Registered number: 07299797 Charity number: 1137570
THE MINSTER FELLOWSHIP
(A Company Limited by Guarantee)
UNAUDITED
TRUSTEES' REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
CONTENTS
| Page | |
|---|---|
| Reference and Administrative Details of the Company, its Trustees and Advisers | 1 |
| Trustees' Report | 2 - 6 |
| Trustees' Responsibilities Statement | 7 |
| Independent Examiner's Report | 8 |
| Statement of Financial Activities | 9 |
| Balance Sheet | 10 |
| Notes to the Financial Statements | 11 - 25 |
THE MINSTER FELLOWSHIP
(A Company Limited by Guarantee)
REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 29 DECEMBER 2020
Trustees
J L Hartley, Trustee (resigned 9 December 2020) G May, Trustee S J R McLardy, Trustee I A Burman, Trustee (appointed 9 December 2020)
Company registered number
07299797
Charity registered number
1137570
Registered office
Applebarn, Bull Lane, Gerrards Cross, Bucks, SL9 8RH
Accountants
Blick Rothenberg Limited, 16 Great Queen Street, Covent Garden, London, WC2B 5AH
Bankers
Barclays Bank
Co-operative Bank
Page 1
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee) TRUSTEES' REPORT FOR THE YEAR ENDED 29 DECEMBER 2020
The Trustees present their annual report together with the financial statements of the company for the 30 December 2019 to 29 December 2020. The Annual Report serves the purposes of both a Trustees' report and a Directors' report under company law. The Trustees confirm that the Annual Report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2015) as amended by Update Bulletin 1 (effective January 2015).
Since the company qualifies as small under section 382 of the Companies Act 2006, the Strategic Report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.
Objectives and activities
a. Policies and objectives
The companies objectives are:
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To advance the Christian faith for the benefit of the public in the Diocese of Oxford and in such parts of the UK and/or the world as the trustees think fit, through the establishment and operation of a church or churches.
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The provision of pastoral care for the congregations worshipping at such church or churches.
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To promote education and to prevent and relieve, poverty in the Diocese of Oxford and such parts of the UK and/or the world as the trustees may from time to time think fit.
In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.
b. Strategies for achieving objectives
The Trustees have deployed staff and the use of assets to achieve the objectives of the charity.
c. Grant-making policies
The Minster Fellowship deploys a donor-directed approach to making one off grants, as well as making monthly grants to pre-existing partnerships. All grants deliver to the overall charity objective and startegy.
Achievements and performance
a. Main achievements of the company
During the course of the year the charity met its objectives in providing the active advancement of the Christian Faith, through preaching, teaching as well as and publishing online services and resources. The provision of pastoral care was provided to five congregations in the UK, as well as through partners and projects in other parts of the world. Education was promoted through extensive children’s activities run by staff and volunteers, and in the writing of theological resources. Poverty relief played an important part, providing care during the pandemic both in the UK and to certain projects in Africa.
Fundraising was below expectations, but this was in a large part due to the pandemic.
Page 2
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee) TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 29 DECEMBER 2020
Achievements and performance (continued)
b. Review of activities
The following are some of the highlighted activities of the charity during the calendar year, which sit alongside regular weekly provision, including regular services of Christian worship, and volunteer-resourced activities for children and young people across multiple locations.
The year began with the spectre of Covid-19, and this quickly placed immense strain on the staff, congregation members of the Fellowship’s various projects, volunteers, officers and Trustees, and this also coincided with several of the planned structural changes for the Beaconsfield Congregation project. National lock-down rules placed restrictions upon everyday life, education, businesses, charities and churches. Three full national lockdowns were imposed in England in response to the coronavirus pandemic: March-June 2020, November 2020, and a third spilled into January 2021. The implications for physical and psychological health, civil life and religious gatherings, and the profound effect this had on young people may not be known for some time.
Planned activities were cancelled, including lambing days, Sunday services, prayer meetings, Easter services, and summer festivals.
Despite these challenges, midweek groups on Facebook, and streamed Sunday services continued all year for the Beaconsfield congregation with only a few larger outdoor gatherings in September and December at Stampwell Farm. Heathlands and Ascot congregations adapted very quickly and continued with growing online provision for adults and children. From September Forest Fires began in Beaconsfield within person and streamed outdoor services in the woods at Stampwell Farm. Pastoral provision across all locations was practically more difficult, as in-person meetings and social distancing rules meant that several community groups across the project locations held bi-weekly zoom calls for virtual socialising, prayer and church services. One activity of note would be the development of innovative approaches to church by the Minster Fellowship with the Tent App and the Forest Fires App developed to facilitate smaller gatherings and given away for free to serve the wider church nationally and internationally.
After 10 years of service at the Minster, including founding the charity and churches, the Rector had been granted a 3 month sabbatical to take place 2020. Unfortunately, the challenges of the Pandemic interrupted this, making it less restful than had been intended.
Project Updates
Walsall - Heathlands mission partnership MOU continued to enable ministry to flourish in Blakenall Heath despite the pandemic, and this will come to an end in 2022.
Latimer Minster Ascot online services were very popular with Rev Tim Norman interacting with new enquirers from all over the world, as well as locally.
West London Mission Hub was paused for much of 2021 due to coronavirus.
African projects – grants were made during the year to projects in Jos, Nigeria and Uganda. Several of our partners reported starvation amongst teachers in Kampala, and life-saving funds were sent Ufahari charity to alleviate this extreme poverty. Grants were sent also to Nigerian projects under the oversight of Rev Hassan John.
Page 3
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee) TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 29 DECEMBER 2020
Achievements and performance (continued)
Church of England - the relationship of Latimer Minster Beaconsfield Congregation to the Diocese of Oxford, since 2014 was governed by a BMO, this expired at the end 2019. In January 2020 a joint statement of intent to explore fruitful future cooperation was issued by the Diocese of Oxford and Trustees of Minster Fellowship. The Rector continued to serve the wider Church of England through theological education, itinerant speaking, consultation for Anglican evangelism initiatives and through his honorary Canon Theologian role at Winchester Cathedral.
The Online initiatives of Latimer Minster with weekly Forest Fires (with preachers including Dr Amy Orr-Ewing and Evangelist Michael Ots) were also very well received with thousands tuning in on various platforms. Special note should be given to two combination events with the Lou and Nathan Fellingham, and with Open Doors, which demonstrated the tenacity of churches in other parts of the world which face restrictions.
Beaconsfield Congregation of Latimer Minster - Since the beginning of the Minster Fellowship in 2010 one of the projects of the charity was a congregation planted initially in the Rectory, that met locally in Beaconsfield in a school and from 2012 at Stampwell farm. After phenomenal growth to more than 500 members including over 120 children, a period of consultation and a scouting party in 2019 involving multiple stakeholders discerned that some new structures were needed to serve the needs of this local congregation and empower localised decision making and governance.
An independent congregational membership CIO, with new elected trustees, nominated and chosen by regular worshippers in Beaconsfield with close relationship to the Minster Fellowship as the mother charity and including ongoing support for the projects especially supporting ministry amongst the poor and the persecuted, was agreed. After several months of work, the Minster Fellowship Charity agreed a significant financial grant to enable this transition to occur, and encouraged Beaconsfield congregational giving to be moved over to a new entity to facilitate this in the future. A Foundation CIO was named and formed in late 2020 by local trustees and did not retain any ongoing connection with the Minster Fellowship or its projects after 31 December 2020. Many of the Beaconsfield Latimer Minster congregation members and staff have dispersed or joined other local churches.
The Rector and all other associated projects remained within the vision, aims and objectives of the Minster Fellowship.
Financial review
a. Going concern
After making appropriate enquiries, the Trustees have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.
b. Reserves policy
The Board of Directors have established a policy whereby free reserves held by the charity should be maintained at sufficient levels to maintain the charity's operations in the event of short term funding fluctuations or unforeseen costs. In this initial period, it has not been possible to set aside funds for this purpose.
Page 4
THE MINSTER FELLOWSHIP
(A Company Limited by Guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 29 DECEMBER 2020
c. Principal risks and uncertainties
Security of digital presence and resources. With digital presence being more important today than ever, securing and protecting the digital footprint, identity, resources and brand integrity of The Minster Fellowship from attack is a priority.
Given the 10 year track record of The Minster Fellowship, Latimer Minster, its brand names and its’ officers profiles, the charity may be vulnerable to cloned accounts and digital misrepresentation in the pursuit of donations and good will being directed to other unrelated organisations. Steps have been taken to mitigate these threats. This will need to be monitored.
d. Financial risk management objectives and policies
The Directors have reviewed the risks to which a small charity operating with few employees is exposed. Appropriate procedures are in place to identify, monitor and review these risks on a regular basis.
e. Principal funding
During 2020 a combination of regular smaller gifts for congregational life was balanced with several larger gifts from individuals or charities. During 2021-2023 the new donor-directed and grant-making frameworks will encourage project-based giving, with unrestricted funds and Gift Aid contributing to centralised costs.
Structure, governance and management
a. Constitution
The Minster Fellowship is registered as a charitable company limited by guarantee and was set up by a Trust deed.
b. Methods of appointment or election of Trustees
The management of the company is the responsibility of the Trustees who are elected and co-opted under the terms of the Memorandum of Association.
c. Organisational structure and decision-making policies
The policy and operating decisions of the charity rest with the Directors who meet regularly to monitor the activities of the Company.
d. Policies adopted for the induction and training of Trustees
Trustee Training is in place and will be continually assessed.
e. Related party relationships
Rev Dr and Dr Amy Orr-Ewing are Landlords of Stampwell Farm, and Directors of Stampwell Farm Ltd. Dr Amy Orr-Ewing was a trustee until November 2019, and therefore also is resident in the Rectory.
Page 5
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee) TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 29 DECEMBER 2020
Structure, governance and management (continued)
f. Financial risk management
The Trustees have assessed the major risks to which the company is exposed, in particular those related to the operations and finances of the company, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.
g. Governance
The Minster Fellowship experienced rapid growth as a charity since its inception in 2010. Given our long standing commitment to constantly improving our processes and accountability, a governance review was commissioned by the Minster Fellowship’s trustees in 2019 and it concluded in July 2020. Laytons Solicitors updated policies and made recommendations such as a change of accountancy firm and the addition of a new trustee, all of which have been adopted and implemented.
h. Safeguarding
The safeguarding of children, young people and vulnerable adults is a matter of utmost priority to us. Our partner provider is 31:8 for training, policy support, DBS service and consultancy if required.
Plans for future periods
The Minster Fellowship will continue to make provision for online and digital resources, and will continue to support churches and church planting, through the receiving of gifts and the directing of grants to projects and partnerships. New Projects will be explored in the UK and beyond. Fellows will be convened regularly either in person or online, and new trustees will be recruited. During 2021 the Rector will respond to itinerant requests to minister at Sunday services, and rural church initiatives, and will develop local ministries in consultation with ministry team members and local church leaders and clergy.
Members' liability
The Members of the company guarantee to contribute an amount not exceeding £1 to the assets of the company in the event of winding up.
Approved by order of the members of the board of Trustees and signed on their behalf by:
I A Burman
Trustee Date: 31 May 2022
Page 6
THE MINSTER FELLOWSHIP
(A Company Limited by Guarantee)
STATEMENT OF TRUSTEES' RESPONSIBILITIES FOR THE YEAR ENDED 29 DECEMBER 2020
The Trustees (who are also the directors of the company for the purposes of company law) are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the Trustees to prepare financial statements for each financial . Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles of the Charities SORP (FRS 102);
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make judgments and accounting estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by order of the members of the board of Trustees and signed on its behalf by:
I A Burman Trustee Date: 31 May 2022
Page 7
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 29 DECEMBER 2020
Independent Examiner's Report to the Trustees of The Minster Fellowship ('the company')
I report to the charity Trustees on my examination of the accounts of the company for the year ended 29 December 2020.
Responsibilities and Basis of Report
As the Trustees of the company (and its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').
Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the company's accounts carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent Examiner's Statement
Since the company's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of The Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
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accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination; or
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the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
This report is made solely to the company's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the company's Trustees those matters I am required to state to them in an Independent Examiner's Report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the company and the company's Trustees as a body, for my work or for this report.
Signed: Dated: 22 July 2022 Daniel Burke Institute of Chartered Accountants in England and Wales
Blick Rothenberg Limited
Chartered Accountants 16 Great Queen Street Covent Garden London WC2B 5AH
Page 8
THE MINSTER FELLOWSHIP
(A Company Limited by Guarantee)
STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 29 DECEMBER 2020
| Note Income from: Donations and legacies 3 Investments 4 Total income Expenditure on: Charitable activities 6 Total expenditure Net (expenditure)/income Transfers between funds 15 Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward |
Unrestricted funds 2020 £ 167,817 156 167,973 315,835 315,835 (147,862) 23,887 (123,975) 175,157 (123,975) 51,182 |
Restricted funds 2020 £ 89,767 - 89,767 67,206 67,206 22,561 (23,887) (1,326) 1,991 (1,326) 665 |
Total funds 2020 £ 257,584 156 257,740 383,041 383,041 (125,301) - (125,301) 177,148 (125,301) 51,847 |
Total funds 2019 £ 512,251 141 |
|---|---|---|---|---|
| 512,392 | ||||
| 467,939 | ||||
| 467,939 | ||||
| 44,453 - |
||||
| 44,453 | ||||
| 132,695 44,453 |
||||
| 177,148 |
The Statement of Financial Activities includes all gains and losses recognised in the year.
The notes on pages 11 to 25 form part of these financial statements.
Page 9
REGISTERED NUMBER: 07299797
THE MINSTER FELLOWSHIP
(A Company Limited by Guarantee)
BALANCE SHEET FOR THE YEAR ENDED 29 DECEMBER 2020
| Note Fixed assets Tangible assets 11 Current assets Debtors 12 Cash at bank and in hand Creditors: amounts falling due within one year 13 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 14 Total net assets Charity funds Restricted funds 15 Unrestricted funds 15 Total funds |
1,318 67,712 69,030 (22,821) |
2020 £ 6,564 46,209 52,773 (926) 51,847 665 51,182 51,847 |
16,513 152,896 169,409 (16,685) |
2019 £ 25,350 152,724 178,074 (926) 177,148 1,991 175,157 177,148 |
|---|---|---|---|---|
The company was entitled to exemption from audit under section 477 of the Companies Act 2006.
The members have not required the company to obtain an audit for the year in question in accordance with section 476 of Companies Act 2006.
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
I A Burman
Trustee Date: 31 May 2022
The notes on pages 11 to 25 form part of these financial statements.
Page 10
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
1. General information
The Minster Fellowship is a company limited by guarantee incorporated in England and Wales. The address of its registered office is Applebarn, Bull Lane, Gerrards Cross, Bucks, SL9 8RH.
In the event that the company is wound up, each member of the company commits to contribute an amount of £10.
The financial statements are presented in Sterling (£).
2. Accounting policies
2.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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 2015), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
The Minster Fellowship meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
2.2 Going concern
After making enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence and meet its liabilities as they fall due for the foreseeable future, being a period of at least twelve months from the date these financial statements were approved. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.
2.3 Income
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Grants are included in the Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.
Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.
Page 11
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
2. Accounting policies (continued)
2.4 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the company's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
2.5 Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the company; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
2.6 Tangible fixed assets and depreciation
Tangible fixed assets costing £NIL or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using both the straight line and reducing balance methods.
Depreciation is provided on the following bases:
| Long-term leasehold property | - 7 years straight line |
|---|---|
| Fixtures and fittings | - 33% reducing balance |
2.7 Cash at bank and in hand
Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
Page 12
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
2. Accounting policies (continued)
2.8 Financial instruments
The company has elected to apply Sections 11 and 12 of FRS 102 in respect of financial instruments.
Financial assets and financial liabilities are recognised when the company becomes party to the contractual provisions of the instrument.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
The company’s policies for its major classes of financial assets and financial liabilities are set out below.
Financial assets
Basic financial assets, including trade and other debtors, cash and bank balances are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest for a similar debt instrument. Financing transactions are those in which payment is deferred beyond normal business terms or is financed at a rate of interest that is not a market rate.
Such assets are subsequently carried at amortised cost using the effective interest method, less any impairment.
Financial liabilities
Basic financial liabilities, including trade and other creditors are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Financing transactions are those in which payment is deferred beyond normal business terms or is financed at a rate of interest that is not a market rate.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Impairment of financial assets
Financial assets measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the profit and loss account.
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between the asset's carrying amount and the best estimate of the amount the company would receive for the asset if it were to be sold at the reporting date.
For financial assets measured at amortised cost, the impairment loss is measured as the difference between the asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If the financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Page 13
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
2. Accounting policies (continued)
Financial instruments (continued)
Derecognition of financial assets and financial liabilities
Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.
Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.
Offsetting of financial assets and financial liabilities
Financial assets and liabilities are offset and the net amount reported in the balance sheet when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
2.9 Pensions
The company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the company to the fund in respect of the year.
Pension costs have been allocated to the unrestricted and restricted funds on the basis of where the salary expense is recognised.
2.10 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the company and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the company for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
Page 14
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
3. Income from donations and legacies
| Unrestricted funds 2020 £ Donations 163,288 Grants 4,529 167,817 Total 2019 425,742 |
Restricted funds 2020 £ 89,767 - 89,767 86,509 |
Total funds 2020 £ 253,055 4,529 257,584 512,251 |
Total funds 2019 £ 504,373 7,878 |
|---|---|---|---|
| 512,251 | |||
4. Investment income
| Unrestricted funds 2020 £ Investment income 156 Total 2019 141 |
Total funds 2020 £ 156 141 |
Total funds 2019 £ 141 |
|---|---|---|
5. Analysis of grants
| Donations and miscellaneous Total 2019 |
Grants to Institutions 2020 £ 78,681 - |
Grants to Individuals 2020 £ 2,900 6,113 |
Total funds 2020 £ 81,581 6,113 |
Total funds 2019 £ 6,113 |
|---|---|---|---|---|
The charity made the following grants to institutions during the year:
Latimer Church
| 2020 | 2019 |
|---|---|
| £ | £ |
| 78,681 | - |
Page 15
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
6. Analysis of expenditure on charitable activities
Summary by fund type
| Unrestricted funds 2020 £ Rector's stipend and pension 12,111 Stampwell Farm associated costs - Houses for Duty and Clergy accommodation 40,004 Ministry costs and expenses 12,365 Salaries and labour costs 73,300 Church events and activities 3,009 Donations and miscellaneous 61,009 Mission support 273 General running costs 61,010 Stampwell Farm rent costs 26,284 Accountancy, bookkeeping, payroll and examination 5,965 Depreciation 20,505 315,835 Total 2019 364,776 |
Restricted funds 2020 £ - - - - 38,915 - 20,572 7,391 - - - 328 67,206 103,163 |
Total funds 2020 £ 12,111 - 40,004 12,365 112,215 3,009 81,581 7,664 61,010 26,284 5,965 20,833 383,041 467,939 |
Total funds 2019 £ 27,224 5,641 32,624 24,772 203,881 9,920 6,113 22,299 80,350 22,200 5,926 26,989 |
|---|---|---|---|
| 467,939 | |||
Page 16
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
7. Analysis of expenditure by activities
| Rector's stipend and pension Stampwell Farm associated costs Houses for Duty and Clergy accommodation Ministry costs and expenses Salaries and labour costs Church events and activities Donations and miscellaneous Mission support General running costs Stampwell Farm rent costs Accountancy, bookkeeping, payroll and examination Depreciation Total 2019 |
Activities undertaken directly 2020 £ 11,111 - 40,004 12,365 112,215 3,009 81,581 7,664 - - - - 267,949 326,833 |
Support costs 2020 £ 1,000 - - - - - - - 61,010 26,284 5,965 20,833 115,092 141,106 |
Total funds 2020 £ 12,111 - 40,004 12,365 112,215 3,009 81,581 7,664 61,010 26,284 5,965 20,833 383,041 467,939 |
Total funds 2019 £ 27,224 5,641 32,624 24,772 203,881 9,920 6,113 22,299 80,350 22,200 5,926 26,989 |
|---|---|---|---|---|
| 467,939 | ||||
8. Independent examiner's remuneration
| 2020 | 2019 | |
|---|---|---|
| £ | £ | |
| Fees payable to the company's independent examiner for the independent | ||
| examination of the company's annual accounts | 5,000 | 4,000 |
Page 17
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
9. Staff costs
| 2020 £ Wages and salaries 117,848 Contribution to defined contribution pension schemes 5,478 123,326 The average number of persons employed by the company during the year was as follows: 2020 No. Employees 6 |
2019 £ 222,060 9,045 |
|---|---|
| 231,105 | |
| 2019 No. 11 |
No employee received remuneration amounting to more than £60,000 in either year.
10. Trustees' remuneration and expenses
During the year, no Trustees received any remuneration or other benefits (2019 - £NIL).
During the year ended 29 December 2020, no Trustee expenses have been incurred (2019 - £NIL).
Page 18
THE MINSTER FELLOWSHIP
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
11. Tangible fixed assets
| Cost or valuation At 30 December 2019 Additions At 29 December 2020 Depreciation At 30 December 2019 Charge for the year At 29 December 2020 Net book value At 29 December 2020 At 29 December 2019 Debtors Due within one year Other debtors Prepayments and accrued income |
Long-term leasehold property £ 161,629 - 161,629 144,078 17,551 161,629 - 17,551 |
Motor vehicles £ 4,135 - 4,135 4,135 - 4,135 - - |
Fixtures and fittings £ 50,077 2,046 52,123 42,278 3,281 45,559 6,564 7,799 2020 £ 1,318 - 1,318 |
Total £ 215,841 2,046 |
|---|---|---|---|---|
| 217,887 | ||||
| 190,491 20,832 |
||||
| 211,323 | ||||
| 6,564 | ||||
| 25,350 | ||||
| 2019 £ 13,066 3,447 16,513 |
12. Debtors
Page 19
THE MINSTER FELLOWSHIP
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
13. Creditors: Amounts falling due within one year
| Bank overdrafts Trade creditors Other taxation and social security Other creditors Accruals and deferred income 14. Creditors: Amounts falling due after more than one year Amounts owed to other participating interests |
2020 £ 1,147 4,800 - 11,874 5,000 22,821 2020 £ 926 |
2019 £ - - 105 1,067 15,513 |
|---|---|---|
| 16,685 | ||
| 2019 £ 926 |
Page 20
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
15. Statement of funds
Statement of funds - current year
| Unrestricted funds General Fund Restricted funds African Mission Support Funds with no activity Designated Grants Diocese of Lichfield Latimer Minster Ascot Church Planning Total of funds |
Balance at 30 December 2019 £ 175,157 - 1,098 (37,519) 10,802 16,010 11,600 1,991 177,148 |
Income £ 167,973 2,025 - 43,590 34,300 9,852 - 89,767 257,740 |
Expenditure £ (315,835) (9,311) (328) (9,090) (38,915) (9,562) - (67,206) (383,041) |
Transfers in/out £ 23,887 7,286 (105) 3,019 (6,187) (16,300) (11,600) (23,887) - |
Balance at 29 December 2020 £ 51,182 |
|---|---|---|---|---|---|
| - 665 - - - - |
|||||
| 665 | |||||
| 51,847 |
Page 21
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
15. Statement of funds (continued)
| Statement of funds - prior year Balance at 30 December 2018 £ Unrestricted funds General Fund 148,032 Restricted funds African Mission Support (13,292) CS Lewis Institute Grant (2,538) Funds with no activity 493 Designated Grants - Latimer Minster Ascot - Church Planning - Designated Grants - (15,337) Total of funds 132,695 Summary of funds Summary of funds - current year Balance at 30 December 2019 £ General funds 175,157 Restricted funds 1,991 177,148 |
Income £ 425,883 2,175 - 2,714 54,010 16,010 11,600 - 86,509 512,392 Income £ 167,973 89,767 257,740 |
Expenditure £ (364,776) (14,666) - (2,109) (43,208) - - (43,180) (103,163) (467,939) Expenditure £ (315,835) (67,206) (383,041) |
Transfers in/out £ (33,982) 25,783 2,538 - - - - 5,661 33,982 - Transfers in/out £ 23,887 (23,887) - |
Balance at 29 December 2019 £ 175,157 - - 1,098 10,802 16,010 11,600 (37,519) 1,991 177,148 Balance at 29 December 2020 £ 51,182 665 51,847 |
|---|---|---|---|---|
| General funds Restricted funds |
16. Summary of funds Summary of funds - current year
Page 22
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
16. Summary of funds (continued)
Summary of funds - prior year
| General funds Restricted funds |
Balance at 30 December 2018 £ 148,032 (15,337) 132,695 |
Income £ 425,883 86,509 512,392 |
Expenditure £ (364,776) (103,163) (467,939) |
Transfers in/out £ (33,982) 33,982 - |
Balance at 29 December 2019 £ 175,157 1,991 |
|---|---|---|---|---|---|
| 177,148 |
17. Analysis of net assets between funds
Analysis of net assets between funds - current period
| Unrestricted funds 2020 £ Tangible fixed assets 5,899 Current assets 69,030 Creditors due within one year (22,821) Creditors due in more than one year (926) Total 51,182 |
Restricted funds 2020 £ 665 - - - 665 |
Total funds 2020 £ 6,564 69,030 (22,821) (926) |
|---|---|---|
| 51,847 |
Analysis of net assets between funds - prior period
| Tangible fixed assets Current assets Creditors due within one year Creditors due in more than one year Total |
Unrestricted funds 2019 £ 24,357 168,411 (16,685) (926) 175,157 |
Restricted funds 2019 £ 993 998 - - 1,991 |
Total funds 2019 £ 25,350 169,409 (16,685) (926) |
|---|---|---|---|
| 177,148 |
Page 23
THE MINSTER FELLOWSHIP
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
18. Pension commitments
The charity operates a defined contribution pension scheme for the benefit of the trustees and employees of the charity. The assets of the scheme are administered by trustees in a fund independent from those of the charity.
During the period the charity contributed £5,478 (2019: £9,045) to a defined contribution pension scheme. At the balance sheet date £Nil (2019: £Nil) remains unpaid and is included within other creditors.
19. Operating lease commitments
At 29 December 2020 the company had commitments to make future minimum lease payments under non-cancellable operating leases as follows:
| 2020 | 2019 | |||
|---|---|---|---|---|
| £ | £ | |||
| Not later than | 1 | year | 16,839 | 16,839 |
Page 24
THE MINSTER FELLOWSHIP (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 29 DECEMBER 2020
20. Related party transactions
The Rector, Francis Orr-Ewing is the spouse of Mrs Amy Orr-Ewing who was a Trustee up to November 2019.
Use of Stampwell Farm
The land and Buildings known as Stampwell Farm are owned jointly by Mr and Mrs Orr-Ewing.
The use of the land, comprising 17.7 acres and all other buildings not covered by the lease agreement, and income generated have been gifted to the Charity for the year.
Stampwell Farm Barns
Three barns on Stampwell Farm have been renovated for the charity's use.
These costs are being written-off over 7 years on a straight-line basis and at 29 December 2020 had been written-down in the accounts to a value of £Nil (2019: £17,551)
Use of the Three Barns
The charity has use of the Barns for meetings and events and for use as office facilities.
The charity leased the three barns from Stampwell Farm Ltd for an rent of £16,650 (2019: £22,200). This was on an annual rolling lease agreement, however during the current final year, this rental agreement ceased.
Cabins
Stampwell Farm has provided the charity use of two farm caravans / cabins, for which Stampwell Farm has received no rental income in addition to incurring the majority of the relating costs. There is no debt or obligation due to Stampwell Farm as this was intended as a gift to the charity over the last several years.
Stampwell Farm Ltd
Stampwell Farm Ltd is a management company owned and operated by Mr and Mrs Orr-Ewing to manage Stampwell Farm.
Benefits derived by Mr and Mrs Orr-Ewing
One or more trustees has been paid remuneration or has received other benefits from an employment with the charity. These are declared in note 10.
Stampwell Farm Ltd received an annual rent of £16,650 (2019: £22,200) from the Charity.
Mr and Mrs Orr-Ewing do not derive any overall personal benefit from the Stampwell Farm transactions or from any of the Barn improvements or other charity costs relating to activities on the Stampwell Farm land.
The receipt of rent for the barns into Stampwell Farm Ltd is offset by the gifted use of the land, by personal funds introduced or to be introduced for costs such as church planning and professional fees and by the detrimental impact on having church activities on private land.
Gifts
Mr and Mrs Orr-Ewing provided monthly donations to the charity totalling £750 (2019: £8,156).
The charity incurred expenses relating to the rectory of £34,993 (2019: £43,180).
Grants received during the year towards the rectory were £34,000 (2019: £Nil). The grant received in relation to December 2019, was received either side of the financial year end (2018: £48,000; 2020: £34,000).
Page 25