**Registered Charity Number: 1146236 Company Registration Number: 00977544**
## **Village Hope**
**Report of the Trustees and Unaudited Financial Statements For the year ended 31[st] December 2020**
**Village Hope**
**CONTENTS OF THE FINANCIAL STATEMENTS for the year ended 31[st] December 2020**
||Page|
|---|---|
|Report of the Trustees|1 to 6|
|Independent Examiner's Report|7|
|Statement of Financial Activities|8|
|Statement of Financial Position|9|
|Notes to the Financial Statements|10 to 13|
|Detailed Statement of Financial Activities|14|
**Village Hope**
## **REPORT OF THE TRUSTEES for the year ended 31[st] December 2020**
The trustees, who are directors for the purposes of company law, present their report and financial statements for the year ended 31st December 2020.
## **Objectives and Aims**
The company's objectives are to proclaim and live out the gospel of Jesus Christ in the villages of Britain in order to establish effective Christian witness and to encourage and enable village churches in Bible teaching, prayer, worship and evangelism.
We recognise that to be an effective Christian witness our existence is not only for the benefit of members and church attendees, but for the benefit of the wider community in the villages in which we operate. Village Hope is benefiting the public by raising awareness and understanding of the gospel of Jesus Christ, by promoting and enabling Bible teaching, study, prayer and worship sessions. Village Hope benefits the community by supporting places of worship that are open for all to attend. A benefit is provided by members who are actively involved in the community in, for example, school assemblies and providing worship in residential homes for the elderly and disabled and visiting members of the public in their homes, hospital or care homes. This is providing social care by ensuring that persons who could not otherwise worship as they wish to, are able to; they enable people to worship with others and have companionship for the time that the member is visiting. Village Hope is also providing a beneficial moral and ethical framework through living out the gospel of Jesus Christ and giving meaning to individual's lives and contributing to their spiritual well-being.
This benefits wider society as well as individual's comfort, solace and sense of purpose, as they live their lives in this framework. In promoting social cohesion by allowing various members of society to come together, many churches open during the week providing a range of activities for various age groups.
## **Public benefit**
The trustees confirm that they have referred to the guidance contained in the Charity Commissioners general guidance on public benefit when reviewing the trust's aims and objectives and in planning future activities.
## **Risk**
The trustees have reviewed all major risks to which the Charity is exposed and systems are in place to mitigate those risks. Operational risks are managed by delegation to ensure compliance with health and safety and other policies and procedures by volunteers and visitors.
External funding risks continue to be minimised by diversification of both funding and activities. Internal financial risks are managed by the implementation of authorisation procedures for all transactions.
## **Achievement and Performance**
## **Charitable activities**
As for most charities, our activities in 2020 were significantly curtailed by the Covid-19 pandemic and lockdown.
However, the strategy of previous years, structured around the four themes of ‘prayer’, ‘understanding’, ‘teams’ (renamed this year as ‘mission’) and ‘centres’, with associated initiatives and projects, continued to provide the basis of our work.
Throughout the year, we served our community, consisting of members of the Village Hope Fellowship, Prayer Partners, Subscribers and associated individuals, fellowships and churches, mostly online and by post.
The number of people regularly contributing news, prayer requests, poems and biblical reflections to our monthly prayer and news bulletin, ‘Village Prayer’ increased, as did the variety of contributions; this group has continued to be a lively and mutually supportive community.
Our subscribers continued to receive our print newsletter, Village Link, circulation of which increased during the year. As a result, we plan in 2021 to issue this more frequently.
‘Hope for the Countryside’ is a partnership between Village Hope and three other organisations. It aims to mobilise, resource and inform prayer for rural Britain by issuing a monthly prayer guide, Seeds of Prayer, organising an annual prayer conference and via a dedicated website. Village Hope continued to manage, compile and issue Seeds of Prayer, and to originate much of the content. Seeds of Prayer is widely distributed via ours and the partners’ networks. Unable to meet physically for our annual prayer conference this year, we held instead two online events. Both were well attended and much appreciated and helped support those working in Christian ministry in rural areas as well as others concerned better to understand and pray for rural communities.
Page 3
**Village Hope**
## **REPORT OF THE TRUSTEES for the year ended 31[st] December 2020**
As the very beginning of the year, we continued to plan and organise our 2020 conference, around the theme of ‘Hope for the Earth’. Unfortunately, this had to be cancelled due to Covid-19, but we have rescheduled for October 2021.
Village Link and the annual conference are major tools in advancing our theme of promoting ‘understanding’ of rural life, faith, mission and ministry.
Our main other means of advancing ‘understanding’ is our website. We continued to develop this throughout the year. During the first lockdown especially, we published several series of articles aimed at providing biblical perspectives on the pandemic or on other themes, in all cases aiming to provide information, analysis, bible study and encouragement.
The Village Schools Project, in partnership with ICE Wales Trust, continued as normal at the start of the year, providing bible-themed assemblies, R E lessons and extra-curricular clubs to rural schools in S E Wales, Gloucestershire and South Herefordshire by recruiting and training teams from local churches. The closure and partial closure of schools and associated restrictions throughout the rest of the year out a stop to any in-school work. However, the Project reverted to making videos and offering these to schools. These were well received and were requested and used by several new schools.
Covid, however, did curtail much of our work and all staff were furloughed for some months of the year. We also terminated the post of Community Coordinator in August.
Despite the troubles of the year, we continued to be encouraged by the many signs of life and reasons for hope for church and mission in rural Britain. Pandemic and lockdown prompted a new interest among many in gathering virtually, especially for prayer, and a new interest in rural life, farming and the countryside. We remain confident that Village Hope has a role to play in resourcing and encouraging rural Christians and churches, and, thereby, serving rural life, faith, communities and wider society in the villages of Britain.
## **Financial review**
The trustees consider the financial performance by the charity during the year to have been satisfactory. The Statement of Financial Activities show net outgoing resources for the year of a revenue nature of £85,890 (PY £91,339).
The total reserves at the year-end after accounting for unrealised losses /after revaluing investments of £0 (PY £0), stand at £288,325 (PY £374,215).
## **Reserves**
Unrestricted reserves held at the year-end amounted to £288,325 (PY £374,215)
## **Reserves policy**
The trustees have established a policy whereby the unrestricted funds not committed or invested in tangible fixed assets ('the free reserves') held by the Charity should be approximately six months of the resources expended. At this level the trustees feel that they would be able to continue the current activities of the Charity in the event of a significant drop in income.
## **Structure, Governance and Management**
## **Governing document**
The charity is a charitable company limited by guarantee and was incorporated in 1970 as Friend's Prayer League and Band Holdings Limited. It changed its name to Village Hope on 25th January 2012 and from 1st April 2012 the FEBV assets and liabilities began to be transferred over to Village Hope, and the Company became active.
## **Recruitment and appointment of new trustees**
In accordance with the Memorandum and Articles of Association each director is elected for a period of five years after which they resign and may stand to be re-elected. Elections take place at the Annual General Meeting. The Board of Directors has power to co-opt additional directors as is necessary. New trustees are invited to familiarise themselves with the Charity and its work. They are also given a welcome pack containing:
- the duties of a trustee
Page 4
**Village Hope**
## **REPORT OF THE TRUSTEES**
**for the year ended 31[st] December 2020**
- the history of our Charity
- our governing document
- the latest annual report and accounts
- minutes of recent trustee meetings
- the latest strategy plans
## **Reference and Administration Details Registered name**
Village Hope
## **Registered Charity number**
1146236
## **Company Registration number**
00977544
## **Principal address**
Priors Frome Chapel Priors Frome Hereford HR1 4EP
## **Trustees**
**Name Position** John Plumb Chair Dr Peter Carruthers Jeremy Hett Ruth Mallard
**Appointments/Resignations**
## **Chief executive**
Dr Peter Carruthers (appointed May 2016)
## **Independent Examiner**
Magnus Proctor FFA Lindisfarne Landkey Road Barnstaple Devon EX32 9BW
Page 5
**Village Hope**
## **REPORT OF THE TRUSTEES for the year ended 31[st] December 2020**
## **Trustees' responsibilities statement**
The trustees, who are also directors for the purposes of company law, are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the incoming resources and application of resources, including the income and expenditure, for that period.
In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the applicable Charities SORP;
- make judgments and accounting estimates that are reasonable and prudent;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity 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 charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## **Small company provisions**
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.
Approved by the board of trustees on 4th April 2021 and signed on its behalf by:
............................................. John Plumb, Chair
Page 6
## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF VILLAGE HOPE**
## **Independent examiner's report to the trustees of Village Hope**
I report to the charity trustees on my examination of the accounts of Village Hope for the year ended 31[st] December 2020.
## **Responsibilities and basis of report**
As the charity trustees of the Trust 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 Trust's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
## **Independent examiner's statement**
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. accounting records were not kept in respect of the Trust 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 confirm that there are no other matters to which your attention should be drawn to enable a proper understanding of the accounts to be reached.
Signed:
Magnus Proctor Fellow Institute of Financial Accountants Lindisfarne Landkey Road Barnstaple Devon EX32 9BW
6[th] March 2021
Date: .............................................
Page 7
**Village Hope**
## **STATEMENT OF FINANCIAL ACTIVITIES**
## **(including Income and Expenditure Account and Statement of Total Recognised gains and Losses) for the Year ended 31[st] December 2020**
|**Notes**
**Income and Endowments**
2
Donations and legacies
Investment income
Other income
**Total Incoming Resources**
**Expenditure on:**
Charitable activities
3/4
**Total Resources Expended**
**Net Incoming / (Outgoing) resources**
Transfer between funds
**Reconciliation of Funds**
Total Funds brought forward
**Total Funds carried forward**
6|**2020**
**2019**
**Unrestricted**
**funds**
**Restricted**
**funds**
**Total**
**Total**
**£**
**£**
**£**
**£**
17,653
0
17,653
20,118
3,921
0
3,921
172
5,567
0
5,567
4,162|
|---|---|
||27,141
0
27,141
24,452|
||113,031
0
113,031
115,791|
||113,031
0
113,031
115,791|
||(85,890)
0
(85,890)
(91,336)
0
0
0
0|
||(85,890)
0
(85,890)
(91,339)
374,215
0
374,215
465,554|
||**288,325**
**0**
**288,325**
**374,215**|
The notes form part of these financial statements
Page 8
**Village Hope**
## **STATEMENT OF FINANCIAL POSITION At 31[st] December 2020**
|**Notes**
**Fixed Assets**
Tangible assets
**Current Assets**
Cash at bank
**Current Liabilities**
Amounts falling due within one year
5
**Current Assets less Current Liabilities**
**Net assets**
**Funds**
Restricted funds
6
Unrestricted funds
Total funds|**2020**
**2019**
**Unrestricted**
**funds**
**Restricted**
**funds**
**Total**
**Total**
**£**
**£**
**£**
**£**
87
0
87
87
289,307
0
289,307
375,231
(1,069)
0
(1,069)
(1,103)|
|---|---|
||288,325
0
288,325
374,215|
||288,325
0
288,325
374,215|
||0
0
0
288,325
288,325
374,215|
||288,325
0
288,325
374,215|
For the financial year in question the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.
No members have required the company to obtain an audit of its accounts for the year in question in accordance with section 476 of the Companies Act 2006.
The directors acknowledge their responsibility for complying with the requirements of the Act with respect to accounting records and for the preparation of accounts.
These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime
The financial statements were approved by the Board of Trustees on 4[th] April 2021 and were signed on its behalf by:
............................................. John Plumb, Chair
The notes form part of these financial statements
Page 9
**Village Hope NOTES TO THE FINANCIAL STATEMENTS**
## **1. Accounting Policies**
## **Basis of preparing the financial statements and assessment of going concern**
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. They also comply with the Companies Act 2006.
The financial statements have been prepared under the historical cost convention.
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.
## **Income**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
## **Expenditure**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
## **Tangible fixed assets**
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Equipment - 4 years straight line
## **Taxation**
The charity is exempt from tax on its charitable activities.
## **Debtors**
Trade and other debtors are recognised at the settlement amount. Prepayments are valued at the amount prepaid.
## **Cash at bank and in hand**
Cash at bank and in hand includes cash, current bank accounts and deposit bank accounts with no withdrawal limitations.
## **Creditors**
Creditors are recognised where then charity has a present obligation resulting from a past event that will 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 are recognised at their settlement amount.
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
The notes form part of these financial statements
Page 10
**Village Hope NOTES TO THE FINANCIAL STATEMENTS**
## **2. Donations and Legacies**
|Donations and gifts
Gift aid
Legacies
Other income
Government furlough grant
Donations and gifts
Gift aid
Legacies
Other income
**Expenditure on charitable activities**
Charitable activities
Support costs
Charitable activities
Support costs
**Analysis of support costs**
Independent examiner
**Staff costs**
Salaries
Pension costs|**Unrestricted**
**£**
16,750
793
110
1,317
4,250|**Restricted**
**2020**
**£**
**£**
0
13,784
0
916
0
2,000
0
3,246
0
0
0
**Restricted**
**2019**
**£**
**£**
0
13,784
0
916
0
2,000
0
3,246
0
19,946
**Restricted**
**2020**
**£**
**£**
0
113,667
0
2,124
0
115,791
**Restricted**
**2019**
**£**
**£**
0
113,667
0
2,124
0
115,791
**2020**
**2019**
1,000
1,000
1,000
1,000
**2020**
**2019**
**£**
**£**
92,556
86,926
7,059
7,393
99,615
94,319|
|---|---|---|
||23,220||
||**Unrestricted**
**£**
13,784
916
2,000
3,246||
||19,946||
||**Unrestricted**
**£**
111,138
1,893||
||113,031||
||**Unrestricted**
**£**
113,667
2,124||
||115,791||
||||
## **3. Expenditure on charitable activities**
## **4. Analysis of support costs**
## **5. Staff costs**
No employees received employee benefits (excluding employer pension costs) for the reporting period of more than £60,000
||**2020**|**2019**|
|---|---|---|
|Average headcount|||
|Employees|4|4|
The notes form part of these financial statements
Page 11
**Village Hope NOTES TO THE FINANCIAL STATEMENTS**
|**6. Tangible fixed Assets**
**Buildings**
**Equipment**
**Total**
**£**
**Cost**
Cost brought forward
35,000
819
35,819
Additions
0
0
0
**Total cost carried forward**
35,000
819
35,819
**Depreciation**
Depreciation brought forward
0
732
732
Charge for year
0
87
87
**Total depreciation carried forward**
0
819
819
**Net Book Value**
**At 31 December 2020**
**35,000**
**0**
**35,000**
At 31 December 2019
35,000
87
35,087
**7. Creditors: amounts falling due within one year**
**2020**
**2019**
**£**
**£**
Accruals and deferred income
1,000
1,103
1,000
1,103
**8. Movement in Funds**
**Unrestricted Funds**
**Balance**
**Income**
**Expenditure**
**Transfers**
**Balance**
**1st Jan 2020**
**31st Dec 2020**
General Fund
374,215
27,141
(113,031)
0
288,325
**Total Funds**
374,215
27,141
(113,031)
0
288,325
**Unrestricted Funds**
**Balance**
**Income**
**Expenditure**
**Transfers**
**Balance**
**1st Jan 2019**
**31st Dec 2019**
General Fund
465,554
24,452
(115,791)
0
374,215
**Total Funds**
465,554
24,452
(115,791)
0
374,215|**6. Tangible fixed Assets**
**Buildings**
**Equipment**
**Total**
**£**
**Cost**
Cost brought forward
35,000
819
35,819
Additions
0
0
0
**Total cost carried forward**
35,000
819
35,819
**Depreciation**
Depreciation brought forward
0
732
732
Charge for year
0
87
87
**Total depreciation carried forward**
0
819
819
**Net Book Value**
**At 31 December 2020**
**35,000**
**0**
**35,000**
At 31 December 2019
35,000
87
35,087
**7. Creditors: amounts falling due within one year**
**2020**
**2019**
**£**
**£**
Accruals and deferred income
1,000
1,103
1,000
1,103
**8. Movement in Funds**
**Unrestricted Funds**
**Balance**
**Income**
**Expenditure**
**Transfers**
**Balance**
**1st Jan 2020**
**31st Dec 2020**
General Fund
374,215
27,141
(113,031)
0
288,325
**Total Funds**
374,215
27,141
(113,031)
0
288,325
**Unrestricted Funds**
**Balance**
**Income**
**Expenditure**
**Transfers**
**Balance**
**1st Jan 2019**
**31st Dec 2019**
General Fund
465,554
24,452
(115,791)
0
374,215
**Total Funds**
465,554
24,452
(115,791)
0
374,215|**Buildings**
**Equipment**
**Total**
**£**
35,000
819
35,819
0
0
0|**Buildings**
**Equipment**
**Total**
**£**
35,000
819
35,819
0
0
0|
|---|---|---|---|
|||35,000
819
35,819||
|||0
732
732
0
87
87||
|||0
819
819||
||374,215
27,141
(113,031)||0
288,325|
||**Balance**
**Income**
**Expenditure**
**1st Jan 2019**
465,554
24,452
(115,791)||**Transfers**
**Balance**
**31st Dec 2019**
0
374,215|
||465,554
24,452
(115,791)||0
374,215|
## **9. Trustee remuneration and benefits**
The Chief Executive received a salary and benefits of £44,220 during the year. No other trustee has been paid any remuneration or received any benefits from an employment with the charity or a related entity.
The notes form part of these financial statements
Page 12
**Village Hope**
## **The following pages do not form part of the Financial Statements**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31[st] DECEMBER 2020**
|**Donations and legacies**
Donations
Legacies
Gift Aid received
Other income
Government Furlough grant
**Total income from donations and legacies**
Investment income
Interest received
**Total income from investment income**
**Total incoming resources**
**Charitable activities**
Employee salaries
Pension costs
Travel and accommodation
Rent, rates and service costs
Office costs
Telephone and internet
Miscellaneous costs
Bank charges
Legal fees
Conference costs
Depreciation
**Total expenditure on charitable activities**
**Support costs**
Independent examiner
Trustee expenses
Insurance
**Total support costs**
**Total resources expended**
**Net incoming/(outgoing) resources**|**2020**
**2019**
**£**
**£**
16,750
18,118
110
2,000
793
916
1,317
3,246
4,250
0|
|---|---|
||**23,220**
**24,280**
3,921
172|
||**3,921**
**172**|
||**27,141**
**24,472**|
||92,556
86,926
7,059
7,393
1,748
5,323
1,358
1,584
4,367
3,626
725
742
220
593
33
1
1,815
6
1,170
7,229
87
244|
||**111,138**
**113,667**
1,948
1,134
207
225
738
765|
||**1,893**
**2,124**
**113,031**
115,791|
||**(85,890)**
**(91,339)**|
Page 13