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2020-12-31-accounts

Grace Church Gateshead

Report and Accounts Year ended 31 December 2020

1 Lamb's Passage, London EC1Y 8AB www.stewardship.org.uk

GRACE CHURCH GATESHEAD

YEAR ENDED 31 DECEMBER 2020

LEGAL & ADMINISTRATIVE DETAILS

ADDRESS FOR CORRESPONDENCE ADDRESS FOR CORRESPONDENCE 186 Rawling Road
Gateshead
Tyne & Wear
NE8 4QU
GOVERNING DOCUMENT CIO - Foundation registered 1 November 2013
as amended 16 May 2019
CHARITY REGISTRATION NUMBER 1154440
TRUSTEES D Martin
D Hewer
J Merton
BANKERS Lloyds TSB
PO Box 1000
Andover
BX1 1LT
INDEPENDENT EXAMINER Mary Evans
Stewardship
1 Lamb's Passage
LONDON
EC1Y 8AB
INDEX
Page 1 Legal & Administrative Details
Pages 2-3 Trustees' Report
Page 4 Independent Examiner's Report
Page 5 Receipts and Payments Account
Page 6 Statement of Assets & Liabilities
Page 7 Notes to the Accounts

Page 1

GRACE CHURCH GATESHEAD

REPORT OF THE TRUSTEES

YEAR ENDED 31 DECEMBER 2020

The Trustees have pleasure in submitting the Report and Accounts for the year.

Objects of the charity

The object of the CIO is, for the public benefit, to advance the Christian faith in Gateshead and in such other parts of the United Kingdom and the world as the charity trustees may from time to time decide.

Government

The policy and operating decisions of the charity rest with the Trustees who meet regularly to monitor the activities of the charity.

New trustees are appointed by the elders of the church/by the Trustees.

Grace Church Gateshead belongs to the following networks of churches: the North East Gospel Partnership locally; the Fellowship of Independent Evangelical Churches nationally; and the Acts 29 network globally.

In May 2019, the charity formally changed its name to Grace Church Gateshead. The CIO constitution remained unchanged.

Review of Activities

In 2020 Grace Church Gateshead has continued to promote the Christian faith in Gateshead. The Trustees have had regard to the Charity Commission's guidance on public benefit, and are pleased to give the following summary of activities.

In March 2020 the church took steps (in line with government advice) to help contain the outbreak of COVID-19. This included the temporary suspension of all physical gatherings and the church had to curtail, or change, how it operated for the duration of 2020. The church has been able to continue some of its activities using online media. The church building has remained open for public worship as far as possible, within the provisions for public worship in Government legislation. The trustees have had regard to Government legislation and guidance throughout the year with respect to risk assessments and implementation of measures to reduce the transmission of COVID-19.

The church has continued to hold weekly Christian worship services, open to all the public, either online and/or in person as provided for in legislation, with several measures in place to promote a COVID secure environment. These have enabled people in the local community to participate in shared Christian worship. The Bible teaching at these Sunday gatherings continues to demonstrate the importance and relevance of the historic Christian faith to numerous current issues, including mental health, marriage and family, and above all peace with God. In addition, the relationships and sense of community fostered through church life continue to provide a significant means of support for those connected to the church.

Page 2

Grace Church Gateshead has continued to promote the Christian faith for the public benefit by holding weekly public Christian worship services, either online or in person as restrictions have allowed, open to all in the community. The church has been a key source of support for many local people through the 2020 pandemic.

No grants were paid during the year, however after year end, in February 2021, the trustees committed to grants totalling £2,950.

Financial Review

The charity's principal source of funding comes from donations made by the church congregation.

Total income in the year was £48,308 (2019: £39,758) and expenditure was £41,112 (2019: £43,518) giving a net surplus this year of £7,196. The cash balance brought forward at the beginning of January was £14,642, leaving a closing cash balance of £21,838 all of which was unrestricted.

Reserves Policy

We aim to hold at least three months' operating expenses in reserve, which currently equates to £12,000.

At present our reserves are £21,838.

The trustees are monitoring income and expenditure and, if it becomes necessary, will take measures to mitigate the impact of COVID-19 on the charity’s free reserves.

Trustees responsibilities

Charity law requires us as Trustees to prepare financial statements for each accounting year which record the receipts and payments of the charity for the year.

We are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and enable us to ensure that the financial statements comply with the Charities Act 2011.

We also have a responsibility to safeguard the assets of the charity and to take reasonable steps to prevent fraud or any other irregularities.

Approval

This report was approved by the trustees on and signed on their behalf by:

D Martin

Date: 16 September 2021

Page 3

INDEPENDENT EXAMINER'S REPORT

TO THE TRUSTEES OF

GRACE CHURCH GATESHEAD

I report to the trustees on my examination of the accounts of Grace Church Gateshead ('the charity') for the year ended 31 December 2020 on pages 5 to 7 following.

Responsibilities and basis of report

As the trustees of the charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the 2011 Act’).

I report in respect of my examination of the charity’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable 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 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 accordance with section 130 of the 2011 Act; or

  1. the accounts do not accord with the accounting records.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in order to enable a proper understanding of the accounts to be reached.

Mary Evans

Stewardship 1 Lamb's Passage LONDON EC1Y 8AB

Date: 23 September 2021

Page 4

GRACE CHURCH GATESHEAD

RECEIPTS AND PAYMENTS ACCOUNT

YEAR ENDED 31 DECEMBER 2020

Notes
Income receipts
Donations, legacies and grants
Total receipts
Payments
2
3
Total payments
Transfers between funds
Net movement in funds
Cash funds as at last year end
Cash funds at this year end
A
Net
of
receipts
/
(payments)
before
transfers
Grants paid in relation to charitable
Payments in relation to charitable activities
undertaken directly
General
Funds
£
48,308
48,308
41,112
-
41,112
7,196
-
7,196
14,642
21,838
2020
£
48,308
48,308
41,112
-
41,112
7,196
-
7,196
14,642
21,838
2019
£
39,758
39,758
40,580
2,938
43,518
(3,760)
-
(3,760)

18,402
14,642

The notes on pages 7 form part of these accounts.

Page 5

GRACE CHURCH GATESHEAD

STATEMENT OF ASSETS AND LIABILITIES

YEAR ENDED 31 DECEMBER 2020

A Cash funds
Cash at bank
B
Liabilities
Falling due within one year:
Mortgage
Unbilled fee for Independent Examination
Falling due after one year:
Mortgage
General
funds
£
21,838
21,838
3,418
720
4,138
28,739
28,739
2020
£
21,838
21,838
3,418
720
4,138
28,739
28,739
2019
£
14,642
14,642
3,418
720
4,138
30,826
30,826

The mortgage above relates to Grove Chapel, Rawling Road and is repayable over 14 years at £3,418 per year.

C Assets retained for charity's own use

Fund to
which asset
belongs
Land and buildings - Grove Chapel
General
Fixtures, furniture and equipment
General
Current
value
£
352,742
16,499
369,241

The trustees have used insurance values as the trustees are unable to reliably estimate current values; insurance values may differ materially from current values.

D Guarantees and secured debts

The outstanding balance on the charity's mortgage (see Note B) is secured on the charity's property (see Note C).

No guarantees have been made, which result in an outstanding potential liability as at the year-end date.

The accounts were approved by the trustees and signed on their behalf by:

D Martin

Date:16 September 2021

The notes on pages 7 form part of these accounts.

Page 6

GRACE CHURCH GATESHEAD

NOTES TO THE ACCOUNTS

YEAR ENDED 31 DECEMBER 2020

1 Accounting policies

The accounts have been prepared on a receipts and payments basis and comprise a statement that shows the charity's receipts and payments, a statement that summarises the charity's assets and liabilities and related notes. The accountancy profession have determined that only accounts prepared in accordance with applicable accounting standards present a 'true and fair' view and, as these receipts and payments accounts have not (and cannot) be prepared in accordance with accounting standards, these accounts do not present (and are not intended to present) a 'true and fair' view of the charity's financial activities and state of affairs.

General
funds
£
2
Payments in relation to charitable activities undertaken directly
Employment costs (Note 4)
31,723
Mortgage repayments
3,418
Repairs & refurbishment
558
Utilities
1,172
Fixtures, furniture and equipment
1,014
Insurance
712
Affiliations
1,026
Professional fees
193
Other costs
576
Independent examination
720
41,112
Total
2020
£
31,723
3,418
558
1,172
1,014
712
1,026
193
576
720
41,112
Total
2019
£
31,723

3,418
667
1,158
164
682
1,026
358
659
725
40,580

3 Grants paid in relation to charitable activities undertaken by others

Grants for:
Church Planting
-
-
-
-
2,938
2,938

4 Employees & trustees

The charity has 1 employee, Dan Martin, a trustee, to whom the employment costs above refer. The payments were made to Dan in respect of his role as Pastor, not trustee, and are permitted by the governing documents.

Other than direct reimbursements of expenses made on behalf of the charity, no other amounts were paid or are payable to any trustee or to any person connected to them.

Page 7