POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 ## POOLE BAY METHODIST CIRCUIT ACCRUALS ACCOUNTS 2021-22 For the year ended 31 August 2022 Part of the Southampton District (26/09) 1 POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **Introduction** The Poole Bay Methodist Circuit was formed on 1[st] September 2014 from the joining together of the former Bournemouth and Poole & Swanage Circuits. The Circuit originally consisted of 12 Churches located in South Dorset spanning from Swanage to Southbourne, which operated under 9 Church Trustee bodies. With the closure of Wareham Church in June 2019 the Circuit now consists of 10 active Churches (exc. St Georges). ## **Aims and Organisation** The mission of the Circuit is to encourage, facilitate, enable and resource the local Churches to be a Christian discipleship movement within their local communities and in the power of the Holy Spirit to spread God’s message of love through action and word. ## **Review of the year** ## **Income trends** Circuit income was primarily drawn from the Assessments of £316,937 paid by the Circuit Churches, which were kept the same as the previous year of £316,936. Rental income, which relates to the rental of unoccupied manses of £46,365, was £75 higher than the last year amount of £46,290. One of the manses was unoccupied for 5 months between tenancies. The total income for the Circuit for the year ended 31[st] August 2022 of £369,977 compared with last year of £368,665, an increase of £1,312 was mainly due to an increase in bank interest received due to higher interest rates. ## **Expenditure trends** Total annual stipends & salary costs of £241,264 during the period were £12,839 lower than the previous year costs of £254,103. There were 5 full time Ministers and 1 part-time Minister compared to 6 Ministers last year and the part-time pastoral assistance left in December 2021. During the year, the Circuit contributed a total of £127,844 (£121,185 previous year) to the Southampton Methodist District, District Methodist Advanced Fund and Connexion, of which a significant part is used to fund the work of the wider Methodist Church. The Circuit contributed the sum of £26,100 to the Methodist Reserve Pension Fund. ## **Sale of Fixed Assets** There were no manses sold during the period. The sale of Wareham Church has been delayed due to pending Council planning decisions on nutrient policies. The Trustees agreed the Wimborne Road manse was to be sold. 2 POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **Fund balances** As at 31[st] August 2022 the net current assets of the Circuit were £1,809,359 of which £1,456,081 were unrestricted (exc. designated funds), giving 36 months of cover for total expenditure at current expenditure levels. ## **Activities** ## **September 2021 to 31 August 2022** The connexional year started with a presentation by the ministry team on the Gather, Grow, Go initiative at the September 2021 circuit meeting. A _Circuit where Local Churches and all people are welcome to GATHER safely, be accompanied and encouraged to GROW in their Spirituality and understanding of God’s love and equipped to GO out to reveal God’s Kingdom_ . Each church considered how best to look to reach out to their local community and encourage a wider membership worshipping together. There was also a refocus on the Circuit’s intergenerational aims in the churches and a renewed look to expand the children’s ministry. The Welcome Inn Café opened at Victoria Park during mid-May 2022 which has encouraged people into the church and has seen a lot of families starting to come along. Church life has been busy with increased activities and events held by the churches. Upton’s preschool held four Daisy Chain sessions in the summer for families and children with special needs. Kinson started a new Toddler group. The Circuit Youth Group started to meet at the Spire. St Georges is now solely used by the Foodbank who help those in the community in need of their services. Faithworks Wessex continued to work out of Winton Church to support addiction and poverty for those people in Bournemouth, and Poole. As per previous years, the Circuit has been able to finance two Deacons to work with the local communities in Bournemouth and Poole. For the second year, the Circuit was not matched with a new minister which has continued to cause challenges for the ministry team. To assist them in their ministry this year a retired minister has rejoined part-time and a lay pastor has also given his time to help. To help further support the ministry team, Winton Church proposed and started the streaming of live services to the Bournemouth churches which has been positively received and is expanding to other churches in the Circuit. To assist churches as they face managing their individual finances after a couple years of restrictions and uncertainty relating to the coronavirus pandemic it was agreed the 2021-2022 church assessments would remain unchanged from the previous year. 3 POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **Plans for 2022/23** New membership classes about the Methodist Way of Life – Worship, Learning and Caring, Service and Evangelism, are to take place across churches in Bournemouth and Poole and some fellowship groups will be introduced. The Trustees continue to recognise the need to regularly review the Circuit’s structure and resources with the aim to provide future stability for the Circuit and its Churches and the need to monitor the finances of its Churches which will affect the future income of the Circuit. - Meeting in groups is vital to offer support and social contact. - Be wise with resources – people, skills, money. - Repurposing of buildings which can be difficult to maintain and not always essential for worship. - Working with others is the only way forward – Circuit, ecumenical partners, partners in mission. - Become a hybrid church using Zoom, streamed services, recorded services and face to face worship to include everyone. - Focus on the younger generation. The safeguarding training requirements of individuals will continue to be monitored on a regular basis throughout 2022/23. The Circuit Leadership team are exploring employing lay church workers to work with the ministry team. ## **Basis of preparation and legal framework** The Charity’s annual report and accounts for the year ended 31[st] August 2022 have been prepared under the Charities Act 2011 in accordance with the 2019 version of Accounting and Reporting by Charities; Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with FRS102 - the Charities SORP (FRS102). _Full name of charity: Poole Bay Methodist Circuit_ _Registration Charity Number :1136518_ _Date of registration; 22[nd] June 2010_ _Main contact address: The Circuit Office, c/o Winton Methodist Church, Heron Court Road, Bournemouth, BH9 1DE._ _The members of the Poole Bay Methodist Circuit meeting are the Charity Trustees, membership being made up of Circuit office holders, Ministers and representatives appointed by the local Churches._ 4 POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **Circuit Ministers and Officers** Active Circuit Ministers _Rev Tony Cavanagh (Superintendent)_ _Rev Roberto Viana Rev Karen James Deacon Suzie Viana Deacon Gill Judge Rev Chris Moreton_ Circuit Officers Mr Brian Tucknott Mrs Valerie Wells Mr Terry Fish Mr Keshento Burbidge Ms Naomi Shrimpton Dr Julian Tawn Mr Andrew Goodwin ## **Circuit Office Staff** Michelle Dobson, Office Administrator Louise Tidd, Finance Administrator Karen Price, Property Administrator Carol Bendinelli, Pastoral Worker (left December 2021) Investment Bankers Auditor Central Finance Board of the Methodist Church Trustees for the Methodist Church Purposes PKF Francis Clark 5 ## POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **Circuit Trustees who served during the period 1 Sept 2021 to 31 August 2022 (with start and end dates, where applicable)** **Ministers Elected Resigned** Rev Tony Cavanagh (Superintendent) 01.09.2015 Rev Roberto Viana 01.09.2015 Deacon Suzie Viana 01.09.2015 Rev Karen James 01.09.2019 Deacon Gill Judge 01.09.2020 **Circuit Stewards** Mr Brian Tucknott 01.09.2015 Mr Andrew Goodwin 12.06.2019 Dr Julian Tawn 03.12.2019 Mr Keshento Burbidge 15.09.2020 Ms Naomi Shrimpton 15.09.2020 **Circuit Safeguarding Officer** Rev Karen James 10.04.2020 **Circuit Meeting Secretary** Mrs Valerie Wells 13.03.2018 **Local Preachers Secretary** Mr Terry Fish 15.09.2020 6 ## POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 |**Circuit Church Representatives**|**Elected**|**Resigned**| |---|---|---| |**Bournemouth**||| |Mrs Lesley Fernand|17.10.2017|| |Mr Tony Fernand|01.09.2017|| |Mrs Pat Goodhall|17.10.2017|| |Mr Alan McCoy|01.09.2017|| |Mrs Ros Murray|01.09.2017|| |Mr Ian Underwood|17.10.2017|| |Mrs Anita Hazell|23.05.2019|| |Mrs Kate Greaves|03.12.2019|30.08.2020| |**Broadstone**||| |Mrs Edwina Gould|11.06.2019|| |Mrs Alison Sclater|01.04.2018|| |Mrs Joan Jackson|11.06.2019|| |Mrs Judith Hewins|01.09.2015|| |**Kinson**||| |Mr Mike Glassey|01.09.2015|| |Mrs Ann Hughes|01.09.2015|| |Mr David Pollington (deceased)|01.09.2015|26.04.2022| |**Lytchett Matravers**||| |Mr Clive Allen|08.09.2015|| |Mrs Sheilah Goddard|08.09.2015|| |Mrs Tina Smith|12.06.2018|| 7 ## POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT ## FOR THE YEAR ENDED 31[st] AUGUST 2022 |**Poole**|**Elected**|**Resigned**| |---|---|---| |Mr Peter Smith|01.09.2015|14.06.2022| |Mr John Beasley|12.04.2020|| |Ms Denise Gibbs|12.06.2018|| |Mr Richard Baker|14.06.2022|| |**Swanage**||| |Mr Robert Taylor|01.09.2016|| |Mrs Annie Fellows|22.10.2020|| |**Upton**||| |Mrs Christine Snape|01.09.2017|| |Mrs Katrin Harwood|01.09.2015|| |Mrs Sue McCormick|28.04.2016|| |Mrs Moira Thompson|14.05.2019|| |**Wool**||| |Mr Christopher Melhuish|01.09.2015|| |Mrs Eileen Osgood|01.09.2015|| |Mr Danny Plews|01.09.2015|| 8 POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **Aims and Organisation** Charity objective is to act as a Resource provider within the area around Bournemouth, Poole and Purbeck District for the Methodist Church. The purposes of the Methodist Church are and shall be deemed to have been since the Date of Union the advancement of: a) The Christian faith in accordance with the doctrinal standards and discipline of the Methodist Church; b) Any charitable purpose for the time being of any Connexional, District, Circuit, local or other organisation of the Methodist Church; c) Any charitable purpose for the time being of any society or institution subsidiary or ancillary to the Methodist Church; d) Any purpose for the time being of any charity being a charity subsidiary or ancillary to the Methodist Church. ## **Activities** The organisation and resourcing of regular public acts of worship open to members of the Church and non members alike. The teaching of Christianity through sermons, courses and small groups. The resourcing of pastoral work including visiting the sick and bereaved. Taking religious assemblies in local schools. Promotion of Christianity through the staging of events and services. The large majority of the charity’s Trustees take on their responsibility on a voluntary basis. Trustees rely heavily on members of the Circuit Churches to volunteer for specific roles, such as Circuit Stewardships and Local Preachers Trainer. ## **Public Benefit** We confirm the Trustees have had regard to the Charity Commission’s guidance on public benefit. ## **Structure, Governance and Management.** The governing document for the Circuit is the Deed of Union (1932) and Methodist Church Act (1976). Detailed governance arrangements are outlined with the Constitutional Practice and Discipline of the Methodist Church by order of the annual conference (CPD). Day to day management of the Circuit is undertaken by the Circuit Leadership team along with the Local Preachers Meeting and the Circuit Finance Group. 9 POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **Trustee Training** A range of guidance produced by Methodist Connexion to support the effective running of the Circuit, specifically the leaflet “The role of a Trustee in the Methodist Church” available to all new Circuit meeting members as induction to their roles as Trustees. All members of the Circuit Meeting are Trustees of the Poole Bay Methodist Circuit. The membership of the Circuit Meeting is prescribed in the Standing Orders of the Constitutional Practice and discipline of the Methodist Church. Under the Standing Orders all the Circuit’s Ministers and Circuit’s Stewards are ex officio members of the Circuit Meeting. The Poole Bay Methodist Circuit has further agreed that the Circuit Safeguarding Officer and Local Preacher’s secretary are also members and that if possible, each Church can provide 4 representatives, elected from those Churches. The managing Trustees must operate within the guidelines of the Methodist Church of Great Britain. The Constitutional Practice and Discipline (CPD) of the Methodist Church lays down how the Circuit should run, and the Methodist Church provides guidance on many of the policies required, such as Safeguarding, employment, recruitment etc. The remuneration for the Circuit’s Ministers is set by Methodist Conference each year. Lay employee’s remuneration is discussed by the Circuit Finance Group and a recommendation is put forward to the managing Trustees with the annual budget. The Methodist Church supports the Living Wage Foundation. ## **Related Parties** The Circuit is part of the Southampton District and is also accountable to the Methodist Conference. The following Methodist Churches are linked to the Circuit:- Broadstone, Kinson, Lytchett Matravers, Poole Town, St George’s, Swanage, Trinity, Upton, Victoria Park, Winton and Wool. The four Churches of St George’s, Trinity, Victoria Park and Winton, operate under one governance structure of the Bournemouth Methodists. Please refer to the following notes to the accounts: 17. Related Parties Transactions on page 28. ## **Risk Management** The major risks have been identified and recorded by the Circuit Office Team and have been reviewed by the Circuit’s Trustees. There is a regular annual review process undertaken and recorded. Income and Expenditure is being monitored in total and is compared with the approved annual budget to detect trends as part of the Circuit’s risk management process to avoid unforeseen calls on reserves. 10 POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **Safeguarding** Every person has a value and dignity which comes directly from the creation of male and female in God’s own image and likeness. Christians see this potential as fulfilled by God’s re-creation of us in Christ. Among other things this implies a duty to value all people as bearing the image of God and therefore to protect them from harm. Methodist Connexional practice outlines commitment to the following principles: - The care and nurture of, and respectful pastoral ministry with, all children, young people and adults - The safeguarding and protection of all children, young people and adults when they are vulnerable - The establishing of safe, caring communities which provide a loving environment where there is informed vigilance as to the dangers of abuse - We will carefully select and train all those with any responsibility within the Church, in line with Safer Recruitment principles, including the use of criminal records disclosures and registration with the relevant vetting and barring schemes - We will respond without delay to every complaint made which suggests that an adult, child or young person may have been harmed, cooperating with the police and local authority in any investigation. - We will seek to work with anyone who has suffered abuse, developing with them an appropriate ministry of informed pastoral care - We will seek to challenge any abuse of power, especially by anyone in a position of trust - We will seek to offer pastoral care and support, including supervision and referral to the proper authorities, to any member of our Church community known to have offended against a child, young person or vulnerable adult - In all these principles we will follow legislation, guidance and recognised good practice The Poole Bay Methodist Circuit is committed to ensuring the implementation of Connexional Safeguarding Policy; government legislation, guidance and safe practice in the Churches. The Poole Bay Circuit commits itself to the provision of support, advice and training for lay and ordained people that will ensure people are clear and confident about their roles and responsibilities in safeguarding and promoting the welfare of children and adults who may be vulnerable. ## **Reserves Policy** The reserves Policy for the Circuit is to hold in its General Fund a minimum sum equivalent to 6 month’s budgeted expenditure i.e. £261,160 (22/23 budget), in line with the Methodist Church of Great Britain and as recommended by the Southampton District. The Trustees consider this sufficient to meet any unforeseen time of major expenditure in the short term and for funding planned activities in the event of any inability to raise in the short term and for 11 POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 funding planned activities in the event of any inability to raise the full Circuit Assessment from Churches. The net current assets in the general fund balance at 31[st] August 2022 were £790,000 (inc. Eva D. Clark). During the period other funds also held and not included in unrestricted free reserves are: ## Property Fund A property fund of £6,867,000 has been established, equivalent to the value of the Circuit manses held within fixed assets. The manses were valued at market value as at 31[st] August 2022 (see page 25). ## Circuit Model Trust Circuit Model Trust monies are unrestricted and can be used for a variety of purposes. The Trust is held by the Trustees for the Methodist Church Purposes (TMCP) as custodian trustees. Closing Balances at 31[st] August 2022 of £666,081. ## Designated Funds Designated funds are part of the unrestricted funds which the trustees have earmarked for a particular project or use, without restricting or committing the funds legally. The designation may be cancelled by the trustees if they later decide that the charity should not proceed or continue with the project for which the funds were designated. The Circuit holds designated funds to be held to cover the costs for Education & Youth, Equipment, Mission & Outreach, Training, Ministers, Lay Employees and Manse repairs. The closing balance of designated funds as at 31[st] August 2022 was £346,721. ## Rev Robert Ferguson Trust The Rev Robert Ferguson Trust is a restricted fund. It is a legacy left to the Circuit for the support of retired Methodist Ministers. The closing balance was £2,181. ## Food Bank The Food Bank monies were donated by the Church members for the specific funding of the Food Bank that operates from our Church in Boscombe. The closing balance was £3,395. ## Benevolent The Benevolent Fund is a donation from the family of a past member to be used at the discretion of the Superintendent Minister, for those in need. The balance was £666. ## Various Studland Bequests An endowment fund bequeathed to the Circuit or it’s Churches that have since closed. The use of interest is unrestricted. The Market Value at 31[st] August 2022 was £1,702. 12 POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 ## Ford Trust An endowment fund bequeathed to the Circuit or it’s Churches that have since closed. The use of the interest is unrestricted. The Market Value at 31[st] August 2022 was £840. ## Wareham Bequest A fixed interest fund bequeathed to Wareham Church and transferred to the Circuit on closure of the Church. The use of the fund is unrestricted and both capital and interest can be withdrawn. The Market Value at 31[st] August 2022 was £238. The Circuit Model Trust and designated funds are part of the unrestricted funds which the Trustees retain for circuit activities, without restricting and committing the funds legally. ## **Trustee Responsibilities** The law applicable to charities in England and Wales required the Trustees of Poole Bay Methodist to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing these financial statements, the Trustees are required to: - Select suitable accounting policies and then apply them consistently; - Observe the methods and principles in the Charities SORP 2019 (FRS102); - Make judgements and estimates that are reasonable and prudent; - State whether applicable UK 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 in operation. The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Standing Orders of the Methodist Church and the Charities Act 2011. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the Trustees are aware: - There is no relevant audit information of which the charity's auditor is 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 auditor is aware of that information. The charity seeks to comply with the requirements of UK legislation, the Charity Commission and the Constitutional Practice and Discipline of the Methodist Church in all areas of its dealings. 13 POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 We understand that this has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting period beginning on or after 1[st] January 2019. The Trustees approved this report on 7th March 2023. The report was signed on their behalf by As signed by A Cavanagh Rev’d Tony Cavanagh Superintendent and Chair of the Circuit Meeting 14 ## POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **Statement of Financial Activities (SOFA) for the year ended 31 August 2022** |**Notes to the**
**accounts**
**Income and Endowments from:**
Donations and legacies
4
Income from monetary investments
5
Assessments on Churches
6
Other Charitable Income
7
**Total income**
**Expenditure on:**
Donations
8
Salaries, NIC & Pension costs
9
Property maintenance & other costs
Expenditure on other Methodist Property
Office expenses
Telephone and Travel
Insurance, Utilities etc.
District Assessment & Levy
Methodist Church Fund
Contributions to District Advance Fund
Contributions to Methodist Pension
Reserve Fund
Professional fees
9
Other outgoings
**Total charitable expenditure**
**Net income/(expenditure)**
**Transfers between funds**
15|**General Fund**
**(Unrestricted)**
**Circuit Model**
**Trust**
**(Unrestricted)**
**Designated**
**Funds**
**(Unrestricted)**
**Restricted**
**Funds**
**Endowment**
**Funds**
**Total**
**2021-22**
**Total**
**2020-21**
**£**
**£**
**£**
**£**
**£**
**£**
**£**
110
110
440
3,900
2,303
7
15
6,225
3,996
316,937
316,937
316,936
46,581
124
46,705
47,293
**367,528**
**2,303**
**-**
**131**
**15**
**369,977**
**368,665**| |---|---| ||838
150
988
73,302
136,957
104,307
241,264
254,103
4,378
18,969
23,347
27,792
-
-
66,270
3,967
3,967
4,660
11,820
2,600
14,420
11,807
33,060
2,531
35,591
32,555
7,788
4,872
12,660
16,236
39,444
24,660
64,104
85,056
-
51,080
51,080
19,893
26,100
26,100
-
8,160
8,160
7,920
4,468
1,086
581
575
8
6,718
8,228
**276,980**
**52,166**
**158,670**
**575**
**8**
**488,399**
**607,822**| ||**90,548**
**-49,863**
**-158,670**
**-444**
**7**
**-118,422**
**-239,157**
**-93,575**
**-35,790**
**129,365**
**-**
-
-100| |**Other recognised losses/gains:**
11|**-41**
-41
**-5**| |Gains on revaluation of fixed assets
10
**Net movement in funds**
Total funds brought forward
**Total funds carried forward**|689,000
**689,000**
**536,000**
**685,973**
**-85,653**
**-29,305**
**-444**
**-34**
**570,537**
**296,738**| ||6,971,027
751,734
376,026
6,686
2,814
8,108,287
7,811,549
**7,657,000**
**666,081**
**346,721**
**6,242**
**2,780**
**8,678,824**
**8,108,287**| * 2021 SOFA is shown in the notes to the accounts on page 21. 15 POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 **Balance Sheet as at 31 August 2022** |**Notes to the**
**accounts**
**Fixed Assets**|**Notes to the**
**accounts**
**Fixed Assets**|**General Fund**
**(Unrestricted)**
**£**|**Circuit Model**
**Trust**
**(Unrestricted)**
**£**|**Designated**
**Funds**
**(Unrestricted)**
**£**|**Restricted**
**Funds**
**£**|**Endowment**
**Funds**
**£**|**Total 2022**
**£**||**Total 2021**
**£**|**Total 2021**
**£**| |---|---|---|---|---|---|---|---|---|---|---| |||||||||||| |Land & Buildings|10|6,867,000|||||6,867,000||6,178,000|| |Investments|11|0||||2,465|2,465||2,506|| |**_Totalfixed assets_**||**6,867,000**|0|0|0|**2,465**|**6,869,465**||**6,180,506**|| |||||||||||| |**Current Assets**||||||||||| |Debtors and Prepayments|12|100,748||291|||101,039||103,616|| |Cash at Bank and in hand||58,539||0|4,980||63,519||77,507|| |Trustees for Methodist Church
Purposes deposits||5,187|666,081|0|1,262|315|672,845||859,667|| |Central Finance Board Deposits||634,833||346,902|||981,735||902,477|| |**_Total current assets_**||**799,307**|**666,081**|**347,193**|**6,242**|**315**|**1,819,138**||**1,943,267**|| |**Current Liabilities**||||||||||| |Creditors and Accruals (due in
under 1yr)|13|9,307||472|0||9,779||15,486|| |**_Total current liabilities_**||**9,307**|0|472|**0**|0|**9,779**||**15,486**|| |||||||||||| |**Net current assets**||**790,000**|**666,081**|**346,721**|**6,242**|**315**|**1,809,359**||**1,927,781**|| |**_Total assets less current_**
**_liabilities_**||**7,657,000**|**666,081**|**346,721**|**6,242**|**2,780 **|**8,678,824**||**8,108,287**|| |||||||||||| |**_Net assets_**|8|**7,657,000**|**666,081**|**346,721**|**6,242**|**2,780**|**8,678,824**||**8,108,287**|| |**Funds of the Circuit**
15
Unrestricted funds
Restricted funds
Endowment funds
**_Total Funds_**|||||||8,669,802
6,242
2,780
**8,678,824**|||| |Unrestricted funds||7,657,000|666,081|346,721|6,242||8,669,802||8,098,787|| |Restricted funds|||||6,242||6,242||6,686|| |Endowment funds||||||2,780|2,780||2,814|| |**_Total Funds_**||**7,657,000**|**666,081**|**346,721**|**6,242**|**2,780**|**8,678,824**||**8,108,287**|| 16 ## POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 **----- Start of picture text -----**
Poole Bay Circuit Circuit No 26 09
Statement of cashflow 2022 2021
Note £ £
Cash flow from operating activities 16 -127,777 -230,316
Interest received 6,225 3,996
- -
Net cash flow from operating activities 121,552 226,320
Cash flow from investing activities 0 644,500
Cash flow from financing activities 0 0
Net (decrease)/ increase in cash and cash equivalents -121,552 418,180
Cash and cash equivalents at 01/09 1,839,651 1,421,471
Cash and cash equivalents at 31/08 1,718,099 1,839,651
Cash at bank and in hand 1,045,254 979,984
Short term deposits 672,845 859,667
Cash and cash equivalents at 31/08 1,718,099 1,839,651
**----- End of picture text -----**
17 POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **Notes to the Accounts** ## **Accounting framework and accounting policies** ## **1. Basis of accounting** Poole Bay Methodist Circuit is a registered charity, registration number 1136518, registered in the United Kingdom. The address of the charity is given in the trustees’ report on page 4 of these financial statements. The nature of the charity’s operations and principal activities are described in the Trustees Annual Report. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) issued on 16 July 2014, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS102), the Charities Act 2011 and UK Generally Accepted Practice as it applies from 1 January 2019. The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated. ## **2. Public benefit entity** The Poole Bay Circuit meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognized at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes below. ## **3. Accounting policies** ## **Basis** These accounts have been prepared on the basis of historical cost, except that investments are shown at their market value at the end of the year, on the accruals basis to show a true and fair view of the Circuit’s financial position and activities. The financial statements have been prepared on a going concern basis. The Trustees have considered the uncertainty caused in the current year by the coronavirus pandemic restrictions which started in March 2020 and continued until they were finally lifted in July 2021 and how this along with the increase in energy and other running costs will impact on the charity’s operations and finances in the short to medium term. In the opinion of the Trustees, with proactively managing cash-flow the charity has sufficient working capital to continue to meet its financial obligations and pay its liabilities as they fall due for the foreseeable future and therefore the financial statements have been prepared on a going concern basis. The Trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves held for the charity to be able to continue as a going concern. ## **Content** The financial information presented is relevant, reliable, comparable and complete. The accounts are expressed in £Sterling, rounded to the nearest pound. ## **FRS102 SORP2019** These accounts are compliant with FRS102 and with FRS102 SORP 2019. ## **Income recognition** Income is included in the Statement of Financial Activities (SOFA) when the Circuit becomes entitled to the resources, and the trustees are reasonably certain they will receive the resources; and the monetary value can be measured with 18 POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 sufficient reliability. Assessment income received from Churches is also included on this basis. No attempt is made to measure the value of services donated by volunteers. ## **Expenditure** This is recognized when a liability is incurred, or a constructive obligation arises, that results in the payment being unavoidable. Liabilities are recognized as soon as an outflow of economic benefit is considered more likely than not under the legal or constructive obligation committing the Circuit to pay out resources. ## **Donations** Donations made by the Circuit are recognised in full at the time of agreement or when the Circuit accepts that there is a legal or operational obligation to make the payment. When the donation is recurrent over more than one year the balance payable in future years is treated as a provision for future commitments in the Balance Sheet against the appropriate fund, the provision being released in future years as instalments are paid in accordance with the originally agreed terms. ## **VAT** Since the Circuit is not VAT registered, all input VAT is charged with the expenses to which it refers. ## **Tangible fixed assets for use by the Circuit** These are capitalised if they can be used for more than one year, and individually cost at least £1,000. The freehold property is shown in the accounts at the current market values. All properties are owned by the Methodist Church of Great Britain. The Circuit Trustees are the Managing Trustees. In adherence to Methodist regulations, each property is surveyed by a qualified surveyor every five years and property inspections are carried out by the Circuit. The results of these surveys form the basis of the planning and budgeting for remedial works along with regulatory requirements such as boiler inspections and electrical testing. During 2019/20 there was an accounting policy change to the method used to value the manse properties from insurance valuation to the use of market values. The market values are reviewed annually to reflect the current market. ## **Investment Properties** Investment properties – no property is currently deemed to not be held for the long-term purposes of the charity. ## **Investments** Investments are valued in the balance sheet at market value at the year end. Investment income is included in the accounts when receivable and any gains or losses on revaluation at the year end are shown in the SOFA. ## **Debtors and Prepayments** Debtors are stated at the amounts owed to the Circuit or prepaid. The liquid funds of bank balances and deposit account balances are shown at realisable values. ## **Creditors** Creditors are initially recognised at settlement amount after trade discounts, where normal credit terms apply or amount advanced to the Circuit. Subsequently, creditors that are current liabilities are measured at the cash or other consideration expected to be paid. 19 POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **Loans** Concessionary loans include those receivable from/ made to third parties which are interest free or below market rates and are made to advance charitable purposes. All loans are measured at cost, less impairment. ## **Pensions** Most ordained presbyters and deacons are members of the Methodist Ministers’ Pension Scheme (MMPS). This is a defined benefit scheme. The Supreme Court held in 2014 that Methodist ministers are not employees of the Church. For simplicity, however, when dealing with National Insurance contributions and pension contributions, the terms ‘employer’ and ‘employee’ are used as they would be in an employing body. Lay employees, however, are contractually employees and have the option of joining The Pensions Trust. This is a defined contribution scheme. The Connexion accounts for MMPS and shows the figures in the annual Methodist Church of Great Britain accounts. 20 ## POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 **Statement of Financial Activities (SOFA) for the year ended 31 August 2021** |**Notes to the**
**accounts**
**Income and Endowments from:**
Donations and legacies
4
Income from monetary investments
5
Assessments on Churches
6
Other Charitable Income
7
**Total income**
**Expenditure on:**
Donations
8
Salaries, NIC & Pension costs
9
Property maintenance & other costs
Expenditure on other Methodist Property
Loss on disposal of fixed asset
Office expenses
Telephone and Travel
Insurance, Utilities etc.
District Assessment & Levy
Methodist Church Fund
Contributions to District Advance Fund
Professional fees
9
Other outgoings
**Total charitable expenditure**
**Net income/(expenditure)**
**Transfers between funds**|**General Fund**
**(Unrestricted)**
**Circuit Model**
**Trust**
**(Unrestricted)**
**Designated**
**Funds**
**(Unrestricted)**
**Restricted**
**Funds**
**Endowment**
**Funds**
**Total**
**2020-21**
**Total**
**2019-20**
**£**
**£**
**£**
**£**
**£**
**£**
**£**
440
440
-
1,260
2,722
4
10
3,996
11,440
316,936
316,936
406,977
46,694
599
47,293
58,957
**365,330**
**2,722**
**-**
**603**
**10**
**368,665**
**477,374**| |---|---| ||73,302
73,302
78,049
144,058
110,045
254,103
321,213
4,526
23,266
27,792
46,361
66,270
66,270
18,421
-
184,513
4,375
285
4,660
4,704
9,375
2,432
11,807
19,385
29,632
2,923
32,555
32,546
9,096
7,140
16,236
10,612
47,628
37,428
85,056
97,260
-
19,893
19,893
31,906
7,920
7,920
8,295
5,318
874
1,451
579
6
8,228
13,329
**401,500**
**20,767**
**184,970**
**579**
**6**
**607,822**
**866,594**| ||**-36,170**
**-18,045**
**-184,970**
**24**
**4**
**-239,157**
**-389,220**
**-664,881**
**538,230**
**126,551**
**-**
-100
-| |**Other recognised losses:**
11|**-5**
-5
**3**| |Gains on revaluation of fixed assets
**Net movement in funds**
Total funds brought forward
**Total funds carried forward**|536,000
**536,000**
**2,957,316**
**-165,051**
**520,185**
**-58,419**
**24**
**-1**
**296,738**
**2,568,099**| ||7,136,078
231,549
434,445
6,662
2,815
7,811,549
5,243,450
**6,971,027**
**751,734**
**376,026**
**6,686**
**2,814**
**8,108,287**
**7,811,549**| 21 ## POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 |**4. Donations and legacies**
Donations
**Total**
**5. Income from monetary investments**
Central Finance Board CFB
TMCP
CAF
**Total**
**6. Assessments on Churches**
Bournemouth Methodists
Broadstone
Kinson
Lytchett Matravers
Poole
Swanage
Upton
Wool|**Unrestricted**
**Circuit Model**
**Trust Fund Restricted**
**Endowment**
**2022**
**Total**
**2021**
**Total**
£
£
£
£
£
£
110
110
440| |---|---| ||**110**
**-**
**-**
**-**
**110**
**440**
**Unrestricted**
**Circuit Model**
**Trust Fund Restricted**
**Endowment**
**2022**
**Total**
**2021**
**Total**
£
£
£
£
£
£
3,870
3,870
1,243
24
2,303
7
15
2,349
2,753
6
6
0| ||**3,900**
**2,303**
**7**
**15**
**6,225**
**3,996**
**Unrestricted**
**Circuit Model**
**Trust Fund Restricted**
**Endowment**
**2022**
**Total**
**2021**
**Total**
£
£
£
£
£
£
102,017
102,017
102,017
56,360
56,360
56,360
26,479
26,479
26,478
7,257
7,257
7,257
67,232
67,232
67,232
31,307
31,307
31,307
19,469
19,469
19,469
6,816
6,816
6,816| |**Total**
**316,937**
**-**
**-**
**-**
**316,937**
**316,936**
Note: Bournemouth Methodists include: St George's, Trinity, Victoria Park and Winton churches
**7. Other Charitable Income**
**Unrestricted**
**Circuit Model**
**Trust Fund Restricted**
**Endowment**
**2022**
**Total**
**2021**
**Total**
£
£
£
£
£
£
Lettings (Fernside Road)
18,600
18,600
17,400
Lettings (Headswell Avenue)
18,000
18,000
12,150
Lettings (Wimborne Road) tenancy ended
March 2022
9,765
9,765
16,740
Transfer of assets from Wareham Church
0
0
99
Other
216
124
340
904|| |**Total**
**46,581**
**-**
**124**
**-**
**46,705**
**47,293**|| 22 ## POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 |**8 Donations and legacies**
Donations to Circuit Churches:-
Poole Methodists
Bournemouth Methodists
Broadstone
Swanage
Kinson
Upton
Donation to External Organisation (Shine)
**Total**|**Unrestricted Circuit Model**
**Trust Fund**
**Restricted**
**Endowment**
**2022**
**Total**
**2021**
**Total**
£
£
£
£
£
£
388
388
43,114
0
0
15,206
0
0
9,636
600
600
2,933
0
0
1,039
0
0
1,024
0
0
350| |---|---| ||**988**
**0**
**0**
**0**
**988**
**73,302**| |Poole Methodists received small grants of £150 (Gather, Grow & Go training) and £238 (Playtime National
Conference). Swanage received a small grant of £600 towards IT equipment.|| Last year, donations of £72,952 were paid to churches to cover the loss of rental income & café takings (Broadstone only) due to the coronavirus pandemic. 23 ## POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **9. Salaries & Associated Costs** |**9. Salaries & Associated Costs**||||| |---|---|---|---|---| |**Staff Costs paid during the year were:**
Gross wages, salaries and benefits in kind
Employer’s National Insurance costs & apprenticeships levy
Pension costs
Administration costs
**Total staff costs**
Stipends
Stipends - housing/living allowance
**Total (Inc. stipends)**
£
£
£
£
£
£
Stipend salaries relate to the employees of the central Methodist and costs are recharged to
Poole Bay Circuit. No employees earn in excess of £60,000.
£
£|**2022**
**Total**
£
31,528
705
1,341
1,607
**35,181**
195,083
11,000
**241,264**||**2021**
**Total**
£|| ||||37,839|| ||||1,015|| ||||1,342|| ||||1,665|| ||||**41,861**|| ||||212,242|| ||||0|| ||||**254,103**|| |||||| |**Average number of lay employees employed during the year were:**
Average Full Time Equivalent (FTE) number of lay employees employed during the year were:
**Average number of Ministers stationed during the year were:**|3||3|| ||1.1||1.5|| ||6||6|| |**Payment to Trustees**|**This year**||**Last year**|| |£
Number of trustees who were paid expenses
Payments made to trustees for additional services provided to the Circuit by agreement with
the Circuit Meeting. Trustees are also authorised to purchase items for the Church's use and
were reimbursed the cost of those items.|12,298||9,721|| |||||| ||6||8|| |Nature of the expenses : Mileage, Telephone & Business Expenses incurred by Ministers and
Stewards and the cost of small tokens to Circuit Stewards and Ministers.||||| |Water & sewage bills - Palmer Road
£|1,697||0|| |**Total amount paid**
£
£
Independent examiner’s or auditors' fees for reporting on the accounts
Other professional fees (eg: advice, accountancy services)
**Fees for examination or audit of the accounts**
£|13,995
7,560
600|||| ||||9,721|| |||||| ||7,560||6,870|| ||600||1,050|| 24 POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **10. Tangible Fixed Assets** Cost or valuation ||**Manses**
**£**|**Other non investment**
**land and buildings**
**£**|**Total**
**£**| |---|---|---|---| |**Balance brought forward**|6,178,000||6,178,000| |Additions|||| |Revaluations(+/-)|689,000||689,000| |Disposals(-)|||| |Transfers *(+/-)|||| |Balance carried forward|6,867,000|-|6,867,000| |**Net book value**|||| |Brought forward|6,178,000|-|6,178,000| |Carried forward|6,867,000|-|6,867,000| The Manse properties have been revalued at Market Value on 31st August 2022 based on Zoopla estimates as at 7 February 2023. If the Manse properties had continue to be revalued on 31st August 2022 based on the insurance valuations of £3,986,220 provided by Methodist Insurance in November 2022 the total valuation would have been £2,880,780 lower than by using market values. ## **11. Investments** The funds that support the Circuit Model Trust Fund and the Manses Fund are held by TMCP in Trustees Interest Funds on which interest is credited to the accounts each month. These are regarded as medium and long term investments. TMCP is the legal owner and Custodian Trustee of all Methodist Model Trust property, including Legacies, Endowments and Accumulated Funds. Trust property is held for and on behalf of local Managing Trustees who are responsible for the day to day management of trust property. TMCP ensure that, through providing guidance and acting under their direction, the Managing Trustees comply with Charity Law and Methodist Law and policy as determined by the Methodist Conference. ## **Analysis of investment movements** |**Analysis of investment movements**|**Analysis of investment movements**|**Analysis of investment movements**| |---|---|---| |**This year**
**Previous year**
**£**
**£**||| |Other investments|2,506|2,511| |**Change in investment values**
**£**
**£**||| |Carrying (market)value at beginningofyear|2,506|2,511| |**Add:**additions to investments at cost|0|0| |**Less:**disposals at carryingvalue||| |**Net:** (loss)/gain on revaluation|-41|-5| |**Carrying (market) value at end ofyear**|2,465|2,506| 25 POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **12. Analysis of current assets** |**Debtors and prepayments**
Other debtors
Other church debtors
Other church debtors (see note 17)
**Total debtors and prepayments**
**12. Analysis of current assets**
Accrued income - Poole Methodists Assessment for period June to August 2022
Prepayments|**This year**
**£**
18,773
16,832
0
29
65,405
**101,039**|**Last year**
**£**
16,418
0
217
1,976
85,005
**103,616**| |---|---|---| |**Disclosure of debtors recoverable in more than 1 year (included in other debtors above)**||| |Other debtors - 5 year interest fee loan to Poole Methodists (extended by 1
year to August 2026)
**Analysis of cash at bank**
Bank balance held in CAF Current Account
Bank balance held in CFB Ops and Reserves
Bank balance held in TMCP Funds - Poole Bay
Bank balance held in TMCP Fund - Poole Bay Reserves
Bank balance held in TMCP Fund - Robert Ferguson Trust
Bank balance held in TMCP Fund - Studland
Bank balance held in TMCP Fund - Fords' Trusts
Bank balance held in TMCP Fund - Legacy Wareham
Bank balance held in TMCP Fund - E D Clarke
Cash held - Minister Imprest
Cash held - Foodbank
Other Accounts held by Internal Organisations
Sundry Creditors
Church Creditors - Covid donations
Other Church Creditors
Other Creditors (External Organisations)
**Total Creditor and Accruals**
**Total Cash and Bank**
**13. Analysis of current liabilities and long term creditors**|48,000|48,000| ||9,551|| ||0|| ||228|| ||0|| ||**9,779**|| ## **14. Capital commitments and contingent liabilities** At the 31st August 2022 the Circuit has no capital commitments. No Contingent liabilities were identified at 31st August 2022. 26 ## POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT ## FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **15. Detailed analysis of individual fund movements** |**Unrestricted Funds**|||||||| |---|---|---|---|---|---|---|---| |**Fund Name**|**Opening**
**Balance**|**Income**|**Expenditure**|**Transfers**|**Revaluation**
**gains/losses**|**Closing**
**Balance**|**Purpose of the fund**| |General|787,850|367,504|-276,965|-93,575||784,814|General Mission| |Eva Doris Clark|5,177|24|-15|||5,186|From Corfe Mullen - general mission| |Property|6,178,000|||0|689,000|6,867,000|Provision of Manses for Minister use| |Poole Bay Model Trust Fund|751,734|2,303|-52,166|-35,790||666,081|Mission| |Mission funds (designated)|8,415|||||8,415|Mission| |Education & Youth Fund (designated)|3,651||0|||3,651|Education & Youth| |Equipment (designated)|4,252||0|500||4,752|Provision of Equipment| |Mission & Outreach (designated)|41,752|||||41,752|Various mission & outreach projects| |Ministers removal (designated)|-5,831|||3,400||-2,431|To assist ministers when moving| |Deacons Fund (designated)|205,650||-99,694|5,790||111,746|To cover future Deacons costs| |Lay Employee Fund (designated)|32,791||-39,857|68,075||61,009|To cover Lay employee costs| |Manse Repairs (designated)|86,822||-18,969|48,500||116,353|To cover manse repair costs| |Training (designated)|-1,476||-150|3,100||1,474|Training| |Totals|**8,098,787**|**369,831**|**-487,816**|**0**|**689,000**|**8,669,802**|| |**Restricted Funds**|||||||| |**Fund Name**|**Opening**
**Balance**|**Income**|**Expenditure**|**Transfers**|**Revaluation**
**gains/losses**|**Closing**
**Balance**|**Purpose of the fund**| |Rev. Robert Ferguson Trust|2,179|7|-5|||2,181|To support retired Ministers| |Int. Org. Food Bank|3,841|124|-570|||3,395|Internal Org. Provide food to those in
poverty| |Benevolent|666|||||666|For use at Superintendent's discretion for
those in need| |Totals|**6,686**|**131**|**-575**|**0**|**0**|**6,242**|| |**Endowment Funds**||~~27~~
**Current**
**Value**
**Annual Income**
**What was income used for**
1,702
3 added to fund value
840
2 added to fund value
238
-39 added to fund value
**2,780**
**-34**
27|||||| |**Endowment name**|**How the Capital**
**is invested**|**Current**
**Value**|**Annual Income**|**What was income used for**|||| |Various Studland Bequests|Trustee for|1,702|3|added to fund value
added to fund value
added to fund value|||| |Fords Trust|Methodist
|840|~~27~~
2||||| |Wareham Bequests|Purposes|238|
-39||||| ||**Totals**|**2,780**|**-34**||||| ## POOLE BAY METHODIST CIRCUIT TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **16. Reconcilation of net income & expenditure to net cash flow from operating activities** |Net Movement in funds per SOFA
Interest receivable
Revaluation of tangible fixed assets
Losses on investments
Decrease in debtors
Decrease in creditors
Net cash outflow from operating activities|2022||2021| |---|---|---|---| ||£||£| ||570,537
-6,225
-689,000
41
2,577
-5,707||296,738
-3,996
-536,000
5
71,492
-58,555| ||-127,777||-230,316| These accounts are compliant with FRS102 and with FRS102 SORP 2019. ## **17. Related party transactions** ## **This year** |**Thisyear**|||||||| |---|---|---|---|---|---|---|---| |**Name of related**
**party**|**Relationship**|**Description of**
**transaction**|**Repayment due**
**date**|**Amount**
**B/Fwd**|**Repayment**
**in Year**|**Loans to**
**related party**
**during the year**|**Amounts owed**
**by related party**
**on 31-Aug-2022**| |||||**£**|**£**|**£**|**£**| |Rev R Viana|Minister|Non-secured loan|December 2022|2,305|1,800||505| |Deacon S Viana|Minister|Non-secured loan|February2023|2,700|1,800||900| |Poole Methodists|Circuit Church|Non-secured loan|August 2026|80,000|16,000||64,000| |**Total**||||**85,005**|**19,600**|**0**|**65,405**| ||||||||| Poole Methodists - the repayment in the year shown in the table relates to last year's loan instalment. The 2nd loan repayment of £16,000 due by 31 August 2022 has not been paid. The loan repayment due date has been extended by 1 year to August 2026. Circuit office rent of £2,590 was paid to Winton Methodist Church (YE20-21 £2,538) **Last year** |**Lastyear**|||||||| |---|---|---|---|---|---|---|---| |**Name of related**
**party**|**Relationship**|**Description of**
**transaction**|**Repayment due**
**date**|**Amount**
**B/Fwd**|**Repayment**
**in Year**|**Loans to**
**related party**
**during the year**|**Amounts owed**
**by related party**
**on 31-Aug-2021**| |||||**£**|**£**|**£**|**£**| |Rev R Viana|Minister|Non-secured loan|March 2023|3,550|1,245||2,305| |Deacon S Viana|Minister|Non-secured loan|November 2023|3,900|1,200||2,700| |Poole Methodists|Circuit Church|Non-secured loan|August 2025|80,000|||80,000| |**Total**||||**87,450**|**2,445**|**0**|**85,005**| ||||||||| 28 POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 ## **DECLARATIONS** ## **Financial Representative** I can confirm that I have prepared the accounts from the records of the Circuit and that they include all funds under the control of the Circuit Meeting. **Signature of the Financial Representative** Louise Tidd Date: 22nd February 2023 **Name** Louise Tidd **Address** Poole Bay Methodist Circuit The Circuit Office Winton Methodist Church Heron Court Road Bournemouth BH9 1DE ## **Presentation to the Circuit Meeting for approval.** I confirm that the accounts have been presented to the Circuit Meeting on the 7th March 2023 and were approved. ## **Signature of the Chair of the meeting** **Name of the Chair at the meeting** **Date** Rev A J Cavanagh 7th March 2023 29 POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 ## Independent Auditor's Report to the Members of Poole Bay Methodist Circuit ## **Opinion** We have audited the financial statements of Poole Bay Methodist Circuit for the year ended 31 August 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and the related notes. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including FRS 102 ‘‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’’. In our opinion the financial statements: - give a true and fair view of the state of the charity's affairs as at 31 August 2022 and of its results 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 FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. ## **Conclusions relating to going concern** In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Charity’s ability to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. ## **Other information** The Trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, 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. 30 POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 ## Independent Auditor's Report to the Members of Poole Bay Methodist Circuit ## **Matters on which we are required to report by exception** In the light of our knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the financial statements. We have nothing to report in respect of the following matters where the Charities Act 2011 requires us to report to you if, in our opinion: - adequate accounting records have not been kept, 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 Statement of Trustees’ Responsibilities set out on page 13, the Trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so. ## **Auditor’s responsibilities for 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. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: As part of our audit planning we obtained an understanding of the legal and regulatory framework that is applicable to the Charity. We gained an understanding of the Charity and the sector in which the Charity operates as part of this assessment to identify the key laws and regulations affecting the Charity. As part of this, we reviewed the Methodist Church website for an indication of any regulations in place and discussed these with the relevant individuals responsible for compliance. The key regulations we identified were Charity legislation, health and safety regulations and employment law. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities Act 2011 and Charities SORP - FRS 102. We discussed with management how the compliance with these laws and regulations is monitored and discussed policies and procedures in place. We also identified the individuals who have responsibility for ensuring that the Charity complies with laws and regulations and deals with reporting any issues if they arise. As part of our planning procedures, we assessed the risk of any non-compliance with laws and regulations on the Charity’s ability to continue trading and the risk of material misstatement to the accounts. 31 POOLE BAY METHODIST CIRCUIT ACCOUNTS FOR THE YEAR ENDED 31[st] AUGUST 2022 ## Independent Auditor's Report to the Members of Poole Bay Methodist Circuit Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Our procedures involved the following: - Enquiries of management and trustees regarding their knowledge of any non-compliance with laws and regulations that could affect the financial statements. As part of these enquiries we also discussed with management whether there have been any known instances, allegations or suspicions of fraud. - Reviewed filings with the Charity Commission and whether there were any serious incident reports made during the year. - Discussed with management if any health and safety incidents have been recorded during the year. - Reviewed legal and professional costs to identify any possible non-compliance or legal costs in respect of noncompliance, of which there were none. - Reviewed Board minutes. - Audited the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness. - Reviewed estimates and judgements made in the accounts for any indication of bias. 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 Trustees, as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our work has been undertaken so that we might state to the Trustees those matters we are required to state to Trustees in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its Trustees as a body, for our audit work, for this report, or for the opinions we have formed. ## Francis Clark LLP Francis Clark LLP, Statutory Auditor Towngate House 2-8 Parkstone Road Poole Dorset BH15 2PW Date: 9 May 2023 _Francis Clark LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006._ 32