|1,994,700| |||||||| |**Loans and creditors due after 1year**||20,000||||20,000| |Provisions for liabilities and charges||||||| |||||||| |**_Net assets_**||1,765,734|326|207,461|1,179|1,974,700| |**Funds of the Circuit**||||||| |Unrestricted funds||360,034||||360,034| |Propertyreserve||1,405,700||200,000||1,605,700| |Circuit Model Trust Fund
(Unrestricted)|||326|||326| |Designated funds|12|||7,461||7,461| |Restricted funds|12||||1,179|1,179| |**_Total Funds_**||1,765,734|326|207,461|1,179|1,974,700| |||||||| Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 15 ## **Notes to the Accounts** ## **1 Basis of accounting** The financial statements have been prepared under the Charities Act 2011 in accordance with the 2015 version of Accounting and Reporting by Charities: Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with FRS102 – the Charities SORP (FRS102) and taking note of the Update Bulletin 2 issued in 2018. ## **2 Funds** The funds held constitute: General Funds held for any purpose of the Circuit which are Unrestricted. The Circuit Model Trust Fund has wide purposes defined in Standing Orders and is categorised as unrestricted. Restricted funds which are held for a narrower purpose . There are no Endowment funds. Details of each material fund are disclosed in the final note to these accounts. Any funds may be represented by more than just cash. ## **3 Accounting policies** ## **Basis** These accounts have been prepared on the basis of historical cost except that investments are shown at their market value at the end of the year and land and buildings at deemed current value. Accruals accounting principles have been adopted as far as practical to show a true and fair view of the Circuit’s financial position and activities. ## **Incoming Resources** Income is included in the Statement of Financial Activities (SOFA) when the Circuit becomes entitled to the resources, and the trustees are reasonably certain they will receive the resources; and the monetary value can be measured with sufficient reliability. ## **Resources Expended** This is recognised when a liability is incurred, or a constructive obligation arises, that results in the payment being unavoidable. Liabilities are recognised as soon as an outflow of economic benefit is considered more likely than not under the legal or constructive obligation committing the Circuit to pay out resources. ## **Grants** Grants made by the Circuit from its own funds are recognised in full at the time of agreement or when the Circuit accepts that there is a legal or operational obligation to make the payment. ## **VAT** Since the Circuit is not VAT registered, all input VAT is charged with the expenses to which it refers. ## **Tangible fixed assets for use by the Circuit** Tangible fixed assets are capitalised if they can be used for more than one year, and cost at least £500. The freehold property is shown in the accounts at 2015 deemed values, of which the land component is deemed to be £350,000. No depreciation is provided on the buildings because the trustees consider the current residual fair value of the manse buildings (on the assumption that it had reached the end of its useful economic life by the yearend) to be not less than its current value. Any depreciation would not be material. The properties have been reviewed for impairment. ## **Investment Properties** Investment properties – 16 Booth Lane has been deemed to not be held for the long term purposes of the charity and has been reclassified as an investment property prior to its disposal. ## **Investments** Investments are valued in the balance sheet at market value at the year end. Investment income is included in the accounts when receivable and any gains or losses on revaluation at the year end are shown in the SOFA. ## **Debtors and Prepayments** The prepayment included in the accounts is in respect of ministerial stipends paid in August due on 1[st] September.8. ## **Creditors** Creditors include both sundry expenses and specifically the 1st quarter assessment received in August. ## **4 Payment to Trustees** Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 16 There were no payments made to trustees for additional services provided to the Circuit by agreement with the Circuit Meeting, this excludes stipends. |Trustee expenses
Number of Trustees
Total amount|**2020/21**
6
£5,779|**2019/20**| |---|---|---| ||6|8| ||£5,779|£7,907| Expense payments primarily relate to reimbursement for travel and computing costs ## **5 Fees for examination or audit of the accounts** |Independent examiner’s or auditors' fees for reporting on the
accounts
Other fees (eg: advice, accountancy services) paid to the
independent examiner or auditor|2020/21
£
Nil
Nil|2019/20
£| |---|---|---| ||Nil|Nil| ||Nil|Nil| ## **6 Paid employees** |**Staff Costs paid during the year were:**
Gross wages, salaries and benefits in kind
Employer’s National Insurance costs
Pension costs
Apprenticeship levy
Total staff costs
**Average number of employees in the year were:**|2020/21
£
117,945
10,551
26,839
673
156,008
6|2019/20| |---|---|---| |||£| |||128,162| |||10,610| |||27,472| |||531| |||166,775| |||| ||6|7| ## **7 Capital Commitments and Contingent Liabilities** At the 31st August 2020 there are no capital commitments. No Contingent liabilities were identified at 31st August 2020. ## **8 For information only Money received and passed on to External Organisations** ||||| |---|---|---|---| |**Balance brought forward from last year**
Offerings/Gifts - received for External Organisations
Offerings/Gifts - passed to External Organisations
**Balance carried forward**|2020/21||2019/20
£
0
0
0| ||£||| ||||| ||0||| ||0||| ||0||| Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 17 ## **9 Tangible Fixed Assets** ## **Cost or valuation** ||**Land**
**£**|**Manses**
**£**|**Other**
**buildings**
**£**|**Fixtures,**
**fittings**
**and**
**equipment**
**£**|**Payments**
**on account**
**and assets**
**under**
**constructio**
**n**
**£**|**Total**
**£**| |---|---|---|---|---|---|---| |Balance brought forward|172,000|1,581,700|190,000|4,323||1,948,023| |Additions||||540||540| |Revaluations (+/-)||||||| |Disposals (-)|20,000|317,892||||337892| |Transfers*(+/-)||||||| |Balance carried forward|152,000|1,263,808|190,000|4,863||1,610,671| ## **Accumulated depreciation** |Balance brought forward||||2,095||2,095| |---|---|---|---|---|---|---| |Depreciation charge for
year (-)||||250||250| |Revaluations (+/-)||||||| |Disposals (-)||||||| |Transfers*(+/-)||||||| |Balance carried forward||||2,345||2,345| ## **Net book value** |**Net book value**||||||| |---|---|---|---|---|---|---| |Brought forward|172,000|
1,581,700|
190,000|2,228||1,945,928| |Carried forward|152,000|
1,263,808|
190,000|2,518||1,608,326| ## The additions relate to purchase of computing equipment. Details related to sale of 16 Booth Lane South |Sale proceeds
Book value of property
Gross sales margin
Cost of sale
Surveyor fees
Estate agent fees
Legal costs
Profit on sale|£
1,103
6,444
3,655|£
358,000
337,892| |---|---|---| |||20,108
11,202| |||| |||8,907| ## **10 Investment assets** Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 18 The circuit has no common investment fund holdings ## **11 Loans** The Circuit currently has a loan from the District of £20,000 in respect of initial funding related to the redevelopment of the Kingsthorpe Church This has been treated as a long term creditor. ## **12 Analysis of restricted and designated funds** |**Restricted**
**Fund Name**|**Opening**
**Balance**|**Incoming**
**Resources**|**Resources**
**Expended**|**Transfers**|**Closing**
**Balance**|**Purpose of the**
**fund**| |---|---|---|---|---|---|---| |**Restricted fund**||||||| |Benevolent
Fund|1,179|600|605||1,174|Support for
individuals in
specific need| |_2019/20_|
_1,177_|_2_|_0_||_1,179_|| |||||||| |**Designated funds**||||||| |Development
Fund|912|0|0||912|Available for
funding outreach
and development
work| |_2019/20_|_912_|_0_|_0_||_912_|| |||||||| |Wootton
TrinityFund|6,549|4,899|12,046||(598)|Fund designated
for the operation &
maintenance of
the centre.| |2019/20|_7,582_|_5,727_|_6,760_||_6549_|| |||||||| |Totals
_2019/20_|7,461|4,899|12,046||314|| ||_8,494_|_5,727_|_6,760_||_7,461_|| Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 19 ## **Independent Examiner’s Report to the Trustees of the Northampton Circuit** This Report is on the Circuit Accounts for the year ended 31st August 2021 and Is carried out under Sections 145 of the Charities Act 2011. ## **Respective responsibilities of Trustees and Examiner** As Trustees, you are responsible for the preparation of the accounts. The Charity’s Trustees consider that an audit is not required for this year under Section 144(2) of the Charities Act 2011 and that an independent examination is needed. The charity is preparing accrued accounts and I am qualified to undertake the examination by being a qualified member of Institute of Chartered Accountants England & Wales. It is my responsibility to: - to follow the procedures laid down in the general Directions given by the Charity - Commission under Section 145(5)(b) of the 2011 act; and - to state whether particular matters have come to my attention. ## **Basis of Independent Examiner’s Report** My examination was carried out in accordance with the general Directions given by the Charity Commission . An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as Trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a “true and fair view” and the report is limited to those matters set out in the statement below. ## **Independent Examiner’s Statement** In connection with my examination, no matter has come to my attention: - (1) which gives me reasonable cause to believe that in any material respect the requirements: - to keep accounting records in accordance with Section 130 of the Charities Act ; and - to prepare accounts which accord with the accounting records and comply with the - accounting requirements of the Charities Act have not been met; or . - (2) to which, in my opinion, attention should be drawn in order to enable a proper understanding - of the accounts to be reached. - (3) I have not obtained independent verification of all investments with the Trustees for Methodist - Church Purposes ("TMCP") or held in other Trusts, Bank balances and Funds at the Central Finance Board of the Methodist Church ("CFB"), which are individually in excess of £10,000 at the balance sheet date. Name Miss C Haynes ACA Qualification reference ACA ICAEW 7945127 Address 4 Delamere Road Northampton NN4 8QG Date 9[th] March 2022 Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 20 Appendix A ## CIRCUIT MEETING MEMBERSHIP MINISTERS Rev Romeo Pedro Rev Francis M Itiiri Rev David Spiers SUPERNUMERARY MINISTERS Rev Alan Sharp CIRCUIT ADMINISTRATOR Miss Sarah Eason CIRCUIT STEWARDS Miss Pam Kirkland Dr Hellen Okello Mrs Elizabeth Hale Mr Phillip Leeson CIRCUIT TREASURER Mr Keith Brooks Circuit Local Preachers & Worship Leaders representatives Mr Ian Harrison Circuit Safeguarding Co-ordinator Mrs Jenny Brooks CIRCUIT CHURCH REPRESENTATIVES ASTCOTE Mrs Jackie Bell Mrs Kate Stretton ## EMMANUEL GROUP GREAT BILLING Mrs Maureen Timms Mrs Jenny Cole Mrs Maureen Cross Mrs Margaret Littlecott ## HARPOLE Mrs Mary Burt Mrs. Lynne Threadgold ## KINGSLEY PARK Mrs Julie Osmond Mrs Marian Gooding Mrs Christine Forskitt Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 21 KINGSTHORPE Mr Trevor Clarke Mrs Louise Leeson PARK AVENUE ## QUEENSGROVE ROADE ST ANDREW'S Mrs. Hilary MacCallum Mr Alan Brett Mrs Christine Walker Mr Barry Andrews Mrs Lyn Barber Mrs Hilary Walden Ms Linda Caines Mr Ian Harrison TOWCESTER ROAD Mrs Sandra Emerson Northampton Methodist Circuit Annual Report and Accounts 2020/21 Page 22