STOCKTON METHODIST CIRCUIT
CHARITY REGISTRATION NUMBER: 1137263
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020
STOCKTON METHODIST CIRCUIT
CHARITY REGISTRATION NUMBER: 1137263
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020
C O N T E N T S
| Pages | |
|---|---|
| Trustees’ Report | 1 to 5 |
| Independent Examiner’s Report to the Trustees | 6 |
| Statement of Financial Activities | 7 to 8 |
| Balance Sheet | 9 |
| Notes to the Financial Statements | 10 to 15 |
Page 1
STOCKTON METHODIST CIRCUIT
TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2020
BASIS OF PREPARATION AND LEGAL FRAMEWORK
The financial statements have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair’ view. This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
REFERENCE AND ADMINISTRATIVE INFORMATION
Full Name of Charity: Stockton Methodist Circuit Registration Charity Number: 1137263 Date of Registration: 4 August 2010 Main Communication Address: 4 Fritillary Place Stockton-on-Tees TS21 3LZ
The members of the Stockton Methodist Circuit meeting are the Charity Trustees, membership being made up of circuit office holders, ministers and representatives appointed by the local churches.
Full membership is shown at Appendix A of this report.
CIRCUIT MINISTERS AND OFFICERS
Active Circuit Minsters Rev. Peter Catford Rev. Suva Catford Rev. Sarah Ramsden Rev. Martin Ramsden Circuit Stewards: Mrs. Liz Mason Dr. Peter Dodd Dr. Roger Taylor Mr. John Moore Mrs. Margaret Walton (property) Mrs. Jean Jones – appointed September 2019 Administrator: Mr. C. Hutchinson – retired September 2019 Ms. J. Prior – appointed September 2019
Mr. J.G. Moore acted as the principal officer overseeing the day-to-day financial management and accounting for the Circuit during the year.
Independent Examiner: D.F. Adams FCA Baines Jewitt Limited Barrington House 41-45 Yarm Lane Stockton-on-Tees TS18 3EA Investment Bankers: Central Finance Board of the Methodist Church Trustees for Methodist Church Purposes
Page 2
STOCKTON METHODIST CIRCUIT
TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2020
AIMS AND ORGANISATION
The purposes of the Methodist Church are, and shall be deemed to have been since the Date of Union, the advancement of:
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(a) The Christian faith in accordance with the doctrinal standards and discipline of The Methodist Church;
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(b) Any charitable purpose for the time being of any Connexional, District, Circuit, local or other organisation of The Methodist Church;
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(c) Any charitable purpose for the time being of any society or institution subsidiary or ancillary to The Methodist Church;
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(d) Any purpose for the time being of any charity being a charity subsidiary or ancillary to The Methodist Church.
The charity’s objective is to act as a Resource provider within the area around Stockton-on-Tees for the Methodist Church. To do this we will engage with the community, share with one another and share Jesus Christ. Our activities include:
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The organisation and resourcing of regular public acts of worship open to members of the church and nonmembers alike;
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The teaching of Christianity through sermons, courses and small groups;
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The resourcing of pastoral work including visiting the sick and bereaved;
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Taking religious assemblies in local schools;
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Promotion of Christianity through the staging of events and services;
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Provision of chaplaincy services to the local university and other institutions.
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 within the Constitutional Practice and Discipline of the Methodist Church by order of the annual conference (CPD).
TRUSTEE TRAINING
A range of guidance is produced by Methodist Connexion to support the effective running of the Circuit, specifically the leaflet ‘The Role of a Trustee in the Methodist Church’ is given to all new Circuit meeting members as induction to their role as trustees.
RELATED PARTIES
See note 20 to the accounts.
REVIEW OF THE YEAR
Circuit Mission Statement
ENGAGE WITH COMMUNITY [Local and global]
CARE FOR ONE ANOTHER
SHARE JESUS CHRIST
1 Peter 3;15 Be ready at all times to answer anyone who asks you to explain the hope you have in you. (Good News Bible).
Page 3
STOCKTON METHODIST CIRCUIT
TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2020
REVIEW OF THE YEAR - Continued
Significant Developments during the Year
Over this year the Circuit, with support from the Darlington District, has continued to seek to engage more intentionally with the families and the Methodist Churches that are celebrating baptism. This has been difficult over the year with the pandemic and has led to only 10 baptisms being celebrated over the year. However, we tried to remain in contact with families who had children baptised using a new website, familytime.uk paid for by the Circuit, and through social media and telephone contacts. This was not as successful as we had hoped and a review of the current policy on baptism is being undertaken resourced by a full report from the Baptismal Support Worker who resigned her post in August 2020 to train for presbyteral ministry.
We have maintained contact with the Methodists who have joined the Anglican church at St. Paul’s in Newtown. They are moving into a major refurbishment project and it is encouraging for the Circuit to hear how this letting go has created potential for growth.
We integrated a new member of staff into the team during the year who was returning after a period of illness. The change in pastoral oversight was well received and the staff team has a deepening relationship that is supportive of one another.
Two members of staff had sabbaticals during the year. With the support of the Circuit this was a time of renewal for the staff and opportunity to share ministry between lay and ordained in a new way especially during the time of pandemic.
Along with the churches we continue to struggle to find volunteers to fill roles at a Circuit level and to keep these covered. This is causing a rethink in the way the Circuit is structured.
Achievements during the Year
Achievements included the celebration of special services of baptism as above and also weddings and funerals where members of the community have received ministry from presbyters and from local church communities, as we have hosted wedding and funeral services.
There has been work across the Circuit in partnership with local schools and this has continued during the pandemic using Zoom and recording material to be used for assemblies.
Godly play was still being used in some local Care Homes in Billingham whilst that was possible, although in the current circumstances, future development of this is on hold.
Work in the community has developed at St. Andrew’s as there was an initiative to celebrate the 60th anniversary of the estate and the church, which was cancelled in August due to the pandemic. The Foodbank has continued to seek to serve the community in the pandemic. Local support groups have not met but been supported by the Community Worker. The Circuit has supported the church as it reviewed the future development of its building which, after due consideration, it has chosen not to pursue.
In Port Clarence, the Circuit continues to support the work of BELP (Billingham Environmental Link Programme) by providing a chaplain on the allotment on a monthly basis and the community action over the summer.
The Yarm Road church has continued to develop support of the Asylum Seeker project. The pandemic has meant they are no longer meeting, however the space is being used for storage and contact is being maintained.
Worship takes place across the Circuit and we have continued to seek to find ways to encourage variety. We accredited a local preacher this year and have one other in training. The Circuit also supported a local preacher as she candidated for presbyteral ministry for which she was accepted.
This year saw the setting up and developing of Circuit online services.
Circuit Meaningful Ageing was handed on to the District and other local Circuits and is running successfully.
We continue to implement Methodist Safeguarding policy through training and oversight of local congregation practices.
Page 4
STOCKTON METHODIST CIRCUIT
TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2020
FINANCIAL REVIEW
Income Trends
Circuit income is primarily drawn from the assessment paid by the Circuit churches. The Circuit is mindful that a number of the churches have suffered a reduction in income due to limitation of their activities brought about by the government restrictions introduced to fight the spread of the coronavirus. However, all churches have been able to meet their commitments in the year to 31 August 2020 and it is anticipated all will be able to pay the full amount in 2020/2021.
Expenditure Trends
Stipend expenditure has increased by 2.8% in line with conference approved increases and the assessment paid to the District and Connexion in the year to 31 August 2020 was increased by 4.5% from the previous year.
Fund Balances
As at 31 August 2020, the net current assets of the Circuit were £445,000 giving approximately 24 months cover for unrestricted expenditure. However, the Circuit currently has two presbyters who are married so sharing the same manse. These presbyters will be leaving in August 2021. It is intended to replace both presbyters through the stationing process, but it is anticipated the new presbyters will not be related to each other. Therefore, the Circuit needs to hold funds to enable it to purchase a further manse in the correct geographical area.
Plans for 2020/2021
Circuit financial plans for the coming year have been prepared on the basis that there will be three full-time ordained staff and one part-time lay staff with a 2.7% cost of living stipend increase, but there will be a 2% reduction in the assessment paid to the District and Connexion. There will be no assessment increase for the churches as we continue to see reduced membership in the Circuit churches. However, it is anticipated that, despite reductions in income due to coronavirus restrictions, all churches will be able to continue to pay assessments at the current level.
RESERVES POLICY
General
It is the trustees’ policy to maintain a balance of unrestricted funds equivalent to six months unrestricted expenditure. However, in the current uncertain financial climate, it is not seen as unreasonable if reserves are above this level until there is more clarity about the future situation. In particular, the Circuit has entered the stationing process for two replacement presbyters and must ensure it has the income/reserves to cover the stipendiary and accommodation costs of these presbyters for the five years of the appointment.
In addition, the Circuit needs to hold sufficient funds to be able to buy a new manse as the existing husband and wife presbyters are leaving and are expected to be replaced by two ministers unrelated to each other. The Circuit is also holding sufficient funds to meet a mission challenge in the Stockton area.
RISK MANAGEMENT
The major risks associated with the Circuit have been identified and recorded by the Circuit Finance and Property Committee with professional advice taken as required. 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 on a half yearly basis to detect trends as part of the risk management process to avoid unforeseen calls on reserves.
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 recreation 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:
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The care and nurture of, and respectful pastoral ministry with, all children, young people and adults;
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The safeguarding and protection of all children, young people and adults when they are vulnerable;
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The establishing of safe, caring communities which provide a loving environment where there is informed vigilance as to the dangers of abuse;
Page 5
STOCKTON METHODIST CIRCUIT
TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2020
SAFEGUARDING - Continued
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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;
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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;
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We will seek to work with anyone who has suffered abuse, developing with them an appropriate ministry of informed pastoral care;
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We will seek to challenge any abuse of power, especially by anyone in a position of trust;
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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;
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• In all these principles we will follow legislation, guidance and recognised good practice.
The Stockton Methodist Circuit commits itself to ensuring the implementation of the Connexional Safeguarding Policy, government legislation, guidance and safe practice in the Circuit and in the churches.
The Stockton Methodist 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.
APPROVAL
This report has been approved by Managing Trustees and will be presented to the Board of Trustees for approval at the 23 March 2021 Circuit Meeting.
Approved on behalf of the Charity’s Trustees on 23 March 2021 and signed on their behalf by:
REV P. CATFORD
……………………………………………….
Superintendent Minister
Appendix A
STOCKTON METHODIST CIRCUIT
TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2020
CIRCUIT MEETING MEMBERSHIP
Superintendent Rev. Peter Catford Ministers Rev. Suva Catford Rev. Sarah Ramsden Rev. Martin Ramsden Circuit Stewards Mrs. Liz Mason Dr. Peter Dodd Dr. Roger Taylor Mrs. Margaret Walton (property) Mrs. Jean Jones – appointed September 2019 Circuit Treasurer Mr. John Moore Supernumerary Minister Rev. Richard Bielby – retired March 2020 Secretary of the Circuit Meeting Position currently vacant Secretary of Local Preachers’ Meeting Miss Rebecca Catford – retired September 2019 (position currently vacant) Local Preacher Representative Mrs. Sheila Hargreaves Additional Members appointed by Mr. Edwin Doidge – became a Yarm Road representative September 2020 the Circuit Meeting Mrs. Jane Jones – died October 2019 Mr. Ian Fyfe Mr. Mike Leason – died December 2020 Mr. John Monkhouse Mr. David Parkin Mrs. Delysia Parkin Mrs. Valerie Wootton Lay Property Secretary Mr. Vic Bowmer Lay Mission Support Group Secretary Mrs. Kathleen Mee Lay Youth Forum Secretary Mrs. Margaret Murray MWiB Representative Miss Margaret Rose Methodist Homes Representative Position currently vacant Safeguarding Mrs. Liz Foulger – retired August 2020 Dr. Roger Taylor – appointed October 2020
MEETING – SEPTEMBER 2020
From each Church: Steward, Treasurer and Elected Representatives:
| Carlton: | Joan Burn, Charlton Peters |
|---|---|
| Greens Lane: | Caroline Noble, David Smart, Judy Morrison, Jim Bruce (died December 2020) |
| Margaret Schofield | |
| Maltby: | Joan Tarren, Stephen Smith, Ken Davison |
| North Billingham: | Rhona Ball, Cynthia Dent, Jackie Pitt, Maureen Gowland |
| Norton: | Guan Lim, Kay Dodsworth, Howard Gill, Judith Lloyd |
| St. Andrew’s: | Doreen Sharp, Gill Carr, Marjorie Dunn - transferred from Carlton September 2019 |
| Thornaby: | Judith Powell, Ken Davison, Edith Appleby, Eileen Middleton |
| Trinity Eaglescliffe: | Robert Woodman, Ralph Barton |
| Yarm: | Chris Robinson – retired September 2020, Joan Rivers, Iain Baird – retired September 2019, |
| Brian Bainbridge, Mark Hall, Chris Kendrew, Graham Clarke, Roz Matthews | |
| Yarm Road: | Alison Tonkinson, Paula Clark – retired September 2019, Jim Dale, Jean Jones – became circuit |
| steward September 2019, Jess Dale – appointed September 2019, Edwin Doidge – was an | |
| additional member until September 2020 |
Page 6
STOCKTON METHODIST CIRCUIT
INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES
I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 August 2020 which are set out on pages 7 to 15.
Responsibilities and Basis of Report
As the charity’s trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the charity’s accounts as carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent Examiner’s Statement
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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accounting records were not kept in respect of the charity as required by section 130 of the Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the accounting requirements concerning the form and content of the accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
D.F. Adams, FCA Baines Jewitt Limited Barrington House 41-45 Yarm Lane STOCKTON ON TEES TS18 3EA
9 April 2021
DFA/GB
Page 7
STOCKTON METHODIST CIRCUIT
STATEMENT OF FINANCIAL ACTIVITIES (SOFA) FOR THE YEAR ENDED 31 AUGUST 2020
| Circuit Model | ||||||
|---|---|---|---|---|---|---|
| General Fund | Trust | Restricted | Total | Total | ||
| Notes | (Unrestricted) | (Unrestricted) | Funds | 2019-2020 | 2018-2019 | |
| £ | £ | £ | £ | £ | ||
| Income | ||||||
| Donations and legacies | 4 | - | - | - | - | 16,791 |
| Income from monetary | ||||||
| investments | 5 | 1,702 | 1,807 | - | 3,509 | 3,797 |
| Income from investment properties | 6 | - | - | 5,238 | 5,238 | 5,313 |
| Assessments on churches | 209,700 | - | - | 209,700 | 213,825 | |
| Capital receipts | 7 | - | - | - | - | 130,159 |
| Grants received | - | - | 17,100 | 17,100 | 15,600 | |
| Other income | 8 | 13,662 | - | - | 13,662 | 76,893 |
| _ | _____ | ______ | _ | _ | ||
| Total Income | 225,064 | 1,807 | 22,338 | 249,209 | 462,378 | |
| ---------- | ------- | --------- | ---------- | ---------- | ||
| Expenditure | ||||||
| Grants and donations | 9 | 6,242 | - | - | 6,242 | 11,053 |
| Salaries and associated costs | 10 | 125,763 | 443 | 17,100 | 143,306 | 149,092 |
| Property maintenance | 11 | 19,519 | 9,213 | 964 | 29,696 | 22,923 |
| Connexional assessment and | ||||||
| model trust levy | 12 | - | - | - | - | 32,064 |
| District assessment and levy | 13 | 58,916 | 8,577 | - | 67,493 | 65,383 |
| Office expenses | 3,499 | - | - | 3,499 | 5,180 | |
| Other outgoings | 1,996 | - | - | 1,996 | 2,000 | |
| _ | ______ | ______ | _ | _ | ||
| Total Charitable Expenditure | 215,935 | 18,233 | 18,064 | 252,232 | 287,695 | |
| ---------- | --------- | --------- | ---------- | ---------- | ||
| Net Income/(Expenditure) | 9,129 | (16,426) | 4,274 | (3,023) | 174,683 | |
| Transfers between funds | 19 | 4,274 | - | 4,274 | - | - |
| ______ | ______ | _____ | _____ | _ | ||
| Net Movement in Funds | 13,403 | (16,426) | - | (3,023) | 174,683 | |
| Total funds brought forward | 1,177,017 | 221,541 | 90,000 | 1,488,558 | 1,313,875 | |
| __ | _ | ______ | __ | __ | ||
| Total Funds Carried Forward | 19 | 1,190,420 | 205,115 | 90,000 | 1,485,535 | 1,488,558 |
| ====== | ===== | ==== | ====== | ====== |
The notes on pages 10 to 15 form part of these accounts
Page 8
STOCKTON METHODIST CIRCUIT
STATEMENT OF FINANCIAL ACTIVITIES (SOFA) FOR THE YEAR ENDED 31 AUGUST 2019
| Circuit Model | ||||||
|---|---|---|---|---|---|---|
| General Fund | Trust | Restricted | Total | Total | ||
| Notes | (Unrestricted) | (Unrestricted) | Funds | 2018-2019 | 2017-2018 | |
| £ | £ | £ | £ | £ | ||
| Income | ||||||
| Donations and legacies | 4 | 16,791 | - | - | 16,791 | - |
| Income from monetary | ||||||
| investments | 5 | 1,468 | 2,329 | - | 3,797 | 2,315 |
| Income from investment properties | 6 | - | - | 5,313 | 5,313 | 5,367 |
| Assessments on churches | 213,825 | - | - | 213,825 | 225,500 | |
| Capital receipts | 7 | - | 130,159 | - | 130,159 | - |
| Grants received | - | - | 15,600 | 15,600 | 10,500 | |
| Other income | 8 | 17,953 | 58,940 | - | 76,893 | 14,687 |
| _ | _ | ______ | _ | _ | ||
| Total Income | 250,037 | 191,428 | 20,913 | 462,378 | 258,369 | |
| ---------- | ---------- | --------- | ---------- | ---------- | ||
| Expenditure | ||||||
| Grants and donations | 9 | 11,053 | - | - | 11,053 | 20,947 |
| Salaries and associated costs | 10 | 133,032 | 460 | 15,600 | 149,092 | 157,120 |
| Property maintenance | 11 | 21,959 | - | 964 | 22,923 | 19,702 |
| Connexional assessment and | ||||||
| model trust levy | 12 | - | 32,064 | - | 32,064 | - |
| District assessment and levy | 13 | 56,380 | 9,003 | - | 65,383 | 66,528 |
| Office expenses | 5,180 | - | - | 5,180 | 5,092 | |
| Other outgoings | 2,000 | - | - | 2,000 | 2,810 | |
| _ | ______ | ______ | _ | _ | ||
| Total Charitable Expenditure | 229,604 | 41,527 | 16,564 | 287,695 | 272,199 | |
| ---------- | --------- | --------- | ---------- | ---------- | ||
| Net Income/(Expenditure) | 20,433 | 149,901 | 4,349 | 174,683 | (13,830) | |
| Transfers between funds | 19 | 162,771 | (158,422) | (4,349) | - | - |
| _ | _ | _____ | _ | ______ | ||
| Net Movement in Funds | 183,204 | (8,521) | - | 174,683 | (13,830) | |
| Total funds brought forward | 993,813 | 230,062 | 90,000 | 1,313,875 | 1,327,705 | |
| __ | _ | ______ | __ | __ | ||
| Total Funds Carried Forward | 19 | 1,177,017 | 221,541 | 90,000 | 1,488,558 | 1,313,875 |
| ====== | ===== | ==== | ====== | ====== |
The notes on pages 10 to 15 form part of these accounts
Page 9
STOCKTON METHODIST CIRCUIT
BALANCE SHEET AS AT 31 AUGUST 2020
| Circuit Model | ||||||
|---|---|---|---|---|---|---|
| General Fund | Trust | Restricted | Totals | Totals | ||
| Notes | (Unrestricted) | (Unrestricted) | Funds | 2020 | 2019 | |
| £ | £ | £ | £ | £ | ||
| Fixed Assets | ||||||
| Circuit Manses and equipment | 15 | 949,942 | - | - | 949,942 | 949,942 |
| Investment properties | 15 | - | - | 90,000 | 90,000 | 90,000 |
| _ | ___ | ______ | __ | __ | ||
| Total Fixed Assets | 949,942 | - | 90,000 | 1,039,942 | 1,039,942 | |
| ===== | == | ==== | ====== | ====== | ||
| Current Assets | ||||||
| Debtors | 16 | 8,917 | - | - | 8,917 | 8,680 |
| Investments with TMCP | 17 | - | 205,115 | - | 205,115 | 221,541 |
| Central Finance Board deposits | 264,219 | - | - | 264,219 | 261,598 | |
| Cash at bank and in hand | 22,114 | - | - | 22,114 | 29,695 | |
| _ | _ | ___ | _ | _ | ||
| Total Current Assets | 295,250 | 205,115 | - | 500,365 | 521,514 | |
| ---------- | ---------- | ---- | ---------- | ---------- | ||
| Current Liabilities | ||||||
| Creditors: due in less than one year | 18 | 54,772 | - | - | 54,772 | 72,898 |
| ______ | ___ | ___ | ______ | ______ | ||
| Total Current Liabilities | 54,772 | - | - | 54,772 | 72,898 | |
| --------- | ---- | ---- | --------- | --------- | ||
| Net Current Assets/Liabilities | 240,478 | 205,115 | - | 445,593 | 448,616 | |
| ---------- | ---------- | ---- | ---------- | ---------- | ||
| Total Assets less Current | ||||||
| Liabilities | 1,190,420 | 205,115 | 90,000 | 1,485,535 | 1,488,558 | |
| ====== | ===== | ==== | ====== | ====== | ||
| Net Assets | 1,190,420 | 205,115 | 90,000 | 1,485,535 | 1,488,558 | |
| ====== | ===== | ==== | ====== | ====== | ||
| Funds of the Circuit | ||||||
| General fund (unrestricted) | 19 | 1,190,420 | - | - | 1,190,420 | 1,177,017 |
| Circuit Model Trust Fund | ||||||
| (unrestricted) | 19 | - | 205,115 | - | 205,115 | 221,541 |
| __ | _ | ___ | __ | __ | ||
| Total Unrestricted Funds | 1,190,420 | 205,115 | - | 1,395,535 | 1,398,558 | |
| ------------ | ---------- | ---- | ------------ | ------------ | ||
| Restricted funds | 19 | - | - | 90,000 | 90,000 | 90,000 |
| ---- | ---- | -------- | --------- | --------- | ||
| Total Funds | 19 | 1,190,420 | 205,115 | 90,000 | 1,485,535 | 1,488,558 |
| ====== | ===== | ==== | ====== | ====== |
These financial statements were approved on behalf of the Charity’s Trustees on 23 March 2021 and are signed on their behalf by:
REV P. CATFORD
……………………………………………… (Superintendent Minister)
The notes on pages 10 to 15 form part of these accounts
Page 10
STOCKTON METHODIST CIRCUIT
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020
1. CHARITY INFORMATION
The charity (registered number 1137263) is a public benefit entity, established in the UK and governed by The Methodist Church Act 1976. The address of the principal office is given in the charity information on page 1 of these financial statements. The nature of the charity’s operation and principal activity is the advancement of the Christian faith.
2. BASIS OF PREPARATION OF THE FINANCIAL STATEMENTS
Basis of Preparation and Assessment of Going Concern
The charity constitutes a public entity as defined by FRS 102. The financial statements have been prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value, and in accordance with applicable accounting standards, the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued in October 2019 and the Charities Act 2011. The trustees consider that there are no material uncertainties about the charity’s ability to continue as a going concern.
3. ACCOUNTING POLICIES
(a) Funds
The funds held constitute: General funds held for any purpose of the Circuit which are unrestricted; the Circuit Model Trust Fund has wide purposes defined in Standing Orders and is categorised as unrestricted; Restricted funds which are held for a narrower purpose; there are no endowment funds; details of each material fund are disclosed in the final note to these accounts and any funds may be represented by more than just cash.
(b) Incoming Resources
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 sufficient reliability.
(c) Resources Expended
This is recognised when a liability is incurred, or a constructive obligation arises, that results in the payment being unavoidable. Liabilities are recognised 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.
(d) Grants
Grants made by the Circuit from its own funds 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.
(e) VAT
Since the Circuit is not VAT registered, all input VAT is charged with the expenses to which it refers.
(f) Tangible Fixed Assets for use by the Circuit
These are capitalised if they can be used for more than one year, and individually cost more than £500. The freehold property purchased pre 2015 is shown in the accounts at 2015, deemed values resulting from a valuation in 2005. Freehold property purchased since 2015 is shown at cost. The land component is deemed to be a third. No depreciation is provided because the trustees consider the current residual value of the property in its present condition to be not less than its current valuation and, in the absence of any evidence or impairment, any depreciation provision for the buildings component of the property would be immaterial.
(g) Investment Properties
These are properties held for the long term and are included in the financial statements at fair value. Depreciation is not provided on investment property.
(h) Financial Instruments
The charity only has financial assets and liabilities that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. Any losses arising from impairment are recognised in expenditure.
Page 11
STOCKTON METHODIST CIRCUIT
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020
4. DONATIONS AND LEGACIES
| 4. | DONATIONS AND LEGACIE | S | ||||
|---|---|---|---|---|---|---|
| Circuit Model | 2020 | 2019 | ||||
| Unrestricted | Trust Fund | Restricted | Total | Total | ||
| £ | £ | £ | £ | £ | ||
| South Billingham Church | - | - | - | - | 9,323 | |
| Newtown Church | - | - | - | - | 7,468 | |
| ___ | ___ | ___ | ___ | ______ | ||
| - | - | - | - | 16,791 | ||
| == | == | == | == | ==== | ||
| 5. | INCOME FROM MONETARY | INVESTMENTS | ||||
| Circuit Model | 2020 | 2019 | ||||
| Unrestricted | Trust Fund | Restricted | Total | Total | ||
| £ | £ | £ | £ | £ | ||
| Central Finance Board | ||||||
| Deposits | 1,702 | - | - | 1,702 | 1,468 | |
| Investments with TMCP | - | 1,807 | - | 1,807 | 2,329 | |
| _____ | _____ | ___ | _____ | _____ | ||
| 1,702 | 1,807 | - | 3,509 | 3,797 | ||
| ==== | ==== | == | ==== | ==== | ||
| 6. | INCOME FROM INVESTMENT PROPERTIES | |||||
| Circuit Model | 2020 | 2019 | ||||
| Unrestricted | Trust Fund | Restricted | Total | Total | ||
| £ | £ | £ | £ | £ | ||
| Lettings income: | ||||||
| Alpine Way | - | - | 5,238 | 5,238 | 5,313 | |
| ___ | ___ | _____ | _____ | _____ | ||
| Total | - | - | 5,238 | 5,238 | 5,313 | |
| == | == | ==== | ==== | ==== | ||
| 7. | CAPITAL RECEIPTS | |||||
| Circuit Model | 2020 | 2019 | ||||
| Unrestricted | Trust Fund | Restricted | Total | Total | ||
| £ | £ | £ | £ | £ | ||
| Sales proceeds from sale of | ||||||
| South Billingham Methodist | ||||||
| Church | - | - | - | - | 137,500 | |
| Legal fees | - | - | - | - | (2,797) | |
| Reclaimed grants | - | - | - | - | (4,544) | |
| ___ | ___ | ___ | ___ | _ | ||
| - | - | - | - | 130,159 | ||
| == | == | == | == | ===== | ||
| 8. | OTHER CHARITABLE INCOME | |||||
| Circuit Model | 2020 | 2019 | ||||
| Unrestricted | Trust Fund | Restricted | Total | Total | ||
| £ | £ | £ | £ | £ | ||
| Lettings income: | ||||||
| 2 Wallington Road | 6,900 | - | - | 6,900 | 6,900 | |
| Donations for Connexional | ||||||
| Funds | 6,242 | - | - | 6,242 | 11,053 | |
| Gain on sale of 625 Yarm Road, | ||||||
| Eaglescliffe | - | - | - | - | 58,940 | |
| Sale of manuals | 520 | - | - | 520 | - | |
| ______ | ___ | ___ | ______ | ______ | ||
| Total | 13,662 | - | - | 13,662 | 76,893 | |
| ==== | == | == | ==== | ==== |
One of the Circuit manses is currently let on a short-term basis. It is anticipated that it will be again required to house a Minister.
Page 12
STOCKTON METHODIST CIRCUIT
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020
9. GRANTS AND DONATIONS
| Circuit Model | 2020 | 2019 | |||
|---|---|---|---|---|---|
| Unrestricted | Trust Fund | Restricted | Total | Total | |
| £ | £ | £ | £ | £ | |
| Connexional Funds | 6,242 | - | - | 6,242 | 11,053 |
| ==== | == | == | ==== | ==== | |
| SALARIES AND ASSOCIATED COSTS | |||||
| Circuit Model | 2020 | 2019 | |||
| Unrestricted | Trust Fund | Restricted | Total | Total | |
| £ | £ | £ | £ | £ | |
| Gross wages, salaries and | |||||
| benefits in kind | 87,305 | - | 17,100 | 104,405 | 108,070 |
| Pension costs | 21,668 | - | - | 21,668 | 21,873 |
| Employer’s national insurance | |||||
| costs | 8,586 | - | - | 8,586 | 9,117 |
| Apprenticeship levy | 489 | - | - | 489 | - |
| Telephone | 2,027 | - | - | 2,027 | 1,520 |
| Travelling | 2,858 | - | - | 2,858 | 6,908 |
| Administration | 480 | 443 | - | 923 | 1,604 |
| Relocation costs | 2,350 | - | - | 2,350 | - |
| _ | ___ | _____ | _ | _ | |
| Total | 125,763 | 443 | 17,100 | 143,306 | 149,092 |
| ===== | == | ==== | ===== | ===== |
10. SALARIES AND ASSOCIATED COSTS
The average number of staff engaged during the year was 5 (2019: 5). No employees received employee benefits that totalled more than £60,000.
The Superintendent of the Circuit and the other Presbyters and the remaining members of the Circuit Leadership Team are considered as key Management Personnel. The members of the Circuit meeting are the trustees of the Circuit. The stipends, employer’s NIC, apprenticeship levy and employer’s pension contributions and other expenses of the Presbyters of the Circuit are paid by the Circuit.
Payments to Trustees
Apart from the Presbyters, no member of the Circuit meeting received any payment for work undertaken on behalf of the Circuit.
Included in these accounts is £5,296 (2019: £3,922) in respect of reimbursed expenses for three trustees.
11. PROPERTY
| PROPERTY | |||||
|---|---|---|---|---|---|
| Circuit Model | 2020 | 2019 | |||
| Unrestricted | Trust Fund | Restricted | Total | Total | |
| £ | £ | £ | £ | £ | |
| Council tax | 4,542 | - | - | 4,542 | 4,093 |
| Water supply | 1,191 | - | - | 1,191 | 949 |
| Energy supply | 356 | - | - | 356 | 339 |
| Repairs and maintenance | 7,807 | 9,213 | 81 | 17,101 | 7,222 |
| Insurance | 3,633 | - | - | 3,633 | 3,401 |
| Letting expenses | 1,230 | - | 883 | 2,113 | 2,044 |
| Valuation fees | 280 | - | - | 280 | 1,200 |
| Quinquennial reports | 480 | - | - | 480 | 2,250 |
| South Billingham church | |||||
| running costs prior to sale | - | - | - | - | 1,425 |
| ______ | _____ | ____ | ______ | ______ | |
| Total | 19,519 | 9,213 | 964 | 29,696 | 22,923 |
| ==== | ==== | === | ==== | ==== |
Page 13
STOCKTON METHODIST CIRCUIT
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020
12. CONNEXIONAL ASSESSMENT AND MODEL TRUST LEVY
| 12. | CONNEXIONAL ASSESSMEN | T AND MODE | L TRUST LEVY | |||
|---|---|---|---|---|---|---|
| Circuit Model | 2020 | 2019 | ||||
| Unrestricted | Trust Fund | Restricted | Total | Total | ||
| £ | £ | £ | £ | £ | ||
| Levy on sale of South | ||||||
| Billingham church | - | - | - | - | 32,064 | |
| ___ | ___ | ___ | ___ | ______ | ||
| Total | - | - | - | 32,064 | ||
| == | == | == | == | ==== | ||
| 13. | DISTRICT ASSESSMENT AND LEVY | |||||
| Circuit Model | 2020 | 2019 | ||||
| Unrestricted | Trust Fund | Restricted | Total | Total | ||
| £ | £ | £ | £ | £ | ||
| District expenses and | ||||||
| Methodist Church funds | 58,916 | - | - | 58,916 | 56,380 | |
| Levy on CMTF funds | - | 8,577 | - | 8,577 | 9,003 | |
| ______ | _____ | ___ | ______ | ______ | ||
| Total | 58,916 | 8,577 | - | 67,493 | 65,383 | |
| ==== | ==== | == | ==== | ==== | ||
| 14. | NET INCOME/EXPENDITURE FOR THE YEAR | |||||
| This is stated after charging: | ||||||
| 2020 | 2019 | |||||
| Total | Total | |||||
| £ | £ | |||||
| Independent Examiner’s Fees: | ||||||
| Independent examination – 2020 | 1,998 | 2,000 | ||||
| Less: Overprovision re 2019 | (2) | - | ||||
| _____ | _____ | |||||
| 1,996 | 2,000 | |||||
| ==== | ==== | |||||
| 15. | TANGIBLE FIXED ASSETS | |||||
| Circuit | Investment | |||||
| Manses | Property | Total | ||||
| £ | £ | £ | ||||
| Cost or Valuation | ||||||
| Balance brought forward as at | ||||||
| 1 September 2019 | 949,942 | 90,000 | 1,039,942 | |||
| Depreciation | ||||||
| At 31 August 2019 and 31 | ||||||
| August 2020 | - | - | - | |||
| _ | ______ | __ | ||||
| Balance carried forward as at | ||||||
| 31 August 2020 | 949,942 | 90,000 | 1,039,942 | |||
| ===== | ==== | ====== |
The Manses comprise four manses for use by the Circuit staff.
| The Manses comprise four manses for use by the Circuit staff. | The Manses comprise four manses for use by the Circuit staff. | ||
|---|---|---|---|
| The investment property is one property which is held for the long term. In the opinion of | the trustees, | ||
| £90,000 is a reasonable estimate of the market value as at 31 August 2020. | |||
| 16. | DEBTORS AND PREPAYMENTS | ||
| 2020 | 2019 | ||
| Total | Total | ||
| £ | £ | ||
| Stipends paid in advance | 8,917 | 8,680 | |
| ==== | ==== |
17. INVESTMENTS WITH TRUSTEES FOR METHODIST CHURCH PURPOSES
This is an investment receiving body within the Methodist Church and pay interest at market rates.
Page 14
STOCKTON METHODIST CIRCUIT
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020
18. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| 2020 | 2019 | |
|---|---|---|
| Total | Total | |
| £ | £ | |
| Assessments received in advance | 52,425 | 52,425 |
| Grants received in advance | - | 17,100 |
| Other creditors and accruals | 2,347 | 3,373 |
| ______ | ______ | |
| 54,772 | 72,898 | |
| ==== | ==== |
19. SUMMARY OF FUND MOVEMENTS
| At | At | ||||
|---|---|---|---|---|---|
| 01.09.19 | Income | Expenditure | Transfers | 31.08.20 | |
| £ | £ | £ | £ | £ | |
| General fund | 1,177,017 | 225,064 | 215,935 | 4,274 | 1,190,420 |
| Circuit Model Trust fund | 221,541 | 1,807 | 18,233 | - | 205,115 |
| __ | _ | _ | _____ | __ | |
| Total Unrestricted Funds | 1,398,558 | 226,871 | 234,168 | 4,274 | 1,395,535 |
| ------------ | ---------- | ---------- | ------- | ------------ | |
| Tees Valley Housing Fund | 90,000 | 5,238 | 964 | 4,274 | 90,000 |
| Baptismal Worker Fund | - | 17,100 | 17,100 | - | - |
| ______ | ______ | ______ | _____ | ______ | |
| Total Restricted Funds | 90,000 | 22,338 | 18,064 | 4,274 | 90,000 |
| --------- | --------- | --------- | ------- | --------- | |
| TOTAL ALL FUNDS | 1,488,558 | 249,209 | 252,232 | - | 1,485,535 |
| ====== | ===== | ===== | === | ====== | |
| At | At | ||||
| 01.09.18 | Income | Expenditure | Transfers | 31.08.19 | |
| £ | £ | £ | £ | £ | |
| General fund | 993,813 | 250,037 | 229,604 | 162,771 | 1,177,017 |
| Circuit Model Trust fund | 230,062 | 191,428 | 41,527 | (158,422) | 221,541 |
| __ | _ | _ | _ | __ | |
| Total Unrestricted Funds | 1,223,875 | 441,465 | 271,131 | 4,349 | 1,398,558 |
| ------------ | ---------- | ---------- | --------- | ------------ | |
| Restricted Housing Fund | 90,000 | 5,313 | 964 | 4,349 | 90,000 |
| Baptismal Worker Fund | - | 15,600 | 15,600 | - | - |
| ______ | ______ | ______ | _____ | ______ | |
| Total Restricted Funds | 90,000 | 20,913 | 16,564 | 4,349 | 90,000 |
| --------- | --------- | --------- | ------- | --------- | |
| TOTAL ALL FUNDS | 1,313,875 | 462,378 | 287,695 | - | 1,488,558 |
| ====== | ===== | ===== | == | ====== |
General Fund - this fund is used for general purposes.
Circuit Model Trust Fund - This fund has wide purposes as defined in the standing orders of the Methodist Church.
Tees Valley Housing Fund - This fund is to be used to benefit homeless families.
Baptismal Worker Fund - This fund is used towards the costs of employing a baptismal worker.
Page 15
STOCKTON METHODIST CIRCUIT
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2020
20. RELATED PARTY TRANSACTIONS
The Churches which form the Stockton Methodist Circuit whose assessments provide the principal income for the Circuit are:
Carlton Greens Lane Maltby North Billingham Norton St. Andrew’s Thornaby Trinity Eaglescliffe Yarm Yarm Road
The Circuit paid an assessment and levy to Darlington Methodist District as detailed in note 13 to these accounts.