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← The Parochial Church Council Of The Ecclesiastical Parish Of Holy Trinity, Hinckley

2023-12-31-accounts

Annual Report and Financial Statements of the PCC

Year ended 31[st] December 2023

Contents

Report of the Independent Examiner

Registered charity number 1136428

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1. Background: Holy Trinity, Hinckley

Holy Trinity is an Anglican evangelical church. We are conservative in theology, and aim to be open in style (see below).

The church was founded in 1838 and moved to its present location in 1910. It has a longstanding evangelical tradition. In 1934 St John’s Church was planted out of Holy Trinity, and over the years it has grown to be a lively and viable church in its own right. In 1988 the parish was constituted as a Team Ministry made up of the two churches. The team was dissolved and in 2010 the two churches were established as independent parishes. Both churches, however, continue to encourage each other in our areas of mission and ministry.

In early 2009 we planted a new work, now called Trinity Community Church (TCC), which became fully independent in 2013.

Since September 2013 Revd Simon Wearn has been our Rector.

Location

Hinckley & Burbage has a population of around 50,000. The parish is on the western side of the town.

Historically, Hinckley was noted as a centre of the hosiery industry, but almost all of that has now died out. There are many ‘old Hinckley’ people in the parish, and it is common to find three generations of the same family living close by each other. In addition, because of Hinckley’s excellent road and rail links, it also houses a large number of commuters who work in cities in the Midlands.

We have a great desire to see many people in our town come to saving faith in Christ, and to be rooted and transformed in him.

Church family

We have described ourselves above as conservative evangelical in theology and open in style. This reflects the fact that members of the church family vary widely in their church background. Some are traditionally Anglican, others were converted at Holy Trinity, some have charismatic/Pentecostal roots and still others have a ‘strict’ Baptist background. We aim to foster an ethos in which different ‘styles’ of evangelicalism can unite around such core convictions as the gospel of salvation, the authority of Scripture, a positive churchfamily life, and the urgent need for evangelism.

Our agreed mission statement is “Growing in Christ together - making him better known”.

We have established five Values to govern our church life. These are:

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Staff

The staff at Holy Trinity currently consists of the Rector, a part-time families and outreach worker, a part-time Administrator and a part-time cleaner.

2. Objectives

This section explains the framework under which the PCC has operated during the year.

The primary object of the PCC is the promotion of the Gospel of our Lord Jesus Christ according to the historic doctrines and practices of the Anglican Communion. The PCC (Powers) Measure 1956 states the PCC ‘is to co-operate with the minister in promoting in the parish the whole mission of the Church, pastoral, evangelistic, social and ecumenical’.

When planning our activities as a church, the Rector and the PCC have considered the Charity Commission’s guidance on public benefit and, in particular, the specific guidance on charities for the advancement of religion.

In their role as trustees the members of the PCC also have responsibility for the assets and maintenance of the church buildings on Trinity Vicarage Road, Hinckley.

Relationships with other Churches

Holy Trinity enjoys good relationships with other likeminded churches - in particular, Trinity Community Church, St John’s, Hope Community Church and St. John the Baptist Church in Enderby. We are also involved in the work of the Midlands Gospel Partnership. Through Diocesan and Deanery structures, we maintain links with other Anglican churches in the Diocese of Leicester and the Deanery of Sparkenhoe West.

3. Review of the Year

This section of the report summarises the normal main activities of the church.

Regular activities

The church runs numerous activities during the week, in particular:

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Church attendance

Fellowship is important to us, so we gather regularly for shared meals – in particular on Maundy Thursday (before Easter), at our Annual Meeting (APCM), a summer Barbecue, and at Harvest.

Special activities

The church runs a number of events/courses, including:

Pastoral Care and Home Visiting

The church operates as a family, where everyone has a part to play in supporting those who are in need – for example providing meals for those who are sick, or have a new baby and practical help for those for whom mobility is an issue. In addition, there are a number of the church family, recognised as having a gift in this area, who have a particular responsibility for pastoral care of others.

Community involvement

Being conscious of the practical needs of many in the area, we are proud to support Hinckley Area Foodbank .

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The Hinckley Area Foodbank facility was set up by Hope Community Church in 2012. It is supported by local churches, some of which are also distribution points.

The Foodbank is now run by Hinckley Christian Community Action , a well organised, properly audited scheme supported by the Trussell Trust. The food donated to the Bank is distributed in exchange for food vouchers, which are issued after careful vetting by frontline care professionals such as doctors, health visitors, social workers, Citizens Advice Bureau, Christians Against Poverty, police and the council.

Hinckley Area Foodbank distribute more than 2½ tons of food per month – supporting some 7,177 families during the year.

An increased number of our church family became actively involved in Foodbank during the pandemic, and we have been involved in the Make Lunch initiative to provide hot meals during school holidays to those in food poverty.

We run a free drinks stall at the Christmas Lights-On in the town centre as a means of serving the people of Hinckley and promoting the Gospel.

In August we have been holding a community event Party in the Park , in our local park, on a Sunday afternoon. It was well attended and much appreciated.

Prison Ministry – a small team have begun to make prison visits and the whole church has supported the ‘ Angel Tree Project ’ which buys and wraps gifts for children of prisoners who may not receive a gift otherwise. In 2022 we supplied gifts for 18 children, which rose to 118 in 2023!

Trinity Centre

The Trinity Centre (church hall) is an important aspect of our involvement in the community. It is rented out to numerous local and community groups including Achieve with Us (Potens Limited, a group for adults with special needs), Weight Watchers , St John Ambulance , a Karate club, Alcoholics Anonymous and Trinity Players (an amateur dramatics group).

First Hinckley Scouts

The local Scout group have met in the Centre for many years and enjoy an annual Carol service and end of year celebration. In December 2023 there were 104 Scouts, leaders and parents in attendance.

Deanery Synod

The Rector and two members of the PCC sit on the Deanery Synod. This provides the PCC with an important link between the parish and the wider structures of the church.

Further details can be found on our website: www.holytrinityhinckley.org

4. Our Vision

Looking forwards and outwards we want to be a church that is (1) growing in our faith, (2) serving one another and our community and (3) sharing the Gospel and grace of Jesus both

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locally and globally. These three aims come out of our vision review in 2017, with the focus of ‘Building a Firm Foundation for our Mission and Ministry’. This provides direction to our church life, and our hopes to reach out further into our community.

Mission Partners

As a church we support two mission partners across the world who share the Christian Gospel and serve their communities. In addition we support three agencies, Mission Aviation Fellowship , The Bible Society and Foodbank.

5. Financial Review 2023

We’re thankful to God for providing for our ministry at Holy Trinity through a tough year, with high inflation impacting everyone's finances. We praise God and thanked the church family for their generosity which enabled us to continue to fund our ministry and support our mission partners.

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Restricted & Designated Funds

At the end of 2023 we have £16,120 set aside in the Children’s Worker Restricted Fund. A small fund is being held for discretionary relief to help those in financial need (£1,096). The Fabric Fund held £1,307 – held for the final invoice for the Roof Repairs.

Bank Balances and Reserves

Bank balances held by the church at 31[st] December 2023 were £36,071 (including the Funds listed above). As a registered charity, the PCC has a legal duty to set a reserves policy (money we should aim to keep in the bank to cover fluctuations in income and expenditure). The target figure we have set is worked out as two months’ expenditure. In order to complete the Roof Repair Project, the PCC agreed to reduce this on a temporary basis.

Fixed Assets

The Trinity Centre is valued, for insurance purposes, at £575,500 and this is shown as an asset in the Accounts. The church building is maintained, but not owned, by the church.

World Mission Giving

We made annual gifts (totalling some 10% of our giving-income), of £9,700 to our mission partners Ron and Betsy Manila, Sena and Jane Ounate-Lare (Crosslinks), Andrew and Helen Curry (SIM), Mission Aviation Fellowship, the Bible Society, Foodbank and in support of Mission Trips from our Church.

Registered Charity

Holy Trinity is a registered charity and we therefore file an Annual Report and Accounts with the Charity Commission. The Accounts have been independently examined by David Preston FCCA of Geoff Cowley & Co Ltd.

Trustees and Financial Management

PCC regularly reviews management accounts, including financial forecasts when necessary, which enables good financial control and long-term planning. The PCC has produced a Budget for 2024 against which we will monitor income and expenditure on a regular basis and which should, God willing, keep us close to our revised target level of reserves.

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6. Structure, Governance and Management

Holy Trinity Hinckley is part of the Diocese of Leicester within the Church of England.

The PCC is a body corporate established by the Church of England. It operates under the PCC Powers Measure 1956. Following changes to the law, the PCC registered as a charity with the Charity Commission on 17 June 2010. From this date the members of the PCC became charity trustees.

Members of the PCC are elected by the Annual Parochial Church Meeting (APCM), co-opted to the PCC or are ex-officio in accordance with the Church Representation Rules 2006. At Holy Trinity the membership of the PCC consists of the Rector, the Churchwardens, Deanery Synod representatives, members elected by those in the congregation who are on the Electoral Role of the church and those co-opted to the PCC. Everyone who attends our services regularly is encouraged to register on the Electoral Roll.

The members of the PCC are responsible for making decisions on all matters of general concern and importance to the parish – including deciding how the funds of the PCC are to be spent.

The PCC recognises that there may be conflicts of interest arising in discussion at PCC meetings – for example in respect of salary or expense discussions – and staff members may be asked to leave the room in such circumstances.

The full PCC met regularly during the year. Given its wide responsibilities the PCC has a subcommittee, for fabric matters, to spread the workload and report back to it.

Standing Committee is the only committee required by law. It has the power to transact the business of the PCC between its meetings, subject to any directions given by the PCC.

Administrative Information

Members of the PCC who have served since the start of the financial year until the date of approval of these Financial Statements were:

Ex officio members of PCC:

Rector Simon Wearn Churchwarden Simon Marshall Assistant Churchwarden Tony Davies (co-opted) Deanery Synod Reps Gill Priestley Tracey Manns (from May 2023)

Elected members of PCC and Trustees:

Louise Cartwright (until May 2023) Alison Davies

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Maxine Pepper Emma Prokipczuk (until May 2023) Les Rue Phil Thompson Wayne Attenborough (from May 2023)

Rachel Marshall (from May 2023, also PCC secretary)

Incumbent

Revd Simon Wearn Holy Trinity Vicarage 1 Cleveland Road Hinckley, Leics, LE10 0AJ

Bankers

Independent Examiner

CAF Bank 25 Kings Hill Avenue Kings Hill, West Malling Kent ME19 4JQ

David Preston FCCA Geoff Cowley & Co Ltd, Willow Park, Upton Lane, Stoke Golding, Nuneaton, CV13 6EU

Barclays Bank 5 Market Place Hinckley, Leics, LE10 1NH

7. Policies

Training

Since the PCC has ultimate responsibility for a wide range of issues affecting the church, including compliance with health & safety, disability discrimination legislation and safeguarding children and vulnerable adults, it is important that the PCC adopts appropriate training procedures.

The policies and procedures adopted for the induction and training of PCC members and attending any relevant training courses such as those arranged by the Diocese. When this occurs, the PCC representative will report back to the PCC as a body and disseminate any reading materials.

Risks

The PCC identifies the major risks to which it considers it is exposed and systems or procedures are established to manage those risks. The Safeguarding Policies for Children and Vulnerable Adults were reviewed and updated as necessary in 2023 and are reviewed each year. Appropriate insurance for buildings and both public and employee liability is in place and is reviewed each year on renewal.

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Volunteers

The whole church is grateful to every member who works hard to make the church family the vibrant and loving community that it is. Alongside the paid staff at Holy Trinity, many members of the congregation are involved in voluntary work in all areas of the church’s ministry, for example:

in addition to active membership and leadership of home groups and clusters. It is not practical to value in monetary terms the contribution volunteers make to the life of the church.

Reserves policy

Reserves are defined as that part of the PCC’s income funds that are freely available. These are shown by the Unrestricted funds in the Balance Sheet. This definition of reserves therefore excludes any restricted income funds, of which Holy Trinity has two [see Financial Review, above].

The PCC considers that £24,000 is an appropriate target level of free reserves sufficient to cover short term expenditure requirements (this equates to some two months’ expenditure) to cover emergency situations that may arise.

Expenditure ‘requirements’ need to be balanced against ministry needs and the Policy is not an inflexible rule – more a guideline to a desired level. Church giving income is quite predictable - and fairly stable – but income from the church hall can be volatile. It is recognised, however, that holding significant bank balances on a permanent basis contravenes our Lord’s command to be good stewards and serves as a deterrent to church members giving generously. This policy was formally approved at the PCC meeting on 2[nd] March 2020.

Plans for future periods

In December 2023 the PCC approved an income and expenditure Budget for 2023 with total income of £139,953 and expenditure of £148,544 (with the shortfall being drawn from the Children’s Worker Fund).

8. Notes to the Accounts

Accounting Policies

The financial statements have been prepared in accordance with the Church Accounting Regulations together with applicable accounting standards and the Charities SORP. They have been prepared under the Historical Cost Convention.

Expenses paid to Members of the PCC

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During the year, other than expenses paid to clergy, no members of the PCC incurred, nor received reimbursement of, expenses.

Funds

General (unrestricted) funds represent the funds of the PCC that are not subject to any restrictions on their use and are available for the general purposes of the PCC. Funds designated for a particular purpose by the PCC are also unrestricted.

Restricted funds are those given to the church for a specific purpose and must be applied for that purpose only.

The Accounts include all transactions, assets and liabilities for which the PCC is responsible in law.

Incoming Resources

Income from collections, including planned giving receivable under Gift Aid, is recognised when received. Income tax recoverable on Gift Aid donations is recognised when the repayment is received.

Grants and legacies to the PCC are accounted for when received. Rental income from the letting of church premises is recognised when the income is received. Dividends and interest are accounted for when received.

Approximately 70% of income comes from regular giving by members of the church family (plus the associated Gift Aid) and, normally, about 27% of income is received from rental income from the Trinity Centre.

Resources Used

Grants and donations are accounted for when awarded, if that award creates a binding obligation on the PCC. The Parish Contribution is accounted for when paid.

Fixed Assets

Consecrated and beneficed property is excluded from the accounts by section 10 (2) (a) of the Charities Act 2011. No value is placed on movable church furnishings held by the Churchwardens on special trust for the PCC and which require a faculty for disposal since the PCC considers this to be inalienable property (i.e. it can’t be sold). All expenditure incurred during the year on consecrated or beneficed property buildings and movable church furnishings, whether maintenance or improvement, is written off.

Other Assets

Amounts owing to the PCC at 31 December in respect of fees, rents or other income are not shown as debtors but are recognised when received. This negates the need for any provision for amounts that may prove uncollectible. Petty cash – usually expended on items such as postage stamps and refreshments - is written off as incurred.

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Investments

It is the policy of the PCC to invest funds with the CBF Church of England Deposit Fund. Social, environmental or ethical considerations are thereby taken into account. The PCC considers that to invest in the CBF Investment Fund – where the value of the fund can fall as well as rise – would not be an acceptable risk to take.

Taxation

The PCC is exempted from tax under s.505 ICTA 1988, as a registered charity (reference 1132601).

Church Workers Pension Fund (CWPF)

Holy Trinity participates in the Pension Builder Scheme section of CWPF for lay staff. CWPF is administered by the Church of England Pensions Board, which holds the CWPF assets separately from those of the Employer and other participating employers.

CWPF has two sections:

  1. the Defined Benefits Scheme

  2. the Pension Builder Scheme, which has two subsections;

  3. a. a deferred annuity section known as Pension Builder Classic, and, b. a cash balance section known as Pension Builder 2014.

Pension Builder Scheme

Both sections of the Pension Builder Scheme are classed as defined benefit schemes.

Pension Builder Classic provides a pension, accumulated from contributions paid and converted into a deferred annuity during employment based on terms set and reviewed by the Church of England Pensions Board from time to time. Discretionary increases may also be added, depending on investment returns and other factors.

Pension Builder 2014 is a cash balance scheme that provides a lump sum which members use to provide benefits at retirement. Pension contributions are recorded in an account for each member. Discretionary bonuses may be added before retirement, depending on investment returns and other factors. The account, plus any bonuses declared is payable, unreduced, from age 65.

There is no sub-division of assets between employers in each section of the Pension Builder Scheme.

The scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102. This is because it is not possible to attribute the Pension Builder Scheme’s assets and liabilities to specific employers and means that contributions are accounted for as if the Scheme were a defined contribution scheme. The pensions costs charged to the SoFA in the year are the contributions payable (2023: £2,208, 2022: £961).

A valuation of the Pension Builder Scheme is carried out once every three years. The most recent valuation was carried out as at 31 December 2019.

For the Pension Builder Classic section, the 2019 valuation revealed a deficit of £4.8m on the ongoing assumptions used. At the most recent annual review effective 1 January 2024,

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the Board chose to grant a discretionary bonus of 6.7% to both pensions not yet in payment and pensions in payment in respect of service prior to April 1997; and a bonus on pensions in payment in respect of post April 2006 service so that the pension increase was 5% (where usually it would be calculated based on inflation up to 2.5%). This followed improvements in the funding position over 2023. There is no requirement for deficit payments at the current time.

For the Pension Builder 2014 section, the 2022 valuation revealed a surplus of £8.5m on the ongoing assumptions used. There is no requirement for deficit payments at the current time.

The next valuation is due as at 31 December 2025.

The legal structure of the scheme is such that if another employer fails, Holy Trinity could become responsible for paying a share of the failed employer’s pension liabilities.

Approved by the PCC on 3[rd] June 2024

Simon Wearn Rector

Rachel Myles Treasurer

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Independent examiner’s report to the trustees of Holy Trinity, Hinckley

I report on the accounts of the PCC for the year ended 31 December 2023.

Respective responsibilities of trustee and examiner

The charity’s trustees are responsible for the preparation of the accounts. The charity’s trustees consider that an audit is not required for this year under section 144(2) of the Charities Acts 2011 (the 2011 Act) and that an independent examination is needed

It is my responsibility to state, on the basis of procedures specified in the General Directions given by the Charity Commissioners under section 43(7)(b) of the Act, whether particular matters have come to my attention.

It is my responsibility to:

Basis of independent examiner’s report

My examination was carried out in accordance with the General Directions given by the Charity Commissioners. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a “true and fair view” and the report is limited to those matters set out in the statement below.

Independent examiner’s Statement

In connection with my examination, no matter has come to my attention:

David Preston FCCA Geoff Cowley & Co Ltd Willow Park Upton Lane Stoke Golding Nuneaton CV13 6EU

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Holy Trinity Church Sofa Separate Designated For the period from 01 January 2023 to 31 December 2023

Unrestricted Designated Restricted Total Prior year
funds funds funds funds total funds
Incoming resources
Incoming resources from donors 102,104.15 8,690.00 1,970.00 112,764.15 117,466.72
Other voluntary incoming resources 4,682.96 37,850.00 - 42,532.96 7,857.13
Income from charitable and ancillary trading 42,916.64 174.25 - 43,090.89 29,718.28
Investment Income 309.95 - - 309.95 380.14
Total income 150,013.70 46,714.25 1,970.00 198,697.95 155,422.27
Resources used
Missionary and charitable giving 11,330.34 - 2,995.73 14,326.07 10,200.75
Activities directly related to the work of the church 114,819.35 95,389.05 - 210,208.40 119,075.94
Church Management and Administration 17,482.72 - - 17,482.72 11,655.26
Total expenditure 143,632.41 95,389.05 2,995.73 242,017.19 140,931.95
Net income / (expenditure) resources before transfer 6,381.29 -48,674.80 -1,025.73 -43,319.24 14,490.32
Transfers:
Gross transfers between funds - in 69,362.91 98,206.34 1,516.70 169,085.95 -
Gross transfers between funds - out -84,841.01 -82,726.75 -1,518.19 -169,085.95 -
Other recognised gains / losses
Gains/losses on investment assets - - - - -
Gains on revaluation, fixed assets, charity's own use - - - - -
Net movement in funds -9,096.81 -33,195.21 -1,027.22 -43,319.24 14,490.32
Reconciliation of funds
Total funds brought forward 602,144.18 34,502.36 18,243.45 654,889.99 640,399.67
Total funds carried forward 593,047.37 1,307.15 17,216.23 611,570.75 654,889.99

Holy Trinity Church

Balance Sheet detailed

As at
As at
31/12/2023
31/12/2022
Fixed assets
300: Tangible Fixed Assets
Total Fixed assets
Current assets
400: CCLA Reserve Account
440: Barclays Current Account
441: CAFCash Account PCC
450: Barclays Service Fees Account
451: CafCash Account Holy Trinity Fees
460: Barclays Trinity Centre Account
461: CafCash Account Holy Trinity Church Cent
520: Prepaid Expenses
Total Current assets
Liabilities
6699: Agency collections
Total Liabilities
Net Asset surplus (deficit)
Reserves
Excess/(deficit) to date
Z01: Starting balances
Total Reserves		 575,500.00
575,500.00
575,500.00
575,500.00
337.96
25,489.60
19,639.23
977.39
16,093.56
52,923.00
-
-
-
-
-
-
-
-
-
-
36,070.75
79,389.99
-
-
-
-
611,570.75
654,889.99
-43,319.24
14,490.32
654,889.99
640,399.67
611,570.75
654,889.99

Represented by Funds

General (Unrestricted) 593,047.37 602,144.18
Designated 1,307.15 34,502.36
Restricted 17,216.23 18,243.45
Total 611,570.75 654,889.99

Independent examiner’s report to the trustees of Holy Trinity, Hinckley

I report on the accounts of the PCC for the year ended 31 December 2023.

Respective responsibilities of trustee and examiner

The charity’s trustees are responsible for the preparation of the accounts. The charity’s trustees consider that an audit is not required for this year under section 144(2) of the Charities Acts 2011 (the 2011 Act) and that an independent examination is needed

It is my responsibility to state, on the basis of procedures specified in the General Directions given by the Charity Commissioners under section 43(7)(b) of the Act, whether particular matters have come to my attention.

It is my responsibility to:

Basis of independent examiner’s report

My examination was carried out in accordance with the General Directions given by the Charity Commissioners. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a “true and fair view” and the report is limited to those matters set out in the statement below.

Independent examiner’s Statement

In connection with my examination, no matter has come to my attention:

David Preston FCCA Geoff Cowley & Co Ltd Willow Park Upton Lane Stoke Golding Nuneaton CV13 6EU

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