TRUSTEES’ ANNUAL REPORT AND ACCOUNTS FOR THE PAROCHIAL CHURCH COUNCIL OF ST LEONARD’S PARISH, HYTHE
Aims and purposes
The Parochial Church Council (PCC) of the parish of St. Leonard has the responsibility of co-operating with the church wardens and Rev Michael Darkins to promote in the ecclesiastical parish, the whole mission of the Church, pastoral, evangelistic, social and ecumenical. The PCC is responsible for the maintenance of the two churches of the parish, St. Leonard’s and Holy Cross, and for the Parish contribution, agreed by the Joint Council, to the St. Michael’s Methodist Anglican Church Centre (StMMACC).
Objectives and Activities
The PCC is committed to enabling as many people as possible to worship at our churches and to become part of our parish community. The PCC maintains an overview of worship throughout the parish and makes suggestions on how our services can involve all those who live within the parish. Our services and worship put faith into practice through sacrament, prayer and scripture.
When planning our activities for the year, the incumbent and the PCC have considered the Charity Commission’s guidance on public benefit and, in particular, the specific guidance on charities for the advancement of religion. We try to enable ordinary people to live out their faith as part of our parish community through:
i) worship and prayer, and the development of spirituality through study and discussion
ii) provision of pastoral care for people living in the parish iii)missionary and outreach work
To facilitate this work, it is important that we maintain the fabric of the churches in the Parish.
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Achievements and Performance
Worship and Prayer
The PCC is keen to offer a range of services throughout the parish that our community find both beneficial and spiritually fulfilling. Eucharist is central to our worship in the form of Sung Eucharist with choir at St. Leonard’s, and occasional services of Holy Communion and Christmas services were held at Holy cross. However Holy Cross has largely remained closed this year, but worship and more regular services are now restored. Holy Communion is celebrated once a month at SMACCS There is full choral evensong at St. Leonard’s each Sunday. There are also weekday services throughout the parish.
Our main services are live streamed, also weddings, funerals and baptisms on request.
All are welcome to attend our regular services. At present, there are 116 parishioners on the Church Electoral Roll. The average weekly attendance for the whole parish, counted during October, was 122 adults and 10 children under 16.
There has been 9 baptisms, 2 weddings, and 11 funerals held in church and 11 funerals conducted on behalf of the parish at crematoria and cemeteries.
.
Deanery Synod
3 members of the PCC sit on the Deanery Synod. This provides the PCC with an important link between the parish and the wider diocesan structures.
Pastoral Care
The Pastoral and Healing Team of the parish, in liaison with the clergy, ensure that all those who are unable to attend church because of age or ill health are visited and given communion when requested, also our services are live streamed which has been appreciated by many. A service of healing and wholeness is held monthly.
Mission and Evangelism
Our monthly Parish Review is distributed widely in the community and is always available at the back of each church.
The refurbishment of the property in the town has been completed and our 101 project has made a promising start with a small shop which sells local handicrafts and books and has an area for use of the community which local organisations are finding useful as well as a meeting space for church groups.
The church continues to maintain strong links with Hythe Bay school, and we have been pleased to be able to welcome them in the church for church days and their services each term.
Through these the children become familiar and comfortable with the church and begin to learn that the church is part of their town and for them to use.
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Ecumenical Relations
Churches together in Hythe and Saltwood are making an effort to get things moving and are making a positive step forward.
Financial Review
Total receipts for unrestricted funds were £130,222. In addition restricted income of £16,634 was also received and is detailed in the financial statements.
Planned giving through bankers orders and weekly envelopes was £54,402 (£52,973 in 2021) while the plate collections at all services totalled £8,468 (£5,095 in 2021).
The total expenditure required for the year totalled £233,750 of which £218,681 was from unrestricted funds and included a loss of £9,399 on investments.
A total of £82,708 was spent on furnishing the High Street business premises known as the 101 Open Door Project. A Community Interest Company (CIC) was set up during the year and are now responsible for collecting income and dealing with the running costs of the project.
The parish share as assessed by the Diocese of Canterbury was £81,279 and this was paid by the parish in full utilising £21,000 of reserves. However, there are still historical arrears of £102,306.
Reserves Policy
Following receipt of legacy funds 2021 the sum of £200,000 was invested in an income account with the remainder of the legacy is still held in cash..
Cash reserves held at the bank at the end of the year totalled £144,900.19 of which £140,090.76 is unrestricted. In addition there is a long term investment portfolio valued at £191,483 and further investments held with CBF Church of England funds of £8,744. Expenditure on the fabric at St Leonards Church is met by legacy funds or requires a request for funding from the Friends of St Leonards, a separate and independent charity. It is necessary from time to time to utilise some unrestricted reserves to settle the parish share.
The parish receives rent from a residential property which may be used for general purposes as well as the upkeep of that property.
Volunteers
Our large team of volunteers is what makes the church function. These include members of the PCC, servers, church cleaners, sides persons, choir members, bell ringers, coffee makers, flower arrangers, churchyard maintenance workers and many others, all of whom add up to a band of helpers who willingly give their time for the good of our church community.We are truly grateful to them all and offer our heartfelt thanks to them all.
Structure, governance and management
The method of appointment of PCC members is set out in the Church Representation Rules. Here in the parish of St. Leonard the membership of the PCC consists of the Priest in Charge, associate and assistant clergy, the churchwardens, the reader, members of the deanery synod and members who are elected by those of the congregation who are on the
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electoral roll of the parish. All who are members of our congregation are encouraged to register on the electoral roll and stand for election to the PCC.
The PCC is responsible for making decisions on all matters of general concern and importance to the parish including decisions about how funds of the PCC are to be spent.
The parish and PCC take the issue of safeguarding very seriously and our safeguarding officer, Marilyn Johnson, has continued to promote safeguarding training throughout the parish ensuring that all who require training are able to access stage 1 and stage 2 training.
Administrative Information
The Parish of St. Leonard is part of the Canterbury Diocese within the Church of England. The correspondence address is The Vicarage, Oak Walk, Hythe, Kent CT21 5DN.
The PCC is a body corporate (PCC Powers Measure 1956, Church Representation Rules 2011) and was registered as a charity (No 1144695) on 16 November 2011.
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PCC members who have served from May 5[th] 2022 until the date this report was approved are:
| Priest in Charge | Rev Michael Darkins |
|---|---|
| Churchwarden & Deanery Synod | John Wren |
| Churchwarden | Gill Cox |
| Reader | Mike Cox |
| Deanery Synod & Treasurer | Brian Bishop |
| Deanery Synod | David Owen |
| Elected Members: | Berkeley Hill |
| Roger Taylor | |
| Steve Jones | |
| Penny Mattocks | |
| Brinley Hughes | |
| Mary Tyler | |
| Helen Waymouth | |
| Marilyn Johnson | |
| Secretary | Christine Blackman |
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THE PAROCHIAL CHURCH COUNCIL OF ST. LEONARD, HYTHE
STATEMENT OF FINANCIAL ACTIVITIES
for the year ended 31st December 2022
| Note Income and Expenditure Incoming Resources Incoming resources from donors 2(a) Other voluntary incoming resources 2(b) Incoming resources from operating activities:- - to further the Council's objects 2(ci) - to generate funds 2(cii) Trading receipts 2(d) Income from Investments 2(e) Other incoming resources 2(f) Total incoming resources Resources Expended Grants 3(a) Support Costs 3(b) Relating to the Work of the Church 3(c) Church Management & Admin. 3(d) Vergers House 3(e) Other Resources Expended 3 (f) Total resources used Net (outgoing)/incoming resources for the year Other recognised gains and losses Gains/Losses(-) on investments Surplus on revaluation of freehold property Net Movement in Funds Balances Brought Forward at 1st January, 2022 (2021) Balances Carried Forward at 31st December, 2022 (2021) |
Unrestricted Restricted 2022 2021 Funds Funds 79,505 0 79,505 73,477 13,791 15,980 29,771 808,311 16,672 0 16,672 10,916 1,385 651 2,036 1,387 7,200 0 7,200 7,360 4,309 3 4,312 7 7,360 0 7,360 0 |
|---|---|
| 130,222 16,634 146,856 901,458 |
|
| 0 1,139 1,139 1,407 0 0 0 0 186,419 13,930 200,349 140,355 3,805 0 3,805 5,413 406 0 406 893 0 0 0 0 |
|
| 190,630 15,069 205,699 148,068 |
|
| -60,408 1,565 -58,843 753,390 -9,399 0 -9,399 1,431 0 0 0 0 |
|
| -69,807 1,565 -68,242 754,821 1,171,591 11,646 1,183,237 428,416 |
|
| 1,101,784 13,211 1,114,995 1,183,237 |
The notes on pages 8 to 13 form part of these accounts.
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THE PAROCHIAL CHURCH COUNCIL OF ST. LEONARD, HYTHE
BALANCE SHEET
at 31st December, 2022
| Note FIXED ASSETS Tangible Fixed Assets 5 Investments 6 Current Assets Cash at Bank Other Debtors - Income Tax recoverable GASDS Recoverable Insurance Claim Vergers Rent CDBF Vacancy Fees Liabilities: Amounts falling due within one year Parish Share Insurance Premium Instalments Uncleared Cheques Sundry creditors Net current (liabilities) / assets NET ASSETS Represented By Restricted 9,11 Unrestricted 10,12 |
157,092 1,053 350 7,360 600 0 |
2022 862,052 200,227 |
453,852 2,067 257 0 0 180 |
2021 844,600 9,626 |
|---|---|---|---|---|
| 1,062,279 52,716.26 |
854,226 329,011 |
|||
| 166,455 102,306 2,793 8,229 411 |
456,356 102,306 2,630 21,978 431 |
|||
| 113,739 | 127,345 | |||
| 1,114,995 | 1,183,237 | |||
| 13,211 1,101,784 |
11,645 1,171,592 |
|||
| 1,114,995 | 1,183,237 |
Approved by the Parochial Church Council on 28th March 2023 and signed on its behalf by:
………………………………………………………………………
Rev M Darkins (Priest-in-Charge)
…………………………………….. Mr J C Wren (Chiurchwarden)
The notes on pages 8 to 13 form part of these accounts.
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THE PAROCHIAL CHURCH COUNCIL OF ST. LEONARD, HYTHE
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31st December, 2022
NOTE 1. ACCOUNTING POLICIES
The financial statements have been prepared in accordance with the Church Accounting Regulations 1997 together with applicable accounting standards and the Charities SORP.
The financial statements have been prepared under the historical cost convention except for the valuation of freehold property and investment assets, which are shown at market value.
Funds
General funds represent the funds of the PCC that are not subject to any restrictions regarding their use and are available for application on the general purposes of the PCC. Funds designated for a particular purpose by the PCC are also unrestricted.
The accounts include all transactions, asset and liabilities for which the PCC is responsible in law. They do not include the accounts of church groups that owe their main affiliation to another body nor those that are informal gatherings of Church members.
Incoming Resources
Voluntary income and capital sources
Collections are recognised when received by or on behalf of the PCC. Planned giving receivable under covenant or gift aid is recognised only when received. Income tax recoverable on covenants or gift aid donations is recognised when the income is recognised. Grants and legacies to the PCC are accounted for as soon as the PCC is notified of its legal entitlement and the amount due. Funds raised as a result of specific fund raising events are accounted for gross. Sales of books and guides are accounted for gross. Other ordinary income Rental income from the letting of church premises is recognised when the rental is due. Income from investments Dividends and interest are accounted for when receivable. Tax recoverable on such income is recognised in the same accounting year.
Gains and losses on investments
Realised gains or losses are recognised when investments are sold. Unrealised gains or losses are accounted for on revaluation of investment on 31st December.
Resources used
Grants Grants and donations are accounted for when paid over, or when awarded, if that award creates a binding obligation on the PCC.
Activities directly relating to the work of the Church
The diocesan quota is accounted for when payable. Any quota unpaid at 31st December is provided for in these accounts as an operational (though not a legal) liability and is shown as a creditor in the Balance Sheet.
Fixed Assets
Consecrated land and buildings and movable church furnishings
Consecrated and beneficed property is excluded from the accounts by s.96(2)(a) of the Charities Act 1993. No value is placed on movable church furnishings held by the churchwardens on special trust for the PCC and which require a faculty for disposal since the PCC considers this to be inalienable property. All expenditure incurred during the year on consecrated or benefice buildings and movable church furnishings, whether maintenance or improvement, is written off as expenditure in the SOFA and separately disclosed.
Chamber Organ
The Chamber Organ is depreciated on a straight line basis over 10 years.
Other fixtures, fittings and office equipment
Equipment used within the church premises is depreciated on a straight line basis over 4 years. Investments
Investments are valued at market value at 31st December. Current assets
Amounts owing to the PCC at 31st December in respect of fees, rents or other income are shown as debtors less provision for amounts that may prove uncollectible.
Short term deposits include cash held on deposit with CBF Church of England Funds or at the bank.
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THE PAROCHIAL CHURCH COUNCIL OF ST. LEONARD, HYTHE
NOTES TO THE FINANCIAL ACCOUNTS
for the year ended 31st December, 2022 (continued)
| NOTE 2. INCOME Unrestricted Restricted 2022 2021 Funds Funds 2(a) Incoming resources from donors Planned giving: Gift Aid declarations 46,703 46,703 47,160 Inc.Tax recovered on gift aid 11,307 11,307 10,540 Income tax to be reclaimed 1,053 1,053 2,067 Non Gift Aid giving 7,699 7,699 5,813 Collections (open plate) at all services 8,468 8,468 5,095 Gift Aid Small Donations Scheme 1,701 1,701 908 GASDS to be reclaimed 350 350 257 Sundry Donations 2,224 2,224 1,637 79,505 0 79,505 73,477 2(b) Other voluntary incoming resources Donations, appeals 8,617 13,080 21,697 32,241 Legacies 5,000 5,000 774,070 Grants 2,900 2,900 2,000 Reclaimed VAT 0 0 Refunds 174 174 0 13,791 15,980 29,771 808,311 2(ci) Incoming resources from operating activities to further the Council's objects Magazines/Books Sales 977 977 912 Fees 4,451 4,451 2,504 Crypt 11,244 11,244 7,500 16,672 0 16,672 10,916 2(cii) Incoming resources from operating activities to generate funds Fund-raising Events 220 651 871 47 Magazine advertising revenue 1,140 1,140 1,250 Printing revenue 25 25 90 1,385 651 2,036 1,387 2(d) Trading receipts Vergers House - Rent 7,200 7,200 7,200 Holy Cross Church Letting Income 0 160 7,200 0 7,200 7,360 2(e) Income from Investment Investment Income 3,965 3,965 0 Bank Interest 344 3 347 7 4,309 3 4,312 7 2(f) Other ordinary incoming resources Insurance Claim 7,360 7,360 0 Misc Income 0 0 0 7,360 0 7,360 0 |
Unrestricted Restricted 2022 2021 Funds Funds 46,703 46,703 47,160 11,307 11,307 10,540 1,053 1,053 2,067 7,699 7,699 5,813 8,468 8,468 5,095 1,701 1,701 908 350 350 257 2,224 2,224 1,637 |
|---|---|
| 79,505 0 79,505 73,477 |
|
| 8,617 13,080 21,697 32,241 5,000 5,000 774,070 2,900 2,900 2,000 0 0 174 174 0 |
|
| 13,791 15,980 29,771 808,311 |
|
| 1,385 651 2,036 1,387 |
|
| 7,200 7,200 7,200 0 160 |
|
| 7,200 0 7,200 7,360 |
|
| 3,965 3,965 0 344 3 347 7 |
|
| 4,309 3 4,312 7 |
|
| 7,360 7,360 0 0 0 0 |
|
| 7,360 0 7,360 0 |
|
| TOTAL INCOME | 130,222 16,634 146,856 901,458 |
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THE PAROCHIAL CHURCH COUNCIL OF ST. LEONARD, HYTHE
NOTES TO THE FINANCIAL ACCOUNTS
for the year ended 31st December, 2022 (continued)
| NOTE 3. EXPENDITURE 3(a) Grants Missionary & Charitable Giving: Church Overseas: - Missionary Societies - Relief & Development Agencies Home Missions & Other Church Societies 3(b) Support Costs Diocesan Training Funds Conferences ALMs/Readers 3(c) Relating to the Work of the Church Church Maintenance Church Running Expenses 101 High Street Maintenance 101 High Street Running Costs Clergy Expenses Crypt Depreciation Diocesan Parish Share Education/Spiritual Growth Evangelism/Retreats Fees expenses Organ Maintenance Piano Maintenance Wages & Staff Costs (see note 4) 3(d) Church Management & Administration Administration Office Rent Bank Charges Card Charges Professional Fees Affiliation Fees 3(e) Vergers House Repairs & Maintenance 3 (f) Other Resources Expended Misc Expenditure |
Unrestricted Restricted 2022 2021 Funds Funds 0 0 1,139 1,139 1,407 |
|---|---|
| 0 1,139 1,139 1,407 |
|
| 0 0 0 0 0 0 |
|
| 0 0 0 0 |
|
| 12,552 24 12,576 3,876 27,725 500 28,225 26,630 52,591 11,465 64,056 13,623 2,352 2,352 0 113 113 0 333 333 0 1,200 1,200 2,992 81,279 81,279 87,389 479 435 914 153 254 254 0 0 0 100 2,154 306 2,460 1,810 0 0 6,587 6,587 3,782 |
|
| 186,419 13,930 200,349 140,355 |
|
| 2,096 2,096 1,475 0 0 336 336 51 58 58 46 1,035 1,035 3,711 280 280 130 |
|
| 3,805 0 3,805 5,413 |
|
| 406 406 893 |
|
| 406 0 406 893 |
|
| 0 0 |
|
| 0 0 0 0 |
|
| TOTAL EXPENDITURE | 190,630 15,069 205,699 148,068 |
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THE PAROCHIAL CHURCH COUNCIL OF ST. LEONARD, HYTHE
NOTES TO THE FINANCIAL ACCOUNTS
for the year ended 31st December, 2022 (continued)
NOTE 4. STAFF COSTS
| NOTE 4. STAFF COSTS Wages & Salaries (Organ/choir) |
2022 2021 6,587 3,782 |
| 6,587 3,782 |
During the year the P.C.C. paid for the services of a Director of Music, an assistant organist and choirs.
NOTE 5. FIXED ASSETS FOR USE BY THE P.C.C. (Unrestricted)
| COST OR VALUATION DEPRECIATION NET BOOK VALUE NOTES: |
Freehold Land Furniture Total & Buildings & Equipment 835,000 69,681 904,681 Revaluation/purchase 0 0 0 Additions 0 18,652 18,652 At 1 January 2022 |
|---|---|
| 835,000 88,333 923,333 At31 Dec. 2022 |
|
| 0 60,081 60,081 0 1,200 1,200 At 1 January, 2021 Charge for theyear |
|
| 500,000 61,281 61,281 At31 Dec. 2022 |
|
| 835,000 9,600 844,600 At31 Dec. 2021 |
|
| 835,000 27,052 862,052 At31 Dec. 2022 |
|
The freehold land and buildings comprise:
Vergers house located at Church Road, Hythe - value £500,000 Valued August 2020
101 High Street, Hythe, purchased 1 October 2021 at £335,000
Furniture & Fixings for 101 High Street valued at £18,652 were purchase during the year.
Furniture & Equipment comprises: Chamber Organ - £8,400 101 High Street Furniture & Fixings - £18,652
| NOTE 6. INVESTMENTS Beckwith Legacy - St James's Place CBF Investment Fund Units - CCLA |
Unrestricted Restricted 2022 Total 2021 Funds Fund 8,744 0 8,744 9,626 191,483 0 191,483 0 |
|---|---|
| 200,227 0 200,227 9,626 |
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THE PAROCHIAL CHURCH COUNCIL OF ST. LEONARD, HYTHE
NOTES TO THE FINANCIAL ACCOUNTS
for the year ended 31st December, 2022 (continued)
NOTE 7. FUND DETAILS
The restricted fund comprises:
The Charity Account relates to funds raised for and grants made to support mission work and charities.
St. Leonard's Church which relates to funds donated and used for the upkeep and maintenance of that church.
The Organ Fund which relates to funds donated and used for the restoration and upkeep of the organ in St Leonards's Church.
The Churchyard Impovements Fund relates to funds donated and used for the upkeep and maintenance of the churchyard and boundary walls, railings and gates at St Leonards Church.
Holy Cross After School Club fund which relates to funds donated and used for children's work at Holy Cross Church.
The 101 High Street Garden Fund relates to funds donated for the maintenance of the garden of that property.
The Heating Grant Fund relates to a grant received to assist the parish with heating costs.
The designated fund comprises:
The Vergers House fund which relates to income from renting the property and which is designated for the repair and upkeep of that property but can also be used for general purposes.
The Holy Cross Fund which relates to income from letting the property and which is designated for the repair and upkeep of that property.
A Fabric Fund which the PCC has set aside designated for the upkeep and maintenance of St Leonards Church.
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THE PAROCHIAL CHURCH COUNCIL OF ST. LEONARD, HYTHE
NOTES TO THE FINANCIAL ACCOUNTS
for the year ended 31st December, 2022 (continued)
NOTE 9. ANALYSIS OF MOVEMENTS IN RESTRICTED FIXED ASSETS
| NOTE 9. ANALYSIS OF MOVEMENTS IN RESTRICTED FIXED ASSETS | D ASSETS | |
|---|---|---|
| Balance at 1 Jan 2022 Chamber Organ 9,600 9,600 NOTE 10. ANALYSIS OF MOVEMENTS IN UNRESTRICTED FIXED ASSETS Balance at 1 Jan 2022 Vergers House 500,000 101 High Street 335,000 Furniture & Fixings 101 High Street 0 835,000 |
Balance at 1 Jan 2022 9,600 |
Movement in resources |
| 9,600 | 0 -1,200 8,400 |
|
| Balance at Incoming Outgoing 31 Dec 2022 0 0 500,000 0 0 335,000 18,652 0 18,652 Movement in resources |
||
| 835,000 | 18,652 0 853,652 |
NOTE 11. ANALYSIS OF MOVEMENTS IN RESTRICTED FUNDS
| Churchyard Improvements Fund Organ Fund St Leomards Fabric Fund 101 High Street Garden Fund Heating Grant Fund Lawrence Wellar Charity Missions & Charities Holy Cross After School Club |
Balance at 1 Jan 2022 1,174 306 27 0 0 0 343 195 |
Movement in resources |
|---|---|---|
| 2,045 | 16,633 -13,869 4,809 |
NOTE 12. ANALYSIS OF MOVEMENTS IN UNRESTRICTED FUNDS
| Vergers House Designated Funds Holy Cross Designated Funds Fabric Designated Funds Other unrestricted funds NOTE 13. ANALYSIS OF NET ASSETS Fixed assets Investments Current assets Current liabilities |
Balance at 1 Jan 2022 465 497 0 335,630 |
Movement in resources |
|---|---|---|
| 336,592 | 130,222 -218,680 248,134 |
|
| Unrestricted Restricted Total 853,652 8,400 862,052 200,227 0 200,227 161,646 4,809 166,455 -113,739 0 -113,739 |
||
| 1,101,786 13,209 1,114,995 |
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THE PAROCHIAL CHURCH COUNCIL OF ST. LEONARD, HYTHE
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Trustees Annual Report and Accounts For the Parochial Church Council of St Leonard's Parish, Hythe. For the year ended 31st December 2022. I have examined the reports and accompanying documents relating to the above and in my opinion, they show a true and fair view of the church's financial affairs. Kenneth Clark Independent Examiner