ST PAULS CHURCH WORCESTER
Accoun¢s- 31. December 2021
## **ST PAULS CHURCH WORCESTER**
(A company limited by guarantee and not having a share capital)
Charity number: 1159042 Company number: 08983424
Accounts – 31[st ] December 2021
## **INDEX**
1-3. Report of the Directors and General Information 4. Independent Examiner’s Report to the Trustees 5. Statement of Financial Activities 6. Balance Sheet 7-12. Notes to the Accounts
1.
## **ST PAULS CHURCH WORCESTER**
## **REPORT OF THE DIRECTORS**
**for the year ended 31[st] December 2021 (** Continued)
The Directors are pleased to present their annual report and financial statements of charitable company for the year ended 31[st] December 2021 which are also prepared to meet the requirements for a directors’ report and accounts for Companies Act purposes.
The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and the charities Statement of Recommended Practice (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and the Republic of Ireland; FRS 102) issued in October 2019.
## **Reference and Administration Details**
The charity’s name is St Paul’s Church Worcester.
Charity Registration Number: 1159042 Company Number: 08983424 Registered Office: St Paul’s Church St Paul’s Street Worcester Worcestershire WR1 2BH
## **Directors and Trustees**
The Directors of the charitable company (the charity) are its Trustees for the purposes of charity law. The Trustees and officers who served during the year and since the year end were as follows:
P J Turner (resigned 01/09/2021) R M Swallow C Stacey L J Burnett (appointed 23/2/2021) P Boyd (appointed 14/02/2022) D Porter (appointed 11/3/2022) D Burnett (appointed 24/3/22)
The Church management is vested in these Trustees who comprise duly appointed or elected Leaders of the Church. The Chairman was Mr Robert Swallow until 1/4/22 at which date Mr L J Burnett became Chairman. The other Officer is Mr C Stacey.
## **Objectives and Activities**
The main objects of the charity are:
- a) The advancement of the Christian Religion by the proclamation and furtherance of the Gospel of God concerning His Son Jesus Christ the Lord and the preaching and teaching of the Word of God by the Church in accordance with the Statement of Fundamental Truths of Assemblies of God in Great Britain and Ireland as approved by the General Council from time to time (the Statement).
- b) Such other charitable purposes as shall further the attainment of the above objects of the Church or any of them.
- c) The furtherance of the other charitable work of the Church consistently with the Statement.
- d) The furtherance of the work of Assemblies of God in Great Britain and Ireland and the promotion of the spiritual teaching and the maintenance of the Statement and the promotion of religious observances that manifest the Statement.
- e) Outreach into the community of the City of Worcester supporting and caring for those in need.
## **Achievements and Performance**
In planning the activities of the charitable company the Trustees have considered the Commission’s guidance on
2.
## **ST PAULS CHURCH WORCESTER**
## **REPORT OF THE DIRECTORS**
**for the year ended 31[st] December 2021 (** Continued)
public benefit and in particular the specific guidance on charities for the enhancement of religion.
2021 continued to be a difficult time with the pandemic affecting most of our normal activities due to limits on numbers who could gather and restrictions on events. Through a combination of online meetings, phone calls and personal visits where permitted we were able to keep in touch with our congregation and those in the community we serve.
Online church services continued for those unable to attend the church building, and we are pleased that since many lockdown restrictions were eased and lifted towards the end of 2021, we have been able to recommence many of our previous activities including parents and toddler groups, lunch clubs for older people, community coffee mornings, English as a foreign language classes as well as our regular Sunday morning services. It was especially pleasing to be able to resume the Christmas Community Banquet after a two year gap.
What has been a great blessing to us is that the online giving has not faltered and through people’s financial generosity we have managed to not only survive financially but to grow slightly.
In early 2021 an additional trustee was appointed, whilst another long serving trustee stood down later in the year. During the first three months of 2022 three more trustees have been appointed bringing the total to six who bring a wide range of experience and ability. Additionally, a new Senior Leader has recently been appointed and we look forward to 2022 and beyond with a sense of excitement and anticipation surrounding the opportunities we have to grow. We currently employ staff overseeing pastoral care, operations and parent and toddler groups. Over the course of the next few months, it is our intention to offer further employed positions in our children’s and youth work, as well as someone to support in the administration of the church
We continue to see a steady growth and consolidation of our culture and work in line with our vision and values. We are continuing our plan to build up reserves for the property and to report against an annual budget to gauge how our finances are at any point in time.
Our intent is to stay linked to the AOG family and a number of visiting pastors and leaders from the AOG have visited St Paul’s. This maintains an openness and accountability to the way in which our church is run. During 2021 we continued to join with other ministry leaders in the churches of Worcester on a weekly basis and this has had positive benefits for us and for the City. We expect this to continue to grow in 2022.
## **Financial Review**
There was a surplus for the year in general funds of £18,326. Our general fund income from Tithes and Offerings (our principal source of funding) for the year was £125,814 (including Gift Aid) compared to £118,083 for 2020 so this income has returned to pre- Covid 19 levels despite some restrictions on services for part of the year. Income from Activities (General and Restricted) £19,136 for the year compared to £16,033 in 2020 due to restrictions so starting to recover as Covid 19 lockdowns eased during the year.
We have no fundraising activity as such; however our policy is that all events and functional areas of the church must break even on their activities.
As with any charity, there are items of expenditure which we have very limited control over i.e the insurances. However, we have a Budget in place and account activities are managed on the SAGE accounts system so that we have good monthly review and control processes in place.
The areas described as “Church Activities” includes Children, Youth and Citycare which form part of what we see as core purpose for our work and are areas we want to support and sustain wherever possible.
3.
## **ST PAULS CHURCH WORCESTER**
## **REPORT OF THE DIRECTORS**
**for the year ended 31[st] December 2021 (** Continued)
The building continues to be a concern regarding the liability for repair going forward and the Trustees have taken advice on this matter. Repairs will be carried out on a needs must basis and a plan is to be developed for the long term future.
We have no concerns about the viability of the charity and its functioning as such into the future. Covid-19 has not had a damaging effect on our finances.
## **Reserves Policy**
The Building Reserve Account can only be expended by agreement of the Trustees.
The directors have examined the charity’s requirements for reserves taking account of the main risks to the organization. It has established a policy whereby the unrestricted funds not committed or invested in tangible fixed assets held by the charity should be between 2 and 3 months of expenditure. The directors consider that this should be £40,000 in general funds based on 2021 expenditure. The reserves are needed to meet the working capital requirement of the charity and the directors are confident that at this level they would be able to continue the current activities of the charity in the event of a significant drop in funding. As at 31 December 2021, general funds stood at £102,275, £1,900 funds the fixed assets of the charity which leaves £100,375 as available working capital of which £8,905 is designated for building repairs. The present level of the reserves available to the charity are therefore now £60,000 above the level required. The trustees have transferred £40,000 to a deposit account with The Kingdom Bank to ensure the 2/3 months reserves are not utilized on general running expenses.
## **Structure, Governance and Management**
## **Governing Document**
St Paul’s Church Worcester is a company limited by guarantee governed by its Memorandum and Articles of Association dated 7[th] April 2014. It is registered as a charity with the Charity Commission. Members of the charitable company guarantee to contribute amounts not exceeding £1 to the assets of the charitable company in the event of winding up.
The Directors of this company are Mr Robert Swallow, Mr LJ Burnett, and Mr C Stacey. The company number is 08983424.
## **Appointment of Trustees**
The directors keep the composition of the board under review and will seek to appoint additional members with appropriate skills and expertise should the need arise. Interested parties are given details of the background of the charitable company in order to make them aware of current activities. In early 2022 two additional trustees have been appointed to share the workload.
This report has been prepared in accordance with the special provisions relating to companies subject to the Small Companies Regime within Part 15 of the Companies Act 2006.
Approved by the directors on 23 June 2022 and signed on its behalf by:-
Mr L J Burnett - Director
**ST PAULS CHURCH WORCESTER**
4.
## **INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES**
I report to the trustees on my examination of the accounts of St Pauls Church Worcester (the charitable company) for the year ended 31[st] December 2021.
## **Responsibilities and Basis of Report**
As the charity’s trustees (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (“the 2006 Act”).
Having satisfied myself that the accounts of the charitable company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (“the 2011 Act”). In carrying out my examination I have followed the 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 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 charitable company as required by section 386 of the 2006 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act 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; or
4. the accounts have not been prepared in accordance with methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].
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.
A P Williams FCCA A J Carter & Co Chartered Accountants
22b High Street Witney Oxon OX28 6RB
30 June 2022
5.
## **ST PAULS CHURCH WORCESTER**
**Statement of Financial Activities** _(including an income and expenditure account)_ **for the year ended 31[st] December 2021**
|Note
**Income from:**
Donations and legacies
3
Charitable activities
4
Other
5
**Total incoming resources**
**Expenditure on:**
Raising funds
Charitable activities
6
Other
**Total expenditure**
**Net income/(expenditure) and net**
**movement in funds for the year**
**Transfer between funds**
**Net movement in funds**
**Reconciliation of funds**
Funds brought forward
**Total funds carried forward**|**Unrestricted**
**Restricted**
**Total**
**Funds**
**Funds**
**Funds**
**2021**
**£**
**£**
**£**
127,755
6,846
134,601
8,023
11,113
19,136
6,542
-
6,542
142,320
17,959
160,279
-
-
-
123,994
18,604
142,598
-
-
-
123,994
18,604
142,598
18,326
(645)
17,681
-
-
-
18,326
(645)
17,681
83,949
7,712
91,661
£102,275
£7,067
£109,342|**Total**
**Funds**
**2020**
**£**
118,143
16,033
16,391|
|---|---|---|
|||150,567|
|||-
124,208
-|
|||124,208|
|||26,359
-|
|||26,359
65,302|
|||£91,661|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derives from continuing activities.
The notes on pages 7 to 12 form part of these financial statements
6.
## **ST PAULS CHURCH WORCESTER**
## **BALANCE SHEET**
## **as at 31[st] December 2021**
|Note
**Fixed assets**
Tangible assets
11
Investments
**Total fixed assets**
**Current assets**
Debtors
12
Cash at bank and in hand
**Total current assets**
**Liabilities**
Creditors falling due within one year
13
**Net current assets**
**Total assets less current liabilities**
**Creditors:**falling due after more than 1 year
Provisions for liabilities
**Total net assets**
14
**The funds of the Charity**
Restricted income funds
15
Unrestricted income funds
15
Revaluation reserve
Total unrestricted funds
**Total charity funds**|**2021**
**£**
1,900
-
1,900
4,032
108,430
112,462
5,020
107,442
109,342
-
£109,342
7,067
102,275
-
102,275
£109,342|**2020**
**£**
2,536
-|
|---|---|---|
|||2,536|
|||5,392
86,551|
|||91,943
2,818|
|||89,125|
|||91,661
-|
|||£91,661|
|||7,712|
|||83,949
-|
|||83,949|
|||£91,661|
For the year ended 31[st] December 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
## **Directors Responsibilities**
The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
The directors acknowledge their responsibilities for complying with the requirements of the act with respect to the accounting records and the preparation of accounts.
These accounts have been prepared in accordance with the special provisions relating to companies subject to the Small Companies Regime within part 15 of the Companies Act 2006.
These accounts were approved by the board of directors and authorised for issue on 23 June 2022 and are signed on their behalf by:
## Mr L J Burnett – Director
The notes on pages 7 to 12 form part of these financial statements
**ST PAULS CHURCH WORCESTER**
7.
## NOTES TO THE ACCOUNTS
**for the year ended 31[st] December 2021**
## 1. **Accounting Policies**
The principal accounting policies adopted, judgments and key sources of estimation uncertainty in the preparation of the financial statements are as follows:
## a) **Basis of Preparation**
- The financial statements have been prepared in accordance the Charities: Statement of Recommended Practice (applicable to Charities preparing their accounts in accordance with the Reporting Financial Standard applicable in the UK and the Republic of Ireland (FRS 102)) (issued in October 2019) – (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
- b) **Public Benefit Entity**
St Paul’s Church Worcester meets the definition of a public benefit entity under FRS 102.
- c) **Going Concern**
The Directors consider that there are no material uncertainties about the Charity’s ability to continue as a going concern.
- d) **Income Recognition Policies**
Items of income are recognised and included in the accounts when all of the following criteria are met:
- The charity has entitlement to the funds;
- any performance conditions attached to the items of income have been met or are fully within the control of the charity;
- there is sufficient certainty that receipt of the income is considered probable; and
- the amount can be measured reliably.
Income received in advance of a specific performance or provision of other specified service is deferred until the criteria for income recognition are met.
- e) **Interest Receivable** Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the bank.
## f) **Fund Accounting**
- Unrestricted funds are available to spend on activities that further any of the purposes of the Charity. Designated funds are unrestricted funds of the Charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for the particular areas of the Charity’s work or for specific projects being undertaken by the Charity.
**ST PAULS CHURCH WORCESTER**
8.
## NOTES TO THE ACCOUNTS
**for the year ended 31[st] December 2021** (continued)
- g) **Expenditure and Irrecoverable VAT**
- Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
- h) **Tangible Fixed Assets**
Individual fixed assets costing £1,000 or more are capitalised at cost and are depreciated over their estimated useful economic lives on the reducing balance basis as follows:
**Asset Annual Category Rate** Furniture and equipment 25% Reducing balance
- i) **Debtors**
Trade and other debtors are recognised at the settlement amounts due after any trade discount offered. Prepayments are valued at the amount prepaid after taking account of any trade discounts due.
## j) **Cash at Bank and in Hand**
- Cash at bank and cash in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
- k) **Creditors and Provisions** Creditors and provisions are recognised where the Charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
## 2. **Legal Status of the Charity**
The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1.
## 3. **Income from donations**
|Gifts and donations
Grants|2021
£
131,466
3,135
£134,601|2020
£
118,143
0|
|---|---|---|
|||£118,143|
Of the £134,601 received in 2021 £6,846 was restricted funds and £127,755 unrestricted funds. (Of the £118,143 received in 2020 £60 was restricted funds and £118,083 unrestricted funds)
**ST PAULS CHURCH WORCESTER**
9.
## NOTES TO THE ACCOUNTS
**for the year ended 31[st] December 2021** (continued)
## 4. **Income from charitable activities**
|**Income from charitable activities**|||
|---|---|---|
|Youth
Children’s Work/Kingdom Kids
CityCare
Other|2021
£
-
-
19,136
-
£19,136|2020
£
130
165
15,738
-|
|||£16,033|
Of the £19,136 received in 2021 £11,113 was restricted funds and £8,023 unrestricted funds. (Of the £16,033 received in 2020 £11,497 was restricted funds and £4,536 unrestricted funds.)
5. **Income earned from other sources**
|**Income earned from other sources**|||
|---|---|---|
|Room hire
Other income (JRS 2021 £5,811
Interest|2021
£
-
6,542
-
£6,542|2020
£
-
16,391
-|
|||16,391|
Of the £6,542 received in 2021 £Nil was restricted funds and £6,542 unrestricted funds.
(Of the £16,391 received in 2020 £Nil was restricted funds and £16,391 unrestricted funds.)
6. **Analysis of expenditure on charitable activities**
|Salaries and remuneration
Gifts to mission
Ministry gifts
Travel
Insurance
Utilities
Property costs
Rent/Hire of premises
Office costs
Worship and resources
Conferences and training
Church activities
Sundry expenses
Accountancy
Legal and professional
Bank charges
Depreciation
Independent Examination
**Total**|2021
Total
£
50,018
3,284
974
-
4,311
6,921
22,907
2,500
14,326
3,522
2,533
22,387
227
5,537
1,308
97
636
1,110
£142,598|2020
Total
£
54,413
2,100
20
111
4,217
6,268
12,533
3,125
9,027
505
3,594
19,345
24
5,770
1,131
55
845
1,125|
|---|---|---|
|||£124,208|
Of the £142,598 expenditure in 2021, £123,994 was unrestricted and £18,604 restricted funds (Of the £124,208 expenditure in 2020, £106,883 was unrestricted and £17,325 restricted funds.)
**ST PAULS CHURCH WORCESTER**
10.
## NOTES TO THE ACCOUNTS
**for the year ended 31[st] December 2021** (continued)
## 7. **Net income/(expenditure) for the year**
|_This is stated after charging:_
Depreciation
Independent examiner's fee
Accountancy services
8.
**Analysis of staff costs and trustee remuneration and expenses**
Salaries and wages
Social security costs
Statutory Maternity Pay recovered
Pension Costs
Recruitment Costs|2021
£
636
1,110
5,537
2021
£
48,543
-
-
1,275
200
£50,018|2020
£
845
1,125
5,770|
|---|---|---|
|||2020
£
57,180
-
(3,901)
1,134
-|
|||£54,413|
No employees had emoluments in excess of £60,000.
One charity trustee, C J Stacey, received remuneration of £1092 and £165 of work related expenses reimbursed in the year to 31 December 2021. No other trustees were paid or had work related expenses reimbursed.
Trustees donated £10,919 to the Charity
9. **Staff numbers**
The average monthly number of employees during the year was as follows:
|||2021|2020|
|---|---|---|---|
|||Number|Number|
|||7.00|7.33|
|10.|**Corporation tax**|||
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
11.
NOTES TO THE ACCOUNTS **for the year ended 31[st] December 2021** (continued)
## **ST PAULS CHURCH WORCESTER**
## 11. **Tangible fixed assets**
|Cost:
As at 1 January 2021
Additions
As at 31 December 2021
Depreciation:
As at 1 January 2021
Charge for year
As at 31 December 2021
Net book value:
As at 31 December 2021
As at 31 December 2020
12.
**Debtors**
Trade debtors
Prepayments and accrued income
Gift aid
13.
**Creditors: amounts falling due within one year**
Trade creditors
Accruals|Furniture
&
equipment
£
93,785
-
93,785
91,249
636
91,885
£1,900
£2,536
2021
£
-
-
4,032
£4,032
2021
£
1,678
3,342
£5,020|Total
£
93,785
-|
|---|---|---|
|||93,785|
|||90,404
845|
|||91,249|
|||£1,900|
|||£2,536|
|||2020
£
-
324
5,068|
|||£5,392|
|||2020
£
438
2,380
£2,818|
12.
## **ST PAULS CHURCH WORCESTER**
## NOTES TO THE ACCOUNTS
## **for the year ended 31[st] December 2021** (continued)
## 14. **Analysis of net assets between funds**
|Tangible fixed assets
Cash at bank and in hand
Other net current assets/(liabilities)
**Total**|General
Designated
Restricted
Fund
Funds
Funds
£
£
£
1,900
-
-
92,458
8,905
7,067
(988)
-
-
£93,370
£8,905
£7,067|Total
£
1,900
108,430
(988)|
|---|---|---|
|||£109,342|
## 15. **Analysis of charitable funds**
## **Analysis of movements in restricted funds**
|Citycare
Building Fund
General restricted
**Total**
**Analysis of movements in unrestricted funds**
General fund
Building fund
**Total**|Balance
Incoming
Resources
Funds
1.1.2021
resources
expended
31.12.2021
£
£
£
£
5,212
11,172
(9,317)
7,067
2,500
2,000
(4,500)
-
-
4,787
(4,787)
-|
|---|---|
||£7,712
£17,959
£(18,604)
£7,067|
||Balance
Incoming
Resources
Funds
1.1.2021
resources
expended
31.12.2021
£
£
£
£
75,044
142,320
(123,994)
93,370
8,905
-
-
8,905|
||£83,949
£142,320
£(123,994)
£102,275|
## **Name of unrestricted fund**
## **Description, nature and purposes of the fund**
General fund Building fund
The 'free reserves' after allowing for all designated funds.
In preparation for refurbishment works as necessary