## **The Anglican Consultative Council** 

(A Charitable Company limited by guarantee) 

## **Report and Financial Statements** 

## **for the year to** 

## **31 December 2020** 

Registered Charity No. 1137273 Company No. 7311767 

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IThis page is intentionally blankl

## **The Anglican Consultative Council Report and Financial Statements for the year to 31 December 2020** 

## **Contents** 

|Reference and Administrative details of the Charity, its Trustees and Advisors|2|
|---|---|
|Officers of the Anglican Consultative Council|3|
|Annual Report of the Trustees|4|
|Independent Auditor’s Report to the Trustees|17|
|Consolidated Statement of Financial Activities|20|
|Consolidated Balance Sheet|22|
|Charity Balance Sheet|23|
|Statement of Cash Flows|24|
|Notes to the Financial Statements|25|



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## **The Anglican Consultative Council** 

## **Reference and Administrative Details of the Charity, its Trustees and Advisors** 

## **Constitution** 

The Anglican Consultative Council (ACC) is a charity registered in England and Wales, registration number 1137273 and a company limited by guarantee, registration number 7311767. It was established by constitution subscribed to by the member churches of the Anglican Communion on 12 July 2010. The activities of the new charitable company started on 1 January 2011 upon transfer of the net assets and liabilities from the old unincorporated charity, registration number 27659. 

## **Trustees** 

The Trustees, who are the members of the Standing Committee of the ACC, are incorporated under the Charitable Trustees Incorporation Act 1872. Those acting as Trustees during the year to 31 December 2020 and at the date of signing this report were the following: 

The Rt Revd Jane Alexander The Most Revd Dr Richard Clarke The Most Revd John Davies The Most Revd Suheil Dawani Mr Alistair Dinnie The Most Revd Dr Philip Freier The Most Revd Dr Paul Kwong Mrs Joyce Haji Liundi Ms Basetsana Makena The Most Revd Dr Thabo Makgoba Mr Jeroham Melendez The Rt Revd Joel Waweru Mwangi The Rt Revd Hosam Naoum The Most Revd Humphrey Peters The Most Revd Philip Richardson The Most Revd Jackson Ole Sapit Canon Margaret Swinson The Most Revd Julio Murray Thompson The Most Revd and Rt Hon Justin Welby 

(resigned 16 April 2021) (resigned 15 January 2020) (appointed 15 January 2020, resigned 16 April 2021) (resigned 15 January 2020) 

(resigned 15 January 2020) 

(resigned 15 January 2020) 

(appointed 15 January 2020, resigned 16 May 2021) (appointed 15 January 2020) (appointed 15 January 2020) 

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## **Officers of the Anglican Consultative Council** 

## **President** 

The Most Revd and Rt Hon Justin Welby, Archbishop of Canterbury 

## **Chairman** 

The Most Revd Dr Paul Kwong 

## **Vice Chairman** 

Canon Margaret Swinson 

**Chairman of Inter-Anglican Finance and Administration Committee** Canon Margaret Swinson 

## **Secretary General** 

The Most Revd Dr Josiah Idowu-Fearon 

## **Chief Operating Officer** 

Mr David White (until 1[st] February 2021) 

## **Registered Office** 

St Andrew’s House 16 Tavistock Crescent London W11 1AP 

## **Auditors** 

Mazars LLP Chartered Accountants & Statutory Auditors 6 Sutton Plaza Sutton Court Road Surrey, SM1 4FS, UK 

## **Solicitors** 

Winckworth Sherwood 16 Beaumont Street Oxford OX1 2LX 

## **Bankers** 

The Royal Bank of Scotland Plc 49 Charing Cross London SW1A 2DX 

## **Investment Managers** 

CCLA Investment Management Ltd 85 Queen Victoria Street London EC4V 4ET 

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## **Annual Report of the Trustees** 

The Trustees are pleased to present their Report and Financial Statements for the year to 31 December 2020. 

The Anglican Communion is a family of churches that are found in over 165 countries around the world.  As the word “Anglican” suggests (from the Latin _anglicana_ meaning “English”), the roots of this communion of churches were profoundly shaped by the history of the Church of England from the earliest centuries of Christianity, through the English Reformation of the sixteenth century, and beyond. 

This particular experience of the life and faith of the Church was variously received first in other parts of the British Isles, represented today by the Church of Ireland, the Church in Wales, and the Scottish Episcopal Church. Through colonization and the missionary movements, Anglicanism spread around the world. As the new churches developed and matured, gained local leadership and became dioceses and national or regional churches in their own right, they remained joined to one another, and to the Church of England, through common faith, common patterns of ministry (bishops, priests, and deacons), and common liturgical, spiritual, theological and pastoral traditions. Practically, this meant mutual recognition of one another as belonging to the same family; Anglicans knew they were at home in one another’s churches. 

## **Structure, Governance and Management** 

The churches of the Anglican Communion are held together by bonds of affection and common loyalty. Beyond these deep family bonds of resemblance and affection, the Churches of the Anglican Communion have developed distinctive structures or “instruments” to enable, reflect, and deepen their communion with one another expressed through links with the Archbishop of Canterbury as a focus for unity, and the conciliar Instruments of Communion: the Lambeth Conference; the Primates’ Meeting; the Anglican Consultative Council (ACC). 

- **The Archbishop of Canterbury** : The Provinces and Churches are all in communion with the See of Canterbury in the Church of England, and thus the Archbishop of Canterbury, in his person and ministry, is the unique focus of Anglican unity. He is host of the Lambeth Conference, convener of the Primates’ Meeting, and is President of the Anglican Consultative Council. The 105th Archbishop of Canterbury in succession to Saint Augustine, the Most Revd and Rt Hon Justin Welby, was enthroned in March 2013. 

- **The Lambeth Conference** : Every ten years or so, the Archbishop of Canterbury invites the bishops of the Anglican Communion to join with him in prayer, study and discernment, normally at Canterbury Cathedral and the campus of the University of Kent. Due to the Covid-19 pandemic, the Conference called for July/August 2020 has been rescheduled to July/August 2022. 

- **The Primates’ Meeting** : Since 1979 the Archbishop of Canterbury has invited the primates (ie the presiding bishop, archbishop or moderator) of the Anglican provinces to join him in regular meetings for consultation, prayer and reflection on theological, social and international matters. A meeting of primates was held in Jordan in January 2020 and included pilgrimage visits in Jordan, Israel and the Palestinian Territories.  A further meeting of primates was held by video conference in November 2020. 

- **The Anglican Consultative Council (ACC)** : In 1968 the bishops of the Lambeth Conference proposed the establishment of a body representative of all orders (bishops, clergy and laity) of the churches, which could coordinate aspects of international Anglican ecumenical and mission work. With the consent of the legislative bodies of all the provinces, the Anglican Consultative Council was established and has met regularly since. The seventeenth meeting of the ACC was in April 2019 in Hong Kong. 

The governing document of the ACC is the Constitution to which the member churches of the Anglican Communion subscribe. As the only Instrument of Communion with a constitution, the ACC exercises functions on behalf of the other Instruments as well as on its own behalf, mainly the employment of staff at the Anglican Communion Office and the holding of funds. 

Both the ACC and the Primates’ Meeting elect a standing committee. In an effort to draw the instruments closer together and strengthen the common life of the Communion, the members of the Primates’ Standing Committee are _ex officio_ members of ACC and of its Standing Committee. This Standing Committee normally meets annually face-toface and on at least two further occasions each year via conference call. 

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Standing Committee members for the time being are the trustees of the ACC. Procedures have been put in place to ensure that the Trustees are made aware of their responsibilities at their first meeting and receive a further briefing at the start of the annual face-to-face meeting. 

The Trustees are aware of the complexity of the relationships with other organisations within the Anglican Communion. Of particular significance is the common interest in pursuit of its charitable objectives that the ACC shares with the Lambeth Conference Company because the Lambeth Conference is one of the Instruments of Communion. 

The Trustees consider that the Secretary General, supported by the Operational Management Team, comprise the key management personnel of the charity in charge of directing and controlling, running and operating the charity on a day to day basis. 

The Anglican Communion Office (ACO), based in London, is the permanent secretariat for the Instruments of Communion. The secretariat is responsible for organising all meetings of the conciliar Instruments of Communion, as well as organising and supporting the Commissions, Networks and working parties of the Communion. Funding comes from the Inter-Anglican budget to which all member churches are invited to contribute according to their means. Member churches are also invited to contribute to special projects, such as the Personal Emergencies Fund and various other projects and emergencies that arise. 

## **Public Benefit** 

The Trustees believe that the Christian faith is of benefit to individuals and to society since it works towards a holistic vision of a transformed and peace-filled community and the flourishing of humankind and all creation. The stated objective of the ACC is ‘to advance the Christian religion and in particular to promote the unity and purposes of the Churches of the Anglican Communion in mission and evangelism, ecumenical relations, communication, administration and finance’. In pursuing this objective, the ACC serves the Anglican Communion’s life and work within God’s mission. The Communion has set out its understanding of this life and work in its _Five Marks of Mission_ : 

- to proclaim the Good News of the Kingdom; 

- to teach, baptise and nurture new believers; 

- to respond to human need by loving service; 

- to seek to transform unjust structures of society, to challenge violence of every kind and to pursue peace and reconciliation; 

- and to safeguard the integrity of creation and sustain and renew the life of the earth. 

These _Five Marks of Mission_ serve as a guide and help the churches within the Communion to live out mission in their local contexts and in a variety of ways. 

In preparing this report the Trustees have complied with their duty to have due regard to the public benefit guidance published by the Charity Commission. 

## **Risk Management** 

During the year the Trustees reviewed the risks to which the charity is exposed and took steps within their powers to mitigate these. Management undertook a thorough review of all risks and presented an updated and amended risk register which was adopted at the 13 February 2020 Trustees’ Meeting.  A further review was undertaken in the context of the COVID-19 pandemic on 21 May 2020. The Trustees policy is to have a thorough review of risk at least annually and to make changes to the risk register as required. A further review of the risk register was undertaken and received and adopted by Trustees on 20 May 2021. 

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The most significant risks are related to potential division within the Anglican Communion over issues of polity, and doctrine, action is being taken to address these through the Instruments of Communion.   As with many small organisations the loss of key staff is considered a risk.  An organisational culture and staff morale survey was undertaken in April 2021 and management continue to engage with staff on these and other issues.  A risk remains around dependency of income from a small number of sources and this is being addressed through a strategy for income diversification and improving donor relationships.   A new risk was added to consider the effect of controversial communications or decisions made in newsletter, social media and statements.  A new communications strategy is being produced which will include protocols for official social media presence and statements. 

The review in May 2020 considered how the likelihood and consequence of individual risks has been impacted by the COVID-19 pandemic and additional risks arising specifically from the pandemic. The most significant enhanced and additional risks were in two areas. The first relates to operational difficulties created by travel restrictions and the inability to hold face to face meetings. As far as possible this has been mitigated through virtual meetings and in some instances this has allowed for greater connection with peers around the world.  The second relates to anticipated pressures on income sources from 2021 onwards given the financial difficulties being experienced by churches across the communion as a direct result of the COVID-19 pandemic and the economic consequences for local communities. Brexit and the United Kingdom leaving the European Union has not so far and is not expected to present specific significant risks to the Charity. 

The Trustees undertook a review of the scope and direction of the activities of the Anglican Communion Office in order to develop a clear set of priorities and organisational structure.    The report was presented to staff and changes implemented in the first quarter of 2021.  While financial saving was not the main purpose of the review this did result in a reduced number of posts and the redundancies of three members of staff. 

## **Objectives, Achievements and Activities** 

The ACC has been constituted to facilitate the co-operative work of the member churches of the Anglican Communion, to consult about developments in the provinces, to develop agreed Anglican policies in the world mission of the Church and to encourage and guide Anglican participation in ecumenical dialogue and inter faith work at an international level. 

## **Anglican Communion Office** 

The ACO comprises a relatively small but highly committed team of individuals striving to support the Communion and fulfils the work mandated through the ACC. There is a constant tension between the amount of work to be undertaken and the resources available, almost always leading to compromise. 

In order to best serve the aims of the ACC as set out in its Constitution, and all the Instruments of Communion, the work of the ACO is divided into operational departments: 

- The Secretary General’s Office; 

- Mission; 

- Gender Justice; 

- Anglican Communion Office at the United Nations; 

- Unity, Faith and Order; 

- Theological Education; 

- Communications; 

- Finance and Resources; 

The activities of the Anglican Alliance, whose finances are incorporated into the Financial Report of the ACC, are described in this report. 

The Anglican Communion has authorised Networks which are supported by ACO staff. Their activities are also described in this report, as is the work of the Anglican Safe Church Commission and Anglican Inter Faith Commission. 

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## **The Secretary General’s Office** 

## _**The Instruments of Communion**_ 

The Secretary General’s Office is responsible for the leadership and management of the work of the ACO and for carrying forward the meetings and programmatic work of the ACC, the Standing Committee, the Primates’ Meeting and the Lambeth Conference. A key role of the ACO and the Secretary General’s office in particular, is to facilitate the Instruments of Communion. 

The Archbishops’ Task Group established at the Primates’ Meeting held in January 2016 to pursue strategies for those holding disparate views within the Communion to walk together produced a final report, which was considered at the Primates’ Meeting in January 2020. 

The office organised a full Primates’ Meeting, which was held by the Dead Sea in Jordan in January 2020. A further meeting of the primates by video conference in November 2020 was organised and facilitated which included a report on the impact of the COVID-19 pandemic on Member Churches of the Anglican Communion and the places within which they operate, and a presentation by representatives of the World Health Organisation (WHO). 

ACC Standing Committee conference call meetings were held in February, May, September, and December 2020, and in February 2021. A review of ACO operations was commissioned by the Committee in May 2020. The ACO Review Committee was chaired by the Most Revd Dr Thabo Makgoba, Archbishop of Cape Town and Primate of Southern Africa. The Review Committee presented its final report with its general recommendations to the ACC Standing Committee in September 2020. The Standing Committee received the report and established a group chaired by Canon Maggie Swinson, Chair of the Inter-Anglican Finance and Administration Committee (IAFAC), to undertake further work in order to bring specific implementation and restructuring recommendations to the Committee. The group reported to the December 2020 meeting which agreed the proposals for implementation. The Committee appointed a group to oversee the implementation of the recommendations which took place during January and February 2021. The process included consultation with staff during which some necessary changes to the detail of the implementation recommendations were identified. The final outcome established a new senior leadership team, all reporting to the Secretary General and including a new team under a Director of Administration and Logistics. As part of the restructuring the post of Chief Operating Officer was made redundant and it was agreed that the responsibility for deputising for the Secretary General in his absence or as directed by the Secretary General would be allocated to one of the senior leadership team. This responsibility, along with the title Deputy Secretary General currently rests with the Director of Unity, Faith and Order. A closing report was made to the February 2021 meeting of the Standing Committee. 

A meeting of Provincial Secretaries of Member Churches of the Anglican Communion via video conference was convened in May 2020 with the aim of facilitating support and information sharing during the COVID-19 pandemic. A summary report of the experiences of the then emerging pandemic and its impact on Member Churches and the places within which they operate was circulated, and a number of Secretaries gave a presentation on the situation in their jurisdiction. 

Servicing and supporting all of these meetings is a major component of the work of the ACO and it is a privilege for the Secretary General and all ACO staff to meet colleagues from around the Communion through these meetings. 

During 2020 further preparations were made for the next Lambeth Conference, led by a Chief Executive Officer for the Lambeth Conference Company and a small staff based at the ACO. The Lambeth Conference Company is an independent charity set up for the purpose of delivering Lambeth Conferences. As a consequence of the COVID-19 pandemic it has been necessary to postpone the Lambeth Conference.  A four-year virtual engagement with a series of online events, leading up to and following the Lambeth Conference in Canterbury in 2022, will now take place over the period 2020-24. 

Lambeth Conference planning is assisted by a management group consisting of representatives of the Archbishop of Canterbury’s staff and senior staff of the ACO; this group met fourteen times in 2020. Additionally, a small working group chaired by the Right Revd Emma Ineson, reporting to the management group have started meeting every two weeks to plan the pre-conference engagement phase. The Lambeth Conference Design Group chaired by the Most 

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Revd Dr Thabo Makgoba, Archbishop of Cape Town and Primate of Southern Africa continue to act in a consultative and advisory capacity as and when required. 

The Secretary General maintains a close working relationship with the Archbishop of Canterbury as the fourth instrument of Communion and a focus for unity with the Communion. Staff from the ACO work closely with Lambeth Palace staff on issues relating to the Anglican Communion. 

## _**The diplomatic and representational role of the Secretary General**_ 

An important part of the role of the Secretary General is to visit widely within the Member Churches of the Communion with a mission of encouragement, learning, prayer and fellowship. During 2020, international travel was necessarily curtailed by the COVID-19 pandemic. Archbishop Josiah maintained his diplomatic and representational role adapting to virtual means for communication and meetings. Leadership in providing informational and relational support and encouragement to Member Churches during the COVID-19 pandemic included signposting a COVID-19 Resource Hub developed by the Anglican Alliance, and promoting new weekly online Anglican Sunday worship services. The Secretary General’s office also promoted guidance from the World Health Organisation (WHO) regarding religious gatherings to all primates and provincial secretaries of the Anglican Communion. As the differences and divisions in the Communion create challenges, engaging with those holding the widest variety of views is highly important. This personal mission has driven the allocation of the Secretary General’s time and led to his developing a unique understanding and perspective on the state of Anglican churches throughout the Communion. 

## **Mission** 

The Department continued to support churches in prioritising holistic mission and to develop strategic plans for whole life intentional discipleship though work was significantly impacted by the COVID-19 pandemic.  An Intentional Discipleship Resource Hub is available on the Anglican Communion website at Intentional Discipleship Resource Hub (anglicancommunion.org). 

A book, _God’s Church for God’s World: A Practical Approach to Partnership in Mission_ was co-edited by the Director of Mission, The Revd Canon John Kafwanka, along with Robert Heaney and Hilda Kabia and was published by Church Publishing Inc in March 2020. 

A new work Church Planting Network was formally launched in November 2020 with a new website Plant Anglican and social media platforms. 

The Director for Mission also facilitated the Personal Emergencies Fund which exists as a restricted fund within the ACC to provide support for medical costs to enable clergy and church workers to return to active ministry. During the year income to support this activity was received (or promised and subsequently received) from the Clergy Support Trust, The Episcopal Church and the Compass Rose Society. 

The Director for Mission resigned in December 2020. Following a review of Anglican Communion Office operations, and consultation in January and February of 2021, mission work has been de-centralised and will be supported by the new post of Commissions and Networks Officer. 

## **Gender Justice** 

The ACC has recognised the need for the Anglican Communion to address gender justice, and take its place in serving the wider world, as expressed in its concerns and intentions in a number of ACC resolutions. These include: 

- 13:31 Provide equal representation on each Anglican body of men and women and provide a gender focal point in each province. (2005); 

- 14:33 Supports ending violence against women and allocating financial resources to do so ensuring gender budgeting; 

- 15:7, 10 Ending gender based violence and trafficking, supporting theological work on gender justice and appropriate materials; 

- 16:2 & 3 Reaffirms commitment to gender equality and justice with provinces offering financial support; 

- 17:2 &3 (2019) Appoint a provincial link, and equipping God’s people for gender justice; 

And the **Fourth Mark of Mission** , _‘seek to transform unjust structures of society, to challenge violence of every kind and to pursue peace and reconciliation.’_ 

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The need to realise these aspirations is as urgent and as necessary now as ever in the last 15 years. Gender inequality focusses on power and addressing the unequal power dynamics that exist in our relationships with each other. Part of the restoration of shalom is restoring our relationships with God, each other, and the environment. Gender justice speaks right into the core of this mission of our discipleship to Christ, and is often an area that is ignored because it is uncomfortable to deal with, recognise, respond well and work to restore relationships that might need some restitution too. Gender inequality and injustice also needs addressing at the structural level, culturally, societally, systemically and systematically, as well as institutionally. It needs addressing in many different areas and ways and not only through programmatic work. Gender justice goes to the heart of the gospel. 

The new Director for Gender Justice, Mandy Marshall, joined during lockdown in the UK in April 2020. Due to the impact of COVID-19, the Director for Gender Justice delivered a resource on _Domestic Abuse and COVID-19: How Churches Can Respond_ , shortly after taking up her role. The resource aims to equip church leaders, churchgoers and survivors in how to identify domestic abuse during lockdown or stay at home notices and respond appropriately. This has been translated and is available in seven languages, these are Arabic, English, French, Hindi, Kiswahili, Spanish, and Portuguese. Feedback on the resource was received from Lino Baba Diye – Christian Aid Project Officer, South Sudan, _“Thank you for sharing this useful document from the Anglican Church related to Domestic violence during the COVID-19 situation. it's with practical concerns, examples and actions which can be taken. As we know, COVID-19 is still her and some of the domestic violence cases will continue. And so we cannot fold our hands and not to respond in a way that can contribute to change. I hope to share the same widely with our members in South Sudan.”_ 

A series of international webinars have been hosted based on the Domestic Abuse and COVID-19 resource in conjunction with the Mothers’ Union Community Development Coordinators and the Anglican Alliance. Further webinars were conducted on gender and advocacy and gender based violence with Side by Side, a network of faith organisations working on gender justice, which the Anglican Communion is a founder member. During the 16 days of activism to end gender based violence (that runs from the International Day for the Elimination of All Forms of Violence Against Women and Girls on the 25 November to Human Rights Day on 10 December), a series of panel events was held with expert panellists speaking from across the Anglican Communion. The webinars, which had translation available, focussed on responses to gender based violence, advocacy and gender justice, theology and gender, and men and masculinities. These were livestreamed on the Anglican Communion You Tube Channel so they can be accessed at any time. 

The Anglican delegation to the UN Commission on the Status of Women was carried over from 2020 due to the COVID-19 pandemic. This took place online in 2021 and the delegation hosted a webinar, in conjunction with the Mothers’ Union, on the NGO platform focussing on the importance on the inclusion of faith in pursuing gender justice. The webinar was called ‘What’s Faith Got To Do With It?’ 

## **The Anglican Communion Office at the United Nations** 

The Anglican Communion Office at the United Nations (ACOUN) is based in London and New York with regular engagement across other UN headquarters, including in Geneva and Nairobi. The office facilitates interaction between the Anglican Communion and United Nations institutions at the local, regional and global level. 

The work of the ACOUN team has developed positively in 2020 despite the impact of the COVID-19 pandemic. Through 2020, the staff team included the Permanent Representative to the United Nations (London), an Advocacy Manager and Head of Office (New York), a Research and Advocacy Officer (London), and an Administration and Research Assistant (New York). Both UK-based members of staff were furloughed at different points through 2020. 

The Anglican Consultative Council’s representation at the United Nations provides a vital link between the front-line and grass-roots work of the parishes, dioceses, provinces and agencies of the Anglican Communion, and the United Nations and all of its structures. Through targeted and strategic representation, partnership, and engagement, the ACOUN works to help front-line parts of the Communion be seen as credible, durable, sustainable, equitable and locally committed partners by the United Nations and its agencies, particularly in the context of working together to achieve the Sustainable Development Goals. 

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The impact of the COVID-19 pandemic has been felt strongly in the work of the Anglican Communion Office at the United Nations. The ban on international travel between many countries and the disruption of UN processes affected key elements of our work adversely. A number of events in 2020 that the ACOUN had identified as high priority – eg UN Commission on the Status of Women, the Lambeth Conference and the UN climate negotiations in Glasgow (COP26) were postponed, either by one year or longer, and therefore the activities planned for 2020 were held over until these events can take place. 

The ACOUN has adapted to these challenges as swiftly and pragmatically as possible – for example, through shifting planned in-person events to become virtual events, working alongside partners to raise up priority issues in alternative fora, and utilising existing UN structures to push forward key issues. Some particular successes include: 

- Submitting a joint stakeholder report with the World Council of Churches to the UN Human Rights Council’s Universal Periodic Review of Lebanon. The report focused on gender discrimination with regard to the right to nationality, and the risk of statelessness. 

- Submitting a report with the Mothers’ Union and ACO Gender Justice department on COVID-19 and the increase of domestic violence against women in response to a call from the UN Special Rapporteur on Violence against Women. 

- Sponsoring an event with the Committee of Religious NGOs at the UN on faith-based solutions to climate action obstacles. The event helped strengthen collaboration between faith actors on climate change. 

- Participating in the Commission on Social Development and production of report on the priority theme of “Affordable housing and social protection systems for all to address homelessness” 

- Providing a full programme of informational and capacity-building webinars to delegates to the UN Commission on the Status of Women; writing a formal written statement to the Commission and securing alternative speaking opportunities for Anglican delegates. 

- Facilitating Anglican participation from the Pacific and the Middle East in regional review processes related to the Beijing Platform for Action, a key document for women’s rights. 

- Producing an educational campaign on social media highlighting the impact of the COVID-19 pandemic on the Sustainable Development Goals. 

- Conducting interviews with a wide range of partners to inform the development of an Anglican Communion engagement strategy on the Sustainable Development Goals. 

- Supporting the development of stronger formal ties between the Office of the Archbishop of Canterbury and the United Nations, including the UN Secretary-General, the UN Mediation Support Unit and the Multi-Faith Advisory Council to the UN Inter-Agency Task Force on Religion and Development. 

- Facilitating a video message from the Archbishop of Canterbury to an event marking the 75th Anniversary of the United Nations 

- Participating in the Faith for Nature global interfaith dialogue, at the invitation of the Government of Iceland and the UN Environment Programme 

- Developing the Anglican Consultative Council COP26 Working Group to coordinate ACC participation in the UN climate conference in 2021. 

- Increasing strategic engagement with authorised Networks of the Anglican Communion, including the Anglican Indigenous Network, the Anglican Communion Environment Network, the Anglican Communion Youth Network and the Anglican Health and Community Network. 

## **Unity, Faith and Order** 

The Unity, Faith and Order department exists to co-ordinate outward-looking bi- and multi-lateral ecumenical engagement on behalf of the Instruments of Communion. It acts in an advisory capacity on matters of doctrine, liturgy, ecclesiology and ecumenical relations to the Instruments and to the provinces and member churches of the Communion. It also provides support to the Legal Advisers’ Network and the International Anglican Liturgical Consultation.  The Revd Dr Will Adam is the Director of Unity, Faith and Order and also holds the post of Archbishop of Canterbury’s Ecumenical Adviser at Lambeth Palace. 

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The work of UFO has continued during Covid-19 restrictions. No dialogues have taken place face to face since December 2019. Whilst it is possible to maintain the life of the various commissions and dialogues online, relationships and dialogue suffer. 

- The Inter-Anglican Standing Committee on Unity Faith and Order (IASCUFO) has a refreshed membership under its new chair The Right Revd Dr Graham Tomlin, Bishop of Kensington (Church of England) and met online in early 2021. It will meet again later this year. IASCUFO has published two more in its important series of Papers: on theological anthropology and on Salvation, both in a book entitled _‘God so loved the World’_ ; 

- There have been two major publications from dialogues. The dialogue with the Orthodox Church (ICAOTD) has produced _‘Stewards of Creation: A Hope-Filled Ecology’_ . The dialogue with the World Communion of Reformed Churches (IRAD) has written _‘Koinonia: God’s Gift and Calling’_ , around which we held a webinar that was well attended; 

- Dialogue and other co-ordination with the Catholic Church continues to be a major area of work. Anglicans are involved with the Holy See on a number of initiatives, including response to Covid, vaccine equity and preparations for COP26. ARCIC (the Anglican – Roman Catholic International Commission) continues its work on ethics; 

- IARCCUM (International Anglican – Roman Catholic Commission on Unity and Mission) is having a major renewal of its membership and an extension of its areas around the world, with a summit meeting being planned for January 2023, postponed from 2021; 

- Conversations to begin a dialogue with Pentecostal churches through the Pentecostal World Fellowship have been held for the first time. Conversations have been held with the Lutheran World Federation about resuming formal collaboration; 

- The group working on the Joint Declaration on the Doctrine of Justification has continued to meet during the last 12 months ahead of the publication of a new edition and study guide; 

- The International Anglican Liturgical Consultation continues its work on liturgy during Covid-19; the liturgical formation of bishops; and an exciting new piece of work for the ACC on creating an Anglican Communion Calendar, with the names of holy men and women to be celebrated across the Communion. The Anglican Communion Legal Advisers’ Network remains in place but did not meet in 2020; 

## **Theological Education in the Anglican Communion (TEAC)** 

Despite the challenges of the pandemic and lockdowns TEAC has continued to work to its agreed objectives through 2020, namely (i) to build educational and training networks of mutual learning and encouragement across theological colleges, seminaries and courses across the Anglican Communion; (ii) to commission and produce study materials on under-resourced areas of the curriculum, to be placed on the ACO website with open access for all, in English, French, Spanish and Portuguese; (iii) to encourage theological education at every level, from education for discipleship through to preparing bishops for the Lambeth Conference. Funding for all this continues from St Augustine’s Foundation. 

The first of these objectives has been addressed through the ongoing publication of TEAC’s Resources Bulletin, in March, July and November, distributed to most of the seminaries and theological colleges of the Anglican Communion, with a distribution list of 680 recipients. Secondly while a major pre-Lambeth Conference consultation on leadership in theological education had to be cancelled plans were put in place for a series of online Zoom webinars for 2021. The first of these has now taken place, reaching a larger and more widespread audience than the original consultation would have attracted. 

The second of these objectives has been addressed through the publication of the third of the Preparing for Lambeth books, a volume of reflections from global South theologians, on the renewal of prayer and the religious life, which also included the Archbishop of Canterbury. Distribution of copies will continue in 2021. Meanwhile a study guide to doctrine, _What do Anglicans Believe?_ , was published online in four language in July and distributed across the network. Work on other online study materials on Anglicanism continues, including a video testimonies project, with publication scheduled for late 2021. 

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The third objective has been addressed through ongoing support for Jolyon Trickey’s work of developing a resource hub for discipleship and the work of the Intentional Discipleship Co-ordinating and Resourcing groups. The new hub was launched on the ACO website in autumn 2020. It has also been addressed by TEAC staff supporting the new Anglican Communion Science Commission, the Lambeth Conference team, the Westminster Abbey seminars on the Anglican Communion and writing about and promoting theological education in various publications over the course of the year. 

## **Communications and IT** 

The pandemic created significant challenges to the Communications and IT department. 

On the IT front, our in-house servers were old and outdated, as was the software running them. When staff were sent home just prior to the start of the first legal lockdown in the UK, the server collapsed under the weight of all staff members trying to access it remotely. A replacement main server was acquired and commissioned. 

This caused knock-on effects for our finance software and database as both of these had not been updated for a number of years. The finance software was updated within weeks. No data was lost we were able to upgrade and import the old finance system’s back-up data into the new system. 

An updated version of the database was commissioned and agreed and work to install and implement this was ongoing at the year’s end. The new database was in place early into 2021 and is working correctly. Again, thanks to our routine back-up system, no data was lost; although we did lose the ability to update the data for a number of months. This situation has now been rectified. 

Prior to the lockdown, work had begun to switch from in-house server-based file storage to back-up to cloud-based solutions. That work was paused during lockdown as it was impossible to safely move team-wide data while so many staff were on furlough. This project has commenced again in 2021. 

Since the installation of the new server, the IT function has operated satisfactorily and continues to support staff working from home. Work is underway to prepare the in-house systems for a return to working from Saint Andrew’s House later in 2021. 

On the communications front, the pandemic forced a pause to the roll-out of some aspects of the new communications strategy; not least because two communications officers were on furlough for the majority of 2020 – but other aspects of the new strategy proved invaluable in responding to the pandemic. 

One of these was an Anglican Communion Bulletin, an informational email sent bi-weekly to all bishops and primates, provincial secretaries, members of the Anglican Consultative Council, and provincial and diocesan communicators. Another was a greater engagement with external news media through the increased use of press releases and other tools. 

At the start of the global lockdowns, we produced a series of weekly video-based worship services featuring contributions from around the Communion. The services were presided over in English, with prayers, music and Bible readings in many languages. These services continued for a number of months until we were satisfied that a significant number of Provinces around the world were themselves producing such services. The video-based worship services were warmly received, and we undertake to produce two or three on special occasions throughout the year. 

A new communications strategy is necessary to take account of a post-pandemic world. The new strategy is still in preparation and will take account of the new vision of the Standing Committee and their revised structure for the Anglican Communion Office. 

## **Anglican Alliance** 

Conceived at the Lambeth Conference 2008, the Anglican Alliance serves to connect, equip and inspire the churches and agencies of the Anglican Communion in their relief, development and advocacy activities, responding to poverty and injustice throughout the world within the context of the Anglican Marks of Mission. 

12 



The Anglican Alliance was set up in 2011. In 2013 it was established as a charitable company by the ACC Standing Committee, whose members are the official Company Members of the Anglican Alliance. The Secretary General of the Anglican Communion is also on the Board of Trustees. The Alliance has a secretariat of three staff based at the ACO and six regional facilitators located around the Communion. It coordinates closely with other departments at the ACO as well as at Lambeth Palace in delivery of shared objectives. 

The Anglican Alliance has three pillars of work to support the holistic mission of the Communion: development, relief and advocacy. In 2020 the Alliance had a stable income to sustain the level of planned activity and respond, as appropriate, to the increasing demand for its services. 

In the Development pillar, the Anglican Alliance adds value by sustaining a mechanism for sharing learning and skills and building joint strategic initiatives across the Anglican Communion. It does not fund projects, but works to connect, leverage assets and build coalitions. Highlights in 2020 included: Convening a regional consultation on safe migration into the Gulf and regular online meetings of the regional communities of practice in Asia, the Middle East and Africa and developing an online resource hub for environmental and climate justice. 

In the Relief pillar, the Anglican Alliance adds value by coordinating humanitarian support to Anglican provinces and dioceses responding to humanitarian crises. It works closely with a group of agencies and churches to connect for joint support so that the local church can have a simplified process for applications, communications and reporting. In early 2020 the Alliance reoriented its staff, resources and networks to respond to the Covid-19 crisis this included Connecting, equipping and encouraging the Anglican Communion’s churches and agencies in their response to the pandemic and forming a global Covid-19 task force meeting at least twice per month to provide a global overview of the pandemic, define emerging issues and guide the Alliance’s response. 

In the Advocacy pillar, the Anglican Alliance adds value by helping to equip, connect and catalyse advocacy initiatives in the Communion, supporting Anglican leaders to speak out alongside people from affected communities. It also helps to broker and build coalitions with ecumenical and other partners for joint advocacy at global levels. Highlights in 2020 included tracking equity issues in the pandemic global response, especially on vaccine access and Supporting planning for the Lambeth Conference in 2020, postponed to 2022, on equipping the bishops on environmental/climate issues and for advocacy events . 

The Anglican Alliance has now been operating for over ten years. During this decade, it has established a strong reputation for connecting and equipping the worldwide churches and agencies to bring about transformational change in the lives of the poor and vulnerable. It also has an important convening function within the Anglican Communion.  Its structure and strategic framework have adapted well to the COVID-19 response, proving its added value to the Communion. 

## **Networks of the Anglican Communion** 

The Anglican Communion has 12 authorised networks each operating globally and with grassroots leadership and participation: Church Planting; Colleges and Universities of the Anglican Communion; Environmental; Family; Francophone; Indigenous; International Anglican Liturgical Consultation; Legal Advisors; Lusophone; Peace and Justice; Women; Youth. 

Through a variety of means such as email communications, social media, occasional regional and international gatherings, and the publication of on-line and printed newsletters, reports and resources, the Networks tell the stories of experience across the communion, share news, theological and liturgical material, and information about models of mission, ministry and good practice. They join together in the role of advocacy where there are common concerns, and provide briefings to the Instruments of Communion. 

## **Anglican Communion Safe Church Commission** 

This Commission’s remit is to promote the safety of people within churches of the Anglican Communion, with a particular focus on children, young people and vulnerable adults. Following ACC16 it was originally set up in for three years during which time, the Commission identified safeguarding policies and procedures already in place within the Anglican Communion, developed guidelines to assist provinces and dioceses to implement the ‘Charter for the Safety of People within the Churches of the Anglican Communion’, and gathered theological and liturgical resources. The 

13 



Commission reported to ACC17 in 2019 and received a new mandate for a further six-year period for an implementation phase to assist member churches to improve safe church practices across the Communion. 

## **Anglican Inter Faith Commission** 

This Commission was established in 2017 under a mandate from ACC16. The Commission is chaired by the Archbishop of Alexandria and has members from across the Communion who are engaged in dialogues and practical action with those of other faiths. Having met twice in 2018, the Commission met again in February 2020 to prepare material to be shared at the Lambeth Conference. As a result of his academic and practical involvement in inter faith matters the Secretary General is significantly involved in this Commission. 

## **Financial Report for the Year to 31 December 2020** 

The ACC was incorporated as a company limited by guarantee on 12 July 2010. 

The activities of the Anglican Alliance began as a restricted fund of The Anglican Consultative Council in 2011. A new charitable company, Anglican Alliance was incorporated on 3 January 2013 company number 8345096 and registered as a charity, number 1151992. The Trustees of the Anglican Consultative Council are the members of the Anglican Alliance and having significant control, the financial results of the Anglican Alliance for the year to 31 December 2020 have been included in these accounts. 

The Compass Rose Trust was registered as a company in England on 29 May 2019, company number. The Trustees of the Anglican Consultative Council nominate the majority of Trustees of the Compass Rose Trust and having significant control.  The Compass Rose Trust was dormant in 2020 and will be closed during 2021.  At 31 December 2020 the ACC held a restricted fund of £141,310 previously meant for the Compass Rose Trust the fund will now be transferred into a new Compass Rose Endowment Fund within the ACC. 

The Balance Sheet sets out the overall financial position of the ACC at the end of December 2020. It should be noted that each fund category is dealt with in a separate column, which is referenced to notes in the accounts. The total fund balances at the end of 2020 (Reserves) were £2,557,726 (2019 £2,134,540). 

Note 7 to the accounts gives the details of the ACC's investments, which were held in the COIF Charities Deposit Fund and CBF Church of England Deposit Fund.  There were additions to investments in 2020 of £395,000 and withdrawals of £198,622 were made during the year. These transactions, together with an increase in market value of £118,353, bring the total to £2,094,005 (2019 £1,779,274). 

Cash increased to £645,852 from £590,824 as set out in the Statement of Cash Flows. The change reflects withdrawals of investments and less expenditure than income during the year. 

The main summary of financial transactions through the year is the Statement of Financial Activities or SOFA. This statement includes income and expenditure, transfers between the different funds and gains or losses on the values of investments. Separate supporting statements, set out in the same SOFA format, show in more detail General Fund transactions related to the Unrestricted General Fund, Designated Funds, Other Restricted Funds, Endowment and the Property Reserve. Supplementary information is included in the notes to the accounts. 

Unrestricted General Funds generated net income of £468,646 before transfers (2019: £82,488 net expenditure). General fund income increased by £260,110 to £2,158,211 during 2020 and general fund costs decreased by £354,762 to £1,729,184. After making transfers to Designated and Restricted Funds, the General Fund Balance stood at £732,704 (2019: £595,790) for the Charity and £803,364 (2019: £636,864) for the Group. 

The _Total Funds Movement_ (See Note 9) shows designated funds that are unrestricted, but which have been set aside by Trustees for specific purposes. Designated funds form part of overall unrestricted reserves. The ACC designates funds by transfer from General Funds for Anglican Consultative Council meetings which do not take place every year. Designated Funds excluding the Pension deficit stand at £347,347 at 31 December 2020. 

Following a triennial valuation on 2016, provision was made in 2017 for an increased actuarial loss on the Defined Benefit Pension Scheme (also see Note 13).  The Trustees plan to eliminate the deficit by 2025 making annual 

14 



payments of £88,635. A valuation as at 31 December 2019 was under way at 31 December 2020.  The contributions agreed at that valuation will be reflected in the figures disclosed in the 2021 accounts. 

The Restricted Funds fund vital parts of the ACC’s work and the Trustees are grateful for the generous grants and donations which fund specific aspects of the work which the contributions of the member provinces do not cover (for example, UN Office in New York and Theological Education). 

The Other Restricted Fund Balance at 31 December 2020 was £697,977 for the charity and £817,475 for the Group. The largest component of the Restricted Funds was the Personal Emergencies Fund at £308,703 which assists clergy, church workers and members of their families facing personal medical emergencies. 

The Endowment Fund at 31 December 2020 was £972,407 after making a transfer to restricted funds for the annual drawdown to support the work of the Anglican Communion Office at the United Nations. The Property Fund (which is classified as a Restricted Fund) has been used to fund the St Andrew’s House 2004 refurbishment costs and stands at £158,498. These costs are fully funded and are being depreciated over the life of the lease. 

## _**Investment Policy**_ 

The market value of investments held by ACC at 31 December 2020 was £2,094,005 made up of £980,496 of endowment funds, £225,154 of restricted funds, and £888,355 of unrestricted funds. 

The Endowment fund for the Anglican Communion Office at the UN are invested in Central Board of Finance (CBF) Church of England Investment Fund - Income Shares which meet the Trustees’ ethical concerns and provide income. Up to 5% of the endowment can be drawn to fund ministry costs. During 2020 the income yield was 3.0% (2019 3.5%) and the market value of the units increased by 6.9% during 2020 (2019: 18.4% increase). 

The restricted funds are for the Personal Emergencies Fund.  Funds have been invested in both the Charities Official Investment Fund (COIF) - Income Units, and Central Board of Finance (CBF) Church of England Investment Fund - Income Shares. Combined income yield during 2020 was 3.0% (2019: 2.9%) and the market value of the units increased by 6.5% (2019: 17.9%).  A withdrawal of £168,622 was made during 2020 with a realised gain on investment of £9,669. 

The unrestricted funds are invested into the Central Board of Finance (CBF) Church of England Investment Fund - Income Shares. During 2020 the income yield was 3.0% (2019: 3.2%) and the market value of the units increased by 6.9% (2019: 18.4%).  A withdrawal of £30,000 was made during 2020 with a realised gain on investment of £2,064. 

## _**Reserves Policy**_ 

During the year the Trustees reviewed the ACC‘s requirements for free reserves in the light of the predominant risks to the organisation. The General Fund (core budget) costs are of the order of £2.0 million per annum (including the subsidiary, Anglican Alliance) and over 60% of these costs are associated with employment of staff. 

The Trustees’ policy is to hold unrestricted reserves sufficient to cover three months of operating costs (around £500,000).  Unrestricted reserves, including General, Designated and Pension Funds, stood at £609,346 at 31 December 2020.  Excluding the Pension Fund, which represents payments due from 2021 to 2027, unrestricted reserves stood at £1,150,711. 

Free reserves of the group at 31 December 2020 were £673,564 (2019: £540,021). Free reserves are defined as the balance on the General Fund excluding the value of tangible and intangible fixed assets. 

## _**Donations in Kind Received**_ 

Reference is made in this report to contributions to the work of the ACC from various sources. Some contributions have been financial, others in the form of the provision of personnel or facilities. Among these donations in kind is office space for the ACOUN provided in New York by The Episcopal Church. 

The Trustees also wish to acknowledge the generosity of the Trustees of the Community of St Andrew in enabling them to lease St Andrew’s House for a peppercorn rent. 

15 



## _**Grant-making Policies**_ 

The ACC administers grants in accordance with the restricted purposes for which the funds were originally donated. Grants are paid as soon as applications have been received and approved. 

## **Trustees’ Responsibilities Statement in Relation to the Financial Statements** 

The law applicable to charities in England and Wales requires the Trustees to prepare the annual report and financial statements for each financial year which give a true and fair view of the charity’s financial activities during the year and of its financial position at the end of the year. In preparing financial statements giving a true and fair view, the Trustees should follow best practice and: 

- select suitable accounting policies and then apply them consistently; 

- make judgments and estimates that are reasonable and prudent; 

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

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

The Trustees are responsible for keeping accounting records which disclose with reasonable accuracy the financial position of the charity and which enable them to ascertain the financial position of the charity and ensure that the financial statements comply with the Companies Act 2006. The Trustees are responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 

The Trustees are not aware of any relevant audit information that has not been disclosed to the charity’s auditors. The Trustees have taken all the steps that ought to have been taken in order to make themselves aware of any relevant audit information and to establish that the charity’s auditors are aware of that information. 

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime. 

## **Auditors** 

The Auditors, Mazars LLP, have signified their willingness to continue in office. 

Approved by the Trustees and signed on their behalf by: 

Margaret Swinson (Sep 29, 2021 18:08 GMT+1) 

Margaret Swinson Date: 29-Sep-2021 _Vice Chair_ 

16 



## **Independent Auditors’ Report to the Members of The Anglican Consultative Council** 

## **Opinion** 

We have audited the financial statements of Anglican Consultative Council (the ‘charity’) for the year ended 31 December 2020 which comprise the Consolidated Statement of Financial Activities, the Consolidated and Charity Balance Sheets, the Consolidated Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice). 

In our opinion, the financial statements: 

- give a true and fair view of the state of the charity’s and the group’s affairs as at 31 December 2020 and of its income and expenditure for the year then ended; 

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

- have been prepared in accordance with the requirements of the Companies Act 2006. 

## **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 or the group’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are 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 other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. 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 course of 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. 

17 



## **Opinions on other matters prescribed by the Companies Act 2006** 

In our opinion, based on the work undertaken in the course of the audit: 

- the information given in the Annual report of the trustees which includes the Directors’ Report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and 

- the Directors’ Report included within the Annual report of the trustees has been prepared in accordance with applicable legal requirements. 

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

In light of the knowledge and understanding of the charity and the group and its environment obtained in the course of the audit, we have not identified material misstatements in the Directors’ Report included within the Annual report of the trustees. 

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: 

- adequate and proper 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. 

- the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemption in preparing the Annual report of the trustees and from the requirement to prepare a Strategic Report. 

## **Responsibilities of Trustees** 

As explained more fully in the trustees’ responsibilities statement set out on page 16, the trustees (who are also the directors of the charitable company for the purposes of company law) 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 and group’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 the 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. Based on our understanding of the charity and group and its activities, we identified that the principal risks of noncompliance with laws and regulations related to the Charities Act 2011, UK tax legislation, pensions legislation, employment regulation and health and safety regulation, anti-bribery, corruption and fraud, money laundering, noncompliance with implementation of government support schemes relating to COVID-19, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements, such as the Companies Act 2006 and the Charities Statement of Recommended Practice. 

18 



We evaluated the trustees’ and management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to posting manual journal entries to manipulate financial performance, management bias through judgements and assumptions in significant accounting estimates, in particular in relation to use of restricted funds, and significant one-off or unusual transactions. 

Our audit procedures were designed to respond to those identified risks, including non-compliance with laws and regulations (irregularities) and fraud that are material to the financial statements. Our audit procedures included but were not limited to: 

   - Discussing with the trustees and management their policies and procedures regarding compliance with laws and regulations; 

   - Communicating identified laws and regulations throughout our engagement team and remaining alert to any indications of non-compliance throughout our audit; and 

   - Considering the risk of acts by the charity and group which were contrary to applicable laws and regulations, including fraud. 

- 

Our audit procedures in relation to fraud included but were not limited to: 

   - Making enquiries of the trustees and management on whether they had knowledge of any actual, suspected or alleged fraud; 

   - Gaining an understanding of the internal controls established to mitigate risks related to fraud; 

   - Discussing amongst the engagement team the risks of fraud; and 

   - Addressing the risks of fraud through management override of controls by performing journal entry testing. 

- 

There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. As with any audit, there remained a risk of nondetection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls. 

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 the audit report** 

This report is made solely to the charity’s members as a body in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charity’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s members as a body for our audit work, for this report, or for the opinions we have formed. 

Signed: 

Nicola Wakefield (Sep 30, 2021 10:31 GMT+1) 

Nicola Wakefield (Senior Statutory Auditor) for and on behalf of Mazars LLP Chartered Accountants and Statutory Auditor 6 Sutton Plaza, Sutton Court Road, Sutton, Surrey, SM1 4FS Date: 30-Sep-2021 

19 



## **The Anglican Consultative Council** 

## **Consolidated Statement of Financial Activities** 

## **For the Year Ended 31 December 2020** 

|**Notes**<br>**Income**<br>_Donations_<br>Inter Anglican Budget Contributions<br>Compass Rose Donations<br>Other Donations<br>_Investment Income_<br>_Other Income_<br>CJRS Grant<br>Miscellaneous Income<br>**Total Income Charity**<br>_Donations_<br>Anglican Agencies<br>Donations<br>**Income – subsidiary – Anglican Alliance**<br>**Total Income – Group**|**Unrestricted**<br>**Restricted**<br>**Endowment**<br>**2020**<br>**Unrestricted**<br>**Restricted**<br>**Endowment**<br>**2019**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>1,446,618<br>6,337<br>-<br>**1,452,955**<br>1,422,027<br>41,269<br>-<br>**1,463,296**<br>331,185<br>109,852<br>-<br>**441,037**<br>250,519<br>207,649<br>-<br>**458,168**<br>1,592<br>279,855<br>-<br>**281,447**<br>10,487<br>470,123<br>-<br>**480,610**<br>18,500<br>7,026<br>28,427<br>**53,953**<br>19,870<br>6,865<br>27,659<br>**54,394**<br>113,724<br>28,640<br>-<br>**142,364**<br>-<br>-<br>-<br>**-**<br>90,522<br>-<br>-<br>**90,522**<br>23,553<br>993<br>-<br>**24,546**|
|---|---|
||2,002,141<br>431,710<br>28,427<br>**2,462,278**<br>1,726,456<br>726,899<br>27,659<br>**2,481,014**|
||155,356<br>113,051<br>-<br>**268,407**<br>165,537<br>148,228<br>-<br>**313,765**<br>714<br>-<br>-<br>**714**<br>6,108<br>-<br>-<br>**6,108**|
||156,070<br>113,051<br>-<br>**269,121**<br>171,645<br>148,228<br>-<br>**319,873**|
||2,158,211<br>544,761<br>28,427<br>**2,731,399**<br>1,898,101<br>875,127<br>27,659<br>**2,800,887**|



20 



|**Consolidated Statement of Financial Activities (continued)**|**Consolidated Statement of Financial Activities (continued)**|**Consolidated Statement of Financial Activities (continued)**||||||||
|---|---|---|---|---|---|---|---|---|---|
|**For the Year Ended 31 December 2020**||||||||||
|**Expenditure**|**Notes**|**Unrestricted**|**Restricted**|**Endowment**|**2020**|**Unrestricted**|**Restricted**|**Endowment**|**2019**|
|**Charity**||**£**|**£**|**£**|**£**|**£**|**£**|**£**|**£**|
|_Expenditure on Charitable Activities_||||||||||
|Secretary General's Office & Instruments of||||||||||
|Communion||688,206|45,432|-|**733,638**|986,316|270,245|-|**1,256,561**|
|Unity, Faith and Order||184,571|8,820|-|**193,391**|305,981|34,250|-|**340,231**|
|Mission & Discipleship||145,785|86,903|-|**232,688**|140,707|90,594|-|**231,301**|
|Gender Justice||124,473|21,858|-|**146,331**|73,318|53,528|-|**126,846**|
|Communications||270,480|17,526|-|**288,006**|264,150|18,230|-|**282,380**|
|Theological Studies||67,785|144,918|-|**212,703**|52,458|160,977|**-**|**213,435**|
|Anglican Communion Office at the United Nations||94,684|179,043||**273,727**|78,928|217,623|-|**296,551**|
|**Expenditure – Charity**|3|1,575,984|504,500|-|**2,080,484**|1,901,858|845,447|-|**2,747,305**|
|**Subsidiary - Anglican Alliance**||||||||||
|_Expenditure on Charitable Activities_||||||||||
|Development||45,277|10,918||**56,195**|53,083|61,402|-|**114,485**|
|Relief||60,373|56,284||**116,657**|8,839|9,000|-|**17,839**|
|Advocacy||15,092|46,475||**61,567**|54,596|75,047|-|**129,643**|
|Capacity Building||30,568|55,570||**86,138**|53,511|50,493|-|**104,004**|
|Regional Meetings||1,890|-||**1,890**|12,059|-|-|**12,059**|
|**Expenditure – Subsidiary**|3|**153,200**|**169,247**|**-**|**322,447**|182,088|195,942|-|**378,030**|
|**Total Expenditure – Group**||1,729,184|673,747|-|**2,402,931**|2,083,946|1,041,389|-|**3,125,335**|
|**Net Gains on investments**|7|39,619|13,337|65,397|**118,353**|103,357|34,936|147,131|**285,424**|
|**Net Income / (Expenditure)**||468,646|(115,649)|93,824|**446,821**|**(82,488)**|**(131,326)**|**174,790**|**(39,024)**|
|Actuarial gain on defined pension<br>scheme|1,13|(23,635)|-|-|**(23,635)**|(27,635)|-|-|**(27,635)**|
|Transfers between funds|9|(25,164)|81,944|(56,780)|**-**|(122,039)|162,069|(40,030)|**-**|
|**Net movement in funds for the year**|4|**419,847**|**(33,705)**|**37,044**|**423,186**|**(232,162)**|**30,743**|**134,760**|**(66,659)**|
|**Reconciliation of funds**||||||||||
|Total funds brought forward||189,499|1,009,678|935,363|2,134,540|421,661|978,935|800,603|2,201,199|
|**Total funds carried forward**||**609,346**|**975,973**|**972,407**|**2,557,726**|**189,499**|**1,009,678**|**935,363**|**2,134,540**|



The Statement of Financial Activities also complied with the requirements for an income and expenditure account under the Companies Act 2006.  All activities relate to ongoing activities. The Charity has no recognised gains or losses other than the net movement in funds shown above. 

21 



## **Anglican Consultative Council (Company No. 7311767)** 

## **Balance Sheet** 

## **as at 31 December 2020** 

|**Balance Sheet**<br>**as at 31 December 2020**|||||||||
|---|---|---|---|---|---|---|---|---|
|**Consolidated**||**Unrestricted**|||**Restricted**||||
|||||**Other**|||||
||**Notes**|**General**|**Designated**|**Restricted**|**Property**|**Endowment**|**2020**|**2019**|
|**Fixed Assets**||**£**|**£**|**£**|**£**|**£**|**£**|**£**|
|Intangible assets|||||||||
|Software|6|25,862|-|-|-|-|**25,862**|**16,569**|
|Tangible assets|||||||||
|Office equipment|6|25,004|-|-|-|-|**25,004**|**33,166**|
|Leasehold property|6|78,934|-|-|158,498|-|**237,432**|**314,395**|
|Investments|7|541,008|347,347|225,154|-|980,496|**2,094,005**|**1,779,274**|
|||670,808|347,347|225,154|158,498|980,496|**2,382,303**|**2,143,404**|
|**Current Assets**|||||||||
|Debtors|8a|338,928|-|41,845|-|-|**380,773**|**356,835**|
|Cash at bank and in hand||83,496|88,635|473,721|-|-|**645,852**|**590,824**|
|Inter fund Borrowing||(70,384)|-|78,473|-|(8,089)|**-**|**-**|
|||352,040|88,635|594,039|-|(8,089)|**1,026,625**|**947,659**|
|**Current Liabilities**|||||||||
|Creditors: Amounts falling due within 1 year|8b|219,484|88,635|1,718|-|-|**309,837**|**359,158**|
|**Net Current Assets**||132,556|-|592,321|-|(8,089)|**716,788**|**588,501**|
|**Total Assets less Current Liabilities**||803,364|347,347|817,475|158,498|972,407|**3,099,091**|**2,731,905**|
|Creditors: Amounts falling after more than 1 year|||||||||
|Defined benefit pension scheme liability|8c|-|541,365|-|-|-|**541,365**|**597,365**|
|**Total Net Assets / (Liabilities)**||803,364|(194,018)|817,475|158,498|972,407|**2,557,726**|**2,134,540**|
|**The Funds of the Group**|9|**803,364**|**(194,018)**|**817,475**|**158,498**|**972,407**|**2,557,726**|**2,134,540**|



These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime. Approved by the Trustees and signed on their behalf by: 

Margaret Swinson (Sep 29, 2021 18:08 GMT+1) 

Margaret Swinson, Vice Chair Date: 29-Sep-2021 

22 



## **Anglican Consultative Council (Company No. 7311767)** 

## **Balance Sheet** 

|**Balance Sheet**|||||||||
|---|---|---|---|---|---|---|---|---|
|**as at 31 December 2020**|||||||||
|**Charity**||**Unrestricted**|||**Restricted**||||
|||||**Other**|||||
||**Notes**|**General**|**Designated**|**Restricted**|**Property**|**Endowment**|**2020**|**2019**|
|**Fixed Assets**||**£**|**£**|**£**|**£**|**£**|**£**|**£**|
|Intangible assets|||||||||
|Software|6|25,862|||||**25,862**|**16,569**|
|Tangible assets|||||||||
|Office equipment|6|22,869|-|-|-|-|**22,869**|**31,744**|
|Leasehold property|6|78,934|-|-|158,498|-|<br>**237,432**|**314,395**|
|Investments|7|541,008|347,347|225,154|-|980,496|**2,094,005**|**1,779,274**|
|Total Fixed Assets||668,673|347,347|225,154|158,498|980,496|**2,380,168**|**2,141,982**|
|**Current Assets**|||||||||
|Debtors|8a|323,928|-|33,284|-|-|<br>**357,212**|**342,131**|
|Cash at bank and in hand||-|88,635|362,237|-|-|**450,872**|**403,506**|
|Inter-fund borrowing||(70,384)|-|78,473|-|(8,089)|**-**|**-**|
|Total Current Assets||253,544|88,635|473,994|-|(8,089)|**808,084**|**745,637**|
|**Current Liabilities**|||||||||
|Creditors amounts falling due within 1 year|8b|189,513|88,635|1,171|-|-|**279,319**|**339,198**|
|**Net Current Assets / (Liabilities)**||64,031|-|472,823|-|(8,089)|**528,765**|**406,439**|
|**Total Assets less Current Liabilities**||732,704|347,347|697,977|158,498|972,407|**2,908,933**|**2,548,421**|
|Creditors: Amounts falling after more than 1 year|||||||||
|Defined benefit pension scheme liability|8c|-|541,365|-|-|-|**541,365**|**597,365**|
|**Total Net Assets / (Liabilities)**||732,704|(194,018)|697,977|158,498|972,407|**2,367,568**|**1,951,056**|
|**The Funds of the Charity**||**732,704**|**(194,018)**|**697,977**|**158,498**|**972,407**|**2,367,568**|**1,951,056**|



These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime. Approved by the Trustees and signed on their behalf by: 

Margaret Swinson (Sep 29, 2021 18:08 GMT+1) 

Margaret Swinson, Vice Chair 

Date: 29-Sep-2021 

23 



**Anglican Consultative Council Statement of Cash Flows** 

## **For the Year Ended 31st December 2020** 

## **Consolidated** 

## **Reconciliation of net (expenditure)/income to net cash** 

|**Reconciliation of net (expenditure)/income to net cash**||
|---|---|
|**flow from Operating Activities**<br>Net(Expenditure)/ Income<br>Actuarial losses on defined pension scheme<br>Transfers between funds<br>Depreciation<br>(Gains) on investments<br>(Decrease) / Increase in Creditors<br>(Increase) / Decrease in Debtors<br>**Net cash provided by / (used in ) Operating Activities**<br>**Cash flows from Investing Activities**<br>(Purchase) of fixed assets<br>(Purchase) / Disposal of Investments<br>**Cash (used in) / provided by Investing Activities**<br>Increase / (Decrease) in cash and cash equivalents<br>**Cash and cash equivalents at the beginning of the year**<br>**Total cash and cash equivalents at the end of the year**|**General**<br>**Designated**<br>**Restricted**<br>**Property**<br>**Endowment**<br>**Total 2020**<br>**Total 2019**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>480,342<br>(11,696)<br>(6,860)<br>(108,789)<br>93,824<br>**446,821**<br>**(39,024)**<br>-<br>(23,635)<br>-<br>-<br>-<br>**(23,635)**<br>**(27,635)**<br>(313,799)<br>288,635<br>81,944<br>-<br>(56,780)<br>**-**<br>**-**<br>41,197<br>-<br>-<br>108,789<br>-<br>**149,986**<br>**143,705**<br>(39,619)<br>-<br>(13,338)<br>-<br>(65,396)<br>**(118,353)**<br>**(285,424)**<br>(26,268)<br>(56,000)<br>(23,053)<br>-<br>-<br>**(105,321)**<br>**47,564**<br>(65,419)<br>-<br>41,481<br>-<br>-<br>**(23,938)**<br>**(49,683)**|
||76,434<br>197,304<br>80,174<br>-<br>(28,352)<br>**325,560**<br>**(210,497)**|
||(74,154)<br>-<br>-<br>-<br>-<br>**(74,154)**<br>**(36,352)**<br>(47,653)<br>(197,347)<br>18,622<br>-<br>30,000<br>**(196,378)**<br>**100,000**|
||(121,807)<br>(197,347)<br>18,622<br>-<br>30,000<br>**(270,532)**<br>**63,648**|
||(45,373)<br>-43<br>98,796<br>-<br>1,648<br>**55,028**<br>**(146,849)**<br>58,485<br>88,678<br>453,398<br>-<br>(9,737)<br>**590,824**<br>**737,673**|
||**(13,112)**<br>**88,635**<br>**552,194**<br>**-**<br>**(8,089)**<br>**645,852**<br>**590,824**|



24 



## **The Anglican Consultative Council Notes to the Financial Statements For the year ended 31 December 2020** 

## **Note 1 – Accounting Policies** 

## **Accounting Conventions** 

- (a) The financial statements are prepared in accordance with 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) (effective 1 January 2019) – (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The charity is a public benefit entity as defined by FRS 102 (PBE 3.3a). 

- (b) The consolidated accounts of the Group incorporate the accounts of the charity, The Anglican Consultative Council, and its subsidiary, Anglican Alliance. No separate Statement of Financial Activities is presented for the charity as permitted by the Companies Act. Gross income for the charity alone was £2,462,278 (2019 £2,493,107) and net income was £440,147 (2019 £74,363 net expenditure) 

- (c) The historic cost convention applies to the treatment of Tangible Fixed Assets, except for investments, which are included at market value. Expenditure above £800 is capitalised. 

- (c) **Income** The most substantial source of income for the ACC is the contributions from the member Churches of the Anglican Communion. These contributions are accounted for on a cash received basis except that an accrual is made for late contributions received prior to the completion of the year's accounts. A similar principle is adopted in relation to certain substantial donations received late but supporting expenditure for the year. Otherwise, the accounts are kept on an accruals basis. 

- (d) **Expenditure** All expenditure is accounted for on an accruals basis and has been listed under the headings that aggregate all the costs related to that activity. Where costs cannot be directly attributed they have been allocated to activities on a basis consistent with the use of the resources. 

Direct costs including directly attributable salaries are allocated on an actual basis to the key strategic areas of activity. 

Support staff costs are allocated on the basis of time spent. Premises and utility costs, depreciation and the salaries of the St Andrew’s House warden and cleaning staff are allocated on the basis of floor space used. 

Governance costs include the costs of Trustees meetings, audit and professional fees. 

25 



## **Note 1 – Accounting Policies (Continued)** 

- (e) **Investments Gains and Losses** Investments are included at market value. Realised and unrealised gains and losses are calculated in relation to either, the market value at the end of the previous year, or, if purchase of the investments has been made in the same year as the sale, to cost. 

- (f) **Grant-making Policy** The ACC administers grants in accordance with the restricted purposes for which the Funds were originally donated. Grants are paid as soon as the applications have been received and approved. 

- (g) **Grants to subsidiary** The ACC makes grants to its subsidiary, Anglican Alliance.  Grants are made in cash and as donation in kind of staff time. (See note 11). This has been calculated based on the estimated staff time used, and the gross cost of those staff. 

- (h) Funds are set aside annually for specific purposes ( _Designated Funds_ ) and related expenses are charged to the appropriate fund. The balance on each fund is carried forward against expenses for future years and often includes an equalisation element for expenses incurred at irregular intervals. General and Designated Funds are classified as Unrestricted Funds available for use at the discretion of the Trustees in furtherance of the charitable objectives of ACC. 

- (i) Restricted funds are funds subject to specific restrictions imposed by donors or funds provided from external sources for specific projects. The purposes of Restricted Funds are set out in note 9. 

- (j) The General Fund, together with any other current funds not immediately required to meet expenditure, is invested in short term deposits and the income arising there from is credited to general funds. However, income arising from the deposit or investment of funds in accounts are kept for specific projects accrues to the relevant funds. 

- (k) The ACC has an endowment fund for the work of the Anglican Communion Office at the United Nations. This year, some of the Endowment has been spent on this ministry. 

- (k) **Depreciation and Amortisation** Tangible fixed assets are depreciated on a straight line basis over their estimated useful life. The periods used are: Leasehold Property Improvements 18.5 years or remaining life of lease (if shorter), Information Technology Equipment 4 years, Office Furniture and Equipment 5 years. Intangible fixed assets are amortised on a straight line basis over their estimated useful life.  The period used is 4 years. 

26 



## **Note 1 – Accounting Policies (Continued)** 

- (l) Foreign Currencies Assets, liabilities, revenues and costs expressed in foreign currencies are translated into sterling at rates of exchange ruling on the date the transactions occur, except for: 

   - monetary assets and liabilities which are translated at the rate ruling at the balance sheet date. 

   - transactions to be settled at a contract date and trading transactions covered by a related forward contract which are translated at those contracted rates. 

   - transactions on accounts kept by overseas entities and incorporated in these accounts are generally converted at the average rate for the year. 

- (m) **Pension Costs** Contributions to the ACC's pension scheme in which the ACC participates are charged to the Statement of Financial Activities in the period to which they relate. The ACC participates in a Defined Contributions Scheme as well as a Defined Benefits Scheme. The Defined Benefits Scheme was closed to existing members for future service on 28 February 2010.  The liability of the Defined Benefit Scheme is stated in accordance with FRS 102 on advice from the scheme actuaries. 

- (n) **Going concern** In the trustees’ report there is a review of financial performance and of the charity’s reserves position. There are adequate financial resources and the charity is well placed to manage business risks. It is a reasonable expectation that there are adequate resources to continue in operational existence for the foreseeable future. There are no known material uncertainties that call into doubt the charity’s ability to continue. The accounts have therefore been prepared on the basis that the charity is a going concern. 

## **Note 2 – Constitution** 

The Anglican Consultative Council is established by constitution subscribed to by all the member churches of the Anglican Communion and is a charity registered in England and Wales. 

On 12 July 2010 following the constitutional changes approved by the member churches, the ACC was incorporated as a company limited by guarantee, the assets and liabilities were transferred to the new company on 31 December 2010. 

27 



**Anglican Consultative Council Notes to the Financial Statements** 

## **For the Year ended 31 December 2020** 

|**Note 3**<br>**Analysis of Expenditure**<br>**Unrestricted Funds (General & Designated)**<br>**Charity**<br>_Charitable Activities_<br>Secretary General's Office & Instruments of Communion<br>Unity, Faith & Order<br>Mission & Discipleship<br>Gender Justice<br>Communications<br>Theological Studies<br>Anglican Communion Office at the United Nations<br>Unrestricted expenditure – Charity<br>**Subsidiary - Anglican Alliance**<br>_Charitable Activities_<br>Development<br>Relief<br>Advocacy<br>Capacity Building<br>Regional Meetings<br>Unrestricted expenditure - Anglican Alliance<br>Total Unrestricted expenditure|**Other**<br>**Staff**<br>**Direct**<br>**Support**<br>**Total**<br>**Total**<br>**Costs**<br>**Costs**<br>**Grants**<br>**Costs**<br>**2020**<br>**2019**<br>**£**<br>**£**<br>**£***<br>**£**<br>**£**<br>**£**<br>419,898<br>154,581<br>10,000<br>103,727<br>**688,206**<br>**986,316**<br>144,744<br>9,132<br>3,973<br>26,722<br>**184,571**<br>**305,981**<br>107,670<br>1,152<br>-<br>36,963<br>**145,785**<br>**140,707**<br>93,377<br>2,068<br>-<br>29,028<br>**124,473**<br>**73,318**<br>187,449<br>22,231<br>-<br>60,800<br>**270,480**<br>**264,150**<br>31,220<br>1,051<br>-<br>35,514<br>**67,785**<br>**52,458**<br>43,609<br>1,468<br>-<br>49,607<br>**94,684**<br>**78,928**|
|---|---|
||**1,027,967**<br>**191,683**<br>**13,973**<br>**342,361**<br>**1,575,984**<br>**1,901,858**|
||39,876<br>1,737<br>-<br>3,664<br>45,277<br>**53,083**<br>53,169<br>2,317<br>-<br>4,887<br>60,373<br>**8,839**<br>13,292<br>579<br>-<br>1,221<br>15,092<br>**54,596**<br>26,584<br>1,540<br>-<br>2,444<br>30,568<br>**53,511**<br>-<br>1,890<br>-<br>-<br>1,890<br>**12,059**|
||**132,921**<br>**8,063**<br>**-**<br>**12,216**<br>**153,200**<br>**182,088**|
|||
||**1,160,888**<br>**199,746**<br>**13,973**<br>**354,577**<br>**1,729,184**<br>**2,083,946**|



* Grants include Anglican Centre in Rome £10,000. 

28 



## **Anglican Consultative Council Notes to the Financial Statements For the Year Ended 31 December 2020** 

## **Note 3 (Continued)** 

**Restricted Funds (including Property Depreciation)** 

|**Note 3 (Continued)**<br>**Restricted Funds (including Property Depreciation)**||
|---|---|
|**Charity**<br>_Charitable Activities_<br>Secretary General's Office & Instruments of Communion<br>Unity, Faith & Order<br>Mission & Discipleship<br>Gender Justice<br>Communications<br>Theological Studies<br>Anglican Communion Office at the United Nations<br>Restricted expenditure – Charity<br>**Subsidiary – Anglican Alliance**<br>_Charitable Activities_<br>Development<br>Relief<br>Advocacy<br>Capacity Building<br>Regional Meetings<br>Restricted expenditure – Anglican Alliance<br>**Total Restricted and Endowment Expenditure**<br>**Total Expenditure**|**Staff**<br>**Costs**<br>**£**<br>**Other**<br>**Direct**<br>**Costs**<br>**£**<br>**Grants**<br>**£**<br>**Support**<br>**Costs**<br>**£**<br>**Total**<br>**2020**<br>**£**<br>**Total**<br>**2019**<br>£<br>-<br>6,863<br>-<br>38,569<br>**45,432**<br>**270,245**<br>-<br>57<br>-<br>8,763<br>**8,820**<br>**34,250**<br>15,222<br>530<br>58,340<br>12,811<br>**86,903**<br>**90,594**<br>3,285<br>2,920<br>-<br>15,653<br>**21,858**<br>**53,528**<br>-<br>-<br>-<br>17,526<br>**17,526**<br>**18,230**<br>110,840<br>21,318<br>-<br>12,760<br>**144,918**<br>**160,977**<br>154,922<br>6,604<br>-<br>17,517<br>**179,043**<br>**217,623**|
||**284,269**<br>**38,292**<br>**58,340**<br>**123,599**<br>**504,500**<br>**845,447**|
|||
||9,256<br>996<br>-<br>666<br>**10,918**<br>**61,402**<br>51,627<br>3,795<br>-<br>862<br>**56,284**<br>**9,000**<br>30,000<br>15,595<br>-<br>880<br>**46,475**<br>**75,047**<br>51,000<br>4,006<br>-<br>564<br>**55,570**<br>**50,493**<br>-<br>-<br>-<br>-<br>-<br>**-**|
||**141,883**<br>**24,392**<br>**-**<br>**2,972**<br>**169,247**<br>**195,942**|
||**426,152**<br>**62,684**<br>**58,340**<br>**126,571**<br>**673,747**<br>**1,041,389**|
||**1,587,040**<br>**262,430**<br>**72,313**<br>**481,148**<br>**2,402,931**<br>**3,125,335**|



29 



## **Anglican Consultative Council Notes to the Financial Statements For the Year Ended 31 December 2020** 

## **Note 3 (Continued)** 

|**Analysis of Support Costs**<br>**Charity**<br>Finance and Resources<br>Office Costs<br>Professional Fees<br>Information technology<br>Property<br>Governance<br>**Subsidiary - Anglican Alliance**<br>Office Expenses<br>Governance<br>Website<br>Publicity<br>**Total Support Costs**|**Secretary**<br>**General's Office**<br>**& Instruments of**<br>**Communion**<br>**Unity Faith**<br>**& Order**<br>**Mission &**<br>**Discipleship**<br>**Gender**<br>**Justice**<br>**Communi-**<br>**cations**<br>**Theological**<br>**Education**<br>**UN**<br>**Observer**<br>**2020**<br>**2019**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>2,894<br>805<br>1,198<br>902<br>1,897<br>1,125<br>529<br>**9,350**<br>**3,320**<br>17,664<br>2,878<br>4,081<br>9,099<br>12,848<br>4,263<br>6,552<br>**57,385**<br>**104,910**<br>12,156<br>2,095<br>2,884<br>2,249<br>4,167<br>2,781<br>4,024<br>**30,356**<br>**18,622**<br>19,871<br>5,389<br>7,544<br>5,883<br>10,777<br>7,275<br>10,162<br>**66,901**<br>**54,378**<br>89,683<br>24,318<br>34,067<br>26,548<br>48,637<br>32,830<br>45,857<br>**301,940**<br>**223,034**<br>28<br>-<br>-<br>-<br>-<br>-<br>-<br>**28**<br>**3,866**|
|---|---|
||**142,296**<br>**35,485**<br>**49,774**<br>**44,681**<br>**78,326**<br>**48,274**<br>**67,124**<br>**465,960**<br>**408,130**|
||**Development**<br>**Relief**<br>**Advocacy**<br>**Capacity**<br>**Building**<br>**Regional**<br>**Meetings**<br>**2020**<br>**2019**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>1,796<br>2,547<br>614<br>1,558<br>-<br>**6,515**<br>**3,149**<br>1,600<br>2,134<br>533<br>1,067<br>-<br>**5,334**<br>**15,739**<br>188<br>317<br>63<br>126<br>-<br>**694**<br>**329**<br>746<br>751<br>891<br>257<br>-<br>**2,645**<br>**2,084**<br>**4,330**<br>**5,749**<br>**2,101**<br>**3,008**<br>**-**<br>**15,188**<br>**21,301**<br>**481,148**<br>**429,431**|



30 



## **Anglican Consultative Council Notes to the Financial Statements For the Year Ended 31 December 2020** 

|**Note 4**|**Consolidated**|**Group**|**Charity**|**Charity**|
|---|---|---|---|---|
|**Net Movement in Funds is after charging:**|||||
||**2020**|**2019**|**2020**|**2019**|
|**Professional Fees**|**£**|**£**|**£**|**£**|
|Audit Fees - current year|18,042|17,940|13,482|13,380|
|Audit Fees - previous year|204|86|102|86|
|Accountancy & Advisory Fees|18,802|6,904|16,771|5,155|
|Depreciation|149,986|143,705|149,283|143,377|
|**Note 5**|||||
|**Trustees & Employee Information**|**2020**|**2019**|**2020**|**2019**|
|Average head count|36|36|27|27|
|Average number of full-time equivalent staff|employed;||||
|Based in London|24|25|21|22|
|Based overseas|5|5|2|2|
||29|30|23|24|
||**£**|**£**|**£**|**£**|
|Salaries|1,284,975|1,228,162|1,075,728|1,015,097|
|Social Security Costs|105,447|101,005|91,950|90,586|
|Pension Contributions|103,735|100,789|91,351|88,524|
|Other staff costs|92,883|56,405|53,207|53,956|
||**1,587,040**|**1,486,361**|**1,312,236**|**1,248,163**|
|The number of higher paid staff with emoluments in the following ranges were:|||||
|£60,000 to £69,999|-|1|-|1|
|£70,000 to £79,999|1|-|1|-|
|£90,000 to £99,999|-|1|-|1|
|£100,000 to £109,999|1|-|1|-|
||**£**|**£**|**£**|**£**|
|Employer's pension contributions in|||||
|respect of the above employees|14,290|14,080|14,290|14,080|
|Expenses reimbursed to 1 (2019 17)|||||
|trustees as meeting expenses:|598|46,945|-|46,945|



No remuneration was paid to Trustees in 2020 (2019 Nil). 

The key management personnel of the ACC comprise the trustees, the General Secretary, and the Chief Operating Officer.  The total employee benefits of the key management personnel of the ACC were £189,035 (2019 187,064). 

Restructuring costs during the period were £10,147 (2019 £573). 

31 



## **Anglican Consultative Council Notes to the Financial Statements** 

## **For the Year Ended 31 December 2020** 

||**Intangible**||**Tangible Fixed**|**Assets**||
|---|---|---|---|---|---|
||**Fixed Assets**|||||
||||**Information**|**Office**||
|||**Leasehold**|**Technology**|**Furniture &**||
|**Note 6**|**Software**|**Property**|**Equipment**|**Equipment**|**Total**|
|**Consolidated Group**|**£**|**£**|**£**|**£**|**£**|
|**Fixed Assets**||||||
|**Cost**||||||
|At 1 Jan 2020|38,065|2,066,691|42,641|124,502|**2,271,899**|
|Additions|17,617|50,669|5,868|-|**74,154**|
|At 31 December 2020|55,682|2,117,360|48,509|124,502|**2,346,053**|
|**Accumulated Amortisation / Depreciation**||||||
|At 1 Jan 2020|21,496|1,752,296|21,381|112,596|**1,907,769**|
|Charge for period|8,324|127,632|9,742|4,288|**149,986**|
|At 31 December 2020|29,820|1,879,928|31,123|116,884|**2,057,755**|
|**Net Book Values**||||||
|At 31 December 2020|**25,862**|**237,432**|**17,386**|**7,618**|**288,298**|
|At 31 December 2019|16,569|314,395|21,260|11,906|364,130|



||**Intangible**||**Tangible Fixed**|**Assets**||
|---|---|---|---|---|---|
||**Fixed Assets**|||||
||||**Information**|**Office**||
|||**Leasehold**|**Technology**|**Furniture &**||
|**Note 6**|**Software**|**Property**|**Equipment**|**Equipment**|**Total**|
|**Charity**|**£**|**£**|**£**|**£**|**£**|
|**Fixed Assets**||||||
|**Cost**||||||
|At 1 Jan 2020|38,065|2,066,691|40,891|124,502|**2,270,149**|
|Additions|17,617|50,669|4,452|-|**72,738**|
|At 31 December 2020|55,682|2,117,360|45,343|124,502|**2,342,887**|
|**Accumulated Amortisation / Depreciation**||||||
|At 1 Jan 2020|21,496|1,752,296|21,053|112,596|**1,907,441**|
|Charge for period|8,324|127,632|9,039|4,288|**149,283**|
|At 31 December 2020|29,820|1,879,928|30,092|116,884|**2,056,724**|
|**Net Book Values**||||||
|At 31 December 2020|**25,862**|**237,432**|**15,251**|**7,618**|**286,163**|
|At 31 December 2019|16,569|314,395|19,838|11,906|362,708|



32 



## **Anglican Consultative Council** 

## **Notes to the Financial Statements** 

## **For the Year Ended 31st December 2020** 

## **Note 7** 

|**Investments**<br>**At Market Value**<br>**Group & Charity**<br>Balance 1 January<br>Purchases<br>Disposals<br>Realised Gains<br>Unrealised Gains<br>**Balance 31 December**<br>Cost at 31 December|**2020**<br>**Valuation**<br>**£**<br>1,779,274<br>395,000<br>(198,622)<br>11,733<br>106,620|**2019**<br>**Valuation**<br>**£**<br>1,593,850<br>-<br>(100,000)<br>9,368<br>276,056|
|---|---|---|
||**2,094,005**|**1,779,274**|
||1,461,432|1,147,912|



The investments are held with CCLA Investment Management Limited in CBF Investment Fund and COIF Charities Investment Fund. 

|**Note 8**<br>**Debtors & Creditors**<br>**8a. Debtors**<br>Budget Contributions Due<br>Prepayments<br>Anglican Alliance Account<br>Compass Rose Grants<br>Lambeth Conference<br>Other Amounts Receivable<br>**8b. Creditors (less than one year)**<br>Taxation & Social Security<br>Accrued Expenses<br>Lambeth Conference Account<br>Anglican Alliance Account<br>Other Creditors<br>**8c. Creditors (more than one year)**<br>Defined Benefit Pension Scheme|**Consolidated Group**<br>**Charity**<br>**2020**<br>**2019**<br>**2020**<br>**2019**<br>**£**<br>**£**<br>**£**<br>**£**<br>164,965<br>29,575<br>164,965<br>29,575<br>44,732<br>136,801<br>44,222<br>136,621<br>-<br>-<br>-<br>1,417<br>146,697<br>155,993<br>146,697<br>155,993<br>209<br>-<br>209<br>-<br>24,170<br>34,466<br>1,119<br>18,525|
|---|---|
||**380,773**<br>**356,835**<br>**357,212**<br>**342,131**|
||**2020**<br>**2019**<br>**2020**<br>**2019**<br>**£**<br>**£**<br>**£**<br>**£**<br>27,229<br>27,093<br>24,038<br>23,764<br>110,969<br>90,754<br>91,705<br>80,359<br>-<br>17,050<br>-<br>17,050<br>-<br>800<br>-<br>171,639<br>224,261<br>162,776<br>218,025|
||**309,837**<br>**359,158**<br>**279,319**<br>**339,198**|
||**2020**<br>**2019**<br>**2020**<br>**2019**<br>**£**<br>**£**<br>**£**<br>**£**<br>541,365<br>597,365<br>541,365<br>597,365|



33 



## **Anglican Consultative Council** 

## **Notes to the Financial Statements** 

**For the Year Ended 31 December 2020** 

|**Anglican Consultative Council**<br>**Notes to the Financial Statements**<br>**For the Year Ended 31 December 2020**||
|---|---|
|**Note 9**<br>**Total Funds Movement**<br>**Unrestricted – General**<br>**Unrestricted – Designated**<br>ACC Meetings<br>Pension Reserve<br>Other Designated Funds<br>Total Designated Funds<br>**Restricted – Property**<br>**Other Restricted Funds**<br>Personal Emergencies<br>United Nations Observer<br>Theological Education<br>St Andrew's House refurbishment<br>Support for Sudan Province<br>Compass Rose Trust<br>Jerusalem Pilgrimage<br>Human Trafficking (Subsidiary)<br>Church and Communities Transf’m (Subsidiary)<br>Agents of Change (Subsidiary)<br>Covid 19 Response Compass Rose<br>Covid 19 Response Community of St Andrews<br>Other Funds<br>Total Other Restricted Funds<br>**Endowment**<br>**Total**|**Opening**<br>**Balances**<br>**Income**<br>**Expenditure**<br>**Changes in**<br>**Pension**<br>**Deficit**<br>**Liability**<br>**Unrealised**<br>**Gains on**<br>**Investments**<br>**Transfers**<br>**Closing**<br>**Balances**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>**£**<br>636,864<br>2,158,211<br>1,717,531<br>-<br>39,619<br>(313,799)<br>**803,364**|
||50,000<br>-<br>2,653<br>-<br>-<br>200,000<br>**247,347**<br>(597,365)<br>-<br>9,000<br>(23,635)<br>-<br>88,635<br>**(541,365)**<br>100,000<br>-<br>-<br>-<br>-<br>-<br>**100,000**|
||(447,365)<br>-<br>11,653<br>(23,635)<br>-<br>288,635<br>**(194,018)**|
||267,287<br>-<br>108,789<br>-<br>-<br>-<br>**158,498**|
||279,791<br>87,975<br>72,400<br>-<br>13,337<br>-<br>**308,703**<br>-<br>89,123<br>162,518<br>-<br>-<br>73,395<br>**-**<br>46,240<br>122,546<br>131,120<br>-<br>-<br>(81)<br>**37,585**<br>35,010<br>-<br>-<br>-<br>-<br>-<br>**35,010**<br>326<br>-<br>326<br>-<br>-<br>-<br>**-**<br>107,932<br>37,749<br>4,371<br>-<br>-<br>-<br>**141,310**<br>-<br>-<br>5,430<br>-<br>-<br>5,414<br>**(16)**<br>112,798<br>-<br>46,475<br>-<br>-<br>-<br>**66,323**<br>11,641<br>80,000<br>50,046<br>-<br>-<br>-<br>**41,595**<br>11,692<br>-<br>7,328<br>-<br>-<br>-<br>**4,364**<br>-<br>33,284<br>33,284<br>-<br>-<br>-<br>-<br>-<br>20,000<br>20,000<br>-<br>-<br>-<br>-<br>136,961<br>74,084<br>31,660<br>-<br>-<br>3,216<br>**182,601**|
||742,391<br>544,761<br>564,958<br>-<br>13,337<br>81,944<br>**817,475**|
||935,363<br>28,427<br>-<br>-<br>65,397<br>(56,780)<br>**972,407**|
||**2,134,540**<br>**2,731,399**<br>**2,402,931**<br>**(23,635)**<br>**118,353**<br>**-**<br>**2,557,726**|



34 



**Anglican Consultative Council Notes to the Financial Statements For the Year Ended 31 December 2020** 

## **Note 9 (Continued)** 

**ACC Meeting** The ACC normally meets once every three years, meaning costs may vary significantly from year to year. 2019 was a year in which the ACC met. The meeting is financed by an annual allocation from general funds into a designated fund.  £200,000 was designated in 2020 towards the next conference in 2023. 

**Pension Reserve** The pension liability beyond one calendar year is set aside in a designated fund in order to facilitate separate monitoring of this material balance. £88,635 was transferred from general funds representing the payment for 2020. 

**Other Designated Funds** includes a balance of £100,000 set aside to make good any repairs as required at the expiry of the lease of St Andrew’s House. 

The **Property Fund** was used to fund the refurbishment and alteration costs to St Andrew’s House in 2004. These costs are being depreciated over the life of the lease. No further income needs to be raised as the expenditure has been fully funded. 

**Personal Emergencies Fund** The purpose of this fund is to meet urgent or critical medical needs of bishops, clergy, lay church workers, their families and dependants in order to reduce the impact on the ministry of the affected minister or church worker. 

**Anglican Communion Office at the United Nations** The ACC has Category II (Special) status with the United Nations Economic and Social Council (ECOSOC), which permits consultation with the UN Secretariat on matters of mutual concern. Restricted funds support the staff team and associated costs, funded by donations and an annual transfer from the related Endowment fund, with the remainder funded from unrestricted funds.  £56,780 was transferred from the Endowment to the restricted fund representing interest earned and the annual drawdown. 

**Theological Education** The Department of Theological Education & Studies is funded by outside grants most notably from St Augustine’s Foundation. £81 was transferred from unrestricted funds to contribute towards an overspending compared to budget for the Kenya conference and publications. 

**St Andrew’s House refurbishment** In 2017 a gift was given by Trinity Church, Wall Street in support of refurbishing the offices of the Charity to increase capacity and maintain good working order. 

**Support for Sudan Province** During July 2017, the Episcopal Church of Sudan became the 39[th] Province of the Anglican Communion. Grants are received from Barnabas Fund in order to support salaries for priests and bishops, and certain other costs, within the new Province.  Grants to the Province are made three or six monthly and financial reports are received showing the use of funds. 

35 



**Anglican Consultative Council Notes to the Financial Statements For the Year Ended 31 December 2020** 

## **Note 9 (Continued)** 

**Compass Rose Trust** During 2019, the Compass Rose Trust was established as a company in England. The entity was not successful in gaining recognition as a charity by the Charities Commission and will be closed. A subsequent agreement was made between The Compass Rose Society and the ACC to create the Compass Rose Endowment Fund within the ACC.   Whilst this progresses, Compass Rose Inc have granted funds to ACC with a restriction that they be invested in the new Endowment Fund once created.  See note 15 on related parties. 

**Jerusalem Pilgrimage** The purpose of this fund is to support a pilgrimage to Jerusalem arranged by Archbishop Josiah Idowu-Fearon and attended by several bishops and archbishops of the Anglican Communion, to Jerusalem.  The pilgrimage took place in August, and allowed those attending to build and strengthen relationships in advance of the upcoming Lambeth Conference. £10,435 was transferred from general funds to support this fund, representing approximate costs of attendance for ACC staff members. 

**Human Trafficking** A project that responds to the issues of modern slavery and human trafficking by bringing together international, interfaith and ecumenical actors to recommend national and international strategies, and provides a platform for initiatives from the local to the global to share experiences and best practices. This fund is held by the subsidiary, Anglican Alliance. 

**Church and Community Transformation** -  A project that addresses the challenges of poverty and inequality in local communities by bringing together practitioners and beginners to provide a platform for sharing experiences, best practices and strategies for effective church and community transformation that is based on the assets (the resources, skills and experiences) already present in the community. This fund is held by the subsidiary, Anglican Alliance. 

**Agents of Change** - A programme developed by the Anglican Alliance to help Anglicans anywhere in the world tackle poverty and bring about transformation in their local communities, comprising an 8- module course delivered in different ways, including face-to-face delivery - in part or whole - and distance-learning. This fund is held by the subsidiary, Anglican Alliance. 

**Resilience Course –** An online Resilience Course was launched in collaboration with Episcopal Relief and Development supporting churches to develop capacity in disaster preparedness and resilience. 

**Covid-19 Response Funds -** A project to help connect, equip and encourage the Anglican Communion’s churches and agencies in their response to the pandemic including the formation of a global Covid-19 task force and developing an online resource hub. 

**Health and Community Network –** The network will provide a coordinated Anglican voice on key health issues and bring together practitioners, church leaders and academics from across the Communion to inform practice and advocacy. 

**Endowment Fund** - The Endowment Fund was set up to support the work of the Anglican Communion Office at the United Nations.  The fund is invested in the Central Board of Finance (CBF) Church of England Investment Fund - Income Shares.  Up to 5% of the endowment plus annual income can be drawn to fund ministry costs.  £56,780 has been transferred from the Endowment in 2020. 

36 



## **Anglican Consultative Council Notes to the Financial Statements For the Year Ended 31 December 2020** 

## **Note 10 Lease Commitments** 

The charity is committed to making the following lease payments as follows: 

|**Equipment**|**2020**|**2019**|
|---|---|---|
||£|£|
|Payable within 1 year|16,305|27,336|
|Payable within 2 to 5 years|3,816|18,312|



**Note 11 Subsidiary – Anglican Alliance - Summary results** 

|**ote 11 Subsidiary – Anglican Alliance - Summary results**||
|---|---|
|Income<br>Expenditure<br>Net movement in funds for the year<br>Total fund balance as at 31 December|**Year**<br>**Year**<br>**2020**<br>**2109**<br>**£**<br>**£**<br>360,941<br>418,963<br>354,267<br>411,259|
||6,674<br>7,704|
||190,158<br>183,484|



Income includes a grant from the ACC of £60,000 cash and £31,820 donation in kind staff time (2019 £83,713) **.** 

## **Summary of transactions between the ACC and the subsidiary Anglican Alliance** 

|Opening balance<br>Expenses paid on behalf of Anglican Alliance<br>Grant made to Anglican Alliance<br>Donation in Kind staff costs included in the grant above<br>Grants to Anglican Alliance received by ACC<br>Grants to ACC received by Anglican Alliance<br>Cash transfer<br>Balance as at 31 December|**2020**<br>**2019**<br>**£**<br>**£**<br>1,417<br>(9,471)<br>23<br>5,232<br>(58,536)<br>(59,008)<br>31,820<br>30,008<br>(33,284)<br>(53,832)<br>10,000<br>-<br>47,760<br>88,488|
|---|---|
||(800)<br>1,417|



Grants made to Anglican Alliance but paid to ACC includes £33,284 grant from the Canadian Compass Rose Society. 

## **Note 12 Taxation** 

The Anglican Consultative Council is a registered charity and is obliged to comply with the HM Revenue & Customs Self-Assessment rules. However, its charitable activities are exempt from United Kingdom direct taxation. 

37 



**Anglican Consultative Council Notes to the Financial Statements For the Year Ended 31 December 2020** 

## **Note 13 Pension Commitments** 

## **Church of England Defined Benefits Scheme** 

Anglican Consultative Council participates in the Defined Benefits Scheme (DBS) section and in the Pension Builder Classic Scheme section of CWPF for lay staff.  The Schemes are administered by the Church of England Pensions Board, which holds the assets of the schemes separately from those of the Anglican Consultative Council and the other participating employers. 

The Church Workers Pension Fund has a section known as the Defined Benefits Scheme, a deferred annuity section known as Pension Builder Classic and a cash balance section known as Pension Builder 2014. 

## **Defined Benefits Scheme** 

The Defined Benefits Scheme (“DBS”) section of the Church Workers Pension Fund provides benefits for lay staff based on final pensionable salaries. 

For funding purposes, DBS is divided into sub-pools in respect of each participating employer as well as a further sub-pool, known as the Life Risk Pool.  The Life Risk Pool exists to share certain risks between employers, including those relating to mortality and post-retirement investment returns. 

The division of the DBS into sub-pools is notional and is for the purpose of calculating ongoing contributions.  They do not alter the fact that the assets of the DBS are held as a single trust fund out of which all the benefits are to be provided.  From time to time, a notional premium is transferred from employers’ sub-pools to the Life Risk Pool and all pensions and death benefits are paid from the Life Risk Pool. 

The scheme is a multi-employer scheme as described in Section 28 of FRS 102.  It is not possible to attribute DBS assets and liabilities to specific employers, since each employer, through the Life Risk Section, is exposed to actuarial risks associated with the current and former employees of other entities participating in DBS.  This means that contributions are accounted for as if DBS were a defined contribution scheme.  The pensions costs charged to the SoFA during the year are contributions payable towards benefits and expenses accrued in that year (2020: £3,900, 2019: £3,900) plus the figures in relation to the DBS deficit highlighted in the table below as being recognised in the SoFA, giving a total charge of £36,900 for 2020 (2019: £47,900). 

If, following an actuarial valuation of the Life Risk Pool, there is a surplus or deficit in the pool and the Actuary so recommends, further transfers may be made from the Life Risk Pool to the employers’ subpools, or vice versa.  The amounts to be transferred (and their allocation between the sub-pools) will be settled by the Church of England Pensions Board on the advice of the Actuary. 

A valuation of DBS is carried out once every three years. The most recently finalised was carried out as at 31 December 2016.  In this valuation, the Life Risk Section was shown to be in deficit by £2.6m and £2.6m was notionally transferred from the employers’ sub-pools to the Life Risk Section.  This increased the Employer contributions that would otherwise have been payable.  The overall deficit in DBS was £26.2m. 

38 



**Anglican Consultative Council Notes to the Financial Statements For the Year Ended 31 December 2020** 

## **Note 13 Pension Commitments (Continued)** 

A valuation as at 31 December 2019 was under way as at 31 December 2020.  The contributions agreed at that valuation will be reflected in the figures disclosed in the 2021 accounts. 

Following the valuation, the Employer has entered into an agreement with the Church Workers Pension Fund to pay expenses of £3,900  per year.  In addition deficit payments of £88,635 per year have been agreed for 10.00 years from 1 April 2018 in respect of the shortfall in the Employer subpool.  This obligation has been recognised as a liability within the Employer’s financial statements. 

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 below: 

|Balance sheet liability at 1 January<br>Deficit contribution paid<br>Interest cost (recognised in SoFA)<br>Remaining change to the balance sheet liability*(recognised in SoFA)<br>Balance sheet liability at 31 December|**2020**<br>**2019**<br>**£**<br>**£**<br>686,000<br>731,000<br>(89,000)<br>(89,000)<br>9,000<br>16,000<br>24,000<br>28,000|
|---|---|
||630,000<br>686,000|



* Comprises change in agreed deficit recovery plan and change in discount rate between year-ends. 

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: 

||December 2020|December 2019|December 2018|
|---|---|---|---|
|Discount rate|0.50%|1.40%|2.30%|



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

39 



**Anglican Consultative Council Notes to the Financial Statements For the Year Ended 31 December 2020** 

## **Note 13 Pension Commitments (Continued)** 

## **Pension Builder Scheme** 

The Pension Builder Scheme of the Church Workers Pension Fund is made up of two sections, Pension Builder Classic and Pension Builder 2014, both of which are classed as defined benefit schemes. 

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

Pension Builder 2014 is a cash balance scheme that provides a lump sum that members use to provide benefits at retirement.  Pension contributions are recorded in an account for each member.  This account may have bonuses added by the Board before retirement.  The bonuses depend on investment experience and other factors.  There is no requirement for the Board to grant any bonuses.  The account, plus any bonuses declared, is payable from members’ Normal Pension Age. 

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

The scheme is a multi-employer scheme as described in Section 28 of FRS 102 as it is not possible to attribute the Pension Builder Scheme’s assets and liabilities to specific employers.  This means that contributions are accounted for as if the Scheme were a defined contribution scheme.  The pensions costs charged to the SoFA in the year are contributions payable (2020: £91,351, 2019: £88,524), of which a total of £21,881.80 was outstanding at year end. 

A valuation of the Pension Builder Scheme is carried out once every three years. The most recent was carried out as at 31 December 2016. A valuation as at 31 December 2019 was under way as at 31 December 2020. 

For the Pension Builder Classic section, the valuation revealed a deficit of £14.2m on the ongoing assumptions used. At the most recent annual review, the Board chose not to grant a discretionary bonus, which will have acted to improve the funding position. There is no requirement for deficit payments at the current time. 

For the Pension Builder 2014 section, the valuation revealed a surplus of £1.8m on the ongoing assumptions used. There is no requirement for deficit payments at the current time. 

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

40 



**Anglican Consultative Council Notes to the Financial Statements For the Year Ended 31 December 2020** 

## **Note 14 Capital Commitments** 

There were no outstanding capital commitments at the year end. 

## **Note 15 Related Parties** 

During 2020, The Most Revd Dr Paul Kwong and The Most Revd Dr Josiah Idowu-Fearon, Secretary General, were trustees of The Anglican Centre in Rome.  Mr David White, key management personnel of the ACC also held the position of secretary of the Anglican Centre Rome.  In 2020 a grant of £10,000 was made to The Anglican Centre in Rome. 

During 2020, The Most Revd Dr Josiah Idowu-Fearon, Secretary General was a Trustee of the Anglican Alliance.  A grant of £60,000 was made to the Anglican Alliance during 2020. 

The Trustees of the Anglican Consultative Council nominate the majority of (3 of 5) Trustees of the Compass Rose Trust and having significant control.  There were no transactions with the Compass Rose Trust during 2020. 

41