Stratford on Avon Methodist Church
Report of the Trustees and Unaudited Financial Statements
For the year ended 31st August 2020 Registered Charity Number: 1152323
C Wiltshire & Co Chartered Accountants
17 Greenhill Street, Stratford-upon-Avon Warwickshire CV37 6LF www.cwiltshire.co.uk E-mail: cw@cwiltshire.co.uk
Stratford on Avon Methodist Church
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST AUGUST 2020
| Page | |
|---|---|
| Reference and Administrative Details | 1 |
| Report of the Trustees | 2 to 6 |
| Independent Examiner's Report | 7 |
| Statement of Financial Activities | 8 |
| Balance Sheet | 9 |
| Notes to the Financial Statements | 10 to 16 |
Stratford on Avon Methodist Church
REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31ST AUGUST 2020
| TRUSTEES | Miss B J Birnie | Dr L C Ho |
|---|---|---|
| G Collins | M B Ledgard | |
| Rev J Dobson | D J Loader | |
| D L Dumper | Mrs J Mee | |
| Mrs S A Dumper | Mrs S Rimmer | |
| Mrs G A Edwards | M D Smith | |
| Mrs M Farmery | Mrs M J Smith | |
| S Farmery | Miss S D Stroud | |
| Mrs K M Fraser | Mrs M Taylor | |
| Mrs S D Giles | Mrs J Taylor –retired 1st June 2020 | |
| W J Giles | Mrs E Walker | |
| Mrs E M Ho |
The Treasurer, Mr David Dumper acted as the principal officer overseeing the day to day financial management and accounting for the Church during the year.
| PRINCIPAL ADDRESS | Stratford upon Avon Methodist Church |
|---|---|
| Old Town | |
| Stratford-upon-Avon | |
| CV37 6BG | |
| REGISTERED CHARITY NUMBER | 1152323 |
| INDEPENDENT EXAMINER | Mr C Wiltshire |
| Chartered Accountant | |
| C Wiltshire & Co | |
| Chartered Accountants | |
| 17 Greenhill Street | |
| Stratford upon Avon | |
| CV37 6LF | |
| BANKERS | HSBC |
| 13 Chapel Street | |
| Stratford-upon-Avon | |
| CV37 6ET |
Page 1
Stratford on Avon Methodist Church
REPORT OF THE TRUSTEES
FOR THE YEAR ENDED 31ST AUGUST 2020
The trustees present their report with the financial statements of the charity for the year ended 31st August 2020. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
OBJECTIVES AND ACTIVITIES
Mission statement, objectives and aims
Mission statement
Our vision is to share the Good News of Jesus Christ with those around us and to provide a place of witness and worship for all people. Our aim is to have a dynamic, growing church with warm fellowship and outreach where people of all ages and backgrounds can meet the Lord Jesus Christ and feel part of a caring church family.
Objectives and aims
The objectives of the charity are set out in The Methodist Church Act 1976 and include the following:
The advancement of
(a) the Christian faith in accordance with the doctrinal standards and the discipline of the Methodist Church;
(b) any charitable purpose for the time being of any connexial, district, circuit, local or other organization of the Methodist Church;
(c) any charitable purpose for the time being of any society or institution subsidiary or ancillary to the Methodist Church;
(d) any purpose for the time being of any charity being a charity subsidiary or ancillary to the Methodist Church.
Activities of the Charity
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Worshipping God through prayer, song and other acts of worship including the organization and resourcing of regular public acts of worship open to members of the church and non-members alike.
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The teaching of Christianity through sermons, courses and small groups.
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The resourcing of pastoral work including visiting the sick and bereaved.
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Taking religious assemblies in local schools.
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Promotion of Christianity through the staging of events and services.
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Provision of chaplaincy services to Cedar Lawn care home.
Page 2
Stratford on Avon Methodist Church
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST AUGUST 2020
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The charity supports Connexional and mission work in the UK and overseas including an Overseas Sponsorship scheme, Junior Missionary Association, World Mission Fund, Mission in Britain, Action for Children, Methodist Homes for the Aged, Christian Aid, and South Warwickshire Methodist Circuit projects.
-
Additional support is given to Stratford Churches Together, Stratford Ecumenical Homeless Project, Stratford upon Avon Foodbank and Talking Newspapers for the Blind (Stratford).
OBJECTIVES AND ACTIVITIES
Significant activities
The Church provides services and organises events resulting in the provision of public Christian worship for all and provides a facility for local groups and organisations to use our premises for the purposes of a wider witness within the Stratford-upon- Avon community.
Public benefit
In preparing these financial statements the Trustees have had due regard to guidance published by the Charity Commission on public benefit.
ACHIEVEMENT AND PERFORMANCE
Charitable activities
Income Trends
Church income is primarily drawn from the Sunday collections, Gift Aid tax credit, donations, legacies, gifts, and fundraising from church groups and members and members (57%) together with letting income paid by external users of the building (36%).
Following redevelopment of the church in 2014, our green features have enabled us to export energy to the National Grid, yielding just over 3% of annual income.
COVID-19 has had a major impact on both the finances and outreach of the Charity. Since March 2020, lockdown has meant that no worship services have taken place on church premises during the remainder of this financial year, income from giving has reduced, and letting income no longer exists.
Expenditure Trends
The major cost has been in relation to the annual assessment paid to the South Warwickshire Circuit. Our contribution this financial year represents 58% of annual income.
Other significant expenditures include staff and administration costs (17%), maintenance and cleaning of church premises (24%) and utilities and insurances (9%) of annual income.
Fund balances
As at 31 August 2020 the net current assets of the church were £54,574.
Page 3
Stratford on Avon Methodist Church
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST AUGUST 2020
Plans for 2020-21
The Charity's financial planning for the coming year has been prepared on the basis that government COVID restrictions will apply well into 2021, and the return of any of the hirers will be limited, so income will be reliant on the continuing goodwill of our church members.
Stratford-upon-Avon Foodbank
Since lockdown in March 2020, the Stratford-upon-Avon Foodbank has relocated to our premises free gratis until the end of July 2020 and continues tenure here from August 2020 through to July 2021 subject to a nominal rental.
ECO Church
In 2003 this church began its Eco-Congregation programme and was given three awards over the next 12 years. In 2014 the premises were redeveloped with the aim of it becoming more energy efficient and successfully reducing its carbon footprint. In summer 2019 the church received the Gold Eco-Church Award from A Rocha, the first Methodist Church in the UK to do so, and only the sixth church in the country of any denomination.
FINANCIAL REVIEW
Reserves policy
The Reserves Policy for the Church is to hold a minimum sum equivalent to six months' average expenditure. This should be sufficient to meet any unforeseen item of major expenditure on the church building and/or to be able to continue, in the short term, funding planned activities in the event of any inability to raise the full expenses including the assessment payable to the Circuit.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The governing document for the church is the Deed of Union (1932) and Methodist Church Act (1976)
Detailed governance arrangements are outlined within the Constitutional Practice and Discipline of the Methodist Church by order of the annual conference (CPD).
Recruitment and appointment of new trustees
The trustees are appointed at the AGM of the church.
Organizational structure
The members of the Church Council of Stratford upon Avon Methodist Church are the Charity Trustees, membership being made up of church office holders, Minister and representatives appointed by the church at the annual general meeting.
Day to day management of the church is undertaken by the church leadership team along with the minister.
Page 4
Stratford on Avon Methodist Church
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST AUGUST 2020
The internal organizations linked to this church during the past year were Wesleys (mothers and toddlers), Men's Meeting Point, Holiday at Home/Contact the Elderly, and Knit, Stitch & Natter.
Induction, and continued training of trustees
A range of guidance produced by Methodist Connexion to support the effective running of the church and the role of Trustees is given to the Church Trustees at various meetings.
Wider network
Throughout the financial year ending 31st August 2020, the church was part of the South Warwickshire Methodist Circuit, itself a part of the Birmingham District, accountable to the Methodist Conference.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Risk management and safeguarding
Risk Management
Major risks have been identified and recorded by the Trustees with professional advice taken as required. A regular review process is undertaken and recorded. A separate working party meets weekly to updated COVID risk assessments with the intention of beginning worship services in line with government restrictions from September 2020 and return later this year of some hirers.
Income and Expenditure is monitored and compared with the approved annual budget on a half yearly basis to detect trends as part of the risk management process to avoid unforeseen calls on reserves.
Safeguarding
Every person has a value and dignity which comes directly from the creation of male and female in God's own image and likeness. Christians see this potential as fulfilled by God's re-creation of us in Christ. Among other things this implies a duty to value all people as bearing the image of God and therefore to protect them from harm.
Methodist Connexional practice outlines commitment to the following principles:
-
The care and nurture of, and respectful pastoral ministry with, all children, young people and adults
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The safeguarding and protection of all children, young people and adults when they are vulnerable
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The establishing of safe, caring communities which provide a loving environment where there is informed vigilance as to the dangers of abuse.
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We will carefully select and train all those with any responsibility within the Church, in line with Safer Recruitment principles, including the use of criminal records disclosures and registration with the relevant vetting and barring schemes.
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We will respond without delay to every complaint made which suggests that an adult, child or young person may have been harmed, cooperating with the police and local authority in any investigation.
-
We will seek to work with anyone who has suffered abuse, developing with them an appropriate ministry of informed pastoral care.
Page 5
Stratford on Avon Methodist Church
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST AUGUST 2020
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We will seek to challenge any abuse of power, especially by anyone in a position of trust.
-
We will seek to offer pastoral care and support, including supervision and referral to the proper authorities, to any member of our church community known to have offended against a child, young person or vulnerable adult.
-
In all these principles we will follow legislation, guidance and recognized good practice.
The Stratford upon Avon Methodist Church commits itself to ensuring the implementation of Connexional Safeguarding Policy, government legislation, guidance and safe practice in the circuit and in the churches.
The Stratford upon Avon Methodist Church also commits itself to the provision of support, advice and training for lay and ordained people that will ensure people are clear and confident about their roles and responsibilities in safeguarding and promoting the welfare of children and adults who may be vulnerable.
Approved by order of the board of trustees on 22 March 2021 and signed on its behalf by:
D L Dumper Trustee
Page 6
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF STRATFORD ON AVON METHODIST CHURCH
Independent examiner's report to the trustees of Stratford on Avon Methodist Church
I report to the charity trustees on my examination of the accounts of Stratford on Avon Methodist Church (the Trust) for the year ended 31st August 2020.
Responsibilities and basis of report
As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').
I report in respect of my examination of the Trust's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner's statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
accounting records were not kept in respect of the Trust as required by section 130 of the Act; or
-
the accounts do not accord with those records; or
-
the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.
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.
C Wiltshire
Chartered Accountant
C Wiltshire & Co Chartered Accountants 17 Greenhill Street Stratford upon Avon CV37 6LF
Date: 22 March 2021
Page 7
Stratford on Avon Methodist Church
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31ST AUGUST 2020
| 2020 Unrestricted fund Notes £ INCOME AND ENDOWMENTS FROM Donations and legacies 2 64,822 Charitable activities 4 General charitable activities 7,136 Investment income 3 368 Total 72,326 EXPENDITURE ON Charitable activities 5 General charitable activities 86,844 NET INCOME/(EXPENDITURE) (14,518) Other recognised gains/(losses) Gains/(losses) on revaluation of fixed assets 63,388 Net movement in funds 48,870 RECONCILIATION OF FUNDS Total funds brought forward 3,104,632 TOTAL FUNDS CARRIED FORWARD 3,153,502 |
2019 Total funds £ 84,045 15,832 334 100,211 85,334 14,877 (27,948) (13,071) 3,117,703 3,104,632 |
|---|---|
The notes form part of these financial statements
Page 8
Stratford on Avon Methodist Church
BALANCE SHEET 31ST AUGUST 2020
| Notes FIXED ASSETS Tangible assets 10 CURRENT ASSETS Debtors 11 Cash at bank and in hand CREDITORS Amounts falling due within one year 12 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES NET ASSETS FUNDS 13 Unrestricted funds: General fund TOTAL FUNDS |
2020 Total funds £ 3,098,928 750 54,814 55,564 (990) 54,574 3,153,502 3,153,502 3,153,502 3,153,502 |
2019 Total funds £ 3,035,704 2,913 70,540 73,453 (4,525) 68,928 3,104,632 3,104,632 3,104,632 3,104,632 |
|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 22 March 2021 and were signed on its behalf by:
D L Dumper
Trustee
The notes form part of these financial statements
Page 9
Stratford on Avon Methodist Church
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST AUGUST 2020
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain assets.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
Tangible fixed assets
With the exception of office equipment, tangible fixed assets are revalued each year in line with the insured value of the Charity's property and other assets. Depreciation is therefore not provided on such assets as in the opinion of the Trustees, such amounts would not be material.
Office equipment is depreciated on a straight line basis over 5 years or the useful life of the asset if shorter.
Taxation
The charity is exempt from tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
continued...
Page 10
Stratford on Avon Methodist Church
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2020
1. ACCOUNTING POLICIES - continued
Fund accounting
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
2. DONATIONS AND LEGACIES
| 2020 £ Offertories 30,461 Donations 627 Gift aid 7,003 Contributions for use of premises 26,731 64,822 3. INVESTMENT INCOME 2020 £ Deposit account interest 368 4. INCOME FROM CHARITABLE ACTIVITIES 2020 Activity £ Other income General charitable activities 7,136 5. CHARITABLE ACTIVITIES COSTS Direct Grant Support Costs (see funding of costs (see note 6) activities note 7) £ £ £ General charitable activities 41,986 43,704 1,154 |
2019 £ 34,401 1,394 7,172 41,078 84,045 2019 £ 334 2019 £ 15,832 Totals £ 86,844 |
|---|---|
continued...
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Stratford on Avon Methodist Church
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2020
6. DIRECT COSTS OF CHARITABLE ACTIVITIES
| Staff costs Rates and water Insurance Light and heat Telephone Postage and stationery Internal organisations, mission and outreach Sundries Repairs and maintenance Cleaning 7. SUPPORT COSTS |
2020 £ 9,978 351 2,664 4,378 1,394 1,381 1,057 3,022 9,783 7,978 41,986 |
2019 £ 9,049 339 2,568 5,250 1,421 1,301 5,937 6,700 14,291 12,096 58,952 |
|---|---|---|
| SUPPORT COSTS | ||
|---|---|---|
| Governance | ||
| costs | ||
| £ | ||
| General charitable activities | 1,154 | |
| Support costs, included in the above, are as follows: | ||
| 2020 | 2019 | |
| General | ||
| charitable | Total | |
| activities | activities | |
| £ | £ | |
| Independent Examiner | 990 | 990 |
| Depreciation of tangible fixed assets | 164 | 164 |
| 1,154 | 1,154 |
continued...
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Stratford on Avon Methodist Church
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2020
8. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31st August 2020 nor for the year ended 31st August 2019.
One trustee received an honorarium of £360 in the current year (2019 £1,406) in their capacity as church organist.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31st August 2020 nor for the year ended 31st August 2019.
9. STAFF COSTS
The average monthly number of employees during the year was as follows:
| Lay employees No employees received emoluments in excess of £60,000. |
2020 2 |
2019 2 |
|---|---|---|
10.
TANGIBLE FIXED ASSETS
| COST OR VALUATION At 1st September 2019 Revaluations At 31st August 2020 DEPRECIATION At 1st September 2019 Charge for year At 31st August 2020 NET BOOK VALUE At 31st August 2020 At 31st August 2019 |
Freehold property £ 2,916,864 60,434 2,977,298 - - - 2,977,298 2,916,864 |
Fixtures and fittings £ 122,932 2,954 125,886 4,092 164 4,256 121,630 118,840 |
Totals £ 3,039,796 63,388 |
|---|---|---|---|
| 3,103,184 | |||
| 4,092 164 |
|||
| 4,256 | |||
| 3,098,928 | |||
| 3,035,704 |
continued...
Page 13
Stratford on Avon Methodist Church
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2020
| 11. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Other debtors Prepayments 12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Accrued expenses 13. MOVEMENT IN FUNDS At 1.9.19 £ Unrestricted funds General fund 3,104,632 TOTAL FUNDS 3,104,632 Net movement in funds, included in the above are as follows: Incoming Resources resources expended £ £ Unrestricted funds General fund 72,326 (86,844) TOTAL FUNDS 72,326 (86,844) |
2020 £ 750 - 750 2020 £ 990 Net movement in funds £ 48,870 48,870 Gains and losses £ 63,388 63,388 |
2019 £ 1,813 1,100 2,913 2019 £ 4,525 At 31.8.20 £ 3,153,502 3,153,502 Movement in funds £ 48,870 48,870 |
|---|---|---|
continued...
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Stratford on Avon Methodist Church
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2020
13. MOVEMENT IN FUNDS - continued
Comparatives for movement in funds
| Net movement At 1.9.18 in funds £ £ Unrestricted funds General fund 3,117,703 (13,071) TOTAL FUNDS 3,117,703 (13,071) Comparative net movement in funds, included in the above are as follows: Incoming Resources Gains and resources expended losses £ £ £ Unrestricted funds General fund 100,211 (85,334) (27,948) TOTAL FUNDS 100,211 (85,334) (27,948) |
At 31.8.19 £ 3,104,632 3,104,632 Movement in funds £ (13,071) (13,071) |
|---|---|
A current year 12 months and prior year 12 months combined position is as follows:
| Unrestricted funds General fund TOTAL FUNDS |
At 1.9.18 £ 3,117,703 3,117,703 |
Net movement in funds £ 35,799 35,799 |
At 31.8.20 £ 3,153,502 3,153,502 |
|---|---|---|---|
continued...
Page 15
Stratford on Avon Methodist Church
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2020
13. MOVEMENT IN FUNDS - continued
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
| Incoming | Resources | Gains and | Movement | |
|---|---|---|---|---|
| resources | expended | losses | in funds | |
| £ | £ | £ | £ | |
| Unrestricted funds | ||||
| General fund | 172,537 | (172,178) | 35,440 | 35,799 |
| TOTAL FUNDS | 172,537 | (172,178) | 35,440 | 35,799 |
14. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 31st August 2020.
15. ULTIMATE CONTROLLING PARTY
The charity is controlled by its Trustees.
Page 16