**REGISTERED CHARITY NUMBER 1138103**
## **Report of the Trustees and**
## **Financial Statement for the Year ended 31 August 2022**
**for**
**Wigan Methodist Circuit**
1
## **Wigan Methodist Circuit Report of the Trustees for the Year Ended 31 August 2022**
The trustees present their report with the financial statements of the charity for the year ended 31 August 2022. The trustees have adopted the provisions of the Charities Act 2011 and the Charities ‘Statement of Recommended Practice (SORP) 2015 ' as applicable to the Financial Reporting Standard (FRSSE) 2015.
## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number 1138103**
## **Principal address**
Wigan Methodist Circuit Circuit Office Spencer Road Whitley Wigan WN1 2QR
## **Trustees**
The members of the Circuit Meeting are the Charity Trustees. A full list of trustees is included in the financial statements.
## **Accountant and Independent Examiner**
Arc Accountancy Solutions Limited 51 Laverton Road Lytham St. Annes FY8 1EN
## **Advisers**
The charity's investment managers are TMCP, Central Buildings, Oldham Street, Manchester M1 1JQ.
## **The following ministers acted throughout the year:**
Rev S Swithenbank Rev J Hilton Rev Simon Rose Rev R Towle Deacon Kathy Lamb
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
The charity is controlled by its governing document, a deed of trust, and constitutes an unincorporated charity.
The charitable trust is constituted by the Deed of Union 1932, the Methodist Church Act 1976, is part of the Methodist Church of UK. The trustees listed have served throughout the year. Appointment of trustees is governed by the Methodist Church Act 1976. The Managing Trustees of Churches and the Circuit are empowered by our Standing Orders to appoint new trustees and to fill vacancies arising through resignation or death of an existing trustee. Circuit Managing Trustees have regular meetings where the Circuit’s main areas of activity and by extension the aims of the charity are discussed and agreed. The day to functioning of the circuit is governed by Standing Orders as set out in the Constitution, Practice and Discipline of the Methodist Church. The charitable trust is registered with the Charity Commission
2
## **Wigan Methodist Circuit Report of the Trustees for the Year Ended 31 August 2022**
## **FINANCIAL REVIEW**
## **Reserves policy**
The Managing Trustees review the major risks which the charity face and consider that there are none which would stop the charity from maintaining its objects. Assessments from individual churches have been agreed for the forthcoming year. It is the policy of the charity to maintain unrestricted funds at a reasonable level to cover unforeseen expenses. This provides sufficient funds to cover management and administration and support costs for at least 6-month.
Ministerial stipends remained at the same level. One Presbyteral Minister moved on and was replaced by a Diaconal Minister. One part-time Minister retired. One part-time lay employee finished during the year and we continue, via grants and donations received, to support three who work with local churches in the circuit and community. The manse at Upholland Road is now being leased and produces a regular monthly income. Greenways manse was sold in December 2020 and the proceeds of sale have been used to purchase a new manse more appropriate to the ministry needed on the east of the circuit, and up to the current manse recommendations.
Total assessment levied on the churches was £205,957. The overall net increase in Circuit funds for the year was £141,266. The total income and expenditure account for the year is detailed in the financial statements. The total value of manse and church property increased in the year by £284,893 mainly due to the purchase of the new manse, an increase in property valuations from the March 2022 insurance report, offset by sale of the Wesley Billinge church.
The coronavirus pandemic which began in March 2020 has resulted in loss of income from lettings and the need to support individual churches is likely to continue into the next financial year.
Funds available are sufficient to permit the trust to continue in operation in the medium term, given the agreed assessments of the individual churches and the Connexional nature of its governance. The trustees review the major risks which the charity faces and consider that there are none which would stop the charity from maintaining its objects. Support from individual churches has been promised for the forthcoming year.
## **Risk management**
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.
## **Safeguarding.**
The Circuit is committed to ensuring the implementation of the Connexional Safeguarding Policy, government legislation, guidance and safe practice in the circuit and in the churches. A training programme has enabled all members needing updating training and those needing initial training to attend an appropriate session.
## **Investment Powers**
The Methodist Church Act 1976 authorises the trustees to make and hold investments using the general and other funds of the charity, and such investments are presently held and shown within the financial statements at their current value.
3
## **Wigan Methodist Circuit Report of the Trustees for the Year Ended 31 August 2022**
## **OBJECTIVES AND ACTIVITIES**
The objectives and aims of the Managing Trustees are to oversee and further the work of the Methodist Church. To this end, those activities which come within the oversight of the Managing Trustees are to provide ministerial oversight, manage circuit property including manses, contribute, as agreed, to District and Connexional assessments and be mindful of development opportunities for the Circuit. In order to do this the Managing Trustees, raise assessments on individual Methodist Churches in the Wigan area in accordance with Standing Orders. They may also make grants to individual churches for property, Ministry and Mission as permitted and governed by the Standing Orders. The Managing Trustees believe that these activities and the church resources are for the public benefit as, through its work the Managing Trustees enable pastoral ministry, spiritual engagement and contribute to community development in the Wigan Area. The Managing Trustees have noted the Charity Commission’s guidance on public benefit.
## **ACHIEVEMENT AND PERFORMANCE**
The Wigan Circuit seeks to be a close union of its individual churches. Everyone connected with a church should expect to feel that they are an important part of the church family and be supported. Through our common faith in Christ we seek, in prayerful action, to share and spread the love of Jesus throughout the local and wider community. We have met several times as a circuit both for mission and social events to bring us together. Prayer and bible study groups, lent and advent groups and other mission training groups are held throughout the circuit. Several churches now have regular “Messy Church”.
Our churches serve the local community through coffee mornings, luncheon clubs, toddlers, friendship groups, family support groups, craft groups and book clubs all reaching out into the community. We have strong links with the two Methodist/Anglican Schools in our circuit and received a grant to support the work of our Schools and Church Family worker. The town Centre church works with the homeless and offers a food bank which is strongly supported by all the other circuit churches. Many church buildings are used on a regular basis for community activities by outside agencies including Action for Children, Age Concern, Healthy Living and are also home for many scout and guide association groups. Many of these groups have been slow to return to normal numbers following the impact of the Covid 19 pandemic. However, we continue to offer prayer spaces and warm places for anyone, and are supporting local schools and families with food parcels and pastoral care as appropriate.
A lot of the work in the circuit is done on a voluntary basis and includes that of Circuit and church officers, commissioned Lay Persons, Local Preachers and Worship Leaders, members and secretaries of all the church committees and those assisting in running children’s work etc. Ministerial and lay staff members, along with volunteers within the church, continue to undergo Safeguarding training. The appointment of the Transforming Church and Communities organisation to manage day to day circuit finances, the appointment of an accountant and the transfer of the current account to Unity Trust Bank with subsequent online facilities has improved the circuit’s ability to monitor our financial activities more effectively.
From a financial perspective, the Managing Trustees consider that the performance of the charity this year has been satisfactory. Despite the losses due to the coronavirus pandemic, Stipends and Salaries have been covered, circuit property managed and kept in reasonable repair and external expenses covered.
Both the Circuit and individual Churches are continuing to review the links within their communities and we have appointed a diaconal minister to start from September 2022 to assist with developing this work, alongside the other staff.
4
## **Wigan Methodist Circuit Report of the Trustees for the Year Ended 31 August 2022**
## **STATEMENT OF TRUSTEES RESPONSIBILITIES**
The trustees are responsible for preparing this report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed requires the trustees to prepare financial statements for each financial year. The statements must give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing those financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charity SORP;
- make judgements and estimates that are reasonable and prudent;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## **Approved by order of the Circuit Meeting on 06/12/2022 and signed on its behalf by:**
## **Rev. Shaun Swithenbank**
5
## **Wigan Methodist Circuit Report of the Trustees for the Year Ended 31 August 2022**
## **Appendix**
## **Managing Trustees 2021/22**
The trustees are the members of the Circuit Meeting as set out below as at 31 August 2022:
|**Circuit Staff**|Revd Shaun Swithenbank; Revd Richard Towle; Deacon Kathy Lamb; Mr Jim
Whelan;Mrs Elaine Meehan|
|---|---|
|**Circuit Stewards**|Mrs Margaret Sowerby;Mrs Olwen Calland;Mr John Hughes|
|**Sec. of Circuit mtg**|ActingSec Mrs Elaine Meehan|
|**Sec. of Preachers’**
**meeting**|Mr Ken Vernon|
|**Circuit Treasurer**|Vacant(Circuit staff cover)|
|**Circuit Property Sec**|VACANT(Circuit staff cover)|
|**World Mission Fund**|Vacant|
|**MHA**|Mrs Susan Foster|
|**Action for Children**|Mrs Carol Littler|
|**Circuit Safeguarding**|Mrs Agnes Houghton|
||**Treasurer; Steward + 2 reps from Church Councils**|
|**Aspull**|Mrs Denise Howarth;Mr Richard Baker;Mr Allen Howarth;Mrs Agnes Houghton|
|**Bispham**|Mrs Rosalind Smith;Mrs Jill Prosser;Mr Alan Roby;Dr David Lythgoe|
|**Blackrod**|(CLOSED)Mr Barrie Thompson|
|**Clowes**|Mrs Marjorie Johnson;Mrs Kathleen Lord;Mrs Margaret Wright;Mr David Lord|
|**Crooke**|Mrs Ruth Chapman;Mr Brian Seed;Mrs Vivienne Fletcher;Mr Stephen Tebbit|
|**Goose Green**|Dr John Rylance;Mr John Selley;Mrs Gill Harrison;Mr John Hughes|
|**Ince**|Mr GaryCalland;Mrs Olwen Calland;Mr Paul Johnson;Mrs TraceyWaterworth|
|**Orrell Post**|Mr Eric Ashcroft;Mr Keith Kynaston;Mrs Anne Finch;Mrs Elaine Waterworth|
|**Queen’s Hall**|Mr Sam Ocran;Mrs Margaret Parker;Miss Ruth Russell;Mrs Trish Green|
|**Shevington**|Mrs Elaine Ashcroft;Mr TonyBostock;Mrs Evelyn Barrow;Mrs Sue Roberts|
|**Spencer Road**|Mr Brian Kelly;Mr Bryan Shepherd;Mrs MaryLloyd;Mrs Carol Littler|
|**Standish**|Mr James Porter;Mr Andrew Sharrock;John Grayson;David Pilkington|
|**The Vale**|Mr Martin Ade-Hall;Janet Thomas;Mrs Ruth Ade-Hall;Mrs Liz Maxwell|
6
## **Wigan Methodist Circuit Statement of Financial Activities for the Year Ended 31 August 2022**
|**Income**
1 Donations and legacies
2 Income from monetary investments
3 Income from investment properties
4 Assessments on Churches
5 Capital Receipts & Levy refund
6 Grants received
7 Other charitable income
8**Total income**
**Expenditure**
**Expenditure on charitable activities:**
9 Grants and donations
10 Stipends, salaries, NIC and
pension costs
11 Property maintenance
12 District Assessment & Levy
13 Purchase of property
14 Depreciation
15 Office, administration and travel
expenses
16 Other outgoings
17**Total charitable expenditure**
**18 Net income before investment**
**losses/gains**
19 Losses/gains on monetary
investments
20 Gains on investment properties
**21 Net income/(expenditure) before**
**transfers**
22 Transfers between funds
23 Reclassification of funds
24 Other gains/(losses)
**25 Net movement in funds**
26 Funds brought forward
27 Property funds brought forward
28 Total Funds brought forward
**29 Total funds carried forward**|**Note**
3
14
14|**General Fund**
**(Unrestricted)**
**Circuit Model**
**Trust**
**(Unrestricted)**
**Designated**
**Funds**
**(unrestricted)**
**Restricted**
**Funds**
**Total**
**2021-22**
**REINSTA-**
**TED**
**Total**
**2020-21**
£
£
£
£
£
£
586
**586**
**1,625**
11
1,412
1
**1,424**
**1,288**
21,127
5,300
**26,427**
**24,153**
205,957
**205,957**
**202,972**
212,337
**212,337**
**193,304**
10,000
**10,000**
**10,000**
3,029
15,738
**18,767**
**12,525**
**230,710**
**213,749**
**5,300**
**25,739**
**475,498**
**445,867 **|
|---|---|---|
||4
8
7|529
5,000
353
**5,882**
**250**
158,677
17,566
**176,243**
**224,742**
50,483
8,535
**59,018**
**43,990**
59,240
19,209
**78,449**
**69,007**
1,975
275,000
**276,975**
**0**
**0**
**0**
18,815
1,063
**19,878**
**20,374**
2,504
**2,504**
**9,172**
**292,223**
**300,272**
**8,535**
**17,919**
**618,949**
**367,535**|
|||**(61,513)**
**(86,523)**
**(3,235)**
**7,820**
**(143,451)**
**78,332**|
||9|(176)
(176)
435
191,918
191,918
118,754
**130,405**
**(86,699)**
**(3,235)**
**7,820**
**48,291**
**197,521**|
||10|20,000
(20,000)
0
0
92,975
92,975
(288,840)
0
0
**243,380**
**(106,699)**
**(3,235)**
**7,820**
**141,266**
**(91,319)**|
|||29,592
372,785
22,066
19,162
443,605
364,838
2,586,514
2,586,514
2,756,600
2,616,106
372,785
22,066
19,162
3,030,119
3,121,438|
|||**2,859,486**
**266,086**
**18,831 **
**26,982 **
**3,171,385**
**3,030,119**|
7
## **Wigan Methodist Circuit Balance Sheet**
## **for the Year Ended 31 August 2022**
|**Fixed Assets**|**Note**|**General Fund**
**(Unrestricted)**
£|**Circuit Model**
**Trusts**
**(Unrestricted)**
£|**Designated**
**Funds**
**(Unrestricted)**
£|**Restricted**
**Funds**
£|**Totals**
**2022**
£|
|---|---|---|---|---|---|---|
||||||||
|Circuit Manses & Equipment|11|1,660,740||||1,660,740|
|Other Properties (church buildings)|11|972,806||||972,806|
|Investment Properties|11|237,861||||237,861|
|**_Total fixed assets_**||**2,871,407 **|**0**|**0**|**0**|**2,871,407 **|
|**Current Assets**|||||||
|Debtors|12|11,987|||532|12,519|
|Loans by the Circuit|||||||
|Investments with TMCP||1,209|266,086||160|267,455|
|Central Finance Board Deposits||448||||448|
|Cash at Bank and in hand||(16,351)||18,831|26,290|28,770|
|**_Total current assets_**||**(2,707)**|**266,086**|**18,831 **|**26,982 **|**309,192 **|
|**Current liabilities**|||||||
|Creditors (due in under 1 year)|13|9,214||||9,214|
|Grants payable within 2020-21||||||0|
|**_Total current liabilities_**||**9,214**||||**9,214**|
|**_Net current assets/liabilities_**||**(11,921)**|**266,086**|**18,831 **|**26,982 **|**299,978**|
||||||||
|**_Total assets less current_**
**_liabilities_**||**2,859,486**|**266,086**|**18,831 **|**26,982 **|**3,171385**|
||||||||
|**Long term liabilities**
**(due after more than oneyear)**|||||||
|Grants payable after 2019-19|||||||
|Loans to the Circuit|||||||
||||||||
|**_Net assets_**||**2,859,486**|**266,086**|**18,831 **|**26,982 **|**3,171,385**|
|**Funds of the Circuit**|||||||
|General Fund (Unrestricted)||2,859,486||||2,859,486|
|Circuit Model Trust Fund
(Unrestricted)|||266,086|||266,086|
|Designated Funds (Unrestricted)||||18,831||18,831|
|**_Total Unrestricted Funds_**||||||**3,144,403**|
|Restricted Funds|||||26,982|26,982|
|Endowment Funds|||||||
|**_Total Funds_**|14|**2,859,486**|**266,086**|**18,831 **|**26,982 **|**3,171,385**|
8
## **Report of the Independent Examiners To the Trustees of Wigan Methodist Circuit**
## **1 Basis of accounting policies**
## **i Accounting standard**
The financial statements have been prepared in accordance with _Accounting and Reporting by Charities: Statement of Recommended Practice (SORP)_ applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective from 1 January 2015) - (Charities SORP (FRS 102)).
## **ii Public benefit entity**
The Wigan Methodist Circuit meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical costs or transaction value unless otherwise stated in the relevant accounting policy note(s) below.
## **iii Basis**
These accounts have been prepared on the basis of historical cost except that investments are shown at their market value at the end of the year. The accruals basis has been used and trustees present accounts that show a true and fair view of the Circuit’s financial position and activities.
## **iv Content**
The financial information presented is relevant, reliable, comparable and complete. Where estimates are used these are based on experience, research, and judgement. The accounts are expressed in £ Sterling, rounded to the nearest pound.
## **v FRS102 SORP2015**
The accounts have been prepared in accordance with applicable charity law in England this being the Charities Act 2011, The Charities (Accounts and Reports) Regulations 2008 SI 2008/629 and Accounting and Reporting by charities: Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with FRS 102.
## **vi Going concern**
Based on the monetary assets and human resources available at 31 August 2022, the trustees believe that the Circuit is a going concern.
## **vii Consolidation**
The Circuit has denominational regulatory oversight in respect of the work of the Churches within the Circuit but has no legal or operational control of those Churches and their governing bodies except in extreme circumstances. For this reason, the financial statements of Churches within the Circuit are not consolidated into these financial statements.
## **viii Income recognition**
Income is brought into account when there is entitlement and the amount is reliably measurable once it is more likely than not that the economic benefit of the income will be forthcoming.
Individual amounts categorised as _Other income_ in the SOFA will be shown separately if they are considered material.
The Circuit acts as agent in two matters:
- the collection from Churches and payment over of their contributions to various funds controlled and administered by The Methodist Church - "Connexional Funds"
- the administration (application, collection and disbursement) of grants requested by Churches within the Circuit from, but not limited to, the District and Connexion. In all these matters the transactions are not reflected in the SOFA because they are the income of either the Connexion or Churches as appropriate. Instead, the transactions are disclosed in the Notes to the Accounts as required by SORP (FRS102), module 19.12n.
In accordance with the Charities SORP (FRS 102), the time of volunteers is not recognised. If goods are donated, a value will be shown in the SOFA or Notes where the value is considered material.
## **ix Expenditure**
This is recognised when a liability is incurred, or a constructive obligation arises, where the amount is reliably measurable and it is
9
## **Report of the Independent Examiners To the Trustees of Wigan Methodist Circuit**
considered more likely than not that there will be an outflow of economic benefit.
## **x Grants**
Grants made by the Circuit from its own funds are recognised in full at the time of agreement or when the Circuit accepts that there is a legal or operational obligation to make the payment. When the grant is recurrent over more than one year the balance payable in future years is treated as a provision for future commitments in the Balance Sheet against the appropriate fund, the provision being released in future years as instalments are paid in accordance with the originally agreed terms.
## **xi VAT**
Since the Circuit is not VAT registered, all input VAT is charged with the expenses to which it refers.
## **xii Tangible fixed assets**
These are capitalised if they can be used for more than one year, and individually cost at least £250. The freehold and/or long leasehold residential property is shown in the accounts at March 2022 deemed values, being the insurance reinstatement according to Methodist Insurance as at March 2022. No depreciation is provided on the buildings because the trustees consider the current residual fair value of the manse buildings (on the assumption that it had reached the end of its useful economic life by the year-end) to be not less than its current value. Any depreciation would not be material. The property has been reviewed for impairment.
From time to time the Circuit may be required to assume responsibility for Church premises following closure and cessation of worship. This results in the Circuit becoming Managing Trustees for the property. At that time the property is recognised as an asset at its anticipated net sale price as determined by professional valuation. Expenditure on such assets, if held for reinvestment of the proceeds, as the trustees determine, likely to enhance sale value is capitalised at the time expenditure is incurred.
## **xiii (a) Investment Properties**
From time to time the Circuit may hold residential property (formerly manses) which is surplus to its normal staffing requirements. Where this is the case and it is anticipated that the property is unlikely to be used as a manse within a period of two years, the property is classified as Investment Property (whether let out or not) and any lets are at market rates unless there is a compelling reason not to do so in furtherance of the Circuit's charitable objectives
## **xiii (b) Investments**
The Circuit's investments are in monetary assets classified as basic financial instruments under FRS102 and are held by the Trustees for Methodist Church Purposes (TMCP) as custodian trustees. The valuations, at market value, are those provided by TMCP. The unrealised gains arising on investments are shown in the SOFA.
## **xiv Debtors and Prepayments**
Debtors are stated at the amounts owed to the Circuit or prepaid.
## **xv Creditors and Accruals**
Creditors are initially recognised at settlement amount after any trade discounts, or the amount advanced to the Circuit. Creditors include both sundry expenses and specifically the 1st quarter assessment received in August.
## **xvi Ministers’ manse costs**
The Circuit is required to provide accommodation for each minister in the Circuit and their families and this is seen as a benefit to the Circuit. Ministers are expected to occupy the manse provided for them. The Circuit bears the cost of repairs, maintenance, buildings insurance, Council Tax and water charges. These figures are not separately disclosed as benefits-in-kind for ministers as HMRC does not seek to tax these receipts in the hands of minsters.
10
## **Report of the Independent Examiners To the Trustees of Wigan Methodist Circuit**
## **2. Restatement of 2020-21 figures**
In the current year the Trustees were made aware that the 2020-21 Connexional Priority Fund (CPF) Levy had been recorded as expenditure rather than being recorded net against the capital receipt. As a consequence, 2021-21 income and expenditure were both overstated by £95,536. This error has been corrected by restating both 2020-21 income and expenditure.
The Trustees also discovered that the brought forward fund balances on the Statement of Financial Activities (SOFA) had only included the current assets less liabilities funds, rather than the total fund balances. Therefore, an additional brought forward fund line has been included in the SOFA to bring in the funds relating to fixed assets. Bringing these funds on to the SOFA has meant that 2020-21 gains on investment properties of £118,754 and a reclassification of funds of £288,840 has had to be included in the 2020-21 restatement figures.
The following table summaries the impact of these adjustments.
||**2020-21 as**
**previously**
**stated**|**Prior year**
**adjustment**|**2020-21**
**as**
**restated**|
|---|---|---|---|
||£|£|£|
|1 Donations and legacies|1,625||1,625|
|2 Income from monetary investments|1,288||1,288|
|3 Income from investment properties|24,153||24,153|
|4 Assessments on Churches|202,972||202,972|
|5 Capital Receipts & Levy refund|288,840|(95,536)|193,304|
|6 Grants received|10,000||10,000|
|7 Other charitable income|12,525||12,525|
|8**Total income**|**541,403**|**(95,536)**|**445,867**|
|**Expenditure on charitable activities:**||||
|9 Grants and donations|250||250|
|10 Stipends, salaries, NIC and pension
costs|224,742||224,742|
|11 Property maintenance|43,990||43,990|
|12 District Assessment & Levy|95,536|(95,536)|0|
|12 District Assessment & Levy|69,007||69,007|
|15 Office, administration and travel
expenses|20,374||20,374|
|16 Other outgoings|9,172||9,172|
|17**Total charitable expenditure**|**463,071**|**(95,536)**|**367,535**|
|**18 Net income before investment**
**losses/gains**|78,332||**78,332**|
|19 Losses/gains on monetary investments|435||**435**|
|20 Gains on investment properties|0|118,754|**118,754**|
|**21 Net income/(expenditure) before**
**transfers**|**78,767**|**118,754**|**197,521**|
|22 Transfers between funds|0||0|
|23 Reclassification of funds|0|(288,840)|(288,840)|
|24 Other gains/(losses)|0||0|
|**25 Net movement in funds**|**78,767**|**(170,086)**|**(91,319)**|
|26 Funds brought forward|364,838||364,838|
|27 Additionalpropertyfunds brought forward|0|2,756,600|2,756,600|
|28 Total Funds brought forward|364,838|2,756,600|3,121,438|
|**29 Total funds carried forward**|**443,605**|**2,586,514**|**3,030,119**|
11
## **Report of the Independent Examiners To the Trustees of Wigan Methodist Circuit**
## **3. Capital Receipts**
Capital receipts relates to the sale of the closed Wesley Billinge church. All sales of Methodist property are subject to a levy by the Connexion calculated on a sliding scale based on the gross sale price. The figure is shown net of this CPF Levy. In the current year there was also a CPF Levy refund relating to the previous sale of the Greenways manse.
||**General Fund**
**(Unrestricted)**|**Circuit Model**
**Trust**
**(Unrestricted)**|**Designated**
**Funds**
**(unrestricted)**|**Restricted**
**Funds**|**Total**
**2021-22**|
|---|---|---|---|---|---|
||£|£|£|£|£|
|Gross sale (Wesley Billinge)||182,025|||**182,025**|
|CPF Levy on property sales||(48,810)|||**(48,810)**|
|CPF Levy refund (Greenways Manse)||79,122|||**79,122**|
|**Total**||**212,337**|||**212,337**|
## **4. Staff Costs**
|**Staff Costs paid during the year were:**|**Ministers**
**(trustees)**|**Lay staff**|**2021/22**|**2020/21**|
|---|---|---|---|---|
||£|£|£|£|
|Stipends, salaries and benefits in kind|106,563|29,091|**135,654**|**176,059**|
|Social security costs|10,066|1,122|**11,188**|**14,133**|
|Pension costs|27,787|936|**28,723**|**33,671**|
|Apprenticeship levy|533|145|**678**|**879**|
|Total staff costs|144,949|31,294|**176,243**|**224,742**|
||||||
|Expenses (Travel, accommodation and other expenses incurred in the
normal course of employment)|8,276|0|**8,276**|**19,306**|
||||||
|Average number of full-time equivalent employees in the year were:|4.0|1.9|**5.9**|**6.2**|
No employee received remuneration amounting to more than £60,000 in either year.
Wages and salary costs includes £nil in respect of redundancy payments in 2022 (2021: £263).
## **5. Trustees’ remuneration and expenses**
||**2021/22**
**£**|**2020/21**
**£**|
|---|---|---|
|Payments made to trustees for additional services provided to the
Circuit byagreement with the Circuit Meeting|0|0|
|Number of trustees who werepaid expenses relatingto trustee duties|0|0|
|Total amountpaid|0|0|
|There were no trustees' remuneration or other benefits for the year ended 31 August 2022 or the year ended 31 August
2021 other than thatpaid to ministers and laystaff in the normal course of their duties and disclosed above.|||
12
## **Report of the Independent Examiners To the Trustees of Wigan Methodist Circuit**
## **6. Fees for examination or audit of the accounts**
|**6. Fees for examination or audit of the accounts**|||
|---|---|---|
||**2021/22**
**£**|**2020/21**
**£**|
|Independent examiner’s or auditors' fees for reporting on the
accounts|350|600|
|Other fees (eg: advice, accountancy services) paid to the independent
examiner or auditor|1,450|0|
|**Total**|**1,800**|**600**|
## **7. Other outgoings**
|**7. Other outgoings**|||
|---|---|---|
||**2021/22**
**£**|**2020/21**
**£**|
|Impairment of trade debtors|1,715|8,190|
|Other outgoings|789|982|
|**Total**|**2,504**|**9,172**|
## **8. Property Purchased**
During 2021-22, 25 Bolton Road manse was purchased for a total of £275,000, plus legal costs totalling £1,975.
## **9. Property Disposals/Revaluations**
The net gains or losses are detailed below. During the year and in accordance with note 1.xii (Tangible fixed assets) the properties have been revalued to the Methodist Insurance deemed values from the March 2022 statement.
The Wesley Billinge church was also sold for less than its previous carrying value.
||**Details**|**2020-21**
**Carrying**
**Value**|**Sale**|**2021-22 Carrying**
**Value/Revaluation**|**Gain/(loss)**|
|---|---|---|---|---|---|
|||£|£|£|£|
||WesleyBillinge - realised|192,500|182,025|-|(10,475)|
||WorsleyMesnes – unrealised|696,857||772,806|75,949|
||Trinity– unrealised|200,000||200,000|-|
||Highfield Drive – unrealised|377,444||411,186|33,742|
||Masefield Ave – unrealised|260,783||284,159|23,376|
||Upholland Road – unrealised|227,726||237,861|10,135|
||Bolton Road – unrealised|-||277,713*|2,713|
||Wigan Road – unrealised|282,286||307,560|25,274|
||Spencer Road - unrealised|348,918||380,122|31,204|
||**Total**|**2,586,514**|**182,025**|**2,871,407**|**191,918**|
* Purchase price for 25 Bolton Road manse was £275,000 and then revalued to the Methodist Insurance deemed value of £277,713 at March 2022.
13
## **Report of the Independent Examiners To the Trustees of Wigan Methodist Circuit**
## **10. Reclassification of Funds**
Circuit property is always carried in the General Fund but upon sale the net proceeds are processed trough the Circuit Model Trust Fund. This requires an adjustment and any such sales or purchases during the year are reflected below at the gross price of sale or purchase.
||**General Fund**
**(Unrestricted)**|**Circuit Model**
**Trust**
**(Unrestricted)**|**Designated**
**Funds**
**(unrestricted)**|**Restrict**
**ed**
**Funds**|**Total**
**2021-22**|
|---|---|---|---|---|---|
||£|£|£|£|£|
|Gross sale (Wesley Billinge)||(182,025)|||**(182,025)**|
|Gross purchase (Bolton Road manse)||275,000|||**275,000**|
|**Total **||**92,975**|||**92,975**|
## **11. Fixed Assets (including investment properties)**
|**Cost or valuation**
Balance brought forward
Additions
Revaluations (+/-)
Disposals (-)
Transfers * (+/-)
Balance carried forward
**Accumulated depreciation**
Balance brought forward
Depreciation charge for year (-)
Revaluations (+/-)
Disposals (-)
Transfers* (+/-)
Balance carried forward
**Net book value**
Brought forward
Carried forward|**Manses**
**occupied**
**by**
**ministers**
**£**|**Manses**
**not**
**occupied**
**by**
**ministers**
**£**|**Manses**
**held as**
**investment**
**properties**
**£**|**Church**
**buildings**
**£**|**Fixtures,**
**fittings and**
**equipment**
**£**|**Payments**
**on account**
**and assets**
**under**
**construction**
**£**|**Total**
**£**|
|---|---|---|---|---|---|---|---|
|||||||||
||865,953|631,204||1,089,357|0|0|2,586,514|
||276,975||||||276,975|
||375,551|(251,082)||65,474|||189,943|
|||||(182,025)|||(182,025)|
||(237,861)||237,861||||0|
||1,280,618|380,122|237,861|972,806|0|0|2,871,407|
|||||||||
||0|0||0|0|0|0|
||||||||0|
||||||||0|
||||||||0|
||||||||0|
||0|0||0|0|0|0|
|||||||||
||865,953|631,204|0|1,089,357|0|0|2,586,514|
||1,280,618|380,122|237,861|972,806|0|0|2,871,407|
**12. Analysis of debtors**
14
## **Report of the Independent Examiners To the Trustees of Wigan Methodist Circuit**
|**Due within one year**|**2021/22**
**£**|**2020/21**
**£**|
|---|---|---|
|Trade debtors|9,527|0|
|Prepayments|2,992|15,402|
|**Total**|**12,519**|**15,402**|
## **13. Analysis of creditors**
|**Amounts failing due within one year**|**2021/22**
**£**|**2020/21**
**£**|
|---|---|---|
|Trade Creditors|5,745|0|
|Other Creditors|1,800|4,132|
|Prepaid Assessments|1,669|4,975|
|**Total**|**9,214**|**9,107**|
## **14. Detailed analysis of individual fund movements**
## **Unrestricted Funds**
|**Unrestricted**
**Fund Name**
General
Model Trust
Fund
Designated
- Closed
Churches
Totals|**Opening**
**Balance**|**Incoming**
**Resources**|**Resources**
**Expended**|**Transfers &**
**Reclassification**|**Transfers &**
**Reclassification**|
**Gain/(losses)**|
**Gain/(losses)**|**Closing**
**Balance**|**Purpose of**
**the fund**|
|---|---|---|---|---|---|---|---|---|---|
|||||||||||
||2,616,106|230,710|(292,223)|112,975||191,918||2,859,486|The general purposes
of the Circuit|
||372,785|213,749|(300,272)|(20,000)||(176)||266,086|Support for the mission
of the Circuit|
||22,066|5,300|(8,535)|||||18,831|Designated for the
maintenance of closed
churches prior to
repurposing or sale|
||3,010,957|449,759|(601,030)|92,975||191,742||3,144,403||
|**Restricted Funds**||||||||||
|**Restricted**
**Fund**
**Name**
Aspull
School
Childrens &
Youth Work
Totals|**Opening**
**Balance**|**Incoming**
**Resources**|**Resources**
**Expended**|**Transfers**|
**Closing**
**Balance**||**Purpose of**
**the fund**|||
||159|1|0||160||Support for Aspull School|||
||18,650|25,738|(17,566)||26,822||Available for funding
outreach and development
work focussed on children
and youth|||
||18,809|25,739|(17,566)||26,982|||||
## **Restricted Funds**
15
## **Report of the Independent Examiners To the Trustees of Wigan Methodist Circuit**
## **15. Analysis of net assets between funds**
Fund balances at 31 August 2022 are represented by:
||**General Fund**
**(Unrestricted)**|**Circuit Model**
**Trust**
**(Unrestricted)**|**Designated**
**Funds**
**(unrestricted)**|**Restricted**
**Funds**|**Total**
**2021-22**|
|---|---|---|---|---|---|
||£|£|£|£|£|
|Tangible fixed assets|2,871,407||||**2,871,407**|
|Current assets|(2,707)|266,086|18,831|26,982|**309,192**|
|Current liabilities|(9,214)||||**(9,214)**|
|**Total**|**2,859,486**|**266,086**|**18,831**|**26,982**|**3,171,385**|
## **16. Related party transactions**
During the year the Circuit received assessment income totalling £205,957 (2021: £202,972) from the various churches within the Circuit.
The Circuit also incurred assessment costs of £78,449 (2021: £69,007) payable to the District.
16
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