ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
LIFESPRING CHURCH
A COMPANY LIMITED BY GUARANTEE REGISTERED COMPANY No: 08087254 REGISTERED CHARITY No: 1148013
Independent Examiners Ltd Unit 2 The Broadbridge Business Centre Delling Lane Bosham West Sussex PO18 8NF
LIFESPRING CHURCH
| CONTENTS | |
|---|---|
| Pages 3 to 5 | Directors' Annual Report |
| Page 6 | Statement of Financial Activities |
| Page 7 | Balance Sheet |
| Pages 8 to 15 | Notes to the Financial Statements |
| Page 16 | Statement of cashflows |
| Page 17 | Independent Examiner's Report |
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LIFESPRING CHURCH
DIRECTORS REPORT FOR THE YEAR ENDED 31 DECEMBER 2022
REFERENCE AND ADMINISTRATIVE DETAILS:
| REGISTERED CHARITY NUMBER | 1148013 | |
|---|---|---|
| REGISTERED COMPANY NUMBER | 08087254 | |
| START OF FINANCIAL YEAR | 1st January 2022 | |
| END OF FINANCIAL YEAR | 31st December 2022 | |
| DIRECTORS AT 31ST DECEMBER 2022 | Mr David Cornelius | - Chairman |
| (also Trustees under charity law) | Mr Luke Ellis | |
| Mrs Catherine Peirce | ||
| Ms Elizabeth Monger | ||
| Mr Oluwasegun Olojo-Kosoko | ||
| REGISTERED ADDRESS | 143-145 Oxford Road | |
| Reading, RG1 7UY. | ||
| PRIMARY BANKERS | HSBC | |
| 26-28 Broad Street | ||
| Reading, RG1 2BU. | ||
| SOLICITORS | Hewetts | |
| 55/57 London Street | ||
| Reading, RG1 4PS. | ||
| ACCOUNTANTS | Independent Examiners Ltd | |
| Unit 2 The Broadbridge Business | Centre | |
| Delling Lane, Bosham | ||
| West Sussex PO18 8NF |
GOVERNANCE:
The existing directors/Directors appoint any new directors/Directors following the provisions laid out in the organisation's governing instrument. The selection method is that appointments are made by the leadership team headed by the Pastor.
GOVERNING INSTRUMENT
Memorandum And Articles Incorporated 29/05/2012
LEGAL STATUS Incorporated Charity
OBJECTS
The charity's objects ("the objects") are for the public benefit and are restricted to the following: (a) to advance the Christian faith in accordance with the statement of beliefs in the schedule hereto attached in such parts of Reading, the United Kingdom or the world as the Directors may from time to time think fit and to fulfil such other purposes which are exclusively charitable according to the law of England and Wales and are connected with the charitable work of the charity; (b) to relieve persons who are in conditions of need, financial hardship or sickness and who may be aged and to relieve the distress caused thereby in the said location and in such other parts of the United Kingdom or the world as the Directors may from time to time think fit including but not by way of limitation the support of those recovering from addictions; (c) to further Christian education in such parts of Reading, the United Kingdom and the world as the Directors may from time to time think fit; (d) to provide or assist in the provision of facilities in the interests of social welfare for recreation or other leisure time occupation of individuals who have need of such facilities by reason of their youth, age, infirmity or disability, financial hardship or social circumstances with the object of improving their conditions of life.
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LIFESPRING CHURCH
DIRECTORS REPORT FOR THE YEAR ENDED 31 DECEMBER 2022
The Directors are pleased to present their annual directors' report together with the financial statements of the charity for the year ending 31 December 2022 which are also prepared to meet the requirements for a directors' report and accounts for Companies Act purposes.
The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and 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 (FRS102) (effective 1 January 2019) - (Charities SORP (FRS102)).
OBJECTIVES AND ACTIVITIES
LifeSpring Church is based in The Pavilion, close to Reading town centre but it is a ‘cell church’ placing a significant emphasis on the support and care we can give each other in small groups. During the week these cells (or LifeGroups) meet in a variety of locations across Reading and we currently have about twenty-five LifeGroups for men, women, youth and children. At least 35 nationalities are actively represented in the church and this brings great blessings in the diverse way we worship God and reach out to the community around us.
We continue to cater for all ages, with groups ranging from Mother and Toddler to the weekly Over-60s lunch at Café 12, all reaching out and providing valuable support for the local community. Many of these activities had been limited by the restrictions of Coronavirus regulations but continued to flourish in adapted form during that period and have now returned to pre-Covid activity levels.
Further afield, the Church continues to assist a number of Churches, ministries and missionaries overseas, particularly in Africa with financial, prayer and practical support.
The Directors confirm that they have referred to the Charity Commission's guidance on public benefit when reviewing the charity's aims and objectives, in planning future activities, and in setting the policies for the year.
ACHIEVEMENTS AND PERFORMANCE
The lifting of Coronavirus restrictions during 2022 meant that activities within the Pavilion building began to get back to normal. The congregation in the building for the Sunday service has gradually increased over time as people moved away from the livestreamed service, but despite this there is still a large online attendance and a number of people have joined the church whose first experience of LifeSpring was through the livestreamed service. Revenue from hires remained steady though lower than 2019, but giving has remained consistent with pre-Covid levels and there is currently no reason for any more than usual prudent financial management to ensure that the work of LifeSpring continues.
Café 12 has remained a main point of interaction with the local community and it is seen as a key way of bringing people into the building, due to its success in providing a listening ear to those passing. Other work has also continued, meeting the needs of the community around the Pavilion building, with Warm Hub a prime example of how we can positively affect those in great need within Reading.
God has abundantly shown his provision in 2022 which has been a challenging, but still successful year and where LifeSpring has shown that it is continuing to make all efforts to reach the lost despite the challenges.
LIFESPRING’S ORGANISATIONAL STRUCTURE AND MANAGEMENT
Towards the end of 2022, Mckensy Gardner decided not to return to her role as Events Manager at the end of her maternity leave and with Marion Shepherd acting as her cover during this period it was agreed she would continue in the role with an expectation that she would take this on permanently. We are very grateful to Mckensy for her time in the post with all she brought to it and equally to Marion for the outstanding job she did during the year.
The organisational structure consists of:
Directors/Trustees: (see above) - responsible for management of the charity. Church Leaders: · Neville Hollands · Jackie Hollands · Jamie Burnham · Heather Herring · James Hollands · Jon Hollands · Craig Lawrence Events Manager: Mckensy Gardner/Marion Shepherd Charity Bookkeeper: Marion Shepherd Communications Manager: James Hollands Treasurer:* Luke Ellis
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LIPESPRING ¢HIIA¢H DIRECTORS REPORT FOR The YEAA ÉIIDED 31 DKIMBER 2022 Vou¢h wo. James HDllan&s' Sarah Layfieil Jackne iatkslln JIM Herrtw" Heathw Hethny. ComrnunFiy LeDder. DoDrol Hope Mana1. empbyJ. elther ful or part-tlme FXt4AN¢IAL REVIEW Artv dolldL ysu5?&Sly1Crfon9 taken ThE rrh had an Jc<wntlng den<lt of E6.040 In 2022 (COMre to a surplus rf E51,735 In 20211. much orthÈ delt In Z022 15 due w an (tIng tharge of E75,557 to refjert dlmlnishlnp valuE of capal refurtyshTrnt of the Pa¥lllon. Hrrt¥ever the thurch financ4$ at IhE end of2022 remain h¢élthy we nn15hed the 2022 year wtth J tctsl c4sh Wance or É232.9Bg. The designjted Clr¢lE Fund thst was Mnglenced Dy the Trustees to bulld up funds to hp pty off th2 MArnbv Loans, oud at EIQO.820 at 31$t DEcernber 2022. The menknÈrlDth5 are due for rewment by 2026. PQUCIES At thÈ sheet date tMtharltab1e mPTry unr45trlcthd frn4 rrf•rvÈÈ ¢ol¥lled." ThL8 ei¢lude5 £100.820 which has been rtn4Iend by the Trustee5 as unrestrfeled d&gnaW funds. LM3BhlO The Dlrettor5 have c4nshlered Lhè l&vel re5ere5 they wish to retsin, approte to the tharfty's need& Th15 b based on the cbarity'5&ze the knel offinancial crJn¥nhtrnents held. Th2 Direttots aim tts ensuie the charfty 11 be conuThJe tt futhl I chanta oblve5 even If thèrè a tempDrary shortfall in Intotne or unexpected exkre. The DIreCtorsll endeavour to sei B51de funds unaece55arlly. Approximaiety IO% of thè t)arftys IrKome ts glvw ow toetherLThr45ttaTr organlsauM5and IndP4ldua& rK•mmtnded by the LEadershlp Team, th h•me abroad. ThE (hadty does not have a polki to seknspKWt InTrK51ments apart frnm for the use ofthe Chartiy Itsth. DlrelArs Rqsponslbniti The Chamties Act Ihe Cornpani Att wulre the Board of Dlrtrtor5 to prepa fin6nrlal statements for Eath nThanda¢ yearAh 9fve a trJe and fWr vlew of the state ofaffairs of the tharfty as at the eThY Of the yearand of the surplus ordeflwt of ihE chartty. In ?Pa9 thwe nnanthal sratEtnents the aoard IS reoulred 10 :. yelecl 5ullaNe attntInu pdlcles and appty them conistQnlty,' make fvdgemenis and estrJmat25 thot are teas¢nable and prudent,. and epare the financial statements on the gn9 concern ba£1% Un55 It15 lTrappn)prte to presume that the chaty wiii tortinue In operaUoTh'
are WhettrappIlÉ3D accoundng Standards ind statements r+recoffrfnÈndo
prawce have been rtsiiowed, subjertts) any rtertaI departvres ¢JlsclDsed and explrylned In thÈ statements. The Tru5teEsJDlrectOts arè aso rospon5ible for malThtalnlft¢ adè4ue accountln9 records thlch dI$d re5•bh1 ny tkne the nnjnclal PtIon or the tharity and whlth Jre 5umcient to show expLiin tharltys transxuons und enable thÈm to tnsure ihat the financbl siatements tOmpIy wlth the CompanlE5 Act 2C4J6 and ¢Trmply wlth regulatbns rn•Je undr the Charltles Aci. They are a150 resDon5Ible for safeouardlng the asse1$ of the thwity and henre lortaldng step5 for ¢h• gre¥ert+on d detectlon of frnud other IfgularItIe The TwsteeslDJrecrors are aLqo re5punslble for thE contents ofthe Directors. reporL ano the respons1lIty rfthe Indendent exarniner relotlon to the txrectors, report L% Iltnlted to exanining repDrt and that. thE rice 1¢ the rert therÈ arÈ no Mth the fj9ures d15chsert In thè statements. These accoutts ha¥e been prepwcd SD accordce wlth the O¥L%n$ appllcabk ts totnpanles blert to thE %nall companiE5 reglme. Dedavaiton., I declwe. In ffly ¢apllcbty 0rchaTj$tee, thai.. the Dlrnrtots hove approved the rewrt Ibove". and Iwve authortseo n tv Sn fc Dn their behaw. $19natyMI D Cornellll l Mr Dv4Jd Comdlys p•ts:
LIFESPRING CHURCH
STATEMENT OF FINANCIAL ACTIVITIES (including income and expenditure account) For The Year Ended 31st December 2022
| Notes Income Donations and legacies 3 Income from charitable activities 4 Income from other trading activitie 5 Investment income 6 Total income Expenditure Costs of Raising Funds 7a Expenditure on charitable activities 7b Total Expenditure Net income/(expenditure) Transfers between funds 18 Net movement in funds Reconciliation of funds: Total Funds Brought Forward Total Funds Carried Forward |
Unrestricted Designated Restricted TOTAL TOTAL Funds Funds Funds 2022 2021 £ £ £ £ £ 360,975 33,329 6,989 401,293 444,633 59,725 1,000 5 60,730 44,878 69,174 - - 69,174 24,425 - 110 - 110 1 489,874 34,439 6,994 531,307 513,937 31,886 - - 31,886 14,752 503,768 35 3,658 507,461 447,450 535,654 35 3,658 539,347 462,202 (45,780) 34,404 3,336 (8,040) 51,735 (47,730) 47,197 533 - - (93,510) 81,601 3,869 (8,040) 51,735 1,532,120 19,219 32,069 1,583,408 1,531,673 1,438,610 100,820 35,938 1,575,368 1,583,408 |
|---|---|
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derives from continuing activities.
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LIPESPRUIO ¢IIUACH DALANCESHE A¥ At31 December 2122 Unrestmcted Fund5 Designaied Funds Restrttted Funds 31.Dec.22 Total 31-Dec-21 Totsl Flote Tanglbkasset5 Totsi fixed 4Kets 14 836.BIB 36. 1.907 Debtors Cash ai bank and In hand Ttsil ¢ywr•Trt Ao••ts 15 7,321 7.321 3,945 174 32S Uablliti¢¥ Cr•dltQrS.. falllnu de th5O l ycar 1.760 Iiatcurront assets 101.792 loo20 35,936 138.550 176.36Q Total ••••t• luvrert m•bIll•1 1,938,610 100,820 35.938 1075,36b 23.108 CredIto. amwnts due after fflore than i year 17 500000 S),000 so0.3 1 439,010 35.938 1,575.368 1.583.408 tho Ch&thY 19 Unre#rf¢ied Income Ill4$ Degnated Funds Resrtcted Funds 1.438.610 1.438.610 I,S32,120 19.219 32,069 100.820 35,938 136.758 Totsl Chadty ruftds 1.438 ILO 100,820 1.575 68 1.583.408 D[Or RrJpDTrJlbifiiie• Fry the On 315t Decmbtr 2022 the unpany to exerfwF¥Tr from undtr Ithn 4n orth• tonpnlq• 20ts1 to ll11 ¢rrynie rnembets havE re4uirod thè ¢Lynpiny to an aUof tsarrourts tsrtheyo4rln In KcyrdIn lett 476ofthe rni¢s20o6. The drorttys acknowlEdw thr rtspw5I for romF+ying the rments tsr the kt rÈWt to recotds th>J i¥eF4iauon ofaccounts. Theseaxounts hav¢ bew wtPar•d In th• prrA15 athCa¢t0rne1 Wtothe SM ttfflpJrle5'r&rn•. The note5 on pa9es 8 to LS lomi p¥t cf these nnan P•prDved b¥ th* lrt5 on th•.. 9•ned on thelr bElf bv Thrector D CorAd$ Prttst N4rne' AVIO CORNEUUS Cwnpatsy Reg15trotknn Number.. 00067254
LIFESPRING CHURCH NOTES TO THE FINANCIAL STATEMENTS
1. Accounting policies
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:
a) Basis of preparation
The accounts have been prepared in accordance with the provisions in Part 15 of the Companies Act 2006 applicable to companies subject to the small companies regime and in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019) - (Charities SORP (FRS102)).
Advantage has been taken of Section 396(5) of The Companies Act 2006 to allow the format of the financial statements to be adapted to reflect the special nature of the charity's operation and in order to comply with the requirements of the SORP.
Lifespring Church meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost unless otherwise stated in the relevant accounting policy notes.
Preparation of accounts on a going concern basis Preparation of the accounts is on a going concern basis. The Directors are of the view that the level of reserves will support the charity going forward.
Changes to prior period accounts
There have been no changes to previous accounts.
b) Income
All incoming resources are included on the Statement of Financial Activities when the charity is legally entitled to the income, receipt is probable and the amount can be quantified with reasonable accuracy.
c) Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the Bank.
d) Fund accounting
Unrestricted funds are available to spend on activities that further any purposes of the charity. Designated funds are unrestricted funds of the charity which the Directors have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
e) Expenditure
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. Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
f) Allocation of support costs
Support costs include central functions and where material have been allocated to each activity cost category on a basis consistent with the use of resources.
g) Tangible fixed assets
Tangible fixed assets are stated at cost less depreciation. Depreciation is not charged on freehold land.
Depreciation on other tangible fixed assets is provided at rates calculated to write off the cost of those assets, less their estimated residual value, over their expected useful lives on the following basis:
| Freehold property | - | 0% |
|---|---|---|
| Freehold property refurbishment | 5% straight line | |
| Plant and machinery | - | 25% straight line |
| Motor vehicles | - | 25% straight line |
| Office equipment | - | 25% straight line |
Tangible fixed assets for use by the charity are capitalised if they can be used for more than one year, and cost at least £1,500. They are valued at cost or, if gifted, at the value to the charity on receipt.
h) Employee benefits
Short term benefits including holiday pay are recognised as an expense in the period in which the service is received.
i) Operating leases
Rental charges payable under operating leases are charged on a straight line basis over the terms of the lease.
j) Taxation
The charity is exempt from tax on its charitable activities.
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LIFESPRING CHURCH NOTES TO THE FINANCIAL STATEMENTS
2. Legal status of the charity
The charity is a company limited by guarantee and has no share capital. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity.
3. Income from donations and legacies
| Donations Notes Donations and gifts Special offerings Gift aid received Grants Post box Other Total |
Unrestricted Designated Restricted TOTAL TOTAL Funds Funds Funds 2022 2021 £ £ £ £ £ 290,284 33,329 - 323,613 320,307 3,630 - 3,394 7,024 7,470 66,995 - - 66,995 57,731 - - - - 50,583 - - 3,595 3,595 2,288 66 - - 66 6,254 360,975 33,329 6,989 401,293 444,633 |
|---|---|
4. Income from charitable activities
| Church events, activities and fundraising Car Parking Youth Donated Services(salary support) Insurance Claim Sundry and Miscellaneous Total 5. Income from other trading activities Letting of property held for functional use Café 12 - trading income 20 Total 6. Investment income Interest received Total |
Unrestricted Designated Restricted TOTAL TOTAL Funds Funds Funds 2022 2021 £ £ £ £ £ 8,132 1,000 5 9,137 4,988 910 - - 910 561 8,080 - - 8,080 218 41,247 - - 41,247 39,111 949 - - 949 - 407 - - 407 - 59,725 1,000 5 60,730 44,878 Unrestricted Designated Restricted TOTAL TOTAL Funds Funds Funds 2022 2021 £ £ £ £ £ 44,808 - - 44,808 10,757 24,366 - - 24,366 13,668 69,174 - - 69,174 24,425 Unrestricted Designated Restricted TOTAL TOTAL Funds Funds Funds 2022 2021 £ £ £ £ £ - 110 - 110 1 - 110 - 110 1 |
|---|---|
The investment income arises from money held in interest bearing deposit accounts.
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LIFESPRING CHURCH NOTES TO THE FINANCIAL STATEMENTS
7a. Cost of raising funds
| Hire and Event expenses Café expenses 20 Total |
Unrestricted Designated Restricted TOTAL TOTAL Funds Funds Funds 2022 2021 £ £ £ £ £ 7,687 - - 7,687 3,824 24,199 - - 24,199 10,928 31,886 - - 31,886 14,752 |
|---|---|
7b. Expenditure on charitable activities
| Notes Buildings Community Depreciation Employment 10 Gifts and Donations Miscellaneous Mission and grants 12 Office and administration Pastoral, Church and Counselling Youth and children Governance Costs (see note 7c) Total 7c) Analysis of governance costs Independent examiners fees Other fees paid to Independent examiner |
Unrestricted Funds £ 59,533 5,116 75,557 283,766 1,250 967 26,347 23,289 19,585 6,798 1,560 503,768 |
Designated Restricted TOTAL TOTAL Funds Funds 2022 2021 £ £ £ £ - - 59,533 47,806 - - 5,116 4,266 - - 75,557 73,848 - - 283,766 272,656 - - 1,250 1,250 - - 967 610 - 3,595 29,942 19,627 35 63 23,387 14,013 - - 19,585 8,076 - - 6,798 3,424 - - 1,560 1,874 35 3,658 507,461 447,450 Support Governance Total Basis of Apportionment £ £ £ - 1,560 1,560 Actual cost - - - Actual cost - 1,560 1,560 |
|---|---|---|
8. Summary analysis of expenditure on charitable activities
This table shows the cost of the main charitable activities including support costs and grant funding to third parties.
| Activity or programme Direct charitable activities Charitable grants (note 12) Governance costs Support costs |
Church activities Grant making Total and community activities initiatives £ £ £ 475,959 - 475,959 - 29,942 29,942 1,560 - 1,560 - - - 477,519 29,942 507,461 |
|---|---|
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LIFESPRING CHURCH NOTES TO THE FINANCIAL STATEMENTS
9. Net income/(expenditure) for the year
| This is stated after charging: Depreciation Independent Examiner's remuneration |
Unrestricted Restricted TOTAL TOTAL Funds Funds 2022 2021 £ £ £ £ 75,557 - 75,557 73,848 1,560 - 1,560 1,500 77,117 - 77,117 75,348 |
|---|---|
10. Analysis of staff costs, trustee remuneration and expenses and the cost of key management personnel
| Salaries and wages Employers National Insurance Contributions SMP Recovered Employers Pension Contributions Expenses and allowances Staff Training Costs Payroll Processing Fees DOH Contribution to salary costs |
2022 2021 £ £ 252,816 237,068 14,711 13,866 (7,480) - 19,165 17,961 3,422 2,575 - 66 1,132 1,120 283,766 272,656 (41,247) (39,111) |
|---|---|
Social security costs are shown net of the current HMRC annual employment allowance. No employee had employment benefits in excess of £60,000, excluding employers pension costs (2021 : nil). Pensions are wholly charged to unrestricted funds.
The average head count was 14 during this financial year (2021: 15). The actual number of employees (including casual and part-time staff) at the end of the year were as follows:
| Area employed in: Charitable activities | 2022 2021 15 14 15 14 |
|---|---|
Trustee and related party transactions
In the period the charity has paid remuneration to trustees and related parties to trustees for services supplied to the Church as follows:
| Name Mrs E Monger (Trustee) |
Legal Authority Governing document |
Remuneration 2022 2021 Total Total £ £ £ 13,122 13,122 3,298 13,122 13,122 3,298 Amounts paid or benefit value |
|---|---|---|
For the 12 months ended 31 December 2022 payments to Trustees/Directors as disclosed above were as follows: One Director received remuneration of £12,295 for their role as Cafe 12 assistant (2021: £3,238). Employer National and insurance contributions paid on their behalf totalled £827 (2021: £60)
These payments were in accordance with the charitable company governing document.
Apart from the transactions detailed in note 11, no other payments were paid to related parties in 2022 or 2021. The relationship between Lifespring Church and Lifespring Trust (registered charity number 296276) is explained in note 11. The Trustees of Lifespring Church are also the Trustees of Lifespring Trust.
No other payments were made to Directors or any persons connected with them during this financial period. No material transaction took place between the organisation and a Director or any person connected with them. There were no outstanding balances with Directors or Related Parties as at 31 December 2022.
The key management personnel of the charity comprise the Directors and Church Leaders. The total employee benefits (including employer national insurance and employer pension contributions) of key management personnel of the charity were £122,421 (2021: £108,890). The Church paid an annual life assurance and critical illness cover policy in 2022 costing £2,326 (2021: £1,131) which includes cover for all staff members. It is not possible to calculate the amounts relating specifically to each staff member, thus it is disclosed here for transparency purposes only.
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LIFESPRING CHURCH NOTES TO THE FINANCIAL STATEMENTS
Trustee and related party transactions (continued)
Five directors donated an aggregate amount of £35,551 (2020: Five Directors; £34,993) to Lifespring Church during this financial year.
The charity operates a government backed defined contribution pension scheme. Contributions are charged to the Statement of Financial Activities as they become payable in accordance with the rules of the scheme. The charity is under no further obligation to make any extra payments irrespective of how that pension fund performs. In 2022 the charity paid employer contributions of £16,765 (2021: £15,561) into that scheme. The charity also paid £2,400 (2021: £2,400) employee contributions into an Aviva personal pension scheme on behalf of one member of key management personnel.
11. Donated Services and relationships with other charities
On the 1st November 2012 all activities from Lifespring Trust (registered charity number 296276) started to be transferred to Lifespring Church.
In 2013 the first transfer comprised the newly purchased property asset 'The Pavilion', Reading. In 2014 all other activity bar that of the project 'Door of Hope', was transferred.
The Door of Hope regular staff are paid by Lifespring Church charity and Lifespring Trust sends salary support payments towards the cost. In 2022 payments totalling £40,052 were sent (2021: £39,111).
During this financial year, some staff employed by Lifespring Church were seconded to work on the Grow project, which is a project run by Citylife Community Projects (registered charity number 1117112). Citylife Community Projects sent salary support payments towards the cost. In 2022 payments totalling £1,195 were sent (2021: £nil)
In this financial year the following transactions between the entities have been recorded:
| LifeSpring Trust paid salary support payments to Lifespring CityLife Community Projects paid salary support payments t 12. Grants Gifts and grants to individuals: Mozambique - Audrey Payne Spirit Connect - J & C Noble Mozambique - Tracey Uganda - Pastor Fred Sudan - Manny Sharland Pastor Caesar Post box out (gifts and grants under £1,000) Total Ministry support grants and activities: LifeSpring mission Faith Christian Group Lifeline G12 Gifts Reading RCN K Sullivan Poor Fund Gifts - other Little Lambs Grow Look Around Rahab via Mustard Tree Christian Community Action Total Total gifts and grants |
Church o Lifespring Church Unrestricted Restricted TOTAL Funds Funds 2022 £ £ £ - - - 400 - 400 3,600 - 3,600 7,186 - 7,186 - 3,595 3,595 11,186 3,595 14,781 3,600 - 3,600 600 - 600 816 - 816 3,245 - 3,245 - - - - - - - - - - 900 - 900 3,000 - 3,000 3,000 - 3,000 - - - 12,161 - 15,161 23,347 3,595 29,942 |
40,052 £ 1,195 £ 41,247 £ TOTAL 2021 £ - 1,200 4,600 2,900 - - 2,288 10,988 - 3,600 400 - 1,550 2,500 589 - - - - - - 8,639 19,627 |
|---|---|---|
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LIFESPRING CHURCH
NOTES TO THE FINANCIAL STATEMENTS
13. Corporation tax
The charity is exempt from tax on income and gains falling within section 505 of the taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
14. Tangible fixed assets
| Cost: As at 1st January 2022 Additions Transfer between funds As at 31 December 2022 Depreciation: As at 1st January 2022 Charge for the year Transfer between funds As at 31 December 2022 Net book value: As at 1st January 2022 As at 31 December 2022 |
Equipment Freehold Freehold Property Property Total General General General -refurbish. Title No: BK111153 £ £ £ £ 28,391 1,359,303 1,024,843 2,412,537 5,327 - - 5,327 - - - - 33,718 1,359,303 1,024,843 2,417,864 8,400 497,089 - 505,489 7,616 67,941 - 75,557 - - - - 16,016 565,030 - 581,046 19,991 862,214 1,024,843 1,907,048 17,702 794,273 1,024,843 1,836,818 |
|---|---|
Freehold Property is currently valued at a rebuild cost of £5.1 million for insurance purposes.
No depreciation is provided on buildings, as the current estimated residual value of the properties is not less than their carrying value and the remaining useful life of these assets currently exceeds 50 years, so that any depreciation charges would be immaterial. An impairment review is carried out each year end and any loss identified included in expenditure for the year.
15. Debtors & prepayments
| Trade Debtors 16. Creditors: amounts falling due within 1 year Independent Examiners Fees Refundable Deposit 17. Creditors: amounts falling due in more than 1 year Private Member Loans |
31.12.2022 31.12.2021 £ £ 7,321 3,945 7,321 3,945 31.12.2022 31.12.2021 £ £ 1,560 1,710 200 200 1,760 1,910 31.12.2022 31.12.2021 £ £ 500,000 500,000 500,000 500,000 |
|---|---|
The Private Member Loans were received in 2016, are unsecured, interest free and repayable within a maximum 12 year period. The Trustees have ringfenced a designated fund to build up funds to help pay off the Member Loans.
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LIFESPRING CHURCH NOTES TO THE FINANCIAL STATEMENTS
18. Analysis of charitable funds
Analysis of movements in unrestricted funds: General fund
| The free reserves of the charity after allowing for all designated funds. Balance at 1st January Income Expenditure Transfers between funds Movement in funds Balance at 31st December Designated Circle fund This is a designated fund for raising funds to help pay off the Member Loan Balance at 1st January Income Expenditure Transfers between funds Movement in funds Balance at 31st December The balance at 31st December shown above, is wholly represented by the funds held in the Circl Total unrestricted reserves at 31st December Analysis of movements in restricted funds: Building fund - ongoing expenses |
2022 2021 1,532,120 1,496,108 489,874 498,416 (535,654) (459,799) (47,730) (2,605) (93,510) 36,012 1,438,610 £ 1,532,120 £ 2022 2021 19,219 - 34,439 6,654 (35) (3) 47,197 12,568 81,601 19,219 100,820 £ 19,219 £ e Fund bank account. 1,520,211 £ 1,532,120 £ |
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This fund is restricted giving for the ongoing expenses of the new building project where the church meets.
| Capital: Note Balance at 1st January Income Expenditure Transfer between funds Movement in funds Balance as at 31st December |
2022 2021 32,069 35,565 3,399 6,579 (63) (112) 533 (9,963) 3,869 (3,496) 35,938 £ 32,069 £ |
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The balance at 31st December shown above, is wholly represented by the funds held in the Pavilion Capital bank account.
Post Box fund
This is a holding account for making transfers between funds.
| Balance at 1st January Income Expenditure Transfer to/(from) general funds Movement in funds Balance as at 31st December Total restricted reserves at 31st December |
2022 2021 - - 3,595 2,288 (3,595) (2,288) - - - - - £ - £ 35,938 £ 32,069 £ |
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LIFESPRING CHURCH NOTES TO THE FINANCIAL STATEMENTS
19. Analysis of net assets between funds
| Fixed assets: Net current assets: Unrestricted - general Unrestricted - designated Building fund - ongoing expenses General |
General Designated Restricted TOTAL Fund Reserves Reserves 31.12.2022 £ £ £ £ 1,836,818 - - 1,836,818 101,792 - - 101,792 - 100,820 - 100,820 - - 35,938 35,938 (500,000) - - (500,000) 1,438,610 100,820 35,938 1,575,368 |
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20. Café 12
In April 2016 Café 12 (the community cafe based at the Pavilion) opened its own bank account. Prior to this, all Café 12 activity passed through Citylife Community Projects bank account, registered charity number 1117112. As Lifespring Church is the largest user of Café 12, the decision was taken in 2016 by the Trustees, to include the results of Cafe 12 within the financial statements of Lifespring Church.
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LIFESPRING CHURCH
STATEMENT OF CASHFLOWS FOR THE YEAR ENDING 31ST DECEMBER 2022
| Cash used in operating activities (a) Cash used from investing activities Interest income Purchase of tangible fixed assets Cash provided by (used in) investing activities Cash flows from financing activities Introduction/(Repayment) of long term borrowing Cash used in financing activities Increase/(decrease) in cash and cash equivalents in the year Cash and cash equivalents at the start of the year TOTAL cash and cash equivalents at the end of the year (b) |
2022 2021 £ £ 63,881 71,183 110 1 (5,327) (7,657) (5,217) (7,656) - - - - 58,664 63,527 174,325 110,798 232,989 174,325 |
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(a) Reconciliation of net movement in funds to net cash flow from operating activities
| Net movement in funds Add back depreciation charge Deduct interest income shown in investing activities Decrease/(increase) in debtors Increase/(decrease) in creditors Net cash used in operating activities (b) Analysis of cash and cash equivalents Cash at bank and in hand Fixed Term Bond Total cash and cash equivalents |
2022 2021 £ £ (8,040) 51,735 75,557 73,848 (110) (1) (3,376) (3,945) (150) (50,454) 63,881 71,183 2022 2021 £ £ 232,989 174,325 - - 232,989 174,325 |
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INDEPENDENT EXAMINER’S REPORT ON THE ACCOUNTS
I report to the Trustees on my examination of the accounts of the above charity for the year ended 31 December 2022.
As the charity's Trustees (who are also the directors of the company for the purposes of company law), you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (“the Act”).
Responsibilties and basis of report
As the charity’s trustees (who are also the directors of the company for the purposes of company law), you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (“the 2006 Act”).
Having satisfied myself that the accounts of the charity are not required to be audited for this year under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (“the 2011 Act”). In carrying out my examination, I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
Since the Company’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I a member of The Association of Charity Independent Examiners, which is one of the listed bodies.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination which gives me cause to believe that in, any material respect:
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accounting records were not kept in accordance with section 386 of the Companies Act 2006; or
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the accounts do not accord with such records; or
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the accounts do not comply with relevant accounting requirements under section 396 of the Companies Act 2006 other than any
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requirement that the accounts give a ‘true and fair’ view which is not a matter considered as part of an independent examination; or
• the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Signed: J Irvinesmith FCIE
Date: …....................4th September 2023
Independent Examiners Ltd
Unit 2 The Broadbridge Business Centre Delling Lane Bosham West Sussex PO18 8NF
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