## The St Luke's Mission Intiative Company No. 8351330 Charity No. 1151021 Report and Accounts Year ended 31 December 2022 1 Lamb's Passage, London EC1Y 8AB www.stewardship.org.uk ## **THE ST LUKE'S MISSION INITIATIVE** ## **COMPANY INFORMATION** ## **FOR THE YEAR ENDED 31 DECEMBER 2022** |**Contents**|**Page**| |---|---| |Company Information|1| |Trustees' Annual Report|2-10| |Independent Examiner's Report|11| |Statement of Financial Activities|12| |Balance Sheet|13| |Notes to the Accounts|14-22| |Detailed Statement of Financial Activities with Comparatives|23| Page 1 The St Luke’s Mission Initiative Annual Report and Financial Statements of the trustees For the twelve-month period ended 31 December 2022 ## **Reference and Administrative information** ## **Registered Company number** 8351330 (England and Wales) Governing document is memorandum and articles of association (Incorporated on 8 January 2013) ## **Registered Charity number** 1151021 Trustees who are also Directors of The St Luke’s Mission Initiative are elected in accordance with the Articles of Association of the charity, which is a company limited by guarantee. During the period the following served as trustees of the charity and directors of the company. _Rev Ed Dix (Minister-in-charge)_ _Carolynne McGaughey_ _Sangeetha Thomas_ _Joshua Hill (resigned 21 July 2022)_ _Dave Nunn_ _Ben Thomson_ _Selwyn Cush-Etter (Ordinand) (appointed 9 February 2022)_ _Abraham Dosunmu (appointed 9 February 2022)_ _Ferry Tantono (appointed 21 July 2022)_ ## Bank: _Reliance Bank Ltd at Faith House, 23-24 Lovat Lane, London, EC3R 8EB._ Page 2 Independent examination: Lisa Darby ACA, Stewardship, 1 Lamb’s Passage, London EC1Y 8AB ## The registered address of the charity is: _St Luke’s Church, Alpha Grove, Isle of Dogs, London, E14 8LH_ ## **Structure, Governance and Management** ## _Responsibilities of the trustees_ The trustees of The St Luke’s Mission Initiative have the responsibility to promote, in collaboration with the parish church of Christ and St John with St Luke, in the parish of the Isle of Dogs, the whole mission of the Church. This includes the pastoral, evangelistic, social and ecumenical aspects. As a Bishop’s Mission Order in the Church of England, the Minister-in-charge and the trustees follow the requirements of Church of England Canon Law. ## _Appointment of trustees_ Trustees are appointed from time to time, as the strategic and practical needs of the charity demand. The minister-in-charge has prime responsibility for the recruitment of new trustees and is assisted by other existing trustees in the process of identifying and recruiting new trustees. It is stated in the charity’s Memorandum and Articles that one third of the trustees must retire every year. This is not the board of trustees’ current practice and we intend to remove this policy in future. ## _Objectives and activities_ The vision of The St Luke’s Mission Initiative, in line with its objects, were initially stated as follows: _Working with and empowering local people in establishing St Luke’s Millwall as a self-sustaining, mission-oriented church with ministry serving the whole population of the Isle of Dogs in a way that is complementary to the existing work of the parish of Christ Church and St John with St Luke’s, Isle of Dogs._ _Through active mission and ministry, to grow a vibrant and diverse community of Christian disciples united around Jesus. Maintaining a particular focus on serving young families by becoming a centre for family life that provides parenting resources, marriage resources, a school’s ministry, toddler groups and a well-resourced children’s church on Sundays._ The church is currently in the middle of a process which will lead to a restated vision and new strategic goals for the coming years. The board of trustees organises itself to carry out its aims and objectives by having regular meetings and various sub-committees _._ The trustees met five times during the period. Topics discussed by the Trustees included finances, prayer, staffing, building issues, vision and goal setting, strategic planning, with a particular focus on developing discipleship within the church. Day-to-day management of the church is delegated to the Minister-in-charge, Rev Ed Dix, supported by the staff team (see ‘Teams’ below), whilst decision-making about certain aspects of church life, including Page 3 discipleship, worship, and mission lies with the church council, which is chaired by the minister-in-charge. During 2022 the minister-in-charge met regularly with the wardens, Dave Nunn and Carolynne McGaughey, to ensure that there was an increase in support for the minister, and a greater level of shared leadership across the church activities. ## _Church Council_ During 2022 the church council continued to exercise its core function in providing leadership in the areas of Christian discipleship, outreach, worship, and financial management, amongst others. Membership of the church council changed partially during the year, with the resignation of one trustee, and the appointment of two new trustees. With regard to the church council’s obligations to safeguard children and vulnerable adults, the members of the church council confirm that they have complied with their duties under section 5 of the Safeguarding and Clergy Discipline Measure 2016. The church council is anticipating its first quinquennial review will take place during 2023 and will act on the recommendations accordingly. ## _Church attendance_ During 2022 our in-person attendance continued to build up and by the end of the year had reached the numbers of attendees that we were getting before services stopped in 2020. Our average Sunday attendance reached 50 adults and 28 children by the end of 2022. ## _Public Benefit_ In planning the activities the Directors have had regard to the guidance on public benefit issued by the Charity Commission. The St Luke’s Mission Initiative benefits the community by the activities described in the section above particularly through families and children’s work and in supporting other charities through our volunteer programme, prayer and partnership for community events. ## **Achievements and Performance** ## **Worship** ## _Services_ During 2022 we continued to stream our service on YouTube as we have found that it is a helpful option for those who for one reason or another are unable to attend in person. During the year we had a number of sermon series: on Paul’s letter to the Philippians; the early chapters of Acts; Summer Psalms; and the Book of Proverbs. We also began a monthly prayer and praise evening service called ‘Arise’, which we ran in collaboration with Zion City Church, a local Pentecostal church. ## _Register of occasional services_ In 2022 one adult baptism and one infant baptism took place in the church. There were no weddings or funerals in the church building, though in July we were saddened following the death of Anita Jackson, a dear church member. Her funeral took place at the City of London Cemetery in July. We give thanks for her strong Christian faith and rejoice that she is now with the Lord in glory. ## _Children’s church and Youth ministry_ Page 4 In 2022 our Children’s Church began to consolidate its post-covid identity. Having tried out Alpha Grove in the Autumn tern 2021 for the 5-10s, to make way for the growing number of 0-5s in the whole Grow Room, we were able to negotiate with the youth leaders at church and instead host the 5-10s in the Cafe Room (where the youth had been meeting)- much better to remain on site as several families are regularly late, plus the facilities at Alpha Grove were not very welcoming. Our Children’s Church numbers grew throughout the year, with overall average Sunday attendance growing from 15-20 children, to 20-25 children. Several moved up from 0-5s to 5-10s after the summer break, in a carefully planned transition season, and settled well. The team work hard to provide a programme which is accessible and enjoyable for the wide age groups. Our Sunday team remained core and committed throughout the year. with an acknowledged need for more leaders soon. We have had end-of-term parties for the 5-10s each term on a Friday night, with games, pizza and crafts, which has been a fun way of building community beyond Sundays. We also hosted our first Pancake party on Shrove Tuesday for church families - all part of deepening relationships together. ## _Teams_ One especially encouraging area of St Luke’s church life has been the strengthening of the staff team during the course of the year. We successfully applied to join the diocese’s children and youth apprenticeship scheme and recruited a wonderful new apprentice from within the church congregation, who is now being trained up in children and families ministry over a three-year period. We also have a second ordinand on placement with us and this has once again been a huge help in enabling our ministry as a church to be sustainable. Our staff team during 2022 consisted of the following: - Ed Dix: Minister-in-charge - Fuzz Dix: Families Pastor - Carolynne McGaughey: volunteer administrator - Amirah Capillaire: children and families work apprentice - Selwyn Cush-Etter: St Mellitus second-year ordinand, leading on prayer and youth ministry - Nathan Robertson: St Mellitus ordinand, leading on night shelter and Alpha (from September) Church members serve in our many teams, which include children’s church, welcome and hospitality, music, setup and packdown, meals for new parents, and keeping the church clean and tidy, and involve a total of approximately 50 volunteers. ## **Discipleship and fellowship** ## _Church Weekend Away_ In July we once again returned to Otford Manor for our church weekend away. The weekend was fully booked and a great success, with very positive feedback from everyone who attended. Additional donations from church members made it possible for many people in positions of financial hardship to attend the weekend who otherwise would not have been able to do so. Our visiting speaker was Randall Staley, and Simon and Rachel Smith once again led the children’s ministry for the weekend. The weekend provided opportunities for rest, spiritual refreshment and nourishment, worship, prayer and ministry, and fun, laughter and entertainment, with a particular highlight being Soňa’s baptism on Sunday morning! ## _Community Groups_ Community Groups are the midweek mid-size communities at St Luke’s Millwall. Each Community Group is led by Community Group Leaders, and an evening consists of eating a meal, studying the Bible and Page 5 praying together. During 2022 the groups met online and in-person, providing support, pastoral care, and opportunities for Bible study and prayer, for church members. ## _Men’s & Women’s Ministry_ During 2022 our women’s ministry continued to offer both social and spiritual activities. During the course of the autumn term one of our ordinands conducted a survey of a sample of the men in the church in order to plan for future men’s ministry activities in 2023 and beyond. ## _Giving to those in need and establishing Mission Partners_ An important component of healthy discipleship is learning to live generously, and as St Luke’s Millwall has matured we have been able to think and pray about how we exercise generosity and partnership with others. Following a process of deliberation and prayer the church council chose the following four Christian charities to partner with in future years: - Operation Mobilisation (international focus) - Christians Against Poverty (national focus) - London City Mission (city-wide focus) - This is GrowTH (Tower Hamlets focus) In 2022 we gave a total of 5% of our congregational giving to these four ministries, and over the coming years we hope to increase our external giving to ten percent of our income from congregational giving. The church also has a discretionary fund which enables us to respond to exceptional individual needs as they arise. ## **Evangelism and work in the community** ## _Community Coffee Morning and ESOL_ The weekly Community Coffee Morning, and ESOL class, run in partnership with London City Mission, continued on Tuesday mornings through the year. We have seen very encouraging signs of fruit in both these ministries. The Coffee Morning ran an Alpha course in January 2022, leading to deep spiritual breakthrough and healing for those who participated, and in 2023 it seems that this group will give birth to other community activities such as a possible craft morning. Meanwhile an average of 12 people per week - mostly Bangladeshi women -attended the ESOL classes. We are very grateful to Alice Cooper, an LCM missionary, for facilitating the ESOL classes, and we were delighted that a number of volunteers from church have also been involved in running the classes. Through ESOL we have seen opportunities to provide support and help to a number of individuals, and while this has often been challenging work, we have seen the power of God at work in many ways. ## _Alpha_ A daytime Alpha group ran in the spring term on Tuesday mornings. The church plans to run an evening Alpha course in spring 2023 as part of a strategy to increase disciple-building activities within the church. Page 6 ## _Kids Matter and Babies Matter Groups_ Fuzz ran Babies Matter in the spring term with several of the local mums from Sunbeams, plus a couple of the Monday Mums Bible study group - great relationships were made and parents were encouraged. Fuzz ran Kids Matter for 6 parents in the Spring Term, while Amirah trained as a facilitator.; Amirah then ran it with Fuzz as her group helper in the summer term, and then ran it solo in the autumn term, very exciting! She is very gifted and eager to learn and be taught, and it is a joy having her involved in every aspect of the Families Ministry. Fuzz supervises her closely and has several training pipelines to reach the objectives of having her ready to lead different ministry areas at different points over the 3-year apprenticeship. ## _Partnership with local schools_ During 2022 we were able to continue our strong partnership with Seven Mills Primary School through leading assemblies on Christian topics, giving classes guided tours of the church building and taking RE lessons, and we once again delivered Christmas presents and parcels to each child in the school through the ‘Love Christmas’ campaign. ## _Sunbeams_ Sunbeams baby and toddler group also bounced back, after a gentle post-covid start and by the end of the summer term 2022 was seeing 14-18 families per week, with around 35 families being regular. Several children moved to nursery after the summer so Sept was quieter but then built back up, with families from the local community and the Babies Matter group. Serena hosted free baby sensory music classes for 6 weeks Sept - Oct and these were hugely popular with the Sunbeams families, we would like to fundraise for her to be able to do that in an ongoing way. As Amirah started her apprenticeship in Sept, (very exciting!) Fuzz trained her up in running Sunbeams and gradually withdrew so that by Oct half-term Amirah started to run the group, with a lovely set of volunteers from the local community who have attended Kids Matter groups in the past and are looking for opportunities to volunteer and gain work experience before heading back into work. (A great fulfilment of our Is 61 vision to see those who are reached with the good news, be the ones who can extend that to others). ## _Mums’ Bible Study_ Mums' Bible Study grew in numbers and faith this year, with 3 members getting baptised in utterly glorious ways. The group has mums from very diverse backgrounds and ethnicities, including 2 Muslims, 4 Chinese, 2 mixed race, 1 South American…. many have never read the Bible before and are literally seeing the scales fall from their eyes. Reading through Philippians with them in the autumn term, and seeing Paul’s response to being in prison, was particularly meaningful for several of them who have experience of prison, either as inmates themselves, or with partner/ex-partner/son having been or currently in prison. What a privilege and joy. Page 7 ## _GrowTH night shelter_ Following two winters in which the night shelter was moved to a static location in a hotel due to the limitations of the Covid pandemic, in October 2022 the Tower Hamlets church-run night shelter opened once again in church buildings. St Luke’s hosted the night shelter on a Wednesday night from October through to the end of January, providing a warm space, hot shower, tasty dinner, and comfortable bed for up to 15 guests. We also offered opportunities to read the Bible together and listen to what God was saying to each of us, and these times of fellowship were always very powerful. A great team of around 20 volunteers—made up of church members and others from our local area—worked joyfully and dedicatedly to ensure that the shelter was a blessing to all our guests. A number of guests visited us for worship on a Sunday, and one guest has made St Luke’s his church home. ## _Community events_ The live nativity in Mudchute Farm, run in partnership with Christ Church, was once again a great occasion; it was a joy to celebrate the birth of Christ in the open air and with many visitors joining in. As a church we joined with others in marking the Queen’s Platinum Jubilee by taking part in a Community Fun held on the Barkantine estate. Following the sad news of Her Late Majesty’s death in September, we opened the church building for prayer and a book of condolence was created for people to express their appreciation for the Queen’s life. We ran several community family events through the year - the Great Island Bake Off returned in Nov, we did a Family Craft Competition in October half-term and a Family Lego Competition in the Easter holidays. Over 25 families attended the competition days, many of them Bangladeshi, and a chance to hear of God’s love and welcome was enjoyed by all. _All the courses, activities and events outlined above could not take place without the much-appreciated help of volunteers from the congregation._ ## **Trustees Finance Review Report** ## _Funding_ The principal sources of income for the period were donations from congregation members and rental income from renting out the church flat and church building. Funding from congregation members was in the form of gifts, regular collections and donations via Stewardship, which increased compared to the prior year driven primarily by higher giving from new and existing church members. Rental income from the church flat remained stable versus the prior year, whilst rental income from the church building increased due to higher activity following the relaxation of covid restrictions and a return to more frequent in-person events (although still below pre-pandemic levels). The total amount raised across all sources of funding was £153,560, an increase of £21,096 on 2021 excluding donations-in-kind for the foodbank (2022: nil; 2021: £61,635). We are immensely grateful to God and to all those who gave so generously. Page 8 ## _Expenditure in support of the key objectives_ All expenditure was in support of the key objectives. It is analysed into different church activities in note 6 of the financial statements. Most of the spending meets more than one of the key objectives. The total expenses for the year were £155,917, an increase of £43,369 on 2021 excluding the foodbank (2022: £525; 2021: £78,258). During early 2021, given the expected reduction in rental income from the church building, the Trustees agreed with the Diocese of London to reduce the St Luke’s Mission Initiative’s Common Fund contribution by £1,000 per month for an initial period of six months (from March to August) and then a further two months (for September and October) following a mid-year review of the St Luke’s Mission Initiative’s finances. Normal Common Fund contributions were resumed in November 2021. The Trustees are grateful for the financial flexibility provided by the Diocese during 2021 and have seen a return to normalised church building rental activity levels during 2022. ## _Summary outcome for 2022_ Income of £153,560 and expenditure of £156,442 meant that St Luke’s generated a deficit of £2,882 in 2022. Total funds as at 31 December 2022 are £66,825, a decrease of £2,882, of which £53,308 are unrestricted and £8,517 are restricted. No funds are in deficit. ## _Policy on reserves_ During 2022, the Trustees agreed to establish a new reserves policy which better reflects the financial position of The St Luke's Mission Initiative. The Trustees agreed to set up two reserves accounts: (i) an Operating Reserves Account; (ii) a Non-Operating Reserves Account. The purpose of the Operating Reserves Account is to ensure that The St Luke's Mission Initiative is able to cover three months' worth of annual operating costs in case of a reduction in income. The main operating costs comprise the Common Fund contribution, the church building expenses and church flat expenses. The estimated annual operating costs for 2023 are £106,437 and therefore the Operating Reserves target is £26,609 (25% or three months' worth). The purpose of the Non-Operating Reserves Account is to enable The St Luke's Mission Initiative to cover any one-off, unexpected expenses associated with the custodianship of the church building and church flat. The agreed Non-Operating Reserves target is 10% of the estimated annual operating costs of the church building and church flat, and therefore the Non-Operating Reserves target is equal to £5,317 (i.e. 10% of £53,172). During 2023, individual savings accounts were opened for the Operating Reserves and Non-Operating Reserves in order to ring fence the funds from the day-to-day operations of the charity. As of 28th April 2023, the balances of each of the reserves accounts matches the agreed target levels. ## _Risk assessment and mitigation_ The risks which the organisation faces have been considered and measures will be implemented to ensure that appropriate systems, policies and procedures are in place to manage and mitigate the risks. Specifically as an organisation with a low level of reserves, there is a financial risk which is managed by strong financial systems and controls. ## _Investment policy_ As mentioned above, the policy of The St Luke’s Mission Initiative is to build up a reserves target over time to provide for future expenditure associated with custodianship of the church building. A new 35 Day Notice Page 9 Savings Account was set up during early 2022 in order to ensure an appropriate segregation of the reserves from the day-to-day operations of St Luke’s and to maximize interest income. There are no excess funds to invest.. ## _Plans for future periods_ The short and medium term plan is to continue with the same objectives and activities in support of them. ## _The Trustees’ responsibilities in relation to the financial statements_ Company law requires the Trustees to prepare a statement of financial activities and statement of assets and liabilities for each financial year, which gives a true and fair view of the state of affairs of the church and of its financial activities for that year and adequately distinguishes any material special trust or other restricted fund of the company. In preparing those financial statements the Trustees are required to: - select suitable accounting policies and then apply them consistently; - make judgments and estimates that are reasonable and prudent; - state whether the policies adopted are in accordance with the appropriate SORP on Accounting by Charities and the Accounting Regulations and with applicable accounting standards, subject to any material departures disclosed and explained in the financial statements; - prepare the accounts on the going concern basis unless it is inappropriate to presume that the company will continue to operate. The Trustees are responsible for keeping proper accounting records which disclose, with reasonable accuracy at any time, the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006 and applicable Accounting Standards and Statements of Recommended Practice and the regulations made under the Charities Act 2011. They are also responsible for safeguarding the assets of the church and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Approved by the Trustees of The St Luke’s Mission Initiative and signed on their behalf by: ## **Ed Dix** Ed Dix, Minister in Charge Date: 4 July 2023 Page 10 ## **INDEPENDENT EXAMINER'S REPORT** ## **TO THE TRUSTEES OF** ## **THE ST LUKE'S MISSION INITIATIVE ('the Company')** I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 December 2022 on pages 12 to 23 following, which have been prepared on the basis of the accounting policies set out on pages 14 to 15. ## **Responsibilities and basis of report** As the charity’s trustees of the Company (and also its directors 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 Company are not required to be audited 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** I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe: 1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or 2. the accounts do not accord with those records; or 3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair' view which is not a matter considered as part of an independent examination; or 4. 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. ## **Lisa Darby** Lisa Darby FCA Stewardship 1 Lamb's Passage London EC1Y 8AB Date: 17 July 2023 Page 11 ## **THE ST LUKE'S MISSION INITIATIVE** ## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** ## **FOR THE YEAR ENDED 31 DECEMBER 2022** |Note
**INCOME AND ENDOWMENTS FROM:**
Donations and legacies
3
Charitable activities
4
Other trading activities
5
Investments
**Total income and endowments**
**EXPENDITURE ON:**
Charitable activities
6
**Total expenditure**
**Net income/(expenditure)**
**Transfers between funds**
14
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
**Total funds carried forward**
14|Unrestricted
Funds
£
101,495
3,552
39,957
46
145,050
152,746
152,746
(7,697)
572
(7,124)
65,432
58,308|Restricted
Funds
£
8,510
-
-
-
8,510
3,695
3,695
4,815
(572)
4,243
4,275
8,517|Total
Funds
2022
£
110,005
3,552
39,957
46
153,560
156,442
156,442
(2,882)
-
(2,882)
69,707
66,825|Total
Funds
2021
£
161,588
4,017
28,499
-| |---|---|---|---|---| |||||194,104| |||||190,805| |||||190,805| |||||3,299
-| |||||3,299
66,408| |||||69,707| All income and expenditure derive from continuing operations. The statement of financial activities also complies with the requirements for an income and expenditure account required by the Companies Act 2006. The notes on page 14-22 form part of these accounts. Page 12 ## **THE ST LUKE'S MISSION INITIATIVE** ## **BALANCE SHEET** ## **AS AT 31 DECEMBER 2022** |Note
**FIXED ASSETS**
Tangible assets
8
**CURRENT ASSETS**
Stock
9
Debtors
10
Cash at bank and in hand
11
**CREDITORS: Amounts falling**
**due within one year**
12
**Net current assets / (liabilities)**
**TOTAL NET ASSETS**
**FUND BALANCES**
14
Unrestricted Funds
General funds
Restricted Funds|Unrestricted
Funds
£
10,788
10,788
-
7,344
43,779
51,123
(3,603)
47,519
58,308
58,308
-
58,308|Restricted
Funds
£
-
-
-
-
8,517
8,517
-
8,517
8,517
-
8,517
8,517|Total
Funds
2022
£
10,788
10,788
-
7,344
52,296
59,640
(3,603)
56,037
66,825
58,308
8,517
66,825|Total
Funds
2021
£
29,002| |---|---|---|---|---| |||||29,002| |||||525
8,251
35,338| |||||44,115
(3,410)| |||||40,705| |||||| |||||69,707| |||||65,432
4,275| |||||69,707| The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2022. The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2022 in accordance with Section 476 of the Companies Act 2006 however, in accordance with Section 145 of the Charities Act 2011, the accounts have been examined by an independent examiner and their report has been included in these financial statements. - The directors (who are the charitable company's trustees for the purposes of charity law) acknowledge their responsibilities - (a) ensuring that the charitable company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and - (b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its net income or expenditure for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company. The financial statements have been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies. The financial statements were approved by the Board of Directors and were signed on its behalf by: ## **Ed Dix** REV ED DIX Date: 4 July 2023 Company number: 8351330 Charity number: 1151021 The notes on page 14-22 form part of these accounts. Page 13 ## **THE ST LUKE'S MISSION INITIATIVE** ## **NOTES TO THE ACCOUNTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2022** ## **1 Statutory Information** The charity is a charitable company limited by guarantee and is incorporated in the United Kingdom. The company's registered number and registered office address can be found on the Company Information page. ## **2 Accounting Policies** These financial statements are prepared on a going concern basis, under the historical cost convention as modified by the revaluation of certain assets, which are measured at fair value through the Statement of Financial Activities. These 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) ("the Charities SORP"), with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland ("FRS 102"), with the Companies Act 2006 and with the Charities Act 2011. The charity meets the definition of a public benefit entity as set out in FRS 102. The principles adopted in the preparation of the financial statements are set out below. ## a) Going concern The trustees (who are the charitable company's directors for the purposes of company law) have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the charity to continue as a going concern. The trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. In particular the trustees have considered the charity's forecasts and projections and the possible implications should projected income and / or expenditure vary unexpectedly. The trustees have concluded that there is a reasonable expectation that the charity has adequate resources to continue to operate for the foreseeable future. The charity therefore continues to adopt the going concern basis in preparing its financial statements. ## b) Income Income including investment income is recognised in the period in which the charity becomes entitled to receipt, the amount receivable can be measured with reasonable certainty, and receipt is probable. For the most part, income is generally recognised when it is received. Income is only deferred when the charity has to fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be expended in a future period. Income from donations and legacies includes: - i) Recoverable gift aid. This is recognised when the related donation is received. Gift aid that has not been recovered by the balance sheet date is included as a debtor. - ii) Donated goods for distribution to beneficiaries. St Luke’s has also received donations in the form of goods (i.e. food donations) for the purposes of being redistributed via the Foodbank and these are shown as donations in kind. These donations are recognised as income when received at fair value using an estimate of £2.37 per kg. The charity relies on volunteers to carry out many of its activities. However, in accordance with the SORP, the value of these services has not been included in these financial statements as they cannot be reliably measured. Income from charitable activities represents income receivable from goods, services and facilities supplied in furtherance of the charity's charitable objects. It includes income from church retreats and other events and courses. St Luke's received financial donations as a result of its decision to establish a Foodbank but these are unrelated to the Foodbank "service" being provided. Income from other trading activities represents income receivable from activities undertaken to generate funds for the charity. It includes income from properties as detailed in note 5. Investment income represents income generated by the charity's assets (including bank interest]. Page 14 ## **THE ST LUKE'S MISSION INITIATIVE** ## **NOTES TO THE ACCOUNTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2022** ## **2 Accounting Policies (continued)** ## c) Expenditure Expenditure, including irrecoverable VAT, is recognised when it is incurred or, if earlier, when a legal or constructive obligation for a payment arises provided that it is probable that settlement will be required and the amount of the obligation can be measured The charity makes grants to other institutions and individuals to further its charitable objectives. Grants payable are recognised as constructive obligations arise, which is generally when the charity expresses a commitment to the recipient that can be measured reliably and then only to the extent that any conditions associated with the grant are outside of the control of the charity. The cost of raising funds is not significant and has not been separately disclosed. Governance costs, which are included in expenditure on charitable activities but are identified separately in the notes to the accounts, includes costs associated with the independent examination of the financial statements, compliance with constitutional and statutory requirements and any other expenditure incurred on the strategic management of the charity. ## d) Fund accounting - General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity. Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. Restricted funds are donations which are to be used in accordance with specific restrictions imposed by donors; they include donations received from appeals for specific activities or projects. ## e) Tangible fixed assets Items purchased or donated for the charity's own use are capitalised when the cost of purchased items, or the fair value of donated items, is more than £500 and the item is expected to benefit the charity over more than one accounting period. Depreciation is charged on a straight line basis so as to write down the value of each asset to its estimated residual value (if any) over its expected useful economic life. To achieve this objective the following rates of depreciation are charged: Freehold land Is not depreciated (because it is not consumed by use) Freehold buildings Over 50 years after taking account of the building's residual value Leasehold improvements Over the lease term or, if shorter, expected useful life Equipment Over 3 to 7 years The carrying values of tangible fixed assets are reviewed for impairment in periods when events or changes in circumstances indicate that the carrying value may not be recoverable. ## f) Stocks Stocks of donated items held for distribution to beneficiaries are measured at an estimate of fair value. ## g) Pension scheme arrangements The charity operates defined contribution pension schemes for its employees. Obligations for contributions to these schemes are recognised as an expense when the liability arises. The assets of these schemes are held separately from those of the charity in independently administered funds. ## h) Taxation The company is a registered charity; it has taken advantage of the various reliefs from taxation available to charities and no tax is payable on the charity's income. ## i) Exemption from preparing a cashflow statement The charity has taken advantage of an exemption conferred by the Charities SORP and has not prepared a cash flow statement. ## j) Critical accounting estimates and areas of judgement - The trustees do not consider that there are any material sources of estimation or uncertainty at the balance sheet date that could result in a material adjustment to the carrying values of assets and liabilities in the next reporting period. Page 15 ## **THE ST LUKE'S MISSION INITIATIVE** ## **NOTES TO THE ACCOUNTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2022** ## **3 Donations and legacies** |Donations of cash and similar
Donations in kind (Foodbank)
Other grants receivable
Income tax recoverable
Grants Received from:
East End Community Foundation
Canary Wharf Group
London Diocese Fund
Co-Op Local Community Fund
Church Revitatlisation Trust
Riverside Foundation
**4**
**Income from charitable activities**
Church weekend away
Other
**5**
**Income from other trading activities**
Property letting|2022
£
94,598
-
11,216
4,191
110,005
2022
£
-
-
3,141
1,075
1,000
6,000
11,216
2022
£
2,977
575
3,552
2022
£
39,957
39,957|2021
£
84,100
61,635
11,044
4,809| |---|---|---| |||161,588| |||2021
£
9,844
1,200
-
-
-
-| |||11,044| |||2021
£
3,292
725| |||4,017| |||2021
£
28,499| |||28,499| This includes rental income from renting out Flat 1, St Cuthbert's House. The flat itself is owned by the Porter's Trust and is leased by St Luke's on a 5 year term at a peppercorn rent. St Luke's then sub-lets the flat at a commercial rent. The value of the gift in kind has not been included in the accounts as the value of this gift is covered by the rental income. Page 16 ## **THE ST LUKE'S MISSION INITIATIVE** ## **NOTES TO THE ACCOUNTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2022** ## **6 Charitable expenditure** |**a**
**Costs incurred directly on specific activities**
Church of England Contribution
Vicar's expenses
Premise Expenses
Flats Expenses
Parsonage costs
General expenses
Staff training
Services and community events
Depreciation
Sound & vision
Church Weekend Away
Foodbank
Foodbank donations in kind expensed
Grants payable (note 6c)
**b**
**Costs incurred on support & administration**
Governance costs
Independent examiner's fee
Other
General Office costs
Telephone, Internet and IT Costs
Bank fees
Bookkeeping services (including payroll)
**Total expenditure**|2022
£
52,974
750
38,150
10,459
1,843
-
750
8,541
21,062
130
6,102
525
141,286
10,171
151,457
1,980
1,980
764
1,771
181
288
4,985
156,442|2021
£
44,316
150
22,517
8,949
1,631
324
-
2,049
20,203
531
5,920
15,048
63,210| |---|---|---| |||184,848
819| |||185,667| |||1,860| |||1,860
396
2,768
115
-| |||5,139| |||190,805| The fee payable to the independent examiner for preparing and examining the accounts was £1,980 (2021: £1,860). Page 17 ## **THE ST LUKE'S MISSION INITIATIVE** ## **NOTES TO THE ACCOUNTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2022** ## **6 Charitable expenditure (continued)** ## **c Grants payable** |**Grants payable**||| |---|---|---| |Institutions
£
Grants for UK and overseas mission
5,596
Grants for the relief of poverty
1,711
7,307
The comparatives for the previous year are as follows:
Institutions
£
Grants for the relief of poverty
-
The charity's principal grants to institutions comprised:
Operation Mobilisation
Christians Against Poverty
This is GrowTH
London City Mission
Grants to institutions for less than £1,000 each
Gross wages and salaries
Pension costs
**Analysis of staff costs, the cost of key management personnel and trustee remuneration**|Individuals
£
-
2,864
2,864
Individuals
£
819
819
2022
£
2,596
1,500
1,500
1,500
211
7,307
2022
£
4,600
-
4,600|2022
£
5,596
4,575| |||10,171| |||2021
£
819| |||819| |||2021
£
-
-
-
-
-| |||-| |||2021
£
12,199
207| |||12,406| ## **7 Analysis of staff costs, the cost of key management personnel and trustee remuneration** The average monthly number of employees during the year was 0.6 (2021: 0.8). Most of the charity's activities are carried out by volunteers. No staff received salaries at a rate of more than £60,000 per annum. Key management responsible for the day-to-day management of the church was Ed Dix, who received payments of £2,925 (2021: £215) from the charity for reimbursement of expenses incurred in their management role during the year, and was provided with accommodation (which is customary for clergy), the cost of which is disclosed in note 6. He also received a stipend from the Diocese of London and received no other payments from the charity in 2022. Selwyn Cush-Etter also receives a stipend from the Diocese of London and received no other payments from the charity in 2022 other than the reimbursement of expenses for undertaking duties not connected with serving as a trustee. Some of the Church of England Contribution paid to the Diocese is used to help meet the cost of these stipends. These payments are permitted by the charity's governing document. No other Trustees received payments in 2022 (2021: nil) Page 18 ## **THE ST LUKE'S MISSION INITIATIVE** ## **NOTES TO THE ACCOUNTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2022** ## **8 Tangible fixed assets** |Cost
At 1 January 2022
Additions
At 31 December 2022
Accumulated depreciation
At 1 January 2022
Charge for the year
At 31 December 2022
Net book value
At 31 December 2022
At 31 December 2021
**Stock**
Donated goods
For distribution to beneficiaries of foodbank
**Debtors**
**Falling due within one year:**
Trade debtors
Tax recoverable
Amount owed by HMRC
Other debtors
**Cash at Bank and in Hand**
Cash at bank with immediate access
**Creditors: liabilities falling due within one year**
Trade creditors
Other creditors
Accruals|Fixtures,
fittings and
equipment
£
107,530
2,848
110,378
78,528
21,062
99,590
10,788
29,002
2022
£
-
-
2022
£
685
4,558
551
1,550
7,344
2022
£
52,296
52,296
2022
£
73
1,550
1,980
3,603|Total
2022
£
107,530
2,848| |---|---|---| |||110,378| |||78,528
21,062| |||99,590| |||10,788| |||29,002| |||2021
£
525| |||525| |||2021
£
600
4,807
866
1,978| |||8,251| |||2021
£
35,338| |||35,338| |||2021
£
-
1,550
1,860| |||3,410| ## **9 Stock** ## **10 Debtors** ## **11 Cash at Bank and in Hand** ## **12 Creditors: liabilities falling due within one year** Page 19 ## **THE ST LUKE'S MISSION INITIATIVE** ## **NOTES TO THE ACCOUNTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2022** ## **13 Pension commitments** During the year employer’s pension contributions totalling £nil (2021: £207) were payable to defined contribution personal pension schemes. No pension contributions were owing at the balance sheet date (2021: £nil). ## **14 Funds** During the year the movements in the charity's funds were as follows: |_Designated Funds_
Minister's Discretionary Fund
_General Unrestricted Funds_
Total Unrestricted Funds
_Restricted Funds_
Youth Work
Building Fund
Foodbank Fund
Food & Fuel Poverty Fund
Hardship Fund
Aggregate of funds|Opening
balance
2022
£
-
-
65,432
65,432
183
2,981
1,110
-
4,275
69,707|Incoming
resources
2022
£
-
-
145,050
145,050
500
-
-
6,000
2,010
8,510
153,560|Outgoing
resources
2022
£
-
-
(152,746)
(152,746)
(1,071)
-
-
(614)
(2,010)
(3,695)
(156,442)|Transfers
in the year
2022
£
-
-
572
572
388
(960)
(1,110)
1,110
-
(572)
-|Gains and
losses
2022
£
-
-
-
-
-
-
-
-
-
-
-|Closing
balance
2022
£
-| |---|---|---|---|---|---|---| |||||||-
58,308| |||||||58,308| |||||||0.00
2,021
-
6,496
-| |||||||8,517| |||||||66,825| The transfers referred to above were made for the following reasons: - a) Deficit on the Youth Work Fund was cleared from the General Fund - b) Acquisition of an asset from the Building Fund was transferred to the General Fund. - c) Balance of the Foodbank Fund transferred to a new Food & Fuel Poverty Fund in line original purpose towards the creation of a fund tackling broader issues of food poverty, fuel poverty and community hardship. ## **Analysis of net assets by fund** The assets and liabilities of the various funds were as follows: |Tangible fixed assets
Debtors
Cash at bank and in hand
Creditors falling due within one year||General
Designated
funds
funds
£
£
10,788
-
7,344
-
43,779
-
(3,603)
-
58,308
-
Unrestricted Funds|Restricted
funds
£
-
-
8,517
-
8,517|2022
£
10,788
7,344
52,296
(3,603)| |---|---|---|---|---| |||General
funds
£
10,788
7,344
43,779
(3,603)
58,308||| |||||66,825| Page 20 ## **THE ST LUKE'S MISSION INITIATIVE** ## **NOTES TO THE ACCOUNTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2022** ## **14 Funds (continued)** In the previous year the movements in the charity's funds were as follows: |_Designated Funds_
Minister's Discretionary Fund
_General Unrestricted Funds_
Total Unrestricted Funds
_Restricted Funds_
Youth Work
Building Fund
Foodbank Coordinator Fund
Foodbank Fund
Aggregate of funds|Opening
balance
2021
£
-
-
58,063
58,063
250
2,981
4,392
722
8,345
66,408|Incoming
resources
2021
£
-
-
183,060
183,060
-
-
9,844
1,200
11,044
194,104|Outgoing
resources
2021
£
(169)
(169)
(175,522)
(175,691)
(67)
-
(14,236)
(812)
(15,114)
(190,805)|Transfers
in the year
2021
£
169
169
(169)
-
-
-
-
-
-
-|Gains and
losses
2021
£
-
-
-
-
-
-
-
-
-
-|Closing
balance
2021
£
-| |---|---|---|---|---|---|---| |||||||-
65,432| |||||||65,432| |||||||183
2,981
-
1,110| |||||||4,275| |||||||69,707| ## **Analysis of net assets by fund** In the previous year, the assets and liabilities of the various funds were as follows: |Tangible fixed assets
Stock
Debtors
Cash at bank and in hand
Creditors falling due within one year||General
Designated
funds
funds
£
£
29,002
-
525
-
8,251
-
31,063
-
(3,410)
-
65,432
-
Unrestricted Funds|Restricted
funds
£
-
-
-
4,275
-
4,275|2021
£
29,002
525
8,251
35,338
(3,410)| |---|---|---|---|---| |||General
funds
£
29,002
525
8,251
31,063
(3,410)
65,432||| |||||69,707| ## _Designated Funds_ The Minister's Discretionary Fund was created for the alleviation of hardship of church members ## _Restricted Funds_ The Youth work Fund relates to a donation received specifically for the Youth work of the church The Building Fund relates to monies donated for use for the building and equipping of the new church building The Foodbank Coordinator Fund relates to a donation received to cover the cost of a Foodbank coordinator The Foodbank Fund relates to donations received to cover general costs related to the Foodbank, which closed in 2021. The Food & Fuel Poverty Fund relates to donations received to tackle hardship in the community and carry on the work of the foodbank that previously operated from the church. The Hardship Fund relates to a specific donation received to assist a member of the congregation. Page 21 ## **THE ST LUKE'S MISSION INITIATIVE** ## **NOTES TO THE ACCOUNTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2022** - **15 Transactions with related parties** During the year the charity: - a) received donations totalling £36,414 (2021: £23,826) from related parties (which includes trustees, any other members of key management and anyone closely connected to them). - b) paid grants totalling £240 to Abraham Dosunmu, who is a trustee, towards ministry in Nigeria. Except as disclosed in note 7 'Analysis of staff costs', there have been no other transactions with related parties during the year. ## **16 Members** Each member of the company commits to contribute if the charity is wound up an amount of £1. Page 22 ## **THE ST LUKE'S MISSION INITIATIVE** ## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES WITH COMPARATIVES** ## **FOR THE YEAR ENDED 31 DECEMBER 2022** |Note
**INCOME AND ENDOWMENTS FROM:**
Donations and legacies
3
Charitable activities
4
Other trading activities
5
Investments
-
**Total income and endowments**
**EXPENDITURE ON:**
Charitable activities:
6
**Total Expenditure**
**Net income/(expenditure)**
**Transfers between funds**
14
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
**Total funds carried forward**
14||General
Designated
2022
2022
£
£
101,495
-
3,552
-
39,957
-
46
-
145,050
-
152,746
-
152,746
-
(7,697)
-
572
-
(7,124)
-
65,432
-
58,308
-
Unrestricted funds|Restricted
2022
£
8,510
-
-
-
8,510
3,695
3,695
4,815
(572)
4,243
4,275
8,517|Total
2022
£
110,005
3,552
39,957
46
153,560
156,442
156,442
(2,882)
-
(2,882)
69,707
66,825|||General
Designated
2021
2021
£
£
150,544
-
4,017
-
28,499
-
-
-
183,060
-
175,522
169
175,522
169
7,538
(169)
(169)
169
7,369
-
58,063
-
65,432
-
Unrestricted funds|Restricted
2021
£
11,044
-
-
-
11,044
15,114
15,114
(4,070)
-
(4,070)
8,345
4,275|Total
2021
£
161,588
4,017
28,499
-
194,104
190,805
190,805
3,299
-
3,299
66,408
69,707| |---|---|---|---|---|---|---|---|---|---| Page 23