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2022-03-31-accounts

WOODGRANGE BAPTIST CHURCH

31 March 2022

Annual Report and Financial Statements

Charity Registration no 1151805

Tandem Accounting Chartered Accountants 17 Heathville Road London N19 3AL

WOODGRANGE BAPTIST CHURCH

Annual Report and Financial Statements 2022 Contents

Page
Legal and administrative information 2
Annual Report of the Church Executive 3
Independent examiner’s report to the Church Executive 7
Statement of financial activities 8
Balance sheet 9
Notes to the financial statements 10

1

WOODGRANGE BAPTIST CHURCH

Legal & Administrative Information For the year ended 31 March 2022

Charity Name
Charity Registration no
Principal Address
Governing Document
Objectives
Affiliations
Holding Trustee
Managing Trustees
Key Management Personnel
Bankers
Independent examiner		 Woodgrange Baptist Church. The Church was established in September 1882
1151805.
Woodgrange Baptist Church, Romford Road, London, E7 8AA
Trust Deed dated 13 June 1881 and The Church Constitution, adopted on 9 December 2009.
The principal purpose of the Church is the advancement of the Christian Faith according to the
principles of the Baptist denomination. The Church may also advance education and carry out
other charitable purposes in the United Kingdom and/or other parts of the world.
The church is a member of the Baptist Union of Great Britain and the London Baptist Association
London Baptist Property Board Limited
The Managing Trustees who served during the year or who were serving at the date of this report
were:
Minister
Rev Bruce Stokes
Retired April 2021
Rev Timothy John West
Elected 23 May 2022
Deacons
Laura Ansah
Elected 2 June 2019, resigned 4 June 2023
Ronald Christian
Resigned June 2022
Anne Collard
Re-elected 2 June 2019, resigned 4 June 2023
Geraldine Corcho
Resigned June 2021
Suzy De Freitas
Resigned June 2021
Eileen Giddings
Re-elected June 2022
Tamara King
Resigned June 2021
Andrew Mathias
Resigned June 2022
Dorothy Mbiyu
Resigned June 2022
Anne Mitchell
Re-elected 2 June 2019, resigned 4 June 2023
Sandra Ramsay
Re-elected 2 June 2019, resigned 4 June 2023
Cynthia Gowdie
Elected 20 June 2021
Esther Fabil
Elected 20 June 2021
Sonia Smith
Elected 19 June 2022
William Sesay
Elected 19 June 2022, resigned February 2023
Tanya Noah
Elected 4 June 2023
Matt Ceaser
Elected 4 June 2023
Arash Kish
Elected 4 June 2023
Those in charge of planning, directing, controlling, running and operating the Charity, including
those members of staff who are the senior management personnel to whom the trustees have
delegated significant authority or responsibility in the day-to-day running of the charity are the
Managing Trustees
HSBC
59-60 The Mall
Stratford
London E15 1XA
John Helm ACA
Tandem Accounting
17 Heathville Road
London N19 3AL

2

WOODGRANGE BAPTIST CHURCH

Annual Report of the Church Executive For the year ended 31 March 2022

The Church Executive submits its annual report and the financial statements of Woodgrange Baptist Church (“the Church”) for the year ended 31 March 2022. The financial statements have been prepared in the format prescribed by the Statement of Recommended Practice: Accounting and Reporting by Charities (SORP2019 (FRS102)) and the Financial Reporting Standard 102. The legal and administrative information set out earlier in this document forms part of this report.

1. Structure, Governance & Management

1.1 Trustees

The Church has two classes of trustees as follows:

1.1.1 Managing Trustees

The Managing Trustees of the Church are responsible for the day to day management of the Church’s business in accordance with the Church’s objects. The Managing Trustees are the members of the Church Executive elected by the Church members’ meeting. The Church Executive consists of all the deacons, the church secretary, the church treasurer, with the minister as ex officio member. Deacons will normally serve a term of office of three years. Deacons are elected at the church AGM annually (one third at a time). Ministers are appointed at Special Church Meetings and serve without fixed term. They can only be removed at Special Church Meetings.

The Church Executive meets approximately 10 times per annum to discuss a full range of matters relating to finance, fabric, general administration, the implementation of the church governing document, and responsibility for the keeping of the church membership roll.

None of the Church’s officers, with the exception of the Minister, receives remuneration. Anne Mitchell has received payment for her work with the ladies’ fitness club in previous years (see note 16 on page 23), although these sessions did not take place in 2021-22 and Sandra Ramsay is paid for her work as church administrator, but both services are provided separately from their roles as trustees.

The induction process for any church member newly-appointed to the Church Executive comprises an initial meeting with the Minister and receipt of copies of:

1.1.2 Holding Trustee

The holding trustee is responsible for holding the Church’s land and buildings on trust for the benefit of the church and ensuring that the use of the land and buildings is as envisaged by the Trust Deed. The holding trustee is appointed by the Members without fixed term and can be removed by the Members.

1.2 Church Members

Church Membership is open to those who:

Church Members share in the responsibility for the finances, administration, maintenance and activities of the church and elect the Church Executive. Church Members meet regularly each year for business meetings, and receive reports from the Church Executive.

The Church would not be able to function without the considerable support of volunteer church members in all areas of church life. The Church Executive wishes to express its sincere thanks for their considerable contributions.

2. Activities & Strategies

Woodgrange Baptist Church is a vibrant, urban, multi-ethnic, evangelical congregation with a membership of around 85. On a wider front the Church is in membership with the London Baptist Association and the Baptist Union of Great Britain. The Church Executive has given due regard to the Charity Commissions’ guidance on public benefit. During the year the Church continued to carry out the following activities in order to promote the Gospel in the local neighbourhood and beyond:

3

WOODGRANGE BAPTIST CHURCH

Annual Report of the Church Executive For the year ended 31 March 2022

3. Achievements and Performance

For the duration of the year activities had to be restricted. ‘In person’ services were stopped in March 2021, and the church moved to meeting online via Zoom. The following weekday activities were closed:

The church continued to operate the Thursday Foodbank and Tuesday Winter Food Kitchen (the latter from October until March). Demand for the foodbank grew exponentially, with numbers rising from 20-a-week to 100-a-week. A substantial number of weekly referrals were made by the Newham Food Alliance, a rapidly-formed co-ordinating organisation, and some additional food was provided by the Felix Project, St. Mark’s Church Forest Gate, and a number of generous individuals. Two grants were also provided through the Council which helped with the purchase of staple foods for the clients.

Preparing the building for groups to return (policies and procedures, signage etc) took some time, and the church opened for worship in the September, allowing, where appropriate, user groups back in at the same time. This only lasted for two months. The building was closed again during November, opened briefly in December, and then closed until the beginning of April. The disruption was felt by everyone.

During the periods of lockdown the church met on Zoom, and when meeting ‘in person’ the services were streamed on YouTube. Those without the necessary technology received written news updates, and sermons were also sent out to a WhatsApp group of well over 100. Homegroups tended to be better attended as Zoom obviated the need for travel. Many ‘doorstep’ pastoral visits were made during the Summer months and phone-calls during the Winter.

6 members died during the year, and by March 2022 the membership stood at 78. There were no baptisms or weddings during the period.

The minister, who retired at the end of April 2022, invested considerable time in the pastoral support of older, more isolated members of the congregation. With both the caretaker and administrator/community worker furloughed for most of the year, he took over the running of the foodbank and various other practical chores. He also prepared the trustees for the coming period of pastoral transition.

4. Financial Review

4.1 Financial Activity and Financial Position

The Statement of Financial Activities and Balance Sheet can be found on pages 8 and 9 respectively. The Church’s funds increased by £56,114 (2021: £61,845). The balance sheet shows total net assets of £3,364,735 (2021: £3,308,621).

Included in total funds are amounts totalling £42,811 (2021: £34,955) which are restricted. These monies have either been raised for, and their use restricted to, specific purposes, or they comprise donations subject to donor-imposed conditions. Full details of these restricted funds can be found in note 12 to the accounts together with an analysis of movements in the year.

4

WOODGRANGE BAPTIST CHURCH

Annual Report of the Church Executive For the year ended 31 March 2022

4.2 Reserves Policy

The Church Executive has examined the requirements for free reserves, i.e. those unrestricted funds not invested in tangible fixed assets. The Church Executive considers that, given the nature of the Church’s work, free reserves should be equivalent to approximately 6 months’ routine general fund expenditure, plus committed future expenditure on other projects, where funds permit. The Church Executive is of the opinion that this provides sufficient flexibility to cover temporary shortfalls in incoming resources and will allow the church to cope and respond to unforeseen emergencies whilst specific action plans are implemented. At 31 March 2022 the Church had net free reserves of £1,405,122 (2021: £1,366,203) as follows:

Total reserves
Less: endowment funds
Less: restricted funds
Less: unrestricted fixed assets used for the continuing work of the church
Add: creditors due in more than one year
Add: provisions
Free reserves
Free reserves requirement:
6 month’s budgeted routine expenditure
Anticipated expenditure on the church building
Free reserves		 2022 2021
£
3,308,621
(730
(34,955
(1,980,250
49,017
24,500


)
)
)
£
3,364,735
(730)

(42,811)

(1,958,000)

21,728
20,200
1,366,203
1,405,122
70,000
--
70,000
--
70,000
70,000

4.3 Investment Policy

The church maintains a small portfolio of properties to provide a rental income. Any funds in excess of day to day requirements are placed on interest bearing deposit.

4.4 Grants Policy

The Church makes grants to support missionary endeavours both in the UK and abroad. The policy of the church is to give grants on the basis that they are subject to annual review and only renewed on the basis of meeting set criteria. The missionary societies regularly supported include BMS World Mission (www.bmsworldmission.org), the BUGB Home Mission Fund (www.baptist.org.uk/homemission). In addition the Church makes anonymous love gifts, at the discretion of the minister and elders, to those in need within the Church fellowship. For details of grants made, see note 4.

5. Going Concern Review

At time of preparation of this financial statement, in January 2022, the Covid-19 pandemic, which had such a dramatic effect on life in the United Kingdom from early 2021 onwards, was still ongoing but with much less destructive impact on life than previously. Thankfully, no further lockdowns were required after March 2022 and Woodgrange church life maintained a level of normalcy, with restrictions. Other groups, who provide a good amount of the church’s income, were also able to meet regularly in the church building, and this allowed church income to stabilise. With this and the faithful giving of the Woodgrange congregation throughout the pandemic, Woodgrange Baptist Church finances have remained solid and allowed Woodgrange to give faithfully generously without encroaching on the reserve funds maintained in case of serious financial difficulty. For these reasons Woodgrange Baptist Church remains a going concern and has sufficient funds to remain so for at least the 12 months following this report.

6. Plans for Future Periods

The church entered a further period of change because, as has been mentioned above, the current minister retired in April 2022. The most immediate plans involve maintaining the church’s current community work and serving its congregation as best possible while waiting for the pandemic lockdown restrictions to ease. The trustees are also currently taking the time to assess past work and prioritise for the future, while being aware that the next minister, when he takes up the post, will need to have an important contribution to the church’s future plans.

5

WOODGRANGE BAPTIST CHURCH

Annual Report of the Church Executive For the year ended 31 March 2022

7. Responsibilities of Trustees for the Financial Statements

The Church Executive is responsible for preparing the report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice. Charity law in England and Wales requires the Church Executive to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period.

In preparing those financial statements, the Church Executive is required to:

The Church Executive is responsible for keeping adequate accounting records which disclose with reasonable accuracy at any time the financial position of the charity and enables them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the governing document. The Church Executive is also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The Church Executive is responsible for the maintenance and integrity of the charity and financial information included in the charity’s website.

8. Approval

The report of the Church Executive was approved by the Church Executive on 16 July 2023 and signed on its behalf by:

Timothy West Minister

6

WOODGRANGE BAPTIST CHURCH

Report of the Independent Examiner to the Church Executive of Woodgrange Baptist Church

I report on the financial statements of Woodgrange Baptist Church for the year ended 31 March 2022, set out on pages 8 to 20.

This report is made solely to the Church Executive in accordance with section 145 of the Charities Act 2011 (“the Act”). My independent examination has been undertaken so that I might state to the Church Executive those matters I am required to state to them in an independent examiner’s report and for no other purpose. To the fullest extent permitted by the law, I do not accept responsibility to anyone other than the Trust and the Church Executive for my independent examination, for this report, or the opinions I have formed.

RESPECTIVE RESPONSIBILITIES OF CHURCH EXECUTIVE AND EXAMINER

The Church Executive considers that an audit is not required for this year (under section 144(2) of the Act) and that an independent examination is needed.

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 Commissioners. 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 Church Executive concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not express an audit opinion on the accounts.

INDEPENDENT EXAMINER’S STATEMENT

In the course of my examination, no matter has come to my attention:

  1. which gives me reasonable cause to believe that in, any material respect, the trustees have not met the requirements to ensure that:

  2. proper accounting records are kept (in accordance with section 130 of the Act); and

  3. accounts are prepared which agree with the accounting records and comply with the accounting requirements of the Act; or

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

John Helm ACA 16 July 2023

7

WOODGRANGE BAPTIST CHURCH

Statement of Financial Activities For the year ended 31 March 2022

Note
Income from:
2
Donations and legacies
Charitable activities
Other trading activities
Investments
Total Income
Expenditure on:
Raising funds
3
Charitable activities
4
Total Expenditure
Net gains/(losses) on investments
Net income

Transfers between funds
Other recognised gains and losses

Net movement in funds
Total funds brought forward

Total funds carried forward
 Unrestricted
Funds
2022
£

70,822
-
76,157
13		 Restricted
Funds
2022
£
12,849
-
-
-
12,849
-
4,993
4,993
-
7,856
-
-
7,856
34,955
42,811		 Endowment Unrestricted
Funds
2021
£
73,925
-
15,985
25,039		 Restricted
Funds
2021
£
21,337
-
-
-
21,337
-
6,772
6,772
-
14,565
-
-
14,565
20,390
34,955		 Endowment
Funds
2021
£
-
-
-
-
0
-
-
0
-
0
-
-
0
730
730		 Total
2021
£
95,263
-
15,985
25,039
Funds Total
2022 2022
£ £
- 83,671
- -
- 76,157
- 13
146,992 114,949 136,287
0 159,841
7,380
130,404
137,784
39,050
48,258
-
-
48,258
3,272,936
3,321,194		 6,601
137,018		 6,601
143,791
- 7,380
- 135,397
143,619 150,392
0 142,777
75,950 75,950
- 39,050
47,280 61,845
0 56,114
-
-		 -
-
- -
- -
47,280
3,225,656		 61,845
3,246,776
0 56,114
730 3,308,621
3,272,936 3,308,621
730 3,364,735

8

WOODGRANGE BAPTIST CHURCH

Balance Sheet As at 31 March 2022

Note
Fixed Assets
Tangible Assets
5
Investments
6
Current Assets
Debtors
7
Cash At Bank And In Hand
Creditors - Amounts Falling Due Within
One Year
8
Net Current Assets
Creditors - Amounts Falling Due After
More Than One Year
9
Provisions
10
Net Assets
Represented by:
Endowment Funds
11
Restricted Income Funds
12
Unrestricted Income Funds
Total Funds		 Unrestricted
Funds
2022
£
1,958,000
1,340,000
3,298,000
19,646
75,969
95,615
30,493
65,122
21,728
20,200
3,321,194
-
-
3,321,194
3,321,194		 Restricted
Funds
2022
£
-
-
0
-
42,811
42,811
-
42,811
-
-
42,811
-
42,811
-
42,811		 Endowment Endowment Total
2021
£
1,980,250
1,300,950
















Funds Total
2022 2022
£ £
- 1,958,000
- 1,340,000
3,281,200
10,233
127,808
0 3,298,000
- 19,646
730 119,510
138,041
37,103
730 139,156
- 30,493
100,938
730 108,663
49,017
24,500
- 21,728
- 20,200
3,308,621
730 3,364,735
730
34,955
3,272,936
730 730
- 42,811
- 3,321,194
3,308,621
730 3,364,735

The financial statements were approved by the Church Executive on 16 July 2023 and signed on its behalf by:

Cynthia Gowdie Treasurer

9

WOODGRANGE BAPTIST CHURCH

Notes to the Financial Statements For the year ended 31 March 2022

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:

Basis of accounting

The financial statements have been prepared under the Charities Act 2011 and in accordance with the Charities Statement of Recommended Practice (Charities SORP (FRS 102)) and Financial Reporting Standard 102 (FRS 102). The financial statements are drawn up on the historical cost basis of accounting except for the revaluation of freehold land and buildings which are shown at market value.

The financial statements include all transactions, assets and liabilities for which the Church is responsible in law. They do not include the accounts of church groups that owe an affiliation to another body or those that are informal gatherings of church members.

The Church meets the definition of a public benefit entity under FRS 102.

Going Concern

There are no material uncertainties about the charity’s ability to continue as a going concern and accordingly the accounts have been drawn up on a going concern basis.

Income recognition

Voluntary income and donations (including legacies) are accounted for once the Charity has entitlement to the income, it is probable the income will be received and the amount of income receivable can be reliably measured. Income from the recovery of tax on gift aided donations is accounted for in the period to which the relevant donation is received. Grant income is recognised on a receivable basis.

The income from trading activities includes rental income from the letting of church premises and freehold land and buildings which is accounted for when earned. It is shown gross, with the associated costs included in fundraising costs.

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Church; this is normally upon notification of the interest paid or payable by the bank.

Expenditure recognition

Expenditure is accrued as soon as a liability is considered probable, and the amount of obligation can be measured reliably. Longer term liabilities are discounted to present value. The Church is not registered for VAT and accordingly expenditure includes VAT where appropriate.

Charitable expenditure includes those costs in fulfilling the Church’s principal objects, as outlined in the Report of the Church. These include grants payable and governance costs:

The church pays pension contributions for the Ministers into the Baptist Pension Scheme, a final salary defined benefit scheme for contributions until 31 December 2011 and a defined contribution scheme for contributions made thereafter. The scheme is a multi-employer scheme and it is not possible to identify the assets and liabilities of the scheme which are attributable to the church. The scheme is therefore accounted for as a defined contribution scheme, with contributions payable to the scheme being accounted for on an accruals basis. In addition, the church currently pays contributions towards a deficit on the defined benefit scheme. Section 28.11A of FRS 102 requires agreed deficit recovery payments to be recognised as a liability. The deficit, discounted to present value, is fully provided in these accounts and the charge to the income and expenditure account, which is included in the total pension cost, is the employer contributions payable as adjusted by the movement in the discounted provision.

Rentals under operating leases are charged as incurred over the term of the lease.

10

WOODGRANGE BAPTIST CHURCH

Notes to the Financial Statements For the year ended 31 March 2022

1. Accounting Policies (continued)

Tangible Fixed Assets

The church land and buildings and the church manse are stated at valuation less accumulated depreciation. They will be revalued on a five yearly basis. The next valuation will take place for the year ended 31 March 2023.

The cost of furniture, fittings and equipment, less any expected residual value, is depreciated on a straight line basis over the effective useful life of the asset, which has been estimated as three years.

Investments

Investment properties are stated at market value and revalued every five years. Realised and unrealised gains and losses on investments are reflected through the Statement of Financial Activities. An in-house review is performed annually based on information from local house price changes.

Debtors

Debtors are included at the settlement amount due. Prepayments are valued at the amount prepaid.

Cash at bank and in hand

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of opening of the deposit.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation arising from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are recognised at their settlement amount. Provisions have been calculated at the best estimate of the settlement amount and discounted to present value at the reporting date.

Loans

The Church’s loans with the London Baptist Property Board qualify as basic financial instruments and are classified as concessionary loans. Concessionary loans are initially recognised at transaction value and subsequently measured at their settlement value.

Fund accounting

The funds held by the charity are either:

11

WOODGRANGE BAPTIST CHURCH

Notes to the Financial Statements For the year ended 31 March 2022

2. Income

Unrestricted
Funds
2022
£
Donations & legacies
Offerings and donations
57,564
Income tax reclaimed
11,263
Grants received
1,995
70,822
Other trading income
Lettings income
20,738
Other income
55,419
76,157
Investment income
Bank Interest
13
Rent
-
13
146,992		 Restricted
Funds
2022
£
6,296
-
6,553
12,849
-
-
0
-
-
0
12,849		 Total
2021
£
65,318
7,636
22,309
Total
2022
£
63,860
11,263
8,548
95,263
15,985
-
83,671
20,738
55,419
15,985
74
24,965
76,157
13
-
25,039
13
136,287
159,841

The church operates a foodbank in conjunction with Churches Foodbank. During the year 3,950 (2021: 662) food parcels with an average value of £18.50 were provided to individuals or families (total value approx. £73,000), with the food having been donated to the church or purchased as described on page 4.

The following grants are in respect of Government funded schemes:

3. Expenditure on Raising Funds

3. Expenditure on Raising Funds
Unrestricted
Funds
2022
£
Repairs, maintenance, equipment & cleaning
869
Gas & electricity
12
Council tax
3,108
Water
1,914
Insurance
513
Loan interest (refurbishment)
964
7,380		 Restricted
Funds
2022
£
-
-
-
-
-
-
0		 Total
2021
£
1,062
406
186
1,831
1,929
1,187
Total
2022
£
869
12
3,108
1,914
513
964
6,601
7,380

12

WOODGRANGE BAPTIST CHURCH

Notes to the Financial Statements For the year ended 31 March 2022

4. Resources Expended – Charitable Activities

Provision of Minister
Gross salary & Employer’s National Insurance
Pension contributions (see note below)
Telephone
Minister expenses
Council Tax
Manse heat & light
Manse maintenance & cleaning
Church Life & Outreach
Advertising
Evangelism & special events
Community trips, outings & retreats
Books, magazines & media
Youth work
Training
Organisations & events
Foodbank
Food & catering
Music
Speaker’s fees
Memberships & Licences
Gifts to individuals and organisations (see note below)
Other
Office Costs
Support staff gross salary & Employer’s National Insurance
Support staff pension contributions
Printing, stationery, postage & consumables
Software
Small equipment purchases
Professional fees
Pension administration charge
Other
Provision of Church building and facilities
Gross salaries
Heat & light
Water
Insurance
Repairs & maintenance
Loan interest (church refurbishment)
Cleaning (incl salaries)
Professional fees
Depreciation: Church fixtures, fittings & equipment
Depreciation: Church buildings
Other
Governance
Independent examination/Audit
Trustee expenses		 Unrestricted
Funds
2022
£
2,822
429
748
-
938
182
17,294
22,413
352
42
-
219
-
-
-
21
61
-
1,618
1,218
16,530
307
20,368
13,455
983
715
126
-
464
789
137
16,669
7,800
7,250
3,325
6,721
11,338
824
9,092
-
-
22,250
922
69,522
1,432
-
1,432
130,404		 Restricted
Funds
2022
£
-
-
-
-
-
-
-
0
-
160
-
-
-
-
-
4,558
-
-
-
-
275
-
4,993
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
0
-
-
0
4,993		 Total
2021
£
32,620
(9,439)
427
37
1,230
1,080
-
Total
2022
£
2,822
429
748
-
938
182
17,294
25,955
528
160
-
121
-
184
455
6,537
-
834
-
1,289
7,875
105
22,413
352
202
-
219
-
-
-
4,579
61
-
1,618
1,218
16,805
307
18,088
12,768
983
60
144
-
1,360
2,230
(26)
25,361
13,455
983
715
126
-
464
789
137
17,519
7,800
3,985
1,038
5,800
32,641
1,516
5,642
-
-
22,250
516
16,669
7,800
7,250
3,325
6,721
11,338
824
9,092
-
-
22,250
922
81,188
1,040
-
69,522
1,432
-
1,040
1,432
143,790
135,397

13

WOODGRANGE BAPTIST CHURCH

Notes to the Financial Statements For the year ended 31 March 2022

4. Expenditure on Charitable Activities (continued)

4a. Gifts to Individuals and organisations


Gifts to individuals:
Gifts to organisations:
BUGB Home Mission
BMS World Mission
LBA Home Mission		 Unrestricted
Funds
2022
£
Restricted
Funds
2022
£
1,530
275
-
-
7,500
-
7,500
-
15,000
0
16,530
275		 Total
2021
£
300
7,500
75
-
7,575
7,875
Total
2022
£
1,805
-
7,500
7,500
15,000
16,805

4b. Staff costs

Included within Expenditure on Charitable Activities are the following staff costs:
Gross salaries
Social security costs
Employer’s Annual Allowance
Pension contributions - current
Pension contributions – movement on deficit provision – see note 10
25,488
Of which the following salaries and pension contributions were in relation to Key Management
Personnel:
Gross salaries
Pension contributions - current
Pension contributions – movement on deficit provision – see note 10
The average number of employees during the year:
Full time workers
Part time workers		 2022 2021
£ £
25,054 55,131
924 3,839
(924) (3,839)

1,183
3,344
228 (11,801)
26,465 46,674
2,822 33,104
2,362
228 (11,801)
2022 2021
Number Number
1 1
3 3

The average number of employees during the year was 4 (2021: 4), being 1 full time minister (2021: 1) 1 part time caretaker (2021: 1), 1 part time administrator (2021: nil) and 1 part time cleaner (2021: 1). No employee received emoluments in excess of £60,000 during the year.

One trustee received £nil (2021 £4,447) in reimbursement for expenditure (including building repairs and maintenance, manse heat and light, services, church food bank supplies, small equipment purchases, office supplies and advertising) incurred in the normal course of church business. One other trustee received £nil (2021: £115) in reimbursement for expenditure (including hygiene supplies and a minister’s anniversary gift).

14

WOODGRANGE BAPTIST CHURCH

Notes to the Financial Statements For the year ended 31 March 2022

5. Tangible Fixed Assets


Cost
At 1 April 2021
Additions
Disposals
At 31 March 2022
Depreciation
At 1 April 2021
Charge For Year
Disposals
At 31 March 2022
Net Book Value
At 31 March 2022
At 31 March 2021		 Freehold
land &
buildings
£
Fixtures,
fittings &
equipment
£
2,225,000
14,373
-
-
-
-
2,225,000
14,373
244,750
14,373
22,250
-
-
-
267,000
14,373
1,958,000
0
1,980,250
0
Total
£
2,239,373
-
-
2,239,373
259,123
22,250
-
281,373
1,958,000
1,980,250

All of the fixed assets are used for charitable purposes. All properties are included at valuation. Properties are revalued on a 5 yearly basis and the next valuation is due on 31 March 2023.

The Church’s functional freehold properties are:

6. Fixed Asset Investments

Investment properties
At 1 April
Revaluation
Disposals/redemptions
At 31 March		 2022
£		 2021
£
1,225,000
-
-
1,300,950
39,050
-
1,225,000
1,340,000

The church’s investment properties are:

The valuation was undertaken by the trustees with reference to the average price change for flats in Newham, as published by HM Land Registry in its House Pricing Index data.

15

WOODGRANGE BAPTIST CHURCH

Notes to the Financial Statements For the year ended 31 March 2022

7. Debtors

7. Debtors
Prepayments
Lettings income receivable
Gift Aid Receivable		 2022 2021
£
6,877
1,071
2,285
10,233
£
7,788
3,275
8,583
19,646

8. Creditors - Amounts Falling Due Within One Year

Loan 1 - London Baptist Property Board – concessionary loan
Loan 2 - London Baptist Property Board – concessionary loan
Other creditors including taxation and social security
Accruals		 2022 2021
£
24,712
8,400
1,991
2,000
37,103
£
18,680
8,400
1,613
1,800
30,493

See note 9 for details of the loan with the London Baptist Property Board.

9. Creditors - Amounts Falling Due After More Than One Year

Loan 1 - London Baptist Property Board – concessionary loan
Loan 2 - London Baptist Property Board – concessionary loan		 2022 2021
£
18,844
30,173
49,017
£
-
21,728
21,728

The terms of the loans are:

16

WOODGRANGE BAPTIST CHURCH

Notes to the Financial Statements For the year ended 31 March 2022

10. Provisions

Balance brought forward
Deficit contributions made in the year
Unwinding of discount
Balance carried forward		 2022 2021
£
39,646
(3,345)
(11,801)
24,500
£
24,500
(4,528)

228
20,200

A provision has been included for deficit contributions due to the Baptist Pension Scheme. The current deficit reduction plan requires contributions to be made until June 2026. The provision has been calculated based on the current deficit contributions, assuming they will increase by 3.3% inflation per annum and the total liability has been discounted to present value at 2.0%.

More details of the pension provision can be found in note 13.

11. Endowment Funds

JH French Settlement At 1
April
2021
£
730		 Income
£
Expenditure
£
-
-		 Income
£
Expenditure
£
-
-		 Transfers
£
-		 Gains/
(losses)
£
-		 At 31
March
2022
£
730

JH French Settlement . A former minister (J H French) in the 1920’s bequeathed some funds to the church. The capital is not expendable. The dividends are to be applied "for the upkeep of the buildings"

12. Restricted Funds

12. Restricted Funds
12a: Current Year
Near Neighbours project
Baptist Missionary Society
Good News
Music project
Football ministry
Christmas Offering 2022 – Christian
Solidary Worldwide
A Place To Be (AP2B)
East End Community Forum grant
Foodbank
BMS Harvest Appeal
Stokes Farewell
Fitness class
Nigeria Appeal
Building Fund		 At 1
April
2021
£
2,550
20
21
5,760
1
0
2,186
63
13,596
0
0
1,148
0
9,610
34,955		 Income
£
Expenditure
£
-
-
225
(160)
-
960
-
-
-
45
-
-
-
11,344
(4,558)
-
275
(275)
-
-
-
-
-
-
12,849
(4,993)		 Transfers
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
0		 Gains/
(losses)
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
0		 At 31
March
2022
£
2,550
85
21
6,720
1
45
2,186
63
20,382
0
0
1,148
0
9,610
42,811

17

WOODGRANGE BAPTIST CHURCH

Notes to the Financial Statements For the year ended 31 March 2022

12. Restricted Funds (continued)

12b: Prior Year
Near Neighbours project
Baptist Missionary Society
Good News
Music project
Football ministry
A Place To Be (AP2B)
East End Community Forum grant
Foodbank
BMS Harvest Appeal
Fitness class
Building Fund		 At 1
April
2020
£
2,550
0
21
4,800
1
2,186
-
0
74
1,148
9,610
20,390		 Income
£
Expenditure
£
-
-
180
(160)
-
960
-
-
-
-
-
4,840
(4,777)
15,357
(1,761)
-
(74)
-
-
-
-
21,337
(6,772)		 Income
£
Expenditure
£
-
-
180
(160)
-
960
-
-
-
-
-
4,840
(4,777)
15,357
(1,761)
-
(74)
-
-
-
-
21,337
(6,772)		 Transfers
£
-
-
-
-
-
-
-
-
-
-
-
0		 Gains/
(losses)
£
-
-
-
-
-
-
-
-
-
-
-
0		 At 31
March
2021
£
2,550
20
21
5,760
1
2,186
63
13,596
0
1,148
9,610
34,955

Descriptions of the main restricted funds are as follows:

Near Neighbours Project. Funds provided by the Church Urban Fund specifically for the running of an inter-cultural cooking project, designed to raise awareness and strengthen friendships between people of different Faith groups.

Baptist Missionary Society. This fund is used to collect any money donated to BMS as part of the Birthday Scheme and is sent off to Baptist Missionary Society roughly quarterly.

Good News. This fund contains an ongoing donation to allow the purchase of the Good News newspaper.

Music Project. A member of the church gave money regularly to allow the church to set up some sort of music project, e.g. a choir, for young people within the church.

Football Ministry. was a grant awarded by IBM to our football academy several years ago to support the work of the church’s weekly Kick London football school.

Christmas Offering 2022 – Christian Solidary Worldwide. This offering received at our Christmas day service is gifted to a particular charity. This time this will be paid to Christian Solidary Worldwide.

A Place To Be (AP2B). Funds raised specifically for the equipping of a space in the church building for use by the youth group. The grant was intended to be used to give the church youth a stake in the decoration.

East End Community Forum grant . Grant for the church’s foodbank.

Foodbank. Funds raised specifically for the operation of a foodbank by the church.

BMS Harvest Appeal. This is a regular gift every Harvest - the gift goes toward the Baptist Missionary Society's focus area for Harvest. In 2022 that was Ghusel village in Nepal.

Stokes Farewell. Funds raised specifically as the main farewell gift for Rev. Bruce Stokes, who retired in April 2022 after 16 years of service to WBC.

Fitness class. The weekly Ladies Fitness Class effectively runs at a loss but helps to support ladies in our community who for religious or cultural reasons find it easier to take part in less public fitness sessions that are run by a female fitness instructor. The ladies who attend pay a subscription fee, but a grant was received a few years ago that partially subsidises the club, and the fund is slowly reducing year on year.

Building Fund. This fund was set up when it was discovered that the fascias on the bricks on the front of the main church buildings were degrading and also that the tower on the south-eastern corner of the church would need to be effectively rebuilt. Both repairs will be very expensive, and we are currently waiting on the sale of 146 Claremont Road in order to carry out the work, so this fund will remain in place until that is complete, but will be used to contribute to the cost.

18

WOODGRANGE BAPTIST CHURCH

Notes to the Financial Statements For the year ended 31 March 2022

13. Pensions

The Church is an employer participating in a pension scheme known as the Baptist Pension Scheme (“the Scheme”). The Scheme is a separate legal entity which is administered by the Pension Trustee (Baptist Pension Trust Limited).

The Minister is eligible to join the Scheme, which is not contracted out of the State Second Pension.

From January 2012, pension provision is being made through the Defined Contribution (DC) Plan within the Scheme. In general, members pay 8% of their Pensionable Income and employers pay 6% of members’ Pensionable Income into individual pension accounts, which are operated and managed on behalf of the Pension Trustee by Broadstone Corporate Benefits Ltd. In addition, the employer pays a further 4% of Page 26 of 29 Pensionable Income to cover Death in Service Benefits, administration costs, and an associated insurance policy which provides income protection for Scheme members if they are unable to work due to longterm incapacity. This income protection policy has been insured by the Baptist Union of Great Britain with Aviva Limited. [Members of the Basic Section pay reduced contributions of 5% of Pensionable Income, and their employers also pay a total of 5%.]

The Scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102. Because it is not possible to attribute the Scheme’s assets and liabilities to specific employers, the scheme is accounted for as if the Scheme were a defined contribution scheme.

The main benefits for pre-2012 service were a defined benefit pension of one eightieth of Final Minimum Pensionable Income for each year of Pensionable Service, together with additional pension in respect of premiums paid on Pensionable Income in excess of Minimum Pensionable Income. The Scheme, previously known as the Baptist Ministers’ Pension Fund, started in 1925, but was closed to future accrual of defined benefits on 31 December 2011.

A formal valuation of the DB Plan as at 31 December 2019 was carried out by a professionally qualified Actuary using the Projected Unit Method. At the valuation date the market value of the DB Plan assets was £298 million, whilst the level of assets needed to pay benefits was £316m, giving a deficit of £18m (equivalent to a past service funding level of 94%). The Church and the other participating employers in the DB Plan are collectively responsible for funding this deficit.

The key financial assumptions underlying the valuation were as follows:

RPIpriceinflationassumption 3.20%
CPIpriceinflationassumption 2.70%
Minimum PensionableIncomeincreases (CPIplus1.0% pa) 0.50%
Assumed investmentreturns
- Pre-retirement 2.95%
- Postretirement 1.70%
Deferredpension increases
- PreApril 2009 3.20%
- PostApril 2009 2.50%
Pension increases
- BasedonCPIwithanannual floorof0% andannualcap of5% 2.70%

As there is a large number of contributing employers participating in the Scheme, the Church is unable to identify its share of the underlying assets and liabilities of the scheme. Accordingly, due to the nature of the Scheme, the profit and loss charge for the period represents the employer contributions payable. The total pension (credit)/cost for the Church is £(8,457) (2021: £8,128). The next actuarial valuation of the DB Plan within the Scheme is due to take place not later than as at 31 December 2022.

Mortality is assumed in accordance with 80% of the S3NA standard mortality table. Future improvements projected from 2013 in line with the “CMI 2019” projection with a long-term rate of improvement of 1.75% p.a. for males and 1.5% p.a. for females with the core smoothing parameter and with additional initial mortality improvement factor A=0.5%.

The next actuarial valuation of the DB Plan within the Scheme is due to take place not later than as at 31 December 2022.

Recovery Plan

In addition to the contributions to the DC Plan set out above, where a valuation of the DB Plan reveals a deficit the Trustee and the Council agree to a rate of deficiency contributions from churches and other employers involved in the DB Plan.

Under the current Recovery Plan signed in September 2021, deficiency contributions are payable until June 2026. These contributions are broadly based on the employer’s membership at 31 December 2014 and increase annually in line with increases to Minimum Pensionable Income as defined in the Rules.

19

WOODGRANGE BAPTIST CHURCH

Notes to the Financial Statements For the year ended 31 March 2022

14. Related Party Transactions

Rev Bruce Stokes, a Managing Trustee and member of the Church Executive, received gross remuneration of £2,822 (2021: £32,104) and pension contributions (including deficit contributions) of £429 (2021: £5,706) during the year in his employed capacity of Minister. Rev Bruce Stokes also occupied the Church manse, rent free, as part of his contract of employment for the better performance of his duties. The Church contributed £183 (2021: £1,080) towards heating and lighting costs.

Lois Stokes, the spouse of Bruce Stokes, received gross remuneration of £977 (2021: £1,942) for cleaning services.

Sandra Ramsey, a trustee, received gross remuneration of £13,455 (2021: £nil) and pension contributions of £983 (2021: £nil) during the year in her employed capacity of Administrator.

The Trustees made aggregate unrestricted donations of £17,190 (2021: £20,790) during the year.

20