## TENDRING METHODIST CIRCUIT REGISTERED CHARITY NUMBER: 1140466 BEDS, ESSEX AND HERTS DISTRICT ## **CIRCUIT NUMBER 34/7** FINANCIAL STATEMENTS AND TRUSTEES REPORT FOR THE YEAR ENDED 31/08/2021 Tendring Circuit Office Methodist Church, Forge Lane Gt Bentley Essex CO7 8GD Encouraging and enabling churches to speak the Good News of God's love; to share in worship and to serve their communities in Tendring. **Tendring Methodist Circuit 34/7** **Annual Report 2021** ## CONTENTS |CONTENTS|| |---|---| ||Page| |Index|1| |Trustees’ Report|2| |Aims and Organisation|2| |Public Benefit|2| |Structure, governance and Management|3| |Professional service providers|3| |Risk Management|3| |Reserves Policy|4| |Safeguarding|4| |Review of the year|5| |Income trends|6| |Expenditure trends|6| |Funds balances|6| |Plans 2021/22|6| |Policy on Grant making|7| |Trustee Training|7| |Related Parties|7| |Basis of preparation and legal framework|8| |Trustees’ Responsibilities|9| |Circuit meeting membership|10| |Independent Examiner’s Report|11| |Financial Statements|| |SOFA 2021|a| |SOFA 2020 – comparative|b| |Balance Sheet|c| |Notes to the Accounts|d| |Analysis of funds 2021|e| |Analysis of funds 2020 - comparative|f| Encouraging and enabling churches to speak the Good News of God's love; to share in worship and to serve their communities in Tendring. 1 **Tendring Methodist Circuit 34/7** **Annual Report 2021** ## **TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2021** This report has been prepared in accordance with the requirements of the SORP applicable to charities. ## **Aims and organisation** The Circuit’s Mission is to work together as a Circuit to encourage and enable its members to speak the Good News of God's love; to share in worship; and to serve the communities in which they are set. The charity objective is to act as a resource provider for the Methodist Church within the administrative district of Tendring. The purposes of the Methodist Church are and shall be deemed to have been since the Date of Union the advancement of: - a) The Christian faith in accordance with the doctrinal standards and discipline of The Methodist Church; - b) Any charitable purpose for the time being of any Connexional, District, Circuit. local or other organisation of The Methodist Church; c) Any charitable purpose for the time being of any society or institution subsidiary or ancillary to The Methodist Church; d) Any purpose for the time being of any charity being a charity subsidiary or ancillary to The Methodist Church In Tendring this manifests as: - a) The provision of regular public acts of worship, which are resourced and organised through the Circuit, encouraging all in their faith and open to everyone. - b) The teaching of Christianity through sermons, courses and small groups. - c) The resourcing of pastoral work including visiting the sick and bereaved. - d) Being a presence in the community with some midweek services in churches and services in care homes. - e) Taking religious assemblies in local schools. - f) Promotion of Christianity through the staging of events and services. - g) Provision of chaplaincy services as required. - h) Provision of chaplaincy services to Alexandra House, Marine Parade, Dovercourt. - i) Pastoral work including occasional offices and meeting people individually to offer pastoral support. - j) The Circuit produces a preaching plan every 3 months to ensure regular acts of worship take place at each of the 13 Methodist churches, 3 Local Ecumenical Partnerships and the Methodist Home for the Aged in its geographical area. ## **Public Benefit** : We confirm that the trustees have had regard to the Charity Commission’s guidance on public benefit. Our policy is particularly to work with deprived communities in Clacton and Jaywick and to this end we employ a Deacon working full time in these communities. We have aspirations to employ a part time youth worker. 2 **Tendring Methodist Circuit 34/7** **Annual Report 2021** We are contributing to the funding of a Community Worker in Dovercourt. All our churches serve the communities around them in a variety of ways. Some for the youth and/or elderly; others amongst the homeless and vulnerable. ## **Structure, Governance and Management** The governing document for the circuit is the Deed of Union (1932) and Methodist Church Act (1976). Detailed governance arrangements are outlined within the Constitutional Practice and Discipline of the Methodist Church by order of the annual conference (CPD). Day to day management of the Circuit is undertaken by the Circuit Leadership Team. There is a Manse Sub-committee for the oversight of Circuit residential property. There is a Sales Sub-committee for the oversight of the sale of Circuit property. There is a Finance Sub-committee. There is a Circuit Safeguarding Group. There is a Circuit Invitation Committee. ## **Professional Service Providers** |**Independent Examiner**:|Colin A Barker FCA| |---|---| ||Edmund Carr LLP| ||146 New London Road| ||Chelmsford| ||Essex| ||CM2 0AW| |**Investment Bankers**|Central Finance Board of the Methodist Church| ||Trustees for Methodist Church purposes| |**Current accounts**:|Barclays Bank, Manningtree Branch| ||Lloyds Bank, Blackheath, London Branch| |**Property Management**:|Fenn Wright, 146 High Street, Colchester, Essex CO1 1PW| |**Solicitor**:|Capsticks,1 St George's Road, Wimbledon, London, SW19 4DR| ## **Risk Management** Risks are identified by the Circuit Leadership Team and its sub committees, with professional advice taken as required. Income and Expenditure is being monitored in total and is compared with the approved annual budget on a quarterly basis to detect trends as part of the risk management process. The Circuit has adopted a Safeguarding Policy and ensured that individual churches produce their own policies and have safeguarding officers in place. The Circuit ensures that safeguarding training is provided by a Circuit Trainer. 3 **Tendring Methodist Circuit 34/7** **Annual Report 2021** ## **Reserves Policy** The Reserves Policy for the Tendring Circuit is to hold a sum equivalent to at least 3 months’ average expenditure. This should be sufficient to meet any unforeseen item of major expenditure on manses and / or to be able to continue, in the short term, funding planned activities in the event of the closure of a large church or an inability to raise the full Circuit Assessment from churches. As part of our forward planning, expenditure forecasts are prepared looking 5 years ahead. It is necessary to hold sufficient working capital to enable the quarterly payment of stipends and business expenses for 3 Presbyters and a Deacon and 2 part time assistants and our contribution to the District. ## **Safeguarding** Every person has a value and dignity which comes directly from the creation of people in God’s own image and likeness. Christians see this potential as fulfilled by God’s re-creation of us in Christ. Among other things, this implies a duty to value all people as bearing the image of God and therefore to protect them from harm. Methodist Connexional practice outlines commitment to the following principles: - The care and nurture of, and respectful pastoral ministry with, all children, young people and adults - The safeguarding and protection of all children, young people and adults when they are vulnerable - The establishing of safe, caring communities which provide a loving environment where there is informed vigilance as to the dangers of abuse. - We will carefully select and train all those with any responsibility within the Church, in line with Safer Recruitment principles, including the use of criminal records disclosures and registration with the relevant vetting and barring schemes. - We will respond without delay to every complaint made which suggests that an adult, child, young person or vulnerable adult may have been harmed; cooperating with the police and local authority in any investigation. - We will seek to work with anyone who has suffered abuse, developing with them an appropriate ministry of informed pastoral care. - We will seek to challenge any abuse of power, especially by anyone in a position of trust. - We will seek to offer pastoral care and support, including supervision and referral to the proper authorities, to any member of our church community known to have offended against a child, young person or vulnerable adult. - In all these principles we will follow legislation, guidance and recognised good practice The Tendring Methodist Circuit commits itself to ensuring the implementation of Connexional Safeguarding Policy; government legislation, guidance and safe practice in the circuit and in the churches. The Tendring Methodist Circuit commits itself to the provision of support, advice and training for lay and ordained people that will ensure people are clear and confident about their roles and responsibilities in safeguarding and promoting the welfare of children and adults who may be vulnerable. 4 **Tendring Methodist Circuit 34/7** **Annual Report 2021** ## **Review of the year** The year was a particularly challenging one. While churches have legally been able to host worship for the entire period, all of the churches in Tendring have been closed at various points, in particular the period from Christmas to Easter. The Circuit has supported the individual churches in their various decisions, recognising that risk assessment is contextual and legally rests with the local Managing Trustees. The year has also seen an ongoing series of church closures, with managing trusteeship of buildings and remaining balances passing to the Circuit. In conversation with the Methodist Church’s Connexional property team and Trustees for Methodist Church Purposes (who are the Custodial Trustees of all property), both of whom are concerned the needs and work of the charity are fully considered prior to sale of buildings, agreement was reached to sell all our redundant buildings in order to build the Circuit’s financial funds and so be better able to support mission, outreach and evangelism work elsewhere in the Circuit. Those sales have been ongoing through the year, predominantly by auction to ensure the best price is achieved as required by charity law. The year also presented challenges in terms of trustee processes, as Covid safety meant holding full Circuit Meetings (the body which holds ongoing managing trusteeship) was not possible, and hybrid meetings would exclude a notable number of trustees. Therefore, with written permission of the Circuit Meeting gathered by post, the Circuit Leadership Team acted with appropriate authority on behalf of the Circuit Meeting through the year, meeting via video conference and taking some decisions by email. All of these were properly logged, and duly reported to and recorded by the Circuit Meeting at the earliest opportunity (September 2021). The Circuit is confident that in previously unimagined circumstances it acted at all times in accordance with charity law and in line with its charitable purposes. In terms of charitable action, the Circuit’s focus (beyond overseeing the process of selling redundant property and managing finance), has been on building and maintaining pastoral support in the churches, as well as the Hope@Trinity project in Clacton, through extraordinary circumstances. The ministerial and administrative teams continued to meet, using video conferencing facilities, to offer mutual care and support, and the Circuit continued to offer a wide range of support mechanisms using post, email, videoconferencing, phone-calls, and in-person meetings (where properly risk assessed and deemed appropriate) to ensure the work of the Circuit and its churches could continue. Despite the notable challenges, and the sadness of matters such as church closures those challenges have brought, there have also been positives. There is a sense of a clearer Circuit identity and a wider sense in the churches of the benefits that come with being part of a wider Circuit. The use of video-conferencing has generally been successful and will be kept for smaller, shorter meetings where travel-times may otherwise exceed actual meeting time. The period of enforced “stillness” has also enabled time to begin thinking about future developments, and we exit the year able to look forward to new possibilities rather than simply maintaining past activities. ## **Income trends** In order to reduce the pressure on churches, following reduced income of both collections and lettings due to the Covid 19 pandemic, the Circuit budgeted to use its funds to maintain the previous year’s assessment rate and, as such, budgeted for a loss on the year. Despite further church closures this has been manageable. The rental income relates to the rental of a manse. The Circuit is grateful for a grant from the District Grants Committee to support the work of the Deacon, as outlined elsewhere in this report. The Circuit also paid toward this very worthwhile and important project. 5 **Tendring Methodist Circuit 34/7** **Annual Report 2021** ## **Expenditure trends** Stipend expenditure has increased each financial year in line with Conference-approved increases. The pandemic continued to affect other staff expenses with mileage and expenses much lower than budgeted. Telephone charges are up slightly on budget. Again, it has not been possible to get all the planned remedial building work completed this year. It has been agreed that that unspent element of the budget be ringfenced to correct this. ## **Fund balances** As at 31 August 2021 the net current assets of the Circuit were £907,019, counting only bank balances and Model Trust Fund money. This was increased over the year by sums relating to the sale of 4 churches. ## **Plans for 2021/22** Planning for the 2021/22 year focuses on the following particular matters: - the need of the Circuit to have a coherent mission strategy that enables Local Churches to understand their local mission and the needs of their local community, as well as focus their resources properly, in order that the Circuit can identify those works it should most appropriately support; - the closure of a further Local Church and the passing of managing trusteeship to the Circuit. The remaining churches cannot replace the Circuit funding so funds must be invested wisely for income to replace the closed churches contribution, as well as enabling mission across the wider Circuit. A strong mission-focussed fund will be able to financially resource both the work of the Circuit generally, as well as particular projects in Local Churches or across the Circuit; - the outcome of the Superintendent’s re-invitation process was that the Revd Tom Osborne was asked to stay for another 5-year term from September 2022. Meanwhile, the Revd Chris Preece chose to seek a new station from September 2022 so application has been made for a new Presbyter for the Circuit; - Deacon Janet Jenkins will be retiring a year early, so we also seek a new Deacon to promote the Hope@Trinity project – the appointment of a new Deacon has been financially supported by the District, which has agreed a grant of £30,000 per year for 5 years, which covers the stipend and a significant portion of the related on-costs; - the ongoing management of the situation relating to the Revd Crawford Logan’s long-term absence on sick-leave; - liaison with the District and Connexion regarding possible wider funding for a pioneering role within the Circuit ministry team to explore creative ways of reaching new people in new places as well as those where we have recently withdrawn our visible presence through the closure of buildings and church societies. The Circuit continues to contribute £4,000 per year for 5 years from 2019/20 towards a Community Worker at Dovercourt Central Church. ## **Policy on Grant making** The Circuit Model Trust Fund had a balance at the year-end of £722,016. This fund derives from sales of chapels and manses and is restricted by the Conference. This restriction is an internal regulation though the fund can be used for a variety of purposes. The Circuit Leadership Team has drawn up a set of ground rules within the Circuit Strategic Plan, which has been adopted by the Circuit Meeting, to ensure grants made from the Circuit Funds are used effectively for mission and capital works. The ground rules are set out below: 6 **Tendring Methodist Circuit 34/7** **Annual Report 2021** 1) All applications to Circuit Meeting or Ministers for new or continuing ventures or finance must show viable mission. 2) Priority will be given to Grant applications for new work to develop the impact on the community, satisfying one or more of the following criteria in line with District Policy and adopted locally. a) Work with children, young people and those in the 25 to 40 age group (the group where we have the least representation in our membership and where committed people can make the biggest impact in the Church and upon their own families.) b) New ways of being church c) Mission initiatives d) Ecumenical initiatives e) Community based initiatives, especially in areas of new housing development f) Rural work with a clear mission imperative: 3) Information that will be considered include the viability of the project, ministerial and local human resources required and financial implications 4) Criteria for future Circuit finance support will depend upon the state of the building, payment of the circuit assessment and whether adequate car parking is available locally. Grants will not be given for maintenance of buildings. (These criteria indicate to the Circuit meeting that the Circuit investment would be wise and produce positive results in the community) In the Methodist Churches most of the groundwork is done by volunteers advised by their professional staff. Without the work of volunteers, the service provided to the community by the Church would cease since the Circuit does not carry out work on the ground itself; its job is to supply staff, opportunities and encouragement to enable the Local Churches to carry out their mission of worshipping and serving the community around them. ## **Trustee Training** A range of guidance produced by Methodist Connexion to support the effective running of the Circuit, specifically the leaflet ‘The Role of a Trustee in The Methodist Church’ is given to all new Circuit meeting members as induction to their role as trustees. Safeguarding training is a priority within the Circuit and within the individual churches. ## **Related Parties** : The Circuit is part of the Beds, Essex & Herts District and is also accountable to the Methodist Conference. Through 3 Local Ecumenical Partnerships, the Circuit has links to the United Reformed Church. The following Methodist Churches are linked to the Circuit: _Bradfield Methodist Church* Building sale completed on 25/8/21_ Brightlingsea United Church (Methodist/URC LEP) Trinity Methodist Church, Clacton on Sea Dovercourt Central Church (Methodist/URC LEP) _Upper Dovercourt Church* transferred to Circuit management on 27/9/21 Trinity Methodist Church, Elmstead Market* sale process continues_ Frinton-on-Sea Methodist Church Great Bentley Methodist Church Great Clacton Methodist Church Holland-on-Sea Methodist Church 7 **Tendring Methodist Circuit 34/7** **Annual Report 2021** Jaywick Methodist Church Manningtree Methodist Church Ardleigh Methodist Church (class of Manningtree) Great Holland Church _Mistley Methodist Church* Building sale completed on 3/6/21 St Osyth Methodist Church* Building sale completed December 2020_ Emmanuel Church, Walton-on-the-Naze (Methodist/URC LEP) _Wix Methodist Community Church* Building sale completed on 3/6/21_ The Circuit also has a link with Alexandra House, a Methodist Home for the Aged, though Covid has limited interaction. ## **Basis of preparation and legal framework** The financial statements have been prepared in accordance with the _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). Full name of charity Tendring Methodist Circuit Registration Charity Number 1140466 Date of registration 28 February 2011 Main communication address: Tendring Circuit Office Methodist Church, Forge Lane Great Bentley Essex CO7 8GD The members of the Tendring Methodist Circuit meeting are the Charity Trustees, membership being made up of circuit office holders and representatives appointed by the local churches. Full membership is on page 10 of this report. Circuit Ministers and Officers during 2020/21: Active Circuit Ministers Rev Thomas Osborne (Superintendent) Rev Crawford Logan (on sick leave all year) Rev Christine Preece Rev Trevor Hahn (URC minister Authorised to Serve in the Methodist Church as a Presbyter) Deacon Janet Jenkins Circuit Stewards Ms D Bignell Mr A Edwards Mrs M Woods Mr A Merriday Circuit Treasurer Ms K Collins Circuit Lay Workers Circuit Manager Mr Colin Tucker Circuit Administrator Mrs Anne Oughton 8 **Tendring Methodist Circuit 34/7** **Annual Report 2021** ## **Trustees’ responsibilities** The trustees are required to prepare financial statements each financial year which give a true and fair view of the Circuit’s financial activities during the year and of its financial position at the end of the year. In preparing these financial statements, the trustees have: - Selected suitable accounting policies and applied them consistently. - Made judgements and estimates that are reasonable and prudent. - Followed applicable accounting standards. - Prepared the financial statements on the going concern basis. The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Circuit and enable them to ensure that the financial statements comply with the law. They are also responsible for safeguarding the assets of the Circuit and hence for taking steps for the prevention and detection of fraud and other irregularities. So far as each of the trustees is aware, there is no relevant information that has not been disclosed to the auditors and each of the trustees believes that all steps have been taken that ought to have been taken to make them aware of any relevant audit information and to establish that the auditors have been made aware of that information. Signed on behalf of the Circuit Leadership team on 24 February 2022. **Reverend Thomas Osborne** Superintendent Minister **Ms Kate Collins** Circuit Treasurer 9 LIST OF TENDRING METHODIST CIRCUIT MEETING MEMBERSHIP / TRUSTEES CIRCUIT OFFICERS and MINISTERS MINISTERS Rev T Osborne Rev C Preece Rev C Logan Rev T Hahn Deacon J Jenkins SUPERNUMERARY MINISTERS Rev J Allison Rev D Lang Rev G Martin Rev R Parsons Rev A Potter Rev J Robinson LAY WORKERS Mrs A Oughton Mr C Tucker CIRCUIT STEWARDS Ms D Bignell Mr A Edwards Mrs M Woods Mr A Merriday CIRCUIT TREASURER Ms K Collins CHURCH REPRESENTATIVES Mrs J Allison Mr D Bavister Mrs G Bavister Ms D Bignell _Mrs G Bucke until 28/1/20 Miss S Carman until 01/10/20_ Miss J Crawford Mr B Cuthbertson _Ms P Denmark until 16/11/20_ Mrs P Edwards Mrs R Essex _Mr S Everitt until 28/1/20_ Miss B Fookes _Mrs C Gordon until 01/10/20_ Miss M Gourley _Ms C Griggs until 01/10/20 Ms A Higgs until 10/5/21_ Mr J Holmes Ms P Humphries from 6/10/21 Mrs M Kimmitt Mrs P King Mrs C Lacey Miss A Lott Mrs H McLaughlin _Mr L Marshall until 25/8/21 Mr P Marshall until 12/5/21 Mrs J Neal until 10/5/21_ Mr A Nunn from 6/10/21 Mrs V Pratchett _Mrs M Potter until 2/11/20_ Mrs M Quartermain Mrs D Raven Mrs C Scott Mr D Shearmur Mrs M Smith Mr B Stephens Mrs M Stephens Mrs J Taylor Mr R Taylor Mr M Tubby Miss D West Mrs M West Mrs M Whittle Mrs S Wright - 10 - **Tendring Methodist Circuit 34/7** **Annual Report 2021** ## **INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF TENDRING METHODIST CIRCUIT** I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 August 2021. ## **Responsibilities and basis of report** As the Charity’s trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’). I report in respect of my examination of the charity’s accounts carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act. ## **Independent examiner’s statement** Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants of England and Wales, which is one of the listed bodies. I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: 1 the accounting records were not kept in respect of the charity as required by section 130 of the Act; or 2 the accounts do not accord with those records; or 3 the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination. I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. Colin Andrew Barker FCA Edmund Carr LLP 146 New London Road Chelmsford Essex CM2 0AW Date: 9 March 2022 11 Circuit No 34/7 ## Tendring Circuit ## **Statement of Financial Activities (SOFA) for the year ended 31 August 2021** **----- Start of picture text -----**
Circuit Designated
Notes to Model Trust Funds Endow-
Total
the General Fund Fund (Un- (un- Restricted ment
accounts (Unrestricted) restricted) restricted) Funds Funds 2020-21
Income £ £ £ £ £ £
1 Donations and legacies 70 70
2 Income from monetary investments 138 536 671 193 1,538
3 Income from investment properties 10,740 10,740
4 Assessments on Churches 148,737 148,737
5 Capital Receipts 625,187 625,187
6 Grants received 20,000 20,000
7 Other charitable income 181 4,052 4,233
8 Total income 159,866 625,723 0 24,723 193 810,505
Expenditure
9 Grants and donations 4,000 4,000
10 Salaries and associated costs 139,450 20,000 159,450
11 Property maintenance 11,760 11,760
12 Connexional assessment & model trust levy 198 132 64 394
13 District Assessment & Levy 39,148 2,474 41,622
14 Depreciation 0
15 Office expenses 4,117 4,117
16 Other outgoings 2,125 87 126 2,338
17 Total charitable expenditure 200,600 2,672 0 20,219 190 223,681
18 Gains/(losses) on monetary investments 5,242 1,047 6,289
19 Gains/(losses) on investment properties 0
20 Net income/(expenditure) -40,734 623,051 0 9,746 1,050 593,113
21 Transfers between funds
22 Other gains/(losses)
23 Net movement in funds -40,734 623,051 0 9,746 1,050 593,113
24 Total funds brought forward 1,453,038 98,965 61,966 31,978 1,645,947
25 Total funds carried forward 1,412,304 722,016 0 71,712 33,028 2,239,060
**----- End of picture text -----**
- a - Tendring Circuit Circuit No 34/7 ## **Statement of Financial Activities (SOFA) for the year ended 31 August 2020** **----- Start of picture text -----**
Circuit Designated
Notes to Model Trust Funds Endow-
Total
the General Fund Fund (Un- (un- Restricted ment
accounts (Unrestricted) restricted) restricted) Funds Funds 2019-20
Income £ £ £ £ £ £
1 Donations and legacies 289 289
2 Income from monetary investments 713 977 417 238 2,345
3 Income from investment properties 10,740 10,740
4 Assessments on Churches 185,058 185,058
-
5 Capital Receipts
6 Grants received 20,000 20,000
7 Other charitable income 1,331 1,331
8 Total income 198,131 977 - 20,417 238 219,763
Expenditure
9 Grants and donations 4,000 4,000
10 Salaries and associated costs 146,220 20,000 166,220
11 Property maintenance 10,169 10,169
12 Connexional assessment & model trust levy 3,808 124 64 3,996
13 District Assessment & Levy 38,296 38,296
-
14 Depreciation
15 Office expenses 4,536 4,536
16 Other outgoings 19,282 172 19,454
17 Total charitable expenditure 222,503 3,808 - 20,124 236 246,671
18 Gains/(losses) on monetary investments
19 Gains/(losses) on investment properties
20 Net income/(expenditure) (24,372) (2,831) - 293 2 (26,908)
21 Transfers between funds 19,747 (19,520) (123) (104) -
22 Other gains/(losses)
23 Net movement in funds (4,625) (22,351) - 170 (102) (26,908)
24 Total funds brought forward 1,457,663 121,316 61,796 32,080 1,672,855
25 Total funds carried forward 1,453,038 98,965 - 61,966 31,978 1,645,947
**----- End of picture text -----**
- b - **Circuit No 34/7** ## **Tendring Circuit** ## **Balance Sheet as at 31 August 2021** **----- Start of picture text -----**
General Fund Circuit Model Designated Restricted Endowment Totals 2021 Totals 2020
(Unrestricted) Trusts Funds Funds Funds
(Unrestricted) (Unrestricted
)
Notes
£ £ £ £ £ £ £
Fixed Assets
Circuit Manses & Equipment 7 1,313,186 1,313,186 1,313,186
Investment properties 0
Investments 0
Total fixed assets 1,313,186 - - - - 1,313,186 1,313,186
Current Assets
Debtors & Prepayments 10 26,127 26,127 13,460
Loans by the Circuit 0 0
Investments with TMCP 8,10,11 722,016 71,712 33,028 826,756 192,909
Central Finance Board Deposits 11 57,506 57,506 115,086
Cash at Bank and in hand 11 22,757 22,757 13,995
Total current assets 106,390 722,016 - 71,712 33,028 933,146 335,450
Current liabilities
12
Creditors (due in under 1 year) 7,272 7,272 2,689
Grants payable within 2021-22 0 0
Total current liabilities 7,272 - - - - 7,272 2,689
Net current assets/liabilities 99,118 722,016 - 71,712 33,028 925,874 332,761
Total assets less current
liabilities 1,412,304 722,016 - 71,712 33,028 2,239,060 1,645,947
Long term liabilities
(due after more than one year)
Grants payable after 2021-22 - 0
Loans to the Circuit -
-
Net assets 1,412,304 722,016 - 71,712 33,028 2,239,060 1,645,947
Funds of the Circuit
General Fund (Unrestricted) 12 1,412,304 1,412,304 1,453,038
Circuit Model Trust Fund 12
(Unrestricted) 722,016 722,016 98,965
Designated Funds (Unrestricted) - - 0
Total Unrestricted Funds 2,134,320 1,552,003
Restricted Funds 12 71,712 71,712 61,966
Endowment Funds 12 33,028 33,028 31,978
Total Funds 1,412,304 722,016 0 71,712 33,028 2,239,060 1,645,947
Circuit Treasurer: Ms Kate Collins Approved: 24/02/2022
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- c - ## **Notes to the Accounts** ## **1 Basis of accounting** The financial statements have been prepared under the Charities Act 2011 in accordance with the 2014 version of Accounting and Reporting by Charities: Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with FRS102 – the Charities SORP (FRS102). ## **2 Funds** The funds held constitute: - General Funds held for any purpose of the Circuit which are Unrestricted. - The Circuit Model Trust Fund has wide purposes defined in Standing Orders and is categorised as unrestricted. - Restricted funds which are held for a narrower purpose . - Endowment funds are listed in the final notes to these accounts. Details of each material fund are disclosed in the final note to these accounts. Any funds may be represented by more than just cash. ## **3 Accounting policies** ## **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, on the accruals basis to show a true and fair view of the Circuit’s financial position and activities. ## **Incoming Resources** Income is included in the Statement of Financial Activities (SOFA) when the Circuit becomes entitled to the resources, and the trustees are reasonably certain they will receive the resources; and the monetary value can be measured with sufficient reliability. ## **Resources Expended** This is recognised when a liability is incurred, or a constructive obligation arises, that results in the payment being unavoidable. Liabilities are recognised as soon as an outflow of economic benefit is considered more likely than not under the legal or constructive obligation committing the Circuit to pay out resources. ## **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. ## **VAT** Since the Circuit is not VAT registered, all input VAT is charged with the expenses to which it refers. ## **Tangible fixed assets for use by the Circuit** Tangible fixed assets are capitalised if they can be used for more than one year, and cost at least £500. The freehold property is shown in the accounts at 2015 deemed values, of which the land component is deemed to be £350,000. No depreciation is provided on the building 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.. ## **Investment Properties** Investment properties - no property is currently deemed to not be held for the long term purposes of the charity. -d - ## **Investments** Investments are valued in the balance sheet at market value at the year end. Investment income is included in the accounts when receivable and any gains or losses on revaluation at the year end are shown in the SOFA. ## **Debtors and Prepayments** The prepayment included in the accounts is predominantly in respect of stipends. ## **Creditors** Creditors includes outstanding amounts and accruals for expenditure not yet invoiced. ## **4 Payment to Trustees** |Number of Trustees
Total amount (£)|2020/21
8
8,528|2019/20
12
11,246| |---|---|---| Payments primarily relate to reimbursement for travel and items paid on the Circuit's behalf including the ministers' expenses; also preaching fees and some work undertaken. Ministers' and Deacon's salaries (amounts set by Methodist Church) are not included. ## **5 Fees for examination or audit of the accounts** |Independent examiner’s or auditors' fees for
reporting on the accounts
Other fees (eg: advice, accountancy services)
paid to the independent examiner or auditor|2020/21
1,200
-|2019/20
£
1,080
-| |---|---|---| ## **6 Paid employees** |Apprenticeship levy
Total staff costs
**Staff Costs paid during the year were:**
Gross wages, salaries and benefits in kind
Employer’s National Insurance costs
Pension costs
**Average number of full-time equivalent**
**employees in the year were:**|2020/21
121,030
10,086
27,756
578
159,450
4.7|2019/20
128,518
9,787
27,249
666
166,220
4.7| |---|---|---| - d 2 - ## **7 Tangible Fixed Assets** ## **Cost or valuation** **----- Start of picture text -----**
Payments on
Fixtures,
Other account and
Land Manses fittings and Total
buildings assets under
equipment construction
£ £ £ £ £ £
Balance brought -
385,000 900,000 28,186 1,313,186
forward
Additions - -
Revaluations (+/-)
Disposals (-)
Transfers * (+/-)
Balance carried
- -
385,000 900,000 28,186 1,313,186
forward
**----- End of picture text -----**
## **Accumulated depreciation** |Balance brought
forward||||0||0| |---|---|---|---|---|---|---| |Depreciation
charge for year (-)||||0||0| |Revaluations (+/-)||||||| |Disposals (-)||||||| |Transfers* (+/-)||||||| |Balance carried
forward||||0||0| |**Net book value**||||||| |Brought forward|385,000|900,000|-|28,186|-|1,313,186| |Carried forward|385,000|900,000|-|28,186|-|1,313,186| ## **8 Investment assets** The circuit has a spare manse which is currently tenanted for monthly income. The funds that support the Circuit Model Trust Fund and the Manses Fund are held by TMCP in Trustees Interest Funds on which interest is credited to the accounts each month or reinvested. TMCP is the legal owner and Custodian Trustee of all Methodist Model Trust Property, including legacies, endowments and accumulated funds. Trust property is held for and on behalf of local Managing Trustees who are responisbile for the day to day management of Trust property. TMCP ensures that, through providing guidance and acting under their direction, the Managing Trustees comply with charity law and Methodist law and policy as determined by the Methodist Conference. During the year, four churches were sold and a share of the proceeds were given to Tendring MC by TMCP. ## **9 Loans** The Circuit has no loans. - d 3 - ## **10 Debtors and prepayment** |Prepayments
Accrued income
Other Debtors
**Total debtors and prepayments**|2020/21
**£**
14,562
-
11,565
**26,127**|2019/20
**£**
13,460
-
-
**13,460**| |---|---|---| ## **11 Analysis of cash at bank** |Bank balance held at Barclays Bank
Lloyds
Bank balance held at CFB
Petty Cash
TMCP
**Total cash at bank**|2020/21
**£**
16,804
5,872
57,506
81
826,756
**907,019**|2019/20
**£**
11,399
2,560
115,086
36
192,909
**321,990**| |---|---|---| ## **12 Current liabilities** |Accruals
Other creditors
**Total creditors and accruals**|2020/21
**£**
1,200
6,072
**7,272**|2019/20
**£**
1,726
963
**2,689**| |---|---|---| - d 4 - 2020/21 Tendring Circuit 34/7 Analysis of funds ## Unrestricted funds: **----- Start of picture text -----**
Unrestricted Opening Incoming Resources Transfers Closing
Fund Name Balance Resources Expended and gains Balance Purpose of fund
General 1,453,038 159,866 200,600 - 1,412,304 Costs and property
Reserves for general
CMT 98,965 625,723 2,672 - 722,016
expenditure
Totals 1,552,003 785,589 203,272 - 2,134,320
**----- End of picture text -----**
## Restricted Funds: |Restricted
Fund Name
Opening
Balance
Incoming
Resources
Resources
Expended
Bequests
43,220
531
86
Other
restricted
18,746
24,192
20,133
Totals
61,966
24,723
20,219
Endowment Funds:
Endowment
L Nunn
Circuit Accoun
Totals
How the capital is invested
TMC Account
CFB Managed Mixed Fund|Transfers
and gains
Closing
Balance
Purpose of fund
4,571
48,236
Funding for specific
Churches
671
23,476
Buildings - general
5,242
71,712
Annual Income
88
105
193
33,028
Current Value
26,277
6,751| |---|---| - e - 2019/20 Tendring Circuit 34/7 Comparative Analysis of funds ## Unrestricted funds: **----- Start of picture text -----**
Unrestricted Opening Incoming Resources Transfers Closing Purpose of fund
Fund Name Balance Resources Expended Balance
General 1,457,663 198,131 222,503 19,747 1,453,038 Costs and property
CMT 121,316 977 3,808 (19,520) 98,965 Reserves for general
expenditure
Totals 1,578,979 199,108 226,311 227 1,552,003
**----- End of picture text -----**
Transfer relates to an agreed amount for employing a Deacon (£19,520) ## Restricted Funds: |Restricted Fund
Name
Bequests
Other restricted
Totals|Opening
Balance
Incoming
Resources
Resources
Expended
Transfers
Closing
Balance
Purpose of fund
43,051
20,256
20,087
-
43,220
Funding for specific
Churches
18,745
161
37
(123)
18,746
Buildings - general
61,796
20,417
20,124
(123)
61,966| |---|---| Endowment Funds: |Endowment
L Nunn
Circuit Account
Totals
How the capital is invested
TMC Account
TMC Account|Annual Income
226
12
238
31,978
Current Value
26,273
5,705| |---|---| - f -