## **Bluntisham Baptist Church**
# **Trustees Annual Report and Accounts for the year ended 31 December 2021**
Bluntisham Baptist Church
## **TRUSTEES’ ANNUAL REPORT**
## **Reference and Administrative Information**
## _**Charity Name and Registration Number**_
Bluntisham Baptist Church - Registration number 1136939
## _**Address**_
Bluntisham Baptist Church High Street Bluntisham Cambridgeshire PE28 3LD
## _**Trustees who served during the year**_
Rev Tim Williamson Wayne Carlson (until 24 March 2021) Anita Catterick (until 24 March 2021) Isabel Daniels (from 24 March 2021) Claire Everett (until 24 March 2021) Janet Harris John Holmes (until 24 March 2021) Catrin Horrex (until 21 July 2021) Katy Horrocks Malcolm Lee Roger Orr (from 24 March 2021) Philip Taylor Lucy Thatcher (from 24 March 2021) Peter Thatcher
## _**Property trustees**_
The Baptist Union Corporation Limited, Baptist House, 129 Broadway, Didcot, OxfordshireOX11 8RT
## **Structure, Governance and Management**
The Church is governed by the Constitution which was adopted on 19[th] June 2010. The Constitution can be downloaded from the Church’s website www.bluntishambaptist.org
The Charity Trustees are responsible for the governance of the Church. The Charity Trustees are the Minister, Elders and Deacons. The Elders and Deacons, who must themselves be Church members, are nominated and appointed by the Church members and must receive the support of at least twothirds of the voting members at the relevant general meeting. The Elders and Deacons are appointed for an initial three year term with the opportunity to be nominated for reappointment at the end of each three year term.
Members’ meetings normally take place six times each year and have responsibility for the overall policy of the church. All members are encouraged to take part in the spiritual and practical tasks involved in the furtherance of the charitable objective.
Page | 1
Bluntisham Baptist Church
## **Objectives and Activities**
The Church’s mission is ‘To share the love of Jesus with everyone’.
The principal purpose of the Church is the advancement of the Christian faith according to the principles of the Baptist denomination. The Church may also advance education and carry out other charitable purposes in the United Kingdom and/or other parts of the world.
In fulfilling its principal purpose, the Church will engage in a range of activities either on its own or with others that will vary from time to time. The activities include:
- Regular public worship, prayer, Bible study, preaching and teaching
- Baptism, as defined in the Union’s Declaration of Principle
- The Communion of the Lord’s Supper which shall normally be observed at least once a month
- Evangelism and mission, locally, regionally, nationally and internationally
- The teaching, encouragement, welcome and inclusion of young people
- The nurture and growth of Christian disciples
- Education and training for Christian and community service
- Giving and encouraging pastoral care
- Supporting and encouraging charitable social action in the United Kingdom and abroad
- Encouraging relationships with and supporting Baptists and other Christians
Notwithstanding the appointment of persons to accept responsibility for any of the activities, all individuals, organisations, groups, and committees operating within the life of the Church, and their leaders, are accountable to the Charity Trustees and also through any specific direction of the Church Members’ Meeting.
The Church operates systems to ensure that all people working with children and vulnerable adults are appropriately vetted with regard to the Disclosure and Barring Service. The Church also adopts a Safer Recruitment policy for all volunteers working with children and young people.
The Trustees have read the Charity Commission guidance on public benefit, and are satisfied that the activities outlined above clearly demonstrate that the Church is providing a benefit to the public.
## **Achievements and Performance**
The activities of the Church continued to be affected by Covid-19 and by the construction work being carried out to the main church building.
Sunday worship remained a priority and, thanks to the gifts and commitment of our Church family, was held in a variety of different ways depending on the particular Covid-19 restrictions in place at the time:
- Live services held outdoors in the church grounds (livestreamed to those who were unable to attend in person)
- Live services held in the church hall (livestreamed to those who were unable to attend in person)
- Online services, which were later uploaded to the church website for those who were unable to attend at the time.
- Pre-recorded services which were uploaded to the church website in advance so that they were accessible for the Sunday morning.
For those who were unable to access services in this way, DVD’s, CD’s and written copies of the text of each service were delivered to them. Appropriate resources were also made available for our children and young people where necessary.
We were delighted that our livestreamed and online services were enjoyed by people who lived elsewhere in the UK and overseas.
Page | 2
Bluntisham Baptist Church
We were able to restart our children and youth activities on Sunday mornings, albeit in slightly different and creative ways. Our Church continued to be blessed by the enthusiasm, commitment and gifts of all of our leaders and helpers in this important work.
Monthly prayer meetings continued to be held, meeting together in person where possible, otherwise on-line. Homegroups continued to offer support and encouragement to each other in innovative ways. Regular leadership team meetings were held, again meeting in-person whenever possible, otherwise online. Regular Church meetings continued to be held online.
The Beacon Money Advice Centre continued to provide vital support to people in our community who were faced with debt problems, working alongside the Bridge Church in St Ives.
The ‘Open the Book’ team worked creatively to enable them to continue to provide videos and resources for use in assemblies in local primary schools.
A number of our members continued to preach and help lead worship at churches in the local area.
One Church member continued to serve the wider Baptist community through the Eastern Baptist Association and the Cambridgeshire Baptist Missionary Fellowship.
Three Church members serve as Street Pastors in Cambridge and other members are actively involved in leadership roles working with other local charities, including Cornerstone Pregnancy Advice Centre and Cambridgeshire Workplace Chaplaincy.
The Church continued to remotely support our Church Partners in Chad and North Africa while maintaining contact with our mission links in Russia, Armenia, Ukraine and Albania. As in 2020 it was not feasible to go on any field mission trips due to the pandemic and travel restrictions however remote communications worked well. The delivery of clothes to Armenian Ministries was ongoing throughout the year plus a small team helped load three large containers prior to shipping. Tools with a Mission (TWAM) deliveries started up again although on a limited scale. Despite being a difficult year, mission continued to develop and our partners as always were very appreciative of our support _._
## _**Next Steps Building Project**_
During the year, construction work finally began on the exciting project to re-order and refurbish the main church building to achieve our vision for:
- _An attractive, God-centred church building that it is primarily a place of worship – an inviting place to meet with God and with each other._
- _A building that is accessible to everyone and is welcoming, warm, comfortable and safe._
- _The building to be updated to modern standards and be equipped for the future, while remaining sympathetic to its history._
Following a successful tender process, the same contractor was appointed for both the Phase One and Phase Two stages of the project. Work began on Phase one, which relates to the rear rooms to the church, on 31[st] March 2021 and on Phase Two, which relates to the main worship area, on 14[th] June 2021. The construction work was such that the main church building was closed for use from 31[st] March.
It had been hoped to complete the work in Autumn 2021, but due to supply chain issues, Covid 19 and unexpected, but essential repair work being added to the scope of the work, completion is now expected in March 2022.
Thanks to the generosity of the Church members, grants from Norwood and Newton Settlement and from the Garfield Weston Foundation, and a loan from the Baptist Union Corporation all of the necessary funding is in place.
Page | 3
Bluntisham Baptist Church
## **Financial Review**
Despite the challenges of being unable to meet in person as we normally would have done for Sunday worship and other fellowship activities due to the impact of Covid-19 and the closure of the main church building for construction work, the generosity of the church’s congregation in their giving, together with the reduction in certain expenses due to closure, meant that the Church was able to end the year in a sound financial position.
Although the Church recorded a deficit of £11,494 in unrestricted funds for the year, this included costs of over £27,000 in relation to unexpected, but essential repair work that was identified during the Next Steps building project.
## _**Reserves policy**_
The Church aims to maintain reserves in unrestricted funds equal to approximately three months’ total annual expenditure as a matter of general financial prudence. Additional reserves are currently being held to meet known, and anticipated, future commitments in meeting the Church’s planned mission activities.
## **Approval by the Trustees**
This report was approved by the Trustees on 8[th] March 2022.
Page | 4
Bluntisham Baptist Church
## **Independent Examiner's Report to the Trustees of Bluntisham Baptist Church on the accounts for the year ended 31 December 2021**
## **Respective responsibilities of Trustees and Examiner**
The Church’s Trustees are responsible for the preparation of the accounts. The Church’s Trustees consider that an audit is not required for this year under section 144 of the Charities Act 2011 (the Charities Act) and that an independent examination is needed.
It is my responsibility to:
- examine the accounts under section 145 of the Charities Act,
- to follow the procedures laid down in the general Directions given by the Charity Commission (under section 145(5)(b) of the Charities Act, and
- to state whether particular matters have come to my attention.
## **Basis of independent examiner’s statement**
My examination was carried out in accordance with general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the church 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 the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a ‘true and fair’ view and the report is limited to those matters set out in the statement below.
## **Independent examiner's statement**
In connection with my examination, no material matters have come to my attention which gives me cause to believe that in, any material respect:
- accounting records were not kept in accordance with section 130 of the Charities Act, or
- the accounts do not accord with the accounting records.
I have come across no other matters in connection with the examination to which attention should be drawn in order to enable a proper understanding of the accounts to be reached.
Signed:
Date:
Name: Nita Hutchcraft on behalf of Kinnaird Hill
Address: Kinnaird Hill, Montagu House, 81 High Street, Huntingdon, PE29 3NY
Page | 5
Bluntisham Baptist Church
## **Statement of Financial Activities for the year ended 31 December 2021**
|**Note**
**Income**
Donations
2&3
Grants
4
Other income
5
**Total Income**
**Expenditure**
Charitable activities:
•Staff costs
6
•Other costs
7
•Governance costs
9
Next Steps building project
10
**Total expenditure**
**Net (expenditure)/income for the**
**year**
**Other recognised gains and**
**(losses)**
Interest cost on pension deficiency
17
Actuarial gains on remeasurement of
pension liability
17
**Net movement in funds**
Total funds 1 January
**Total funds 31 December**|**Unrestricted**
**Funds**
**£**
**Restricted**
**Funds**
**£**
**2021**
**Total**
**£**
78,931
95,471
174,402
-
100,203
100,203
814
4,945
5,759
**79,745**
**200,619**
**280,364**
(45,570)
(6,865)
(52,435)
(44,669)
(10,223)
(54,892)
(540)
-
(540)
-
(25,061)
(25,061)
**(90,779)**
**(42,149)**
**(132,928)**
**(11,034)**
**158,470**
**147,436**
(261)
-
(261)
166
-
166
**(11,129)**
**158,470**
**147,341**
66,996
3,278,290
3,345,286
**55,867**
**3,436,760**
**3,492,627**
|**_2020_**
**_Total_**
**_£_**
_179,580_
_531_
_5,031_|
|---|---|---|
|||**_185,142_**|
|||_(57,301)_
_(24,854)_
_-_
_(220)_|
|||**_(82,375)_**|
|||**_102,767_**
_(487)_
_863_|
|||**_103,143_**
_3,242,143_|
|||**_3,345,286_**|
Comparative figures for each fund are shown in the notes to the accounts.
Page | 6
Bluntisham Baptist Church
## **Balance Sheet at 31 December 2021**
|**Note**
**Fixed assets**
Tangible fixed assets
11
**Current assets**
Debtors
12
Bank and cash
13
**Creditors: Amounts due within one year**
14
**Net current assets**
**Total assets less current liabilities**
**Creditors: Amounts due after more than**
**one year**
15
**Net assets excluding pension liability**
Defined benefit pension scheme liability
17
**Total net assets**
**Charity funds**
Restricted funds
18
Unrestricted funds
**Total charity funds**|**2021**
**£**
**£**
3,469,302
23,879
252,204
**276,083**
(74,309)
**201,774**
**3,671,076**
(161,149)
**3,509,927**
(17,300)
**3,492,627**
3,436,760
55,867
**3,492,627**|**_2020_**
**_£_**
**_£_**
_3,068,203_
_19,447_
_279,869_|**_2020_**
**_£_**
**_£_**
_3,068,203_
_19,447_
_279,869_|
|---|---|---|---|
||||**_£_**|
|||||
||||_3,068,203_|
|||||
|||||
|||||
|||||
||**276,083**
(74,309)|**_299,316_**
_(1,333)_||
|||||
|||||
||||**_297,983_**|
|||||
||||**_3,366,186_**|
|||||
||||_-_|
|||||
||||**_3,366,186_**|
|||||
||||_(20,900)_|
|||||
||||**_3,345,286_**|
|||||
|||||
||||_3,278,290_|
||||_66,996_|
|||||
||||**_3,345,286_**|
|||||
The notes on pages 8 to 20 form an integral part of these accounts.
These accounts were approved by the Trustees on 8[th] March 2022 and signed on their behalf on 22[nd] June 2022 by:
Rev Tim Williamson Minister and Trustee
Peter Thatcher Treasurer and Trustee
Page | 7
Bluntisham Baptist Church
## **Notes to the Accounts for the year ended 31 December 2021**
## **1. Accounting policies**
## **Basis of preparation**
These accounts have been prepared in accordance with:
- The Charities SORP: _Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland;_
- FRS 102: _The Financial Reporting Standard applicable in the UK and Republic of Ireland;_ and
- The Charities Act 2011.
Assets and liabilities are initially recognised at the historical cost of their transaction value unless otherwise stated in the accounting policy notes.
Bluntisham Baptist Church is a registered charity, number 1136939, and meets the definition of a public benefit entity under FRS 102.
## **Income recognition**
All incoming resources are included in the Statement of Financial Activities when the Church is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.
## _**Donations**_
Donations are accounted for gross when received. Fixed asset gifts-in-kind are recognised when receivable and are included at fair value.
Tax due under the Gift Aid scheme on offerings received during the year is included as income in the Statement of Financial Activities and, where not received by the balance sheet date, is recognised in debtors.
## _**Grant income**_
Income from grants is recognised when formal notification of the award of the grant is received from the grant awarding body.
## _**Interest income**_
Interest income is included in the accounts when it is receivable.
## **Expenditure recognition**
All expenditure is accounted for on an accruals basis. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that settlement will be required and the amount of the obligation can be measured reliably.
## **Governance costs**
This represents direct expenditure on the governance of the Church. Most of the management is carried out without charge by volunteers. This intangible cost is not included in the Statement of Financial Activities since there is no measurable cost to the volunteers for their service.
Page | 8
Bluntisham Baptist Church
## **Fixed assets**
Properties are held at cost/deemed cost.
As there is no reliable information available for the cost of the church premises or the manse, on first time adoption of FRS102 and the Charities SORP at 1 January 2020, the insurance value was adopted as deemed cost.
The cost of significant building development work since 1 January 2020 is treated as an increase to the cost/deemed cost of the properties.
The costs of furniture, fixtures and fittings are capitalised if the assets can be used for more than one year and cost at least £1,000. They are initially recognised at cost, or for donated assets, at a reasonable estimate of their value on receipt.
All other expenditure is charged as direct charitable expenditure in the year in which is incurred.
## _**Depreciation**_
Depreciation is not charged on the church, church hall and manse because in the opinion of the Trustees, the residual value of these properties is greater than their cost/deemed cost.
Depreciation is charged on other tangible fixed assets so as to write off the cost less estimated residual value over the assets’ estimated useful life as follows: Furniture, fixtures and fittings 10 years Audio and visual equipment 5 years
## **Funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the Church and have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Church for specific purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
## **Employee benefits**
The Church operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Church pays fixed contributions into a separate entity. Once the contributions have been paid, the Church has no further payments obligations. The contributions are recognised as an expense when they are due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the Church in an independently administered fund.
Prior to 2012 pension provision was made through multi-employer defined benefit pension plans. As it is not possible for the Church to obtain sufficient information to enable it to account for a plan as a defined benefit plan, it accounts for the plan as a defined contribution plan.
Where the plan is in deficit and where the Church has agreed, with the plan, to participate in a deficit funding arrangement, the Church recognises a liability for this obligation. The amount recognised is the net present value of the contributions payable under the agreement that relate to the deficit. The unwinding of the discount is recognised as a finance cost and any other change in the measurement of this liability is expensed to the Statement of Financial Activities.
Page | 9
Bluntisham Baptist Church
## **2. Donation income**
**2021**
|**2021**||||
|---|---|---|---|
|Regular offerings
Tax reclaimed
Donations
Donations-in-kind
**2020**
_Regular offerings_
_Tax reclaimed_
_Donations_
**3.**
**Restricted fund donation income**
Next Steps Building Project
Support for Minister in Training
Youth Worker
BMS
Home Mission
Emergency Support
Ladies Fellowship
Other Charities|**Unrestricted**
**Funds**
**£**
60,606
13,145
5,180
-
**78,931**
**_Unrestricted_**
**_Funds_**
**_£_**
_63,192_
_15,485_
_8,293_
**_86,970_**|**Restricted**
**Funds**
**£**
37,316
12,777
42,878
2,500
**95,471**
See note 3
**_Restricted_**
**_Funds_**
**_£_**
_28,648_
_14,298_
_49,664_
**_92,610_**
See note 3
**2021**
**£**
81,270
9,740
2,550
1,160
751
-
-
-
**95,471**|**2021**
**Total**
**£**
97,922
25,922
48,058
2,500|
||||**174,402**|
||||**_2020_**
**_Total_**
**_£_**
_91,840_
_29,783_
_57,957_|
||||**_179,580_**|
||||**_2020_**
**_£_**
_86,683_
_-_
_2,632_
_1,112_
_952_
_1,011_
_50_
_170_|
||||**_92,610_**|
## **4. Grant income**
## **2021**
|**2021**||||
|---|---|---|---|
|Norwood and Newton Settlement
Garfield Weston Foundation
Listed Places of Worship Grant Scheme
**2020**
_Government Furlough Grants_|**Unrestricted**
**Funds**
**£**
-
-
-
**-**
**_Unrestricted_**
**_Funds_**
**_£_**
**_531_**|**Restricted**
**Funds**
**£**
25,000
15,000
60,203
**100,203**
**_Restricted_**
**_Funds_**
**_£_**
**_-_**|**2021**
**Total**
**£**
25,000
15,000
60,203|
||||**100,203**|
||||**_2020_**
**_Total_**
**_£_**
**_531_**|
Page | 10
Bluntisham Baptist Church
## **5. Other income**
## **2021**
|Fundraising activities
Interest
Other income
**2020**
_Fundraising activities_
_Letting income_
_Interest_
_Other income_|**Unrestricted**
**Funds**
**£**
-
499
315
**814**
**_Unrestricted_**
**_Funds_**
**_£_**
_-_
_1,325_
_913_
_1,515_
**_3,753_**|**Restricted**
**Funds**
**£**
4,520
425
-
**4,945**
**_Restricted_**
**_Funds_**
**_£_**
_917_
_-_
_361_
_-_
**_1,278_**|**2021**
**Total**
**£**
4,520
924
315|
|---|---|---|---|
||||**5,759**|
||||**_2020_**
**_Total_**
**_£_**
_917_
_1,325_
_1,274_
_1,515_|
||||**_5,031 _**|
## **6. Staff costs**
## **2021**
|**2021**||||
|---|---|---|---|
|Minister and manse costs
Administrator
Youth worker
Cleaner
**2020**
_Minister and manse costs_
_Administrator_
_Youth worker_
_Cleaner_
Salaries
Social security costs
Pension costs
Manse costs|**Unrestricted**
**Funds**
**£**
38,249
7,096
-
225
**45,570**
**_Unrestricted_**
**_Funds_**
**_£_**
_39,104_
_6,941_
_-_
_1,208_
**_47,253_**|**Restricted**
**Funds**
**£**
-
-
6,865
-
**6,865**
**_Restricted_**
**_Funds_**
**_£_**
_-_
_-_
_10,048_
_-_
**_10,048_**
**2021**
**£**
43,618
-
3,779
5,038
**52,435**|**2021**
**Total**
**£**
38,249
7,096
6,865
225|
||||**52,435**|
||||**_2020_**
**_Total_**
**_£_**
_39,104_
_6,941_
_10,048_
_1,208_|
||||**_57,301_**|
||||**_2020_**
**_£_**
_46,759_
_-_
_3,780_
_6,762_|
||||**_57,301 _**|
The average number of employees during the year was 3 (2020: 4)
No employee received emoluments in excess of £60,000 during the year.
No sums were reimbursed to the Trustees for their work as Trustees.
Page | 11
Bluntisham Baptist Church
The Minister acts as one of the Church trustees in accordance with the Constitution and receives remuneration and other benefits in respect of his services as Minister, including the provision of manse accommodation owned by the church.
## **7. Other costs**
|**2021**
Church premises
Ministry resources
Youth and children’s work
Licences and subscriptions
Printing, publicity and stationery
Training and other costs
Donations (See note 8)
**2020**
_Church premises_
_Ministry resources_
_Youth and children’s work_
_Licences and subscriptions_
_Printing, publicity and stationery_
_Training and other costs_
_Donations (See note 8)_|**Unrestricted**
**Funds**
**£**
27,117
3,327
1,131
1,697
1,617
855
8,925
**44,669**
**_Unrestricted_**
**_Funds_**
**_£_**
_10,317_
_3,083_
_996_
_1,518_
_582_
_1,431_
_3,624_
**_21,551_**|**Restricted**
**Funds**
**£**
-
-
-
-
-
-
10,223
**10,223**
**_Restricted_**
**_Funds_**
**_£_**
_-_
_-_
_-_
_-_
_-_
_217_
_3,086_
**_3,303_**|**2021**
**Total**
**£**
27,117
3,327
1,131
1,697
1,617
855
19,148|
|---|---|---|---|
||||**54,892**|
||||**_2020_**
**_Total_**
**_£_**
_10,317_
_3,083_
_996_
_1,518_
_582_
_1,648_
_6,710_|
||||**_24,854_**|
## **8. Donations to third parties**
|**2021**
BMS
Home Mission
Other Charities
Support for Minister in Training
Course fees for Minister in Training
**2020**
_BMS_
_Home Mission_
_Other Charities_|**Unrestricted**
**Funds**
**£**
-
3,597
-
-
5,328
**8,925**
**_Unrestricted_**
**_Funds_**
**_£_**
_50_
_3,399_
_175_
**_3,624_**|**Restricted**
**Funds**
**£**
1,210
803
180
8,030
-
**10,223**
**_Restricted_**
**_Funds_**
**_£_**
_1,100_
_951_
_1,035_
**_3,086_**|**2021**
**Total**
**£**
1,210
4,400
180
8,030
5,328|
|---|---|---|---|
||||**19,148**|
||||**_2020_**
**_Total_**
**_£_**
_1,150_
_4,350_
_1,210_|
||||**_6,710_**|
Page | 12
Bluntisham Baptist Church
## **9. Governance costs**
|Independent examination fees|**Unrestricted**
**Funds**
**£**
**Restricted**
**Funds**
**£**
**2021**
**Total**
**£**
540
-
540|**_2020_**
**_Total_**
**_£_**
_-_|
|---|---|---|
## **10. Next Steps building project – Restricted fund**
|Expenditure classified as repairs
Professional fees relating to repairs
Furniture and equipment(below capitalisation threshold)
Loan interest
Other costs|**2021**
**£**
17,094
2,300
2,592
2,446
629
**25,061**|**_2020_**
**_£_**
_-_
_-_
_-_
_-_
_220_
**_220_**|
|---|---|---|
## **11. Tangible fixed assets**
|Cost/deemed cost at 1 January 2020
Additions during the year
Cost/deemed cost at 31 December 2020
Additions during the year
Cost/deemed cost at 31 December 2021|**Church**
**£**
**Church**
**Hall**
**£**
**Manse**
**£**
**Furniture,**
**fixtures &**
**fittings**
**£**
**Total**
**£**
1,869,912
764,994
393,821
-
3,028,727
39,476
-
-
-
39,476|
|---|---|
||**1,909,388**
**764,994**
**393,821**
**- 3,068,203**
401,099
-
-
-
401,099|
||**2,310,487**
**764,994**
**393,821**
**- 3,469,302**|
Tangible fixed assets are stated at their deemed cost at 1 January 2020 (the transition date from which the Church applied FRS 102 and the Charities SORP) adjusted for additions, disposals and depreciation since that date.
Additions to the church building represent construction costs incurred, including related professional fees.
No depreciation is charged on the church building, church hall or manse because in the opinion of the Trustees, the residual value of these properties is greater than their cost/deemed cost.
All of the fixed assets are used for charitable purposes.
The Church is the beneficial owner of the above properties, the legal title to which are held by the Baptist Union Corporation, the Church’s holding trustee.
Page | 13
Bluntisham Baptist Church
## **12. Debtors**
|Debtors and prepayments
Accrued income
**13. Bank and cash**
Santander Bank
CAF Bank
Baptist Union Corporation
Cambridge and Counties Bank
Shawbrook Bank
Cash|**2021**
**£**
23,608
271
**23,879**
**2021**
**£**
67,832
85,309
56,385
42,641
-
37
**252,204**|**_2020_**
**_£_**
_19,054_
_393_|
|---|---|---|
|||**_19,447_**|
|||**_2020_**
**_£_**
23,073
_60,653_
_76,243_
_62,026_
_57,656_
_218_|
|||**_279,869_**|
## **14. Creditors: Amounts due within one year**
|**Note**
Loan from Baptist Union Corporation
16
Other creditors and accruals
Next Steps building project – Professional fees
Next Steps building project - Construction costs
**15. Creditors: Amounts due after more than one year**
**Note**
Loan from Baptist Union Corporation
16
**16. Loan from Baptist Union Corporation**
Balance at 1 January
Drawdown
Repayments
Interest
Balance at 31 December
Repayable within one year
Repayable after more than one year|**2021**
**£**
27,996
1,597
3,336
41,400
**74,309**
**2021**
**£**
**161,149**
**2021**
**£**
-
202,935
(16,236)
2,446
**189,145**
27,996
161,149
**189,145**|**_2020_**
**_£_**
_-_
_1,333_
_-_
_-_|
|---|---|---|
|||**_1,333_**|
|||**_2020_**
**_£_**
**_-_**|
|||**_2020_**
**_£_**
-
-
-
-|
|||**-**|
|||**-**
**-**|
|||**-**|
Page | 14
Bluntisham Baptist Church
The loan facility of £325,000 was granted on 29 January 2020. The loan is for a term of 12 years, beginning on the date on which the loan is first drawn down, which was 14 June 2021.
The loan is repayable in monthly instalments and is subject to a variable interest rate which was 3.1% from 14 June 2021 until 14 December 2021 and 3.25% from 15 December 2021.
The loan is secured on the Church’s property and assets.
## **17. Pensions**
The Church is a participating employer in the Baptist Pension Scheme (“the Scheme”), which is a separate legal entity administered by the Pension Trustee (Baptist Pension Trust Limited). The assets of the Scheme are held separately from those of the employer and the other participating employers.
The Scheme, previously known as the Baptist Ministers’ Pension Fund, started in 1925, but was closed to future accrual of defined benefits on 31 December 2011. Prior to this date the main benefit provided through the Defined Benefit (DB) Plan was a pension of one eightieth of final minimum pensionable income for each year of pensionable service together with additional pension in respect of premiums paid on Pensionable Income in excess of Minimum Pensionable Income.
From January 2012, pension provision is being made through the Defined Contribution (DC) Plan within the Scheme. In general, members pay 8% of their Pensionable Income and employers pay 6% of members’ Pensionable Income into individual pension accounts, which are operated and managed on behalf of the Pension Trustee by Broadstone Corporate Benefits Ltd. In addition, the employer pays a further 4% of Pensionable Income to cover Death in Service benefits, administration costs and an associated insurance policy which provides protection for Scheme members if they are unable to work due to long-term incapacity. This income protection policy has been insured by the Baptist Union of Great Britain with Aviva Limited.
The Scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102. Because it is not possible to attribute the Scheme’s assets and liabilities to specific employers, the scheme is accounted for as if the Scheme were a defined contribution scheme.
## _**Actuarial valuation as at 31 December 2019**_
A formal valuation of the DB Plan as at 31 December 2019 was carried out by a professionally qualified Actuary using the Projected Unit Method. At the valuation date the market value of the DB Plan assets was £298 million, whilst the level of assets needed to pay benefits was £316m, giving a deficit of £18m (equivalent to a past service funding level of 94%). The Church and the other participating employers in the DB Plan are collectively responsible for funding this deficit.
The key financial assumptions underlying the valuation were as follows:
|**Type of assumption**|**% p.a.**|
|---|---|
|RPI price inflation assumption|3.20|
|CPI price inflation assumption|2.70|
|Minimum Pensionable Income Increase Adjustment (above CPI)|0.50|
|Pre-retirement assumed investment returns (gilt yield plus 1.75% pa)|2.95|
|Post retirement assumed investment returns (including benefits||
|matched by the insurance policy) (gilt yield plus 0.5% pa)|1.70|
|Minimum Pensionable Income increases (CPI plus 0.5%)|3.20|
|Deferred pension increases (based on RPI)||
|Pre April 2009|3.20|
|Post April 2009|2.50|
|Pension increases||
|Based on CPI with an annual floor of 0% and annual cap of 5%|2.70|
Page | 15
Bluntisham Baptist Church
Mortality is assumed in accordance with 80% of the S3NA standard mortality table. Future improvements projected from 2013 in line with the “CMI 2019” projection with a long-term rate of improvement of 1.75% p.a. for males and 1.5% p.a. for females with the core smoothing parameter and with additional initial mortality improvement factor A=0.5%.
The next actuarial valuation of the DB Plan within the Scheme is due to take place not later than 31 December 2022.
## _**Recovery plan**_
In addition to the contributions to the DC Plan set out above, where a valuation of the DB Plan reveals a deficit, the Trustee and the Council agree to a rate of deficiency contributions from churches and other employers involved in the DB Plan. Under the current Recovery Plan signed in September 2020, deficiency contributions are payable until June 2026. These contributions are broadly based on the employer's membership at 31 December 2014 and increase annually in line with increases to Minimum Pensionable Income as defined in the Rules.
## _**Movement in balance sheet liability**_
Section 28.11A of FRS 102 requires agreed deficit recovery payments to be recognised as a liability. The movement in the provision is set out in the table below.
|Balance at 1 January
Deficiency contributions paid
Interest cost (recognised in SoFA)
Actuarial (gains) (recognised in SoFA)
Balance at 31 December|**2021**
**£**
20,900
(3,695)
261
(166)
**17,300**|**_2020_**
**_£_**
_24,000_
_(2,724)_
_487_
_(863)_|
|---|---|---|
|||**_20,900_**|
This liability represents the present value of the deficit contributions agreed as at the accounting date and has been valued using the following assumptions set by reference to the duration of the deficit recovery payments:
||**31 Dec**|**31 Dec**|**31 Dec**|
|---|---|---|---|
||**2021**|**2020**|**2019**|
|Discount rate|2.0%|1.4%|2.1%|
|Future increases to Minimum Pensionable Income|4.1%|3.2%|3.3%|
The Church has been advised that the cost for the church to buyout their Pension Scheme liabilities at 31 December 2021 was approximately £49,500.
Page | 16
Bluntisham Baptist Church
## **18. Restricted funds**
## **2021**
|Next Steps Building Project
Youth Worker
BMS
Emergency Support
Home Mission
Ladies Fellowship
Other Charities
Little Fishes
Music Group Training
Property Valuation
Support for minister in training|**1 January**
**£**
**Incoming**
**resources**
**£**
**Transfer**
**£**
**Resources**
**expended**
**£**
**31**
**December**
**£**
237,839
186,418
-
25,061
399,196
6,191
2,550
-
6,865
1,876
129
1,160
-
1,210
79
1,944
-
-
-
1,944
144
751
-
803
92
600
-
-
180
420
-
-
-
-
-
216
-
-
-
216
2,500
-
-
-
2,500
3,028,727
-
-
-
3,028,727
-
9,740
-
8,030
1,710|
|---|---|
||**3,278,290**
**200,619**
**-**
**42,149**
**3,436,760**|
## **2020**
|_Next Steps Building Project_
_Youth Worker_
_BMS_
_Emergency Support_
_Home Mission_
_Ladies Fellowship_
_Other Charities_
_Little Fishes_
_Music Group Training_
_Property Valuation_|**_1 January_**
**_£_**
**_Incoming_**
**_resources_**
**_£_**
**_Transfer_**
**_(see below)_**
**_£_**
**_Resources_**
**_expended_**
**_£_**
**_31_**
**_December_**
**_£_**
_84,998_
_87,961_
_65,100_
_220_
_237,839_
_13,607_
_2,632_
_-_
_10,048_
_6,191_
_117_
_1,112_
_-_
_1,100_
_129_
_933_
_1,011_
_-_
_-_
_1,944_
_143_
_952_
_-_
_951_
_144_
_730_
_50_
_-_
_180_
_600_
_685_
_170_
_-_
_855_
_-_
_433_
_-_
_-_
_217_
_216_
_2,500_
_-_
_-_
_2,500_
_3,028,727_
_-_
_-_
_3,028,727_|
|---|---|
||**_3,132,873_**
**_93,888_**
**_65,100_**
**_13,571_**
**_3,278,290_**|
The **Next Steps Building Project Fund** is to support the project to refurbish and reorder the main church building. During the year ended 31 December 2020, £65,100 was transferred from Unrestricted Funds into the Next Steps Building Project Fund with the approval of the Church Members.
The **Youth Worker Fund** is to support the employment of a paid youth worker.
The **BMS Fund** is to support the work of BMS.
The **Emergency Support Fund** is to offer financial support to members of our church family in need.
The **Home Mission Fund** is to support the work of Baptist Union Home Mission Scheme.
The **Ladies Fellowship Fund** is to support the activities of the Ladies Fellowship.
The **Other Charities Fund** is to support the work of specifically identified local, national and international charities as agreed by the Trustees.
The **Little Fishes Fund** is to support the work of the Little Fishes Parent and Toddlers’ Group.
The **Music Group Training Fund** is to enable members of the Music Group to attend training courses in leading worship.
Page | 17
Bluntisham Baptist Church
The **Property Valuation Fund** reflects the valuation of the church, church hall and manse to their deemed cost (insurance value) on transition to FRS 102 at 1 January 2020.
## **19. Related charities**
The Custodian Trustee of the church is the Baptist Union Corporation Limited which is charity number 249635, and which is controlled by the Baptist Union Council.
The Church is a member of the Baptist Union of Great Britain and the Eastern Baptist Association.
The Church is in receipt of a loan from the Baptist Union Corporation as set out in note 16.
The Church made donations to the Baptist Union Home Mission Scheme as set out in note 8.
## **20. Reconciliation of Charity Funds and Net Movement in Unrestricted Funds**
## **20.1 Reconciliation of Charity Funds at 1 January 2020 (date of transition to FRS 102)**
|Tangible fixed assets
Debtors and prepayments
Bank and cash
Creditors and accruals
Defined benefit pension scheme liability
**Net assets**
**Restricted funds:**
Next Steps Building Fund
Youth Worker Fund
Emergency Support Fund
Ladies Fellowship Fund
Little Fishes Fund
Music Group Training Fund
Home Mission Fund
BMS Fund
Other Charities Fund
Property Valuation Fund
**Unrestricted funds**
**Total funds**|Receipts and
payments
basis
at 1/1/2020
£
Effect of
transition to
FRS 102
£
Note
-
3,028,727
(a)
-
19,530
(b)
221,876
-
-
(3,990)
(c)
-
(24,000)
(d)
**221,876**
**3,020,267**
82,651
2,347
13,161
446
933
-
730
-
433
-
2,500
-
-
143
-
117
597
88
-
3,028,727
120,871
(11,601)
**221,876**
**3,020,267**|FRS 102
basis
at
1/1/2020
£
3,028,727
19,530
221,876
(3,990)
(24,000)|
|---|---|---|
|||**3,242,143**|
|||84,998
13,607
933
730
433
2,500
143
117
685
3,028,727
109,270|
|||**3,242,143**|
**Note (a) Tangible fixed assets** . Properties, being the main church building, the church hall, the manse and land, are stated at their deemed cost of their insurance value. Fixtures and fittings have been included at a deemed cost of nil as their individual net book values are below the minimum capitalisation threshold.
**Note (b) Debtors and prepayments** . Debtors and accrued income relate to tax recovered under the Gift Aid scheme, letting income, interest income. Prepayments relate to insurance, utilities and licences.
Page | 18
Bluntisham Baptist Church
**Note (c) Creditors and accruals** relate to professional fees incurred on the Next Steps Building Project, a ‘donation’ to the EBA in recognition of a loan from the Association and accruals in respect of PAYE, utilities and general expenses.
**Note (d) Defined benefit pension scheme liability** . The liability relates to the Church’s share of the deficit on the BU defined benefit pension plan which has been calculated as the net present value of the agreed contributions payable.
## **20.2 Reconciliation of Net Movement in Unrestricted Funds for the year ended 31 December 2020**
|**Income**
Donations
Other income
Grant income
Raised for specific causes
**Total Income**
**Expenditure**
Charitable activities:
•
Staff costs
•
Other costs
•
Specific causes
**Total expenditure**
**Net income for the year**
**Other recognised gains and**
**(losses)**
Interest cost on pension
deficiency
Actuarial gains on
remeasurement of pension
liability
**Net increase in**
**general/unrestricted funds**
Transfer to Next Steps Fund
**Net (decrease) in**
**general/unrestricted funds**|Receipts
and
payments
basis
y/e 31/12/20
£
Effect of
transition to
FRS 102
£
Effect of
change to
presentation
£
Note
85,976
994
(e)
4,384
(631)
(f)
531
2,308
(2,308)
(g)
**93,199**
**363**
**(2,308)**
49,931
46
(2,724)
(h)
23,174
328
(2,051)
(i)
935
(835)
(g)
**74,040**
**374**
**(5,610)**
**19,159**
-
-
**19,159**
(65,100)
**(45,941)**|FRS 102
basis
y/e 31/12/20
£
86,970
3,753
531
-|
|---|---|---|
|||**91,254**|
|||47,253
21,451
100|
|||**68,804**|
|||**22,450**
(487)
863|
|||**22,826**
(65,100)|
|||**(42,274)**|
**Note (e) Donations** . The increase is due to the recognition of debtors in relation to reclaimed tax under the Gift Aid scheme.
**Note (f) Other income** . The decrease is due to the recognition of accrued interest income and lettings debtors.
**Note (g) Specific causes.** Income and expenditure have been reallocated to restricted funds.
Page | 19
Bluntisham Baptist Church
**Note (h) Staff costs** . The decrease is due to the reallocation of contributions to the defined benefit pension scheme deficit and the recognition of creditors, accruals and prepayments.
**Note (i) Other costs** . The decrease is due to the reallocation of donations to restricted funds and the recognition of creditors, accruals and prepayments.
Page | 20