## **The Methodist Circuit of Gloucestershire** 

**Registered Charity No. 1136205** 

## **Annual Report** 

## **and** 

## **Financial Statements** 

**for the** 

**Year ended 31 August 2020** 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

|**INDEX**||
|---|---|
||**Page**|
|Charity information|1 - 2|
|Trustees’ report|3 - 14|
|Auditor’s report|15 - 16|
|Circuit statement of financial activities|17|
|Circuit balance sheet|18|
|Circuit cash flow statement|19|
|Notes to the accounts|20 - 31|
|Appendix 1: List of trustees|32 - 34|





**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISORS** 

|TRUSTEES|The trustees are the members of the Circuit Assembly.  Appendix 1 contains a full list of|The trustees are the members of the Circuit Assembly.  Appendix 1 contains a full list of|The trustees are the members of the Circuit Assembly.  Appendix 1 contains a full list of|
|---|---|---|---|
||the elected church representatives and ex officio,||or appointed, others who were|
||trustees during the year.  A complete list of trustees during the year is available on|||
||request from the circuit office.|||
|CIRCUIT EXECUTIVE||||
|Rev’d John Hellyer||Superintendent Minister|(from Sep’19)|
|Rev’d Dr Simon Topping||Deputy Superintendent Minister|(from Sep’15)|
|Rev’d Michelle Ireland||Minister Representative|(from Sep‘18)|
|||Learning & Caring Portfolio|(from May’20)|
|Rev’d Jayne Webb||Minister Representative|(from Sep’19)|
|Brian Cook||Finance|(from Sep’15)|
|Andy Rickell||Social & Climate Justice|(from Sep’16)|
|Moira Anderson||Personnel|(from Sep’17 to May’20)|
|Russell Buley||Learning & Caring|(from Mar’17 to May’20)|
|||Personnel|(from May’20)|
|Rev’d Martin Turner||Mission|(from Mar’16)|
|Richard Bretherton||Property|(from Mar’19 to May’20)|
|Bernie Brewster||Property|(from June’20 – pending Assembly|
||||approval)|
|CIRCUIT OFFICE HOLDERS||||
|Finance Portfolio||Brian Cook|Portfolio Holder & Circuit Treasurer|
|||Adrian Kilburn|Assistant Circuit Treasurer|
|Learning & Caring Portfolio||Rev’d Michelle Ireland|Portfolio Holder (from May’20)|
|||Russell Buley|Portfolio Holder (to May’20)|
|||Rev’d Diane Daymond|Pastoral Care Encourager|
|||Anton Wynn|Children & Young People Network|
||||Convener|
|Mission Portfolio||Rev’d Martin Turner|Portfolio Holder|
|||Karen Burridge|Creative Arts Officer|
|||Alan Jackson|Housing Estates & Urban Officer|
|||Rev’d Stuart Radford|Methodist Homes Secretary|
|||Sylvia Munns|Circuit MWIB Chair|
|||Brenda Climer|Secretary of Vision & Strategy for|
||||Mission Group|
|Personnel Portfolio||Russell Buley|Portfolio Holder (from May’20)|
|||Moira Anderson|Portfolio Holder (to May’20)|
|||Peter Gardner|Safeguarding Officer|
|Property Portfolio||Richard Bretherton|Portfolio Holder (to May’20)|
|||Bernie Brewster|Church Property Projects Support|
||||Officer|
|||Rev’d John Beardsley|Archivist|
|||Sue Woodward|Archivist|
|||Sally Hall|Lead Manse Coordinator|
|||John Bailey|Schedules Officer|



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**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

**REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISORS (continued)** 

|Social and Climate|Justice<br>Andy Rickell|Portfolio Holder|
|---|---|---|
||Rev’d Dr John Sampson|Multi-Faith Officer|
||Alison Jackson|Public Issues Officer|
||Andy Rickell|Disability Awareness Advisor|
||Noel Sharp|Social Responsibility Officer|
|Superintendent’s Portfolio<br>Rev’d John Hellyer||Superintendent|
||Adele Garner|Local Preachers’ and Worship|
|||Leaders’ Meeting Secretary|
||Ann Pearce|Local Preachers’ Training Group|
|||Convener and Lead Tutor|
||Rev’d Dr Simon Topping|Deputy Superintendent &|
|||Chair of Local Preachers’ Training|
|||Group|
|CIRCUIT OFFICE<br>|18 College Green, Gloucester, GL1 2LR||
|AUDITORS|Hazlewoods LLP||
||Staverton Court||
||Staverton||
||Cheltenham||
||GL51 0UX||
|BANKERS|Santander Bank||
|INVESTMENT MANAGERS|Central Finance Board of the Methodist Church||
||9 Bonhill Street||
||London||
||EC2A 4PE||
|REGISTERED CHARITY|1136205||



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**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **TRUSTEES’ REPORT** 

The trustees present their annual report together with the financial statements and the auditor’s report of The Methodist Circuit of Gloucestershire for the year ended 31 August 2020. The annual report serves the purposes of both a trustees’ report and a directors’ report. 

## **STRUCTURE, GOVERNANCE & MANAGEMENT** 

The Methodist Circuit of Gloucestershire is part of the Methodist Church in Britain, which is constituted under the Methodist Church Act 1976 and a Deed of Union and is governed by The Constitutional Practice and Discipline of the Methodist Church. The Circuit, which came into being on 1 September 2008, was registered as a charity with number 1136205 on 4 June 2010. 

## **APPOINTMENT OF TRUSTEES** 

All ministers, presbyteral and diaconal, stationed in the Circuit by the Methodist Conference are members of the Circuit Meeting otherwise known as the Circuit Assembly and therefore trustees (subject to those ministers who do not hold pastoral responsibility within the Circuit notifying the Superintendent of their wish to be members of the Assembly and trustees for the relevant year). 

Lay workers who are members of the Methodist Church and who are employed in the Circuit may also be appointed by the Circuit Assembly to be members of it and trustees for the relevant year. 

The following are ex officio members of the Circuit Assembly:  Circuit portfolio holders who are the circuit stewards (Finance, Learning & Caring, Mission, Personnel, Property, Social and Climate Justice).  Other appointed circuit officers (for example, the safeguarding officer, the archivists, etc.) may also be members of the Circuit Assembly if they choose to be.  All circuit stewards and circuit officers are subject to appointment and annual re-appointment by the Circuit Assembly. 

Additionally, each church is entitled annually to appoint three representatives to the Assembly (usually a church steward and the church treasurer plus one other). The Local Preachers’ and Worship Leaders’ Meeting is entitled annually to nominate up to ten of its members (including the secretary and the convener of the local preacher training group who are ex officio members of the Assembly). 

The Assembly has power to appoint other members and welcomes the attendance of those who are not members of the meeting, who however may on occasion be asked temporarily to vacate the meeting when a particular item is being discussed and who may not vote on any issue. 

The total membership of the Assembly that served during the 2019-20 year was 131 (see Appendix 1). 

## **TRUSTEE RECRUITMENT, INDUCTION & TRAINING** 

As outlined above, the appointment of the majority of the membership of the Assembly is outside the control of the meeting (but in accordance with the Methodist Church’s Constitutional Practice and Discipline). In appointing circuit portfolio holders and other officers, the meeting seeks to fit the particular gifts and skills of an appointee to the needs of the vacancy that is being filled and to achieve the best balance of gifts and skills among office holders to further the work of the Circuit and its churches. 

## **ORGANISATION** 

The Circuit Assembly met on four occasions in 2019-20. Because of the necessary constraints on meetings arising from the Covid-19 pandemic, the third and fourth meetings (in May and August 2020) were held by Zoom. The Circuit Executive, appointed by the Circuit Assembly, comprises the Superintendent, the appointed deputy, two other ministers elected by the staff meeting and up to six portfolio holders (who function as the circuit stewards). It met on five occasions in 2019-20. Again because of the pandemic the meetings in May and August were held by Zoom.  The Executive acts on behalf of the Circuit Assembly when circumstances so dictate and brings its decisions to the Assembly for scrutiny and its recommendations for approval. The Assembly retains overall responsibility for the Circuit’s mission strategy; the invitation of ministers; the admission of people to the office of local preacher; and decisions on formal explorations of calls to ministry and candidates for the ordained ministry. 

The Methodist Church stations a presbyter to be the Superintendent of the Circuit who is to provide leadership and cohesion within the Circuit and whose duties are set out in the Standing Orders of the Church which are to be found in The Constitutional Practice and Discipline of the Methodist Church. 

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**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **ORGANISATION (continued)** 

## **Circuit churches:** 

_(Note: designation for Local Ecumenical Partnerships (LEPs) – M-Methodist, A-Anglican\Church of England, U-United Reformed Church, B-Baptist, C-Congregational Federation)_ 

Abbeydale, Christchurch (LEP – A, M, U, B) Amberley, Holy Trinity (LEP – A, M) Apperley Aylburton Bailey Lane End Bishop’s Cleeve Bream Brimscombe Cam Chalford Hill Cheltenham, Bethesda Cheltenham, St Mark’s Cheltenham, Whaddon, St Michael’s (LEP – A, M) Churchdown Cinderford Cirencester, Ashcroft (LEP – M, U) Clements End Coalway Drybrook Dursley Eastington Fairford (LEP – C, M) Gloucester, Barton Street Gloucester, Lonsdale Road Gloucester, St John’s Hartpury Hucclecote                                                                     Lydney * Nailsworth, Christ Church (LEP – B,M,U) Newent, St Mary’s (LEP- A,M) Pillowell Quedgeley Randwick, St John the Baptist (LEP – A,M) South Cerney (LEP- M,C) Stonehouse Stroud, St Alban’s (LEP - A, M) Tetbury,Christ Church (LEP – M,U) Tewkesbury Winchcombe                                                                  Woolaston Wotton-under-Edge (LEP - M,U) 

*As previously reported, the local Church Council at Lydney agreed to cease worship in its church building in July 2018 and used alternative premises until June 2020. The church building and adjacent cottage are in the process of being sold. 

In addition to the churches listed above, North Cerney Fellowship and Hawling are now constituted as **classes** of Cheltenham, Bethesda, and Tibberton is a **class** of Gloucester, St. John’s. Hawling continues to use its church building. (The Constitutional Practice and Discipline of the Methodist Church describes the procedure that is to be followed when a local church has insufficient members to form a Church Council. The remaining members can then be constituted as a class of another Methodist church of sufficient size whereby the Church Council and Pastoral Committee are able to undertake the oversight of the members who form the class.) 

## **RISK MANAGEMENT** 

The Circuit endeavours actively to maintain, promote and review various policies which help to manage risk, including concerning financial process and the holding of reserves; the management of property and health and safety; and the employment of personnel and lone working 

In response to the coronavirus pandemic a Covid-19 Action Group was formed in March 2020 comprising the Superintendent and five members of the Executive. Meeting fortnightly it has offered support and advice to churches by regularly drawing attention to the consequences of government legislation and connexional guidance as well as receiving and commenting on the formal risk assessments submitted by churches when preparing to re-open their buildings. Various items of personal protection equipment were purchased by the Circuit in June and distributed to churches. 

The Circuit continues to develop or apply robust procedures for safeguarding children, young people and vulnerable adults; each church has its safeguarding officer. The circuit safeguarding officer organises an active and on-going training programme for all those whose church office demands such training is undertaken; ensures that appropriate policies, checks and declarations are in place or obtained at Circuit level; liaises with external safeguarding authorities as necessary and advises local churches as required. 

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**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **CIRCUIT SAFEGUARDING OFFICER’S REPORT** 

The Gloucestershire Circuit is committed to the safeguarding and protection of all people and affirms that the needs of children and of adults when they are vulnerable and at risk are paramount.   In its policy for 'Safeguarding Children, Young People and Vulnerable Adults', the Circuit outlines the purpose and procedures of the Circuit Assembly and individual churches, and the roles and responsibilities of the Circuit Superintendent, Circuit Safeguarding Officer, Circuit and Church trustees in achieving its safeguarding commitment and in promoting the safety and well-being of all children and vulnerable adults within the Circuit.  The policy is to be read in conjunction with the 'Methodist Church Safeguarding policy, Procedures and Guidance 2019'.  The Circuit Safeguarding Policy was formally reviewed on 8 March 2020. 

The Circuit Safeguarding Officer in liaison with ministers and individual church safeguarding officers offers guidance on safeguarding matters and checks that churches are complying with the robust procedures and guidance of the Methodist Church.  The Circuit Safeguarding Officer maintains a database of all DBS and training records of all volunteers in the Circuit and liaises with the Bristol District Safeguarding Officer and other external safeguarding authorities, as necessary. 

The Circuit provides Foundation Safeguarding training for its volunteers, who are expected to attend a course every four years.  During the year 2019-2020 the Circuit has organised two courses, training thirty eight volunteers.  Twenty five volunteers have also received Advanced Module Safeguarding training through the Bristol District.  Due to the pandemic and the cancellation of face-to-face training, the Circuit is awaiting guidance from the Methodist Church and Government, as to when this can recommence for those volunteers who have reached the four-year point since they last undertook the relevant training. 

_Peter Gardner, Circuit Safeguarding Officer_ 

## **CHARITABLE OBJECTIVES AND PRINCIPAL ACTIVITIES** 

The charitable objectives are the advancement of religion, in particular as set out or referred to in the purposes, doctrines and provisions of the Constitutional Practice and Discipline of the Methodist Church. The Circuit seeks to live out the calling of the Methodist Church which is summarised thus: 

“The calling of the Methodist Church is to respond to the Gospel of God’s love in Christ and to live out its discipleship and mission. Inspired by Our Calling, we aim: 

- To increase awareness of God’s presence and to celebrate God’s love; 

- To help people grow and learn as Christians through mutual support and care; 

- To be a good neighbour to people in need and to challenge injustice; 

- To make more followers of Jesus Christ.” 

The Circuit encourages and supports the churches within it in the provision of regular public acts of worship open to members and non-members alike; the provision of space for prayer and contemplation; the teaching and sharing of Christianity through sermons, courses and small groups; pastoral work; the provision of opportunities for worship, teaching, fellowship and social inter-action for all ages and genders; the support of other charities in the UK and overseas with both prayer and finance. 

The aims, objectives, policies and activities of the Circuit are under regular review, with particular attention being given to the church/community interface, and to undertaking and prioritising the Circuit’s endeavours in accordance with its mission policy. Such reviews have been given new impetus with the adoption by the Circuit Assembly of a Mission Plan document presented by the Superintendent which entails the formation of a number of small working parties tasked with developing plans for areas of mission and ministry which the Circuit will be asked to prioritise over five years. 

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**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **MISSION POLICY** 

Preceding the current initiative described above, the ‘ **Circuit Vision and Strategy for Mission Statemen** t’ adopted by the Assembly in March 2017 describes the Circuit’s purpose as being: ‘The Methodist Circuit of Gloucestershire exists to join in God’s mission: we seek to offer God’s love to the people of Gloucestershire as an inclusive 24/7 church’.  The Statement sets out the Circuit’s vision and its strategy for mission for the four Methodist ‘Our Calling’ areas of Worship, Learning and Caring, Service and Evangelism. (A copy of the Statement is available in the circuit office.) 

The policy is intended to guide and prioritise the Circuit’s use of its financial, people and property resources, and to encourage and guide local churches in their own mission and ministry. Work and consultation to develop further and implement the Circuit’s vision and strategy for mission are continuing endeavours as evidenced by the recent formation of the new working parties. 

Thus the Circuit’s mission policy is intended to guide:- 

- a. variety of ecumenical partnerships); 

- b. the support of a ministry team of presbyteral ministers, deacon, supernumerary ministers, lay community, family or outreach workers, a chaplain to Hartpury University, and lay circuit administrators; 

- c. the location and maintenance of the manses; and 

- d. the financial ability to underwrite current and future specific circuit projects thereby ensuring that they are able to be created and sustained. 

## **ACHIEVEMENT AND PERFORMANCE** 

The Circuit was formed on 1 September 2008 with the amalgamation of the former Cirencester, Stroud & Dursley, Gloucester, Tewkesbury & Cheltenham and Forest of Dean Methodist Circuits, comprising (at the outset of the 2019-20 financial year) forty-one churches and three classes of churches. The Circuit is responsible for raising the stipends and attendant costs of its ministerial and lay employed staff. 

The Circuit’s churches include twelve ecumenical partnerships of various kinds, linking us with the Baptist Church, Church of England, the Congregational Federation and the United Reformed Church.  Two of these churches - Christchurch, Abbeydale (Gloucester), a Local Ecumenical Partnership -   and Christ Church, Nailsworth, a Local Ecumenical Partnership - whose membership includes a significant proportion of Methodists - appoint and house their own ministers, whilst in several of the other LEPs, ministry is shared with the other participating denominations. 

The Circuit is richly diverse sociologically and theologically, with churches serving city centre, inner city, suburban, town, village and hamlet locations. Styles of worship vary and several churches experiment with different worship styles, times and settings, with encouragement that churches learn from one another. 

The Circuit as a whole and through each of its churches seeks faithfully to worship and serve God, the latter expressed in normal circumstances through pastoral care, fellowship and service through and beyond each of its churches.  Through the deployment of ministers and lay workers, through regular communication and various other aspects of administrative support together with the ongoing provision of safeguarding, pastoral and other training the Circuit continues to encourage and resource its churches and members. 

The arrival of the Covid-19 virus saw extensive disruption of the usual activity in ministry and mission.  On 23 March 2020, following government intervention, churches closed – that is, the buildings were no longer to be used for any purpose but “The Church” continued through the imaginative efforts of its people -  its committed staff and volunteers. During the final six months of this uniquely difficult year the Circuit as a whole and through its churches has continued to provide video opportunities and written material for regular weekly worship.  Where the technology has made it possible, individual households have been able to participate in congregational worship through Zoom.  In addition, full scripts of worship services have been made readily available each week and a number of churches have recorded services which have then been made available through social media platforms.  Although people have not met physically, the business of the Circuit has been conducted by means of Zoom meetings.  Churches have continued to conduct necessary business in a similar way and to ensure pastoral care has been sustained principally through phone conversations rather than the usual personal visiting.  Administrative support continues and some provision of training has been undertaken by Zoom.  The South West Region Learning Network has been particularly helpful in this regard. 

Further details of the Circuit’s endeavours are detailed in the **Portfolio Reports** set out below (the Finance Portfolio is dealt with later under ‘ **Finance Review** ’). 

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**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **Superintendent’s Portfolio** 

The year began with a Welcome Service for three new ministers to the Circuit held in St John’s Northgate in Gloucester. I am grateful for the warm welcome that I received and for all the hard work that went into the preparation for the arrival of the three of us.  The priority in the first few months was to find my way around the Circuit, to get to know the members of the circuit staff and to build relationships with the lay leaders of the Circuit. 

## _God in Love Unites Us_ 

This Methodist Conference report about Marriage and Relationships entitled “God in Love Unites Us” was sent to Circuits for prayerful discussion and consideration.  We held a series of meetings around the Circuit which were attended by over 90 people.  A report on these discussions which reflected the variety of views on the report was sent to the Bristol District Synod. 

## _Refreshing the Mission Plan_ 

In March, the Circuit Assembly agreed to review and refresh the circuit mission plan. A need to ensure that the mission plan embeds the developing emphasis of the Methodist Conference on evangelism and growth called “God for All” had been identified.  There is also a need to ensure that our missional ambitions are matched with appropriate levels of staffing and the effective stewardship of finance and property. 

## _Appointment of Circuit Stewards_ 

The Circuit Assembly agreed to appoint a group of circuit stewards who would not carry the additional responsibilities of significant portfolios of work associated with the management of the Circuit.  Four people were appointed in August 2020 who alongside two portfolio holders, who will also continue as circuit stewards, will focus their gifts on connecting the churches that comprise the circuit by building relationships and offering the churches encouragement and support. 

## _Appointment of Deputy Superintendents_ 

Rev’ds. Michelle Ireland and Jayne Webb have been appointed as Deputy Superintendents from September 2020 in succession to Rev’d Simon Topping whose full-time appointment in the Circuit came to an end in August 2020.  Thanks must be expressed to him for his faithful, prophetic and imaginative service in the Circuit. 

## _COVID-19 Pandemic_ 

At the end of March 2020, the worldwide COVID-19 pandemic forced the closure of all our buildings. Worship continued through the regular posting and emailing of services that could be used in people’s homes.  In most places online worship was quickly established using video conferences and pre-recorded material made available on YouTube.  A plan to continue and develop this digital ministry after the pandemic has been established.  Pastoral care continued by phone and letter.  Several churches worked in partnerships with other churches and community groups to deliver food to vulnerable people who could not leave their homes. 

The pandemic highlighted our strengths as a Christian community and exposed our vulnerabilities, in particular the age profile of some of our congregations and our dependence on letting our premises to raise funds.  By the end of the year, the pandemic was ongoing and although our buildings had been re-opened our worship and other activities were still significantly curtailed with many people still not able to attend worship and other activities.  Conversation has started about how we could build back better. 

## _Thanks_ 

I conclude with another word of gratitude to the lay officers of the Circuit for the incredible energy, skill, commitment and grace with which they serve the Circuit.    Without them the Circuit would not be able to do its work.  I also want to thank the ministers who have all been a delight to get to know and serve alongside. 

_The Revd. John Hellyer, Superintendent Minister_ 

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**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **Learning & Caring Portfolio** 

During the connexional year 2019-20 the programme of learning and training opportunities for the Circuit included further sessions on the art and function of story telling. The ministry of healing was presented and discussed at two day conferences followed by Sunday evening Acts of Worship devoted to the same subject. Unfortunately Covid-19 led to the immediate cancellation of a day conference planned for those interested in learning more about Celtic Christianity. 

Workshops, arranged by the Superintendent, to discuss “God in Love Unites Us”, the report of the connexional Marriage and Relationships Task Group, have been held across the Circuit in six churches in January and February. 

Additional quarterly meetings in each of the four areas of the Circuit are now being held regularly for our local preachers as workshops in anticipation of the next three months’ lectionary Bible readings. These have been organised and led by members of the Vision and Strategy for Mission Task Force. 

The Circuit Children & Young People Network convener is working on a proposal to bring together the families with children and young people in our churches together with those who work regularly with them for a residential weekend at a venue in the county when the situation allows. The weekend would be organised around a series of activities with worship together on the Sunday morning. 

One of our young people took part in this year’s Pulse Leadership Academy, run by PSALMS. This is a twelve months’ programme involving regular evenings of leadership training, Christian teaching, an adult mentor for each member and residential weekends. 

The Circuit continues to provide a Bristol Methodist District representative on the Forum of the South West Learning Network of the Methodist Church which gives access to a further range of training and learning opportunities offered by members of the connexional team. Since lockdown, virtual training has been employed linking with the South West Learning Network Team. Sessions that the team provide are widely circulated. An evening on Equality, Diversity and Inclusion was arranged for the Gloucestershire Circuit as were four sessions based around the role of circuit stewards. While face to face meetings are not possible, further online sessions are planned for the next year to include Transformational Ministry, the Creative Arts, the role of church steward and support for those volunteering in schools and pastoral care of the elderly. 

_The Revd Michelle Ireland, Presbyter holding the Learning & Caring Portfolio_ 

## **Mission Portfolio** 

The first half of the connexional year marked a fallow time as the energy from the Vision and Strategy Group was ended, whilst the coming of a new Superintendent meant that there was much helpful reflection as to exactly what our mission is to Gloucestershire and how we might together transfer that vision into reality. The coming splitting of the portfolio office from the role of circuit steward will I feel sure release more creative activity and thinking “outside of the box”.  I wish my successor Deacon Sue Peat well as she takes over this portfolio from September 2020. 

The second half of the connexional year has of course been dominated by Covid-19, and from a mission point of view this has opened up new and surprising mission opportunities as churches have learnt new skills in going online. Through this online presence churches have made contact with a far wider audience in not just numbers but also reach. The discussion as we look to the future is how this online activity can be consolidated as physical congregational worship re-starts and how contacts can be translated into mission. 

_The Revd. Martin Turner, Supernumerary holding the Mission Portfolio_ 

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**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **Personnel Portfolio** 

The beginning of the connexional year saw the arrival of a new Superintendent Minister for the Gloucestershire Circuit. The Rev’d John Hellyer moved to live in Gloucester from Surrey where he had been Chair of the South East District of the Methodist Church.  The Circuit also welcomed the Rev’d John McNeill, an experienced presbyter from the Scotland District, and the Rev’d Rachel Leather, a presbyteral probationer. 

The ministerial staffing for 2019-20 was as follows: 10 full-time presbyters; a full-time deacon; 2 part-time presbyters; 3 part-time supernumeraries; 2 authorised presbyters.  This equates to 11.83 full-time equivalent ministers receiving the stipend prescribed by the Methodist Conference for that year.   Two of the supernumeraries were not paid stipends. The third part-time supernumerary at Christ Church Nailsworth (LEP) and the URC minister authorised to serve the Circuit at Christchurch Abbeydale (LEP) are employed independently. 

In November and December 2019 following meetings of the connexional Stationing Matching Group, the Rev’ds. Rachel Hope and Wendy Tucker visited the Circuit and subsequently accepted invitations to be stationed (subject to the approval of Conference) in the Gloucestershire Circuit. Conference approved and we were pleased to be able to look forward to their arrival as members of the presbyteral staff from September 2020. 

At its March 2020 meeting the Circuit Assembly appointed the next Circuit Invitation Committee comprising a representative from each church together with a number of ex officio members.  Training sessions for all members of the committee were arranged by the District Chair in order to acquaint members with the Code of Practice and to emphasise the importance of identifying unconscious bias in decision making.  These two training sessions and all subsequent consultations related to the invitation and stationing process this year have been held by Zoom because of the pandemic. 

Two full-time and two part-time presbyters whose appointments are due to end in August 2021 expressed a wish for extensions to their appointments to be considered.  A consultative process, clearly defined in the Code of Practice, was then followed involving local churches and other areas of the presbyters’ work before the Circuit Invitation Committee met (virtually) to consider the offers of extension and the responses.  For each minister the committee unanimously recommended to the Circuit Assembly acceptance of the offer and at their next meeting the Assembly accepted the recommendations without amendment. In August ’20 a service was held at Cirencester Ashcroft Church (LEP) to say farewell to the Rev'd Jayne Taylor. Government guidelines were followed with regard to the limitation on the number attending and the wearing of masks. Presentations were made on behalf of the Circuit and the three churches for which the Rev'd Jayne had pastoral charge. 

The Circuit is the named employer of nine lay workers:- 

- Two part-time administrators, one whose work is focused primarily on finance and the other on general administration.  Before the advent of Covid-19 both worked in the circuit office at 18 College Green Gloucester which is leased by the Circuit from the Dean and Chapter of Gloucester Cathedral.  Since March 2020 as a consequence of the pandemic they have been working at home. 

- Five part-time Children/Youth/Families Outreach workers based in the Methodist churches at Churchdown, Eastington, Gloucester Lonsdale Road, Tetbury and Tewkesbury together with a part-time hospitality worker at Cheltenham Bethesda Methodist church and a full-time Mission & Outreach Project worker employed at Cirencester Ashcroft Methodist Church.   A replacement parttime Youth & Families Lay Worker was appointed for Eastington Methodist Church in February 2020. 

Each of these lay workers has a management and support group comprising members of the local church and a representative of the Circuit Assembly.  An annual report of the work of the lay worker is submitted by these groups to the Circuit Assembly. 

The Circuit continues to contribute to the funding of a part-time Chaplain at Hartpury University and to be represented on her support group. 

Finally, I take this opportunity to thank Moira Anderson, the previous holder of this portfolio, not only for her efficient conduct of the business but equally important, her sensitive awareness of how best to relate to everyone involved in the stationing and invitation process. 

_Russell Buley, Circuit Steward holding the Personnel Portfolio_ 

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**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **Property Portfolio** 

The manse stewards have continued to maintain the thirteen manses of the Circuit.  All but one have been occupied as intended by the ministerial staff. The thirteenth property which has not been required for Circuit staffing this year has been let on a shorthold assured tenancy. Quinquennial inspections have been completed as required on a number of churches and manses during the year.  The Circuit remains grateful for the considerable time and effort expended by the team of manse stewards led by Sally Hall in responding to urgent property repairs and ensuring the manses are suitably maintained as homes for our ministers. 

The Circuit is also grateful to the five burial ground stewards who monitor the condition of the Circuit’s retained burial grounds at Ellwood, Highleadon, Kemerton, Oakridge Lynch and Randwick. Oakridge Lynch has been of particular concern this year as the retaining wall had to be re-built before the owner of the adjoining property assumed responsibility for maintaining the stone fascia of the wall. The burial ground itself has now been formally closed. 

In addition to one of the manses, Yew Tree Cottage and Flat continue to be tenanted and the Walmore Hill School premises remain leased to the Local Education Authority. 

This financial year has seen the completion of the sale of the Tibberton Methodist Church building. Progress on the sale of Sheepscombe Methodist Church building has continued to have been fraught with difficulty but encouraging substantive progress had been made in the final months of this year. More steady progress is being made towards the sale of the Methodist church buildings at Lydney and May Hill. 

The Circuit Assembly has approved in principle the Welcome Space project at Tewkesbury Methodist Church. Planning by the managing trustees at the church has inevitably been affected by Covid-19 restrictions but the aim remains to develop a more welcoming space at the front of the church building with better ease of access and facilities to promote the mission of an inclusive church. 

The Circuit remains very grateful to Richard Bretherton for the sterling work he put in as property portfolio holder until May when the pressure of his professional commitments outside the Circuit necessitated his relinquishing the post. 

_Bernie Brewster, holding the Property Portfolio from September 2020_ 

## **Social and Climate Justice Portfolio** 

The Circuit’s Social and Climate Justice (changed from Public Issues and Social Responsibility in January 2020) team meets quarterly to consider ways to offer leadership on this portfolio to the Circuit.  The team led the Circuit Assembly to agree the following Memorial to Conference at its meeting in March 2020, held the week before lockdown: 

_The Gloucestershire Methodist Circuit, recognising that the global climate emergency is a crisis for God’s creation, and a fundamental injustice, and following the resolution of the Methodist Conference 2019 that there is a climate emergency,_ 

_(a) calls upon all parts of the Methodist Church, at local church, Circuit, District and connexional level, to work to achieve measurable year-on-year reductions in emissions and urgently examine what would be required to reach net zero emissions by 2030 in order that a plan of action can be drawn up to achieve that target;_ 

_(b) calls on each District to address progress toward net zero emissions every two years._ 

The team is also supporting circuit churches to become Eco Churches, and supporting the whole Circuit to become an Eco Circuit. 

The team has been considering ways to embed the Christian principles of promoting equality and inclusion, and celebrating human diversity, in the work of the Circuit and across the county.  This has begun with a Circuit training session on the issues, and is being developed into a regular annual programme as part of the emerging 5-year circuit mission plan. 

The portfolio also takes a lead in providing content for the Circuit’s Facebook page, as a means of engaging with the people of Gloucestershire about matters of concern affecting the spiritual, economic, social and environmental life of the county. 

_Andy Rickell, Circuit Steward holding the Climate and Social Justice Portfolio_ 

10 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **FINANCIAL REVIEW** 

## **Covid-19** 

The 2019/20 financial year was, as noted elsewhere, challenging for the Circuit. However, the Charity is in a good financial position despite the Covid-19 pandemic and can be considered financially secure for the next 12 months, and into the coming years. 

Our Reserves Policy (below) relates to our general (unrestricted) funds which are freely available to be used for any or all purposes of the Circuit. Other funds are also included for the sake of clarity and openness and to show that the Circuit has a policy for the management of all its money not simply those which are defined as reserves. 

## **Financial Aims** 

Our aim is twofold: 

- To secure and sustain the Circuit’s viability and future. 

- To give reassurance to the general public that the Circuit, which is a charity, intends to use all of the money coming into its care for the purposes of the Charity. 

## **Principal Funding Sources** 

The principal funding source of the Charity: 

- Is raised primarily in the form of assessments (levies) on each of our circuit churches, as set out by Standing Orders. 

- To support our missional work, additional funding comes from external sources in the form of grants, which relate to a specific project and for a limited period of time. 

- Rental income from three investment properties, one of which is a primary school leased by Gloucestershire County Council. 

- Rental income for part of the year for an unoccupied manse. 

We understand the requirements under charity regulations to disclose our involvement in fundraising.  The Charity does not generate funds from commercial activities and charitable activities other than identified above. 

Assessments (monies levied on each church in the Circuit) provide the majority (over 90%) of the Circuit’s income (excluding recovery of lay employment salary costs through grants and churches). A Circuit Finance Support Group, representative of large and small, urban and rural churches assists the circuit treasurer and assistant treasurer in monitoring and reviewing the changes in the assessment calculation process, as well as the regular financial monitoring.  During 2019/20, as a result of some churches being unable to fully meet their assessments in the latter part of the year due to churches being closed, the shortfall (an amount of £15,296 which is less than 2% of the total assessments) was more than covered by churches with larger reserves, so the overall Circuit’s income was not affected. 

The circuit assessment is reviewed annually and covers the costs of 1a-c of the Mission Policy, together with other general administration expenses. It is calculated on a combination of 

i. The unrestricted and non-designated income (excluding lettings income) of a church. ii. The number of members in each church. 

iii. The average attendance at services, averaged over the year. 

The current proportional split is (i) 60%, (ii) 20%, (iii) 20%. 

Support to churches having difficulty meeting the agreed assessments, or because of particular local difficulty, has been offered through an assessment relief grant or other available funds. Financial support for churches will be continued where appropriate. 

11 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **FINANCIAL REVIEW (continued)** 

## **Grants** 

Through the Model Trust Fund (MTF) and other funds, grants were made available for assessment support. The MTF, and other circuit funds, were also used to support the outreach workers as well as general expenditure. 

Grants made during the year included: 

- £4,788 – To support assessment contributions from 4 churches over the year. 

- £5,520 – To cover the lack of assessment receipts following the closure of May Hill chapel 

- £389 – The deacon’s work at Innsworth. 

- £30,405 – As a contribution\grant towards the employment of church-based lay workers plus the Hartpury chaplaincy. 

## **Financial summary** 

|Incoming Resources:<br>Assessments<br>Church Grants to support Assessments<br>Property\Investment<br>Other Income<br>Proceeds of Sale from Circuit Property<br>**Total**|**2019/20**<br>**£**<br>766,955<br>37,870<br>34,086<br>96,443<br>205,224<br>**1,140,578**|**2018/19**<br>**£**<br>754,395<br>-<br>29,119<br>91,993<br>8,606|
|---|---|---|
|||**884,113**|



Under Standing Orders, the Circuit must meet its financial obligations in relation to the support of its ministers and other staff and the maintenance of the manses. The total costs for the year were: 

|Resources expended:<br>Staffing<br>Manse maintenance<br>Property / church grants<br>District / URC / Cong. Federation Costs<br>DAF levy<br>Other governance costs<br>**Total**<br>**Net movement in funds: surplus / (deficit)**|**2019/20**<br>**£**<br>603,482<br>24,763<br>42,323<br>163,362<br>4,250<br>242,616<br>**1,080,796**<br>**59,782**|**2018/19**<br>**£**<br>578,551<br>19,574<br>20,370<br>158,663<br>11,982<br>171,583|
|---|---|---|
|||**960,723**|
|||**(76,610)**|



## **FUNDS** 

The funds held by the charity are detailed in note 14 to the financial statements. 

The Circuit Model Trust Fund (MTF) – The receipts are principally derived from monies received from the sale of chapels, manses and other property, less legal fees and a compulsory levy to the Connexional Property Fund (CPF) (for sale values up to £100,000, the levy is 20%; over £100,000, levy = 40%). 

The MTF is unrestricted in its nature, being available for all Methodist Trust purposes. The Model Trust Fund is used by the Circuit for a variety of mission, ministry and property projects. A compulsory annual levy (based on the year-end balance of the Fund) transfers funds to the Bristol District to be made available by the District by way of grants in respect of new initiatives in mission and ministry. This levy taken on 1/9/2019 was £4,250. On the basis of the fund balance at 31/8/20, the levy to be taken on 1/9/20 will be £7,308. 

|MTF balance at 31 August|**2019/20**<br>**£**<br>196,162|**2018/19**<br>**£**<br>135,002|
|---|---|---|



12 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **FINANCIAL REVIEW (continued)** 

**Main MTF Movements:** Income – Interest\Fund Revaluations £134,898; Outgoings – £73,738 Transfer to other Circuit funds to cover budget support costs in year plus known committed projects (lay and property work). 

## **RESERVES POLICY** 

As at 31 August 2020 the Circuit had the following funds: _(See Note 14 to the Financial Statements for details of funds held)_ 

|Restricted<br>Designated<br>Unrestricted (manse properties) *<br>Unrestricted (MTD and others)<br>**Total Funds**|**2019/20**<br>**£**<br>31,156<br>151,695<br>4,024,582<br>353,184<br>**4,560,617**|**2018/19**<br>**£**<br>36,499<br>149,771<br>4,025,941<br>288,624|
|---|---|---|
|||**4,500,835**|



* Note: These funds cannot be realised unless the manses are disposed of. 

It is recognised that the level of Minimum Reserves is set to cover the running costs of the Circuit (mainly ministers\staff costs) in the event of a sudden drop in income. Generally, the loss of charity income (substantially being assessments from churches) would, in reality, be on a gradual basis over a number of years (i.e. if church membership declined and leaving a church less able to pay the full level of assessment). In the event of this type of decline, there would be time and options for structured planning of the redeployment of ministers within the wider Methodist Connexion, with the consequential saving in circuit costs. Indeed, in the regrettable event of a church closure and subsequent sale, additional funds would be available to cover commitments. 

It was considered that we could sensibly set the level of Minimum Reserves necessary at £100,000 to provide a level sufficient for day-to-day cash flow and a level of funds which could be made available for unidentified projects. This does not affect the viability of the Charity (the Circuit) whilst, at the same time, making available funds for supporting those future mission options. 

As a result of the Covid-19 pandemic, the impact on churches has been significant. Most churches have covered their drop in income by using reserves, so contributions to the Circuit through Assessments has not been affected. Indeed, the shortfall from some smaller churches was more than covered by additional grants from the reserves of larger churches. 

As churches get back together, their income should improve, although the restrictions on buildings use does impact lettings income significantly. 

The Charity’s reserves level will be monitored closely through the next year to ensure funds are available to meet its commitments. 

## **Balance of Unrestricted Funds** 

Unrestricted funds over the Minimum Reserves level, are available for identified projects or general budget support, if approved by the Circuit Assembly. 

13 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE ANNUAL REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020** 

## **STAFFING COMMITMENTS** 

Along with the presbyters and deacon, we have financially supported the lay workers who work in the following areas of the Circuit: 

- Part-time Families or Communities Workers at Tewkesbury, Eastington, Gloucester Lonsdale Road, Churchdown, Bethesda – Cheltenham; and 

- Full-time worker at Cirencester Ashcroft. 

We have financially supported by grants in partnership: 

- with the Gloucester Diocese and Hartpury University,  a part-time Chaplain at Hartpury University; and 

- at Nailsworth Christ Church LEP a part-time Families worker. 

_Brian Cook, Circuit Steward holding the Finance Portfolio._ 

## **TRUSTEES’ RESPONSIBILITIES** 

The trustees are responsible for preparing a trustees’ annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom generally accepted accounting practice (UK GAAP)). 

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 its incoming resources and application or resources of the Charity for that period.  In preparing those financial statements, the trustees are required to: 

- select suitable accounting policies and then apply them consistently; 

- observe the methods and principles in the applicable Charities SORP; 

- make judgements and estimates that are reasonable and prudent; 

- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; 

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue. 

The Circuit Meeting (Assembly) is responsible for ensuring that the relevant circuit stewards, officers and administrators keep proper accounting records which disclose with reasonable accuracy at any time the financial position of the Charity and to enable them to ensure that the financial statements comply with the Charities Act 2011 and the Charities (Accounts and Reports) Regulations 200. It is also responsible, including through the appointment of relevant circuit stewards, officers and administrators, for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 

As far as the trustees are aware, there is no relevant audit information of which the Charity’s auditors are unaware, and the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information. 

## **AUDITORS** 

The Circuit’s auditors, Hazlewoods LLP have indicated their willingness to accept reappointment as auditors. 

ON BEHALF OF CIRCUIT MEETING 


………………………………. Revd John Hellyer - Superintendent Minister 

21[st] March 2021 

………………….………… Date 

14 



**INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF THE METHODIST CIRCUIT OF GLOUCESTERSHIRE YEAR ENDED 31 AUGUST 2020** 

## **Opinion** 

We have audited the financial statements of The Methodist Circuit of Gloucestershire (the ‘Charity’) for the year ended 31 August 2020 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the notes to the financial statements, including a summary of 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: 

- give a true and fair view of the state of the Charity’s affairs as at 31 August 2020 and of the incoming resources and application of resources, including its income and expenditure, for the year then ended; 

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, and 

- have been prepared in accordance with the requirements of the Charities Act 2011. 

## **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 Financial Reporting Council’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. 

## **Material uncertainty relating to going concern** 

In forming our opinion on the financial statements, which is not qualified, we draw your attention to note 1 to the financial statements and the disclosures made in the going concern accounting policy which describes an uncertainty relating to the going concern of the Charity.  The Charity is dependent on the churches within the circuit continuing to be able to meet their assessments, which is inherently uncertain and difficult to predict as the UK looks to ease lockdown. The financial statements do not include any adjustments that would result if the financial statements were not prepared on a going concern basis. 

Otherwise, we have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where: 

• The trustees’ use of the going concern basis of accounting in the preparation of the financial statements is not appropriate, or 

• The trustees have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charitable company’s ability to continue to adopt the going concern basis of accounting for a period of at least 12 months from the date when the financial statements are authorised for issue. 

## **Other information** 

The trustees are responsible for the other information. The other information comprises the information included in the trustees’ 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, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 

In connection with our audit of the financial statements, 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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. 

15 



**INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF THE METHODIST CIRCUIT OF GLOUCESTERSHIRE YEAR ENDED 31 AUGUST 2020** 

## **Matters on which we are required to report by exception** 

In the light of the knowledge and understanding of the Charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual report. 

We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion: 

- adequate and proper accounting records have not been kept by the Charity, or returns adequate for our audit have not been received from branches not visited by us; or 

- the financial statements are not in agreement with the accounting records and returns; or 

- certain disclosures of trustees’ remuneration specified by law are not made; or 

- we have not received all the information and explanations we require for our audit. 

## **Responsibilities of Trustees** 

As explained more fully in the trustees’ responsibilities statement set out on page 14, 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 Charityʼs 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. 

## **Auditor’s responsibilities for the audit of the financial statements** 

We have been appointed as auditors under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards of Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board’s Ethical Standards for Auditors. 

## **Scope of the audit of the financial statements** 

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. 

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. 

## **Use of our report** 

This report is made solely to the Charity’s trustees, as a body, in accordance with section 144* of the Charities Act 2011 and the regulations made under section 154 of that Act. 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’s trustees as a body, for our audit work, for this report, or for the opinions we have formed. 


……………………………. 

## **Hazlewoods LLP - Statutory Auditor** 

Date…………………… 11 May 2021 

Staverton Court Staverton Cheltenham, GL51 0UX 

16 



## **THE METHODIST CIRCUIT OF GLOUCESTERSHIRE CIRCUIT STATEMENT OF FINANCIAL ACTIVITIES YEAR ENDED 31 AUGUST 2020** 

|**Note**<br>**INCOME**<br>**Grants and donations**<br>**Charitable**<br>**activities**<br>Assessments<br>Church sale proceeds<br>**Investments**<br>Property income<br>2<br>Investment<br>income<br>3<br>**Total income**<br>**EXPENDITURE**<br>**Raising funds**<br>Property<br>4<br>**Charitable**<br>**activities**<br>Grants<br>5<br>Other<br>5<br>**Total**<br>**expenditure**<br>**Net movement in**<br>**funds**<br>**Funds:**<br>Brought forward<br>Transfers<br>between funds<br>**Carried forward**<br>14|**Unrestricted**<br>**Funds**<br>**2020**<br>**£**<br>**Restricted**<br>**Funds**<br>**2020**<br>**£**<br>**Total**<br>**2020**<br>**£**<br>**Unrestricted**<br>**Funds**<br>**2019**<br>**£**<br>**Restricted**<br>**Funds**<br>**2019**<br>**£**<br>**Total**<br>**2019**<br>**£**<br>96,443<br>-<br>96,443<br>91,993<br>-<br>91,993<br>804,825<br>-<br>804,825<br>754,395<br>-<br>754,395<br>205,224<br>-<br>205,224<br>8,606<br>-<br>8,606<br>31,209<br>-<br>31,209<br>24,869<br>-<br>24,869<br>2,674<br>203<br>2,877<br>3,933<br>317<br>4,250|
|---|---|
||**1,140,375**<br>**203**<br>**1,140,578**<br>**883,796**<br>**317**<br>**884,113**|
||(4,717)<br>-<br>(4,717)<br>(5,866)<br>-<br>(5,866)<br>(42,323)<br>-<br>(42,323)<br>(20,370)<br>-<br>(20,370)<br>(1,033,756)<br>-<br>(1,033,756)<br>(934,454)<br>(33)<br>(934,487)|
||**(1,080,796)**<br>**-**<br>**(1,080,796)**<br>**(960,690)**<br>**(33)**<br>**(960,723)**|
||**59,579**<br>**203**<br>**59,782**<br>**(76,894)**<br>**284**<br>**(76,610)**<br>4,464,336<br>36,499<br>4,500,835<br>4,534,615<br>42,830<br>4,577,445<br>5,546<br>(5,546)<br>-<br>6,615<br>(6,615)<br>-|
||**4,529,461 **<br>**31,156**<br>**4,560,617**<br>**4,464,336**<br>**36,499**<br>**4,500,835**|



The notes on pages 20 to 31 form part of these accounts. 

The statement of financial activities includes all gains and losses recognised in the year. 

17 



## **THE METHODIST CIRCUIT OF GLOUCESTERSHIRE CIRCUIT BALANCE SHEET AT 31 AUGUST 2020** 

|**Note**<br>**FIXED ASSETS**<br>Tangible assets<br>10<br>Investment properties<br>11<br>**CURRENT ASSETS**<br>Debtors<br>12<br>Cash and cash equivalents<br>**CURRENT LIABILITIES**<br>Creditors due within one year<br>13<br>**NET CURRENT ASSETS**<br>**PROVISIONS**<br>**TOTAL NET ASSETS**<br>**FUNDS**<br>Unrestricted funds<br>14<br>Restricted funds<br>14<br>**TOTAL FUNDS**|**2020**<br>**£**<br>436,877<br>128,741|**2020**<br>**£**<br>3,607,390<br>417,192<br>4,024,582<br>-<br>**4,560,617**<br>4,529,461<br>31,156<br>**4,560,617**|**2019**<br>**£**<br>406,894<br>103,648|**2019**<br>**£**<br>3,608,749<br>417,192|
|---|---|---|---|---|
|||||4,025,941<br>-|
||565,618<br>(29,583)||510,542<br>(35,648)||
||536,035||474,894||
|||||**4,500,835**|
|||||4,464,336<br>36,499|
|||||**4,500,835**|



The notes on pages 20 to 31 form part of these accounts. 

21st March 2021 The financial statements were approved by the Circuit Meeting and authorised for issue on ………………… and signed on their behalf by: 


………………………………… 

Revd John Hellyer- Superintendent Minister 

18 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE CIRCUIT CASH FLOW STATEMENT YEAR ENDED 31 AUGUST 2020** 

|**Note**<br>**CASH FLOW FROM OPERATING ACTIVITIES**<br>**Net movement in funds**<br>Adjustments for non-cash items:<br>Depreciation<br>10<br>Net interest received<br>Loss on disposal of tangible fixed assets<br>Working capital adjustments:<br>(Increase) / decrease in debtors<br>(Increase) in creditors<br>Decrease in provisions<br>**Net cash flow from operating activities**<br>**CASH FLOW FROM INVESTING ACTIVITIES**<br>Interest received<br>Purchase of tangible fixed assets<br>10<br>**Net cash flow from investing activities**<br>**Change in cash and cash equivalents in the year**<br>Cash and cash equivalents at 1 September<br>**Cash and cash equivalents at 31 August**<br>Cash balances at 31 August<br>Other cash balances held by third parties<br>Cash and cash equivalents per balance sheet at 31 August<br>The notes on pages 20 to 31 form part of these accounts.|**2020**<br>**£**<br>**59,782**<br>1,359<br>(2,877)<br>-<br>(29,983)<br>(6,065)<br>-<br>**22,216**<br>2,877<br>-<br>**2,877**<br>**25,093**<br>103,648<br>**128,741**<br>43,132<br>85,609<br>**128,741**|**2019**<br>**£**<br>**(76,610)**<br>1,844<br>(4,004)<br>95<br>49,052<br>(13,205)<br>(5,044)|
|---|---|---|
|||**(47,872)**|
|||4,004<br>(2,574)|
|||**1,430**|
|||**(46,442)**<br>150,090|
|||**103,648**|
|||71,415<br>32,233|
|||**103,648**|
||||



19 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

## **1 ACCOUNTING POLICIES** 

The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the Circuit’s financial statements. 

## **Scope of the financial statements** 

The financial statements relate to the work of the Circuit, in all aspects. 

## **Basis of preparation** 

The financial statements have been prepared under the historical cost convention in accordance with: applicable United Kingdom Accounting Standards; the Charity Commission ‘Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP FRS 102) and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011. The trust constitutes a public benefit entity as defined by FRS 102. 

The functional currency of the Circuit is pound sterling (£). 

## **Going concern** 

The trustees assess whether the use of going concern is appropriate, i.e. whether there are any material uncertainties related to events or conditions that may cast a significant doubt on the ability of the Charity to continue as a going concern.  The trustees make this assessment in respect of one year from the date of approval of the financial statements. 

In making the current year’s assessment the trustees have taken into account cash reserves and available unrestricted funds at the point of approving the financial statements, reviewed detailed forecasts that take account of the anticipated impact of the coronavirus pandemic and considered the availability and use of Government support, such as staff furlough schemes. 

There are inherent uncertainties regarding the forecasts, such as the extent of the impact of the UK recession on the Charity and the levels of future incoming resources. However, the Charity continues to receive assessments from and be supported the Circuit’s churches and the trustees have a reasonable expectation that the Charity will have adequate resources to continue in operation for at least 12 months from approval of these financial statements. 

Consequently, the trustees have concluded that it is appropriate to adopt the going concern basis in preparing the annual statements. 

## **Judgements and estimation uncertainty** 

In the application of the Charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amounts 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. 

The trustees have made judgements and estimates in respect of: the fair value of tangible assets; asset depreciation rates and the recoverability of debtor balances in preparing these financial statements. 

## **Donated goods** 

Individual donated goods of a consumable nature valued under £500 such as harvest festival produce are not shown in these financial statements. Those over this amount or of a capital nature are recorded. 

20 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

## **1 ACCOUNTING POLICIES (continued)** 

## **Income** 

Income as shown in the Statement of Financial Activities represents the net amounts from all sources. 

Income is recognised in the accounting period in which it is receivable, except in the following circumstances, when the income is deferred and included in creditors: 

- The income relates to a future accounting period; 

- A sales invoice has been raised ahead of the work being carried out and the charity is not contractually entitled to the income until the work has been done; and 

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

## **Grants and donations** 

Grants and donations are included in full in the Statement of Financial Activities other than where grants are deferred to match the income to expenditure over the life of the project. 

## **Church sale proceeds** 

As required under Methodist Standing Orders, when a chapel is sold, sale proceeds (less costs and the Connexional Property Fund levy) are generally due to the Circuit, less a deduction paid to the Connexion. Such proceeds are recognised as charitable income in the year they are received. 

## **Investment income** 

Investment income is included in the Statement of Financial Activities in the accounting period on a receivable basis. 

## **Grants to local churches** 

Grants to local churches for property schemes and other purposes are accounted for as liabilities when they receive formal approval by the trustees. 

## **Other grants payable** 

Grants awarded to other charitable bodies are accounted for as liabilities in the year in which the award is made. Multi-period grants are accounted for in full in the year awarded where there is a binding commitment to make the future payments. 

## **Designated funds** 

Where the Circuit has agreed to use its reserves to meet revenue costs or to meet future capital costs it has designated the funds within unrestricted reserves. It also makes provision in this way when it has indicated its support for a local church building scheme, but no actual liability has yet been created. 

## **Expenditure** 

Costs are defined as follows: 

Raising funds Includes those costs associated with attracting voluntary income and in applying for new funding and sponsorship. Charitable The costs of delivering the charitable activities and the costs associated with meeting the constitutional and statutory requirements of the charity and including fees for external scrutiny of the accounts and costs linked to the strategic management of the charity. 

All costs are allocated between expenditure categories of the Statement of Financial Activities on a basis designed to reflect the use of resources. Costs directly relating to a particular activity are allocated directly and other costs (support costs) are allocated on an appropriate basis to reflect the usage of resources. 

21 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

## **1 ACCOUNTING POLICIES (continued)** 

## **Leased assets** 

In respect of leases that are operating leases, the annual rentals are recognised in the Statement of Financial Activities on a straight line basis over the lease term. 

## **Taxation** 

The Charity is a registered charity and is entitled to claim annual exemption from UK corporation tax to the extent that income and gains are applicable and applied to charitable purposes only.  Income tax suffered on deeds of covenant and gift aid or investment income is reclaimed in full. 

## **Fixed assets and depreciation** 

Fixed assets are shown at cost to the Charity, with the exception of the manses and other property assets. These have been included at cost if purchased from third parties, or if received from other Circuits, at their carrying value from the donor. Assets costing less than £1,000 are written off as revenue expenditure in the year of acquisition. 

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

Manses - nil Fixtures, fittings and equipment - 25% per annum on net book value 

No depreciation is provided on freehold buildings, because of the estimated high residual value and the consequent immateriality of any depreciation charge. Freehold land is not depreciated. Fixed asset disposal proceeds are reported net of any levy payable to the CPF. 

## **Investment properties** 

Investment properties are initially recognised at cost and subsequently at fair value at the reporting date. Depreciation is not provided on investment property. 

## **Debtors** 

Trade and other debtors are recognised at the settlement amount due. Prepayments are recognised at the invoiced cost prepaid. 

## **Cash at bank and in hand** 

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

## **Creditors** 

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

## **Fund accounting** 

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the Trustees. 

Restricted funds can only be used for particular restricted purposes within the objects of the Charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. 

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. 

22 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

## **1 ACCOUNTING POLICIES (continued)** 

## **Pension contributions** 

## _Methodist Ministers Pension Fund:_ 

The Circuit is a member of the connexional pension scheme (MMPS) which covers presbyters and deacons of the Methodist Church. The contribution rates are set each year by the Methodist Conference. The MMPS is a multi-employer scheme, and in accordance with the guidance issued by the Charity Commission, the Circuit accounts for those contributions as if it were a defined contribution scheme. It has done so because it is unable to identify its share of the underlying assets and liabilities on a consistent and reasonable basis. Contributions are charged to the Statement of Financial Activity in the period in which they are payable. 

## _Circuit Pension Scheme:_ 

The Circuit contributes to a defined contribution scheme for its lay staff and makes employer contributions of 6% of salary. 

## **Provisions** 

Provisions are recognised when the Circuit has an obligation at the reporting date as a result of a past event, it is probable that the Circuit will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation. 

## **Financial instruments** 

Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as financial assets or financial liabilities.  All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. 

Assets, other than those measured at fair value, are assessed for indicators of impairment at each balance sheet date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss as described below.  Where indicators exist for a decrease in impairment loss, and the decrease can be related objectively to an event occurring after the impairment was recognised, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired financial asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised. 

## **2 PROPERTY INCOME** 

|Rent received<br>**3      INVESTMENT INCOME**<br>Bank interest received|**Unrestricted**<br>**£**<br>31,209<br>**Unrestricted**<br>**£**<br>2,674|**Restricted**<br>**£**<br>-<br>**Restricted**<br>**£**<br>203|**Total**<br>**2020**<br>**£**<br>**Total**<br>**2019**<br>**£**<br>31,209<br>24,869<br>**Total**<br>**2020**<br>**£**<br>**Total**<br>**2019**<br>**£**<br>2,877<br>4,250|
|---|---|---|---|



23 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

|**4**|**COST OF RAISING FUNDS**|||
|---|---|---|---|
|||**2020**|**2019**|
|||**£**|**£**|
||Property costs|4,717|5,866|



## **5 CHARITABLE EXPENDITURE** 

|Stipends, salaries and expenses<br>Manse costs<br>Other grants<br>District assessments<br>District advance fund levy<br>Other costs<br>Depreciation<br>Audit, accountancy and other fees<br>Office, communications and other<br>costs<br>Donations<br>**Total 2020**<br>**Total 2019**|**Grants**<br>**£**<br>-<br>-<br>42,323<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>42,323<br>20,370|**Other**<br>**£**<br>587,648<br>24,763<br>-<br>163,362<br>4,250<br>180,663<br>1,359<br>25,738<br>42,748<br>3,225<br>1,033,756<br>934,487|**Total**<br>**2020**<br>**£**<br>587,648<br>24,763<br>42,323<br>163,362<br>4,250<br>180,663<br>1,359<br>25,738<br>42,748<br>3,225<br>1,076,079<br>954,857|**Total**<br>**2019**<br>**£**<br>578,551<br>19,574<br>20,370<br>158,663<br>11,982<br>107,217<br>1,844<br>9,610<br>47,046<br>-|
|---|---|---|---|---|
|||||954,857|
||||||



All the support costs incurred by the Charity are included in the above note and have been allocated to charitable activities as other activities are incidental to the running of the Charity. 

## **6 GRANT MAKING ACTIVITIES** 

During the year £42,323 of grants were made to institutions. Other than to assist in external training, no grants were made to individuals. Grants made in in the year to 31 August 2020 are analysed below. 

|Assessment support<br>Church outreach<br>Other|**2020**<br>**£**<br>11,748<br>12,557<br>18,018<br>42,323|**2019**<br>**£**<br>8,822<br>8,042<br>3,506|
|---|---|---|
|||20,370|



Support costs associated with grant making activities are not separable from the core activities of the Circuit and are not disclosed on this basis. 

24 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

## **7 STAFF COSTS** 

|**STAFF COSTS**|||
|---|---|---|
|Stipends and salaries<br>Pension contributions – Methodist Ministers Scheme<br>Pension contributions – Other<br>Social security costs|**2020**<br>**£**<br>471,277<br>78,874<br>5,306<br>32,191<br>587,648|**2019**<br>**£**<br>465,784<br>76,843<br>5,411<br>30,513|
|||578,551|



No employee earned more than £60,000 per annum. 

The average number of employees expressed as full time equivalents was as follows: 

|Ordained staff<br>Lay workers<br>Office staff|**Number**<br>**2020**<br>13<br>4<br>1<br>18|**Number**<br>**2019**<br>13<br>4<br>1|
|---|---|---|
|||18|



These figures do not include lay church maintenance workers, who are processed through the Circuit Lay Payroll system. 

## **8 TRUSTEES REMUNERATION AND TRUSTEES EXPENSES** 

During the year expenses were reimbursed to 34 trustees totalling £21,832 (2019: £31,299) in respect of travelling expenses and £15,942 (2019: £11,146) in respect of other Circuit costs.  All expenses were reimbursed to trustees who are salaried ministers’ or lay trustees and were incurred in carrying out their roles and duties on behalf of the Circuit. 

Information on remuneration paid to Trustees, who are also considered to be key management personnel by the Circuit is included in Note 20. 

## **9         NET MOVEMENT IN FUNDS** 

|This is stated after charging:<br>Auditors remuneration - Audit of the annual accounts<br>Depreciation of tangible fixed assets<br>Operating rentals – Circuit office rent|**2020**<br>**£**<br>**2019**<br>**£**<br>5,500<br>5,250<br>1,359<br>1,844<br>3,700<br>3,700|
|---|---|



25 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

## **10 TANGIBLE ASSETS** 

|**Cost**<br>As at 1 September 2019<br>Additions<br>Disposals<br>As at 31 August 2020<br>**Depreciation**<br>As at 1 September 2019<br>Charge for the year<br>Eliminated on disposals<br>As at 31 August 2020<br>**Net Book Value**<br>As at 31 August 2020<br>As at 1 September 2019|**Manses**<br>**£**<br>3,603,315<br>-<br>-<br>3,603,315<br>-<br>-<br>-<br>-<br>3,603,315<br>3,603,315|**Fixtures,**<br>**fittings and**<br>**equipment**<br>**£**<br>13,207<br>-<br>-<br>13,207<br>7,773<br>1,359<br>-<br>9,132<br>4,075<br>5,434|**Total**<br>**£**<br>3,616,522<br>-<br>-|
|---|---|---|---|
||||3,616,522|
||||7,773<br>1,359<br>-|
||||9,132|
||||3,607,390|
||||3,608,749|



|**11**<br>**INVESTMENT PROPERTIES**<br>**Fair Value**<br>As at 1 September 2019 and at 31 August 2020|**Land and**<br>**buildings**<br>**£**<br>417,192|
|---|---|



The trustees determine the fair value of investment properties to be as shown in the financial statements. The Circuit has not used an independent professionally qualified valuer to assist with determination of the investment value. Should investment properties be realised, the Circuit will owe levies to the TMCP before receipt of sale proceeds is obtained. 

## **12 DEBTORS** 

|Other debtors and prepayments<br>Central Finance Board and Trustees for<br>Methodist Church property deposits|**2020**<br>**£**<br>78,282<br>358,595<br>436,877|**2019**<br>**£**<br>111,769<br>295,125|
|---|---|---|
|||406,894|



Included within other debtors and prepayments is £Nil (2019 - £17,287) which is due after one year. 

## **13 CREDITORS DUE WITHIN ONE YEAR** 

|Purchase ledger<br>Other creditors and accruals|**2020**<br>**£**<br>24,083<br>5,500<br>29,583|**2019**<br>**£**<br>28,892<br>6,756<br>35,648|
|---|---|---|



Included within other creditors and accruals is deferred income of £Nil (2019 - £nil). 

26 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

**14 ANALYSIS OF CHARITABLE FUNDS** 

|**Current year:**<br>**Unrestricted funds**<br>Property<br>Unrestricted property funds<br>MTF<br>General<br>Unrestricted other funds<br>Total non-designated<br>**Designated funds**<br>Pioneering Ministry<br>Mission Bursary<br>Manse Maintenance<br>Minister Relocation<br>Other<br>CFB committed funds<br>Assessment Support<br>Stipend Fund<br>**Total unrestricted**<br>**Restricted funds**<br>CFB – The Relief Fund<br>TMCP - Deakin Trust<br>TMCP - Marshall Trust<br>TMCP - Muriel Brooks<br>Pamela Selby<br>Benevolent Fund<br>TMCP - Kemerton<br>Graveyard<br>TMCP - Manse<br>Maintenance<br>TMCP - A W Maggs<br>**Total restricted**<br>**Total funds**|**Balance at**<br>**1 September**<br>**2019**<br>**£**<br>4,025,941<br>4,025,941<br>135,002<br>153,622<br>288,624<br>4,314,565<br>-<br>11,197<br>4,050<br>53<br>-<br>112,352<br>16,133<br>5,986<br>149,771<br>4,464,336<br>12,172<br>799<br>232<br>304<br>8,779<br>783<br>7,674<br>4,637<br>1,119<br>36,499<br>4,500,835|**Income**<br>**£**<br>-<br>-<br>134,898<br>1,004,519<br>1,139,417<br>1,139,417<br>-<br>40<br>18<br>-<br>191<br>617<br>66<br>26<br>958<br>1,140,375<br>79<br>-<br>-<br>4<br>39<br>4<br>44<br>31<br>2<br>203<br>1,140,578|**Expenditure**<br>**£**<br>(1,359)<br>(1,359)<br>(4,793)<br>(1,074,453)<br>(1,079,246)<br>(1,080,605)<br>-<br>-<br>-<br>-<br>(191)<br>-<br>-<br>-<br>(191)<br>(1,080,796)<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>(1,080,796)|**Gains,**<br>**losses and**<br>**transfers**<br>**£**<br>-<br>-<br>(68,945)<br>73,334<br>4,389<br>4,389<br>2,500<br>(2,500)<br>-<br>-<br>-<br>6,945<br>(5,788)<br>-<br>1,157<br>5,546<br>(3,200)<br>-<br>-<br>-<br>-<br>-<br>(2,346)<br>-<br>-<br>(5,546)<br>-|**Balance at**<br>**31 August**<br>**2020**<br>**£**<br>4,024,582|
|---|---|---|---|---|---|
||||||4,024,582|
||||||196,162<br>157,022|
||||||353,184|
|||||||
||||||4,377,766|
||||||2,500<br>8,737<br>4,068<br>53<br>-<br>119,914<br>10,411<br>6,012|
||||||151,695|
|||||||
||||||4,529,461|
||||||9,051<br>799<br>232<br>308<br>8,818<br>787<br>5,372<br>4,668<br>1,121|
||||||31,156|
|||||||
||||||4,560,617|



27 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

**14 ANALYSIS OF CHARITABLE FUNDS (continued)** 

|**Prior year:**<br>**Unrestricted**<br>**Designated**<br>**Total unrestricted**<br>**Total restricted**<br>**Total funds**|**Balance at**<br>**1 September**<br>**2018**<br>**£**<br>4,434,760<br>99,855<br>4,534,615<br>42,830<br>4,577,445|**Income**<br>**£**<br>883,279<br>517<br>883,796<br>317<br>884,113|**Expenditure**<br>**£**<br>(960,690)<br>-<br>(960,690)<br>(33)<br>(960,723)|**Gains,**<br>**losses and**<br>**transfers**<br>**£**<br>(42,784)<br>49,399<br>6,615<br>(6,615)<br>-|**Balance at**<br>**31 August**<br>**2019**<br>**£**<br>4,314,565<br>149,771|
|---|---|---|---|---|---|
||||||4,464,336|
|||||||
||||||36,499|
|||||||
||||||4,500,835|



## **15** 

## **ANALYSIS OF NET ASSETS BETWEEN FUNDS** 

|**Circuit funds are represented by:**<br>Tangible fixed assets<br>Cash at bank and in hand<br>Unrestricted TMCP Funds<br>Restricted TMCP Funds and other net current assets|**Unrestricted**<br>**funds**<br>**£**<br>4,024,582<br>119,137<br>217,126<br>168,616<br>4,529,461|**Restricted**<br>**funds**<br>**£**<br>-<br>9,604<br>-<br>21,552<br>31,156|**Total**<br>**funds**<br>**£**<br>4,024,582<br>128,741<br>217,126<br>190,168|
|---|---|---|---|
||||4,560,617|



## **16 DESIGNATED FUNDS** 

Details of designated funds are as follows: 

Mission Bursary A bursary fund primarily for young people going to do Christian mission work overseas. Set up with funds from the sale proceeds of St Luke’s church in Gloucester. 

Assessment Support 

To assist churches who are struggling to meet the set assessments. 

Relocation To cover costs of minsters relocating to the Circuit. 

Committed Projects Fund To, mainly, cover the costs of Budget Support and missional lay employment. 

Other (under £1,000) Designated for various uses. Pioneering Ministry To support the work of the deacon at Innsworth. Manse Maintenance Surplus funds being held until required. Stipends Fund Surplus funds being held until required. 

28 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

**17 RESTRICTED FUNDS** 

Details of restricted funds are as follows: 

The Relief Fund To enable Methodist groups in the UK, as needs arise, to assist their work of supporting the relief of persons suffering or affected by disasters or major incidents by providing support and assistance to relieve their charitable needs caused by those events. Pamela Selby Bequest ‘For the benefit of the Church’s Ministry in the Forest of Dean’. 

Kemerton Graveyard Proceeds from the sale of Kemerton Church are to be used for the upkeep of the graveyard. 

Manse Maintenance For the upkeep of Circuit manses. Osbourne Balance at year end = nil.  Fund used in year for Stroud manse maintenance following change in purpose approved by the Charity Commission 

Other (under £1,500) Various specific restrictions on usage. 

## **18 CAPITAL COMMITMENTS** 

The Charity had no capital commitments at the year end. 

## **19 OPERATING LEASES – LESSOR** 

The total of future minimum lease receipts is as follows: 

|Expiry date:<br>Within 1 year<br>Between 2 and 5 years<br>Over 5 years|**2020**<br>**£**<br>8,580<br>-<br>-<br>8,580|**2019**<br>**£**<br>-<br>-<br>-|
|---|---|---|
|||-|



## **OPERATING LEASES – LESSEE** 

The total of future minimum lease payments is as follows: 

|Expiry date:<br>Within 1 year<br>Between 2 and 5 years<br>Over 5 years|**2020**<br>**£**<br>3,700<br>7,092<br>-<br>10,792|**2019**<br>**£**<br>3,700<br>7,092<br>-|
|---|---|---|
|||14,492|



29 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

**20 RELATED PARTY TRANSACTIONS** 

## **Ministers** 

Stipends and allowances for presbyters and deacons (collectively ministers) are set annually by the Methodist Conference, and the Circuit is responsible for meeting those costs for all ministers appointed by the Conference to the Circuit. 

The following ministers received the basic stipend (£24,852, or pro rata where applicable): 

Rev’d John Hellyer (Superintendent) Rev’d Dr Simon Topping (Deputy Superintendent) Rev’d Andrew Biggs Rev’d Naomi Cooke Rev’d Denise Hargreaves Rev’d Michelle Ireland Rev’d John Kime (Part-Time 0.5 FTE) Rev’d Rachel Leather Rev’d Dr John McNelll Deacon Sue Peat Rev’d Noel Sharp (Part-Time 0.33 FTE) Rev’d Phil Summers Rev’d Jayne Webb 

Rev’d Stuart Radford (Part-Time 0.5 FTE – but costs fully reimbursed by Nailsworth LEP) Rev’d Jayne Taylor (An ordained minister in The United Reformed Church, but appointed to and funded by the Circuit. Salary in accordance within URC pay scales) 

Minister appointments with a part-time ‘no stipend’ based appointment. Both are Supernumerary Ministers. 

Rev’d Martin Turner Cheltenham (Whaddon) LEP Rev’d David King Newent St Mary’s LEP (From May 2018) 

Apart from Rev’ds Kime and Sharp, all were provided with living accommodation as required by the Methodist Church’s Standing Orders. In addition to the basic stipend, the Superintendent and Deputy Superintendent were each paid the Methodist Conference standard Superintendent’s allowance £2,485, or pro rata where applicable). 

Other ministers who are resident in the Circuit, for the purposes of the Methodist stations, but not in Circuit appointments or without appointment may also be members of the Circuit Assembly if they notify the Superintendent, but do not receive payment or accommodation from the Circuit, except for preaching fees and related expenses. 

## **Local preachers** 

Of the Local Preachers’ representatives who are members of the Circuit Assembly, only travel and other expenses related to fulfilling their preaching appointments are paid. 

30 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

**20 RELATED PARTY TRANSACTIONS (continued)** 

## **Lay employees** 

The following are employees of the Circuit and are in receipt of salaries for the work they undertake in the capacities indicated. 

**Administrators** Louise Hebbron Circuit Administrator (Administration) (24 hrs / wk.) Michelle Warren Circuit Administrator (Finance) (20 hrs / wk.) **Church Based Workers** Julie Biggs ++ Community Outreach Worker – Lonsdale Road, Gloucester (20hrs / wk.) Linda Bone ** Part time Activity Leader - Tetbury (3 hrs / wk.) Clair Prosser ** Families Outreach Worker –Tewkesbury (20hrs /wk.) Rachel Simpson ++ Hospitality & Pastoral Care Worker – Cheltenham Bethesda (24 hrs / wk.) Charlie Trykush  ++ Families Outreach Worker - Churchdown (20hrs/wk.) Charlie Trykush ** Part time Activity Leader - Cirencester (3 hrs / wk.) Anton Wynn ++ Mission & Outreach Project Worker (FT 37.5 hrs / wk.) from Jun’18 Roz Wisniewski Youth & Families Worker – Eastington (20hrs/wk.)  from Feb’20 Richenda Leigh Chaplain – Employed by Hartpury University, 3-way grant funded, 

## Note 1: 

Lay employee marked ‘++’ – salaries were met by the church, with part funding granted from the Circuit and other sources. 

Lay employee marked ‘**’ – salaries were met fully by the local church. 

## Note 2: 

To ensure correct payroll\payment procedures, a number of other people used by individual churches for caretakers\maintenance etc.. are processed through the Circuit payroll system. The Circuit is fully reimbursed by each church for the salary costs. 

31 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

## **APPENDIX 1: LIST OF TRUSTEES 2019/20** 

Note: Some Trustees are Trustees in more than one capacity, but only one vote per person is permitted. 

## **Ministers:** 

Andrew Biggs Peter Clarkson Naomi Cooke Denise Hargreaves John Hellyer* Michelle Ireland* John Kime David King Rachel Leather John McNeill Sue Peat Stuart Radford Noel Sharp Phil Summers Jayne Taylor Simon Topping* Martin Turner* Jayne Webb* **Circuit Executive:** Moira Anderson Richard Bretherton (to May ‘20) Russell Buley Brian Cook Andy Rickell 

(Plus asterisked ministers in the previous list who were representatives to, or who had particular responsibilities on, the Circuit Executive). 

Additional trustees were (1) other circuit officers, District Synod representatives, and a lay worker whom the Assembly appointed as trustees on an ex officio basis, or because they were circuit officers who took up the option of being a trustee and member of the Assembly; (2) Supernumerary ministers or ministers in other appointments within the Circuit who took up the option of being a trustee and member of the Assembly; (3) Church elected representatives; and (4) Local Preacher elected representatives. They are as follows: 

## **(1) Other Appointed Circuit Officers or Representatives who are Trustees (other than Trustees also appointed in another capacity):** 

John Bailey David Bennett Bernie Brewster Peter Gardner Sally Hall Celia Kidd Graham Marsh Stuart Radford **Circuit elected representatives to the District Synod** Brian Cook Russell Buley Mike Haines Liz Ledger Jackie Morris Keith Long Malcolm Stevens **Lay Worker whom the Assembly appointed to be a member** Julie Biggs **(2) Supernumerary Ministers who are Trustees (other than in another role):** Richard Atkins Diane Daymond Vernon Godden Robbie Riddell 

## **(2) Supernumerary Ministers who are Trustees (other than in another role):** 

32 



**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

## **APPENDIX 1: LIST OF TRUSTEES 2019/20 (continued)** 

## **(3) Church Elected Representatives (up to 3 elected representatives are allowed per church):** 

(# indicates they served for part of the year) 

|Abbeydale|Malcolm Brader|Peter Staite||
|---|---|---|---|
|Amberley|Margaret Keck|||
|Apperley|Peter Stych|||
|Aylburton|Liz Day|Gerald Newcombe|Julia Newcombe|
|Bailey Lane End|Roy Milnes|Jim Morgan|Nigel Stewart#|
|Bishops Cleeve|Marie Chattell|Marie Lever|Ruth Whiting|
|Bream|Helen Clements|Rebecca Morgan||
|Brimscombe|Jenny Blockley|Sarah Elliott||
|Cam|John Jewell|Alastair MacLeod||
|Chalford Hill|Tony Gittings|Stuart Hobbs||
|Cheltenham - Bethesda|Moira Anderson|Elaine Bailey|Keith Norman|
|Cheltenham - St Marks|Matthew Courtney|Helen Fryers#|Ann Varley|
|Cheltenham - Whaddon|Biddy Turner|||
|Churchdown|George Govan|Eric Lambert||
|Cinderford|Philip Hyne|||
|Cirencester|Jane Bennett|||
|Clements End|Angela Allcock|Arthur Haines||
|Coalway|Fred Burrough|David Norman|Enid Norman|
|Drybrook|Cynthia Cole|Janet Phelps|John Rogers#|
|Dursley|Sally Hall|Meriel Hellen|Christine Wetton|
|Eastington|Ken Burgin|Rebecca Burgin||
|Fairford|John Reynolds|Christine Watson||
|Gloucester - Barton Street|Eric John|Harold Mumford||
|Gloucester - Lonsdale Road|Mike Haines|Peter Hillier|Jill Tucker|
|Gloucester - St. John's|Paul Fugler|John Peacock#|Malcolm Stevens|
|Hartpury|David Ledger|Liz Ledger||
|Hucclecote|Richard Clarke|Kay Jenkins|John Rainbow|
|Lydney|Pauline Cook#|||
|Nailsworth|Chris Law|||
|Newent|Susan Cook|Fred Passant|John Rogers|
|Pillowell|Derrick Dobbs|Malvina Dobbs||
|Quedgeley|Ellaine Cameron|Kay Riddell||
|Randwick|Stuart Gregory|Isabel Stanley||
|South Cerney|Joanne Oldridge|||
|Stonehouse|Sue Burnham|Ginny Young|Alex Walmsley|
|Stroud|Pete Watt|Mary Wilkinson||
|Tetbury|Sue Cook|Barbara Woodcraf||
|Tewkesbury|Jean Davies|Lin Sallis|Patricia Turner|
|Winchcombe|Richard Bretherton|Geoff Onions|Trevor Upton|
|Woolaston|Liz Lander|Ashley Lane#||
|Wotton – under - Edge|Reg Clarke|Alison Jackson||



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**THE METHODIST CIRCUIT OF GLOUCESTERSHIRE NOTES TO THE ACCOUNTS YEAR ENDED 31 AUGUST 2020** 

## **APPENDIX 1: LIST OF TRUSTEES 2019/20 (continued)** 

**(4) Local Preacher elected Representatives (up to 10 nominees are allowed) (other than Trustees also appointed in another capacity)** : 

|Peter Allsopp|John Bell|Peter Bennett|
|---|---|---|
|Karen Burridge|Adele Garner|Neil Grecian|
|Margaret Marshall|Ann Pearce||



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