WESTBOURNE PARK BAPTIST CHURCH FINANCIAL STATEMENTS FOR THE YEAR ENDED
31 MARCH 2023
Charity Number 1143988 Company Number 07775348
WESTBOURNE PARK BAPTIST CHURCH FINANCIAL STATEMENTS FOR THE YEAR ENDED
31 MARCH 2023
| Contents | Page |
|---|---|
| Directors’ Report | 1 - 4 |
| Independent Auditor’s report | 5 - 7 |
| Statement of Financial Activities | 8 |
| Balance Sheet | 9 |
| Notes to the Financial Statements | 10 - 18 |
(1)
WESTBOURNE PARK BAPTIST CHURCH DIRECTORS’ REPORT
FOR THE YEAR ENDED 31 MARCH 2023
The trustees have pleasure in submitting their report together with the financial statements for the year ended 31 March 2023. These financial statements have been prepared in accordance with statutory requirements, the Memorandum & Articles of Association, the Companies Act, FRS 102 and the Charities’ Statement of Recommended Practice (Charities SORP (FRS 102)).
Reference and Administrative Information
Charity registration number 1143988 Company registration number 07775348 Registered office Porchester Road, London, W2 5DX
Trustees/Directors
Stuart Elmes (appointed 1 October 2023) (Pastor) Abena Boateng Elizabeth Welch (Assistant Pastor) Geoffrey Biggs Kenneth Asiedu
The key management personnel are the Trustees.
Deacons Iretiola Badamosi Lorna Glasgow Bankers CAF Bank Ltd, 25 Kings Hill Avenue, Kings Hill, West Malling, Kent, ME19 4JQ Auditor Jacob Cavenagh & Skeet, Chartered Accountants, 5 Robin Hood Lane, Sutton, Surrey SM1 2SW Solicitors Wellers Law Group, 65 Leadenhall Street, London, EC3A 2AD Pensions Lucas Fettes Financial Planning, Lakeside 500, Old Chapel Way, Broadland Business Park,Norwich, NR7 0WG
(2)
WESTBOURNE PARK BAPTIST CHURCH DIRECTORS’ REPORT FOR THE YEAR ENDED 31 MARCH 2023
(continued)
Objectives and Activities
Objects of the charity
Westbourne Park Baptist Church seeks to advance the Kingdom of God through our words and our actions. This is demonstrated in our slogan ‘Love God * Love People’. The formal objects in the governing document are the advancement of the Christian Faith in accordance with the principles of the Baptist denomination and the advancement of education and other charitable purposes.
The church is registered as a Charitable Company with the Charity Commission, registered number 1143988. It is also registered with Companies House, registered number 07775348.
Achievements and performance
The main visible way that we show our love for God is our Worship Services on a Sunday. We have seen a growth in attendance across the year, and our services have been a blessing for us as a church.
Our Fellowship Groups have probably been the activity that has been most impacted by the disruption of the pandemic, as people are less keen on meeting via zoom now, and equally less committed to attending a weekly group. There are now only 3 active Fellowship Groups meeting across the church, and an area for focus in the coming year. We have continued to have a very active prayer team, who have continued to pray together 6 days a week on Zoom to enable people to join from home. We have reinstated a once a month ‘in person’ prayer meeting in the church building, which has seen small numbers, but proven to be significant times to pray together. We continued to actively use our prayer text service to communicate urgent requests for prayer, and a weekly email communication goes out to the church family and wider friends.
Perhaps the most hidden part of our Worship is our serving each other and those outside the fellowship. Our Mission giving has continued despite the financial limitations of being out of the building.
Church members, including the trustees, make a significant contribution to the running of the church’s activities. Around 70% of the church membership remain actively involved in the church. The church has had new people attending and welcomed 7 new members across the financial year.
In planning the activities the trustees have had regard to the guidance on public benefit issued by the Charity Commission. Westbourne Park Food Pantry, which started in March 2021, has grown as an activity that connects with the local community, providing food support and offering dignity, choice and hope for people challenged by the rising cost of living.
Grant making policy
Westbourne Park Baptist Church gives away a tithe of its donated income. The approach for this is to support International, National and Local organisations. Members of the church can propose causes for this money to go towards, and this is reviewed every few years to ensure money is being directed in the right ways. Part of the donation is given to the Baptist World Mission and also to Baptist Home Mission, as part of the church’s identification with the worldwide Baptist family. The church will also support pastoral needs for people in the church where a need is made known, seeking to not just give money, but also to help people to sustain change in areas of their life that may need support, such as budgeting skills and money management.
Risks and uncertainties
The trustees have identified that the principal risk affecting the church is the continued impact on income due to the bookings for the building being less than planned for. This risk is being managed by minimal contracted staff with casual contract staff working for evenings and weekend bookings. The Senior Pastor vacancy has been an uncertainty across the financial year, with the process to choose a new pastor having started in June 2022. The Rev Stuart Elmes being appointed in June 2023 and will commence his ministry on 1[st] October 2023.
(3)
WESTBOURNE PARK BAPTIST CHURCH DIRECTORS’ REPORT FOR THE YEAR ENDED 31 MARCH 2023
(continued)
Risks and uncertainties (continued)
The budget setting process for 2023/2024 has been done by separating the 3 entities of the church, the venue and the food pantry, providing greater clarity of where there is shortfall. The church budget is covering its costs, with the venue needing increased income from bookings and the food pantry needing more funding to support its costs
Fundraising
The Church does not employ outside or commercial fund-raisers, and does not make appeals for funds beyond its members. The Church has not subscribed to any fund-raising regulator and has received no complaints about its fundraising activities. Other than publicly inviting an offering at every service when the building is open, we do not engage in persistent fundraising or intrusive fundraising practices with any of our donors, including vulnerable people, and we never have private or coercive discussions with individuals about their giving. The church has received funding for the Food Pantry from Westminster City Council, who asked the church to set up and provide this service.
Financial review
The accounts for the year show a surplus of £21,546 , compared to a surplus of £33,570 in 2022. Total income has increased due to the increase in activity of the Food Pantry, supported by funding from Westminster City Council as mentioned above.
The budget for the year was monitored and reviewed throughout the year. The tithes and offerings from the church members and attenders has been maintained. We drew down money from our reserves to provide cashflow when this was needed.
Reserves
The total funds held by the church at the end of the year were £7,148,911 of which £7,063,614 is invested in fixed assets. The free reserves, defined as the amounts held in general funds excluding the amount invested in property and equipment amounted to £63,530 (2022: £31,938). The Trustees have established a policy whereby free reserves held by charity should be between 2 and 4 months of committed operating expenses. The free reserves were within this policy at the year end.
Structure, Governance and Management
Governing Document
Memorandum and Articles of Association dated 15 September 2011.
Government
The policy and operating decision of the charity rest with the trustees who meet regularly to monitor the activities of the church. New trustees are appointed by church members by the passing of an ordinary resolution at a general meeting. Trustees receive induction and training during their meetings and through ongoing updates as guidance is received.
The pastors are part of the key management personnel of the church and receive a stipend which is set with reference to recommendations from the Baptist Union.
The church works closely with the Westbourne Park Family Centre which runs its activities in the church building but is constituted as a separate charity.
Property
The Baptist Union Corporation Limited are the custodian trustees for the manse and the church property that belong to the church.
(4)
WESTBOURNE PARK BAPTIST CHURCH DIRECTORS’ REPORT FOR THE YEAR ENDED 31 MARCH 2023
(continued)
Statement of trustees’ responsibilities
The trustees who are also the directors are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the income and expenditure, of the charitable company 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 in the Charities SORP;
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make judgments and accounting estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
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prepare the financial statements on a going concern basis unless it is inappropriate to assume that the company will be able to continue in operation.
The trustees are responsible for maintaining proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable 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 charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the trustees are aware:
-
there is no relevant audit information of which the charitable company's auditors are unaware; and
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the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
The above report is prepared in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006.
Approved by the trustees and signed on their behalf by
Elizabeth Welch
Geoff Biggs
Date: 12 December 2023
(5)
WESTBOURNE PARK BAPTIST CHURCH INDEPENDENT AUDITOR’S REPORT FOR THE YEAR ENDED 31 MARCH 2023
Opinion
We have audited the financial statements of Westbourne Park Baptist Church (the ‘charity’) for the year ended 31 March 2023 which comprise the Statement of Financial Activities, the Balance Sheet and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). The previous financial statements were not audited.
In our opinion the financial statements:
-
give a true and fair view of the state of the charitable company's affairs as at 31 March 2023 and of its incoming resources and application of resources for the year then ended;
-
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Charity’s ability to continue as a going concern for a period of at least 12 months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
Other information
The other information comprises the information included in the annual report, including the trustees’ report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit:
- the information given in the trustees' report, which includes the directors’ report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
(6)
WESTBOURNE PARK BAPTIST CHURCH INDEPENDENT AUDITOR’S REPORT
FOR THE YEAR ENDED 31 MARCH 2023 (continued)
- the directors’ report included within the trustees' report has been prepared in accordance with applicable legal requirements.
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included with the trustees' report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
-
adequate and proper accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
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the financial statements are not in agreement with the accounting records and returns; or
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certain disclosures of trustees’ remuneration specified by law are not made; or
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we have not received all the information and explanations we require for our audit; or
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the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies exemptions in preparing the trustees’ report and from the requirement to prepare a strategic report.
Responsibilities of trustees
As explained more fully in the trustees’ responsibilities statement, the trustees' (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Based on our understanding of the company, we identified that the principal risks of non-compliance with laws and regulations related to employment and financial reporting legislation and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and the Charities Act 2011.
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by making enquiries of management, considering the internal controls in place and discussion amongst the engagement team.
We determined that the principal risks were related to presentation of separately disclosed items, revenue recognition including venue hire, donated and restricted income and management override of controls.
In response to the risks identified we designed procedures which included, but were not limited to, agreeing financial statement disclosures to underlying supporting documentation, testing income from source documentation to accounting records, reviewing trustees minutes, evaluating the internal controls and identifying and testing journal entries.
(7)
WESTBOURNE PARK BAPTIST CHURCH INDEPENDENT AUDITOR’S REPORT
FOR THE YEAR ENDED 31 MARCH 2023 (continued)
There are inherent limitations in the audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Use of our report
This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and regulations made under that Act. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members as a body, for our audit work, for this report, or for the opinions we have formed.
Miriam Hickson FCA (Senior Statutory Auditor) for and on behalf of Jacob Cavenagh & Skeet Statutory Auditor Chartered Accountants
5 Robin Hood Lane Sutton Surrey SM1 2SW
Dated: December 2023
(8)
WESTBOURNE PARK BAPTIST CHURCH STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING THE INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2023
| 2023 | 2022 | ||||||
|---|---|---|---|---|---|---|---|
| Unrestricted | Restricted | Total | Unrestricted | Restricted | Total | ||
| Funds | Funds | Funds | Funds | ||||
| Note | £ |
£ | £ | £ | £ | £ | |
| Income from: | |||||||
| Donations and legacies | 2 | 100,413 | 114,123 | 214,536 | 87,971 |
57,128 | 145,099 |
| Charitable activities | 2 | 197,678 | - | 197,678 | 164,469 |
- | 164,469 |
| Other Income | 17,553 | - | 17,553 | 1,286 |
7,407 | 8,693 | |
| CJRS Income | - | - | - | 3,942 |
- | 3,942 | |
| Total income | 315,644 | 114,123 | 429,767 | 257,668 | 64,535 | 322,203 | |
| Expenditure on: | |||||||
| Charitable activities | 3 | 310,151 | 113,211 | 423,362 | 223,668 |
65,479 | 289,147 |
| Reduction in pension | 12 | ( 15,141) | - | (15,141)( 514) | - | (514) | |
| provision | |||||||
| Total expenditure | 295,010 | 113,211 | 408,221 | 223,154 | 65,479 | 288,633 | |
| Net income/(expenditure) | 20,634 | 912 | 21,546 | 34,514 | ( 944) | 33,570 | |
| Transfers between funds | - | - | - | - |
- | - | |
| Net movement in funds | 20,634 | 912 | 21,546 | 34,514 |
( 944) | 33,570 |
|
| Reconciliation of funds | |||||||
| Total funds brought forward | 10 | 7,106,510 | 20,855 7,127,365 | 7,071,996 | 21,799 | 7,093,795 | |
| Total funds carried forward | 10 | 7,127,144 | 21,767 7,148,911 | 7,106,510 | 20,855 | 7,127,365 |
The statement of financial activities includes all gains and losses in both years. These figures above relate to continuing operations in both years.
The notes on pages 10 to 18 form part of these financial statements.
(9)
WESTBOURNE PARK BAPTIST CHURCH
BALANCE SHEET
AS AT 31 MARCH 2023
| Note Fixed assets Tangible fixed assets 6 Current assets Stock 7 Debtors 8 Cash at bank Creditors:Amounts falling due within one year 9a Net current assets Total assets less current liabilities Creditors:Amounts falling 9b due after more than one year Provisions 12 Net assets 11 Funds Unrestricted Funds 10 Restricted Funds 10 |
2023 £ 2,592 48,407 72,270 123,269 (37,972) |
£ 7,063,614 85,297 7,148,911 - - 7,148,911 7,127,144 21,767 7,148,911 |
2022 £ £ 7,074,572 - 57,347 49,329 106,676 (35,983) 70,693 7,145,265 ( 1,500) ( 16,400) 7,127,365 7,106,510 20,855 7,127,365 |
|---|---|---|---|
These financial statements have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
These financial statements were approved by the Trustees on 6 December 2023 and signed on their behalf by
Elizabeth Welch Director
The notes on pages 10 to 18 form part of these financial statements.
Company Number 07775348
(10)
WESTBOURNE PARK BAPTIST CHURCH NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
1. ACCOUNTING POLICIES
Westbourne Park Baptist Church is a private company limited by guarantee incorporated in England and Wales and a registered charity. The registered office is 65 Porchester Road, London W2 5DX.
1a. Basis of accounting
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”), “Accounting and Reporting by Charities” the Statement of Recommended Practice for charities applying FRS 102, the Companies Act 2006 and UK Generally Accepted Accounting Practice. The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared on the historical cost convention. The principal accounting policies adopted are set out below.
1b. Going concern
Preparation of the accounts is on a going concern basis. The trustees consider that there are no material uncertainties about the charity’s ability to continue as a going concern.
1c. Donations and grant income
Donated income and grants receivable are taken into account when received by the charity. Income received in circumstances where a claim for repayment of tax has been or will be made to HM Revenue & Customs is grossed up for tax recoverable. Any amount of tax reclaimed from HM Revenue & Customs but not yet received is shown within the charity’s debtors.
Donated food is recognised as income when received. Takings from the Food Pantry are accounted for gross.
The church is heavily dependent on activity carried out by volunteers. No value is attributed to this in the financial statements.
1d. Income from charitable activities
Income from charitable activities is recognised in the period in which the charity is entitled to the income.
1e. Expenditure
Expenditure, including irrecoverable VAT, when incurred by the charity, regardless or when payment is made. Grants payable are taken into account at the earlier of when they are paid or become constructive obligations. Grants for the support of overseas missionaries are accounted for on the basis of support that relates to the financial year.
(11)
WESTBOURNE PARK BAPTIST CHURCH NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
(continued)
1 ACCOUNTING POLICIES (continued)
1f. Funds
Unrestricted funds are donations and other income received or generated for the objects of the charity without specified purpose and are available for purposes as directed by the trustees. Restricted funds are amounts received where the donors have specified the purposes for which they should be used.
1g. Tangible fixed assets
Fixed assets acquired for use by the charity are capitalised at cost and depreciated either over their estimated useful lives or by reducing balance unless they cost less than £500 when they are written off on purchase.
Depreciation periods and calculations are as follows: Freehold buildings Over 50 years, on a straight line basis Equipment 20% - 30% reducing balance basis
No depreciation is provided on leasehold property as the residual value is considered sufficiently high to render depreciation immaterial.
1h. Pension costs
The charity is a participating employer in the Baptist Union Pension Scheme which, prior to January 2012, was a multi-employer defined benefit pension scheme. The charity is unable to identify its share of the scheme’s assets and liabilities therefore, as permitted by FRS 102, the entire scheme is being treated as if it were a defined contribution scheme. The last actuarial valuation indicated the obligation to provide defined benefits gives rise to a funding deficit and the charity, along with other participating employers, must make additional contributions to remedy the deficit. The obligation to make deficit reduction contributions in future years has been included as a liability in these financial statements. Further information about this defined benefits scheme, and the charity’s obligation to contribute towards its funding deficit, is disclosed elsewhere in the notes to these accounts.
The charity also pays contributions to Friends Life and Aviva for the personal pension schemes of certain other employees. These costs are recognised when they fall due.
1i. Debtors
Tax recoverable and other debtors are included at the settlement amount due. Prepayments are valued at the amount prepaid.
1j 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 the opening of the deposit.
1k. Creditors and provisions
Creditors and provisions are recognised where the charity has a present obligation arising from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are recognised at their settlement amount.
Income relating to grants that has been received but not yet earned is treated as deferred income.
(12)
WESTBOURNE PARK BAPTIST CHURCH NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 (continued)
1 ACCOUNTING POLICIES (continued)
1l. Financial instruments
The charity only has financial assets and liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
2 INCOME
| a Donations and legacies Donations Tax recoverable Food Pantry Restricted Income: Grants Other b Charitable activities Lettings Salary recharges 3 EXPENDITURE Activities undertaken directly Salary and pension costs Other staff costs Cost of ministries Manse & flat running costs Venue running costs Subscriptions Depreciation Support & Administration Bank charges Printing, postage and stationery Telephone and internet Accounting software Sundry expenses Governance costs Audit fee Accounts preparation Independent examination costs Grant funding of activities (see note 4) Total |
2023 £ 83,919 16,494 84,250 29,873 214,536 184,071 13,607 197,678 2023 £ 189,821 3,891 90,473 8,229 55,574 2,554 11,548 362,090 574 3,024 7,424 1,240 611 5,742 1,782 - 20,397 40,875 423,362 |
2022 £ 72,846 15,125 46,500 10,628 145,099 151,720 12,749 164,469 2022 £ 146,546 2,292 41,975 6,652 16,406 4,295 13,119 231,285 463 1,620 7,288 686 841 5,100 1,620 - 17,618 40,244 289,147 |
|---|---|---|
(13)
WESTBOURNE PARK BAPTIST CHURCH NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
(continued)
| 4 GRANTS PAYABLE World Mission Baptist Missionary Society Wycliffe Bible Translation SIM International Margaya Fellowship (Sri Lanka) London School of Theology London Baptist Association Angola School project Michael Mahon Tearfund Home Mission Westminster Street Pastors Agape Arabic Christian Centre Christians Against Poverty Parish Nursing BU Home Mission Westbourne Park Family Centre 5 STAFF COSTS Gross salaries Social security costs Employers contribution to defined contribution pension schemes Pension costs of defined benefit pension schemes |
2023 £ 3,900 3,000 300 - - - 575 250 500 8,525 500 500 400 350 3,600 27,000 32,350 40,875 2023 £ 170,489 5,690 13,642 189,821 ( 15,141) 174,680 |
2022 £ 3,897 2,700 - 750 500 100 - - - 7,947 500 500 350 350 3,597 27,000 32,297 40,244 2022 £ 131,313 4,670 10,563 146,546 ( 514) 146,032 |
|
|---|---|---|---|
The average number of employees during the year was 16 (2022: 11). No employee (2022: nil) was paid more than £60,000.
E Welch received a stipend of £23,382 (2022: £22,906) in her capacity as assistant pastor, and not as trustee, and pension contributions of £2,338 (2022: £2,291) were paid on her behalf. Payments are permitted in the company’s governing document. She represents the key management of the company and the total employee benefits (including employer’s national insurance pension contributions) were £27,796 (2022 : £27,137). No remuneration was paid to any other trustee during the year nor any person connected to them. No trustee expenses were claimed by trustees.
(14)
WESTBOURNE PARK BAPTIST CHURCH NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 (continued)
6 TANGIBLE FIXED ASSETS
| Freehold Properties £ Cost At 1 April 2022 56,302 Additions - Disposals - At 31 March 2023 56,302 Depreciation At 1 April 2022 3,376 Charge for the year 1,059 Released on disposal - At 31 March 2023 4,435 Net book value At 31 March 2023 51,867 At 31 March 2022 52,926 |
Leasehold Equipment Property & Furniture Computers Total £ £ £ £ 6,976,011 117,713 17,812 7,167,838 - 590 - 590 - - ( 5,450) ( 5,450) 6,976,011 118,303 12,362 7,162,978 - 75,357 14,533 93,266 - 8,589 1,900 11,548 - - (5,450) ( 5,450) - 83,946 10,983 99,364 6,976,011 34,357 1,379 7,063,614 6,976,011 42,356 3,279 7,074,572 |
|---|---|
Freehold properties
The church property was acquired by the predecessor trust in 1875 and the original cost is considered to have been fully depreciated prior to the building project. 2 Westbourne Park Villas (Manse and flat) were acquired by the predecessor trust in 1920.
Leasehold property
The new church premises were funded by Dolphin Square Foundation in return for a long lease of the church site, from 2019.
7 STOCK
| Stock EBTORS Trade debtors Income tax recoverable Prepayments and accrued income Other debtors |
2023 £ 2,592 2023 £ 12,470 16,494 5,597 13,846 48,407 |
2022 £ - 2022 £ 15,843 14,947 6,499 20,058 57,347 |
|---|---|---|
8 DEBTORS
(15)
WESTBOURNE PARK BAPTIST CHURCH NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 (continued)
9 CREDITORS:
9a Amounts falling due within one year
| Trade creditors Accruals and deferred income Other taxes and social security Other creditors mounts falling due after one year Other creditors |
2023 £ 80 36,392 - 1,500 37,972 2023 £ - |
2022 £ 1,540 30,843 - 3,600 35,983 2022 £ 1,500 |
|---|---|---|
9b Amounts falling due after one year
The amount included in other creditors is an interest free concessionary loan from the London Baptist Association. It is being repaid by monthly instalments with the last one due before December 2022.
10 FUNDS
| Restricted Funds Food Pantry Paddington Welfare Unrestricted Funds General Designated fixed assets fund |
Balance as at 1 April 2022 £ 20,855 - 20,855 77,573 7,028,937 7,127,365 |
Balance as at Income Expenditure 31 March Transfers 2023 £ £ £ £ 113,923 ( 113,011) - 21,767 200 ( 200) - - 114,123 ( 113,211) - 21,767 315,644 (295,010) 1,059 99,266 - - ( 1,059) 7,027,878 429,767 (408,221) -7,148,911 |
|---|---|---|
The Food Pantry fund represents the grant received from Westminster Council to run a food pantry.
The Paddington Development Trust fund represents funding an apprentice in premises management.
The Paddington Welfare fund was a specific donation received which has been passed on to that charity.
| Balance as at 1 April 2021 £ Restricted Funds Food Pantry 21,799 Paddington Development Trust - Paddington Welfare - 21,799 Unrestricted Funds General 41,934 Designated fixed assets fund 7,030,062 7,093,795 |
Balance as at Income Expenditure 31 March Transfers 2022 £ £ £ £ 57,128 ( 58,072) - 20,855 7,207 ( 7,207) - - 200 ( 200) - - 64,535 ( 65,479) - 20,855 257,668 (223,154) 1,125 77,573 - - ( 1,125) 7,028,937 322,203 (288,633) -7,127,365 |
|---|---|
(16)
WESTBOURNE PARK BAPTIST CHURCH NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
(continued)
| 11 ANALYSIS OF NET ASSETS Restricted Designated fixed assets fund General Total Restricted Designated fixed assets fund General Total |
Net Long Fixed Current Term Assets Assets Liabilities £ £ £ - 21,767 - 7,027,878 - - 35,736 63,530 7,063,614 85,297 - Net Long Fixed Current Term Assets Assets Liabilities £ £ £ - 20,855 - 7,028,937 - - 45,635 49,838 (17,900) 7,074,572 70,693 (17,900) |
Total 2023 £ 21,767 7,027,878 99,266 7,148,911 Total 2022 £ 20,855 7,028,937 77,573 7,127,365 |
|---|---|---|
12 PENSIONS
The Church is a participating employer the Baptist Pension Scheme (“the Scheme”), which is a separate legal entity administered by the Pension Trustee (Baptist Pension Trust Limited). The assets of the Scheme are held separately from those of the Employer and the other participating employers.
The Scheme, previously known as the Baptist Ministers’ Pension Fund, started in 1925, but was closed to future accrual of defined benefits on 31 December 2011. Prior to this date the main benefit provided through the Defined Benefit (DB) Plan was a pension of one eightieth of final minimum pensionable income for each year of pensionable service together with additional pension in respect of premiums paid on Pensionable Income in excess of Minimum Pensionable Income.
From January 2012, pension provision is being made through the Defined Contribution (DC) Plan within the Scheme. In general, members pay 8% of their Pensionable Income and employers pay 6% of members’ Pensionable Income into individual pension accounts, which are operated and managed on behalf of the Pension Trustee by Broadstone Corporate Benefits Ltd. In addition, the employer pays a further 4% of Pensionable Income to cover Death in Service Benefits, administration costs, and an associated insurance policy which provides income protection for Scheme members if they are unable to work due to long-term incapacity. This income protection policy has been insured by the Baptist Union of Great Britain with Aviva Limited.
The Scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102. Because it is not possible to attribute the Scheme’s assets and liabilities to specific employers, the scheme is accounted for as if the Scheme were a defined contribution scheme.
The Minister is eligible to join the Scheme.
Actuarial valuation as at 31 December 2020
A formal valuation of the DB Plan as at 31 December 2019 was carried out by a professionally qualified Actuary using the Projected Unit Method. At the valuation date the market value of the DB Plan assets was £298 million, whilst the level of assets needed to pay benefits was £316m, giving a deficit of £18m (equivalent to a past service funding level of 94%). The Church and the other participating employers in the DB Plan are collectively responsible for funding this deficit.
(17)
WESTBOURNE PARK BAPTIST CHURCH NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 (continued)
12 PENSION (continued)
The key financial assumptions underlying the valuation were as follows:
| % pa | |
|---|---|
| RPI price inflation assumption | 3.20% |
| CPI price inflation assumption | 2.70% |
| Minimum Pensionable Income | increases (CPI plus 0.75% pa) 3.20% |
| Assumed investment returns | |
| - Pre-retirement | 2.95% |
| - Post retirement | 1.70% |
| Deferred pension increases | |
| - Pre April 2009 | 3.20% |
| - Post April 2009 | 2.50% |
| Pension increases | 2.70% |
Mortality is assumed in accordance with 80% of the S3NA standard mortality table. Future improvements projected from 2013 in line with the “CMI 2019” projection with a long-term rate of improvement of 1.75% p.a. for males and 1.5% p.a. for females with the core smoothing parameter and with additional initial mortality improvement factor A=0.5%.
The next actuarial valuation of the DB Plan within the Scheme is due to take place not later than as at 31 December 2022.
Recovery Plan
In addition to the contributions to the DC Plan set out above, where a valuation of the DB Plan reveals a deficit the Trustee and the Council agree to a rate of deficiency contributions from churches and other employers involved in the DB Plan. Following the 2019 valuation a Recovery Plan was signed in September 2020 under which deficiency contributions are payable until June 2026. These contributions were broadly based on each employer's membership at 31 December 2014 and increase annually in line with increases to Minimum Pensionable Income as defined in the Rules.
On 30th June 2022 the Baptist Pension Scheme signed an agreement with the insurance company Just Group (“Just”) to secure DB Plan members’ pension benefits. Just are now providing financial backing for all pensions provided through the Scheme’s DB Plan and following this transaction, the Scheme no longer has a shortfall. An updated Recovery plan was then signed in August 2022 under which recovery contributions from each participating employer in the DB Plan reduced to £1 per month from August 2022.
Movement in Balance Sheet liability
Section 28.11A of FRS 102 requires agreed deficit recovery payments to be recognised as a liability. The movement in the provision is set out in the table below.
| Balance sheet liability at year start Minus deficiency contributions paid Interest cost (recognised in SoFA) Remaining change to balance sheet liability * (recognised in SoFA) Balance sheet liability at year end |
2023 2022 £ £ 16,400 20,623 ( 1,259) ( 3,709) 476 346 (15,617) ( 860) - 16,400 |
|---|---|
- Comprises any change in agreed deficit recovery plan and change in assumptions between year-ends.
(18)
WESTBOURNE PARK BAPTIST CHURCH NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
(continued)
12 PENSION (continued)
This liability represents the present value of the deficit contributions agreed as at the accounting date and has been valued using the following assumptions set by reference to the duration of the deficit recovery payments:
| s: | |||
|---|---|---|---|
| Accounting date | 31 Mar 23 | 31 Mar 22 | 31 Mar 21 |
| Discount rate | 5.6% | 3.0% | 1.8% |
| Future increases to Minimum Pensionable Income | 3.4% |
4.9% | 3.5% |
13 NET INCOME/(EXPENDITURE)
| This is stated after charging: 2023 £ Depreciation 11,548 Operating Leases 1,116 |
2022 £ 13,119 960 |
|---|---|
14 OPERATING LEASE COMMITMENTS
| Within 1 year After one year but within five years |
2023 £ 1,272 4,134 5,406 |
2022 £ 960 1,440 2,400 |
|---|---|---|
15 RELATED PARTY TRANSACTIONS
The trustees donated a total of £17,210 (2022: £15,560) without any restrictions to the church.
One of the trustees is the CEO of, and another is a trustee of, Westbourne Park Family Centre (WPFC) from which the church received rental income of £31,592 and bookkeeping and photocopier contributions of £11,355. The church also granted WPFC £27,000 towards their work in the community, as part of the church’s own ministry work.