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2021-08-31-accounts

Stratford on Avon Methodist Church

Report of the Trustees and Unaudited Financial Statements

For the year ended 31st August 2021

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

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST AUGUST 2021

Stratford on Avon Methodist Church

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 17

Stratford on Avon Methodist Church

REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31ST AUGUST 2021

TRUSTEES

Rev A Simpson Mrs J Grant (appointed 16/2/2021)
Miss B J Birnie Mrs E M Ho
Mrs S Brown (appointed 21/1/2021) Dr L C Ho
G N 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 (resigned 23/3/2021)
S Farmery Miss S D Stroud (resigned 16/2/2021)
Mrs K M Fraser Mrs M Taylor
Mrs S D Giles (resigned 15/2/2022) Mrs E Walker
W J Giles (resigned 15/2/2022)

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 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 2021

The trustees present their report with the financial statements of the charity for the year ended 31st August 2021. 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

Page 2

Stratford on Avon Methodist Church

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST AUGUST 2021

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.

OBJECTIVES AND ACTIVITIES

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 (71%); and letting income paid by external users of the building (17%).

Following redevelopment of church in 2014 our green features have enabled us to export energy to the National Grid yielding just over 4% of annual income

COVID 19 has had a severe impact on both the finances and outreach of the Charity. During this financial year, lockdown has meant that no worship services have taken place on church premises. Weekly services have continued remotely by means of the Zoom platform. Income from giving has reduced significantly and other than rental from Stratford upon Avon Foodbank no other letting income has existed.

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 75% of annual income.

Other significant expenditures include staff & administration costs of 15%, maintenance & cleaning of church premises (20%), and utilities & insurance 9% of annual income

Fund balances

As at 31 August 2021 the net current assets of the church were £31,705.

Page 3

Stratford on Avon Methodist Church

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST AUGUST 2021

Plans for 2021-22

The charity's planning for the coming year sees the resumption of Sunday worship subject to government Covid restrictions, and a gradual return of hirers, subject still to social distancing and risk assessment. We hope that income from giving and letting will help replenish our depleted reserves.

Stratford-upon-Avon Foodbank

Since Lockdown in March 2020 the Stratford upon Avon Foodbank relocated to our premises free gratis until the end of July 2020, and since Aug 2020 through to August 2021 have paid a nominal rental.

ECO Church

In 2003 this church began its Eco-Congregation programme and was given 3 awards over the next 15 years. In 2014 the premises were redeveloped with the aim of becoming more energy efficient and successfully reducing our carbon footprint. In summer 2019 we 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 at that time.

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.

Page 4

Stratford on Avon Methodist Church

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31ST AUGUST 2021

Day to day management of the church is undertaken by the church leadership team along with the minister.

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 2021, 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

The 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 met regularly to update Covid risk assessments with the intention of beginning worship services in line with government restrictions from August 2021, and the return of hirers from September 2021.

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:

• 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.

• 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.

Page 5

Stratford on Avon Methodist Church

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31ST AUGUST 2021

• 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.

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.

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 15 February 2022 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 2021.

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:

  1. accounting records were not kept in respect of the Trust as required by section 130 of the Act; or 2. the accounts do not accord with those records; or

  2. 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: 15 February 2022

Page 7

Stratford on Avon Methodist Church

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31ST AUGUST 2021

2021
Unrestricted
fund
Notes
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
2
47,542
Charitable activities
4
General charitable activities
7,424
Investment income
3
51
Total
55,017
EXPENDITURE ON
Charitable activities
5
General charitable activities
78,050
NET INCOME/(EXPENDITURE)
(23,033)
Other recognised gains/(losses)
Gains on revaluation of fixed assets
2,686
Net movement in funds
(20,347)
RECONCILIATION OF FUNDS
Total funds brought forward
3,153,502
TOTAL FUNDS CARRIED FORWARD
3,133,155		 2020
Total funds
£
64,822
7,136
368
72,326
86,844
(14,518)
63,388
48,870
3,104,632
3,153,502

The notes form part of these financial statements

Page 8

Stratford on Avon Methodist Church

BALANCE SHEET 31ST AUGUST 2021

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		 2021
Total funds
£
3,101,450
750
34,484
35,234
(3,529)
31,705
3,133,155
3,133,155
3,133,155
3,133,155		 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

The financial statements were approved by the Board of Trustees and authorised for issue on 15 February 2022 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 2021

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 2021

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
Offertories
Donations
Gift aid
Legacies
Contributions for use of premises
3.
INVESTMENT INCOME
Deposit account interest
4.
INCOME FROM CHARITABLE ACTIVITIES
Activity
Other income
General charitable activities
Mission
General charitable activities		 2021
£
28,249
1,802
5,558
2,500
9,433
47,542
2021
£
51
2021
£
3,653
3,771
7,424		 2020
£
30,461
627
7,003
-
26,731
64,822
2020
£
368
2020
£
7,136
-
7,136

continued...

Page 11

Stratford on Avon Methodist Church

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2021

5. CHARITABLE ACTIVITIES COSTS
Direct Grant Support
Costs (see funding of costs (see
note 6) activities note 7) Totals
£ £ £ £
General charitable activities 35,760 41,136 1,154 78,050
6. DIRECT COSTS OF CHARITABLE ACTIVITIES
2021 2020
£ £
Staff costs 9,497 9,978
Rates and water 363 351
Insurance 2,670 2,664
Light and heat 4,123 4,378
Telephone 1,289 1,394
Postage and stationery 949 1,381
Internal organisations, mission and outreach 4,606 1,057
Sundries 1,300 3,022
Repairs and maintenance 9,942 9,783
Cleaning 1,021 7,978
35,760 41,986
7. SUPPORT COSTS
Governance
costs
£
General charitable activities 1,154

Page 12 continued...

Stratford on Avon Methodist Church

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2021

7. SUPPORT COSTS - continued

Support costs, included in the above, are as follows:

SUPPORT COSTS - continued
Support costs, included in the above, are as follows:
2021 2020
General
charitable Total
activities activities
£ £
Independent Examiner 990 990
Depreciation of tangible fixed assets 164 164
1,154 1,154

8. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31st August 2021 nor for the year ended 31st August 2020.

One trustee received an honorarium of £36 in the current year (2020 £360) in their capacity as church organist.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31st August 2021 nor for the year ended 31st August 2020.

9. STAFF COSTS

The average monthly number of employees during the year was as follows:

2021 2020
Lay employees 2 2

No employees received emoluments in excess of £60,000.

continued...

Page 13

Stratford on Avon Methodist Church

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2021

10. TANGIBLE FIXED ASSETS

COST OR VALUATION
At 1st September 2020
Revaluations
At 31st August 2021
DEPRECIATION
At 1st September 2020
Charge for year
At 31st August 2021
NET BOOK VALUE
At 31st August 2021
At 31st August 2020		 Freehold
property
£
2,977,298
2,561
2,979,859
-
-
-
2,979,859
2,977,298		 Fixtures
and
fittings
£
125,886
125
126,011
4,256
164
4,420
121,591
121,630		 Totals
£
3,103,184
2,686
3,105,870
4,256
164
4,420
3,101,450
3,098,928

Cost or valuation at 31st August 2021 is represented by:

Valuation in 2020
Valuation in 2021		 Freehold
property
£
2,977,298
2,561
2,979,859		 Fixtures
and
fittings
£
125,886
125
126,011		 Totals
£
3,103,184
2,686
3,105,870

Page 14 continued...

Stratford on Avon Methodist Church

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2021

11.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Other debtors
12.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Accrued expenses
13.
MOVEMENT IN FUNDS
At 1.9.20
£
Unrestricted funds
General fund
3,153,502
TOTAL FUNDS
3,153,502
Net movement in funds, included in the above are as follows:
Incoming
Resources
resources
expended
£
£
Unrestricted funds
General fund
55,017
(78,050)
TOTAL FUNDS
55,017
(78,050)		 2021
£
750
2021
£
3,529
Net
movement
in funds
£
(20,347)
(20,347)
Gains and
losses
£
2,686
2,686		 2020
£
750
2020
£
990
At 31.8.21
£
3,133,155
3,133,155
Movement
in funds
£
(20,347)
(20,347)

Page 15 continued...

Stratford on Avon Methodist Church

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2021

13. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds
General fund
TOTAL FUNDS		 At 1.9.19
£
3,104,632
3,104,632		 Net
movement
in funds
£
48,870
48,870		 At 31.8.20
£
3,153,502
3,153,502

Comparative 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 72,326 (86,844) 63,388 48,870
TOTAL FUNDS 72,326 (86,844) 63,388 48,870

A current year 12 months and prior year 12 months combined position is as follows:

Unrestricted funds
General fund
TOTAL FUNDS		 At 1.9.19
£
3,104,632
3,104,632		 Net
movement
in funds
£
28,523
28,523		 At 31.8.21
£
3,133,155
3,133,155

Page 16 continued...

Stratford on Avon Methodist Church

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2021

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 127,343 (164,894) 66,074 28,523
TOTAL FUNDS 127,343 (164,894) 66,074 28,523

14. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31st August 2021.

15. ULTIMATE CONTROLLING PARTY

The charity is controlled by its Trustees.

Page 17