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2020-12-31-accounts

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The Parochial Church Council of the ecclesiastical parish of St Stephen, Norwich

Annual report and financial statements for the year ended 31 December 2020

The Parochial Church Council of the ecclesiastical parish of St Stephen, Norwich

Referred to in this report as “the PCC”

Registered charity number 1147706

Situated in the centre of Norwich, St. Stephen’s Church is part of the Norwich Diocese within the Church of England.

Address: Rampant Horse Street, Norwich NR2 1QP Tel: 01603 617697 Email: admin@ststephensnorwich.org Website: www.ststephensnorwich.org Vicar & PCC Chair Revd Canon Madeline Light Curate Revd Dr Alex Irving (to 31 August 2020) Authorised Worship Assistant Mr Adam Jackson Ordinands Mr Ian Fifield Mrs Sam Luscombe (from 1 September 2020) Churchwarden Mr Chris Killen Churchwarden and Vice-Chair Mrs Biddy Collyer Treasurer Mrs Susan Stapleford Secretary Mr Paul Light Deanery Synod Representative Mr Roy Roberts Deanery Synod Representative* Mrs Doreen Cochrane

*indicates member of the PCC and trustee of the charity

PCC members and trustees of the charity in 2020 or at the date of this report:

(in addition to those marked * above)

Mr Douglas Bird Mrs Val Chipperfield (to 16 September 2020) Mr Tim Coe Dr Zoe Matthews Mrs Jean Norris Mrs Pat Sibthorpe Miss Charlotte Snell Mr Peter Stephenson

Banks:

Co-operative Bank, London Street, Norwich Barclays Bank PLC, Red Lion Street, Norwich

Independent examiner:

Mr Philip Buttinger ACMA

1

Introduction to the annual report 2020

When this year started, little did we know what it would bring! We had had conversations in the standing committee about worst case scenarios, including the question - did we have enough in our reserves? The lockdown due to the pandemic is worse than anything we imagined. Despite this and the shrinking of our reserves, miraculously we have not needed to make anyone redundant. The staff learned new skills and were soon producing an online service that went from OK to good. Miraculously we had the skills to do this. Like many clergy I did wonder last March whether we would have any church left by the time we were free to meet again. Services online are so different to anything we have done before. Miraculously many people have learned how to find the service on YouTube and meet at the Zoom coffee after church on Sunday, as well as gather for daily morning prayer.

The team that supports the work at St Stephen’s have been wonderful. We immediately started weekly team meetings and got into a rhythm of planning and recording services. You know who the heroes have been: Lisa juggling video and audio recordings, printed service sheets, newsletter and supporting families; Adam teaching us to record better and each week editing our offerings and keeping in touch with young adults; Alex (curate), Ian (ordinand), Dave (trainee Reader) and Sam (ordinand from September 2020) with me planning and executing services, all listening and learning from each other. You continued to pay for Clare to support the homeless and she has seen some unexpected answers to prayer during this time as well as some extra challenges.

The Café staff were furloughed, and you have made sure that they are not out of pocket by making up the government provision to 100% salary. They negotiated the return of the Café in July with various rules and regulations to be obeyed to keep everyone safe. In 4 months, the Café was buzzing only to be closed again at the end of October.

We did open the church before the Café, but it was very quiet as people understandably avoided the city for fear of catching Covid. We reopened again bravely in December, but it was miserable for staff and the few customers alike.

The Richard Caister project started with a lecture attended by 70 people but that was the first and last lecture in person. Some were put online and the banners, and booklets will continue to be available in the church. Although this was a disappointment and was not what Alex had envisaged as an ending to his curacy, he soon had a future to plan for. He and his family moved to Nottingham in September to start a new job as lecturer with St Mellitus College, East Midlands. We were sorry to see him, Sophia and Rachael leave but so pleased that we had a had a fruitful three years with them as part of our community.

You will see that our finances have suffered but we did not use all our reserves in the year. Some people with time to think have decided they should move churches or homes, and although this is always sad we know that the pandemic has adjusted our priorities in a healthy way. At the end of the year, we are still a healthy community and miraculously still seem to be a community despite months of isolation. We seem to have got stronger, people have told me time and again that they have talked to people via Zoom who they would not have normally met. We have Covid-secure habits that will enable us to open the Café quickly when the time comes.

A year we will never forget, from which we will have learned lessons that could not have been learned any other way. It paves the way for a new chapter in the life of the St Stephen’s community.

The good news stories include an adult baptism, a long-term homeless man returning to his family and settling with them, another younger homeless man getting accommodation, a woman experiencing domestic abuse being rehoused, a young family moving to a house with a garden, and so much more supported by this church. These signs of the kingdom give us hope in the darkest days.

Revd Canon Madeline Light, Vicar

2

St Stephen’s Norwich PCC - Annual report for the year ended 31 December 2020

The members of the PCC, who are the trustees of the charity, have pleasure in submitting their annual report and the financial statements for the year ended 31 December 2020.

Worship

Being together to pray and worship is an essential time for any church community. It looked as if Covid-19 was going to stop that happening. It didn’t. Across the country, churches rose to the challenge and St Stephen’s was no exception. Although, often in 2020, the church building was closed, we were able, through the wonders of YouTube, to meet, albeit virtually. Much time, effort and patience was involved in putting the services together and they kept us connected as a worshipping community. We may have been drinking our own coffee and tea, but we were still able to chat and catch up via Zoom meetings after the 10.00 service. An added joy was the actual 9.00 communion service in church when we were able to be there in person.

Structure, governance and management

The charitable object of St Stephen’s is promoting in the ecclesiastical parish the whole mission of the Church. The governing documents are the Parochial Church Council Powers Measure (1956) as amended and the Church Representation Rules 1969, as amended 2011.

The method of appointment of PCC members is as set out in the Church Representation Rules. All church attendees are encouraged to register on the Electoral Roll and to consider standing for election to the PCC. The PCC, under the chairmanship of the vicar, is responsible for developing and monitoring strategy and policy and makes all major decisions, including those relating to staff appointments. Day to day matters are delegated to the standing committee or staff as appropriate. Strict limits of authority with respect to spending are in place. The vicar may elect to delegate the function of chairing the PCC meetings to a member of the PCC with the PCC’s approval.

PCC members during 2020 are listed on page 1. The PCC met five times and the standing committee met ten times in the year. The vicar held formal meetings with all senior staff on a regular basis. Some senior members of staff supervise other members of staff and/or volunteers. Pay levels for all staff are set by the PCC, having regard to local pay levels for similar positions.

The PCC and other officers have a wide variety of backgrounds, experience and professions. Some have considerable experience as trustees of charities. PCC members are made aware of new legislation through sources such as the Diocese.

As part of the Norwich East Deanery, and through the Transforming Norwich network of church leaders, St Stephen's continues to play its part in the proclamation of the Christian Gospel, both by word and by deed, in working with other churches.

Objectives and public benefit

The vision of St Stephen’s is of a people gathered to explore and express faith in God, as many have done in this place for hundreds of years. We aim to do this by being open to the love of the Father, the truth of Jesus shown in the Bible and the work of the Holy Spirit to transform our lives and help us serve others. Our aim is to have open doors, open hands and an open heart to God, to the city and to our own community. We do this through worship on Sunday, daily prayer, a daily and expanding Café and a wide variety of small groups. Sanctuary, prayer, hospitality, openness and freedom are values that we aspire to nurture as we witness the power of God at work bringing people to faith, healing and restoring lives.

The trustees have had regard to the Charity Commission’s guidance on public benefit. The Café continued to open six days a week except when Covid-19 restrictions prevented operations. When open, it continued to host a wide range of individuals, groups and services, including Love the Street, Foodbank and Community Chaplaincy. The Café’s public benefit also includes enabling a significant number of volunteers of diverse circumstances to gain confidence through working in a sociable environment. Alongside the Café vulnerable adults are supported by the staff, led by Clare, our designated community worker.

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St Stephen’s Norwich PCC - Annual report for the year ended 31 December 2020

Objectives and public benefit (continued)

During the year the PCC secured a 30-year lease for The Chapel on Fellowes Plain, previously occupied under a series of short-term licences. Covid-19 restrictions have resulted in the suspension of most of our own activities there, but we have been pleased that local charity ENYP have been able to use the Chapel as a base for their food parcel delivery operation.

Risk management

During 2020 we have been through the grips of the Covid pandemic and therefore have been very mindful of risks associated with the infection, within the operation of both church and Café and of our service to the wider community. Numerous risk assessments have been produced and implemented, guided by Government and Church of England guidance. Communication of new procedures to staff, volunteers and church community have been paramount. Additional Covid-secure risk assessments have been required by all external groups using the premises. All internal risk assessments have been reviewed by the Standing Committee and external risk assessment review delegated to the Operations Manager.

The PCC has complied in 2020 in all respects with the House of Bishops' guidance on safeguarding. Safeguarding policies and procedures, in respect of children and vulnerable adults, have been maintained in line with Diocesan guidance. There is a named person to whom concerns can be addressed. During 2020 we have audited our procedures using the Parish Safeguarding Dashboard and have achieved Level 3. All members of the PCC have access to the dashboard and can track progress over time. A Recruitment of ExOffenders policy has been agreed by the PCC. Additional risk assessments for Messy Church and Kids Matter sessions have been put in place and the Register of Activities submitted to the Diocese via the Parish Dashboard.

The database of personal information within the church has been monitored and amended in line with the General Data Protection Regulations, especially during this time where communication with individuals has been through more electronic means. The use of CCTV within church is in line with our policy and procedure and is registered with the Information Commissioner’s Office.

With regard to finance, the Treasurer provided the PCC with management accounts on a quarterly basis. Standing Committee have scrutinised monthly reports, including cash flow projections, during this time whilst the church and Café income has been affected by shutdown. The PCC keeps alert to changes in legislation affecting such matters as employment, discrimination, health and safety and data protection. Employee pension enrolment has been checked and verified.

The church publicises its points of contact in order that the public can raise concerns with ease. These can be found on the website, as well as physically on the church noticeboard. The PCC is fully prepared to investigate legitimate concerns which are brought to its attention.

Electoral roll and church attendance

At the date of the 2019 annual meeting there were 93 names on the electoral roll. No annual meeting was held in 2020. Our worshipping community at the end of 2020 was 102 (2019: 124) adults and 9 (2019: 6) children aged under 18; in the year there were 22 (2019: 14) leavers and 7 (2019: 12) joiners. The average combined attendance covering all services, in person and on line, on a usual Sunday in 2020 was estimated at 100 (2019: 100).

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St Stephen’s Norwich PCC - Annual report for the year ended 31 December 2020

Children and families

2020 has been a year of opportunity to develop and extend our work with children and families within the community.

Little Fellowes has evolved and adapted over time. Having story-telling and singing elements within the sessions has bought much fun and laughter, even on Zoom. There is a strong focus on building relationships and support. This resulted in one family being supported whilst moving out of a flat into a lovely house with a back garden for the children to play in.

We have made fruitful links with the Principal and SENCO at The Free School and have delivered a Kids Matter parenting course with three of their families. Two of these families came to the Christmas Hark! performance and are still in contact with us through a WhatsApp group.

As a result of the Kids Matter group, we have started a monthly Messy Church session. On the first session we had one family from Kids Matter and one from Little Fellowes attend. Future dates have been set and are eagerly awaited.

At the start of lockdown, we contacted both The Free School and Bignold School, to see if there were families in need of support. By working closely with Soul Foundation, we have been able to supply weekly food parcels to these families, as well as building friendships with them. Once Messy Church can resume, these families will be invited to join us.

A big thank you to everyone who has supported us with prayer throughout this year and to the team who work so hard through a rollercoaster of a year.

Financial review

In spite of the pandemic and the consequential suspension of Café operations for large parts of the year, St Stephen’s finances continue to be in good heart. The PCC is very grateful for the continued support from all who have contributed either financially or with their time.

Note 20 to the accounts sets out the main financial impacts of the pandemic. Café sales at £51,832 were 58% lower than in 2019. Unrestricted income from regular donations has increased slightly from the level in previous years. The Government’s Coronavirus Job Retention Scheme provided support totalling £24,789. Total income for the year from all sources was £207,207 (2019: £277,652).

The total of all reserves at 31 December 2020 was £126,777 (2018: £177,594). The allocation between the various church funds can most easily be seen in note 15 to the accounts. The PCC maintains a reserves policy such that the target minimum level of reserve in the General Fund is sufficient to enable main operations to continue for at least three months without income. At the end of 2020, the target minimum level of reserves, based on the approved budget for 2021, was £53,110 whereas the balance in the General Fund was £98,488. The PCC therefore considers the charity to be financially sustainable, and the going concern basis of accounts preparation is appropriate.

St Stephen’s sets aside 10% of its net income which is not restricted for any other purpose to support other charities and individuals in furtherance of its charitable objects. During the year the designated Giving Fund provided donations totalling £13,645.

The financial risks within the charity are considered regularly and reasonable measures have been put in place to mitigate these. The principal areas of risk involved the potential loss of revenue streams which underpin the work of St Stephen’s. These are kept under regular review, with particular attention being paid to the impacts of the temporary suspension of Café operations under Covid-19 restrictions.

The accounts have been prepared in accordance with financial reporting standard FRS102. The accounts present sufficient detail in order to be as transparent as possible. Questions from church members and other stakeholders regarding these accounts are welcomed.

Turnover for the year was below the level at which an audit is required. The PCC is grateful, once again, for the voluntary service which Mr. Philip Buttinger ACMA has provided as Independent Examiner.

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St Stephen’s Norwich PCC - Annual report for the year ended 31 December 2020

Fabric

Churchyard

Building maintenance and repair

Church heating system

Restoration of the church pipe organ

Approval

This annual report was approved by the PCC on 24 March 2021.

Revd Canon Madeline Light PCC Chair

6

St Stephen’s Norwich PCC – Independent examiner’s report on the accounts

Report to the trustees/members of The Parochial Church Council of the Ecclesiastical Parish of St Stephen Norwich, Charity no 1147706 on accounts for the year ended 31 December 2020 set out on pages 8 to 20

Respective responsibilities of trustees and examiner

The charity's trustees are responsible for the preparation of the accounts. The charity’s trustees consider that an audit is not required for this year under section 144 of the Charities Act 2011 (“the Charities Act”) and that an independent examination is needed. The charity’s gross income did not exceed £250,000 and I am qualified to undertake the examination by being a qualified member of the Chartered Institute of Management Accountants.

It is my responsibility to:

Basis of independent examiner’s statement

My examination was carried out in accordance with general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a ‘true and fair’ view and the report is limited to those matters set out in the statement below.

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:

  2. to keep accounting records in accordance with section 130 of the Charities Act; and

  3. to prepare accounts which accord with the accounting records and comply with the accounting requirements of the Charities Act

have not been met; or

  1. to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

Signed: Date:

Name: Philip Buttinger ACMA

Relevant professional qualification: Associate of the Chartered Institute of Management Accountants

Address: 6 Bucks Yard, Oak Street, Norwich, NR3 3FA

7

The Parochial Church Council of the Ecclesiastical Parish of St Stephen, Norwich Registered Charity No. 1147706

Financial Statements for the Year Ended 31 December 2020

Statement of financial activities

Notes
Incoming resources
3
Income from:
Donations and legacies
Charitable activities
Other trading activities
Investments
Other
Total
Resources expended
Expenditure on:
Raising Funds
Charitable activities
5
Total
Net income/(expenditure) before
transfers
Transfers between funds
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward		 Unrestricted
funds
Restricted
funds
2020 Total
2019 Total
£
£
£
£
148,330
40
148,370
148,923
51,241
-
51,241
124,837
2,150
-
2,150
1,875
412
-
412
553
4,672
362
5,034
1,464
206,805
402
207,207
277,652
-
-
-
-
256,069
1,955
258,024
345,002
256,069
1,955
258,024
345,002
(49,264)
(1,553)
(50,817)
(67,350)
-
-
-
-
(49,264)
(1,553)
(50,817)
(67,350)
175,394
2,200
177,594
244,944
126,130
647
126,777
177,594

8

St Stephen’s Norwich PCC – Financial statements for the year ended 31 December 2020

Balance sheet

Notes
Fixed assets
Tangible assets
2.3,8
Investments
Total fixed assets
Current assets
Debtors
9
Cash at bank and in hand
11
Total current assets
Creditors: amounts falling due
within one year
10
Net current assets
Total assets less current
liabilities
Provisions for liabilities
Total net assets
Funds of the Charity
2.4,14,15
Restricted funds
Unrestricted funds
Total funds		 Unrestricted
funds
Restricted
funds
2020 Total
2019 Total
£
£
£
£
35,699
-
35,699
51,631
-
-
-
-
35,699
-
35,699
51,631
5,958
- 5,958
7,354
94,374
647
95,021
151,311
100,332
647
100,979
158,665
9,901
-
9,901
32,702
90,431
647
91,078
125,963
126,130
647
126,777
177,594
-
-
-
-
126,130
647
126,777
177,594
-
647
647
2,200
126,130
-
126,130
175,394
126,130
647
126,777
177,594

Approved by the PCC on 24 March 2021 and signed on their behalf by

Revd Canon Madeline Light, PCC Chairman

The notes on pages 10 to 20 form part of these financial statements.

9

St Stephen’s Norwich PCC – Financial statements for the year ended 31 December 2020

Notes to the accounts

Note 1 Basis of preparation

1.1 Basis of accounting

These accounts have been prepared under the historical cost convention with items initially recognised at cost or transaction value unless otherwise stated in the relevant notes to these accounts, and 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 with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and with the Charities Act 2011. The charity constitutes a public benefit entity as defined by FRS 102. There are no material uncertainties about the charity’s ability to continue to operate.

Note 2 Accounting policies

The following accounting policies have been applied by the charity.

2.1 Income

Recognition of income

Income is included in the Statement of Financial Activities (SoFA) when:

Offsetting

There has been no offsetting of assets and liabilities, or income and expenses, unless required or permitted by the FRS 102 SORP or FRS 102.

Legacies

Legacies are included in the SoFA when receipt is probable, that is, when there has been grant of probate, the executors have established that there are sufficient assets in the estate and any conditions attached to the legacy are either within the control of the charity or have been met.

Tax reclaims on donations and gifts

Gift Aid receivable is included in income when there is a valid declaration from the donor. Any Gift Aid amount recovered on a donation is considered to be part of that gift and is treated as an addition to the same fund as the initial donation unless the donor or the terms of the appeal have specified otherwise.

Donated goods

Donated goods are measured at fair value (the amount for which the asset could be exchanged) unless impractical to do so. Perishable goods donated for resale and with low values are accounted for as donations (at fair value) with an equal, balancing amount charged to the appropriate expenditure category and are not brought into stock. (see note 4)

Volunteer help

The church relies heavily upon the work undertaken by volunteers, in all of its activities. Whilst the value of these contributions is significant, it is not practical for it to be measured in financial terms and so this is not reflected in these accounts.

10

St Stephen’s Norwich PCC – Financial statements for the year ended 31 December 2020

Notes to the accounts

2.2 Expenditure and liabilities

Liability recognition

Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out resources and the amount of the obligation can be measured with reasonable certainty.

Provisions for liabilities

Liabilities are measured at the best estimate of the amount required to settle the obligation(s) at the reporting date.

2.3 Assets

Fixed assets

The general purpose in accounting for certain items as fixed assets is to spread their costs over the years in which the items are expected to be useful. The church’s fixed assets each fall into one or more of the following categories —

Debtors

Debtors are measured on initial recognition at settlement amount after any trade discounts or amount advanced by the charity.

11

St Stephen’s Norwich PCC – Financial statements for the year ended 31 December 2020

Notes to the accounts

2.4 Fund Accounting

PCC funds are analysed under specific headings, as follows.

General funds represent the ‘free’ funds of the PCC that are not subject to any restriction regarding their use and are available for application for the general purposes of the PCC.

Designated funds are earmarked by the PCC for particular purposes but are nevertheless still unrestricted as the PCC can redesignate the funds if it wishes.

Restricted funds are funds collected or donated for a particular purpose and cannot be used by the PCC for any other purpose except by agreement with the donor(s).

The funds of the PCC have been appropriately analysed and the statement of financial activities has been prepared in accordance with this analysis.

Note 3 Analysis of income

ote 3 Analysis of income
Notes
Donations and legacies
Tax-efficient planned giving
Other planned giving
Collections at services
Non-recurring donations
Donations for the Chapel
Legacies
Tax recovered (Gift Aid)
Grants received
Total
Charitable Activities
Statutory fees (retained by PCC)
Café sales
Fundraising activities
Total
Other trading activities
Hire of building
Investment income
Bank interest
Rent
Total
Other incoming resources
Total incoming resources		 Unrestricted
Funds
Restricted
Funds
Total for
2020
Total for
2019
£
£
£
£
62,209
-
62,209
50,386
11,340
-
11,340
12,385
1,320
-
1,320
7,920
25,711
40
25,751
31,513
3,415
-
3,415
6,555
-
-
-
-
19,196
-
19,196
18,153
25,139
-
25,139
22,011
148,330
40
148,370
148,923
410
-
410
691
50,831
-
50,831
124,146
-
-
-
-
51,241
-
51,241
124,837
2,150
-
2,150
1,875
412
-
412
553
-
-
-
-
412
-
412
553
4,673
361
5,034
1,464
206,806
401
207,207
277,652

In 2019 no income related to restricted funds.

12

St Stephen’s Norwich PCC – Financial statements for the year ended 31 December 2020

Notes to the accounts

Note 4 Donated goods

Income from charitable activities includes the proceeds from the sale of cakes etc. which have been donated to the church for sale in The Café.

Sales of donated goods 2020 2019
£ £
Sale value 7,062 15,340
Deemed value of donation 1,767 3,835

Note 5 Analysis of expenditure

Notes
Resources expended
Diocesan parish share
Staff pay and expenses
17
Church electricity, gas and water
Church insurance
Advertising
Depreciation
Other costs
Donations - charities/mission
6
Direct costs for The Café
Direct costs for The Chapel
Church running expenses —
Office and telephone
Vestry/altar
Subscriptions
Repairs and maintenance
Cleaning and waste disposal
Hospitality
Sundry
Sundry church costs
Project costs
Total resources expended		 Unrestricted
Funds
Restricted
Funds
Total for
2020
Total for
2019
£
£
£
£
54,531
-
54,531
47,391
121,599
-
121,599
113,682
8,645
-
8,645
11,144
5,456
-
5,456
5,402
577
1,225
1,802
3,793
15,932
-
15,932
10,678
-
-
-
-
13,645
-
13,645
16,955
15,877
-
15,877
38,365
6,722
-
6,722
6,797
2,591
-
2,591
2,570
24
-
24
300
1,868
-
1,868
2,303
3,747
-
3,747
26,079
2,297
-
2,297
3,276
260
-
260
585
350
-
350
1,555
1,948
-
1,948
5,563
-
730
730
48,564
256,069
1,955
258,024
345,002

In 2019 £4,065 of expenditure related to restricted funds.

13

St Stephen’s Norwich PCC – Financial statements for the year ended 31 December 2020

Notes to the accounts

Note 5 (continued)

Analysis of expenditure from unrestricted funds, on charitable activities, by activity

Resources expended
Diocesan parish share
Staff pay and expenses
Church electricity, gas and water
Church insurance
Advertising
Depreciation
Donations – charities/missions
Direct costs for The Café
Direct costs for The Chapel
Church running expenses -
Office and telephone
Vestry/Altar
Subscriptions
Repairs and maintenance
Cleaning and waste disposal
Hospitality
Sundry
Sundry church costs
Project costs
Total unrestricted resources expended		 The Café
(unrestricted)
Open Pipes
Project
(unrestricted)
Other
ordinary
ministry of
the church
(unrestricted)
Totals for
unrestricted
funds
£
£
£
-
-
54,531
54,531
59,459
-
62,140
121,599
5,323
-
3,322
8,645
-
-
5,456
5,456
-
-
577
577
6,064
-
9,868
15,932

-
-
13,645
13,645
15,877
-
-
15,877
-
-
6,722
6,722
-
-
2,591
2,591
-
-
24
24
-
25
1,843
1,868
-
-
3,747
3,747
1,370
-
927
2,297
-
-
260
260
-
-
350
350
-
-
1,948
1,948
-
-
-
-
88,093
25
167,951
256,069

14

St Stephen’s Norwich PCC – Financial statements for the year ended 31 December 2020

Notes to the accounts

Note 6 Donations and grants made
To organisations		 2020
2019
£
£
500
500
-
1,000
750
-
750
1,500
-
500
1,000
-
-
1,000
500
-
500
-
-
625
-
600
-
851
850
-
-
1,509
-
2,000
-
1,207
-
1,000
-
1,000
1,000
200
500
500
1,000
1,715
-
3,000
-
Celebrate Norwich and Norfolk
Christians Against Poverty
Christian Aid
The Church’s Ministry Among Jewish People
Covenant Players
East Norfolk Youth Project
HART Charity
HeartEdge
Hebden Bridge PCC
King’s Chamber Orchestra
Old Meeting House Church
Radical Church
Saltmine Theatre Company
Saltmine Trust
Shevet Achim
St Georges Church Tunis
Tearfund (Cyclone Adai)
Transforming Norwich
Trunch Group of Churches
Try Praying
The Vidiyal Trust
We Will Go – childrens work
YMCA Norfolk
Total to organisations 11,265
14,792
To individuals 1,000
-
-
500
1,380
1,663
Charlotte Snell
Stuart Lees
Payments to other individuals
Total to individuals 2,380
2,163
13,645
22,205
Grand total

Note 7 Stocks

The church holds a small stock of goods for its café operation. As these are perishable their value is minimal and so is not included in these accounts.

15

St Stephen’s Norwich PCC – Financial statements for the year ended 31 December 2020

Notes to the accounts

Note 8 Fixed assets

Cost
At 1st January 2020
Additions / (disposals)
At 31st December 2020
Depreciation
At 1st January 2020
Charge for the year
At 31st December 2020
Net book value
At 31st December 2020
At 31st December 2019
Note 9 Debtors
Trade debtors
Gift Aid
Government Job Retention Scheme
Other accrued income / prepayments
Total
Note 10 Creditors
Accrued expenses
PAYE
VAT
Trade creditors
Total		 Tangible
assets
£
100,391
-
100,391
48,760
15,932
64,692
35,699
51,631
2020
2019
£
£
750
210
1,673
6,484
1,992
-
1,543
660
5,958
7,354
2020
2019
£
£
977
3,666
1,185
1,074
4,499
9,337
3,240
18,265
9,901
32,702

16

St Stephen’s Norwich PCC – Financial statements for the year ended 31 December 2020

Notes to the accounts

Note 11 Cash at bank and in hand

Co-operative Current Account 2020
2019
£
£
7,814
21,698
1,826
12,879
1,477
677
3,159
35,136
40,078
40,078
40,313
40,073
-
201
133
333
61
76
160
160
Barclays Current Account No 1
Barclays Current Account No 2
Barclays Deposit Account
CCLA Investment Management Limited
Epworth Affirmative Management Limited
iZettle Collection Account
Undeposited receipts
Petty Cash
Café Float
Total
91,021
151,311
Note 12 Statement of cash flows
2020
2019
£
£
Cash flows from operating activities
Net cash provided by
operating activities(see note 13)
(56,702)
(26,335)
Cash flows from investing activities:
Interest
412
513
(Acquisition) / disposal of property and other fixed
assets
-
(34,951)
Net cash provided by (used in) investing activities
412
(34,398)
Change in cash in the period
(56,290)
(60,733)
Cash at the beginning of the year
151,311
212,044
Cash at the end of the year
95,021
151,311
Note 13 Reconciliation of net income to net cash flow from operating activities
2020
2019
£
£
Net income as per SoFA
(50,817)
(67,350)
Adjustments for:
Depreciation charges
15,932
10,678
Interest
(412)
(553)
Decrease/(increase) in debtors
1,396
10,364
Increase/(decrease) in creditors and provisions
(22,801)
20,526
Net cash provided by operating activities
(56,702)
(26,335)		 91,021
151,311
2020
2019
£
£
(56,702)
(26,335)
412
513
-
(34,951)
412
(34,398)
(56,290)
(60,733)
151,311
212,044
95,021
151,311
(56,702)
(26,335)

17

St Stephen’s Norwich PCC – Financial statements for the year ended 31 December 2020

Notes to the accounts

Note 14 Restricted and designated Funds

Giving Fund The PCC designates a proportion of its unrestricted income for charitable giving. The balance in this fund represents monies so designated but not yet donated. At 31[st] December 2020 the balance held in this fund was £1,759. Open Pipes Project This is a designated fund to underwrite a maximum of £30,000 towards the initial costs of the major project to recommission the T C Lewis pipe organ at St Stephen’s Church. The PCC agreed this level of initial funding, and it is hoped sufficient outside funding will be attracted to enable these funds to be reimbursed to the Church. At 31[st] December 2020 the balance held in this fund was £25,883. Richard Caister Project This restricted fund comprises grants and donations to be used in the furtherance of knowledge in relation to this former Vicar of St Stephen’s Church. As well as generating academic interest, it is hoped that the various talks and exhibitions will attract members of the public, thus also being seen as a mission project. At 31[st] December 2020 the balance held in this fund was £647.

Note 15 Movements in funds

General Fund (Unrestricted)
Designated Funds
(Unrestricted)
Giving Fund
Open Pipes Project
Totals for unrestricted funds
Restricted Funds
Richard Caister Project
Totals for Restricted Funds		 Balance
at 31st
December
2019
Incoming
Expended
Transfers
between
unrestricted
funds
Surplus /
(Deficit)
Balance
at 31st
December
2020
£
£
£
£
£
£
146,272
206,029 (242,090)
(11,723)
(47,784)
98,488
3,540
141
(13,645)
11,723
(1,781)
1,759
25,582
635
(334)
-
301
25,883
175,394
206,805
(256,069)
-
(49,264)
126,130
2,200
402
(1,955)
-
(1,553)
647
2,200
402
(1,955)
-
(1,553)
647
177,594
207,207
(258,024)
-
(50,817)
126,777

18

St Stephen’s Norwich PCC – Financial statements for the year ended 31 December 2020

Notes to the accounts

Note 16 Trustees

No trustees were paid any remuneration nor, save as disclosed in note 18 below, received any other benefits from an employment with the charity. One Trustee received a gift of £1,000 in recognition of the contribution made during her period of internship, as disclosed in Note 6. No trustee expenses have been incurred. Unrestricted donation income includes £36,798 (2019 £26,125) received from trustees and related parties.

Note 17 Paid employees

Staff costs
Salaries and wages
Social security costs (net of Employment Allowance)
Other employee benefits
Total staff costs
Average head count in the year
Part time
Full time
Estimated full time equivalent		 2020
2019
£
£
118,289
110,967
1,568
1,426
1,742
1,289
121,599
113,682
2019
2018
9
10
1
0
5
5

The Charities SORP obliges charities to disclose whether they had any employees who received employee benefits (excluding employer pension costs) of more than £60,000. St Stephen’s did not.

The charity made no redundancy payments during the reporting period.

Note 18 Related party transactions

Grants received includes £350 (2019 £11,170) received from St Stephen’s Church Trust Estates, a charity whose trustees include three members of the PCC.

Note 19 Independent examiner

The trustees are grateful to their independent examiner, Mr Philip Buttinger ACMA who provided his services without charge.

Note 20 Financial effects of the COVID-19 pandemic

Financial sustainability

Although there was significant loss of income in many areas of operation, leading to an excess of expenditure over income of £50,817, this deficit was approximately in line with the budget for the year. The PCC maintains a reserves policy such that the minimum target level of reserve in the General Fund is sufficient to enable main operations to continue for at least three months without income. At 1 January 2021 the target minimum level of reserves, based on the approved budget for 2021, was £53,110 whereas the balance in the General Fund was £98,488. The PCC therefore considers the charity to be financially sustainable, and the going concern basis of accounts preparation continues to be appropriate.

19

St Stephen’s Norwich PCC – Financial statements for the year ended 31 December 2020

Notes on the accounts

Note 20 Financial effects of the COVID-19 pandemic (continued)

The main areas affected by the pandemic were as follows:-

The Café

The café adhered to the Government’s restrictions and closed between 21 March and 26 July 2020, and 5 November to 2 December 2020. The café also closed on 24 December 2020 and remained closed in January 2021. This had a material effect, and it is estimated St Stephen’s “lost” approximately £39,000 of net café income (sales less cost of sales) during this period. This estimate is based on the approved budget for 2020.

The Chapel

Donations received in respect of the Chapel fell from £6,555 during 2019 to £3,415 during 2020. This loss of income would have been much higher were it not for the receipt of £1,400 as a donation towards the costs of the Chapel from a charity supporting families in need of support during the pandemic.

Cash collections at services

The Church was closed for a substantial part of 2020. The overall loss of income from service collections is reflected when comparing £7,920 collected during 2019 compared to £1,320 in 2020. Gift Aid Small Donations Scheme income on the vast majority of these donations meant a further loss of 25% of the shortfall.

Planned giving

In 2019 planned giving totalled £62,771 which rose to £73,549 in 2020. Gift Aid was claimed on the majority of this giving.

Non-recurring giving

Although £25,751 was received in 2020 compared to £31,513 in 2019, one donation of £10,000 in 2019 was for a specific purpose, the non-recurring giving for the general operation of the Church therefore showed a considerable increase in 2020. Again, Gift Aid was claimed on the majority of these donations.

Coronavirus Job Retention Scheme

During the year £24,789 was received from H M Revenue & Customs in respect of the above scheme, principally in respect of café managers placed on furlough. This enabled all staff to be retained during 2020, with the PCC continuing to pay 100% of all furloughed staffs’ salaries.

Overhead expenditure

Although no control could be exercised over certain fixed costs, such as Diocesan parish share, Chapel costs and Church insurance, the closure of the Church led to a reduction in Church light, heat & power costs. (£8,645 in 2020, £11,144 in 2019). There was also no repeat of the costs of major repairs incurred in 2019. Perhaps to be expected, sundry Church costs also showed a marked reduction due to the closure of St Stephen’s for large parts of the year.

20