## **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. _Page 3_ ## **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: - (1) which gives me reasonable cause to believe that in any material respect the requirements – - to keep accounting records in accordance with section 130 of the Act; and - 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 - (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 _Page 4_ ## **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_