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← St Peter's Bethnal Green

2023-12-31-accounts

St Peter with St Thomas Bethnal Green

Annual Report and Financial Statements For the Year Ended 31 December 2023

CONTENTS
Annual Report 2-11
Independent Examiner’s Report 12
Statement of Financial Activities 13
Balance Sheet 14
Cashflow Statement 15
Notes to the Accounts 16-22
Detailed Statement of Financial
Activities with Comparatives 23

Page 1

ANNUAL REPORT 2023

Part 1

Sections 1-6: The Vicar’s Report

1. Reference information

Page 2

2. Structure & Governance

i. Responsibilities of the PCC

The PCC of St Peter’s Bethnal Green has the responsibility, together with the Vicar, the Rev’d Heather Atkinson, to promote in the parish the whole mission of the Church. This includes the pastoral, evangelistic, social and ecumenical aspects. It is responsible for the maintenance of the buildings of St Peter’s Bethnal Green. As a Church of England Parish church, the PCC and Vicar follow requirements of Church of England Canon Law.

With regard to the PCC's obligations to safeguard children and vulnerable adults, the members of the PCC confirm that they have complied with their duties under section 5 of the Safeguarding and Clergy Discipline Measure 2016.

ii. Objectives and activities

The objectives of St Peter’s Bethnal Green are to promote in the parish the whole mission of the Church with a focus to worship God, make friends and change the world. Amplification of the vision of St Peter’s is on the website and available in other papers. Otherwise do talk to the clergy.

The electoral roll had 83 registered members at the APCM (14 April 2024). Those on the Electoral roll are able to nominate candidates for the PCC. The PCC and Church Wardens are elected annually at the APCM. The PCC organises itself to carry out its aims and objectives by having regular meetings and various subcommittees. The PCC held five formal meetings over the year and one emergency meeting regarding the closure of the nave.

Day-to-day management of the church is delegated to the Vicar and staff team. Since Heather Atkinson’s resignation on 21 February 2024 the Vicar’s responsibilities have passed to the Church Wardens. A Standing Committee has now been formed (comprising the Clergy, Church Wardens and a representative of the PCC)

iii. Public Benefit

The PCC members confirm that they have complied with the duty in section 17 of the Charities Act 2011 to have regard to the Charity Commission’s general guidance on public benefit. St Peters’ Bethnal Green works alongside a number of organisations as partners in undertaking mercy, justice and evangelism. We support these practically, financially and in encouraging people to volunteer and we receive support from them in fulfilling our calling as a local church.

These include: Bethnal Green Spear Trust, Resurgo, Bow Foodbank, Columbia Road Traders Association, and other local churches, individual ministries, primary schools and social enterprises.

The church of St Peter’s Bethnal Green benefits the community by the activities described in the section entitled ‘Change the World’, notably through outreach and supporting others through our volunteer programme, prayer and financial input.

Page 3

3. Throughout the week

Despite the church building closure, regular worship and activities continued throughout the year. Alongside Sunday services, these included: -

Young Life

Children and young people remained central to the life of the church, with regular Sunday activities in rooms one and two. Having brilliantly led Young Life in a volunteer capacity for two years, Anne Bishop stepped back in the summer, with Luke Smith now taking on this role. The vision to appoint a part-time paid Young Life Pastor remains.

Safeguarding

The safeguarding of both children and vulnerable adults remained a priority throughout the year with John Loveday continuing to serve as Safeguarding Officer. Safer recruitment and safeguarding training were administered by Rachel Finegan as part of her Teams Administrator role.

4. Across the year

January-March

Worship in the marquee

2023 began with services taking place in the recently erected marquee in the church garden (following the nave ceiling collapse and the closure of the church building in November 2022). Despite the cold and damp, worship continued with enthusiasm and good humour. At the same time a spirit of camaraderie drew the congregation closer together, while there were encouraging reports of how much neighbours enjoyed the sound of worship each Sunday. There was only one occasion when umbrellas were needed inside the marquee as warm air condensed on the cold surface of the marquee roof resulting in a constant dripping!

Refreshments, tea and coffee were served between the 10 and 11am services from the small marquee, with the Tea and Coffee Crew quickly adapting to the challenges of working in an outside environment.

Alpha

A handful of newcomers took part in a ten-week Alpha course between January and March, including a Holy Spirit Saturday and culminating in some joining regularly on Sundays.

April-June

Page 4

Easter

Holy week and Easter were a new experience in the marquee, with the Maundy Thursday supper and Holy Communion a particular highlight, followed by a vigil until midnight in Room one. Good Friday and Easter Day were also celebrated in the marquee with the Easter dawn vigil round the fire pit on Ion Square. Bill White was confirmed at St Paul’s Cathedral on Easter Saturday.

Spear

Members of St Peter’s supported Spear throughout the year, including at the celebration of the fiftieth Bethnal Green Spear cohort at Hanbury Hall in June. Once again there were inspirational presentations by the Spear trainees reflecting all of the hard work and commitment of the Spear coaches.

July-September

Petertide

July saw several of us at St Paul’s Cathedral for Luke Smith’s ordination at Petertide, which was also celebrated with a church family picnic on Ion Square.

Elevate

Elevate (which serves as a bridge between Spear and St Peter’s) hosted a summer BBQ and a visit from Archbishop Justin Welby who took part in a highly engaging question and answer session, while the marquee provided shelter from the rain. The event was also attended by trainees from Spear Islington.

Summer events

A group of twenty-five people took part in Focus, our church annual weekend away with the HTB (Holy Trinity Brompton) network under canvas in Lincolnshire. This was much enjoyed by young and old alike.

September saw a Back-to-School BBQ with fairground style games for children. A number from St Peter’s attended Adam Atkinson’s consecration as Bishop of Bradwell in Westminster Abbey and there was also a Saturday coach trip to Southend-on-Sea.

Asbestos removal

Meanwhile contractors safely removed all asbestos contaminated items (including all fabric items and electrical equipment) from the church building. The nave and chancel ceiling (both the original lath and plaster and the asbestos insulation board overlay) were taken down entirely and replaced with a membrane, insulation board covered over with traditional plaster. There were also extensive repairs of the slate roof. The insulation was funded by a grant from Veolia Environmental Trust. A further grant for £45,000 was awarded by Tower Hamlets to improve the heating and insulation of rooms one and two. The PCC hopes to be able to claim this grant in 2024 once funding for the balance of the cost of the project has been secured.

October - December

Kido Nursery

Building work was also ongoing in the church hall (St Peter’s Mission Hall) leased to Kido in 2022. The works were completed by the year end, in time for the nursery to open in 2024. Rental income from the hall supports the mission and ministry of St Peter’s.

Remembrance

The traditional service of remembrance was held on Ion Square, with the piano rolled out and the recently re-formed church choir performed, led by Jess Martin.

Page 5

PCC/leadership Day

Members of the PCC (Parochial Church Council), clergy and staff took part in a vision day at St Paul’s Shadwell facilitated by Heather Atkinson. This was to begin considering the future for St Peter’s following Heather’s planned leaving in February 2024.

Advent and Christmas

The usual series of services was planned and advertised both on banners, through the website and delivering flyers round as much of the parish as possible. A large number of visitors took part in Campfire carols, Christingle and Carols by Candlelight (with the choir performing again) all in the marquee.

Columbia Road Carols

Columbia Road Carols on Wednesdays leading up to Christmas was so hugely successful that the final two weeks of four had to be cancelled. This was following crowds of over 7,000 people attending on week two, raising concerns for crowd safety.

Forward into church

The delayed completion of the ceiling works was achieved in the week before Christmas, with the result that the first service back in the building was the Midnight service on Christmas Eve. ‘Carols by Candlelight’ 2022 was the first service in the marquee and ‘Carols by Candlelight’ 2023 the last.

Finally, a word from Heather

Heather Atkinson continued as Vicar of St Peter’s Bethnal Green throughout 2023. Heather’s final report to PCC in January 2024 before leaving included the following: -

‘I have deeply loved serving this parish and to leave is a wrench. I have loved and learned and rejoiced to be part of this church. I trust I have also been useful. May God bless you and keep you and grow in you a desire to follow Him with trust and expectation on your future adventures as His beloved church.’

Page 6

Part 2

Section 7: Treasurer’s report

Income to support Church mission

Finances at St Peter’s were overseen by the Finance Working Group, a sub-committee of the PCC, made up of the Vicar, a Church Warden and at least one other member, supported by the Operations Director and the former Treasurer. This team met regularly and makes recommendations on finance matters to the PCC.

2023 Review

2023 Income

The ministries and activities of St Peter’s Bethnal Green were largely funded by three groups of income: -

Giving Income in 2023 (funding from the congregation members and friends of St Peter’s in the form of standing orders, one-off gifts, regular collections and related gift aid) amounted to £83k . This was down from 2022 when giving income totalled £94k. No ‘giving drives’ for particular projects were held in 2023.

Property Income (the letting and renting of church premises) also accounted for a significant proportion of the church's income, at £112k (2022: £67k ) . This comprised £94k for the hall and £18k for the church crypt. The year-on-year increase is due to the church hall having been leased for the full financial year. The hall was fully refurbished during the year by Kido who opened their pre-school nursery in January 2024. Meanwhile Parabolic Theatre continued their pilot phase in the crypt.

Grant Income from external bodies was £323k (2022 £19k). Grants totalling £241k were received for ceiling repairs and associated costs from Veolia Environmental Trust and London Diocesan Fund. Other grants were £19k from the Henry Fawcett Fund (HFF) mainly supporting staffing costs (Operations Director, Associate Priest and Teams Administrator), £13k from the Revitalise Trust in support of the Curate’s costs and £50k from the government’s Listed Places of Worship Scheme (which covered the VAT paid on building repairs).

Other income amounted to £156k (2022: £17k), including a £148k insurance payout with the remainder from events (£6k) and room hire (£2k).

Overall, St Peter’s income was £674k in 2023, up from £197k in 2022.

2023 Expenditure

All expenditure aimed to support the mission of St Peter’s Bethnal Green to Worship God, Make Friends and Change the World.

Page 7

Over the course of the year: -

Clergy and staff costs were £74k (2022: £45k) which included accommodation costs for clergy, stipend and pension contributions for the Associate Priest, and pay for the Operations Director and the Teams Administrator.

Ministry expenses (including retreat and event expenses) were £20k (£22k). These included youth and children’s activities, an Alpha course, a group going to Focus and costs for Columbia Carols (which was covered entirely by related income).

Gift expenditure amounted to £53k as a contribution to the Diocesan Common Fund (£30k in 2022).

[Common Fund (CF) is the name given to contribution made by each parish in the Diocese to support the costs of clergy, clergy accommodation, clergy in training as well as other Diocesan functions such as safeguarding.]

The year-on-year significant increase in CF (£30k to £53k) was possible owing to the lease income coming from the church hall property. The CF contribution requested by the Diocese was £87.8k but only £53k was paid. This amounted to 60% of full CF and was felt by the PCC to be a manageable and realistic increase, with a view to further increasing the percentage of CF to be paid in future years.

Property related expenditure totalled £461k (2022: £55k) This comprised £431,000 (2022: £22,000) spent on major repairs including £419,000 associated with the church building ceiling and roof repairs as well as £30,000 (2022: £33,000) on routine expenditure.

Administration and running costs expenditure amounted to £24k (2022: £22k).

Overall St Peter’s spent £632k in 2023, up from £174k in 2022.

Surplus for the year and the closing position

This year the PCC has reported a surplus of £42k (2022 £23k surplus) and the PCC’s net assets increased by this amount to £1,085k. This comprises fixed assets (principally the Mission Hall) with a carrying value of £972k plus cash of £149k (of which £3k was restricted) less other net liabilities of £36k.

Policy on reserves

The PCC has determined that the charity should aim to free reserves (which the trustees define as being unrestricted net current assets less creditors falling due after one year) of no less than £58k (which equates to about 3 months' of budgeted operational expenditure) so that the charity could continue to operate should income and/or expenditure vary adversely.

Reserves are continually reviewed by the Finance Working Group and the 2024 budget aims to keep the level of reserves as close to the policy as possible, whilst trying to increase Common Fund contributions and necessarily increasing ministry costs with new staff. At the year end the PCC held free reserves of £109k and the PCC is complying with its reserves policy.

Page 8

Risk assessment and mitigation

The financial risks which the church faces are considered bi-monthly by the Finance Working Group.

Measures are proposed by the Finance Working Group and implemented by the PCC or staff team to ensure that appropriate financial systems, policies and procedures are in place to manage and mitigate financial risks. As an organisation with a relatively low level of reserves, there is a financial risk which is managed by strong financial systems and controls. As a matter of general policy, independent professional advice is taken where appropriate.

Investment and cash flow policy

As mentioned above, St Peter’s has relatively low reserves and hence it rarely has excess funds to invest. The rent deposit of £25k received from the Mission Hall tenant is held in a separate, with notice, deposit account. The rest of the cash held by the charity is held in a bank current account so that it is readily accessible.

Grant making policy

The PCC carefully evaluates grant applications before any grants are awarded.

Health and Safety and Employment Law Policy

In 2023 the church employed one staff member, and the premises are in regular use by several people including children and vulnerable adults. Employment Law and health and safety measures are adhered to, and assistance in these matters is sought from the Diocese of London and independent professional advisors.

Sustainability policy

St Peter's encourages the adoption of sustainable practice in all areas of church life and work, as a means to contributing to the reduction in carbon emissions in dealing with the growing evidence for manmade climate change. Measures taken include: - recycling, energy audits, encouraging the use of public transport, cycling and walking.

2024 Plans

The financial plan for 2024 assumes regular routines of worship and ministry will continue at St Peter’s. (At the start of the year the PCC was aware that Heather Atkinson would resigning as Vicar in February 2024 and that the parish would most likely be ‘in vacancy’ for 6-9 months before the appointment of a new Priest In Charge.)

The 2024 budget requires the expenditure on activities and ministries of St Peter’s to be wholly covered by the cash received. The budget will be reviewed regularly by the Finance Working Group.

Page 9

2024 Income

The PCC set a bold income budget, seeking to increase the number of regular givers by 12. Our budget for regular giving income is set at £76k (2023 actual £58k).

Property income is forecast at £118k, based on the lease of the hall to Kido Schools UK Ltd (£8.3k PCM) and the rental income from Parabolic Theatre (or another user) for the crypt (£1.5k PCM).

The budget for grant income is set at £157k, including an ambitious £100k of grants to fund capital repairs; £25k from Revitalise Trust for the Curate’s cost, £16k from Henry Fawcett Fund plus a further £16k for ministry related projects.

2024 Expenditure

We plan to increase our away giving through an increase in our Common Fund (CF) contribution from £4.4k PCM in 2023 (60% of full CF) to £4.9k PCM in 2024 (64% of full CF).

(CF is the name given to contribution made by each parish in the Diocese to support the costs of clergy, clergy accommodation, clergy in training as well as other Diocesan functions such as safeguarding.)

Our CF contribution remains significantly below the level set for each parish by the Diocese (£7.6k PCM). We have increased our contribution year on year and plan to review our contribution upwards in future years.

Staffing will be as follows: - Priest In Charge, Associate Priest, Curate, Operations Director, Teams Assistant and Site Assistant. A part-time paid Young Life Pastor role remains vacant.

Dependent on the success of capital fundraising and insurance claims, urgent capital repairs will be carried out to the tower stonework, the organ and levelling the garden paths. In addition the PCC is exploring projects to reduce the church’s carbon footprint.

Note: - An assessment by the Diocesan parish property adviser in January 2020 advised that the church building will require between £750k and £1m spending on the fabric in the next 10 years (before any re-development of the internal space). This must be held in mind in future financial planning.

The PCC responsibilities in relation to the financial statements

The PCC is responsible for preparing the Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Charity law requires the PCC to prepare financial statements for each financial year which give a true and fair view of the state of the affairs of the charity as at the balance sheet date and of its incoming resources and application of resources for the financial year. In preparing these financial statements, the PCC are required to:

Page 10

  1. Select suitable accounting policies and apply them consistently;

  2. Observe the methods and principles in the Statement of Recommended Practice for Charities;

  3. Make judgements and estimates that are reasonable and prudent;

  4. State whether the applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

  5. Prepare the financial statements on a going concern basis unless it is inappropriate to presume that the charity will continue in operation.

The PCC is responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011 and the Charity (Accounts and Reports) Regulations 2008. They are 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.

Approval

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

Andrew Rixon Andrew Rixon, Church Warden Date 23 July 2024 David Bishop David Bishop, on behalf of the Finance Working Group Date 23 July 2024

Page 11

INDEPENDENT EXAMINER'S REPORT

TO THE MEMBERS OF THE PAROCHIAL CHURCH COUNCIL OF

ST PETER WITH ST THOMAS BETHNAL GREEN

('the Charity')

I report to the members of the PCC (who are also the charity's trustees) on my examination of the accounts of the Charity for the year ended 31 December 2023 on pages 13 to 23 following, which have been prepared on the basis of the accounting policies set out on pages 16 and 17.

Responsibilities and basis of report

As members of the PCC 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 Charity’s accounts carried out under section 145 of the 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 Act.

Independent examiner’s statement

Since the Charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a Fellow of the Association of Charity Independent Examiners, which is one of the listed bodies.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

  1. accounting records were not kept in respect of the Charity 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.

Ajay Rajani

Ajay Rajani FCIE Fellow of the Association of Charity Independent Examiners Stewardship 1 Lamb's Passage London EC1Y 8AB

24 July 2024

Page 12

ST PETER WITH ST THOMAS BETHNAL GREEN

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 DECEMBER 2023

Note
INCOME AND ENDOWMENTS FROM:
Donations and legacies
3
Charitable activities
4
Other trading activities
5
Other income: proceeds of insurance claim
Total income and endowments
EXPENDITURE ON:
Charitable activities
6
Raising funds
7
Total expenditure
Net income/(expenditure)
Transfers between funds
15
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward
15		 Unrestricted
Funds
£
82,019
8,255
111,639
148,525
350,438
171,952
10,357
182,310
168,128
(127,344)
40,784
70,351
111,135		 Restricted
Funds
£
323,670
-
-
-
323,670
449,878
-
449,878
(126,208)
127,344
1,136
972,267
973,404		 Total
Funds
2023
£
405,689
8,255
111,639
148,525
674,107
621,830
10,357
632,187
41,920
-
41,920
1,042,618
1,084,538		 Total
Funds
2022
£
112,748
6,276
66,811
11,035
196,871
172,114
1,775
173,889
22,983
-
22,983
1,019,634
1,042,618

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing operations.

The notes on pages 16 to 23 form part of these accounts.

Page 13

ST PETER WITH ST THOMAS BETHNAL GREEN

BALANCE SHEET

AS AT 31 DECEMBER 2023

Note
FIXED ASSETS
Tangible assets
9
CURRENT ASSETS
Debtors
10
Cash at bank and in hand
11
CREDITORS: Amounts falling
due within one year
12
Net current assets / (liabilities)
Total assets less current liabilities
CREDITORS: Amounts falling due
13
after more than one year
TOTAL NET ASSETS
FUND BALANCES
Unrestricted Funds
Restricted Funds
15		 Unrestricted
Funds
£
1,894
1,894
87,493
145,128
232,621
(113,380)
119,240
121,135
(10,000)
111,135
111,135
-
111,135		 Restricted
Funds
£
970,000
970,000
-
3,404
3,404
-
3,404
973,404
-
973,404
-
973,404
973,404		 Total
Funds
2023
£
971,894
971,894
87,493
148,532
236,024
(113,380)
122,645
1,094,538
(10,000)
1,084,538
111,135
973,404
1,084,538		 Total
Funds
2022
£
973,148
973,148
23,625
85,000
108,625
(39,155)
69,470
1,042,618
-
1,042,618
70,351
972,267
1,042,618

The financial statements were approved by the members of the PCC and were signed on its behalf by:

Andrew Rixon 23 July 2024 ----------------------------------------------------------------------------Andrew Rixon - trustee Date Charity number: 1154668

The notes on pages 16 to 23 form part of these accounts.

Page 14

ST PETER WITH ST THOMAS BETHNAL GREEN

FOR THE YEAR ENDED 31 DECEMBER 2023

CASH FLOW STATEMENT

Note 2023 2022
£ £
Cash flows from operating activities:
Net cash provided by (used in) operating activities a 43,531 42,501
Cash flows from investing activities:
Purchase of property, plant and equipment - (2,830)
Net cash provided by/(used in) investing activities - (2,830)
Cash flows from financing activities:
Cash inflows from new borrowing 20,000
Net cash provided by/(used in) financing activities 20,000 -
Change in cash and equivalents in the reporting period 63,532 39,671
Cash and equivalents at the beginning of the year b 85,000 45,329
Cash and cash equivalents at the end of the year b 148,532 85,000
Analysis of changes in net debt:
At start of At end of
year Cash-flows year
£ £ £
Cash 85,000 63,532 148,532
Loans from Diocese:
Falling due within one year - (10,000) (10,000)
Falling due after one year - (10,000) (10,000)
Total net funds / (debt) 85,000 43,532 128,532
Note a: Reconciliation of net income/(expenditure) to net cash flow from operating activities
:
2023 2022
£ £
Net income/(expenditure) for the reporting period (as per the statement of
financial activities) 41,920 22,983
Adjustments for:
Depreciation charges and provisions for impairment 1,254 403
(Increase)/decrease in debtors (63,868) (14,761)
Increase/(decrease) in creditors 64,225 33,876
Net cash provided by (used in) operating activities 43,531 42,501
Note b: Analysis of cash and cash equivalents
2023 2022
£ £
Cash at bank with immediate access 117,937 54,903
Notice deposits (with a term of three months or less) 30,565 30,067
Petty cash 30 30
Total cash and cash equivalents 148,532 85,000

Page 15

ST PETER WITH ST THOMAS BETHNAL GREEN

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2023

1 Statutory Information

The Parochial Church Council of St Peter with St Thomas, Bethnal Green is a charity registered with the Charity Commission in England & Wales. The charity's registered number and principal address can be found on the Charity Information page.

2 Accounting Policies

These financial statements are prepared on a going concern basis, under the historical cost convention. The financial statements include all activities for which the PCC is legally responsible; the activities of informal gatherings of church members and groups that owe their main affiliation to another body and are excluded.

These financial statements have been prepared in accordance with The Church Accounting Regulations 2006, the 'Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)' ("the Charities SORP"), with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland ("FRS 102") and with the Charities Act 2011. The charity meets the definition of a public benefit entity as set out in FRS 102.

The Charities (Accounts and Reports) Regulations 2008 (the '2008 Regulations') requires charities to prepare their accounts in accordance with 'Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005' but this accounting standard has since been withdrawn and has been replaced by the Charities SORP mentioned in the preceding paragraph. The charity has prepared these financial statements in accordance with the new Charities SORP; this departure from the 2008 Regulations is believed to be necessary for these financial statements to give a 'true and fair view'.

The principles adopted in the preparation of the financial statements are set out below.

a) Going concern

The PCC have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the charity to continue as a going concern. The PCC have made this assessment for a period of at least one year from the date of approval of the financial statements. In particular the PCC have considered the charity's forecasts and projections and the possible implications should projected income and / or expenditure vary unexpectedly. The PCC have concluded that there is a reasonable expectation that the charity has adequate resources to continue to operate for the foreseeable future. The charity therefore continues to adopt the going concern basis in preparing its financial statements.

b) Income

Income (which includes planned giving, collections and other donations) is recognised in the period in which the charity becomes entitled to receipt, the amount receivable can be measured with reasonable certainty, and receipt is probable. For the most part income is generally recognised when it is received by, or on behalf of, the PCC. Income is only deferred when the charity has to fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be expended in a future period.

Income from donations and legacies includes recoverable gift aid, which is recognised when the related donation is received. Gift aid that has not been recovered by the balance sheet date is included as a debtor.

The charity relies on volunteers to carry out many of its activities. However, in accordance with the SORP, the value of these services has not been included in these financial statements as they cannot be reliably measured.

Income from charitable activities represents income receivable from goods, services and facilities supplied in furtherance of the charity's charitable objects. It includes income from weddings and funerals, from church events and courses and for letting facilities to the local community.

Income from other trading activities represents income receivable from activities undertaken to generate funds for the charity and comprises income receiveable from letting property.

Other income comprises income receivable from insurance claims and comprises claims approved by insurance companies by the year end. Any unpaid claims that have been approved by the year end are recognised as debtors in the accounts.

The charity has taken the view that it has only one charitable activity, namely the advancement of the Christian faith, and all income from donations, legacies and charitable activities is in respect of this one activity.

c) Expenditure

Expenditure, including irrecoverable VAT, is recognised when it is incurred or, if earlier, when a legal or constructive obligation for a payment arises provided that it is probable that settlement will be required and the amount of the obligation can be measured reliably.

Contributions in respect of the diocesan parish quota are included in the Statement of Financial Activities for all amounts agreed to being payable for the financial year. Any contributions that have not been paid over by the year end are included as a creditor.

The charity makes grants to other institutions and individuals to further its charitable objectives. Grants payable are recognised as constructive obligations arise, which is generally when the charity expresses a commitment to the recipient that can be measured reliably and then only to the extent that any conditions associated with the grant are outside of the control of the charity.

Expenditure on raising funds comprises expenditure incurred in respect of the charity's property letting income and time spent by staff on generating grant income.

Page 16

ST PETER WITH ST THOMAS BETHNAL GREEN

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2023

c) Expenditure continued

Governance costs, which are included in expenditure on charitable activities but are identified separately in the notes to the accounts, includes costs associated with the independent examination of the financial statements, compliance with constitutional and statutory requirements and any other expenditure incurred on the strategic management of the charity.

The Charities SORP requires charities with income over £500,000 to allocate costs to the various activities undertaken by the charity. The nature of the work of the church is considered to be so integrated that the core charitable activity costs are considered to be for the one activity.

d) Fund accounting

e) Tangible fixed assets

Movable church furnishings held by the incumbent and Churchwardens on special trust for the PCC and which require a faculty for disposal are capitalised in accordance with the policy set out below. These items are regarded as inalienable property and are listed in the church's inventory which can be inspected at any reasonable time. Inalienable property acquired prior to 2010 has not been capitalised as there is insufficient cost information available.

Items purchased or donated for the charity's own use are capitalised when the cost of purchased items, or the fair value of donated items, is more than £500 and the item is expected to benefit the charity over more than one accounting period. Depreciation is charged on a straight line basis so as to write down the value of each asset to its estimated residual value (if any) over its expected useful economic life. To achieve this objective the following rates of depreciation are charged:

Freehold land Is not depreciated (because it is not consumed by use) Freehold buildings Over 50 years after taking account of the building's residual value Equipment Over 3 to 7 years

The trustees used an insurance valuation to help estimate the market value of the charity's freehold property on 1 January 2014 (being the date of transition to FRS102) and, as permitted by FRS102, its estimated market value on that date has been treated as being the property's deemed cost. The members of the PCC consider the residual value of the freehold building to be very high and believe that any provision for depreciation would not be material; consequently no depreciation has been charged in these accounts.

The carrying values of tangible fixed assets are reviewed for impairment in periods when events or changes in circumstances indicate that the carrying value may not be recoverable.

f) Leased assets

g) Pension scheme arrangements

The charity operates defined contribution pension schemes for its employees. Obligations for contributions to these schemes are recognised as an expense when the liability arises. The assets of these schemes are held separately from those of the charity in independently administered funds.

h) Taxation

Page 17

ST PETER WITH ST THOMAS BETHNAL GREEN

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2023

3 Donations and legacies

Regular giving
Ad hoc giving
Church collections
Gift aid recoverable
Government grants
Listed Places of Worship Scheme
Other grants:
from Henry Fawcett Fund
from Diocese
from others
4
Income from charitable activities
Fees for weddings, funerals etc
Retreats and events
Letting facilities for community benefit
5
Income from other trading activities
Church hall lettings
Crypt lettings
6
Charitable expenditure
Ministry expenses
Diocesan parish quota - common fund
Diocesan service fees
Clergy accommmodation and contribution to clergy stipend
Staff costs
Ministry expenses
Retreats and events
Church running costs
Property expenses including cleaning and minor repairs
Insurance
Office expenses
Governance costs
Independent examiner's fee for preparing and examining the accounts
Depreciation
Major property repairs
Church building: repairs to nave ceiling and asbestos removal
Crypt: emergency lighting and fire alarm
Church building: electrical re-wiring
Church hall: boundary wall (largely covered by related insurance claim)
Grants payable (note 6b)		 2023
£
57,750
9,613
3,213
12,043
82,619
49,831
19,520
174,476
79,243
323,070
405,689
2023
£
832
5,463
1,960
8,255
2023
£
93,639
18,000
111,639
2023
£
52,665
(264)
27,649
38,452
10,310
9,093
137,905
30,656
10,255
7,141
2,940
1,254
52,246
418,779
11,880
-
-
430,659
1,019
621,830		 2022
£
68,023
6,675
2,962
15,799
93,458
2,469
14,180
2,641
-
19,290
112,748
2022
£
2,052
4,224
-
6,276
2022
£
54,014
12,797
66,811
2022
£
30,000
2,976
8,820
36,201
9,698
7,691
95,386
33,535
10,007
7,064
2,400
403
53,408
-
-
10,200
11,339
21,539
1,780
172,114

The fee payable to the independent examiner for preparing and examining the accounts was £2,940 (2022: £2,400).

Page 18

ST PETER WITH ST THOMAS BETHNAL GREEN

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2023

6b Grants payable

Institutions
£
Grants for the relief of poverty
275
275
Institutions
£
Grants for the relief of poverty
-
-
7
Cost of raising funds
Staff costs
Legal and professional fees
8
Gross wages and salaries
Pension costs
Analysis of staff costs, the cost of key management personnel and trustee remuneration		 Individuals
£
744
744
Individuals
£
1,780
1,780
2023
£
7,867
2,490
10,357
2023
£
37,830
1,578
39,408		 2023
£
1,019
1,019
2022
£
1,780
1,780
2022
£
-
1,775
1,775
2022
£
29,555
1,126
30,682

The average monthly number of employees during the year was 1 (2022: 1). Most of the charity's activities are carried out by volunteers. No staff received salaries at a rate of tmore than £60,000 per annum.

Rev'd Heather Atkinson, Rev'd Alison Mulroy and Rev'd Luke Smith are clergy members of the PCC. They receive a stipend from the Diocese and they are not employed by the PCC. Some of the Parish Quota paid by the PCC is used to help meet the cost of their stipends. In addition the PCC paid:

a) £580 (2022: £nil) towards the cost of accommodation provided to Rev'd Heather Atkinson by the Diocese.

c) £11,910 (2022: £nil) for the provision of accommodation to Rev'd Luke Smith.

No member of the PCC received employment benefits in either the current or preceding year.

9 Tangible fixed assets

Cost
At 1 January 2023
Additions
Disposals
At 31 December 2023
Accumulated depreciation
At 1 January 2023
Charge for the year
Eliminated on disposal
At 31 December 2023
Net book value
At 31 December 2023
At 31 December 2022		 Freehold
Property
£
970,000
-
-
970,000
-
-
-
970,000
970,000		 Worship
and Office
Equipment
£
7,212
-
(1,330)
5,882
4,064
1,254
(1,330)
3,988
1,894
3,148		 Total
2023
£
977,212
-
(1,330)
975,882
4,064
1,254
(1,330)
3,988
971,894
973,148

Freehold property comprises the church hall at Warner Place.

Page 19

ST PETER WITH ST THOMAS BETHNAL GREEN

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2023

10 Debtors

Gift aid recoverable
Lettings and event income receivable
Prepaid expenditure
Grants receivable
Insurance claims receivable
11
Cash at Bank and in Hand
Cash at bank with immediate access
Notice deposits
Petty cash
12
Creditors: liabilities falling due within one year
Due to contractors in respect of repairs to nave ceiling
Other creditors
Accrued expenses
Tenant deposit
Loan from Diocese
13
Creditors: amounts falling due after more than one year
Loan from Diocese		 2023
£
4,243
-
11,620
27,779
43,851
87,493
2023
£
117,937
30,565
30
148,532
2023
£
72,429
1,387
3,998
25,566
10,000
113,380
2023
£
10,000
10,000		 2022
£
5,543
6,956
11,125
-
-
23,625
2022
£
54,903
30,067
30
85,000
2022
£
-
5,533
3,623
29,999
-
39,155
2022
£
-
-

During the year the PCC received a loan of £20,000 from the Diocese to help meet the cost of repairs to the nave ceiling. The loan is interest free and is repayable by 24 monthly instalments, which commenced in January 2024.

14 Pension commitments

During the year employer’s pension contributions totalling £1,580 (2022: £2,227) were payable to defined contribution personal pension schemes. No contributions were owed at the balance sheet date (2022: £1,062 was owed).

15 Restricted funds

During the year the movements in the charity's funds were as follows:

Church Hall fund
Organ fund
Staff fund
Clergy fund
Event fund
Repair fund
Vicar's Discretionary fund
Youth fund		 Opening
balance
2023
£
970,000
1,629
-
-
-
-
-
638
972,267		 Incoming
resources
2023
£
-
-
7,284
21,667
1,764
290,355
2,000
600
323,670		 Outgoing
resources
2023
£
-
(1,080)
(7,284)
(21,012)
(1,764)
(417,699)
(744)
(295)
(449,878)		 Transfers
in the year
2023
£
-
-
-
-
-
127,344
-
-
127,344		 Closing
balance
2023
£
970,000
549
-
655
-
-
1,256
944
973,404

During the year the transferred £127,344 from unrestricted funds to the restricted Repair fund so that the fund created for repairs to the nave ceiling was not in deficit at the year end.

Page 20

ST PETER WITH ST THOMAS BETHNAL GREEN

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2023

15 Restricted funds continued

Analysis of net assets by fund

The assets and liabilities of the various funds were as follows:

Tangible fixed assets
Debtors
Cash at bank and in hand
Creditors falling due within one year
Creditors falling due after one year		 Unrestricted
funds
£
1,894
87,493
145,128
(113,380)
(10,000)
111,135		 Restricted
funds
£
970,000
-
3,404
-
-
973,404		 2023
£
971,894
87,493
148,532
(113,380)
(10,000)
1,084,538

In the previous year the movements in the charity's funds were as follows:

Church Hall fund
Organ fund
Staff fund
Clergy fund
Event fund
Art & Soul fund
Energy support fund
Repair fund
Other small funds		 Opening
balance
2022
£
970,000
1,629
-
-
-
-
-
-
1,157
972,786		 Incoming
resources
2022
£
-
-
7,177
5,692
1,311
1,000
2,641
2,469
600
20,890		 Outgoing
resources
2022
£
-

-
(7,177)
(5,692)
(1,311)
(1,000)
(2,641)
(2,469)
(1,118)
(21,409)		 Transfers
in the year
2022
£
-
-
-

-
-
-
-
-

-
-		 Closing
balance
2022
£
970,000
1,629
-
-
-
-
-

-
638
972,267

Analysis of net assets by fund

In the previous year, the assets and liabilities of the various funds were as follows:

e previous year, the assets and liabilities of the various funds were as follows:
Tangible fixed assets
Debtors
Cash at bank and in hand
Creditors falling due within one year		 Unrestricted
funds
£
3,148
23,625
82,733
(39,155)
70,351		 Restricted
funds
£
970,000
-
2,267
-
972,267		 2022
£
973,148
23,625
85,000
(39,155)
1,042,618

Information about the charity's restricted funds:

The Church Hall fund is in respect of the church hall at Warner Place. The custodian trustee is the London Diocesan Fund and the PCC cannot sell the property without the consent of the London Diocesan Fund.

The Organ fund was created from grants and donations received for the church organ.

The Staff fund was created from grants received to help meet the cost of employing staff.

The Clergy fund was created from grants received to help meet the cost of providing accommodation to clergy and the cost of making contributions to the Diocese in respect of the stipend they receive from the Diocese.

The Event fund was created from grants received to help fund the provision of ministry events.

The Art & Soul fund was created from donations received to help the charity run a community arts group.

The Energy support fund was created by a grant received from the Diocese to help the charity with energy cots.

The Repair fund was created from grants received to help meet the cost of repairs to the church building.

The Vicar's Discretionary fund was created from grants received for discretionary use by the Vicar.

The Youth fund was created by donations received to help meet the cost of the PCC's work with children and young people.

Page 21

ST PETER WITH ST THOMAS BETHNAL GREEN

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2023

16 Operating lease income

The charity has granted a lease to a nursery provider that gives them exclusive use of the church hall at Warner Place. The minimum amounts receivable (until the next break clause and ignoring the potential effect of future rent reviews and any unforeseen events that could result in early termination) in respect of this lease is as follows:

2023 2022
£ £
Income falling due:
Within one year 100,000 91,666
Between one and five years 400,000 400,000
After five years 141,667 241,667
641,667 733,333
The charity has an operating lease for rented accommodation provided to clergy. The minimum amount payable in respect of this
lease is as follows:
2023 2022
£ £
Payments falling due:
Within one year 23,820 -
Between one and five years 35,730 -
59,550 -

During the year the charity was charged £11,910 (2022: £nil)) for its operating lease.

18 Other relevant financial information

The PCC is pursuing insurance claims for the replacement of contents that were contaminated by asbestos and had to be destroyed and for the decontamination from asbestos of the church organ. In the new financial year the PCC's insurers have made an on account payment of £22,500; the actual claims are for a far greater amount. The proceeds from the insurance claims will be used to replace contents and decontaminate the organ.

During the year the PCC was awarded a grant of £45,000 by Tower Hamlets Council for projects that would reduce the charity's carbon footprint. The charity is currently attempting to secure further funding to undertake these project and it hoped that the PCC will be in a position to be able to claim the grant before the end of 2024.

19 Transactions with related parties

During the year the PCC received grants totalling £19,520 (2022: £14,180) from the Henry Fawcett Fund, a registered charity established for the relief of poverty in the parish. The vicar and the PCC’s two church wardens serve as trustees of the Henry Fawcett Fund and the Henry Fawcett Fund is regarded as being a related party.

During the year the charity :

Page 22

ST PETER WITH ST THOMAS BETHNAL GREEN

DETAILED STATEMENT OF FINANCIAL ACTIVITIES WITH COMPARATIVES

FOR THE YEAR ENDED 31 DECEMBER 2023

Note
INCOME AND ENDOWMENTS FROM:
Donations and legacies
3
Charitable activities
4
Other trading activities
5
Other income
Total income and endowments
EXPENDITURE ON:
Charitable activities:
6
Raising funds
7
Total Expenditure
Net income/(expenditure)
Transfers between funds
15
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward
15		 Unrestricted
Funds
2023
£
82,019
8,255
111,639
148,525
350,438
171,952
10,357
182,310
168,128
(127,344)
40,784
70,351
111,135		 Restricted
Funds
2023
£
323,670
-
-
-
323,670
449,878
-
449,878
(126,208)
127,344
1,136
972,267
973,404		 Total
2023
£
405,689
8,255
111,639
148,525
674,107
621,830
10,357
632,187
41,920
-
41,920
1,042,618
1,084,538		 Unrestricted
Funds
2022
£
91,858
6,276
66,811
11,035
175,981
150,705
1,775
152,480
23,501
-
23,501
46,849
70,351		 Restricted
Funds
2022
£
20,890
-
-
-
20,890
21,409
-
21,409
(518)
-
(518)
972,786
972,267		 Total
2022
£
112,748
6,276
66,811
11,035
196,871
172,114
1,775
173,889
22,983
-
22,983
1,019,634
1,042,618

Page 23