Parochial Church Council of St. Giles’ Church Exhall
Annual Financial Report for the year ending 31 December 2020
Incumbent
The Reverend Gail Phillip
Treasurer
The Reverend Stephen Carter
Bankers
Santander UK plc CCLA Investment Management Ltd. Churches’ Mutual Credit Union
Independent Examiner Gavin Kibble
Page Contents
- 2 Introduction 3 Financial Report & Policies 4 Independent Examiner’s Report 5 Statement of Financial Activities 6 – 7 Statement of Assets and Liabilities 8 – 9 Analysis of Income and Expenditure 10 Conclusion
Introduction
Basis of preparing the financial statements
The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.
Incoming resources and resources expended
All incoming resources are included in the Statement of Financial Activities when the church is legally entitled to the income and the amount can be quantified with reasonable accuracy. Expenditure is accounted for on an accruals and prepayments basis and has been classified under headings that aggregate all costs related to that 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.
Fund accounting
Unrestricted funds can be used in accordance with the church’s objectives at the discretion of the PCC. Designated funds comprise funds that have been set aside at the discretion of the PCC for specific purposes and recorded as such in the minutes of the PCC. Restricted funds can only be used for the particular purposes specified by the donor or when funds are raised for particular restricted purposes.
The restricted fund for the Church Houses is supported by income derived from the legacy of Frances Riley. This can be used for the upkeep of the Churchyard (including the Meadow) and for maintenance of the church building.
The Church Maintenance restricted fund is largely supported by income derived from the legacy of Susan Bourne. It can be used for the enhancement of the audio-visual equipment of the church and for interior decoration.
Other, smaller, restricted funds derive their funds from direct grants, donations and investment income. They can be used for the specific purposes suggested by their titles.
Investments
Investments are stated at market value. The house in Coventry Road is currently used as an investment asset and generates income for the church. A valuation instructed by the PCC in 2019 indicated its current open market value is £185,000.
Staff Costs
The average monthly headcount was two staff (2019: two staff) and the average monthly full-time equivalent employees (including part-time staff) was one (2019: one). No staff were furloughed as a result of the Covid-19 pandemic. No staff were paid at a higher rate than £60,000 per annum during this or the previous year. The church subscribes to a workplace pension scheme. There is currently one member of the scheme.
Page 2
Financial Report
It will come as no surprise to learn that our income decreased substantially in 2020. Total income was down £166,487 year on year, though this was in large part because no legacies were received in 2020, whereas legacies totalling £155,885 were received in 2019. After stripping out these one-off items, underlying income in 2020 was down just over £12,000 year on year (after adjusting to exclude an increase of about £1,500 in investment income). This reduction was largely, although not totally, attributable to the effect of the Covid-19 pandemic restrictions upon church services and associated activities.
As might also be expected, our expenditure decreased by £48,618 year on year. This resulted in an overall deficit of £29,559 – only about £3,000 more than that for which we had budgeted. Given the extremely constrained circumstances we feel that this outcome was much better than that for which we had hoped. The deficit was fully funded from our general reserves, from which we transferred about £54,500.
A breakdown of all these figures is available on request. A copy of the full accounts is posted on a noticeboard in church.
The Large Church Hall is a charity in its own right and its finances have to be reported to the Charity Commission separately. The details of the figures, however, are part of the main church accounts. Income received from lettings and donations in the year totalled £3,652 (2019: £6,250), while total expenditure to run and maintain the hall and car park came in at £4,416 (2019: £12,161), giving a deficit of £764 (2019: deficit of £5,911). A review of church hall hire fees was undertaken by the Halls Committee on behalf of the PCC in 2020. They were found to be somewhat lower than equivalent charges in the local area so the decision was made to increase them and amend the system of available discounts. These changes will be phased in over a period of two years.
Accounting Policies
Reserves Policy
The PCC’s policy is to review the reserves of the church on a regular basis. This review encompasses the nature of income and expenditure streams, and the PCC has determined that a general fund reserve of three month’s unrestricted expenditure should be maintained. At the end of the year this target was £26,159 (2019: £31,319).
Risk Policy
The PCC has identified the risks that might affect the church and has provided relevant training as advised. The PCC reviews the church’s policies and procedures regularly to minimise any risks identified.
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Independent Examiner’s report to the PCC of St. Giles’ Church, Exhall for the year ended 31st December 2020.
This report on the accounts of the PCC for the year ended 31st December 2020, which are set out on pages 5 to 9, is in respect of an examination carried out in accordance with the Church Accounting Regulations 2006 (‘the Regulations’) and s.145 of the Charities Act 2011 (‘the Act’).
Respective responsibilities of the PCC and the examiner
As members of the PCC you are responsible for the preparation of the accounts; you consider that the audit requirement of the Regulations and section 144(2) of the Act do not apply. It is my responsibility to issue this report on those accounts in accordance with the terms of the Act and the Regulations.
Basis of this report
My examination was carried out in accordance with the General Directions given by the Charity Commission under the Act and to be found in the Church Guidance, 2006 edition, issued by the Finance Division of the Archbishop’s Council. That examination includes a review of the accounting records kept by the PCC and a comparison of the accounts with those records. It also includes considering any unusual items or disclosures in the accounts and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not express an audit opinion on the view given by the accounts.
Independent examiner’s statement
In connection with my examination, no matter has come to my attention:
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(1) which gives me reasonable cause to believe that in any material respect the requirements –
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to keep accounting records in accordance with section 130 of the Act; and
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to prepare financial statements which accord with the accounting records and comply with the requirements of the Act and the Regulations have not been met; or
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(2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
(Signed) (Date)
Gavin Kibble ACMA 1 Kineton Road Wyken Coventry CV2 3NR
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Statement of Financial Activities
| Unrestricted Restricted Endowment Total Prior year funds funds funds funds total funds |
|
|---|---|
| Income and endowments from: Donations and legacies Income from charitable activities Other trading activities Investments Total income Expenditure on: Raising funds Expenditure on charitable activities Total expenditure Net income / (expenditure) resources before transfer Transfers Gross transfers between funds - in Gross transfers between funds - out Other recognised gains / losses Gains / losses on investment assets Net movement in funds Total funds brought forward Total funds carried forward Represented by Unrestricted General fund Designated Church Hall - Large Church Hall - Small Church Houses Church Maintenance Church Meadow Restricted Church Hall - Large Church Hall - Small Church Houses Church Maintenance Church Meadow Churchyard Property Values Remembrance Parade Road Closures St Giles' Toddlers' Group Youth Café |
54,259 6,852 — 61,112 220,290 12,910 — — 12,910 17,671 6,481 2,280 — 8,761 13,101 470 10,285 — 10,755 8,964 |
| 74,122 19,417 — 93,540 260,027 1,294 270 — 1,564 1,907 112,115 9,419 — 121,535 169,811 |
|
| 113,410 9,689 — 123,100 171,718 |
|
| (39,287) 9,727 — (29,559) 88,308 5,551 13,219 — 18,771 154,363 (17,672) (1,098) — (18,771) (154,363) 4,151 23,524 — 27,676 59,193 |
|
| (47,257) 45,373 — (1,883) 147,502 |
|
| 108,498 1,108,544 — 1,217,042 1,069,540 |
|
| 61,241 1,153,917 — 1,215,159 1,217,042 60,237 — — 60,237 100,987 (749) — — (749) (4,935) 122 — — 122 (177) — — — — 10,408 1,317 — — 1,317 1,905 312 — — 312 310 — 580 — 580 — — 500 — 500 — — 294,675 — 294,675 261,520 — 160,489 — 160,489 148,384 — 1,821 — 1,821 3,244 — 2,664 — 2,664 2,137 — 691,084 — 691,084 691,084 — 400 — 400 400 — 264 — 264 264 — 1,438 — 1,438 1,509 |
Page 5
Statement of assets and liabilities
| This year Last year |
|
|---|---|
| Investments CCLA Riley Trust Legacy A/c - 111002290S Church Houses (Restricted) - CCLA Bourne Legacy A/c - 611067001S Church Maintenance (Restricted) - CCLA General Investment A/c - 611067001J General fund (Unrestricted) - Total for Investments Tangible assets Large Hall Property Values (Restricted) - Small Hall Property Values (Restricted) - House - Coventry Road Property Values (Restricted) - Total for Tangible assets Cash at bank and in hand Santander Current Account General fund (Unrestricted) - Church Maintenance (Designated) - Church Maintenance (Restricted) - Church Hall - Large (Designated) - Church Hall - Large (Restricted) - Church Hall - Small (Designated) - Church Hall - Small (Restricted) - Churchyard (Restricted) - Church Meadow (Designated) - Church Meadow (Restricted) - Church Houses (Designated) - Church Houses (Restricted) - Youth Café (Restricted) - St Giles' Toddlers' Group (Restricted) - Remembrance Parade Road Closures (Restricted) - CCLA No 2 A/c - 611067003D General fund (Unrestricted) - CCLA Restoration A/c - 611067004D Church Maintenance (Restricted) - CCLA Riley Trust Income A/c - 611067005D Church Houses (Restricted) - CMCU Ltd A/c - 1031 General fund (Unrestricted) - |
224,238 209,810 |
| 224,238 209,810 141,379 132,283 |
|
| 141,379 132,283 44,847 40,695 |
|
| 44,847 40,695 |
|
| 410,465 382,789 396,348 396,348 |
|
| 396,348 396,348 109,736 109,736 |
|
| 109,736 109,736 185,000 185,000 |
|
| 185,000 185,000 |
|
| 691,084 691,084 14,742 2,945 1,317 1,905 1,331 2,247 (749) (4,452) 580 — 122 (45) 500 — 2,664 2,137 312 310 1,821 3,343 — 10,408 4,199 2,000 1,438 1,509 159 159 400 400 |
|
| 28,841 22,868 316 29,738 |
|
| 316 29,738 17,778 13,753 |
|
| 17,778 13,753 66,237 49,710 |
|
| 66,237 49,710 316 25,190 |
|
| 316 25,190 |
Page 6
General fund (Unrestricted) -
Administrator's Cash A/c
| Administrator's Cash A/c |
|
|---|---|
| General fund (Unrestricted) - Toddlers' Group Cash A/c St Giles' Toddlers' Group (Restricted) - Churchwardens' Cash A/c General fund (Unrestricted) - Church Maintenance (Restricted) - Church Meadow (Restricted) - Total for Cash at bank and in hand Debtors Accounts Receivable General fund (Unrestricted) - Total for Debtors Creditors: Amounts falling due in one year Accounts Payable General fund (Unrestricted) - Church Hall - Large (Designated) - Church Hall - Small (Designated) - Total for Creditors: Amounts falling due in one year Grand total |
1 21 |
| 1 21 104 104 |
|
| 104 104 12 41 — 100 — (98) |
|
| 12 42 |
|
| 113,609 141,430 — 2,930 |
|
| — 2,930 |
|
| — 2,930 — (576) — (482) — (131) |
|
| — (1,191) |
|
| 1,215,159 1,217,042 |
Page 7
Total Unrestricted Designated Restricted Endowment This year Last year
Analysis of income and expenditure
INCOME AND ENDOWMENTS
Donations and legacies
| Donations and legacies | |
|---|---|
| Bank SOs (Gift Aided) 18,688 — — — 18,688 15,616 Envelopes (Gift Aided) 13,752 — — — 13,752 17,746 CAF Vouchers — — — — — 515 CAF Donate 2,146 — — — 2,146 — Bank SOs (Non-Gift Aided) 1,124 — — — 1,124 1,030 Envelopes (Non-Gift Aided) 3,038 — — — 3,038 3,024 Loose plate collections 2,416 — — — 2,416 5,707 One-off gifts (Gift Aided) 715 — 120 — 835 1,380 One-off gifts (Non-Gift Aided) 1,788 100 1,460 — 3,348 2,482 Other donations, appeals etc. 217 — 200 — 417 70 Wall Safe 107 — — — 107 386 Candles 10 — — — 10 30 Tax recoverable on Gift Aid & GASD 8,524 — — — 8,524 10,557 Legacies — — — — — 155,885 Recurring grants — — 4,548 — 4,548 4,359 Non-recurring one-off grants 1,630 — 524 — 2,154 1,500 Total 54,159 100 6,852 — 61,112 220,290 Income from charitable activities Fees for Occasional Services 8,019 — — — 8,019 10,317 Large hall lettings — 3,652 — — 3,652 5,250 Small hall lettings — 454 — — 454 1,016 Magazine income - sales 785 — — — 785 809 Playgroup income — — — — — 277 Total 8,804 4,106 — — 12,910 17,671 Other trading activities Fund-raising sales and events — — 30 — 30 2,881 Other funds generated 65 — — — 65 24 Rent from Coventry Road House — 4,574 2,250 — 6,824 8,000 Bookstall sales — — — — — 31 Photocopying 15 — — — 15 164 Small Hall - PV Cell income — 884 — — 884 797 National Grid Wayleave — 2 — — 2 2 Magazine income - advertising 940 — — — 940 1,200 Total 1,020 5,460 2,280 — 8,761 13,101 Investments Dividends 125 — — — 125 2,600 Income transferred from investments — 257 10,036 — 10,293 — Bank and building society interest 77 10 248 — 336 6,363 Total 203 267 10,285 — 10,755 8,964 |
18,688 — — — 18,688 15,616 13,752 — — — 13,752 17,746 — — — — — 515 2,146 — — — 2,146 — 1,124 — — — 1,124 1,030 3,038 — — — 3,038 3,024 2,416 — — — 2,416 5,707 715 — 120 — 835 1,380 1,788 100 1,460 — 3,348 2,482 217 — 200 — 417 70 107 — — — 107 386 10 — — — 10 30 8,524 — — — 8,524 10,557 — — — — — 155,885 — — 4,548 — 4,548 4,359 1,630 — 524 — 2,154 1,500 |
| 8,804 4,106 — — 12,910 17,671 — — 30 — 30 2,881 65 — — — 65 24 — 4,574 2,250 — 6,824 8,000 — — — — — 31 15 — — — 15 164 — 884 — — 884 797 — 2 — — 2 2 940 — — — 940 1,200 |
|
| 1,020 5,460 2,280 — 8,761 13,101 125 — — — 125 2,600 — 257 10,036 — 10,293 — 77 10 248 — 336 6,363 |
|
| 203 267 10,285 — 10,755 8,964 |
|
| INCOME TOTAL | 64,187 9,934 19,417 — 93,540 260,027 |
EXPENDITURE
| EXPENDITURE | |
|---|---|
| Raising funds Costs of stewardship campaign Costs of fetes & other events House management costs - Coventry Road Total |
271 — — — 271 155 — — — — — 791 — 1,022 270 — 1,292 960 |
| 271 1,022 270 — 1,564 1,907 |
Page 8
| Expenditure on charitable activities Giving - Missionary Societies 1,360 — — — 1,360 1,625 Giving - Relief & Development Agencies 1,360 — — — 1,360 1,822 Giving - Home mission 1,360 — — — 1,360 1,817 Giving - Secular Charities 1,360 — — — 1,360 1,754 Ministry parish share etc 67,220 — — — 67,220 65,900 Assistant staff costs — — — — — 56 Family Worker Salary 11,733 — 227 — 11,960 12,744 Salary of parish administrator 5,170 — — — 5,170 6,138 Organists 625 — — — 625 2,500 Working expenses of incumbent 199 — — — 199 29 Working expenses of F & C's Worker 321 — 71 — 393 552 Vicar's telephone 116 — — — 116 60 Parish training 144 — — — 144 53 Mission Resources 189 — 296 — 485 — Website 93 — — — 93 43 Social Outreach Events — — — — — 140 Church running - insurance 3,956 — — — 3,956 4,030 Church office - Telephone / Internet 466 — — — 466 630 Organ / piano tuning 295 — — — 295 — Church maintenance 716 588 768 — 2,072 2,094 Cleaning 592 — — — 592 4 Sundry church expenses 394 — 278 — 672 689 Covid-19 Expenses 342 — — — 342 — Upkeep of services 1,224 — — — 1,224 1,338 Church Broadband Connection 238 — — — 238 — Choir Expenses — — — — — 112 Upkeep of Churchyard 6 — 3,033 — 3,039 3,665 Upkeep of Meadow — — 1,622 — 1,622 2,826 Waste Disposal — — 986 — 986 989 Administration 207 — — — 207 126 Office Stationery 904 — — — 904 1,011 Photocopier Costs 1,682 — — — 1,682 1,727 Visiting speakers / locums — — — — — 32 Refreshments 235 — — — 235 419 Playgroup expenses — — — — — 202 Church running - electric 305 — — — 305 470 Church running - gas 1,182 — — — 1,182 1,345 Magazine expenses 110 — — — 110 44 Large Hall running - electricity — 1,535 — — 1,535 2,693 Large Hall running - licencing — 124 — — 124 132 Large Hall running - insurance — 1,299 — — 1,299 1,324 Large Hall running - maintenance — 838 — — 838 1,318 Large Hall running - cleaning — 620 — — 620 1,514 Small Hall running - electricity — 445 — — 445 884 Small Hall running - insurance — 395 — — 395 403 Small Hall running - maintenance — 33 — — 33 446 Small Hall running - cleaning — 263 — — 263 766 House insurance costs - Coventry Road — 178 — — 178 168 House minor repair costs - Coventry Road — 1,391 2,115 — 3,506 908 House running costs - Coventry Road — 36 19 — 55 — Governance costs examination/audit fee 250 — — — 250 250 Church major repairs - installation — — — — — 2,259 Large Hall - major repairs (structure) — — — — — 4,880 Large Hall - fixtures & fittings depreci — — — — — 19,366 Small Hall - fixtures & fittings depreci — — — — — 15,492 Total 104,364 7,751 9,419 — 121,535 169,811 |
Expenditure on charitable activities Giving - Missionary Societies 1,360 — — — 1,360 1,625 Giving - Relief & Development Agencies 1,360 — — — 1,360 1,822 Giving - Home mission 1,360 — — — 1,360 1,817 Giving - Secular Charities 1,360 — — — 1,360 1,754 Ministry parish share etc 67,220 — — — 67,220 65,900 Assistant staff costs — — — — — 56 Family Worker Salary 11,733 — 227 — 11,960 12,744 Salary of parish administrator 5,170 — — — 5,170 6,138 Organists 625 — — — 625 2,500 Working expenses of incumbent 199 — — — 199 29 Working expenses of F & C's Worker 321 — 71 — 393 552 Vicar's telephone 116 — — — 116 60 Parish training 144 — — — 144 53 Mission Resources 189 — 296 — 485 — Website 93 — — — 93 43 Social Outreach Events — — — — — 140 Church running - insurance 3,956 — — — 3,956 4,030 Church office - Telephone / Internet 466 — — — 466 630 Organ / piano tuning 295 — — — 295 — Church maintenance 716 588 768 — 2,072 2,094 Cleaning 592 — — — 592 4 Sundry church expenses 394 — 278 — 672 689 Covid-19 Expenses 342 — — — 342 — Upkeep of services 1,224 — — — 1,224 1,338 Church Broadband Connection 238 — — — 238 — Choir Expenses — — — — — 112 Upkeep of Churchyard 6 — 3,033 — 3,039 3,665 Upkeep of Meadow — — 1,622 — 1,622 2,826 Waste Disposal — — 986 — 986 989 Administration 207 — — — 207 126 Office Stationery 904 — — — 904 1,011 Photocopier Costs 1,682 — — — 1,682 1,727 Visiting speakers / locums — — — — — 32 Refreshments 235 — — — 235 419 Playgroup expenses — — — — — 202 Church running - electric 305 — — — 305 470 Church running - gas 1,182 — — — 1,182 1,345 Magazine expenses 110 — — — 110 44 Large Hall running - electricity — 1,535 — — 1,535 2,693 Large Hall running - licencing — 124 — — 124 132 Large Hall running - insurance — 1,299 — — 1,299 1,324 Large Hall running - maintenance — 838 — — 838 1,318 Large Hall running - cleaning — 620 — — 620 1,514 Small Hall running - electricity — 445 — — 445 884 Small Hall running - insurance — 395 — — 395 403 Small Hall running - maintenance — 33 — — 33 446 Small Hall running - cleaning — 263 — — 263 766 House insurance costs - Coventry Road — 178 — — 178 168 House minor repair costs - Coventry Road — 1,391 2,115 — 3,506 908 House running costs - Coventry Road — 36 19 — 55 — Governance costs examination/audit fee 250 — — — 250 250 Church major repairs - installation — — — — — 2,259 Large Hall - major repairs (structure) — — — — — 4,880 Large Hall - fixtures & fittings depreci — — — — — 19,366 Small Hall - fixtures & fittings depreci — — — — — 15,492 Total 104,364 7,751 9,419 — 121,535 169,811 |
|---|---|
| 104,364 7,751 9,419 — 121,535 169,811 |
|
| EXPENDITURE TOTAL | 104,636 8,774 9,689 — 123,100 171,718 |
| GRAND TOTAL | (40,448) 1,160 9,727 — (29,559) 88,308 |
Page 9
Conclusion
As we started the year, Sue Talbot and Jacquie Coleman counted and banked the money regularly as before, and our thanks go to them for their great help. Covid-19 and the ensuing lockdown meant that they were unable to continue beyond March and, since then, Stephen & Gwyneth Carter have fulfilled this task.
There is no doubt that we are in a precarious situation as far as our funds are concerned. The Finance & Stewardship Committee and the PCC will continue to monitor the situation closely and seek to identify and take mitigating action where possible and appropriate.
This report dated: 15 February 2021
Stephen Carter PCC Treasurer
Gail Phillip
Incumbent & PCC Chair
Page 10