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← Yorkshire North And East District Of The Methodist Church

2024-08-31-accounts

YORKSHIRE NORTH AND EAST DISTRICT

OF THE METHODIST CHURCH

(registered as a charity - registration number 1136133)

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2024

HPH Chartered Accountants 54 Bootham York YO30 7XZ

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2024

Contents

Page
Trustees' Annual Report 1 - 9
Auditor's Report 10 - 13
Statement of Financial Activities 14
Balance Sheet 15
Cash Flow Statement 16
Notes to the Financial Statements 17 - 26

YORKSHIRE NORTH AND EAST DISTRICT

OF THE METHODIST CHURCH

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2024

The Trustees of the Yorkshire North and East District of the Methodist Church submit their annual report and the financial statements for the year ended 31 August 2024.

The financial statements have been prepared in accordance with the accounting policies set out in the notes to the financial statements and comply with the charity’s governing document, the Charities Act 2011 and the relevant version of the 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) and UK Generally Accepted Practice.

The 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 the relevant version of the 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) rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

REFERERENCE AND ADMINISTRATIVE INFORMATION

Name: Yorkshire North and East District of the Methodist Church Charity Number: 1136133 Address of Office: The District Office, 28 The Green, Acomb, York, YO26 5LR 01904 783 013 www.yorkshirenemethodist.org

Trustees who served during the year and up to the date of this report were as follows:

Revd. Leslie Newton (Chair) Malcolm Lucas (Treasurer) Naomi Prince (Young person’s representative and Administrative Officer) Bridget Bennet (Safeguarding representative) Revd. Ben Clowes (Deputy Chair) Julia Branson (Lay stationing representative) Emma Crippen (Synod Secretary) (resigned 31 August 2024) Andrew Brown (Property Secretary) (resigned 23 January 2025) Revd. Nicholas Bentley (Grants Officer) (resigned 31 August 2024) Revd. Ann Fox (Methodist Council representative) (resigned 19 September 2024) Revd. Neville Simpson (Grants Officer) (appointed 1 September 2024) Sandra Hayward (Synod Secretary) (appointed 1 September 2024) Andrew Barraclough (Property Secretary) (appointed 23 January 2025) Revd. Ann Fox (Ordained Synod representative) (appointed 10 May 2025)

1

YORKSHIRE NORTH AND EAST DISTRICT

OF THE METHODIST CHURCH

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2024

REFERERENCE AND ADMINISTRATIVE INFORMATION – CONTINUED

Names and addresses of advisers:

Bank: CAF Bank Ltd 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ Investment managers and custodian trustees: Trustees for Methodist Church Purposes Central Buildings Oldham Street Manchester M1 1JQ Auditor: HPH Chartered Accountants 54 Bootham York YO30 7XZ

2

YORKSHIRE NORTH AND EAST DISTRICT

OF THE METHODIST CHURCH

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2024

STRUCTURE, GOVERNANCE AND MANAGEMENT

Legal and administrative information

The governing body of the District is the Methodist Church and the governing body of the Methodist Church is the Conference. The District’s governing documents are the Deed of Union 1932 and The Methodist Church Act 1976 which give the authority under which the Methodist Church acts. The constitutional practice and discipline of the Methodist Church governs the activities of the District.

The District is a Registered Charity number 1136133.

Trustees

The Trustees who have served during the year are set out on page one. The members of the District Leadership Team are appointed annually as Trustees by the Representative Synod.

The principal address of the District’s Independent Examiner and Bankers are listed on page two.

The Trustees under the direction of the District Treasurer are responsible for the detailed examination of the financial statements and for presenting them to Synod.

Trustees are given a short period of training prior to their first meeting at which they are made aware of their responsibilities.

Decisions within the Methodist Church are reached in accordance with the rules and regulations set out in the document entitled ‘Constitutional Practice and Discipline of the Methodist Church’ and under the direction of the Methodist Conference. It is in accordance with these regulations that decisions are reached by the Synod, District Trustees, and other related committees within the District. Delegated authority is administered in the same way.

In their decision-making, trustees keep in mind ecumenical relationships and also opportunities for collaboration at regional level, seeking to establish a common pattern of working, whenever possible.

Pay and remuneration for key management personnel

The Chair of the District chairs the District Leadership Team (DLT). The stipend, employer’s NIC and employer’s pension contributions of the Chair of District are paid by the Methodist Connexion. The levels of payment are agreed annually by the Methodist Conference. District employees are paid at an agreed level in line with Methodist guidance for the levels of expertise and experience. The Methodist Church has a policy of paying at or above the real living wage. The District Administrator and PA to the Chair is paid for this role. No other key management personnel are paid for their services except for the reimbursement of out of pocket expenses.

3

YORKSHIRE NORTH AND EAST DISTRICT

OF THE METHODIST CHURCH

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2024

STRUCTURE, GOVERNANCE AND MANAGEMENT – CONTINUED

Risk Assessment

The Trustees have examined the major strategic business and operational risks which the charity faces and confirm that systems have been established to enable regular reports to be produced so that the necessary steps can be taken to monitor these risks. These are reviewed by the District Leadership Team.

FINANCIAL REVIEW

The District Accounts includes:

The trustees of the District have every reason to believe that the District is a going concern, principally because Circuits continue to meet their assessments and the District has adequate reserves to cover a temporary shortfall in anticipated income.

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YORKSHIRE NORTH AND EAST DISTRICT

OF THE METHODIST CHURCH

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2024

FINANCIAL REVIEW - CONTINUED

The trustees have continued to give a significant amount of attention to the operation of Hull International House, and are now satisfied that measures are in place to ensure that the House is able to operate safely and effectively. The DLT remains committed to seeing the House play its part in fulfilling the mission of the District and work is continuing to ensure that a secure and stable position can be established.

The District has the following principal sources of funds:

These sums are used to administer the District and to provide grants to Circuits, Churches and individuals in the District so that they may embark on or continue with projects that fulfil the mission of the District. In addition, further grants have been obtained in the year to enable financial assistance to be provided to a number of churches in the District to assist with the installation of solar, battery and EV solutions.

Reserves

It is the policy of the charity to hold reserves to provide working capital for its continued operation. At the year-end total reserves were £2,186,892 (2023: £2,191,578), of which £929,105 (2023: £652,690) were unrestricted funds and £1,257,787 (2023: £1,538,888) were restricted funds. The level of free unrestricted reserves (i.e. total unrestricted funds excluding the value of tangible fixed assets) is determined at around 6 months of expenditure needs for continued operation. It is considered inappropriate that the District maintains reserves in excess of this when the funds can be used for the work of the organisation. At 31 August 2024 the level of free unrestricted reserves amounted to £103,470 which was short of target, representing around 3 months of expenditure.

Funds held on behalf of others

The Chair’s Benevolent Fund is used at the discretion of the District Chair to assist ministers and others in difficulty.

Funds held on behalf of others – Agency Transactions

Funds are held on behalf of the Joint Public Issues Team (JPIT) for Yorkshire, Racing Chaplaincy, Envoy and the Kairos Circuit.

5

YORKSHIRE NORTH AND EAST DISTRICT

OF THE METHODIST CHURCH

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2024

PUBLIC BENEFIT STATEMENT

The Trustees wish to confirm that they have complied with the duty in section 17 of the 2011 Charities Act to have due regard to guidance published by the Charity Commission in respect of public benefit in exercising their powers and duties. They have done so via a detailed system of checks and balances involving regular feedback to Synod and through ensuring that actions taken, and decisions made are always in accordance with the Constitutional Practice and Discipline of the Methodist Church.

OBJECTIVES AND AIMS

Nature and Purposes

The primary purpose for which the Yorkshire North and East District is constituted is to advance the mission of the Church in the region, by providing opportunities for Circuits to work together and support each other, by offering them resources of finance, personnel and expertise which may not be available locally, and by enabling them to engage with the wider society of the region as a whole. 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.

The District 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 nature of the Church.

Objectives

During the year the District continued to develop work around its priorities.

The work of Safeguarding remains a priority with ongoing training of all who are involved in work with young people and vulnerable adults. The District is committed to recognising the place of Safeguarding at the heart of mission at every level.

The implementation of the Property Consents process is working well.

The awarding of Grants through the District Advance Fund continues to work well.

Yearly Objectives

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YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2024

OBJECTIVES AND AIMS - CONTINUED

Long Term Objectives

Strategies for achieving the objectives

The District Leadership Team meets regularly through the year and oversees all aspects of the District’s life, creating opportunities for new ideas to be discussed and debated. Interaction, particularly between the Chair with Connexional bodies ensures that there is considerable contact with national policies and decision making and that those bodies also hear of local views and concerns. This has further been enhanced with advocacy to the Strategies and Resources Committee and the Methodist Council. Communication from Synod and Conference is widely circulated, and the Leadership Team is seeking to further improve the effectiveness of communication within the District.

We believe we have strong financial controls in position.

Grant making policy

The DLT oversees the awarding of grants for the development of Mission and Ministry Projects and for Property Schemes generated by the local churches, circuits and other organisations. A sub-committee is empowered to award seed funding grants up to a maximum of £1,000 each to encourage churches and circuits to try “new things to reach new people”. It is the policy and approach of the District to review grant requests on a case by case basis taking into consideration the funds available for disbursement, the particular mission and funding needs of each applicant and the overall spread of mission needs across the District.

Extent of the use of volunteers in achieving aims

Volunteers are involved in all aspects of the work of the District from personnel and administration to representational roles as well as providing the income with which the Charity operates. The level of dependence on voluntary workers within the District is extremely high, as it is in any Church organisation.

7

YORKSHIRE NORTH AND EAST DISTRICT

OF THE METHODIST CHURCH

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2024

ACHIEVEMENTS AND PERFORMANCE

Given the ongoing challenges as churches feel the long-term impact of the pandemic, the Trustees are content with this year’s achievements in relation to their objectives. Almost all applications for grants have received funding and safeguarding is now running to plan in the District. There continues to be some closures of churches around the District, but overall there is viability and strength in many parts of the District.

Ecumenical working is still below our hopes and ambitions, but the Trustees remain hopeful of making further progress in this area.

The “Kairos Circuit” continues seeking to offer people an opportunity to discover and grow in faith in new ways.

Much work has been done in envisaging how governance and trusteeship responsibilities can be managed in new ways so as to lift burdens from church members. The newly formed “Bridge Circuit” is meeting this challenge and represents the merging of four Circuits operating with a Modified Constitution. It is expected that a fifth Circuit will join the Bridge Circuit at the start of the next connexional year and some other Circuits, whilst retaining their own independence, are utilising the expertise offered by the Bridge Circuit.

CHALLENGES FOR THE FUTURE

As noted above impact of the Covid pandemic continues to be significant as we look to the future. Reserves continue to be widely used in supporting churches. On the other hand, there have been great strides made in developing online ministry and mission. The District continues to encourage further work in this area, not least through the employment of a Digital Communications Enabler.

Overall, despite some churches experiencing growth, there is a continuing decline in numbers attending and belonging to the church, and that concern is deepened with the recognition of an ageing demographic. The District continues to offer as much help as possible to support circuits and is keen to explore the imaginative work underway through the New Places for New People connexional initiative. It is also committed to ensure that governance structures are able to encourage and support new work, rather than hinder it.

The District is sustaining its priority of responding to the Climate Emergency. Considerable work continues to be undertaken in helping churches respond to the District’s commitment to become a Net Zero Carbon District by at least 2040.

All that said, it is with confidence that we approach these challenges and a trust that with prayer we will fulfil the purposes which God has in mind for us. We believe that the District is as wellequipped as possible to both encompass change and respond to new ideas.

8

YORKSHIRE NORTH AND EAST DISTRICT

OF THE METHODIST CHURCH

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2024

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

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 charity's financial activities during the year and of its financial position at the end of the year. In preparing financial statements giving a true and fair view, our responsibility as Trustees requires us to follow best practice and:

The Trustees are responsible for keeping accounting records which disclose with reasonable accuracy the financial position of the charity at any time and which enable them as Trustees to ensure that the financial statements comply with the Charities Act 2011.

The Trustees are also responsible for safeguarding the assets of the charity and for their proper application, and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Insofar as each of the Trustees is aware at the time of the District Leadership Team meeting when approval is given, there is no relevant information needed by the Charity’s auditor of which the auditor is unaware. Each Trustee has taken all steps that he or she should have taken as a member of the Board of Trustees to become acquainted with any relevant audit information and to establish that the auditor is aware.

Approved by the District Leadership Team on behalf of the Trustees on 23 June 2025 and signed on their behalf by:

Malcolm Lucas Trustee

9

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

Opinion

We have audited the financial statements of Yorkshire North and East District of The Methodist Church for the year ended 31 August 2024 which comprise Statement of Financial Activities, Balance Sheet, Statement of Cash Flows, and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

10

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

Other information

The trustees are responsible for the other information contained within the annual report. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 9, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

11

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We obtained an understanding of the legal and regulatory frameworks within which the charity operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Charities Act 2011 and the Statement of Recommended Practice.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be the override of controls by management. Our audit procedures to respond to these risks included enquiries of trustees and management about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals and reviewing accounting estimates for biases.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

12

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity’s trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

HPH, Chartered Accountants

Statutory Auditor 54 Bootham

YORK YO30 7XZ

23 June 2025

13

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 AUGUST 2024

Notes
Income and endowments from:
Donations and grants
2a
Charitable activities
2b
Other activities
2c
Investments - interest receivable
Total income
Expenditure on:
Raising funds
4
Charitable activities
5
Total
Net income/(expenditure)
Transfers between funds
Net movement in funds
Reconciliation of funds:
Total funds brought forward at 1 September 2023
Total funds carried forward at 31 August 2024		 Unrestricted
Funds
£
217,957
-
298,562
1,620
518,139
47,653
428,071
475,724
42,415
234,000
276,415
652,690
£ 929,105		 Restricted
Funds
£
589,604
27,320
257,652
73,776
948,352
36,963
958,490
995,453
(47,101)
(234,000)
(281,101)
1,538,888
£ 1,257,787		 2024
£
807,561
27,320
556,214
75,396
1,466,491
84,616
1,386,561
1,471,177
(4,686)
-
(4,686)
2,191,578
£ 2,186,892		 2023
£
552,847
20,212
367,672
43,812
984,543
94,018
831,593
925,611
58,932
-
58,932
2,132,646
£ 2,191,578

The notes on pages 17 to 26 form part of these financial statements.

14

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

BALANCE SHEET AS AT 31 AUGUST 2024

Notes
Fixed assets:
Tangible assets
8
Total fixed assets
Current assets:
Debtors
9
Cash at Bank and in hand
Total current assets
Liabilities:
Creditors: Amounts falling due
within one year
10
Net current assets
Total net assets
The funds of the charity:
Unrestricted - General fund
14
Restricted - Other funds
13
Total charity funds		 Unrestricted
Funds
825,635

825,635
13,283
136,078
149,361
45,891
103,470
929,105
£
929,105
-
£ 929,105		 Restricted
Funds
243,729
243,729
-

1,017,478
1,017,478
3,420
1,014,058
1,257,787
£
-
1,257,787
£ 1,257,787		 2024
2023
£
£
1,069,364
839,509
1,069,364
839,509
13,283
12,950
1,153,556
1,359,206
1,166,839
1,372,156
49,311
20,087
1,117,528
1,352,069
£ 2,186,892
£ 2,191,578
929,105
652,690
1,257,787
1,538,888
£ 2,186,892
£ 2,191,578
Total		 2024
2023
£
£
1,069,364
839,509
1,069,364
839,509
13,283
12,950
1,153,556
1,359,206
1,166,839
1,372,156
49,311
20,087
1,117,528
1,352,069
£ 2,186,892
£ 2,191,578
929,105
652,690
1,257,787
1,538,888
£ 2,186,892
£ 2,191,578
Total
839,509
12,950
1,359,206
1,372,156
20,087
1,352,069
£ 2,191,578
652,690
1,538,888
£ 2,191,578

The financial statements were approved by the Trustees on 23 June 2025 and signed on its behalf by:

Malcolm Lucas Trustee

The notes on pages 17 to 26 form part of these financial statements.

15

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

CASH FLOW STATEMENT

FOR THE YEAR ENDED 31 AUGUST 2024

Note
Cash flows from operating activities:
12
Cash flows from investing activities:
Purchase of property, plant and equipment
Net cash used in investing activities
Change in cash and cash equivalents in the
reporting period
Cash and cash equivalents at the beginning of
the reporting period
Cash and cash equivalents at the end of
the reporting period
Net cash provided by operating activities		 2024
£
28,350
(234,000)
(234,000)
(205,650)
1,359,206
£ 1,153,556		 2023
£
54,457
-
-
54,457
1,304,749
£ 1,359,206

The notes on pages 17 to 26 form part of these financial statements

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YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2024

1. Accounting policies

(a) Basis of preparation

The financial statements have been prepared in accordance with the relevant version of the 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), the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011 and UK Generally Accepted Accounting Practice.

The charity constitutes a public benefit entity as defined by FRS 102.

The 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 the relevant version of the 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) rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

The registered address is: 28 The Green, Acomb, York, YO26 5LR.

(b) Going concern

The Charity has cash resources and has no requirement for external funding. The coronavirus pandemic has had little effect on the District's finances and it is expected that this will continue to be the case. The Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. They continue to believe the going concern basis of accounting appropriate in preparing the annual financial statements.

(c) Income recognition

Received from Circuits

Income received from Circuits has been accounted for on the accruals basis.

Circuits contribute funds to the District each quarter, to fund the activities of the Church.

Grants, District development enabler and donations

This income is accounted for on an accruals basis.

Interest received and other income

This income is accounted for on an accruals basis.

Circuit assessment income and expenditure is not included in the District accounts. The District is only used to transfer the resources from the Circuits to the Methodist Church and therefore has no entitlement to the income.

(d) Expenditure recognition and irrecoverable VAT

Cost of generating funds

Cost of generating voluntary income

These represent the costs of the manse and the Chair's travel, administration and secretarial expenses.

Cost of charitable activities

The District's connexion assessment and District Travel Fund payments, and other costs of charitable activities are shown here.

Grants to institutions

Grants are payments made to third parties in the furtherance of the charitable objectives of the Church.

Governance costs

Governance costs include independent examiner's fees and bank charges.

The Charity is not registered for VAT. Irrecoverable VAT is included with the item of expense to which it relates.

17

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS - CONTINUED

FOR THE YEAR ENDED 31 AUGUST 2024

1. Accounting policies - continued

(e) Fixed assets

Tangible fixed assets are capitalised if they can be used for more than one year, and cost at least £1,000. They are valued at cost or a reasonable value on receipt. Where cost is not available, a reasonable estimate of cost or of the buildings current value to the District is used. Where an estimate based on insurance value is used this takes account of the fact that cover will be based on demolition and reinstating the current building and not the original cost less accumulated depreciation. A professional valuation is not required, but if available, that figure is used. Provision is made for depreciation where appropriate, as follows:

Furniture and fittings 15% reducing balance per annum Hull International House - Furniture and equipment over 10 years straight line Website development over 3 years straight line

(f) Investments

Fixed asset investments are included at market value on the balance sheet date. Any gain or loss on investment is taken to the SOFA.

(g) Stock

Stock is valued at the lower of cost and net realisable value, after due regard for obsolete and slow moving stocks.

(h) Fund accounting

The funds held constitute: General Funds held for any purpose of the District which are Unrestricted, Designated funds comprise unrestricted funds that have been set aside by the Trustees for a particular purpose, the aim and use of each designated fund is set out in the notes to the financial statements, Restricted funds which are held for a narrower purpose and Endowment funds which represent gifts, the capital normally being unavailable for spending, and the income from which is either Restricted or Unrestricted. Details of each material fund are disclosed in notes 13 and 14 to these accounts. Any funds may be held in ways other than in cash.

(i) Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

(j) 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 a 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 after allowing for any trade discounts due.

(k) Financial instruments

The Church only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

(l) Cash at bank and in hand

Cash at bank and cash in hand includes cash and any short term deposit accounts with a maturity of three months or less from the date of opening.

18

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS - CONTINUED

FOR THE YEAR ENDED 31 AUGUST 2024

Unrestricted Unrestricted Restricted Restricted 2024 2023 2023
£ £ £ £
2a. Donations and grants
Received from Circuits 63,763 - 63,763 116,788
Grants 154,194 589,604 743,798 436,059
£ 217,957 £ 589,604 £ 807,561 £ 552,847
In 2023 the amount of donations and grants which related to restricted funds was £405,059.
2b. Charitable activities
York International House Rents - 27,320 27,320

 20,212
£ - £ 27,320 £ 27,320 £ 20,212
In 2023 the amount of income from charitable activities which related to restricted funds was £20,212.
2c. Other activities
Hull International House Income - 152,225 152,225

 171,516
Miscellaneous Other Income 298,562 105,427 403,989

 196,156
£ 298,562 £ 257,652 £ 556,214 £ 367,672
In 2023 the amount of income from other activities which related to restricted funds was £293,555.
3. Funds received as agent
Balance held at Balance held at
beginning of year Amount received Amount paid out end of year
£ £ £ £
Name of party:
Methodist Church Fund - 608,741 (608,741) -
JPIT Yorkshire 4,028 - - 4,028
Racing Chaplaincy 761 - (761) -
Envoy 2,513 - (288) 2,225
Kairos Fund - 21,512 (21,512) -
Total £ 7,302 £ 630,253 £ (631,302) £ 6,253
In 2023 the amount received and paid out as agent was £588,544 and £588,719 respectively.
4. Expenditure on raising funds
Unrestricted Restricted 2024 2023
£ £ £ £
Manse costs 12,273 1,012 13,285 17,130
Expenditure on other
District property 572 32,026 32,598 39,372
Chair's travel and
secretarial costs
Travel 8,155 - 8,155 7,919
Secretarial 12,000 - 12,000 12,000
20,155 - 20,155 19,919
Employees'
and		 volunteers'
travel 13,781 652 14,433 13,452
Depreciation
Furniture and fittings 872 3,273 4,145 4,145
Total £ 47,653 £ 36,963 £ 84,616 £ 94,018

In 2023, the expenditure on raising funds which related to restricted funds was £42,874.

19

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS - CONTINUED

FOR THE YEAR ENDED 31 AUGUST 2024

5. Expenditure on charitable activities

penditure on charitable activities
Synod, committees and
administration
Salaries and associated costs
Grants and donations
Other expenses
Training, appraisal and development
Work of the District
Safeguarding officer
Governance costs
Independent examiner's fees
Total		 Unrestricted
£
19,969
160,084
3,569
219,624
2,855
406,101
19,450
2,520
£ 428,071		 Restricted
£
5,354
96,889
523,159
331,383
1,705
958,490
-
-
£ 958,490		 2024
£
25,323
256,973
526,728
551,007
4,560
1,364,591
19,450
2,520
£ 1,386,561		 2023
£
19,595
162,552
326,861
291,542
8,778
809,328
19,745
2,520
£ 831,593

In 2023, the amount of expenditure on charitable activities which related to restricted funds was £626,107.

Grants to institutions

Grants made to institutions from the District Advance Fund (a restricted fund) included the following grants, in line with the charity's aims.

in line with the charity's aims.
Ministry grants
Yorkshire North & East District
- Digital Communications Enabler
- Circuit Support Team
- Youth work
- Net Zero
- NPNP costs
- "Flourish 2026"
- assessment support
Kairos - NPNP matched funding (2 years)
Hull International House - general overheads
The Bridge Circuit - establishment support
Mosaic Church, Hull - leadership support
Persian Ministry project
Driffield Methodist Church - family worker
Nidd Valley - grant for work of Deacon
Hull (Centre and West) Circuit - leadership support
Property grants
Yorkshire North & East District - purchase of manse
South Holderness Circuit - solar panels
Hull International House - staircase refurbishment and fire doors
Seed Funding grants (7 grants)
Warm Space grants (1 grants)
Total Grants Paid		 £
30,000
80,000
12,500
21,177
7,260
10,000
93,736
30,000
20,000
20,127
10,000
15,334
6,000
17,000
4,800
377,934
£
234,000
6,200
75,000
315,200
£
3,650
£
500
£
697,284
£

20

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS - CONTINUED

FOR THE YEAR ENDED 31 AUGUST 2024

2024 2023
£ £
**6. ** Net income before investment gains/(losses)
This is stated after charging:
Depreciation 4,145 4,145
Statutory accounts preparation 1,350 1,260
Auditor's/Independent examiner's fee for reporting on the accounts 6,150 1,260

Depreciation of £872 relates to unrestricted funds (2023: £872), £3,273 relates to restricted funds (2023: £3,273).

7. Staff costs

Staff working for the Yorkshire North and East District of the Methodist Church are employed by the Yorkshire North and East District.

North and East District.
Gross salaries
Employer's national insurance
Employer's pension contributions		 350,413
24,565
19,878
£ 394,856		 223,097
13,351
8,568
£ 245,016

No employees earned more than £60,000 during the year.

The average monthly head count was 12 (2023: 10).

The key management personnel of the charity comprise of the trustees and the District executives. The total employee benefits of the key management personnel were £19,992 (2023: £20,557).

The Charity also benefits greatly from the involvement and enthusiastic support of its many volunteers, details of which are given in our annual report. In accordance with Charities SORP, the economic contribution of general volunteers is not recognised in the accounts.

21

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 AUGUST 2024

8. Tangible Fixed Assets

Tangible Fixed Assets
Additions in year
At 31 August 2024
Net book value
At 31 August 2024
At 31 August 2023
Charge for year
Cost
At 1 September 2023
At 31 August 2024
Depreciation
At 1 September 2023		 Freehold
property
£
827,351
234,000
1,061,351
-
-
-
£ 1,061,351
£ 827,351		 Furnitures, fittings
and equipment
£
63,275
-
63,275
51,117
4,145
55,262
£ 8,013
£ 12,158		 Total
£
890,626
234,000
1,124,626
51,117
4,145
55,262
£ 1,069,364
£ 839,509

Assets with a net book value of £243,729 (2023: £247,002) relate to restricted funds.

9. Debtors

btors
Trade debtors
Sundry debtors and prepayments		 Unrestricted
£
6,776
6,507
£ 13,283		 Restricted
£
-
-
£ -		 2024
£
6,776
6,507
£ 13,283		 2023
£
6,641
6,309
£ 12,950

In 2023, none of the debtors related to restricted funds.

10. Creditors: amounts falling due within one year

Trade creditors
Accruals and deferred income
Other creditors
Amounts held as agents		 Unrestricted
£
24,493
9,000
6,145
6,253
£ 45,891		 Restricted
£
-
3,420
-
-
£ 3,420		 2024
£
24,493
12,420
6,145
6,253
£ 49,311		 2023
£
-
6,640
6,145
7,302
£ 20,087

In 2023, creditors of £4,120 related to restricted funds.

22

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 AUGUST 2024

11. Related Party transactions

Funds of £608,741 were received from the circuits on behalf of the Central Methodist Fund during the reporting period of which £608,741 was paid over to the Central Methodist Fund.

During the year out of pocket expenses relating to travel of £4,087 (2023: £4,105) were paid on behalf of six (2023: five) trustees.

One trustee received remuneration during the year for her role within the District: Naomi Prince as District Administrator and PA to the Chair. The total amount paid to her, including pension contributions of £1,064, totalled £19,992 (2023: £20,557). The remuneration is arrived at by consideration of similar positions in other parts of the Methodist Church and is allowable under the constitution. The husband of trustee Emma Crippen received £28,704 during the year as Digital Communications Enabler. No trustee (2023: None) received any remuneration in respect of their trusteeship role.

There were no other related party transactions.

12.RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASH
FLOW FROM OPERATING ACTIVITIES
Net (expenditure)/income for the reporting period
Adjustments for:
Depreciation charges
Increase in debtors
Increase in creditors
Net cash provided by operating activities
ANALYSIS OF CASH AND CASH EQUIVALENTS
Cash at bank and in hand
Total cash and cash equivalents
Cash and cash equivalents amounting to £1,017,478 (2023: £1,292,733)
ANALYSIS OF CHANGES IN NET DEBT
At
1 Sept 23
£
Cash
1,359,206		 2024
2023
£
£
(4,686)
58,932
4,145
4,145
(333)
(9,925)
29,224
1,305
£ 28,350
£ 54,457
1,153,556
1,359,206
£ 1,153,556
£ 1,359,206
related to restricted funds.
At
Cash-flows
31 Aug 24
£
£
(205,650)
1,153,556		 2023
£
58,932
4,145
(9,925)
1,305
£ 54,457
1,359,206
£ 1,359,206

23

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 AUGUST 2024

13. Restricted Funds

Current year
Balance at 1 September 2023
Income
Expenditure
Net income/(expenditure)
Transfers between funds
Balance at 31 August 2024
Comparative year
Balance at 1 September 2022
Income
Expenditure
Net income/(expenditure)
Transfers between funds
Balance at 31 August 2023		 Chair's
Benevolent
Fund
£
7,695
1,899
(118)
1,781
-
£ 9,476
9,403
1,647
(3,355)
(1,708)
-
£ 7,695		 District
Advance
Fund
£
983,809
520,594
(466,141)
54,453
(288,718)
£ 749,544
891,598
440,073
(347,862)
92,211
-
£ 983,809		 York
International
House
£
198,266
27,480
(28,737)
(1,257)
54,718
£ 251,727
199,517
21,115
(22,366)
(1,251)
-
£ 198,266		 Hull
International
House
£
95,384
207,313
(257,315)
(50,002)
-
£ 45,382
93,339
171,516
(169,471)
2,045
-
£ 95,384		 York City
Centre
Proceeds
£
83,260
4,095
(21,725)
(17,630)
-
£ 65,630
100,631		 Hull City
Centre
Proceeds
£
156,725
7,708
(8,000)
(292)
-
£ 156,433
152,459
4,266
-
4,266
-
£ 156,725		 Net Zero
Funds
£
13,749
179,263
(213,417)
(34,154)
-
(£ 20,405)
-
119,489
(105,740)
13,749
-
£ 13,749		 Total
£
1,538,888
948,352
(995,453)
(47,101)
(234,000)
£ 1,257,787
1,446,947
2,816
(20,187)		 760,922
(668,981)
(17,371)
-
£ 83,260		 91,941
-
£ 1,538,888

Chair's Benevolent Fund

This fund makes small grants to ministers and lay people in need, at the discretion of the chair.

District Advance Fund

This fund makes grants towards projects advancing the mission of the Church, both for people and property.

York International House

This fund provides (primarily) student accommodation in a property owned by the District. Surpluses in the fund are used to fund University chaplaincy work in York.

Hull International House

Hull International House is a property in Hull which offers accommodation for students and those on low incomes with the aim of promoting a community spirit generated by residents and staff.

York City Centre Proceeds

This fund comprises the sale proceeds of former property in York city centre. The fund is available for mission purposes in York city centre and is currently being used to fund the work of a deacon.

Hull City Centre Proceeds

This fund comprises the sale of Hull Central Hall and other property. The fund is available for mission purposes in Hull city centre and is currently funding work at Selby Street Mission in Hull.

Net Zero Funds

This fund is for administering grants paid to the District from a number of different funders for the purpose of installing solar, battery and EV solutions to a number of churches in the Yorkshire North and East Methodist District.

24

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 AUGUST 2024

14. Unrestricted Funds - General Account

Unrestricted Funds - General Account
Current year
Balance at 1 September 2023
Income
Expenditure
Net income/(expenditure)
Gain/(loss) on investments
Transfers between funds
Balance at 31 August 2024
Comparative year
Balance at 1 September 2022
Income
Expenditure
Net income/(expenditure)
Gain/(loss) on investments
Transfers between funds
Balance at 31 August 2023		 £
£
652,690
518,139
(475,724)
42,415
-
234,000
£ 929,105
£
£
685,699
223,621
(256,630)
(33,009)
-
-
£ 652,690
General Account
£ 929,105
£
685,699
(33,009)
-
-
£ 652,690

25

YORKSHIRE NORTH AND EAST DISTRICT OF THE METHODIST CHURCH

NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 AUGUST 2024

15. Comparative Statement of Financial Activities

Comparative Statement of Financial Activities
Income and endowments from:
Donations and grants
Charitable activities
Other trading activities
Investments
Total
Expenditure on:
Raising funds
Charitable activities
Total
Net (expenditure)/income
Transfers between funds
Net movement in funds
Reconciliation of funds:
Total funds brought forward at 1 September 2022
Total funds carried forward at 31 August 2023		 Unrestricted
Funds
£
147,788
-
74,117
1,716
223,621
51,144
205,486
256,630
(33,009)
-
(33,009)
685,699
£ 652,690		 Restricted
Funds
£
405,059
20,212
293,555
42,096
760,922
42,874
626,107
668,981
91,941
-
91,941
1,446,947
£ 1,538,888		 2023
£
552,847
20,212
367,672
43,812
984,543
94,018
831,593
925,611
58,932
-
58,932
2,132,646
£ 2,191,578

26